[{"path": "tedlium_0.wav", "duration": 15.0, "text": "out of the 6 million users, I think so far, should we think that most of them are active users? And with the campaigns in place, are you expecting to gradually increase your user-base?"}, {"path": "tedlium_1.wav", "duration": 15.0, "text": "and that kind of marketing will be quite feasible and I talked about this when I explained to you about integrated marketing solution in the previous presentation. Now what are shoppers buying?"}, {"path": "tedlium_2.wav", "duration": 15.0, "text": "the capacity of the existing tank houses that we have with our improvement program, so that's an important part of this. As I said just before the discussion, the tank houses is something that we try to have full all the time."}, {"path": "tedlium_3.wav", "duration": 15.0, "text": "actually put that into refined product service when we bring 2 and 2x on. So as time goes on and when we finally openly bring 2x on, we have a multitude of options. But what we've built is an incredible enterprise"}, {"path": "tedlium_4.wav", "duration": 15.0, "text": "We were able to improve this ratio significantly due not only to higher profits for the period attributable to the owners of the parent but also to a recovery in market conditions, including stock prices and foreign exchange."}, {"path": "tedlium_5.wav", "duration": 15.0, "text": "The press release and the information on this call speak only as of today's date, and the company disclaims any duty to update the information provided therein and herein. I will now turn the call over to Gregg Mollins, President and CEO of Reliance."}, {"path": "tedlium_6.wav", "duration": 15.0, "text": "content, whether that be hundreds of thousands of books or millions of articles. And the growth of our content library is the fundamental strategy that we have in that business. Then what you need to do with that content library, as you build it,"}, {"path": "tedlium_7.wav", "duration": 15.0, "text": "So to recap, a strong progress seen from Orkla Investments, both from the fully consolidated businesses as well as joint ventures and associates."}, {"path": "tedlium_8.wav", "duration": 15.0, "text": "What is the advertiser or agency response to this process? Are they prepared to potentially have to pay for a much larger audience once this additional leakage, I guess, is plugged?"}, {"path": "tedlium_9.wav", "duration": 15.0, "text": "But they have so far not chosen to let that happen for their reasons, and we respect those reasons. We found an alternative approach to be able to measure viewing of Video On Demand through SVOD platforms. That's been critically important to"}, {"path": "tedlium_10.wav", "duration": 15.0, "text": "And as you know, with Intuitive, you see that's a very attractive market for us, and we look forward to being able to launch Mako in Japan. But I would say, it's a broad range of countries, and it's very similar -- the pattern that we're seeing is a similar pattern"}, {"path": "tedlium_11.wav", "duration": 15.0, "text": "By completing these strategic acquisitions, we expanded our sound platform for growth that drives Granite's diverse portfolio as America's infrastructural company. 2018 proved to be a year of significant evolution for a company that is nearly a century old."}, {"path": "tedlium_12.wav", "duration": 15.0, "text": "Earlier this year, we introduced a Korean barbecue meatballs shareable featuring Gochujang sauce as well as a new Pad Thai formulation, which is a popular dish where we have the opportunity to improve the flavor profile."}, {"path": "tedlium_13.wav", "duration": 15.0, "text": "Our future continues to look very bright for UQM as the commercial electrical vehicle market is continuing increase in its market adoption. And I want to thank, everyone, again, for your ongoing support, and we look forward to another exciting quarter."}, {"path": "tedlium_14.wav", "duration": 15.0, "text": "sometimes affect the conversion of that sale or they may not be converted into a sale, but it does not eliminate our sale. It does not take away sales from us. Therefore, we want to have in the marketplace responsible and reliable partners"}, {"path": "tedlium_15.wav", "duration": 15.0, "text": "our people to engage in that. That's exactly what Iberia has done. It's the reason why we say we are enthusiastic about the maintenance activity in Iberia because we've improved our cost performance and we are meeting the financial targets."}, {"path": "tedlium_16.wav", "duration": 15.0, "text": "The question we're currently evaluating is, how much of that payment is related to future services, and thus will have to be spread over the remaining period of the contract, and how much of it is"}, {"path": "tedlium_17.wav", "duration": 15.0, "text": "Thank you, operator. Before we get started, please note that some of the comments today that are not historical facts could be considered forward-looking statements under federal securities laws and are based on certain assumptions and expectations of management."}, {"path": "tedlium_18.wav", "duration": 15.0, "text": "It was not a small effort because you had product families and product configurations that were largely independent and different from one another across all of the companies within the Architectural segment that we had acquired over the last few years."}, {"path": "tedlium_19.wav", "duration": 15.0, "text": "Our storage business continues to operate below plan as many customers and potential customers are utilizing real storage in lieu of the caverns. We're continuing to work on additional contracts for this storage season, which we need to be in place by September time frame to benefit this year."}, {"path": "tedlium_20.wav", "duration": 15.0, "text": "the results of what we have been talking about. In the first half -- first quarter, we talked about what we were seeing in terms of activity in the marketplace, where clients were starting to think about spending significant amounts of money."}, {"path": "tedlium_21.wav", "duration": 15.0, "text": "So how do you -- how should we look at it from a 2-, 3-year perspective? Will it sort of stabilize and probably increase in line with your other expenses, or your advertising and publicity will tend to be more like a percentage of revenues?"}, {"path": "tedlium_22.wav", "duration": 15.0, "text": "the overall structure longer term because we're also differentiating and strengthening our product line as we go. And we would like to see more in terms of these project sales with the turnkey solutions and integrated pieces in those projects."}, {"path": "tedlium_23.wav", "duration": 15.0, "text": "the warehouse to pick for e-commerce, which breathes more life into them. So this is a evolving story, Vivien. And the outlook is not perfectly clear because the economics of many of these new digital channels"}, {"path": "tedlium_24.wav", "duration": 15.0, "text": "Our summer guests will have the opportunity to enjoy a great lineup of activities for the whole family, including ropes courses, zip lines, summer tubing and alpine coasters, along with incredible opportunities for experiential learning in a high alpine environment."}, {"path": "tedlium_25.wav", "duration": 15.0, "text": "The only area where we have been considering share buybacks is in the event of the IPO. And what we have said is the following and this is still true. We've said that"}, {"path": "tedlium_26.wav", "duration": 15.0, "text": "and now enabling all of the different product calls you need to connect with the different devices, to enable Binaural VoiceStreaming and get to the best audiological performance."}, {"path": "tedlium_27.wav", "duration": 15.0, "text": "One of the primary drivers of resolving our distressed loans is re-performance through modifications. Since last year, we have heightened our focus on using modification programs and have generated"}, {"path": "tedlium_28.wav", "duration": 15.0, "text": "And we are also pursuing a broad approach to recyclable cups. We have long espoused the importance of companies doing well by doing good, and we will not waver from our focus and leadership position in sustainability."}, {"path": "tedlium_29.wav", "duration": 15.0, "text": "We believe that we have developed the claim department structure and process, that combined with the highly trained and centralized staff, provide the foundation that allows us to build on our success in the area of transportation."}, {"path": "tedlium_30.wav", "duration": 15.0, "text": "The composition of our loan book and regional view are shown on Slides 33 and 34, and we are seeing positive trends in several of our markets and verticals, most notably commercial real estate and construction and our national lending platforms."}, {"path": "tedlium_31.wav", "duration": 15.0, "text": "And then the cash flow impact, could you give us an update on what you would anticipate for 2016? The reduced cash payments for losses, what does that mean for your free cash flow?"}, {"path": "tedlium_32.wav", "duration": 15.0, "text": "As you saw in our press release today, effective at the end of the fourth quarter, we deconsolidated our Venezuela operations and we began to account for our investments in Venezuela using the cost method of accounting in our GAAP financial statements."}, {"path": "tedlium_33.wav", "duration": 15.0, "text": "Okay. And so if we back out the Costa Rican new store impact on comps, was there any country or territory this past quarter that was negative? Or was everything flat to up?"}, {"path": "tedlium_34.wav", "duration": 15.0, "text": "either in the cloud or on the apps processor. And they're finding more and more applications that can fit in this processor. So as you go throughout the year and the products are introduced, we'll talk more about the use cases, but they, for sure, are expanding."}, {"path": "tedlium_35.wav", "duration": 15.0, "text": "in our case, as we look at the market from a quarter standpoint, we know exactly the units that we shipped. We obviously know exactly the revenue that we generated. We have very high specificity around what the inventory levels are in the wholesaler channel,"}, {"path": "tedlium_36.wav", "duration": 15.0, "text": "We used catalyst to plan and allocate our marketing spend across markets and brands at the beginning of the year. And now marketeers are using catalyst in their day-to-day roles to continuously optimize their spend based on the most current data."}, {"path": "tedlium_37.wav", "duration": 15.0, "text": "I'll begin today's call with a summary of our operational highlights for the quarter and then turn the call over to Rui to discuss the financial results in a little bit more detail. After that, I'll return with a few concluding remarks before opening up the call to questions."}, {"path": "tedlium_38.wav", "duration": 15.0, "text": "And then the third one is, whether this is right or wrong, it's just very difficult to be in this space without having a brand really in a traditional university in a traditional campus that's rooted in a physical location."}, {"path": "tedlium_39.wav", "duration": 15.0, "text": "How does that change going forward? How does the industry -- and you're the leader in the industry. How does the industry finally get to a point where they can earn their cost of capital at some point other than the peak of the 7-year cycle?"}, {"path": "tedlium_40.wav", "duration": 15.0, "text": "The emergence of new distribution channels offers the potential for our brands to reach more directly and deeply than ever before. You've heard us talk a lot about the investments we've made across these channels, and I'll come back to these later."}, {"path": "tedlium_41.wav", "duration": 15.0, "text": "which is a little bit above 11%. I think the things that help us get to the higher end of guidance are faster ramps of the projects that we have visibility to today and acceleration in the new business"}, {"path": "tedlium_42.wav", "duration": 15.0, "text": "You know that we have divested the China business, but it has not yet been closed, so China is still part of our numbers and are impacting the numbers more negatively than expected. But the problem is solved going forward."}, {"path": "tedlium_43.wav", "duration": 15.0, "text": "Virtual reality and new consoles are a wildcard in that business segment and could dramatically change the growth projections. And the fourth takeaway was that all of these combine to make GME a growing and diversified company."}, {"path": "tedlium_44.wav", "duration": 15.0, "text": "This is higher than last year primarily due to the unfavorable foreign exchange rates and capital spending in our new CIS segment. In addition, we made equipment purchases to expand manufacturing capacity in China."}, {"path": "tedlium_45.wav", "duration": 15.0, "text": "Regarding our second objective, which relates to our pipeline portfolio of innovative whole-product solutions, we continue to make progress. Starting with our drug delivery programs, we have targeted several aggressive milestones over the next several quarters."}, {"path": "tedlium_46.wav", "duration": 15.0, "text": "Improving application performance is just the beginning when it comes to removing friction so that our community can grow and enjoy Snapchat. We have recently launched partnerships with wireless carriers in over a dozen markets to begin reducing cellular bandwidth costs for Snapchatters around the world."}, {"path": "tedlium_47.wav", "duration": 15.0, "text": "Despite all the noise during the quarter, we're confident that we will have success passing through the price increases while we continue to focus on execution of our strategy to grow our sales and invest and manage our business for further operating leverage"}, {"path": "tedlium_48.wav", "duration": 15.0, "text": "Low interest rates, ample liquidity, and a search for yield continue to sustain the credit markets and buoy equity markets, creating a somewhat challenging investment environment through our countercyclical investment strategies."}, {"path": "tedlium_49.wav", "duration": 15.0, "text": "I should add that the majority of the assets that we have closed or are under contract were secured off-market, thus avoiding competitive option like bidding. This is a complement to our ongoing efforts to further develop our relationships throughout the industry."}, {"path": "tedlium_50.wav", "duration": 15.0, "text": "and hang on to the business that we have. And they also don't want to see antagonistic relationships, where we have multiple suppliers of the same product that have to compete through our channels. So"}, {"path": "tedlium_51.wav", "duration": 15.0, "text": "they'll ask us to look at that. So it's really -- it's a little bit of a 2-way street. A lot of our opportunities come from client-driven needs that they're talking to our account management and sales team about all the time."}, {"path": "tedlium_52.wav", "duration": 14.97, "text": "but we still want every quarter to be at a certain number and that I thought we were a little disappointed that we didn't get to the double-digit number, and we did see actually a slowdown post Diwali."}, {"path": "tedlium_53.wav", "duration": 14.97, "text": "Turning to Seven Seas Water on Slide 6. We had a very productive quarter with plants operating as expected. All plants either met or exceeded production expectations and the majority experienced increased demand from our customers"}, {"path": "tedlium_54.wav", "duration": 14.97, "text": "We are also planning to change our calculation of adjusted operating margins to exclude transaction amortization, so investors can get a better sense of core margin performance. We envision making this change starting with our first quarter reporting."}, {"path": "tedlium_55.wav", "duration": 14.97, "text": "So you were talking about O2O, and you were talking about advertisements, but that's an area of your strength from the past. So for financial services and its monetization, as you strive to make progress, I think there's a lot of still missing pieces."}, {"path": "tedlium_56.wav", "duration": 14.97, "text": "the first changes we've made to focus the business -- the storage business where we are dedicated to making sure that we decline less than a market that is in secular decline,"}, {"path": "tedlium_57.wav", "duration": 14.97, "text": "I also want to salute the heroic efforts of our Aramark team members who supported our clients, consumers and the broad communities in the face of several unprecedented natural disasters and who'll continue to do so with the cleanup efforts that lie ahead."}, {"path": "tedlium_58.wav", "duration": 14.97, "text": "ship out your products. However, if your products can not be sell-through, it will be very difficult for you. You have to protect your brand, you have to return the payments. You cannot have your products in the wrong places."}, {"path": "tedlium_59.wav", "duration": 14.97, "text": "when the market changes very fast, you don't want to be caught unprepared. For example, when it starts raining, you suddenly realize you don't have your umbrella or the bucket, then that -- you have a big problem. Regarding your second question,"}, {"path": "tedlium_60.wav", "duration": 14.97, "text": "But I think the one point we can make is we're starting to see that we get sort of a better grip on and visibility on what the overall pipeline looks like, and it is gradually coming down. And I think that's"}, {"path": "tedlium_61.wav", "duration": 14.97, "text": "which ended on September 30, 2016. Through this audio presentation, we would like to review the financial results and highlight the major factors that influenced Honda's business operations during the period."}, {"path": "tedlium_62.wav", "duration": 14.97, "text": "When we publish our third quarter actuals, we will also be updating our first and second quarter non-GAAP actual results to reflect this common measurement. This measurement will eliminate the noise associated with negative purchase accounting effects that are most pronounced in the software acquisitions"}, {"path": "tedlium_63.wav", "duration": 14.97, "text": "you have a very good idea of what the traffic patterns are now. So going forward, we shouldn't see more of these changes in the -- as dramatic a change in the mix as you've seen in the past? And you start to see the benefits of some of the circuit costs you spent?"}, {"path": "tedlium_64.wav", "duration": 14.97, "text": "Textbook sales were impacted by the delayed rush and the community college trends as well as increased consumer purchases directly from publishers and other online providers."}, {"path": "tedlium_65.wav", "duration": 14.97, "text": "such as corporate acquisition analysis, credit decisioning and fraud prevention. We have signed a number of large clients already across several industries and recorded real revenue in our first year of operation."}, {"path": "tedlium_66.wav", "duration": 14.97, "text": "But on the other end of that spectrum, older dogs, dogs with chronic diseases, they have inappetence that is much more of a chronic condition. So we would expect over time to see use in chronic, as vets get familiar with the product."}, {"path": "tedlium_67.wav", "duration": 14.97, "text": "as well as our performance during the third quarter and year-to-date, we remain confident in our ability to execute during the holiday season and into 2016. Before I conclude, I would like to take a moment to thank our associates"}, {"path": "tedlium_68.wav", "duration": 14.97, "text": "Such forward-looking statements are given as of the date of this call and involve risks and uncertainties. A number of factors and assumptions were applied in the formulation of such statements and actual results could differ materially."}, {"path": "tedlium_69.wav", "duration": 14.97, "text": "Just trying to figure out what exactly is kind of causing the shift. I think a big piece of it is that you guys are shifting more activity to the Delaware, which has a higher per well cost and that might be bringing up the average. But wanted to get your thoughts there."}, {"path": "tedlium_70.wav", "duration": 14.97, "text": "Silver Lake has extensive experience supporting both growth and margin expansion initiatives, and we believe their advice and support will help speed our transformation into a high-margin growth software company."}, {"path": "tedlium_71.wav", "duration": 14.97, "text": "for a protocol violation, after he received an unrelated vaccination for shingles just before his second dose of SEL-212. His uric acid level had been fully controlled over the first month."}, {"path": "tedlium_72.wav", "duration": 14.97, "text": "Having been in China since 1999, the strength of our brand, the trust we have built with our customers and partners and our working knowledge of the many nuances of the China market uniquely positions us for continued long-term success."}, {"path": "tedlium_73.wav", "duration": 14.97, "text": "But of even greater longer-term importance is the work we're doing to make our marketing more effective. Diageo has marketing flair. Our teams create great marketing campaigns to drive the growth of our brands,"}, {"path": "tedlium_74.wav", "duration": 14.97, "text": "So it's a combination. There's just not one easy answer. And I can tell you, we're very dedicated to those practices. Those geographies are very important to us. We have outstanding clients in those areas."}, {"path": "tedlium_75.wav", "duration": 14.97, "text": "So as is clearly illustrated, loading operations on blast holes are significantly complicated by the presence of wires. So you see the 2 pictures that I draw your attention. So this is how the traditional"}, {"path": "tedlium_76.wav", "duration": 14.97, "text": "that both gave you some cost absorption, actually, the growth could contribute some amount of earnings, and then we started to see some pricing that also helped us sustain 50% operating leverage over the last couple of years. We are now kind of entering a stage where our assets are a bit better utilized."}, {"path": "tedlium_77.wav", "duration": 14.97, "text": "At the beginning of July, we divested our household cleaning segment. The transaction is accumulation of many strategic actions we've taken over the last 7 years towards becoming a focused and leading consumer healthcare company."}, {"path": "tedlium_78.wav", "duration": 14.97, "text": "that started to ship in June. We believe, given the 6-month time frame provided, we will be able to sell out a significant portion of that capacity in the form of parent rolls and retail sales with margins comparable to or better than currently achieved."}, {"path": "tedlium_79.wav", "duration": 14.97, "text": "please be advised that this conference call will contain statements that are forward-looking and subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated. I would like to remind everyone that this conference call is being recorded today, Wednesday,"}, {"path": "tedlium_80.wav", "duration": 14.97, "text": "to work for less than their peers at other airline. We're not going to do that. So yes, we're going to sign contracts. When we sign them, they're going to be at those levels and yes. And no, we don't expect that"}, {"path": "tedlium_81.wav", "duration": 14.97, "text": "high single digits throughout the year and had moderated back to flat in Q3. And then also, we had the water purification business, which also was strong most of the year and took a little bit of a pause in Q3. So that's where the misses came, Steve."}, {"path": "tedlium_82.wav", "duration": 14.97, "text": "build plans to address unforeseen circumstances as they come up, but just keep our eye on the ball as it relates to delivering this year but also investing in things that are exciting and will lead to sustainable growth for the future."}, {"path": "tedlium_83.wav", "duration": 14.97, "text": "All of the details, by the way, are available on the Form 4s that we filed to disclose all of the details to grants to officers and directors. And I would like to add that most of these grants are performance-based grants"}, {"path": "tedlium_84.wav", "duration": 14.97, "text": "As I mentioned on our October call, our budget for repairs and maintenance expenses does not assume expenses related to property damage or other onetime items. Our updated guidance does include the impact of recent minimum wage changes in states such as Arizona and Washington."}, {"path": "tedlium_85.wav", "duration": 14.97, "text": "So with that, I just tell you, I think he is an ideal candidate to take over that role from our really long-standing Kamillo Kitzmantel that made an excellent job representing that company"}, {"path": "tedlium_86.wav", "duration": 14.97, "text": "is this -- the opportunities is more and more like a credit card kind of portfolio. And one of the attractive aspects of a credit card portfolio is actually you've got a high average credit score relative to the yield"}, {"path": "tedlium_87.wav", "duration": 14.97, "text": "In South Dakota, a bill requiring every school to have a safety plan and lockdown drills pass committee. In Indiana, the state senate is voting on a proposal to create a handbook of safety precautions schools can follow."}, {"path": "tedlium_88.wav", "duration": 14.97, "text": "a moving target there as well as in other countries. So we like to have that capacity that gives us liquidity and we think that it's an advantage to be able to move in areas that we need as we go into the next crop season."}, {"path": "tedlium_89.wav", "duration": 14.97, "text": "And so these are technologies that they'll turn off in very dire times, but they will end up turning it back on because it's not very smart economically to have these turned off for a long period of time because you're going to be basically blow out your pipe."}, {"path": "tedlium_90.wav", "duration": 14.97, "text": "The other area I think would be just kind of world economic health. I don't think the world's going to turn to recession, but it's kind of a flaky world right now, and it's almost a binary, things turn on and off"}, {"path": "tedlium_91.wav", "duration": 14.97, "text": "So customers with that profile are hidden. Not everybody gets to them, but we do. So that's basically it. We are going to places where we understand that"}, {"path": "tedlium_92.wav", "duration": 14.97, "text": "Also, we have a continued focus on safety and reliability. We have an unwavering commitment to top quartile safety performance and reliability, so we want to create value for not just the shareholders but our customers and our employees as well."}, {"path": "tedlium_93.wav", "duration": 14.97, "text": "Latin America had positive organic growth, but slowed compared to prior year because of lower pricing and the strike in Brazil. Pricing was still negative in the half, but improved significantly in the second quarter. Brazil"}, {"path": "tedlium_94.wav", "duration": 14.97, "text": "That's why we believe that it may be in the late second quarter or early in the third quarter that we may actually have this export license move through the process, but it is not something that is new."}, {"path": "tedlium_95.wav", "duration": 14.97, "text": "Today's remarks may also include financial measures that were not prepared in accordance with U.S. generally accepted accounting principles. Reconciliations of non-GAAP financial measures to the most directly comparable GAAP financial measures can be found in our earnings release"}, {"path": "tedlium_96.wav", "duration": 14.97, "text": "I just had a quick follow-up one to the -- a few questions ago on the capital recycling. I was just wondering if you could discuss, as you go forward and you're more balanced in terms of dispositions versus -- and the uses of those proceeds, what do you"}, {"path": "tedlium_97.wav", "duration": 14.97, "text": "And so I think we have a good level of confidence in the middle market right now. I think it does give us the capability to continue to recruit strong numbers. Keep in mind that you're always going to have a lag time as recruits pull through the licenses of a quarter or so."}, {"path": "tedlium_98.wav", "duration": 14.97, "text": "Although we set what I felt was a low bar of attaining historical job-to-date productivity at the end of the second quarter, we experienced slightly lower productivity than historical performance in Q3 and took an additional charge."}, {"path": "tedlium_99.wav", "duration": 14.97, "text": "In this study, no infants have discontinued or withdrawn from the study due to adverse events and no new safety concerns have been identified. These results are encouraging and we believe continue to highlight the need for newborn screening."}, {"path": "tedlium_100.wav", "duration": 14.97, "text": "And it's doing it all at a price point which allows us to show fantastic leasing spreads, but still be very significantly below new construction costs, while at the same time"}, {"path": "tedlium_101.wav", "duration": 14.97, "text": "I'd like to remind you that during this presentation, you'll hear some forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management's current expectations and are subject to uncertainty and changes in circumstances."}, {"path": "tedlium_102.wav", "duration": 14.97, "text": "This was largely kind of a second half phenomenon last year and maybe ran into a bit this year in terms of kind of the timing of the retirements and turnover that impacted some of the revenue."}, {"path": "tedlium_103.wav", "duration": 14.97, "text": "you're going to be increasing your capacity toward the end of the quarter, correct? And so I'm wondering what kind of discussions you're having about market penetration with your salespeople."}, {"path": "tedlium_104.wav", "duration": 14.9699375, "text": "Second, return to net profitability was one of the very few oil service companies to achieve this. Going forward, linked to the growth plan, we expect the profitability to move meaningfully higher."}, {"path": "tedlium_105.wav", "duration": 14.94, "text": "and an increase at our Trinidad plant due to an increase in volume of water delivered to our customer resulting from the plant expansion completed in 2016. The increases were partially offset by lower revenues at our BVI operation."}, {"path": "tedlium_106.wav", "duration": 14.94, "text": "A couple of news on the European Commission fine, we still do not have full clarity however, in September we were notified that the proceedings in our case by the Court of Justice"}, {"path": "tedlium_107.wav", "duration": 14.94, "text": "We have -- we expect to see the continued benefit of our more focused distribution strategy, which has been a strong driver for growth in 2015 as well as the initiative to put more of our products in more of the offices across the nation."}, {"path": "tedlium_108.wav", "duration": 14.94, "text": "where it's a lot easier to create product innovation and find more dynamic solutions for business owners. But we haven't seen that happen yet, but hopefully we will see that over the next few quarters."}, {"path": "tedlium_109.wav", "duration": 14.94, "text": "Continuing to grow the predictable and recurring revenues and taking our spot revenues as a proportion of our mix down. And improving the operating leverage in the business to give us scale where we want to add, we can add effectively and get the benefit from it."}, {"path": "tedlium_110.wav", "duration": 14.94, "text": "To round out the update, let me review the status of the rest of our pipeline. We continue to make progress expanding the availability of RAPIVAB by gaining approval in Canada in January and filing for approval in Europe earlier this year."}, {"path": "tedlium_111.wav", "duration": 14.94, "text": "As more and more of these contracts are transferred to us, we are able to increase our responsiveness and profitability. It is expected that at the current phase, however, it will still take several quarters to wrap up all of the assignments."}, {"path": "tedlium_112.wav", "duration": 14.94, "text": "The parent's free cash flows, as we define it, results primarily from the dividends received by the parent from the subsidiaries less the interest paid on debt and the dividends paid to Torchmark shareholders."}, {"path": "tedlium_113.wav", "duration": 14.94, "text": "This is a good time for me to interject a few comments about China tariffs, which is the other key factor that the industry is facing in Q3. While there is still a great deal of uncertainty and doubt about the effects of tariffs,"}, {"path": "tedlium_114.wav", "duration": 14.94, "text": "and is accretive to our overall margin profile of CSC. So that was one of the reasons why this became apparent to us last year, in particular,"}, {"path": "tedlium_115.wav", "duration": 14.94, "text": "either conservative in nature or really didn't have a lot of revenue associated with them. So as we've gone through the process, we've not seen a big change in our long-term outlook. Of course, like almost any other company, we're running"}, {"path": "tedlium_116.wav", "duration": 14.94, "text": "Today, we announced our first recorded royalties from commercial sales of Yescarta. We are entitled to a percentage of global Yescarta net sales as well as a portion of certain product milestones."}, {"path": "tedlium_117.wav", "duration": 14.94, "text": "Our last question is, will we be providing guidance for fiscal year '18? Revenue and profitability guidance is a difficult challenge, especially, when you're pursuing significant opportunities with new customers."}, {"path": "tedlium_118.wav", "duration": 14.94, "text": "for strategic deals if I'm reading that properly based on the accounts you named. What would you attribute that to? I know earlier in the year, activity there was a little bit lighter. It sounds like you had a nice comeback in the second half, as you called out. Is that just"}, {"path": "tedlium_119.wav", "duration": 14.94, "text": "in terms of any other REIT product type and even in terms of our returns to some of our competition, those are really off the chart even with a bit of compression in the unlevered returns for the cloud deals."}, {"path": "tedlium_120.wav", "duration": 14.94, "text": "We are now also starting to really take this out to the clients. We've already seen the pipeline for Entrada begin to grow. And we've certainly are now excited to be able to bring an analytics offering to the table as well."}, {"path": "tedlium_121.wav", "duration": 14.94, "text": "Nonetheless, our general consumer products fared very well overall. The year-on-year decline in sales primarily reflects the impact from the closing of a business at one of our subsidiaries."}, {"path": "tedlium_122.wav", "duration": 14.94, "text": "stay focused on delivering what we're talking about here in the back half of 2018, first and foremost. We're going to see how that goes, and we will continue to have a bias for investment in areas that deliver a return from a growth profile perspective."}, {"path": "tedlium_123.wav", "duration": 14.94, "text": "in 2016 compared to 2015. This is encouraging and speaks to our ability to meet the needs and wants of consumers with innovative design and high construction standards in locations where customers want to live."}, {"path": "tedlium_124.wav", "duration": 14.94, "text": "In our Products group, our Emerald KVM product line is getting traction in the market and supports our excitement for its future. This was a big step in the Products strategic plan to develop proprietary product lines in key targeted markets."}, {"path": "tedlium_125.wav", "duration": 14.94, "text": "During this call, certain statements we make will be forward-looking. I want to call your attention to our safe harbor provision for forward-looking statements that can be found at the end of our press release. The safe harbor provision identifies risk factors that may cause actual results to differ materially from the content of our forward-looking statements."}, {"path": "tedlium_126.wav", "duration": 14.94, "text": "When we approached them about establishing a referral arrangement to reach many more of their customers, not only were they interested, they have since signed up to use ARC themselves, that is, they will use ARC to invoice those very same customers we'll be selling to."}, {"path": "tedlium_127.wav", "duration": 14.94, "text": "the one I mentioned, Sihl was on Sage X3 is the name of their ERP, we have to build those connectors. We've gotten good at that. So the fact that we could get a company like Sihl up and running actually live with customers in just under 8 weeks and do a connector"}, {"path": "tedlium_128.wav", "duration": 14.94, "text": "would be to try to get to at a cost basis of closer to 4% over the course of time. I'm not going to burden the new CFO with that expectation. But I think if you go back and look at some of our statistics,"}, {"path": "tedlium_129.wav", "duration": 14.94, "text": "It will be delivered in 5 areas. The first pillar is net revenue management. We believe we can access significant value in headline pricing, the effectiveness of our trade investment and promotional spend."}, {"path": "tedlium_130.wav", "duration": 14.94, "text": "larger partner and employee footprint, so they can weather some of these storms probably easier than we can. I think -- but I think the premise of your question is accurate."}, {"path": "tedlium_131.wav", "duration": 14.94, "text": "I would add that the quarter started off very strong, including one of the best Fort Lauderdale boat shows we have ever produced. However, as the industry data has shown, December was weaker than expected and tempered the overall strength in the quarter."}, {"path": "tedlium_132.wav", "duration": 14.94, "text": "On the Susquehanna-Roseland project, we demonstrated our ability to cooperate with multiple state and regulatory government agencies and to partner with a neighboring utility, which built an additional 50 miles of transmission line in New Jersey as part of that project."}, {"path": "tedlium_133.wav", "duration": 14.94, "text": "Do you have any idea like what that could turn into at some point? Or is it just way too soon to tell? Well, I think it is too soon. And of course, they are growing from a small base so I get excited about higher growth rates."}, {"path": "tedlium_134.wav", "duration": 14.94, "text": "Turning to Slide 9. As we look to the future, we are excited to be a leader in this industry. With our diverse portfolio and leading market positions, we see many catalysts for continued profitable growth."}, {"path": "tedlium_135.wav", "duration": 14.94, "text": "but we are doing what we said we're going to do. We think our business is -- our business, underlying business, is sound and we think we're well positioned to continue to deliver strong growth in a challenging environment. And Andrew, it builds on the success and you could see the trend as we play through the year,"}, {"path": "tedlium_136.wav", "duration": 14.94, "text": "What I think we can say is, tipi continues to demonstrate a very high level of clinical activity in this population. And we're doing everything we can to try to pursue all options for accelerated development."}, {"path": "tedlium_137.wav", "duration": 14.94, "text": "This renewed and extended commitment from these leading institutions and the additional flexibility under the credit agreement provide a great runway for the company to continue to pursue its long-term growth strategy."}, {"path": "tedlium_138.wav", "duration": 14.94, "text": "Thank you, Peter, and good morning to everyone joining us on the call. It's been a productive first half of the year with a lot of activity underway as we continue to execute against our strategy to drive organic growth,"}, {"path": "tedlium_139.wav", "duration": 14.94, "text": "And that actually includes the cost of building out the residential mortgage business. That cost, we're not really going to see much recovery of our expense there. It's a little bit of lead time as you build that out. We've brought in a really talented team from Astoria"}, {"path": "tedlium_140.wav", "duration": 14.94, "text": "In summary, it was a solid operational performance by the Industrial teams, holding organic growth flat and expanding the operating margin rate despite soft infrastructure and global industrial markets as well as a significant currency drag."}, {"path": "tedlium_141.wav", "duration": 14.94, "text": "As we announced earlier in the year, we no longer sell our paint products to Mitre 10 New Zealand and are now aligned with Bunnings in big box hardware retailing in New Zealand. The transition occurred later in the year and resulted in a modest decline in profit for the New Zealand business."}, {"path": "tedlium_142.wav", "duration": 14.94, "text": "We appreciate your continued interest in LGI Homes. During today's call, I will summarize the highlights from the fourth quarter and the full year. After -- then Charles will follow up to discuss our financial results in more detail."}, {"path": "tedlium_143.wav", "duration": 14.94, "text": "Is that -- I mean, you mentioned some of the drivers. But I mean, is a lot of this just the pipeline and work is good, the new products are good? And I mean, do you think we're just in a period that might be a little better than normal over the next couple of years?"}, {"path": "tedlium_144.wav", "duration": 14.94, "text": "We continued to win in the higher value segments of the business. Performance Athletic is a good example, where growth has been consistently strong, better than 15% annually over the past couple of years."}, {"path": "tedlium_145.wav", "duration": 14.94, "text": "As you may recall from prior announcements, Don recently accepted this new assignment, which is focused in part of preparing our company to effectively execute the operational product and cultural integration of winning new acquisition that might take place in the future."}, {"path": "tedlium_146.wav", "duration": 14.94, "text": "But they're a little bit wider spreads. They're a little bit less leverage. We've been able to get stronger covenants. So I think this erosion of covenants and sort of erosion of credit quality is one of the reasons why we've designed our program the way we've designed it."}, {"path": "tedlium_147.wav", "duration": 14.94, "text": "We expect in the next 90 days to be able to make announcements and discuss some of the things to achieve the goal that we outlined on May 7 to you. And it all remains on track, and we continue to thank you for your patience. And hopefully,"}, {"path": "tedlium_148.wav", "duration": 14.94, "text": "The majority of this cash is earmarked for future debt reduction and share repurchases. We consider that the success we've had with the disposition program has prefunded these strategic priorities."}, {"path": "tedlium_149.wav", "duration": 14.94, "text": "to a permanent answer. And so hedging is never going to be a permanent solution to deal with commodity fluctuation. Ultimately, you have to get price or you have to get cost out of your business, and so yes, we do hedge."}, {"path": "tedlium_150.wav", "duration": 14.94, "text": "We were fully reserved for the underlying claim. However, we do not agree with the decision and particularly disagree with the decision to issue penalties, which we did not think was likely or warranted. The law is very clear that we were entitled to rely upon the opinion of legal counsel."}, {"path": "tedlium_151.wav", "duration": 14.94, "text": "Our marketing team has also assembled a large group of nationally recognized key opinion leaders into a trained speakers bureau, which will educate chartered nephrologists and endocrinologists on appropriate use of Rayaldee. As a reminder,"}, {"path": "tedlium_152.wav", "duration": 14.94, "text": "I think the second perspective that we've developed as a senior team here is because it's more fixed than variable, we actually need to find ways that in good times we create more margin expansion and more leverage."}, {"path": "tedlium_153.wav", "duration": 14.94, "text": "One of the most important things that we're doing in the company is our fleet -- refleeting that Express. And if there's possibility to accelerate that, it's the highest return project that we have out there and it's something we would look at."}, {"path": "tedlium_154.wav", "duration": 14.94, "text": "can you talk about the sustainability? I understand it's more driven by you rather than the end market, but once you get into the space and once you're an approved vendor, why should this trend not be sustainable, say, over the next multiple quarters?"}, {"path": "tedlium_155.wav", "duration": 14.94, "text": "Let me walk you through a handful of these capabilities to illustrate how we're being responsive to the specific needs of the technology industry and differentiating ourselves in the market."}, {"path": "tedlium_156.wav", "duration": 14.9100625, "text": "Digital gaming continued to be a solid segment, although slower growth in some of our publishers. The Kongregate segment provided some growth in the quarter, and we expect strength in our DLC segment in conjunction with new software launches throughout the year."}, {"path": "tedlium_157.wav", "duration": 14.91, "text": "In order to identify the value of 5G technologies, we are starting pilots with a number of business partners. Through these use cases, we will determine the value of new technologies for different industries."}, {"path": "tedlium_158.wav", "duration": 14.91, "text": "And while our focus on traditional retailers remains core, we are seeing strong progress in e-commerce where sales are up ahead of our objectives at more than 30% for the fiscal year having accelerated into the fourth quarter."}, {"path": "tedlium_159.wav", "duration": 14.91, "text": "The key components of the impairments and unusual items are outlined on Slide 7 of our investor presentation, and I'll talk briefly to the key -- to each of the 5 categories in the table."}, {"path": "tedlium_160.wav", "duration": 14.91, "text": "posting a revenue improvement over the second quarter of 11.2%. As you have heard, the future of Fred's Pharmacy is centered squarely on healthcare and is driven by our retail and specialty pharmacies."}, {"path": "tedlium_161.wav", "duration": 14.91, "text": "Common alloy aluminum conversion pricing has remained fairly stable as did our volume levels in 2016. Most of our common alloy aluminum products are sold to sheet metal fabricators that support a variety of end markets."}, {"path": "tedlium_162.wav", "duration": 14.91, "text": "very strong eCom growth. And so it's a year that we were in most cases very happy with. We try to the best of our capability to be very transparent to you and tell you what we think goes well and not well and we hope that it allows you to make a better decision. But I would also"}, {"path": "tedlium_163.wav", "duration": 14.91, "text": "however, this segment was unfavorably impacted by the severe weather in early January and the series of nor'easters in March, which contributed to a decline in the regional segments financial results compared to last year."}, {"path": "tedlium_164.wav", "duration": 14.91, "text": "These range improvements were a key driver of our seasonal performance with Christmas cards, wrap, gifting, seasonal WIGIGs, diaries, calendars and decorations all delivering a strong performance over the Christmas period."}, {"path": "tedlium_165.wav", "duration": 14.91, "text": "We've seen other signs that there is some softness in some other areas of the core market in Europe, where it's very difficult for us to really have good guidance, and how much of that is absolutely the market versus absolutely our integration activities. But"}, {"path": "tedlium_166.wav", "duration": 14.91, "text": "As has been our norm, I'd like to begin with an overview of our financial results for the quarter and then discuss markets and strategy. Then I'll turn the call over to Vikram Jog, our CFO, for a more detailed financial review before offering closing remarks and taking questions."}, {"path": "tedlium_167.wav", "duration": 14.91, "text": "at appliedmaterials.com. And now I'd like to turn the call over to Gary Dickerson. Thanks, Mike. I'm pleased to report that our revenue for the quarter was up 19% compared to the same period last year and the second highest in the company's history."}, {"path": "tedlium_168.wav", "duration": 14.91, "text": "growing ahead of the market, that I think there's no doubt about it. We're also coming from a position which I think is important to understand where we have -- we are not distributed in the area that we really needed to. The evolution of the omnichannel and digital is helping our growth rate,"}, {"path": "tedlium_169.wav", "duration": 14.91, "text": "which was paid on October 3. This quarter's dividend increase follows the 16.7% increase announced in February and is the third dividend increase since we completed the Lorillard acquisition last June."}, {"path": "tedlium_170.wav", "duration": 14.91, "text": "Let's begin with the quarter. We're now about halfway through executing the financial strategy we announced 18 months ago. As this quarter's results show, we're making solid progress on key aspects of our plan, and we're on track to meet our goals for the year."}, {"path": "tedlium_171.wav", "duration": 14.91, "text": "We believe a large part of what drives retailer performance in these community shopping centers is their increasing differentiation from super regional malls, which are increasingly driven by leisure and entertainment or day-out type shopping."}, {"path": "tedlium_172.wav", "duration": 14.91, "text": "so it's paperless. But it's actually planning the route. So if you called in right now, and we needed to get out to see you today, we could actually drop that in to the route for the day, so we could get out to you very, very quickly."}, {"path": "tedlium_173.wav", "duration": 14.91, "text": "We are excited to have Gates entering its next phase as a public company, and we believe we are well positioned to achieve our growth objectives while remaining focused on creating value for our shareholders."}, {"path": "tedlium_174.wav", "duration": 14.91, "text": "some of the challenges they have there and some of the solutions that we provide. So it's not a commentary at all on '16. But like everybody else, we can look at the coal generation numbers in the first quarter of 2016 and they were down."}, {"path": "tedlium_175.wav", "duration": 14.91, "text": "customers love to come in and just like go and have fun in. And George is putting processes in place and consistency. But at the end of the day, it's about making the store experience great. And I'm really pleased with the progress our operating team's made, and"}, {"path": "tedlium_176.wav", "duration": 14.91, "text": "So believe me, we will make the right decisions. But at this point, it's our belief that we can do a better job running the system. And as you see more innovation, more retail disruption, we cannot afford friction with the distribution system."}, {"path": "tedlium_177.wav", "duration": 14.91, "text": "In addition, the potentially small compression of loan yields caused by floor rates on a portion of our portfolio is now behind us as we have pierced through the floor on 98% of the loans with floors."}, {"path": "tedlium_178.wav", "duration": 14.91, "text": "There's also been speculation within the investment community that the HAAS contract was under review for cancellation or significant changes. I want to dispel that myth today. We maintain a collaborative working relationship with our client."}, {"path": "tedlium_179.wav", "duration": 14.91, "text": "First and foremost, that is a great segment of the market that's going to grow double digit for the foreseeable future, and is going to have legs for a long time to come. And so we like our position in that market. We like our -- we're positioned with customers in that market."}, {"path": "tedlium_180.wav", "duration": 14.91, "text": "representing an effective tax rate of almost 49%. Our GAAP tax rate for each of the upcoming quarters is difficult to predict and could be volatile as the rate will be dependent on several factors, including the operating results of our U.S. and foreign locations,"}, {"path": "tedlium_181.wav", "duration": 14.91, "text": "The programs has so far generated more than 1,300 ideas and initiatives with individual initiatives benefits ranging from thousands of dollars to multimillions over fiscal year '17 and beyond."}, {"path": "tedlium_182.wav", "duration": 14.91, "text": "we haven't had any discussions specific about that. But that question has come up from people. I got to tell you, for all the hard work that we've done, I just don't see how that makes sense right now when we're so far down the path."}, {"path": "tedlium_183.wav", "duration": 14.91, "text": "I won't give you any more details than that since the customer is still analyzing the bidders. And there's another one we will be bidding in about a month, which is equally as big."}, {"path": "tedlium_184.wav", "duration": 14.91, "text": "to our capital by virtue of a higher tax rate. And therefore, while we did all of our analysis, assuming that there's not going to be any changes in metrics, you would have to consider that, that benefit to the strengthening of, effectively, our after-tax reserves is something that would be considered into what would ultimately be deemed"}, {"path": "tedlium_185.wav", "duration": 14.91, "text": "So I -- it's a little bit hard for me to commit to that, although I think there is one customer that is desirous to press release with us on what they're doing at 300-millimeter. But for the most part, I think it's just to track the revenue and listen to the calls, watch the numbers."}, {"path": "tedlium_186.wav", "duration": 14.91, "text": "For the full year 2017, the highlight to me was the great revenue balance across end markets, geographies and product lines, resulting in consistent sales performance and double-digit earnings per share growth in each quarter of the year."}, {"path": "tedlium_187.wav", "duration": 14.91, "text": "The judges said it best. It would not be an overstatement to say that the pressure for reform from USA TODAY's reporting has significantly reduced the possibility of a public health crisis."}, {"path": "tedlium_188.wav", "duration": 14.91, "text": "One other thing I would add is we're not seeing the adoption of scrubbers at the pace that we anticipated a few months ago. I think it's been much"}, {"path": "tedlium_189.wav", "duration": 14.91, "text": "Without control, you cannot safely harness the benefit of IL-12. Indeed, we can directly see from our clinical data that the tumor tries to defend itself from this invading army of T cells with an upregulation of checkpoint."}, {"path": "tedlium_190.wav", "duration": 14.91, "text": "And these markets are not always that easy to work in. So that means market-by-market, we need a little bit different strategy, but I come to that later. So"}, {"path": "tedlium_191.wav", "duration": 14.91, "text": "The fourth quarter was one of sustained momentum for Redwood across our business lines, despite the market-wide volatility we saw towards the year-end. We took advantage of attractive prices, adding several line items to the portfolio at compelling levels."}, {"path": "tedlium_192.wav", "duration": 14.91, "text": "While line extensions and close-in innovations such as these will play a role in our path to growth, we will also launch new platforms that extend the strength of our iconic brands to meet consumer needs."}, {"path": "tedlium_193.wav", "duration": 14.91, "text": "we are optimizing our marketing efforts of the life sciences products within these businesses by now leveraging the international brand strength of the Extract name for all life science sales and marketing efforts across the globe on a go-forward basis."}, {"path": "tedlium_194.wav", "duration": 14.91, "text": "which is good for Finning. I mean, we're a second derivative beneficiary of that type of activity. And then you know that the liberals with the new federal government are pretty committed to infrastructure spend. We just haven't had a lot of details on where they're going to spend it. So"}, {"path": "tedlium_195.wav", "duration": 14.91, "text": "Candidates on both sides of the presidential contest this year spent far less than their 2012 predecessors. In addition, neither political party spent any significant money supporting their nominee with advertising, and many of the super PACs skipped the race entirely."}, {"path": "tedlium_196.wav", "duration": 14.91, "text": "to mitigate oil production and in fact, increase production out of our remaining oilfields. They are attractive investment opportunities at this oil price and we've taken our time to really mature those prospects to where we're now very comfortable in growing them."}, {"path": "tedlium_197.wav", "duration": 14.91, "text": "And unfortunately, the competition figured this out and it's been stealing share, so we've got work to do. And then the third one that we pointed to was Wish-Bone. Now this is a big category. It's also a great brand. But frankly, it has not benefited from enough disruptive innovation."}, {"path": "tedlium_198.wav", "duration": 14.91, "text": "This is a good example of the type of work that our origination team is doing to meet the needs of these customers. They're trying to customize products that work specific to their needs around energy management. We are well positioned to"}, {"path": "tedlium_199.wav", "duration": 14.91, "text": "But I think what gives it us is that there's opportunities that we see in there where through the -- perhaps the ROFO that we had as part of the midstream transaction, and some other activities that other parts of the organization are undertaking"}, {"path": "tedlium_200.wav", "duration": 14.91, "text": "the market would give us funding at a price that's not significantly higher than what we have in our plans. So we will be opportunistic and wait for the spreads in the market to"}, {"path": "tedlium_201.wav", "duration": 14.91, "text": "we are unable at this time to provide specific estimates as to the pace and impact of these improvements during fiscal 2020. Second, as many are aware, on February 25, our fifth-largest customer filed a voluntary petition for reorganization."}, {"path": "tedlium_202.wav", "duration": 14.88, "text": "These result were achieved under market condition that have yet to show significant sign of improvement, not mentioning the challenge of working is a low selling price environment in our industry."}, {"path": "tedlium_203.wav", "duration": 14.88, "text": "The investments in Capital Contractors, Garden Fresh and Gerli were already valued at 0 as of December 31 of last year and therefore the realized losses did not affect our net asset value during the quarter."}, {"path": "tedlium_204.wav", "duration": 14.88, "text": "So various pieces of data acquisition is what we are trying to do. We're working hard to do so and we're trying to look at a variety of options. Ozawa-san, do you have anything to say? Are you talking about POS data for example?"}, {"path": "tedlium_205.wav", "duration": 14.88, "text": "from an ongoing EBIT standpoint it is not really going to have an impact. As far as further reducing costs on that business, all those costs are really contained in Irapuato, and there was very little cost here dealing with that particular issue. So I don't think we're going to see anything"}, {"path": "tedlium_206.wav", "duration": 14.88, "text": "And so I guess my question here is do you expect a significant improvement in terms of your cash collections when this second company comes on board and becomes"}, {"path": "tedlium_207.wav", "duration": 14.88, "text": "generally, you're going to have deleverage, and you're going to have excess labor, maybe excess food, although we don't usually -- we have multiple deliveries a week, and so we don't usually have a problem unless we are closed because of a snowstorm for multiple days. But there's no question about it. When we have predictability"}, {"path": "tedlium_208.wav", "duration": 14.88, "text": "at that point because it's too early in the year? Or should -- is it very realistic that we could actually see loan growth exceeding 2017 levels given where we are in the economy and maybe some tailwinds from the tax reform?"}, {"path": "tedlium_209.wav", "duration": 14.88, "text": "So a good portion of it is more of the kind of stainless flat rolled where we have followed the market trends more from a pricing standpoint. But then we've also got a lot of stainless long products in there, a lot that goes into energy."}, {"path": "tedlium_210.wav", "duration": 14.88, "text": "Revenue and volume growth were excellent. Separate and distinct comparisons of the old NeoGenomics and the old Clarient will become less appropriate for us in the future as we integrate customers and lab systems,"}, {"path": "tedlium_211.wav", "duration": 14.88, "text": "Well, they're going to -- it's going to largely vary. We're training the competitive surgeons because as we put a robot in, they need to get trained on it. And what you're also seeing reflected in our new numbers, Bob, is as they get a new robot, one of the first steps, if they are a competitive account"}, {"path": "tedlium_212.wav", "duration": 14.88, "text": "in that leading association, who were really excited because they see this combination as very, very powerful for them. So when a customer gets excited about the combination of competencies, that's always a good indicator that we're going to have commercial success."}, {"path": "tedlium_213.wav", "duration": 14.88, "text": "Customers are deploying all modules of the BIM 360 platform, and I am excited to share that large customers like AECOM, Arcadis, Swinnerton and Layton have already started adopting our new platform, and we look forward to more customers doing the same."}, {"path": "tedlium_214.wav", "duration": 14.88, "text": "additional improvement over and above the performance this quarter will be difficult to achieve. In particular, the decline in Marketplace margins that we expect in the second half will be especially notable in Texas."}, {"path": "tedlium_215.wav", "duration": 14.88, "text": "The increasing influence on patient navigation is in the center of that initiative. And patient navigation in the middle of Hesse and in the north of Hesse,"}, {"path": "tedlium_216.wav", "duration": 14.88, "text": "which is defined as distributable cash flow divided by distributions declared on the weighted average common and subordinated units outstanding during the quarter, was 0.81x in the fourth quarter."}, {"path": "tedlium_217.wav", "duration": 14.88, "text": "and we will be using the same strategy of refinancing for upcoming operations as well. Now I'll remind you that in the real estate line in the consolidated statements, you have 2 compartments. The first one is carried out with the financial"}, {"path": "tedlium_218.wav", "duration": 14.88, "text": "The growth in this category was driven primarily by adding more accounts and more spend. Our toll business had another great quarter, up 17% organically. The growth in this category was driven primarily by a combination of more new sales,"}, {"path": "tedlium_219.wav", "duration": 14.88, "text": "when compared to others. And I believe that the entire market will benefit from this benefit. And this is good for the entire market. It's good to all consumers. And I honestly hope that all"}, {"path": "tedlium_220.wav", "duration": 14.88, "text": "of 2017. We can talk about that later, but we clearly had an issue there in the first half of '17. It recovered in the second half of 2017, and we expect that will continue to be a big portion of our business."}, {"path": "tedlium_221.wav", "duration": 14.88, "text": "It is clear that Mueller has been able to access market segments that were previously denied to it by leveraging the Trimble presence. On the other side, Trimble has achieved greater access to agricultural OEMs through the historical Mueller network."}, {"path": "tedlium_222.wav", "duration": 14.88, "text": "These strategies are coming to life through exciting, innovative products like those we've recently launched. All in all, this quarter, we launched a total of 58 products in 51 countries as well as a few in the past couple of weeks that I want to share with you now."}, {"path": "tedlium_223.wav", "duration": 14.88, "text": "what's going on in the data center space relative to the cloud space. Because when you think about what we simply do, all we are doing is building these digital factories that help these cloud companies grow. And we're in the business of building digital factories, and"}, {"path": "tedlium_224.wav", "duration": 14.88, "text": "I'll begin my remarks today with an overview of the key highlights from this past quarter, including an update on our Marlin 2.0 initiative that I outlined on our call last quarter, which is aimed to taking Marlin to its next level of growth and profitability."}, {"path": "tedlium_225.wav", "duration": 14.88, "text": "and harvest new loans out of the market, competition is very tough on both fronts. When you talk about credit quality, we continue to not see any -- we haven't seen a one-off here, we haven't seen any signs in any"}, {"path": "tedlium_226.wav", "duration": 14.88, "text": "And while we are very clear that the visibility that one has on the rural viewership should be monetized, and that should be a win-win for advertisers and broadcasters both, I think the exact"}, {"path": "tedlium_227.wav", "duration": 14.88, "text": "Anyway, that's just a few comments on the quarter, quick highlights as we run through them. We've got all the management team here, so I thought maybe we'd hit them up for some more color before we jump into questions from callers."}, {"path": "tedlium_228.wav", "duration": 14.88, "text": "In accordance with our conditional approval from the European Commission, we are also preparing for the successful divestiture of certain assets of our Crop Protection business to FMC after the closing of the merger with Dow."}, {"path": "tedlium_229.wav", "duration": 14.88, "text": "For our strand siding portfolio, that would be a major opportunity for us to put incremental volume into that business. We are in the testing phase of that product now. And so with that, we have all hands on deck on developing"}, {"path": "tedlium_230.wav", "duration": 14.88, "text": "for it to stop being dynamic, i.e, at what point do you think, okay, we can draw a line under this, it's not going to increase anymore? Or is there a risk that as we get through '18 or '19, you say, well, actually '20 is a bit worse?"}, {"path": "tedlium_231.wav", "duration": 14.88, "text": "We have more than adequate liquidity to fund lending opportunities while maintaining a slightly asset sensitive balance sheet. And we are increasing our efforts to improve the investment portfolio yield in order to increase the margin in earnings."}, {"path": "tedlium_232.wav", "duration": 14.88, "text": "They are work we do well -- we're performing well. And even in those large communications clients that are temporarily going through some volatility, we're multiple programs top stacked ranked in their performance queues."}, {"path": "tedlium_233.wav", "duration": 14.88, "text": "And in an improving economy, that can have a much more positive impact in our business. And that's why, Mark, we're very excited about adding this element to our management team."}, {"path": "tedlium_234.wav", "duration": 14.88, "text": "Please see Page 19. Lastly, I will discuss ESG and provide a summary of this strategy. We believe that it is the responsibility of global companies to create both social value and economic value."}, {"path": "tedlium_235.wav", "duration": 14.88, "text": "particularly in our traditional 40 Act business. We are also redoubling our investments in the faster growing segments and areas of strategic focus, including exchange traded funds, private equity and alternative investment businesses."}, {"path": "tedlium_236.wav", "duration": 14.88, "text": "is to make sure that we're continuing to make the investments necessary to stage our business for the long term as these emerging markets recover. And so it's a constant monitoring of how we're performing, but we think we're getting the right balance here,"}, {"path": "tedlium_237.wav", "duration": 14.88, "text": "Yes. I think we take great pride on being strong stewards of this firm's capital. I think we have done a very effective job, trying to balance the amount of dollar reinvestment into the business"}, {"path": "tedlium_238.wav", "duration": 14.88, "text": "are also expected to increase significantly, partly as a result of the factors that I discussed earlier and partly because of seasonally higher corporate costs in the first quarter due to health and fringe-related costs."}, {"path": "tedlium_239.wav", "duration": 14.88, "text": "is that merchants are not choosing one platform to sell in. They are choosing many to sell in, and then PayPal becomes the aggregation point for them to connect to each of those platforms. And so like with One Touch seller sign-up, as they're discovering more and more new platforms out there, one of the most difficult things"}, {"path": "tedlium_240.wav", "duration": 14.88, "text": "And perhaps you could elaborate a little bit on what impressive margin execution in Lighting meant in terms of year-over-year improvement or sequential improvement or kind of how you're run rating in that business?"}, {"path": "tedlium_241.wav", "duration": 14.88, "text": "At this point, March activity also looks to be trending similarly to the strong start for the year. So early indications for 2017 are positive, but much of the quarter's performance will be driven by what we see in the next 31 days."}, {"path": "tedlium_242.wav", "duration": 14.88, "text": "As we highlighted last quarter, a second key contributor to our strong flow results is the broad range of high-performing strategies we offer in investment areas having particular appeal during periods of rising interest rates such as we are now experiencing."}, {"path": "tedlium_243.wav", "duration": 14.88, "text": "We have already completed 4 of these steps, and we continue to work on changing the culture of Air Products by focusing on safety, simplicity, speed and self-confidence."}, {"path": "tedlium_244.wav", "duration": 14.88, "text": "These results were achieved through a combination of continued focus on delivering highly valued services to our clients and persistent scrutiny of our cost structure in response to the changing dynamics in the industries in which we operate."}, {"path": "tedlium_245.wav", "duration": 14.88, "text": "Overall, we remain highly confident in our strategic plan and our ability to deliver solid execution for our customers and create value for investors. We remain focused on growing our business through organic initiatives and targeted acquisitions,"}, {"path": "tedlium_246.wav", "duration": 14.88, "text": "and this is on initial pricing by the engine manufacturers and by the cooling plants and a number of other items that one would consider in this conversion"}, {"path": "tedlium_247.wav", "duration": 14.88, "text": "This decrease in the seasonal loss was largely due to colder weather across our service territory, which resulted in 19% higher natural gas retail volumes across all service territories"}, {"path": "tedlium_248.wav", "duration": 14.88, "text": "And finally, regulatory capital ratios all exceed the levels required to be considered well capitalized and the tangible common equity ratio increased from 7.39% and at the end of the first quarter to 7.76% as of the end of the second quarter."}, {"path": "tedlium_249.wav", "duration": 14.88, "text": "Apart from... There is nothing that is materially something that we need to talk about today. Like I said, we would continue to receive many of these opportunities to evaluate. And our internal bias is always to build."}, {"path": "tedlium_250.wav", "duration": 14.88, "text": "The related profit impact is reflected in the full year outlook that Mark will discuss in a few moments. We believe these actions are necessary to protect our competitive positioning in the near term."}, {"path": "tedlium_251.wav", "duration": 14.88, "text": "extremely excited about the progress we've made as it relates to understanding the Alent business, and then integrating the management team. Other than the senior executives at Alent, we have pretty much retained most of the senior management"}, {"path": "tedlium_252.wav", "duration": 14.88, "text": "were shut down, and they are not reopening, at least not for now. We are not anticipating any further opening of stores or any significant opening of stores."}, {"path": "tedlium_253.wav", "duration": 14.88, "text": "We've improved our internal capabilities through dedicated program management teams and have added to our internal actuarial and claims resources. We have targeted unprofitable programs for corrective action or termination. We have now instituted stricter underwriting policies."}, {"path": "tedlium_254.wav", "duration": 14.88, "text": "Doctors want this data, and we want and need more doctors to qualify as being among our best care providers. We find the better doctors, whom we refer to as premium designated physicians,"}, {"path": "tedlium_255.wav", "duration": 14.88, "text": "deliver to prototype in what is an irregular box. And it's not the typical ground-up scenario. We've done a number of these, so we've been able to keep some cost efficiencies in line in working with our retail partners on the operations side."}, {"path": "tedlium_256.wav", "duration": 14.88, "text": "Going forward, of course, it is very important for us to be able to make sure that we will be able to generate growth in the service business just to make sure that we will be able to continue the profitability improvement in the future as well."}, {"path": "tedlium_257.wav", "duration": 14.88, "text": "I am especially pleased to welcome you to this call as the CEO of Biogen. Before I turn to the details of the quarter, I would like to share some initial thoughts on how Biogen is positioned today, and where we see the company progressing."}, {"path": "tedlium_258.wav", "duration": 14.88, "text": "Similarly, it's difficult to articulate the disappointment that we didn't extend that further into the second half after a series of seismic events in South Africa ended that run in the last 6 months of the year."}, {"path": "tedlium_259.wav", "duration": 14.88, "text": "Even with our record sales performance in 2017, 2017 was admittedly a difficult year for Engineered Materials and the industry as a whole as we were challenged with raw material pricing pressures."}, {"path": "tedlium_260.wav", "duration": 14.88, "text": "The most fundamental challenge many of our clients face in addressing this leakage is the complexity and sheer volume of data that must be aggregated, harmonized and interpreted to feed advanced analytics and visibility tools."}, {"path": "tedlium_261.wav", "duration": 14.88, "text": "We also experienced a much higher level of closings in the second half of last year, which will start to hit revenue in the middle to end of this year and cause health plan revenue to, again, be heavily back end-loaded."}, {"path": "tedlium_262.wav", "duration": 14.85, "text": "A-C-A-M. And we've actually been very positive on that now being in place and allowing that portion of the market to go forward and not have uncertainty so they can invest. So we see both of those proceeding at pace."}, {"path": "tedlium_263.wav", "duration": 14.85, "text": "if the same set of events happened again this year, another way to think about it other than just absolute dollars is loss ratio points for the year. And we're talking about 5 or 6 points"}, {"path": "tedlium_264.wav", "duration": 14.85, "text": "I'm very excited about being -- taking up the leadership role at Dominican Republic, and I look forward to working with the government community and the employees to deliver increased value for our owners and also the stakeholders within the Dominican Republic."}, {"path": "tedlium_265.wav", "duration": 14.85, "text": "the second quarter financials that are part of that S-1 will become stale. So we'll need to amend our S-1 for our third quarter financials, which you see before you today."}, {"path": "tedlium_266.wav", "duration": 14.85, "text": "Not much. No. There's nothing new about that idea or chatter associated with it. A lot of times what I think you see there is that players are looking to work together in the industry, but it's more focused on analytics."}, {"path": "tedlium_267.wav", "duration": 14.85, "text": "Secondly, our focus on key cities. Our 6 key cities in the world continue to set a pace and influence for the rest of the world on how fashion and sports trends are being created and also being rolled out."}, {"path": "tedlium_268.wav", "duration": 14.85, "text": "more recently, the payments have of been directly aligned with entitlements established through applicable PSCs. The regularity and increased transparency of these payments provide us with the increased confidence that payments will be more predictable."}, {"path": "tedlium_269.wav", "duration": 14.85, "text": "the marketing of existing products? Question number three is about resource allocation. In China, some products are national products. Some others are regional products. How do you allocate your marketing expenses?"}, {"path": "tedlium_270.wav", "duration": 14.85, "text": "is that every time we add now a new hub, the opportunity for the number of connections that each of those suppliers has increases. So in fact, we're beginning to see very substantial scaling efficiencies inside the business."}, {"path": "tedlium_271.wav", "duration": 14.85, "text": "The second aspect I'd like to highlight on Slide 21, is the tremendous team of entrepreneurs that brings the utmost passion for patients and for our mission to bring great new medicines to people living with rare diseases."}, {"path": "tedlium_272.wav", "duration": 14.85, "text": "Importantly, the unit has performed well through the downturn and offer significant optionality to recovery in the offshore, which would be enhanced by tightness in construction vessel availability and further enhanced by continued advancement in subsea pumping and fluid separation."}, {"path": "tedlium_273.wav", "duration": 14.85, "text": "Of course, our top line is dependent on customer timing and the complex revenue recognition rules we are subject to. My executive team and I as well, as our global sales team continue to be focused on profitable top line growth."}, {"path": "tedlium_274.wav", "duration": 14.85, "text": "And a very significant amount of our unbilled total, as I've said previously and as we reviewed in-house, comes due, to put it bluntly or I don't know how else to define it, in the next 12 months."}, {"path": "tedlium_275.wav", "duration": 14.85, "text": "the additional millions of dollars and the opportunity cost associated with taking PCKS9 through to clinical data. I would consider that an external factor and not an internal factor, and that has been what has led us to"}, {"path": "tedlium_276.wav", "duration": 14.85, "text": "to our customers for the possible future. Regardless of the outcome of the upcoming spectrum auction, our network is and will continue to be the foundation of a market-leading revenue growth."}, {"path": "tedlium_277.wav", "duration": 14.85, "text": "Our acquisition of EagleDream is another step in the right direction and our laser focus on client satisfaction over the last 2 years has positively impacted our maintenance attrition, which now has come down to just over 6% on a trailing 12-month basis."}, {"path": "tedlium_278.wav", "duration": 14.85, "text": "Consistent with what we articulated over the last few quarters, we remain confident in our belief that adjusted EBITDA should increase with each successive quarter throughout the year, which results in an upward slope throughout the year."}, {"path": "tedlium_279.wav", "duration": 14.85, "text": "The tax rate for the first quarter of 2017 reflects the offsetting effect of the valuation allowance established against our deferred tax assets in the fourth quarter of fiscal 2016. Due to this offsetting impact,"}, {"path": "tedlium_280.wav", "duration": 14.85, "text": "However, our guidance does not include any new contract awards beyond those previously announced as we don't expect any Federal awards for the remainder of this calendar year and because the timing of state government actions on new contracts is always also difficult to predict."}, {"path": "tedlium_281.wav", "duration": 14.85, "text": "Yes, that's a great question. And it would be on the former of that you mentioned. We believe that we're a hospital company that today's platform is built off of our sublingual sufentanil tablets. It just so happens we've got 2 products built off of that fundamental"}, {"path": "tedlium_282.wav", "duration": 14.85, "text": "and we want to do that in the right way. And we think a disciplined approach to acquisitions is a part of that. So not able to give you a timing answer this morning, but"}, {"path": "tedlium_283.wav", "duration": 14.85, "text": "tend to do very well online as consumers go out and look for those trusted brands and find them online. So that's probably -- the one big difference is that we seem to have better opportunities with that smaller tail brand -- group of tail brands that we have."}, {"path": "tedlium_284.wav", "duration": 14.85, "text": "visibility and optimism about the runway of growth opportunities that will come from this -- the introduction of all of our categories into what can be white space -- what is white space for us in a number of markets."}, {"path": "tedlium_285.wav", "duration": 14.85, "text": "through their mobile platform within 1 hour of ordering. The limited launch of the product has -- of this product has exceeded our expectations, and we are already looking forward to expanding the program from beyond Edmonton into new markets."}, {"path": "tedlium_286.wav", "duration": 14.85, "text": "it costs more during winter months with the ground. But also, because of traffic conditions and snow and all of that, typically, utilities don't ask for as much work"}, {"path": "tedlium_287.wav", "duration": 14.85, "text": "referred to as new lot 1. Subsequently reducing the shared ownership common title to a small slither between the new master lot 1 owned by Reading and the existing lot 6 owned by Charter Hall."}, {"path": "tedlium_288.wav", "duration": 14.85, "text": "what you think is a reasonable expectation or target in these markets going forward, I hate -- I don't mean to pin you to an exact number, but just generally speaking, what do you think is doable in terms of reducing the leverage ratio over, let's say, the next 12 to 18 months?"}, {"path": "tedlium_289.wav", "duration": 14.85, "text": "debt service obligations and capital expenditure requirements into the fourth quarter of 2018. This is, of course, subject to a number of assumptions about our clinical development programs and other aspects of our business."}, {"path": "tedlium_290.wav", "duration": 14.85, "text": "I believe our third quarter results are a reflection of exactly what we are trying to do in building the new Canadian Tire, the new Triangle and at the same time, we turned into some pretty good results, which Allan and Dean will comment further on in a few minutes."}, {"path": "tedlium_291.wav", "duration": 14.85, "text": "to the FDA on March 13, slightly ahead of plan, putting us one step closer to final approval of new commercial production and resupply. We're continuing to work with our team and very experienced consultants,"}, {"path": "tedlium_292.wav", "duration": 14.85, "text": "going back to the way you framed your question, yes, it should provide me a little bit more freedom to spend time looking at how we reinvigorate the growth opportunities for the business, so that can include"}, {"path": "tedlium_293.wav", "duration": 14.85, "text": "over the many years we've been referred to as a mini New York community bank, today I think we look at Signature Bank as our aspirational business model here. It's a relationship model. They do operate in the same segment of the lending business in New York City."}, {"path": "tedlium_294.wav", "duration": 14.85, "text": "We continue to identify opportunities to streamline our RMS operations, particularly through the automation of manual processes and implementation of systems to improve data availability and accuracy."}, {"path": "tedlium_295.wav", "duration": 14.85, "text": "But as Mike pointed out, there's a lot of small titles that need support that maybe aren't getting it, and that's where we're trying to step in. Tony, I don't know if you want to talk about sort of new software trends? Look, we have seen a reduction in new software trends. We've kind of hit -- it feels like we've hit a point where we have a"}, {"path": "tedlium_296.wav", "duration": 14.85, "text": "And that customer that has now exited stage left was an inhibitor of us really being able to service the network we were focused -- or On Time was focused more on servicing that particular customer. So"}, {"path": "tedlium_297.wav", "duration": 14.85, "text": "for the purposes of the Private Securities Litigation Reform Act of 1995. AbbVie cautions that these forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those indicated in the forward-looking statement."}, {"path": "tedlium_298.wav", "duration": 14.85, "text": "our assets are competitive because of impairments we recorded in the year ended March 2016. Of course, we have to deeply reflect on the reasons for these impairments, which, unfortunately, led to an overall loss for the company."}, {"path": "tedlium_299.wav", "duration": 14.85, "text": "of our disciplined hedging and liquidity management, both in preserving book value and enabling us to take advantage of buying opportunities during market dislocations. We have been strategically growing our portfolio and utilizing a bit more leverage to drive earnings growth and set us up for the future."}, {"path": "tedlium_300.wav", "duration": 14.85, "text": "In driving customer acquisition with products, our focus is to make our exclusive innovations more accessible. I'm confident that positioning our new products optimally will accelerate the pace of customer acquisitions."}, {"path": "tedlium_301.wav", "duration": 14.85, "text": "Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_302.wav", "duration": 14.85, "text": "During the call, the administration can make any declaration regarding the future with the objective of helping to understand the performance objectives. These declarations are subject to change, risks and uncertainties of the company,"}, {"path": "tedlium_303.wav", "duration": 14.85, "text": "had a reverse back to the first quarter of fiscal 2016 from the fourth quarter of fiscal 2015. In addition, the reduction of shipments in the pre-fall line collection is expected to impact our second quarter sales,"}, {"path": "tedlium_304.wav", "duration": 14.85, "text": "we are well positioned to accelerate our organic growth in the second half of the year. Now I'll turn the call over to Glenn to provide a more detailed review of our second quarter financial results. Glenn? Thanks, Pete, and good morning, everyone."}, {"path": "tedlium_305.wav", "duration": 14.85, "text": "for the first quarter of fiscal 2019. On Slide 10, you will see the progress we have made in our expense structure and corresponding improvement in our absorption rate over the same period."}, {"path": "tedlium_306.wav", "duration": 14.85, "text": "Gary and I are extremely pleased with the performance of the entire Surmodics team in our fiscal third quarter. Thank you for your hard work and outstanding results. Operator, this concludes our prepared remarks. We would now like to open the call to questions."}, {"path": "tedlium_307.wav", "duration": 14.85, "text": "And hence, it was important for us that we actually take the next step forward into bringing those details out to all of you, so that you can start to track this and build a model as the new normal going forward."}, {"path": "tedlium_308.wav", "duration": 14.85, "text": "Should we expect additional delays just because of capacity constraints? Or is the state and our contractors and yourself able to adequately even meet that demand in future years? I think,"}, {"path": "tedlium_309.wav", "duration": 14.85, "text": "I do think if we step back a little bit, Trey, and Tom, you might -- I know you're talking to customers about this all the time. But if we looked at a year ago, our customers were pretty reluctant to make investments ahead of the election and things we've talked about back then."}, {"path": "tedlium_310.wav", "duration": 14.85, "text": "The second component of our success is teaming with the right partners. We have customers that are experts in the areas where they operate, are diversified and are financially strong such that they can manage and maintain activities throughout cycles."}, {"path": "tedlium_311.wav", "duration": 14.85, "text": "and other customers for additional orders that would provide visibility into 2020. In the year ahead, we're very focused on execution to drive sustainable long-term growth and improvement in our operating results."}, {"path": "tedlium_312.wav", "duration": 14.85, "text": "As noted in our earnings release, the RASM pressure from the transition to our new reservation system is temporary and these items are relatively minor considering the significance of the technology efforts."}, {"path": "tedlium_313.wav", "duration": 14.85, "text": "And that's for a number of reasons previously discussed, but also as we study the rule, many of the additional expenses that would be created and borne by the company, are created by compliance with that best interest contract exemption."}, {"path": "tedlium_314.wav", "duration": 14.85, "text": "globally, that will take us to 2020. There are a series of other important project and initiative that we need to carry through to continue developing the firm and continuing growing the firm successfully."}, {"path": "tedlium_315.wav", "duration": 14.85, "text": "And we are not, and I'll repeat that again, not currently involved in any sales process for a refinery. Rumors and speculation will always be with us, but what I would say is simply judge us by our record."}, {"path": "tedlium_316.wav", "duration": 14.85, "text": "As I noted in my opening remarks, we'll continue to proactively increase prices to address the margin squeeze precipitated by the steep increase in freight and contained metal costs, even if we forgo some volume in the short term."}, {"path": "tedlium_317.wav", "duration": 14.85, "text": "the first kitchen that we are building is in -- just outside of Shanghai, and that kitchen is in the process of being constructed now. As I mentioned at the full year results 6 months ago,"}, {"path": "tedlium_318.wav", "duration": 14.8499375, "text": "I don't expect it to be linear. I think it'll be lumpy because 3 months is too short a period of time. But I think that the trend is directionally correct over the next 4 or 5 quarters."}, {"path": "tedlium_319.wav", "duration": 14.82, "text": "either needs to be demolished or relocated. We are in the efforts of reducing the capital expenditure required. We will be relocating some offices, but we do need to demolish and rebuild our workshop, which cannot be relocated."}, {"path": "tedlium_320.wav", "duration": 14.82, "text": "In order to maximize that individual customer's value, we see an opportunity to further differentiate our value proposition in the next few years by commercializing our online banking prototype we've built of a highly flexible front-end online banking platform,"}, {"path": "tedlium_321.wav", "duration": 14.82, "text": "We continue to have placement for this product line and good sales results in the largest U.S. retail chain as well as in other chains and online retailers, and we are pursuing additional chains to our placement to the line."}, {"path": "tedlium_322.wav", "duration": 14.82, "text": "We remain in an environment of high valuations and now increased volatility. As I stated last quarter, volatility ought to remind investors to not become complacent, especially as asset prices remain high relative to history."}, {"path": "tedlium_323.wav", "duration": 14.82, "text": "By having a dedicated business travel sales manager, the property was able to increase corporate preferred room nights. The Renaissance Nashville and adjoining redevelopment saw demolition of the Nashville Convention Center commenced in June."}, {"path": "tedlium_324.wav", "duration": 14.82, "text": "that we thought were complementary to what we had might be inventive and new in a passive construct and maybe even edge toward a factor tilt and away from the most undifferentiated products. And so"}, {"path": "tedlium_325.wav", "duration": 14.82, "text": "And what we've identified, of the cost savings that we've been able to achieve and that we plan to achieve for the full year which relate to our adjusted CapEx guidance, and specifically relating to sustaining CapEx, just over half of that"}, {"path": "tedlium_326.wav", "duration": 14.82, "text": "I think what we have found over a multiyear period here is that we often come across great ideas that neither provide the liquidity nor the time horizon that allow for us to be able to make it much of an investment in some of the larger pooled assets that we run."}, {"path": "tedlium_327.wav", "duration": 14.82, "text": "so it does take time to bring a lot of those deals to contract closure and execution. And then the second investment is in the middle enterprise market where we've reoriented our sales coverage as I just talked about"}, {"path": "tedlium_328.wav", "duration": 14.82, "text": "and we know that there's a significant demand. And this -- you'll see where I'm going with this in a minute, Tazeen. But first of all is we know that the patients are very much interested and want to participate, so we want to make it available as soon as we can."}, {"path": "tedlium_329.wav", "duration": 14.82, "text": "However, a turning point will not put things in a totally different direction. A turning point may accelerate things, but it will not change something from black to white overnight."}, {"path": "tedlium_330.wav", "duration": 14.82, "text": "And that's what we want to address at a Capital Markets Day, which will be organized on May 7. That is also the day in which we will announce our Q1 figures of 2019, and it will be combined with the Capital Markets Day."}, {"path": "tedlium_331.wav", "duration": 14.82, "text": "As mentioned before, given some of the activity in the segment is service-related as well as the resell of purchased goods, we would not expect the margin to be equal to our other businesses. But it is fair to say there's certainly opportunity for improvement."}, {"path": "tedlium_332.wav", "duration": 14.82, "text": "Demand, above all, for human resources and subcontractor services also intensified in the markets of Central and Eastern Europe so that the margins, starting from an unusually strong level, approached the group average."}, {"path": "tedlium_333.wav", "duration": 14.82, "text": "with no major tranches of debt coming due until 2020. When we think about leveraging economies of scale and experience as a company, we have spent the last 5 years developing the necessary assets around our software,"}, {"path": "tedlium_334.wav", "duration": 14.82, "text": "We believe in the medium and long term, the market will value our common equity appropriately and we believe the market will value our particular structure, that is a simplified, large-cap C-Corp with a substantial and growing dividend also appropriately."}, {"path": "tedlium_335.wav", "duration": 14.82, "text": "We expect inflationary pressure on carrier rates to continue due to tightening capacity caused by the mandatory adoption of electronic logging devices, or ELDs, and driver shortages in the face of stronger economic conditions."}, {"path": "tedlium_336.wav", "duration": 14.82, "text": "Okay. So in terms of the international projects that you have, what is the sort of time line of these projects that you have in the backlog right now? Is it over in the next couple of quarters? Or is it over the next couple of years? Or."}, {"path": "tedlium_337.wav", "duration": 14.82, "text": "We are now looking at customer acquisition costs based solely on new annual recurring revenue versus based on total sales. And this has highlighted additional opportunities for us to save in this area."}, {"path": "tedlium_338.wav", "duration": 14.82, "text": "I am tremendously grateful to Tim for all he has helped us achieve, and it is my pleasure now turn the call over to him to provide additional details about our performance and financial outlook. With that, I will turn over to Tim."}, {"path": "tedlium_339.wav", "duration": 14.82, "text": "Top line performance was driven by solid execution and good market dynamics that we expect to continue. From a portfolio mix perspective, we continue to drive good growth in our value offerings and our core volume business continues to grow better than expected."}, {"path": "tedlium_340.wav", "duration": 14.82, "text": "We are building a very robust acquisition pipeline, and by the end of this year, we hope to acquire more of these type of properties. And next year, we will provide guidance to the market on how many CoreCivic properties we look to acquire each quarter."}, {"path": "tedlium_341.wav", "duration": 14.82, "text": "Earnings for each quarter of this fiscal year represent record highs for operating income and EBITDA. Please turn to Page 31. This slide shows an overview of our consolidated income statements."}, {"path": "tedlium_342.wav", "duration": 14.82, "text": "In April, we were notified by Amazon of their intent to shift our scope of services over the next year. The shift is to assist them with their highest-growth segment of their delivery system as they ramp up more local delivery systems over the next 2 years."}, {"path": "tedlium_343.wav", "duration": 14.82, "text": "As Irene mentioned, we're moving with a sense of urgency to address the issues we've identified and feel confident this business will return to growth. We continue to expect to see improved results in the back half of the year."}, {"path": "tedlium_344.wav", "duration": 14.82, "text": "We know we are in attractive marketplaces. You might have noticed that Columbus and Indianapolis that we've talked about for years in this thing are 2 of the markets that are Amazon client list. So there's people other than First Merchants executives that feel like"}, {"path": "tedlium_345.wav", "duration": 14.82, "text": "The expansion of the Ascension agreement we announced last quarter is indicative of the need for an integrated physician acute offering. It was also a credible proof point of the capability we have developed as well as our intent to execute on our vision."}, {"path": "tedlium_346.wav", "duration": 14.82, "text": "At the time of our original Cannon Park acquisition, Reading controlled over 80% of the lot entitlements in the Community Title Scheme via its ownership of 12 of the 13 lots."}, {"path": "tedlium_347.wav", "duration": 14.82, "text": "This past quarter, we announced availability of design kits for this process, which enables us to broaden our customer base in this new served market. We are seeing strong interest in this technology with multiple high-end, serious engagements"}, {"path": "tedlium_348.wav", "duration": 14.82, "text": "to summarize, we remain pleased by the overall margin performance of the businesses during the past 2 years, as key markets had continued to contract, along with strong potential presented by new product offerings already developed or in development within the group."}, {"path": "tedlium_349.wav", "duration": 14.82, "text": "who are interested in wanting to take a look at Suyai possibly for an acquisition of Suyai. Interestingly, at least for me more interestingly, that level of interest is coming from Argentines and from"}, {"path": "tedlium_350.wav", "duration": 14.82, "text": "Secondly, we have a number of businesses within the home improvement space where DuluxGroup can be a natural owner and generate growth by transferring our core marketing sales and supply chain capabilities in both our retail and trade channels."}, {"path": "tedlium_351.wav", "duration": 14.82, "text": "We could not be more pleased than what we have seen within the Scores brand this past year, particularly in the back half. As most of you are aware, the Scores' turnaround has been more challenging."}, {"path": "tedlium_352.wav", "duration": 14.82, "text": "I would actually even add a little more color to that because it was a very strong quarter. It is in our third quarter we have our National Conference, which takes our top 15% of advisers away for a week and some extend mainly for 2 weeks."}, {"path": "tedlium_353.wav", "duration": 14.82, "text": "Before I turn the call over to Tom, I'd like to take a few moments to outline our progress since we last talked in March when a decision was made to discontinue the ACT IV study based on the recommendation of the Data Safety and Monitoring Board."}, {"path": "tedlium_354.wav", "duration": 14.82, "text": "or rural Oklahoma are going to match New York City exactly. But I think we have room on the penetration side, and we are going to aim to get there with a balanced mix of rate and volume."}, {"path": "tedlium_355.wav", "duration": 14.82, "text": "Whiskey is the most preferred spirit among high net worth individuals, and this trend is accelerating. There's been a boom in whiskey-led bars nationwide with more than 300 bars in China now."}, {"path": "tedlium_356.wav", "duration": 14.82, "text": "We have a number of open cases that are probably more than 3 years old, where people have just not come back to complete the transaction necessary to do the repairs."}, {"path": "tedlium_357.wav", "duration": 14.82, "text": "Good afternoon, ladies and gentlemen. My name is Anabuki of Corporate Administration Headquarters. Thank you for attending the financial results briefing of Yokogawa Electric Corporation today."}, {"path": "tedlium_358.wav", "duration": 14.82, "text": "we remain confident that we can continue to access longer-term global debt capital markets as and when we need to, to fund repayment of facilities that are coming due or ongoing growth in the business, as needed."}, {"path": "tedlium_359.wav", "duration": 14.82, "text": "As I've said before, we're not a rigid company nor are we displacing an older device with a new incrementally better device. Novadaq was established based on a unique new idea"}, {"path": "tedlium_360.wav", "duration": 14.82, "text": "Although the customer outage has affected our sales and margins this year, our strategy is unchanged. We are focused on delivering value to our customers in the most demanding FCC applications."}, {"path": "tedlium_361.wav", "duration": 14.82, "text": "This was primarily driven by unfavorable timing of certain tax-related items that we expect to normalize by Q2, partially offset by working capital improvements and a decline in cash paid for pensions and restructuring."}, {"path": "tedlium_362.wav", "duration": 14.82, "text": "that's maybe not really intelligent, and I'm also not so sure whether the margins are interesting for us and accretive. So I think that's actually not the areas we are at the moment looking into."}, {"path": "tedlium_363.wav", "duration": 14.82, "text": "We are gratified to be recognized as a trusted scientific partner by our clients and fully intend to continue to enhance our value proposition, both through internal initiative and strategic acquisitions."}, {"path": "tedlium_364.wav", "duration": 14.82, "text": "Sales for non-BioFlo products were just -- were not just impacted by Morpheus recall but started to reverse what had previously been positive momentum for the business. Moving into the second half of the year, regaining that momentum will be key to returning the franchise to growth."}, {"path": "tedlium_365.wav", "duration": 14.82, "text": "Parts washer revenues were flat despite a slightly lower number of actual services performed in the quarter, while waste oil collection volumes dropped more than 60 million gallons, up from a year ago."}, {"path": "tedlium_366.wav", "duration": 14.82, "text": "And we have seen our competitors attempt this strategy, which has created pricing pressure in our contract discussions for next year. Frankly, I don't understand the logic of these actions in a flat to declining growth business, but yet here we are."}, {"path": "tedlium_367.wav", "duration": 14.82, "text": "Second, as our clients recruit talent, they must address the difficulties of sourcing, scheduling and tracking dozens of job candidates."}, {"path": "tedlium_368.wav", "duration": 14.82, "text": "add to it as we get into the back half? It's not in the unbilled receivables. We have taken -- we have realized some revenues already. They were recognized in the fourth quarter. They were principally license revenues,"}, {"path": "tedlium_369.wav", "duration": 14.79, "text": "adding more value to them. And that growth and that differentiator -- differentiation has further improved our financial results, a good set of underlying"}, {"path": "tedlium_370.wav", "duration": 14.79, "text": "let me start with a summary of what we think are the main messages today. It's an encouraging set of results, and certainly, we feel this builds on a lot of the progress we've had over the past couple of years. Our sales growth has been sustained, and importantly, that remains ahead of the market."}, {"path": "tedlium_371.wav", "duration": 14.79, "text": "And as a part of our own and assessment of when we can comfortably take carry, having a solid exit base, and therefore, having returned a reasonable, if not meaningful portion, of each one of the invested capital for those funds is critical."}, {"path": "tedlium_372.wav", "duration": 14.79, "text": "if you could generalize with enterprises -- first of all, if I look at our incumbent base, they've had the product for a long time. They have their own experiences, plus or minus with it, but"}, {"path": "tedlium_373.wav", "duration": 14.79, "text": "as much as I love Asia, I don't like the trips over there and -- but it was very, very fruitful. And we met -- I met with a key customer in China and a key customer in Japan, and I think"}, {"path": "tedlium_374.wav", "duration": 14.79, "text": "We have been continuing to invest, as I mentioned, in things like more video sharing and people being able to form their own communities. We know how important that is. So you will continue to see an evolution"}, {"path": "tedlium_375.wav", "duration": 14.79, "text": "terms of other initiatives, we're still working on our heavy oil initiative. We don't encourage anyone to buy the stock based on this, but we hope to have a test well in the ground by first quarter or first half of next year."}, {"path": "tedlium_376.wav", "duration": 14.79, "text": "as well as the Korean subsidiaries of other OEMs, which will be an incremental revenue driver for 2019. We have also the opportunity to expand our market share in Liquid Delivery Modules,"}, {"path": "tedlium_377.wav", "duration": 14.79, "text": "It demonstrates the inherent seasonality we have previously discussed in our business. The fourth and first quarters are our seasonally weaker periods because of the reduction in driving and motor fuel consumption, with the first quarter generally being the weakest."}, {"path": "tedlium_378.wav", "duration": 14.79, "text": "I mean part of that is the very basic business as well. It's -- part of it was in a very basic brown and black business. That's an annuity business that seemed to get hurt a little more than the rest of the athletic business in the second quarter."}, {"path": "tedlium_379.wav", "duration": 14.79, "text": "and it really is stable. And that's probably about as good as you can get for these patients, who would have been declining otherwise, stabilizing. And along with that, we showed in the naive patients, who have not been treated before"}, {"path": "tedlium_380.wav", "duration": 14.79, "text": "in large part because of the opportunity to attach content to their learning deals, which results in a much larger ASP and a much bigger opportunity for them, especially given the new commission rates."}, {"path": "tedlium_381.wav", "duration": 14.79, "text": "Comparing the third quarter 2017 to the same period in 2016, average loans grew 8%. Excluding the Healthcare loan book, which I will discuss in more detail in a moment,"}, {"path": "tedlium_382.wav", "duration": 14.79, "text": "Hospitals are increasingly realizing the value of a partnership with Accretive as an independent party to help strengthen their internal operations and provide the necessary capacity to cover transactional services."}, {"path": "tedlium_383.wav", "duration": 14.79, "text": "get that expert advice, be able to look at all them colors and all them combinations, which you can't do online. So I think I actually see them in the opposite light. Anybody who is stimulating home"}, {"path": "tedlium_384.wav", "duration": 14.79, "text": "In conclusion, we still have some backfilling to do at some of our warehouse locations as a result of the inordinate amount of tenants that have vacated over the last 8 months, but are making positive inroads towards higher occupancies prior to year-end."}, {"path": "tedlium_385.wav", "duration": 14.79, "text": "Although we improved EBITDA performance in 2017 over the prior year, we had higher CapEx associated with our growth investments, and our sales growth had the impact of increasing working capital dollars even though it was at a lower rate than in prior years."}, {"path": "tedlium_386.wav", "duration": 14.79, "text": "Also on today's call, the company may provide non-GAAP information regarding certain of its historical results and 2016 outlook to supplement the results provided in accordance with GAAP. This information should not be considered superior to or as a substitute for the comparable GAAP measures."}, {"path": "tedlium_387.wav", "duration": 14.79, "text": "that offer expansion in naturally growing markets, including Industrial Environmental, renewable waste-to-energy and other power generation or industrial equipment that serves a broad global market."}, {"path": "tedlium_388.wav", "duration": 14.79, "text": "with growth led by hysterectomy. We continue to see an increasing proportion of U.S. gynecology procedures being performed by physicians that specialize in complex, benign and cancer surgery who tend to be users of da Vinci systems."}, {"path": "tedlium_389.wav", "duration": 14.79, "text": "This is a metric that, at the end of the day, drives our revenue, so we are extremely pleased with the way this is tracking. We're also delighted with the feedback from our customers, that is, suppliers, and what they are getting from their end customers, that is, their buyers."}, {"path": "tedlium_390.wav", "duration": 14.79, "text": "And we'll be happy to take questions from the phone or from those of you on the webcast. Just follow the instructions you've been given. And of course, we will as usual give preference to questions coming from those of you here in the room."}, {"path": "tedlium_391.wav", "duration": 14.79, "text": "Yes, Ben, so that would be, I think, 2 places we still have license largely will be CRM-driven. We do still sell a handful of new modules or user licenses back to the existing base"}, {"path": "tedlium_392.wav", "duration": 14.79, "text": "These events combined to negatively influence consumer shopping pattern and footfall. Additionally, we continued to feel the negative effect of the strengthening dollar on our international businesses."}, {"path": "tedlium_393.wav", "duration": 14.79, "text": "Accuracy is very critical for these customers, and the communications is important to make sure that our customers have reliable systems. So my view is that electric vehicles, we're going to continue to grow because they're"}, {"path": "tedlium_394.wav", "duration": 14.79, "text": "we'll have challenges with continuing our trend of improving operating expense leverage, and the optics of our future credit portfolio performance may be negatively impacted by the denominator effect caused by the decrease in new customer accounts."}, {"path": "tedlium_395.wav", "duration": 14.79, "text": "was flat. Was that sort of also a deliberate sort of semi-credit tightening view of things? Or are you guys -- how are you guys thinking about sort of the corporate outreach to try to sort of expand that number?"}, {"path": "tedlium_396.wav", "duration": 14.79, "text": "Let me now turn it over to Brian to discuss our Q2 performance in more detail. Thanks, Irene, and good morning. Before I get into the quarter, let me provide more details on the malware incident and where we currently stand in our recovery."}, {"path": "tedlium_397.wav", "duration": 14.79, "text": "that's why we have the confidence of the greater than the 25%. But it's really based on what the customers are telling us and our judgment of the reliability of the customer and their own markets and their position in their own markets."}, {"path": "tedlium_398.wav", "duration": 14.79, "text": "So we've had, I think, a cordial discussion on the fact that a 5-year average is probably not a great way to look at this, that if you looked at it in the context of the first 3 years when we had a C code"}, {"path": "tedlium_399.wav", "duration": 14.79, "text": "So there are 4 categories of transactions now that distributors can be compensated for by the company that they can get multilevel marketing compensation on. They're sales to people in the preferred customer category,"}, {"path": "tedlium_400.wav", "duration": 14.79, "text": "But that obviously requires the government going through and seeing that. All that being said, the other things that we've done from a standpoint of input costs and tariffs and freight in particular, is we have pushed on price increases in our various businesses"}, {"path": "tedlium_401.wav", "duration": 14.79, "text": "Looking forward, we expect our Orlando hotels to be relatively flat for the balance of the year with potential third quarter softness due to tougher comps being offset by a stronger fourth quarter."}, {"path": "tedlium_402.wav", "duration": 14.79, "text": "And my second question is more general that you mentioned about SEMM and SME. So I was wondering what is the difference between SEMM and as of SME, in terms of loan size, in terms of customer acquisition,"}, {"path": "tedlium_403.wav", "duration": 14.79, "text": "To support our comp sales growth, we will continue to improve our in-store experience, maximize our marketing testimonial campaign and capitalize on our merchandise localization initiatives."}, {"path": "tedlium_404.wav", "duration": 14.79, "text": "Thanks Brian. In summary, we had another strong quarter of execution, delivering our fourth consecutive quarter of comparable store sales growth and are encouraged by positive top line trends we experienced in the second half of January."}, {"path": "tedlium_405.wav", "duration": 14.79, "text": "the solutions that run the schools. That was through an acquisition a little over 4 years ago. This is equivalent in that it is the modules that run the operations of the churches, but we built it from scratch in SKY."}, {"path": "tedlium_406.wav", "duration": 14.79, "text": "Most recently, we were selected to supply equipment and services for the Site C project in BC. This is a considerable win that includes 50 articulated trucks and 35 off-highway trucks scheduled for delivery beginning in the first half of this year."}, {"path": "tedlium_407.wav", "duration": 14.79, "text": "Although, we have capacity in our gathering and intrabasin systems, the rapid production growth has substantially filled Permian long-haul pipelines sooner than expected and has created constraints in some of our Delaware Basin intrabasin pipelines."}, {"path": "tedlium_408.wav", "duration": 14.79, "text": "or forward-looking statements in the future. I will now turn the call over to Anat. Thank you, Elana, and welcome to Compugen. I would also like to welcome all the participants on today's call."}, {"path": "tedlium_409.wav", "duration": 14.79, "text": "And so there is pressure on that. But again, we look to try to preserve our pricing structures by not just competing on those parameters versus providing some other form of value, whether it's certainty of financing"}, {"path": "tedlium_410.wav", "duration": 14.79, "text": "and even a 25 basis point increase in rates would be accretive. Third, our low cost of capital and diverse funding sources are key competitive advantages for TCPC. We remain well positioned with attractively priced leverage"}, {"path": "tedlium_411.wav", "duration": 14.79, "text": "And so I think the thinking is well, if you're opening Freedom near Express, you may see some level of cannibalization. So how do you think about and balance that? And has there been any impact to Express absorptions because of nearby Freedom product?"}, {"path": "tedlium_412.wav", "duration": 14.79, "text": "As the weather improves and we have the opportunity to deliver to job sites, our sales performance will normalize. We remain confident on delivering a strong 2019. Next is the construction end markets."}, {"path": "tedlium_413.wav", "duration": 14.79, "text": "we see a lot of product -- a lot of project activity. There's half a dozen major airport expansions and renovations occurring across the country. Multiple large sports and entertainment complexes or stadiums"}, {"path": "tedlium_414.wav", "duration": 14.79, "text": "The momentum previously was about incorporating natural colors into new products. So the real potential change here that we think could be rather profound is existing legacy brands converting to natural colors."}, {"path": "tedlium_415.wav", "duration": 14.79, "text": "The position that we've taken is, given where it is in the sort of technology development phase, the most sensible thing is to make sure that the storage has got access to as many markets as possible. And by doing that, it's more likely to drive costs down quicker."}, {"path": "tedlium_416.wav", "duration": 14.79, "text": "Operating as One Company, supported by the strength of our own brands portfolio, loyalty program, reinvented credit card and enhanced digital capabilities, is critical to our long-term success and will remain our focus for the year coming up."}, {"path": "tedlium_417.wav", "duration": 14.79, "text": "seen in many patients to date as you would expect from a more advanced clinical asset. And then, it also gave us this kind of accelerated opportunity in progressive supranuclear palsy as another very exciting indication for us."}, {"path": "tedlium_418.wav", "duration": 14.79, "text": "Okay. And then the last question I had is, it's more of a clarification around something you mentioned several hours ago on the Hong Kong investor at the investor presentation that you did. You talked about"}, {"path": "tedlium_419.wav", "duration": 14.79, "text": "and will continue investing in key areas to drive long-term growth. We would expect the rate of investments to decelerate as the year progresses and be in a position to begin leveraging operating expenses late this year and into next year."}, {"path": "tedlium_420.wav", "duration": 14.79, "text": "We've continued to take steps toward better sales force execution. We implemented new controls and processes to drive accountability and rigor within our sales management and reset expectations for profitability."}, {"path": "tedlium_421.wav", "duration": 14.79, "text": "We have made and will continue to make significant investments in our businesses that perform toll processing work for the auto industry as this is highly profitable for us and we have no metal price risk."}, {"path": "tedlium_422.wav", "duration": 14.7600625, "text": "biotech deals. And I think I ran into a couple that I didn't even know you had from a while ago recently. So maybe just broadly talk about that as a strategy, and how you think, kind of just data as an asset to you might evolve over time?"}, {"path": "tedlium_423.wav", "duration": 14.76, "text": "But as we share with many of you and you can find that on our quarterly presentation, we are always introducing new features on our existing machines, either"}, {"path": "tedlium_424.wav", "duration": 14.76, "text": "previous question I just answered just kind of come to bear and has been for the last 12 to 18 months. So the pricing on acquisitions wasn't making sense, and then getting new product in markets where we didn't have existing product is"}, {"path": "tedlium_425.wav", "duration": 14.76, "text": "remaining proceeds are expected to be used to fund acquisitions and project expansion and for working capital needs. The debt financing supports our goals of optimizing and expanding our capital structure. It also extends our loan maturity profile"}, {"path": "tedlium_426.wav", "duration": 14.76, "text": "Thank you, Dave, and good afternoon, ladies and gentlemen. This is Rick Hill. I'd like to thank all of you for joining the call today. And I know it's been a very long time since the company has had an opportunity to communicate with you."}, {"path": "tedlium_427.wav", "duration": 14.76, "text": "at business development and inorganic growth as an important critical part of our strategy going forward. As I sit here today, obviously, I haven't anything new to announce to you, but I just want you to know that we're actively pursuing value-creating"}, {"path": "tedlium_428.wav", "duration": 14.76, "text": "anecdotal feedback but that's anecdotal. And I don't want to start to make speculation about what the clinical data would look like, other than to say we're committed to collecting the data and continue to believe that this will have a positive impact on patient and customer experience."}, {"path": "tedlium_429.wav", "duration": 14.76, "text": "those patients who may have relatively few options to address the challenging diseases that they're faced with. Clearly, there are certain areas that you can already see in our pipeline where we're likely to develop additional"}, {"path": "tedlium_430.wav", "duration": 14.76, "text": "What's more challenging going ahead is your creative powers. You can be very talented. However, you've just simply sing a song with no accompaniment."}, {"path": "tedlium_431.wav", "duration": 14.76, "text": "And that's tough to do when you've got players who have some cost investments and they're looking to try to reduce cost. We've proven, just like the on the upstream sector to be able to find ways to compete."}, {"path": "tedlium_432.wav", "duration": 14.76, "text": "And as I keep saying, it is impossible to predict how many tenders will come onto the market each year, but we expect to continue winning between 20 and 30 units in an average year well into the long term."}, {"path": "tedlium_433.wav", "duration": 14.76, "text": "selling up the chain. So when we bought Comex, there's been some additional technology brought in. So there's a lot more premium products being sold. So the coverage of the premium products is better than"}, {"path": "tedlium_434.wav", "duration": 14.76, "text": "And my expectation is that pricing should improve as we go forward. And don't forget that we have a very dominant position in the market, and we will not compromise that dominance at any"}, {"path": "tedlium_435.wav", "duration": 14.76, "text": "Looking ahead to 2017, we have a number of exciting initiatives that we expect to further our top line growth over 2016. Most notably, we're implementing a small expansion of our sales force, which will allow us to have 2 dedicated teams,"}, {"path": "tedlium_436.wav", "duration": 14.76, "text": "Work began in September and is expected to continue into 2019. In summary, I am confident that continued success on our divestment program, enhanced focus on operated developments,"}, {"path": "tedlium_437.wav", "duration": 14.76, "text": "Regarding our ongoing focus on cost controls. We've continued to identify areas of additional cost savings in Q2, including the reduction in termination expense through elimination of our free voice app calling,"}, {"path": "tedlium_438.wav", "duration": 14.76, "text": "Second, we see clear opportunities to drive additional cost reductions through our ongoing strategic sourcing initiatives. We expect to achieve significant savings in the areas of benefits and travel,"}, {"path": "tedlium_439.wav", "duration": 14.76, "text": "that had -- that we had in our hands, but it was not signed yet. So it was one that had been negotiated but had not been fully executed with the customer. The accounting rule is not allowing us to record that revenue until we actually have the signed agreement."}, {"path": "tedlium_440.wav", "duration": 14.76, "text": "And so what we're doing right now is prioritizing working with customers and buying and then looking to buy existing assets that are producing. Teekay will take over operations from them cheaper than the oil companies"}, {"path": "tedlium_441.wav", "duration": 14.76, "text": "I think that is kind of the brand that we want to have in terms of how we approach the payer. But I think we feel good about where we are with LINZESS. We think '17 looks good. And so far, the early signs in ZURAMPIC look very encouraging."}, {"path": "tedlium_442.wav", "duration": 14.76, "text": "As one example, we've looked at some of the early Axon Fleet orders, and the revenue per user over contract term roughly doubles when agencies add Fleet to their body camera program. Now that's for agencies that have a vehicle for every officer."}, {"path": "tedlium_443.wav", "duration": 14.76, "text": "as we learn more, should we be able to give more definitive views on the impact of the quarter, we'll certainly try to do so and not wait, of course, until we talk about the quarter next year. But again, this is still very much a process in flux."}, {"path": "tedlium_444.wav", "duration": 14.76, "text": "various things that could evolve, voting rights, anything like that. And this is all something that we have in place. So I would think you can worry about a lot of companies related to sanctions, but I think Sulzer at this point is probably the company you should worry least about"}, {"path": "tedlium_445.wav", "duration": 14.76, "text": "We are comprised of strong leading brands spanning various consumer health care categories as shown on the right side of Slide 9. Over 50% of our sales are in 5 leading brands,"}, {"path": "tedlium_446.wav", "duration": 14.76, "text": "We expect to deliver this margin target by continuing to focus on 3 things. First, productivity gains from our supply chain. These are funded and in our plan. And we're now expanding and replicating a model that's working."}, {"path": "tedlium_447.wav", "duration": 14.76, "text": "We don't expect video to be any different. We do expect revenue and margin pressure as we manage through this, especially this year, but we're excited about DIRECTV NOW's product improvements and our new user interface"}, {"path": "tedlium_448.wav", "duration": 14.76, "text": "the private loan business is that stream of income doesn't generate gains, right. The asset management business doesn't really generate material gains. And so we think we're in a position now and we have a demonstrated track record that"}, {"path": "tedlium_449.wav", "duration": 14.76, "text": "relative to the last year that there was a payment, you would see that -- you would come to a very different conclusion that if you took a 5-year moving averages, which is the way that CMS approached it. So I think whether they're going to"}, {"path": "tedlium_450.wav", "duration": 14.76, "text": "And the team is doing a real nice job. So we feel like that's going in the right direction. I think we see a very different story in the power generation business where we have seen less demand."}, {"path": "tedlium_451.wav", "duration": 14.76, "text": "As I previously mentioned, we continue to expect other revenue and other income to decrease 15 basis points from the loss of lease income for the fourth quarter in 2016. For the full year, we now expect"}, {"path": "tedlium_452.wav", "duration": 14.76, "text": "In terms of comp metrics, our comparable store sales performance was driven by increases in traffic, conversion and units per transaction, while average unit retail was down versus the prior year."}, {"path": "tedlium_453.wav", "duration": 14.76, "text": "what I've done is extended an offer to extend the current agreement for 12 months to give us time to rebuild some trust between the parties, to give us time to get these pilots out into the workplace, to make sure that they prove out and they do what we think they're going to do"}, {"path": "tedlium_454.wav", "duration": 14.76, "text": "As a reminder, our Monro.Forward initiatives, unveiled in May of last year, are built around 4 areas of focus in order to increase the overall lifetime value of our customers and create a scalable platform for sustainable growth."}, {"path": "tedlium_455.wav", "duration": 14.76, "text": "until recently how much that was going to -- how much spend that was going to be before the end of the year. Then secondly, it really reflects our cautious guidance in the Q3. So I mean, as we've done in the past, we've been pretty good stewards of capital. When we see business"}, {"path": "tedlium_456.wav", "duration": 14.76, "text": "to maintain advertising levels and bring back a portion of the core advertising that moved to the sidelines in anticipation of strong political displacement. The big news, of course, is political,"}, {"path": "tedlium_457.wav", "duration": 14.76, "text": "that bad. It's just a shade light of what we were expecting. So I look at those data points and I contemplate what you're saying about profitability on the forward. And it sounds like the vast majority of the drop"}, {"path": "tedlium_458.wav", "duration": 14.76, "text": "because we now have a full handle on what the networks looks like today and what we think it ought to look like going forward, and there is significant opportunities there that our product supply team is after. So we don't feel we're impaired in terms of"}, {"path": "tedlium_459.wav", "duration": 14.76, "text": "We will discuss certain non-GAAP financial measures, which are described in more detail in this morning's earnings release and on our website at grace.com. Reconciliations to the most directly comparable GAAP financial measures"}, {"path": "tedlium_460.wav", "duration": 14.76, "text": "We expect that on a consolidated basis, the fleet will remain relatively flat from where we are in 2015. This may fluctuate a little bit on a quarterly basis as the replacement cycle occurs throughout the year. But generally, it will be flat."}, {"path": "tedlium_461.wav", "duration": 14.76, "text": "The next few slides are similar to those presented in previous quarters and reflect the broad diversity of our loan pools and the composition of our capital structure and our various liquidity sources. And with that, I'll turn it over to Tom for some final thoughts. Thanks, Rick."}, {"path": "tedlium_462.wav", "duration": 14.76, "text": "that the consumer is using those channels for be it gifting or subscription opportunities that clearly will be incremental to our base business. And so it's one of the reasons we're so encouraged about that opportunity and have chosen to invest significantly behind"}, {"path": "tedlium_463.wav", "duration": 14.76, "text": "I'd say finally, the growth plan continues to be supported by state-level renewable portfolio standards that require utilities to serve a portion of their load with renewable energy. This is still an important component of the growth but"}, {"path": "tedlium_464.wav", "duration": 14.76, "text": "We're identifying areas in the field that maybe have much higher gas rates and less liquids, depending on the where gas prices go. And so I think the operations team will have the flexibility to pick the right pad to go to, based on the commodity environment we're in, and"}, {"path": "tedlium_465.wav", "duration": 14.76, "text": "Our customers are shoppers and they want to appreciate the area before they make a commitment. Our data further supports our belief that driving customers to the property to experience the lifestyle is the key for continued occupancy and home sales growth."}, {"path": "tedlium_466.wav", "duration": 14.76, "text": "Nevertheless, out of a true abundance of caution, we structured the acquisition of the former Media General stations in Green Bay and Davenport that we announced last summer and closed last month with the possibility of receiving significant auction proceeds."}, {"path": "tedlium_467.wav", "duration": 14.76, "text": "We will continue to innovate and develop new solutions and design tools for our customers to advance the proliferation of haptics. During the quarter, we continued to see our technology adopted in the mobile gaming market by Hero Interactive,"}, {"path": "tedlium_468.wav", "duration": 14.76, "text": "those were 2 names that we had been watching for a while. There are still some uses and tenants out there that we're keeping a closer eye on. But the magnitude of last year's bankruptcies are certainly smaller as we look into this year."}, {"path": "tedlium_469.wav", "duration": 14.76, "text": "This additional detail may be onetime in nature, and we may or may not provide an update in the future on these metrics. Please refer to our filings with the SEC to understand how we calculate our metrics. With that, I'd like to turn the call over to Evan."}, {"path": "tedlium_470.wav", "duration": 14.76, "text": "So it's a good question. We looked at that yesterday and it's a hard path for sure. But the question is do we really -- is that really -- even though we provided the guidance and we don't like backing off of guidance, as I just talked about previously,"}, {"path": "tedlium_471.wav", "duration": 14.76, "text": "we took certain actions to address our internal lead flows that we believe will help drive a reacceleration next year, and we are pleased to see positive signs of this working this quarter with double-digit bookings growth and solid double-digit new logo growth."}, {"path": "tedlium_472.wav", "duration": 14.76, "text": "of the renewed momentum within our sales force following fiscal 2017. We were also pleased to see our new logo strategy continue to show results with double-digit new client growth this quarter and nearly double-digit growth for the full year."}, {"path": "tedlium_473.wav", "duration": 14.76, "text": "We launched the Visa Ready program for business solutions. This is a strategic framework and certification program to help technology companies that integrate with our B2B payment services to ensure that they meet standards and are market ready."}, {"path": "tedlium_474.wav", "duration": 14.7599375, "text": "During the fourth quarter of 2018, the company reviewed its collection experience for technical and professional cases and determined that the original estimate of revenue was higher than the company's actual cash collection experience."}, {"path": "tedlium_475.wav", "duration": 14.7599375, "text": "I characterize the plan as evolutionary rather than revolutionary. Something that would occur organically over time, and wouldn't be executed on a speculative basis."}, {"path": "tedlium_476.wav", "duration": 14.7599375, "text": "Currency in circulation is stabilizing as remonetization comes to an end. The transition to the digital economy has been broad based across several categories, including everyday spend and suggests wide societal participation."}, {"path": "tedlium_477.wav", "duration": 14.73, "text": "This increase was due primarily to higher investment in technology and product development, including our next-generation liquid-cooled stack technology as well as the increased investments related to our commercial efforts in China."}, {"path": "tedlium_478.wav", "duration": 14.73, "text": "is the rest of the difference between where you were in '16 and where you want to be in '17, adjusting for higher profits and things effectively working capital? Or is there anything else in there? There's no swing in tax paid or anything like that?"}, {"path": "tedlium_479.wav", "duration": 14.73, "text": "The ability to use the strong relationships that we have with our customers, in particular through the Possibilities Membership scheme and our ability to further improve the efficiency of the Saga model, gives us a great deal more flexibility and functionality."}, {"path": "tedlium_480.wav", "duration": 14.73, "text": "requirements from our customers. And so yes, I believe you will see it as a percentage of mix of services go down, and therefore, as a percentage of mix of total revenues go down. All the while, we're actually getting better at doing it."}, {"path": "tedlium_481.wav", "duration": 14.73, "text": "We have analyzed all opportunities and relevant costs and have prioritized the investments based on our capabilities, the size of the price as well as the expected returns in growth and margin."}, {"path": "tedlium_482.wav", "duration": 14.73, "text": "a little bit. But we never had really an official target. The decision on what to do with the distribution is something that's made by the board on a quarter-by-quarter basis."}, {"path": "tedlium_483.wav", "duration": 14.73, "text": "I think last year, and for this, you gave us some figures in terms of what the drag from energy was over a certain period. I can't remember what it was. I just wondered, can you give us sort of an equivalent number in the first half what the drag from energy was in"}, {"path": "tedlium_484.wav", "duration": 14.73, "text": "we are -- which is now currently in the field and being used. We've gotten a second project to develop a pre-production prototype, which is under development right now and will be delivered early next year."}, {"path": "tedlium_485.wav", "duration": 14.73, "text": "Existing products offer their value. It's all a matter of management, how do you make the adjustment, because you cannot always have new products."}, {"path": "tedlium_486.wav", "duration": 14.73, "text": "After 3 extraordinarily difficult years, it feels to us that the market is nearing an inflection point. Oil inventories are rapidly approaching normal levels, pushing oil prices up and facilitating the return, in our view, of a geopolitical risk premium."}, {"path": "tedlium_487.wav", "duration": 14.73, "text": "Well, I certainly think they're probably evaluating a lot of things, Mark, on a -- certainly, in the processed food area about what they need to do. What we do see is that we see a lot of what"}, {"path": "tedlium_488.wav", "duration": 14.73, "text": "Having said this, you should expect the fourth quarter to be in a similar range as this past quarter and then bump up in 2018. Looking at the individual line items. Salaries and employee benefits increased from Q2 due to a couple of new hires,"}, {"path": "tedlium_489.wav", "duration": 14.73, "text": "and branch consolidations. And over the last 2 years, we've consolidated a total of 45 branches and increased our average deposits per branch along the way. So we're encouraged by the positive revenue trends in the last year."}, {"path": "tedlium_490.wav", "duration": 14.73, "text": "These research outcomes have resulted in full re-profiling of the CapEx program that Lawrence highlighted in his section, and the identification of a range of opportunities that will serve to reposition our centers effectively."}, {"path": "tedlium_491.wav", "duration": 14.73, "text": "I'd like to start by discussing the group's third quarter results and then provide some more commentary on our 2 geographic reporting segments. I'll follow that with some color on cash flows, the balance sheet, and as usual, finish with a few comments on returns."}, {"path": "tedlium_492.wav", "duration": 14.73, "text": "The first one, an opportunity that we had originally expected to be a revenue opportunity is actually being realized as a counter expense and was implemented a couple of months later than originally anticipated."}, {"path": "tedlium_493.wav", "duration": 14.73, "text": "the substantial strong relative performance? And if you could touch specifically on the Americas. To your point, you were facing a really difficult comp last year. In a difficult market environment, you still realized positive growth. So I thought that was surprising."}, {"path": "tedlium_494.wav", "duration": 14.73, "text": "I will begin with an overview of AECOM's results and discuss the trends across our diverse business. Then, Troy will review our financial performance in greater detail. Steve will conclude with financial guidance before turning the call over for a question-and-answer session."}, {"path": "tedlium_495.wav", "duration": 14.73, "text": "We've reduced layers, aligned more closely around our clients, created more business representation on our executive committee. I'm confident that these actions will enable us to serve our clients more effectively and holistically, but this is a work in progress."}, {"path": "tedlium_496.wav", "duration": 14.73, "text": "we likewise aren't losing money when oil is down at -- in the 40s and 50s. And so we -- but obviously, everyone is concerned about the energy market now. But"}, {"path": "tedlium_497.wav", "duration": 14.73, "text": "So to conclude my prepared remarks before I turn the call over to Lee, fourth quarter and fiscal year 2019 results demonstrate the strength of our financial model and the positive evolution of our business."}, {"path": "tedlium_498.wav", "duration": 14.73, "text": "We intend that such forward-looking statements be subject to the safe harbor provided by the Private Securities Litigation Reform Act of 1995. The forward-looking information is based upon current information and expectations regarding TASER International."}, {"path": "tedlium_499.wav", "duration": 14.73, "text": "Typically, improvements such as these would not be expected to reach significance until after a longer period of time. Please note, these data are now included within our current corporate presentation, which is posted on our website."}, {"path": "tedlium_500.wav", "duration": 14.73, "text": "Okay. And the, I guess, some of the power plants it looks like you're going to be building over the next 5 years, do those need some kind of approval before you start construction or do you just build them and get recovery later on? Or how does that -- how should we think about that?"}, {"path": "tedlium_501.wav", "duration": 14.73, "text": "cloud. It's also the services that we've kind of wrapped around our cloud offering. Probably the -- one of the most visible ones is kind of this cloud consulting role, where we can go in and help a customer assess those workloads."}, {"path": "tedlium_502.wav", "duration": 14.73, "text": "The breakthrough EDS technology enables a diagnostic tracer element to be absorbed and chemically bonded to the durable proppant-sized particles that accompany the frac sand. EDS has rapidly become the preferred method for monitoring completion success"}, {"path": "tedlium_503.wav", "duration": 14.73, "text": "so we can remain on schedule for filing the accelerated approval application with FDA. I am pleased with the approval and hope to be able to announce completion of this in the near future."}, {"path": "tedlium_504.wav", "duration": 14.73, "text": "We have a very long well-established and successful partnership with SABIC, and this is something that, in our broader business dealings, both parties wanted to do. And we saw that this was a"}, {"path": "tedlium_505.wav", "duration": 14.73, "text": "and where we're going with the business. Two or 3 years ago, we certainly weren't generating the kind of performance in the business that would end up generating the kind of cash that we have to work with today."}, {"path": "tedlium_506.wav", "duration": 14.73, "text": "We are continuing to expand our premium products. How these investments in the quality of our products payoff can be seen as a simple example of a new business class, which we put into our long-haul fleet over the last years."}, {"path": "tedlium_507.wav", "duration": 14.73, "text": "and understanding how stable that group was. There were some considerations how we thought about our distribution structure. And so we felt it was prudent to pull it in. So it was our plan initially. And it was our plan to pull it in,"}, {"path": "tedlium_508.wav", "duration": 14.73, "text": "We have the implementation of a Safe Harbor Strategy where we have enough invested that we can secure up to 2 gigawatts of wind and repowering up to 350 megawatts. And we'll talk about what's actually in our long-term plan when we get to that portion of it."}, {"path": "tedlium_509.wav", "duration": 14.73, "text": "These remarks are intended solely to educate investors and are not intended to serve as a basis for medical decision-making or to suggest that any products are safe and effective for any unapproved or investigational uses."}, {"path": "tedlium_510.wav", "duration": 14.73, "text": "as I'm sure you're aware, the upfront software expense is really not that great. It's the implementation costs and the amount of money you have to spend on consultants and advisers to make sure you get it right because there's so much power within the system,"}, {"path": "tedlium_511.wav", "duration": 14.73, "text": "I have also had the chance to be on the road to meet some of our analysts and investors, and I appreciate the depth from which you follow the company and understand the complexities and underlying fundamentals of our business model. To those I haven't yet met,"}, {"path": "tedlium_512.wav", "duration": 14.73, "text": "customers and unique consumption so that commercial activity and investment activity related to this chapter has been less than expected for the rest of the year, but not the financial results in terms of capacity,"}, {"path": "tedlium_513.wav", "duration": 14.73, "text": "we have already seen a good dilution of fixed cost. So in payroll and services, this was very favorable in these 2 quarters already sequentially. And what we had in terms of"}, {"path": "tedlium_514.wav", "duration": 14.73, "text": "has been very clear in terms of a high-capacity view, leveraging a continuous improvement in the operating efficiency in the constant search for innovation"}, {"path": "tedlium_515.wav", "duration": 14.73, "text": "Some are almost entirely devoted to that. Others are in a role that I would consider extraordinarily important to business development that is not pure business development. So for example, the head of the group is important, but he has a lot of other functions."}, {"path": "tedlium_516.wav", "duration": 14.73, "text": "In August, as part of our company's ongoing focus to maximize shareholder value, we announced plans to sell our Technology and former Engineered Products operations. This has been a very active process over the last few months."}, {"path": "tedlium_517.wav", "duration": 14.73, "text": "We've strengthened our internal communications to ensure we allow a broader global organization to assist in the leadership of our chain's efforts, ensuring we are behaving as one Rotork and bring the entire organization along our chain's journey."}, {"path": "tedlium_518.wav", "duration": 14.73, "text": "Both of our retail and licensing partners recognize the benefit of showcasing our products through video content, and we expect to do more of this going forward, especially as our preorders often increase when we link video with a new product offering."}, {"path": "tedlium_519.wav", "duration": 14.73, "text": "So that broadening of the states needs to occur for us to hit our plans but I would say that no particular state expansion is included in our anticipated guidance for 2019. As we said"}, {"path": "tedlium_520.wav", "duration": 14.73, "text": "led rally is highly likely evened. So on the Robusta market, we are fairly friendly to that market, given all these technical and fundamental factors that I just mentioned to you."}, {"path": "tedlium_521.wav", "duration": 14.73, "text": "Okay. And if you don't get it -- I mean, is there a point at which in the year where if we don't get 1 or 2 bookings, then it becomes an issue for the guide? Like at what point do you start to worry about the range?"}, {"path": "tedlium_522.wav", "duration": 14.7299375, "text": "driven primarily by expected high single to low double-digit growth for XIAFLEX. Only a small portion of the diagnosed patient population for each of the XIAFLEX indications have actually been treated."}, {"path": "tedlium_523.wav", "duration": 14.7000625, "text": "as we continue to hold on ramping up commercial resources prior to a potential PDUFA date for DSUVIA. We will continue to manage our cash prudently with the goal of ensuring we have adequate financial resources"}, {"path": "tedlium_524.wav", "duration": 14.7, "text": "Looking to the future, enhanced innovation delivered on decreased research and development investment is the promise of an all-platform company, and so it shall be in this coming quarter and beyond."}, {"path": "tedlium_525.wav", "duration": 14.7, "text": "Patricia and I had the opportunity to spend half a day with Hamish and his senior team last week and came away excited about the doors they will be opening for us in the rapidly expanding world of mobile virtual network operators"}, {"path": "tedlium_526.wav", "duration": 14.7, "text": "Okay. Thank you, Matt. We will now open the call up to your questions. As I indicated initially in my opening remarks, we will not be providing any guidance into future periods on this call. So please keep that in mind when you're posing your question."}, {"path": "tedlium_527.wav", "duration": 14.7, "text": "The market is large and growing. 7353 has the profile patients and doctors have been waiting for, and the plan to get to approval is clear and it's now time to execute. We look forward to updating you, as we execute our plan."}, {"path": "tedlium_528.wav", "duration": 14.7, "text": "and that stuff would be at the best end of the pricing spectrum, because grocery-anchored is quite desirable at the moment, so lots of options for us. And in this environment, we think having multiple options for access to capital is really healthy."}, {"path": "tedlium_529.wav", "duration": 14.7, "text": "Before turning the call over to Rick to run through our earnings results, I want to be clear that the performance we saw this quarter is not acceptable to myself, the senior leadership team, our board and the entire team here at Fred's."}, {"path": "tedlium_530.wav", "duration": 14.7, "text": "our part of the management fee attaching to the index products is. The blended rate is obviously much higher than that because today it comprises only our active products."}, {"path": "tedlium_531.wav", "duration": 14.7, "text": "as we said before, primary purpose of it will be to mitigate any dilution from equity awards. So you could see that from that. And then we'll look at our stock and see if there is any opportunistic reason to do it."}, {"path": "tedlium_532.wav", "duration": 14.7, "text": "One macro event worth noting, of course, is the recent Presidential election. In the past several weeks, there has been some conversation about how the change in the administration could potentially impact the wireless sector and our business."}, {"path": "tedlium_533.wav", "duration": 14.7, "text": "drive those incremental margins up. But they'll -- with any increase, it's going to recover. And also remember, we're carrying some excess resources in this period that we would expect to lever more into next period. So"}, {"path": "tedlium_534.wav", "duration": 14.7, "text": "But in terms of adding additional CapEx, that's something we're evaluating now, but it's certainly not something that can have an impact on Q2. Just to be clear, you did, haven't -- ordered another slug that will be coming in"}, {"path": "tedlium_535.wav", "duration": 14.7, "text": "I will now turn the call to Seth for closing comments. Thank you, Mark. For 2017, we are excited for the opportunity to utilize our strong cash position for the acquisition and development of a new product pipeline"}, {"path": "tedlium_536.wav", "duration": 14.7, "text": "our Chief Operating Officer, who along with his team, built our retail operations. And Jim is going to give you a little more -- a little bit more information about our retail organization and how it drives value for Vistra. Jim?"}, {"path": "tedlium_537.wav", "duration": 14.7, "text": "and look to mitigate costs, while pursuing options for resumption of activities at the appropriate time. Mitigation actions under consideration include pursuing means to access a small quantity of metallurgical coal remaining in the stockpile,"}, {"path": "tedlium_538.wav", "duration": 14.7, "text": "completely. We are just an integral part of a system of equipment and flow of activities. And all these interfaces have to be managed, have requirements on the design of the machinery which we supply."}, {"path": "tedlium_539.wav", "duration": 14.7, "text": "Another example arises from the fact that global real estate investors are more interested than ever in Canada's major cities, particularly Montreal, Toronto and Vancouver."}, {"path": "tedlium_540.wav", "duration": 14.7, "text": "As previously reported, KESHI placed their first production order with us, and we are in the full launch and build mode for this product line, and we will begin shipping the initial systems to KESHI in China during this quarter."}, {"path": "tedlium_541.wav", "duration": 14.7, "text": "We'll continue to monitor these results closely, while at the same time, we're developing a trial for smaller stores as well as a lower-cost version. And of course, we'll keep you posted on the results of those trials."}, {"path": "tedlium_542.wav", "duration": 14.7, "text": "Well, I go back to some earlier comments, where I think that there's not much appetite to companies to grow outside of cash flow, and so if you think that the industry, as a whole, is moving towards a model where"}, {"path": "tedlium_543.wav", "duration": 14.7, "text": "It is also worth reiterating that we have now had 3.5 years of continuous monthly payments from Kurdistan Regional Government despite the many hardships they have faced in that time"}, {"path": "tedlium_544.wav", "duration": 14.7, "text": "The positive news in Canada for the most part in that -- and for the most part, we maintained our strong customer base. What we experienced was a decline in the volume for the number of our existing customers, and in time, we would expect that to recover."}, {"path": "tedlium_545.wav", "duration": 14.7, "text": "This pad-optimal design incorporates greater clearance for walking over and around wellheads on a pad and includes many other features that are being sought by customers as they remain focused on efficiency and high-quality execution."}, {"path": "tedlium_546.wav", "duration": 14.7, "text": "the way the industry has been evolving on the unsecured front and what your peers have been doing. So I'm really sort of getting at, what is the role of unsecured funding in the capital structure going forward? Is it smaller? Is it larger than where it is today?"}, {"path": "tedlium_547.wav", "duration": 14.7, "text": "and also what will happen in the future, we do not make any forecasts about that either, but I also think that in the past that was a very important issue because that was the way we"}, {"path": "tedlium_548.wav", "duration": 14.7, "text": "year-to-date, in the first 6 months, you lost about 200,000. It looks like there's an increase happening in your consumer line loss. I was wondering if you could maybe give a little bit of color on what's going on there. Is it just the pickup in competitive intensity we've seen this year?"}, {"path": "tedlium_549.wav", "duration": 14.7, "text": "We're, therefore, working closely with government and our industry bodies to ensure these concerns are reflected in the transition process, and we welcome the formation of a specialist international trade department."}, {"path": "tedlium_550.wav", "duration": 14.7, "text": "Well, so let's talk about that because the types of customers that I'm referring to are those that are under pressure in the current market. They have significant copper access infrastructures. They carry debt. They have dividends and"}, {"path": "tedlium_551.wav", "duration": 14.7, "text": "I just want to mention, as previously communicated, we have made good progress on our business initiatives, which we said we would use to offset the expected headwind. We expect to continue to do this over the remainder of the year."}, {"path": "tedlium_552.wav", "duration": 14.7, "text": "the nuance will probably come from the maturity of our construction lending portfolio. We don't have a real good handle on what a level set number might be, but there's nothing unusual to point to in the quarter."}, {"path": "tedlium_553.wav", "duration": 14.7, "text": "The second update on the commercial front is the expansion of our portfolio of modular solutions. While we have a large number of modular customers, we have historically not proactively marketed our core RCM modular capabilities."}, {"path": "tedlium_554.wav", "duration": 14.7, "text": "Actual results may differ materially from the results expressed or implied in these statements as a result of risks, uncertainties and other factors, including, but not limited to, the factors set forth in the company's filings with the Securities and Exchange Commission,"}, {"path": "tedlium_555.wav", "duration": 14.7, "text": "We believe an optimal dose therapy protocol of just 3 to 4 visits that offers much faster resolution of psoriatic plaques and greater convenience to patients has the potential to dramatically increase our market share."}, {"path": "tedlium_556.wav", "duration": 14.7, "text": "Operating as a public company, we believe it is very important to execute on the guidance that the company provides to the market. For the third year in a row, I am pleased to announce that we met or exceeded our guidance in all areas."}, {"path": "tedlium_557.wav", "duration": 14.7, "text": "But we're also growing within the less differentiated product lines, driving costs out and managing pricing for improved profitability. In short, the strategic course correction that we initiated last year"}, {"path": "tedlium_558.wav", "duration": 14.7, "text": "And while we believe the thyroid market offers significant room for continued growth in our business, we believe the pulmonology market represents a far larger opportunity over the long term. Let's highlight a few of these points."}, {"path": "tedlium_559.wav", "duration": 14.7, "text": "We will also make references to adjusted operating income and adjusted operating loss, which are not measures in accordance with GAAP. For a reconciliation of adjusted operating income and loss to operating income and loss,"}, {"path": "tedlium_560.wav", "duration": 14.7, "text": "the European market overall and sort of your positioning there. I was a little bit surprised to see pricing growing in the second quarter, albeit at loss of volumes. And I just wondered if you can give us a bit of a"}, {"path": "tedlium_561.wav", "duration": 14.7, "text": "the electronics part of ATS over the last number of years that we've talked about has been mobile and that continues to be the biggest driver. But as we talked about in the last couple of quarters, we've"}, {"path": "tedlium_562.wav", "duration": 14.7, "text": "Your company has fully implemented all the features that are required for a successful GST rollout. We have passed on all the reduction"}, {"path": "tedlium_563.wav", "duration": 14.7, "text": "As we've stated in the past, weather can have a significant impact on our results as unusually cold, wet and wintry weather can impact outdoor construction activities and our ability to safely deliver products."}, {"path": "tedlium_564.wav", "duration": 14.7, "text": "the pace of improvement that we have had now will probably continue during the first half of this year due to the thing that we have the hedges in place, and of course, also, because of the inventory turns,"}, {"path": "tedlium_565.wav", "duration": 14.7, "text": "plus in view of the introduction of the automatic information exchanges of 1st of January 2018. I think that beyond that point we should see outflows due to regularization tailing off across the sector. So"}, {"path": "tedlium_566.wav", "duration": 14.7, "text": "These products are primarily used as fire-retardant fillers, engineered fillers, white pigment in plastic and rubber applications as well as for use in catalyst applications."}, {"path": "tedlium_567.wav", "duration": 14.7, "text": "more and more to -- integrating the different banners, and that's now manifesting itself from a loyalty side, could you guys help us understand a little bit more in terms of what your plans might look like beyond simply being able to earn"}, {"path": "tedlium_568.wav", "duration": 14.7, "text": "the Alibaba e-commerce volumes going through Singapore via that relationship with SingPost. We are delighted to hear that Amazon is going to do more in Singapore going forward."}, {"path": "tedlium_569.wav", "duration": 14.7, "text": "with the strongest trends in Vegas, New York, New Jersey, New England, Buffalo, L.A., Sacramento and Cleveland. Our view of supply remains generally unchanged and our watch markets are the same."}, {"path": "tedlium_570.wav", "duration": 14.6999375, "text": "With regard to Ross University School of Medicine, we opened the doors to its permanent home in Barbados in January. While it is still early, we're already seeing encouraging trends and inquiries from prospective students now that RUSM has a permanent home."}, {"path": "tedlium_571.wav", "duration": 14.67, "text": "which will then be batch processed. And that is what we're going to do over the next couple of weeks or months, let's say, so that we're pretty confident that we bring down the net working capital or the stock level"}, {"path": "tedlium_572.wav", "duration": 14.67, "text": "due to our unique business model. A leading market share, high barriers to entry and pricing power in each of our banking jurisdictions will generate excess capital that will be used to pay dividends and build our Wealth Management business through trust acquisitions."}, {"path": "tedlium_573.wav", "duration": 14.67, "text": "Another large project that we can now discuss is the New York City Housing Authority or NYCHA. On April 6, NYCHA announced the commencement of work of the -- on the first phase of their energy performance contract"}, {"path": "tedlium_574.wav", "duration": 14.67, "text": "more base business in some of the existing product line, but I will say that our sales reorganizations are really excited about this next generation of product. And as we are now ramping up into full production,"}, {"path": "tedlium_575.wav", "duration": 14.67, "text": "Despite the challenging comparison in revenue in the first quarter resulting from large SCBA and ballistic helmet orders a year ago, we saw strong improvements in the -- in some of the most profitable areas of our business in the quarter."}, {"path": "tedlium_576.wav", "duration": 14.67, "text": "because of capacity constraints. We are serving our customers in a very good way. So no complaints from our customers. We are not losing orders, but we have a very good order book, and we could have made more"}, {"path": "tedlium_577.wav", "duration": 14.67, "text": "And again, please let me mention that Swiss Life will be hosting an Investors Day next year on the 29 of November in order to discuss our new strategic program."}, {"path": "tedlium_578.wav", "duration": 14.67, "text": "Another indication of the upcoming demand in additional countries is provided by deployments of cloud network nodes, which are smaller than compute nodes and tend to precede them by months and, in some cases, years."}, {"path": "tedlium_579.wav", "duration": 14.67, "text": "you protect your margin despite the pricing reduction, you had to accept to support your customers. But you also want to make sure you maintain your quality. And we are the market leader with Moody. Moody is a tremendous franchise in the oil and gas industries. And we want to make sure that"}, {"path": "tedlium_580.wav", "duration": 14.67, "text": "Since joining CoreCivic in 2007, Patrick has served in a number of critical leadership roles that have provided him with meaningful company-wide knowledge and experience, while supporting and leading our efforts to grow and diversify our company."}, {"path": "tedlium_581.wav", "duration": 14.67, "text": "Our record of operational excellence, progress penetrating high-growth industries and strong new business signings gives us confidence in our ability to grow, diversify our client base and further expand margins over time."}, {"path": "tedlium_582.wav", "duration": 14.67, "text": "Information about factors that may cause them to differ is contained in our SEC filings. Forward-looking statements made speak only as of today, and we undertake no obligation to update them except to the extent required by securities laws."}, {"path": "tedlium_583.wav", "duration": 14.67, "text": "and with additional investments in quality, efficiency and production capacity, we will continue to capitalize on these opportunities to deliver improved value-added revenue and EBITDA. We will now open the call for questions."}, {"path": "tedlium_584.wav", "duration": 14.67, "text": "So can you give us a -- your thoughts on being able to structure some sort of longer-term financing and refinance the debt with either your current bank or another bank?"}, {"path": "tedlium_585.wav", "duration": 14.67, "text": "and we believe that the market will continue to be supported in Q2. So if what I've just said confirms itself then you guys will rightly beat me up at when we have the same call in Q2 to say that we were conservative on"}, {"path": "tedlium_586.wav", "duration": 14.67, "text": "Okay. And then just last, I guess, you talked about the minimum wage increases and offsetting it through Sunrise and other initiatives, but how would you characterize the reaction in the competitive environment"}, {"path": "tedlium_587.wav", "duration": 14.67, "text": "We needed to do that to open up a bunch of footprint because we're integrating DAT and another business that wasn't even one of our Big 6 integration projects into that same footprint, which is going to work really well. It fits the model perfectly."}, {"path": "tedlium_588.wav", "duration": 14.67, "text": "As a founder of the firm TroyGould, Bill was a pillar of the Los Angeles legal community. I know I speak for many of the men and women of Reading. It has been a tremendous honor and privilege to serve Reading alongside Bill."}, {"path": "tedlium_589.wav", "duration": 14.67, "text": "in addition to the organic growth initiatives already underway. We'll continue to seek out ways to increase returns and value for all shareholders, while assuring that the proper balance between risk and reward is considered in all decisions."}, {"path": "tedlium_590.wav", "duration": 14.67, "text": "we are pleased with progress to date. This project certainly created some logistics challenges, but thanks to outstanding cooperation and support from the city and contractor, this has been managed quite well thus far through minimal disruption to production rates experienced."}, {"path": "tedlium_591.wav", "duration": 14.67, "text": "I feel confident that we're working absolutely on the right things. And my comments that, again, we've got the best products and the best brand and the best people and the best customers, I think, sum up my state of mind at the moment."}, {"path": "tedlium_592.wav", "duration": 14.67, "text": "As of today, we do not have complete insight into the total number of units we can expect in Q2. New software will face a difficult comparison to Uncharted, Doom and Overwatch from last May."}, {"path": "tedlium_593.wav", "duration": 14.67, "text": "maybe looking at partnerships and building that ecosystem out more so than you would've thought a year ago or 18 months ago? Or do you feel like anything your customers are looking for, if you can't find a way to acquire it, you've got the bandwidth and the resources to develop it internally?"}, {"path": "tedlium_594.wav", "duration": 14.67, "text": "And if you want to know relative levels of profitability of our business, starting with revenue is probably a good place to look. And things that we have good revenues in, we tend to have good margins in. And things that we're trying to build revenues,"}, {"path": "tedlium_595.wav", "duration": 14.67, "text": "As we move deeper into the second quarter and expect to realize more online efficiencies, we're excited to kick off our offline marketing in earnest and accelerate our customer education efforts around Groupon's marketplace evolution and improved value proposition."}, {"path": "tedlium_596.wav", "duration": 14.67, "text": "Dave. Thanks, Gwen. First, some industry investment trends that are taking place. Core is encouraged that operating companies are buying into living within free cash flow and emphasizing returns on invested capital as demanded by today's investors."}, {"path": "tedlium_597.wav", "duration": 14.67, "text": "It is not as if you have a permanent business, then you can intervene 3, 4 weeks or 6 months or 4 months later when there is something not working."}, {"path": "tedlium_598.wav", "duration": 14.67, "text": "And then we are looking at different ways, maybe some creative ways to actually start to build out the organic sales and marketing effort a little bit. So certainly, increased trade show activities, things like that."}, {"path": "tedlium_599.wav", "duration": 14.67, "text": "Therefore, please allow me to make some initial remarks about how we're seeing the current environment and why we remain confident about Bladex's capacity to continue to deliver in a prolonged downturn cycle."}, {"path": "tedlium_600.wav", "duration": 14.67, "text": "And as we think about the balance of the year, we're not really giving specific guidance, Kai, but really what I would say is as you think about the cash we generate over any year, we're going to manage that -- the investment of that cash based on return on capital."}, {"path": "tedlium_601.wav", "duration": 14.67, "text": "building contacts along the value chain and we've received a little bit better feedback than what you talked about in that coastal kind of Houston market, things flattening and even some slight improvement in the Houston market."}, {"path": "tedlium_602.wav", "duration": 14.67, "text": "the first half, we saw a broader challenge in our VA business, which we now expect will continue into the second half of the year. That said, our second half guidance continues to represent top and bottom line growth and significant free cash generation."}, {"path": "tedlium_603.wav", "duration": 14.67, "text": "but obviously with the prospect of net new money and then obviously contribution to the bottom line in the next 24 months. The vast majority of these bankers joined us in Switzerland, on the Swiss platform, in Asia, and in Monaco."}, {"path": "tedlium_604.wav", "duration": 14.67, "text": "So as they assess the national opportunity for each of these verticals, they have changed some locations, shut off the hiring, analyze their teams. But the items that go into this"}, {"path": "tedlium_605.wav", "duration": 14.6699375, "text": "that articulate the variety of benefit to the end customer and by doing inserts and onserts with their own paper invoices to give end customers the opportunity to come to the supplier's website and sign up for ARC in a couple of simple steps."}, {"path": "tedlium_606.wav", "duration": 14.64, "text": "why we're able to perform at the levels we are. Thanks to all of you on the call today for your continued support and confidence in our firm, and have a great day. This concludes today's call. Thank you for your participation. You may now disconnect."}, {"path": "tedlium_607.wav", "duration": 14.64, "text": "The focus is on utilization and driving the top line revenue of this company. Reimbursement certainly is a big factor for us as well as we spent quite a bit of time on the call, but we feel like we have a good handle on all of these things heading forward"}, {"path": "tedlium_608.wav", "duration": 14.64, "text": "Comments made on the call today will contain forward-looking information. This information, by its nature, is subject to risks and uncertainties, and actual results may differ materially from the views expressed today."}, {"path": "tedlium_609.wav", "duration": 14.64, "text": "situation. And so while we had a very good demand coming in 2017, are we going to see correction in 2018? This is something that we are looking into, but we cannot be definitive. But what we can share with you,"}, {"path": "tedlium_610.wav", "duration": 14.64, "text": "the investments that you made including the hiring in the fourth quarter and we look at the macro backdrop, it feels better today than a year ago. I'm just wondering in terms of when we look at your 10% loan growth guidance, is it"}, {"path": "tedlium_611.wav", "duration": 14.64, "text": "We provide this critical service in steel mills, in the pipe processor's operations, in the pipe yards of oil company and distributor customers, on the rigs that run the pipe and pull the pipe and in our own network of pipe inspection yards."}, {"path": "tedlium_612.wav", "duration": 14.64, "text": "those are good learning experiences for the company too. We learn a lot about, well how other people do the business even if we're the loser. I would tell you that market has been discouragingly frothy so far."}, {"path": "tedlium_613.wav", "duration": 14.64, "text": "That all leads us to the fourth phase, which is transact. Once viewing is measured comparably across all screens and platforms and the metrics are adopted by clients, then they of course move to transact on those metrics."}, {"path": "tedlium_614.wav", "duration": 14.64, "text": "that the financial system is looking at the judicial system to see how this case is finally decided, how banks make out at the end, because that is really crucial"}, {"path": "tedlium_615.wav", "duration": 14.64, "text": "With respect to our consolidated performance during the quarter, these are the main highlights. First, we were able to maintain our NIM both due to a solid performance of our NIM and investments and our ability to cut cost of deposits,"}, {"path": "tedlium_616.wav", "duration": 14.64, "text": "We shed the construction side of the business where we didn't have the right scale to manage our risk and focused on the higher value engineering support and sales. As a result, the business has been a stable earnings contributed this year at significantly improved margins."}, {"path": "tedlium_617.wav", "duration": 14.64, "text": "probably point number one. Point number two would be the upside potential from incentive revenue that we've had a long history of doing very, very well at. The third element would probably be"}, {"path": "tedlium_618.wav", "duration": 14.64, "text": "so it was more introduced as a pop-up show post holiday that we thought might have some legs and it just didn't. And as we've noted in the past, we don't expect a 100% hit rate on all new launches of shows. We'll have a fairly good hit rate,"}, {"path": "tedlium_619.wav", "duration": 14.64, "text": "look, I have also been consistent in that I believe that this industry is global in nature. I believe that these are the largest companies in the world and that if you really want to be as helpful as possible to those companies, you have to be global."}, {"path": "tedlium_620.wav", "duration": 14.64, "text": "point in the market where we could bring in very large amounts of deposits. We have found that pricing point. So part of that was pricing related, some upper level tiers in our money market accounts. If somebody brings us a particularly"}, {"path": "tedlium_621.wav", "duration": 14.64, "text": "And after the analysis of the data collected from those 4 wells, we'll be further delineating our development program. But you can expect it to be a little widespread initially before we go into full-phase development."}, {"path": "tedlium_622.wav", "duration": 14.64, "text": "what we experienced in our own portfolio in Q1, we can say there was a lot of volatility. What we've observed on the markets is decline on the Polish Stock Exchange."}, {"path": "tedlium_623.wav", "duration": 14.64, "text": "you're trying to land a company of this size at the end of the year, having some contingency in there for other unexpected items, some of which are known to us now, some of which are not known, is prudent from our perspective."}, {"path": "tedlium_624.wav", "duration": 14.64, "text": "remain encouraged by the enthusiasm of our agents, school district and association partners, and are confident we are on the right track to being the company of choice to help the nation's educators protect what they have today and prepare for a successful tomorrow."}, {"path": "tedlium_625.wav", "duration": 14.64, "text": "There's some very weak and volatile natural gas prices. And so sadly our plan of delaying a lot of our capital to the fall and even shutting in some of our summer production was one we had to put into practice."}, {"path": "tedlium_626.wav", "duration": 14.64, "text": "Specifically, the expansion of our geographic reach and product portfolio has made our business more resilient. The power of our customer relationships in retail and foodservice has created advantage in the marketplace."}, {"path": "tedlium_627.wav", "duration": 14.64, "text": "every quarter. The bookings numbers, in particular, were well above what we were expecting. And we were calibrating every quarter to the bookings opportunities in front of us. So we ended up making so many adjustments to the annual number"}, {"path": "tedlium_628.wav", "duration": 14.64, "text": "We are confident that our investments will continue to drive revenue and bookings growth and expand our addressable market over time. We will continue to calibrate our expense level relative to bookings and revenue and carefully assess the return on our spend."}, {"path": "tedlium_629.wav", "duration": 14.64, "text": "to an operating model that will drive certain sales functions centrally. This new model will drive a sales engine on an enterprise level to support and supplement the critical account development and management activities happening in the local markets."}, {"path": "tedlium_630.wav", "duration": 14.64, "text": "If you take a week of our U.S. business, it's 15 million of orders. Now even if you say that we were stopped for the full week and we lost 15 million of orders, which has not happened, we were not stopped for the full week. We did not lose 15 million of orders,"}, {"path": "tedlium_631.wav", "duration": 14.64, "text": "as you would expect, a very thorough multiyear process. And in that process, the board considered both internal and external candidates, and it was -- there was a very talented pool of both internal and external candidates."}, {"path": "tedlium_632.wav", "duration": 14.64, "text": "The third and largest, cost of goods sold, will take the longest to recognized -- to be recognized and will mostly be realized by Year 3. Our current structure systems and processes are fragmented and cause confusion between us and our supply of partners."}, {"path": "tedlium_633.wav", "duration": 14.64, "text": "I know you said you're not looking at selling the entire enterprise. But why not take a look at selling these 4 plants or other specific businesses that have been chronically problematic? Yes."}, {"path": "tedlium_634.wav", "duration": 14.64, "text": "While there is a continuous increase of this -- of the volumes going through the e-commerce channel and driven by the e-commerce activities"}, {"path": "tedlium_635.wav", "duration": 14.64, "text": "I should just say that Ofwat are still debating and discussing how they might want to report that on an industry-wide basis. So there is a discussion about how they will calculate it. But I think on any basis, that's going to be a strong performance however it's calculated."}, {"path": "tedlium_636.wav", "duration": 14.64, "text": "We believe that our ability consistently generate increases in both our net investment income and net asset value per share and deliver a superior return on equity continues to illustrate the significant benefits of our unique investment strategy in the lower middle market,"}, {"path": "tedlium_637.wav", "duration": 14.64, "text": "and that it's something that is being explained in more detail by plastic surgeons in advising their patients of this level of risk prior to undertaking any surgical procedure."}, {"path": "tedlium_638.wav", "duration": 14.64, "text": "The dollars are there, we know we can get them in that time period. And we're confident we can get them in that time period. But we also have done these enough times to know that some of those unintended consequences bubble up and what we're seeing this quarter is a little bit of that."}, {"path": "tedlium_639.wav", "duration": 14.64, "text": "if you were trying to look at one period, it's probably not going to change that number dramatically because of the relative size of their spend versus ours and the fact that they are pretty close in the percentages to begin with. So"}, {"path": "tedlium_640.wav", "duration": 14.64, "text": "During the second quarter, we proposed various health-related initiatives to our customers such as information campaigns pertaining to the implementation of Bill 41 and campaigns related to severe allergies."}, {"path": "tedlium_641.wav", "duration": 14.64, "text": "which I believe results in 2 even more focused companies that can create greater opportunities for employees and customers as well as drive additional value for shareholders. We appreciate your commitment and dedication."}, {"path": "tedlium_642.wav", "duration": 14.64, "text": "If I could have everyone turn to Slide 7, now turning specifically to the quarter. Q1 is traditionally the smallest quarter of our year, and we delivered results that were generally in line with our expectations."}, {"path": "tedlium_643.wav", "duration": 14.64, "text": "the markets we're selling into and we look at our customers' sales and we use that as our proxy for what the market growth is and then how our sales -- based upon the mix of those markets, how our sales should be growing to match the market."}, {"path": "tedlium_644.wav", "duration": 14.64, "text": "that refer to future events and thus involve risk. Refer to the usual disclosures. As Marty indicated, second quarter financial results for fiscal 2016 represented a continuation of the solid start we had to the year."}, {"path": "tedlium_645.wav", "duration": 14.64, "text": "And could you talk about the complexities of trying to decaptivate more hydrogen from the refining industry? I think that was, early on, one of the key opportunities that you envision, but it seems like it's taking a fair amount of time."}, {"path": "tedlium_646.wav", "duration": 14.64, "text": "to the extent that we can't foresee a major growth. We should see what would be the feasible growth at least. So that's the basis of our forecast. And for the operating income,"}, {"path": "tedlium_647.wav", "duration": 14.64, "text": "our strategy is starting to play out there, and the referenceability gives us more credibility when we're talking to other customers in other parts of the world. It is a very dynamic market now, as you're aware and everyone's aware, with the business climate that's out there."}, {"path": "tedlium_648.wav", "duration": 14.64, "text": "as well as the benefit from MBNA. For the full year, I now expect the margin to be in line with H1 and over the longer term, in line with our previous guidance. I continue to expect NIM to be resilient through the plan period."}, {"path": "tedlium_649.wav", "duration": 14.64, "text": "of that. And then as I talked about in my script, we also have very significant cost reductions planned around productivity and our digital initiatives. Our digital initiatives are one of the things that's been driving our improvement"}, {"path": "tedlium_650.wav", "duration": 14.64, "text": "We have a very talented and experienced management team and an exceptionally dedicated global workforce. Following good governance practices, our board is conducting a review of both internal and external successor candidates."}, {"path": "tedlium_651.wav", "duration": 14.64, "text": "led to another year where our share of spend and share of market was comfortably above 100. This step-up in margin shows that we are reaping the benefits of investments made over the past few years"}, {"path": "tedlium_652.wav", "duration": 14.64, "text": "So whilst the quarter 3 might have been a little softer, quarter 4 is a little better, we look at it at a little bit longer time frame than you sometimes do. So what we've seen in the last quarter, and we don't even have the shares yet because they come in with a"}, {"path": "tedlium_653.wav", "duration": 14.64, "text": "As part of negotiations, we have sought to address the concerns of government and appropriately allocate project benefits and returns amongst stakeholders. And while discussions have been robust, we are comfortable that we will end up with an equitable balance."}, {"path": "tedlium_654.wav", "duration": 14.64, "text": "in a time where they were hit by the crisis. So the expectations, they underperformed. And -- but we"}, {"path": "tedlium_655.wav", "duration": 14.64, "text": "Can you give us a little bit more color in terms of if that's growing at an organic clip sort of above or in line with what the rest of your brokerage segment is? Maybe what the profitability is? And sort of how you guys view it currently and going forward?"}, {"path": "tedlium_656.wav", "duration": 14.64, "text": "was that we had a -- an impact from a change in some of the work that was to be completed by one of the CROs. Again, that just comes back to gaining greater clarity and understanding of what absolutely needs to be done, who's doing it, and how much it's going to cost."}, {"path": "tedlium_657.wav", "duration": 14.64, "text": "And many of these customers are seeking additionality. What that means is they want a new wind farm built. They want to be able to contribute to the greener future directly and tangibly by having a wind farm that they can claim essentially as their own, and we're happy to provide that."}, {"path": "tedlium_658.wav", "duration": 14.64, "text": "And so I think that -- there's a couple of dynamics that play there that are -- that need to be dealt with. One is that the overall cost of funds in the repo world, where we pledge loans to banks who -- and they give us financing,"}, {"path": "tedlium_659.wav", "duration": 14.64, "text": "You may now disconnect."}, {"path": "tedlium_660.wav", "duration": 14.64, "text": "or 2 to 6 months after that lumber was dropped on the lot. And so you would see that particular cost line potentially having some pressure. But I would tell you that we would expect to see some of those things offset by other decreases"}, {"path": "tedlium_661.wav", "duration": 14.64, "text": "Maintaining a strong strategic hedging program is an important element to supporting the long-term development of our assets, and we will opportunistically layer on additional hedges and basis swaps to provide line of sight to our realizations and cash flows."}, {"path": "tedlium_662.wav", "duration": 14.64, "text": "our subcontractor model, would it slow down adoption of such technologies? I mean, the answer to that is no, in general. But Rob just gave an important speech that sort of represents"}, {"path": "tedlium_663.wav", "duration": 14.64, "text": "We're very proud of the progress the FedEx team has made in recovering from the effects of the cyberattack at TNT. Let me express our appreciation to the thousands of FedEx professionals"}, {"path": "tedlium_664.wav", "duration": 14.64, "text": "Yes, it's -- for the -- it's hard to say because we're not sure what's going to happen with capacity. Capacity is pretty loose right now. If it tightens up with ELDs going into effect at the end of the year,"}, {"path": "tedlium_665.wav", "duration": 14.64, "text": "so if the markets are more or less where they are, the FX do not go crazy, then you can calculate that in 1, 2 years, we will be again well capitalized from our own capital generation."}, {"path": "tedlium_666.wav", "duration": 14.64, "text": "I'll turn now to our financial guidance for the fourth quarter and full fiscal year of 2016. We believe that Mercury's market opportunities and backlog position us to continue delivering solid revenue growth in the fourth quarter of the fiscal year."}, {"path": "tedlium_667.wav", "duration": 14.64, "text": "But we do think there's a couple of ideas that we're going to go forward with. We're trying to work, as I said, with a number of different parties to try to get people to sign off. I think it's -- strength is in numbers when you go to FERC, and we think we're trying to -- or I think we may have a coalition."}, {"path": "tedlium_668.wav", "duration": 14.6100625, "text": "decades, that people value plenty of aspects of what Visa brings to the table from our global scale to our risk and fraud prevention tools to our brand, et cetera."}, {"path": "tedlium_669.wav", "duration": 14.61, "text": "we will then take them off, manufacture them ourselves and sell them. During the course of this period, very few goods have not met or exceeded our reserve price,"}, {"path": "tedlium_670.wav", "duration": 14.61, "text": "and the replay will be available on our website until the next earnings call. Please note this webcast is a property of iPass and any copying of or rebroadcasting without express prior written consent of iPass is prohibited."}, {"path": "tedlium_671.wav", "duration": 14.61, "text": "And then the other thing I'll note, and this is things that we're working on, our systems and processes in iPass, I made the comment that we moved very quickly and in a very short period of time made a lot of progress with the company."}, {"path": "tedlium_672.wav", "duration": 14.61, "text": "Last area that I want to highlight is the SME part of our portfolio. We've been growing the number of customers that we have in this segment in both property and specialty lines and marine over the last several years."}, {"path": "tedlium_673.wav", "duration": 14.61, "text": "such as the OSS integration, 5G technologies and virtualization. The next steps in simplification and digitalization will enable us to improve even further our customer experience,"}, {"path": "tedlium_674.wav", "duration": 14.61, "text": "where we both developed in the mass and the derma or the therapeutic market. It's as such an interesting market that creates value and where we are strengthening our competitive situation."}, {"path": "tedlium_675.wav", "duration": 14.61, "text": "by the affordable housing module and the fact that we have the Every Comp, Everywhere, which is making us competitive in some of those segments that we heretofore haven't been able to play. So that's kind of how I would rank and prioritize"}, {"path": "tedlium_676.wav", "duration": 14.61, "text": "how do you think about it maybe from new tests versus existing tests. How does -- you guys have been very innovative with new product rollouts. How does that help support future volume growth? Could you put some color around that?"}, {"path": "tedlium_677.wav", "duration": 14.61, "text": "These assets have performed extremely well during the year, with our overall occupancy rate remaining consistently high at 97% and the portfolio has continued to grow through contractual lease escalators and modifications."}, {"path": "tedlium_678.wav", "duration": 14.61, "text": "Late last night, we were advised by our contractor of a previous commitment that may prevent them from constructing the mill. Clearly, it will take some more time to get a fuller understanding of the situation, but we remain fully committed to building a greenfield mill."}, {"path": "tedlium_679.wav", "duration": 14.61, "text": "color as to what actually happened in the April quarter, where there was strength and where there might have been some relative weakness. And then as you think about sort of the re-acceleration into July, maybe some color around segments within wired would be helpful as well."}, {"path": "tedlium_680.wav", "duration": 14.61, "text": "continued growth really relates to the marketing endeavors. And granted, you're acknowledged by Ovum here. But can you talk to how you're able to translate that recognition into more"}, {"path": "tedlium_681.wav", "duration": 14.61, "text": "Given the unprecedented levels of bandwidth required to connect everything from toasters to dishwashers to factories, fiber, and more importantly, fiber management and pathway solutions will be the key enabler for a more connected future."}, {"path": "tedlium_682.wav", "duration": 14.61, "text": "Okay. And then just sort of international by region, maybe help us understand Western Europe, the big markets. How do you expect those to grow in the back half? And then Latin American as well? Yes. I still think they're in the"}, {"path": "tedlium_683.wav", "duration": 14.61, "text": "I don't know. Right now we're selling pretty well. I think our margins are better than most of those for our customers. So right now, we're in a status quo. But we certainly do watch all of that to see what will take our space. Haven't heard that anything is outrageously significant yet."}, {"path": "tedlium_684.wav", "duration": 14.61, "text": "Consumers have an increasing appreciation for the value of the health benefits related to weight loss, which fundamentally changes the purchasing decision and provides great permission to spend in a critical arena of their lives."}, {"path": "tedlium_685.wav", "duration": 14.61, "text": "like the core business as it sets up. I think the big, big opportunity that some others have demonstrated is this downmarket full AP thing that we've been working on and modeling and finally launched that"}, {"path": "tedlium_686.wav", "duration": 14.61, "text": "My explanation follows the presentation materials entitled Results for the 9 Months Ended December 2015, which is shown in the center of the viewing screen. Please turn to Page 2 of the materials."}, {"path": "tedlium_687.wav", "duration": 14.61, "text": "The increase was driven by higher loan volumes mainly in our auto business in Puerto Rico as well as higher volumes and rates on investments, partially offset by higher volumes and cost of interest-bearing deposits."}, {"path": "tedlium_688.wav", "duration": 14.61, "text": "We have discussed previously our efforts to utilize a significant amount of net operating losses, or NOLs, held by Syncora. As we see positive events for the company on the horizon that will reduce our overall risk"}, {"path": "tedlium_689.wav", "duration": 14.61, "text": "In the long-term, logistics matter. We think the trucking problem today in the Permian will worsen, and it will erase the economic benefit of using regional sand."}, {"path": "tedlium_690.wav", "duration": 14.61, "text": "if we do end up getting a rate hike, like do you see the margin at this point relatively neutral? Or would you consider yourselves a little liability-sensitive there, there's maybe upside to the margin as the year progresses without any Fed rate hikes? Any color there would be helpful."}, {"path": "tedlium_691.wav", "duration": 14.61, "text": "to meet the needs of their clients. And as Steve walked you through, the greatest part about that is when we put that financing on there, we're going to continue to make ongoing revenue streams out of that financing rather than just brokering the deal off to somebody else."}, {"path": "tedlium_692.wav", "duration": 14.61, "text": "Our entire team worked tirelessly in the first quarter to deliver against our model for growth with profitability, and I'm proud of what we accomplished. Our pipeline is robust and in the first quarter, we added more qualified opportunities than ever before,"}, {"path": "tedlium_693.wav", "duration": 14.61, "text": "structural investments that would drive sort of a step change in our cost structure, we continue to aggressively evaluate those opportunities. We've met with our Board to talk about a few of those. We're meeting with our Board again at our next meeting to go over some others and"}, {"path": "tedlium_694.wav", "duration": 14.61, "text": "which has caused France to be in a very difficult and miserable situation in the first half of 2017. And given this situation and also given the fact"}, {"path": "tedlium_695.wav", "duration": 14.61, "text": "We believe that we have meaningful growth opportunities ahead. Industry trends, such as the unbundling of research from execution, a greater focus on measurement, and further global adoption of electronic trading are winds at our back."}, {"path": "tedlium_696.wav", "duration": 14.61, "text": "This reflects the lower operating performance of these plants consistent with the industry this year versus last year and the fact that we stopped recognizing equity income on the Patriot plant at May 31, 2015, upon the close of that sale."}, {"path": "tedlium_697.wav", "duration": 14.61, "text": "But certainly, the underlying indicators of traffic, homeowner intention to buy, affordability, some of the other things that drive housing have continued to improve and would suggest that we will see another year of good housing performance this year."}, {"path": "tedlium_698.wav", "duration": 14.61, "text": "So as with all algorithm driven engines, we'll continue to refine that as you put the output back into the import and it refines going forward. So that's an important step in our new retail systems using AI to guide our clearance activity."}, {"path": "tedlium_699.wav", "duration": 14.61, "text": "The results we have obtained in ALL are very convincing to try to expand this in a lot of different type of indications, and I think that there is absolutely no restriction behind this."}, {"path": "tedlium_700.wav", "duration": 14.61, "text": "We are encouraged by our results that demonstrate the KO-539 has the potential to be active in subtypes representing approximately half of patients with AML and drive robust and persisting responses in preclinical models."}, {"path": "tedlium_701.wav", "duration": 14.61, "text": "Video equipment, which include projectors and display panels, also increased across all end markets, up nearly double digits in the quarter. NetComm increased high single digits with gains in all but one customer market."}, {"path": "tedlium_702.wav", "duration": 14.61, "text": "Clients are also transacting less, and in smaller amounts. And from a banking point of view, those of our customers who are on packages are transacting more in-package to avoid the fees for transacting out of package."}, {"path": "tedlium_703.wav", "duration": 14.61, "text": "But we also see the power of physical marketing, and our new Studio D concept, which we've opened as a pop up in Melbourne with our Dulux business, is an example of how we are continually innovating in our decorative paints business."}, {"path": "tedlium_704.wav", "duration": 14.61, "text": "to drive that Collectibles business and move it up to the international average. And so that is a strong growth provider for us in the future. And in order to do with that, we are developing and -- we have developed and are developing a very robust collectibles"}, {"path": "tedlium_705.wav", "duration": 14.61, "text": "for the roughly 1 million relationships coming on board. TCA has been part of the family for about 3 months now, and the transition has been exceptionally smooth. Our new business momentum continues just as we put the strength of our brand behind it."}, {"path": "tedlium_706.wav", "duration": 14.61, "text": "a diabetes clinic that schedules their day every Thursday for removals and reinsertions. And they implement those kinds of practice flows. We actually have many providers who"}, {"path": "tedlium_707.wav", "duration": 14.61, "text": "dividends or other income from a 50% equity stake in the joint venture company with AREVA. The strong support, we have witnessed from AREVA is further validation of our technology"}, {"path": "tedlium_708.wav", "duration": 14.61, "text": "Reduced overheads were the big driver of our margin improvement. Our productivity initiatives focus on tight management of every line item within overheads, and our actions to reduce these costs delivered strongly in this half."}, {"path": "tedlium_709.wav", "duration": 14.61, "text": "here on the administrative side and also some potential increases in DSO and maybe even bad debt expense for a period of time as we transition to this new provision, we think that, that will be temporary."}, {"path": "tedlium_710.wav", "duration": 14.61, "text": "big growth channel for us. What we're looking for is not just shifting, as consumers just shift perhaps from brick-and-mortar to e-com, but how do we actually make that incremental to our overall sales versus just a shifting. So"}, {"path": "tedlium_711.wav", "duration": 14.61, "text": "more sophisticated random and impact copolymers. Our licensing pipeline is healthy and growing with more than 10 opportunities expected to reach decision points in the next 6 to 9 months."}, {"path": "tedlium_712.wav", "duration": 14.61, "text": "Throughout today's call, we will be presenting certain non-GAAP financial measures, which have been adjusted to exclude expenses and other gains or losses related to restructuring -- restructurings, litigation and tax matters and certain other items."}, {"path": "tedlium_713.wav", "duration": 14.61, "text": "Moving to working capital. DSOs were 99 days, which was consistent with both our second and third quarters in fiscal '16. DSOs continue to be impacted by slower international customer payments, as I just noted."}, {"path": "tedlium_714.wav", "duration": 14.61, "text": "We also saw and you're seeing in Q1 so far what I would describe as a couple of key accounts that are reducing spending or changing spending habits a little bit, which are driving our outlook for the quarter."}, {"path": "tedlium_715.wav", "duration": 14.61, "text": "reflecting our effort to bring these assets up to our proudly owned and operated by standard. I would expect that rate of spend to begin to moderate as we get through more of the portfolio and address some of the items"}, {"path": "tedlium_716.wav", "duration": 14.61, "text": "Our business fundamentals are solid and we have significant competitive advantages, including extensive distribution in a vastly underserved target market. I feel good about where we are and our ability to leverage our core competencies to drive future growth."}, {"path": "tedlium_717.wav", "duration": 14.61, "text": "Now on to, SPINRAZA. The initial underlying demand has been robust. We noticed a solid progress in terms of both infrastructure and insurance coverage."}, {"path": "tedlium_718.wav", "duration": 14.61, "text": "we believe Norbord is well positioned to manage through this period of volatility. As always, our commitment is controlling our controllables. We will continue to only produce what we can sell."}, {"path": "tedlium_719.wav", "duration": 14.61, "text": "compared to the first quarter of 2015. As mentioned above, the decrease in operating income was largely due to lower revenues and unfavorable product mix in the Armament Systems division as compared to last year's period."}, {"path": "tedlium_720.wav", "duration": 14.61, "text": "More specific to the technology side of the integration, we're focused on migrating the European systems to our global authorization clearing and settlement systems as well as deploying our global data platform and other corporate systems into Europe."}, {"path": "tedlium_721.wav", "duration": 14.5800625, "text": "And then third thing I would say and emphasize is we're really taking a very thoughtful approach to the relaunch of the company. I've mentioned in the past, we have been much too internally focused over the past three years."}, {"path": "tedlium_722.wav", "duration": 14.58, "text": "and we do entertain that from time-to-time with certain customers. It's a really small percentage of our total revenue, but nonetheless because it's immediately recognized it can have an outsized impact and that's really what happened."}, {"path": "tedlium_723.wav", "duration": 14.58, "text": "and demands to be connected and demands increasingly more data ubiquitously, combined with a telecommunications industry that is struggling to meet these consumer demands profitably."}, {"path": "tedlium_724.wav", "duration": 14.58, "text": "Roche Group through Genentech, I believe, in the second week of this year, issued an open letter to hemophilia patient groups with the purpose of providing information."}, {"path": "tedlium_725.wav", "duration": 14.58, "text": "I would like to advise you that this call is being recorded for replay through our conference call provider and is being broadcast live through an Internet webcast system. Following our brief remarks, there'll be an opportunity for questions."}, {"path": "tedlium_726.wav", "duration": 14.58, "text": "And we believe that as this is a major challenge for us, that we need to accelerate and invest more in order to be able to increase our abilities."}, {"path": "tedlium_727.wav", "duration": 14.58, "text": "once the rules are fully implemented. For example, there will be a lot of vape shops going out of business. Now we've contracted outside retail agents to call on these vape shops to see if we can convert those over."}, {"path": "tedlium_728.wav", "duration": 14.58, "text": "This is the second fatality we've at the mine so far this year. Obviously, it's a severe setback after we have reported some significant improvements over the past few years in our safety record."}, {"path": "tedlium_729.wav", "duration": 14.58, "text": "And the reason that it's possible is what I just mentioned in my presentation that we have initiated to work with new methods and the data science in a different way, where we will also be able to optimize promotion, drive growth,"}, {"path": "tedlium_730.wav", "duration": 14.58, "text": "as a result of these incremental increases in expenses and interest costs that might have made certain deals that we're penciling out late last year, not pencil out. That said, transaction volume has not really been dramatically impacted."}, {"path": "tedlium_731.wav", "duration": 14.58, "text": "and that NOV can bring proprietary tools to oilfield service companies to deliver these wellbores. We believe that composite technologies will defeat corrosion in the oilfield, the most expensive production problem that many of you probably never think about."}, {"path": "tedlium_732.wav", "duration": 14.58, "text": "we're already in the middle of doing significant amounts of qualifications for incremental revenue. And even while we see a more robust Q4 in front of us across the board,"}, {"path": "tedlium_733.wav", "duration": 14.58, "text": "in '18 and then I don't have Gulfstream delivering until '18, remind me, when you're sending content to Gulfstream for those first few deliveries, how far out ahead that is and then for how many quarters do you think we see this"}, {"path": "tedlium_734.wav", "duration": 14.58, "text": "from a revenue standpoint. So we want to get that out there. But I think it's also important to talk maybe just a little bit of the carryover for Zetia and quetiapine because they're so big contributors to what we're doing. So when you look at those 2 products,"}, {"path": "tedlium_735.wav", "duration": 14.58, "text": "if someone else wants to pay more, that's fine. It doesn't really have anything to do with what we ought to be willing to do nor do I think that sort of the decline in"}, {"path": "tedlium_736.wav", "duration": 14.58, "text": "more or less all items in a way that they are decreasing the balance sheet. And non-current assets increased mainly as a consequence of the acquisitions made in the construction and also we have"}, {"path": "tedlium_737.wav", "duration": 14.58, "text": "Our performance in tractor utilization lags the progress we have achieved in other key metrics and, thus, remains a significant focus. We know that to truly compete, we must close the gap between ourselves and the industry on this measure."}, {"path": "tedlium_738.wav", "duration": 14.58, "text": "and thirdly, very quickly if you could comment upon silicon carbide traction for you outside automotive and whether that is also trending in-line with expectations or ahead of expectations. Thank you?"}, {"path": "tedlium_739.wav", "duration": 14.58, "text": "that kind of stuff is going to really come into the market, and it's a cost that people have not planned on. So in that, as those costs go up, we think that terminals in Northern White will come back in those markets."}, {"path": "tedlium_740.wav", "duration": 14.58, "text": "the diseases. I would like to return to one question of Nicole's which I did not address, which was our expectation about whether multiple doses would lead to a lower oxalate level. And it is our expectation"}, {"path": "tedlium_741.wav", "duration": 14.58, "text": "Actual results may differ materially from those expected or implied. Forward-looking statements are as of the date they are made, and we undertake no obligation to update any forward-looking statement beyond what is required by applicable securities law."}, {"path": "tedlium_742.wav", "duration": 14.58, "text": "When we look at the investment, which includes the purchase pricing, the original IP and the leases associated with them, the capital expenditures associated with it and whatever operating losses exist to ramp it up,"}, {"path": "tedlium_743.wav", "duration": 14.58, "text": "well cost. So we do a lot of things that enable us to continue to make steady improvements in our well costs. And we can't be more proud of our operational teams as they continue to strive to do that."}, {"path": "tedlium_744.wav", "duration": 14.58, "text": "and other services that help our advisers meet the growing and changing needs of their clients. In summary, delivering these enhancements is intended to benefit our advisers through increase scale, lower operating costs and enabling growth."}, {"path": "tedlium_745.wav", "duration": 14.58, "text": "and a significant divestment impact from the hearing plan business. And then if you go to the retail, you can see the composition of the strong growth we had on the audiological care side,"}, {"path": "tedlium_746.wav", "duration": 14.58, "text": "And we are selling those things that we don't -- we have decided that it's not worth the organic or the inorganic investment to us if the opportunities are elsewhere, and that's really how we've been making those decisions. And also keep in mind, things that are small"}, {"path": "tedlium_747.wav", "duration": 14.58, "text": "Every single one of our cloud benefits from Einstein in this way, and by making it easy to adopt and easy to use, our customers are actually seeing the value of AI without hiring a legion of data scientists. And that's really the promise of Einstein and really our philosophy behind"}, {"path": "tedlium_748.wav", "duration": 14.58, "text": "And so these normalization of mine plans take time, and that's why we insist on gradual. We keep back to going gradual because it will be -- it will take, again, years to normalize the mine plans."}, {"path": "tedlium_749.wav", "duration": 14.58, "text": "The slide also illustrates our ability to recover from increases in raw material costs. So in summary, our Price Right strategy continues to deliver core unit margins that are consistent with our historical and longer-term, sustainable levels."}, {"path": "tedlium_750.wav", "duration": 14.58, "text": "and in France, where we were forced to take one line down for 8 days and a second line down for 10 days due to the quality of feedstocks we received from a supplier. The impact of these outages was confined to the third quarter with no lingering effect"}, {"path": "tedlium_751.wav", "duration": 14.58, "text": "potential contracts and why I think '17 could be a lift and the range and all that stuff. Because if you guys have internal models showing that, which I'm sure you do, then you're transacting on data"}, {"path": "tedlium_752.wav", "duration": 14.58, "text": "over the 5-year period, all of that while still generating double-digit EPS growth and strong cash flow. So we think our underlying business fundamentals are quite solid. There's obviously a lot of moving pieces in this challenging environment,"}, {"path": "tedlium_753.wav", "duration": 14.58, "text": "The acquisition of the original equipment business for Maval industries announced earlier this year is an excellent example of us expanding our offerings to provide more fully integrated solutions to our customers."}, {"path": "tedlium_754.wav", "duration": 14.58, "text": "We plan to extend our lead and build out capabilities that further strengthen our value proposition. On the last call, we discussed a major technology initiative we have underway to transform the patient and physician experience with the revenue cycle."}, {"path": "tedlium_755.wav", "duration": 14.58, "text": "the very high level of clinical activity both in terms of the response rate, 4 out of the first 6 patients responding as well as the durability. So what that means in terms of thinking about a pivotal trial is,"}, {"path": "tedlium_756.wav", "duration": 14.58, "text": "We look forward to updating you on our progress in these important regions as we continue to add distribution capacity and learn more about the drivers of adoption and ultimately, utilization in these institutions. Now I'll hand it back over to John. Thanks, David."}, {"path": "tedlium_757.wav", "duration": 14.58, "text": "it sounds as though we won't really see much of a change in the in-store offering here in Canada until later in 2019 and really we should be looking to '20 and '21 in terms of how it builds. Is that fair?"}, {"path": "tedlium_758.wav", "duration": 14.58, "text": "thermal performance, extended asset life and other operational efficiencies. We're also making progress establishing strategic relationships with key partners in the composites world for both the development, manufacturing and further extension of the technology."}, {"path": "tedlium_759.wav", "duration": 14.58, "text": "I think it hasn't been a surprise. I think it's been a very positive experience. We really enjoy working with the teams, and we've got detailed integration plans that we are beginning to execute on. And we look forward to giving you the new guidance in a couple of months."}, {"path": "tedlium_760.wav", "duration": 14.58, "text": "that we have in France, 7 million of those sit within those Triassic reservoirs, so that can help to unlock the value of some of those resources. So we expect by the end of the year to get to,"}, {"path": "tedlium_761.wav", "duration": 14.58, "text": "and the expansion of existing co-chair agreements were announced in the half. And we think they add considerable consumer benefit, aid with competition and help improve the economics of our international operation."}, {"path": "tedlium_762.wav", "duration": 14.58, "text": "So we think we may see some homes closing at a slower average sales price and a customer selecting a 1,400 or 1,500 square foot instead of a 1,600 to 1,800 square feet as one of the offsets to rates increasing."}, {"path": "tedlium_763.wav", "duration": 14.58, "text": "in the last year or 2. And so if you take those 2 sort of things, that probably gives you a good view of what's going on in the industry. Some of the companies are pulling back, some of the companies are slowing down, but a lot of that gap is being filled by some of these credit unions."}, {"path": "tedlium_764.wav", "duration": 14.58, "text": "part of that is making sure that we are trend right and that our styles match today what our customers are looking for and then focused on innovation. And so you'll see us"}, {"path": "tedlium_765.wav", "duration": 14.58, "text": "on our transportation network, our efforts to improve our network capacity and efficiency are beginning to pay off with financial benefits and improved service levels. So to summarize, we have 20 work streams in progress"}, {"path": "tedlium_766.wav", "duration": 14.58, "text": "we see in the organization. We continue to see a difficult but an opportunity-filled environment. And we continue to look for ways to grow our business, continue to improve our returns and capitalize on the momentum"}, {"path": "tedlium_767.wav", "duration": 14.58, "text": "Before we start the conference call this morning, I'll mention that some of the statements that we make during this call may include projections, estimates and other forward-looking information. This would include any discussion of the company's business outlook."}, {"path": "tedlium_768.wav", "duration": 14.58, "text": "a very good skillset to be put at work for a wide counterparty in terms of a distribution agreement taking into consideration that pricing properly the loan and the disposing"}, {"path": "tedlium_769.wav", "duration": 14.58, "text": "In the fourth quarter, it is true that there were special factors. In the third quarter of last year up to the first quarter of this year,"}, {"path": "tedlium_770.wav", "duration": 14.58, "text": "Our products were well received and we expect to continue to build on the strong momentum we delivered in the quarter as these new innovations hit the market in 2019. So we feel good about our momentum in the Legacy Conagra business."}, {"path": "tedlium_771.wav", "duration": 14.58, "text": "We do expect that automation and technology will continue to generate productivity improvement, but I don't think it's fundamentally changing the percentage of increment that we're providing on a year-over-year basis at this point in time."}, {"path": "tedlium_772.wav", "duration": 14.58, "text": "Sales productivity continued to improve for both hunting and farming opportunities, driving a steadily expanding pipeline and the acceleration in constant currency revenue growth."}, {"path": "tedlium_773.wav", "duration": 14.58, "text": "We're well known within IT and with CIOs, but our platform is being aggressively deployed outside of IT to provide real value in areas such as HR, security and customer service."}, {"path": "tedlium_774.wav", "duration": 14.58, "text": "Now that's how you're going to get back to that higher level of growth? Is that the way to think about it? Yes, I think the opportunity is both white space in terms of our category participation as well as our channel participation. As we look at markets -- emerging markets, for example,"}, {"path": "tedlium_775.wav", "duration": 14.58, "text": "Additionally, our recently acquired convergent CRM system will contribute significantly in this sense, although we are still in the discovery phase of this project. As for action items, we are integrating our"}, {"path": "tedlium_776.wav", "duration": 14.58, "text": "as you can see from our underlying performance in Distribution, they really made significant progress during the year. The impact from the overall performance, in particular in the fourth quarter, was that they reached levels"}, {"path": "tedlium_777.wav", "duration": 14.58, "text": "What we saw through the winter was milder weather, so the reason it wasn't called upon was that the weather was milder than average. We actually did some post-event analysis to see what would've happened had we had average weather or even cold weather."}, {"path": "tedlium_778.wav", "duration": 14.58, "text": "Now this is the environment that Julius Baer likes, performs best in. When it's uncertain, there are a lot of opportunities, there are a lot of ways for us to expand and develop our strategy further."}, {"path": "tedlium_779.wav", "duration": 14.58, "text": "these particular engines run much longer than a standby genset. What you will see is more growth in the coming years in the Distribution business, triggered by all the engines that we are putting into the market today."}, {"path": "tedlium_780.wav", "duration": 14.58, "text": "growth. You can never be -- you can never absolutely shut down what opportunities the market will bring to you, but I think I was pretty clear there. I see the window of opportunity"}, {"path": "tedlium_781.wav", "duration": 14.58, "text": "And second, can you talk about the recent securitizations? Has there been any discussions over the weekend about whether this impacts that and your interest in continuing to sell loans to that investor given the circumstances that have come to light?"}, {"path": "tedlium_782.wav", "duration": 14.58, "text": "So it's kind of hard to give you a completely bullish answer because we're trying to be very, very disciplined. But we've been very, very fortunate in the last 18 months. And I hope that our luck continues and that we find things that can really"}, {"path": "tedlium_783.wav", "duration": 14.58, "text": "in Medicaid coordination of benefits and the other work that we provide. So we have a very significant competitive advantage to some of our competitors in the Program Integrity space due to that consolidation."}, {"path": "tedlium_784.wav", "duration": 14.58, "text": "We have continued to work with CMS in the face of these challenges, because we still believe RAC auditing is the best way to curb waste and abuse in the Medicare program and to preserve the trust funds for future generations."}, {"path": "tedlium_785.wav", "duration": 14.58, "text": "in terms of what our large customers are telling us, over time, they're going to look to consolidate vendors and deal with less vendors. So we believe, as a vendor of size and providing a broad suite of products,"}, {"path": "tedlium_786.wav", "duration": 14.58, "text": "Cash flow was negatively impacted by an increase in working capital, primarily driven by an increase in receivables in our Flight Systems and Defense Systems segments, driven by timing of milestone receipts."}, {"path": "tedlium_787.wav", "duration": 14.58, "text": "Shipments to the aftermarket channel declined 2% on a tough prior year compare, the warmer weather we experienced during the quarter and a bit of pull forward of demand that we saw in the fourth quarter of last year."}, {"path": "tedlium_788.wav", "duration": 14.55, "text": "And we have reaffirmed our full year guidance for revenues and adjusted EBITDA. As always, we are focused on creating shareholder value for the long term and are steadfast in our mission to deliver operational excellence to our clients."}, {"path": "tedlium_789.wav", "duration": 14.55, "text": "He will have responsibility for all of Nobilis' operating units nationally and will continue to focus on executing the company strategic plan. Kenneth is a proven leader and has played a pivotal role in executing Nobilis' growth strategies,"}, {"path": "tedlium_790.wav", "duration": 14.55, "text": "To reiterate, it was a very active and we believe a very successful quarter. Both Beach and Lattice assets have performed very well, with cash generation in the first half well exceeding our expectations."}, {"path": "tedlium_791.wav", "duration": 14.55, "text": "the new capacity additions that will come onboard in China. They will start operation from this year and next year as well. But that amount coming from the new plant, whether or not it will have a big impact"}, {"path": "tedlium_792.wav", "duration": 14.55, "text": "analysis last year to validate that amount. Again, the information was somewhat limited because the company was in its nuances. There wasn't a lot of billing and collection information that was unique to the company."}, {"path": "tedlium_793.wav", "duration": 14.55, "text": "There is no doubt that our businesses have been adversely affected by regulatory changes that have impacted our traditional strength in finance and insurance sales and by our exposure to lower-growth brands and locations."}, {"path": "tedlium_794.wav", "duration": 14.55, "text": "So I think third quarter was probably a -- the lowest growth in terms of the quarterly growth over the past year or so, but we expect the growth to"}, {"path": "tedlium_795.wav", "duration": 14.55, "text": "At this time, we continue to explore our options and hope to have this process completed during the third quarter. I will again remind you that there can be no assurance that any actions will be taken as a result of this process. We have no further comments on this process at this time."}, {"path": "tedlium_796.wav", "duration": 14.55, "text": "is the selection and analysis of the most relevant comparable sales. Relevance is established by many factors, including proximity, how recently the sale occurred, quality of the property and many other variables."}, {"path": "tedlium_797.wav", "duration": 14.55, "text": "As we're able to expand our services with these clients, we typically make the overall relationships more profitable, which helps to offset the higher rate we must pay on their initial deposits. And this brings up an important point about our business model."}, {"path": "tedlium_798.wav", "duration": 14.55, "text": "you probably continue to see some margin pressures the first quarter or so of the year, with a very strong margin pick up as we get through the onboarding of this new business and some of the cost related to the start-up for that new business"}, {"path": "tedlium_799.wav", "duration": 14.55, "text": "with the information that they have and their -- kind of their data and capability and sit down and bring those together and figure out how do we bring more overall both services to"}, {"path": "tedlium_800.wav", "duration": 14.55, "text": "It runs at a higher expense ratio, but a lower loss ratio. Having said that, I think the biggest challenge that we all have in the marketplace today with the expense ratio is commission expense."}, {"path": "tedlium_801.wav", "duration": 14.55, "text": "the fact is, you have founding partners likely starting to think about generational transfer, what the future for their business holds. And so we're also just at a point in time in the evolution of the private funds business where a lot of these"}, {"path": "tedlium_802.wav", "duration": 14.55, "text": "First, our financial performance in Q3 is proving that there is little to fear in downturns as we now know them. They are shallower, shorter and much more profitable than the downturns of yesterday."}, {"path": "tedlium_803.wav", "duration": 14.55, "text": "is quite intriguing to payers. As you might imagine, they're looking for the full data set including the randomized portion of the trial which, again, we should have that information some time in the first half of the year. So overall, things are trending well there."}, {"path": "tedlium_804.wav", "duration": 14.55, "text": "Now with that, I would like to turn the presentation back over to Cheri for her insights into our operations for the fiscal quarter and year-to-date as well as our outlook and strategic initiatives for the remainder of fiscal 2017 and beyond. Cheri?"}, {"path": "tedlium_805.wav", "duration": 14.55, "text": "While we report our operations in 2 segments and each of these segments, Games and Payments, can be separated and operated independently, we do not see ourselves in that narrow context."}, {"path": "tedlium_806.wav", "duration": 14.55, "text": "In terms of development support, we are increasingly excited about the added potential to create long-term value with sparsentan. As Steve mentioned, work on assessing additional indications is ongoing, and we look forward to giving more detail in the near future."}, {"path": "tedlium_807.wav", "duration": 14.55, "text": "These inflows will undoubtedly have a stimulative impact on the economy. However, the effect will be tempered somewhat by the government austerity measures imposed by the revised fiscal plan."}, {"path": "tedlium_808.wav", "duration": 14.55, "text": "Although we have been negatively affected by the imposition of U.S. tariffs on imports from China, the effect is not material to overall results. If the environment continues to shift, we are well positioned to deal with changing circumstances."}, {"path": "tedlium_809.wav", "duration": 14.55, "text": "From a rate per loaded mile basis, we were out of bed a year ago. And if you look at us, and I'll let you do your own homework, but by our math, we think we're second only to one company in terms of rate per loaded mile right now coming out of the quarter."}, {"path": "tedlium_810.wav", "duration": 14.55, "text": "So we have some harass the -- with our contractors. And according to the situation, we have obtained a really good answer from our armed forces"}, {"path": "tedlium_811.wav", "duration": 14.55, "text": "I guess, echoing Darrel, it's not impossible that we go a bit higher, but it's certainly been a steady pace in and around this level. And we usually don't hope for it to be higher because it's been fairly sustainable at the level that it's at."}, {"path": "tedlium_812.wav", "duration": 14.55, "text": "As we get further into 2018, we anticipate that inventory levels across the channel will stabilize, and we will see more robust sequential growth and a tighter correlation between shipments to distributors and move-out to clinics."}, {"path": "tedlium_813.wav", "duration": 14.55, "text": "We will make forward-looking statements during the call, which are based on management's current expectations. We caution listeners that these forward-looking statements are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from our expectations."}, {"path": "tedlium_814.wav", "duration": 14.55, "text": "As shown on the next slide, our lease book is well diversified both in terms of industry and also geography, and the residual value as a proportion of total lease book is less than 1%. We'll now go through the financial"}, {"path": "tedlium_815.wav", "duration": 14.55, "text": "We'll certainly take your comments under advisement because you're not the only voice on that side of the ledger. So far, even though we discussed it with the board and discussed it internally,"}, {"path": "tedlium_816.wav", "duration": 14.55, "text": "The wheat biscuit category, unfortunately, experienced some declines and in particular the core wheat biscuit range is declining in the market so much so that the market leader had to discount significantly to hold up volumes."}, {"path": "tedlium_817.wav", "duration": 14.55, "text": "We have the most talented employees in the business. They are motivated in good times and bad and continue to be committed to our customers. We appreciate their support toward Powell's future success. With that, I'll turn the call over to Don."}, {"path": "tedlium_818.wav", "duration": 14.55, "text": "She will also continue to build our change management services, which are increasingly in demand in every change-related project as more and more of our client base understands that you have to address the people side of transformation, too."}, {"path": "tedlium_819.wav", "duration": 14.55, "text": "Our backlog is higher today than it was a year ago. And the shakiness that the industry seems to have felt in the December quarter appears to be subsiding. We are watching boat show trends carefully, and they are improving."}, {"path": "tedlium_820.wav", "duration": 14.55, "text": "The third point is the utilization of open innovation and ICT. By improving our product competitiveness and promoting work style reform, we'll contribute to the realization of the ultrasmart society."}, {"path": "tedlium_821.wav", "duration": 14.55, "text": "We continue to gain momentum and awareness within the pharma and biotech industry regarding the potential for our C1 gene expression platform to potentially disrupt the status quo and helping to speed up the development,"}, {"path": "tedlium_822.wav", "duration": 14.55, "text": "First, we continue to enhance focus against our leading consumer healthcare portfolio, which is expected to grow over time, driven by our brand building playbook as well as structural consumer interest around self-treatment."}, {"path": "tedlium_823.wav", "duration": 14.55, "text": "Along the way, we're required to do some additional work on permitting that was unexpected last summer when we developed our plans, and that's moved that project out. So all 3 projects, the delays are attributable to"}, {"path": "tedlium_824.wav", "duration": 14.55, "text": "We continue to believe that the overall reform movement in China, including the government's bold strategies to bring healthcare products and services to the entire population, address serious public health issues,"}, {"path": "tedlium_825.wav", "duration": 14.55, "text": "In the current political and economic environment, we also need to maintain a robust balance sheet, as is evidenced by our strong capital ratios and liquidity metrics, as well as the levels of interest rate risk in the banking book that we currently maintain."}, {"path": "tedlium_826.wav", "duration": 14.55, "text": "In addition, we benefit from our location in the middle of the Pacific, which helps insulate our retail portfolio from some of the negative impacts that are plaguing the retail sector on the Mainland, including, of course, Internet shopping."}, {"path": "tedlium_827.wav", "duration": 14.55, "text": "Going forward, we'll continue to advance implementation of our Hawaii commercial real estate growth strategy and work through the remaining conversion steps and related events we detailed in our REIT conversion announcement presentation, including the holding company merger vote,"}, {"path": "tedlium_828.wav", "duration": 14.55, "text": "It's a year we will materially step up investment, spending behind our major brands and the continued alignment of our organizational structure and operating processes to streamline our activities and reduce waste."}, {"path": "tedlium_829.wav", "duration": 14.55, "text": "when we look at it, everything else equal, we will continue to strengthen the balance sheet. And then how we use that stronger and stronger balance sheet, I think that's easier. I mean, the important part is to strengthen the balance sheet."}, {"path": "tedlium_830.wav", "duration": 14.55, "text": "From now on, we want to, in a proactive but humble manner, contribute to businesses where we are confident that our strengths and functions are of use for the growth of their respective companies."}, {"path": "tedlium_831.wav", "duration": 14.55, "text": "being a little bit more focused on positive operating leverage. And so I think you're correct that our expense base is higher than what I would have said a year ago, I think,"}, {"path": "tedlium_832.wav", "duration": 14.55, "text": "So additional perf clusters leading to lesser stage count. We actually think that adds to the efficiency of the well and reduces the time to drill,"}, {"path": "tedlium_833.wav", "duration": 14.55, "text": "And we believe this trend will only increase over time. Again, keep in mind that we intend to take blood from a patient, genetically alter the cells without the use of a virus and reinfuse these altered cells back into the patient"}, {"path": "tedlium_834.wav", "duration": 14.55, "text": "to delever. Are you are choosing not to? Or is there a cash flow timing issue? Or you actually don't have enough cash? And if you're not retiring that debt because I think that's what investors want you to do"}, {"path": "tedlium_835.wav", "duration": 14.55, "text": "And the reserves and impact on provisions will be a function of the size of the credit portfolio. So a majority of the impact that we saw in the restructuring of the loans and credits are already absorbed, as I mentioned to you before."}, {"path": "tedlium_836.wav", "duration": 14.55, "text": "This group has also been tasked with establishing a secondary pipeline capacity trading platform. The trading platform builds on the work that APA has done to develop innovative capacity trading products for shippers to readily trade their capacity."}, {"path": "tedlium_837.wav", "duration": 14.55, "text": "If we identify an account that is not generating sufficient returns, we will first work to ensure we are doing our part to meet bid, pricing and model expectations, i.e. are we running the business how we priced it? Second,"}, {"path": "tedlium_838.wav", "duration": 14.55, "text": "And so there are 2 ways. That while we're doing an acquisition, we'd like to be able to advertise that we have better coverage because of enhanced cash flows, and that they are attenuated. They go out further years. That's why it was important for us to take that"}, {"path": "tedlium_839.wav", "duration": 14.55, "text": "More importantly, as I mentioned earlier in my remarks, our focus on capital discipline and cash flow generation goes beyond this calendar year and we are committed to running this business with a focus on enhancing shareholder returns going forward."}, {"path": "tedlium_840.wav", "duration": 14.55, "text": "But we feel good about where we are. We are a critical supplier partner with the large insulin manufacturers. We also have connectivity to other firms that are looking at this space from a device perspective. So"}, {"path": "tedlium_841.wav", "duration": 14.55, "text": "And we're continuing to make progress, as we have indicated, on reducing our admin costs, which allows us to continue to provide the right pricing and still provide the right returns."}, {"path": "tedlium_842.wav", "duration": 14.52, "text": "So the ambition is not any different in Europe as in the emerging markets. The contribution of the growth will be different, obviously, but the ambition to outperform and the ability to outperform is exactly the same."}, {"path": "tedlium_843.wav", "duration": 14.52, "text": "And really what I am driving at here is the sustainability of this margin improvement, especially given, I think, I heard you say that don't expect that the parts and service revenue growth we saw in the first quarter to be extended into the rest of the year."}, {"path": "tedlium_844.wav", "duration": 14.52, "text": "We look forward to continuing to service our customers and provide strong and stable returns to our shareholders by focusing on our core markets, maintaining our leading position in Bermuda and the Cayman Islands and scaling our trust and asset management business."}, {"path": "tedlium_845.wav", "duration": 14.52, "text": "A great example of the convergence of design and make was a significantly expanded deal we signed with Daiwa House industries, one of the largest construction companies in Japan. They sell prefabricated homes in the region and are working to expand globally."}, {"path": "tedlium_846.wav", "duration": 14.52, "text": "just -- is there any way you can kind of or do you feel like you've accounted for the risk that you could have additional boycotts with the show? And I guess, as it relates to the Winter show,"}, {"path": "tedlium_847.wav", "duration": 14.52, "text": "while there is a case to support the expansion of Heathrow, we would only do so if the costs of that expansion are managed and result to no increase in passenger charges. We don't believe in any case whatsoever"}, {"path": "tedlium_848.wav", "duration": 14.52, "text": "of margin. So we're just beginning, but we think it's an excellent way to look at the business. It's a part of our Grow and Optimize strategy because optimize means optimizing your customer base as well"}, {"path": "tedlium_849.wav", "duration": 14.52, "text": "The truth is we probably should have been doing this on a recurring basis 5 or 10 years ago. But we absolutely can do it now, and that creates an incremental recurring revenue stream for us and one that's"}, {"path": "tedlium_850.wav", "duration": 14.52, "text": "It is worth noting that since the DUET results were originally announced and presented last fall, external awareness and excitement around the sparsentan program has grown significantly and the investigator patient and advocacy communities"}, {"path": "tedlium_851.wav", "duration": 14.52, "text": "Chinese textile production. So it's really who the customer is, really when you come down to it. And if you have -- we sell in 40 countries, and the first thing I always ask is what's the tariff into that country?"}, {"path": "tedlium_852.wav", "duration": 14.52, "text": "As Slide 5 highlights, this was a phenomenal leasing quarter. And as I just mentioned, we set a number of records. The revenue signed was more than double the prior 4-quarter average. And through the first half of the year, we have signed more revenue than we did all of last year."}, {"path": "tedlium_853.wav", "duration": 14.52, "text": "and you put all that together and you have a very bullish growth outlook for natural gas and electric generation. But there are other factors. The second demand driver is natural gas exports to Mexico. It's real and it's growing. Let me give you the facts."}, {"path": "tedlium_854.wav", "duration": 14.52, "text": "It seemed like the -- again, it harmed us a little more earlier. The wet that we got in the spring hurt us last year in terms of the irrigation load. And I remember sitting here and thinking, well, we might catch up, and I don't know that we quite did."}, {"path": "tedlium_855.wav", "duration": 14.52, "text": "Most of my questions have been answered. I guess just 2 follow-ups. One, can you just comment on the sort of order trends or what you've seen so far in the first quarter? I would assume the demand trends continue to be strong, and I don't know if they were trending above"}, {"path": "tedlium_856.wav", "duration": 14.52, "text": "In addition to this, weather-adjusted loads were down for the quarter due to energy efficiency with building codes and standards likely reducing energy deliveries beyond the impact of energy efficiency programs."}, {"path": "tedlium_857.wav", "duration": 14.52, "text": "is the right thing to do relative to the tax law change. Again, in the big scheme of things relative to the impact of this, it's a small number, and there are other things that we're thinking of. But I would also put them in the context of thinking of other things relative to"}, {"path": "tedlium_858.wav", "duration": 14.52, "text": "from the ACAS acquisition is providing a nice tailwind. We continue to manage the company in what we believe to be a prudent fashion and in the same manner that we've operated over the last 14 years. And we believe that should serve us well, even if the environment becomes more difficult."}, {"path": "tedlium_859.wav", "duration": 14.52, "text": "with better risk-adjusted returns. We use our long-standing relationships, the flexibility of our capital and large commitment sizes and final hold capabilities to differentiate ourselves in the more competitive situations."}, {"path": "tedlium_860.wav", "duration": 14.52, "text": "And I think the biggest proxy for that for us is brand awareness in terms of understanding how successful these marketing campaigns are. And as we've shared a number of times, our brand awareness continues to go up,"}, {"path": "tedlium_861.wav", "duration": 14.52, "text": "in a subscription model that gives us recurring revenue, that grows our recurring revenue. It actually helps our margins, and it gives our salespeople something else to sell in their bag, which obviously helps with"}, {"path": "tedlium_862.wav", "duration": 14.52, "text": "a significant investment into the high-growth developing markets. Before we get later into the numbers, just a little bit our reporting as well as organizational structure, restructured in 3 businesses"}, {"path": "tedlium_863.wav", "duration": 14.52, "text": "Yes. This is Keith. Let me try to address this. So generally speaking, if you think about how companies differentiate themselves, they do it on service and they do it specifically around the consumer experience. And so that's why we're seeing"}, {"path": "tedlium_864.wav", "duration": 14.52, "text": "corporate and technology. Looking at our automotive business, our focus in the past 4 quarters has been on integrating the company and transforming our operating performance."}, {"path": "tedlium_865.wav", "duration": 14.52, "text": "Shifting South to Kentucky. We retired the final 2 generating units at our Green River station on September 30. This marks the completion of our plan to retire 800 megawatts of coal-fired generation in Kentucky."}, {"path": "tedlium_866.wav", "duration": 14.52, "text": "you have somewhat slower intake. I'm just wondering whether there's a new balance to be struck now that the ID sort of systems are in place or whether this is just a quarter with slightly slower growth and higher margin,"}, {"path": "tedlium_867.wav", "duration": 14.52, "text": "on the basis of their own needs to satisfy infrastructure development. And of course, that's a function of a lot of things, including, by the way, when we think about places like Argentina, what's happening in the government and the ability to fund some of these projects."}, {"path": "tedlium_868.wav", "duration": 14.52, "text": "Russian market impact that will potentially lead to less business open for us and everybody else but not a specifically Sulzer and Renova impact because once again we run own show in Russia and we don't need anything"}, {"path": "tedlium_869.wav", "duration": 14.52, "text": "Okay. Maybe turning over to the wireless communication modules that you've mentioned. When do you think you'll be qualified for shipments on those? And maybe can you give us an idea on what the average selling price would be for those?"}, {"path": "tedlium_870.wav", "duration": 14.52, "text": "allow all third-party stock price services to correctly indicate and reflect our dividend yield and more clearly align the dividend yield reflected by our new regular monthly dividends with our goal of generating best-in-class returns on our equity."}, {"path": "tedlium_871.wav", "duration": 14.52, "text": "educating the customer on the risks associated with unstructured data. Do you believe that customers now are beginning to really understand these risks? And do you guys have more of a strategic security investment?"}, {"path": "tedlium_872.wav", "duration": 14.52, "text": "Mexico and Canada. So again, I'm not going to take a prediction as to what that's going to look like in the future, but I have a hard time believing that it's going to go away entirely."}, {"path": "tedlium_873.wav", "duration": 14.52, "text": "the ground as we had anticipated. I'd say the client reaction probably a little bit better than we had anticipated. We're being careful not to oversell it. We have lots of audits through the facility and lots of visits by clients and lots of requests"}, {"path": "tedlium_874.wav", "duration": 14.52, "text": "aggressively pursuing commodity deflation and other pricing opportunities to partially mitigate this impact. It will position us to demonstrate continued operating leverage in 2016 as well as reasonable earnings growth."}, {"path": "tedlium_875.wav", "duration": 14.52, "text": "We still expect a strong performance from HHI this year, driven by strong innovation such as the recent unveiling of a new line of Wi-Fi-enabled Halo Smart Locks at the Consumer Electronics Show just this past January."}, {"path": "tedlium_876.wav", "duration": 14.52, "text": "deadline for each or all parties need to make themselves aware or make a presentation or, I mean, exactly how is this going to work with respect to the increasing value of the asset over time?"}, {"path": "tedlium_877.wav", "duration": 14.52, "text": "does not change as quickly and as significantly as virgin polyethylene. So while you could see an increase of virgin polyethylene in the next several months,"}, {"path": "tedlium_878.wav", "duration": 14.52, "text": "As we have progressed and learned over the last few months in particular, we are certainly smarter and better positioned for value creation. For example, we saw great maturation in our clinical data in our IL-12 GBM patients,"}, {"path": "tedlium_879.wav", "duration": 14.52, "text": "high impact and high value and -- from suppliers that are very sticky. So what we want to do is identify companies who are selling their complementary products into the same strategic market space that we are, which is the regen med space, the cell and gene therapy space."}, {"path": "tedlium_880.wav", "duration": 14.52, "text": "But we're not going to forgo opportunities. If we think that we see one in terms of additional acreage to pick up or an acquisition or an unique opportunity to go ahead and progress investments in a lower cost structure or"}, {"path": "tedlium_881.wav", "duration": 14.52, "text": "I will tell you that not all of them will move at the same pace. We've got a good, diverse portfolio, some that are associated with brownfield expansions to existing facilities,"}, {"path": "tedlium_882.wav", "duration": 14.52, "text": "where it had been in previous years. But you're also talking about a fairly significant restocking of the portfolio that had some pretty clear success in Guyana. Is this an area where you see Exxon perhaps being able to distinguish itself from peers in the near term?"}, {"path": "tedlium_883.wav", "duration": 14.52, "text": "going to move everything there, but they want them on their platform. So the hybrid world is here. Internet of Things is really, really exciting, and I'll talk more about that in the quarterly presentation going forward."}, {"path": "tedlium_884.wav", "duration": 14.52, "text": "And lastly, I actually think what we're doing in Congers in terms of breaking down some of our business actually makes entry into other areas of the world much more economically feasible rather than building a whole new production facility."}, {"path": "tedlium_885.wav", "duration": 14.52, "text": "but these type of investments and acquisitions will always be very important to Breedon. As you look to the scale of our company now, it would be easy to lose sight in some of these transactions but these are very important and these will continue to be a focus for us going forward."}, {"path": "tedlium_886.wav", "duration": 14.52, "text": "best catalyst technology. And that creates an anonymous amount of value for them, and we capture some of that value. We expect those customers to be positives for our margins going forward."}, {"path": "tedlium_887.wav", "duration": 14.52, "text": "it is harder for our people to identify those cancellations, go in and reopen that seat inventory and then resell those seats, and that's where we're seeing a revenue penalty, if you will, from"}, {"path": "tedlium_888.wav", "duration": 14.52, "text": "Yes. Jason, the current environment is certainly one that has an elevated level of competitive activity. And now this began really back last summer, in the beginning of last summer, and we've seen it through the"}, {"path": "tedlium_889.wav", "duration": 14.52, "text": "but really moving the brand forward in terms of its appeal and having an assortment that accommodates that. So in terms of, can the rest of the company help? Yes. I mean when you look at the plans we have for our loyalty program"}, {"path": "tedlium_890.wav", "duration": 14.52, "text": "Another good example of innovation is how we've been able to create capital efficiencies on recent project awards. To illustrate a specific example, we recently worked closely with one of our clients, a major integrated oil company,"}, {"path": "tedlium_891.wav", "duration": 14.52, "text": "When we took them through our approach to creating value, starting with complex data aggregation and extending to recovery audit and leading to broader analytics, visibility and SaaS-based solutions, they were impressed."}, {"path": "tedlium_892.wav", "duration": 14.49, "text": "reflecting initial pressure from raw material inflation in Q2, which would then be mitigated in the remaining quarters with pricing actions that we have initiated and will continue to implement in cooperation with our customers."}, {"path": "tedlium_893.wav", "duration": 14.49, "text": "I don't look at Amazon as a customer that's in any way different than our other customers, and I would look at that as an opportunity as well as a risk. But the opportunity far outweighs the risk,"}, {"path": "tedlium_894.wav", "duration": 14.49, "text": "So -- and that's why we feel that it's not an option to sort of be out of that. We have to be in that to make sure that the consumer continues to spend money on what we offer and also come to us."}, {"path": "tedlium_895.wav", "duration": 14.49, "text": "we come to a conclusion that the earnings power of the company will not support it over the longer term, then we're not likely to do it in a way and maintain this in a way that we would continuously dip into our cash balance for that. But at this point in time,"}, {"path": "tedlium_896.wav", "duration": 14.49, "text": "We also have some flexibility to move trust cash off our balance sheet. So as we continue to focus on growing our noninterest-bearing deposit base, we should be able to better manage the impact of trust deposits on our funding cost going forward."}, {"path": "tedlium_897.wav", "duration": 14.49, "text": "due to the timing of reinvestments and new account onboarding. With regards to the first quarter, we're expecting earnings to be comparable to the prior year as the impact of the new account start-ups will be most heavily felt in that quarter."}, {"path": "tedlium_898.wav", "duration": 14.49, "text": "And so when I look at the pipeline, it remains quite solid. And what I like about it is that it's being led by our core business, which is balanced mandates for high net worth families. There are certainly special mandates in there as well, as we've discussed earlier, but that's"}, {"path": "tedlium_899.wav", "duration": 14.49, "text": "We also spoke to the utilization management and provider contracting issues that contributed to our problems in Texas during the first quarter. Even without the benefit of the out-of-period quality revenue adjustments that John will talk about in a few minutes,"}, {"path": "tedlium_900.wav", "duration": 14.49, "text": "The release and corresponding financial supplement are available at assurant.com. As noted in the release, beginning in the first quarter 2016, we revised the presentation of Assurant's results to focus on housing and lifestyle."}, {"path": "tedlium_901.wav", "duration": 14.49, "text": "What we do feel comfortable with is that the guidance that we had previously put out there is the right guidance, and we should hold that guidance for the year. Yes, the one final thing I'd mention when you think of the components of the quarter to-date same-store sales"}, {"path": "tedlium_902.wav", "duration": 14.49, "text": "As a result, we now have an operating leader with visibility into all of our business units, which we believe will allow us to achieve greater efficiencies and to capitalize on synergistic opportunities between the businesses."}, {"path": "tedlium_903.wav", "duration": 14.49, "text": "included in that as well. Just trying to get a sense of what the actual price erosion on the portfolio may be. And then, secondly, with respect to new product launch expectations, I think you talked about approximately 20 launches."}, {"path": "tedlium_904.wav", "duration": 14.49, "text": "As always, value creation for shareholders remains central to our plans. And so we'll continue to focus on profitable growth, cash generation and optimal use of cash whilst investing for the future."}, {"path": "tedlium_905.wav", "duration": 14.49, "text": "So we are pleased to have this clarity on the outline of the trial, as we make further progress on the statistical plans. We'll be in position to give more detail on the specific trial design elements, including patient numbers and observation periods."}, {"path": "tedlium_906.wav", "duration": 14.49, "text": "in '18 because of that if you look at new acquisition where we have also said that we don't see that will have any material impact on the EBIT in '18. So the new acquisition"}, {"path": "tedlium_907.wav", "duration": 14.49, "text": "Given Alexion's more than 2 decades of complement leadership and deep expertise and resources in the field, we are pleased to partner with Alexion to discover and develop promising new RNAi therapies using our GalXC platform."}, {"path": "tedlium_908.wav", "duration": 14.49, "text": "Having said that, there are parts of the Corporate Trust business where our market share has been stable or growing over that time period as well. So this is really a focused effort on some particular product sets in that business."}, {"path": "tedlium_909.wav", "duration": 14.49, "text": "We will do so by actively managing our balance sheet. We will leverage existing cash on hand and excess cash flows generated throughout the year to enhance shareholder returns through organic and potential inorganic growth opportunities,"}, {"path": "tedlium_910.wav", "duration": 14.49, "text": "On a year-over-year basis, our financial performance was significantly impacted by the renegotiated contract for our South Texas Family Residential Center. However, utilization of that facility was near capacity throughout the quarter."}, {"path": "tedlium_911.wav", "duration": 14.49, "text": "Over the long term, we believe we are well positioned to continue growing in excess of the overall automotive market, and maintain stable margins consistent with our historical norms while generating cash and paying a healthy dividend."}, {"path": "tedlium_912.wav", "duration": 14.49, "text": "The one piece that causes me to not be able to answer your question is, while we are continuing to grow our platforms, and in this year, a lot of our customers that are buying our legacy SKUs are actually going to replace them"}, {"path": "tedlium_913.wav", "duration": 14.49, "text": "Other litigation includes proceedings in New York federal district court against Roche and unrelated to the recent Delaware settlement, our pending appeal of the Life Technologies case before the Federal Circuit in New Haven."}, {"path": "tedlium_914.wav", "duration": 14.49, "text": "This quarter we also entered into a license agreement with MedImmune, the global biologics research and development arm of AstraZeneca. This agreement represents a clear win-win situation."}, {"path": "tedlium_915.wav", "duration": 14.49, "text": "We also expect to continue to reduce overheads as we execute our ZBB program as we adjust our organization model and we realize the first savings from migrating back-office processes to global shared services."}, {"path": "tedlium_916.wav", "duration": 14.49, "text": "These products are aligned with the China government's focus on fostering innovation, and thus can potentially move more quickly through development and regulatory process and gain more favorable pricing."}, {"path": "tedlium_917.wav", "duration": 14.49, "text": "for over 10 years, and as a result, we've got a track record there. We brought new people along to help us grow the portfolio. So we've got the ability to"}, {"path": "tedlium_918.wav", "duration": 14.49, "text": "at retailers, such as CVS and Walgreens. We also recently announced a new partner for the brand in several home fragrance categories. AND1 continues to be a key performer"}, {"path": "tedlium_919.wav", "duration": 14.49, "text": "and involve risks and uncertainties. These statements include our guidance for first quarter and full year 2019, our medium-term guidance and the impact and timing of our acquisitions. Our actual results may differ materially from these statements."}, {"path": "tedlium_920.wav", "duration": 14.49, "text": "our software stack is now more able to be deployed in a more wholesome manner across the world. And so we're able to deliver more and more experiences and products to multiple countries."}, {"path": "tedlium_921.wav", "duration": 14.49, "text": "We also released a financial presentation, which Keith will reference later in the call when he covers our financial results. You may find the financial presentation in the same Investors section under Events and Presentations."}, {"path": "tedlium_922.wav", "duration": 14.49, "text": "Thanks, Rusty. Let's jump right into the encouraging results we are seeing from our enhanced completions. We now have over 60 Niobrara wells online stimulated with enhanced completions, and we really like what we're seeing thus far."}, {"path": "tedlium_923.wav", "duration": 14.49, "text": "we are seeing an overall trend of higher repair and maintenance costs and inconsistent run rates more broadly, which we believe allows us to ramp production up as we have made the necessary repairs and maintenance as a top priority in any market conditions."}, {"path": "tedlium_924.wav", "duration": 14.49, "text": "Nebraska, Louisiana. So it's typically playing out in different ways in different states. So the experience that we've had in Florida has been hugely beneficial to us. We're really the only player nationally that has a level of experience we do"}, {"path": "tedlium_925.wav", "duration": 14.49, "text": "the ability to help manage a client's traditional, transitional and transformational requirements begins with deep domain expertise. We believe our vertical structure and industry focus"}, {"path": "tedlium_926.wav", "duration": 14.49, "text": "This is because we only recognize revenue related to the first half of the patents that were included in the consideration we received from Huawei. We currently expect to recognize revenue related to the patents yet to be transferred"}, {"path": "tedlium_927.wav", "duration": 14.49, "text": "I would say this much, as we get into that project and into that acquisition and look at the quality of it, as I've said in my comments, we're really excited about it. This is a really good business. It has very strong assets, great positions, great reserves"}, {"path": "tedlium_928.wav", "duration": 14.49, "text": "as we know, Central Bank has phased out additional buffers and they will be added gradually quarter by quarter. And the third side of that story is our ambition to grow the opportunities that we see in the market"}, {"path": "tedlium_929.wav", "duration": 14.49, "text": "Okay. So if I could just ask a quick follow-up. So you have a pretty decent improving position from a business and a core perspective. Can you maybe now consider a more aggressive capital restructuring? We get a lot of questions about"}, {"path": "tedlium_930.wav", "duration": 14.49, "text": "To ensure we are targeting the right market subsectors, we have looked at the total market size and estimated reasonable expectations of our growth rates we can attain in them. From this, we have put together a 3-year outlook on where the company revenues could be."}, {"path": "tedlium_931.wav", "duration": 14.49, "text": "Very good one last question for Keith. You talked about the additional million dollars in savings, should I think of that as being pure sort of front end COGS savings or does some of that come out of OpEx as well?"}, {"path": "tedlium_932.wav", "duration": 14.49, "text": "type of traffic on a profitable, long-term basis. The other thing that I would mention to you that is often missed in these evaluations or the comments about the e-commerce business,"}, {"path": "tedlium_933.wav", "duration": 14.49, "text": "So the deeper credit, it's an issue of price and being able to lever that up in a safe manner. And then the issue of MSRs and other business models, actual operating businesses. We've always had the view that we need to"}, {"path": "tedlium_934.wav", "duration": 14.49, "text": "This advanced technology improves the physician, patient and pharmacy experience. It's simple to use, saves money for consumers and plan sponsors and leads to better pharmacy adherence and health."}, {"path": "tedlium_935.wav", "duration": 14.49, "text": "a lot of feedback on food offerings, although we do get some. So it's -- I would think that it will fit within the way our provisioning works today. Whether we want to do something that is a little more unique for Hawaii,"}, {"path": "tedlium_936.wav", "duration": 14.49, "text": "from what they say, productive discussions with distribution partners. Just wondering, it would seem to me that, that would be a big change in the compensation structure for -- from an adviser's perspective. So wondering, how you think your advisers might react to such an arrangement."}, {"path": "tedlium_937.wav", "duration": 14.49, "text": "Really, it's -- we have a powerful model when we can get incremental sales here. And so if you think about the marginal cost to serve here, it's not high. And so simply put, sales have been growing a lot faster than our costs on a variable side, which has been terrific."}, {"path": "tedlium_938.wav", "duration": 14.49, "text": "Our design and engineering teams are constantly monitoring the rollout of the redesign and making improvements based on what we learn from our community and their usage of Snapchat. These adjustments to our products will continue over the next few quarters as we continue to optimize the application."}, {"path": "tedlium_939.wav", "duration": 14.49, "text": "I think frustrated is the right word. That it was -- we had these good savings we were getting in OIP, and for one reason they weren't dropping to the bottom line. And I think one of the things we said to the analyst and investor community was"}, {"path": "tedlium_940.wav", "duration": 14.49, "text": "We expect the mid-market to continue adopt at a faster pace than the large companies. We anticipate the revenue growth to slow a little bit in 2017, but continue to feel good about the momentum of this business in the long term."}, {"path": "tedlium_941.wav", "duration": 14.4600625, "text": "Economy, or the market situation, is up and down all the time, so it is hard to handle. So rather, we choose to focus on our competitiveness enhancement."}, {"path": "tedlium_942.wav", "duration": 14.46, "text": "Just like our other products, we work hard to design an innovative mortgage product. Not only have we made getting a mortgage simpler and more transparent experience including posted rates that are not only the real rates but also market-leading and an experience that makes it easier to get a mortgage."}, {"path": "tedlium_943.wav", "duration": 14.46, "text": "your cash flow in Mining. What do we expect at the end of the year? Can you still drop these expenses? Now what about slabs?"}, {"path": "tedlium_944.wav", "duration": 14.46, "text": "The RoutIT distribution platform enables us to process significantly more orders and also resulted in a very strong increase in MPS. This efficient delivery chain forms a solid platform for further accelerate"}, {"path": "tedlium_945.wav", "duration": 14.46, "text": "To remind you, we've unbundled content like Spotify from our standard packages. We now offer skinny bundles, where our customers have more freedom to choose the content packages they really want."}, {"path": "tedlium_946.wav", "duration": 14.46, "text": "recognizing and capitalizing on the way that learning styles of our employees have evolved over the years. These efforts are critical as we develop our teams internally in an increasingly challenging labor market."}, {"path": "tedlium_947.wav", "duration": 14.46, "text": "bringing it up a little bit in U.K. as well. So we don't really have so much difference in that. It's just when we have a strong utilization, their margins are very, very good. It's really what we have to be careful of, is making sure we can forecast going forward and watch our utilization"}, {"path": "tedlium_948.wav", "duration": 14.46, "text": "Facility which will open before the end of this year in Saverne, which is quite similar to the previous facility, which I talked about. And it will also"}, {"path": "tedlium_949.wav", "duration": 14.46, "text": "now, if you try to see what's happening in Brazil, I can see a disruption in terms of the competitors in the first half of the year. But after this half year and by looking at your results and also"}, {"path": "tedlium_950.wav", "duration": 14.46, "text": "All of the new Forerunners are compatible with our Connect IQ application framework, enabling users to personalize their watches with a host of interesting watch faces, custom data fields and useful applications developed by third parties."}, {"path": "tedlium_951.wav", "duration": 14.46, "text": "terribly progressive disease leading to disability and compared to the natural history we are looking for retaining -- patient's retaining abilities, motor function, language function and so on."}, {"path": "tedlium_952.wav", "duration": 14.46, "text": "Our factories require low investment and maintenance CapEx as compared to the sales that they generate. Second, our broad portfolio of products enables us to redeploy factories and employees and other resources to areas where we see the highest demand, enabling greater efficiency."}, {"path": "tedlium_953.wav", "duration": 14.46, "text": "We're outgrowing our Sunnyvale office space and are constructing the second building adjacent to our existing building, which we expect to occupy in the second half of 2020. Including spending on this project,"}, {"path": "tedlium_954.wav", "duration": 14.46, "text": "competitive processes, because they know that we will deliver for them and have repeatedly over and over. They like the cost points that we can deliver at and the speed of delivery into something that is incredibly important to them."}, {"path": "tedlium_955.wav", "duration": 14.46, "text": "The only hitch remains us getting through these unbilleds and bringing the money back to the company. We will continue to work day and night to make that happen and keep you apprised as it takes place. Thank you."}, {"path": "tedlium_956.wav", "duration": 14.46, "text": "we reserve Q4, depending on where we are in inventory, about the level of production performance. So CV should look like every other year in terms of seasonality and AG will be less back-end loaded"}, {"path": "tedlium_957.wav", "duration": 14.46, "text": "We go into the second quarter with improved market conditions and continuing solid real estate fundamentals that are being supported by cross-border capital allocations to real estate, low interest rate and corporate occupier demand."}, {"path": "tedlium_958.wav", "duration": 14.46, "text": "and as we move through the fleet, we'll be spending a little bit more dollars in terms of CapEx, whether it be more fluid end or maybe a transmission rebuild, but that's where the differential in the dollar value comes."}, {"path": "tedlium_959.wav", "duration": 14.46, "text": "Adverse weather has weighed on auto results for most of 2016, and we expect that trend to continue into the fourth quarter. Historically, our underlying auto loss ratio was elevated by 5 to 6 points in the fourth quarter,"}, {"path": "tedlium_960.wav", "duration": 14.46, "text": "In addition to the Austin site closure, which was a major undertaking for optimizing our operations, we also expanded into a new greenfield facility in China, which will serve as our backbone for growth in Asia."}, {"path": "tedlium_961.wav", "duration": 14.46, "text": "programs overall did a nice job of bringing in clients, but like I said, more skewed towards prior clients than new. Could you give us a rough idea of the size of the free EZ program last year and this year?"}, {"path": "tedlium_962.wav", "duration": 14.46, "text": "I mentioned on our last call that we were beginning to get some of the volume out of the, what we call the Lakeshore region. Going back several months that was consistent with the opportunity and consistent with the investment that we made up there. And so that has continued"}, {"path": "tedlium_963.wav", "duration": 14.46, "text": "And I'm pleased that we are already starting to get early benefits from the mindset shift that comes with our Connected 4 Growth program. The chart shows many examples where we have more than halved the innovation time for some of our launches."}, {"path": "tedlium_964.wav", "duration": 14.46, "text": "So the construction time for that facility would be about a year longer than a restart at Val-d'Or. So if we get into next year and we decide Cook is the best option, we're going to have to get working on it earlier"}, {"path": "tedlium_965.wav", "duration": 14.46, "text": "Another key topic at our Capital Markets Day was our rewire program, the restructuring and addressing significant change to Rolls-Royce across structure, across process,"}, {"path": "tedlium_966.wav", "duration": 14.46, "text": "While credit trends will vary from quarter-to-quarter, our general portfolio quality continues to be in line with historical performance. And I'm extremely proud of our consistently strong track record of quality underwriting."}, {"path": "tedlium_967.wav", "duration": 14.46, "text": "We understand the customers' data and privacy and how to deal with that. We're the ones who have pushed for a consumer Bill of Rights and pushed that legislative earlier this year, long before this became a headline story"}, {"path": "tedlium_968.wav", "duration": 14.46, "text": "And so -- which appears to be a pretty similar situation. And so I would say that the pressure is mounting on the issue, and you've got projects there that are both important"}, {"path": "tedlium_969.wav", "duration": 14.46, "text": "This includes enhancing the ways in which we connect and engage with our customers. And at the same time, we're generating strong returns and substantial cash flow in our businesses. And this enables us to strike the right balance between investing in growth"}, {"path": "tedlium_970.wav", "duration": 14.46, "text": "Federal results were driven by ongoing success working with agencies as they moved ahead with projects funded under the current Omnibus budget as well as ongoing successful alignment with strategic programs."}, {"path": "tedlium_971.wav", "duration": 14.46, "text": "And frankly, I want to get us to the position where we find something else to do and that's the message I've delivered to our folks. Because even when we had the volume, it was fairly empty calories."}, {"path": "tedlium_972.wav", "duration": 14.46, "text": "We know that there is a market for a new entrant who wants to come in and try it out and see what it's all about. But when you pick up the phone and you don't get to talk to a human being on the other side, that's a pretty powerful telltale sign of things just aren't working right,"}, {"path": "tedlium_973.wav", "duration": 14.46, "text": "Our Q4 guidance reflects a number of factors. First, as we discussed on last quarter's call, we made strategic decisions to proactively make additional investments in the back half of the year to continue to drive the Best Buy 2020 strategy forward."}, {"path": "tedlium_974.wav", "duration": 14.46, "text": "We remain committed to meeting our obligations on these projects and supporting our customers and the owner of the plant as well as help bring a much-needed new power supply to the country of South Africa."}, {"path": "tedlium_975.wav", "duration": 14.46, "text": "We are a contractor for various components at each of the sites with a scope that can include engineering, manufacturing, construction and commissioning, depending on the specific contract and client."}, {"path": "tedlium_976.wav", "duration": 14.46, "text": "So far, these wells have settled in nicely. And as we turn on more wells, we continue to see similar results, which really confirms our decision to move to this completion design. On the operations front, we had another successful quarter."}, {"path": "tedlium_977.wav", "duration": 14.46, "text": "but I think I would like to stress here as well the point that there are markets we entered only in the last 3 to 4 years that are still small. But at that level, we can grow nicely."}, {"path": "tedlium_978.wav", "duration": 14.46, "text": "Barrett, this is Steve. I think Johnson County has got a lot of opportunity for not only refrac but for new location drills. And if you look at some of the other assets that have been sold recently in the Barnett,"}, {"path": "tedlium_979.wav", "duration": 14.46, "text": "for any other reason than the market is growing. So if we increase capital expenditures, as Alan said, it will be because the market is growing. We think we can make more money and increase cash flows"}, {"path": "tedlium_980.wav", "duration": 14.46, "text": "in those more progressive relationships. So we've migrated that up to about half as of today, and we'll continue to push forward on that. And as Steve mentioned, we've driven some very nice results across all 3 lines of business. We see things like lower in-patients"}, {"path": "tedlium_981.wav", "duration": 14.46, "text": "Austin is our primary market, and we have a strong presence here. But there are also opportunities for Stratus in other select, fast-growing markets in Texas, as shown through our purchases of the New Caney and Kingwood Place properties in the Houston area."}, {"path": "tedlium_982.wav", "duration": 14.46, "text": "This hybrid model allows us to broaden our customer base and participate in markets where we may not otherwise have a solution to offer and also allows for deeper penetration at our solutions-based customers."}, {"path": "tedlium_983.wav", "duration": 14.46, "text": "Yes, Ryan, let me take that one. Again, as we understand the rule today, not having seen the final version, we continue to have the view that we will operate outside the best interest contract exemption."}, {"path": "tedlium_984.wav", "duration": 14.46, "text": "Compared to the old design, core metrics around content consumption and time spent in the redesigned application are disproportionately higher for users over the age of 35, which bodes well for increasing engagement among older users as we continue to grow our business."}, {"path": "tedlium_985.wav", "duration": 14.46, "text": "which are driving better safety performance. Over time, we expect that safety performance to continue and mitigate the headwinds we're seeing on the insurance side. So I would tell you, short term, there are some levers we could execute against."}, {"path": "tedlium_986.wav", "duration": 14.46, "text": "The pretax margin contribution from this business has also improved by 50 basis points this year, and we are pleased to report that the growth continues to come from both our government health care consulting business and our core accounting business."}, {"path": "tedlium_987.wav", "duration": 14.46, "text": "On top of that, the evidence that we have is that we have seen a larger number of RFPs and that we've actually won a nice number of sizable engagements for off-season work, which is a"}, {"path": "tedlium_988.wav", "duration": 14.43, "text": "Some of those work streams, I've already started to see some of their initiatives land in the business and rally to start accruing, whereas others are far longer term and may well require net investment this year but will pay back from FY '20 and beyond. So for example,"}, {"path": "tedlium_989.wav", "duration": 14.43, "text": "John, my personal opinion is I think we've seen a little bit of a bottoming out on pricing. I would think going forward you should see plus or minus 10% for newly originated transactions for us."}, {"path": "tedlium_990.wav", "duration": 14.43, "text": "And to answer your second and third question -- I'm not sure if I heard all your questions correctly, but in terms of the Bio business and for the red Bio and in terms of the growth strategy, we"}, {"path": "tedlium_991.wav", "duration": 14.43, "text": "all completed by the end of 2017, is that what we should have in our numbers? And second question, just around some of the tax implications that were talked about earlier in the year,"}, {"path": "tedlium_992.wav", "duration": 14.43, "text": "with emphasis on the fourth quarter. For further reference, we've also attached an expanded quarterly appendix at the end of this presentation, as well as a full quarterly reconciliation of any non-GAAP financial measures used."}, {"path": "tedlium_993.wav", "duration": 14.43, "text": "which had been strong in the second and third quarters of last year, revenue was also impacted by the increased severity of the competitive environment. Demand in Q3 was weaker than we originally expected."}, {"path": "tedlium_994.wav", "duration": 14.43, "text": "and that really is one of the things that gave rise to as we discussed having third-party support for the creation of our MAP Navigator product and ongoing screening thereafter. And I would say those are the"}, {"path": "tedlium_995.wav", "duration": 14.43, "text": "In fact, we think about integration as a key theme for the bank in 2019. This will be critical to unlocking the full revenue and earnings potential of the acquisitions."}, {"path": "tedlium_996.wav", "duration": 14.43, "text": "some of our competitors over the last couple of years, because we've spent most of our time realigning our portfolio and focusing on those lines of business where we think we have the best opportunity to generate an acceptable margin."}, {"path": "tedlium_997.wav", "duration": 14.43, "text": "We will continue to improve our cost position. And I am very pleased that we achieved underlying margin improvement in this quarter as well as 2016 in total. And we will continue"}, {"path": "tedlium_998.wav", "duration": 14.43, "text": "Yes, thanks, Tim. I don't know that I would quite characterize them as pushbacks as much as questions or options, and everybody sort of has a slightly different take on the pluses and minuses of the options. But let's look at some of the dimensions. One is time frame."}, {"path": "tedlium_999.wav", "duration": 14.43, "text": "Lower net interest expense was due to interest income on a higher average cash balance and increased capitalized interest. The corporate overhead cost decrease was due to employee severance costs recognized in the third quarter."}, {"path": "tedlium_1000.wav", "duration": 14.43, "text": "We have right now factored into Q1 effectively no change. And now what we have been told is 60 to 90 days. We are already"}, {"path": "tedlium_1001.wav", "duration": 14.43, "text": "building out our relationship with them, and better serving them through each phase of their weight loss journey, and two, our ability to grow reactivation revenues as former customers return to us at increased rates as they learn about our new programs,"}, {"path": "tedlium_1002.wav", "duration": 14.43, "text": "or in terms of earnings and while we love the buildings we have in each market, and while they are excellent buildings and in a way the best Class I buildings in those markets."}, {"path": "tedlium_1003.wav", "duration": 14.43, "text": "They are making commitments that are firm on large chunks of space with options to expand in time. We don't allow the tenants to"}, {"path": "tedlium_1004.wav", "duration": 14.43, "text": "But still in '17, we are going to have some noise that we'll have to explain to you and has to do with costs being dragged up by revenues. So the net will be the right one, positive,"}, {"path": "tedlium_1005.wav", "duration": 14.43, "text": "Under the old method, we recorded client reimbursements as a contra expense at the time of invoicing. This used to reduce noncompensation expenses and have no effect on revenue. Under the new method, we record client reimbursements as revenues."}, {"path": "tedlium_1006.wav", "duration": 14.43, "text": "or flat, mostly up in all of the previous 6 years. So if you take an overall look at the company over the last few years, one of the big things that we've driven is a much better balance across all device types."}, {"path": "tedlium_1007.wav", "duration": 14.43, "text": "so we think it's a very good moment of the company, and we expect the next quarter, the last quarter of the year to keep very good numbers. So thank you very much to everyone and have a very good day. So thanks a lot."}, {"path": "tedlium_1008.wav", "duration": 14.43, "text": "our revenue range needs to be adjusted for this new classification determination. For the second factor, there are some larger customer opportunities in the pipeline that have been slightly delayed from an expected ramp date."}, {"path": "tedlium_1009.wav", "duration": 14.43, "text": "We are currently 6 weeks into this effort. And while it is still early days in what will ultimately be a 6- to 9-month project, I am very encouraged by what we are seeing in terms of the potential gains in throughput while maintaining current headcount levels."}, {"path": "tedlium_1010.wav", "duration": 14.43, "text": "So if we're at that place with supply recovery and we continue to make progress on the culture of the organization, particularly again around our commercial organization, I think we're in a position to begin to go on true offense."}, {"path": "tedlium_1011.wav", "duration": 14.43, "text": "So that should mean less exports from Europe. We were seeing a decline in the exports from Europe into the harbor. They were heading down to the South Central America. So don't know that, that's going to have an impact."}, {"path": "tedlium_1012.wav", "duration": 14.43, "text": "is it just -- I mean this makes all the sense in the world. We have 3 entities that are relatively subscale who we think we can drive significant benefits by creating more scale"}, {"path": "tedlium_1013.wav", "duration": 14.43, "text": "So there may continue to be a modest amount of related expenses as we go forward that we've broken out, but the more significant, like operational expenses and things that we were incurring last year, are behind us."}, {"path": "tedlium_1014.wav", "duration": 14.43, "text": "and will enable Cornerstone to return cash to those shareholders who want to monetize their investment in the near term while preserving our ability to fund growth opportunities and increase shareholder value in the years ahead."}, {"path": "tedlium_1015.wav", "duration": 14.43, "text": "Before turning the call back over to Mark, I would like to touch on our balance sheet. Prudent balance sheet management and conservative leverage have been cornerstones of DiamondRock's strategy for over a decade."}, {"path": "tedlium_1016.wav", "duration": 14.43, "text": "It's not early days in the process. And -- but it is, of course, still ultimately impossible to predict. We are engaging with a wide range of potential partners"}, {"path": "tedlium_1017.wav", "duration": 14.43, "text": "We are diversifying our revenue profile, which is helping to lower variability. And we continue to execute on our manufacturing transformation and cost-reduction initiatives, which enable us to continue driving profitability and free cash flow growth."}, {"path": "tedlium_1018.wav", "duration": 14.43, "text": "But it does seem to be spreading out a little bit more over the course of the last 2 or 3 quarters. And I think it's important to recognize that we expected this creep, this creep from urban markets into more rural markets."}, {"path": "tedlium_1019.wav", "duration": 14.43, "text": "While resolution of raw material access is ultimately a function of weather, we are working with our supplier to arrange alternative logistics at the site. And as of this time, we are anticipating that production in Wesseling may be curtailed by approximately 3 weeks."}, {"path": "tedlium_1020.wav", "duration": 14.43, "text": "with Paul. We were at dinner and we have got us -- the wheel business is no problem. We can do it. We got to jack it up on the other. So that's my story there. So I'm happy with it"}, {"path": "tedlium_1021.wav", "duration": 14.43, "text": "The first is that despite this guidance revision, we have tremendous confidence that our accelerated integration activities are progressing. They will generate the incremental returns we're aiming for, and they'll drive permanent improvements to efficiency throughout our business."}, {"path": "tedlium_1022.wav", "duration": 14.43, "text": "based on the strength of the fourth quarter. And yet, a category that we track for opportunities, which have not yet been committed to, remains really at a pretty high level. But our raw committed"}, {"path": "tedlium_1023.wav", "duration": 14.43, "text": "Still, a tremendous amount of work to be done, both leading up to the pivotal and then through the pivotal. But I think Antonio and the team are doing all of the critical steps now to prepare for the conduct of that pivotal trial."}, {"path": "tedlium_1024.wav", "duration": 14.43, "text": "throughout 2017. As a reminder, we are also in the process to developing our patent pending molded structural composite technology, that we believe will have broad applications in the dry and refrigerated truck body and refrigerated space."}, {"path": "tedlium_1025.wav", "duration": 14.43, "text": "This sentiment has been validated at recent events like Mobile World Congress in Barcelona and the 5G Summit in Brooklyn, where NI customers like Nokia and Intel have demonstrated the power of our modular approach."}, {"path": "tedlium_1026.wav", "duration": 14.43, "text": "we haven't seen a meaningful dropoff. And in fact, I do believe that construction activity in China recently has started to pick back up. That's what we're hearing from our folks on the ground. And so we would expect, as we"}, {"path": "tedlium_1027.wav", "duration": 14.43, "text": "To complement all of this, we've added an incremental 1,500 dedicated smart home store employees to make sure that when you come to shop with us, we'll do a great job identifying what smart home solution would work best for you."}, {"path": "tedlium_1028.wav", "duration": 14.43, "text": "In our first 5 months as a standalone company, we have also begun to identify potential growth opportunities, where we can leverage our core compliance and process management capabilities, along with our breadth of long-standing client relationships to serve new markets."}, {"path": "tedlium_1029.wav", "duration": 14.43, "text": "as we are facing severe changes in the environment, we are taking a cash flow focused management approach in order to maintain financial soundness, and also from the perspective of strengthening our management foundations."}, {"path": "tedlium_1030.wav", "duration": 14.43, "text": "As we look at our second quarter results, our crude oil sales volumes exceeded the high end of our guidance by almost 1,100 barrels per day or almost 5%, and"}, {"path": "tedlium_1031.wav", "duration": 14.43, "text": "So it has real business application and it's real time. So it allows them to work directly on the clients that are the most valuable to them. They're the ones that are already in their system."}, {"path": "tedlium_1032.wav", "duration": 14.43, "text": "As a result, we are projecting a high-teen percent decline in Coffee segment profit for the second quarter as compared to the prior year. However, looking at the back half of the year, we expect these profit trends to shift dramatically."}, {"path": "tedlium_1033.wav", "duration": 14.43, "text": "we don't have to search high and low for these projects. These projects come from the business and we get the opportunity to challenge the projects and invest the money where we know we'll get the return, but we're not short of projects for organic investment or business."}, {"path": "tedlium_1034.wav", "duration": 14.43, "text": "in certain origins, they may be waiting a little bit longer for some customers to make decisions. Certainly, some of the lower crop size in Brazil is shifting some of their ability to make decisions later in the year. And as we're only into the second fiscal quarter,"}, {"path": "tedlium_1035.wav", "duration": 14.43, "text": "But by the same token, I will tell you we are very confident that we know exactly what to do here. It's not an overnight trick. This is going to be fundamentals and hard work as we've done before. But these are very good brands. As I just pointed out,"}, {"path": "tedlium_1036.wav", "duration": 14.43, "text": "Most of our wins are going to come in that area because there aren't a whole lot of mechanical system being sourced anymore, and every win is essentially a confirmation of our capabilities to do that."}, {"path": "tedlium_1037.wav", "duration": 14.43, "text": "to make the platform tangible and for our people to really understand what is the concept of hybrid integration platform, and how it tied and how it validates all the investment that they made in the past toward the future."}, {"path": "tedlium_1038.wav", "duration": 14.43, "text": "restructuring that bank debt and lowering the interest cost of that bank debt as we've described a number of times over the past few years. However, we have an ambition to reduce the proportion of bank debt"}, {"path": "tedlium_1039.wav", "duration": 14.43, "text": "probably past the midpoint of the year to get a sense of what it looks like. But the plan in 2020 is to do the same thing to be fully hedged and to protect that program given the volatility in the markets."}, {"path": "tedlium_1040.wav", "duration": 14.43, "text": "the revolver test. So it would be fair to say that the theoretical capacity of our debt agreements gives us a tremendous amount of capacity and"}, {"path": "tedlium_1041.wav", "duration": 14.43, "text": "our CapEx will not be as high this year as it was last year. Last year and the year before that, certainly for the Flavor group, was a bit artificially high because we were -- we had a lot of restructuring activities,"}, {"path": "tedlium_1042.wav", "duration": 14.43, "text": "we'll be talking about what we are seeing in the mid and the last 2 years, and very much in the last year, and we still see there"}, {"path": "tedlium_1043.wav", "duration": 14.43, "text": "at the infrastructure upgrade process, which slows down our sales cycle. So I don't think incentive can do that. But we have some new things coming up in our story about how we can accelerate"}, {"path": "tedlium_1044.wav", "duration": 14.43, "text": "This now marks the fourth consecutive quarter of accelerating organic revenue growth for Entercom. And as you will hear in a few moments, our pacings look strong for the remainder of the year, and we are optimistic about our ability to continue to generate strong same-station growth."}, {"path": "tedlium_1045.wav", "duration": 14.43, "text": "we are poised to deliver on the promise of the product category we anticipated when launching DuraFit. Our objectives in 2017 in this market segment are to continue to grow the DuraFit brand and support the market penetration of our new downstream partners."}, {"path": "tedlium_1046.wav", "duration": 14.43, "text": "We are experiencing delays in some of our cost-reduction efforts in certain geographies. As a result, we now believe it may take through the end of the year of fiscal 2018 to complete the remaining activities."}, {"path": "tedlium_1047.wav", "duration": 14.43, "text": "It most probably will be somewhat lower than our regular margin because of this Fed Bid. But what it does is it creates -- having said that, it has a very major positive impact of creating an overall"}, {"path": "tedlium_1048.wav", "duration": 14.4, "text": "during the first quarter of 2019 from which we expect to gain insights that will assist us in our evaluation of the effects of sotatercept as a potential first in class disease-modifying treatment."}, {"path": "tedlium_1049.wav", "duration": 14.4, "text": "And then thirdly, can you just flesh out your ambitions on the delivery, please? Do you think you can put it in more sites? And what kind of share of sales are you getting from those sites where you have got delivery?"}, {"path": "tedlium_1050.wav", "duration": 14.4, "text": "We now have over 0.5 million members. Over 80% of the customers that we talk to, who have chosen to activate their membership, and a high proportion of those then start to interact with the brand."}, {"path": "tedlium_1051.wav", "duration": 14.4, "text": "Our expense ratio is coming down, so I think those are all examples of us being at scale or at least getting very close to scale depending upon which part of the group we're talking about."}, {"path": "tedlium_1052.wav", "duration": 14.4, "text": "in order to get Fluid Handling back towards the mid-teens operating margin? Or what kind of revenue run rate do you feel that you need? Given over the last several years, you've done something structurally to improve the business, et cetera, so I would imagine"}, {"path": "tedlium_1053.wav", "duration": 14.4, "text": "our strong belief that the addition of Wilshire was a very important component for the program and for our advisers, and that has taken time to think through and get contracts and start to frame out how that will work. So"}, {"path": "tedlium_1054.wav", "duration": 14.4, "text": "I think the other thing we look at, of course, is the strength of the credit card programs. We know already, based on the negotiations we've done with Chase and Amex, that they are as excited as we are about the power of this platform."}, {"path": "tedlium_1055.wav", "duration": 14.4, "text": "And probably most materially in terms of driving behavior and shift in performance has been the shift in the architecture of the incentive structures within the business, which has pivoted more towards revenue and long-term performance and away from solely in-year profit."}, {"path": "tedlium_1056.wav", "duration": 14.4, "text": "that big dataset, in order to allow it to really reach its full potential for the marketplace. And so we've been preparing ourselves for that, and that's why you see the size of the panel increase. Now as far as acquiring set-top box data"}, {"path": "tedlium_1057.wav", "duration": 14.4, "text": "Is that top line indicative of how we should think about growth in earnings if we think about it longer term? I know there's complexities on the accounting in terms of what's flowing to the top line and what's flowing as rebates on the expense line."}, {"path": "tedlium_1058.wav", "duration": 14.4, "text": "Thanks, Tim. As Tim mentioned, we are very pleased with the finance results we are seeing this year. They reflect a dedicated service of our agents and our employees as well as our commitment to deliver on our strategy."}, {"path": "tedlium_1059.wav", "duration": 14.4, "text": "getting any worse or getting any better? I don't think it's changed much, it's still a challenge to get it through government approval agencies. The time constraints there continue to be challenging. But"}, {"path": "tedlium_1060.wav", "duration": 14.4, "text": "We also, as I mentioned earlier, the temporary nature of the advantage is likely to do dissipate with a number of pipelines, and we all know that Texas is a friendly state in terms of building out energy infrastructure."}, {"path": "tedlium_1061.wav", "duration": 14.4, "text": "The reach and breadth of our footprint is remarkable when you think that just a few short years ago in 2015, Amicus in total had fewer than 200 employees operating out of our one location here in New Jersey."}, {"path": "tedlium_1062.wav", "duration": 14.4, "text": "The year-over-year decrease was driven by both products and service, and the sequential decrease was driven by lower consumables. A significant portion of our consumables revenue is tied to a small number of customers."}, {"path": "tedlium_1063.wav", "duration": 14.4, "text": "are subject to risks and uncertainties. Trimble's actual results may differ materially from those currently anticipated due to a number of factors detailed in the company's Form 10-K and 10-Q or other documents filed with the Securities and Exchange Commission."}, {"path": "tedlium_1064.wav", "duration": 14.4, "text": "We expect to achieve very high returns on what is a nominal investment made possible because of our ownership of the data center. We are constantly trying to think of creative ways to further monetize our assets, and this is just another example of what we do."}, {"path": "tedlium_1065.wav", "duration": 14.4, "text": "with the same quarter so far. So we will work in the future to identify if we can change this, if not we will continue to have a lag of 3 months. But in the middle, we have to analyze subsequent events"}, {"path": "tedlium_1066.wav", "duration": 14.4, "text": "We highlighted on our last call the 3 engagement models with which we go-to-market. These engagement models provide customers a flexible approach to create the required commercial infrastructure they will need to manage their revenue."}, {"path": "tedlium_1067.wav", "duration": 14.4, "text": "In conjunction with the relisting, we also plan to launch an extensive investor outreach effort that will include increased participation at industry conferences and a higher degree of interaction with the investment community."}, {"path": "tedlium_1068.wav", "duration": 14.4, "text": "And we will also disclose what are the capital investment plans and the initiatives that we have in terms of -- in terms of outsourcing."}, {"path": "tedlium_1069.wav", "duration": 14.4, "text": "It's about 70. It's about 70, it's relatively stable at this point in time. But as we've moved through the past year, we have had some turnover, that was kind of expected as we really transition from selling products to solutions"}, {"path": "tedlium_1070.wav", "duration": 14.4, "text": "As Scott mentioned, I'll go over our financial results in more detail and discuss our current hedging activities. I will also walk through our upcoming credit facility redetermination and provide updated guidance for the remainder of the year."}, {"path": "tedlium_1071.wav", "duration": 14.4, "text": "We did see or we have continued to see higher pulp prices, albeit that I did say earlier that they are coming off a little bit now. But at the same time, we've been able to achieve savings in chemical and energy costs."}, {"path": "tedlium_1072.wav", "duration": 14.4, "text": "Matt, typically, we don't -- I don't focus necessarily on the number of people that we pick up. I look at the quality of people that we can get. So I try not to limit ourselves. Do we budget to a number of people? Yes."}, {"path": "tedlium_1073.wav", "duration": 14.4, "text": "We're looking for folks where there is a cultural fit, where there is a business model fit, where 1 plus 1 is going to be more than 2. And we continue to believe there are opportunities out there for us, we just need to make sure we find the right ones."}, {"path": "tedlium_1074.wav", "duration": 14.4, "text": "or approximately 4% annualized. We are pleased to have this level of growth, particularly in light of the competitive pressures and the anticipated runoff we experienced in our acquired loan balances, as we worked through the integrations of our 2 merger partners."}, {"path": "tedlium_1075.wav", "duration": 14.4, "text": "do you think that you have a chance to beat those? And if so, in what area would that come from? And then second, if you could just clarify your interest and capacity to do more acquisitions"}, {"path": "tedlium_1076.wav", "duration": 14.4, "text": "Okay, that's awesome. And then my other question is kind of more of a housekeeping question. Can you just explain the tax rate to me? I kind of thought it would be lower than the 24% that you booked in the quarter,"}, {"path": "tedlium_1077.wav", "duration": 14.4, "text": "on the center and southern portions of the country, can you give us kind of some perspective on how those AUVs look versus the rest of the country? And I know you mentioned they're lower cost, but I'm thinking maybe they're also"}, {"path": "tedlium_1078.wav", "duration": 14.4, "text": "For fiscal year 2020, we plan to open 12 to 15 new stores in existing states, which will all be in our new store layout, featuring an enhanced customer experience and a more efficient sales process."}, {"path": "tedlium_1079.wav", "duration": 14.4, "text": "construction that -- and the gathering system that feeds into that is a bit variable as to timing as well. So it's not really a question of how much in terms of projects really. It's just a matter of the timing of those projects."}, {"path": "tedlium_1080.wav", "duration": 14.4, "text": "Thank you, Atif. Good afternoon, everyone, and welcome to the call. We're pleased to report another successful quarter, building on the momentum from the prior few quarters. Chris will cover the financials in detail, but I'd like to make a few high-level comments."}, {"path": "tedlium_1081.wav", "duration": 14.4, "text": "So it will give us time to reallocate capital to reduce our debt in the near term and that's one of the main initiatives. The second one is, if there are any opportunities from a portfolio perspective,"}, {"path": "tedlium_1082.wav", "duration": 14.4, "text": "We are taking every legal step to have the vessel released as soon as possible, but due to the slow legal processes locally, this has taken longer than expected. But we now have a Bangladesh High Court order in our favor for the release of the vessel."}, {"path": "tedlium_1083.wav", "duration": 14.4, "text": "if -- it doesn't look that much different to end Q3. So should I take your comments earlier to mean that some of the branch deposit growth has been so much stronger that you feel that you can permanently"}, {"path": "tedlium_1084.wav", "duration": 14.4, "text": "This increases the financial flexibility we have to invest in ways that will allow us to execute our strategy where we will further add capabilities to better penetrate our growth market and ultimately sign bolt on-sized acquisitions."}, {"path": "tedlium_1085.wav", "duration": 14.4, "text": "We also saw a continued strong performance from several other products, including Creon and Duodopa. So overall, we're extremely pleased with our commercial performance and financial results for the quarter,"}, {"path": "tedlium_1086.wav", "duration": 14.4, "text": "and we're delivering more improved marketing efficiencies. These efficiencies were broad-based across regions and were delivered by continuing to work with our agencies and our suppliers more efficiently and effectively."}, {"path": "tedlium_1087.wav", "duration": 14.4, "text": "Earlier this month, we exited Russia through a divestiture of the business, bringing our country total to 27. We are also continuing to invest in building centralized Deal Factory operations and improve capabilities in customer service."}, {"path": "tedlium_1088.wav", "duration": 14.4, "text": "Wrapping up on Slides 12 and 13. I think we're pleased with both the strong quarter we had and the positive momentum we still see in our businesses. From a bonefish perspective, we ticked off a lot of improvement boxes"}, {"path": "tedlium_1089.wav", "duration": 14.4, "text": "Even with the strong loan growth, the commercial loan originations we are putting on the books are, on balance, of slightly better quality than the overall portfolio, which is encouraging to our forward view of credit performance."}, {"path": "tedlium_1090.wav", "duration": 14.4, "text": "Behind all of this, we're also making meaningful changes to how we plan, build and execute our marketing investments, including an amplified focus on return on investment and the ability to positively impact brand perception and consideration."}, {"path": "tedlium_1091.wav", "duration": 14.4, "text": "What we've done is we've gone from 5 regions to 7 regions. So if we look at -- 4 of our sales managers have joined us literally over the last 6 months. So there's been some changes there in terms of the way that we structure the management of the territories."}, {"path": "tedlium_1092.wav", "duration": 14.4, "text": "because what you have there is a very, very strong e-commerce business for all goods and that includes as well much more than here in Europe includes as well food"}, {"path": "tedlium_1093.wav", "duration": 14.4, "text": "As you can see from this chart, Atea's operating cash flow is highly seasonal, peaking in Q4 and with negative cash flow in the first half of the year as working capital balances increase from a very low level at year-end."}, {"path": "tedlium_1094.wav", "duration": 14.4, "text": "all of our customer touch points to look like. So that wasn't reflective of any numbers or anything. Certainly, we continue and we'll continue to look at our store portfolio. We certainly expect to continue to grow our retail footprint."}, {"path": "tedlium_1095.wav", "duration": 14.4, "text": "While I often emphasize the importance of recurring revenue, our strong track record of reporting past sales is consistent with what we've always maintained, that the value of a license is more important than the timing of it."}, {"path": "tedlium_1096.wav", "duration": 14.4, "text": "but these aren't things that are going anywhere. They're not getting -- this is weeks of delay and putting aggregate on the ground. It's not changing whether or not they do the project. Right. And then once they start, the visibility"}, {"path": "tedlium_1097.wav", "duration": 14.4, "text": "In addition, our visibility to a turn in public construction activity continued to improve. There are more highway project tons in backlog than we've seen in at least 3 years."}, {"path": "tedlium_1098.wav", "duration": 14.4, "text": "the recent case study published by Forrester Research might be of interest to you, and it is available on our website. Their report summarizes the 4 takeaways we highlighted at our Investor Day."}, {"path": "tedlium_1099.wav", "duration": 14.4, "text": "We will update this information each quarter, and later this year, we will provide formal projections once we have more consumer data and initial sales data. Let's turn to Page 16 in the attached slide deck."}, {"path": "tedlium_1100.wav", "duration": 14.4, "text": "Okay. Just to clarify kind of if you had to pinpoint what kind of pushed the needle from October to, say, now like, would you pinpoint one thing? Or is it kind of generally broader growth than you had previously anticipated?"}, {"path": "tedlium_1101.wav", "duration": 14.4, "text": "Initiatives like these give you an idea of why we are so enthusiastic about what is still to come from Optum, all in support of our mission addressing the health needs of people and improving health systems broadly."}, {"path": "tedlium_1102.wav", "duration": 14.4, "text": "A description of some of the risks and uncertainties can be found in the reports that we file with the Securities and Exchange Commission, including the cautionary statements included in our current and periodic filings. This call will also reference non-GAAP amounts."}, {"path": "tedlium_1103.wav", "duration": 14.4, "text": "Thanks, Gary, and welcome, everyone. Our employees did a great job again this quarter providing their legendary customer service, and I'd like to thank them for that and congratulate them on a great quarter."}, {"path": "tedlium_1104.wav", "duration": 14.4, "text": "These projects will also provide incremental cash flow for 2016. As we look ahead, our diversified portfolio of midstream assets and multiple key resource plays provides a strong footprint to continue delivering long-term growth."}, {"path": "tedlium_1105.wav", "duration": 14.4, "text": "We're continuing to work through installation of handling equipment at the light gauge plate furnace and expect increasing benefits as we complete the projects and implement practice changes to realize the full potential of the investments."}, {"path": "tedlium_1106.wav", "duration": 14.4, "text": "I'll give a short answer and then Chris can elaborate on it. We have actually slimmed down the technology to very much those areas, and there's a test site in terms of Savuka where we can actually use it in terms of the Mponeng operation, particularly the"}, {"path": "tedlium_1107.wav", "duration": 14.4, "text": "element of our overall business. That's the part that we have to get right. I mean, we're pretty darn -- look, we're never fully satisfied. That's just not the nature of the management team here. But we're pleased with what's going on in Europe. We're pleased with what's going on in Canada."}, {"path": "tedlium_1108.wav", "duration": 14.3999375, "text": "as well as expanding the awareness of our other indications that can be treated effectively with the XTRAC. I'm enthusiastic about positioning STRATA as the valued business partner of choice for dermatology and aesthetic medicine practices."}, {"path": "tedlium_1109.wav", "duration": 14.3999375, "text": "Further, investors should keep in mind that Tecnoglass' financial results in any particular period may not be indicative of future results. Tecnoglass is under no obligation to and expressly disclaims any obligation to update or alter its forward-looking statements,"}, {"path": "tedlium_1110.wav", "duration": 14.3700625, "text": "be edited, assembled, accessed, translated, rendered and submitted to regulators. Our Language Solutions and other reporting unit includes traditional commercial printing as well as our Language Solutions offering,"}, {"path": "tedlium_1111.wav", "duration": 14.37, "text": "This extends the antenna's range and subscriber count significantly by allowing weaker signals to get through, a key differentiator as operators strive to maximize cell coverage and quality of service."}, {"path": "tedlium_1112.wav", "duration": 14.37, "text": "plant. And Clifford has mentioned that our prices achieved did not quite lift what we had last year, and that is purely a function of the smaller or fewer number of large stones that have come through. I have been asked in the runup to these"}, {"path": "tedlium_1113.wav", "duration": 14.37, "text": "and providing them with a customized experience as they explore our program offerings and courses and evaluate our universities as their choice for education. Lastly, we continue to develop and enhance our overall mobility capabilities"}, {"path": "tedlium_1114.wav", "duration": 14.37, "text": "Looking ahead, we have a high quality, well diversified portfolio and we're committed to maximizing value for our shareholders as we focus on generating solid operating performance, continuing to be opportunistic on transactions, and proactively managing our balance sheet."}, {"path": "tedlium_1115.wav", "duration": 14.37, "text": "And as a reminder, we take ownership of these direct imported goods earlier as we record in-transit inventory on our balance sheet when the goods leave the overseas ports. Now I would like to turn to our guidance."}, {"path": "tedlium_1116.wav", "duration": 14.37, "text": "We entered 2019 with a very strong platform in place from a business development standpoint, and we're seeing strong experienced leadership in place in each of our profit centers now, a full marketing team in place for the first time in a year,"}, {"path": "tedlium_1117.wav", "duration": 14.37, "text": "This reflects the lower operating performance of these plants consistent with the industry this year versus last year and the fact we discontinued recognizing equity income on the Patriot plant at May 31 upon the close of that sale."}, {"path": "tedlium_1118.wav", "duration": 14.37, "text": "which is attributable to the significant pull forward of orders into the first quarter this year, as well as the challenging and promotional retail environment, which included closing of some account doors and a surplus of product in the marketplace."}, {"path": "tedlium_1119.wav", "duration": 14.37, "text": "That is almost a full logistic operation. That's a whole different model than making cable in large volume and send it to Europe. This kind of project element, that's the business which we do, where other components come in."}, {"path": "tedlium_1120.wav", "duration": 14.37, "text": "as their first major customer and application for electrification. Peterbilt will electrify a number of Class 8 transport and refuse trucks as first adopters working with the Meritor E-axle."}, {"path": "tedlium_1121.wav", "duration": 14.37, "text": "It develops, designs and manufactures flexible pipe and water treatment systems for Subsea production applications and enjoys considerable technical leadership and advantages, having delivered over 7,000 processed miles of flexible pipe."}, {"path": "tedlium_1122.wav", "duration": 14.37, "text": "And on the litigation side, the resolution of several litigation matters in the quarter was materially covered by existing accruals. Please note that the numbers for the quarter also include a goodwill impairment for Global Markets,"}, {"path": "tedlium_1123.wav", "duration": 14.37, "text": "of at least a comparable level to that of 2017 and to generate improved earnings now that the Alto Maipo project in Chile no longer has a negative effect on the segment's result."}, {"path": "tedlium_1124.wav", "duration": 14.37, "text": "As we discussed on our last earnings call, our first quarter was very challenging. Excluding Los Angeles, our radio net revenues reported to Miller Kaplan during our first fiscal quarter, which excludes certain barter and syndication revenues,"}, {"path": "tedlium_1125.wav", "duration": 14.37, "text": "As we would expect in this environment, our active commodity, natural resource equity and multi-strategy real asset portfolios posted solidly positive returns and materially outperformed their benchmarks."}, {"path": "tedlium_1126.wav", "duration": 14.37, "text": "As a reminder, we are a small public company with a footprint that covers 13 countries, which means that we have costs that are largely fixed in this area. The increase is primarily due to increases in employee-related costs"}, {"path": "tedlium_1127.wav", "duration": 14.37, "text": "to reduce or avoid the repayment of the amounts owed to creditors like Syncora. There's also been a discussion of the flight of human capital from the island that could negatively affect the economic recovery of Puerto Rico."}, {"path": "tedlium_1128.wav", "duration": 14.37, "text": "understand you're indicating a lower run rate than certainly what it's enjoyed in the past couple of years, but -- relative to the backlog that you have secured now. So near term, is that -- is it full utilization that you're looking for in the first quarter? Or are there gaps in the scheduling given the nature of spot?"}, {"path": "tedlium_1129.wav", "duration": 14.37, "text": "While the trends we have seen so far in several of our North Dakota markets have trailed our budgets due to continued uncertainty in the oil-impacted markets and supply pressures elsewhere, these issues convey the importance"}, {"path": "tedlium_1130.wav", "duration": 14.37, "text": "particularly for transitional properties. Unlike other forms of first debt lending, bridge lending has minimal barriers to entry, and there seems to be a new debt fund up every day to deploy capital into this market."}, {"path": "tedlium_1131.wav", "duration": 14.37, "text": "Our strong cash position continued and was the major source of funding for the acquisition. Concurrent with the signing of the acquisition agreement, we amended our credit facility."}, {"path": "tedlium_1132.wav", "duration": 14.37, "text": "Jeff, it's Nick. I think you have to look at the change we made in the pension plan last quarter, and the impact that had on the overall pension cost is a big part of that."}, {"path": "tedlium_1133.wav", "duration": 14.37, "text": "Please refer to our most recent Form 10-K and SEC filings for more information on those risks. We believe that a combination of both GAAP and non-GAAP measures are more representative of how we internally measure our business."}, {"path": "tedlium_1134.wav", "duration": 14.37, "text": "Similar to the last quarter, the 0 to 15-day booking window remains weak with lower fares compared to the same period last year. This has been further accentuated by the significant increase in capacity in the market."}, {"path": "tedlium_1135.wav", "duration": 14.37, "text": "Okay, great. And then just when you -- because you've had the sale of facility, you've gotten out of markets, are you expecting working capital to be a source of cash again this year?"}, {"path": "tedlium_1136.wav", "duration": 14.37, "text": "On this call, we will discuss certain non-GAAP measures. A reconciliation of the most comparable GAAP measurement is provided in our corresponding earnings release and included in the supplemental financial data on the Investors page of our website."}, {"path": "tedlium_1137.wav", "duration": 14.37, "text": "Between the time that you'd experience from order to delivery market as well as redistribution to shelf and tabletop create some challenges because the ZAR moves relative to the foreign currencies quite significantly."}, {"path": "tedlium_1138.wav", "duration": 14.37, "text": "Additionally, if we identify an acquisition that makes compelling, strategic and financial sense, we have the financial flexibility to take advantage of it and maintain a strong balance sheet."}, {"path": "tedlium_1139.wav", "duration": 14.37, "text": "Our Delivery Systems is well positioned to support our major customers in these investments. China will become an important geography, and our new manufacturing plant in China will position us well in this market."}, {"path": "tedlium_1140.wav", "duration": 14.37, "text": "we compete with that pipeline cost, particularly the future pipeline cost with the anticipated construction of a new pipeline out of Bakken to the Gulf Coast to be able to get to the West coast. And"}, {"path": "tedlium_1141.wav", "duration": 14.37, "text": "Due to the improvement in our project slate, we believe that most of these cost and efficiency gains are durable over the long term. With respect to 2017 services costs, we note that a significant majority of our capital costs are locked in for the year."}, {"path": "tedlium_1142.wav", "duration": 14.37, "text": "In pharma, we continue to see macro trends of rising global regulatory standards, increasing global patient access to prescription drugs and the growing testing needs of new biologic drugs that feature an ever-increasing complexity of molecular structure."}, {"path": "tedlium_1143.wav", "duration": 14.37, "text": "with our customers is probably more optimistic and positive than it was a few months ago. But it's really hard to tell exactly how those talks are coming along. We're optimistic that it will get resolved at some point."}, {"path": "tedlium_1144.wav", "duration": 14.37, "text": "Historically, the company experiences a use of cash in the first quarter as it's generally the lowest revenue quarter of the year and incentive compensation payouts from the prior year are made. In addition,"}, {"path": "tedlium_1145.wav", "duration": 14.37, "text": "This increase over the past few years compares favorably to single product lenders shown on the far right, which originates most of their loans in the high-risk buckets."}, {"path": "tedlium_1146.wav", "duration": 14.37, "text": "Customers recognize that our audio solutions are optimized to deliver the best performance for these types of tasks, and this is resulting in strong design activity across all types of IoT devices for our microphones as well as our audio processors."}, {"path": "tedlium_1147.wav", "duration": 14.37, "text": "But our growing volume of tax has the opposite effect of accelerating our ability to recognize revenue. We're able to pull into a quarter all of the test reported in that quarter, multiplied by the amount we estimate that we will collect in the future."}, {"path": "tedlium_1148.wav", "duration": 14.37, "text": "This segment of our business is now much larger and faster-growing than our legacy eBay Marketplace business, and we expect this growth to continue in 2019 as we expand our current partnerships and welcome new partners onto our platform."}, {"path": "tedlium_1149.wav", "duration": 14.37, "text": "organically build some areas where we don't have the expertise. But now we would entertain an appropriate larger deal as we said we're putting in the capabilities so that we can put more assets onto the platform more efficiently."}, {"path": "tedlium_1150.wav", "duration": 14.37, "text": "Asia I would say we're seeing slowing growth. And additionally, what has traditionally been pretty steady for us, the service business, we are seeing some lower service demands in our developed markets."}, {"path": "tedlium_1151.wav", "duration": 14.37, "text": "on a revenue basis. And we expect to grow operating income faster than revenues, in part due to normal operating leverage and in part due to the benefits of the efficiency programs we have implemented in our Specialty Chemicals segment."}, {"path": "tedlium_1152.wav", "duration": 14.37, "text": "In December, we announced that we surpassed a year early our target to collect 5 million pledges to never drink and drive by activating Join The Pact campaigns in over 40 countries."}, {"path": "tedlium_1153.wav", "duration": 14.37, "text": "We continue to believe it's the right trade-off. We also know we have a lot left to do to build a great shopping operation. We need to continue to improve our merchandising, assortment and category mix to deliver a better balance of top line growth and gross profit generation."}, {"path": "tedlium_1154.wav", "duration": 14.37, "text": "These results reflect our ability to execute our strategy in spite of an uncertain marketplace, seasonal holiday plant closures and some additional weather-related disruptions that occurred near the end of the quarter."}, {"path": "tedlium_1155.wav", "duration": 14.37, "text": "We're taking a 2-step approach for the connection in the home, I mean, the physical connection in the home. It is when we're opening the roads and when we are active in the streets, we offer the various customers"}, {"path": "tedlium_1156.wav", "duration": 14.37, "text": "That's another opportunity for us on the train length side on this network. So several of those are out there in the coming years. We'll be working with our customers to try to convert them from a productivity standpoint. If I look at other opportunities of productivity, we haven't talked about it yet."}, {"path": "tedlium_1157.wav", "duration": 14.37, "text": "but I would say that we'll be back to a normal situation by end of March, which is going to mean that, from beginning of March to really April, the evaluations that should have probably kicked off 3 to 6 months ago are really be kicking off and in full swing."}, {"path": "tedlium_1158.wav", "duration": 14.37, "text": "Please note that today's call contains forward-looking statements, statements that are based on current assumptions and subject to risks and uncertainties that could cause actual results to differ materially from those projected."}, {"path": "tedlium_1159.wav", "duration": 14.37, "text": "On the other hand, countries more dependent on commodities continue to face challenges as prices are still low and, with a few exceptions, don't show any signs of a strong recuperation."}, {"path": "tedlium_1160.wav", "duration": 14.37, "text": "In 2016, you can expect more of the same from us as we invest in our brands and our infrastructure and our people. We are confident in our ability to deliver consistent, profitable and sustainable growth."}, {"path": "tedlium_1161.wav", "duration": 14.37, "text": "And Shneur, the only thing I would add to that is, it really is kind of a tension between we're already there and so we don't have to do things, but the positive of that is because we're there, we do have synergy, we do have opportunities"}, {"path": "tedlium_1162.wav", "duration": 14.37, "text": "Now turning to our outlook. We continue to execute our transformation strategy to diversify our revenue streams to the more profitable oilfield ceramic technology products and the industrial and environmental markets."}, {"path": "tedlium_1163.wav", "duration": 14.37, "text": "Our Pacific Northwest Timber segment also reported higher harvest volumes as well as a 17% lift in average delivered sawtimber pricing, driven by continued strengthening of both domestic and export markets."}, {"path": "tedlium_1164.wav", "duration": 14.37, "text": "Food Colors business to incorporate North Asia, that's only a small chunk of it. So the remaining part of Asia Pacific is -- it's a combination of Flavor and Color and probably pretty close to that ratio you just quoted. Okay."}, {"path": "tedlium_1165.wav", "duration": 14.37, "text": "the timing and amount of insurance service revenue and insurance costs, in the case of net service revenues, and the income tax impact and number of shares granted in market price needed to quantify stock-based compensation expense,"}, {"path": "tedlium_1166.wav", "duration": 14.37, "text": "And as a result, we believe, over time, this unique financial characteristic will lead to a full valuation for Vistra. It takes very low maintenance capital to support the EBITDA of the company given the combination of highly efficient, low-cost, in-the-money fleet"}, {"path": "tedlium_1167.wav", "duration": 14.37, "text": "We believe it is prudent at this point to reaffirm our guidance and wait until our third quarter call to consider an update to both the 2018 and 2019 guidance ranges. However, we feel very good about where we are at this point in time."}, {"path": "tedlium_1168.wav", "duration": 14.37, "text": "Ultra has also commented recently on test results from the company's horizontal drilling program, which could further extend the life of the field, and potentially, the utilization of our pipeline for liquids gathering."}, {"path": "tedlium_1169.wav", "duration": 14.3699375, "text": "and what that means for us is that we can see a clear path from where we are to over 100,000 supplier connections and tens of millions in revenue in the next few years from ReposiTrak alone."}, {"path": "tedlium_1170.wav", "duration": 14.34, "text": "We saw -- we actually saw during major citywide conventions some of the strongest rates is not actually the strongest rates ever in the city. So"}, {"path": "tedlium_1171.wav", "duration": 14.34, "text": "Depending on what material we can fill. So there are different bottlenecks, and we have a system that I think you have been informed about this, that is actually running quite satisfying at the moment called Scope. This is kind of"}, {"path": "tedlium_1172.wav", "duration": 14.34, "text": "The exchange offer material, including an offer to exchange a related letter of transmittal and certain other exchange offer documents and the solicitation recommendation statement contain important information."}, {"path": "tedlium_1173.wav", "duration": 14.34, "text": "The decision to modify the dividend policy is appropriate in an environment where market conditions continue to be challenged. And we see the emergence of bottom-of-the-cycle opportunities in the auto franchise sector."}, {"path": "tedlium_1174.wav", "duration": 14.34, "text": "Expense management will continue to be a key priority and productivity improvements remain a focus. Our new core banking system in Mexico will help drive further productivity improvement."}, {"path": "tedlium_1175.wav", "duration": 14.34, "text": "And we believe that our decision to elect corporate tax status is in the best interest of unitholders. We believe that there is a willing but ineligible shareholder universe for publicly-traded asset managers that are taxed as partnerships."}, {"path": "tedlium_1176.wav", "duration": 14.34, "text": "Yes, the unfortunate part is that's in their control to launch their powertrain. And again, they're responsible for a number of other components besides ours. The area that I think has hurt them very badly is the transmission."}, {"path": "tedlium_1177.wav", "duration": 14.34, "text": "While we are not expecting an improvement in some of our weaker end markets in 2016, we do expect volume to stabilize in the first half and show modest improvement in the second half as comps become easier."}, {"path": "tedlium_1178.wav", "duration": 14.34, "text": "Over the last month, we've seen some further deterioration in the outlooks for both of these shows, as their pace of sales did not keep up with our expectations, as well as reductions in our forecast for the New York Now and ASD Summer shows for the aforementioned reasons."}, {"path": "tedlium_1179.wav", "duration": 14.34, "text": "Our strategy of effectively managing our space and assets continues to produce strong cash generation and sustainable profits. Gross margin was well-managed, up 80 basis points in the half."}, {"path": "tedlium_1180.wav", "duration": 14.34, "text": "This is the first Acura model to be produced locally in China. In Japan, production at the Kumamoto plant resumed normal production utilization in September following recovery efforts from the earthquake."}, {"path": "tedlium_1181.wav", "duration": 14.34, "text": "about our new product introductions, about the strength of our solution, about market adoption and about product market fit. But as Brian said, we want to be conservative. We've made mistakes in the past"}, {"path": "tedlium_1182.wav", "duration": 14.34, "text": "If you have followed our calls before, I always underpin that I did not expect the extremely good margin in the segment to remain forever. Still the current level is a satisfactory one."}, {"path": "tedlium_1183.wav", "duration": 14.34, "text": "However, we will continue to identify them so that you can model them appropriately. As a reminder, these costs are being funded by our China Growth and Impact Investment Program, which was built by grants from the Chinese government."}, {"path": "tedlium_1184.wav", "duration": 14.34, "text": "This is no accident. It is a result of bringing together a great team, unified in purpose, aligned on our goals and a fantastic group of professionals on the road and in our back offices for making this potential a reality."}, {"path": "tedlium_1185.wav", "duration": 14.34, "text": "Debra and I have worked closely over the past 2 years, and I am confident that Debra will successfully build upon the strong foundation for our businesses that we have formed together following the Lorillard acquisition."}, {"path": "tedlium_1186.wav", "duration": 14.34, "text": "I see many opportunities for us to develop this line of business. Here are just some of them. First, our wellsite storage solutions can be provided to customers in any basin regardless of whether we're delivering sand to that market."}, {"path": "tedlium_1187.wav", "duration": 14.34, "text": "but the other is analytics truly informing practice. And I think that's what you'll see as we move over the next 6, 12, 18 months is the really coming together of use cases that span the entire solution platform."}, {"path": "tedlium_1188.wav", "duration": 14.34, "text": "Additionally, please keep in mind that we fulfill virtually all of our business through channel partners today and the role that our enterprise sales plays is in support of national accounts that are partially fulfilled throughout the channel."}, {"path": "tedlium_1189.wav", "duration": 14.34, "text": "We actually outperformed on the travel trailer towable side, and we underperformed solely on the motor home side, which is a strategic initiative on our company's part. But our same-store sales numbers"}, {"path": "tedlium_1190.wav", "duration": 14.34, "text": "Thank you, David, and good afternoon, everyone. It is my pleasure to review with you the results of another solid quarter and a strong finish to fiscal 2018. We have worked very hard over the past 12 to 18 months"}, {"path": "tedlium_1191.wav", "duration": 14.34, "text": "this morning, we are showing that. And we have been looking forward, frankly, to the ability that this natural pause gives us to be able for our stockholders to see that"}, {"path": "tedlium_1192.wav", "duration": 14.34, "text": "There are added costs to be absorbed throughout each step of the development to commercialization process as a product moves from discovery through platform to product development to validation and manufacturing and finally, service provision,"}, {"path": "tedlium_1193.wav", "duration": 14.34, "text": "But beyond that, we'll determine -- when we come to that point and we got that down, then we'll determine what we think the very best use of that cash is from a shareholder perspective."}, {"path": "tedlium_1194.wav", "duration": 14.34, "text": "Our plan to achieve comprehensive full-scale manufacturing is on track and we are diligently preparing for the pending FDA inspection of our facility ahead of anticipated approval by the end of this year."}, {"path": "tedlium_1195.wav", "duration": 14.34, "text": "the brokers start hearing that there's going to be some upward movement in the back end of the curve, you may see more refinancings as the year goes along. Dime will not participate at those rates. We don't have to now because we have another line of business available to us."}, {"path": "tedlium_1196.wav", "duration": 14.34, "text": "most notably, lower-than-expected upgrade customers visiting the retail stores. This is a macro trend that involves the entire wireless category and is directly correlated to the customer paying the entire cost of the handset."}, {"path": "tedlium_1197.wav", "duration": 14.34, "text": "and we began to see the effects of that late this November. We now must work closely with our retail customers to drive this business forward, despite the recent headwinds in the new housing markets, which, again, we began to see in November."}, {"path": "tedlium_1198.wav", "duration": 14.34, "text": "Certainly, share buyback is another way to do that, but returning cash to shareholders to reward them for the tremendous success that HUMIRA has had and will continue to have going forward, is a high priority for us."}, {"path": "tedlium_1199.wav", "duration": 14.34, "text": "but obviously high reward if it were to play out is the pancreatic study. That is one that we've heavily risk-adjusted, and so it's not something that we're counting on, certainly isn't something that investors should be counting on at this point."}, {"path": "tedlium_1200.wav", "duration": 14.34, "text": "While both are doing fine, they just simply don't -- are not as strong as they were in the prior year. For the fourth quarter, we expect HRS revenue growth will be within the full year range. In addition,"}, {"path": "tedlium_1201.wav", "duration": 14.34, "text": "These increases were largely offset by lower revenue due to previously announced extensions of certain long-term contracts with lower pricing, as well as a decline in mutual fund revenue as a result of continued sub accounting conversions."}, {"path": "tedlium_1202.wav", "duration": 14.34, "text": "We're also fairly well insulated from the vagaries of the general political and macroeconomic environment that we're facing, and this gives us confidence that we can continue to deliver growing revenue margins, profitability and overall improved results."}, {"path": "tedlium_1203.wav", "duration": 14.34, "text": "into the future. I will also say that a lot of people think that the public cloud is where everything's going to end up. Some think that everything is going to end up with Amazon. I'll tell you, you will never see that."}, {"path": "tedlium_1204.wav", "duration": 14.34, "text": "cardiac and musculoskeletal opportunities. And finally, both the Federal and state governments have focused on the epidemic of opioid abuse, which we believe will increase the demand for a unique expertise in this area."}, {"path": "tedlium_1205.wav", "duration": 14.34, "text": "but did the cement price sequentially -- did you achieve rising prices through the year or is this year the year you need to get a decent step up in cement prices? And for you guys, which is the bigger cost, electricity or fuel?"}, {"path": "tedlium_1206.wav", "duration": 14.34, "text": "will increase as we gain scale. However, that doesn't necessarily mean that this will improve the company's margin because as I usually say,"}, {"path": "tedlium_1207.wav", "duration": 14.34, "text": "On October 1, we closed our acquisition of Priamus System Technologies. Priamus is a technology leader in the development of advanced process control systems for the plastic injection molding industry."}, {"path": "tedlium_1208.wav", "duration": 14.34, "text": "that the development itself is -- the scale of the development is pretty impressive. And you'll start to see the results that our producers are seeing out there. It seems like every quarter they're upgrading their tight curves and they're showing a much better"}, {"path": "tedlium_1209.wav", "duration": 14.34, "text": "to choreograph these massive industrial systems during these peak seasons. We will begin literally the day after New Year's planning for next peak season."}, {"path": "tedlium_1210.wav", "duration": 14.34, "text": "For the year, 10% of our new and used home sales were existing renters buying the home they were living in, and an additional 5% of our sales were from customers who were already living in the community and chose to purchase a different home in the community."}, {"path": "tedlium_1211.wav", "duration": 14.34, "text": "New projects has not been approved in the last 5 years we had 5 years in which each year, prices were lower than the prior ones. So this is the year where we have changed this trend."}, {"path": "tedlium_1212.wav", "duration": 14.34, "text": "We'll then conclude by providing an update on our overall business outlook. The first quarter of fiscal 2017 started out strong and right in line with our expectations. We were very pleased with our revenue and profitability growth, which reflected the continued successful execution"}, {"path": "tedlium_1213.wav", "duration": 14.34, "text": "Cash flow before financing activities is expected to be positive this year, but lower than 2016. Over the past several years, the pace of new Kitchen Collection store openings has slowed and the number of store closings has increased."}, {"path": "tedlium_1214.wav", "duration": 14.34, "text": "Chris Sheppard is always quick to remind us that safety is a journey rather than a destination. It's a point that we'll never forget as we continue on the path of eliminating all injuries from our mines. Now"}, {"path": "tedlium_1215.wav", "duration": 14.34, "text": "And we attribute it to be the money that we spend on capital equipment. We've got excellent quality that is going out, I think much better than many of our competitors do because they haven't spent the money on newer equipment."}, {"path": "tedlium_1216.wav", "duration": 14.3399375, "text": "Regarding the use of non-GAAP financial measures. A reconciliation of each used non-GAAP financial measure to its most comparable GAAP financial measure was provided in yesterday's earnings release and is included in this morning's presentation material."}, {"path": "tedlium_1217.wav", "duration": 14.3399375, "text": "Our investments in people, product and new corporate sales initiatives are beginning to pay off. And when combined with our new revenue management tools, changes to our AAdvantage program and our new mobile platform, the results are even more encouraging."}, {"path": "tedlium_1218.wav", "duration": 14.31, "text": "that, under the rules here, we would match cost through amortization, the mask cost against future production when we go into production usually a few months away from initial mask, final mask set"}, {"path": "tedlium_1219.wav", "duration": 14.31, "text": "Some people could obviously do some algebra and calculate a rough approximation, but obviously, we're sensitive on disclosing that to the public at this point in time, but we've never disclosed it."}, {"path": "tedlium_1220.wav", "duration": 14.31, "text": "we're under no stress or urgencies to make -- urgency to make that decision with all the -- the lack of clarity at this point. Obviously this is something that the board reviews on an ongoing basis, and we'll continue to monitor going forward."}, {"path": "tedlium_1221.wav", "duration": 14.31, "text": "there's a significant opportunity to drive growth based on volume. And again, the clinical trials that we've designed are specifically addressed to look at those patient subpopulations where Acthar potentially can offer"}, {"path": "tedlium_1222.wav", "duration": 14.31, "text": "primarily the result of the adoption of the new accounting standard which requires the excess tax benefit associated with vested or exercised stock awards to be included in the determination of the effective tax rate each reporting period."}, {"path": "tedlium_1223.wav", "duration": 14.31, "text": "The increasing reserves in some businesses seems to indicate that there has been a certain relaxation in subscription criteria and provisioning. What measures will be taken to control the subscription policies at these various subsidiaries?"}, {"path": "tedlium_1224.wav", "duration": 14.31, "text": "I am extremely proud of our employees. Thanks to their efforts, we overcame the challenges raised by the hurricanes to achieve strong financial results and accomplish important milestones."}, {"path": "tedlium_1225.wav", "duration": 14.31, "text": "The scale of these operations is accurately described as gigantic. Without any meaningful government support, these operations are directly exposed to market forces and must rely heavily on technological innovation to remain competitive."}, {"path": "tedlium_1226.wav", "duration": 14.31, "text": "the month the inventory was made, and think of 5 months ago maybe as when the inventory was translated. So you get actually a benefit sequentially from -- in the short term from a strengthening dollar."}, {"path": "tedlium_1227.wav", "duration": 14.31, "text": "Also, as I mentioned last quarter, we are currently having discussions with a number of banks to obtain a larger and more flexible credit facility. Our goal is to have something in place by the end of fiscal Q3. I'll now turn the call over to Ted."}, {"path": "tedlium_1228.wav", "duration": 14.31, "text": "So that has not been a fact from the Gulf Coast. And so we are -- the trend seems to be drawing down in the harbor, we're not seeing any more imports up there, and"}, {"path": "tedlium_1229.wav", "duration": 14.31, "text": "We're also excited about the possibility for rising interest rates and potentially lower taxes. And I'll share some comments on each of those items in a minute. But before I do that, let's go through our fourth quarter results. So to summarize,"}, {"path": "tedlium_1230.wav", "duration": 14.31, "text": "Turning to cash flow. We expect to continue to generate strong cash flow and to exercise discipline over capital allocation, with prudent reinvestment into the business and the majority of our free cash flow returned to shareholders."}, {"path": "tedlium_1231.wav", "duration": 14.31, "text": "But we really -- my thinking is this is based on the strength of our Siding business. We see that stable earnings and stable cash flow generation as a means to reliably fund the dividend in the future."}, {"path": "tedlium_1232.wav", "duration": 14.31, "text": "The third pillar of our strategic plan is to extend our leadership position in the global learning market by growing content sales of our new regional and industry-based content subscriptions."}, {"path": "tedlium_1233.wav", "duration": 14.31, "text": "I think the one where we still benefit a lot from an inorganic component on the retail side is in Germany, where we've acquired a larger chain with 50 stores, which was still fully in the inorganic side."}, {"path": "tedlium_1234.wav", "duration": 14.31, "text": "For those of you who may be new to our story, ATLAS is our proprietary antigen identification platform that, we believe, enables us to know rather than predict the right neoantigens for each patient."}, {"path": "tedlium_1235.wav", "duration": 14.31, "text": "I'm reading that you will decide on the second half of this year on this matter. Previously, it was communicated it will be in May. So are there any delays in that project?"}, {"path": "tedlium_1236.wav", "duration": 14.31, "text": "The company cautions that such statements are necessarily based on certain assumptions, which are subject to risks and uncertainties which could cause actual results to differ materially from those indicated today."}, {"path": "tedlium_1237.wav", "duration": 14.31, "text": "We have a few tech clients that the product adoption and the uptake on purchasing isn't where they thought it would be. And so that's a little slower. Same kind of muted experience across a few of our retailers."}, {"path": "tedlium_1238.wav", "duration": 14.31, "text": "Kentucky. But your U.S. utility growth rate puts you kind of well above the norm for traditional utilities. Can you talk about some of the other drivers of that besides those 2 items I referenced?"}, {"path": "tedlium_1239.wav", "duration": 14.31, "text": "And then I think one of the standouts over the last 12, 18 months has been the balance sheet remediation that you've delivered. Beyond the obvious things, I was wondering just if you could give us some ideas, your thoughts as to what the benefits of that are to the business"}, {"path": "tedlium_1240.wav", "duration": 14.31, "text": "We'll utilize these technologies, not only to simply reduce costs, but also to innovate products and services and support human resource development. This will lead to increased revenue and improve basic quality."}, {"path": "tedlium_1241.wav", "duration": 14.31, "text": "and 4 of the participants are new entrants to our sector. They see National MI as an attractive partner for their first domestic MI treaty, and we expect they will be receptive to future transactions with us."}, {"path": "tedlium_1242.wav", "duration": 14.31, "text": "and specifically, individual wireless subscribers who buy off a company plan have been moved from Business Solutions to Consumer Mobility. Historical financials have been recast to reflect that change."}, {"path": "tedlium_1243.wav", "duration": 14.31, "text": "people actually believe that they will work. And they realize there's an opportunity there with heat. I spent the early part of this week with 2 chief executives in different parts of the country looking at the potential for heat offtakes in 2 of our facilities."}, {"path": "tedlium_1244.wav", "duration": 14.31, "text": "As a consequence, the vast majority of sales in Japan were U.S. dollar-denominated. Sales outside of Japan were consistent with last year as growth in Brazil was offset by modest declines in other markets."}, {"path": "tedlium_1245.wav", "duration": 14.31, "text": "within the present served market by doing activities such as we had announcement in China that we didn't specifically talk about in this call because no specific progress was made, no material"}, {"path": "tedlium_1246.wav", "duration": 14.31, "text": "We also believe that by combining with MTY, Imvescor shareholders will realize immediate value and have increased exposure to growth with less risk."}, {"path": "tedlium_1247.wav", "duration": 14.31, "text": "If I could follow up on that. Just theoretically, as your business model shifts more towards service or reoccurring revenue stream that Hubert outlined at the Investor Day, would that imply that you could maintain a lower cash balance than historically on the balance sheet?"}, {"path": "tedlium_1248.wav", "duration": 14.31, "text": "interesting to note that when we reduce prices on faster tiers, ARPU actually goes up because selling goes up and our already low churn is going lower."}, {"path": "tedlium_1249.wav", "duration": 14.31, "text": "Elsewhere, Windsor net sales declined double digit as it continued to suffer from the category decline in Korea, and Old Parr performance was impacted by the tax regulation changes in Colombia that I mentioned earlier."}, {"path": "tedlium_1250.wav", "duration": 14.31, "text": "And so I want to choose my words carefully because you never want to put yourself in a position where you regret what you say. But I think that the difference -- if you -- let me put it this way. If you look at the difference in end market pricing today"}, {"path": "tedlium_1251.wav", "duration": 14.31, "text": "As always, our overall guidance reflects current FX rates, and our results may be materially affected by various factors, including a high level of uncertainty surrounding the global economy and consumer spending as well as exchange rate fluctuation."}, {"path": "tedlium_1252.wav", "duration": 14.31, "text": "We already have encouraging objective responses in patients with these very advanced metastatic cancers who have failed multiple prior therapies, including the new immune checkpoint inhibitors in some."}, {"path": "tedlium_1253.wav", "duration": 14.31, "text": "Like many businesses of our type and size, we are much better at buying than we are at sourcing, we are much better at engineering for function than we are at optimizing for both function and cost,"}, {"path": "tedlium_1254.wav", "duration": 14.31, "text": "To summarize, we are excited by the innovation happening at Cemtrex. In all of our divisions, we are taking our services and products to the next level. We are pleased with the brand we have developed thus far and look to increase our awareness moving forward."}, {"path": "tedlium_1255.wav", "duration": 14.31, "text": "So as a result, for the merchants that we can incrementally start generating more revenue from an existing merchant. And I will also throw -- because you said quantify it -- I'd be able to quantify some as well."}, {"path": "tedlium_1256.wav", "duration": 14.31, "text": "Because we must respect the board's responsibilities and the detailed nature of this process, we will not be commenting on potential successors or the timing related to any forthcoming announcements on this matter."}, {"path": "tedlium_1257.wav", "duration": 14.31, "text": "Our legal entity consolidation has made significant progress and the complex registration transfer process is moving along nicely as well. I feel very good about the remaining synergy opportunities on both sides of the business."}, {"path": "tedlium_1258.wav", "duration": 14.31, "text": "the percentage of automation that each process needs and the volume that we're going to require. So I actually don't anticipate an unusual increase in CapEx. I think a lot of the CapEx, we've actually already paid for, quite frankly."}, {"path": "tedlium_1259.wav", "duration": 14.31, "text": "we think this business can produce pretty good cash over time as we grow. So I think it's more of a statement from our perspective of the value of the business model at the moment."}, {"path": "tedlium_1260.wav", "duration": 14.31, "text": "Sure. And final question for me. Can you talk about the financial health of your airline customers? And how many airlines do you have currently in your watch list, and how many airplanes could be at risk within that watch list?"}, {"path": "tedlium_1261.wav", "duration": 14.31, "text": "And the key to this molecule is that, it also shows a relatively potent antagonist that feature towards the prostate. And so the plan here is to develop a Phase II or to start a Phase II study"}, {"path": "tedlium_1262.wav", "duration": 14.31, "text": "As Diane said earlier, we're confident in our ability to deliver consistent, profitable and sustainable growth through the continued execution of our strategy, and we will continue to invest in our brands, our infrastructure and our people."}, {"path": "tedlium_1263.wav", "duration": 14.31, "text": "Got it, that's helpful. And then the second question I had relates to kind of a more general question. I think one of the things that we're seeing that's really fascinating about the industry and the stocks right now is"}, {"path": "tedlium_1264.wav", "duration": 14.31, "text": "Let me close with our outlook. We entered the final quarter of 2018 with momentum supported by array of favorable market trends and internal initiatives that should bode well for us in 2019 and beyond."}, {"path": "tedlium_1265.wav", "duration": 14.31, "text": "Turning to 2019, as Jim highlighted, the coming year will be an opportunity for the investment community to see accelerating results from the work that has been done over the last 3 years to create a platform positioned to take full advantage of the opportunity embedded in this portfolio."}, {"path": "tedlium_1266.wav", "duration": 14.31, "text": "at our Investor Day on June 7. When we last spoke, I shared with you how I spent my first 3 months in the role, my initial observations and a rough outline of my approach to building the growth plan for this great company."}, {"path": "tedlium_1267.wav", "duration": 14.31, "text": "The impact of the benefits from the revenue synergies and cost programs will grow in 2017, and we feel we've made very good progress against all of our objectives. So let me highlight some of these accomplishments in more detail."}, {"path": "tedlium_1268.wav", "duration": 14.31, "text": "There's rarely a day that goes by where we don't hear from some customer that's interested in doing something. And we've tried to use those opportunities to start to push the price up a little bit."}, {"path": "tedlium_1269.wav", "duration": 14.2800625, "text": "With clinical momentum growing ever stronger, our robust financial position allows us to conduct and complete all of the trials that we discussed today"}, {"path": "tedlium_1270.wav", "duration": 14.28, "text": "Margins have improved across the group as a whole by 50 basis points, the largest single improvement of which has been in Plastics, where the benefit of the restructuring that we've been undertaking for the last 18 months is showing benefit."}, {"path": "tedlium_1271.wav", "duration": 14.28, "text": "in both of those areas. And what we try to do is we try to align the investment with the revenue levels. It's a bit of a subjective call for us, but we try not to get out ahead of the revenue."}, {"path": "tedlium_1272.wav", "duration": 14.28, "text": "The aim of this, there are two. One is we would like to swiftly, strongly and flexibly make the future. In order to do so, we need to be more agile. Therefore,"}, {"path": "tedlium_1273.wav", "duration": 14.28, "text": "As we mentioned in our press release, we anticipate sales growth in the range of 2% to 4%. As always, this reflects a number of assumptions, including about 3 points of incremental sales growth from new products,"}, {"path": "tedlium_1274.wav", "duration": 14.28, "text": "a little bit mismatched, if you will, relative to the downstream takeaway option. So obviously, you've got the opportunities for Comanche Trail and TransPecos, but is there a bigger opportunity for you to move some of those volumes possibly to the south or southeast?"}, {"path": "tedlium_1275.wav", "duration": 14.28, "text": "ability for consumers from the noise that's been around the whole lending area driven by Royal Commissions is going to mean that it's going to take a little bit of time to convince consumers that they're going to"}, {"path": "tedlium_1276.wav", "duration": 14.28, "text": "In Europe, there have been signs that the effects of the transformation are beginning to come into view, including orders beginning to pick up. And we are strengthening progress management to ensure that those results arrive."}, {"path": "tedlium_1277.wav", "duration": 14.28, "text": "Inside Japan, as revenues continued to be generated at high levels, our profitability management for certain projects, primarily for replacing competitor services, turned out to be insufficient."}, {"path": "tedlium_1278.wav", "duration": 14.28, "text": "Now on to the results. Yesterday after the market closed, we released our second quarter 2016 results. Sales for the second quarter of 2016 were a record for any quarter while earnings and earnings per share were second quarter records."}, {"path": "tedlium_1279.wav", "duration": 14.28, "text": "were up 35%. Margins were strong, again aided by lower copper prices, although that benefit has been diminishing as copper prices have risen somewhat over the past 60 days, and the relative benefit compared to the prior year's quarters has decreased."}, {"path": "tedlium_1280.wav", "duration": 14.28, "text": "Well, the fee levels are essentially consistent across the programs. There's some variability that the adviser is able to charge based on the level of services provided."}, {"path": "tedlium_1281.wav", "duration": 14.28, "text": "Seeing many of the folks who started in this business started with a business model, which fundamentally did not comply with law in most -- in many, I should say, cities and states and countries."}, {"path": "tedlium_1282.wav", "duration": 14.28, "text": "However, this improvement process is proving to take more time to implement than we anticipated. And it is also evident that some more time will be required before we can see the benefit of"}, {"path": "tedlium_1283.wav", "duration": 14.28, "text": "And if so, would you like to tell us how much you're running ahead? And then secondly was just on the academic business. I know that the GAP investment was never particularly skewed"}, {"path": "tedlium_1284.wav", "duration": 14.28, "text": "This amendment will be filed on Form 8-K in the next several days. It provides for improved required maximum leverage covenant levels. Under the original agreement, the leverage covenant maximum level,"}, {"path": "tedlium_1285.wav", "duration": 14.28, "text": "As a result of the higher policy obligations, we now estimate that the underwriting margin percentage for our Direct Response operations will be in the range of 17% to 19% for the year."}, {"path": "tedlium_1286.wav", "duration": 14.28, "text": "this quarter, second quarter. So I think it's a little premature to put numbers on it and model it, but it's, again, a significant additional step that we're taking to try to improve"}, {"path": "tedlium_1287.wav", "duration": 14.28, "text": "This media campaign continues our work from last fall, incorporating digital, outdoor and radio channels as well as our first foray into television advertising."}, {"path": "tedlium_1288.wav", "duration": 14.28, "text": "serving not only Safran but also some of their suppliers. Our German business has benefited from strong turnaround activity, and our U.K. business has rebounded and is showing significant improvement compared with prior year."}, {"path": "tedlium_1289.wav", "duration": 14.28, "text": "so we will not be having too much exposure to that. So we focus more on the European business. We will expect further growth only after we get the new capacities to come up to steam."}, {"path": "tedlium_1290.wav", "duration": 14.28, "text": "We also expect to open this year a global manufacturing and technology operations and innovation center. We're currently finalizing our evaluation of locations for that center"}, {"path": "tedlium_1291.wav", "duration": 14.28, "text": "Our successful High Street strategy remains unchanged. We continue to deliver on our margin growth and cost savings with more to go, and we'll continue to work on how we use our space to best deliver the strategy."}, {"path": "tedlium_1292.wav", "duration": 14.28, "text": "previously built in completely that Viewpoint and e-Builder acquisitions were already completely in. And then I guess more broadly, and I think you've kind of touched on it already with what you're looking at for transportation, et cetera, but"}, {"path": "tedlium_1293.wav", "duration": 14.28, "text": "it doesn't belong to us. We have the shares in a trust so the regulator in Israel haven't gave us the control permit. So we maintain the shares in a trust"}, {"path": "tedlium_1294.wav", "duration": 14.28, "text": "Higher volumes from the merchant and contractor remodel channels were offset by softness in the builder channel, due in part to continued general weakness amongst the top U.K. builders, which comprise the majority of our revenues in this channel."}, {"path": "tedlium_1295.wav", "duration": 14.28, "text": "again, the -- 2018 the way it was laid out, our ability to spend this additional amount of money in technology. And if you work through the math, the effect on -- the effect of tax"}, {"path": "tedlium_1296.wav", "duration": 14.28, "text": "We strongly believe that revenue monetization on both advertisement and subscription front is going to be driven by providing excellent quality content. We aim to further enhance our offering across platforms going forward."}, {"path": "tedlium_1297.wav", "duration": 14.28, "text": "More specifically, in AMS, we expect continued sales momentum and improved margins as a result of pricing actions, potentially moderating resin costs and benefits from the Austin closure."}, {"path": "tedlium_1298.wav", "duration": 14.28, "text": "Likewise, in Latin America where we've had this substantial business over the years, and we've been increasing our sales representation in Latin America and certain countries in South America."}, {"path": "tedlium_1299.wav", "duration": 14.28, "text": "most of the changes that we've made up to this point or all of the changes that we've made up to this point apply to both qualified and nonqualified accounts. So even if the SEC comes out with something, that is not a big pivot for us based on how we've approached it."}, {"path": "tedlium_1300.wav", "duration": 14.28, "text": "and we will follow on with our strategies to grow the company. Once again, thank you very much. And we are available for any future questions you might have. Have a nice day."}, {"path": "tedlium_1301.wav", "duration": 14.28, "text": "With that, I'll turn it over to Tom Graney. Thanks, Tom. I will spend the last few minutes highlighting a couple of recent corporate updates as well as reviewing our third quarter financial results and guidance."}, {"path": "tedlium_1302.wav", "duration": 14.28, "text": "We are providing this information to enable investors to perform a more meaningful comparison of our operating results in a manner similar to management's analysis of our business. Lastly, this call is also being webcast and a replay will be available on our website for 2 weeks. And"}, {"path": "tedlium_1303.wav", "duration": 14.28, "text": "we think about the bottom line just as much as we think about the top line. And so therefore, we're going to look at cost and we're going to look at our suppliers to help us invest in the future business. And the reaction from the suppliers has been broadly very positive."}, {"path": "tedlium_1304.wav", "duration": 14.28, "text": "We are capitalizing on increased content opportunities in infotainment, safety and battery management systems and winning designs by providing high-performance products to a broad range of customers."}, {"path": "tedlium_1305.wav", "duration": 14.28, "text": "in-depth about what your current capacity and utilization of assets? And how you expect that to change over the coming years? And what are the major projects you have in terms of increasing capacity over the next couple of"}, {"path": "tedlium_1306.wav", "duration": 14.28, "text": "payer industry is evolving in terms of the request that they have in terms of supporting a claim for reimbursement. So we have to be out ahead of that. We're not reacting to it but being proactive in working with them"}, {"path": "tedlium_1307.wav", "duration": 14.28, "text": "Any decisions regarding possible financing will take into consideration these factors as they exist at such time as well as the capital needs to ensure a clear path forward for the company's development program."}, {"path": "tedlium_1308.wav", "duration": 14.28, "text": "September, I would expect that their sales will probably pretty much stay where we have forecast them. But I think they're -- they will start to"}, {"path": "tedlium_1309.wav", "duration": 14.28, "text": "snowing virtually everywhere in Central Canada. So, I think the commentary we provided at the time is that we saw real strong shipments in the December time frame. And if you remember coming out of Q1, that was one of the big"}, {"path": "tedlium_1310.wav", "duration": 14.28, "text": "With that, today's call is about our financial and operational results for the first quarter and our outlook. I ask that you please keep your questions focused on our first quarter results."}, {"path": "tedlium_1311.wav", "duration": 14.28, "text": "The First Interstate brand still has a strong awareness and a good reputation in Oregon, Washington and Idaho. And we expect to effectively capitalize on the brand recognition to grow the customer bank -- customer base in these markets."}, {"path": "tedlium_1312.wav", "duration": 14.28, "text": "Several factors that could cause or contribute to such differences are described in detail in the Risk Factors section of the Clean Energy's Form 10-Q filed May 5, 2016. These forward-looking statements speak only as of the date of this release."}, {"path": "tedlium_1313.wav", "duration": 14.28, "text": "We have strong plans for the second half as the up-weight of marketing investment against proven brand plans continues, plans which have been driving improvement in brand equity and category share gains."}, {"path": "tedlium_1314.wav", "duration": 14.28, "text": "We also saw Installation Services were additive to sales. We believe Installation Services helps us improve our brand and increases our access to a wider customer market. We"}, {"path": "tedlium_1315.wav", "duration": 14.28, "text": "acquisitions in markets that you're in that are doing well? Or do you lean towards being contrarian in markets that are underperforming in the hopes of getting a deal in advance of a turnaround at some point?"}, {"path": "tedlium_1316.wav", "duration": 14.28, "text": "We will dense the future by then bringing fiber to our customers by using the digital platforms and applications for better service and by developing meaningful innovations in partnership with start-ups."}, {"path": "tedlium_1317.wav", "duration": 14.28, "text": "And as we continue attacking the dimensions of our strategic pillars, product, story, service and team, our foundation has become stronger, and our ability to execute more successfully is getting momentum."}, {"path": "tedlium_1318.wav", "duration": 14.28, "text": "And at the end of the day, we have in that market, as well, the income of our discounters that are selling their own private labels as well at lower prices. I think that is"}, {"path": "tedlium_1319.wav", "duration": 14.28, "text": "Encompass also added to its portfolio in the quarter with the acquisition of 2 home health and 2 hospice agencies in the greater Atlanta market and the opening of 1 home health agency in the New Port Richey, Florida market."}, {"path": "tedlium_1320.wav", "duration": 14.28, "text": "Is that correct in your plan? Which segment has low progress, for example? So if you could give me some nuance or image, please."}, {"path": "tedlium_1321.wav", "duration": 14.28, "text": "Yes. Well, the expansion is around the different -- we're doing multiple processes, multiple shoes and multiple initiatives. Not only are we building shoes and volume on a regional basis to respond to a regional marketplace in terms of"}, {"path": "tedlium_1322.wav", "duration": 14.28, "text": "taken into account kind of the conversations you're having with your customers at this point and you sort of touched on this a little bit, but what does that suggest to you about the prospects for advanced technology to generate organic growth"}, {"path": "tedlium_1323.wav", "duration": 14.28, "text": "probably be the case. I would find it hard to understand why anybody would do a non-RemoPro version of treprostinil when there was the RemoPro version available."}, {"path": "tedlium_1324.wav", "duration": 14.28, "text": "We transitioned away from a regionally focused operation to a globally managed network, expanding capacity and significantly reducing delivery lead times of critical high-value products."}, {"path": "tedlium_1325.wav", "duration": 14.28, "text": "this was just one facility. Right. Just one facility. So it seems as if you're trying to sort of maximize the efficiencies of each of the groups. And I know you guys are excited about the Color group. I know you see the inkjet market"}, {"path": "tedlium_1326.wav", "duration": 14.28, "text": "We are in active discussions and would expect a significant order in Q4. This is a prime example of how uncertainty around the renewal of the production task credit disrupts the supply chain."}, {"path": "tedlium_1327.wav", "duration": 14.28, "text": "The results that you described, the strong results are a combination of strong recruiting as well as strong licensing simultaneously. And that's some of those fundamental support systems we've worked on over the years to create that."}, {"path": "tedlium_1328.wav", "duration": 14.28, "text": "reliable and profitable production in the coming quarters. So I'll now hand over to Alister to provide some additional color on the third quarter financial results."}, {"path": "tedlium_1329.wav", "duration": 14.28, "text": "And what's important is not just the feedback loop, but when you create a revenue stream to support a particular group, whether it's our equity team or this new group or the portfolio management group, you are"}, {"path": "tedlium_1330.wav", "duration": 14.28, "text": "We will be agnostic to whether we find innovation internally or externally. The goal is to continue our tradition of applying our deep scientific expertise as we aim to discover and develop the very best medicines for patients."}, {"path": "tedlium_1331.wav", "duration": 14.28, "text": "with the expectation that those proceeds will be reinvested in properties with improved growth prospects. On that note, we have continued to identify and act upon opportunities to upgrade our portfolio since the new year began."}, {"path": "tedlium_1332.wav", "duration": 14.28, "text": "We expect that to continue into the fourth quarter. And what we are trying to do to address that issue is to increase our cake milling capacity to convert the cake into powder. And once it's converted into powder, you can liquidate it far more easily."}, {"path": "tedlium_1333.wav", "duration": 14.28, "text": "to mitigate the volatile factors that impact our industry and are beyond our control. We are proud of the exceptional execution by our managers in the field. Our effective working capital management and consistent gross profit margins"}, {"path": "tedlium_1334.wav", "duration": 14.28, "text": "Our business model positions us well to increase our market share in the current environment as our customers typically place orders for smaller quantities on a more frequent basis when metal prices are declining."}, {"path": "tedlium_1335.wav", "duration": 14.25, "text": "We look forward to sharing our progress as we build this company to becoming a pure-play multi-technology dermatology company and achieving our purpose of relentless passion for healing. And thanks again."}, {"path": "tedlium_1336.wav", "duration": 14.25, "text": "Just as many millions of Canadians have added PayPal to their financial wallets, our strategy is to give all Canadians a compelling reason to add Mogo to their financial wallet, by giving them value and utility they're not getting from their current financial providers and making it easy to do so,"}, {"path": "tedlium_1337.wav", "duration": 14.25, "text": "As far as how long does it take for a customer to go from a low-volume utilization to high-volume utilization, it is all about reimbursement."}, {"path": "tedlium_1338.wav", "duration": 14.25, "text": "and then managing the net price realization, because somewhere there is a satisfaction at the customer end when you get a higher discount. So we will have to raise prices and then we have to give a higher discount and that is the basis on which we are going about it."}, {"path": "tedlium_1339.wav", "duration": 14.25, "text": "potentially requiring some technology customization. As we've expanded our reach and introduced the SDK, the number of whales in our ocean is expanding, making us less dependent on any single partnership."}, {"path": "tedlium_1340.wav", "duration": 14.25, "text": "I couldn't clearly understand why it is done by Chugai. Working together or business integration with Roche Diagnostics may be considered in the foreseeable future. Will"}, {"path": "tedlium_1341.wav", "duration": 14.25, "text": "We would like to thank you today for your participation in our first quarter earnings call. We thank you for your support and interest in Genuine Parts Company, and we look forward to reporting out our second quarter results in July. Thank you, and have a great day."}, {"path": "tedlium_1342.wav", "duration": 14.25, "text": "with the space around. I think it's a very long tail business. We are talking of a very large base of assets all of which will probably be available over the next 6 to 12 months really. So we are patiently going ahead with that, really."}, {"path": "tedlium_1343.wav", "duration": 14.25, "text": "And sure, in years where there's been strong movement in the capital markets across the board, we take time to walk our clients through our portfolios and our net returns that we walk -- that we deliver for them."}, {"path": "tedlium_1344.wav", "duration": 14.25, "text": "Can you give us some sense of what the rate of growth was in the ROADM business quarter-to-quarter? It looks to me as I play with the numbers that it was very steep. And I'm looking at the guide, and I'm thinking,"}, {"path": "tedlium_1345.wav", "duration": 14.25, "text": "Dialysis in China has been experiencing double-digit growth in recent years due to promulgation of a new reimbursement system called Severe Disease that makes dialysis reasonably affordable for most patients in major cities."}, {"path": "tedlium_1346.wav", "duration": 14.25, "text": "So if you just like to turn to Slide 4 now, and if we just consider the underlying results for a moment, you'll see how Fleetwood's results have moved over the last 4 years. And while I mentioned revenue and EBIT a moment ago,"}, {"path": "tedlium_1347.wav", "duration": 14.25, "text": "I am particularly excited to have announced the acquisition yesterday of the SIA Snow Show, the leading national ski and snowboard B2B trade show, expanding and strengthening our position within the outdoor sports and recreation sector."}, {"path": "tedlium_1348.wav", "duration": 14.25, "text": "Was that a property that you were interested in and you didn't want to pay as much as they paid? Or was that just not a property that interested you at all?"}, {"path": "tedlium_1349.wav", "duration": 14.25, "text": "As a result of discussions with parties related to the decommissioning of the project, including the local government, the partner towards whom we provided guarantees is to receive tax refunds, which enabled us to reverse the provision made earlier."}, {"path": "tedlium_1350.wav", "duration": 14.25, "text": "There is now a strong opportunity for doing a turnaround of this situation as we are now applying in the country all the profitability protection policies we have successfully implemented in Europe."}, {"path": "tedlium_1351.wav", "duration": 14.25, "text": "come through yet in a incredibly meaningful way what could happen with some of our end markets with some booster shots related to infrastructure spending. So I'm excited about"}, {"path": "tedlium_1352.wav", "duration": 14.25, "text": "We believe that these non-GAAP financial measures assist management and investors in evaluating our performance and preparing period-to-period results of operations in a more meaningful and consistent manner as discussed in greater detail in the supplemental schedules to our earnings release."}, {"path": "tedlium_1353.wav", "duration": 14.25, "text": "steel trackers that are negotiated because that is a viable commodity. And on a long lead time project, you're not sure what it's going to be when you get there. We have gone from having steel trackers, we've done some preorders, we've done a variety of things, and"}, {"path": "tedlium_1354.wav", "duration": 14.25, "text": "is still a strategic element to work out. So I don't have firm guidance on that right now. But ultimately, because we view it as more likely that it will be in combination, we do -- we will be"}, {"path": "tedlium_1355.wav", "duration": 14.25, "text": "Yes, Julian, that's -- and I'll just put it in perspective. We've had that particular item being noticeably negative on our margin for the first 3 quarters of this year. And getting that to be neutral for us for the fourth quarter"}, {"path": "tedlium_1356.wav", "duration": 14.25, "text": "of the regulated business is to continue to invest. And as mentioned by Jean-Marc, it's one of the reasons why we decided to get a partner in order to have more financial flexibility"}, {"path": "tedlium_1357.wav", "duration": 14.25, "text": "is absolutely critical. It's absolutely critical. We have great people in this organization. I don't need a wholesale change of leadership or folks in the organization. I have confidence in the team. What we need to do is to create a framework"}, {"path": "tedlium_1358.wav", "duration": 14.25, "text": "In addition, we're opening up a store in lower Manhattan and in Brickell. So I think as we continue to upgrade our Saks locations and the quality of our Saks stores, that also is important for our brand."}, {"path": "tedlium_1359.wav", "duration": 14.25, "text": "This, together with the enhanced partnership with Phoenix, makes us confident that this will be reflected inflows over time. There's still work to be done, but the foundations are in place for a modern dynamic,"}, {"path": "tedlium_1360.wav", "duration": 14.25, "text": "And one of the pieces is definitely just what commercial loans and the way they pay every day and the month matters. And so February cost us a couple of basis points every first quarter"}, {"path": "tedlium_1361.wav", "duration": 14.25, "text": "The progress we've made on our capital cost structure, operational cost structure and overall capital efficiency these last 3 years during the downturn has been phenomenal. EOG has never been more efficient in its history."}, {"path": "tedlium_1362.wav", "duration": 14.25, "text": "So I guess the question is, how do you -- or how should we think about the ROI on all these reinvestments? Is this just simply -- is this just symptomatic of a higher cost of growth structurally as you work through changes at the retail and consumer level?"}, {"path": "tedlium_1363.wav", "duration": 14.25, "text": "that cadence. What also affects that ramp rate is the number of different services that we offer. So right now, we're offering about 5 to 6 unique types of services, and we have programs in the pipeline that are coming. So each one of those"}, {"path": "tedlium_1364.wav", "duration": 14.25, "text": "And so I would say the current consensus is probably a little bit below what we establishes our budget number back in October, so I'd say there's a little downside to that. I don't think it will materially impact"}, {"path": "tedlium_1365.wav", "duration": 14.25, "text": "which has driven and we expect will continue to drive faster and more efficient implementations. Also, please know a large majority of Q4 services revenue is expected to come from -- from our backlog of services"}, {"path": "tedlium_1366.wav", "duration": 14.25, "text": "I don't foresee any significant other changes on that level. I think it's fair to say that over the last 12 months, we have made some new assignments on people who are leading countries,"}, {"path": "tedlium_1367.wav", "duration": 14.25, "text": "One of these challenges is supporting the increasingly complex disabled and elderly populations, which includes a rise in the number of elderly people who face functional and cognitive limitations."}, {"path": "tedlium_1368.wav", "duration": 14.25, "text": "The effective tax rate in the third quarter of 2017 was lower than the federal statutory rate of 34%, primarily due to the impact of foreign tax rates and permanent differences between book and tax income."}, {"path": "tedlium_1369.wav", "duration": 14.25, "text": "Before we begin the call today, I would like to remind you that forward-looking statements made during today's conference call do not account for future economic circumstances, industry conditions, company performance and financial results."}, {"path": "tedlium_1370.wav", "duration": 14.25, "text": "So clearly, interim analysis ongoing. When I talk to your corporate communications person, I was told that an independent monitoring board would inform you that"}, {"path": "tedlium_1371.wav", "duration": 14.25, "text": "The final rule was just published last Friday, October 23, and the final impact of the rule will note not be known until the state implementation plan or the state's specific federal implementation plan has been developed."}, {"path": "tedlium_1372.wav", "duration": 14.25, "text": "During the first quarter of 2017, the prior owner successfully negotiated the settlement of these matters at amounts that were less than previously estimated. As a result, our exposure to those matters was eliminated."}, {"path": "tedlium_1373.wav", "duration": 14.25, "text": "Because of the size of uplift, we are tracking it separately. We said we'll do this and we're going to call out the numbers separately. And when you get to the segmental piece, you'll see both before and after, and here we just kept it at the before Project Uplift."}, {"path": "tedlium_1374.wav", "duration": 14.25, "text": "Yes. So I want to correct you on one thing. We don't give guidance, so it was a target and an aspirational target that we've actually worked towards and sustained. And so we really don't want to get into the thought process that this is guidance."}, {"path": "tedlium_1375.wav", "duration": 14.25, "text": "considered some of the, what I'll call industry shortages when it comes to components and looked at this might be a good time to execute, refresh. And we certainly saw that in both our notebook and our desktop. I think that was"}, {"path": "tedlium_1376.wav", "duration": 14.25, "text": "Tony, just moving on beyond Swan and Macassa, it was interesting to note in the reserve update that you noted that you're not really doing much drilling at Holt right now, just given the royalties."}, {"path": "tedlium_1377.wav", "duration": 14.25, "text": "With the promise to provide innovative and robust products and improved responsiveness taking root, we look to further develop our Midwest channel and begin expanding our indirect channel into additional regions of the country within"}, {"path": "tedlium_1378.wav", "duration": 14.25, "text": "I'd now like to discuss our guidance for the full year and the first quarter of 2019. The guidance we are providing today is in line with the preliminary outlook we provided in October when we reported our third quarter results."}, {"path": "tedlium_1379.wav", "duration": 14.25, "text": "In this quarter, I'm pleased to report that our commercial efforts have paid off in positive growth pretty much across the board. At the same time, I am disappointed that our underlying productivity did not fully translate to the bottom line."}, {"path": "tedlium_1380.wav", "duration": 14.25, "text": "Brian will go into more detail in the quarter and our full year guidance momentarily. Before I turn the call over to him, I'll give a bit of color on each of our strategic priorities, first, on investing to bring millions more customers to our marketplace."}, {"path": "tedlium_1381.wav", "duration": 14.25, "text": "If I could draw your attention to the safe harbor statement on Slide 2 of the presentation, I'd like to remind participants on this morning's call that our presentation includes some forward-looking statements about Monro's future performance."}, {"path": "tedlium_1382.wav", "duration": 14.25, "text": "We have also made good progress in our plan to reduce controllable expenses starting with this quarter. I'd like to point out that some of these expense reductions will come through some of our segments and are not all on our corporate activities' lines, although we have made some workforce reductions"}, {"path": "tedlium_1383.wav", "duration": 14.25, "text": "A strong U.S. dollar, particularly against a weakening Chinese yuan and British pound, will continue to impact our reported results for most of the year, but we are hopeful that this devaluation has begun to stabilize."}, {"path": "tedlium_1384.wav", "duration": 14.25, "text": "These actions not only highlight our commitment to increasing shareholder value to return of capital, but they also demonstrate our continued confidence that Wabash has a sustainable earnings stream and future cash flows that make these activities possible."}, {"path": "tedlium_1385.wav", "duration": 14.25, "text": "Further, our Wabash Composites business contributed nicely as we saw both revenues and margins rise significantly from those in the fourth quarter of 2014. That said, it's important to make clear that while the"}, {"path": "tedlium_1386.wav", "duration": 14.25, "text": "So I'm really not that nervous about what we believe is going to happen in the raw material markets, which we believe raws are going to move up next year, but we do believe we're going to move up in a fairly orderly fashion"}, {"path": "tedlium_1387.wav", "duration": 14.25, "text": "while maintaining the same look, feel and common usability. This strategy will be a key theme at our upcoming Knowledge Conference and Financial Analyst Day in Orlando and I hope to see many of you there."}, {"path": "tedlium_1388.wav", "duration": 14.25, "text": "initial commercial success we've had around the platform strategy, and the -- share with you what that means for the future, and then we'll finish up with the targets and ambition open it up for questions."}, {"path": "tedlium_1389.wav", "duration": 14.25, "text": "We are working with our current customers as they develop their strategies, and we see significant quote volume. We recently won a program for an automotive battery chiller program with an existing customer in Europe and are confident that we are well positioned in this important area."}, {"path": "tedlium_1390.wav", "duration": 14.25, "text": "Our third quarter revenue trends were also impacted by the timing of the July 4th holiday as well as last year's outage, which roughly offset each other on a unit basis."}, {"path": "tedlium_1391.wav", "duration": 14.25, "text": "there's still a great deal of ways for us to go. We still think we are getting only a fraction of the value that we actually provide to folks who are selling video packages, and over time, that we will continue to close that gap."}, {"path": "tedlium_1392.wav", "duration": 14.25, "text": "Last year, the Bureau covered every presidential primary and general debate, every important state primary, both conventions, countless events and down ticket races and of course, election night."}, {"path": "tedlium_1393.wav", "duration": 14.25, "text": "On a full quarter basis, the ratio of new life insurance licenses to recruits was 17.4%, and we expect this ratio to continue to be near this range for the full year 2016. We also expect the ratio"}, {"path": "tedlium_1394.wav", "duration": 14.25, "text": "their teams are focused on driving sales, too. So it's a series of things all playing a role, with the commitment internally here with our senior teams to actively manage performance to set, monitor and course correct"}, {"path": "tedlium_1395.wav", "duration": 14.25, "text": "aided by higher-margin process systems work, increased equity earnings and lower depreciation and amortization due to our classification of Technology operations as a discontinued operation."}, {"path": "tedlium_1396.wav", "duration": 14.25, "text": "in terms of how you model this, I would suggest to you that you should just look at the historic medium-term growth rates and expect that the airport volumes grow at about that level going forward."}, {"path": "tedlium_1397.wav", "duration": 14.25, "text": "And even with the expansion of the crushing all the way through to the very end of December, there was sugarcane left in the fields that ended up being processed in March 2016, which is the last month of the crop year."}, {"path": "tedlium_1398.wav", "duration": 14.25, "text": "At a time when traditional toy companies and retailers are struggling, we believe our continued strong and consistent results are a testament to our differentiated business and operating model. Funko is not like any other company in the marketplace."}, {"path": "tedlium_1399.wav", "duration": 14.25, "text": "This process is complex, but necessary and it has been navigated exceptionally well with appropriate respect and sensitivity, and of course, by the corporate and operating teams with full support from our stakeholders."}, {"path": "tedlium_1400.wav", "duration": 14.2200625, "text": "its brands, its products, its innovation, and it is driving that across all geographies in a very aggressive way, and it's been very successful, and we expect it to continue to do so."}, {"path": "tedlium_1401.wav", "duration": 14.22, "text": "having finally received a full hearing last week. We are encouraged that the judge heard all arguments and indicated he would be prepared to issue a ruling based on the merits of the case in just a matter of weeks."}, {"path": "tedlium_1402.wav", "duration": 14.22, "text": "we believe we will be in the fortunate position of being able to continue to deliver foundational results from an earnings standpoint, which should enable the market to appreciate our quarterly dividend and security that naturally should go along with it."}, {"path": "tedlium_1403.wav", "duration": 14.22, "text": "in the retail pharmacy environment. And I will say that the opioid prices has really changed the way that we interact with and work with these industries as well as state and federal government."}, {"path": "tedlium_1404.wav", "duration": 14.22, "text": "The other thing I would just add just to supplement here, outside of the core process valve portion of Fluid Handling, we did see quite a bit of nice strength across the board in Fluid Handling. So we've been speaking largely here to what we see in the"}, {"path": "tedlium_1405.wav", "duration": 14.22, "text": "but what they might not be getting is future repeat purchases, so they kind of come and go. Because if you look at your friends in Paris or other places around the world, actually, it's their biggest brands which are doing really well."}, {"path": "tedlium_1406.wav", "duration": 14.22, "text": "large. But if you look at some of our subsidiaries, we have call centers and we have companies that actually provide services, and in these entities, the turnover of employees is actually quite high. So it would be very difficult for us to"}, {"path": "tedlium_1407.wav", "duration": 14.22, "text": "Certainly, we're losing a lot of deals either to things that just don't make sense to us or to companies that we don't know for sure they know what they're doing because they haven't built plants or pipe in some period of time. So we're getting our fair share,"}, {"path": "tedlium_1408.wav", "duration": 14.22, "text": "seems to have slowed down compared to the earlier except maybe some pockets, but in general the flow of problematic value received in our books seems to be much under control."}, {"path": "tedlium_1409.wav", "duration": 14.22, "text": "The trade cases have helped stabilize import levels and lower the spreads, as metal prices overseas have increased to a level where it's not all that advantageous to buy foreign material."}, {"path": "tedlium_1410.wav", "duration": 14.22, "text": "I mean, yes, if you go out and buy business, it creates a problem in the marketplace. And we are not going to do that. So the business that we have is very focused and selective on how we can drive a value proposition for our customer."}, {"path": "tedlium_1411.wav", "duration": 14.22, "text": "Yes, absolutely. They have a big interest in seeing this get clarified and for the market to operate with more transparency and efficiency, if you will. And one of the -- if I'm an advertiser -- used to be a brand manager, so if I'm thinking about this from"}, {"path": "tedlium_1412.wav", "duration": 14.22, "text": "some of the hospitals that we've been dealing with are fairly restrictive in terms of concurrent and prior authorization for admissions. And so we're working with them to beef up that ability."}, {"path": "tedlium_1413.wav", "duration": 14.22, "text": "Earlier this afternoon, we released our press release with summary results for our 2016 fiscal year, including a table showing our results by segment, which separately breaks out our Xcede loss."}, {"path": "tedlium_1414.wav", "duration": 14.22, "text": "Moving to Slide 3. Our agenda this morning begins with a brief overview of 2018 results and PPL's business outlook for 2019. I'll also provide a brief update on key regulatory developments."}, {"path": "tedlium_1415.wav", "duration": 14.22, "text": "in our e-commerce sales. That's why we see now a consistent growth in margin in all categories and all channels. Now speaking about operating expenses."}, {"path": "tedlium_1416.wav", "duration": 14.22, "text": "This includes our ongoing work on space and category mix management, improvements to store layouts and environment as well as developing store formats that position us well for the future."}, {"path": "tedlium_1417.wav", "duration": 14.22, "text": "We have quite a few participants in the call today. So that's why I would ask you to limit your questions to 2 in order to give as many people as possible the chance to ask questions. Thanks very much in advance for that."}, {"path": "tedlium_1418.wav", "duration": 14.22, "text": "We plan to develop this product candidate as a wholly owned program of the company and expect to submit regulatory filings in the first half of 2019. We plan to disclose the program and the development strategy at that time."}, {"path": "tedlium_1419.wav", "duration": 14.22, "text": "In terms of the way we look at how we deploy that capital to look at returns, that's a really interesting question because, really, it is about trying to deploy the capital as flexibly as possible"}, {"path": "tedlium_1420.wav", "duration": 14.22, "text": "and how it performed and the various elements that performed, we look at various equities, to which -- which in a great extent,"}, {"path": "tedlium_1421.wav", "duration": 14.22, "text": "and we can see that being reflected in improved performance in some of those equity asset classes. However, I have to tell you, it's going to take a bit of time for the full benefits of these improvements to be felt."}, {"path": "tedlium_1422.wav", "duration": 14.22, "text": "We will be investing a lot of time and energy in these areas to ensure that we attract and retain the best employees possible across all areas of our business. I will now turn the call back over to Eddie. Thank you, John."}, {"path": "tedlium_1423.wav", "duration": 14.22, "text": "to increase share ownership. This is really requiring our managers to put their short-term bonuses into the long-term share plans if they want to keep the same compensation and then benefit from the"}, {"path": "tedlium_1424.wav", "duration": 14.22, "text": "Well, stay tuned, and I'll update you on our ARC customer and usage metrics as well as a number of important milestones that bear evidence that ARC is gaining traction and indeed has the potential to drive very significant growth for the company."}, {"path": "tedlium_1425.wav", "duration": 14.22, "text": "I think the only place, Mark, I would say we have a little bit of nuance there is, it would be in generality the addition of Smart Tuition would cause a bit of abnormality there. So Smart has a"}, {"path": "tedlium_1426.wav", "duration": 14.22, "text": "Ladies and gentlemen, that does conclude the conference call for today. We thank you for your participation and ask that you please disconnect your lines."}, {"path": "tedlium_1427.wav", "duration": 14.22, "text": "building AI for CRM, is our ability to make it easy for our customers to use and adopt and benefit from this revolution we're seeing in AI. So what you're saying is just by turning on Einstein, our Commerce Cloud customers, for example, have seen some"}, {"path": "tedlium_1428.wav", "duration": 14.22, "text": "So it is a different mentality than just a focus on lowering LTIs. This is not an excuse though. We have been focusing on our Major Hazards Initiatives, identifying all our critical risks,"}, {"path": "tedlium_1429.wav", "duration": 14.22, "text": "As I said earlier in my prepared remarks, price remains well below the prior peak, even on a nominal basis. We believe there is further opportunity as this product is fundamentally useful and undoubtedly valuable."}, {"path": "tedlium_1430.wav", "duration": 14.22, "text": "Excluding the impact of this charge in the first quarter of the prior year, our other operating expenses improved 70 basis points primarily as a result of lower acquisition-related legal and consulting fees,"}, {"path": "tedlium_1431.wav", "duration": 14.22, "text": "The industry demands development of new technologies, new products, new processes as well as improvements in quality and reliability. This plays well into our business portfolio and capabilities."}, {"path": "tedlium_1432.wav", "duration": 14.22, "text": "including the recent hiring of a Chief Medical Officer, who is now leading the company's clinical activities and strategy to an established network of consultants, CROs and in-house capabilities."}, {"path": "tedlium_1433.wav", "duration": 14.22, "text": "By now, I'm sure you've seen our 2 press releases, and you're all Googling furiously. So before we discuss our second quarter results, let me take a few minutes to talk about my decision to retire and our plans for CEO succession."}, {"path": "tedlium_1434.wav", "duration": 14.22, "text": "In addition to completing the absorption of the supplemental dividends into our monthly dividends, our long-term goal over the transition period will be to continue to grow our total annual dividends at a level consistent with what we have delivered in the past."}, {"path": "tedlium_1435.wav", "duration": 14.22, "text": "As we do this, I will continue to view our significant cash balances as a strategic asset of the company that can wait patiently as we seek the right opportunities to invest in high-return-on-investment initiatives."}, {"path": "tedlium_1436.wav", "duration": 14.22, "text": "We appreciate that some of our assets are more difficult to value than with other REITs. To help your analysis and to better define our priorities in the initiatives under way, we'll be holding an Analyst Day including a deep dive NAV session"}, {"path": "tedlium_1437.wav", "duration": 14.22, "text": "But that doesn't mean that results are a generation away or even 5 years away. Based on our current trajectory and the evolution of the landscape we are driving, we see this network effect contributing to the growth of our business now and expect that impact to accelerate in the coming years."}, {"path": "tedlium_1438.wav", "duration": 14.22, "text": "I will use the remainder of my time here to review the key strategic benefits we expect to see from the merger and then discuss our vision, progress to date and the next steps for fully leveraging the strengths of the combined firms."}, {"path": "tedlium_1439.wav", "duration": 14.22, "text": "Let's turn to Annuities on Slide 12. Annuities are a core enablement capability for our wealth management business and part of our important set of solutions tailored to meet our clients' needs."}, {"path": "tedlium_1440.wav", "duration": 14.22, "text": "to the nuclear fuel experts, but also other experts from the utilities. And finally, at least annually, there's a full formal meeting of all the members in the same room that sometimes"}, {"path": "tedlium_1441.wav", "duration": 14.22, "text": "bring it online each year? Well, it's really a little bit of both. I mean, when we look at the demand in the areas where we see that we're going to be able to either fill the site -- some of the sites are RVs, so either fill it with the RV or fill it with a manufactured home."}, {"path": "tedlium_1442.wav", "duration": 14.22, "text": "a brand-new go-to-market process that has been really transformational for the company, and we even really haven't even seen the benefit of that till beginning in spring 2019. But you're starting to see some of that come together with just the timing."}, {"path": "tedlium_1443.wav", "duration": 14.22, "text": "the executive team. But it's much bigger than that because it has to be a holistic buy-in from the entire company to deciding that we're just going to be better at how we operate. And that also isn't limited to just structure, process,"}, {"path": "tedlium_1444.wav", "duration": 14.22, "text": "Yes. So no, I think that it's a fair question, Bill. So clearly, this is something that we continue to work on. And the program that we have currently, when you're talking about the sizable deals that would be visible to you,"}, {"path": "tedlium_1445.wav", "duration": 14.22, "text": "Looking at each market on a constant currency basis, sales to the food market increased 6% on increased sales to the dairy creamer, sour cream and infant formula categories."}, {"path": "tedlium_1446.wav", "duration": 14.22, "text": "We wanted the extra time to ensure the quality of our financial information as it relates to consolidating the acquisition financials, primarily purchase accounting tax entries. We do not expect this to impact any previous reporting periods,"}, {"path": "tedlium_1447.wav", "duration": 14.22, "text": "from that -- those superlot transfers that's coming forward in the Residential business. We're more interested in looking at a holistic approach to our business going forward and part of that is to make sure that we continue to grow"}, {"path": "tedlium_1448.wav", "duration": 14.22, "text": "The compression that you see in margins, the pressure that you see on the bottom line for next year is entirely about currency. A portion of it related to the depreciation in the British pound, a portion of it related to the roll-off of our hedging positions."}, {"path": "tedlium_1449.wav", "duration": 14.22, "text": "smaller partners are getting trained and vetted as to provide help in the implementation and integration, again, largely in some of the newer products. And so you just get the sense that the ecosystem is just starting to pick up"}, {"path": "tedlium_1450.wav", "duration": 14.22, "text": "Mike, would we expect -- let's assume that pricing doesn't develop as you expect. Obviously, that's plan A. But, let's say we're instead working with plan B. Does the ultimate reduction"}, {"path": "tedlium_1451.wav", "duration": 14.22, "text": "I guess, second quarter, it got pushed back a little bit. So from our perspective, it's really timing of large work. I think that, as I said earlier, the fundamentals are there and I think that, that is a market that is returning and getting a lot better, to your point."}, {"path": "tedlium_1452.wav", "duration": 14.22, "text": "Leading producers in the STACK are testing spacing profiles in the multiple landing zones of the Meramec and Woodford formations as well as evaluating the Osage, Oswego and Sycamore formations."}, {"path": "tedlium_1453.wav", "duration": 14.22, "text": "Let me show you in the following how we have brought this concept to life in the context of our T-Online acquisition. Udo has shown you the results already, and I would like to illustrate in more detail the operational processes behind."}, {"path": "tedlium_1454.wav", "duration": 14.22, "text": "And it puts us in a position, as long as we can fill the airplane up with customers, that we'll have a lower cost and can keep your fares lower. So that's the importance of considering the gauge. You just can't take that"}, {"path": "tedlium_1455.wav", "duration": 14.22, "text": "Club Pilates and America's Best, uses that are really driving that small shop growth that Jim mentioned earlier. And the spaces that are part of redevelopments and outparcels, we expect to drive considerable"}, {"path": "tedlium_1456.wav", "duration": 14.22, "text": "These data show that our product with ARISTADA safety and tolerability profile does not require a trade-off in terms of antipsychotic efficacy and we believe this will be important to physicians making treatment choices for their patients with schizophrenia."}, {"path": "tedlium_1457.wav", "duration": 14.22, "text": "that to certain extent, but at Reliance, our diversification strategy that we've tried to build company around, we think helps mitigate that offset because we've got positive on markets with growth at the same time that we're experiencing"}, {"path": "tedlium_1458.wav", "duration": 14.22, "text": "I think we've been very pleased with Europe on any number of fronts and especially given the fact that there's been a fair amount of disruption for the people who work in that business between the"}, {"path": "tedlium_1459.wav", "duration": 14.1900625, "text": "We're also seeing opportunities for growth within the outdoor advertising segment, both domestically and internationally as digital conversion for existing and new sites drives better economics for the tenants."}, {"path": "tedlium_1460.wav", "duration": 14.19, "text": "As Lei mentioned, there were some very encouraging signs in terms of our number of customers, live videos as well as pipeline for new customers. We're obviously very focused on execution for this business."}, {"path": "tedlium_1461.wav", "duration": 14.19, "text": "In recent months, we've seen fairly rapid increases in raw material cost in Asia Pacific, led largely by supply-side considerations, including stricter application of environmental regulation in China and other factors."}, {"path": "tedlium_1462.wav", "duration": 14.19, "text": "So we would enrich the mix. And when we talk about mix enrichment, there is no restriction in our debt renegotiation agreement."}, {"path": "tedlium_1463.wav", "duration": 14.19, "text": "just between June and December, most of the large payers just during that time, they came on board and decided to cover the procedure, so that helped a lot. The reason we are"}, {"path": "tedlium_1464.wav", "duration": 14.19, "text": "Second, I want to remind everyone, that we expect a lower level of net realized performance revenues in 2018 compared to 2017, as we transition from the older vintage of funds to the newer vintage."}, {"path": "tedlium_1465.wav", "duration": 14.19, "text": "We haven't seen the development yet of demand for breach response services type products in a large way, that's the piece of the market where we have particular IP. As regulations"}, {"path": "tedlium_1466.wav", "duration": 14.19, "text": "And I think really good examples of that were the Aerial Re acquisition a year ago, which has proved to be a tremendous benefit to the company on many different levels that we've talked about in the past"}, {"path": "tedlium_1467.wav", "duration": 14.19, "text": "we prefer to do in buybacks rather than cash dividends for the flexibility it provides us as a company to manage capital, as well as the flexibility it provides our owners to take their cash and their tax burden as they see it."}, {"path": "tedlium_1468.wav", "duration": 14.19, "text": "This improvement reflects the positive impact of our current initiatives to improve the inventory levels in our core businesses, and we remain focused on maintaining this key investment at the appropriate levels as we move forward."}, {"path": "tedlium_1469.wav", "duration": 14.19, "text": "absolutely entirely -- essentially entirely from rate, which does help us to the extent of trying to hold on to as much margin as we can. However, we have typically thought about needing about 3% RevPAR growth to hold on to margin."}, {"path": "tedlium_1470.wav", "duration": 14.19, "text": "This receivables management work of automating and outsourcing workflow innovation and solutions or efficiency and effectiveness fits right in our sweet spot."}, {"path": "tedlium_1471.wav", "duration": 14.19, "text": "The next questions come from Mark Petrie from CIBC. I think the first question was around tax rate, and we've already addressed those. So moving to the second question."}, {"path": "tedlium_1472.wav", "duration": 14.19, "text": "We have design wins in Liquid Delivery, we are penetrating new customers in weldments and precision machining, we are landing and expanding with OEMs in Korea, and we are putting pieces into place to address customers in Japan."}, {"path": "tedlium_1473.wav", "duration": 14.19, "text": "Okay. I think just to follow up with that and finalize with this, but I mean, you mentioned your win rates are doubling in those large contracts. I mean is that from these specific areas? Maybe if you could list to us maybe the top 3 areas that you think you differentiate versus your competitors"}, {"path": "tedlium_1474.wav", "duration": 14.19, "text": "assistant services, inpatient, outpatient. And we want to increase the number of single rooms as well because this is now the standard that most patients require when they spend a few weeks"}, {"path": "tedlium_1475.wav", "duration": 14.19, "text": "to not only improve upon the automation cells they have but to bring them other capabilities or competencies where we might be using Weld Sequencer or we might be using other IoT-type applications to provide them an enhanced"}, {"path": "tedlium_1476.wav", "duration": 14.19, "text": "As we approach the end of 2018, we are seeing momentum all around the world. We are executing on a robust pipeline of targeted opportunities across academic, translational research, CROs and cancer centers."}, {"path": "tedlium_1477.wav", "duration": 14.19, "text": "due most notably to sales in plastics being favorable with Peninsula sales being greater than the impact of the blow-molding divestiture as well as the benefit in flexibles of last year's Plastic Packaging Inc. acquisition."}, {"path": "tedlium_1478.wav", "duration": 14.19, "text": "The pension accounting treatment reflects the impact of a reduction in the amount of debt that the company needs to recognize at this time due to an extension of the retirement age, which results in a more gradual severance payment curve."}, {"path": "tedlium_1479.wav", "duration": 14.19, "text": "But I think what we saw in Q3 was just a more drastic trend than we had seen in the previous quarters. But this has been going on for about a year. And I expect at some point -- I don't have a clear indication on when that's going to end."}, {"path": "tedlium_1480.wav", "duration": 14.19, "text": "We are currently in bid negotiations with counterparties. As part of our portfolio cleanup, we also have several smaller deals located within the Permian Basin that are currently being or soon to be marketed on EnergyNet. The"}, {"path": "tedlium_1481.wav", "duration": 14.19, "text": "Now let me quickly turn to an update on our outlook for 2018. We have revised our fourth quarter guidance for 2018 to incorporate the changes in drilling programs from our partners and other expected performance."}, {"path": "tedlium_1482.wav", "duration": 14.19, "text": "for more ecologically friendly packaging. I know you have capabilities across several different substrates, but can you comment about how you see that trend impacting the industry in general and Reynolds in particular?"}, {"path": "tedlium_1483.wav", "duration": 14.19, "text": "our pilot programs for courseware solutions were completed, and we now have plans to grow the programs in the fall. We are exciting that this offering now includes a print companion so that students can learn in either format."}, {"path": "tedlium_1484.wav", "duration": 14.19, "text": "The profit on the joint ventures comes through the equity income from investee's line, which is above of income. And the decision was made to"}, {"path": "tedlium_1485.wav", "duration": 14.19, "text": "Yes. I just wanted to follow up on Ladies apparel. Just to maybe get a better assessment around what you thought the impact to the comp was in the fourth quarter? And I know that, that"}, {"path": "tedlium_1486.wav", "duration": 14.19, "text": "That many variables in this new law make it difficult for taxpayers to know how they will ultimately be affected. Our clients will learn if they would pay more or less under the new tax law, and then determine how to appropriately adjust their withholding."}, {"path": "tedlium_1487.wav", "duration": 14.19, "text": "right? So if for some reason one or 2 of them don't work out, we will not let that linger. We do not have a pride of authorship. We will make a move, if we have to, to pull that inventory back in and get out of that lease. And so"}, {"path": "tedlium_1488.wav", "duration": 14.19, "text": "In addition, our market share growth has outpaced single-family housing starts since the fourth quarter of 2016, which we believe is in part a strong testament to the high quality and value of our SmartSide offering."}, {"path": "tedlium_1489.wav", "duration": 14.19, "text": "where are we right now and where do we go to. And it considers the entire form factor that is launched, excluding the VA business that we have not yet launched it in. So Tom, it's not just top of the line,"}, {"path": "tedlium_1490.wav", "duration": 14.19, "text": "Yes. I'd say the main thing we've learned globally is we've got to help our customers get to field trials so that they're actually deploying the products in the field."}, {"path": "tedlium_1491.wav", "duration": 14.19, "text": "Our foundation was built on our ability to provide high-level professional services and counsel. And while we've done extremely well in the actual work, we have not kept pace with our skills in developing client opportunities in new business."}, {"path": "tedlium_1492.wav", "duration": 14.19, "text": "Before discussing guidance, I want to remind you that we give annual guidance. While we are pleased to start the year off very profitably, given seasonality, it is a relatively small profit as compared to our annual guidance."}, {"path": "tedlium_1493.wav", "duration": 14.19, "text": "The business improvement initiatives across procurement activities and logistics have offset some of the headwinds. We expect, however, to close much of this gap in the second half of the year."}, {"path": "tedlium_1494.wav", "duration": 14.19, "text": "The improvement was driven by our operating performance, including the increased margin contributions from many of our recently acquired hospitals. As you can see from our results this quarter, we believe that our strategy is working."}, {"path": "tedlium_1495.wav", "duration": 14.19, "text": "Could you talk a little bit more about the Agility business and what kind of growth you could see in that area of the company. I know, it's a small part, but that seems to me that you might be able to get some substantial growth there. Could you expand on that a little bit?"}, {"path": "tedlium_1496.wav", "duration": 14.19, "text": "We also continually monitor comments on social media to ensure that we are getting unfiltered feedback from various survey channels. Our mission is to always keep a close watch on the sentiment and satisfaction of our owners."}, {"path": "tedlium_1497.wav", "duration": 14.19, "text": "But overall when we look at our competitive indices and we track this very closely with a basket of competitors across our entire business, we're not seeing a lot of price inflation in the market."}, {"path": "tedlium_1498.wav", "duration": 14.19, "text": "Although inventories at Chinese ports are relatively high, we expect them to trend downward over the next couple of months as construction activity and log takeaway have ramped up to more normal levels following the Lunar New Year holiday."}, {"path": "tedlium_1499.wav", "duration": 14.19, "text": "Our team knows what needs to be done this year and is fighting to deliver our key results. On behalf of the team here at Hormel Foods, thank you for joining us today, and have an enjoyable long weekend."}, {"path": "tedlium_1500.wav", "duration": 14.19, "text": "So if somebody just transacts less but still does all of their banking with Nedbank, they could fall out of our technical definition of main banked customers, but I think your point is well made. It is certainly a very difficult target,"}, {"path": "tedlium_1501.wav", "duration": 14.19, "text": "and we believe it does offer all of our stakeholders an opportunity for accelerated growth and rewards our patient shareholders. I'll have more to say on this later in my prepared remarks."}, {"path": "tedlium_1502.wav", "duration": 14.19, "text": "that will offset that and protect us. And then we will just continue to monitor it. And even if tariffs come through and stay in the present sense that they are and we get no relief on the codes,"}, {"path": "tedlium_1503.wav", "duration": 14.19, "text": "As described in our filings with the SEC, these statements are subject to numerous risks and uncertainties that could cause future results to differ from those expressed, and we are not obligated to publicly update or revise these forward-looking statements."}, {"path": "tedlium_1504.wav", "duration": 14.19, "text": "Despite the volatility this business contributes to our quarterly flow reporting and fee rates averaging only 5 basis points annually, we continue to view exposure management as a core offering with solid profitability and good growth prospects."}, {"path": "tedlium_1505.wav", "duration": 14.19, "text": "In scotch, momentum on Johnnie Walker, our flagship scotch brand and primary scotch, has continued, while performance on some of our other scotch brands was impacted by challenging conditions in a few markets."}, {"path": "tedlium_1506.wav", "duration": 14.19, "text": "We've done this with a shift from a seeding model with presence in 3 cities to national presence and also expanding from trend-leading accounts into the broader premium accounts universe."}, {"path": "tedlium_1507.wav", "duration": 14.19, "text": "Given the recent periods of volatile exchange rate fluctuations, we've seen larger differences between these internal standard FX rates and the actual foreign exchange rates. As a result, we updated our internally derived standard currency exchange rates"}, {"path": "tedlium_1508.wav", "duration": 14.19, "text": "But you're also catching up -- you're taking previous expenses and capitalizing those at the start of the year. So there's going to be an in and out that we're still evaluating. So we've kept that out of what we talked about this morning. Certainly not our choice."}, {"path": "tedlium_1509.wav", "duration": 14.19, "text": "We certainly understand the need to communicate developments of this plan as they occur. We will do so when we are ready for both our Green Plains shareholders and our partnership unitholders. As I said earlier, we will remain focused on proving value for our shareholders."}, {"path": "tedlium_1510.wav", "duration": 14.19, "text": "being responsible for acting on physical business plans or actions that we have decided either in a country or across countries."}, {"path": "tedlium_1511.wav", "duration": 14.19, "text": "The completion of the farm-in to the prospective licenses adjacent to Elk-Antelope and the acquisition of our largest seismic program for 10 years in that area has the potential to mature large structures for drilling."}, {"path": "tedlium_1512.wav", "duration": 14.19, "text": "that you mentioned improve the return on invested capital. Is there sort of other businesses that might be dragging that down? And are you sort of looking to optimize the entire portfolio that way? Or do you feel good about where everything sits currently?"}, {"path": "tedlium_1513.wav", "duration": 14.19, "text": "fighters and transport. So today, we are very well positioned from a share standpoint on the military side of the house. And quite frankly, if you think about the new military platforms and programs,"}, {"path": "tedlium_1514.wav", "duration": 14.19, "text": "However, given the increasingly competitive gene therapy landscape in Pompe, we've made the decision not to provide further specifics on the nature of our findings or the resultant changes we have made in our construct design."}, {"path": "tedlium_1515.wav", "duration": 14.19, "text": "Let us now move to Slide 12, where we can see a better picture of the described growth acceleration in the group revenues, which can be explained through a combination of higher usage and price adjustments."}, {"path": "tedlium_1516.wav", "duration": 14.19, "text": "as we benefit from disciplined pricing strategies and investments to improve safety and efficiency. We expect this to continue and look for this segment to have one of its best years in over a decade."}, {"path": "tedlium_1517.wav", "duration": 14.19, "text": "We are prioritizing those product candidates where we can create clinical benefits and commercial value using our Corplex technology while also taking advantage of the streamlined bioequivalence pathway where possible."}, {"path": "tedlium_1518.wav", "duration": 14.19, "text": "we never had it in any of our forecasts. So it's historically -- it goes back a number of years. We never expected to receive those allowances and Ofgem did it outside of the mid-period review and just tidied that up actually in terms of the allowances."}, {"path": "tedlium_1519.wav", "duration": 14.19, "text": "at 0 for the first half of this year. We are very pleased with this result. It's also a KPI that our clients pay a lot of attention to. And we, of course,"}, {"path": "tedlium_1520.wav", "duration": 14.19, "text": "What made us great was a crystal clear focus on owning classic, iconic style and putting an effortless twist to it to make it current and desirable. We will become more true to our core"}, {"path": "tedlium_1521.wav", "duration": 14.19, "text": "We also remained quite active fundraising for our open-end funds, even though the net flow environment has been challenging in strategies such as convertibles and senior loans, given the market headwinds for these asset classes."}, {"path": "tedlium_1522.wav", "duration": 14.19, "text": "and we are seeing very good activity in our submarkets with consistent demand and a steady pipeline of potential deals for our well-located modernized office and retail properties."}, {"path": "tedlium_1523.wav", "duration": 14.19, "text": "initiatives undertaken at Bell Media and Bell Wireline in Q4 of '15. We also took advantage of favorable market conditions and a sustained low interest rate environment during the quarter to successfully complete"}, {"path": "tedlium_1524.wav", "duration": 14.16, "text": "Today's call will also include a discussion of certain non-GAAP measures, including adjusted EBITDA and free cash flow. You will find a reconciliation of each of these items as well as other information about our use of these non-GAAP measures"}, {"path": "tedlium_1525.wav", "duration": 14.16, "text": "While the latest developments with ZTE and Huawei create new uncertainties, it's important to note that MACOM supplies technology and products that are not readily replicated by anyone anywhere, including China."}, {"path": "tedlium_1526.wav", "duration": 14.16, "text": "we'll probably, for the first time, over the next 6 to 12 months are going to be in a position to run this mine at a steady state albeit at a reduced tonnage. The reduced tonnage, obviously, doesn't help"}, {"path": "tedlium_1527.wav", "duration": 14.16, "text": "Do you believe that we have the right conditions to implement this adjustment? Will this depend case-by-case? Could you please give me your prospect regarding"}, {"path": "tedlium_1528.wav", "duration": 14.16, "text": "Of course, it is very difficult to predict the future. But if I may explain the current forecast for this fiscal year only, the price will not be pegged to Russia's third-party prices or the market price."}, {"path": "tedlium_1529.wav", "duration": 14.16, "text": "We've always said that, that business for us was about intimacy, it was about getting us close to our customer and better understanding what they were doing relative to packaging and that, that would give us opportunities to produce packaging for them."}, {"path": "tedlium_1530.wav", "duration": 14.16, "text": "The good news is the work that we've been doing on testing, I think, is going to pay off for us as we get the first-line indication and the obstacle goes away for second line. So I'm very encouraged and excited about the opportunity to launch in first line, for sure."}, {"path": "tedlium_1531.wav", "duration": 14.16, "text": "We have already explained the market drivers. We had very good concentrates throughput. So quite an increase compared to the last year, which is of course, also to the fact that Fit For Future,"}, {"path": "tedlium_1532.wav", "duration": 14.16, "text": "The increase was due to higher volumes on our Texas NGL pipelines and our Mariner East system and higher throughput at the Lone Star fractionators, partially offset by a decrease in our optimization and marketing group,"}, {"path": "tedlium_1533.wav", "duration": 14.16, "text": "We hope to have more details to share by the end of Q2, but progress is in hand. Our commitment to doing the right real estate deal for the long term at both of these locations will pay off as they are strong assets in their respective in North Bay markets."}, {"path": "tedlium_1534.wav", "duration": 14.16, "text": "Investors should understand that general economic conditions, industry conditions and other operating factors could also affect the future results of Movida and could cause results materially different from those expressed in such forward-looking statements."}, {"path": "tedlium_1535.wav", "duration": 14.16, "text": "We also have a plan to pursue a multi-app strategy, focusing in particular on some of our traditional Stepper titles that we expect will generate a great deal of player interest, and"}, {"path": "tedlium_1536.wav", "duration": 14.16, "text": "With that, I'll turn the call to Cathy to talk about financial results and guidance. Thank you, Mary. I'll start by discussing our capital markets activity and balance sheet, followed by our financial performance for the third quarter."}, {"path": "tedlium_1537.wav", "duration": 14.16, "text": "In addition to our strong print leadership, we continued to invest in our brand, in digital technology and extending our sales channel reach and in improving our infrastructure."}, {"path": "tedlium_1538.wav", "duration": 14.16, "text": "Good morning, everyone, and thanks for joining us. This morning, we announced strong results for the third quarter of fiscal 2019, primarily reflecting continued robust aerospace industry demand for our flight deck printers and associated supplies."}, {"path": "tedlium_1539.wav", "duration": 14.16, "text": "So if you kind of go run all that calendar algebra that would probably put you into the first week of December, before you'd be in a position to go raise equity."}, {"path": "tedlium_1540.wav", "duration": 14.16, "text": "On the labor front, we continue to see average unemployment to be around 10%, and we expect it to continue to be around those levels, and it would only improve and go down to single digits after the economy grows close to the 3% area."}, {"path": "tedlium_1541.wav", "duration": 14.16, "text": "over in 2019. Collectively, at all of the above noted projects, we can count many, many billions of dollars of recent, current and planned capital investments, for which we will fully benefit while never receiving a cash call."}, {"path": "tedlium_1542.wav", "duration": 14.16, "text": "Unless you are a fair routine, if you have no dancers or other entertainers to help you, then consumers will find -- will not find your show entertaining enough."}, {"path": "tedlium_1543.wav", "duration": 14.16, "text": "as we continue to replace legacy systems like Avaya, Cisco, and Genesys with our modern cloud technology. This release changes the game by expanding our reach to very large global enterprises supporting many thousands of agents."}, {"path": "tedlium_1544.wav", "duration": 14.16, "text": "as we aspire to be a leading provider of urban workspace in all major Canadian cities. We made progress in Vancouver last year and will make further progress this year."}, {"path": "tedlium_1545.wav", "duration": 14.16, "text": "this comes from a management team and board with substantial holdings of common equity. So here's the bottom line for our equity investors. First, we're taking off whatever pressure that our common equity issuances were having on the stock."}, {"path": "tedlium_1546.wav", "duration": 14.16, "text": "and a business that, in my opinion, increased government spending doesn't affect us because we're simply not going to pursue significant growth in a business that at best generates 2% pretax margins"}, {"path": "tedlium_1547.wav", "duration": 14.16, "text": "This is a good indicator of much improved political relationship between the federal government and the Kurdistan Regional Government. We are very happy to deepen our investments in the Kurdistan Region of Iraq."}, {"path": "tedlium_1548.wav", "duration": 14.16, "text": "No, no decisions. It's tough because in some of those strategies, we see potential. And one always thinks that you're just around a turning point where they can become more economic."}, {"path": "tedlium_1549.wav", "duration": 14.16, "text": "One, it's a great tasting product. But the other thing is it opens up optionality for us in a whole range of new categories where we feel like we have unique products, unique capabilities, and the Buffalo Wild Wings brand is just"}, {"path": "tedlium_1550.wav", "duration": 14.16, "text": "I think, having the competitive capabilities of both is obviously an advantage because I think you can think through a continuing environment where both can have certain appeal depending on the needs of that adviser."}, {"path": "tedlium_1551.wav", "duration": 14.16, "text": "So if you look at the revision we made to our guidance, we lowered our full year estimate of production by 1.1 million barrels of oil equivalent, and all of that is essentially from expected lower gas and NGL production from our Eagle Ford asset."}, {"path": "tedlium_1552.wav", "duration": 14.16, "text": "First of all, I don't know, so let me be clear about that. It is very clear, as you all know from doing incremental margin calculation, that the platform business is a wholly different business. However,"}, {"path": "tedlium_1553.wav", "duration": 14.16, "text": "We ended the quarter on a stronger -- in a stronger financial position with the flexibility to continue investing in attractive projects for long-term value creation while also returning cash to our shareholders through share repurchases and dividends."}, {"path": "tedlium_1554.wav", "duration": 14.16, "text": "And we know the Internet is going to be an important channel for this industry going forward, and we have to have it, and we didn't have it. So the test that were doing in the fourth quarter is going to be limited to one of our states."}, {"path": "tedlium_1555.wav", "duration": 14.16, "text": "And we wanted to make sure that we're looking at all our options on an NF3. Do we expand in Korea, or do we build a new greenfield site. And that's the part of the work that we're finalizing at this point in time."}, {"path": "tedlium_1556.wav", "duration": 14.16, "text": "it would be inappropriate to just add it on to what we talked about earlier because you need to allow us to go back in and allocate the capital that meets with the -- our objectives of generating the free cash flow for the company."}, {"path": "tedlium_1557.wav", "duration": 14.16, "text": "while we may not be group supervised by the Fed, we will continue to be group supervised by New Jersey and we continue to deal with developments that are occurring on the international front. And so there's a level of spending that we expect"}, {"path": "tedlium_1558.wav", "duration": 14.16, "text": "We saw some very encouraging results, but we're not running on all cylinders and we still have work to do. It's about customer, brand, assortments and merchandising. Our job now is to get them all aligned."}, {"path": "tedlium_1559.wav", "duration": 14.16, "text": "an accomplishment that few CROs can claim. We believe it's a testament to the value our clients place on our contribution to their research efforts, and we work every day to enhance that value."}, {"path": "tedlium_1560.wav", "duration": 14.16, "text": "continues to be one of the most critical components of the effective execution of our business strategy, which is the foundation for our future growth. By leveraging the investments we have made and new ones we intend to make"}, {"path": "tedlium_1561.wav", "duration": 14.16, "text": "Joe? Thank you, Doug. I will now continue with the earnings presentation of our results. Slides 8 and 9 present a snapshot of how we will report results as a combined company."}, {"path": "tedlium_1562.wav", "duration": 14.16, "text": "During our third quarter we will experience an inflection point where net commodity cost pressures become a tailwind instead of a headwind. Please turn to Slide 4. I want to briefly review our global businesses."}, {"path": "tedlium_1563.wav", "duration": 14.16, "text": "We're reintegrating this business and we stood the business back up this quarter. We're focused on improving the business fundamentals and we're lapping difficult first half comps. Additionally, we're increasing -- materially increasing investment spend"}, {"path": "tedlium_1564.wav", "duration": 14.16, "text": "Jason brings strong operational finance leadership capabilities and will lead the finance team to deliver the visibility, accountability and insights to our financial and operational performance that only finance can deliver."}, {"path": "tedlium_1565.wav", "duration": 14.16, "text": "we went into the quarter with a certain expectation around what we needed in terms of operating expenses, came out of it a little bit lighter than we anticipated. That's really the primary driver."}, {"path": "tedlium_1566.wav", "duration": 14.16, "text": "So while it isn't our typical practice to provide specific guidance on quarters, we do want to be as transparent as possible and provide you with some color on third and fourth quarter this year."}, {"path": "tedlium_1567.wav", "duration": 14.16, "text": "while payroll revenue growth in the fourth quarter, we anticipate to be at the higher end of the range. As we stated in previous calls, the fourth quarter will benefit from one additional processing day this year."}, {"path": "tedlium_1568.wav", "duration": 14.16, "text": "where we try to capture that stronger interest in buying and use that as a lead for the organization. We've got a cost calculator, so customers are able to understand what the cost of the Trex material would be."}, {"path": "tedlium_1569.wav", "duration": 14.16, "text": "Just for closing, the Israel brought very good news and brought financing from sales and sales of assets that were hidden value on the company level."}, {"path": "tedlium_1570.wav", "duration": 14.16, "text": "We fully believe that this is a great opportunity for us, but again, we want to make sure that everything we are doing is right for the brand. So we will be strategic and methodical as we work to reset this piece of the business, and we will keep you updated."}, {"path": "tedlium_1571.wav", "duration": 14.16, "text": "and we're not really faced with such a stark decision. We really do both. But if we had to prioritize one today, we really want to get our technology into a lot of centers. And we're really focused with grabbing real estate, so to speak. So"}, {"path": "tedlium_1572.wav", "duration": 14.16, "text": "what is your outlook to grow recurring revenue in 2019? Do you anticipate some recovery? What could we expect?"}, {"path": "tedlium_1573.wav", "duration": 14.16, "text": "When you look back in the past where -- when we have a higher organic growth, we had also a very prosperous economy. But then during the crisis, many shops"}, {"path": "tedlium_1574.wav", "duration": 14.16, "text": "high visibility, so it is -- also should not be a surprise to anybody that we do need to see positive growth in this business in order to meet our full year targets. On the offshore markets,"}, {"path": "tedlium_1575.wav", "duration": 14.16, "text": "But we would only use the ATM if we thought it made sense. And our historical pattern has been to be very cautious on it. We announced that we might do it. We've gotten several inquiries from people asking us"}, {"path": "tedlium_1576.wav", "duration": 14.16, "text": "that we can be at flat volumes that offset some of the markets that are in modest decline. We're not seeing anything from an order rate or order pattern perspective that assumes a modest erosion in the second half. It's more just that"}, {"path": "tedlium_1577.wav", "duration": 14.16, "text": "Turning to the reduction in NPLs across each asset class. The strong performance that we've seen in our Irish mortgage portfolio over recent reporting periods continues. Nonperforming mortgages"}, {"path": "tedlium_1578.wav", "duration": 14.16, "text": "to have Rayaldee added to their formularies. While we expect there may be some utilization management restrictions initially, we have a number of access programs to help mitigate any potential impact, including a patient assistance program."}, {"path": "tedlium_1579.wav", "duration": 14.16, "text": "Partner trading remained seasonally strong as we saw the benefits from the migration due to the 4G focus. We also saw strong demand on VDSL, which more than offsets the ADSL losses."}, {"path": "tedlium_1580.wav", "duration": 14.16, "text": "with less wells. And so I think that's the important point for me. And so with the saving in land that I mentioned, I think next year we'll be able to do the same with less capital and less wells."}, {"path": "tedlium_1581.wav", "duration": 14.16, "text": "So going back to the question, you've got to have a disciplined approach to the mix of commercial and residential packages. Having said that, we are quite confident"}, {"path": "tedlium_1582.wav", "duration": 14.16, "text": "our current ratio substantially. Even though we're small, we have -- everything has been done to really position us for rapid growth in the future. And I'm just"}, {"path": "tedlium_1583.wav", "duration": 14.16, "text": "But closer to us, we are in a segment of the market which is not likely to be impacted. The government's efforts are really on the main line"}, {"path": "tedlium_1584.wav", "duration": 14.16, "text": "And as I love to point out on these calls, that is a noncash tax provision in our financial statements as we do not pay cash income taxes, nor expect to for a few years. Turning to balance sheet."}, {"path": "tedlium_1585.wav", "duration": 14.16, "text": "Our goal for the event was to outline our plans for driving sustainable long-term profitable growth and provide a deep dive into our product strategy and the actions we have been taking to accelerate our transformation initiatives."}, {"path": "tedlium_1586.wav", "duration": 14.16, "text": "target and any other similar words may be used to identify forward-looking statements. Such forward-looking statements are subject to both known and unknown risks and uncertainties that could cause actual results to differ materially from such statements."}, {"path": "tedlium_1587.wav", "duration": 14.16, "text": "right at the same level as our competitors. So we feel good about this going into 2017. When we look at the outlook for 2017, I think the thing that we would most focus on is, this is probably"}, {"path": "tedlium_1588.wav", "duration": 14.16, "text": "I afraid that in business terms but in human terms it's really horrible. And there are better medicines that should be used earlier in these patient's journey and that's part of the policy aspect of it. On the pharmacoeconomic side, these patients are extremely expensive."}, {"path": "tedlium_1589.wav", "duration": 14.16, "text": "whether people actively go because they want to be with somebody that's a stronger, bigger entity or whether that entity raises their prices in response to spikes in prices and then that activates them to come to somebody like us,"}, {"path": "tedlium_1590.wav", "duration": 14.16, "text": "they're early stage. There is a high mortality rate in those discussions. It's very hard to predict how many of those transactions will be completed and the timing of those transactions. But we are very comfortable with the pipeline that we have."}, {"path": "tedlium_1591.wav", "duration": 14.16, "text": "As a result, we are improving our booked margin rate on new orders as well as accelerating service growth, which will help alleviate some of the margin pressure in the field organization as the year progresses."}, {"path": "tedlium_1592.wav", "duration": 14.13, "text": "and there is -- are food FDA regulations out there that are starting to come into play that people have to -- are getting to the end of the life cycle where they have to comply with. But then you also have the local fresh food phenomenon"}, {"path": "tedlium_1593.wav", "duration": 14.13, "text": "In the Xetra segment, we from now on show revenues from listings separately. Previously these were included in the Other line item."}, {"path": "tedlium_1594.wav", "duration": 14.13, "text": "As we experienced in December, when the more seasonable weather set in, there is a lot of pent-up customer demand from such a long period of sustained warmer-than-normal temperatures throughout last year and into the early part of this year."}, {"path": "tedlium_1595.wav", "duration": 14.13, "text": "Potentially, but not necessarily share inside flexibles, were picking up share as they transfer from perhaps a rigid plastic container or a glass container moving into a flexible type container on that side of the business. And the same would be true."}, {"path": "tedlium_1596.wav", "duration": 14.13, "text": "financial transactions completed by mobile devices have grown 75% over the past 2 years and is now the most popular financial transaction channel for our customers."}, {"path": "tedlium_1597.wav", "duration": 14.13, "text": "In addition to the strong sales performance, we also benefited from a stable reimbursement environment in quarter 1. This is a welcome relief from the situation we faced over the past 6 years."}, {"path": "tedlium_1598.wav", "duration": 14.13, "text": "personnel that we have in Vegas, the long-term relationship that they have in that market and their ability to source great land opportunities. And as you know, they've grown their market share consistently over the last 4 years. So"}, {"path": "tedlium_1599.wav", "duration": 14.13, "text": "we are pleased with the overall progress we're seeing in the business as a whole, especially, at the national carrier level. In a moment, I'll demonstrate the traction we're gaining in our key growth markets, which has been masked by temporary sub-par performance in other markets."}, {"path": "tedlium_1600.wav", "duration": 14.13, "text": "Good morning, and welcome to the PPL Corporation Fourth Quarter Earnings Conference Call."}, {"path": "tedlium_1601.wav", "duration": 14.13, "text": "that get very quickly internationalized and that becomes a nice contributor to the group's overall organic sales growth. Just wondering why you're not pulling that lever contrary to most of your competitors."}, {"path": "tedlium_1602.wav", "duration": 14.13, "text": "Could you elaborate a little bit more on what the plans are and whether it's just Barcelona-based or whether you look at other locations? I mean, Manchester seems to stand out as a big long-haul leisure destination and how that shapes your thinking on that."}, {"path": "tedlium_1603.wav", "duration": 14.13, "text": "We are also upgrading our capabilities to innovate across our business. Specifically, we will provide greater consumer access including through delivery and catering, enhance the digital experience, innovate around our menu and improve our restaurant design."}, {"path": "tedlium_1604.wav", "duration": 14.13, "text": "and also increased 7 basis points from the third quarter in 2017. This upward trend has continued even with the effects of our purchase of lower core NIM banks that we purchased this year."}, {"path": "tedlium_1605.wav", "duration": 14.13, "text": "is there are a lot of guys that kind of -- and it's amazing to us that -- that are involved in the industry, but there are a lot of guys that genuinely thought this wasn't going to come to pass, right up until, kind of, triple witching hour. And so"}, {"path": "tedlium_1606.wav", "duration": 14.13, "text": "We're ready to support our clients with our existing digital solutions, and we will continue to enhance and build new capabilities in the future. Lastly, as we evolve our business model, it is critical we have the right people in place,"}, {"path": "tedlium_1607.wav", "duration": 14.13, "text": "See, the vessel design allows us to move between regions as well and then we have a high transit speed vessel here. So we can come down -- we can work the North Sea in the summer months and then come down to Africa in relatively quick time compared to"}, {"path": "tedlium_1608.wav", "duration": 14.13, "text": "So why are we so confident in our retail positioning? I wanted to reflect back on 2 slides from our strategy presentation in December. The first of them, we believe community shopping centers"}, {"path": "tedlium_1609.wav", "duration": 14.13, "text": "they've already had that spectrum for 25 years. It doesn't help them to keep it for another 6 months or a year. It just, I guess, harms them less. Obviously, if they don't get the extension and have to shut it down, then they have a substantial amount of 3G capacity that they're losing."}, {"path": "tedlium_1610.wav", "duration": 14.13, "text": "is -- has been maintained and the sentiment of our organization, particularly the commercial organization, realizes this and does not have concern with pursuing new business as a result of supply constraints. That has to be in place."}, {"path": "tedlium_1611.wav", "duration": 14.13, "text": "Thanks, Ivo. I will now cover our Q4 financial performance beginning on Slide 9 where, as Ivo mentioned earlier, you can see the record results that we have delivered for revenue and adjusted EBITDA. Adding to our core growth"}, {"path": "tedlium_1612.wav", "duration": 14.13, "text": "We believe this will simply take time and trial. Furthermore, as veterinarians expand the use of the product from acute inappetence into chronic inappetence, that will drive total days of therapy, which has the potential to increase sales."}, {"path": "tedlium_1613.wav", "duration": 14.13, "text": "When we were sitting here last quarter, there were some very, very large specific transactions that we did not win that we were all very knowledgeable about and, quite frankly, we're fine not winning, either because of price or because of terms."}, {"path": "tedlium_1614.wav", "duration": 14.13, "text": "As social security expenses are rising around the world, the pressure on the pharmaceutical industry, as you know, to reduce drug costs,"}, {"path": "tedlium_1615.wav", "duration": 14.13, "text": "They can lease that intellectual capital for when they need it and for how long they need it. We continue to educate the market on the benefits of the sharing economy as it relates to professional work and the agile workforce."}, {"path": "tedlium_1616.wav", "duration": 14.13, "text": "This led to a decision to temporarily reduce the output from other plants to further improve safety standards. This has placed increased pressure on sourcing costs as the region temporarily sources alternative products from these plants."}, {"path": "tedlium_1617.wav", "duration": 14.13, "text": "Looking ahead to the December quarter, we expect Communications and Data Center to be down, with strength in data center optical more than offset by declines in communications infrastructure and legacy products."}, {"path": "tedlium_1618.wav", "duration": 14.13, "text": "So the launches or the delays in the launches and the programs that are rolling off actually are enhancing our mix as drive shaft remains relatively stable or, frankly, has improved some year-over-year because of the higher build rates."}, {"path": "tedlium_1619.wav", "duration": 14.13, "text": "It is also a good year-around small business base. We see significant opportunities for deepening relationships with our product set, especially investment management and home equity along with a much higher lending capacity."}, {"path": "tedlium_1620.wav", "duration": 14.13, "text": "So against the backdrop of a healthy market environment, we'll stay the course in terms of our game plan for 2018, sticking with the strategies that have served us well and produced a strong track record since we've been public."}, {"path": "tedlium_1621.wav", "duration": 14.13, "text": "adjusted operating profit. This is excluding the net cost of uplift which we're showing separately right down there at the bottom for each of the segments, since it is quite distorted whilst we going through the spend phase. And the other"}, {"path": "tedlium_1622.wav", "duration": 14.13, "text": "And also the procurement savings, you've made a big push. How quickly do they begin to feed through to the bottom line? Yes. And I wouldn't say so much as a pass-through as a recognition of an inflationary environment"}, {"path": "tedlium_1623.wav", "duration": 14.13, "text": "were most in need of capacity. By doing so, we were able to increase access point density at those locations rather than distributing access points evenly across their entire footprint. This was a big investment for our customer."}, {"path": "tedlium_1624.wav", "duration": 14.13, "text": "At the Embedded World Technical Conference in Nuremberg, we highlighted how the NI platform is ideally suited to take advantage of ubiquitous connectivity and edge analytics that are needed for the industrial Internet of Things."}, {"path": "tedlium_1625.wav", "duration": 14.13, "text": "But the other thing I would say is we're still optimistic that you're going to see some upward pricing pressure on commodity prices. As you see that construction activity really start to take hold, as we get into the spring, I think we're seeing early signs of that now."}, {"path": "tedlium_1626.wav", "duration": 14.13, "text": "And we made the presentation relatively short this quarter given the Cardtronics acquisition. And I think, Amanda has a couple of questions that she can ask and then we can open the floor to questions."}, {"path": "tedlium_1627.wav", "duration": 14.13, "text": "With our acquisition of ThinkGeek.com, we not only have the largest collectible-focused website, but we also have a strong development arm that allows us to produce the coveted exclusives that these fans desire."}, {"path": "tedlium_1628.wav", "duration": 14.13, "text": "the integration with Wheels now and the cross-selling, can you put any numbers behind it in terms of what percent of customers are now using both as opposed to what they were when you first had the transaction?"}, {"path": "tedlium_1629.wav", "duration": 14.13, "text": "You can see the particular capacity and fuel guidance on this slide, so I'll just make a few comments about what we're seeing in the market at the moment. Looking ahead, we're seeing strong forward bookings."}, {"path": "tedlium_1630.wav", "duration": 14.13, "text": "Also, we will discuss certain financial information that is not prepared in accordance with GAAP. We believe that these non-GAAP financial measures, when reviewed in conjunction with our GAAP financial measures,"}, {"path": "tedlium_1631.wav", "duration": 14.13, "text": "Liberty Global disclaims any obligation to update any of these forward-looking statements to reflect any change in its expectations or in the conditions on which any such statement is based. I would now like to turn the call over to Mr. Mike Fries."}, {"path": "tedlium_1632.wav", "duration": 14.13, "text": "Net activity in our membership business, including dues and upgrade sales revenue as well as sales and marketing expenses, was higher than expectations in the fourth quarter as a result of upgrade sales volume from our in-park sales efforts."}, {"path": "tedlium_1633.wav", "duration": 14.13, "text": "This represents partial recovery of losses experienced over the past several years within BioMedical associated with higher than anticipated warranty claims experienced in certain AirSep product lines."}, {"path": "tedlium_1634.wav", "duration": 14.13, "text": "percentage from Orange Belgium to get your cost down to being in line with what you've announced already? And then just a quick point around cost cutting. It seems like you are making very good progress on"}, {"path": "tedlium_1635.wav", "duration": 14.13, "text": "as the Chinese consumables order was only shipped in late December, so it will take a bit of time for the product to flow into the Chinese market. We do expect improved performance in other key international markets resulting from changes that we recently implemented."}, {"path": "tedlium_1636.wav", "duration": 14.13, "text": "taking more time or more expense than needed? Or how can you have the expansion -- or the relationship expand, put in more and more CapEx, yet have slower revenues? Or at some point, it's got to kind of all equalize, I would think."}, {"path": "tedlium_1637.wav", "duration": 14.13, "text": "the projects that have been out there, the ones that -- we haven't won all of them, but we're certainly losing a lot fewer than we used to. So again, yes, I'm feeling pretty good about"}, {"path": "tedlium_1638.wav", "duration": 14.13, "text": "So that gives us much greater flexibility in terms of thinking of our funding requirements associated with an acquisition. But if you stand back and look at how we would approach an acquisition,"}, {"path": "tedlium_1639.wav", "duration": 14.13, "text": "we are looking at the markets kind of in that way. We tend to start with a sustainable harvest level for each of our regions. And then we always look for ways within that sustainable harvest"}, {"path": "tedlium_1640.wav", "duration": 14.13, "text": "and then also have this huge growth in what look like retail settings and what tends to be a little bit more episodic or fragmented care with less connection to the primary care docket at a nursing care center, for example?"}, {"path": "tedlium_1641.wav", "duration": 14.13, "text": "low level at the end of the year, with the pipeline that we're looking at. Very enthused about the progress that we continue to make internally in terms of efficiency and accuracy, if you will, in our underwriting. So I think we're in very good shape."}, {"path": "tedlium_1642.wav", "duration": 14.13, "text": "We saw a modest slowdown in the pace of residential construction in the fourth quarter as an uncertain interest rate environment led to moderating activity from homebuilders, and home affordability continued to be an issue."}, {"path": "tedlium_1643.wav", "duration": 14.13, "text": "We expect strong store additions for the full year, including a total of 27 to 32 newly constructed company stores. We are raising our franchise store growth expectations based on the strong start to the year."}, {"path": "tedlium_1644.wav", "duration": 14.13, "text": "as we do a zero-based budget for every space in the portfolio, we're taking a thoughtful look at each space and the spaces we may get back because of retailer distress or disruption, and then there's an additional kind of portfolio reserve"}, {"path": "tedlium_1645.wav", "duration": 14.13, "text": "are exactly on this topic of the cost of implementing and living under that exemption. And so if some of that should change, we'll reevaluate, but right now we don't see that as a significant dynamic for us to deal with."}, {"path": "tedlium_1646.wav", "duration": 14.13, "text": "We're very pleased with the financing and the resulting capital structure. It will leave us well positioned with respect to our debt service obligations and provide flexibility for potential future acquisitions once we get the current businesses substantially integrated."}, {"path": "tedlium_1647.wav", "duration": 14.13, "text": "trying to open that up to speed up the rate at which new technology can be introduced, creating standards which will help improve the affordability, is something that all of our customers as well as the government is interested"}, {"path": "tedlium_1648.wav", "duration": 14.13, "text": "We will focus on the value-creation process in order to optimize synergies related to the acquisition as outlined on Page 17. We have begun to leverage Stoneridge's customer relationships and products"}, {"path": "tedlium_1649.wav", "duration": 14.13, "text": "Both at the vehicle and catalyst manufacturer levels, domestic players are strong and growing challengers to the global incumbents. There are numerous domestic catalyst manufacturers with excellent coating capabilities honed by serving a very demanding"}, {"path": "tedlium_1650.wav", "duration": 14.13, "text": "Okay. And I believe you mentioned that PolyOne experienced strong growth in Asia. Have you seen any changes in industry competitive dynamics in China and Asia more broadly in the past 6 months or so? And"}, {"path": "tedlium_1651.wav", "duration": 14.1299375, "text": "But as you saw in the fourth quarter and certainly as we now see well into the first quarter of our next fiscal year, we are clearly showing much faster revenue growth and the earnings leverage that we believe is inherent in our business."}, {"path": "tedlium_1652.wav", "duration": 14.1, "text": "Three. Approximately 50% of current outsourcing contracts coming up for renewal in the next 24 months are at risk of not being renewed with the incumbent service or technology provider."}, {"path": "tedlium_1653.wav", "duration": 14.1, "text": "That's good news for the business. And it does suggest to us that despite the daily forecast of gloom and doom for the global economy, individual businesses are still pursuing initiatives that require consulting support."}, {"path": "tedlium_1654.wav", "duration": 14.1, "text": "For home, we are also expecting a continuation of current market conditions and we have seen some limited premium inflation in the market. Again, our recent trading is consistent with the guidance."}, {"path": "tedlium_1655.wav", "duration": 14.1, "text": "The award I assume was based on the higher revenues and the higher profits that we originally recorded. Are those executives going to return any of that incentive compensation that was paid to them?"}, {"path": "tedlium_1656.wav", "duration": 14.1, "text": "Another important part of the outstanding customer service is our online channel. And we are working, on a daily basis now, to take convenience online to the next level."}, {"path": "tedlium_1657.wav", "duration": 14.1, "text": "And in our industry, we know that you have to offer the full range of sizes to get any traction at all. So some of them may have rushed the market with one quick one, that private label out of China or something, and I think they're going to have trouble getting any traction."}, {"path": "tedlium_1658.wav", "duration": 14.1, "text": "returns available in other real estate classes and maybe, to some extent, in other investment opportunities. And when you're looking at the select-service brands, particularly, there's less volatility in those -- the performance of those hotels."}, {"path": "tedlium_1659.wav", "duration": 14.1, "text": "And also, in the leverage calculations, as I said in the speech, the way that works for our covenant purposes is that we use the average exchange rates for the period to translate the borrowings. So you are not getting a mismatch between"}, {"path": "tedlium_1660.wav", "duration": 14.1, "text": "We took the opportunity in recent quarters to add modestly to position post-market dislocation such as Brexit in June, and as the markets have recovered, we've selectively reduced our exposures to some of these positions."}, {"path": "tedlium_1661.wav", "duration": 14.1, "text": "to come up with the equity necessary to capitalize the concessions that are going to build those roads. So we decided it was a perfect time to go and raise capital."}, {"path": "tedlium_1662.wav", "duration": 14.1, "text": "This required a supplemental funding to keep the company alive through February 2017 and a request to our development partner, Cook Biotech, to assist with the first-in-human clinical trials."}, {"path": "tedlium_1663.wav", "duration": 14.1, "text": "how should we think about the sustainability of those margins longer term as more competitors compete in those areas? And then I know that you asked for only one question. But could you just comment on"}, {"path": "tedlium_1664.wav", "duration": 14.1, "text": "In terms of numbers, you may think our numbers are slightly worrying. Actually, that is not the fact. It is because we are actively managing"}, {"path": "tedlium_1665.wav", "duration": 14.1, "text": "Today's discussion will contain forward-looking statements, which are based on assumptions we believe to be true only as of today's date, but which are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected or implied by such forward-looking statements."}, {"path": "tedlium_1666.wav", "duration": 14.1, "text": "In today's conference call, I will provide you with an update on key developments for the quarter, together with an overview of our business segments, including propulsion systems, auxiliary products and engineering services."}, {"path": "tedlium_1667.wav", "duration": 14.1, "text": "Before I begin my review of the results, let me remind everyone that the operating results presented in today's release reflect the changes in our financial reporting as a result of our implementation of the new revenue accounting standard."}, {"path": "tedlium_1668.wav", "duration": 14.1, "text": "I would like to highlight 2 main points. First, although performance in the non-resource field was firm, lower market prices on resource commodities led to a decline in the resource field."}, {"path": "tedlium_1669.wav", "duration": 14.1, "text": "When you aggregate it all, we're doing quite well. But specifically in manufacturing productivity -- in the plants that have SPS, we just have stellar results that have fully implemented it."}, {"path": "tedlium_1670.wav", "duration": 14.1, "text": "some, if you will, conversation around what to expect so that we can prepare for what -- launching of new funds and things like that. So we're anticipating a better back half of the year because of what we're hearing. But"}, {"path": "tedlium_1671.wav", "duration": 14.1, "text": "The fund industry, in particular, has an opportunity to shift to a more data-centric and analytics-driven model, which is just one step in the overall evolution of financial services, moving from documents to data."}, {"path": "tedlium_1672.wav", "duration": 14.1, "text": "single account they run. But they are also responsible for liaising with their colleagues inside of Intertek to basically make sure they can get the ATIC solution they need for their customers inside the group portfolio."}, {"path": "tedlium_1673.wav", "duration": 14.1, "text": "getting new budgets and spending levels around a lot of assets that changed hands up there. So I really see it just as a little bit of a timing issue. We still feel very good about the growth in the year and the"}, {"path": "tedlium_1674.wav", "duration": 14.1, "text": "Our full year adjusted pretax operating margin continue to improve, adjusting for the significant items. In order to maintain momentum, we will continue to develop client solutions in alternative and passive strategies to meet our clients' needs."}, {"path": "tedlium_1675.wav", "duration": 14.1, "text": "We're getting the rate we need. Retention is holding, which means others are pushing that rate as well. We continue to attract new, profitable auto business. So it's certainly not at an industry crisis stage. It seems like"}, {"path": "tedlium_1676.wav", "duration": 14.1, "text": "And that's been powerful. Those compound effects of improvements are pretty impressive. Second thing is image processing software. The algorithms themselves to shape the image have also been improving over time, and also we can release in patches and updates."}, {"path": "tedlium_1677.wav", "duration": 14.1, "text": "We continue to grow overall transactions in the marketplace, attracting new customers into our stores as well as continuing to elevate the frequency of our existing customers."}, {"path": "tedlium_1678.wav", "duration": 14.1, "text": "We'll highlight aspects of our REMS program and the distribution restricted to those that would qualify for receiving our product. And those would likely be the main focus moving forward."}, {"path": "tedlium_1679.wav", "duration": 14.1, "text": "Interesting, okay. And how would you characterize the pricing structure across your portfolio in the quarter and for the year? Are you expecting stability in pricing?"}, {"path": "tedlium_1680.wav", "duration": 14.1, "text": "Thankfully, our teams managed to keep many of our manufacturing facilities running, which was a critical accomplishment. We executed our business continuity and contingency plans to make -- to contain the impact of the incident"}, {"path": "tedlium_1681.wav", "duration": 14.1, "text": "dealers that we sell the LSW package through, by our choice. And the reason being is that we believe"}, {"path": "tedlium_1682.wav", "duration": 14.1, "text": "and adjusted EBITDA grew by 12.9%. These results were driven by the strength of both new and existing Shacks as well as by our focus and ongoing commitment to invest across our key digital initiatives and foundational infrastructure."}, {"path": "tedlium_1683.wav", "duration": 14.1, "text": "European hospitals are very cost conscious, and many of them see great potential value in being able to use the T2Candida Panel to rapidly remove patients from unnecessary and very expensive empiric anti-fungal therapy."}, {"path": "tedlium_1684.wav", "duration": 14.1, "text": "We have a social media campaign underway with a powerful group of authentic influencers to drive awareness and engagement for the brand. International expansion is a key priority to grow the brand."}, {"path": "tedlium_1685.wav", "duration": 14.1, "text": "And very importantly, we continued to reap the benefits of our OptionsHouse acquisition, now nearly 2 years post deal closed, driving improved metrics and expending the platform and offerings to our most active trading client base."}, {"path": "tedlium_1686.wav", "duration": 14.1, "text": "So we took perhaps a somewhat conservative view, there is definitely upside to our estimate, but we believe that those people have a greater chance of finding a cheaper property than those people who would look for as much of a 20% discount in the price."}, {"path": "tedlium_1687.wav", "duration": 14.1, "text": "But what happened today is they would be giving -- would go ahead and do that insurance coverage check with our partner organization and we determine what their exact coverage level, the bridge program would be an opportunity"}, {"path": "tedlium_1688.wav", "duration": 14.1, "text": "There are reasons for this, including higher planned maintenance this quarter and we have a lot of cost progress behind us. But we continue to be excited by the opportunity ahead of us. There is more to come in productivity."}, {"path": "tedlium_1689.wav", "duration": 14.1, "text": "certainly employ some other creative tactics that maybe a small, more flexible and nimble biotech company can use, that giant pharmaceutical companies that have strategic portfolio considerations may not be able to"}, {"path": "tedlium_1690.wav", "duration": 14.1, "text": "Sales of upholstery fabrics were exceptionally strong, as many customers were ordering ahead of the Chinese New Year holiday that occurred entirely in February this year, as opposed to January last year."}, {"path": "tedlium_1691.wav", "duration": 14.1, "text": "As we continue to diversify our customer base, we believe the hospitality market offers significant growth opportunities for Culp. We are actively pursuing acquisition opportunities in this area"}, {"path": "tedlium_1692.wav", "duration": 14.1, "text": "This presentation will be posted on our website and includes an appendix with footnotes and the reconciliations of GAAP to adjusted numbers. Please also refer to tables included in our earnings press release for a reconciliation of GAAP to the adjusted numbers that we will be discussing."}, {"path": "tedlium_1693.wav", "duration": 14.1, "text": "As our portfolio size increased, we also added some credit hedges, as you can see on Slide 16. JR and Larry mentioned that our adjusted net income effectively covered our dividend for the quarter."}, {"path": "tedlium_1694.wav", "duration": 14.1, "text": "we normally get the question how much -- when can we expect margins to be on a decent level in Finland, and of course, it will take some time, but there is no reason why Finland shouldn't be"}, {"path": "tedlium_1695.wav", "duration": 14.1, "text": "He has been working to identify and leverage the strengths of the tool companies and service companies within Actuant. As part of this process, we've started combining the Enerpac industrial tools and the Hydratight businesses from an operating standpoint."}, {"path": "tedlium_1696.wav", "duration": 14.1, "text": "as we went into this particular account, for example, we actually entered with a high-value kind of a project which also from a scale and size point of view can be very, very significant."}, {"path": "tedlium_1697.wav", "duration": 14.1, "text": "We've decided to take a turnaround in the fourth quarter in one of the catalyst operations really to get some of the reliability performance back to where we need to do. So that's, that's an additional opportunity on that side of it. But so it's really"}, {"path": "tedlium_1698.wav", "duration": 14.1, "text": "Freight was softer, especially after the Thanksgiving holiday. This, combined with the challenge of honoring driver home time while also encouraging drivers to come back to work in appropriate time, proved to be more difficult than we expected."}, {"path": "tedlium_1699.wav", "duration": 14.1, "text": "remains unchanged. Our expectation for full year unit margin improvement remains unchanged. Very much on track despite second quarter weather impacts. Again, the work is there. Everybody sees it"}, {"path": "tedlium_1700.wav", "duration": 14.1, "text": "Looking at contract manufacturing, we expect continued grow throughout 2019. While some clients have postponed decisions on project awards, we are making progress in other areas by expanding the products we produce."}, {"path": "tedlium_1701.wav", "duration": 14.1, "text": "And we have very close relationships with our major customers. And I think the proof of the pudding is in the eating. Dave told you we're having an outstanding peak. Well, that's because"}, {"path": "tedlium_1702.wav", "duration": 14.1, "text": "operating cash flows were up more than 40% for the year and free cash flow was up more than 70%. Color had another great performance in the fourth quarter and the group had an outstanding year."}, {"path": "tedlium_1703.wav", "duration": 14.1, "text": "And at the same time, we're world renowned for our safe and reliable networks and we are actually transforming the networks at the moment, with the new energy that's coming on. So to spend tens of billions of pounds of taxpayers' money"}, {"path": "tedlium_1704.wav", "duration": 14.1, "text": "that Jim mentioned in his opening remarks. This quarter, we announced a deal with Kohl's at our box in London, Kentucky, which we expect to announce other national tenants later this year, and we'll start opening those spaces towards the end of the year."}, {"path": "tedlium_1705.wav", "duration": 14.1, "text": "is acceptable to both parties, then there's a huge potential utilization of that asset in a different way. That was an additional one to the ones we were looking at around bitumen supply and utility supply. So"}, {"path": "tedlium_1706.wav", "duration": 14.1, "text": "Our expectations contain many risks and uncertainties. The principal risks and uncertainties that could cause our results to differ materially from our current expectations are detailed in our SEC filings."}, {"path": "tedlium_1707.wav", "duration": 14.1, "text": "You will have followed the Obuasi story over the past few years as we worked on optimizing the approach to the redevelopment and worked with the government of Ghana to agree the framework and conditions for the redevelopment."}, {"path": "tedlium_1708.wav", "duration": 14.1, "text": "Now turning onto our financial expectations. Based on timing expectations and projected costs of our clinical development plan, we expect that our current cash, cash equivalents and marketable securities"}, {"path": "tedlium_1709.wav", "duration": 14.1, "text": "As we look forward to how we contract our book, we actually incent our sales guys on making sure that we have a book of forward sales. And generally, what we're looking for, at a minimum"}, {"path": "tedlium_1710.wav", "duration": 14.07, "text": "As one of the first results, we found we could claim certain additional FICO credits for prior years. This amount was deducted from our income tax expense in the quarter. Otherwise, we would have paid an effective tax rate of 36.6%. Please"}, {"path": "tedlium_1711.wav", "duration": 14.07, "text": "Ultimately, there will be a final solution to the Zika situation nationwide and there will be a meaningful upside to our operations. Regarding supply after a couple of years of outsized growth, we now know there's only 1 smaller hotel reopening in South Beach."}, {"path": "tedlium_1712.wav", "duration": 14.07, "text": "the results to the Steel results. We buy steel from the steel mill at a market price, and we want to add value to steel sold by the steel mill."}, {"path": "tedlium_1713.wav", "duration": 14.07, "text": "maybe flagging anything in the contract on the other side, right? So I'm -- you lived through a number of years ago where the Obama administration snuck in some language about recompeting contracts"}, {"path": "tedlium_1714.wav", "duration": 14.07, "text": "This is just a sampling of the valuable additions that allow us to continue to drive growth. Before turning the call over to Steven, I would like to say that our thoughts are with the operators who've experienced loss during the recent hurricane."}, {"path": "tedlium_1715.wav", "duration": 14.07, "text": "For example, in ERCOT, the retail electric provider has full ownership of the customer relationship, including performing the billing function and customer service, with the exception of outages which is handled by the wires company."}, {"path": "tedlium_1716.wav", "duration": 14.07, "text": "Thanks, Rob. As we've said, 2015 was a year that presented us with a number of challenges, and I'm pleased with the ability of our team to adapt to current conditions while continuing to drive our long-term strategy."}, {"path": "tedlium_1717.wav", "duration": 14.07, "text": "We basically took out nearly 1 billion of capacity already. And what we said is the rest will come out of the collection of our system. And so we are working at that all the time and trying to get that out of the system. So that is our intention is to get the bulk of that out."}, {"path": "tedlium_1718.wav", "duration": 14.07, "text": "My greatest concern is which USA Truck will show up in the middle innings of this mighty change. We are proud of our results for sure, but it is our job as a team to make sure that these greatly improved results become the new standard of our business,"}, {"path": "tedlium_1719.wav", "duration": 14.07, "text": "Demand continues to be healthy across our product groups and geographies and we expect the acceleration of growth for our new program serving wireless applications."}, {"path": "tedlium_1720.wav", "duration": 14.07, "text": "We are delighted to be working with Chevron at Sarta. The asset has the potential to become one of the largest fields in KRI, and we look forward to starting the development journey and understanding the field potential."}, {"path": "tedlium_1721.wav", "duration": 14.07, "text": "except for the fact that there is so much private equity out there in funds waiting to be deployed, and those borrowers are almost always floating-rate borrowers because they want the flexibility that floating-rate debt gives them to be able to trade the assets."}, {"path": "tedlium_1722.wav", "duration": 14.07, "text": "with first production expected early in the second quarter of 2019. Also, in the Arkoma basin, we continue to work on deepening our technical understanding of the basin geology and maturing our drilling inventory."}, {"path": "tedlium_1723.wav", "duration": 14.07, "text": "I am pleased with the momentum in our business and our strategic transformation underway focused on our Growth Forward Plan. Our second quarter results demonstrate the consistency of our performance and our improved competitive positioning."}, {"path": "tedlium_1724.wav", "duration": 14.07, "text": "There are also factors that we believe could counterbalance these tailwinds to some degree. For several quarters now, we've discussed the tightening labor market with increasing labor costs, which is a headwind to our ability to reduce manufacturing costs."}, {"path": "tedlium_1725.wav", "duration": 14.07, "text": "So the terms that we take should be the best for you, the shareholder, and that's what we're looking at. We're looking at can we broaden our -- can we broaden what it is we're doing, so that we become a larger part of the market"}, {"path": "tedlium_1726.wav", "duration": 14.07, "text": "No. I think we should see some profitably in the first half because the actions we've taken were here in the fourth quarter in terms of headcount reductions. So it's likely to ramp up a little bit towards the back, but we should be profitable the first half of the year."}, {"path": "tedlium_1727.wav", "duration": 14.07, "text": "Thank you, Anuradha. I would like to welcome everybody to this call and appreciate your joining us for the discussion on the results of the third quarter of fiscal 2016. Let's begin with details of some of the key developments of the quarter,"}, {"path": "tedlium_1728.wav", "duration": 14.07, "text": "a large payment of cash one way or the other into one quarter or another quarter. So I don't think it's something you should look at as seasonal so much as just our ability to achieve these milestones and get the"}, {"path": "tedlium_1729.wav", "duration": 14.07, "text": "in the other players, my observation is that it is not fully absorbed by the market because the market does not believe closures until it sees them. So I think you probably have to wait for"}, {"path": "tedlium_1730.wav", "duration": 14.07, "text": "very keenly focused on exactly what the design is and how that project will ultimately benefit the community. We -- there are a number of areas that we would like to see benefits come. We want to make sure the project helps with transit,"}, {"path": "tedlium_1731.wav", "duration": 14.07, "text": "For the first time, we have also published Health separately. I know this was a big desire of yours or some of yours over a long time. We have done it. Because Health for us is very important."}, {"path": "tedlium_1732.wav", "duration": 14.07, "text": "Before I turn the call over to them. We'd like to refer you to Slide 2 on the presentation, and advise that certain remarks we make during this call about the company's future expectations, plans and prospects constitute forward-looking statements"}, {"path": "tedlium_1733.wav", "duration": 14.07, "text": "organic growth. And so we fund our businesses for both maintenance and productivity and growth. And as we've announced, we've been implementing this growth capital on the specialty side."}, {"path": "tedlium_1734.wav", "duration": 14.07, "text": "that the contract manufacturing data is going to add much? Is there much growth potential with either of those to make up the difference until some big orders flow in?"}, {"path": "tedlium_1735.wav", "duration": 14.07, "text": "These measures should not be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP. A reconciliation of these measures to the most directly comparable GAAP measure is available in our fourth quarter 2018 earnings release."}, {"path": "tedlium_1736.wav", "duration": 14.07, "text": "but if we're able to maintain these effects, we should see greater treatment differences than we're seeing with droxidopa assuming, of course, that the placebo response is comparable to what they had in their own studies and we have no reason to believe that it would be different."}, {"path": "tedlium_1737.wav", "duration": 14.07, "text": "So, that's why we've made WOODS and other own brands a priority for Chek this season. Over the coming weeks, we'll execute a plan to re-merchandise our athletic and outerwear departments by category instead of by brand as they are today"}, {"path": "tedlium_1738.wav", "duration": 14.07, "text": "I think if you look at my little story on Paderno and apply the same thinking we've got sort of season-after-season plans in place for Helly. And when we bought them in July, you could well imagine they didn't have"}, {"path": "tedlium_1739.wav", "duration": 14.07, "text": "give us an idea of historically, how much of that pricing sticks? And given that we're in a pretty weak-demand environment at the moment, if you think that pricing increase will be more or less sticky than it historically has been?"}, {"path": "tedlium_1740.wav", "duration": 14.07, "text": "While the power outage environment is obviously beyond our control, when market conditions inevitably improve, we believe we are well positioned to fully leverage the innovative sales and marketing programs for home standby generators, which were largely only implemented within the last 3 years."}, {"path": "tedlium_1741.wav", "duration": 14.07, "text": "For full year 2018, we were pleased to deliver 11% top line growth with strong operating leverage, ahead of the expectations we had in the beginning of the year and well above the growth rates we saw in most of the end markets we serve."}, {"path": "tedlium_1742.wav", "duration": 14.07, "text": "in converting our product mix into the premium products. And so we have to expand that capacity. There's investments happening in our Lawrenceburg facility. We've got additional investments happening in"}, {"path": "tedlium_1743.wav", "duration": 14.07, "text": "The way that I look at this and the way that our whole company looks at this, we were the original, right, the original place to invest online. Our brand absolutely extends and is welcomed by that customer set,"}, {"path": "tedlium_1744.wav", "duration": 14.07, "text": "He has been a key contributor to the development and execution of the company's strategic plan, and has played a strong financial foundation for Cable ONE to continue its focus on driving growth that is profitable and sustainable."}, {"path": "tedlium_1745.wav", "duration": 14.07, "text": "really think that it would help us in terms of a time line to try to get this licensed in another country because the NRC would probably want to see the same kind of testing that we already plan to be doing."}, {"path": "tedlium_1746.wav", "duration": 14.07, "text": "So therefore in Q1 we had the somewhat higher price than we would have thought given that we got the better mix in Q1. In Q2, where we expect volumes to be higher we will also have a slightly worse mix from that point of view"}, {"path": "tedlium_1747.wav", "duration": 14.07, "text": "Well, to put a little more color on it, I would say it's a few points above average relative to the other parts of our sweet goods portfolio, but the gaps aren't very big. They're a couple of points, maybe."}, {"path": "tedlium_1748.wav", "duration": 14.07, "text": "Construction activity month-over-month has shown steady improvement since the start of the year, according to data from Dodge. Work continues to translate funding from the FAST Act into activity on the ground, but the impact to-date has been negligible."}, {"path": "tedlium_1749.wav", "duration": 14.07, "text": "as teammates here than any other place in the world. But I'd imagine we'd be pretty darn close. Because this is a competitive mindset and one that just -- does just want to be better. And so we realized is that we want to be clear. We are certainly not declaring victory,"}, {"path": "tedlium_1750.wav", "duration": 14.07, "text": "capacity coming online if it doesn't find a home, how much of that could you get? What would you say is your, from this point forward, your incremental market share opportunity in the Canadian oil sands for every barrel of oil that comes out?"}, {"path": "tedlium_1751.wav", "duration": 14.07, "text": "And I said already, drug channel was definitely an issue where they are impacted by this frequency, and as well department stores, where chocolate is big as well has been affected."}, {"path": "tedlium_1752.wav", "duration": 14.07, "text": "I don't know if you can bucket it out at all in terms of just headwinds that you would have been facing even without tax savings reinvestment. And I think there was a call-out on the Arizona minimum wage, would be one bucket."}, {"path": "tedlium_1753.wav", "duration": 14.07, "text": "So our aim is to really try to catch as many as we can as early as possible and get our products, our current preservation media products baked into their protocols and so they're carried through all the way. It would be much easier for us to displace"}, {"path": "tedlium_1754.wav", "duration": 14.07, "text": "For our company, I have to say we are disappointed by the Federal Trade Commission's decision to put us through a second request related to the proposed GPP-Delek Logistics joint venture to acquire terminal assets from American Midstream."}, {"path": "tedlium_1755.wav", "duration": 14.07, "text": "Second, with a solid mix of leading iconic brands and expanding on-trend brands, we have a strong portfolio that is adaptable to meet consumer needs."}, {"path": "tedlium_1756.wav", "duration": 14.07, "text": "The outstanding performance delivered in the fourth quarter was driven by the team's continued execution of a pricing strategy committed to favoring margin over volume, an engaged workforce focused on continuous improvement and productivity"}, {"path": "tedlium_1757.wav", "duration": 14.07, "text": "We expect the most significant drop in volumes to occur in the fourth quarter of our current fiscal year as Brazil shipped heavily in the fourth fiscal quarter of 2016, and we do not expect to attain a similar level of shipments there this fiscal year."}, {"path": "tedlium_1758.wav", "duration": 14.07, "text": "where we expect many, many employees and people whose lives he touched to join and meet with us. So very turbulent times. A sad milestone, but at the same time, an opportunity to remember where we come from"}, {"path": "tedlium_1759.wav", "duration": 14.07, "text": "This is one of the largest and most comprehensive insurance analytics deals in the BPM history -- our BPM industry, pardon me, and a true testament to our deep domain capabilities."}, {"path": "tedlium_1760.wav", "duration": 14.07, "text": "looking at our 3-year rate cases in both New York and then also in Connecticut, so we have the assurance of getting 3 years' worth of rate increases and stability and also our capital spending for that matter in both those jurisdictions."}, {"path": "tedlium_1761.wav", "duration": 14.07, "text": "that situation this year. Those businesses are very good right now. So I think we're getting some benefit from it. Obviously, the belief is that, that would moderate itself a little bit as we get into April and probably early second quarter when all of those things kind of"}, {"path": "tedlium_1762.wav", "duration": 14.07, "text": "There are many opportunities in the future. But right now, we're using a lot of autonomy to make our team safer and to give them a better quality of life on the road. And we're using a lot of different technologies to make sure that our sustainability efforts"}, {"path": "tedlium_1763.wav", "duration": 14.07, "text": "due to the reduced returns we've not chosen to invest marginal capital in this sector and we will continue to either allow the portfolio to run off or reallocate our capital to other agency backed mortgage sectors."}, {"path": "tedlium_1764.wav", "duration": 14.07, "text": "made a huge amount of sense. And so yes, it seems like that's kind of the same logic that's underpinning this combination announcement that was made earlier this week. So"}, {"path": "tedlium_1765.wav", "duration": 14.07, "text": "think would be a cap rate spread? And do you think it would be positive? Or could it start out with being, I guess, negative and then growing as you put more effort into leasing or what have you at the various properties?"}, {"path": "tedlium_1766.wav", "duration": 14.07, "text": "per hour of the traditional Yoga content is much lower than it would be for the Seeking Truth-type content that has the animation and the post-production value in it. And I think the other piece here is as we've launched the Transformation channel and we're trying to"}, {"path": "tedlium_1767.wav", "duration": 14.07, "text": "we are now better equipped to deal with the variability. First, we have taken some immediate steps to reduce cost at our main specialty alumina production facility in the Netherlands."}, {"path": "tedlium_1768.wav", "duration": 14.07, "text": "As expected, it will take time for our community to get used to the changes. But overall, we are pleased with the initial results, and we'll be making the redesign available to our entire community in Q1. There is a lot of work ahead as we optimize the updated application,"}, {"path": "tedlium_1769.wav", "duration": 14.07, "text": "That tends to happen to be magnified when you already are having a very strong year. And I think we had definitely a good year, but as you know, the first half was still a challenge for us and it was really in the third quarter where we really kind of picked up"}, {"path": "tedlium_1770.wav", "duration": 14.07, "text": "In 2016, he became our first Director of Talent Development and was responsible for creating and implementing a comprehensive new sales associate and store manager training program throughout the company."}, {"path": "tedlium_1771.wav", "duration": 14.07, "text": "By identifying these requirements that go above and beyond the standard needs of HR and payroll for technology companies, we have differentiated our products from the rest of the industry."}, {"path": "tedlium_1772.wav", "duration": 14.07, "text": "Finally, as we have discussed earlier, we extended our scope of services at Kroger to provide them with self-service capabilities for their large base of suppliers to inquire on claims and view supporting information."}, {"path": "tedlium_1773.wav", "duration": 14.07, "text": "small to medium and potentially large, may not be HITRUST certified. And that is the gold standard for the health insurance industry. So that's one of the factors where we see consolidation also potentially"}, {"path": "tedlium_1774.wav", "duration": 14.07, "text": "In the third quarter last year, we completed the acquisition of Northern Illinois Steel Supply and All Metal Services followed by the fourth quarter 2014 acquisition of Fox Metals and Alloys."}, {"path": "tedlium_1775.wav", "duration": 14.04, "text": "Further, our data-driven compliance framework initiatives allow us to automate a number of compliance review functions that are more repetitive in nature, while simultaneously expanded the number of relevant transactions we access."}, {"path": "tedlium_1776.wav", "duration": 14.04, "text": "was submitted. That's where the support comes for claim. So the more claims is submitted for that specific carrier, the faster it comes through a more consistent"}, {"path": "tedlium_1777.wav", "duration": 14.04, "text": "in the areas where we see more opportunity, pulling back in areas that are under pressure. In 2016, we will continue to reduce our commitment to markets such as energy insurance"}, {"path": "tedlium_1778.wav", "duration": 14.04, "text": "relative to controls. While there were no fraudulent activities identified or material misstatements, it was identified by the company that we did have control issues,"}, {"path": "tedlium_1779.wav", "duration": 14.04, "text": "Our outlook for 2016 is essentially unchanged from what was provided at our Analyst Day in December, other than it has been adjusted to now reflect a lower weighted average number of shares outstanding."}, {"path": "tedlium_1780.wav", "duration": 14.04, "text": "And what we wanted to do was estimate an immediate dose that would have a good enough increase in exposure to expect that we might be able to pick up an increment in efficacy."}, {"path": "tedlium_1781.wav", "duration": 14.04, "text": "That's a very good question and as we focused on this tough macro environment for the last couple of years, we take the same lesson, we can control what we can control and we have a lot of room for improvement within our walls, so to speak."}, {"path": "tedlium_1782.wav", "duration": 14.04, "text": "We believe the vast majority, and the only reason I mention it, of these surprises are behind us and feel that the profitable growth should start to kick in now and we'll see the success continue."}, {"path": "tedlium_1783.wav", "duration": 14.04, "text": "But now I see already first responses from our landlords in a way that they start realize that they have to create a little bit more flexibility for us in terms of the transformation"}, {"path": "tedlium_1784.wav", "duration": 14.04, "text": "a strategic move that will position Reis to provide intelligence on every property that may be of interest regardless of the users function or the type of transaction, management or marketing activity in which the user is engaged."}, {"path": "tedlium_1785.wav", "duration": 14.04, "text": "There are no further questions in the queue at this time. Why don't we -- we're almost an hour, but why don't we go ahead and give everybody one more opportunity to enter. And then we'll clear those if they do. And if they don't, then we'll end it at this."}, {"path": "tedlium_1786.wav", "duration": 14.04, "text": "played out in Q4. And that was Q4 was going to be the first year -- first quarter where we saw growth for the company for the enterprise within the framework, which we did."}, {"path": "tedlium_1787.wav", "duration": 14.04, "text": "But of course, this is phase 1. For the second phase, evaluate. As we bring new capabilities to the market, we work with our clients every day to help them understand the data, and importantly, how they can use the data to run their business."}, {"path": "tedlium_1788.wav", "duration": 14.04, "text": "We're fortunate to have excellent billing management and many of the outstanding issues are being aggressively resolved. While much work remains in billing, we're seeing tangible progress in many areas."}, {"path": "tedlium_1789.wav", "duration": 14.04, "text": "As one measure of the strength of our business, we monitor what we call base EBITDA. Base EBITDA eliminates the financial impact of performance fees as well as certain expenses such as stock option and retirement obligation expenses."}, {"path": "tedlium_1790.wav", "duration": 14.04, "text": "First, you'll see ongoing focus on strong execution both with our in-line and development products. Second, we anticipate an increasing number of clinical data readouts and regulatory updates across our portfolio."}, {"path": "tedlium_1791.wav", "duration": 14.04, "text": "of? Well, the only thing that's different for the second half is we have 2 quarters of missing that large contract versus the one that we had in the first quarter -- or in the first half. Because in the first half, we had a full first quarter of the contract and only missed it in the second."}, {"path": "tedlium_1792.wav", "duration": 14.04, "text": "The company undertakes no obligation to publicly correct or update the forward-looking statements made during the presentation to reflect future events or circumstance, except as may be required under applicable security law."}, {"path": "tedlium_1793.wav", "duration": 14.04, "text": "Jeff will provide additional comments on the quarter, a brief overview of summary financials and then provide a snapshot of our financial position and review the upcoming investor conference calendar. Following that, we will open the floor up to questions."}, {"path": "tedlium_1794.wav", "duration": 14.04, "text": "It is clear that our investments in and our focus on new games and cabinet form factors is resonating with our customers and resulting in increased market demand and market share for our products."}, {"path": "tedlium_1795.wav", "duration": 14.04, "text": "As we have discussed before, the base business has been impacted by consortium pricing pressures and involving consortium structure and additional competitive generic entrants in certain product categories."}, {"path": "tedlium_1796.wav", "duration": 14.04, "text": "And their model was more outsourced. Ours is more managed in-house. And so I think we can -- have been able to have some -- we'll have some impact there. But they've got very deep ties in that community and with that relationships. So I think"}, {"path": "tedlium_1797.wav", "duration": 14.04, "text": "and we have a resource that appropriately -- and that is part of the costs we're seeing, but we are excited about the possibility of having a new area or 2 to get some new bank customers."}, {"path": "tedlium_1798.wav", "duration": 14.04, "text": "Our growing backlog provides the foundation upon which I expect to deliver revenue growth and increased earnings over the next 3 to 5 years."}, {"path": "tedlium_1799.wav", "duration": 14.04, "text": "Our Capital Markets and investment sales teams continue to grow and diversify our earnings, and we have now added an asset management platform into the mix to drive further diversification and enhancement to the economics of our brokerage business."}, {"path": "tedlium_1800.wav", "duration": 14.04, "text": "to distribution and consolidated around our most successful ESCOs. Essentially, we've gone from over 100 ESCO partners at the beginning of this year to about a dozen today that represent most of the volume."}, {"path": "tedlium_1801.wav", "duration": 14.04, "text": "Roger and his team did an excellent job of balancing promotional activities to maintain strong profitability, while driving sales growth and dramatically lowering our RV inventory levels."}, {"path": "tedlium_1802.wav", "duration": 14.04, "text": "And that's obviously an enormous -- would be an enormous boost to get them aligned to the ownership agenda as well in the coming 2 to 3 years. Again, I want to check if I answered your question."}, {"path": "tedlium_1803.wav", "duration": 14.04, "text": "risk premium is essentially unchanged. What we're seeing is that it's going to get some lift off of the index. So I think we feel pretty confident that we're going to be able to achieve that."}, {"path": "tedlium_1804.wav", "duration": 14.04, "text": "We plan to continue to generate core deposits and remain competitive in our primary market of the Washington Metropolitan region, which is important both as a funding strategy and for franchise value."}, {"path": "tedlium_1805.wav", "duration": 14.04, "text": "And when you think about it, these drugs should be given together and you basically guarantee now that they're given together. So not only is it the right thing to do for the efficacy and safety profile of the drug,"}, {"path": "tedlium_1806.wav", "duration": 14.04, "text": "I think sometime in May or June of this year. I was just curious if that has actually occurred? And if you're hearing anything about possible properties that might"}, {"path": "tedlium_1807.wav", "duration": 14.04, "text": "of the company to be materially different from any future performance, financial condition or results of operation implied by such forward-looking statements. Further information regarding these risks, uncertainties and other factors"}, {"path": "tedlium_1808.wav", "duration": 14.04, "text": "Thank you for taking the time to participate in our meeting. The main topic is our new corporate strategy. But first, I want to provide an outline of our financial results for the third quarter, which we have announced today."}, {"path": "tedlium_1809.wav", "duration": 14.04, "text": "I've seen some good green shoots of growth in Brazil and even in some of the other areas of South America, Colombia, where the consumer wants healthy food. I always talk about the rise of dairy,"}, {"path": "tedlium_1810.wav", "duration": 14.04, "text": "and if we would have to change some of our analysis, it will be part of the statistical plan. So operationally, it doesn't hold us back to start"}, {"path": "tedlium_1811.wav", "duration": 14.04, "text": "and I think close-in bookings did well, particularly in December, and the close-in environment isn't as strong this year. Can you talk about when you were setting that range, how you thought about that situation?"}, {"path": "tedlium_1812.wav", "duration": 14.04, "text": "from Canadian operations here buying more product from Helly allows them to even expand their categories more on a worldwide basis. And we can test things here that if successful, they can take around the world as well."}, {"path": "tedlium_1813.wav", "duration": 14.04, "text": "to continue with at this stage. We're very careful in making sure that we can devote the funds to the key programs that can provide the most value right now."}, {"path": "tedlium_1814.wav", "duration": 14.04, "text": "it's anchored in a small handful of strategic relationships that could get to a point of saturation. The ability to bring more clients into that sort of strategic dynamic is clearly good for"}, {"path": "tedlium_1815.wav", "duration": 14.04, "text": "We want to make an observation because several commentators have said that the net earnings is in part the result of tax recoveries. But I want to comment that when we look at adjusted earnings we are consistent with prior practice where we adjust"}, {"path": "tedlium_1816.wav", "duration": 14.04, "text": "In addition to the numerous growth opportunities from the combined firms, we remain excited by our growth opportunities in Asian equities in particular and the opportunities presented to us in Europe as a result of MiFID II. If"}, {"path": "tedlium_1817.wav", "duration": 14.04, "text": "However, it is our opinion that the third quarter charge represents the significant portion of our potential risk on the project and properly accounts for everything we know of today. Moving on to our financial position and modeling targets."}, {"path": "tedlium_1818.wav", "duration": 14.04, "text": "we will continue to build on the momentum that we've created in the areas where we have seen significant growth, such as the Venue Data Room, our global Language Solutions offering and our content management solutions within our investment market's reporting unit."}, {"path": "tedlium_1819.wav", "duration": 14.04, "text": "and didn't reflect the store set that you see in one of our current new store openings, meaning that we didn't offer everything in those stores. I would say probably about"}, {"path": "tedlium_1820.wav", "duration": 14.04, "text": "As we discussed previously, Hub intends to use its balance sheet to continue to invest in our core business, but also to diversify our service offerings to our clients. And we feel the best way to diversify is through acquisition."}, {"path": "tedlium_1821.wav", "duration": 14.04, "text": "It's really very analogous to our operations in Poland and Romania, which is where these feed grains are grown. So we have very favorable conditions there. And when price levels in Europe"}, {"path": "tedlium_1822.wav", "duration": 14.04, "text": "We've made a major announcement this month and a powerful step forward on this front with the introduction of our comprehensive Cloud Solution for Faith Communities. Blackbaud will now bring our proven strength in financial management,"}, {"path": "tedlium_1823.wav", "duration": 14.04, "text": "While the potential array of outcomes remains quite broad, we believe a platform like ours with core strengths and structuring, pricing and syndicating mortgage credit risk stands at a benefit in a market that welcomes more competition."}, {"path": "tedlium_1824.wav", "duration": 14.04, "text": "We believe the unique solutions that we are developing for MCC of Florida, including specialized crisis intervention, emergency housing, and interaction with law enforcement, will prove to be applicable in other states."}, {"path": "tedlium_1825.wav", "duration": 14.04, "text": "that are not really commercially viable anymore. So I think we're starting to see some customers turn off their older reactors and just not use them. And"}, {"path": "tedlium_1826.wav", "duration": 14.04, "text": "The sale of our ownership interest in Four Corners on July 6 not only allows us to become a cleaner utility but will limit our financial obligations relating to potential environmental regulations, which, of course, benefits all stakeholders."}, {"path": "tedlium_1827.wav", "duration": 14.04, "text": "Barnes Group does generate meaningful revenues from Volkswagen. However, more than half our revenues from them are not dependent upon the engine platform as most of our products are employed to produce auto body parts."}, {"path": "tedlium_1828.wav", "duration": 14.04, "text": "Immediate actions include doubling our focus on productivity initiatives, accelerating our efforts on key development projects and leveraging the combined purchasing power of our collective business, to name but a few,"}, {"path": "tedlium_1829.wav", "duration": 14.04, "text": "The regulatory landscape is evolving, and we believe it is, therefore, essential to have an operational model that is specifically designed for the management of closed life funds."}, {"path": "tedlium_1830.wav", "duration": 14.04, "text": "These forward-looking statements are made only as of the date hereof, and except as required by law, we undertake no obligation to update or revise any of them, whether as a result of new information, future events or otherwise."}, {"path": "tedlium_1831.wav", "duration": 14.04, "text": "and can also be replayed through this same channel. Before we continue with the conference call, I would like to go over some safe harbor information and other details of the call, as we usually do in this type of events."}, {"path": "tedlium_1832.wav", "duration": 14.04, "text": "to monetize gains and to reinvest the proceeds into our core assets. Our rotation of the American Capital portfolio is now largely complete and what was a successful acquisition by any measure for our shareholders."}, {"path": "tedlium_1833.wav", "duration": 14.04, "text": "And so there's no real need to have the added complexity in the pump of titrating to a different dose because that's done in the cartridge that the patient receives in the mail and then throws away afterwards."}, {"path": "tedlium_1834.wav", "duration": 14.04, "text": "But as I sort of run through my model and look at everything, it's hard to believe that the OEMs can keep up with what the demand should be or could be based on the rig counts that we're seeing."}, {"path": "tedlium_1835.wav", "duration": 14.04, "text": "I think as we get towards the end of this year and hopefully, we see some of the uptick in gas prices that we all expect that there would be some good timing in there for that asset to potentially be looked at even in a fully marketed deal. So I"}, {"path": "tedlium_1836.wav", "duration": 14.04, "text": "Vending signings are up over 50% for the year. And while it takes time for signings to turn into revenues, they are a good indicator of future growth prospects and share capture."}, {"path": "tedlium_1837.wav", "duration": 14.04, "text": "Our discussion today will contain certain forward-looking statements reflecting management's current beliefs about the company's future financial performance and business prospects. And these forward-looking statements are subject to inherent risks and uncertainties and speak only as of today."}, {"path": "tedlium_1838.wav", "duration": 14.04, "text": "We've talked in the past several quarters about the strength of the marketplace model, with our diversity of investors and about our ability to respond in a rapidly changing credit and economic environment, and this quarter's results further support that thesis."}, {"path": "tedlium_1839.wav", "duration": 14.04, "text": "We look forward to publishing the data from the ALPINE study and presenting full study results, including interesting additional findings on prolactin, sexual side effects, sedation and other safety and tolerability measures at upcoming scientific meetings."}, {"path": "tedlium_1840.wav", "duration": 14.04, "text": "We also have the commercial prowess and market liquidity to capitalize on volatility and lock in value on a 2- to 3-year forward basis, contributing to certainty, stability and visibility of our EBITDA and free cash flow."}, {"path": "tedlium_1841.wav", "duration": 14.04, "text": "Additionally, they are joining the Visa network of clients, financial institutions and will be able to offer Visa accounts in Europe, enabling consumers and businesses to use their PayPal funds to spend wherever Visa is accepted."}, {"path": "tedlium_1842.wav", "duration": 14.04, "text": "In simple terms, the cash component of the acquisition of additional interest in the Pennsylvania Mining Complex that we completed in September of '16, has been almost fully funded through internally generated cash flow."}, {"path": "tedlium_1843.wav", "duration": 14.0399375, "text": "for everybody usually is how the acquisition pipeline looks. Can you talk a little bit about what you're seeing, what you think might work, whether you're looking for technology additions"}, {"path": "tedlium_1844.wav", "duration": 14.01, "text": "So currently that should be favorable for us. So our visibility and our guidance therefore we increase it for the second half because we have quite some visibility into our third and fourth quarter. On the Tata deal, no, no worries about it. Look,"}, {"path": "tedlium_1845.wav", "duration": 14.01, "text": "And so second half of next year as far as timing goes is going to be a really important readout for ACE-083. And then as far as we'll wait and see based off of those data if we decide to expand"}, {"path": "tedlium_1846.wav", "duration": 14.01, "text": "which is often seen as a bellwether for the rating conditions for the rest of the year, prices continue to drop in our portfolio by 5%. Now with overall pricing reduction,"}, {"path": "tedlium_1847.wav", "duration": 14.01, "text": "and we think that will give us the tools to be able to move forward with an appropriate plan to maximize value that fits the needs of Capstone going forward at Santo Domingo. We continue to really like the project."}, {"path": "tedlium_1848.wav", "duration": 14.01, "text": "And although the decision to leave after 10 years, the dynamic world of the emerging growth markets has been an emotional one, I'm very excited to have joined the headquarters to take the helm of the company."}, {"path": "tedlium_1849.wav", "duration": 14.01, "text": "With this added cash, we are now appropriately resourced to execute on our agreed regulatory requirements and to invest in launch preparation and commercialization to be successful in the competitive HAE market,"}, {"path": "tedlium_1850.wav", "duration": 14.01, "text": "are you kind of pointing to the fact that the absolute dollars that we saw in the first quarter will likely moderate a little bit in the coming quarters or is it the percent growth that"}, {"path": "tedlium_1851.wav", "duration": 14.01, "text": "you are going to take away all the benefits that you received really quickly from the parts discounts that you received. And so this is a normal cycle. I think it lasts for a while frankly, I mean, I do think a lot of these"}, {"path": "tedlium_1852.wav", "duration": 14.01, "text": "When talking about the potential changes in our business today, I truly believe that we have to put into context the time frame in which these changes might occur."}, {"path": "tedlium_1853.wav", "duration": 14.01, "text": "Now that there's a broader acceptance of the need for lower rates for longer, the paranoia that has surrounded this sector is beginning to dissipate for the larger, more diversified participants."}, {"path": "tedlium_1854.wav", "duration": 14.01, "text": "including the greater Philadelphia market, which we have operated in since our inception in 2002, we believe, the runway for store growth is long and the associated earnings potential is large."}, {"path": "tedlium_1855.wav", "duration": 14.01, "text": "I hope this presentation affirms for you the fact that we stayed incredibly focused on advancing our technical prowess in our well results this year, which sets the company up for a very exciting 2017 and beyond."}, {"path": "tedlium_1856.wav", "duration": 14.01, "text": "But with regard to the measurement part of our portfolio, we've been clear at every opportunity over this past year that the way we see the future of measurement is that, yes, it will still involve these high-quality panels that we've historically"}, {"path": "tedlium_1857.wav", "duration": 14.01, "text": "From dialing back, yes, there was a little bit. We expressed that the range of where we expected we could land. We did ultimately decide to go on the low end of that range, looking at some of our traffic trends that were going the right direction, we wanted to continue that momentum,"}, {"path": "tedlium_1858.wav", "duration": 14.01, "text": "That's the piece that we started addressing in the middle of 2017. I feel like we have a good handle on it. It's a continuous improvement process. But it's also being addressed in all of our contract negotiations"}, {"path": "tedlium_1859.wav", "duration": 14.01, "text": "We believe there is a tremendous opportunity to continue to grow the SKECHERS brand around the world, as we build our presence through marketing, retail expansion and gaining shelf space within our wholesale accounts."}, {"path": "tedlium_1860.wav", "duration": 14.01, "text": "As highlighted, we now have a platform that allows us to tailor products to messages, which in turn allows us to segment the large market and target new customer groups. We are ready for diet season and look forward to sharing more on our next call."}, {"path": "tedlium_1861.wav", "duration": 14.01, "text": "And maybe you can give us a sense of how much price you think can be added to new acquisitions? And I'm not too sure if you've already told us this, but could you remind us of the time line that we could expect before those pricing increases to be realized?"}, {"path": "tedlium_1862.wav", "duration": 14.01, "text": "We are pleased to see mass cytometry taking a prominent role in informing the development of new immunotherapies. It is still early days, however, these results offer additional steps forward toward utilizing the power of T cell therapies to save lives."}, {"path": "tedlium_1863.wav", "duration": 14.01, "text": "first of all, it was great to see the revenue accelerate the way it did, but I was a bit puzzled that the EBITDA margins compressed on a 30% increase on the top line. I mean the business has always been"}, {"path": "tedlium_1864.wav", "duration": 14.01, "text": "Now added to the demand picture is the retirement of more coal plants due to environmental regulations and of nuclear-fueled instruments due to age and operational issues,"}, {"path": "tedlium_1865.wav", "duration": 14.01, "text": "This does conclude the program, and you may all disconnect. Everyone, have a great day."}, {"path": "tedlium_1866.wav", "duration": 14.01, "text": "Within material costs, we continued to experience commodities inflation, primarily in wood, resins and steel, and we introduced market price increases in all channels across all major geographies that were designed to mitigate this."}, {"path": "tedlium_1867.wav", "duration": 14.01, "text": "Also consistent with this vision, we expect to become much more deliberate in the identification and acquisition of platform extensions, new platforms, teams or products that will help us better serve the small business market."}, {"path": "tedlium_1868.wav", "duration": 14.01, "text": "We mentioned in the fact that some of our expenses we've accrued this year is related to some certainty that we feel. We were a little more predictable than last year. And I do think, as I recall, we had some items that lifted us towards the end of last year."}, {"path": "tedlium_1869.wav", "duration": 14.01, "text": "and just -- I've been critical of things here and I've been supportive of things. I would say we have a very strong analytical framework for how we think about how and where we're investing."}, {"path": "tedlium_1870.wav", "duration": 14.01, "text": "And to the extent, if coal does slow down a little bit faster than we thought, we've proven ourselves to be very good at taking out cost and maintaining or driving up margins in those businesses, and we'd expect to do the same thing,"}, {"path": "tedlium_1871.wav", "duration": 14.01, "text": "And while that may seem bold, it's not as bold as it sounds. Predominantly because of the way our business is structured. It's structured in regions. We have an operating system. We have the controls in place."}, {"path": "tedlium_1872.wav", "duration": 14.01, "text": "we are modifying our training and incentive programs, simplifying our policies and procedures, leveraging technology to take the friction out where it exists, and providing relevant information when and where an adviser needs it."}, {"path": "tedlium_1873.wav", "duration": 14.01, "text": "Our first quarter results show that we are delivering on our first priority, and we are off to a solid start in the first half of the year, which is driven by the northern hemisphere and the Brazilian safrinha planting seasons."}, {"path": "tedlium_1874.wav", "duration": 14.01, "text": "Before I begin with the quarterly financial review, I'd like to highlight the expected near-term financial impacts of our go-forward plan that Adam just discussed. The plan has 2 impacts. The first is on revenue."}, {"path": "tedlium_1875.wav", "duration": 14.01, "text": "we also see new competitors entering this market, and we've talked about this earlier. So competition -- competitive pressure is increasing in the marketplace and also leads to some price pressure."}, {"path": "tedlium_1876.wav", "duration": 14.01, "text": "in the last few weeks. During industry conferences and the meetings with various pharma, biotech and government agencies, we are encouraged by their response to the data that we're sharing with them."}, {"path": "tedlium_1877.wav", "duration": 14.01, "text": "we intend to work that out with our potential partner for further developments, and I don't know for certain that things will go in that direction. But I do think I've captured the"}, {"path": "tedlium_1878.wav", "duration": 14.01, "text": "We're optimistic about growth in the Americas logistics market following a difficult year last year where we didn't see, as you pointed out, larger orders from some of our previously larger customers that we had expected."}, {"path": "tedlium_1879.wav", "duration": 14.01, "text": "We experienced a 100 basis point deterioration in marketing leverage during the first quarter. Although we adjusted our marketing spend in response to soft sales demand, we were unable to fully offset the lower response rates on our marketing campaigns."}, {"path": "tedlium_1880.wav", "duration": 14.01, "text": "And of course, as you are in the -- as you're bobbing around in the ocean offshore West Africa, it's a bit harder to fix some of this sort of equipment than you are when you're in the yard in Singapore. So perhaps do even more"}, {"path": "tedlium_1881.wav", "duration": 14.01, "text": "But we believe that's still going to be coming back. They're in their quiet period right now because it's a basically fall down there for them. When you turn around and you look at the"}, {"path": "tedlium_1882.wav", "duration": 14.01, "text": "And then anecdotally, now that you've been through a few quarters of beginning to ramp up the level of spending, can you talk at all about where you found the reinvestment to be particularly effective, where you've made the decision to pull back based on the payback you've observed?"}, {"path": "tedlium_1883.wav", "duration": 14.01, "text": "Thank you, everyone, for the great questions and for, obviously, tuning into our year-end financial call. We really appreciate the interest in the company and look forward to seeing you at future conferences. Thank you so much."}, {"path": "tedlium_1884.wav", "duration": 14.01, "text": "shipments of coal? And if Hillsboro were to come up and operate, to what extent could you operate it fully and have confidence that you'd be able to place the incremental tons into the market?"}, {"path": "tedlium_1885.wav", "duration": 14.01, "text": "Mark, I'm not going to target any specific ratios at this time, and I'm not going to manage the business based on that. We're always going to be evaluating what's in the best interest for the partnership over the long term. This isn't a sprint. It's a marathon."}, {"path": "tedlium_1886.wav", "duration": 14.01, "text": "we had currencies that were stronger in the quarter than what was forecast when we provided our guidance and that is the underpinning of our budget. The conclusion of all of which is that the costs were in line with expectations"}, {"path": "tedlium_1887.wav", "duration": 14.01, "text": "Just as importantly, we are quickly becoming the partner of choice for companies in a broader health care continuum, where our aligned interest in the patient and the value of their genetic information allows us to work together in bringing extremely valuable therapies to market faster."}, {"path": "tedlium_1888.wav", "duration": 14.01, "text": "So you have this work in the shop. It's -- we call it work in progress, and not able to bill it. And then you're kind of at the hands of the regulation process in terms of when that will come out the other end. So that clouds that"}, {"path": "tedlium_1889.wav", "duration": 14.01, "text": "In addition, higher mutual funds volume as well as growth in Language Solutions and our Venue Data Room services only partially offset lower transactional and compliance volume. Fourth"}, {"path": "tedlium_1890.wav", "duration": 14.01, "text": "These carriers are responsible for the majority of all USPS transportation missions. As part of their contract renewals, the Postal Service is starting to require its outside carriers to use natural gas where it is cost-effective."}, {"path": "tedlium_1891.wav", "duration": 14.01, "text": "As we previously discussed, we expect that the former will continue to place pressure on revenue this year as we work to complete our restructuring in the fall, while the latter should continue to give us fuel to both deliver stronger bottom line results and invest in growth."}, {"path": "tedlium_1892.wav", "duration": 14.01, "text": "truly owning that customer experience with somebody else at the helm in terms of the installation. So we've really focused on installation training, and we'll continue to do that. That will always be a big part of what we do."}, {"path": "tedlium_1893.wav", "duration": 14.01, "text": "fair share of headquarter cost, et cetera, et cetera? Or is it excluding these? Because the problem we have as investors is a lot of online businesses tells us they're profitable, but if you -- that's stripping out a lot of costs, which sort of defeats the purpose of"}, {"path": "tedlium_1894.wav", "duration": 14.01, "text": "can drive better outcomes, can expand or extend our model or otherwise be complementary, we're interested in, if it adds shareholder value, if it makes sense from both a financial standpoint and a strategic standpoint. It also has to compete against"}, {"path": "tedlium_1895.wav", "duration": 14.01, "text": "While trends have been soft in South Korea, Japan, Taiwan and Hong Kong, we believe that the fourth quarter LumiSpa market introduction will positively impact our business and the trends of our business in these markets."}, {"path": "tedlium_1896.wav", "duration": 14.01, "text": "We're going to be doing that by increasing our market focus. And in order to achieve this, an important milestone was achieved or announced last month when we restructured our global sales force along vertical market lines rather than geographic lines"}, {"path": "tedlium_1897.wav", "duration": 14.01, "text": "We already have a huge installed base of information collection capability. We want to make sure that we fully leverage that to our advantage and our customers' advantage moving forward. So that's going to get an area. The second would be talent."}, {"path": "tedlium_1898.wav", "duration": 14.01, "text": "January 1. On the disclosure side, we will be disclosing quarterly what's required on the backlog and deferred revenue and then how that backlog is going to roll off into revenue over the next 12 months."}, {"path": "tedlium_1899.wav", "duration": 14.01, "text": "That's good color. Just one more. I know you don't want to get in too deep into '18, but any comments on how we should think about where Eaton is hedged or has purchases locked in and how maybe the raw material climate"}, {"path": "tedlium_1900.wav", "duration": 14.01, "text": "With that being said, we still have tremendous opportunities to cross-sell the suite of services to our existing customers and new customers, which will be a strong focus for our sales team and ops team at our annual leadership"}, {"path": "tedlium_1901.wav", "duration": 14.01, "text": "Cost control has now become embedded in our culture, and we're firing on all cylinders, both in supply chain as well as in overheads. These first half results position us well for the full year."}, {"path": "tedlium_1902.wav", "duration": 14.01, "text": "The lower tax rate obviously would be beneficial for our Renewables business whereas, obviously, the Networks that's going to get passed through but also the -- any interest that we're not being able to deduct should get passed through as well."}, {"path": "tedlium_1903.wav", "duration": 14.01, "text": "think that you'd see organic growth maybe in the first half of next year based on the trends that you've seen so far and what you anticipate for Q4? As I look out into 2016, I'd still remain bullish in terms of"}, {"path": "tedlium_1904.wav", "duration": 14.01, "text": "Starts data for public transportation infrastructure projects historically serve as a reliable leading indicator of our shipments to that end use, with a lag depending upon the nature of the project."}, {"path": "tedlium_1905.wav", "duration": 14.01, "text": "These actions are enabled by the Beacon work and the consolidation of work into our global hubs. Thus, we are confident in our ability to execute quickly. In fact, initial reductions have already occurred."}, {"path": "tedlium_1906.wav", "duration": 14.01, "text": "we don't do a huge amount of business in either one of those markets. But there's certainly overcapacity in those markets. Latin America faces some of that, not as pronounced as"}, {"path": "tedlium_1907.wav", "duration": 14.01, "text": "In my first 9 months with TESSCO, we've implemented a number of new initiatives. We incorporated these initiatives into a sound operating plan, and as you can see from our performance in the first quarter, we are executing on that plan."}, {"path": "tedlium_1908.wav", "duration": 14.01, "text": "on our accounts. We've been able to pass it on to some clients, in some cases. I expect that these negative interest rates stay at this level. There will be no new development there. I think now we find the right level."}, {"path": "tedlium_1909.wav", "duration": 14.01, "text": "You have the summary plan, which sounds like you're going to announce by year-end. In the interim, is there anything you can share there with respect to how we should be thinking about base case expectations for that asset as we think about"}, {"path": "tedlium_1910.wav", "duration": 14.01, "text": "And what would those numbers have been last quarter? They would have been lower than that, so we are seeing some ramp in the pipeline for these types of opportunities."}, {"path": "tedlium_1911.wav", "duration": 14.01, "text": "And we have the flexibility to continue to address opportunities for share repurchases at the same time. Our priority for the use of capital continues to be focused on strategic acquisitions."}, {"path": "tedlium_1912.wav", "duration": 14.01, "text": "Turning to energy, that being oil and natural gas. Our third quarter volumes sold and our businesses servicing the energy market actually increased a bit from the prior quarter, mainly due to normal seasonal patterns in"}, {"path": "tedlium_1913.wav", "duration": 14.01, "text": "that will be reduced in the second quarter and then minimal impact in the third and fourth quarter based on what's being put into the backlog. And just another note on that would just be to say that"}, {"path": "tedlium_1914.wav", "duration": 13.98, "text": "In particular, we recently closed an agreement with a communications services company in Latin America to assess their business and identify the best approaches for launching mobile engagement campaigns."}, {"path": "tedlium_1915.wav", "duration": 13.98, "text": "On the funding side, our total average deposit rate at the end of this quarter was 73 basis points, including the impact of non-interest-bearing."}, {"path": "tedlium_1916.wav", "duration": 13.98, "text": "But to be clear, each of our funds have a set of agreements with our investors that govern how the fund operates, including how it uses lines of credit and other forms of leverage for that fund."}, {"path": "tedlium_1917.wav", "duration": 13.98, "text": "we took our eye off the ball as we tried to really focus on the Internet of Things which is often difficult to get your arms around, and we sort of got away from our knitting."}, {"path": "tedlium_1918.wav", "duration": 13.98, "text": "and the portal companies. I believe that there needs to be a sharing of role across these entities. And also, we believe that there is a role that the government can also play because the actual prices for the spectrum,"}, {"path": "tedlium_1919.wav", "duration": 13.98, "text": "some aspirational requests for valuations and so those yields we view to be somewhat unattractive. Obviously, we're not just looking at the yields that we're buying the assets for. We're looking at the underwritten internal rates of return,"}, {"path": "tedlium_1920.wav", "duration": 13.98, "text": "and increasing duration on the overall investment portfolio during quarter 4. You can see the spot HTM balances at year-end is above the average balance for the quarter, as investments were made"}, {"path": "tedlium_1921.wav", "duration": 13.98, "text": "And I think we need to keep in mind that from January 1 this liquidity coverage ratio has moved to 90%, so banks had to start preparing in the second half of the third quarter towards"}, {"path": "tedlium_1922.wav", "duration": 13.98, "text": "During today's call, we'll be making some forward-looking statements within the meaning of the federal securities laws. Forward-looking statements are not guarantees, and our actual results may differ materially from those expressed or implied in the forward-looking statements."}, {"path": "tedlium_1923.wav", "duration": 13.98, "text": "In closing, 2018 will be a pivotal year for the company as we drive continued growth in our base business by executing against our strategic imperatives and we also began the integration of 2 strategic acquisitions."}, {"path": "tedlium_1924.wav", "duration": 13.98, "text": "One major oil company reported it achieved 25% higher flow rates from its Gulf of Mexico wells by running internally coated tubulars. I would add that the cost of failure of internal coatings is high. Thousands of feet of peeling thermoset plastic can easily clog up a well"}, {"path": "tedlium_1925.wav", "duration": 13.98, "text": "that linked to mortgage originations. But we do expect over time, as we continue to gain share and demonstrate the value of our capabilities in our compliance, that we'll grow that business 8% to 12% a year on the top line. Yes, I think the key there is"}, {"path": "tedlium_1926.wav", "duration": 13.98, "text": "Our capital allocation priorities remain consistent moving forward. We will use cash first and foremost to grow our business while continuing to fund an increasing dividend and servicing debt obligations."}, {"path": "tedlium_1927.wav", "duration": 13.98, "text": "the biggest impact on your model would be sort of efficiency for a sales leader, right? So the number of, I guess, volume points that go through a particular sales leader over time is where"}, {"path": "tedlium_1928.wav", "duration": 13.98, "text": "we are ready to face any competition, which is why the investments that we have done in the Fixed earlier on as well as -- it's not only in the network, but also investment in platforms and"}, {"path": "tedlium_1929.wav", "duration": 13.98, "text": "But from portfolio perspective and from financial perspective, Sarta is precisely what we were looking for when adding it to the portfolio. It will move to production in just over a year, and the cost and risk is very low,"}, {"path": "tedlium_1930.wav", "duration": 13.98, "text": "the way we intend, you get that into your pricing over time. Some of these deals are under contract for a period of 1 year or 2 years, and you've got to wait sometimes to get the escalation in price. But we do have annual price increases that in the end should cover"}, {"path": "tedlium_1931.wav", "duration": 13.98, "text": "I'd like to turn briefly to our undisclosed second rare disease program. As I alluded to in my earlier comments, given our expanded clinical resources with the Lilly and Alexion collaborations and our recent financing,"}, {"path": "tedlium_1932.wav", "duration": 13.98, "text": "While there has been some Brexit-related softness in general -- in the general U.K. economy that has impacted the housing market, we believe there is good growth potential over the longer term given the housing demographics."}, {"path": "tedlium_1933.wav", "duration": 13.98, "text": "The combined organization is standardizing on CyberArk's Endpoint Privilege Manager because they believe we have the superior technology for privilege management and hardening at the endpoint. Customers recognize that one of the benefits of Endpoint Privilege Manager"}, {"path": "tedlium_1934.wav", "duration": 13.98, "text": "and we continue to pursue a number of conversion opportunities, examples of which include the personal mobility space, industrial MRO and mobile equipment applications."}, {"path": "tedlium_1935.wav", "duration": 13.98, "text": "Upstream is expected to have the biggest increase as global capital spending budgets are higher driven by continued improvement in commodity prices, and an emphasis on completing DUCs due to higher cash flow."}, {"path": "tedlium_1936.wav", "duration": 13.98, "text": "Specific forward-looking statements may include, but are not limited to, any indications regarding the financial services industry, the economy and future growth of the balance sheet or income statement. Please refer to our press release"}, {"path": "tedlium_1937.wav", "duration": 13.98, "text": "there is a little bit of issues going on in terms of following what Rodrigo said about some projects that will depend on the decision of the government"}, {"path": "tedlium_1938.wav", "duration": 13.98, "text": "many of our customers and now giving that platform to them as well, the ability for them to enable their employees and their customers. It becomes a very critical part of our story"}, {"path": "tedlium_1939.wav", "duration": 13.98, "text": "We are in a very, very different place as a company. And what you and I spoke about and then we spoke with all the analysts about, the increasing predictability starts at actually at the bottom line."}, {"path": "tedlium_1940.wav", "duration": 13.98, "text": "We have grown content in peripherals and wearables. We have content in most of the advanced smartwatch brands on the market. We have a small but growing product platform in gaming systems."}, {"path": "tedlium_1941.wav", "duration": 13.98, "text": "And it sounds like it's more of a -- certainly a temporary thing and probably will be behind you as you maybe enter into the fourth quarter of the year. But can you describe the mix a little bit and the duration a little bit more"}, {"path": "tedlium_1942.wav", "duration": 13.98, "text": "But overall, we're looking for probably some growth in the overall market, which would suggest growth in new construction may be flat to a little bit down in the classic reroof market, with a stable storm-related or weather-related market."}, {"path": "tedlium_1943.wav", "duration": 13.98, "text": "cautious, but not being cautious in a way where they wouldn't give us business, a lot of these customers they didn't necessarily have an order to place last week and the guys that don't have an order to place, they have plenty of time to essentially be"}, {"path": "tedlium_1944.wav", "duration": 13.98, "text": "So in fact, when we look at the total impact in Q1, I would not be too focused on the component of that in the first quarter. What I reassure is that we are seeing the savings coming through"}, {"path": "tedlium_1945.wav", "duration": 13.98, "text": "which primarily reflects our decision to maintain higher Orchard portfolio inventory levels to improve overall fill rates in that business. The growth in promotional material inventories is also seasonal in nature."}, {"path": "tedlium_1946.wav", "duration": 13.98, "text": "what sort of internal resources were tied up with Fortuna that might now be available to look at Tortue and other projects? Considering that it seems like you have to do maybe less commercial work around that than you had to do with Fortuna?"}, {"path": "tedlium_1947.wav", "duration": 13.98, "text": "Particularly in light of the current trends in energy prices, which has the potential to affect the operators view of fleet economics, which may translate to a stronger aftermarket with longer runs on a number of our legacy programs."}, {"path": "tedlium_1948.wav", "duration": 13.98, "text": "and that's not really optimal. And so if we get more and all it does is flatten out the curve, then I think we can expect less benefit from it. If the curves deepens, that's obviously really beneficial to banks."}, {"path": "tedlium_1949.wav", "duration": 13.98, "text": "average, closing the gap rapidly with the industry average as we speak. And this is an area of strength from Bournemouth Water. They have consistently been top or very nearly top of the SIM leagues for some time, so we're looking forward to bringing best practice across the 2 companies."}, {"path": "tedlium_1950.wav", "duration": 13.98, "text": "We will, of course, be extremely open and trying to dialogue with the FDA to try to see what is the threshold to go for registration. But whenever we have convincing results"}, {"path": "tedlium_1951.wav", "duration": 13.98, "text": "With that, it's my pleasure to turn the call over to Dick Giromini, CEO. Thanks, Mike. The third quarter marked another excellent quarter for the company and delivered bottom line results that were among the best in the company's history."}, {"path": "tedlium_1952.wav", "duration": 13.98, "text": "strengthened existing partnerships and entered into new strategic relationships with some of the biggest, most influential global brands in technology, retail and finance."}, {"path": "tedlium_1953.wav", "duration": 13.98, "text": "From a cost perspective, we've already mentioned that we restructured the Parchem business in F '15. Some of the details are outlined on the slide but we believe that we have achieved savings and increased business capability at the same time."}, {"path": "tedlium_1954.wav", "duration": 13.98, "text": "The details of this growth are similar to the comments we provided during our quarterly call in August. In the second quarter, the Americas motive power business continues to be strong and orders continue to be healthy in the current quarter."}, {"path": "tedlium_1955.wav", "duration": 13.98, "text": "This is the lowest reading of inflation since the end of 2014 and well within the Central Bank's target range of 2% to 4%. The significant decrease in inflation has been driven by lower variations in food and tradable prices."}, {"path": "tedlium_1956.wav", "duration": 13.98, "text": "So we -- and we said it at Investor Day, too. At this point, we're not breaking down specifically the long-range plans from each of the initiatives. Part of that simply being is that we have many of them still very much in test mode."}, {"path": "tedlium_1957.wav", "duration": 13.98, "text": "where we support clients in a variety of industries by helping them adapt their business content into different languages for specific countries, markets and regions through a complete suite of language products and services."}, {"path": "tedlium_1958.wav", "duration": 13.98, "text": "In China, the biggest spirits market globally, penetration of international spirits and scotch remains low. The prospects for scotch in China are bright with favorable demographics and rising incomes."}, {"path": "tedlium_1959.wav", "duration": 13.98, "text": "obviously seeing some negative calendar impacts in March, so I just wanted you to confirm, are you expecting a negative calendar effect for the quarter as a whole? And obviously, it looks like it's going to be positive for April, maybe a little bit down in May."}, {"path": "tedlium_1960.wav", "duration": 13.98, "text": "They're looking for business partners to help them optimize their operations, help drive cost out and help them implement good processes and standardization across their platforms to help drive a more consistent and enduring customer experience,"}, {"path": "tedlium_1961.wav", "duration": 13.98, "text": "prior quarter included record levels of short lead time projects that were received and shipped in the same period. Excluding these short lead time projects, order levels remain relatively flat in the current period."}, {"path": "tedlium_1962.wav", "duration": 13.98, "text": "those are all against those higher line pressures, which pretty much points out that these new horizontal pads, particularly with enhanced completions, are able to very well address that issue."}, {"path": "tedlium_1963.wav", "duration": 13.98, "text": "Likewise, we expected expensive races for governor in places like Indiana, North Carolina and West Virginia as well as continued healthy spending in the House, state and local races and potentially even some controversial and expensive ballot fight."}, {"path": "tedlium_1964.wav", "duration": 13.98, "text": "our perception of the market under the current situation, discuss the progress on the medium-term business plan being executed for the last 6 months and finish my presentation with future forecast."}, {"path": "tedlium_1965.wav", "duration": 13.98, "text": "Some of these units will be large and are being built to produce petrochemical feedstocks similar to the units we began supplying in Q2. We have a solid position in this high-value product segment."}, {"path": "tedlium_1966.wav", "duration": 13.98, "text": "The developing softness within our Industrial segment I referred to during last quarter's call continued into the third quarter, increasing its effect on our businesses and tempering our outlook for the remainder of the year."}, {"path": "tedlium_1967.wav", "duration": 13.98, "text": "a lower table game hold percentage, extremely lucky sports betting patrons, lower convention volume and the changed timing of our sister company's NASCAR race weekend and the higher health care cost across the board, as Denis mentioned."}, {"path": "tedlium_1968.wav", "duration": 13.98, "text": "Information systems increased, reflecting infrastructure enhancements as well as additional investments to support growth. Transaction processing costs were down as we renegotiated sub-custodian savings for a second quarter in a row."}, {"path": "tedlium_1969.wav", "duration": 13.98, "text": "The system has an experienced franchise owner base and is performing well. The acquisition also represents new Valvoline product sales. We look forward to working with these new franchisees to help them grow within the Valvoline system."}, {"path": "tedlium_1970.wav", "duration": 13.98, "text": "Over the last few years, we have deliberately moved from being a provider of modular units to being a provider of holistic modular solutions to our customers and this has changed -- change of mindset has reinforced our relationships with our customer base."}, {"path": "tedlium_1971.wav", "duration": 13.98, "text": "In areas where we do have production constraints, we are looking at increasing capacity in order to alleviate these bottlenecks. We are currently looking at a modest additional investment, particularly in the paint capacity."}, {"path": "tedlium_1972.wav", "duration": 13.98, "text": "we have not seen this. What could happen in one quarter or another is a variation of cost because of the distance, the radius, but the cost itself has no variation."}, {"path": "tedlium_1973.wav", "duration": 13.98, "text": "population that is coming on stream to bring assets as fast as possible, so that we have revenues as fast as possible. And at the same time, increasing productivity on the existing population that we have and all of that,"}, {"path": "tedlium_1974.wav", "duration": 13.98, "text": "In today's call, we will begin with an update on our view of the copper market. We will then review Southern Copper's key results related to production, sale, operating costs, financial results and expansion projects."}, {"path": "tedlium_1975.wav", "duration": 13.98, "text": "Got to dilute that. It's an even bigger number. So how are you thinking about the balance between sort of your upstream and your downstream? And if there were an opportunity, if it's a Gulf Coast opportunity, does that start to make sense if the price is right?"}, {"path": "tedlium_1976.wav", "duration": 13.98, "text": "All this is to say that we have generally some visibility on where retention will end up for the year, but given the breadth of markets and clients that we serve, certain factors can ultimately move the needle, particularly the timing of larger losses."}, {"path": "tedlium_1977.wav", "duration": 13.98, "text": "okay. And what would you look for this year in terms of -- do you look for pre-need sales to grow this year or is it still going to be down like it was in the quarter just given the transition in the sales force?"}, {"path": "tedlium_1978.wav", "duration": 13.98, "text": "and I'm very thrilled to see a lot of sunrise in your company, but it's mainly outside of South Africa. I'm now searching for some sunrise inside the borders of our country."}, {"path": "tedlium_1979.wav", "duration": 13.98, "text": "And there are a number of other areas within each of the core businesses, including the combination, as I alluded to earlier, of the payroll and the benefits and the technology, what we call ESO on employee benefits side. We see"}, {"path": "tedlium_1980.wav", "duration": 13.98, "text": "Because metal prices decline more than we had anticipated in the 2015 third quarter as compared to the 2015 second quarter, we increased our estimate of our annual LIFO inventory valuation adjustment"}, {"path": "tedlium_1981.wav", "duration": 13.9799375, "text": "putting us in a position where we have no debt maturities at this point until 2021, expanding the flexibility of the balance sheet. Repaying all that secured debt has created a tremendous amount of operational and financial flexibility across the capital stack. So we're really pleased"}, {"path": "tedlium_1982.wav", "duration": 13.9500625, "text": "all of our ammunition has been placed for this year. It really makes more sense to us and gives that visibility in terms of what's going on and then guide next year. As the quarters roll out next year, we don't have any specific plans with"}, {"path": "tedlium_1983.wav", "duration": 13.9500625, "text": "do you have statistics on what the restaurants and entertainment as a percentage of your overall GLA is today and how it was at the time of the spin and could you share that with us, maybe?"}, {"path": "tedlium_1984.wav", "duration": 13.95, "text": "with interest. But I think you should assume that default case for us is that we're going to do this, the old fashion way and build it out, which has a lot of benefits from making sure that our platform culturally"}, {"path": "tedlium_1985.wav", "duration": 13.95, "text": "we have in -- I admit, I'm personally proud of what we achieved in India as this is one of our key objectives why -- when I joined Beiersdorf. India became one of our most successful countries in the last couple of years."}, {"path": "tedlium_1986.wav", "duration": 13.95, "text": "In an environment marked by continued uncertainty and intense competition, we are starting to see the benefits of our reduced cost structure and the improved operating efficiencies. Canada posted solid results,"}, {"path": "tedlium_1987.wav", "duration": 13.95, "text": "As mentioned on our third quarter call, BOSTCO and our Florida terminals were left structurally unharmed by the Hurricanes Harvey and Irma, which impacted the Gulf Coast region over the summer."}, {"path": "tedlium_1988.wav", "duration": 13.95, "text": "This test mix change is the result of the addition of Clarient's larger mix of lower average revenue immunohistochemistry tests. Our operations team is also doing a very good job."}, {"path": "tedlium_1989.wav", "duration": 13.95, "text": "We believe these changes provide a more meaningful presentation of our financials and better reflect our go-forward strategy. As we continue to work through our transformation, we expect to make additional enhancements to our reporting format."}, {"path": "tedlium_1990.wav", "duration": 13.95, "text": "character of that income, what it means for an individual taxpayer's tax position and after-tax in their pocket income relative to this. I think one of the challenges that the industry has had"}, {"path": "tedlium_1991.wav", "duration": 13.95, "text": "This change in estimated fair value ultimately led to significant impairment charges being recorded during the fourth quarter. Blaise will address these charges in greater detail later on this morning's call."}, {"path": "tedlium_1992.wav", "duration": 13.95, "text": "And we've been monitoring the competition as well, but I would like to hear from you. What is your opinion in terms of the outlook? There is a competitor, which is going through some disruption"}, {"path": "tedlium_1993.wav", "duration": 13.95, "text": "This additional space, combined with strong promotional offers and our increased focus on design, fashion and product quality, has helped us deliver a very strong performance in stationery during the half."}, {"path": "tedlium_1994.wav", "duration": 13.95, "text": "Importantly, we continue to increase the number of loan relationships in which we are the lead lender or arranger. Transactions that we lead have increased by 39% since"}, {"path": "tedlium_1995.wav", "duration": 13.95, "text": "I'd also like to welcome Joe and his expertise and experience to our team. From his work at Kraft Heinz, he knows how to run effective and efficient business units, in addition to his experience in consumer packaged goods."}, {"path": "tedlium_1996.wav", "duration": 13.95, "text": "such as HI-CHEW, CHOCOBALL and Ramune. To get our products into a wider variety of sales outlets and channels, we are providing our brands our most valuable assets"}, {"path": "tedlium_1997.wav", "duration": 13.95, "text": "As we explained at our outlook meeting in December, we are gaining penetration with leading electronics OEMs in China and also investing to capitalize on the rapid growth in automotive electronics."}, {"path": "tedlium_1998.wav", "duration": 13.95, "text": "we should say that the PZU Group, as you know, under its strategy, has announced that there are several areas in which we will actively seek transaction"}, {"path": "tedlium_1999.wav", "duration": 13.95, "text": "competitive environment, when your -- for these projects is a lot more fierce relative to, say, 12 months ago? Because when I think about you winning all these work in Management Services and what your margins have been in Management Services, that has pretty"}, {"path": "tedlium_2000.wav", "duration": 13.95, "text": "And finally, the increase in depreciation and amortization expense is due to placing Carty into service and was partially offset by a refund to customers related to the Trojan spent fuel settlement."}, {"path": "tedlium_2001.wav", "duration": 13.95, "text": "As anticipated, we experienced a seasonal decline in deposits for the quarter, following elevated first quarter deposit activity. Chris will discuss loan and deposit activity further in a moment, including some geographical commentary on our markets."}, {"path": "tedlium_2002.wav", "duration": 13.95, "text": "We also made progress towards extending our global footprint in our Latin America and Asia-Pacific regions. In Latin America, we signed a training and cooperation agreement with the Brazil Ministry of Health and 7 science and technology institutions."}, {"path": "tedlium_2003.wav", "duration": 13.95, "text": "they speak, in my mind, really well to that continued guidance of kind of 6% to 8% annualized growth, despite the fact that the first quarter would argue for something higher than that. And that may prove to be the case,"}, {"path": "tedlium_2004.wav", "duration": 13.95, "text": "But things are looking really good. Our permeability results are as good or better than we expected on the agglomerates. We're really pleased with the characteristics with the agglomerate. So we now are starting to stack it, but it is a big heap like you say."}, {"path": "tedlium_2005.wav", "duration": 13.95, "text": "what I was commenting before. So what are the main impacts that you can see here? On the electricities, I'd say that this is the rate of return kind of story. So on the electricity side, the major impact is the increase of rate of return,"}, {"path": "tedlium_2006.wav", "duration": 13.95, "text": "While such forward-looking statements reflect management's expectations regarding our business plans and future results, they are necessarily based on assumptions that are subject to risks and uncertainties, which could cause actual results to differ materially."}, {"path": "tedlium_2007.wav", "duration": 13.95, "text": "Additionally, this will accelerate our ability to monetize content versus the more manual processes that we have been employing here and to generate SaaS revenues by licensing our technology solutions to third parties."}, {"path": "tedlium_2008.wav", "duration": 13.95, "text": "and organic growth without, it's going to be a very similar spread than what it was here in the second quarter, which is about 3 points of drag overall, really for the company, and pretty close or the same for Staffing Services."}, {"path": "tedlium_2009.wav", "duration": 13.95, "text": "maybe Slide 12 today. Is this something you might be willing to do again at some point regarding 2018's margin? I'm just trying to get a better idea of specifically which line items grow when, sense of timing and so forth."}, {"path": "tedlium_2010.wav", "duration": 13.95, "text": "These statements are based on how we see things today. Actual results may differ materially due to risks and uncertainties. Please refer to the cautionary statements and risk factors contained in our 10-Q -- 10-K and 10-Q filings"}, {"path": "tedlium_2011.wav", "duration": 13.95, "text": "The requirement to the arrearages is that before we can pay a dime to the subordinated units, we must pay the entirety of the arrearages to the common unitholders, and there's no expiration on that provision."}, {"path": "tedlium_2012.wav", "duration": 13.95, "text": "I wonder if it's possible for you to give us some -- a little bit more details on the improvement in the manufacturing process, particularly regarding the particulate matter previously found in the finished product?"}, {"path": "tedlium_2013.wav", "duration": 13.95, "text": "So there is a plan that we will invest in to get to where we need to be. 35% is our baseline. We won't go below that, but there will be some level of fluctuation as we move forward."}, {"path": "tedlium_2014.wav", "duration": 13.95, "text": "We have selectively acquired assets and combined them with in-house capabilities to create a Discovery business which can assist our clients in solving complex challenges of early-stage research."}, {"path": "tedlium_2015.wav", "duration": 13.95, "text": "These are just a couple of examples of the new products that improve the user experience, provide better results for advertisers and improve the overall monetization of our digital product offering."}, {"path": "tedlium_2016.wav", "duration": 13.95, "text": "We anticipate the expansion will provide the property the opportunity to grow revenue by allowing casino guests to extend their gaming stay, particularly on weekends, and increase midweek business by capturing group demand from social and corporate business."}, {"path": "tedlium_2017.wav", "duration": 13.95, "text": "I encourage you to follow along with the slide presentation during our prepared remarks. A replay of the webcast will be available on our website until November 13. As a reminder, portions of our presentation and comments"}, {"path": "tedlium_2018.wav", "duration": 13.95, "text": "fairly stable. If we look at Americas, we continue to see strong demand from all end-segments. We saw some hesitation during the quarter from Steel Service Centers and distributors."}, {"path": "tedlium_2019.wav", "duration": 13.95, "text": "these buildings that we've done on more of a speculative basis. I don't know that we've missed dollars of opportunity. I think that we've been very deliberate about how we've gone about this, and I think that there's no reason to believe that we wouldn't"}, {"path": "tedlium_2020.wav", "duration": 13.95, "text": "due to the current administration. However, we still believe that the long-term growth for this type of products and services internationally will remain strong as other countries continue to expand their efforts in that regard."}, {"path": "tedlium_2021.wav", "duration": 13.95, "text": "We made significant progress to convert some of our upside capital to base capital with a planned filing to own 600 megawatts of wind in Colorado. We anticipate a commission decision later this year."}, {"path": "tedlium_2022.wav", "duration": 13.95, "text": "We need traffic to pass by and then consumers coming in, getting to the unique experience of seeing the huge assortment. What we have here is the"}, {"path": "tedlium_2023.wav", "duration": 13.95, "text": "In Venezuela, where activity was also flat sequentially, the situation degraded further with production continuing to decline in an environment where inflation is accelerating and international banks are increasing restrictions."}, {"path": "tedlium_2024.wav", "duration": 13.95, "text": "These results clearly validate our long-term strategic plan first established in 2007 and demonstrate the progress we continue to make in executing that plan to profitably grow and diversify the business."}, {"path": "tedlium_2025.wav", "duration": 13.95, "text": "So we're in great shape. No need to expand capacity beyond what we have today in the very near term. That being said, we do have that ability. You may recall that we have in our facility at least enough space"}, {"path": "tedlium_2026.wav", "duration": 13.95, "text": "You have a positive outlook on both price and volume. And John, just to be specific on the record, you're expecting continued improvement in unit profitability in the second half of the year. Correct?"}, {"path": "tedlium_2027.wav", "duration": 13.95, "text": "there is not one thing that we could point you to. As you look at the news flow coming from our company, there's hardly a week going by where you don't see significant restructuring steps in various European country markets,"}, {"path": "tedlium_2028.wav", "duration": 13.95, "text": "Maintaining a strong balance sheet is a priority for us, and we are pleased with the recent recognition from Moody's with their upgrade of our corporate family rating from Ba2 to Ba1, and the affirmation of a stable outlook."}, {"path": "tedlium_2029.wav", "duration": 13.95, "text": "and I think that exits that don't meet expectations is going to have a significant chilling effect on ongoing investment by private equity. When that starts to really"}, {"path": "tedlium_2030.wav", "duration": 13.95, "text": "taking on those higher-value waste streams, I would assume there's a glide path that will help improve margins next year as well, but any color you can give us in terms of the capacity that you've filled and what you have left to go there?"}, {"path": "tedlium_2031.wav", "duration": 13.95, "text": "the best agent model out there today and to throw levels of complexity of it at the management and take them away from focusing on bettering the agents and driving the agents"}, {"path": "tedlium_2032.wav", "duration": 13.95, "text": "Turning to the guidance for Q1, and my comments are on a combined historical basis that will incorporate Green Bay, Davenport and Fairbanks as if we had"}, {"path": "tedlium_2033.wav", "duration": 13.95, "text": "We expect these conversions to take place gradually and consistently over the next few years, with more than near-term conversion activity coming from local and regional manufacturers or private label brands."}, {"path": "tedlium_2034.wav", "duration": 13.95, "text": "We've used a variety of technological innovations, such as a new type of switchgear and virtual modeling, to reduce the total cost of this project by 20%. In addition, we continue to review opportunities to reduce our environmental impact."}, {"path": "tedlium_2035.wav", "duration": 13.95, "text": "We've also taken delivery of all 4 additional leased haul trucks in our plan and that provides us with the truck haulage capacity needed in the first couple of years when the waste movement is at its highest."}, {"path": "tedlium_2036.wav", "duration": 13.95, "text": "Therefore, as previously noted, we are taking a phased approach region by region, ensuring we have strong alignment and business processes well defined and tested before moving on to additional regions."}, {"path": "tedlium_2037.wav", "duration": 13.95, "text": "a set of desktop creative tools that make it easy for anyone to create their own augmented reality experiences and distribute them using Snapchat. In just 6 weeks from launch, over 30,000 Lenses were created by our community and viewed over 1 billion times."}, {"path": "tedlium_2038.wav", "duration": 13.95, "text": "I do want to mention how pleased I am that we have been able to simplify our capital structure and to reduce significantly our leverage ratio, which is net par of insured policies outstanding to claims paying resources."}, {"path": "tedlium_2039.wav", "duration": 13.95, "text": "Our balance sheet remains robust with strong liquidity, sufficient undrawn facilities and no near-term maturities, giving us the flexibility in what remains a volatile market environment."}, {"path": "tedlium_2040.wav", "duration": 13.95, "text": "We believe that we can improve the efficiency and effectiveness of our branches and warehouses. At the same time, we're looking to increase the flexibility and competitiveness of our inbound and outbound logistics,"}, {"path": "tedlium_2041.wav", "duration": 13.95, "text": "and continue to be active in the market as far as recruiting talent and particularly, laterals. The other thing that we're focused on from an organic revenue growth perspective are particular areas of accelerated growth."}, {"path": "tedlium_2042.wav", "duration": 13.9499375, "text": "I want to thank all of our people around the world for their hard work. As a team, we're helping our clients maintain exceptional relationships with their customers. Now Andre will provide more detail on our financial results and guidance."}, {"path": "tedlium_2043.wav", "duration": 13.92, "text": "The heavy trucking application represents a significant addressable market for fuel cells, and we believe the fuel cell value proposition will resonate with customers in this segment as we move forward."}, {"path": "tedlium_2044.wav", "duration": 13.92, "text": "These acquisitions bring Quench's installed rental unit base to over 96,000 units as of August 2. And we continue to work on our robust pipeline of acquisitions with potential to close later this year"}, {"path": "tedlium_2045.wav", "duration": 13.92, "text": "But those boards and management teams are also taking time to assess what they actually think will happen going forward in their future. So I wouldn't read anything into it other than the deals we've done are the ones that we think can add value, and we'll continue to look"}, {"path": "tedlium_2046.wav", "duration": 13.92, "text": "So that's how it came about. And again, the information was -- utilized was during last year. So it's only a year ago that, that information was used, but now we're going to going forward, use our own"}, {"path": "tedlium_2047.wav", "duration": 13.92, "text": "if we keep growing like this and we continue to outperform most of our peers and it's really hard to justify that we wanted to get distracted and then go and then buy somebody and take care of somebody else's problem."}, {"path": "tedlium_2048.wav", "duration": 13.92, "text": "are waiting for their vendor to get them the number -- get them the data so they can send it over to us. So there's always this period of time delay from the time somebody says I want to use BEACON until we can get the thing installed."}, {"path": "tedlium_2049.wav", "duration": 13.92, "text": "I think if we didn't have the confidence we had in the other -- growing improvement at the other businesses, we might be a little bit more cautious on that. But now that we do, it feels to us about the right time to do it. So where are we investing, which is probably your supplementary question,"}, {"path": "tedlium_2050.wav", "duration": 13.92, "text": "We also have multiple medical management and provider contracting opportunities that we are pursuing while we speak. Operationally, we have addressed the infrastructure problems that contributed to our first quarter difficulties."}, {"path": "tedlium_2051.wav", "duration": 13.92, "text": "As previously mentioned, we believe our ability to retain earnings for potential share repurchases and to invest in the growth of Ares, represents an opportunity for value creation for our shareholders."}, {"path": "tedlium_2052.wav", "duration": 13.92, "text": "This comparable restaurant sales figure includes a 50 basis point negative impact from the shift of the Easter holiday. Normalizing for the holiday shift, traffic declined 70 basis points during the first quarter,"}, {"path": "tedlium_2053.wav", "duration": 13.92, "text": "Given this historical information, along with the established safety profiles of phentermine and topiramate, we continue to believe that Qsymia poses no true cardiovascular safety risk."}, {"path": "tedlium_2054.wav", "duration": 13.92, "text": "Four, investing in the business to support future growth. We have a total of seven warehouses across the continental United States. Over the last two years, we've doubled our frozen warehouses from 2 to 4 as demand for our frozen products has increased."}, {"path": "tedlium_2055.wav", "duration": 13.92, "text": "We made quite a bit of progress in a fairly short period of time. More importantly, we have positioned the organization to generate long-term stockholder value by focusing our teams on winning profitable business at the local level,"}, {"path": "tedlium_2056.wav", "duration": 13.92, "text": "We achieved this performance despite a very challenging economic environment. The markets out there are anything but straightforward and have become considerably more challenging in the recent months."}, {"path": "tedlium_2057.wav", "duration": 13.92, "text": "above where the market is growing and we think that looking at France, we are well in line with where the market is growing. The market has picked up a little bit during the fourth quarter and that's also what we see in our operations."}, {"path": "tedlium_2058.wav", "duration": 13.92, "text": "In this environment, we expect to realize 200 to 400 basis points of sequential top line growth with strong incrementals. We expect stronger top line growth will accelerate later in the year assuming oil prices hold at current levels or better"}, {"path": "tedlium_2059.wav", "duration": 13.92, "text": "Second, whereas foreign currency translation represented a tailwind to year-over-year revenue in the first half of the year, at current rates, we expect the second half of the year to have a minor negative impact to revenue, which is reflected in our updated guidance."}, {"path": "tedlium_2060.wav", "duration": 13.92, "text": "We are growing the portfolio just as we have consistently said we would do, and we have expanded our play diversity and we're high-grading our portfolio to pursue the very best opportunities."}, {"path": "tedlium_2061.wav", "duration": 13.92, "text": "The key drivers behind margin relate to shifts in revenue to lower transactional volume, together with a typically slower first quarter seasonality, as well as continued investments into the platform."}, {"path": "tedlium_2062.wav", "duration": 13.92, "text": "During Q2, we signed a number of new customer contracts and continued to see a growing pipeline of new opportunities, driven by both our direct and indirect sales channels. By way of example,"}, {"path": "tedlium_2063.wav", "duration": 13.92, "text": "which now includes the most recent higher condensate differentials. If gas prices continue to strengthen it makes our Cardium returns even that much better. So either way, the Cardium will be a primary focus for us next year."}, {"path": "tedlium_2064.wav", "duration": 13.92, "text": "But most all of the waste we mine does stay underground. We don't really bring much to the surface at all. And actually we supplement that waste with tailings from the plant to help with the fills. Great."}, {"path": "tedlium_2065.wav", "duration": 13.92, "text": "Regardless of the channel, we will ensure our customers have the widest selections of high-quality auto parts available to them, while providing them with the confidence that they are selecting the right products for the job."}, {"path": "tedlium_2066.wav", "duration": 13.92, "text": "both on traditional as well as next-generation programming services. The rapid expansion of our distribution footprint through multiple deals with scaled platforms this quarter is not an anomaly."}, {"path": "tedlium_2067.wav", "duration": 13.92, "text": "it's -- I tried to express that we believe that the impact would be a single-digit number and I gave you some orders of magnitude and you rightly say that based on those orders of magnitude, that's probably a number on the high side."}, {"path": "tedlium_2068.wav", "duration": 13.92, "text": "Thank you, Katherine, and good afternoon, everyone. I'm pleased to welcome you to our first quarter conference call. Before we begin, I'd like to remind listeners that during this conference call, comments that we make regarding Bridgeline Digital that are not historical facts"}, {"path": "tedlium_2069.wav", "duration": 13.92, "text": "As was the case last year and will be for the next several years, the vast majority of our capital investments relate to CPG's extensive inventory of growth in modernization projects."}, {"path": "tedlium_2070.wav", "duration": 13.92, "text": "We are on track to launch a fragrance and color cosmetics line later this year and hair and skin care in 2019. Joe's continues to show strength domestically as well as internationally."}, {"path": "tedlium_2071.wav", "duration": 13.92, "text": "I will begin by saying that we're very pleased with the quarter. We reported record adjusted operating earnings per share that were driven by strong fundamental trends and solid momentum across our businesses."}, {"path": "tedlium_2072.wav", "duration": 13.92, "text": "This sales guidance is driven by a number of factors, including the assumption that power outage severity does not improve during 2016. We expect to at least partially offset this impact through our execution on a number of strategic initiatives to increase the awareness and demand"}, {"path": "tedlium_2073.wav", "duration": 13.92, "text": "Our proposal would result in a company that not only enhances our current leading national and local media company but also strengthens flagship brands in regional and local markets."}, {"path": "tedlium_2074.wav", "duration": 13.92, "text": "We have built into our plan an iPhone launch that would be comparable to last year's launch of the iPhone 7. We believe there is upside to the plan if the iPhone 8 is significantly improved from the existing form factors in the market."}, {"path": "tedlium_2075.wav", "duration": 13.92, "text": "the primary endpoint of the study, which required a minimum of 6 responses in the first 52 patients to be deemed successful has been met and exceeded with some patients still potentially progressing to response."}, {"path": "tedlium_2076.wav", "duration": 13.92, "text": "Prior to the spin, certain costs for resources of the business were not recorded directly in our operations, but instead were recorded centrally at R.R. Donnelley and allocated for the company in the carve-out financial statements."}, {"path": "tedlium_2077.wav", "duration": 13.92, "text": "as we have started taking gas in-kind from several operators and have the potential to take more gas in-kind throughout the remainder of the year. We have previously experienced some success in restructuring our gathering and transportation contracts."}, {"path": "tedlium_2078.wav", "duration": 13.92, "text": "I think it'll be similar to the second quarter. Activity-wise, we're still running the same amount of frac fleets we have been for -- in this quarter as we were last quarter. But we will have some fairly significant-sized pads that are coming online in the second half of this quarter."}, {"path": "tedlium_2079.wav", "duration": 13.92, "text": "then supply the Chinese market and then supply the rest of the world, because from a margin perspective, we obviously have to look after the domestic side first because the margin is so much bigger. So I think it was a lot of manual interventions"}, {"path": "tedlium_2080.wav", "duration": 13.92, "text": "by the end of March. Our integrated mobile product offering continues to generate new opportunities for us in the marketplace. In this quarter, mobile revenue was up approximately 40% over the prior year."}, {"path": "tedlium_2081.wav", "duration": 13.92, "text": "As a reminder, the increase in occupancy expense as a percent of revenues is primarily attributable to the Reliant acquisition in which we assumed existing real estate leases on all of the acquired hospitals."}, {"path": "tedlium_2082.wav", "duration": 13.92, "text": "In this way and as we have mentioned in the previous slides, the cost per risk was stable and at a lower level than seen in 2017, as we can also see in the graph in the lower right side of the slide."}, {"path": "tedlium_2083.wav", "duration": 13.92, "text": "to automate not only the process, but also how we communicate with the customers so they can follow everything, as we've been used to in more consumer-based"}, {"path": "tedlium_2084.wav", "duration": 13.92, "text": "This is what we did in the fourth quarter and are continuing to do so in 2016. For me, back to basics means a focus on our customers and on organic growth, establishing our team and core processes,"}, {"path": "tedlium_2085.wav", "duration": 13.92, "text": "and is expected to last throughout the remainder of 2016. This project creates a logistics challenge that will limit our effective build capacity for the year by upwards of 3,000 units."}, {"path": "tedlium_2086.wav", "duration": 13.92, "text": "So overall, a reasonably challenging first 6 months for the business, but we are seeing some green shoots, and we are seeing the fundamentals of the business really give us confidence in the future growth of the sector."}, {"path": "tedlium_2087.wav", "duration": 13.92, "text": "The group's long-term cash profile not only supports our investment grade and our dividend policy, but provides the group with greater flexibility in growing the business through acquisitions."}, {"path": "tedlium_2088.wav", "duration": 13.92, "text": "There is an abundance of new opportunities to convert clients to our efficient testing platform, and these discussions are taking place daily. The Biologics business reported significantly slower growth in the first quarter."}, {"path": "tedlium_2089.wav", "duration": 13.92, "text": "The digitization of our out-of-home infrastructure is clearly one of the key strategic priorities of our company, and we are constantly evolving our public video network in more stations and public transportation systems."}, {"path": "tedlium_2090.wav", "duration": 13.92, "text": "The 2 big challenges that we have recognized and will be very focused on is that this is a complex project to execute because it involves demolition, refurbishment and building new."}, {"path": "tedlium_2091.wav", "duration": 13.89, "text": "I think our degree of exposure is materially different than it used to be. But let me provide some color on the Huawei situation. I would caution people not to lead to the same denial of export that ZTE got."}, {"path": "tedlium_2092.wav", "duration": 13.89, "text": "is not only to reduce the cost of the debt, but also to extend the term of the debt. We must wait an additional improvement in our ratings."}, {"path": "tedlium_2093.wav", "duration": 13.89, "text": "build houses are connected to fiber, and in areas where the business case is positive, we will invest in fiber. And there are some regional initiatives"}, {"path": "tedlium_2094.wav", "duration": 13.89, "text": "We did, and the increase in core earnings this quarter was driven by the deployment of much of that excess liquidity into the agency sector, which we view as offering compelling risk-adjusted returns."}, {"path": "tedlium_2095.wav", "duration": 13.89, "text": "if you look at the current portfolio, you'll notice that half of our skincare business is generated in Europe, which was -- only have a limited contribution as a market in the future market growth."}, {"path": "tedlium_2096.wav", "duration": 13.89, "text": "On the IADS front, we'll start with Synodex, our digital data product that improves both the efficiency and the accuracy of life insurance underwriting by applying digital technologies to healthcare information."}, {"path": "tedlium_2097.wav", "duration": 13.89, "text": "In addition, each product category is being converted to a planogram, which will streamline operations and allow for greater consistency across stores. This saves labor hours, which can be reinvested into growth initiatives."}, {"path": "tedlium_2098.wav", "duration": 13.89, "text": "we are responding with actions that we believe position us well to remain an important, relevant industry participant and to sustain and accelerate our progress. Let me now turn the call over to Brent for a deeper look at our financials. Brent?"}, {"path": "tedlium_2099.wav", "duration": 13.89, "text": "building sale in we cannot reveal too much details, but what we can say is it's not going to be easy to reflect the sale proceeds in our earnings within the year."}, {"path": "tedlium_2100.wav", "duration": 13.89, "text": "This change will not have a material impact on Marriott International's results, but the commission change should make a meaningful difference to hotel owners, particularly those where group business is a significant share of their overall occupancy."}, {"path": "tedlium_2101.wav", "duration": 13.89, "text": "or is it just your expectation that the process will conclude within the next few months? So we're in the middle of a process. And I feel very good about the quality of the candidates that are interested in Assurant and that we're interested in."}, {"path": "tedlium_2102.wav", "duration": 13.89, "text": "The spring selling season got off to a strong start in the Southwest, as our operations in Nevada, Arizona and Colorado all produced a sales pace above the company average in the first quarter."}, {"path": "tedlium_2103.wav", "duration": 13.89, "text": "is that a -- like can you give us some sense, is that a national or international contract? I mean would they have issues with being able to do that work in another location if you moved to a plan b site?"}, {"path": "tedlium_2104.wav", "duration": 13.89, "text": "These investors see our anemia program as an outstanding investment opportunity and have been intrigued with the possibilities of our Caiman subsidiary over the China , where we have admitted minority investors in the past."}, {"path": "tedlium_2105.wav", "duration": 13.89, "text": "couple of months with a bunch of conferences where we hope to be able to provide some updates on our clinical programs and even our preclinical programs as well. So I think I'll turn it back to"}, {"path": "tedlium_2106.wav", "duration": 13.89, "text": "Approximately 75% of this increase in site level operating expenses was due to newly acquired sites for which operating expenses are fully loaded into our results very soon after acquisition."}, {"path": "tedlium_2107.wav", "duration": 13.89, "text": "We are pleased with the performance we saw in the second half of the year and believe the changes we made will drive strong momentum through 2018. Another strong performer for the year was client sales."}, {"path": "tedlium_2108.wav", "duration": 13.89, "text": "Because we have an established technical center in India within TriMas, we are exploring adding engineering resources to our Aerospace team, thereby adopting a similar 24-hour engineering model."}, {"path": "tedlium_2109.wav", "duration": 13.89, "text": "the commoditization of all products within that space, price emphasized in virtually every ad and the coming significant disruptions that will be created by driverless vehicles."}, {"path": "tedlium_2110.wav", "duration": 13.89, "text": "And I assume that any acquisition of any small business is not going to take you outside of your -- or much outside of your targeted leverage range. Would that be a fair statement?"}, {"path": "tedlium_2111.wav", "duration": 13.89, "text": "other factors like plant turnarounds that are in process. So it's more -- it's better from a reliability standpoint to assess on year-over-year and there was a significant improvement in that time period."}, {"path": "tedlium_2112.wav", "duration": 13.89, "text": "Production is more than 7 million cubic feet equivalent per day and the sales will include developed and undeveloped acreage. The first package is expected to contain our developed and undeveloped interests in Dewey County, Oklahoma."}, {"path": "tedlium_2113.wav", "duration": 13.89, "text": "it -- looks like you've just changed the description from robust to good in terms of the outlook. It feels like global GDP growth is still looking pretty robust. So can you just talk about the change there?"}, {"path": "tedlium_2114.wav", "duration": 13.89, "text": "We've already received letters of eligibility from FHWA for products tested and submitted for review and are in process of completing testing and preparing requests for eligibility of the next group of products."}, {"path": "tedlium_2115.wav", "duration": 13.89, "text": "should we incubate some of those products in a new distribution system, let them reach a certain size before you put them in the main DSD system because, clearly, they need to be incubated in a different place in the store, especially in the single-serve channels."}, {"path": "tedlium_2116.wav", "duration": 13.89, "text": "I think consistent with what we've been saying is, I see us being in the very, very high single digit on the loan growth side. I think that the opportunities that are out there were again we're able to get."}, {"path": "tedlium_2117.wav", "duration": 13.89, "text": "which are made possible through PFSI's specialized capabilities as our manager and service provider, in addition to investments in small balance multifamily loans."}, {"path": "tedlium_2118.wav", "duration": 13.89, "text": "And so with the things that we have sold, we have sold them principally to people who have one of 2 things, either a different expectation of long-term performance than we have,"}, {"path": "tedlium_2119.wav", "duration": 13.89, "text": "As mentioned earlier, we are currently expanding our in-house staffing for the development side of CoreCivic Properties, but we are also adding staff to provide more expertise and resources on scoping, acquiring and managing these type of properties."}, {"path": "tedlium_2120.wav", "duration": 13.89, "text": "portion of stores, some of that was Howard identifying that the middle of the country might have seen some of the faster growth and that they weren't really Espresso-drinking, and the brand didn't resonate as well when you tried to more densely populate those areas with your stores."}, {"path": "tedlium_2121.wav", "duration": 13.89, "text": "Next, I will outline the strategic initiative we have launched to improve our profitability and revenue generation. I will close by reflecting on our GP's vision and the relevance of our business model in today's economy."}, {"path": "tedlium_2122.wav", "duration": 13.89, "text": "coming in. And therefore, we are highlighting the fact that it's difficult for us to see when are these orders coming in, in which quarters are they coming in?"}, {"path": "tedlium_2123.wav", "duration": 13.89, "text": "The expansion of business scope resulted in increased operation-linked and sales-linked expenses. Plus, maintenance expenses also increased due to a comprehensive review of safety and service quality."}, {"path": "tedlium_2124.wav", "duration": 13.89, "text": "And had some active discussions with them in the early part of the week and essentially by Wednesday, end of business day U.S. time, OFAC had approved the transaction that allowed us to transfer the shares"}, {"path": "tedlium_2125.wav", "duration": 13.89, "text": "Yes. The first part of the first question was relevant to our reduction in the guidance for the CapEx. Yes, basically, this is relevant to the fact that the"}, {"path": "tedlium_2126.wav", "duration": 13.89, "text": "Concurrently, we are engaged in separate settlement negotiations with Meda. The amount of any final payment to us remains uncertain, and as such we have not recognized any gains in our financial statements."}, {"path": "tedlium_2127.wav", "duration": 13.89, "text": "We have a strong foundation with attractive markets and customers, a proven track record and an experienced leadership team to execute our strategy. In conclusion, our strong balance sheet,"}, {"path": "tedlium_2128.wav", "duration": 13.89, "text": "about 90% of other revenue next year will be the loyalty revenue that goes through other. So is there a plan to either rename or break out that line next year? Why would you continue to call it other when that's not really what it will be?"}, {"path": "tedlium_2129.wav", "duration": 13.89, "text": "The current assumption is that it would. But one of the opportunities that we have by staggering the trials a bit is to be able to look at some of the data, obviously, in an unmatched way to be able to inform what we might do with the second trial."}, {"path": "tedlium_2130.wav", "duration": 13.89, "text": "are able to take that new structure and go to market much more effectively than we could before. So our goal is to grow the AUM here. And if we have great opportunities to add an acquisition to this equation, we will absolutely look at that."}, {"path": "tedlium_2131.wav", "duration": 13.89, "text": "In summarizing our consolidated sales growth assumptions for 2016, we expect total core organic growth on a constant currency basis to be down between 5% to 7% compared to the prior year, with only a minimal negative impact from foreign currency."}, {"path": "tedlium_2132.wav", "duration": 13.89, "text": "Western housing starts increased 30% in March compared with February as rain and snow receded. And we are hearing of increased demand for cement and rebar in a number of areas, signs that foundations are being poured."}, {"path": "tedlium_2133.wav", "duration": 13.89, "text": "and how we reserve for it. Doesn't mean that if you executed a deal today there wouldn't be a discount based on other factors that are out there. You would have to think about long-term interest rates as an example. If they continue to rise, that's a benefit."}, {"path": "tedlium_2134.wav", "duration": 13.89, "text": "I know you guys have a guidance out there. But given your results would imply the company reaching the margin guidance earlier than expected, at least my perception here. I was wondering if you can walk us through the stage"}, {"path": "tedlium_2135.wav", "duration": 13.89, "text": "requested to provide it. And the company, at different points in time, said that collecting the information from its distributors would be unduly burdensome. It would be too costly. At certain points in time, they said that they don't track the information. They don't think it's meaningful"}, {"path": "tedlium_2136.wav", "duration": 13.89, "text": "exactly the same stable level. And then if needed we flex using temporary manning, which means that if or rather when the downturn will come, we will be also rather fast in adjusting our manning"}, {"path": "tedlium_2137.wav", "duration": 13.89, "text": "We've developed new digital search and access tools that help sellers understand the full offering across all of our brands. The ecosystem effort has also included targeted product launches that aid our dealers in winning new business every day."}, {"path": "tedlium_2138.wav", "duration": 13.89, "text": "everyone wants things shipped for free. So I think right now we are sort of in the place of figuring out how we can more efficiently and effectively provide shipping at a rate the customer is happy with and I think that's a problem that we can solve relatively soon."}, {"path": "tedlium_2139.wav", "duration": 13.89, "text": "and the updated considerations related to this guidance are included on Slide 14. I'd like to spend a few moments and elaborate on some of the items we expect to impact our performance in the second half of the year."}, {"path": "tedlium_2140.wav", "duration": 13.89, "text": "like the customer reference I mentioned in my prepared remarks, just that one customer is going to be able to replace 11 vendors. And so we came after this in a little bit of a different way because of"}, {"path": "tedlium_2141.wav", "duration": 13.89, "text": "A replay of the conference call will be available shortly after the conclusion of this call until Friday, May 10, 2019. Instructions for accessing this replay are included in our first quarter 2019 earnings press release."}, {"path": "tedlium_2142.wav", "duration": 13.89, "text": "on the 3 businesses I talked about. As you can imagine, once you're cut, you've got a pathway to get back in, but it's not going to be with the exact same items that have just been discontinued. You've basically got to rebuild"}, {"path": "tedlium_2143.wav", "duration": 13.89, "text": "At the utilities, the hot summer weather was a big help, with revenues up on higher volumes of electricity sold and lower cost with less storm activity across the system."}, {"path": "tedlium_2144.wav", "duration": 13.89, "text": "where we expressed confidence in our ability to manage the factors under our control and to deal with fourth quarter challenges, like weather, a promotional holiday season and excess inventory in the marketplace."}, {"path": "tedlium_2145.wav", "duration": 13.89, "text": "Okay. I don't expect it to soften from where we are today, but I don't expect it to do what we thought it would do originally. And it is a part of the guidance takedown. We had hoped for"}, {"path": "tedlium_2146.wav", "duration": 13.89, "text": "mainly electric expense in California, Arizona and Florida, as well as the timing of certain maintenance projects were the main contributors to the favorable variance. We also realized lower-than-expected membership sales and marketing expenses."}, {"path": "tedlium_2147.wav", "duration": 13.89, "text": "today to develop larger relationships and new relationships. So there's an overall program being put together on the enterprise side. And as Dave said, a tremendous effort will go into ventures."}, {"path": "tedlium_2148.wav", "duration": 13.89, "text": "some gets pushed indefinitely. In the construction industry, there's only so many daylight hours in a day. So there's only so much work that can be done in any given day. Certainly, our customers will try to catch up to the extent possible,"}, {"path": "tedlium_2149.wav", "duration": 13.89, "text": "The second is the stability agreement. The stability agreement effectively gives the fiscal and legal stability, which is required for certainly the initial 10-year period, and there is an option for both parties to extend it by another 5 years."}, {"path": "tedlium_2150.wav", "duration": 13.89, "text": "In the Space Systems Group, we launched and birth the Cygnus spacecraft on our OA-6 cargo mission to the space station in March, just weeks after the previous Cygnus completed the OA-4 flight that began last December."}, {"path": "tedlium_2151.wav", "duration": 13.8600625, "text": "even with that for Europe -- for England. In Europe, we haven't seen a significant change. It's very -- it's a quiet time for us. While June is the biggest month of the quarter, and we shipped well to our expectations,"}, {"path": "tedlium_2152.wav", "duration": 13.8600625, "text": "too high, given the fact that the government is restricting how many new candidates we get and to exempt the people paying more and more for the service and don't see newer candidates at the same rate they did before because the government is restricting"}, {"path": "tedlium_2153.wav", "duration": 13.86, "text": "And in the pursuit of this goal, our largest and most important partners have told us that our iPass SmartConnect technology has a 12- to 18-month lead over any competition."}, {"path": "tedlium_2154.wav", "duration": 13.86, "text": "we've come up with our market-leading cyber product and the gap medical and other products we continue to launch and think about. Some have been a lot more successful than others and our aim is to continue to innovate in an industry that is not generally that innovative."}, {"path": "tedlium_2155.wav", "duration": 13.86, "text": "furnaces and the whole cracker in operation before you get to production. So it's really the issue of derivatives first, then the cracker. But within the cracker, there are a number of systems that start to come up in advance of the hydrocarbon end tube for the feed system."}, {"path": "tedlium_2156.wav", "duration": 13.86, "text": "As we accelerate the launch of KEYTRUDA around the world, our researchers are continuing to study KEYTRUDA with an extensive clinical development program that spans a multitude of cancer types."}, {"path": "tedlium_2157.wav", "duration": 13.86, "text": "We were doing technical and professional claims. We knew the amount of the gross bill, which was higher than what we thought the revenue would be. So that the amount that was accrued for revenue"}, {"path": "tedlium_2158.wav", "duration": 13.86, "text": "First quarter free cash flow was negative, as expected, due to the acceleration of free cash flow in the fourth quarter of last year as well as an increase in the internal service work in progress inventories."}, {"path": "tedlium_2159.wav", "duration": 13.86, "text": "of what we think will take place on that site is going to be residential. And it also improves the whole circulation in and around the downtown. And so for us, there's -- bringing more people to the downtown is very positive. We've got"}, {"path": "tedlium_2160.wav", "duration": 13.86, "text": "The same thing on the cellular. There are people who are now running around saying, well, we have cellular, too, but you have to look very carefully at that because some people are referring to a cellular backhaul. In other words, the water meter"}, {"path": "tedlium_2161.wav", "duration": 13.86, "text": "And that's what's behind what's going on in the platform area, whether it be on sales management, whether it be on marketing, whether it be on customer management and whether it be on what you deliver to your customers either at the event, before the event or after the event."}, {"path": "tedlium_2162.wav", "duration": 13.86, "text": "allowing them to drill at an average rate 79 feet per hour faster than a direct offset, which used a standard Agitator. In Colorado, the Agitator HE allowed another customer to drill with 22% less weight on bit"}, {"path": "tedlium_2163.wav", "duration": 13.86, "text": "In the quarter, we introduced a number of new products and technology enhancements during the major fall trade show season at both the Labelexpo Americas and PACK EXPO International trade shows, both held in Chicago this year."}, {"path": "tedlium_2164.wav", "duration": 13.86, "text": "some digital native players, maybe in a case like Twitter in the news this week? Does it really open the door to allow you to bring more of your products to bear with these clients? Yes,"}, {"path": "tedlium_2165.wav", "duration": 13.86, "text": "Last week, we convened a meeting of players from across the industry, including a wide range of media owners and agencies to continue those discussions. This was an important, positive and productive step."}, {"path": "tedlium_2166.wav", "duration": 13.86, "text": "implies a case-mix index improvement of more than 1%. And as you do recall from previous calls, that meets the clear main top line goal to develop"}, {"path": "tedlium_2167.wav", "duration": 13.86, "text": "Of course, we need partner because we know clinics, but we do not necessarily know venture capital. So we have selected -- after many, many discussions, we have selected what we believe is a premier partnership"}, {"path": "tedlium_2168.wav", "duration": 13.86, "text": "and stock repurchases to include -- excuse me, to increase shareholder value. Each of these 3 aspects will hopefully help you understand why Ichor is a great company and a great investment."}, {"path": "tedlium_2169.wav", "duration": 13.86, "text": "We continue to expect stronger earnings in the second half of the year as we realize synergies related to UXC and Xchanging, and we benefit from other cost initiatives."}, {"path": "tedlium_2170.wav", "duration": 13.86, "text": "revenues and expenses included in IFRS basis. Next slide. This shows the positive and negative factors on each business impacting our revenue in the first quarter."}, {"path": "tedlium_2171.wav", "duration": 13.86, "text": "And we look forward to multiple additional data sets being presented and available on Acthar that will also help patients and prescribers we believe identify the appropriate patients and appropriate duration of therapy."}, {"path": "tedlium_2172.wav", "duration": 13.86, "text": "Since this will be my last quarterly call, I also wanted to -- I also want to let the analyst community know how much I've enjoyed our interaction over the years. For sure, I've learned a lot from each one of you. With these comments, I will now turn the call over to Darren."}, {"path": "tedlium_2173.wav", "duration": 13.86, "text": "And it was a very small adjustment as you know. So hopefully that gives you a little more color. But it'll give us more certainty going forward, we'll know exactly how much per ton we're going to be see after we adjust for inflation. So."}, {"path": "tedlium_2174.wav", "duration": 13.86, "text": "stabilization or decline, then we as vendors, companies, we should seize the opportunity. If you cannot leverage and benefit from it, then difficult times are ahead of you."}, {"path": "tedlium_2175.wav", "duration": 13.86, "text": "This is not something I expect to achieve overnight, but it is something I'm intent on achieving and something that we can reasonably expect to achieve over time."}, {"path": "tedlium_2176.wav", "duration": 13.86, "text": "we speak about Luizacred net income. We have 2 charts, one we show net income and the other chart shows operating income. When you look at the operating"}, {"path": "tedlium_2177.wav", "duration": 13.86, "text": "These numbers reflect strong performance indicators, which are the direct outcome of our strategic investments in top technologies and networks."}, {"path": "tedlium_2178.wav", "duration": 13.86, "text": "Yes. I mean it really gets down to making sure that as we convert inventory to receivables getting that collected by year end. So it's really a timing issue of"}, {"path": "tedlium_2179.wav", "duration": 13.86, "text": "She will continue to work with us to ensure an effective hand off to her successor, and I want to personally thank her for the great contribution she has made and will continue to make to NextGen. She will always be part of the NextGen family and will always have a home here. Thank you, Jocelyn."}, {"path": "tedlium_2180.wav", "duration": 13.86, "text": "So here would be some opportunities to optimize our footprint in Poland by cooperating in certain locations where"}, {"path": "tedlium_2181.wav", "duration": 13.86, "text": "We also displaced a large legacy vendor in a U.S. civilian agency. The vast majority of our new business deals are still greenfield, but it's rewarding when prospects determine that our solution is a better strategic fit to secure their infrastructure."}, {"path": "tedlium_2182.wav", "duration": 13.86, "text": "Steady low growth, combined with increases in a number of customers, productive regulatory outcomes and the management of operating expenses, all play significant roles as we look at the need and timing of our next general rate case."}, {"path": "tedlium_2183.wav", "duration": 13.86, "text": "Some of the charges in our significant items this quarter are a result of that work but we expect there will be more in 2018. We are at the tail end of our review, and we'll provide an update at our March 8 Investor Day."}, {"path": "tedlium_2184.wav", "duration": 13.86, "text": "These results are especially good, considering the impact of a major project wrapping up in the third quarter and a decline in defense technology development during the year, both of which we have discussed previously."}, {"path": "tedlium_2185.wav", "duration": 13.86, "text": "And we're starting to get a little bit bullish on winter gas prices of course, not much cold weather has really shown up this fall already and already we're seeing a lot of pressure on the ability of the supply to meet demand."}, {"path": "tedlium_2186.wav", "duration": 13.86, "text": "For many years, Rollins has been considered the acquirer of choice for many family-owned companies. We feel that we're in a great position to continue to deploy capital to get the best return for our shareholders."}, {"path": "tedlium_2187.wav", "duration": 13.86, "text": "Please review the cautionary statements included in our press release and presentation as well as the risk factors described in our most recent Form 40-F and the Annual Information Form. I will now turn the call over to Michael."}, {"path": "tedlium_2188.wav", "duration": 13.86, "text": "Additionally, rate case expenses in New Mexico can be significant, and the estimated revenue deficiency does not justify the time and expense to file. Finally, we believe the delay will allow us the opportunity to fully analyze our options"}, {"path": "tedlium_2189.wav", "duration": 13.86, "text": "on Page 6. As the ones who had a chance to come to Capital Markets Day heard me say, no change in the principal strategy of Sonova. We like our vertically integrated business model."}, {"path": "tedlium_2190.wav", "duration": 13.86, "text": "Looking next at new contracts within CoreCivic Safety. In July, we began receiving offenders from the City of Mesa, Arizona at our Central Arizona Florence Correctional Complex under a 3-year contract."}, {"path": "tedlium_2191.wav", "duration": 13.86, "text": "As my colleagues and I have learned over our years in the industry, you cannot control market cycles, government policies or commodity prices. You can only control how you operate and deliver to your client."}, {"path": "tedlium_2192.wav", "duration": 13.86, "text": "Other markets that benefited us with the growth was Ghana and Zambia in particular, where we're working very closely with our distributor party -- partners in order to build our brands and drive market penetration."}, {"path": "tedlium_2193.wav", "duration": 13.86, "text": "As we discussed at Investor Day, improved earnings, better working capital performance and our advantaged tax position will translate into a high rate of conversion of adjusted earnings into free cash flow,"}, {"path": "tedlium_2194.wav", "duration": 13.86, "text": "that gives us any concern about being successful in the permitting process. It's just taking more time. So when you factor that into our capital plans, as Steven said, that has resulted in moving our expenditures,"}, {"path": "tedlium_2195.wav", "duration": 13.86, "text": "We achieved these strong operational results while preserving the strength of our balance sheet and maintaining our dividend in 2016. Over our 14-year history of paying a dividend, we have increased our dividend 3x and have never reduced it."}, {"path": "tedlium_2196.wav", "duration": 13.86, "text": "Although we continue to face some economic headwinds and believe foreign currency will continue to be volatile, we are excited about our prospects and we remain confident in our ability to deliver on the year."}, {"path": "tedlium_2197.wav", "duration": 13.86, "text": "Is there a view of replacing that near term? You've got the Chamouchouane project now starting to hit its stride. Do you think that, that will be an offsetting factor so that you can sort of flat line the revenue in Canada this year or perhaps even grow that?"}, {"path": "tedlium_2198.wav", "duration": 13.86, "text": "It's clear that moviegoers are continuing to enjoy movies in a theater environment as opposed to TV or on another device as long as theater operators provide quality services and experiences."}, {"path": "tedlium_2199.wav", "duration": 13.86, "text": "it's very difficult to say. We expect that the next couple of months, we still have some price rises and unless something different happens."}, {"path": "tedlium_2200.wav", "duration": 13.86, "text": "and converting it into a platform which will change the talent landscape nationally. So we are putting our scale to the greater good of this overall industry and redefining how we go about looking at"}, {"path": "tedlium_2201.wav", "duration": 13.86, "text": "Our overall financial performance for the fourth quarter exceeded our most recent guidance expectations with net sales and margins continuing the strong seasonal performance experienced during the second half of 2015. Despite the persistent very low power outage environment in the quarter,"}, {"path": "tedlium_2202.wav", "duration": 13.86, "text": "I've said consistently that nothing is for sale and everything is for sale. That it depends on circumstances, it depends on price, on offer, by comparison to value in company and also market perceptions of value, and it depends on use of proceeds."}, {"path": "tedlium_2203.wav", "duration": 13.86, "text": "So historically, that's been a component part. So that's a long way of giving some foundational comments to say if I were throwing the proverbial dart, I would probably"}, {"path": "tedlium_2204.wav", "duration": 13.86, "text": "give you new capabilities. Is that still your focus, or would you contemplate something that would be more financially motivated that had top savings opportunities, but was less strategic when it came to new capabilities?"}, {"path": "tedlium_2205.wav", "duration": 13.86, "text": "None of this happens on its own, it takes a lot of hard work, dedication and effort, and so I'd like to take a moment to thank our board, our management team and our associates, every one of you for a job well done."}, {"path": "tedlium_2206.wav", "duration": 13.86, "text": "While much of this progress is not visible externally, these changes will drive our overall productivity and help create long-term value for the company. We also recognize the importance of aggressively managing our cost structure."}, {"path": "tedlium_2207.wav", "duration": 13.86, "text": "I think the most likely leading wave of new types of reactors will be the small modular reactors that are actually new kind of pressurized water reactors like my NuScale. And"}, {"path": "tedlium_2208.wav", "duration": 13.86, "text": "So before we open to questions, let me wrap up in a few words. We are rather pleased with Q1 since we are making progress on the initiatives that we highlighted as our priorities"}, {"path": "tedlium_2209.wav", "duration": 13.86, "text": "have to be very -- as always, have to be very cautious and look at each product by product and market by market. And for us, as you know, we are very long term. And for us, it's always about having the best customer offering in each market."}, {"path": "tedlium_2210.wav", "duration": 13.86, "text": "is what it sounds like, which is we're building new lines -- new production lines. We've got some existing footprint that we can fill out, and we can put in new production lines. Including this year, we've done some dry sausage lines,"}, {"path": "tedlium_2211.wav", "duration": 13.86, "text": "Ladies and gentlemen, that does conclude today's conference call. We do thank you for attending. You may now disconnect your telephone lines."}, {"path": "tedlium_2212.wav", "duration": 13.86, "text": "We were happy to see a good level of project discussions and new product introductions in the quarter, including many global fragrance launches, such as Lacoste, Michael Kors and Hugo Boss."}, {"path": "tedlium_2213.wav", "duration": 13.86, "text": "building companies and maximizing shareholder value. KLRE was looking to invest in a unique opportunity with long-term growth potential and the ability to grow organically and through acquisitions."}, {"path": "tedlium_2214.wav", "duration": 13.86, "text": "with our assembly lines within the tank trailer business they'll shift from product to product based on what the strongest demand is and that's a real benefit to the business."}, {"path": "tedlium_2215.wav", "duration": 13.86, "text": "because of a tough comparison resulting from a large order that occurred in the second quarter of 2017. This result was consistent with the expectations that we had mentioned on our first quarter earnings call."}, {"path": "tedlium_2216.wav", "duration": 13.86, "text": "Focus a little bit more on that segment and show you in more detail what the profile of the various assets looks like and how we would structure that transaction segment in itself. At the moment, we are more"}, {"path": "tedlium_2217.wav", "duration": 13.86, "text": "So Allison had a follow-on question. Do we collaborate with traditional brick-and-mortar retailers that have successful online strategies? The answer to that question is yes"}, {"path": "tedlium_2218.wav", "duration": 13.86, "text": "That all makes sense, Evan. And then maybe just turning to nonres. It sounds like outside of the slip in February, you feel pretty good about the end market, and you cited a number of areas where projects continue to be strong."}, {"path": "tedlium_2219.wav", "duration": 13.86, "text": "More recently, we had experienced lower manufacturing scrap rates and are working aggressively with customers to recover pricing. We remain optimistic about delivering a turnaround at Superform by the end of the year."}, {"path": "tedlium_2220.wav", "duration": 13.86, "text": "Most people enter our business, Sean, virtually all through the life insurance door and start a life insurance business first. But over time, they migrate to their strengths, their personal strengths as well as the markets they happen to be in."}, {"path": "tedlium_2221.wav", "duration": 13.86, "text": "but it will come. And I think when it becomes clear, we're going to see cash balances of clients going down and basically accordingly transaction volumes going up and margins going up. And this is going to be a mix of more positive outlook,"}, {"path": "tedlium_2222.wav", "duration": 13.86, "text": "Political advertising remains inconsequential for the quarter, although we expect a nice lift from election-related spending beginning in September. And while it is very early, our pacings for the second half of the year are quite strong."}, {"path": "tedlium_2223.wav", "duration": 13.86, "text": "pretty jarring result to nearly make no money. I'm just curious, if you look across that portfolio, it seems like there's several businesses that should be reasonably good. So are there some reasonable lossmakers in there at the moment?"}, {"path": "tedlium_2224.wav", "duration": 13.86, "text": "In 2018, all the banners will continue to collaborate to improve all aspects of our operations, moving from a banner view of operating effectiveness to a One Company framework, where the benefits will be larger and accrue faster."}, {"path": "tedlium_2225.wav", "duration": 13.86, "text": "and driving increasing price yield through a deeper understanding of the value our products and services provide our customers. As we migrate from a product-based organization to an organization more closely aligned around targeted market segments,"}, {"path": "tedlium_2226.wav", "duration": 13.86, "text": "Although we experienced significant headwinds in the first quarter, particularly in the form of rising contained metal and freight costs and continued aerospace supply chain destocking, we expect that these headwinds will moderate as we proceed through the year."}, {"path": "tedlium_2227.wav", "duration": 13.86, "text": "Our products are channel-agnostic and sell across a wide variety of retailers and channels around the world. Our business is not hit-driven but a balance of mixed, evergreen back catalog content and newly released content."}, {"path": "tedlium_2228.wav", "duration": 13.86, "text": "with the prior quarter. Our exposure to heavy equipment also includes sales into the agricultural equipment market, which has weakened recently, but has not impacted us the same -- to the same extent as our OEMs. On"}, {"path": "tedlium_2229.wav", "duration": 13.83, "text": "I want to thank our program management and clinical operations groups who continue to work tirelessly to maintain this pace. I would also like to acknowledge the clinical investigators who have been equally motivated and extremely successful at enrolling these studies."}, {"path": "tedlium_2230.wav", "duration": 13.83, "text": "nothing would dissuade you from coming to that type of a conclusion in terms of relative outperformance. Now, clearly, the past is not an indication of what the future could become,"}, {"path": "tedlium_2231.wav", "duration": 13.83, "text": "Thank you, and I would like to thank everyone for participating on our second quarter call today. I think when you compare to a year ago, there are a lot of really good positive improvements,"}, {"path": "tedlium_2232.wav", "duration": 13.83, "text": "First, we have added a new billing and collection company to assist our increased volume of claims. Secondly, we have lowered the revenue for all cases going forward, both professional and technical."}, {"path": "tedlium_2233.wav", "duration": 13.83, "text": "Our total sales and earnings were in line with our plan. Our teams produced positive sales comps in each of our business segments. We experienced the continued strengthening of our U.S. Automotive business."}, {"path": "tedlium_2234.wav", "duration": 13.83, "text": "how that rule moves forward, we have a lot of folks on the ground right now moving these projects forward in the implementation stage. And so"}, {"path": "tedlium_2235.wav", "duration": 13.83, "text": "And this idea of really being authoritative around what connotates a healthy kitchen is an area from a very broad cross-section of product point of view that we think is an opportunity."}, {"path": "tedlium_2236.wav", "duration": 13.83, "text": "as well as upselling to existing. So I think we're getting some traction there. I think we're getting some traction as I try to allude to from our Every Comp, Everywhere initiative has been helped us"}, {"path": "tedlium_2237.wav", "duration": 13.83, "text": "we haven't yet merged those loyalty programs, and we're just completing the merging of the sales and revenue management teams. And those are the kinds of things that are most likely to drive the share of wallet."}, {"path": "tedlium_2238.wav", "duration": 13.83, "text": "when we started on this program, we, I think for good reason, prioritized what I would describe -- what I described at the beginning of the presentation as a renovation both of the portfolio and the product"}, {"path": "tedlium_2239.wav", "duration": 13.83, "text": "For additional information, including detailed discussion of risk factors, please refer to the company's documents filed with the Securities and Exchange Commission, which can be accessed on a website. I'd now like to turn the call over to Jon."}, {"path": "tedlium_2240.wav", "duration": 13.83, "text": "We look forward to seeing the results of Parts 2 and 3 of the trial, which will study lower doses. Bill will provide an overview of what will be in the second interim analysis of APeX-1 shortly."}, {"path": "tedlium_2241.wav", "duration": 13.83, "text": "The only other thing I'd like to add to Mark's comments are you had suggested that the raise in guidance was driven by Acthar. What I would say is the Acthar business came largely in line with our internal expectations."}, {"path": "tedlium_2242.wav", "duration": 13.83, "text": "The integrated nature of our business provides the platform to achieve what, we believe, will be attractive economic and EBITDA contributions once the project is commercially operational, which we expect to be in line in the summer. Couple of other points on this,"}, {"path": "tedlium_2243.wav", "duration": 13.83, "text": "It's more little cans rather than big cans. And that's the way to think about it. And the drivers there are, as you know, there's -- we do more protein today than historically we had done. We are more into areas that have been growing like pet food"}, {"path": "tedlium_2244.wav", "duration": 13.83, "text": "Except as otherwise required by law, CapStar disclaims any obligation to update or revise any forward-looking statements contained in this presentation, whether as a result of new information, future events or otherwise."}, {"path": "tedlium_2245.wav", "duration": 13.83, "text": "Now let me also put in perspective our business and its prospects for the future. I have talked about analogizing our business to a toll road to the extent that you're probably tired of hearing it. I'm kind of sick of using it myself,"}, {"path": "tedlium_2246.wav", "duration": 13.83, "text": "and then we have the ability to operate and attract third-party business, operate this more efficiently and attract third-party business to these assets. We look forward to expanding our already productive relationship with them and finding other opportunities like this."}, {"path": "tedlium_2247.wav", "duration": 13.83, "text": "Further, these latest collaborations demonstrate our ability to monetize our proprietary platform technology with what are now our second and third collaboration agreements with top biotech and pharma partners."}, {"path": "tedlium_2248.wav", "duration": 13.83, "text": "And they created actually 2 or 3 of those. And they have tested which one is going to be the best. They've looked at other areas on the old site so that when they build the new site, it will actually be incorporated into the new site."}, {"path": "tedlium_2249.wav", "duration": 13.83, "text": "Look, we're well on our way to reaching those target margins. I think that when we reach them, you can assure that we'll try to maximize over that. But right at this point, we're working our way to reaching those target margins. So"}, {"path": "tedlium_2250.wav", "duration": 13.83, "text": "And then my second question is on the working capital. Was there an underlying improvement in each of the divisions? Or was the improvement mainly driven by mix? And I wondered if you could give the outlook for working capital for '17. Okay."}, {"path": "tedlium_2251.wav", "duration": 13.83, "text": "With our continued focus on driving operational improvements as well as getting paid fair value for our products and services, we're encouraged by the additional opportunities that still exist to resume margin growth in 2018 and beyond."}, {"path": "tedlium_2252.wav", "duration": 13.83, "text": "And so the future hedged month higher than -- it's gone up more than the future months has. So this will pull a portion of the refined product timing issue into the second quarter as well."}, {"path": "tedlium_2253.wav", "duration": 13.83, "text": "and then relative to the rest of the expense base, as I said in the comments, I think we're going to continue to be very, very prudent about watching everything else that we spend. And"}, {"path": "tedlium_2254.wav", "duration": 13.83, "text": "not large volume contributors this year but really important products in the portfolio, and we're getting some very positive learning that I expect us to integrate and improve for what we do next."}, {"path": "tedlium_2255.wav", "duration": 13.83, "text": "Now let's turn to our second strategic priority, executing with excellence. Aligned with this, we remained committed to delivering results and staying disciplined on expenses, while executing on our key initiatives."}, {"path": "tedlium_2256.wav", "duration": 13.83, "text": "more than doubling the number of year-to-date Cornerstone HR wins among new European clients when compared to the first 9 months of 2016. We believe Cornerstone HR will continue to drive growth"}, {"path": "tedlium_2257.wav", "duration": 13.83, "text": "the local association for acousticians. But that will help us to be ultimately always having enough talent and potentially even net contributor to the talent pool."}, {"path": "tedlium_2258.wav", "duration": 13.83, "text": "We have a strong foundation to build upon and are capable of being even stronger. I'm very excited about our prospects. My objective is to work with our leadership and the board to set a course for long-term growth."}, {"path": "tedlium_2259.wav", "duration": 13.83, "text": "Sustainability is 1 of 3 of our social impact priorities. Our aspiration to make coffee the first sustainable agricultural product is in direct support of coffee farmers around the world."}, {"path": "tedlium_2260.wav", "duration": 13.83, "text": "Since the event, Dan has not been able to act in his CFO capacity and he will likely not be returning. We are thankful that he has now been released from the hospital, and he is now recuperating at home and is expected to make a full recovery."}, {"path": "tedlium_2261.wav", "duration": 13.83, "text": "There might be some small, minor changes going forward, but that's not what we anticipate. So as you're thinking about going forward, I think where we are is kind of what we're going to be from the next few quarters."}, {"path": "tedlium_2262.wav", "duration": 13.83, "text": "Well, we certainly hope and believe it's onetime when you think about this River Rhine issue. But if you want to categorize it as operational, that's fine with me. I don't know what category to put it under when we're dealing with these kind of record low water levels in the Rhine River."}, {"path": "tedlium_2263.wav", "duration": 13.83, "text": "Control of Physician RCM workflow will allow us to integrate processes across the front-end and coding and billing functions as well as developing an analytics layer to support MACRA and ACL analytics."}, {"path": "tedlium_2264.wav", "duration": 13.83, "text": "We've had good interactions with multiple people within the government. And I think that there's a lot of excitement to move forward. But the next milestone has not been hit yet."}, {"path": "tedlium_2265.wav", "duration": 13.83, "text": "lead customers really don't like to give out what they're doing, and somebody that's working on an advanced platform, it's not necessarily that straightforward to do a joint press release."}, {"path": "tedlium_2266.wav", "duration": 13.83, "text": "we will push cost improvements every day in every way to maintain and hopefully extend the delight that Alpha brings to their customer base. There's no way we are going to step backwards,"}, {"path": "tedlium_2267.wav", "duration": 13.83, "text": "In our energy-related end markets, rig counts ticked up during the quarter and demand for our products increased. We are actively monitoring the market to ensure that we fully participate in the improving energy backdrop."}, {"path": "tedlium_2268.wav", "duration": 13.83, "text": "We will concentrate on investment in businesses where we can proactively demonstrate our strengths and functions, and will thus, rebalance the resources and the non-resources portfolios."}, {"path": "tedlium_2269.wav", "duration": 13.83, "text": "We're encouraged by the strong pipelines we continue to have despite the strong fundings we have experienced. And while loans to mortgage companies will fluctuate, we are positive on the forward outlook for our loan growth prospects."}, {"path": "tedlium_2270.wav", "duration": 13.83, "text": "And we just announced Ziggo Sport. This is our own basic sports service, built off of our existing premium sports platform and provided exclusively to our customers at no additional costs. So behind the scenes, of course, we continue to make significant progress"}, {"path": "tedlium_2271.wav", "duration": 13.83, "text": "is that, in fact, there are a lot of clients that have always believed in mail, that continue to believe in mail, that are working with us to support mail, and increasingly, we're seeing health plans move that direction. And so we've had several large health plans in the last 6 months"}, {"path": "tedlium_2272.wav", "duration": 13.83, "text": "Through these efforts, we have taken major steps to improve our customers' in-store experience and help ensure that we deliver a 5 star experience to them every time at every one of our store locations."}, {"path": "tedlium_2273.wav", "duration": 13.83, "text": "but we have to make sure that it is a high quality and a good product. So here answers are ready for all our consumers what their demand is."}, {"path": "tedlium_2274.wav", "duration": 13.83, "text": "hell bent on rolling this out across all 3 states that we're affected in no matter what that first rollout looks like. We really do think that there are going to be a lot of providers who are not up for"}, {"path": "tedlium_2275.wav", "duration": 13.83, "text": "With the introduction of GST and with the earlier VAT regime, some of the arbitrage is gone, that we believe it becomes a very, very interesting opportunity for us to focus upon."}, {"path": "tedlium_2276.wav", "duration": 13.83, "text": "acquisitions that make sense. I said repeatedly in the past that we will continue to be strategic in our growth initiatives, but selective. And that meaning that we will look at a lot of"}, {"path": "tedlium_2277.wav", "duration": 13.83, "text": "We've improved our outlook for high-margin per share growth and we're doing it for less capital. We're exceeding every expectation that was communicated at last year's November Investor Day."}, {"path": "tedlium_2278.wav", "duration": 13.83, "text": "before going exactly on how we invested, I want to use 3 key successes of the year. 3 key successes that demonstrate the value of the AMPLIFY platform and our strategy. The first one, a large bank in Brazil."}, {"path": "tedlium_2279.wav", "duration": 13.83, "text": "But also as we have now clearly demonstrated the promise of our platform with the ASPIRO results, we are interested in disease targets that provide the potential for our work to make a broader impact in larger patient populations."}, {"path": "tedlium_2280.wav", "duration": 13.83, "text": "have given what you were talking about as backlog and some increased activity in both public and private markets. So just to make it a little cleaner, what are your expectations for pricing and what gives you confidence in your ability to realize better pricing"}, {"path": "tedlium_2281.wav", "duration": 13.83, "text": "It's static and inefficient and inflexible. And we believe that technology is available to us today to really improve this. And that's really what this is all about. It's about improving"}, {"path": "tedlium_2282.wav", "duration": 13.83, "text": "We are benefiting from a better heating season this year after experiencing 2 years of market declines. In addition to market growth, we are also gaining market share in our historically strong Midwest and Northeast region, along with making gains in the Canadian market."}, {"path": "tedlium_2283.wav", "duration": 13.83, "text": "a little bit broader than your question, but the point I'm trying to make is that I think retail is going to continue to evolve. And the important thing as a landlord is that you have the flexibility and, importantly, the rent basis"}, {"path": "tedlium_2284.wav", "duration": 13.83, "text": "Ever since 2010, when we started to see these regulatory and efficiency issues in Spain, we are the only utility company in Europe that has managed to get its results"}, {"path": "tedlium_2285.wav", "duration": 13.83, "text": "from the EBITDA that you generate? That is question number one. Question number two, can you comment on the progress that you're making with pricing, both in domestic coated board"}, {"path": "tedlium_2286.wav", "duration": 13.83, "text": "As Nick mentioned, our commercial team has successfully executed this expansion process the last 2 years, and we fully expect the 2019 expansion to be just as successful."}, {"path": "tedlium_2287.wav", "duration": 13.83, "text": "Many of the auction dynamics were consistent with prior quarters, although ad volumes were much higher in Q4. It was very encouraging to see some substantial daily sales volumes flowing through the auction during the quarter."}, {"path": "tedlium_2288.wav", "duration": 13.83, "text": "So one of the questions we had around the move towards emphasizing the higher quality or going upscale a little bit, how do you demonstrate that quality to the customer? Because"}, {"path": "tedlium_2289.wav", "duration": 13.83, "text": "Revenues continue to reflect the timing, mix and progress of contracts on hand and more importantly the effect of our strategic decision to narrow our focus to more vertically integrated jobs."}, {"path": "tedlium_2290.wav", "duration": 13.83, "text": "Many of the listeners on today's call participated in the Analyst Day that we held on the -- held at the New York Stock Exchange on September 13. In addition to the high-level overview of the company that we often provide in our Investor Meetings,"}, {"path": "tedlium_2291.wav", "duration": 13.83, "text": "Our continued investment in facilities and people in China is allowing us to take advantage of the multiple growth opportunities in the vintage and modern coin market segments there. As we develop China further,"}, {"path": "tedlium_2292.wav", "duration": 13.83, "text": "in terms of weight and hang it off the walls type boxes, very thin. So that almost brings the same pressure that you would have in a phone and a tablet in terms of cramming stuff in a very tight space"}, {"path": "tedlium_2293.wav", "duration": 13.8299375, "text": "These are defined by the Private Securities Litigation Reform Act of 1995. They are based on information and data that is currently available. However, the actual performance may differ due to various factors,"}, {"path": "tedlium_2294.wav", "duration": 13.8, "text": "Second, we're making strides with our continuous improvement initiative, where we're taking advantage of the great work that has been done in manufacturing to deliver cost reductions with Lean and Six Sigma initiatives across our entire business."}, {"path": "tedlium_2295.wav", "duration": 13.8, "text": "We believe we will be highly competitive in similar bids. Our strength in integrating complex technologies enables us to handle the sophisticated networking software"}, {"path": "tedlium_2296.wav", "duration": 13.8, "text": "In the institutional channel, net outflows moderated from the third quarter, but remained negative in the absence of sizable wins. Outflows remained subdued this far -- thus far in January."}, {"path": "tedlium_2297.wav", "duration": 13.8, "text": "Canadian Banking is focused on optimizing its business mix, driving higher productivity and acquiring new primary customers. James and his team will be driving improved productivity"}, {"path": "tedlium_2298.wav", "duration": 13.8, "text": "We have built this relationship over time. And as a result of our fourth transaction with them, they are now in our top 10. As of the end of third quarter, we had 19 vacant properties, 13 of which are Gander Mountain properties."}, {"path": "tedlium_2299.wav", "duration": 13.8, "text": "So if you could just explain that. And the other thing is, on your traction motor, I'm just wondering if you could just clarify if this is the -- if you have 1 model and this is going into a particular"}, {"path": "tedlium_2300.wav", "duration": 13.8, "text": "how important is it going to be that Autodesk has both the underlying BIM data as well as the PlanGrid capabilities versus others in the space that maybe don't have that underlying BIM data?"}, {"path": "tedlium_2301.wav", "duration": 13.8, "text": "The lack of existing supply in the coastal areas of the state continues to be a great driver of new home demand and pricing power. It has also compelled many new homebuyers to consider housing alternatives further inland,"}, {"path": "tedlium_2302.wav", "duration": 13.8, "text": "We believe second half results will be strong despite the aforementioned loss of a large customer contract and that we will grow profits above prior year levels, driven by cost reductions and an improved sales mix,"}, {"path": "tedlium_2303.wav", "duration": 13.8, "text": "Sure, sure. And the follow-up is actually a clarification. It took roughly about 3.5 weeks to get the first patient enrolled. Did you say how many patients have been screened in the context of patient enrollment? And what's your understanding of the"}, {"path": "tedlium_2304.wav", "duration": 13.8, "text": "So we're actually very encouraged by the launch of SPINRAZA because it's demonstrating that clearly there is a market out there in need. It's demonstrating that payers are willing to pay for"}, {"path": "tedlium_2305.wav", "duration": 13.8, "text": "During his speech, Jay made 2 major announcements. First, was the introduction of their new brand with a wide range of electrification options of axles called Blue Horizon."}, {"path": "tedlium_2306.wav", "duration": 13.8, "text": "our cash balance is very strong, even as we sit here today, orders growing. So not concerned, and we've got many good options, and we'll do what's in the best interest of the company to execute on this growth strategy."}, {"path": "tedlium_2307.wav", "duration": 13.8, "text": "fairly full impact after we get the noise of the integration out of the way and I expect that to be largely complete in the second quarter."}, {"path": "tedlium_2308.wav", "duration": 13.8, "text": "Well, again, I think that there are premiums. It's usually based upon the market price for the product. Most of these contracts do have phrases for extraordinary increases in cost."}, {"path": "tedlium_2309.wav", "duration": 13.8, "text": "Most importantly, our customers are noticing, and I'm confident we are focused on the right measures. We have a lot of work ahead of us, but I'm optimistic about the future of Chipotle. We have a strong economic model, a loyal customer base and a powerful purpose."}, {"path": "tedlium_2310.wav", "duration": 13.8, "text": "We have also seen an increase in income tax when compared to the previous year due to a reduction in 2014 from the impact of deferred taxes in Spain after the decrease in the corporate tax rate."}, {"path": "tedlium_2311.wav", "duration": 13.8, "text": "that's been why you haven't seen us transact in -- other than to be on the sell side, but you haven't seen us transact. We're disciplined about what we're going to spend for what we are going to get."}, {"path": "tedlium_2312.wav", "duration": 13.8, "text": "Before I leave bookings, I want to reiterate the point that Rusty made. In conversations with our clients, it has become clear what they need to succeed in the evolving health care world. That clarity has led us to make some dynamic changes"}, {"path": "tedlium_2313.wav", "duration": 13.8, "text": "We are pleased with the increased financial flexibility afforded us by the increased liquidity. We believe the strength of our balance sheet will continue to provide us with a competitive advantage,"}, {"path": "tedlium_2314.wav", "duration": 13.8, "text": "A number of our competitors have either seized funding or completely shut down over the past several months. From the intelligence we were able to gather, this is largely due to credit issues in their portfolios. As"}, {"path": "tedlium_2315.wav", "duration": 13.8, "text": "And so one of the things which is high in our list to talk through in detail on March 8 is exactly how we think we're differentiated versus the other people that you often think of as our competitors."}, {"path": "tedlium_2316.wav", "duration": 13.8, "text": "Exactly. So we always like to go to the markets when it's really a nice time to go, where we have good positive dynamics to effectively and efficiently issue capital."}, {"path": "tedlium_2317.wav", "duration": 13.8, "text": "several quarters and has not really been dropping off, except for maybe the year ago comparison. Can you say whether or not there's a particular customer group or particular application where this is strong for you?"}, {"path": "tedlium_2318.wav", "duration": 13.8, "text": "And I can't point to the fourth quarter of last year as a massive improvement there because we spent more on marketing and we actually did fewer sales. So you're 100% right on that. But we do see"}, {"path": "tedlium_2319.wav", "duration": 13.8, "text": "We remained focused on the timely resolution of our nonperforming loans in order to expedite the transition out of these investments, while maximizing returns. We believe"}, {"path": "tedlium_2320.wav", "duration": 13.8, "text": "many things that drive our guidance and that we put into there when we consider that. We're making good strides on a lot of the key elements of the portfolio, particularly the start-ups. But there are all kinds of different headwinds and tailwinds inside that."}, {"path": "tedlium_2321.wav", "duration": 13.8, "text": "much better quality financials from the company, at which point, we might need to consider a restructuring of those loans. And once those proposals and discussions have happened, we would be able to understand"}, {"path": "tedlium_2322.wav", "duration": 13.8, "text": "While few facilities experienced periodic power outages that required the use of backup generators and some various minor cosmetic damage to exterior buildings, no meaningful disruptions occurred."}, {"path": "tedlium_2323.wav", "duration": 13.8, "text": "But we're not finished. Our culture of identifying ways to simplify and streamline is firmly established around the company, and we plan to deliver continuous improvement in operational"}, {"path": "tedlium_2324.wav", "duration": 13.8, "text": "As far as the margin structure, the larger projects tend to be more complex. They do fit our model better because we have a very strong advantage with our engineering capability."}, {"path": "tedlium_2325.wav", "duration": 13.8, "text": "The complete description of these measures and the reconciliation to GAAP may be found in an exhibit L in our press releases for both the third and second quarters of 2016 as well as on our website."}, {"path": "tedlium_2326.wav", "duration": 13.8, "text": "I guess is there a minimum size an agent needs to be to operate in the new environment? I mean, I would expect some consolidation on the agent side, but can you give us a sense of how big an agent needs to be now?"}, {"path": "tedlium_2327.wav", "duration": 13.8, "text": "We're confident that this investment along with our organic capital investments for growth and productivity will lead to future margin expansion. Turning to Slide 7, I will cover the industry dynamics and outlook."}, {"path": "tedlium_2328.wav", "duration": 13.8, "text": "We're going to be meeting with the agencies for our annual review in early April. And as you would expect, the beneficial impact of accelerated depreciation will be on the table."}, {"path": "tedlium_2329.wav", "duration": 13.8, "text": "During today's call, management will discuss non-GAAP financial measures, including distributable net investment income. Please refer to yesterday's press release for a reconciliation of these measures to the most directly comparable GAAP financial measures."}, {"path": "tedlium_2330.wav", "duration": 13.8, "text": "As you've heard me say before, medium to large business customers do not tend to spend on optimism. That said, we did see some ongoing customer conversations on larger projects start to move from discussion to sale."}, {"path": "tedlium_2331.wav", "duration": 13.8, "text": "In summary, we are very pleased with our results for the fourth quarter and the full year of 2016. We are poised to take advantage of continued growth opportunities in new and existing markets and believe we are well positioned"}, {"path": "tedlium_2332.wav", "duration": 13.8, "text": "actually amazing. In NewWave, I don't think we can make a judgment call on the new pricing there because we have put so many"}, {"path": "tedlium_2333.wav", "duration": 13.8, "text": "there should be and there will be consolidation in our business, and we want to participate that in at least to the level of looking. And if the fit is right and if we put the highest value on something,"}, {"path": "tedlium_2334.wav", "duration": 13.8, "text": "So now you don't need to take away the merchandise, you just pay and go, and you get it delivered a few hours later to your home. This is very successful, has been deployed in 6 large cities in France and will be further expanded."}, {"path": "tedlium_2335.wav", "duration": 13.8, "text": "We believe these cost reduction initiatives will provide sustainable benefits as prices recover. Our employees have done an outstanding challenge, rising to what's being asked of them in this environment. They're clearly doing more with less."}, {"path": "tedlium_2336.wav", "duration": 13.8, "text": "So just for clarification, is the intention to keep it indefinitely? Or you think that you will look to sell it down the road maybe as things turn a little bit?"}, {"path": "tedlium_2337.wav", "duration": 13.8, "text": "helping our folks understand that we're going to service the heck out of Anthem. We have nothing but intention to continue to do a great job for them, to position ourselves well to be a choice that they want to make it at some period of time in the future when we get this behind us. And so"}, {"path": "tedlium_2338.wav", "duration": 13.8, "text": "The highest line pressures you'd probably expect kind of for 3Q, you'd probably be witnessing now, so you're fairly comfortable with where you set the guidance for 3Q. Is that... Yes. We forecast any curtailments that we might"}, {"path": "tedlium_2339.wav", "duration": 13.8, "text": "This is another groundbreaking innovation for the industry which will utilize the latest crowd-sourcing technology to dramatically improve the guest experience, giving skiers and riders more transparency and choice during their ski day."}, {"path": "tedlium_2340.wav", "duration": 13.8, "text": "as well as doing more on the shaver side. I think there's an opportunity for us with the more powerful platform to do more with ultrasonic shavers. So those are really the areas that we'll probably be spending the dollars."}, {"path": "tedlium_2341.wav", "duration": 13.8, "text": "We also intend to leverage this market segmentation and customer demographic information to assess our existing real estate portfolio, as well as identify key markets for acquisitions and greenfield expansion."}, {"path": "tedlium_2342.wav", "duration": 13.8, "text": "Now it's not that this is finished, but I think we still just have lower contribution. Now the second thing is that we as well these 2 companies,"}, {"path": "tedlium_2343.wav", "duration": 13.8, "text": "making sure that we've got certain stability within our commercial structure and that all the partners have the capability to go move forward and fund these projects. But just to make sure the record is clear,"}, {"path": "tedlium_2344.wav", "duration": 13.8, "text": "Unlike the banks and credit unions that are primarily focused on their own proprietary products, our strategy is unique as we look to partner with others, including the banks, to bring the best products to our members while we control and deliver on the best digital experience."}, {"path": "tedlium_2345.wav", "duration": 13.8, "text": "And I think what we are beginning to see are opportunities that exceed what we've got when we were going into the acquisition of Alent. I'll turn it over to Scot, who runs our Performance Solutions business, to give you some more specifics."}, {"path": "tedlium_2346.wav", "duration": 13.8, "text": "Our wholesale partners were thrilled to see that we have recaptured the brand DNA that had made us so successful in years past, and we were pleased to see that the very emotional connection that our partners had towards the brand has been restored."}, {"path": "tedlium_2347.wav", "duration": 13.8, "text": "On the positive side from our perspective, these forces have opened up a buying opportunity. With the announcement of this new share buyback program, we intend to walk the walk and not just talk the talk."}, {"path": "tedlium_2348.wav", "duration": 13.8, "text": "So they would be done, I would call it, opportunistically because we thought it enabled us to either grow faster, expand faster or supplemented our technology in some way that was beneficial for customers."}, {"path": "tedlium_2349.wav", "duration": 13.8, "text": "When I stepped down as CEO of eBay, I had the opportunity to survey the technology landscape and it became clear to me that cloud businesses are disrupting both consumer and enterprise experiences for the better."}, {"path": "tedlium_2350.wav", "duration": 13.8, "text": "Secondly, we're going to be very aggressive in managing our fuel expense, looking very closely at where we purchase both over the road and our bulk, analyzing our fuel optimization route and really taking advantage"}, {"path": "tedlium_2351.wav", "duration": 13.8, "text": "tax reform impacting that through. I guess there's some concern about the Blues into next year. And on the PBM side, with all the deals being announced, how your competitors might be responding to that and whether there's any opportunity or risk to pricing heading into next year."}, {"path": "tedlium_2352.wav", "duration": 13.8, "text": "What are you doing differently, Ron, that your predecessors weren't? Is it better execution? Is it better technology? Is it more feet on the street? How are you doing so much better relative to the past?"}, {"path": "tedlium_2353.wav", "duration": 13.8, "text": "With the expected increase in digital payments embedded in a growing number of devices, we continue to build out a global network of partners to offer secure, digital payment token services in creating a more secure commerce platform."}, {"path": "tedlium_2354.wav", "duration": 13.8, "text": "While some of this was market-driven, our results were also significantly influenced by the level of investment we made in our primary businesses to pursue the organic growth objectives we envisioned 5 years ago."}, {"path": "tedlium_2355.wav", "duration": 13.8, "text": "The improvement reflects favorable changes in the mix of income earned in lower rate jurisdictions, the continued execution of the company's tax strategies and the benefit of discrete tax items recorded in the quarter."}, {"path": "tedlium_2356.wav", "duration": 13.77, "text": "And so -- and then obviously, hire them. So we're going to start doing that right away and we think that we can, as Jim mentioned, hire an additional 5 fairly quickly in the January timeframe."}, {"path": "tedlium_2357.wav", "duration": 13.77, "text": "how -- just how successful the wells are. So we need a little bit more time with that. It will be the end of the year before we know more about the horizontal potential, at least, to assume even one portion of our field in the Altamont. So"}, {"path": "tedlium_2358.wav", "duration": 13.77, "text": "run from an OpEx point of view. I think my focus is really starting with the strategy and which product areas we want to focus on. And then from the strategy, obviously, that will"}, {"path": "tedlium_2359.wav", "duration": 13.77, "text": "This not only strengthens the cash, it gives us much greater flexibility to continue our investments in the infrastructure in terms of manufacturing, but also to take opportunities in the pipeline."}, {"path": "tedlium_2360.wav", "duration": 13.77, "text": "Demand across the industry remains encouraging, driving incremental investments throughout the year to support and serve that interest. Our teams continue to innovate and collaborate to adapt to the ever-evolving regulatory environment."}, {"path": "tedlium_2361.wav", "duration": 13.77, "text": "Mary Lou will shed additional light on some of the key front store initiatives. And as I have mentioned in the past, acquisition and partnership activity will play an integral role to accelerate our growth strategy."}, {"path": "tedlium_2362.wav", "duration": 13.77, "text": "across lines of business and geographies. In fact, we're entering 2018 with one of the best years of net new business performance in the company's history, which gives us confidence in the revenue growth within our multiyear framework."}, {"path": "tedlium_2363.wav", "duration": 13.77, "text": "The goal being that those qualifications are as coincident as possible, but we definitely don't control that. And I have no commitments from customers in terms of when they're going to get this thing qualified. But"}, {"path": "tedlium_2364.wav", "duration": 13.77, "text": "for them to be more specialized to really, again, correspond to the fundamental trends on the markets. And one of those is for the people suffering from major cognitive troubles,"}, {"path": "tedlium_2365.wav", "duration": 13.77, "text": "and I think that still affects the company. Therefore, what we see now is an environment where 2 of the main competitors or maybe 2 of your largest competitors have problems"}, {"path": "tedlium_2366.wav", "duration": 13.77, "text": "Before I move on to our operating priorities, I'd like to discuss the sale of our Language Solutions business, which closed on July 22. This transaction was an important step in executing our strategy,"}, {"path": "tedlium_2367.wav", "duration": 13.77, "text": "This was slightly better than we had expected as attrition from the client that we discussed last quarter has not started as expected. Note we still expect RCM revenues to slow in the back half of the fiscal year."}, {"path": "tedlium_2368.wav", "duration": 13.77, "text": "As a reminder, we now report uncollectible balances associated with patient responsibility as a reduction of net revenues instead of bad debt due to a change in revenue recognition accounting."}, {"path": "tedlium_2369.wav", "duration": 13.77, "text": "So we are able to spend some incremental cash to get these rigs to work. The other is really just the demands for these 2 specific types of rigs. We were essentially booked out on APEX-XKs, and we had a customer"}, {"path": "tedlium_2370.wav", "duration": 13.77, "text": "In addition to providing another independent validation of the value of our real estate, the proceeds allowed us to pay down our term loan B and further delever HBC's balance sheet."}, {"path": "tedlium_2371.wav", "duration": 13.77, "text": "This diversity will help us to continue to execute on our strategy and deliver value to our shareholders going forward. Now I would like to pass the call to Jerry who will provide an update on our retail initiatives."}, {"path": "tedlium_2372.wav", "duration": 13.77, "text": "We should also recognize if tax rates are lower, our deferred tax asset would need to be written down, but since very little of that asset counts towards regulatory capital, the impact on our financial condition would be very limited."}, {"path": "tedlium_2373.wav", "duration": 13.77, "text": "Our advisers, many of whom have structured their practices as pass-through entities, may also be able to benefit from lower taxes. We believe this will both strengthen their earnings and position them to invest in more growth."}, {"path": "tedlium_2374.wav", "duration": 13.77, "text": "The process for nominating and receiving Senate confirmations for new U.S. attorneys continues to move forward. These individuals, of course, are the nation's principal litigators that operate under the direction of the Attorney General."}, {"path": "tedlium_2375.wav", "duration": 13.77, "text": "availability of wheat in the long term or the medium term to be sufficient. So we always tried on the import parity mechanism. We've rationalized our wheat milling footprint to 5 mills, which we operate now"}, {"path": "tedlium_2376.wav", "duration": 13.77, "text": "Our company's advantages in AI aren't just somewhat better than our competitors. It's structurally superior. All systematic incentives for progress in AI, for us, are aligned towards deepening our market lead in users,"}, {"path": "tedlium_2377.wav", "duration": 13.77, "text": "So you will notice that we're not changing the outlook from what we said 6 months ago. Over the past 6 months, we have seen some normalization of mine plans. And we believe that this will continue but it will be gradual."}, {"path": "tedlium_2378.wav", "duration": 13.77, "text": "The first point is to expand our airline revenue platform. Both ANA and the LCCs will improve basic quality, then we will pursue an optimal portfolio and expand our revenue platform."}, {"path": "tedlium_2379.wav", "duration": 13.77, "text": "This may be a variation of what we saw a few years ago with cease and desist activity. We're looking into whether there's a legal activity associated with this issue. And if so, we'll take appropriate action."}, {"path": "tedlium_2380.wav", "duration": 13.77, "text": "And we're avoiding a lot of those headwinds. So we're not faced with the same situation that many others CPG companies are today. And again, we've talked about this a number of times in the past about"}, {"path": "tedlium_2381.wav", "duration": 13.77, "text": "I think it's best to just talk very briefly about each project. First project is the Los Angeles integration and compliance project. So all the design, engineering, all the evaluation of that"}, {"path": "tedlium_2382.wav", "duration": 13.77, "text": "And on the merchandise price cuts, is that just part of your ongoing strategy that you've been using for the past couple decades to drive volume? Or was that to clear merchandise?"}, {"path": "tedlium_2383.wav", "duration": 13.77, "text": "An amazing and diverse slate of movies from both the major studios and independent film companies, coupled with attractive returns from the execution of our global cinema strategy, drove this record quarterly results."}, {"path": "tedlium_2384.wav", "duration": 13.77, "text": "This is perhaps an obvious statement to make after receiving 2 Complete Response Letters, but it is important to keep in mind as we are moving Ocular forward to be able to support not only DEXTENZA manufacture"}, {"path": "tedlium_2385.wav", "duration": 13.77, "text": "Moving to the export markets. In China, sales volumes and realizations for our logs declined modestly compared with the fourth quarter in connection with the typical slowdown in construction activity during the Lunar New Year."}, {"path": "tedlium_2386.wav", "duration": 13.77, "text": "which is not any increase in CapEx, but we found an opportunity -- we were approached with an opportunity where we could bring forward some existing CapEx payments, attract favorable commercial terms"}, {"path": "tedlium_2387.wav", "duration": 13.77, "text": "As disclosed in previous 10-Qs as well as in our 10-Q filed earlier today, we have been in discussions with the California Attorney General and the Consumer Financial Protection Bureau."}, {"path": "tedlium_2388.wav", "duration": 13.77, "text": "the way we ought to be thinking about the next several quarters in the absence of anything that materially changes in the industry in terms of competition or end market demand?"}, {"path": "tedlium_2389.wav", "duration": 13.77, "text": "By the end of 2016, we will have replaced over half of our product with a fresh, contemporary line. Most of this assortment is in our stores today, and customer feedback has been very positive."}, {"path": "tedlium_2390.wav", "duration": 13.77, "text": "That deterioration was a function of additional promotional activity, some of the clearance work on bamboo and engineered categories as well as the same obsolescence and mix effects of installation sales we saw in the year-over-year comparison."}, {"path": "tedlium_2391.wav", "duration": 13.77, "text": "and bring costs down in that process. And no different than past years, we have some initiatives we're putting in place to improve and reduce those costs that are more oriented to the second half of this year."}, {"path": "tedlium_2392.wav", "duration": 13.77, "text": "And we will continue to evaluate additional contingency plans to help navigate the situation in the longer term. With that brief introduction and overview, I'll now turn the call over to Jeff to provide more detail on the financial results for the quarter."}, {"path": "tedlium_2393.wav", "duration": 13.77, "text": "there could be some inactives in that number and -- but you know when they come on. You just don't know -- there's not like a resignation you get when they decide to stop selling."}, {"path": "tedlium_2394.wav", "duration": 13.77, "text": "On Page 26 of the supplemental information, you will note the overall payer mix of our discharges has stabilized and is generally in line with the payer mix we've had over the last 3 quarters."}, {"path": "tedlium_2395.wav", "duration": 13.77, "text": "so we plan to issue the series. And with that money, we will -- we believe that we will have money to serve our debt in the coming years without any equity injection from our side."}, {"path": "tedlium_2396.wav", "duration": 13.77, "text": "As you've heard from some of our peers already, many, if not most of the contentious Senate and governor races, seem to significantly cool off just as fourth quarter began. And even lower races did not bring out as much spending as expected."}, {"path": "tedlium_2397.wav", "duration": 13.77, "text": "The project is on track, and first production is expected by the end of 2018. So those were just a few of the operational highlights from the first quarter. Now let's move to Slide 10 to discuss the remainder of the year."}, {"path": "tedlium_2398.wav", "duration": 13.77, "text": "The property taxes were down slightly as a percent of revenue due to reduction in property tax accruals for a specific geographic markets, has a more prominent impact on the Same Home results, in particular tax assessments in Houston came in lower than we had expected."}, {"path": "tedlium_2399.wav", "duration": 13.77, "text": "Final terms of the COFINA Plan of Adjustment and related documentation remain subject to change and court approval and local legislative action. A confirmation hearing is scheduled to be heard during the first quarter next year."}, {"path": "tedlium_2400.wav", "duration": 13.77, "text": "Primarily due to bankruptcy activities that occurred during the second quarter of 2017, the company is now focused on the low end of its original guidance range for comparable NOI, expecting full year performance to be essentially flat year-over-year."}, {"path": "tedlium_2401.wav", "duration": 13.77, "text": "our view has been that we have even more opportunity there because we knew that the joint venture had some weaknesses in how it went to market and the consistency of how it went to market across the geography. So we feel very, very good"}, {"path": "tedlium_2402.wav", "duration": 13.77, "text": "focused not only on the electric side of the business where you know there's a lot of investment needed to modernize the grid, upgrade the grid to allow for new forms of generation and demand response like we're seeing in the REV proceeding in New York."}, {"path": "tedlium_2403.wav", "duration": 13.77, "text": "and you have lower cost credit facility capacity available to leverage up to your target to generate a higher return for shareholders, why wouldn't you do that first and then discuss"}, {"path": "tedlium_2404.wav", "duration": 13.77, "text": "those rates have not really come down much at all in the last 8 years, probably the only spread product that hasn't come down, to my knowledge. And what happened was when the unsecured corporate bond market opened up,"}, {"path": "tedlium_2405.wav", "duration": 13.77, "text": "And then we're also producing a higher percentage of asphalt sizes right now, and this is because of the visibility we have of all the highway work. And they're just a smaller size and they're just slower and harder to produce and more expensive to produce. But"}, {"path": "tedlium_2406.wav", "duration": 13.77, "text": "As Steve discussed, we expect to launch Rayaldee in the coming weeks. I'd like to provide our thoughts around expected revenue recognition over the next several quarters related to Rayaldee. Accounting guidelines by the SEC"}, {"path": "tedlium_2407.wav", "duration": 13.77, "text": "The patient, doctors, the pharma industry, the whole health care systems have a very high interest that the treatment is done correctly and also that the expected effect of the medication is reached."}, {"path": "tedlium_2408.wav", "duration": 13.77, "text": "in January. And then the crew has already begun some preliminary work on the Wilson pad, which is the last pad really for this year to contribute production. So once that crew finishes up on the Fryes, they'll move directly to the Wilson. So"}, {"path": "tedlium_2409.wav", "duration": 13.77, "text": "Bob's experience in strategic finance coupled with the FedEx Ground team's immense knowledge of Ground operations and the industry trend will be instrumental as we chart our course for the future."}, {"path": "tedlium_2410.wav", "duration": 13.77, "text": "I'm pleased to say that Hub had a strong fourth quarter. Although we had not seen much of a peak at the time we reported our third quarter earnings, peak did begin in full force a few weeks later and lasted through the end of the year."}, {"path": "tedlium_2411.wav", "duration": 13.77, "text": "and more depending on natural gas and we are very proud of being part of this system. We want to leverage businesses in the sector,"}, {"path": "tedlium_2412.wav", "duration": 13.77, "text": "strategic and restructuring and otherwise, we looked at the portfolio, we looked at what we had and we looked at what we wanted to be. And we estimated at that time that probably about 10% of the portfolio"}, {"path": "tedlium_2413.wav", "duration": 13.77, "text": "But we view that, as Jim said earlier, capital recycling is a fundamental part of the business. You would see us do some of that activity no matter what, really in any given year, to continue to reinvest in the portfolio and generate growth from that point forward."}, {"path": "tedlium_2414.wav", "duration": 13.77, "text": "and I would like all of you to pay attention to that. If you go back to long periods with all the curves of the products based on pulp, but considering"}, {"path": "tedlium_2415.wav", "duration": 13.77, "text": "you can make a case for consolidation and get it approved when a couple other competitors want to come together in theory. Any combination of the other 3 competitors is possible based on our look at it, but it would obviously be"}, {"path": "tedlium_2416.wav", "duration": 13.77, "text": "I remained on the board and was serving in that capacity through most of this year. During the third and fourth quarters of 2017, the board and management initiated a comprehensive review of our business strategy."}, {"path": "tedlium_2417.wav", "duration": 13.77, "text": "We believe this was primarily due to a decrease in international tourism and international tourism spend in New York City, which has been negatively impacted by weakness in the global economy."}, {"path": "tedlium_2418.wav", "duration": 13.77, "text": "streamlining that can be done. The bad news is that we still think there's a lot of price pressure in the market. So I think it would be optimistic to forecast further margin improvement"}, {"path": "tedlium_2419.wav", "duration": 13.77, "text": "Let me now address our outlook for 2017 and the second quarter on Slide 11. We are making good progress against our commercial greatness and operational excellence initiatives."}, {"path": "tedlium_2420.wav", "duration": 13.77, "text": "In addition, we conducted successful full-duration hypersonic engine tests and completed the consolidation of our aircraft protection product line from Clearwater, Florida to our Northridge, California facility on schedule."}, {"path": "tedlium_2421.wav", "duration": 13.77, "text": "Specific to the quarter, the residential business absorbed higher returns versus the prior year within the retail segment as well as higher rebates reflecting increased annual volume thresholds achieved within the quarter."}, {"path": "tedlium_2422.wav", "duration": 13.74, "text": "the quality of assets that are available? Like how many of the -- or how much of the market is good quality assets that you would like to have a relationship with? And then is it getting any easier acquiring control of those assets?"}, {"path": "tedlium_2423.wav", "duration": 13.74, "text": "We also believe that this can only be accomplished with a digital experience, and it is the only way to deliver the kind of convenience and personalization, along with it being a more efficient platform that enables lower fees and a significantly enhanced value proposition."}, {"path": "tedlium_2424.wav", "duration": 13.74, "text": "to the culture of the company of really recognizing knowledge, skills and ability and the ability to really get into complex design opportunities"}, {"path": "tedlium_2425.wav", "duration": 13.74, "text": "Turning back to the first quarter and beginning with our Agency portfolio. Agency spreads were certainly not immune to the dislocations that plagued markets in the first quarter. A relatively low leverage, durable cash flow profile"}, {"path": "tedlium_2426.wav", "duration": 13.74, "text": "On the docGenix product side, last quarter, I mentioned that we were pursuing opportunities with a couple of high profile prospects and we're also seeing interest from an existing customer in incremental add-on services."}, {"path": "tedlium_2427.wav", "duration": 13.74, "text": "Today, healthy is the new skinny. Increasingly, people who join Weight Watchers are interested in something more than getting into a size 8 jean. They want to feel healthy and happy at every size."}, {"path": "tedlium_2428.wav", "duration": 13.74, "text": "the latter of which we recently received a warning letter related to last year's recall, we remain on track with the EPS accretion for both deals as their growth will accelerate through the remainder of the year."}, {"path": "tedlium_2429.wav", "duration": 13.74, "text": "As far as the pace over the course of the year, there's probably going to be a little bit heavier acquisition volume, I would think, in the second half of the year as some of the"}, {"path": "tedlium_2430.wav", "duration": 13.74, "text": "So while the potential impact from the overlap of T-Mobile and Sprint assets in our portfolio could be as high as perhaps a mid-single digits percentage of LMRK's total revenue based on that simplistic analysis,"}, {"path": "tedlium_2431.wav", "duration": 13.74, "text": "We are following the situation closely and are conducting estimates of the possible impact on the country's economy. We also keep a very high level of liquidity in the Nicaragua bank to manage any unforeseen circumstances."}, {"path": "tedlium_2432.wav", "duration": 13.74, "text": "And one last question. Just to date on that front, are there any concerns like as you start to go a little bit more vertical in the health care space, just in terms of patient data privacy, how do you manage those things going forward?"}, {"path": "tedlium_2433.wav", "duration": 13.74, "text": "We try to improve productivity in all of our stores and improve our expense approach. But what I can say is that we will continue to focus on that."}, {"path": "tedlium_2434.wav", "duration": 13.74, "text": "The soft energy Sector negatively impacted operating results of certain of our travel centers, which, in addition to the volume impacts I just mentioned, saw their aggregate site level contribution excluding fuel margin"}, {"path": "tedlium_2435.wav", "duration": 13.74, "text": "Our extended gifting ranges performed particularly well, and our new fulfillment center in Guernsey enabled us to meet record levels of demand for both gifting and greeting cards over the key events in the period."}, {"path": "tedlium_2436.wav", "duration": 13.74, "text": "Adjusted EBIT margin declined by 20 basis points versus the prior year to 5%. The benefits of Asia-Pacific growth, our pricing actions and integration initiatives helped to mitigate the impact of lower volumes in Europe"}, {"path": "tedlium_2437.wav", "duration": 13.74, "text": "If the industry, at the behest of Wall Street and due to the lack of bank financing, fails to respond to the commodity price signal by failing to produce more, well, then the commodity price will just continue to rise until somebody grows production."}, {"path": "tedlium_2438.wav", "duration": 13.74, "text": "There are 2 important examples, this I'd like to mention because they took enormous effort to get done properly. The first was the opening of a new consolidated customer service center in Newtown, Pennsylvania serving certain nearby regions."}, {"path": "tedlium_2439.wav", "duration": 13.74, "text": "Since our last call, we launched our proprietary and flexible auto decision workflow application, which is a comprehensive overhaul of our technology that manages payer billing and follow-up operations."}, {"path": "tedlium_2440.wav", "duration": 13.74, "text": "how are they trending across your various product groups right now and if you have seen any further extensions with the course of Q3 or are they coming back? Secondly, with respect to"}, {"path": "tedlium_2441.wav", "duration": 13.74, "text": "Before we begin, I would like to remind all participants that our comments made today will include forward-looking statements which are subject to certain risks and uncertainties and could cause actual results or events to materially differ from those"}, {"path": "tedlium_2442.wav", "duration": 13.74, "text": "this is a solution that was really developed by somebody who truly understands the -- how to deliver not just a broad analytics suite that allows a data expert to find needles in the haystack,"}, {"path": "tedlium_2443.wav", "duration": 13.74, "text": "a very successful sector in the market for us over the last 2 decades, and we continue to see that as a competitive advantage going forward. So some of what we're doing right now is just keeping up technology revs"}, {"path": "tedlium_2444.wav", "duration": 13.74, "text": "We continue to increase the size of our well packages and extend lateral lengths, while being careful to maintain per foot recovery. The goal of these measured improvements is to maximize the NPV per section of this consistently prolific asset."}, {"path": "tedlium_2445.wav", "duration": 13.74, "text": "And that will be to our benefit because we've seen too many changes happening too fast in the marketplace, and we're actually seeing that the local competitors are the ones that are gaining share. Unilever globally is gaining share"}, {"path": "tedlium_2446.wav", "duration": 13.74, "text": "the investor event in November, I explained that we will be carrying out a funding review of our pensions. This could include a onetime cash injection to reduce future cash requirements, and we'll update you on this once a firm decision is made."}, {"path": "tedlium_2447.wav", "duration": 13.74, "text": "And third, we have redoubled our efforts to drive discipline, operational excellence within our stores and to mindfully allocate capital with a sharp focus on managing our corporate expenses."}, {"path": "tedlium_2448.wav", "duration": 13.74, "text": "we continue to expect a net loss in fiscal '18. However, we anticipate our second half results to show improvement over the first half as new customer orders have strengthened as anticipated."}, {"path": "tedlium_2449.wav", "duration": 13.74, "text": "The Major Hazard Initiative has deliberately targeted workstreams. They identify for themselves the hazards that can lead to fatalities in the workplace. Unlike previous safety initiatives, it is not just top-down."}, {"path": "tedlium_2450.wav", "duration": 13.74, "text": "Now I will go over the details of our Air Transportation business. Please turn to Page 36. This is a year-on-year comparison of changes in operating income for our Air Transportation business."}, {"path": "tedlium_2451.wav", "duration": 13.74, "text": "In addition, we have included non-GAAP financial information in our discussion. Reconciliations to the most comparable GAAP financial measures are included in the earnings release and in the appendix of the presentation."}, {"path": "tedlium_2452.wav", "duration": 13.74, "text": "and those are just examples. And if we can deliver on those examples, there's a dozen more products that can come out of the pipeline either on our own or in conjunction with partners. And more likely than not, it will be in conjunction with partners."}, {"path": "tedlium_2453.wav", "duration": 13.74, "text": "you to be able to integrate life, work and also tourism in your daily life every day. So every day is a holiday. FOLIDAY last year was listed."}, {"path": "tedlium_2454.wav", "duration": 13.74, "text": "Besides the women's health line, we also expect to roll out a line of products designed to aid pathologists in distinguishing the characteristics of various tumors from biopsy specimens using technology developed by Enzo scientists."}, {"path": "tedlium_2455.wav", "duration": 13.74, "text": "The FlowScript assay was based on a proprietary technology that allows multiplexing analysis of cellular function in a single assay via the simultaneous examination of each and every cell in a given sample."}, {"path": "tedlium_2456.wav", "duration": 13.74, "text": "which is an embedded marketplace for customers to install new applications and enable new features like Business Inbox, which offers social messaging integration."}, {"path": "tedlium_2457.wav", "duration": 13.74, "text": "but I will tell you we are seeing early success. And part of the challenge is we've been talking about this for quite some time. They announced 6 to 9 months ago, and we told you what we were going to do, and now we're actually about doing it. So we have every confidence"}, {"path": "tedlium_2458.wav", "duration": 13.74, "text": "And we have a very nice technical acumen in that area, and that's where some of our growth is coming from as well. So those are the 3 areas that we like. We've positioned ourselves as the go-to for those type of applications"}, {"path": "tedlium_2459.wav", "duration": 13.74, "text": "In essence, what was reflected back to us was that the whole positioning of SciClone as a unique China-focused specialty pharma company was very highly regarded by these third-parties."}, {"path": "tedlium_2460.wav", "duration": 13.74, "text": "So nothing's changed there, although we still -- our position is still that we are interested in forming a company, and to the extent that we do and we're able to describe that, we will do so in the not too distant future."}, {"path": "tedlium_2461.wav", "duration": 13.74, "text": "hog production assets in Europe, they have very low cost. So are we going to acquire more assets?"}, {"path": "tedlium_2462.wav", "duration": 13.74, "text": "Our ability to deliver strong and predictable earnings and cash flow in the current environment is a reflection of the resilience of our low-risk business model. Our business model performs well and in a predictable fashion in high or low commodity price markets."}, {"path": "tedlium_2463.wav", "duration": 13.74, "text": "These impacts were partially offset by approved rate recovery. The interim rate true-up affected second quarter only, and the approved rate recovery will generate incremental revenue on a go-forward basis."}, {"path": "tedlium_2464.wav", "duration": 13.74, "text": "half a dozen things. We showed that prospect using their own data, but we've invested quietly but significantly in the ability to manage large amounts of data that -- in very complex ways. And so when you look at fraud, waste and abuse"}, {"path": "tedlium_2465.wav", "duration": 13.74, "text": "Their comments will be based on the earnings release which was issued today. A copy of the long version is available on the corporate website. Any comments made by the executive officers today may include forward-looking statements."}, {"path": "tedlium_2466.wav", "duration": 13.74, "text": "The margins that we were trading on with that were very, very small and it got to the point where it was questionable whether or not we could consistently make money on those sales."}, {"path": "tedlium_2467.wav", "duration": 13.74, "text": "Our strongest overall results are being driven by sales to destination guests who were responsible for more than 3 quarters of our total growth and now represent approximately 44% of our total pass holders."}, {"path": "tedlium_2468.wav", "duration": 13.74, "text": "But you're continuing to push price increases here at the end of the year. So is there a scenario where you could actually be positive on price cost next year? Is that a fair way to think about it?"}, {"path": "tedlium_2469.wav", "duration": 13.74, "text": "We're very grateful for her many contributions, and we wish her much happiness in her retirement. We'll now turn the call over to Bob to provide more detail on our financial results and outlook, in addition to our regulatory update. Bob?"}, {"path": "tedlium_2470.wav", "duration": 13.74, "text": "up 30 basis points from Q2 '15. As can be seen on Slide 18, the rate of new prepayment claims denials declined from the level we had experienced in the 3 preceding quarters."}, {"path": "tedlium_2471.wav", "duration": 13.74, "text": "As Rakesh mentioned, due to all the acquisition activities, we had a prolonged close, so we elected to take the extra time allowed to finalize the remaining schedules. Please note that we do not anticipate any issues filing within"}, {"path": "tedlium_2472.wav", "duration": 13.74, "text": "Enhancing our competitive edge is a key element of our long-term strategy and we remain focused on execution. We're further strengthening our core by maintaining a solid pipeline of new products and applications."}, {"path": "tedlium_2473.wav", "duration": 13.74, "text": "that we have really pushed to move forward. And again, those aren't large dollar impacts as far as capital, but they are large dollar impacts by accelerating a debottlenecking of a system. And a good example of that is"}, {"path": "tedlium_2474.wav", "duration": 13.74, "text": "Is there a lot of heavy lifting, I guess, left to do to kind of get you -- people are already using you outside of IT. What do you think has to happen to sort of take that next step to start talking to more line of business heads and CEO types?"}, {"path": "tedlium_2475.wav", "duration": 13.74, "text": "they say, okay, you can do that as long as you use my acquiring. But once you do not use my acquiring, the lease will go to a different level, will be charged."}, {"path": "tedlium_2476.wav", "duration": 13.74, "text": "We expect our Truckload fleet to hold relatively firm throughout 2016, with the only real reduction being realized by potential shifting from the Truckload units into other segments, such as our Dedicated,"}, {"path": "tedlium_2477.wav", "duration": 13.74, "text": "The first thing is that we've hired some -- from Aggreko, some mobile power generation units for Bulyanhulu, just to stabilize the power there so that we don't suffer"}, {"path": "tedlium_2478.wav", "duration": 13.74, "text": "Just to add one thing on your first question in terms of cost in the first half, do remember what we spoke about in the Q1, where we said that we were making sure that IT was not so backend loaded as it had been in previous years."}, {"path": "tedlium_2479.wav", "duration": 13.74, "text": "we talked about not just redev, what was recently completed and currently in process, which is what that disclosure was, but we also talked about the other part of the life cycle of redevelopment, which was the future pipeline and everything that we're teeing up,"}, {"path": "tedlium_2480.wav", "duration": 13.74, "text": "And we can see that this step of ongoing improvement in governance tends to continue. But we do not have any commitment"}, {"path": "tedlium_2481.wav", "duration": 13.74, "text": "which is how mid-size, mid- to high-end-size clients are adopting the platform is more of the solution approach to package solutions in a way that can be easily deployed."}, {"path": "tedlium_2482.wav", "duration": 13.74, "text": "Our 2018 strategic initiatives are designed to specifically address each of these core issues, increase the level of service to our customers and improve our financial results."}, {"path": "tedlium_2483.wav", "duration": 13.74, "text": "sugar price weakness observed late last year. The market seems to be a little bit more optimistic about the Brazilian crop, but in our opinion, there are no fundamental changes in this scenario when compared to what we presented here in previous quarters."}, {"path": "tedlium_2484.wav", "duration": 13.74, "text": "because of operational variance as well as seasonality associated with both the fact that students graduating in May will be making their first payments in November. And so there's these waves of graduates that come in,"}, {"path": "tedlium_2485.wav", "duration": 13.74, "text": "But we're even more pleased with the composition of this backlog as it has been won through our more disciplined bidding process with a greater focus on vertical integration projects in contrast to our historically broader approach to the market."}, {"path": "tedlium_2486.wav", "duration": 13.74, "text": "The forward-looking statements are made only as of the date of today's conference call, and the Company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise."}, {"path": "tedlium_2487.wav", "duration": 13.71, "text": "Moving on now to 2017 guidance. We are reconfirming our outlook in all principal components, provided on our February 8 earnings call, which also included the 2 acquisitions completed in January."}, {"path": "tedlium_2488.wav", "duration": 13.71, "text": "Now in the second half of 2018 and particularly in the fourth quarter, we did see much stronger demand than we've been expecting across the entire portfolio. And that led to the stronger performance you've seen."}, {"path": "tedlium_2489.wav", "duration": 13.71, "text": "Given the higher grades and the higher value of the stones that we have typically found out of the Satellite, we did want to push that a bit as much as possible, and we felt it's prudent at this time of the year given the performance we've had in the waste stripping side of the guidance."}, {"path": "tedlium_2490.wav", "duration": 13.71, "text": "The decline in market share was not unexpected as we closed TMX Select, and Alpha was relaunched as an unprotected marketplace. These changes are made as part of the larger initiative to simplify and improve the trading experience for our clients."}, {"path": "tedlium_2491.wav", "duration": 13.71, "text": "Increasing services margin driven by alignment with our all-platform product strategy will also be on display this coming quarter and beyond. Helping our customers build more valuable businesses"}, {"path": "tedlium_2492.wav", "duration": 13.71, "text": "it is also appropriate to combine that style of investing with a certain level of more senior oriented structures, which provides a laddering effect in terms of overall yield and tenure across our investment portfolio."}, {"path": "tedlium_2493.wav", "duration": 13.71, "text": "Both Matt and I agree there is no reason Marvell with its existing structure today can't perform at the level of all of our peers or better."}, {"path": "tedlium_2494.wav", "duration": 13.71, "text": "I can tell you that we have some progress and some things have been finalized. But in terms of the overall contract, I think we still have more work that we need to do to settle this issue."}, {"path": "tedlium_2495.wav", "duration": 13.71, "text": "We anticipate that marketing solutions and other services revenue, which is primarily fraud and securities offers for this segment, to be about 10% of Direct Checks revenue."}, {"path": "tedlium_2496.wav", "duration": 13.71, "text": "again, we love our competitive position. And the progress we've been making on Total Audience Measurement as this year has unfolded and where we stand right now -- look, we have more to do, but we're in a great spot and we're going to continue to execute."}, {"path": "tedlium_2497.wav", "duration": 13.71, "text": "Erie has received either a platinum, gold or silver award from the group each year since 2009. Preparing our workforce for the future is an area of focus that very much involves our employees today."}, {"path": "tedlium_2498.wav", "duration": 13.71, "text": "I mean, these aren't things that are waiting to be built and still have parts out in the supply chain. A lot of these are parts that are in the boxes, and we're just -- we're geared up for the customer delivery dates."}, {"path": "tedlium_2499.wav", "duration": 13.71, "text": "We achieved a record level of quarterly revenue in our Services segment despite the impact of a large contract discontinuing using our services at the beginning in April 2018, as we previously disclosed."}, {"path": "tedlium_2500.wav", "duration": 13.71, "text": "not a lot of investments being announced and we wouldn't expect any in the future, frankly 0 on the combined cycle plant side of things, that you see that the market has finally reached"}, {"path": "tedlium_2501.wav", "duration": 13.71, "text": "The fact that we have high and increasing order intake with the top 5 tire manufacturers also means that as we get more market share with them, we end up in more locations where they have the facilities. And"}, {"path": "tedlium_2502.wav", "duration": 13.71, "text": "Shipments of the DT systems to Ashok Leyland have commenced, and we continue the dialogue at the highest levels of Ashok Leyland on furthering our partnership, as we continue to work on our expansion into the India EV market,"}, {"path": "tedlium_2503.wav", "duration": 13.71, "text": "which was a controlled observation period in DUET. That was clear. One of the things we are working with them on right now is what is the exact observation period that we want to put into the confirmatory trial."}, {"path": "tedlium_2504.wav", "duration": 13.71, "text": "Customers continue to validate the attractiveness of the combination and are already showing us possibilities we've previously did not see, such as integration of data feeds from our Transportation business into the construction ERP systems."}, {"path": "tedlium_2505.wav", "duration": 13.71, "text": "As I discussed on last quarter's earnings call, as a result of our decision to sell American Roads, we now meet the criteria to classify the American Roads entity as held for sale on the consolidated balance sheets"}, {"path": "tedlium_2506.wav", "duration": 13.71, "text": "So they basically want to basically lock in the certainty of having that asset available to them for their use for a really long period of time. And I expect that over time, you're going to consistently see leases"}, {"path": "tedlium_2507.wav", "duration": 13.71, "text": "as well as in the regulatory support behind them. And you'll hear more about the company's innovations pipeline in the coming months. Niconovum's Zonnic nicotine replacement therapy gum also continues to perform well."}, {"path": "tedlium_2508.wav", "duration": 13.71, "text": "We have the skills and capacity to move into new areas and into mature plays in a wide variety of geologic settings. We are not constrained by geography or play type."}, {"path": "tedlium_2509.wav", "duration": 13.71, "text": "Given the strength of our balance sheet and the fact that our Pressure Pumping business was EBITDA positive for 2016, we were able to maintain our active equipment during the downturn and did not cannibalize our idle equipment."}, {"path": "tedlium_2510.wav", "duration": 13.71, "text": "But we're on schedule to sell more displays to them. Go through the second stage and this will be ramping up. And displacing, eventually, what's in there for the other company."}, {"path": "tedlium_2511.wav", "duration": 13.71, "text": "Digital artificial intelligence are part of the answer we might give to them. A first example, we launched recently a new platform, Organix, the first digital marketplace for organic waste."}, {"path": "tedlium_2512.wav", "duration": 13.71, "text": "We disclaim any obligation to update these forward-looking statements, which may not be updated until our next quarterly conference call, if at all. Additional information regarding these risks and uncertainties was set forth in our earnings release and in our 10-Q."}, {"path": "tedlium_2513.wav", "duration": 13.71, "text": "This is a great example of the bold forward thinking by our marketing team that has sustained our growth over the past several years. As we assess these technology updates, we will keep you updated."}, {"path": "tedlium_2514.wav", "duration": 13.71, "text": "Shifting gears to the international markets, the Asia Pacific region had its second best quarter ever. The team won a landmark deal with Samsung in South Korea, which is our first client in South Korea."}, {"path": "tedlium_2515.wav", "duration": 13.71, "text": "that are -- have some level of stress or distress, mostly in the exploration side. We're not interested in the exploration side. We're not -- we're going to stay within our existing franchises, which are on the production side, because that's what"}, {"path": "tedlium_2516.wav", "duration": 13.71, "text": "This is an exciting innovation potentially creating a new category, and we are there from the start. Route to consumer has been an area of major focus for 3 years, but it's still an area of opportunity."}, {"path": "tedlium_2517.wav", "duration": 13.71, "text": "Our customers have realized the benefits of better predictability and control of blasting. For example, data collected across thousands of holes in the Pilbara has delivered a significant reduction in excess drilling,"}, {"path": "tedlium_2518.wav", "duration": 13.71, "text": "Please see Page 18. Now I'll explain management resource allocation. As we advance our business and improve free cash flow, our policy will be to shift stages in our business management cycle."}, {"path": "tedlium_2519.wav", "duration": 13.71, "text": "The dilemma I would have, if I was a director at your company, would be I would want to make sure that any of those -- that The Street understands what potential could happen or not"}, {"path": "tedlium_2520.wav", "duration": 13.71, "text": "Glad you could join us today. And I plan to keep my remarks pretty brief today to allow as much time as possible for your individual questions and also recognizing we have our Analyst Day coming up next week on May 11 in New York City."}, {"path": "tedlium_2521.wav", "duration": 13.71, "text": "And we do intend to file a general natural gas case by the end of September of this year. And as we have discussed before, we do a first look for each"}, {"path": "tedlium_2522.wav", "duration": 13.71, "text": "new eyes find problems that were in files that were hidden underneath in the drawer, underneath the desk. Yes. I think what we would tell you at this point is we had a number of new eyes on these already."}, {"path": "tedlium_2523.wav", "duration": 13.71, "text": "This effort will yield us a cadre of targets that will allow us to utilize our strong financial position to accelerate our growth and diversification efforts, while leveraging our strong competencies in manufacturing execution,"}, {"path": "tedlium_2524.wav", "duration": 13.71, "text": "we would anticipate that would start to drive some of the inventories down. And as we get further into the year, as long as you see that construction activity hold up, align -- along the lines of what we think is going to happen,"}, {"path": "tedlium_2525.wav", "duration": 13.71, "text": "we're not engaging with WIL's clients because they're not our clients at the current time. We have an understanding of who they are. We have kind of some euphemistic understanding of their initial reactions to the deal."}, {"path": "tedlium_2526.wav", "duration": 13.71, "text": "So it's very significant. And while it increases the value of the asset, it also has made it far more interesting on the part of third parties to take a look at it to see what they and we can do with it. Our interest in Agua Rica is its development."}, {"path": "tedlium_2527.wav", "duration": 13.71, "text": "Thank you, operator, and good afternoon, and welcome to the GameStop earnings call. I want to start by thanking our worldwide team for another great effort in the first quarter in delivering outstanding customer service."}, {"path": "tedlium_2528.wav", "duration": 13.71, "text": "These results were driven primarily by a very successful launch of the Nintendo Switch, the growth of licensed merchandise and collectibles sales and the continued rapid expansion of Roku in Mexico."}, {"path": "tedlium_2529.wav", "duration": 13.71, "text": "Certainly, we've -- when we encounter a special issue in the field, we work diligently to uncover why that is, and then we reserve at that time for what we think it will take to"}, {"path": "tedlium_2530.wav", "duration": 13.71, "text": "Basic EPS increased 36% due to the balance sheet remeasurement of our U.S. deferred tax liabilities as a result of the headline rate reduction, resulting in an exceptional tax credit."}, {"path": "tedlium_2531.wav", "duration": 13.71, "text": "condition precedent like a CP like in a contract, saying that we wanted to do it only provided that we should have found a very robust and sound"}, {"path": "tedlium_2532.wav", "duration": 13.71, "text": "which was used in need for a secured money market transactions. However, lower volumes were more than offset by higher average commission paid in both business as a result of market conditions."}, {"path": "tedlium_2533.wav", "duration": 13.71, "text": "for actions committed by previous employees. And so when the company is indicted, it's not because the company has done anything wrong. It's because someone that worked there had or hadn't."}, {"path": "tedlium_2534.wav", "duration": 13.71, "text": "I assure you that our company take such matters very seriously and is focused on making sure we do not need to take advantage of grace periods without a very good reason to do so. With that, let me walk you through our preliminary results."}, {"path": "tedlium_2535.wav", "duration": 13.71, "text": "we start from a set of unique strengths that we still have despite the tough market environment. They include the fact that I believe now, after 2.5 years in the business, that we have one of the most powerful brands in the business."}, {"path": "tedlium_2536.wav", "duration": 13.71, "text": "in the data? And do you see the resultant impact -- or the reversal in your velocities such that this is going to prove to be a 1-year divot because your velocities are so strong, there is almost"}, {"path": "tedlium_2537.wav", "duration": 13.71, "text": "We plan to continue to maintain the ability and flexibility to both execute our own securitizations to contribute to partner deals in order to optimize results while executing subject to a variety of prevailing market conditions."}, {"path": "tedlium_2538.wav", "duration": 13.71, "text": "The analysts and the market is telling us that's where it's going, but from a business model and from a financial model, if you look back over the last 10 years, we've been relatively flat on average"}, {"path": "tedlium_2539.wav", "duration": 13.71, "text": "The resulting margin compression for investment managers has led them to increase pressure on their providers. Asset owners facing inadequate returns are similarly pressuring providers to do more for less."}, {"path": "tedlium_2540.wav", "duration": 13.71, "text": "developers high levels of confidence in being able to provide underground capability for parking and the like, both, when we have these sorts of high water table"}, {"path": "tedlium_2541.wav", "duration": 13.71, "text": "But FedEx has some of the smartest minds in the industry in sales and marketing, working with our customers every day, all year long, constantly innovating our service and marketing our portfolio around the world."}, {"path": "tedlium_2542.wav", "duration": 13.71, "text": "We listened intently to the voice of our customer, regularly releasing improvements to our website to become even easier to do business with. 2018 also saw the release of our new sales console,"}, {"path": "tedlium_2543.wav", "duration": 13.71, "text": "In addition, Google launched their 2 new Pixel smartphones, which both utilize the benefits of haptics. These are further exciting examples of the expansion of haptic use across the mobile market."}, {"path": "tedlium_2544.wav", "duration": 13.71, "text": "This work included launching a new training, development and compensation program for senior assistant store managers, which became the foundation of our efforts to effectively develop new store managers."}, {"path": "tedlium_2545.wav", "duration": 13.6800625, "text": "Average realizations for our Southern logs increased approximately 3% as extremely wet weather limited log supply and drove improved realizations for sawlogs and pulpwood across most of the South."}, {"path": "tedlium_2546.wav", "duration": 13.6800625, "text": "In addition to improving operating efficiency, these initiatives will centralize scientific expertise, enhancing the opportunities for collaboration and for implementation of best practices."}, {"path": "tedlium_2547.wav", "duration": 13.68, "text": "So there are certain features which have been introduced last year. Some of those processes can be improved. So that's why we had a substantial amount"}, {"path": "tedlium_2548.wav", "duration": 13.68, "text": "The forward-looking statements contained in this presentation include statements as to our future operating results, our business prospects and the prospects of our prospective portfolio companies, the impact of investments that we expect to make,"}, {"path": "tedlium_2549.wav", "duration": 13.68, "text": "And so what that means is that we don't just look at a constant well spacing across the field or a constant completion design across the field. And what that does for you is that ends up making your capital more efficient. As a matter of fact, I'll point to"}, {"path": "tedlium_2550.wav", "duration": 13.68, "text": "Now there's another factor here, and that is -- that it appears as though our customers were going a little deeper in the routing guide on the back half of the year as compared to maybe the first half of the year,"}, {"path": "tedlium_2551.wav", "duration": 13.68, "text": "We have done already pilots internally and demonstrations, and some of the services that now require 3 weeks or even 4 weeks to deliver to a customer and"}, {"path": "tedlium_2552.wav", "duration": 13.68, "text": "growth and facilitate migrations into 2018. The KPN ONE portfolio is very important to us. It's the basis for up and cross-sell of additional services to SME customers."}, {"path": "tedlium_2553.wav", "duration": 13.68, "text": "This is consistent with our overall objective of sustainable and responsible growth that balances our operating and financial goals with our commitments to improve student experiences, retention and academic outcomes."}, {"path": "tedlium_2554.wav", "duration": 13.68, "text": "Our outlook is based on several factors, including our performance in the first quarter, our current growth plans and initiatives, and the market conditions we see for the foreseeable future across our operations."}, {"path": "tedlium_2555.wav", "duration": 13.68, "text": "So that's the first thing. I think the second thing is that the timing in relation to minutes or hours after the -- when you take the dose is it tends to -- the onset tends to be within the first few hours."}, {"path": "tedlium_2556.wav", "duration": 13.68, "text": "throughout the lateral in different stress regimes and pumping that pill mid-stage allows us to get much better perforation efficiency across the lateral. That's really the"}, {"path": "tedlium_2557.wav", "duration": 13.68, "text": "Our teams are laser-focused on our free cash flow performance. We are running the place with intensity, and this gives us the fuel to grow and return cash to our shareholders. Again, a strong quarter with solid execution."}, {"path": "tedlium_2558.wav", "duration": 13.68, "text": "Scope of the first phase of the project will likely include the construction and new production facilities and the recompletion of 1 or 2 previously drilled exploration wells and potentially the drilling of 1 new well."}, {"path": "tedlium_2559.wav", "duration": 13.68, "text": "I was hoping you could come back to the overseas consumer business which seems to just be turning much quicker than we would have thought. If you could just give us -- talk about the top line a little bit and where -- I mean was there a lot of"}, {"path": "tedlium_2560.wav", "duration": 13.68, "text": "it's important to keep in mind that while Clearfield has established significant market share in the Tier 3 markets during the first stage of our growth, the market opportunity in front of us as we enter stage 2 dwarfs the success we have delivered to date."}, {"path": "tedlium_2561.wav", "duration": 13.68, "text": "However, as treatment evaluation and treatment options have clarified over time, the standard is to use transfusion until the point that the patient can no longer tolerate it."}, {"path": "tedlium_2562.wav", "duration": 13.68, "text": "And I think the slide in the deck on the proposed acquisition indicates the regulatory processes and how we could end up with an approval and what happens if we don't get the required approvals."}, {"path": "tedlium_2563.wav", "duration": 13.68, "text": "And as Fred said, we do not comment on the mix and the amounts related to PIS and Cofins. We didn't comment on that last year as well."}, {"path": "tedlium_2564.wav", "duration": 13.68, "text": "Flexible pipes are highly engineered, complex multilayer structures helically wound and comprised of unbonded layers of steel and composites, which enables them to withstand the demanding pressures and tensile loads required in deepwater production,"}, {"path": "tedlium_2565.wav", "duration": 13.68, "text": "These statements are based on information available to us today, and we are not assuming any obligation to update them. Forward-looking statements are subject to risks and uncertainties that could cause our actual results to differ materially from the forward-looking statements."}, {"path": "tedlium_2566.wav", "duration": 13.68, "text": "Although we are early in the transformation, we believe we have already made strong progress and now have the right leadership in place to best manage the successful transformation of Cornerstone. With that, I'll turn it back to Adam."}, {"path": "tedlium_2567.wav", "duration": 13.68, "text": "Therefore, adjusting for the impact of those discontinued products and looking at the 4 outlined in my previous comments, related to our continuing core wheels business,"}, {"path": "tedlium_2568.wav", "duration": 13.68, "text": "Before we begin, as a reminder, during this conference call, comments may be made that include some forward-looking statements. These statements involve risk and uncertainty, and as you know, actual results may differ materially from those discussed or anticipated."}, {"path": "tedlium_2569.wav", "duration": 13.68, "text": "It's made from real coffee and contains no artificial flavors or added colors, and best of all, it's only 100 calories, providing nutrition and energy so many consumers are looking for as a snack or on the go."}, {"path": "tedlium_2570.wav", "duration": 13.68, "text": "As a company, we believe hedges are an important instrument to decreasing volatility in cash flows but should be entered into ratably over time for a percentage of PDP that you were not timing the market."}, {"path": "tedlium_2571.wav", "duration": 13.68, "text": "And at the present time, although we're continually looking to do what's right for the customers that we have, we do not see that our future is constrained by not having the global platform. So"}, {"path": "tedlium_2572.wav", "duration": 13.68, "text": "is the third consecutive quarter of adjusted EBITDA growth since the third quarter of 2015, which was the first quarter during which we initiated the on-ramping of significant new amounts of traffic."}, {"path": "tedlium_2573.wav", "duration": 13.68, "text": "Okay. And just in terms of margin outlook which we have said, so do you believe that the tailwinds, which we are looking at through cost optimization, constant currency, would be enough"}, {"path": "tedlium_2574.wav", "duration": 13.68, "text": "But the bottom line is we do feel that the second half of the year is going to be much stronger on the organic line. I'm not prepared to predict organic growth exactly by quarter."}, {"path": "tedlium_2575.wav", "duration": 13.68, "text": "And our perspective is, from a regulatory perspective, the agencies, especially the European agencies, they like to see the weight loss tied to a clinical condition. And so that's -- part of our thinking there was to"}, {"path": "tedlium_2576.wav", "duration": 13.68, "text": "The majority of the 3.9 point increase in the underlying property loss ratio was related to these storms, and this adverse weather contributed to an increase in underlying auto comprehensive frequency in the quarter."}, {"path": "tedlium_2577.wav", "duration": 13.68, "text": "Now let's talk about the specifics of our first quarter fiscal '17. Our sales were down a bit versus a year ago. However, if we parse the numbers, you can actually get a clear picture of why our results are better than they appear on the surface."}, {"path": "tedlium_2578.wav", "duration": 13.68, "text": "Our tradition with you has been to let you know when we do a submission, and that gives us a little bit better estimate of time lines, and I'd rather not guess in this setting. So we're feeling good about it, but I don't have a date for you yet."}, {"path": "tedlium_2579.wav", "duration": 13.68, "text": "We continue to focus on building our operating capabilities in new markets, such as Italy and Poland. And for example, in Italy, we now have both in-house call center and legal capabilities and we are working off a new collection system."}, {"path": "tedlium_2580.wav", "duration": 13.68, "text": "I guess it's a somewhat of a disconnect from the improving macro outlook, some of the robust innovation pipeline that you've talked about. So I'm wondering if this is really more related to the retail environment and sort of the pricing pressure"}, {"path": "tedlium_2581.wav", "duration": 13.68, "text": "they can market to their customers quite effortlessly within ARC to convince or to encourage their customers to sign up. We're also talking about doing call center-oriented call-down campaigns to the customers that haven't signed,"}, {"path": "tedlium_2582.wav", "duration": 13.68, "text": "And we can also see that the depletion that you have on existing oilfields means that people have to really go and look for the big oilfields, and the only place you can find those are offshore."}, {"path": "tedlium_2583.wav", "duration": 13.68, "text": "Okay. The previous caller asked about the stock buyback one. Do you have any comments on where the price level market value that your company stock is trading at the moment? You had a very nice top last year"}, {"path": "tedlium_2584.wav", "duration": 13.68, "text": "Distill Ventures is our brand incubator. It has already made 10 investments, of which the most recent is our investment in Seedlip. This is, as the entrepreneur behind the brand says,"}, {"path": "tedlium_2585.wav", "duration": 13.68, "text": "historic foundation of our GP has been a lot of finance and accounting professionals who are very comfortable calling in those functional areas in a client, our business development folks"}, {"path": "tedlium_2586.wav", "duration": 13.68, "text": "earnings for that segment sort of being shifted a little bit into 2017 and potentially earlier than that? Well, two things. One is we will continue to update on a quarterly basis where we stand relative to those incentive targets."}, {"path": "tedlium_2587.wav", "duration": 13.68, "text": "we can see that here we have various projects in both EMEA, but mainly Asia Pacific growing well, whilst, again, America has been a little bit lower."}, {"path": "tedlium_2588.wav", "duration": 13.68, "text": "I would like to reiterate that at all times, we will ensure that CapEx related to safety, environmental obligations and ensuring that we meet our license to operate conditions is always maintained."}, {"path": "tedlium_2589.wav", "duration": 13.68, "text": "The 5 basis points of NIM improvement over the third quarter was driven by a combination of benefits from higher short-term interest rates and favorable funding mix, offset by an increase in cost of interest-bearing deposits."}, {"path": "tedlium_2590.wav", "duration": 13.68, "text": "and once again it's always been run by us respecting all applicable laws, that will continue. So is the Russian market impacted by the sanctions? Certainly. Will some of our Russian customers be"}, {"path": "tedlium_2591.wav", "duration": 13.68, "text": "Our business activities were impacted last week and there were some questions as to what's the impact and we put a number out there on the press release, which says that we expect a one-off cost impact"}, {"path": "tedlium_2592.wav", "duration": 13.68, "text": "new markets or position us to strengthen our position in key geographies. So as an example, building a planarization lab and manufacturing facilities in"}, {"path": "tedlium_2593.wav", "duration": 13.68, "text": "And so beyond that, what we see is that as additional demand comes on, then we're going to be also looking at working with our customers on increasing mainline capacity on Northwest, which will be a good uptick"}, {"path": "tedlium_2594.wav", "duration": 13.68, "text": "And of course, we do like real estate. We do think there are still opportunities in commercial real estate. But if the new loan yields are not meeting our expectations, we'd rather"}, {"path": "tedlium_2595.wav", "duration": 13.68, "text": "something they were doing with our platform there. But I think probably the strongest way to measure us is just on the continuous quarter-over-quarter growth and what we'll be updating on"}, {"path": "tedlium_2596.wav", "duration": 13.68, "text": "Because our sellers are compensated on gross profit, we maintained strong profitability in line with last year's first quarter, achieving first quarter records for adjusted EBITDA and non-GAAP net income per share."}, {"path": "tedlium_2597.wav", "duration": 13.68, "text": "As we look at the next several kind of quarters, matched up with the order season, which we said has kind of pushed out into the Q4, Q1 time frame -- we're not looking at material costs that are terribly dissimilar to where we were at this time last year."}, {"path": "tedlium_2598.wav", "duration": 13.68, "text": "In terms of the Canadian question and the Q4 drilling. We actually don't expect there to be really any material production impact in the fourth quarter on those wells by the time that they're tied in"}, {"path": "tedlium_2599.wav", "duration": 13.68, "text": "Once again, keep in mind that combined with a 70% generics penetration rate, introduction of new generic drugs and price decreases reduced pharmacy's retail sales growth."}, {"path": "tedlium_2600.wav", "duration": 13.68, "text": "that -- those 2 factors would probably give them a significant pick up. The other thing would be the extent they're doing more prime and they sort of have maybe a stronger target to go after later, then their other recoveries might be improved as well."}, {"path": "tedlium_2601.wav", "duration": 13.68, "text": "and we do devote a fair bit of attention to at least thinking about this. When I say we, it's not a large team. It's mostly Laurie and myself and other people in the finance group. This is not a significant activity for"}, {"path": "tedlium_2602.wav", "duration": 13.68, "text": "versus in the packaged gas business, you could read that larger companies more likely to be in an export sort of an industry are doing better for us than perhaps people who are just serving the local market."}, {"path": "tedlium_2603.wav", "duration": 13.68, "text": "We have embedded productivity in the Mexican business to drive out costs to invest in growth. This has resulted in savings being delivered across the 5 productivity work streams."}, {"path": "tedlium_2604.wav", "duration": 13.68, "text": "We are fortunate that we can return a meaningful amount of cash to our shareholders and, at the same time, use our balance sheet to take advantage of opportunities that may arise in a highly volatile and dynamic market."}, {"path": "tedlium_2605.wav", "duration": 13.68, "text": "I think we are better positioned than ever. The marketplace as it continues to evolve, our challenges are mighty and our solutions are great. And I think we've got a great leadership team to take us to that whole next level of performance"}, {"path": "tedlium_2606.wav", "duration": 13.68, "text": "All right. Based on your delivery guidance which, I think, mirrors what you're delivering in the second quarter, perhaps at the high end or even a little bit better than that. Is there anything in the composition of that, that would"}, {"path": "tedlium_2607.wav", "duration": 13.68, "text": "where we use both dimensions, consumers and investors, as part of our strategy, the increased numbers of sales in the fourth quarter but still if you look on the total years, a really good number."}, {"path": "tedlium_2608.wav", "duration": 13.68, "text": "These statements are based on current expectations and assumptions that are subject to risks and uncertainties. Actual results could materially differ because of factors discussed in this morning's press releases and the comments made during this conference call"}, {"path": "tedlium_2609.wav", "duration": 13.68, "text": "Okay, maybe last one from me just on the cattle acquisition. I mean, just remind me how we should think about that transitioning to Green Plains' own cattle. Should we think about similar to the"}, {"path": "tedlium_2610.wav", "duration": 13.68, "text": "Craig joined us in May from Southwestern Energy Company, where he was the Senior Vice President and Chief Financial Officer. Before that, he was controller and chief accounting officer for that company."}, {"path": "tedlium_2611.wav", "duration": 13.68, "text": "while facing demand headwinds in several key markets. 2015 also saw our retail segment continue their growth of on-site customer support, mobile service and tank parts and service."}, {"path": "tedlium_2612.wav", "duration": 13.68, "text": "We want to realize their full potential. We understand that we're not going to do that alone and are looking for partners on all those products that bring functional capabilities, disease expertise, geographic depth"}, {"path": "tedlium_2613.wav", "duration": 13.68, "text": "all of which involve a number of business risks and uncertainties and can change as conditions do. Please review the cautionary statements in our press release and on Slide 2 of today's presentation."}, {"path": "tedlium_2614.wav", "duration": 13.68, "text": "To give you a magnitude of customers today, we have a customer that has 22 proprietary stores in addition to a franchise"}, {"path": "tedlium_2615.wav", "duration": 13.68, "text": "We will continue to grow even after the sale of the segment, yes. And one of the things I would observe that you saw in Q1 2016, as Greg described, is we had an unusually strong comparable"}, {"path": "tedlium_2616.wav", "duration": 13.68, "text": "All of this means that after 4 years of waiting, the oil market is now substantially rebalanced. This is also reflected in the oil market sentiment, where we currently are witnessing a gradual shift from an oversupply discount"}, {"path": "tedlium_2617.wav", "duration": 13.68, "text": "is -- has like 14 interconnects into it and we have other storage facilities. But we're going to be looking at strategically what do we want to do with this business over the next few months and we'll get back to you on what we intend to do"}, {"path": "tedlium_2618.wav", "duration": 13.68, "text": "part of one of it and you keep the whole of the other part. So is this setting your strategy implementation back in time? Or is it sort of something you had in your expectations as well?"}, {"path": "tedlium_2619.wav", "duration": 13.68, "text": "if our signature metric is growing, then the health of our new sales is growing and continuing. So as we go through this transformation, we may have positive or negative license throughout the years. But my ACV is growing"}, {"path": "tedlium_2620.wav", "duration": 13.68, "text": "Our losses at MAS consist of future rentals as well as compensation for maintenance value consumed during the term of the contract, which was to be due at lease expiry. We'll be pursuing remedies for this but would say that the approach taken here is disappointing."}, {"path": "tedlium_2621.wav", "duration": 13.68, "text": "low single digits. I think February last year was flat, and then it got much better in March when the weather turned and became more cooperative. How do we think about the comp cadence for this year, for the first quarter?"}, {"path": "tedlium_2622.wav", "duration": 13.68, "text": "there is no wavering. And we are heads down, and we're executing like crazy and to move through it as fast as we can. And we are almost through it, and it's now sort of rebuilding headcount. But from our standpoint,"}, {"path": "tedlium_2623.wav", "duration": 13.68, "text": "the project is now fully on plan. I cannot say too much about the start of production because this is something that has to come from Sanofi, but I think all -- this project looks very nice and good, and I think I'm very optimistic about this one."}, {"path": "tedlium_2624.wav", "duration": 13.68, "text": "that I can think of really besides maybe Madonna who hasn't already passed away. And it's sad commentary, I don't mean to be cryptic here, but there just aren't that many celebrities from the '80s who were celebrities throughout the '90s throughout the 2000s still around,"}, {"path": "tedlium_2625.wav", "duration": 13.68, "text": "considering strategically increasing our supply in order to have an adequate security for these levels in the long run. We have already adopted that, and we will be seeing this in the next years,"}, {"path": "tedlium_2626.wav", "duration": 13.68, "text": "Could you explain this increase and how should we consider this cost from now on? And specifically about the average radius, what about this quarter? And what"}, {"path": "tedlium_2627.wav", "duration": 13.68, "text": "In the first quarter of 2016, we identified 2 events that resulted in material weaknesses in our internal controls over financial reporting and the ineffectiveness of our disclosure controls and procedures."}, {"path": "tedlium_2628.wav", "duration": 13.68, "text": "Frankly, a great year but not an end state as we still have our sights on continued improvement with a new leg of operational efficiency programs targeting some key areas like IT and supply chain,"}, {"path": "tedlium_2629.wav", "duration": 13.68, "text": "Exiting these businesses and our product line rationalization efforts are significant steps in decreasing the complexity of our business. These activities are indicative of our commitment to continually improve the quality of our overall portfolio."}, {"path": "tedlium_2630.wav", "duration": 13.68, "text": "With that said, we've had an excellent quarter even underlying when it comes to efficiency and this is due to nothing more specific or exciting than a lot of hard work"}, {"path": "tedlium_2631.wav", "duration": 13.68, "text": "on average the payback that we get on that remodel is less than 2 years. It's often better than opening a new store in terms of the return on that investment. So we think it's a good return for sure."}, {"path": "tedlium_2632.wav", "duration": 13.68, "text": "that the larger companies, it's a longer time talking about it. It's more planning. Their organizations are more complex. I think they're more risk averse about doing it. So you need to build in a longer process for that. But frankly,"}, {"path": "tedlium_2633.wav", "duration": 13.68, "text": "States like California, Texas, Pennsylvania, New Jersey and Kentucky are adopting more targeted policies in criminal justice and community settings, and have removed certain access barriers to medications via legislation."}, {"path": "tedlium_2634.wav", "duration": 13.68, "text": "This is not surprising to us given the duration of the study. Data from previous olanzapine studies have shown variable metabolic parameter findings in studies of this duration depending on study design and patient population."}, {"path": "tedlium_2635.wav", "duration": 13.68, "text": "I think it was a very good end of the year where we had a little bit of both where we saw some mix and price improvement on top of about 4% volume growth. So I think a good quarter all the way around in that regard."}, {"path": "tedlium_2636.wav", "duration": 13.68, "text": "margin dollars from our carbon and steel operations largely offset our pretax income losses from our energy-focused business reflecting the importance of Reliance's diversification strategy."}, {"path": "tedlium_2637.wav", "duration": 13.68, "text": "Our long-term strategy of providing unique and valuable marketing programs to dealers, along with the most valued grading services in the industry, has proven to be a winning combination for the coin and card markets."}, {"path": "tedlium_2638.wav", "duration": 13.6799375, "text": "And out of all our international offices, this region was our top contributor to overall revenue growth in Q4. Still, we have a lot of opportunity to make it even easier for advertisers."}, {"path": "tedlium_2639.wav", "duration": 13.65, "text": "you never know when these things are going to come up. We're obviously in the middle of our earnings season right now. So we're spending a ton of time listening to companies report their earnings. So I'd say the opportunity is around, maybe not as plentiful, but they're still there. And like I said, we've found 2 that"}, {"path": "tedlium_2640.wav", "duration": 13.65, "text": "Growth in the quarter was driven by strong new business and retention. The U.S. and Canada division continued its trend of strong growth, delivering 7% underlying revenue growth in the quarter."}, {"path": "tedlium_2641.wav", "duration": 13.65, "text": "Earlier on I focused on the company's performance since IPO and especially on last year. Now let's look ahead. The time is now right to invest in growing our customer base."}, {"path": "tedlium_2642.wav", "duration": 13.65, "text": "commit to our funds as much money as we could possibly take, we oftentimes have to limit. And we have to limit it, because we have to size the market opportunity and make sure the capital we take, we can do"}, {"path": "tedlium_2643.wav", "duration": 13.65, "text": "As we discussed in the past, these think-big opportunities are a huge part of growing our enterprise business and are a testament to customers' opinion of our technology as a true mobile connection solution for all their employees."}, {"path": "tedlium_2644.wav", "duration": 13.65, "text": "As I've previously outlined, we are taking a disciplined approach, both financially and scientifically, to identify and acquire opportunities at the right financial valuations. In addition to acquisitions,"}, {"path": "tedlium_2645.wav", "duration": 13.65, "text": "But you also say that there are some higher prices and higher costs. If you can quantify that. I don't know whether it's fuel costs or some negotiations with the trade unions, energy costs"}, {"path": "tedlium_2646.wav", "duration": 13.65, "text": "The brand of the future have purpose, bringing meaning to people and are integrated through technology into people's lives. That's what I see in Weight Watchers, and it's why I joined this amazing company."}, {"path": "tedlium_2647.wav", "duration": 13.65, "text": "So we're not complaining about the activity in non-res and infrastructure right now as we speak. But we anticipate that it is going to get better, and to Jim's point, it's just a matter of when."}, {"path": "tedlium_2648.wav", "duration": 13.65, "text": "Turning to our outlook. Given the positive sentiment for both metal pricing and demand in early 2017, we are optimistic in regard to both business activity levels and metal pricing."}, {"path": "tedlium_2649.wav", "duration": 13.65, "text": "the capability, orienting their systems around it. In particular, one thing that they'll want to do, and I would say even need to do, is start to line up how Digital Content Ratings work in their business process"}, {"path": "tedlium_2650.wav", "duration": 13.65, "text": "Ken Krause will cover these areas in more detail in his commentary. Today, I'll discuss the trends we are seeing across our core product business and give you some more insight into one of our recent product launches in the fire service market,"}, {"path": "tedlium_2651.wav", "duration": 13.65, "text": "average hours consumed on a type of project and improve the safety and quality and all the metrics that we do, get the reports done. The other product developments we talked about were specific to the pipeline segments."}, {"path": "tedlium_2652.wav", "duration": 13.65, "text": "close your eyes and imagine there are 3 pieces of beef in this bowl. When the beef isn't there, it simply isn't there. It's difficult to conduct such large campaigns for our noodle products."}, {"path": "tedlium_2653.wav", "duration": 13.65, "text": "We're excited to have this asset back from Sanofi and are in the process of finding a commercial partner who can fully exploit the commercial potential of avanafil in these territories as well as in Mexico and Central America."}, {"path": "tedlium_2654.wav", "duration": 13.65, "text": "significant gains of market share considering the current scenario. But certainly, the main highlight in terms of revenue in this quarter was e-commerce. We are the only"}, {"path": "tedlium_2655.wav", "duration": 13.65, "text": "And in addition to Madrid, we're also pleased to tell you today that we've won another very significant tender which will see us open our first shops in South America, in Rio de Janeiro."}, {"path": "tedlium_2656.wav", "duration": 13.65, "text": "and for the last 25 years, leading it to becoming one of the most important restaurant brands of our time. I thank Steve for the invaluable time he's spent bringing me up to speed over the past several weeks, and I deeply appreciate him fully handing over the reins to me and giving me the autonomy to lead,"}, {"path": "tedlium_2657.wav", "duration": 13.65, "text": "As Dave mentioned, political advertising in the second quarter was a record for the quarter and came in substantially higher compared to both 2016 and 2014. Now moving to our third quarter revenue outlook."}, {"path": "tedlium_2658.wav", "duration": 13.65, "text": "The impact of the variable is an impact that will be especially strong in the first half of the year. But the increases of tariffs we have made,"}, {"path": "tedlium_2659.wav", "duration": 13.65, "text": "that demand statement. So we feel pretty good that what's in the market today from a capacity standpoint is able to absorb the demand that's coming into the foundry space."}, {"path": "tedlium_2660.wav", "duration": 13.65, "text": "Okay. And just to understand that, for the fourth quarter where you expect a stronger rate of growth, is it the incremental synergies coming through and I guess the absence of some of these expenses that leads to the stronger fourth quarter profit expectation?"}, {"path": "tedlium_2661.wav", "duration": 13.65, "text": "by higher-margin new work at an accelerated pace, we feel there is an opportunity for significant increases in both operating income and earnings per share."}, {"path": "tedlium_2662.wav", "duration": 13.65, "text": "This proof of concept really gave us great confidence in strategy and a sense of urgency to fully launch the masterplan approach across all the assets and to kick start the re-profiled CapEx program, which is underway."}, {"path": "tedlium_2663.wav", "duration": 13.65, "text": "But the benefit also is we take a photograph in your home, so we can ensure whether the van has taken away all the packaging, that we've delivered the care kit, if you've ordered a care kit as well as the furniture and that it looks great in your room and it's in A1 condition."}, {"path": "tedlium_2664.wav", "duration": 13.65, "text": "Our basic strategy here to raise the efficiency of existing businesses is unchanged. I would now like to present our forecasts for the current fiscal year."}, {"path": "tedlium_2665.wav", "duration": 13.65, "text": "Meanwhile, the hot summer spurred such strong demand for our Ice Box Frozen Desserts, but production could not keep pace and we ran out of supply at the height of the demand season."}, {"path": "tedlium_2666.wav", "duration": 13.65, "text": "demonstrating the strength of demand for our solution. The acquisition of Conjur strengthens our technology platform in the cloud and DevOps, which is a significant opportunity for us. We believe our operational achievements and investments in the business"}, {"path": "tedlium_2667.wav", "duration": 13.65, "text": "Essentially, we recognize the mark-to-market of the inventory and hedges for that inventory throughout the holding period in EBITDA. However, the inventory is marked to a current value and the hedge is marked at the future value on the curve."}, {"path": "tedlium_2668.wav", "duration": 13.65, "text": "We've got a formula price pursuant to which we sell the coal. Largely, the costs are fixed, but on the margin, there are some variable costs we can control, and I think the guys at the mine are doing a great job at controlling costs."}, {"path": "tedlium_2669.wav", "duration": 13.65, "text": "Of course, part of our higher per unit cost had to do with our lower production. As we spread the same fixed costs over a lower volume base, it drives per unit costs up a little bit. And so some of the cost increase was us deliberately holding off"}, {"path": "tedlium_2670.wav", "duration": 13.65, "text": "there hasn't really been any change in our strategy. So what we had been talking about over the last year is that we want to start owning some planes with free cash flow going forward,"}, {"path": "tedlium_2671.wav", "duration": 13.65, "text": "and because a number of patients have proven to be refractory to those treatments. Uricase enzymes on the other hand, have demonstrated an ability to drastically and rapidly lower uric acid levels."}, {"path": "tedlium_2672.wav", "duration": 13.65, "text": "We are fully committed to continuing to achieve positive operating leverage. We have 3 years behind us in our effort to materially improve profitability and grow earnings. We remain committed to further improvement and simplification of our operational processes."}, {"path": "tedlium_2673.wav", "duration": 13.65, "text": "While we will be disciplined on pricing, we believe that there is a potential opportunity to take advantage of the seemingly robust appetite of foreign-based capital for New York City assets"}, {"path": "tedlium_2674.wav", "duration": 13.65, "text": "Good morning, and welcome to the presentation of Telenor Group's results for the first quarter."}, {"path": "tedlium_2675.wav", "duration": 13.65, "text": "Thank you, Jack. It's -- I think it's fair to say that 2018 was a true breakout year for Dicerna, and I would like to thank our entire team, our partners and our shareholders for contributing to the success we have achieved thus far."}, {"path": "tedlium_2676.wav", "duration": 13.65, "text": "So our companies were successfully listed in Hong Kong, so these abilities of Fosun actually complements one another and facilitate one another. Of course,"}, {"path": "tedlium_2677.wav", "duration": 13.65, "text": "We work with our payers regularly. And some of the expense that you see in the lab this quarter relates to bringing on additional staff to make sure that we're prepared and we have the infrastructure to deal with payers and help payers."}, {"path": "tedlium_2678.wav", "duration": 13.65, "text": "we will deliver solutions, all fully programmable, ranging from applications like Unified Communications integrated with contact center and collaboration with team messaging"}, {"path": "tedlium_2679.wav", "duration": 13.65, "text": "But we're more interested right now in margin and basket size than simplistically pursuing tonnage and inflating same-store sales. We need to earn comps through execution and our strategic initiatives."}, {"path": "tedlium_2680.wav", "duration": 13.65, "text": "Looking ahead, we remain well positioned to drive improvements in the business and deliver on the plan we presented in December of 2015. We look forward to updating you as we progress."}, {"path": "tedlium_2681.wav", "duration": 13.65, "text": "Next, 2 new frit production lines in Al Salomi in Egypt were brought up to operational levels during the quarter, which will increase our capacity to meet increased demand in Egypt and Turkey."}, {"path": "tedlium_2682.wav", "duration": 13.65, "text": "on eliminating tail brands and less profitable SKUs across each region, which will have a clear impact in the near term. But as I said before, stage us exceptionally well for the long term."}, {"path": "tedlium_2683.wav", "duration": 13.65, "text": "So that's how we sequence the plan. Now what I also said to you is once we've broken the back of the Eurohub, which the mission was to land the Eurohub, and from 0 to that is the most intense, the rest of it is easy."}, {"path": "tedlium_2684.wav", "duration": 13.65, "text": "Within the other category is our Distribution business. It is currently small but growing, but we will break it out as a separate market once it is -- gets to a more substantial piece of our overall market mix."}, {"path": "tedlium_2685.wav", "duration": 13.65, "text": "on the reinvestment in the business. I wish I could say that they have both the same level of fungibility and flexibility. But sometimes, reinvestment in the business happens at one point in time."}, {"path": "tedlium_2686.wav", "duration": 13.65, "text": "Canada is executing well in the face of uncertainty as both businesses and governments assess the potential economic impact from any changes in U.S. trade policy as well as potential changes in oil pricing."}, {"path": "tedlium_2687.wav", "duration": 13.65, "text": "Let's revisit the 4 pillars of our transformation strategy we presented to you in April of 2016 as seen on Slide 3 of the supplemental presentation, starting with physical gaming."}, {"path": "tedlium_2688.wav", "duration": 13.65, "text": "increased cost for the rejuvenation program. In the quarter it was meaningfully higher than we've seen in other quarters. So maybe some more color on what those costs are related to, and if that step up is something we should expect in 2018 as well? I"}, {"path": "tedlium_2689.wav", "duration": 13.65, "text": "third-party profitable retail sales that don't exist means this is no longer a place where a distributor can make a living -- a top distributor can make a living, the others are losing money anyway, and they're going to go elsewhere. Now while, the company has maybe bought itself a few days or weeks or months"}, {"path": "tedlium_2690.wav", "duration": 13.65, "text": "While our current cohort retention rate is within our historical range of 60% to 66%, we continue to place a strong emphasis on increasing student retention through various initiatives that Ashford has taken"}, {"path": "tedlium_2691.wav", "duration": 13.65, "text": "To outline the core principles of our strategy, we are committed to maintaining a strong balance sheet with ample liquidity through both cash and available credit while maximizing potential growth opportunities."}, {"path": "tedlium_2692.wav", "duration": 13.65, "text": "and the effective deployment of that cash is one of my most important responsibilities as the CEO of the company, something that I take very seriously."}, {"path": "tedlium_2693.wav", "duration": 13.65, "text": "I guess, a driver of some cash that would potentially make its way to the parent company this year? Or with the organic opportunities available at PSXP, is that not necessarily something that we would be thinking about?"}, {"path": "tedlium_2694.wav", "duration": 13.65, "text": "We believe that our new cohorts are in a good place. As we think about ROI, the gross profit dollars generated by the new cohorts are consistent with the historical cohort performance and within the 12- to 18-month payback"}, {"path": "tedlium_2695.wav", "duration": 13.65, "text": "I think we got off to a good start. But again I think we're in the early stages of it. I think it'll get better as the year goes on as we meld our operations groups together and implement our account management teams. So we are confident in that ability."}, {"path": "tedlium_2696.wav", "duration": 13.65, "text": "the customer finds it particularly attractive to have the opportunity to own their handset and have the airtime paid under a separate contract. And that has accelerated our growth"}, {"path": "tedlium_2697.wav", "duration": 13.65, "text": "And as far as 2018 goes, a lot of the drilling we're doing right now and a lot of the wells that we're going to be completing towards the end of this year and the beginning of next year are actually in our southern acreage, and they'll be going into the western gas system."}, {"path": "tedlium_2698.wav", "duration": 13.65, "text": "First, in many of our markets, our hospitals are the 90-day low-cost provider for the hip conditions included in these bundling initiatives, and we believe we can exploit this advantage to gain market share."}, {"path": "tedlium_2699.wav", "duration": 13.65, "text": "This builds on the acquisition of DearBytes in January and further strength and scale and capability of KPN's security and public cloud services for all of our SME, large enterprise and corporate customers."}, {"path": "tedlium_2700.wav", "duration": 13.65, "text": "As I discussed earlier, we did accelerate some of our new equipment purchases into the first quarter of fiscal '19 due to the increased lead times and potential steel surcharges."}, {"path": "tedlium_2701.wav", "duration": 13.65, "text": "The company cautions that the risk factors discussed in these filings are not exhaustive, and we do not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the company. Now I would like to turn the call over to Mary."}, {"path": "tedlium_2702.wav", "duration": 13.65, "text": "As you know, we filed distribution cases in all of PHI's jurisdictions and expect decisions spread throughout the third quarter of next year, providing needed revenue relief as we continue to make significant investments on behalf of our customers."}, {"path": "tedlium_2703.wav", "duration": 13.65, "text": "An approach that we think is particularly well suited to certain segments of the IoT environment where there will be both a huge need for innovation and a massive number of participants who will rely on that innovation for their products."}, {"path": "tedlium_2704.wav", "duration": 13.65, "text": "We do have a feel for what that process will look like and who the potential buyers are. There are a few handful of operators who are trying to enter the Barnett. They see it as an opportunity for a place to develop"}, {"path": "tedlium_2705.wav", "duration": 13.65, "text": "Please note these forward-looking statements reflect the company's opinions only as of the date on this call, and the company undertakes no obligation to revise or publicly release the results of any revision of these forward-looking statements in light of new information or future events."}, {"path": "tedlium_2706.wav", "duration": 13.65, "text": "a meeting coming up with us some key suppliers and that's going to be part of an ongoing dialogue. Yes. So we will step up our focus on purchase cost, particularly if things soften. So you will see that from us."}, {"path": "tedlium_2707.wav", "duration": 13.65, "text": "Good morning, everyone. Thank you for joining us. Starting on Slide 3, we delivered another strong quarter that exceeded our guidance with both reporting segments contributing favorably to our performance."}, {"path": "tedlium_2708.wav", "duration": 13.65, "text": "not because we have some nifty execution plan that's going to significantly increase our productivity there but it's because we've achieved those historical productivities for multiple quarters before, just basically getting back to where we were. I hope that helps."}, {"path": "tedlium_2709.wav", "duration": 13.65, "text": "for these applications, driven by strong demand and increased capacity facilitated by the recent investments at Trentwood. We continue to be cautiously optimistic regarding the outlook for these general engineering applications."}, {"path": "tedlium_2710.wav", "duration": 13.65, "text": "All of these direct educational efforts, through our commercial and medical teams and in partnership with outside stakeholder groups, are starting to bear fruit as we are seeing increased recognition and diagnosis of TD occur in the marketplace."}, {"path": "tedlium_2711.wav", "duration": 13.65, "text": "on the perspectives. We do see generally that there tends to be a seasonal pattern with the second and third quarters being quite strong for VIVITROL. And those are patterns we expect through the course of the year but we'll continue to update you."}, {"path": "tedlium_2712.wav", "duration": 13.6499375, "text": "The pace of change for us is also changing because i6 is generating tremendous interest. We have over 30 customer engagements today and just everything, we're getting all kind of different requests"}, {"path": "tedlium_2713.wav", "duration": 13.6499375, "text": "in the full year, which is why we've made the comments we've made this morning about full year free cash flow and profit at the upper half of our guidance range."}, {"path": "tedlium_2714.wav", "duration": 13.62, "text": "within the reserves that we set out from what data we have to date. Now that might change. We don't think it will, and we don't think if it did it would be anything of any materiality."}, {"path": "tedlium_2715.wav", "duration": 13.62, "text": "increases, training services, all sorts of things that are tied to cloud deployments and other things. They're just a very different type of service. So the way you're asking me the question from a penetration standpoint, I think the answer is it's already happened."}, {"path": "tedlium_2716.wav", "duration": 13.62, "text": "So we are conducting interviews of the merchants and other preparations will be conducted so that in the second half we will be able to come up with a tangible product"}, {"path": "tedlium_2717.wav", "duration": 13.62, "text": "Second, one of the world's largest financial institutions is in the process of modernizing its culture along with its applications to provide better client and employee experiences and has gone all-in on Pivotal because of our industry-leading platform and services."}, {"path": "tedlium_2718.wav", "duration": 13.62, "text": "Just a quick question on the northeast and the improvement there. I think you might have done some leadership changes in the northeast as well. So if you can maybe talk about what you think the causal elements have been in the northeast."}, {"path": "tedlium_2719.wav", "duration": 13.62, "text": "So the global operating subsidiaries, which are really this -- that do all the work for the parent company have to be compensated. And the way we compensate them is on a cost plus basis"}, {"path": "tedlium_2720.wav", "duration": 13.62, "text": "We also built out our commercial banking product capabilities and focused our frontline staff on growing commercial and consumer core deposits, particularly operating accounts."}, {"path": "tedlium_2721.wav", "duration": 13.62, "text": "The numbered -- the numbers we offered a few weeks ago remain unchanged. Q1 results were within a normal range of variation on both the top and bottom lines, a good start to the year. And we see no reason for a change to our published guidance."}, {"path": "tedlium_2722.wav", "duration": 13.62, "text": "and we will be forever grateful for his leadership. He has been an invaluable resource to so many, including me personally, and I feel privileged to have benefited from his counsel."}, {"path": "tedlium_2723.wav", "duration": 13.62, "text": "Number one, you were talking about partnering with leading global pharmas. Can you talk about how many companies potentially are you in discussions with? And what do you see as the risk benefit"}, {"path": "tedlium_2724.wav", "duration": 13.62, "text": "We've got a lot of questions that were already asked and answered. But I wanted to spend a minute just on the interactive segment, which was a touch softer. You mentioned increased competition and some of the things you're doing in the prepared remarks. But I'm hoping"}, {"path": "tedlium_2725.wav", "duration": 13.62, "text": "So China had a good quarter, double-digit growth in the quarter. But I would say that's more to do with the comparatives than really having a big and strong business in China. As you know, we had a couple of years of difficulties in China."}, {"path": "tedlium_2726.wav", "duration": 13.62, "text": "probably not going to comment on what we expect the growth to be going forward. Yes. And I think it probably isn't all that relevant just given the fact that we're going to pass it through anyway. And so the outcome of whatever contracts we negotiate will end up going to"}, {"path": "tedlium_2727.wav", "duration": 13.62, "text": "in terms of client behavior or client plans. What the impact for us is that we obviously have greater exposure to the pound, and the pound certainly weakened"}, {"path": "tedlium_2728.wav", "duration": 13.62, "text": "On Slide 9, we have detailed a chart to compare the performance of this quarter to the same period last year. As noted previously, we are experiencing a significant contribution from our recent acquisitions."}, {"path": "tedlium_2729.wav", "duration": 13.62, "text": "Looking closer at the insurance-related receivables, we continued to make great strides in collecting these in the quarter. To give you a better sense as to our progress, let's walk through the receivable balance over the past several quarters."}, {"path": "tedlium_2730.wav", "duration": 13.62, "text": "One thing you do want to be careful of though is, there is a lag affect from some of the operations and sales to when our royalties were received. So we didn't get the full impact last year at the big price increases, some that will start to flow"}, {"path": "tedlium_2731.wav", "duration": 13.62, "text": "but I think you can't carry the kind of leverage that these companies have been carrying. I think that is the one thing that I would say has been -- the reason that we put ourselves in that place. And you get into a vicious cycle because"}, {"path": "tedlium_2732.wav", "duration": 13.62, "text": "far outreached the increase in property taxes. Do you think municipalities are going to start pushing a bit more on valuations? Or how does that process work at the end of the day from a property tax standpoint?"}, {"path": "tedlium_2733.wav", "duration": 13.62, "text": "clinical regulatory patient advocacy, some of the other business functions as well. So we did not want to set up a standalone business unit. We think it needs to be fully integrated as part of team Amicus."}, {"path": "tedlium_2734.wav", "duration": 13.62, "text": "and then you have to cut back on staff. As we obviously don't need staff to take care of empty beds. And that's the more cumbersome process obviously because we need at the same time"}, {"path": "tedlium_2735.wav", "duration": 13.62, "text": "Automation solutions improved modestly as ongoing high growth in projects for heavy and general and industry customers were partially offset by slower demand in automotive."}, {"path": "tedlium_2736.wav", "duration": 13.62, "text": "I will be providing updates on the program and our progress in the future. There is plenty of opportunity ahead, and we'll be patient and methodical in the execution phase to manage risks and costs to achieve change."}, {"path": "tedlium_2737.wav", "duration": 13.62, "text": "We are fortunate to be able to leverage his creativity and expertise as a culinarian, a visionary and our founder. For those of you who don't know me very well, I'd like to share some of my key beliefs and leadership principles so you know what to expect going forward."}, {"path": "tedlium_2738.wav", "duration": 13.62, "text": "as the ongoing low interest rates and the continuously high demand for commercial and residential real estate are responsible for a generally good framework for this business field."}, {"path": "tedlium_2739.wav", "duration": 13.62, "text": "So that means we haven't attached that contract. From what we would see through the end of the year, I still would not expect us to attach the contract. And it would require, I mean, a really poor quarter for that to be the case."}, {"path": "tedlium_2740.wav", "duration": 13.62, "text": "that may cause the company's actual results and performance to be materially different from any future results or performance suggested by these expectations. The slide you now see gives you more information on the assumptions and factors we consider in making those forward-looking statements."}, {"path": "tedlium_2741.wav", "duration": 13.62, "text": "between Iowa and Illinois as well as many other projects contributing to their significant backlog and is starting work on the Minneapolis light rail."}, {"path": "tedlium_2742.wav", "duration": 13.62, "text": "went straight to chronic dosing toxicology studies, which are rather long and take a long time to read out and which were not complete before we initiated our single dose study. That's the first part of the question."}, {"path": "tedlium_2743.wav", "duration": 13.62, "text": "While the multifamily bridge lending space may be a pocket of the market causing concern related to credit quality, Fannie Mae and Freddie Mac have enforced disciplined underwriting standards in their multifamily lending"}, {"path": "tedlium_2744.wav", "duration": 13.62, "text": "While our adjusted EBITDA margin expectations are largely unchanged, the absolute level of adjusted EBITDA is expected to be modestly impacted primarily by a lower level of revenue than previously expected."}, {"path": "tedlium_2745.wav", "duration": 13.62, "text": "where we have 3 large entities and having a competitive position coming from our economies of scale. This is where we can utilize that. Another group of topics"}, {"path": "tedlium_2746.wav", "duration": 13.62, "text": "The transaction was unanimously approved by the full board and closed yesterday on February 27. Along with the entire board and management team, we are extremely pleased to have MBS and its people"}, {"path": "tedlium_2747.wav", "duration": 13.62, "text": "as well as to invest as much as we intelligently can to build the company for the future so we can serve all of our clients, communities and shareholders for the long term. We believe these investments are the right thing to do and good for all."}, {"path": "tedlium_2748.wav", "duration": 13.62, "text": "our investments for organic growth is just looking at the past few years. I think when we've been focused on a bit of a challenging macro environment and really delivering bottom line operating leverage, we've been in that 0% to 2% growth range."}, {"path": "tedlium_2749.wav", "duration": 13.62, "text": "And then as we think about the server business, will revenue growth in the foreseeable future come entirely from mix shift and AUP increases? Or do you have any line of sight into"}, {"path": "tedlium_2750.wav", "duration": 13.62, "text": "We have started divesting from coal. We have then divested from tobacco. And we have taken a further step from divesting from coal. On the one hand,"}, {"path": "tedlium_2751.wav", "duration": 13.62, "text": "While each of these individual contracts is small, together, they comprise a nice portfolio of strategic contracts built of our core business, demonstrating our Land and Expand strategy."}, {"path": "tedlium_2752.wav", "duration": 13.62, "text": "and a better indication of our future revenues, we are providing a new disclosure called remaining transaction price, which represents all future revenues that are under the contract, essentially our prior billed and unbilled deferred revenue."}, {"path": "tedlium_2753.wav", "duration": 13.62, "text": "The company plans to replace its existing meters between 2017 and 2019 to provide expanded benefits to customers and to comply with state-mandated regulations on metering technology."}, {"path": "tedlium_2754.wav", "duration": 13.62, "text": "And they really started to accelerate at the beginning of this year, as you know, as they exported a little bit extra -- too much corn out of the country and there was a shortage within the country. And so I would say that we've kind of got those prices in place at this point in time."}, {"path": "tedlium_2755.wav", "duration": 13.62, "text": "demonstrated that we are able to buy assets on perhaps not performing and in a relatively quick time get them to perform. But we shouldn't -- we need to be very careful to make sure that we are confident that we can"}, {"path": "tedlium_2756.wav", "duration": 13.62, "text": "Now I would like focus on the great progress we've made on a number of strategic growth initiatives throughout our businesses. At the Wyndham Hotel Group, our new and award winning Wyndham Rewards program continues to deliver great results."}, {"path": "tedlium_2757.wav", "duration": 13.62, "text": "and so for that reason what we're doing here is paying both the dividend and doing acquisitions. And that's still within, well within the limits for what we can do on our net debt-to-EBITDA target levels."}, {"path": "tedlium_2758.wav", "duration": 13.62, "text": "This is likely impacting our Orchard Portfolio business, although our contact stream optimization testing, which kicked into high gear in the first quarter, is making prior year comparisons for this business less meaningful."}, {"path": "tedlium_2759.wav", "duration": 13.62, "text": "observed in patients on active therapy after 4 weeks of dosing may prove to be one of the key differentiating features for 9855. We will continue to track all patients through the remainder of their 5 month treatment period"}, {"path": "tedlium_2760.wav", "duration": 13.62, "text": "This is over 90% of our adjusted operating earnings. This demonstrates our ongoing commitment to capital return as well as confidence and our risk analytics and future cash flow capacity."}, {"path": "tedlium_2761.wav", "duration": 13.62, "text": "and demonstrate our continued ability to generate solid cash flow and core EPS. Looking across our business results for the first quarter, we were pleased with the stabilization we saw in the business"}, {"path": "tedlium_2762.wav", "duration": 13.62, "text": "what is represented in this particular account so we can add back that data into the overall market. And I'd say generally speaking, HUMIRA continues to perform just like it has historically. In fact, if you look at"}, {"path": "tedlium_2763.wav", "duration": 13.62, "text": "Our board, our management team and our financial and legal advisers spent a great deal of time analyzing the proposal and had multiple meetings with BW before their proposal was withdrawn."}, {"path": "tedlium_2764.wav", "duration": 13.62, "text": "strong orders in our Rail business, cash flow performance in line with our plan and solid execution on our growth programs and on transforming our operations."}, {"path": "tedlium_2765.wav", "duration": 13.62, "text": "In addition, the underlying price increases achieved in 2015 as well as our expectations for volumes this year have positioned us well, even if the Canadian dollar continues to appreciate against the dollar."}, {"path": "tedlium_2766.wav", "duration": 13.62, "text": "That's fair. Yes, typically, the way it works with the large OEM is that you will notify your intent to trigger price increases as per their contracts and then that goes into a negotiation of the"}, {"path": "tedlium_2767.wav", "duration": 13.62, "text": "in technology deployment into the shale industry. And again, this is why we have continued to invest into this business in terms of having capacity. Because if you want to be part of changing the outcome of the game,"}, {"path": "tedlium_2768.wav", "duration": 13.62, "text": "will review recent key items and operational results from the second quarter of '17. I will then provide a more in-depth financial review, and we will then take your questions before turning back to Alan with some brief closing comments."}, {"path": "tedlium_2769.wav", "duration": 13.62, "text": "and to make sure that that's clearly communicated to our customers and, of course, to deliver these exciting new villages that Stephen spoke of, in particular Birtinya on the Sunshine Coast, which is right next to the hospital precinct"}, {"path": "tedlium_2770.wav", "duration": 13.62, "text": "We will also continue to do what we do best at the core of our business to strengthen asset management, development and operational capabilities whilst maintaining financial strength, flexibility and capability."}, {"path": "tedlium_2771.wav", "duration": 13.62, "text": "And again, with respect to the exploration wells, depending on the distance from existing infrastructure, the tie-in can be quite quick or it can be a couple of months while we're actually laying flow-lines to connect with the main"}, {"path": "tedlium_2772.wav", "duration": 13.62, "text": "you'll see numbers that are just better from this company. This quarter was excellent, and I think just the underlying economics of our business are improving."}, {"path": "tedlium_2773.wav", "duration": 13.62, "text": "we participate not only in the exclusive sale of physical discs by our GameStop-branded stores, but we also participate in the profit from digital sales of the game and related collectibles regardless of where they are sold."}, {"path": "tedlium_2774.wav", "duration": 13.62, "text": "This metric will be most meaningful at the end of our fiscal years. Keep in mind that we expect 30% or more of our fiscal 2016 operating earnings to come from sources other than physical gaming."}, {"path": "tedlium_2775.wav", "duration": 13.62, "text": "Before we begin this morning, please note that some of the information discussed during today's call will consist of forward-looking statements setting forth our current expectations with respect to the future of our business, the economy and other future events."}, {"path": "tedlium_2776.wav", "duration": 13.62, "text": "That's why we are engaged in advancing more affordable housing, more reliable transportation and more sustainable employment as well as the data integration to better coordinate these and other services."}, {"path": "tedlium_2777.wav", "duration": 13.62, "text": "In addition, depending on market and leasing conditions, we intend to explore opportunities to sell or refinance properties subject to market conditions in order to close the full cycle and maximize value for our shareholders."}, {"path": "tedlium_2778.wav", "duration": 13.62, "text": "with a growing contribution from recently completed repositioning and redevelopment work across the portfolio more than offsetting additional drag in the future redevelopment pipeline that's being incurred as a result of the timing of recent bankruptcy activity."}, {"path": "tedlium_2779.wav", "duration": 13.62, "text": "some deals which is very, very unusual for rookies. But most of them do have experience and they bring good leads with them. So we're encouraged by that."}, {"path": "tedlium_2780.wav", "duration": 13.62, "text": "The accelerated amortization was recorded in the third quarter because of the requirement to classify our debt as current and our intent to pay down our debt with the proceeds from the Technology sale."}, {"path": "tedlium_2781.wav", "duration": 13.62, "text": "You should not rely on our forward-looking statements because the matters they describe are subject to assumptions, known and unknown risks, uncertainties and other unpredictable factors, many of which are beyond our control."}, {"path": "tedlium_2782.wav", "duration": 13.62, "text": "If you were to look out and look at the market forecast, there is this capacity increase, but you have to also be mindful of the fact that when it comes to base oil business, there is a significant entry barrier."}, {"path": "tedlium_2783.wav", "duration": 13.5900625, "text": "with organizations ranging from government programs to large enterprises, to small businesses, to MNOs and MVNOs, to customer loyalty programs and many others."}, {"path": "tedlium_2784.wav", "duration": 13.5900625, "text": "While our first fiscal quarter continues to operate at a loss, the addition of Perisher has significantly improved the profitability of our business during this period when our U.S.-based Mountain resorts are not open for winter operations."}, {"path": "tedlium_2785.wav", "duration": 13.5900625, "text": "The investments we made over the last year in augmenting the distribution channel and increasing our direct sales force should continue to improve Digital Imaging revenue throughout the year, as we're seeing more opportunities for our hardware products."}, {"path": "tedlium_2786.wav", "duration": 13.5900625, "text": "And the good news is that the first promotion that was executed at these lower price points has had a nice positive impact on the business. So as we look at the balance of 2019, I think we've got a better"}, {"path": "tedlium_2787.wav", "duration": 13.59, "text": "you have to make a choice, right? You have to decide, well do I go complete wells out in space and setup a problem for the long-term? Or do I use that incremental capital to try and fill in all of my active leases as much as possible, right? Which means I'm going to offset"}, {"path": "tedlium_2788.wav", "duration": 13.59, "text": "I'm going to be referring to the document in which you ought to have in front of you on the webcast. You turn to the agenda, it's the standard"}, {"path": "tedlium_2789.wav", "duration": 13.59, "text": "For those of you less familiar with Avedro, we are pioneering treatment options for patients with corneal disease and those seeking to improve their eyesight with a noninvasive vision-correction procedure."}, {"path": "tedlium_2790.wav", "duration": 13.59, "text": "Against that background and that expectation, we do however continue to plan for moderate growth in 2016. Our planning process every year is around cycle management, that's pushing forward"}, {"path": "tedlium_2791.wav", "duration": 13.59, "text": "The app will also add more value to the front store shopping experience through the delivery of digital coupons and targeted offers. Holistically, we see tremendous potential on the virtuous circle between our merchandising and our marketing strategies."}, {"path": "tedlium_2792.wav", "duration": 13.59, "text": "Ray has 30 years of experience with Lear, including several international assignments. He has led both product segments and, most recently, transformed our Seating business into the fastest growing and most profitable seat supplier in the industry."}, {"path": "tedlium_2793.wav", "duration": 13.59, "text": "But you need to invest in your authors and the way in which you manage those relationships, so we're investing there. We're investing in international sales capability and editorial capability in other markets because we see that as growth, as humanity, social science"}, {"path": "tedlium_2794.wav", "duration": 13.59, "text": "improve sequentially then? So in other words, it would look better. I mean I know and I guess it's going to be tough to see in the first quarter because you -- typically, the first quarter is a bad quarter for doubtful accounts anyway. So"}, {"path": "tedlium_2795.wav", "duration": 13.59, "text": "a key phase in any acquisition process for us. But we have a very experienced management team and leaders ready and ready to make this happen. Job offers and acceptances have been finalized, and work streams in each of the main"}, {"path": "tedlium_2796.wav", "duration": 13.59, "text": "the analytics of the old product, we feel pretty good about where we're at or we would not announce this filing date in today's press release if we've held off announcing this until"}, {"path": "tedlium_2797.wav", "duration": 13.59, "text": "actually many times. What we found is the best way to stimulate this kind of opportunity is to actually do things. To actually"}, {"path": "tedlium_2798.wav", "duration": 13.59, "text": "specific projects that we already know about and have high confidence that we can execute on. But I'm sure that there will be additional incremental CapEx as we look towards the back end of the plan."}, {"path": "tedlium_2799.wav", "duration": 13.59, "text": "This change is driven by the step-change in receivables associated with our selling prices, which are now expected to remain near these elevated levels for longer than previously forecasted."}, {"path": "tedlium_2800.wav", "duration": 13.59, "text": "we have just completed one of our best years for customer retention and have a good sense that much of the success can be attributed to new processes we -- and systems and other programs we have put in place over the past 2 years."}, {"path": "tedlium_2801.wav", "duration": 13.59, "text": "And the other thing I would say relative to patterning, there are really 2 major areas of focus. One is shrinking features, but the other one is placing features in the right position."}, {"path": "tedlium_2802.wav", "duration": 13.59, "text": "on July 1, 2017. The closing of the sale will occur shortly after the proceeds of the television spectrum auction are distributed by the FCC, which we expect to occur during our second fiscal quarter"}, {"path": "tedlium_2803.wav", "duration": 13.59, "text": "Similarly, we wanted to partner with a Chinese data center operator, who we felt confident will provide the same level of support and dedication we provide our customers as we help our customers grow in China."}, {"path": "tedlium_2804.wav", "duration": 13.59, "text": "I think it's fair to say, Jonathan, we're always looking at are there other baskets of capital. And clearly, there's a ton of money wanting to get into data center space. So I think it's fair to say that"}, {"path": "tedlium_2805.wav", "duration": 13.59, "text": "That said, Commerce Services continues to be impacted by headwinds around a higher dollar and higher transportation in labor costs. And investments made through the quarter are also impacted in the bottom line,"}, {"path": "tedlium_2806.wav", "duration": 13.59, "text": "Our teams are racing towards growth, and we look forward to continuing to update you on our progress, both at our Analyst Day in New York and at next quarter's earnings call. Until then, you can find us on the road making things happen for our clients."}, {"path": "tedlium_2807.wav", "duration": 13.59, "text": "Jimmy, as you know, we're always looking and always interested in talking to people who have a good company to sell, so we're going to continue with that. And of course, we're looking for something that is complementary to what we do,"}, {"path": "tedlium_2808.wav", "duration": 13.59, "text": "we're not just passively open with respect to our strategic declarations. We want to go out there and look for opportunities, and that's why we've built this capital"}, {"path": "tedlium_2809.wav", "duration": 13.59, "text": "The biggest contributor to our license revenue growth was add-on business. Existing customers recognize the exceptional value we provide in protecting their IT infrastructure and are expanding with additional licenses and new products."}, {"path": "tedlium_2810.wav", "duration": 13.59, "text": "and that we will be fully offset by the end of the first quarter of 2018. We agree with most views that we are entering a more inflationary environment and remain committed to react with pricing where appropriate."}, {"path": "tedlium_2811.wav", "duration": 13.59, "text": "third item to note is that the increase in spending within operations and maintenance is largely attributable to placing Carty into service and legal expenses related to the Carty litigation."}, {"path": "tedlium_2812.wav", "duration": 13.59, "text": "We also see continued strong growth for transportation films as consumer awareness is increasing, particularly in Asia, where we have been successful in tapping into expanded distribution channels."}, {"path": "tedlium_2813.wav", "duration": 13.59, "text": "Turning to the balance sheet. As a result of the new accounting standards, we now report unearned revenue in place of deferred revenue. And as you know, the new revenue standard has us recognizing certain revenues sooner than under prior standards"}, {"path": "tedlium_2814.wav", "duration": 13.59, "text": "corporate headquarters in New York City, which we have essentially integrated into our Vancouver operations with minimal incremental cost, we have exited a very significant lease obligation here in Vancouver. There was a plan"}, {"path": "tedlium_2815.wav", "duration": 13.59, "text": "The work we have done expanding our distribution reach, strengthening our big brands through better marketing and innovation and up-weighting recruitment efforts, were the key drivers of volume improvement across all of our regions."}, {"path": "tedlium_2816.wav", "duration": 13.59, "text": "would you look to reduce it a little bit further? Is there no change in how you're thinking about it from 3 months ago? Or -- it doesn't sound like there's promotions in the market. Just curious how you're thinking about that aspect of the business."}, {"path": "tedlium_2817.wav", "duration": 13.59, "text": "More importantly, we ensure that owners remain satisfied with the product long after the original sale by continual surveys and feedback loops. We're tracking our owners' satisfaction, whether they're staying at our resorts"}, {"path": "tedlium_2818.wav", "duration": 13.59, "text": "Dirk will become CEO effective in November, and I look forward to continuing to serve as Chairman of our board until the end of the first quarter next year to ensure a smooth transition."}, {"path": "tedlium_2819.wav", "duration": 13.59, "text": "Keep in mind that we run with a very high measure of financial discipline, including economics, GAAP accounting and statutory accounting. And we've often said that we can meet higher standards, that's not a problem for us."}, {"path": "tedlium_2820.wav", "duration": 13.59, "text": "We cannot comment any more relating to this process, but Seadrill has never missed a charter hire payment and is continuing to pay us the full agreed charter rate. And we continue our steep schedule repayment profile on the loan."}, {"path": "tedlium_2821.wav", "duration": 13.59, "text": "In terms of returning capital to shareholders through our share repurchase program, tax reform provides us with confidence in the sustainability of our program and additional flexibility to enhance return of capital to shareholders."}, {"path": "tedlium_2822.wav", "duration": 13.59, "text": "Some of the additional strategies and initiatives that we've just recently introduced at that meeting have not yet kicked in"}, {"path": "tedlium_2823.wav", "duration": 13.59, "text": "Market trends remained similar to what we saw throughout 2016 with ongoing focus on optimization, efficiency, securitization and the integration of software into solutions."}, {"path": "tedlium_2824.wav", "duration": 13.59, "text": "Average price per acre was comparable to the fourth quarter on a generally similar geographic mix. First quarter Real Estate sales included a slightly higher portion of Southern acres and fewer Western and Northern acres."}, {"path": "tedlium_2825.wav", "duration": 13.59, "text": "Japanese merchants also benefit from instant settlement as well as the increase in customer acquisition and conversion we see in other countries around the world from One Touch."}, {"path": "tedlium_2826.wav", "duration": 13.59, "text": "In the market making segment we will report global equities including America's equities and rest of the world and global FICC, fixed income currencies and commodities. This aligns much better with how we manage the segment,"}, {"path": "tedlium_2827.wav", "duration": 13.59, "text": "significant increases in collectibles sales, they also see an increase in video games software and hardware sales driven by the increased traffic and expanded demographics that the broader selection of collectibles generates."}, {"path": "tedlium_2828.wav", "duration": 13.59, "text": "And then I guess, the other point that I would make is if we look back in time at what I'll call the last cycle, what we can say is that environment did act as a catalyst"}, {"path": "tedlium_2829.wav", "duration": 13.59, "text": "you've spoken in the past about quantitative and qualitative factors that are going to be considered by the board. I was wondering if you can maybe elaborate on some of those qualitative factors and the influence that those factors will have in the review process."}, {"path": "tedlium_2830.wav", "duration": 13.59, "text": "All forward-looking statements made during this call speak only as of the date they are made. Aptose undertakes no obligation to revise or update the statements to reflect events or circumstances after the date of this call, except as required by law."}, {"path": "tedlium_2831.wav", "duration": 13.59, "text": "Our product line strategies will continue to evolve as we implement, learn and adjust to achieve our strategic objectives. This process reflects our cultural objectives of learning, accountability and excellence."}, {"path": "tedlium_2832.wav", "duration": 13.59, "text": "One of the keys to successfully executing the strategy is having the right leadership team in place. In 2018, we added significant talent and expanded the roles of current Integer leaders to position us for success."}, {"path": "tedlium_2833.wav", "duration": 13.59, "text": "As I said last quarter, our need to invest remains, and we remain focused on driving long-term value. We look forward to continuing to update you on our progress. I'll now hand the call back over to Rich. Thanks, Brian."}, {"path": "tedlium_2834.wav", "duration": 13.59, "text": "integrating very, very well into our culture and our organization and are very happy to be here. And we're happy to have them. So 10 people, a couple million dollars to support"}, {"path": "tedlium_2835.wav", "duration": 13.59, "text": "I think it's important to recognize that our strategic plans and priorities are not changing. We will continue to focus on organically growing our regulated operations and maintaining the disciplined financial approach you've come to expect from us."}, {"path": "tedlium_2836.wav", "duration": 13.59, "text": "is that we are looking at a potential -- at potential off-balance sheet transactions to see if there's a way to get it off balance sheet and talking with partners on that. And that's our focus there so that it does help a lot of our ratios to take that debt off balance sheet."}, {"path": "tedlium_2837.wav", "duration": 13.59, "text": "and still generating additional cash over and above that, which gives us more flexibility to do more things with the business. So we have not backed off on our interest in looking at"}, {"path": "tedlium_2838.wav", "duration": 13.59, "text": "that should be finished in 2019. We are strengthening our competitive position through the technology pilot but also that we are utilizing the technological capability and confidence in the company"}, {"path": "tedlium_2839.wav", "duration": 13.59, "text": "the closure of our operations. But on top of that, we're reviewing the supply chain from every angle possible and basically saying every supplier we've had for the past couple of decades need to reapply for a job."}, {"path": "tedlium_2840.wav", "duration": 13.59, "text": "The one thing that is common to all of these situations that the patient has a significantly higher probability of a better outcome and the payer gets better value for the dollar."}, {"path": "tedlium_2841.wav", "duration": 13.59, "text": "in that business in terms of just mining activity. There's a lot of conversation in that industry about who's going to bet on the future on increased demand because they're going to have to sink some capital"}, {"path": "tedlium_2842.wav", "duration": 13.59, "text": "This activity has been particularly marked from a conduct and customer perspective, and as we have said many times before, having a strong customer proposition is vital to succeed in the closed life fund consolidation market."}, {"path": "tedlium_2843.wav", "duration": 13.59, "text": "probably greater expansion in the early quarters of the year like we did in this first quarter, with it settling back down in the fourth quarter when the video game business has such a seasonal ramp up."}, {"path": "tedlium_2844.wav", "duration": 13.59, "text": "And it's not that there were -- people were being spendthrift. It's we had these distributed operations, and we just weren't achieving scale benefits as rapidly as we should have -- as we could have been."}, {"path": "tedlium_2845.wav", "duration": 13.59, "text": "and thereby remove kind of that issue for investors such that we think we can have better execution and further differentiate ourselves from being a SNF REIT. So our position right now is that we're going to be opportunistic,"}, {"path": "tedlium_2846.wav", "duration": 13.59, "text": "For the closed loop, we continue to target doubling the volume of direct lubricants sold from that of 2017. We remain confident about the compelling value proposition for our direct lubricant offering,"}, {"path": "tedlium_2847.wav", "duration": 13.59, "text": "and working with other firms like ours, which is very helpful to us, both internally as well as from a marketing perspective externally. And adds value and insights to other endowments and foundations who don't have that expertise."}, {"path": "tedlium_2848.wav", "duration": 13.59, "text": "As Ludwig and Chris mentioned, we continue to pursue efficiencies and improve margins on a sustainable basis, and we'll be working hard to see those reflected in the coming year."}, {"path": "tedlium_2849.wav", "duration": 13.5899375, "text": "a line for low power applications in the area of power modules with a possibility to integrate also microcontroller and include microcontrollers in this"}, {"path": "tedlium_2850.wav", "duration": 13.56, "text": "As mentioned, we see strong changes in our exchange rates and they move right now in a favorable direction for Duni and especially when it comes to the"}, {"path": "tedlium_2851.wav", "duration": 13.56, "text": "I don't think we want to a give specific number at this point. One thing that's important this year is, is regardless of the actual production volume, is to validate the production capacity of 20,000 stacks per year."}, {"path": "tedlium_2852.wav", "duration": 13.56, "text": "We would rather do no deal than do a bad deal. Our management team is dedicated to successfully addressing the increasing need for clean and potable water supply solutions, while driving value for our shareholders"}, {"path": "tedlium_2853.wav", "duration": 13.56, "text": "can you give a little bit more color around what is different heading into 2019? Of course, we have the J code, but just a little more color about what gives you the confidence and the acceleration"}, {"path": "tedlium_2854.wav", "duration": 13.56, "text": "And it's nice when your efforts coincide with an increase in oil prices. So that was very positive. And our technical and operations groups are very keen that we can meet our flat production through FY '20, well on our way."}, {"path": "tedlium_2855.wav", "duration": 13.56, "text": "Good morning, and thank you for joining us today. I will start with some comments about the quarter as well as provide my perspective on what we are seeing in terms of market activity in each of our regions. Overall, I'm pleased with our performance to start the year."}, {"path": "tedlium_2856.wav", "duration": 13.56, "text": "We'll make some opening remarks and then open the call to your questions. We don't want to bore you with a pile of numbers this morning, so we're assuming that you've had the opportunity to look at the announcement and the presentation."}, {"path": "tedlium_2857.wav", "duration": 13.56, "text": "While our past heritage as Fred's Super Dollar has provided us a base of loyal customers and a deep understanding of their needs, that is the past. First of all, healthcare is among the fastest-growing sectors of consumer spending."}, {"path": "tedlium_2858.wav", "duration": 13.56, "text": "These results fit with the normal seasonal pattern we expect in our business. And it does not change our outlook for the year. Turning to the balance sheet, let's look at the sequential change. We ended the quarter in a strong financial position."}, {"path": "tedlium_2859.wav", "duration": 13.56, "text": "On behalf of the entire Five Below team, I would like to express our deep gratitude to David for his invaluable contributions since cofounding the company with Tom, 13 years ago."}, {"path": "tedlium_2860.wav", "duration": 13.56, "text": "We're coming off November, when we anniversaried last year's peak Frozen weeks, but the critical holiday weeks lie ahead, and we believe we are well-positioned to deliver on our holiday plans."}, {"path": "tedlium_2861.wav", "duration": 13.56, "text": "This evolution will touch every aspect of our brand globally, digitally and physically from product packaging to logos to app design. This will encompass our consumer as well as our health solutions business."}, {"path": "tedlium_2862.wav", "duration": 13.56, "text": "specialist that we talked about at the Investor Day, these are capabilities that we've added since the first half of last year that I think give us better growth prospect going forward, but obviously don't deliver immediately on day 1 in terms of business."}, {"path": "tedlium_2863.wav", "duration": 13.56, "text": "then they'll choose that. And everybody will sort of think through it, make that assessment. They'll have to decide what's true for the short term versus what it's likely to look like a few years down the road. I think the longer horizon people take"}, {"path": "tedlium_2864.wav", "duration": 13.56, "text": "risks and uncertainties and other important factors that could cause actual financial and operating results to differ materially from those described in the forward-looking statements are detailed in the company's filings made with the SEC,"}, {"path": "tedlium_2865.wav", "duration": 13.56, "text": "Part of the calculus that we would have on if a scenario played out where we were granted accelerated approval, one of the things that we would look at in terms of critical path is label optimization."}, {"path": "tedlium_2866.wav", "duration": 13.56, "text": "I'm hoping that I won't say this but by the next time that we talk that we'll have either found an answer to this or we won't. This is kind of our last idea. And so if we talk again and we don't get this idea to work,"}, {"path": "tedlium_2867.wav", "duration": 13.56, "text": "In the second quarter, our industrial businesses had their best results in nearly 3 years, which helped -- I'm sorry, our industrial businesses had their best results in nearly 3 years, which helped offset weaker results in other areas of the company."}, {"path": "tedlium_2868.wav", "duration": 13.56, "text": "cost reduction efforts, a reduction in quality-related expenses and the impact of pension accounting treatment despite negative ForEx effects due to the appreciation of the yen and other factors."}, {"path": "tedlium_2869.wav", "duration": 13.56, "text": "For Cholbam, the focus for bile acid synthesis disorders will be on supporting the evolving change in the diagnostic paradigm. The team will do this by raising more awareness of our genetic cholestasis panel and increasing its use."}, {"path": "tedlium_2870.wav", "duration": 13.56, "text": "Returning to the bigger picture Gary described. You may notice how resilient the industry and the company have become, particularly given the supply and demand adjustments now taking place in memory."}, {"path": "tedlium_2871.wav", "duration": 13.56, "text": "as the market is changing, our customers are also changing their bid sequence. I mean, one very large customer that most people know has pulled their bid in and made it a 1-year bid for all of their business that's going through right now."}, {"path": "tedlium_2872.wav", "duration": 13.56, "text": "We haven't had the chance to have this discussion with the rating agencies yet because as you could read from the release, this is a very recent development."}, {"path": "tedlium_2873.wav", "duration": 13.56, "text": "While the first steps on the path towards growing revenue were ensuring client satisfaction and ease of doing business with us, the next step is to make sure our clients understand the breadth of our enhanced solutions and how these solutions can truly enhance their businesses."}, {"path": "tedlium_2874.wav", "duration": 13.56, "text": "Net interest margin is expected to slightly decreased during the fourth quarter as a mix of Equipment Finance originations continues to shift to flow with larger average transaction sizes, higher credit quality and lower yields."}, {"path": "tedlium_2875.wav", "duration": 13.56, "text": "While again, the good news is there's no double taxation of those dividends, the bad news is that it will not give us the liquidity from the earnings to grow like we have in the past."}, {"path": "tedlium_2876.wav", "duration": 13.56, "text": "And in addition to that, what's happening in the region is going to be a consideration also. So there's just a lot of variables that I'd like to be able to tell you what it looks like today, but we're not in a position to do that. That's why we take 2 years to do this."}, {"path": "tedlium_2877.wav", "duration": 13.56, "text": "Remember that our fourth quarter 2015 free cash flow was quite strong, in part, due to the achievement of billing milestones that allowed us to collect cash in the fourth quarter, which was reflected in the year-end cash position."}, {"path": "tedlium_2878.wav", "duration": 13.56, "text": "Clearly, an important part of our business. We're in the process of opening up our second technical school to train service technicians, and we're looking at regional service centers to increase our service capacity into markets."}, {"path": "tedlium_2879.wav", "duration": 13.56, "text": "Okay. And just in terms of verticals that these suppliers are coming from, now you said you're rolling in sort of bigger guys quicker than you expected. Does that cause you to focus more narrow in terms of vertical? Or are you still kind of,"}, {"path": "tedlium_2880.wav", "duration": 13.56, "text": "and Europe and Asia-Pacific operations as well as our corporate activity. As a reminder, corporate activity includes investment income and other gains as well as costs not associated with operating ITG's regional and product group business lines, including among others,"}, {"path": "tedlium_2881.wav", "duration": 13.56, "text": "which could position us to do exactly the kind of deal that you are speaking to. The notion that finding the right antigens to make the best possible vaccines is not something that we can fully exploit."}, {"path": "tedlium_2882.wav", "duration": 13.56, "text": "the asphalt and oil prices sort of would remain kind of where they are now, what would your expectation be ballpark for the benefit that you would get on raw mat from the lower asphalt cost?"}, {"path": "tedlium_2883.wav", "duration": 13.56, "text": "In closing, I'd like to commend our entire team for the solid and steady record of growth and profitability they have produced over the past 6 years since our IPO, a track record we can be very proud of within our industry."}, {"path": "tedlium_2884.wav", "duration": 13.56, "text": "Such statements are based on certain estimates and expectation and are subject to a number of risks and uncertainties. Actual future results may vary materially from those expressed or implied by the forward-looking statements."}, {"path": "tedlium_2885.wav", "duration": 13.56, "text": "an operating sponsor have demand to maybe integrate more marketing and retail assets into their businesses and there's an opportunity for Tesoro to sort of gain share"}, {"path": "tedlium_2886.wav", "duration": 13.56, "text": "At the present time, we believe we can achieve better results from taking advantage of opportunities in our own circuit and in newbuild opportunities rather than paying the multiples that are currently being offered for existing circuits."}, {"path": "tedlium_2887.wav", "duration": 13.56, "text": "And while DEXTENZA is the most near term and immediate imperative, it's no more important or urgent than development of our pipeline. The hydrogel platform has a multitude of current and potential applications that we intend to bring forward either by ourselves or in partnership with other companies."}, {"path": "tedlium_2888.wav", "duration": 13.56, "text": "And so if things are not unfolding in a positive direction with respect to administrative processes, we also have the option to go to court. So there are a number of different ways in which this can happen."}, {"path": "tedlium_2889.wav", "duration": 13.56, "text": "we're not going to decrease the coverage because we have new NPL. And I think your last question was about capital consolidated."}, {"path": "tedlium_2890.wav", "duration": 13.56, "text": "Let me first discuss our progress toward reestablishing high quality uninterrupted manufacturing supply, the most critical corporate objective for Sientra for the past 18 months."}, {"path": "tedlium_2891.wav", "duration": 13.56, "text": "create a little more focus by having a group and a sector, if you were, a segment that reported to me that woke up every day and all they thought about"}, {"path": "tedlium_2892.wav", "duration": 13.56, "text": "This portfolio has performed very well for us since we started the business in 2004, and we expect it to continue to deliver strong results as we remain consistent with our conservative risk appetite and our selective approach to approve new loans."}, {"path": "tedlium_2893.wav", "duration": 13.56, "text": "So in other words, the products engineered to what I would say probably a more heavy duty spec, which is needed in those countries, and that's something that we think for our efforts to expand distribution outside of"}, {"path": "tedlium_2894.wav", "duration": 13.56, "text": "This transformational acquisition is an integration of 2 leading businesses with complementary strengths. Alpha's mission is to keep the world working by delivering solutions that meet today's and future power challenges."}, {"path": "tedlium_2895.wav", "duration": 13.56, "text": "a regular -- regulatory change in the manner in which the pharmacies were paid for that. I thought we had lapped that effect in terms of the way pharmacies were paid."}, {"path": "tedlium_2896.wav", "duration": 13.56, "text": "and therefore, the convertible notes were determined to be dilutive. This resulted in an approximate 1.3 million share increase to the weighted average shares outstanding for the diluted EPS calculation for the quarter."}, {"path": "tedlium_2897.wav", "duration": 13.56, "text": "Okay, Paul, it's Phil. In our slide deck, you do see that we do provide the one slide that includes the comparison of the total asset requirement between the old framework and the new framework, and from that you can effectively see"}, {"path": "tedlium_2898.wav", "duration": 13.56, "text": "in order to achieve further growth. At the same time, we will accelerate portfolio re-profiling based on business life cycles. This will be a task for a little longer than 3 years."}, {"path": "tedlium_2899.wav", "duration": 13.56, "text": "Sure. So I think the data services business -- we've always liked that business but it really is the farthest afield from what we do. We acquired it when we acquired Rigzone. In the first place, there was a fair amount of interest"}, {"path": "tedlium_2900.wav", "duration": 13.56, "text": "We expect incremental improvement in subsequent quarters. We are encouraged by the activity in our Information Technology Group. While we need to be patient with our new leadership, we are very excited about the potential."}, {"path": "tedlium_2901.wav", "duration": 13.56, "text": "So you can now in that message, you can motivate, you can make special offers to get those clients who would otherwise churn out or not really churn out, because they never actually subscribe, get them to subscribe."}, {"path": "tedlium_2902.wav", "duration": 13.56, "text": "because at the end, I'm sure you will have questions and that's probably the most important part because you could study already the deck that is as well sent to you or is on Internet."}, {"path": "tedlium_2903.wav", "duration": 13.56, "text": "To that end, we have also hit the pause button in our handbag business. We felt that the product did not accurately reflect the Vince brand, and we have begun the process to find a designer to lead that business going forward."}, {"path": "tedlium_2904.wav", "duration": 13.56, "text": "is to delever and then to use our stock buyback program. We'll have to wait and see in terms of timing if there should be any proceeds from the auction or none whatsoever."}, {"path": "tedlium_2905.wav", "duration": 13.56, "text": "creating intelligent engagements focused on business outcomes and investing in digital solutions. WNS also received further validation of our capabilities in this sub-vertical,"}, {"path": "tedlium_2906.wav", "duration": 13.56, "text": "I will now turn the call back to Barry for concluding remarks. Barry? Thank you, Mike. As you've heard, we continue to focus on delivering results with operational excellence, which is at the center of everything we do."}, {"path": "tedlium_2907.wav", "duration": 13.56, "text": "We very clearly need more space and capacity at competitive price and cost levels for Medical Plastic Systems and also syringes. The new facility in Skopje will address these needs."}, {"path": "tedlium_2908.wav", "duration": 13.56, "text": "General and administrative costs are higher because of an increase in IT costs, including costs for our transportation management system and human resource system as well as an increase in professional fees."}, {"path": "tedlium_2909.wav", "duration": 13.56, "text": "And to do that, we need to make sure that we're operating them to a certain standard. So some of the pickup in the recurring capital you're seeing there, but again, I think it's being more than paid for by the rents."}, {"path": "tedlium_2910.wav", "duration": 13.56, "text": "It gives us better control over the flow of material through the plant. When an unplanned outage occurs, we need to ensure that we have replacement parts on the shelf, and we can get them quickly to minimize any downtime."}, {"path": "tedlium_2911.wav", "duration": 13.56, "text": "We have demonstrated our ability to execute a complex set of financing transactions quickly and with great results. We have built a strong intel integration team that is skilled at complex business separation and integration."}, {"path": "tedlium_2912.wav", "duration": 13.56, "text": "and they're not mutually exclusive. First would be our focus on digital engagement. We're generating more traffic to our website and mobile and improving our key organic search performance with better content merchandising."}, {"path": "tedlium_2913.wav", "duration": 13.56, "text": "We now expect market prices to be flat sequentially from the third quarter. However, our price is forecast to be up mid-single digits as the units to be sold in the fourth quarter will be newer."}, {"path": "tedlium_2914.wav", "duration": 13.56, "text": "used truck recovery is tough to call. But if you had to guess today, at what point do you think you'll be able to get back to seeing a level of gains on sale that's in line with the historical average? And"}, {"path": "tedlium_2915.wav", "duration": 13.56, "text": "And those expansions covering either a new -- entire new line of business or a significantly larger field of play from an audit perspective. So that's part of it."}, {"path": "tedlium_2916.wav", "duration": 13.56, "text": "We are achieving a slightly lower effective tax rate for state income taxes this year, and we continue to expect an effective rate of approximately 40% for the full year this year."}, {"path": "tedlium_2917.wav", "duration": 13.56, "text": "Once again, we delivered on our commitment to drive value for our shareholders in the quarter, in maintaining a prudent capital allocation plan. We invested and supported the growth in our core business through capital spending and expenses."}, {"path": "tedlium_2918.wav", "duration": 13.53, "text": "slightly lower share count and the reduction of convertible debt. Our strategy is providing good guidance on whether to buy shares, buy a new club, open a new restaurant or pay down debt."}, {"path": "tedlium_2919.wav", "duration": 13.53, "text": "But turning to the next slide. The part that we're most excited about actually begins once you have a mortgage. In terms of financial health, owning a home and getting mortgage-free is one of the biggest opportunities for Canadians to build wealth, and helping them get there is what this product is all about."}, {"path": "tedlium_2920.wav", "duration": 13.53, "text": "as other companies, we carry out our adjustments at the end of the year. We carry out many impairment adjustments, inventory adjustments, and all of them are"}, {"path": "tedlium_2921.wav", "duration": 13.53, "text": "which, while impacting debt, has not had a meaningful contribution to our EBITDA. Starting in Q1, we will finally begin to recognize earnings for the new vessel."}, {"path": "tedlium_2922.wav", "duration": 13.53, "text": "The opportunity for savings has led to the hiring of an additional purchasing resource that has started within the last month to assist in identifying and executing on existing and potential cost savings."}, {"path": "tedlium_2923.wav", "duration": 13.53, "text": "an absolute focus on parts discounts and service discounts to a much more focus on availability and keeping those trucks up and running and that make sense in this cycle, right? You go from a period where you're trying to survive,"}, {"path": "tedlium_2924.wav", "duration": 13.53, "text": "In addition to this, we've done a broader review of all of our recent IT investments to ensure that any residual exposures are now addressed. We consider this review as complete and now final."}, {"path": "tedlium_2925.wav", "duration": 13.53, "text": "But if we're truly to become a health and wellness brand, we have to inspire people to be healthier all year long. So in 2018, we're introducing a new campaign globally, summer of impact."}, {"path": "tedlium_2926.wav", "duration": 13.53, "text": "size of car? So will this be used -- with the targets that you've given, will it be used in a particular range of cars? Could you maybe provide more clarity in terms of where you think it's going into the market?"}, {"path": "tedlium_2927.wav", "duration": 13.53, "text": "and then also being able to see their logo on an e-mail marketing as well. So that is becoming another vehicle for us to be able to get out in front of small business owners as well. So there's a lot there but"}, {"path": "tedlium_2928.wav", "duration": 13.53, "text": "Although we await next steps from FERC on the MISO ROE complaints, the new methodology appears to be generally constructive and we will look -- we look forward to getting closure on these outstanding complaints."}, {"path": "tedlium_2929.wav", "duration": 13.53, "text": "including our customers, our employees and the investment community. James's vision has been instrumental to the evolution of YRC Worldwide, and I am grateful for his contributions and personal support."}, {"path": "tedlium_2930.wav", "duration": 13.53, "text": "Yes, I think the best way to imagine what we are -- and a lot of fast businesses don't perform this way. I don't know why. We're really a high fixed low-variable cost business."}, {"path": "tedlium_2931.wav", "duration": 13.53, "text": "And when we put that model together, we take into account the investments that we're making in initiatives, such as loyalty or omni-channel. And so we continue to manage our business that way. And therefore, we feel confident that we should be able to deliver"}, {"path": "tedlium_2932.wav", "duration": 13.53, "text": "How many of those do you actually have a relatively high degree of visibility on in terms of either specific date, certain packet expiration or a settlement? Obviously, the FDA hasn't been doing"}, {"path": "tedlium_2933.wav", "duration": 13.53, "text": "The lower buyback this half just reflects that there were a number and variety of investment opportunities, which we were considering and while doing so, held back on the buyback. There has been no change to our capital allocation policy."}, {"path": "tedlium_2934.wav", "duration": 13.53, "text": "While there was nothing of similar scale this year, despite both the publisher's and our best efforts at an expanded range of humor books. And so it was a difficult Christmas for us in Books."}, {"path": "tedlium_2935.wav", "duration": 13.53, "text": "Excluding these charges, the adjusted cost base remains stable despite higher software amortization and investment expenses related to our strategic initiatives, including the expansion of our digital solutions."}, {"path": "tedlium_2936.wav", "duration": 13.53, "text": "And I'd remind you here of our significant debt reduction, 2 dividend increases and RAI's new share repurchase program. So I'm very pleased with the way this year has progressed."}, {"path": "tedlium_2937.wav", "duration": 13.53, "text": "that generates value. And so we really feel like it's not the individual components, it's the totality that is emerging, the one-stop shop for an entire solution that's emerging that is truly going to drive the bookings growth."}, {"path": "tedlium_2938.wav", "duration": 13.53, "text": "We believe that the bottom has finally entered precious metals, and both our actively managed precious metal strategies and our exchange-listed products are well positioned to benefit from a recovery and performance and investor interest."}, {"path": "tedlium_2939.wav", "duration": 13.53, "text": "The upside here is that when those bankers get back into the marketplace, which they are now getting to do, and have access to our larger set of products and services and higher lending limits, new business is strong."}, {"path": "tedlium_2940.wav", "duration": 13.53, "text": "in our capital deployment plans. The management team remains focused on the most prudent and sensible uses of cash in support of our longer-term strategic growth plans."}, {"path": "tedlium_2941.wav", "duration": 13.53, "text": "And so if we were to decide we wanted more or less, we have the ability to adjust that in the future if we need to. I mean, right now, we're comfortable where we are, but we frequently look at them, and if we need to make an adjustment, we will."}, {"path": "tedlium_2942.wav", "duration": 13.53, "text": "are actually -- are very much what we've looked at. There's not a lot of change in there. But when you think of things that have a bigger CapEx component to it, you're seeing those things get pushed out. And those aren't a big piece of overall business."}, {"path": "tedlium_2943.wav", "duration": 13.53, "text": "Now these adjustments are calculated once every quarter at the end of each quarter based on the warranty costs incurred during the course of that quarter, and it's essentially catch-up adjustment at the end of each quarter."}, {"path": "tedlium_2944.wav", "duration": 13.53, "text": "In Latin America and Caribbean, net sales were up about 1%, with a weaker second half due to the unwind of advanced purchasing in the first half ahead of the December duty increase in Brazil."}, {"path": "tedlium_2945.wav", "duration": 13.53, "text": "In the third quarter, we have been actively evaluating other potential opportunities in our pipeline, but remain highly selective and focused on accretive acquisitions that adhere to our selection criteria."}, {"path": "tedlium_2946.wav", "duration": 13.53, "text": "I think it's hard to quantify that, given the amount of volatility we've seen in oil, that the second half of the year is still yet to be seen in terms of what we would buy now and when it will come through our economics. But we're pretty optimistic"}, {"path": "tedlium_2947.wav", "duration": 13.53, "text": "Right now, you're just saying that there've been previous promotion practices, I guess, that were not less than ideal in terms of their payback and so you're not chasing that business any longer."}, {"path": "tedlium_2948.wav", "duration": 13.53, "text": "We are being strategic about what we add. Acquisitions don't have to be large, but they must meet our criteria for high-margin businesses that strengthen our product and technology portfolios,"}, {"path": "tedlium_2949.wav", "duration": 13.53, "text": "across that Phase-1 footprint. A number of those vendors are modular service providers today. And so on 2 dimensions coming out of that work, one is just our competitive value prop and, to Gary's comments,"}, {"path": "tedlium_2950.wav", "duration": 13.53, "text": "Please note that information reported on this call speaks only as of today, November 2, 2018, and therefore, you are advised that time-sensitive information may no longer be accurate at the time of any replay listening or transcript reading."}, {"path": "tedlium_2951.wav", "duration": 13.53, "text": "We could easily turn in better financial results this year by not spending on product design and development expertise in consumer brands, we're not launching Well Worn or investing in our digital assets and capabilities for the future."}, {"path": "tedlium_2952.wav", "duration": 13.53, "text": "will compress our margin expansion in 2016, but we are confident that we will be able to leverage our growth and enhanced infrastructure to drive greater margin expansion over the longer term."}, {"path": "tedlium_2953.wav", "duration": 13.53, "text": "there's been a lot of noise in it over the last, say, 1 year, 1.5 years, if you think about the interruption we've had in several of our assortments. So we're kind of seeing that return to normal, if you will."}, {"path": "tedlium_2954.wav", "duration": 13.53, "text": "The sale of these 3 suburban hotels reflect a continuation of our capital recycling strategy as well as the strong interest from foreign capital and local real estate investors in stabilized select service assets in the best suburban markets."}, {"path": "tedlium_2955.wav", "duration": 13.53, "text": "better trends with respect to government-pay patients, which is the change in patient mix we saw, particularly starting in the first quarter last year, although it continued throughout the year. So we're seeing"}, {"path": "tedlium_2956.wav", "duration": 13.53, "text": "Let me start with Vyxeos. We were pleased to see demand accelerate in the fourth quarter driven by continued growth in key academic institutions, as well as higher-than-expected early adoption in select community hospitals."}, {"path": "tedlium_2957.wav", "duration": 13.53, "text": "And as a result, we raised our oil guidance. But what we haven't seen is the corresponding increase in GOR, which is why we did not raise our BOE forecasts until we see where that shakes out."}, {"path": "tedlium_2958.wav", "duration": 13.53, "text": "Through our established land and expand account management approach, we continue to grow our relationships and revenues with our existing customers. As Tim mentioned, we've seen a change in the landscape in the type of customers we have."}, {"path": "tedlium_2959.wav", "duration": 13.53, "text": "The improved company performance is explained mainly by significant improvements in the operation of the -- most businesses, but mainly bank businesses in Chile and in retail in Peru."}, {"path": "tedlium_2960.wav", "duration": 13.53, "text": "The well has only been flowing for about 2 weeks and it's still in the cleanup process. We're excited with the results and believe it demonstrates favorable economics for the 2nd Bone Spring Sand on our acreage."}, {"path": "tedlium_2961.wav", "duration": 13.53, "text": "promote within our own stores, that directly impacts our wholesale business. And in many cases, they'll price match us, which just exasperates all the promotions that are going on out there."}, {"path": "tedlium_2962.wav", "duration": 13.53, "text": "net new business. I would say one of the things -- we've never had a lot of losses, but I would even say this year, our losses are less than they were on the last few years on a run rate, which is"}, {"path": "tedlium_2963.wav", "duration": 13.53, "text": "And they don't like to adjust their expectations lower as interest rates rise because they feel like the economy is doing better, so my real estate should be doing better, too. And it's a very bond-like instrument that ultimately is falling in value as interest rates rise."}, {"path": "tedlium_2964.wav", "duration": 13.53, "text": "This improves our access to capital markets and has facilitated a revised bank facility, lowering our cost of debt and positioning the group well for the future."}, {"path": "tedlium_2965.wav", "duration": 13.53, "text": "and will contribute to future margins, as Chris mentioned. Finally, our work focused on customer value -- or on creating customer value through deeper relationships continues to build out the foundation for personalization, a major priority."}, {"path": "tedlium_2966.wav", "duration": 13.53, "text": "that one would think the performance should get better as the year goes on. If you look out past a couple of quarters, the biggest driver there, Ryan, being the growth rate. Obviously, to the extent the growth rate is higher, that's going to move us further up"}, {"path": "tedlium_2967.wav", "duration": 13.53, "text": "Our middle market results were tempered, as we shared with you at the investor conference and last quarter. And that really related to how competitors chose to address the reintroduction of the health insurers tax at the employer customer level."}, {"path": "tedlium_2968.wav", "duration": 13.53, "text": "with existing products. And as you know, we also have new products, which are likely going to help us kick start growth later in 2019 and '20. So both the short term and long term are turning more positive there."}, {"path": "tedlium_2969.wav", "duration": 13.53, "text": "of Canadian Tire, what does One Company, One Customer look like from a customer perspective, ex-years down the road when you get where you want to be? Because you have to start thinking like the customer. I'm sure you're already doing that."}, {"path": "tedlium_2970.wav", "duration": 13.53, "text": "All of these activities are now supported by a robust set of KPIs to monitor and drive improvements at our ongoing new product development effectiveness. We've taken a significant step forward in appointing our Group Head of Engineering to lead these efforts."}, {"path": "tedlium_2971.wav", "duration": 13.53, "text": "Moving to Slide 12. Overall, our outlook for 2018 is unchanged. We expect improving demand for aerospace applications throughout the rest of the year as destocking begins to moderate."}, {"path": "tedlium_2972.wav", "duration": 13.53, "text": "We continued to add business development resources to support this business growth. In fact, we are probably the only storage company to recruit and hire executives from traditional logistics businesses such as FedEx."}, {"path": "tedlium_2973.wav", "duration": 13.53, "text": "as well as exercising either its buyout or its termination options that are provided for under the lease, and we've not received notification from Arc or Zenith regarding exercising either the buyout or termination option."}, {"path": "tedlium_2974.wav", "duration": 13.53, "text": "incentive plan for the company. I know it weighed a little bit and operating income this quarter, but going forward, are there new targets that we should we be looking at, that we could expect any impact in the next few quarters or further out?"}, {"path": "tedlium_2975.wav", "duration": 13.5, "text": "We also saw another visible pickup in momentum compared to an already strong Q2. Sales of Mavenclad and Bavencio continued to rise, and our opportunity in General Medicine franchises grew yet again strongly."}, {"path": "tedlium_2976.wav", "duration": 13.5, "text": "We regret what has happened and we speedily implemented measures so as to solve the security issues back in December as well as in January. As a result,"}, {"path": "tedlium_2977.wav", "duration": 13.5, "text": "followed shortly thereafter by our 10-Q for Q1 fiscal '17. We will then be current with our required SEC filings and compliant with listing requirements of NASDAQ."}, {"path": "tedlium_2978.wav", "duration": 13.5, "text": "financial culture. And I think that the company and my teams are proud of that. At the same time, when we went through the strategy work, I also realized"}, {"path": "tedlium_2979.wav", "duration": 13.5, "text": "three, the net interest margin to expand modestly as we benefit from rising short-term rates and our asset sensitivity position, especially now that The Wall Street Journal prime rate and the WSFS prime rate are aligned."}, {"path": "tedlium_2980.wav", "duration": 13.5, "text": "We have also introduced something that we call category reset, where we work through the assortment to optimize the customer offer as well as how it is merchandised in the store."}, {"path": "tedlium_2981.wav", "duration": 13.5, "text": "I am happy to report continued expansion which will ultimately help our customers gain access to discounted prescriptions through our local hospital relationships. Finally,"}, {"path": "tedlium_2982.wav", "duration": 13.5, "text": "And the adoption of product there has consistently -- even in light of that favored the home team product or the proprietary product."}, {"path": "tedlium_2983.wav", "duration": 13.5, "text": "We're continuously enhancing the experience. Adding video capabilities, notification badges and other features will continue to make the experience even better and keep members engaged longer."}, {"path": "tedlium_2984.wav", "duration": 13.5, "text": "While contract investment is included in our investment spending estimate, under the new revenue standard, contract investment will be included in our cash flow statement going forward under the heading Cash from Operating Activities"}, {"path": "tedlium_2985.wav", "duration": 13.5, "text": "We designed Part 1 of the trial to exceed the drug trough levels that we expect to be necessary to effectively manage the disease, and we succeeded in doing this with a daily dose of 350 milligrams."}, {"path": "tedlium_2986.wav", "duration": 13.5, "text": "I consider that a conservative accrual. My experience in doing business with hospital systems is they do pay their bills. It takes time to contract with these complex volume organizations."}, {"path": "tedlium_2987.wav", "duration": 13.5, "text": "First, on the new clients, could you just tell us a little bit more about who are those sort of new clients? Are they generally coming from the ad tech ecosystem? Are they smaller players? And then second, with current clients or current partners,"}, {"path": "tedlium_2988.wav", "duration": 13.5, "text": "I also believe that our infill unit development strategy will allow us to continue to build a solid bench and better support efficient brand-building locations in our maturing markets."}, {"path": "tedlium_2989.wav", "duration": 13.5, "text": "In the future, we may not be able to get some raw materials or we will experience shortage of them. Internally, we always say that you cannot expect raw material prices to go down."}, {"path": "tedlium_2990.wav", "duration": 13.5, "text": "Finally I articulated a preliminary plan for increasing our exposure to network-dense UDCs in a way that wouldn't alter the risk profile of our business."}, {"path": "tedlium_2991.wav", "duration": 13.5, "text": "In addition to the impairment charges related to our generics reporting unit, we also had impairment charges related to our international pharmaceutical segment driven by a change in the expected future cash flows from those respective reporting units."}, {"path": "tedlium_2992.wav", "duration": 13.5, "text": "No severe or serious adverse events have occurred in the PHYOX trial and there have been no clinically significant changes in electrocardiography, vital signs, and lab or hematology values."}, {"path": "tedlium_2993.wav", "duration": 13.5, "text": "And that's really job 1. But as we start to bring things like our new acquisition on the analytics space to the table, which enables our clients to not just report"}, {"path": "tedlium_2994.wav", "duration": 13.5, "text": "As the graph shows, our business growth has outpaced that of the overall market since 2014, thanks to customer support for our products and especially for Choco Monaka Jumbo."}, {"path": "tedlium_2995.wav", "duration": 13.5, "text": "But ultimately, there are folks that are sitting on the sidelines that would like to use Persona but are waiting for a Revision System. So not just the importance of launching Revision, but it's also getting some of the folks on the sideline into the Persona game."}, {"path": "tedlium_2996.wav", "duration": 13.5, "text": "And then when you look at this capacity coming online, how much is already spoken for in terms of your visibility on demand? How quickly will these get these facilities ramped up?"}, {"path": "tedlium_2997.wav", "duration": 13.5, "text": "a little bit. There's actually a name in there called Gehl Foods that we actually underwrote the junior piece of and actually have since exited. So I think there's a little more noise in the number rather than there is sort of any"}, {"path": "tedlium_2998.wav", "duration": 13.5, "text": "So admittedly, it's not easy to see because of a number of moving parts. The fourth quarter, as I'll explain to you and Randy will explain to you, we think was a good one for MB. I was quite pleased with it."}, {"path": "tedlium_2999.wav", "duration": 13.5, "text": "As always, we remain committed to delivering safe, clean, reliable and affordable electricity to our customers, including finding ways to incorporate renewable energy technology into our portfolio. So thank you for your time today, and be safe."}, {"path": "tedlium_3000.wav", "duration": 13.5, "text": "Furthermore, the performance of the distressed loan portfolio was also impacted by lower-than-expected home prices for certain loans in the portfolio, as well as a reduction"}, {"path": "tedlium_3001.wav", "duration": 13.5, "text": "The start-ups are an important component of our organic growth this year. I think that as you go forward and you look into future years, I think you would see a better operating income margin than you see this year because of those start-ups."}, {"path": "tedlium_3002.wav", "duration": 13.5, "text": "and we've now allowed all of our applications to flow through that. So whether it's our Commerce Cloud, our Sales Cloud or our Service Cloud, they're all augmented now through Einstein. And I guess, one of the major"}, {"path": "tedlium_3003.wav", "duration": 13.5, "text": "Be assured that as we grow in China, we will not deviate from the culture and values that have built the Starbucks brand and resulted in Starbucks today being recognized as one of the most successful global brands"}, {"path": "tedlium_3004.wav", "duration": 13.5, "text": "In addition to delivering our goals in fiscal '16, we also returned our global giants to growth and achieved a significant improvement in the performance of our scotch and beer portfolios."}, {"path": "tedlium_3005.wav", "duration": 13.5, "text": "with more investors. While we have done well over the last 12 months to reduce our debt level and manage working capital downwards, I would like to mention that the working capital increase over the year due to the scheduled turnarounds that I've mentioned."}, {"path": "tedlium_3006.wav", "duration": 13.5, "text": "and strong sales margins from price increases implemented late last year as well as benefits from low contained metal costs. We also continued to achieve improved underlying manufacturing cost efficiency."}, {"path": "tedlium_3007.wav", "duration": 13.5, "text": "I highlighted the importance against that backdrop of strong sales and operational execution, and that sentiment remains true. We have, along those lines, continued to make progress on our key strategic initiatives."}, {"path": "tedlium_3008.wav", "duration": 13.5, "text": "For example, we have revised our schedule to match aircraft availability for retrofit program, and we expect to make up volume that slipped in the quarter from supplier issues"}, {"path": "tedlium_3009.wav", "duration": 13.5, "text": "We should note that this is not a result of Ferro losing market share to competitors, but a result of certain product campaigns at the customer level, having ended or moved out of the ramp-up phase."}, {"path": "tedlium_3010.wav", "duration": 13.5, "text": "A prominent feature in the growth of retail deposits is our Win Flushing program, which focuses on increasing our deposit market share in the Asian community in Flushing, Queens."}, {"path": "tedlium_3011.wav", "duration": 13.5, "text": "You all have demonstrated courage, leadership and compassion under extremely trying conditions. Not only did you help our airline get back online, but also, and more important, you were all there for each other and for our customers."}, {"path": "tedlium_3012.wav", "duration": 13.5, "text": "We also maintained our intense focus on new product introductions and efforts to develop distribution throughout the year. As a result, the year-over-year decline in activations in shipments of standby generators were much better relative to the overall decline in power outage severity."}, {"path": "tedlium_3013.wav", "duration": 13.5, "text": "our overall insurance earnings were affected by the catastrophic event related to the Kynsna fires in June, as well as other significant weather-related claims, including the Western Cape storms."}, {"path": "tedlium_3014.wav", "duration": 13.5, "text": "Despite this, geographic and product diversification, including from our acquisitions, Venmo monetization and our growing APAC business allowed us to continue to deliver solid revenue growth."}, {"path": "tedlium_3015.wav", "duration": 13.5, "text": "Let me remind you our reserves do not incorporate any future improvement in morbidity or mortality, and we have a conservative approach to the level of rate increases assumed."}, {"path": "tedlium_3016.wav", "duration": 13.5, "text": "and drive further efficiencies. In our Power segment, our transformers improvement plan remains on track and we continue to take costs out of our power generation business to align with market demand."}, {"path": "tedlium_3017.wav", "duration": 13.5, "text": "patients on the system and really push the payers to recognize the product out there. So we don't anticipate it as a long-term program, but that's not to say, like many in this space, you wouldn't bring it back once in a while."}, {"path": "tedlium_3018.wav", "duration": 13.5, "text": "an overestimation of our forecasting skills at this point. But I think that as we look ahead to the next couple of quarters, I would anticipate that we will be in this range. I do continue to think that we've got operating leverage opportunity,"}, {"path": "tedlium_3019.wav", "duration": 13.5, "text": "passenger car and also those in goods movement, I think this being sustainable fuels and sustainable technologies, I think we're just at the beginning of what's going to be a very long"}, {"path": "tedlium_3020.wav", "duration": 13.5, "text": "gaming and hospitality, healthcare, higher ed, this is just an example of our diversified company. So we're seeing an overall increase and strength in the market throughout the country."}, {"path": "tedlium_3021.wav", "duration": 13.5, "text": "that combated our efforts to manage margins, we believe our managers were able to produce very respectable results. We're also happy to see a positive quarter in terms of net attrition, where results were the best in several years."}, {"path": "tedlium_3022.wav", "duration": 13.5, "text": "Our comments today will contain forward-looking statements within the meaning of the federal securities laws and these statements are subject to a number of risks and uncertainties that could cause actual results to be materially different from those forward-looking statements,"}, {"path": "tedlium_3023.wav", "duration": 13.5, "text": "growth as quickly as possible. And to me, it goes without saying that we will be successful simply because we will be coordinating resources on target segments that we've already identified"}, {"path": "tedlium_3024.wav", "duration": 13.5, "text": "that seasonality will improve things. But with that additional capacity that we've installed ourselves at Bulyanhulu and with the new infrastructure that the government is hoping to deliver"}, {"path": "tedlium_3025.wav", "duration": 13.5, "text": "We see this charge as a discrete item arising from a contract dispute and not indicative of ongoing operations. Accordingly, this adjustment or this charge, if you will, was excluded from our adjusted results."}, {"path": "tedlium_3026.wav", "duration": 13.5, "text": "In the long run, we want to maintain a solid financial profile, and at the same time, providing attractive dividends and further invest in promising growth project as well as acquisition."}, {"path": "tedlium_3027.wav", "duration": 13.5, "text": "we do watch the stock price, and we do think that it would be a good arbitrage for us to consider something like that. So let me just say that it's certainly on our radar. And I hope to be able to"}, {"path": "tedlium_3028.wav", "duration": 13.5, "text": "If you have any further questions, feel free to contact me directly. This concludes today's call. Thank you."}, {"path": "tedlium_3029.wav", "duration": 13.5, "text": "Over the past few weeks, I have participated in introductory meetings with 2 Fortune 50 prospect companies. In each of these meetings, we were meeting with C-level executives who were hearing our story for the first time."}, {"path": "tedlium_3030.wav", "duration": 13.47, "text": "We expect services revenue for the year to be relatively flat to last year as we enable existing customers to be self-sufficient, leverage our SI partners and as maintenance revenue associated with legacy products continues to decline."}, {"path": "tedlium_3031.wav", "duration": 13.47, "text": "quite impressively, in this very short period of time was leading the development around the new avec concept that I will talk about in a minute."}, {"path": "tedlium_3032.wav", "duration": 13.47, "text": "I think the biggest gating item right now is our ability to hire -- identify, hire and train the Mako specialists, who are critical to ensuring that, not just the surgeon, but his entire OR staff is prepared to have a really successful"}, {"path": "tedlium_3033.wav", "duration": 13.47, "text": "In terms of our sponsor, Landmark Dividend, it continues to make significant improvements in its back-office resource allocation and process enhancements, all of which have contributed to higher acquisition activity."}, {"path": "tedlium_3034.wav", "duration": 13.47, "text": "So for sure, yes. Part of the comparison between this year and last year will be a thing of reclassification, but then some part of will also be a consequence of an improvement in the quality of the"}, {"path": "tedlium_3035.wav", "duration": 13.47, "text": "Today -- literally today, we signed a contract with one of the most successful grocery retailers in the world who does everything internally. Everything."}, {"path": "tedlium_3036.wav", "duration": 13.47, "text": "Despite efforts made by our Outdoor Retailer team to mitigate the effect of the political situation, over recent weeks, it has become clear that the adverse impact on the revenues of the summer 2017 show will likely be more"}, {"path": "tedlium_3037.wav", "duration": 13.47, "text": "and the ongoing propelled pivotal study support our strategy to advance AT-GAA as quickly as possible with the potential to become the new standard of care for people living with Pompe disease."}, {"path": "tedlium_3038.wav", "duration": 13.47, "text": "This is the third year we are holding our full year results on the last day of February on Global Rare Disease Day, a true reflection of our dual mission of making a positive and meaningful impact for people living with rare"}, {"path": "tedlium_3039.wav", "duration": 13.47, "text": "As I think about the rest of the year, I'm excited about the opportunity that lies ahead. We are experiencing significant momentum. Our teams are exceptionally busy, and I'm optimistic about the power of our global network coming together"}, {"path": "tedlium_3040.wav", "duration": 13.47, "text": "First, weather is a critical component of our success and profitability, and must remain an important focus for our team, regardless of what aspirations we have for the growth and development of our company. For a second year in a row,"}, {"path": "tedlium_3041.wav", "duration": 13.47, "text": "Things like artificial intelligence and the data economy are going to drive a structurally larger semiconductor industry as the demand for those devices to fuel those trends increases over time."}, {"path": "tedlium_3042.wav", "duration": 13.47, "text": "in May. I will loosely follow the content starting on Slide 4. This quarter's narrative remains more or less the same as those of the last year, emphasizing strength across both businesses and regions."}, {"path": "tedlium_3043.wav", "duration": 13.47, "text": "Just a couple of final thoughts on numbers. While quarterly results are important, I consciously look at our last 12 months results as a signal of the company's strength and it helps guide my thoughts in the direction we are heading."}, {"path": "tedlium_3044.wav", "duration": 13.47, "text": "This quarter represented another substantial step in the journey of improving our operations and margins at Perceptron. Our customer metrics of bookings, revenue and backlog were all very strong."}, {"path": "tedlium_3045.wav", "duration": 13.47, "text": "And then, finally, in terms of Trump's policies, is it still your view that the rhetoric or the -- or what he's talking about won't prove any disruptive threat to your business?"}, {"path": "tedlium_3046.wav", "duration": 13.47, "text": "but money is difficult to move. And these days, investors are careful enough that even if they know the portfolio manager, they don't always subscribe at the first meeting. It takes a while to move money."}, {"path": "tedlium_3047.wav", "duration": 13.47, "text": "We believe we offer the best products in our markets providing simple, fast access to good quality credit for people and small businesses who have limited savings and who frequently do not qualify for bank programs."}, {"path": "tedlium_3048.wav", "duration": 13.47, "text": "services to provide and there are other industries there that people feel comfortable and that generates more interest. And we're kind of in the sweet spot right now where people are seeing and liking what they see in Idaho. I think"}, {"path": "tedlium_3049.wav", "duration": 13.47, "text": "Our objective with the ENTYCE launch was to leverage the experience that we gained in launching NOCITA and GALLIPRANT. And we are pleased to report this morning that we believe we have achieved initial success on that objective."}, {"path": "tedlium_3050.wav", "duration": 13.47, "text": "Absent reversal by the Ninth Circuit, PGE's claim against the surety will be tried in 2 phases. The first phase will be -- will determine whether PGE's termination of the contractor was appropriate"}, {"path": "tedlium_3051.wav", "duration": 13.47, "text": "We also have a slide presentation that accompanies today's call, which is available to participants on the webcast. If you are not accessing the webcast or if you'd just like to get a separate copy of the presentation,"}, {"path": "tedlium_3052.wav", "duration": 13.47, "text": "Because of our disclosure of certain risk factors inherent to the situation, we've seen negative impacts to our business. We cannot yet quantify this impact, but it has created issues with certain vendors and customers."}, {"path": "tedlium_3053.wav", "duration": 13.47, "text": "Now we don't expect to sustain the NIM at this level going forward, and in fact, largely due to purchase accounting, we'll continue to experience some ongoing NIM pressure, although at a declining rate compared to last year."}, {"path": "tedlium_3054.wav", "duration": 13.47, "text": "the point program actually we are still working on the detailed design of the rate plan so we cannot comment whether the points are included or not, at this point of time, sorry. My second question is about"}, {"path": "tedlium_3055.wav", "duration": 13.47, "text": "such as document processing, data collection and analysis, and customer support centers, can help states meet the administrative and managed care oversight responsibilities, which are also included in the new rules."}, {"path": "tedlium_3056.wav", "duration": 13.47, "text": "And so we have to listen more to them and be providing what they want to buy, because we really have a unique value proposition in how we serve our clients in the project space and, in particular,"}, {"path": "tedlium_3057.wav", "duration": 13.47, "text": "Just a short personal word before I start to say how pleased I am to be talking to you today and to be talking to the market generally, something which I haven't been doing for quite a few years"}, {"path": "tedlium_3058.wav", "duration": 13.47, "text": "This was primarily due to our increase in operating margin this quarter, along with benefiting from a gain on translation of our U.S. dollar denominated debt, offsetting an increase in our amortization expense compared to the same quarter last year."}, {"path": "tedlium_3059.wav", "duration": 13.47, "text": "In particular, I'd like to recognize our team members who endured the hurricanes at our hub in Miami and other airports in Florida, Puerto Rico and the Caribbean, as well as those in Mexico City who endured a devastating earthquake."}, {"path": "tedlium_3060.wav", "duration": 13.47, "text": "But really, mix plays a really big part as we look at the mix of our sales both geographically as well as service revenues. So service revenues, as it continues to grow and be a big part of our business,"}, {"path": "tedlium_3061.wav", "duration": 13.47, "text": "that there was caution on the part of a lot of U.S. companies, particularly in pharma, and some of the industrial businesses really weighting some of the regulation and policy and tax changes that came later in the year."}, {"path": "tedlium_3062.wav", "duration": 13.47, "text": "We have undertaken an initiative to enhance our cash generation, primarily through improvements to working capital management. This is one example of how the investments that we are making, that I mentioned earlier, will lead to more efficient processes."}, {"path": "tedlium_3063.wav", "duration": 13.47, "text": "equity in financial services institutions or other banks does come with higher capital reserving charge. And so you would have to leverage that business"}, {"path": "tedlium_3064.wav", "duration": 13.47, "text": "And with our seasonally stronger second half, operating cash flows and the lower capital expenditure, the group expects to generate significant net free cash flow during the half."}, {"path": "tedlium_3065.wav", "duration": 13.47, "text": "but then the other line sort of popped a little bit sequentially. So you look out into the second half of this year, maybe longer term, do you still think you can drive some operating leverage? And maybe is the way to think about on the incremental margin, just trying to get a sense of"}, {"path": "tedlium_3066.wav", "duration": 13.47, "text": "I'd say some of these opportunities would give us the opportunity to deploy more capital in and a lot of them -- we have a lot of excess capital, we're generating a lot of cash. So"}, {"path": "tedlium_3067.wav", "duration": 13.47, "text": "some more meaningful contribution in the third quarter, and we just don't see that, and we think that, that's been pushed out to the fourth quarter. But as you can see, rigs are certainly being put under contract"}, {"path": "tedlium_3068.wav", "duration": 13.47, "text": "We've previously disclosed that we plan to launch the confirmatory trial by the end of this calendar year or the beginning of next year. And while we still intend to have a partner on board before trial launch,"}, {"path": "tedlium_3069.wav", "duration": 13.47, "text": "limited in our willingness to invest resources behind trying to grow it right now, because we don't want to create demand we can't fill, right? That's not fair to our customers and patients."}, {"path": "tedlium_3070.wav", "duration": 13.47, "text": "Now looking ahead, commodity cost increases will remain relatively low in the first half of 2018, but we do expect the level of commodity cost increases to rise again in the second half of this year."}, {"path": "tedlium_3071.wav", "duration": 13.47, "text": "with a strong balance sheet and the flexibility to manage our cash and take advantage of exploration success and other opportunities, which become available. The refinancing of our exit notes in June"}, {"path": "tedlium_3072.wav", "duration": 13.47, "text": "can get through some of these initiatives that they've been advocating for. But as you've seen, like we, it's very uncertain in terms of whether or not you're going to get kind of the type of bipartisan support that you need and"}, {"path": "tedlium_3073.wav", "duration": 13.47, "text": "Keep in mind, we have a network of engineered team that starts every day proactively engineering our network, tailoring solutions designed to minimize the number of empty miles we occur."}, {"path": "tedlium_3074.wav", "duration": 13.47, "text": "And why did we need to focus on stability first? Well, at the end of the day, it's our customers. This is critical piece of their infrastructure. So if we don't deliver and don't perform, their network is going to suffer."}, {"path": "tedlium_3075.wav", "duration": 13.47, "text": "and addressing the 2 main factors of growth for the future market that are the management of new-generation content and cloud services. These are the drivers that support the business anchors mentioned before."}, {"path": "tedlium_3076.wav", "duration": 13.47, "text": "And it's a very small part of the number at the moment, but it's doing better than we thought it would. And there's a possibility that it can be really additive in the future. So I think the key is for us is just to stay the course."}, {"path": "tedlium_3077.wav", "duration": 13.47, "text": "The gains on financial instruments reflect changes in the fair value of our interest rate swap, the prepayment options on our senior notes and the embedded derivatives on our term loan facility."}, {"path": "tedlium_3078.wav", "duration": 13.47, "text": "shock absorbers that has really helped us in bad times. The philosophical point to argue here is we are still going to manage the company under the assumption that there will be very difficult times again. I've heard"}, {"path": "tedlium_3079.wav", "duration": 13.47, "text": "Doing so will enhance our strong liquidity profile even further by freeing up assets and extending the duration of our maturities. We believe these efforts will lead to continued improvement in our credit rating."}, {"path": "tedlium_3080.wav", "duration": 13.47, "text": "We're also seeing excess supply pressure as slow economic growth is not sufficient to absorb the large amount of capacity that's been built in a number of products, especially in China for Chemical Intermediates."}, {"path": "tedlium_3081.wav", "duration": 13.47, "text": "momentum. So whether it's the next-generation platforms that we just talked about or the mid-market migrations or the acquisitions that we just talked about or progress on the Service Alignment Initiative or the voluntary early retirement program,"}, {"path": "tedlium_3082.wav", "duration": 13.47, "text": "Alleviating labor and capacity constraints continues to be a high priority for us in alignment with our growing market sectors, and we continue to look to successfully implement initiatives to drive operating synergies and efficiencies consistent with best practices,"}, {"path": "tedlium_3083.wav", "duration": 13.47, "text": "a client may have other concerns in their Medicare line of business, where they choose to put a pause or a temporary halt on increasing the audits."}, {"path": "tedlium_3084.wav", "duration": 13.47, "text": "appetite to work more with HMS, is that coming from an aggregation of accounts to a single vendor? Is it looking at new areas for cost control? Or is it really turning over work that"}, {"path": "tedlium_3085.wav", "duration": 13.44, "text": "We are aggressively adopting hyper-convergent solutions to our customers that give us the ability to take multiple business applications, run them in our cloud,"}, {"path": "tedlium_3086.wav", "duration": 13.44, "text": "their strategy and a whole bunch of other things that companies do, and I think the human capital equation is what's really, over the last couple of quarters, beginning to come through in that growth agenda for these companies."}, {"path": "tedlium_3087.wav", "duration": 13.44, "text": "which tripled from the additions we had in Q2. Perhaps, more impressive was that this was accomplished on lower absolute marketing spend during the quarter, which means that we substantially reduced our cost of member acquisition."}, {"path": "tedlium_3088.wav", "duration": 13.44, "text": "with our solutions, making progress towards a purchasing decision consistently requires more education and time than we anticipated when we began this new initiative."}, {"path": "tedlium_3089.wav", "duration": 13.44, "text": "But again, it's going to be based on a disciplined return on invested capital approach as opposed to just putting them out there and not getting the kind of return that we all want to have from our assets."}, {"path": "tedlium_3090.wav", "duration": 13.44, "text": "partly in response to that increase in demand, we put together a consortium of Lloyd syndicates to help bring relevant capacity to the European market as it continues to develop."}, {"path": "tedlium_3091.wav", "duration": 13.44, "text": "That's encouraging, but it's got a long way to go would be our view. So we think that fundamentally keeps kind of a weaker outlook when you think about the product and the crude spread and the crack margin on the business, so."}, {"path": "tedlium_3092.wav", "duration": 13.44, "text": "We are also cognizant of our operating costs and look for ways to reallocate resources that are in the best interest of our students, as evident by our process reengineering efforts in the third quarter."}, {"path": "tedlium_3093.wav", "duration": 13.44, "text": "What they say they want consistently in our market research and public forums and surveys presented at medical conferences like the one at Allergy College Meeting a couple of weeks ago, is they want a normal life."}, {"path": "tedlium_3094.wav", "duration": 13.44, "text": "The increase in the margins is really going to come from the fact that this is more of a fixed cost structure where we currently are for the remainder of 2017 and"}, {"path": "tedlium_3095.wav", "duration": 13.44, "text": "range of motion, stability, discharge to rehab and patient satisfaction. We expect to begin to see some of the data at key orthopaedic conferences starting in 2018 and beyond as we track these patients over time."}, {"path": "tedlium_3096.wav", "duration": 13.44, "text": "then no matter what the scale of your operation is, there is always room for further development. Another thing is you are not doing it alone. You have brothers and sisters. You have your parents."}, {"path": "tedlium_3097.wav", "duration": 13.44, "text": "qualification runs. And as we've said before, those will be part of any submission and will be part of the discussions that we have with regulators over time. We haven't given specifics about when exactly we'll start and complete those runs."}, {"path": "tedlium_3098.wav", "duration": 13.44, "text": "seems like kind of a tough quarter. I mean, does this highlight to you the need to get bigger in the business or have a steadier supply? Or does it -- I guess, I'm going to keep it open ended. Does this kind of -- does the performance you've seen in that business change at all"}, {"path": "tedlium_3099.wav", "duration": 13.44, "text": "The second goal was to make investments to build out our fee income lines of business to ensure that we had a balanced and diversified stream of revenue that would be sustainable at any point in an economic cycle."}, {"path": "tedlium_3100.wav", "duration": 13.44, "text": "And during that time frame, we did not take as much price increase to compensate for the lost value to the company from the currency because we take price increases with inflation. But over time,"}, {"path": "tedlium_3101.wav", "duration": 13.44, "text": "Where might you see the recovery first? Either again looking at your order book or just theoretically, where might you see the first green shoot, be it power gen, industrials, or infrastructure you think?"}, {"path": "tedlium_3102.wav", "duration": 13.44, "text": "A good example of this is that while our Newcastle facility built a number of projects in the first half and contributed quite well to the first half earnings, the facility is now temporarily between projects,"}, {"path": "tedlium_3103.wav", "duration": 13.44, "text": "Under the new rules, the company now reports uncollectible balances associated with patient responsibility as a reduction in net revenues, when historically these amounts were classified as bad debt expense within selling, general and administrative expenses."}, {"path": "tedlium_3104.wav", "duration": 13.44, "text": "Thank you, Brad, and let me add my thanks for joining the call today. I will go through an overview of the financial results and provide some added color on what we see taking place within the market for PPAs. For"}, {"path": "tedlium_3105.wav", "duration": 13.44, "text": "my expectation with some innovation that you have coming online would be that from that kind of 1% base growth level that we could see that"}, {"path": "tedlium_3106.wav", "duration": 13.44, "text": "would allow us to improve operational efficiencies for our customer, enhance customer service and provide our customers with knowledge and information to make better energy usage decisions, including assessing the true value of private solar generation."}, {"path": "tedlium_3107.wav", "duration": 13.44, "text": "And it means we need the right partners to help us get there and do it in the profitable way. And so that's where Silver Lake comes in. That's where LinkedIn comes in. As you know, LinkedIn is part of Microsoft,"}, {"path": "tedlium_3108.wav", "duration": 13.44, "text": "press comments on the declining of the projects, we see that because they are comparing the full plan of previous years to a smaller plan that is"}, {"path": "tedlium_3109.wav", "duration": 13.44, "text": "We will deploy narrow-body aircraft with a capability of middle-distance operation to increase our options for route destinations, which will enable us to capture a wider range of inbound and leisure demand."}, {"path": "tedlium_3110.wav", "duration": 13.44, "text": "On the cost side, we are starting to see sign of our efficiency initiatives. We continue to stabilize OpEx this year and prepare for a gradual reduction next year."}, {"path": "tedlium_3111.wav", "duration": 13.44, "text": "I'll talk about the Bluestem Brands performance in a moment. The lower Capmark performance reflects timing on the liquidation of our remaining commercial real estate assets and the fact that there are fewer remaining assets in which to liquidate."}, {"path": "tedlium_3112.wav", "duration": 13.44, "text": "defend its market position because they are maybe seeing that you're increasing your offering in this niche market, and they are maybe cutting prices a little bit to trying to keep you out of the business?"}, {"path": "tedlium_3113.wav", "duration": 13.44, "text": "The value proposition was in place and it was an easy decision to commercialize this service in a scalable manner. Yesterday, we announced Central Maine Healthcare selected Revenue Capture Solutions for their revenue integrity needs."}, {"path": "tedlium_3114.wav", "duration": 13.44, "text": "In the meantime, we are focused on a number of product and distribution initiatives. And while we continue to face near-term sales challenges, we remain optimistic on the longer-term prospects for Annuities as the need for retirement income products"}, {"path": "tedlium_3115.wav", "duration": 13.44, "text": "the next chapter in this I think is seeing some of the upfront pieces, how do we then keep building out the program with a value prop like the partnership with Husky for example and then really building out kind of some great engagement strategies to really help"}, {"path": "tedlium_3116.wav", "duration": 13.44, "text": "Our management team, sales force, and the entire Sientra organization are laser focused to ensure our transition from this precision control launch to full supply"}, {"path": "tedlium_3117.wav", "duration": 13.44, "text": "MUSCLE MILK ready-to-drink protein beverages performed well, especially in the food, drug and mass channels. Our MUSCLE MILK powder business was softer this quarter, which is in line with the category dynamics."}, {"path": "tedlium_3118.wav", "duration": 13.44, "text": "an interesting format with -- as loyalty programs go, it's an interesting one where you have a segment of it is nonpaid and another segment is paid with different benefits for each. And so you can imagine, we look at that all the time and go,"}, {"path": "tedlium_3119.wav", "duration": 13.44, "text": "In the third quarter, we completed our annual unlocking. The comments that management makes on the call today will focus on operating financial results, excluding unlocking. And with that, I'll turn it over to Jim."}, {"path": "tedlium_3120.wav", "duration": 13.44, "text": "showed that the logic for the net worth sweep was at least, in large part, due to wanting to prevent the companies from recapitalizing themselves when they become profitable and ultimately,"}, {"path": "tedlium_3121.wav", "duration": 13.44, "text": "and then we have a negative impact of a couple of million from the depreciation of the pounds. The acquisition I mentioned before is delivering above expectations and have been well integrated."}, {"path": "tedlium_3122.wav", "duration": 13.44, "text": "We are very pleased with our second quarter financial results. Overall, we continued to drive top line growth in our primary-focused product lines of residential data and business services."}, {"path": "tedlium_3123.wav", "duration": 13.44, "text": "to facilitate or support that, so it would make it more achievable and reasonable at a patient cost perspective. And we do anticipate it will be much more effective in moving folks through at that point."}, {"path": "tedlium_3124.wav", "duration": 13.44, "text": "Our Paychex Insurance Agency was named to the Business Insurance magazine's list of best places to work in insurance for the very first time. This is a notable recognition and I'm very proud of the agency employees and the growth we've seen in the insurance business."}, {"path": "tedlium_3125.wav", "duration": 13.44, "text": "as much, I think, to this scale, and have done it very thoughtfully over the years. I think as we look at the business, we've got clients with staffing companies that I think are great opportunities for the funding side of the business for them."}, {"path": "tedlium_3126.wav", "duration": 13.44, "text": "I'll start my comments today with a deeper dive into our operating results and then expand on Neil's comments on our second quarter's transactional activity and how it affects our financial position as well as our full year outlook and guidance."}, {"path": "tedlium_3127.wav", "duration": 13.44, "text": "We have corrected these legacy warranty issues, which is reflected in the higher margins of the past few quarters, as our accrual for future warranty expenses is more in line with expectations when we acquired the business."}, {"path": "tedlium_3128.wav", "duration": 13.44, "text": "Would your view be then when gross to net is expanding or high that it enables your economics? Or do you think it's -- or do you think you hold those economics no matter the environment?"}, {"path": "tedlium_3129.wav", "duration": 13.44, "text": "at Shoals in the quarter. Could you maybe talk to if a specific car type, if there is a line change over that maybe was part of the problem here? Or is it just a function of"}, {"path": "tedlium_3130.wav", "duration": 13.44, "text": "And this has been an ongoing issue. We've tried sending letters, we've made phone calls, but for whatever reason, people get into the process of doing these and just don't continue. So"}, {"path": "tedlium_3131.wav", "duration": 13.44, "text": "Going forward, we'd expect really more of the same of that, where we see more sales going through the dealers that we have as opposed to an expansion of the number of dealers."}, {"path": "tedlium_3132.wav", "duration": 13.44, "text": "You sort of alluded to that, but do you want to give me some more detail on that? I know we've been looking at it for ages. Do you feel that there is -- one of the more recent problems was the cost"}, {"path": "tedlium_3133.wav", "duration": 13.44, "text": "With WaferEtch, our flexible process offers cost advantages versus incumbent technologies. WaferEtch also promises substantial cost savings for the TSV Reveal process"}, {"path": "tedlium_3134.wav", "duration": 13.44, "text": "a good portion of our CapEx investment has been made over the last couple of years and again, plan for this year to continue that momentum and continue to optimize productivity"}, {"path": "tedlium_3135.wav", "duration": 13.44, "text": "A material portion of the remaining land purchases relate to initial payments on some strategic acquisitions that we made in Sydney, Melbourne and Perth, which all are an investment for our future."}, {"path": "tedlium_3136.wav", "duration": 13.44, "text": "Well, we don't want to take it all at once. We only want to use what we need for the given quarter. In this particular time frame, we got 2 different guys to agree to spread it out just the way we want it."}, {"path": "tedlium_3137.wav", "duration": 13.44, "text": "to strengthen the stability of our liabilities, allowing us to strategically develop our origination capacity while maintaining ample liquidity at all times. I am very satisfied"}, {"path": "tedlium_3138.wav", "duration": 13.44, "text": "some of the benefits may stretch out into the first quarter of '18 and as we build out and then transfer to that facility. But I don't see any substantial charges related to"}, {"path": "tedlium_3139.wav", "duration": 13.44, "text": "We have all contributed, you have all contributed, and hopefully, many of you will continue to make your mark going forward. AGI needs you all to pull with us to create what is truly possible."}, {"path": "tedlium_3140.wav", "duration": 13.44, "text": "could you give us a sense in terms of breaking out the state growth just as you did for Texas, but focusing on the L.A. market versus Northern and the San Diego market in terms of what is driving real demand in the market,"}, {"path": "tedlium_3141.wav", "duration": 13.44, "text": "In addition to growing our core diagnostic business, we closed our acquisition of Transition Therapeutics, announced our entry into the companion animal health, market with the formation of a specialty business unit,"}, {"path": "tedlium_3142.wav", "duration": 13.44, "text": "of -- it's so easy to make a mistake in your billing practices. And so it's very important to us to be very strong in having a good record with the payers in that regard and Jane will help us immensely."}, {"path": "tedlium_3143.wav", "duration": 13.44, "text": "over the first quarter of last year. The increase was driven primarily by the Microbial Solutions business, and the Avian business also had a good quarter. Microbial Solutions first quarter growth rate was moderately"}, {"path": "tedlium_3144.wav", "duration": 13.44, "text": "now as we do bigger-scale studies, they continue to show dramatic improvement in retention and engagement. That's caught the attention of the marketing community. Teads is one of the larger"}, {"path": "tedlium_3145.wav", "duration": 13.44, "text": "increases, they were related to increase in chemicals and fuels, and there is an important variation regarding exchange rate in chemicals and fiber"}, {"path": "tedlium_3146.wav", "duration": 13.44, "text": "So as compared to the prior owners' expense model, we have reduced station operating expenses on these new stations while simultaneously driving brand and revenue growth."}, {"path": "tedlium_3147.wav", "duration": 13.44, "text": "in the call, but I think we may fall short. It's a very interesting thing for us to listen to all of the market and prognostication that is going on"}, {"path": "tedlium_3148.wav", "duration": 13.44, "text": "And as we said in the third quarter, we saw probably about a few percentage points in sequential drop in expenses, and that sort of trend continued into the fourth quarter."}, {"path": "tedlium_3149.wav", "duration": 13.44, "text": "But if you just look at all the other acquisitions that we're doing, they're coming in at lower margins than our existing business. That's fine. I mean, there isn't anything wrong with that. I still think they have a great specialty margin starting point"}, {"path": "tedlium_3150.wav", "duration": 13.4399375, "text": "while we saw early snowfall above last year's levels in November, which contributed to our top line strength during the month, this was partially offset by limited snowfall in our northern markets in December"}, {"path": "tedlium_3151.wav", "duration": 13.4100625, "text": "Please be reminded that today's discussion may contain forward-looking statements as defined in the Private Securities Litigation Reform Act. These statements are based on currently available information as of the date of such statements are subject to risks"}, {"path": "tedlium_3152.wav", "duration": 13.4100625, "text": "We believe the scheme has been rushed into place with limited consultation, so it will invariably raise issues in its application. Most immediately, the issue is whether the range of flexible services"}, {"path": "tedlium_3153.wav", "duration": 13.41, "text": "In response to this quarter, we took proactive action to exit the manufacture and sale of optical subassemblies. Consistent with our overall goal of providing high-margin analog and photonic semiconductor components,"}, {"path": "tedlium_3154.wav", "duration": 13.41, "text": "In closing. This team continues to make progress in this radical transformation of iPass, proving that our simple strategy Unlimited, Everywhere and Invisible is working."}, {"path": "tedlium_3155.wav", "duration": 13.41, "text": "This improvement also allows our distribution partners to be more responsive to their customers, providing them rapid assurance of effective and competitive coverage. And as we know the first to quote is often the one to buy. In"}, {"path": "tedlium_3156.wav", "duration": 13.41, "text": "that's where kind of the virtual capacity really builds outside of Pivotal. But just to be clear, from a subscription sales cycle, the SI partners are really helping accelerate consumption of the software and expansion"}, {"path": "tedlium_3157.wav", "duration": 13.41, "text": "Additionally, we think any rise in interest rates points to the expectations of higher economic growth and the rising incomes, both of which will be supportive of the home prices and fundamental collateral performance."}, {"path": "tedlium_3158.wav", "duration": 13.41, "text": "in technical capabilities. The key one, as I already said in the beginning, is this is the enabler already now but in the future even more in connecting with the consumer throughout the consumer journey."}, {"path": "tedlium_3159.wav", "duration": 13.41, "text": "As I said before, it will be in our multi-metal range. The main target is to create additional value. So for us to find in our flow sheet extensions that"}, {"path": "tedlium_3160.wav", "duration": 13.41, "text": "We are constantly exploring new ways to maximize the great potential of this company, and in doing so, we have identified several opportunities for growth, one of which is to garner more revenue from the professional services."}, {"path": "tedlium_3161.wav", "duration": 13.41, "text": "I'm really curious, I think the thing that surprised us the most during the quarter, during the first quarter, was the volatility around Agency MBS. I would've thought that in a"}, {"path": "tedlium_3162.wav", "duration": 13.41, "text": "As John has said, he will take you through the key components of the group result with a focus on our operating earnings and provide some insight into the market conditions across our managed business units."}, {"path": "tedlium_3163.wav", "duration": 13.41, "text": "We accomplished all of this while rolling out the new system to our customers and employees. The end of the year found us restating our financials due to a formula error in our net revenue recognition estimation process."}, {"path": "tedlium_3164.wav", "duration": 13.41, "text": "I'd re-ask you the question that with volatile tax rates, we don't see C-Corps going through an exercise of wondering if they should convert back to partnerships. And I think that"}, {"path": "tedlium_3165.wav", "duration": 13.41, "text": "in the first quarter 2018. While this consolidation impacted and will continue to impact our results in the near term, we're extremely proud of the year overall."}, {"path": "tedlium_3166.wav", "duration": 13.41, "text": "The pulp market appears well positioned for the remainder of the first quarter and into the standard spring maintenance period in Q2. We continue to be cautious around incremental pulp supply, but are encouraged by good demand from most regions."}, {"path": "tedlium_3167.wav", "duration": 13.41, "text": "you had the impairments. You also made up for a large part in your gross inflows regarding, okay, the loss of the single premiums in the first quarter. So I assume you had quite"}, {"path": "tedlium_3168.wav", "duration": 13.41, "text": "of the conference call with questions and answers, chaired by Chairman Lo. You can ask questions by raising your hand or by writing them down."}, {"path": "tedlium_3169.wav", "duration": 13.41, "text": "We do not undertake any obligation to update or release any revisions to any forward-looking statement or to report any future events or circumstances or to reflect the occurrence of unanticipated events, except as required by law."}, {"path": "tedlium_3170.wav", "duration": 13.41, "text": "changing the way you think about pricing? Is that something that you might change going forward where you'll be pricing more in line with FX moves as opposed to waiting for sort of the inflation to catch up?"}, {"path": "tedlium_3171.wav", "duration": 13.41, "text": "Our cash is being invested to secure 2 new facilities in Asia and Southeast Asia. These facilities will start to come online at the end of our fiscal 2019 first quarter or in about 9 months from now."}, {"path": "tedlium_3172.wav", "duration": 13.41, "text": "With that, I'll turn it back to Dan. Thank you, Dave. In closing, we are well on our way in implementing our strategy and are excited by the opportunities to grow our core business."}, {"path": "tedlium_3173.wav", "duration": 13.41, "text": "to talk about what are their growth plans, where do they want to go, how do they want to go and how we can better serve them. And there have been times that they've asked us to go places where we've looked at them and said we have no real"}, {"path": "tedlium_3174.wav", "duration": 13.41, "text": "We wanted more production ready for that early winter rally that we saw. But then of course I suppose we would have been shutting some of those volumes in because then in later October, we saw gas prices collapse again."}, {"path": "tedlium_3175.wav", "duration": 13.41, "text": "beginning to be hired in sort of first part of November and coming on fully online into December with training. So again, not a fully loaded cost in the quarter."}, {"path": "tedlium_3176.wav", "duration": 13.41, "text": "is actually very good for us. In America, we've actually seen the market pick up a little bit. And there are signs in Europe, with the increase in the milk prices now again and related butter prices,"}, {"path": "tedlium_3177.wav", "duration": 13.41, "text": "Our results for the quarter reflect strong top and bottom line performance in the segments, along with benefits from favorable exchange gains and a lower tax rate versus the prior year."}, {"path": "tedlium_3178.wav", "duration": 13.41, "text": "However, that could be offset slightly by the fact that our royalty rate is going up as we ramp a larger presence in the Roundup Ready 2 Xtend profile as well as Intacta acres in Latin America. And"}, {"path": "tedlium_3179.wav", "duration": 13.41, "text": "Anybody who sees the numbers in these financial results can see it's going to happen, and we could not be more excited. So we're incredibly proud of another quarter of remarkable growth. Of course, none of this will be possible without the partnership and dedication"}, {"path": "tedlium_3180.wav", "duration": 13.41, "text": "In Kenya, we are investing in our distributors' sales capability, with training and support, to improve their efficiency and increase our trade coverage. Our results clearly demonstrate the impact."}, {"path": "tedlium_3181.wav", "duration": 13.41, "text": "the higher salaries and bonuses paid to many of our employees and also contemplates the effect of the December 2017 increase in the fed funds rate, although it does not assume any further increases in net or other benchmark interest rates."}, {"path": "tedlium_3182.wav", "duration": 13.41, "text": "This new system will allow for better controlled data basing of our content rights as well as enabling us to speed up the delivery of massive volumes of content to digital and OTT platforms worldwide."}, {"path": "tedlium_3183.wav", "duration": 13.41, "text": "It's the second such settlement we've announced this year. Last quarter, we highlighted the Kentucky Public Service Commission's approval of rate increases for our Kentucky utilities following a successful settlement in those proceedings."}, {"path": "tedlium_3184.wav", "duration": 13.41, "text": "As with prior quarters, we hosted a call in Mandarin after the close of the Taiwan Stock Market a few hours ago. This is part of the company's ongoing efforts to broaden investor and analyst following in the domestic Asia market, given the full Taiwan listing."}, {"path": "tedlium_3185.wav", "duration": 13.41, "text": "ATLAS found many other neoantigens that were not predicted and, importantly, also showed that some antigens were inhibitory, potentially shutting off a patient's immune response."}, {"path": "tedlium_3186.wav", "duration": 13.41, "text": "which would point to margin expansion. So can you just generally comment on whether that directionally is what you're seeing in the market as well?"}, {"path": "tedlium_3187.wav", "duration": 13.41, "text": "the highest level of knockdown that the GalXC system is capable of and then certainly in the animal models, it's capable of essentially complete silencing. So we're very hopeful to have a very strong response here."}, {"path": "tedlium_3188.wav", "duration": 13.41, "text": "That project, you can now see more of the light at the end of the tunnel than we have for some time. The hearings are formally set for the end of June through about 30 days, so the latter part of July."}, {"path": "tedlium_3189.wav", "duration": 13.41, "text": "Turning to our revised guidance for the year. As I have described, the slow start to 2016 was the result of a combination of factors in 3 platforms, which led directly"}, {"path": "tedlium_3190.wav", "duration": 13.41, "text": "The fact that we've got as many people focused on improving their business and taking costs out and getting up to the type of green performance ratings that I would consider world-class is very encouraging to me."}, {"path": "tedlium_3191.wav", "duration": 13.41, "text": "However, I think the industry overall sees that the raw material decline environment is coming to an end, and there are already some signs of sales price stabilization."}, {"path": "tedlium_3192.wav", "duration": 13.41, "text": "between our competitive position and our customer response, making sure that it's a net positive impact. So in the near term, particularly in 2016, the bulk of the -- of our strategic actions are -- will continue to be focused"}, {"path": "tedlium_3193.wav", "duration": 13.41, "text": "capital levels, asset quality and efficiency. So very, very exciting for our whole team to cap a year of hard work and seeing the results of that work. So at this point, I'm going to turn the call over to Mark to go deeper into the financials."}, {"path": "tedlium_3194.wav", "duration": 13.41, "text": "While the consumer tissue market continues to be highly competitive, we expect already announced price increases on our brands and our away-from-home products to alleviate some of the impact of these rising costs in the second half of the year."}, {"path": "tedlium_3195.wav", "duration": 13.41, "text": "outlook as you look to the back half of '18. Maybe if you can frame it as to how much pricing you would think you'd need to hold the margin flat? Or do you even think you have pricing power here to take if you wanted to offset some of the labor?"}, {"path": "tedlium_3196.wav", "duration": 13.41, "text": "Just a couple of highlights then from the first half on a number of those points you see on Slide 14. Our Malvern PANalytical business there on the top left"}, {"path": "tedlium_3197.wav", "duration": 13.41, "text": "similar to what you were sending earlier. And beyond that, there is a 25% duty on whatever comes in. So there is a protection available in EU. And at this point in time, because the domestic markets in both India and China have been strong,"}, {"path": "tedlium_3198.wav", "duration": 13.41, "text": "But I think that, that becomes the big thing is to be diversified within the business units as well as to have diversification from business unit to business unit that any certain"}, {"path": "tedlium_3199.wav", "duration": 13.41, "text": "During the first quarter, our biggest OpEx benefits in Timberlands came from initiatives related to logging and hauling efficiencies in our Southern operations as well as our continued marketing and bucking for value improvement efforts."}, {"path": "tedlium_3200.wav", "duration": 13.41, "text": "On the product front, Gannett has been leading the industry. Technologies and delivery systems focused on mobile, video, virtual reality and others are key target areas for us."}, {"path": "tedlium_3201.wav", "duration": 13.41, "text": "Even before the news of the pipeline, we were seeing encouraging employment data in all of our markets. Since our last conference call in October, the unemployment rate has declined in all 3 states that we operate in"}, {"path": "tedlium_3202.wav", "duration": 13.41, "text": "regulatory information, but there's no conditions to complete this transaction that are regulatory-based other than the court approval of the arrangement agreement after the shareholders vote."}, {"path": "tedlium_3203.wav", "duration": 13.41, "text": "And so on parallel tracks, we've also continued to enhance our prospect site, coupled with further refining how we speak to and connect with our audience through all channels to communicate in a more human and refreshing way."}, {"path": "tedlium_3204.wav", "duration": 13.41, "text": "that would save us so much time in the AML trial because we're not getting all the negative data from these very ill patients and the risk of having to expand out those dose levels there."}, {"path": "tedlium_3205.wav", "duration": 13.41, "text": "we will repeat there is not a transformational acquisition around the corner in '17. It is more the bolt-on smaller type thing we have in the pipeline."}, {"path": "tedlium_3206.wav", "duration": 13.41, "text": "to help us model does it, in some way, relate to what's going on in the market, either in terms of market strength or weakness or high volatility or low volatility and turns out there aren't great"}, {"path": "tedlium_3207.wav", "duration": 13.41, "text": "These attributes, combined with efforts to expand strategic partnerships and address growing demand for healthcare education should help us to reach our institutional goals and support of our collective interest in advancing America's workforce."}, {"path": "tedlium_3208.wav", "duration": 13.41, "text": "minimally maintain margins. And probably more than likely be able to continue to enhance them. So we feel pretty good about the environment and where we are with our rail partners at this point."}, {"path": "tedlium_3209.wav", "duration": 13.41, "text": "Because of that, there's not a lot of visibility on the figures and on the remuneration because they are not listed on the stock exchange and there is not a lot of publications on the company."}, {"path": "tedlium_3210.wav", "duration": 13.41, "text": "I do think the maturity of the crop, if you look to year-over-year, is further advanced. So there may be some opportunity in terms of when these guys get in the field"}, {"path": "tedlium_3211.wav", "duration": 13.41, "text": "Got it. Last thing, you talked earlier about not being able to pass through some of this aluminum and steel cost, if it should happen. Is there any kind of math that we can think about in terms of sensitivity,"}, {"path": "tedlium_3212.wav", "duration": 13.41, "text": "win rate or continued penetration looks good. So I feel pretty good about -- on that front, the number of net new customers we're adding. We're continuing to look for areas in the future where we can add payments capability to more of the portfolio."}, {"path": "tedlium_3213.wav", "duration": 13.41, "text": "I see this as a really big opportunity for Blackbaud and a really big opportunity for the customer to improve their operations and a lot of operating problems and challenges in the space."}, {"path": "tedlium_3214.wav", "duration": 13.41, "text": "We are also focused on making the necessary investments in the business to support our long-term growth objectives and taking steps to put us in the financial position to do so with our recently announced rights offering, which we commenced today."}, {"path": "tedlium_3215.wav", "duration": 13.41, "text": "which flow through to the rest of the income statement. We believe that these inventory controls were the right decision, effectively trading higher COGS for improved cash flows,"}, {"path": "tedlium_3216.wav", "duration": 13.41, "text": "there's a different return profile per se that would be material between one asset and another. It is about the various different risks that apply to"}, {"path": "tedlium_3217.wav", "duration": 13.41, "text": "We are moving forward with the retirement of the plants. We have already notified PJM of our intent to retire Quad Cities and will inform MISO in the beginning of December if the legislation does not pass."}, {"path": "tedlium_3218.wav", "duration": 13.41, "text": "There's -- they may not be eligible for syndication for size, structural or other reasons. They may want more flexible lender. And so I think they tend to probably run a little less quickly to refinance."}, {"path": "tedlium_3219.wav", "duration": 13.41, "text": "So again, we feel really good about not only our base position, but the expansion opportunities that we have seen this quarter and the ones that we're working on currently and see additional opportunities."}, {"path": "tedlium_3220.wav", "duration": 13.41, "text": "We are working diligently to further develop our services across the commodity chain, including natural gas, natural gas liquids and crude oil, and working to expand our range of midstream services within each commodity."}, {"path": "tedlium_3221.wav", "duration": 13.41, "text": "magnitude of the sales effort in trying to save the Morpheus business and how much of the momentum in the other products came out. Because what we're taking, when we look at our dialysis view and our port view for the second half of the year,"}, {"path": "tedlium_3222.wav", "duration": 13.41, "text": "new international concourse at Fort Lauderdale and then the launch of new international flights from Fort Lauderdale, and that included the new destinations on our route network, which was Grand Cayman."}, {"path": "tedlium_3223.wav", "duration": 13.41, "text": "the airplanes safe, but they do that by slowing things down more and more and more. And of course, for air traffic controllers to use the old technology that they're forced to use is very, very cumbersome."}, {"path": "tedlium_3224.wav", "duration": 13.41, "text": "Second, we're strengthening our consumer communication to be more clear about the value of the Valvoline brand compared to other offerings. Some of this new messaging has begun to roll out and will continue to build through the year."}, {"path": "tedlium_3225.wav", "duration": 13.41, "text": "This means that whilst all of Gas Distribution is deconsolidated from continuing operations in the current year, we will report a 39% share of profits from the associates in continuing operations next year."}, {"path": "tedlium_3226.wav", "duration": 13.41, "text": "These expectations are highly dependent on market conditions, on the general economic performance of the country, of the industry, and of international market, therefore, they are subject to change."}, {"path": "tedlium_3227.wav", "duration": 13.41, "text": "In addition to our focus on working capital management through lean initiatives, our CapEx was significantly reduced with our capacity expansion phase virtually completed in 2016. As a result,"}, {"path": "tedlium_3228.wav", "duration": 13.41, "text": "in the third? So far what we know and what I also mentioned is we expect still a shutdown of this big customer in the beginning of the fourth quarter. We do not know whether they'd start and come back"}, {"path": "tedlium_3229.wav", "duration": 13.41, "text": "and increasing our share repurchases in the second half of '16 and into '17. As I look beyond '16, we are well positioned for growth as these short-term challenges recede and our strong growth drivers continue."}, {"path": "tedlium_3230.wav", "duration": 13.41, "text": "perspective and you look at how sort of key item intensive the business has become and reliant on some of those key selling period promotions to drive key items, how do you see that evolving"}, {"path": "tedlium_3231.wav", "duration": 13.41, "text": "which is optimally located close to the Permian Basin and Eagle Ford Shale. NextDecade is led by an experienced team with a proven track record of successful LNG project development and marketing,"}, {"path": "tedlium_3232.wav", "duration": 13.41, "text": "As you will see throughout the rest of the call, I think we are already off to a great start. Q1 was a very good quarter financially and also a quarter with exciting events."}, {"path": "tedlium_3233.wav", "duration": 13.41, "text": "Net income in 2018 is expected to increase modestly compared with this year, as the benefit of the increase in revenues are expected to be mostly offset by the cost to implement these initiatives and the incremental public company costs"}, {"path": "tedlium_3234.wav", "duration": 13.41, "text": "taking a broader picture and longer term horizon, looking at the competitiveness and also the overall profitability of the company, and whether this is something that is sustainable and can be improved over a longer period of time"}, {"path": "tedlium_3235.wav", "duration": 13.41, "text": "Before we begin, keep in mind our discussions will contain predictions, expectations and forward-looking statements. Actual results in the future may be materially different than those discussed here."}, {"path": "tedlium_3236.wav", "duration": 13.41, "text": "We currently expect first half commercial revenue to be consistent with our full year growth projection in the range of 18% to 20%. But also anticipate that incremental growth will be heavily concentrated in the second half of this year,"}, {"path": "tedlium_3237.wav", "duration": 13.41, "text": "As discussed on our last quarter call, the decline in professional service revenue in the first quarter was due to the lower in-home services related to commercial launch of a product -- a project for one of our larger customers."}, {"path": "tedlium_3238.wav", "duration": 13.41, "text": "In a couple of weeks, I'll be in India for the first time since joining Visa, and I look forward to seeing firsthand the opportunity that we have in meeting with local partners, officials and our teammates in India."}, {"path": "tedlium_3239.wav", "duration": 13.4099375, "text": "Well, I think it's a bit of both of the items that you discussed and also better blocking and tackling. Ken mentioned in his comments improvements in productivity that we are seeing. Americas operating margin"}, {"path": "tedlium_3240.wav", "duration": 13.4099375, "text": "And in fact, inside the tent here, I don't like us talking a lot about volume. Now I know in your space, you have to do that and will come a time where you can really measure us on that front. But it took me a long time to get that change"}, {"path": "tedlium_3241.wav", "duration": 13.38, "text": "Subscription continues to represent the most significant revenue source for Xunlei and provide us with an opportunity to invest in our growth initiatives."}, {"path": "tedlium_3242.wav", "duration": 13.38, "text": "This deal came to us as a result of an agreement to divest the business to satisfy regulatory hurdles to Valspar's merger with Sherwin-Williams. We will operate the business as a separate business unit within our Industrial end market."}, {"path": "tedlium_3243.wav", "duration": 13.38, "text": "The Energy Coal market has rebounded from the lows at the start of 2016, and the direct benefit of the recent increase in prices has been most clearly felt in Indonesia, followed also by the Australian suppliers and miners."}, {"path": "tedlium_3244.wav", "duration": 13.38, "text": "With the recent award of 5G metro and provincial deployments in Nokia Shanghai Bell and others, the last remaining pocket of the downturn caused by the China government transition looks to soon be behind us."}, {"path": "tedlium_3245.wav", "duration": 13.38, "text": "The team has done a phenomenal job on this product, and not only is it the first time in Canada that consumers can get their credit score instantly online for free but also with monthly updates to track how they're progressing and inform what drives their score all through an engaging digital experience."}, {"path": "tedlium_3246.wav", "duration": 13.38, "text": "So as the year progressed, all that we really keep are the ones that are on noncontract basis. And I think internally in many of our businesses, we look at that as a new reset point. These are"}, {"path": "tedlium_3247.wav", "duration": 13.38, "text": "That's how I described it externally but your point on the internal benefits is the important point. And as we point this team towards some of our challenges, the results,"}, {"path": "tedlium_3248.wav", "duration": 13.38, "text": "I think the first part of that, Paul, is probably easier than the second. I think there is an opportunity for increased penetration in the market. I think that is right. I think the introduction of"}, {"path": "tedlium_3249.wav", "duration": 13.38, "text": "with a response. At this point, we'd rather not make any comments about what could happen in the future because, really, we just need to wait for them to conclude their process."}, {"path": "tedlium_3250.wav", "duration": 13.38, "text": "We admiringly and respectfully refer to this project as Cubist 2. The project is well underway, and we continue to evaluate all of our strategic options for this remarkable set of important ID assets and capabilities."}, {"path": "tedlium_3251.wav", "duration": 13.38, "text": "We have also recently filed a supplemental New Drug Application with the FDA to expand the treatment age for RAPIVAB down to 2 years old, based on the data from an ongoing trial in pediatric patients."}, {"path": "tedlium_3252.wav", "duration": 13.38, "text": "For most of the other companies that we follow, it seems like reserve development is trending downward or being less favorable going forward, and I'm wondering if that's an expectation that you guys are thinking about as well?"}, {"path": "tedlium_3253.wav", "duration": 13.38, "text": "active investors, including on the institutional side. So maybe you can talk a little bit about the nature of those inflows, the types of clients they represent, what mandates those funds are going into broadly speaking."}, {"path": "tedlium_3254.wav", "duration": 13.38, "text": "correct all possible deviation and we evaluate not only looking at the average, but we look at the stores that are performing above average and stores that are not performing that well."}, {"path": "tedlium_3255.wav", "duration": 13.38, "text": "Advisory suffered in the second quarter from postponed deals. As you know, a very episodic business, performance would smooth out across the year as a number of fee events were pushed from the second into the third quarter."}, {"path": "tedlium_3256.wav", "duration": 13.38, "text": "in logic foundry. As a result, we are now very well balanced across market segments. We've built a strong portfolio of products that address major technology inflections."}, {"path": "tedlium_3257.wav", "duration": 13.38, "text": "and his leadership has been a great stabilizing force for us, and we're encouraged by the level of recruiting opportunities as we continue to invest in Atlanta. We've scheduled the systems conversion for Charter in February,"}, {"path": "tedlium_3258.wav", "duration": 13.38, "text": "We have been working to use our CapEx spend more efficiently. And with a modestly delayed ramping of traffic, there are additional opportunities to push some of that spend out of it until we get visibility of additional traffic demand."}, {"path": "tedlium_3259.wav", "duration": 13.38, "text": "Adjusted EBITDA margin in this business has grown for 6 consecutive quarters, with a quickening trend in the second half of 2017 as pricing actions and cost savings from the closure of the Algoma plant took hold."}, {"path": "tedlium_3260.wav", "duration": 13.38, "text": "So you can see that in terms of the specific amount that would be retained, we're not talking about large transactions. This is nothing that would be comparable"}, {"path": "tedlium_3261.wav", "duration": 13.38, "text": "So we're seeing less coming from the Gulf -- we believe going from the Gulf up to the harbor and with the draws, we're saying that we should get tighter. I think there was -- I think our bob got pretty tight, we heard,"}, {"path": "tedlium_3262.wav", "duration": 13.38, "text": "combined cycle units with lots of flexibility to batteries that would help us at the top of the stack around regulation and reserves. So we're trying to look at the whole gamut, but that will not play out until we issue the RFPs and"}, {"path": "tedlium_3263.wav", "duration": 13.38, "text": "quite a bit of time. And so what we've said is let's try and be really smart, do some real work to try and figure out what makes the most sense for the long term for the brand as opposed to just pick something which feels good in the moment."}, {"path": "tedlium_3264.wav", "duration": 13.38, "text": "I was -- I'm excluding the significant charges that we had in 2017 and whatever we could have in 2018 when I say that. And that excludes the reinvestment or just the additional charges?"}, {"path": "tedlium_3265.wav", "duration": 13.38, "text": "as we refined the calculation of the value of the DTA. While the transaction took longer to close than we initially estimated, we're very pleased with the economics which are slightly more favorable than what we originally announced."}, {"path": "tedlium_3266.wav", "duration": 13.38, "text": "Global Services had a 4% increase in revenue, but the gross profit was down as the mix of work in the quarter favored construction services, which is the lowest margin work in that segment."}, {"path": "tedlium_3267.wav", "duration": 13.38, "text": "and, in this case, contract year 1, which ended on February 29. These modifications included changes to certain performance benchmarks specified in the contract."}, {"path": "tedlium_3268.wav", "duration": 13.38, "text": "These large compelling and exciting categories resonate with our customers and support our strategy of adding aspirational home products that our customers can affordably finance."}, {"path": "tedlium_3269.wav", "duration": 13.38, "text": "Another reason is that reimbursement rate has changed. For these reasons, we estimated the sales growth is almost modest in China,"}, {"path": "tedlium_3270.wav", "duration": 13.38, "text": "So as I said in the prepared remarks and as you noted, it was really a change in the specifications, which kind of didn't fit exactly what our product was doing."}, {"path": "tedlium_3271.wav", "duration": 13.38, "text": "The QRT technology in the Barnwell facility continues to improve from a product and process development perspective. The paper machine is being ramped up as sales dictate to ensure good working capital management,"}, {"path": "tedlium_3272.wav", "duration": 13.38, "text": "In terms of the offsetting amounts, I would point out the resets that we had for the business plan. In terms of our business plan where we got an enhanced status for the business plan on the South West Water side,"}, {"path": "tedlium_3273.wav", "duration": 13.38, "text": "On potential tax reform. We support effective tax policy that promotes growth and investment by corporations and greater financial flexibility for individuals to enable them to save more for retirement."}, {"path": "tedlium_3274.wav", "duration": 13.38, "text": "led Molteni's successful transformation into a specialty pharmaceutical company and one that was focused on launching and commercializing innovative pharmaceutical products for the treatment of both pain and addiction."}, {"path": "tedlium_3275.wav", "duration": 13.38, "text": "after changes in working capital, and we deduct sustaining capital and interest and financing expenses -- to say it differently, these are the obligatory expenses of this company that over which we cannot exercise discretion,"}, {"path": "tedlium_3276.wav", "duration": 13.38, "text": "The stream of new innovative products, adding new points of distribution and leveraging our stable of iconic brands, is a winning model that continues to reinforce our position as the world leader in tools and storage."}, {"path": "tedlium_3277.wav", "duration": 13.38, "text": "Air Products contributed total return of minus 80 basis points for the quarter, represents -- again, the numbers I'm giving as a percentage of capital are consolidated for the whole firm. The actual numbers for the private funds are lower"}, {"path": "tedlium_3278.wav", "duration": 13.38, "text": "In addition, we saw some improvement from the lower relative negative impact of exchange on operating profit versus net sales due to our hedging program, which delays the timing of the exchange impact on profit."}, {"path": "tedlium_3279.wav", "duration": 13.38, "text": "We continue to benefit from our aggressive hedging policy and the favorable pricing of our Japanese financings, leaving us with a current interest cost fixed hedge in a small floating piece of roughly 4.4%. In"}, {"path": "tedlium_3280.wav", "duration": 13.38, "text": "so that we can operate in such a way to promote further growth of the company. In terms of our developmental strategies,"}, {"path": "tedlium_3281.wav", "duration": 13.38, "text": "While there has been a modest increase in development activity, supply remains below prior peak levels and net absorption has been healthy, which has broadly enabled the markets to remain at equilibrium."}, {"path": "tedlium_3282.wav", "duration": 13.38, "text": "addressing the problematic areas. So we feel very good about the progress that we've made in terms of the completeness and accuracy of the documentation component of our records."}, {"path": "tedlium_3283.wav", "duration": 13.38, "text": "We're serving 8 different markets with a broad portfolio of dispensing and sealing solutions across many different geographies. Our level of project dialogue with our customers across each segment"}, {"path": "tedlium_3284.wav", "duration": 13.38, "text": "to some more normal levels. I think what's hard for us to read is exactly how quickly that happens. We've had a couple of weak quarters and how many more it will be is uncertain."}, {"path": "tedlium_3285.wav", "duration": 13.38, "text": "why weren't the conversations being held with the customers to see that this was going to come? Because this feels like a really big surprise to most of us, something that maybe could have been a little bit avoided, but maybe not. I just wanted to get your thought on that."}, {"path": "tedlium_3286.wav", "duration": 13.38, "text": "We're now starting to enter a period where we're going to start lapping, and it's going to quickly move from a headwind to a tailwind almost under any normal scenario if you don't believe oil is going to"}, {"path": "tedlium_3287.wav", "duration": 13.38, "text": "Can you just talk to kind of how you get to that point? Is it because the company's at a point now where you feel like you're ready to make -- can take on a transaction like that? Does it make a statement about what you think"}, {"path": "tedlium_3288.wav", "duration": 13.38, "text": "And here, it's clearly an area where we need to intensify our cost-out activities as well as migrating work from high-cost countries into low-cost countries."}, {"path": "tedlium_3289.wav", "duration": 13.38, "text": "The underlying trading operating profit margin is expected to improve further in the second half of the year, driven by more favorable commodity prices and further benefits of efficiency programs."}, {"path": "tedlium_3290.wav", "duration": 13.38, "text": "That's the initiatives I just spoke of in my review of Salix. We have not taken price increases in our medical derm portfolio, so almost the entirety of the improvement in net pricing came from reduced rebates on copay assistance cards,"}, {"path": "tedlium_3291.wav", "duration": 13.38, "text": "do social traffic management. For that, we do it on a monthly basis so as soon as we sell the product in itself, we have recurring revenues of let's say 2 to 3 years. That's why the order book"}, {"path": "tedlium_3292.wav", "duration": 13.38, "text": "You probably can tell also that Optum is in pretty strong position right now and is performing exceptionally well. That was always the time period that we look to, to make these kinds of transitions."}, {"path": "tedlium_3293.wav", "duration": 13.38, "text": "at the same time. And the final thing was that just as we have created a revenue center around our equity capabilities, our internal equity capabilities,"}, {"path": "tedlium_3294.wav", "duration": 13.38, "text": "On the TRx demand front, the seasonal effect on new and existing patient demand from insurance plan changes and copayment resets did not have a significant an impact as we had anticipated."}, {"path": "tedlium_3295.wav", "duration": 13.38, "text": "we feel actually better. And I realize that the guidance and the discussions we had were about '19 through '21. But when you finish '18 ahead of where you thought you were going to finish, we would like to get a little bit of credit for that because what we're trying to get to is"}, {"path": "tedlium_3296.wav", "duration": 13.38, "text": "We're seeking new opportunities in the aviation business beyond Singapore and applying our capabilities, as I mentioned, to new ventures outside of aviation like the joint venture with Wilmar in China, for example."}, {"path": "tedlium_3297.wav", "duration": 13.38, "text": "This is Reliance's sweet spot as our decentralized structure allows us to respond to small quick turnaround orders. Demand for our products was in line with our expectations for the quarter,"}, {"path": "tedlium_3298.wav", "duration": 13.3500625, "text": "frankly, weren't really well understood until we got to around about the first quarter of this year and realized that we had to basically redesign these blades."}, {"path": "tedlium_3299.wav", "duration": 13.35, "text": "the lag between when those price effects actually come into effect can be several months. And therefore, what we expect to see is a little bit of a hit in that in the second quarter and then expect to make that up in the second half of the year."}, {"path": "tedlium_3300.wav", "duration": 13.35, "text": "As a reminder, we will be making forward-looking statements regarding our financial outlook in addition to regulatory and product development plans and research activities. These statements are subject to risks and uncertainties that may cause actual results to materially differ"}, {"path": "tedlium_3301.wav", "duration": 13.35, "text": "since the announcement of the transaction on March 16. I ask for your understanding that we will not go into details on the merger during today's call."}, {"path": "tedlium_3302.wav", "duration": 13.35, "text": "the trends continue from a sales and revenue management perspective, we should get there in the second half of the year. But I wouldn't say that all the risk is behind us at this point. I'm still disappointed"}, {"path": "tedlium_3303.wav", "duration": 13.35, "text": "who now includes iPass as a perk for their premium customers. Elo is off to a fast start and has already started discussions for expansion to additional cards, reaching wider audiences."}, {"path": "tedlium_3304.wav", "duration": 13.35, "text": "As already discussed earlier, the increase in export to Roche and improvement of cost of sales ratio versus sales due to change in product mix, contributed to this increase."}, {"path": "tedlium_3305.wav", "duration": 13.35, "text": "and those patients who have an inhibitor and cannot undergo prophylaxis administration may continue to be administered. But the patient access will be impacted greatly."}, {"path": "tedlium_3306.wav", "duration": 13.35, "text": "I'm very proud of what our employees do every day in our communities, volunteering their time and talent to make a difference. It will be this passion and purpose that will serve us well as we navigate through this current interest rate cycle."}, {"path": "tedlium_3307.wav", "duration": 13.35, "text": "is there, and we're able to capture it. And that, obviously, gives the confidence and the ambition to say this is worthwhile. We know how to do that. We can do this. We -- and the amount of population"}, {"path": "tedlium_3308.wav", "duration": 13.35, "text": "So what's different? A rigorous, disciplined commitment to investing in our business and our people through foundational new initiatives in merchandising and marketing. So let's begin with our efforts in merchandising."}, {"path": "tedlium_3309.wav", "duration": 13.35, "text": "Now 2017 finds us with the largest market share the company has ever had, no longer subject to Medicare pricing risk"}, {"path": "tedlium_3310.wav", "duration": 13.35, "text": "And I would note, both revenue growth and profitability got progressively stronger over the course of the year, clearly demonstrating both acceleration in the business and operating leverage in our business model."}, {"path": "tedlium_3311.wav", "duration": 13.35, "text": "Excess capital for which we do not have attractive reinvestment opportunities should always be considered for return to shareholders. Increasing our current dividend is one such path and reinitiating a share repurchase program is another."}, {"path": "tedlium_3312.wav", "duration": 13.35, "text": "The majority of second make-line orders are app and web orders but also include third party delivery orders and catering. The surge in mobile sales since relaunching our app late last year gives us confidence that our customers appreciate the great experience."}, {"path": "tedlium_3313.wav", "duration": 13.35, "text": "I would say, historically, strategic accounts do best in the second half of the year and, in particular, in the fourth quarter. And that was true again in 2017. So this is a little bit consistent"}, {"path": "tedlium_3314.wav", "duration": 13.35, "text": "So we are at that point. I cannot tell you where those transactions will fall. As somebody pointed out on the phone call, there are large transactions that sometimes get stopped right at the finish line, and it would be almost impossible"}, {"path": "tedlium_3315.wav", "duration": 13.35, "text": "I will come back to this topic later. Elsewhere, however, as this table shows, the China, Taiwan and export businesses are doing well."}, {"path": "tedlium_3316.wav", "duration": 13.35, "text": "And it took a pretty concentrated effort on the part of the team over several months to really get down to one set of harmonized product specifications. But we're really pleased with how that ultimately came together late last year."}, {"path": "tedlium_3317.wav", "duration": 13.35, "text": "and he was commenting how excited he is about the launch. He's using the product already, and he's had very good results. So I would just tell you that we remain confident and comfortable with our expectations around"}, {"path": "tedlium_3318.wav", "duration": 13.35, "text": "We anticipate that a significant portion of this adjustment will return in the second quarter, and we also anticipate improvement in our margins based on our new contracts, improved terminal pricing and our current operating strategy that Mike covered."}, {"path": "tedlium_3319.wav", "duration": 13.35, "text": "Our reporting this quarter was delayed a few days in order to finalize our results under the new 606 revenue recognition standards. While the numerical changes are relatively minor, the work required was not."}, {"path": "tedlium_3320.wav", "duration": 13.35, "text": "Growth may be a little slow in the first quarter, as the CommunityOne teams get back into production mode, but we feel very good about resuming a low double-digit growth rate during the second half of the year if not sooner."}, {"path": "tedlium_3321.wav", "duration": 13.35, "text": "as you look out, do you think there has to be something more dramatic for the group to get down to try and restore to what you think are the right profitability levels given that we've seen just a few years now of wages and freight?"}, {"path": "tedlium_3322.wav", "duration": 13.35, "text": "So that's a really great question. We want the investment community and our shareholders and our consumers to look at Gander Outdoors no differently than they look at a Camping World location."}, {"path": "tedlium_3323.wav", "duration": 13.35, "text": "none of the participants or vendors in The Work Programme really ever achieved the funding levels that had been previously envisioned due to those decreased caseloads. So the government's now shifted, and they've created a new smaller program called Work and Health"}, {"path": "tedlium_3324.wav", "duration": 13.35, "text": "And we continue to see incredible momentum with Financial Services Cloud. In Q1, we had a significant expansion with a Fortune 50 financial services firm that is clearly betting their digital transformation on us and is now one of our largest customers."}, {"path": "tedlium_3325.wav", "duration": 13.35, "text": "As a result, we expect more stable growth rates in fiscal '17. If we look at our performance by developed and emerging markets, we see a consistent performance with both growing net sales 3% this year."}, {"path": "tedlium_3326.wav", "duration": 13.35, "text": "is likely to creep to the bottom line and stay there or how much of it would you say that you are putting back in the business or ultimately going to get more competitive with."}, {"path": "tedlium_3327.wav", "duration": 13.35, "text": "The targets for apomorphine are overlapping with APTIOM customers, so we don't anticipate significant increases in spending."}, {"path": "tedlium_3328.wav", "duration": 13.35, "text": "Compared to the fourth quarter of 2016, margin expanded 21 basis points. Approximately 10 basis points of this expansion was driven by the benefit that our free funds provide in a rising rate environment."}, {"path": "tedlium_3329.wav", "duration": 13.35, "text": "and the public comment, if they stick to the schedule, will conclude actually shortly here within the next 2 or 3 weeks. And then they'll go into the final phase before they issue the permit."}, {"path": "tedlium_3330.wav", "duration": 13.35, "text": "fairly significant amount of internal machining down in Mexico that we were anticipating to outsource originally. So that, again, is a little more complex but is all the right stuff to do long term."}, {"path": "tedlium_3331.wav", "duration": 13.35, "text": "We're working hard to build something great for first responders. With the introduction of the FirstNet core, first responders finally have the network that they have been asking for and that they deserve."}, {"path": "tedlium_3332.wav", "duration": 13.35, "text": "with thousands of symptomatic patients at high risk for sepsis. As we gain critical mass, we recognize that tracking closed contracts alone does not provide the full and accurate picture of our current captive opportunity"}, {"path": "tedlium_3333.wav", "duration": 13.35, "text": "is not necessarily overly expensive, but it's not cheap to build that out. So during this period of time, we are aggressively pursuing opportunities"}, {"path": "tedlium_3334.wav", "duration": 13.35, "text": "as a result of various important factors including, but not limited to, those discussed in our Annual Report on Form 10-K which was filed on February 17, 2015, as well as other filings we make with the Securities and Exchange Commission."}, {"path": "tedlium_3335.wav", "duration": 13.35, "text": "As we have said before, we will not experience significant reduction in COGS and operating expenses from the integrations until they are in full swing by midyear. With our volume and COGS on their current trajectories and positive signs to the upside for reimbursement,"}, {"path": "tedlium_3336.wav", "duration": 13.35, "text": "assumptions and uncertainties which may be outside the company's control and our actual results and financial condition may differ materially from what is indicated in these forward-looking statements. It is important to note that any forward-looking statements made on this call"}, {"path": "tedlium_3337.wav", "duration": 13.35, "text": "of lower profit share revenue than we received last Q4. Third, our fourth quarter and full year performance is expected to drive higher incentive compensation expenses in the fourth quarter than last year's fourth quarter."}, {"path": "tedlium_3338.wav", "duration": 13.35, "text": "Finally, I would also like to point out that the impact on premiums written from the smaller market size should be partially offset by any future premium rate increases in response to the higher capital requirements as previously discussed."}, {"path": "tedlium_3339.wav", "duration": 13.35, "text": "We also took substantive actions on our simplify and streamline initiative. During Q1, we increased focus on our Rest of the World segment and exited our shopping businesses in Japan and Brazil, 2 of our top 10 countries."}, {"path": "tedlium_3340.wav", "duration": 13.35, "text": "There is a keen interest in the Envisia classifier among pulmonology specialists because of its ability to provide meaningful answers for this devastating disease to guide next steps."}, {"path": "tedlium_3341.wav", "duration": 13.35, "text": "have talked about 5 to 6 major points in relation to our future development. And these are his conclusions after looking into the Chinese market."}, {"path": "tedlium_3342.wav", "duration": 13.35, "text": "Of critical importance within the acquisition playbook is the attention to detail relating to operational and cultural aspects of activities that are essential in the integration planning and execution phases."}, {"path": "tedlium_3343.wav", "duration": 13.35, "text": "expansions of some in-situ projects. Just want to get a sense if your conversations with those producers have picked up and become more favorable over the last couple of months in terms of new volumes for your system?"}, {"path": "tedlium_3344.wav", "duration": 13.35, "text": "We believe that the allegations in the class-action complaints are without merit and we intend to defend the lawsuit vigorously. However, there can be no assurance regarding the ultimate outcome of these lawsuits."}, {"path": "tedlium_3345.wav", "duration": 13.35, "text": "These initial wells should be on production in early 2018 and will demonstrate the productivity of this area as well as help determine the most efficient sizing of our midstream facilities for future full development."}, {"path": "tedlium_3346.wav", "duration": 13.35, "text": "Is this something -- is this the dynamic as we try and model out through '19 and pass them in, does this have legs or is 35 kind of a sort of new number that we should think about as being sort of steady state?"}, {"path": "tedlium_3347.wav", "duration": 13.35, "text": "lower interest expense and a lower tax rate all contributed to the outperformance against our prior guidance for the third quarter. Turning to a review of the income statement."}, {"path": "tedlium_3348.wav", "duration": 13.35, "text": "And then my other question was just kind of, as I was going across the industry, just observing online enrollments, and for the most parts, your peers have had"}, {"path": "tedlium_3349.wav", "duration": 13.35, "text": "Our goal is to climb back to 6% to 7% EBIT margin as we continue to manage through weak and uncertain market conditions and transform the Canadian business for sustainable profitability in the long term."}, {"path": "tedlium_3350.wav", "duration": 13.35, "text": "You would really start to see kind of a reversal or a benefit of what has been a drag on cash flow over time. Is that still a good number? Or are there any changes if kind of your efficiencies and costs are coming down?"}, {"path": "tedlium_3351.wav", "duration": 13.35, "text": "Thank you, Ellen, and good morning. I'll start on Slide 4, which summarizes the progress we've made during the second quarter on our key strategic, financial and operational objectives."}, {"path": "tedlium_3352.wav", "duration": 13.35, "text": "that will contribute to strong margins as we move forward and get a little organic growth behind us. And it does appear, although difficult to predict with any certainty, that growth is stabilizing at current levels."}, {"path": "tedlium_3353.wav", "duration": 13.35, "text": "Our focus on cost enables us to expand margins, while continuing to fuel growth. In that spirit, let me take you through 2 exciting opportunities that will be important drivers going forward."}, {"path": "tedlium_3354.wav", "duration": 13.35, "text": "areas. AOA's underlying trading operating profit margin remained strong and highly accretive to the group. The decrease of 20 basis points was due to the phasing of certain cost items."}, {"path": "tedlium_3355.wav", "duration": 13.35, "text": "on top of the conventional credit cards, on July 4, we started to accept Apple Pay on our prepaid cards. We will continue to work to improve convenience for customers going forward."}, {"path": "tedlium_3356.wav", "duration": 13.35, "text": "And that rent is going to be commencing over the next 6 to 8 quarters. And it is a clear driver of what we see our NOI growth to be for this year and next year."}, {"path": "tedlium_3357.wav", "duration": 13.35, "text": "if I look now, on one side, at the potential outflows, but I also look at our pipeline and purely statistically at the number of RMs that we've been able to recruit and we'll continue to recruit this year,"}, {"path": "tedlium_3358.wav", "duration": 13.35, "text": "Most importantly, we have to keep focusing on our clients, carry forward the financial disciplines initiated in 2016, and continue to work collaboratively as we build and improve our go-to-market strategies."}, {"path": "tedlium_3359.wav", "duration": 13.35, "text": "Yes, Sanjay, so first of all, on the ABS market. The market is open and functioning very well since the start of the new year. There have been a number of transactions that have"}, {"path": "tedlium_3360.wav", "duration": 13.35, "text": "They're based on management's expectation and involve a number of business risks and uncertainties, any of which could cause actual results to differ materially from those expressed in or implied by the forward-looking statement."}, {"path": "tedlium_3361.wav", "duration": 13.32, "text": "Excellent. And can you talk about the Europe opportunity a little? I understand there are some regulations over there and that you guys might be able to take advantage of that. Can you maybe elaborate a little bit about what this new machine is?"}, {"path": "tedlium_3362.wav", "duration": 13.32, "text": "While the actual level and mix of our deployment is difficult to predict in any given quarter, Carlyle's diverse platform has the ability to source interesting opportunities across sector, strategy and region,"}, {"path": "tedlium_3363.wav", "duration": 13.32, "text": "and we are growing in these KPIs. And what will be generated through the enhancement of these 3 KPIs, it is written on the top half,"}, {"path": "tedlium_3364.wav", "duration": 13.32, "text": "a kind of a negative hit that we would have been then saying we would expect to come back to us over the future quarters. Based upon this new methodology, though, this is the way we're reporting it,"}, {"path": "tedlium_3365.wav", "duration": 13.32, "text": "we're very pleased with the sales performance. We've been transitioning a number of tenants, as I said, we bought a neighboring property and then, we're really trying to maximize the use in the center, the nature of the uses, and have been elevating the overall"}, {"path": "tedlium_3366.wav", "duration": 13.32, "text": "To your specific question about epic deals, I think what you highlighted is exactly what we're testing and trying. So you got a combination of percent-off deals, you got a combination of highlighting"}, {"path": "tedlium_3367.wav", "duration": 13.32, "text": "And launching in May, it will be focused on the power of our program and will celebrate food, family, health and fun, inspiring families and their friends around the world to be healthier."}, {"path": "tedlium_3368.wav", "duration": 13.32, "text": "we believe it's acquisitions like this that will allow us to continue to maintain the margin profile that we're talking about while continuing to grow the business. So it's added capabilities that are going to give us opportunities to quote larger pools of business."}, {"path": "tedlium_3369.wav", "duration": 13.32, "text": "Or as you said earlier, it will be more and more difficult to launch new products, and so it's more about rejuvenating existing products. Second question, you haven't talked about noodles."}, {"path": "tedlium_3370.wav", "duration": 13.32, "text": "that the company should retain its vitality. So it's very important to vitalize our workforce, our organization. That is why this is my second core mission."}, {"path": "tedlium_3371.wav", "duration": 13.32, "text": "We believe this is due to our highly targeted digital strategy and exposure to the Qsymia efficacy message on the brand website when patients are the most motivated to start a weight loss effort."}, {"path": "tedlium_3372.wav", "duration": 13.32, "text": "Our programs have worked for millions of people and the daily testimonials we receive from our customers are one of the many driving forces behind our desire to bring proven results to the millions more that are searching for weight loss solutions that work."}, {"path": "tedlium_3373.wav", "duration": 13.32, "text": "some of our competitors that aren't having quite the success we are, get aggressive on price. The good news is most enterprises are not making a decision based on price. When it comes to contact center infrastructure,"}, {"path": "tedlium_3374.wav", "duration": 13.32, "text": "I think it's important to appreciate, and we talked about infrastructure 2 years ago, and it was very important to us that we have a level of infrastructure that would support a faster growth rate."}, {"path": "tedlium_3375.wav", "duration": 13.32, "text": "now as we seek to enroll patients to really be able to see if we can extend what will be considered normal or push them into a more normal range of development. So it's a really exciting time for us to actually be able to consider"}, {"path": "tedlium_3376.wav", "duration": 13.32, "text": "Similar to prior years, we expect Distribution first quarter margins to be lower relative to subsequent quarters, in part, due to the timing of certain employee-related expense accruals that largely reverse later in the year."}, {"path": "tedlium_3377.wav", "duration": 13.32, "text": "represents our highest quarterly performance since the third quarter of 2008. This is a direct result of our continuing commitment to innovate across our product portfolio"}, {"path": "tedlium_3378.wav", "duration": 13.32, "text": "and bring that show to a new city to freshen that experience. I think that was also partially a case with the Interbike show being in Vegas for a long period of time, and it feels like they're ready for a freshened experience. So"}, {"path": "tedlium_3379.wav", "duration": 13.32, "text": "product development as really being the vehicle to take us forward. Possible exception to what I just said is maybe looking more globally. Is that work does tend to be done differently"}, {"path": "tedlium_3380.wav", "duration": 13.32, "text": "The underlying relationships that have developed between the teams is very strong and evident to everyone involved in this process, which is a testament to the commitment both companies have toward our common objectives."}, {"path": "tedlium_3381.wav", "duration": 13.32, "text": "The growth trends in distance learning since our soft launch in March 2018 are very positive, and we're certain that this trend will continue based on our ability to deliver high-quality academic programs and experience to our students."}, {"path": "tedlium_3382.wav", "duration": 13.32, "text": "Given this overarching goal, the company adopted new mission and vision statements during the third quarter. 2.0's mission, which is a statement of our purpose, is to help small businesses achieve their American dream."}, {"path": "tedlium_3383.wav", "duration": 13.32, "text": "and second, the current year treatment of the favorable tax impacts relating to stock option exercises with our tax provision, as further discussed in the footnotes to our previously filed financial statements."}, {"path": "tedlium_3384.wav", "duration": 13.32, "text": "So with retail disruption, that control of distribution system becomes even more important. But I want to tell you something. If we believe -- if we believe, and we haven't come to that conclusion at all,"}, {"path": "tedlium_3385.wav", "duration": 13.32, "text": "Once we better understand the impacts of our go-forward services strategy, we'll have clearer insight into 2018 revenue trends and will communicate that detail with you as soon as possible in the coming months."}, {"path": "tedlium_3386.wav", "duration": 13.32, "text": "While the market is very competitive, we are seeing opportunities in both small and middle-market credits due to our knowledge of the market, our nimbleness and our reputation providing certainty of execution."}, {"path": "tedlium_3387.wav", "duration": 13.32, "text": "The most significant feature in our deposit mix is that our commercial deposit structure has allowed us to maintain an average of 33% of deposits in noninterest-bearing accounts."}, {"path": "tedlium_3388.wav", "duration": 13.32, "text": "All right. As I mentioned at my opening, I want to give you some color and some detail around the puts and takes of the quarter because I know there was a lot out there, and I think it's important to be able to link back to our guidance. So we had guided"}, {"path": "tedlium_3389.wav", "duration": 13.32, "text": "trying to be much, much more clean relative to the environment, all of these have ratcheted up very, very positive discussions with quite a few of the OEMs that we interface with."}, {"path": "tedlium_3390.wav", "duration": 13.32, "text": "we may offer to our clients. So the pricing environment is very challenging, but I think it's up to us as a company to come forward with the"}, {"path": "tedlium_3391.wav", "duration": 13.32, "text": "Pricing was a little stronger than historic norms, notably as mentioned in the Industrial Control segment and combined with procurement savings more than offset the increase in material labor and overheads inflation."}, {"path": "tedlium_3392.wav", "duration": 13.32, "text": "And then obviously, it's a good marketing tool and hopefully will help with devaluation of the stock. But would you say that at the margin this move reflects an increased confidence you have in your ability to realize gains from your portfolio companies?"}, {"path": "tedlium_3393.wav", "duration": 13.32, "text": "says something about the belief of those who are closest to Ocular. We still have a few key hires to go in our technical operations and quality areas before we can truly have confidence that we are fit for the future. We expect to be making those appointments in the very near future."}, {"path": "tedlium_3394.wav", "duration": 13.32, "text": "We believe that we are in front of much more attentive market, and that we are the only company that can serve the massive challenges companies face in managing and protecting the unstructured data and file systems."}, {"path": "tedlium_3395.wav", "duration": 13.32, "text": "that those manufacturers have independently tested our batteries and that they are fully compatible with those vehicles and meets all of the interface needs as well as confirms competitive positioning."}, {"path": "tedlium_3396.wav", "duration": 13.32, "text": "at an effective price has been the cornerstone of our value proposition for clients and has clearly resonated. The disciplined investments we are making in infrastructure, both systems and personnel,"}, {"path": "tedlium_3397.wav", "duration": 13.32, "text": "I'd say we're probably looking in a similar type number on mature products. But I think one of the things that I would just mention is, is that ASPs overall with the new products in the mix that are coming"}, {"path": "tedlium_3398.wav", "duration": 13.32, "text": "These agreements follow an earlier contract, we announced in September of a binding heads of terms agreement with AREVA Inc., which will form the basis of the joint venture operating agreement."}, {"path": "tedlium_3399.wav", "duration": 13.32, "text": "Thank you, Ivan, and good morning, everyone. We have delivered another strong set of results, demonstrating continuing progress against the measures we track to deliver efficient growth and value creation."}, {"path": "tedlium_3400.wav", "duration": 13.32, "text": "As mentioned, we initiated the randomized portion of the trial based on attractive safety -- an attractive safety profile and with encouraging clinical activity observed in the safety lead-in, and recruitment is well underway."}, {"path": "tedlium_3401.wav", "duration": 13.32, "text": "Turning to Slide 10, actuals compared to guidance. Production was in line with the midpoint of guidance despite proactively shutting in production in Appalachia due to low regional natural gas prices."}, {"path": "tedlium_3402.wav", "duration": 13.32, "text": "for the global standard. These customers prioritize speed of service, in times of both time to quote a new order and the order to ship cycle as well as competitive pricing."}, {"path": "tedlium_3403.wav", "duration": 13.32, "text": "just to clarify on that, so is that anything that would be accretive and in the energy infrastructure bucket? Or would you look to leverage some sort of operational synergies from those assets, just given your other existing assets?"}, {"path": "tedlium_3404.wav", "duration": 13.32, "text": "in the third quarter of 2018, and we know significant challenges await. However, we have never been better operationally or technology positioned to help our clients to maintain and expand their existing production base."}, {"path": "tedlium_3405.wav", "duration": 13.32, "text": "Finally, our strong balance sheet gives us tremendous flexibility. Taken together, Riviera is set up for an exciting year in 2019. I will now turn the call over to Dan to discuss the upstream operations in more detail."}, {"path": "tedlium_3406.wav", "duration": 13.32, "text": "Yes. Phil, thanks. So we are not going to comment on pricing of our customers product in the market and whether that's stabilizing or not. We think it's their place to answer that part of the question."}, {"path": "tedlium_3407.wav", "duration": 13.32, "text": "These projects are progressing on schedule, and we expect to begin realizing benefits from improved efficiency and lower costs as we move through the back half of fiscal year 2019 and into the first half of next year."}, {"path": "tedlium_3408.wav", "duration": 13.32, "text": "and I keep using the word repeatable, that we can make it happen over and over again for us. And that we have the ability to know what's coming, and that our consumer then knows what's coming, and all that timing begins to align. And I think that's what'll make us a better organization."}, {"path": "tedlium_3409.wav", "duration": 13.32, "text": "We expect that this clear and consistent selling approach, coupled with our stronger merchandise strategy across good, better and best product options, will be instrumental in driving higher in-store conversion."}, {"path": "tedlium_3410.wav", "duration": 13.32, "text": "The changes we are making will help us adapt to meet the challenges and opportunities of a changing world, and we're confident that we will deliver on the targets we have set out in our 2020 plan."}, {"path": "tedlium_3411.wav", "duration": 13.32, "text": "In August, we told you that we were convinced that our shares were a bargain in light of our strong belief in our future, the quality of our stations and employees, our much stronger balance sheet and our lower cost of capital."}, {"path": "tedlium_3412.wav", "duration": 13.32, "text": "to be based around the customer. So we'll be organizing the business into based on the farm and based on commercial. And many of you will heard us talk about that theme in the past, and this is a"}, {"path": "tedlium_3413.wav", "duration": 13.32, "text": "hybrid has been very, I would say, not quick at all and not slow, but it has begun to trickle into the marine markets. And you can have diesel electric and you can have pure hybrid."}, {"path": "tedlium_3414.wav", "duration": 13.32, "text": "We have several other games slated for release over the next year. In fact, next week, we will be announcing our second game under development with Ready at Dawn. As a reminder, as the publisher,"}, {"path": "tedlium_3415.wav", "duration": 13.32, "text": "We have a great team in place, and I have confidence in our strategy to drive long-term shareholder value. With that, I'll turn it back over to Eric for questions. Eric? Thanks, Neal. Chelsea, may we have the first question, please?"}, {"path": "tedlium_3416.wav", "duration": 13.32, "text": "These positive trends were offset by unfavorable market conditions, including the significantly down markets during the fourth quarter and ongoing fee compression, which impacted our servicing fee revenues."}, {"path": "tedlium_3417.wav", "duration": 13.32, "text": "adjusted earnings that you have in your headline results. Are you moving towards a new adjusted presentational number of a ex timing number that us analysts should now start thinking about or will you still be reporting"}, {"path": "tedlium_3418.wav", "duration": 13.32, "text": "so that we may see if there is a big difference still between the net prices between China and Europe? And where do you believe that prices will stabilize after the Chinese New Year?"}, {"path": "tedlium_3419.wav", "duration": 13.32, "text": "but that is mainly due to the manufacturing expense in the first half of 2017 being a high comparator while we were manufacturing both Carticel and MACI as well as the initial MACI manufacturing learning curve."}, {"path": "tedlium_3420.wav", "duration": 13.32, "text": "In summary, we believe that our top line momentum coupled with our operating leverage have positioned us for a solid finish to the fiscal year. We look forward to reporting another full year of revenue growth, higher operating income"}, {"path": "tedlium_3421.wav", "duration": 13.32, "text": "Additionally, a special committee of the board and its independent adviser are continuing to work through the assessment of Speedway and expect to complete this review and recommendation by the end of the third quarter."}, {"path": "tedlium_3422.wav", "duration": 13.32, "text": "As we've heard from Venkat and my colleagues, we continue to make progress on our strategic objectives and have delivered a strong performance that is reflected both in our financial and operating metrics."}, {"path": "tedlium_3423.wav", "duration": 13.3199375, "text": "we continue to make changes to the experience of our users pretty much on a weekly basis. They're sometimes not easily noticeable, but they're always happening. So there isn't sort of going to be one period where we revamp"}, {"path": "tedlium_3424.wav", "duration": 13.29, "text": "We remain committed to treating every dollar of shareholder money with the utmost care and consideration. It is much easier for us to grow NAV when the expense hurdle rate is where it is today."}, {"path": "tedlium_3425.wav", "duration": 13.29, "text": "In Marsh, we launched Bluestream, a digital brokering platform initially focused on affinity and sharing economy businesses. Bluestream has the potential to be leveraged more broadly"}, {"path": "tedlium_3426.wav", "duration": 13.29, "text": "As always, the full financial statements and long form management discussion and analysis are available on our website and at the SGX website. I recommend that you read them in conjunction with this presentation."}, {"path": "tedlium_3427.wav", "duration": 13.29, "text": "Although, we have good relationships with the vast majority of our ex-employees, it is possible and perhaps even anticipated, that other baseless lawsuits might be filed by the same or different attorney in what will be of futile attempt to pressure us."}, {"path": "tedlium_3428.wav", "duration": 13.29, "text": "that we can enhance their ability to provide a quality education. And obviously, with the anticipation, we hope to be able to provide growth opportunities for them as well, especially on the online delivery format."}, {"path": "tedlium_3429.wav", "duration": 13.29, "text": "A of strategic and financial combination. So 30% of the market cap, the total market cap, was actually taken out while it doubled. So I think -- and that was a healthy way for the best companies"}, {"path": "tedlium_3430.wav", "duration": 13.29, "text": "And these are some examples of things that we are working on to be ready already for Black Friday and the Christmas trade, which is our most important commercial sales period of the year."}, {"path": "tedlium_3431.wav", "duration": 13.29, "text": "too big financial risk in kind of making it possible for us to address a segment where we already have all the needed kind of access points."}, {"path": "tedlium_3432.wav", "duration": 13.29, "text": "patients will not be required to come to a clinic or a hospital to do that. Each subject will participate for a total of 3 angioedema attacks with blinded trial therapy delivered in a randomized sequence."}, {"path": "tedlium_3433.wav", "duration": 13.29, "text": "As always, rigorous cost control throughout the organization is part of our DNA. This has been a key focus area for several years as this is one of the main reason why and how we remain competitive."}, {"path": "tedlium_3434.wav", "duration": 13.29, "text": "So we're not going into the typical early birds, that we need at least -- when it comes to medtech devices, we need at least prototypes that we can test in our clinics."}, {"path": "tedlium_3435.wav", "duration": 13.29, "text": "Banning as well. And as I said earlier, the big news is down at Pacific Highlands Ranch we're moving into our more Westerly planning areas, and we're going to have 5 new product offerings coming later this year."}, {"path": "tedlium_3436.wav", "duration": 13.29, "text": "There are no red flags, but we wish to make sure that we are in complete alignment with the agency on this pivotal study."}, {"path": "tedlium_3437.wav", "duration": 13.29, "text": "which has resulted in what could potentially -- which was previously a 10- to 15-hour tuning project to get these things back in the field has reduced that time down to less than an hour."}, {"path": "tedlium_3438.wav", "duration": 13.29, "text": "We also had the opportunity to meet with several research analysts at the conference. And as a result of our growing interest from the investment community, we have received many compliments on our positioning and progress."}, {"path": "tedlium_3439.wav", "duration": 13.29, "text": "to see significant improvement in the back half of the year. And Bearings, as we all know, historically, has been our most profitable product line. So that has a disproportionate impact as we go through the year"}, {"path": "tedlium_3440.wav", "duration": 13.29, "text": "impact on overall demand for Cornerstone. The third is we did miss a product cycle as related to learning, particularly what people are calling learning experience."}, {"path": "tedlium_3441.wav", "duration": 13.29, "text": "With that, I'd like to turn it over to Brian to discuss our 2017 fourth quarter and full year financial performance as well as our 2018 outlook in more detail."}, {"path": "tedlium_3442.wav", "duration": 13.29, "text": "This performance continues to demonstrate our ability to attract, retain and deepen our relationships with our clients. As we move to the income statement, we saw growth in both our net interest income and our noninterest income."}, {"path": "tedlium_3443.wav", "duration": 13.29, "text": "That's actually very helpful. And Ken, we keep hearing great things about your products from the channel. And I feel like everybody likes to focus on some of the other very large public companies in network security."}, {"path": "tedlium_3444.wav", "duration": 13.29, "text": "As in the first quarter, Lakeland's strategic imperatives, directed at improving our global presence and competitiveness while executing with operational effectiveness, are being executed upon with continued success."}, {"path": "tedlium_3445.wav", "duration": 13.29, "text": "It has been a true pleasure over the past 2 years working with our talented team, gaining a deep understanding of the tobacco industry as well as directly contributing to the success of our strong businesses and powerful brands."}, {"path": "tedlium_3446.wav", "duration": 13.29, "text": "The following presentation and the earnings release issued last week are also available for download on the company website. After management's remarks, there will be a question-and-answer session for analysts and investors."}, {"path": "tedlium_3447.wav", "duration": 13.29, "text": "how do you think about the mile posts that you're measuring yourself against in terms of making sure that the investments you're making are driving the revenue growth that you want, that the acquisitions are hitting the return hurdles. Just think through the process as you evaluate"}, {"path": "tedlium_3448.wav", "duration": 13.29, "text": "This minimizes the need for our customers to deploy switch resources and build out their own network. This is just one example of the way we are innovating our product set to increase the minutes of use"}, {"path": "tedlium_3449.wav", "duration": 13.29, "text": "for health information system is very strong. So just slowed down a little bit in terms of execution and deployment of those softwares into the hospitals, but the pipeline is very, very strong."}, {"path": "tedlium_3450.wav", "duration": 13.29, "text": "test to what extent customers who are more price-sensitive and more susceptible to switch carriers based on price to fight for those customers"}, {"path": "tedlium_3451.wav", "duration": 13.29, "text": "that we don't have in the second half of the year. So that's the -- sort of the most significant item that influences the timing of the cash flow beyond what we see in just the normal run rate and earnings in our business."}, {"path": "tedlium_3452.wav", "duration": 13.29, "text": "Referring to Slide 2, I'd like to make our customary statements regarding Portland General Electric's written and oral disclosures. There will be statements in this call that are not based on historical fact, and as such, constitute forward-looking statements under current law."}, {"path": "tedlium_3453.wav", "duration": 13.29, "text": "better numbers. Whenever we seem to have higher activity on the cricket, the situation will not last. Also, we haven't seen really much action from you as compared to the other broadcasters in terms of"}, {"path": "tedlium_3454.wav", "duration": 13.29, "text": "And then my last question, back on the Industrial Environmental business, I was curious if you can talk about any trends that you're seeing in April and May, because some companies are talking about markets"}, {"path": "tedlium_3455.wav", "duration": 13.29, "text": "is to appreciate that when we work with our clients, we really strive to develop a partnership. So we are very sensitive to their needs, their desired outcomes, social"}, {"path": "tedlium_3456.wav", "duration": 13.29, "text": "And then, turning to renovation activity. I know you highlighted in the disclosure about ramping up activity in Q2 and Q3. Can you give us a sense of the kind of numbers you're talking about and any particular brand focus there mid-year?"}, {"path": "tedlium_3457.wav", "duration": 13.29, "text": "Over the past year, this work has enabled us to identify the strategic steps we needed to take to better and more profitably unlock opportunities that amplify our core value drivers."}, {"path": "tedlium_3458.wav", "duration": 13.29, "text": "I assure you that Starbucks' runway in China is wide and long, and I remain absolutely convinced that China will become Starbucks' largest and most strategic market in the world."}, {"path": "tedlium_3459.wav", "duration": 13.29, "text": "compared to normal renegotiation, it's a much bigger structural change than we are used to. We also have the normal effect where we calibrate services and make changes of scope, et cetera, which always"}, {"path": "tedlium_3460.wav", "duration": 13.29, "text": "With our energized team and positive consumer confidence, we are ready to build upon our strong start in fiscal 2019 as we continue to change people's lives by connecting them with their family and friends,"}, {"path": "tedlium_3461.wav", "duration": 13.29, "text": "we have 2 points. Several large orders have been received relating to the Swine segment in our business area AgHort and Swine production"}, {"path": "tedlium_3462.wav", "duration": 13.29, "text": "from Europe to multiple ports in Latin America. Our global team was able to utilize the consolidation of freight to consider alternative freight configuration combined with competitive bidding to reduce shipping network costs."}, {"path": "tedlium_3463.wav", "duration": 13.29, "text": "we're carrying a bit less price into 2016. We do have a price action in the market today that we've talked about previously on a prior earnings call. I think we feel pretty good about our ability to realize price in the early part of this year."}, {"path": "tedlium_3464.wav", "duration": 13.29, "text": "manufacture our products and serve customer needs, given the timing of the attack, we experienced meaningful disruption in our ability to ship and invoice during the last 4 days of the quarter."}, {"path": "tedlium_3465.wav", "duration": 13.29, "text": "While seeing a continuation of our transitional status into 2016 is disappointing, we are working as best as we can to get this work done, and in the meantime to better anticipate and respond to the challenges we see externally."}, {"path": "tedlium_3466.wav", "duration": 13.29, "text": "it's a successful formula if we can go just take cost out of our products. And if I have to give a chunk of it, even half of it, to the customer to grow the top line and the bottom line, I'll go do that. So"}, {"path": "tedlium_3467.wav", "duration": 13.29, "text": "Yes, Tom. It's Mark. I've been saying, I guess, over a couple of calls now, that we anticipate that at some point, we would no longer be designated as a SIFI and that there are several ways to get there."}, {"path": "tedlium_3468.wav", "duration": 13.29, "text": "Both deals were natural adjacencies that leverage our current call points and we are starting to see the benefits as is reported in our first quarter performance that Patrick will go over in just a few minutes."}, {"path": "tedlium_3469.wav", "duration": 13.29, "text": "Please note that during our call today, we will refer to these non-GAAP results as adjusted sales and volume. I will now turn the call over to Jim Snee. Thank you, Nathan. Good morning, everyone."}, {"path": "tedlium_3470.wav", "duration": 13.29, "text": "long-term debt capacity of the commercial real estate portfolio, because that's what we are focused on and that's what we're growing right now. So I think that the metrics may be more conventionally oriented than what you are inferring."}, {"path": "tedlium_3471.wav", "duration": 13.29, "text": "it shows the second half as having the price larger than the material costs. With Power, that's really going to take until the fourth quarter for that traction to catch up, Rich. So"}, {"path": "tedlium_3472.wav", "duration": 13.29, "text": "Promised retail sales to consumers simply are not there. Self-consumption is not driven by genuine demand for the product, but it's the easiest and most convenient way for a distributor to get some benefit from the product. So basically, people are eating the product because they can't sell it."}, {"path": "tedlium_3473.wav", "duration": 13.29, "text": "The second half of 2016 will continue to be about execution across the pipeline. We look forward to presenting data on glemba at ESMO and additional programs likely at Citi and ASH."}, {"path": "tedlium_3474.wav", "duration": 13.29, "text": "We're looking at some alternatives of what we might do with those, either with the contractor or with some third parties. That is not included in our capital budget estimates for the rest of the year though, to your point. Okay."}, {"path": "tedlium_3475.wav", "duration": 13.29, "text": "from our original number of 30. We also fully expect to diversify our service base there to include information technology outsourcing with our newly hired IT subject matter experts."}, {"path": "tedlium_3476.wav", "duration": 13.29, "text": "the expected transition of the Catamaran business at the end of 2015 and into 2016, of which the primary services provided were formulary management"}, {"path": "tedlium_3477.wav", "duration": 13.29, "text": "In a recent IRENA report, they stated that turning to renewables for new power generation is not simply an environmentally-conscious decision, it is now overwhelmingly, a smart economic one."}, {"path": "tedlium_3478.wav", "duration": 13.29, "text": "The Trex brand is closely associated with the exact attributes it represents, namely highly designed outdoor-living products that retain their luster with minimal maintenance,"}, {"path": "tedlium_3479.wav", "duration": 13.29, "text": "My travels have taken me to each of our primary office and manufacturing locations around the world and have given me an opportunity to meet and speak with our diverse and talented employees. I've had the opportunity to engage with our customers,"}, {"path": "tedlium_3480.wav", "duration": 13.29, "text": "in EMS, and now, you're at 41% this quarter. So I'm trying to get a feel for what to expect going forward. Do you see this level sustainable? Or was there anything in it that might have caused it to be a little bit higher than what it normally should be?"}, {"path": "tedlium_3481.wav", "duration": 13.29, "text": "My personal feeling is the expansion has not -- has nowhere near been as robust as previous expansions. And so the length of the anemic nature of our growth,"}, {"path": "tedlium_3482.wav", "duration": 13.29, "text": "Cautionary language is also included on Slide 1 of our earnings release presentation, which we will use to go through our discussion today. That presentation is available on our website, and I encourage you to open it, if you haven't already."}, {"path": "tedlium_3483.wav", "duration": 13.29, "text": "to use energy more wisely and to be aware of the services that are out there for them to use energy more efficiently. All of that's going to be done within, if you would, a microcosm of the Ithaca area."}, {"path": "tedlium_3484.wav", "duration": 13.29, "text": "lower tax rate, and you lose the interest deduction and then the capital expenditures fully deducted, we'd still be at 8% to 10% growth. Now do we have a backlog? Yes, we probably have. I think we saw in the presentation"}, {"path": "tedlium_3485.wav", "duration": 13.29, "text": "that are causing prices to be lower? So I guess, just how are you thinking about hedging and managing your portfolio against the fact that if -- the more of these you get done, the more Generation stays around?"}, {"path": "tedlium_3486.wav", "duration": 13.29, "text": "are really fantastic and unique. So it's just a very attractive position now and longer term. Finally, we'd underscore that the recent improvement is really driven by private demand."}, {"path": "tedlium_3487.wav", "duration": 13.29, "text": "important ones. And then the last piece of what we've been working on -- I don't know if we chatted too much about it. But we're also looking at really, what I would call, I guess, integrated planning across the company."}, {"path": "tedlium_3488.wav", "duration": 13.29, "text": "We attribute the first quarter operating margin decline largely to timing, and believe the margin will improve sequentially in the second quarter. We will provide further details on the operating margin shortly."}, {"path": "tedlium_3489.wav", "duration": 13.29, "text": "We believe that we have established a sophisticated and disciplined integration process, leveraging dedicated staff and improving upon and learning from prior acquisitions, especially WIL."}, {"path": "tedlium_3490.wav", "duration": 13.29, "text": "we put a lot of bow wave expenses to improve and expand our ground network. And as Alan has said over and over again, we anticipate those are going to have substantial long-term"}, {"path": "tedlium_3491.wav", "duration": 13.29, "text": "On the customer growth side, we have less than 70% gas penetration across our territories. That means there are more than 1 million households that are still burning oil or another fuel, creating opportunity for further investments."}, {"path": "tedlium_3492.wav", "duration": 13.29, "text": "would be a sensible thing to do if you believe that electric cars are going to be a significant part of the transport solution going forward, and in terms of meeting some of the emission targets, clearly, electrification of transport is going to be a key component."}, {"path": "tedlium_3493.wav", "duration": 13.29, "text": "customer group or people that don't currently shop there. Just wonder if you can expand upon that and whether your One Company strategy is, in some way, hopeful in that -- finding that group of customers."}, {"path": "tedlium_3494.wav", "duration": 13.29, "text": "Moving on to operational excellence. We began 2018 utilizing third-party consultants to assist in the assessment of our operations and the identification of targeted improvement activities."}, {"path": "tedlium_3495.wav", "duration": 13.29, "text": "We continue to believe we're well positioned to make any necessary investments to support our long-term organic growth strategy and return any excess cash to shareholders via our quarterly dividend."}, {"path": "tedlium_3496.wav", "duration": 13.29, "text": "expected future events and financial results that are forward-looking in nature and subject to risks and uncertainties. The company cautions that actual performance will be affected by a number of factors, many of which are beyond the company's control,"}, {"path": "tedlium_3497.wav", "duration": 13.29, "text": "So on the external front we're looking at similarly both. The goal on the external front is to find things where we have scientific insights that provide an ability to do, to assess opportunities on the outside and in a way that other people cannot."}, {"path": "tedlium_3498.wav", "duration": 13.26, "text": "Key clients in the region included Toll Holdings, Qantas and Rio Tinto. So given our progress and continuing growth in digital services and in our recurring revenue businesses,"}, {"path": "tedlium_3499.wav", "duration": 13.26, "text": "a couple of the slides that were in the materials from last night. In there, you see 2 groups of wells. One group is our increased completion design. So in that group of wells, we actually had more pounds per foot and more pounds per cluster"}, {"path": "tedlium_3500.wav", "duration": 13.26, "text": "As we continue to grow assets and enter new businesses, our compliance framework allows us to maintain strong regulatory compliance and efficiency, by streamlining our monitoring and reviewing processes in order to analyze and filter more data faster."}, {"path": "tedlium_3501.wav", "duration": 13.26, "text": "these niche market kind of products. So that will start up later, the latter part of this year. And we see a lot of interest in that when we go through these i6 initiatives. So although -- while it is kind of skewed to flexibles and rigid"}, {"path": "tedlium_3502.wav", "duration": 13.26, "text": "maybe I'm having a hard time imagining it. But is it the kind of thing where you'd have to set it up for peak periods, staff it and then break it down when it gets quieter? Or do you not need that second line and that's not really part of the plan for the first phase of digital?"}, {"path": "tedlium_3503.wav", "duration": 13.26, "text": "Yes, this is Mackie again. You bet. One thing we'll say is that what we're not going to do is just to add volume or to do deals, or to announce deals, is do something that doesn't make sense."}, {"path": "tedlium_3504.wav", "duration": 13.26, "text": "Broad industry views, I think that there is a fair amount of economic data that is of interest as of late. We've seen for the first time in this economic recovery"}, {"path": "tedlium_3505.wav", "duration": 13.26, "text": "We continue to buy back our shares on dips. We're not a company -- I've watched a lot of companies buy back their stock at the highs. And then when it gets to the lows, they have no money left to buy back their shares. We're the exact opposite."}, {"path": "tedlium_3506.wav", "duration": 13.26, "text": "not just the transportation bill. So we want water, power and transportation, which is what was discussed that was going to be included in the infrastructure bill. So certainly, it falls right in line with our plan."}, {"path": "tedlium_3507.wav", "duration": 13.26, "text": "it's all good noise to talk about, rates and tax cut, but the fundamentals of the business are what drives housing and there is just a scarcity of supply and more demand."}, {"path": "tedlium_3508.wav", "duration": 13.26, "text": "Nevertheless, the economic institutes are starting to incorporate several burdening factors into their models. Growing tensions in global trade don't need any further explanations."}, {"path": "tedlium_3509.wav", "duration": 13.26, "text": "There may be some short-term fluctuations, especially this year in the beverage market in China. There has been no summer to speak of."}, {"path": "tedlium_3510.wav", "duration": 13.26, "text": "it's not easy for us to engage in close-range combat because we have our very separate different paths. As for cost concerns,"}, {"path": "tedlium_3511.wav", "duration": 13.26, "text": "I think it important to understand, because we've always talked about our growth rate in relation to the efficacy of what we do, and what that means is that the most important stakeholder in Park City Group are our customers."}, {"path": "tedlium_3512.wav", "duration": 13.26, "text": "Okay. And what kind of gives you guys the confidence, I guess, that those pay down levels will subside somewhat and that kind of front door, as you said Rob, production level would be able to increase in the coming quarters?"}, {"path": "tedlium_3513.wav", "duration": 13.26, "text": "However, in order to preserve France's overall budget balance, the French government announced its intention to implement an exceptional tax for large companies."}, {"path": "tedlium_3514.wav", "duration": 13.26, "text": "because I don't have all that data and I'm working off recall here. But nonetheless, March was the best month in 16 months. If you look at the daily trends, the macros in March, and compare that to April,"}, {"path": "tedlium_3515.wav", "duration": 13.26, "text": "Our initial catchment and focus group research identified 3 key demographic groups that were heavily represented in the catchment and whom our masterplan approach needed to actively and effectively target."}, {"path": "tedlium_3516.wav", "duration": 13.26, "text": "for the year and the reason that we had upgraded unit volume demand for '16 for Continental Europe is influenced by Southern Europe. So at least through the balance of this year, we expect it"}, {"path": "tedlium_3517.wav", "duration": 13.26, "text": "students, faculty and administration, the combination provides access to the widest selection of affordable course materials in all formats."}, {"path": "tedlium_3518.wav", "duration": 13.26, "text": "I will refer you to the company's SEC filings for more detailed discussions of the risks and other factors that could cause actual results to differ from those expressed or implied in any forward-looking statements made today."}, {"path": "tedlium_3519.wav", "duration": 13.26, "text": "I don't know that we were impacted by anything that was abnormal. I mean, when you get into the heat of the summer selling season, everybody gets a little more competitive. And I'm sure there were certain markets,"}, {"path": "tedlium_3520.wav", "duration": 13.26, "text": "but at a substantially lower rate than would have previously applied to actual repatriation. So net, it provides a much more efficient framework in which to repatriate our international cash."}, {"path": "tedlium_3521.wav", "duration": 13.26, "text": "who increasingly appreciate our network of resorts and a compelling value proposition our season pass products offer for their ski vacation, while also benefiting from our improved ability to segment our guests and personalize our messages to them."}, {"path": "tedlium_3522.wav", "duration": 13.26, "text": "And these are the first steps among many others that I can't talk about now, because we have no time, that we are making from really moving from a payer to a partner."}, {"path": "tedlium_3523.wav", "duration": 13.26, "text": "on the top line, in line with the indicative top line guidance we gave. We don't normally give a guidance for the half year, but we gave you some heads-up that the first half will be somewhat slower,"}, {"path": "tedlium_3524.wav", "duration": 13.26, "text": "Thank you, Ivan. I'm now going to look in a bit more detail at what is, as Ivan said, a good set of results, with better top line performance, margin expansion and increased cash flow."}, {"path": "tedlium_3525.wav", "duration": 13.26, "text": "And we intend to make it even stronger. So let me now cover the 3 areas where we will dial up focus to drive further improvement in fiscal '17. Starting with scotch."}, {"path": "tedlium_3526.wav", "duration": 13.26, "text": "To make it easier for investors to understand our customer accounts receivable and associated credit performance, we are now presenting certain credit measures, primarily those in Note 2 of our 10-K, on a carrying value basis."}, {"path": "tedlium_3527.wav", "duration": 13.26, "text": "Utilizing the same capabilities I mentioned related to worker's compensation, we can leverage both our underwriting and customer experience initiatives to expand our product offerings."}, {"path": "tedlium_3528.wav", "duration": 13.26, "text": "who are normalizing their mine plans, who are -- which means their strip ratios are going up. They are probably getting a bit more volume out, but the ratio of waste to volume is going up again."}, {"path": "tedlium_3529.wav", "duration": 13.26, "text": "So that is because clearly the mix of traffic and a number of other factors will affect that figure. The existing regulation allows us to translate"}, {"path": "tedlium_3530.wav", "duration": 13.26, "text": "However, it should be noted that certain initial engineering and procurement activities have already started on both projects on the back of a limited authorization to proceed by the client."}, {"path": "tedlium_3531.wav", "duration": 13.26, "text": "not any different than it's been in the past because there -- most of that is exports going into Mexico and a little bit into Chile and Peru, but nothing different. Particularly to comment on your"}, {"path": "tedlium_3532.wav", "duration": 13.26, "text": "In areas where they have a market in fiber for the last 2 years, our penetration rate is nearly 50%. That's quite a bit higher than in our nonfiber markets and leaves us a lot of room to run over the next couple of years."}, {"path": "tedlium_3533.wav", "duration": 13.26, "text": "However, we have confidence in our ability to implement innovative commercial strategies, designed to address and offset these challenges and to continue to grow our business."}, {"path": "tedlium_3534.wav", "duration": 13.26, "text": "Our continued strong free cash flow allowed us to maintain liquidity at a very healthy level, our first priority for capital allocation in addition to funding our organic growth initiatives and other capital allocation priorities,"}, {"path": "tedlium_3535.wav", "duration": 13.26, "text": "As you are aware, we don't provide specific revenue or earnings guidance and anything said on this call, which reflects our outlook for the future or which could be construed as a forward-looking statement, must be reviewed in conjunction with the risks that the company faces."}, {"path": "tedlium_3536.wav", "duration": 13.26, "text": "Log availability was adequate early in the quarter but decreased in February and March due to strong storms, which brought several feet of snow and heavy winds to many parts of the Pacific Northwest."}, {"path": "tedlium_3537.wav", "duration": 13.26, "text": "In terms of overall wood demand, my view is it's much better for us to the extent that the builders can make more houses, even if they're a little bit smaller. On aggregate, that's better for wood demand."}, {"path": "tedlium_3538.wav", "duration": 13.26, "text": "Full disclosure, this is not Invitae intellectual property. There are other technology-centered companies out there executing this approach, Amazon being one of them. And I suspect many more, given the logical consistency the framework could bring to just about any industry."}, {"path": "tedlium_3539.wav", "duration": 13.26, "text": "is the relentless pursuit of doing what is best for our customers. We are not growing for growth sake. But because our business model, the curation -- the creation of a new network information management industry relies fundamentally on scale."}, {"path": "tedlium_3540.wav", "duration": 13.26, "text": "demand for and reimbursement of our services and our investment in our infrastructure and operations, constitute forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act."}, {"path": "tedlium_3541.wav", "duration": 13.26, "text": "and the guidance raise for the full year, which we'll walk you through a bit later. Bottom line today is, we continue to feel good about the overall markets and our ability to deliver on our commitments."}, {"path": "tedlium_3542.wav", "duration": 13.26, "text": "Interest rates in the economy have already started adjusting to the Central Bank's actions, which in turn should support economic activity. The transmission of monetary policy to commercial credit rates has occurred almost entirely."}, {"path": "tedlium_3543.wav", "duration": 13.26, "text": "During the second quarter -- that's on Slide 6, we have put forward many different marketing initiatives, such as special weekly flyers, where many door-crasher prices were announced."}, {"path": "tedlium_3544.wav", "duration": 13.26, "text": "results of operations, business initiatives, growth plans, operational investments and prospects of the company and are subject to risks and uncertainties that could cause actual results to differ materially from such forward-looking statements."}, {"path": "tedlium_3545.wav", "duration": 13.26, "text": "confirm in every respect our long-held allegation that Herbalife operates as a pyramid scheme, that the only way that people make money is through qualifying purchases and recruiting others to do the same."}, {"path": "tedlium_3546.wav", "duration": 13.26, "text": "As well, some of the financial metrics presented on this call today are non-IFRS measures, and as such, do not have a standardized meaning and are unlikely to be comparable to similar measures by other companies."}, {"path": "tedlium_3547.wav", "duration": 13.26, "text": "We have become a reliable compounder of growth, using our brand portfolio and geographic footprint, coupled with our agility, to deliver consistent top line performance."}, {"path": "tedlium_3548.wav", "duration": 13.26, "text": "that. They're -- But doing very well because they're tied into our transmission and distribution work that we're doing here in the states. And they're doing quite a bit of work in Europe on their own."}, {"path": "tedlium_3549.wav", "duration": 13.26, "text": "some level of comfort that you're going to get some of these issues resolved, but I know you said you're looking forward, but help us with the framework on having implemented these processes and procedures at other companies."}, {"path": "tedlium_3550.wav", "duration": 13.26, "text": "owns more wind capacity than any other U.S. regulated utility and by the time its Wind 11 project is build out in 2020, it will generate enough wind power to cover 90% of its load."}, {"path": "tedlium_3551.wav", "duration": 13.26, "text": "the Northern California market who might be interested in skiing. And so we took -- we've given people the opportunity, that's one of the reasons why we were able to drive the business at the end the way we did. And then ultimately, obviously, we'll still create"}, {"path": "tedlium_3552.wav", "duration": 13.26, "text": "Rick, if you want to give some commentary on what we think going forward. But that's what we've done to that business to improve it, to bring it off the bottom and to get it in the operating range that we've talked about publicly."}, {"path": "tedlium_3553.wav", "duration": 13.26, "text": "and that we pushed so hard in order to build this engine. Now we're at a moment in time where we're really getting to refine and to put a real plan in place, to put a play in place that we can -- everybody knows what it is. We can call it. We can run it. We can do it on a consistent basis,"}, {"path": "tedlium_3554.wav", "duration": 13.26, "text": "The chart on the top right shows our generation volumes for the third quarter. As expected, volumes in the West continue to track below 2015, primarily due to the suspended operations of our Sutter and South Point plants."}, {"path": "tedlium_3555.wav", "duration": 13.26, "text": "I think they've been looking at a lot of things since they first came out with the California forward capacity market kind of concept 8 or 9 years ago. At what point do you just kind of -- for the merchant plants,"}, {"path": "tedlium_3556.wav", "duration": 13.26, "text": "It was a large purchase, shall we say. And I think now we've gotten ourselves to the point where we now have sufficient retail liquidity to do what we think we need to do in order to monetize our megawatt hours. Could we make some"}, {"path": "tedlium_3557.wav", "duration": 13.26, "text": "and they're ones that we will be on top of as we go forward. And we're going to share with you what exactly those plans look like and what the cadence is of getting these businesses right where they need to be when we do our Investor Day in April."}, {"path": "tedlium_3558.wav", "duration": 13.26, "text": "I'll add one thing, if I may. We do have enough flexibility in our capacity, Mike, to supply Takreer when it comes up and to supply the business that we're acquiring now."}, {"path": "tedlium_3559.wav", "duration": 13.26, "text": "Today's presentations also include references to non-GAAP financial measures. You should refer to the information contained in the slides accompanying today's presentations for definitional information and reconciliations of non-GAAP financial measures"}, {"path": "tedlium_3560.wav", "duration": 13.26, "text": "programs constitute probably what are some of the more complex components in our history. And the teams have just done an outstanding job in terms of overcoming some of the challenges."}, {"path": "tedlium_3561.wav", "duration": 13.26, "text": "of the 5 we signed -- one of them is with the public company but 4 of them were private equity backed company. And so inherently the timing is a little bit uncertain because what those companies tend to do is to appraise their acreage and then they may explore a sale."}, {"path": "tedlium_3562.wav", "duration": 13.26, "text": "As I said earlier in the call, we fell short of expectations with regard to loan growth. Originations in the Commercial banking group were lower than we anticipated for the quarter as we work to build the team to the levels we believe we need to drive expected growth."}, {"path": "tedlium_3563.wav", "duration": 13.26, "text": "we will continue to look at every contract and every sale on a short-term basis until we have better visibility on the impacts to our collection markets and the basin blended oil markets."}, {"path": "tedlium_3564.wav", "duration": 13.26, "text": "So we watch that project by project and work hard to make sure that we get the return that we originally expected. And if not, we go back and understand why and work that project if appropriate"}, {"path": "tedlium_3565.wav", "duration": 13.26, "text": "the replacement of the mechanical home button, the use of haptics within their phone's applications and the opening of their API to allow the development of new applications utilizing haptic effects."}, {"path": "tedlium_3566.wav", "duration": 13.26, "text": "describe this as an ecosystem with the public carriers. I think in the past, it's often been determined that when the public carriers start spending that there is going to be a overall lift, which is true."}, {"path": "tedlium_3567.wav", "duration": 13.26, "text": "We see nice expansion opportunities in the events business. And perhaps most meaningfully, as other competitive ad-supported media continue to experience meaningful erosion of their audiences and disruption to their business models,"}, {"path": "tedlium_3568.wav", "duration": 13.26, "text": "we have obviously taking a bit more of a hit in volume than our competitors. And we've been clear about that because for 10 years, we've been a huge beneficiary of having the largest share of imports in China while China was growing,"}, {"path": "tedlium_3569.wav", "duration": 13.26, "text": "I think, Brian, we've talked about this multiple times and hopefully the Orlaco acquisition is an example of the sort of acquisitions that we would do, ones that"}, {"path": "tedlium_3570.wav", "duration": 13.26, "text": "and financial briefing charts on our website, or to the extent not addressed there, but discussed in this call, will be available as an appendix to the transcript and will be posted under the Investors heading on our website."}, {"path": "tedlium_3571.wav", "duration": 13.2300625, "text": "compared to last year, which negatively impacted comparable store sales in that month. However, the softness we experienced around the holiday period was temporary and we are encouraged by the stronger top line trends we saw"}, {"path": "tedlium_3572.wav", "duration": 13.23, "text": "Third, to focus on the monetization of mobile traffic and subscription revenue. We look forward to updating you on our progress in the near future."}, {"path": "tedlium_3573.wav", "duration": 13.23, "text": "We want to be very clear, we do not agree with many of the short-seller report's assertions, some of which are demonstrably false, nor do we agree with many opinions expressed in the short-seller report."}, {"path": "tedlium_3574.wav", "duration": 13.23, "text": "that the second trial is actually at a higher dose than the first trial. So while we always have to be cautious and you always have to think about and do -- really understand what happened when you're dosing patients with a drug,"}, {"path": "tedlium_3575.wav", "duration": 13.23, "text": "I would like to start today's call by providing highlights from AquaVenture's second quarter results and commenting on a number of recent developments. Then Tony will give a brief overview of our Seven Seas Water and Quench segment accomplishments."}, {"path": "tedlium_3576.wav", "duration": 13.23, "text": "So our ability to generate real attractive returns on equity and our lending business, we hope and anticipate that will continue in the future as well as continue to make strategic acquisitions within the business services footprint."}, {"path": "tedlium_3577.wav", "duration": 13.23, "text": "Certain non-GAAP measures will be discussed on this call. We have provided a description of those measures as well as a discussion of why we believe this information to be useful in our Form 8-K furnished to the SEC this morning."}, {"path": "tedlium_3578.wav", "duration": 13.23, "text": "we can achieve the greatest impact for them and drive profitable growth for the firm. This is our biggest initiative as an enterprise and is the major focus of the regional consultant conferences we are hosting in the second quarter."}, {"path": "tedlium_3579.wav", "duration": 13.23, "text": "In our international segment, the second quarter revenue numbers are somewhat distorted by the decision we made at the end of 2017 to increase the amount of third-party capital participation, primarily related to the reinsurance lines of business."}, {"path": "tedlium_3580.wav", "duration": 13.23, "text": "providing a differentiated student onboarding and orientation process, facilitating completion of the financial aid process and continuing to provide support to students as they work towards graduating in their field of study."}, {"path": "tedlium_3581.wav", "duration": 13.23, "text": "home stretch. And we're actually gearing up our commercial readiness to be able to launch this in a competitive market with a great profile drug. So we look forward to continuing to keep you updated, and have a great day."}, {"path": "tedlium_3582.wav", "duration": 13.23, "text": "we brought in really talented people that have done this before. Our new technology leader did a full legacy mainframe conversion to cloud at his prior business"}, {"path": "tedlium_3583.wav", "duration": 13.23, "text": "So as we've discussed in the past, delivering all of this organization holistically to clients who and need advice and solutions is clearly a driver of earnings currently and going forward."}, {"path": "tedlium_3584.wav", "duration": 13.23, "text": "For the fourth quarter, we expect bookings will taper off as most of our customers' 2017 budgets are exhausted. The opportunity to secure Tier 2 pressure pumping equipment has passed and commodity price outlook remains uncertain."}, {"path": "tedlium_3585.wav", "duration": 13.23, "text": "Now in most of these larger projects, we've already handed them the keys in a lot of respects, where they were -- they are now operating and required to maintain sections of the roads and the environments that are already open."}, {"path": "tedlium_3586.wav", "duration": 13.23, "text": "In addition, with a significant real estate in our portfolio, we have alternative capital sources from which to pull to continue our prudent growth strategy in 2016 without accessing the equity markets."}, {"path": "tedlium_3587.wav", "duration": 13.23, "text": "While we are proud of these results, they do trail our original expectations for the first half of the year, driven by the aforementioned declines in Inderal LA average selling price."}, {"path": "tedlium_3588.wav", "duration": 13.23, "text": "And so -- but I don't think that's a product of private equity or public. I think that is a product of the fact that we had we've been over-levered and that has created an environment where"}, {"path": "tedlium_3589.wav", "duration": 13.23, "text": "But I think -- we think that was a short-term phenomenon probably related to the uncertainty around Brexit. But I think a general theme would be that we need to work more on working with our clients"}, {"path": "tedlium_3590.wav", "duration": 13.23, "text": "The sustainability and pace of the recovery will, however, be heavily dependent on the magnitude and timing of federal recovery and private insurance funds flowing into the island."}, {"path": "tedlium_3591.wav", "duration": 13.23, "text": "These investments achieve more attractive after-tax yields without adding credit risk or materially changing the characteristics of the investment portfolio. The overall duration of the bond portfolio is still under 3 years."}, {"path": "tedlium_3592.wav", "duration": 13.23, "text": "that helps us secure pricing arrangements in whatever -- with whatever partner we're talking to that continue to deliver value for members and ultimately, for our shareholders. Tor, on breakage?"}, {"path": "tedlium_3593.wav", "duration": 13.23, "text": "And as a result of the rest of the portfolio, the debt portion and corporate debt, performing, the equity will be less important, and we've remodeled that"}, {"path": "tedlium_3594.wav", "duration": 13.23, "text": "The rationale for the company sending the notice is simply that the supply agreement is a vital part of the overall deal and an essential prerequisite for the other 2 components to be realized."}, {"path": "tedlium_3595.wav", "duration": 13.23, "text": "Unfortunately, for financial reporting purposes, we must translate the total principal amount of the debt outstanding, whereas on the other side only 1 quarter's rent is translated at the current exchange rates."}, {"path": "tedlium_3596.wav", "duration": 13.23, "text": "FLY Leasing, which we will refer to as FLY or the company, issued its second quarter earnings results press release, which is posted on the company's website at flyleasing.com."}, {"path": "tedlium_3597.wav", "duration": 13.23, "text": "You'll hear from Penni and Michael later in the call. Let me start by reviewing our first quarter results. And afterwards, I'll provide some thoughts on the current investing environment and a brief update on the American Capital transaction."}, {"path": "tedlium_3598.wav", "duration": 13.23, "text": "is that there are a number of agents who hope the ruling goes, and these are agents who are part of on the market who hope the ruling is such that the one other portal rule is declared"}, {"path": "tedlium_3599.wav", "duration": 13.23, "text": "I know at Peyto, we don't really like to be on the bleeding edge of technology, but certainly as soon as some of these technologies are proven, we're generally one of the best at putting it into practice and then perfecting it."}, {"path": "tedlium_3600.wav", "duration": 13.23, "text": "As usual, we're focused here on the full year, but it's worth reflecting a little on the reasons why underlying sales growth and volume growth in particular was stronger in the first half of the year and weaker in our second half."}, {"path": "tedlium_3601.wav", "duration": 13.23, "text": "Our strategy based on differentiation for quality and premium services is bearing fruits as the premium mix is improving by 3 points year-on-year."}, {"path": "tedlium_3602.wav", "duration": 13.23, "text": "As I just indicated on the product side, this has resulted in lower inventory levels and better profitability. And I believe the same approach in our expense structure will have a similar and permanent impact."}, {"path": "tedlium_3603.wav", "duration": 13.23, "text": "that people need to understand how the numbers add up. Now certain analysts were -- have numbers in their guidance for 4Q that are well above ours, and I never really understand how they -- how people get so far off our guidance. But"}, {"path": "tedlium_3604.wav", "duration": 13.23, "text": "We also continue to actively manage our balance sheet, where opportunities exist, to decrease our cost of capital, strengthen our financial flexibility and to delever on attractive terms."}, {"path": "tedlium_3605.wav", "duration": 13.23, "text": "to do that. So normally, pricing is reasonable and adjust around it. And that's what we're seeing. We're still seeing that all be pretty reasonable out there. We've had a couple of requests to do some things that were off market,"}, {"path": "tedlium_3606.wav", "duration": 13.23, "text": "So we won't decelerate our value proposition as doers, but we will add a solution strategy as a market differentiator and revenue driver for certain offerings."}, {"path": "tedlium_3607.wav", "duration": 13.23, "text": "Performance was uneven week to week and from market to market. We continue to see mixed signals with regard to the strength of lodging demand and overall witnessed tepid demand growth in the quarter."}, {"path": "tedlium_3608.wav", "duration": 13.23, "text": "in the industry and the impact that it had on the way that the crack spreads behaved, if you exclude that, you saw actually a very strong West Coast market, where"}, {"path": "tedlium_3609.wav", "duration": 13.23, "text": "they have the maximum benefit for their customers here. So it is, I'll be quite honest, frustratingly slow. But the good news is that a number of the sales leads we're getting"}, {"path": "tedlium_3610.wav", "duration": 13.23, "text": "since we acquired the products in the fourth quarter of 2016. And we are encouraged by our physician customer reaction and the base we have for expansion into the reconstruction market."}, {"path": "tedlium_3611.wav", "duration": 13.23, "text": "as we've expanded and grown the business, it gets that much more difficult to spend appropriate amount of time overseeing the myriad"}, {"path": "tedlium_3612.wav", "duration": 13.23, "text": "difficulties on the railroads contributed to the strength of lumber, at least the sense of scarcity. And I'm wondering this year, with lumber being weak, is that partly a function of improved efficiency on the rail network?"}, {"path": "tedlium_3613.wav", "duration": 13.23, "text": "hitting the ground much faster than we had anticipated. But I'll let John give you some more color on it. Yes. Some of the production cost reductions come from closing some of our offset presses."}, {"path": "tedlium_3614.wav", "duration": 13.23, "text": "so that we can be ready to go on January 1. And the biggest single thing is that we don't want to tell people that something is possible and then have them billed for it and have all those bills rejected. That's what we're trying to avoid."}, {"path": "tedlium_3615.wav", "duration": 13.23, "text": "is the same between our NexSys Pure and our NexSys iON, so let's just start after the batteries. And that would be light assembly type business that's very similar to what Alpha does. It's taking"}, {"path": "tedlium_3616.wav", "duration": 13.23, "text": "When taking into account our properties closed and under contract, partially offset by dispositions, we believe this positions us well to achieve our range of net acquisitions for the year."}, {"path": "tedlium_3617.wav", "duration": 13.23, "text": "We have a strong innovation agenda aimed at recruiting consumers into spirits aligned with the 3 global pillars of recruit, re-recruit and disrupt."}, {"path": "tedlium_3618.wav", "duration": 13.23, "text": "This demonstrates that our composition, strength and culture provide the said responsiveness to changes, and that this ability is actually the most prominent characteristic of Mitsubishi Corporation."}, {"path": "tedlium_3619.wav", "duration": 13.23, "text": "So within the prime sector, film grew faster, which is not unusual than what you saw on both prime paper as well as variable information labels."}, {"path": "tedlium_3620.wav", "duration": 13.23, "text": "But what we've been able to do in the past and been very successful is find ways where we can be more impactful with a minimal amount of expanded spending on the branding."}, {"path": "tedlium_3621.wav", "duration": 13.23, "text": "And we're only halfway through the year. Our development pipelines for both segments remain robust, and we anticipate announcing additional growth projects throughout the second half of the year."}, {"path": "tedlium_3622.wav", "duration": 13.23, "text": "Now I'd like to turn the call back to over to Todd. Thanks, John. As I -- as we indicated in the release this morning, our portfolio optimization plan is on track with the strategic objectives we communicated in May."}, {"path": "tedlium_3623.wav", "duration": 13.23, "text": "While Alent's practice was to exclude metal sales, thereby reporting higher margins, we do not plan to do so. But we will explain the impact of metal prices on our performance."}, {"path": "tedlium_3624.wav", "duration": 13.23, "text": "With our operations team unlocking the significant value on our acreage, we're looking to add to our asset base through organic drilling and leasing as well as through strategic acquisitions."}, {"path": "tedlium_3625.wav", "duration": 13.23, "text": "an audit system that takes a holistic and active approach in training security dealers and end-user school officials on how to significantly reduce or prevent a mass incident."}, {"path": "tedlium_3626.wav", "duration": 13.23, "text": "the offset wells with the field brine that effectively gives us a hydrostatic fluid column to push back against the offset wells that are being fracked. That mitigation does tend to help."}, {"path": "tedlium_3627.wav", "duration": 13.23, "text": "I think we identified that very effectively many years ago, as we started moving into Sketch-to-Scale and started redefining the industry and the era that we're in at the Age of Intelligence."}, {"path": "tedlium_3628.wav", "duration": 13.23, "text": "desktop security and IoT. We believe the EMM market remained solid. We continue to deliver features that differentiate us from our competitor, and we have plenty of room to grow in the category."}, {"path": "tedlium_3629.wav", "duration": 13.23, "text": "And so it's returned to growth and it's continuing to strengthen across all markets. I would also add to that, that in a lot of places, that's before the big funding flows through. If you look at South Carolina or Tennessee or California,"}, {"path": "tedlium_3630.wav", "duration": 13.23, "text": "and it's going to be more or less normal in terms of the basket increase and the price increases that we have. What we are cognizant of since we have a number of banners that are"}, {"path": "tedlium_3631.wav", "duration": 13.23, "text": "As Murray mentioned, we are taking a more aggressive approach to capturing share in the carrier market. These customers generally require higher dollar inventory investments and cause higher receivables to be held on our balance sheet for a longer period."}, {"path": "tedlium_3632.wav", "duration": 13.23, "text": "a mix of GDP growth and ultimately a mix of interest rates going up, where people will not want to sit on the sideline and give up opportunities to generate revenues."}, {"path": "tedlium_3633.wav", "duration": 13.23, "text": "Of note, we continue to work with Syncrude and Imperial on a plan to sustainably improve reliability, reduce costs and drive synergies between our operations."}, {"path": "tedlium_3634.wav", "duration": 13.23, "text": "with 14 of those quarters being positive. Silvercrest's growth has been achieved, while we have maintained or increased our adjusted EBITDA margins, even as we've invested in the business on behalf of our clients and for future growth."}, {"path": "tedlium_3635.wav", "duration": 13.23, "text": "And as Hans said, while the circumstances are unfortunate, I would like to reiterate my deep commitment and resolve to leading the team and to building our business together with our borrowers, investors, partners and employees."}, {"path": "tedlium_3636.wav", "duration": 13.23, "text": "we can keep those customers for a number of years. And that's really powerful for us to be able to get the customer, number one, and then retain the customer, and we've been able to do that. We saw this before"}, {"path": "tedlium_3637.wav", "duration": 13.23, "text": "Going to Slide 3. During this call, we will be referring to a slide presentation, which can be found on our website's Investor Center main page. Relevant slides will be identified by number throughout our presentation."}, {"path": "tedlium_3638.wav", "duration": 13.2299375, "text": "We expect this will help Idaho Power keep energy rates low and will help its efforts to meet the challenge of integrating an existing large volume of third-party solar and wind energy on our system."}, {"path": "tedlium_3639.wav", "duration": 13.2, "text": "In terms of 2018 outlook in Europe, we expect increased market activity during the year related to fuel cell electric buses, which we expect will result in the growth of purchase orders for modules."}, {"path": "tedlium_3640.wav", "duration": 13.2, "text": "Based on emerging science and on expert investigator feedback and with the aim of having the most comprehensive and controlled trial ever attempted in C3G, we"}, {"path": "tedlium_3641.wav", "duration": 13.2, "text": "As a reminder, any statement we make this afternoon about future results and performance or plans and objectives are forward looking. Actual results may vary as a result of factors, risks and uncertainties over which we have no control."}, {"path": "tedlium_3642.wav", "duration": 13.2, "text": "Whether the orders cover 4 months, we do not have a clear picture of demand and supply currently. So we are not able to report on anything binding yet."}, {"path": "tedlium_3643.wav", "duration": 13.2, "text": "for national consultation is scheduled by ACM, yes, somewhere in the first quarter of this year. We argue -- we will argue in that consultation for a level playing field"}, {"path": "tedlium_3644.wav", "duration": 13.2, "text": "Bit of extra capital. Our success rate is actually higher than we thought. So we're spending more money hooking up wells, but those are easy decisions to make. And then, we have some production optimization of facilities projects that we needed a bit of extra capital for."}, {"path": "tedlium_3645.wav", "duration": 13.2, "text": "in most of those markets is very strong. I'd say the biggest issue we're facing is the fact that our market share is so high in countries like Germany that it's hard to grow market share so we have to continue to find ways to grow"}, {"path": "tedlium_3646.wav", "duration": 13.2, "text": "result or is it likely to become a positive trend that is going to stay with us for longer? And another question about molybdenum sales."}, {"path": "tedlium_3647.wav", "duration": 13.2, "text": "Looking forward, we expect to be challenged with lower revenues in the next quarter because of lower volumes and project completions. These revenue swings have been an inherent challenge in our CS business, which we are trying to address strategically."}, {"path": "tedlium_3648.wav", "duration": 13.2, "text": "This will include SaaS-based platforms that we'll provide to clients on a subscription basis. Having now successfully built a marketing and lead generation engine in Ottawa, which is proving itself with our MediaMiser products,"}, {"path": "tedlium_3649.wav", "duration": 13.2, "text": "This was primarily due to the significant impact of reduced revenue in network products. Next, at the top of the next page, Slide 11, is Ubiquitous Solutions."}, {"path": "tedlium_3650.wav", "duration": 13.2, "text": "And I think the other part that we continue to be very thoughtful about particularly in certain portions of our portfolio like commercial real estate, is that we are"}, {"path": "tedlium_3651.wav", "duration": 13.2, "text": "the best management team in the business, an investment grade balance sheet and a product portfolio that's extremely well positioned to take advantage of the unprecedented change in these industry opportunities that are just amazing"}, {"path": "tedlium_3652.wav", "duration": 13.2, "text": "in addition to weather, is there anything that drove that in the first quarter? I think I heard something about vandalism. Are people not trashing their homes when they default on their mortgages as much? Or -- I'm just wondering if there's some sort of secular shift"}, {"path": "tedlium_3653.wav", "duration": 13.2, "text": "When you have a full buffet though, like when we are doing a very large group, when you're doing a graduation party, something along those lines, we do think that human touch of being able to be there, set it up, talk to the"}, {"path": "tedlium_3654.wav", "duration": 13.2, "text": "In Europe, we've initiated additional formal clinical and quality scientific advice proceedings with the EMA and initiated the process to discuss the potential for a conditional registration pathway for the EU. We have"}, {"path": "tedlium_3655.wav", "duration": 13.2, "text": "In this context, we have also identified Somar as non-core, and will be conducting due diligence on divesting Somar in order to focus on regulated markets in developed countries."}, {"path": "tedlium_3656.wav", "duration": 13.2, "text": "so we feel good about where we are. There's been -- it's been relatively slow for the last few years but it does feel like it's getting a little bit better out there from an activity level."}, {"path": "tedlium_3657.wav", "duration": 13.2, "text": "And finally, our success thus far this year has enabled us to once again raise our guidance for the full year. We look forward to the solid execution of our strategic plan during the second half of the year."}, {"path": "tedlium_3658.wav", "duration": 13.2, "text": "the summer show is a bit earlier in the cycle. So we underestimated the shorter selling cycle between shows affecting us. I think we took longer than usual for our retention and, in fact, our retention is running slightly ahead"}, {"path": "tedlium_3659.wav", "duration": 13.2, "text": "to reinvest a portion of our revenue from Galafold back into the Fabry disease community specifically to Fabry research and development until there is a cure for this disease."}, {"path": "tedlium_3660.wav", "duration": 13.2, "text": "your concerns about doing something, but it does not change the fact that you're having that conversation and trying to figure out what you can and should do given all the -- given everything that's going on."}, {"path": "tedlium_3661.wav", "duration": 13.2, "text": "your clean room push in regards to, I don't know if you can talk about who you're talking to or what the plan is there. I'm assuming clean room"}, {"path": "tedlium_3662.wav", "duration": 13.2, "text": "Through the combination of these activities, we expect to improve Marlin's operating efficiency ratio in the coming years to approximately 45%. And finally, our third objective is to use capital more productively."}, {"path": "tedlium_3663.wav", "duration": 13.2, "text": "We are committed to maximizing the value across our acreage, and we believe spending the extra time on data gathering and analysis upfront will benefit us tremendously in the long-running development of the property."}, {"path": "tedlium_3664.wav", "duration": 13.2, "text": "In response to our clients' requests for us to do more with their data, we invested in Contract Compliance, Spend Analytics and supplier compliance and performance management service offerings,"}, {"path": "tedlium_3665.wav", "duration": 13.2, "text": "I wouldn't expect it to keep at that run rate necessarily, nor would I expect it to be a large loss going forward. We make a little bit of money in the China JV and at least right now"}, {"path": "tedlium_3666.wav", "duration": 13.2, "text": "We initiated our Phase II trial in the fourth quarter. While we remain in the early stages of this trial, we have been emboldened by its progress and by the patient data that has been generated thus far."}, {"path": "tedlium_3667.wav", "duration": 13.2, "text": "Our capital management included payment of a special dividend and resumption of quarterly dividends in the first quarter of 2016. This resulted in a decrease in retained earnings, which caused our book value per share to decrease"}, {"path": "tedlium_3668.wav", "duration": 13.2, "text": "Finally, in Q3, we did experience higher-than-expected levels of sales transfer from existing stores to new stores due primarily to the acceleration of new store openings in the first half of the year."}, {"path": "tedlium_3669.wav", "duration": 13.2, "text": "they are the types of companies we like, they are actually for sale and that is in a part of Coor where we have the integration capacity, then we're quite happy to continue to do acquisitions."}, {"path": "tedlium_3670.wav", "duration": 13.2, "text": "Thanks, David. Good morning, everyone, and thank you for joining us today. We generated solid EPS and strong free cash flow and experienced another quarter of strong new business signings in the third quarter."}, {"path": "tedlium_3671.wav", "duration": 13.2, "text": "And so that allows to fill out some of our portfolio to meet some of that unmet demand as well. So I think we're feeling pretty good about our whole network around the world. The only thing I would add is when Jack mentioned"}, {"path": "tedlium_3672.wav", "duration": 13.2, "text": "Okay. And then just on your pricing commentary and I guess the mix commentary, because I think some of the people who are more concerned about long-term structural pricing in hospitals look at this mix"}, {"path": "tedlium_3673.wav", "duration": 13.2, "text": "I guess I was trying to ask a different question. As we just take our own views and use your forecast and we calculate the difference, barrels times price, is there anything you think we should be avail -- cognizant of when we do that calculation?"}, {"path": "tedlium_3674.wav", "duration": 13.2, "text": "Subject to unexpected changes in the commodity price outlook, we plan to discontinue the premium DRIP beginning with the July 2017 dividend payment such that there would be no further equity issuance under this program."}, {"path": "tedlium_3675.wav", "duration": 13.2, "text": "British Columbia now represents our largest exposure by province, and I want to be sure to note we are working hard to actively support clients affected by the wildfires, including through payment relief."}, {"path": "tedlium_3676.wav", "duration": 13.2, "text": "We've reduced the balance of this portfolio substantially in the past year, and it now represents less than 1% of our total loans. We do not expect material credit impacts related to our remaining energy loans going forward."}, {"path": "tedlium_3677.wav", "duration": 13.2, "text": "Our third quarter is historically a lighter quarter for sales and profits due to the seasonality of our business in sports and due to the decline of outdoor construction work in the winter months in the Northern Hemisphere."}, {"path": "tedlium_3678.wav", "duration": 13.2, "text": "We are pleased with the progress we are making in these recurring revenue streams. While a return to a more normalized transactions market will strengthen our results, unbalanced, we will target investments that can drive a shift"}, {"path": "tedlium_3679.wav", "duration": 13.2, "text": "There's much more to do here, but the team is hard at work, and the progress we've made in our other strategic priorities gives us the opportunity to expand our customer experience efforts throughout the balance of 2016. Coming out of the first quarter,"}, {"path": "tedlium_3680.wav", "duration": 13.2, "text": "So last year was a bigger year than you would expect. This year I would call a more normal year, maybe a slightly light year, but I would call it a normal year for us both in terms of mix of business as well as the size of the book that's out there."}, {"path": "tedlium_3681.wav", "duration": 13.2, "text": "But we are now well beyond the stages of having a facility and having a workforce and putting railcars out the door that meet customer expectations."}, {"path": "tedlium_3682.wav", "duration": 13.2, "text": "We also granted Par a nonexclusive patent license to launch its generic sodium oxybate product as of December 31, 2025. These entry dates could be accelerated under certain circumstances."}, {"path": "tedlium_3683.wav", "duration": 13.2, "text": "momentum that we have coming into the fourth quarter seems to be really solid. So overall, I don't think the guidance is really off that far where we have been all year long. We've been right on the top end of the range. So"}, {"path": "tedlium_3684.wav", "duration": 13.2, "text": "Had the wind contributed during the peak at a capacity factor similar to last year or even closer in line with average historical performance, market conditions this summer would likely have been much more interesting."}, {"path": "tedlium_3685.wav", "duration": 13.2, "text": "capacity addition to the industry of anywhere between 30,000 units to as high, some estimates, claiming 50,000. I think that the number will be"}, {"path": "tedlium_3686.wav", "duration": 13.2, "text": "The reported results include a number of significant items, which we don't consider indicative of operational and financial trends. I will be excluding these items when discussing our performance."}, {"path": "tedlium_3687.wav", "duration": 13.2, "text": "Now that the election's almost behind us, we see local and national advertisers seemingly sitting on the sidelines a bit more and a bit longer-than-usual this late into an election quarter."}, {"path": "tedlium_3688.wav", "duration": 13.2, "text": "On the next slide, Slide 4. Like to highlight once again some details of our recent well results. I already mentioned the Kudu pad is coming online pretty much as expected and in line with the type curve."}, {"path": "tedlium_3689.wav", "duration": 13.2, "text": "on our rates at our major locations. I think Harry's point is a lot of our storage, we would call it operational storage and our customers are refineries. So they're not using it to store"}, {"path": "tedlium_3690.wav", "duration": 13.2, "text": "This occurred against the backdrop of production forecasts turning out to be quite optimistic. Thus, shortfalls have needed to be met from the domestic market, and we saw gas moving in a northerly direction for export."}, {"path": "tedlium_3691.wav", "duration": 13.2, "text": "As we progress through 2018, we will continue to identify and evaluate areas for continued efficiency gains in our operations and improve our cost structure."}, {"path": "tedlium_3692.wav", "duration": 13.2, "text": "We all know that you guys and everybody else has said that international drilling activity had kind of bottomed mid-last year, but we were warned that pricing pressure continued. Has the pricing pressure abated any?"}, {"path": "tedlium_3693.wav", "duration": 13.2, "text": "As far as age, we don't manage to an age. This is one of the things that distinguishes us. I don't think age is an investment criterion, per se. It doesn't tell you anything about how much money you can make on the aircraft."}, {"path": "tedlium_3694.wav", "duration": 13.2, "text": "as well as the T4 technology and perhaps any cost associated with the development of SARM or any new license technology that we have this year. So looking ahead,"}, {"path": "tedlium_3695.wav", "duration": 13.2, "text": "entering or exiting certain channels? Just to understand this dynamic because it sounds like it will be negative in Q4, but it will be positive next year and how that actually ends up tying into gross to net. Just wanted to clarify this whole thing."}, {"path": "tedlium_3696.wav", "duration": 13.2, "text": "While the vast majority of our time and focus will remain committed to creating shareholder value through internal execution, we remain open to strategic acquisitions and divestiture options."}, {"path": "tedlium_3697.wav", "duration": 13.2, "text": "We have discussed the benefits of our MirrorEye product on fuel efficiency previously with initial trial showing up to 2% fuel savings by replacing the existing mirror on commercial vehicles with our MirrorEye system."}, {"path": "tedlium_3698.wav", "duration": 13.2, "text": "by assuring you that we have made a great deal of progress on the key initiatives and decisive actions that I discussed on last quarter's call. Our intensive efforts remain squarely focused on 5 key priorities."}, {"path": "tedlium_3699.wav", "duration": 13.2, "text": "Our entire leadership team is committed to working together to drive our key strategies forward and reset our culture by empowering the many talented employees we have around the world."}, {"path": "tedlium_3700.wav", "duration": 13.2, "text": "is so high in order to drive reimbursement and utilization in the clinic that I think that we and anybody who's playing and paying attention to this game has to move to highly differentiated new approaches."}, {"path": "tedlium_3701.wav", "duration": 13.2, "text": "Many of the current implementations are program integrity products, which often take longer than anticipated, because clients have to be very specific about the clinical policies they choose to enforce."}, {"path": "tedlium_3702.wav", "duration": 13.2, "text": "Moving now from revenue to expenses. We identified cost savings opportunities and deployed cost reduction strategies throughout the organization last year, in order to make our entire company more efficient."}, {"path": "tedlium_3703.wav", "duration": 13.17, "text": "with a fully developed set of products and brands. These products are sold directly to manufacturers of building products, cabinets and furniture as well as to distributors through a dedicated sales staff and marketing staff."}, {"path": "tedlium_3704.wav", "duration": 13.17, "text": "Yes. I mean, I would say we're actively working with all the key players in the China market right now. So it's a very interesting market. You might be competing in one province and collaborating in another province. So"}, {"path": "tedlium_3705.wav", "duration": 13.17, "text": "Well, the way I look at it is we -- all 4 of our businesses are run well and have done things over a number of years to position us well for long-term growth"}, {"path": "tedlium_3706.wav", "duration": 13.17, "text": "highlights, we continue to expand our geographic reach. During the third quarter, we signed new business with customers in a variety of places across the globe including Japan, India, China and Brazil, to name a few."}, {"path": "tedlium_3707.wav", "duration": 13.17, "text": "And we're starting to get a footprint at Ghaghoo, which we are pretty comfortable with. Size frequency distribution curve is starting to settle. We have made quite a few changes"}, {"path": "tedlium_3708.wav", "duration": 13.17, "text": "that we guided to previously when we first announced the transaction. We don't feel that there's a need to update that number based on any information that we have seen to date."}, {"path": "tedlium_3709.wav", "duration": 13.17, "text": "and many, many more tomorrow, who combined will save literally billions of dollars by more efficiently managing the costs associated with delivering content to their subscribers"}, {"path": "tedlium_3710.wav", "duration": 13.17, "text": "The company's actual results could differ materially from any forward-looking statements due to several important factors described in the company's latest SEC filings, including this morning's press release."}, {"path": "tedlium_3711.wav", "duration": 13.17, "text": "more conviction and more evidence and everything we're kind of inclined, we're under no financial stress at this point, doesn't place any financial stress on the company to continue to pay the dividend. It's an important"}, {"path": "tedlium_3712.wav", "duration": 13.17, "text": "We look forward to rolling our hotels onto a single reservation system in stages, with the first group of hotels converting in the fall of 2018. And finally, we expect owners will continue to see significant cost savings"}, {"path": "tedlium_3713.wav", "duration": 13.17, "text": "Also supporting our outsized growth in our downholes business are our new products and technologies that directly contribute to our customers' ability to increase their rate of penetration and lateral lengths."}, {"path": "tedlium_3714.wav", "duration": 13.17, "text": "We expect to continue reductions of working capital in the coming quarters as our trade payable balance is reduced in line with reduced capital investment and operating activities."}, {"path": "tedlium_3715.wav", "duration": 13.17, "text": "Needless to say, we are not there yet. But it is safe to say that a recovery of the oil crisis years continues in an orderly fashion, supported in higher private consumption and higher more stable prices of oil."}, {"path": "tedlium_3716.wav", "duration": 13.17, "text": "pending approval from state insurance departments. YourTurn will strengthen our ability to compete in the youthful driver market in a way that is profitable and sustainable long-term, while helping to encourage safer driving."}, {"path": "tedlium_3717.wav", "duration": 13.17, "text": "the courts adopted VIVUS' proposed constructions for all but one of the disputed claim terms and adopted a compromised construction that was acceptable to VIVUS for the final claim term."}, {"path": "tedlium_3718.wav", "duration": 13.17, "text": "These things don't come overnight. It's a matter of a number of singles and a number of home runs and those just have to take the time to work through. One last comment,"}, {"path": "tedlium_3719.wav", "duration": 13.17, "text": "So with that turning to Slide 20. Let me first emphasize that we are a global organization with a presence now in all 4 major regions around the world, including a presence in 27 countries"}, {"path": "tedlium_3720.wav", "duration": 13.17, "text": "We made substantial progress on both the development and commercial fronts in 2016. I'm very proud of our many accomplishments during the year. Most recently, in the fourth quarter, we presented additional positive data"}, {"path": "tedlium_3721.wav", "duration": 13.17, "text": "Given our privileged position, we are focused on strengthening the relationship with our customers and improving their experience by providing innovative solutions as part of our digital transformation effort."}, {"path": "tedlium_3722.wav", "duration": 13.17, "text": "This is evidence that our strategies for growth, cultivating an innovation culture, accelerating product launches, leveraging technology and strengthening our distributor difference are delivering results."}, {"path": "tedlium_3723.wav", "duration": 13.17, "text": "The impact of these onetime payments, in addition to the impact of excluding the year-to-go operating results of Language Solutions, as I noted earlier, drives the entire change from previous guidance."}, {"path": "tedlium_3724.wav", "duration": 13.17, "text": "Well, soon, we all hope. The investment is actually lower now than it has been for the last couple of years, but the cash CapEx remains very high because it's on these multiyear payment plans."}, {"path": "tedlium_3725.wav", "duration": 13.17, "text": "In our pursuit towards establishing our platform as a service strategy, we've now built a strong framework of solution sales programs combining both software and services to deliver comprehensive value to our clients."}, {"path": "tedlium_3726.wav", "duration": 13.17, "text": "As we sit here today, we've got a single consolidated organization. We've got an increasingly connected solution bundle. And we are now taking that to market. And so when I think about"}, {"path": "tedlium_3727.wav", "duration": 13.17, "text": "plus 3%. On the other hand, sales of chocolates with high cacao content weakened slightly after a very strong performance in the previous fiscal year."}, {"path": "tedlium_3728.wav", "duration": 13.17, "text": "Are you guys seeing any pushback from the larger customers in terms of either the stocking levels that they're willing to accept or in terms of pushing back on price more above normal levels?"}, {"path": "tedlium_3729.wav", "duration": 13.17, "text": "improving well results and performing our jobs safely and as good stewards to our neighbors and the environment. We believe that we have a very compelling growth and value-creation story with significant upside potential."}, {"path": "tedlium_3730.wav", "duration": 13.17, "text": "Got it. And you're still not expecting to be... I think, Michael, on that point, I think what you could do is you can look at the capital. We do not use bonus depreciation, haven't used bonus depreciation, just because of all the production tax credits we generate."}, {"path": "tedlium_3731.wav", "duration": 13.17, "text": "I think we can get to and beyond what Rightmove charges on absolute basis per branch by offering a variety of services. And I think that you don't hit a"}, {"path": "tedlium_3732.wav", "duration": 13.17, "text": "to consider rather than oil prices elsewhere. So you will see a shift in that direction in the next months, in the next years because it will take some time before for all the contracts expire. But that's the direction in"}, {"path": "tedlium_3733.wav", "duration": 13.17, "text": "We expect the implementation of new rates following our 2017 Texas Rate Case will help reduce the impact of regulatory lag. So now I'd like to take a moment to review our 2017 Texas Rate Case filing on the next slide."}, {"path": "tedlium_3734.wav", "duration": 13.17, "text": "but they're also -- when they see what we do and see that we can both provide what they're calling integrated receivables or next-generation lockbox, we can do that plus we can provide an online presence that would actually take away paper"}, {"path": "tedlium_3735.wav", "duration": 13.17, "text": "As you may recall, we previously said that we expected our existing cash to be sufficient to take us into the first quarter of 2018. Based upon the payments we received from Spark in December"}, {"path": "tedlium_3736.wav", "duration": 13.17, "text": "And this is presented alongside our effective tax rate, and the third bar for 2017 excludes items such as the expense associated with the revaluation of the deferred tax asset taken in the fourth quarter"}, {"path": "tedlium_3737.wav", "duration": 13.17, "text": "In total, we believe we have the assets and capabilities to drive strong revenue growth and cash flow for many years to come, and the opportunity to bring a series of additional major innovations to the market."}, {"path": "tedlium_3738.wav", "duration": 13.17, "text": "put in place the strategy that we put in place back when we did the Stream transaction, we do not have a tax-efficient way at this point in time to bring that cash back. Our need for offshore cash"}, {"path": "tedlium_3739.wav", "duration": 13.17, "text": "It is also evident that community banks deciding to be part of a larger organizations are attracted to the power of the Rockland Trust brand, our corporate values and our currency."}, {"path": "tedlium_3740.wav", "duration": 13.17, "text": "researching and declaring clinical candidates, which subsequently need to go through formal preclinical development before a clinical entry. So there is a substantial period of time, let's say,"}, {"path": "tedlium_3741.wav", "duration": 13.17, "text": "we're working with Alexion's team on the joint discovery and development of GalXC RNAi molecules directed to 2 complement pathway targets for the treatment of complement mediated diseases."}, {"path": "tedlium_3742.wav", "duration": 13.17, "text": "we have to see that we have done a very detailed analysis, and we are not far away from our peers, therefore there's little we can do there. Looking into traffic, as you mentioned there has been an"}, {"path": "tedlium_3743.wav", "duration": 13.17, "text": "we not only can assist these labs to overcome the inherent efficiencies and their delivery of their services but also assure growing margins at Enzo. We believe we are in a very advantageous position now."}, {"path": "tedlium_3744.wav", "duration": 13.17, "text": "with recent legislation, extending bonus depreciation, we do not expect to pay cash federal income taxes until 2023 due to the intensity of our capital investment program."}, {"path": "tedlium_3745.wav", "duration": 13.17, "text": "We continue to work with our neighbors in the Southern Gateway Consortium on the infrastructure works required by the Auckland City Council to be completed before any development proceed on any unimproved property."}, {"path": "tedlium_3746.wav", "duration": 13.17, "text": "We appreciate the support of both our new and existing investors. We expect this raise gives us resources to advance our pipeline of precision medicines through a series of upcoming potential data catalysts."}, {"path": "tedlium_3747.wav", "duration": 13.17, "text": "We are supplying a wide range of pixel sizes for different machine vision applications on this global shutter technology platform that will enhance our leadership in this market. We expect to start production on this platform by the end of the year."}, {"path": "tedlium_3748.wav", "duration": 13.17, "text": "but also on the installation side of the equation where we think there is still a pretty good opportunity to make these products more affordable. With close rates, specifically to your question, close rates remain fairly"}, {"path": "tedlium_3749.wav", "duration": 13.17, "text": "The increase was primarily driven by the addition of aftermarket part sales from the recent Country Home Products acquisition and to a lesser extent, additional service parts sales resulting from a growing base of stationary and mobile products in the market."}, {"path": "tedlium_3750.wav", "duration": 13.17, "text": "it's a good question because I get asked about this from time to time. But over the long run, that's why we have a lot of confidence around sort of this view that homeowners on home improvement will have a view to do it once and do it right,"}, {"path": "tedlium_3751.wav", "duration": 13.17, "text": "In terms of sort of your position about any scenarios that might play out, your guess is as good as mine. And so I won't speculate on any of that because it would be nothing more than pure speculation."}, {"path": "tedlium_3752.wav", "duration": 13.17, "text": "Another operational focus for us right now is looking forward to the Alpha transaction to make sure that we combine the 2 respective supply chains"}, {"path": "tedlium_3753.wav", "duration": 13.17, "text": "that we're actually going to get that appeals to go through. The partners that we use to do this are pretty optimistic with their success rate through the multiple appeal process, but we have to get our"}, {"path": "tedlium_3754.wav", "duration": 13.17, "text": "Other permutations, we actually have a few centers up in upstate New York where they are referring over to a general surgeon to insert because they chose to set up a kind of a hub-and-spoke."}, {"path": "tedlium_3755.wav", "duration": 13.17, "text": "Our Banno Conversations module is receiving particularly high marks. So we're excited about the Banno Suite as a true differentiator for our banks and credit unions as they serve their customers in the highly competitive digital world."}, {"path": "tedlium_3756.wav", "duration": 13.17, "text": "investors would benefit from natural time line and actual costs. What are the estimated costs to get this into Halden, for example?"}, {"path": "tedlium_3757.wav", "duration": 13.17, "text": "last fall and start up and utilization challenges on a couple of contracts. Offsetting this for lower payroll cost is a percent of revenue and the rate adjustments associated with extraordinary utilization in one of our larger programs"}, {"path": "tedlium_3758.wav", "duration": 13.17, "text": "it continues to put pressure on the industry in the sense that there's very little revenue growth opportunities. There's still a tremendous amount of competition for"}, {"path": "tedlium_3759.wav", "duration": 13.17, "text": "But the new legislation made it possible for us to use those tax losses, and that's why we have this positive effect in the last quarter. So that was really good news for us."}, {"path": "tedlium_3760.wav", "duration": 13.17, "text": "continuous improvement, driven through operations as well as the capital investments we are making. That being said, we are running more of the capacity that we have in an annualized basis due to the growth."}, {"path": "tedlium_3761.wav", "duration": 13.17, "text": "And took those centers back to a primary location, which had a nice effect on the profitability and, obviously, there was almost no effect on the revenue because most of that had"}, {"path": "tedlium_3762.wav", "duration": 13.17, "text": "and the sustainability that has been presented will be extended to mainly as well we have to make sure that we get higher penetration in the butter."}, {"path": "tedlium_3763.wav", "duration": 13.17, "text": "And in that, what you would do is, of course, use all the specifics in terms of understanding the company and -- specifics of the company before you would want to make certain decisions. But what I can tell you is that"}, {"path": "tedlium_3764.wav", "duration": 13.17, "text": "So from our view to the market, it really is a biggest challenge and a biggest opportunity, which is to help them go through a digital transformation, like every industry is going through."}, {"path": "tedlium_3765.wav", "duration": 13.17, "text": "We also have the option of accelerating the development program by adding a third grade, concentrating on Area 2 development. And that also depends on commodity prices, but we do have the liquidity and flexibility to bring on that rig."}, {"path": "tedlium_3766.wav", "duration": 13.17, "text": "We expect THP's results to remain below our target for the next couple of quarters as we continue to implement budget updates on our remaining investments. Although we believe the results are stabilizing, as you can see by the bar graph on the slide."}, {"path": "tedlium_3767.wav", "duration": 13.17, "text": "These non-GAAP measures are not meant to be a substitute for our GAAP financials, and we advise you to refer to the reconciliations to GAAP measures, which are included in our earnings release and on our website."}, {"path": "tedlium_3768.wav", "duration": 13.17, "text": "well workovers and actually position ourselves to have slightly increased production for when the pipeline is back on. And in terms of the inventory numbers you asked about, we"}, {"path": "tedlium_3769.wav", "duration": 13.17, "text": "We were able to increase site capacity during the day on Black Friday. And once we saw the strengths, we were able to add even more capacity in a few hours over the weekend to support the heavy loads on Cyber Monday."}, {"path": "tedlium_3770.wav", "duration": 13.17, "text": "the continued expansion of our Sam Edelman brand and his retail stores, our consumer targeting efforts at Famous Footwear and our continued investment in digital across the enterprise."}, {"path": "tedlium_3771.wav", "duration": 13.17, "text": "The cautionary statements contained in yesterday's news release and in our annual filings, again, both available on our website and on SEDAR, outline various risk factors, assumptions and cautions regarding forward-looking statements or information,"}, {"path": "tedlium_3772.wav", "duration": 13.17, "text": "If you think about the magnitude of the impact of the changes that we've been making to these programs, where you see it most in terms of improvement in gross to net is in derm. That's why you see the impact that you see on our Q3 quarter results,"}, {"path": "tedlium_3773.wav", "duration": 13.17, "text": "What our sales forces do, they go to small, midsize clients and go for instance to a bakery and sell the 2 or 3 billboards around the bakery,"}, {"path": "tedlium_3774.wav", "duration": 13.17, "text": "offer much improved safety for our drivers and a much improved quality of life for the men and women that are on the road for FedEx out there. So clearly, these technologies won't stop there."}, {"path": "tedlium_3775.wav", "duration": 13.17, "text": "And third, you have got to have a close collaboration with your major customers who have a lot of residential e-commerce so you know where that traffic is coming from, you can prepare for it and handle it. So"}, {"path": "tedlium_3776.wav", "duration": 13.17, "text": "We are doing an end-to-end assessment of customer profitability and reviewing all operating and administrative processes in order to further reduce costs and improve our financial results for this segment."}, {"path": "tedlium_3777.wav", "duration": 13.17, "text": "Our low leverage on our balance sheet gives us a lot of comfort and flexibility. We believe we will continue to outperform regardless of market conditions."}, {"path": "tedlium_3778.wav", "duration": 13.17, "text": "pending ratification. I would also mention that we have agreed on security measures and the mine's reclamation plan, removing prior material risks to the project."}, {"path": "tedlium_3779.wav", "duration": 13.17, "text": "And finally, we'll ensure that we do justice to the spectacular high-grade ore body at Obuasi, which for decades has been waiting to be modernized and capitalized in the way which we are now proposing to ensure a profitable,"}, {"path": "tedlium_3780.wav", "duration": 13.17, "text": "And it is the case that we've maintained all of the virtues that got us here, including a very good market share, a terrific group of people who are our national sales force, a great brand that is"}, {"path": "tedlium_3781.wav", "duration": 13.17, "text": "supported by low prices across several commodities as I had alluded earlier and also due to seasonality. Going ahead in Q4 and Q1, which are historically our high procurement quarters, we expect"}, {"path": "tedlium_3782.wav", "duration": 13.17, "text": "the impact on reported expense does need to be considered, and it is outlined in the footnotes that are part of our earnings release. When you exclude the impact of the accounting for these gains and losses,"}, {"path": "tedlium_3783.wav", "duration": 13.17, "text": "I wanted to ask about the defense weakness in the quarter. Is that a timing slip on the international sales and armament systems that you called out? Or are you seeing any kind of deterioration in the international defense market?"}, {"path": "tedlium_3784.wav", "duration": 13.1400625, "text": "On the product questions, I wonder if you could tell us -- you've given us the initial sales of Reagila. Could you tell us what sort of pricing you have been able to achieve"}, {"path": "tedlium_3785.wav", "duration": 13.14, "text": "So to conclude, although this has been another period of volatility and downward pressure in various economies in Europe, we have continued to drive up margins and returns across the business."}, {"path": "tedlium_3786.wav", "duration": 13.14, "text": "they don't all think yet WiFi first, but when you get in, in front of the executive staff and you start to really have a good discussion around their strategic initiatives"}, {"path": "tedlium_3787.wav", "duration": 13.14, "text": "And earlier this year, we announced that we moved our headquarters office from New York to New Jersey, not only reducing costs but also providing additional opportunities for collaboration and innovation."}, {"path": "tedlium_3788.wav", "duration": 13.14, "text": "we focused on growing our newer revenue streams, including route-based pick-up and unused medication solutions, both of which typically contribute a more predictable recurring revenue stream."}, {"path": "tedlium_3789.wav", "duration": 13.14, "text": "We see great growth potential for our retail pharmacy through a variety of initiatives. Improvement in payer relationships, expansion of revenue-generating healthcare services offered through the pharmacy,"}, {"path": "tedlium_3790.wav", "duration": 13.14, "text": "Slide 6 shows the financial highlights for the fourth quarter. Our positive momentum continues with record sales, record core operating earnings and record adjusted earnings per share."}, {"path": "tedlium_3791.wav", "duration": 13.14, "text": "I want to emphasize that our Marketplace strategy has been to provide an accessible extension of our Medicaid product to those individuals whose eligibility for Medicaid tends to fluctuate due to variability in their income."}, {"path": "tedlium_3792.wav", "duration": 13.14, "text": "We began initial qualifications last quarter, with first revenues now expected at the end of this year and accelerating into 2019. So this is happening."}, {"path": "tedlium_3793.wav", "duration": 13.14, "text": "for those patients to be in the trial, meaning we should be able to enroll it relatively quickly. So in the scheme of things, a couple of weeks really won't be material, other than the 2 very important reasons I gave at the onset of my answer."}, {"path": "tedlium_3794.wav", "duration": 13.14, "text": "Turf and Garden sales were up slightly year-over-year and we're now about flat for the year-to-date period. We're operating in a relatively stable market right now and we continue to expect this market to be similar to last year."}, {"path": "tedlium_3795.wav", "duration": 13.14, "text": "In the coming months, you will see us piloting various tests across key innovation focus areas such as consumer access, the digital experience, our menu and restaurant experience in realigning the organization to support the go-forward strategy."}, {"path": "tedlium_3796.wav", "duration": 13.14, "text": "We believe these changes align the incentives for our sales reps with our broader business objective to capture more recurring revenue and reaccelerate the growth of our businesses."}, {"path": "tedlium_3797.wav", "duration": 13.14, "text": "and ahead of expectations. Looking at the results for the first and second quarters, we remain favorably positioned in the market and we are raising guidance for the year. Let's start on Slide 7 with the review of the second quarter results."}, {"path": "tedlium_3798.wav", "duration": 13.14, "text": "you mentioned something like 70 basis points of volume growth coming from test markets, and you kind of went through that quickly. I wasn't sure that I really understood what that related to."}, {"path": "tedlium_3799.wav", "duration": 13.14, "text": "The second thing is being an independent entity, we have quite a bit of experience driving results in different cultures that our customers have. And that's very important as you think about"}, {"path": "tedlium_3800.wav", "duration": 13.14, "text": "As it relates to the rest of 2018, we have already seen Fannie Mae come back into the market, and it is our clear expectation that Fannie will capture its historic market share of total multifamily lending this year."}, {"path": "tedlium_3801.wav", "duration": 13.14, "text": "European truck platooning challenge. I would ask you that you can click on the link if you like to see. We have a short video on it and I think that you're well aware of it. I think it was relatively successful for the group."}, {"path": "tedlium_3802.wav", "duration": 13.14, "text": "I mean, the -- if you look at the slide and look at the relative cuts in production, those are relative to production numbers in Q1 where we had already cut. So you can imagine the levels that we're running at right now."}, {"path": "tedlium_3803.wav", "duration": 13.14, "text": "As we execute on our growth objective, we will be able to better leverage our fixed cost through scale. In addition, we expect to benefit from reduced unit processing costs through the process renewal activities that I discussed earlier."}, {"path": "tedlium_3804.wav", "duration": 13.14, "text": "Many of you may also have questions regarding the accumulation of shares by Melodious Investments Company Limited, a firm wholly owned by Jilun He, a resident of Hong Kong."}, {"path": "tedlium_3805.wav", "duration": 13.14, "text": "likelihood, but the understanding of the requirements and the expectations, coupled with some investment along the way and lots of planning, I think will put us in position for that when that time comes."}, {"path": "tedlium_3806.wav", "duration": 13.14, "text": "we've learned to take a systematic approach and not really switch into what some people would call a manufacturing mode, because we want to continue to learn, and we want to continue to get better."}, {"path": "tedlium_3807.wav", "duration": 13.14, "text": "and they see what they have at hand. But I also think what is important in our case is that we have 3 things in mind when we make those decisions. And number one is to make sure that we are compliant."}, {"path": "tedlium_3808.wav", "duration": 13.14, "text": "we will be able to decouple our performance from the commodity cycle that dominates OSB. We believe that the end result of these focused and deliberate actions will be more consistent and sustainable results over time,"}, {"path": "tedlium_3809.wav", "duration": 13.14, "text": "in the last couple of years. You seem to be getting pretty good prices. I mean, one might argue better prices than the equity market here is willing to ascribe to them. Have you ever thought about"}, {"path": "tedlium_3810.wav", "duration": 13.14, "text": "Our sales executive team has also several associates who are dedicated to analyzing our pricing throughout the organization to support the local decisions we make relating to product choices, delivery decisions and customer support."}, {"path": "tedlium_3811.wav", "duration": 13.14, "text": "The order intake went down by 30%. Business group After Sales also had a little decline. And the reason here is that in the After Sales business, we also report the installation"}, {"path": "tedlium_3812.wav", "duration": 13.14, "text": "Tri-State, for example, in financial services, I don't think we moved quickly enough into the compliance space. Now we're moving very quickly into the data space where we're seeing a lot of those"}, {"path": "tedlium_3813.wav", "duration": 13.14, "text": "If you followed us for any length of time, you know that we take a measured approach to our business, managing for the long term and taking care of our associates, communities and shareholders along the way, regardless of outside events."}, {"path": "tedlium_3814.wav", "duration": 13.14, "text": "which means you got to grow with customers and you have to have a plan. And so we spend a lot of time with our customers understanding what the consumer is looking for, the unmet market needs and how making those acquisitions"}, {"path": "tedlium_3815.wav", "duration": 13.14, "text": "We expect Process Materials to continue to benefit from the growth of underlying MSI and increasing 3D structures, like VNAND. Advanced Materials is expected to benefit from the same trends"}, {"path": "tedlium_3816.wav", "duration": 13.14, "text": "The other first quarter item I want to cover was our restructuring charge. We've talked about headcount reduction and other expense reductions. In the first quarter, we initiated further reductions that included both headcount and facility costs."}, {"path": "tedlium_3817.wav", "duration": 13.14, "text": "that effort in the OVM area and really excited to see the kind of development that is going on. We're getting a tremendous amount of well connect requests"}, {"path": "tedlium_3818.wav", "duration": 13.14, "text": "coal sales were impacted by the weak market demand that resulted from a continued decline of natural gas prices and soft domestic utility demand driven by reduced electricity generation."}, {"path": "tedlium_3819.wav", "duration": 13.14, "text": "are going to be the same adopters for the bacterial products and for the hemostatic products. So are you looking at building that kind of a edifice where each of these people that are the adopters would be the"}, {"path": "tedlium_3820.wav", "duration": 13.14, "text": "the successful execution of our strategy to position Charles River as the early-stage research partner of choice, a position that we believe will be enhanced by the pending acquisition of WIL Research."}, {"path": "tedlium_3821.wav", "duration": 13.14, "text": "Thanks, Jeff. Before I provide commentary on our financial results for the fourth quarter of 2018, it's important to note the fourth quarter of 2017 included a royalty settlement related to a license agreement"}, {"path": "tedlium_3822.wav", "duration": 13.14, "text": "Adobe, whose software runs under many retail websites, analyzes data on billions of website visits to create its digital price index, a real-time snapshot of online consumer spending."}, {"path": "tedlium_3823.wav", "duration": 13.14, "text": "should point out that most of the projects around the home that our products are with are not part of a large council-approved renovation, so they are not generally captured under alterations and additions statistics."}, {"path": "tedlium_3824.wav", "duration": 13.14, "text": "The factory will generate a financial return through lower costs and through capital expenditure savings at Rocklea. As the largest paint manufacturer with the greatest scale,"}, {"path": "tedlium_3825.wav", "duration": 13.14, "text": "Anthony outlines the current status of RINTEGA program. We are working hard to understand the details within this data set and will be fully transparent in sharing our findings at the public presentation at SNO in November."}, {"path": "tedlium_3826.wav", "duration": 13.14, "text": "We also saw very strong bookings in our payments and complementary solutions segments. Several of our newer solutions, including our Banno Digital Suite, our commercial lending automation solution and treasury management saw strong demand."}, {"path": "tedlium_3827.wav", "duration": 13.14, "text": "I'm pleased to share another strong set of results, which demonstrate the progress we are making towards our ambition to be one of the best performing, most trusted and respected consumer product companies in the world."}, {"path": "tedlium_3828.wav", "duration": 13.14, "text": "for the -- as far out as we look, and this has been true even without the super high inflation we've seen in the last couple of years, has been those that can dramatically affect outcomes that are better for patients. I think the other piece I would say is that it's twofold."}, {"path": "tedlium_3829.wav", "duration": 13.14, "text": "Yes, Dana, I would say probably too early to address that question. Remember, that we're talking about submitting for Solri in Europe late this year, which would put it a full year behind"}, {"path": "tedlium_3830.wav", "duration": 13.14, "text": "The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as required by law."}, {"path": "tedlium_3831.wav", "duration": 13.14, "text": "a capital recycling position, right? So as ever, and I think you'll see that our overall strategy over time is going to be to constantly look at the assets that are the lower-growth-rate side of the spectrum that have attracted pricing"}, {"path": "tedlium_3832.wav", "duration": 13.14, "text": "So it will be inefficient. We are going to have to add some incremental staff. That incremental staff in the home health segment"}, {"path": "tedlium_3833.wav", "duration": 13.14, "text": "And finally, our partner, Encompass, has established a very solid track record of treating complex patients in their homes through their specialty programs, 2 of which focus on cardiac"}, {"path": "tedlium_3834.wav", "duration": 13.14, "text": "But you have also asked, so what you are you actually doing? So we have multiple projects internally. These are not things that we hope for. These are people"}, {"path": "tedlium_3835.wav", "duration": 13.14, "text": "In addition, we are updating our previously disclosed projections regarding depreciation and amortization and capital expenditures, including the recently acquired Mega Airless business."}, {"path": "tedlium_3836.wav", "duration": 13.14, "text": "We saw the impact of foreign currency conversion variance of foreign subsidiaries due to the stronger yen, but crop protection chemical shipment increased in overseas market,"}, {"path": "tedlium_3837.wav", "duration": 13.14, "text": "We eliminated the nearly 4-week tiered promotional event that we had last year in our stores and online during Q1, as these types of promotions train the customer to wait for sales and handcuff our wholesale partners."}, {"path": "tedlium_3838.wav", "duration": 13.14, "text": "So let me close my remarks by verifying that I remain confident about the prospects for Bladex in 2016, as the bank capitalizes on its position as a relevant player in the region with an important role"}, {"path": "tedlium_3839.wav", "duration": 13.14, "text": "taking into account the -- or excluding the amortization of other intangibles pertaining to acquisitions in the last quarter due to strong growth of our scalable industry solutions."}, {"path": "tedlium_3840.wav", "duration": 13.14, "text": "And although there is substantial exploration opportunity, but it's very much going to be prioritized by how you commercialize this in a sensible way, getting the oil into infrastructure and building"}, {"path": "tedlium_3841.wav", "duration": 13.14, "text": "several repeat cycles. And frankly, in the case of Duncan Hines, that's exactly the thing that started manifesting itself this year along with the convergence of new competitive products coming into the marketplace"}, {"path": "tedlium_3842.wav", "duration": 13.14, "text": "We're focusing on the job that we've been doing here for very long time, which is making middle market loans. And there is no question that if you look across the capital markets,"}, {"path": "tedlium_3843.wav", "duration": 13.14, "text": "How do those -- that type of market condition impact your returns on your net lease portfolio with respect to -- I'm really not clear as to what type of escalators or something might be in those loans."}, {"path": "tedlium_3844.wav", "duration": 13.14, "text": "I'm not sure with our history and our customer base and what we do, it would have been a winning purchase to actually overpay for a company and then try to monetize it. I'm not sure we could have. And so what we've done,"}, {"path": "tedlium_3845.wav", "duration": 13.14, "text": "which are subject to risks and uncertainties. These risks are described in detail in the company's SEC reports, including our earnings release and our most recent annual report on Form 10-K."}, {"path": "tedlium_3846.wav", "duration": 13.14, "text": "We remain focused on growing both our revenue and pretax profits at a double-digit annual pace while continuing to generate annual positive operating cash flows and improved returns."}, {"path": "tedlium_3847.wav", "duration": 13.14, "text": "tax savings would be focused? I mean, maybe you could just share a little bit, are those areas that you're currently investing in? Or they're new areas that you plan on investing in? Just trying to get a sense of where the reinvestment would be directed."}, {"path": "tedlium_3848.wav", "duration": 13.14, "text": "Sure. So very pleased with the stabilization of that business and the strength of the Discovery business in totality. You all know that we got into this business"}, {"path": "tedlium_3849.wav", "duration": 13.14, "text": "Clients come to us because we have the expertise to help them derive and maintain their proprietary model colonies. Insourcing Solutions revenue continues to increase"}, {"path": "tedlium_3850.wav", "duration": 13.14, "text": "And so I can't help but think that the demand is building and that all of this is going to whipsaw at some point. I don't know if it's Q2, Q3 or when, and I don't know if"}, {"path": "tedlium_3851.wav", "duration": 13.14, "text": "as several of our international customers are having difficulty converting their local currency to U.S. dollars, leading to cash collections being delayed. Ralph will provide more color in his remarks."}, {"path": "tedlium_3852.wav", "duration": 13.14, "text": "assets trade in Texas, and we still feel like the offers that we're looking at are also very positive. I think part of the challenge that we've had and we're continuing to work through is identifying where those operations should ultimately"}, {"path": "tedlium_3853.wav", "duration": 13.14, "text": "Before we start on the details, I want to spend a little time talking about where we are in the transformation process, what is going well, what challenges remain that we are tackling and lastly, to provide a longer-term outlook."}, {"path": "tedlium_3854.wav", "duration": 13.14, "text": "and our many other health benefits and health services offerings are all elements of a broader strategic mission globally to help people live healthier lives and to help make the health system work better for everyone."}, {"path": "tedlium_3855.wav", "duration": 13.14, "text": "These large projects typically spur additional development and complementary projects in the surrounding areas for years to come and give us confidence that the nonresidential construction end market remains strong."}, {"path": "tedlium_3856.wav", "duration": 13.14, "text": "I'm watching backlog carefully and fully expect, that the changes discussed will start to show improvements to backlog and subscription revenue over the next few quarters and coming years."}, {"path": "tedlium_3857.wav", "duration": 13.14, "text": "Yes. I'd just add. What do we need to do? We need to communicate with our investors and continue to be incredibly open and transparent. And the question we have for them is what do they need from us,"}, {"path": "tedlium_3858.wav", "duration": 13.14, "text": "that it wasn't necessarily that there's a ton of opportunities out there, and you're just not going after them fast enough. I'm just really trying to weigh up what you really meant by you want to be more aggressive."}, {"path": "tedlium_3859.wav", "duration": 13.14, "text": "to be comparable to the prior year, while other international consumer and commercial markets are expected to continue to grow moderately. Sales are also expected to continue to shift from in-store channels to Internet sales channels."}, {"path": "tedlium_3860.wav", "duration": 13.14, "text": "that used vehicle results were flat with the prior year and that there was no more accelerated depreciation. So the big driver there would be the residual value impacts that we're estimating right now based on"}, {"path": "tedlium_3861.wav", "duration": 13.14, "text": "on the first one... So let me take that one. In terms of the orders, one of the things that we decided to do, just to make sure that everybody is clear, is when you're looking at forecasting our revenue going forward, the orders are now focused on the field side of the business"}, {"path": "tedlium_3862.wav", "duration": 13.1100625, "text": "And we do look at opportunities that do arise, but we are very practical and appropriate in understanding where we can extract some really good shareholder value as well as add strategically to the business. So"}, {"path": "tedlium_3863.wav", "duration": 13.11, "text": "So I covered just a few thoughts and our numbers for the quarter ending September 30, 2016, spent a few minutes on our recent transaction with Invekra and how this transaction fits into our overall corporate strategy."}, {"path": "tedlium_3864.wav", "duration": 13.11, "text": "As a reminder, ACE-083 is designed to increase strength and function in specific target muscles. The data presented were consistent with the findings we reported at neurology congresses throughout this year"}, {"path": "tedlium_3865.wav", "duration": 13.11, "text": "They also reported last night, and the numbers were solid. The outlook was sound. And they hired a new CFO. We think the stock is grossly undervalued at this price, and we're extremely excited about the stock at its current price."}, {"path": "tedlium_3866.wav", "duration": 13.11, "text": "For us, it's about ingraining it within the business. So we have -- now we have a trading meeting every month with all of our divisions. It's high on the agenda."}, {"path": "tedlium_3867.wav", "duration": 13.11, "text": "I think you're going to see the mix of our services continue to shift northbound on value while the mass of services decreases"}, {"path": "tedlium_3868.wav", "duration": 13.11, "text": "sales expansion is expected and you plan to ship more? Is it also a factor? Alecensa has been remarkably growing."}, {"path": "tedlium_3869.wav", "duration": 13.11, "text": "once you get current on the filings, which it sounds like it's going to be next week or maybe shortly thereafter once you get the filings out. Would you be able to theoretically begin to buy back your stock at that point?"}, {"path": "tedlium_3870.wav", "duration": 13.11, "text": "In the next half year, a year, it will steadily fall. It will not fall sharply. So the next year it will fall slightly. And in a stable manner. Then after this time it will"}, {"path": "tedlium_3871.wav", "duration": 13.11, "text": "and on information currently available to the company. They involve risks, uncertainties and assumptions because they relate to the future events and, therefore, depend on circumstances that may or may not occur in the future."}, {"path": "tedlium_3872.wav", "duration": 13.11, "text": "We know improved merchandising with stronger margins will enhance profitability, and we are reinvesting a portion of that improved margin into marketing, all to drive stronger awareness, and ultimately, sales and profit."}, {"path": "tedlium_3873.wav", "duration": 13.11, "text": "to deliver long-term profitable growth and create value for all of our unitholders. And with that, I'll hand the call over to George for a more detailed financial review of the quarter. George?"}, {"path": "tedlium_3874.wav", "duration": 13.11, "text": "yet fully understand the operational structure, nor do we have a sense of how it might be financed. If we are able to overcome these hurdles, it could be quite transformative for Xcede. So"}, {"path": "tedlium_3875.wav", "duration": 13.11, "text": "In addition to substantial health economics now comes research and preclinical research activities. We're actively communicating our data generation efforts at key research meetings and for scientific publications, and several programs are reaching important milestones."}, {"path": "tedlium_3876.wav", "duration": 13.11, "text": "And iterations of smartphones may be very, very fast. But for the fire service, that iteration is not as fast. And it requires a lot of market research and understanding of what happens"}, {"path": "tedlium_3877.wav", "duration": 13.11, "text": "is to allow us to take products from Baudette and move them into a tech transfer opportunity here at the WellSpring site."}, {"path": "tedlium_3878.wav", "duration": 13.11, "text": "We often wonder whether we're spending on the right things or maybe sometimes we're just skipping stones, leaving no marks. I think more often than not, we're just skipping stones."}, {"path": "tedlium_3879.wav", "duration": 13.11, "text": "specializes in servicing these chronic conditions linked to aging and the age average of our patients for this division is 75 years of age. So we have launched a far-reaching"}, {"path": "tedlium_3880.wav", "duration": 13.11, "text": "a point where there's a capitulation. And that's usually a good sign that we're going to go into a phase where there is disciplined investment in the market because people have seen what happens when you're undisciplined"}, {"path": "tedlium_3881.wav", "duration": 13.11, "text": "They were using a legacy Avaya premise system, which had become dated, and in particular, could not scale to handle the call volume during the peak season and which could not support remote agents using virtual desktops."}, {"path": "tedlium_3882.wav", "duration": 13.11, "text": "Our oilfield service customers remain capital constrained and cautious, and our oil and gas operator customers are demonstrating fiscal discipline and restraint. Understandable given the commodity price head-fakes we've all witnessed through this downturn."}, {"path": "tedlium_3883.wav", "duration": 13.11, "text": "Thanks, Barry. Let me spend a few moments talking about our first half performance and then address some of the key issues we see for the rest of the year and the actions we're taking to address opportunities and challenges."}, {"path": "tedlium_3884.wav", "duration": 13.11, "text": "So we have a very good position as some of these new processes are adopted. And certainly, we have a good line of sight to the future technology nodes. So"}, {"path": "tedlium_3885.wav", "duration": 13.11, "text": "where we have combined the group operation support, the technology office, group information systems in order to be able to better respond to the digital changes which are quite profound"}, {"path": "tedlium_3886.wav", "duration": 13.11, "text": "And we have to set up all the transport, all the labor, and all the volume is not there yet, and we think we're well positioned for peak. But we're going to continue to invest and I mentioned before that when you look at"}, {"path": "tedlium_3887.wav", "duration": 13.11, "text": "These statements are subject to the risk and uncertainties as described in the company's earnings release and other filings with the SEC, including our Form 10-Q to be filed later today."}, {"path": "tedlium_3888.wav", "duration": 13.11, "text": "wind power or solar panel in the next few months or years even to New England is just not facing reality. And the only practical choice in our judgment, and there's a mix of a lot of"}, {"path": "tedlium_3889.wav", "duration": 13.11, "text": "and expect to have 3 product candidates in clinical development in the first half of 2019, during which we expect to achieve a number of important upcoming clinical and regulatory milestones. Specifically,"}, {"path": "tedlium_3890.wav", "duration": 13.11, "text": "While the Entrada acquisition was a great first step in that direction, adding an analytics element rounds out our offering and allows us to move towards meaningfully expanding the breadth of our solution and its coverage of the needs of our stakeholders."}, {"path": "tedlium_3891.wav", "duration": 13.11, "text": "at least based on the math, we're not actually seeing an impact in our ability to drive the goals that we had for the year. So again, I don't want to read too much into the market growth over the last 2 quarters."}, {"path": "tedlium_3892.wav", "duration": 13.11, "text": "The International segment is an important component of our strategic position with integrated oil companies and other international downstream customers as we look to expand our share of their spend and capture new customers."}, {"path": "tedlium_3893.wav", "duration": 13.11, "text": "on a normalized basis, we would tend to lose a little bit of money in the Indian JV. There's just not enough work going through that. We will lose less in the Indian JV, post the decision to pay down the high interest loan,"}, {"path": "tedlium_3894.wav", "duration": 13.11, "text": "But the initial stopes are fairly good size, and we should start to see those come in. The grade should be a little bit better than what we're seeing along the development. But the developments haven't been that bad a grade. I mean, overall this is"}, {"path": "tedlium_3895.wav", "duration": 13.11, "text": "Technology is moving very quickly. Jobs are being transformed by the day, by the minute, and the skills that people need to do those jobs are changing very, very quickly at this point."}, {"path": "tedlium_3896.wav", "duration": 13.11, "text": "Digital revenues as I mentioned earlier on, these were impacted by the vast optimization work that we undertook in 2017, resulting in the revenue contraction that you saw in the key markets such as Nigeria."}, {"path": "tedlium_3897.wav", "duration": 13.11, "text": "Yes. Thanks for asking, but securities laws actually prevent me from discussing the bond issue beyond what I said in my prepared remarks. But I think I pretty much covered it"}, {"path": "tedlium_3898.wav", "duration": 13.11, "text": "We will introduce delivery in a way that combines the best coffees and the most innovative coffee and tea beverages in the world with the rapidly evolving consumer trend in China for at-home and at-work convenience."}, {"path": "tedlium_3899.wav", "duration": 13.11, "text": "regional trends as it relates to adoption of your passenger car solutions? And then in particular, I was curious about the Venezuelan exposure. I know historically, your company had, had some exposure to that market."}, {"path": "tedlium_3900.wav", "duration": 13.11, "text": "And an additional point is on the import parity line. So it's the more milling capacity on the wheat side that you can have near a coastal area the more beneficial it should be to your business because we don't expect the local"}, {"path": "tedlium_3901.wav", "duration": 13.11, "text": "in half, from 8 hours using other solutions to 4 hours using our solution today. We expect to reduce that time from 4 hours down to just 90 minutes by the end of this year with our new AI feed and capabilities."}, {"path": "tedlium_3902.wav", "duration": 13.11, "text": "key to the future of the company. The second is though that we have been investing more in engineering resources to support larger customers, and generally, those tend to be in the consumer electronics and logistics space."}, {"path": "tedlium_3903.wav", "duration": 13.11, "text": "The commodity outlook -- I mean, dairy's obviously a problem at the moment. Will you get some relief at some point, perhaps on the cocoa side? And then can you talk specifically about the pricing environment?"}, {"path": "tedlium_3904.wav", "duration": 13.11, "text": "we have a plateful of how to go about it, but that's pretty much how. So on the other side, your older tires, you go through the tire dealers, and that's price driven."}, {"path": "tedlium_3905.wav", "duration": 13.11, "text": "The reality is we have been demanding a great deal from our organization while implementing our operating system, pushing through site integration and compliance projects and driving our portfolio reshaping."}, {"path": "tedlium_3906.wav", "duration": 13.11, "text": "Overall, we remain very well positioned to deliver profitable growth and long-term value to our shareholders as we continue to execute on our strategic objectives, which is summarized on"}, {"path": "tedlium_3907.wav", "duration": 13.11, "text": "under warranty. As those products come off, service plan opportunities come on, and so we have opportunities just to continue that slow, steady march upward in terms of attach rates on service plans. And"}, {"path": "tedlium_3908.wav", "duration": 13.11, "text": "studies without having to build new space there. We're really pleased with our ability to attract senior scientists, and the management team for that facility is really quite exceptional,"}, {"path": "tedlium_3909.wav", "duration": 13.11, "text": "include adjustments for businesses retained by the parent, such as Clipper Magazine and Gannett Government Media, and adjustments for corporate allocations related to equity-based compensation, pensions and other various items."}, {"path": "tedlium_3910.wav", "duration": 13.11, "text": "We have seen over the years and under our ownership businesses like Yates, Dulux New Zealand, Trade Paint in Australia and Protective Coatings in Australia improve from loss-making positions to strong profits."}, {"path": "tedlium_3911.wav", "duration": 13.11, "text": "in 2015. The usage of cash and operating activities was primarily due to the increase in accounts receivable and the decline in deferred revenue and accrued liabilities during the first quarter"}, {"path": "tedlium_3912.wav", "duration": 13.11, "text": "Moving to supply, we are driving cost of production down through a number of work streams. Nigeria, as an example, has made most progress in the supply areas that we categorize as make and move."}, {"path": "tedlium_3913.wav", "duration": 13.11, "text": "I think it's very good, I think solid performance. We had the slightly lower shipments and the reason for that was that we had severe weather in Mid West in Montpelier, where we have one of our"}, {"path": "tedlium_3914.wav", "duration": 13.11, "text": "But as said we are trying to put ourselves in a position where we can at least take an educated look in an educated -- have an educated view on whatever presents itself or what we can find. And without being"}, {"path": "tedlium_3915.wav", "duration": 13.11, "text": "I see. So I mean, is that to imply that you actually ceded some share in that? So then you could -- one could argue that this volume growth -- or organic growth that you're posting is even that much more impressive?"}, {"path": "tedlium_3916.wav", "duration": 13.11, "text": "Although 606 does not have a cash impact, nor an effect on the underlying economics of the company's customer contracts, applying the new revenue recognition accounting to contracts in startup and transition"}, {"path": "tedlium_3917.wav", "duration": 13.11, "text": "If we go to Western Europe. Then in Western Europe, we had, again, as I said, already saturated and a little bit improved consumer sentiment."}, {"path": "tedlium_3918.wav", "duration": 13.11, "text": "Additionally, on July 20, we announced the closure of our legacy hospital in downtown Austin and its consolidation with 1 of the 2 former Reliant hospitals in that market,"}, {"path": "tedlium_3919.wav", "duration": 13.11, "text": "but we don't want to add them too far in advance. I also want to comment, and this is an elaboration on Jay's explanation of these provisions earlier on, that although we believe that there may be some friction cost"}, {"path": "tedlium_3920.wav", "duration": 13.11, "text": "So what does that mean for BioLife? That means that these companies are really sensitive and aware that dead cells don't cure cancer, for example. So they need to make sure they're using the right tools, whether it's media or containers, or otherwise,"}, {"path": "tedlium_3921.wav", "duration": 13.11, "text": "Today, I will begin with a few thoughts on our first quarter results and full year outlook as it relates to our Coffee business before providing an update on our strategic road map."}, {"path": "tedlium_3922.wav", "duration": 13.11, "text": "automobile stores, they're still selling automobiles left and right. And so I have yet -- there's no factor that I have that I can sit here and tell you, Marci,"}, {"path": "tedlium_3923.wav", "duration": 13.11, "text": "and I guess that means you probably won't be able to grow capacity much next year. And finally, just with respect to the credit rating, I realize that clearly there is an amount to be finalized with respect to"}, {"path": "tedlium_3924.wav", "duration": 13.11, "text": "No, I guess, I'll just say anything more specific than that is going to be based largely on contracting strategy, et cetera, which is still currently under discussion within the joint venture. So"}, {"path": "tedlium_3925.wav", "duration": 13.11, "text": "where we might go with that. It's not done -- it's never done until it's done. And coordination around the partnership is an important part of that and we're working our way through that, but I think we're sitting reasonably comfortably"}, {"path": "tedlium_3926.wav", "duration": 13.11, "text": "I made a comment in that we positioned our assets to secure, plan and build the future growth. So when you think about that, there was an amount that we hedged. We won't disclose what it was, but"}, {"path": "tedlium_3927.wav", "duration": 13.11, "text": "Our focus has been on making sure that people are comfortable with our dividends. If you look at the presentation we posted, we're very pleased that we have been able to"}, {"path": "tedlium_3928.wav", "duration": 13.11, "text": "I will say that the fee headwinds tend to hit a little more in the earlier part of the year than the latter part just because of the kind of calendarization, and so that's incorporated in our forecast."}, {"path": "tedlium_3929.wav", "duration": 13.11, "text": "Two, as we were talking about earlier, the business -- as revenues have come on in this firm, costs have gone up almost at the same rate. We have not gotten sufficient scale advantages."}, {"path": "tedlium_3930.wav", "duration": 13.11, "text": "I don't know if that's taking longer or if I'm not remembering it correctly, but now it sounds like you're only talking about all the efforts adding 1 point to growth versus where we are now. So could you just clarify that, please?"}, {"path": "tedlium_3931.wav", "duration": 13.11, "text": "that's all predicated on the market. It's hard for me to predict that right now. As we look at Q4, we're not anticipating it going up or down in our current guidance, but obviously, oil prices will have a say in that."}, {"path": "tedlium_3932.wav", "duration": 13.11, "text": "And with the agenda that is currently being pursued, we understand that it's more of a refocus on U.S. interest that will leave a big space out there that will have to be filled by someone."}, {"path": "tedlium_3933.wav", "duration": 13.11, "text": "Before turning the call over to our CFO, David Grande, who will update you on our financial position, I would like to first address some of the significant developments in our efforts to return value to our stakeholders."}, {"path": "tedlium_3934.wav", "duration": 13.11, "text": "we maintain a low-levered balance sheet, and we focus on maintaining ample capacity and flexibility to fund our redevelopment program and to put us in a position to outperform over the long term."}, {"path": "tedlium_3935.wav", "duration": 13.11, "text": "And I think that this is inoperative. So for this type of insurance specifically, we will -- I think that we will launch"}, {"path": "tedlium_3936.wav", "duration": 13.11, "text": "We believe our first quarter results demonstrate the power of our model and that we are executing against our strategy. On the content side, we are leveraging our success in the new licenses, properties and business opportunities."}, {"path": "tedlium_3937.wav", "duration": 13.11, "text": "or bring us new presences in geographies like IQAP. I'll have some additional comments in a moment, but to review some additional details about the fourth quarter, let me now turn the call over to Brad."}, {"path": "tedlium_3938.wav", "duration": 13.11, "text": "We have a robust pipeline of innovative composite materials to serve these and other markets and estimate more than 50% revenue growth from composites in the next 5 years as these materials make their way to market."}, {"path": "tedlium_3939.wav", "duration": 13.11, "text": "The third leg of the stool supporting our double-digit commercial health plan revenue growth is the heightened interest by our largest customers in purchasing more of our products and services."}, {"path": "tedlium_3940.wav", "duration": 13.11, "text": "Working closely with these customers, we have built upon the significant amount of ground work made over the last several years, to identify and penetrate the right power plants that we believe will be able to stay compliant,"}, {"path": "tedlium_3941.wav", "duration": 13.11, "text": "We believe these adjustments reflect the underlying performance of the business when discussing operational results and comparing to the prior year periods. Please refer to the reconciliation and the financial tables of our press release for further details."}, {"path": "tedlium_3942.wav", "duration": 13.1099375, "text": "The combination of new security option, a completely new operating system and changes in application infrastructure appears to have caused IT Departments to proceed cautiously and therefore more slowly."}, {"path": "tedlium_3943.wav", "duration": 13.08, "text": "So it's not just the name of the company, but it's people to put a face to and a name to and realize that we're same as they are and part of their community."}, {"path": "tedlium_3944.wav", "duration": 13.08, "text": "We believe these customers are recognizing the value of our high-quality route structure and secure network and are turning to Syniverse to help them increase the utilization of mobility to communicate and engage with their customers."}, {"path": "tedlium_3945.wav", "duration": 13.08, "text": "the driver difficulties and that we needed an increase. And so on the back half of the year, I think part of this rate improvement that you've seen was also from us just being tendered loads at the agreed-upon rate, but just"}, {"path": "tedlium_3946.wav", "duration": 13.08, "text": "The projection that we put out there for sailing days is reflective of the discussions that we've had and the nominations that we've had from the customer,"}, {"path": "tedlium_3947.wav", "duration": 13.08, "text": "Another thing that they bring there is their open source -- curated open source distribution, which actually forms the underpinning for PKS now as well, so those are combined."}, {"path": "tedlium_3948.wav", "duration": 13.08, "text": "thinking back to your -- through the cycle target of 3% to 5% plus maybe a couple of points. I think you got the microwave award in 1Q. Is that kind of what the base case should be at this point?"}, {"path": "tedlium_3949.wav", "duration": 13.08, "text": "So good morning to all of you. I would like to welcome you to Beiersdorf's analyst meeting here in Hamburg. This is a special meeting today because it's with new management."}, {"path": "tedlium_3950.wav", "duration": 13.08, "text": "In order to sustainably support our growth, we need to strengthen our manufacturing footprint through capital investments in growth-relevant geographies as well as in technologies."}, {"path": "tedlium_3951.wav", "duration": 13.08, "text": "I have been working diligently with the new leadership team to develop a strategic roadmap that we previewed on the last earnings call to optimize, focus, and grow with discipline."}, {"path": "tedlium_3952.wav", "duration": 13.08, "text": "That does conclude today's conference. We do thank you for your participation. And you may now disconnect. Have a great rest of your day."}, {"path": "tedlium_3953.wav", "duration": 13.08, "text": "performance and financial condition of First Western Financial that involve risks and uncertainties. Various factors could cause actual results to be materially different from any future results expressed or implied by such forward-looking statements."}, {"path": "tedlium_3954.wav", "duration": 13.08, "text": "We mentioned in the prepared comments that our luxury and upper-upscale share there is substantial particularly when compared to the rest of the industry. But I think we are seeing globally"}, {"path": "tedlium_3955.wav", "duration": 13.08, "text": "We'll always look to do some level of reinvestment. We have committed to improving our operating margin as well. So there isn't a one for one, like -- that you used to see maybe in the past, where we've delivered more top line and spent at an even more aggressive rate."}, {"path": "tedlium_3956.wav", "duration": 13.08, "text": "said at the beginning of the meeting that all that they talked about that day would apply to everything except for MDS therapy. And so everybody has recognized it's a very difficult situation that exists."}, {"path": "tedlium_3957.wav", "duration": 13.08, "text": "Is there any sense when working with them that you've developed about how their customers would react in terms of volumes over time, given the broad customer base that they have?"}, {"path": "tedlium_3958.wav", "duration": 13.08, "text": "And there's lots of new products in it. And indeed, there's some changes to how we're doing that, that make it easier to adopt and easier to implement, Walter."}, {"path": "tedlium_3959.wav", "duration": 13.08, "text": "Yes. So PC Plus continues to be a growing and important part of how we make margin investments to drive targeted sales in the consumer."}, {"path": "tedlium_3960.wav", "duration": 13.08, "text": "We expect total cash outflow in the first quarter of 2019 to be higher than our projected outflow for the fourth quarter, driven by bonus payments and our semi-annual interest payment on convertible debt."}, {"path": "tedlium_3961.wav", "duration": 13.08, "text": "In addition to the absence of valuation gains due to the restructuring of the construction materials business recorded in the previous fiscal year, the decrease stemmed from a deceleration in steel demand in emerging markets."}, {"path": "tedlium_3962.wav", "duration": 13.08, "text": "If we understand it correctly, more of your Cash Management business is in Latin American countries, which have seen a lot of currency depreciation. So"}, {"path": "tedlium_3963.wav", "duration": 13.08, "text": "the operating income level, the negative effect of the yen versus U.S. dollar exchange rate was further exacerbated by the negative impact of currency effects of the yen versus a number of Asian country currencies,"}, {"path": "tedlium_3964.wav", "duration": 13.08, "text": "As our strong revenue growth illustrates, the partial U.S. Federal government shutdown as well as concerns raised by Brexit and the slowing Chinese economy had no noticeable impact on our fourth quarter performance."}, {"path": "tedlium_3965.wav", "duration": 13.08, "text": "And we are on plan against those objectives. We also have exciting plans in place to further build upon this success, and we are confident that our businesses will continue to deliver on our objectives for future growth."}, {"path": "tedlium_3966.wav", "duration": 13.08, "text": "One of the factors contributing to lower profits in the first half was the increase in advertising expenses targeted at developing new brands focused on products in the wellness domain."}, {"path": "tedlium_3967.wav", "duration": 13.08, "text": "reducing our market share, but at the same time, this is a very strong position we intend to retain and, in fact, expand. Some of the profitability,"}, {"path": "tedlium_3968.wav", "duration": 13.08, "text": "We are also working directly with several national and regional corporate customers. We believe that ENTYCE is well represented in the clinics, and we are having success in defining and building this new therapeutic category."}, {"path": "tedlium_3969.wav", "duration": 13.08, "text": "And in some cases, we have a very healthy front end because there's scarcity in the product itself. In other cases, we have a very healthy back end because we sell the value of our products and services."}, {"path": "tedlium_3970.wav", "duration": 13.08, "text": "it requires that we build the inventory for our completion crews more so than we've seen in the past. And so that delay is really what's affected our first quarter's production."}, {"path": "tedlium_3971.wav", "duration": 13.08, "text": "And right now, our belief is that we can run it better than going to the whole pain of refranchising and then living with all the friction. We don't believe that going back and forth from owning it, refranchising it, owning it again"}, {"path": "tedlium_3972.wav", "duration": 13.08, "text": "So -- which leads us to your first question. We do expect to continue to grow in absolute terms as well as in terms of market share our retail deposit base."}, {"path": "tedlium_3973.wav", "duration": 13.08, "text": "What comes on top for everybody is that it's quite difficult to get financing packages for new spinning mills at the moment. Although, the government in China and also the government in India have started to release money to"}, {"path": "tedlium_3974.wav", "duration": 13.08, "text": "secure and then there's another one in Houston that we're hopefully going to at least make it to the shortlist. So I think that if I'm picking up 2 out of 20, it's certainly not as good as it was 12 months ago."}, {"path": "tedlium_3975.wav", "duration": 13.08, "text": "These will prove to be short-lived. Let me assure you that our new delivery service will adhere to the high standards our customers in China have come to expect with regard to the Starbucks Experience."}, {"path": "tedlium_3976.wav", "duration": 13.08, "text": "We also launched Cornerstone Blend, the first whiskey from the Noble Collection, a series of allocated annual releases highlighting the craftsmanship of Crown Royal's distillers and blenders."}, {"path": "tedlium_3977.wav", "duration": 13.08, "text": "I think the first thing that we're focusing on is absolute access to the drug, which is our primary objective and we can't compromise that. So we're going to be very thoughtful about how we take price increases moving forward."}, {"path": "tedlium_3978.wav", "duration": 13.08, "text": "That said, however, it is believed that soft commodity pricing has reached the end of the current deflationary cycle. And if one looks at the rand this morning and over the weekend, I think it's further supportive of that notion."}, {"path": "tedlium_3979.wav", "duration": 13.08, "text": "I want to pause here and acknowledge what a strong partner Herb has been for me and the company in working through this plan. Herb brings excellent insight and judgment to the CFO role, having led one of our fastest-growing offices"}, {"path": "tedlium_3980.wav", "duration": 13.08, "text": "really focused on is if they merge or change the points system and change the way they're redeemed, there's going to be winners and losers among the hotels when that point system changes. And I think that's"}, {"path": "tedlium_3981.wav", "duration": 13.08, "text": "just as much because there was no demand out there as it did stop for weather. So we had contractors that were being reported back to us because they just had very weak backlog at year-end. So even if the weather had been favorable, they didn't have a lot of work to go get done."}, {"path": "tedlium_3982.wav", "duration": 13.08, "text": "at the end of last year as far as the goodwill value on PlaneTechs. I'm just wondering what happened in the first half of this year that led to an impairment."}, {"path": "tedlium_3983.wav", "duration": 13.08, "text": "gives our competitors a road map of exactly what we're doing and so it just invites greater competition in the areas where we think we're strong and where we have a lead. So that's the reason for it. And"}, {"path": "tedlium_3984.wav", "duration": 13.08, "text": "there ever was the sanctioned risk linked to voting rights, Renova would adjust its voting rights correspondingly. It's difficult to transfer shares, because you need to get banks to"}, {"path": "tedlium_3985.wav", "duration": 13.08, "text": "if shares are held by an investor that is not under sanctions we pay dividends. This is going forward, but all the dividends that have been held back to release that we would have to get"}, {"path": "tedlium_3986.wav", "duration": 13.08, "text": "I am pleased to report that the launch activity to date is proceeding on plan. During the quarter, we began building inventories of new product and made initial shipments to a number of customers."}, {"path": "tedlium_3987.wav", "duration": 13.08, "text": "even further with Ocado, and we've been meeting with them constantly since we announced the deal, and as we look at the market, we're more and more confident this is a good strategy. But"}, {"path": "tedlium_3988.wav", "duration": 13.08, "text": "we'll see a replacement of the margins and a growth in those margins on an extremely low capital expenditure basis. So we'll transition through that. That's what our expectation's on that."}, {"path": "tedlium_3989.wav", "duration": 13.08, "text": "In a few minutes, Brett will provide additional perspective on the Phase II data, but we're pleased with these results and especially gratified by the responses from key opinion leaders in neurology with whom we've discussed the data set."}, {"path": "tedlium_3990.wav", "duration": 13.08, "text": "including on efficacy endpoints. Rates of clinical response were higher for all active doses than for placebo, using both the partial Mayo and total Mayo definitions for clinical response."}, {"path": "tedlium_3991.wav", "duration": 13.08, "text": "In mid-2013, we decided to make the supplemental dividend semiannual, paid in June and December. We have continued this practice through the December 2018 dividend we declared last month."}, {"path": "tedlium_3992.wav", "duration": 13.08, "text": "The tank trailer business continues to experience softness in certain markets, which is creating top line pressure in the segment's largest business. This prolonged softness is creating weaker top and bottom line results than previously expected."}, {"path": "tedlium_3993.wav", "duration": 13.08, "text": "Modestly offsetting these headwinds is the expectation for our organic international business to grow and shipments into our industrial distribution channel to improve as we make further progress on our efforts to gain share in the larger end of the power generation market."}, {"path": "tedlium_3994.wav", "duration": 13.08, "text": "over time, as we begin to be able to increase those collections as we said before, we'll let you know when that happens, but we're not going to preview that ahead of time. So I think that's one very important place."}, {"path": "tedlium_3995.wav", "duration": 13.08, "text": "Most importantly, these strategies had very little to do with legacy KCG's primary mission of serving customers and has significantly deteriorated more recently in less volatile markets."}, {"path": "tedlium_3996.wav", "duration": 13.08, "text": "We have been able to manage the capital base sufficiently through capital synergies by combining the businesses. However historical capital usage in the legacy KCG business was higher"}, {"path": "tedlium_3997.wav", "duration": 13.08, "text": "So it's really a mixture of all of those things. I think also then about this whole question of continuing more for the medium to long term to see opportunities offshore. We've focused what we can do"}, {"path": "tedlium_3998.wav", "duration": 13.08, "text": "And we talked some about the misleading income claims. Pictures like these lavish lifestyle claims are not going to be permitted anymore. And it's going to be a sea change for the way that distributors try to sell the products."}, {"path": "tedlium_3999.wav", "duration": 13.08, "text": "where would the average age of the portfolio be 12 months from now, relative to sort of the 19 months it currently is? I'm just trying to get a sense for the impact of"}, {"path": "tedlium_4000.wav", "duration": 13.08, "text": "Broadly, during the quarter, we did note some choppiness in the new home starts. However, we are relatively insulated by this as a large portion of our sales come from a robust repair and replacement cycle."}, {"path": "tedlium_4001.wav", "duration": 13.08, "text": "Through the years, we have stated that our goal was to drive risk-adjusted returns and we have spoken at length about the pillars of our capital allocation strategy through our communication with the investment community."}, {"path": "tedlium_4002.wav", "duration": 13.08, "text": "Clearly, we're filling a try-before-you-buy market need, and we will continue to invest in the right titles across consoles to take advantage of this market opportunity and support the needs of our customers."}, {"path": "tedlium_4003.wav", "duration": 13.08, "text": "I'm not sure I can play connect the dots there. Maybe you could kind of go ahead and help us out and give us a little bit of color on exactly what happened there. Sure, absolutely. So if we look at the compliance side"}, {"path": "tedlium_4004.wav", "duration": 13.08, "text": "who they give security clearance to, we have to find that balance. And so some would say it's a good problem to have, I think we believe it's a pretty good problem to have. But it is"}, {"path": "tedlium_4005.wav", "duration": 13.08, "text": "In summary, we delivered overall financial performance in line with our expectation and expect to deliver solid results for the year. I will now turn the call over to Tim. Thanks, Eric."}, {"path": "tedlium_4006.wav", "duration": 13.08, "text": "In addition to the work still to be completed in Shoals, my early assessment is that we have tremendous opportunity to take out material cost and better optimize our supply chain."}, {"path": "tedlium_4007.wav", "duration": 13.08, "text": "We never stopped innovating better products. We never stopped cultivating powerful consumer connections. We never stop identifying ways to be a better retail partner, and we've never stopped evolving our culture as a team."}, {"path": "tedlium_4008.wav", "duration": 13.08, "text": "But one thing will remain constant is our commitment to act decisively in order to create value for all stakeholders. And with that, I'll turn it over to Mike to review some key operating conclusions."}, {"path": "tedlium_4009.wav", "duration": 13.08, "text": "Now if we include the growth of duty free and as well distributor markets that are handled mainly out of Switzerland"}, {"path": "tedlium_4010.wav", "duration": 13.08, "text": "a result of our focus on meeting the needs of patients recovering from strokes and those suffering from a wide range of debilitating neurological conditions, conditions that are more prevalent in older adults."}, {"path": "tedlium_4011.wav", "duration": 13.08, "text": "comment on the legal process and the case that we have going and have been working with for almost 3 years in Denmark. The court case has finally started. It started on the 10th of October."}, {"path": "tedlium_4012.wav", "duration": 13.08, "text": "So there's a bunch of related features to the cash-back experience that we are working on. That cash-back actually is going to be live with some of our internal beta users beginning this quarter."}, {"path": "tedlium_4013.wav", "duration": 13.08, "text": "Furthermore, these customers also receive fixed mobile benefits offered within KPN Compleet. In SME, we see strong interest in our converted fixed mobile and IT services."}, {"path": "tedlium_4014.wav", "duration": 13.08, "text": "that we have to deal with, I still think it's better more skewed towards the second half that these markets are fully starting to unlock their growth potential because a lot of the markets that we are in"}, {"path": "tedlium_4015.wav", "duration": 13.08, "text": "Additionally, strong cash generation, coupled with a healthy balance sheet, makes us very comfortable that we have ample resources to fund our capital expenditures, supporting both organic growth and productivity improvements,"}, {"path": "tedlium_4016.wav", "duration": 13.08, "text": "but they are fixable and we are the right team to fix them. Conagra has the capabilities to put Pinnacle's brands back on track and deliver for its customers and consumers and shareholders."}, {"path": "tedlium_4017.wav", "duration": 13.08, "text": "And the growth in imaging kit recurring revenue is a little bit less than that 9%. It's -- the recurring revenue is driven a little bit more by DermACELL, and we talked about that a little bit at the Investor Day."}, {"path": "tedlium_4018.wav", "duration": 13.08, "text": "where our relationships are, where the discussions are with those clients that have either statements of work or master services agreements coming up for renewal this year that we feel pretty good about where we are overall."}, {"path": "tedlium_4019.wav", "duration": 13.08, "text": "Seriously though, I will say that for every investor who may share yours and my opinion on leverage, there's also one who's very concerned about increasing debt going into an uncertain economic environment."}, {"path": "tedlium_4020.wav", "duration": 13.08, "text": "The Production Group OneStim hydraulic fracturing operations benefited from a full quarter of activity for the fleets reactivated in the third quarter as well as additional fleet redeployments in the fourth."}, {"path": "tedlium_4021.wav", "duration": 13.08, "text": "That, and there've been billions of dollars put into the space to create competitors that, rather than address it from the standpoint of just compress spreads and trying to protect market share, we actually decided to make our left and right goalposts wider."}, {"path": "tedlium_4022.wav", "duration": 13.08, "text": "a number of other factors have moved up on the agenda in Washington, and some of the more normal activities related to foreign export licenses have been somewhat delayed."}, {"path": "tedlium_4023.wav", "duration": 13.08, "text": "In light of our recent results and ongoing industry dynamics, we are taking immediate action on expenses to ensure that we become a more efficient organization for our clients and shareholders alike."}, {"path": "tedlium_4024.wav", "duration": 13.08, "text": "The Sycamore is quite a bit more immature for us. I think we're only going to do one well this year and some nonop penetrations. We're still learning about that, but I'm encouraged by what we see."}, {"path": "tedlium_4025.wav", "duration": 13.08, "text": "a participant or sort of dictating the process? Because you as a REIT, you want to make sure that you have a use of proceeds at least to some degree line up over and above the seller financing idea?"}, {"path": "tedlium_4026.wav", "duration": 13.08, "text": "This year has been just as busy with the inauguration, party retreats, special elections, executive orders, hearings and confirmations and last night, the State of The Union address."}, {"path": "tedlium_4027.wav", "duration": 13.08, "text": "First quarter adjusted EBITDA for Gas Cylinders up 13%, reflects the positive impact of the higher volume and pricing as well as productivity, which was a direct result of manufacturing improvement."}, {"path": "tedlium_4028.wav", "duration": 13.08, "text": "And the integration teams are making good progress in detailing the previously announced synergies, operational synergy opportunities"}, {"path": "tedlium_4029.wav", "duration": 13.08, "text": "see that as a benefit to total cost of care for the populations. Actual purchase price may not be the lowest that's available, but due to the durability and reusability of products in that category we have very good business there."}, {"path": "tedlium_4030.wav", "duration": 13.08, "text": "We had no new wells or recompletions during the quarter, and we continue to evaluate opportunities to divest our Mid-Continent assets and currently anticipate very little in the way of drilling activity and capital expenditures in our asset base."}, {"path": "tedlium_4031.wav", "duration": 13.08, "text": "So those additional hires have been made and they haven't as you've noticed affected our comp ratio or hit EBITDA because it was done within our current growth scenario."}, {"path": "tedlium_4032.wav", "duration": 13.08, "text": "which we -- it's in the preclinical phase and we just completed that dosing study. So we have a high sense of confidence that we can freeze that product designed for the below-the-knee drug-coated balloon in"}, {"path": "tedlium_4033.wav", "duration": 13.08, "text": "We had become concerned about some of the weaknesses in our business that we reported to you in previous quarters, and we were concerned that the strategy we were following was not producing the results we wanted."}, {"path": "tedlium_4034.wav", "duration": 13.08, "text": "we're not likely to have any major constructions. We are not planning any construction in terms of CapEx. So we're moving some of our branches"}, {"path": "tedlium_4035.wav", "duration": 13.08, "text": "In Supply Chain, we expect fourth quarter results to be below our prior expectations due to ongoing impact from the 2 accounts I mentioned earlier, although to a lesser extent than we saw in the third quarter."}, {"path": "tedlium_4036.wav", "duration": 13.08, "text": "As a result, we have just renewed our normal course issuer bid and are actively planning to repurchase our stock. The renewed bid allows us to buy back up to 5.2 million shares over the next 12 months."}, {"path": "tedlium_4037.wav", "duration": 13.0799375, "text": "I think an important one to keep a little bit in the back of your mind is, if you think about our growth rates last year first half versus second, our first half was stronger. The second one has somewhat of an easing comp base."}, {"path": "tedlium_4038.wav", "duration": 13.0799375, "text": "As I noted in my comments about the strategic review process, the expertise and excellence of our China commercial team was very highly priced by the parties with which we engaged."}, {"path": "tedlium_4039.wav", "duration": 13.05, "text": "Now let's turn to the rest of the insurance business. Home broking continues to be robust. albeit in a challenging market. Home is a more sticky product. It's one that we can differentiate more clearly."}, {"path": "tedlium_4040.wav", "duration": 13.05, "text": "As you all know, the recent period of low prices has also helped define those projects that will come to market, many of these projects we are involved in and have been for many years."}, {"path": "tedlium_4041.wav", "duration": 13.05, "text": "Similar to what we've done with personal loans, it's all about keeping people engaged to getting mortgage-free. This is also what we believe will drive long-term loyalty to Mogo as you'll be more likely to stay with a provider that is truly helping you achieve one of your biggest financial goals."}, {"path": "tedlium_4042.wav", "duration": 13.05, "text": "as you know, having a good flow is critical to origination and we track our flow daily and understand the number of deals that are getting logged into the system."}, {"path": "tedlium_4043.wav", "duration": 13.05, "text": "They put us in the position to be able to position and prove our services as being formal, comprehensive and practical in the hands-on environment of construction management."}, {"path": "tedlium_4044.wav", "duration": 13.05, "text": "not simply from losing accounts. We don't lose that many accounts. What happens often is that we do strike a new deal with those accounts, and in many cases we will be offering service for more employees"}, {"path": "tedlium_4045.wav", "duration": 13.05, "text": "you just remind us again what the benefit on tax was this quarter? It seems quite a bit lower than I would have anticipated this quarter. The second question is"}, {"path": "tedlium_4046.wav", "duration": 13.05, "text": "from my natural habitat in which I lived and worked for the last 28 years. Apart from a very short period, I've always worked in the market in many countries very close to the consumer."}, {"path": "tedlium_4047.wav", "duration": 13.05, "text": "In addition, as discussed in our year-end call, our plans accounted for the sale of the Auto Todo business. We can report we successfully closed on the sale of this business in the month of March."}, {"path": "tedlium_4048.wav", "duration": 13.05, "text": "we would be competing, we were competing heavily of course with surplus liquidity banks but also with wholesale funded institutions who are able to compete and bring down the rates for the last 1 year."}, {"path": "tedlium_4049.wav", "duration": 13.05, "text": "We had a higher level of revenue during the first quarter but also higher noninterest expense primarily associated with the expenses related to the noted increases in variable compensation costs."}, {"path": "tedlium_4050.wav", "duration": 13.05, "text": "because I think we got ways to go before we can really get out of this. And for those companies to be able to pick back up and start back. You'll notice our energy reserve portfolio went up,"}, {"path": "tedlium_4051.wav", "duration": 13.05, "text": "And with the miracle of compounding, these are still pretty attractive deals. And I think as a consequence, that's why we're continuing to see the development pace be as strong as it is."}, {"path": "tedlium_4052.wav", "duration": 13.05, "text": "right? And so that you would be getting the feeding commissions back on that business, which would offset the acquisition costs. And I just want to think about how that would feed into your run rate expense ratio?"}, {"path": "tedlium_4053.wav", "duration": 13.05, "text": "on a charging network throughout most of our core markets in Europe. So for those customers, particularly those on the interstates and highways, we'll be there to provide that service for them. And then certainly, we're exploring other ways to"}, {"path": "tedlium_4054.wav", "duration": 13.05, "text": "just a bit more color around kind of initial goal, steps for integration there once the deal does close. What sort of feedback or initial excitement have you been hearing from your sales force there?"}, {"path": "tedlium_4055.wav", "duration": 13.05, "text": "it is a misleading indicator if you look upon a volume growth or decline within a given quarter. It is truly related to how and where we release a product and to which volume and to which way we will release the"}, {"path": "tedlium_4056.wav", "duration": 13.05, "text": "exploring new sources of revenue and preparing the workforce for the future. We're making good progress on all 4 areas of focus, and I'd like to share a few highlights from the latest quarter."}, {"path": "tedlium_4057.wav", "duration": 13.05, "text": "We expect a significant drop in inventory. We have built inventory over the front half of this year, and with the strong fourth quarter we expect to see, we should see significant burn-off"}, {"path": "tedlium_4058.wav", "duration": 13.05, "text": "we call, I guess, the industry calls ready pack and a move to ready pack, where it's in some sort of case display, and it's easily put on to the shelf, so a lot of the businesses may be moving in that direction."}, {"path": "tedlium_4059.wav", "duration": 13.05, "text": "I can't guarantee what happens in the economy, in policy circles or in our markets, but I'm happy to be transparent with you and let you make your own judgments about the external factors."}, {"path": "tedlium_4060.wav", "duration": 13.05, "text": "Yeah, Jim, I would say that the cost of the fleets are going to really depend on the configuration because we can just rent silos only or we can also rent silos with what we call our quick load, which allows for"}, {"path": "tedlium_4061.wav", "duration": 13.05, "text": "Now naturally, there are always areas that we may look at both from a partnership, organic and inorganic standpoint but it's not something I'm really comfortable talking about on the open mic because that's really indicating future direction"}, {"path": "tedlium_4062.wav", "duration": 13.05, "text": "An area of uncertainty is new limitations on the deduction -- or deductibility of interest expense. Until regulations are published, it is unclear how these limitations may apply to internal debt structures."}, {"path": "tedlium_4063.wav", "duration": 13.05, "text": "Thank you, and good morning. Before we get started today, I'd like to remind everyone that some of the statements that we will make on this call may be forward-looking in nature and reflect a number of known and unknown risks."}, {"path": "tedlium_4064.wav", "duration": 13.05, "text": "Another one, the PRAIRIE program, where we are the only utility participating to this new ecosystem, gathering the best players around IA issues and solutions."}, {"path": "tedlium_4065.wav", "duration": 13.05, "text": "Investing for growth is our top objective, and this regional distribution center positions us to grow -- continue growing in the downstream sector, an important end market where we have a clear leadership position."}, {"path": "tedlium_4066.wav", "duration": 13.05, "text": "we're seeing our rate actions exceed loss trends. But unfortunately, there's been some adverse weather that's been holding us back at bit. But we will continue to take rate as needed. We continue to focus on our underwriting"}, {"path": "tedlium_4067.wav", "duration": 13.05, "text": "growth driver. And in the past, I think China has been a pretty big part of that. So could you maybe talk about which products you may already be seeing pressures on or what you think might be at risk going forward?"}, {"path": "tedlium_4068.wav", "duration": 13.05, "text": "These factors continued to put greater pressure on our liquidity and absent a timely resolution of the immediate working capital requirements, the company could encounter product shipment delays, which would adversely impact the business."}, {"path": "tedlium_4069.wav", "duration": 13.05, "text": "calls, would we reduce the price in order to make the deal more accretive, given that the cost of capital is higher at the MLPs? And that actually isn't what we prefer. I think our shareholders"}, {"path": "tedlium_4070.wav", "duration": 13.05, "text": "So we did identify some potential partners, and one partner in particular brought in several things that they saw, and we've applied just a few of those in these first wells, and you can see the performance is great."}, {"path": "tedlium_4071.wav", "duration": 13.05, "text": "I would expect other finance charges to increase next year with higher pension costs and the recognition of the increase in value of Zacapa. Our adjusted net debt-to-EBITDA ratio"}, {"path": "tedlium_4072.wav", "duration": 13.05, "text": "And the important thing to manage here is making sure before the northern hemisphere crop is harvested, we hedge our prices and contract out as much as possible of the fruit -- the vine fruit."}, {"path": "tedlium_4073.wav", "duration": 13.05, "text": "Profitability came in slightly below our expectations in the quarter due to the delayed programs I mentioned a moment ago and increased investment in agent staffing in some tighter labor markets."}, {"path": "tedlium_4074.wav", "duration": 13.05, "text": "I think it highlights the very different place we are in as a company with our model. So to your second part of your question, do I think it's going to"}, {"path": "tedlium_4075.wav", "duration": 13.05, "text": "This financial performance reflects what we have experienced since the start of fiscal 2017. We have seen limited growth while making investments in our service capabilities for our clients."}, {"path": "tedlium_4076.wav", "duration": 13.05, "text": "One of the primary needs for such companies is to understand the usage of contractors from the business model perspective. And we have great depth of experience in this area."}, {"path": "tedlium_4077.wav", "duration": 13.05, "text": "and systems and I realize it's different in every bank. How -- I mean would you say that, that number is in line with your thinking and then how far you are or is there a different number or can you give us any kind of color?"}, {"path": "tedlium_4078.wav", "duration": 13.05, "text": "Our recent joint venture with LHC Group brings our company to another level of focus on home health and hospice and enhances our opportunity to grow this portion of our business."}, {"path": "tedlium_4079.wav", "duration": 13.05, "text": "that can produce 50,000 different SKUs in the wheel business and there's no one out in the world that has the range"}, {"path": "tedlium_4080.wav", "duration": 13.05, "text": "the quality of their core acreage positions and a relatively attractive economics of developing the reserves. So for the key players that we deal with on a daily basis, the commitment to the basin continues to be very strong."}, {"path": "tedlium_4081.wav", "duration": 13.05, "text": "Besides pressure-testing these individual forecasts, we have taken a hard look at our historic and projected ramp rates from a macro perspective through the remaining quarters of the year,"}, {"path": "tedlium_4082.wav", "duration": 13.05, "text": "Our vision is to be the preeminent community financial services company in our multicultural market area by exceeding customer expectations and leveraging our strong banking relationships."}, {"path": "tedlium_4083.wav", "duration": 13.05, "text": "Retirement and Individual Annuities businesses. And while results of the quarter benefited from items that are inherently variable, the earnings power of our businesses continues to trend higher."}, {"path": "tedlium_4084.wav", "duration": 13.05, "text": "especially in regards to the ramp-up of the APP mill. So what have you been hearing about the ramp-up speed of that mill? If you hear from your agents or clients"}, {"path": "tedlium_4085.wav", "duration": 13.05, "text": "a related question we often get is that as we have accelerated the number of net new actives, do we see any deterioration in the quality of those cohorts? Do they mature more slowly? Are they less active?"}, {"path": "tedlium_4086.wav", "duration": 13.05, "text": "sales is one component of the equation. Obviously, retention is the other component of the equation and how the pieces of that fit together when we put together a plan tells me where sales growth"}, {"path": "tedlium_4087.wav", "duration": 13.05, "text": "So as I just mentioned, the guidance that I discussed doesn't include any impact from Advance Partners. So when we close, this is what the anticipate."}, {"path": "tedlium_4088.wav", "duration": 13.05, "text": "a -- part of the value chain that's going to have to grow in order to continue to export. And we think the majority of the incremental production is going to be exported."}, {"path": "tedlium_4089.wav", "duration": 13.05, "text": "we have made significant business progress in the first half of the year with a strong start to the group's latest strategic plan, and we have, again, delivered strong financial performance and capital build."}, {"path": "tedlium_4090.wav", "duration": 13.05, "text": "even our Montana markets, where last year, we got out to a good early start in February, and we really didn't even get going in those markets until about"}, {"path": "tedlium_4091.wav", "duration": 13.05, "text": "Based on the reaction from our distribution partners and sales team, we are confident that it will receive excellent market response in the niche market it addresses when it is introduced."}, {"path": "tedlium_4092.wav", "duration": 13.05, "text": "low double digits really is quite good. It's excellent, but I don't hear anything from you now that suggests it goes to 0 at the back end of the year, which is what it needs to do to average of what you're talking about."}, {"path": "tedlium_4093.wav", "duration": 13.05, "text": "giving our customers the ability to compare their performance in key fundraising metrics against their peers. This is unique to Blackbaud. These capabilities not only provide customers with performance insight"}, {"path": "tedlium_4094.wav", "duration": 13.05, "text": "We, along with Delek through the JV, have decided to terminate our agreement to acquire the Amid terminal assets because there was no assurance we could overcome the regulatory obstacles from the FTC's review."}, {"path": "tedlium_4095.wav", "duration": 13.05, "text": "No, I think what you have to assume is that if we divest an ethanol plant, there is a contract that we would have to then monetize back to the partnership. The partnership would then get cash back that they can do"}, {"path": "tedlium_4096.wav", "duration": 13.05, "text": "in Q4. In Q1, we are continuing to buy our shares, so we are executing that program. We believe it is a good investment at this time for our capital to buy back our own shares."}, {"path": "tedlium_4097.wav", "duration": 13.05, "text": "for at least couple years to say that, inevitably there will be a step-down at some point in time. That's, I would say, somewhat predictable, probably not within a specific quarter but certainly within a couple of quarters, we have a pretty good sense for that."}, {"path": "tedlium_4098.wav", "duration": 13.05, "text": "These investments demonstrate Commercial Trailer Products' commitment to continue to grow and diversify the business organically by expanding their focus into adjacent transportation markets from those we presently serve"}, {"path": "tedlium_4099.wav", "duration": 13.05, "text": "A number of investments are being made, especially in downstream, including several construction projects, aimed at increased petrochemical supply."}, {"path": "tedlium_4100.wav", "duration": 13.05, "text": "that are targeted towards the visualization of certain specific anatomies. These new technologies will not replace what we do today but add on to our capabilities."}, {"path": "tedlium_4101.wav", "duration": 13.05, "text": "We assume no obligation and do not currently intend to update any such forward-looking statements. If this call is reviewed after today, the information presented during the call may not contain current or accurate information."}, {"path": "tedlium_4102.wav", "duration": 13.05, "text": "coy when I know there's lots of questions. But the simple reality of the competitive dynamic is an important priority for us to factor in now as we think about how much we share. But what I can tell you, and what we said explicitly in the comments,"}, {"path": "tedlium_4103.wav", "duration": 13.05, "text": "We see positive trends in this area. Redbubble's ever-growing collection of content leads into the second phase of the marketplace flywheel, the ability to discover content that is personally relevant to the individual user."}, {"path": "tedlium_4104.wav", "duration": 13.05, "text": "Secondly, on APAC. I'm just wondering if it might be premature to ask the question having sort of just got back into quarterly profit, but can you just touch on the things that"}, {"path": "tedlium_4105.wav", "duration": 13.05, "text": "overall advances in productivity across each of our businesses really helped drive operating leverage as well. So each of those were the real drivers of the operating and the financial improvements over the quarter."}, {"path": "tedlium_4106.wav", "duration": 13.05, "text": "With our increased stake in Syncrude already generating strong returns and Fort Hills and Hebron are progressing to completion, Suncor is growing both quickly and profitably."}, {"path": "tedlium_4107.wav", "duration": 13.05, "text": "Today, I will provide an overview of our main priorities and recent performance before turning the call over to Bob to discuss the Q4 and fiscal year financial results in more detail."}, {"path": "tedlium_4108.wav", "duration": 13.05, "text": "Stone products are particularly attractive for The Tile Shop since we carry many of the trend pieces, accessories and maintenance products that they require. They also tend to sell for a higher price point per square foot than man-made products."}, {"path": "tedlium_4109.wav", "duration": 13.05, "text": "Terminal 4 will be -- moving on to your second question, Terminal 4 will be fully FAST travel enabled for passengers to do self check-in and self bag drop, which will be helpful for us because that helps us to be more productive."}, {"path": "tedlium_4110.wav", "duration": 13.05, "text": "We've also announced recently that we will be able to set up a cargo operation in Dammam, which is in the Eastern province of Saudi Arabia."}, {"path": "tedlium_4111.wav", "duration": 13.05, "text": "While the 2016 revenue performance may not fully reflect our integration and sales efforts, the commitment I see from our colleagues throughout the organization and the steps we've taken to build the framework for long-term success"}, {"path": "tedlium_4112.wav", "duration": 13.05, "text": "in the first quarter of last year. Unbilled receivables increased primarily due to milestones that we achieved during the quarter, on our ongoing project with Quickline that will be invoiced in the second quarter."}, {"path": "tedlium_4113.wav", "duration": 13.05, "text": "Although product revenue was down from the prior year quarter, we have visibility into a strong pipeline of product deals related to both Adrenalin software license sales and Axiom to Adrenalin migrations."}, {"path": "tedlium_4114.wav", "duration": 13.0499375, "text": "to continue that drilling program beyond HBP. And I think what the team is looking at now is identifying where the best pads are in the field that we can go back to"}, {"path": "tedlium_4115.wav", "duration": 13.0200625, "text": "Of course, now that the business will be put up for sale, maybe you can comment on your interest level, how their wholesale operations might fit with your own, and whether or not you could pick up extra synergies by skipping up that business?"}, {"path": "tedlium_4116.wav", "duration": 13.02, "text": "As we did with TheStreet, we were able to assist this company in removing that overhang. As we were doing that, Turtle Beach business took off due to the popularity of the game Fortnite, and"}, {"path": "tedlium_4117.wav", "duration": 13.02, "text": "We will walk -- we'll talk further about the terms of this credit agreement in a few moments. Lastly, we're excited to announce that we finally finalized the amendments to the BVI Water Purchase agreement"}, {"path": "tedlium_4118.wav", "duration": 13.02, "text": "Work should begin with our new managed services clients over the next few months. Note that our recurring revenues for the year will be a little uneven, primarily due to the timing of new software license subscriptions"}, {"path": "tedlium_4119.wav", "duration": 13.02, "text": "We and many key opinion leaders in HBV see these data as the first proof of concept that an RNAi compound can potentially lead to an awakening of the immune system in HBV patients and eventual functional cure."}, {"path": "tedlium_4120.wav", "duration": 13.02, "text": "I have personally spoken with some of these young patients who have told me they were shocked and in disbelief when they were diagnosed with the disease, and they were told that they may need a corneal transplant."}, {"path": "tedlium_4121.wav", "duration": 13.02, "text": "right? And then where we would bring in a Perficient, as Rob was saying, usually if it's initial sale, a new customer and we're doing kind of that initial implementation or what we call a dojo, Pivotal would provide that service."}, {"path": "tedlium_4122.wav", "duration": 13.02, "text": "I talked before about how we operated Crane with a prescriptive and rigorous disciplined cadence of management activities focused on continuous improvement. This focus results in consistency of execution across the cycle."}, {"path": "tedlium_4123.wav", "duration": 13.02, "text": "As a reminder, due to the decrease in our balance sheet obligations associated with our teach-out campuses, we expect more of our operating income dollars to result in positive operating cash flows."}, {"path": "tedlium_4124.wav", "duration": 13.02, "text": "instead of selling, I think our refinancing strategy is more programmatic and less focused on the alternative of selling select or refinancing all of the select"}, {"path": "tedlium_4125.wav", "duration": 13.02, "text": "Let me reiterate some of our guidelines. For competitive reasons, we do not comment on specific individual product line profitability other than in general terms, nor do we disclose components of cost of sales, for example, copper."}, {"path": "tedlium_4126.wav", "duration": 13.02, "text": "we are going to build on our momentum to diversify our specialty pharmacy portfolio initially targeting oncology, rheumatoid arthritis and HIV, and Tim will speak to the details in a few minutes."}, {"path": "tedlium_4127.wav", "duration": 13.02, "text": "We plan to continue to manage our cost structure responsibly so that our growth rate of profit exceeds our growth rate of sales. And with that, I'd like to turn it back to Mindy. Thanks, Nick."}, {"path": "tedlium_4128.wav", "duration": 13.02, "text": "we may enter into in connection with the development and commercialization of inclisiran. As a result of these evolving events and circumstances and their potential impact on our revenues and expenses,"}, {"path": "tedlium_4129.wav", "duration": 13.02, "text": "Regarding other government rate hikes and their impacts, well it could be other factors that we are not able to actually account for now. Next question from NH Investment"}, {"path": "tedlium_4130.wav", "duration": 13.02, "text": "prospects and upsell opportunities and cross-sell opportunities in existing clients. So all of these things, as I endeavored, are trying to build upon one another and be multiple struts in the wheel"}, {"path": "tedlium_4131.wav", "duration": 13.02, "text": "and is the only independent terminal capable of receiving from, delivering to and transferring refined petroleum products between the Colonial and Plantation pipeline systems,"}, {"path": "tedlium_4132.wav", "duration": 13.02, "text": "we are having those type of discussions. And I think there's just -- as I described earlier, there's a little bit of a lag. There's typically a lag with respect to net additions and the returns that we've delivered over the past 12 months."}, {"path": "tedlium_4133.wav", "duration": 13.02, "text": "Yes. Certainly, that is not what occurred in the second quarter, but in terms of over the long term, we absolutely still remain committed to those kind of goals. And we see that in the pipeline of the products and"}, {"path": "tedlium_4134.wav", "duration": 13.02, "text": "The one thing we do have the ability to do is typically get about a 90-day lock. And so right now, we're again buying smartly and locking for those 90 days when we have the ability to see a"}, {"path": "tedlium_4135.wav", "duration": 13.02, "text": "I am sure you would agree that without the agreement of the FDA, we will not be able to release any data before the study is completed in 2 years."}, {"path": "tedlium_4136.wav", "duration": 13.02, "text": "Each group has expressed high interest in becoming long-term investors in FibroGen parent company common stock. Recent discussions focused on this financing round to support the scale of resources supporting our expected growth,"}, {"path": "tedlium_4137.wav", "duration": 13.02, "text": "I'd like to wish everyone a good afternoon and evening and a very calm and enjoyable move into summer in the next couple of months. Thank you for being on this call."}, {"path": "tedlium_4138.wav", "duration": 13.02, "text": "We have deployed voice PoPs in Australia, Japan, China, and other locations around the world. This allows enterprises to keep their calls in region ensuring high voice quality, low latency, and optimal cost."}, {"path": "tedlium_4139.wav", "duration": 13.02, "text": "Looking forward, we have an active pipeline of acquisition opportunities in various stages of discussion, including both independently owned and trade association-owned shows that we will continue to pursue aggressively."}, {"path": "tedlium_4140.wav", "duration": 13.02, "text": "In addition, we incur costs associated with employee training, permits and licenses and certain maintenance improvements in the earlier months of our ownership of new sites, further burdening our results."}, {"path": "tedlium_4141.wav", "duration": 13.02, "text": "A full description of the limitations and using non-GAAP financial measures and the adjustments made to derive our non-GAAP operating income and adjusted book value is included in the earnings release."}, {"path": "tedlium_4142.wav", "duration": 13.02, "text": "she can start to sell shares in the market that was a collapse in the price of the shares. And after the cancellation of a sale process in Clal, the shares decreased a lot"}, {"path": "tedlium_4143.wav", "duration": 13.02, "text": "We substantially ramped up our sales volume through our Van Hook Terminal and we began manufacturing our first well site storage system fleets to be deployed in the field under our service model."}, {"path": "tedlium_4144.wav", "duration": 13.02, "text": "Importantly, these initiatives are within our control and largely and by that we mean they are within the existing building envelope or land parcels that we already control or own and many of them because they're within our existing building envelope,"}, {"path": "tedlium_4145.wav", "duration": 13.02, "text": "what happened in the life business, we have a lower frequency of deaths of the insureds and co-insureds. On the other hand, we have lower payments for"}, {"path": "tedlium_4146.wav", "duration": 13.02, "text": "matches the recent revenue mix, but would like some confirmation there. And then a greater interest, given the significant size of the installed base is what you've seen"}, {"path": "tedlium_4147.wav", "duration": 13.02, "text": "Global Power segment had a good quarter, with a 19% increase in gross profit, that was driven by higher volume and upside provided from a couple of well-executed projects that are nearing completion."}, {"path": "tedlium_4148.wav", "duration": 13.02, "text": "In terms of product, we've again launched a number of new tools and features during the period, which drive a significant opportunity to further engage with both our consumers and our partners."}, {"path": "tedlium_4149.wav", "duration": 13.02, "text": "Now we are largely aligned, and that's why retailers give us such high marks because when you talk to PepsiCo, you have an aligned system on snacks and beverages that serves the retailer very well."}, {"path": "tedlium_4150.wav", "duration": 13.02, "text": "The model has been very successful not only in producing a good outcome but also in adapting to changing conditions, as we also experience today."}, {"path": "tedlium_4151.wav", "duration": 13.02, "text": "between renewable and conventional generation and 4% from other businesses such as commercialization, services and other businesses that are growing in the company."}, {"path": "tedlium_4152.wav", "duration": 13.02, "text": "Smirnoff is up 2%. We are continuing to focus on recruiting millennial consumers through the brand's inclusivity message, positioning the brand at the right price and providing standout packaging."}, {"path": "tedlium_4153.wav", "duration": 13.02, "text": "I don't think you're going to spend quite that much in some of your new series. But could you talk about what you spend on content and the ways you have to manage your content acquisition and creation costs?"}, {"path": "tedlium_4154.wav", "duration": 13.02, "text": "I would divide between where is the prices now and what is the impact on our contracts, which are 2 different things. We sort of think we are at the bottom of the cycle of price declines."}, {"path": "tedlium_4155.wav", "duration": 13.02, "text": "Such statements are subject to known and unknown risks and uncertainties that could cause the company's actual results to differ materially from those set forward in the forward-looking statements."}, {"path": "tedlium_4156.wav", "duration": 13.02, "text": "about how the immune system will respond to different potential antigens. But the evidence is that these in silico tools only have a 20% to 30% predictive power"}, {"path": "tedlium_4157.wav", "duration": 13.02, "text": "sure it's a question that you're -- well, you should be getting at this point. Sure. This is probably the same answer that we have even before this because we had relatively large amount of"}, {"path": "tedlium_4158.wav", "duration": 13.02, "text": "They specialize in helping clients streamline warehouse and distribution operations to meet the growing demand for online commerce and supply chain solutions."}, {"path": "tedlium_4159.wav", "duration": 13.02, "text": "by the consent agreement we entered into the Competition Bureau as part of the Canwest acquisition. Both transactions are subject to approval of the Competition Bureau and other customary closing conditions."}, {"path": "tedlium_4160.wav", "duration": 13.02, "text": "Our integration teams are focused on ensuring we realize the expected synergies from our transactions and refining our integration processes to support recent and future acquisitions."}, {"path": "tedlium_4161.wav", "duration": 13.02, "text": "Based on the court's determination, we stand ready to close. Funding is in place even after we settle the special mandatory redemption bonds. There's not much more we can add at this point."}, {"path": "tedlium_4162.wav", "duration": 13.02, "text": "Management believes that these non-GAAP measures provide incremental information useful in understanding the cash flows and operating performance of the company. The EBITDA measurements are also required and evaluated by our lenders."}, {"path": "tedlium_4163.wav", "duration": 13.02, "text": "second part of January and we didn't have anything in the fourth quarter. So forest fires shouldn't have affected by anything in our fourth quarter results."}, {"path": "tedlium_4164.wav", "duration": 13.02, "text": "To date, U.K. is not seeing significant changes in customer buying behavior even with the uncertainty related to timing and terms of Brexit. We also continue to see excellent referral progress."}, {"path": "tedlium_4165.wav", "duration": 13.02, "text": "We've -- internally, we can support -- organically, we can support about 10% to 12% annual loan growth organically just from the earnings that the portfolio generates. So it's always been"}, {"path": "tedlium_4166.wav", "duration": 13.02, "text": "The structure of the deal also allows our shareholders to benefit in the combined synergies that the 2 entities create as well as participate in the future growth"}, {"path": "tedlium_4167.wav", "duration": 13.02, "text": "So the third quarter was actually quite strong on a seasonal basis as you would imagine the summer months are always a little slower compared to the second quarter, and therefore, even the fourth quarter."}, {"path": "tedlium_4168.wav", "duration": 13.02, "text": "As previously announced, Red Rock Resorts, Inc. has filed a registration statement with the Securities and Exchange Commission relating to the proposed Initial Public Offering of class A common stock of Red Rock Resorts, Inc."}, {"path": "tedlium_4169.wav", "duration": 13.02, "text": "In addition, certain costs and earnings of employee benefit plans, such as pension and other post-retirement, are included in corporate and not allocated to the operating segments."}, {"path": "tedlium_4170.wav", "duration": 13.02, "text": "Most recently, we received a notice of allowance in the People's Republic of China for another key patent relating to our innovative metallic fuel design, which represents the company's fourth patent in China,"}, {"path": "tedlium_4171.wav", "duration": 13.02, "text": "We continued to build on momentum we had on scotch in fiscal '17, growing net sales 3%. This solid performance was delivered while working through headwinds in some of our markets."}, {"path": "tedlium_4172.wav", "duration": 13.02, "text": "and the presence of a RAS mutation who have received at least 1 prior line of therapy and no more than 2 prior lines of therapy. And the trial contains a Phase Ib study to determine the maximum tolerated dose"}, {"path": "tedlium_4173.wav", "duration": 13.02, "text": "the high productivity growth that we see among our consultants is ensuring that the income opportunity that our consultant receives from participating in the Oriflame community is getting stronger."}, {"path": "tedlium_4174.wav", "duration": 13.02, "text": "Dice as the go-to resource to find and connect with the best talent, we have a variety of initiatives that will drive Dice forward, including ongoing investment in product and marketing to raise brand awareness and deliver innovative tools for customers."}, {"path": "tedlium_4175.wav", "duration": 13.02, "text": "and will allow us to quickly progress the project through 2016. We are also focused on developing this new project with the same care and consideration we apply to our Orca Quarry in concert with our First Nation partners."}, {"path": "tedlium_4176.wav", "duration": 13.02, "text": "in front of us. And so there's work to be done, and the thing that'll tell all of it is when you see the great product that compels you to want to buy. And we're proud to see consumers making those choices a lot more for this brand right now."}, {"path": "tedlium_4177.wav", "duration": 13.02, "text": "Although service revenues are lower year-on-year, we see that the customer lifetime value per subscriber is actually improving again since the 1st of May, driven by the factors I just mentioned."}, {"path": "tedlium_4178.wav", "duration": 13.02, "text": "And just sort of from listening to the commentary, you took your fair share of political dollars that were in your market and implies that your ratings are probably holding up. Just wondering if that's a fair statement?"}, {"path": "tedlium_4179.wav", "duration": 13.02, "text": "With regard to non-GAAP financial metrics, while we believe them to be helpful in understanding MobileIron's financial performance, they are not meant to be considered in isolation or as a substitute for the comparable GAAP metrics."}, {"path": "tedlium_4180.wav", "duration": 13.02, "text": "We haven't publicly disclosed the exact size and impact of this discontinued specialty account, other than disclosing that it was significant in size and that it didn't meet our profitability targets."}, {"path": "tedlium_4181.wav", "duration": 13.02, "text": "If we look on our own business, we see increasing traction on our 4G portfolio as well as 5G portfolio, and we have announced a number of wins during the fourth quarter."}, {"path": "tedlium_4182.wav", "duration": 13.02, "text": "namely oral formulations of Calcitriol, paracalcitriol and doxercalciferol. These therapies are not recommended for routine use in this patient population according to the newly revised"}, {"path": "tedlium_4183.wav", "duration": 13.02, "text": "We have not yet seen tariffs impacting customer demand, although they are now top of mind for both customers and suppliers and are beginning to impact manufacturing input costs."}, {"path": "tedlium_4184.wav", "duration": 13.02, "text": "Then if we have any excess capital, we will distribute that back to the shareholders in one way or another. And what we have done, as you alluded to, we've done that through share buybacks the last couple of years."}, {"path": "tedlium_4185.wav", "duration": 13.02, "text": "Further cost saves will continue to phase in over the coming quarters and are expected to be fully realized by the end of 2018. These milestones were important steps that enable us to successfully execute our strategy,"}, {"path": "tedlium_4186.wav", "duration": 13.02, "text": "As you'll recall, we instituted a quality call to action, bolstered by the acquisition of Navilyst, to aggressively build a culture of quality throughout the organization. I am proud of our company,"}, {"path": "tedlium_4187.wav", "duration": 13.02, "text": "These new onboardings will continue to ramp up in the first and second quarter of 2017. We were also successful securing several multiyear contract renewals. The"}, {"path": "tedlium_4188.wav", "duration": 13.02, "text": "This will represent the first intelligent, consumer-directed health information capacity in the markets we serve. And we hope, over time, it could help transform the way health information is used in the care process."}, {"path": "tedlium_4189.wav", "duration": 13.02, "text": "We continue to drive growth across each segment. We are pleased with Orlaco's contribution to the Electronics segment in the first quarter. We expect to continue to recognize synergies that will create value for our shareholders."}, {"path": "tedlium_4190.wav", "duration": 13.02, "text": "As we go forward, we'll be closely watching the launch of OCREVUS. Overall, we anticipate a negative impact to our portfolio that'll be partially offset by the royalties that we receive."}, {"path": "tedlium_4191.wav", "duration": 13.02, "text": "we can continue to grow in our targeted verticals. With that, I'd like to turn the call over to Bill for our financial review. Thanks, Burton."}, {"path": "tedlium_4192.wav", "duration": 13.02, "text": "building working capital in the first part of the year and sort of bringing that back in, in the last half. But there's really been no structural changes outside of the fact that when we do acquisitions, they almost always have"}, {"path": "tedlium_4193.wav", "duration": 13.02, "text": "The group also supported 3 successful Trident II D5 fleet ballistic missile test flights that are powered by our solid rocket motors and 2 United Launch Alliance space launches that used our propulsion and structures."}, {"path": "tedlium_4194.wav", "duration": 13.02, "text": "Given the significance and complexity of U.S. tax reform, we continue to analyze all aspects of the new legislation and may adjust this onetime charge as necessary over the course of the year."}, {"path": "tedlium_4195.wav", "duration": 13.02, "text": "to deliver on that and it sounds like you're putting that maybe a little bit at the front of the line and that could be some of the reason why your retail backlog grew as much as it did. But"}, {"path": "tedlium_4196.wav", "duration": 12.9900625, "text": "on what is the lowest base. I was wondering, and I understand it's early in the program, but where are you in terms of growing the services business compared to your early expectations that you laid out?"}, {"path": "tedlium_4197.wav", "duration": 12.99, "text": "As previously mentioned, Commercial Vehicle market data has also been encouraging in recent months, suggesting that our volumes in this end market could be supported by slightly stronger industry demand than we had earlier assumed."}, {"path": "tedlium_4198.wav", "duration": 12.99, "text": "many businesses in Marvell where they have a strong -- where we have a strong leadership position and a strong base of profitability. And actually in some of those businesses, even where have"}, {"path": "tedlium_4199.wav", "duration": 12.99, "text": "And if you go to the website, you'll be able to see some of the things that are actually occurring around the can. I think it'll give you an idea, but continue to be very excited about it. Also, since that meeting in New York, we've have had 3 or 4 new"}, {"path": "tedlium_4200.wav", "duration": 12.99, "text": "or modest increase in sample size. Just wanted to confirm whether there might be any triggers for a potential trial stoppage on either efficacy or futility at that point."}, {"path": "tedlium_4201.wav", "duration": 12.99, "text": "Can we assume that you are done with your buyback? Or are you still kind of opportunistically evaluating your stock and kind of market conditions?"}, {"path": "tedlium_4202.wav", "duration": 12.99, "text": "The way we respond to that is basically that we even more so focus on our efficiency improvements that have not been"}, {"path": "tedlium_4203.wav", "duration": 12.99, "text": "we're expecting a good portion of those to be in service this year. We are, just as a reminder, about a year behind with putting those assets in service as a result of the delays in the Massachusetts market."}, {"path": "tedlium_4204.wav", "duration": 12.99, "text": "David is leaving us in a strong position to build upon our success and execute on the substantial growth opportunity that exists for this very unique concept."}, {"path": "tedlium_4205.wav", "duration": 12.99, "text": "I know all you guys have to run to many other calls and you have got a very busy Friday evening, so I won't take more of your time. Thank you very much for sparing the time and being on this call. And"}, {"path": "tedlium_4206.wav", "duration": 12.99, "text": "For instance, we continue to see good order flow in the industrial areas of our business with portable gas detection and industrial head protection posting double-digit revenue increases in the first quarter."}, {"path": "tedlium_4207.wav", "duration": 12.99, "text": "Got it. Very helpful. And then as a follow-up, can you discuss how much input cost inflation you're currently seeing as it relates to labor and materials? And what proportion of that you believe you can pass on to customers?"}, {"path": "tedlium_4208.wav", "duration": 12.99, "text": "Your Independent Grocer business. And we're seeing a really terrific response in those markets, essentially a fundamental upgrade in the full service conventional proposition that is being made available to those consumers."}, {"path": "tedlium_4209.wav", "duration": 12.99, "text": "a model whereby they are becoming more verticalized and they are investing in IT platforms"}, {"path": "tedlium_4210.wav", "duration": 12.99, "text": "And I am tremendously proud of the hard work from all of the Amicus employees around the world that advance our mission every day. And I look forward to providing updates to our investors on our progress we are making throughout this year."}, {"path": "tedlium_4211.wav", "duration": 12.99, "text": "So we do think we'll see some repricing. We think that some of our competitors will come under more stress than we will because they're more by way of more monoline deposit takers and mortgage banks, particularly in our home market."}, {"path": "tedlium_4212.wav", "duration": 12.99, "text": "Now that our partners can scope the project, negotiate the terms and keep all the revenue, they have an incentive to help us sell more, which can drive growth in recurring revenue."}, {"path": "tedlium_4213.wav", "duration": 12.99, "text": "I think we're going to see when there's a lot of money on the table in those last few weeks, the people that are using it are liking it a lot. So I think it's a matter of adoption. But honestly, we don't have a good handle"}, {"path": "tedlium_4214.wav", "duration": 12.99, "text": "the more we believe we're on the beginning of a powerful new wave. Applied Materials is on the critical path. Those trends depend on what Applied does best."}, {"path": "tedlium_4215.wav", "duration": 12.99, "text": "I strongly believe that the most exciting days for the industry and Applied are ahead of us. Over the next decade, AI and big data will transform almost every sector of the economy"}, {"path": "tedlium_4216.wav", "duration": 12.99, "text": "of results, not 9 months like in Argentina. So we don't have a comparison with the previous year because we started now. So we are only presenting information for this"}, {"path": "tedlium_4217.wav", "duration": 12.99, "text": "So I wanted to hear from you what you expect in the coming months? If it's a problem on the supply side, on the demand side? And what's your risk appetite right now and even considering everything we know about the economy?"}, {"path": "tedlium_4218.wav", "duration": 12.99, "text": "The third message is that our commercial teams are fully mobilized to outperform and definitely contribute to an acceleration of SUEZ growth. Many contracts have been renewed"}, {"path": "tedlium_4219.wav", "duration": 12.99, "text": "These statements are based on our current plans and expectations and involve risks and uncertainties that could cause future activities and results of operations to be materially different from those set forth in the forward-looking statements."}, {"path": "tedlium_4220.wav", "duration": 12.99, "text": "we expect any tax expense or benefit for the company in fiscal 2017 will be near 0. To further explain this, any tax rate used to generate an income tax expense or benefit"}, {"path": "tedlium_4221.wav", "duration": 12.99, "text": "for same-store sales growth in general would be? And then also with Park City now firmly integrated into operations, I was just wondering if you could talk for a moment about the growth opportunity you think there that could benefit you next ski season?"}, {"path": "tedlium_4222.wav", "duration": 12.99, "text": "specific changes in seasonality. I don't expect a material difference in our overall seasonality as a result of the addition of Smart. I think you hit it on the head there, Tom. As we see"}, {"path": "tedlium_4223.wav", "duration": 12.99, "text": "into using LNG. And that has also enabled infrastructure to be quite nicely built out at this point in time. So we're -- we work with a variety of different fuel"}, {"path": "tedlium_4224.wav", "duration": 12.99, "text": "Many people, especially millennials, are light category consumers. They enjoy discovery and seek out new experiences. And maybe for some, Johnnie Walker feels like a big brand."}, {"path": "tedlium_4225.wav", "duration": 12.99, "text": "but it would be a high risk for progression not all would eventually progress. So what mixture of kind of progression data as well as immunogenicity results in your mind would serve as proof of concept of the strategy?"}, {"path": "tedlium_4226.wav", "duration": 12.99, "text": "to date, which have led to the previously announced research agreement and a variety of other potential collaboration and research discussions with several of the top global biopharmaceutical and biotech companies."}, {"path": "tedlium_4227.wav", "duration": 12.99, "text": "The agreement has been approved by our primary regulator. Fannie Mae and Freddie Mac are completing their reviews, and we expect they will allow full credit under the PMIERs for the ceded risk."}, {"path": "tedlium_4228.wav", "duration": 12.99, "text": "But our effort is to make sure, first of all, that we're integrating the hospitals that we've bought recently into the company well. And I think, in our results that you see"}, {"path": "tedlium_4229.wav", "duration": 12.99, "text": "It's important to remember unless you knew exactly the monthly flow of sales, you can't calculate DSO. And I think externally people just take the whole quarter without understanding the flow,"}, {"path": "tedlium_4230.wav", "duration": 12.99, "text": "driven by the lower trade stock levels associated with DSD. As we've said, this is also the market where we had the majority of our lost consumption due to the July 4 holiday timing."}, {"path": "tedlium_4231.wav", "duration": 12.99, "text": "we believe that there will be a pick up in that. And so we're optimistic that we're doing the right things. And when it comes back,"}, {"path": "tedlium_4232.wav", "duration": 12.99, "text": "I would also note that no shares of common stock were repurchased in the first quarter under our current share repurchase authorization. Our cash reserves are more than ample to support our growth initiatives."}, {"path": "tedlium_4233.wav", "duration": 12.99, "text": "from where they were at the half year last year, really as a result of the ERFs now being constructed and built out, and that interest is now coming through into the profit and loss account for the funding that we have in place for those."}, {"path": "tedlium_4234.wav", "duration": 12.99, "text": "just give more color on the sort of choices you made to deploy capital elsewhere versus buy back stock in the quarter, when the average of the stock was still at a fairly attractive price?"}, {"path": "tedlium_4235.wav", "duration": 12.99, "text": "We believe we could offer greater performance and value to the intensive user that are superior to their present power source like lead acid batteries, hydrogen, propane and other Lithium Ion."}, {"path": "tedlium_4236.wav", "duration": 12.99, "text": "with very strong indication of share growth within each of these new served markets. And of course, we remain focused to protect and grow the share of the high-value offerings within our present served markets."}, {"path": "tedlium_4237.wav", "duration": 12.99, "text": "We're also in the process of really investing in the future, and Aram mentioned some of that, where we're going to look at things that we need to do today to be able to get to 2025. He mentioned some of those"}, {"path": "tedlium_4238.wav", "duration": 12.99, "text": "outcomes before moving to a full-scale launch. From a product supply standpoint, we're working with our manufacturing partner to ramp up production in order to meet the strong demand that we're seeing"}, {"path": "tedlium_4239.wav", "duration": 12.99, "text": "We have no further updates since the last conference call. We continue to cooperate fully with the SEC. And although we cannot predict the outcome, based on what we know to date, we do not expect this matter to have a material impact on the company."}, {"path": "tedlium_4240.wav", "duration": 12.99, "text": "We'll begin our call today by commenting on forward-looking statements. Certain statements made during this presentation as well as other information provided from time to time by Generac or its employees may contain forward-looking statements"}, {"path": "tedlium_4241.wav", "duration": 12.99, "text": "demand as well as physician demand to be quite a lot more than looking at the current market as a static market and then trying to figure out how much impact the J code would have."}, {"path": "tedlium_4242.wav", "duration": 12.99, "text": "Such statements are based on assumptions of future events that may not prove to be accurate, and as such, they involve risk and uncertainty. It's therefore possible that actual results may materially differ from any forward-looking statements that we might make today."}, {"path": "tedlium_4243.wav", "duration": 12.99, "text": "We expect to welcome additional partnerships throughout 2019. I'd like to end my remarks by recognizing the extraordinary generosity of our customers."}, {"path": "tedlium_4244.wav", "duration": 12.99, "text": "and in parallel, performing a healthy volunteer SAD study to identify a potential therapeutic dose for the acutely AML patients and then taking that potential therapeutic dose directly into AML patients."}, {"path": "tedlium_4245.wav", "duration": 12.99, "text": "That being said, we've never come out and said exactly what we believe the ending cash balances that we're seeking, but we're very clear that we're using our new capital allocation strategy to make sure that we continue to work that balance down in a really thoughtful way."}, {"path": "tedlium_4246.wav", "duration": 12.99, "text": "setting the stage for what we believe will be a banner group year for our portfolio. We witnessed notable improvements in 2019 pace in key markets like Chicago and New York throughout the quarter,"}, {"path": "tedlium_4247.wav", "duration": 12.99, "text": "combined to the new clients, but we are certainly going back and marketing to the base that you now have available more modules that you can turn on. So I think there's certainly an opportunity there, but we're not going to rush it and kind of blitz the base."}, {"path": "tedlium_4248.wav", "duration": 12.99, "text": "Reported pricing was flat but was positive, excluding a negative customer mix as we began recovering the higher power costs from the first half of the year in our merchant business."}, {"path": "tedlium_4249.wav", "duration": 12.99, "text": "The increase was largely focused on a few specific objectives. For example, we integrated our ideel operations, moving ideel distribution into our Kentucky facility and integrating ideel into the Groupon site."}, {"path": "tedlium_4250.wav", "duration": 12.99, "text": "In addition, the prior year quarter's rate was unusually high as a result of a reserve against certain accumulated tax loss balances, which made up 15 percentage points in the prior year quarter."}, {"path": "tedlium_4251.wav", "duration": 12.99, "text": "We are excited about the growth potential for this innovative new area and expect to begin sales early in next fiscal year. Now I'll turn to upholstery fabrics."}, {"path": "tedlium_4252.wav", "duration": 12.99, "text": "that they can flex the scale, scaling of how fast they can scale our various initiatives that we have has been a really important aspect of how we've thought about the vendor consolidation. So"}, {"path": "tedlium_4253.wav", "duration": 12.99, "text": "And to date, I would say, unless you disagree, Mike, that the amount of risk that a retailer is willing to take to put their sales at risk is just not happening. Right, right. I think the most important thing David had said is that from a retailer perspective,"}, {"path": "tedlium_4254.wav", "duration": 12.99, "text": "notably related to anticipated improved K-Cup economics and upcoming innovation that will support sustained growth for our Coffee and snacking segments."}, {"path": "tedlium_4255.wav", "duration": 12.99, "text": "May, I believe, is the next scheduled session. So if we do come to an agreement, the impact would be in the latter half of the year, and we have not built any of that into our guidance at this point in time."}, {"path": "tedlium_4256.wav", "duration": 12.99, "text": "coupled with pricing pressure brought on by aggressive competition and continued weakness in certain markets. This loss of margin was only partially offset by the material cost savings achieved by the company's supply chain improvement initiatives."}, {"path": "tedlium_4257.wav", "duration": 12.99, "text": "Jeff will have more of an explanation on the restructuring costs and the reversal of the tax valuation allowance, but both of these reflect our efforts to have the most efficient global manufacturing and operational organizations going forward."}, {"path": "tedlium_4258.wav", "duration": 12.99, "text": "We lowered our volume expectations for the year, which lowered our guidance range. This is due to compression of shipping days and the timing of large projects that we know we're going to ship."}, {"path": "tedlium_4259.wav", "duration": 12.99, "text": "Forward-looking statements are subject to a number of assumptions and uncertainties that may cause our actual results to differ materially from those expressed in these statements, and we undertake no obligation to update or revise any forward-looking statements."}, {"path": "tedlium_4260.wav", "duration": 12.99, "text": "capacity to meet demand all year long. And as the volumes grow, we keep matching the volume. So our network is so big and so global now that it wouldn't show up on the radar."}, {"path": "tedlium_4261.wav", "duration": 12.99, "text": "We're excited about the progress that we've made and even more excited about the accomplishments soon to come. We look forward to reporting on our continued progress. Operator, we can now open the call for questions."}, {"path": "tedlium_4262.wav", "duration": 12.99, "text": "relative to the trends from the second quarter. Our cost forecast for the year is higher than we last reported. I'm not real happy about that. We're certainly not satisfied with that."}, {"path": "tedlium_4263.wav", "duration": 12.99, "text": "not as much as we had in previous presidential elections on a pro forma basis. But if you just look at the Hillary Clinton campaign in the markets that we're so heavily in, in the Midwest and the Great Lakes area, for instance,"}, {"path": "tedlium_4264.wav", "duration": 12.99, "text": "in coming years, it's going to be time to up the dividend? Or would you prefer to allocate capital towards growth potentially including acquisitions?"}, {"path": "tedlium_4265.wav", "duration": 12.99, "text": "Could you give us a sense for how much of this margin expansion would you expect to come from restructuring versus the subsequent optimization once your new footprint is established and static?"}, {"path": "tedlium_4266.wav", "duration": 12.99, "text": "adjust their formats, importantly, have capital to do that. And we want to be supportive of them, and we want to have shopping centers that give them the flexibility to do that,"}, {"path": "tedlium_4267.wav", "duration": 12.99, "text": "We believe that these actions will continue to help us elevate the brand and drive profitable sales growth in this region. Now let me provide you with an update on our restructuring activities related to the global brand management initiative."}, {"path": "tedlium_4268.wav", "duration": 12.99, "text": "and we expect to conclude agreements with others during the balance of 2017. Our current program time lines with these customers would result in initial revenue during Q4 of this year."}, {"path": "tedlium_4269.wav", "duration": 12.99, "text": "We saw hesitation in the release of similar larger projects in the second half of 2018, largely due to significant fluctuations in oil prices and increasing uncertainty on a variety of economic fronts."}, {"path": "tedlium_4270.wav", "duration": 12.99, "text": "I am really proud to see us deliver on this deal, and we are just getting started. And with that said, I also want to add that we are working to add more assets to our pipeline."}, {"path": "tedlium_4271.wav", "duration": 12.99, "text": "the fold as it relates to our pipeline. We're continuing to explore opportunities across all 3 of our primary market sectors. And so again, we're going to continue to evaluate those and stay disciplined to our approach. But"}, {"path": "tedlium_4272.wav", "duration": 12.99, "text": "such equipment would be written up to an appraised fair market value. Once the equipment has book value again, it reinitiates the accounting depreciation process."}, {"path": "tedlium_4273.wav", "duration": 12.99, "text": "Supported by our 2015 performance, we believe these investments will enable the company to grow at an accelerated pace and faster than the broader market with higher returns on invested capital."}, {"path": "tedlium_4274.wav", "duration": 12.9899375, "text": "this afternoon. We're always happy when we can all be in the same place and have an opportunity to talk to the market. And we're even happier when we can put out some of the results that we've done over the last 24 hours. So"}, {"path": "tedlium_4275.wav", "duration": 12.96, "text": "Noticed that you had a little bit of an increase in some biz dev expenses in the quarter. So if you could talk about how you're thinking about acquisitions or potentially where some of those targets might be and what you're seeing in terms of seller expectations."}, {"path": "tedlium_4276.wav", "duration": 12.96, "text": "relative to last quarter, where it was up in spite of the higher interest but it had lower working capital usage. When we look at the inflow of cash from payables going up,"}, {"path": "tedlium_4277.wav", "duration": 12.96, "text": "Not only will this platform allow us to greatly enhance the customer and user experience, but will allow us to use advanced analytics to personalize and provide relevant advice on an ever broader scope of product that we are incubating."}, {"path": "tedlium_4278.wav", "duration": 12.96, "text": "On our executive management team, 11 of the 15 members are new to the bank since 2014. We need to execute on our plan and lead our teams with passion and purpose."}, {"path": "tedlium_4279.wav", "duration": 12.96, "text": "So I think you'll continue to see us adjust spending, both in absolute as well as by mix of spending based on where the opportunities are, our innovation portfolio, et cetera, but"}, {"path": "tedlium_4280.wav", "duration": 12.96, "text": "improving our way of optimizing the existing assets, before we get into new investments and enhancing the bottlenecks at existing compared to the needs of the markets."}, {"path": "tedlium_4281.wav", "duration": 12.96, "text": "It's pretty simple, Bryan. We commented during our investor day back in October that we had been looking at a variety of strategic alternatives for our select portfolio."}, {"path": "tedlium_4282.wav", "duration": 12.96, "text": "that -- at a high level that's what we're thinking. That being said, because of the market, and how challenging it is, I wouldn't expect a lot of investment into the rental fleet until we see a more constructive"}, {"path": "tedlium_4283.wav", "duration": 12.96, "text": "relative to other kiosks in similar malls or in the same mall. And we were just at a disadvantage, and I'll talk -- because that lack of new product activity"}, {"path": "tedlium_4284.wav", "duration": 12.96, "text": "While demand was strong in the second and third quarters last fiscal year, we projected that this fiscal year, demand would be weak in the second and third quarters but would increase greatly in the fourth quarter."}, {"path": "tedlium_4285.wav", "duration": 12.96, "text": "also goes into our capital return strategy, where we say that we are -- we do return a great amount of our earnings every year to our shareholders over the long-term, but most of that"}, {"path": "tedlium_4286.wav", "duration": 12.96, "text": "Looking ahead to 2017, we expect to continue executing on our balanced capital allocation strategy that includes growth through both acquisitions and organic investments"}, {"path": "tedlium_4287.wav", "duration": 12.96, "text": "All 4 operating divisions are on track for their growth targets against the GAP program, so we feel confident not only about the activity but also about the projected return rates."}, {"path": "tedlium_4288.wav", "duration": 12.96, "text": "We have a lot more cross-border innovations, taking successes from one market, introduce it in other markets, often under local brands, but the same product and based on the same consumer insight."}, {"path": "tedlium_4289.wav", "duration": 12.96, "text": "and it's breadth. In other words, every single slice included or just some of the slices included. One of the things that we've discussed with some of the players in the industry is even the prospect of a rolling metric. In other words,"}, {"path": "tedlium_4290.wav", "duration": 12.96, "text": "and I was just incredibly impressed. And they're really fired up about being part of Nielsen and having a much bigger platform on which to demonstrate all the great things that they can do in the marketplace."}, {"path": "tedlium_4291.wav", "duration": 12.96, "text": "Revenue at Solutions increased 5% from the prior period in 2015, driven by a higher volume of covered mobile devices globally and strong growth in vehicle protection."}, {"path": "tedlium_4292.wav", "duration": 12.96, "text": "For example, the sale of Employee Benefits to Sun Life Financial closed on March 1. We expect the dividend cash proceeds to the holding company starting this quarter, subject to regulatory approval."}, {"path": "tedlium_4293.wav", "duration": 12.96, "text": "in the spring and hopefully soon will be that we will be hitting it hard on a lot of our local water, smaller burn work, and the intent there would be to ramp up at faster"}, {"path": "tedlium_4294.wav", "duration": 12.96, "text": "In addition, we've developed a significant private fund business where we market our U.S. direct lending products directly to institutional investors, a distribution channel that wasn't meaningful to us 5 years ago. If"}, {"path": "tedlium_4295.wav", "duration": 12.96, "text": "Now this will give clients greater capital investment flexibility as well as the ability to leverage each of our organization's respective strengths in cloud solutions."}, {"path": "tedlium_4296.wav", "duration": 12.96, "text": "If you're doing that in terms of being more price competitive, does that inevitably mean that there's going to be upside pressure to your combined ratio simply because you'll still be reserving conservatively with regards to Ogden? Or is there a compensating factor?"}, {"path": "tedlium_4297.wav", "duration": 12.96, "text": "just over half of which will come from the Peninsula acquisition and the balance expected to come from the recently announced Clear Lam acquisition, which we expect to close shortly."}, {"path": "tedlium_4298.wav", "duration": 12.96, "text": "Subscription revenue begins the day we sign a contract and is recognized ratably over the lifetime of that contract. ARR shows the annual recurring revenue at a particular point in time."}, {"path": "tedlium_4299.wav", "duration": 12.96, "text": "So that was a lawsuit filed against several station owners and operators, including us, and the allegations of that complaint are completely meritless, and we will defend ourselves vigorously."}, {"path": "tedlium_4300.wav", "duration": 12.96, "text": "described so correctly, the overall ambition is to keep the margin positively stable. And that's what we think we will be reaching also for this year, as I pointed out before. We now expect"}, {"path": "tedlium_4301.wav", "duration": 12.96, "text": "we still have to defend, because obviously some of our competitors are also looking for more attractive accounts. So the market is competitive, it's there but there are some specific accounts"}, {"path": "tedlium_4302.wav", "duration": 12.96, "text": "Overall, for the year, we expect a slight increase in net working capital with an increase in the first half of the year and a decrease in the second half consistent with historical trends."}, {"path": "tedlium_4303.wav", "duration": 12.96, "text": "On the West Coast, we continue to ramp up our work on Purple Line Section 2 in Los Angeles with the construction of the tunnel launch pit commencing in"}, {"path": "tedlium_4304.wav", "duration": 12.96, "text": "Relative to where your contracted that's slightly below, I think if I'm doing my math right, can you talk me through the dynamics there, is there something specific to 4Q where your"}, {"path": "tedlium_4305.wav", "duration": 12.96, "text": "we were not expecting a different time of onset. But it does appear that in the trial so far our nadir is achieved by 6 weeks,"}, {"path": "tedlium_4306.wav", "duration": 12.96, "text": "Do you think Advanced's decision to join the bidding for the 1800 would imply that their financial -- would imply Advanced's financial strength and nullify the probability of NCPO approving the matter?"}, {"path": "tedlium_4307.wav", "duration": 12.96, "text": "interesting exercise as we try to do this. And if you look through the announcement we've made recently, there are some places where it's been, depending upon the stage of development,"}, {"path": "tedlium_4308.wav", "duration": 12.96, "text": "I think one thing we're certainly clear about is that now, we are able to accurately measure what the rural part of the country or the rural audiences are watching."}, {"path": "tedlium_4309.wav", "duration": 12.96, "text": "any adjustment up or down is de minimis. We expect our margins for the balance of the year to be consistent with what you have seen in the second quarter, which we feel very good about"}, {"path": "tedlium_4310.wav", "duration": 12.96, "text": "paid down all of your debt. So I think you can check that off of your potential uses of cash list. So just in terms of uses of cash going forward,"}, {"path": "tedlium_4311.wav", "duration": 12.96, "text": "And the kind of, I don't know how to name it, but the nice move of the government in France, which says, okay, I want to have more connectivity, and I'm ready"}, {"path": "tedlium_4312.wav", "duration": 12.96, "text": "on the credit risk transfer investment benefited from market-driven value changes due to credit spread tightening, in addition to ongoing income related to the investment."}, {"path": "tedlium_4313.wav", "duration": 12.96, "text": "With nearly 2 patrol cars for every 3 officers and the increasingly positive feedback from our trials, we see the Axon Fleet in-car camera as a tremendous opportunity to extend our capabilities."}, {"path": "tedlium_4314.wav", "duration": 12.96, "text": "Factors driving these volume fluctuations include client work shifting offshore or nearshore, marketing campaign and service strategy choices, product design and demand changes,"}, {"path": "tedlium_4315.wav", "duration": 12.96, "text": "and we continue to advance strategic opportunities to add value. For example, several quarters ago and in advance of improved market activity, we announced the consolidation of our service organization under a common leadership team."}, {"path": "tedlium_4316.wav", "duration": 12.96, "text": "So you can fully expect us to always be vigilant on cost. But particularly when you have a transaction such as this, one has to be very careful that stranded costs are looked at and that they're eliminated."}, {"path": "tedlium_4317.wav", "duration": 12.96, "text": "In terms of the upsize of the term loan, that's not necessarily something we would be considering at this stage. I think, we're looking primarily to the reinsurance to help us there."}, {"path": "tedlium_4318.wav", "duration": 12.96, "text": "our commitment to leadership and quality and patient safety is recognized by the National Patient Safety Foundation for the number of LifePoint leaders who are certified professionals in patient safety."}, {"path": "tedlium_4319.wav", "duration": 12.96, "text": "Many friends will ask how we can manage this very huge ecosystem. I think, in terms of management, one important point"}, {"path": "tedlium_4320.wav", "duration": 12.96, "text": "Also to extend our market reach and assist our product rollout, we have underway a comprehensive program involving meetings with key opinion leaders, customers and advisers in the molecular diagnostics community."}, {"path": "tedlium_4321.wav", "duration": 12.96, "text": "that we have productized to help businesses improve digital engagement with their customers and enhance customer experience to create greater satisfaction and brand loyalty."}, {"path": "tedlium_4322.wav", "duration": 12.96, "text": "that has great growth opportunities moving forward, and you may see us doing more in an inquisitive way relative to that space. So we're real high on what we've done and what we positioned and what we're targeting."}, {"path": "tedlium_4323.wav", "duration": 12.96, "text": "We have a strong viewpoint that a technology-enabled services offering delivers superior outcomes than a software alone or relative to the combination of fragmented solutions in use at hospitals today."}, {"path": "tedlium_4324.wav", "duration": 12.96, "text": "you can't really tell so much about what's going to happen after that because if you all recall a couple of months ago, we also felt very differently about the pulp prices in the first"}, {"path": "tedlium_4325.wav", "duration": 12.96, "text": "that for the most part has turned out to be pretty much where we had expected and wanted it to turn out. So, it's not a material consideration to us at the moment."}, {"path": "tedlium_4326.wav", "duration": 12.96, "text": "We view increases in our gross profit as a critical indicator that we are on the right track by driving up collections and driving down COGS to generate an ever-increasing gross profit to cover the OpEx and other costs of running our business."}, {"path": "tedlium_4327.wav", "duration": 12.96, "text": "the Q4 has not played like the earlier quarters of the year and so we're trying to take some of that knowledge we've gained into account as we think about where we believe the fourth quarter's going to go. In terms of the revenue profile,"}, {"path": "tedlium_4328.wav", "duration": 12.96, "text": "Our Corporate Development team is working diligently to pursue and evaluate target acquisitions while we remain cognizant of our internal hurdle rates and return metrics, ensuring disciplined investment decisions."}, {"path": "tedlium_4329.wav", "duration": 12.96, "text": "I was hoping to get a little bit more detail in terms of why you have confidence that, that business will increase. Obviously, it's kind of been a little bit of a wildcard over the last several quarters,"}, {"path": "tedlium_4330.wav", "duration": 12.96, "text": "towards debt reduction. Is there also a mechanism, all right, that kind of mandates that free cash flow has to be prioritized towards debt reduction? I seem to recall that you have a free cash flow sweep"}, {"path": "tedlium_4331.wav", "duration": 12.96, "text": "we are now in a position to say that EFC expects to convert to a real estate investment trust or REIT during the first half of 2019, barring an unforeseen impediments. In connection with such a conversion,"}, {"path": "tedlium_4332.wav", "duration": 12.96, "text": "a very narrow line of torque and tension products manufactured by Hydratight, and then we did carry a few complementary lines but not widely distributed and mostly placed in the rental fleet for our own use."}, {"path": "tedlium_4333.wav", "duration": 12.96, "text": "pad pitch where they're having to upgrade and you're seeing more of an upgrade cycle now than you have in the past? Is there something different now than there has been in the last couple of years as to why that business is so strong?"}, {"path": "tedlium_4334.wav", "duration": 12.96, "text": "during 2016. Excessive trailer age remains a challenge for fleets and provides further support to forecast and expectations for strong new trailer demand"}, {"path": "tedlium_4335.wav", "duration": 12.96, "text": "While there was plenty of innovation activity over the past 2 years, the results clearly show the innovation was insufficient to sustain growth, primarily because it was subpar in its execution."}, {"path": "tedlium_4336.wav", "duration": 12.96, "text": "to drive more investments in some of these areas, and clients want to grow faster with us in some of these geographies. But having said that, it will not be at the cost of margins."}, {"path": "tedlium_4337.wav", "duration": 12.96, "text": "into transaction and outcome-based models. So it does tend to work very well. I think what you're seeing in terms of the growth in FTE for WNS, similar to the growth that we've seen in our customer interaction services"}, {"path": "tedlium_4338.wav", "duration": 12.96, "text": "In Travel Network, with the anniversary of the acquisition of our Asia Pacific business on July 1, revenue and bookings growth over the balance of the year will return to normalized growth rates reflecting our global footprint."}, {"path": "tedlium_4339.wav", "duration": 12.96, "text": "but it's strange that you're using Texas rates as of January 12, yet you're still experiencing all this lag? I'm just a little confused by that."}, {"path": "tedlium_4340.wav", "duration": 12.96, "text": "We believe we're going to get it. They want it for the REV process and then the distribution improvement program, which is the grid modernization. So those are the 2 that are in the highly likely category."}, {"path": "tedlium_4341.wav", "duration": 12.96, "text": "Another area of success has come from the creation of a global supply chain and procurement organization, which is driving cost savings across the business and stronger management of our global supply base."}, {"path": "tedlium_4342.wav", "duration": 12.96, "text": "In the same presentation, what we said was that we split them to the different years to set the goals and to communicate the market the degree of achievement of this efficiency plan."}, {"path": "tedlium_4343.wav", "duration": 12.96, "text": "And that's part of the total picture of why it's very critical for us to win those domains, because we know that many others are a given."}, {"path": "tedlium_4344.wav", "duration": 12.96, "text": "and I wish you a very nice day. Thank you."}, {"path": "tedlium_4345.wav", "duration": 12.96, "text": "What we've uncovered during the first 6 to 9 months of our launch was that our sales team was adding a lot of customers, we've actually added thousands of customers to our call universe"}, {"path": "tedlium_4346.wav", "duration": 12.96, "text": "from his beginning. We're really happy with the way our properties are performing. We really love our competitive position. We like the offering that we have and we like the fact that in many cases,"}, {"path": "tedlium_4347.wav", "duration": 12.96, "text": "We are committed to continuing to lead our industry with innovative new products that help our customers monetize their video assets while optimizing our operating expenses to drive profitability."}, {"path": "tedlium_4348.wav", "duration": 12.96, "text": "quick turnaround, high value-added processing, they really put the pedal to the metal because they realize that their sales dollars were going to go down, not necessarily their tons,"}, {"path": "tedlium_4349.wav", "duration": 12.9300625, "text": "demonstrated to us that there are many sophisticated and experienced investors with solar track records who recognize the value proposition created by the addition of storage and control systems"}, {"path": "tedlium_4350.wav", "duration": 12.93, "text": "from an order booking point of view? Do you think that will be maintained? Or are we in such a volatile period that you can't really say that about what's going to happen in Q1? Well,"}, {"path": "tedlium_4351.wav", "duration": 12.93, "text": "About half of that investment is going to drive insurance broking policies, which has already begun and the other half will go to drive new travel volume across the year."}, {"path": "tedlium_4352.wav", "duration": 12.93, "text": "This reduced participation is consistent with our expanding strategy of incorporating third capital in our operations. Across broader business lines, the primary driver of growth was in specialty lines."}, {"path": "tedlium_4353.wav", "duration": 12.93, "text": "Looking ahead, we expect to see modest increases in operating expense as we continue to make investments in business development efforts that we expect to positively impact our revenue generation going forward."}, {"path": "tedlium_4354.wav", "duration": 12.93, "text": "We expect improvements in our cash conversion cycle, combined with our capital-light business model, will help ensure we remain at or near the top of the pack in free cash flow and will ultimately help us improve our return on capital employed."}, {"path": "tedlium_4355.wav", "duration": 12.93, "text": "The general perception is that cigarette sales are in decline, but I was wondering if the general tobacco category is in decline given the popularity of electronic cigarettes and derivative products."}, {"path": "tedlium_4356.wav", "duration": 12.93, "text": "we now have the ability to build these parts, and we will do so if it is necessary. With that as a backdrop, you've now seen the impact on our business that a downturn can have."}, {"path": "tedlium_4357.wav", "duration": 12.93, "text": "it's something that we're giving a lot of thought to. Obviously, we thought it was very important that we announced that the first patient had been dosed. We have always been very transparent with the data"}, {"path": "tedlium_4358.wav", "duration": 12.93, "text": "so that it can conserve cash. And we've -- as you will see with some announcements here this year, as I mentioned earlier, some big -- some large retailers,"}, {"path": "tedlium_4359.wav", "duration": 12.93, "text": "These benefits are expected to be partially offset by higher depreciation expense, the unfavorable impact from the contractual pass-through of indexed deflation and the unfavorable impact from further reductions in inventories."}, {"path": "tedlium_4360.wav", "duration": 12.93, "text": "Now last year, we completed a series of debt refinancing transactions that improved our capital structure and significantly lowered our overall annual cash interest expense."}, {"path": "tedlium_4361.wav", "duration": 12.93, "text": "Demand remained strong in the quarter and we started to see energy rebound on higher oil prices. Most end markets, including energy, experienced strong organic sales increases in the quarter."}, {"path": "tedlium_4362.wav", "duration": 12.93, "text": "But content is not our only opportunity to drive more recurring revenue. In addition to our core solutions and the continued upside opportunity around our recruiting and HR suites,"}, {"path": "tedlium_4363.wav", "duration": 12.93, "text": "there. I know you were -- I think last quarter you were talking about sort of moving certain processes for standard products in-house. Does the margin guidance consider that action? And what other actions are you taking to boost margins this year?"}, {"path": "tedlium_4364.wav", "duration": 12.93, "text": "of the changes that we have made over the last few years related to our product mix, and how we believe that strategy has and will continue to have a positive impact on our results."}, {"path": "tedlium_4365.wav", "duration": 12.93, "text": "that the net result will be a significant reduction in the risk of our insured portfolio, which should greatly improve our liquidity mismatch and the overall stability of our financial condition."}, {"path": "tedlium_4366.wav", "duration": 12.93, "text": "Now why not go faster? Obviously, we have leases of these facilities in both businesses, we're going to go break leases early just to bring these together, but we'll bring those together over time because we see a lot of benefits."}, {"path": "tedlium_4367.wav", "duration": 12.93, "text": "we were able to -- our full order book we knew what the margin was in it, we were completely protected. And we were then able to work with the suppliers about not taking a price increase, reengineering some of the product"}, {"path": "tedlium_4368.wav", "duration": 12.93, "text": "We also know that the value proposition for small-ticket businesses is speed and convenience, so we are highly focused on using process renewal to also improve the customer experience, which reinforces our growth objectives."}, {"path": "tedlium_4369.wav", "duration": 12.93, "text": "So we are waiting with interest what is going to happen in September, because it's in September that the government will discuss with municipalities and the"}, {"path": "tedlium_4370.wav", "duration": 12.93, "text": "In Canada, Prime Minister Trudeau's commitment to increase infrastructure investment is contributing to new momentum, as evidenced by the recently passed budget that included strong support for transportation investment."}, {"path": "tedlium_4371.wav", "duration": 12.93, "text": "billing and care to Broadsmart. We expect this to significantly improve the speed with which we onboard new hotel customers, given their superior track record in servicing"}, {"path": "tedlium_4372.wav", "duration": 12.93, "text": "I would have expected France to be growing a little bit quicker than that. I appreciate it's a competitive market, but it's the digital poster child for the group. Do you expect it to be growing -- at the kind of group levels do you expect Europe to be matching those group levels?"}, {"path": "tedlium_4373.wav", "duration": 12.93, "text": "and intensity of medical care required and the procedures needed for these patients during those 17 days in the intensive care unit and the 25 days that are required in the hospital."}, {"path": "tedlium_4374.wav", "duration": 12.93, "text": "we're going to do that. And that -- and I'll put that -- anything we own in that category. We're activists here. We're going to do something if it looks to us like we can make our business better by selling a piece of it, we're going to do that."}, {"path": "tedlium_4375.wav", "duration": 12.93, "text": "and we will continue to dedicate our efforts to focusing on our core business, eliminating unprofitable initiatives, advancing key technologies and improving our financial performance."}, {"path": "tedlium_4376.wav", "duration": 12.93, "text": "I assume that you're talking more around the LNG. I would tell you that -- and Andrea has got some great statistics on where we are built out relative to CNG and LNG in the European markets. But"}, {"path": "tedlium_4377.wav", "duration": 12.93, "text": "In an environment where access to capital is constrained, we believe that we are well positioned to take advantage of sensible and suitable opportunities that exist for those with such access."}, {"path": "tedlium_4378.wav", "duration": 12.93, "text": "Forward-looking statements in this presentation are subject to a number of risks and uncertainties. Actual results, performance, prospects or opportunities could differ materially from those expressed or implied by the forward-looking statements."}, {"path": "tedlium_4379.wav", "duration": 12.93, "text": "We also expect leisure transient demand to remain steady and a primary driver of lodging results. Business transient is the one segment that has the most risk, and we are watching it closely."}, {"path": "tedlium_4380.wav", "duration": 12.93, "text": "We also continue to make strong inroads into the customer bases of our various acquisitions. Noninterest expense actually came in below the second quarter level versus the increase we anticipated."}, {"path": "tedlium_4381.wav", "duration": 12.93, "text": "and some additional impact because we've decided that our best path forward is continue -- to continue to accelerate our integration projects and get them behind us, so that we can get back to a clear focus on operational execution."}, {"path": "tedlium_4382.wav", "duration": 12.93, "text": "We will be referring to these historical results in our comparisons during this call. Tax reform gave us the opportunity to invest and grow our customer base."}, {"path": "tedlium_4383.wav", "duration": 12.93, "text": "adding solutions, capability in our Test and Measurement and Materials Analysis. And seeing where we can also grow our Industrial Controls and Industrial Monitoring businesses"}, {"path": "tedlium_4384.wav", "duration": 12.93, "text": "of 1995. Such statements are subject to risks, uncertainties and other factors that may cause actual results to differ materially from those contained in any such statements."}, {"path": "tedlium_4385.wav", "duration": 12.93, "text": "where we think -- we know there's some good opportunity there, we just -- we're not going to put a number on it quite yet today. But we'll -- as that develops and becomes, I think, something we have a better line of sight to, we'll be more comfortable talking to that in the quarters ahead."}, {"path": "tedlium_4386.wav", "duration": 12.93, "text": "With our exceptional team, comprehensive product set and integrated service offering, bolstered by the addition of an industry leader like Alpha, EnerSys is very well positioned to compete for the long term."}, {"path": "tedlium_4387.wav", "duration": 12.93, "text": "But if I get a new win today, a new listing today, I don't ship it for 6 months in that business. So that's really where we see kind of the June and September quarter being much stronger in that particular unit."}, {"path": "tedlium_4388.wav", "duration": 12.93, "text": "was that an opportunistic move on your part, or was it more strategic? And if it was strategic, can you drill down more into that? Why China? Why now? And the second question is on"}, {"path": "tedlium_4389.wav", "duration": 12.93, "text": "Sure, Ali. It's really the result of conversations our account managers have had with our large commercial and industrial accounts, so we know we're going to be seeing more load come on in the second half of the year."}, {"path": "tedlium_4390.wav", "duration": 12.93, "text": "Before turning the agenda over to Doug, I want to provide our perspective on the new bundling initiatives given the level of interest this topic has generated over the last several days."}, {"path": "tedlium_4391.wav", "duration": 12.93, "text": "what necessarily happened there, and what your outlook is going forward. Again, I know you addressed some of this. I'm just trying to get a little bit better of a sense for what really happened there, because it was a little bit more of a -- maybe a slightly disappointing number than what I think some people were looking for."}, {"path": "tedlium_4392.wav", "duration": 12.93, "text": "Leveraging this will also be key as we continue to build out the platform and product offering, and again, is one of the key benefits we bring to partnerships. I will now turn the call over to Greg to review financial results. Greg?"}, {"path": "tedlium_4393.wav", "duration": 12.93, "text": "We want to exploit the attractive niche growth markets in which we play and think about attractive adjacencies to drive organic growth and find an operating rhythm for the businesses."}, {"path": "tedlium_4394.wav", "duration": 12.93, "text": "In addition, NAPCO continue to gain traction on the heels of the successful launch of our comprehensive line of StarLink commercial fire and intrusion alarm communicators,"}, {"path": "tedlium_4395.wav", "duration": 12.93, "text": "Unit cost excluding fuel and currency effect increased slightly in the second quarter, but here, we see the opposite effect of a rather challenging comparative basis in the last year."}, {"path": "tedlium_4396.wav", "duration": 12.93, "text": "Given the market opportunity for BPM in fiscal 2017 and beyond, WNS must continue to invest in our business in order to meet the changing needs of our clients."}, {"path": "tedlium_4397.wav", "duration": 12.93, "text": "We are now focusing more of our attention on driving higher inventory turns through a prudent approach to inventory management and driving higher sales through our expert team model."}, {"path": "tedlium_4398.wav", "duration": 12.93, "text": "are still the same, namely electrical, and we also believe there may be some select opportunities in aerospace. But those are the 2 industries that we've been spending most of our time on."}, {"path": "tedlium_4399.wav", "duration": 12.93, "text": "part of the change as you said, what changes you're making. We're hiring people, upgrading the team and really getting people that can take us to the next level. As we start to look at some of the solutions like Access and having to sell maybe a broader portfolio of"}, {"path": "tedlium_4400.wav", "duration": 12.93, "text": "These were -- results were primarily driven by improved pricing, operational improvements in sub-performing accounts and an improvement in insurance and claims expense as a percentage of our revenue excluding fuel."}, {"path": "tedlium_4401.wav", "duration": 12.93, "text": "and they continue to work tirelessly and safely to maintain our grid stability. And for that, we thank you. Turning to Slide 5. I will discuss the latest developments on our Texas rate case filing in more detail."}, {"path": "tedlium_4402.wav", "duration": 12.93, "text": "unless you want to feel the same way as I do, and I don't recommend that. But anyhow, I wanted to talk a little bit about the business environment before stepping into more specifically about our performance."}, {"path": "tedlium_4403.wav", "duration": 12.93, "text": "The table shows that we've continued to be successful in being able to run down our cost base in line with our policy runoff. This is underpinned by the variable cost nature of our outsource relationships."}, {"path": "tedlium_4404.wav", "duration": 12.93, "text": "This will enable us to accelerate our growth ambitions and to tap into the deep networks of experienced global leaders in alternative asset investment management."}, {"path": "tedlium_4405.wav", "duration": 12.93, "text": "for the retailer and for Valvoline. And so key for us is to really grow our share through innovation and effective consumer promotion, effective trade promotion"}, {"path": "tedlium_4406.wav", "duration": 12.93, "text": "related to the bond issuance and bad debt write-off. We consider this cost base to be adequate to address our expected growth and expect to gain operating leverage as we advance through the year."}, {"path": "tedlium_4407.wav", "duration": 12.93, "text": "that takes also a few months. And then once the account is open, that's the first time that we start seeing the inflow where the client can send the money and then we start investing the money. So is a lengthy process from the moment that the person resign until"}, {"path": "tedlium_4408.wav", "duration": 12.93, "text": "The partnership is currently constructing additional connectivity and expanding pipelines to provide more optionality for Midwest refiners. In addition to continuing expansion in the Marcellus and Utica,"}, {"path": "tedlium_4409.wav", "duration": 12.93, "text": "We entered 2018 energized by the opportunities in front of us and excited to deliver against our plan for user growth, augmented reality and content. I'll now hand over the call to Imran for a discussion of our business results."}, {"path": "tedlium_4410.wav", "duration": 12.93, "text": "As we have discussed with them, now that we are a fully operating company, now that we have been audited, we've moved the number of employees from the original booking center of 35 employees to roughly 1,300 today."}, {"path": "tedlium_4411.wav", "duration": 12.93, "text": "including as a result of retirement. While we have been successfully replacing the headcount, it will take some time for our new producers to reach the level of productivity contributed by our more seasoned producers."}, {"path": "tedlium_4412.wav", "duration": 12.93, "text": "represent good businesses for our customers in terms of schedule and reliability and good businesses for us in terms of profit margin"}, {"path": "tedlium_4413.wav", "duration": 12.9299375, "text": "funds generated by operations and capital investment. These measures do not have any standardized meaning under IFRS and as a result, they may not be comparable to similar measures presented in other entities."}, {"path": "tedlium_4414.wav", "duration": 12.9000625, "text": "While the recent announcements involving ZTE and Huawei present new uncertainties, we currently expect limited effect on short-term business in China. I'll explain that in further detail later in the call."}, {"path": "tedlium_4415.wav", "duration": 12.9, "text": "by delivering an unrivaled subscriber experience will remain our focus as we expand into new markets and become Calix, the cloud software platform systems and services company."}, {"path": "tedlium_4416.wav", "duration": 12.9, "text": "Importantly, based on the remaining 2017 CAF II sites to be closed out this year and the continued implementation of process improvements on new projects,"}, {"path": "tedlium_4417.wav", "duration": 12.9, "text": "And so I would encourage you to think about that number holistically and that's why we look at it as kind of a all-encompassing number on revenue coverage versus just looking at it from a subscription"}, {"path": "tedlium_4418.wav", "duration": 12.9, "text": "Should we interpret that as a new commitment to tesa? And because, previously, it was described as noncore and as a potential financial asset. So please, can you let us know your"}, {"path": "tedlium_4419.wav", "duration": 12.9, "text": "In 2016, expenses rose incrementally due to the expansion of our sales force, management hires and operations in the latter half of the year and the now normalized level of rent expense."}, {"path": "tedlium_4420.wav", "duration": 12.9, "text": "and growing profits and limiting our CapEx to generate cash to pay down debt and strengthen our balance sheet. Early in the year, our earnings will be lower"}, {"path": "tedlium_4421.wav", "duration": 12.9, "text": "In summary, we are very pleased with the fourth quarter operating and financial results as our assets continue to perform producing consistent, predictable and growing cash flows."}, {"path": "tedlium_4422.wav", "duration": 12.9, "text": "And so I hope, through good execution, the market will come to appreciate that regardless of the underlying corporate tax rate, that this is value-enhancing and the right way to position this company for the long term."}, {"path": "tedlium_4423.wav", "duration": 12.9, "text": "When you are fighting a battle, when your soldiers come to you, say, they are out of ammunition, you won't check before you give them more ammunition."}, {"path": "tedlium_4424.wav", "duration": 12.9, "text": "will be organized. As you can guess, we are working on different assumptions. So at this point, we don't want to make any statements on these figures. Caution"}, {"path": "tedlium_4425.wav", "duration": 12.9, "text": "This provides the agent with valuable insight to where the customer has been, whether on their website or in the IVR, and gives the agent insights into customer intentions prior to them even speaking to the customer."}, {"path": "tedlium_4426.wav", "duration": 12.9, "text": "These achievements reflect the common purpose and desire across our businesses to deliver without fail for our customers, to exceed their expectations and to improve performance each and every day."}, {"path": "tedlium_4427.wav", "duration": 12.9, "text": "can you just explain what went wrong during the first 3 quarters of the fiscal '18 where organically that business was declining? And what changed to lead us to growth and with that growth accelerating going into the next year?"}, {"path": "tedlium_4428.wav", "duration": 12.9, "text": "But specifically is that what we have to do is to match demand to our production capability. So that's what we're looking at right now, specifically in tube and cores to make sure that"}, {"path": "tedlium_4429.wav", "duration": 12.9, "text": "Thanks, Jimmie. I hope everyone had a chance to review our earnings release from last night. Just as the third quarter was important to show what our team could do in a short period of time, this quarter was critical for a different reason."}, {"path": "tedlium_4430.wav", "duration": 12.9, "text": "No, it's not a liquidity problem in any way, shape or form. We have -- we're very liquid security, and the market has a significant appetite for the security. So it's really more the cost of that equity capital to us and"}, {"path": "tedlium_4431.wav", "duration": 12.9, "text": "we are stymied in many areas, continue to be, and I expect to have a meeting in the next 2 weeks and try to, in some manner, determine when we can gear back up"}, {"path": "tedlium_4432.wav", "duration": 12.9, "text": "We have not disclosed how large the book is, but I had said when we had brought the team on that success will not be measured by hundreds of millions but by billions. And I will tell you that they have been successful."}, {"path": "tedlium_4433.wav", "duration": 12.9, "text": "And I just wanted to walk you through the main drivers in 2015 of that capital book decrease. So the first one was the small shortfall in our operating cash flow compared to our dividend."}, {"path": "tedlium_4434.wav", "duration": 12.9, "text": "But the primary focus of Funding Stream is a product for small businesses. They will be focused primarily on our existing customer base where we've already adjudicated them. We already understand what the credit risk is."}, {"path": "tedlium_4435.wav", "duration": 12.9, "text": "that telematics or better claims adjustment or handling, creating a better picture of our customers giving certain services, additional services,"}, {"path": "tedlium_4436.wav", "duration": 12.9, "text": "We've looked at every microdisplay company, and no company can make that technology, the brightness we had and the enormous contrast we have even at the very bright"}, {"path": "tedlium_4437.wav", "duration": 12.9, "text": "These high standards that we set for our benchmark communities' homebuilding operations are driving our transformation to a leading regional homebuilders, focused on margin enhancement, scalability and strong returns."}, {"path": "tedlium_4438.wav", "duration": 12.9, "text": "I joined ZPG just over a year ago. And some of you might remember how nervous I used to make Rachael by counting and sharing the number of days in that I was and I think she is really pleased that I've stopped sharing that with you."}, {"path": "tedlium_4439.wav", "duration": 12.9, "text": "The improvement in net income was primarily the result of Centennial incurring a lower operating loss in the 2016 first quarter than it did in the prior year first quarter, partially offset by a decline in Hamilton Beach's results."}, {"path": "tedlium_4440.wav", "duration": 12.9, "text": "And we feel good about that because we're getting scale, and we're getting economies out of it. And while the investment is all up front, we feel like we'll accelerate this growth and accelerate the volume of the company pretty quickly."}, {"path": "tedlium_4441.wav", "duration": 12.9, "text": "This is due to the fact that we brought forward some planned maintenance activities early in 2015 in order to accelerate efficiencies in the second half of the year."}, {"path": "tedlium_4442.wav", "duration": 12.9, "text": "being worked on. Also there was an interesting event in the next few weeks. We launched Envo, energy for you, and the main focus here"}, {"path": "tedlium_4443.wav", "duration": 12.9, "text": "We currently have signed leases for 5 additional new stores to open in fiscal 2019 and beyond. We continue to monitor new store performance and remain comfortable with our targeted store openings."}, {"path": "tedlium_4444.wav", "duration": 12.9, "text": "ceramic versus tantalum. You say you see more tightness in ceramic, and how that's guiding where you're allocating your capacity? And also in the context of where you see your peers allocating the new capacity?"}, {"path": "tedlium_4445.wav", "duration": 12.9, "text": "our infrastructure and preparing for the move to the cloud on the midmarket, we spent quite a bit more in the RDO area and infrastructure. And if you aggregate our depreciation and amortization of the software,"}, {"path": "tedlium_4446.wav", "duration": 12.9, "text": "a good portion of it happens to be new work, and it's interestingly spread across all of our businesses. It's not predominantly in any one area or any one segment."}, {"path": "tedlium_4447.wav", "duration": 12.9, "text": "Their client base includes government, nongovernment and private organizations who are trying to make informed decisions about patients' needs. This acquisition has been integrated into our Human Services Segment."}, {"path": "tedlium_4448.wav", "duration": 12.9, "text": "It appears that Southwest border apprehensions have returned to levels that are in line with historic trends, following the unprecedented reduction in activity across the border that we saw in the spring of this year."}, {"path": "tedlium_4449.wav", "duration": 12.9, "text": "It's everything you said. It's a combination of all of that. Remember, we've taken a pivot now. We have a base subscription business. And we've moved over to this AVOD concept. So you're looking at"}, {"path": "tedlium_4450.wav", "duration": 12.9, "text": "that's it. We have a tight marketing team, and outside of commercial we just have a very light MSL team consisting of one with a couple of consultants. So we continue to remain very tight"}, {"path": "tedlium_4451.wav", "duration": 12.9, "text": "But once it's in operation, we can run at 50% by campaign and it's quite manageable. So that's the first thing. There are 3 large contracts that will be coming in the next years, but they don't come -- one of them is"}, {"path": "tedlium_4452.wav", "duration": 12.9, "text": "Well, it depends. I mean it starts with -- and we'll just -- we'll have our strategic retreat with our board here coming up in September. And we do this in every meeting, but we really do it in depth in September,"}, {"path": "tedlium_4453.wav", "duration": 12.9, "text": "and we're very confident about our position with our customers from both a pricing and a volume standpoint as we look at the next several years going forward."}, {"path": "tedlium_4454.wav", "duration": 12.9, "text": "What is also important is that our integrated Life Sciences, Clinical Labs model has enabled us to produce assays at a very favorable cost, especially as related to current and projected reimbursement levels."}, {"path": "tedlium_4455.wav", "duration": 12.9, "text": "capability, and so we want to be clear with our shareholders that we will be prudent as we continue to leverage this asset to make sure that it's giving us a good return. So that's the context in which you might have heard us"}, {"path": "tedlium_4456.wav", "duration": 12.9, "text": "a little faster. That would have helped us to be able to have the fuel to invest in our growth a little bit sooner. But I actually think that one of the things that I'm most proud of"}, {"path": "tedlium_4457.wav", "duration": 12.9, "text": "and -- or how much of it is just spending more behind your existing products to support the price increases or just stay in front of consumers in a weak environment? Just trying to understand at what point do we start to see some lift"}, {"path": "tedlium_4458.wav", "duration": 12.9, "text": "We have seen some disruptions in the swap curve relative to the treasury curve. And the rate hike in December did have a part to play in that and it did increase some of the volatility there. It has"}, {"path": "tedlium_4459.wav", "duration": 12.9, "text": "I'm not allowed to speak about their programs. And second, I think it would be really a pity to start to disclose the results before like the physicians have the occasion to present the data"}, {"path": "tedlium_4460.wav", "duration": 12.9, "text": "So clearly it's something we're looking at now, David. But there's just a lot of other variables that we're trying to balance here to maintain our financial strength."}, {"path": "tedlium_4461.wav", "duration": 12.9, "text": "We've also renewed our long-time partnership for rugs with Safavieh. We plan on launching this carefully curated mix of home decor categories at market in the spring."}, {"path": "tedlium_4462.wav", "duration": 12.9, "text": "Rather than driving around with the infotainment system installed in a vehicle, the engineering team used NI products to produce and measure signals in a lab to quickly test a wide range of scenarios."}, {"path": "tedlium_4463.wav", "duration": 12.9, "text": "However, as the clear market leader, we believe we had a notable influence on the end-user demand for these products in 2015 as we continued to make investments in our innovative sales and targeted marketing programs to increase the awareness of the category."}, {"path": "tedlium_4464.wav", "duration": 12.9, "text": "So the volume was a bit faulty when you were asking the question. But if I understood your question correctly, you were asking if we had looked at our original budgets at the beginning of the year"}, {"path": "tedlium_4465.wav", "duration": 12.9, "text": "not perhaps an indicator that your origination is too selective, and probably too conservative? And had you known it was going to land up as low as it has been, that you would have opened the credit taps a little bit more than you have?"}, {"path": "tedlium_4466.wav", "duration": 12.9, "text": "No. So these re-leasing spreads are just for our space leases. We did coincidently have a ground lease but renewed at a very favorable spread but that was not included in these numbers that I cited. So"}, {"path": "tedlium_4467.wav", "duration": 12.9, "text": "The diversity of our business is allowing us to maintain our guidance ranges while absorbing a number of headwinds as we enter 2019. While the lack of eBay growth remains a challenge"}, {"path": "tedlium_4468.wav", "duration": 12.9, "text": "that. And the improvement embedded for the second half of the year in Tech Brands reflects an improving mix of those ancillary services or a combination of that and also the iPhone? Or how should we be thinking about that improvement?"}, {"path": "tedlium_4469.wav", "duration": 12.9, "text": "additional value. What we like there the most is the relationship that we form with the large corporate and the opportunity to get onto the campus and speak to employees about how we can help them with their financial needs,"}, {"path": "tedlium_4470.wav", "duration": 12.9, "text": "And so a lot of times, when stock plan participants had vested equity at the old stock plan provider, that's in their brokerage account at that stock plan provider. And those were held on to buy that broker."}, {"path": "tedlium_4471.wav", "duration": 12.9, "text": "Without that increase, earnings would have been significantly up, showing the benefits of those initiatives are coming true in the underlying results on this operation."}, {"path": "tedlium_4472.wav", "duration": 12.9, "text": "The consumer in Las Vegas continues to show signs of improvement, contributing to our growth in revenues, and our operations team continue to execute effectively, managing our operations to produce strong flow through."}, {"path": "tedlium_4473.wav", "duration": 12.9, "text": "Bookings for power generation equipment remained at low levels and backlog declined sequentially from Q2. As power generation markets remain weak, we are intensely focused on reducing costs and risk in this business."}, {"path": "tedlium_4474.wav", "duration": 12.9, "text": "So in short, as shareholders, we would find it unacceptable for an acquisition of Hershey by Mondelez to delay or derail the productivity and cost savings transformation that's underway at the company."}, {"path": "tedlium_4475.wav", "duration": 12.9, "text": "And we still have room to drive further trial and distribution for both Regal Apple and Vanilla, and further expand our liquid credentials through the first release of the Blenders series"}, {"path": "tedlium_4476.wav", "duration": 12.9, "text": "We remind you that we'll make certain predictive statements that reflect our current views and estimates about our future performance and financial results. These forward-looking statements are made subject to the safe harbor statement included in today's earnings release."}, {"path": "tedlium_4477.wav", "duration": 12.9, "text": "which continues to improve and is significantly improved from the 81% for the same quarter last year. We continue to see improvements in our operating leverage and the absorption of our fixed costs on higher levels of product sales."}, {"path": "tedlium_4478.wav", "duration": 12.9, "text": "it will get people more used to using data also in their home location, and that increases the opportunity for us to do up tearing and to migrate people"}, {"path": "tedlium_4479.wav", "duration": 12.9, "text": "But just as we believe key LatAm economies are showing signs of bottoming out, we also believe that our internal derisking efforts have neared their end, leaving us well positioned for growth going forward."}, {"path": "tedlium_4480.wav", "duration": 12.9, "text": "Okay. So in other words, this is essentially just a more normal price -- or it's a more normal situation versus the benefit that"}, {"path": "tedlium_4481.wav", "duration": 12.9, "text": "A large percentage of our ground students only attend class between the end of August and the end of April. However, a large percentage of the ground traditional campus costs are fixed and these costs continue to grow due to our anticipated growth."}, {"path": "tedlium_4482.wav", "duration": 12.9, "text": "We believe we can continue to enhance the clinical collaboration between our 2 segments, thereby continuing to increase the number of patients cared for by Encompass agencies over time."}, {"path": "tedlium_4483.wav", "duration": 12.9, "text": "Where you expect those to go? And in particular, I understand the content drivers on both. But how do you see the competitive environment in each, especially in an environment, looking at GM's slides, where"}, {"path": "tedlium_4484.wav", "duration": 12.9, "text": "Batteries are generally sized for 2 to 4 hour discharges, not usually 8 hours. And once discharged, they typically have to be recharged for an equivalent period of time before they can be used again for a similar level of discharge."}, {"path": "tedlium_4485.wav", "duration": 12.9, "text": "how much of the margin improvement is from continued pricing versus from buying better from this kind of favorable commodity market versus just pure operational improvements?"}, {"path": "tedlium_4486.wav", "duration": 12.9, "text": "Substantial progress was also made on a range of commercial agreements required for these projects. And again, everything appears to be coming together reasonably well, albeit, as I say, hard work."}, {"path": "tedlium_4487.wav", "duration": 12.9, "text": "one of the first things we did when we closed the deal is we killed a lot of these deep-discount, highly inefficient promotion deals, it reminded me greatly of some of the bad habits we had to break at Conagra when I first got here."}, {"path": "tedlium_4488.wav", "duration": 12.9, "text": "We have our base adjusted net income. 50% of the growth is coming from secured CapEx Networks investments. So these are the ones that have already been approved by regulators."}, {"path": "tedlium_4489.wav", "duration": 12.9, "text": "State Street's conference call is copyrighted, and all rights are reserved. This call may not be recorded for rebroadcast or distribution in whole or in part without the expressed written authorization from State Street Corporation."}, {"path": "tedlium_4490.wav", "duration": 12.9, "text": "However, excluding the impact of FX and the Morpheus discontinuance, underlying net sales were down 1%. We will fully anniversary both of these headwinds about halfway through our third fiscal quarter."}, {"path": "tedlium_4491.wav", "duration": 12.9, "text": "and that had to do with the competitive environment. And as we had indicated last year during our call, as we were addressing this with the retailers, that it wasn't something that we're going to be able to put in place"}, {"path": "tedlium_4492.wav", "duration": 12.9, "text": "like fittings and then conductors, and finding a way of replacing the conductors and realizing the towers and the fittings to give that line the same life extension you would've had through an entire replacement"}, {"path": "tedlium_4493.wav", "duration": 12.9, "text": "Also, we will refer today to differ certain non-GAAP financial measures. Further information regarding our use of these measures and reconciliations of these measures to our GAAP results are available in the earnings release and supplemental disclosure"}, {"path": "tedlium_4494.wav", "duration": 12.9, "text": "we have focused on helping our customers digitize the vehicle and also on providing solutions for increased vehicle user interface and data management. Stoneridge is a market leader in commercial vehicle, instrument clusters and telematics units,"}, {"path": "tedlium_4495.wav", "duration": 12.9, "text": "obviously, exchange coming out as we had productivity initiatives that have allowed us to handle that extraordinarily well. I don't expect that those kind of efforts are going to slow down in any material way,"}, {"path": "tedlium_4496.wav", "duration": 12.9, "text": "interactions are dissatisfiers for the client and also increase costs for us. And so I think we've made progress in the last couple of years in reducing what we refer to as our non-value contacts. So that's a source of"}, {"path": "tedlium_4497.wav", "duration": 12.9, "text": "in addition to our ongoing efforts thus far in 2017 to strategically invest in capacity, talent engagement and retention and certain overhead to support the growing demand and expectations in all 3 primary markets we serve."}, {"path": "tedlium_4498.wav", "duration": 12.9, "text": "It's really a delicate situation. It's hard for us because we don't control it. We have been very open about this. We run the economics on newbuild and we just don't see it on the thermal side in the forwards right now."}, {"path": "tedlium_4499.wav", "duration": 12.9, "text": "As we continue to finalize purchase accounting and evaluate the Asset Closure obligations of the legacy Dynegy fleet, we expect the forecast for this segment could continue to shift in future quarters."}, {"path": "tedlium_4500.wav", "duration": 12.9, "text": "Revenue growth in the segment is attributable primarily to pricing increases for both hot mix asphalt and aggregates. In aggregates, which on a dollar basis comprised our single largest product in this segment,"}, {"path": "tedlium_4501.wav", "duration": 12.9, "text": "and that is also firming up differential prices. So this is a fairly untenable situation where you have an inverse market, where you have tightening differentials but you have terminal prices coming down."}, {"path": "tedlium_4502.wav", "duration": 12.9, "text": "As Blake will discuss, we also identified and began to realize additional cost efficiencies resulting from the merger, with the integration activities now substantially completed."}, {"path": "tedlium_4503.wav", "duration": 12.8999375, "text": "And turning to Page 5. We have isolated sources of volatility in our earnings. In the highlighted section at the bottom of the page, you can see that excluding these items, underlying operating performance has improved over the past year."}, {"path": "tedlium_4504.wav", "duration": 12.8700625, "text": "Our design is focused on not just making things simple, but a more engaging experience. Unlike many of the big competitors, we can offer all of these products through one app. No need to have multiple apps on your phone or log in to multiple accounts."}, {"path": "tedlium_4505.wav", "duration": 12.87, "text": "As referenced in our previous earnings calls, we've filed a complaint challenging the legality of the rate action on the grounds that it was issued in violation of statutory procedure and was arbitrary and unreasonable."}, {"path": "tedlium_4506.wav", "duration": 12.87, "text": "Ignite 2 is a huge program of work, and I realize I'm asking a lot of my team to do this on top of their job. But in a funny sort of way, I feel it's energized the business and it's given people a vision and a purpose."}, {"path": "tedlium_4507.wav", "duration": 12.87, "text": "This quarter, some of our increased costs reflected in our investments to build our next generation retail banking platform and become a more product-centric company that is a user experience leader in digital banking."}, {"path": "tedlium_4508.wav", "duration": 12.87, "text": "We have been challenged by balancing our fixed ultra-quality capacity with growth in our existing customer base and the addition of new customers. So we are glad our new ultra capacity in Shelby will come online shortly."}, {"path": "tedlium_4509.wav", "duration": 12.87, "text": "Our plans include steps to effectively integrate our acquisitions, to drive facility consolidations, productivity solutions and other initiatives that will drive efficiencies across all our operations."}, {"path": "tedlium_4510.wav", "duration": 12.87, "text": "I know you've still get 2 other JV partners on that. Is there a chance that this ends up as a wholly owned asset? Is that something that's kind of on the radar as low hanging fruit or is money better spent elsewhere right now?"}, {"path": "tedlium_4511.wav", "duration": 12.87, "text": "and the power brands are doing even better. So our portfolio feels very robust. And for those of you who were with us in Washington last year or followed it, that's really what drives behind our Market Maker strategy, which is to build positions"}, {"path": "tedlium_4512.wav", "duration": 12.87, "text": "We have the most experienced and highest quality sales team I've ever had the privilege of working with and we have high confidence in their ability to grow and gain market share going forward."}, {"path": "tedlium_4513.wav", "duration": 12.87, "text": "In addition, we are seeing significant consolidation opportunities that we believe could be accretive and strategic for our unitholders. It's for these reasons that we're firmly committed to executing on the need for scale"}, {"path": "tedlium_4514.wav", "duration": 12.87, "text": "because the investment business is really rooted in great culture. And I think our culture is one of our greatest assets. And if we're going to make an acquisition, we have to have a lot of conviction that it's a good cultural fit."}, {"path": "tedlium_4515.wav", "duration": 12.87, "text": "And we feel good about the people operating it. We feel good about where they're going. But we are helping to work with them to build out the infrastructure, make sure that they have the latest visibility, looking at manpower and"}, {"path": "tedlium_4516.wav", "duration": 12.87, "text": "so they often engage in price wars, which hurt brands very much. Take the noodle story campaign for example."}, {"path": "tedlium_4517.wav", "duration": 12.87, "text": "After transitioning several distributors in Central Eastern Europe and one in Panama to subsidiaries, we began shipments in the second half of 2015 into these 2 regions that cover many countries,"}, {"path": "tedlium_4518.wav", "duration": 12.87, "text": "We, in developing the pancreatic cancer indication, have had several interactions with expert advisers. And although they are very impressed"}, {"path": "tedlium_4519.wav", "duration": 12.87, "text": "And there, we don't see that they are really getting into the end market of fiber to the home. They end up with the larger operators and try to sell cable, but are not in the overall structures of integrated solutions."}, {"path": "tedlium_4520.wav", "duration": 12.87, "text": "And we made excellent progress on our development portfolio, materially reducing construction, leasing and funding risk going forward."}, {"path": "tedlium_4521.wav", "duration": 12.87, "text": "The other partner announced was Transpower, who is assisting Meritor and their customers in the system integration and electrification application of the vehicle, which is another important step"}, {"path": "tedlium_4522.wav", "duration": 12.87, "text": "have a good result in the last quarter, so there is a concern all over the world because online operations have to post profits now. And to that end, they have to play the rules of the game, which is selling at the right price."}, {"path": "tedlium_4523.wav", "duration": 12.87, "text": "as the impact increases, can you give us an update on what you're seeing on a regional basis, and to what extent the subs are cord-nevers or subscribe to linear as well rather than trading down to the larger bundle? And then separately,"}, {"path": "tedlium_4524.wav", "duration": 12.87, "text": "This was a challenging year in many respects. However, I'm pleased to see that investment performance broadly improved over the course of the year and that we made significant progress on our most important strategic initiatives."}, {"path": "tedlium_4525.wav", "duration": 12.87, "text": "increases there, the supply chain is longer, and some of the terms on the receivable side tend to be a little bit longer, so that also impacted the working capital"}, {"path": "tedlium_4526.wav", "duration": 12.87, "text": "our point of view is that the combination of financial pressures that our customers are facing, combined with the increasing complexity in the operational environment,"}, {"path": "tedlium_4527.wav", "duration": 12.87, "text": "so we have available capacity to meet the growth requirements of our existing customers as well as to accommodate new customers who can contribute to and draw value from our communities."}, {"path": "tedlium_4528.wav", "duration": 12.87, "text": "Our in Jelly products, the first jelly drinks to use spout packaging, continue to sell well, but other makers are introducing a diverse range of competing products."}, {"path": "tedlium_4529.wav", "duration": 12.87, "text": "improved credit quality, larger transaction sizes and a more efficient use of capital. Taken together, these changes will result in a substantial increase in return on equity, which is our primary focus."}, {"path": "tedlium_4530.wav", "duration": 12.87, "text": "with the physical bookstores. They continue to be a growing market and a key element of our competitive strategy to compete with other virtual and digital solutions in the market."}, {"path": "tedlium_4531.wav", "duration": 12.87, "text": "But this order is a positive first step for the company and its customers. And it is one of the first utility outcomes nationally in which a commission has established new classes for customers with on-site generation."}, {"path": "tedlium_4532.wav", "duration": 12.87, "text": "A key takeaway was our ability to continue to enhance our digital footprint with the goal of improving access for our customers with special emphasis on an enriched mobile format experience."}, {"path": "tedlium_4533.wav", "duration": 12.87, "text": "in mobile banking is also supporting the telco activities in terms of acquisition of new customers, in terms of retention. And so it's a global project. It's not only by chance"}, {"path": "tedlium_4534.wav", "duration": 12.87, "text": "These factors contributed to improved price realization across our 3 product segments. The recently passed tax reform package is likely to boost investment and consumer spending in the near term."}, {"path": "tedlium_4535.wav", "duration": 12.87, "text": "I think what I'm trying to understand is how much of the pattern we observe on a quarterly basis is abnormal versus what you would think is normal because it looks like you're generating much of that target"}, {"path": "tedlium_4536.wav", "duration": 12.87, "text": "Cost of sales were further impacted by higher promotional discounting compared to the prior year period and by negative sales mix changes due to higher cost on certain new or limited-time premium sandwiches."}, {"path": "tedlium_4537.wav", "duration": 12.87, "text": "the performance was increasingly getting better and better. And we started to put together an opportunity list of things that we were seeing that would improve the economics considerably, but it would take some time to"}, {"path": "tedlium_4538.wav", "duration": 12.87, "text": "Yes. And just some comments about kind of why now. I think your question was probably more from the Ahlstrom perspective on why now than from our perspective. And I think if you look at what Ahlstrom had to say, I think they're refocusing their business"}, {"path": "tedlium_4539.wav", "duration": 12.87, "text": "You'll note that we're absorbing the dilution from the 2 divestitures, but we're also adjusting our outlook for interest expense for the year, and the 2 items roughly offset one another."}, {"path": "tedlium_4540.wav", "duration": 12.87, "text": "which in snacks is a fairly small piece of the business, but it's also natural food stores and other places where the consumer is shopping. And once again, it's one of the reasons we have chosen to focus our efforts so much"}, {"path": "tedlium_4541.wav", "duration": 12.87, "text": "as I stated, we feel comfortable in every area, except for crude differentials. And I guess a way to look at your own sensitivity on that is we run about 300 million barrels of crude a year. And if our index is,"}, {"path": "tedlium_4542.wav", "duration": 12.87, "text": "Subsequent events and developments, including actual events or changes in our assumptions, may cause our views to change. While we may elect to update these forward-looking statements at some point in the future, we have no current intention of doing so except to the extent required by applicable law."}, {"path": "tedlium_4543.wav", "duration": 12.87, "text": "Turning to our results for fourth quarter and full year 2015. We realized strong growth in our outstanding business volume and in our dollars of net effective spread, and our credit quality continues at favorable levels."}, {"path": "tedlium_4544.wav", "duration": 12.87, "text": "Notably, we continue to evaluate enhancements to our risk management approach to optimize the balance between earnings, liquidity, capital flexibility and volatility. And to a lesser extent,"}, {"path": "tedlium_4545.wav", "duration": 12.87, "text": "Our biogas and Beer Membrane Filtration businesses remain strong, offsetting partially -- offset partially by our beverage business seeing a number a large project delays globally and softer component sell-through."}, {"path": "tedlium_4546.wav", "duration": 12.87, "text": "spending -- how we should think about the spending rate throughout the year? And then with regards to getting rights back to Probuphine, what's the next event there to focus on? Is"}, {"path": "tedlium_4547.wav", "duration": 12.87, "text": "and therefore develop solutions for those segments. If you remember back on the early days of the Common Core curriculum and CDW being kind of first to market with a prepackaged solution"}, {"path": "tedlium_4548.wav", "duration": 12.87, "text": "So to say it differently, the LTS transaction was funding the purchase of RDM, which just happened to be that it did not coincide with the formal closing of the purchase of RDM and the formal closing of the purchase of the -- of the completion of the LTS deal."}, {"path": "tedlium_4549.wav", "duration": 12.87, "text": "the valuations in the retailer space, and we want to make sure that we've had adequate time to understand what's the right amount to be paying as we have acquisition opportunities."}, {"path": "tedlium_4550.wav", "duration": 12.87, "text": "And while we have never reported out on our guest counts, we are proud to report that in Q4 our guest count traffic was positive 2.5%, and for the fiscal year,"}, {"path": "tedlium_4551.wav", "duration": 12.87, "text": "In addition, we provide services to international investment market clients to allow them to comply with applicable SEC regulations. And we also provide Language Solutions to international clients."}, {"path": "tedlium_4552.wav", "duration": 12.87, "text": "This is the result of the hard work and commitment of our people and their continued focus on executing our strategic Five-Point Plan."}, {"path": "tedlium_4553.wav", "duration": 12.87, "text": "the design and civil engineering part of the field. And we also have made a lot of innovation both in artificial turf and running tracks that allow us to win some very sizable projects."}, {"path": "tedlium_4554.wav", "duration": 12.87, "text": "But then secondly, as you on-board the customer, it takes time to ramp it up to get to the margin levels you need. Generally, it's 90 days. 90 days after start-up, you should start to see the margin levels that you expected."}, {"path": "tedlium_4555.wav", "duration": 12.87, "text": "We are excited about Energy Services' diversification strategy to drive our services deeper into the oil and gas processing, chemical manufacturing and metals market sector."}, {"path": "tedlium_4556.wav", "duration": 12.87, "text": "And so the question is, how much worse would that be if you didn't have an independent PBM? And I think what actually -- our mission is not to be constrained by any other"}, {"path": "tedlium_4557.wav", "duration": 12.87, "text": "report a quarter 4 but we probably should have because it was such a big adjustment from a year ago. So I apologize for that. So we want to clear that out today about what happened."}, {"path": "tedlium_4558.wav", "duration": 12.87, "text": "given the high operating cash flow, the high net cash we have and the low net debt we have allows us to announce a buyback program."}, {"path": "tedlium_4559.wav", "duration": 12.87, "text": "work on their matrix management structure and the like. Is that still in front of you? Is that embedded in the guide? Or is that something that, I don't know, maybe gets capitalized in acquisition accounting or something? No,"}, {"path": "tedlium_4560.wav", "duration": 12.87, "text": "We believe there's a tremendous value on our assets and in the Delaware basin and we're very excited about this opportunity that we have to create value for our shareholders. Thank you, and goodbye."}, {"path": "tedlium_4561.wav", "duration": 12.87, "text": "a charge or an impairment or something, and I couldn't tell. Was that referring to a year ago or was that this quarter? And if it was this quarter, kind of can you give us some clarity or color on what that was all about?"}, {"path": "tedlium_4562.wav", "duration": 12.87, "text": "currently. So what we're saying is that we're in a growth mode. I think Rich talked about all the -- in terms of the market, what the demand profile looks like, still very strong. And as you can see, we're investing in that growth"}, {"path": "tedlium_4563.wav", "duration": 12.87, "text": "So we've always had the capability, that would be a phase 3, to be able to loop that line down the road if there were interest in bringing additional barrels to Cushing. So as we think forward, we're always looking at how we can further debottleneck our system."}, {"path": "tedlium_4564.wav", "duration": 12.87, "text": "We identified the prior period development through a deep analysis of our entire book of reserves. After all the work we've done for year-end, we're confident in the reserves in this segment as well as our reserves on a consolidated basis."}, {"path": "tedlium_4565.wav", "duration": 12.87, "text": "Everything else being equal, that can create some significant rate pressures for consumers. So we have to be as absolutely efficient as we possibly can to offset those rate implications for our customers."}, {"path": "tedlium_4566.wav", "duration": 12.87, "text": "and they value it. And so we found that typically that gives us an advantage in some of the deals that we do. And there are others, where simply people are insisting on either terms or processes that don't work for us,"}, {"path": "tedlium_4567.wav", "duration": 12.87, "text": "this investment was augmented by a few other things. We did a portfolio rationalization going through all the different activities in our portfolio. And either stopped investing in some"}, {"path": "tedlium_4568.wav", "duration": 12.87, "text": "what I think you should take away is that the big players in Brazil are acting as you would expect them to in a market contraction. They're reducing capacity and taking prudent steps. So it's a big change versus times past."}, {"path": "tedlium_4569.wav", "duration": 12.87, "text": "We also intend to gain visibility in the customer premises equipment and transform our current capabilities of maintenance, installation to a home adviser force."}, {"path": "tedlium_4570.wav", "duration": 12.87, "text": "but having done -- we've obviously had to consider Brexit for quite a while, and we've run the book through different scenarios. Most of the scenarios mean that we might earn a little bit less money."}, {"path": "tedlium_4571.wav", "duration": 12.87, "text": "And second is would you -- are you already starting to see some of the benefits from the sales force effectiveness? And again, if so -- if that's happening, and you're seeing some benefit,"}, {"path": "tedlium_4572.wav", "duration": 12.87, "text": "I'd like to thank, in particular, our stockholders for your continued interest and support and our team here at Corium for their hard work and innovation. We look forward to speaking with you again soon and reporting on our progress."}, {"path": "tedlium_4573.wav", "duration": 12.87, "text": "Right. That is difficult to measure because you don't get data from patients and not from their caregivers either on this dosage. But when we did talk to caregivers,"}, {"path": "tedlium_4574.wav", "duration": 12.87, "text": "A moment on AIS which has generally performed in line with expectations over the course of the past 3 quarters since our acquisition of this OEM fastener business."}, {"path": "tedlium_4575.wav", "duration": 12.87, "text": "This approach has paid dividends many times over as lawmakers understand that they can speak directly with their local constituents by talking with our reporters right there in Washington, D.C."}, {"path": "tedlium_4576.wav", "duration": 12.87, "text": "providers that are coming up that we could see kind of a pattern to what we saw this year or some -- as you just said, some of those might get extended past January 1 and retroactive, so it might not be even keel once we start the year?"}, {"path": "tedlium_4577.wav", "duration": 12.87, "text": "I'm pleased to say there have been no surprises. This reaffirms our internal assessments. Now I will turn the call over to Mark to discuss the financial results for the first quarter. Thanks, John, and good morning to everyone."}, {"path": "tedlium_4578.wav", "duration": 12.87, "text": "about where the company is headed on that. We also feel pretty good about where prices are shaping up for the second half. As we said, we expect second half pricing -- post-season pricing to be higher than it was"}, {"path": "tedlium_4579.wav", "duration": 12.87, "text": "As we've been discussing, 2016 was a year of building a new organization, a new way to address our clients' needs and developing strong focus on financial management."}, {"path": "tedlium_4580.wav", "duration": 12.87, "text": "In addition to the strong performance of our same-store portfolio, we continue to see consistent growth trends at the properties that we purchased at Certificate of Occupancy are very early in the lease-up stage."}, {"path": "tedlium_4581.wav", "duration": 12.87, "text": "We intend to remain very disciplined in our approach to determine a strategic fit and valuation. We focus, for example, on how targets would expand or complement our current product portfolio,"}, {"path": "tedlium_4582.wav", "duration": 12.87, "text": "There are a number of other companies as our presence grows in greater China that we can work with. You mentioned a few, some are captive silicon makers for the Chinese"}, {"path": "tedlium_4583.wav", "duration": 12.8400625, "text": "So you can think of it, and you've heard us talk a lot about the K-12 market over the years, where we traditionally had fundraising and financials and digital marketing and payments and analytics, and we added"}, {"path": "tedlium_4584.wav", "duration": 12.84, "text": "But also, I think it's also a function of, when we look at the activity more in the Industrial or the performance segment for us, there's still a lot of consolidation to go around globally."}, {"path": "tedlium_4585.wav", "duration": 12.84, "text": "our recurring revenue businesses are more resilient and more insulated from immediate economic impacts. And so you'd have to have deep and long recessions"}, {"path": "tedlium_4586.wav", "duration": 12.84, "text": "Scaling these into high-volume production brings its own set of challenges, very different than most other parts of the semiconductor industry, which is commoditized to packages and processes."}, {"path": "tedlium_4587.wav", "duration": 12.84, "text": "an economic objective of what we are trying to achieve, and my comment in the statement was the pipeline was looking good, it was really coming from the fact that the traction that we have has been very good and at least to this point,"}, {"path": "tedlium_4588.wav", "duration": 12.84, "text": "In large, large whales, we will do some customized development, but we need to make sure that -- as we continue to go to market with strategic partners, that we do it with a lot of clarity around the product itself."}, {"path": "tedlium_4589.wav", "duration": 12.84, "text": "As for operating expenses, marketing and distribution expenses, research and development expenses and general and administration expenses, et cetera, have all increased."}, {"path": "tedlium_4590.wav", "duration": 12.84, "text": "For further information on these risks and uncertainties, please see Capstone's relevant filings on SEDAR. Finally, I'll just note that all amounts we will discuss today will be in U.S. dollars, unless otherwise specified."}, {"path": "tedlium_4591.wav", "duration": 12.84, "text": "and we think about how we're building this huge wall of data, it's going to be real hard for followers to match us with the data that we're going to have over time. And we're going to have to find ways to work with payers so that they can"}, {"path": "tedlium_4592.wav", "duration": 12.84, "text": "from the LIFO method to the weighted average cost method in order to be consistent with legacy ETP's treatment of inventories. These changes have been retrospectively applied to all periods presented,"}, {"path": "tedlium_4593.wav", "duration": 12.84, "text": "you immediately see, well, if you don't have the leading products, you're really at a negative as you go forward. That probably led to the execution being poor as well, because you just couldn't -- you didn't have anything to bring. So"}, {"path": "tedlium_4594.wav", "duration": 12.84, "text": "That process and the consequential accounting adjustments are very deliberate and focused on simplifying AHG's operations so that we are ready and able to capitalize on opportunities."}, {"path": "tedlium_4595.wav", "duration": 12.84, "text": "Consistent with our purpose to inspire healthy habits, it's our intention to bring science and scale not only to weight management but also, increasingly, to fitness and positive mindset."}, {"path": "tedlium_4596.wav", "duration": 12.84, "text": "We're continuing to invest in processing equipment for the businesses that sell into non-residential construction to ensure we're providing the highest possible level of service to our customers and we're"}, {"path": "tedlium_4597.wav", "duration": 12.84, "text": "very strong momentum across our international business and we returned to growth in our Uniform business. And so I think as you look at that,"}, {"path": "tedlium_4598.wav", "duration": 12.84, "text": "I think as we think about margin broadly, again, as you know, we've made great progress over the last several years. We continue to have a high degree of confidence and conviction around the whole margin topic."}, {"path": "tedlium_4599.wav", "duration": 12.84, "text": "Our incredibly strong business model and execution continue to deliver consistent growth through the cycles, strong profitability and great free cash flow, which position us to grow and return cash to shareholders in a meaningful way."}, {"path": "tedlium_4600.wav", "duration": 12.84, "text": "Net earned premium and fees for multi-family housing were up more than 20%. We achieved this increase through our affinity channel and expanded relationships with property management companies."}, {"path": "tedlium_4601.wav", "duration": 12.84, "text": "The vehicle protection also got very good growth there. How much would you say is industry growth that's helping you there -- or do you feel like you're taking share?"}, {"path": "tedlium_4602.wav", "duration": 12.84, "text": "So, Guy, if I understand it correctly, in most cases you usually just buy part of a company and sort of wait to see how things play out before you buy the rest. And if I"}, {"path": "tedlium_4603.wav", "duration": 12.84, "text": "net of minority interest. We released a PowerPoint presentation and other details about this transaction and a public announcement in November, which can be found on our website."}, {"path": "tedlium_4604.wav", "duration": 12.84, "text": "So you bring up a very good point. We're looking very hard at that placebo group because what we are assuming right now is that there is a benefit of the drug, which means we have to understand why placebo patients"}, {"path": "tedlium_4605.wav", "duration": 12.84, "text": "And this will cause fluctuation in shipment numbers. However, what really matters to us is the actual sales at retail. If you look at the sell-through number, then"}, {"path": "tedlium_4606.wav", "duration": 12.84, "text": "new products in recent years have been doing well. I'm not nervous or worried about them. I think, what's more important is that we should control our sell-in to distributors."}, {"path": "tedlium_4607.wav", "duration": 12.84, "text": "It inevitably, of course, makes sure that we remain to be an accessible, affordable mail company today and in the future. It gives us the opportunity to create"}, {"path": "tedlium_4608.wav", "duration": 12.84, "text": "We continue to prioritize the management of our overall installed base this year, and as such, a significant portion of our efforts are focused on optimizing the yield in our current installed base."}, {"path": "tedlium_4609.wav", "duration": 12.84, "text": "maybe they have their own operations but they do not have such large traffic. And we see some other marketplace companies that are trying to capture midsize companies."}, {"path": "tedlium_4610.wav", "duration": 12.84, "text": "Indeed, in the second half when Travel has its peak period, Travel will make more profit than High Street does in the full year. And that's another milestone for our Travel business."}, {"path": "tedlium_4611.wav", "duration": 12.84, "text": "However, across both businesses and all cost lines, we remain focused on cost efficiency and cost management. In High Street, we continue to identify cost savings as part of our cost efficiency program."}, {"path": "tedlium_4612.wav", "duration": 12.84, "text": "The company has provided in the appendix of the presentation materials, which are available on our website, reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures."}, {"path": "tedlium_4613.wav", "duration": 12.84, "text": "The second is in the consumables business the Melt Delivery is a requite every time we have a new product, and that turns pretty much within the quarter."}, {"path": "tedlium_4614.wav", "duration": 12.84, "text": "And so from this perspective I am actually pretty confident that we will reach with FINMA an agreement on the new models."}, {"path": "tedlium_4615.wav", "duration": 12.84, "text": "spot market rates on freight and the inventory levels. We're going to -- basically, it turns into a number of companies that are too busy to go into bigger implementations at the moment. And so that's played out a little different"}, {"path": "tedlium_4616.wav", "duration": 12.84, "text": "Shifting gears, let's discuss our balance sheet and operating cash. Our project working capital grew slightly in the fourth quarter principally because of an increase in unbilled cost and the decrease in billings in excess of costs."}, {"path": "tedlium_4617.wav", "duration": 12.84, "text": "A large number of infill well locations have been identified, and progressing the drilling activity will help to stabilize production after a couple of years of relatively low activity at the field."}, {"path": "tedlium_4618.wav", "duration": 12.84, "text": "business models, we have seen more of a shift within those bookings to more and more recurring revenue. And I think we'll continue to see that trend as we move forward. From an overall landscape issue,"}, {"path": "tedlium_4619.wav", "duration": 12.84, "text": "that's, for what we are today and the types of income we're generating, it just does not fit as well. And it takes a very particular expertise, a little bit more handholding than we typically would like to do"}, {"path": "tedlium_4620.wav", "duration": 12.84, "text": "However, the Indonesian powdered juice business has seen numerous changes in its operating environment, and its results continue to fall below the originally envisioned plan."}, {"path": "tedlium_4621.wav", "duration": 12.84, "text": "mean, we have a lot of capital, and we have options with that capital. And we have a very strong dividend rate. And the question gets debated all the time"}, {"path": "tedlium_4622.wav", "duration": 12.84, "text": "As such, while we will look to grow our legacy Equipment Leasing business as much as possible, we will also look to grow our Funding Stream, Transportation-Franchise and office equipment channels substantially over the next several years."}, {"path": "tedlium_4623.wav", "duration": 12.84, "text": "We completed and delivered the first set of new microdisplays for which an initial qualification has been completed, and we are on track for delivery of a subsequent set in the second quarter."}, {"path": "tedlium_4624.wav", "duration": 12.84, "text": "one of the benefits I think that we have when it comes to technology is we're not dedicated in any one specific part of the country or part of the world. We have technology resources in Pittsburgh, in New York,"}, {"path": "tedlium_4625.wav", "duration": 12.84, "text": "And for clarity's sake, we feel very good that we are managing promotional activity, managing inventory and managing market share at the same time."}, {"path": "tedlium_4626.wav", "duration": 12.84, "text": "We built new call centers and new capabilities. We expanded existing centers and existing capabilities, all ahead of the opportunity we have seen and continue to see especially in U.S."}, {"path": "tedlium_4627.wav", "duration": 12.84, "text": "We want our customers to feel welcome and engaged every time they walk into a Vince store or visit vince.com, and believe we can do this by bringing more warmth and a relaxed feel that reflects the modern, effortless style we stand for."}, {"path": "tedlium_4628.wav", "duration": 12.84, "text": "that 3 large U.S. institutions have put themselves together to make sure that they work on exactly that topic. That has shown to me that we are on the right journey."}, {"path": "tedlium_4629.wav", "duration": 12.84, "text": "And would you consider a material acquisition? And then thirdly, on management changes, are you happy with the appointments that you've made so far? Or do you feel that additional changes are required"}, {"path": "tedlium_4630.wav", "duration": 12.84, "text": "If you're expecting organic up about 1 in the fourth quarter and we were kind of down 2 this quarter, could you maybe tell us the segments where you see that delta coming from?"}, {"path": "tedlium_4631.wav", "duration": 12.84, "text": "At the same time, we're going to still look for those opportunities in the old traditional business where they present themselves, the opportunity to take some costs out and we'll scrape those nickels and dimes together. So"}, {"path": "tedlium_4632.wav", "duration": 12.84, "text": "During this call, we will be commenting on our results for the third quarter of fiscal 2017. By now, you should have a copy of today's press release. If you need a copy and are unable to access the copy on our website,"}, {"path": "tedlium_4633.wav", "duration": 12.84, "text": "Although we do not discuss individual customers, we are very determined to grow our distribution of our key brands in the back half of the year based on these innovations, and we are very confident we will do exactly that."}, {"path": "tedlium_4634.wav", "duration": 12.84, "text": "In the December quarter, we expect Automotive to be up sequentially, with increases in battery management systems for electric vehicles and continued growth in infotainment content."}, {"path": "tedlium_4635.wav", "duration": 12.84, "text": "Well, that's a good point, Chris. And at some point we should start lapping the issue. And it was first identified kind of at the end of the first quarter of last year. So the second quarter"}, {"path": "tedlium_4636.wav", "duration": 12.84, "text": "For big companies listed in Hong Kong, they mainly use this kind of indicator. So we hope that there is another dimension for you to have full understanding of leveraging level of Fosun International."}, {"path": "tedlium_4637.wav", "duration": 12.84, "text": "You might recall that prior approvals took a good deal longer. Candida, nonetheless, was the third approval of an assay for our platforms to have been received in the past year or so."}, {"path": "tedlium_4638.wav", "duration": 12.84, "text": "alternatives out there? I know you've -- in terms of either how you're deploying capital, how you're looking at options, I mean is the board looking at anything else in terms of enhancing shareholder value?"}, {"path": "tedlium_4639.wav", "duration": 12.84, "text": "Moving on to the last slide. Our focus remains consistent, as we are beginning to see results of what we believe has been a successful execution of our strategic critical issues."}, {"path": "tedlium_4640.wav", "duration": 12.84, "text": "over those offerings which were starting to become commoditized. We begin to see the benefit, and for the rest of the year, based upon customer forecasts, we target sequential quarterly revenue growth,"}, {"path": "tedlium_4641.wav", "duration": 12.84, "text": "comes the expectation that they will be connected everywhere any time, from dorm room to classroom, from dining hall to the quad. This is where CDW's Connected Campus solution comes in."}, {"path": "tedlium_4642.wav", "duration": 12.84, "text": "for Fosterville beginning in 2018. Looking at other expenses. The growth in the size of our business portfolio was a primary factor in leading to an increase in corporate general and administrative expenses"}, {"path": "tedlium_4643.wav", "duration": 12.84, "text": "stress test and the co-lending. We haven't seen what that -- the final rules will be there. But we expect that, that might shrink some of the origination that we would historically have done. But we also think"}, {"path": "tedlium_4644.wav", "duration": 12.84, "text": "Before I move on to complete the outlook for net interest margin, I'll stay with CWB Optimum Mortgage for a moment to tie up the issues we saw a few months ago within the alternative lending space of the Canadian housing market."}, {"path": "tedlium_4645.wav", "duration": 12.84, "text": "Once again, these results underscore the demand for an opioid-sparing solution like EXPAREL and our team's success in decreasing the number of patients who are exposed to the risk of the operating room as a gateway to opioid misuse and abuse."}, {"path": "tedlium_4646.wav", "duration": 12.84, "text": "We continue to see pressure on margins caused by the increased cost of funding from BASEL III requirements, as well as increased levels of competition in the marketplace in the hunt for scarce quality assets."}, {"path": "tedlium_4647.wav", "duration": 12.84, "text": "The number of jobs in the state has increased over the last 6 years, and at the same time, unemployment has declined to below 3%. This has driven steady growth in personal income and retail spending,"}, {"path": "tedlium_4648.wav", "duration": 12.84, "text": "We have added a new line to our income statement this quarter called other nonoperating income and expense. This is where we are reporting the interest income from our cash and short-term investments."}, {"path": "tedlium_4649.wav", "duration": 12.84, "text": "The limited supply of talent is even more acute among security clearance candidates. ClearanceJobs' unique position as a matchmaker of companies to candidates with active security clearances is resulting in continued revenue growth"}, {"path": "tedlium_4650.wav", "duration": 12.84, "text": "Our financial flexibility is further enhanced by the timing in which the partnership may exercise its book value call option to increase its economic interest in the Eastern Access series of expansion projects"}, {"path": "tedlium_4651.wav", "duration": 12.84, "text": "provincial governments and the national government stepped in and set different standards than we had originally built to."}, {"path": "tedlium_4652.wav", "duration": 12.84, "text": "Most of those products are produced in China. They're produced and packaged in China, and with our platform there, there's just no reason why we shouldn't be a player in that segment of the market."}, {"path": "tedlium_4653.wav", "duration": 12.84, "text": "You are cautioned not to place undue reliance on forward-looking statements made this morning, and each such statement speaks only as of today. We undertake no obligation to update or to revise forward-looking statements."}, {"path": "tedlium_4654.wav", "duration": 12.84, "text": "while also improving supply availability for patients in the future. So I don't have a good short-term answer for you, which is why we are predicting some supply disruptions throughout this year."}, {"path": "tedlium_4655.wav", "duration": 12.84, "text": "all those areas, and it creates a more profitable business. And so we focused on regional locations that were primarily energy related that were not making money and we simply shut them down."}, {"path": "tedlium_4656.wav", "duration": 12.84, "text": "our business is driven by the number of patients that we serve, and we don't take anything for granted with respect to volumes and being able to execute on that. So"}, {"path": "tedlium_4657.wav", "duration": 12.84, "text": "That allows us to capture more and more of the merchant's wallet, and it also allows us to build up more additional services to be able to provide to merchants."}, {"path": "tedlium_4658.wav", "duration": 12.84, "text": "And so we're quite known to be so, which means there's lots of inbound activity. We do a lot of outbound work related to strategic planning by vertical market, including potentially new"}, {"path": "tedlium_4659.wav", "duration": 12.84, "text": "both in consumer health care and injectables, which carry a bit of a lower-margin profile. So I think we will be coming down from being over our estimates to being more in the high end of our long-term targets."}, {"path": "tedlium_4660.wav", "duration": 12.84, "text": "As we look to 2016, we are seeing a macro ag environment that feels similar to what we saw in 2015. FX will continue to be a headwind in the first half of the year"}, {"path": "tedlium_4661.wav", "duration": 12.84, "text": "During the call, we will make forward-looking statements within the meaning of the federal securities laws, including statements regarding events or developments that we expect or anticipate will or may occur in the future."}, {"path": "tedlium_4662.wav", "duration": 12.84, "text": "those opportunities aren't quite as attractive as maybe they were a couple of years ago earlier in the cycle? Or is it more of a function of you've got more cash than you know what to do with and you can serve both buckets?"}, {"path": "tedlium_4663.wav", "duration": 12.84, "text": "Great Britain's performance reflected the difficult trading conditions, these primarily being the severe winter weather in the first quarter and the increased input costs, but also, an element of Brexit uncertainty."}, {"path": "tedlium_4664.wav", "duration": 12.84, "text": "Second question on contract logistics actually. If I back solve the revenue per square meter you added over the past year basically on the numbers you disclosed, it looks like"}, {"path": "tedlium_4665.wav", "duration": 12.84, "text": "allowing us to profit on both volumes and margins. The continued success at Constellation in the third quarter reinforces the value of our gen to load matching strategy."}, {"path": "tedlium_4666.wav", "duration": 12.84, "text": "we had a -- we have a very good visibility as to where we were going in terms of the capital we were generating, how we felt we should be investing that capital in"}, {"path": "tedlium_4667.wav", "duration": 12.84, "text": "As well, certain financial measures discussed today are not recognized measures under Generally Accepted Accounting Principles, or IFRS, and more importantly, more information regarding these measures can be found in our public documents."}, {"path": "tedlium_4668.wav", "duration": 12.84, "text": "This represents the next phases of already contracted backlog, and in many cases these phases are in active predevelopment. These also include social housing projects that are awaiting final government approvals"}, {"path": "tedlium_4669.wav", "duration": 12.84, "text": "And that's why we try to develop our transaction business in line with our 4 publishing verticals of news and services, tech and games, entertainment as well as women and lifestyle."}, {"path": "tedlium_4670.wav", "duration": 12.84, "text": "They sell it as a signage business for 3 years. So what you actually do with the sales force, you go there, have once the sales effort but then you have almost like a 3-year subscription"}, {"path": "tedlium_4671.wav", "duration": 12.84, "text": "But one statistic, I think, that you all would enjoy that I did jot down for this quarter as an example is for the first time in a while, the majority of our markets are showing"}, {"path": "tedlium_4672.wav", "duration": 12.84, "text": "This concluded a long and complex process that involves separating Gas Distribution from the rest of our U.K. business, agreeing with pension trustees to split the scheme into 3 sections and then a major financing program."}, {"path": "tedlium_4673.wav", "duration": 12.84, "text": "I have no doubt the journey we embarked on some 18 months ago would have faltered had it not been for the tireless dedication of our people pushing the business to do better, notwithstanding constrained balance sheet and difficult market conditions."}, {"path": "tedlium_4674.wav", "duration": 12.84, "text": "But the other parts of our business, we're really very focused on just improving process and improving productivity to allow us to fund some of the investments that we know"}, {"path": "tedlium_4675.wav", "duration": 12.84, "text": "So your question is very relevant. We will address it in detail on June 7. But we have a clear path to how we're going to evolve the products and how we're going to connect that"}, {"path": "tedlium_4676.wav", "duration": 12.84, "text": "In recent months, while I've been working hard to drive the business here and now, I've also worked closely with our teams to complete a comprehensive review of the business and develop a strategic plan."}, {"path": "tedlium_4677.wav", "duration": 12.84, "text": "positive development in the last several years. And so this is not the first year in '18 where we've had a benefit from what we would call release of reserves, if you will. Now some of that is related to"}, {"path": "tedlium_4678.wav", "duration": 12.84, "text": "Our first quarter results are typically affected by seasonal trends related to inventory fluctuation and commercial insurance plan resets. In particular this year, we saw a significant impact in ARISTADA inventory during Q1. I'll"}, {"path": "tedlium_4679.wav", "duration": 12.84, "text": "To further leverage this momentum, we're simultaneously under way with several CapEx projects that will generate excellent returns and stimulate additional growth in the years to come."}, {"path": "tedlium_4680.wav", "duration": 12.84, "text": "As we invest more into our commercial team, they're leveraging resources to work closer with both new and existing customers, and we're gaining market share because of it."}, {"path": "tedlium_4681.wav", "duration": 12.84, "text": "But as you know, we've always been very selective on our acquisition strategies. They have to be accretive, and we just haven't seen anything thus far"}, {"path": "tedlium_4682.wav", "duration": 12.84, "text": "So with an eye toward delivering increased shareholder value, we will continue to make prudent investments in people, programs and facilities and strive to deliver exceptional results over the long term."}, {"path": "tedlium_4683.wav", "duration": 12.8399375, "text": "Finally, last year's severe hurricane impacts should make for easier comparison this year. The majority of the impact was in the third quarter, with some carryover in the fourth quarter as well."}, {"path": "tedlium_4684.wav", "duration": 12.8100625, "text": "perspective to create value for us will always be long term. It will always be how this company will thrive in the future."}, {"path": "tedlium_4685.wav", "duration": 12.81, "text": "Moving to Slide 5, we are expanding our offerings in the ways in which we go to market to serve our customers as the new Syniverse, and that includes partnerships."}, {"path": "tedlium_4686.wav", "duration": 12.81, "text": "The uncertainty is going to be around just how strong the market. Yes. I think we're confident to say that we're going to outgrow the market a little bit. And so if that market -- if we determine that market's going to be there, then I would expect us to outpace that."}, {"path": "tedlium_4687.wav", "duration": 12.81, "text": "Probably a little bit slower for what we own. Got it. And then the regulatory reform that you mentioned in your opening comments that you expect to see from this administration,"}, {"path": "tedlium_4688.wav", "duration": 12.81, "text": "the excess or we're getting through the excess inventory issues we've seen over the last couple of years. And you see it in our inventory, which we've cleaned up. You see it in the Ritchie auctions,"}, {"path": "tedlium_4689.wav", "duration": 12.81, "text": "that are designed to demonstrate not only a strong safety profile, but also demonstrate that this next-generation neuromodulator delivers high response rates, long duration of effect and satisfaction."}, {"path": "tedlium_4690.wav", "duration": 12.81, "text": "and being disciplined in our unit growth is the right strategy to allow our initiatives to gain traction and build the foundation for the next stage of growth."}, {"path": "tedlium_4691.wav", "duration": 12.81, "text": "Demand in the Americas segment remained soft in this area on sluggish project spending, but we continue to see strong trends in parts of the world where the cost of oil extraction is lower, like the Middle East."}, {"path": "tedlium_4692.wav", "duration": 12.81, "text": "every number you see going forward is based on the assumption that we get an approval in Q4 2019, but also here with the caveat that it can take longer. And then of course,"}, {"path": "tedlium_4693.wav", "duration": 12.81, "text": "We also expect our ability to expand our services in new markets and introduce our complete integrated product offering, will create opportunities for additional growth."}, {"path": "tedlium_4694.wav", "duration": 12.81, "text": "we continue to be excited by the progress of our Stromag acquisition, where we already experienced strong cross-selling activity in the second quarter. We continue to seek further acquisitions but remain highly disciplined in that pursuit."}, {"path": "tedlium_4695.wav", "duration": 12.81, "text": "as our New York Now team has been working to maximize the salable space, that actual available capacity will be modestly lower than we had originally planned due to the construction activity at the Javits Convention Center."}, {"path": "tedlium_4696.wav", "duration": 12.81, "text": "You provided some nice color on the trends you're seeing with the Galafold launch in U.S. and Europe. Maybe you can just make a few comments on what you're seeing in Japan and maybe how that compares to U.S. and Europe? Thanks."}, {"path": "tedlium_4697.wav", "duration": 12.81, "text": "Even though we face a slight delay compared to our initial time plan, we're still highly confident to close the deal in the second half of 2016 after maximum 3-month approval period"}, {"path": "tedlium_4698.wav", "duration": 12.81, "text": "as of December 31. Since our business is very seasonal and we tend to capture a lot of ARR in the back half of the year, this metric is best reviewed on an annual basis."}, {"path": "tedlium_4699.wav", "duration": 12.81, "text": "Yes. We've got a great team with Charter up there today, and it's a very stable team, as I mentioned. And President of that bank, Lee, is continuing to be our leader up there in Georgia. So I would characterize it as steady"}, {"path": "tedlium_4700.wav", "duration": 12.81, "text": "on -- particularly, in the funds side where they want to reduce cost, and they look to print to do that. However, they still have to manage their content. So something like our arc reporting in content management,"}, {"path": "tedlium_4701.wav", "duration": 12.81, "text": "Let me spend a minute discussing the dynamics around are working capital, especially in relation to customer cash which we carry, which is contained within the customer liability section of our balance sheet."}, {"path": "tedlium_4702.wav", "duration": 12.81, "text": "to pursue those developments to ensure that long-term cash flow generation, but also to continue to invest in a material program of exploration drilling over the next few years."}, {"path": "tedlium_4703.wav", "duration": 12.81, "text": "is basically on increased frequency, and based on what you can see from your sold tickets already, is it possible to see an increase in the long-haul yield going into next year?"}, {"path": "tedlium_4704.wav", "duration": 12.81, "text": "The acquisition of Zephyr Insurance is expected to close in the fourth quarter of 2015 or the first quarter of 2016, subject to customary closing conditions and regulatory approvals."}, {"path": "tedlium_4705.wav", "duration": 12.81, "text": "to both drive significant efficiencies in the future as well as be agile enough to allow us to move quickly as we expand our product offerings. We are well into this journey and seek to accelerate the effort."}, {"path": "tedlium_4706.wav", "duration": 12.81, "text": "That remains an opportunity for us to optimize that as well. We've invested in tools. We've invested in capabilities. We have some great folks here and we continue to believe that there's an opportunity there to drive some improvement."}, {"path": "tedlium_4707.wav", "duration": 12.81, "text": "we see additional opportunities to evolve our capabilities and services. Our technology solutions are a key component of many of these initiatives and an increasingly important differentiator for our value proposition."}, {"path": "tedlium_4708.wav", "duration": 12.81, "text": "All of these initiatives are coming at a good time. The momentum in our business is palpable. Over the last few months, we have seen the reversal of downward trends in our go-to-market efforts."}, {"path": "tedlium_4709.wav", "duration": 12.81, "text": "Gross margin rate performance to increase 10 to 15 basis points. We would expect more significant improvement in the first quarter with the remainder of the year with very modest improvement."}, {"path": "tedlium_4710.wav", "duration": 12.81, "text": "and tax deficiencies related to share-based payments as income tax expense rather than as equity in our balance sheet. Given our current stock price, we would expect the new rule to increase our effective tax rate."}, {"path": "tedlium_4711.wav", "duration": 12.81, "text": "While acknowledging a disappointing Q3, I want to be clear that we have 100% confidence in our growth strategy and the sustainability of the leadership position we have built in the market."}, {"path": "tedlium_4712.wav", "duration": 12.81, "text": "Albeit at a slow pace, it is expected that improvement in demand in key African export markets will continue through a combination of own effort and improved trading stability."}, {"path": "tedlium_4713.wav", "duration": 12.81, "text": "that we shared with you in the past. That said, the share of most Power brands improved in the context of growing categories within the defined channel, SASKO bread and Spekko rice being the exceptions."}, {"path": "tedlium_4714.wav", "duration": 12.81, "text": "Finding the right parties to manage our shelf in top-end grocer as well as key accounts was absolutely crucial to move towards moving the business to a more brand building and category focus."}, {"path": "tedlium_4715.wav", "duration": 12.81, "text": "The work we are doing today on business improvements taps into the enormous potential that exists in Orica and will ultimately deliver a more efficient and effective organization."}, {"path": "tedlium_4716.wav", "duration": 12.81, "text": "This represents 14% operating margins and our 18th consecutive quarter of EBIT improvement. Operating leverage exceeded expectations in the quarter on strong manufacturing productivity."}, {"path": "tedlium_4717.wav", "duration": 12.81, "text": "I'll now turn the call over to Mike. Mike? Thank you, Bill, and good morning, everyone. As Bill noted, our first quarter performance was in line with our expectations, and we are pleased with the results."}, {"path": "tedlium_4718.wav", "duration": 12.81, "text": "We're reiterating total company as well as business unit revenue adjusted EBITDA and driver guidance, although our current view is that RevPAR will be at the low end of our guidance range."}, {"path": "tedlium_4719.wav", "duration": 12.81, "text": "Many of these opportunities are unique to us and are not impacted by the broader market dynamics. We are investing in these areas to accelerate profitable growth."}, {"path": "tedlium_4720.wav", "duration": 12.81, "text": "rotating equipment and monitoring. And we will be investing quite heavily on the back of that acquisition. The second acquisition we just completed in July"}, {"path": "tedlium_4721.wav", "duration": 12.81, "text": "First, this quarter we added an earnings presentation to give you a visual cue of trends and key information as we walk through our results. We're trying to provide meaningful information so you have the context to understand and digest our quarterly performance."}, {"path": "tedlium_4722.wav", "duration": 12.81, "text": "I'll begin today's call with a brief overview of our results and key drivers, and we'll run through the financials and then we'll go right to your questions. But before we begin, Sari will provide a few comments regarding what we will share with you today."}, {"path": "tedlium_4723.wav", "duration": 12.81, "text": "whether good or bad, we've been here before, and we have emerged stronger as an organization. So we feel really good with our ability to deliver long-term growth in this business,"}, {"path": "tedlium_4724.wav", "duration": 12.81, "text": "get reflected in billing rates. So that's why it kind of keeps that slightly lower. So those are kind of the headline numbers for gross profit rates. When I look at"}, {"path": "tedlium_4725.wav", "duration": 12.81, "text": "part of that due to some of the working capital items you mentioned, and a lot of that coming from some of these large power projects that we are executing that will come back in the following years"}, {"path": "tedlium_4726.wav", "duration": 12.81, "text": "getting our businesses healthy, but ultimately we're going to have to evaluate all of our businesses to ensure they're driving value for shareholders. If they're not and we don't see a path to get them there,"}, {"path": "tedlium_4727.wav", "duration": 12.81, "text": "We've been monitoring oil-exposed regions very closely over the past 18 months. And although oil prices have seen some stability since the beginning of the year, we recognize that these areas have sustained significant job losses."}, {"path": "tedlium_4728.wav", "duration": 12.81, "text": "We did, however, see market activity and deal announcements start to pick up postelection, leading to our own activity increasing in the first 2 months of 2017, given the normal deal cycle."}, {"path": "tedlium_4729.wav", "duration": 12.81, "text": "Sequential volumes were down slightly on Lunar New Year seasonality. Overall China pricing was flat as helium price headwinds were offset by positive pricing for other products."}, {"path": "tedlium_4730.wav", "duration": 12.81, "text": "as we worked our way through it. But the history of what we had built with the smaller agreement with them in advance helped to build upon that because as we traditionally say, we like to say what we do then do what we say."}, {"path": "tedlium_4731.wav", "duration": 12.81, "text": "In the first half of the year, packaged meat performance, well, we have all seen the figures."}, {"path": "tedlium_4732.wav", "duration": 12.81, "text": "It's -- when you combine the 2, it's a good growth story. And on that point too, we are very pleased with the performance of this business on an operating profitability standpoint"}, {"path": "tedlium_4733.wav", "duration": 12.81, "text": "The award recognizes Trex's leadership in the environmental stewardship in addition to our circular economic model, where Trex takes plastic waste from Home Depot stores,"}, {"path": "tedlium_4734.wav", "duration": 12.81, "text": "Solid fundamentals underscore that strong market demographics continue to appeal to businesses seeking to relocate to our footprint. Now turning to our quarterly stats."}, {"path": "tedlium_4735.wav", "duration": 12.81, "text": "Long Beach in particular has been showing healthy sales after starting commercial operations on February 1 of this year, and we continue to see several opportunities, where we are well positioned to compete with for significant projects."}, {"path": "tedlium_4736.wav", "duration": 12.81, "text": "And as we mentioned at the time of the announcement, we have already commenced the asset sale process with the majority of the Continental U.S. assets now formerly listed for sale with brokers."}, {"path": "tedlium_4737.wav", "duration": 12.81, "text": "We anticipate our pricing and merchandising actions related to Folgers roast and ground coffee will result in improved volume trends in the second quarter, but the unfavorable price-to-cost gap will continue."}, {"path": "tedlium_4738.wav", "duration": 12.81, "text": "And that excess cash, what we do with it will be dependent on share price and when that cash comes in. I mean, I'd like to see, given the environment, the free cash come in the door before we're too aggressive"}, {"path": "tedlium_4739.wav", "duration": 12.81, "text": "counter. This is something where it's tried, true and lots of dealers are adopting and liking these products. And we're investing in the engineering so that we can keep improving them. We keep tweaking them up."}, {"path": "tedlium_4740.wav", "duration": 12.81, "text": "we will continue, naturally, to pay attention to the other markets as well as opportunities might arise or eventually any event of concern might arise."}, {"path": "tedlium_4741.wav", "duration": 12.81, "text": "No, and that's a good question, Himanshu. And yes, there is some variance between markets and there's a number of factors, though. So in some cases, it has to do with certain markets performing stronger and higher demand and for example the West Coast market"}, {"path": "tedlium_4742.wav", "duration": 12.81, "text": "for next year in terms of plantings? Supply and demand for the industry will be more balanced? Oversupply? Can you give me any -- kind of your thoughts as we think about next year for fiscal '18 it would be?"}, {"path": "tedlium_4743.wav", "duration": 12.81, "text": "So it's something that we want to continue building on and it's something that being contrarian, I mentioned last call, we think there will be opportunities in pockets of the commercial auto, but definitely more analytics. And one of the things that we've noticed"}, {"path": "tedlium_4744.wav", "duration": 12.81, "text": "what you would describe as channel disruptions from e-commerce maybe on the electrical side, business shifting away from some of the traditional distributors? Anything that you can comment there?"}, {"path": "tedlium_4745.wav", "duration": 12.81, "text": "inside of the Electrical Systems and Services business and all those restructuring benefits are paying off. And so as we think about the first half versus second half, we're really not counting on any significant change"}, {"path": "tedlium_4746.wav", "duration": 12.81, "text": "Is that -- could you break out what portion of that is growth and what proportion is related to weather? Well, it was -- we don't think it was really -- a significant amount of that was weather."}, {"path": "tedlium_4747.wav", "duration": 12.81, "text": "We have scrubbed our production forecast for the remainder of the year. And while our outlook has been reduced, we still have an expectation of a higher fourth quarter over both Q3 and last year."}, {"path": "tedlium_4748.wav", "duration": 12.81, "text": "Our slot win was fairly close to the fourth quarter of last year, it was down a little more than 1%. MGM opened in the National Harbor on December 8. And while they may have a had a small effect on the numbers for the balance of the month,"}, {"path": "tedlium_4749.wav", "duration": 12.81, "text": "if -- I mean, it sounds like you're lined up pretty well with inventory and so on. So why guide to low singles when you're off to such a good start as you're seeing it right now running mid?"}, {"path": "tedlium_4750.wav", "duration": 12.81, "text": "I think it's too early to really talk about when we can expect the product launch because I think we have to transfer this technology into a product first, and I think we have to wait"}, {"path": "tedlium_4751.wav", "duration": 12.81, "text": "In addition to another consecutive of overall organic growth, we successfully delivered organic growth across all reporting segments and generated great cash flow from operations in the third quarter."}, {"path": "tedlium_4752.wav", "duration": 12.81, "text": "Okay. And then maybe just my quick follow-up. Just on the international segment, I know you mentioned last quarter you were taking steps to just improve the consistency of that business. Maybe just an update on where you are on"}, {"path": "tedlium_4753.wav", "duration": 12.81, "text": "However, we're approaching a transition point where you will begin to see us dial back network expansion CapEx as we complete certain critical capacity projects already underway."}, {"path": "tedlium_4754.wav", "duration": 12.81, "text": "These factors include market conditions post-Brexit, the amount of capacity life companies have as they come close to meeting their annual allocations, and the appetite GSEs have for financing RV assets."}, {"path": "tedlium_4755.wav", "duration": 12.81, "text": "substantial amount of money. Customers tell me that Crexendo's award-winning solutions are perfect for a company that wants to increase productivity and save money"}, {"path": "tedlium_4756.wav", "duration": 12.81, "text": "the departments together and then blend them together and not have 2 people doing the same job and a certain task being done 2 or 3 times. So that certainly has to continue, and I don't think anybody would say that the"}, {"path": "tedlium_4757.wav", "duration": 12.81, "text": "Also, if we look at the cost base, having full production facilities in China alone would have its own benefits in terms of the labor cost and also there is some changes in the overall utilization that we do recognize"}, {"path": "tedlium_4758.wav", "duration": 12.8099375, "text": "while an application for approval of the proposed sale has been submitted to HLC, along with draft documents that, if the application is approved, would govern the terms of the sale and the shared services arrangement,"}, {"path": "tedlium_4759.wav", "duration": 12.78, "text": "by moving to more shifts, and also getting that second automated line operational. So when we talk about production capacity for 20,000, I personally believe that's a very conservative production capacity number."}, {"path": "tedlium_4760.wav", "duration": 12.78, "text": "We knew that in the complement system, absolute precision should be the highest goal, and that through absolute precision, we could develop much more targeted medicines for better health."}, {"path": "tedlium_4761.wav", "duration": 12.78, "text": "The expansion of Middle East, North Africa and the Asian refinery capacity will provide new trade flows of refined products exports from East to West."}, {"path": "tedlium_4762.wav", "duration": 12.78, "text": "Does that directly impact us? I mean, I don't know if we can make the direct correlation, but yes, it certainly impacts the market. I mean, you've got all those additional rooms by the convention center sucking up"}, {"path": "tedlium_4763.wav", "duration": 12.78, "text": "Factors that could cause actual results to differ materially include those risks and uncertainties described from time to time in our filings with the Securities and Exchange Commission,"}, {"path": "tedlium_4764.wav", "duration": 12.78, "text": "The U.K. and Ireland market remains uncertain in the wake of Brexit and the upcoming general election. This is mitigated somewhat by the opportunity to participate in significant infrastructure projects."}, {"path": "tedlium_4765.wav", "duration": 12.78, "text": "The investment in underlying operating margin is primarily commercial investments and activities to continue to build the customer base."}, {"path": "tedlium_4766.wav", "duration": 12.78, "text": "Digital, which is a statement of the obvious for most of us, has not always historically been the case at Informa. And now that is pretty much the watchword through all of our businesses, and I'll bring that to life a little bit later."}, {"path": "tedlium_4767.wav", "duration": 12.78, "text": "back to business in a very normal way. Obviously, we do need to finish our remediation efforts. But it's not requiring any significant amount of investment, and the businesses is sort of back on track."}, {"path": "tedlium_4768.wav", "duration": 12.78, "text": "We posted another quarter strong year-over-year growth, driven primarily by the multiple acquisitions we completed within the last 12 months and the organic growth from the assets in the portfolio."}, {"path": "tedlium_4769.wav", "duration": 12.78, "text": "And as we do, we continue to receive important third-party recognition for the healthfulness of our menu, including some recent accolades from Health Magazine and Men's Health."}, {"path": "tedlium_4770.wav", "duration": 12.78, "text": "The collective and broad impact we have seen in children treated with AVXS-101 on many aspects of the disease, enabling them to develop in the best possible manner is truly remarkable."}, {"path": "tedlium_4771.wav", "duration": 12.78, "text": "We would like to begin what we expect to be a series of discussions during our earnings calls on topical matters relevant to Vistra and the overall power industry."}, {"path": "tedlium_4772.wav", "duration": 12.78, "text": "Our channel program continues to grow nicely and is yielding results beyond our expectations. For example, bookings for master agents and resellers represented more than 25% of our enterprise bookings in the second quarter."}, {"path": "tedlium_4773.wav", "duration": 12.78, "text": "are ordering much more, and the growth in the amount of what they order is growing much faster than with the people who have -- who order lesser amounts of Parcels. It shows you"}, {"path": "tedlium_4774.wav", "duration": 12.78, "text": "products that seem to be a little bit more targeted to mainstream versus your legacy portfolio that's more of a niche activity tracker for marathon trainers and things like that."}, {"path": "tedlium_4775.wav", "duration": 12.78, "text": "Our investment in innovation has resulted in increased market share and industry-wide recognition. Garmin was recently honored as Manufacturer of the Year by the National Marine Electronics Association."}, {"path": "tedlium_4776.wav", "duration": 12.78, "text": "Our recent investment in strengthening the leadership team will ensure that the international business gets the focus it requires as it continues to grow in both size and complexity."}, {"path": "tedlium_4777.wav", "duration": 12.78, "text": "which means that the rate of our charges are slowing as compared to what we took in the first half of the year. My expectations"}, {"path": "tedlium_4778.wav", "duration": 12.78, "text": "The product keeps getting better with each major release, and we believe this could become a large-scale incremental opportunity for us globally, not just in Europe,"}, {"path": "tedlium_4779.wav", "duration": 12.78, "text": "to which extent you're still working on older contracts where you're kind of now feeling the input cost inflation the most and to which extent"}, {"path": "tedlium_4780.wav", "duration": 12.78, "text": "On the top line, still improving the result, reducing the loss for the quarter I think is a good indication. A lot of good work is being done here by the colleagues,"}, {"path": "tedlium_4781.wav", "duration": 12.78, "text": "over prior first quarters of past years. As I said before, our intent is to measure our performance against the industry and close the performance gap in meaningful ways, like it's never been done at USA Truck before."}, {"path": "tedlium_4782.wav", "duration": 12.78, "text": "of our clients around the globe, we must focus on assets that align more closely to our vision and position the brand competitively in the marketplace. Through the process that began a year ago,"}, {"path": "tedlium_4783.wav", "duration": 12.78, "text": "and the renewal of our agreement with Intermountain which resulted in a catch-up contribution in Q3. Before I walk you through the details of the results, I would like to remind you that we will be referencing non-GAAP numbers,"}, {"path": "tedlium_4784.wav", "duration": 12.78, "text": "As cloud adoption in a given country reaches a certain threshold, cloud providers initially deploy network nodes to channel that demand from the local enterprises back to centralized compute notes."}, {"path": "tedlium_4785.wav", "duration": 12.78, "text": "and we continued to see steady improvement in average unit prices as price increases more than offset some unfavorable mix due to the larger percentage of interior doors related to that new retail business."}, {"path": "tedlium_4786.wav", "duration": 12.78, "text": "I look at all of these categories as being significant inflationary features this year. It's down to the work that our sourcing and operations teams are doing to find productivity to offset them as much as possible."}, {"path": "tedlium_4787.wav", "duration": 12.78, "text": "So we've been working for several years to change that mix to a higher margin blend. We made progress all the way through 2017. Pricing across a lot of categories are improving."}, {"path": "tedlium_4788.wav", "duration": 12.78, "text": "we have a relatively high tax rate compared to peers, largely due to the fact that we don't have much in the way of BOLI or munis. As a result, any reductions in corporate tax rate should flow straight to our bottom line."}, {"path": "tedlium_4789.wav", "duration": 12.78, "text": "the individual store managers and their markets have the latitude to do what they need to do in their local market to be competitive, manage their inventory and maximize their profitability."}, {"path": "tedlium_4790.wav", "duration": 12.78, "text": "As we reshape our business, we also continue to simplify our balance sheet and make sure that it's appropriate for not just our business model, but also our shareholders."}, {"path": "tedlium_4791.wav", "duration": 12.78, "text": "In summary, we feel good about the business and earnings growth we delivered in 2017. We plan to remain focused on our strategic priorities of growing our core business and executing with excellence."}, {"path": "tedlium_4792.wav", "duration": 12.78, "text": "Until now, we have required that all implementation services be contracted by us, and then we subcontract the work to our implementation partners as needed."}, {"path": "tedlium_4793.wav", "duration": 12.78, "text": "to the way we approach our business overall. And we think what that will do is allow us to also begin to bring down expenses more effectively and more permanently. So"}, {"path": "tedlium_4794.wav", "duration": 12.78, "text": "they are not a pain, nor do you need to take any precautionary measures when you go for an MRI. So that late launch will obviously have an impact into how we think about the second half for the cochlear implant business."}, {"path": "tedlium_4795.wav", "duration": 12.78, "text": "and they are developed in different steps and different stages. Innolux is one of the first manufacturers working on this. We have improved the module assembly lines."}, {"path": "tedlium_4796.wav", "duration": 12.78, "text": "This was particularly on the East Coast of Australia and Indonesia. Our group volumes are high -- slightly up but still within the guidance range that we disclosed in the market in November of last year."}, {"path": "tedlium_4797.wav", "duration": 12.78, "text": "for your interest in our Happiness Ecosystem. If you look at FOLIDAY and Yuyuan, they are very important platforms and groups"}, {"path": "tedlium_4798.wav", "duration": 12.78, "text": "As we progress with the advancement of our pipeline, we believe our strategy and these products will allow Enzo to potentially reshape the delivery of diagnostic services."}, {"path": "tedlium_4799.wav", "duration": 12.78, "text": "We're finding out now that, as we start rolling this out, we've got to kick up production, and we'll pick up that going through"}, {"path": "tedlium_4800.wav", "duration": 12.78, "text": "We were very encouraged, not only by the percentage of patients reporting improvements in this portion of the study, but also by their request to continue therapy beyond a single dose, which led to the addition of Part C to the study."}, {"path": "tedlium_4801.wav", "duration": 12.78, "text": "Most importantly, I find talented and committed people throughout the organization, with a very strong executive leadership team in place."}, {"path": "tedlium_4802.wav", "duration": 12.78, "text": "This change is a direct result of our balanced growth strategy. As a reminder, the deposits that we raise through the broker market are entirely fixed-term deposits with terms of maturity between 1 and 5 years."}, {"path": "tedlium_4803.wav", "duration": 12.78, "text": "So a lot of the coverage and exposure we're getting helps to reinforce the ability of our modular hardware and software to serve the growing number of smart connected wireless devices."}, {"path": "tedlium_4804.wav", "duration": 12.78, "text": "Notwithstanding the tight Hawaii labor market, we've been successful in hiring experienced talent to nearly complete our in-house asset management and leasing teams. We've brought the property management functions"}, {"path": "tedlium_4805.wav", "duration": 12.78, "text": "It means a lot to all of us at PayPal that our platform can be used to make such a large difference to nonprofits and charities across the globe. 2018 was a strong year for us"}, {"path": "tedlium_4806.wav", "duration": 12.78, "text": "some people wanting to benefit from tax reform and all kinds of other interesting ideas. But I think the demand is out there, the reality of these cost headwinds is out there and so it's been"}, {"path": "tedlium_4807.wav", "duration": 12.78, "text": "based on further clarifications provided by the Department of Finance regarding the grandfathering of mortgages originated prior to November 30, we revised our estimate and now anticipate a 25% to 35% reduction"}, {"path": "tedlium_4808.wav", "duration": 12.78, "text": "Sure. Thanks for the question, Matt. I think maybe not quantitatively because it's only been a month, but I can tell you that the local countries are super excited"}, {"path": "tedlium_4809.wav", "duration": 12.78, "text": "To give you more detail on this restatement, we use an internally derived standard currency exchange rate for our constant currency sales and reporting segment results. This standard FX approach is designed to give a more consistent long-term view of results."}, {"path": "tedlium_4810.wav", "duration": 12.78, "text": "We continue to find efficiencies in our business, stemming from simplified structure, productivity initiatives such as our cloud migration project and from discontinuing unprofitable ventures like getTalent and our local China presence."}, {"path": "tedlium_4811.wav", "duration": 12.78, "text": "together with the strong supply growth and pipeline takeaway constraints from Western Canada, gives us confidence that we will be able to see high utilization of the partnership's liquids pipeline systems. Please turn to Slide 6. Now"}, {"path": "tedlium_4812.wav", "duration": 12.78, "text": "So I would say, we're there in China, we are committed to being there long term and being a significant competitor in our businesses,"}, {"path": "tedlium_4813.wav", "duration": 12.78, "text": "I'm extremely pleased with this progress and give our diverse sourcing channels and strong balance sheet, we should be able to continue to grow the credit portfolio from here to support further growth of earnings and ultimately the growth of our dividend."}, {"path": "tedlium_4814.wav", "duration": 12.78, "text": "For the third quarter, we continued to benefit from having direct control of our fragrance category which enables us to deliver sought-after brands in incremental values."}, {"path": "tedlium_4815.wav", "duration": 12.78, "text": "and the scalability essentially of CAR-T. We know hospitals and providers have significant concerns about the payment models and the total cost associated with currently approved T-cell therapies."}, {"path": "tedlium_4816.wav", "duration": 12.78, "text": "they are looking for it. They want to know where the products are coming from and that is what we are working towards, and we have already reached a very high level what you will hear later."}, {"path": "tedlium_4817.wav", "duration": 12.78, "text": "We are continuously working to optimize our well designs and improve operational execution to control our cost and increase well productivity and keeping with our focus on rate of return, along with production growth."}, {"path": "tedlium_4818.wav", "duration": 12.78, "text": "Slide 19 shows some of the innovation we introduced, which includes new varieties and on-trend flavors and reflects our focus on optimizing price pack architecture with multiple product configurations."}, {"path": "tedlium_4819.wav", "duration": 12.78, "text": "I think you're right, Joe. I mean, clearly we've had some good traction in terms of large deal signings and in terms of new client adds over the past couple of quarters, and you've seen"}, {"path": "tedlium_4820.wav", "duration": 12.78, "text": "the pest business really takes off when you have some density. And so what we've been able to do in a number of what I would call is the Asia Pacific and Latin America markets"}, {"path": "tedlium_4821.wav", "duration": 12.78, "text": "how much of the AmTrust reserves are late to the programs business, or even what would be even better if you have it is, how much relates to these discontinued programs that the reserve charge relates to?"}, {"path": "tedlium_4822.wav", "duration": 12.78, "text": "the fact that it encompassed the holiday season makes it a little hard to quantify. But in any case, it's entirely too early to assess what impact they may have on us going forward, though it doesn't appear to be dramatic so far."}, {"path": "tedlium_4823.wav", "duration": 12.78, "text": "we continued the effort, or I continued and Roland continued the effort of meeting customers, talking to analysts, doing the work to validate our strategy to hear what the customers were going to do with their integration needs"}, {"path": "tedlium_4824.wav", "duration": 12.78, "text": "We believe our revenue cycle management program has the potential of significantly improve the profitability of our diagnostics business and look forward to providing further updates of our progress on future calls."}, {"path": "tedlium_4825.wav", "duration": 12.78, "text": "that there's going to come a point where there's more increases coming from manufacturers. That would trigger more increases coming from distributors, certainly coming from us. And to date, my expectation would be that realization is good, particularly in this environment."}, {"path": "tedlium_4826.wav", "duration": 12.78, "text": "lesser actual levels of product returns and the beneficial impact of truing up the associated gross to net accruals that had the effect of magnifying the improvement in gross to nets when looking at the quarter in isolation."}, {"path": "tedlium_4827.wav", "duration": 12.78, "text": "And it's a very stable market. I think I would characterize it as very strong. To your benefit in the community, there's a lot of competition there, and"}, {"path": "tedlium_4828.wav", "duration": 12.78, "text": "the vividness of these colors, how well they perform in various storage- and production-type operations. So there's still growth even to be had in Europe, which, on the natural color spectrum, would be viewed as a more mature market."}, {"path": "tedlium_4829.wav", "duration": 12.78, "text": "given that some of the upstream producers are also owners of the export facilities, they will look to export part of this new production."}, {"path": "tedlium_4830.wav", "duration": 12.78, "text": "So this is a major initiative that should improve the quality of service, the frequency of contact, the context of advice, and ultimately, also the performance for the client"}, {"path": "tedlium_4831.wav", "duration": 12.78, "text": "come down by 32 basis points, especially in a year when we were investing so heavily in the business to drive new capabilities like consumer brands, digital, store sport and analytics, to mention a few."}, {"path": "tedlium_4832.wav", "duration": 12.78, "text": "So on the Olympics side, Ross, let me jump on that one. So we are very excited to have a special event like the Winter Olympics, and we believe Snap community will really enjoy what we have there. We're also excited to be the biggest mobile partner there."}, {"path": "tedlium_4833.wav", "duration": 12.78, "text": "I guess as it relates -- it doesn't seem to be affecting you on originations, but when we think about, like, consolidations away from you guys, I mean are you guys seeing anything that's noticeable from a consolidation standpoint?"}, {"path": "tedlium_4834.wav", "duration": 12.78, "text": "But we still think the program can be a strong one. So we will take all of the factors into consideration when we -- as we plan our approach to the bidding process."}, {"path": "tedlium_4835.wav", "duration": 12.78, "text": "So far in the fourth quarter, domestic metal pricing has continued to decline. At this time, we do not see any meaningful near-term catalyst to change the direction of pricing."}, {"path": "tedlium_4836.wav", "duration": 12.78, "text": "The next area of growth we discussed at our convention is our wholesale business. Our wholesale division sells products for the company retail division as well as to all outside customers."}, {"path": "tedlium_4837.wav", "duration": 12.7799375, "text": "that, that was the right decision. So I don't mean to put a -- kind of a fly in the ointment, but yes, we're pushing for higher prices. We're trying to do so sustainably and responsibly. And in some cases, we picked network over price."}, {"path": "tedlium_4838.wav", "duration": 12.75, "text": "Yesterday evening, we issued an earnings release discussing our first quarter results. We have also prepared a slide presentation, which we will refer to during these remarks."}, {"path": "tedlium_4839.wav", "duration": 12.75, "text": "We believe that building systems, processes and partnerships that allow BofI to offer seamless user experience and multiple services through an integral software platform will further elevate and differentiate our competitive position."}, {"path": "tedlium_4840.wav", "duration": 12.75, "text": "and third, we enjoy a customer and partner base approaching 1,000 organizations, among them some of the world's largest and most respected brands."}, {"path": "tedlium_4841.wav", "duration": 12.75, "text": "We survived the craziness of the year 2000 with the regulators, and we are still trying to survive the craziness of the regulators today. I should get an amen on that one. Right."}, {"path": "tedlium_4842.wav", "duration": 12.75, "text": "and where that prevails, it gives us a better chance to make margin in that franchise. So I'm actually encouraged by the fact that one of the key brands has actually taken the step to reduce the level of targeting"}, {"path": "tedlium_4843.wav", "duration": 12.75, "text": "The targeted return bond funds, the latter of those 2, which we think sort of has a corner office adviser appeal, is still finding its way onto platforms. As I think we've talked about in the past,"}, {"path": "tedlium_4844.wav", "duration": 12.75, "text": "We are also providing a directional annual EBITDA margin profile in total and for each of the 5 MOS categories"}, {"path": "tedlium_4845.wav", "duration": 12.75, "text": "different than what we've seen in other markets where we operate. I am not saying that it's going to be easy. It's a tough job to fight against our competitors and, of course, fight against private label,"}, {"path": "tedlium_4846.wav", "duration": 12.75, "text": "and this is thanks to restructuring in supply chain, closing down factories and also through continuous efficiency in our operations."}, {"path": "tedlium_4847.wav", "duration": 12.75, "text": "by investing in our balance sheet, we're obviously generating some pretty exciting, we think, investment income. But more importantly, we're largely making those investments in support of the raising of new funds."}, {"path": "tedlium_4848.wav", "duration": 12.75, "text": "at earliest, 3 years from the day of the potential decision to cancel the agreement. But also there, we can confirm that there is no indication at all that"}, {"path": "tedlium_4849.wav", "duration": 12.75, "text": "we once again executed well this quarter. For Acthar, we're pleased with the performance trajectory of the product where year-over-year sales declines are narrowing. We expect these trends to continue."}, {"path": "tedlium_4850.wav", "duration": 12.75, "text": "property funding conditions. Further important point for this semester, we've reached significant milestones in the integration of our German operations."}, {"path": "tedlium_4851.wav", "duration": 12.75, "text": "projects that we have in the TKH Group are doing quite well in the execution, and that has now also translated into a very positive result of the organic growth."}, {"path": "tedlium_4852.wav", "duration": 12.75, "text": "We also firmly believe that we have the properties, the people and the platform necessary to execute our strategy for the ongoing benefit of our unit holders."}, {"path": "tedlium_4853.wav", "duration": 12.75, "text": "So as you know, in the majority of our steel businesses, we have direct pass-through of that to our customer. So while that'll have some topline impact on us, it should not really have any meaningful bottom line impact"}, {"path": "tedlium_4854.wav", "duration": 12.75, "text": "impact of this new accounting standard primarily impacts the company's Payments business, requiring a net versus gross reporting of revenues and cost of revenues for our cash access services."}, {"path": "tedlium_4855.wav", "duration": 12.75, "text": "And quite frankly, we're a little late to the table in rationalizing our cost structure around servicing that industry, but you can bet we're going to be very aggressive doing so in the third and fourth quarter"}, {"path": "tedlium_4856.wav", "duration": 12.75, "text": "Our guidance assumes an improvement in the Investment Markets' revenue trend relative to what we've seen in the first half of the year where the year-over-year comparisons were more difficult."}, {"path": "tedlium_4857.wav", "duration": 12.75, "text": "for projects for us is the industrial space. The 2 biggest components of that are the combination of upstream and midstream and then downstream. And the total spend,"}, {"path": "tedlium_4858.wav", "duration": 12.75, "text": "Chris will cover the financials in more detail in a few minutes, but I'm pleased to say, we are on track to deliver the top line guidance we have provided for 2016 and are making progress towards sustained profitability."}, {"path": "tedlium_4859.wav", "duration": 12.75, "text": "Yes, I think our anticipation is that we start off with the PH1 and PH2 patients in the first quarter of next year, and soon thereafter"}, {"path": "tedlium_4860.wav", "duration": 12.75, "text": "and then also in the corporate segment. So if we look at our motor business, on one hand, we should say that"}, {"path": "tedlium_4861.wav", "duration": 12.75, "text": "Thanks to the early progress we made on the supply recovery milestones and meaningful engagement with the broader organization focused on culture building, including very specific interactions with the field sales organization."}, {"path": "tedlium_4862.wav", "duration": 12.75, "text": "So again, not a major concern. It's not far off of our expectations in the -- what we assumed so far in the year. And the performance of EMEA throughout the rest of the year is already contemplated"}, {"path": "tedlium_4863.wav", "duration": 12.75, "text": "sort of an intentional pull back on the timing of some of the consumer promotion work and that was mainly around the New York Frozen as we were having supply constraints. As you might expect, we pulled back on advertising because there was no"}, {"path": "tedlium_4864.wav", "duration": 12.75, "text": "Jim? Thank you, Nick. Within Ag, our priorities this year continue to be centered on building a strong, innovative business that is a leader in the industry both now and in the future."}, {"path": "tedlium_4865.wav", "duration": 12.75, "text": "free cash, particularly in the types of markets that we're seeing right now, which would lead to even meeting the various capital goals or capital investments you have."}, {"path": "tedlium_4866.wav", "duration": 12.75, "text": "In Q3, we continued to grow our user base adding more than 1 million net users, amounting to a total user base of more than 33 million subscribers."}, {"path": "tedlium_4867.wav", "duration": 12.75, "text": "If you just think generally about any job you can think of today, 5 or 10 years from now, that job is going to be dramatically different because of technology. And the skills you need to do that new job"}, {"path": "tedlium_4868.wav", "duration": 12.75, "text": "in the fourth quarter, where it underperformed, actually, the most of all of our 6 business categories, and also for the year, where it was similar in terms of underperformance. And"}, {"path": "tedlium_4869.wav", "duration": 12.75, "text": "Well, I think there's no question, Bernie. I think you had a question in there somewhere. But I think what you're asking is, what are we doing to make our value more clear to customers? And so"}, {"path": "tedlium_4870.wav", "duration": 12.75, "text": "income and earnings in the second half of fiscal year 2016 are expected to be driven by the steady operational and financial progress of certain programs in start-up"}, {"path": "tedlium_4871.wav", "duration": 12.75, "text": "And this focus is set to continue. From fiscal '17, we will increase efficiency as agency costs and point-of-sale spend will be managed through global procurement."}, {"path": "tedlium_4872.wav", "duration": 12.75, "text": "The strength of employee engagement is evidence that, across Diageo, people share my view that change has built a stronger company that everyone is proud to be a part of."}, {"path": "tedlium_4873.wav", "duration": 12.75, "text": "So the demand for quality AVOD offerings is clearly huge and will continue to grow rapidly as more and more consumers make their choices in the OTT space."}, {"path": "tedlium_4874.wav", "duration": 12.75, "text": "Turning to Slide 11. The primary schemes that contribute to incentive revenues include the interruption incentive schemes and the broad measure of customer satisfaction."}, {"path": "tedlium_4875.wav", "duration": 12.75, "text": "My comments on financial performance and the outlook for 2017 will, therefore, be made on the basis of the current group structure, excluding India."}, {"path": "tedlium_4876.wav", "duration": 12.75, "text": "as well as the evolution of Insulation volumes and pricing as they progress through the first half of the year. So I think we'll get better visibility probably as we get into our second quarter earnings call. I think we're appropriately cautious"}, {"path": "tedlium_4877.wav", "duration": 12.75, "text": "rolling of business either as greater synergy or in the enhancing capacities, enhancing what we currently do or adding in an area where we want to add to what we do. So that's"}, {"path": "tedlium_4878.wav", "duration": 12.75, "text": "Our focus on the semiconductor industry, the diversity of our portfolio and our financial strength position us well to capitalize on these catalysts for profitable growth."}, {"path": "tedlium_4879.wav", "duration": 12.75, "text": "And so we're trying to figure out how we can do that and stage that, because what happens with custom cutters, if they hit rain, they hit wet conditions,"}, {"path": "tedlium_4880.wav", "duration": 12.75, "text": "There is some stress in those commodities. It has been a rough period of time over the past several months, maybe even up to a year, for both dairy and ranching. We have not seen any degradation in our portfolio."}, {"path": "tedlium_4881.wav", "duration": 12.75, "text": "We see strong interest for our farm equity AgVantage financing from existing and potential new counterparties. We are also working hard to expand the rest of our institutional credit line of business to new agricultural lenders, including large insurance companies."}, {"path": "tedlium_4882.wav", "duration": 12.75, "text": "We're already on our way with a full launch of Basic Economy across our domestic system on September 5. Our careful planning and measured rollout over the summer has resulted in a very successful launch with no disruption."}, {"path": "tedlium_4883.wav", "duration": 12.75, "text": "It's a strong vote of confidence and will benefit the company by extending the maturities, providing a lower overall weighted average interest rate and offering more flexibility to the company."}, {"path": "tedlium_4884.wav", "duration": 12.75, "text": "Sherry will provide details on the short-term effects of the new law on our tax rate, but before she does, I would like to share my thoughts on capital allocation and the new opportunities created for Waters under the new tax laws."}, {"path": "tedlium_4885.wav", "duration": 12.75, "text": "saying that they will be needing more trailers and plan to order more trailers. Other cases, the numbers are about the same, and in some cases, the numbers are less. So it varies."}, {"path": "tedlium_4886.wav", "duration": 12.75, "text": "And so taking those best practices, using our buying power to make sure that we're allowing dealers to buy all the materials they need for the installation,"}, {"path": "tedlium_4887.wav", "duration": 12.75, "text": "less so for the Mexican peso, they are stronger than what is in our budget and for the Q1 average. So we do anticipate that there will be some impact to our costs."}, {"path": "tedlium_4888.wav", "duration": 12.75, "text": "are concentrated in 10 clients. We monitor these clients and the collateral held on an individual basis to ensure that solutions are applicable to each specific environment. We then work closely"}, {"path": "tedlium_4889.wav", "duration": 12.75, "text": "Pricing is very competitive this year in the Truckload market. Given the low price of fuel and the plentiful truck capacity, we see more intermodal volume convert to truck than in previous years."}, {"path": "tedlium_4890.wav", "duration": 12.75, "text": "This industry is going through some basic transformations in China. So concerning this segment's performance in the first half,"}, {"path": "tedlium_4891.wav", "duration": 12.75, "text": "what ability Par has to launch its own generic starting the end of 2025? And whether they would need to have their own independent REMS program in order to launch that?"}, {"path": "tedlium_4892.wav", "duration": 12.75, "text": "Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program, and you may all disconnect. Everyone, have a great day."}, {"path": "tedlium_4893.wav", "duration": 12.75, "text": "We've been very effective at going to new vendors and being able to contain the cost increases on poly quite effectively over the last 8 years."}, {"path": "tedlium_4894.wav", "duration": 12.75, "text": "then looking back, don't forget that 2017 was not that an easy year from sentiment as well in Europe. When I come to the whole trading environment and there you have to see"}, {"path": "tedlium_4895.wav", "duration": 12.75, "text": "it could be either through more -- a reallocation down the road, a reset down the road. It's really kind of hard to say what will happen, but I think what has happened is now something we have to deal with from a market perspective."}, {"path": "tedlium_4896.wav", "duration": 12.75, "text": "And I think also, there was -- obviously, you had to do a lot of prep work to kind of accept the carve-out into your enterprise. But I think after ownership, you were looking at some pretty heavy"}, {"path": "tedlium_4897.wav", "duration": 12.75, "text": "Our results truly highlight the high level of execution we have demonstrated over the past several years, but especially during the last 5 quarters as well as the progress we've made to grow and diversify the company."}, {"path": "tedlium_4898.wav", "duration": 12.75, "text": "We have changed the fundamental composition of our business and continue to strive to make additional improvement to grow margins and share a more stable earnings stream and take advantage of macro growth trends."}, {"path": "tedlium_4899.wav", "duration": 12.75, "text": "which I'd say isn't doing us or anyone -- others any favors. Our expectation of continued solid performance is a reflection of our business model and our ability to minimize volatility within our results,"}, {"path": "tedlium_4900.wav", "duration": 12.75, "text": "do you think there might be an opportunity to double back on the senior secured note offering that you had contemplated earlier in the year? Maybe when activity levels were less predictable and there was some"}, {"path": "tedlium_4901.wav", "duration": 12.75, "text": "With growth accelerating throughout 2017 in our Generics and contract manufacturing market units, we expect a stronger second half of 2017 compared to the first half."}, {"path": "tedlium_4902.wav", "duration": 12.75, "text": "with close to 1,000 pictures being uploaded and posted by customers. And we're really focused on those marketing efforts to remind people to take advantage of the 100 days of camping."}, {"path": "tedlium_4903.wav", "duration": 12.75, "text": "Information presented on this call is contained in the earnings release we issued this morning and in our Form 8-K dated April 17, 2018, which may be accessed from the investors page of the company's website."}, {"path": "tedlium_4904.wav", "duration": 12.75, "text": "Our Cosmetic group has a strong innovation program, which allows us to develop solutions for a wide range of ingredients, including makeup, skin, nail and hair care and hair colors."}, {"path": "tedlium_4905.wav", "duration": 12.75, "text": "Performance in Massachusetts has started to improve as the new rates in the electric business came into effect. We expect to see a more significant impact from returns at these new rates next year."}, {"path": "tedlium_4906.wav", "duration": 12.75, "text": "The reduction in the daily rate was driven by the contract extension for the South Texas residential center. Excluding this contract extension, the average rate would have increased."}, {"path": "tedlium_4907.wav", "duration": 12.75, "text": "in deferred maintenance. But importantly, that investment that we're making is driving momentum in small shop and it's also driving some of our rents. So we think it's the right thing to do"}, {"path": "tedlium_4908.wav", "duration": 12.75, "text": "is that we're capitalizing on what we're doing with these larger boxes and anchors as follow-through throughout the portfolio. And frankly, we're setting new records as it relates to small shop rents."}, {"path": "tedlium_4909.wav", "duration": 12.75, "text": "It was clearly a tough quarter. Our Manitowoc facility had been performing above expectations for most of the year, they experienced quality issues with the supply chain and challenges in paint production."}, {"path": "tedlium_4910.wav", "duration": 12.75, "text": "Because steel is essentially a pass-through to our customers, this doesn't impact our economics, but does change the reported order number. For the 9 months, orders are slightly above last year despite the pricing adjustment."}, {"path": "tedlium_4911.wav", "duration": 12.75, "text": "We strongly believe that such policies, guidances and regulations will help shape the industry into a healthier and a more sustainable form in the long run."}, {"path": "tedlium_4912.wav", "duration": 12.75, "text": "Duncan has made a substantial contribution to our company over the last 9 years, and I'd like to thank him for seeing the company through to year-end disclosures, and we wish him every success with his new endeavors."}, {"path": "tedlium_4913.wav", "duration": 12.75, "text": "When you look at the Well Worn campaign, I think it's pretty obvious there's a marked statement there that we're going to be seeking a new generation of Canadians not at the expense of the ones that are currently loyal to Mark's, of course,"}, {"path": "tedlium_4914.wav", "duration": 12.75, "text": "I'll then return and discuss the progress we're making on our Growth Acceleration Programme and say a few words about our outlook for 2019. My first year at Rotork has been one of change and significant progress."}, {"path": "tedlium_4915.wav", "duration": 12.75, "text": "And then services even in the province of Manitoba that MTS may have purchased from other carriers such as Zayo, we'll obviously make sure we supply those through Bell. So those are some of the"}, {"path": "tedlium_4916.wav", "duration": 12.75, "text": "there are some fundamental trends that are -- they're going to start to move our way with admonishment I always give that things happen slowly in both addiction and the psychiatry notwithstanding the amount of data that's mounting in support of use of medicines like ours."}, {"path": "tedlium_4917.wav", "duration": 12.75, "text": "for you basically that from now on, we get stability and then improvement so the absolute working capital starts to come down? Or is this just about slowing of the build of working capital?"}, {"path": "tedlium_4918.wav", "duration": 12.75, "text": "despite very challenging pricing, primarily related to stainless flat-rolled. We sell a significant amount of stainless steel flat products into the kitchen equipment, appliance and construction end markets."}, {"path": "tedlium_4919.wav", "duration": 12.75, "text": "you make those commitments with customers, looking that far out, how much optionality does the customer have that you've needed to build into those contracts, on things like"}, {"path": "tedlium_4920.wav", "duration": 12.7200625, "text": "so I think we're doing well there. And Brazil has just been slower than we expected. A number of things have changed, the economy's not as strong. There's some political stuff going on and the legislation that we expected,"}, {"path": "tedlium_4921.wav", "duration": 12.72, "text": "We feel that Oculus is in the best shape that we've ever been in for 2 reasons. One, Oculus has effectively executed a turnaround strategy in a very attractive dermatology market,"}, {"path": "tedlium_4922.wav", "duration": 12.72, "text": "Important assumptions include our ability to originate new investments, achieve certain margins and levels of profitability, the availability of additional capital and the ability to maintain certain debt to asset ratios."}, {"path": "tedlium_4923.wav", "duration": 12.72, "text": "To ensure we are focused on our customers at every level of the business, we have launched an executive sponsorship program targeted at strengthening relationships with our most vital customers around the world."}, {"path": "tedlium_4924.wav", "duration": 12.72, "text": "we will now sell chipsets and enable low-cost manufacturing partners for subassemblies. This action is expected to result in better overall cost structures for our TOSA customers,"}, {"path": "tedlium_4925.wav", "duration": 12.72, "text": "look, we're not going to forecast the business on products and services. We took a little bit of a risk this quarter just to simply say we intend to get rid of the brackets in services because, for us, we think that's a very important thing"}, {"path": "tedlium_4926.wav", "duration": 12.72, "text": "One interesting point on that partner, they had annual shortfall revenue in Q2 '16, but are now actively ramping and they have doubled their consumption of hours in October over September,"}, {"path": "tedlium_4927.wav", "duration": 12.72, "text": "communications with them, along with the thorough investigation we've done, we hope we can end that at some time in the future. But at this time, we have no update on it whatsoever."}, {"path": "tedlium_4928.wav", "duration": 12.72, "text": "and what would be the second publication to sort of validate the effect that, obviously, you're going to see an overall survival benefit in that patient population? And the last question is relative to the transcript."}, {"path": "tedlium_4929.wav", "duration": 12.72, "text": "We are testing on-site in attorney's offices a new attorney escrow product and working with our business lines to roll out a new overdraft privilege product for small businesses and commercial checking customers."}, {"path": "tedlium_4930.wav", "duration": 12.72, "text": "Consistent with our 2020 Strategy, we're responding to these challenges by continuing to invest strongly in product and brand differentiation to keep our value propositions sharp."}, {"path": "tedlium_4931.wav", "duration": 12.72, "text": "The sale of the segment FRP is something that we actually consider as well as the preparation for our further growth ideas that we have. It will focus the management"}, {"path": "tedlium_4932.wav", "duration": 12.72, "text": "This improved automation will reduce manual labor hours, which can be reinvested into more diligently analyzing data and more accurately identifying key trends in consumer behavior that help inform strategy."}, {"path": "tedlium_4933.wav", "duration": 12.72, "text": "To be clear, we aren't changing who we are. We're changing the conversation about what makes us unique and changing mindsets so we can change how the world sees us."}, {"path": "tedlium_4934.wav", "duration": 12.72, "text": "that offsets whatever mitigation of usage might occur from the front lines of origination and underwriting. So we, historically, have never been too concerned about capital flows"}, {"path": "tedlium_4935.wav", "duration": 12.72, "text": "relative to expectations, if there was one business that was off, it would've been the Sports business and specifically related to attendance. I think the other thing that"}, {"path": "tedlium_4936.wav", "duration": 12.72, "text": "With respect to debt, one of the great features of our Master Funding program is our ability to prepay any series of notes within 24 months prior to maturity without a prepayment penalty."}, {"path": "tedlium_4937.wav", "duration": 12.72, "text": "any metrics like what improvement you're seeing with load factor or other sort of metrics? Can you give us some of those to help us sort of gauge the impact that's having on the cost structure?"}, {"path": "tedlium_4938.wav", "duration": 12.72, "text": "kind of what he and the team are going to do to get this up, so that we can get it up to market occupancy, and our levels of occupancy that are really adjacent to this asset."}, {"path": "tedlium_4939.wav", "duration": 12.72, "text": "Please member that MSA does not give guidance, and that precludes most discussion related to our expectations for future sales and earnings. Having said that, we will now open up the call for your questions."}, {"path": "tedlium_4940.wav", "duration": 12.72, "text": "I think, Benny, what we do is we look at the overall situation we're in and what the outlook looks like. I don't think we react on a sort of daily or a weekly basis based on the crude price or the natural gas price."}, {"path": "tedlium_4941.wav", "duration": 12.72, "text": "I think it's going to be very similar to China. When you hear the commitment the Indian government has made and the environmental needs to move to this type of technology, there's number of drivers behind it."}, {"path": "tedlium_4942.wav", "duration": 12.72, "text": "We also make certain compensation decisions based in part on our operating performance, as measured by adjusted EBITDA and our credit facility requires us to comply with the consolidated secured leverage ratio that includes performance metrics"}, {"path": "tedlium_4943.wav", "duration": 12.72, "text": "We will continue to look at the additional leases but only in the major U.S. and worldwide cities and use license and management deals to continue to expand beyond the 5 countries that we are currently operating in."}, {"path": "tedlium_4944.wav", "duration": 12.72, "text": "We're tremendously proud of all that the team accomplished during the industrial downturn to optimize our infrastructure to capitalize on our growth initiatives and the eventual market rebound."}, {"path": "tedlium_4945.wav", "duration": 12.72, "text": "the guidance going out, do you have 2 or 3 additional shows already factored into that in addition to the 2 that you already opened this year or that be on the come based on when they open?"}, {"path": "tedlium_4946.wav", "duration": 12.72, "text": "At the close of the market today, Fluidigm released its financial results for the quarter ended September 30, 2018. I'd also like to let everyone know that our outdated investor presentation"}, {"path": "tedlium_4947.wav", "duration": 12.72, "text": "I would like to take some time to present to you with higher detail the current situation and business opportunities we are facing on the Integrated Security Solutions business line."}, {"path": "tedlium_4948.wav", "duration": 12.72, "text": "Consequently, large outflows continue from certain flagship funds. We did, however, see international retail sales improve again this quarter, driven by a pickup in demand from clients in Asia and parts of Europe"}, {"path": "tedlium_4949.wav", "duration": 12.72, "text": "A couple of comments. On the memory side, everything that is out in the market today from an information standpoint, it was reflected in our guide, and that's playing out as we thought. So there's no incremental"}, {"path": "tedlium_4950.wav", "duration": 12.72, "text": "the return of the equity accounts for this year for 15.2%, which are above the target that we had set up, especially good performance in the Non-life business and in the Life Insurance."}, {"path": "tedlium_4951.wav", "duration": 12.72, "text": "This is because almost all of our net operating fees and a portion of our incentive fees will be recognized as services are billed to our customers. We'll have more color for you on this front on the next earnings call."}, {"path": "tedlium_4952.wav", "duration": 12.72, "text": "we too are developing new products that respond to the needs of a wide variety of consumer groups, from the elderly to women and the younger generation."}, {"path": "tedlium_4953.wav", "duration": 12.72, "text": "As a result, Ramune sales volumes are expanding. Ramune sales are also being supported by the appeal to the health benefits of glucose,"}, {"path": "tedlium_4954.wav", "duration": 12.72, "text": "through increasing scale and ongoing emphasis on improving efficiencies. In conclusion, Marlin's strong third quarter performance, led by robust origination growth"}, {"path": "tedlium_4955.wav", "duration": 12.72, "text": "by consolidating locations in our historical core market that are in close proximity to other financial center locations, and reinvesting the dollars associated with these locations in technology and our expanded footprint."}, {"path": "tedlium_4956.wav", "duration": 12.72, "text": "Moving to our Asia Pacific markets. Activity in Hong Kong remains consistent with our expectations. Our history of delivering large iconic projects for our clients contributes to a high win rate."}, {"path": "tedlium_4957.wav", "duration": 12.72, "text": "Again, I think we've done quite well in this area in 2016. We detail our most important fee initiatives for you in our earnings press releases in a table section we label Key Fee Initiatives."}, {"path": "tedlium_4958.wav", "duration": 12.72, "text": "Preliminary results were reported at the CHEST conference in Q4 of 2017. Feedback from physicians evaluating our technology relative to existing and emerging alternatives has been strongly supportive of our efforts."}, {"path": "tedlium_4959.wav", "duration": 12.72, "text": "and retain our excellent credit quality is based on our rock-solid philosophy and strategy of sticking to lending in our primary market, which we know so well. It"}, {"path": "tedlium_4960.wav", "duration": 12.72, "text": "I'm a great believer that if you can get everybody in the company to be able to answer the question, what is the strategy? Why is it important? And what is my personal contribution? What do I need to do to bring it to life?"}, {"path": "tedlium_4961.wav", "duration": 12.72, "text": "and we're really focused now on really managing the margins of the contract because they obviously didn't turn out to be as robust as we might have initially expected, but we've got a great team working on it, and we expect it to continue to improve this year."}, {"path": "tedlium_4962.wav", "duration": 12.72, "text": "In doing so, we are moving forward aggressively with the implementation of AI technology to help our customers make use of all the data that they are recording while significantly reducing their workload."}, {"path": "tedlium_4963.wav", "duration": 12.72, "text": "of historical U.S. institutional sales teams they number around 60, give or take a little bit more or less. That's likely a number we would work to put in a stepwise fashion."}, {"path": "tedlium_4964.wav", "duration": 12.72, "text": "So we're excited about the opportunities there. We have been careful and certainly working with our General Counsel to look at how we contract with these clients and that we"}, {"path": "tedlium_4965.wav", "duration": 12.72, "text": "Customer interest is significant, and we're currently working on the next generation of these game-changing technology across a broad range of blasting applications as a key enabler to automation."}, {"path": "tedlium_4966.wav", "duration": 12.72, "text": "in our areas of kind of the products we're developing and focusing on the distribution channel and really focusing on the long tail, we have started to see some results there. So -- and of course, we all know, this is a"}, {"path": "tedlium_4967.wav", "duration": 12.72, "text": "Several years ago, we had identified that customers needed smaller footprint and lower heat generation as they shift from centralized controlled systems to distributed control on the factory floor."}, {"path": "tedlium_4968.wav", "duration": 12.72, "text": "The first group of hotels using this new revenue management tool is showing a 260 basis point increase in RevPAR index compared with hotels not yet on the system."}, {"path": "tedlium_4969.wav", "duration": 12.72, "text": "relationships, and we're doing fairly well. They respect what we've accomplished so far. It leads to other product areas. Those products need to be developed. It takes months to develop them, not weeks"}, {"path": "tedlium_4970.wav", "duration": 12.72, "text": "it's not for me to say these things, because at the end of the day it's for these governing authorities to decide how they look at these things. But what I'm trying to explain to all of you guys is that,"}, {"path": "tedlium_4971.wav", "duration": 12.72, "text": "We're finding that payers are asking for more and more information, too, before reimbursement takes place. For example, they're asking for not only letters of medical necessity, but they're asking for support"}, {"path": "tedlium_4972.wav", "duration": 12.72, "text": "Needless to say, declining reimbursements are the bane of the diagnostics industry and a continuing issue for the medical profession if medical practitioners are to continue diagnosing, treating and monitoring patients."}, {"path": "tedlium_4973.wav", "duration": 12.72, "text": "The impact from lower commodity prices was largely offset by higher production, particularly for European Gas, as we benefited from the ramp up of Corrib, which continues to outperform our expectations."}, {"path": "tedlium_4974.wav", "duration": 12.72, "text": "It also means maintaining our commitment to invest in sales and route-to-market capabilities so that we're well positioned to capitalize on the long-term growth potential in emerging markets."}, {"path": "tedlium_4975.wav", "duration": 12.72, "text": "We look forward to sharing more about our exciting work in this area at the medical meetings throughout 2018 and 2019. With that, I want to thank you very much for your attention,"}, {"path": "tedlium_4976.wav", "duration": 12.72, "text": "for the remainder of the year. Robert will then follow with commentary on the operational performance and revenue environment. And then after we hear from those comments, we will open the call for analyst questions and lastly, questions from the media."}, {"path": "tedlium_4977.wav", "duration": 12.72, "text": "There has been a technology shift in the segment, where the new vessels are significantly more efficient than the previous generation vessels. And in a logistics operation, like the container market, efficiency is everything."}, {"path": "tedlium_4978.wav", "duration": 12.72, "text": "Our first priority during these disasters was, of course, the safety and well-being of our associates and the affected communities, and we're happy to share that all of our associates are safe even though some of them suffered material losses."}, {"path": "tedlium_4979.wav", "duration": 12.72, "text": "given what we talked about in terms of where we expect the first quarter closings to be. So given the first quarter start, we'll see a little bit more leverage in the back end. But overall, for the year, we think we'll be"}, {"path": "tedlium_4980.wav", "duration": 12.72, "text": "one might think that what would influence that number for GM would be that they probably have more prime. And so the cars are newer but not so new that you're having a sort of a drive off problem."}, {"path": "tedlium_4981.wav", "duration": 12.72, "text": "we signed an agreement to purchase the assets of Tennessee RV Supercenter. We expect the acquisition to close before the end of the calendar year. This dealership will be branded Lazydays of Knoxville after the close."}, {"path": "tedlium_4982.wav", "duration": 12.72, "text": "And then there is a set of -- beside the unusual items, there's a set of professional fees, legal fees, other operating expenses that we are, as I said in my comments, scouring now and really trying to impact as fast as we can."}, {"path": "tedlium_4983.wav", "duration": 12.72, "text": "wherever they are. And then I'll wrap up my remarks on Page 9 with some operational developments that have a direct impact on growth for us. And I'll start with just a bit more color on Liberty 3.0. And I said before,"}, {"path": "tedlium_4984.wav", "duration": 12.72, "text": "We remain committed to maintaining a strong balance sheet, currently with equity at 57% of total capital, which is stronger than the 53% level we're at the same time last year."}, {"path": "tedlium_4985.wav", "duration": 12.72, "text": "On Slide 12, we show the overall allowances covering our book with a more moderate increase in coverage levels. The walk of loan allowances from stages 1 to 3 for the quarter illustrates"}, {"path": "tedlium_4986.wav", "duration": 12.72, "text": "And on that Tuesday and Wednesday, comparatively, we saw an increase in all of the numbers we were looking to see an increase in. We saw an increase in the average order size, we saw an increase in the number of orders,"}, {"path": "tedlium_4987.wav", "duration": 12.72, "text": "Let me just, from a high level. Most of the product sales will happen in November and December as we did previews in October that were positive. But those were only really for our top leaders. So"}, {"path": "tedlium_4988.wav", "duration": 12.72, "text": "Within power generation, we continue to face challenges related to demand with Industrial gas turbine market as well as a drop-off in volume tied to renewables penetration and greater energy efficiency."}, {"path": "tedlium_4989.wav", "duration": 12.72, "text": "We believe the project will be well positioned to supply LNG customers in markets around the world. ExxonMobil will lead the construction and operations of the planned onshore facilities,"}, {"path": "tedlium_4990.wav", "duration": 12.72, "text": "Going forward, we remain well positioned to continue expanding our presence in the areas of housing where our capital can be put to work most accretively. Following up on our most recent multifamily B-Piece investment,"}, {"path": "tedlium_4991.wav", "duration": 12.72, "text": "Stripping these out, the Dutch revenue trend was in line with last quarter and adjusted EBITDA relatively flat. Jan Kees will elaborate further on this later in the presentation."}, {"path": "tedlium_4992.wav", "duration": 12.72, "text": "While the equity markets have beaten up the transportation sector with a broad brush, carriers remain profitable, and we believe replacing old trailer equipment provides a solid return on investment."}, {"path": "tedlium_4993.wav", "duration": 12.72, "text": "Moving to Page -- to Slide 17. As we have already noted, last year, we noted that we were coming off the back of a significant period of expansion for a number of customers,"}, {"path": "tedlium_4994.wav", "duration": 12.72, "text": "In addition, this technology is anticipated to reduce procedure time and the need for multiple procedures, and it does not require any additional external capital equipment,"}, {"path": "tedlium_4995.wav", "duration": 12.72, "text": "Any further share repurchases would have an impact on how quickly the leverage would be reduced, but we do not anticipate a share repurchase would be done at the expense of increasing our leverage ratio longer term."}, {"path": "tedlium_4996.wav", "duration": 12.72, "text": "On the second question regarding new acquisitions, all of these businesses continue to grow very strongly. So I think that new governance model that we had envisaged, where we leave them a certain degree of autonomy"}, {"path": "tedlium_4997.wav", "duration": 12.72, "text": "and its ability to provide us with the expertise around managing from a public market -- publicly listed entity, private market investments."}, {"path": "tedlium_4998.wav", "duration": 12.72, "text": "We've gone through -- the industry has gone through a very large number of repricings for all the reasons that I've outlined earlier in terms of the pressure that clients are under."}, {"path": "tedlium_4999.wav", "duration": 12.72, "text": "Furthermore, as the company's asset base continues to develop, we forecast that our base level corporate decline shallows and assuming a maintenance capital scenario in 2020 similar to this year,"}, {"path": "tedlium_5000.wav", "duration": 12.72, "text": "This is consistent with softening demand or inventory destocking. I should note that the last week of our fiscal March, which was the first week of calendar April,"}, {"path": "tedlium_5001.wav", "duration": 12.72, "text": "that, as I said in the prepared remarks, not only do we get the benefit of those big projects, but we get the benefit of all the small projects and the construction activity that occurs around those areas of development."}, {"path": "tedlium_5002.wav", "duration": 12.72, "text": "led that provided so much free media. It's hard to imagine that there's anybody out there who would be as shocking and also has decades of being famous."}, {"path": "tedlium_5003.wav", "duration": 12.72, "text": "There were multiple reasons for this development also in Q4, which we will elaborate later and which have also made us to think about the new program that is needed in the business."}, {"path": "tedlium_5004.wav", "duration": 12.72, "text": "the plan kind of called for that you would expect some kind of flattening over the next couple of quarters. So, I just want to make sure that we're thinking about the cadence right particularly"}, {"path": "tedlium_5005.wav", "duration": 12.72, "text": "how you choose what brands you want? Well, I mean, you try to get a shortlist that's in categories where brand plays an important role, that it's relevant to not only the business we're in today but where we want to take the business."}, {"path": "tedlium_5006.wav", "duration": 12.72, "text": "could you just simply explain what exactly is the allowance rate? Is that the balance sheet item allowance for doubtful accounts divided by your receivables balance?"}, {"path": "tedlium_5007.wav", "duration": 12.72, "text": "of talent of this company tremendously all the way throughout. And also, our financial situation is very good right now. And so we can invest in the future"}, {"path": "tedlium_5008.wav", "duration": 12.72, "text": "that Oaktree is not about to lower our quality standards, our credit standards and incrementally take on a whole lot more risk in order to achieve returns that are very difficult in this environment."}, {"path": "tedlium_5009.wav", "duration": 12.72, "text": "as we would move forward and expect to look into both the acquisition of loans and the retention of loans through securitization, that those sorts of investments do qualify."}, {"path": "tedlium_5010.wav", "duration": 12.72, "text": "He and I are fully aligned on our vision for Univar's future and how we will get there. David is the perfect person to partner with me to accelerate profitable growth around the world."}, {"path": "tedlium_5011.wav", "duration": 12.72, "text": "provide a little more detail on the Safe Schools. You mentioned state priorities are reflecting the need for this, but are you seeing anything in budgeting specifically? Or is it still kind of just more commentary?"}, {"path": "tedlium_5012.wav", "duration": 12.7199375, "text": "our outlook for the rest of the year. We'll cover some specifics on our 2 platforms, followed by selected highlights from our financial statements, our liquidity and our cash flow. Afterwards, we'll open up the call for your questions."}, {"path": "tedlium_5013.wav", "duration": 12.6900625, "text": "our peers. We're exposed to more of those end markets and device types. And the guidance we have reflects our view of the world and the conversations we're having"}, {"path": "tedlium_5014.wav", "duration": 12.69, "text": "I will outline for you how this is lining up for a beautiful choreography of releasing 3 key sets of top line data in quick succession starting in the coming year."}, {"path": "tedlium_5015.wav", "duration": 12.69, "text": "will all be automated. We should be able to do all of our positive pay for all of our checking accounts, which will help with any type of fraud. I mean, it's an amazing transition when you go from"}, {"path": "tedlium_5016.wav", "duration": 12.69, "text": "The transaction, which we expect will close during our fiscal Q3, includes a license fee as well as the sale of related inventory and manufacturing equipment at net book value,"}, {"path": "tedlium_5017.wav", "duration": 12.69, "text": "processes and procedures that we have put in place in conjunction with the reorg that we announced at the beginning of October of last year. And we reviewed these with you all before in terms of"}, {"path": "tedlium_5018.wav", "duration": 12.69, "text": "explicit. And you will see that in all 3 business sectors, we have a clearly over-proportionate impact on the bottom line compared to the top line effect, which by nature, drives down the margin."}, {"path": "tedlium_5019.wav", "duration": 12.69, "text": "for continued investment by our -- what we believe to be one of the leading investment teams on the ground there, to continue deploying capital in that region of the world, as it obviously, continues to grow much faster than the developed markets."}, {"path": "tedlium_5020.wav", "duration": 12.69, "text": "you have any strategic idea or meaningfulness to do them separately in Japan and overseas, please tell us what are the background reasons, if any?"}, {"path": "tedlium_5021.wav", "duration": 12.69, "text": "Also on claims, as Martin mentioned, the reserves have continued to develop favorably in 2015, and our consistent approach to setting those reserves means that we finish the"}, {"path": "tedlium_5022.wav", "duration": 12.69, "text": "In SME, we focused fully on our KPN ONE product and we are seeing steady progress in large enterprise and corporate due to the introduction of a number of focused propositions."}, {"path": "tedlium_5023.wav", "duration": 12.69, "text": "on both the labor and food cost lines? I'm just curious how quickly we can see those benefits. Jack, if there's anything you can tell us about the cadence in which you'd expect to see some of those initiatives pay some dividends for you guys."}, {"path": "tedlium_5024.wav", "duration": 12.69, "text": "partially offset by higher EBITDA from the unconsolidated affiliates due to placing TransPecos and Comanche Trail into service and higher natural gas sales from pipeline optimization activities."}, {"path": "tedlium_5025.wav", "duration": 12.69, "text": "especially the long-term contracts are very often international contracts and there usually the competition is not as strong as we see some of our domestic German business."}, {"path": "tedlium_5026.wav", "duration": 12.69, "text": "We plan to leverage new tools to make our meetings more integrated with our vision for the future, better utilizing technology to simplify the check-in process and finding other ways to support our team"}, {"path": "tedlium_5027.wav", "duration": 12.69, "text": "I will also like to thank our loyal employees, customers, suppliers and stockholders for their continued support and commitment, which has helped shape Reliance into the strong company that it is today."}, {"path": "tedlium_5028.wav", "duration": 12.69, "text": "which has resumed its organic growth and delivered strong results. We continue to assess our international portfolio and seek opportunities to grow in some areas and to potentially contract in others,"}, {"path": "tedlium_5029.wav", "duration": 12.69, "text": "with all of you and understand your desire to see that information. I think in this particular instance, we would likely give the next update after the third patient has been dosed to inform everyone of that."}, {"path": "tedlium_5030.wav", "duration": 12.69, "text": "our learning experience platform in the middle of last year. We then rolled out our Content Anytime subscription at the end of last year. We've seen really good demand"}, {"path": "tedlium_5031.wav", "duration": 12.69, "text": "and with further clarity on the sparsentan pathway, we are prioritizing potential transactions to build a sustainable portfolio to serve rare disease patients. I'll now turn the call over to Laura to give you the financial update. Laura?"}, {"path": "tedlium_5032.wav", "duration": 12.69, "text": "that really the technology has advanced to the point within the last 5 years, so that Trimble 5 to 10 years ago was talking in a construction firm to the equipment manager"}, {"path": "tedlium_5033.wav", "duration": 12.69, "text": "to Fisk Electric, Becho drilling and Desert Mechanical with their appropriate margins. So these jobs have a profound impact on our operation"}, {"path": "tedlium_5034.wav", "duration": 12.69, "text": "which offered liquidity to large share of shareholders and was an effect -- an efficient method of continuing the share repurchase program that we have had in place during our time as a public company."}, {"path": "tedlium_5035.wav", "duration": 12.69, "text": "Our significantly expanded customer base will provide scale and more revenue opportunities for our digital courseware and LoudCloud services, including highly demanded analytics."}, {"path": "tedlium_5036.wav", "duration": 12.69, "text": "I would tell you as you look out over time, absent any new technologies, those numbers start coming down because we pretty much saturated the market with things like LED lighting and more efficient appliances and things like that. So"}, {"path": "tedlium_5037.wav", "duration": 12.69, "text": "to allow us to take on whatever orders come at us, have the capacity to deal with it and not be sitting on excess capacity when we don't need it or don't want it. So"}, {"path": "tedlium_5038.wav", "duration": 12.69, "text": "We continue to be pleased with the level of free cash flow generation from the alternatives platform. And as we have explained on prior calls, we generate returns from the infrastructure platform in 2 ways."}, {"path": "tedlium_5039.wav", "duration": 12.69, "text": "like Dallas, for example, where we were trying to really grow explosively and we may have decided to be slightly more aggressive in a vacuum. As you can imagine, when you have"}, {"path": "tedlium_5040.wav", "duration": 12.69, "text": "thought and questions about some of our business from those listening in. So maybe Jord we can open the phone lines up and answer any additional questions that investors"}, {"path": "tedlium_5041.wav", "duration": 12.69, "text": "Once we better understand the impacts of our go-forward services strategy, we'll have a clear insight into 2018 revenue trends and will communicate that detail with you as soon as possible in the coming months."}, {"path": "tedlium_5042.wav", "duration": 12.69, "text": "Before we begin, let me remind you that certain statements made on this call may constitute forward-looking statements, which are subject to risks and uncertainties that could cause actual results to differ from those that the company expects."}, {"path": "tedlium_5043.wav", "duration": 12.69, "text": "I'm also pleased to announce some green shoots in our joint venture in East Africa. We now have a dedicated pioneer team on the ground working with us to develop the beverage category in the region."}, {"path": "tedlium_5044.wav", "duration": 12.69, "text": "This is a great achievement for our young company. It reflects the culture of collaboration and mutual respect that we embody in our workplace and that we project in our dealings with customers."}, {"path": "tedlium_5045.wav", "duration": 12.69, "text": "what the price is on the date that the options are granted. I would essentially say that because of the annual grant, the exercise price will be lower than it was last year."}, {"path": "tedlium_5046.wav", "duration": 12.69, "text": "with a full solution to the problems that they're facing. And in my past experience, both at Premier and in McKesson, many of these issues are the same ones that they've been dealing with for many years."}, {"path": "tedlium_5047.wav", "duration": 12.69, "text": "So as we look at the export, obviously, the netbacks are extremely challenging right now, and we're going to be disciplined with respect to how we look at those. We do have"}, {"path": "tedlium_5048.wav", "duration": 12.69, "text": "So I would kind of label this as periodic business as usual, meaning that periodically, we look at our requirements and we're continually raising the bar as we go forward."}, {"path": "tedlium_5049.wav", "duration": 12.69, "text": "Through an expected larger investable capital base across the Solar platform, SUNS will be more of a full solution provider, which should result in greater deal flow for Solar Senior and our first lien loan program."}, {"path": "tedlium_5050.wav", "duration": 12.69, "text": "And as you can see at the bottom of this slide, the actual charter revenues were significantly higher than the backlog going into the quarter, illustrating the upside potential from profit share arrangements and spot trading vessels."}, {"path": "tedlium_5051.wav", "duration": 12.69, "text": "and building up in inventory prior to final inspection and approval that will give us the ability to expand our service levels"}, {"path": "tedlium_5052.wav", "duration": 12.69, "text": "that will determine whether the start contains in addition to the constraints that you talked about. And just those number of variables, I don't know that it's prudent for me at this point"}, {"path": "tedlium_5053.wav", "duration": 12.69, "text": "The execution of these actions was accelerated into the first quarter, and the financial benefits recognized earlier in the year than were originally contemplated."}, {"path": "tedlium_5054.wav", "duration": 12.69, "text": "We see it in a greater number of customers entering our active tradings here, an increase in new customers trading options, and ultimately, in our strong growth in DARTs and our outsized improvement in derivatives trades,"}, {"path": "tedlium_5055.wav", "duration": 12.69, "text": "also higher conversion rates, in fact, based on the higher proficiency and great engagement of our store associates, but also the fact that customers have done more research before they go to the stores. So you see"}, {"path": "tedlium_5056.wav", "duration": 12.69, "text": "I did yesterday, for the first time, see a survey that some bankers were starting to get a little bit concerned about -- as they look into calendar 2020, starting to get concerned about the"}, {"path": "tedlium_5057.wav", "duration": 12.69, "text": "aren't targeting big allocations to cash because even though cash returns have come up, they're still significantly below longer term, either equity or fixed income assets."}, {"path": "tedlium_5058.wav", "duration": 12.69, "text": "foundation of this is to put idle cash to work and to eliminate cash drag, even if it's temporary, as rates rise, does that start to just become a"}, {"path": "tedlium_5059.wav", "duration": 12.69, "text": "The broad-based growth across the business and the 3 focus areas demonstrates the consistent and effective execution of our strategy through our 6 execution priorities."}, {"path": "tedlium_5060.wav", "duration": 12.69, "text": "These include improving store performance, strengthening our value proposition to our customers, ensuring responsible compliant sourcing and expanding the business."}, {"path": "tedlium_5061.wav", "duration": 12.69, "text": "For this reason, we cofounded and operate the Helios LPG Pool which now includes 29 ships. We have and will continue to explore growth opportunities."}, {"path": "tedlium_5062.wav", "duration": 12.69, "text": "my revenues come down. The beauty of all that is, is that's our model of alignment, and so our patient costs go down, our client costs go down and our shareholder value goes up, and that's what we're all about."}, {"path": "tedlium_5063.wav", "duration": 12.69, "text": "Our guidance assumes a slight increase in retention and an increase in graduates between years of approximately 13%. The significant retention gains we have seen in recent years and the continued shift to a higher percentage of graduate students"}, {"path": "tedlium_5064.wav", "duration": 12.69, "text": "as part of our merger, and as a result, the entire purchase price allocation as well as all the expenses of the merger have been recorded and fully accounted for in our financials."}, {"path": "tedlium_5065.wav", "duration": 12.69, "text": "because there is basis with weakness in the West, the farmer has a significant amount of corn still to market, the commercial needs to make space for a big harvest coming in corn and beans. And without a Chinese program,"}, {"path": "tedlium_5066.wav", "duration": 12.69, "text": "We have a responsibility to our consumers and our shareholders to make sure that we have the capabilities to perform. And that's exactly what we've been focused on."}, {"path": "tedlium_5067.wav", "duration": 12.69, "text": "I know it's hard to predict this sort of thing in the past when there's been destocking. Yes, usually that's about a quarter. What makes you comfortable that this Asian beverage situation is"}, {"path": "tedlium_5068.wav", "duration": 12.69, "text": "I think it has given us the ability to grow our sales even in a very tough market. I can turn it over to Diego to see if he wants to add anything. He's on the phone and talk about the ag business. Okay."}, {"path": "tedlium_5069.wav", "duration": 12.69, "text": "Maybe just help us understand really what drives your business there and maybe even broaden it out to Europe because actually thought the European performance was a little bit better given some of the macro scares?"}, {"path": "tedlium_5070.wav", "duration": 12.69, "text": "It is a good example of how successful local innovations can be picked up and rolled out globally. In fact, these innovations like Cif are now in 15 markets or more."}, {"path": "tedlium_5071.wav", "duration": 12.69, "text": "a bit slower because the amount that we already repurchased is enough to fund the company in the long run."}, {"path": "tedlium_5072.wav", "duration": 12.69, "text": "The overall business climate continues to be stable across our European footprint, with ag equipment demand fueled by an aging machine population, available financing and recent favorable yields."}, {"path": "tedlium_5073.wav", "duration": 12.69, "text": "in July, which provides a new reticulation line from the center of the country up to where the Lake Zone where our gold mines are, we should see"}, {"path": "tedlium_5074.wav", "duration": 12.69, "text": "how doable it is. So I think you'll find that all of us really feel very good about where we're going, how we're going to get this done and that it's just a very solid opportunity for us."}, {"path": "tedlium_5075.wav", "duration": 12.69, "text": "automotive customers. And if we were to stay in this segment, we would need to invest heavily into new generation of wires that are needed for the automotive sector."}, {"path": "tedlium_5076.wav", "duration": 12.69, "text": "As you know, we have a unit in Ireland called EirGen, which is especially equipped to make very potent chemicals that need to be handled in special ways."}, {"path": "tedlium_5077.wav", "duration": 12.69, "text": "There'll be always a bit of ramp-up as we go. So the first, call it, the first part of that contract will be in that ramp-up phase. Then it'll run relatively steady state for a good chunk of it and then ramp down at the end."}, {"path": "tedlium_5078.wav", "duration": 12.69, "text": "The DRIP program enables shareholders to acquire additional subordinated voting shares from Cara by reinvesting all of their cash dividends. The shares purchased will be issued at a discount from the market price of those shares."}, {"path": "tedlium_5079.wav", "duration": 12.69, "text": "closed them on January 1. There's a couple of main drivers in the guidance. First of all, we've made some comments during the quarter that January got off to a slow start."}, {"path": "tedlium_5080.wav", "duration": 12.69, "text": "The conference is now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_5081.wav", "duration": 12.69, "text": "The combination of these improvements will enable us to be more active going forward, and we are in a much better position for future growth, both organically as well as through acquisitions."}, {"path": "tedlium_5082.wav", "duration": 12.69, "text": "However, we feel very confident that we have high efficiency and lower costs than some of the current public providers of the same services."}, {"path": "tedlium_5083.wav", "duration": 12.69, "text": "This work is part of our continued efforts to drive operational efficiencies throughout our company and realize expense reductions related to staff, office space, compensation and benefits."}, {"path": "tedlium_5084.wav", "duration": 12.69, "text": "you guys know this. I mean, the ERCOT weather can change on a dime. And so we want to -- I think it's prudent for us not to do anything yet on full year guidance, and we'll have a lot to talk about at the Q3 call around that."}, {"path": "tedlium_5085.wav", "duration": 12.69, "text": "Thank you. Fiscal 2016 was a rewarding year in which the hard work, difficult choices and strategic decision-making of the past few years has lead to a significant improvement in our financial performance"}, {"path": "tedlium_5086.wav", "duration": 12.69, "text": "Massachusetts and Ohio are the only 2 of our top 10 states by revenue scheduled to put their TPL business out to bid this year, compared to 5 of the top 10 last year."}, {"path": "tedlium_5087.wav", "duration": 12.6899375, "text": "Customers are signing up for our Early Adopter Program for Blackbaud Cloud Solution for Faith Communities and the Church Management components, which will be available next year for general availability."}, {"path": "tedlium_5088.wav", "duration": 12.66, "text": "There are some areas where we will work closely together to support our operations, and we are confident we will continue to realize additional synergies over time."}, {"path": "tedlium_5089.wav", "duration": 12.66, "text": "within the storage business that we need to take better advantage of, particularly in the enterprise and the cloud space. And we have the knowledge, skills and ability to do that."}, {"path": "tedlium_5090.wav", "duration": 12.66, "text": "we can sell the assets at the right price, redeploy the capital appropriately. We're obviously sitting on a fair amount of cash currently and so the balance and timing of that is something that we're taking into consideration as we look at how to"}, {"path": "tedlium_5091.wav", "duration": 12.66, "text": "certain clients that want to just write a check and put the case behind them, and don't necessarily feel at this time a subscription is. So it is a little bit more difficult to know in any 90-day period"}, {"path": "tedlium_5092.wav", "duration": 12.66, "text": "This kind of momentum in revenue growth was also reflected in the segment income, where the income growth was larger than the revenue"}, {"path": "tedlium_5093.wav", "duration": 12.66, "text": "in the long run and this is really what makes us get up in the morning, and this is definitely the course that we have set for our company. Thank you very much. If you have questions, we will be"}, {"path": "tedlium_5094.wav", "duration": 12.66, "text": "potential have some pressure as we get into the colder months but -- outside of that. And was there -- I mean, have you seen, I guess, there was a big election issue in Ontario, but have you seen any change in utilities cost"}, {"path": "tedlium_5095.wav", "duration": 12.66, "text": "beyond the major OEM that we're dealing with. So by far, the hottest market in the world for fuel cells is China. And a couple of facts on that market of what they've targeted is"}, {"path": "tedlium_5096.wav", "duration": 12.66, "text": "than they would have before. In fact, there's an interesting incident from one of our hubs that told us that, recently, that they used to have 4 people in total doing this kind of compliance work manually."}, {"path": "tedlium_5097.wav", "duration": 12.66, "text": "With this dividend increase the board wants to convey a positive outlook regarding the resolution of some of the last remaining waivers."}, {"path": "tedlium_5098.wav", "duration": 12.66, "text": "We needed, however, an improved level of engagement to proactively drive value. The introduction of the TriMas Business Model enabled rapid progress against this effort,"}, {"path": "tedlium_5099.wav", "duration": 12.66, "text": "Shareholders equity has fallen during the year mainly due to the reduction in the market value of the financial investment portfolio and the depreciation of our main currencies against the euro,"}, {"path": "tedlium_5100.wav", "duration": 12.66, "text": "I think there's no question that they're going to have to constitute an infrastructure bill in Washington because the Democrats and Republicans, it seems to be the only thing they agree on."}, {"path": "tedlium_5101.wav", "duration": 12.66, "text": "as well as higher employee-related expenses associated with increased headcount necessary to support the company's growth, partially offset by lower platform related expenses."}, {"path": "tedlium_5102.wav", "duration": 12.66, "text": "We're in the mix. We're constantly looking for them. And we get phone calls from time to time to focus on very, very large transactions. But we did not have a large transaction in Q1. As it relates to the confidence on Fannie coming back into the market,"}, {"path": "tedlium_5103.wav", "duration": 12.66, "text": "to retain a 5% buffer in terms of our equity, in terms of our talks or the analysis that we're doing right now, if this were to materialize."}, {"path": "tedlium_5104.wav", "duration": 12.66, "text": "My objective is to protect the profitability of the company. And you will see in the coming days or months that, yes, we are losing some, but we are gaining some."}, {"path": "tedlium_5105.wav", "duration": 12.66, "text": "So we're continuing to work on additional cost savings projects to close the gap to 110. These additional projects will likely include actions to rationalize excess facilities"}, {"path": "tedlium_5106.wav", "duration": 12.66, "text": "We are also making good progress on our flexible robotics platform, first targeted to address the acute need in diagnosis of lung cancer, one of the most commonly diagnosed forms of cancer in the world and for which early detection is important."}, {"path": "tedlium_5107.wav", "duration": 12.66, "text": "We also saw trends in our full-price retail stores dramatically improve in the first quarter and so far into the second quarter. We attribute this to better management of our product offering, promotions and marketing."}, {"path": "tedlium_5108.wav", "duration": 12.66, "text": "which was the litmus test we wanted to use to see if the restructuring was successful, and we're now getting back into a growth phase. So overall, pretty good showing here of our retail business."}, {"path": "tedlium_5109.wav", "duration": 12.66, "text": "much better processes in place than we certainly had 2 years ago as it relates to managing our working capital. It is the key emphasis for the business, and we also operate under a"}, {"path": "tedlium_5110.wav", "duration": 12.66, "text": "As we have stated on previous calls, we believe our non-Harvey market performance is the best indicator to use when analyzing our retail business during the quarters impacted by the hurricane."}, {"path": "tedlium_5111.wav", "duration": 12.66, "text": "right? We're in -- while the ramp is not as robust this season as we and our clients thought it would be, there still is some in there. There's still some work to add talent in there by geo."}, {"path": "tedlium_5112.wav", "duration": 12.66, "text": "in a time marked by significant external headwinds. Our result for the first half demonstrates a returning predictability to our financial and operational result and reflects a stabilizing"}, {"path": "tedlium_5113.wav", "duration": 12.66, "text": "To enhance governance, we'll implement responses to our corporate governance code and enhance our director monitoring functions. This will increase accountability for our group corporate value."}, {"path": "tedlium_5114.wav", "duration": 12.66, "text": "On the 48-volt front, the deployment of our products in data center is expected to be delayed beyond calendar 2017 due to a change in requirements for the targeted lead project."}, {"path": "tedlium_5115.wav", "duration": 12.66, "text": "and not really being affected by the fact that somebody has 2 or 3 product lines that they're selling together to a customer. That's been at least my experience. So I don't think that's going to have a"}, {"path": "tedlium_5116.wav", "duration": 12.66, "text": "We manage and monitor each component to ensure that we are developing an insurance book in a business model that will deliver sustainable midteens returns over the long term."}, {"path": "tedlium_5117.wav", "duration": 12.66, "text": "Although we've now restored the majority of our affected systems, in a few cases, parts of our supply chain have still not fully recovered, and we anticipate some impacts in our third quarter."}, {"path": "tedlium_5118.wav", "duration": 12.66, "text": "We have the flexibility to direct the resulting surplus cash to further debt reduction, expand the capital program, make value-adding acquisitions or potentially to increase the dividend under the right circumstances."}, {"path": "tedlium_5119.wav", "duration": 12.66, "text": "Thanks, Mark. Before we open the call to questions, let me close by saying that we continue to manage our business operations well, and we remain excited about the strength we see in construction activity and in rental demand."}, {"path": "tedlium_5120.wav", "duration": 12.66, "text": "Before we begin, we must state that today's call does contain forward-looking statements, including statements concerning future revenues and costs, forecast of capacity traffic, load factor, fleet plans and fuel prices."}, {"path": "tedlium_5121.wav", "duration": 12.66, "text": "And then I wondered, Devin, can you give us any perspective on what you guys see in terms of inventory sitting in the distribution channels right now?"}, {"path": "tedlium_5122.wav", "duration": 12.66, "text": "and around 70% of which are over 20 years old. With high levels of homeownership and the strong emotional connection to the home, we continue to see that our consumers invest in brands and products they trust,"}, {"path": "tedlium_5123.wav", "duration": 12.66, "text": "excluding the impact of On Time, the business -- the broader business has really performed well in this kind of crazy economic environment in which we're operating in."}, {"path": "tedlium_5124.wav", "duration": 12.66, "text": "Of course, it always looks at what the seller is looking for. And we want to make sure that it's appropriate for us what the seller is requiring versus just the idea that we can do an acquisition."}, {"path": "tedlium_5125.wav", "duration": 12.66, "text": "We look forward to seeing the board gaining momentum in the exercise of their legal mandate of instilling fiscal discipline, while providing a path towards a consensual resolution of Puerto Rico's economic and fiscal challenges."}, {"path": "tedlium_5126.wav", "duration": 12.66, "text": "the outline box demonstrates the amount of capital that would be required for an increase. But it's important to note, any increase in the premium reduces the amount of the increase in the capital. Because"}, {"path": "tedlium_5127.wav", "duration": 12.66, "text": "Definitions and reconciliations of differences between GAAP and non-GAAP financial measures are provided in Appendix A of both the earnings release and the prepared remarks."}, {"path": "tedlium_5128.wav", "duration": 12.66, "text": "Brazil is a good example of how we are using formats as an NRM tool. Small formats enable more accessible price points and extend our access to new consumer occasions."}, {"path": "tedlium_5129.wav", "duration": 12.66, "text": "compared to the control arm. Secondary endpoints include an OS comparison of the doublet to the control arm and the triplet to the doublet. The study includes a 30-patient safety lead-in to"}, {"path": "tedlium_5130.wav", "duration": 12.66, "text": "Additionally, there's more opportunity to optimize our logistics and supply chain to deliver stronger bottom line performance and a better end-to-end shopping experience. We have solid plans and execution paths for both."}, {"path": "tedlium_5131.wav", "duration": 12.66, "text": "We're in the middle of bid season. And in March, we saw volume decline in more pricing pressure. So we're trying to be realistic about our expectations than we'll have more insight when we report on the second quarter in July."}, {"path": "tedlium_5132.wav", "duration": 12.66, "text": "Before we start, I'll remind you that our remarks include forward-looking statements. There are a number of risk factors that could cause Super Micro's future results to differ materially from our expectations."}, {"path": "tedlium_5133.wav", "duration": 12.66, "text": "Furthermore, as our customers transition to larger wind blades under existing contracts, the revenue per line will increase, providing additional revenue growth opportunities from existing facilities."}, {"path": "tedlium_5134.wav", "duration": 12.66, "text": "This supported demand environment was reflected in our results for the quarter. We were very encouraged by the magnitude and broad-based nature of our sales and order growth this quarter, both of which achieved record levels for our business."}, {"path": "tedlium_5135.wav", "duration": 12.66, "text": "Ted is a highly accomplished business leader whose 30 years of retail experience is a strong complement to the expertise that is currently represented on our board."}, {"path": "tedlium_5136.wav", "duration": 12.66, "text": "So what we don't want to do is, we don't want to chase volume. I think what we're mostly focused on is being really, really efficient. So some of the metrics we'll talk about is capital and turnover"}, {"path": "tedlium_5137.wav", "duration": 12.66, "text": "we believe that when they need more capacity, they will buy newer generation equipments. So some of that's already happening. We think that there will be a replacement cycle created"}, {"path": "tedlium_5138.wav", "duration": 12.66, "text": "Regarding the economics of the acquisition, Thad has already discussed how we redeploy capital from wholesale generation into retail, tripling the EBITDA on a similar amount of net capital deployed."}, {"path": "tedlium_5139.wav", "duration": 12.66, "text": "Unfortunately, that load growth was fully eclipsed this year by a remarkable contribution from wind during the peak hour, primarily as a result of windier conditions as well as, to a lesser extent, new capacity."}, {"path": "tedlium_5140.wav", "duration": 12.66, "text": "So in the first quarter, it remains unchanged. Similar amount is going to be added on and by the end of the year, you wish that it will go away, that's the expectation?"}, {"path": "tedlium_5141.wav", "duration": 12.66, "text": "The Foodservice business was further impacted by the sale of the Trenton facility. Excluding the hurricane and Trenton impacts, Foodservice net sales would have been approximately flat versus a year ago."}, {"path": "tedlium_5142.wav", "duration": 12.66, "text": "we positioned ourselves as a company that understands the space really well and then understands how to leverage the data that this company was generating is what helped us stand apart."}, {"path": "tedlium_5143.wav", "duration": 12.66, "text": "I would rather have you assume that we will not have a very significant margin growth. There may be some variation in the margins because"}, {"path": "tedlium_5144.wav", "duration": 12.66, "text": "We are going to avoid any downgrades because we think an investment grade gives so much stability and additional resilience to this organization. Certainly. Yes?"}, {"path": "tedlium_5145.wav", "duration": 12.66, "text": "which gives a certain confidence because we have the orders on hand. But of course we have to do a good job now to make sure that customers are happy and that we can deliver on time."}, {"path": "tedlium_5146.wav", "duration": 12.66, "text": "to specific parts of the market and getting access to that. And actually, saving overheads because we don't need to send physical sales forces there but it's not a standalone business. That's why we would rather say the"}, {"path": "tedlium_5147.wav", "duration": 12.66, "text": "At lower cost, we have already created more than 600 pieces of video content. It's currently an output of 20 piece per day and will get beyond 40 on a daily basis by the end of the year."}, {"path": "tedlium_5148.wav", "duration": 12.66, "text": "Second quarter noninterest income was largely in line with expectations although changes in mix are expected other -- over the remainder of the year as certain income streams are subject to seasonal variance."}, {"path": "tedlium_5149.wav", "duration": 12.66, "text": "We've moderated our guidance for it on capital. We think the disposable of those who do have it will continue. And we will also be a little bit more flexible on evaluations and for those thought leaders who wish to start programs"}, {"path": "tedlium_5150.wav", "duration": 12.66, "text": "relative to maintaining some level of dividend, and then also how you contemplate sort of debt repayment over that period of time as well. I guess, I just want to kind of understand how you guys balance all of those demands?"}, {"path": "tedlium_5151.wav", "duration": 12.66, "text": "if our country is to continue to grow air travel. And people want to fly, so I think that's -- we need to keep our eye on the ball and worry less about some of the other politicking that's going on. And"}, {"path": "tedlium_5152.wav", "duration": 12.66, "text": "Like many Gray stations, each of these new stations can also boast that it has been the most-watched television station in its respective market throughout all of its weekday local news time slots."}, {"path": "tedlium_5153.wav", "duration": 12.66, "text": "and these stations already are integrating nicely with our Anchorage television station, KTUU, which is the dominant television provider for nearly the entire state of Alaska."}, {"path": "tedlium_5154.wav", "duration": 12.66, "text": "of 1995. Our statements may be affected by certain factors, including risks and uncertainties, which are discussed in detail in the company's filings with the Securities and Exchange Commission."}, {"path": "tedlium_5155.wav", "duration": 12.66, "text": "be more of a format of the Seeking Truth-type show. So those are a little bit more in terms of dollars to produce some, but less in terms of the number of titles than we would do with the Yoga practices."}, {"path": "tedlium_5156.wav", "duration": 12.66, "text": "you start to get into the detailed design and execution, you find natural opportunities to do things. I suspect we will have some capacity creep on the unit."}, {"path": "tedlium_5157.wav", "duration": 12.66, "text": "many of the rules haven't changed around ACA, it has been -- some of it has been defanged, and you're getting, I think, the outcome that you would expect if you are taking away"}, {"path": "tedlium_5158.wav", "duration": 12.66, "text": "Being a store manager at The Tile Shop has been and will continue to be one of the most desirable positions in the retail industry for people who want to run their own business and be paid based on their results."}, {"path": "tedlium_5159.wav", "duration": 12.66, "text": "With hindsight, we now believe the increase promotional cadence over the last 4 quarters leading up to the Black Friday holiday weekend likely alienated many of our Pro customers."}, {"path": "tedlium_5160.wav", "duration": 12.66, "text": "While revenues were down, gross profit was comparable between years, as benefits from reduced product cost and a favorable shift in sales mix to higher margin and higher priced products offset the impact from lower sales volumes."}, {"path": "tedlium_5161.wav", "duration": 12.66, "text": "We hope that the information was helpful in gaining an appreciation for our unique and differentiated position in the market and the value that, that brings to our clients. CBIZ also celebrated our 20th anniversary in August."}, {"path": "tedlium_5162.wav", "duration": 12.66, "text": "A portion of that increase was at Omega for some projects that we did for Fort Leonard Wood. But then we also had higher cost at MoGas during the quarter for planned pipeline integrity maintenance work that we did on their system."}, {"path": "tedlium_5163.wav", "duration": 12.66, "text": "in key product lines such as launch vehicles and aero structures, tactical munitions and ammunition, and satellite deliveries and launches. We have a tremendous team, and I'm proud of what they are doing for our customers."}, {"path": "tedlium_5164.wav", "duration": 12.6599375, "text": "accessible textbooks and course materials, including digital content. And through our ability to serve as an academic and social hub on campuses nationwide."}, {"path": "tedlium_5165.wav", "duration": 12.6300625, "text": "All of our frontline teammates, including our bankers, mortgage team, wealth management team and insurance team, contributed to our growth efforts during the quarter, despite various challenges unique to each of their product offerings."}, {"path": "tedlium_5166.wav", "duration": 12.6300625, "text": "As was the case in the third quarter, sales in Japan continue to decline moderately. But when looking at Asia in total, higher revenue in China more than offset the decline in Japan."}, {"path": "tedlium_5167.wav", "duration": 12.63, "text": "weather. The lower hold percent began turning in our favor in the fourth quarter and has continued into June and July. We have been effectively managing the impact of the increased minimum wage."}, {"path": "tedlium_5168.wav", "duration": 12.63, "text": "as you can see again on our last Slide, Slide 10. Our relentless pursuit of advancing clinical development has led us to the threshold of an exciting future."}, {"path": "tedlium_5169.wav", "duration": 12.63, "text": "thus explaining the rapid and durable benefit of reducing proteinuria that we have seen in both animal models and in humans."}, {"path": "tedlium_5170.wav", "duration": 12.63, "text": "we are on a journey to help a large underserved market with our platform technology of clinically proven and minimally invasive solution for disease intervention and vision correction."}, {"path": "tedlium_5171.wav", "duration": 12.63, "text": "then the increase of interest rates should last at least several half years before we have to register something in terms of accounting."}, {"path": "tedlium_5172.wav", "duration": 12.63, "text": "The technology developments allows us to look at fixed and wireless more and more integrated, and are providing us with more options in our rollout decisions."}, {"path": "tedlium_5173.wav", "duration": 12.63, "text": "buying and selling. I think there's a lot of things that company can do to clean up and become more efficient. I think that has to happen in our industry. I think that happens along with"}, {"path": "tedlium_5174.wav", "duration": 12.63, "text": "We became a publicly traded company in July of 2006. We thrived during the recession. We raised capital in 2 days and bought failed banks over a period of several years. It changed our corporation forever."}, {"path": "tedlium_5175.wav", "duration": 12.63, "text": "When you look at the year, we actually continue to grow volume on a same-store basis. So I think we're growing share, and I think convenience continues to grow share versus other channels in the tobacco category."}, {"path": "tedlium_5176.wav", "duration": 12.63, "text": "as more of our new funds are in long-dated, closed-end or permanent capital funds in proprietary strategies like direct lending, structured credit and corporate real estate and infrastructure private equity,"}, {"path": "tedlium_5177.wav", "duration": 12.63, "text": "we're no different than anybody else. April was a very difficult month at retail. With the shift of Easter and everybody participated, and that's why we had such a good first quarter. We had very difficult comp store gains. But the strongest"}, {"path": "tedlium_5178.wav", "duration": 12.63, "text": "Our mission is to help, to offer a platform of weight loss solutions that work for as many people as possible. Our company culture, our employees, and our business model are aligned with this mission."}, {"path": "tedlium_5179.wav", "duration": 12.63, "text": "get up against the wall as far as supply or lack of supply, do they sit and wait until something opens up in downtown or does it start spilling into the suburbs or expanding in other markets?"}, {"path": "tedlium_5180.wav", "duration": 12.63, "text": "And the idea of the portal is that our customers, for anything that we do, will be able to go in and self-implement and buy, if you will, or try any of our other applications."}, {"path": "tedlium_5181.wav", "duration": 12.63, "text": "from a gain on sale of the NexTraq business, partially offset by an impairment charge resulting from changes in our investment arrangement in Masternaut that caused a change in our accounting from the equity to cost method."}, {"path": "tedlium_5182.wav", "duration": 12.63, "text": "Thank you for joining us on the call this afternoon. And before we leave, I wanted to mention that we are in the early stages of planning for an Analyst Day that we expect will take place in mid-September at our Chicago office."}, {"path": "tedlium_5183.wav", "duration": 12.63, "text": "We continue to remain encouraged by the amount of interest that exists for our brands, both domestically and abroad. And we are excited about the pipeline of growth that we are building for our company."}, {"path": "tedlium_5184.wav", "duration": 12.63, "text": "Although we have enjoyed a good relationship with Salt Lake City and it having been an attractive venue for the show for many years, we're finalizing plans to relocate the shows to another host city in a different state."}, {"path": "tedlium_5185.wav", "duration": 12.63, "text": "some stand-alone restaurants and some addition of this iconic automotive-themed brand to travel centers, particularly where we think we can attract significantly more local business than we're seeing today."}, {"path": "tedlium_5186.wav", "duration": 12.63, "text": "As I've mentioned before, while the post offices are not necessarily helpful to sales within -- for the stores in which they are located, particularly for backlist books, which is most of the space comes from,"}, {"path": "tedlium_5187.wav", "duration": 12.63, "text": "we don't think that banks will just sit there and absorb the cost themselves. So we do have to see some repricing. And we are relatively well-positioned because of our -- the breadth and diversity of our businesses."}, {"path": "tedlium_5188.wav", "duration": 12.63, "text": "pursue collateral or other sources of payment -- repayment that we have on that or any other credit that we might have a loss on. So I would say the efforts are ongoing on that front."}, {"path": "tedlium_5189.wav", "duration": 12.63, "text": "memory and foundry spend. And so I think that's a pretty strong statement from an end-market standpoint that the industry is evolving in ways that I think will accrue benefits to us going forward."}, {"path": "tedlium_5190.wav", "duration": 12.63, "text": "And that this team knows how to manage in a way to access that value, keep our trucks moving and grow our logistics business further. And let's not forget, this assembled management team has only been together for 2 full quarters."}, {"path": "tedlium_5191.wav", "duration": 12.63, "text": "over Q3 of 2015. We continue to expect strong growth in this business over the next 12 months from an increase in volume driven by industry demand and market share gains."}, {"path": "tedlium_5192.wav", "duration": 12.63, "text": "we don't believe it's their intention to renew. So I think that's quite clear. And what's also clear is what we've talked about on the actions that we're taking and the alternatives that we've had. I think the specifics of"}, {"path": "tedlium_5193.wav", "duration": 12.63, "text": "No, no. I mean, I think that there was a significant amount of the growth rate that we had seen in dairy and livestock has dissipated if you look at it in terms of the horsepower class."}, {"path": "tedlium_5194.wav", "duration": 12.63, "text": "As these funds mature and generate strong incentive fees near the end of their fund life, we expect that overall incentive fees will moderate and equity earnings will normalize to historical levels."}, {"path": "tedlium_5195.wav", "duration": 12.63, "text": "I don't think we have an answer for that directly. That kind of changes week to week for that company. I think you -- that information should properly come from Seventy Seven at this point."}, {"path": "tedlium_5196.wav", "duration": 12.63, "text": "So that's one thing. The other thing is, we have some tender timing, not lost tenders, but just tender timing that's going to push us towards the back half of the year where we thought we're going to get those earlier in the year."}, {"path": "tedlium_5197.wav", "duration": 12.63, "text": "If you look beyond those items, our underlying results benefited from the strong equity markets, and we continued to show modest underlying growth in revenues and reasonable profit growth across the firm."}, {"path": "tedlium_5198.wav", "duration": 12.63, "text": "reserve assets, but there's no connection between those 2 numbers. The objective over time is to reduce the assets in a wise way that are"}, {"path": "tedlium_5199.wav", "duration": 12.63, "text": "in addition to our own e-commerce business. We believe the completion of this strategy allows our company to become the most comprehensive retailer of outdoor products anywhere."}, {"path": "tedlium_5200.wav", "duration": 12.63, "text": "speaks to the fact that we can do these projects quickly. Clearly, whenever we build a connector, we want to leverage that and win more customers on that connector because then we're talking about 4 weeks and maybe even less than 4 weeks to get them live."}, {"path": "tedlium_5201.wav", "duration": 12.63, "text": "but they will be managed in a different way, which is more in a private equity lifestyle. And then we obviously have some markets in there that will be sold, where we reduce our footprint."}, {"path": "tedlium_5202.wav", "duration": 12.63, "text": "Our results in fiscal '16 were a good set of results, and they delivered on our specific goals for the year. And we gained ground against our performance ambition."}, {"path": "tedlium_5203.wav", "duration": 12.63, "text": "We believe we can grow at this rate for many years to come, and we are extremely excited by the long-term opportunities we have in front of us to create sustainable shareholder value."}, {"path": "tedlium_5204.wav", "duration": 12.63, "text": "because that is not sustainable in the end. It is about finding ways to be more efficient and both our guys we buy from and ourselves to be more efficient and more productive."}, {"path": "tedlium_5205.wav", "duration": 12.63, "text": "and most importantly, for all patients. So regardless of patient or cancer type, we have we believe the best means to choose neoantigens. Our ATLAS technology"}, {"path": "tedlium_5206.wav", "duration": 12.63, "text": "Ultimately, that leads to better experiences for our guests, to better results and to increased value for our shareholders and other stakeholders such as lenders and the communities we operate in."}, {"path": "tedlium_5207.wav", "duration": 12.63, "text": "No matter what shape or form it ultimately takes, we are confident our strategy will continue to drive value for our shareholders, patients, physicians and communities."}, {"path": "tedlium_5208.wav", "duration": 12.63, "text": "We expect that pricing pressures on revenue in 2016 will be offset at least in significant part through sharing of the burden with our China distributor and potentially through volume increases."}, {"path": "tedlium_5209.wav", "duration": 12.63, "text": "I always come back excited after seeing how hard our teams are working on serving our members, which resulted in a good month of December. Let me now spend a few minutes covering a difficult situation in Honduras."}, {"path": "tedlium_5210.wav", "duration": 12.63, "text": "We are further strengthening our international efforts and collaborating with our partners to position the brand for growth in key markets, such as Europe, Middle East, China and Korea."}, {"path": "tedlium_5211.wav", "duration": 12.63, "text": "where you had a lot of idle units just in the summer last year and now it seems like all the modern units are -- have been reactivated and they already talk about building new rigs."}, {"path": "tedlium_5212.wav", "duration": 12.63, "text": "accounts that carry a higher funding value. So that would -- is positive. We expect that to continue moving forward, but it does fluctuate depending on where the growth comes in the deposit balances."}, {"path": "tedlium_5213.wav", "duration": 12.63, "text": "products and services on a net basis as a reduction of the associated digital advertising revenues rather than in operating expenses in our consolidated statements of operations."}, {"path": "tedlium_5214.wav", "duration": 12.63, "text": "We will continue to accelerate our digital transformation journey, augmented by ongoing active cost optimization, as we strive to build a sustainable and profitable business through all cycles."}, {"path": "tedlium_5215.wav", "duration": 12.63, "text": "The combination of increased revenue across multiple sources and the measured control of expenses led to impressive flow-through for the quarter, driving our significant margin improvement."}, {"path": "tedlium_5216.wav", "duration": 12.63, "text": "and the NRC license is the single best thing we could get to bring overseas to expedite licensing from other agencies. So we're not"}, {"path": "tedlium_5217.wav", "duration": 12.63, "text": "Great. One more if I can bolt-on. As you look at sort of the footprint of the countries that you're operating in today, do you think you're sort of operating in the right number? Or do you think that you may continue to wind down some more countries going forward?"}, {"path": "tedlium_5218.wav", "duration": 12.63, "text": "For example, we enhanced our Deal Builder self-service platform to give merchants more flexibility to customize discounts as well as use their own images and descriptions to help their businesses and deals stand out in the Groupon marketplace."}, {"path": "tedlium_5219.wav", "duration": 12.63, "text": "rather early on. And so for the time being, for the next 1 year or 2, we expect the profit level to remain low. Now as for the profit improvement businesses,"}, {"path": "tedlium_5220.wav", "duration": 12.63, "text": "Thanks, Hal. Moving to Slide 6. Our operations team continues to demonstrate operational excellence as our drilling efficiencies improve our returns on capital deployed."}, {"path": "tedlium_5221.wav", "duration": 12.63, "text": "assumes it doesn't really change in the back half? So I'm just wondering, if you're achieving that while flowing those things through, the sort of tougher contracts through, or if we need to expect those to come on later in time?"}, {"path": "tedlium_5222.wav", "duration": 12.63, "text": "The other comment in the release referred to an increase in material costs. Can you just expand on what specific costs you're seeing inflation on there and if you expect that trend to stay longer term?"}, {"path": "tedlium_5223.wav", "duration": 12.63, "text": "Europe remains a significant greenfield opportunity for us, and I look forward to continuing to grow our business there, with additional operators, content rights holders and content owners."}, {"path": "tedlium_5224.wav", "duration": 12.63, "text": "negatively impact the progress that we've made from a profitability perspective. So there's definitely a bias towards revenue-generating opportunities versus science projects."}, {"path": "tedlium_5225.wav", "duration": 12.63, "text": "when they look at our revenue per employee metric and then how that's tracking over time is the impact of currency. So if you look at our average headcount in fiscal '16, we had a little over 30,000 people."}, {"path": "tedlium_5226.wav", "duration": 12.63, "text": "somewhere in the middle of Q4 or right at the end of Q3? Roger, we got a couple of different scenarios in our outlook. So the timing is kind of hard to pin down. But we know, by the end of year, it'll be exhausted."}, {"path": "tedlium_5227.wav", "duration": 12.63, "text": "load was impacted by a disciplined pricing approach along with freight mix. Although we were successful in winning some project freight and repositioning charges, these were not at the levels of previous years,"}, {"path": "tedlium_5228.wav", "duration": 12.63, "text": "We had some governance improvements. We actually added 2 new independent directors, and we were a finalist in the New York Stock Exchange Governance Award. So all in all, our governance has been improved fairly well."}, {"path": "tedlium_5229.wav", "duration": 12.63, "text": "The strength of the group is its ability to continue to find ways to add value to shareholders and policyholders alike, and this we will continue to do well into the future."}, {"path": "tedlium_5230.wav", "duration": 12.63, "text": "The increase is driven by higher revenues from acquired aircraft, partially offset by aircraft sold and lease terminations. Over the past year, we've continued to rebalance the fleet mix and upgrade the portfolio's asset and credit quality."}, {"path": "tedlium_5231.wav", "duration": 12.63, "text": "With the work that's been done over the last year, not just Beacon but this consolidation of our operations into this global delivery group and the creation"}, {"path": "tedlium_5232.wav", "duration": 12.63, "text": "Sure. Thank you. Our domestic business is growing and an important part of our unique value proposition in China. We're the only foreign company with a wholly owned domestic and international business."}, {"path": "tedlium_5233.wav", "duration": 12.63, "text": "Before getting into the details, let me remind you that we had provided Q2 guidance for both our total company results and our base business or total company excluding the impact of the AIS acquisition."}, {"path": "tedlium_5234.wav", "duration": 12.63, "text": "We have successfully expanded to other attractive growth markets as a method of diversifying our portfolio and ensuring that we can continue to develop projects such as our multiple HEB-anchored mixed-use properties."}, {"path": "tedlium_5235.wav", "duration": 12.63, "text": "And let's talk first about the cash cost of pulp. Something that we have been stating quite a few times and we gave emphasis in the last quarter is that Puma"}, {"path": "tedlium_5236.wav", "duration": 12.63, "text": "Turning to Page 5. I want to provide some additional detail on the growth markets that we will continue to focus on as well as some specific products that are contributing to our current and future growth opportunities."}, {"path": "tedlium_5237.wav", "duration": 12.63, "text": "This higher spend was principally the result of a sustained high level of market activity in the quarter as well as higher handset prices that reflected a richer smartphone device mix and the impact"}, {"path": "tedlium_5238.wav", "duration": 12.63, "text": "to 8.2%. Margins also benefited from 2 extra billing days in Europe this quarter due to the timing of the Easter holiday, which will reverse in the second quarter."}, {"path": "tedlium_5239.wav", "duration": 12.63, "text": "We appreciate your interest in Univar. I'll start this call with some remarks on our first quarter performance and the market, and then provide an update on our actions to drive commercial greatness and operational excellence."}, {"path": "tedlium_5240.wav", "duration": 12.63, "text": "We've just found the best fit and best use of our cash for these smaller bolt-ons. So there are bigger things that are out there that we know about, things that we've been thinking about for a long time, and"}, {"path": "tedlium_5241.wav", "duration": 12.63, "text": "projected to run out of money by the year 2030, we continue to believe CMS should be more aggressively leveraging the capabilities of RACs to address systemic errors."}, {"path": "tedlium_5242.wav", "duration": 12.63, "text": "And then we'll still give it space but that space will then be utilized for some other programs that we are intending to introduce next summer."}, {"path": "tedlium_5243.wav", "duration": 12.6000625, "text": "Perfect. Then talking about the CAR-Ts and I know you take a lot of pride in how you have improved the manufacturing processes"}, {"path": "tedlium_5244.wav", "duration": 12.6, "text": "So what are the next key steps in our strategic plan to turn around this company? And let's focus just on 3. Our first step is to hire 5 new sales reps as fast as possible."}, {"path": "tedlium_5245.wav", "duration": 12.6, "text": "Turning to a few of our notable client wins in the Americas. A major entertainment company has selected ISG for organizational change management in a digitally evolving enterprise."}, {"path": "tedlium_5246.wav", "duration": 12.6, "text": "We knew we were going to experience that as the timing between the introduction of the new vessel and new contracts that we had signed for that -- for the new vessel came together."}, {"path": "tedlium_5247.wav", "duration": 12.6, "text": "where prices improved following a number of high-profile breaches that occurred at the back end of 2014 and into 2015. And that drove increased demand and stronger pricing."}, {"path": "tedlium_5248.wav", "duration": 12.6, "text": "in line as well as making sure we've got a long-term growth strategy in a business that really is attacking markets where there is clearly growth. And there aren't a lot of businesses"}, {"path": "tedlium_5249.wav", "duration": 12.6, "text": "maybe... And that was really the point of talking about all of our digital initiatives. What's driving a lot of that submission activity is a lot of -- our ability to be more dynamic"}, {"path": "tedlium_5250.wav", "duration": 12.6, "text": "And I just want to get other updates as well. And is there any new strategies or new plans that you have not yet communicated to us? I would like to hear them as well. And"}, {"path": "tedlium_5251.wav", "duration": 12.6, "text": "This was necessary to address the downturn in that business. We were pleased that we were able to implement the headcount reduction without layoffs. Instead we were able to offer an early retirement program that achieved our desired results."}, {"path": "tedlium_5252.wav", "duration": 12.6, "text": "from the industry into our group. There are a couple of roles that we're still looking to fill that are product line focused and a couple of geographic roles that we're looking to fill."}, {"path": "tedlium_5253.wav", "duration": 12.6, "text": "Let's not forget that we have increased exposure in ice cream ingredients and are therefore more influenced by seasonal variations."}, {"path": "tedlium_5254.wav", "duration": 12.6, "text": "We continue to compile results in the development of our NeoLAB liquid biopsy prostate cancer test. An early analysis supports the results of the first 2 studies."}, {"path": "tedlium_5255.wav", "duration": 12.6, "text": "They've always figured out a way to do that, and they're already doing that as well. So I don't see the local money as being an issue at all. And then I see there will be maybe a little delay in capital projects, which will be offset"}, {"path": "tedlium_5256.wav", "duration": 12.6, "text": "And we also hope that our decision to be taxed as a corporation will help us capitalize on this opportunity with a simpler corporate structure, a more liquid and attractive stock and the ability to retain earnings to fund our growth."}, {"path": "tedlium_5257.wav", "duration": 12.6, "text": "As in the domestic market, our international businesses focus on marketing our lifestyle, performance and kids product with traditional media, such as airing our many commercials in their local languages."}, {"path": "tedlium_5258.wav", "duration": 12.6, "text": "Also in 2018, we continue to invest in our employees, developing the pipeline of future leaders and fostering a more inclusive and encouraging innovation among our employees."}, {"path": "tedlium_5259.wav", "duration": 12.6, "text": "Against this backdrop, global policymakers continue to press for further banking reform, with calls for even stricter capitalization of banks regardless of the impact on the real economy, especially in Europe."}, {"path": "tedlium_5260.wav", "duration": 12.6, "text": "What makes this year's net sales growth particularly meaningful is that the company was able to turn in this performance despite an extremely tough year in other segments."}, {"path": "tedlium_5261.wav", "duration": 12.6, "text": "than in normal times, simply for the reason that we have a scarcity of resources not only, but before all, in Poland. And hence, we definitely do not take each and every contract which you could get from the market."}, {"path": "tedlium_5262.wav", "duration": 12.6, "text": "Great. My next question was in regards to maybe if we can get a little update on the progress of the launch of the low duration preferred fund, and"}, {"path": "tedlium_5263.wav", "duration": 12.6, "text": "once we get to investment-grade. I think there's other benefits, obviously. The investment-grade market never shuts down in any kind of economic cycle, so you always have access to capital."}, {"path": "tedlium_5264.wav", "duration": 12.6, "text": "And so we will see that. The fact that we are essentially sold out in Texas and Oklahoma means that the industry is tight and industry pricing is going to move up, because rigs continue to go out"}, {"path": "tedlium_5265.wav", "duration": 12.6, "text": "Here we see the quarterly result compared to the same quarter one year earlier. You can see that the trend had been positive for some time now and we are now almost at the same revenue level as one year ago."}, {"path": "tedlium_5266.wav", "duration": 12.6, "text": "applaud what you're doing on that. Question on the capital return piece of this. I'm wondering if you're thinking about keeping the dividend payout ratio"}, {"path": "tedlium_5267.wav", "duration": 12.6, "text": "Right. I understand. But as I look for the remaining 3 quarters, is it going to be similar to this or it's really just kind of"}, {"path": "tedlium_5268.wav", "duration": 12.6, "text": "and unprecedented levels of documentation being provided by sellers, we will start seeing more accounts qualify for the legal channel than we have in the past 18 to 24 months."}, {"path": "tedlium_5269.wav", "duration": 12.6, "text": "I look forward to updating you on the progress we have made against this and all of our 2017 priorities next quarter. With that, I'll turn the call back over to Greg. Thanks, Jim."}, {"path": "tedlium_5270.wav", "duration": 12.6, "text": "to facilitate the increased travel needs into and out of Kerala. We provided special assistance to all passengers through free-of-charge cost -- cancellations and rerouting for affected customers"}, {"path": "tedlium_5271.wav", "duration": 12.6, "text": "all the different regulatory permutations that you deal with on a daily basis as a multinational company. And when you think of the strength of having one platform for your system of record for your customers, I think it's really"}, {"path": "tedlium_5272.wav", "duration": 12.6, "text": "on the back end because the way we structured our program is really catered to the way our customers -- what they were focused on. So I guess it's a long-winded way of saying we're not going to give any more color on that right now other than I can tell you we will"}, {"path": "tedlium_5273.wav", "duration": 12.6, "text": "Turning to Slide 8, I wanted to update you on some of our 2018 priorities as we approach the end of our fiscal year. Now that we've essentially completed our stand-up activities,"}, {"path": "tedlium_5274.wav", "duration": 12.6, "text": "I'm very pleased with the choice of Dirk and for all the reasons that we've laid out, and I feel quite confident that he will work hand in glove with our senior leaders"}, {"path": "tedlium_5275.wav", "duration": 12.6, "text": "As a result of our ongoing cost reductions and capital efficiency improvements, we have been able to significantly reduce our planned capital investment program over the past several years while increasing production."}, {"path": "tedlium_5276.wav", "duration": 12.6, "text": "And we will be looking at ways to leverage that as well for some of the OE customers who are in that area. And also the specific capabilities they have which are quite interesting and quite"}, {"path": "tedlium_5277.wav", "duration": 12.6, "text": "We continue to believe that 2016 will be an even more difficult year than 2015. We remain focused on maintaining the best safety standards, maximizing the utilization of our helicopter fleet,"}, {"path": "tedlium_5278.wav", "duration": 12.6, "text": "really leveraging our formulation capabilities and then, obviously, getting up to an environment where we can be a global supplier from a manufacturing side as well. Anything beyond that is opportunistic."}, {"path": "tedlium_5279.wav", "duration": 12.6, "text": "we do expect future fee levels to be impacted over time by our product diversification strategy and by the aging of our business. Slide 6 presents our annuity sales."}, {"path": "tedlium_5280.wav", "duration": 12.6, "text": "relative to the last couple of quarters because we had a strong top line growth, our metrics are much improved compared to where they were even in the first couple of quarters and frankly"}, {"path": "tedlium_5281.wav", "duration": 12.6, "text": "that steady -- there could be a little dip going into Q2, because you always wonder about what the orders look like as you go into Q2, especially if you got some orders towards the end of the quarter in Q1, but there was a lot of focus on our sales force"}, {"path": "tedlium_5282.wav", "duration": 12.6, "text": "Once the final CMS rule on J code take effect on January 1, we will expect smoother reimbursement to begin to unfold for both Medicare and commercial payers as the market standardizes around the Medicare reimbursement J code."}, {"path": "tedlium_5283.wav", "duration": 12.6, "text": "During the launch period, we were heavily allocated on Switch product and allocated at a level below our typical next-gen market share. As a result, we lost market share during the quarter."}, {"path": "tedlium_5284.wav", "duration": 12.6, "text": "Meanwhile, we are working diligently to put in place a referral program, which will truly round out our offering, extending our capabilities to the high net-worth customers who typically have more complex financial needs."}, {"path": "tedlium_5285.wav", "duration": 12.6, "text": "Before I turn over the call to Scott to go through the numbers in more detail, I want to revisit our value-creation road map and talk about some of the actions that we're currently undertaking."}, {"path": "tedlium_5286.wav", "duration": 12.6, "text": "the company expects to abate, such as the reductions in crude volumes due to the Canadian wildfires in Alberta. And the company has projected an improvement in volume trends in the second half of the year,"}, {"path": "tedlium_5287.wav", "duration": 12.6, "text": "We still continue to expect that our capital expenditures as a percentage of revenues will be in the high teens for 2018. From a liquidity standpoint,"}, {"path": "tedlium_5288.wav", "duration": 12.6, "text": "Our 6 priorities underpin the delivery of our strategy. Disciplined execution of our 6 priorities across the business is enabling the delivery of consistent results."}, {"path": "tedlium_5289.wav", "duration": 12.6, "text": "We have also now paid out dividends, and we have completed acquisition of Sanistal. So we were preparing ourselves for that. But now in the end of April, we will see a totally different cash position."}, {"path": "tedlium_5290.wav", "duration": 12.6, "text": "take money and reinvest it for the benefit of our customers and try to be disciplined on the expense side and have a better product for our customers in terms of convenience."}, {"path": "tedlium_5291.wav", "duration": 12.6, "text": "and I think that's, again, sort of if you look beneath it, it's got to do with the different pieces of the value chain and us extracting the value out of each part of the value chain."}, {"path": "tedlium_5292.wav", "duration": 12.6, "text": "our math wouldn't work to earn a return for our shareholders. That doesn't mean that we aren't seeing lots of opportunities that we think are actionable at prices that would, in fact,"}, {"path": "tedlium_5293.wav", "duration": 12.6, "text": "we're excited to see our pipeline growing in the portfolio of investments we're making grow across the spectrum in terms of phase and across our therapeutic area. So I would expect we will continue to"}, {"path": "tedlium_5294.wav", "duration": 12.6, "text": "But we're working on that. And the place that we'll start, as Jay mentioned, is to be able to go to our acute care partners and offer to serve as a collaborator on the risk sharing beginning in the second year of the program."}, {"path": "tedlium_5295.wav", "duration": 12.6, "text": "For a detailed discussion of the risks and uncertainties that affect the company's business and that qualifies as forward-looking statements made on this call, I refer you to our periodic and other public filings filed with the SEC."}, {"path": "tedlium_5296.wav", "duration": 12.6, "text": "And we certainly expect to earn double-digit returns in that capital. But as far as the swings in refinance activity or mortgage rates goes, we actually expect that to have a less meaningful impact"}, {"path": "tedlium_5297.wav", "duration": 12.6, "text": "while capitalizing on the size and scale of our resources. During the quarter, we began a national advertising campaign, which is driving brand awareness"}, {"path": "tedlium_5298.wav", "duration": 12.6, "text": "We continue to execute on our long-term strategic growth plan, and I am pleased with our progress to date as well as with the numerous growth opportunities in both our Pharmacy and Healthcare businesses."}, {"path": "tedlium_5299.wav", "duration": 12.6, "text": "I just wanted to explain how we've reported our results for 2018. We have updated our operating segments to reflect the new structure of management reporting following the Lagan acquisition."}, {"path": "tedlium_5300.wav", "duration": 12.6, "text": "I first met ServiceNow while I was at eBay as a happy and satisfied customer. And the more I explored this opportunity, the more I fell in love with this company."}, {"path": "tedlium_5301.wav", "duration": 12.6, "text": "is still going to be there, that we're the ones that they're going to deal with. Our reputation in this space for developing and constructing in a responsible manner is also important to many of our customers. And our energy management skills, which I talked about and we'll talk about"}, {"path": "tedlium_5302.wav", "duration": 12.6, "text": "at 11% for the year, but we're going to go through in more detail of what we did specifically in the second semester to really accelerate our investments towards our strategy. So for the year, we finished"}, {"path": "tedlium_5303.wav", "duration": 12.6, "text": "Moving on to our biologics division. We have made significant progress advancing a number of key programs and have a series of upcoming milestones with our improved long-acting proteins and peptides in development."}, {"path": "tedlium_5304.wav", "duration": 12.6, "text": "where we have some delays in delivery of first quarter goods that showed up late in the middle of March, if you will, to allow us to be able to sell through that product. Obviously, we didn't have"}, {"path": "tedlium_5305.wav", "duration": 12.6, "text": "There is the global market trading bookshop, which has the counterparty piece to it. And then it's everything else in the test, including assumption for balance sheet growth and so forth. And on those areas,"}, {"path": "tedlium_5306.wav", "duration": 12.6, "text": "for the humanized dinutuximab. I have to say that the only drug we have or product that we have that I have not been able to keep the amount of inventory that I would like because"}, {"path": "tedlium_5307.wav", "duration": 12.6, "text": "We are pleased to be here with you marking the close of our first quarter for the combined First Financial Bancorp. Today I will provide an update on our successful integration and then turn the call over to Archie and Jamie for comments on our second quarter results."}, {"path": "tedlium_5308.wav", "duration": 12.6, "text": "Turning to our capital allocation strategy on Slide 7. As Mike will touch on, we expect a good cash flow performance this year and will evaluate the best ways to deploy that capital."}, {"path": "tedlium_5309.wav", "duration": 12.6, "text": "There's kind of a punch list along those lines. The technology spend may be a little bit more complicated to think about the future, but we have ramped up our training."}, {"path": "tedlium_5310.wav", "duration": 12.6, "text": "Our Fabrication Services business continues to deliver reliable underpinning work and really set the pace with an increase in new awards of more than 70% versus the year-ago quarter."}, {"path": "tedlium_5311.wav", "duration": 12.5700625, "text": "in general, should adjust or even ignore that mental model, or even use a new metric to assess intrinsic value if the expectation for low interest rates is expected to persist?"}, {"path": "tedlium_5312.wav", "duration": 12.57, "text": "I would say they are, okay? I have called on numerous enterprise accounts around the world. When we have the opportunity to spend time with"}, {"path": "tedlium_5313.wav", "duration": 12.57, "text": "how many years are you looking at for depreciation? So if you could provide that as indicators, I do believe that internally, of course this is something that you will have some insight in. So that would be helpful."}, {"path": "tedlium_5314.wav", "duration": 12.57, "text": "and our track record to ignite growth in emerging markets that I just demonstrated, and we have a good position in Japan, we have to acknowledge that China has not been a success story for us until now."}, {"path": "tedlium_5315.wav", "duration": 12.57, "text": "Forward-looking statements are based on information currently available to management and on estimates and assumptions made based on factors that management believes are appropriate and reasonable in the circumstances."}, {"path": "tedlium_5316.wav", "duration": 12.57, "text": "Then a question on pricing. You stressed that it will be challenging going forward as well and partially also due to the restructuring and cost saving programs of your customers."}, {"path": "tedlium_5317.wav", "duration": 12.57, "text": "it's 3 weeks way. Presentations and discussions at the meeting are likely to tilt the whole direction of dyslipidemia management worldwide for many years to come."}, {"path": "tedlium_5318.wav", "duration": 12.57, "text": "Particularly, what we have found in the middle of the system is that you're seeing supply optionality is becoming a focus point for a lot of those folks. And so the utilities are looking at a connection with REX,"}, {"path": "tedlium_5319.wav", "duration": 12.57, "text": "the continued strong performance of our other base business assets and the disciplined management of our operating and maintenance cost."}, {"path": "tedlium_5320.wav", "duration": 12.57, "text": "To do this most efficiently and in order to accommodate as many business models as possible, the market needs to redefine the currency so that comparable metrics are available across television and digital video,"}, {"path": "tedlium_5321.wav", "duration": 12.57, "text": "but it will expand productivity, which will enhance their margins. And then the second thing we're doing is literally adding to the fleet. And whether it is old drill rigs"}, {"path": "tedlium_5322.wav", "duration": 12.57, "text": "enhancing their distribution and asset gathering, giving them research and information benefits to add value to their information, their investment process. And we frankly have to feel that they make us better,"}, {"path": "tedlium_5323.wav", "duration": 12.57, "text": "but we think that the feedback that we're getting from customers is that INOMAX offering is something that offers a lot of value to them in this particularly fragile patient population."}, {"path": "tedlium_5324.wav", "duration": 12.57, "text": "structure, obviously, to do that. We've also chosen to reinforce the specialization of our platforms, and we are also developing our"}, {"path": "tedlium_5325.wav", "duration": 12.57, "text": "where we see today is that there is a lot of appetite from all the innovations we have positioned in the vertical growth markets."}, {"path": "tedlium_5326.wav", "duration": 12.57, "text": "maybe towards the end of this year and into '18. We don't expect that will have a major impact on differentials. And the reason we believe that is that there is significant real capacity"}, {"path": "tedlium_5327.wav", "duration": 12.57, "text": "and most of the money center banks or the brokerage houses are obviously at a much higher level. So I think that mix of those 3 things tends to work very well for us."}, {"path": "tedlium_5328.wav", "duration": 12.57, "text": "I do not disagree with those and that is the one of the principal investment themes here for us. It's a lot of work, don't get me wrong. And"}, {"path": "tedlium_5329.wav", "duration": 12.57, "text": "We standard the -- we started the process to enhance our technical breadth and commercial talent, particularly in our Packaging and Aerospace segments as we paved the way for longer-term growth."}, {"path": "tedlium_5330.wav", "duration": 12.57, "text": "One thing we've learned over the past year is that there are still a significant number of patients diagnosed with cystinuria susceptible to stone formation, and we want to ensure we do our part to educate the treating physicians."}, {"path": "tedlium_5331.wav", "duration": 12.57, "text": "Please turn to Slide 12. We continue to improve our leading market position in Puerto Rico, which puts us in a strong position to take advantage of future opportunities"}, {"path": "tedlium_5332.wav", "duration": 12.57, "text": "And the customers have done a very good job in the foundry space managing a supply statement commensurate with where they see demand coming from. As you know,"}, {"path": "tedlium_5333.wav", "duration": 12.57, "text": "Right. But in your prepared remarks, I think you cited retail price increases and the benefit of self-manufacturing that there's actually a slight negative impact from currency. So I'm just wondering that"}, {"path": "tedlium_5334.wav", "duration": 12.57, "text": "We're looking forward to our Investor Day tomorrow, where we will share with you some of our key growth strategies that we believe will continue to create shareholder value. But for now let's get right into our third quarter results."}, {"path": "tedlium_5335.wav", "duration": 12.57, "text": "We continue to talk. We hope to bring those to conclusion over the next 90 days, but we have not been able to conclude any as yet."}, {"path": "tedlium_5336.wav", "duration": 12.57, "text": "towards the second half of the year, particularly due to the extreme weather we have suffered across the country in the first quarter."}, {"path": "tedlium_5337.wav", "duration": 12.57, "text": "In fact, even in the latter part of third quarter, we experienced notable improvements in productivity as new technicians became more efficient and work at a couple of the new larger client-based outsourced labs commenced."}, {"path": "tedlium_5338.wav", "duration": 12.57, "text": "In addition, to strengthen our brands, we will engage in aggressive product marketing and further increase the share of wellness products in total company sales."}, {"path": "tedlium_5339.wav", "duration": 12.57, "text": "depending on the final regulations related to interest deductibility. However, given the loss carry-forwards we have available to us, we anticipate little impact on our cash tax payments in the near term."}, {"path": "tedlium_5340.wav", "duration": 12.57, "text": "Of course, some of these opportunities will be matured and drilled, others will not. Look, that's the fluid nature of exploration and managing a prudent portfolio."}, {"path": "tedlium_5341.wav", "duration": 12.57, "text": "And I think it's fair to say that if we see opportunities to do that, we will put a priority over that relative to driving operating margin expansion."}, {"path": "tedlium_5342.wav", "duration": 12.57, "text": "Trends are also improving in the water and environment markets. We have been selected for several large design-build water projects over the past few months, demonstrating our ability to provide integrated services for our clients."}, {"path": "tedlium_5343.wav", "duration": 12.57, "text": "of which obviously we would have lots of thoughts and point of view and be a big contributor to that overall process. So it's hard to be specific, but we do think this diversity of the models will help us"}, {"path": "tedlium_5344.wav", "duration": 12.57, "text": "Yes, certainly. And so there's 3 different discussions we're having right now, and we're going to be starting up a few more discussions with banks as well because we're seeing a lot of interest."}, {"path": "tedlium_5345.wav", "duration": 12.57, "text": "and one of the strengths of our platform is to be able to not only have an amazing personalized marketing and commerce experience with your consumers but do so in a trusted way that can handle"}, {"path": "tedlium_5346.wav", "duration": 12.57, "text": "What I'd like to focus on now is the deep dive into the drivers of the 3% improvement in organic net sales growth versus last year, with all of our regions delivering improvement."}, {"path": "tedlium_5347.wav", "duration": 12.57, "text": "The remaining challenge for us is to extract this information into a searchable format that can be utilized to transform the business processes, reviews and the prosecution and litigation processes that currently run on text data."}, {"path": "tedlium_5348.wav", "duration": 12.57, "text": "I've had the pleasure of working with Stacy since I joined the company. He will be missed and we wish him well in his future endeavors. I will now turn the call over to Tex."}, {"path": "tedlium_5349.wav", "duration": 12.57, "text": "So we have outstanding people all over the world. We also attach importance to nurturing young people. Many post-80s people have become our global partners. And"}, {"path": "tedlium_5350.wav", "duration": 12.57, "text": "I mean, we have quite a few tests that are in the developmental pipeline. All of these tests are in different stages of the development process."}, {"path": "tedlium_5351.wav", "duration": 12.57, "text": "Well, I mean, generally speaking, rates remain under pressure and they certainly remain a challenge for us. Q1 is probably the toughest quarter for us. But like I said, we're focused on it and we've already made some progress."}, {"path": "tedlium_5352.wav", "duration": 12.57, "text": "and market share performance as the year progressed. We actively monitor the payback of these investments, and we will continue to proactively adjust our spending based on actual returns."}, {"path": "tedlium_5353.wav", "duration": 12.57, "text": "And I think, Rob, if we saw more momentum in the markets and things were a little less volatile, I think we'd have more confidence in being a little more forward leaning with that, but that's part of what we're thinking here."}, {"path": "tedlium_5354.wav", "duration": 12.57, "text": "But we are seeing continued growth in both for us. I do understand your question, and we'll wait and see about what happens with the total marketplace. I don't have"}, {"path": "tedlium_5355.wav", "duration": 12.57, "text": "These clinicians support the view that these data are clinically meaningful and highly encouraging and that 9855 has the potential to be a transformational treatment for this debilitating condition"}, {"path": "tedlium_5356.wav", "duration": 12.57, "text": "except as required under applicable law. During this call, references will be made to non-GAAP financial measures as supplemental measures to review and assess operating performance."}, {"path": "tedlium_5357.wav", "duration": 12.57, "text": "I think generally for many shipping segments, you also have some new regulations relating to ballast water treatment systems that requires additional investments for older vessels. And also"}, {"path": "tedlium_5358.wav", "duration": 12.57, "text": "adverse morbidity trends. Is this informing you that your baseline morbidity assumptions are too aggressive? Is that something you're going to have to revisit or you still feel comfortable with those?"}, {"path": "tedlium_5359.wav", "duration": 12.57, "text": "During this call, we will be making forward-looking statements. These statements are based on current expectations and assumptions that are subject to various risks and uncertainties. Actual results could materially differ because of factors discussed in today's earnings release,"}, {"path": "tedlium_5360.wav", "duration": 12.57, "text": "Our relentless focus on these priorities contributed to tremendous success in the second quarter, and we expect continued progress and success in the quarters ahead."}, {"path": "tedlium_5361.wav", "duration": 12.57, "text": "has led us to estimate the impact to HealthSouth as a reimbursement reduction of 3% to 4%. This updated estimate may be found on Slide 20 of the supplemental materials."}, {"path": "tedlium_5362.wav", "duration": 12.57, "text": "Green Hills will indeed capture all of that and more. But into the future, it's important that we remain very proactive in taking real estate and actually rejigging it in a very agile way."}, {"path": "tedlium_5363.wav", "duration": 12.57, "text": "we will get on this asset? And if you don't want to be quantitative, can you at least be qualitative about your confidence level that there's going to be a return on that investment that will be satisfactory in the end"}, {"path": "tedlium_5364.wav", "duration": 12.57, "text": "what you would see in fiscal '16 is that our revenue per employee actually grew 1.5%. So I think when you look at this metric and you look at how it's been trending over time, we've been proving revenue per employee"}, {"path": "tedlium_5365.wav", "duration": 12.57, "text": "We believe inflation is beginning to ebb and we are confident in our ability to address the growing pains in our operating performance, which contribute to increasing margins on a sequential basis for the rest of the year."}, {"path": "tedlium_5366.wav", "duration": 12.57, "text": "together with the launch of China, will help us to continue the momentum in that market. But near-term, we do remain cautious, given the economy. But there's no question as we look at the long-term"}, {"path": "tedlium_5367.wav", "duration": 12.57, "text": "The fact that we were able to close so many deals in Q2, I think, is a credit to the platform, but probably more a function of coincidence and timing. Some of those could have just as easily"}, {"path": "tedlium_5368.wav", "duration": 12.57, "text": "So in summary, we certainly experienced a quarter with mixed results but firmly believe that the transformation that's taken place over the last several years better positions the company to address the impact of shifting business cycles."}, {"path": "tedlium_5369.wav", "duration": 12.57, "text": "are now available in my catalog. So when I was talking about the catalog and the power of the catalog, so we're putting our MFT or B2B flows, that's where we meet our customers. That's what they're looking to us, security,"}, {"path": "tedlium_5370.wav", "duration": 12.57, "text": "And I'm sure I speak for everybody when I say we have enjoyed working with you, James. And you've played with a straight bat. You've always been very helpful with us over the years, and we've enjoyed your quiet and dry sense of humor."}, {"path": "tedlium_5371.wav", "duration": 12.57, "text": "the data in more depth, particularly related to their questions to assess the potential risks associated with future development of the D5 program. So it has taken us a little bit longer."}, {"path": "tedlium_5372.wav", "duration": 12.57, "text": "of people, technology, manufacturing and marketing and sales in order to diversify our revenue streams into more profitable businesses and reduce our reliance on the cyclical oil and gas industry."}, {"path": "tedlium_5373.wav", "duration": 12.57, "text": "As I mentioned on previous calls, our strategy has been to target specific verticals and accounts in addition to providing our overall customer base with multimodal solutions."}, {"path": "tedlium_5374.wav", "duration": 12.57, "text": "We have made progress in our transportation sector, addressing upgrades to communication networks and some mass transit organizations. And additionally, we have gained market share in the oil and gas sector."}, {"path": "tedlium_5375.wav", "duration": 12.57, "text": "We're already at lease on a handful of the spaces, so it was someone, again, that was on our watch list, so we had been marketing a number of these spaces. Expect some of them to start coming online this year"}, {"path": "tedlium_5376.wav", "duration": 12.57, "text": "At the same time, we are maintaining better discipline over cost and have begun the process of facilities consolidation to improve manufacturing capacity utilization."}, {"path": "tedlium_5377.wav", "duration": 12.57, "text": "We're committed to innovative solutions, and we are currently exploring and implementing technology to generate greater execution efficiencies to enhance benchmarking and risk management processes"}, {"path": "tedlium_5378.wav", "duration": 12.57, "text": "This new metric is specific to the Employer Services segment, and we hope that as you also use the materials from our Investor Day, that will help you with your models."}, {"path": "tedlium_5379.wav", "duration": 12.57, "text": "We will work to ensure that the completion of our South African asset sales and the optimization of the remaining Surface and support businesses to ensure that they match our remaining production days."}, {"path": "tedlium_5380.wav", "duration": 12.57, "text": "a couple of larger transactions in that pipeline, although nothing larger than what we've historically done. But relative to some other transactions, there are some larger transactions. What I will tell you is"}, {"path": "tedlium_5381.wav", "duration": 12.57, "text": "The primary factor in the revenue decline was a tough quarter-to-quarter comparison in our Defense Systems segment together with a modest reduction in sales in rocket propulsion systems."}, {"path": "tedlium_5382.wav", "duration": 12.57, "text": "We do anticipate our fiscal '19 tax rate to increase to a range of 16% to 18% based upon the effective dates of certain provisions of the new legislation."}, {"path": "tedlium_5383.wav", "duration": 12.5699375, "text": "Initial market turbulence has since been replaced by a degree of market confidence in the power of British pragmatism to make the best of unexpected events. Europe, however, remains challenged."}, {"path": "tedlium_5384.wav", "duration": 12.5699375, "text": "they get kicked out of the playoffs early. Do they -- do you still see revenue from them over the next couple of quarters as you try to attract season ticket holders and keep everybody happy sort of in this customer base?"}, {"path": "tedlium_5385.wav", "duration": 12.54, "text": "We note that our credit metrics remain strong and we maintain our standing leverage targets, but do not look to remain within that range at all times or at the expense of missing strong value-creating deals."}, {"path": "tedlium_5386.wav", "duration": 12.54, "text": "isn't possible? And if it's not, why can't you sign some long-term agreement that keeps you in that position if they need your help to get started? And then finally, if I can sneak another one in. Marcus, I just note,"}, {"path": "tedlium_5387.wav", "duration": 12.54, "text": "so that we could communicate to the users and have them experience that PayPay can be used in various types of outlets. So it's probably going to start at drugstores in June."}, {"path": "tedlium_5388.wav", "duration": 12.54, "text": "I'm not sure. You might get a different answer from each of us. I think it's going to be based on the way we execute in the restaurant, delivering a great customer experience because that includes making sure the restaurant's clean,"}, {"path": "tedlium_5389.wav", "duration": 12.54, "text": "So keeping that in mind, if you start the study in the first quarter, is it realistic to think that we could have an interim read around midyear? Or would that be too aggressive an assumption?"}, {"path": "tedlium_5390.wav", "duration": 12.54, "text": "developing product around brands, where we have market positions in communities and categories where we can build a long-term point of differentiation and some continuous engagement."}, {"path": "tedlium_5391.wav", "duration": 12.54, "text": "We've been laser-focused on improving our quality and expanding variety through unique seasonal offerings, regular restaurant rotations, limited time offers and exciting celebrity chef partnerships."}, {"path": "tedlium_5392.wav", "duration": 12.54, "text": "Comparing our year-over-year performance is no longer meaningful given our growth, changes in product mix and acquisition activity. So I will focus most of this discussion on sequential comparisons."}, {"path": "tedlium_5393.wav", "duration": 12.54, "text": "While the vast majority of our growth is organic, we do have a strong track record of acquisitions. Over the last 5 years, we've added to our real estate platform, primarily through the acquisition of AREA Property Partners,"}, {"path": "tedlium_5394.wav", "duration": 12.54, "text": "to the most important and largest future demographic groups, millennial parents and their families, a very real compelling position for the long term."}, {"path": "tedlium_5395.wav", "duration": 12.54, "text": "There are many cities in China with a population of 4 million to 5 million. And for national players, it's a long way to go. It requires time."}, {"path": "tedlium_5396.wav", "duration": 12.54, "text": "Concerning the redundancy plan, we had the in July, some departures have already occurred, but the majority of departures will happen by November and December."}, {"path": "tedlium_5397.wav", "duration": 12.54, "text": "So it's -- this is a case where the initiative is to make sure that the execution stays right on the track that we're on, that the quality of the result is maintained"}, {"path": "tedlium_5398.wav", "duration": 12.54, "text": "and Chief Financial Officer. We have prepared a slide presentation to accompany today's webcast, and that presentation as well as other materials are posted online"}, {"path": "tedlium_5399.wav", "duration": 12.54, "text": "in the first quarter of 2016. Somar revenues were impacted by lower demand for certain products in Mexico and the unfavorable impact of foreign exchange."}, {"path": "tedlium_5400.wav", "duration": 12.54, "text": "and be able to do a better job of account management, which has been kind of a recurring theme fairly publicly over the last 5 years in terms of things we need to get done. But I would say, it's really access,"}, {"path": "tedlium_5401.wav", "duration": 12.54, "text": "Second, we've increased our focus on high-quality acceleration of our operated development options. Multidiscipline project teams have been established for all material operated development options."}, {"path": "tedlium_5402.wav", "duration": 12.54, "text": "Including improvements of intangible assets, we look forward to building the strong foundation for the future over the 3 years starting from the current fiscal year."}, {"path": "tedlium_5403.wav", "duration": 12.54, "text": "And just in general, we think our boat's going to float higher this year. So we're comfortable just maintaining as we are, and there's no stress on the dividend for us"}, {"path": "tedlium_5404.wav", "duration": 12.54, "text": "a decent chunk of AUM there. We do make some positive EBITDA contribution as we do in almost all of our resource businesses now. But it's certainly not taken off the way we thought it would."}, {"path": "tedlium_5405.wav", "duration": 12.54, "text": "This compares to only 10% in 2013 and is a testament to our ability to expand strong businesses into new markets and geographies. Let's move to our energy and industrial construction business."}, {"path": "tedlium_5406.wav", "duration": 12.54, "text": "We are pleased to have more than doubled our goal for the fourth quarter of 2017 in terms of accounts that ordered product. And we continue to be very pleased with the rate at which we are adding accounts."}, {"path": "tedlium_5407.wav", "duration": 12.54, "text": "our offer remains competitive and we're continuing to win our fair share of new issues coming to the market. Consistent with last quarter, total revenues in our Corporate Trust business were up mid-single digits."}, {"path": "tedlium_5408.wav", "duration": 12.54, "text": "It was also impacted by operations at our Ebensburg coal refuse power plant that normally generates a small profit, but in the first quarter posted a modest loss."}, {"path": "tedlium_5409.wav", "duration": 12.54, "text": "In addition, plans were unveiled for a 4-acre resort to be located within the Westside development called Montecillo. A Marriott brand hotel and resort would be located near a top golf facility that is already under construction nearby."}, {"path": "tedlium_5410.wav", "duration": 12.54, "text": "Despite these challenges, we believe we are poised to continue to perform well, precisely because we have been making the investments and taking the actions to adapt and thrive in the current dynamic environment."}, {"path": "tedlium_5411.wav", "duration": 12.54, "text": "And so it's not surprising that more and more people are talking about talent management, that more and more companies are trying to enter into talent management, that are talking about learning and development as"}, {"path": "tedlium_5412.wav", "duration": 12.54, "text": "Our Ship from Store capability enhancements, along with Buy Online, Pick Up In Store enhancements have improved the customer experience and leveraged the power of our store portfolio."}, {"path": "tedlium_5413.wav", "duration": 12.54, "text": "correlating with the lower dose of the uricase enzyme. But control is still solidly below 0.6 mgs per deciliter. One patient shown third here reached the trial stopping rules."}, {"path": "tedlium_5414.wav", "duration": 12.54, "text": "The third quarter was underscored by our continued commitment to profitability as reflected by the 14% increase in adjusted EBITDA, despite having only modest revenue growth."}, {"path": "tedlium_5415.wav", "duration": 12.54, "text": "In fact, during the quarter, we booked significant levels of new business and expanded our customer base with much of our new business concentrated on a higher value added molded products."}, {"path": "tedlium_5416.wav", "duration": 12.54, "text": "In both Industrial and France, we are strengthening customer relationships, enhancing the customer experience and broadening our services offerings in support of our core product lines."}, {"path": "tedlium_5417.wav", "duration": 12.54, "text": "In our Wealth Management businesses, we continue to see assets under management expand as we focus on wealth transfer within our Trust Business and build out expertise in areas such as business continuity planning."}, {"path": "tedlium_5418.wav", "duration": 12.54, "text": "Our results were issued this morning in a press release that can be found on our website, ingredion.com. The slides accompanying this presentation can also be found on the website and were posted a few hours ago for your convenience."}, {"path": "tedlium_5419.wav", "duration": 12.54, "text": "So don't worry about voting rights. Voting rights may be a problem for other companies, but voting rights are not a problem for Sulzer, because this has been taken care of in the transaction that we signed with Renova over last week,"}, {"path": "tedlium_5420.wav", "duration": 12.54, "text": "This morning, we announced another 25% proration in our premium DRIP program with the April 2017 dividend payment such that eligible shareholders who have elected to participate in the"}, {"path": "tedlium_5421.wav", "duration": 12.54, "text": "These statements are subject to a variety of uncertainties, risks, and other factors related to the company's operations and business environment, including those listed in our earnings press release"}, {"path": "tedlium_5422.wav", "duration": 12.54, "text": "perhaps some competitors who are experiencing the same dynamics but perhaps having a bit more of a dramatic impact on their operations than you anticipate on yours?"}, {"path": "tedlium_5423.wav", "duration": 12.54, "text": "While catastrophe losses were also elevated in the first quarter of 2016, we are comfortable with our long-term pricing expectations and do not anticipate fundamentally changing our pricing or underwriting actions due to these storms."}, {"path": "tedlium_5424.wav", "duration": 12.54, "text": "This was a higher sales volume than we had initially expected and was attributable to the timing of vessels during the quarter. Average sales realizations for our Japanese export logs declined moderately."}, {"path": "tedlium_5425.wav", "duration": 12.54, "text": "that we both manage and balance the impacts that this has on our business in the short-term, while at the same time continuing to build a more agile, competitive, and digital Nedbank for the longer term."}, {"path": "tedlium_5426.wav", "duration": 12.54, "text": "Is there more on the horizon? I think yes. I think we can see -- we're cautiously optimistic about what our team has in the pipeline in terms of further advancements of"}, {"path": "tedlium_5427.wav", "duration": 12.54, "text": "Continuing to build our loyalty program helps us improve our per customer profitability and positively impacts key areas of our business such as pre-owned and collectibles."}, {"path": "tedlium_5428.wav", "duration": 12.54, "text": "But then we've been pretty open on these calls about the fact that on the payments business, we were losing customers. They were leaving Jack Henry, and they were paying a deconversion fee sometimes to leave us because they weren't happy with the platform. And of course, that has"}, {"path": "tedlium_5429.wav", "duration": 12.54, "text": "Okay. So you don't feel like you need to -- because you came at the low end of the range for September, you don't feel like you need to increase your discount rate, or maybe you already have in this December guide? That's why the range is smaller."}, {"path": "tedlium_5430.wav", "duration": 12.54, "text": "In the fourth quarter, we began drilling 2 wells in our prolific Ruston field in North Louisiana. In addition, we began drilling our Northwest STACK position in an attempt to delineate the play."}, {"path": "tedlium_5431.wav", "duration": 12.54, "text": "here we do expect that in the next few quarters net new money that was already visible in private banking will be visible also in affluent banking because"}, {"path": "tedlium_5432.wav", "duration": 12.54, "text": "The decrease from our previous guidance reflects the timing of sales as well as the impacts of the special charges discussed earlier. Lastly, turning to our fiscal 2018 outlook."}, {"path": "tedlium_5433.wav", "duration": 12.54, "text": "As such, ExxonMobil will contribute its expertise in project execution and operations to support the project's success in a globally competitive LNG market."}, {"path": "tedlium_5434.wav", "duration": 12.54, "text": "our cost structure, while certainly last year at this time when we did get it, we made it all up. What we're starting to see now is that as we ramped our volumes back up, we're really not starting to see a big growth in stocks"}, {"path": "tedlium_5435.wav", "duration": 12.54, "text": "This new proposition is based on our consumer proposition, and provides business features, such as dedicated customer service and a promise to be back online within 12 hours."}, {"path": "tedlium_5436.wav", "duration": 12.54, "text": "and also our increased exposure to the strong Sydney and Melbourne markets. We enter the second half with a record number of contracts on hand. Importantly, over 70% of those are unconditional"}, {"path": "tedlium_5437.wav", "duration": 12.54, "text": "I know it's still early days, but any kind of quantification of what type of out-performance you're seeing? And then, can you give us a sense for what kind of cost differences are between kind of the base case and the reduced spacing on those?"}, {"path": "tedlium_5438.wav", "duration": 12.54, "text": "We had many success stories during the quarter. One bright spot was the performance of our acute wound reconstruction business. The channel investments we made over the last 9 months increased the capacity of our reps"}, {"path": "tedlium_5439.wav", "duration": 12.54, "text": "Okay. Maybe we could just talk a bit about the dividend. And talk a bit about how -- what payout ratio that you're comfortable with."}, {"path": "tedlium_5440.wav", "duration": 12.54, "text": "In summary, it's good to see the positive impact of improved margins and reduced expense structure to our bottom line. Crops were off to a good start, but we will need to watch moisture conditions throughout the growing season."}, {"path": "tedlium_5441.wav", "duration": 12.54, "text": "In addition, we are retrofitting all of our trucks with cameras and have implemented a coaching program to correct at-risk behaviors based on the events captured with this technology. We're extremely excited with the results."}, {"path": "tedlium_5442.wav", "duration": 12.54, "text": "Additional information that we look to gain at this stage is the understanding of how our drug works in humans. This information will include the pharmacokinetics of COM701 in humans,"}, {"path": "tedlium_5443.wav", "duration": 12.54, "text": "Looking into 2018, we see that the contract that we talked about earlier in China, related to some market share gains, will not have any material impact going forward."}, {"path": "tedlium_5444.wav", "duration": 12.54, "text": "But the encouraging part is we're seeing stability in product road maps, and we're delivering products more on time now than before."}, {"path": "tedlium_5445.wav", "duration": 12.54, "text": "we went into this program based on the strong preclinical data we had observed, recognizing that there was an opportunity to potentially move this program rapidly through drug development should the data support it."}, {"path": "tedlium_5446.wav", "duration": 12.54, "text": "and to achieve a return on invested capital above our weighted average cost of capital in the third full year. And we expect AIS to meet both of those financial hurdles."}, {"path": "tedlium_5447.wav", "duration": 12.54, "text": "Year-over-year, our revenue growth in the fourth quarter was driven by strong performance in net interest income and FX trading, as well as the contribution from the recently acquired Charles River Development business."}, {"path": "tedlium_5448.wav", "duration": 12.54, "text": "So we know that the growth is primarily driven or strongly driven by the industry sector. So we wouldn't have been surprised to see a reduction in our order backlog as a result of that"}, {"path": "tedlium_5449.wav", "duration": 12.54, "text": "I haven't heard any issues, or Boeing has not made me aware of any issues that caused me any concern with respect to our delivery schedule or in-service dates or the operation of those airplanes."}, {"path": "tedlium_5450.wav", "duration": 12.54, "text": "the transaction growth. And we see that, both in our traffic, but we see it in the research that we're doing and the feedback that our customers are giving us, we've seen a sharp increase"}, {"path": "tedlium_5451.wav", "duration": 12.54, "text": "Global demand for natural flavors and natural ingredients continued to remain strong. One of the reasons we continue adding to our rich palette of flavors"}, {"path": "tedlium_5452.wav", "duration": 12.54, "text": "This investment in expansion is a testament to our conviction in the size of the TD opportunity, our commitment to become the market leader and our belief in the promise that INGREZZA can deliver hope to many patients."}, {"path": "tedlium_5453.wav", "duration": 12.54, "text": "As we noted on our first quarter earnings call and press release, we continue to invest additional resources for the development of longwall panels and equipment maintenance, consistent with our plan."}, {"path": "tedlium_5454.wav", "duration": 12.54, "text": "Those preferred units are eligible to convert on September 30. That will be, at that point in time, that is up to the holder, as far as the conversion of those go,"}, {"path": "tedlium_5455.wav", "duration": 12.54, "text": "the public utility commission takes the legislation and puts it into action and into their docket, we would obviously closely follow that to the extent that there were opportunities to do"}, {"path": "tedlium_5456.wav", "duration": 12.51, "text": "In the passenger car market, last year, we continued strong execution on our deliverables under Audi's HyMotion fuel cell car program with leading automotive fuel cell stack technology."}, {"path": "tedlium_5457.wav", "duration": 12.51, "text": "We can help these developing organizations succeed in their go-to-market strategies by filling important talent gaps, advising on transformation and change management, and accelerating their growth and development."}, {"path": "tedlium_5458.wav", "duration": 12.51, "text": "As you've seen from our press release, we reported a strong first quarter, continuing on the positive momentum that we saw at year-end, both momentum in the market and momentum inside the firm."}, {"path": "tedlium_5459.wav", "duration": 12.51, "text": "compared to last year in our guidance and where we were aggressive and then had some real concerns the remainder of the year, I don't have those concerns this year. I think our guidance is"}, {"path": "tedlium_5460.wav", "duration": 12.51, "text": "The devaluation of major LatAm currencies in the third quarter accounted for a significant share of the FX impact you have seen in our sales line, and it was actually more pronounced than we had expected still in summer."}, {"path": "tedlium_5461.wav", "duration": 12.51, "text": "It is important to note that the goodwill write-off is a noncash charge and does not impact our current financial flexibility or the ability of our asset to generate future positive cash flow."}, {"path": "tedlium_5462.wav", "duration": 12.51, "text": "So that's something we're doing aside from our products. We are trying to reinforce our sales capabilities. So for commerce advertisings, we will develop them"}, {"path": "tedlium_5463.wav", "duration": 12.51, "text": "Please discuss how you are going to differentiate this product? Pfizer is conducting Phase II study in Japan for an antibody product with similar mechanism."}, {"path": "tedlium_5464.wav", "duration": 12.51, "text": "and many insurance companies we're seeing are reducing their levels of service. And we think it's a great opportunity to show we can maintain and improve our levels of service. It's amazing how much business you get by just being responsive."}, {"path": "tedlium_5465.wav", "duration": 12.51, "text": "What I mean by that is that a lot of retailers among them, our biggest retailer, are realizing that having more variety on shelf isn't necessarily something that the consumer rewards them for"}, {"path": "tedlium_5466.wav", "duration": 12.51, "text": "We do very much looking forward to welcome you all in Bulgaria, and you will get the invitation with the possibility to register yourself"}, {"path": "tedlium_5467.wav", "duration": 12.51, "text": "look like today? And second part to that is, just given where your liquidity is today, do you expect that that program will slow, just because you've actually got quite a bit of financial capacity right now?"}, {"path": "tedlium_5468.wav", "duration": 12.51, "text": "Last time we talked, I emphasized business continuity is a primary focus, and I'm pleased to be able to report once again that our fleet continues to perform well."}, {"path": "tedlium_5469.wav", "duration": 12.51, "text": "Unfortunately, many of our customers do not have sufficient IT personnel internally to rapidly provide us with the necessary information, which has caused a slowdown in this process and a corresponding slowdown in new orders."}, {"path": "tedlium_5470.wav", "duration": 12.51, "text": "On a global basis, member average length of stay continues to be more than 9 months for members in both meetings and online plans. And this reflects improvements in the member experience"}, {"path": "tedlium_5471.wav", "duration": 12.51, "text": "focusing on our highest value assets, reducing unnecessary operating spending and delivering progressive decisive data for a number of potential blockbuster products."}, {"path": "tedlium_5472.wav", "duration": 12.51, "text": "But there definitely has been more stability on pricing. I think that's one reason that the January base price increase happened and we think that increase is in place."}, {"path": "tedlium_5473.wav", "duration": 12.51, "text": "Please be advised that statements made during this call that include the partnership's expectations or our predictions should be considered forward-looking statements that are covered by the safe harbor provisions of the Securities Litigation Reform Act."}, {"path": "tedlium_5474.wav", "duration": 12.51, "text": "This new manufacturing facility further solidifies our foothold in South America. Construction on this facility was completed in the second quarter of 2018. In Australia,"}, {"path": "tedlium_5475.wav", "duration": 12.51, "text": "want to look at and get comfortable with to be able to assess appropriate disease progression. And you said in the next weeks or months, do you have a better sense of timing on that?"}, {"path": "tedlium_5476.wav", "duration": 12.51, "text": "What the priorities are depends a little bit on whether -- if and when we partner. So we have thought very carefully about a few of these indications, not all of them."}, {"path": "tedlium_5477.wav", "duration": 12.51, "text": "Copies of these filings can be found in the Investors section of our website. We undertake no obligation to update any forward-looking statement, whether as a result of new information, future developments or otherwise."}, {"path": "tedlium_5478.wav", "duration": 12.51, "text": "And when we presented our Q3 numbers, we had the good news of the fact that we've won the court case with the CBb. And I don't know how to translate in English CBb, but"}, {"path": "tedlium_5479.wav", "duration": 12.51, "text": "with all the related activities, that's highly, highly unlikely, not going to happen, and we're going to look at other options. We're going to be visiting with their executives in the very near future"}, {"path": "tedlium_5480.wav", "duration": 12.51, "text": "with acceleration in Hyperion Imaging Systems and Helios systems. We are seeing a significant pipeline of prospects over the coming quarters, contributing to a larger funnel compared to last year at this time."}, {"path": "tedlium_5481.wav", "duration": 12.51, "text": "It is early as we are launching these apps in a phased rollout, but we're already starting to see a positive response as clients see the new value we're able to deliver to them, especially around shipping."}, {"path": "tedlium_5482.wav", "duration": 12.51, "text": "and prudently balancing our capital allocation by investing in platforms for growth while providing direct returns to our owners in the form of share repurchases. Our continued share repurchases reflect our ongoing confidence"}, {"path": "tedlium_5483.wav", "duration": 12.51, "text": "We've checked that off and done it effectively. We then said we're going to restructure the organization and become a consolidated solution provider, both in structure, in approach and in strategy."}, {"path": "tedlium_5484.wav", "duration": 12.51, "text": "relatively oblique questioning of some of our large clients, specifically around our analytics solution much like we did with Entrada. And I've got to tell you, the appetite is high within our client base for these types of solutions."}, {"path": "tedlium_5485.wav", "duration": 12.51, "text": "and some are a little further than that where the platforms already there and so we have not committed to as much build-out. So as an example, Frankfurt 11, we did not indicate what level of building."}, {"path": "tedlium_5486.wav", "duration": 12.51, "text": "Given their good results to date, we are increasing spending on advertising for in Jelly and in bar as we seek to firmly establish the in brand."}, {"path": "tedlium_5487.wav", "duration": 12.51, "text": "We don't have a formal metric that we're measuring on a book-to-bill ratio in our electronics business. It is a fairly short cycle. We're working with all of our customers there to be projecting"}, {"path": "tedlium_5488.wav", "duration": 12.51, "text": "Similar to the first half of the year, we are taking a cautious stance on auto given the elevated severity and frequency trends we are experiencing. However, property reserves continue to develop favorably."}, {"path": "tedlium_5489.wav", "duration": 12.51, "text": "We think we can reach our internal targets and as we get to the end of the game, we want to make sure that we're winning. And so I suspect that our whole team is focused on trying to make sure that we're doing the right thing"}, {"path": "tedlium_5490.wav", "duration": 12.51, "text": "I'll begin our report to you this morning. Randy will follow with a more detailed review of our financial results and provide you with added insight into our performance, and we'll be happy to take your questions."}, {"path": "tedlium_5491.wav", "duration": 12.51, "text": "And one of the requirements that Amazon has to be preferred, not just a reseller, is that you have to be able to ship within 24 hours. And we're making the technology and human capital adjustments"}, {"path": "tedlium_5492.wav", "duration": 12.51, "text": "But that said, as we know, we have a number of things that we'd like to get accomplished this time, so if we need to take this case to full litigation, we will. And our objective will be not to delay any of the procedural deadlines."}, {"path": "tedlium_5493.wav", "duration": 12.51, "text": "yes. All right. Understood. And then the last one for me is, as I think about the '18 EBITDA guidance, it would seem to imply a return to store margin expansion"}, {"path": "tedlium_5494.wav", "duration": 12.51, "text": "that the whole energy space has been affected. We saw this in '09. And that's why we're trying to stress the stability of our niche in the energy market"}, {"path": "tedlium_5495.wav", "duration": 12.51, "text": "can you surmise why that might be the case? Were they a little bit more severe or they just more responsive? Can you just -- do you have any kind of theories as to why they might be getting a slightly better response?"}, {"path": "tedlium_5496.wav", "duration": 12.51, "text": "It's sort of another -- it's sort of an embodiment of what Cory spoke to. Look, the team has done a continually excellent job of finding expense in nickels and dimes to take out of the legacy business"}, {"path": "tedlium_5497.wav", "duration": 12.51, "text": "since Orange Life Insurance was included as the fourth subsidiary in the nonbanking sector, the insurance segment's income basis was expanded"}, {"path": "tedlium_5498.wav", "duration": 12.51, "text": "Actual results may be different. Factors that may cause actual results to differ include those identified in our annual report on Form 10-K and our earnings press release."}, {"path": "tedlium_5499.wav", "duration": 12.51, "text": "So the integration actually went extremely well. And then on the other side of the business, and I'm going to flip it over a little bit, is the potato starch business has been one of those ones that's added great value to our customers as well because"}, {"path": "tedlium_5500.wav", "duration": 12.51, "text": "And a productive immune response against the virus by the patient or 0 conversion. And the combination of those 2 is generally agreed to be a functional cure and is"}, {"path": "tedlium_5501.wav", "duration": 12.51, "text": "mix and declining commercial in the quarter. Just anything in specific that you can spike out there or is that just my sort of demographics related? And what you're expecting around that for the remainder of the year?"}, {"path": "tedlium_5502.wav", "duration": 12.51, "text": "our Polymer segment has been delivering solid growth in sales volume and improved profitability since the first quarter of 2017. And since the first quarter of 2017, we have seen improved unit margins in our Chemical segment."}, {"path": "tedlium_5503.wav", "duration": 12.51, "text": "All the work that we've done, the feedback that we've received and everything looks very encouraging, but it has taken considerably longer than we ever thought. So that's kind of moved that project out a little. And then finally,"}, {"path": "tedlium_5504.wav", "duration": 12.51, "text": "Just circling back to distributions really quick, when was the decision made to cut the distribution? I mean, was it made very recently or has it been under consideration for some time?"}, {"path": "tedlium_5505.wav", "duration": 12.51, "text": "and involve a number of risks and uncertainties. Actual results may differ materially as a result of a number of factors including those described from time to time in our filings with the SEC."}, {"path": "tedlium_5506.wav", "duration": 12.51, "text": "Our total recurring revenues associated with both Waters and TA products grew by 8%. Looking at our growth rates in the fourth quarter geographically and before currency translation."}, {"path": "tedlium_5507.wav", "duration": 12.51, "text": "the package we put together for the Common Core. And then that drove a next level of solution, which became this version of, okay, we've got all of these students digital testing,"}, {"path": "tedlium_5508.wav", "duration": 12.51, "text": "the provision for credit losses as well as the level of growth impaired at this stage of a recovery out of an economic recession. So that was a portfolio comment and not specific to these 2 clients."}, {"path": "tedlium_5509.wav", "duration": 12.51, "text": "we don't see them going back to bupivacaine once bupivacaine becomes available again. So we think that it is spotty but that it is important and another leverage point for us."}, {"path": "tedlium_5510.wav", "duration": 12.51, "text": "to standardize their ability to bill for EXPAREL across the continuum way more than Medicare. So in terms of a qualitative impact of that change,"}, {"path": "tedlium_5511.wav", "duration": 12.51, "text": "Not surprisingly, I'm just really pleased with our organization's demonstrable agility in delivering both organic growth and operating leverage in such a dynamic operating environment."}, {"path": "tedlium_5512.wav", "duration": 12.51, "text": "We attribute the late year acquisition focus to us first putting in place the optimal capital structure that we think best facilitates growth going forward and then focusing on acquisitions."}, {"path": "tedlium_5513.wav", "duration": 12.51, "text": "This was also an important quarter in terms of enhancements to our investing and managed product offering, defined by a singular vision, to deliver the products our customers want in a way it is extraordinarily easy to use."}, {"path": "tedlium_5514.wav", "duration": 12.51, "text": "We continue to believe our robust construction pipeline is a solid indicator that our customers continue to make investments in expanding their fleets and remain committed to their sustainability goals."}, {"path": "tedlium_5515.wav", "duration": 12.51, "text": "Adjusting for changes like our increased marketing spend and cash payments under our restructuring program, including cash used to fund country exits, our Q1 free cash flow fits within our historical range."}, {"path": "tedlium_5516.wav", "duration": 12.51, "text": "So I just think that it's a balanced view here, right? We knew the job we had to do, and we have been focused on executing it. And we've also been very responsive and agile in a changing market."}, {"path": "tedlium_5517.wav", "duration": 12.51, "text": "So our focus is trying to identify a light crude -- or pardon me, a heavy crude that can flow in with some of our lights. We've already got one of them approved"}, {"path": "tedlium_5518.wav", "duration": 12.51, "text": "Given the various steps required for us to convert including changes to our organizational structure and sales of certain non-real estate related assets, we are not prepared at this time to provide a more precise target completion date."}, {"path": "tedlium_5519.wav", "duration": 12.51, "text": "we have arrows in our quiver to fund our development pipeline without meaningfully impacting our balance sheet metrics or triggering a prerequisite to issue additional shares."}, {"path": "tedlium_5520.wav", "duration": 12.51, "text": "call it, in the mid-2s. And I think that relationship with -- in terms of what we do with respect to annual bumps across all our leases and then where we've been signing cash rents, I think with"}, {"path": "tedlium_5521.wav", "duration": 12.51, "text": "our waste elimination going forward is going to be focused across the entire supply chain, but it's really about running it more efficiently in every part of the business, and so that's what we're working on."}, {"path": "tedlium_5522.wav", "duration": 12.51, "text": "Asset level debt markets are open, private market buyers are active and our sheer volume of recent activity gives us great confidence that we have clarity on current pricing."}, {"path": "tedlium_5523.wav", "duration": 12.51, "text": "In transportation, we expect to see improvement in the second half of the year in China as the price of natural gas has returned to traditionally low levels and natural gas vehicles are once again in higher demand."}, {"path": "tedlium_5524.wav", "duration": 12.51, "text": "This better captures the scope of this business as we look to meet the needs of consumers beyond just traditional foodservice outlets to all Away From Home locations, such as universities and health care facilities."}, {"path": "tedlium_5525.wav", "duration": 12.51, "text": "So can you maybe get into a little bit more of what's driving that? Is it -- are your prices just still out of line with where key competitors are and you just need to make that adjustment? Or what's driving that?"}, {"path": "tedlium_5526.wav", "duration": 12.51, "text": "will be the beginning of a positive trend in the back half of 2016 and into 2017. We will provide some more color around what to expect for Q1 near the end of the call."}, {"path": "tedlium_5527.wav", "duration": 12.51, "text": "to achieve a range of outcomes, including minimizing the cost of capital, lengthening the debt maturity and duration, maintaining our credit ratings and accessing diverse sources of debt."}, {"path": "tedlium_5528.wav", "duration": 12.51, "text": "These missed steps ultimately undermined brand strength and pricing power, while gross productivity was insufficient to make up for operational offsets like a major product recall."}, {"path": "tedlium_5529.wav", "duration": 12.51, "text": "During the peak winter season, stocks of thermal coal of power plants in both India and China reached uncomfortably low levels, prompting both governments to allow additional coal imports to maintain power supply."}, {"path": "tedlium_5530.wav", "duration": 12.51, "text": "Now if you -- we don't like to go into the minutia of how many patients are on this path and the other version of our drug. And as you could tell from my introductory remarks,"}, {"path": "tedlium_5531.wav", "duration": 12.51, "text": "Our estimates include known revenue synergies which approximately offsets lost revenue related to divestitures. Through execution of our strategy, we expect to continue to grow the income across all sources."}, {"path": "tedlium_5532.wav", "duration": 12.51, "text": "in terms of markets being stronger or weaker is in addition to these inventory builds, you've got markets on the strong side that have just a greater diversity of product outlets"}, {"path": "tedlium_5533.wav", "duration": 12.51, "text": "And a lot of that in the back office is manual so the new system is a little bit harder and more cumbersome, I think, is probably the easiest way for -- as a lay person to describe it."}, {"path": "tedlium_5534.wav", "duration": 12.51, "text": "picking good acquisitions 20 years ago, spending a lot of time on new product development developing those businesses, investing in the sales and technical forces, and I think that's culminating in us having a very strong position"}, {"path": "tedlium_5535.wav", "duration": 12.51, "text": "There are other organic projects that recently came online or are underway including the Longview rail facility that recently commenced operations and the Permian off-spec facility that will be online in the second quarter."}, {"path": "tedlium_5536.wav", "duration": 12.51, "text": "The third pillar of our strategy is continued large investment in infrastructure and technology. I mean, in 2016, we've invested the most"}, {"path": "tedlium_5537.wav", "duration": 12.51, "text": "across all those countries. As another example of the acceptance by the consumer, within our Asian business, we've seen a significant improvement in our quality of sale metrics."}, {"path": "tedlium_5538.wav", "duration": 12.51, "text": "initiate and gain traction on to be able to continue to penetrate that space. So we're very optimistic about what we see on the MH side of the business. As it relates to acquisition opportunities, those are still in"}, {"path": "tedlium_5539.wav", "duration": 12.51, "text": "For such measures, reconciliations to the most directly comparable GAAP measures are in the earnings release and in the appendix to the investor presentation. I will now turn the call over to Curt Morgan to kick off our discussion."}, {"path": "tedlium_5540.wav", "duration": 12.51, "text": "In addition, we recorded charges for the write-down of intangibles due to the loss of customers and low future earnings expectations for certain of our operations servicing the energy market."}, {"path": "tedlium_5541.wav", "duration": 12.51, "text": "Both nominees bring decades of senior leadership experience and a deep financial acumen. I look forward to their joining the board and to leveraging their expertise in the coming years."}, {"path": "tedlium_5542.wav", "duration": 12.51, "text": "admittedly, on our easiest comparison of the year. But the underlying trends across each of our businesses are promising and should provide us some momentum as we go forward."}, {"path": "tedlium_5543.wav", "duration": 12.51, "text": "help us continue to win key marketing battles, as we did this quarter, strengthening our portfolio of top performing, environmentally-compliant power plants. Before we open up for questions,"}, {"path": "tedlium_5544.wav", "duration": 12.51, "text": "I'm proud of the company we have built over our first 2 years and believe we have one of the safest and most engaged workforce in the industry that drives a high level of execution and performance."}, {"path": "tedlium_5545.wav", "duration": 12.5099375, "text": "In light of this -- in light of the disruptions at the border and very low realization on truck exports at the prevailing benchmark prices, the MNR recommended that Hawler crude should only be sold by the Kurdistan export pipeline."}, {"path": "tedlium_5546.wav", "duration": 12.48, "text": "a number of the systems integrators and potential partners in that market, we've had very good progress with over the last 6 months in particular. The other thing that's really important is we've been working"}, {"path": "tedlium_5547.wav", "duration": 12.48, "text": "but not all of that money will accrue to the benefit of 180 shareholders, just a portion of that. And then the question is what do you want that fund to look like. We do not actually -- we've come to the conclusion that we do not want to"}, {"path": "tedlium_5548.wav", "duration": 12.48, "text": "related to the end of the modification periods for executives terminated in the 2015 restructuring event. Most modification periods have now expired, and we expect exercises will decline significantly in the fourth quarter."}, {"path": "tedlium_5549.wav", "duration": 12.48, "text": "Also, supply of capital into the insurance industry continues to grow at a faster rate than demand for insurance products. So those 2 drivers mean that we should"}, {"path": "tedlium_5550.wav", "duration": 12.48, "text": "First, we're operating in a more competitive environment. We're experiencing it in key categories such as trash bags and Litter, and the competitive dynamics in retail remain elevated."}, {"path": "tedlium_5551.wav", "duration": 12.48, "text": "safe to say the vast majority of the investment in change is completed by the end of 2020? And as part of that, would it be reasonable to think that you'd begin to see some benefits"}, {"path": "tedlium_5552.wav", "duration": 12.48, "text": "The bottom line here is I think we should get ourselves down to a normal backlog run rate by the end of the year, which means that, yes, it may have some impact on the third quarter, but we should be able to catch up by the time we get to the end of the year."}, {"path": "tedlium_5553.wav", "duration": 12.48, "text": "The larger projects we are winning now can support accelerating growth. We are seeing more opportunities in other types of projects beyond our basic energy-focused retrofits of buildings."}, {"path": "tedlium_5554.wav", "duration": 12.48, "text": "and we'll continue to view licenses and partnerships across numerous categories as important long-term opportunities. And Mindy will be talking about some of these more shortly."}, {"path": "tedlium_5555.wav", "duration": 12.48, "text": "I'm not -- that's not necessarily commentary on what's going to happen when we start getting some realistic conversations going on about our shippers. But having a contract,"}, {"path": "tedlium_5556.wav", "duration": 12.48, "text": "We saw excellent balanced growth across our loan production with strong increases in all major categories, except for commercial real estate where we're trying to limit the exposure there."}, {"path": "tedlium_5557.wav", "duration": 12.48, "text": "Our WaterWolf system recovers oil and removes suspended solids from produced water in a single stage of treatment using hydrocyclone technology that replaces using chemicals, filters or tanks."}, {"path": "tedlium_5558.wav", "duration": 12.48, "text": "The actions we are taking to build the new business operating framework and to eliminate residual expenses from Health and Employee Benefits will support a more efficient operating model for the future."}, {"path": "tedlium_5559.wav", "duration": 12.48, "text": "I think this speaks to both the increasing awareness of the performance and breadth of Ares' strategies as well as investors' desire to forge more meaningful partnerships with selected managers of scale."}, {"path": "tedlium_5560.wav", "duration": 12.48, "text": "We have already begun supporting the many new kids styles we have introduced for back-to-school with television and in-store campaigns. And we will also be supporting our men's and women's styles with numerous new commercials and accompanying campaigns."}, {"path": "tedlium_5561.wav", "duration": 12.48, "text": "There are 2 or 3 elements in there and the important one is the location of where results are being made. There is always a little bit of distribution where results are actually coming to bottom line."}, {"path": "tedlium_5562.wav", "duration": 12.48, "text": "jointly discuss what the impact of CFIUS holding up the investment from Sinotruk is going to have and how they would like to approach it as well? And then I can -- we'll know much better after those meetings."}, {"path": "tedlium_5563.wav", "duration": 12.48, "text": "We reference these non-GAAP measures because management uses them, in part to manage the business and to enhance investor understanding of the underlying trends in our business and to provide better comparability between periods in different years."}, {"path": "tedlium_5564.wav", "duration": 12.48, "text": "focusing on bridging the gaps and the coordination between medical, social and support services in order to tackle the challenges that people living with rare diseases and their families around the world face every day."}, {"path": "tedlium_5565.wav", "duration": 12.48, "text": "And the combination of the efforts on the business mix as well as on the cost side, we think, will give the company possibility to actually improve its earnings outlook."}, {"path": "tedlium_5566.wav", "duration": 12.48, "text": "Our subscription business is where we exercise the most control as opposed to the services business, which is heavily dictated by external factors such as our clients' implementation time lines."}, {"path": "tedlium_5567.wav", "duration": 12.48, "text": "Yes, I appreciate the question, Barton, but you can appreciate as is a strategy, it does us no good to talk about specific companies and just -- we just never do. I mean, I appreciate the question. And I think"}, {"path": "tedlium_5568.wav", "duration": 12.48, "text": "But Presort busy time of the year is actually in January with all the year-end statements. So we're in a process now of taking the labor force and being able to leverage that labor force to help assist during peak."}, {"path": "tedlium_5569.wav", "duration": 12.48, "text": "Growth continued in new products that target residential and nonresidential construction, and regions with exposure to oil and gas and general manufacturing recovered from the low set in the fourth quarter of the prior year."}, {"path": "tedlium_5570.wav", "duration": 12.48, "text": "my CTO will probably reach out to me and give me an even better number after this, but we're moving very quickly with it and we feel very good about that. Now as we move forward, the question is not"}, {"path": "tedlium_5571.wav", "duration": 12.48, "text": "As previously discussed, the deployment of cloud platforms appears to happen in waves, with the size and location of deployments driven by actual and anticipated end-user demand."}, {"path": "tedlium_5572.wav", "duration": 12.48, "text": "While the overall market has grown, sales of our core in Jelly products have expanded steadily as indicated by the index-based bar graph."}, {"path": "tedlium_5573.wav", "duration": 12.48, "text": "It, therefore, seems our HI-CHEW has become one of America's more commonly consumed candies or perhaps the candy selected by those looking for a somewhat more sophisticated treat."}, {"path": "tedlium_5574.wav", "duration": 12.48, "text": "At the end of the fiscal third quarter, our inventory levels were below last year as we continued to put greater emphasis on improved textbook purchasing and inventory management."}, {"path": "tedlium_5575.wav", "duration": 12.48, "text": "highlighted about 10 digital courses at select universities. Is there any update on how that's going, what type of traction you're seeing and kind of what the feedback from some of the universities, such as Penn State, might be?"}, {"path": "tedlium_5576.wav", "duration": 12.48, "text": "in exchange for 8 million shares of common stock as well as convertible preferred stock that if converted in full would equate to another 42 million shares of common stock."}, {"path": "tedlium_5577.wav", "duration": 12.48, "text": "on operating margin expansion in the short term to be able to drive revenue growth. And when we do see those opportunities where we're getting traction in areas where we're making investment, we will double down on those areas and continue to push,"}, {"path": "tedlium_5578.wav", "duration": 12.48, "text": "align around what those growth numbers look like. But today in the near term, those growth numbers are in excess of what's been in our IRP. And so we will just have to look at it. And I would like to be able to give you"}, {"path": "tedlium_5579.wav", "duration": 12.48, "text": "Our backlog increased by 8% in the second quarter. And with the anticipated benefits from the federal transportation bill and growing spending in Canada, we are confident growth will continue to improve."}, {"path": "tedlium_5580.wav", "duration": 12.48, "text": "we will have one of the strongest balance sheets in the industry, buttressed by the value of our investments in India and in China as well as the strategic partnership with Phoenix."}, {"path": "tedlium_5581.wav", "duration": 12.48, "text": "grades that we see throughout the deposit, probably occur at the lowest depths of the open pit. And there are probably areas in that open pit that are higher grade than what we'll see even in some of the underground."}, {"path": "tedlium_5582.wav", "duration": 12.48, "text": "We feel good about the progress we made on our strategic priorities as we grew organically, acquired NPH and delivered operating leverage, while also benefiting from a favorable macro environment."}, {"path": "tedlium_5583.wav", "duration": 12.48, "text": "We will also refer to non-GAAP measures. We request that you review the reconciliations to GAAP statements provided with our earnings news release and today's slides, which are posted on our website."}, {"path": "tedlium_5584.wav", "duration": 12.48, "text": "And so there is some type of delay against expectations for both of those mills. But I don't really have much more information probably, Paul, than you do on what's happening there."}, {"path": "tedlium_5585.wav", "duration": 12.48, "text": "which I think was a good choice given the quality issues we had way back when and our interest to get the product road maps tightly aligned and using as much Phonak technology as possible,"}, {"path": "tedlium_5586.wav", "duration": 12.48, "text": "is where we stand with regard to launches of innovative products, also obviously something to make sure we deliver on this part of the strategy."}, {"path": "tedlium_5587.wav", "duration": 12.48, "text": "restricted cash and a net derivative consisting of the expected future cash inflows related to our assumption of the credit risk, and expected future losses of the credit guarantee."}, {"path": "tedlium_5588.wav", "duration": 12.48, "text": "Our work can provide a credentialing that started more than a decade ago. Our portfolio has since grown to include 6 contracts along with a healthy pipeline of additional opportunities."}, {"path": "tedlium_5589.wav", "duration": 12.48, "text": "Secondly, it will create capital capacity for the group. And thirdly, it will streamline our business and create some business synergies. To get this done, we had to take one-off costs"}, {"path": "tedlium_5590.wav", "duration": 12.48, "text": "Well, that's a great question, and since we have so many equity analysts, I think that's what they get paid to do. I get paid to trade value and operate assets."}, {"path": "tedlium_5591.wav", "duration": 12.48, "text": "Thank you, I just want to take a moment, first of all, and always take the time to thank our almost 5,000 associates across the company for the job they do each and every day. Our record"}, {"path": "tedlium_5592.wav", "duration": 12.48, "text": "We will maintain discipline in our investments and our quest to transform public safety through technology while building a highly defensible and profitable business for our shareholders. I'll now hand over to Luke to take us through an operational update."}, {"path": "tedlium_5593.wav", "duration": 12.48, "text": "The sales transformation effort is a multi-step process that we believe will take approximately 12 to 18 months to complete fully. We are building a rigorous sales culture."}, {"path": "tedlium_5594.wav", "duration": 12.48, "text": "So we're so far away from the markets that it creates somewhat of a disadvantage in terms of supplying substrate. So is it technically feasible? Yes. Is it"}, {"path": "tedlium_5595.wav", "duration": 12.48, "text": "timing perspective, the bid date due back to us is 19th of November, and then it's just a question of sorting through the things you need to sort through when you receive the bids,"}, {"path": "tedlium_5596.wav", "duration": 12.48, "text": "Our top priority here remains to produce strong organic revenue growth across all aspects of our business and leverage our cost structure to generate increasing EBITDA margins."}, {"path": "tedlium_5597.wav", "duration": 12.48, "text": "and then talk about sales lifts, it would concern me, being on the board from a shareholder lawsuit standpoint, that you guys -- I'd want to make sure I disclose as much as I can about"}, {"path": "tedlium_5598.wav", "duration": 12.48, "text": "when you clear crude out of the Bakken, the industry, when the crude moves out of the Bakken and goes to the refining centers, you have to look at what are those costs to get the crude out of the area."}, {"path": "tedlium_5599.wav", "duration": 12.48, "text": "Some of those products could be 4x to 5x more expensive than our base baked on coating, and it is mostly the Middle East areas that can afford that type of a glass window."}, {"path": "tedlium_5600.wav", "duration": 12.48, "text": "We are working to strengthen our One Allied approach and to drive organic sales growth by making it easier for our customers to do business with us, while also improving our internal efficiency."}, {"path": "tedlium_5601.wav", "duration": 12.48, "text": "and benefiting from the Bournemouth Water acquisition, as well as the ramp-up of Viridor's energy recovery facilities underpinning Viridor's growth prospects."}, {"path": "tedlium_5602.wav", "duration": 12.48, "text": "deposit pricing in the market moves over time, and it depends on the duration and how our fixed rate loans and deposits roll over and reprice. So it's not a quick formula."}, {"path": "tedlium_5603.wav", "duration": 12.48, "text": "So that would be the lion's share. In addition to that, we do see one of our competitors has coughed up a little bit of blood lately in terms of"}, {"path": "tedlium_5604.wav", "duration": 12.48, "text": "and some well reactivations. We have undertaken some of that during the second quarter. We've seen results which were beyond our expectation. So again we want to do more of that through the rest of this year."}, {"path": "tedlium_5605.wav", "duration": 12.48, "text": "This is an alliance that we believe will showcase the depth and the strength of our Remington line worldwide and begin the process of further strengthening the amazing brand equity inherent to this business unit."}, {"path": "tedlium_5606.wav", "duration": 12.48, "text": "That's been clear in every discussion I've had with customers. You see it in their strategies and in their announcements where they're reducing their supply chain, often reducing the number of plants they have."}, {"path": "tedlium_5607.wav", "duration": 12.48, "text": "We have clearly identified portfolio and product line strategies for how we will win in the markets we serve and have developed 6 operational imperatives that will allow us to achieve excellence in everything we do."}, {"path": "tedlium_5608.wav", "duration": 12.48, "text": "That said, enrollment has been slower than we had hoped in part because of the triple negative space is a very popular space for clinical trials right now with more than 330 studies ongoing worldwide."}, {"path": "tedlium_5609.wav", "duration": 12.48, "text": "I mean, just comparing the segments would be a little more helpful. And then finally, when you guys showed trailing free cash flow numbers in the slide shows before you guys spun out, and then at the Bank of America conference,"}, {"path": "tedlium_5610.wav", "duration": 12.48, "text": "that plant had been operating for over 1,300 days, right? And we were able to push and push with regulatory people the right to continue to operate that plant longer as we've gotten smarter and better in how we operate and"}, {"path": "tedlium_5611.wav", "duration": 12.48, "text": "A new Viking oil transmission pipeline is being built and should go into service by the end of the year. This will extend the life of the pools in the area and lower operating and transportation costs for the producers."}, {"path": "tedlium_5612.wav", "duration": 12.48, "text": "as we told you last quarter, we continue to expect our Healthcare segment to achieve strong revenue growth through a combination of new client wins, additional solutions delivered to existing clients and organic growth."}, {"path": "tedlium_5613.wav", "duration": 12.48, "text": "the impact of expected share repurchases. We anticipate rail service will continue to improve and that utilization this year will be 1 day better than last year."}, {"path": "tedlium_5614.wav", "duration": 12.48, "text": "in workflow enhancements. We are in the early stages of this project, but expect to start implementing our streamline process improvements over the next few quarters."}, {"path": "tedlium_5615.wav", "duration": 12.48, "text": "When it comes to packaged meat, we continue to launch new products. And in the second half, they will create greater contribution to the company."}, {"path": "tedlium_5616.wav", "duration": 12.48, "text": "So you had a producer then who -- where we went from having a competitive advantage of accessing them through gathering, we now have a competitive disadvantage in that they can go"}, {"path": "tedlium_5617.wav", "duration": 12.48, "text": "and may include financial projections or other statements of the company's plans, objectives, expectations or intentions. These matters involve certain risks and uncertainties. The company's actual results may differ materially from those projected or suggested"}, {"path": "tedlium_5618.wav", "duration": 12.48, "text": "because in a first year of a contract, the variable component is generally a little bit less than it would be in the second or third years because, again, the variable grows based upon"}, {"path": "tedlium_5619.wav", "duration": 12.48, "text": "In addition, we continue to see an increase in occupancy cost, including depreciation and amortization as a result of us placing into service additional buildings, especially laboratory-intensive STEM buildings"}, {"path": "tedlium_5620.wav", "duration": 12.48, "text": "We believe we have the assets, including human capital, strategy, discipline and financial strength and flexibility, to play a leading role in the provision of this care under any"}, {"path": "tedlium_5621.wav", "duration": 12.48, "text": "the entire Schlumberger organization is fully primed and ready for the business opportunities and challenges that lays ahead with a clear objective of clearly exceeding the expectations of all our stakeholders."}, {"path": "tedlium_5622.wav", "duration": 12.48, "text": "of 5.4% in regards to the same quarter of 2017. The improved performance was achieved thanks to a better management in sales and to more sales associated to the World Cup"}, {"path": "tedlium_5623.wav", "duration": 12.48, "text": "and it isn't easy necessarily to get a hold of that cash-back. So our first version of this cash-back user experience, at the end of the month, that money is automatically credit back to the account."}, {"path": "tedlium_5624.wav", "duration": 12.48, "text": "In addition, we have added a new artistic director overseeing all categories, along with new leads in both product development and production. All 3 of them previously worked with Rea and Christopher to build Vince."}, {"path": "tedlium_5625.wav", "duration": 12.48, "text": "I know data dependent, but if you don't partner out, do you -- I just want to get a sense from you guys as to how aggressive you could be looking to a pivotal study in this unmet need indication."}, {"path": "tedlium_5626.wav", "duration": 12.48, "text": "state and I think we're on track to deliver the gas agreement at the end of the first quarter, which is quite rapidly followed by hopefully P'nyang as well"}, {"path": "tedlium_5627.wav", "duration": 12.48, "text": "And we have made significant progress in identifying cost savings to apply across our operations and in our offices, which will be a focus of our attention in the second part of this year."}, {"path": "tedlium_5628.wav", "duration": 12.48, "text": "I remain a believer in the long-term market opportunities that Tim and his team will pursue. AGI is ready for the next stage of development under the next generation of leadership."}, {"path": "tedlium_5629.wav", "duration": 12.48, "text": "the source of expansion to the bottom line as well as a source of funding for us to continue to invest in our brand franchises. Even as our global categories have slowed,"}, {"path": "tedlium_5630.wav", "duration": 12.48, "text": "Price discipline in this segment is extremely important for us. It is an area that we have worked on the last years, tried to professionalize the way we do pricing in this segment."}, {"path": "tedlium_5631.wav", "duration": 12.48, "text": "Next slide, please. I will be making some forward-looking statements and I encourage everyone to peruse our cautionary statement at their leisure on our website."}, {"path": "tedlium_5632.wav", "duration": 12.48, "text": "So historically, Lucara has held both Regular Stone Tenders and Exceptional Stone Tenders, but as of the third quarter we are moving towards a blended"}, {"path": "tedlium_5633.wav", "duration": 12.48, "text": "So I think it comes down to individual items, and there have been a couple already this season, where we saw some reaction and some early indications and we went out and bought more product for second quarter and the third quarter, but"}, {"path": "tedlium_5634.wav", "duration": 12.48, "text": "We brought our Chisholm II gas plant into service, increasing processing capacity by 200 million cubic feet a day in the STACK and added incremental customers and contracts to our expanding business there."}, {"path": "tedlium_5635.wav", "duration": 12.48, "text": "do you have the initiatives in place that you're going to train the sales force to get price in this environment and exploit price in this environment? Because that's a key part of maintaining organic growth."}, {"path": "tedlium_5636.wav", "duration": 12.48, "text": "in line with the sector, we have seen an increase in the NPL formation in the second quarter. The increase was mainly due to the 2 big ticket commercial files."}, {"path": "tedlium_5637.wav", "duration": 12.48, "text": "We expect Q1 revenues to be flat to slightly up from Q4. With improvements expected in margins and spending, we anticipate our losses will lessen significantly from the Q4 levels."}, {"path": "tedlium_5638.wav", "duration": 12.48, "text": "In Q1 and Q2, we've installed 28 screens in absolute top locations and implemented a smart mixture of local content, news and sports, as well as advertising on the screens."}, {"path": "tedlium_5639.wav", "duration": 12.48, "text": "and we are working hard and persistently on connecting the various elements to leverage all existing synergies. Bernd will take over now and show in more detail how our financial KPIs have developed."}, {"path": "tedlium_5640.wav", "duration": 12.48, "text": "some prepayments and some lower origination activity. Is that -- is this kind of merger related do you think? Is it an aberration to see that kind of number. I guess it's the first part of the question."}, {"path": "tedlium_5641.wav", "duration": 12.48, "text": "Mike, I just want to ask real quick. You talked about the MAX being more efficient now than when you ordered it. Is that just on fuel burn? And can you talk about how that may have changed, if that's what you were referring to?"}, {"path": "tedlium_5642.wav", "duration": 12.48, "text": "Davenport stations, ended up with a little bit stronger political. As you remember, that Wisconsin race turned hot in the last few couple of weeks of the election cycle,"}, {"path": "tedlium_5643.wav", "duration": 12.48, "text": "please understand that some of those will be growth markets for us. And I'm very pleased that we've exited as many of the cities as we have because it has greatly simplified"}, {"path": "tedlium_5644.wav", "duration": 12.48, "text": "in a market that is really avid for sustainable solutions, especially for the global brands, in the continuous improvement of the company's governance,"}, {"path": "tedlium_5645.wav", "duration": 12.48, "text": "relationship manager deploy the full scale of our products and services range. We're going to continue enhancing and investing into client experience, deploying our product and services range."}, {"path": "tedlium_5646.wav", "duration": 12.48, "text": "as we continue to delever into the rest of the year our reduced leverage and improved credit profile should open up additional favorable financing options for the benefit of shareholders."}, {"path": "tedlium_5647.wav", "duration": 12.48, "text": "offset in part by an increase in capital expenditures compared to last year as we invest modestly in equipment and infrastructure improvements supporting the continued organic growth of the business."}, {"path": "tedlium_5648.wav", "duration": 12.48, "text": "David. So when it comes to pricing, I believe that we're in a world where the consumer decides today. So charging a premium pricing comes back to having the best products."}, {"path": "tedlium_5649.wav", "duration": 12.48, "text": "Upstream and midstream were broadly flat overall, but within this, upstream was positive in Eastern Europe, but declined in the Middle East. And midstream was positive in the Far East as a result of improved pipeline sales."}, {"path": "tedlium_5650.wav", "duration": 12.48, "text": "business consistent with our contractual growth. So you would expect us to -- assuming the market firms up, you'd expect us to see some growth in our rental business."}, {"path": "tedlium_5651.wav", "duration": 12.48, "text": "Additionally, overheads increased due to the timing of incentive compensation and higher sales and marketing costs. These impacts were partially offset by improved performance across all product lines."}, {"path": "tedlium_5652.wav", "duration": 12.48, "text": "And it was just the right time for us to go up there and support their growth. It's a bit of walk before you run. I think there are future opportunities for us down the road."}, {"path": "tedlium_5653.wav", "duration": 12.48, "text": "can you provide, I guess, a little more detail on why margins in Asia could remain lower than the other regions? Yes, I'm not sure I would point to anything specifically in the last 6 months."}, {"path": "tedlium_5654.wav", "duration": 12.48, "text": "Now I will turn the call back to Steve. Thanks, Drew. Moving to Slide 13. Within a growing economy, we experienced the effects of a strong industry environment and capitalized on our significant strengths."}, {"path": "tedlium_5655.wav", "duration": 12.48, "text": "This adjustment reflects LIFO accounting, working in the manner intended, reducing FIFO cost of sales in a declining price environment to value inventory at current replacement cost."}, {"path": "tedlium_5656.wav", "duration": 12.48, "text": "Although I feel good about the underlying momentum we're seeing in the top line, if organic growth begins to decelerate, you should expect that we will dial back the pace of investments."}, {"path": "tedlium_5657.wav", "duration": 12.4500625, "text": "We're also incorporating into our design of our facilities certain elements that will make it easier for our guests to order ahead, skip the line and pick up their food quickly and easily."}, {"path": "tedlium_5658.wav", "duration": 12.45, "text": "All subsequent written and oral forward-looking statements attributable to the partnership or persons acting on its behalf are expressly qualified in their entirety by such cautionary statements."}, {"path": "tedlium_5659.wav", "duration": 12.45, "text": "preferred supplier during the rollout phase. As I recall historically, that was a role that you were able to keep for at least 2 to maybe even 3 years post the launch of the plants before they considered"}, {"path": "tedlium_5660.wav", "duration": 12.45, "text": "We remain committed to our innovation strategy and our mission of delivering important medicines and vaccines that address many of the world's foremost health challenges and global unmet medical need."}, {"path": "tedlium_5661.wav", "duration": 12.45, "text": "I have never really commented on how large it would be. It really does depend on some of the endpoints and some of the statistical parameters that we need to agree with"}, {"path": "tedlium_5662.wav", "duration": 12.45, "text": "Although we believe that such statements are based upon reasonable assumptions, you should assume that these statements are subject to risks and uncertainties that actual results may differ materially from those expressed or implied in these forward-looking statements."}, {"path": "tedlium_5663.wav", "duration": 12.45, "text": "the hardest to replace and have unique characteristic. And on the other hand, have opportunities to improve or expand their offerings, such as mixed use and size, so we can do just that."}, {"path": "tedlium_5664.wav", "duration": 12.45, "text": "As is always the case, however, we constantly monitor our financial outlook to ensure it supports our plan for return of capital over the long term."}, {"path": "tedlium_5665.wav", "duration": 12.45, "text": "This momentum has continued into 2018, driven by a great back-to-school season where we picked up wins that benefit our Education, Facilities as well as our Sports businesses"}, {"path": "tedlium_5666.wav", "duration": 12.45, "text": "And so it's probably better as we get closer to those respective playoff runs for us to give you that dynamic relative to who's in the playoffs versus a year ago. But I would say there's nothing of"}, {"path": "tedlium_5667.wav", "duration": 12.45, "text": "I don't think there's anything different in where the company's results landed outside of the hurricanes versus what we had been expecting over the course of the entire quarter."}, {"path": "tedlium_5668.wav", "duration": 12.45, "text": "The faster makeup of the connection is partially accomplished by deeper stabbing, meaning there are more threads engaged at the time 2 joints come together, which minimizes damage by more evenly distributing stresses on the connection."}, {"path": "tedlium_5669.wav", "duration": 12.45, "text": "Each production plot clearly depicts that after being placed on jet pump during the quarter, the wells are outperforming the company's prior expectations, which were set by the initial production trends."}, {"path": "tedlium_5670.wav", "duration": 12.45, "text": "That is what is expiring. We'll continue to do business with DICK'S Sporting Goods in our normal way of doing business for the adidas brand and, of course, also for the Reebok brand. But I do want to clarify this, what has expired or is expiring"}, {"path": "tedlium_5671.wav", "duration": 12.45, "text": "Yes, this is Dennis. We believe that the market is coming back. We see a strong fall year. All we're trying to say is that we did have a strong fall of '17 as well. So comparably, it may not look as"}, {"path": "tedlium_5672.wav", "duration": 12.45, "text": "We've also enhanced our balance sheet and manufacturing capacity to meet their purchasing needs and have begun several certification testing programs, some of which we've already completed or are in the final stages of completing."}, {"path": "tedlium_5673.wav", "duration": 12.45, "text": "Yes, we look at hedging every week and look at the market conditions and where we are with our cash flows and our balance sheet. We have done more hedging in the first quarter."}, {"path": "tedlium_5674.wav", "duration": 12.45, "text": "or that you previewed. Is -- what's driving the upside? I didn't quite catch what the upside is. And what brings the growth back down in the fourth quarter, understanding that fuel should improve as well in the fourth quarter?"}, {"path": "tedlium_5675.wav", "duration": 12.45, "text": "I remain excited and enthusiastic about the opportunity to be leading the new Endo. I want to thank all of our employees for their hard work, dedication and commitment to the company."}, {"path": "tedlium_5676.wav", "duration": 12.45, "text": "Look, I think it's one of those things that you can always be better at. It's one of the challenges from a continuous improvement perspective that, as leaders and managers, we need to make sure it's -- that people see that data is important and critical."}, {"path": "tedlium_5677.wav", "duration": 12.45, "text": "We are seeing evidence of market expansion with a couple of seminal publications, including our first mass cytometry publication in a prestigious clinical journal. We will update you on our progress today."}, {"path": "tedlium_5678.wav", "duration": 12.45, "text": "in -- particularly in the transportation component plant and some material inefficiencies. Moving down to the change in all other, which is the catchall category, was essentially flat,"}, {"path": "tedlium_5679.wav", "duration": 12.45, "text": "Our broad portfolio of technology and our ability to understand the interaction between materials creation, materials removal and materials modification is tremendously valuable."}, {"path": "tedlium_5680.wav", "duration": 12.45, "text": "And we think we have a lot to do with that, as we change our technology, make it may be simpler, easier to use and maybe lower"}, {"path": "tedlium_5681.wav", "duration": 12.45, "text": "which we expect to come online in the second half of this year and ramp up into 2019. We expect these investments to position us well for growth,"}, {"path": "tedlium_5682.wav", "duration": 12.45, "text": "deals with that, we have -- is in food. You have a bulk of the market that is very big for us or in tea, black tea, where you have a bulk of the market that is very big for us"}, {"path": "tedlium_5683.wav", "duration": 12.45, "text": "Today's press release is available on the company's website, and a recording of this call will be available on the website at investors.naturalgrocers.com. Now I'll turn the call over to Kemper."}, {"path": "tedlium_5684.wav", "duration": 12.45, "text": "that have helped our adjusted EBITDA improve dramatically since we began this journey in early 2014. Now we are pivoting the company to strengthen our partnerships with our customers and suppliers"}, {"path": "tedlium_5685.wav", "duration": 12.45, "text": "at Dreamforce. But at the end of the day, where we see the world going is we have -- we're providing to our customers the ability for them to have that unique customer experience."}, {"path": "tedlium_5686.wav", "duration": 12.45, "text": "in particular trying to mitigate the currency exposure that this business has, but at the same time focusing on business development and strategic growth initiatives, which is absolutely crucial for our business."}, {"path": "tedlium_5687.wav", "duration": 12.45, "text": "And we've just been able to squeeze out a little bit longer term of revenue. Things have just performed a little bit better. Gary? That business is proving to be a little more resilient than a lot of people thought."}, {"path": "tedlium_5688.wav", "duration": 12.45, "text": "was 6x, up from 4.9x in the prior quarter on higher bookings. We view this ratio as one of the key operating metrics used by management to evaluate the effectiveness and validation of our strategy"}, {"path": "tedlium_5689.wav", "duration": 12.45, "text": "While there are many highlights from the quarter, I would like to speak briefly about 3. We continue to expand our addressable market and broaden our base at a torrid pace"}, {"path": "tedlium_5690.wav", "duration": 12.45, "text": "This first section or segment is designed to help make the electric grid more reliable and secure for customers throughout the region and provide substantial savings for New York consumers."}, {"path": "tedlium_5691.wav", "duration": 12.45, "text": "from a vertical perspective within our lending area. However, just because of the scale of the opportunities on the CRE side, it's likely that they continue to have a little bit of an outside"}, {"path": "tedlium_5692.wav", "duration": 12.45, "text": "corporate transient trends to continue. I guess, what precisely do you mean by that? Do you -- just for that segment, do you sort of see that as almost flat over the prior year? Is that declining slightly? I just wanted to be more specific about how you're thinking about it."}, {"path": "tedlium_5693.wav", "duration": 12.45, "text": "So it's kind of an anomaly, if you try to look at the first quarter and the second quarter. Plate was unusually strong in the first quarter. Not -- and we pulled some out of the second quarter into the first quarter is pulling from the fourth quarter,"}, {"path": "tedlium_5694.wav", "duration": 12.45, "text": "In summary, we had another excellent quarter highlighted by our first quarterly profit and are tracking to a highly profitable second half of 2016. With that,"}, {"path": "tedlium_5695.wav", "duration": 12.45, "text": "we are backing them up with other medium and heavy aircraft models. This is actually proving the strength of the diversity of our helicopter fleet. And the Gulf of Mexico, we are the only truly diversified heavy helicopter operator"}, {"path": "tedlium_5696.wav", "duration": 12.45, "text": "And that is an exciting prospect for them as well. So I think the value proposition for forklifts is very high. And I think you're correct. In those other industries,"}, {"path": "tedlium_5697.wav", "duration": 12.45, "text": "through our precision controlled launch leading up to resupply. As we have previously stated, we remain on track to have full scale inventory levels in the second half of 2018 following PMA approval of the Vesta facility,"}, {"path": "tedlium_5698.wav", "duration": 12.45, "text": "I have no idea how they do what they do. It's very difficult to sit here and try to analyze their data on a month-to-month and quarter-to-quarter basis and try to figure out what the gaps might be. So"}, {"path": "tedlium_5699.wav", "duration": 12.45, "text": "Security remains on track with the forecast we provided in the last quarter's guidance. Margins for the full year expected to be generally consistent with the prior year on relatively flat organic revenues."}, {"path": "tedlium_5700.wav", "duration": 12.45, "text": "I'm encouraged by the progress we are demonstrating in monetizing Venmo, and I'm confident it will generate significant revenues and profits in the years ahead."}, {"path": "tedlium_5701.wav", "duration": 12.45, "text": "the diversity of our portfolio given that we've got so many different geographies in which we operate as well as so many different product offerings that we have. But those are the 2 things that stand out."}, {"path": "tedlium_5702.wav", "duration": 12.45, "text": "a multitude of all those sort of things. And again, no one can predict the future, but I suppose I look at the track record and the long-term consistency and, hopefully, that backs up some of the commentary I'm making."}, {"path": "tedlium_5703.wav", "duration": 12.45, "text": "Upgrading their networks also allows the MSOs to compete for their fair share of the data backhaul markets which will continue to grow as consumers continue to digitalize their lives."}, {"path": "tedlium_5704.wav", "duration": 12.45, "text": "such as higher labor expense for annual inflation and higher volume handled in our warehouse, additional support to our new stores in the network and expense in IT to improve the network performance."}, {"path": "tedlium_5705.wav", "duration": 12.45, "text": "can you fill out more this clarity point and what really gives you confidence that this significantly derisks future years? And is there enough clarity at this point where you can actually"}, {"path": "tedlium_5706.wav", "duration": 12.45, "text": "Before we begin, we'd like to remind you that some of the information contained in the news release and on this conference call contains forward-looking statements that involve risks, uncertainties and assumptions that are difficult to predict."}, {"path": "tedlium_5707.wav", "duration": 12.45, "text": "to some extent, that distributor has been outgrowing you, even though they are still in negative territory. So I would like to understand why it seems you may be lagging there,"}, {"path": "tedlium_5708.wav", "duration": 12.45, "text": "is about structural changes leading to such fluctuations. Q3, according to the trend,"}, {"path": "tedlium_5709.wav", "duration": 12.45, "text": "we're really precluded from commenting specifically on any acquisition package, whether it's already been transacted on or potentially could be transacted on for a variety of reasons. But"}, {"path": "tedlium_5710.wav", "duration": 12.45, "text": "in early 2017. We also have other new and interesting investigational products that we are going to be presenting at medical conferences."}, {"path": "tedlium_5711.wav", "duration": 12.45, "text": "All right. We have no further questions in the pipeline, so we would like to conclude today's call. Thank you very much for your participation, and have a good day."}, {"path": "tedlium_5712.wav", "duration": 12.45, "text": "Then you get the cocoa mass, and this production is done in the industrial area of Olten. So if you pass by, by the train, you smell it and you see it."}, {"path": "tedlium_5713.wav", "duration": 12.45, "text": "more appropriately reflect the ongoing operations of the business. A reconciliation of these amounts is provided in the press release, our accompanying slide deck and our quarterly report on Form 10-Q."}, {"path": "tedlium_5714.wav", "duration": 12.45, "text": "Those elements can and do frequently change. Please consider our comments in light of the risks and uncertainties surrounding those elements including the risks we identify in our filings."}, {"path": "tedlium_5715.wav", "duration": 12.45, "text": "down from last year. Is -- should we think of it short of in line with the June quarter? Or how should we think about what you're realizing on the gallons you're producing?"}, {"path": "tedlium_5716.wav", "duration": 12.45, "text": "We were able to achieve these strong results despite certain headwinds, including lower custom tooling sales, passing through lower resin cost and softness in certain markets."}, {"path": "tedlium_5717.wav", "duration": 12.45, "text": "specific percentages on a per quarter bases are always somewhat volatile. But we do see a further progress in business driven by the bundling in SME, growth of IT and new services, and of course, an improving"}, {"path": "tedlium_5718.wav", "duration": 12.45, "text": "Our inventory purchases and investments in rental assets are flexible and tightly managed to market demand. In addition, we expect our inventory turns to continue to benefit from further supply chain improvements."}, {"path": "tedlium_5719.wav", "duration": 12.45, "text": "Just a bit of a feel as to how competitive you think it's going to be? Or how successful, to your point, Pat, you're not going to cost save your way out of this. So it's got to be about putting the top line up. I think"}, {"path": "tedlium_5720.wav", "duration": 12.45, "text": "Our capital expenditures this year includes strategic investments to improve productivity and yields at our sawmills, increase pulp production and reduce costs"}, {"path": "tedlium_5721.wav", "duration": 12.45, "text": "Our team did a great job leveraging this increased volume and focusing on continuous improvement initiatives to improve operating margin by 5 percentage points compared to last year's fourth quarter."}, {"path": "tedlium_5722.wav", "duration": 12.45, "text": "that was not included in our retax pre -- in our recast pretax earnings for the fourth quarter of 2016. We expect our provision for taxes on distributable earnings"}, {"path": "tedlium_5723.wav", "duration": 12.45, "text": "those of you who know us over a great many years, know that we have been very disciplined in how we purchased companies, and we intend to remain disciplined. And so"}, {"path": "tedlium_5724.wav", "duration": 12.45, "text": "we believe the recessionary comments, conversations with all of the experts have been significantly overblown, especially as it relates to the customers -- to our customers,"}, {"path": "tedlium_5725.wav", "duration": 12.45, "text": "So we are confident enough that the refinance activity will be so robust in the years ahead because of all the capital raised in the space that's causing that spread compression in the CLO market."}, {"path": "tedlium_5726.wav", "duration": 12.45, "text": "even in some places that are a little bit tight. And so our focus is really just on how much of our product we can get on the ground, how quickly in the remainder of the year."}, {"path": "tedlium_5727.wav", "duration": 12.45, "text": "that we had previously been. And that had a disproportionate impact on the profitability of those businesses that have a certain fixed costs base that is serviced by the scale of their operations."}, {"path": "tedlium_5728.wav", "duration": 12.45, "text": "how are you going to -- how you're trying to balance that? Can you do positive fee operating leverage with this outlook? Or is it just going to be one of those, hey, we got to make it through this and then the longer term, we come back to it as the market improves?"}, {"path": "tedlium_5729.wav", "duration": 12.45, "text": "resulting in our second half industrial operations likely remaining similar to that of the first half of 2017. A strong First Nations partnering strategy has been the foundation of our company since inception."}, {"path": "tedlium_5730.wav", "duration": 12.45, "text": "The Holmes Approved Homes program focused on the integration of the right building products, technology and building practice to construct a home that goes beyond residential standards from construction to final inspection."}, {"path": "tedlium_5731.wav", "duration": 12.45, "text": "Many of the integrated programs begin with the target identification capabilities of our Early Discovery business and encompass other Discovery sites as the program advances."}, {"path": "tedlium_5732.wav", "duration": 12.45, "text": "While we continue to see strong interest from various lending sources to finance our MH and RV assets, the combination of several factors is contributing to additional scrutiny by lenders as they evaluate opportunities."}, {"path": "tedlium_5733.wav", "duration": 12.45, "text": "We believe above-average dividends will drive returns over several years in the future. That's one reason that the management and the board continues to be very comfortable investing in the stock of Dynex Capital."}, {"path": "tedlium_5734.wav", "duration": 12.45, "text": "These lower retention numbers were the result of certain operational decisions made over the course of the year to let tenant leases expire in order to generate higher rental rates or opportunistic vacant property sales."}, {"path": "tedlium_5735.wav", "duration": 12.45, "text": "generally, people will commit to join you and sign something around the end of the first quarter when they know they're going to get their bonus, they will resign after that."}, {"path": "tedlium_5736.wav", "duration": 12.45, "text": "And then those that are deemed to respond after optimized treatment with valbenazine in the course of that open-label will be eligible to be randomized into the randomized withdrawal part of the study."}, {"path": "tedlium_5737.wav", "duration": 12.45, "text": "We believe, going back to the credit quality question, we lease to the right tenants, to the right businesses. We have a high prospect of maintaining those tenants over time"}, {"path": "tedlium_5738.wav", "duration": 12.45, "text": "our credit portfolio typically operating with closer to 2x leverage. So I would expect to see our portfolio leverage decrease over time as we increase our allocation to residential credit."}, {"path": "tedlium_5739.wav", "duration": 12.4499375, "text": "This increase was primarily due to increased in-basin sales activity as one of our contracted customers shifted volumes to our Van Hook Terminal from other destinations and is being charged transportation fee for this service."}, {"path": "tedlium_5740.wav", "duration": 12.4499375, "text": "Please refer to Page 2 of our presentation, which contains our safe harbor notice. I would like to remind everyone on this call that the presentation that follows may contain forward-looking statements."}, {"path": "tedlium_5741.wav", "duration": 12.42, "text": "Please turn to Slide 22. As we have discussed in prior calls, we have greatly reduced our operating expenses, which will make it far easier to grow NAV than in the past."}, {"path": "tedlium_5742.wav", "duration": 12.42, "text": "We've stated this before that we try to stay kind of center of the fairway and not get out ahead. We could get out ahead and you could drive a little bit, top line, more revenue, but then it also has an impact"}, {"path": "tedlium_5743.wav", "duration": 12.42, "text": "As you guys talk about the recovery here, I wonder if you could maybe measure your progress relative to that previous peak in terms of what you saw in the current quarter and,"}, {"path": "tedlium_5744.wav", "duration": 12.42, "text": "any return or return to more normalized claims environment will put upwards pressure on our combined ratio. And we should anticipate reduced margins."}, {"path": "tedlium_5745.wav", "duration": 12.42, "text": "Today, I'd like to talk a little bit about my background, why I joined Marvell, some initial thoughts on the company and what I plan to work on in the near term as I formulate a strategy to take Marvell to the next level. In"}, {"path": "tedlium_5746.wav", "duration": 12.42, "text": "So make no mistake, we'll get on to capital allocation, but it isn't going to be in the next month or 2 months, but it'd probably be within -- before the end of the year."}, {"path": "tedlium_5747.wav", "duration": 12.42, "text": "Well, unfortunately, I don't have that information right in front of us, but I can give you a generalization. From the standpoint of our decline"}, {"path": "tedlium_5748.wav", "duration": 12.42, "text": "in research to try and find ways of making our platform more immunogenic and more efficacious in terms of our ability to use it to stimulate responses to kill tumors."}, {"path": "tedlium_5749.wav", "duration": 12.42, "text": "I don't think anyone can call me responsible if I took the position with how the retail business is going to look in 20 or 25 years is almost impossible to predict today."}, {"path": "tedlium_5750.wav", "duration": 12.42, "text": "they all appealed to a different set of customers. And I think our job as merchants and marketeers is to bring that to life and our customers know they can get it at Five Below, and we do that through epic deals."}, {"path": "tedlium_5751.wav", "duration": 12.42, "text": "An improvement in sales trends will require us to focus on particular asset classes and approaches to portfolio construction, where active management has greater potential to deliver alpha."}, {"path": "tedlium_5752.wav", "duration": 12.42, "text": "and these fundamental drivers continue to improve. All this serves as a positive sign that housing dynamics in our markets remain healthy. And there are motivated buyers within each market segment"}, {"path": "tedlium_5753.wav", "duration": 12.42, "text": "but it's also a model that we think has a lot of -- let's say, has a good track record for the future. And we think that, that's a model that we will continue to employ."}, {"path": "tedlium_5754.wav", "duration": 12.42, "text": "could you help us put some sort of book ends with regards to the potential exposure you may have and what next steps in terms of timing we should look for?"}, {"path": "tedlium_5755.wav", "duration": 12.42, "text": "As we've mentioned before, we do not believe that the products mentioned in this litigation violate valid intellectual property of CommScope and we'll continue to defend our innovative solutions in growing market presence."}, {"path": "tedlium_5756.wav", "duration": 12.42, "text": "This should stabilize as we begin to deliver aircraft in early 2017. In addition, we have essentially completed the New Zealand SH-2 program, ending the conversion of that inventory to cash."}, {"path": "tedlium_5757.wav", "duration": 12.42, "text": "especially when you merge with a company that has as high loan quality as Southeastern does. So a couple things to think about when you think about our provision"}, {"path": "tedlium_5758.wav", "duration": 12.42, "text": "So as you can see, 2017 was an active year of beginning to reposition TriMas and investing for our future, all while delivering solid results."}, {"path": "tedlium_5759.wav", "duration": 12.42, "text": "the new loan production yields that we're getting and then the increase in our portfolio that's moving up with the rate increases. And then, certainly we intend to run our loan to deposit ratio"}, {"path": "tedlium_5760.wav", "duration": 12.42, "text": "The simplest takeaway from the letter is that the asset management industry in its current form is no longer a growth industry for a majority of traditional active asset managers."}, {"path": "tedlium_5761.wav", "duration": 12.42, "text": "Yes, from what we can see now with the limited visibility we have, we have reason to be optimistic about the markets of 2018. What gives me then the confidence to be"}, {"path": "tedlium_5762.wav", "duration": 12.42, "text": "And it's been continuing going forward. So our model in systemization is really around defining appropriate stages and steps for each of these areas. So we segregated"}, {"path": "tedlium_5763.wav", "duration": 12.42, "text": "This liquidity profile illustrates our ability to accelerate growing the company and still deliver a cash surplus more than enough for a competitive and sustainable dividend. So"}, {"path": "tedlium_5764.wav", "duration": 12.42, "text": "And while we will still do some optimization, I would say mid-next year, it should be with NRCs that are lower than what we are realizing right now."}, {"path": "tedlium_5765.wav", "duration": 12.42, "text": "Thank you, Craig, and thanks to everyone joining our call today. I would like to start by recognizing our employees for their dedication and hard work during our first year as a public company."}, {"path": "tedlium_5766.wav", "duration": 12.42, "text": "and people purposely trying to understand what does this change mean, right. And so, I think, there is the expected conversation that would occur around kind of the change assessment. That"}, {"path": "tedlium_5767.wav", "duration": 12.42, "text": "More importantly than this are the internals. Customer service is at an all-time high. And at the same time, we have our lowest ever level of stock and working capital."}, {"path": "tedlium_5768.wav", "duration": 12.42, "text": "As mentioned, we've seen some slowdown in bookings toward the end of the quarter as our customers realign their product needs to meet market conditions, with overall orders for the industry remaining healthy,"}, {"path": "tedlium_5769.wav", "duration": 12.42, "text": "of the opening. And as they enter the comp base, they enter the comp base at a very consistent historical level of the stores that are currently sitting in the comp base."}, {"path": "tedlium_5770.wav", "duration": 12.42, "text": "Yes. Well, thank you all for listening on the call and for your continued support. Be on the lookout for more announcements from us as we continue our business transformation and build out our streaming business"}, {"path": "tedlium_5771.wav", "duration": 12.42, "text": "While we have only been performing under RIIO for 6 months, as I mentioned earlier, the benefit of being fast-track afforded us the opportunity to begin to plan our approach to delivering outputs."}, {"path": "tedlium_5772.wav", "duration": 12.42, "text": "thing we see in terms of a theme. The other theme we see is that we see the emergence of so-called edge data centers. These are data centers that are smaller in nature,"}, {"path": "tedlium_5773.wav", "duration": 12.42, "text": "and at this point, the board and the controlling group is not -- the strategy of the company is not to make"}, {"path": "tedlium_5774.wav", "duration": 12.42, "text": "So there's things... Sure, understood. So there's things in the work that we might have already filed applications on and that we will file applications on that you guys won't see"}, {"path": "tedlium_5775.wav", "duration": 12.42, "text": "Achieving sustainable growth will require that we serve our existing markets at progressively higher points of need and develop repeatable service offerings and new products for broader markets."}, {"path": "tedlium_5776.wav", "duration": 12.42, "text": "we expect that the business unit, because of the momentum on the top line, as it did in the first quarter, will be able to offset a good portion of that."}, {"path": "tedlium_5777.wav", "duration": 12.42, "text": "We still think that oil and gas is a great market to be in over time. We think that we've made our footprint more flexible and that we will be better able to flex as the market fluctuates"}, {"path": "tedlium_5778.wav", "duration": 12.42, "text": "As Steve mentioned earlier, the Northstar Portfolio had a challenging first quarter as we saw increased credit supply impact marketing response rates, website visits and new account application volume."}, {"path": "tedlium_5779.wav", "duration": 12.42, "text": "And that's the bright side and we've been developing new tires and wheels for that, which we should be able to roll out beginning of the"}, {"path": "tedlium_5780.wav", "duration": 12.42, "text": "One which is probably somewhat remote would be Dodd-Frank reform in Congress. But another choice would be pursuing a variety of administrative channels, reflecting"}, {"path": "tedlium_5781.wav", "duration": 12.42, "text": "the technology and the product lines and the people and the relationships that are required. And we also anyway compete with ArcelorMittal and everyone else in Europe. So we're quite familiar with the nature of competition, and"}, {"path": "tedlium_5782.wav", "duration": 12.42, "text": "We believe our ability to innovate is something that separates us from competitors in our industry, and we will continue our significant investment and focus on new product development as we work on a substantial pipeline of product launches across our business."}, {"path": "tedlium_5783.wav", "duration": 12.42, "text": "which we believe will ultimately benefit readers and business partners and result in significant and sustained value creation for Gannett's stockholders."}, {"path": "tedlium_5784.wav", "duration": 12.42, "text": "More agile and digital IT platforms should both improve our product offerings, and in so doing our customer experience, but importantly at the same time deliver a more cost-efficient operating model,"}, {"path": "tedlium_5785.wav", "duration": 12.42, "text": "there were a handful more completed, but the difference in rejuvenation program cost is very meaningful. So I'm just trying to get a sense of if there's an increased pace of payout to the franchisee? Or has anything changed there?"}, {"path": "tedlium_5786.wav", "duration": 12.42, "text": "I can tell you from my recent industry experience in Washington, I think there's still a view that not all of this will ultimately survive,"}, {"path": "tedlium_5787.wav", "duration": 12.42, "text": "don't want to go down the road of giving kind of explicit guidance, but I'm wondering, just based on your comments on the state of the industry, I think, you even mentioned"}, {"path": "tedlium_5788.wav", "duration": 12.42, "text": "I highlighted it at the end of June last year because it was up so significantly and I was frankly kind of shocked with how large the pipeline was getting. And so here the sales team now, after receiving a quota increase,"}, {"path": "tedlium_5789.wav", "duration": 12.42, "text": "We appreciate your interest, and we look forward to discussing our results with you again next quarter. In the meantime, have a nice day and all the best to all of you. Thanks again."}, {"path": "tedlium_5790.wav", "duration": 12.42, "text": "due to challenging market conditions in the export channels in CCA, growth slowing in Colombia driven by recent tax increases and price increases in Mexico."}, {"path": "tedlium_5791.wav", "duration": 12.42, "text": "Additionally, we saw volatility impacts from the Supreme Court ruling, prohibiting the sale of alcohol in certain outlets near certain state highways as well as the route-to-market changes in certain states."}, {"path": "tedlium_5792.wav", "duration": 12.42, "text": "Our work on these issues is already having a positive impact. We have stabilized our workforce, we have significantly reduced open headcount, and employee morale has improved across the network."}, {"path": "tedlium_5793.wav", "duration": 12.42, "text": "Our account management leadership team along with our intermodal business unit have done a very good job in streamlining our processes, which has reduced our operating costs and improved our overall service to our customers."}, {"path": "tedlium_5794.wav", "duration": 12.42, "text": "the growth for some of the key segments in China could actually come in higher than other regions over the next several quarters."}, {"path": "tedlium_5795.wav", "duration": 12.42, "text": "And I'm just wondering if you can give us at least an updated sense of timing in which you might realize those benefits, and what the nature of them might be and magnitude, ideally?"}, {"path": "tedlium_5796.wav", "duration": 12.42, "text": "While we have not included this on our outlook, we believe an increase in federal infrastructure spending has the potential to drive demand for construction materials, both in the near and the long term."}, {"path": "tedlium_5797.wav", "duration": 12.42, "text": "in my presentation that we have already 3 ADCs. We have an immuno-oncology program. And because of our great desire to capitalize on these other opportunities,"}, {"path": "tedlium_5798.wav", "duration": 12.42, "text": "Before we begin, I would like to remind you that this call is being recorded and that information discussed today may include forward-looking statements regarding the company's financial and operating performance."}, {"path": "tedlium_5799.wav", "duration": 12.42, "text": "and how do we make sure that where we're doing business, it's really meaningful and impactful and that we can have the A-teams that are working on our product. Because footwear is one of those many things defined by the last 10% or the last 5% and making sure that we finish there."}, {"path": "tedlium_5800.wav", "duration": 12.42, "text": "We delivered another quarter of solid top line and bottom line growth, reflecting strong execution across our business as we continue to make progress on our Monro.Forward strategy."}, {"path": "tedlium_5801.wav", "duration": 12.42, "text": "these gray areas of interpretation can be narrowed, and the lines of what is and is not allowable can be more clearly drawn."}, {"path": "tedlium_5802.wav", "duration": 12.42, "text": "And we continue to believe that, that brand is best placed within pet specialty. So we will continue to offer that brand exclusively to the pet specialty channel,"}, {"path": "tedlium_5803.wav", "duration": 12.42, "text": "for us to continue to grow this metric, including increase the percent of our members that we're monetizing, increasing the share of wallet of our existing members that we are monetizing, and adding new revenue-generating products to our platform."}, {"path": "tedlium_5804.wav", "duration": 12.42, "text": "potential sales out of that, out of the addition, and that we should be done with the construction of that in Congers towards the end of this year and then qualifying customers to go into next year."}, {"path": "tedlium_5805.wav", "duration": 12.42, "text": "We believe our acquisitions of Alent and the OM Group businesses create a complementary and diversified solutions provider with a broad reach across the electronics and automotive markets."}, {"path": "tedlium_5806.wav", "duration": 12.42, "text": "largely due to the combination of lower contributions from hedges and weak summer liquidations. Most of the downside was in the West and Texas, while the East was relatively flat year-over-year."}, {"path": "tedlium_5807.wav", "duration": 12.42, "text": "We expect the ultimate market value of these projects to be considerably higher than what you see on our balance sheet. And so we continue to push towards stabilization on a number of our early investments to service real-life case studies for the investment community."}, {"path": "tedlium_5808.wav", "duration": 12.42, "text": "and workovers on Moran and Usano. As I mentioned earlier on, a pleasing note for our own company performance has been the increase in reserves and resources."}, {"path": "tedlium_5809.wav", "duration": 12.42, "text": "The recent widening of Permian differentials is a positive indicator for fee-based activity levels on our Permian systems and provides additional visibility for longer-term demand for incremental capacity."}, {"path": "tedlium_5810.wav", "duration": 12.42, "text": "As one of the final pieces of the Legacy Conagra portfolio to receive attention, our refrigerated products still appear on the shelf today, largely the same way they did in the '90s and it shows in the results."}, {"path": "tedlium_5811.wav", "duration": 12.42, "text": "But then the new people, I think, will start to become productive in the second half. So I think you're right. It's kind of fair to assume that the trajectory would be at a high level but kind of similar to the way it was last year."}, {"path": "tedlium_5812.wav", "duration": 12.42, "text": "the prior first quarter. And in the second quarter, we've given some of that back. And the reason we've given it back is really 2 reasons. One, we've had a different pattern of growth this year"}, {"path": "tedlium_5813.wav", "duration": 12.42, "text": "And I think that what that reflects is a growing conviction in the marketplace, that there are a very small number of places that you want to be as a midstream services provider."}, {"path": "tedlium_5814.wav", "duration": 12.42, "text": "These are very significant accomplishments and our people, once again, demonstrated their warrior spirit and that they are the best in the industry with their unmatched hospitality."}, {"path": "tedlium_5815.wav", "duration": 12.42, "text": "We serve customers in end markets with attractive growth rate and our expertise in advanced material delivers high profitability and attractive returns on invested capital."}, {"path": "tedlium_5816.wav", "duration": 12.42, "text": "the customers with whom we have been able to have contacts over a longer period of time. So they are in the areas where the traffic maybe hasn't suffered as much. So this is at least part"}, {"path": "tedlium_5817.wav", "duration": 12.42, "text": "more time with some of our key clients and explaining our plan to sell Technology, to reduce costs, strengthen our balance sheet, basically everything that we've described today in our prepared remarks."}, {"path": "tedlium_5818.wav", "duration": 12.42, "text": "I would now like to turn the call over to Jack Hockema. Jack? Thanks, Melinda. Our first quarter results were driven by margin compression due to escalating metal and freight costs."}, {"path": "tedlium_5819.wav", "duration": 12.42, "text": "For the fourth quarter and full year fiscal 2018, our results and related discussion do not reflect these changes and are, therefore, on the same basis of presentation as our previous quarters."}, {"path": "tedlium_5820.wav", "duration": 12.42, "text": "We believe the most likely paths the state might take are to negotiate a contract with HMS as the remaining bidder or to cancel the procurement and initiate a new process."}, {"path": "tedlium_5821.wav", "duration": 12.42, "text": "demonstrating the consistency of our revenue model, where we receive base rent, plus potential participation in the economic activity of our tenants through variable rent features in our leases."}, {"path": "tedlium_5822.wav", "duration": 12.42, "text": "While this shift impacted our reported cross-border growth rates, it has a minor effect on revenues since this is an intra-EU move the platform made to optimize the European business."}, {"path": "tedlium_5823.wav", "duration": 12.3900625, "text": "So most of the water goes into the evap pit and mother nature does what it's going to do. But in order to continue expanding that facility, which the market is crying for,"}, {"path": "tedlium_5824.wav", "duration": 12.3900625, "text": "Got you. That's helpful. And then could -- touching on sort of a little bit more the strategic side. Can you just kind of talk about sort of what you've seen in your sort of initial,"}, {"path": "tedlium_5825.wav", "duration": 12.39, "text": "As Dean reported earlier, we did have a full hearing last week, so that represents progress. We're still not able to predict any outcome at this time but anticipate a ruling from the judge in a matter of weeks."}, {"path": "tedlium_5826.wav", "duration": 12.39, "text": "Our new group purchasing organization contract and membership conversion will result in improved purchasing power, new supply chain business solutions in favorably negotiated agreements."}, {"path": "tedlium_5827.wav", "duration": 12.39, "text": "And as soon as we announced that yesterday to the team, the -- Keith said that the sales team was filling his inbox with congratulations because, as you can imagine, they love the fact now"}, {"path": "tedlium_5828.wav", "duration": 12.39, "text": "remind everybody that innovation for us typically tends to be skewed more towards the back half, and this fiscal year will be no exception. The one innovation I'd like to point everybody's attention to perhaps"}, {"path": "tedlium_5829.wav", "duration": 12.39, "text": "due primarily to the timing of recognition of inventory gains and lower spreads in the butane lending business. NGL transportation volumes on our wholly-owned and joint venture pipelines"}, {"path": "tedlium_5830.wav", "duration": 12.39, "text": "But we've had some lumps along the way, it's just that one lump is a little bit bigger than the next and then all of a sudden, it just kind of fell off this quarter. So I didn't really have anything of significance to provide any additional"}, {"path": "tedlium_5831.wav", "duration": 12.39, "text": "fairly low, and we also have currency hedges on our capital in the China bank running through that line item in the income statement. So"}, {"path": "tedlium_5832.wav", "duration": 12.39, "text": "The weakness that we saw in the second quarter continued into the third quarter, including soft sales in both pharmacy and the front store as well as reduced margins in pharmacy."}, {"path": "tedlium_5833.wav", "duration": 12.39, "text": "the redemption options are dramatically better than any of our competitors. I think you roll all those things together and we are very optimistic that we will increase our share of wallet,"}, {"path": "tedlium_5834.wav", "duration": 12.39, "text": "There is no dairy products included, it's just fruits and no added sugar at all. So this is the most healthy smoothie on the market."}, {"path": "tedlium_5835.wav", "duration": 12.39, "text": "the consequential amendments to IAS 1, we adjusted the presentation of other operating income and other operating expenses in order to allow for a more granular view of the company's operating expenses"}, {"path": "tedlium_5836.wav", "duration": 12.39, "text": "Yes, well, okay. So believe me and you can imagine, Brian, knowing us as well as you do, that we have a similar level of discipline in every one of our operating groups or segments."}, {"path": "tedlium_5837.wav", "duration": 12.39, "text": "Secondly, the group also received authorization from the regulators to operate reinsurance activities at the holding level, leading to higher fungibility of capital within the group."}, {"path": "tedlium_5838.wav", "duration": 12.39, "text": "everything that gets filed directly to shareholders. And if I were to take a chance at a very rough summary, I would say that it wasn't a very surprising defense. Basically, there was general"}, {"path": "tedlium_5839.wav", "duration": 12.39, "text": "into this year. And our guidance also assumed the best knowledge we had at the time from the operators, which was for -- at that point, they weren't prepared to talk about"}, {"path": "tedlium_5840.wav", "duration": 12.39, "text": "Given that the investing community is increasingly focused on the potential value destruction that is expected to occur in long-duration, fixed-rate assets as interest rates rise,"}, {"path": "tedlium_5841.wav", "duration": 12.39, "text": "As I previously have mentioned, we continuously look for opportunities to create shareowner value as we've really done over the past decade. And if there is a clear and compelling path"}, {"path": "tedlium_5842.wav", "duration": 12.39, "text": "as you know, we've done a number of acquisitions. And some of those, even though they're in different product platforms, are in the same local geographic area. Chicago's a great example, where we have consolidated"}, {"path": "tedlium_5843.wav", "duration": 12.39, "text": "how they have been performing very strongly. in the case of Vueling, in the case of British Airways. There is a piece there having to do with"}, {"path": "tedlium_5844.wav", "duration": 12.39, "text": "we are largely insulated from this dynamic, which is creating a gap and a growing gap between our sub trends and those of many cable networks. And our net retransmission rates are essentially the same,"}, {"path": "tedlium_5845.wav", "duration": 12.39, "text": "the knee-jerk reaction and tendency for some people with models out there to do. So we just encourage people to keep in mind that there will be inflationary cost drivers, equipment, things like that, that we have to factor in as well."}, {"path": "tedlium_5846.wav", "duration": 12.39, "text": "While that processes is obviously taking longer than we had hoped, we anticipate that we will receive approval in the next couple of months, and this would give us a presence in London and Frankfurt, the 2 large data center markets in Europe."}, {"path": "tedlium_5847.wav", "duration": 12.39, "text": "The new line established at our Mishima factory to expand production capacity for our line of in-Jelly products has been operating stably since coming online."}, {"path": "tedlium_5848.wav", "duration": 12.39, "text": "Awareness of our products is gradually rebounding, and recognition of HI-CHEW and other products made in Japan is being increased through the e-commerce channel."}, {"path": "tedlium_5849.wav", "duration": 12.39, "text": "Well, the one has talked to us for a while, and now is coming to the point. This is not the one that we've been talking to for a while and told you about."}, {"path": "tedlium_5850.wav", "duration": 12.39, "text": "exceed our guidance again in the first quarter. We have consistently outperformed expectations and delivered a balance of growth and profitability that is among the strongest of publicly traded security software companies."}, {"path": "tedlium_5851.wav", "duration": 12.39, "text": "Having gone through 2 conversions in the first half of 2018, we are particularly pleased with this level of loan growth for the quarter and the ability of our new merger partners had exhibited in holding on to relationships during this transition."}, {"path": "tedlium_5852.wav", "duration": 12.39, "text": "good start to the year in the first half. In the second half of the year, we absolutely need to continue to think about our customers, we need to make sure that our production ramp-up continues to happen."}, {"path": "tedlium_5853.wav", "duration": 12.39, "text": "During the second quarter, uncertainty in global financial markets led investors into the relative safety of U.S. Treasuries, sending interest rates lower."}, {"path": "tedlium_5854.wav", "duration": 12.39, "text": "an update to our Codexis pipeline snapshot, with data current as of June 30, 2017. Note there is a modified, more informative format to this year's pipeline chart."}, {"path": "tedlium_5855.wav", "duration": 12.39, "text": "and expected to grow double digit. 3rd Space does present logistical challenges, but we intend to lead here, ensuring our brands take full advantage of this cultural phenomenon."}, {"path": "tedlium_5856.wav", "duration": 12.39, "text": "do more with less. Centralizing resources and making better use of shared services will allow our markets to be totally focused on execution and driving growth."}, {"path": "tedlium_5857.wav", "duration": 12.39, "text": "pretty evenly across it. The problem is that the trucks and SUVs and crossovers are already running at capacity. So even though people are buying fewer cars,"}, {"path": "tedlium_5858.wav", "duration": 12.39, "text": "in Australia, we expect tonnes to be growing by about the size of Burrup. If you look at the East right now, it's already -- the East is already probably in deficit,"}, {"path": "tedlium_5859.wav", "duration": 12.39, "text": "This includes the impact of the change in scope of services with our largest customer, along with a couple other large accounts that had significant declines due to the changes in their businesses."}, {"path": "tedlium_5860.wav", "duration": 12.39, "text": "programs that the group is working on to continually kind of freshen the sources of our tour generation. So I think what you're seeing, I do not expect it"}, {"path": "tedlium_5861.wav", "duration": 12.39, "text": "I'd like to begin with a brief overview of our third quarter, followed by an update on the end-market highlights and then our strategic priorities. I will then turn the call over to George for a closer look at the numbers."}, {"path": "tedlium_5862.wav", "duration": 12.39, "text": "At the end of our fourth quarter, we expect to be in a better position to provide expectations of the rate of realization of benefits over the next 2 years and the impact on our EBITDA margins."}, {"path": "tedlium_5863.wav", "duration": 12.39, "text": "okay -- Q1, logistics side has been difficult because of the tightness of the trucking market. So yes, we lost a little bit of revenue in our logistics division, but not in our last mile."}, {"path": "tedlium_5864.wav", "duration": 12.39, "text": "enabling us to continue to pursue in-licensing of product acquisition opportunities to augment our marketed and development product portfolios and additional strategies to create shareholder value."}, {"path": "tedlium_5865.wav", "duration": 12.39, "text": "We recently announced that we're expanding into China, and the first store there is on track to open later this year. We also have new partnerships in Argentina and Central America."}, {"path": "tedlium_5866.wav", "duration": 12.39, "text": "This transformation will provide a solid platform for us to optimize value out of our current asset portfolio and provide a foundation for us to manage future growth opportunities."}, {"path": "tedlium_5867.wav", "duration": 12.39, "text": "Additional information about factors that could cause actual results to differ materially from expectations and about material factors or assumptions applied in making forward-looking statements"}, {"path": "tedlium_5868.wav", "duration": 12.39, "text": "But I would assume that it would have some small impact in us. How much, I don't think it is huge, but again, all of the customers that are mentioned as shipping"}, {"path": "tedlium_5869.wav", "duration": 12.39, "text": "Our target is to be a company that always has growth in the full picture as well as organically. Organically is a more important part for us because that's really the"}, {"path": "tedlium_5870.wav", "duration": 12.39, "text": "We are working on a comprehensive management structure for Charles River Safety Assessment business, which will maximize the talents and best-in-class processes of both organizations."}, {"path": "tedlium_5871.wav", "duration": 12.39, "text": "These non-GAAP company-defined measures are being provided because management believes they are useful in analyzing the company's operating performance and cash flow before the impact of various reorganization and other charges."}, {"path": "tedlium_5872.wav", "duration": 12.39, "text": "Many of these younger patients are exposed to opioids for the first time following common procedures like wisdom tooth extractions. Improving access to opioid-free solutions like EXPAREL is critical in this vulnerable population."}, {"path": "tedlium_5873.wav", "duration": 12.39, "text": "So the J code gives us a very straight-line opportunity to have those discussions but in many cases, they have to be had in the future. So I think if you look out in time,"}, {"path": "tedlium_5874.wav", "duration": 12.39, "text": "The highlights of this would, firstly, be the listing on the Johannesburg Stock Exchange, with a secondary listing on the London Stock Exchange of a new South African holding company to be called Old Mutual Limited,"}, {"path": "tedlium_5875.wav", "duration": 12.39, "text": "we've noticed recently in the last couple of years or so in South Africa a greater desire by major shareholders to participate in strategic direction of those particular companies."}, {"path": "tedlium_5876.wav", "duration": 12.39, "text": "We think the direct connection between property management, leasing and tenants will ultimately result in an enhanced and uniform tenant experience, allowing us to attract and retain the best tenants"}, {"path": "tedlium_5877.wav", "duration": 12.39, "text": "We will discuss some non-GAAP measures in talking about our company's performance. You can find the reconciliation of these non-GAAP measures to the most directly comparable GAAP measures in the presentation accompanying this conference call."}, {"path": "tedlium_5878.wav", "duration": 12.39, "text": "on our relationship with several of other Alpha's competitors. I remain optimistic though that the strength of EnerSys' global sales network should help Alpha's international sales."}, {"path": "tedlium_5879.wav", "duration": 12.39, "text": "it had actually increased pretty significantly in Q1 as a result of borrowing to fund the Aclara acquisition in February. So a lot of hard work from the team went into reducing that balance from the Q1 level."}, {"path": "tedlium_5880.wav", "duration": 12.39, "text": "We are also actively assessing our portfolio on a return basis, and all of our businesses will need to have a path to attractive returns or we will look at all other options to create value."}, {"path": "tedlium_5881.wav", "duration": 12.39, "text": "as we stabilize operations and increase revenue-generating investments in an inflationary environment, including the anticipated impact of tariffs and input cost increases, partially offset by pricing actions."}, {"path": "tedlium_5882.wav", "duration": 12.39, "text": "She is a subject matter expert in operational excellence and lean manufacturing, which, combined with her leadership capability and passion for manufacturing, made her the perfect choice to lead this imperative."}, {"path": "tedlium_5883.wav", "duration": 12.39, "text": "comfort with procedures, generally speaking and then this procedure. But one thing that I know will help in this case is the opportunity to have more patients available to move that learning curve forward."}, {"path": "tedlium_5884.wav", "duration": 12.39, "text": "Given this positive feedback, in conjunction with the actions we are taking, there are exciting opportunities ahead of us. At the same time, I recognized that 2016 was clearly a difficult year."}, {"path": "tedlium_5885.wav", "duration": 12.39, "text": "We will continue to focus on debt reduction, we will continue to focus on strengthening the balance sheet. And I think that gives us a good platform to continue to grow the company strategically"}, {"path": "tedlium_5886.wav", "duration": 12.39, "text": "And that enables the Quest reps to really go out and sell the product without any concern around reimbursement or managed care agreement and smooth the process to getting the samples into the lab."}, {"path": "tedlium_5887.wav", "duration": 12.39, "text": "Due to the extreme pressures and temperatures encountered in the deepwater arena, Core brought together a combination of proprietary rock and reservoir fluid laboratory technologies to address these challenging analytical programs."}, {"path": "tedlium_5888.wav", "duration": 12.39, "text": "in the existing business? And then if you could talk to potential investment outside of what you're doing currently. If there is any way to provide a little bit more color there, I think, that would be helpful."}, {"path": "tedlium_5889.wav", "duration": 12.39, "text": "Management's prepared remarks will track the presentation. Please turn to Slide 4 to follow along. Please note that any references to figures in this presentation are qualified in their entirety by the endnotes at the back of the presentation."}, {"path": "tedlium_5890.wav", "duration": 12.39, "text": "It's been well delineated by offset well results in addition to our own, and we expect this acreage to be in the top 20% of our inventory."}, {"path": "tedlium_5891.wav", "duration": 12.39, "text": "Reveal line has been re-branded as Signature and we've introduced additional options with that such as curved rail as well as lighting applications."}, {"path": "tedlium_5892.wav", "duration": 12.39, "text": "As part of this plan, we are placing added emphasis on the fastest-growing segments within our categories with the goal of transforming our portfolio over time."}, {"path": "tedlium_5893.wav", "duration": 12.39, "text": "No. I mean, we're just now, Chip, starting to get into that process. It's really going to be very much project dependent. I mean, I'd don't -- at this point, I don't foresee any major bricks and mortar or anything like other than"}, {"path": "tedlium_5894.wav", "duration": 12.39, "text": "Yet even with active production in the unit for over 5 years, production appears to be in line with expectations and is still cleaning up. We've also seen production uplift in some of the existing parent wells."}, {"path": "tedlium_5895.wav", "duration": 12.39, "text": "the point being here, Sarah, this is such an important question. We believe we continue to prove the point that organic growth and margin improvement from us is not about insurance pricing or market impact, it's really about our ability to continue to invest"}, {"path": "tedlium_5896.wav", "duration": 12.39, "text": "I'll close with touching on our greatest assets, our people. Our employees have the right drive and heart, what I call heart ownership of EnLink. Heart ownership means that our teams have a strong ownership mentality,"}, {"path": "tedlium_5897.wav", "duration": 12.39, "text": "We saw good inflows of new business in Norway and in Sweden in particular, where our second partnership agreement took effect in the second quarter."}, {"path": "tedlium_5898.wav", "duration": 12.39, "text": "We intend to be the leading asset servicer, asset manager and data inside provider to the owners and managers of the world's capital. This vision will be driven by 5 strategic priorities."}, {"path": "tedlium_5899.wav", "duration": 12.39, "text": "Our strategy for the last 18 months has been to maximize the efficiency of each business division in the group, while at the same time ensuring that each of those business divisions is capable of operating independently of headquarters."}, {"path": "tedlium_5900.wav", "duration": 12.39, "text": "how -- can you give us some specific examples of how you alter your assortment or strengthen your product offering so that you can really better defend yourself?"}, {"path": "tedlium_5901.wav", "duration": 12.39, "text": "it's the instruments engineering team working with the RFS team in designing 10 standardized packages that cover 90% of our range, for example. So that's a major ongoing new product development initiative"}, {"path": "tedlium_5902.wav", "duration": 12.39, "text": "While it was critical to build our team to keep pace with the growth of our business, it's become clear that we can now unlock substantially more productivity simply by changing the way that we work and by continuing to build an inclusive and creative culture."}, {"path": "tedlium_5903.wav", "duration": 12.39, "text": "I am pleased with the progress that the insurance team, including the new actuarial team, has made to improve our pricing processes and discipline."}, {"path": "tedlium_5904.wav", "duration": 12.39, "text": "We invested in working capital during the first quarter, as we typically do this time of year, especially in our Canadian ag business. And our cash flow reflects that investment."}, {"path": "tedlium_5905.wav", "duration": 12.39, "text": "that's developed around the large customer program for a number of reasons. I mean, there's been evolving initiatives and priorities and objectives, and that's really where the issue is"}, {"path": "tedlium_5906.wav", "duration": 12.39, "text": "later this year. I'm kind of wondering what the gating steps are to getting that started? And if you could provide any additional color on the size or scope of that study?"}, {"path": "tedlium_5907.wav", "duration": 12.39, "text": "and, in that, in addition to some of the market recovery. And so as we see the Middle East now with oil and gas beginning to recover, we see industrial refrigeration. We're up"}, {"path": "tedlium_5908.wav", "duration": 12.36, "text": "no problem at all demonstrating the ability to convince the customers that not only are we stable, but we're back in the growth mode. That's my feeling, Harlan."}, {"path": "tedlium_5909.wav", "duration": 12.36, "text": "Okay, great. And then just kind of switching gears, there were some articles this quarter about Argo being possibly interested in a sizable acquisition. So maybe you don't want to talk about that one specifically,"}, {"path": "tedlium_5910.wav", "duration": 12.36, "text": "And I think that we will employ the right negotiation strategy, and at this time, I think it will be inappropriate for me to comment on many things that we have not finalized."}, {"path": "tedlium_5911.wav", "duration": 12.36, "text": "We know about the costs, and we know about the discussions that we have with retailers pretty well. So while we don't take it lightly, we certainly think that taking a hard look at"}, {"path": "tedlium_5912.wav", "duration": 12.36, "text": "Our sales performance was indicative of the continued improvement in our U.S. Automotive business and the steady growth we continue to generate in our Australasian and Canadian operations."}, {"path": "tedlium_5913.wav", "duration": 12.36, "text": "I -- we launched our brand-new website last week. So I want to invite you to take a look at it. It has a clearer navigation, cleaner look and also added video content. And in one of the videos you can actually see me put on a bow tie, which"}, {"path": "tedlium_5914.wav", "duration": 12.36, "text": "And I'm not going to comment on any specific deals that might be in progress right now. But safe to say, we're in active discussions with some of the major MVPDs, and don't be surprised if you see us announce something before the end of the year."}, {"path": "tedlium_5915.wav", "duration": 12.36, "text": "My question is, as you go-to-market with the Content Ratings and Total Audience, do you add those as a bundle and try to add them to existing contracts? Or are people buying those one at a time?"}, {"path": "tedlium_5916.wav", "duration": 12.36, "text": "At Assurant Solutions, we remain focused on executing our strategy of growing the Connected Living platform globally through innovative products and services as well as new partnerships."}, {"path": "tedlium_5917.wav", "duration": 12.36, "text": "This was primarily due to cost reduction efforts and an increase in income related to sales volume and model mix, which more than offset the negative impact of ForEx effects and other factors."}, {"path": "tedlium_5918.wav", "duration": 12.36, "text": "We are also beginning the process to share back-of-the-house resources and expertise as we leverage the TriMas model and assist our businesses in achieving their plans and strategies."}, {"path": "tedlium_5919.wav", "duration": 12.36, "text": "just at the high level, that's very strong in the quarter in terms of business operating profit. Are there any special drivers behind that? And where would you say"}, {"path": "tedlium_5920.wav", "duration": 12.36, "text": "As highlighted in this morning's press release, we provided updated full year 2018 guidance to reflect the impact of the disposition of the Language Solutions business."}, {"path": "tedlium_5921.wav", "duration": 12.36, "text": "The second measure is net cash generated from customer contracting activities, which is our reported net income before interest, taxes, depreciation and amortization,"}, {"path": "tedlium_5922.wav", "duration": 12.36, "text": "and, combined with the upfront cash and equity investment we expect to receive from the Lilly collaboration and license agreement upon completion of customary closing conditions and achievement of Hart-Scott-Rodino Act clearance,"}, {"path": "tedlium_5923.wav", "duration": 12.36, "text": "We're seeing a significant opportunity to increase Funding Stream volume through the broker community, but we're resisting that. And we had a couple of -- there's been a couple of competitors that have"}, {"path": "tedlium_5924.wav", "duration": 12.36, "text": "better for higher quality. And this means that our cost of acquisition are -- have edged up a bit."}, {"path": "tedlium_5925.wav", "duration": 12.36, "text": "Throughout the year, we were able to capitalize on our organic growth initiatives and the strong demand environment we are experiencing across many of our industrial end markets,"}, {"path": "tedlium_5926.wav", "duration": 12.36, "text": "As of today, our expectation is that it would be something similar to the charges we reported in the fourth quarter, but this, of course, could change. Second, regarding the impact of tax reform,"}, {"path": "tedlium_5927.wav", "duration": 12.36, "text": "First, we are investing in training and development across our entire platform to both streamline internal processes and operations as well as to improve the customer experience."}, {"path": "tedlium_5928.wav", "duration": 12.36, "text": "I think the biggest thing for us is, we believe that this strategy, while expensive, still with a good return, puts us in front of customers that we otherwise would have never seen."}, {"path": "tedlium_5929.wav", "duration": 12.36, "text": "the way we think about these additional locations is that they are physical plants for the company, and we will be integrating and selling all of our assets through those."}, {"path": "tedlium_5930.wav", "duration": 12.36, "text": "So we're trying to convert those folks just as we tried and were successful in converting about 2%, more or less, of the app users who were using the service for free."}, {"path": "tedlium_5931.wav", "duration": 12.36, "text": "We also continue to refine our off-price channel distribution as it remains a strong area for the retail industry overall. We believe we can drive profitable growth from this channel without sacrificing our brand integrity."}, {"path": "tedlium_5932.wav", "duration": 12.36, "text": "retaining customers around contract renewal time. The intended consequence of that is it frees up our sales executives to just focus on selling,"}, {"path": "tedlium_5933.wav", "duration": 12.36, "text": "and we've had great results from that and a bunch of those businesses sit in the FMT portfolio. And I really should say, I should add price, right? We continue to get positive price"}, {"path": "tedlium_5934.wav", "duration": 12.36, "text": "We had several notable bookings in Q4 as we continue to consolidate the market. Louisiana State Police went with full deployment on the Axon platform on our unlimited plan for all officers."}, {"path": "tedlium_5935.wav", "duration": 12.36, "text": "And we expect that to continue into RIIO-ED1. Our ability to execute on our plans and achieve incentive revenue has been key to our financial performance."}, {"path": "tedlium_5936.wav", "duration": 12.36, "text": "with the goal of generating reasonable top line support for our successful underwriting operations without getting out over our skis stretching for yield."}, {"path": "tedlium_5937.wav", "duration": 12.36, "text": "Thank you very much. I will once again reiterate our excitement about the vision, our belief that we'll be in the clinic next year with a compelling and differentiated"}, {"path": "tedlium_5938.wav", "duration": 12.36, "text": "and increased free cash flow in the quarter. All in all, I would say that the performance in first quarter was in line with our own expectations."}, {"path": "tedlium_5939.wav", "duration": 12.36, "text": "These improvements are driven by diversification in our overall company revenue as we expand our Automotive business, grow in factory automation and broaden our base of products, platforms and customers in Consumer."}, {"path": "tedlium_5940.wav", "duration": 12.36, "text": "The facility carries an advance rate of up to 85% on eligible contracts, which means that the facility is available to fund the majority of the increase in the company's portfolio growth."}, {"path": "tedlium_5941.wav", "duration": 12.36, "text": "But that doesn't break the trend over the rest of the year, which is a trend to deleverage in terms of net debt-to-EBITDA ratios."}, {"path": "tedlium_5942.wav", "duration": 12.36, "text": "Our continued evolution to a single integrated company that is heavily embedded in technology-driven diagnostic products and services is very evident in all aspects of our operations."}, {"path": "tedlium_5943.wav", "duration": 12.36, "text": "peer companies be acquired by large multinational entities or national entities. We see the uniqueness of our presence"}, {"path": "tedlium_5944.wav", "duration": 12.36, "text": "I am also proud of our continued ability to innovate, even in challenging market conditions. In the first quarter, we launched a new partnership with Drizly, which is a program that brings home delivery of our products"}, {"path": "tedlium_5945.wav", "duration": 12.36, "text": "The company undertakes no duty to update them to reflect future events, information or circumstances that arise after the date of this conference call, except as required by law."}, {"path": "tedlium_5946.wav", "duration": 12.36, "text": "In the second quarter, we selected a couple of vendors whose technology we will leverage to enable this front-end transformation. We have 3 pilots underway and expect results from these pilots by the end of the year."}, {"path": "tedlium_5947.wav", "duration": 12.36, "text": "Sure. I'm going to comment more on the types of capabilities than on kind of where we're at in the process on some of those potential targets."}, {"path": "tedlium_5948.wav", "duration": 12.36, "text": "One dynamic that we continue to see play out in the market is even, very large plan sponsors looking to bring maybe slices of their liability to the market,"}, {"path": "tedlium_5949.wav", "duration": 12.36, "text": "business growth drivers, strategic priorities and values we create. It ensures that we consider multiple perspectives and our impact to stakeholders when making business decisions."}, {"path": "tedlium_5950.wav", "duration": 12.36, "text": "So Federico's joining the Titan team comes at a very opportune time. Federico is exceptionally well qualified to help us consider and evaluate"}, {"path": "tedlium_5951.wav", "duration": 12.36, "text": "We saw European strength in small molecule applications and continued performance in biopharm applications, where we are well positioned with our targeted LC-MS and biopharmaceutical separation solutions."}, {"path": "tedlium_5952.wav", "duration": 12.36, "text": "We have also just completed a rebranding effort for BIOCORNEUM to elevate the premium messaging and look at the product to more closely align with the Sientra premium image."}, {"path": "tedlium_5953.wav", "duration": 12.36, "text": "So while in the short-term our financial performance has come under pressure from both the economic environment in South Africa and from the underperformance of ETI, we remain committed to our medium- to long-term targets"}, {"path": "tedlium_5954.wav", "duration": 12.36, "text": "The Switch hardware performance along with the solid attach rate of accessories and software driven by our knowledgeable store associates, resulted in one of the strongest hardware launches of all time."}, {"path": "tedlium_5955.wav", "duration": 12.36, "text": "So first of all, thank you for the question because I think it's a very important one as we think through it. As we have highlighted to you a number of years ago, and I tried to mention that in the my opening comments."}, {"path": "tedlium_5956.wav", "duration": 12.36, "text": "and the same thing with the insurance and annuities. We have a good complement with the insurance and Annuities that are solutions against our retail client base. No additional acquisition cost per se. We have got the client relationship"}, {"path": "tedlium_5957.wav", "duration": 12.36, "text": "what feels to us very sustainable and predictable cost rates that have benefited now from those restructuring actions. So the margin expansion"}, {"path": "tedlium_5958.wav", "duration": 12.36, "text": "over the intermediate term. It will do that for us and that's just the price of being in the business. And we have to -- we look at other ways to leverage the business to ensure that we deliver the bottom line."}, {"path": "tedlium_5959.wav", "duration": 12.36, "text": "These actions allowed us to have a more focused, targeted allocation of our time and resources on activities that are central to our strategy and should drive optimal results for the business going forward."}, {"path": "tedlium_5960.wav", "duration": 12.36, "text": "that split covering the rail increases for the balance of the year? Or does the internal initiatives on box turning drayage and I think that kind of thing become more important as the year progresses?"}, {"path": "tedlium_5961.wav", "duration": 12.36, "text": "was, I'd say, relatively soft at the beginning and then picked up steam at the end. But certainly, it was not a record by any stretch. And so I think we feel comfortable in continue to being able to drive growth there."}, {"path": "tedlium_5962.wav", "duration": 12.36, "text": "have improved, what we call their conversion rates. So we -- and in many markets, we have always gotten these types of referrals from physicians in the past but weren't able to convert to an admission"}, {"path": "tedlium_5963.wav", "duration": 12.36, "text": "That's correct. We're running 1 shift in 1 clean room. We are in the process of opening up the second clean room, and that -- there are costs associated with that, that will definitely fall into the third and fourth quarters."}, {"path": "tedlium_5964.wav", "duration": 12.36, "text": "This call is being recorded by Veeco Instruments and is copyrighted material. It cannot be recorded or rebroadcast without Veeco's expressed permission. Your participation implies consent to our taping."}, {"path": "tedlium_5965.wav", "duration": 12.36, "text": "As we look at 2016, we expect that the business will remain challenged throughout much of the year. We're working through our spring product and looking forward to debuting our fall collection from our new team."}, {"path": "tedlium_5966.wav", "duration": 12.36, "text": "are expected to be roughly offset by increased expenses associated with trucking and other system balancing costs we are incurring until our Permian debottleneck activities are completed."}, {"path": "tedlium_5967.wav", "duration": 12.36, "text": "Subscription specific. But other elements like MFT, they may want to continue to run it in their server room for their own reasons and buy a license for budgeting or other reasons."}, {"path": "tedlium_5968.wav", "duration": 12.36, "text": "As we've shared in Investor Day, we expect to continue to keep pace with industry digital growth and expect full game downloads to eventually settle in at the 25% to 30% range."}, {"path": "tedlium_5969.wav", "duration": 12.36, "text": "in the next few weeks and be able to be in a position to announce that. I cannot comment on the proposed terms of the partnership of about what we've actually put in today's ASX statement."}, {"path": "tedlium_5970.wav", "duration": 12.36, "text": "invested capital. So I think the point was that we're certainly open and interested for the right opportunity and not really seeing any major change in the environment."}, {"path": "tedlium_5971.wav", "duration": 12.36, "text": "We are uniquely positioned to serve the growing demand given our strategic asset base that stretches along the Louisiana coast and includes storage and ownership and operation of the Henry Hub."}, {"path": "tedlium_5972.wav", "duration": 12.36, "text": "and we invest and extend our capacities with a new furnace in Essen, line upgrades in various facilities as well as our decoration line capacities."}, {"path": "tedlium_5973.wav", "duration": 12.36, "text": "we're also seeing that a growing share at the entry level and the overall level of housing starts are very early cycle. So you've got some aspects to the market that are kind of early cycle-ish, and then you have some aspects that seem like they're more later cycle-ish."}, {"path": "tedlium_5974.wav", "duration": 12.36, "text": "Okay. So as you look a couple of years ago, as you looked out, it's actually materialized where you thought some of your customers would start to look and outsource some of these components that your expertise is in. That's happening."}, {"path": "tedlium_5975.wav", "duration": 12.36, "text": "First about these new actions. I assume that you haven't been able to discuss with Terex anything about this. But your comment -- is there a risk that now you are"}, {"path": "tedlium_5976.wav", "duration": 12.36, "text": "We have added additional expertise on planning and scheduling of maintenance work, reducing the amount of emergency work on equipment. We expect the implementation phases of all the processes to be complete by mid-year."}, {"path": "tedlium_5977.wav", "duration": 12.36, "text": "Our product portfolio comprises the basic elements of every vehicle's electrical architecture and control architecture. I'm excited about the opportunities and solutions that Stoneridge offers in each of these areas."}, {"path": "tedlium_5978.wav", "duration": 12.36, "text": "Additionally, I'll highlight the significant progress made in our penetration of the industrial process segments driven by our increased focus on these market, coupled with the continuing increase in general automation."}, {"path": "tedlium_5979.wav", "duration": 12.36, "text": "have followed along with that fund phenomenon. So it's been general credit spread widening in all asset classes. And we do think that the market will recover."}, {"path": "tedlium_5980.wav", "duration": 12.36, "text": "We had thought that, that day would be 2 years in the future. In fact, due to the terrific work done by all the managers here, we have accelerated that date of independence from high volatility to today."}, {"path": "tedlium_5981.wav", "duration": 12.36, "text": "Despite these hurdles, we continue to improve the pace of new implementations and have better aligned the internal account management, sales, finance and operations teams"}, {"path": "tedlium_5982.wav", "duration": 12.36, "text": "Well, in the first quarter, the margins in those 2 segments were up nicely compared to last year and were both a bit ahead of"}, {"path": "tedlium_5983.wav", "duration": 12.36, "text": "and potential for India -- the Indian market to kind of leapfrog card payments and go straight to mobile? And how is Visa positioned on the ground to sort of preserve and grow their share within electronic payments in India?"}, {"path": "tedlium_5984.wav", "duration": 12.33, "text": "as well as the introduction of Guidewire. We're also looking to expand our market footprint in home, staying firmly in the over-50s camp and using the strong panel to help us to grow."}, {"path": "tedlium_5985.wav", "duration": 12.33, "text": "We have focused the remaining Metals business on our vertically integrated aluminum franchise, including our Jamalco asset, as well as our Asian-based Metals franchise."}, {"path": "tedlium_5986.wav", "duration": 12.33, "text": "And we intend to continue value strategy going forward. Nevertheless, the Christmas season is going to be full of very attractive offers."}, {"path": "tedlium_5987.wav", "duration": 12.33, "text": "Building on these successes, the application now becomes part of our digital centric launch of the Argo Construction business units in the third quarter, which we announced a few weeks ago."}, {"path": "tedlium_5988.wav", "duration": 12.33, "text": "assumptions regarding interest rates and prepayments, changes in the yield curves and changes in government programs or regulations affecting our business are forward-looking statements by their nature. The company's actual results"}, {"path": "tedlium_5989.wav", "duration": 12.33, "text": "what is your action plan? And maybe you can already talk about some key market beyond China and India. My second question is on Western Europe."}, {"path": "tedlium_5990.wav", "duration": 12.33, "text": "It is absolutely clear that as patients have emerged out of the dark years, efficacy is substantially improved, and now what is important to them is improved convenience."}, {"path": "tedlium_5991.wav", "duration": 12.33, "text": "We had circa -- I think it was 500 cars that were fully written off. So our deliveries in the first half were negatively impacted by our inability to deliver, not only new car stock that was sitting"}, {"path": "tedlium_5992.wav", "duration": 12.33, "text": "But what we have found in our industry is that the water utilities view their data -- their customer data as very valuable proprietary data."}, {"path": "tedlium_5993.wav", "duration": 12.33, "text": "we have tested a unique and focused marketing campaign around individual stores that have challenging script comps. These marketing campaigns have shown excellent results in script growth and revenue."}, {"path": "tedlium_5994.wav", "duration": 12.33, "text": "Cash was higher due to effective working capital management. We brought receivables down substantially, using much of those proceeds to reduce payables. We continue to invest in operating assets as well."}, {"path": "tedlium_5995.wav", "duration": 12.33, "text": "into healthy life-changing habits, and we believe that health and wellness should fit into your life not the other way around. So we meet you where you are, and we built our approach to work for your life."}, {"path": "tedlium_5996.wav", "duration": 12.33, "text": "And we saw strong profitability improvements while continuing to invest in compensating FX headwinds. So we continue to see FX headwinds in a year, where we had the highest profitability ever in the history of company."}, {"path": "tedlium_5997.wav", "duration": 12.33, "text": "Now let's quickly review the significant out-of-period adjustments in the second quarter. All of these adjustments are the result of new information we received during the quarter that required us to make changes to our accounting estimates."}, {"path": "tedlium_5998.wav", "duration": 12.33, "text": "but we are actively working at it, let it be clear. No, the thing is that we have quite a lot of different legal entities with different tax regimes, so this is what we got during the first -- for the first semester."}, {"path": "tedlium_5999.wav", "duration": 12.33, "text": "as well as 2 substudies to test pamrevlumab in combination with either pirfenidone or nintedanib. Our principal focus in the substudies is on safety assessments of combination treatment."}, {"path": "tedlium_6000.wav", "duration": 12.33, "text": "Now for a brief overview. Favorable fundamentals, intense focus on operations, and years of deliberate capital allocation"}, {"path": "tedlium_6001.wav", "duration": 12.33, "text": "to replace aging natural gas lines and to support additional power plant performance and reliability improvements. All these investments are expected to further improve service to our customers."}, {"path": "tedlium_6002.wav", "duration": 12.33, "text": "Before we begin today's call, I want to remind you that the discussion will include forward-looking statements, such as the company's beliefs and expectations regarding certain aspects of the financial performance in 2016 and future years."}, {"path": "tedlium_6003.wav", "duration": 12.33, "text": "Number two, our customers are struggling to get bank financing. Banks and regulators all want to reduce exposure to the oil and gas industry. One critical function of commodity prices is to signal producers whether to produce more or less."}, {"path": "tedlium_6004.wav", "duration": 12.33, "text": "Okay. And then, is the potential raw material disruption in Texas related to the tank farm fire that occurred in the shipping terminals or is it something else? And"}, {"path": "tedlium_6005.wav", "duration": 12.33, "text": "We are excited by the positive market reaction to our offering and believe it will not only strengthen our position as the leader in learning but will help drive growth into the future."}, {"path": "tedlium_6006.wav", "duration": 12.33, "text": "And while it's clear that the rule will greatly impact the financial services firms, I want to assure everyone that we are working closely with our distribution partners to ensure our firm is well positioned once the rule takes effect."}, {"path": "tedlium_6007.wav", "duration": 12.33, "text": "This impacts our effective tax rate each period, especially when we have pretax income in these locations as we do not have to recognize any tax expense against that income."}, {"path": "tedlium_6008.wav", "duration": 12.33, "text": "He has demonstrated expertise in leading global transformational initiatives. Both Floyd and Kirk will be essential to our success as we continue to evolve our business. With that, I will turn it over to Dave. Dave?"}, {"path": "tedlium_6009.wav", "duration": 12.33, "text": "I believe this new framework will dramatically alter the conversations we have with our clients and will frame NextGen as more of a trusted adviser they can partner with to enhance the efficiencies of their practice."}, {"path": "tedlium_6010.wav", "duration": 12.33, "text": "Effective during the third quarter, the company began reporting expenses related to its insurance program and other expense general and administrative on a prospective application."}, {"path": "tedlium_6011.wav", "duration": 12.33, "text": "In addition to the 2 spreads activated since mid-December, demand has been strong enough that we are preparing to activate another frac spread, which will begin working early in the second quarter."}, {"path": "tedlium_6012.wav", "duration": 12.33, "text": "We keep on being as selective as possible with financial criteria that have been reviewed in the most stringent way, since I took on my additional CFO responsibilities."}, {"path": "tedlium_6013.wav", "duration": 12.33, "text": "And we have purchased others shippers' line space when those values are negative, which means they pay us to ship on their space. So the bleeding has stopped."}, {"path": "tedlium_6014.wav", "duration": 12.33, "text": "We expect much improved utilization of our fleet going forward, which will increase margins for the remainder of the year. The majority of the EBITDA for this business is expected in the second and third fiscal quarters."}, {"path": "tedlium_6015.wav", "duration": 12.33, "text": "At this time, I would like to say a word about our guidance for fiscal 2017. As we previously mentioned, we are revising our expectations for 2 primary reasons."}, {"path": "tedlium_6016.wav", "duration": 12.33, "text": "But in terms of absolute branches, it depends on how you count what you call online agents, what we call hybrid agents. So if you include those in the pool, then I would actually expect to see the number of branches"}, {"path": "tedlium_6017.wav", "duration": 12.33, "text": "whether it was on national advertising or in local office execution, I just think we did a really nice job of executing in all channels to make sure that value was clear to our clients."}, {"path": "tedlium_6018.wav", "duration": 12.33, "text": "in 2018, which Billy Helms will update you on shortly. As a result, we are in a position to generate healthy financial returns, even in a moderate oil price environment."}, {"path": "tedlium_6019.wav", "duration": 12.33, "text": "The result of all of these efforts is that we'll achieve a rationalization of square footage over time, not necessarily fewer stores, but probably less square footage."}, {"path": "tedlium_6020.wav", "duration": 12.33, "text": "And we're going to do everything we can to maintain our position in the payer. But we always -- we have to take it one at a time. It's still got to create value for our shareholders."}, {"path": "tedlium_6021.wav", "duration": 12.33, "text": "to do the work and are supportive in the pricing structure around the talent typically to do the work. They run sites of their own. They're normally sophisticated buyers and understand what it takes"}, {"path": "tedlium_6022.wav", "duration": 12.33, "text": "Interest rates are at historic lows. There is hazard in both duration and credit risk. The equity market is often unpredictable and frequently volatile."}, {"path": "tedlium_6023.wav", "duration": 12.33, "text": "are and continue to produce continuously evolving rating algorithms, generating much more granular, highly segmented, proprietary and predictive models,"}, {"path": "tedlium_6024.wav", "duration": 12.33, "text": "As a result of that, I think we said a number of times last year, we didn't really see much deflation in 2015 until really the middle of the second quarter. So we have one benefit in 2016, which was we'd expect to see"}, {"path": "tedlium_6025.wav", "duration": 12.33, "text": "Overall, it has been a very good quarter, where we continue to make progress with our core business units as well as progress toward the goal of providing low-cost clinical products and services to the diagnostics industry."}, {"path": "tedlium_6026.wav", "duration": 12.33, "text": "So that resulted in loading up on inventory a little bit in the quarter for the Easter period. Two is private label. We really started to land and bulk up a little bit, and we'll sell through that as we go through the year."}, {"path": "tedlium_6027.wav", "duration": 12.33, "text": "The remainder of this first quarter shortfall was execution related. And while these revenues should shift forward in 2016, we expected to capture them in the first quarter."}, {"path": "tedlium_6028.wav", "duration": 12.33, "text": "and specifically our investment strategy of investing in both debt and equity in the lower middle market and acting as a sponsor and a partner to the management teams of our lower middle market portfolio companies and not just a financing source."}, {"path": "tedlium_6029.wav", "duration": 12.33, "text": "and a quality improvement project plan, which detail the steps we are taking to upgrade our processes and systems to further enhance our manufacturing capabilities."}, {"path": "tedlium_6030.wav", "duration": 12.33, "text": "While this report does not produce any explicit change to existing laws or regulations, it contains a number of recommendations that align closely with Prudential's policy positions."}, {"path": "tedlium_6031.wav", "duration": 12.33, "text": "We continue to see strength in engineered pump orders and backlog, but our process filtration business faces difficult second half comparisons as large projects in the comparable period last year are not repeating."}, {"path": "tedlium_6032.wav", "duration": 12.33, "text": "Just thank you and enjoy the rest of the summer. Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program and you may all disconnect. Everyone have a great day."}, {"path": "tedlium_6033.wav", "duration": 12.33, "text": "So cash was abundant and allows us to be in a position to look at other opportunities of increasing our served market, both organically where we might have to invest"}, {"path": "tedlium_6034.wav", "duration": 12.33, "text": "So -- and it's not just in education, Keith. We've kind of seen this play out. And so I would venture to say we have taken meaningful share in those markets."}, {"path": "tedlium_6035.wav", "duration": 12.33, "text": "measurement and control applications. We will also unveil new products that we believe will give us the opportunity to further demonstrate the advantages of our platform."}, {"path": "tedlium_6036.wav", "duration": 12.33, "text": "On the other hand, additional preclinical safety tests are required before any drug is taken into healthy volunteer, whereas, such studies are not required before a drug is dosed in cancer patients."}, {"path": "tedlium_6037.wav", "duration": 12.33, "text": "While each insurance company runs their own process and evaluation at their own pace, we respect their process and we'll continually work with them to demonstrate the compelling value of our long-term sensor."}, {"path": "tedlium_6038.wav", "duration": 12.33, "text": "to partnering with Hilton and future operators to meet and exceed our operational goals and create long-term shareholder value. With that, I will turn the call over to Sean."}, {"path": "tedlium_6039.wav", "duration": 12.33, "text": "Historically, interest income was a very modest amount, so we included it in our other income and expense line, and therefore, it was in our operating income."}, {"path": "tedlium_6040.wav", "duration": 12.33, "text": "Now please turn to Slide 14 for our Europe, Middle East and Africa business. Volume strengthened and profits were up on constant -- on a constant currency basis."}, {"path": "tedlium_6041.wav", "duration": 12.33, "text": "We aren't short in ideas in this area and work is definitely underway, particularly in important areas like redemption and expirations. We simply don't yet have sustained big product wins to share, but we will."}, {"path": "tedlium_6042.wav", "duration": 12.33, "text": "really well staffed and has -- and with all the support that it needs to really grow that marketplace. So you'll see us shift a bit in our conversation from countries to making sure that we're in the right cities and our footprint"}, {"path": "tedlium_6043.wav", "duration": 12.33, "text": "We are cautiously optimistic that the increase in the volume and demand will absorb the ships delivering next year and the following year."}, {"path": "tedlium_6044.wav", "duration": 12.33, "text": "Our CapEx in the fourth quarter was less than anticipated due to the timing of purchases and certain other work moving into 2018, and as a result, our CapEx guidance for 2018 will be adjusted accordingly."}, {"path": "tedlium_6045.wav", "duration": 12.33, "text": "interest with buying out the company? I know you guys have a very small float, low outstanding shares. Are you guys concerned at all about somebody coming in and scooping in the float and taking over the company?"}, {"path": "tedlium_6046.wav", "duration": 12.33, "text": "that created a good favorable environment for us throughout the spring selling season that helped contribute to our strong brake performance that led in, I think, to a strong summer, traditional summer season as well."}, {"path": "tedlium_6047.wav", "duration": 12.33, "text": "If you look at the volume over the first half and the second half, I think we will have to -- the reason why we are a little bit more positive on the higher-volume components over the second half"}, {"path": "tedlium_6048.wav", "duration": 12.33, "text": "Owning more of this sort of dynamic kit along with the likes of our gas processing and storage assets and our renewable energy assets will see SIB CapEx at higher levels going forward."}, {"path": "tedlium_6049.wav", "duration": 12.33, "text": "And so we think for a project to make sense, you've got to have a lot of synergy and a lot of vision as far as what you're going to do with it longer term. And I think that's the nature of the deals that you've seen recently."}, {"path": "tedlium_6050.wav", "duration": 12.33, "text": "to have bidirectional capability? And then taking that a step further, maybe an update with regard to how you see the evolution of what's going to be downstream of everything that you're doing in the STACK?"}, {"path": "tedlium_6051.wav", "duration": 12.33, "text": "While rig count growth supports the spectrum of opportunity in Central Oklahoma and the Permian, the scale of the LNG capacity in industrial consumption provides gas-related opportunities in Louisiana."}, {"path": "tedlium_6052.wav", "duration": 12.33, "text": "such as markets, such as client flows and things like that. So therefore, that's why we need to redouble the efforts around there, so in those periods like a 2018, that we don't see that thing kind of fall off."}, {"path": "tedlium_6053.wav", "duration": 12.33, "text": "including inbred models for genetic modification and immunodeficient models for oncology research and innovative technologies like CRISPR as critical tools to more narrowly target"}, {"path": "tedlium_6054.wav", "duration": 12.33, "text": "It's become increasingly clear to all of us that trust and reliability matter to customers when they choose who will be delivering packages to their doors."}, {"path": "tedlium_6055.wav", "duration": 12.33, "text": "folks who are reported to be interested in or have launched their mobile or their virtual MVPD product directly. I know networks that are also talking with those folks."}, {"path": "tedlium_6056.wav", "duration": 12.33, "text": "We will continue to take a balanced, prudent and long-term approach to our capital allocation strategy, which includes evaluating share repurchases and acquisitions on an opportunistic basis."}, {"path": "tedlium_6057.wav", "duration": 12.33, "text": "We plan to keep debt levels in line with an investment-grade profile to maintain the flexibility for capital expenditures, dividend payments, share repurchases and acquisitions."}, {"path": "tedlium_6058.wav", "duration": 12.33, "text": "Joe already is making an impact across the business. His track record of success in innovation will be a driving force behind our future e-commerce success and we are excited to have him here."}, {"path": "tedlium_6059.wav", "duration": 12.33, "text": "Interest expense during the quarter was skewed by the fact that after the bond issuance at the end of February was completed, we took approximately a month to fully repay the peso-denominated debt,"}, {"path": "tedlium_6060.wav", "duration": 12.33, "text": "We've appointed our Global Group Director of Operations. We've identified our regional operations leadership team, and we've hired additional subject matter experts to assist us in key areas targeted for improvement."}, {"path": "tedlium_6061.wav", "duration": 12.33, "text": "Number one, we are really offering very attractive value to our advertisers on our platform given our size and scale. And you are seeing that more and more advertisers are coming to our platform. A number of advertisers on auction"}, {"path": "tedlium_6062.wav", "duration": 12.33, "text": "how that's evolved recently. Obviously, the market is picking back up, and that helps everyone. But I'm curious if your competitors have been pretty rational as it relates to capacity additions. And"}, {"path": "tedlium_6063.wav", "duration": 12.33, "text": "Looking at the full year, we saw our investments across the portfolio helped to deliver production growth at 4%. Cash flows were also strong despite the higher capital"}, {"path": "tedlium_6064.wav", "duration": 12.33, "text": "With regard to Obuasi, I take your point in terms of the checkered history again. But having said that, what we took into account is the extent of the reworking which Graham and the team have actually done to give us comfort."}, {"path": "tedlium_6065.wav", "duration": 12.33, "text": "likely be the things that we would look at doing. Bill mentioned that we may do some things that -- what I would refer to as an investment in our balance sheet that may reuse a little bit of cash."}, {"path": "tedlium_6066.wav", "duration": 12.33, "text": "So I mean, we are constantly assessing the cost increases or decreases that we have and making sure that we don't get trapped in situations where we have a"}, {"path": "tedlium_6067.wav", "duration": 12.33, "text": "This is a very positive outcome, as it avoids the time, expense and distraction of a trial, which was scheduled to begin this month in Texas, to be followed by one in New York."}, {"path": "tedlium_6068.wav", "duration": 12.33, "text": "which accounts for the uncertainty of the audit volume and additional capital that will be needed to carry CMS receivables for periods considerably longer than currently required."}, {"path": "tedlium_6069.wav", "duration": 12.3299375, "text": "appropriately allocate the risk model, especially for the price point we're charging for these services. And we've also been very careful to make sure that our"}, {"path": "tedlium_6070.wav", "duration": 12.3000625, "text": "I remain confident in the preliminary plan. You will recall that the first step is to propel NOI growth over the next 5 years."}, {"path": "tedlium_6071.wav", "duration": 12.3000625, "text": "I will now go into a bit more detail for each of this important market and provide you with some insight into our strategy and outlook going forward."}, {"path": "tedlium_6072.wav", "duration": 12.3, "text": "We expect to see the usual seasonal pattern of stronger construction activity in the second half, driving volume, plant utilization and earnings during that period."}, {"path": "tedlium_6073.wav", "duration": 12.3, "text": "So we've already brought in outside capital with the 2 SPVs that we've done. We obviously got a broker-dealer license, which will enable us to compensate those that help us go out and raise outside funds."}, {"path": "tedlium_6074.wav", "duration": 12.3, "text": "Okay. So this is Mike. Let me just close by saying thank you to all of our 1,300 professionals around the world. I think it's your ability to help our clients achieve operational excellence and"}, {"path": "tedlium_6075.wav", "duration": 12.3, "text": "Our expense base has benefited from our never-ending focus on operating efficiencies and our conservative approach toward managing our balance sheet continues to be a differentiator for us."}, {"path": "tedlium_6076.wav", "duration": 12.3, "text": "Ultimately, we believe the future contribution from this growth will provide significant operating leverage as we monetize what were previously strategic investments for the company."}, {"path": "tedlium_6077.wav", "duration": 12.3, "text": "As many of you know, nonrecurring dividend and fee income is impossible to predict with accuracy on a quarter-to-quarter basis, which is why we tend to focus on it in an annual context."}, {"path": "tedlium_6078.wav", "duration": 12.3, "text": "somewhat interesting, of course, is that if you have an opportunity to make an international acquisition, given the strength of the dollar, that may present some opportunities. So certainly on our list."}, {"path": "tedlium_6079.wav", "duration": 12.3, "text": "And as I'll show you in the coming slides, these boost responses were strongest in those that had the weakest immune responses after a year, which is exactly what you want to achieve in an annual booster regime."}, {"path": "tedlium_6080.wav", "duration": 12.3, "text": "your overall year-end is still impacted by this push-out, which suggests we really don't know when that business is coming back. So just trying to get more clarity on this. And I have a follow-up."}, {"path": "tedlium_6081.wav", "duration": 12.3, "text": "Agency spreads look modestly attractive compared to last quarter, particularly considering the more accommodative posture of central banks. That being said, we are not planning to increase leverage over the near-term,"}, {"path": "tedlium_6082.wav", "duration": 12.3, "text": "So as we conclude our brief prepared remarks this quarter, I'll mention one additional item. Last quarter, I mentioned that we would be disappointed if we didn't announce a couple of hundred million dollars of acquisitions and growth projects in the"}, {"path": "tedlium_6083.wav", "duration": 12.3, "text": "which makes it a more comfortable place for us to add. But I think we'll watch this as we go. We'll obviously keep you posted on the way this is developing. But we're off to a great start in the first few weeks that we've been"}, {"path": "tedlium_6084.wav", "duration": 12.3, "text": "but there's efficiencies that -- when we're as vertically integrated as we are and being the only seat supplier with both leather and textile to really establish a well-crafted seat that could help them with their brands,"}, {"path": "tedlium_6085.wav", "duration": 12.3, "text": "and moving the balance that was in other FI services to the fraud, security, risk management and operational services category."}, {"path": "tedlium_6086.wav", "duration": 12.3, "text": "with the absence of activity over significant periods of time. South Texas mineral owners are starting to enforce continuous drilling clauses in their leases."}, {"path": "tedlium_6087.wav", "duration": 12.3, "text": "People are getting to know each other better, are working well together in teams. We have common aligned goals and objectives, and incentive plans have now been established for every single person in our company."}, {"path": "tedlium_6088.wav", "duration": 12.3, "text": "Design and engineering for the project is currently underway with construction expected to begin in the spring of 2019. The project is one of the largest accommodation facilities ever built in Canada."}, {"path": "tedlium_6089.wav", "duration": 12.3, "text": "with good brand awareness and excellent economies of scales. It gives me confidence that we've got the right things within a very difficult environment to improve over our peer group."}, {"path": "tedlium_6090.wav", "duration": 12.3, "text": "I imagine that the first one would be at ASCO next year. B-MIND, remember, is intended to be a pivotal study, so that will be blinded, and that we're in a safety run-in at the moment. I think the next"}, {"path": "tedlium_6091.wav", "duration": 12.3, "text": "In our core business, we are continuing to see a very strong demand for ROADMs on a global basis, with India and China beginning to deploy ROADMs in large volumes."}, {"path": "tedlium_6092.wav", "duration": 12.3, "text": "The film has had critical acclaims, but they don't know who made it. It's not easy to sell noodles indeed. Any other questions?"}, {"path": "tedlium_6093.wav", "duration": 12.3, "text": "We want to improve our bakery business. We want to also improve our health supplement business. These are the things I will work hard to achieve."}, {"path": "tedlium_6094.wav", "duration": 12.3, "text": "Even with the decrease in domestic wholesale, we saw growth in our Kids division as well as Women's Active and sandals and Men's Sport, and men's and women's On The GO and Work."}, {"path": "tedlium_6095.wav", "duration": 12.3, "text": "quality and style in their footwear. We look forward to maintaining our position as a brand leader and further growing our market share around the world. Now, turning to our business in detail."}, {"path": "tedlium_6096.wav", "duration": 12.3, "text": "We are a little bit more active today in the acquisition area. Again, we are quite well on track with our organic growth execution"}, {"path": "tedlium_6097.wav", "duration": 12.3, "text": "what do you think or when do you think we might begin to see some traction in the Foreign Supplier Verification Program? How's today sound?"}, {"path": "tedlium_6098.wav", "duration": 12.3, "text": "then we're reasonably well-positioned because our head office and home is in the center of the Eurozone. So for us, I think we end up slightly bizarrely by having something of a competitive advantage, which we"}, {"path": "tedlium_6099.wav", "duration": 12.3, "text": "For 2018, we expect that our capital expenditures will increase to 3% to 4% of revenue as we continue to make improvements to our data infrastructure to support our client growth."}, {"path": "tedlium_6100.wav", "duration": 12.3, "text": "So with -- at the outset, I think the quadrennial review can help provide the transparency on the market definition that would open the doors."}, {"path": "tedlium_6101.wav", "duration": 12.3, "text": "In order to continue to minimize adjustments made to GAAP for management reporting, we did not adjust out this accounting change. Historically, client reimbursements have not been significant relative to total revenues."}, {"path": "tedlium_6102.wav", "duration": 12.3, "text": "Moreover, the waves of deployment tend to happen quite simultaneously across different locations because they serve graphical areas with similar economic and political environments."}, {"path": "tedlium_6103.wav", "duration": 12.3, "text": "institutions are looking at gold in a very, very different way than they did in the last 5 years. So we are seeing the pace of institutional presentations picking up"}, {"path": "tedlium_6104.wav", "duration": 12.3, "text": "So they fit completely with what we've been trying to rebuild over the last 5 years in terms of a continuous stream of exploration drilling potential going out over the next few years."}, {"path": "tedlium_6105.wav", "duration": 12.3, "text": "Still a lot to do, but we are clearly on the right way, and I do not doubt that these divisions will contribute a lot to the whole group for value creation."}, {"path": "tedlium_6106.wav", "duration": 12.3, "text": "In the Bakken, last year's activity was focused on drawing down our inventory of legacy drilled but uncompleted wells, which didn't have the benefit of our latest precision targeting techniques."}, {"path": "tedlium_6107.wav", "duration": 12.3, "text": "So we continue to drive these elements on a model that has, as a base, the consistency of performance. I believe that you'll see far more volatility in the global markets."}, {"path": "tedlium_6108.wav", "duration": 12.3, "text": "We have tried our best to anticipate, with all the changes pre-IPO that we've shown you in our Investor Day in November, to anticipate as much as possible."}, {"path": "tedlium_6109.wav", "duration": 12.3, "text": "Over the past years, I've also come to know most of you on today's call. I thank you for your engagement and your support of Starbucks and of me. I can say without equivocation that the best days for Starbucks lie ahead."}, {"path": "tedlium_6110.wav", "duration": 12.3, "text": "With regard to managing patients in the trial who have been identified to have trace regurgitation on the mitral or aortic valve, we do have a"}, {"path": "tedlium_6111.wav", "duration": 12.3, "text": "provide a little bit more depth onto your new orders number especially because we do have the acquisition of buw flowing through the numbers this quarter for the first time."}, {"path": "tedlium_6112.wav", "duration": 12.3, "text": "Looking at it from a regional perspective, we can see that both Europe, Middle East and Africa and Asia Pacific have been"}, {"path": "tedlium_6113.wav", "duration": 12.3, "text": "Going a little bit more into each of the business lines. On mobile, we see a continuous good uptake of the upsell efforts that we have."}, {"path": "tedlium_6114.wav", "duration": 12.3, "text": "I don't think that we can get any direct read of how not targeting the X gene affects what the data would have been like. The"}, {"path": "tedlium_6115.wav", "duration": 12.3, "text": "if you will, movements in the hydrocarbon price models, which we believe, therefore, will have a benefit to our business over time. I'm not suggesting we're going to get back to the historical relationship just yet,"}, {"path": "tedlium_6116.wav", "duration": 12.3, "text": "is in process. But we are also looking at other options and exploring other options and opportunities with the National Institutes of Health. I think there will be more information about that"}, {"path": "tedlium_6117.wav", "duration": 12.3, "text": "Which we make, and almost every place in the world can make, those sets. So what happens on that is price is probably"}, {"path": "tedlium_6118.wav", "duration": 12.3, "text": "So I think the Nubiola team have a very nice competency around salesmanship and technology and the way they go to market."}, {"path": "tedlium_6119.wav", "duration": 12.3, "text": "Now that being said, I've also said that within probably -- early in the summer, sometimes in the summer, we'll announce on the financial side what the plan is going to be in the future."}, {"path": "tedlium_6120.wav", "duration": 12.3, "text": "with the performance of cell filtration and the process of gene editing that we have, and I consider this problem as,"}, {"path": "tedlium_6121.wav", "duration": 12.3, "text": "at dollars that are significantly less than what it's costing them to produce. And how long those folks can hold on and how long they can live off their legacy contracts, will have a huge impact"}, {"path": "tedlium_6122.wav", "duration": 12.3, "text": "As with previous calls, our comments today are subject to normal provisions relating to forward-looking information. We will provide information relating to our current views regarding trends in the markets,"}, {"path": "tedlium_6123.wav", "duration": 12.3, "text": "and no improvement in power outage severity relative to the very low levels experienced during 2015. We expect the seasonality of quarterly results to demonstrate a normal historical pattern assuming no major outage events occur during the year."}, {"path": "tedlium_6124.wav", "duration": 12.3, "text": "As you think about the production side of the business, there's increased production because you had a lot of people who were uncertain about avian influenza."}, {"path": "tedlium_6125.wav", "duration": 12.3, "text": "Third, we incurred higher operating expenses, primarily related to bird performance issues with both our conventional flocks and those raised without antibiotics."}, {"path": "tedlium_6126.wav", "duration": 12.3, "text": "These capabilities are especially important now when global biopharma companies are making the decision to increase their reliance on CROs, and small and mid-sized biotech companies,"}, {"path": "tedlium_6127.wav", "duration": 12.3, "text": "Starting with aggregating and consolidating the traditional industry for genetic testing, and on its foundation, building a new industry in which we are the leader in the generation and management of genetic information as a key enabler of personalized medicine."}, {"path": "tedlium_6128.wav", "duration": 12.3, "text": "Developments and results may differ from those projected. The risks and uncertainties related to these statements are detailed in our filings with the SEC. During this call, we will also discuss non-GAAP financial measures."}, {"path": "tedlium_6129.wav", "duration": 12.3, "text": "In HVAC, in addition to our solid performance this quarter, we remain on track with our plans for several new product launches and expanding and optimizing our channels to market."}, {"path": "tedlium_6130.wav", "duration": 12.3, "text": "settlement and the requirements under the settlement. And then we have clips from a video that Herbalife had prepared and released the same day to its distributors. Let me give you a little bit of context on what Herbalife is trying to do here."}, {"path": "tedlium_6131.wav", "duration": 12.3, "text": "As the results of these -- as a result of these steps early this year, we are on track to achieve our leverage target of approximately 3.5x at the end of this fiscal year."}, {"path": "tedlium_6132.wav", "duration": 12.3, "text": "And therefore, that will change the capital generation pattern somewhat and will largely offset the benefit of writing a lower level of new business."}, {"path": "tedlium_6133.wav", "duration": 12.3, "text": "And so that's just an anomaly in the data. It's going to correct itself as we lap it. And I think actually IMS is going to try to correct it. At some point here going forward, they are publishing"}, {"path": "tedlium_6134.wav", "duration": 12.3, "text": "I think that's why we're a little bit more focused on the operating leverage side as opposed to an absolute number on the expense base. If you actually look at where expenses are growing,"}, {"path": "tedlium_6135.wav", "duration": 12.3, "text": "Our working capital improvement initiatives, reduction in capital expenditure and the noncash nature of some of our operating expenses has had a meaningful impact on free cash flow."}, {"path": "tedlium_6136.wav", "duration": 12.3, "text": "Finally, I will provide some closing remarks, including more detail on our plans, which we announced last night on our earnings release, to convert to a REIT in the first half of 2019. Then we'll open the floor to questions."}, {"path": "tedlium_6137.wav", "duration": 12.3, "text": "I also think it's fair to point out that due to seasonal effect, we hand over a lot of completed projects in Q4. And by that, it's a natural pressure downwards on the sales ratio."}, {"path": "tedlium_6138.wav", "duration": 12.3, "text": "We are expecting growth in our Asia business as we annualize the benefit of a number of new installations in 2015 and increase our position in certain mobile phone supply chains."}, {"path": "tedlium_6139.wav", "duration": 12.3, "text": "First things first, we will continue to flawlessly integrate the business. Our people, processes and technology integrations are on track today and we will not lose focus on that important work. Second,"}, {"path": "tedlium_6140.wav", "duration": 12.3, "text": "Reported operating margin in the quarter improved by 5 percentage points compared to the prior year through the combination of volume leverage, mix and the net effect of continuous improvement initiatives."}, {"path": "tedlium_6141.wav", "duration": 12.3, "text": "we're not trying to not answer your question, mate, but the answer is that we've always had in -- within our guidance a risk to some of our revenues that might come and might not come,"}, {"path": "tedlium_6142.wav", "duration": 12.3, "text": "In fact, we are very ambitious in this payment arena. I cannot anticipate anything, but there is a lot to come. Now in terms of"}, {"path": "tedlium_6143.wav", "duration": 12.3, "text": "We see new construction of rigs and we've also seen our models being purchased and taking out a different transmission. So there's a mix of that"}, {"path": "tedlium_6144.wav", "duration": 12.3, "text": "And then, I just want to say, Irene, that I'm really trying to make this not a Hershey question and I totally understand your sensitivity. I'm really trying to focus on the margin potential side of this"}, {"path": "tedlium_6145.wav", "duration": 12.3, "text": "the plans we have in New York and Illinois, we think of as preserving those units for the day where we have that best design in place. And we think that day is going to come eventually,"}, {"path": "tedlium_6146.wav", "duration": 12.3, "text": "Thank you. Before we begin, I would like to note that this conference call may contain forward-looking statements based on the estimates and assumptions of management at the time of such statements and are not guarantees of future performance."}, {"path": "tedlium_6147.wav", "duration": 12.3, "text": "Our table win was down a little more than 7%. Table drop was down just over 3%, but our hold percentage was also down about a point compared to last year, leading to the revenue decline."}, {"path": "tedlium_6148.wav", "duration": 12.3, "text": "Most importantly, we continue to win new customers and develop our relationships with existing customers right across all of our businesses. The strength of our customer franchises is being reflected in our financial performance."}, {"path": "tedlium_6149.wav", "duration": 12.3, "text": "We actually have a mix of on locally hired, people from H1. But we also have a third category of people from our Mexico center,"}, {"path": "tedlium_6150.wav", "duration": 12.3, "text": "forward to be able to grow and make more money, I think would probably be doing them a disservice. So it would be company-owned. As I said, we've got some pretty basic criteria with cultural fit and management teams and"}, {"path": "tedlium_6151.wav", "duration": 12.3, "text": "And then we also tend to focus on how we get into deep risk, especially in the senior area where we can be a very collaborative partner with Medicare Advantage plans and drive great value."}, {"path": "tedlium_6152.wav", "duration": 12.3, "text": "So where we're seeing good returns, those are areas where we'll continue to invest and continue to work with the customer in understanding what they're looking for and improve their customer experience."}, {"path": "tedlium_6153.wav", "duration": 12.3, "text": "Medical revenues were down 46%. And as growth in the other lines of business outpaces the medical market, we expect this transition in our revenue mix to continue."}, {"path": "tedlium_6154.wav", "duration": 12.3, "text": "value out of those. So as we look at what we've done with Payless, the momentum that we have in small shops and the depth and breadth of demand that we see in the small shop space,"}, {"path": "tedlium_6155.wav", "duration": 12.3, "text": "in basic, you're talking to your relationship manager only, and in advance, you have the relationship manager, plus you have an investment adviser at your disposal to deploy your investment strategy."}, {"path": "tedlium_6156.wav", "duration": 12.3, "text": "Look, we look a lot at what's in our customers' wallet without referring to anyone else's advertising. And I'd say we've seen a very stable mix of customers use of credit cards, other installment debt, other auto debt."}, {"path": "tedlium_6157.wav", "duration": 12.3, "text": "had a Clinical Global Impression of Change and Patient Global Impression of Change goal indicating much improved or very much improved at 48 weeks."}, {"path": "tedlium_6158.wav", "duration": 12.3, "text": "included the addition of many new stone and accessory SKUs. Now we are working through the process of introducing an additional 1,000 new SKUs over the next 6 months."}, {"path": "tedlium_6159.wav", "duration": 12.3, "text": "and that future events and results may vary substantially from what the company currently foresees. Discussion of the various factors that may affect future results is contained in the company's annual report on Form 10-K"}, {"path": "tedlium_6160.wav", "duration": 12.3, "text": "And so I would hope that investors would be mindful of that, and -- because there's always that balance of wanting the forwards to reflect what reality is and that we can hedge into,"}, {"path": "tedlium_6161.wav", "duration": 12.3, "text": "we've done some closures recently and some combinations, but we're not probably as far off on utilization from the target as you might think. And the utilization normally that's"}, {"path": "tedlium_6162.wav", "duration": 12.3, "text": "clearly, Visa Europe is doing better than we expected this year, and accretion is running ahead of the low single digits we had told you. But the year isn't over yet, so we'll wait until the end of the year and give you an update in"}, {"path": "tedlium_6163.wav", "duration": 12.3, "text": "I am encouraged by the margin improvement we are seeing in backlog, the traction we are seeing on sales capacity and by the acceleration we are seeing in higher-margin service and product sales."}, {"path": "tedlium_6164.wav", "duration": 12.2999375, "text": "Combining technology with personal service is the new reality. We discussed our investments in the last few years in appropriate technology for our manufacturing, logistics and retail networks."}, {"path": "tedlium_6165.wav", "duration": 12.27, "text": "I think reiterated the 20% target, and now a quarter later, we're talking about 15%, so it seems like something changed there and I'm just trying to get a better handle on what that was?"}, {"path": "tedlium_6166.wav", "duration": 12.27, "text": "I think anytime you're looking at a multiyear project in an environment that is as dynamic as the tissue industry and one that has gone -- undergone so much change over the past few years,"}, {"path": "tedlium_6167.wav", "duration": 12.27, "text": "it's always difficult to predict at the beginning of that kind of a project what kind of conditions you're going to be faced with going forward. But your thoughts about how do we manage risk and how do we look at this going forward,"}, {"path": "tedlium_6168.wav", "duration": 12.27, "text": "This will be a key driver for KPN's future performance. Alongside quality improvements, we see numerous revenue opportunities and further potential to lower spend."}, {"path": "tedlium_6169.wav", "duration": 12.27, "text": "We lose part of the ISDN lines due to rationalization, yet we are migrating the remaining ISDN customers to KPN ONE and we are witnessing 2 clear benefits."}, {"path": "tedlium_6170.wav", "duration": 12.27, "text": "substituting therapeutically even existing patients. So I do believe that we're going to continue to see erosion for REMICADE, that the biosimilar impacts are accelerating and they're going to continue"}, {"path": "tedlium_6171.wav", "duration": 12.27, "text": "If you were to identify 3 to 5 things you think would really shape and evolve this industry or the industries you compete in and the way you think about your strategy, what would you call out?"}, {"path": "tedlium_6172.wav", "duration": 12.27, "text": "in terms of information will be very well prepared there as well. So I would be very grateful if we would be able to welcome you there in Pirdop. It will be an experience not to be missed."}, {"path": "tedlium_6173.wav", "duration": 12.27, "text": "there should have been less variability in margins, meaning, this 21% margin a year ago going down to 7% seemed quite of a wide drop. And once again, having some pricing power and good brands"}, {"path": "tedlium_6174.wav", "duration": 12.27, "text": "Thank you, Dan. Before we open for questions, I would just like to reiterate our key highlights of the year and how they are evidence of our ongoing ability to execute our strategy for the benefit of our shareholders."}, {"path": "tedlium_6175.wav", "duration": 12.27, "text": "Related to expansion of operating efficiencies within our retail pharmacy, we continue to work on best practices and to upgrade our customer experience with improved consistency."}, {"path": "tedlium_6176.wav", "duration": 12.27, "text": "look at this business over a long period of time, we'll start to report that for you. So probably at the end of this year, we're going to create a run rate for you so you'll see exactly what happens from birth to the end. So you're looking through"}, {"path": "tedlium_6177.wav", "duration": 12.27, "text": "that we didn't have a relationship with before. And so our 1,700 locations I always talk about could be everything from a"}, {"path": "tedlium_6178.wav", "duration": 12.27, "text": "the cross-industry meeting with the multiple stakeholders, was a very positive, very active, very productive discussion, and everybody's looking forward to the next session to continue the progress on the issue."}, {"path": "tedlium_6179.wav", "duration": 12.27, "text": "Well, on the international side, we take all of the tax and legal frameworks into account when we look at those markets, the market opportunity and the pricing"}, {"path": "tedlium_6180.wav", "duration": 12.27, "text": "Ed will now take us through our financials for Q2 in more detail. Afterwards, I will summarize our initiatives and update our expectations going forward. Thank you, Dennis."}, {"path": "tedlium_6181.wav", "duration": 12.27, "text": "What I mean is your product has to be good enough, but you also have to have good packaging and other promotion campaigns."}, {"path": "tedlium_6182.wav", "duration": 12.27, "text": "utilizing its capacity to supply intermediates to both Switzerland and to Bavla. And the next step is to go through the qualification process to enable us to manufacture"}, {"path": "tedlium_6183.wav", "duration": 12.27, "text": "There have not been significant changes to our U.K. capital plans as those have already been accepted by Ofgem through the end of RIIO-ED1. As we think about future spending beyond the current price control period,"}, {"path": "tedlium_6184.wav", "duration": 12.27, "text": "to train, support and grow. And I think that is a foundational element for any upside that we will experience in this business. We can never lose sight"}, {"path": "tedlium_6185.wav", "duration": 12.27, "text": "This program facilitates our colleagues' transition to retirement and allows us to provide talent development opportunities and facilitate mobility within the organization."}, {"path": "tedlium_6186.wav", "duration": 12.27, "text": "The office team and field strategy of providing a strong value proposition of an extended construction management solution is taking hold the high attach rate of team and field solutions on top of the core office technology."}, {"path": "tedlium_6187.wav", "duration": 12.27, "text": "Okay. And that actually brings me to my second question with some of your comments, more on Pall Mall because it does seem that, that brand has been facing an increased amount of pressure."}, {"path": "tedlium_6188.wav", "duration": 12.27, "text": "and really extraordinary if he gets 3. That's the market we're in. Having said that, we still have our limits, physically and intellectually, about how much more we can take"}, {"path": "tedlium_6189.wav", "duration": 12.27, "text": "these aren't just acquisitions we're going out and finding. We sat down and did a complete strategic work-up of the marketplace. We brought in a consultant to help us really understand from a data standpoint what was out there,"}, {"path": "tedlium_6190.wav", "duration": 12.27, "text": "If we think about our global macro strategy predicated on debt, so the portfolio is being shortened so to"}, {"path": "tedlium_6191.wav", "duration": 12.27, "text": "necessarily know what's going on with the gas reserves effort. Can you provide at least some sense of scenarios around what could develop in the next week and what the possible path forward would be?"}, {"path": "tedlium_6192.wav", "duration": 12.27, "text": "We are moving forward to prepare for the implementation of the Department of Labor fiduciary regulations and continue to approach the changes thoughtfully. As I mentioned in our last earnings call,"}, {"path": "tedlium_6193.wav", "duration": 12.27, "text": "But as you know, we're really excited about platform ideas, things that have generic capability that can be broadened over time. And we think flex robotics, diagnostics and other interventions can do that as well."}, {"path": "tedlium_6194.wav", "duration": 12.27, "text": "at least for the time being, in the coal side, we don't see major opportunities lying ahead for us, unless we can"}, {"path": "tedlium_6195.wav", "duration": 12.27, "text": "We increased core operating margin by 50 basis points. This represents an acceleration of the steady 20 to 40 basis points per year of the last few years"}, {"path": "tedlium_6196.wav", "duration": 12.27, "text": "Right now, our leverage ratio is squarely within the 2.5x to 3x range we target. As a result, we are not yet in a position of having excess capital to deploy."}, {"path": "tedlium_6197.wav", "duration": 12.27, "text": "and broad mixing of services that we support, call types and geos. And so Andrea mentioned in her prepared remarks just all the things that are having an impact"}, {"path": "tedlium_6198.wav", "duration": 12.27, "text": "That brand promise comes to life because we deliver experienced talent who have operated from both sides of the desk, usually within the same industry and functional backgrounds."}, {"path": "tedlium_6199.wav", "duration": 12.27, "text": "results in the quarter were driven by growth in revenue and strong increases in margin. The margin expansion was supported by equal contribution across all our products and business lines."}, {"path": "tedlium_6200.wav", "duration": 12.27, "text": "But I think that in terms of the technical merits of the 48-volt architecture that we have presented to our customer and to the market now are good."}, {"path": "tedlium_6201.wav", "duration": 12.27, "text": "we, frankly, think we'll utilize some of that incremental capacity as well. So we'll get leverage benefits on margin as well as cost benefits as well as some increased shipments."}, {"path": "tedlium_6202.wav", "duration": 12.27, "text": "We have additional site functionality and navigation refinements to make before we begin our marketing campaigns, but we have no reason to believe we won't be ready for the full marketing launch in the third quarter."}, {"path": "tedlium_6203.wav", "duration": 12.27, "text": "Our business continues to grow, and we are generating consistent free cash flow that can be reinvested to enhance shareholder value. With that, I'd like to turn it over to the operator for questions."}, {"path": "tedlium_6204.wav", "duration": 12.27, "text": "the company may make projections and other forward-looking statements regarding future events or future business outlook, anticipated progress on Compugen's pipeline program and financing related matters."}, {"path": "tedlium_6205.wav", "duration": 12.27, "text": "and different package sizes, so that we can be present in whatever channels the consumer is shopping. So net-net, we are seeing continued category declines. And in fact, as Brian said, it got a little bit worse"}, {"path": "tedlium_6206.wav", "duration": 12.27, "text": "While we fully expected significant pricing this year, the impact of the strengthening dollar on inflation in emerging markets, especially in the second half, forced us to price even more."}, {"path": "tedlium_6207.wav", "duration": 12.27, "text": "is it the cost structure on which we have got a hold off? And now, probably, it's more of a sales which we would be looking at in terms of improving the performance? That's what I was trying to understand."}, {"path": "tedlium_6208.wav", "duration": 12.27, "text": "If I could ask you to make sure you get a microphone before you ask a question and also for the benefit of those on the webcast if you could introduce yourself and your company, please. Thank you. We have"}, {"path": "tedlium_6209.wav", "duration": 12.27, "text": "reported revenue and the proxy for the dealer shipments was up 10%, right. So how do we think about that in terms of what happened last year and how to think as we progress through the fourth quarter?"}, {"path": "tedlium_6210.wav", "duration": 12.27, "text": "who order on a regular basis. And so part of the reason we put the 24 folks out there was specifically to allow folks that have a retail focus"}, {"path": "tedlium_6211.wav", "duration": 12.27, "text": "Because these cycles do tend to have finite lives and so we just made the decision that Collection would be our last tower. We did, however, make a financial investment through a B-note structure"}, {"path": "tedlium_6212.wav", "duration": 12.27, "text": "In Asset Management, we have good scale on distribution, broad investment capabilities and the ability to adjust the business and leverage our integrated model while continuing to generate a good return."}, {"path": "tedlium_6213.wav", "duration": 12.27, "text": "This faster repricing of our liabilities is a result of our consumer book being more resilient to a decrease in rates as well as increased liquidity in the system in general due to overall slower loan growth."}, {"path": "tedlium_6214.wav", "duration": 12.27, "text": "Total company residential HSD ARPU growth has been fueled by a proportional mix of marketing, such as lack of discounts and improved sell-in and upgrades,"}, {"path": "tedlium_6215.wav", "duration": 12.27, "text": "that we're as broad. We want to advertise across the entire assortment rather than what we were forced to do in the past was kind of go very deep into a narrow assortment. So you'll"}, {"path": "tedlium_6216.wav", "duration": 12.27, "text": "We see opportunity to expand our store footprint, however, and will continue to make investments in new store locations where we are confident we can produce an attractive return on our investment."}, {"path": "tedlium_6217.wav", "duration": 12.27, "text": "and our projections of pretax income for the remainder of 2016. We expect that our tax rate in the near term will continue to be impacted by valuation allowance and deferred tax considerations."}, {"path": "tedlium_6218.wav", "duration": 12.27, "text": "Now moving to our balance sheet summary on Page 9. You can see that our cash balance fell from last quarter due to the temporary working capital movement I just discussed, which reversed itself in July."}, {"path": "tedlium_6219.wav", "duration": 12.27, "text": "As the Continuity and Integration of Acquisitions Director, it's my responsibility to proactively prepare our company to effectively execute the integration of acquisitions once the opportunities are presented."}, {"path": "tedlium_6220.wav", "duration": 12.27, "text": "So there, inherently, you will have, as you launch a product, you will have a gradual decline in the average realized price, which is a natural consequence of obtaining broader penetration of the product."}, {"path": "tedlium_6221.wav", "duration": 12.27, "text": "Client planning for international and offshore projects is gradually progressing and as these projects move forward, our activities sourced from these markets is expected to improve"}, {"path": "tedlium_6222.wav", "duration": 12.27, "text": "The baby depot team has been working very hard on the assortment in our in-stock position and we are delighted to see this result for business that remains a differentiator for us."}, {"path": "tedlium_6223.wav", "duration": 12.27, "text": "Unlike our peers, NeuLion owns and operates every piece of our end-to-end platform. Each piece is tightly integrated and seamlessly delivers high-quality interactive content across multiple screens."}, {"path": "tedlium_6224.wav", "duration": 12.27, "text": "Before we begin, I want to remind you that certain statements made during management's presentation with respect to future, financial or business performance may constitute forward-looking statements."}, {"path": "tedlium_6225.wav", "duration": 12.27, "text": "Production declined slightly from the first quarter as we only brought one well online in the first half of 2017 and ended the quarter with 11 DUCs. As Alan mentioned, we have a dedicated frac spread,"}, {"path": "tedlium_6226.wav", "duration": 12.27, "text": "and strengthening our balance sheet, both through the AMPS transaction as well as additional principal paydowns on the secured notes issued as part of the holistic restructuring transaction that closed earlier this year."}, {"path": "tedlium_6227.wav", "duration": 12.27, "text": "The primary growth in international market is likely to come from Asia, as we are now selling in China, Japan, Korea and India, and the feedback has been very positive."}, {"path": "tedlium_6228.wav", "duration": 12.27, "text": "one of the offsetting things in small business is when you go into a softer cycle, you tend to write less new business and your renewal business is a higher percentage of your premium. So some of the -- what you get back in some of the rates,"}, {"path": "tedlium_6229.wav", "duration": 12.27, "text": "I had some sense from comments in prior quarters that it was possible you might increase your spending against those 2 programs if you saw"}, {"path": "tedlium_6230.wav", "duration": 12.27, "text": "the team there's done a magnificent job in terms of the complexity of components that we work on and how they have brought them to final completion."}, {"path": "tedlium_6231.wav", "duration": 12.27, "text": "Well, our results for the fourth quarter and for the year reflect the continuing challenges the company and our fellow Delaware casinos face with the formula for gaming revenue distribution within the state."}, {"path": "tedlium_6232.wav", "duration": 12.27, "text": "delaying things or maybe things wouldn't be quite as good as they would have been otherwise as a result of not being able to find the labor? Just any opinion you have on that."}, {"path": "tedlium_6233.wav", "duration": 12.27, "text": "which mean that the objective is not to reduce, but to contribute some efficiencies. So we are making good progress negotiating and working differently with media companies, consolidating many of our suppliers,"}, {"path": "tedlium_6234.wav", "duration": 12.27, "text": "and that discussion? And then also how much you might have to put in for that midyear increase to catch up to what you think might be the new run rate? Just any kind of color you could give us on that."}, {"path": "tedlium_6235.wav", "duration": 12.27, "text": "it's been a common theme this earnings season of hearing about some of the new entrants into the market going on a bid-it-to-win-it kind of basis and pricing getting a little soft. But"}, {"path": "tedlium_6236.wav", "duration": 12.27, "text": "We expect the first treatment period to be completed in December and the second period in February of 2018, with top line data analyzed and available in the second calendar quarter."}, {"path": "tedlium_6237.wav", "duration": 12.27, "text": "The 4th of July holiday timing softens the third quarter performance and the sequential comp to second quarter is harder with the full Easter benefit showing up in the second quarter."}, {"path": "tedlium_6238.wav", "duration": 12.27, "text": "Okay. And I was curious, are you able to purchase like a gift card or purchase a subscription for the service that you can give to someone else as a gift?"}, {"path": "tedlium_6239.wav", "duration": 12.27, "text": "Whether it manifests itself through a boost in loan demand or improvements in credit trends, we are focused on making sure that we remain our customers' first choice for their financial needs."}, {"path": "tedlium_6240.wav", "duration": 12.27, "text": "of outside operational consultants that were assisting us in accelerating the enhancement of our maintenance management system and maintenance procedures and with centralizing and expanding our procurement and inventory management efforts."}, {"path": "tedlium_6241.wav", "duration": 12.27, "text": "As you'll recall that our net contract capital position had peaked in the second quarter as a result of the large Q2 charges we took on the LNG projects."}, {"path": "tedlium_6242.wav", "duration": 12.27, "text": "Please note that, as in the past, while we will not be reviewing the presentation slide by slide during the call, we will make reference to a number of the slides as we discuss our financial results."}, {"path": "tedlium_6243.wav", "duration": 12.27, "text": "I would now like to turn the call over to Todd Cleveland. Thank you, Julie Ann, and thank you all for joining us on the call today. This morning, we'd like to discuss the company's first quarter 2017 results and provide an update on the major markets we serve."}, {"path": "tedlium_6244.wav", "duration": 12.27, "text": "I know there's a lot going on with market share and Costco and different things. But I just wondered if you look at that, if there's a way -- if you think there's been some acceleration in secular trends."}, {"path": "tedlium_6245.wav", "duration": 12.27, "text": "Although this recalibrates the baseline somewhat, it doesn't change our commitment to an effective and efficient working capital structure to maintain minimum levels of investment."}, {"path": "tedlium_6246.wav", "duration": 12.24, "text": "So many smaller companies are typically for sale in that phase and then mostly the companies with"}, {"path": "tedlium_6247.wav", "duration": 12.24, "text": "And one final point, is I am still going to be here for 6 months. So these lot will still have to put up with me for that long and during this period I'm fully committed to driving the business forwards."}, {"path": "tedlium_6248.wav", "duration": 12.24, "text": "it may not reflect what investors feel when the impact happens of rising corporate bond spreads. That's why I wanted to ask a question in a more basic way what's the duration of the portfolio, how much have you got"}, {"path": "tedlium_6249.wav", "duration": 12.24, "text": "And when you see on the right side of the slide, the place of govies in our investments is mainly due to the necessity we are"}, {"path": "tedlium_6250.wav", "duration": 12.24, "text": "were all pouring over, working tirelessly in order to help the company be able to come to the determination that there were"}, {"path": "tedlium_6251.wav", "duration": 12.24, "text": "currency prices coming from loans that we granted versus our loans in U.S. dollars that's our normal level of debt. So if"}, {"path": "tedlium_6252.wav", "duration": 12.24, "text": "Our team in Europe has initiated plans to address these concerns, and we move forward with expectations for additional sales growth and operating improvement over the balance of the year."}, {"path": "tedlium_6253.wav", "duration": 12.24, "text": "they could represent an opportunity for a company like ours, and we look forward to understand which kind of regulation will be finally decided by the Italian"}, {"path": "tedlium_6254.wav", "duration": 12.24, "text": "I've looked through every individual hotel that left the system in the first quarter of 2018. It's never a surprise to see that many of those hotels"}, {"path": "tedlium_6255.wav", "duration": 12.24, "text": "particularly in the second half of the year. We have strong performances in our corporate and investment banking businesses and more modest results in our capital markets businesses."}, {"path": "tedlium_6256.wav", "duration": 12.24, "text": "for all your hard work and dedication. It's been an honor and a pleasure to serve as your CEO these past 6 years. I'm leaving in peace because I know we have the right CEO in Ray Scott,"}, {"path": "tedlium_6257.wav", "duration": 12.24, "text": "Watch margins expanded 57 basis points as we continue to drive productivity and operating leverage in the business. Our Watch segment remains strong and our new products are gaining momentum."}, {"path": "tedlium_6258.wav", "duration": 12.24, "text": "It's so hard to tell because Fast Casual Black Box has a very large presence there but at the same time they don't have 1 or 2 of the largest names. So I think"}, {"path": "tedlium_6259.wav", "duration": 12.24, "text": "Yes, again, Brian, it is a little bit difficult to hear you. But what I think you were asking had to do with getting it through the regulations and the approval agencies. And do I see that as"}, {"path": "tedlium_6260.wav", "duration": 12.24, "text": "These 2 developments reinforce our belief that there is significant opportunity for growth in providing products and services to operators focused on pipeline integrity."}, {"path": "tedlium_6261.wav", "duration": 12.24, "text": "They understand the potential value of gene therapy and how it may be quite different than what's available on the marketplace. And consistent with what the KOLs told us"}, {"path": "tedlium_6262.wav", "duration": 12.24, "text": "Before we begin, I would like to refer you to the comments regarding forward-looking information contained in our press release and also note that all amounts are in Canadian dollars and production and reserves are expressed as before royalties, unless otherwise stated."}, {"path": "tedlium_6263.wav", "duration": 12.24, "text": "looking at each of the traps, scanning the number which trap number, 1173, and then if there is a creature in it, he has to remove the creature and take a mugshot of the creature"}, {"path": "tedlium_6264.wav", "duration": 12.24, "text": "We've taken a number of steps to bring our cost structure in line with the reduced level of sales. However, many of these actions occurred later in the quarter, providing only a partial offset for the period."}, {"path": "tedlium_6265.wav", "duration": 12.24, "text": "And finally, we have and will maintain a highly disciplined approach to capital allocation with a commitment to delever over time that has the potential to create value for equity holders."}, {"path": "tedlium_6266.wav", "duration": 12.24, "text": "I would like to understand whether your focus will be more in establishing partnerships with large chains. Or whether you're also looking at smaller companies that maybe"}, {"path": "tedlium_6267.wav", "duration": 12.24, "text": "And we saw coming into '19 that they had delegated from Beijing to the provinces the enforcement of environmental actions. And so they were much more focused on employment."}, {"path": "tedlium_6268.wav", "duration": 12.24, "text": "Remember, the last 10 years in finance has just changed dramatically the culture, the career tracks between large institutions and the boutique. And the interest in the boutique model,"}, {"path": "tedlium_6269.wav", "duration": 12.24, "text": "This breadth and diversity gives us confidence in our ability to sustain strong performance under a variety of market conditions and provide a great platform for future growth."}, {"path": "tedlium_6270.wav", "duration": 12.24, "text": "from a revenue point of view, it will be noticeable, but it will not turn anything upside down in '18. But if you give this 2, 3 years it will be quite significant, I dare to say."}, {"path": "tedlium_6271.wav", "duration": 12.24, "text": "And we believe it's important for investors to look at our results on this non-GAAP basis as well. The reason we use these non-GAAP measures is GAAP revenue recognition for a customer contract"}, {"path": "tedlium_6272.wav", "duration": 12.24, "text": "As I've said previously, quite frankly, there are so few companies with the resources and experience to successfully undertake these projects"}, {"path": "tedlium_6273.wav", "duration": 12.24, "text": "This is an ongoing process and we expect to identify other areas, where we can reduce cost or improve efficiencies across the business, whether it would be centrally or at the centers themselves."}, {"path": "tedlium_6274.wav", "duration": 12.24, "text": "new system development and works our reforms in order to ensure that we have a management system in place that is consistent with the growing strength of the organization."}, {"path": "tedlium_6275.wav", "duration": 12.24, "text": "To this end, we see a significant opportunity to diversify our funding around Marlin Business Bank and to better leverage our capital base through the wholesale credit facility and the capital markets activities I mentioned earlier."}, {"path": "tedlium_6276.wav", "duration": 12.24, "text": "For example, we could achieve the high end of our revenue guidance range while following in the low end of the adjusted EBITDA range during a period of high growth with a high proportion of new customers."}, {"path": "tedlium_6277.wav", "duration": 12.24, "text": "While this sale will reduce our debt significantly, it does not solve our financing issues. We will continue to work with our Board, Raymond James and our banking partners to position ourselves for future success."}, {"path": "tedlium_6278.wav", "duration": 12.24, "text": "That said, if they are facing some broader market headwinds, typically, they have some flexibility in their timing as to these environmental upgrade decisions."}, {"path": "tedlium_6279.wav", "duration": 12.24, "text": "To me it seemed like there is some more confidence in the outlook, and it also seemed like there may be a broadening what you're looking at a little bit."}, {"path": "tedlium_6280.wav", "duration": 12.24, "text": "as we plan to leverage Telefonica's push notification platform. We continue to anticipate margins for this organic service to be high and in line with our consumer business."}, {"path": "tedlium_6281.wav", "duration": 12.24, "text": "a lower price for a number of blocks in Canada. We're getting rid of a monthly minimum that we were stuck with for many, many years because the contract was, I think, over 3 years in duration."}, {"path": "tedlium_6282.wav", "duration": 12.24, "text": "I think as -- our expectation is as the collectors season and become more productive that, that will have a positive impact on our cash efficiency metric."}, {"path": "tedlium_6283.wav", "duration": 12.24, "text": "not only to react fast in markets, but also because trends which first appear in a particular market now go global faster than any time before. There is indeed a premium on speed,"}, {"path": "tedlium_6284.wav", "duration": 12.24, "text": "making us more agile, faster, more connected with our consumers and customer base and ultimately, freeing up the funds to accelerate innovation and growth."}, {"path": "tedlium_6285.wav", "duration": 12.24, "text": "On March 14, the administrative law judges in our case issued an order adopting a procedural schedule. As the schedule indicates, we're currently immersed in the discovery process, and we've been busy responding to numerous requests for information."}, {"path": "tedlium_6286.wav", "duration": 12.24, "text": "That is correct. We've moved it over to the segment January 1. And the reason we did that was that there are some operating cost expense that goes early into the project,"}, {"path": "tedlium_6287.wav", "duration": 12.24, "text": "And therefore, my aim is to have a sustainable dividend development that is clearly based on operational improvement. It makes no sense"}, {"path": "tedlium_6288.wav", "duration": 12.24, "text": "really trying to dissect them and understand what the potential impacts are going to be. And quite honestly, it could be some time before the states themselves digest them and figure out how they're going to operationalize the rules."}, {"path": "tedlium_6289.wav", "duration": 12.24, "text": "This is manifested in our increased commitment to building our branded businesses and strengthening our overall portfolio. We continue to see strong performance in our core brands."}, {"path": "tedlium_6290.wav", "duration": 12.24, "text": "by the time you do the converts and you pay the interest and you pay the bank? Is there anything left for shareholders from a profitability standpoint? That by the time you divide it up on the shares versus"}, {"path": "tedlium_6291.wav", "duration": 12.24, "text": "One key component of that relates to a tax settlement in Italy, which you can read more about that we disclosed in our annual report. It is positive for us that we have settled"}, {"path": "tedlium_6292.wav", "duration": 12.24, "text": "being low, especially in the first 2 months of the year. Our results were driven by strong performance in our marketing and Logistics businesses and demonstrate our ability to leverage our highly integrated business model."}, {"path": "tedlium_6293.wav", "duration": 12.24, "text": "to go into overtime. And you're going to run overtime up there, until such time that you can't produce the tires you got,"}, {"path": "tedlium_6294.wav", "duration": 12.24, "text": "On balance, you're probably going to see the outlook for credit to grow a little bit faster. The demand is certainly going to be higher this year given the degradation in farm income and some of the restructuring on operating lines and the use of"}, {"path": "tedlium_6295.wav", "duration": 12.24, "text": "thinking about that, and so that will also be part of how we'll consider the steps that we take going forward. But I would say the tone of things with respect to the administrative side"}, {"path": "tedlium_6296.wav", "duration": 12.24, "text": "As the world's largest video game retailer, we expect to take full advantage of this exciting new product by working diligently to deliver as many units as possible to our customers all year long."}, {"path": "tedlium_6297.wav", "duration": 12.24, "text": "And finally, subsequent to the quarter, we announced we had completed the sale of substantially all of group Commensal assets related to the manufacturing of Commensal products."}, {"path": "tedlium_6298.wav", "duration": 12.24, "text": "I would expect that we will go through where we are on the 4 growth metrics that we put out there. But remember that those growth -- the growth goals we put out were really client business metrics."}, {"path": "tedlium_6299.wav", "duration": 12.24, "text": "And then once we get to a dose level that we think is therapeutic, we may continue dose escalating a bit in those patients -- excuse me, in those healthy volunteers just to collect additional data."}, {"path": "tedlium_6300.wav", "duration": 12.24, "text": "whoever -- whatever biosimilars want to enter this market, they're going to have to navigate their way through that IP. And I still feel as confident as I did when we communicated that to you back"}, {"path": "tedlium_6301.wav", "duration": 12.24, "text": "detail on this about the potential for the timing of the second cracker. But I wanted to focus more -- less on the margins and more on sort of the timing of the shift that we've seen in terms of"}, {"path": "tedlium_6302.wav", "duration": 12.24, "text": "We're driving consumer engagement through the successful Made of Black campaign, which links the consumer interest in football and the English Premier League with the brand purpose."}, {"path": "tedlium_6303.wav", "duration": 12.24, "text": "Second, the implementation of new e-merchandising algorithm improved the relevance of product display and then substantially enhanced access for the pages"}, {"path": "tedlium_6304.wav", "duration": 12.24, "text": "Linked quarter decline can be attributed in part to typical third quarter seasonality, as well as less favorable market conditions, with lower volatility experienced in the third quarter."}, {"path": "tedlium_6305.wav", "duration": 12.24, "text": "We continue to improve the overall tech talent search platform for Dice. Aside from significant user interface improvements, we're making it easier for employers to connect with and engage potential quality tech candidates."}, {"path": "tedlium_6306.wav", "duration": 12.24, "text": "that was distributed at the close of regular trading and is available on the company's website. As a reminder, during today's call, the company will refer to a presentation that is available to participants"}, {"path": "tedlium_6307.wav", "duration": 12.24, "text": "These decreases were partially offset by higher variable short-term compensation expense, reflective of our improved operating income this quarter, given the favorable impact from the insurance recovery."}, {"path": "tedlium_6308.wav", "duration": 12.24, "text": "as well as currency, with the weakening Chinese renminbi. Partially offsetting these reductions are improvements in Europe, which is continuing to see very healthy downstream LNG activity."}, {"path": "tedlium_6309.wav", "duration": 12.24, "text": "each prior year quarter and so we did have a strong -- if you look we had a weak first half, strong second half and that's kind of, this time, it's kind of flipping around a little bit relatively speaking because of that."}, {"path": "tedlium_6310.wav", "duration": 12.24, "text": "One is Adama sale. Adama sale, we're going to explain later, that we brought a lot of cash to the company and an increase of the share of price of Clal that is valued still at market value"}, {"path": "tedlium_6311.wav", "duration": 12.24, "text": "This customer is using ServiceWatch to not only map internal services but also map external services and they're using Customer Support Management to resolve the underlying issues."}, {"path": "tedlium_6312.wav", "duration": 12.24, "text": "And what was striking in the 70-some-odd conversations that I had is that in the eyes of the customer, ServiceNow is addressing a need that the other platforms weren't really designed to do."}, {"path": "tedlium_6313.wav", "duration": 12.24, "text": "which make us a natural partner for the governments, the communities and the contractors where we operate. We seek to operate at the highest levels of HSE performance and ethical compliance"}, {"path": "tedlium_6314.wav", "duration": 12.24, "text": "There are many different revenue streams grouped together in this line item, of which none is significant enough to meet the criteria of a reportable segment, hence the name non-reportable segments."}, {"path": "tedlium_6315.wav", "duration": 12.24, "text": "aforementioned freight and driver home time issues contributed to the underutilization. We do not anticipate adding any incremental truck count to this segment until our internal productivity targets are met."}, {"path": "tedlium_6316.wav", "duration": 12.24, "text": "Therefore, the focus of the industry has turned towards the search of new checkpoint pathways and various combination therapies to increase patients' response rate."}, {"path": "tedlium_6317.wav", "duration": 12.24, "text": "will review our financial results. After Paul's comments, I will provide some perspective on the market, and then we will take your questions. I will begin with a review of our second quarter highlights."}, {"path": "tedlium_6318.wav", "duration": 12.24, "text": "But the real power and where this all comes together, I can't call it the glue of the platform, is when you invest in a foundation layer that gives you governments, management,"}, {"path": "tedlium_6319.wav", "duration": 12.24, "text": "it's good to lock in strong conditions, strong market terms. And when times are bad, you don't want to lock in lousy lease rates and you tend to keep the incremental lease terms short. I think this is a good time, and we've been behaving accordingly."}, {"path": "tedlium_6320.wav", "duration": 12.24, "text": "Mortgage, in particular, has seen recent industry headwinds due to market conditions caused by a combination of a modest rise in rates and tight housing supply and continues to be a potential risk as we move forward."}, {"path": "tedlium_6321.wav", "duration": 12.24, "text": "I'm just interested in what sort of investments you guys are making on enhancing your mail capabilities, where your penetration rates for mail are at and what you see as any potential opportunity in the online pharmacy space for you guys."}, {"path": "tedlium_6322.wav", "duration": 12.24, "text": "Congratulations to the Midla team for the work and partnership with communities, state and local governments, and the FERC in achieving a mutually beneficial outcome to reconstruct the legacy Midla system."}, {"path": "tedlium_6323.wav", "duration": 12.24, "text": "Over the following weeks, we also met with many of you in your offices and in group meetings. And I can honestly say, we look forward to continuing to work with you and expanding the dialogue about our technology,"}, {"path": "tedlium_6324.wav", "duration": 12.24, "text": "And if any projects might fall out of the mix as another one enters because it's so challenging to do so many things at once."}, {"path": "tedlium_6325.wav", "duration": 12.24, "text": "other than to note that we've been very consistent in noting that there are 3 fundamental criteria with which we look at any potential expansion, which would be, does it strategically fit?"}, {"path": "tedlium_6326.wav", "duration": 12.24, "text": "This is lower than planned due to several large awards pushing to the fourth quarter of this year and the first half of 2018. It's important to note that we have not lost any significant projects"}, {"path": "tedlium_6327.wav", "duration": 12.24, "text": "We also executed quickly in changing our compensation programs, ensuring each of our subsidiaries are incentivized to make decisions on behalf of one Rotork overall, rather than their individual location."}, {"path": "tedlium_6328.wav", "duration": 12.24, "text": "With our plans for user growth, augmented reality and content in 2018, I've never been more excited about the future of our business. We're going to keep up the hard work and stay focused on the big opportunities ahead."}, {"path": "tedlium_6329.wav", "duration": 12.24, "text": "We believe our portfolio offers a unique opportunity to grow income as we continue to redevelop and lease our properties at market rents and bring occupancies to market levels."}, {"path": "tedlium_6330.wav", "duration": 12.24, "text": "which occurred when orders that were anticipated to ship in the third quarter of 2017 did not ship until early in the fourth quarter. We do not believe this change will result in a shortfall in the back half of the year."}, {"path": "tedlium_6331.wav", "duration": 12.24, "text": "and that's really what we're working on now. And that money would be used to either fund additional investments in the business or to just improve earnings year-over-year."}, {"path": "tedlium_6332.wav", "duration": 12.24, "text": "stronger cost management and stringent capital discipline has resulted in the all-in sustaining cost margin increasing from 17% in the second half of last year"}, {"path": "tedlium_6333.wav", "duration": 12.24, "text": "in the fourth quarter as well as the fourth quarter's own indigenous seasonality. And so as we sorted that through, we are where we were, which is our credit models are consistent"}, {"path": "tedlium_6334.wav", "duration": 12.24, "text": "Clearly, given the entire tone of this conversation, we have very good and valued relationships with our regulators. We have, as we model it forward and already built into our market share and the development thereof,"}, {"path": "tedlium_6335.wav", "duration": 12.24, "text": "and Chief Operating Officer of Univar. David's a seasoned experienced growth champion and senior executive with more than 35 years in chemicals and plastics distribution."}, {"path": "tedlium_6336.wav", "duration": 12.21, "text": "are being evaluated. And depending upon the length of a down-cycle, more or less of these opportunities are being investigated."}, {"path": "tedlium_6337.wav", "duration": 12.21, "text": "a good improvement in our operate -- in our asset base, and momentum in the business with plenty of opportunities to go for. So what are those results?"}, {"path": "tedlium_6338.wav", "duration": 12.21, "text": "And many of you who were there would have heard them talk about the absolute uniqueness and the value that they put behind our offer. We're delighted to receive that kind of feedback"}, {"path": "tedlium_6339.wav", "duration": 12.21, "text": "getting the antibody to the site of action in sufficient quantity is something that remains to be demonstrated clinically. And it's very difficult if not impossible to demonstrate experimentally."}, {"path": "tedlium_6340.wav", "duration": 12.21, "text": "He was initially told that his only option was a corneal transplant after his vision was significantly impaired, leaving him and his family with a series of questions and uncertainty,"}, {"path": "tedlium_6341.wav", "duration": 12.21, "text": "Our cash forecast, however, does not assume any influx of nonroutine cash inflows, so any realization of these inflows will extend our forecasted cash runway further into the future."}, {"path": "tedlium_6342.wav", "duration": 12.21, "text": "if you don't grow income, you don't grow bonuses. If you grow income, you can grow bonuses, and if you reduce income, you reduce bonuses. So that's kind of the new"}, {"path": "tedlium_6343.wav", "duration": 12.21, "text": "With mortgage rates trending lower, we should have a bit more wind at our back, driving demand for both new purchases and financings -- refinancings. We also expect"}, {"path": "tedlium_6344.wav", "duration": 12.21, "text": "everyone here and for Lear. And as I look to the future, I can tell you one thing. We're going to continue to stay focused. We have the best team in the industry. We'll continue to build on that great team."}, {"path": "tedlium_6345.wav", "duration": 12.21, "text": "Our strategy in this area is all about leveraging the versatile and adaptable G1 platform in ways that allow us to bring new technologies to the market faster while expanding our market share."}, {"path": "tedlium_6346.wav", "duration": 12.21, "text": "One final point on the innovation front comes from our Products and Systems segment, which has some exciting research and development activities underway with some important customers."}, {"path": "tedlium_6347.wav", "duration": 12.21, "text": "The aim of that update is to give you evidence and to give you a feeling around the improved sustainable value creation we forecast for Parcels going forward."}, {"path": "tedlium_6348.wav", "duration": 12.21, "text": "We're going to have faster top line growth than last year's 20%. And I think it's fair to say by anybody's standard when you see it, you will consider it to be very much faster."}, {"path": "tedlium_6349.wav", "duration": 12.21, "text": "In our press release, we have provided a table that reconciles the historical period, revenues and cost of revenues as reported, to the as-adjusted amounts that reflect a net versus gross basis."}, {"path": "tedlium_6350.wav", "duration": 12.21, "text": "Our aim is to target these stations as the opportunities arise to build a meaningful network of this new format, and we'd expect to open around 50 of these over the course of time."}, {"path": "tedlium_6351.wav", "duration": 12.21, "text": "check average also benefited from customers adding queso to their order, which added about 200 bps. April trends have been impacted by unseasonably cold and wintry weather in much of the country as well as the Easter shift."}, {"path": "tedlium_6352.wav", "duration": 12.21, "text": "This was offset by declines in packaging and medical which is primarily due to strong prior year comps. As I mentioned earlier, we had another strong quarter in the consumables portion of"}, {"path": "tedlium_6353.wav", "duration": 12.21, "text": "When we take a step back and look at Applied specifically, in an environment characterized by those same pressures, reprofiling, memory and foundry spend,"}, {"path": "tedlium_6354.wav", "duration": 12.21, "text": "To anchor this momentum back to strategy, when we did both these deals, we framed that we saw competitive dynamics moving fast and that we could be spectator or participant."}, {"path": "tedlium_6355.wav", "duration": 12.21, "text": "Any forward-looking statements that we make on this call are based on assumptions as of today, and we undertake no obligation to update these statements as a result of new information or future events."}, {"path": "tedlium_6356.wav", "duration": 12.21, "text": "During the downturn, we took the opportunity to upgrade our rig fleet to one of the most modern and efficient in the industry. On the completion side, we expect to complete 5% to 10% more"}, {"path": "tedlium_6357.wav", "duration": 12.21, "text": "In a lot of the rest of our market, the partner approach won't work, because either the service is too expensive or there is not enough local content for the particular country."}, {"path": "tedlium_6358.wav", "duration": 12.21, "text": "We recently broadened our LTSS capabilities through the acquisition of Ascend. Based in Tennessee, Ascend is one of the largest health assessment providers on behalf of U.S. government agencies"}, {"path": "tedlium_6359.wav", "duration": 12.21, "text": "I am absolutely sure that our intentional and strategic investment actions were the right moves to set us up for strong future growth in both market share and profitability."}, {"path": "tedlium_6360.wav", "duration": 12.21, "text": "we're always looking at other partnership opportunities where we can further increase that reach. We want to make sure that our product assortment is where our customers are shopping. So we will absolutely evaluate"}, {"path": "tedlium_6361.wav", "duration": 12.21, "text": "The actual timing is driven by our launch partner, and we will defer to them. But we look forward to be able to talk more and report on this in the third quarter."}, {"path": "tedlium_6362.wav", "duration": 12.21, "text": "In fiscal '17, we're transforming the program again to ensure it remains at the cutting edge of marketing thinking and building in the latest technology around measurement and evaluation."}, {"path": "tedlium_6363.wav", "duration": 12.21, "text": "Through this new system, we will gain enhanced shop floor labor and inventory accuracy as well as improve business process efficiencies across all functional areas of the company."}, {"path": "tedlium_6364.wav", "duration": 12.21, "text": "We are rapidly moving forward with content supply arrangements and programming strategies for this new OTT channel with several top Chinese entertainment companies and will announce the specifics soon."}, {"path": "tedlium_6365.wav", "duration": 12.21, "text": "with our platforms going forward, I suspect we may see some erosion in the margins of our legacy platforms because they're going to be under pricing pressure in that marketplace."}, {"path": "tedlium_6366.wav", "duration": 12.21, "text": "In addition, our third quarter results were impacted by short-term, unplanned outages and by higher operating costs, including higher transportation and logistical costs, which Steve will discuss in more depth in just a few moments."}, {"path": "tedlium_6367.wav", "duration": 12.21, "text": "This has been a highly regulated industry for decades, which is a really, really good thing. There used to be some kind of bad actors in this industry. And"}, {"path": "tedlium_6368.wav", "duration": 12.21, "text": "I'd like to emphasize that any forward-looking statements we made in the earnings release or any that we may make during this call are based upon information that we believe to be true as of today."}, {"path": "tedlium_6369.wav", "duration": 12.21, "text": "maybe up slightly versus where we would expect it to be from a world-class standpoint but not significantly above that across our systems. So"}, {"path": "tedlium_6370.wav", "duration": 12.21, "text": "you need application in the region, you need production in the region. Your application people have to go with the customer site and help serve the customer both in manufacturing and in the laboratory."}, {"path": "tedlium_6371.wav", "duration": 12.21, "text": "A replay of today's call will be available beginning an hour after the completion of the call and will remain available until November 9. Information on how to access the replay was included in yesterday's release."}, {"path": "tedlium_6372.wav", "duration": 12.21, "text": "as opposed to owning the entire process yourself. I think our view here in terms of what we're doing and also looking around at suitable contract manufacturers"}, {"path": "tedlium_6373.wav", "duration": 12.21, "text": "This increase was primarily driven by the addition of recurring operating expenses associated with the Country Home Products acquisition, partially offset by reductions in certain organic selling, general and administrative expenses."}, {"path": "tedlium_6374.wav", "duration": 12.21, "text": "This gives us the financial flexibility to continue with our capital investments, shareholder returns and maintain our optimal capital structure under a wide range of operating conditions."}, {"path": "tedlium_6375.wav", "duration": 12.21, "text": "Our South African projects have a highly focused and effective new leader who is actively engaged in risk mitigation and moving the projects forward towards completion."}, {"path": "tedlium_6376.wav", "duration": 12.21, "text": "it's a good place for us to be as far as having a differentiated solution and being able to sell value as opposed to just trying to compete per widget with somebody who's out there with exactly the same thing."}, {"path": "tedlium_6377.wav", "duration": 12.21, "text": "Today's call is being recorded at the request of Air Products. Please note that this presentation and the comments made on behalf of Air Products are subject to copyright by Air Products and all rights are reserved."}, {"path": "tedlium_6378.wav", "duration": 12.21, "text": "You probably know that Q1 is by far our smallest quarter due to relative seasonality in some of our businesses. Nevertheless, we're encouraged by some of those results."}, {"path": "tedlium_6379.wav", "duration": 12.21, "text": "how long will it last? I can't really tell you an exact number because it involves our procurement strategy, and I don't think we can publicize that."}, {"path": "tedlium_6380.wav", "duration": 12.21, "text": "Fair enough. If you just like, say, maybe the deals, I guess potential deals that you would have looked at over the past year, are you able to quantify roughly speaking how many you might have looked at, how many"}, {"path": "tedlium_6381.wav", "duration": 12.21, "text": "and the risk described in today's news announcement and in the company's filings with the Securities and Exchange Commission, including the company's reports on Form 10-K and Form 10-Q."}, {"path": "tedlium_6382.wav", "duration": 12.21, "text": "We are pleased to announce that we signed a definitive agreement to acquire 12 stores in Louisiana, expanding our store footprint in a new market and building out our geographical presence in the South."}, {"path": "tedlium_6383.wav", "duration": 12.21, "text": "Could you firstly just remind us why you bought into this reserve? Secondly, how you plan to develop it, especially as we're aware that you're not involved in the existing project onshore."}, {"path": "tedlium_6384.wav", "duration": 12.21, "text": "and then either being an early adopter for the new Church Management modules that we built in the fall, we're waiting to get those implemented in general availability next year."}, {"path": "tedlium_6385.wav", "duration": 12.21, "text": "Got it. Great. And then last one, just maybe you can give us some color on how much of a rate incentive current jumbo borrowers have in your portfolio"}, {"path": "tedlium_6386.wav", "duration": 12.21, "text": "to issue a new series of debt with the collateral of the potential proceeds of any disposal of Clal shares. So the company now is in the market,"}, {"path": "tedlium_6387.wav", "duration": 12.21, "text": "I would like to remind you that our remarks and answers to your questions may contain forward-looking statements and information. This information is subject to risks and uncertainties that may cause actual events or results to differ materially."}, {"path": "tedlium_6388.wav", "duration": 12.21, "text": "representing top line growth of 4% to 10%. Excluding the impacts of currency and hedging, guidance reflects constant currency revenue growth"}, {"path": "tedlium_6389.wav", "duration": 12.21, "text": "we've heard this earnings season, not just from your peers, but pretty much most, that discretionary enterprise spending is slowing. And I'm wondering if that has any impact on your sales cycles or project starts."}, {"path": "tedlium_6390.wav", "duration": 12.21, "text": "In addition, many buyers of renewable energy see it is a good hedge against carbon risk in the future. This competitiveness is underpinned by support of tax incentives. We"}, {"path": "tedlium_6391.wav", "duration": 12.21, "text": "The increase was also helped by lower commodity cost as well as by strong RIG, that also led to better industrial capacity utilization and better operating leverage."}, {"path": "tedlium_6392.wav", "duration": 12.21, "text": "physical media is a good thing, right? As far as the historical, guys, anybody have any thoughts on that? I don't remember anything distinctly different between the economics of pre-owned,"}, {"path": "tedlium_6393.wav", "duration": 12.21, "text": "As you can see on Slide 10, we continue to outpace physical software growth on the new platforms and are seeing less of a decline in pre-owned than we are in the previous-gen physical software."}, {"path": "tedlium_6394.wav", "duration": 12.21, "text": "including the fact that we are Ireland's only bancassurer. We believe the market structure in Ireland is sustainable, and we have been and will continue to be commercially disciplined on pricing and risk."}, {"path": "tedlium_6395.wav", "duration": 12.21, "text": "pretty horrific. And just with the size and volume of snow that's going on out west. So it really has not had an impact on us to date. I would call it a blip."}, {"path": "tedlium_6396.wav", "duration": 12.21, "text": "and is simply normal that if and when they decide not to pass on the negative interest rate, that this is deducted from that calculation, but is not like we're charging employee. I mean, that's absolutely not true."}, {"path": "tedlium_6397.wav", "duration": 12.21, "text": "we aim to become the leading provider of enabling technology to the automotive catalyst industry. We will achieve this by, first, establishing important commercial traction among catalyst manufacturers in underserved markets"}, {"path": "tedlium_6398.wav", "duration": 12.21, "text": "it is a real pleasure now with the position that Neurocrine is in, that we have the ability to proactively invest across our entire business. And that's what you're going to be -- that's what you're going to see us do,"}, {"path": "tedlium_6399.wav", "duration": 12.21, "text": "And so what we've tried to do is to make the events of July '16, when they occur, to simply be the next turning page in regard to this type of analysis, which we've been doing for 2 years now."}, {"path": "tedlium_6400.wav", "duration": 12.21, "text": "Given the competitive market and lower prices, we had anticipated that our gross profit margins would remain relatively consistent with the prior quarter with some potential for downward pressure."}, {"path": "tedlium_6401.wav", "duration": 12.21, "text": "get into the market. We've been there for a long time. We believe that as we think about growing our network and, in particular, merchant acceptance, that we have to have"}, {"path": "tedlium_6402.wav", "duration": 12.2099375, "text": "At the same time, we remain active supporting and seeking new business in Alberta and Saskatchewan with our clients there and anticipate the economic recovery in these provinces will continue."}, {"path": "tedlium_6403.wav", "duration": 12.1800625, "text": "I remain confident in the people and the processes we have in place, and I can assure you that we will continue to appropriately resource and staff this important work. And we'll keep the FDA updated on our progress."}, {"path": "tedlium_6404.wav", "duration": 12.1800625, "text": "Overall, we expect full year margins to show progress on 2018. I remain very enthusiastic to be leading Rotork, and I'm very pleased with the level of execution our team has continued to demonstrate."}, {"path": "tedlium_6405.wav", "duration": 12.18, "text": "Our dividend is a key measure of our returns to shareholders. Today, we've announced an interim dividend of 4p, consistent with our progressive dividend policy."}, {"path": "tedlium_6406.wav", "duration": 12.18, "text": "that we connect them and provide context and data and information to owners and operators. And we think that, that is a big opportunity for us to differentiate the marketplace. And there is more to come on that,"}, {"path": "tedlium_6407.wav", "duration": 12.18, "text": "At Engineered Materials, demand for RVs remains very strong and we continue to gain share, but resin prices increased in the third quarter partly because of impacts from Hurricane Harvey."}, {"path": "tedlium_6408.wav", "duration": 12.18, "text": "This was at the end of December of 2017. There was an exhaustive amount of work done because we were concerned about the amounts that were being accrued and booked as revenue. We found at that point in time"}, {"path": "tedlium_6409.wav", "duration": 12.18, "text": "Yes. Again, I think, a couple of things going on in the quarter in Canada that allowed the margins to improve. One was mix, so relative to Q1 last year, where we had"}, {"path": "tedlium_6410.wav", "duration": 12.18, "text": "In my remarks last quarter, I also discussed our outlook for 2016. I stated that because of our diversified platform and low leverage profile, we were positioned to"}, {"path": "tedlium_6411.wav", "duration": 12.18, "text": "As I will describe further, value and yield investing in certain sectors of equity market has clearly become more rewarding and more easily defensible in 2016. The"}, {"path": "tedlium_6412.wav", "duration": 12.18, "text": "so our half year leverage tends to be towards the high point for the year because of the payment of the final dividend from the prior year. So it's not unduly surprising to see it at that level at the half year."}, {"path": "tedlium_6413.wav", "duration": 12.18, "text": "That's the way we see this unfolding in the future. We're not going to go into the ERP space of construction. We're going to stay on the whole life cycle from design all the way through to site execution,"}, {"path": "tedlium_6414.wav", "duration": 12.18, "text": "or fixed through interest rate swaps as of December 31. In regards to our ATM programs, we did not have any activity during the fourth quarter."}, {"path": "tedlium_6415.wav", "duration": 12.18, "text": "As an example, and looking at our fundraising pipeline going into 2018, we've launched larger successor funds in our European Direct Lending strategy and our European real estate private equity strategy,"}, {"path": "tedlium_6416.wav", "duration": 12.18, "text": "as we look into 2019. And with that, I will turn it over to Jeff to provide more detail about our second quarter financial performance and our guidance for the third quarter."}, {"path": "tedlium_6417.wav", "duration": 12.18, "text": "We are trying to fully understand the outcome of the study. And so as soon as we complete all the"}, {"path": "tedlium_6418.wav", "duration": 12.18, "text": "In terms of profitability, we continue to make our best efforts to maintain the financial profitability of the company and to create value for shareholders."}, {"path": "tedlium_6419.wav", "duration": 12.18, "text": "would be lower. If it's a change in the status of existing customers, then I guess that would sort of make sense in terms of some of the commentary. And I don't know if you can provide any specific"}, {"path": "tedlium_6420.wav", "duration": 12.18, "text": "Well, it's a good question, Mike. I would say, there's a couple of things underneath really any of the retail businesses in Texas. First of all, Texas is a very active marketplace. So I think one of the"}, {"path": "tedlium_6421.wav", "duration": 12.18, "text": "I want to make it clear, this description merely presents our vision and focus. We are a single, unified company and our employees and customers should understand our purpose."}, {"path": "tedlium_6422.wav", "duration": 12.18, "text": "We've experienced 2 consecutive strong quarters and we are still cautiously optimistic that orders will continue to be strong during the balance of the year. We're watching this market closely."}, {"path": "tedlium_6423.wav", "duration": 12.18, "text": "truck fuel efficiency-related factors on diesel volume demand and despite volume declines at sites that have seen the most negative impact from a decline in energy sector activity."}, {"path": "tedlium_6424.wav", "duration": 12.18, "text": "I think we recognize that as we're moving through the rest of '18 and moving into '19, we'd expect that we'd still have some other inflationary pressures around wages or other things that will be impacting the business. But we would expect that"}, {"path": "tedlium_6425.wav", "duration": 12.18, "text": "Finally, ninth, our leading market position offers a platform through which we can introduce new digital products, control systems and predictive analytics and maintenance models based on Big Data that further enhance our returns."}, {"path": "tedlium_6426.wav", "duration": 12.18, "text": "The most obvious initiative, which Rob will highlight, is the intention to transition more businesses to a subscription model. Beyond the move to subscriptions,"}, {"path": "tedlium_6427.wav", "duration": 12.18, "text": "Before I talk about our plans for the second half of fiscal 2019, let me give you a high-level overview of our segment results during the quarter. Enrollments in our Medical and Healthcare segment were strong."}, {"path": "tedlium_6428.wav", "duration": 12.18, "text": "Before we get under way, I'd like to remind everyone to review our forward-looking statements and the cautions and risk factors pertaining to the statements. For those of you following along on the webcast, you should see these on the screen in front of you now."}, {"path": "tedlium_6429.wav", "duration": 12.18, "text": "We've now simplified our solution pricing framework in a way that allow us to introduce new capabilities to the market and fold them into a straightforward and transparent pricing model that aligns with our clients' success."}, {"path": "tedlium_6430.wav", "duration": 12.18, "text": "that continues to grow and thrive. Entrada already integrated into the solution. We're already starting to see bookings growth. In fact, they out -- they beat the plan in bookings in our deal model."}, {"path": "tedlium_6431.wav", "duration": 12.18, "text": "and if anything, it would have a modest drag on results over the shorter and medium term as the business grows, largely due to the rapid growth."}, {"path": "tedlium_6432.wav", "duration": 12.18, "text": "We look forward to delivering on our growth objectives and continuing to update you on our progress in the future. This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_6433.wav", "duration": 12.18, "text": "As an example of our unique solution-based approach, I'm pleased to announce a new, innovative program that is making a significant difference to educators struggling with student loan debt."}, {"path": "tedlium_6434.wav", "duration": 12.18, "text": "It's important because business momentum can be seen in terms of our reported revenue plus backlog. And when comparing that sum to the year-ago period, it gives us confidence that we're doing very well."}, {"path": "tedlium_6435.wav", "duration": 12.18, "text": "Are you saying effectively that you don't think -- if you took out the product, additional products you put through, you just don't think you could get those price rises through to the sort of Rightmove levels?"}, {"path": "tedlium_6436.wav", "duration": 12.18, "text": "First, during the third quarter, we fully implemented the corrective actions on our frozen garlic bread business and we are now supplying the business at normal levels. We do not expect further supply disruptions."}, {"path": "tedlium_6437.wav", "duration": 12.18, "text": "This is one of the most important initiatives in the company. We're also pleased with our ability to manage our expenses lower when we did not achieve our expected sales results last year."}, {"path": "tedlium_6438.wav", "duration": 12.18, "text": "Most of these individuals are well served by oral medications that are in the market, such as allopurinol. However, our market research indicates that more than 0.5 million patients in U.S."}, {"path": "tedlium_6439.wav", "duration": 12.18, "text": "The maize business excelled and local beverages and cereals recaptured its market position, thus establishing a very sound performance platform for the immediate future."}, {"path": "tedlium_6440.wav", "duration": 12.18, "text": "Looking ahead, raw material availability will remain sound through large carryover stocks from the record 2017 crop and very positive new season crop expectations."}, {"path": "tedlium_6441.wav", "duration": 12.18, "text": "of our 3 factories will actually play out for the fourth quarter. That's going to define the level of profitability for us in Data Centers in the fourth quarter, and that's the uncertainty we have."}, {"path": "tedlium_6442.wav", "duration": 12.18, "text": "One, manufacturing is more about a culture than it is about process. Our sites will move towards an owner's mentality where they are responsible for all the business outcomes for the sites and not just costs."}, {"path": "tedlium_6443.wav", "duration": 12.18, "text": "of the group strategy around moving towards customer solutions, adding software, adding service into our capability predominantly in Test and Measurement and Materials Analysis"}, {"path": "tedlium_6444.wav", "duration": 12.18, "text": "a remarkably different tax equivalent NIM in the first quarter of '18 versus the fourth quarter of '17. Right. And then, your actual margin"}, {"path": "tedlium_6445.wav", "duration": 12.18, "text": "we anticipated sales to contract in the quarter, water technologies and fluid solutions were down more than expected as we saw a softening demand in short-cycle pump sales and weaker capital spending in beverage."}, {"path": "tedlium_6446.wav", "duration": 12.18, "text": "improve the quality of that book. Not that it's been a bad quality because we've got excellent historical performance, but I think it just improves that -- the opportunity set for us"}, {"path": "tedlium_6447.wav", "duration": 12.18, "text": "Please review the warning statements in our press release and on the presentation slides concerning the risks associated with forward-looking statements as forward-looking statements will be made during this conference call."}, {"path": "tedlium_6448.wav", "duration": 12.18, "text": "Segment operating margins are expected to be driven primarily by a modest improvement in the Manufacturing Support segment as well as a slightly higher DSA margin excluding WIL."}, {"path": "tedlium_6449.wav", "duration": 12.18, "text": "We continue to make good progress in executing our strategy, leveraging the Radiant platform to bring value to our operating partners, and we remain very excited about the opportunity to grow our business organically,"}, {"path": "tedlium_6450.wav", "duration": 12.18, "text": "you will of course have the opportunity to ask questions and we'll take questions from participants joining from the conference call. But you can also send in your questions via e-mail."}, {"path": "tedlium_6451.wav", "duration": 12.18, "text": "the easy answer is, in the big picture, we're not particularly sensitive. In the short-term, particularly if we're still not growing and we're sort of sitting around in idle, then we might be a little more sensitive than normal but not in a huge way."}, {"path": "tedlium_6452.wav", "duration": 12.18, "text": "And so as you move into frontline, you get your greatest benefit for the patient by doing that, and obviously, you get your greatest benefit from a business standpoint by moving up into those first-line"}, {"path": "tedlium_6453.wav", "duration": 12.18, "text": "resulting from last year's hurricane, in excess of our deductibles. We continue to work with our insurance representatives and other advisers to process our insurance claims in an efficient and timely manner."}, {"path": "tedlium_6454.wav", "duration": 12.18, "text": "As with our actively managed strategies, results for May to date and the pipeline of won not funded new business give us confidence that strong growth of our Custom Beta franchise will continue."}, {"path": "tedlium_6455.wav", "duration": 12.18, "text": "As Rich mentioned, we believe the results in our international segments continue to reflect execution challenges, largely due to restructuring and earlier stages of marketplace and operational development."}, {"path": "tedlium_6456.wav", "duration": 12.18, "text": "And so the improvement there and the performance of the product is something that has a lot of clinicians really excited about the Afirma GSC, and wanting to gain some experience with it. So we're really happy with that."}, {"path": "tedlium_6457.wav", "duration": 12.18, "text": "could be exposed to competition from ACE910. This should be expected to happen gradual as the penetration and approval around the world will be gradual,"}, {"path": "tedlium_6458.wav", "duration": 12.18, "text": "Turning now to Production Enhancement. As many of you are aware, Core focuses on energetic products that are engineered to enhance recovery from oil and gas fields. We do not focus on the commodity"}, {"path": "tedlium_6459.wav", "duration": 12.18, "text": "really important reason why we do this is because we can. We are so financially strong that we can meet and make -- take business decisions based on a risk and reward in the Swedish market. So we will continue doing that."}, {"path": "tedlium_6460.wav", "duration": 12.18, "text": "to smoothen a bit the structure of cost that some time are different from the perceived one because face value they appear high but then"}, {"path": "tedlium_6461.wav", "duration": 12.18, "text": "even though you had less promotional days, it's still stabilizing at pretty low levels relative to historical. So any thoughts on what point you start to recapture and some of the drivers there?"}, {"path": "tedlium_6462.wav", "duration": 12.18, "text": "through the terminals and out of the terminals faster. We haven't invested a lot of money there yet. So there's still a laundry list of opportunity from productivity and investments productivity, opportunities we haven't converted"}, {"path": "tedlium_6463.wav", "duration": 12.18, "text": "because we think that's where it has the greatest potential and is best meeting the needs of the consumer in that channel. So we have no plans at this time to bring any other brands into the mass channel."}, {"path": "tedlium_6464.wav", "duration": 12.18, "text": "Good afternoon. My name is Leonie, and I'll be your conference operator today."}, {"path": "tedlium_6465.wav", "duration": 12.18, "text": "higher level of capital spending reflects a robust pipeline of growth in productivity projects, which are expected to produce a healthy return, as well as support growth of the top and bottom line."}, {"path": "tedlium_6466.wav", "duration": 12.18, "text": "and we now have our pipeline of deliveries. But -- and on the other hand, we also have other service revenues that are very important on the"}, {"path": "tedlium_6467.wav", "duration": 12.18, "text": "as the year unfolded. And in fact, that's largely what has happened. Unfortunately, it hasn't happened to the extent that we anticipated. And then on top of that, we're ending up with these"}, {"path": "tedlium_6468.wav", "duration": 12.18, "text": "which they will likely spend on improved consumption. This demand, along with potential impacts on driver capacity through electronic logging devices, will create adequate Intermodal demand."}, {"path": "tedlium_6469.wav", "duration": 12.18, "text": "addition, I wish to thank Martin for his invaluable contributions to Compugen's development for two decades, and we all look forward for his continued support."}, {"path": "tedlium_6470.wav", "duration": 12.18, "text": "I want to take a minute to lay out some category data that may help quantify the potential impact that these new innovations may have on the physical console gaming category in the near future."}, {"path": "tedlium_6471.wav", "duration": 12.18, "text": "that in 2017, we should have some material impact from that work. And even in the short term on some of the rapid replenishment as we're piloting some of those things, we should have some early read on that, too. So"}, {"path": "tedlium_6472.wav", "duration": 12.18, "text": "Our guidance includes the interest expense associated with the debt we assumed with one of our acquisitions, as well as the impact of the refinancing activity we expect to close in the second half of the year, which I'll discuss in a moment."}, {"path": "tedlium_6473.wav", "duration": 12.18, "text": "With the addition of our El Dorado incinerator, we're setting new records for drum volumes and we are drawing more waste streams from the ongoing expansion that we see in the chemical sector."}, {"path": "tedlium_6474.wav", "duration": 12.18, "text": "The conventional end of the category has seen the largest weakening in demand. The industry shift towards synthetics is moving quickly and we are focused on continuing to grow share in that area."}, {"path": "tedlium_6475.wav", "duration": 12.18, "text": "So -- but it would be hard for me to quantify that at this point because I think it's a matter of completing the restructuring in these plants and then seeing where the economics are versus where you wanted them to be"}, {"path": "tedlium_6476.wav", "duration": 12.18, "text": "But I would say the high majority are no-cost additions. And every now and then we come out with features that are very specific in use and do have a cost associated with them. But the costs are always very minimal."}, {"path": "tedlium_6477.wav", "duration": 12.18, "text": "And the pricing, you have to compare not the average of the years but compare the September to September pricing, which is much higher"}, {"path": "tedlium_6478.wav", "duration": 12.18, "text": "clear or much more attractive as that utilization and reliability comes up because it gives the owners more confidence. But I think there will be opportunities there as well. So yes, that was a good summary."}, {"path": "tedlium_6479.wav", "duration": 12.18, "text": "of certain items in the fourth quarter and full year fiscal 2018 as well as the fourth quarter and full year fiscal 2017. A description of these items and a reconciliation of these non-GAAP measures"}, {"path": "tedlium_6480.wav", "duration": 12.18, "text": "These costs reflected in part the customers' evolving objectives, processes and priorities as well as the introduction of new initiatives and the effects of the significant scale of the program."}, {"path": "tedlium_6481.wav", "duration": 12.18, "text": "Non-residential construction is our largest end market, and although we have been experiencing continued moderate improvement and demand over the course of the year, our volume remains well below the peak levels."}, {"path": "tedlium_6482.wav", "duration": 12.18, "text": "The statements made during the course of this presentation that are not purely historical may be forward-looking statements and are subject to the safe harbor protection available under the applicable securities laws."}, {"path": "tedlium_6483.wav", "duration": 12.1500625, "text": "at this time of the year and often during the year and look at all of the projects we're talking to people about, look in all -- look at all of the discussions that we're having with all of our customers."}, {"path": "tedlium_6484.wav", "duration": 12.15, "text": "And we intend to use those new capabilities as long -- along with the new investments mentioned to improve our ability to deliver the goods and services that our customers value and grow shareholder value."}, {"path": "tedlium_6485.wav", "duration": 12.15, "text": "Yes, absolutely. So historically we've defined ACV as it has to be incremental to run rate revenue if it's a existing customer signing a commitment."}, {"path": "tedlium_6486.wav", "duration": 12.15, "text": "it's too weak if we know a certain user used PayPay at a certain retailer, so it might be revenue share, it might be buying data from the retailer. I think there's various schemes considered, but"}, {"path": "tedlium_6487.wav", "duration": 12.15, "text": "I have no doubt in my mind that nothing on the income statement has escaped Matt's eye in the last 7 days. So"}, {"path": "tedlium_6488.wav", "duration": 12.15, "text": "and the way we manage them are a clear indication of our ability to successfully compete in a changing environment by also making the right long-term investment choices going forward."}, {"path": "tedlium_6489.wav", "duration": 12.15, "text": "She has only been on board for about 2 weeks, and her impact has obviously not yet been seen. She is very experienced. And we feel that our licensees who have been not really monitored"}, {"path": "tedlium_6490.wav", "duration": 12.15, "text": "The upper table shows revenue. On the far right side of the table, please look at the comparison with the previous year at Technology Solutions."}, {"path": "tedlium_6491.wav", "duration": 12.15, "text": "And just a comment on the Automotive margins. As we've mentioned before, our European business does carry a higher operating margin than what the total number is."}, {"path": "tedlium_6492.wav", "duration": 12.15, "text": "Now let me address a matter that's been of concern to many people over the past 2 months. On May 4 of this year, we announced that the company was exploring, on a preliminary basis, various options to enhance shareholder value."}, {"path": "tedlium_6493.wav", "duration": 12.15, "text": "and higher percentage goes, that number goes up. And then if you take an aggressive case and you say that, let's say, half of it goes and half of it goes nonproprietary, you come to a different number. But I think"}, {"path": "tedlium_6494.wav", "duration": 12.15, "text": "These risk factors are explained in detail in the company's filings with the Securities and Exchange Commission. Please refer to these filings for a more detailed discussion of forward-looking statements and the risks and uncertainties of such statements."}, {"path": "tedlium_6495.wav", "duration": 12.15, "text": "within the framework was a milestone that was important to us. I'm assuming, it was important to you. The fact that we've done that and the fact that as I've mentioned that growth rate"}, {"path": "tedlium_6496.wav", "duration": 12.15, "text": "We commented in our last earnings call that our approach to integration was to be deliberate, extensive and to move with speed. As we told our Board last week,"}, {"path": "tedlium_6497.wav", "duration": 12.15, "text": "focusing on where we have a very strong surgeon champion. And that's what's really helping to ensure that the adoption and utilization of the robot continues to accelerate. And that includes urban, it includes"}, {"path": "tedlium_6498.wav", "duration": 12.15, "text": "From an innovation standpoint, I will take you through a number of the initiatives that we created. And I think that we are very excited about and hope that you'll be excited about as they're hitting the market and some of them are hitting the market."}, {"path": "tedlium_6499.wav", "duration": 12.15, "text": "Overall, the Partnership delivered another quarter and another year of solid operating and financial results, generating stable cash flow and strong year-over-year growth."}, {"path": "tedlium_6500.wav", "duration": 12.15, "text": "For more details on these measures, the most comparable GAAP measures and a reconciliation of the 2, please refer to the news release and financial supplement available at assurant.com."}, {"path": "tedlium_6501.wav", "duration": 12.15, "text": "good demonstration of the amount of conviction that my partners and I have around the value creation opportunity through the conversion, because some of the challenges that we talked about around"}, {"path": "tedlium_6502.wav", "duration": 12.15, "text": "So 3 notches up, and you will guess that the benefits are really huge in term of financial flexibility, cost of financing for our future"}, {"path": "tedlium_6503.wav", "duration": 12.15, "text": "Should we read that as the pipeline of innovation is more robust or there's pretty significant news on the horizon? Or is there really no correlation"}, {"path": "tedlium_6504.wav", "duration": 12.15, "text": "The company's actual results could differ materially from those indicated in any forward-looking statements due to many factors, the most important of which are described in the company's latest filings with the Securities and Exchange Commission,"}, {"path": "tedlium_6505.wav", "duration": 12.15, "text": "I'm just curious, not knowing your internal expectations, where are you exceeding? In terms of placements? In terms of interest or breadth of interest or win rate per day? Just kind of curious what you mean by that."}, {"path": "tedlium_6506.wav", "duration": 12.15, "text": "Yes. So we're pretty happy with the investments that we've made. I think you're probably referring to our Inspire network that we've upgraded over the last couple of years."}, {"path": "tedlium_6507.wav", "duration": 12.15, "text": "All 3 transactions were structured as asset-purchase deals, and 2 of the 3 shows were acquired from trade associations and in all 3 cases were private sales and not public auctions."}, {"path": "tedlium_6508.wav", "duration": 12.15, "text": "In Asia-Pacific, an improved oil and gas mining sector combined with our enhanced commercial presence and a broader portfolio is driving double-digit percent organic growth in the region."}, {"path": "tedlium_6509.wav", "duration": 12.15, "text": "Number four, unconventional shales continue to score well on marginal cost of supply and continue to attract a disproportionate share of incremental capital. Over the past year, the rig count in Midland has risen dramatically,"}, {"path": "tedlium_6510.wav", "duration": 12.15, "text": "Furthermore, today's presentation includes the use of non-GAAP financial measures, which management believes provides useful information to investors about the company's financial condition and results of operation."}, {"path": "tedlium_6511.wav", "duration": 12.15, "text": "The increase was primarily due to cost reduction efforts, which more than offset negative ForEx effects, a decrease in revenue associated with sales volume and model mix and other factors."}, {"path": "tedlium_6512.wav", "duration": 12.15, "text": "Continuing the discussion around strategies to grow business, it is important to address an issue that, for a couple of years, has taken a real effort to get our arms around, by which I mean, customer attrition."}, {"path": "tedlium_6513.wav", "duration": 12.15, "text": "As an overarching comment, I would say the secular trends in emerging market growth in the plastic processing industry remains intact. Our strategy to drive"}, {"path": "tedlium_6514.wav", "duration": 12.15, "text": "In our compliance business, we continue to gain ground on the competition by leveraging the strengths of our best-in-class solutions for clients' most complex, data management and disclosure needs."}, {"path": "tedlium_6515.wav", "duration": 12.15, "text": "In addition, some of our comments may reference non-GAAP financial measures. A reconciliation of the most directly comparable GAAP financial measure and other associated disclosures are contained in our earnings release and on our website."}, {"path": "tedlium_6516.wav", "duration": 12.15, "text": "And as a result of these efforts, we are excited to launch the new brand in January of 2017. The second part of our relaunch effort is relisting on one of the major exchanges."}, {"path": "tedlium_6517.wav", "duration": 12.15, "text": "We also remain busy with work on California High-Speed Rail and are still anticipating volume of work increasing substantially by this summer."}, {"path": "tedlium_6518.wav", "duration": 12.15, "text": "when compared to the current positioning, it delivers major reductions in fashion floor space and variety store floor space and rebalances that with provision of"}, {"path": "tedlium_6519.wav", "duration": 12.15, "text": "Among the various costs we incur, advertising and distribution costs are expected to weigh on profits more than they did in the previous fiscal year."}, {"path": "tedlium_6520.wav", "duration": 12.15, "text": "earlier this month, the company surpassed 20 continuous years of 100% availability in the .com and .net DNS. This record is the result of the expertise of our people and our specialized infrastructure."}, {"path": "tedlium_6521.wav", "duration": 12.15, "text": "to capitalize on the growing market opportunity and delivering value to our shareholders. With that, I will turn the call over to Kurt. Thank you, Matt."}, {"path": "tedlium_6522.wav", "duration": 12.15, "text": "due to pretax income, including a loss on the revaluation of our euro denominated debt, which I mentioned before and which is not deductible for tax purposes. Normalizing for these items, we see our underlying"}, {"path": "tedlium_6523.wav", "duration": 12.15, "text": "Turning to how this will impact us going forward. As Charlie mentioned, we are hopeful that the new legislation will help stimulate economic activity, which should prove to be beneficial to us and our clients over time."}, {"path": "tedlium_6524.wav", "duration": 12.15, "text": "Based on a relationship with the company as well as our ability to commit to the full transaction, we are awarded this investment, opportunity and a franchise business in a noncyclical industry."}, {"path": "tedlium_6525.wav", "duration": 12.15, "text": "As we mentioned last quarter, changing consumer habits have led to declining consumer traffic to physical retail locations because consumers are buying more over the Internet or utilizing the Internet for comparison shopping."}, {"path": "tedlium_6526.wav", "duration": 12.15, "text": "We also continued to identify potential areas for cost reductions to maximize cash flow from the consumer business. In Q2, we launched an aggressive initiative to overhaul customer care."}, {"path": "tedlium_6527.wav", "duration": 12.15, "text": "Well, thanks, Jord. Appreciate that it is a very busy morning with conference calls and other releases going on. And hopefully we've managed to answer all the questions that everybody had."}, {"path": "tedlium_6528.wav", "duration": 12.15, "text": "And so what we're doing as the leader in learning is becoming more and more important. And we recognize that, both with regard to the size of deals that we're closing these days,"}, {"path": "tedlium_6529.wav", "duration": 12.15, "text": "That's exactly what's happening here. Last year, we delivered hundreds of millions of course registrations, hundreds of millions of hours of training, and that translates to"}, {"path": "tedlium_6530.wav", "duration": 12.15, "text": "This will dovetail nicely with our overall marketing efforts as we are looking to bring the brand back to our LA roots and build a story around our luxury product that allows her to be fashionable and very effortless in low-key way. We"}, {"path": "tedlium_6531.wav", "duration": 12.15, "text": "Inspiring working environment provides great opportunity to attract talent and retain talent who can grow together with our businesses, and we can"}, {"path": "tedlium_6532.wav", "duration": 12.15, "text": "bank accounts. The outlook. The weak market environment also led to a low demand in the first 2 months of '19. The momentum has not changed."}, {"path": "tedlium_6533.wav", "duration": 12.15, "text": "into these markets, but it would come at the expense of margins being shared with a partner. But we're also lining up to have the option to go direct, at least to the major users."}, {"path": "tedlium_6534.wav", "duration": 12.15, "text": "Our U.S. real estate strategy will be driven by placing the majority of our new stores throughout Middle America and the South, with careful consideration of the format type."}, {"path": "tedlium_6535.wav", "duration": 12.15, "text": "We are expanding and trying to diversify our customer base where we do not only rely on big digitals, but actually expanding it to other customers. And"}, {"path": "tedlium_6536.wav", "duration": 12.15, "text": "is important to note that room revenues only declined 0.7% as a result of the additional day in February and the addition of the new rooms at the Boston Hilton."}, {"path": "tedlium_6537.wav", "duration": 12.15, "text": "All that said, we are the buyer of choice for many community-based hospitals around the country. And as we evaluate these opportunities,"}, {"path": "tedlium_6538.wav", "duration": 12.15, "text": "Got it. And if I can ask one last one. I believe you mentioned in the past that -- and the question comes up about regulatory scrutiny on the industry overall."}, {"path": "tedlium_6539.wav", "duration": 12.15, "text": "strong possibility for future value to be seen from Optiquel. I really unfortunately cannot say too much more about that, but it is an active project."}, {"path": "tedlium_6540.wav", "duration": 12.15, "text": "So can you walk us through a little more detail in terms of scale and scope of how you're attacking this? And how you're planning to mitigate the risk of market share losses as competitors step in to fill the void?"}, {"path": "tedlium_6541.wav", "duration": 12.15, "text": "we still have to find the right dose. What is the number of cells, with the potency they have, injected to the patient, confronting to this tumor mass"}, {"path": "tedlium_6542.wav", "duration": 12.15, "text": "overall, we see that the good macroeconomic conditions and good demand growth has helped reduce the impact of the trade actions. Okay? Having said that, there are specific concerns that we have in Europe about"}, {"path": "tedlium_6543.wav", "duration": 12.15, "text": "both products as well as companies that have a unique advantage in those categories. So what you've seen are couple of relatively small,"}, {"path": "tedlium_6544.wav", "duration": 12.15, "text": "if you look at the investor presentation that we've had out there, the last 2 investor presentations, one page we do have out there is where we compare Dime's yield on loan portfolio to maybe 12 other peers in our marketplace."}, {"path": "tedlium_6545.wav", "duration": 12.15, "text": "We anticipate our second quarter average domestic sales realizations will be modestly higher than the first quarter average. Forestry and road spending will also increase as we enter the spring and summer months."}, {"path": "tedlium_6546.wav", "duration": 12.15, "text": "That being said, I do think we are starting to see some of those pockets that we've been talking about for years really start the tension where we have the new capacity coming online and running full. And certainly, we've seen that in"}, {"path": "tedlium_6547.wav", "duration": 12.15, "text": "the correlation to the domestic market here in the West. And so you'll typically see that trade in a correlated fashion to what domestic pricing looks like in the Pacific Northwest. And then the other piece"}, {"path": "tedlium_6548.wav", "duration": 12.15, "text": "prices of hogs. We -- again, we believe that there could be some short-term volatility, but that's going to be very short term based on daily or weekly needs of hogs."}, {"path": "tedlium_6549.wav", "duration": 12.15, "text": "We believe that these investments will generate benefits over time by providing a scalable platform to leverage revenue growth and accommodate future acquisitions with a more efficient infrastructure."}, {"path": "tedlium_6550.wav", "duration": 12.15, "text": "with big ambulatory groups who want to start using EXPAREL very aggressively to drive their -- the momentum of their business around the fact that it will be reimbursed."}, {"path": "tedlium_6551.wav", "duration": 12.15, "text": "Clearly, the transitional issues that impacted the first half of F '15 were disappointing. However, we do believe that the opportunity for growth in this business remains very strong, and that we are well placed to deliver."}, {"path": "tedlium_6552.wav", "duration": 12.15, "text": "On the acquisition side, we continue to focus on tuck-in acquisitions, with a particular interest in buying in agent station locations both inside and outside our network."}, {"path": "tedlium_6553.wav", "duration": 12.15, "text": "and that's been a real nice contributor to the business overall. Where we're seeing the headwinds right now from a margin perspective beyond just the LED side is the timing of projects"}, {"path": "tedlium_6554.wav", "duration": 12.15, "text": "First, we've become more selective in our order process, which may reduce our revenues in this business, but it avoids us using capital for projects that have returns that do not meet our targets."}, {"path": "tedlium_6555.wav", "duration": 12.15, "text": "For the full year, I expect our effective interest rate to remain around 3% as we continue to see the benefit from the refinancing with some risk of floating rates rising."}, {"path": "tedlium_6556.wav", "duration": 12.15, "text": "significant investment in trying to expand existing relationships to get them used and utilize more of their existing lines with us"}, {"path": "tedlium_6557.wav", "duration": 12.15, "text": "We expect these new lines as well as the transitions and additional startups will position us nicely, for strong growth in 2019, and we are still confident in our revenue target"}, {"path": "tedlium_6558.wav", "duration": 12.15, "text": "are there any different products that are working in that portfolio? Or is it just still the continued focus on rolling out that strategy and that concept in those markets?"}, {"path": "tedlium_6559.wav", "duration": 12.15, "text": "we will continue to work proactively with states to expand our integrated care management programs for individuals with chronic and complex conditions. We are currently focused on 3 populations."}, {"path": "tedlium_6560.wav", "duration": 12.15, "text": "these very high, small volume dispense applications that we're getting traction on. So those are all the things we're trying to do to buffer it. I can't say that that's going to mean, we're not going to see some"}, {"path": "tedlium_6561.wav", "duration": 12.15, "text": "Replacing underperforming retailers gives us an excellent opportunity to diversify and improve our tenant mix and give our customers more options, such as food and beverage, entertainment, fitness and groceries."}, {"path": "tedlium_6562.wav", "duration": 12.15, "text": "systematically targeting areas and systematically starting to rebuild our pipeline of likely candidates. The environment, I think, is a challenging one right now."}, {"path": "tedlium_6563.wav", "duration": 12.15, "text": "Irrespective of these short-term dynamics, I remain steadfast in the execution of our vision and strategy to transform the company towards more engineered products and differentiated technologies."}, {"path": "tedlium_6564.wav", "duration": 12.15, "text": "So it's not just that we're getting it wrong or it's not happening as quickly as we thought it was going to happen, it's not happening like the DOT thought it was going to happen or the general contractor thought it was going to happen. It's just"}, {"path": "tedlium_6565.wav", "duration": 12.15, "text": "These headwinds were partially offset by an increase in nonmetallic mineral products, fabricated metals and merchant wholesalers durable goods, which were bright spots in the quarter."}, {"path": "tedlium_6566.wav", "duration": 12.15, "text": "and running of these hubs, that is the goal, is to achieve much better scale benefits. And as a consequence, we should be able to deliver what Eric is talking about in terms of"}, {"path": "tedlium_6567.wav", "duration": 12.15, "text": "on United Therapeutics treprostinil products are very, very likely and we are quite confident that they will continue to grow year after year"}, {"path": "tedlium_6568.wav", "duration": 12.15, "text": "going back, let's say a quarter or so there was really no clear forecast at all. We are starting to see more of a clear forecast actually come in from our end customers now. So that gives a little more confidence that"}, {"path": "tedlium_6569.wav", "duration": 12.15, "text": "So can you talk about that decision and then maybe help us -- help quantify what sort of impact it's actually expected to have on your 3% same-store expectations for the year?"}, {"path": "tedlium_6570.wav", "duration": 12.15, "text": "is that the market is going through a moment of reversal of this curve, this downward curve. And it seems to me that the inventories of paper producers"}, {"path": "tedlium_6571.wav", "duration": 12.15, "text": "been with the group for 34 years, will go into retirement at the end of this year on grounds of age. So that's also an opportunity for us to refresh the leadership team. And I need to lead"}, {"path": "tedlium_6572.wav", "duration": 12.15, "text": "And by the way, we're just getting now back to -- I think it was in the Journal today. They talked -- we've been seeing the same thing with wage inflation starting to pick up. But it's just now getting back to where it was on average over,"}, {"path": "tedlium_6573.wav", "duration": 12.15, "text": "and therefore depend on circumstances that may or may not occur in the future. Investors should understand that general economic conditions, industry conditions and other operating factors"}, {"path": "tedlium_6574.wav", "duration": 12.15, "text": "And now I'll turn the call back over to Burton. Thank you, Bill. I am very pleased with our third quarter results. We delivered strong financial performance."}, {"path": "tedlium_6575.wav", "duration": 12.15, "text": "In order to do that, it goes beyond just the simple trusting relationship that you have. You have to show them some value. You have to show them that you're able to grow your business, again, and you can grow their business for them."}, {"path": "tedlium_6576.wav", "duration": 12.15, "text": "This program is a great example of the new revenue opportunities created by our merger as we combine the Orbital legacy GEOStar satellite platform"}, {"path": "tedlium_6577.wav", "duration": 12.15, "text": "to see if I could clarify some things on your backlog. So if you look just at your wholesale backlog and the color that you provided, that increased by"}, {"path": "tedlium_6578.wav", "duration": 12.1499375, "text": "with great opportunities. What we are doing is exercising a great deal of discipline as we analyze those opportunities. So"}, {"path": "tedlium_6579.wav", "duration": 12.1499375, "text": "Due to our global operations focus on lead times through continuous improvement, the team increased operational efficiencies and effectively added capacity to our network."}, {"path": "tedlium_6580.wav", "duration": 12.12, "text": "If you look at the booster study, highlighted in green, at Week 56, prior to the annual booster, you can see that these responses -- these antibody responses in both groups remained elevated."}, {"path": "tedlium_6581.wav", "duration": 12.12, "text": "Third, we have a strategy that continues to work, which gives me confidence even in the face of what we anticipate will be a more competitive retail environment."}, {"path": "tedlium_6582.wav", "duration": 12.12, "text": "You should not place undue reliance on these forward-looking statements. For additional information including a detailed discussion of our risk factors, please refer to the company's documents filed with the Securities and Exchange Commission,"}, {"path": "tedlium_6583.wav", "duration": 12.12, "text": "Residential credit spreads further improved in the second quarter supported by both strong fundamentals and broadly more positive risk sentiment on the back of stabilization in markets and more accommodative central bank policy."}, {"path": "tedlium_6584.wav", "duration": 12.12, "text": "our third and fourth quarter comps are going to be easier compared to the prior year because we had a stronger first half, and we really got weak in the second half, so now the comps become a little bit easier."}, {"path": "tedlium_6585.wav", "duration": 12.12, "text": "with its unmatched comprehensiveness of market coverage by geography and property type, has won significant contracts with large entities engaged in property tax appeal on behalf of commercial property owners"}, {"path": "tedlium_6586.wav", "duration": 12.12, "text": "We have a supply diversity on the pipe as we've spelled out a number of times, both in press releases and on these calls. A"}, {"path": "tedlium_6587.wav", "duration": 12.12, "text": "We have no interest expense in the current year as a result of paying off the debt of the consolidated plants during fiscal 2014. Our tax rate for the quarter was lower than normal, reflecting several items,"}, {"path": "tedlium_6588.wav", "duration": 12.12, "text": "get to the parts of the study where we're studying lower doses where we expect that we'll see less of this and educating the sites on how to differentiate these symptoms from real abdominal attacks."}, {"path": "tedlium_6589.wav", "duration": 12.12, "text": "ongoing overall Audience Measurement contract and subscription with us. That's the way we've generally seen it play out so far with the big media companies that we work with. And I think it makes a lot of sense. It certainly works well for us."}, {"path": "tedlium_6590.wav", "duration": 12.12, "text": "As noted on previous calls, we will use our cash as efficiently as possible. If market conditions are favorable, we expect that share repurchases will continue to be a primary use of those funds."}, {"path": "tedlium_6591.wav", "duration": 12.12, "text": "We've also made significant progress in improving our financial position. We have significantly reduced capital expenditures by deferring certain elements of our work program."}, {"path": "tedlium_6592.wav", "duration": 12.12, "text": "Yes thanks, Louise. So I would stay with the same framework that I tried to give over the last couple of quarters of how I think about it. And it hasn't changed. And frankly it has come to"}, {"path": "tedlium_6593.wav", "duration": 12.12, "text": "In the second quarter, we continued to successfully execute on our strategy to grow our generic and brand business platforms and to advance our key pipeline assets."}, {"path": "tedlium_6594.wav", "duration": 12.12, "text": "the beverage market in Taiwan has developed over the years. Every year, we see new products, and only a few will remain as star products."}, {"path": "tedlium_6595.wav", "duration": 12.12, "text": "That would depend on how many stores open during the period and where we show our growth in China and what we need to support it. But I think it'll be pretty consistent with first and second quarter."}, {"path": "tedlium_6596.wav", "duration": 12.12, "text": "and from Walmart. But we're feeling reasonably confident in our ability to offset that. And again, the way to think about it is we're not going to put Inspire-type capital in hundreds of stores"}, {"path": "tedlium_6597.wav", "duration": 12.12, "text": "We will continue to work with the Commonwealth, PREPA and other creditors to protect our interest and the interest of our stakeholders in making sure the rule of law is followed."}, {"path": "tedlium_6598.wav", "duration": 12.12, "text": "These initiatives required tremendous energy from the entire team and with their successful conclusion, we are now focused on pursuing additional business development opportunities across our portfolio."}, {"path": "tedlium_6599.wav", "duration": 12.12, "text": "Georgia DOT decision. We believe we've demonstrated need or that our customers certainly have by having signed up the contracts that they did. And so we continue to make progress on it, continue to pursue it and believe we'll get it done."}, {"path": "tedlium_6600.wav", "duration": 12.12, "text": "While the current market environment has slowed down a bit from the first half of the year. We remain bullish on the future. We firmly believe in our long-term strategy."}, {"path": "tedlium_6601.wav", "duration": 12.12, "text": "Our new structure, as we mentioned, which is decentralized, is designed to ensure we are nimble, dynamic and totally focused on tailoring our offer to the needs and aspirations of the local communities."}, {"path": "tedlium_6602.wav", "duration": 12.12, "text": "but we had to do, I would say, compared to the prior quarters, a lot more of a particular kind of traffic that requires a lot more hands-on activity and fixed"}, {"path": "tedlium_6603.wav", "duration": 12.12, "text": "However, I should note that revenue for this product will be predominantly generated from the usage we build for the minutes that terminate to the telephone numbers or originate from the telephone numbers."}, {"path": "tedlium_6604.wav", "duration": 12.12, "text": "This increase resulted from a continuation of the notable recovery in Brazil. Increased project activity in developing markets. And a slightly favorable currency translation impact."}, {"path": "tedlium_6605.wav", "duration": 12.12, "text": "You end up providing a full sense of security to consumers who think that the government have got their back, when in reality, actually switching"}, {"path": "tedlium_6606.wav", "duration": 12.12, "text": "In Q1, we expect a modest procedure headwind compared to Q1 2017 as a result of our estimates of working days, mostly due to the timing of the Good Friday holiday."}, {"path": "tedlium_6607.wav", "duration": 12.12, "text": "but aggressive doesn't mean heavy discounting. Aggressive means strong strategy, a very laser-focused digital marketing strategy and improving our sales process at every turn."}, {"path": "tedlium_6608.wav", "duration": 12.12, "text": "One of our long-term objectives is to combine stability and predictability in cash flows with optionality as we have seen over time that market volatility can generate super returns from time to time."}, {"path": "tedlium_6609.wav", "duration": 12.12, "text": "Lower interest rates have aided home affordability. And with rates forecasted to remain low, we believe that the strength in home purchase demand will likely continue."}, {"path": "tedlium_6610.wav", "duration": 12.12, "text": "Further, there is no current plan on making substantial changes or terminating the HAAS contract. Some of the modifications that were made to our contract were done in parallel with the government spending review."}, {"path": "tedlium_6611.wav", "duration": 12.12, "text": "and we're well hedged. Our business plan doesn't assume that we're going to make any further divestitures, and we don't need to make any in order to get to lower leverage levels over time."}, {"path": "tedlium_6612.wav", "duration": 12.12, "text": "This touches every part of our organization. We have involved more than 1,000 Orica people across the globe to review the whole business and consider all factors that create value"}, {"path": "tedlium_6613.wav", "duration": 12.12, "text": "To promote stable future business expansion, we'll pursue an optimal portfolio for our Air Transportation business as a holdings company to support our resource strategy."}, {"path": "tedlium_6614.wav", "duration": 12.12, "text": "Well, I think they would moderate to back to our historical levels. I mean, if you go back and look at where we were as a percentage of revenue over the past couple of years, we will moderate back towards those"}, {"path": "tedlium_6615.wav", "duration": 12.12, "text": "First, we recently concluded a tax filing project to consolidate our operations in Italy, which will allow us to more effectively utilize certain in-country tax assets."}, {"path": "tedlium_6616.wav", "duration": 12.12, "text": "Our new True Rewards players club program will allow us to cross-market targeted rewards to millions of players in our database in order to increase wallet share and time within our properties."}, {"path": "tedlium_6617.wav", "duration": 12.12, "text": "Please note that our comments are necessarily summary in nature, and anything we say is qualified by the more detailed disclosure set forth in our Form 10-Q."}, {"path": "tedlium_6618.wav", "duration": 12.12, "text": "We are very excited by our data in HRAS mutant head and neck cancer and the promise it offers to patients. We are squarely focused on delivering on our goals and look forward to sharing our continued progress with you."}, {"path": "tedlium_6619.wav", "duration": 12.12, "text": "we think we do the right things around aligning capital and risk and resources and business strategies. So that's a long way of saying the answer is no. We would not anticipate"}, {"path": "tedlium_6620.wav", "duration": 12.12, "text": "The other significant foundational move is related to integrating finance with product and channels so we can account for how value is created within the company."}, {"path": "tedlium_6621.wav", "duration": 12.12, "text": "But overall, based on our assessment, gives us confidence in the feedback and the current quote activity and discussions that are occurring in some of the orders that already have been placed, give us"}, {"path": "tedlium_6622.wav", "duration": 12.12, "text": "We had discussed our expectation for a better second half of 2015, which was based primarily on the anniversaries of the NCI contract cancellation in the third quarter"}, {"path": "tedlium_6623.wav", "duration": 12.12, "text": "In addition to the ambulatory setting, our outpatient account managers are successfully engaging with oral surgery and plastic surgery customers, who are interested in highlighting their use of EXPAREL as a means of differentiating their practice."}, {"path": "tedlium_6624.wav", "duration": 12.12, "text": "While much of the growth comes from new gaming and entertainment IP, approximately 60% of the revenue annually comes from IP that has been relevant for more than 30 years."}, {"path": "tedlium_6625.wav", "duration": 12.12, "text": "And you see it -- you see that behavior kind of going right through 0, right, because the margin book continues to grow as well, so customers even getting more comfortable borrowing. We see new entrants into the margin book,"}, {"path": "tedlium_6626.wav", "duration": 12.12, "text": "And we'd look forward to hearing more from Mondelez when they report second quarter results next week. Ali just a view on the strategic logic of the combination. So your issue sounds like it's principally"}, {"path": "tedlium_6627.wav", "duration": 12.12, "text": "in addition to his corporate development responsibilities. Tony's depth of knowledge of Integer, our industry and our strategy made him the right person to integrate this suite of responsibilities."}, {"path": "tedlium_6628.wav", "duration": 12.12, "text": "We're also pleased about the continued returns to our shareholders through dividend payments as we have paid a dividend now for 79 straight years and increased it for the last 26 consecutive years."}, {"path": "tedlium_6629.wav", "duration": 12.12, "text": "We are focusing our efforts on new product innovation and quality as well as making significant changes to the organization in terms of sales and customer engagement, as well as operational efficiency."}, {"path": "tedlium_6630.wav", "duration": 12.12, "text": "So it's a very desirable feature to do business with Culp. While I don't believe we're going to be able to do that well, that quicker lead time on window treatments,"}, {"path": "tedlium_6631.wav", "duration": 12.12, "text": "With respect to this plan, I would reiterate that we do not anticipate any significant updates to our 2018 restructuring plan, and we do not anticipate any additional plans or charges next year."}, {"path": "tedlium_6632.wav", "duration": 12.12, "text": "What this has given us the time to do is to restructure some of the sales force. So we have got rid of a few representatives and brought in some new ones. So we haven't added as quickly as we wanted to add."}, {"path": "tedlium_6633.wav", "duration": 12.12, "text": "Okay, okay. Now my second question is on -- I was trying to buy somebody that's in the same business that we're in at the present time rather than some complementary line."}, {"path": "tedlium_6634.wav", "duration": 12.12, "text": "then go into the markets and the highlights in the markets, financial figures will be presented by Martin and then I come back with an outlook and question and answer."}, {"path": "tedlium_6635.wav", "duration": 12.12, "text": "that puts us in a good spot for the time being, and I don't anticipate any significant growth in that area at this point. But we still believe that the all things protein initiative that we have"}, {"path": "tedlium_6636.wav", "duration": 12.12, "text": "And I would argue that the factors that are going to hurt that category are going to be similar to what's happening in roast and ground. It's a pretty commoditized category."}, {"path": "tedlium_6637.wav", "duration": 12.12, "text": "We are excited to continue to demonstrate success in cost savings, infrastructure enhancements and cross-selling initiatives. We will also be very focused on organic growth."}, {"path": "tedlium_6638.wav", "duration": 12.12, "text": "I took this job because I truly believe in the quality of its businesses and its people, and I saw a tremendous opportunity to build a leading and highly differentiated global specialty chemicals business."}, {"path": "tedlium_6639.wav", "duration": 12.12, "text": "Excellent execution performance has led to lower cost on both of these Alaskan projects, and that increased efficiency is contributing to the lower capital spending that we've announced."}, {"path": "tedlium_6640.wav", "duration": 12.12, "text": "And you -- with no impact on the possible dividend and dividend increase, so how is the expectations for the second half when it comes to cash flow?"}, {"path": "tedlium_6641.wav", "duration": 12.12, "text": "Losses incurred in the third quarter were primarily driven by loss expenses incurred in connection with our remediation efforts, partially offset by net positive credit developments."}, {"path": "tedlium_6642.wav", "duration": 12.12, "text": "Should we expect sales to ramp up to the full amount of roughly 8,600 barrels a day? And once the pipeline repairs are completed since you have oil in storage there and"}, {"path": "tedlium_6643.wav", "duration": 12.12, "text": "again, a glimmer that things are starting to improve. But it's really the very large type projects that still haven't really started to accelerate."}, {"path": "tedlium_6644.wav", "duration": 12.12, "text": "We do have and have identified some more value that we can grab from Bulyanhulu and North Mara in the medium to long term, so we're focused on that."}, {"path": "tedlium_6645.wav", "duration": 12.12, "text": "into your system, into the grid and using it almost as an instantaneous generator is kind of the way to look at the way storage would operate. Using that with the renewal business,"}, {"path": "tedlium_6646.wav", "duration": 12.12, "text": "Our underlying trading operating profit margin increased by 20 basis points, in spite of commodity and packaging cost headwinds of another 20 basis points."}, {"path": "tedlium_6647.wav", "duration": 12.12, "text": "see if they -- let's go ahead and give them the physical game before the midnight launch, and then we'll turn on the servers because it's become less about picking up the game at midnight. It's become more about when do the servers come on."}, {"path": "tedlium_6648.wav", "duration": 12.12, "text": "to be able to drive more. We also have the work that's been done in the past that I can't emphasize enough in terms of Beacon, the work that's underway in terms of consolidating our delivery"}, {"path": "tedlium_6649.wav", "duration": 12.12, "text": "as we are adding equipment on behalf of our customers and ahead of meaningful high-volume campaigns that will begin later this year. The typical time between installing tooling equipment"}, {"path": "tedlium_6650.wav", "duration": 12.12, "text": "In addition to the fact that we still have an investment in Venezuela and we know the situation there, should there be another official devaluation, we have an exposure of"}, {"path": "tedlium_6651.wav", "duration": 12.12, "text": "second, net metals impact was negative compared to the prior year. In addition, Europe recorded some special pricing settlements last year in the third quarter that did not repeat this year."}, {"path": "tedlium_6652.wav", "duration": 12.12, "text": "additional fourth quarter flying is we're accelerating already planned adds into the fourth quarter. The other color commentary I would offer up there is it's a little painful for us"}, {"path": "tedlium_6653.wav", "duration": 12.12, "text": "largely related to the annual grant of management equity awards to retirement-eligible employees that are fully expensed when granted as well as other annual employee-related expenses in the first quarter."}, {"path": "tedlium_6654.wav", "duration": 12.12, "text": "As we've discussed, we expect revenue growth over the planning horizon to exceed our underlying markets by 2 to 3x. This growth will be delivered -- driven by our focus on solutions"}, {"path": "tedlium_6655.wav", "duration": 12.12, "text": "and we continue to be active purchasers as banks look to rebuild their balance sheets. The recovery from February's lows has tempered buying opportunities in the public debt markets."}, {"path": "tedlium_6656.wav", "duration": 12.12, "text": "It is still too early to talk about sustained recovery in the industrial segments, but we observed a slowdown in the decrease of natural gas consumption at least"}, {"path": "tedlium_6657.wav", "duration": 12.12, "text": "it's a lot better to simplify our capital structure. And to the extent we like the returns and the spreads aren't great, we prefer to keep our capital structure simple."}, {"path": "tedlium_6658.wav", "duration": 12.12, "text": "These investments have expanded and strengthened our ability to service our aerospace customers on a global basis, and we anticipate continued growth in the aerospace market."}, {"path": "tedlium_6659.wav", "duration": 12.12, "text": "We still believe the Portland Terminal's strategic location in the Pacific Northwest makes it a valuable asset, whether it is Arc or another tenant that -- in the event that they would elect to terminate the lease."}, {"path": "tedlium_6660.wav", "duration": 12.12, "text": "Please keep these factors in mind when we discuss future strategic initiatives, operational outlook and financial guidance during today's call. And with that, I'll turn the call over to Dave Thompson."}, {"path": "tedlium_6661.wav", "duration": 12.12, "text": "I think we can get into all that when we talk about '18. So it's a little too early to talk about all that right now. I think all we were signaling was that there is going to be some shift in Europe"}, {"path": "tedlium_6662.wav", "duration": 12.1199375, "text": "and decreased discounts from the liquidation of excess inventory in the first quarter of fiscal 2016, partially offset by higher allowances and supply chain costs."}, {"path": "tedlium_6663.wav", "duration": 12.1199375, "text": "Thank you. 2018 has truly been a transformational year for Dyadic. Looking ahead, we are very confident in our ability to generate meaningful scientific results"}, {"path": "tedlium_6664.wav", "duration": 12.09, "text": "Equally as important, it provides a material amount of additional capital for us to execute on our strategy of investing in publicly traded microcap companies with our constructive activist approach."}, {"path": "tedlium_6665.wav", "duration": 12.09, "text": "I think it's also important to highlight here that we made significant investments that we're making across our platform and while there are real barriers to entry for smaller players who don't have our scale and resources."}, {"path": "tedlium_6666.wav", "duration": 12.09, "text": "Compared to the prior quarter, the increase was primarily driven by process improvement and greater efficiency in closing out a larger number of sites than expected since our last earnings call."}, {"path": "tedlium_6667.wav", "duration": 12.09, "text": "the various veto points that are in place with certain officers in the firm and how we approach the filtering and how different from the past. And I think we are now obviously"}, {"path": "tedlium_6668.wav", "duration": 12.09, "text": "Our international operations also continue to execute on our strategic initiatives, as evidenced by improved underwriting results and targeted growth, most notably in Europe."}, {"path": "tedlium_6669.wav", "duration": 12.09, "text": "I think if that's the question, I think you'd simply just have to look at generally what the trend was in the prior to hurricane quarters. Houston had been a somewhat soft market given"}, {"path": "tedlium_6670.wav", "duration": 12.09, "text": "Consequently, the majority of new assets we acquired were purchased at meaningfully cheaper valuations compared to both the beginning of the quarter as well as at quarter end, given the ultimate recovery in this sector."}, {"path": "tedlium_6671.wav", "duration": 12.09, "text": "We always anticipated that we will see same development as in Switzerland. Now for the first time, actually the German market is weaker on the same-store basis in print than Switzerland."}, {"path": "tedlium_6672.wav", "duration": 12.09, "text": "in external sales. So the sale done by our franchise partners and own sales, whereas on the right-hand side, the development"}, {"path": "tedlium_6673.wav", "duration": 12.09, "text": "and was in line with our guidance of down 5% to 7%. We had expected our average selling price to decline 1% to 3% in the fourth quarter as compared to the third quarter."}, {"path": "tedlium_6674.wav", "duration": 12.09, "text": "We believe incentive fees will increase at a roughly 10% rate, which is faster than we previously modeled, largely due to the stronger RevPAR and margin growth in the Asia Pacific region."}, {"path": "tedlium_6675.wav", "duration": 12.09, "text": "our app is moving in the right direction and allows us to customize our engagement with the consumer and ensure that we communicate in appropriate way and thereby also optimizing the commercial value of the consumers"}, {"path": "tedlium_6676.wav", "duration": 12.09, "text": "First of all, we believe the completion of the merger and the integration of the 2 companies, including the rationalization of the 2 separate networks, could potentially take years."}, {"path": "tedlium_6677.wav", "duration": 12.09, "text": "Our results reaffirm our confidence in the future and progress against the financial targets we shared at our Investor Day as we strengthen our company for long-term profitable growth."}, {"path": "tedlium_6678.wav", "duration": 12.09, "text": "while we're doing those other activities. So I think we'll have multiple things going on at the same time. I doubt very much that we would generate adequate revenue to cover the cost. So"}, {"path": "tedlium_6679.wav", "duration": 12.09, "text": "The hurdle is relatively high. And I think that's the highest difficulty for us in Southeast Asia, that is how to"}, {"path": "tedlium_6680.wav", "duration": 12.09, "text": "is the market is cycling. And when you have bankruptcies and strategic players wanting to get out and you see the market beginning to turn,"}, {"path": "tedlium_6681.wav", "duration": 12.09, "text": "in the long run. So that 43% was a bit of an aberration to some extent, because we've been investing in 30% to 40% growth in sales capacity. We just turned up a few very large enterprises all at the same time."}, {"path": "tedlium_6682.wav", "duration": 12.09, "text": "and the need to continually be able to drive productivity, especially with those individuals that might be viewing onshoring as part of their supply chain strategy as a requirement are looking towards automation."}, {"path": "tedlium_6683.wav", "duration": 12.09, "text": "As I've said to our global team, with each major phase of growth comes a stop of the train. And at that stop, some people get off and others get on."}, {"path": "tedlium_6684.wav", "duration": 12.09, "text": "Here are some of the highlights from the third quarter and progress against those priorities. First, from a number standpoint, we made significant sequential improvement in our top and bottom line results."}, {"path": "tedlium_6685.wav", "duration": 12.09, "text": "And so what's driving the leverage to stay high over time is the fact that you're spending dollars with no cash flow coming in. And so I believe we'll be able to manage through that. And"}, {"path": "tedlium_6686.wav", "duration": 12.09, "text": "We also benefited from foreign exchange gains in our Bullion Fund products, which were partially offset by market value depreciation across most product lines as well as redemptions of our Bullion Funds."}, {"path": "tedlium_6687.wav", "duration": 12.09, "text": "as well as dramatic momentum in APJ. I'm just back from our customer event in APJ and based on my discussion with customers and partners, I am confident there is significant untapped opportunity across the region."}, {"path": "tedlium_6688.wav", "duration": 12.09, "text": "and then my thoughts on the individual business units in the full year. So I think, first, we need to put the quarter into perspective."}, {"path": "tedlium_6689.wav", "duration": 12.09, "text": "there's more of that to come. There's some big, big consolidations. We just did a big one in Denver, which is one of our largest offices that are now operating about 1,400 people in one location."}, {"path": "tedlium_6690.wav", "duration": 12.09, "text": "Thanks, Mike. Please turn to Slide 6. Our second quarter results were consistent with our expectations, with the exception of our oil and gas business where market conditions remain challenging."}, {"path": "tedlium_6691.wav", "duration": 12.09, "text": "That agreement with the counter-party has multiple stages on it. We would execute against the first stage of that and then look at subsequent years as part of our longer-term hedging strategy."}, {"path": "tedlium_6692.wav", "duration": 12.09, "text": "Additionally, we expect to see margins stabilize or increase on lower margin products as new, higher margin versions of our higher volume products are released in the coming months."}, {"path": "tedlium_6693.wav", "duration": 12.09, "text": "In closing, I want to thank all of our dedicated team members and associates for their hard work and dedication. It's a very exciting time for our company, and I'm proud of our team's work and the work they are doing."}, {"path": "tedlium_6694.wav", "duration": 12.09, "text": "copper went through any sort of major step change at Morococha or Huaron. I was just curious, why copper seem to be working so well for you all of a sudden?"}, {"path": "tedlium_6695.wav", "duration": 12.09, "text": "This dramatic impact is not really seen in the actual net interest income of the bank, and there are many explanations why that is the case."}, {"path": "tedlium_6696.wav", "duration": 12.09, "text": "Marketing, sales and distribution channels to support the ligase product launch are being developed in parallel with a target release date for the availability of commercial material around year-end."}, {"path": "tedlium_6697.wav", "duration": 12.09, "text": "Let me start off by thanking all of U.S. Auto Parts' team members for remaining focused on the customer experience and their continued execution of our strategy and operating plan."}, {"path": "tedlium_6698.wav", "duration": 12.09, "text": "Turning to Slide 5. I've already highlighted the efficiency ratio in my earlier comments, but visually, this represents all the work we've done since 2014 to improve the profitability of the company."}, {"path": "tedlium_6699.wav", "duration": 12.09, "text": "financial results for the entire fiscal year 2017. There will be changes in how goodwill is treated and how development costs will be booked in"}, {"path": "tedlium_6700.wav", "duration": 12.09, "text": "Simultaneously, our ready liquidity gives us the opportunity to pursue proactive delevering of our balance sheet by buying back our bonds at attractive prices."}, {"path": "tedlium_6701.wav", "duration": 12.09, "text": "As part of social, we'll enhance universal services, particularly at airports, resulting in promoting a society of coexistence that respects diversity."}, {"path": "tedlium_6702.wav", "duration": 12.09, "text": "there is no nothing essentially. So it's a very clean deal, it's a very thorough deal. And as we told you last week, it allowed us to fully resume operations pretty much -- on Thursday, we were back up and running."}, {"path": "tedlium_6703.wav", "duration": 12.09, "text": "we have these licenses from OFAC that we're fully in the clear, OFAC has been very supportive in terms of getting the news out there. They circulated the information directly themselves to some of the banks"}, {"path": "tedlium_6704.wav", "duration": 12.09, "text": "The One Vonage platform includes a set of APIs that enable phone number programmability. With number programmability, it's easy to route calls,"}, {"path": "tedlium_6705.wav", "duration": 12.09, "text": "Outlook for semiconductor demand is robust. This will drive strong underlying materials and equipment demand relative to other specialty chemical markets."}, {"path": "tedlium_6706.wav", "duration": 12.09, "text": "range of margins that we see for our network in the part of the country where we do business and you build upon that the steps that we're actively taking to enhance that, we feel very, very confident about"}, {"path": "tedlium_6707.wav", "duration": 12.09, "text": "These measures associated with our DRIPs will further reduce share issuance, ensuring that future growth and production reserves and FFO more efficiently flows to our owners on a per share basis."}, {"path": "tedlium_6708.wav", "duration": 12.09, "text": "dependence, and people really looking at those low-cost supplies as something that they would much prefer to connect with, either through long-term gas purchase contracts that we've seen quite a bit of"}, {"path": "tedlium_6709.wav", "duration": 12.09, "text": "With this backdrop, we methodically selected 5 modules focused around key RCM performance outcomes where we are in a strong position to drive meaningful value for our customers."}, {"path": "tedlium_6710.wav", "duration": 12.09, "text": "And so, obviously the planning phase of all of that is key to a successful delivery. We have been working for a little while, but as we go into phase 2, we will now start to ramp up"}, {"path": "tedlium_6711.wav", "duration": 12.09, "text": "So I wouldn't say that there is one that we're looking for more exposure to specifically. We do look at it on the flip side. And if there's new industries that we find unattractive or out of favor or if we had"}, {"path": "tedlium_6712.wav", "duration": 12.09, "text": "primarily due to lower parts and service revenue in our branch locations as we transitioned our Phoenix location to an independent dealer in July and had significant flooding in our Baton Rouge tank parts and service location."}, {"path": "tedlium_6713.wav", "duration": 12.09, "text": "We believe the removal of this reimbursement hurdle will accelerate the transition of certain procedures to the ambulatory setting. This will not only drive patient and provider satisfaction, but also reduce the overall cost to the healthcare system."}, {"path": "tedlium_6714.wav", "duration": 12.09, "text": "we actually grew in our largest customer in 2018, but it wasn't on mobile, it was on all the other products. And I think as we start going in and I took a look at this, Harsh,"}, {"path": "tedlium_6715.wav", "duration": 12.09, "text": "In Security's relatively small emerging market domain, significant softness in China cut into overall segment organic growth and profitability once again, muting some of the gains across the other businesses."}, {"path": "tedlium_6716.wav", "duration": 12.09, "text": "We'll need to execute against the backdrop of an unpredictable world economy, but we have the tools and capabilities to continue our growth and progress in the years to come."}, {"path": "tedlium_6717.wav", "duration": 12.09, "text": "it's not an entire impact when it moves. You'll get some of the buyers that would have bought Red Dead buying Call of Duty or some of the other games, Destiny, some of the other things that come out."}, {"path": "tedlium_6718.wav", "duration": 12.09, "text": "dollars of product a month in order to keep their qualification, and many do it on an automatic basis and design their purchases so that they purchase no more than they need to in order to qualify."}, {"path": "tedlium_6719.wav", "duration": 12.09, "text": "I can tell you I'm very excited about what the opportunity looks like. This is a market we know well because of our experience with Lupron in this segment. And certainly, Lupron does not have the ideal profile for these women."}, {"path": "tedlium_6720.wav", "duration": 12.09, "text": "They are not meant to be considered in isolation or as a substitute for comparable reported GAAP measures. Reconciliations of GAAP to non-GAAP financial measures discussed on this call"}, {"path": "tedlium_6721.wav", "duration": 12.09, "text": "continue to maintain the methodology that we've had in the past, where we can put together a smaller scale development that has some meaningful"}, {"path": "tedlium_6722.wav", "duration": 12.09, "text": "A key strategic rationale for partnering with Encompass was to enhance the continuity of care for patients requiring home health services following discharge from our hospitals."}, {"path": "tedlium_6723.wav", "duration": 12.09, "text": "being deployed into regional markets. And -- but yet, we're seeing most of the growth in your largest customers. Is there a push for more national contracts? And"}, {"path": "tedlium_6724.wav", "duration": 12.09, "text": "We hit 70%. So in terms of where it can go, Dylan, I really don't want to get into that. I want to see the next few quarters as we maintain these levels of production and perhaps even increase them"}, {"path": "tedlium_6725.wav", "duration": 12.09, "text": "At the end of the day, mobile is by far the most convenient and accessible way to manage your financial life, and as millennials become one of the biggest consumers of financial products, they continue to look for the best ways to digitally manage their financial lives."}, {"path": "tedlium_6726.wav", "duration": 12.09, "text": "extravagant in our political assumptions to make the leverage ratios look good. We're being a little bit conservative that far out, and our leverage ratio is still going into the 4 makes us feel very comfortable."}, {"path": "tedlium_6727.wav", "duration": 12.09, "text": "or more correctly, the lack thereof. Everyone has read in the press and heard from our peers about the unprecedented challenges and unusual aspects of this year's races."}, {"path": "tedlium_6728.wav", "duration": 12.09, "text": "The adjustment is not the result of the actual performance in the first 6 months, but reflect our current expectation of bookings in the months ahead."}, {"path": "tedlium_6729.wav", "duration": 12.09, "text": "and passing it forward into the marketplace has been a little bit of a challenge. But if we think about the margin progression enough for the company and for our businesses overall, we think we're largely on track"}, {"path": "tedlium_6730.wav", "duration": 12.09, "text": "But given the fact that we were able to successfully have such strong net deployment so far, we thought it would be prudent to simply announce that we've considered doing it."}, {"path": "tedlium_6731.wav", "duration": 12.09, "text": "I give credit to the team with regards to the tremendous work they've done getting Chickadee not only off the ground, but literally in service and only for our customers."}, {"path": "tedlium_6732.wav", "duration": 12.09, "text": "We invest in this business on multiyear cycles. We plan our years out. And we try to put ourselves in each of our communities in the best position possible to execute as well and give a chance -- ourselves an opportunity to do better,"}, {"path": "tedlium_6733.wav", "duration": 12.09, "text": "Our outlook related to Modular Solutions business remains very positive. I appreciate the first half of 2017 has been a challenging period for stakeholders. We are very optimistic about the next 12 months"}, {"path": "tedlium_6734.wav", "duration": 12.09, "text": "Now I'll give you an example of how we look at sectors. Industrial business has a lot of potential for us to utilize the large assets in technology we originally built and developed our oilfield."}, {"path": "tedlium_6735.wav", "duration": 12.09, "text": "So there's a whole range of aroma chemicals. Our business had historically focused on aroma chemicals that more and more had become somewhat commoditized. And so to that end, we set about to"}, {"path": "tedlium_6736.wav", "duration": 12.09, "text": "Over time, we expect to increase the level of funding to 2%, in addition to establishing processes to increase the cadence of successful new product launches."}, {"path": "tedlium_6737.wav", "duration": 12.09, "text": "Our sites and our operations footprint gives us a unique exposure to the diversity of these high-growth markets in which we continue investing, both"}, {"path": "tedlium_6738.wav", "duration": 12.09, "text": "But do you think there is potentially a dynamic, given the late planting season that they could maybe stabilize and be a little supported for the next couple of months as opposed to"}, {"path": "tedlium_6739.wav", "duration": 12.09, "text": "and is a viable substitute for brominated fire retardants that are proven to have negative health effects and are being removed in some applications."}, {"path": "tedlium_6740.wav", "duration": 12.09, "text": "I recognize we've given everybody a lot to digest this morning. I hope we've answered many of your questions, but I am sure you're all going to have more in the days and weeks ahead."}, {"path": "tedlium_6741.wav", "duration": 12.09, "text": "what we characterize as metal profits, which is essentially the scrap spread, was exactly the same as the last year average for the full year and the first quarter of last year."}, {"path": "tedlium_6742.wav", "duration": 12.09, "text": "we're gearing that back up again. You see all the struggles that municipalities have and these are wonderful assets that they could outsource and it'd be good for them and certainly good for us. So"}, {"path": "tedlium_6743.wav", "duration": 12.09, "text": "Once we get through our own properties and begin to support our own properties, we can grow it anywhere, in any community because it's all variable costs. We don't need to go buy something"}, {"path": "tedlium_6744.wav", "duration": 12.09, "text": "Half of those were on boarded and trained in the fourth quarter of 2018 while the other half joined the company during Q1. We expect to see an impact from these additions starting in the second quarter."}, {"path": "tedlium_6745.wav", "duration": 12.09, "text": "We have worked through with them what is appropriate, and it will be the case that we will not force ourselves to sell assets for anything that we would regard as an unattractive price."}, {"path": "tedlium_6746.wav", "duration": 12.0899375, "text": "However, this may -- will be offset by the effect of tax reform and its impact on the municipal loan and securities portfolio yield, which we estimate to be about 3 basis points of headwind to the net interest margin."}, {"path": "tedlium_6747.wav", "duration": 12.0600625, "text": "we continue to see growth opportunities across the barrel and around the world. The growth of our U.S. natural gas export capacity is expected to provide further opportunities"}, {"path": "tedlium_6748.wav", "duration": 12.06, "text": "as a percentage of revenues was primarily due to the addition of 3 hospitals in 2015. Hospitals require higher staff levels and higher drugs and supply cost"}, {"path": "tedlium_6749.wav", "duration": 12.06, "text": "One of the biggest challenges to creating a real challenger brand to the banks is define a compelling revenue model. Many around the world have tried launching with a card only as their first product and have struggled financially as the scale needed is massive."}, {"path": "tedlium_6750.wav", "duration": 12.06, "text": "How much capital we issue, if any, in the next quarter and what form will depend on a variety of factors including long-term loan growth as well as external market conditions."}, {"path": "tedlium_6751.wav", "duration": 12.06, "text": "And we had a fairly high turnaround season I think in China, and that's coming back. So I think that, that supply may impact that. But generally, Asia feels better than it did probably 3 or 4 months ago."}, {"path": "tedlium_6752.wav", "duration": 12.06, "text": "when the business case is positive and as we will see an increase in new build houses in the Netherlands going forward, we will see an increase"}, {"path": "tedlium_6753.wav", "duration": 12.06, "text": "since the first quarter of '18. Over the last 5 months, we have changed our retail leadership and have added new resources to our retail deposit and business lending teams."}, {"path": "tedlium_6754.wav", "duration": 12.06, "text": "that only organically will probably not close the gap, and therefore, logically, we are looking at what the opportunity will be to go for that."}, {"path": "tedlium_6755.wav", "duration": 12.06, "text": "we are active is also here. I believe that we can and will beat that market growth also in Europe based on the strength we have, based on the innovation that we will have."}, {"path": "tedlium_6756.wav", "duration": 12.06, "text": "Going forward, we will adjust these numbers initially at the 6-month point of the year. They may go up, they may go down at that point in time based upon how we're collecting money."}, {"path": "tedlium_6757.wav", "duration": 12.06, "text": "for us, we think it will be something that -- folks like you and our colleagues on the call can easily go see as we hopefully develop it and develop it well. In terms of the"}, {"path": "tedlium_6758.wav", "duration": 12.06, "text": "then obviously, our interest rate sensitivity would be really important to the story. So I think in summary, I think it's a wait and see. I don't think there's any reason to be overly concerned at this point. There's a lot of moving parts."}, {"path": "tedlium_6759.wav", "duration": 12.06, "text": "The effect of higher product volumes on capacity utilization, modestly higher prices and lower material costs, particularly for brass castings, contributed to the higher percentage."}, {"path": "tedlium_6760.wav", "duration": 12.06, "text": "Additionally, the division has seen headwinds in Brazil and the Middle East for macro factors in those regions, but we highlight that the performance in the core verticals have been robust and continues to represent a strong base to deliver future growth."}, {"path": "tedlium_6761.wav", "duration": 12.06, "text": "Our acquisition pipeline has grown over 30% since the beginning of the year. This allows us to be highly selective in our investments while creating value for our customers and getting paid for this value."}, {"path": "tedlium_6762.wav", "duration": 12.06, "text": "We already report C3, we already report C7. In fact, in all of the data that goes out to the marketplace, we have the capability to extend that even further. So that's one dimension. The other dimension is more about the breadth."}, {"path": "tedlium_6763.wav", "duration": 12.06, "text": "I would say the other sort of large differentiator is that virtually all of our equity portfolio, certainly our credit portfolios, but all our equity portfolios are about laying off all the risk. We don't want to assume the risk we do want."}, {"path": "tedlium_6764.wav", "duration": 12.06, "text": "There are more than words behind the governor's commitment. As of today, Puerto Rico is current on its premium payments, and we believe they will continue to make payments on a timely basis."}, {"path": "tedlium_6765.wav", "duration": 12.06, "text": "To start with, conglomerates in the companies that confirm them have been identified, and we expect that in a few weeks an official list of conglomerates will be published by the Superintendency of Finance."}, {"path": "tedlium_6766.wav", "duration": 12.06, "text": "which basically levels the field in the sense that Porvenir will now be able to invest up to 8% of its total administered funds"}, {"path": "tedlium_6767.wav", "duration": 12.06, "text": "have competing influences and out toward external influences in their market that make us a bit more cautious, and we don't have near the seat at the table that we have in Texas."}, {"path": "tedlium_6768.wav", "duration": 12.06, "text": "Health and wellness, both in Canada and around the world, is a growing industry with a number of positive demographic trends. As you know, consumers everywhere, they want to live longer, and they want to have a higher quality of life."}, {"path": "tedlium_6769.wav", "duration": 12.06, "text": "in order to achieve that? I think that's less likely. I think what's more likely is that we will acquire assets that fit our investments and operating focus,"}, {"path": "tedlium_6770.wav", "duration": 12.06, "text": "We have started the initial shipments of our DT systems to Ashok for their pilot build -- bus builds, and we expect these shipments to continue over the next few months."}, {"path": "tedlium_6771.wav", "duration": 12.06, "text": "And as you noticed, our expenses declined in the last fiscal year, fiscal '16 compared to prior years. And that's largely because that infrastructural stuff that we did, all of that investment,"}, {"path": "tedlium_6772.wav", "duration": 12.06, "text": "And then the other area which is a great strength for Shoppers Drug Mart, always has been and we think is a big part of the next wave for Shoppers' growth, is beauty."}, {"path": "tedlium_6773.wav", "duration": 12.06, "text": "to be predominant in this market. In my view. The correct strategic approach is to focus on small companies. There are thousands of retailers that are already selling online in Brazil."}, {"path": "tedlium_6774.wav", "duration": 12.06, "text": "Flexible pipes are quick and easy to lag even in congested environments because they are spooled directly off of wheel which cuts the installation time to a fraction of the time required to install conventional rigid pipe."}, {"path": "tedlium_6775.wav", "duration": 12.06, "text": "maybe you took up pricing or maybe priced a little bit ahead of the market, and hence, the volume losses. Is that a good explanation? Or are the volume losses"}, {"path": "tedlium_6776.wav", "duration": 12.06, "text": "into the public sector organization at Cornerstone. And we see a lot of upside there, particularly as we combine our health care product with"}, {"path": "tedlium_6777.wav", "duration": 12.06, "text": "In the past, our customers offset our production flow system measurements to their CMMs. We now have multiple solutions to our -- allow customers to do away"}, {"path": "tedlium_6778.wav", "duration": 12.06, "text": "It is our point of view that as market conditions drive increasing financial pressures on providers, combined with the complexity that comes with managing multiple payment models,"}, {"path": "tedlium_6779.wav", "duration": 12.06, "text": "There were a couple of reasons for starting with the single dose, and first amongst them was to observe the full duration of effect and rebound characteristics of the single dose"}, {"path": "tedlium_6780.wav", "duration": 12.06, "text": "So we have the right to acquire up to a 30% working interest upon a well decision following completion of the seismic program and full geological and geophysical interpretation."}, {"path": "tedlium_6781.wav", "duration": 12.06, "text": "So you could have some labs that might have lower pricing with same pricing as we do but they're actually charging more because there's more activity for a given condition. So really, the focus around"}, {"path": "tedlium_6782.wav", "duration": 12.06, "text": "and feel good about all the other growth initiatives that we have funded. But certainly, I think '18 is the best year we've had in the past 3 years for sure"}, {"path": "tedlium_6783.wav", "duration": 12.06, "text": "we do hope that post 2018, we would be able to start seeing some kind of benefits, whether it's on the revenue side or the expense side, because of the amount of money that we're investing."}, {"path": "tedlium_6784.wav", "duration": 12.06, "text": "Within property, we continue to pursue appropriate rate increases while improving underwriting and pricing segmentation to ensure consistent, solid underlying results."}, {"path": "tedlium_6785.wav", "duration": 12.06, "text": "We've seen probably a little more storm damage as of -- as the quarter ended in some regions. But I wouldn't call it anything out of the ordinary in terms of storm damage in the quarter."}, {"path": "tedlium_6786.wav", "duration": 12.06, "text": "This acquisition has not just helped to further differentiate our products for both consumers and partners, but has also delivered a whole new opportunity with a new set of partners."}, {"path": "tedlium_6787.wav", "duration": 12.06, "text": "the company well and our customer base well in the future. So as volumes go up, we can convert some capital investments into operating efficiency. You've seen us doing that,"}, {"path": "tedlium_6788.wav", "duration": 12.06, "text": "and we see what products are doing well and what products are not, it is Tom's, Roger's, Brent's, and my expectation that we will then sell down in those categories that did not perform"}, {"path": "tedlium_6789.wav", "duration": 12.06, "text": "And so while Gander Outdoors, Gander Mountain, historically, was a big box retailer, when you see it next week in Kenosha, you will recognize that it is really the single point"}, {"path": "tedlium_6790.wav", "duration": 12.06, "text": "completion sites due to road bans in the West Hudson area during September. Frac pumpers are the heaviest equipment that we have to move around in the field. And so of course we need some relatively firm roads to do that."}, {"path": "tedlium_6791.wav", "duration": 12.06, "text": "We also just completed a survey of our customers to gain additional insights into what they want to see from the brand. We received some great feedback and are working to analyze the responses and come up with appropriate go-forward strategies."}, {"path": "tedlium_6792.wav", "duration": 12.06, "text": "The esthetic of the store reflects the local relaxed vibe with clean lines, neutral tones and an inviting atmosphere. We continue to evaluate additional retail locations, opportunistically. We"}, {"path": "tedlium_6793.wav", "duration": 12.06, "text": "All our work has been done meeting our commitment to good governance, being open and predictable for the market, and driving all our activities with a combination of social focus and delivering results."}, {"path": "tedlium_6794.wav", "duration": 12.06, "text": "but rather simply accelerated. And hence, we expect this year's extra spending will translate into commensurate savings in 2018. With improved confidence from the preclinical trials,"}, {"path": "tedlium_6795.wav", "duration": 12.06, "text": "As a result of this refinancing transaction, we reduced our exposure to variable-rate debt, extended our weighted average maturity and increased the availability of borrowings under our revolving credit facility."}, {"path": "tedlium_6796.wav", "duration": 12.06, "text": "Well, in general, the rationale is that we're -- we are a relatively low CapEx business. We are, obviously spending capital to grow the business."}, {"path": "tedlium_6797.wav", "duration": 12.06, "text": "This is something that we think a lot about with regard to the value proposition for the brand. And because we have such strong access with the payer, it's something that we are quite thoughtful with. As you know, we came in"}, {"path": "tedlium_6798.wav", "duration": 12.06, "text": "Overall, our results for the second quarter were in line with our expectations. We added new partnerships with both domestic and Chinese content providers and platforms to distribute content,"}, {"path": "tedlium_6799.wav", "duration": 12.06, "text": "We're pleased with our execution during this crisis and believe that our business continuity plans were effective in minimizing the impact to our customers and to our ongoing financial results."}, {"path": "tedlium_6800.wav", "duration": 12.06, "text": "To systematically change the process and the way we do business and if we can't do it with the process, then we need some different people there. And either the people change the way they're doing things or we got to get different people in there, and"}, {"path": "tedlium_6801.wav", "duration": 12.06, "text": "and even green space. A recent example of the power of this solution is one where we helped a major Midwestern university with 5 campuses enhance connectivity across its entire operation."}, {"path": "tedlium_6802.wav", "duration": 12.06, "text": "To maintain our advertising and promotional spend efficiency, some of these advertising dollars have shifted to in-store promotions, but we still remain the price leader."}, {"path": "tedlium_6803.wav", "duration": 12.06, "text": "so the model is really to bring forth those types of solutions that give more value. And that does translate into more beyond the installation and to certain types of recurring revenue streams."}, {"path": "tedlium_6804.wav", "duration": 12.06, "text": "sales and distribution effectiveness and customer service may seem simple, as a combination, they have been very effective. I will take you through some recent examples of these shortly."}, {"path": "tedlium_6805.wav", "duration": 12.06, "text": "Comparing to last quarter, adjusted FFO is slightly down, partially due to the timing of the recognition of income tax expense, which Chris will go into in more detail later."}, {"path": "tedlium_6806.wav", "duration": 12.06, "text": "and existing compassionate use patients have been offered ongoing access to RINTEGA on a compassionate use basis and there are currently over 100 patients on drug."}, {"path": "tedlium_6807.wav", "duration": 12.06, "text": "following the closure of that window, we would have the ability to continue to generate robust offshore cash and quickly pay down that debt. So in the event that it went that way and we were permitted to do that,"}, {"path": "tedlium_6808.wav", "duration": 12.06, "text": "Partnerships like this are vital to ensure that today's nuclear energy facilities have the technologies they need to operate safely and efficiently for decades to come."}, {"path": "tedlium_6809.wav", "duration": 12.06, "text": "Customers of these products make more of their buying decisions locally, and they're willing to make trade-offs to achieve their objectives. For example, substituting locally sourced raw materials"}, {"path": "tedlium_6810.wav", "duration": 12.06, "text": "and grew the size and quality of our backlog. So a very good quarter demonstrating the early benefits of our transformation, with more to come."}, {"path": "tedlium_6811.wav", "duration": 12.06, "text": "everybody understand, it's a market that has been soft for many, many years now. And it has not been a typical aerospace cycle for Business Aircraft."}, {"path": "tedlium_6812.wav", "duration": 12.06, "text": "The company remains committed to industry-leading levels of free cash generation and returns on invested capital with all capital being returned to shareholders via our dividends"}, {"path": "tedlium_6813.wav", "duration": 12.06, "text": "The press release and supplemental package provide 2017 full year and first quarter guidance in detail. As I discuss guidance, keep in mind my remarks are intended to provide our current estimate of future results."}, {"path": "tedlium_6814.wav", "duration": 12.06, "text": "can compete with such a high speed going through a zoning process that we can do in Germany. So that is 1 reason why we really enjoyed being on that market."}, {"path": "tedlium_6815.wav", "duration": 12.06, "text": "With the issuance of further guidance by the IRS in the third quarter, we had to adjust our provisional estimates related to repatriation of foreign earnings and reevaluation of certain deferred tax assets and liabilities."}, {"path": "tedlium_6816.wav", "duration": 12.06, "text": "All the merchants do not use it. But when I say service, it's a web service. So the majority of the merchants in our company use more than one web service from us,"}, {"path": "tedlium_6817.wav", "duration": 12.06, "text": "might not necessarily make the headline, but significant ones, count on one in '19 and one in '20. Some of that is related to where we are in the value generation in the field."}, {"path": "tedlium_6818.wav", "duration": 12.06, "text": "And finally, in terms of timing, because I don't want to give the feeling that we are floating and that takes long. If I look at what the transformation that some of our peers have done, it takes long time to do this kind of stuff."}, {"path": "tedlium_6819.wav", "duration": 12.06, "text": "without any doubt, is that we continue to operate under the highest levels of corporate governance. And having taken the pref shares out, having the yearly votes for our"}, {"path": "tedlium_6820.wav", "duration": 12.06, "text": "in our fall products. Yes. I mean, we also -- we want to support our wholesale partners and make sure any liabilities we have in spring are taken care of so that we can clean this -- clear the decks and"}, {"path": "tedlium_6821.wav", "duration": 12.06, "text": "The COFINA restructuring further provides for the COFINA portion of the sales tax revenues to be held in segregated accounts includes a nonimpairment covenant as well as other strong protections."}, {"path": "tedlium_6822.wav", "duration": 12.06, "text": "If you're just going to automate a bad process, that doesn't help anyone. And so the way our clients are getting value out of our platform is not just the technology, but also the opportunity to redesign"}, {"path": "tedlium_6823.wav", "duration": 12.06, "text": "Sure, Kevin. This is Hudson, again. These are not directly related to insurance in any way. But they are related to our response to"}, {"path": "tedlium_6824.wav", "duration": 12.06, "text": "The decrease in segment pretax income was due to the increase in operating expenses resulting from the continued build-out of our footprint in our European markets."}, {"path": "tedlium_6825.wav", "duration": 12.06, "text": "You'll see on Slide 2 of the presentation our safe harbor statement. We would like to remind everyone that the prepared remarks contain forward-looking statements and management may make additional forward-looking statements in response to your questions."}, {"path": "tedlium_6826.wav", "duration": 12.06, "text": "This was evident this quarter in several ways. Firstly, since our portfolio consists primarily of adjustable rate loans, our gross yield increased in all 3 of our small balance commercial business lines."}, {"path": "tedlium_6827.wav", "duration": 12.06, "text": "and also the acceleration and release of cash. So I end where I began, which is we're agnostic to the underlying business. We're capable and competent and happy to take on any."}, {"path": "tedlium_6828.wav", "duration": 12.06, "text": "If creditors are ultimately treated unfairly, we expect MAS as well as other Malaysian state-controlled enterprises won't be able to benefit from the same kind of implicit trust the financial community has placed in them for decades past."}, {"path": "tedlium_6829.wav", "duration": 12.06, "text": "the market was such that we had our eye on being able to refinance our existing bonds and have some nice accretion from that transaction, given where interest rates were."}, {"path": "tedlium_6830.wav", "duration": 12.06, "text": "As you can see, we were not able to overcome the Morpheus challenge during the second quarter to the degree we had planned, and that changes our outlook for the balance of the year."}, {"path": "tedlium_6831.wav", "duration": 12.06, "text": "and at the best sites for care affordably. We also serve people by helping them close gaps in care, which often can be caused by deviations from evidence-based medical practice,"}, {"path": "tedlium_6832.wav", "duration": 12.06, "text": "The Bureau provided nearly 100 local interviews with House and Senate lawmakers, delivering our viewers both previews and reactions to the President's first joint address to Congress."}, {"path": "tedlium_6833.wav", "duration": 12.06, "text": "Of significance in the second quarter, we shared that we partnered with our largest Epicel customer to facilitate training sessions with all of the burn centers in their network,"}, {"path": "tedlium_6834.wav", "duration": 12.06, "text": "I will be discussing our financial performance, excluding Orlaco, which is included in our Electronic segment for consolidation purposes. Bob will be discussing our results inclusive of Orlaco later in this call."}, {"path": "tedlium_6835.wav", "duration": 12.06, "text": "Our support functions also deserve recognition for a very good year in providing the front lines with the technology tools and data analytics and the on-time, on-budget major initiatives"}, {"path": "tedlium_6836.wav", "duration": 12.06, "text": "While we are closing in on -- in 60% committed in Opps Fund Xa and have several deals in the works that could take us above that number,"}, {"path": "tedlium_6837.wav", "duration": 12.06, "text": "Now for the financial results. As a reminder, our segment margins are before consideration of unallocated corporate costs, such as amortization of intangibles,"}, {"path": "tedlium_6838.wav", "duration": 12.06, "text": "We expect the current challenging retail environment with lower foot traffic to physical retail locations to result in continued reduced spending by consumers on housewares and small appliances in mall locations."}, {"path": "tedlium_6839.wav", "duration": 12.06, "text": "Since we launched this strategy 3 years ago, our specialty sales volume has increased by more than 40%, the equivalent of one mill's annual production."}, {"path": "tedlium_6840.wav", "duration": 12.06, "text": "And these are large, complex programs. It's in a number of geographies across the country. There are things that come up that have created complexity that we didn't expect. We've applied cost"}, {"path": "tedlium_6841.wav", "duration": 12.0300625, "text": "Because home health is envisioned to be the net beneficiary of both of these bundled payment models, we see no downside for Encompass, only upside and lots of it."}, {"path": "tedlium_6842.wav", "duration": 12.03, "text": "As previously discussed, growth in Europe was held back somewhat by the difficult comparison with Germany's strong first quarter last year. Germany is projected to return to normalized growth during the second quarter."}, {"path": "tedlium_6843.wav", "duration": 12.03, "text": "And so although some companies will have a more limited impact because they've been able to improve their environmental performance over the past 12 months, which is their whole idea of that program,"}, {"path": "tedlium_6844.wav", "duration": 12.03, "text": "In these sessions, consultants from both lines of business work together to identify promising opportunities to expand the breadth of our engagements, with clients who only know us for 1 type of service."}, {"path": "tedlium_6845.wav", "duration": 12.03, "text": "Okay, great. And just lastly, at what point would you guys look at expanding the business into other provinces? And is that something that's more dependent on the success of the upcoming fee-based products?"}, {"path": "tedlium_6846.wav", "duration": 12.03, "text": "In-house regulatory and tax expertise aided our ability to pull this transaction together in just 2 weeks on a propriety basis. And it created structure with significant downside protection for our capital."}, {"path": "tedlium_6847.wav", "duration": 12.03, "text": "The exciting part is working on initiatives where we work together on developing product that we could help them launch within Korea. And we have a number of initiatives underway, but it is going to start small."}, {"path": "tedlium_6848.wav", "duration": 12.03, "text": "In light of the broad-based spread tightening that continues to take place within credit markets, Agency mortgages remains one the most attractive asset classes for the marginal dollar of capital investor."}, {"path": "tedlium_6849.wav", "duration": 12.03, "text": "more than half of that is likely to come from International. This is not a sales outlook that's contingent on pricing to be successful. It is contingent upon base business remaining healthy and growing. We're investing behind that. It's contingent upon"}, {"path": "tedlium_6850.wav", "duration": 12.03, "text": "which you think if you just stood still, you wouldn't really capture, and therefore, it's just worth putting more money? So is it more a defensive announcement, i.e., things weren't quite as good as they looked from what we look at?"}, {"path": "tedlium_6851.wav", "duration": 12.03, "text": "We continue to expect earnings in this segment to pick up once the remaining sections of Rover are in service and we are able to efficiently provide end user customers with Marcellus and Utica gas."}, {"path": "tedlium_6852.wav", "duration": 12.03, "text": "The U.K. now ranks amongst the top CAT dealers in the world for registered customers and users. In this region, our e-commerce channel is complemented by Parts Direct our centralized parts order processing team."}, {"path": "tedlium_6853.wav", "duration": 12.03, "text": "we've run CDs off considerably to where they're such an insignificant part of our deposit portfolio that we did make a decision to run a couple of promotions to just keep that"}, {"path": "tedlium_6854.wav", "duration": 12.03, "text": "And I also want to thank all our global Weight Watchers team for all the incredible work you do in serving and inspiring our millions of members every day. Thank you. The"}, {"path": "tedlium_6855.wav", "duration": 12.03, "text": "revenue in the first quarter, we will have modestly higher start-up expenses. So it's a combination of growing revenue and some of the start-up that comes with that as well as a higher tax rate on a year-over-year basis."}, {"path": "tedlium_6856.wav", "duration": 12.03, "text": "We continue to view our stock as one of the best investments available, and we'll balance the return of capital to shareholders with our priority of building the Argo franchise and shareholder value in the long run."}, {"path": "tedlium_6857.wav", "duration": 12.03, "text": "positive cup growth certainly and positive basket growth as we get those customers in, but we need to do more to make people aware that we've got a great cup of coffee available at a great value at our sites."}, {"path": "tedlium_6858.wav", "duration": 12.03, "text": "So they're still investing in technology from our side because they're all seeing the same kind of small impact on their material cost, but it's not translating into any kind of impact on our business because the people have to get their jobs done."}, {"path": "tedlium_6859.wav", "duration": 12.03, "text": "And it could have been more or less kind of depending on the weather in general. If it's dry all the way through Christmas, we tend to just keep moving along and it could be substantially different than what it was."}, {"path": "tedlium_6860.wav", "duration": 12.03, "text": "With regard to the consumer portfolio, we could see increased pricing competition as the improvement in quality of consumer loans consolidates and a more dynamic growth increases the share of newly priced loans in our mix."}, {"path": "tedlium_6861.wav", "duration": 12.03, "text": "We have begun the internal qualification for a process of all the equipment and still expect to be qualified and in production using our 6-inch wafers by the end of this calendar year."}, {"path": "tedlium_6862.wav", "duration": 12.03, "text": "in terms of working all your way through the screening process. And here we are on November 8 or 9, I think you get a sense of when that might have happened."}, {"path": "tedlium_6863.wav", "duration": 12.03, "text": "And now, turning to the South Beach Diet. We're learning a lot about the brand and its potential in our initial year of launch. South Beach is enabling us to broaden our reach and onboard new consumers onto our platform."}, {"path": "tedlium_6864.wav", "duration": 12.03, "text": "Thank you all for participating and your interest in Park City Group. our numbers are in the bottom of the press release. Please feel free to contact any of us if you have any additional questions. Thank you."}, {"path": "tedlium_6865.wav", "duration": 12.03, "text": "And finally, while the broader economic environment is challenging, we've made a good start to the second half of the financial year and we're confident in the outcome for the full year."}, {"path": "tedlium_6866.wav", "duration": 12.03, "text": "out a process solution that might be viewed as more entry level, more of their first step into automation, and we want to make sure that we provide that solution to that customer base."}, {"path": "tedlium_6867.wav", "duration": 12.03, "text": "it doesn't have the ability to handle new menu news or even use price because of that simple menu, and those are 2 tools that you used with great effect in the past. And so I think people are having a hard time understanding"}, {"path": "tedlium_6868.wav", "duration": 12.03, "text": "I want to especially thank our global team for all of their great work during this transition to help more than 35 million people around the world to realize their potential."}, {"path": "tedlium_6869.wav", "duration": 12.03, "text": "Microsoft, it looks like it's about half of your backlog. So could you just talk about into your visibility with future projects with them? And would you expect them to be in digest mode for the next little bit?"}, {"path": "tedlium_6870.wav", "duration": 12.03, "text": "we're continuing to generate the cash flow. As I said, if we want to grow at 10%, we can grow at the 10%. So what I think people ought to be concerned about is what's happening in the underlying business."}, {"path": "tedlium_6871.wav", "duration": 12.03, "text": "This gives cloud providers the opportunity of being able to deploy capacity in a more staggered fashion with waves of deployment rippling through Europe over the duration of a cycle."}, {"path": "tedlium_6872.wav", "duration": 12.03, "text": "I would say a lot of that in the second quarter had to deal with the types of traffic that we're taking on. There was a significant portion of long-distance traffic, which, as you know, is a very low-margin business because there is"}, {"path": "tedlium_6873.wav", "duration": 12.03, "text": "and commercial markets through our participation in early April at the DefExpo 18 India show. Our superior microdisplay performance was of great interest"}, {"path": "tedlium_6874.wav", "duration": 12.03, "text": "with a big portion of profit-sharing agreements has created an invaluable buffer of income in poor markets and plenty of upside going forward."}, {"path": "tedlium_6875.wav", "duration": 12.03, "text": "But we saw volume improve over the course of the quarter as we increased our marketing spend, and we ended the year on a strong note. And while the first quarter is always a seasonably slow quarter for us,"}, {"path": "tedlium_6876.wav", "duration": 12.03, "text": "And we are certainly already seeing reorders. During the first quarter of 2018, we continue to see move-out into the clinics at approximately the same rate as what we saw in the first month."}, {"path": "tedlium_6877.wav", "duration": 12.03, "text": "the dog market. Now there are more cats than dogs, but in general, cats don't like to go to the veterinarian, as I'm reminded every time I try to take my mother's cat to the veterinarian to have its claws trimmed."}, {"path": "tedlium_6878.wav", "duration": 12.03, "text": "Due to these market conditions, coal utilization has dropped noticeably in the first few months as compared to 2015. The question we're wrestling with is whether this is a temporary change"}, {"path": "tedlium_6879.wav", "duration": 12.03, "text": "I would say a couple of things, the first is really important. The number of people we've lost that we'd have liked to have kept, you can count on the fingers of one hand,"}, {"path": "tedlium_6880.wav", "duration": 12.03, "text": "but I cannot comment specifically on that until we do the deal. So it's certainly a segment we would like to have more exposure to, but it's all about doing the right deals."}, {"path": "tedlium_6881.wav", "duration": 12.03, "text": "that as a telecom operator, we have decided to embark in mobile financial services. There is a lot of synergies, and so this is going to be built over time. But honestly, I think for all of you,"}, {"path": "tedlium_6882.wav", "duration": 12.03, "text": "the different segments or components within there. But if I remember from a year or so ago, Scepter had kind of got off to a slow start. And I just wanted to get a sense of perhaps"}, {"path": "tedlium_6883.wav", "duration": 12.03, "text": "I would also like to remind you that while we think that our prospects for continued growth and performance are good, it is our policy not to establish with the markets any formal earnings, margin or balance sheet guidance."}, {"path": "tedlium_6884.wav", "duration": 12.03, "text": "Returns on Correspondent Production improved to a 63% pretax annualized return on equity, as a result of increased locks"}, {"path": "tedlium_6885.wav", "duration": 12.03, "text": "But they have just done, once again, a terrific job on profit execution, focusing on niche markets where they can go get some growth, and we really like this business for the long term."}, {"path": "tedlium_6886.wav", "duration": 12.03, "text": "ATLAS' robust biological readout, in other words, may ensure better use of checkpoint inhibitors as well as enable better vaccines and cell therapies."}, {"path": "tedlium_6887.wav", "duration": 12.03, "text": "Thank you, William, and thanks to all of you who are joining us this afternoon. Within the past hour, we issued our Q4 press release and also posted some slides that we'll be referring to on today's conference call."}, {"path": "tedlium_6888.wav", "duration": 12.03, "text": "And that's a little more expensive model, I think, to run, but I think it also produces some benefits in terms of the kind of deposit base that we have and"}, {"path": "tedlium_6889.wav", "duration": 12.03, "text": "It should allow us to expand our MRO and consumable products business and is a good example of the expert knowledge and enhanced services we are bringing to our customers."}, {"path": "tedlium_6890.wav", "duration": 12.03, "text": "and disclaims any intent to update publicly any forward-looking statements, whether in response to new information, future events or otherwise. Please note, this event is being recorded."}, {"path": "tedlium_6891.wav", "duration": 12.03, "text": "which was primarily associated with the change in scope of services with our largest account, we strongly believe these acquisitions have provided and will continue to provide shareholder growth and returns."}, {"path": "tedlium_6892.wav", "duration": 12.03, "text": "Second, more overhead reductions from lower indirect costs, savings from our global shared services and organizational efficiency. And third, improved revenue mix."}, {"path": "tedlium_6893.wav", "duration": 12.03, "text": "piece of it, on the video side, that content is variable with regard to the packages that we sell. But I also think there's some opportunity going forward to be variable with regard to within the packages. And I think,"}, {"path": "tedlium_6894.wav", "duration": 12.03, "text": "on some applications and it just makes sense for us to become just one team and being guided in one direction and making sure both had the same level of priority"}, {"path": "tedlium_6895.wav", "duration": 12.03, "text": "for the risk of supine hypertension in the evening. Both therapies need to be administered at least 3 hours before patients lie down to prevent the risk of overshooting on blood pressure."}, {"path": "tedlium_6896.wav", "duration": 12.03, "text": "Moving to our business results and starting on Slide 5, I'll discuss the comparative results excluding the market-driven and discrete items that I mentioned earlier."}, {"path": "tedlium_6897.wav", "duration": 12.03, "text": "That's my first question. And my second question regarding your Tissue business margin. We saw compression in the fourth quarter mostly explained by currencies, but there were some additional costs as well. If you can comment"}, {"path": "tedlium_6898.wav", "duration": 12.03, "text": "We know the importance of strong partnerships with national brands and saw some great successes in Q3 through our partnerships with SodaStream, Instant Pot, Lagostina and The Rock Cookware."}, {"path": "tedlium_6899.wav", "duration": 12.03, "text": "you never know totally if you're at the top of the cycle or not. I think we have not emerged in Alberta yet from this recession, for sure, but we don't really -- we're not seeing"}, {"path": "tedlium_6900.wav", "duration": 12.03, "text": "Our log costs decreased substantially in the first quarter as Western and Canadian log costs declined and the benefit of lower fourth quarter log costs was also included in our financial results."}, {"path": "tedlium_6901.wav", "duration": 12.03, "text": "We have 12 million shares remaining from the current authorization and will continue to repurchase stock to offset dilution from stock option exercises and based on the internal valuation of the stock."}, {"path": "tedlium_6902.wav", "duration": 12.03, "text": "Okay. Great. And then just shifting over to the Hearing Health, you sound a little more upbeat about it than you have in a little while. Can you talk about kind of what drove the turnaround in growth and the expected growth going forward?"}, {"path": "tedlium_6903.wav", "duration": 12.03, "text": "The reason the provisions required for Central America were higher is because in Central America, the previous provision regime was based upon incurred losses instead of expected losses as it is in Colombia."}, {"path": "tedlium_6904.wav", "duration": 12.03, "text": "The result of SPX -- the results of SPX FLOW are reported as discontinued operations this quarter. We're also reporting under our new segment structure for the first time."}, {"path": "tedlium_6905.wav", "duration": 12.03, "text": "We have sold and installed our first displays in this family and feels this brings opportunities to expand our business, especially in developing markets in parts of Asia and other regions."}, {"path": "tedlium_6906.wav", "duration": 12.03, "text": "driven by high-performing investment franchises well positioned for the current market environment, a range of specialty offerings with broad and growing market appeal and strong distribution and client service."}, {"path": "tedlium_6907.wav", "duration": 12.03, "text": "As we have said, regulatory changes, competition and consolidations within the health care and financial services industries will continue to create opportunities and challenges for us."}, {"path": "tedlium_6908.wav", "duration": 12.03, "text": "better occupancy. The Pope's visit was really 2 days and Philadelphia had effectively shut down the city, so it made it very difficult and we had a lot of room cancellations across the city."}, {"path": "tedlium_6909.wav", "duration": 12.03, "text": "and as we take on these actions, it is also our job to maintain a strong balance sheet and to be positioned to act on value-enhancing opportunities as they present themselves."}, {"path": "tedlium_6910.wav", "duration": 12.03, "text": "For millennials, this really gives them the best of both worlds, the highest cash-back, no monthly fees, a great mobile experience and then access to a digital credit solution will be far easier to manage than borrowing on a credit card."}, {"path": "tedlium_6911.wav", "duration": 12.03, "text": "reset the brand and be more reflective of the brand we're aspiring to be and also, as I mentioned in my remarks, be more cognizant of the fact that we have a big wholesale business. And when we"}, {"path": "tedlium_6912.wav", "duration": 12.03, "text": "When our visibility went to 0, we could not remain comfortable with our political guidance, and we, therefore, communicated our honest assessment by withdrawing that guidance."}, {"path": "tedlium_6913.wav", "duration": 12.03, "text": "significantly where they were in '12. Wisconsin, we have one of the small markets there, saw basically no spending in what was supposed to be a very contentious race. And then as you may know, the"}, {"path": "tedlium_6914.wav", "duration": 12.03, "text": "We've got a technology that allows our customers to run their units better and make more money. And that's what's driving our penetration in that market. Let me add one other point on that, Hudson. And we have a local"}, {"path": "tedlium_6915.wav", "duration": 12.03, "text": "Given the significant uncertainty and headwinds Truckload and Intermodal face this year, clarity on growth would be extremely helpful. Also, how much are you baking in for a downturn in economic conditions?"}, {"path": "tedlium_6916.wav", "duration": 12.03, "text": "With respect to our Texas rate case, on July 21, 2016, we filed an unopposed settlement with the Public Utility Commission of Texas after continuing to work with all intervenors in the case."}, {"path": "tedlium_6917.wav", "duration": 12.03, "text": "more innovative, more strategic thinking, people with better technical backgrounds. So we're looking at this as a great opportunity so we'll use attrition to be able to fill these roles that we see for the future."}, {"path": "tedlium_6918.wav", "duration": 12.03, "text": "that our molecule offers. Going back to the first section of your answer, I think that this is also pointing to the amount of innovation that Compugen generated"}, {"path": "tedlium_6919.wav", "duration": 12.03, "text": "yet, that's largely come at the expense of the mid-tier brands. And so the new dynamic is making sure that Valvoline is working closely with the retailers on achieving the right balance between"}, {"path": "tedlium_6920.wav", "duration": 12.03, "text": "to -- and we want to become a platform company, as you do know, both for the enterprise as well as supply chain as well as even future marketplace usage."}, {"path": "tedlium_6921.wav", "duration": 12.03, "text": "We will continue to make major investments into 3 areas, which we believe underpins the business model of Julius Baer. First,"}, {"path": "tedlium_6922.wav", "duration": 12.03, "text": "Gilles has taken you through the main aspects of the market development and the business performance. On the following slides, I would like to focus on the financial performance of the 2 divisions and the group."}, {"path": "tedlium_6923.wav", "duration": 12.03, "text": "a smoother startup. So I'll give you more detail as we get closer to the startup. But yes, I think you'll see a little bit of flexibility on the capacity and the way we start that unit up."}, {"path": "tedlium_6924.wav", "duration": 12.03, "text": "The second area of focus is developing efficient tools for our advertisers. We know that in order to truly scale our business, advertising on Snapchat has to be really easy."}, {"path": "tedlium_6925.wav", "duration": 12.03, "text": "So let me comment on the first question. So we did comment on the underlying drivers for the spike-up that we did see in the fourth quarter, and we did share how we're thinking internally about the Q1 dynamics."}, {"path": "tedlium_6926.wav", "duration": 12.03, "text": "And they have really worked hard to drive and control our overall IT infrastructure cost. So we have seen help from that in this fiscal year and I think we'll anticipate that going forward."}, {"path": "tedlium_6927.wav", "duration": 12.03, "text": "Joe, can you talk about the incremental changes that you're contemplating for LSI? And what we can expect where you would focus more on?"}, {"path": "tedlium_6928.wav", "duration": 12.03, "text": "Now you might be wondering why we are not updating our 2018 ongoing operations guidance ranges given the year-to-date performance that has exceeded expectations embedded in the May guidance."}, {"path": "tedlium_6929.wav", "duration": 12.03, "text": "Thank you. Thank you for attending our call today. I want to thank our customers, our employees and our investors. As HMS continues to focus on containing healthcare costs in our nation,"}, {"path": "tedlium_6930.wav", "duration": 12.03, "text": "When the program is complete, we expect to have approximately 300 employees and we also anticipate that we'll have transferred more of our engineering responsibilities from the Philippines to Poland"}, {"path": "tedlium_6931.wav", "duration": 12.03, "text": "greenfield opportunities around mobile carriers, they tend to make a decision a little bit faster than some of the other telco and cable operators we've worked with."}, {"path": "tedlium_6932.wav", "duration": 12.03, "text": "Now as you look at the income statement, I want to remind you to bear in mind the impact of accounting for the gains or losses on our deferred compensation plan assets,"}, {"path": "tedlium_6933.wav", "duration": 12.0000625, "text": "with growth rates and seasonality consistent with recent years. Our objective is to continue to outperform the MH market by capitalizing on our breadth of product and focusing on expansion and acquisition strategies."}, {"path": "tedlium_6934.wav", "duration": 12.0, "text": "While significant road construction negatively impacted business at Club Fortune in Nevada, that construction was completed in late October and the property is now performing well."}, {"path": "tedlium_6935.wav", "duration": 12.0, "text": "which itself causes other kinds of damage not related to vasculitis. The reason that steroids are such a problem is also the reason that in clinical practice, they have to be tapered."}, {"path": "tedlium_6936.wav", "duration": 12.0, "text": "the company is doing what makes sense. They're creating a large funnel. They're picking through the funnel. They're looking to add other loan programs on to make utilization of some of those other lead flows."}, {"path": "tedlium_6937.wav", "duration": 12.0, "text": "better solutions for e-commerce, this is a great space for us to be in. We need to be nimble. We need to bring the best technological solutions to our customers every day."}, {"path": "tedlium_6938.wav", "duration": 12.0, "text": "We began incurring interest expense on this new debt as of January 15. And we'll treat this expense as a noteworthy item, net of interest income earned, until the closing of the transaction."}, {"path": "tedlium_6939.wav", "duration": 12.0, "text": "Many factors could cause the current results, performance or achievements of Bolsa to be somewhat different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements,"}, {"path": "tedlium_6940.wav", "duration": 12.0, "text": "this year. Nevertheless, the consumption level regarding the production potential is"}, {"path": "tedlium_6941.wav", "duration": 12.0, "text": "In closing, I'd like to thank our employees who are at the heart of Clearwater Paper for their commitment to always making our operation safer and more efficient, while keeping a sharp focus on the needs of our customers."}, {"path": "tedlium_6942.wav", "duration": 12.0, "text": "And finally, we're continuing to face challenging economic conditions within International, including a more difficult pricing environment and a longer recovery period in Argentina."}, {"path": "tedlium_6943.wav", "duration": 12.0, "text": "And that hasn't had a customer impact yet as you look at a lot of that is internal work and so our customer satisfaction, our demand is being met, but the backlog did improve"}, {"path": "tedlium_6944.wav", "duration": 12.0, "text": "we do not expect to file the K before the SEC deadline of March 16. As a result, the company has requested from NASDAQ"}, {"path": "tedlium_6945.wav", "duration": 12.0, "text": "these stores are outperforming and driving stronger retail sales growth than in our independents. So as we look ahead to the multiyear implementation of this initiative in our independent NAPA stores,"}, {"path": "tedlium_6946.wav", "duration": 12.0, "text": "earnings release and throughout this call, will be utilizing this terminology to differentiate between what is recurring subscription revenue and what is other lumpy and nonsubscription in nature."}, {"path": "tedlium_6947.wav", "duration": 12.0, "text": "a regionally based sales force, and sales enablement technology, all of these investments are providing the cumulative impact on sales and revenue upon which this strategy is predicated."}, {"path": "tedlium_6948.wav", "duration": 12.0, "text": "So that in my view on the macro. Now how it translates to earnings, equity performance I think it's something we got to watch. So this is a warm water cycle right"}, {"path": "tedlium_6949.wav", "duration": 12.0, "text": "the economy around the world and whether any of those economies have, if you will, more demand for construction materials or construction labor than"}, {"path": "tedlium_6950.wav", "duration": 12.0, "text": "My comments which follow are on an adjusted and constant currency basis. Q4 results reflected strong asset and deposit growth in the Pacific Alliance,"}, {"path": "tedlium_6951.wav", "duration": 12.0, "text": "I'll now turn to the Other segment on Slide 14, which incorporates the results of Group Treasury, smaller operating units and certain corporate adjustments."}, {"path": "tedlium_6952.wav", "duration": 12.0, "text": "this is incredibly difficult to provide the market with apples-to-apples comparability across those metrics and the ability to de-duplicate audiences across platforms. So it's a very high bar."}, {"path": "tedlium_6953.wav", "duration": 12.0, "text": "people may use slightly different expressions, but the thinking and the culture are the same because we share the same language. However, in Southeast Asia, language is the biggest problem."}, {"path": "tedlium_6954.wav", "duration": 12.0, "text": "The health benefits realized from even modest weight loss are significant and we're committed to helping consumers achieve their health oriented goals through a platform of solutions and programs that can be tailored to what works best for them."}, {"path": "tedlium_6955.wav", "duration": 12.0, "text": "which has been done by a number of our peers in the Canadian public real estate space. So we do believe"}, {"path": "tedlium_6956.wav", "duration": 12.0, "text": "Our comments also include non-GAAP measures. Reconciliations to the nearest corresponding GAAP measures are in our earnings release available on our website."}, {"path": "tedlium_6957.wav", "duration": 12.0, "text": "We expect it will last around 30 minutes, and we'll provide you will both a qualitative and quantitative summary of the most significant events in the period, plus an outlook of our expectations and estimates for this year."}, {"path": "tedlium_6958.wav", "duration": 12.0, "text": "the centrality of technology to the strategy of these enterprises and the fact that Trimble has many touch points of relevancy to that, really, is the change."}, {"path": "tedlium_6959.wav", "duration": 12.0, "text": "I know I say it on each call, but the excitement, the pride and the confidence we feel growing at these events get stronger each time, which leads me to believe that our future is brighter than ever."}, {"path": "tedlium_6960.wav", "duration": 12.0, "text": "We have made tough decisions to divest certain businesses and product lines, reduce costs and get out of certain geographies, while at the same time making strategic acquisitions."}, {"path": "tedlium_6961.wav", "duration": 12.0, "text": "Our press release, which contains the financial and other quantitative information to be discussed today as well as a reconciliation of non-GAAP to GAAP measures is also available on our website."}, {"path": "tedlium_6962.wav", "duration": 12.0, "text": "I think you might see a reverse on those and you staying closer to the wellhead and getting more turns per day on the trucks. I think that's going to be a differentiator and people are going to have to really"}, {"path": "tedlium_6963.wav", "duration": 12.0, "text": "This is the -- when I joined the company 16 months ago, most of our supported -- our production was supported from a limited number of high-production wells within the Tawke field."}, {"path": "tedlium_6964.wav", "duration": 12.0, "text": "these are clearly small numbers if you compare this to HBVS where clearly you will have to study much, much larger"}, {"path": "tedlium_6965.wav", "duration": 12.0, "text": "Financial results in our earnings release are unaudited and our remarks include forward-looking statements that are subject to the risks and uncertainties that we discuss in detail in our documents filed with the SEC,"}, {"path": "tedlium_6966.wav", "duration": 12.0, "text": "In the fourth quarter, our labor productivity continued to improve sequentially, offsetting wage inflation, with slightly higher factory costs due primarily to higher benefit expense versus the prior year."}, {"path": "tedlium_6967.wav", "duration": 12.0, "text": "conservative than the strategy that both of the banks have adopted, and we are counting on both banks being able to deliver on their strategies."}, {"path": "tedlium_6968.wav", "duration": 12.0, "text": "We discussed this in detail on our last earnings call. During Q3, we made the decision to maintain strong short-term profitability in the face of heavy demand from new customers."}, {"path": "tedlium_6969.wav", "duration": 12.0, "text": "This trend has significantly increased at the start of the fourth quarter, as evidenced by record production in October, which by itself, nearly doubled the new business premium written during the entire third quarter."}, {"path": "tedlium_6970.wav", "duration": 12.0, "text": "hundreds of discrete things that are embedded in there that we could decide to delay or go forward with in the time frame that we're planning for. So"}, {"path": "tedlium_6971.wav", "duration": 12.0, "text": "We also saw a reduction in the number of companies on nonaccrual. During the first quarter, we had 3 companies come off of nonaccrual compared to one new nonaccrual investment."}, {"path": "tedlium_6972.wav", "duration": 12.0, "text": "because projects do get delayed and it becomes very difficult. And if it isn't in backlog, it's a pretty tough one to predict for the next quarter whether it would fall into that. We do, however, from time to time"}, {"path": "tedlium_6973.wav", "duration": 12.0, "text": "Yes. I mean I guess kind of I understand the internal accounting points, but that's kind of just how it's represented between the divisions. But if I look at the group"}, {"path": "tedlium_6974.wav", "duration": 12.0, "text": "I'm especially pleased with the progress in our EWP segment as engineering a turnaround in this business was one of my first priorities after assuming the COO role last January."}, {"path": "tedlium_6975.wav", "duration": 12.0, "text": "how to sell these handsets will have to be considered and this is going to hold the key. And actually we are continuing our studies into this matter right now. And"}, {"path": "tedlium_6976.wav", "duration": 12.0, "text": "I also talked before about Power Systems and service and the massive installed base we have out there and how we aim to do a much better job on service in our Power Systems business"}, {"path": "tedlium_6977.wav", "duration": 12.0, "text": "The high level of DDA deposits has been maintained since the inception of the bank, and will continue to mitigate potential increases in the overall cost of funds if rates continue to increase."}, {"path": "tedlium_6978.wav", "duration": 12.0, "text": "While this facility cannot be used for other purposes, it allows us to maintain flexibility with excess cash on hand and cash generated from operations to fund strategic investments and capital returns."}, {"path": "tedlium_6979.wav", "duration": 12.0, "text": "Thanks, Paul, and good morning, everyone. Thanks for joining us on today's call as we review a few recent announcements, along with our fourth quarter highlights."}, {"path": "tedlium_6980.wav", "duration": 12.0, "text": "Partially offsetting the increases to revenue on a year-over-year basis was the expiration of managed-only and underperforming contracts with Texas and the District of Columbia."}, {"path": "tedlium_6981.wav", "duration": 12.0, "text": "Okay. And then presumably, that will grow at some level sequentially after that? Or do you feel like you're getting to the point where most of that fast growth is behind you?"}, {"path": "tedlium_6982.wav", "duration": 12.0, "text": "if we were Calix, the broadband access is just some sort of box company without any of our platforms and we were confronted with the quarter that we were just confronted with,"}, {"path": "tedlium_6983.wav", "duration": 12.0, "text": "Both Boeing and Airbus recently increased their outlook for long-term demand for airframes, and Kaiser is very well positioned to participate in the long-term growth with our customers."}, {"path": "tedlium_6984.wav", "duration": 12.0, "text": "or somewhere in between. It could be small companies that don't have the cash that end up giving us a piece of equity in their business and milestones and royalties as they develop the products."}, {"path": "tedlium_6985.wav", "duration": 12.0, "text": "So we've made expenditures in a number of different areas that are already embedded in our run rate,"}, {"path": "tedlium_6986.wav", "duration": 12.0, "text": "that I see that can follow the growth rate that we've seen in Mexico and the food side, certainly, we've been excited about what we've seen from the Mexican consumer. And of course, Colombia"}, {"path": "tedlium_6987.wav", "duration": 12.0, "text": "Regarding our outlook, it remains promising that we have seen smaller accounts and our local accounts continuing to grow and, in particular, residential construction continues to perform well."}, {"path": "tedlium_6988.wav", "duration": 12.0, "text": "to emerge in the next number of few months. I can't really say very much about it at this point in time. But I would say that there is a"}, {"path": "tedlium_6989.wav", "duration": 12.0, "text": "We're pleased that our shares have stabilized and were roughly flat for the first half. You should note that these revenue growth numbers include the negative impact of the malware incident."}, {"path": "tedlium_6990.wav", "duration": 12.0, "text": "But I will repeat what Curtis just said. We are not anticipating that we are going to repeat the execution issues that we encountered in the first quarter"}, {"path": "tedlium_6991.wav", "duration": 12.0, "text": "companies in their target market. The team has developed a strong pipeline of investment opportunities which they are currently evaluating for Q3 and Q4 of this year."}, {"path": "tedlium_6992.wav", "duration": 12.0, "text": "also the community and the sustainability of the entire business. So I think it is the right industrial logic, and we peg our basis on that. So we are in construction and"}, {"path": "tedlium_6993.wav", "duration": 12.0, "text": "in the second half of 2017. We remain on track to meet our supply objectives for the back half of this year and beyond and look forward to leveraging this unique technology"}, {"path": "tedlium_6994.wav", "duration": 12.0, "text": "the strategy has also been consistent. There are parts of the marketplace where we may be motivated to acquire something because of speed to market"}, {"path": "tedlium_6995.wav", "duration": 12.0, "text": "less overlap than we thought, which is quite positive. Look, the -- I think the best way to respond to that is our attraction to this company was entirely based on its scientific reputation."}, {"path": "tedlium_6996.wav", "duration": 12.0, "text": "of the new MTY. It offers our franchisees the opportunity to increase their leverage with goods and services, which will then enable them to be more profitable."}, {"path": "tedlium_6997.wav", "duration": 12.0, "text": "The conference is attended by existing clients as well as prospects. And on all fronts, the feedback on our offering was clear. No one is better in this space when it comes to technology and service quality."}, {"path": "tedlium_6998.wav", "duration": 12.0, "text": "one is price and the second is supply chain realignment. In supply chain, you'll see everything from us that we're already in process of implementing from"}, {"path": "tedlium_6999.wav", "duration": 12.0, "text": "And then basically what we've talked about in terms of our improvement initiatives are starting to take hold. I think the team there has done a nice job."}, {"path": "tedlium_7000.wav", "duration": 12.0, "text": "and our marketing force is working as hard as they can, the problem is the people are buying more loosely or maybe they're trying to grow and so they're lowering their prices, this isn't the market where we want to compete in that sort of area."}, {"path": "tedlium_7001.wav", "duration": 12.0, "text": "all in this line of revenue. We do continue to have some headwinds from decreased implementation revenue due to the vast majority of our core installs are electing our outsourcing model,"}, {"path": "tedlium_7002.wav", "duration": 12.0, "text": "and so you really didn't get the full impact of the new cracker being up. So the new cracker is probably our lowest increment of cost as we think about our value chain"}, {"path": "tedlium_7003.wav", "duration": 12.0, "text": "many of these fuels are still in the design phase, and there's still a lot of unknowns in that area. And when you think about marine fuel blends, how challenging the issues of compatibility and stability"}, {"path": "tedlium_7004.wav", "duration": 12.0, "text": "Please turn to Page 8 of the materials. As I explained before, while continuing to invest and maintaining our overall investment balance in the resource field,"}, {"path": "tedlium_7005.wav", "duration": 12.0, "text": "as a result of the capital structure we have in the current price environment. We are currently evaluating alternatives to improve our balance sheet. We will update you as these initiatives materialize."}, {"path": "tedlium_7006.wav", "duration": 12.0, "text": "So in general, we're just starting to go through the budgeting process with each of the decisions so it's kind of hard to have a point of view as far as where we're going to land on this. I know we're going to be giving"}, {"path": "tedlium_7007.wav", "duration": 12.0, "text": "The increase in income from operations is primarily due to higher revenues and the expansion of margins. While costs and expenses increased from higher staffing costs associated with supporting the new and existing client growth,"}, {"path": "tedlium_7008.wav", "duration": 12.0, "text": "We have seen an overwhelming increase in the retailers, contractors and other partners who have visited Trex University since it launched in early March of this year."}, {"path": "tedlium_7009.wav", "duration": 12.0, "text": "As a result, we believe Nexus will be a requisite addition to the operating room as it delivers demonstrated clinical benefits at a compelling value proposition for hospitals, outpatient clinics and patients."}, {"path": "tedlium_7010.wav", "duration": 12.0, "text": "So far, the feedback from our teammates and customers has been overwhelmingly positive. Our teammates are energized by the changes we have made in the stores and are proud of the actions Monro is taking"}, {"path": "tedlium_7011.wav", "duration": 12.0, "text": "that reinvest on a yearly basis and sustainability is definitely something that the consumer of yesterday, tomorrow and nowadays,"}, {"path": "tedlium_7012.wav", "duration": 12.0, "text": "let's say, improvements, you have to do. So it takes a little bit longer than what as well I have to say, we expected, but I think, one has to expect."}, {"path": "tedlium_7013.wav", "duration": 12.0, "text": "What's behind that? Is it a shift in the demographics of your market into Medicare Advantage, which may be happening? Or do you think you're making strides with the private sector Medicare business"}, {"path": "tedlium_7014.wav", "duration": 12.0, "text": "The same can't be said for nursing homes being able to take the patients who are currently treated in our hospitals because those patients all require hospital-level care."}, {"path": "tedlium_7015.wav", "duration": 12.0, "text": "Beginning with this quarter, we're allocating all corporate costs with the exception of certain public companies and other executive level expenses, which will remain in the corporate segment."}, {"path": "tedlium_7016.wav", "duration": 12.0, "text": "Looking forward, after consecutive years of leaf tobacco supply and demand imbalance, global demand remains soft and may contribute to delays in some customer purchase and shipment timing decisions."}, {"path": "tedlium_7017.wav", "duration": 12.0, "text": "in the short, medium term, gives us a tremendous base upon which to build the future of the organization. So strong resources and reserve position ongoing."}, {"path": "tedlium_7018.wav", "duration": 12.0, "text": "of these licenses as many as you can reasonably do in a certain area so that it makes the commercial issues seamless into the future between the joint venture."}, {"path": "tedlium_7019.wav", "duration": 12.0, "text": "is your Record of Decision, are you're expecting that by the end of this quarter? And I was just going to ask that with your negotiations in taking up the option and then potentially selling down,"}, {"path": "tedlium_7020.wav", "duration": 12.0, "text": "the economics around that is in the hands of others, and we're happy -- very happy to work with others to see another source of gas come into our or get hooked up to our system."}, {"path": "tedlium_7021.wav", "duration": 12.0, "text": "We are also growing organically in the sense that we have plans to expand. And one of the greatest opportunities in front of us is the global expansion of these businesses as"}, {"path": "tedlium_7022.wav", "duration": 12.0, "text": "The long-term preconstruction pipeline continues to build, and we're finally beginning to see that core demand flow through to growth in project starts and our own shipments."}, {"path": "tedlium_7023.wav", "duration": 12.0, "text": "we want to better drive our own destiny and more effectively manage our exposure to market headwinds. That means change, real change, that I will talk about today and in the year ahead."}, {"path": "tedlium_7024.wav", "duration": 12.0, "text": "of incremental annual revenues by the end of next year and that does not include fixing the problems that we discussed that affect the second and third quarter."}, {"path": "tedlium_7025.wav", "duration": 12.0, "text": "increased spending that you had referenced in the past, the fourth priority to be improving margins and then the comment that later this year, you should be able to improve margins."}, {"path": "tedlium_7026.wav", "duration": 12.0, "text": "increased organizational focus on customers is driving growth as each Luxfer salesperson is expected to reach out to at least 2 new customers every week."}, {"path": "tedlium_7027.wav", "duration": 12.0, "text": "Non-GAAP items are described and reconciled to GAAP results in today's press release and those and other reconciliations and supplemental detail are included at the end of the slide presentation, which again is available on our website."}, {"path": "tedlium_7028.wav", "duration": 12.0, "text": "okay? You could argue that before the 2008 crisis it was an environment where clients believed in a bright future and therefore were holding less cash to create returns in the market."}, {"path": "tedlium_7029.wav", "duration": 12.0, "text": "As both Gilles and I have previously commented, we continue to invest in our future with significant CapEx projects driven by the new flavors facility in India"}, {"path": "tedlium_7030.wav", "duration": 12.0, "text": "In the mature markets, we grew with a solid 4%, led by Japan, Spain and Italy. A strong contribution came also from northern Europe and Germany."}, {"path": "tedlium_7031.wav", "duration": 12.0, "text": "These statements may involve risks and uncertainties that could cause actual results to differ from expectations and that are fully -- that are described more fully in our filings with the SEC, which are also available on our website."}, {"path": "tedlium_7032.wav", "duration": 12.0, "text": "Thanks, Curt. I'll transition to our outlook on Slide 11. Looking at the back half of the year, we expect our innovative specialty businesses will continue to grow strongly, improving product mix and accelerating our overall earnings growth."}, {"path": "tedlium_7033.wav", "duration": 12.0, "text": "So you're going to see us drive the execution as hard as we can. You're going to see us push results as hard as we can in this very tough environment. And we feel good about our way to fight our way through this and deliver growth next year."}, {"path": "tedlium_7034.wav", "duration": 12.0, "text": "We think this will continue as we build out additional capabilities such as dynamic custom audiences, conversion optimization and secondary objective optimization."}, {"path": "tedlium_7035.wav", "duration": 12.0, "text": "We also continue to engage with a number of key partners, including our recent partnership with Microsoft to bring together Workforce Now and Microsoft Dynamics 365 Business Central"}, {"path": "tedlium_7036.wav", "duration": 12.0, "text": "we can bring that to life, and I think that is playing to our expertise. I think we can explain it. I believe that also plays to our expertise. And"}, {"path": "tedlium_7037.wav", "duration": 12.0, "text": "So if at all, we are looking at a joint venture partner at some stage, and I'm not saying that we will, we keep options open. It'll be at the right time when it's got to the right value in the value curve, and it'll be on our terms."}, {"path": "tedlium_7038.wav", "duration": 12.0, "text": "Thank you, and thanks for your attention and for your questions. And so this is a very good day for us, as it announces that we are moving to a different level of maturity as a new company."}, {"path": "tedlium_7039.wav", "duration": 12.0, "text": "We had another very good quarter. This is even after initiating our combined company guidance in May, which reflects higher forward curves and increased retail expectations,"}, {"path": "tedlium_7040.wav", "duration": 12.0, "text": "we are cautious in regard to both business activity levels and metal pricing in the fourth quarter of 2015. These factors, combined with 2 less shipping days in the fourth quarter,"}, {"path": "tedlium_7041.wav", "duration": 12.0, "text": "As part of our investment strategy for the future, we saw this growth developing and laid-in plans for a new Southern California facility to replace the current one we have outgrown."}, {"path": "tedlium_7042.wav", "duration": 11.97, "text": "We have always included transaction amortization in our earnings and have consistently challenged ourselves to overcome that cost through value creation in our acquisition. JLT doesn't change our perspective."}, {"path": "tedlium_7043.wav", "duration": 11.97, "text": "We spent the early part of the March quarter reloading our production pipeline and had a partial quarter of shipments in Q2. Current forecasts from our customers and recent tenders from carriers"}, {"path": "tedlium_7044.wav", "duration": 11.97, "text": "It is pleasing over but on an operational side, underground, the mine is looking in much better shape than it has done for a very, very long time."}, {"path": "tedlium_7045.wav", "duration": 11.97, "text": "Last month, we completed a major infrastructure overhaul with Databricks, giving us massively more processing and analytic capacity for the data that we're amassing."}, {"path": "tedlium_7046.wav", "duration": 11.97, "text": "And in addition to that, we want to grow networking and wireless by refocusing our efforts on cloud and enterprise and drive down our cost structure in these areas."}, {"path": "tedlium_7047.wav", "duration": 11.97, "text": "That was one of our fastest growing components within the Fluid Handling business in the quarter, which did lead to some margin compression in the quarter. So while we feel good about where margins are,"}, {"path": "tedlium_7048.wav", "duration": 11.97, "text": "we see some changes in the market as well for premiums for not so clean concentrate depending on what impurities we are dealing. So we are trying the whole time to optimize"}, {"path": "tedlium_7049.wav", "duration": 11.97, "text": "During the recent hurricanes affecting Texas and Florida, all of our hotels remained open while a very significant amount of our competitor hotels closed either before, during, or after the storms."}, {"path": "tedlium_7050.wav", "duration": 11.97, "text": "A mix of the type of business that we have is included as well because we had a big drop in some of our high margin banquet and catering business and we didn't flow it as well as we should have."}, {"path": "tedlium_7051.wav", "duration": 11.97, "text": "And with the new funding options we recently procured, these facilities will serve to optimize our dedicated capital in each of these strategies, unlocking incremental returns."}, {"path": "tedlium_7052.wav", "duration": 11.97, "text": "This focuses on reinvesting in the business and our future to target both continuing and increasing free cash flow for the benefit of all stakeholders."}, {"path": "tedlium_7053.wav", "duration": 11.97, "text": "The company does not undertake a duty to update any forward-looking statements. Lastly, I would like to point out that management's remarks during this conference call are based on information and understandings"}, {"path": "tedlium_7054.wav", "duration": 11.97, "text": "We are leaning in on the marketing front to make sure people know that what they find -- that they can find this great merchandise at unbeatable prices at Five Below."}, {"path": "tedlium_7055.wav", "duration": 11.97, "text": "It is essential that our members have a unified Weight Watchers experience, whether it's in a meeting room every week, online at WeightWatchers.com or through our app and connect community."}, {"path": "tedlium_7056.wav", "duration": 11.97, "text": "and specifically grasp those data items and directly embed them into their forms and workflow. And so it does really, really imply a great increase in productivity"}, {"path": "tedlium_7057.wav", "duration": 11.97, "text": "and Alaska Steel broadened our geographic reach with our first entry into the Alaskan market in diverse industries, including infrastructure and energy."}, {"path": "tedlium_7058.wav", "duration": 11.97, "text": "Higher earnings and lower interest payments were partially offset by higher income tax and contract acquisition payments as well as an incentive payment in 2015 from a previous acquisition."}, {"path": "tedlium_7059.wav", "duration": 11.97, "text": "We believe that our combined portfolio of over 175 managed care and large account arrangements is strong and a key foundation for continued growth."}, {"path": "tedlium_7060.wav", "duration": 11.97, "text": "As you are aware, our core Medical business is all capital and can be impacted by timing of customer orders and the related shipment. We continue to see strong order growth in the core Medical business."}, {"path": "tedlium_7061.wav", "duration": 11.97, "text": "having our recurring dividend based on this amount removes volatility from our dividend and enables investors to receive what we believe is an attractive after-tax qualifying dividend yield."}, {"path": "tedlium_7062.wav", "duration": 11.97, "text": "We are gaining synergies with our product segment, and we have some exciting new proprietary products that we are launching this fall for our use in providing leading-edge services. Our"}, {"path": "tedlium_7063.wav", "duration": 11.97, "text": "Also if we look at the second half of the year, we have to make sure that we have a high service level ready for meeting the growth which we are seeing. And having the growth"}, {"path": "tedlium_7064.wav", "duration": 11.97, "text": "And I think it's showing up in the numbers. The growth rates will continue to go up for us. And again, the constraint is now, has been and always will be"}, {"path": "tedlium_7065.wav", "duration": 11.97, "text": "and in order book. And the one caveat there is we don't know what they do with inventories through -- across the whole distribution channel. So they can"}, {"path": "tedlium_7066.wav", "duration": 11.97, "text": "just cycle through the oversupply. And we feel as consumer participation in cycling and consumer confidence remains as strong as it is, we don't see a long-term lingering effect on this business."}, {"path": "tedlium_7067.wav", "duration": 11.97, "text": "focused on the switch patients first. They're the patients who are already in the system, getting a treatment for Fabry disease are already receiving reimbursement. And as we focused on switch first and that's where we see the fastest uptick."}, {"path": "tedlium_7068.wav", "duration": 11.97, "text": "So I suspect that you're going to see an improvement in those relative numbers in the third quarter because I think film's going to be somewhat stronger as we move into third quarter than it was in the second quarter."}, {"path": "tedlium_7069.wav", "duration": 11.97, "text": "As always, I must thank our tremendous team for managing through such difficult year. We have many great opportunities in front of us as a company, and I appreciate the support from all of our customers, employees and investors."}, {"path": "tedlium_7070.wav", "duration": 11.97, "text": "While sales have been fairly flat for the past 3 quarters, we've also seen a consistent slowdown of redemptions, leading to improved net flows for this fund, although hybrid products remain in net outflows overall."}, {"path": "tedlium_7071.wav", "duration": 11.97, "text": "And I think that's just going to drive bad behavior and be really volatile for the consumer, and that's not something we want to do. So we're going to draw -- our strategy has been and right now will continue to be"}, {"path": "tedlium_7072.wav", "duration": 11.97, "text": "Jason and I will be in New York for an industry conference next week and in Miami the following week. You can find the details in our recent advisory announcement. We look forward to meeting you and discussing our plans further for the business at that time."}, {"path": "tedlium_7073.wav", "duration": 11.97, "text": "and seeks to go further and extend the GalXC platform to other tissues relevant to cardiometabolic diseases and to neurological tissues for the treatment of neurodegeneration and pain."}, {"path": "tedlium_7074.wav", "duration": 11.97, "text": "Also this gives us a better -- we now have a better ability to manage our inventories as one virtual -- eventually one virtual inventory for all of our stores and MBS wholesale"}, {"path": "tedlium_7075.wav", "duration": 11.97, "text": "Turning to our retirement business, annuity profitability has been a bright spot this year given a strong investment portfolio performance despite the challenging interest rate environment."}, {"path": "tedlium_7076.wav", "duration": 11.97, "text": "We are raising the bar in our marketing programs by increasing our presence across digital channels, architecting a new company website, and investing in social content to drive engagement with our homebuying community."}, {"path": "tedlium_7077.wav", "duration": 11.97, "text": "The value proposition regarding any da Vinci procedure is based upon the differentiated clinical value that can be offered to patients compared to other treatment alternatives, including economic factors."}, {"path": "tedlium_7078.wav", "duration": 11.97, "text": "towards our objective of stabilizing networking reducing year-end peaks in order to achieve a more efficient cash management throughout the year."}, {"path": "tedlium_7079.wav", "duration": 11.97, "text": "So it's possible that we will look at a different composition in our financial debt, increasing the level of bank loans because how the costs"}, {"path": "tedlium_7080.wav", "duration": 11.97, "text": "The increase in non-recurring service revenue has been the unfortunate side effect of the success we've had selling upmarket to many of the world's largest organizations."}, {"path": "tedlium_7081.wav", "duration": 11.97, "text": "I think it's -- this is Dan, again. I think it's probably a function of -- a certain amount it could be geographic because our northeast restaurants did very well."}, {"path": "tedlium_7082.wav", "duration": 11.97, "text": "The return to volume growth in fiscal '16 was a key driver fueling our top line, with improved volume growth in all regions and a significant turnaround in U.S. spirits."}, {"path": "tedlium_7083.wav", "duration": 11.97, "text": "We develop our own internal IRR and investment strategies based on what it takes for us to get a specific return of more than 25% after tax."}, {"path": "tedlium_7084.wav", "duration": 11.97, "text": "The second major OEM deal that I'm very happy to announce on this call is with Samsung, one of the largest manufacturers of smart TVs globally."}, {"path": "tedlium_7085.wav", "duration": 11.97, "text": "Earlier this month, an administrative law judge from the Pennsylvania Public Utility Commission recommended the commission approve this settlement. Action by the commission is expected later this year."}, {"path": "tedlium_7086.wav", "duration": 11.97, "text": "pork prices in the markets. But what we have seen recently then is that we've actually seen the pork prices improving over the last months. But I think that you are"}, {"path": "tedlium_7087.wav", "duration": 11.97, "text": "And in addition to that, are there any plans to centralize more of the collections and servicing and take that out of the branches?"}, {"path": "tedlium_7088.wav", "duration": 11.97, "text": "So overall, I would echo your words. From our standpoint, we had some isolated incidents clearly in the quarter that were unique to Kraton in terms of our costs and our operating"}, {"path": "tedlium_7089.wav", "duration": 11.97, "text": "Unit margins in our Specialty Polymers business were lower than the third quarter of 2017, and this was largely reflective of differences in raw material pricing and timing, which Steve will speak to in just a few minutes."}, {"path": "tedlium_7090.wav", "duration": 11.97, "text": "In summary, we're pleased with our results to date and the early traction on Sunrise benefits, although we have a significant amount of work in front of us as we return the company to its full earnings potential."}, {"path": "tedlium_7091.wav", "duration": 11.97, "text": "We reported record adjusted operating earnings in our asset management business, driven by strong net flows, market appreciation and stable average fee rates."}, {"path": "tedlium_7092.wav", "duration": 11.97, "text": "That's a great question, Jon. And it's one that we pay a lot of attention to. We have significant respect for both of our competitors"}, {"path": "tedlium_7093.wav", "duration": 11.97, "text": "Our claims operation remains an important focus area for us. Over the last several quarters, we have been pushing initiatives to reduce claims cycle time and to improve service, all while lowering costs."}, {"path": "tedlium_7094.wav", "duration": 11.97, "text": "the impact of mix on profitability. As you've heard me say before, an essential element of our long-term success has been our ability to consistently deliver profitable growth."}, {"path": "tedlium_7095.wav", "duration": 11.97, "text": "you have to put the product changes in place. And there's also some bigger things hanging out there that we continue to work on, that we think could have an impact on that even further out. So we're pretty excited about that because I think it's"}, {"path": "tedlium_7096.wav", "duration": 11.97, "text": "We continue to see margin compression from competitive pricing pressures and expect that it will impact segment results for the remainder of this year, but we're taking actions to improve those business elements we can control"}, {"path": "tedlium_7097.wav", "duration": 11.97, "text": "They didn't really get into the value drivers of the franchise or what we can continue to deliver going forward for our shareholders, right? What are we doing from more of a business operating results perspective?"}, {"path": "tedlium_7098.wav", "duration": 11.97, "text": "guess, what would be a good outcome in terms of production for each of those? Or even on a more general level, whether they be sufficient to arrest declines? And then just second one is,"}, {"path": "tedlium_7099.wav", "duration": 11.97, "text": "You got to sell it to a very large number of people you don't know, you have to sell it at a profit to the price you bought it from Herbalife, and then you have to get their name, address, phone number, email address and you have to have their signature."}, {"path": "tedlium_7100.wav", "duration": 11.97, "text": "Excluding this reclassification, the decline in gross profit margin was primarily driven by lower transactional volume, offset in part by productivity."}, {"path": "tedlium_7101.wav", "duration": 11.97, "text": "Other finance charges were broadly the same as last year, in line with our expectations, as lower pension charges offset the increased valuation of the Zacapa option."}, {"path": "tedlium_7102.wav", "duration": 11.97, "text": "We are confident in the modernized compliant system we have in place, and we will continue to make adjustments as appropriate to ensure quality and safety for our customers."}, {"path": "tedlium_7103.wav", "duration": 11.97, "text": "Reconciliation to the most directly comparable GAAP financial measures is included in the press release announcing our second quarter results. Those non-GAAP financial measures"}, {"path": "tedlium_7104.wav", "duration": 11.97, "text": "the recent offering of stock and warrants gives us the flexibility to initiate the confirmatory trials and continue other developments of IMMU-132 without interruption."}, {"path": "tedlium_7105.wav", "duration": 11.97, "text": "As you've heard us say, we see great opportunities on all areas of the business but specifically, we have increased our focus on home, beauty and ladies apparel."}, {"path": "tedlium_7106.wav", "duration": 11.97, "text": "well. After spending considerable time talking to many of you and asking for your feedback, for which I greatly appreciate the input, we have some good news. The good news is that the responses have been very consistent."}, {"path": "tedlium_7107.wav", "duration": 11.97, "text": "While we have reduced inventories at all of our locations, the opportunity to refill these locations is actually coming before harvest as farmers and commercial grain companies are making space for another year of large corn and bean crops."}, {"path": "tedlium_7108.wav", "duration": 11.97, "text": "which has a bit of a different margin profile. So while we continue to be pretty strong in terms of growth, we think our margins will be closer to the upper end of our stated range than what they've been over the last couple of quarters."}, {"path": "tedlium_7109.wav", "duration": 11.97, "text": "Our injectables business also grew over the prior year, and we continued to work with our customers to qualify the added capacity that has been installed earlier this year in Europe."}, {"path": "tedlium_7110.wav", "duration": 11.97, "text": "Given the relative stability of the euro relative to emerging currencies and our ability to match balance sheet liabilities against the euro, we view this exposure as a net positive for our currency mix."}, {"path": "tedlium_7111.wav", "duration": 11.97, "text": "pricing avoidance that occurred in the fourth quarter as I mentioned in an answer a few minutes ago. So I think that provides the dynamic where we'll see that play out and improve the second quarter and through the"}, {"path": "tedlium_7112.wav", "duration": 11.97, "text": "So far, most of the plants are now being -- starting to be launched, in the process of being launched."}, {"path": "tedlium_7113.wav", "duration": 11.97, "text": "which reflects the impact of the asset sales as well as price and performance-related reserves increases. Al will cover each of our guidance changes later."}, {"path": "tedlium_7114.wav", "duration": 11.97, "text": "can innovate them in ways that drive good profitability and do a fantastic job delighting the consumer. When you look at what we've done with our Conagra brands over the last 4 years,"}, {"path": "tedlium_7115.wav", "duration": 11.97, "text": "We prepared the bridge to first show Legacy Conagra EPS drivers followed by the Pinnacle adjusted operating profit and net incremental capital costs associated with the acquisition."}, {"path": "tedlium_7116.wav", "duration": 11.97, "text": "The addition of Pinnacle expands our presence in our most strategic categories, including frozen foods and snacks and brings together 2 complementary portfolios of iconic brands."}, {"path": "tedlium_7117.wav", "duration": 11.97, "text": "We successfully closed the transaction faster than originally expected. And frankly, I'm glad we've taken the reins. We've all seen the weak scanner data on key Pinnacle brands over the past several months."}, {"path": "tedlium_7118.wav", "duration": 11.97, "text": "Despite the environment-depressed commodity prices and much noise from energy policy discussions, we've worked consistently with our stakeholders to bring these projects to commercial reality."}, {"path": "tedlium_7119.wav", "duration": 11.97, "text": "with the CIOs. And I saw this over the last couple of weeks that you see the CIOs increasingly being drawn to be the -- almost the Chief Transformation Officer"}, {"path": "tedlium_7120.wav", "duration": 11.97, "text": "In fact, we employed it several quarters and we were so cautious in our issuance that we concluded -- that we hadn't been cost effective in it and turned it off"}, {"path": "tedlium_7121.wav", "duration": 11.97, "text": "We continue to believe that a longer acting Factor VII administered either by IV or subcutaneous administration could change the landscape by permitting children and adults to more easily self-administer at home,"}, {"path": "tedlium_7122.wav", "duration": 11.97, "text": "Right. And so how does the franchise agreement work? So for example, how do you get the Swiss franchisees to implement the new look? Do the franchise agreements"}, {"path": "tedlium_7123.wav", "duration": 11.97, "text": "And so we're creating a lot of efficiency but we're also creating the opportunity to handle product to markets that we haven't been able to handle in some of the smaller aircraft to this point."}, {"path": "tedlium_7124.wav", "duration": 11.97, "text": "the retrans that we have seen in diligence suggest that we have a significant advantage in retrans because we're not just negotiating for a really dominant station in a midsized market"}, {"path": "tedlium_7125.wav", "duration": 11.97, "text": "In Europe, the recent Touax acquisition has given us a head start on CapEx that would otherwise have -- be needed to capture the growth we are seeing in mainland Europe. And we will discuss this further later in the presentation."}, {"path": "tedlium_7126.wav", "duration": 11.97, "text": "And there is a small price lag there, and we saw that prices were still very good in the fourth quarter. So could you talk about the net price in each one of the regions"}, {"path": "tedlium_7127.wav", "duration": 11.97, "text": "We've seen in Davos the speech of the Chinese Premier. It seems that China is quite keen to fill that void, and then we'll have to see how does this pan out also in Europe,"}, {"path": "tedlium_7128.wav", "duration": 11.97, "text": "I look forward to doing a deep dive on our plan and providing a Q1 and fiscal 2017 outlook, as well as discussing how our plan will translate into long-term financial performance"}, {"path": "tedlium_7129.wav", "duration": 11.97, "text": "we continue to execute on our site consolidations. Our early efforts are focused on small and mid-sized locations with high infrastructure costs and an inherent dilutive impact to our margin ambitions."}, {"path": "tedlium_7130.wav", "duration": 11.97, "text": "about it then. And again, no different than the rest of our recurring revenue businesses. If we believe that -- and we do believe that we're optimistic about next year around new business bookings and retention."}, {"path": "tedlium_7131.wav", "duration": 11.97, "text": "in terms of our expenditures to pull that down. The biggest jump in the capital expenditure in '17 came from the specific brownfields investments we did, and that is behind us right now."}, {"path": "tedlium_7132.wav", "duration": 11.97, "text": "And then just one last quick one on the -- just your quick take on the FERC order on subsidized generation and capacity and"}, {"path": "tedlium_7133.wav", "duration": 11.97, "text": "and manufacturing teams and facilities. And so as we go from 2 or 3 launches a year to 5 or 6 launches a year, there's a lot of operating leverage"}, {"path": "tedlium_7134.wav", "duration": 11.97, "text": "No other product presently on the market can offer this value proposition. Work is underway to complete the 2 remaining Technical Sections required for approval of the New Animal Drug Application for Mast Out"}, {"path": "tedlium_7135.wav", "duration": 11.97, "text": "and we'll continue to get good leverage on the incremental volume. So I would anticipate the margin improvement to accelerate a little bit in 2016, basis of the incremental volume forecasted."}, {"path": "tedlium_7136.wav", "duration": 11.9699375, "text": "Looking at product trends on a consolidated basis, demand was equally strong across consumables and equipment systems, suggesting solid production volumes and capital investment in a tight labor market."}, {"path": "tedlium_7137.wav", "duration": 11.9699375, "text": "from customers and create long-term contracts where we own and operate the plant and sell industrial gases to the customers based on a fixed fee."}, {"path": "tedlium_7138.wav", "duration": 11.94, "text": "And basically, we've been very clear all along. For us, it's only interesting to look at acquisitions which improve our market's"}, {"path": "tedlium_7139.wav", "duration": 11.94, "text": "or over half the total value of the private portfolio, not including HZO, which historically was included in this list and was sold shortly after the quarter, as Kevin mentioned earlier."}, {"path": "tedlium_7140.wav", "duration": 11.94, "text": "We will then walk you through our financial results in more detail. And finally I'll return to provide color on our market outlook for the remainder of 2017 before opening the line for your questions."}, {"path": "tedlium_7141.wav", "duration": 11.94, "text": "move a lot faster and more innovative than ever. The World's Most Connected Company perfectly describes Syniverse. We developed the largest private network ever built"}, {"path": "tedlium_7142.wav", "duration": 11.94, "text": "Two things that make this firm great are our people and our culture. I truly believe we are creating new and unique opportunities to win in the market and our people are embracing this strategy."}, {"path": "tedlium_7143.wav", "duration": 11.94, "text": "do the current services contracts kind of extend through the entire CAF life cycle, and we might see some deflationary impact kind of as we hit another CAF deadline in years to come?"}, {"path": "tedlium_7144.wav", "duration": 11.94, "text": "The board and the Audit Committee launched an investigation to determine the facts of the situation. As a result of the investigation, the Audit Committee and their legal representation"}, {"path": "tedlium_7145.wav", "duration": 11.94, "text": "you can say that about. There's many, many commodity businesses, but Marvell is more than a commodity semiconductor company. It is a company that is steeped"}, {"path": "tedlium_7146.wav", "duration": 11.94, "text": "We undertake no obligation to publicly update or revise forward-looking statements to reflect subsequent events or circumstances after the date made, except as required by law."}, {"path": "tedlium_7147.wav", "duration": 11.94, "text": "This was not the case in previous years when managers who achieved certain targets related to our people culture could be promoted to Restaurateur despite the fact that the restaurants were not necessarily delivering excellent customer experience."}, {"path": "tedlium_7148.wav", "duration": 11.94, "text": "We'll have right number of sites to get the patients we need in the time we need. And I'm not advertising a particular number of sites, but you can be completely confident that we'll have the sites that we need."}, {"path": "tedlium_7149.wav", "duration": 11.94, "text": "what that will consist of is a completely blinded analysis of the variance in attack rate. We're pooling all of the data, and it's a check on the assumption around variance. The potential outcomes are"}, {"path": "tedlium_7150.wav", "duration": 11.94, "text": "We offer Community Banking services, composed of Retail and Corporate Banking, to individuals, local businesses, captive insurers, reinsurance companies, trust companies and hedge funds."}, {"path": "tedlium_7151.wav", "duration": 11.94, "text": "So that completes our financial update, and we're pleased to report results that were in line with our plans for the quarter, and we made progress in several important areas that better position us for the future."}, {"path": "tedlium_7152.wav", "duration": 11.94, "text": "seeing lots of competition from fixed rate lenders as the -- as rates start to go up, and we've had a good long run in the commercial real estate"}, {"path": "tedlium_7153.wav", "duration": 11.94, "text": "for the realization being negative 1 point? And what do you anticipate the difference between volume and revenue to be as you look out over the next couple of quarters?"}, {"path": "tedlium_7154.wav", "duration": 11.94, "text": "This will truly enable us to own the idea of what a healthy kitchen can be in products, food, recipes, content and experiences."}, {"path": "tedlium_7155.wav", "duration": 11.94, "text": "Each year, we bring one of our core values, Frontline First, to life by recognizing the outstanding efforts of those who make and market our products through our annual Ring of Stars celebration."}, {"path": "tedlium_7156.wav", "duration": 11.94, "text": "The interim results from Part 1 were very encouraging, especially considering this was a small number of patients, with frequent attacks, treated over a relatively short period."}, {"path": "tedlium_7157.wav", "duration": 11.94, "text": "So we've been experimenting in that space. What you're going to do is see us getting deeper penetration there from a couple of fronts. Frankly, some of our lead customers are actually starting to become more owners because they see"}, {"path": "tedlium_7158.wav", "duration": 11.94, "text": "So I do think that the market is changing and the competition would like to get back to the kind of earnings that they were making 10 years ago instead of over the last -- they've gotten used to over the last 5 years."}, {"path": "tedlium_7159.wav", "duration": 11.94, "text": "performance-based incentive fees that's going on this year, even though you are waiving a significant number and an increased amount in the third quarter."}, {"path": "tedlium_7160.wav", "duration": 11.94, "text": "For dialysis patients who are treated with peritoneal dialysis, which is a home-based modality, we expect the accessibility of roxadustat to make peritoneal dialysis more attractive for patients."}, {"path": "tedlium_7161.wav", "duration": 11.94, "text": "The restaurant is located in the midst of Orlando's new buttressing high-traffic and dining and shopping scene at Disney Springs. And we believe that this will be a very meaningful project for our company."}, {"path": "tedlium_7162.wav", "duration": 11.94, "text": "and are subject to the changes, risks and uncertainties described in today's press release and in our U.S. and Canadian securities filings. In addition,"}, {"path": "tedlium_7163.wav", "duration": 11.94, "text": "And it's not just air and rail where we're developing formats for future growth. The hospital channel is an important and very profitable business for us."}, {"path": "tedlium_7164.wav", "duration": 11.94, "text": "This is important for us to access low cost capital to opportunistically pursue attractive opportunities and to ensure customers who trust us with purchase commitments in the tens if not hundreds of millions of dollars"}, {"path": "tedlium_7165.wav", "duration": 11.94, "text": "This region has been a soft spot for us over the past 2 years. However, I'm pleased that we are building on the momentum we established last quarter, delivering sequential growth for the first time since I arrived 2 years ago."}, {"path": "tedlium_7166.wav", "duration": 11.94, "text": "This trend of controlling costs, while increasing revenue is very important for the future of the business. We continue to increase our backlog, which is also a good trend."}, {"path": "tedlium_7167.wav", "duration": 11.94, "text": "you may begin. Good morning. Thank you for joining us for today's Emmis Communications conference call regarding first quarter earnings. I want to extend a special welcome to all the Emmis employees who are joining us and listening in this morning."}, {"path": "tedlium_7168.wav", "duration": 11.94, "text": "we continue to evaluate possible new business activities that would generate income that would enable Syncora to utilize the NOLs. In connection with any new business effort, it"}, {"path": "tedlium_7169.wav", "duration": 11.94, "text": "And talking about the mission of the organization, getting people excited about the culture of the organization, the fact that it's one team, one fight goes a long way to unleashing the capability of the people we already have"}, {"path": "tedlium_7170.wav", "duration": 11.94, "text": "We will stick to our business model, focusing on technology that is used to design engineered solutions for customers and also generates an aftermarket business for us."}, {"path": "tedlium_7171.wav", "duration": 11.94, "text": "Pricing for irrigation equipment remains competitive but rational in both domestic and international markets, and we've continued to be successful in passing through material cost increases to the market."}, {"path": "tedlium_7172.wav", "duration": 11.94, "text": "Brazil pick up in the equipment markets based on more stable politics, but more recently, it seems to be reversing. From what you're seeing on the ground right now, do you see"}, {"path": "tedlium_7173.wav", "duration": 11.94, "text": "some of the change there, but we still continue to have a pretty healthy backlog in infrastructure. Regarding your question on inventory, the overall inventory is up compared to last year"}, {"path": "tedlium_7174.wav", "duration": 11.94, "text": "would save the average consumer 3 to 4x more than a price cap would. So those are the reasons why it's not a great outcome for households if that becomes the policy. I don't think it affects"}, {"path": "tedlium_7175.wav", "duration": 11.94, "text": "As we stated at the end of the first quarter call, it was our goal to be where we wanted to be at about the second to third week of June. We believe that our inventory is"}, {"path": "tedlium_7176.wav", "duration": 11.94, "text": "So what's happening now, when we talk about mechanization of the mine, we're starting to slowly mechanize some of the more conventional mining, which is on narrower vein structures"}, {"path": "tedlium_7177.wav", "duration": 11.94, "text": "have gone out of the broker protocol, has made it more difficult or is it actually spurring people trying to jump ahead of it or just how has that changed the nature of your recruiting effort recently?"}, {"path": "tedlium_7178.wav", "duration": 11.94, "text": "Sallie will be referencing these slides in her comments this morning. We plan on filing our 10-K later this afternoon and have already filed the 8-K this morning with some supplemental information."}, {"path": "tedlium_7179.wav", "duration": 11.94, "text": "Our borrowings under the revolver increased during the first quarter as a result of investments and working capital driven by payments to vendors and the timing of collections of receivables."}, {"path": "tedlium_7180.wav", "duration": 11.94, "text": "we believe that is actually the blueprint for working with more speed and working with more agility as a result across the whole company. And so we're going to use that blueprint"}, {"path": "tedlium_7181.wav", "duration": 11.94, "text": "The test for this is that our employees have a reasonable expectation of being impacted by this program and that's the test for when you -- is the trigger for the -- for putting the provision in place for that headcount reduction."}, {"path": "tedlium_7182.wav", "duration": 11.94, "text": "was recorded in the third quarter of 2015 as a result of notification by the EPA that Buckhorn is considered a potentially responsible party in connection with the New Idria mercury mine site"}, {"path": "tedlium_7183.wav", "duration": 11.94, "text": "The season pass results this spring represent our strongest absolute and percentage growth ever in our spring selling season and our strong indication of the compelling value of our season pass products,"}, {"path": "tedlium_7184.wav", "duration": 11.94, "text": "From a macro perspective, IT spending continues to be healthy with robust customer demand. The market remains competitive, but pricing remains rational and we continue to pass through commodities costs."}, {"path": "tedlium_7185.wav", "duration": 11.94, "text": "Acquired revenue growth from Acentia was offset by expected organic declines in the legacy MAXIMUS business. As we mentioned last quarter,"}, {"path": "tedlium_7186.wav", "duration": 11.94, "text": "As Rahul mentioned, our profitability was significantly impacted by cost pressures from the increase in fuel prices and the depreciation of the Indian rupee as well as from the competitive fare environment."}, {"path": "tedlium_7187.wav", "duration": 11.94, "text": "This guidance assumes revenue from an anticipated major new deal that the company expects to announce in the near future. It also assumes significantly higher revenues in the fourth quarter compared with the third quarter."}, {"path": "tedlium_7188.wav", "duration": 11.94, "text": "As you mentioned that, as time goes by, our competitors will pick up, but don't forget that Innolux keeps improving itself as well. We will make us"}, {"path": "tedlium_7189.wav", "duration": 11.94, "text": "The leisure and contract segments were led by our resort locations, including the Vail Marriott and Fort Lauderdale Westin as well as our Boston hotels."}, {"path": "tedlium_7190.wav", "duration": 11.94, "text": "We are looking both at initiatives to lower cost base long term, but obviously, also everyday cost control is very high on the agenda in Telenor these days."}, {"path": "tedlium_7191.wav", "duration": 11.94, "text": "This gives us flexibility to support our customer as they switch production to the Galaxy S7. Given our overall performance in the quarter and our view forward,"}, {"path": "tedlium_7192.wav", "duration": 11.94, "text": "As expected, we have seen our volume in lender-paid singles moderate, helping to rebalance our mix. We will continue to take a disciplined approach to this product segment."}, {"path": "tedlium_7193.wav", "duration": 11.94, "text": "Strong commercial and operational execution, combined with a low-cost manufacturing network and a tightening capacity environment, position the business to continue the momentum we have established."}, {"path": "tedlium_7194.wav", "duration": 11.94, "text": "it's a pretty logical effort to try to optimize your business, that you would try to use some contract manufacturing to maybe load assets that were underutilized, and we were the beneficiary of some business in that regard."}, {"path": "tedlium_7195.wav", "duration": 11.94, "text": "Jon, we thought a lot about the commercialization path. There is a lot of analysis going on, both using outside consulting firms and internal resources."}, {"path": "tedlium_7196.wav", "duration": 11.94, "text": "Investors are cautioned there are risks, uncertainties and other factors that may cause Kraton's actual performance to be significantly different from the expectations stated or implied by any forward-looking statements we make today."}, {"path": "tedlium_7197.wav", "duration": 11.94, "text": "These statements are based on current expectations of our estimates, projections and assumptions that are subject to risks and uncertainties, which may cause actual results to differ materially."}, {"path": "tedlium_7198.wav", "duration": 11.94, "text": "But the progress that we're making is going to be good for us. And with that opportunity out there to say, that hey, let's go look at other options right now versus stick to our guns and finish what we started"}, {"path": "tedlium_7199.wav", "duration": 11.94, "text": "But it will -- it is a key lever as we think about the supply chain and simplifying our product offerings as part of that activity allows us to get at costs and simplify what we're doing in the plants."}, {"path": "tedlium_7200.wav", "duration": 11.94, "text": "But in terms of what the revenues we take in, it really doesn't move all that much, as you can see looking at history. And Walt, maybe you'll take the question on the longer-lead projects."}, {"path": "tedlium_7201.wav", "duration": 11.94, "text": "This represents good validation of our product line and it's exciting to see the batteries gained traction. Meanwhile, many other companies continue to test our batteries."}, {"path": "tedlium_7202.wav", "duration": 11.94, "text": "It took a full year from the RFP issuance to inking the deal. And as you would expect, competition was heavy. We won because of our experience and Connected Campus solution."}, {"path": "tedlium_7203.wav", "duration": 11.94, "text": "I'm curious if you can clarify whether that is from the currently elevated levels that we have seen or from a more normal level of growth that you would have previously seen and probably expect to get back to anyway."}, {"path": "tedlium_7204.wav", "duration": 11.94, "text": "That generally will work itself out over the course of the year as it typically does. And so I don't think you should look at Q1 cash flow really and annualize that. That wouldn't be a typical way to do it."}, {"path": "tedlium_7205.wav", "duration": 11.94, "text": "Lower average realizations were more than offset by lower costs, primarily for forestry and roads. We typically do less forestry activity and roadbuilding during the cold winter months."}, {"path": "tedlium_7206.wav", "duration": 11.94, "text": "the timing and amount of estimated future production, cost of production, capital expenditures, future metal prices and the cost and timing of the development of new projects."}, {"path": "tedlium_7207.wav", "duration": 11.94, "text": "operational improvement efforts in the first quarter to increase -- in the first half of the year to increase recoveries in throughput, and we expect the second half of the year to be significantly better than the first half of the year"}, {"path": "tedlium_7208.wav", "duration": 11.94, "text": "since the deal closed in late July, we have restructured our business development in sales operations to leverage our expanded product and geographic reach and consolidated offices in locations"}, {"path": "tedlium_7209.wav", "duration": 11.94, "text": "As the global leader in video games, we are focused on having the greatest selection of titles and expanding the breadth of available software by working with our publishing partners to bring even more titles to market."}, {"path": "tedlium_7210.wav", "duration": 11.94, "text": "we've been very able over the past, as we reflected to you to adjust our expense base appropriately, slowdown investment, slow down some of the things that we just"}, {"path": "tedlium_7211.wav", "duration": 11.94, "text": "This includes enhancing our digital and financial planning capabilities as well as upgrading to an advanced CRM system so our advisers can work in an even more integrated way with their clients."}, {"path": "tedlium_7212.wav", "duration": 11.94, "text": "The additional arms include one where we dose varli at lower dose but more frequently and the second, where we dose at a higher level that allow more time for clearance before retreatment. The study now includes"}, {"path": "tedlium_7213.wav", "duration": 11.94, "text": "This is a mechanism that the payer will use to hold off reimbursing a new medical product until they feel there is enough information and interest in the product to approve it for payment."}, {"path": "tedlium_7214.wav", "duration": 11.94, "text": "During the quarter, we also started the marketing process for the sale of 4 additional noncore assets as the initial part of Phase 2 of our capital recycling program."}, {"path": "tedlium_7215.wav", "duration": 11.94, "text": "So as Rich mentioned, we did see our segment operating loss on an absolute number increase. But if you remove the restructuring charge, segment operating loss from Rest of the World"}, {"path": "tedlium_7216.wav", "duration": 11.94, "text": "How long does it take to consume the inventory? It really depends on many factors, price fluctuations and consumption level and seasonal fluctuations,"}, {"path": "tedlium_7217.wav", "duration": 11.94, "text": "Consequently, you should not rely on these forward-looking statements as predictions of future events. Statements made during this conference call are made as of the date of this call, and the company undertakes no obligation to update or revise any forward-looking statements,"}, {"path": "tedlium_7218.wav", "duration": 11.94, "text": "We believe that these positive top line trends are a testament to our relentless focus on driving operational excellence and delivering a consistent 5 star experience to our customers."}, {"path": "tedlium_7219.wav", "duration": 11.94, "text": "strength in your Medicare Advantage business inside the IRF. And I'm going to ask this question in the context of transformation of payer and"}, {"path": "tedlium_7220.wav", "duration": 11.94, "text": "Global demand and processing margins remain very strong for all things protein, and the ethanol industry should participate in that going forward, as we raise the protein levels for the products we produce through various technologies."}, {"path": "tedlium_7221.wav", "duration": 11.94, "text": "highway transitioning work that needs to be done, which will inhibit the ability to access the highway for a short period. So there are some of those assumptions in our plan,"}, {"path": "tedlium_7222.wav", "duration": 11.94, "text": "As we look at our outlet and off-price business, our primary goal was to see that the surplus of inventory was moved out and that we are more thoughtful about managing the flow of merchandise into this channel."}, {"path": "tedlium_7223.wav", "duration": 11.94, "text": "Earlier this year, we described plans to use most of the proceeds from these asset sales to enhance and accelerate, both our debt reduction plans and shareholder distributions."}, {"path": "tedlium_7224.wav", "duration": 11.94, "text": "But it certainly sounded to us that you thought maybe initially that some of that Pinnacle margin opportunity could be delivered upon under Conagra's ownership. So it certainly doesn't seem like that's the case at this point."}, {"path": "tedlium_7225.wav", "duration": 11.94, "text": "And when the consumer is hyper-passionate about a space as they are about spiralized, you just can't opt out, you've got to give the consumer what they want and figure the margin challenge out as you go. If you opt out,"}, {"path": "tedlium_7226.wav", "duration": 11.94, "text": "We're aligning our supply chains to capitalize on new opportunities, and we're managing the customer outage announced earlier this year. Grace's strong performance continued through the second quarter,"}, {"path": "tedlium_7227.wav", "duration": 11.94, "text": "The timing of the company's originations can vary from period to period. Over time, we believe that the addition of Berkeley Point will significantly increase the scale and scope of our Real Estate Services business,"}, {"path": "tedlium_7228.wav", "duration": 11.94, "text": "a retailer that is adding 15% store growth last year and they're going to add 15% store growth next year. We have another account that is"}, {"path": "tedlium_7229.wav", "duration": 11.94, "text": "Our Permian frac business seemed to encounter the bulk of the delays with several of our jobs pushing into late Q1 and into Q2. The Permian Basin has been a magnet"}, {"path": "tedlium_7230.wav", "duration": 11.94, "text": "to operate flight segments, so the air space is getting less and less efficient. Our air traffic controllers do a wonderful job of keeping"}, {"path": "tedlium_7231.wav", "duration": 11.94, "text": "joined a small group of 15 other local television reporters for a private dinner at the White House with President Trump and his Chief of Staff and his press team ahead of his speech to Congress."}, {"path": "tedlium_7232.wav", "duration": 11.94, "text": "We don't fight City Hall. We don't make political donations, so we are very ambivalent, agnostic to whatever political parties may be in office in any country that we're in."}, {"path": "tedlium_7233.wav", "duration": 11.94, "text": "That's a good question. We are not ruling out any options, but having said that, a couple of points I want to make. A, this is something which we have done all the heavy lifting in the last couple of years."}, {"path": "tedlium_7234.wav", "duration": 11.94, "text": "Let me conclude by sharing with you what we see in our future. Our absolute priority is to drive profitability growth and do so in a manner that is reproducible and lasting."}, {"path": "tedlium_7235.wav", "duration": 11.94, "text": "We also, in the last few years, have been working aggressively to apply technology to help us perform a lot of the work that goes on in our grading plants. So"}, {"path": "tedlium_7236.wav", "duration": 11.94, "text": "has an opportunity of creating more incremental margin even though for the State Department it may be somewhat lower than the margin we get from selling at retail."}, {"path": "tedlium_7237.wav", "duration": 11.9399375, "text": "To me, the most important thing at this point is to get the sentiment of the organization up, particularly the sales organization so that they're translating that supply into revenue acceleration."}, {"path": "tedlium_7238.wav", "duration": 11.9100625, "text": "In terms of the -- quantifying what might the risk be, it's really a function of 2 variables here. The first variable is how steeply does that go up"}, {"path": "tedlium_7239.wav", "duration": 11.91, "text": "We believe we're making solid strides in both these areas, beginning with applying metrics to many aspects of the business and designing a formalized operating system to maximize quality performance."}, {"path": "tedlium_7240.wav", "duration": 11.91, "text": "we didn't agree to a definitive plan. We agreed to work on prospects for that. We've actually made a proposal for a plant to them."}, {"path": "tedlium_7241.wav", "duration": 11.91, "text": "I want to mention an exciting new initiative that we announced last week, our Disruptive Innovators Team. We call it a team rather than a practice because their work cuts across all industries."}, {"path": "tedlium_7242.wav", "duration": 11.91, "text": "growth. I just say it seems to not vary quite as much as it did last year. We seem to have like I said, less variance in our daily numbers that we see from our hotels and our week-to-week"}, {"path": "tedlium_7243.wav", "duration": 11.91, "text": "I don't know, Tim, if you've got any other comments around that you want to make? No, I think that we see value in continuing that. We continue to invest in the midstream, so I think there's a growth dimension to that. So"}, {"path": "tedlium_7244.wav", "duration": 11.91, "text": "In our international operations, we are building a team of leading industry experts that have already demonstrated the ability to profitably build businesses in various geographic markets."}, {"path": "tedlium_7245.wav", "duration": 11.91, "text": "It's driven due to the increase in the New Jersey state tax rate. Specifically the state has clarified its tax rules, which eliminated some benefit we were anticipating."}, {"path": "tedlium_7246.wav", "duration": 11.91, "text": "Fourth, we will migrate our global consumer systems and customer and consumer support systems using standard application services and cloud data services and operate them on the public cloud."}, {"path": "tedlium_7247.wav", "duration": 11.91, "text": "These forward-looking statements are subject to uncertainties and other factors that could cause actual results to differ materially from such statements. Please see our public filings, including our annual information form"}, {"path": "tedlium_7248.wav", "duration": 11.91, "text": "Revenue from mobile phones fell from the previous year. This is due to a significant reduction in units shipped for feature phones in the Raku-Raku series."}, {"path": "tedlium_7249.wav", "duration": 11.91, "text": "Our success in part has been due to a constant belief in the value of active management, the importance of financial planning and meeting clients' goals and objectives and the steadfast commitment of our employees."}, {"path": "tedlium_7250.wav", "duration": 11.91, "text": "Health plan and corporate staff have worked together to address the root causes of the utilization management issues that contributed to our first quarter results. We are pleased with our progress to date."}, {"path": "tedlium_7251.wav", "duration": 11.91, "text": "During the first quarter, we discussed the substantial growth in our enrollment and the stresses that this growth placed upon in our information technology and medical management infrastructure."}, {"path": "tedlium_7252.wav", "duration": 11.91, "text": "We have spoken at length about how our wholesale margins are impacted by terms discount from our suppliers, whereby the value our pump payment discount declined as the absolute price of the underlying commodity is lower."}, {"path": "tedlium_7253.wav", "duration": 11.91, "text": "to be paid later in this fiscal -- third fiscal quarter. We are looking forward to completing the acquisition of Brocade, which is proceeding as planned. And subject to the satisfaction of the remaining closing conditions,"}, {"path": "tedlium_7254.wav", "duration": 11.91, "text": "Let me start by going over a few regulatory matters. I'd like to note that during our opening remarks and in response to your questions, we may make forward-looking statements regarding future events or the future financial performance of the company."}, {"path": "tedlium_7255.wav", "duration": 11.91, "text": "as of June 30. In the first half of 2016, we had no major CapEx. The amount of fixed asset went down compared to last year. We only recognized amortization."}, {"path": "tedlium_7256.wav", "duration": 11.91, "text": "the platform that would be necessary in order to execute that kind of execution, simply as an example. So what we're thinking"}, {"path": "tedlium_7257.wav", "duration": 11.91, "text": "In addition, we continue to have 100% share of the potassium chloride liquid market and have been growing our potassium powder market share nicely."}, {"path": "tedlium_7258.wav", "duration": 11.91, "text": "research in gene therapy capabilities, which greatly advances our commitment to world-class science that makes a meaningful difference in the lives of people living with rare metabolic diseases."}, {"path": "tedlium_7259.wav", "duration": 11.91, "text": "We'll continue to focus on and build critical mass in our emerging hubs while ensuring we go for all sensible opportunities to further grow the business internationally."}, {"path": "tedlium_7260.wav", "duration": 11.91, "text": "along with other investments in the business in the second half of the year, while staying on track to achieve our non-GAAP operating margin target of approximately 21% this year."}, {"path": "tedlium_7261.wav", "duration": 11.91, "text": "There are still good transitional multifamily loans out there to be done, and we are focused on building our portfolio with Blackstone but only when the sponsor and deal fundamentals meet our standards."}, {"path": "tedlium_7262.wav", "duration": 11.91, "text": "followed by solid growth in both drug delivery systems and medical consumables. Organic growth in oral care was down slightly, as the business continued to be impacted"}, {"path": "tedlium_7263.wav", "duration": 11.91, "text": "team work and focus on delivering excellent performance today and for the long term on behalf of our clients and investors. A big thank you again to all of our colleagues."}, {"path": "tedlium_7264.wav", "duration": 11.91, "text": "I will start by noting that our total revenues are positively correlated to global industrial production and not any one individual end market,"}, {"path": "tedlium_7265.wav", "duration": 11.91, "text": "We ended the year in alignment with our long-term operating plan with a larger and more profitable homebuilding operation. We remain confident in our ability to drive further improvement in our business."}, {"path": "tedlium_7266.wav", "duration": 11.91, "text": "The well we highlighted when introducing the Woodford, the Curry 21, is a fascinating well that continues to demonstrate a very low decline rate, particularly considering that it is a shale reservoir."}, {"path": "tedlium_7267.wav", "duration": 11.91, "text": "Consumer interest and demand for responsible brands is consistently increasing. And those of our brands which meet the highest standards that we set for our social and environmental impact"}, {"path": "tedlium_7268.wav", "duration": 11.91, "text": "And finally, our localization efforts now impact about 85% of our assortment and are having a positive impact on sales as well as reducing inventory levels at the same time."}, {"path": "tedlium_7269.wav", "duration": 11.91, "text": "So I think we've built a wonderful foundation, it's deployed across 14 markets. And growth in the future will come from rapid scaling within those markets, introducing new markets,"}, {"path": "tedlium_7270.wav", "duration": 11.91, "text": "This enables us both to extend our cash runway guidance and to invest diligently both in GEN-011 and in prudent GEN-009 clinical trial scale-up."}, {"path": "tedlium_7271.wav", "duration": 11.91, "text": "But before -- as I have said, our work will be funded by these partners, and our commercial opportunities must be known before moving forward."}, {"path": "tedlium_7272.wav", "duration": 11.91, "text": "As the market leader, we will continue to innovate by seeking to improve the clinical profile and expand the clinical utility of LINZESS to better serve an even broader patient population."}, {"path": "tedlium_7273.wav", "duration": 11.91, "text": "It is, however, noteworthy to mention that Pioneer Foods continues to make excellent progress with improving water efficiency across all South African businesses and not only in the Western Cape."}, {"path": "tedlium_7274.wav", "duration": 11.91, "text": "But clearly, this is a big change for them, canceling an entire program. And the implications that's going to have on consumers on their buying habits is pretty unclear to us."}, {"path": "tedlium_7275.wav", "duration": 11.91, "text": "While we're not fundamentally opposed to a more transformational sort of transaction, we are that much more cautious as we believe the relative risks of such a transaction are much greater."}, {"path": "tedlium_7276.wav", "duration": 11.91, "text": "Cash flow has remained solid despite some CapEx expenditures for adding molecular diagnostic manufacturing at Life Sciences and testing capabilities at the Clinical Laboratory."}, {"path": "tedlium_7277.wav", "duration": 11.91, "text": "And then Beth, maybe you can just comment on the balance sheets and your guidance of ending the year at 3x to 3.4x. Does that include an assumption for executing on"}, {"path": "tedlium_7278.wav", "duration": 11.91, "text": "increase in rental revenues was primarily due to an increase in the amount of equipment on rent as well as an increase in rental rates that was partially offset by a decrease in time utilization."}, {"path": "tedlium_7279.wav", "duration": 11.91, "text": "Last mile in Canada is down a little bit, and this is just because what we've done with a group of customers is we moved these guys from air service to ground."}, {"path": "tedlium_7280.wav", "duration": 11.91, "text": "Thank you all for participating in our quarterly conference call today. Please feel free to contact us directly should you have any further questions. Thank you very much."}, {"path": "tedlium_7281.wav", "duration": 11.91, "text": "And discussions with key opinion leaders and regulators about a possible accelerated pathway for the innovative antibiotic VIBATIV are continuing."}, {"path": "tedlium_7282.wav", "duration": 11.91, "text": "And we've got to be more flexible to meet their needs. We've got to make sure our Shacks can provide that, and that is what we're working on for the long term. When it comes to kiosks, it's absolutely one of our goals,"}, {"path": "tedlium_7283.wav", "duration": 11.91, "text": "they understand our customers and they're very enthusiastic about building a plan for Chek that allows us to represent what they do now really, really well, to explore where we think there's opportunities in the market."}, {"path": "tedlium_7284.wav", "duration": 11.91, "text": "We remain focused on delivering operational excellence and industry-leading performance to fully capitalize on a wide range of market conditions and drive superior value for our shareholders."}, {"path": "tedlium_7285.wav", "duration": 11.91, "text": "On the cost side, we have been successfully implementing actions to improve efficiency in the distribution system through the consolidation of several distribution centers in multiple cities."}, {"path": "tedlium_7286.wav", "duration": 11.91, "text": "As clients both de-lever and save more, the deposit side of our balance sheet is growing very strongly. And as a result, you'll see all of our liquidity metrics are in excellent shape."}, {"path": "tedlium_7287.wav", "duration": 11.91, "text": "I'm pleased to report that PayPal had another strong quarter ending 2018 with a record-breaking growth across a number of key customer and financial metrics."}, {"path": "tedlium_7288.wav", "duration": 11.91, "text": "kind of Canadian-centric solutions to their customers that the Toronto folks are able to support. The inverse of that also applies where"}, {"path": "tedlium_7289.wav", "duration": 11.91, "text": "the fact that we brought in a very experienced leader to oversee and manage this project to completion, the fact that we've added additional resources"}, {"path": "tedlium_7290.wav", "duration": 11.91, "text": "we're certainly going to be looking at ways to be able to appropriately deploy that cash. Dividend has always been important for us, and I can tell you we're committed to a growing dividend."}, {"path": "tedlium_7291.wav", "duration": 11.91, "text": "We will keep you posted on our progress as the marketing process for the initial phase of Phase 2 unfolds as well as any progress made on the subsequent set of assets in the months ahead."}, {"path": "tedlium_7292.wav", "duration": 11.91, "text": "and these included capacity management measures where we closed our Milford, Massachusetts facility in March and have since seen a competitor announce a further plant closure."}, {"path": "tedlium_7293.wav", "duration": 11.91, "text": "So I think going forward, you'll hear more specifically, around the metrics, not only of downloads but also usage of the service."}, {"path": "tedlium_7294.wav", "duration": 11.91, "text": "Thank you, Shelby, and welcome to our second quarter earnings release conference call. This conference call is being broadcast live to the public over the Internet, and slides will accompany our remarks."}, {"path": "tedlium_7295.wav", "duration": 11.91, "text": "As our business leaders prepare for the annual plan in the coming months, I have challenged the groups with identifying new ways to expand revenues and focus on productivity initiatives."}, {"path": "tedlium_7296.wav", "duration": 11.91, "text": "the operating expenses associated with each of our business lines are included in the returns that we give, the projections for the business line. So that number is just a component of our overall expenses."}, {"path": "tedlium_7297.wav", "duration": 11.91, "text": "It's obviously still very early days in this mission, but every quarter, we continue to get closer. And Q3 results were another sign that this approach drives real results, as demonstrated by our 80% growth in core revenue."}, {"path": "tedlium_7298.wav", "duration": 11.91, "text": "We believe CapEx synergies exist for the combined business but will take some time to materialize. The benefit of our facility rationalization plan is also a real long-term opportunity."}, {"path": "tedlium_7299.wav", "duration": 11.91, "text": "At a comparable discount rate at 15 months ago, and at the same volume of pension commitments, our equity ratio is now significantly higher."}, {"path": "tedlium_7300.wav", "duration": 11.91, "text": "If you haven't already accessed it, it will be a useful tool to help you follow along during the call. You can find the presentation in the Investor Information section of triconcapital.com under Events and Presentations."}, {"path": "tedlium_7301.wav", "duration": 11.91, "text": "quarter, with 3 of the 4 Chinese mobile guys and what we see from them is more interest in doing more automation, more interest in doing more sophisticated"}, {"path": "tedlium_7302.wav", "duration": 11.91, "text": "During our first quarter 2015 conference call, we outlined some new metrics, which we thought would be useful to monitor our progress going forward as a direct sales and marketing company."}, {"path": "tedlium_7303.wav", "duration": 11.91, "text": "fair value accounting, most of which is the MSRs, which, as we noted, increase in value in a rising rate environment. Now turning to investment capacity in our small balance commercial space, it remains robust."}, {"path": "tedlium_7304.wav", "duration": 11.91, "text": "we would still have very strong ratings given where we're starting from. We think that's one of the things that differentiates us from some of the others in the industry and when you're coming from a 24% or 25% net debt"}, {"path": "tedlium_7305.wav", "duration": 11.91, "text": "and that's been a clear focus of mine throughout my whole career, and it will continue to be. Run the plant safely, reliably and very efficiently."}, {"path": "tedlium_7306.wav", "duration": 11.91, "text": "But acceptable for the risk because of extending the economics for knowing the business, having some ability to, if we needed to take more active approach,"}, {"path": "tedlium_7307.wav", "duration": 11.91, "text": "That is above what we need in order to hold our revenues. But again, it's going to take a little bit of time before these programs start phasing in. Typical lead time from the award"}, {"path": "tedlium_7308.wav", "duration": 11.91, "text": "and with a very positive outlook. And when you look at the start data, which is part of why we emphasized it in our materials, it would suggest that we're returning to another wave of growth in this long recovery."}, {"path": "tedlium_7309.wav", "duration": 11.91, "text": "These results reflect the strength of our operational teams and diverse product offerings across our broad national footprint as well as a strong spring selling season."}, {"path": "tedlium_7310.wav", "duration": 11.91, "text": "certainly well in excess of many of your GCIB peers. I was hoping you could speak to your capacity or appetite to maybe redeem some of those preferreds and how we could possibly think about the timing of redemptions and the associated savings."}, {"path": "tedlium_7311.wav", "duration": 11.91, "text": "The continued volatility in our oilfield sector reinforces our belief that we are on the right path to return the company to profitability by diversifying our revenue streams and reducing our reliance on the oil and gas industry."}, {"path": "tedlium_7312.wav", "duration": 11.91, "text": "the second story for VA does provide confidence for the franchise going forward. BioFlo sales continue to grow across all product offerings, and sales of our recently launched products have been positive."}, {"path": "tedlium_7313.wav", "duration": 11.91, "text": "well, especially looking for extended terms and time on our payables. Our mix of business may impact accounts receivable a little bit. So no material changes"}, {"path": "tedlium_7314.wav", "duration": 11.91, "text": "As you know, exports from Brazil were very much reduced during this period than competitors from other regions of the world that produce pulp."}, {"path": "tedlium_7315.wav", "duration": 11.91, "text": "growth and reach profitability. I know our sales will continue to increase, we will continue to reduce our costs and we will run the business with a high degree of"}, {"path": "tedlium_7316.wav", "duration": 11.91, "text": "we are actively evaluating acquisition opportunities in a target rich environment that will complement our existing midstream footprint across multiple basins. I'll speak more about our near-term plans at the end of the call."}, {"path": "tedlium_7317.wav", "duration": 11.91, "text": "people who are watching content on our service. So I think that's a great step in the right direction, especially with the redesign, but you'll see a lot more this year. We've been chopping a lot of wood on that for a long time, as you know."}, {"path": "tedlium_7318.wav", "duration": 11.91, "text": "as our different products can have very different retention rates because of the market segment characteristics. And so we take into account our anticipated revenue growth in these various offerings."}, {"path": "tedlium_7319.wav", "duration": 11.91, "text": "Through the launch of our direct distribution model in Europe, we have unlocked demand and have significantly grown our business across EMEA. We believe further investments this year in key areas such as sales,"}, {"path": "tedlium_7320.wav", "duration": 11.91, "text": "As you can see on Slide 17 by the end of ENLIGHTEN-2 both groups had experienced clinically meaningful improvements in PANSS scores with the patients considered to be mildly ill based on these scores."}, {"path": "tedlium_7321.wav", "duration": 11.9099375, "text": "We are adept at developing flexible working arrangements, which have become increasingly important to our clients. Higher revenue will drive margin expansion as will efficiency initiatives."}, {"path": "tedlium_7322.wav", "duration": 11.88, "text": "in the Eagle Ford, and we want to make sure that these wells are going to perform up to our standards before we jump into that development. But for the long-term, this could have a very significant impact on the company because as I said, we've got"}, {"path": "tedlium_7323.wav", "duration": 11.88, "text": "First, as you have seen in the Q4 '15 results and the press release issued on Wednesday, we have aligned our operating segments to our strategic pillars. This lines up our reporting structure with how we review the business."}, {"path": "tedlium_7324.wav", "duration": 11.88, "text": "underwriting margins and underwriting profitability versus expected growth, which is generally driving whether we can return surplus capital. And that balance may change going forwards. And return on equity,"}, {"path": "tedlium_7325.wav", "duration": 11.88, "text": "As well, our commitment to developing our digital platform provides the opportunity to anticipate the changes in the business model while the industry adopts existing ideas."}, {"path": "tedlium_7326.wav", "duration": 11.88, "text": "This call is being webcast and a replay will be available on our website. Also available on the website are our prepared remarks, supplemental tables and an updated Investor presentation."}, {"path": "tedlium_7327.wav", "duration": 11.88, "text": "This is also likely to be through a mix of technologies going forward as business case benefits will determine which technology should be used in which area."}, {"path": "tedlium_7328.wav", "duration": 11.88, "text": "Classroom navigation, including content and related study materials is simplified and easily accessible via a hyperlink with significant focus on step-by-step learning versus assignment completion."}, {"path": "tedlium_7329.wav", "duration": 11.88, "text": "One update is that we continue negotiations with major national retailers for the remaining Target space, and while the replacement of the income at the 3 properties vacated by Target takes time, we are making solid progress."}, {"path": "tedlium_7330.wav", "duration": 11.88, "text": "actually is when those shares vest throughout 2017. But again, some of those shares were granted at much higher prices so the benefits that went through the income statement"}, {"path": "tedlium_7331.wav", "duration": 11.88, "text": "So I guess when you think about, just through the back half of the year and maybe longer term, are those the type of acquisitions you're targeting, or would you consider an asset or a system that doesn't necessarily fit with the portfolio that you have today?"}, {"path": "tedlium_7332.wav", "duration": 11.88, "text": "while still meeting or exceeding our medium-term financial objectives. That said, we expect to remain in our core markets across the Caribbean region."}, {"path": "tedlium_7333.wav", "duration": 11.88, "text": "there's several customers that we're working with that are looking at going back to a more of a full-service supplier. And I think there's the benefits, one, from a cost efficiency standpoint that our customers will see,"}, {"path": "tedlium_7334.wav", "duration": 11.88, "text": "drops through doesn't necessarily happen on a straight line one way or the other. But as we sit here today, especially when we look at the -- just the pace of the investments we've made in the technology"}, {"path": "tedlium_7335.wav", "duration": 11.88, "text": "We're also pleased to report that the volume of tests processed per day increased each month during quarter 1, so there is good solid momentum in the business."}, {"path": "tedlium_7336.wav", "duration": 11.88, "text": "and we are enhancing our construction offering with the acquisition of PlanGrid. First, let's look at ARR, which is the best proxy for measuring progress in our business model transition and the overall health of our business."}, {"path": "tedlium_7337.wav", "duration": 11.88, "text": "are in that category. So you'll see us getting more awareness in that space simply because some of our customers are starting to participate more in that part of the market."}, {"path": "tedlium_7338.wav", "duration": 11.88, "text": "The other is, is that, we go on with a more targeted approach towards which cities are built. I think it's a fairly broad-brush approach"}, {"path": "tedlium_7339.wav", "duration": 11.88, "text": "During the first quarter, we launched a toll-free line for our catering offering and have also been testing delivery and online programs to further support this initiative."}, {"path": "tedlium_7340.wav", "duration": 11.88, "text": "The decrease in 2017 was primarily due to the realignment of our sales force, refinement of our marketing and promotional programs and continued cost control initiatives."}, {"path": "tedlium_7341.wav", "duration": 11.88, "text": "when we went into a very strong season and then had a big slowdown. Because everybody looks at last year to see what it was in September, as we announced on the third quarter conference call last year was the holdup in the quarter."}, {"path": "tedlium_7342.wav", "duration": 11.88, "text": "And then, obviously, when you bring in customers like a Peterbilt as first adopters, they've been able to demonstrate that this is going to be a successful product and"}, {"path": "tedlium_7343.wav", "duration": 11.88, "text": "fourth quarter to the first quarter, but it will be relatively modest because a number of the actions that we took during late '15, those costs will flow into '16 as well. So"}, {"path": "tedlium_7344.wav", "duration": 11.88, "text": "how easy is that to do on an operation and manufacturing perspective? And then a follow-up to that would be, Cliff, how often do you and the board discuss portfolio shaping?"}, {"path": "tedlium_7345.wav", "duration": 11.88, "text": "We'll not deviate from taking tough decisions just to flatter results in the short term. We did this in the past, and it led to many a failed restructuring."}, {"path": "tedlium_7346.wav", "duration": 11.88, "text": "This is a decrease of 90,000 units compared to our previous forecast and reflects the fact that difficult market environments persist in Asia, especially China and South America."}, {"path": "tedlium_7347.wav", "duration": 11.88, "text": "As we look to the future, we believe the changes we have made can put us in a better position to successfully drive recurring revenue and margin expansion."}, {"path": "tedlium_7348.wav", "duration": 11.88, "text": "lack of purchasing power there or getting worse churns because your volumes are getting down or can you say anything about how these lost volumes impact your"}, {"path": "tedlium_7349.wav", "duration": 11.88, "text": "This quarter represents another significant step toward improving Perceptron through our long-term strategic growth and diversification objectives as well as continued cost reductions."}, {"path": "tedlium_7350.wav", "duration": 11.88, "text": "Both of these updates to new products support the first 2 cornerstones of our strategic plan, continuously investing in our engineering efforts as well as broadening our product line."}, {"path": "tedlium_7351.wav", "duration": 11.88, "text": "which we're seeing a major carrier move away from unit trains, that's a huge problem for moving sand, right. So makes it very difficult for that sand to end up in the marketplace at the right price."}, {"path": "tedlium_7352.wav", "duration": 11.88, "text": "Like to thank you for your time and attention today and we're very, very happy to questions firstly from the floor and then we'll go to the line, so the people who have dialed in."}, {"path": "tedlium_7353.wav", "duration": 11.88, "text": "This concludes today's call. Thank you for your participation. You may now disconnect."}, {"path": "tedlium_7354.wav", "duration": 11.88, "text": "As I mentioned briefly a bit earlier, various makers are entering this area with a variety of brands, making for a very competitive market."}, {"path": "tedlium_7355.wav", "duration": 11.88, "text": "What's the mechanism to get the rest of the fleet that was already in the field to see those kinds of price increases? I'm just wondering if there is any sort of timing on customer agreements and contracts that"}, {"path": "tedlium_7356.wav", "duration": 11.88, "text": "we wanted to provide you with some more insight into their historical financial performance, which we have carefully vetted and discussed at length with their management team."}, {"path": "tedlium_7357.wav", "duration": 11.88, "text": "We are also pursuing several options to expand our capacity, which we hope to report on in the coming quarters. I will now turn the call over to Troy to provide greater detail on our financial results."}, {"path": "tedlium_7358.wav", "duration": 11.88, "text": "the same types of trends that you've seen in the past, subject to CCAR. So that hopefully does mean increase in dividends and whatever the difference is in terms of buybacks. So"}, {"path": "tedlium_7359.wav", "duration": 11.88, "text": "Given that this was a nonrecurring situation experienced by the company in March that we believe that the effective rate will return to historical levels as of April."}, {"path": "tedlium_7360.wav", "duration": 11.88, "text": "probably a mix of smaller than what we -- the last couple that we've announced, those are highlighted projects because they're significant, but there's a lot of smaller projects that are still very meaningful"}, {"path": "tedlium_7361.wav", "duration": 11.88, "text": "We will leverage our experience and reputation in reactive services to continue the development of our proactive services such as design evaluations, risk management and regulatory consulting."}, {"path": "tedlium_7362.wav", "duration": 11.88, "text": "On top of this, we continue to show a solid progression on the target growth to 2019. More than half of our target is secured as we speak."}, {"path": "tedlium_7363.wav", "duration": 11.88, "text": "credit cards or auto lending, begin to see early ticks on credit warning and those aren't categories for us at all. But if there's a signal to be gleaned from it, we'll be paying attention."}, {"path": "tedlium_7364.wav", "duration": 11.88, "text": "And there's been limited discussion around the concessions, which we thought would unwind after a pretty favorable position in December. So perhaps give us a little bit more color around that and how those that evolves in the second half."}, {"path": "tedlium_7365.wav", "duration": 11.88, "text": "The new organizational model, which is called freedom in boundaries where we have a lot of empowerment locally, but where we have, on the one hand, a very clear competence"}, {"path": "tedlium_7366.wav", "duration": 11.88, "text": "want Teekay that can operate safely and that's why we have this huge focus on lowering our cost because that makes us more relevant. So that's how we're approaching it on the gas side."}, {"path": "tedlium_7367.wav", "duration": 11.88, "text": "Thank you, Roz. Good afternoon, everyone. I appreciate the opportunity to speak to you from Shanghai in order to expand on Kevin's comments around Starbucks' solid foundation in China,"}, {"path": "tedlium_7368.wav", "duration": 11.88, "text": "This is new product offering in the market and we plan to continue to experiment, test and optimize across all sales channels, driven by our new business intelligence team."}, {"path": "tedlium_7369.wav", "duration": 11.88, "text": "and our full year outlook has been adjusted to account for the most recent revisions in independent forecast projections that reflect further production declines this year,"}, {"path": "tedlium_7370.wav", "duration": 11.88, "text": "We typically start incurring costs associated with new stores approximately 6 months ahead of opening, and there will be additional expenses incurred throughout the fiscal year as we prepare to open these locations."}, {"path": "tedlium_7371.wav", "duration": 11.88, "text": "as a business. I mean we -- I characterize it internally here. We think we're doing pretty well, but we're like the best hockey players in Mexico and we want to get to the NHL here in terms of our cost management."}, {"path": "tedlium_7372.wav", "duration": 11.88, "text": "So we just say stay tuned, but yes, we expect more deals to be done and we expect at least 1 or 2, maybe more, even in Q2 to be announced."}, {"path": "tedlium_7373.wav", "duration": 11.88, "text": "In closing, I'll repeat one of the themes from last quarter. With our strong growth in insurance-in-force laying the foundation for future growth in premiums and net income,"}, {"path": "tedlium_7374.wav", "duration": 11.88, "text": "Still, full year organic growth is expected to be within the 3% to 5% range originally established for the year and most likely at the upper end of that range."}, {"path": "tedlium_7375.wav", "duration": 11.88, "text": "Will it expand beyond that? We won't know until the summer quite frankly, because we're such a leisure summer-driven business. But we're monitoring it closely. And we're working with our franchisees"}, {"path": "tedlium_7376.wav", "duration": 11.88, "text": "with us on that. And I think -- our view is that will continue to grow. And we think eventually that has a chance to grow into the front end at the lender level. It's kind of a natural evolution,"}, {"path": "tedlium_7377.wav", "duration": 11.88, "text": "anticipating a lot of increase in construction and have done a good job of getting out in front of that in terms of contracting. So we feel pretty comfortable"}, {"path": "tedlium_7378.wav", "duration": 11.88, "text": "Our outlook for 2016 is influenced by several factors, including the overall growth rate of China pharmaceuticals market, anticipated pricing pressure on the provincial level,"}, {"path": "tedlium_7379.wav", "duration": 11.88, "text": "where you're not operationally involved at this stage. At what point do you feel sufficient confidence in the outlook for the product and the value of that royalty stream that you might"}, {"path": "tedlium_7380.wav", "duration": 11.88, "text": "Our business is very strong at Kohl's. It's also very strong at Amazon, and we are now looking at growing also in new categories, such as home fragrance."}, {"path": "tedlium_7381.wav", "duration": 11.88, "text": "And also for 2019, we today announced a double-digit increase in our dividend and the continuation of our share repurchase program signaling our confidence in the company's future."}, {"path": "tedlium_7382.wav", "duration": 11.88, "text": "With ERICO and enclosures performing as expected and thermal completing the large Canadian projects, we still believe Technical Solutions remains well positioned longer term."}, {"path": "tedlium_7383.wav", "duration": 11.88, "text": "Thanks, Naren, and good evening, ladies and gentlemen. I would like to now talk about some of the highlights of our financial performance. As you would see from the release, our financial performance has been very strong this quarter,"}, {"path": "tedlium_7384.wav", "duration": 11.88, "text": "but we're going to have to see how successful those products are. So I would say overall the breadth is pretty good. The pipeline is full. And that 2% to 4% stands."}, {"path": "tedlium_7385.wav", "duration": 11.88, "text": "And finally, the REIT announcement was more than just a tax strategy. I've seen an energetic focus on activities that create value in a way that REIT investors will appreciate"}, {"path": "tedlium_7386.wav", "duration": 11.88, "text": "We also grow more confident in the unbound opportunity in front of us. With the infrastructure and capabilities we have built, we are now, or soon will be, the best answer if the question is genetics at all stages in life."}, {"path": "tedlium_7387.wav", "duration": 11.88, "text": "like with any launch that we see, whether it's sometimes with gaming, sometimes it's mobile, we absolutely across our channels, I think that's what important, both online and in the stores, we absolutely can see some"}, {"path": "tedlium_7388.wav", "duration": 11.88, "text": "As a result of the revenue pressures from weak power generation markets, Base Power is expected to represent the largest component of decline in overall core revenues and segment income year-over-year."}, {"path": "tedlium_7389.wav", "duration": 11.88, "text": "First, while we've had more than our share of legal and regulatory issues to address, the broader organization is not consumed by them. We are moving forward and are focused on managing the business and sales performance."}, {"path": "tedlium_7390.wav", "duration": 11.88, "text": "targeted operating range of 18% to 20%. We continue to believe this range provides a good mix of returns to the bottom line while still providing investment opportunities to grow our business."}, {"path": "tedlium_7391.wav", "duration": 11.88, "text": "As I look at the evolving health-care landscape, it is clear that our powerful collection of assets protects our clients against tomorrow's health-care challenges, while we address today's acute client needs."}, {"path": "tedlium_7392.wav", "duration": 11.88, "text": "that revenue on a per claim basis isn't just an output of inflation and filling what -- it really is impacted by formulary design and what we do."}, {"path": "tedlium_7393.wav", "duration": 11.88, "text": "consultant headcount is a very soft number, guys. And I don't really like to be held down to exact because we know when they start. We don't know when they stop."}, {"path": "tedlium_7394.wav", "duration": 11.88, "text": "In the past few fiscal years, we have benefited from a declining cost environment that led to an expansion of per-gallon margins. This pricing environment has changed somewhat."}, {"path": "tedlium_7395.wav", "duration": 11.88, "text": "that our proposed transaction and structure is almost identical to many others in the industry and is very similar to the Purdue-Kaplan proposal, which HLC is also reviewing at this time."}, {"path": "tedlium_7396.wav", "duration": 11.88, "text": "But then in their hierarchy of churches in one denomination, the larger mid-tier or the larger megas might be the only ones that would have a centralized"}, {"path": "tedlium_7397.wav", "duration": 11.88, "text": "with a lower cost. And we've talked earlier about the supply chain, we have the biggest supply chain in the Nordics for any IT"}, {"path": "tedlium_7398.wav", "duration": 11.88, "text": "I expect a smooth transition once a successor has been named by the Board. I have no doubt that Aptar will continue to lead the industry in dispensing and sealing solutions for many years to come."}, {"path": "tedlium_7399.wav", "duration": 11.88, "text": "We delivered good growth in fixed mobile bundling and consumer. The new mobile and fixed propositions introduced in June and July give our customers more flexibility for add-on content"}, {"path": "tedlium_7400.wav", "duration": 11.88, "text": "continued. So the results were improved greatly from the year before, where there was equipment problems. Moving on to the next page."}, {"path": "tedlium_7401.wav", "duration": 11.88, "text": "Prior to getting started, I'd like to remind you of the language in our forward-looking statement section of the press release, which was released yesterday, as well as in our Form 10-Q, which will be filed today."}, {"path": "tedlium_7402.wav", "duration": 11.88, "text": "What I would say is this is a market that our commercial guys are excited about, and they're able to do big deals. We've done a number of big deals in the commercial segment,"}, {"path": "tedlium_7403.wav", "duration": 11.88, "text": "a variety of these initiatives identified through our annual planning process, which may yield benefits in 2016. First of all, the new equipment and the technology that we're bringing in."}, {"path": "tedlium_7404.wav", "duration": 11.88, "text": "And I would say we continue to look for opportunities to effectively -- more effectively manage that spend. In some cases, it's going to allow us to reinvest those dollars in important"}, {"path": "tedlium_7405.wav", "duration": 11.88, "text": "whether it's solar or wind, being able then to store the electricity and then use it as needed is something we see would be actually very beneficial. Now to do it in"}, {"path": "tedlium_7406.wav", "duration": 11.88, "text": "We remain very confident in our discovery capabilities and intend to continue to enhance them to maintain our strong competency in the field of novel target discovery."}, {"path": "tedlium_7407.wav", "duration": 11.88, "text": "With the weakened U.S. dollar, a ballooning deficit and recent economic stimulus added to an already growing economy, we feel that interest rates will continue to rise, but at a modest pace."}, {"path": "tedlium_7408.wav", "duration": 11.88, "text": "One of the big differences is nonres, particularly in Southern California and is -- as we saw in the preconstruction pipelines a year ago, and we talked about it's going to flow through,"}, {"path": "tedlium_7409.wav", "duration": 11.88, "text": "As we do so, we're developing a global network of interconnected fulfillers. Redbubble has enjoyed over a decade of strong growth, and the momentum continues."}, {"path": "tedlium_7410.wav", "duration": 11.88, "text": "Our goal is to be the trusted energy company. And we'll do that by being devoted to our people, our partners and performance excellence. With that, I'll turn the call over to Mike."}, {"path": "tedlium_7411.wav", "duration": 11.88, "text": "But as I look past the next couple of quarters, I am very confident that these are the right changes, and will deliver stronger growth, levels more in line with our historic expectations."}, {"path": "tedlium_7412.wav", "duration": 11.88, "text": "Commercial production in Dublin has already begun and will ramp up throughout 2017. And we remain on schedule with the first phase of our Waterford, Ireland site,"}, {"path": "tedlium_7413.wav", "duration": 11.88, "text": "This is a randomized 2-way crossover study in healthy subjects, which is a streamlined version of the pilot study and is being run at the same site as the pilot study."}, {"path": "tedlium_7414.wav", "duration": 11.88, "text": "Third, we have stepped up our focus on new business generation considerably. Most of our sales force hiring has been aimed at business development."}, {"path": "tedlium_7415.wav", "duration": 11.88, "text": "has really already been accounted for in the expense base. Is that fair to say? That's very fair to say. Let me just go through perhaps, how we funded this initiative,"}, {"path": "tedlium_7416.wav", "duration": 11.88, "text": "because of the way our economics work as well as the terms of our acquisition of Jamison. Obviously, we would much rather have it, but we move on and replace the revenue. Not too concerned about it."}, {"path": "tedlium_7417.wav", "duration": 11.88, "text": "At both the Cameron LNG and Freeport LNG projects, we were back up to full site staff levels within a couple of weeks after the hurricane and continue to make good progress."}, {"path": "tedlium_7418.wav", "duration": 11.88, "text": "Steve, this is Andy. It would be our goal to be able to continue to execute, I think, again, as we've talked about, related to positioning ourselves with the capital structure to be able to do that. We feel very good about"}, {"path": "tedlium_7419.wav", "duration": 11.88, "text": "We entered the quarter very well contracted, ran our mines close to capacity and took advantage of export opportunities to ensure consistent operations and expand our total margins."}, {"path": "tedlium_7420.wav", "duration": 11.8799375, "text": "the degree to which -- I think when we went back a quarter or so, the dynamics on The Strip among the larger players were related or a driver"}, {"path": "tedlium_7421.wav", "duration": 11.8799375, "text": "Some of the noise that gets created around your business and understand is -- are our all our stakeholders as patient as we would need them to be?"}, {"path": "tedlium_7422.wav", "duration": 11.8500625, "text": "I think the commercial success that we have had in Oklahoma really speaks to the quality of our team, commercial operations and engineering. And our ability to attract business,"}, {"path": "tedlium_7423.wav", "duration": 11.85, "text": "So we feel like we've got a great competency already. And I think in our engagement with those folks up to date, although it's been limited until we own the business, we believe that there's some great sharing that we can do there."}, {"path": "tedlium_7424.wav", "duration": 11.85, "text": "This quarter and also on this slide, we are adding ORIG3N to this list of more mature private portfolio companies that we believe potentially can drive value in the future."}, {"path": "tedlium_7425.wav", "duration": 11.85, "text": "Our earnings release and SEC filings contain additional information about these non-GAAP measures, why we use them and why we believe they're helpful to investors and contain reconciliations to the GAAP data."}, {"path": "tedlium_7426.wav", "duration": 11.85, "text": "Moving forward, we're going to take it one quarter at a time based upon customer backlog, order visibility and our operational ability to deliver these new products and technologies."}, {"path": "tedlium_7427.wav", "duration": 11.85, "text": "but understand, we have more opportunity to improve. Our teams remain committed to working together to enhance our performance in managing markets,"}, {"path": "tedlium_7428.wav", "duration": 11.85, "text": "Third, we completed the sale of a recycled tissue mill in Ladysmith, Wisconsin, which allows us to focus on our strategy of producing premium and ultra-quality tissue for the retail market."}, {"path": "tedlium_7429.wav", "duration": 11.85, "text": "meeting with the most senior people at least in the technical ranks of our customers, with great success explaining SmartConnect, explaining what intelligent connection technology really means."}, {"path": "tedlium_7430.wav", "duration": 11.85, "text": "Say you get coupon through Yahoo and that coupon is linked to PayPay, so if you use PayPay as the payment scheme, you can use that coupon."}, {"path": "tedlium_7431.wav", "duration": 11.85, "text": "Sales and service is also important in a low-growth environment, so we're trying to get our underwriters to be more proactive looking for opportunities and ensure we maintain high levels of service on both underwriting and claims."}, {"path": "tedlium_7432.wav", "duration": 11.85, "text": "Additional information about factors that could cause different results and information about the use by the company of non-GAAP financial measures is available in today's news release and on the company's website."}, {"path": "tedlium_7433.wav", "duration": 11.85, "text": "Thanks, Adam. During the second quarter, we made significant progress in gaining registration for important new products and also advanced a number of new programs. On the infectious disease front,"}, {"path": "tedlium_7434.wav", "duration": 11.85, "text": "My next question is when you look at your last couple of acquisitions, like Moy Park and the Cargill Pork acquisition, can you, just isolating those 2, can you talk about"}, {"path": "tedlium_7435.wav", "duration": 11.85, "text": "but are you seeing this? And do you feel there is room for further pricing in light of how the consumer is behaving right now? Is it something that can be well absorbed? Or we should be cautious going into next year?"}, {"path": "tedlium_7436.wav", "duration": 11.85, "text": "it's not only mortgage originations that you're seeing, but we're also seeing the impact of whether people are shopping more or less, and we try to build that into the forecast. We would freely admit forecasting the mortgage market is difficult."}, {"path": "tedlium_7437.wav", "duration": 11.85, "text": "impressive, still under 40%. I mean, are there any major expense initiatives that you have to undertake or regulators making you invest anywhere that you wouldn't have otherwise or anything that will drive that incrementally higher from here?"}, {"path": "tedlium_7438.wav", "duration": 11.85, "text": "Moving forward, we expect to be active in the program as we continue to believe that our stock is an attractive investment and, combined with the dividend, provides the best return to our shareholders."}, {"path": "tedlium_7439.wav", "duration": 11.85, "text": "The offset -- this was offset by favorable trends in other therapies, which resulted in an overall negative script performance for the quarter adjusted for 90-day scripts of negative 63 basis points."}, {"path": "tedlium_7440.wav", "duration": 11.85, "text": "Yes. I think, Craig, the only thing I'd add there is that it makes sense for our projects because we're able to couple it with a lot of other energy-conservation measures. So we're able to make the economics work."}, {"path": "tedlium_7441.wav", "duration": 11.85, "text": "And I think a lot of this is primarily due because of the industry in the market. Our public finance division is really doing well. We have one of the top public finance companies"}, {"path": "tedlium_7442.wav", "duration": 11.85, "text": "choice within the hotel space. And here we can offer a bit more choice. But again, choice that has the kind of quality we want to have connected to our system."}, {"path": "tedlium_7443.wav", "duration": 11.85, "text": "Our ability to provide strong and stable distribution growth to our unitholders is underpinned by our portfolio of strategic assets"}, {"path": "tedlium_7444.wav", "duration": 11.85, "text": "Thanks, Matt, and you -- thank you. You truly have left this company in a place where our best days are ahead of us, and I appreciate your great leadership and what you've done for"}, {"path": "tedlium_7445.wav", "duration": 11.85, "text": "And again, our focus is really around attacking the complexity across the food supply chain, making sure we drive continued productivity across labor and making sure"}, {"path": "tedlium_7446.wav", "duration": 11.85, "text": "Our growth efforts are yielding results beyond our food business. In 2017, we stood up a separate management team for our facilities business, we're making substantial progress."}, {"path": "tedlium_7447.wav", "duration": 11.85, "text": "As we exit 2016 on the heels of a strong quarterly performance and a continued sluggish economy, we have made tremendous progress in transforming Deluxe,"}, {"path": "tedlium_7448.wav", "duration": 11.85, "text": "And the people who run our lining businesses certainly are asking for that CapEx and that equipment so that they can expand their business, which is a good thing, which is a really good thing."}, {"path": "tedlium_7449.wav", "duration": 11.85, "text": "as instead of the first quarter, with maybe the notable exception of one brand that's been heavily discounted. Yes, the only other thing I would add to that was when you look at the comparisons in 2-year growth."}, {"path": "tedlium_7450.wav", "duration": 11.85, "text": "we've got our first material out from an end-to-end perspective. We begin testing that and going through internal qualification. I expect to refine the recipe a few times before"}, {"path": "tedlium_7451.wav", "duration": 11.85, "text": "More importantly, however, our strategy of diversification is gaining significant traction as our business is expanding nicely into aerospace and complementary mechanical services offerings."}, {"path": "tedlium_7452.wav", "duration": 11.85, "text": "my observation is contrary to yours. I think modern people are getting lazier and lazier. They don't like to do things themselves."}, {"path": "tedlium_7453.wav", "duration": 11.85, "text": "We'll provide updates on our business review as well as the status of our attempts at resolution with the PBGC to enable us to operate and grow our business in the most efficient and profitable way possible."}, {"path": "tedlium_7454.wav", "duration": 11.85, "text": "our team is implementing a series of strategies to drive adoption of our newer content and workflows. While these initiatives will take time, we remain confident in the potential of the microfluidics business"}, {"path": "tedlium_7455.wav", "duration": 11.85, "text": "Moving on to the segment analysis on Slide 7. You see that Consumer Packaging sales were up 2% due most notably to acquisitions,"}, {"path": "tedlium_7456.wav", "duration": 11.85, "text": "On the commercial loan side, we have not yet seen loan growth, but we expect additional lending opportunities to arise as the economy continues to recover."}, {"path": "tedlium_7457.wav", "duration": 11.85, "text": "In fact, due to the increasing trust our customers are placing in our services products, we are now generating about half of our services revenue from long-term agreements."}, {"path": "tedlium_7458.wav", "duration": 11.85, "text": "But we are now lapping the impact of those positive tailwinds on industry cigarette volumes, and we are seeing industry volumes returning to a more normal rate of decline."}, {"path": "tedlium_7459.wav", "duration": 11.85, "text": "for the entire time that we were making product for ITG. So when you go through the calculated net price realization, that is something that we wanted to provide some color on because I think,"}, {"path": "tedlium_7460.wav", "duration": 11.85, "text": "up on what Rich said about being judicious in the use of common equity. Because we are generating cash in increasing amounts in our business, we have the flexibility to fund our investments in any number of ways,"}, {"path": "tedlium_7461.wav", "duration": 11.85, "text": "Village Operations continues to see improved demand at Searipple. This growth was partially offset by a weaker result in the Victorian business due largely to the state election."}, {"path": "tedlium_7462.wav", "duration": 11.85, "text": "But for the next set, we have not scoped out yet and determined the timing and the exact amount of work in the capital forecast. We'll address that in the next capital cycle."}, {"path": "tedlium_7463.wav", "duration": 11.85, "text": "Our team is seeing very little opportunity for revenue growth on pricing alone. Nevertheless, they are out there daily calling on customers in effort to grow our booking business and expand relationships and revenue. If we can continue to build our"}, {"path": "tedlium_7464.wav", "duration": 11.85, "text": "And like I said in my prepared comments, I don't think anybody -- well, I don't think, I'm certain nobody knows for sure how their NIM is going to react or their net interest income is going to react to rising rates. I think"}, {"path": "tedlium_7465.wav", "duration": 11.85, "text": "Our first quarter results reflect the need to complete the second half of our rate relief process so we can recover our infrastructure investment in the region. The loss also reflects that most of our sales occur during the summer months."}, {"path": "tedlium_7466.wav", "duration": 11.85, "text": "the past 3 months, we've combined a couple of related companies that were in our supplier account, and we did have 2 companies drop off our list. So as a net result, we've seen an increase of 5 new suppliers over the period."}, {"path": "tedlium_7467.wav", "duration": 11.85, "text": "This is less than we estimated. We want to continue to monitor the results throughout the spring season. Those results will help inform future decision-making on store optimization."}, {"path": "tedlium_7468.wav", "duration": 11.85, "text": "some overhauls, as a result of those life limitations, as we get into the fourth quarter of this year and the first half of next year."}, {"path": "tedlium_7469.wav", "duration": 11.85, "text": "and current reports on Form 8-K identify certain factors that could cause the company's actual results to differ materially from those projected in any forward-looking statements made this morning."}, {"path": "tedlium_7470.wav", "duration": 11.85, "text": "Unfortunately, and I think we were pretty clear on that when we talked about Marvel in May at the Capital Market, we will not get the Marvel into the VA contract at this term."}, {"path": "tedlium_7471.wav", "duration": 11.85, "text": "Yes. So let me talk about kind of the rationale behind it. So when we think about these things, it's not necessarily just a growth profile that we're looking at. It's really around"}, {"path": "tedlium_7472.wav", "duration": 11.85, "text": "should have a positive operating profit impact in fiscal '17, thereby increasing EBITDA. Both of these factors should play towards improving our leverage ratio."}, {"path": "tedlium_7473.wav", "duration": 11.85, "text": "up 10%. For fiscal '17, our strategy for Johnnie Walker is to recruit consumers through 4 pillars consistently and beautifully executed."}, {"path": "tedlium_7474.wav", "duration": 11.85, "text": "We also added a Haneda to Jakarta route in August and a Narita to Los Angeles route at the end of October. Both routes are performing steadily in line with plans."}, {"path": "tedlium_7475.wav", "duration": 11.85, "text": "as candidate neoantigens. And the conventional tools for identifying neoantigens from those hundreds or thousands of candidate antigens are fundamentally flawed."}, {"path": "tedlium_7476.wav", "duration": 11.85, "text": "and the whole point of faster and better was to say the market is going to rebound soon. And as the market rebounds, the differentiating factor is going to be lead times essentially, it's our ability to ramp up and execute."}, {"path": "tedlium_7477.wav", "duration": 11.85, "text": "This increase was primarily due to contribution from Canwest and higher gross profits in Canadian propane distribution, USRF and the other services segment."}, {"path": "tedlium_7478.wav", "duration": 11.85, "text": "As you can imagine, we're conducting a comprehensive review of the incident to determine any potential opportunities to further improve the security of our global systems environment."}, {"path": "tedlium_7479.wav", "duration": 11.85, "text": "as we see the full impact of the expense reductions we discussed, and we see a delivery team with a much higher billable utilization and eventually business model that drives a much higher license to service ratio."}, {"path": "tedlium_7480.wav", "duration": 11.85, "text": "and I feel good that the team has embraced it. We have brought in a pretty significant amount of either external consultants or people that have done this before,"}, {"path": "tedlium_7481.wav", "duration": 11.85, "text": "in our profitability. And it's a real enabler to the simplification in our supply chain activity. So you will see the benefits play through, but there is a short-term impact as we take some of these actions."}, {"path": "tedlium_7482.wav", "duration": 11.85, "text": "currencies are also a big part of that. And in most cases, they're going the other way, especially in some of the key markets for us. So right now, it's not a big driver for us given that we have to look at both of those together."}, {"path": "tedlium_7483.wav", "duration": 11.85, "text": "of a replacement potentially. But may I ask whether Helen spends the same amount on the projects given that you've got a lot of projects going on and increased CapEx? Or"}, {"path": "tedlium_7484.wav", "duration": 11.85, "text": "As we have said consistently, our goal is to initiate a first pivotal registration study for tipifarnib in 2018. And I'm very pleased with the team's progress toward achieving this important objective."}, {"path": "tedlium_7485.wav", "duration": 11.85, "text": "Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program, and you may all disconnect. Everyone, have a great day."}, {"path": "tedlium_7486.wav", "duration": 11.85, "text": "I'm proud of our first quarter results as each of our businesses delivered strong operating performance and increased EBITDA despite the slower-than-expected pace of U.S. housing starts in the first quarter."}, {"path": "tedlium_7487.wav", "duration": 11.85, "text": "including our expanding marketplace relationships, Venmo monetization, domestic India as well as the strong secular growth driving digital payments and mobile commerce."}, {"path": "tedlium_7488.wav", "duration": 11.85, "text": "that we report because of that -- just because of that math around that. And so that's why we're so pleased to show kind of a steady"}, {"path": "tedlium_7489.wav", "duration": 11.85, "text": "And so we are having -- we are very open with that partner and we are having discussions with other grocery banners to carry our products. These products are"}, {"path": "tedlium_7490.wav", "duration": 11.85, "text": "essentially, at least currently, are saying that that's probably going to be fairly net neutral in the first quarter. We won't have any of the synergies in place really, we'll have some additional costs as we"}, {"path": "tedlium_7491.wav", "duration": 11.85, "text": "Overall, GNL had a strong third quarter and our portfolio continued to exhibit the characteristics of being one of the best portfolios in our industry."}, {"path": "tedlium_7492.wav", "duration": 11.85, "text": "As we've discussed many times in the past, deconversion revenue is largely outside our control and very difficult to forecast. But Kevin will provide more detail regarding what we see on the horizon in his remarks."}, {"path": "tedlium_7493.wav", "duration": 11.85, "text": "we just don't have a lot of it. And without a lot of visibility into our fourth quarter and the uncertainty that we're seeing in the overall macro environment,"}, {"path": "tedlium_7494.wav", "duration": 11.85, "text": "At MDU Resources, we are committed to operating with integrity and a continue to focus on safely and creating superior shareholder value while building a strong America."}, {"path": "tedlium_7495.wav", "duration": 11.85, "text": "Now here, again, a very special situation. We don't do it by our own, alone. We are in corporation with a joint venture partner"}, {"path": "tedlium_7496.wav", "duration": 11.85, "text": "done work in the past, which is, what else can an ethanol plant do? And so while we look across multiple agricultural processing industries and we see that if you can make high-protein, you're getting paid for it in the world,"}, {"path": "tedlium_7497.wav", "duration": 11.85, "text": "So they're still playing catch-up, so they have been placing orders. So it's a higher percentage than what we would have expected if we were to go back, 2, 3 years ago when we would have thought that"}, {"path": "tedlium_7498.wav", "duration": 11.85, "text": "This is my impression. The rise in investment climate was seen not only in CapEx but also in OpEx, such as full productivity improvement."}, {"path": "tedlium_7499.wav", "duration": 11.85, "text": "research or prepayment, we have converted a lot of solutions into the cloud. In terms of"}, {"path": "tedlium_7500.wav", "duration": 11.85, "text": "what we have modeled for the resource and anything as an overall average. So anything above that is most welcome but not to always be expected."}, {"path": "tedlium_7501.wav", "duration": 11.85, "text": "As we look at the portfolio and evaluate the economy, we continue to approach the market with a belief that we are late in the credit cycle and that economic growth is slowing."}, {"path": "tedlium_7502.wav", "duration": 11.85, "text": "The efficiency of the paid marketing spend and our control of operating expenses enables us to remain confident about our EBITDA expectations as the operating leverage shown by respective growth in revenue and expenses continues."}, {"path": "tedlium_7503.wav", "duration": 11.85, "text": "across brands, channels, retailers and consumer segments provides us with more flexibility and better positions us for a constantly evolving retail environment."}, {"path": "tedlium_7504.wav", "duration": 11.85, "text": "which is not large enough of a sample size to move the needle for the company. And I'd also tell you, look, there's other green shoots that we're certainly seeing, but they're not big enough to move the needle for the company."}, {"path": "tedlium_7505.wav", "duration": 11.85, "text": "Look, I'm not going to spend too much time on what happened in the past, although what happened over that decade in terms of regulatory costs and things like that, that"}, {"path": "tedlium_7506.wav", "duration": 11.85, "text": "Generally land expenditures are lumpy because land terms usually you lock them up and then you don't have to spend any money on renewals for a while. So that's one of the main drivers."}, {"path": "tedlium_7507.wav", "duration": 11.85, "text": "as a result of the wet ground conditions and increased drilling activity. Service revenues from this business, the transportation, installation and mat management services we perform on behalf of customers,"}, {"path": "tedlium_7508.wav", "duration": 11.85, "text": "However, neither one has changed meaningfully. Instead, we saw lower growth across the board, particularly towards the end of the calendar quarter."}, {"path": "tedlium_7509.wav", "duration": 11.85, "text": "To support our growth initiatives, we continue to enhance our relationships with our carrier partners to effectively service the dynamic volume swings and overall demand."}, {"path": "tedlium_7510.wav", "duration": 11.85, "text": "The storm's impact on our projects in the third quarter included the cost of demobilization and remobilization and, to a lesser extent, damaged materials."}, {"path": "tedlium_7511.wav", "duration": 11.85, "text": "and 8.9 million daily active users added in the fourth quarter, the highest number of quarterly net adds since the third quarter of 2016. All this growth came at a lower cost than the previous quarter."}, {"path": "tedlium_7512.wav", "duration": 11.85, "text": "have and will continue to shift our online presence back towards a design and product focus that encourages visitors to come to our stores for design assistance on their projects."}, {"path": "tedlium_7513.wav", "duration": 11.85, "text": "and what problems they solve in each region. It includes our current benefits offering and whether that resonates and where that stands in that specific market,"}, {"path": "tedlium_7514.wav", "duration": 11.85, "text": "As discussed previously, we and our alpha client have been extremely pleased with the accumulated results, which generate higher finding rates than the usual post-payment reviews."}, {"path": "tedlium_7515.wav", "duration": 11.85, "text": "As a reminder, most of these engagements are multiyear in nature and are periodically renewed through a formal RFP process. Our success rate in winning RFPs continues to be very high."}, {"path": "tedlium_7516.wav", "duration": 11.85, "text": "That said, we are fully committed to serving our customers and channel partners worldwide, and our technology capabilities enable us to consistently outperform the market."}, {"path": "tedlium_7517.wav", "duration": 11.8499375, "text": "than financing those acquisitions in downturns. So we have a history of raising capital in upturns and spending it wisely on strategic"}, {"path": "tedlium_7518.wav", "duration": 11.8499375, "text": "between interest and taxes are largely offset. So this measure is quite a good indicator of both net income growth"}, {"path": "tedlium_7519.wav", "duration": 11.82, "text": "Got you. And was this just a function of not having the right person to sign a contract? Or can you kind of talk a little bit about as far as what the timing delays were?"}, {"path": "tedlium_7520.wav", "duration": 11.82, "text": "For travel, we will be mainly sold by the end of April for this year's departures. So we already have a lot of visibility on the outcome for this part of the business."}, {"path": "tedlium_7521.wav", "duration": 11.82, "text": "if they are exclusively because of the cash sweep. Now the amortization during the month of December and the beginning of January,"}, {"path": "tedlium_7522.wav", "duration": 11.82, "text": "still have plenty of opportunity. And I think that over the next several quarters, we will see continued improvement in the expense ratio."}, {"path": "tedlium_7523.wav", "duration": 11.82, "text": "you had an org change, it's started, you had to stop it halfway through and kind of go to a hybrid version of it to overcome this change. So yes, and I think that, that's one of the reasons why you're going to see an improved"}, {"path": "tedlium_7524.wav", "duration": 11.82, "text": "just given the mix -- some of the mix elements that we see and we'll likely finish on the full year about 50 basis points better than our guidance. So we're going to beat our guidance overall and"}, {"path": "tedlium_7525.wav", "duration": 11.82, "text": "In one huge country, big smoking country, we have 2 companies, both tobacco companies, one a large tobacco company, one a very small tobacco company, in the country that would like us to"}, {"path": "tedlium_7526.wav", "duration": 11.82, "text": "I think it's important to consider where we are today. We are and remain the largest franchised automotive dealership group in Australasia and that scale is strategically valuable."}, {"path": "tedlium_7527.wav", "duration": 11.82, "text": "Our margins are stabilized, and we will continue to focus our efforts on delivering the expected U.S. profitability as well as the integration of the Brazilian business following the Vigor acquisition."}, {"path": "tedlium_7528.wav", "duration": 11.82, "text": "in the advisory products. We expect these funds to be available early in the second quarter and to be available in the existing MAP program immediately"}, {"path": "tedlium_7529.wav", "duration": 11.82, "text": "So we're seeing Connect as a great retention tool for people who want to continue to engage, and we have many members who have achieved their original goals"}, {"path": "tedlium_7530.wav", "duration": 11.82, "text": "contracted and designed at 800 million a day. Once you get into service and you start to see how it runs and you see how the gas -- where the gas is going and where it's coming from and how the turbines are behaving,"}, {"path": "tedlium_7531.wav", "duration": 11.82, "text": "year benefit from the earnings from the acquisitions, but we also have the full cost of the acquisitions in the borrowing number that we're using for our leverage calculation, so there's no mismatch in terms of the leverage number."}, {"path": "tedlium_7532.wav", "duration": 11.82, "text": "That drives over time, as the business matures, a shift from individual events to verticals and management of longer-term relationships. And you could begin to see the emergence of our business"}, {"path": "tedlium_7533.wav", "duration": 11.82, "text": "a reasonable framework for how to think about your business in time for the 2016 upfronts, in time for the 2016 upfronts. And everybody is aligned around that interest. Everybody that came to our meeting last week,"}, {"path": "tedlium_7534.wav", "duration": 11.82, "text": "Overall, we are pleased with our first quarter results, and are committed to executing our transformation strategy to ensure long-term profitable growth in housing and lifestyle."}, {"path": "tedlium_7535.wav", "duration": 11.82, "text": "These investments have been bearing fruit as we systematically raise larger successor funds, launch sizable first-time funds and penetrate new geographies and new distribution channels."}, {"path": "tedlium_7536.wav", "duration": 11.82, "text": "So this is the product the physicians go to manage these critical patients whose median survival is in the range of 2 to 4 weeks when they actually are experiencing this exacerbation of their condition."}, {"path": "tedlium_7537.wav", "duration": 11.82, "text": "is to be a tube supplier and a technology provider to a local construction company or a local organization that has a better opportunity to leverage overhead."}, {"path": "tedlium_7538.wav", "duration": 11.82, "text": "And again, there we really optimized our profitability in relation to our activities. And as I mentioned before, we are aligned for bringing in more capacity."}, {"path": "tedlium_7539.wav", "duration": 11.82, "text": "of monetizing a more material amount of our current investment base would be in Ottawa and in Edmonton."}, {"path": "tedlium_7540.wav", "duration": 11.82, "text": "To best position Kaman to compete and drive profitable growth through the current market cycle, we have recently accelerated some of our actions to reduce cost and improve margin performance."}, {"path": "tedlium_7541.wav", "duration": 11.82, "text": "and significant transitions occurred in this business over the last few years. And that saw the company diversify away from the mining sector and focus on markets we see as having growth potential"}, {"path": "tedlium_7542.wav", "duration": 11.82, "text": "In addition, we will continue to invest in new stores across all of our channels in U.K., and we expect to open between 15 and 20 new stores in the current financial year,"}, {"path": "tedlium_7543.wav", "duration": 11.82, "text": "Rapid adoption of our ERT power sections, which provide up to twice the power of conventional motors is contributing to the strong performance, as is pricing for our drilling motors, which has nearly returned to 2014 levels."}, {"path": "tedlium_7544.wav", "duration": 11.82, "text": "there was -- it seemed like there was a little bit of a bump up on the top end of the guidance range, as far as CapEx is concerned. Is that just conservatism because of the modest delays? Is that all we should read into that?"}, {"path": "tedlium_7545.wav", "duration": 11.82, "text": "and the Philippines, and we reduced expenses in tomato production by replacing our own U.S.-based production with new grower relationships in Mexico."}, {"path": "tedlium_7546.wav", "duration": 11.82, "text": "is something really special and unique. And I actually think it's an advantage to figure out how to do innovation that can build from"}, {"path": "tedlium_7547.wav", "duration": 11.82, "text": "In the Czech Republic, the focus had been on building construction for the automobile industry as well as commercial centers and office buildings for industrial clients."}, {"path": "tedlium_7548.wav", "duration": 11.82, "text": "So I'm concerned about that getting worse going forward, and I think that would have an effect. I think China moving from the buyer to a seller is probably"}, {"path": "tedlium_7549.wav", "duration": 11.82, "text": "has really struck me as very different. It is repositioning -- the world is changing so fast in terms of where you need to be and how quickly you need to reposition to be"}, {"path": "tedlium_7550.wav", "duration": 11.82, "text": "we remain committed to supporting a highly diverse and global distribution platform to deliver our expertise into those markets where these strategies are highly sought after."}, {"path": "tedlium_7551.wav", "duration": 11.82, "text": "We have shared snippets of our company vision in the past, but I'd like to share the part that most strongly speaks to me. That we aim to be a company that improves the lives of team members, customers, industry partners and our communities."}, {"path": "tedlium_7552.wav", "duration": 11.82, "text": "I don't even know how we could possibly even handle it. There are so many major projects teeing up for the next 12 to 18 months"}, {"path": "tedlium_7553.wav", "duration": 11.82, "text": "Each of those groups have its own unique requirements from the center and our masterplan approach needed to be balanced to ensure the end product effectively meet each of those group's needs."}, {"path": "tedlium_7554.wav", "duration": 11.82, "text": "We believe we are well on our way to capturing better growth and value creation over the long run as a focused company, capitalizing on decades of deep experience and relationships in the Midwest."}, {"path": "tedlium_7555.wav", "duration": 11.82, "text": "Just look at their track record. They've got huge amounts of dry powder. They've got the ability to deploy massive amounts of capital. And we've been their largest partner for 4 of the last 6 years."}, {"path": "tedlium_7556.wav", "duration": 11.82, "text": "But the takeaway is that these will be largely transitional in nature that, while they will impact 2016 results, we don't expect them to impact 2017 and forward in a similar fashion."}, {"path": "tedlium_7557.wav", "duration": 11.82, "text": "we're seeing a lot of suppliers still looking to try to claw back losses they've seen with transactional FX incurred over the last 18 months. The other factor that we see is wage inflation."}, {"path": "tedlium_7558.wav", "duration": 11.82, "text": "So as in the usual way, we've got a presentation to run through with you this morning. Very happy to take questions at the end. It is being webcast, so there will be a microphone available. If you have a question, please"}, {"path": "tedlium_7559.wav", "duration": 11.82, "text": "not a lot of large companies have had that experience, given that their sales forces might be focused on parasiticides or flea, tick, heartworm or broader categories versus trying to sell"}, {"path": "tedlium_7560.wav", "duration": 11.82, "text": "our innovation starts to not yield the kinds of benefits that we are seeing. So I think we are going through a period of incredible disruption between consumer preferences, retail channel changes."}, {"path": "tedlium_7561.wav", "duration": 11.82, "text": "This adjustment had the effect of distorting our revenues, gross profit, margins and EBITDA. So during my discussion, I will try to discuss key results with and without the Chase rebate."}, {"path": "tedlium_7562.wav", "duration": 11.82, "text": "and we need to see how do we bring the guarantee down because there are ways of bringing it down. And how can we also make sure that if people need cash we can accommodate their wish."}, {"path": "tedlium_7563.wav", "duration": 11.82, "text": "of tomorrow, but those are also the markets that we need to streamline and need to decide where are we staying in and where are we going out. And you have seen that we mean it."}, {"path": "tedlium_7564.wav", "duration": 11.82, "text": "So we know that we are at the bottom, I'd say, of the rate cycle. We are also, at the same time, towards the bottom of the regulatory curve."}, {"path": "tedlium_7565.wav", "duration": 11.82, "text": "I am pleased to say that we have made considerable progress on these goals in the first 4 quarters, and we are a different Westport Fuel Systems today."}, {"path": "tedlium_7566.wav", "duration": 11.82, "text": "and then we would get more of a normal saturation or maturing of the market. So we do believe that we're moving into a phase where the market is maturing a little bit more."}, {"path": "tedlium_7567.wav", "duration": 11.82, "text": "Yes, Ted, it's -- I think the vision is broad because the opportunity is large. But, of course, we're going to follow the data and the science to get there."}, {"path": "tedlium_7568.wav", "duration": 11.82, "text": "Any reference in our discussion today to EBITDA means adjusted EBITDA, which excludes non-run-rate items, for which we've provided reconciliations in the appendix."}, {"path": "tedlium_7569.wav", "duration": 11.82, "text": "Well, those aren't the people that we're approaching with Ovation. The people that are -- right now are taking advantage of the Ovation program are ones who have paid off their loans."}, {"path": "tedlium_7570.wav", "duration": 11.82, "text": "variation from that would be, and I think Mark mentioned it, we had to move into a new office building. That move was done in May. But I think we started paying rent in April"}, {"path": "tedlium_7571.wav", "duration": 11.82, "text": "Yes. Look, there's no question as we think about the second half. So you can do the math on what we need to do in the second half to get to at least 1. That's still -- we need a good second half."}, {"path": "tedlium_7572.wav", "duration": 11.82, "text": "The strong sales contribution made by products that have been on the market for only about one year offers clear proof of the significant progress we are making."}, {"path": "tedlium_7573.wav", "duration": 11.82, "text": "We've enrolled cross-functional teams to support deployment and delivery of the solutions, establish pricing and created the marketing collateral needed to commercialize the opportunity."}, {"path": "tedlium_7574.wav", "duration": 11.82, "text": "Particularly on the imaging side of that business, we've launched a new product there MicroHAWK last year, which is doing very, very well indeed. And they had, last year you may recall very good growth"}, {"path": "tedlium_7575.wav", "duration": 11.82, "text": "what's going on in brick-and-mortar. So focus on experiential is still a big part of the way the retailers are planning their business and trying to bring that into their businesses"}, {"path": "tedlium_7576.wav", "duration": 11.82, "text": "We believe that we are uniquely positioned to be a consolidator. At the same time, we plan to continue to return cash to shareholders, consistent with our stated commitment for capital return."}, {"path": "tedlium_7577.wav", "duration": 11.82, "text": "we're living with the arrogance of airports, are having disputes all the time that we think could be reasonably resolved if an independent arbitrator actually got involved in this and stopped it"}, {"path": "tedlium_7578.wav", "duration": 11.82, "text": "we are starting to see tangible results that are planned, coupled with our core operating principles of high quality and strong execution, is beginning to yield positive results."}, {"path": "tedlium_7579.wav", "duration": 11.82, "text": "an environment where there's less emphasis, industry-wide, on products like commercial real estate, et cetera. So I think it's going to make our business more competitive. I think that could have"}, {"path": "tedlium_7580.wav", "duration": 11.82, "text": "We have commenced production and started to shift some products from Haiti and we plan to gradually add more capacity to meet expected customer demand."}, {"path": "tedlium_7581.wav", "duration": 11.82, "text": "your view of this being an uptick in the market versus just some seasonality into the end of the year or customers trying to take advantage of what's a weaker pricing environment?"}, {"path": "tedlium_7582.wav", "duration": 11.82, "text": "However, virtually all of the decline occurred in the first month of the quarter, and the level of denials experienced in the final month of the quarter suggests a run rate for the back half of this year"}, {"path": "tedlium_7583.wav", "duration": 11.82, "text": "would validate that, that oftentimes the patients that they get coming out of SNFs are much sicker and require longer episodes. But even if you took that and moved that aside,"}, {"path": "tedlium_7584.wav", "duration": 11.82, "text": "The investment mix continued to reflect our focus on thicker subordinate positions where we earn an attractive premium versus traditional on-the-run securities in the primary and secondary markets."}, {"path": "tedlium_7585.wav", "duration": 11.82, "text": "But increasingly, new players and digital-focused players are winning more of the customer's wallet. FinTechs are leading in terms of innovative new digital products, but none of them outside of Mogo have any real scale in terms of members,"}, {"path": "tedlium_7586.wav", "duration": 11.82, "text": "that it will be lifted up and that it will be removed. That's the expectation. Separate from that on the project finance side, creditors,"}, {"path": "tedlium_7587.wav", "duration": 11.82, "text": "We are working on some initiatives that will enable us to quickly chase business and capture incremental sales if performance exceeds expectations while remaining prudent in the way we manage inventory levels."}, {"path": "tedlium_7588.wav", "duration": 11.82, "text": "construction output was broadly flat. Significant variations and probably more so in ready-mix than anywhere and that will be somewhat impacted by activities in the London market, which, as you know, we are less exposed"}, {"path": "tedlium_7589.wav", "duration": 11.82, "text": "Okay. So Amazon has flexibility, and you also have flexibility with the 20 purchased from American. Is that the best way to look at it? Yes. That's a fair statement."}, {"path": "tedlium_7590.wav", "duration": 11.82, "text": "cooperative development together for the downstream investments. It was hard work and I'm pleased to say we are making tangible progress in delivery of all the key issues right now."}, {"path": "tedlium_7591.wav", "duration": 11.82, "text": "For example, during a recent storm that caused hundreds of flight cancellations, one of our customers used this technology to determine a crew recovery 4x faster than current industry benchmarks,"}, {"path": "tedlium_7592.wav", "duration": 11.82, "text": "This happens because we bill based on the retail diesel fuel index that is set on Mondays, and we pay current-day fuel prices, which end up being lower than the index when fuel is dropping."}, {"path": "tedlium_7593.wav", "duration": 11.82, "text": "We also will be reviewing certain underperforming accounts. And if they cannot be fixed to meet our profitability goals, we may choose to exit certain businesses to take on new businesses."}, {"path": "tedlium_7594.wav", "duration": 11.82, "text": "Also in the quarter, Germany continued to deliver strong growth as we lapped last year's revenue management actions. More than half of our revenue in chocolate grew share."}, {"path": "tedlium_7595.wav", "duration": 11.82, "text": "Moving to cost. Commodity input cost inflation continued to accelerate in the second quarter as we experienced higher costs for secondary fiber, logistics and chemicals."}, {"path": "tedlium_7596.wav", "duration": 11.82, "text": "The last mile, I call it to go from your hub out to a salesforce, I'm not going to build a 1,000 of those or invest it. Somebody else does it better, I'd like to work with someone else to provide that."}, {"path": "tedlium_7597.wav", "duration": 11.82, "text": "so they know it's a problem. I think they're fact-finding right now. And I think we feel good that they're going to take some action on this because it just needs to happen to rebuild our infrastructure and to"}, {"path": "tedlium_7598.wav", "duration": 11.82, "text": "We feel like we are ahead of the curve in terms of bringing the right exclusive products at the right time and leveraging PowerUp Rewards to message the right opportunity to each member."}, {"path": "tedlium_7599.wav", "duration": 11.82, "text": "We expect that the majority of ENLC's cash available for distribution growth in 2017, we waited to the second half of the year, in large part driven by segment profit growth on our Oklahoma footprint."}, {"path": "tedlium_7600.wav", "duration": 11.82, "text": "This project is, as I said, in a very early stage, but we regard this as a very, very interesting field and a very strong complement for Gerresheimer in the future."}, {"path": "tedlium_7601.wav", "duration": 11.82, "text": "We are currently in early stages of establishing robust processes in sales, marketing and product development to drive more sustainable growth."}, {"path": "tedlium_7602.wav", "duration": 11.82, "text": "We brought that capability in-house. The firm had grown to a point where we really felt it was important to have the intellectual capital under our own roof, to make it available to our high net worth clients"}, {"path": "tedlium_7603.wav", "duration": 11.82, "text": "But we've also been successful in exporting diesel fuel to Europe. And many times this is on larger ships that gives them a bit of an advantage."}, {"path": "tedlium_7604.wav", "duration": 11.82, "text": "which we expect to have completed entering the fourth quarter of 2018. This investment and expanding our sales force reflects the opportunity we see in the tardive dyskinesia market"}, {"path": "tedlium_7605.wav", "duration": 11.82, "text": "Our industrial footprint represents a breadth of product opportunities to capitalize on our existing capabilities and competencies for us both through acquisitions and organic market penetration and expansion initiatives."}, {"path": "tedlium_7606.wav", "duration": 11.82, "text": "We expect to use available cash to continue to reduce our debt, support our various growth activities, pay our quarterly dividend and opportunistically repurchase shares of our common stock."}, {"path": "tedlium_7607.wav", "duration": 11.82, "text": "With the formation of the combined entity between ASE Group and SPIL, there are a few less common accounting treatments, which probably require more in-depth explanation."}, {"path": "tedlium_7608.wav", "duration": 11.79, "text": "and the mix determines then the final margin. So we have many different products."}, {"path": "tedlium_7609.wav", "duration": 11.79, "text": "In light of these and other uncertainties, the inclusion of a projection or forward-looking statement in this presentation should not be regarded as a representation by us that our plans or objectives will be achieved."}, {"path": "tedlium_7610.wav", "duration": 11.79, "text": "In addition, we have started using newer ligands that have distinct advantages and have discovered ways to eliminate the use of PK enhancing structures, which makes for a smaller and more structurally simple molecule."}, {"path": "tedlium_7611.wav", "duration": 11.79, "text": "As you have seen us do when we do not see opportunities to redeploy the capital in the business, we will return capital to our shareholders through share repurchases and dividends."}, {"path": "tedlium_7612.wav", "duration": 11.79, "text": "Do you feel like this is peak leverage for the company at the current time? And what type of leverage target would you have for 2017, given the earnings outlook?"}, {"path": "tedlium_7613.wav", "duration": 11.79, "text": "I am so proud to be able to announce today that Forbes, for the second consecutive year, has named us the Best Bank in America."}, {"path": "tedlium_7614.wav", "duration": 11.79, "text": "Real estate is a local business. So ensuring that we have great regional talent and a deep bench is important for Crombie to optimize the performance of our national portfolio and take advantage of our growing development pipeline."}, {"path": "tedlium_7615.wav", "duration": 11.79, "text": "Interest is pretty close to the same, maybe a very modest headwind depending on what rates actually end up doing. And then we clearly are going to have"}, {"path": "tedlium_7616.wav", "duration": 11.79, "text": "The changes are new to us or anyone else in this market. We're working closely with our clients and our partners in the industry, and we've been making tremendous progress, especially on our Total Audience Measurement strategy."}, {"path": "tedlium_7617.wav", "duration": 11.79, "text": "The results we have reported today speak to the progress we have made. We remain confident about Puerto Rico. We continue to improve our information technology and medical management infrastructure."}, {"path": "tedlium_7618.wav", "duration": 11.79, "text": "We'll invest approximately, don't hold me to it, but approximately 1 to 3 years after founding when the initial proof of concept has been demonstrated."}, {"path": "tedlium_7619.wav", "duration": 11.79, "text": "And third, in conjunction with this election, we've adopted a dividend policy that will allow investors to better appreciate the underlying stability and growth of our core management fee business."}, {"path": "tedlium_7620.wav", "duration": 11.79, "text": "Jay, the other thing just to note is our new product offerings continued to sparkle with the consumer. So we consistently get a higher order and absorption pace"}, {"path": "tedlium_7621.wav", "duration": 11.79, "text": "So if we ever look through the second half and I look to next year, do you find that this is a genuine trend that is helping you? And was this confirmed in the second quarter?"}, {"path": "tedlium_7622.wav", "duration": 11.79, "text": "Our wins on the HondaJet aileron, flap assemblies and engine pylons would not have been possible without the existing customer relationship with our Engineering Services business"}, {"path": "tedlium_7623.wav", "duration": 11.79, "text": "You can be very creative. You can create lots of different scenarios. However, it's difficult to do that with noodles. You cannot ask consumers to imagine,"}, {"path": "tedlium_7624.wav", "duration": 11.79, "text": "in the second quarter or third or fourth we may end up breaking even or even making a slight profit since we're incurring expenses now for stuff that's going to be delivered later on this year?"}, {"path": "tedlium_7625.wav", "duration": 11.79, "text": "as the quarters proceed? Yes, we think it is important to a hub to do a press release so his suppliers"}, {"path": "tedlium_7626.wav", "duration": 11.79, "text": "no change in that. What we are seeing is people are still flying to these destinations but staying for a shorter period of time. So it's not impacting on us in the same way that it's maybe impacting on other elements"}, {"path": "tedlium_7627.wav", "duration": 11.79, "text": "On October 5, it was announced that Honda and Yamaha Motor Company Limited have begun discussions toward a possible business alliance in the Japanese market in the Class 1 category,"}, {"path": "tedlium_7628.wav", "duration": 11.79, "text": "the under allocation is most pronounced is both in the wealth and what I would call the retirement channel, the defined contribution channel, which as you know, we've been adding"}, {"path": "tedlium_7629.wav", "duration": 11.79, "text": "the cost of production and the time to market or deliver to customers. Specific to the other more established players, some of them use contractors to manufacture their products,"}, {"path": "tedlium_7630.wav", "duration": 11.79, "text": "In addition to continued secular declines and modest price reductions in prints, there were a couple of projects in the second quarter of 2017 that did not repeat this year."}, {"path": "tedlium_7631.wav", "duration": 11.79, "text": "We expressly disclaim any obligation to do so. More detailed information about risk factors can be found in our annual and quarterly reports filed with the SEC. I will now turn the call over to Willy."}, {"path": "tedlium_7632.wav", "duration": 11.79, "text": "The effectiveness of our strategy to have focus on magnetic customers and infrastructure to build vibrant communities of interest that drive enormous value from being located in highly connected data centers."}, {"path": "tedlium_7633.wav", "duration": 11.79, "text": "But it's primarily just shifting some stuff out a little bit that we do expect we'll be getting on later in the year."}, {"path": "tedlium_7634.wav", "duration": 11.79, "text": "In addition, we saw a number of sizable convective storms across the northern plains states that resulted in hail and other physical damage to both auto and property exposures."}, {"path": "tedlium_7635.wav", "duration": 11.79, "text": "That's a key reason as to why the first quarter got off to a bit of a slow start. However, the good news is that we have a terrific group in place today and are approaching a full national coverage as we stand."}, {"path": "tedlium_7636.wav", "duration": 11.79, "text": "and we were able to rebound very nicely in the following 2 months, that obviously made up for any trend that we were fearful of coming out of April."}, {"path": "tedlium_7637.wav", "duration": 11.79, "text": "into having most of the project in operation by the end of 2017. This gives us significant flexibility in our ability to adapt to our CapEx plan for"}, {"path": "tedlium_7638.wav", "duration": 11.79, "text": "Finally, as we work to provide you with more insight into our business, we added new asset disclosures this quarter on our corporate advisory and centrally managed platforms, which we hope you find helpful."}, {"path": "tedlium_7639.wav", "duration": 11.79, "text": "We must plan for this continued growth in a prudent manner to ensure safe, clean, reliable and affordable delivery of electricity to all our customers. At this time, I'll hand the call over to Nathan, who will discuss our financial results."}, {"path": "tedlium_7640.wav", "duration": 11.79, "text": "on certain country head positions, but also the right changes with regard to how we want to drive marketing and sales from a commercial execution perspective. So I feel good about"}, {"path": "tedlium_7641.wav", "duration": 11.79, "text": "let's say, in line with the independent market in the first half year for us, so think in terms of somewhat of a flattish, slightly up business on the independent side."}, {"path": "tedlium_7642.wav", "duration": 11.79, "text": "On the other hand, if we look at this over time and we say, okay, we've done what we know we can do, we've made great wells, but they're just not going to compete with the kind of things that we have in our Permian inventory, for example."}, {"path": "tedlium_7643.wav", "duration": 11.79, "text": "Top line growth was once again among the best in the industry as we benefited from solid performance in core categories, led by sales of stocked products."}, {"path": "tedlium_7644.wav", "duration": 11.79, "text": "which has been a strong performing market for RGP. This is a new function in the executive team and one which will help us move from a primarily geographically-focused client service delivery model"}, {"path": "tedlium_7645.wav", "duration": 11.79, "text": "And we wanted to provide you with a little bit more description around the Data Center market and what we're doing in this market."}, {"path": "tedlium_7646.wav", "duration": 11.79, "text": "some corporate and non-BQ-related issuance and underwriting. And so while you have seen other institutions, in fact, some of the largest banks in the country report"}, {"path": "tedlium_7647.wav", "duration": 11.79, "text": "Thanks, Phil, and good morning, everyone. Let's begin on Page 5. We are pleased with our start to the year and results that were in line with the outlook we presented back in May."}, {"path": "tedlium_7648.wav", "duration": 11.79, "text": "was attributable you put to execution issues. And I'm guessing, obviously, most of that was unexpected. Do you see -- part of that gets recaptured here in the second quarter, it sounds like. But"}, {"path": "tedlium_7649.wav", "duration": 11.79, "text": "We remain focused on providing a superior and consistent experience at every touch point for our customers through innovation, quality service and personalized attention."}, {"path": "tedlium_7650.wav", "duration": 11.79, "text": "delivering digital forensic solutions to identify assets, forensic accounting solutions to determine the sources and uses of funds, and the overall impact of the misconduct."}, {"path": "tedlium_7651.wav", "duration": 11.79, "text": "You will see us work to increase that proactively going into '19. This is one of the key things that Allan and TJ have diagnosed as a big opportunity for FGL heading into next year."}, {"path": "tedlium_7652.wav", "duration": 11.79, "text": "I think we passed the final test just last week that we wanted to get through to show that we had the right product working and doing the right things, and we are preparing our submission to FDA to set up that meeting."}, {"path": "tedlium_7653.wav", "duration": 11.79, "text": "We are investing a significant amount of time meeting WIL's management and continue to be very impressed with their scientific expertise, operational capabilities and client focus."}, {"path": "tedlium_7654.wav", "duration": 11.79, "text": "And secondly, it also contradicts the key claims that the government had made in both of the cases, where it argued that it was acting in the best interest of Fannie and Freddie by reducing what the company would have otherwise"}, {"path": "tedlium_7655.wav", "duration": 11.79, "text": "With that, I will now turn the call over to Larry. Thanks, Jay, and good morning, everyone. As always we appreciate your time and your interest in Ellington Financial. On our call today I will first give an overview of the quarter."}, {"path": "tedlium_7656.wav", "duration": 11.79, "text": "So we're getting a little bit better concentration with dealers who were only partially Trex. They're going a little bit stronger, and that's enabled us to see a good growth at this point."}, {"path": "tedlium_7657.wav", "duration": 11.79, "text": "that would tell us that we should be seeing increases through 2017. The other thing to remember is we do buy recycled material and recycled material"}, {"path": "tedlium_7658.wav", "duration": 11.79, "text": "raise capital to fund a couple of new deals, we will certainly do that, and we would look to do that in a number of ways and including maybe looking to stretch our seniors if we needed to over a short period of time."}, {"path": "tedlium_7659.wav", "duration": 11.79, "text": "And what we're building is the ability of our business to be repeatable. And when I look back and I say, I don't know how great our product was in the last couple of years or how great our storytelling was. This isn't about any individual."}, {"path": "tedlium_7660.wav", "duration": 11.79, "text": "Our Monro Playbook is made up of standardized in-store operating procedures that include clearly defined roles and responsibilities for our teammates with a focus on service quality."}, {"path": "tedlium_7661.wav", "duration": 11.79, "text": "We therefore believe we'll be able to demonstrate to the commission and the independent evaluator that this project meets and exceeds the reasonable cost standard and represents tremendous value to our customers."}, {"path": "tedlium_7662.wav", "duration": 11.79, "text": "Over the last several years, we established a very strong position as the leading supplier of proprietary agents that are critical for successful cell and gene therapy manufacturing,"}, {"path": "tedlium_7663.wav", "duration": 11.79, "text": "or considered as a substitute for measures of financial performance prepared in accordance with GAAP. They are included to aid investors in further understanding the company's performance"}, {"path": "tedlium_7664.wav", "duration": 11.79, "text": "Yes, I mean, so mortgage rates have gone lower on a relative basis but candidly, they're still high enough that we don't expect"}, {"path": "tedlium_7665.wav", "duration": 11.79, "text": "I'll come back to this slide and some of the entrances in it in the months to come, but I can tell you that we have more opportunities"}, {"path": "tedlium_7666.wav", "duration": 11.79, "text": "restructuring actions are largely behind the company now in terms of the cost? Are there any additional actions that could be taken in FY '17 and how are you thinking about"}, {"path": "tedlium_7667.wav", "duration": 11.79, "text": "And the point that Fred was making earlier, is that there is a lot of value to be created by starting to collaborate and combine those decisions. But today,"}, {"path": "tedlium_7668.wav", "duration": 11.79, "text": "that sale of sub-acquiring, which is a more recent product. And I know that you are now training your sales force, and that event next week is very important."}, {"path": "tedlium_7669.wav", "duration": 11.79, "text": "And keep in mind also have the ability to build another gigawatt under the safe harbor and 300 megawatts that we can then repower that again aren't even in our forecast at this point."}, {"path": "tedlium_7670.wav", "duration": 11.79, "text": "can impact your profitability there. So I think that's the only thing we're now going back and looking at what does that truly mean if that business grows disproportionately to our total business."}, {"path": "tedlium_7671.wav", "duration": 11.79, "text": "Additionally, with the redundancy of natural gas pipelines that we own in Louisiana, we have the unique opportunity for accretive conversions of pipe into alternative commodity services."}, {"path": "tedlium_7672.wav", "duration": 11.79, "text": "what should investors think about State Street for the past decade, given the success of these programs, but then the bottom line not really changing as much? What's your more fresh perspective?"}, {"path": "tedlium_7673.wav", "duration": 11.79, "text": "We caution you that the actual results could differ materially from those that are indicated in these forward-looking statements due to a variety of factors. Information concerning these factors can be found in the company's filings with the SEC."}, {"path": "tedlium_7674.wav", "duration": 11.79, "text": "We have provided alternative metrics which adjust for this. As you can see, these are broadly similar to the prior year and comfortably above the levels expected for the 9-months credit rating."}, {"path": "tedlium_7675.wav", "duration": 11.79, "text": "and that is also taken to heart every day by our team members. I have said this before, if people give Crexendo's Ride The Cloud services and products a try,"}, {"path": "tedlium_7676.wav", "duration": 11.79, "text": "are things that actually help us win deals. Our competition is pretty static when it comes to doing these sorts of things for their"}, {"path": "tedlium_7677.wav", "duration": 11.79, "text": "to take a decision on what is the best for us as a firm. And obviously, for the shareholders. We'll balance that between the 2. Next question on the phone."}, {"path": "tedlium_7678.wav", "duration": 11.79, "text": "a future potential reduction in cash interest coupled with high insider stock ownership, Entercom clearly is an attractive platform for both debt and equity investors."}, {"path": "tedlium_7679.wav", "duration": 11.79, "text": "that was essentially positioned more towards Polo. We've started to undertake conversion of some of those stores, 2 stand-alone Polo stores versus the hybrid"}, {"path": "tedlium_7680.wav", "duration": 11.79, "text": "of 8 companies we acquired in 2016, and the focus and dedication of our 5,000-plus team members on ensuring that our customers are always our top priority and are provided the highest level of quality service."}, {"path": "tedlium_7681.wav", "duration": 11.79, "text": "that allows us to continue to execute on our strategic plan and face any challenges head on with the ultimate goal to always serve our customers at the highest level and provide quality, service and shareholder value for the years to come."}, {"path": "tedlium_7682.wav", "duration": 11.79, "text": "below the prior forecast of 7,000 vehicles. This better positions the used vehicle inventory going into next year as it will allow us to reduce the use of wholesaling and benefit pricing."}, {"path": "tedlium_7683.wav", "duration": 11.79, "text": "If we were to look at our sales last year, we'd see a significant number of expansions in our customer base to start working on their Medicare line of business."}, {"path": "tedlium_7684.wav", "duration": 11.79, "text": "requiring consolidation in the vendor community. And we think we have a competitive leg up. I think the other part that gives us a competitive"}, {"path": "tedlium_7685.wav", "duration": 11.79, "text": "to the deployment, both remotely in the field and then in the back office. And I think we're investing substantially in that area because I think that's where the future is."}, {"path": "tedlium_7686.wav", "duration": 11.76, "text": "These include statements regarding our expectations around the development, safety and efficacy of our drug candidates, projected cash runway and expected future development activities."}, {"path": "tedlium_7687.wav", "duration": 11.76, "text": "So challenge expenses and advanced investments, I was thinking that this year we're going to have less of that. So for sales promotion and advertisements,"}, {"path": "tedlium_7688.wav", "duration": 11.76, "text": "create an opportunity for us to possibly orchestrate and at least ask for the opportunity for that type of conversion. Few and far between going forward, but"}, {"path": "tedlium_7689.wav", "duration": 11.76, "text": "Last year, we had already implemented a number of process improvements in equipment forecasting and quoting, these rolled out in specific areas of the business and we are beginning to see the benefits."}, {"path": "tedlium_7690.wav", "duration": 11.76, "text": "We are continuing to pursue business with the other prospect as well. In addition, we've started work on the incremental add-on services for an existing client that I also referred to last quarter."}, {"path": "tedlium_7691.wav", "duration": 11.76, "text": "And then we looked into all of the events that were categorized as abdominal attacks in a post-hoc analysis and divided them up into attacks where they're abdominal symptoms only"}, {"path": "tedlium_7692.wav", "duration": 11.76, "text": "The T2-C was also a big hit, particularly among large brand owners who recognize the benefits of our compact, efficient, professional label press and its high return on investment."}, {"path": "tedlium_7693.wav", "duration": 11.76, "text": "Okay. So you're comfortable on that one. On Texas, I had thought also when we spoke last said it was going to be mostly a second half thing, perhaps subcontracting maybe with"}, {"path": "tedlium_7694.wav", "duration": 11.76, "text": "In terms of what we're looking at, we're really looking at a full spectrum of opportunities across each of our businesses in private equity, credit and real estate."}, {"path": "tedlium_7695.wav", "duration": 11.76, "text": "While that increase was off a little base, we're excited about our prospects in this market going forward given the strong housing fundamentals on the positive response our new communities have received."}, {"path": "tedlium_7696.wav", "duration": 11.76, "text": "While there were challenges in the quarterly revenue comparison as expected and communicated to you in February, we saw very positive trends in order activity and in industrial-related markets."}, {"path": "tedlium_7697.wav", "duration": 11.76, "text": "Despite some of the challenges we faced in the quarter on the top line, as Ken indicated, we were able to grow adjusted earnings by 24% and drive higher levels of free cash flow. I was really pleased by this."}, {"path": "tedlium_7698.wav", "duration": 11.76, "text": "So I think we're really trying to just make sure that we understand the opportunity set from a growth standpoint. But I think once we kind of work to what we think is a good time in the cycle, I think we believe,"}, {"path": "tedlium_7699.wav", "duration": 11.76, "text": "through these efforts, will support our future programs and we think will continue to be a strategic advantage for Amicus and a very differentiating feature for our Company."}, {"path": "tedlium_7700.wav", "duration": 11.76, "text": "And as you can see on the screen, there's a picture there of what this looks like in the post office in Leeds. Now this agency agreement will run for 5 years."}, {"path": "tedlium_7701.wav", "duration": 11.76, "text": "We have been expecting this -- I have been expecting this for several years, that this will come at one point, which hit -- actually started hitting the markets by the end,"}, {"path": "tedlium_7702.wav", "duration": 11.76, "text": "These grants were excluded from our adjusted results, and we expect that the funds expensed are not expected to be part of our run rate of our China business when the funds are exhausted."}, {"path": "tedlium_7703.wav", "duration": 11.76, "text": "and we will continue our efforts to push the envelope here, and not only in the areas where we have built LTE today, but to make sure that LTE becomes available all over the place."}, {"path": "tedlium_7704.wav", "duration": 11.76, "text": "Building segment revenue was up modestly compared to the fourth quarter of last year as progress on newer projects more than offset volume reductions from projects that completed or are winding down."}, {"path": "tedlium_7705.wav", "duration": 11.76, "text": "As we have discussed in the past, while we may be required to pay special dividends from time-to-time in the future, we want to operate with sustainable quarterly dividend covered by operating cash flow,"}, {"path": "tedlium_7706.wav", "duration": 11.76, "text": "But most of the new area that much more when we offer in terms of the new proposition to the new target group of the customer -- our customer and also"}, {"path": "tedlium_7707.wav", "duration": 11.76, "text": "then content service providers and cloud service providers and then the various segments, which are drawn by the deep and wide connectivity and cloud platforms. In"}, {"path": "tedlium_7708.wav", "duration": 11.76, "text": "The transportation market, in particular, holds significant potential due to the emphasis on greater regional connectivity with several light rail and high-speed rail projects continuing to progress forward."}, {"path": "tedlium_7709.wav", "duration": 11.76, "text": "We know that a great customer experience drives referrals, reduces the need for incentives as well as decreases warranty costs, all of which drive profitability and improve investor returns."}, {"path": "tedlium_7710.wav", "duration": 11.76, "text": "We have one lease in which we collect a portion of the rents in euros. In order to economically hedge our foreign currency risk, we partially finance this aircraft in euro-denominated debt."}, {"path": "tedlium_7711.wav", "duration": 11.76, "text": "but that doesn't mean we will certainly follow them on -- by increasing the number of hours. I think the decision of that will be based on the viewership available"}, {"path": "tedlium_7712.wav", "duration": 11.76, "text": "any historical investment we've made, which has really motivated us to supercharge it. We want to double the size of our footprint, and we're starting with that process right now."}, {"path": "tedlium_7713.wav", "duration": 11.76, "text": "And we want to be sure that our company is on the one hand resilient, and you see that we are dealing now much better with these shocks than ever before, but at the same time also agile enough"}, {"path": "tedlium_7714.wav", "duration": 11.76, "text": "so we should get a little bit of benefit from that. But we'll see what happens. And the other big thing too is what are our competitors doing and what is the competitive pricing landscape out there if that were to happen."}, {"path": "tedlium_7715.wav", "duration": 11.76, "text": "Investors, potential investors and other listeners are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements."}, {"path": "tedlium_7716.wav", "duration": 11.76, "text": "However, these projects are also competing with the needs in education, transportation and utility infrastructure, all of which are routinely prioritized over correctional infrastructure."}, {"path": "tedlium_7717.wav", "duration": 11.76, "text": "Please also note that percentage and basis points discussed are calculated using net sales, with the exception of advertising, which we'll be discussing in comparing to net online sales."}, {"path": "tedlium_7718.wav", "duration": 11.76, "text": "In addition, group contribution increased over 8% during the quarter, which provides evidence that meeting planners are continuing to spend at their events."}, {"path": "tedlium_7719.wav", "duration": 11.76, "text": "In addition, the higher credit quality convenience check customer also qualifies for higher loan amount. And to get an effective response from this customer,"}, {"path": "tedlium_7720.wav", "duration": 11.76, "text": "Now to be honest, we have not gotten the kind of response that we were thinking we might see on Ovation. Not as many people have taken us up on the offering. But we're going to continue to refine it and improve it."}, {"path": "tedlium_7721.wav", "duration": 11.76, "text": "Having said that, we had good comps this quarter, as we benefited from inflation and better execution through better blocking and tackling. We had a solid holiday period,"}, {"path": "tedlium_7722.wav", "duration": 11.76, "text": "of those investments. So we're going to continue to monitor our performance quite closely, but we want to make sure that we remain nimble in our ability to capture opportunities as we see them"}, {"path": "tedlium_7723.wav", "duration": 11.76, "text": "And I think the things that we're executing today have resulted in the progress we've made thus far and they're the same things that are going to drive us through '18. It's, as I said earlier, it's not really a new"}, {"path": "tedlium_7724.wav", "duration": 11.76, "text": "The expense growth is more than supported by revenue. In the event that the actual revenue reported is materially different than forecasted, the expense growth will not materialize as planned either."}, {"path": "tedlium_7725.wav", "duration": 11.76, "text": "and this doesn't need necessarily a very big spike in our cost of risk on top of where we are end of September because"}, {"path": "tedlium_7726.wav", "duration": 11.76, "text": "We are already starting to see benefits, such as reduced gas consumption and fewer service calls. We believe that by the end of the year, we will be at a run rate of 30% to 40% fewer service visits."}, {"path": "tedlium_7727.wav", "duration": 11.76, "text": "Specific allowance for potential write-offs are conservatively established through detailed analyses of both the overall quality and marketability of security held against each individual impaired account."}, {"path": "tedlium_7728.wav", "duration": 11.76, "text": "the full year. Now that all being said, with respect to the dividend, as we said repeatedly, one of our core priorities around capital allocation is the sustainable dividend that grows over time. And so"}, {"path": "tedlium_7729.wav", "duration": 11.76, "text": "can continue to be successful in the face of tougher comps. The combination of the launch of our DeWalt outdoor line as well as other enhanced products in conjunction with a more normal weather pattern this year"}, {"path": "tedlium_7730.wav", "duration": 11.76, "text": "Because of the size of the portfolio, large deals do have a disproportionate effect on spreads. Although, we are pleased with this quarter's results, we wouldn't expect to see these kinds of spreads on a recurring basis."}, {"path": "tedlium_7731.wav", "duration": 11.76, "text": "And we're bringing in new clients, too. So that's kind of from the retail side. On the commercial side, I think on the middle market business, we have done a better job at bringing clients with deposits"}, {"path": "tedlium_7732.wav", "duration": 11.76, "text": "The ancillary revenue strength from the Jetstar Group was assisted by the successful launch of plus 3 kilograms carry-on, increased catering and the bundling strategy."}, {"path": "tedlium_7733.wav", "duration": 11.76, "text": "As a reminder, restructuring charges are below the segment income line and are also an add-back under our bank credit facility calculation of EBITDA. With respect to revised full year segment targets."}, {"path": "tedlium_7734.wav", "duration": 11.76, "text": "I do want to take a moment and expand on the opportunities and the discipline required for the effective deployment of our cash."}, {"path": "tedlium_7735.wav", "duration": 11.76, "text": "Pivotal clinical validation data from our multi-center prospective BRAVE trial for the Envisia classifier were presented at the American Thoracic Society Conference in May."}, {"path": "tedlium_7736.wav", "duration": 11.76, "text": "combined the benefit of all these, what I would classify as kind of self-help items, all else being equal, what's the dollar amount of savings you expect this year?"}, {"path": "tedlium_7737.wav", "duration": 11.76, "text": "The increase in cost reflects higher development costs driven by the PIONEER program for semaglutide. This is partly countered by lower costs following the completion of the DEVOTE trial"}, {"path": "tedlium_7738.wav", "duration": 11.76, "text": "We are starting to observe the use of micro proppants in complex completions, with some 200 mesh sand being incorporated into some stimulation program. Core continues to test"}, {"path": "tedlium_7739.wav", "duration": 11.76, "text": "like this one, from a sort of profitability and volume angle for competitors, do you think there's going to be a lot more attrition and opportunity for you to gain share and maybe pick up some depressed assets? Or how do you think about that going into 2017? I"}, {"path": "tedlium_7740.wav", "duration": 11.76, "text": "and price the product accordingly. But we are actually leaning in, we are still leaning in kind of in the same way to help drive down LCOE and pass on a good chunk of the savings to our customers."}, {"path": "tedlium_7741.wav", "duration": 11.76, "text": "In particular, we have finished the integration of Barclays, we are quite advanced in the integration of Esperia and some key managers have been hired in this segment."}, {"path": "tedlium_7742.wav", "duration": 11.76, "text": "small Ruko, which is not probably -- which won't meet a mortgage requirement of a conventional bank. It could even be a pledge of title deeds. So the collateral is not very similar. So there is a difference in"}, {"path": "tedlium_7743.wav", "duration": 11.76, "text": "One of the areas of focus that I'm most proud of is our work on improving our hiring and training processes. We believe that as our economy continues to grow and competition for the best employees increases,"}, {"path": "tedlium_7744.wav", "duration": 11.76, "text": "choppy results or it's been spotty, at best. Can you just talk about the strength in this area that you're seeing and I guess, what makes the value proposition"}, {"path": "tedlium_7745.wav", "duration": 11.76, "text": "That review is not completed at this time. The company does not expect to execute any definitive agreements until these issues have been resolved and any necessary regulatory approvals have been received."}, {"path": "tedlium_7746.wav", "duration": 11.76, "text": "Well, it does include some people in the QC area. It includes some additional customer support people based on the increased activity on a revenue basis."}, {"path": "tedlium_7747.wav", "duration": 11.76, "text": "That seems a little inconsistent with the guidance, which implies that your fourth quarter profits are going to be really high to make up for the miss in the beginning of the year. Sorry for the duration there."}, {"path": "tedlium_7748.wav", "duration": 11.76, "text": "We've been having conversations with the city for quite some time as they had been looking at highway improvements throughout the area."}, {"path": "tedlium_7749.wav", "duration": 11.76, "text": "of LTL trailers, specially designed truck bodies and other product lines that specifically benefit from increasing demand in final mile and home delivery shipping trends."}, {"path": "tedlium_7750.wav", "duration": 11.76, "text": "deliberately keeping some retailers in place at lower rents so we can facilitate the speed at which we're remixing. So all of those added together probably means that"}, {"path": "tedlium_7751.wav", "duration": 11.76, "text": "And the fact that if we can leverage across this deep vertical confidence in so many different industries, and be able to put together cross industry solutions that really create competitive advantage for our customers,"}, {"path": "tedlium_7752.wav", "duration": 11.76, "text": "Before I begin to discuss our results, I caution you that we will be making forward-looking statements that are based on our current knowledge and some assumptions about the future and are representative as of today only."}, {"path": "tedlium_7753.wav", "duration": 11.76, "text": "you will have a retailer give it a go, but it as never taken hold. And it -- so it probably will happen again from time to time. It's happening a little bit now in vegetables."}, {"path": "tedlium_7754.wav", "duration": 11.76, "text": "who are responsive to immune checkpoint inhibition, and to increase the depth and duration of benefit in those patients who have no or only partial responses"}, {"path": "tedlium_7755.wav", "duration": 11.76, "text": "The important message here now is that we have gone through now and concluded this review of our contracts, so our business of risks in the balance sheet,"}, {"path": "tedlium_7756.wav", "duration": 11.76, "text": "We believe this expansion will benefit the entire PV portfolio. The team has successfully transitioned our entire FM business to this specialty organization starting in the third quarter, and"}, {"path": "tedlium_7757.wav", "duration": 11.76, "text": "We plan year-round to meet the intense challenges of the peak season as average daily volumes can more than double with heavy demand for residential e-commerce deliveries."}, {"path": "tedlium_7758.wav", "duration": 11.76, "text": "across our intermodal product, our truck brokerage and logistics, to be able to see capacity in the marketplace and to be able to give our customers visibility to that"}, {"path": "tedlium_7759.wav", "duration": 11.76, "text": "cumulative adjustment to reduce the steel price retroactively on an order already in backlog. This is because steel prices, which are a significant part of the cost of a tower, have been declining."}, {"path": "tedlium_7760.wav", "duration": 11.76, "text": "So then we started to sampling this product all over the world and then we picked up now the first sales. Although I see a lot of and great interest in this product,"}, {"path": "tedlium_7761.wav", "duration": 11.76, "text": "So that's certainly what's going to cause -- now most of these programs, once they're gone through feed stage, they've committed -- they're going to spend the money they're going to go, so it's not a question of are they going to rejigger these programs. So"}, {"path": "tedlium_7762.wav", "duration": 11.76, "text": "One of the things that makes Snapchat so unique is our camera and how frequently it is used by our community. This is different from many other services where content is uploaded from other sources rather than created in-app."}, {"path": "tedlium_7763.wav", "duration": 11.76, "text": "and Sean McGrath, Chief Financial Officer. Before we begin our comments on the financial results, we ask that you all take note of the cautionary language regarding forward-looking statements contained in the press release."}, {"path": "tedlium_7764.wav", "duration": 11.76, "text": "will afford us the ability to continue to strategically deploy capital and continue to utilize our leverage to execute on our strategic growth initiatives in alignment with our capital allocation strategy and drive shareholder value."}, {"path": "tedlium_7765.wav", "duration": 11.76, "text": "So we would hope to have some reduction in our inventory dollars by year-end. But I would not think that it's going to be"}, {"path": "tedlium_7766.wav", "duration": 11.76, "text": "With that, Dave will speak to you about our outlook. Our team is in the process of reviewing a number of high-quality properties which we believe could fit well into our current portfolio."}, {"path": "tedlium_7767.wav", "duration": 11.76, "text": "The medical community has also recognized the profound breakthrough that SPINRAZA represents for the treatment of SMA patients, with 2 publications in the New England Journal of Medicine, the most just a few weeks ago."}, {"path": "tedlium_7768.wav", "duration": 11.73, "text": "Our goal this afternoon is to provide an overview of our recent operational progress along with reviewing our corporate priorities and updated financial results for the third quarter. After that, we look forward to answering your questions."}, {"path": "tedlium_7769.wav", "duration": 11.73, "text": "packaging technology or current generation of smartphone features? Features, features. So all those features, they all have a life cycle and they all have"}, {"path": "tedlium_7770.wav", "duration": 11.73, "text": "Fair enough, and it sounds like the Gateway business had another quarter that was probably a little better than you are looking for when you headed into the year, I think you are looking for that business to be,"}, {"path": "tedlium_7771.wav", "duration": 11.73, "text": "Also a very good question. The short answer is no. And the reason is the way we've set up the trial is that we will collect all of the data on 52 weeks"}, {"path": "tedlium_7772.wav", "duration": 11.73, "text": "We are also helping customers build smarter relationships with their customers, and we are crafting the most secure and most flexible business platforms of the future."}, {"path": "tedlium_7773.wav", "duration": 11.73, "text": "having a larger share this year and generating very good returns. So those returns that Tim showed from last year, we are confident that, that's probably what we should now be expecting as we start to do some of"}, {"path": "tedlium_7774.wav", "duration": 11.73, "text": "That's all I'd like to say at this point on sales, marketing and manufacturing. I'd like to hand over to Mike to speak to the detail of the financial."}, {"path": "tedlium_7775.wav", "duration": 11.73, "text": "There are a couple of other general factors, which I should mention, that do have an effect on our results. First, interest remains a significant factor in our earnings equation."}, {"path": "tedlium_7776.wav", "duration": 11.73, "text": "a disposable capsule instead of cassettes, which are open. So those are just examples of innovation. Innovation is absolutely contributing to our leadership there, as is the breadth of the portfolio"}, {"path": "tedlium_7777.wav", "duration": 11.73, "text": "The large retail project that we are working continues to progress and our outlook for the project is unchanged. More broadly, we continue to see good growth across the retail vertical extending beyond the large project."}, {"path": "tedlium_7778.wav", "duration": 11.73, "text": "So we have several measures in place to make sure we maintain this level or can even decrease this level. We have managed to get our personnel cost down 2 points"}, {"path": "tedlium_7779.wav", "duration": 11.73, "text": "This test will accompany our print messages, our growing e-mail campaigns and social and mobile efforts during our most important season of the year."}, {"path": "tedlium_7780.wav", "duration": 11.73, "text": "human impact will be at the heart of every decision we make. We must honestly assess that what we are doing truly meets both, the functional and emotional needs of the people we serve."}, {"path": "tedlium_7781.wav", "duration": 11.73, "text": "Attracting and fostering the talent and leadership necessary to advance our purpose and achieve our goal is a key priority, and I'm looking forward to Gail joining our team next week."}, {"path": "tedlium_7782.wav", "duration": 11.73, "text": "Before we begin, I'd like to remind you that our discussion during the call will include forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially"}, {"path": "tedlium_7783.wav", "duration": 11.73, "text": "in terms of new business. So hiring the business development officers was an important step in that area. I think some of the technology changes that we've made here in the first quarter"}, {"path": "tedlium_7784.wav", "duration": 11.73, "text": "Phase 2 buildout, we are currently in active discussions with several other existing and prospective customers regarding future incremental capacity at Collins."}, {"path": "tedlium_7785.wav", "duration": 11.73, "text": "want to get -- the business of predicting what Mother Nature is going to do out for the rest of the year. So -- but again, good results, a big driver of the positive outcome in the first quarter."}, {"path": "tedlium_7786.wav", "duration": 11.73, "text": "Industry data suggests that restaurant sales have softened significantly in Denver, which has been exasperated by storms in late March and throughout April."}, {"path": "tedlium_7787.wav", "duration": 11.73, "text": "As previously disclosed, we have actively marketed a subsidiary within the Products and Systems segment and are nearing a favorable outcome for those activities."}, {"path": "tedlium_7788.wav", "duration": 11.73, "text": "Yes, and there has been a number of different transitions with the product over the last several years. But we're very confident in Metuchen's ability to really boost the product in the future."}, {"path": "tedlium_7789.wav", "duration": 11.73, "text": "Our management team has recently assessed the viability of development and validate there is potential to build well in excess of 10,000 net new apartments,"}, {"path": "tedlium_7790.wav", "duration": 11.73, "text": "in improving the profitability of the business for us in International. So I view that, well, much like I view the improvements that we've made at the Harris business over the last several years,"}, {"path": "tedlium_7791.wav", "duration": 11.73, "text": "We -- I mentioned that indeed, there are some fee events that have been pushed out. Don't forget I made that specific comment in the context of our"}, {"path": "tedlium_7792.wav", "duration": 11.73, "text": "through the home -- through homes versus behind the stores. I think we're going to have a fairly strong holiday season. Consumers seem to be in a pretty good mood so"}, {"path": "tedlium_7793.wav", "duration": 11.73, "text": "Because the cost of doing business will continue to rise and fee pressures will persist, we're implementing strategies to more aggressively manage expenses and improve productivity."}, {"path": "tedlium_7794.wav", "duration": 11.73, "text": "And we do engage with them. I can't tell you that we'll get a booking next week or next month because of it. But we know that in the longer term, they'll see more value from our products."}, {"path": "tedlium_7795.wav", "duration": 11.73, "text": "and we split our model, we'll call it. We focused more on specific resources on new logo development and new logo sales and specific resources on"}, {"path": "tedlium_7796.wav", "duration": 11.73, "text": "in the face of the increasingly complex environment our customers are operating in. The fourth area of progress I would like to update on is the strengthening of our leadership team."}, {"path": "tedlium_7797.wav", "duration": 11.73, "text": "This is an important element of AMG's diversification strategy in sensors. And our ability to build highly accurate sensors,"}, {"path": "tedlium_7798.wav", "duration": 11.73, "text": "And the timing of those folks coming to Texas is somewhat dependent upon have they done a deal recently or are they on the sidelines. There's a whole bunch of timing aspects to that last bucket."}, {"path": "tedlium_7799.wav", "duration": 11.73, "text": "so that is not one of the tissues that our internal work has involved. So that gives you a little bit more color, perhaps not as much as you'd like, but some additional color on where we stand."}, {"path": "tedlium_7800.wav", "duration": 11.73, "text": "Advancing these efforts position us to execute and operate a program in late 2019 or early 2020. We remain excited about the potential of our large acreage position"}, {"path": "tedlium_7801.wav", "duration": 11.73, "text": "Got it. So it sounds to me like this is really just a new paradigm and you guys need to find ways to mitigate that cost with some reductions or either higher prices from your customers. Exactly."}, {"path": "tedlium_7802.wav", "duration": 11.73, "text": "Demand for these services continues to grow steadily, driven by increases in both the quality of property inventory and the propensity of Asian companies to outsource."}, {"path": "tedlium_7803.wav", "duration": 11.73, "text": "And third, Marlin has been operating for almost 2 decades with an evolving set of business processes that need to be evaluated and renewed in order to improve the company's operating efficiency."}, {"path": "tedlium_7804.wav", "duration": 11.73, "text": "Discussions are also moving forward with potential mass production partners to help scale production. Our discussions have expanded, as we were recently approached by another group"}, {"path": "tedlium_7805.wav", "duration": 11.73, "text": "Good morning. My name is Nicole, and I will be your conference operator today. At this time, I would like to welcome everyone to the Lindsay Corporation"}, {"path": "tedlium_7806.wav", "duration": 11.73, "text": "We also improved our shipping and fulfillment expenses as a percentage of digital sales, while increasing the speed to customer by half a day overall."}, {"path": "tedlium_7807.wav", "duration": 11.73, "text": "The second quarter is seasonally the weakest quarter of the year. In addition, as you are aware, there has been a surge in the fuel prices and a significant depreciation in the Indian rupee during the quarter."}, {"path": "tedlium_7808.wav", "duration": 11.73, "text": "The soundness of these metrics reflects our philosophy of maintaining significant cushions to our borrowers' enterprise value in support of our capital preservation and income goals."}, {"path": "tedlium_7809.wav", "duration": 11.73, "text": "of natural rubber, which then in turn makes it a biofuel. So what happens is, you end up"}, {"path": "tedlium_7810.wav", "duration": 11.73, "text": "For the full year, we expect constant currency sales for this segment will be relatively flat and that the segment's annual gross profit margin will improve by 50 to 100 basis points"}, {"path": "tedlium_7811.wav", "duration": 11.73, "text": "We expect our working capital position to improve as revenue increases. We'll also get a boost as we receive more revenue from our recent forklift purchase orders."}, {"path": "tedlium_7812.wav", "duration": 11.73, "text": "hasn't really yielded anything yet that says that it wouldn't continue to be a growth. Now having said that, I was just in Washington last week meeting with both customers and some of our sellers,"}, {"path": "tedlium_7813.wav", "duration": 11.73, "text": "the majority of which took place on the SMC. This strong mineral resource space lends itself to potential reserve growth conversion in the future."}, {"path": "tedlium_7814.wav", "duration": 11.73, "text": "Going to Slide 7. With record production and a strong cost performance, we succeeded in generating solid financial results for the year."}, {"path": "tedlium_7815.wav", "duration": 11.73, "text": "levels of volumes and applications and fundings. Do you think it's an opportunity -- I mean, perhaps the growth will slow, but it's an opportunity to get an even higher grade of credit quality in the portfolio? Because you"}, {"path": "tedlium_7816.wav", "duration": 11.73, "text": "of the book where you have sort of longer-term duration contracts, and then you talked to those that have sort of already raised a ton of capital. I mean, as you sort of continue to look at"}, {"path": "tedlium_7817.wav", "duration": 11.73, "text": "In this effort, I believe the fundamentals speak for themselves. Out of nowhere, relative to typical time frames in this industry, we are poised to become the leading provider of inherited genetic testing services in the next 12 to 18 months."}, {"path": "tedlium_7818.wav", "duration": 11.73, "text": "The rest, it was really made of investment in the development of the training material for the new POS system that will be"}, {"path": "tedlium_7819.wav", "duration": 11.73, "text": "We have materials and manufacturing capacity to achieve our customer schedules, and we do not anticipate additional cost for fulfillment as we experienced last year during our busy season."}, {"path": "tedlium_7820.wav", "duration": 11.73, "text": "We're developing new projects with attractive returns that complement our strategy. And by doing all of this well, we can continue to reward our shareholders with solid distributions."}, {"path": "tedlium_7821.wav", "duration": 11.73, "text": "I would also add that, as Marty talked about obsolescence, we're also making sure that, that plays a part going forward in what we call our line review process so that we're thinking about"}, {"path": "tedlium_7822.wav", "duration": 11.73, "text": "which means it can be expensed for that -- so it will actually be reduced from the expenses for that year. So this pushes up profit figures."}, {"path": "tedlium_7823.wav", "duration": 11.73, "text": "Of course during the first weeks of the fourth quarter, we've seen increased volatility and we've seen virtually every fixed income sector widen relative to Treasuries. We believe that this environment again underscores the importance"}, {"path": "tedlium_7824.wav", "duration": 11.73, "text": "and we adjust for Fidelity in terms of the extra couple of months that we got year-to-date and adjust them out of kind of the revenue and out of the occupancy impact"}, {"path": "tedlium_7825.wav", "duration": 11.73, "text": "And I'm pleased to report this quarter that we won 2 new nonfinancial institution pieces of business in the quarter. These wins represent some early success for us in this area."}, {"path": "tedlium_7826.wav", "duration": 11.73, "text": "But I would tell you, the commercial structure will be such that it will certainly underpin the substantial investments required for these LNG projects."}, {"path": "tedlium_7827.wav", "duration": 11.73, "text": "And what we've seen through the first half of the year is as we've increased our sales volume, our production volumes, we're gradually starting to absorb back more and more of that additional overhead cost."}, {"path": "tedlium_7828.wav", "duration": 11.73, "text": "space, as you heard this morning, is a game changer for churches and a massive opportunity for Blackbaud. We also continue to execute against our 4-point growth strategy,"}, {"path": "tedlium_7829.wav", "duration": 11.73, "text": "we talked -- that's one of the reasons why handbags is being relaunched. Same thing with what's in the outlet stores, we want what's in the outlet stores to be reflective of the Vince brand because we think that customer, in many ways,"}, {"path": "tedlium_7830.wav", "duration": 11.73, "text": "Starting later this year, we also expect to see initial cash flows from our first multi-family development in Toronto, followed by contributions from other buildings as they come on stream in the years ahead."}, {"path": "tedlium_7831.wav", "duration": 11.73, "text": "I think what worked in terms of programs 15 years ago no longer works. Engagement with the youth in these areas remains a critical part of our future long-term success."}, {"path": "tedlium_7832.wav", "duration": 11.73, "text": "It's not increasing, but it is at a healthy margin for the business that we want. So we're doing all types of things to try to find new areas of business and you hear people talking about direct and all these different things,"}, {"path": "tedlium_7833.wav", "duration": 11.73, "text": "Large deal, we started working. We put together a large deal team almost 18 months ago now. And for the first time in our company, we started working with the advisers and the influencers community."}, {"path": "tedlium_7834.wav", "duration": 11.73, "text": "when you think about it, we're probably arguably one of the highest growth rates in the industry. And what I want to do today and with our team is explain how solid this really is and"}, {"path": "tedlium_7835.wav", "duration": 11.73, "text": "which we see as the ticket of entry at the utilities and economic imperative at the Generation business. And I'm happy to report that the third quarter was operationally strong."}, {"path": "tedlium_7836.wav", "duration": 11.73, "text": "and turn them into liquids assets. Whether those are crude -- whether those would move crude or whether those would move NGLs. So we would also evaluate our ability to do that."}, {"path": "tedlium_7837.wav", "duration": 11.73, "text": "and that they don't start moving more aggressively on price. The likely timing for that would be beginning of calendar 2019. But of course, depending upon how hot things get, we could always go sooner."}, {"path": "tedlium_7838.wav", "duration": 11.73, "text": "And we will continue to prepare the bank for the future, which means that, when these heavy regulatory implementation projects come in, we will not slow down in the other key agendas for the future bank."}, {"path": "tedlium_7839.wav", "duration": 11.73, "text": "And we need to do that because we understand that, firstly, just to be in a position to be able to service the business that we see coming down the road, we have to achieve all this."}, {"path": "tedlium_7840.wav", "duration": 11.73, "text": "strategic understanding of the marketplace and how other companies like the ones that are being started by the VCs think and how they want to work with us. And just on a pure revenue basis"}, {"path": "tedlium_7841.wav", "duration": 11.73, "text": "National Accounts also remained in the high single digits. And as expected, Government was negative in the quarter, weighing down our overall growth rate."}, {"path": "tedlium_7842.wav", "duration": 11.73, "text": "we are already leaving this bottom. And your question about Europe, of course, the prices in Europe are slightly higher than prices in China. European clients"}, {"path": "tedlium_7843.wav", "duration": 11.73, "text": "These risks, uncertainties and contingencies are indicated from time to time in Tecnoglass' filings with the Securities and Exchange Commission. The information discussed during the call is presented in light of such risks."}, {"path": "tedlium_7844.wav", "duration": 11.73, "text": "The first is earnings per share. The negative was an increased repo rate on the Agency portfolio. The positive was more assets allocated to the Non-Agency strategy"}, {"path": "tedlium_7845.wav", "duration": 11.73, "text": "the choice has to be made because we are so focused on paying down debt and we're going to have some excess cash. Now look, if we're -- we have a better cash picture than what we're talking about right now,"}, {"path": "tedlium_7846.wav", "duration": 11.73, "text": "Our efficiency efforts should be reflected in operating margin improvement over time, as legal costs normalize and we begin to see the full annual impact of our expense management activities."}, {"path": "tedlium_7847.wav", "duration": 11.73, "text": "having to bring in additional resources to fill those gaps, which we expected to happen. As you're reducing resources, you're going to uncover things in the operations that need to be addressed."}, {"path": "tedlium_7848.wav", "duration": 11.73, "text": "now representing nearly 10% in the third quarter of 2015. We believe Reliance remains very well-positioned to gain market share in this area on a global basis."}, {"path": "tedlium_7849.wav", "duration": 11.73, "text": "in relation to the results for the comparable period last year. Reconciliations of the adjusted financial results to comparable GAAP financial measures are included in our earnings release"}, {"path": "tedlium_7850.wav", "duration": 11.73, "text": "Our release and today's commentary include non-GAAP financial measures, which exclude the impact of restructuring, acquisition and divestiture expenses and charges in current year results"}, {"path": "tedlium_7851.wav", "duration": 11.7299375, "text": "The proceeds received from the equity offering along with our revolver assure that we have sufficient cash available to repay the outstanding debt of Seventy Seven Energy."}, {"path": "tedlium_7852.wav", "duration": 11.7000625, "text": "the equipment's expensive, the techs are very specialized, and they're not easy to hire and there's a lot of process around doing FISH and doing multiple menu, FISH menus, like we have, we have over 60 different FISH"}, {"path": "tedlium_7853.wav", "duration": 11.7000625, "text": "and leverage it appropriately. And so we will keep our eyes out for opportunities that may make sense for us that we can extract an appropriate return and add value to the business longer term."}, {"path": "tedlium_7854.wav", "duration": 11.7000625, "text": "but also benefiting from some fairly significant market trends that are pushing business into areas that we care most about such as"}, {"path": "tedlium_7855.wav", "duration": 11.7000625, "text": "our operational and geographical spread continued to provide good natural hedges and our EBITDA margin remains well protected against these currency fluctuations."}, {"path": "tedlium_7856.wav", "duration": 11.7, "text": "However, it's the bigger piece of activity to open up our platform to third-party technologies that will take some time to land but once -- will lay an important foundation the business will benefit for many years to come."}, {"path": "tedlium_7857.wav", "duration": 11.7, "text": "in the second quarter of 2015. This is a direct result of our ability to drive organic growth within desired specialties and procedure type within our system."}, {"path": "tedlium_7858.wav", "duration": 11.7, "text": "Strong global oil demand growth and U.S. product exports will continue to give us opportunities in our Central and South American franchises."}, {"path": "tedlium_7859.wav", "duration": 11.7, "text": "while the renovations are, I think, done very well, we can't sell rooms that we don't have and we didn't have that in the initial numbers at the beginning of the year, but it is in our guidance now."}, {"path": "tedlium_7860.wav", "duration": 11.7, "text": "was the partnership with Korean Re is established through a swap arrangement and the outgoing premium contributes that increased reinsurance spend."}, {"path": "tedlium_7861.wav", "duration": 11.7, "text": "from the automotive industry in the second half of the year. The direct industry segment grew by 9.1%, thanks to the strong demand from the electronics and automotive sectors"}, {"path": "tedlium_7862.wav", "duration": 11.7, "text": "where, over time, our inventory levels and product costs will decline and margins will be enhanced. Once again, execution and results take time."}, {"path": "tedlium_7863.wav", "duration": 11.7, "text": "and the attractiveness of MAP itself, we think, is enhanced by the addition of the index products. And then once it leaves and that percentage which goes to Navigator how much migrates to nonproprietary product"}, {"path": "tedlium_7864.wav", "duration": 11.7, "text": "Before turning the microphone over to Leeny, let me thank Marriott's associates around the world. They are shouldering the burden of integrating Marriott and Starwood even as they deliver excellent results"}, {"path": "tedlium_7865.wav", "duration": 11.7, "text": "And finally, we remain on track with our discovery efforts on other rare disease targets and expect to announce one new program that will enter preclinical development by year-end."}, {"path": "tedlium_7866.wav", "duration": 11.7, "text": "The reconciliation in our press release separately presents our results of operations from those of the drop-down assets' predecessor prior to our ownership."}, {"path": "tedlium_7867.wav", "duration": 11.7, "text": "continue to grow our margin capture inside the store. And then we'll continue to look and identify long term to find the right dealers to go into those stores that can be a success for us in the long term."}, {"path": "tedlium_7868.wav", "duration": 11.7, "text": "Residential and small commercial customers who install solar will now receive a monthly bill credit for excess energy exported to TEP's distribution system."}, {"path": "tedlium_7869.wav", "duration": 11.7, "text": "As we look ahead, we remain focused every day on the fundamentals, managing costs, winning new business and executing well on what we've already won."}, {"path": "tedlium_7870.wav", "duration": 11.7, "text": "taken all this into consideration. I don't think what happened 2 years ago will not occur again. The objective conditions just isn't there anymore."}, {"path": "tedlium_7871.wav", "duration": 11.7, "text": "We grew slightly above the first quarter, almost 15%. And in the whole year, the growth is almost 4% in the first half of the year, which can be"}, {"path": "tedlium_7872.wav", "duration": 11.7, "text": "We expect our second quarter site level operating expense year-over-year growth may decelerate modestly compared to site level operating expense growth in the first quarter"}, {"path": "tedlium_7873.wav", "duration": 11.7, "text": "and looking forward to more demonstrable results from our acquisition integration activity. In a quarter that was both supply-rich and characterized by stretches of rising fuel costs,"}, {"path": "tedlium_7874.wav", "duration": 11.7, "text": "the effect for the society and for the company, but then I think there is an effect for the company that is much more important than the saving as such and that is we expect"}, {"path": "tedlium_7875.wav", "duration": 11.7, "text": "Sales continued to vary by location, but we're generally seeing good growth across most airports, both the big international ones and the smaller regional ones."}, {"path": "tedlium_7876.wav", "duration": 11.7, "text": "that our entire sales process is integrated with engineering. This means we are particularly adept at providing solutions that our enterprise customers need and want."}, {"path": "tedlium_7877.wav", "duration": 11.7, "text": "Display and Packaging productivity was negative almost entirely due to issues in our retail security packaging business associated with the influx of new business."}, {"path": "tedlium_7878.wav", "duration": 11.7, "text": "As a result, we are seeing customers engaging Applied in earlier and deeper collaborations to develop unique solutions focused on device performance and yield."}, {"path": "tedlium_7879.wav", "duration": 11.7, "text": "We are particularly excited by our work with Amazon, a critical component of the online marketing and distribution spectrum, as they will serve as another distributor for us."}, {"path": "tedlium_7880.wav", "duration": 11.7, "text": "Reynolds American had a very successful first 9 months of the year with strong financial performance across each of its operating companies, along with the successful completion of our integration process."}, {"path": "tedlium_7881.wav", "duration": 11.7, "text": "Now I'd like to shift to our operating priorities. We continue to make strong progress against driving growth in our core and adjacent markets, accelerating innovation and investing in our people."}, {"path": "tedlium_7882.wav", "duration": 11.7, "text": "for Aeroplan. Before we come back to the overall strategy around coalitions and contract renewals, let me touch briefly on Slide 17, to cover performance in international coalitions in the quarter."}, {"path": "tedlium_7883.wav", "duration": 11.7, "text": "Our 2019 capital spending will be primarily focused on two areas. Expanding our logistics capabilities through the growth of our wellsite storage solutions fleet,"}, {"path": "tedlium_7884.wav", "duration": 11.7, "text": "do you have any color you could provide on what percentage of adjusted EBITDA comes from servicing? Is it well more than half? Considering the size and duration of the servicing portfolio"}, {"path": "tedlium_7885.wav", "duration": 11.7, "text": "As we look to bring more operated capital into our 2019 budget, we are working to accelerate additional identified recompletions and infill drilling locations."}, {"path": "tedlium_7886.wav", "duration": 11.7, "text": "Like we said in the call, we would have preferred to invest the majority of that in credit. It's just difficult getting the right types of credit assets on the books at the yields that we want to have"}, {"path": "tedlium_7887.wav", "duration": 11.7, "text": "We're looking forward to future growth of our high cacao content products as a high-value-added product group that combines good taste with a health benefit."}, {"path": "tedlium_7888.wav", "duration": 11.7, "text": "justify fees, but we all do have to do it. And the one answer that we have is, in every case, we've invested a lot, bringing new portfolio managers in and"}, {"path": "tedlium_7889.wav", "duration": 11.7, "text": "versus buying back our stock, which again we think we'd be buying back at below intrinsic value versus paying a dividend, which is important to some of our shareholders,"}, {"path": "tedlium_7890.wav", "duration": 11.7, "text": "during the third and fourth quarter that do enhance other parts of our cost structure but a relatively low ARPM minutes."}, {"path": "tedlium_7891.wav", "duration": 11.7, "text": "I want to emphasize that our second quarter achievements strengthen our confidence that we are focused on the right immediate priorities and that over the long term, we are well positioned to climb back into positive market share growth."}, {"path": "tedlium_7892.wav", "duration": 11.7, "text": "we have no intent really to go out and dilute shareholders. We've been saying that for quite a while now. We use cash on hand as our intent to close the Zephyr transaction."}, {"path": "tedlium_7893.wav", "duration": 11.7, "text": "But I think the more interesting things that we do as a company and the more people in that space understand how what they're doing impacts what we can do as a company,"}, {"path": "tedlium_7894.wav", "duration": 11.7, "text": "Certainly, our first focus continues to be to drive traffic in a positive direction in all stores, but included among actions after that are the following."}, {"path": "tedlium_7895.wav", "duration": 11.7, "text": "the rapidly changing regulatory landscape and the rapidly changing expectation of consumers is really strengthening our position with our customers right now because it's so challenging for any company to navigate. And"}, {"path": "tedlium_7896.wav", "duration": 11.7, "text": "These estimates do not include any impact from potential acquisitions. This outlook may be further refined and expanded when we release our fourth quarter financial results in late February."}, {"path": "tedlium_7897.wav", "duration": 11.7, "text": "Also during the quarter, the REIT was pleased to provide occupancy to Porsche Cars Canada at their newly developed dealership head office and training center located at the REIT's Consumers Road complex."}, {"path": "tedlium_7898.wav", "duration": 11.7, "text": "Export beverages and fruit performance will continue to improve in the second half given traction by distributor partners in key markets and the availability of quality dry fruit."}, {"path": "tedlium_7899.wav", "duration": 11.7, "text": "can you tier the key drivers? And is it too early to talk about where margins can go to? And if you already stated that earlier, I apologize."}, {"path": "tedlium_7900.wav", "duration": 11.7, "text": "And you know that when you look at the overall period of construction of the ships and how the working capital evolves, there are periods where you have cash consumption in working capital. So those are the 2 reasons."}, {"path": "tedlium_7901.wav", "duration": 11.7, "text": "Financial results for the second quarter were released after the close of the market today. We also published supplemental information highlighting certain current and historical performance metrics."}, {"path": "tedlium_7902.wav", "duration": 11.7, "text": "The company plans to close on a securitized auto loan during the fourth quarter. In addition, the company continues to review other options to diversify its funding sources. The"}, {"path": "tedlium_7903.wav", "duration": 11.7, "text": "In line with our approach of managing the business for the long term, the offering strengthens and diversifies our balance sheet and provides incremental capital to be used to make investments."}, {"path": "tedlium_7904.wav", "duration": 11.7, "text": "Our fourth area, services for our largest customer, have met or exceeded our revised expectations following the changes in scope of service we announced in April."}, {"path": "tedlium_7905.wav", "duration": 11.7, "text": "As the housing market continues to improve, I believe the company is well positioned to deliver strong financial results, creating long-term value for our shareholders. Now I'd like to turn the call over to Mark."}, {"path": "tedlium_7906.wav", "duration": 11.7, "text": "they have no food and no water because they couldn't come up to the road to supply the town. So everything has shut down as we speak."}, {"path": "tedlium_7907.wav", "duration": 11.7, "text": "but it's no secret that 2016 is expected to be another challenging year. On Slide 16, you can see various issues that are affecting all categories, not just ours."}, {"path": "tedlium_7908.wav", "duration": 11.7, "text": "So just pointing that out, given that -- to highlight that the growth in our yields in the portfolio were really core and not fair value-driven."}, {"path": "tedlium_7909.wav", "duration": 11.7, "text": "and our big projects also on the western side of Ontario, plus obviously all the maintenance of their network. This is a network that is"}, {"path": "tedlium_7910.wav", "duration": 11.7, "text": "Another reason for our early traction in Europe is that we have been able to partner with a set of distributors that have deep experience and relationship in the microbiology and infectious diseases space."}, {"path": "tedlium_7911.wav", "duration": 11.7, "text": "and also a more stringent recruiting processes. And this really has a double effect, right? Because on the one hand, you got more terminations from more stringent validation requirements that are being enforced."}, {"path": "tedlium_7912.wav", "duration": 11.7, "text": "with continued confidence for approval as we've said before by year end 2017. Second, we continued the execution of precision controlled launch strategy,"}, {"path": "tedlium_7913.wav", "duration": 11.7, "text": "Given U.K. and Canadian operations now represent roughly 10% of our business, it is important to consider currency translation when modeling both top and bottom line in this volatile currency environment."}, {"path": "tedlium_7914.wav", "duration": 11.7, "text": "It's exactly the reason why we did the diversification and the acquisition we did in 2012 and potentially setting up very nicely to see those benefits over the next couple of years. So"}, {"path": "tedlium_7915.wav", "duration": 11.7, "text": "I'm glad you asked the question. I was going trying to try to pick up on it later on the call before concluding the call. When -- I said earlier that -- I referred to the Brio Gold division"}, {"path": "tedlium_7916.wav", "duration": 11.7, "text": "a steady demand for their product which is consumed by the EnerSys sales channel primarily in the Asian region has helped them. So we had"}, {"path": "tedlium_7917.wav", "duration": 11.7, "text": "as customers tend to buy online the higher frequency, smaller items and they tend to focus their trips to the store for more discovery,"}, {"path": "tedlium_7918.wav", "duration": 11.7, "text": "That concludes my prepared remarks. I'd like to remind everyone that the purpose of today's call is to discuss our first quarter results, and I ask you to please limit your questions to our earnings announcement."}, {"path": "tedlium_7919.wav", "duration": 11.7, "text": "Thank you, Kevin. Good morning, everyone. We're pleased to report another quarter with record revenue and earnings. As always, I'd like to begin today by thanking our associates for all the hard work that went into producing those results"}, {"path": "tedlium_7920.wav", "duration": 11.7, "text": "we never really focused on them as much just simply, because from a competitive perspective they're usually not quite in the same game as us. Just due to some of the efficiencies we have with the equipment"}, {"path": "tedlium_7921.wav", "duration": 11.7, "text": "We are pleased with our progress, and we remain focused on continuous improvement initiatives across our global platform that will further enhance Culp's strong value proposition."}, {"path": "tedlium_7922.wav", "duration": 11.7, "text": "One thing I think it's interesting, Jim, is when I look at this reserve, if you look at the spending against the reserve over the last several years, it has been declining"}, {"path": "tedlium_7923.wav", "duration": 11.7, "text": "These statements are not a guarantee of future performance and results may differ materially from those projected. I ask you to refer to our SEC filings for a full discussion of the company's risk factors."}, {"path": "tedlium_7924.wav", "duration": 11.7, "text": "We continue to believe that we have significant opportunity to grow this category from a penetration level of 11% to north of 20%, which is in line with our peer set."}, {"path": "tedlium_7925.wav", "duration": 11.7, "text": "Starting with our initiatives to improve the customer experience, we reached a key milestone during the quarter with a successful implementation of our new operating procedures, which we call,"}, {"path": "tedlium_7926.wav", "duration": 11.7, "text": "as we believe the implementation of our standardized in-store operating procedures and brand standards will benefit our integration process and increase the value we realize from these stores."}, {"path": "tedlium_7927.wav", "duration": 11.7, "text": "And you would like to reduce sugar, and I'm sure that question comes up afterwards. Then there is one very, very easy way. You are going to eat"}, {"path": "tedlium_7928.wav", "duration": 11.7, "text": "So for that reason, I think doing that and as well assuming that 5%, I think we are on the safe side that we should be able to do that."}, {"path": "tedlium_7929.wav", "duration": 11.7, "text": "I also found a strong culture of innovation and an intense and unwavering focus on the customer, both of which I believe are critical for the success of any company."}, {"path": "tedlium_7930.wav", "duration": 11.7, "text": "This segment continues to successfully execute its optimization strategy with an ongoing commitment to margin improvement, manufacturing excellence and leadership and product innovation."}, {"path": "tedlium_7931.wav", "duration": 11.7, "text": "Factors that could cause this include the factors described in our most recent SEC filed quarterly or annual reports under Management's Discussion and Analysis of Financial Condition and Results of Operation"}, {"path": "tedlium_7932.wav", "duration": 11.7, "text": "according to our own design, I mean you do not have reverse logistics, you don't have a series of things that you would have when you were talking about a traditional retail company."}, {"path": "tedlium_7933.wav", "duration": 11.7, "text": "so we need to add more staff to do those types of calculations. You're talking about around -- a very complicated statement of cash flows for very many of the same reasons in terms of the foreign operations."}, {"path": "tedlium_7934.wav", "duration": 11.7, "text": "We continue to exercise the appropriate patients in order to maximize the commercial potential for each of these devices and sign the appropriate deal for our shareholders. As you may recall,"}, {"path": "tedlium_7935.wav", "duration": 11.7, "text": "Good afternoon, and welcome to the GameStop earnings call. I want to thank our worldwide team for another great effort in the first quarter in delivering outstanding customer service."}, {"path": "tedlium_7936.wav", "duration": 11.7, "text": "effects can actually overwhelm anything that we might do, and that I'm actually confident we will do on the revenue side, so it makes sense for us to manage the company with expense basis"}, {"path": "tedlium_7937.wav", "duration": 11.7, "text": "And we have been so every day as we were turning the business around, both operationally and financially. And while we were building those 4G and cable fiber networks we had our eye on the cash flows."}, {"path": "tedlium_7938.wav", "duration": 11.7, "text": "In summary, we have achieved important milestones and continue to drive toward additional achievements that create value in our programs and in the company."}, {"path": "tedlium_7939.wav", "duration": 11.7, "text": "The other factor that we'll have to observe is the regulatory pendulum. I think it's clear that it is going to swing, but how far and how fast and where will depend."}, {"path": "tedlium_7940.wav", "duration": 11.7, "text": "We said we were committed to addressing quality and innovation, now we would listen to our customers. That's why we created a Tested for Life in Canada program, and this product is a great example of our commitment to the process."}, {"path": "tedlium_7941.wav", "duration": 11.7, "text": "Pat will offer commentary on the company's performance and an update on key initiatives. Mike will provide details on the company's financial performance. After that, we'll open the call up for questions."}, {"path": "tedlium_7942.wav", "duration": 11.7, "text": "We recently rolled out Stories Everywhere so that the whole world can easily view stories on the web. We've also started bringing snaps to bigger screens like stadium jumbotrons at this year's Rose Bowl and Sugar Bowl."}, {"path": "tedlium_7943.wav", "duration": 11.7, "text": "While the quarterly decline in book value and earnings was disappointing, we continue to be encouraged by our allocation of capital to residential credit investments, which we expect"}, {"path": "tedlium_7944.wav", "duration": 11.7, "text": "And it's going to be a combination of the right product with the right value. And volume will clearly be an element to that in terms of WSE, but it's not going to be the end"}, {"path": "tedlium_7945.wav", "duration": 11.7, "text": "and I'm okay with that. But I will tell you that I'm disappointed we haven't landed anything of late. And we're working hard to do this -- just that. My hope is that by the time we talk again, a quarter from now,"}, {"path": "tedlium_7946.wav", "duration": 11.7, "text": "So our expectations for this trial have been exceeded in that we have great safety and we have substantial target reduction that exceeds what we think is necessary"}, {"path": "tedlium_7947.wav", "duration": 11.6999375, "text": "we're very pleased with, first of all, the overall handover on the management leadership level. But I'm really proud what the team achieved here in -- within"}, {"path": "tedlium_7948.wav", "duration": 11.67, "text": "almost entirely offset by declines in headcount-related costs, network costs mainly due to network optimizations as well as reductions in data processing and software maintenance costs."}, {"path": "tedlium_7949.wav", "duration": 11.67, "text": "around how we're buying Gogo going forward so we can do a little more interesting stuff with our UNLIMITED customers and providing them access to that Gogo footprint at a reasonable price."}, {"path": "tedlium_7950.wav", "duration": 11.67, "text": "I would also like to share some assumptions that we have built into our guidance. I'm pleased to confirm that we will continue to be on track to reach breakeven profitability 8 to 10 quarters from the time we went public,"}, {"path": "tedlium_7951.wav", "duration": 11.67, "text": "We continue to see that our company-wide Simplification program is delivering higher quality of service for our customers, while at the same time improving our margins."}, {"path": "tedlium_7952.wav", "duration": 11.67, "text": "Before I turn the call over to Michael Collins, I would like to remind everyone that today's discussion will refer to certain non-GAAP measures, which we believe are important in evaluating the company's performance."}, {"path": "tedlium_7953.wav", "duration": 11.67, "text": "We are actively focused on finding the right opportunities that will leverage the experience of this leadership team and our core competencies in retail pharmacy and specialty pharmacy."}, {"path": "tedlium_7954.wav", "duration": 11.67, "text": "he is already seeing ideas and opportunities for next year. And I think any great merchant like Michael is going to always believe they can do better."}, {"path": "tedlium_7955.wav", "duration": 11.67, "text": "Our final goal is superior portfolio management. In this context, we further strengthened our capital allocation process and we continue to maintain a 15% hurdle rate for new investments"}, {"path": "tedlium_7956.wav", "duration": 11.67, "text": "Now when it comes to the manufacturing opportunity, what you said there about it being somewhat further out, I think, what you're seeing right now especially with our execution"}, {"path": "tedlium_7957.wav", "duration": 11.67, "text": "We have solidified our financial position by securing funding for our plan 2016 activities and by restructuring contingent consideration liabilities to align payments"}, {"path": "tedlium_7958.wav", "duration": 11.67, "text": "In China, there is the risk of inventory, because vendors here not only play the house, but they cannot resist but to"}, {"path": "tedlium_7959.wav", "duration": 11.67, "text": "The fourth quarter base business revenue increased sequentially from the third quarter of 2016. The increase was due to the expected restocking in the quarter."}, {"path": "tedlium_7960.wav", "duration": 11.67, "text": "Such statements are subject to a variety of risks, uncertainties and other factors that could cause actual results to differ materially from those indicated or implied by such statements."}, {"path": "tedlium_7961.wav", "duration": 11.67, "text": "On resolutions and settlements in the second quarter, Deutsch Bank made further progress in achieving settlements or resolutions with respect to certain legacy highest risk matters,"}, {"path": "tedlium_7962.wav", "duration": 11.67, "text": "We continue to invest in our engineering and services. We regularly get high marks from our customers, which has resulted in a low customer churn rate."}, {"path": "tedlium_7963.wav", "duration": 11.67, "text": "Despite the weak profile of our current guarding operations in Brazil, we believe we have introduced all the strategic foundations needed to perform a successful turnaround."}, {"path": "tedlium_7964.wav", "duration": 11.67, "text": "These customer metrics are all clear indicators of the demand for our products and services as well as the loyalty of our customers. I'm very proud of the efforts of our team in delivering these results."}, {"path": "tedlium_7965.wav", "duration": 11.67, "text": "is it fair to make the assumption that the power product or the demand side of the project was tied to the Massachusetts ruling? And"}, {"path": "tedlium_7966.wav", "duration": 11.67, "text": "as we get out there and as I spend time with the sales team, sales team's increasingly excited, especially because they've really gone from gathering negative client feedback"}, {"path": "tedlium_7967.wav", "duration": 11.67, "text": "And it's costing us some share in the short term, but it's healthy overall because we're trying to let the amount of late model used get bought up in the marketplace"}, {"path": "tedlium_7968.wav", "duration": 11.67, "text": "we will have less contribution in Q4 because the water was already accounted for last year. But given where we stand at the end of June, given the results"}, {"path": "tedlium_7969.wav", "duration": 11.67, "text": "I'm wondering what percentage of those international regions or product categories are EBIT positive right now? And do you think that segment turns profitable by year-end in terms of the EBIT line?"}, {"path": "tedlium_7970.wav", "duration": 11.67, "text": "The secondary benefit is that we are finding new customers for our funnel. And as that funnel gets wider and we start prospecting with people who have an affinity for the outdoors,"}, {"path": "tedlium_7971.wav", "duration": 11.67, "text": "Those efforts will expand in 2018. Our average lateral will be 8% longer this year, and we expect the average size of our well packages to more than double."}, {"path": "tedlium_7972.wav", "duration": 11.67, "text": "And that's also again a very big change in India that we think is right for the long term, but we have to see what the consequences are as we are working our way through it. So"}, {"path": "tedlium_7973.wav", "duration": 11.67, "text": "In another case, Sihl, the manufacturer that we announced recently, we were able to get them live in 8 weeks and this on Sage X3, an ERP system that was new to us."}, {"path": "tedlium_7974.wav", "duration": 11.67, "text": "The portfolio is conservatively managed with a relatively short duration of 17 months. In addition, we maintained significant liquidity at the Federal Reserve."}, {"path": "tedlium_7975.wav", "duration": 11.67, "text": "Over the past year, we continued to slightly increase our level of asset sensitivity as we have now pierced through 98% of the loans in the portfolio, which had force."}, {"path": "tedlium_7976.wav", "duration": 11.67, "text": "As we have seen this solution begin to resonate with many jurisdictions nationally, we have added resources under the development side of CoreCivic Properties to aggressively pursue these opportunities."}, {"path": "tedlium_7977.wav", "duration": 11.67, "text": "from local sourcing of material and services to support local economies, to training to improve the employment prospects of women and young people in disadvantaged communities."}, {"path": "tedlium_7978.wav", "duration": 11.67, "text": "Investors often inquire as to the appropriate level of capital, and we have responded that the stress testing results are the primary driver, and you can see our company-run midyear stress test results on our website."}, {"path": "tedlium_7979.wav", "duration": 11.67, "text": "Product availability and the reach remains key to overall performance, and we are encouraged by our progress in the potential upside in the customer recruitment and management area."}, {"path": "tedlium_7980.wav", "duration": 11.67, "text": "This includes several contracts with existing and new clients in the communications, financial services, health care, retail and technology industry."}, {"path": "tedlium_7981.wav", "duration": 11.67, "text": "is there any reason why you think you might see sort of asset-level performance issues as a result of that combination? Or for the most part, do you think it's going to be a fairly smooth transition with no real property-level impact?"}, {"path": "tedlium_7982.wav", "duration": 11.67, "text": "I think this is -- I'm going to talk slowly until I get a nod here, but I think this is pretty close to what we had last -- the second half is about the same as last year."}, {"path": "tedlium_7983.wav", "duration": 11.67, "text": "very quickly and have got into our results as rapidly as possible. We put the integration teams together to really focus on how we could drive the growth of the businesses into the different segments"}, {"path": "tedlium_7984.wav", "duration": 11.67, "text": "Entering in the conversations with the company now, and I'm speaking in a hypothetical way, we bring to the table a much more mature organization with a much stronger balance sheet and a much larger team for execution."}, {"path": "tedlium_7985.wav", "duration": 11.67, "text": "We expect to dose the first chronic HBV patients during the second quarter of 2019. The study is designed to evaluate patients in 2 different groups."}, {"path": "tedlium_7986.wav", "duration": 11.67, "text": "and we can create even higher return for shareholders. So our first opportunity comes from the depth of industry. And then as Mr. Wang just said,"}, {"path": "tedlium_7987.wav", "duration": 11.67, "text": "When he refers to '17, he's referring to the recapture of that lost business in the industry. So that's what we think. Do we know? We don't know, but we think that in '17, we don't see it happening in the next 12 months"}, {"path": "tedlium_7988.wav", "duration": 11.67, "text": "if the result of that adjustment is that the -- technically the tariff should go up, clearly the second condition applies, which is we are"}, {"path": "tedlium_7989.wav", "duration": 11.67, "text": "maintenance and repair of electricity distribution lines, as well as contracts related to industrial, commercial and institutional electrical work."}, {"path": "tedlium_7990.wav", "duration": 11.67, "text": "And we expect to continue to earn revenues from the helicopter on dry-lease. As such, we expect the suspension to have limited impact on our near-term financial results."}, {"path": "tedlium_7991.wav", "duration": 11.67, "text": "for an international provider with scale and highly technical resources. But just as we always do, we will monitor the marketplace and adjust our hiring plan up or down as needed."}, {"path": "tedlium_7992.wav", "duration": 11.67, "text": "Our call today will include remarks about future expectations, plans and prospects for Knowles, which constitute forward-looking statements for purposes of the safe harbor provisions under applicable federal securities laws."}, {"path": "tedlium_7993.wav", "duration": 11.67, "text": "But as you can see on the right, on where we have selling and administrative expense, you see the benefit of being efficient and having larger revenue base"}, {"path": "tedlium_7994.wav", "duration": 11.67, "text": "And then this analysis doesn't assume kind of further regulatory action by other U.S. AGs, by international regulators and doesn't assume there's any knock-on effect on the international distributor network."}, {"path": "tedlium_7995.wav", "duration": 11.67, "text": "Paul, the best answer would be Jan 1. But obviously, it depends on how the industry responds. There are certain areas that we"}, {"path": "tedlium_7996.wav", "duration": 11.67, "text": "Please turn to Page 6 of the materials. We aim at shifting from pursuing growth through investment in businesses to deeply engaging with businesses,"}, {"path": "tedlium_7997.wav", "duration": 11.67, "text": "and another portion will go in June 1. So part of the rail pressure might have already been in the first quarter or that -- is that the wrong way to look at it?"}, {"path": "tedlium_7998.wav", "duration": 11.67, "text": "while hog prices have been rather low. We have made very good use of the export advantages, and"}, {"path": "tedlium_7999.wav", "duration": 11.67, "text": "We are very, very encouraged by the net neutrality position of the European government and European Commission. What they've approved recently to us is a very balanced, healthy approach"}, {"path": "tedlium_8000.wav", "duration": 11.67, "text": "Volumes on the Mid-Saskatchewan system increased as a result of the connection reactivations and from the completion of several expansion projects in mid-2015 to accommodate increased regional production"}, {"path": "tedlium_8001.wav", "duration": 11.67, "text": "For both of our businesses, we continue to drive product innovation and creativity and provide a diverse product mix that meets the changing demands of our customers."}, {"path": "tedlium_8002.wav", "duration": 11.67, "text": "We remain very confident in our global competitive position and the application of our dedicated supplier model to take advantage of the strength in the growing regions of the wind market,"}, {"path": "tedlium_8003.wav", "duration": 11.67, "text": "This growing base of recurring revenue continues to provide us with a stable business platform for profitable future growth. A few comments on our Payment Processing business."}, {"path": "tedlium_8004.wav", "duration": 11.67, "text": "We remain confident in our strategies, the prospects for our company, the capabilities of our dedicated employees and the experience of our management team as we grow our business and capitalization."}, {"path": "tedlium_8005.wav", "duration": 11.67, "text": "the completion bond would be added on in the second quarter as well as the third quarter, but by the end of the year, our hope"}, {"path": "tedlium_8006.wav", "duration": 11.67, "text": "good strength for orders from the very large fleets to have lot of the older equipment in their fleet."}, {"path": "tedlium_8007.wav", "duration": 11.67, "text": "basically prefunded our plans for the next couple of years there. So you'd have to get down to some pretty low scenarios before we thought about significant changes to our strategy."}, {"path": "tedlium_8008.wav", "duration": 11.67, "text": "So that means that we feel very confident to achieve our guidance for this year, although we still have to launch in many countries."}, {"path": "tedlium_8009.wav", "duration": 11.67, "text": "As I mentioned, we are absolutely stopping the initiatives that we can responsibly stop, but most of our new work won't be ready to show customers until well into calendar 2019. As a result,"}, {"path": "tedlium_8010.wav", "duration": 11.67, "text": "We are positioning the company to continue to grow over the foreseeable future. But to understand that, first, let me tell you how I see the current state of our technology."}, {"path": "tedlium_8011.wav", "duration": 11.67, "text": "We are currently at 6,000 feet and the well should be complete by the middle of August with evaluation and testing operations set for the end of August."}, {"path": "tedlium_8012.wav", "duration": 11.67, "text": "It has been a very strong quarter for Frontera and we continue to deliver our operational plan to position Frontera for growth in reserves and in production."}, {"path": "tedlium_8013.wav", "duration": 11.67, "text": "Our view is that our job quarter after quarter, day after day is to continue to look for good investments. We are always cautious about individual companies and the environment."}, {"path": "tedlium_8014.wav", "duration": 11.67, "text": "This reflects negative sales growth of slightly less than 1% at the low end and positive sales growth of 4% at the high end and is reflective of the challenging end markets we continue to experience."}, {"path": "tedlium_8015.wav", "duration": 11.67, "text": "and have launched a new cost savings program that will continue through 2019 to reduce structural expenses, while also enabling us to invest in the business appropriately."}, {"path": "tedlium_8016.wav", "duration": 11.67, "text": "As you know, we completed the Gas Distribution sale on the 31st of March. The accounting for this large transaction has added a layer of complexity to the results for the year."}, {"path": "tedlium_8017.wav", "duration": 11.67, "text": "Yes. And I think the other side of that, Jamie, is that as we grow subscribers, the same dollars invested will be less cash, right? Because with our margin, as we grow subscribers and revenue,"}, {"path": "tedlium_8018.wav", "duration": 11.67, "text": "This was driven by the lower UAN and ag ammonia sales volumes previously discussed, which were partially offset by the increased sales volumes of our industrial and mining products, given our increased marketing efforts"}, {"path": "tedlium_8019.wav", "duration": 11.67, "text": "On Page 3, let me briefly cover our first quarter results. Please note that for comparability to prior quarters and due to the fact that Orlaco only contributed for a portion of the first quarter,"}, {"path": "tedlium_8020.wav", "duration": 11.67, "text": "in the second quarter, that would mean that margins would really need to pick up in the third and fourth quarter just to get to the bottom range of that guidance. And so I'm just trying to understand the puts and takes there of how we get there."}, {"path": "tedlium_8021.wav", "duration": 11.67, "text": "that's not something -- I don't think that's something we're prepared to do here and there'd be a lot of judgment calls about where direct lending ends and something that you would consider other than direct lending begins."}, {"path": "tedlium_8022.wav", "duration": 11.67, "text": "While our focus will be on remodeling stores in 2018 rather than opening new stores, we continue to believe we have a significant opportunity for unit growth."}, {"path": "tedlium_8023.wav", "duration": 11.67, "text": "Allocating cash toward debt reduction is Vistra's highest priority for capital allocation in the near term as Vistra is focused first and foremost on achieving its long-term leverage target"}, {"path": "tedlium_8024.wav", "duration": 11.67, "text": "As it relates to the remediation of mines, you have to do that pretty much immediately after you shut those down. And then ash ponds, you have a timeframe but it's relatively near term."}, {"path": "tedlium_8025.wav", "duration": 11.67, "text": "of? So in Europe, we have seen significant strength in the market on the back of a very dramatic substitution growth,"}, {"path": "tedlium_8026.wav", "duration": 11.67, "text": "A key element of our strategy to return SeaChange to revenue growth in the coming years is to expand the use of channel partners and technology partners to reach more customers and prospects"}, {"path": "tedlium_8027.wav", "duration": 11.6699375, "text": "It's no different from how we report it today. And we thought it was important, very important, that everybody on this call understand that when we talk about these additional locations,"}, {"path": "tedlium_8028.wav", "duration": 11.64, "text": "due largely to inventory timing lags, but we are confident that this will become a more notable factor in the remaining quarters this year if raw materials remain at current price levels."}, {"path": "tedlium_8029.wav", "duration": 11.64, "text": "For those of you who may be interested in exploring this further, we published a market update in our website on January 23 that provides our perspective on the rapidly evolving FCEV car market."}, {"path": "tedlium_8030.wav", "duration": 11.64, "text": "And do you believe that we would have an additional demand from heavy plates, according to what we are seeing in the market right now? Would you be able to meet"}, {"path": "tedlium_8031.wav", "duration": 11.64, "text": "And as I said, the VA continues to ramp up nicely. So we're encouraged by the access that we're getting. And now we have to work to build market share, and that's what we're going to focus on as we move forward. In terms of the"}, {"path": "tedlium_8032.wav", "duration": 11.64, "text": "And in commercial markets, we saw modest improvement in our U.K. markets with an extremely strong quarter in Canada. U.S. municipal markets also continued to perform as expected."}, {"path": "tedlium_8033.wav", "duration": 11.64, "text": "So I know you've been competing successfully with private label for a long time, but are you sensing some change, especially as you have retailers like Amazon coming on"}, {"path": "tedlium_8034.wav", "duration": 11.64, "text": "In addition, we have now started to make premium payments to the Bermuda Deposit Insurance scheme. And finally, we now have some new costs associated with being a U.S. public company."}, {"path": "tedlium_8035.wav", "duration": 11.64, "text": "Our strength in these areas offset the pressure on our core Automotive results in Europe related to mild winter weather and broad economic and political considerations."}, {"path": "tedlium_8036.wav", "duration": 11.64, "text": "It is my belief that if you invest in your people and provide a workplace that people are proud to be a part of, where they feel valued and appreciated, the company, as a whole, benefits."}, {"path": "tedlium_8037.wav", "duration": 11.64, "text": "Now we are focusing our efforts on a tightened span of distributors, which in our view provide the best opportunity for asset growth and efficient home, office and wholesaler coverage."}, {"path": "tedlium_8038.wav", "duration": 11.64, "text": "to drive long-term value for customers, shareholders and team members through innovative product development, superior quality and lean business processes."}, {"path": "tedlium_8039.wav", "duration": 11.64, "text": "all of those lead to that word-of-mouth and mounting interest as they start to hear more about the experience from the key opinion leaders. So there's been no impact we've seen, whether it's from hospital"}, {"path": "tedlium_8040.wav", "duration": 11.64, "text": "Those remarks are intended to serve in place of extended formal comments, and we will not repeat them on this call. We will also post a transcript of management's opening commentary on our website at the end of the call."}, {"path": "tedlium_8041.wav", "duration": 11.64, "text": "Second, we are expanding our capabilities in the construction space by acquiring PlanGrid to complement our construction portfolio as well as to enhance our reach within the industry."}, {"path": "tedlium_8042.wav", "duration": 11.64, "text": "While we have not seen signs of affordability impacting demand as of yet, we are making a conservative effort to offer more affordable options for millennial buyers in this market."}, {"path": "tedlium_8043.wav", "duration": 11.64, "text": "I am proud to say that our ongoing focus on our associates and our customers, as demonstrated by these awards, continues to translate into strong operational and financial performance."}, {"path": "tedlium_8044.wav", "duration": 11.64, "text": "All of our drinks in the third quarter by September, we will finish the season. In winter, we will launch a new season."}, {"path": "tedlium_8045.wav", "duration": 11.64, "text": "driven by improvements in our cathodic protection businesses and up slightly from our previous guidance due to the margin performance on the large international field joint coating projects."}, {"path": "tedlium_8046.wav", "duration": 11.64, "text": "These actions position us to recognize modest sequential margin expansion in the first quarter of 2016 at Distribution, and we expect to see improved margin result"}, {"path": "tedlium_8047.wav", "duration": 11.64, "text": "increased, and this means that our customers are becoming more loyal. This also had a slight impact in anticipation costs. And with the growth of e-commerce,"}, {"path": "tedlium_8048.wav", "duration": 11.64, "text": "And in Europe, we saw an initially relatively slow uptick in diagnosed untreated patients. But as we get to higher maturity, as we get to higher market shares of switch patients,"}, {"path": "tedlium_8049.wav", "duration": 11.64, "text": "to people who in too many cases, particularly children living with these diseases believe that they no longer have hope. Up to 10,000 children that we estimate are living"}, {"path": "tedlium_8050.wav", "duration": 11.64, "text": "Unfortunately, as you know, the timing of those eventual settlements are ultimately not in our control, but we remain hopeful of achieving major settlements this year."}, {"path": "tedlium_8051.wav", "duration": 11.64, "text": "It's our determination to continue growing and expanding, always extracting the most of any situation and always being a profitable investment to our shareholders."}, {"path": "tedlium_8052.wav", "duration": 11.64, "text": "This sales improvement more than offset lower sales related to deemphasizing less profitable geographic regions and the reduction in turnaround activity due to the impact of Hurricane Harvey."}, {"path": "tedlium_8053.wav", "duration": 11.64, "text": "In addition, both Newport and Natural American Spirit made another impressive showing in the marketplace. And together, with higher pricing in both cigarettes and moist snuff,"}, {"path": "tedlium_8054.wav", "duration": 11.64, "text": "we'll start by sharing some details about an exciting acquisition we just announced that we feel will truly add value for our clients and continues to extend the breadth and capabilities of our solution platform."}, {"path": "tedlium_8055.wav", "duration": 11.64, "text": "than it is by competitive situations. And although we have strengthened in certain markets that exceed strength in other markets, we also have customers that we deal with in all of the markets."}, {"path": "tedlium_8056.wav", "duration": 11.64, "text": "There you will also find our second quarter 2017 earnings release. At the end of this call, the presentation will be available on that site and within a few hours, the replay of the call will be posted."}, {"path": "tedlium_8057.wav", "duration": 11.64, "text": "our Q4 growth was positive and in line with our historical trends. So we expect Consumer's organic growth will be back to more normal historical levels during the first quarter."}, {"path": "tedlium_8058.wav", "duration": 11.64, "text": "Before wrapping up my remarks, I'd like to share with you the 3 strategic objectives that we have established for the next several years as extensions of the new Marlin 2.0 paradigm."}, {"path": "tedlium_8059.wav", "duration": 11.64, "text": "This process, which begins when documents are generated and ends when the lease or loan is funded, is an area of extreme customer sensitivity and is a process that is ripe for automation."}, {"path": "tedlium_8060.wav", "duration": 11.64, "text": "where the market is now is still above where it was a year ago. So you are still going to see a growth in Q3 relative to what you saw last year."}, {"path": "tedlium_8061.wav", "duration": 11.64, "text": "Thanks, John. I'd like to thank everyone for listening today. I'm going to review the quarterly results and share a few details with regard to our business trends and then we'll take questions."}, {"path": "tedlium_8062.wav", "duration": 11.64, "text": "Capital expenditures for this full fiscal year are expected to remain lower than last year as some capacity expansion projects have continued to be temporarily deferred based on market conditions."}, {"path": "tedlium_8063.wav", "duration": 11.64, "text": "that will come out today. Is there going to be any change? The problem with overregulating these industries is that you end up with bad outcomes and unintended consequences, because"}, {"path": "tedlium_8064.wav", "duration": 11.64, "text": "Looking forward, it's the pace of change and related uncertainties that make the Connected 4 Growth transformational program particularly important."}, {"path": "tedlium_8065.wav", "duration": 11.64, "text": "We're seeing really some benefits behind that. But at the same time, we maintain our responsibility to look at other options where they're needed. But the"}, {"path": "tedlium_8066.wav", "duration": 11.64, "text": "those who have entrusted their capital to us, to generate secure growing returns to provide for their retirements, their children's educations and all the other noble financial goals they may be pursuing."}, {"path": "tedlium_8067.wav", "duration": 11.64, "text": "that they know that we are maniacally focused on driving growth for them. So they like to give us the space because we handle displays and merchandising very well, and we make it easier for the retailers to do business with us."}, {"path": "tedlium_8068.wav", "duration": 11.64, "text": "offered through the Home Affordable Modification Program, commonly referred to as HAMP, in addition to proprietary modification programs to help more borrowers qualify for a modification."}, {"path": "tedlium_8069.wav", "duration": 11.64, "text": "We've slowed down work on our heavy oil project. It's something that we never recommended people to invest in our company related to that and with the low price of oil,"}, {"path": "tedlium_8070.wav", "duration": 11.64, "text": "what we continue to see is that our customers require us to move their cargo and produce oil, and that's with -- that's our part of it."}, {"path": "tedlium_8071.wav", "duration": 11.64, "text": "As set forth in my opening remarks, we are not sitting still. We've embarked on a number of important initiatives that we believe will make the company more productive and drive more profitable growth in the future."}, {"path": "tedlium_8072.wav", "duration": 11.64, "text": "We will continue with aggressive capital expenditures. As shown in Table 1 to the right, EBITDA is projected to exceed the capital expenditure during this strategy period."}, {"path": "tedlium_8073.wav", "duration": 11.64, "text": "please note that our RevPAR and margin comparisons are presented to include the Shorebreak Hotel and Sheraton Suites Key West as if they were owned for all periods presented."}, {"path": "tedlium_8074.wav", "duration": 11.64, "text": "We began to develop a C1 downstream purification process for certolizumab. We demonstrated further success in reaching high and promising expression levels"}, {"path": "tedlium_8075.wav", "duration": 11.64, "text": "The majority of the balance of deferred revenue associated with the Alexion collaboration will be recognized over the anticipated 3-year term of the initial research programs."}, {"path": "tedlium_8076.wav", "duration": 11.64, "text": "the full physical integration of the Carson and Wilmington operations, yield flexibility of between 30,000 to 40,000 barrels a day of gasoline and distillates and"}, {"path": "tedlium_8077.wav", "duration": 11.64, "text": "based upon that range of margins and what we're doing in the business, we are very comfortable that"}, {"path": "tedlium_8078.wav", "duration": 11.64, "text": "except to the extent required by law. The inclusion of any statement on this conference call does not constitute an admission by the company or any other person that the events or circumstances described in such statement are material."}, {"path": "tedlium_8079.wav", "duration": 11.64, "text": "Moving to the DTV Now platform or moving to a thin client platform eventually for the home, is really going to change the free cash flow aspects because the upfront"}, {"path": "tedlium_8080.wav", "duration": 11.64, "text": "We're trying to, if you will, make sure we're willing to invest this opportunity in the customer base to grow the business and the opportunities for the long term. I don't want to suggest"}, {"path": "tedlium_8081.wav", "duration": 11.64, "text": "By building on their strengths and core competencies, we will be successful in increasing our reach and creating lasting value for shareholders."}, {"path": "tedlium_8082.wav", "duration": 11.64, "text": "in case we have the ability to raise capital through monetization of any -- of our portfolio, then we will use the same for the reduction of debt."}, {"path": "tedlium_8083.wav", "duration": 11.64, "text": "perspective and then some of the engagements you have with OEMs? Are there -- you're taking Class 1 to Class 3, is it more concentrated in Class 3, just trying to get a sense of the mix within the"}, {"path": "tedlium_8084.wav", "duration": 11.64, "text": "We've changed the fundamental composition of our business and it is clear, we've made significant progress toward transforming ourselves into a higher-margin, diversified industrial manufacturer."}, {"path": "tedlium_8085.wav", "duration": 11.64, "text": "Under the terms of this agreement, STRATA will be the exclusive distributor of Nordlys systems for 3 years with an automatic extension out to a 5-year term if minimum sales targets are achieved."}, {"path": "tedlium_8086.wav", "duration": 11.64, "text": "But then it becomes a lot of other things. And it's a wide variety of things even within Mobile, within Ear. There is a lot of different things people are thinking about with this device. And I think"}, {"path": "tedlium_8087.wav", "duration": 11.64, "text": "There were no such true-ups in this quarter, but we would expect there to be in future quarters. We've provided a few schematics in the appendix of the slide deck that further highlight these details."}, {"path": "tedlium_8088.wav", "duration": 11.64, "text": "and then optimize our manufacturing footprint for what we call light assembly businesses. Most of the lead battery factories are capital intensive,"}, {"path": "tedlium_8089.wav", "duration": 11.64, "text": "But I can tell you from first-hand talking to the people, takes a lot to crush their spirits. I heard stories about people showing up at the plant the day after the hurricane wanting to go to work."}, {"path": "tedlium_8090.wav", "duration": 11.64, "text": "not the best thing in the world, it's not 30%, but there's certainly a significant possibility given what's going on that they could go lower before they go up. It is a little novel that they've slowed down for the moment."}, {"path": "tedlium_8091.wav", "duration": 11.64, "text": "effective Jan 1. But there may also be other areas of pricing that are not as easy to lead, but certainly, we are of the view that the industry will respond rationally"}, {"path": "tedlium_8092.wav", "duration": 11.64, "text": "if you found the right drug with the right profile, it's clearly a significant opportunity. It's one of the things that's on our target list. As I said, what we do from a business development or"}, {"path": "tedlium_8093.wav", "duration": 11.64, "text": "client -- risk profile client to them, then it goes through underwriting as well. So that's why I think they've done a very good job on risk. So it won't have to -- we won't have to"}, {"path": "tedlium_8094.wav", "duration": 11.64, "text": "This has enabled good progress against our measures of efficient growth and value creation. We have shown how our productivity work is supporting investment in growth and improved margins."}, {"path": "tedlium_8095.wav", "duration": 11.64, "text": "As a reminder, ladies and gentlemen, this conference call is being recorded and may not be reproduced in whole or in part without permission from the company. I would now like to turn the call over to Steve Calk. Please go ahead."}, {"path": "tedlium_8096.wav", "duration": 11.64, "text": "end. Yes. I don't think we're managing a -- we're seeing crisis. I think we're being prudent in applying the reserve, we want to make sure that we have all that we need to support the strategy and the"}, {"path": "tedlium_8097.wav", "duration": 11.64, "text": "Initial metrics show the advertising and marketing campaigns we launched in the second quarter of this year to highlight the aesthetics, performance and sustainability"}, {"path": "tedlium_8098.wav", "duration": 11.64, "text": "continues to result in year-over-year increases in graduates that exceed our total enrollment growth rate. We estimate that our total ground enrollment, which is ground traditional and professional study students,"}, {"path": "tedlium_8099.wav", "duration": 11.64, "text": "It's not just a matter of can you get it cheaper on a per day basis? Medicare finally -- and I say finally. Medicare is recognizing that with this bundle."}, {"path": "tedlium_8100.wav", "duration": 11.64, "text": "So there's a whole bunch of opportunities we think on the credit side going forward that allow us to have less and less capital requirements and ultimately,"}, {"path": "tedlium_8101.wav", "duration": 11.64, "text": "It sounds like a great channel. Just if I could follow-up on that. When will you know whether that is playing out well? And to what degree are these small employers and even mid market looking for a"}, {"path": "tedlium_8102.wav", "duration": 11.64, "text": "Moving to franchise distribution. The platform declined low single digits during the first quarter. Tennessee's performance was impacted by significant customer inventory reductions, while Matco was up slightly."}, {"path": "tedlium_8103.wav", "duration": 11.64, "text": "We took advantage of it for a while when there was some strength and we built some water haulers and when we were in the frac tank business for a while, and"}, {"path": "tedlium_8104.wav", "duration": 11.64, "text": "And that whole process, his celebrity and his ability to reach the public market so easily and for free"}, {"path": "tedlium_8105.wav", "duration": 11.64, "text": "this is what's -- this is really causing a problem that maybe a quarter from now, maybe there will be that. There is nothing that way that I know right now. The one thing I have heard"}, {"path": "tedlium_8106.wav", "duration": 11.64, "text": "Highly publicized incidents over the past few years have prompted lawmakers to become more aggressive in using public policy as a tool to protect students from violent people."}, {"path": "tedlium_8107.wav", "duration": 11.64, "text": "The share is up 3 percentage points year-on-year. The main driver is the inflow of large ticket jobs in the Middle East."}, {"path": "tedlium_8108.wav", "duration": 11.64, "text": "Okay. Perfect. And then you mentioned earlier that blending at Buly is giving you a bit of a kind of process improvement. Can you quantify the recovery benefit there?"}, {"path": "tedlium_8109.wav", "duration": 11.64, "text": "So we see every opportunity to learn from the experience we're having with Alibaba and bring some of the unique items, some of the subscription opportunities for brands like belVita, for example,"}, {"path": "tedlium_8110.wav", "duration": 11.64, "text": "The lawsuit does not request a stay or an expedited trial, and we continue to believe that the CES design is sound, and that it will withstand any legal challenge."}, {"path": "tedlium_8111.wav", "duration": 11.64, "text": "And next topic here, which I think will be important to follow going forward, is the foreign exchange and the dollar development."}, {"path": "tedlium_8112.wav", "duration": 11.64, "text": "what it clearly is signaling to us is that the distributors are adjusting their stock levels, which says that their end markets, their end customers are signaling to them a lower demand."}, {"path": "tedlium_8113.wav", "duration": 11.64, "text": "that is the constant challenge that we're taking on and going to continue in that investment in 2019, but we were able to do a lot of it in the second half of the year."}, {"path": "tedlium_8114.wav", "duration": 11.64, "text": "The company's actual results could differ materially from those indicated in any forward-looking statements due to many factors, the most important of which are described in the company's latest filings with the Securities and Exchange Commission,"}, {"path": "tedlium_8115.wav", "duration": 11.64, "text": "Given these headwinds for our clients, we are adapting strategically to become increasingly more competitive, offer greater functionality and be the essential partner to our clients."}, {"path": "tedlium_8116.wav", "duration": 11.64, "text": "I mean, are you going to kind of look and take the current spread forward? Or are you going to try to impact -- or try to incorporate some of the impacts the spread could feel for even that waste oil pricing or maybe even VGO pricing."}, {"path": "tedlium_8117.wav", "duration": 11.64, "text": "February is historically our lowest-volume month of the year, and therefore, the effect of weather disruptions can have a magnified impact on the monthly sales growth rates."}, {"path": "tedlium_8118.wav", "duration": 11.64, "text": "We also introduced new electronic tools to enhance customer engagement and developed better, stronger relationships with both new and long-standing customers and vendor partners."}, {"path": "tedlium_8119.wav", "duration": 11.64, "text": "company considering listing in the Novo Mercado? And the second question has to do with the growth plan. Could you give us an update, please, about the company's mindset"}, {"path": "tedlium_8120.wav", "duration": 11.64, "text": "is down. I was mentioning the investments and -- but there is also a strong currency effect based on the guidance rates that we have kept."}, {"path": "tedlium_8121.wav", "duration": 11.64, "text": "We've looked at the number of markets that a relationship manager covers. Again there, where we've decided to reduce a certain number of markets that we were covering in the past, but where we didn't have"}, {"path": "tedlium_8122.wav", "duration": 11.64, "text": "Great. To your second question, I think the plan -- sorry. I just want to answer the second question. I think you've seen the plan that we have that"}, {"path": "tedlium_8123.wav", "duration": 11.64, "text": "Okay. So those will be a drag on margins in '17, but you'd expect that component of the business to see expanding margins further out as volumes pick up."}, {"path": "tedlium_8124.wav", "duration": 11.64, "text": "we're very proud of that. When I referred to our high teens in new logo growth, we refer about the number of new clients that we were able to sell to"}, {"path": "tedlium_8125.wav", "duration": 11.64, "text": "to help us determine the best use for this acreage. Working with our local teams, they will be evaluating our property and recommending highest and best use for the future development or sale."}, {"path": "tedlium_8126.wav", "duration": 11.64, "text": "Is that due to customers buying multiple services within COB and Program Integrity? Or is it due to new relationships or existing relationships starting off with a bigger set of membership?"}, {"path": "tedlium_8127.wav", "duration": 11.64, "text": "More importantly, we are investing in additional resources in our research and development function to support delivery against our product road map despite the cost reduction efforts."}, {"path": "tedlium_8128.wav", "duration": 11.64, "text": "due to a number of risks and uncertainties. Certain of these risks and uncertainties, in addition to other risks, are more fully described in the company's filings with the Securities and Exchange Commission."}, {"path": "tedlium_8129.wav", "duration": 11.6399375, "text": "using advanced packaging techniques. All 5 of these approaches will require major advances in materials engineering and create huge opportunities for Applied."}, {"path": "tedlium_8130.wav", "duration": 11.61, "text": "increases last year in labor, and I think we're in pretty good shape going into this year given the volumes. So I would expect"}, {"path": "tedlium_8131.wav", "duration": 11.61, "text": "Such market volatility drive enterprise buyers and technology and service providers to seek our advice, research and support to help them achieve their digital business objectives."}, {"path": "tedlium_8132.wav", "duration": 11.61, "text": "So we now have our teams trained up. We have advanced our digital training to our people around the world. And we are very pleased with the"}, {"path": "tedlium_8133.wav", "duration": 11.61, "text": "Been a great recovery there. I know the demand has outstripped your ability to supply recently. Can you give us an update on your efforts to bring that into balance?"}, {"path": "tedlium_8134.wav", "duration": 11.61, "text": "As we said, the sales force is relatively new. We were getting a lot of inbound strategic opportunities. I have a finite number of feet on the street."}, {"path": "tedlium_8135.wav", "duration": 11.61, "text": "Last quarter, I also talked about a new quick quote application for our management liability business, where a key distribution partner can quote and issue policies entirely within the application."}, {"path": "tedlium_8136.wav", "duration": 11.61, "text": "And most recently the acquisition that we made in Italy that's improved our market presence and grown our product portfolio in Italy."}, {"path": "tedlium_8137.wav", "duration": 11.61, "text": "with the rates sort of stabilizing here, do you expect to see, especially in the multi-family prepayments, stay low for a while? Or was this more of a first quarter phenomenon?"}, {"path": "tedlium_8138.wav", "duration": 11.61, "text": "But it's a way of generating some initial clinical data while actually we continue to work on what we believe could be better candidates coming through for those 2 approaches."}, {"path": "tedlium_8139.wav", "duration": 11.61, "text": "and I'm very encouraged by our rapid progress towards simplifying our operations and ensuring that we deliver an extraordinary dining experience for each and every one of our guests in each and every one of our restaurants."}, {"path": "tedlium_8140.wav", "duration": 11.61, "text": "more and more guaranteed future value products will lend itself towards increased penetration at the dealership levels. So I think that movement up is correct. I think it is a function of"}, {"path": "tedlium_8141.wav", "duration": 11.61, "text": "and the performance far exceeds anything else in the province, so we think it's very worthy of our investment. And on the grocery -- conversions of the grocery stores or grocery plazas to"}, {"path": "tedlium_8142.wav", "duration": 11.61, "text": "We remain focused on generating cash in order to reduce our debt, pay dividends to shareholders and share the value we create with employees and host communities."}, {"path": "tedlium_8143.wav", "duration": 11.61, "text": "where you -- or who you think you're competing against on most of your digital products. Because there seems to be a separation in the market whereby Accenture, in particular, seems to be winning"}, {"path": "tedlium_8144.wav", "duration": 11.61, "text": "These companies fit our acquisition strategy of growth and specialty and high-margin products and services and all were immediately accretive to our earnings."}, {"path": "tedlium_8145.wav", "duration": 11.61, "text": "James, do you think that reward you talk about in terms of the margin, the marginal business, is it enough to color the outlook for the net interest margin for the segment as a whole? Or is it"}, {"path": "tedlium_8146.wav", "duration": 11.61, "text": "primarily driven by the addition of new business and operating efficiencies. Slide 7 shows the quarterly results for our 2 product segments."}, {"path": "tedlium_8147.wav", "duration": 11.61, "text": "is very consistent with what we expected from a growth perspective. And that, that growth was very, very broad-based across sectors"}, {"path": "tedlium_8148.wav", "duration": 11.61, "text": "I think one thing that I'd like to really stress because I'm not sure that investors and analysts completely understand this is when Bill says unequivocal attack"}, {"path": "tedlium_8149.wav", "duration": 11.61, "text": "Just in terms of -- some customers may want to purchase the system versus the motor, just curious in terms of the economic difference between motor versus system to the company? And then,"}, {"path": "tedlium_8150.wav", "duration": 11.61, "text": "the issues that we were having in Argo -- in our retail business over the last couple of years have really settled down, and so you're starting to see real contribution from that. So,"}, {"path": "tedlium_8151.wav", "duration": 11.61, "text": "a new more broadly defined currency that represents more of the total audience across all screens and platforms, not just the viewing that fits into the rules that define C3 for television."}, {"path": "tedlium_8152.wav", "duration": 11.61, "text": "The experience that we have had, I think, has been better than was underwritten, both in terms of the speed with which we were able to rotate the portfolio and improve yields"}, {"path": "tedlium_8153.wav", "duration": 11.61, "text": "There are some new projects that we know are launching this year, with at least one of them. And then we have trials going on in a couple of different technologies, actually with both of them."}, {"path": "tedlium_8154.wav", "duration": 11.61, "text": "very much aligned with what our customers are and certainly not any kind of order of magnitude larger. And in a weird way, we're happy to get the opportunity to prove that point."}, {"path": "tedlium_8155.wav", "duration": 11.61, "text": "to the strengthening of the dollar against the pound and the euro as well as our investments in the BPS platform as we just mentioned. However,"}, {"path": "tedlium_8156.wav", "duration": 11.61, "text": "The 8 new distribution centers we discussed last year, as part of our latest network enhancement, became fully operational in the first quarter of 2018 and are handling freight as designed."}, {"path": "tedlium_8157.wav", "duration": 11.61, "text": "of course, all these facilities are in different countries, have been built up during different time phases in the past, have different interfaces because we are part of a plant and we are not the plant"}, {"path": "tedlium_8158.wav", "duration": 11.61, "text": "And so the engineering work is proceeding rapidly. Probably we're more than halfway done with that as a view. And over the course of the next couple of months,"}, {"path": "tedlium_8159.wav", "duration": 11.61, "text": "I was wondering if at this point, given that it's all being set up, you could update us as to what is the capital position of the whole IHC today, what is the total average exposure"}, {"path": "tedlium_8160.wav", "duration": 11.61, "text": "plethora of different systems that are tied together? Or will you be forced at some point to consolidate CRM systems and invest significantly in IT?"}, {"path": "tedlium_8161.wav", "duration": 11.61, "text": "the point at which we can enter those markets. And their -- but the Japanese have led quality just based on their processes, we still think we can add value there."}, {"path": "tedlium_8162.wav", "duration": 11.61, "text": "in terms of modeling the alternative financing, I mean, should we be thinking about this as equity, as some kind of preferred, some kind of debt, or can you not comment"}, {"path": "tedlium_8163.wav", "duration": 11.61, "text": "I do still firmly believe that we were for that business the right fit, because we brought that whole experience of furniture to it."}, {"path": "tedlium_8164.wav", "duration": 11.61, "text": "We're also seeing a spread of deployment across a large number of providers as the Tier 2 players step up their expansion plans into Europe."}, {"path": "tedlium_8165.wav", "duration": 11.61, "text": "which was the same as the second quarter of 2014. The current quarter's loss ratio was favorably impacted by the inclusion of commercial residential business and favorable prior quarter development"}, {"path": "tedlium_8166.wav", "duration": 11.61, "text": "I suspect that if the corruption issues or this drags on for a long time or becomes a bigger issue, we could see that effect funding at some point, but we haven't seen that happen."}, {"path": "tedlium_8167.wav", "duration": 11.61, "text": "And then as you say on top of that, some of the other costs are effectively building in room for growth. Relatively small numbers, but they are things that should scale significantly as we grow. So my sense is,"}, {"path": "tedlium_8168.wav", "duration": 11.61, "text": "will grow at about the same rate or perhaps slightly faster on a year-over-year basis than it did in Q3. Therefore and consistent with last quarter,"}, {"path": "tedlium_8169.wav", "duration": 11.61, "text": "and governance of IT projects that we identified at the end of fiscal year 2016. During the first quarter, as part of the remediation plan, we established an IT steering committee,"}, {"path": "tedlium_8170.wav", "duration": 11.61, "text": "In September, the Colorado legislature Joint Budget Committee authorized additional funds to allow the Department of Corrections to lease a privately owned correctional facility to relieve crowded conditions"}, {"path": "tedlium_8171.wav", "duration": 11.61, "text": "So bear with us as we get through this and move into the -- as we close out quarter 3, I think the discussions will have a lot more clarity to them."}, {"path": "tedlium_8172.wav", "duration": 11.61, "text": "We are comfortable with our loan concentrations. The economy is generally strong. We're optimistic that the new tax policy will be helpful to generate growth, and we've made some improvements to the origination process, all of which"}, {"path": "tedlium_8173.wav", "duration": 11.61, "text": "This would also naturally expand to the emerging markets in both job and ridesharing. We are in the process of product development and risk analysis,"}, {"path": "tedlium_8174.wav", "duration": 11.61, "text": "an enhanced distribution system, utilizing selected partners who are engaged in our business throughout the cycle, along with the removal of channel conflict"}, {"path": "tedlium_8175.wav", "duration": 11.61, "text": "During this period of time, we have seen pork prices actually come down in China, but still with continued investments"}, {"path": "tedlium_8176.wav", "duration": 11.61, "text": "our movement into Corporates is just kind of a furtherance of a message that you've heard. It's kind of have been a legacy of the company, quite honestly around diversification. So once again, it's just further diversifying"}, {"path": "tedlium_8177.wav", "duration": 11.61, "text": "So what makes us different? It's our core technology ATLAS, which is our proprietary neoantigen identification platform."}, {"path": "tedlium_8178.wav", "duration": 11.61, "text": "Before I discuss the results of the last quarter and some of the dynamics we're anticipating in our near-term outlook, I would like to share a few thoughts about Maxim's longer-term view with you."}, {"path": "tedlium_8179.wav", "duration": 11.61, "text": "seems adept at blocking. So at least makes intuitive sense that you would try to do something to stimulate that immune response, whether that's some"}, {"path": "tedlium_8180.wav", "duration": 11.61, "text": "And with the credit group that we now have, we've been able to continue to split those FICO bands by attributes"}, {"path": "tedlium_8181.wav", "duration": 11.61, "text": "Using the framework of our National Quality Program, we are standardizing the provision of clinical care and progressively eliminating unwanted clinical variation."}, {"path": "tedlium_8182.wav", "duration": 11.61, "text": "As we look to the balance of the year, we remain cautious about global demand fundamentals and the potential for trade negotiations and tariffs to impact overall demand trends, particularly in China."}, {"path": "tedlium_8183.wav", "duration": 11.61, "text": "Wyndham is the first global hospitality company to offer economy and mid-scale hotel owners a means to automatically analyze millions of historical transactions and demand trends."}, {"path": "tedlium_8184.wav", "duration": 11.61, "text": "I want to make sure you guys know I'm not trying to criticize you guys, and I think you guys are trying your best. I'm saying that when I see the stock trading where it's at and then I see transactions going off"}, {"path": "tedlium_8185.wav", "duration": 11.61, "text": "this would come out of Renova's pocket, not Sulzer's pocket. Now, I have no intention of selling the shares at a lower price and if you see where we're trading today, and hopefully where we'll be trading tomorrow, we're well in the money."}, {"path": "tedlium_8186.wav", "duration": 11.61, "text": "The one thing that we have been consistent saying as well is that, it's likely that we will operate at higher levels of leverage than most other companies because of the stability of our business"}, {"path": "tedlium_8187.wav", "duration": 11.61, "text": "the rest of that cash flow is available to return to shareholders through dividend and through our buybacks. And to be clear, in the first quarter of last year, we didn't return"}, {"path": "tedlium_8188.wav", "duration": 11.61, "text": "while increasing our optionality. Now I'd like to provide you updates on our Time Warner acquisition, and our goal to build the world's premier gigabit network."}, {"path": "tedlium_8189.wav", "duration": 11.61, "text": "This is about progressively derisking Viridor's business to the extent that signed commercial contracting approaches enable us to do so."}, {"path": "tedlium_8190.wav", "duration": 11.61, "text": "Yes, I mean I obviously want to see EBITDA margin expansion as time goes on and I think the next phase of the productivity program is really focused on our cost structure."}, {"path": "tedlium_8191.wav", "duration": 11.61, "text": "Our work is far from over to bring this business to desirable levels of performance, but AVTE backlog is now at its highest level of the year and we are well positioned to finish 2016 on a positive note."}, {"path": "tedlium_8192.wav", "duration": 11.61, "text": "will be a driver of our goal for Microbial Solutions to continue to deliver at least low double-digit organic revenue growth for the foreseeable future."}, {"path": "tedlium_8193.wav", "duration": 11.61, "text": "In short, we continue to be very bullish on Radiant's current position and long-term prospects, and we enjoy a number of levers to drive shareholder value."}, {"path": "tedlium_8194.wav", "duration": 11.61, "text": "and new packaging options, with early results showing higher sell-in rates to faster tiers as well as decreased churn, especially from customers and competitive markets."}, {"path": "tedlium_8195.wav", "duration": 11.61, "text": "And then second, it's just the pricing environment in Turkey versus -- with the competition as well, do you think you'll be able to make up some of the pricing after the devaluation that's happened over the last quarter?"}, {"path": "tedlium_8196.wav", "duration": 11.61, "text": "And then as we have in the past, we continue to look for opportunities to return capital to shareholders through our dividend policies as well as our repurchase programs."}, {"path": "tedlium_8197.wav", "duration": 11.61, "text": "In order to do so, we will constantly monitor our investments for the best return, evaluate our operations to ensure that we are performing in the most effective manner for our clients and listen to the market."}, {"path": "tedlium_8198.wav", "duration": 11.61, "text": "We still think that there's great opportunities. And not only do we think there's great opportunities, but we've built a world-class leadership team here. And by bringing a couple of people to the table that are new,"}, {"path": "tedlium_8199.wav", "duration": 11.61, "text": "And it comes down to -- we're certainly encouraged by the SEC to highlight and report GAAP numbers."}, {"path": "tedlium_8200.wav", "duration": 11.61, "text": "Although the worst of the negative cycle is over, as I had mentioned in the last call, we continue to monitor proactively our existing credits to enable the bank to act promptly"}, {"path": "tedlium_8201.wav", "duration": 11.61, "text": "This increase was partially offset byless day of traditional campus revenue in the fourth quarter as compared to 2016, due to a shift in the timing of a residential traditional campus start date."}, {"path": "tedlium_8202.wav", "duration": 11.61, "text": "that we will see a reduction in our compensation expense as we move through the year. We also have been working hard with our teams to identify budget reductions."}, {"path": "tedlium_8203.wav", "duration": 11.61, "text": "While this seems rather high to us, directionally, it is supportive of our view that our assets are very well positioned as the market continues to prioritize the economics of capacity revenues."}, {"path": "tedlium_8204.wav", "duration": 11.61, "text": "So Japan historically has been a very strong market as far as GI diseases, and I think we're realizing that. So I think -- and we're seeing real revenue come back from that market."}, {"path": "tedlium_8205.wav", "duration": 11.61, "text": "yes, Tobias, I would not talk about a market trend. I think for the reason that I explained before we will find individual targets that are interested in joining a bigger"}, {"path": "tedlium_8206.wav", "duration": 11.61, "text": "Thank you, Brian. And thank you for joining our conference call today. We appreciate your continuing interest in Twin Disc and hope that we have answered all of your questions. If not, please feel free to call Jeff or myself."}, {"path": "tedlium_8207.wav", "duration": 11.61, "text": "Remember that revenue was much, much stronger than what we had anticipated and forecast, and so that had an impact in terms of the percent. But one of the things that we mentioned in the prepared remarks here"}, {"path": "tedlium_8208.wav", "duration": 11.61, "text": "I'm pleased with the progress made by our teams in reinventing our supply chain, reducing overheads and reinvesting in growth. Our strategy is working,"}, {"path": "tedlium_8209.wav", "duration": 11.61, "text": "We haven't built a lot into the plan. I'll tell you right now, we just have 50 megawatts. I think Jim already mentioned that 50 megawatts in this -- the numbers to date, but it's an area where we can do quite a bit more."}, {"path": "tedlium_8210.wav", "duration": 11.61, "text": "I'd have to say it hasn't been something that has been of particular note, but I wouldn't take that as either a positive or a negative. I'm just -- it's not something that we have had a lot of engagement with the regulators on,"}, {"path": "tedlium_8211.wav", "duration": 11.61, "text": "We expect some of these fourth quarter trends that impacted Naturalizer to continue into the first quarter, specifically the impact from currency and the planned product exits."}, {"path": "tedlium_8212.wav", "duration": 11.61, "text": "with all of our projected direct commercial sales occurring in Q3 and Q4. Also impacting our cadence is a pushout of missile fuze deliveries from the first quarter into the second quarter."}, {"path": "tedlium_8213.wav", "duration": 11.61, "text": "Our expectation is that we will recognize less than 10% of our full year net earnings in the first quarter and approximately 50% of our net earnings in the fourth quarter."}, {"path": "tedlium_8214.wav", "duration": 11.61, "text": "getting the best care providers and at the best sites for care affordably. Based on the overall performance of our business and our forward view, we've raised our outlook for adjusted earnings per share."}, {"path": "tedlium_8215.wav", "duration": 11.61, "text": "I would like to refer everyone to the cautionary language included in Stratus' press release issued today and to the risk factors described in Stratus' Form 10-K and subsequent SEC filings"}, {"path": "tedlium_8216.wav", "duration": 11.61, "text": "Craig, this is Brian. They're very active and we had been very encouraging of our grocery partners to add this. It's a very low investment for us, almost none. We give a couple of parking spaces,"}, {"path": "tedlium_8217.wav", "duration": 11.61, "text": "So what we've been working on over the last 2 years, what you've implicitly suggested, has been setting up the ability to drive value in these Kmart boxes. And"}, {"path": "tedlium_8218.wav", "duration": 11.61, "text": "And based on that, we have understood that the fixed costs have to be taken downwards. And that will actually be the most important element in the profit generation this year."}, {"path": "tedlium_8219.wav", "duration": 11.61, "text": "And so by operating outside of it, we escape what we understand many of those to be. It's not that the change will not cause us to incur any expenses, there will be some expenses,"}, {"path": "tedlium_8220.wav", "duration": 11.61, "text": "working on the fundamentals of our business. We really, for the last couple of years, have tried to look at every area of our business that we believed there were some leverage. And if there was a fundamental change or improvement either in"}, {"path": "tedlium_8221.wav", "duration": 11.61, "text": "the enterprise customers that you deal with move to software-only solution? I don't think you cited it as kind of an issue on the enterprise side, but are you seeing any traction there, then I'll jump off? So"}, {"path": "tedlium_8222.wav", "duration": 11.61, "text": "this will then be reflected on how currencies will develop. And it's in this environment, ladies and gentlemen, that we need to guide our clients and that we need to guide our corporate and our investments."}, {"path": "tedlium_8223.wav", "duration": 11.61, "text": "Regarding supply. We expect a weak response as a result of the consistent decline in investments that several companies have had in recent years. In addition to this"}, {"path": "tedlium_8224.wav", "duration": 11.61, "text": "nor have we seen any significant labor shortages or any changes in the time it takes to fill personnel requisitions. However, we are closely monitoring the market, and we'll continue to do so."}, {"path": "tedlium_8225.wav", "duration": 11.61, "text": "Certain statements made during the call today constitute forward-looking statements made pursuant to and within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, as amended."}, {"path": "tedlium_8226.wav", "duration": 11.61, "text": "new trucks at the beginning of next year, which will start helping the results in the first half of 2018. Longer term, when you look at the insurance headwinds that we've been talking about,"}, {"path": "tedlium_8227.wav", "duration": 11.61, "text": "making treatment decisions for their patients. Alkermes is focused on addiction and serious mental illness at a time when these are among the most important public health issues facing the country."}, {"path": "tedlium_8228.wav", "duration": 11.61, "text": "In addition to executing on our growth strategy by building commercial greatness and driving operational excellence, we're improving our balance sheet while pursuing scalable acquisitions."}, {"path": "tedlium_8229.wav", "duration": 11.61, "text": "Because we already have most of the data through the recovery audit process and we have a sophisticated large data infrastructure which maps data to specific analytics tools and algorithms,"}, {"path": "tedlium_8230.wav", "duration": 11.61, "text": "Provider feedback can also cause the pace of recovery work to be slowed. And finally, even though we are using new technology tools to speed up the onboarding of client data,"}, {"path": "tedlium_8231.wav", "duration": 11.61, "text": "particularly in HVAC. We remain focused on developing innovative new products and expanding our channel presence, and we are gaining share as a result."}, {"path": "tedlium_8232.wav", "duration": 11.58, "text": "This cash enables us with a great advantage -- or provides us with a great advantage to grow our core derm market without diluting shareholders."}, {"path": "tedlium_8233.wav", "duration": 11.58, "text": "Can you give us a bit of a flavor, what kind of mechanism are there in place allowing you to pass on these to the customers in the form of surcharges or other"}, {"path": "tedlium_8234.wav", "duration": 11.58, "text": "by using cutting-edge cellular science to develop personalized therapies for repairing tissue damage and disease. ORIG3N recently reported a new round of financing"}, {"path": "tedlium_8235.wav", "duration": 11.58, "text": "We do expect the overall profitability in the market to remain good and we are comfortable with these trends and are confident in our ability to compete in this environment."}, {"path": "tedlium_8236.wav", "duration": 11.58, "text": "This market dynamic is another reason we have been moving towards other more senior-oriented investment opportunities, where we believe risk adjusted returns and overall credit protection is better."}, {"path": "tedlium_8237.wav", "duration": 11.58, "text": "So for example, I don't think that 50 gigawatt-hours exactly would be the right capacity, but I think that you need to have some buffer. So how much CapEx do you believe would be required to support that type of revenue?"}, {"path": "tedlium_8238.wav", "duration": 11.58, "text": "We continue to see volumes fill up on our processing plants in the Permian Basin and expect it to announce future processing expansions to support volume growth from our committed shippers."}, {"path": "tedlium_8239.wav", "duration": 11.58, "text": "on the returns on that particular franchise. So the fact that the targets have dropped, supply is going to be dropped means there's a tightening of conditions in the market between supply and demand"}, {"path": "tedlium_8240.wav", "duration": 11.58, "text": "We continue to make excellent headway in support of our strategic plan with the acquisition and seamless integration of HSBC Bermuda's Private Banking, Investment Management and Trust business"}, {"path": "tedlium_8241.wav", "duration": 11.58, "text": "We see a future in which we touch every person's life and inspire the families and communities who nurture us. And I believe Weight Watchers can create a world where wellness is accessible to all."}, {"path": "tedlium_8242.wav", "duration": 11.58, "text": "We believe that big data and predictive analytics will drive efficiency and that as the largest OEM of drilling equipment, NOV is uniquely positioned to bring automation and big data solutions to the oilfield."}, {"path": "tedlium_8243.wav", "duration": 11.58, "text": "In 2016, we have closed down 6 factories and started the process of closing down another 8. And we believe that CapEx levels will remain"}, {"path": "tedlium_8244.wav", "duration": 11.58, "text": "to get their capital improvement projects out on the street. We've never seen a problem at the local level, when they pass a local measure of them getting the money out in the street within the next 6 to 9 months."}, {"path": "tedlium_8245.wav", "duration": 11.58, "text": "And they're beginning to reach the end of their life cycle, and so the Navy approached us about one particular problem that they had with respect to maintaining these things,"}, {"path": "tedlium_8246.wav", "duration": 11.58, "text": "we could see something more in 2Q. Is that cautiousness or is there some other item we need to be cognizant of that could impact Q2 and prevent you from seeing"}, {"path": "tedlium_8247.wav", "duration": 11.58, "text": "in the coming years. Some of these projects have already started. As you can see on this slide, 3 examples of what we have built or are about to build, a new"}, {"path": "tedlium_8248.wav", "duration": 11.58, "text": "Again, as a reminder, the CFIUS process approval only applies to the proposed foreign investment in UQM and has no jurisdiction"}, {"path": "tedlium_8249.wav", "duration": 11.58, "text": "We continue to deliver on our commitments to customers and shareowners, and we will continue to deliver long-term value for those who invest in PPL. That concludes our prepared remarks."}, {"path": "tedlium_8250.wav", "duration": 11.58, "text": "Our growth in the premium games category, which was an important factor in our first quarter's success, will continue to be a significant driver of future success."}, {"path": "tedlium_8251.wav", "duration": 11.58, "text": "and the impact of expected new competitive events in 2017. With that said, we expect our total generic segment to decline in the high single"}, {"path": "tedlium_8252.wav", "duration": 11.58, "text": "We can't do anything until we have a final outcome of the process. But as we've been gaining market share in all categories, the performance in the first half of the year is due to"}, {"path": "tedlium_8253.wav", "duration": 11.58, "text": "As a result, he developed software on his own to further automate the workflow. These software partnerships strengthened our offerings, increased the pull-through of reagents and drive faster market adoption."}, {"path": "tedlium_8254.wav", "duration": 11.58, "text": "with your existing capabilities, obviously, and offering that, creating a more commercial business entity from that with MERFs and helping your customer source and procure and"}, {"path": "tedlium_8255.wav", "duration": 11.58, "text": "Any forward-looking statements that we make on this call are based on assumptions as of today and we undergo no obligations to update these statements as a result of new information or future events."}, {"path": "tedlium_8256.wav", "duration": 11.58, "text": "but I would be definite to once again state that is the one governing factor that will limit our growth to what we feel comfortable with."}, {"path": "tedlium_8257.wav", "duration": 11.58, "text": "But I just want to kind of get a commitment from you that if they make any changes to the -- whatever the payment terms or the price that you"}, {"path": "tedlium_8258.wav", "duration": 11.58, "text": "As you can see on this slide, as we have grown the platform, we have acquired a number of companies that have allowed us to scale our operations and also diversify the services we provide. If"}, {"path": "tedlium_8259.wav", "duration": 11.58, "text": "better than your overall addressable markets, unless you're just disproportionately tied to just the European truck market. So could you talk a little bit about that?"}, {"path": "tedlium_8260.wav", "duration": 11.58, "text": "Given our leading position in most markets, our Rest of Europe segment is very well positioned to capture future demand from cloud providers as they venture into new markets in Europe."}, {"path": "tedlium_8261.wav", "duration": 11.58, "text": "including increased scale and cash flow generation, which will provide us with the flexibility to explore growth opportunities in this rapid changing industry."}, {"path": "tedlium_8262.wav", "duration": 11.58, "text": "an environment here where we can continue to gain more efficiencies. So we'll try and spend more time on this on March 8 when we have more time together. But certainly,"}, {"path": "tedlium_8263.wav", "duration": 11.58, "text": "create more efficiencies and to create a different kind of product set than we have today. And so when it comes to an infrastructure spend,"}, {"path": "tedlium_8264.wav", "duration": 11.58, "text": "Is that more of a impact to revenues and you made it up somewhere else for the gross profit? Like how does that dynamic work and how do I reconcile that?"}, {"path": "tedlium_8265.wav", "duration": 11.58, "text": "Okay. Yes on India, I've been absolutely clear that we're deeply aware these investments are ultimately held to create value for shareholders."}, {"path": "tedlium_8266.wav", "duration": 11.58, "text": "when we highlighted our new accounting policy, we're capitalizing a little earlier and stopping capitalizing a little later than previously and the comparative for the first half of '17, did not have that new accounting policy in place."}, {"path": "tedlium_8267.wav", "duration": 11.58, "text": "We'd expect to be at the high negative 20-day range in Q4, very similar to last year. So those are kind of the dynamics, and I wouldn't expect that to really change as we go forward."}, {"path": "tedlium_8268.wav", "duration": 11.58, "text": "This means that we can complete an increasing number of assessments. Equally as important, we are continuing to see steady improvements in the quality of our assessment reports."}, {"path": "tedlium_8269.wav", "duration": 11.58, "text": "I have to recognize that on the special tax we made no progress so far, and that's super frustrating. But even on that front, the lack of news doesn't come as a surprise for us and for you all."}, {"path": "tedlium_8270.wav", "duration": 11.58, "text": "Our guidance continues to reflect a gradual increase of offenders from the State of Ohio under a contract we signed in April for up to 996 offenders to be cared for at our Northeast Ohio Correctional Center."}, {"path": "tedlium_8271.wav", "duration": 11.58, "text": "A good example of this on existing brands is Johnnie Walker Platinum, where we've identified opportunities to make our cost more competitive on the gift box and bottle."}, {"path": "tedlium_8272.wav", "duration": 11.58, "text": "So that's not changed. I think what you have is you have a small seasonal quarter. You have a Northern acquisition we did last year that doesn't have as much revenue coming in. You have our charter operations, which doesn't have as much coming in."}, {"path": "tedlium_8273.wav", "duration": 11.58, "text": "it comes to our actions and our strategic initiatives on the backdrop or with this market development as a backdrop, what we are working on then is that we"}, {"path": "tedlium_8274.wav", "duration": 11.58, "text": "was a result of the more diversified nonbanking income fundamentals through the integration or inclusion of Orange Life Insurance and the banking sector income improvement"}, {"path": "tedlium_8275.wav", "duration": 11.58, "text": "the lag in terms of getting patients into the open enrollment portion of this trial? And then, is that lag due to the completion of any preclinical toxicology work that needs to be done to support"}, {"path": "tedlium_8276.wav", "duration": 11.58, "text": "In parallel with this, we are working to minimize, of course, the impact on our customers through inventory on hand, and we are assessing how we can leverage our other refinery infrastructure"}, {"path": "tedlium_8277.wav", "duration": 11.58, "text": "As a good partner they were with us in the last, I would say, 60 years. So there's no reason that it won't work for e-commerce. It's where we are now."}, {"path": "tedlium_8278.wav", "duration": 11.58, "text": "what we said and what we see today is unchanged. We are in the early stages of implementing it, and we're very confident that we will be able to deliver the expectation"}, {"path": "tedlium_8279.wav", "duration": 11.58, "text": "it reverses and you get to pick it up every month as it keeps going up. So in reality, it is what you can call that"}, {"path": "tedlium_8280.wav", "duration": 11.58, "text": "the Chinese have to pay it, and of course the friends over in India have to pay it. So it isn't a case when you're dealing with natural rubber that"}, {"path": "tedlium_8281.wav", "duration": 11.58, "text": "And a lot of that pick up in Spain and Italy is exports, with the exports to those areas as well as seeding new growth to North Africa, and more importantly,"}, {"path": "tedlium_8282.wav", "duration": 11.58, "text": "Great. So other than that one, are there any sort of awards in there that are more longer term in nature. Is that sort of the big one as is it sort of stretches out a few years here?"}, {"path": "tedlium_8283.wav", "duration": 11.58, "text": "The second quarter 2018 was the first full operational quarter following the renovations of our Reading Cinemas at Elizabeth in South Australia and Charlestown in New South Wales,"}, {"path": "tedlium_8284.wav", "duration": 11.58, "text": "Overall, we expect continued competition for deposits and additional compression on the net interest margin through 2019. We are pleased with our ability to generate strong"}, {"path": "tedlium_8285.wav", "duration": 11.58, "text": "We see solid growth in household disposable income in Guangzhou and Beijing, while the office market in Shanghai should benefit from ongoing demand from consolidation and expansion."}, {"path": "tedlium_8286.wav", "duration": 11.58, "text": "Following data readouts from animal and other feasibility studies for these candidates, we will determine the best programs to advance into the clinic. We expect to announce these additional DepoFoam assets over the next couple of quarters."}, {"path": "tedlium_8287.wav", "duration": 11.58, "text": "driven by continued strong organic growth across defense, industrial and automotive markets and the impact of a capacitor acquisition, which closed earlier in the quarter."}, {"path": "tedlium_8288.wav", "duration": 11.58, "text": "Yes. I think when you talk about Industrial, it always boils down to the subsegments and -- both geographically and also just subsegments within Industrial categories."}, {"path": "tedlium_8289.wav", "duration": 11.58, "text": "The reason operating profit decline was primarily due to some changes and cost allocations as a result of the strategic realignment to focus on the growth of our commercial real estate portfolio and earnings"}, {"path": "tedlium_8290.wav", "duration": 11.58, "text": "I would like to provide an early progress report on the integration. As we said on our last call we hit the ground running on day 1 with our detailed plan that we developed ahead of the deal closing."}, {"path": "tedlium_8291.wav", "duration": 11.58, "text": "sort of universally strong this quarter, looking at lead price recovery, it should be better in the third quarter than it was in the second quarter. It"}, {"path": "tedlium_8292.wav", "duration": 11.58, "text": "Another critical fact point is the 75% of claims experience provides statistically valid information that is used in estimating our reserve assumptions."}, {"path": "tedlium_8293.wav", "duration": 11.58, "text": "The LDG program makes it possible through a combination of employer contributions and scholarships from Ashford for students to earn their degree with no student debt."}, {"path": "tedlium_8294.wav", "duration": 11.58, "text": "This last quarter alone, we sold 13 assets to 12 different buyers. We have a dedicated and focused transaction team, and I'm incredibly pleased with their results."}, {"path": "tedlium_8295.wav", "duration": 11.58, "text": "a dairy company, a big one in Switzerland and came from there to us in marketing. From there, he moved to Caffarel as Country Manager, Caffarel, and came back to us."}, {"path": "tedlium_8296.wav", "duration": 11.58, "text": "We also saw some seasonal moderation in demand in the second quarter for natural gas-fueled trucks as higher gas price -- natural gas prices tend to peak during the heating season."}, {"path": "tedlium_8297.wav", "duration": 11.58, "text": "the -- some of the assets that we have to prove value for the rest of the assets. And so we're certainly looking across the portfolio. We've had interest across the portfolio in every good business that we operate."}, {"path": "tedlium_8298.wav", "duration": 11.58, "text": "and I also want to remind you that these are actions taken a long time ago by previous employees, and that the company has gone through all processes,"}, {"path": "tedlium_8299.wav", "duration": 11.58, "text": "Even allowing for this, there was an encouraging pickup in momentum. By the fourth quarter, we were seeing the fruits of our new Connected 4 Growth organization with a much more agile approach to innovation,"}, {"path": "tedlium_8300.wav", "duration": 11.58, "text": "the kind of products we produce and make it available to the market relative to what's out there in the market today. So that gives you a little bit of guidance on what they will do for us and"}, {"path": "tedlium_8301.wav", "duration": 11.58, "text": "by December 2017. We believe this ruling will ultimately drive demand for new equipment as carriers attempt to comply with these new regulations"}, {"path": "tedlium_8302.wav", "duration": 11.58, "text": "we have a very strong focus on capital, a very strong focus on efficiency. And the last thing we would do is cut into safety or reliability,"}, {"path": "tedlium_8303.wav", "duration": 11.58, "text": "after the transfer process is completed and the patent value is determinable, which we expect to occur by the end of second quarter 2017. At such time,"}, {"path": "tedlium_8304.wav", "duration": 11.58, "text": "In connection with our annual fleet review and as part of our strategy to accelerate our exit from older freighters, we decided to scrap our last 6 remaining 747 converted freighters when their current leases expire."}, {"path": "tedlium_8305.wav", "duration": 11.58, "text": "I'd like to point out that statements today which are not historical facts may be deemed forward-looking statements. Actual results may differ materially from the estimates or expectations expressed in those statements."}, {"path": "tedlium_8306.wav", "duration": 11.58, "text": "and quality of service, in line with the strategic highway of executing an investment plan that allows us to develop our infrastructure that supports our business drivers."}, {"path": "tedlium_8307.wav", "duration": 11.58, "text": "I'll start by summarizing our expenses on an underlying basis, excluding notable items in Charles River, and then discuss our efforts during 3Q and 4Q to keep our second half expenses flat to the first half on that basis."}, {"path": "tedlium_8308.wav", "duration": 11.58, "text": "We believe that we will continue to outperform the industry and gain market share in well servicing in no small part because of the size and the spec of our rig fleet,"}, {"path": "tedlium_8309.wav", "duration": 11.58, "text": "coverage and from a clinical success and ease of use. The product has performed as billed, but it's also -- we've had growing pains with the amount of products in the portfolio, and that's where we made our investment to address it. And now"}, {"path": "tedlium_8310.wav", "duration": 11.58, "text": "We continue to see some really nice upside opportunities as we strengthen our execution and consistency in the store as it relates to some of the non-oil change services that we offer. So"}, {"path": "tedlium_8311.wav", "duration": 11.58, "text": "Investors should be aware that any forward-looking statements are based on assumptions and are subject to risks and uncertainties that could cause actual results to differ materially from those discussed here today."}, {"path": "tedlium_8312.wav", "duration": 11.58, "text": "Lending Club's always operated with transparency, and it is our commitment to do so going forward. And so our intention is to schedule as many investor meetings as we can in the next few weeks."}, {"path": "tedlium_8313.wav", "duration": 11.58, "text": "I wanted them to see the immediate impact on their margins so they had intense pressure to move their prices. Some of our competitors don't have that same kind of incentive where they can"}, {"path": "tedlium_8314.wav", "duration": 11.58, "text": "We believe the SPINRAZA experience provides a glimpse of the future for targeting severe neurological disease, and we aim to capitalize on this changing paradigm."}, {"path": "tedlium_8315.wav", "duration": 11.58, "text": "We will be investing more than double our historical average annual amount of remodel activity. Our goal is to have the best product presentation in the industry."}, {"path": "tedlium_8316.wav", "duration": 11.58, "text": "we can generally translate that into a good impact not just on the top line but on the bottom line as well. But I would say cargo is the best beneficiary of the volume growth."}, {"path": "tedlium_8317.wav", "duration": 11.58, "text": "increase in interest expense in 2016 was primarily attributable to increased borrowings. We continue to pursue the sale of noncore assets where appropriate."}, {"path": "tedlium_8318.wav", "duration": 11.58, "text": "The reception from our sellers and customers has been positive, and we expect to improve our mix as we become more specialized with dedicated sellers aligned to customer end-markets,"}, {"path": "tedlium_8319.wav", "duration": 11.58, "text": "I mentioned on our last call, consistent with prior years, we expect our earnings per share to be stronger in the second half of the year due to the normal seasonality of our businesses,"}, {"path": "tedlium_8320.wav", "duration": 11.5799375, "text": "tell us or could you walk us through how you're just thinking about the wheat price on average next year? The hedging policy has been"}, {"path": "tedlium_8321.wav", "duration": 11.55, "text": "I mentioned earlier, we have 2 different zones that we like geologically and we have 2 different completion techniques. And so one of the reason we added 2 more wells was that we think if we are correct in our thesis about the completion technique,"}, {"path": "tedlium_8322.wav", "duration": 11.55, "text": "as stated, Noble Energy Solutions business is just a part of our overall energy platform. We see significant growth opportunities,"}, {"path": "tedlium_8323.wav", "duration": 11.55, "text": "We posted our first quarter slides on the IR home page of our website at heidrick.com, and we encourage you to print them for additional context, but we won't be referring to specific page numbers during our opening comments."}, {"path": "tedlium_8324.wav", "duration": 11.55, "text": "which is exactly what we're seeing today with the increase in member sign-ups. Over time, our goal is to continue to increase our share of the customer's financial wallet with products like our upcoming spending account and new Mogo mortgage product."}, {"path": "tedlium_8325.wav", "duration": 11.55, "text": "to 0.25. It will be a significant move, but we consider that it is one of the rules of insurance company and in general of investors"}, {"path": "tedlium_8326.wav", "duration": 11.55, "text": "In line with that, as Martin alluded to earlier, we will continue to reduce our catastrophe risk budget this year as prices have declined."}, {"path": "tedlium_8327.wav", "duration": 11.55, "text": "parameters of the business, what do you think the greatest opportunities are for growing the revenue profile of the company and what are the greatest opportunities for improving its margin structure?"}, {"path": "tedlium_8328.wav", "duration": 11.55, "text": "In parallel, potentially, we will be doing a human challenge. We could have some initial human efficacy data for our vaccine at the turn of the year."}, {"path": "tedlium_8329.wav", "duration": 11.55, "text": "Despite the overall portfolio growing by approximately 30%. During the quarter, we were disciplined in adding hedges as we increased our exposure to Agency mortgages to maintain the duration gap."}, {"path": "tedlium_8330.wav", "duration": 11.55, "text": "What I commit you today is that we will start a number of extra initiatives to further strengthen our ambitions and expand our long-term commitment to sustainability."}, {"path": "tedlium_8331.wav", "duration": 11.55, "text": "The acquisition also serves additional strategic and financial differentiation. David will speak in more detail about the return profile of the portfolio, among our other strategies."}, {"path": "tedlium_8332.wav", "duration": 11.55, "text": "in discussion with local management for a long time saying that there is absolutely no reason why press market in Germany over the long run should develop differently from what we've seen,"}, {"path": "tedlium_8333.wav", "duration": 11.55, "text": "We completed major acquisitions, made important investments in technology and continued to invest in our people and attract high-quality talent to the bank."}, {"path": "tedlium_8334.wav", "duration": 11.55, "text": "As part of this, we're working very hard to create a 1 company culture, with a common understanding of values and behaviors and attributes of a high-performance team."}, {"path": "tedlium_8335.wav", "duration": 11.55, "text": "Late-season snowstorms in our Colorado market, a more volatile industry environment and our most challenging comparisons of the year, due to the timing of our LTO this year relative to last."}, {"path": "tedlium_8336.wav", "duration": 11.55, "text": "We believe we've built a program capable of capturing additional catering business as we enter the very busy graduation season in upcoming weeks."}, {"path": "tedlium_8337.wav", "duration": 11.55, "text": "These more mature products can help you to some extent. They can provide you with your start-up fund. Of course, you cannot always borrow from these other products."}, {"path": "tedlium_8338.wav", "duration": 11.55, "text": "I will now turn the call back to Mark to discuss our financial results for the first quarter of 2017. I also refer you to the financial results and recent business updates"}, {"path": "tedlium_8339.wav", "duration": 11.55, "text": "can you give us your view of kind of what the acquirers have done with those assets? I mean, does it feel like they're getting their act together at all? I mean, their numbers will suggest that's not the case, but would love to get your take on what's happening?"}, {"path": "tedlium_8340.wav", "duration": 11.55, "text": "I don't quite remember what it was in the front half, but how are you thinking for the full year here? What should we expect in the fourth quarter? And then I'm also wondering if material costs"}, {"path": "tedlium_8341.wav", "duration": 11.55, "text": "Okay, and so with these leases, how should we think about the average? I see that the term went up a ton. What do the bumps look like or the escalators look like in these leases?"}, {"path": "tedlium_8342.wav", "duration": 11.55, "text": "We have started a major SIM swap program already middle of this year. We have now extended it to Sun customers because we know out of our data that there are more LTE devices than"}, {"path": "tedlium_8343.wav", "duration": 11.55, "text": "Venue Contract Analytics allows users to review documents in half the time, resulting in easier, more extensive reviews within time and budget constraints."}, {"path": "tedlium_8344.wav", "duration": 11.55, "text": "Our diverse lineup includes energy, vitamin and protein jelly drinks that are very competitive in their respective nutrition function market segments."}, {"path": "tedlium_8345.wav", "duration": 11.55, "text": "And we are encouraged by the customer response in our promotional and digital marketing efforts for general merchandise, especially as it relates to web orders."}, {"path": "tedlium_8346.wav", "duration": 11.55, "text": "into the rapidly growing market for security solutions that protect the cloud and DevOps. We are excited about the opportunities this acquisition creates for CyberArk. We were pleased to"}, {"path": "tedlium_8347.wav", "duration": 11.55, "text": "As a reminder and in accordance with our debt agreements, these leverage metrics exclude our working capital facility, which is governed by a monthly borrowing base determined by our receivables and inventories."}, {"path": "tedlium_8348.wav", "duration": 11.55, "text": "in the Americas design and Building Construction businesses. These results demonstrate the improving fundamentals in our markets and our ability to capture a growing market share of the opportunity in front of us."}, {"path": "tedlium_8349.wav", "duration": 11.55, "text": "and monitoring very positive underlying property results closely, taking additional actions when necessary. We are also seeing good sales momentum in all of our business lines."}, {"path": "tedlium_8350.wav", "duration": 11.55, "text": "Thank you for joining us today. If you need any additional information or have further questions, please don't hesitate to contact us. Otherwise, we look forward to speaking to you again soon. Thank you all very much."}, {"path": "tedlium_8351.wav", "duration": 11.55, "text": "But we're just trying to maintain our cost control, our cost where we can. And if we see something we don't think we need to spend at this point in time that's not going to benefit the business at this"}, {"path": "tedlium_8352.wav", "duration": 11.55, "text": "is around 10%. It's also worth noting that even though mortgage net income was much less than in the previous quarter, it was not far off from its expected net income run rate."}, {"path": "tedlium_8353.wav", "duration": 11.55, "text": "a lot greater than they were just a couple of years ago. As to the process of forecasting, I'd simply say that"}, {"path": "tedlium_8354.wav", "duration": 11.55, "text": "The franchisees will receive their initial training at our award-winning training center here in Atlanta and they will receive ongoing training at their home location."}, {"path": "tedlium_8355.wav", "duration": 11.55, "text": "again, that would be continuing to invest in our corporate advisory platforms, in our centrally managed platforms. Things that are going to attract more assets to places where we create more value,"}, {"path": "tedlium_8356.wav", "duration": 11.55, "text": "This is a little lower than we were planning, but there were a number of deals that are very close and have taken just a little longer than we expected to close. So we're aiming for a good bump in new signings before the end of the year."}, {"path": "tedlium_8357.wav", "duration": 11.55, "text": "We've seen an unprecedented high number of preorders at UHA. We also have seen in the following launch events in all the different countries we are selling in"}, {"path": "tedlium_8358.wav", "duration": 11.55, "text": "Iran and Saudi, we have a strong position in Iran. So we are represented in 3 of the 4 largest economies across the region. I think this is important to give people an exposure to the regions."}, {"path": "tedlium_8359.wav", "duration": 11.55, "text": "We talked publicly in prior discussions with you about how, even when you're training employees, you're pulling other employees off the line to help train and mentor them. So consequently, you get the benefit of those folks who are turning to the lines, so across the board,"}, {"path": "tedlium_8360.wav", "duration": 11.55, "text": "overall margin potential with what we're doing in the rest of the business. So when I think about our execution and our positioning for any kind of improvement, we're in a good spot."}, {"path": "tedlium_8361.wav", "duration": 11.55, "text": "While this process plays out over the balance of the year and into 2018, the average daily prison populations for the Marshals Service are expected to continue to gradually increase."}, {"path": "tedlium_8362.wav", "duration": 11.55, "text": "In addition, as automotive industry innovation continues to advance with increasing focus on autonomous driving and higher performance electric vehicles,"}, {"path": "tedlium_8363.wav", "duration": 11.55, "text": "As we've discussed previously, due to the seasonal procurement patterns and the typical size of international orders, we expect to see some revenue lumpiness from quarter to quarter in the international part of our business."}, {"path": "tedlium_8364.wav", "duration": 11.55, "text": "So do you have any specific plans to in-license a product or acquire a company? I don't think I said acquiring a company."}, {"path": "tedlium_8365.wav", "duration": 11.55, "text": "As you know, we have entered into an acquisition agreement with an affiliate of Centre Lane Partners, LLC to divest our Vitamin World business and certain other assets."}, {"path": "tedlium_8366.wav", "duration": 11.55, "text": "strong performance at our 2 owned hotels and cost containment measures more than offset weaker global RevPAR. These factors also led to a higher margin for the quarter."}, {"path": "tedlium_8367.wav", "duration": 11.55, "text": "The improvement on an absolute basis is largely the result of a higher capacity utilization and the continued positive effect of the differentiated business steering."}, {"path": "tedlium_8368.wav", "duration": 11.55, "text": "pivotal trial in identifying patients, you have the partnership with Foundation Medicine. Can you give us a sense for what you think the cadence of identifying and finding those patients and enrolling them might be. I think,"}, {"path": "tedlium_8369.wav", "duration": 11.55, "text": "is something that lots of companies take advantage of. So again, as I said earlier, the diversity and the strength of our portfolio is really powerful from"}, {"path": "tedlium_8370.wav", "duration": 11.55, "text": "In recent quarters, our European management team has demonstrated the winning spirit that comes with consistently delivering organic growth and profitability commitments while winning in the marketplace."}, {"path": "tedlium_8371.wav", "duration": 11.55, "text": "Please note that today's call is being broadcast live over the Internet and will be archived for replay both by telephone and via the Internet beginning approximately 1 hour following completion of the call."}, {"path": "tedlium_8372.wav", "duration": 11.55, "text": "driven almost entirely by net inflows, providing additional evidence of our ability to succeed in the investor segment just as we begin the full-court press of our brand and marketing efforts."}, {"path": "tedlium_8373.wav", "duration": 11.55, "text": "And the impact of price, using price as a remediation lever there will be particularly interesting, as one of the factors influencing Lighting has been"}, {"path": "tedlium_8374.wav", "duration": 11.55, "text": "stock inflow like commercial. What percentage of the production you do is sourced from China or Asia versus what's done in Mexico or on the continent?"}, {"path": "tedlium_8375.wav", "duration": 11.55, "text": "Recall that these are 2 mega power projects owned by the state-owned South African utility Eskom, power projects that have unfortunately seen continual delays through their life cycle."}, {"path": "tedlium_8376.wav", "duration": 11.55, "text": "fairly limited to the area, but it's done well. And I think we're always looking at ways to expand it if that opportunity presents itself. And so we're very open to doing that."}, {"path": "tedlium_8377.wav", "duration": 11.55, "text": "The company's non-GAAP EPS and adjusted EBITDA will be reviewed on this call and excludes certain expenses that the company's management does not believe are indicative of the company's core operating business results."}, {"path": "tedlium_8378.wav", "duration": 11.55, "text": "excellent customer service and our taking the Lead productivity projects. Some examples of what we're doing right now include piloting new third-party routing software in China,"}, {"path": "tedlium_8379.wav", "duration": 11.55, "text": "over the last couple of years is an increase in both revenue per claim on the pharmacy side and revenue per life on the medical claim side. And so"}, {"path": "tedlium_8380.wav", "duration": 11.55, "text": "good about this year, we feel really good about the next few years. The competitive environment is becoming clearer to me. Our networks deliver superior quality. We're innovating at light speed, in my view."}, {"path": "tedlium_8381.wav", "duration": 11.55, "text": "In the fourth quarter, Blue Mountain's operational performance was strong. Operating margins improved considerably from prior quarters and exceeded the midpoint of our fourth quarter guidance."}, {"path": "tedlium_8382.wav", "duration": 11.55, "text": "guide us a little bit better on that, it will be gratefully appreciated. Yes. It's fair to say that we will walk back to more of a normalized rate next year. We will see the"}, {"path": "tedlium_8383.wav", "duration": 11.55, "text": "the global retail in that model plays definitely a big role. Now I get to the markets quickly and here you see"}, {"path": "tedlium_8384.wav", "duration": 11.55, "text": "And I want to say thank you to all the 7,000 -- actually, 7,100 employees who have been on the journey with me and a lot of my colleagues."}, {"path": "tedlium_8385.wav", "duration": 11.55, "text": "And that is what we've got to correct with exactly the things you're talking about, which is a return to superior execution on the 3 key leadership brands that we talked about today. It means not"}, {"path": "tedlium_8386.wav", "duration": 11.55, "text": "Integration efforts remain on track, as evidenced by the strong performance in the first half of the year. We're benefiting from the larger integrated neurosurgery organization."}, {"path": "tedlium_8387.wav", "duration": 11.55, "text": "can you give us a sense of how much of that was -- how much of the dollars or some of the metric, how much of that is wins versus renewals of deals that you basically were able to close earlier and lock down?"}, {"path": "tedlium_8388.wav", "duration": 11.55, "text": "that's kind of what's baked into the guidance that we provided. So it's fully baked into the guidance. And I think what you see when you look at our sequential incremental margins"}, {"path": "tedlium_8389.wav", "duration": 11.55, "text": "Beyond that though, I can say that we have a portfolio of projects that we're working on the transmission side that we feel very optimistic about, and we think can add significantly"}, {"path": "tedlium_8390.wav", "duration": 11.55, "text": "Then I'll let you know how we see the year ahead, and how we plan to profit from our improved capital structure to deliver strong returns on our investments for the benefit of our shareholders."}, {"path": "tedlium_8391.wav", "duration": 11.55, "text": "And all of this to become a leader in the hybrid integration platform market by 2020. So with all of this strategy, and if we could become the leader in 2020, that really gives me"}, {"path": "tedlium_8392.wav", "duration": 11.55, "text": "Private demand continues to recover across most of our footprint with key states, such as California and Virginia, showing renewed momentum."}, {"path": "tedlium_8393.wav", "duration": 11.55, "text": "during this period, and more importantly a significant change in our net financial position after higher dividend payments when compared to the same period of last year. Meanwhile,"}, {"path": "tedlium_8394.wav", "duration": 11.55, "text": "as we said in our prepared remarks, we believe that there is opportunity to the upside for us to see someone coming here and be active in an area that Devon is not and was not going to be active."}, {"path": "tedlium_8395.wav", "duration": 11.55, "text": "mainly driven by wage inflation. While most markets remain competitive, we believe the industry is approaching virtual full utilization levels based on the current available labor pool."}, {"path": "tedlium_8396.wav", "duration": 11.55, "text": "Secondly, we are massively increasing video content with the support of our central video unit, which is producing for all of our publishing assets and was launched in April this year."}, {"path": "tedlium_8397.wav", "duration": 11.55, "text": "The -- I appreciate the question. And yes, that's something at the beginning of the year, we were banking on getting both of those positive decisions and both of those positive decisions"}, {"path": "tedlium_8398.wav", "duration": 11.55, "text": "it's going to be very difficult to be honest with you. I think we ultimately are going to push the team to put something on our internal budget so we can hold ourselves accountable to a number to make sure that we're focused in driving to an internal number."}, {"path": "tedlium_8399.wav", "duration": 11.55, "text": "For us, the biggest change from the implementation of the new revenue recognition standards is that sales and cost of sales from our Baytown facility will no longer be grossed up on our income statement."}, {"path": "tedlium_8400.wav", "duration": 11.55, "text": "We expanded the retail channel further this quarter with a new relationship with Millennium Trust and its technology-enabled trust solutions that will allow us to broaden our access to retail investors and advisers."}, {"path": "tedlium_8401.wav", "duration": 11.55, "text": "Sure. I think the visibility is a little more caution just with the sanctions that came out and people trying to understand how the sanctions are going to be sort of applied. But for the most part, I think the"}, {"path": "tedlium_8402.wav", "duration": 11.55, "text": "There is arguably no bigger area of unmet medical need than diseases of the nervous system, and I believe Biogen has a tremendous competitive advantage to be the leader in this space."}, {"path": "tedlium_8403.wav", "duration": 11.55, "text": "we used -- or the global principal group used are typical and serve as an excellent example of how our distressed oriented investment teams do their work."}, {"path": "tedlium_8404.wav", "duration": 11.55, "text": "We encourage you to review our most recent public filings with the SEC for a more detailed discussion of these risks and uncertainties that may affect our future results or the market price of our stock."}, {"path": "tedlium_8405.wav", "duration": 11.55, "text": "like dynamics in the marketplace because we think we're decent at and getting much better at adjusting our pricing appropriately to get our fair share."}, {"path": "tedlium_8406.wav", "duration": 11.5499375, "text": "We've made progress in the first quarter in terms of expanding the sales team and increasing our spending on lead generation. We expect to see the results of these investments pay off in the upcoming quarters."}, {"path": "tedlium_8407.wav", "duration": 11.52, "text": "historically, that has been the case, to overtake growth of the other 2 drivers in the industry. So"}, {"path": "tedlium_8408.wav", "duration": 11.52, "text": "simple as 500 commercial trucks being deployed in Shanghai, all using the same converters and the same stacks and the same modules"}, {"path": "tedlium_8409.wav", "duration": 11.52, "text": "There's nobody that comes near our coverage, having so many parts of Europe, there is nobody else. We said 6 months ago the opportunities were there."}, {"path": "tedlium_8410.wav", "duration": 11.52, "text": "funding that we are putting into the joint venture, it's going to be a very well-financed business and with all of the capacity and capability to do what it needs to do"}, {"path": "tedlium_8411.wav", "duration": 11.52, "text": "when you decide that this volume goes into the market 6 months afterwards, because you have to reconnect the plant, you have to hire new people."}, {"path": "tedlium_8412.wav", "duration": 11.52, "text": "increase customer satisfaction, lower churn and decrease their operating expenses all by applying the insights that our cloud analytics deliver."}, {"path": "tedlium_8413.wav", "duration": 11.52, "text": "and it remains to be seen. And as I said, I don't want to box Matt in, but I know how good he is. And I know he knows how to get at the cost line. I also"}, {"path": "tedlium_8414.wav", "duration": 11.52, "text": "some of that obviously was resin. So that can give you some directional thought to that. But I've also got to add that, that is not all pure price. Some of that is simply price procurement"}, {"path": "tedlium_8415.wav", "duration": 11.52, "text": "there has been various activities that we have engaged upon in terms of the post integration, and we do believe that a lot of that has been completed successfully. So under the current business model, we do have"}, {"path": "tedlium_8416.wav", "duration": 11.52, "text": "looking forward to the evolution of that. I think from the standpoint of market liquidity, it will help liquidity after there is an initial,"}, {"path": "tedlium_8417.wav", "duration": 11.52, "text": "we're always going to have a lot of deposits that we're going to have to invest elsewhere. And we're not interested in going outside of our home markets to find loans. I think that doesn't usually end well."}, {"path": "tedlium_8418.wav", "duration": 11.52, "text": "Due to the high demand for our BEACON software, we have recently encountered a bottleneck in developing the necessary interfaces between BEACON and the billing systems used by both current and potential customers."}, {"path": "tedlium_8419.wav", "duration": 11.52, "text": "much convinced that this will be very well received by the customers given the trend that we see towards fresher product,"}, {"path": "tedlium_8420.wav", "duration": 11.52, "text": "productivity is our central focus rather than adding sheer numbers. So I would expect -- I don't have an expectation, and we don't have an expectation that, that number will shoot north dramatically at any time in the near future."}, {"path": "tedlium_8421.wav", "duration": 11.52, "text": "added to the overall result for the quarter and for the continued momentum through 9 months. And when you look back over the last 4 years, you see the consistency of results and continuation of improvement in the underwriting."}, {"path": "tedlium_8422.wav", "duration": 11.52, "text": "we were correctly informed that the moment that the expiry date was there, that they had not the intention to exercise. And so I think both parties"}, {"path": "tedlium_8423.wav", "duration": 11.52, "text": "how would you allocate resources between new products and existing product? Have you already identified some potential products?"}, {"path": "tedlium_8424.wav", "duration": 11.52, "text": "Right now, there isn't enough connection between the microfilm and the product. However, if you spend the same amount of money on below the line,"}, {"path": "tedlium_8425.wav", "duration": 11.52, "text": "Additionally, more than a dozen SKECHERS Performance brand ambassadors will be participating in the Rio games. And the entire Belgian team is wearing SKECHERS in the country's colors off the field."}, {"path": "tedlium_8426.wav", "duration": 11.52, "text": "We've certainly taken advantage of this in building our business and will continue to allocate large amounts of capital to our business going forward."}, {"path": "tedlium_8427.wav", "duration": 11.52, "text": "Turning to energy, energy overall was down from a year ago, as weakness in renewable energy offset strong oil and gas sales. Looking at oil and gas specifically,"}, {"path": "tedlium_8428.wav", "duration": 11.52, "text": "I don't think we would handicap how many we close. We have a good track record of closing acquisitions throughout the year. We have a very strong pipeline. We're in various stages of discussions with acquisitions. So it's an important part of our"}, {"path": "tedlium_8429.wav", "duration": 11.52, "text": "We believe this is largely a consequence of our relationships and our reputation in the market as a strong and respected operator and trusted stewards of the events post acquisition."}, {"path": "tedlium_8430.wav", "duration": 11.52, "text": "is through these investments that we were able to secure this project, and it is through this project that we will have our best opportunity to date to demonstrate how NOV can provide better FPSO solutions."}, {"path": "tedlium_8431.wav", "duration": 11.52, "text": "Since this is such a significant change, I wanted to provide some additional detail this quarter, so let me spend just a few more minutes than usual walking through the individual line items."}, {"path": "tedlium_8432.wav", "duration": 11.52, "text": "we will continue to monitor the impact of any future developments to Applied, supply chain, customers and take any actions that are needed to mitigate impact to Applied and our customers."}, {"path": "tedlium_8433.wav", "duration": 11.52, "text": "It has been my experience that most JVs do not end up working as well as expected, and the root cause is generally a lack of follow-through and commitment by the respective teams to do what they said they would."}, {"path": "tedlium_8434.wav", "duration": 11.52, "text": "by the service mix changes, by short-term productivity issues due to the large number of new tech staff hires and probably to some extent by the timing of the Christmas holiday this year."}, {"path": "tedlium_8435.wav", "duration": 11.52, "text": "We now have the GalXC proof of concept data and necessary capital resources to fully execute our strategy to develop RNAi therapies for patients with unmet medical needs."}, {"path": "tedlium_8436.wav", "duration": 11.52, "text": "and expectations of possible Agency widening as the Fed continues to unwind, is it fair to say that we could see capital allocation to Agency creep up throughout the year?"}, {"path": "tedlium_8437.wav", "duration": 11.52, "text": "Elsewhere in Asia, as previously noted, sales of HI-CHEW in Indonesia were weak as we have not been able to gain wider product recognition."}, {"path": "tedlium_8438.wav", "duration": 11.52, "text": "Turning to Slide 8. Expanding and optimizing our business portfolio have also been an emphasis over the last several years to positively impact both top and bottom line growth."}, {"path": "tedlium_8439.wav", "duration": 11.52, "text": "You see that in the numbers that we've discussed for the 2 new rigs that were going to complete. And so we were certainly encouraged with the favorable economics to complete these rigs."}, {"path": "tedlium_8440.wav", "duration": 11.52, "text": "And what's interesting for me, too, is I'm not hearing my own organization complaining about volumes out in the marketplace as a reason why they can't attain or drive past the goals that we've set."}, {"path": "tedlium_8441.wav", "duration": 11.52, "text": "looking statements based on the business environment as we currently see it and, as such, does include certain risks and uncertainties. Please refer to our press release and our SEC filings"}, {"path": "tedlium_8442.wav", "duration": 11.52, "text": "our adjusted EBITDA margins does reflect the investments we have made in growth, both on an inorganic and organic basis."}, {"path": "tedlium_8443.wav", "duration": 11.52, "text": "run what we think will be the final clinical study to result in the full licensure. But really work with those veterinarians to understand the therapeutic, gain increased confidence in it,"}, {"path": "tedlium_8444.wav", "duration": 11.52, "text": "comp in fourth quarter by a -- negatively by about a point? And is that the thought process as well for the first quarter?"}, {"path": "tedlium_8445.wav", "duration": 11.52, "text": "Of note, some of these savings were temporarily offset by expected inefficiencies as the final volumes from that plant were transitioned to other sites."}, {"path": "tedlium_8446.wav", "duration": 11.52, "text": "And we continue to invest in the business over the period in terms of marketing, product and talent, positioning ourselves very well for further growth going forward."}, {"path": "tedlium_8447.wav", "duration": 11.52, "text": "of your portfolio. So you take, for example, ice cream as one, we were very much in the bulk segment in retail, and we've really worked hard over the last 4 or 5 years"}, {"path": "tedlium_8448.wav", "duration": 11.52, "text": "Thanks for your questions, and thank you as well for your support. We recognize that getting behind this company takes investors who are willing to take a long-term perspective, and we know that's not easy. So we really appreciate you,"}, {"path": "tedlium_8449.wav", "duration": 11.52, "text": "combined with the right vision and a culture with a relentless focus on client service, integrity, and management rigor and discipline, will make this company the best it has ever been."}, {"path": "tedlium_8450.wav", "duration": 11.52, "text": "Overall, we had a mixed performance during the third quarter. Although we achieved strong growth on the top line, our growth in adjusted EBITDA was more modest as we continued to experience margin pressures"}, {"path": "tedlium_8451.wav", "duration": 11.52, "text": "We are very proud to announce this new initiative and join with many others to push forward these policy changes that could make a meaningful difference in the lives of millions if enacted."}, {"path": "tedlium_8452.wav", "duration": 11.52, "text": "Four, we're proud to deliver a third place experience that inspires and fosters human connection that is relevant to the Chinese consumer aspirations."}, {"path": "tedlium_8453.wav", "duration": 11.52, "text": "We have also started early research or consumer research on Pioneer products that we believe are relevant for the local market, in particular around the breakfast category."}, {"path": "tedlium_8454.wav", "duration": 11.52, "text": "We know that we can only deliver on our strategies if we attract and retain more than our fair share of great talent everywhere we operate. The talent marketplace is changing and we have to change with it."}, {"path": "tedlium_8455.wav", "duration": 11.52, "text": "As expected, our group segment was challenged this quarter, largely driven by the lack of citywide activity and Easter shifting to March."}, {"path": "tedlium_8456.wav", "duration": 11.52, "text": "We are also grateful to our customers for believing in National MI and our shareholders and business partners for supporting us since our founding."}, {"path": "tedlium_8457.wav", "duration": 11.52, "text": "maturing and evolving rapidly and really nicely. And when we were first exploring the Alexion and Lilly collaborations in early talks with those companies,"}, {"path": "tedlium_8458.wav", "duration": 11.52, "text": "I point out these comparisons for 2 years ago not to just search for a silver lining, but to show how the Titan team has done a good job battling these market conditions. And again, it takes a team of people working hard"}, {"path": "tedlium_8459.wav", "duration": 11.52, "text": "That was largely related to the 90 basis point impact of our strategic actions to improve revenue mix as well as the price elasticity we experienced earlier in the year."}, {"path": "tedlium_8460.wav", "duration": 11.52, "text": "The first quarter saw overall improvement in prices and margins for propylene and ethylene. These results were offset by lower production volumes primarily due to an unexpected failure"}, {"path": "tedlium_8461.wav", "duration": 11.52, "text": "We expect to hear sometime in the short-to-medium term about the results, but we are optimistic given the competitive bid that we submitted and the track record that we have in providing"}, {"path": "tedlium_8462.wav", "duration": 11.52, "text": "As for the first quarter, we are pleased to report that programs put in place to improve revenue trends are beginning to show positive results."}, {"path": "tedlium_8463.wav", "duration": 11.52, "text": "sporting events and about 30 of our markets that open up a new revenue stream, and we see a much different client that gets engaged in that business as well."}, {"path": "tedlium_8464.wav", "duration": 11.52, "text": "Right. You used to give us a number of accounts and then it seemed like it sort of flatlined a little bit. But given some of these recent initiatives, it would seem like that could have accelerated"}, {"path": "tedlium_8465.wav", "duration": 11.52, "text": "is being sold at prices with a slight premium to Brent. The balance comes from Canada, just under 40%. And we did see improvement in our oil prices in absolute terms"}, {"path": "tedlium_8466.wav", "duration": 11.52, "text": "I'll begin in a usual fashion by taking you through the operations update and then Christophe will run through the second quarter numbers and then at the end of both presentations,"}, {"path": "tedlium_8467.wav", "duration": 11.52, "text": "Obviously, when you're thinking about how much of your expandable income you're going to spend on CE, we are quite thoughtful about that share of wallet question, particularly over the holidays when people often go in with a budget and"}, {"path": "tedlium_8468.wav", "duration": 11.52, "text": "our EBITDA and cash flows are concentrated in Q4. Based on this and with a focus to pay down short-term debt in Q4, we expect to be back within our target range by the end of the year."}, {"path": "tedlium_8469.wav", "duration": 11.52, "text": "We were very pleased to see that the combination showed favorable tolerability and safety across all dose levels without any evidence of increased autoimmunity or inappropriate immune activation."}, {"path": "tedlium_8470.wav", "duration": 11.52, "text": "Our largest customers continue to buy new trucks and invest in their natural gas operation and we continue to gain new customers across our markets of transit, refuse and trucking."}, {"path": "tedlium_8471.wav", "duration": 11.52, "text": "But if we were going to look at some of the core products, liquid hydrogen, helium, argon, our growth rates are substantially higher in those areas, and I think that's particularly important to us."}, {"path": "tedlium_8472.wav", "duration": 11.52, "text": "We are about carefully evaluating the risk of investment -- investing and making sure we have good returns for our shareholders."}, {"path": "tedlium_8473.wav", "duration": 11.52, "text": "the timing on the cracker. One of the things we wanted to make sure, that there were some daylight in between when this Gulf Coast cracker project one came up and when we would do the second one."}, {"path": "tedlium_8474.wav", "duration": 11.52, "text": "It's important to note that while we've been able to move fast on our streamlining efforts, it's been far from easy. We've seen short-term effects in our international results, largely due to the magnitude of change."}, {"path": "tedlium_8475.wav", "duration": 11.52, "text": "And now we're in the stage where we're building up hardware so that deliveries will start to accelerate in the second half on those big projects, which include some of the drag projects we discussed with respect to margin."}, {"path": "tedlium_8476.wav", "duration": 11.52, "text": "I think, Jennifer what you are referring to about the duration increasing more than the nominal is because if you remember, we first went to the natural position in nominal first,"}, {"path": "tedlium_8477.wav", "duration": 11.52, "text": "As with all new regulatory measures, this will require some adjustment for Tinkoff, but given the nature of our business and the small loan sizes we offer on credit cards, we don't expect this to have a major impact."}, {"path": "tedlium_8478.wav", "duration": 11.52, "text": "so we feel pretty good about the economic backdrop. Now having said that, it has not started that well off for the calendar year, as you've probably heard in the industry."}, {"path": "tedlium_8479.wav", "duration": 11.52, "text": "we don't plan on drilling full density down there yet until we finish building out the upsized midstream that's going to be required. But we will have more well results towards the end of this year and the beginning of next year."}, {"path": "tedlium_8480.wav", "duration": 11.52, "text": "In fact, we were able to open Heavenly and Northstar earlier than originally planned given the strong conditions and have enjoyed welcoming our guests to experience the great conditions and terrain in Tahoe."}, {"path": "tedlium_8481.wav", "duration": 11.52, "text": "We also realized expense leverage in supplies stemming from continued supply chain initiatives, including patient pharma and medical supplies."}, {"path": "tedlium_8482.wav", "duration": 11.52, "text": "We are also seeing the start of new investment programs in countries like Mexico, Angola, Indonesia and China, where total production has already been in noticeable decline for several years"}, {"path": "tedlium_8483.wav", "duration": 11.52, "text": "which is a substantial platform, when you plank it toward this space. That's a part of this cloud, right? These things we don't have to build new. We will leverage the fact that we've got"}, {"path": "tedlium_8484.wav", "duration": 11.52, "text": "Also, there remains a significant opportunity to further improve overall performance within our aviation and truck equipment business to make it a positive contributor to segment performance."}, {"path": "tedlium_8485.wav", "duration": 11.52, "text": "as it relates to sort of the margins in the segment earnings, I know you said it was consistent with what you were looking for, but a little bit steeper than, I guess, what we had expected or I had at least expected from the outside."}, {"path": "tedlium_8486.wav", "duration": 11.52, "text": "We continue to progress a project we call Connect New York. This is an underground DC line essentially from Utica through the congestion points"}, {"path": "tedlium_8487.wav", "duration": 11.52, "text": "that our natural strengths are ready to go if this market does evolve as we hope it does. So I guess just to finish on a strong note that beyond 2020, there is"}, {"path": "tedlium_8488.wav", "duration": 11.52, "text": "what we are deliberately doing is making sure that we hedge against both sides of the equation. So where we have been actively doing development work into the narrowbody side of the business"}, {"path": "tedlium_8489.wav", "duration": 11.52, "text": "there are a couple of chemotherapeutic drugs that are in common usage in animals that they have developed, and we're in the process of getting them approved. Our Spanish company"}, {"path": "tedlium_8490.wav", "duration": 11.52, "text": "there should be a fair amount of mom -- whether it's a mom-and-pops or whoever it is, who are currently in a lot of trouble that may not make it to '19. Do you think that's a fair statement?"}, {"path": "tedlium_8491.wav", "duration": 11.52, "text": "we think we're just in a little bit of a high level on some construction projects. And then it'll start to get back to a normal level. Okay. Generally big picture, that you feel good about"}, {"path": "tedlium_8492.wav", "duration": 11.52, "text": "Ravi, we definitely believe that blockchain represents a significant opportunity in the custodial control and chain of control for supply chain shipments. We were"}, {"path": "tedlium_8493.wav", "duration": 11.52, "text": "and what that overall impact is. So that's really it. It's really just how we think about the business. And the other thing I would highlight for you is"}, {"path": "tedlium_8494.wav", "duration": 11.52, "text": "do you think might be dependent on an extension of the PTC? And what are your current thoughts on whether that will occur and the impact that, that would have on your business for next year?"}, {"path": "tedlium_8495.wav", "duration": 11.52, "text": "I think it's important to say that Klabin has been increasing strategically the safety strategy. Think about -- security,"}, {"path": "tedlium_8496.wav", "duration": 11.52, "text": "So the phones are practically never obsolete. We do have features that are added from time to time in the phone, but it's all done with firmware. So"}, {"path": "tedlium_8497.wav", "duration": 11.52, "text": "we have provided supplemental non-IFRS financial information. For understanding of the differences between the two, please see the reconciliation tables included in our press release."}, {"path": "tedlium_8498.wav", "duration": 11.52, "text": "the fact that the quarter, on the top line, could have been better selling in the past would we have focused only on that, and we are preparing the future from that standpoint, as it"}, {"path": "tedlium_8499.wav", "duration": 11.52, "text": "With a business model that provides outstanding free cash flow generation, the commencement of a quarterly dividend, the benefit of our significant NOLs to shield future earnings,"}, {"path": "tedlium_8500.wav", "duration": 11.52, "text": "what I've outlined is, obviously, a number of steps, a great deal of work, but I have full confidence in the team that we have in place that this is the right team"}, {"path": "tedlium_8501.wav", "duration": 11.52, "text": "And third, the ability to access the capital markets by opportunistically tapping debt for low-cost acquisition financing, refinancings and distributions."}, {"path": "tedlium_8502.wav", "duration": 11.52, "text": "Third, we are focusing our capital investment over the next 12 months on remodeling approximately 30 stores to support our product presentation strategy."}, {"path": "tedlium_8503.wav", "duration": 11.52, "text": "I'd like to add my thanks to our colleagues around the globe for all their efforts during 2016. As we take a step back and consider the progress we've made in just 12 months,"}, {"path": "tedlium_8504.wav", "duration": 11.52, "text": "We expect the full year return on capital spread to be negative 20 basis points. I'll turn now to Page 7 and discuss some key trends that we saw in the business segments during the quarter."}, {"path": "tedlium_8505.wav", "duration": 11.52, "text": "passing 2 million shifts without a fatality, TauTona marked more than a year without a fatality, which I'm happy to say is a feat that a number of our operations now can also claim."}, {"path": "tedlium_8506.wav", "duration": 11.52, "text": "Good morning. My name is Jackie, and I will be your conference operator today."}, {"path": "tedlium_8507.wav", "duration": 11.52, "text": "in terms of the other markets that are adjacent to New York and whether there's other opportunities. So we haven't made any decisions around Independence, and we don't feel compelled to do that. It would have to be"}, {"path": "tedlium_8508.wav", "duration": 11.52, "text": "with about 85% of the market in the hands of our competitors. We see this as a golden opportunity to win new profitable business at a much faster pace."}, {"path": "tedlium_8509.wav", "duration": 11.52, "text": "The deal pipeline consists of internally and externally generated targets and continues to be quite full. In fact, we are presently looking seriously at a number of acquisition opportunities."}, {"path": "tedlium_8510.wav", "duration": 11.52, "text": "For a number of reasons, we are modifying this approach for fiscal 2020. Changes to plans or activity levels that occur after the beginning of the calendar year by individual customers"}, {"path": "tedlium_8511.wav", "duration": 11.52, "text": "as well as the ability to leverage in connection with the transaction, we believe we can efficiently transact within our target size range without raising significant new common equity."}, {"path": "tedlium_8512.wav", "duration": 11.52, "text": "Consistent with our goal of being a multiproduct, profitable company, we project 2018 will be our third consecutive year of pro forma operating profitability,"}, {"path": "tedlium_8513.wav", "duration": 11.5199375, "text": "Adjusted EBITDA excludes depreciation, interest income and expense as well as income taxes in addition to the exclusions for adjusted income from continuing operations."}, {"path": "tedlium_8514.wav", "duration": 11.49, "text": "the mobile Internet devices as such are not the highest margin products. That's a highly competitive world. So"}, {"path": "tedlium_8515.wav", "duration": 11.49, "text": "Following the formal portion of the call, we will be pleased to take your question. For your information, this call is being recorded, and a replay will be made available shortly after the call."}, {"path": "tedlium_8516.wav", "duration": 11.49, "text": "In total, we expect sales in the data centers to grow progressively through each quarter in 2018 as we scale analog and laser capacity and ramp our L-PIC solutions."}, {"path": "tedlium_8517.wav", "duration": 11.49, "text": "Scaling our funds will not only drive FRE growth, it also improves our ability to invest in both target investment capabilities and critical growth areas, like Global Credit."}, {"path": "tedlium_8518.wav", "duration": 11.49, "text": "In April, I believe it was the 7th, we showed it to our employees and we shared it together, and it was a way of encouraging our people to change with speed."}, {"path": "tedlium_8519.wav", "duration": 11.49, "text": "we have the residual decline that Dave talked about from the standpoint of the handset business that we have to get through and we have this overwhelming downward"}, {"path": "tedlium_8520.wav", "duration": 11.49, "text": "revising the study design based on new input and new potential efficacy data, but also to discuss the feasibility of potentially using a human challenge model"}, {"path": "tedlium_8521.wav", "duration": 11.49, "text": "financial condition and business prospects. Although such statements are based on our own information and information from other sources we believe to be reliable,"}, {"path": "tedlium_8522.wav", "duration": 11.49, "text": "Our portfolio, as you can imagine, has matured, and it provides fewer examples or opportunities for that type of"}, {"path": "tedlium_8523.wav", "duration": 11.49, "text": "will change? Yes. I mean, when we started the year, we said modest reduction in new equipment and modest growth in product support across the company, and I think"}, {"path": "tedlium_8524.wav", "duration": 11.49, "text": "But is the pricing very different for those kind of contracts because competitors say that it's down for the general market? So even if you had much better margins on"}, {"path": "tedlium_8525.wav", "duration": 11.49, "text": "In both these regions, we're very pleased with what we feel is a positive performance on same-store volume, particularly being faced with challenging conditions such as the heavy rainfall on the West Coast"}, {"path": "tedlium_8526.wav", "duration": 11.49, "text": "net of those, so I would expect us probably to be showing something around 20%. Going forward with this change, we are going to have very transparent current income tax"}, {"path": "tedlium_8527.wav", "duration": 11.49, "text": "and Cable ONE is matching donations made by our associates to support some of those with the greatest need. And now Steven will provide more financial details on our third quarter results."}, {"path": "tedlium_8528.wav", "duration": 11.49, "text": "Just as we had explained to the market, current regulations in Colombia in terms of risk-weighting is very severe and thus demands far more capital than required."}, {"path": "tedlium_8529.wav", "duration": 11.49, "text": "as well as from your cost of risk line. Net-net, it becomes exactly the same number you would have had in the past, but rather than having those numbers higher, you ended up netting those."}, {"path": "tedlium_8530.wav", "duration": 11.49, "text": "going back to the points made earlier about your improving financial flexibility, I know you gave some sort of guidance around your debt rating capability in the past when we were discussing"}, {"path": "tedlium_8531.wav", "duration": 11.49, "text": "Looking at that number alone, you may feel a bit nervous. However, we put more focus on the sell-through number, the actual sales at retail."}, {"path": "tedlium_8532.wav", "duration": 11.49, "text": "In addition, we have several tools, including a partner portal for them to register opportunities, get valuable content, build marketing campaigns, and request our assistance."}, {"path": "tedlium_8533.wav", "duration": 11.49, "text": "We continue to streamline key productivity tools, such as Electronic Time Capture, which provide us with important data in order to make better productivity decisions."}, {"path": "tedlium_8534.wav", "duration": 11.49, "text": "it is important to know that management and the board have never wavered from a commitment to evaluate any and all opportunities to unlock value for our shareholders."}, {"path": "tedlium_8535.wav", "duration": 11.49, "text": "I think that we would -- I think that the answer primarily to growing that is to continue to recruit the right talent and give them the opportunity to kind of build their shop and build their business."}, {"path": "tedlium_8536.wav", "duration": 11.49, "text": "data there and we would hope in the second half of this year to be able to have that natural history data to compare to what we're seeing in this study. Jay, Jeff, anything to add?"}, {"path": "tedlium_8537.wav", "duration": 11.49, "text": "This achievement is one quarter ahead of our internal target as we benefited from continued and further progress in selling price realization and strong cost management during the quarter."}, {"path": "tedlium_8538.wav", "duration": 11.49, "text": "put on the page the word illustrative. We don't want to speculate at all around where the numbers are going to be set."}, {"path": "tedlium_8539.wav", "duration": 11.49, "text": "and we're going to be very focused on that metric. We've always tracked the metric, obviously, internally and looked at it along with many other metrics as we looked at our business. What I can tell you -- we're not disclosing,"}, {"path": "tedlium_8540.wav", "duration": 11.49, "text": "Going forward, building on our industry-leading regulatory software, we are looking to expand the platform, targeting a single solution to address clients' global regulatory requirements."}, {"path": "tedlium_8541.wav", "duration": 11.49, "text": "what we believe we're seeing, Brandon, is a temporary situation where the cost of that common equity is higher than, at least in our opinion, our judgment, higher than it should be"}, {"path": "tedlium_8542.wav", "duration": 11.49, "text": "our last call, we highlighted some of the advantages of our solutions. But I feel it's important to emphasize again what we believe to be the key competitive edge of our wellsite storage."}, {"path": "tedlium_8543.wav", "duration": 11.49, "text": "What we know for certain at the moment is that 2 wells have flowed at commercial rates, with good quality oil, and there are multiple reservoirs offering material potential."}, {"path": "tedlium_8544.wav", "duration": 11.49, "text": "In the third quarter, Interxion continued this trend of popular growth combined with margin expansion despite some negative foreign currency impacts."}, {"path": "tedlium_8545.wav", "duration": 11.49, "text": "We are anticipating that any benefit we see related to the -- any -- to federal rate increases could be offset by an increase in our deposit costs as a result of increased competition,"}, {"path": "tedlium_8546.wav", "duration": 11.49, "text": "Legacy fluorescent and services revenue accounted for the majority of the remaining revenue and declined by 39% in the first quarter when compared to the year-ago period."}, {"path": "tedlium_8547.wav", "duration": 11.49, "text": "engineered integrated pumping systems and filtration solutions as well as providing energy absorbing road safety solutions and solutions for expanding the capacity of existing roads and bridges."}, {"path": "tedlium_8548.wav", "duration": 11.49, "text": "to try this out. So we've been patient to that end. But the suppliers now that we're signing up and some of the existing suppliers are interested in driving further adoption. So we're doing some of the things I mentioned, and we think"}, {"path": "tedlium_8549.wav", "duration": 11.49, "text": "Over the course of several months, the board had more than a dozen independent committee meetings plus 7 full board meetings and conducted a thorough evaluation of proposals."}, {"path": "tedlium_8550.wav", "duration": 11.49, "text": "Today, we are committing to a plan, which we expect allows us to achieve the rule of 40 by 2020 with a combination of revenue growth and margin expansion."}, {"path": "tedlium_8551.wav", "duration": 11.49, "text": "at pretty attractive numbers. But before we actually commit to pull the trigger on those, we want to make sure we have a place to roll the money to so that we can execute the 1031 effectively."}, {"path": "tedlium_8552.wav", "duration": 11.49, "text": "Using proprietary machine learning algorithms to find that proverbial needle in the haystack, that novel protein sequence, from a nearly infinite selection"}, {"path": "tedlium_8553.wav", "duration": 11.49, "text": "And all the while, the back-end data will be far richer, qualitatively, similar to the archive of televised sporting events, as compared to the newspaper accounts that predated televised recordings."}, {"path": "tedlium_8554.wav", "duration": 11.49, "text": "On China routes, capturing greater inbound demand among individual travelers pushed the third quarter load factor up by 10 points compared to the previous year."}, {"path": "tedlium_8555.wav", "duration": 11.49, "text": "Utility expenses were down 8%, partially due to the more moderate winter. And group commissions were lower as a result of less group business."}, {"path": "tedlium_8556.wav", "duration": 11.49, "text": "Thank you very much for your good performance despite the difficult environment. As you mentioned, you mentioned that before you changed the standard, you were preemptive"}, {"path": "tedlium_8557.wav", "duration": 11.49, "text": "The important takeaway from our commentary today is that we continue to build franchise value through sustained organic growth and opportunistic transactions."}, {"path": "tedlium_8558.wav", "duration": 11.49, "text": "at Cedar Rapids and moving them to Kansas City and other locations in our network, where they can be produced more efficiently and effectively to supply that -- those areas."}, {"path": "tedlium_8559.wav", "duration": 11.49, "text": "Our increased sales activities this quarter drove much of the pressure we saw as did continued transition of video from linear to over-the-top services."}, {"path": "tedlium_8560.wav", "duration": 11.49, "text": "This economic interest represents an important strategic asset to the company as both an emerging future contributor of growth and an alternative source of funding for our pipeline."}, {"path": "tedlium_8561.wav", "duration": 11.49, "text": "we want to see this through to the end. If timing of sales is such that there is a sales decline, we are going to -- we may have to slow some things down if we see that uplift"}, {"path": "tedlium_8562.wav", "duration": 11.49, "text": "affect the market in China, is not of the same quality, normally, than eucalyptus. A lot of people use eucalyptus because they have new machines"}, {"path": "tedlium_8563.wav", "duration": 11.49, "text": "Every brand we acquire, create or bring back to life will have a multi-year, multi-category plan that justifies the investment and guides the team in executing our strategy."}, {"path": "tedlium_8564.wav", "duration": 11.49, "text": "by excellent operational execution across all areas of our business and significantly supported by continuing favorable demand environment in the Commercial Trailer Products business, overall."}, {"path": "tedlium_8565.wav", "duration": 11.49, "text": "The manufacturing operating margin will be driven primarily by infrastructure enhancements in the Microbial Solutions business as well as synergies associated with the Celsis acquisition."}, {"path": "tedlium_8566.wav", "duration": 11.49, "text": "at a very reasonable leverage ratio and that we're very comfortable that we have the capacity to do that while continuing to organically invest"}, {"path": "tedlium_8567.wav", "duration": 11.49, "text": "With us having a continued headwind going into 2016, we will continue to be prudent about our approach in that area and go after specific price actions where it makes sense"}, {"path": "tedlium_8568.wav", "duration": 11.49, "text": "over significantly longer time horizon, required significant capital and generated volatile results as compared to its core customer focused market making businesses"}, {"path": "tedlium_8569.wav", "duration": 11.49, "text": "by having one set of firmware and software to control the entire system. And that is what is most exciting to me in the long run. That won't happen overnight, but"}, {"path": "tedlium_8570.wav", "duration": 11.49, "text": "removing concerns about upcoming debt maturities in GNL's capital structure. We are also able to achieve the extension of these debt maturities while keeping our cost of interest relatively flat,"}, {"path": "tedlium_8571.wav", "duration": 11.49, "text": "maybe this holiday season at some point at your Investor Day. Can you talk about how that went? I know you have a commercial out there, but did you pull back on marketing spend because there's just been so much demand and you didn't want to"}, {"path": "tedlium_8572.wav", "duration": 11.49, "text": "While there continue to be many challenges in the completion of these projects, several recent changes have provided significantly more clarity on certain options previously under consideration"}, {"path": "tedlium_8573.wav", "duration": 11.49, "text": "The settlement also, as I said before, prohibits qualification purchases or purchases just for the sake of qualifying to advance in the marketing plan or to reach a certain compensation threshold."}, {"path": "tedlium_8574.wav", "duration": 11.49, "text": "when we can talk about the specific response rate after we have followed all the patients out to -- an appropriate time point when we are confident of their responses, then we can make that decision."}, {"path": "tedlium_8575.wav", "duration": 11.49, "text": "Our team is focused and determined to execute on those opportunities as we look ahead to 2017. Now let me hand it over to Marty to walk you through the numbers in more detail."}, {"path": "tedlium_8576.wav", "duration": 11.49, "text": "According to our information, this initiative should be announced by the spring of this year. It will first be recommendation and after a period of monitoring and analysis, it is expected to become regulation."}, {"path": "tedlium_8577.wav", "duration": 11.49, "text": "Do you think that the pricing strategy has to change to go to more towards performance base to kind of see more technology adoption?"}, {"path": "tedlium_8578.wav", "duration": 11.49, "text": "We continue to focus on developing and delivering a value-driven client and member experience, with an emphasis on care and quality in the most complex areas of drug therapy."}, {"path": "tedlium_8579.wav", "duration": 11.49, "text": "may be oversold or stuff the channel a little bit before it was sold? How much of the company have you in your short time kind of been able to vet and kind of give a seal of approval to?"}, {"path": "tedlium_8580.wav", "duration": 11.49, "text": "Generation volumes in Texas were roughly flat, while volumes in the East were higher year-over-year due largely to our acquisition of Granite Ridge as well as stronger market conditions driven by summer heat."}, {"path": "tedlium_8581.wav", "duration": 11.49, "text": "So typically, third quarters are generally strong quarters for the business, that we don't see any reason for that to be different"}, {"path": "tedlium_8582.wav", "duration": 11.49, "text": "We have continued to profit from the new products and services introduced over the past few years, delivering our third consecutive period of quarterly record revenues,"}, {"path": "tedlium_8583.wav", "duration": 11.49, "text": "Something over 50% of the total population in the Highlands is now under 20 years of age, and we now need to turn our minds to how we engage with them."}, {"path": "tedlium_8584.wav", "duration": 11.49, "text": "And can you quantify the impact of the turnaround in terms of EBIT? We spent, not all of this is running through Q2 earnings. But we spent"}, {"path": "tedlium_8585.wav", "duration": 11.49, "text": "you've been growing TEF. And I just want to get a better understanding about the customer profile that you are selling and sub-acquiring. Can you just give me"}, {"path": "tedlium_8586.wav", "duration": 11.49, "text": "we still see growth in the traditional trade. And so part of our investment en route to market in areas like Brazil or India as we -- or even China as we think about getting outside the main cities,"}, {"path": "tedlium_8587.wav", "duration": 11.49, "text": "They all have their own characteristics. And like I said, the 200ER is probably the weak point in the market as far as that generation. And I feel far more optimistic about the rest of the group."}, {"path": "tedlium_8588.wav", "duration": 11.49, "text": "relatively normal weather year if there's ever one of those left anymore, where kind of warm and wet in the spring, hot and dry in the summer and cool and cold and snowy in the winter."}, {"path": "tedlium_8589.wav", "duration": 11.49, "text": "The outer circle represents high visibility line of sight to future projects and is filled with signed MOUs and LOIs related to future projects and phases."}, {"path": "tedlium_8590.wav", "duration": 11.49, "text": "pull-through. I do think that the organizational change that we made recently about literally pulling these businesses together from an operational point of view to having a more holistic sell-in process,"}, {"path": "tedlium_8591.wav", "duration": 11.49, "text": "adjusted EBITDA for the first quarter was lower than what we originally expected, while cash capital expenditures came in higher for the first quarter than we anticipated."}, {"path": "tedlium_8592.wav", "duration": 11.49, "text": "Additionally, the agreement will provide better certainty in the NGL differentials, and when combined with our strong hedge book, will give Rex more protection and stability of our quarterly cash flows."}, {"path": "tedlium_8593.wav", "duration": 11.49, "text": "We have always deliberately not set out a definitive range for leverage. We have said consistently for years"}, {"path": "tedlium_8594.wav", "duration": 11.49, "text": "And if we were to do the Math of this expense, by the multiple of EBITDA, we would see that there is a discount as well."}, {"path": "tedlium_8595.wav", "duration": 11.49, "text": "We began the year with positive momentum, generated by solid growth in the second half of 2014. Our underlying business fundamentals are very strong due to the improvements we've made over the last several years,"}, {"path": "tedlium_8596.wav", "duration": 11.49, "text": "They are either RFPs where there has been an announced search or they are institutional referrals, where we have"}, {"path": "tedlium_8597.wav", "duration": 11.49, "text": "should conditions merit, but will allow us to show incremental improvements in the profitability of our alumina business over the next several quarters."}, {"path": "tedlium_8598.wav", "duration": 11.49, "text": "Each of these categories are providing net savings ranging between 5% and 8%. We've been actively staffing the procurement organization, and we are now at 80% of our expected staffing levels."}, {"path": "tedlium_8599.wav", "duration": 11.49, "text": "will help us. And then as we roll out the final solution set, those individual links to that middle ware, if you will, just go away, and they're seamless. So I think the approach we've taken"}, {"path": "tedlium_8600.wav", "duration": 11.49, "text": "like they should be accelerators for our business, but it's difficult to predict when they're going to be ready. And so as a result, our revenue visibility is really more in the near term. And so that's why we shared some thoughts with you as it relates to the first quarter on the underlying drivers of the business."}, {"path": "tedlium_8601.wav", "duration": 11.49, "text": "And due to low strip ratio, very favorable metallurgy and the availability of ample low-cost power, the operating costs are low and project returns are favorable."}, {"path": "tedlium_8602.wav", "duration": 11.49, "text": "If you multiply relative to the estimated '19 realized price, doesn't seem like too much of a change. But can you elaborate a little bit on some of the puts and takes going on there, might it be slightly lower across all the regions?"}, {"path": "tedlium_8603.wav", "duration": 11.49, "text": "that will enable us to provide a higher level of value-added processing to our customers as their volumes increase, which can easily be absorbed in our existing cost structure."}, {"path": "tedlium_8604.wav", "duration": 11.49, "text": "Turning to Slide 5, I do want to spend a minute highlighting our new York YZ centrifugal chiller, which was launched in early January."}, {"path": "tedlium_8605.wav", "duration": 11.49, "text": "In addition, we continue to make significant progress with our new product introductions and channel initiatives as reflected in the vitality index improvement mentioned by Dave earlier."}, {"path": "tedlium_8606.wav", "duration": 11.49, "text": "Hurricane Harvey also disrupted the company's wholesale logistics as the temporary shutdown of railway shipping through Houston impacted shipments from the Company's upholstery plant in Mexico"}, {"path": "tedlium_8607.wav", "duration": 11.4899375, "text": "This need for technology extends beyond farming operations to elements of infrastructure, logistics and processing, and will result in a need for solutions from all 4 Trimble segments."}, {"path": "tedlium_8608.wav", "duration": 11.4899375, "text": "classified and nonperforming asset balances increased slightly but remain low compared to historical norms and were flat or declined as a percent of assets."}, {"path": "tedlium_8609.wav", "duration": 11.46, "text": "the customers arrived in great numbers and are bidding fiercely to acquire these goods and hence, the prices have remained strong."}, {"path": "tedlium_8610.wav", "duration": 11.46, "text": "the product that we already have approved, every step of that procedure, they are currently doing in other procedures. For example, for epi-off, they're already familiar with"}, {"path": "tedlium_8611.wav", "duration": 11.46, "text": "My understanding is that obtaining robust data was important consideration for the study design, such as how long it takes for a patient to climb up certain number of steps."}, {"path": "tedlium_8612.wav", "duration": 11.46, "text": "as a function of the quality of engineering because it allows us to value price. And one of my observations about this company is"}, {"path": "tedlium_8613.wav", "duration": 11.46, "text": "In this quarter, Annaly was once again one of the only mortgage REITs to earn its declared dividend with normalized core earnings while keeping book value basically flat to date."}, {"path": "tedlium_8614.wav", "duration": 11.46, "text": "And your rent spreads on renewals have been fairly strong for a while now. So I assume that speaks to not only anchors, but also some of the CRU tenants around them as well? A"}, {"path": "tedlium_8615.wav", "duration": 11.46, "text": "In addition, we are investing in the future to allow us to continue to deliver and grow sustainable free cash flow for years to come."}, {"path": "tedlium_8616.wav", "duration": 11.46, "text": "And so we are working with that provider to try and get that provider to map their billing system to BEACON, but that provider doesn't have a lot of resources to work with us."}, {"path": "tedlium_8617.wav", "duration": 11.46, "text": "The new management team has significant confidence with this knowledge and is using that to make decisive and bold moves to optimize our store fleet for both growth and profitability."}, {"path": "tedlium_8618.wav", "duration": 11.46, "text": "and they included improvements to capital, labor and planning efficiencies. In the third quarter, a number of these initiatives were delivered at Turquoise Ridge."}, {"path": "tedlium_8619.wav", "duration": 11.46, "text": "If anything, in each of the areas, I think we're finding that we were maybe a bit conservative. For example, test send-outs, I think that's a little bit better than we thought,"}, {"path": "tedlium_8620.wav", "duration": 11.46, "text": "which historically have been very heavy during Q4. Even though our full year expenses are moving up modestly, our operating margin for the year will be higher by 1 percentage point versus our previous target."}, {"path": "tedlium_8621.wav", "duration": 11.46, "text": "But furthermore, we are working closely with additional OEMs to expand our reach in clean, track and other wet processes and to further increase our market share."}, {"path": "tedlium_8622.wav", "duration": 11.46, "text": "at that point, both Cal-Weld and Talon were relatively new, and I didn't want people to think that the core business was just flat and they are the ones doing all the growing. So I did make that"}, {"path": "tedlium_8623.wav", "duration": 11.46, "text": "While insurance receipts were a significant driver of the quarterly performance, we also continued to see solid working capital management contributing to higher levels of cash flow."}, {"path": "tedlium_8624.wav", "duration": 11.46, "text": "And what we hope to do is to achieve all of these goals and demonstrate, as we have historically, that we're pretty good at setting goals and achieving them. So what's the year look like?"}, {"path": "tedlium_8625.wav", "duration": 11.46, "text": "has gotten a bit healthier. We don't add many new accounts in the thing, but their room nights are up some and there was a while there a year ago where they were actually soft,"}, {"path": "tedlium_8626.wav", "duration": 11.46, "text": "What we don't have clear visibility on is when the individuals holding these securities will decide to exercise, but we do expect they will occur in 2018. Let's move on to the capital."}, {"path": "tedlium_8627.wav", "duration": 11.46, "text": "Before I cover the highlights for 2018, I am pleased to report that today we announced a series of planned capital actions that we intend to execute this year."}, {"path": "tedlium_8628.wav", "duration": 11.46, "text": "to position the company to play a larger and more valuable role in the AI big data era. Now Dan will give his perspective on our performance and outlook."}, {"path": "tedlium_8629.wav", "duration": 11.46, "text": "significantly over the last few years to make sure that Aeroplan is the leading market proposition in terms of value, flexibility, et cetera, and it will continue to be."}, {"path": "tedlium_8630.wav", "duration": 11.46, "text": "These processes have been led in all cases by refreshed and extended research into our catchments and demographics and through engagement with our targeted shoppers through focus groups,"}, {"path": "tedlium_8631.wav", "duration": 11.46, "text": "with both schemes seeing significant and sustained positive footfall growth from the moment those facilities were launched. The positive shift in performance continues to be the case to this day."}, {"path": "tedlium_8632.wav", "duration": 11.46, "text": "our core business is underpinned by strong demographic and macroeconomic trends in the multifamily market that should continue to drive demand for many years to come."}, {"path": "tedlium_8633.wav", "duration": 11.46, "text": "On AG side, I think you need to be careful not to model in that fourth quarter margin that you saw last year, which is heavily influenced by the fact"}, {"path": "tedlium_8634.wav", "duration": 11.46, "text": "The 8 transactions that we have closed since June 1 are strong evidence of our improved ability to execute and our commitment to the strategic objective of high-grading the portfolio."}, {"path": "tedlium_8635.wav", "duration": 11.46, "text": "We will certainly continue to provide well results and updates as we complete more wells and are able to demonstrate how prolific our Northern Delaware acreage is in Loving County."}, {"path": "tedlium_8636.wav", "duration": 11.46, "text": "You said that your best estimate is that this provision will be sufficient. So my question is when will this be checked,"}, {"path": "tedlium_8637.wav", "duration": 11.46, "text": "Turning to Slide 5. Let me now take a few minutes to talk a little bit more about MBS. As one of the largest used book wholesalers and largest"}, {"path": "tedlium_8638.wav", "duration": 11.46, "text": "and considerable effort to minimize future volatility where possible across each of our businesses. We are attempting to provide our investors and analysts as well as the entire market with the best information we have available."}, {"path": "tedlium_8639.wav", "duration": 11.46, "text": "about their experience with ENTYCE. So we believe that our enthusiasm for ENTYCE is shared by veterinarians and pet owners. And the primary quantitative metric by which we are measuring interest"}, {"path": "tedlium_8640.wav", "duration": 11.46, "text": "that at least there's some degree of clarity on this comment, which is we still expect to see operating leverage improvements next year, even with this additional technology spend."}, {"path": "tedlium_8641.wav", "duration": 11.46, "text": "so far we are not seeing any material change in competitive conditions or market rates or anything that would cause us to think our modeling assumptions aren't appropriately conservative."}, {"path": "tedlium_8642.wav", "duration": 11.46, "text": "a little over 4%. We believe this is, in part, the result of the improved efficiency from our enhanced routing and scheduling through the Virtual Route Management system."}, {"path": "tedlium_8643.wav", "duration": 11.46, "text": "provide us with an invoice number and an invoice amount to kind of authenticate themselves that they can get invoices or they are getting invoices from the supplier and then sign up to start working on ARC. So that's one example."}, {"path": "tedlium_8644.wav", "duration": 11.46, "text": "As a result, we expect the annual improvement in sales and marketing as a percent of revenue to be even greater next year than it's been over the last 2 years."}, {"path": "tedlium_8645.wav", "duration": 11.46, "text": "Third, the shift away from certain delivery services allows us to move away from our least profitable business line to more profitable business."}, {"path": "tedlium_8646.wav", "duration": 11.46, "text": "factored into our business plans and something that is really top of mind for us to make sure that we can continue to deliver the experience that we need to for our guests."}, {"path": "tedlium_8647.wav", "duration": 11.46, "text": "Our results reflect robust demand at our lodging properties across each of our geographies. During the third fiscal quarter, we terminated the management agreement with respect to the Half Moon Resort in Jamaica,"}, {"path": "tedlium_8648.wav", "duration": 11.46, "text": "We expect our cash conversion cycle to show improvement in Q4, similar to last year as we further bring down inventory levels following strategic positioning of key commodities in prior quarters."}, {"path": "tedlium_8649.wav", "duration": 11.46, "text": "Although adjusted fourth quarter 2015 results were not positive, we did make steady progress on our recovery from the lows after the SEC settlement last summer and we closed the sale of energy research,"}, {"path": "tedlium_8650.wav", "duration": 11.46, "text": "and we're comfortable with it right now. But we have flexibility. I mean, we -- our capacity plan is made up of new deliveries plus retirement of older ceo airplanes."}, {"path": "tedlium_8651.wav", "duration": 11.46, "text": "We, also with California, the facilities they vacated like North Fork and like Red Rock in Arizona, we have found alternative customers that we think are longer-term solutions for those facilities."}, {"path": "tedlium_8652.wav", "duration": 11.46, "text": "It is not just a cost-cutting exercise. Working with our outside consultants, we have already identified significant savings opportunities in areas such as improving spans and layers within our organization."}, {"path": "tedlium_8653.wav", "duration": 11.46, "text": "Have you seen any changes? Are you still able to attract and retain people? And do you think there'll be any impact on wages? Just give us a quick update on the environment in the Philippines."}, {"path": "tedlium_8654.wav", "duration": 11.46, "text": "It is our goal to accommodate all of these options into a process driven by whatever the best service options are from the perspective of the buyer."}, {"path": "tedlium_8655.wav", "duration": 11.46, "text": "would it be right to say that as you roll forward into '18, in fact, the opposite applies because of the contract cycle, it becomes important for you to show that the plant can operate on a consistent basis?"}, {"path": "tedlium_8656.wav", "duration": 11.46, "text": "distribution of the control to the factory floor was something that we could see coming almost 5 or 6 years ago. So we were preparing the products for it."}, {"path": "tedlium_8657.wav", "duration": 11.46, "text": "That said, there continues to be some discussion in the marketplace that if we were to see a change, any such change would occur prior to the election in November."}, {"path": "tedlium_8658.wav", "duration": 11.46, "text": "our broad specialty portfolio continues to perform well and grow. And the Pakistan economy continues to expand, benefiting both our core and specialty volumes."}, {"path": "tedlium_8659.wav", "duration": 11.46, "text": "fourth, services provided to our largest customer have met or exceeded our revised expectations following the change in scope of services we announced in April"}, {"path": "tedlium_8660.wav", "duration": 11.46, "text": "we are seeing that value pricing is very important to the consumers there. And one of the things that's been a big focus of ours as we have implemented our supply chain reinvention"}, {"path": "tedlium_8661.wav", "duration": 11.46, "text": "We continue to be active in pursuing new distributed gaming jurisdictions as well as potential legislative changes in existing ones to improve the operating environment for this business."}, {"path": "tedlium_8662.wav", "duration": 11.46, "text": "The Martha Stewart's storefront on Amazon.com continues to provide a terrific opportunity to showcase some of the brand's categories to Amazon customers."}, {"path": "tedlium_8663.wav", "duration": 11.46, "text": "The CTP team remains very excited about the entry into the truck body market in order to take advantage of future growth in the final mile and home delivery space. Truck body"}, {"path": "tedlium_8664.wav", "duration": 11.46, "text": "We will also continue with our very successful productivity and efficiency initiatives, which have enabled us to enhance our operations and increase the value that we provide to clients,"}, {"path": "tedlium_8665.wav", "duration": 11.46, "text": "and how, in turn, this has impacted our balance sheet, income statement, and assets under management to help you interpret our financial results as a consequence of the operating environment."}, {"path": "tedlium_8666.wav", "duration": 11.46, "text": "this may well be kind of a one step backwards so we can take 2 steps forward in getting the realization of some of the strategic benefits of the line-haul"}, {"path": "tedlium_8667.wav", "duration": 11.46, "text": "We will also discuss the results of our core businesses separately from the results of the South African projects. And with that, let's discuss our Q3 results."}, {"path": "tedlium_8668.wav", "duration": 11.46, "text": "increasing the free cash flow going forward by a material amount. We've kind of stayed away from giving free cash this year because we've got so many moving parts, and we're still not done"}, {"path": "tedlium_8669.wav", "duration": 11.46, "text": "It's important to note that we are committed to driving a more efficient business. For instance, we are focusing on direct operating savings by having multiple channels collect and sell devices."}, {"path": "tedlium_8670.wav", "duration": 11.46, "text": "We believe that what counts in the long term is the increase in per share value of our stock, not the size of our company or growth rate."}, {"path": "tedlium_8671.wav", "duration": 11.46, "text": "Remember that ASO contracts tend to be higher margin as transportation costs are paid directly by the client and do not essentially flow through our revenue line as is the case for our other contracts."}, {"path": "tedlium_8672.wav", "duration": 11.46, "text": "We have been working with our operators to test more aggressive rate strategy, but our strategy didn't work this quarter. We lost share and had to ultimately give up both rate and occupancy to catch up."}, {"path": "tedlium_8673.wav", "duration": 11.46, "text": "If I could turn to the quick-return projects which we mentioned previously, we've been evaluating multiple organic investment projects across our broad operating platform."}, {"path": "tedlium_8674.wav", "duration": 11.46, "text": "Obviously, utilization has to continue to stay on the same path. No reason to expect that, that won't. But those are the really the bigger drivers"}, {"path": "tedlium_8675.wav", "duration": 11.46, "text": "We have been experimenting with larger completions in some of the Codells. We've been really trying to strategically locate those, so we have a good control on the tests that we're doing."}, {"path": "tedlium_8676.wav", "duration": 11.46, "text": "fall off of that list for some reason, there are other opportunities behind it that we would use to backfill, but generally, the competitive dynamic is pretty similar to what it has been."}, {"path": "tedlium_8677.wav", "duration": 11.46, "text": "and just reiterate a couple of our key messages that we have been working extremely hard over the last 18 months to really make sure that we have the right"}, {"path": "tedlium_8678.wav", "duration": 11.46, "text": "Both Dawn and Kirk have extensive experience at consumer goods companies, and we look forward to the valuable insights and contributions they will bring to our board."}, {"path": "tedlium_8679.wav", "duration": 11.46, "text": "We believe our specialty healthcare products, including radiology benefits, cardiac and musculoskeletal management will expand through continued strong sales to new and existing customers."}, {"path": "tedlium_8680.wav", "duration": 11.46, "text": "We've also allocated a significant portion of our annual capital investment budget to additional productivity improvement initiatives that will permanently reduce our manufacturing cost."}, {"path": "tedlium_8681.wav", "duration": 11.46, "text": "with people's career and growth aspirations and to ensure we have the right skills to transform our clients' businesses in this age of disruption."}, {"path": "tedlium_8682.wav", "duration": 11.46, "text": "work, the technical work that we're doing with our customers right now, is really focused on helping them create higher value resins, so that they're making more money. And that's our basic business model."}, {"path": "tedlium_8683.wav", "duration": 11.46, "text": "Before we begin our remarks, I need to remind you that in this call, we will make forward-looking statements regarding our current beliefs, plans and expectations, which are not guarantees of future performance"}, {"path": "tedlium_8684.wav", "duration": 11.46, "text": "past the summer, it's hard to imagine that the current cost pressures could sustain a whole lot longer before manufacturers have to move much more significantly. If that's the case,"}, {"path": "tedlium_8685.wav", "duration": 11.46, "text": "What it does, I will describe on the next slide, but essentially, we are partially funding the development on a demonstrator and the cost of clinical studies."}, {"path": "tedlium_8686.wav", "duration": 11.46, "text": "So could you just explain how you feel -- you felt about the market across the second quarter and now, in a higher interest rate environment,"}, {"path": "tedlium_8687.wav", "duration": 11.46, "text": "total platform sales haven't been a growth driver. I'm trying to reconcile that with the fact that, obviously, vending was still a significant driver"}, {"path": "tedlium_8688.wav", "duration": 11.46, "text": "Spread tightened on these assets throughout the quarter. We have been a steady investor in this product sector for the past 7 years as this strategy has consistently provided excellent return opportunities."}, {"path": "tedlium_8689.wav", "duration": 11.46, "text": "You provided great commentary in terms of the progression of demand in the fourth quarter, but any thoughts in terms of demand in January? And then, if that's having an impact out west. I think there's been some weather out west?"}, {"path": "tedlium_8690.wav", "duration": 11.46, "text": "Second, as a result of the reorganization, a few significant customers moved between markets. Most significantly, the repair center customers are now managed and reported in the retail market"}, {"path": "tedlium_8691.wav", "duration": 11.46, "text": "the DOL rule, either as we understand it today or the discussions of what it might be, that put us at a competitive disadvantage, such that people would leave our company to go to another company."}, {"path": "tedlium_8692.wav", "duration": 11.46, "text": "clients and shareholders. I believe this is an environment where Julius Baer is once again perfectly positioned to take advantage of what ought to be challenging on one side,"}, {"path": "tedlium_8693.wav", "duration": 11.46, "text": "This industry incumbency derives significant revenue from the recycling and refining of PGMs. PGMs also happen to be one of the largest cost inputs for automotive catalysts."}, {"path": "tedlium_8694.wav", "duration": 11.46, "text": "even 1 lost time incident is too many and serves as a reminder that we must continue to improve our safety focus and culture to reach our goal of nobody, nobody getting hurt."}, {"path": "tedlium_8695.wav", "duration": 11.46, "text": "successfully. I think on this one that you're mentioning now, too, it's a prospect -- I don't want to mention the name, but it's a prospect that we've been developing with the client on an exclusive basis."}, {"path": "tedlium_8696.wav", "duration": 11.46, "text": "After our external assessment of our senior leaders in the first half of 2018, we quickly developed and implemented our internal talent review and succession planning programs."}, {"path": "tedlium_8697.wav", "duration": 11.46, "text": "These and other risks, uncertainties and factors, including those discussed under the heading Risk Factors in our annual report on Form 10-K and other reports that we file"}, {"path": "tedlium_8698.wav", "duration": 11.46, "text": "product that has more value with price with the ability to continue to add, as Burton said, selective sales teams into the verticals where"}, {"path": "tedlium_8699.wav", "duration": 11.46, "text": "And the other thing I would also point out would be that our unconsolidated Hitachi joint ventures in China also saw strong double-digit growth in the quarter."}, {"path": "tedlium_8700.wav", "duration": 11.46, "text": "the progress we are making with the many other drugs in our pipeline. We look forward to continuing to create great value for patients and shareholders by advancing our broad and innovative pipeline."}, {"path": "tedlium_8701.wav", "duration": 11.4300625, "text": "We have updated our outlook on net CapEx for the project and overall, which is shown on the chart and is included with some additional detail and a review of operations in the financial report."}, {"path": "tedlium_8702.wav", "duration": 11.4300625, "text": "Markets performed as expected and we achieved a high level of contribution from all -- from our new product introduction and channel led initiatives."}, {"path": "tedlium_8703.wav", "duration": 11.43, "text": "we remain on track for what we believe will be another record year for ISG. With that, let me turn the call over to David Berger, who will summarize our financial results."}, {"path": "tedlium_8704.wav", "duration": 11.43, "text": "Now this is something we also have to look at as we look at the overall situation for basic chemicals within the region because it also has an impact"}, {"path": "tedlium_8705.wav", "duration": 11.43, "text": "Okay. And I guess along a similar line, as you think about optimizing your supply chain and increasing ROIC, how do you balance those objectives against the potential for"}, {"path": "tedlium_8706.wav", "duration": 11.43, "text": "is putting challenge on the performance of Seara. We believe that the worst just got behind us in the end of this third quarter,"}, {"path": "tedlium_8707.wav", "duration": 11.43, "text": "dividend was to do exactly that, to put us all in a stronger position in the marketplace to take advantage of opportunities. So I think it will continue to consolidate the"}, {"path": "tedlium_8708.wav", "duration": 11.43, "text": "for Australasia, flattish for U.S. And as we mentioned with kind of a loss of leverage for Europe, that's where we really saw the pressure in our Automotive margins."}, {"path": "tedlium_8709.wav", "duration": 11.43, "text": "Sometimes, that development process is not very transparent, and we've obviously got to make sure that we and our partners are navigating that in a way which meets our standards. And so sometimes, that takes"}, {"path": "tedlium_8710.wav", "duration": 11.43, "text": "the merger took place. Let me give you just a few examples of the progress. The first 3 levels of the organization have been integrated into one management team that is fully focused"}, {"path": "tedlium_8711.wav", "duration": 11.43, "text": "Our teams have done an excellent job integrating the basics of payroll, benefits, accounts payable, e-mail, security and countless other areas typically taken for granted."}, {"path": "tedlium_8712.wav", "duration": 11.43, "text": "Turkey and the Commonwealth of Independent States, including Russia, were returned to us by Sanofi. To avoid adverse impacts to the regulatory approval applications in process,"}, {"path": "tedlium_8713.wav", "duration": 11.43, "text": "And then I think the last thing I would -- or 2 other things. We're continuing to still recruit very well on the mortgage side. So we're continuing to add originators. And then the last piece,"}, {"path": "tedlium_8714.wav", "duration": 11.43, "text": "Okay. That's helpful. And then can you provide some added detail on what specifically drove the volume shortfall for the Protective segment? And then what are your expectations for the segment throughout the remainder of the year?"}, {"path": "tedlium_8715.wav", "duration": 11.43, "text": "We see this challenge as an opportunity. We've been focused on gaining new thermoforming and flexible packaging capability to serve the growing consumer demand for products on the perimeter of the store."}, {"path": "tedlium_8716.wav", "duration": 11.43, "text": "As you heard Dave say earlier, based on what we now know about the upcoming competitive races, some of our largest markets and strongest stations will see significant funding for the general election in November."}, {"path": "tedlium_8717.wav", "duration": 11.43, "text": "And I would like to ask you if you could maybe quantify the overall input cost headwinds for maybe for the group and also for the segments. I mean,"}, {"path": "tedlium_8718.wav", "duration": 11.43, "text": "which we believe is a healthier option than what's currently in the market. This innovative coffee drink contains 15 grams of protein, only 2 grams of sugar and 80 milligrams of caffeine."}, {"path": "tedlium_8719.wav", "duration": 11.43, "text": "to reposition our shopping centers, which is really around their positioning within the communities and their retail mix, the customer propositions we call it, and then to refocus on management team around this initiative."}, {"path": "tedlium_8720.wav", "duration": 11.43, "text": "Our pipeline of acquisition candidates remain strong, and we have adequate liquidity to act on any opportunities and investments that meet our stated strategic criteria."}, {"path": "tedlium_8721.wav", "duration": 11.43, "text": "So I -- we don't -- I -- we may be ahead of the cycle in terms of the introduction of Tier 3 and electronic transmissions already. So I don't expect"}, {"path": "tedlium_8722.wav", "duration": 11.43, "text": "When we look at our overall utilization at the end of the first quarter and going into the second quarter, we're going to be at about 60% utilization and really pleased to see that number for a change."}, {"path": "tedlium_8723.wav", "duration": 11.43, "text": "We did have a number of spreads that work for customers who source their own sand. We have also spreads that work for customers"}, {"path": "tedlium_8724.wav", "duration": 11.43, "text": "We expect key long-term trends to continue to be supportive with time of use rates and demand charges becoming more widespread across the utility landscape"}, {"path": "tedlium_8725.wav", "duration": 11.43, "text": "that see more value in them than us and they're not critical to our mission, we would contemplate divestiture, assuming that we could take those proceeds and apply them to the areas that I talked about in the beginning here."}, {"path": "tedlium_8726.wav", "duration": 11.43, "text": "And they don't result in increased top line, but they prevent major accidents from happening. That's the whole hope. We keep making those investments because that's the nature of the business."}, {"path": "tedlium_8727.wav", "duration": 11.43, "text": "Our stores are tailored to provide our customers with a convenient shopping experience and our crew members are trained to be friendly, highly accessible and well informed about the nutritional value"}, {"path": "tedlium_8728.wav", "duration": 11.43, "text": "We've often heard about the fact that Europe is not so strong and that the emerging markets bring all the new profitability. If you look at our experience, this is not true."}, {"path": "tedlium_8729.wav", "duration": 11.43, "text": "which is a training center in which we hire apprentices and then train them and train some of them up to the meister level. We do that in collaboration with"}, {"path": "tedlium_8730.wav", "duration": 11.43, "text": "the Platforms and Analytics groups maintained positive margins due to the recurring revenue elements of those businesses. The sequential increase in corporate costs reflects the impact of the third quarter reversal"}, {"path": "tedlium_8731.wav", "duration": 11.43, "text": "just what we know today, that it would be at least as high as what we have in '16, because the continued investment in innovation and the positive improvements in quality that I think we'll continue to see some benefits of next year."}, {"path": "tedlium_8732.wav", "duration": 11.43, "text": "and nonflagship smartphones. We are delivering greater profitability and cash flow growth, which enables us to remain a leader in the return of capital to shareholders."}, {"path": "tedlium_8733.wav", "duration": 11.43, "text": "of raw material costs going into the quarter, which needless to say, through our Price Right Strategy, we were able to preserve and protect and, therefore, generate margin expansion in the third quarter last year. We knew that was going to be a tough comp, and we talked about it"}, {"path": "tedlium_8734.wav", "duration": 11.43, "text": "Although we have seen a few changes resulting from large accounts adjusting their current needs, these customers continue to thrive, and we continue to have relevant relationships with them."}, {"path": "tedlium_8735.wav", "duration": 11.43, "text": "Consistent with the third pillar of our strategy around capital allocation, we will continue to be disciplined capital allocators to drive long-term value for shareholders."}, {"path": "tedlium_8736.wav", "duration": 11.43, "text": "to give us the infrastructure in Brazil, in China, in India, in South East Asia that will then allow us to put all of our categories through that pipe. So we have great"}, {"path": "tedlium_8737.wav", "duration": 11.43, "text": "our white space chocolate expansion and gains in displays and shelf space as we capitalize on our competitor's transition out of its DSD network."}, {"path": "tedlium_8738.wav", "duration": 11.43, "text": "safety record are key attributes that we believe will enable us to win new business with these utility companies and possibly with others."}, {"path": "tedlium_8739.wav", "duration": 11.43, "text": "Over his decades of service to Reading, Bill's thoughtful advice, counsel and insights as a Director contributed significantly to making our company what it is today."}, {"path": "tedlium_8740.wav", "duration": 11.43, "text": "needed to move this program from where it is today as a positive Phase II into pivotal development. And I alluded to some of that in the prepared remarks relating to"}, {"path": "tedlium_8741.wav", "duration": 11.43, "text": "We believe that our current cash, cash equivalents and short-term investments will be sufficient to fund current operations into 2019. With that, I will now turn the call back over to Troy."}, {"path": "tedlium_8742.wav", "duration": 11.43, "text": "Our success has always been driven, of course, by our people and the quality of our back office of support services we provide to clients. We've been fortunate to see"}, {"path": "tedlium_8743.wav", "duration": 11.43, "text": "We have already made a great start that looks very promising. This has the potential to help us take our margin to levels never seen before in this industry."}, {"path": "tedlium_8744.wav", "duration": 11.43, "text": "to make strategic buy-ins for both data center solutions and client devices. This helped us mitigate the memory price increase and supply issues felt across the industry."}, {"path": "tedlium_8745.wav", "duration": 11.43, "text": "enables our customers to integrate more sensing, more analysis and more control into these industrial Internet of Things systems, without having to build a system from scratch."}, {"path": "tedlium_8746.wav", "duration": 11.43, "text": "kind of like a same-store sales number or something? Or alternatively, what TPV will look like when these users reach the level of activity that you see among your average user?"}, {"path": "tedlium_8747.wav", "duration": 11.43, "text": "We acknowledge that we still have some work to do with the ex-Alesco businesses. We believe that in general, we are working on all the right things, and we are confident about the upside potential for these businesses in our hands."}, {"path": "tedlium_8748.wav", "duration": 11.43, "text": "But we are bullish on our ability to sell integrated bundles with DIRECTV. We are also excited about the business opportunities associated with the potential Time Warner acquisition,"}, {"path": "tedlium_8749.wav", "duration": 11.43, "text": "In conclusion, we are optimistic about the momentum we are seeing in our business and believe the key economic and operating metrics we are experiencing indicate that a Las Vegas market recovery is underway."}, {"path": "tedlium_8750.wav", "duration": 11.43, "text": "which commented on the absolute dollar amount of redemptions we had in the first half of the year. The way we think about redemptions, we certainly track them as -- we think about redemptions as a percentage of capital and not obviously the absolute dollar amount. And"}, {"path": "tedlium_8751.wav", "duration": 11.43, "text": "Herbalife compensates its distributors based on their wholesale purchases of products from the company and the purchases of product of their down line, people that they've recruited and that their recruits have recruited."}, {"path": "tedlium_8752.wav", "duration": 11.43, "text": "has been strong and continues to be strong at the moment. Now like you said, I mean, there's always the chance of some volatility. But"}, {"path": "tedlium_8753.wav", "duration": 11.43, "text": "cleaner energy and emerging market growth. The Jazan project in Saudi Arabia is a great example of how big these projects can be."}, {"path": "tedlium_8754.wav", "duration": 11.43, "text": "and will only have value if the company reaches these important company milestones that have been designed specifically to align with the interest of our shareholders,"}, {"path": "tedlium_8755.wav", "duration": 11.43, "text": "I shared with you at the end of fiscal '17 the progress we have made to become one of the most trusted and respected consumer product companies in the world."}, {"path": "tedlium_8756.wav", "duration": 11.43, "text": "As we discussed at length last quarter, we are operating in a challenging environment. And I'm encouraged that DST continues to deliver strong and stable results in the face of these dynamics."}, {"path": "tedlium_8757.wav", "duration": 11.43, "text": "But the team is hard at work and the level of activity is pretty good. So we feel good. It's a different market than it used to be. I think that it's important to -- I think that"}, {"path": "tedlium_8758.wav", "duration": 11.43, "text": "cost-cutting, as I said. This not about slashing and burning. This is about building an incredible relationship with customers. It's about having the best products in our market. And it's about just being smarter and more efficient"}, {"path": "tedlium_8759.wav", "duration": 11.43, "text": "Our new home sales are generally all-cash transactions to customers who are using our homes as second homes and want to escape the harsh northern winters. We see high demand for our homes and communities."}, {"path": "tedlium_8760.wav", "duration": 11.43, "text": "I also want to remind everyone that any forward-looking statements made during this call are subject to risks and uncertainties, the most important of which are described in our press release and SEC filings."}, {"path": "tedlium_8761.wav", "duration": 11.43, "text": "The next phase will consist of leveraging customer data and insights to deliver tailored messages and service recommendations to our customers based on their specific vehicle needs."}, {"path": "tedlium_8762.wav", "duration": 11.43, "text": "chart where we show you the first area on the first line. You know already everything. So I don't repeat it. On the second one, some news that came out today."}, {"path": "tedlium_8763.wav", "duration": 11.43, "text": "Segment earnings were favorably impacted by the higher sales volume in the quarter, which was partially offset by higher manufacturing costs related to increasing production levels, learning curves"}, {"path": "tedlium_8764.wav", "duration": 11.43, "text": "was offset by higher interest expense related to acquisition financing and increased depreciation and amortization resulting from acquisitions and capital investments."}, {"path": "tedlium_8765.wav", "duration": 11.43, "text": "For some time now, we've been evaluating various opportunities to acquire additional cell and gene therapy manufacturing tools and services, companies or technologies to accelerate growth."}, {"path": "tedlium_8766.wav", "duration": 11.43, "text": "And while you outperformed most of these companies, Jeff, my question is how does the company think about the need to stretch the objective in this particular area as some of the peers have done?"}, {"path": "tedlium_8767.wav", "duration": 11.43, "text": "Now also elsewhere in Mozambique, we are evaluating 3 high potential blocks for which we were awarded the right to negotiate exploration and production rights."}, {"path": "tedlium_8768.wav", "duration": 11.43, "text": "it is not in any way impacting our operating flexibility. There's not a single decision we have taken which has been impacted by this. We are operating and focused on what I call back to the basics."}, {"path": "tedlium_8769.wav", "duration": 11.43, "text": "technical expertise and a track record of drilling horizontal wells to the new company. KLR Energy was a stack as a special purpose acquisition company"}, {"path": "tedlium_8770.wav", "duration": 11.43, "text": "significantly stronger than our prior guidance, supported largely by favorable weather conditions that provided our customers the ability to pick up their equipment prior to year-end."}, {"path": "tedlium_8771.wav", "duration": 11.43, "text": "Quite frankly, at this juncture, we would much rather have demand outweigh supply and potentially miss a few sales than to build inventory too quickly and risk excessive markdown events."}, {"path": "tedlium_8772.wav", "duration": 11.43, "text": "outweigh the supply because that hasn't happened here in a while. Fall, when it delivers, will sit with some of the summer deliveries that will still be on the floor and start to be marked down, which is"}, {"path": "tedlium_8773.wav", "duration": 11.43, "text": "We look at all of our existing villages, and it's part of our strategy to reshape the portfolio. Where we see an opportunity to grow or redevelop villages in strong metropolitan locations,"}, {"path": "tedlium_8774.wav", "duration": 11.43, "text": "In terms of acquisitions, Lagan's performance has been strong since its acquisition last April and benefited from the more favorable market conditions, particularly in the Republic of Ireland."}, {"path": "tedlium_8775.wav", "duration": 11.43, "text": "There are a lot of reasons. And you see a lot of speculation in the market. We will not participate in that speculation, but let me share our view on the market dynamics in airfreight for a moment."}, {"path": "tedlium_8776.wav", "duration": 11.43, "text": "as we bring on new clients and we start to engage in new services, the trend tends to be that folks that are newer to outsourcing and"}, {"path": "tedlium_8777.wav", "duration": 11.43, "text": "so therefore, I mean as I work towards having profit, I do not focus on the top of the pyramid unless I can have a differential and charge a premium for it."}, {"path": "tedlium_8778.wav", "duration": 11.43, "text": "Strong operating improvement in the first quarter reflects organic growth in each business, including Reinsurance, and improved return on their investments in data and analytics across the portfolio."}, {"path": "tedlium_8779.wav", "duration": 11.43, "text": "and we own the IP. And so we will continue to work with Boeing and Airbus and others in terms of helping them in their endeavors to participate more fully"}, {"path": "tedlium_8780.wav", "duration": 11.43, "text": "and significant return of capital to our shareholders through share repurchases and dividends. With that as context, let's review the highlights of the second quarter."}, {"path": "tedlium_8781.wav", "duration": 11.43, "text": "As you remember, we had a lull in -- or a dip in state funding, a little better than a year ago with some budget issues that came back and put some funds back in."}, {"path": "tedlium_8782.wav", "duration": 11.43, "text": "We intend to keep developing new convergent products and services, to work on a new business plan and new business developments, and to generate the ability to provide media services"}, {"path": "tedlium_8783.wav", "duration": 11.43, "text": "Let me summarize the plot again. We acquire traditional broadcasting portals that are monetized through best-case slowly growing ad revenues as the only revenue stream."}, {"path": "tedlium_8784.wav", "duration": 11.43, "text": "But given how the business is doing, given the organic growth opportunities that I think that are out there for us, for me, there's no strategic imperative for us to go out and do that."}, {"path": "tedlium_8785.wav", "duration": 11.43, "text": "lower cost options and what the patient will pay out of pocket. PreCheck MyScript is one element in our synchronized approach to pharmacy care"}, {"path": "tedlium_8786.wav", "duration": 11.43, "text": "There is a corollary product that we call Upgraded Boarding. For any seats that have not been sold yet as Business Select,"}, {"path": "tedlium_8787.wav", "duration": 11.43, "text": "We're not intending to grow aggressively at all next year, although the percentage increase will be higher than 2017, but we want to manage it in such a way that we drive"}, {"path": "tedlium_8788.wav", "duration": 11.43, "text": "as you get sort of less visibility out there? I guess what I'm trying to ask, is there any conservatism embedded in here? Or is this sort of the demand visibility as you have it?"}, {"path": "tedlium_8789.wav", "duration": 11.43, "text": "We'll look at markets where we think there is loan demand we may be underpenetrated. We may open a few branches here and there. But for the most part, I think you can probably expect the branch count to be pretty flattish over time."}, {"path": "tedlium_8790.wav", "duration": 11.43, "text": "And if there are good opportunities out there in the market to go ahead with new transactions, we will certainly review them and recommend as management to our board"}, {"path": "tedlium_8791.wav", "duration": 11.43, "text": "dominated business? Can you take a lot of those best practices in terms of the speed of design and the speed in the supply chain and translate that into a wholesale business?"}, {"path": "tedlium_8792.wav", "duration": 11.43, "text": "so many folks within Lending Club kind of ready to have conversations today and really try to walk folks through and help them digest the information as well."}, {"path": "tedlium_8793.wav", "duration": 11.43, "text": "All our retail operations are being driven under Allan's leadership, which only strengthens our ability to be more focused and to uncover growth opportunities to expand our customer share of wallet"}, {"path": "tedlium_8794.wav", "duration": 11.43, "text": "Despite a slowing global economic environment and these dramatic fluctuations in oil prices witnessed in our fourth quarter, we continue to execute on our specific growth initiatives to drive our results."}, {"path": "tedlium_8795.wav", "duration": 11.43, "text": "The genetics of neurological disorders has exploded, yielding critical insight to the new therapeutics, and we can now measure and monitor disease states of the brain with unprecedented precision."}, {"path": "tedlium_8796.wav", "duration": 11.43, "text": "So we feel like we're set up extremely well for the rest of '18 and beyond. And -- but with that being said, we know there's room for growth and to get better, and we're investing in people, and we're investing in systems"}, {"path": "tedlium_8797.wav", "duration": 11.43, "text": "preparing our summary and educating our team on the impact that this will have, but not so much on our company, but our clients,"}, {"path": "tedlium_8798.wav", "duration": 11.43, "text": "So all of those will contribute towards the design wins for the second half. Beyond that, we are designing new products, which will not be necessarily revenue in the second half, but it will hit"}, {"path": "tedlium_8799.wav", "duration": 11.4000625, "text": "internally. I think, they've done everything we've asked them to do and they've embraced the culture change and have been very supportive of the initiatives that we have driven over the past year."}, {"path": "tedlium_8800.wav", "duration": 11.4, "text": "the last several quarters, it's been tracking well above revenue growth. And you mentioned you like the -- I think you said the visibility that the backlog provides. Can you talk about the differences between"}, {"path": "tedlium_8801.wav", "duration": 11.4, "text": "Such statements are subject to a variety of risks, uncertainties and other factors that could cause actual results to differ materially from those indicated or implied by such statements."}, {"path": "tedlium_8802.wav", "duration": 11.4, "text": "the amount of maintenance capital that we need in order to hold rate flat. So we think we've done a good job in the first part of this year, building our rate back up to say that 46,000 to 47,000 barrel a day range,"}, {"path": "tedlium_8803.wav", "duration": 11.4, "text": "and in fact that actually helps us to build inventory. But we need to understand and know the impact of that sooner rather than later, which is why we're engaging in all of this activity. But ultimately, you're right. It gets down to"}, {"path": "tedlium_8804.wav", "duration": 11.4, "text": "that reserve releases will decline gently over time as the historic high reserves flow through. Now it's notoriously hard to predict exactly how fast they will decline"}, {"path": "tedlium_8805.wav", "duration": 11.4, "text": "I would say that the investment pipeline, from what I'm seeing, remains very robust. The key is, making sure that we're picking our spots and finding those investments where we bring value to the table."}, {"path": "tedlium_8806.wav", "duration": 11.4, "text": "Everyone on the planet today needs to be connected, and iPass offers the only global service that is affordable, easy to use and secure."}, {"path": "tedlium_8807.wav", "duration": 11.4, "text": "our activities will first focus on safety. Even though the product has been approved, we will not start the promotion immediately, but rather,"}, {"path": "tedlium_8808.wav", "duration": 11.4, "text": "And when you do the depreciation on that, I think that you are looking at a useful life of 6 years as the bench -- rule of thumb. But for your useful life,"}, {"path": "tedlium_8809.wav", "duration": 11.4, "text": "The new issued calendar was active with subscription levels that were often several times larger than offered amounts. And secondary markets did not provide enough supply to satisfy the market's appetite for bonds."}, {"path": "tedlium_8810.wav", "duration": 11.4, "text": "more rationalized shelving that is less cluttered and more consumer friendly, and we're seeing that with several of the customers. So I would look at that"}, {"path": "tedlium_8811.wav", "duration": 11.4, "text": "With some IT enhancements, we are able to customize our student orientation and outreach support based on the degree level and prior college experience, making it more effective and specific."}, {"path": "tedlium_8812.wav", "duration": 11.4, "text": "We're very fortunate that our portfolio was not significantly impacted by the recent hurricanes. We monitored the storms very closely and had teams and supplies in place to quickly respond after the storms passed."}, {"path": "tedlium_8813.wav", "duration": 11.4, "text": "You have my commitment and the commitment of the entire team here at Fred's to remain steady in our promise to apply resources and discipline to return to profitable growth."}, {"path": "tedlium_8814.wav", "duration": 11.4, "text": "I think in your last update, you talked about the ability to leverage it, lower levels than you have historically, I don't know if you could add any more color to that on this call, but that would be helpful?"}, {"path": "tedlium_8815.wav", "duration": 11.4, "text": "So just because the market's coming down, the good thing about that is the purchase market's going up, and if we get our part of that purchase market, then we should be okay."}, {"path": "tedlium_8816.wav", "duration": 11.4, "text": "said -- made an observation. He'd been through 7 of these cycles, and he said in every other cycle, the majors and the big -- and the really big independents just bought up all the little guys."}, {"path": "tedlium_8817.wav", "duration": 11.4, "text": "They probably all look at themselves slightly differently. None of them see every other platform out there. That's what an independent third party does. We look across all the platforms, we look at them all on an apples-to-apples basis,"}, {"path": "tedlium_8818.wav", "duration": 11.4, "text": "Despite the disruption of reorganizing and integrating, our operations team delivered very high levels of service and client retention has been outstanding so far."}, {"path": "tedlium_8819.wav", "duration": 11.4, "text": "Well, again, what we said was that Texas is not going to -- it shouldn't be expected to improve beyond what we did in the second quarter as you"}, {"path": "tedlium_8820.wav", "duration": 11.4, "text": "And while these trends have supported our growth up to this point, I believe that these trends will only accelerate going forward, providing further momentum to our already-meaningful growth trajectory."}, {"path": "tedlium_8821.wav", "duration": 11.4, "text": "Great. Thanks, Carl. Thanks for joining us today, everybody. As Carl mentioned, we have some really exciting news to share regarding our change in our tax structure, as we've elected to change to corporate tax status."}, {"path": "tedlium_8822.wav", "duration": 11.4, "text": "during the down quarters, the period of time where the customers would actually use that inventory in lieu of placing new orders with us,"}, {"path": "tedlium_8823.wav", "duration": 11.4, "text": "We believe that our performance this quarter is a direct result of our strategic emphasis on quality, design and innovation, while providing for an excellent customer experience."}, {"path": "tedlium_8824.wav", "duration": 11.4, "text": "We have made progress over the last few quarters, and I'm pleased to see that continue into the first quarter of 2016. Executing these initiatives"}, {"path": "tedlium_8825.wav", "duration": 11.4, "text": "the Type 1 trial and obviously reach congruence with the agency and initiated the study and dosed the first patient. So as a result of that, we're working through the"}, {"path": "tedlium_8826.wav", "duration": 11.4, "text": "It's really our intention to have the Mexican and U.S. operations provide a primary and the secondary source for all of our parts and that will provide us ultimate flexibility and scalability to each plant."}, {"path": "tedlium_8827.wav", "duration": 11.4, "text": "There are more and more negative factors and less -- fewer and fewer positive factors. There is no reason why raw material prices do not go up."}, {"path": "tedlium_8828.wav", "duration": 11.4, "text": "Yes. Even in this current quarter as well as in next year. Endeavor is to improve margins, but at present, I think this looks to be a decent range to work with."}, {"path": "tedlium_8829.wav", "duration": 11.4, "text": "We continue to incorporate more automation on our networks and advance numerous low carbon network projects to enable increased adoption of distributed energy resources."}, {"path": "tedlium_8830.wav", "duration": 11.4, "text": "and it will be hotly followed by work on an extended large store in Heathrow Terminal 4. We believe this new format will continue to present new opportunities"}, {"path": "tedlium_8831.wav", "duration": 11.4, "text": "In Asset Management, we made reasonably steady progress, completing a business restructuring that saw fund derivatives and other related businesses transferred back to Global Markets."}, {"path": "tedlium_8832.wav", "duration": 11.4, "text": "And then I think you had also talked about employee turnover coming down recently. Any metrics around that? And what do you think is driving that? Have you made any changes on the training front? Or"}, {"path": "tedlium_8833.wav", "duration": 11.4, "text": "This is why the earnings should continue to be generated at a satisfactory level, while the output volume is expected to exhibit strong growth."}, {"path": "tedlium_8834.wav", "duration": 11.4, "text": "They have been tremendous resources to facilitate our view into what is happening in terms of regulatory and legislative issues in the Healthcare space."}, {"path": "tedlium_8835.wav", "duration": 11.4, "text": "Okay. And then final quick question is on your core heat-not-burn product that you, I believe, tested in Japan. Do you have any update that you can provide us this morning"}, {"path": "tedlium_8836.wav", "duration": 11.4, "text": "The Pitney Bowes of tomorrow will continue to evolve. I anticipate that our conversations a year from now will be different, just as they are different today from 5 years ago."}, {"path": "tedlium_8837.wav", "duration": 11.4, "text": "then you would also have a counterbalancing significant positive for us because that's a very profitable business historically. So I think for now, looking at it as indicative,"}, {"path": "tedlium_8838.wav", "duration": 11.4, "text": "The computation is limited at best. So we are selectively choosing those projects that give us the best opportunity to succeed."}, {"path": "tedlium_8839.wav", "duration": 11.4, "text": "continue to focus on credit in 2017 as we believe these types of assets will deliver more stable returns over current economic industry environments."}, {"path": "tedlium_8840.wav", "duration": 11.4, "text": "And it was not capital. But during the last year, we had regain some of that share. Of course, we are focused on gaining share too on the retail business."}, {"path": "tedlium_8841.wav", "duration": 11.4, "text": "Got it. That's helpful. And then also could you guys just comment I mean not to lose sight on the stuff you're doing on the digital front, I believe you've"}, {"path": "tedlium_8842.wav", "duration": 11.4, "text": "We continue to see the students purchasing their textbooks later in the semester, thus extending the rush sales period past the end of the quarter and into February."}, {"path": "tedlium_8843.wav", "duration": 11.4, "text": "Our interactions with existing customers and prospects increased dramatically again this year. We conducted deep dive sessions with C-level executives to identify ways we could help them better secure their infrastructure."}, {"path": "tedlium_8844.wav", "duration": 11.4, "text": "We remain focused on our balance sheet with greatly reduced debt leverage as our goal. We're looking at the possibility of monetizing certain assets"}, {"path": "tedlium_8845.wav", "duration": 11.4, "text": "to take advantage of these favorable market dynamics. With that, I will now turn this over to David to provide additional inputs on our financial results. David?"}, {"path": "tedlium_8846.wav", "duration": 11.4, "text": "are in that market right now and just what you and Mike and the team are seeing across on a return basis? That's just the first part of the question. The second part of the question would be,"}, {"path": "tedlium_8847.wav", "duration": 11.4, "text": "while successfully maintaining the majority of the revenue from that segment by focusing on the top tier ESCOs. Nonetheless, this approach resulted in fewer transactions in the first quarter"}, {"path": "tedlium_8848.wav", "duration": 11.4, "text": "We're also seeing a general increase in the size of the opportunities in the pipeline. Of our first 25 suppliers, we have several that measure their monthly invoice volumes in the hundreds."}, {"path": "tedlium_8849.wav", "duration": 11.4, "text": "But also remember, we don't have a single customer within IDEX that represents more than 2% of our sales, and so there has been some -- we've seen some commentary lately suggesting that it's substantially higher than that."}, {"path": "tedlium_8850.wav", "duration": 11.4, "text": "some of which are beyond the company's control, may be identified by reference to a future period or periods, or by the use of forward-looking terminology such as may,"}, {"path": "tedlium_8851.wav", "duration": 11.4, "text": "Our success in each market will be driven by further elevation and modernization of the third place experience we deliver to our customers and continued expansion of our digital advantage."}, {"path": "tedlium_8852.wav", "duration": 11.4, "text": "As a result, our average working capital as a percent of net sales value has improved consistently, reflecting the strong capabilities that we've put in place across the business."}, {"path": "tedlium_8853.wav", "duration": 11.4, "text": "Management believes the presentation of these non-GAAP financial measures are useful to investors in understanding and assessing the company's ongoing core operation and prospects for the future."}, {"path": "tedlium_8854.wav", "duration": 11.4, "text": "for 2016. On January 31, Dan was hit by a vehicle while he was cycling. And following the accident, he was hospitalized for an extended period of time."}, {"path": "tedlium_8855.wav", "duration": 11.4, "text": "we have a little bit more lumpiness to our business because we don't have enough customer diversity yet to kind of weather when one customers starting to ramp and then they pause for a little bit before the other one begins their ramp. So I think there's"}, {"path": "tedlium_8856.wav", "duration": 11.4, "text": "The second call is intended to give the company's English-speaking investors the same opportunity to both hear directly from management and ask questions pertaining to results and the operating environment."}, {"path": "tedlium_8857.wav", "duration": 11.4, "text": "of the customers that we want to market to, whether it's checks or small loans, we expect to get a better credit outcome going forward than -- from this point and going forward than we have gotten in the past."}, {"path": "tedlium_8858.wav", "duration": 11.4, "text": "with more resources that can help them deal with change, particularly when those resources include quality resources that we bring to the table."}, {"path": "tedlium_8859.wav", "duration": 11.4, "text": "some large projects that we expected from consumer electronics and logistics customers were pushed out because of changes in their product road maps and demands on their engineering resources."}, {"path": "tedlium_8860.wav", "duration": 11.4, "text": "our goal of this test is to optimize advertising spend while maintaining current demand levels and utilizing the savings to accelerate growth as well as improve overall profitability."}, {"path": "tedlium_8861.wav", "duration": 11.4, "text": "So the problem child, as you go, does it keep going or does it stop? Does it do a flip and come back down?"}, {"path": "tedlium_8862.wav", "duration": 11.4, "text": "The dislocation in the energy market and uncertainty in a number of industries has the potential to impact this piece of our business. Our full year projections have taken that risk into account."}, {"path": "tedlium_8863.wav", "duration": 11.4, "text": "We refer to this upgrade initiative as Project Concrete and we spent the first part of this year conducting a detailed RFP, functional due diligence and ultimately a selection process for our future platform."}, {"path": "tedlium_8864.wav", "duration": 11.4, "text": "We believe that the cut is a -- gives us a distribution that is sustainable for the foreseeable future. It's difficult to predict"}, {"path": "tedlium_8865.wav", "duration": 11.4, "text": "our team has been working hard to respond to the outstanding inspectional observations while also making improvements in our manufacturing process and our quality oversight. It"}, {"path": "tedlium_8866.wav", "duration": 11.4, "text": "Europe continued to be a strong contributor with fourth quarter sales growing 7%, highlighted by broad-based growth across the region from our pharmaceutical and medical research customers."}, {"path": "tedlium_8867.wav", "duration": 11.4, "text": "While we already have a strong balance sheet, full access to our global cash flow gives us the opportunity to optimize our capital structure for maximum flexibility and opportunistic investments."}, {"path": "tedlium_8868.wav", "duration": 11.4, "text": "I'm very encouraged by both the acceptance and the reports back and not just from the plastic surgeons themselves, but also directly from the patients."}, {"path": "tedlium_8869.wav", "duration": 11.4, "text": "One of my indicators of the strength of this relationship is demonstrated by the high percentage of customers and sales reps greeting one another with a hug,"}, {"path": "tedlium_8870.wav", "duration": 11.4, "text": "to Tribune's closing share price on April 22, and it provides certain value by eliminating the risks associated with Tribune continuing to operate"}, {"path": "tedlium_8871.wav", "duration": 11.4, "text": "in those developed markets. We don't see any reason for that to change. I think the commodity deflation impact will be an area that we have to watch closely. It impacts certain types of products,"}, {"path": "tedlium_8872.wav", "duration": 11.4, "text": "We've made good hires in building our internal leasing capability as well, and have increased the velocity of leasing since we started migrating the leasing function in-house in the first quarter."}, {"path": "tedlium_8873.wav", "duration": 11.4, "text": "Also, please note that we will discuss certain non-GAAP financial measures in this call. Reconciliations on a GAAP basis for these measures are included in today's press release"}, {"path": "tedlium_8874.wav", "duration": 11.4, "text": "We continue to work with them very, very aggressively. We continue to provide information and in all honesty one of the great things that Fran is going to help us with is with"}, {"path": "tedlium_8875.wav", "duration": 11.4, "text": "The highway ban impact has been reducing sequentially in the first half as outlets reopen or relocate, and business has normalized at the end of the first half."}, {"path": "tedlium_8876.wav", "duration": 11.4, "text": "The decline in cash was primarily attributable to recent operating losses and a planned build in inventory during the third quarter, partially offset by increases in our payable accounts."}, {"path": "tedlium_8877.wav", "duration": 11.4, "text": "This is why we will move forward with shaping new business models by leveraging our ingenuity, with pursuing the creation of business value that contributes to society"}, {"path": "tedlium_8878.wav", "duration": 11.4, "text": "This said, with the many sale transactions we anticipate across the next 6 to 12 months, we also expect to distribute special dividends and use additional proceeds to reduce leverage."}, {"path": "tedlium_8879.wav", "duration": 11.4, "text": "In addition, a reconciliation of GAAP to non-GAAP results is contained in today's press release and in the supplemental information attached to today's presentation."}, {"path": "tedlium_8880.wav", "duration": 11.4, "text": "Now the volume is not a big market, obviously, as the residential fabric. But it's a plenty of growth opportunity for us in that marketplace"}, {"path": "tedlium_8881.wav", "duration": 11.4, "text": "This innovative work in immuno-oncology by our scientists has been recognized by our peers at the Research and Development Council of New Jersey,"}, {"path": "tedlium_8882.wav", "duration": 11.4, "text": "It is normal for our business to use cash during the seasonally slow first quarter in order to prepare inventories for the start of major construction activity in the spring and summer."}, {"path": "tedlium_8883.wav", "duration": 11.4, "text": "We are proud to report that our strong commitment to support our teammates' professional development and the cultural changes we have made across the organization have had a tremendous impact on our ability to retain talent,"}, {"path": "tedlium_8884.wav", "duration": 11.4, "text": "I will talk in a minute about our not-for-profit strategy, which I want to make clear has nothing to do with current regulations imposed by the Department of Education on for-profit institutions."}, {"path": "tedlium_8885.wav", "duration": 11.4, "text": "in the near term as we go forward, as we continue to evaluate other growth opportunities, whether there are organic growth opportunities like our entry into the truck body markets, which we believe will"}, {"path": "tedlium_8886.wav", "duration": 11.4, "text": "from the investment community to buy those type of assets. So they move the cap rate out. They've also been a bit more forensic on the rents and probably in some cases taken a more conservative view on the future market rents."}, {"path": "tedlium_8887.wav", "duration": 11.4, "text": "Fiscal year '18 first half results were characterized by strong positive growth on both sales and the profits. The main content is as shown here."}, {"path": "tedlium_8888.wav", "duration": 11.4, "text": "Now that we've had a chance to go deeper and get more granular in areas where we just couldn't get full transparency preclose, we're quite pleased. Dave will talk more about this during his comments."}, {"path": "tedlium_8889.wav", "duration": 11.4, "text": "but we'll be very disciplined and we'll only select projects which align to our strategy, have a lose fit to our capabilities and which deliver superior returns."}, {"path": "tedlium_8890.wav", "duration": 11.4, "text": "We don't want to imply that it can't be accomplished, but it's going to be more involved than simply shuttling people from one place to another. So to be honest, it's too early to know the impact of this initiative on the overall market."}, {"path": "tedlium_8891.wav", "duration": 11.4, "text": "to work with them in terms of the way they look at their risk profile and so on, and in how we can improve the efficiency of the scheme"}, {"path": "tedlium_8892.wav", "duration": 11.4, "text": "This includes an extended partnership with Just Retirement that allows customers to access options such as simplified financial advice, drawdown products and enhanced annuities."}, {"path": "tedlium_8893.wav", "duration": 11.4, "text": "tools operation and the reason we kept those in the mix for the capital spending for this year is that those really have a very short payback period."}, {"path": "tedlium_8894.wav", "duration": 11.4, "text": "We undertake no obligation to update our forward-looking statements to reflect subsequent events or circumstances, and you should not assume later in the quarter that the comments we make today are still valid."}, {"path": "tedlium_8895.wav", "duration": 11.4, "text": "Strong growth, together with excellent operating costs and productivity management, lifted the first quarter margin by 100 basis points over last year."}, {"path": "tedlium_8896.wav", "duration": 11.4, "text": "We're not in the room with them now. So we can only assume as affiliates that the OTT providers that really want something and have not been able to get it from the networks"}, {"path": "tedlium_8897.wav", "duration": 11.4, "text": "as we continue to expand our customer base. Haptics are being adopted more broadly than ever across existing markets and into new and emerging spaces as well."}, {"path": "tedlium_8898.wav", "duration": 11.4, "text": "reflecting strong leasing productivity and redevelopment execution over the last 12 to 18 months despite the headwinds experienced in the fourth quarter due to the rejection of 6 of our 11 Sears Kmart leases,"}, {"path": "tedlium_8899.wav", "duration": 11.4, "text": "And we really -- we feel relatively satisfied within this undoubtedly bad news because we've been able -- given our"}, {"path": "tedlium_8900.wav", "duration": 11.4, "text": "we can say that we've left the low or the lower point behind us, but how fast and how many interest rates increases we're going to see this year, I think that's open. That's something we need to follow. And obviously,"}, {"path": "tedlium_8901.wav", "duration": 11.4, "text": "Before we go through the financial results, I'd like to remind everyone that unless otherwise noted, I'll be discussing the company's financial results, comparisons to prior periods and guidance on a continuing-operations basis."}, {"path": "tedlium_8902.wav", "duration": 11.4, "text": "It's been just over a month since launch, and we have seen some amazing stories from advertisers such as State Farm, Domino's, T-Mobile and American Express."}, {"path": "tedlium_8903.wav", "duration": 11.4, "text": "together and accessorize a complete bathroom that a person would consider a work of art in their home. This is"}, {"path": "tedlium_8904.wav", "duration": 11.4, "text": "also taking the opportunity to redesign the kitchen to handle larger batch sizes, which will give us greater productivity and better unit cost and better quality control as well."}, {"path": "tedlium_8905.wav", "duration": 11.4, "text": "and reduce our dependence on any one individual customer. However, it is uncertain as to the level of revenues to expect in China on a quarterly or annual basis."}, {"path": "tedlium_8906.wav", "duration": 11.4, "text": "We believe it is important for our shareholders to have the opportunity to understand the impact of these accounting treatments. And as such, we have prepared a couple of slides to help with this."}, {"path": "tedlium_8907.wav", "duration": 11.3999375, "text": "Operating cash flow was unfavorably impacted by lower operating results and the partial unwinding of our net contract capital position, which we expected."}, {"path": "tedlium_8908.wav", "duration": 11.3700625, "text": "This work provides critical new balance to our Transportation segment portfolio as we work to complete and mitigate the impact of 3 legacy unconsolidated joint venture projects."}, {"path": "tedlium_8909.wav", "duration": 11.3700625, "text": "which they are going to take up at their December board meeting, the amount that we receive as 26% owner is not that significant compared to the amount we receive"}, {"path": "tedlium_8910.wav", "duration": 11.3700625, "text": "So our comments around persistence are not a flag of people stopping taking it, whether it's due to efficacy or some other matter. It's just more of a statement that as"}, {"path": "tedlium_8911.wav", "duration": 11.37, "text": "lot of the IDMs use packages in China, and it does seem like they're looking to go to the Philippines and Malaysia quite fast. I was just wondering, on your China business only, have you seen"}, {"path": "tedlium_8912.wav", "duration": 11.37, "text": "So some of the things we're looking to do is develop other programs outside of the 4 that we currently are in to make utilization of those opportunities. Number two,"}, {"path": "tedlium_8913.wav", "duration": 11.37, "text": "and that's where we see the future growth and the future potential of the company. So with that early introduction, I'll turn it over to Kyle for a summary of our Q2 financial results."}, {"path": "tedlium_8914.wav", "duration": 11.37, "text": "where they were fairly dramatically changed through the second half of last year. The order patterns are returning to normal and so on. But I think it's too early to call it for June."}, {"path": "tedlium_8915.wav", "duration": 11.37, "text": "It has become less expensive and more efficient to print in color, and our recent investment in new print technology has helped us to penetrate and grow this market."}, {"path": "tedlium_8916.wav", "duration": 11.37, "text": "new initiation, that we have seen severe surges in the metal prices, and our customers also recognize the surge in metal prices as well."}, {"path": "tedlium_8917.wav", "duration": 11.37, "text": "starting almost from symbolically maybe from west to east, stepping up Nigeria where we entered in 2016, establishing also a local production capacity"}, {"path": "tedlium_8918.wav", "duration": 11.37, "text": "As we've said previously, the first quarter of the year is by far our slowest, due to fewer days and heightened seasonality impacting both lower revenues and higher expenses."}, {"path": "tedlium_8919.wav", "duration": 11.37, "text": "the commission reduction is not likely to have much of an impact in 2018. That will build over the years ahead as more new bookings get made."}, {"path": "tedlium_8920.wav", "duration": 11.37, "text": "These risks and uncertainties include general economic conditions as well as other risks detailed from time to time in InfuSystem's publicly filed documents with the Securities and Exchange Commission."}, {"path": "tedlium_8921.wav", "duration": 11.37, "text": "Right. No, I get that. I just wanted maybe a little bit more clarity as to how you plan to cover that dividend, if it's over your fee earnings. I guess, is it just going to be through investment sales? Is that"}, {"path": "tedlium_8922.wav", "duration": 11.37, "text": "with a very high degree of our dividend being supported by long-dated permanent capital. And the opportunity now to build balance sheet to drive growth is just something that people haven't seen before,"}, {"path": "tedlium_8923.wav", "duration": 11.37, "text": "historically characterized by renewals of existing client accounts to one that is now more defined by new logos and new scope from existing clients"}, {"path": "tedlium_8924.wav", "duration": 11.37, "text": "And if you take those into consideration, plus what is happening on the oil front that is helping the overall numbers for Colombia and the trade side,"}, {"path": "tedlium_8925.wav", "duration": 11.37, "text": "We have a strong diversified platform that we continuously optimize and expand as we implement our strategy to maximize cash flow and provide a steady consistently growing distribution for investors."}, {"path": "tedlium_8926.wav", "duration": 11.37, "text": "We view this as directionally positive for transmission owners as the new methodology uses more inputs, which is expected to result in a broader zone of reasonableness. This"}, {"path": "tedlium_8927.wav", "duration": 11.37, "text": "evolution of these consortium purchasing dynamics. And while perhaps that may have not played out in price, certainly seems to have played out in fairly significant negative volume"}, {"path": "tedlium_8928.wav", "duration": 11.37, "text": "In our new VCSEL laser fab in Sherman, Texas, we have completed the uplift of the building and installed a significant amount of the capital equipment for our first phase of capacity."}, {"path": "tedlium_8929.wav", "duration": 11.37, "text": "Ladies and gentlemen, we are very proud that in the current macroeconomic situation, we continue or even improve our excellent performance"}, {"path": "tedlium_8930.wav", "duration": 11.37, "text": "Again, the need for quality effective weight loss solutions has never been greater. We look forward to bringing more solutions to more people to help them with healthier and happier lives."}, {"path": "tedlium_8931.wav", "duration": 11.37, "text": "that's probably the other comment that I would make is that we certainly have areas around the world that may or may not see different types of inflation. My comment is certainly around the broad business and our ability to be able to"}, {"path": "tedlium_8932.wav", "duration": 11.37, "text": "For a more detailed discussion of the major risk factors affecting our business, please refer to our latest 10-K and 10-Q filed with the Securities and Exchange Commission."}, {"path": "tedlium_8933.wav", "duration": 11.37, "text": "of that Supreme Court decision, that will make it possible for us to respond. According to our best knowledge today, the provision is adequate, but we have to wait for the details,"}, {"path": "tedlium_8934.wav", "duration": 11.37, "text": "Before we begin, I would remind you that the statements we will make on today's call are covered by our safe harbor disclaimer contained in our press release, presentation and public documents."}, {"path": "tedlium_8935.wav", "duration": 11.37, "text": "In fact, since the launch in late June, we have had strong customer response and are pleased with the trajectory of customer acquisition to date."}, {"path": "tedlium_8936.wav", "duration": 11.37, "text": "and believe they'll be an exceptional addition to Rollins. Founded by the Phillips family in 1951 and headquartered on the outskirts of Atlanta"}, {"path": "tedlium_8937.wav", "duration": 11.37, "text": "as we've all talked about, multiples are a bit high right now but that doesn't dampen our enthusiasm or our activities in that area. And then certainly,"}, {"path": "tedlium_8938.wav", "duration": 11.37, "text": "At SITC, we presented new data in a mouse melanoma model providing evidence that these neoantigen-specific inhibitory responses could be tumor-promoting."}, {"path": "tedlium_8939.wav", "duration": 11.37, "text": "The proceeds from this disposition were used to repay the REIT's construction facility and the remaining proceeds will be used to complete the retail parking garage being constructed at the office complex."}, {"path": "tedlium_8940.wav", "duration": 11.37, "text": "so that we can see on either side of a bounded well how much difference it makes. So that way, we can really calibrate. So when reach a conclusion, we've got some pretty firm ideas."}, {"path": "tedlium_8941.wav", "duration": 11.37, "text": "We've worked with them for over the last 15 years, so we know that our longer-term commitment can make an even bigger difference to communities where water is a scarce resource."}, {"path": "tedlium_8942.wav", "duration": 11.37, "text": "You may not have heard about 3rd Space, but I'm sure you've been there, those consumer occasions which are not in traditional on-trade or at-home occasions."}, {"path": "tedlium_8943.wav", "duration": 11.37, "text": "This will mean employees understand why the controls are critical rather than just being told they are critical. We are reinforcing this local ownership with the Leadership Interactions Program"}, {"path": "tedlium_8944.wav", "duration": 11.37, "text": "Now your other question could be, what if instead of being capital, doctrine changes and its voting rights. We have everything in place with Renova where if"}, {"path": "tedlium_8945.wav", "duration": 11.37, "text": "We have many organic investment opportunities across the portfolio, and we believe we are investing appropriately to achieve above-market return on shareholder capital."}, {"path": "tedlium_8946.wav", "duration": 11.37, "text": "with good quality, and the competitive intensity isn't as great as it used to be. Where there's still a tranche of business where we have"}, {"path": "tedlium_8947.wav", "duration": 11.37, "text": "And when the cycle is down, margins go up because it's mostly recurring revenue. It's mostly service and consumables. And as the cycle recovers, margins decline because you're starting to get project business coming in"}, {"path": "tedlium_8948.wav", "duration": 11.37, "text": "at all. And indeed, as we look out into the future and the world where we are doing actually more remote asset monitoring, remote services, industrial internet related services,"}, {"path": "tedlium_8949.wav", "duration": 11.37, "text": "and that's on the operational side, primarily in energy. And we're not hopeful now at this point that that's going to recover for the end of the year as our customers manage cash to the end of their balance sheets."}, {"path": "tedlium_8950.wav", "duration": 11.37, "text": "and thank you all for joining us today. I'll be starting on Slide 4. We delivered third quarter results that operationally met the high end of our forecast and were slightly above our guidance"}, {"path": "tedlium_8951.wav", "duration": 11.37, "text": "Fortune 500 companies are not going to commit to orders until they have tested our products exhaustively and are convinced that will make a tangible difference to their business."}, {"path": "tedlium_8952.wav", "duration": 11.37, "text": "Well, thank you all very much for your participation today. While we're proud of the results for many of our businesses, we clearly understand that our mission is to deliver growth."}, {"path": "tedlium_8953.wav", "duration": 11.37, "text": "We believe these partnerships and the increasing use of our PayPal for Partners and Marketplaces product will help to seamlessly connect buyers and sellers in the world's highest-growth marketplaces and digital sales channels,"}, {"path": "tedlium_8954.wav", "duration": 11.37, "text": "Our guidance also does not include any expectation of future increases. We don't look at forward rates to determine what guidance should be. We simply"}, {"path": "tedlium_8955.wav", "duration": 11.37, "text": "making investments we need to make to grow the business and driving efficiency and controlling costs in ways that we create positive operating leverage,"}, {"path": "tedlium_8956.wav", "duration": 11.37, "text": "Consistent with recent years, we anticipate revenues related to a large client contract will be realized in the second quarter due to the structure of the contract."}, {"path": "tedlium_8957.wav", "duration": 11.37, "text": "These solutions include an expanding range of programs, which combine our deep specialized approach to patient care with our ability to creatively contract for best cost and care outcomes."}, {"path": "tedlium_8958.wav", "duration": 11.37, "text": "Our revenue growth was primarily driven by higher volumes in our core decking and railing business, reflecting Trex's brand strength and continued ability to outpace industry growth rates."}, {"path": "tedlium_8959.wav", "duration": 11.37, "text": "And we are very ecstatic about that, and we think the base is now solid to have exponential growth on a go-forward basis because the -- all of our problems have been"}, {"path": "tedlium_8960.wav", "duration": 11.37, "text": "we believe Nexus will enable us to benefit from cross-selling opportunities by further penetrating current customer accounts and expanding our addressable market to a broader range of procedures."}, {"path": "tedlium_8961.wav", "duration": 11.37, "text": "In the Data business, the number of subscriptions continued to decline year-over-year. This was again partly offset by a more favorable average pricing."}, {"path": "tedlium_8962.wav", "duration": 11.37, "text": "decision is expected by December with final rates effective in January of 2017. We also have pending rate cases in Minnesota and in Texas."}, {"path": "tedlium_8963.wav", "duration": 11.37, "text": "The problem is you have a delay when you get the quotes from the time you get those converted orders, and then you get the designs completed and then you actually get the materials in place and you get the bills and that's"}, {"path": "tedlium_8964.wav", "duration": 11.37, "text": "the fact that we think that we have done as much as we can do at this point in time to solidify our position in that particular exposure to the oil and gas sector"}, {"path": "tedlium_8965.wav", "duration": 11.37, "text": "The increase is due to the reported increase in royalty income plus the fact that the available tax amortization decreases each year on a declining basis. The"}, {"path": "tedlium_8966.wav", "duration": 11.37, "text": "financial condition or results of operations of the company to be materially different from any future performance, financial condition or results of operations implied by such forward-looking statements."}, {"path": "tedlium_8967.wav", "duration": 11.37, "text": "But it -- potentially, the answer is yes. It doesn't mean that we will buy more companies. It doesn't mean anything like that. But"}, {"path": "tedlium_8968.wav", "duration": 11.37, "text": "innovation that eliminates the need for the use of thrombolytics, reducing the likelihood of ICU time and bleeding complications that significantly affect patient recovery and outcomes."}, {"path": "tedlium_8969.wav", "duration": 11.37, "text": "During July, we begin the transition between mining contractor with the new mining contractor expected to take over full responsibility for both ore and waste mining before the end of this year."}, {"path": "tedlium_8970.wav", "duration": 11.37, "text": "the tax. As an executive committee member and director of AdvaMed, the medical device industry association, I've worked with our local elected representatives over the years to bring light to the issue."}, {"path": "tedlium_8971.wav", "duration": 11.37, "text": "As our volume increases, we are able to better leverage our manufacturing overhead, increase the benefit from our operational excellence efforts and manage growth in operating expenses to be slower than top line growth."}, {"path": "tedlium_8972.wav", "duration": 11.37, "text": "We are continuing to work on optimizing our plants to assimilate new production activities and to improve plant efficiencies. The affected businesses"}, {"path": "tedlium_8973.wav", "duration": 11.37, "text": "Before discussing our technical guidance, I want you to take a -- take you through a more detailed look at this year's EPS and how this sets up for next year."}, {"path": "tedlium_8974.wav", "duration": 11.37, "text": "On the quality control and other operational improvements that you're implementing in order to try to avoid any sort of steel- or paint-related issues in the future,"}, {"path": "tedlium_8975.wav", "duration": 11.37, "text": "So the answer is it was designed to use the cash available to get to that million subscriber level. But as Jirka said, this year is really going to be the year where we evaluate what is the right"}, {"path": "tedlium_8976.wav", "duration": 11.37, "text": "all of those areas laid with fibre, I think at some point will help amortize back into our Wireless cost or help amortize the fibre cost, I guess, is another way to think about it. But it's really early days there for that."}, {"path": "tedlium_8977.wav", "duration": 11.37, "text": "And as we look through '17 we will through this year and exit the year with the fastest wireless network in all major cities in the country."}, {"path": "tedlium_8978.wav", "duration": 11.37, "text": "Also in light of limited new capacities coming on line, we expect demand supply dynamic to be tight with refining margin expected to be quite positive."}, {"path": "tedlium_8979.wav", "duration": 11.37, "text": "And finally, our success rate or hit rate, if you will, on opportunities is up nearly 25%. So we've never been in better position to realize that sales growth."}, {"path": "tedlium_8980.wav", "duration": 11.37, "text": "Again, this improvement was only possible because of our excellent operational execution across all controllable aspects of our business in a very challenging environment."}, {"path": "tedlium_8981.wav", "duration": 11.37, "text": "Our sales of common alloy aluminum remain consistent from a volume standpoint with most of our product being sold to sheet metal fabricators that support a variety of end markets."}, {"path": "tedlium_8982.wav", "duration": 11.37, "text": "in that quarter last year because of a surge in product deliveries, both to domestic and international customers that happened to fall into"}, {"path": "tedlium_8983.wav", "duration": 11.37, "text": "We do expect continued pricing pressure in our China field businesses as we look into Q2, but we're going to work to offset that headwind with cost actions."}, {"path": "tedlium_8984.wav", "duration": 11.3699375, "text": "It's a combination of new markets and existing markets. I'd have to go back to last year and see what the mix was, but I'd be surprised if it was any different."}, {"path": "tedlium_8985.wav", "duration": 11.3699375, "text": "I will tell you that we -- from our perspective, we believe we're never done on driving that cost structure. We continue -- as I said, the organization continues to identify new opportunities"}, {"path": "tedlium_8986.wav", "duration": 11.34, "text": "We took the decision to write down in full the value of the deferred consideration associated with the Allied sale, given our reduced expectations of recovery."}, {"path": "tedlium_8987.wav", "duration": 11.34, "text": "So I would fully expect that Huawei would be complying with everything necessary to clean their name. And if there was a bad actor, they would be taking action where it seems that ZTE did not."}, {"path": "tedlium_8988.wav", "duration": 11.34, "text": "I would like to close this presentation by expressing how appreciative I am for the outstanding work of all the employees of both Swift and Knight,"}, {"path": "tedlium_8989.wav", "duration": 11.34, "text": "commodity type films that are readily available around the globe. But I don't think you should be surprised to see us either through an acquisition or perhaps in a direct investment,"}, {"path": "tedlium_8990.wav", "duration": 11.34, "text": "It is certainly the decision of China has a big role that is difficult to foresee for us because on the one side, very"}, {"path": "tedlium_8991.wav", "duration": 11.34, "text": "We're looking forward to welcoming the Avendra and AmeriPride teams to the Aramark family, and to the contributions that their experienced management teams will make to our ongoing success."}, {"path": "tedlium_8992.wav", "duration": 11.34, "text": "This will include all subjects enrolled in Parts 1 and 2, and per the protocol and the statistical analysis plan, placebo subjects will be pooled from both parts for analysis."}, {"path": "tedlium_8993.wav", "duration": 11.34, "text": "and so I'm not sure that there's going to be a significant opportunity to increase price. But what their lower reimbursement was doing was dampening the momentum in the market. It was a very small part of the market,"}, {"path": "tedlium_8994.wav", "duration": 11.34, "text": "This software-centric architecture enables us to achieve a greater level of scalability, improved operational efficiency, shorter deployment times and enhanced security"}, {"path": "tedlium_8995.wav", "duration": 11.34, "text": "All of this potential revenue is difficult to predict and forecast financially, but does represent examples of technology within RMD, which could be spun out"}, {"path": "tedlium_8996.wav", "duration": 11.34, "text": "maybe you can talk a little bit about how challenging you expect that part of the market to be for expensive orphan drugs. And how do you expect this to unfold post launch?"}, {"path": "tedlium_8997.wav", "duration": 11.34, "text": "From the perspectives of communication and arts, I think noodle story is a very artistic and special success."}, {"path": "tedlium_8998.wav", "duration": 11.34, "text": "and make sure we're getting in at the right entry point. I'm not saying you can't make money. I've done it, but you better be sure that you're getting in and then you better make sure if you're doing it in a big deal"}, {"path": "tedlium_8999.wav", "duration": 11.34, "text": "Good morning, everyone, and thank you for joining our conference call, where we will discuss our operational and financial results for the first quarter of 2017 and provide an update regarding our ongoing projects and operations."}, {"path": "tedlium_9000.wav", "duration": 11.34, "text": "they haven't disappointed us. It has taken every bit as long as they told us it would. But Tom makes a very good point. And that's what I was alluding to about"}, {"path": "tedlium_9001.wav", "duration": 11.34, "text": "It will take some time to successfully address the challenges that our company faces today and it will take time to reposition Endo for long-term success."}, {"path": "tedlium_9002.wav", "duration": 11.34, "text": "our -- is this creating sort of situations where you need to valuate particular packages that you produce, or you need to think about sort of alternative formats?"}, {"path": "tedlium_9003.wav", "duration": 11.34, "text": "Yes -- no, well, I don't -- we don't do that. I will tell you that in the final analysis with Clear Lam, we expect that multiple to be"}, {"path": "tedlium_9004.wav", "duration": 11.34, "text": "It is imperative that we take the advantage of this unique opportunity to implement those reforms that are essential to achieving a long-term sustainable growth."}, {"path": "tedlium_9005.wav", "duration": 11.34, "text": "Despite these challenges, we remain focused on serving our customers, executing our business strategies and seizing opportunities that arose."}, {"path": "tedlium_9006.wav", "duration": 11.34, "text": "Listeners are cautioned that these statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in any forward-looking statements."}, {"path": "tedlium_9007.wav", "duration": 11.34, "text": "From your observation of the customer behavior, how important it is for the operator to have their 4G network in the rural area, meaning the remote area?"}, {"path": "tedlium_9008.wav", "duration": 11.34, "text": "We saw a number impact for total year '16 right in the middle of that range. And for the fourth quarter, I will call it very similar to that of"}, {"path": "tedlium_9009.wav", "duration": 11.34, "text": "And while we're still investing, as we always do, in the best people around the market, we've started to moderate a little bit, particularly as it relates to capital market."}, {"path": "tedlium_9010.wav", "duration": 11.34, "text": "Finally, we will further demonstrate that we are a leader in walking rig technology with the delivery of the first rig with our new proprietary APEX-XC rig design."}, {"path": "tedlium_9011.wav", "duration": 11.34, "text": "Without the decrease in the proportion of rigs on standby, total average rig operating cost per day would have decreased as a result of fixed cost being spread over more operating days."}, {"path": "tedlium_9012.wav", "duration": 11.34, "text": "Lower OPEC production, supply outages and lack of weather delays prevented the spot market from stepping up to seasonally expected winter trading freight levels."}, {"path": "tedlium_9013.wav", "duration": 11.34, "text": "So when we look out to next year, as we go through our budgeting process and see how the year is progressing, we'll look for additional opportunities to invest to drive growth."}, {"path": "tedlium_9014.wav", "duration": 11.34, "text": "I certainly think things will become even more attractive and will -- we would tend to lean in harder when we are really confident that the full recovery is in place"}, {"path": "tedlium_9015.wav", "duration": 11.34, "text": "We are actively working on strengthening our capital structure. Our third source of capital is from existing internally generated resources. We can generate meaningful cash flow through our operations"}, {"path": "tedlium_9016.wav", "duration": 11.34, "text": "has been impacted by increasing overcapacity of RTL as multiple regional players have built excess production capabilities for internal Chinese demand."}, {"path": "tedlium_9017.wav", "duration": 11.34, "text": "With transaction volumes down, mortgage approvals down as well, can you just give us a little bit of color on what we should anticipate for the overall sort of agency office number"}, {"path": "tedlium_9018.wav", "duration": 11.34, "text": "and there's a shipping time associated as well as the manufacturing time. And so there are some limits with regard to the speed with which we can"}, {"path": "tedlium_9019.wav", "duration": 11.34, "text": "We had not recorded any additional taxes due related to this transition, and we will continue to evaluate the ongoing impact of these provisions as additional guidances forthcoming throughout the year."}, {"path": "tedlium_9020.wav", "duration": 11.34, "text": "Our segmented market approach allowed us to post excellent results at the high end and low end of the market with such plans."}, {"path": "tedlium_9021.wav", "duration": 11.34, "text": "It looks as though there will be a very high level of launches in 2016. We also expect to see increased sales from recent and upcoming new product and service introductions."}, {"path": "tedlium_9022.wav", "duration": 11.34, "text": "As a very large investor, we also have to ask ourselves the questions, what can we do to help society to live a better life?"}, {"path": "tedlium_9023.wav", "duration": 11.34, "text": "of an interest rate decline, as we expect to benefit from increased recapture income and correspondent production-related earnings in subsequent periods."}, {"path": "tedlium_9024.wav", "duration": 11.34, "text": "As we begin, a brief reminder. This call may contain certain forward-looking statements that are subject to the safe harbor language in today's press release and in IDEX's filings with the Securities and Exchange Commission."}, {"path": "tedlium_9025.wav", "duration": 11.34, "text": "shutting down when margins are low. Have you noticed any production shut-ins since the beginning of the year just based on the margin landscape?"}, {"path": "tedlium_9026.wav", "duration": 11.34, "text": "oil companies are prioritizing. And the biggest thing we can do right now is to help our oil companies in -- keep their production up and then increase production."}, {"path": "tedlium_9027.wav", "duration": 11.34, "text": "However, I don't want to get ahead of ourselves, even though I see some things that are quite promising. I want, really want to wait until we get them fully inked before we bring them out. But"}, {"path": "tedlium_9028.wav", "duration": 11.34, "text": "And we're making changes. So we've either made some leadership changes or some structure changes in all of those practices in order to drive different results."}, {"path": "tedlium_9029.wav", "duration": 11.34, "text": "The updated version of our current strategy focuses on investments in safety and human resources to solidify our management platform to support further growth."}, {"path": "tedlium_9030.wav", "duration": 11.34, "text": "labor growth. And if you look at some of the trades that would be important to Insulation demand, you didn't see much labor growth in framing contracting in the second half of 2015, which would suggest"}, {"path": "tedlium_9031.wav", "duration": 11.34, "text": "Moving on to Wyndham Destination Network, which is evolving its strategy to better harness its inventory and distribution power to send more people on the vacation of their dreams."}, {"path": "tedlium_9032.wav", "duration": 11.34, "text": "Now that the PMIERs are in place and the industry continues to generate capital, we believe that private mortgage insurance should play a larger role in supporting a well-functioning and housing finance system."}, {"path": "tedlium_9033.wav", "duration": 11.34, "text": "that we experienced this quarter. But it's typically more seasonal, so I don't think you'll see that same level heading into the fourth quarter."}, {"path": "tedlium_9034.wav", "duration": 11.34, "text": "In the coming months and with the benefit of our improved focus and process in place to facilitate our planning, we'll be taking a very close look at those long-term targets and reassessing the time frames"}, {"path": "tedlium_9035.wav", "duration": 11.34, "text": "obviously, are a little longer in the tooth and perhaps could be phased out over time. The timing of how those aircraft are taken out of competitive bids for future oil and gas contracts"}, {"path": "tedlium_9036.wav", "duration": 11.34, "text": "Right. So, what was the -- like what was the effect from an accounting perspective? Were your allowances sufficient or did the allowance rates go up?"}, {"path": "tedlium_9037.wav", "duration": 11.34, "text": "As mentioned previously, overall power outage severity declined significantly when compared to the prior year as there were no major outage events for the third consecutive year, and the baseline level of outage activity also continues to decline."}, {"path": "tedlium_9038.wav", "duration": 11.34, "text": "Soon, we'll be rolling out Gravity enhancements to support mobile web across all of Gannett, plus adding Gravity capabilities into our local market applications."}, {"path": "tedlium_9039.wav", "duration": 11.34, "text": "Slower asset growth, combined with resilient profitability, also means we are strongly capital-generative, which is supportive of the growing dividend that you've seen us declare."}, {"path": "tedlium_9040.wav", "duration": 11.34, "text": "the recent drop in spot rates for lead won't improve our results until mid Q3. Consequently, our gross profit rates should improve by"}, {"path": "tedlium_9041.wav", "duration": 11.34, "text": "the sales reps or the service reps in the field tell us we're missing and if we can buy it quicker and cheaper than we can build it, we'll definitely run that through the capital lens and determine whether or not we should go after it."}, {"path": "tedlium_9042.wav", "duration": 11.34, "text": "higher predominance of indoor arena work this year and not as much outdoor football work for this last fall delivery. But we did have these large orders"}, {"path": "tedlium_9043.wav", "duration": 11.34, "text": "such as FFO and adjusted EBITDA. You can find this information together with reconciliation to the most directly comparable GAAP financial measure in yesterday's earnings release"}, {"path": "tedlium_9044.wav", "duration": 11.34, "text": "Yes, I think -- first of all, for new business, small businesses and those who are starting up typically don't go through a bank for their credit anyway. So I don't think there'll be too impacted by"}, {"path": "tedlium_9045.wav", "duration": 11.34, "text": "Please turn to Page 3 of the materials. Next, I will talk about our management approach over the next 3 years to achieve our overarching objectives."}, {"path": "tedlium_9046.wav", "duration": 11.34, "text": "So this is something that will be there forever. So we will have to evaluate this every quarter, and you will see from time to time positive and negative things there."}, {"path": "tedlium_9047.wav", "duration": 11.34, "text": "Please turn to Slide 12. I also would like to provide an update on our Sandpiper project. Earlier this year, we received written orders from the Minnesota Public Utility Commission"}, {"path": "tedlium_9048.wav", "duration": 11.34, "text": "However, activity levels and revenue opportunities from those FIDs and the emerging international recovery are not expected to have a positive financial impact"}, {"path": "tedlium_9049.wav", "duration": 11.34, "text": "Thanks, Louis. I would like to thank everyone for joining us today. Extraction continues firmly on its path to achieving its previously disclosed growth targets"}, {"path": "tedlium_9050.wav", "duration": 11.34, "text": "will likely result in higher reported earnings in 2018 than under the previous guidance as revenue is shifted to the initial years of startup and transition activities of a contract."}, {"path": "tedlium_9051.wav", "duration": 11.34, "text": "I think we have done a great job increasing our private label products. There was a little bit of a higher margin. So if I look at kind of all the factors understanding our customer, understanding how we're marketing to our customer location,"}, {"path": "tedlium_9052.wav", "duration": 11.34, "text": "And as we've discussed and mentioned prior quarters, we continue to put a lot of focus on generating quality earning assets, and we feel we made good strides in the quarter."}, {"path": "tedlium_9053.wav", "duration": 11.34, "text": "Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program, and you may now disconnect. Everyone, have a wonderful day."}, {"path": "tedlium_9054.wav", "duration": 11.34, "text": "with numerous operators who are doing both sports and entertainment and giving us the ability to work with them where if it was purely a sports-related deal,"}, {"path": "tedlium_9055.wav", "duration": 11.34, "text": "Officer. In addition, we have other members of the management team in the room to answer your questions. This morning, we will review our 2016 first quarter results and update you on recent business and regulatory developments."}, {"path": "tedlium_9056.wav", "duration": 11.34, "text": "We don't need a service provider, which helps us keep tuition low. And we've had the good fortune of building a very strong university brand based upon what happened in our traditional campus,"}, {"path": "tedlium_9057.wav", "duration": 11.34, "text": "The EPA and NHTSA are currently evaluating the comments from various stakeholders, and we expect to see a final version of the regulation sometime in April or May."}, {"path": "tedlium_9058.wav", "duration": 11.34, "text": "As he talked about, that's about remixing around food, around services, around health and entertainment where we see gaps in the customer offer in that trade area."}, {"path": "tedlium_9059.wav", "duration": 11.34, "text": "these are stores located in farther geographies. We have it in stores in Bahia in the north of the country."}, {"path": "tedlium_9060.wav", "duration": 11.34, "text": "It's always a possibility that we would consider additional centers around the world to facilitate enrollment. So I won't rule that out, but"}, {"path": "tedlium_9061.wav", "duration": 11.34, "text": "One, we will increase core fee growth by becoming an essential partner to our clients, gaining share of wallet and building enduring institutional relationships,"}, {"path": "tedlium_9062.wav", "duration": 11.34, "text": "We believe that these non-GAAP financial measures help investors to gain a meaningful understanding of our core operating results and future prospects, consistent with the manner in which management measures and forecasts the company's performance."}, {"path": "tedlium_9063.wav", "duration": 11.34, "text": "As for our fourth quarter performance. On an operating basis, the quarter went pretty much as expected other than cash collections, which Ralph will cover in his remarks shortly."}, {"path": "tedlium_9064.wav", "duration": 11.34, "text": "But at the same time, the fourth quarter has a lot of characteristics of preparing for a demand surge in the first quarter,"}, {"path": "tedlium_9065.wav", "duration": 11.34, "text": "a couple of extra days on a couple of our planned turnarounds. So nothing outside of the ordinary but they all kind of fell together in the third quarter. So we do have quite a bit of waste to burn and"}, {"path": "tedlium_9066.wav", "duration": 11.34, "text": "has been in pilot mode for a while now, and so the sellers of that solution are the Verizon sales organization."}, {"path": "tedlium_9067.wav", "duration": 11.34, "text": "Yes. Good question, Kevin. The high majority of the features that we come out with when we come out with our software enhancements and releases are made available at no additional cost to our end-user customers."}, {"path": "tedlium_9068.wav", "duration": 11.34, "text": "any of our clients' wishes, sophisticated clients, all the way to ultrahigh-net-worth individuals, and the platform is perfectly geared to navigating the clients now through with this"}, {"path": "tedlium_9069.wav", "duration": 11.34, "text": "Glen, you said you're going to utilize those in the next couple of years. So how do we think about how you're going to use that tax loss? Is this essentially something that you have that you can"}, {"path": "tedlium_9070.wav", "duration": 11.34, "text": "Okay. Good. And maybe just the last one. As you think about what that could mean for 2018, how do you think about additions or what you would do with the rental fleet? I know that it's moved around a lot in the past couple of years."}, {"path": "tedlium_9071.wav", "duration": 11.34, "text": "the success you've had with that iconic piece of your business from a branding perspective stretching into some of the other categories, particularly some of those that you might have inquired in with the Loungefly acquisition?"}, {"path": "tedlium_9072.wav", "duration": 11.34, "text": "We believe the progress being made in these areas will diversify VIVITROL's growth. VIVITROL operates in a fragmented system where each state is unique in how it activates to address the opioid crisis."}, {"path": "tedlium_9073.wav", "duration": 11.34, "text": "We are making good progress and I am pleased to report that we are ahead of schedule for NitroX, and we are on schedule for upgrades to content management and Adrenalin."}, {"path": "tedlium_9074.wav", "duration": 11.34, "text": "Our adjusted funds from operations for both the second and third quarter of this year have been adversely impacted by the incremental preferred dividend requirements resulting from the preferred equity issuance we did back in April."}, {"path": "tedlium_9075.wav", "duration": 11.34, "text": "The ability to deliver improved margins while absorbing incremental investments continues to demonstrate the efficiency and effectiveness of our business."}, {"path": "tedlium_9076.wav", "duration": 11.3399375, "text": "So we're not convinced that there's going to be a move, and if there is, we think we're relatively well protected for any moves that would happen here in the second half of the year."}, {"path": "tedlium_9077.wav", "duration": 11.3100625, "text": "commodity dryers for a period of time. Now the previous year, we weren't able to do that because we actually had campaigns scheduled. So we have been working on how we schedule and how we"}, {"path": "tedlium_9078.wav", "duration": 11.31, "text": "And as we've also said, that doesn't mean that if there are opportunistic items that come into play in that period, we would absolutely look at those,"}, {"path": "tedlium_9079.wav", "duration": 11.31, "text": "Again, I think the public comments around that had been people hope to -- that the other parties hope to get their larger transaction closed here sometime in the second quarter. And assuming that happens, then"}, {"path": "tedlium_9080.wav", "duration": 11.31, "text": "Let's pause here for a second. This as an important moment in the fuel cell industry. We believe this is the largest planned deployment of fuel cell-powered trucks anywhere in the world."}, {"path": "tedlium_9081.wav", "duration": 11.31, "text": "Looking at some of the moving pieces, as I reported last November, we saw an abrupt and significant pickup in orders in PON, demand for which had flatlined in the previous 6 months."}, {"path": "tedlium_9082.wav", "duration": 11.31, "text": "but the actual contribution to our earnings is de minimis. We actually bracketed our guidance to incorporate different timing and closing. We think it's going to be very quick and clean,"}, {"path": "tedlium_9083.wav", "duration": 11.31, "text": "and year-end sales commission accelerators. The decrease in operating expenses compared to the year ago quarter predominantly reflects lower investment levels for prototypes"}, {"path": "tedlium_9084.wav", "duration": 11.31, "text": "we announced and launched the top page application coupon tab. The competitors are growing in the area of coupon."}, {"path": "tedlium_9085.wav", "duration": 11.31, "text": "Yes. Just lastly, big picture on Aero, I mean, it's been pretty dramatic swings in the last couple of years with the project comps. I mean, as we start to kind of frame out next year, should we be kind of"}, {"path": "tedlium_9086.wav", "duration": 11.31, "text": "I'd be grateful if you could clarify your message to them. I really want to frame this in terms of your shareholders outside your major shareholder. Are they a priority?"}, {"path": "tedlium_9087.wav", "duration": 11.31, "text": "And they just -- they come and they're kind of -- they take a lot of our time and they want to move forward. And we would like to do a small test on some of these countries where we don't think they're very viable."}, {"path": "tedlium_9088.wav", "duration": 11.31, "text": "I think that we're trying to be very clear that our expense guidance reflects the investments that we think we need to make in the business."}, {"path": "tedlium_9089.wav", "duration": 11.31, "text": "liquids line in the country that moves about 2 million barrels a day of refined products up from Louisiana, up to Washington D.C. and maybe even up into New York Harbor,"}, {"path": "tedlium_9090.wav", "duration": 11.31, "text": "It has been a strain on our resources and a drag on our stock price. That said, those of you following the company closely recognize the potential for value creation"}, {"path": "tedlium_9091.wav", "duration": 11.31, "text": "We expect the construction of our -- the third building of our Wuxi manufacturing site to be largely completed by the end of the second fiscal quarter. In the second quarter,"}, {"path": "tedlium_9092.wav", "duration": 11.31, "text": "to enter that agreement and that program, to be frank, like many of these consortiums that came together, they were actually looking to"}, {"path": "tedlium_9093.wav", "duration": 11.31, "text": "We recognize that all of our customers have a choice, but so do all the customers served by our competitors. Our retail team thrives on serving customers and competing every day."}, {"path": "tedlium_9094.wav", "duration": 11.31, "text": "whereas Viewpoint is managing the construction management system for the general contractors and the trade contractors. Where it makes a really nice fit is that the owner is ultimately working with"}, {"path": "tedlium_9095.wav", "duration": 11.31, "text": "building additional overseas manufacturing facilities and payment of capital expenditures associated with new equipment. I'll provide more detail on our current investment and growth initiatives."}, {"path": "tedlium_9096.wav", "duration": 11.31, "text": "Although our existing cash balances, which has grown considerably, our heightened funding will enable us to further capitalize on diversification and growth of our global businesses."}, {"path": "tedlium_9097.wav", "duration": 11.31, "text": "and that phrase though happens to be very true. But I want to give you some hard, cold facts about the natural gas story which is our single most important business."}, {"path": "tedlium_9098.wav", "duration": 11.31, "text": "And based on Hemel's current positioning, we consider this to be an anchor investment that will act as a catalyst for wider change in Hemel and in delivery of the other planned initiatives."}, {"path": "tedlium_9099.wav", "duration": 11.31, "text": "Media reports and public filings indicate that other companies in our space have received similar requests. In the highly regulated business in which we operate, we receive these type of inquiries from time to time and this one"}, {"path": "tedlium_9100.wav", "duration": 11.31, "text": "I would say, at this point, we're probably at a new level of mix that won't change much. It was really during the last year as we ramped on"}, {"path": "tedlium_9101.wav", "duration": 11.31, "text": "is currently set for trial in June of 2017. The second phase will determine damages and will proceed only if PGE is successful in the first phase."}, {"path": "tedlium_9102.wav", "duration": 11.31, "text": "work to expand the product set that we have here or to electronify things that are done manually, and that can be both in operations functions"}, {"path": "tedlium_9103.wav", "duration": 11.31, "text": "Finally, we're doing a deep dive into our Benchmark Communities brand, and what it means to our homeowners and prospective buyers, and using that understanding to better connect with them."}, {"path": "tedlium_9104.wav", "duration": 11.31, "text": "This decrease was primarily due to weakness in demand in the international products run rate business, while domestic product revenues were flat, as its channel partner strategy is stabilizing."}, {"path": "tedlium_9105.wav", "duration": 11.31, "text": "We see this cycle as very normal, and that's why for this quarter, we've shown you in our press release how our loans and deposits performed with and without former American Chartered loans and deposits."}, {"path": "tedlium_9106.wav", "duration": 11.31, "text": "Through the first 9 months of the year, services revenue has been lower than historical averages due to the timing of service delivery, which is often dictated by clients."}, {"path": "tedlium_9107.wav", "duration": 11.31, "text": "wondered if you had any initial data at all regarding antibodies? And perhaps, maybe, you had a measure in place, so that if there was someone who had a"}, {"path": "tedlium_9108.wav", "duration": 11.31, "text": "The December quarter tends to have a greater percentage of revenue generated from larger boat sales due to the Fort Lauderdale show and the return of the northerners to Florida."}, {"path": "tedlium_9109.wav", "duration": 11.31, "text": "and reflects the anticipated short-term impact of our strategic decision to exit much of our private label and contract manufacturing business and invest in our core brands."}, {"path": "tedlium_9110.wav", "duration": 11.31, "text": "For our group LCCs, Vanilla Air and Peach Aviation, we'll focus operations on Narita and Kansai, while also expanding business from other regional airports."}, {"path": "tedlium_9111.wav", "duration": 11.31, "text": "revenue synergies take longer. And so they would just be starting right now. And we'll continue to drive those over the next few years. But that is an exciting arena to have"}, {"path": "tedlium_9112.wav", "duration": 11.31, "text": "These products -- these are products with double-digit growth, good profitability and where we have strong production technology and advantaged cost positions."}, {"path": "tedlium_9113.wav", "duration": 11.31, "text": "Our performance was impacted by the anticipated factors, which I discussed on the previous slide. We continue to expect revenue growth for fiscal '19 to be concentrated in the second half."}, {"path": "tedlium_9114.wav", "duration": 11.31, "text": "problems that they are having at the moment, whether you're still confident in the underlying rate of growth? Perhaps also tell us a little bit about how you're seeing the underlying growth rate in Russia?"}, {"path": "tedlium_9115.wav", "duration": 11.31, "text": "what we would look for is passing it there, and now to answer your question that comes also from your"}, {"path": "tedlium_9116.wav", "duration": 11.31, "text": "As you might expect, and I think you're hearing from others, we're seeing even more volatility in markets like Brazil, China and Russia even as we start our first quarter."}, {"path": "tedlium_9117.wav", "duration": 11.31, "text": "Additionally, access to the Murray Energy manufacturing facilities will allow us to significantly reduce our repair cost and maintenance capital expenditures on critical equipment."}, {"path": "tedlium_9118.wav", "duration": 11.31, "text": "holiday dressing and an extended assortment of tops and bottoms. QVC continues to be a great platform for us to introduce and test new product categories."}, {"path": "tedlium_9119.wav", "duration": 11.31, "text": "in, given the elevated risk in the marketplace. I think we're very pleased that we were able to effectively increase leverage slightly, maintain our portfolio yield"}, {"path": "tedlium_9120.wav", "duration": 11.31, "text": "While I can't predict our revenue growth, we believe, we are seeing globally sophisticated companies demonstrating a commitment to our technology."}, {"path": "tedlium_9121.wav", "duration": 11.31, "text": "Well, I think the best way to answer that is that we have a number of objectives that include transformational moves."}, {"path": "tedlium_9122.wav", "duration": 11.31, "text": "These excellent results did not include sales of the client devices we discussed last quarter that were delayed at the end of 2016 as shipping did not begin until April."}, {"path": "tedlium_9123.wav", "duration": 11.31, "text": "And again, with a strong balance sheet and strong cash flow generation, we can fund this strictly from inside the company while still being able to focus on providing return to our shareholders,"}, {"path": "tedlium_9124.wav", "duration": 11.31, "text": "So the high level of interest among anesthesiologists is not surprising with clinicians very eager for pediatric patients to be included in the EXPAREL label. To that end,"}, {"path": "tedlium_9125.wav", "duration": 11.31, "text": "Asia's motive power continued its double-digit organic growth during the second quarter. In addition to China, the Australian market was also strong as we also won business away from a competitor."}, {"path": "tedlium_9126.wav", "duration": 11.31, "text": "and also the fact that we are -- we have a lot more clarity about the likely outcomes based on the recoverability of the costs in our discussions with various parties."}, {"path": "tedlium_9127.wav", "duration": 11.31, "text": "As far as I know, and I'm not an absolute expert in treasury, but I'm pretty involved. As far as I know, nobody has the breadth of functionality that we have with this new solution, including the fully enabled mobile platform"}, {"path": "tedlium_9128.wav", "duration": 11.31, "text": "As Dan mentioned, we're happy with the improved activity levels in the broader market that took place postelection and the resulting impact we have seen in the first 2 months of the year."}, {"path": "tedlium_9129.wav", "duration": 11.31, "text": "to gain valuable feedback from the development of our fuel technology. In particular, we are working towards formalizing an end user agreement with one of these utilities"}, {"path": "tedlium_9130.wav", "duration": 11.31, "text": "through a campaign involving celebrity influencers, new packaging and quality cues and local activation against multicultural millennial consumers."}, {"path": "tedlium_9131.wav", "duration": 11.31, "text": "Let me begin by reviewing our third quarter operating and financial performance. Then I will update you on the strategic initiatives that we laid out earlier this year."}, {"path": "tedlium_9132.wav", "duration": 11.31, "text": "The fully responsive platform has so far resulted in an uptick in apply rates, which will help us with better user feedback along with data on usage and metrics to be used in customer reporting down to line."}, {"path": "tedlium_9133.wav", "duration": 11.31, "text": "Plus we're integrating the search functionality that has proven successful with ClearanceJobs, which allows hiring managers to input full job descriptions rather than keywords in the boolean search to serve up ideal candidates."}, {"path": "tedlium_9134.wav", "duration": 11.31, "text": "With multiple high-quality markets connected to our system, shippers have enhanced flexibility to reroute their monthly volume nominations to alternate delivery points should a market disruption occur, like a refinery outage."}, {"path": "tedlium_9135.wav", "duration": 11.31, "text": "in terms of how the website presents opportunities for patients, which has doubled our daily retail to mail conversions and continues to for those patients where that's a benefit and where the plans save money."}, {"path": "tedlium_9136.wav", "duration": 11.31, "text": "invest in that and as a result, bring down the costs we incur around call volumes. Again, a lot of those initiatives are in process, and we'll have an"}, {"path": "tedlium_9137.wav", "duration": 11.31, "text": "we anticipate a midyear approval, which would enable us to begin our EU rolling launch and our pricing and reimbursement efforts in select countries in the EU during the second half of this year."}, {"path": "tedlium_9138.wav", "duration": 11.31, "text": "In 2017, Defitelio became available in Canada, and we submitted for marketing approval in Brazil. Our global team continues to identify further geographic regions for expansion."}, {"path": "tedlium_9139.wav", "duration": 11.31, "text": "We believe that decarbonization of our electric sector and strong economics will provide ongoing growth opportunities for wind energy and for TPI for many years to come."}, {"path": "tedlium_9140.wav", "duration": 11.31, "text": "the visitors. Now let me hand over now the word to Martin that will guide you through financial figures."}, {"path": "tedlium_9141.wav", "duration": 11.31, "text": "So Noelle, there's a mix of customers and when you have this kind of growth and you have a quarter that's back-end loaded, it's going to be difficult to build April's"}, {"path": "tedlium_9142.wav", "duration": 11.31, "text": "Integration and synergies realization is another strong focus point for the businesses. As I mentioned before, I feel very comfortable with our ability to achieve the numbers we have laid out."}, {"path": "tedlium_9143.wav", "duration": 11.31, "text": "Guidance for Q4 and the full year. First of all, our guidance does not include any pending acquisitions such as Green Bay and Davenport."}, {"path": "tedlium_9144.wav", "duration": 11.31, "text": "along with the building products businesses acquired with Lagan. Ireland, comprising of the construction materials business and contracting services businesses on the Island of Ireland,"}, {"path": "tedlium_9145.wav", "duration": 11.31, "text": "Although my primary focus on the first call for the year has always been on the performance of the previous year, I realize that there is uncertainty about the performance of financial institutions"}, {"path": "tedlium_9146.wav", "duration": 11.31, "text": "And FX has really been the problem that's been the most challenging for us to negate because it's not going to justify any pricing or drive any pricing in the market. Raw materials,"}, {"path": "tedlium_9147.wav", "duration": 11.31, "text": "during the restructuring of Frontera in late 2016. Second priority is to improve the quality of our existing upstream business"}, {"path": "tedlium_9148.wav", "duration": 11.31, "text": "influential or in the most cases drive or actually be the only lender to come to the right conclusion. Occasionally, there will be something that has"}, {"path": "tedlium_9149.wav", "duration": 11.31, "text": "and have it adopted. We can do that. Finally, we also see companies with attractive, but incomplete product solutions, who would benefit from that offering being made more robust. We can do that as well."}, {"path": "tedlium_9150.wav", "duration": 11.31, "text": "and somewhat diminished what was otherwise a very strong performance during Q3. The first of these relates to Malaysian Airline System or MAS, which is restructuring to address difficult financial issues."}, {"path": "tedlium_9151.wav", "duration": 11.31, "text": "the preponderance of the difference continues to be interruptible volumes that we just don't quite have the tenure with to forecast with great confidence."}, {"path": "tedlium_9152.wav", "duration": 11.31, "text": "The year is still right in line with what we've expected. It's not a deceleration of growth. It's really more of a function of the comparison to the prior year on a quarter-to-quarter basis."}, {"path": "tedlium_9153.wav", "duration": 11.31, "text": "I know we've talked in the past about Westmoreland and Clearfield. I think based on kind of where we think pricing is going to go, and since that's a very PDP heavy asset,"}, {"path": "tedlium_9154.wav", "duration": 11.31, "text": "defined execution strategies and a clear focus free of distractions to improve and evolve the customer experience and to extend our service differentiation."}, {"path": "tedlium_9155.wav", "duration": 11.31, "text": "providing the means and the revenue to both attract and retain and motivate very good professionals. Whereas at a lot of our competitor firms as you alluded to,"}, {"path": "tedlium_9156.wav", "duration": 11.31, "text": "Getting these elements right will help us connect more with our existing consumers, expand our reach to new consumers and return the business to strong growth over time."}, {"path": "tedlium_9157.wav", "duration": 11.31, "text": "In fact, we achieved first fire just today, which is a huge milestone for us and IPL, and we will now be focused on completing the commissioning over the next couple of months."}, {"path": "tedlium_9158.wav", "duration": 11.31, "text": "We will continue to drive efficiencies in the management of our new product and innovation efforts through improved project selection at the group level rather than our historic individual division use,"}, {"path": "tedlium_9159.wav", "duration": 11.31, "text": "The retention rate of new Android users increased by nearly 20% when compared to last year, meaning that the people who try Snapchat on Android are much more likely to stick around and become daily active users."}, {"path": "tedlium_9160.wav", "duration": 11.31, "text": "and create a unique product offering that people will not be able to put together easily or see elsewhere."}, {"path": "tedlium_9161.wav", "duration": 11.31, "text": "We have assembled a collection of commercial capabilities and infrastructure designed specifically to navigate these complex treatment systems and to operate in an evolving healthcare environment."}, {"path": "tedlium_9162.wav", "duration": 11.31, "text": "Both companies are struggling with the same issues of massive data complexity and difficulties in getting accurate spend visibility and identifying where they are leaving money on the table."}, {"path": "tedlium_9163.wav", "duration": 11.31, "text": "changing, adding new services to contracts. So from the standpoint of our ability to do more work or sell more products, we certainly think there's an opportunity"}, {"path": "tedlium_9164.wav", "duration": 11.31, "text": "So I just think overall, because of the quality that we have, the short turnaround and the smaller quantities, that's -- which is our sweet spot"}, {"path": "tedlium_9165.wav", "duration": 11.31, "text": "Okay. Thank you, Carmen, and thank all of you who have joined us this morning as we report the financial results for the first quarter of 2016. Please note that this morning's press release,"}, {"path": "tedlium_9166.wav", "duration": 11.31, "text": "And so what we've seen here is not only a significant recovery of fire and security products but very broad-based execution across every one of our platforms."}, {"path": "tedlium_9167.wav", "duration": 11.31, "text": "those risks and uncertainties detailed from time to time in filings the company submits to the Securities and Exchange Commission, including its quarterly reports on Form 10-Q,"}, {"path": "tedlium_9168.wav", "duration": 11.31, "text": "is there any risk to not delivering some of those orders on time and needing to ask for an extension? I'm sure that you're prioritizing that contract given the size of it and the newness of it."}, {"path": "tedlium_9169.wav", "duration": 11.28, "text": "grew fairly strongly, mainly in growth markets, specifically in China. Now before you get carried away and extrapolate these growth rates,"}, {"path": "tedlium_9170.wav", "duration": 11.28, "text": "enterprises in general I think are more affected by what they read about roaming costs going away and external forces and therefore"}, {"path": "tedlium_9171.wav", "duration": 11.28, "text": "it -- we were able to raise awareness. And when it comes to cashless and mobile payment, I think a lot of people started to learn about the world for the first time ever. There were a lot of positives"}, {"path": "tedlium_9172.wav", "duration": 11.28, "text": "But we also wish to offer stable dividends in terms of the amount. So we will carefully look at the situation to decide the amount."}, {"path": "tedlium_9173.wav", "duration": 11.28, "text": "which if not properly corrected could lead to misstatements in the future, and we have been busily fixing those situations."}, {"path": "tedlium_9174.wav", "duration": 11.28, "text": "and there were some competitive losses that we had. But overall, that business is continuing to grow very positively"}, {"path": "tedlium_9175.wav", "duration": 11.28, "text": "Gasoline weaker than it has been. And I think that reflects what we'd see as a seasonally normal driving season. And the real outlet piece of this is you get turnarounds right now,"}, {"path": "tedlium_9176.wav", "duration": 11.28, "text": "future events or otherwise. For additional information on these assumptions and risks, please consult the cautionary statement regarding forward-looking statements contained in the company's earnings release dated"}, {"path": "tedlium_9177.wav", "duration": 11.28, "text": "system at least with respect to branded as a Ritz is a benefit to our downtown Ritz Carlton. In addition, that property is going through -- our property downtown is going through a"}, {"path": "tedlium_9178.wav", "duration": 11.28, "text": "that concerns you? And is there anything you feel that investors need to know to understand the momentum that this contract is going to bring you over the next number of quarters?"}, {"path": "tedlium_9179.wav", "duration": 11.28, "text": "we completed the acquisition of FMCG, which will further enhance our Financial Services marketing solutions and other services product set"}, {"path": "tedlium_9180.wav", "duration": 11.28, "text": "As Mark mentioned, we continue to see a favorable trend in both our expense and -- expense ratio and absolute expenses. We remain focused on organizing the business for this simplified approach in mind"}, {"path": "tedlium_9181.wav", "duration": 11.28, "text": "With the retail industry slowing in some regions, we know that our goal of becoming the world's preferred destination for convenience and fuel will transmit through the quality of our staff and our ability to engage them."}, {"path": "tedlium_9182.wav", "duration": 11.28, "text": "higher volume activity at the sponsor is expected to drive meaningful growth opportunities for LMRK. The acquisition market for our 3 segments remains very attractive."}, {"path": "tedlium_9183.wav", "duration": 11.28, "text": "I would like to remind you that nothing on this call constitutes an offer to sell or a solicitation of an offer to purchase an interest in any securities of Ares or any other person, including any interest in any fund."}, {"path": "tedlium_9184.wav", "duration": 11.28, "text": "The conference has now concluded. Thank you for attending today's presentation, and you may now disconnect."}, {"path": "tedlium_9185.wav", "duration": 11.28, "text": "If the trend is correct, then it's all a matter of timing. Maybe there will be a event in the society that would trigger a turnaround."}, {"path": "tedlium_9186.wav", "duration": 11.28, "text": "decide, but you can be a force within your category. For example, our milk tea has a volume of 3 billion, that's really substantial."}, {"path": "tedlium_9187.wav", "duration": 11.28, "text": "Having our shares listed on a major exchange was a key priority for Vistra, after emerging from bankruptcy, and we are very pleased to upheave the uplisting in line with the time line we've previously communicated."}, {"path": "tedlium_9188.wav", "duration": 11.28, "text": "Nevertheless, the electricity market structure in ERCOT is, in our view, the most constructive for retail competition, particularly those with a strong set of capabilities."}, {"path": "tedlium_9189.wav", "duration": 11.28, "text": "mild temperatures during the 2016 quarter had a negative impact on truck service despite the stronger oil change business this quarter versus the 2015 first quarter."}, {"path": "tedlium_9190.wav", "duration": 11.28, "text": "Bad news that it costs to have a bad quarter. So the full year numbers are not that aggressive. But going forward, I think we"}, {"path": "tedlium_9191.wav", "duration": 11.28, "text": "The outlook is therefore uncertain, and that's particularly true in the Eurozone, where the intersection of policy actions, political decisions and market confidence"}, {"path": "tedlium_9192.wav", "duration": 11.28, "text": "that will be going out into the market starting in -- it's already in the market a little bit, but as far as really getting into really broad distribution, in November."}, {"path": "tedlium_9193.wav", "duration": 11.28, "text": "Not only is this the right time for a transition to new roles, but Debra is absolutely the right person to lead RAI and its companies to the next level."}, {"path": "tedlium_9194.wav", "duration": 11.28, "text": "We will be giving you a full update on our plans to continue growing our businesses and advancing our transforming tobacco agenda at our Investment Day event in November."}, {"path": "tedlium_9195.wav", "duration": 11.28, "text": "Coming off a strong second quarter, we knew we had a lower level of renewals this quarter. While we closed a similar number of large deals this quarter as last year, they generated lower overall revenue."}, {"path": "tedlium_9196.wav", "duration": 11.28, "text": "Specifically, the challenging market for energy commodities this year has bled over to equity values for midstream energy companies. And because we have a significant backlog of projects, growth projects,"}, {"path": "tedlium_9197.wav", "duration": 11.28, "text": "In Canada, we expect our rig count will average 2 rigs during the first quarter. Please remember that the rig count in Canada during the second quarter will be affected by typical seasonal factors."}, {"path": "tedlium_9198.wav", "duration": 11.28, "text": "Before I turn over to Barry for the review of the financials, I want to reiterate the many benefits for each one of our key stakeholders. For our campus partners,"}, {"path": "tedlium_9199.wav", "duration": 11.28, "text": "We're pleased with both our absolute and relative investment returns in this challenging rate environment and aim to capitalize on investment opportunities to maximize risk-adjusted returns."}, {"path": "tedlium_9200.wav", "duration": 11.28, "text": "These were the primary drivers of the second quarter decline shown in this line. Otherwise, there were no significant unusual or unexpected items in our second quarter noninterest revenue results."}, {"path": "tedlium_9201.wav", "duration": 11.28, "text": "Credit quality will continue to be a primary focus of our team, as we move forward. Moving on to mortgage and insurance. The tables on Slide 10 provide a 5-quarter look at our results for each product offering."}, {"path": "tedlium_9202.wav", "duration": 11.28, "text": "We did receive a favorable response from the regulators, and there is an opportunity for Nuvo to submit a revised registration dossier containing our existing clinical data to select EU member states"}, {"path": "tedlium_9203.wav", "duration": 11.28, "text": "The company believes that core EPS provides useful information to investors regarding financial performance because it is one method the company uses to measure its financial condition and results of operations."}, {"path": "tedlium_9204.wav", "duration": 11.28, "text": "Got it. So would you say you've got some contingency plans already? Because I know when we've talked, my sense is you think about this quite a bit even before this?"}, {"path": "tedlium_9205.wav", "duration": 11.28, "text": "quite well building a balance sheet with superior profitability and lower risk in 2016. Another one of our strategies for building a great company is to diversify our profit and revenue sources,"}, {"path": "tedlium_9206.wav", "duration": 11.28, "text": "and it does make life difficult for active asset managers, particularly those who're very disciplined in their approach to identifying long-term value."}, {"path": "tedlium_9207.wav", "duration": 11.28, "text": "We've taken actions to improve investment performance and continue to invest in innovation through increasing our new active offerings and growing our advisor platforms."}, {"path": "tedlium_9208.wav", "duration": 11.28, "text": "We collect a lot of core data. And our goal with all that is to find better and better inventory than we currently have. We think that is"}, {"path": "tedlium_9209.wav", "duration": 11.28, "text": "instead of subcontracting services, we will allow our partners to directly paper or contract delivery and implementation services with our clients."}, {"path": "tedlium_9210.wav", "duration": 11.28, "text": "While this is a relatively small contract, we are excited to have reached an agreement because we believe there could be additional cities in the region that are interested in a similar solution."}, {"path": "tedlium_9211.wav", "duration": 11.28, "text": "So we're going to continue to watch it. If there's a good opportunity to monetize the asset in the Caribbean, we think can get decent pricing for it, we're going to do that. I think the reason you haven't seen us be more proactive on that front the last couple of years"}, {"path": "tedlium_9212.wav", "duration": 11.28, "text": "begins to see significant overcapacity if we really get a downturn of consequence, we can begin to see some margin erosion around the edges on the spot business."}, {"path": "tedlium_9213.wav", "duration": 11.28, "text": "setting expectations at a reasonable level and hitting them and also congratulate you for getting an excellent reinsurance deal and look forward to"}, {"path": "tedlium_9214.wav", "duration": 11.28, "text": "the islands. We have given you the impact of this same incentive that was provided only for interisland movements. Now this incentive or this subsidy will be applied as well"}, {"path": "tedlium_9215.wav", "duration": 11.28, "text": "and paying down debt and then more recently with our stock price where it was, we did have an opportunity to go out and buyback stock at a price that we"}, {"path": "tedlium_9216.wav", "duration": 11.28, "text": "the nature of our underlying business is such that it will differentiate us from other MLPs in the space, and so we will be able to use"}, {"path": "tedlium_9217.wav", "duration": 11.28, "text": "So would -- is there any spending that you would have to incur in the near or medium term towards asset retirement in Germany? Or is that all in line with the rest of your reserve report? I believe you talk about"}, {"path": "tedlium_9218.wav", "duration": 11.28, "text": "At the bottom line, we expect to benefit from incremental leverage as sales improve each quarter and as we work through the operational challenges we discussed,"}, {"path": "tedlium_9219.wav", "duration": 11.28, "text": "Specific to the E3 program, we now have lean transformation activities either planned or being implemented in nearly 3 million square feet of space throughout our global operations."}, {"path": "tedlium_9220.wav", "duration": 11.28, "text": "of Esterline's normal and usual and historic performances across the board. We do not see that repeating as we go through the balance of the year."}, {"path": "tedlium_9221.wav", "duration": 11.28, "text": "one, what we said is that CICP is one of the highest profile where margin -- inorganic pigments in the pigments space."}, {"path": "tedlium_9222.wav", "duration": 11.28, "text": "Our performance reflects the benefits of our disciplined approach to executing on our priorities and positions us well for the remainder of 2016 and beyond."}, {"path": "tedlium_9223.wav", "duration": 11.28, "text": "Domestically, the Fox and Disney superheroes, including those animated superheroes, propelled the industry box office to be the highest-grossing quarter of all time."}, {"path": "tedlium_9224.wav", "duration": 11.28, "text": "We frequently review our portfolio and consider divesting certain smaller brands not material to our business when the opportunity arises."}, {"path": "tedlium_9225.wav", "duration": 11.28, "text": "We continue to have a robust capital position and a business model that generates considerable free cash flow. This provides flexibility to return healthy amounts of capital to shareholders,"}, {"path": "tedlium_9226.wav", "duration": 11.28, "text": "Despite these market segment weaknesses, the operating businesses have done a very nice job of containing costs and maintaining respectable margin levels within those product lines."}, {"path": "tedlium_9227.wav", "duration": 11.28, "text": "and clearly we would have some time between now and that conversion date to decide if we are happy with that, or if there's anything else we would like to do to prevent any form of dilution to our stake."}, {"path": "tedlium_9228.wav", "duration": 11.28, "text": "And I just had a question surrounding the tax benefit in the quarter. Was that mainly attributable to the tax refund that you had discussed in the previous quarter?"}, {"path": "tedlium_9229.wav", "duration": 11.28, "text": "While we are pleased with this activity, I should note that our normal seasonality within the quarter results in the majority of our first quarter revenue and profit being generated in March."}, {"path": "tedlium_9230.wav", "duration": 11.28, "text": "By increasing our reorder points on a few key SKUs, we strive to ensure that the product is at the store versus our distribution centers and are there when the customer wants to take it."}, {"path": "tedlium_9231.wav", "duration": 11.28, "text": "But I feel very, very good about what I see going on in the organization in terms of expense discipline, focus on controlling and managing expenses."}, {"path": "tedlium_9232.wav", "duration": 11.28, "text": "Got it. And then just in terms of the lower revenue guidance, lower margins, how should we think about the weather impact versus the impact of the higher competition and the higher cost?"}, {"path": "tedlium_9233.wav", "duration": 11.28, "text": "We completed our secondary public offering of 5.1 million shares in May, which has helped to improve liquidity of our shares in the public marketplace and expand our investor base."}, {"path": "tedlium_9234.wav", "duration": 11.28, "text": "Any forward-looking statements made by us in today's conference call is based solely on information currently available to us and speaks only as of the date on which it is made."}, {"path": "tedlium_9235.wav", "duration": 11.28, "text": "incremental wins that you've seen as a result of the supply chain pressure that the airframe OEMs are putting on the supply chain? Is there any kind of color you can give us there on the pipeline and the opportunity set?"}, {"path": "tedlium_9236.wav", "duration": 11.28, "text": "Financial services marketing in Canada is massive and measured in the trillions. And like many other industries, it's continuing to undergo a fundamental shift as it transitions to a mobile-first digital experience."}, {"path": "tedlium_9237.wav", "duration": 11.28, "text": "Secondly, you recently launched extended and complete benefits to Simyo customers. I think it was earlier this week. I was just wondering how big an opportunity this could be for you to take share"}, {"path": "tedlium_9238.wav", "duration": 11.28, "text": "It's been 2 weeks since we have been pre-released the key figures for the first half year. So I will keep my comments on the figures short today."}, {"path": "tedlium_9239.wav", "duration": 11.28, "text": "Obviously, there are a variety of things that could cause these percentages to vary from historical averages, such as the timing of significant wage or owner-operator pay increases,"}, {"path": "tedlium_9240.wav", "duration": 11.28, "text": "We anticipate that a proposed order will be considered by the PUCT on Thursday, August 18. Once approved, we will record the effects of the settlement for financial reporting purposes."}, {"path": "tedlium_9241.wav", "duration": 11.28, "text": "of our continued confidence in Compugen, could you talk a little bit about what the skin in the game of these folks are, going forward,"}, {"path": "tedlium_9242.wav", "duration": 11.28, "text": "We expect all but one of these sales will occur over the remainder of 2018, the expected delay of one being due to a potentially longer HUD approval process."}, {"path": "tedlium_9243.wav", "duration": 11.28, "text": "We improved manufacturing efficiencies and continued to drive our commitment to regulatory excellence. As a result, we generated substantial cash from operations during the quarter,"}, {"path": "tedlium_9244.wav", "duration": 11.28, "text": "This would more than double free cash generation in the prior year or, for that matter, any of the last 3 fiscal years, demonstrating the potential of the business following our recent period of integration investments."}, {"path": "tedlium_9245.wav", "duration": 11.28, "text": "for greater profitability in periods beyond FY '20. A portion of the incremental integration expenses relates to establishing a new international corporate structure"}, {"path": "tedlium_9246.wav", "duration": 11.28, "text": "It's these environments where if it's long and steady increase, it's not a huge quarterly impact, and you've seen that in the last 3 quarters for us."}, {"path": "tedlium_9247.wav", "duration": 11.28, "text": "Well, again, I would kind of go back to my earlier comments, which I feel like the second quarter was a very strong revenue performance."}, {"path": "tedlium_9248.wav", "duration": 11.28, "text": "have made it clear to the networks that their desire for the affiliates that they have made abundantly clear last year is even stronger now that they're trying to get to market."}, {"path": "tedlium_9249.wav", "duration": 11.28, "text": "in the past it was more about having big accounts and whatever they did, regardless of whether they grew or not, you did really well. Now you really need to grow to continue to increase your earnings."}, {"path": "tedlium_9250.wav", "duration": 11.28, "text": "In the near term, this means we're taking on more inventory and holding it longer in order to service this market. Therefore, we expect to see some fluctuation in cash flows as we work through these changes."}, {"path": "tedlium_9251.wav", "duration": 11.28, "text": "Both segments offer attractive opportunities for enhancing profits through manufacturing excellence and extending industry leadership with new products and solutions."}, {"path": "tedlium_9252.wav", "duration": 11.28, "text": "It is important to note that we have a positive relationship with this customer and continue to expect to provide them with a value-added product going forward."}, {"path": "tedlium_9253.wav", "duration": 11.28, "text": "Over the last couple of years, we've focused a lot of attention on building out our good, better, best assortment in man-made product categories such as porcelain and ceramic tile."}, {"path": "tedlium_9254.wav", "duration": 11.28, "text": "So I would like to know what you believe to be the main reason behind this. The second question that I would like to ask you is that if you look at metal prices, for batteries, it seems to be that for cobalt, on a per tonne basis,"}, {"path": "tedlium_9255.wav", "duration": 11.28, "text": "but quarterly comparisons have trended positively as the year has progressed. ChoiceLease revenue increased by 4% due to fleet growth and higher prices on replacement vehicles."}, {"path": "tedlium_9256.wav", "duration": 11.28, "text": "You can't do that in a greenfields underground project. So it's the execution piece that we'll be very focused on in the next couple of years. Adrian, you know me well enough to know that I'm a glass half empty person,"}, {"path": "tedlium_9257.wav", "duration": 11.28, "text": "I don't believe that you'll get through a straight MOPR-Ex with complete exemptions that shuts out the states."}, {"path": "tedlium_9258.wav", "duration": 11.28, "text": "Our new U.S. organization allows us to better serve our customers and suppliers by bringing the right expertise and a tailored supply chain to meet their needs."}, {"path": "tedlium_9259.wav", "duration": 11.28, "text": "This was partially offset by acquisitions and strong organic growth in Americas, EMEIA and the Asia Pacific mechanical and electronic hardware business."}, {"path": "tedlium_9260.wav", "duration": 11.2799375, "text": "the perspective of Oklahoma. And the first thing I'm going to do is to start off where Barry ended his prepared remarks and talked about the quality of our team."}, {"path": "tedlium_9261.wav", "duration": 11.25, "text": "We're investing heavily in capital equipment for etching lasers and testing final products, and we're working to improve yields and increase factory productivity from our existing asset base."}, {"path": "tedlium_9262.wav", "duration": 11.25, "text": "As Darin and Patricia have both mentioned in various investment conferences, we have added a lot more eggs in our basket of growth, making us less dependent on any single partner,"}, {"path": "tedlium_9263.wav", "duration": 11.25, "text": "Over the past year, we've been fortunate to attract and retain a number of talented managers to our company to augment the existing team and capitalize on the depth and breadth of their knowledge."}, {"path": "tedlium_9264.wav", "duration": 11.25, "text": "cash outflow will increase significantly. But we expect that we will be able to address it within the profit and loss of the period. It"}, {"path": "tedlium_9265.wav", "duration": 11.25, "text": "That is not to say that the current price is provisional. The current agreed price is not the price under the normal mechanism. That is what I would like to say."}, {"path": "tedlium_9266.wav", "duration": 11.25, "text": "This will enable us to phase out some of the traditional environments in KPN and reduce operating costs considerably."}, {"path": "tedlium_9267.wav", "duration": 11.25, "text": "So in order to keep the credit facility a bit lower, because the credit facility actually has a direct influence on the mortgage level you can take in the Netherlands, with quite a high"}, {"path": "tedlium_9268.wav", "duration": 11.25, "text": "I know from my experience and in the markets that if we do not address these challenges and opportunities immediately and decisively,"}, {"path": "tedlium_9269.wav", "duration": 11.25, "text": "yet has the added benefit of diversification. These returns are outsized relative to the absolute level of global yield alternatives and we believe, helps explain the strong performance of our stock,"}, {"path": "tedlium_9270.wav", "duration": 11.25, "text": "when a lot of these people are coming forward with their plans and their commitment and their money, so that's where we are. Long answer... Is there anything further with the Mansour Group and the Egyptian market?"}, {"path": "tedlium_9271.wav", "duration": 11.25, "text": "Now let's discuss our current outlook for 2019. We are reaffirming our full year 2019 sales and earnings guidance established in February."}, {"path": "tedlium_9272.wav", "duration": 11.25, "text": "it then also fairly close in terms of sales to the farm and agri part of it, because a lot of these sales is actually going into the farmer community as well. So that is why we see a link in that."}, {"path": "tedlium_9273.wav", "duration": 11.25, "text": "Auto component suppliers who signed up for work-out programs went bankrupt. There was increased exposure to loans that are expected to normalize in the second half."}, {"path": "tedlium_9274.wav", "duration": 11.25, "text": "to do to this. There's some taste masking that we're adding to this initial formulation. It's all the usuals. It's all of the standard things that you would imagine that you would do if you want to have a"}, {"path": "tedlium_9275.wav", "duration": 11.25, "text": "And as you know, we focus a lot on innovations in Orkla, and I'll give you a few examples, going through each of the business areas."}, {"path": "tedlium_9276.wav", "duration": 11.25, "text": "As we look ahead to the balance of the year, we are excited about the pending acquisition of NOVADAQ, which will add a key growth driver to our high-performing Endoscopy division."}, {"path": "tedlium_9277.wav", "duration": 11.25, "text": "But it's going to vary quarter to quarter based on the timing of some of these studies as well as the investments that we and our competitors are making to really help build the referral channel, which is going to be a multiyear process."}, {"path": "tedlium_9278.wav", "duration": 11.25, "text": "Under this scenario, the total shareholder economics are higher when one includes the value to a shareholder of the retained earnings at Ares and the corresponding growth in our book value."}, {"path": "tedlium_9279.wav", "duration": 11.25, "text": "Despite our excellent performance, our market cap is pretty much where it was a year ago. Last quarter, I thought that one of the issues was that we are not doing a good job of telling our story."}, {"path": "tedlium_9280.wav", "duration": 11.25, "text": "So we have switched to an active and regular management of what we call the case mix, just like in hospital,"}, {"path": "tedlium_9281.wav", "duration": 11.25, "text": "Our international sales trends were generally consistent with our expectation. We had additional shipments planned for the second quarter that will now be realized in the third and fourth quarter."}, {"path": "tedlium_9282.wav", "duration": 11.25, "text": "ordering scheme. And that gives them pressure on how to deal with the available capacities which they have as there is no volume coming into the market."}, {"path": "tedlium_9283.wav", "duration": 11.25, "text": "There are also no significant changes to report in our Pennsylvania capital plan, with a slight increase driven by additional reliability in other projects in providing our electric service to our customers."}, {"path": "tedlium_9284.wav", "duration": 11.25, "text": "Importantly, largely because I suspect the regulations are beginning to take effect and people are now well aware of their increased liabilities and risks,"}, {"path": "tedlium_9285.wav", "duration": 11.25, "text": "I would set as an objective that this year, when the year is over, that we have double-digit net income margins and very meaningful free cash flow."}, {"path": "tedlium_9286.wav", "duration": 11.25, "text": "which is already included in the full year expectation. Given the great results in our Payments segment, it's clear that we are getting very strong returns from our investment in new innovation."}, {"path": "tedlium_9287.wav", "duration": 11.25, "text": "Our long-term financial strategy continues to be aimed at positive sales growth in a stable trading environment with a sharp focus on lower costs and reduced complexity across our businesses."}, {"path": "tedlium_9288.wav", "duration": 11.25, "text": "Good morning, everyone, and thank you very much for joining us this morning in our conference call. So I would like to start on Page 2, where we"}, {"path": "tedlium_9289.wav", "duration": 11.25, "text": "Regarding depreciation and amortization expense. We believe that the first quarter amount is a reasonable run rate estimate for an average remaining 2016 quarter"}, {"path": "tedlium_9290.wav", "duration": 11.25, "text": "Most of those solutions involve us taking our machine technologies and many times software solutions that we have embedded within that machine technology to really drive"}, {"path": "tedlium_9291.wav", "duration": 11.25, "text": "In Spain, we also have the best quarter ever with a very good production, thanks in part to very good solar radiation."}, {"path": "tedlium_9292.wav", "duration": 11.25, "text": "Further analysis of the safety database from the initial 8-week double-blind treatment period presented at the conference showed that sparsentan was generally safe and well tolerated."}, {"path": "tedlium_9293.wav", "duration": 11.25, "text": "by us moving away from traditional products more into unit-linked products. And we are also driving this, so we actually, we are acting on all the 3 levers"}, {"path": "tedlium_9294.wav", "duration": 11.25, "text": "As mentioned at the beginning of my remarks, looking at our results for the first and second quarters, we remain favorably positioned in the market, and as such, we are rating guidance -- raising guidance for the year."}, {"path": "tedlium_9295.wav", "duration": 11.25, "text": "We have also seen cost savings in our expansion projects and as demonstrated by the adjustments to the backlog, we are rightsizing the spend in this segment in light of the current commodity price environment."}, {"path": "tedlium_9296.wav", "duration": 11.25, "text": "to support that and really support getting a solid return on that investment. So we do have option to add capacity in the Permian at Oakdale actually at Hixton, those are all low cost options to us, but"}, {"path": "tedlium_9297.wav", "duration": 11.25, "text": "Taking into account our results through the first 6 months of our fiscal year, current market conditions in North Dakota and the impact of recent sale activity,"}, {"path": "tedlium_9298.wav", "duration": 11.25, "text": "Our promotional expenses are up because of some of our campaigns and because of TrueYou points, which we've -- we're pushing much more aggressively for commercial reasons. We can discuss if you're interested."}, {"path": "tedlium_9299.wav", "duration": 11.25, "text": "But we always are monitoring all our opportunities. I mean, we like the credit strategy. We think it's a little bit more manageable in the current environment than an Agency strategy."}, {"path": "tedlium_9300.wav", "duration": 11.25, "text": "Now a few words on the first result of the action plan explained in March in order to return to strong growth and higher profitability."}, {"path": "tedlium_9301.wav", "duration": 11.25, "text": "And so, obviously, you can't tell what the revenue is going to be like for the year. That thought process doesn't change your appetite for the buyback in the front half?"}, {"path": "tedlium_9302.wav", "duration": 11.25, "text": "We will continue to focus resources on growing our presence online as well as enhancing our in-store experience in order to deliver a seamless all-channel experience."}, {"path": "tedlium_9303.wav", "duration": 11.25, "text": "but some with new clients interested in Spend Analytics insights. I will now let Pete walk you through the details of our first quarter, and then I will provide some further color"}, {"path": "tedlium_9304.wav", "duration": 11.25, "text": "We are extremely pleased to have undertaken this important step in our company's growth, and I think it fits with our organizational DNA to be leaders rather than followers in all that we do."}, {"path": "tedlium_9305.wav", "duration": 11.25, "text": "American Chartered's revenues and fees and loans and deposits are fully present in the fourth quarter, but only partially present in the third, making it hard to understand balance sheet growth."}, {"path": "tedlium_9306.wav", "duration": 11.25, "text": "but want to retire some airplanes, they're going to retire the older airplanes first. So the Rolls-Royce share of the underlying growth in the market"}, {"path": "tedlium_9307.wav", "duration": 11.25, "text": "managing some annuities in France and part of the indexation previously was paid by the state. We are referring to very old annuities dating from 60 years ago."}, {"path": "tedlium_9308.wav", "duration": 11.25, "text": "But the story is a good new story. We've seen strength in those markets. We expect to see strength in those markets going forward. And for those to be above the IDEX average in terms of growth."}, {"path": "tedlium_9309.wav", "duration": 11.25, "text": "to every single tumor mutation. Using that information, we identify both the neoantigens against which we want to amplify and concentrate immune responses"}, {"path": "tedlium_9310.wav", "duration": 11.25, "text": "and we are confident that these businesses will grow earnings in 2016. Now I'll ask you to turn your attention to Slide 9 for a review of our Composites business."}, {"path": "tedlium_9311.wav", "duration": 11.25, "text": "the potential negatives would largely be offset by the lower tax rate. So in short, we believe it's really not an issue for our portfolio company, but we are paying very close attention to it."}, {"path": "tedlium_9312.wav", "duration": 11.25, "text": "but is reflected in the announcement we made yesterday concerning our latest diagnostic approach in tests. The approval received from the New York State Department of Health of our third molecular test,"}, {"path": "tedlium_9313.wav", "duration": 11.25, "text": "the wholesale business from Gibson. Gibson has provided some sort of guidance range of EBITDA that they expect from that business"}, {"path": "tedlium_9314.wav", "duration": 11.25, "text": "in that country with the acquisition of Kinh Do. So we will continue to look for opportunities to supplement our basic footprint, but we feel quite good about the overall footprint"}, {"path": "tedlium_9315.wav", "duration": 11.25, "text": "certainly disclose anything of significance as they happen, but there is a very healthy pipeline of potential customers in the future that we think we should be able to monetize on."}, {"path": "tedlium_9316.wav", "duration": 11.25, "text": "we launched wave 3 of the initiative in January, identifying several more product areas to focus on and business functional spending targets that can be improved upon."}, {"path": "tedlium_9317.wav", "duration": 11.25, "text": "that did impact our results. Although there was no direct damage to our facilities from these incidents, both events affected volumes on our Discovery and Markham systems, respectively."}, {"path": "tedlium_9318.wav", "duration": 11.25, "text": "These forward-looking statements and all other statements made during this meeting that do not concern historical facts are subject to risks and uncertainties that may materially affect actual results."}, {"path": "tedlium_9319.wav", "duration": 11.25, "text": "We will continue to integrate business acquisitions made in the past 2 years in order to capture cross-selling opportunities across our network."}, {"path": "tedlium_9320.wav", "duration": 11.25, "text": "We also saw strong service revenue from our large and growing base of installed systems. For the year, Europe grew 8%, delivering strong and steady results throughout the year."}, {"path": "tedlium_9321.wav", "duration": 11.25, "text": "And lastly, we've benefited from strong alternative investment results in the quarter. I'm pleased with overall progress of the company, and I look forward to updating you again next quarter Thanks for your time today and thanks for your interest."}, {"path": "tedlium_9322.wav", "duration": 11.25, "text": "We have -- we purchase hogs that are very focused to be used in value-added products, which, sometimes, are slightly different than what you might see in the open market."}, {"path": "tedlium_9323.wav", "duration": 11.25, "text": "We expect the strong demand for the Switch to continue to outpace supply for much of the year, and we expect to continue to have market-leading share and attractive attach and profit."}, {"path": "tedlium_9324.wav", "duration": 11.25, "text": "And finally, we are focused on returning cash to shareholders through a combination of opportunistic share repurchases and dividends, which I will touch on with more detail in a moment."}, {"path": "tedlium_9325.wav", "duration": 11.25, "text": "It is aged for at least 12 years, expertly crafted by our small team of 12 blenders and is widely recognized by whiskey experts."}, {"path": "tedlium_9326.wav", "duration": 11.25, "text": "These strategies will help to improve the timing of our seasonal product deliveries by region, allowing us to get the right products to the right location at the right time."}, {"path": "tedlium_9327.wav", "duration": 11.25, "text": "We expect our T cells to essentially grow in the patient with essentially the tumor chipping away at the tumor and have a much different safety profile than others."}, {"path": "tedlium_9328.wav", "duration": 11.25, "text": "you a little bit about your comment about the changing of the tire mix a little bit. And it sounded like to me that you guys were planning on mixing up the tires and maybe going towards a little bit more premium."}, {"path": "tedlium_9329.wav", "duration": 11.25, "text": "As you might expect, the performance business has a heavier exposure to the Asian markets while the ag business is more heavily weighted towards Latin America."}, {"path": "tedlium_9330.wav", "duration": 11.25, "text": "I spent the last 8 weeks traveling to several of our offices around the globe, meeting with employees and learning the details of the business. And I'm pleased to work report that I've discovered a number of very encouraging facts."}, {"path": "tedlium_9331.wav", "duration": 11.25, "text": "and then get better through the quarter. Point of sale at Fluke, as an example, clearly got better through the quarter. Matco got better in March. So we did see some trends that were improving through the quarter,"}, {"path": "tedlium_9332.wav", "duration": 11.25, "text": "And the second one is on legal review. You said that it's going well and will be concluded shortly. And I noticed that you bought back all the preference shares, so I was wondering if you have any comments on"}, {"path": "tedlium_9333.wav", "duration": 11.25, "text": "It's minimal direct impact to our business. We do plan it, we took advantage of it when it's a real peak and valley kind of a demand environment."}, {"path": "tedlium_9334.wav", "duration": 11.25, "text": "Regulatory considerations, nevertheless, made it difficult for insiders or for the company to enter the market and buy our stock prior to announcing our quarterly results."}, {"path": "tedlium_9335.wav", "duration": 11.25, "text": "The other thing that's interesting is that the KOLs have been really helpful for us as well in terms of being excited about the outcome of the study and also in terms of"}, {"path": "tedlium_9336.wav", "duration": 11.25, "text": "One example is we always try to get our vendors to consign their materials here, raw materials. It's great for us if we can get a consignment program"}, {"path": "tedlium_9337.wav", "duration": 11.25, "text": "we don't see a changing increase or a change in consumer demand for the next couple of months or quarters, and that drives our business model very much."}, {"path": "tedlium_9338.wav", "duration": 11.25, "text": "for the third quarter of 2018. Including the impact of the AMPS transaction I mentioned earlier, we reported a net loss attributable to common stockholders"}, {"path": "tedlium_9339.wav", "duration": 11.25, "text": "We are very encouraged by order rates, we're seeing in all 3 segments, particularly in the Advanced Technology segment, where demand for our solutions is strong across electronic and medical end markets."}, {"path": "tedlium_9340.wav", "duration": 11.25, "text": "as well as earlier equipment purchases due to longer manufacturer lead times and purchasing equipment ahead of potential steel surcharges later in the year."}, {"path": "tedlium_9341.wav", "duration": 11.25, "text": "As you recall, absorption is a metric that reflects the ability of our parts, service and rental gross profit to absorb fixed operating costs."}, {"path": "tedlium_9342.wav", "duration": 11.25, "text": "Loaded miles per tractor per week was down 2% for 2 quarters in a row now. Would you expect that to continue as long as the environment is loose? What makes it get better and what drives it worse?"}, {"path": "tedlium_9343.wav", "duration": 11.25, "text": "We continue to take a highly disciplined and selective approach to new investments. And while we are passing on many opportunities, we have a strong pipeline of potential investments that meet our standards."}, {"path": "tedlium_9344.wav", "duration": 11.25, "text": "just keep it, put it in the back office, leave it in place and we could add value around it and come to us for more advanced technologies as you go along your journey."}, {"path": "tedlium_9345.wav", "duration": 11.25, "text": "And as you could appreciate, we couldn't hire fast enough to get additional resources to do this. So we also had to onboard contractors and partners to help us in this journey and we did that"}, {"path": "tedlium_9346.wav", "duration": 11.25, "text": "But in the current quarter, you have recurring revenue, you're not recognizing all the recurring revenue for the deal, you're just recognizing the recurring revenue that's associated with this quarter."}, {"path": "tedlium_9347.wav", "duration": 11.25, "text": "in gaining more services in the clients where we are today than gaining more new clients. We have a great opportunity"}, {"path": "tedlium_9348.wav", "duration": 11.25, "text": "We are confident that our business fundamentals will remain intact in the short and midterm regardless of any outcome of these big exogenous factors."}, {"path": "tedlium_9349.wav", "duration": 11.25, "text": "customers would find it more beneficial to use the service longer period of time, and we're going to stage this"}, {"path": "tedlium_9350.wav", "duration": 11.25, "text": "We're now seeing the benefits of our bifurcation strategy with Modular Solutions gaining momentum and our industrial services business showing signs of improvement. Modular Solutions."}, {"path": "tedlium_9351.wav", "duration": 11.25, "text": "With regards to aboriginal housing initiatives, the federal government's commitment to improving aboriginal housing across this country as we move through the end of the decade, remains a federal priority."}, {"path": "tedlium_9352.wav", "duration": 11.25, "text": "The name of the game for us now in mobile in Colombia is simplicity. We used to have a dozen plans that was confusing for our customers and it made like difficult for our salespeople and our customers care agents."}, {"path": "tedlium_9353.wav", "duration": 11.25, "text": "by the impact from purchase accounting in addition to higher loan fees and earning asset yields, which were driven by increased interest rates and a restructuring of the investment portfolio."}, {"path": "tedlium_9354.wav", "duration": 11.25, "text": "Zack, I -- it was a little hard to hear you, but I think you were asking about the impact of the flu on the medical care ratio. Is that right? Yes, in the quarter and that versus everything else."}, {"path": "tedlium_9355.wav", "duration": 11.25, "text": "That means consumers can see what their personal out-of-pocket costs will be for a specific treatment at a specific facility performed by a specific doctor."}, {"path": "tedlium_9356.wav", "duration": 11.25, "text": "before you consider competing there? And -- or do you think that just like brands and low fares alone are simply enough to sort of have a Southwest Effect in the traditional sense in that market?"}, {"path": "tedlium_9357.wav", "duration": 11.25, "text": "We remain confident in the strength of our construction markets as geographies not impacted by severe weather, such as the Southeast, continue to perform in line with our expectations."}, {"path": "tedlium_9358.wav", "duration": 11.25, "text": "Today's webcast is accompanied by a slide presentation, which can be found in the investors section of Luxfer's website. We'll refer to these slides throughout our prepared remarks."}, {"path": "tedlium_9359.wav", "duration": 11.25, "text": "I would like to say that the first quarter has been summarized and that we expect the following for the rest of the year. In the first place, we are on"}, {"path": "tedlium_9360.wav", "duration": 11.25, "text": "levels of discount proportional to their size and how often they buy, such as the case of other players in the market. And we are going to avoid the spot"}, {"path": "tedlium_9361.wav", "duration": 11.25, "text": "highly competitive marketplace. We have previously planned to offset this decline with a strong second half of the year aided, in large part, by solid growth in our enterprise customer segment."}, {"path": "tedlium_9362.wav", "duration": 11.25, "text": "Overall, our ongoing assessment of both the short-term and long-term opportunities and risks for our business model supports our belief that the RV industry is positioned to grow well above the RVIA's current forecast"}, {"path": "tedlium_9363.wav", "duration": 11.25, "text": "As Brian indicated, at a time when other traditional toy companies are struggling, we are reiterating our full year outlook and feel very good about the underlying trends in our business."}, {"path": "tedlium_9364.wav", "duration": 11.25, "text": "Before we begin our presentation, I encourage all listeners to review the safe harbor statements included on Slides 2 and 3 in the investor presentation on our website, which explain the risks of forward-looking statements,"}, {"path": "tedlium_9365.wav", "duration": 11.25, "text": "Now let me start by outlining what I will cover today. I will provide an update on key sales wins in the quarter as well as an update on several key areas of the business,"}, {"path": "tedlium_9366.wav", "duration": 11.25, "text": "Jim? Thanks, Greg, and good morning, everyone. I'm going to speak mainly about pricing and demand for our carbon steel and alloy products as well as our outlook on certain key"}, {"path": "tedlium_9367.wav", "duration": 11.25, "text": "So I think when you look at the power margins, as George said, it's 100 basis points in the first quarter, that transportation and logistics will probably continue"}, {"path": "tedlium_9368.wav", "duration": 11.25, "text": "and meet our clients. Some of them are starting to do Live Chat and if they do any Live Chat, then obviously we credit Amazon for the sale."}, {"path": "tedlium_9369.wav", "duration": 11.25, "text": "this just got started in this last quarter and the last quarter for the government is when they do tend to give large orders."}, {"path": "tedlium_9370.wav", "duration": 11.2499375, "text": "These statements are based upon management's current expectations, projections and assumptions and are by nature uncertain. Actual results may differ materially."}, {"path": "tedlium_9371.wav", "duration": 11.2200625, "text": "If you should have other questions afterwards, we will open the line to the floor. This will be our procedures today."}, {"path": "tedlium_9372.wav", "duration": 11.22, "text": "capture that demand and hopefully, present them with another Carlyle opportunity, I can't tell you whether it's coming to Carlyle or not coming to Carlyle. I think there is a handful of"}, {"path": "tedlium_9373.wav", "duration": 11.22, "text": "outlook, revenue outlook, you have a range. So I'm thinking about the change in marginal profitability, or is it because of differences in cost? Is that in your assumptions?"}, {"path": "tedlium_9374.wav", "duration": 11.22, "text": "So there was some loss of market share. We have refocused that. We've also broadened our product offering and are offering system solutions"}, {"path": "tedlium_9375.wav", "duration": 11.22, "text": "Our focus is on delivering the right level of services to grow subscriptions and to make customers successful on our platform as we continue to build virtual capacity with our SI partners."}, {"path": "tedlium_9376.wav", "duration": 11.22, "text": "mostly across verticals and across all major companies, they're realizing the need to lean into software development itself and to modernize their methods and their technologies."}, {"path": "tedlium_9377.wav", "duration": 11.22, "text": "a couple of years ago, it continues to be robust. With that said, lumping emerging markets together today is not a good idea because you have very different dynamics in terms of what's occurring"}, {"path": "tedlium_9378.wav", "duration": 11.22, "text": "We estimate that the Escondida strike reduced our EBIT margin by about 30 basis points in the quarter. And we expect a similar impact in the second quarter."}, {"path": "tedlium_9379.wav", "duration": 11.22, "text": "Good morning. My name is Anita, and I will be your conference operator today. At this time, I would like to welcome everyone to the Fourth Quarter and Full Year 2016 Earnings Call"}, {"path": "tedlium_9380.wav", "duration": 11.22, "text": "brand and technology to drive sustained growth, and we could also make small acquisitions, which have a good strategic and financially attractive rationale."}, {"path": "tedlium_9381.wav", "duration": 11.22, "text": "This is a normal part of our business, but the timing is not something we can plan for, and it does create a high base of comparison for us next year."}, {"path": "tedlium_9382.wav", "duration": 11.22, "text": "Turning now to cash flow and capital structure. As a reminder, we define free cash flow as cash flow from operations less net capital expenditures."}, {"path": "tedlium_9383.wav", "duration": 11.22, "text": "There will always be a need for safe, effective and convenient acute treatments, and obviously, an oral acute therapy would be very accessible and highly attractive for patients."}, {"path": "tedlium_9384.wav", "duration": 11.22, "text": "The Middle East is also a strong source for growth for our Process and Flow Technologies business, specifically for production chokes, water management, separation and early production equipment."}, {"path": "tedlium_9385.wav", "duration": 11.22, "text": "And equally important, our change of -- our mix in business has changed. We haven't grown the top line as fast as we would have liked or as fast as"}, {"path": "tedlium_9386.wav", "duration": 11.22, "text": "Our third quarter range does not assume any dilution related to NOVADAQ. However, if the deal closes earlier than September 30, there will be additional dilution during the quarter."}, {"path": "tedlium_9387.wav", "duration": 11.22, "text": "finalize the contract until the early part of this quarter. So we will now begin to accelerate some of that investment in the second quarter."}, {"path": "tedlium_9388.wav", "duration": 11.22, "text": "recall that we were running both the submissions to the FDA in parallel. And because of the volume of information, we decided to prioritize"}, {"path": "tedlium_9389.wav", "duration": 11.22, "text": "However, other operators in the market are now doing the same thing, and achievable values have moderated somewhat in the last couple of months. So as part of classifying the operation as discontinued,"}, {"path": "tedlium_9390.wav", "duration": 11.22, "text": "Our revenue outlook has been adjusted in fitness, outdoor and aviation, which are the segments most impacted by the economic and competitive factors mentioned previously."}, {"path": "tedlium_9391.wav", "duration": 11.22, "text": "with the sales force reduction we completed in December, we expect our sales and marketing expenses and customer acquisition costs to come in line with our peers."}, {"path": "tedlium_9392.wav", "duration": 11.22, "text": "Our variable annuity business, which is included in U.S. retail flows, has been under pressure for the past 2 years as some of our insurance partners exited the business, while others made a shift to passive."}, {"path": "tedlium_9393.wav", "duration": 11.22, "text": "it's very similar to what we have been seeing in the past. As you know, many of these transactions take longer to close. So we have been working on some of them"}, {"path": "tedlium_9394.wav", "duration": 11.22, "text": "for 3D NAND. The -- and we have some really tremendously enabling capabilities. The etch business for us is continuing to grow. Our conductor"}, {"path": "tedlium_9395.wav", "duration": 11.22, "text": "Yes. Jerry, that one has played out a little different than the hypothesis we had coming into the year and it appears to be maybe a quarter or 2 behind where we thought it would be."}, {"path": "tedlium_9396.wav", "duration": 11.22, "text": "So you're trying to get those bits and bytes to move across the country as fast as possible. This tower, which will be the largest tower in that area, will enable those customers on that to access"}, {"path": "tedlium_9397.wav", "duration": 11.22, "text": "here. Not beyond what we've already done with them, which is basically a joint ownership in the assets that are co-owned."}, {"path": "tedlium_9398.wav", "duration": 11.22, "text": "And what's great about these is once you incur the cost and the projects start, it's a very sticky business. So it will impact the fourth quarter as well as next year"}, {"path": "tedlium_9399.wav", "duration": 11.22, "text": "I believe that we have the ability to move rates on rigs where we are not locked into contracts on pricing agreements that extend for long periods of time."}, {"path": "tedlium_9400.wav", "duration": 11.22, "text": "allowing us to reach an even broader market base and solve these new security challenges. CIOs and Chief Information Security Officers and developers are only in the early stages of evaluating solutions"}, {"path": "tedlium_9401.wav", "duration": 11.22, "text": "As previously mentioned, we do not intend to issue any equity in connection with the Zephyr acquisition, and we intend to pay for the transaction with existing cash on hand."}, {"path": "tedlium_9402.wav", "duration": 11.22, "text": "However, we expect to make up most of that in the remainder of the year based on current inventory values, pre-sale's already in place and the expected lower going forward."}, {"path": "tedlium_9403.wav", "duration": 11.22, "text": "all of our compensation plan and all of our benefits that we have here. And so I wouldn't expect anything else that we would do from your standpoint to be material. But it might"}, {"path": "tedlium_9404.wav", "duration": 11.22, "text": "Since we want to be conservative with our expectations for these new agency partners, we don't want to assume they will make up the whole difference from lower revenue from small ESCOs in the short term."}, {"path": "tedlium_9405.wav", "duration": 11.22, "text": "and I believe we have made significant progress in our deal governance as we continue forward with our intelligent edge solution growth strategies. I will now turn the call back to Joel."}, {"path": "tedlium_9406.wav", "duration": 11.22, "text": "much like we have over the last 15 years, where we've opened up stores, we have noticed that it takes 12 to 18 months to get to that level where we feel good about the returns."}, {"path": "tedlium_9407.wav", "duration": 11.22, "text": "stop to delivering active phone subscriptions at the end of June, so we had very little revenue at the end of June. But"}, {"path": "tedlium_9408.wav", "duration": 11.22, "text": "And fifth, it will drive higher cash on cash returns on U.S. capital projects, as capital spending for the next 5 years will be immediately deductible for tax purposes."}, {"path": "tedlium_9409.wav", "duration": 11.22, "text": "how you compare the strength of the environment -- what you're seeing in '17 compared to what you expect for '18 and '19, based on what you will be launching and the expected ramp schedules?"}, {"path": "tedlium_9410.wav", "duration": 11.22, "text": "As I've mentioned on previous calls, we believe Japan represents a substantial market opportunity and that it would become a top 5 market for Cornerstone over time."}, {"path": "tedlium_9411.wav", "duration": 11.22, "text": "Three, we will continue to build our business in China by fostering deep connections among our partners, their families, our customers and the communities we serve."}, {"path": "tedlium_9412.wav", "duration": 11.22, "text": "will subside by the end of the year as inventories are adjusted and growth will return in 2018. Our third quarter bookings support this outlook."}, {"path": "tedlium_9413.wav", "duration": 11.22, "text": "growth of 8% to 10%, and we believe we are well positioned to achieve this goal in fiscal year 2020. With this, let me turn the call over to Lee."}, {"path": "tedlium_9414.wav", "duration": 11.22, "text": "As illustrated by this wave of deals I just outlined, we are aggressively taking advantage of the rapidly growing and high potential AVOD OTT market segment."}, {"path": "tedlium_9415.wav", "duration": 11.22, "text": "Over the past few quarters, demand for services, parts and brownfield project support that largely declined during the downturn has continued to show increasing activity across our businesses."}, {"path": "tedlium_9416.wav", "duration": 11.22, "text": "This practice area penetration reflects the diversity of relationships we have within our client organizations and supports the opportunity for growth in other significant clients."}, {"path": "tedlium_9417.wav", "duration": 11.22, "text": "That means our cover remains very healthy, which is well above any of our banking requirements of 2 and our own internal target of 5. The"}, {"path": "tedlium_9418.wav", "duration": 11.22, "text": "Similar to last quarter, we've seen more movement in institutional and commercial deposits, and deposit betas continue to be in line with or slower than our simulation modeling."}, {"path": "tedlium_9419.wav", "duration": 11.22, "text": "We entered the year with a cautious view of demand trends, and we continue to be mindful of the choppy operating environment, which is likely to persist throughout the balance of the year in many markets."}, {"path": "tedlium_9420.wav", "duration": 11.22, "text": "Naturally, if it stimulates a response to the right targets, the vaccine should work optimally. There were recently two papers published in nature that highlight this issue."}, {"path": "tedlium_9421.wav", "duration": 11.22, "text": "It's just, in my view, a matter of timing before it does get picked up on a program that's a better fit for the performance and the capabilities of our product."}, {"path": "tedlium_9422.wav", "duration": 11.22, "text": "If you'd like to see more information about this, I suggest you review the slide deck on the ZAPI project on the company's website under our Media Center, on the Presentations tab."}, {"path": "tedlium_9423.wav", "duration": 11.22, "text": "We are expanding award night redemption options across the most aspirational of our destinations. So now Wyndham Rewards members have even more exciting travel options,"}, {"path": "tedlium_9424.wav", "duration": 11.22, "text": "to serve the 1 billion families in the world. We want to develop healthy, wealthy and happy ecosystem,"}, {"path": "tedlium_9425.wav", "duration": 11.22, "text": "compete with the pipeline to the Gulf Coast by rail to the West Coast. And when we look at our supply chain cost of how we gather"}, {"path": "tedlium_9426.wav", "duration": 11.22, "text": "Despite these external factors, we continue to see positive overall trends in our volume and value share for ZADAXIN, underscoring our belief"}, {"path": "tedlium_9427.wav", "duration": 11.22, "text": "This increase reflects lower expenses, including the absence of higher-than-typical cost associated with employee benefit plans and office relocations incurred in the year-ago quarter"}, {"path": "tedlium_9428.wav", "duration": 11.22, "text": "their portfolios in the market and really leverage combinations to address overhead costs, not necessarily innovation and certainly not production"}, {"path": "tedlium_9429.wav", "duration": 11.22, "text": "systemic issues in the portfolio where -- we are seeing these are kind of idiosyncratic credit problems from individual companies that are running into trouble."}, {"path": "tedlium_9430.wav", "duration": 11.22, "text": "How are you thinking about freight if -- and I know it's not easy to separate from weather right now. But do you think freight costs for your system are going to moderate later this year?"}, {"path": "tedlium_9431.wav", "duration": 11.22, "text": "to really create a solution that offers much more than just security to our customers. Security is certainly a core component of the solution, but there are other things that we can do such as the retail where"}, {"path": "tedlium_9432.wav", "duration": 11.22, "text": "and merchants in unique and powerful ways. I'd like to now turn the call over to Bill, who will provide additional color on some of our other recent partnerships."}, {"path": "tedlium_9433.wav", "duration": 11.22, "text": "With this foundation in place, we found an excellent merger partner in Cascade, a strong community bank franchise that represents a good strategic and cultural fit for First Interstate."}, {"path": "tedlium_9434.wav", "duration": 11.22, "text": "By curating these titles based on our extensive loyalty data combined with compelling trade-in promotions, we continue to provide differentiating value for our customers."}, {"path": "tedlium_9435.wav", "duration": 11.22, "text": "and our communities, including organizing the delivery of much-needed supplies to our associates in Puerto Rico where we have 3 stores and a distribution center, within a few days of the devastation."}, {"path": "tedlium_9436.wav", "duration": 11.22, "text": "So there's sort of a whole bucket of changes in terms of the way that the business opportunity is pitched relating to how much money you're going to make, what kind of a life you're going to have, and it will be a very substantial change"}, {"path": "tedlium_9437.wav", "duration": 11.22, "text": "we have continued to deliver on our commitment to drive shareholder value through our strategy of capital discipline, returning capital to shareholders and efficiently managing our assets."}, {"path": "tedlium_9438.wav", "duration": 11.22, "text": "The purchase price for the transferred assets would be determined following receipt of third-party appraisals and subsequent negotiation and would be paid in the form of a long-term note"}, {"path": "tedlium_9439.wav", "duration": 11.22, "text": "Regardless of the business cycle, we are confident in ExxonMobil's integrated business model and our ability to create shareholder value over the long term."}, {"path": "tedlium_9440.wav", "duration": 11.22, "text": "Can you maybe describe the conversations that are going forward today in spite of the trade issues going back and forth?"}, {"path": "tedlium_9441.wav", "duration": 11.22, "text": "We are very proud to receive this recognition by Dow Jones Sustainability Index, and I believe that being a leader in sustainability is vital to preserving our competitive advantage."}, {"path": "tedlium_9442.wav", "duration": 11.22, "text": "And unsurprisingly, it's come out of the categories that we've been talking about. On the left-hand side, you can see the relative absolute growth of gross rent in each of these broad categories,"}, {"path": "tedlium_9443.wav", "duration": 11.22, "text": "pad was originally scheduled as another single well test, and we're currently evaluating accelerating the timing of that pad, as well as whether or not we'll make it a 2-well pad."}, {"path": "tedlium_9444.wav", "duration": 11.22, "text": "and Air Transport Services Group undertakes no obligation to update any forward-looking statements to reflect changes in underlying assumptions, factors, new information or other changes."}, {"path": "tedlium_9445.wav", "duration": 11.22, "text": "But we want to also do that in the right type of pattern as well, which is maintaining lower levels of customer concentration. So it's a little bit of a double-edged sword, but"}, {"path": "tedlium_9446.wav", "duration": 11.22, "text": "signal of the fact that we are bringing in a number of first-time outsourcers into WNS. And as you know, many of them, when they start off,"}, {"path": "tedlium_9447.wav", "duration": 11.22, "text": "will be available shortly after the event has concluded. Before proceeding, let me mention that forward-looking statements about future events, operating or financial results"}, {"path": "tedlium_9448.wav", "duration": 11.22, "text": "These businesses, we build, and firms like us build them, and they buy them and they operate them, I think, very well. So I think there's a nice model of firms like ours build them,"}, {"path": "tedlium_9449.wav", "duration": 11.22, "text": "our cost structure but also streamline where we do each type of product to each type of operation. And it also really reflects where we're finding the best sources"}, {"path": "tedlium_9450.wav", "duration": 11.22, "text": "We are now very close to the ultimate resolution in both Illinois and New York. So with that, I'll turn the call over to Jack, and he will walk you through the numbers."}, {"path": "tedlium_9451.wav", "duration": 11.22, "text": "we show the cost of risk that includes both the cost of impairments of financial and nonfinancial assets as well as the results on the sale of foreclosed assets."}, {"path": "tedlium_9452.wav", "duration": 11.22, "text": "Tech brands' sales are expected to grow more than 50% in the second quarter. The projected increase in operating earnings coming from tech brands and the margin from collectibles"}, {"path": "tedlium_9453.wav", "duration": 11.22, "text": "on market flows, macroeconomics and a little bit of pricing, which tends to be a little deeper in the first quarter than the out quarters, just the way the calendar works, and so we're just trying to factor that in."}, {"path": "tedlium_9454.wav", "duration": 11.22, "text": "how it manifests itself. In other words, I think you used the phrase this year. I mean, this year is like 2 weeks old. So are we talking about each new contract that comes up as it comes up and"}, {"path": "tedlium_9455.wav", "duration": 11.22, "text": "We are starting to realize some significant wins, including the recent completion of our fast-tracked, innovated modular constructed hotel property located in Revelstoke, British Columbia."}, {"path": "tedlium_9456.wav", "duration": 11.22, "text": "because of the politics involved in this situation is if the tax bill works as anticipated, there will be a significant growth"}, {"path": "tedlium_9457.wav", "duration": 11.22, "text": "Overall, it's clear that our pricing strategies allow us to grow volumes and increase yields across the portfolio and are succeeding in doing so."}, {"path": "tedlium_9458.wav", "duration": 11.22, "text": "and it is in our backyard in Peru. I mean we ought to look at it. That doesn't mean we're going to go there and develop it tomorrow and competing with the other projects that we do have"}, {"path": "tedlium_9459.wav", "duration": 11.22, "text": "I'd also like to mention that in addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, during our call, we will discuss several non-GAAP financial measures,"}, {"path": "tedlium_9460.wav", "duration": 11.22, "text": "Now before I hand off to Allan, just a couple of specific items to note. Our CTR delivered a home initiative in Ottowa, is well underway, and we're collaborating closely with our dealers."}, {"path": "tedlium_9461.wav", "duration": 11.22, "text": "We announced a CATOFIN technology license award and plan to announce several more awards this quarter, including the ethylene technology award in India that we announced just this morning."}, {"path": "tedlium_9462.wav", "duration": 11.22, "text": "the trajectory was down if you looked at the second and third quarter, like, we were not -- we would have had a hard time building a great plan. So I think the good results in the fourth quarter just were"}, {"path": "tedlium_9463.wav", "duration": 11.22, "text": "where we have large flight kitchens, that gives us a base volume that we can then use to confidently invest in that kind of scale automation. So"}, {"path": "tedlium_9464.wav", "duration": 11.22, "text": "everywhere that we can further embed a Visa card into the payment stream and build the loyalty of the consumer"}, {"path": "tedlium_9465.wav", "duration": 11.2199375, "text": "We look forward to sharing that data with you on our next call. We talked in July about issues we encountered in the ramp-up of our manufacturing processes, which we now believe are largely behind us."}, {"path": "tedlium_9466.wav", "duration": 11.19, "text": "And in a year from now, we will know much more. But it's fair to say that Besi is involved in all these developments."}, {"path": "tedlium_9467.wav", "duration": 11.19, "text": "Technology Solutions also benefited from revenue associated with the TS program with partners in China as we implemented key elements of our supply chain strategy for that market."}, {"path": "tedlium_9468.wav", "duration": 11.19, "text": "The overall picture for revenue is one of growth from underlying operations, complemented by our recent acquisitions and partially offset by FX translation"}, {"path": "tedlium_9469.wav", "duration": 11.19, "text": "The largest credit unions in Canada control millions of customers and billions of dollars of assets. Their strategy has been to sell multiple financial products to their member base, driving very high average revenue per member."}, {"path": "tedlium_9470.wav", "duration": 11.19, "text": "and the decisions around where we're going to invest and not going to invest is going to be the biggest portion of the time I spend over the coming weeks as we develop the new strategy."}, {"path": "tedlium_9471.wav", "duration": 11.19, "text": "Strategically, bringing in partners to share in the results of that business allows us to have a larger presence in the market while exposing our individual result of less volatility. Conversely,"}, {"path": "tedlium_9472.wav", "duration": 11.19, "text": "achieved record sales and base earnings in 2015 while we focused on optimizing our industrial segments which faced difficult economic conditions in many of our global markets."}, {"path": "tedlium_9473.wav", "duration": 11.19, "text": "The second question will become not only what the indication is, but what reimbursement occurs. And even today, you start to see reimbursement occurring"}, {"path": "tedlium_9474.wav", "duration": 11.19, "text": "This recommendation has now been ratified by the European Commission. I'll remind you that ZEPATIER is not cleared by the kidney and can be used in patients irrespective of baseline renal function."}, {"path": "tedlium_9475.wav", "duration": 11.19, "text": "seen in our results over the last couple of years that would indicate already a certain sense of urgency. The contribution of La Prairie on the total growth"}, {"path": "tedlium_9476.wav", "duration": 11.19, "text": "I think raising above that, these small brands individually might have this sustainability issue, but it is also an expression of trends"}, {"path": "tedlium_9477.wav", "duration": 11.19, "text": "that have come and gone over the last couple of years, and especially with the current administration. So the good news for us is certainly, if they take the tax credit away,"}, {"path": "tedlium_9478.wav", "duration": 11.19, "text": "Is there something structural that's changing or are we just seeing -- were we just in a period where correlations for assets that might not necessarily be correlated approached one?"}, {"path": "tedlium_9479.wav", "duration": 11.19, "text": "the developers will figure their way through it. And we're comfortable with our prospective partner that again we can manage it in terms of the ability to set rents and the ability to"}, {"path": "tedlium_9480.wav", "duration": 11.19, "text": "let's call it a pipeline or a development ladder over time, that works for them. And us trying to figure out how best to optimize it for both parties. Recognizing some stores will be"}, {"path": "tedlium_9481.wav", "duration": 11.19, "text": "it's going to pretty much burnout. And I don't think we really anticipate a whole lot next year, unless we see rates take an about face, which I don't think any of us think it will. So"}, {"path": "tedlium_9482.wav", "duration": 11.19, "text": "We're going to continue to look at wireless communication, signal data management, data prioritization, anything in those areas that will allow us to enhance our connected car strategy."}, {"path": "tedlium_9483.wav", "duration": 11.19, "text": "Were there some seasonal or sometimes there's events that move around timing and stuff that helped or is there some reason that it was so strong and maybe you do we think about that going forward?"}, {"path": "tedlium_9484.wav", "duration": 11.19, "text": "together with marketing services campaign execution to accelerate outsourced campaign targeting and multi-channel execution,"}, {"path": "tedlium_9485.wav", "duration": 11.19, "text": "some of the changes that you see on net retention today are a function of us taking slightly more net from some of our excess to loss covers, but of course, that puts more premium on the books,"}, {"path": "tedlium_9486.wav", "duration": 11.19, "text": "Going forward, we'll convene a series of additional multi-stakeholder meetings to continue the industry dialogue, aiming to reach consensus on a new definition of the currency. And the goal"}, {"path": "tedlium_9487.wav", "duration": 11.19, "text": "In fact, we just received customer feedback from our semiannual customer survey and the results show the highest levels of satisfaction ever achieved by our company."}, {"path": "tedlium_9488.wav", "duration": 11.19, "text": "We began our rightsizing of the business in late June and completed it in early July. Our goal was to size the organization at the appropriate resource level needed to support a stronger fourth quarter"}, {"path": "tedlium_9489.wav", "duration": 11.19, "text": "I think in the January quarter, we've talked a little bit about having a mix of Sherman in that. So there's a combination of Sherman"}, {"path": "tedlium_9490.wav", "duration": 11.19, "text": "We continue to see untapped potential to better utilize our engineering capabilities to support a variety of new business development opportunities."}, {"path": "tedlium_9491.wav", "duration": 11.19, "text": "and our progress in our China and U.S. programs during the coming quarters and the opportunity to build momentum in our product development programs."}, {"path": "tedlium_9492.wav", "duration": 11.19, "text": "The plans how to adjust our network and what are we going to do in innovation and digitalization, including, of course, the key financial metrics of Parcels."}, {"path": "tedlium_9493.wav", "duration": 11.19, "text": "primarily because there are a number of possibilities that are much further advanced. And that those prospects have not gone away and"}, {"path": "tedlium_9494.wav", "duration": 11.19, "text": "In addition to the more frequent and intense dialog with the FDA on this program and also all of the initiatives that may advance this medicine to Pompe patients as quickly as possible"}, {"path": "tedlium_9495.wav", "duration": 11.19, "text": "Over the next few quarters, we anticipate seeing more FEED studies to evaluate the economics and feasibility of new projects as major operators appear to be more seriously evaluating new offshore developments."}, {"path": "tedlium_9496.wav", "duration": 11.19, "text": "Our technology was included in the key publications this quarter for a foundational 10,000 Immunome Project and a seminal research published in The New England Journal of Medicine."}, {"path": "tedlium_9497.wav", "duration": 11.19, "text": "Now I would like to turn the call over to David Grande to discuss our third quarter 2017 financial performance and provide insured portfolio highlights."}, {"path": "tedlium_9498.wav", "duration": 11.19, "text": "While we derive a significant share of our wind energy business from Asia Pacific region, our business is well positioned globally, as we continue to benefit from growth in multiple regions."}, {"path": "tedlium_9499.wav", "duration": 11.19, "text": "And thank you for your questions. Thank you for joining us this morning, and I'm sure we'll be talking to many of you soon. This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_9500.wav", "duration": 11.19, "text": "our results followed by a more detailed discussion by product group and then we will finish with a fourth quarter outlook and full-year perspective."}, {"path": "tedlium_9501.wav", "duration": 11.19, "text": "The segment continues to deliver on our stated goals of generating strong gross profit performance, differentiation in the market and leverage to drive service revenue growth."}, {"path": "tedlium_9502.wav", "duration": 11.19, "text": "really bring those 2 things together, along with Entrada into a really powerful combination that not only identifies problems but truly allows those problems to be addressed."}, {"path": "tedlium_9503.wav", "duration": 11.19, "text": "guess, how much of your initiatives to ship the full trucks, the lane optimization is already reflected in fourth quarter? Does that headwind continue at this level"}, {"path": "tedlium_9504.wav", "duration": 11.19, "text": "In addition to positioning our organization to deliver sustained organic growth, we are committed to active portfolio management to drive diversified growth and enhanced shareholder value."}, {"path": "tedlium_9505.wav", "duration": 11.19, "text": "We anticipate our third quarter EPS will be similar to the first quarter due mostly to the ongoing weakness in the oil and gas market and our anticipated AECOM Capital realization in the fourth quarter."}, {"path": "tedlium_9506.wav", "duration": 11.19, "text": "This month, the Ministry of Health in Japan listed for reimbursement 12 procedures in which da Vinci could be used in addition to prostatectomy and nephrectomy, which are already reimbursed."}, {"path": "tedlium_9507.wav", "duration": 11.19, "text": "is actually a separate legal entity from the sale of RVs. Now while we manage that location holistically, both in compensation and supervision,"}, {"path": "tedlium_9508.wav", "duration": 11.19, "text": "So we're excited to be with you today. We feel like we had a really successful first quarter. Included, as you can see in some of the bullet points, our earnings per share up 30% over"}, {"path": "tedlium_9509.wav", "duration": 11.19, "text": "and operational experience combined with a more mature regulatory environment. These factors contributed to our ability to purchase some larger portfolios that met our return thresholds."}, {"path": "tedlium_9510.wav", "duration": 11.19, "text": "but we also increased our ICA deposit rates by an average of 4 basis points towards the end of January. Assuming no further changes in fed rates, or our deposit rates,"}, {"path": "tedlium_9511.wav", "duration": 11.19, "text": "Simply put, clients with hundreds of thousands of employees demand significant upfront services to deploy our software to their offices around the globe."}, {"path": "tedlium_9512.wav", "duration": 11.19, "text": "We had one in Q1. We just talked about one in Q3. So I would take that into account as you look at a year-over-year view. I think rates are higher now than they were before, so I would take that into account as well."}, {"path": "tedlium_9513.wav", "duration": 11.19, "text": "the higher rent and utilities, but more importantly, the major driver there we've seen is transmission expenses. And these associated with the increased payload that we have seen in the network."}, {"path": "tedlium_9514.wav", "duration": 11.19, "text": "is difficult in the sense that the business is low, but at the same time -- which has an impact on the numbers, but at the same time, implementation of the strategy remains a key priority."}, {"path": "tedlium_9515.wav", "duration": 11.19, "text": "we think that gives us opportunities with customers, but we're not looking to buy distressed type of entities. We're looking to buy quality operations"}, {"path": "tedlium_9516.wav", "duration": 11.19, "text": "These estimates and statements speak only as of the date on which they are made, are not guarantees of future performance and involve certain risks, uncertainties and assumptions that are difficult to predict."}, {"path": "tedlium_9517.wav", "duration": 11.19, "text": "there's still a relatively small part of the total bookings. So what do you need to do on your end to make sure that international bookings become a much larger percentage of the total bookings?"}, {"path": "tedlium_9518.wav", "duration": 11.19, "text": "So would you let us know if the study continues, as a result of the interim analysis? Of course, we will find out if the study stops, but would you issue a press release?"}, {"path": "tedlium_9519.wav", "duration": 11.19, "text": "our financial policy is to continue to have a very healthy and strong balance sheet, and it is to deliver on an increased actual dividend payout in the years to come."}, {"path": "tedlium_9520.wav", "duration": 11.19, "text": "So until there's a final report from Samsung, there's really nothing that we can add. The only things that we do know is what I mentioned in the prepared remarks."}, {"path": "tedlium_9521.wav", "duration": 11.19, "text": "we remain very confident. I mean, we -- knock on wood, things can happen. But with everything we know right now, we feel really good about the aerospace business, and we feel really good about the automotive business."}, {"path": "tedlium_9522.wav", "duration": 11.19, "text": "In the appendix of this material, we've included the other modeling assumptions, which are effectively unchanged since the second quarter. And with that, I'd like to turn the call back over to Kevin."}, {"path": "tedlium_9523.wav", "duration": 11.19, "text": "from the system. Since then, we have seen the load factors in line with what we saw last year. And we are not expecting many more changes between now and the end"}, {"path": "tedlium_9524.wav", "duration": 11.19, "text": "This obviously has a direct impact on the Northstar Portfolio business. We're seeing lower response rates to our direct marketing campaigns from prospects as well as existing customers."}, {"path": "tedlium_9525.wav", "duration": 11.19, "text": "The divestiture enhances our financial profile and further concentrates our efforts in our leading and growing consumer healthcare platform, which we'll talk about in detail in later."}, {"path": "tedlium_9526.wav", "duration": 11.19, "text": "in funding needed investments by reducing spending in other areas that are not either a priority to our business or adding less value. And so,"}, {"path": "tedlium_9527.wav", "duration": 11.19, "text": "we've been successful with some new customers there to gain some market share. They're testing us out, and that was really a story of our on-time performance was not where it needed to be."}, {"path": "tedlium_9528.wav", "duration": 11.19, "text": "Please note that statements made on this conference call about the future performance of the company may constitute forward-looking statements within the meaning of federal securities laws."}, {"path": "tedlium_9529.wav", "duration": 11.19, "text": "In 2015, as we began to transition key processes, in many cases, we maintained duplicate resourcing until we were confident that the migration was successful."}, {"path": "tedlium_9530.wav", "duration": 11.19, "text": "So moving on to ODIs, and these are effectively a measure of how we're getting on with our operational performance. These are the incentive mechanisms that Ofwat have put in place,"}, {"path": "tedlium_9531.wav", "duration": 11.19, "text": "The Annuity business also benefited from the ongoing favorable impacts of our annual assumption updates last quarter and refinements to our risk management strategy which was implemented last year."}, {"path": "tedlium_9532.wav", "duration": 11.19, "text": "and select participation in refinancing transactions where we were comfortable with the risk or return profile. As a result of our selectivity, we were able to avoid yield compression,"}, {"path": "tedlium_9533.wav", "duration": 11.19, "text": "Accordingly, we are taking what we believe to be a cautious approach to our 2016 outlook for shipments in mobile products as we evaluate the further impact of lower energy prices on the demand for capital equipment."}, {"path": "tedlium_9534.wav", "duration": 11.19, "text": "during the Lunar New Year period, we do see a reduction in construction activity. And so you'll see a little bit weaker demand during that period and you'll see the inventory levels"}, {"path": "tedlium_9535.wav", "duration": 11.19, "text": "This is a key advantage as the literature indicates that performing hip fracture surgery within 24 hours of injury is associated with better functional outcomes, along with lower complications and mortality."}, {"path": "tedlium_9536.wav", "duration": 11.19, "text": "And now we're evaluating options to increase mining rate and milling alternatives to improve recoveries. Pilar and Fazenda Brasileiro, let me deal with them separately and then collectively."}, {"path": "tedlium_9537.wav", "duration": 11.19, "text": "preparing on the far western end of the property, and it looks absolutely spectacular. I think we're in a good position for continued sales there the balance of this year."}, {"path": "tedlium_9538.wav", "duration": 11.19, "text": "These sectors in the market overall have being weak in F '15, and the outlook is that they will remain weak for F '16, with the emerging pipeline of civil construction projects"}, {"path": "tedlium_9539.wav", "duration": 11.19, "text": "This attachment rate is nearly double that of the rest of the industry, and it also means that we are 50% more profitable than the rest of the industry for each Switch unit that we sell."}, {"path": "tedlium_9540.wav", "duration": 11.19, "text": "the feedback that I've gotten from Drew and his team on particular conversations they've had with their customers. I've spoken to our sales leaders around the world"}, {"path": "tedlium_9541.wav", "duration": 11.19, "text": "and selling price recovery, more than offsetting higher freight costs and a headwind related to higher commodity costs. In an effort to offset continued raw material cost pressure,"}, {"path": "tedlium_9542.wav", "duration": 11.19, "text": "Yes. So we are very much -- to your point, it's an excellent question. We are investing even more today so that we can ensure that we can deliver"}, {"path": "tedlium_9543.wav", "duration": 11.19, "text": "Specifically, we will focus on pro forma core operating results, which exclude the results of the South African projects and we will separately provide an update on those projects."}, {"path": "tedlium_9544.wav", "duration": 11.19, "text": "in the neighborhood of a year or longer. We think this profile has the ability to be able to do that for the vast majority of patients."}, {"path": "tedlium_9545.wav", "duration": 11.19, "text": "From April, we'll be rolling out our own platform and offering brokerage accounts directly to customers. We received the Central Bank license to open brokerage accounts earlier this month."}, {"path": "tedlium_9546.wav", "duration": 11.19, "text": "Several strategies that generated significant gains last quarter had smaller gains or modest losses in Q3 and we also had net losses on our credit hedges this quarter as opposed to net gains last quarter."}, {"path": "tedlium_9547.wav", "duration": 11.19, "text": "And the second question is, is there a meaningful way in which you can differentiate yourselves in a 5G world? How do you think about"}, {"path": "tedlium_9548.wav", "duration": 11.19, "text": "And I think the contributing factors to that are the product assortment. I think the team has done an excellent job of rationalizing the store base. I think we have stores of the right size and the right place."}, {"path": "tedlium_9549.wav", "duration": 11.19, "text": "As we noted last quarter, the Middle East continues to have the most stability in terms of maintenance activity levels and we saw a nice increase in demand ahead of their normal seasonal slowdown."}, {"path": "tedlium_9550.wav", "duration": 11.19, "text": "Becoming more disciplined, however, does not mean that we're on the defense. In fact, discipline gives us the freedom to elevate our innovation agenda even further. Helping athletes to redefine what is possible"}, {"path": "tedlium_9551.wav", "duration": 11.19, "text": "across our store base. Importantly, acquisitions remain a cornerstone of our growth strategy as evidenced by the new state we will add to our geographic footprint in the fourth quarter"}, {"path": "tedlium_9552.wav", "duration": 11.19, "text": "On the spin itself, we expect to confidentially file the Form 10 this quarter and make a public filing some time late in the second quarter. As David mentioned, we remain on track."}, {"path": "tedlium_9553.wav", "duration": 11.19, "text": "We picked up our first development rig in February and increased that to 2 rigs by April. Plus, we added a dedicated frac crew that began work in July."}, {"path": "tedlium_9554.wav", "duration": 11.19, "text": "But the CapEx business will lead to the OpEx business eventually. That's why we will continue to focus on winning these major CapEx projects."}, {"path": "tedlium_9555.wav", "duration": 11.19, "text": "That pad is just down-dip of where we map the pressure transition and would be a useful data point in extending the successful application of slickwater completions in Area 2. That"}, {"path": "tedlium_9556.wav", "duration": 11.19, "text": "Industry fundamentals continue to evolve generally as we expected, with the notable exception that production in the Permian is currently exceeding our original expectation."}, {"path": "tedlium_9557.wav", "duration": 11.19, "text": "How does that work? And in terms of what your reading of the new proposals are, will those current liabilities be able to be rolled over for another year?"}, {"path": "tedlium_9558.wav", "duration": 11.19, "text": "Our approach for drug combination is based on the scientific and biological rationale of the pathway we're targeting, and presents a differentiated approach"}, {"path": "tedlium_9559.wav", "duration": 11.19, "text": "Our income recognition follows our conservative policy of generally amortizing upfront economics over the life of the investment rather than recognizing all of it at the time the investment is made."}, {"path": "tedlium_9560.wav", "duration": 11.19, "text": "Turning to financing. Capital markets conditions got a little choppier during August and September as concerns about a slowing Chinese economy and declining energy and commodity prices weighed on debt markets."}, {"path": "tedlium_9561.wav", "duration": 11.19, "text": "From a strategy standpoint, we are moving from a complex portfolio of independent staffing and service operations to a collaborative company that delivers managed project and staffing services"}, {"path": "tedlium_9562.wav", "duration": 11.19, "text": "going forward. So if we consider you are doing this already from the beginning of the year and also subscriptions were increased toward the end of the year and that will"}, {"path": "tedlium_9563.wav", "duration": 11.19, "text": "we used only a minimal amount of cash on an operating basis, which includes restructuring expenses. We are on track to generate positive cash flow this fiscal year."}, {"path": "tedlium_9564.wav", "duration": 11.19, "text": "And they want to renovate and they -- and so it becomes much less of a contractual conversation than it does a business opportunity conversation."}, {"path": "tedlium_9565.wav", "duration": 11.19, "text": "improve branding for us to be able to attract good talent in colleges. So these are the things that we need to do more."}, {"path": "tedlium_9566.wav", "duration": 11.19, "text": "Before we begin, I'll remind everyone that during the course of this conference call, we will be making forward-looking statements that involve a number of risks and uncertainties and are not guarantees of future performance or results."}, {"path": "tedlium_9567.wav", "duration": 11.19, "text": "We have improved our reliability, we have improved our security, and we are also increasing our investments to expedite portions of the integration process."}, {"path": "tedlium_9568.wav", "duration": 11.19, "text": "but are you guys starting to see some work related to that cleanup? Are you getting any indications of whether this can be a real opportunity and when that might start to convert into business for you?"}, {"path": "tedlium_9569.wav", "duration": 11.19, "text": "clearly. I would look at this one as the combination of we had some faster speeds this quarter than we had modeled at the end of last quarter. And then we"}, {"path": "tedlium_9570.wav", "duration": 11.19, "text": "for all payers, including UnitedHealthcare. And we use modern technology and information across the expanse of our enterprise to enable and improve health system performance"}, {"path": "tedlium_9571.wav", "duration": 11.19, "text": "We've been dealing with increasing cost in steel rebar since tariffs were first introduced in 2017. We've been successful in passing along all of the cost increases"}, {"path": "tedlium_9572.wav", "duration": 11.19, "text": "chemistry. Not necessarily an end market, but what's the chemistry and where could the chemistry be applied as opposed to here's my end market and what chemistries or technologies do I have?"}, {"path": "tedlium_9573.wav", "duration": 11.19, "text": "Well, I think it should be. I mean, that's part of what the message is both internally to our team and externally is, as we are reorganizing, Anil, we're showing up"}, {"path": "tedlium_9574.wav", "duration": 11.19, "text": "to have a transaction this way because of leverage impact. And this is why we chose to issue new shares,"}, {"path": "tedlium_9575.wav", "duration": 11.19, "text": "clients that are direct clients of the firm will be on this platform and then the 3 basis points should come through on the entirety of the asset base in scope."}, {"path": "tedlium_9576.wav", "duration": 11.19, "text": "For example, since the start of the year, we have added a number of new air personalities, most notably a star in Atlanta and have successfully re-branded 2 of our stations in Miami and San Diego."}, {"path": "tedlium_9577.wav", "duration": 11.19, "text": "And frankly, a little surprising to us, we expect widening spreads. But on the mix that we buy, we did not see wider spreads in the first quarter."}, {"path": "tedlium_9578.wav", "duration": 11.19, "text": "This dividend was paid on December 31 to shareholders of record on December 15. With that, I would like to open up the call for questions."}, {"path": "tedlium_9579.wav", "duration": 11.19, "text": "The weather has been favorable so far, with good rain volumes in the main producing regions. And assuming this condition is maintained, we expect to crush between the mid and top of the range."}, {"path": "tedlium_9580.wav", "duration": 11.19, "text": "and we expect revenue growth in the second half of the year will be driven primarily by software license sales to our largest customer and Adrenalin upgrades as we deliver against our product road map."}, {"path": "tedlium_9581.wav", "duration": 11.19, "text": "And then I'll return to provide some additional comments on new business pursuits and our major new growth initiatives before we open up the call for your questions. Garrett?"}, {"path": "tedlium_9582.wav", "duration": 11.1899375, "text": "in the retail industry is quite high. So in order to increase sales and reduce expenses, we certainly"}, {"path": "tedlium_9583.wav", "duration": 11.1600625, "text": "No. We've kept rigs on our marketed list on our website that we believe can all eventually go back to work depending on what the total industry rig count is at a certain time."}, {"path": "tedlium_9584.wav", "duration": 11.1600625, "text": "Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual performance, financial condition or results of operations"}, {"path": "tedlium_9585.wav", "duration": 11.16, "text": "Like our other products, this is all about helping consumers get better control of their financial health by giving them a convenient and free way to better manage their spending, which is perhaps one of the biggest consumer needs in the marketplace today."}, {"path": "tedlium_9586.wav", "duration": 11.16, "text": "improving safety and service, developing high quality drivers and reducing our cost per mile and cost per transaction."}, {"path": "tedlium_9587.wav", "duration": 11.16, "text": "and I want Swift to be the best Swift that it can be. As a result, we expect little to no change for customer and driver-facing activities."}, {"path": "tedlium_9588.wav", "duration": 11.16, "text": "One of the ways we measure our growth potential is a metric called pipeline coverage, which is defined as the size of the sales pipeline divided by the sales quota for that quarter."}, {"path": "tedlium_9589.wav", "duration": 11.16, "text": "We were able to offset challenging weather conditions at the beginning of the sailing season and a decline in the Canadian dollar by further improving the operating reliability of the fleet."}, {"path": "tedlium_9590.wav", "duration": 11.16, "text": "But some customers want to have that ability to sort of use component building blocks that they get from the raw open source distribution"}, {"path": "tedlium_9591.wav", "duration": 11.16, "text": "regional office in Melville, Long Island. We've put some strategic hires in our South Jersey office. And so I expect that"}, {"path": "tedlium_9592.wav", "duration": 11.16, "text": "And if I look at the largest customer that we have in the e-commerce space and I look at the last quarter, business almost doubled. So we certainly like where we are."}, {"path": "tedlium_9593.wav", "duration": 11.16, "text": "ordering correctly, we're scheduling the right prep, that we're scheduling people during the right times. And we want to make sure that we're doing that in the right way every time. So I'd rather talk about it as we expect to get to a run rate during the year,"}, {"path": "tedlium_9594.wav", "duration": 11.16, "text": "hold off on their travel to that market until such time as things stabilize there. But it would be very difficult for us to comment on what the RevPAR growth would have been other than"}, {"path": "tedlium_9595.wav", "duration": 11.16, "text": "We are also consolidating our distribution operation in Costa Rica into a single distribution center that will allow us to reach more routes and continue our expansion in the country."}, {"path": "tedlium_9596.wav", "duration": 11.16, "text": "Normally, our normal backlog on something like this is about 50. Now 50 even sounds a lot for a normal run rate, but you have to understand there's a lot of customers who"}, {"path": "tedlium_9597.wav", "duration": 11.16, "text": "As we articulated, we decided to become a public company to improve our fundraising through greater brand awareness in the global markets, improve our access to the capital markets,"}, {"path": "tedlium_9598.wav", "duration": 11.16, "text": "What is likely to happen is, is that thing will equilibrate rather quickly in that part of the world because it can move north, south, east and west."}, {"path": "tedlium_9599.wav", "duration": 11.16, "text": "So I would think that either everyone loses or everyone wins it, and this should have an impact on your margins. I would like to know whether this is the way you see it as well."}, {"path": "tedlium_9600.wav", "duration": 11.16, "text": "I'm looking forward to the balance of 2016, the combination of prospects we have for continued ramp-up from integration of our recent acquisitions in the convenience store and restaurant space"}, {"path": "tedlium_9601.wav", "duration": 11.16, "text": "and once we have used that up, depending on what the balance sheet looks like and what the environment is like, we can certainly consider going back to the board for further authorization."}, {"path": "tedlium_9602.wav", "duration": 11.16, "text": "We do not see a turning point. And as I may probably add to this, I do not expect that for a very"}, {"path": "tedlium_9603.wav", "duration": 11.16, "text": "Looking now at flows by investment objective for the quarter. Overall flows into our global strategies remain challenged as redemptions were elevated. However, sales held up and were essentially flat."}, {"path": "tedlium_9604.wav", "duration": 11.16, "text": "Slide 9 provides the geographic revenue mix in the company. The Mueller acquisition, in combination with organic growth in Europe, shifted our mix towards Europe this quarter as compared to the same quarter last year."}, {"path": "tedlium_9605.wav", "duration": 11.16, "text": "at least not in the retail space. Now we've done real asset institutionally, and those have been very effective, and I think that's"}, {"path": "tedlium_9606.wav", "duration": 11.16, "text": "Please note that, as in the past, while we will not be reviewing the presentation slide by slide during the call, we will make reference to a number of the slides as we discuss our financial results."}, {"path": "tedlium_9607.wav", "duration": 11.16, "text": "it also -- it looks like about half the backlog is related to Microsoft. Can you talk about the visibility into future projects with them? And do you expect them to be in digest mode for the next little bit?"}, {"path": "tedlium_9608.wav", "duration": 11.16, "text": "We have seen some creep up in construction costs from the beginning of the year in labor and some of supplies on that. And so a lot of the savings that we had engineered on our first solutions"}, {"path": "tedlium_9609.wav", "duration": 11.16, "text": "Now I want to make sure my customers, engineering team are fully authorized and they're to pay -- fully authorized by their management and they're to pay rather"}, {"path": "tedlium_9610.wav", "duration": 11.16, "text": "Our Oakdale mine with its dual served Class I rail capabilities is well positioned to compete for new business, particularly in the Bakken and the Marcellus."}, {"path": "tedlium_9611.wav", "duration": 11.16, "text": "This estimate assumes no new funding from additional collaboration agreements or from external financing events and no significant unanticipated changes in costs and expenses."}, {"path": "tedlium_9612.wav", "duration": 11.16, "text": "which we actually launched in spring '18. And that produced really 7 key areas for the business to focus on and drive the business forward for growth."}, {"path": "tedlium_9613.wav", "duration": 11.16, "text": "but they're aggressively moving that's forward and having good success so far, as indicated by the Q2 number. And we continue to feel confident that we're going to be able to deliver what we expect in the back half."}, {"path": "tedlium_9614.wav", "duration": 11.16, "text": "We also expanded our commercial presence in emerging markets and strengthened our position as those replacement channel continue to develop."}, {"path": "tedlium_9615.wav", "duration": 11.16, "text": "Just taking that expertise and capability and meshing it together with our presence in these other markets. So that has been a part of our strategy for the past few years."}, {"path": "tedlium_9616.wav", "duration": 11.16, "text": "what we can do to strengthen the walls around the company and the monitoring and protection process inside the company. We're spending a tremendous amount more on infrastructure,"}, {"path": "tedlium_9617.wav", "duration": 11.16, "text": "Second, it means that the bankers who came to MB from American Chartered were intensely focused on helping their clients get through our September systems conversion and the aftermath."}, {"path": "tedlium_9618.wav", "duration": 11.16, "text": "Actual results may differ materially from those indicated by these statements as a result of various important factors, including those discussed in the Risk Factors section in our Form 10-K"}, {"path": "tedlium_9619.wav", "duration": 11.16, "text": "will also apply this richer experience on our e-commerce channel. For example, we will enhance our photography and improve the layer of the site to better showcase our elevated product."}, {"path": "tedlium_9620.wav", "duration": 11.16, "text": "we're leaving you with hopefully the impression we think footprint in terms of the number of stores is important, and we don't necessarily see that going down. It actually possibly could even go up."}, {"path": "tedlium_9621.wav", "duration": 11.16, "text": "a very good software tool to capture all the data. So we'll be in a position later this year to report you what that looks like for Rolls-Royce. The property and aircraft engines are the most material item."}, {"path": "tedlium_9622.wav", "duration": 11.16, "text": "Now I would like to briefly highlight some of our other accomplishments during fiscal 2018. During fiscal 2018, we significantly expanded our Natural Grocers brand offerings."}, {"path": "tedlium_9623.wav", "duration": 11.16, "text": "Our European and Asia Pacific effective tax rate was 34%, reflecting higher rates on our European profits from legislation changes and the impact of a loss in Asia Pacific."}, {"path": "tedlium_9624.wav", "duration": 11.16, "text": "As Steve mentioned earlier, from a financial perspective, the energy research sale was a great result and we're now well capitalized for growth. With respect to the other research sectors,"}, {"path": "tedlium_9625.wav", "duration": 11.16, "text": "we don't see a catalyst, right? We don't see that happening. We're well positioned to deal with it if it does. We've always said time and again that we are very able"}, {"path": "tedlium_9626.wav", "duration": 11.16, "text": "This dedicated project team arrangement was initiated in the second quarter and is a significant step forward for us in developing intimacy with this great customer,"}, {"path": "tedlium_9627.wav", "duration": 11.16, "text": "Our journey to optimize our manufacturing footprint and associated operating cost remains on track to further enhance our competitiveness."}, {"path": "tedlium_9628.wav", "duration": 11.16, "text": "Most recently, Tanja has redesigned our talent acquisitions, bringing talent in from many well-respected companies and competitors who will have a positive impact on our business."}, {"path": "tedlium_9629.wav", "duration": 11.16, "text": "that give us a little bit of a safety net as well. So really, the primary risk is in the pricing area on the spot business. So if the industry"}, {"path": "tedlium_9630.wav", "duration": 11.16, "text": "We believe that we have continued opportunity in this space going forward. Convenience checks and small loans, which have historically been the core portfolios and engines of growth for the company"}, {"path": "tedlium_9631.wav", "duration": 11.16, "text": "but we are mindful that our customers could potentially eventually overextend themselves with other credit issuers, so further underwriting tightening is something we'll continue to keep top of mind."}, {"path": "tedlium_9632.wav", "duration": 11.16, "text": "which is related on the review of the reason why we have ended up with such a difficult situation is for the time being"}, {"path": "tedlium_9633.wav", "duration": 11.16, "text": "And so the combination of all of those factors together should give us a nice tailwind, I particularly -- the emerging market's really the key to getting the aggregate category growth"}, {"path": "tedlium_9634.wav", "duration": 11.16, "text": "has been beat up like over the years, that's still probably have a lot of dealers are going to have to take a write off and move it there. When you move to the construction,"}, {"path": "tedlium_9635.wav", "duration": 11.16, "text": "Is it fair to say that the penetration you are getting with both of these customers is still fairly low and has a lot of room to grow?"}, {"path": "tedlium_9636.wav", "duration": 11.16, "text": "My leadership team and I continue to assess these challenges while taking actions to be sure that the right people and processes are in place to overcome obstacles and build success for the future."}, {"path": "tedlium_9637.wav", "duration": 11.16, "text": "It is not uncommon to see as many as 5 to 6 hiring agencies, for example, at a given health system, each functioning in different departments with little or no coordination."}, {"path": "tedlium_9638.wav", "duration": 11.16, "text": "That covers the update on our product candidate development programs. I'll now turn the call over to Heidi for discussion of the financial results for the third quarter of 2017. Heidi?"}, {"path": "tedlium_9639.wav", "duration": 11.16, "text": "So I think that covers your question as best we can right now, but even though we're pleased with the initial results in the quarter"}, {"path": "tedlium_9640.wav", "duration": 11.16, "text": "despite the overall softness in the Bismarck construction market for industrial gensets. This outperformance gives us confidence that we are executing on a key portion of our Powering Ahead strategy of gaining industrial market share."}, {"path": "tedlium_9641.wav", "duration": 11.16, "text": "In parallel to that, the manufacturing of the lithium iON cells, we've assessed that make versus buy that we're going to find manufacturing partners"}, {"path": "tedlium_9642.wav", "duration": 11.16, "text": "Nutrition clubs. They lose money, and they're simply a recruiting vehicle. Many distributors find it all but impossible to make enough money from retail sales of product to cover the overhead of the club and generate income for the owner."}, {"path": "tedlium_9643.wav", "duration": 11.16, "text": "distribute and track corporate governance, financing, legal and other documents in an online workspace accessible to internal resources and outside advisers."}, {"path": "tedlium_9644.wav", "duration": 11.16, "text": "Having said that though, I'd say then if you look at 2 -- 3 other large categories, they have different risks associated with them from a probability of success,"}, {"path": "tedlium_9645.wav", "duration": 11.16, "text": "with a royalty-bearing exclusive license to the co-owned new intellectual property to be granted to the joint venture company once it is legally formed."}, {"path": "tedlium_9646.wav", "duration": 11.16, "text": "Thanks, Greg. As we close, I want to reiterate that we are confident in the potential of Lumber Liquidators. We believe we offer a great value proposition for our customers,"}, {"path": "tedlium_9647.wav", "duration": 11.16, "text": "This was the basis of our good, better, best campaign. We believe we have the best assortment in the market, but we have also simplified the shopping experience for the customer."}, {"path": "tedlium_9648.wav", "duration": 11.16, "text": "But I also hope investors agree that getting the cost structure right is a different kind of problem than sharply falling sales. In any event, optimizing the cost structure is at the top of my action list."}, {"path": "tedlium_9649.wav", "duration": 11.16, "text": "Perfect. And then finally, you comment in the report that you have had satisfactory sales and profit development in your online business. Could you"}, {"path": "tedlium_9650.wav", "duration": 11.16, "text": "related to the ongoing client conversion activities and higher operating cost as IFDS expands its infrastructure to address increasing regulatory compliance and security needs."}, {"path": "tedlium_9651.wav", "duration": 11.16, "text": "our mid-scale offering. And the key feature here is that we've designed a robust, simple process,"}, {"path": "tedlium_9652.wav", "duration": 11.16, "text": "So I think we're living with the refinery waivers this year that were given out, and I don't see a lot of remediation for the immediate term. Over the long term, potentially,"}, {"path": "tedlium_9653.wav", "duration": 11.16, "text": "things that our customers have told us they can't get with other approaches. So that has caused us to say we're going to stay in the game and take this to the next level"}, {"path": "tedlium_9654.wav", "duration": 11.16, "text": "These factors are discussed in the Business Description and Management's Discussion and Analysis sections of the company's report on Form 10-K, an annual report to shareholders,"}, {"path": "tedlium_9655.wav", "duration": 11.16, "text": "a few days ago, but that the forecast will be skewed actually towards the second half in terms of growth and margin contributions"}, {"path": "tedlium_9656.wav", "duration": 11.16, "text": "The last key focus area has been the recycling of capital out of the lower performing villages and using that capital to reinvest into growing and reshaping the portfolio."}, {"path": "tedlium_9657.wav", "duration": 11.16, "text": "And without getting into too many details for proprietary reasons, I would like to say that consumers are beginning to see a change in our overall Pizza Pizza strategy and marketing strategies."}, {"path": "tedlium_9658.wav", "duration": 11.16, "text": "In the second quarter, we won a number of new customers, including the Los Angeles Metro Transportation Authority, the Slovenian Railways and the Public Health Agency of Sweden."}, {"path": "tedlium_9659.wav", "duration": 11.16, "text": "Having said that, we currently operate several different facilities for Amazon across a variety of our suite of services and excited about our potential growth with this partnership."}, {"path": "tedlium_9660.wav", "duration": 11.16, "text": "We also completed the fund merger of National Provident Life into Phoenix Life Assurance in the first half of this year, leaving only 2 remaining U.K. life companies,"}, {"path": "tedlium_9661.wav", "duration": 11.16, "text": "I'd like to take this opportunity to thank our more than 400,000 team members around the world who are continuing to work hard to deliver the holidays during the home stretch of the season."}, {"path": "tedlium_9662.wav", "duration": 11.16, "text": "So this one's for Henry. Could you please discuss strategic initiatives to accelerate growth in FedEx Supply Chain and discuss what type of growth you anticipate for this business longer term?"}, {"path": "tedlium_9663.wav", "duration": 11.16, "text": "In addition, when you think about some of the large projects that are pending as well, such as 5G, perhaps that will be next year, we'll start to see some impact of that,"}, {"path": "tedlium_9664.wav", "duration": 11.16, "text": "to rationalize projects that have a lower likelihood of commercial success, and are redirecting resources into more promising customer driven innovation."}, {"path": "tedlium_9665.wav", "duration": 11.16, "text": "Also, the continued contract base growth in the service industry bodes well for the future of the service business as such."}, {"path": "tedlium_9666.wav", "duration": 11.16, "text": "in the third quarter of 2016. Garden City Medical is included in the 2016 results that will be discussed on the call unless otherwise noted."}, {"path": "tedlium_9667.wav", "duration": 11.16, "text": "That means we will have ample capacity to continue to invest in our business, pursue compelling growth opportunities and reduce debt while delivering immediate cash returns to our shareholders."}, {"path": "tedlium_9668.wav", "duration": 11.16, "text": "And as I said, we've only just begun to scratch the surface. But everything, and I think that you would agree with us, everything that we've seen in the performance of INGREZZA to date, says"}, {"path": "tedlium_9669.wav", "duration": 11.16, "text": "operational and financial projections and goals are beliefs and assumptions of the company's management and are based on information currently available."}, {"path": "tedlium_9670.wav", "duration": 11.16, "text": "These include the impact of our annual residual value policy update on depreciation, accelerated depreciation and the gains realized on sale of vehicles."}, {"path": "tedlium_9671.wav", "duration": 11.16, "text": "Our ability to provide integrated planning, engineering and design, procurement and construction and maintenance services is of particular value to several industry participants."}, {"path": "tedlium_9672.wav", "duration": 11.16, "text": "As a reminder, each of our leases contain variable rent features, so that CorEnergy can benefit from the increased production of our tenants and higher utilization of our assets."}, {"path": "tedlium_9673.wav", "duration": 11.1599375, "text": "with its strong economic returns, to fruition. However, I must state that we're not prepared at this point to expose shareholders to significant equity raising in order to fund this project."}, {"path": "tedlium_9674.wav", "duration": 11.13, "text": "Are there other aspects that patients control that might contribute to varying functional benefit amongst patients or do you think there's a more direct line from the peak increases in muscle mass to function?"}, {"path": "tedlium_9675.wav", "duration": 11.13, "text": "moving towards the premium end of the sectors in which we trade, systematically raising the quality of amenity right across our portfolio and getting on to that 6- to 7-year cycle of investment that Tim talked about"}, {"path": "tedlium_9676.wav", "duration": 11.13, "text": "Is there a target you have in mind? How much do you think you can improve given the efforts you're taking on? Or any color you can give from that perspective?"}, {"path": "tedlium_9677.wav", "duration": 11.13, "text": "and organization in order to formulate a long-term vision for the new Marvell. I see tremendous potential for the company to participate in growing markets and to increase its profitability."}, {"path": "tedlium_9678.wav", "duration": 11.13, "text": "We believe this strategic focus will create long-term growth for the company and sustainable value for both society and shareholders. And with that, I'd like to turn the call over to Rob."}, {"path": "tedlium_9679.wav", "duration": 11.13, "text": "the way you look at whether an increase is significant or not isn't based on a particular numeric fold increase, it's based on the variability of the assay and you're looking for"}, {"path": "tedlium_9680.wav", "duration": 11.13, "text": "enhancing customer value and maintaining cost and capital discipline in order to generate sustainable profitability improvement. I will now turn it over to Steve."}, {"path": "tedlium_9681.wav", "duration": 11.13, "text": "there is a clear and present opportunity to attract the growing investor flows rotating into yield sectors today, sectors which are more highly valued than the mortgage REIT industry."}, {"path": "tedlium_9682.wav", "duration": 11.13, "text": "It is not in your materials, but I would like to comment on our third quarter performance in relation to the internal targets for operating profit announced in October."}, {"path": "tedlium_9683.wav", "duration": 11.13, "text": "Offsetting these positive results were softer sales in the electrical specialties group, and our team is working hard to improve the sales performance for this group going forward."}, {"path": "tedlium_9684.wav", "duration": 11.13, "text": "during the year. This was enabled through the significant commercial investments, and they play an important role both in the short term delivering this result,"}, {"path": "tedlium_9685.wav", "duration": 11.13, "text": "While only a test, we are integrating our home-sharing offerings into our loyalty programs, curating for design, functionality, location and safety"}, {"path": "tedlium_9686.wav", "duration": 11.13, "text": "We should be able to access data in minutes, not days, to compare and contrast our performance in our operations, solve problems and identify performance."}, {"path": "tedlium_9687.wav", "duration": 11.13, "text": "expand your market on your smaller burn work because of the health of the economic environment that we work in, in the West, let's say, for construction. So we see that part ramping up nicely."}, {"path": "tedlium_9688.wav", "duration": 11.13, "text": "If their prices do not go up or even go down, I think there are abnormal factors in play. Over the long term,"}, {"path": "tedlium_9689.wav", "duration": 11.13, "text": "that resulted from the mild weather in the quarter. But the impact of the lower volumes was partially offset by TXU Energy's strong margin management and the customer account performance."}, {"path": "tedlium_9690.wav", "duration": 11.13, "text": "This will enable us to build a growth forecast based on actual quarterly results rather than on assumptions about lease up rental rates"}, {"path": "tedlium_9691.wav", "duration": 11.13, "text": "We are committed to taking a highly-disciplined approach to capital allocation with the repayment of debt as a top priority after investing in our key growth drivers."}, {"path": "tedlium_9692.wav", "duration": 11.13, "text": "while at the same time driving sales per passenger in existing stores through investments and improvements to customer offer and active space and margin mix management."}, {"path": "tedlium_9693.wav", "duration": 11.13, "text": "Now as usual, we'll update you on our 3-year guidance when we present to you in October. So let's move on to category performance and I'll start with Books."}, {"path": "tedlium_9694.wav", "duration": 11.13, "text": "Our U.S. team has massively improved our financial performance in this region. We've hit key milestones for instrument placements with strong uptake of the Hyperion Imaging System."}, {"path": "tedlium_9695.wav", "duration": 11.13, "text": "and you've given us a guidance at the time of the strategy announcement. So -- and it looks like you're more on track in line with the guidance already in the first half. So I seem to miss something"}, {"path": "tedlium_9696.wav", "duration": 11.13, "text": "This comes on top of the implementation of strategic decisions such as the closing or downsizing of certain countries and business areas, which impacted revenues negatively,"}, {"path": "tedlium_9697.wav", "duration": 11.13, "text": "can you kind of address for us what sort of lag between further potential increases and your ability to go get price and offset,"}, {"path": "tedlium_9698.wav", "duration": 11.13, "text": "Our whole team has handled this professionally, and the value is beyond what I expected in terms of coaching and insights gain. Additionally, with the replacement cycle of our tractors Jason mentioned,"}, {"path": "tedlium_9699.wav", "duration": 11.13, "text": "As I've said before, if we are able to meet these conditions, we have other strategies to deliver value to our stakeholders, including an orderly runoff of the portfolio."}, {"path": "tedlium_9700.wav", "duration": 11.13, "text": "Through our digital business practice, we use data and analytics optimized with machine learning and artificial intelligence and, of course, intimate knowledge of our clients' businesses"}, {"path": "tedlium_9701.wav", "duration": 11.13, "text": "And then of course, the volume depends on our capability, depends on customers, but it is a very, very important program for ST and we are very encouraged"}, {"path": "tedlium_9702.wav", "duration": 11.13, "text": "depending on the discussions with the KRG. Discussions are active and progressing. And as you may know, the CPs under the gas lifting agreement were recently extended to end of April."}, {"path": "tedlium_9703.wav", "duration": 11.13, "text": "As you can see from the diagram on the right-hand side, the production from the latest 2 wells on the northern flank are now amongst the most productive wells in the field, with no water at all."}, {"path": "tedlium_9704.wav", "duration": 11.13, "text": "Important note to make about this is that the vast majority of these initiatives are really around increasing our floor space productivity and James is going to go into more detail on this"}, {"path": "tedlium_9705.wav", "duration": 11.13, "text": "We are pleased with the antiviral activity we have seen in preclinical studies and believe that RNAi-based therapy will one day be a part of the HBV treatment paradigm."}, {"path": "tedlium_9706.wav", "duration": 11.13, "text": "There's no question in our mind that Chinese buyers are going to be the big swing factor in the gold market. And we wanted to be first, and we were first."}, {"path": "tedlium_9707.wav", "duration": 11.13, "text": "As we continue to expand our presence in South America through the addition of sales offices in Peru and Argentina, sales by product line is a better indicator of the financial performance of this segment."}, {"path": "tedlium_9708.wav", "duration": 11.13, "text": "So can you confirm that? And what about the point allocation? So in the past customer return measures, there were some points allocated. So those are excluded from this calculation? Can you confirm this point? What is the definition"}, {"path": "tedlium_9709.wav", "duration": 11.13, "text": "this is not all the growth we need, but it is a clear indicator that people had pretty high excitement from the product on the booth."}, {"path": "tedlium_9710.wav", "duration": 11.13, "text": "Before I do that, however, let me talk a little bit about what we're seeing in our core markets and geographies. Really, the trends remain the same from what we've been talking about for the last 3 quarters or so."}, {"path": "tedlium_9711.wav", "duration": 11.13, "text": "And so we continue to see that our offshore and our LNG markets will continue to grow, albeit not as fast as people had thought."}, {"path": "tedlium_9712.wav", "duration": 11.13, "text": "That is why we have implemented a lot of measures, such as in reducing the cost and our management expenses."}, {"path": "tedlium_9713.wav", "duration": 11.13, "text": "pending the finalization of a few contractual matters between the parties. These commercial activities will be integrated into the groceries division under Martin's leadership,"}, {"path": "tedlium_9714.wav", "duration": 11.13, "text": "And highlighted moving forward. So those are the things primarily we're preparing for moving forward. Our clinical data is obviously and our safety and efficacy is very strong."}, {"path": "tedlium_9715.wav", "duration": 11.13, "text": "To build on these results and pursue continued sustainable growth, we outlined our management direction for fiscal 2020 and beyond through a new corporate strategy."}, {"path": "tedlium_9716.wav", "duration": 11.13, "text": "and remind you that the statements made by management and the information contained in this presentation that constitute forward-looking statements are based on management's current expectations."}, {"path": "tedlium_9717.wav", "duration": 11.13, "text": "Now we invite you to a quick review of our vision and strategy. Please refer to Slide 7, where we want to share with you how we are transforming the company"}, {"path": "tedlium_9718.wav", "duration": 11.13, "text": "or at least test whether it could guide into patient selection. And the idea is to make sure that in the trial we do a retrospective analysis"}, {"path": "tedlium_9719.wav", "duration": 11.13, "text": "about how we see the retail sales. But the demand continues to improve. So not only did we get the growth in demand in '14, we have growth in demand in '15. We're seeing growth in demand in '16. And so the"}, {"path": "tedlium_9720.wav", "duration": 11.13, "text": "Given the strength of our products, fiscal responsibility and continued investment in sales and marketing, we can establish a much larger market share and drive strong shareholder value."}, {"path": "tedlium_9721.wav", "duration": 11.13, "text": "As you can see on Slide 8, our organic growth accelerated sequentially as the year progressed while our share performance was strongest in the fourth quarter."}, {"path": "tedlium_9722.wav", "duration": 11.13, "text": "And a lot of the market participants have brought a piece or a part to the solution and I think what really differentiates this business"}, {"path": "tedlium_9723.wav", "duration": 11.13, "text": "The first 10 of those patients were considered for Part B and they were in fact randomized to either active or placebo and their blood pressure was assessed in the double-blind phase that I shared the data for."}, {"path": "tedlium_9724.wav", "duration": 11.13, "text": "In terms of tissue PK taken from IFC samples of the affected gut wall, there was evidence of dose-related increases in local G.I. tissue drug concentrations"}, {"path": "tedlium_9725.wav", "duration": 11.13, "text": "benefits to be reaped and not just in the course of Project Uplift, but well on beyond that. And finally footprint, we have a couple of projects there which are"}, {"path": "tedlium_9726.wav", "duration": 11.13, "text": "believe that they can continue to ask the market to reduce cost, while they're at the same time, reduce quality of what's coming in, are now finding that it's not going to happen for many of the quality players."}, {"path": "tedlium_9727.wav", "duration": 11.13, "text": "players in the industry. What we can tell you is our capacity, when we can get up to 28 million tons, does not require us to invest additional CapEx. So it's a production decision, not an investment decision,"}, {"path": "tedlium_9728.wav", "duration": 11.13, "text": "Projects include completion of our plant in China, the new plant in Melrose, capacity expansion for value-added product lines and ongoing investments for food and employee safety."}, {"path": "tedlium_9729.wav", "duration": 11.13, "text": "While we continue to improve field operational performance, increase order rates and grow healthy backlog, the opportunity to deliver growth and margin expansion is there in coming quarters."}, {"path": "tedlium_9730.wav", "duration": 11.13, "text": "In summary. I believe we have the right team and the right strategy for moving the projects to completion and meeting our contractual obligations while minimizing our risk."}, {"path": "tedlium_9731.wav", "duration": 11.13, "text": "the future is still bright for Jack Henry. We have -- we're totally committed to this platform. We're having great success already, and I don't see that changing as a result of this acquisition."}, {"path": "tedlium_9732.wav", "duration": 11.13, "text": "largely as a result of the acceleration of employment benefit cost savings from the second half into the first half, which positively impacted margin by 35 basis points."}, {"path": "tedlium_9733.wav", "duration": 11.13, "text": "Besides reducing overall fixed costs, the new business model will allow us to more easily scale resources up and down based on value to the customer."}, {"path": "tedlium_9734.wav", "duration": 11.13, "text": "there are better shopping on the open days because people are on vacations and go shopping in some countries. In some countries, they go traveling and they don't shop. So it's a very mixed bag."}, {"path": "tedlium_9735.wav", "duration": 11.13, "text": "Overall, we are pleased with the quarter results, which demonstrate the capability and strength of our teams around the world and the benefit of our streamlined focus on our Health and Wealth strategy."}, {"path": "tedlium_9736.wav", "duration": 11.13, "text": "kind of an -- it's an interesting potential acquisition target. But it depends upon what it's going to go for us, is it going to bring us technology we may not possess or processes."}, {"path": "tedlium_9737.wav", "duration": 11.13, "text": "They included aligning the organization to grow our leadership position in key markets, adjusting how we execute to drive profitable growth and then prioritizing our efforts and our investments."}, {"path": "tedlium_9738.wav", "duration": 11.13, "text": "So from that standpoint, I would not read through the -- what has been a sequencing of EBITDA that I've seen for most of my 18 years in this business, anything different as it relates to that in our first quarter results,"}, {"path": "tedlium_9739.wav", "duration": 11.13, "text": "And so for the quarter, when you think about onetime in nature, we certainly had higher board transition costs and legal costs in the quarter than we would normally have and"}, {"path": "tedlium_9740.wav", "duration": 11.13, "text": "While we are fully transitioned to a significantly more capable ERP system affording us added oversight and efficiency over the operational and financial elements of the company,"}, {"path": "tedlium_9741.wav", "duration": 11.13, "text": "That was the markets in brief. And quickly going through it, I have 2 or 3 comments on Switzerland, and now allow me to go into that."}, {"path": "tedlium_9742.wav", "duration": 11.13, "text": "really good universities, we were able to carve out a niche here because we used to lose thousands of students on a yearly basis that would go out of state to private universities that"}, {"path": "tedlium_9743.wav", "duration": 11.13, "text": "The potential impact of the cardiac portion of this new model is harder to size because CMS has not disclosed the 98 markets that will be randomly chosen to participate,"}, {"path": "tedlium_9744.wav", "duration": 11.13, "text": "it stands at a lower level of those observed in previous years. While the debt is increased slightly in regards to what is shown previous years, but maintaining at healthy levels."}, {"path": "tedlium_9745.wav", "duration": 11.13, "text": "in a recurring kind of subscription model instead of one time. And so that's also shifting some of those up into the subscription line. Those, we talked about last quarter, actually are creating a little bit of"}, {"path": "tedlium_9746.wav", "duration": 11.13, "text": "reorganizing and adding new capabilities so that we can in the future and over that 3-year period make sure that we are agile enough"}, {"path": "tedlium_9747.wav", "duration": 11.13, "text": "We believe there are revenue synergies that are above and beyond the cost savings. In fact, our strongly held position is that when choosing between organic growth and cost synergies, we will always favor growth."}, {"path": "tedlium_9748.wav", "duration": 11.13, "text": "Before this, we subsidized the handset in the subscription and this is, by law, not possible anymore to directly subsidize the handset again. So"}, {"path": "tedlium_9749.wav", "duration": 11.13, "text": "for selling your gout franchise that maybe would make sense to put it in their bag and to just derive some licensing revenue from it than having to invest in the franchise on your own?"}, {"path": "tedlium_9750.wav", "duration": 11.13, "text": "We are currently working toward winning the order. Currently, projects are nicely distributed across different areas of the world."}, {"path": "tedlium_9751.wav", "duration": 11.13, "text": "The consumable growth is an indicator of the success that we're seeing with the adoption of CUSA Clarity, and disposable sales are a good measure of capital utilization."}, {"path": "tedlium_9752.wav", "duration": 11.13, "text": "while constant currency revenue grew 11% after adjusting for the impacts of exchange and hedging. Growth was entirely organic"}, {"path": "tedlium_9753.wav", "duration": 11.13, "text": "After many years of strong growth, we have seen a significant slowdown with several customers experiencing regulatory delays or lower demand for their products."}, {"path": "tedlium_9754.wav", "duration": 11.13, "text": "Thank you, Stan, and good morning, everyone. Welcome to our fiscal 2018 first quarter conference call. As usual, we will begin with a short summary statement, and then Jeff and I will be happy to take your questions."}, {"path": "tedlium_9755.wav", "duration": 11.13, "text": "we would exhaust those prepaid amounts and the prepaid VAT amounts, which are treated as corporate tax over the next 4 to 5 years."}, {"path": "tedlium_9756.wav", "duration": 11.13, "text": "The Caspian and Kazakhstan declined, although new contracts beginning early in the first quarter were awarded for operations in both Kazakhstan and Turkmenistan. Looking ahead"}, {"path": "tedlium_9757.wav", "duration": 11.13, "text": "the share buyback program that we did in the first 2 months of third quarter until we stopped it in connection with the announcement of the ABB transaction."}, {"path": "tedlium_9758.wav", "duration": 11.13, "text": "As always, we remain disciplined in our selection criteria with a focus on serious and life-threatening diseases with significant unmet medical need that we believe are good targets for the science."}, {"path": "tedlium_9759.wav", "duration": 11.13, "text": "which include an administrative recourse claim action at the tax authority as a result of the lack of application of the inflation adjustment in the determination of the income tax."}, {"path": "tedlium_9760.wav", "duration": 11.13, "text": "We are fortunate to have a senior leadership team whose experience leaves us well placed to navigate a somewhat more uncertain external environment and to avail of opportunities as they arise."}, {"path": "tedlium_9761.wav", "duration": 11.13, "text": "especially with regard to collaboration between the scientific staffs. We believe that collaboration will leverage the talents of our larger scientific staff,"}, {"path": "tedlium_9762.wav", "duration": 11.13, "text": "really, in any big way to hedge translation. So what we try to do is we try to base our businesses in the markets in which we operate, match our costs and our revenues."}, {"path": "tedlium_9763.wav", "duration": 11.13, "text": "Nancy brings with her broad financial experience, the ability to work cross-functionally across teams and a demonstrated commitment to driving profitable growth. Welcome, Nancy."}, {"path": "tedlium_9764.wav", "duration": 11.13, "text": "As a longtime operator in the region, we've worked for many years to cultivate strong mutually beneficial relationships with our aboriginal neighbors."}, {"path": "tedlium_9765.wav", "duration": 11.13, "text": "In sum, it was a terrific quarter. What is important to note is that it is part of an increasingly consistent pattern of Entercom delivering solid growth quarter after quarter."}, {"path": "tedlium_9766.wav", "duration": 11.13, "text": "And finally, we are taking a number of decisive steps to strengthen our balance sheet, including the virtual elimination of our debt through the planned sale of our Technology business."}, {"path": "tedlium_9767.wav", "duration": 11.13, "text": "how should we think about if there was a bolus in this quarter and the new start rate should decline? Or if you still think that the dynamic you talked about"}, {"path": "tedlium_9768.wav", "duration": 11.13, "text": "I would also like to note that as we outlined during our recent Investor Day, beginning with the first quarter of fiscal 2019, we'll be making some changes to our disclosures and reporting."}, {"path": "tedlium_9769.wav", "duration": 11.13, "text": "Biggest news of the second quarter came in its final week. The surprising Brexit vote led initially to a sharp repricing of risk across financial markets."}, {"path": "tedlium_9770.wav", "duration": 11.13, "text": "So just wanted to follow up again here on the capital recycling activity. So it seems like you're further along on the acquisitions and you've identified the disposition pool, but"}, {"path": "tedlium_9771.wav", "duration": 11.13, "text": "related to the reimbursement of development expenses for diroximel fumarate. As a reminder the PDUFA date for diroximel fumarate is expected to occur in the fourth quarter of this year."}, {"path": "tedlium_9772.wav", "duration": 11.13, "text": "We are closely monitoring the pace at which we make our changes and the impact they have on our employees, customers and supplier partners. We're moving quickly,"}, {"path": "tedlium_9773.wav", "duration": 11.13, "text": "The majority of the products that we sell to the aerospace market are heat-treated aluminum products, especially plate as well as specialty stainless steel and titanium products."}, {"path": "tedlium_9774.wav", "duration": 11.13, "text": "and then also our available cash. So I think we were pretty consistent with the way we executed the share repurchases through the quarter. We do think it's a good use of our cash, given"}, {"path": "tedlium_9775.wav", "duration": 11.13, "text": "When you look at pure sweet flavor business that is more correspondence to some of our largest competitor,"}, {"path": "tedlium_9776.wav", "duration": 11.1299375, "text": "This continues to be an -- overall, an outstanding industry marketplace, and we believe that with the plans we have in place, we are well positioned to deliver a solid year."}, {"path": "tedlium_9777.wav", "duration": 11.1, "text": "But it's not a new round of smartphones. It is improvements, additions"}, {"path": "tedlium_9778.wav", "duration": 11.1, "text": "We are now focused on completing the trial with high-quality data sets and in preparing for our submission to the FDA so that we can file as rapidly as possible."}, {"path": "tedlium_9779.wav", "duration": 11.1, "text": "I believe your third quarter is the strongest in terms of booking or at least last year it was very strong in terms of booking. Do you see that driving revenue into the fourth quarter as well?"}, {"path": "tedlium_9780.wav", "duration": 11.1, "text": "despite of those things, we were able to report profit growth for the second half of the year. So more of that later. I'd like to start by saying a little bit about the macro environment we find ourselves trading in."}, {"path": "tedlium_9781.wav", "duration": 11.1, "text": "Because of our setup and structures in the region, such a significant devaluation reduces our sales line, and a significant share of this also falls through to our bottom line"}, {"path": "tedlium_9782.wav", "duration": 11.1, "text": "history in the past to kind of see our track record on cost and our track record on how much of a loaded rate per mile is able to drop to the bottom line."}, {"path": "tedlium_9783.wav", "duration": 11.1, "text": "We've grown from primarily a mailback company to our position now as a leading comprehensive provider of medical and pharmaceutical waste management services"}, {"path": "tedlium_9784.wav", "duration": 11.1, "text": "the major portion of short-term debt is trade finance, and that's because of the volume of exports that we have out of Brazil, by far the cheapest source of financing in Brazil, and for that reason,"}, {"path": "tedlium_9785.wav", "duration": 11.1, "text": "We concentrated 1 year on an efficiency project that changed the way we operate, resulting in a model of management and a leap in profitability, and we have stuck to those principles today."}, {"path": "tedlium_9786.wav", "duration": 11.1, "text": "The reality is, we are managing that down now, obviously that takes time to correct in the marketplace, but that is actively being managed down as we speak."}, {"path": "tedlium_9787.wav", "duration": 11.1, "text": "Yes, so as we mentioned, and we are definitely seeing that operating margin improvement on our Industrial business, and again, that's coming through their greater comp,"}, {"path": "tedlium_9788.wav", "duration": 11.1, "text": "Finally, our outlook accounts for 1 additional selling day in the third quarter relative to 2018 to make up for the 1 less selling day in the first quarter this year."}, {"path": "tedlium_9789.wav", "duration": 11.1, "text": "both of which raised your interest today versus a couple of years ago. But those changes aside, I was just curious your perspective on where do you think consumer demand is at for alternative accommodations"}, {"path": "tedlium_9790.wav", "duration": 11.1, "text": "Behind the scenes, we recently launched a new customer recognition platform, which will allow Marriott associates globally, both on and off property, to deliver better service."}, {"path": "tedlium_9791.wav", "duration": 11.1, "text": "Good progress against the Canadian bank's multiyear target of 1 million new primary customers. Tangerine also performed strongly during the year."}, {"path": "tedlium_9792.wav", "duration": 11.1, "text": "in markets, use those brands to then drive an ability to deliver more products and services. To do that, you need capabilities that we never previously had. It's not surprising because we didn't really have a business here."}, {"path": "tedlium_9793.wav", "duration": 11.1, "text": "as we move into the spring months and into the summer. I will say this. I think as we end 2019, you're going to see more of the capital improvement projects"}, {"path": "tedlium_9794.wav", "duration": 11.1, "text": "As we look at how each of our segments contributed on the next couple of slides, you will see that thanks to the fuel volume and rental income growth achieved from our acquisitions,"}, {"path": "tedlium_9795.wav", "duration": 11.1, "text": "but we are fortunate to have a small but exceptionally impressive group of entrepreneurs. And we think we'll just keep looking for those great entrepreneurs and finding the right fit"}, {"path": "tedlium_9796.wav", "duration": 11.1, "text": "Ladies and gentlemen, good day, and welcome to the Galapagos results webcast. At this time, I would like to turn the conference over to Elizabeth Goodwin. Please go ahead, ma'am."}, {"path": "tedlium_9797.wav", "duration": 11.1, "text": "I think the next thing that we expect to be doing is testing the end-to-end material that comes out and validating that it's actually meeting specification."}, {"path": "tedlium_9798.wav", "duration": 11.1, "text": "And I think some of you have actually heard me say before that the default rate for the CAPREIT portfolio now is actually lower than the CMHC mortgage default rate. It's"}, {"path": "tedlium_9799.wav", "duration": 11.1, "text": "that, on the one hand, we see very strong and continued digitization in all segments. And on the other hand, we also do see less volume"}, {"path": "tedlium_9800.wav", "duration": 11.1, "text": "how do you think about walking that up to what you think you'll really be, what the real earnings opportunity is going to look like? Because I think in prior conversations, you've talked about how that"}, {"path": "tedlium_9801.wav", "duration": 11.1, "text": "and record that. Yuck. And it's all being done on paper. Not anymore. ReposiTrak now enables him to take a click of this creature,"}, {"path": "tedlium_9802.wav", "duration": 11.1, "text": "almost across the board in Europe this year. So our outlook assumes improvement in European pack, but that's based more on just what happened last year than it is about any specific knowledge about this year."}, {"path": "tedlium_9803.wav", "duration": 11.1, "text": "that may involve some hybrid products. We have the same products that our partners have and our conditions will not worsen because of that. And in other products where"}, {"path": "tedlium_9804.wav", "duration": 11.1, "text": "both of which we see as good areas of future growth, will help drive stationery sales into the longer term. And I'll come on and talk about a couple of initiatives there shortly."}, {"path": "tedlium_9805.wav", "duration": 11.1, "text": "As far as the third element of our strategic plan, tenaciously pursuing cost savings, this is clearly evident when you look at our margin increase in the quarter over the past year."}, {"path": "tedlium_9806.wav", "duration": 11.1, "text": "I think it's going to have to fall into the fourth quarter. And as such, in order to entice the clients to move back out of just a strictly seasonal cycle,"}, {"path": "tedlium_9807.wav", "duration": 11.1, "text": "So they have a plan. They've shared it to me. That's logical. And then what they would hope is that sometime during that time frame, to"}, {"path": "tedlium_9808.wav", "duration": 11.1, "text": "kind of have more prolific benchmarked products have had to react. And I do think, in general, the trend on fees is down, but it's not going to be a major thing for us."}, {"path": "tedlium_9809.wav", "duration": 11.1, "text": "As you may recall from our call last quarter, I discussed the plan that our leadership team is focused on in order to address the tremendous opportunity we have to take Marlin to the next level of growth and profitability,"}, {"path": "tedlium_9810.wav", "duration": 11.1, "text": "of sharing the savings with our customers by offering attractive prices on our insurances. And so"}, {"path": "tedlium_9811.wav", "duration": 11.1, "text": "Of course, one of the main reasons for those weak prices is that the traditional storage reservoirs in the province that add demand for gas in the summertime,"}, {"path": "tedlium_9812.wav", "duration": 11.1, "text": "on the performance of emerging market equities. I think we've seen a sharp improvement over the last couple of months as the market dynamics that Keith was"}, {"path": "tedlium_9813.wav", "duration": 11.1, "text": "So we think we can maintain that. On your second question, in terms of whether we get to the point where growth inflows are matched by outflows? Not really. I mean, if you look at our outflow performance,"}, {"path": "tedlium_9814.wav", "duration": 11.1, "text": "positive direct impact on those redemptions, the same difficult markets we've been talking about are having an immediate influence on client demands."}, {"path": "tedlium_9815.wav", "duration": 11.1, "text": "To appreciate those factors that may cause actual financial or operating results or the timing of matters to differ from those contemplated in such forward-looking statements."}, {"path": "tedlium_9816.wav", "duration": 11.1, "text": "Our portfolio is more focused and increasingly more aligned to the long term, more attractive categories and segments. Our brands continue to strengthen."}, {"path": "tedlium_9817.wav", "duration": 11.1, "text": "although the first quarter will still be recuperating, in my opinion, we see some positive news moving forward. So now in India, just to get the whole story"}, {"path": "tedlium_9818.wav", "duration": 11.1, "text": "Caroline has an impressive track record of success with extensive and diverse design experience and creative expertise, brings with her tremendous talent, retail experience and leadership skills."}, {"path": "tedlium_9819.wav", "duration": 11.1, "text": "But good to see a resurgence there and at the time was when we see a little bit of uptick in the business jet market as well. I mean, it isn't all about the current activity."}, {"path": "tedlium_9820.wav", "duration": 11.1, "text": "is a very strong contributor to the overall results. We are a strong market leader in France. We are in the top 3 everywhere. And despite the fact"}, {"path": "tedlium_9821.wav", "duration": 11.1, "text": "Assessments Australia delivers assessments as a means to identify what support services may be required in order to make individuals successful in a community environment."}, {"path": "tedlium_9822.wav", "duration": 11.1, "text": "That starts to cross the line on what is trust. And that's where our industry really has to come forward and say we're going to make sure that these technologies are trust based."}, {"path": "tedlium_9823.wav", "duration": 11.1, "text": "when we do in acquisition, we do it very carefully to either add a specific product capability or add a specific end market."}, {"path": "tedlium_9824.wav", "duration": 11.1, "text": "the types of opportunities in terms of size and scale? And when we could actually -- realizing that these are multiyear projects, when -- at what point can we expect to maybe"}, {"path": "tedlium_9825.wav", "duration": 11.1, "text": "We'll continue to look at that and adjust targets as appropriate, but I'm not sure anything changes in terms of the big picture plan for South America. Yes, I mean I would say we are constantly benchmarking each of our countries"}, {"path": "tedlium_9826.wav", "duration": 11.1, "text": "We continue to feel bullish about our offering and ability to compete in the market. We can say with a high degree of confidence that we currently have the most compelling end-to-end revenue cycle"}, {"path": "tedlium_9827.wav", "duration": 11.1, "text": "We chose the latter by paying an annual supplemental dividend in such amount as to provide several years of forward visibility to the projected recurrence of such supplemental dividends."}, {"path": "tedlium_9828.wav", "duration": 11.1, "text": "Other than as required by law, we undertake no obligation to update or revise these forward-looking statements whether as a result of information, future events or otherwise."}, {"path": "tedlium_9829.wav", "duration": 11.1, "text": "and have a pretty robust plan on activities we can take if we do see weakening. I mean even go back to what we saw in Alberta a few years ago. There was a change in Alberta, in some of those strategies in Alberta as it related to"}, {"path": "tedlium_9830.wav", "duration": 11.1, "text": "As we have commented on in the past, we continue to see the expansion of mass spec technology into routine quantification workflows primarily in food safety and biopharmaceutical applications."}, {"path": "tedlium_9831.wav", "duration": 11.1, "text": "It helps ensure we meet our customer priorities as well as helps offset market-specific dynamics like product life cycles or even partner challenges."}, {"path": "tedlium_9832.wav", "duration": 11.1, "text": "And so we think that having the ability to bill for EXPAREL, even in an environment where it is currently the standard of care, is going to really accelerate"}, {"path": "tedlium_9833.wav", "duration": 11.1, "text": "and what we've really done in particularly the last 12 to 18 months is launched a whole array of new products. So now we don't just have our panel lift door and our more premium panel lift icon door."}, {"path": "tedlium_9834.wav", "duration": 11.1, "text": "Recent reserve power sales and order trends continue to be robust in the Americas, driven mainly by increased orders for our industry-leading Thin Plate Pure Lead batteries across all segments."}, {"path": "tedlium_9835.wav", "duration": 11.1, "text": "a Risk Slide tool to help customers quantify and visualize the impact of market events, income tools, to seamlessly add options for stock positions in one click,"}, {"path": "tedlium_9836.wav", "duration": 11.1, "text": "As of today, we continue to focus on our strategies to serve our customers well with quality and reliable solutions which meet their business needs over the-long term."}, {"path": "tedlium_9837.wav", "duration": 11.1, "text": "First, we expect to deploy capital to support organic growth opportunities. This includes operational improvements, sales force investments and new product development."}, {"path": "tedlium_9838.wav", "duration": 11.1, "text": "We still want to see the local business accelerate to its true potential. We still have to fully stabilize our international business, and we still have to deliver big customer experience wins. However,"}, {"path": "tedlium_9839.wav", "duration": 11.1, "text": "just to handle the business that we expect to come on board this year. So I -- in the aggregate, I think that, that's safe. We do not intend -- we don't have a plan to"}, {"path": "tedlium_9840.wav", "duration": 11.1, "text": "on an already efficient platform in terms of how we operate. So it's a balanced approach. It's the right approach. And I think it's going to take a little time to implement. It's not going to happen overnight."}, {"path": "tedlium_9841.wav", "duration": 11.1, "text": "It is pretty much in line with the approximately 50 basis point lower, which is a kind of a net effect of the price impact"}, {"path": "tedlium_9842.wav", "duration": 11.1, "text": "it's not that we don't explain ourselves, it's not that we don't point folks to things that they can read and draw their own conclusions, but as we've done that, what I can tell you is the conversation very quickly turns back to"}, {"path": "tedlium_9843.wav", "duration": 11.1, "text": "I have put these disciplines in place and watched it at work in other companies, and I'm confident about its ability to positively impact margins."}, {"path": "tedlium_9844.wav", "duration": 11.1, "text": "We look forward to identifying additional attractive assets, executing on our commercial initiatives and delivering meaningful therapeutic options for patients and sustainable growth to shareholders."}, {"path": "tedlium_9845.wav", "duration": 11.1, "text": "Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risk and changes and circumstances, many of which are outside of our control."}, {"path": "tedlium_9846.wav", "duration": 11.1, "text": "We have developed a comprehensive cloud-based learning management system that will provide our teammates with both the technical skill set needed to effectively serve our customers today"}, {"path": "tedlium_9847.wav", "duration": 11.1, "text": "Margins will also be impacted by a significant increase in property taxes between years, the increase in the Arizona minimum wage and the revenue shifts that Dan will discuss."}, {"path": "tedlium_9848.wav", "duration": 11.1, "text": "treated the same way as physical threats. They're not. They're coming from anywhere in the world, and our systems are not designed"}, {"path": "tedlium_9849.wav", "duration": 11.1, "text": "The newly acquired Alent and OM Group assets experienced modest headwinds, particularly from the electronics end markets but performed in line with our expectations."}, {"path": "tedlium_9850.wav", "duration": 11.1, "text": "that's targeted and intended and gets to its audiences. And so we see absolutely no sign of the secular shift away. We think this is an unusual time period"}, {"path": "tedlium_9851.wav", "duration": 11.1, "text": "It really does come down to prioritizing where we drill, and that is driven by how can we commercialize and do that in a timely way."}, {"path": "tedlium_9852.wav", "duration": 11.1, "text": "and our synergy commitments. And now we are glad we did because while we are starting from a lower base, we anticipate delivering strong EPS growth off of that new base"}, {"path": "tedlium_9853.wav", "duration": 11.1, "text": "Factors that would tend to reduce our gross profit percentage include a shift in mix towards PINPOINT and DermACELL, which are currently toward the lower end of our gross profit range."}, {"path": "tedlium_9854.wav", "duration": 11.1, "text": "while investing in our business and managing our capital allocation programs efficiently in order to drive long-term value for all of our key stakeholders."}, {"path": "tedlium_9855.wav", "duration": 11.1, "text": "in the second quarter. We typically don't talk about these things as we go through them because we typically don't have big issues as we turn them on. And so we're continuing to invest there"}, {"path": "tedlium_9856.wav", "duration": 11.1, "text": "over the last couple of years increased the capacity, and part of that has also been to prepare for the next move, so they could also relatively easy and fast"}, {"path": "tedlium_9857.wav", "duration": 11.1, "text": "to stay with Compugen? And then, the strategic advisors, how much time of their working day do they spend advancing the interests"}, {"path": "tedlium_9858.wav", "duration": 11.1, "text": "This event resulted in our need to reschedule the filing of our IND, which was originally planned for Q4 of this year."}, {"path": "tedlium_9859.wav", "duration": 11.1, "text": "what were old processes that were put in place that may be much more efficiently executed with the same results on a much lower cost basis,"}, {"path": "tedlium_9860.wav", "duration": 11.1, "text": "But we've been able to, I think, really take advantage of the broad platform that we have that sources deals in many different industries and types"}, {"path": "tedlium_9861.wav", "duration": 11.1, "text": "up further as a result of the model being introduced not in all markets at the same time, but rather sort of successively in different markets, and they start picking up volume."}, {"path": "tedlium_9862.wav", "duration": 11.1, "text": "So if you have to pay more for it, it's just like steel going up in a construction project. On the other hand, because of inflation, which oftentimes accompanies rising interest rates, and that's the reason for the rate rise,"}, {"path": "tedlium_9863.wav", "duration": 11.1, "text": "And so then can you quantify, of the remaining freighter in your fleet, how much more is there a risk to a write-down? Or is this all that you've taken and there's nothing left to take?"}, {"path": "tedlium_9864.wav", "duration": 11.1, "text": "Most importantly, we maintain our strong confidence in our ability to grow free cash flow and continue to support a high payout ratio over free cash flow for the dividend."}, {"path": "tedlium_9865.wav", "duration": 11.1, "text": "and they've been very helpful in the past on several things. And so there's probably a couple of other areas that can help us on liquidity in the meantime also."}, {"path": "tedlium_9866.wav", "duration": 11.1, "text": "So we have a number of benchmarks and data points that suggest that we are doing this, that we've made a lot of progress here, and I think that piece will continue."}, {"path": "tedlium_9867.wav", "duration": 11.1, "text": "And I just noticed that in today's discussion, we've hardly talked about there being an election or that one of the parties has a manifesto that seeks to return national infrastructure into public ownership over time."}, {"path": "tedlium_9868.wav", "duration": 11.1, "text": "and we are on track to accomplish both of these goals in fiscal 2018. We do anticipate some fluctuation in our financial results this year as we implement a number of strategic changes across the"}, {"path": "tedlium_9869.wav", "duration": 11.1, "text": "We had great excitement in our partner channel program during the quarter, adding 16 new partners for the quarter and that momentum has continued into Q2 with very strong partner additions"}, {"path": "tedlium_9870.wav", "duration": 11.1, "text": "as foreign exchange rates were not favorable for monetizing the funds. Going forward, we expect to see normalized fixed interest expenses based on current debt levels."}, {"path": "tedlium_9871.wav", "duration": 11.1, "text": "I will now turn the call over to Andy to provide more details on our second fiscal quarter 2017 results as well as our outlook for the remainder of the year. Andy?"}, {"path": "tedlium_9872.wav", "duration": 11.1, "text": "taking our HR function from that of a purely transactional organization to one which recognizes the value in and power of our human capital and serves as a true partner to our business."}, {"path": "tedlium_9873.wav", "duration": 11.1, "text": "Within our downstream business, we see continued positive momentum in both refinery expansion and petro chem. This is driven largely by growing global population and increasing prosperity."}, {"path": "tedlium_9874.wav", "duration": 11.1, "text": "In 2018, there is much to do, and we are focused to deliver on our key priorities. I want to share some financial thoughts with you for the early part of the year."}, {"path": "tedlium_9875.wav", "duration": 11.1, "text": "and we believe is one of the more attractive projects from a return and capital intensity perspective within the industry, and it comes with the support of the host government."}, {"path": "tedlium_9876.wav", "duration": 11.1, "text": "contributing to that, whether it's your food colors or your food preservation, some of the extracts that you've been getting into. Can you talk a little bit more to"}, {"path": "tedlium_9877.wav", "duration": 11.1, "text": "is that a number you're comfortable with or do you still see room for real estate expansion? I mean how do we think about that in our model kind of on a couple year basis, long term basis?"}, {"path": "tedlium_9878.wav", "duration": 11.0999375, "text": "The arbitrated access prices require to reflect cost, including our commercial rate of return, prevailing market conditions for funds and risk."}, {"path": "tedlium_9879.wav", "duration": 11.0700625, "text": "will be used to invest in upstream capital projects with the intention to deliver production and reserves growth and increased activity and employment in the areas where we operate."}, {"path": "tedlium_9880.wav", "duration": 11.07, "text": "Good synergies, good assets, strong customer support, we think the returns are going to be very attractive."}, {"path": "tedlium_9881.wav", "duration": 11.07, "text": "Five, be the partner of choice for RNAi therapeutics. Everything we have discussed today from our development speed to our encouraging early clinical data and ability to target a variety of tissues"}, {"path": "tedlium_9882.wav", "duration": 11.07, "text": "Given our broader customer footprint and market-leading position and focus areas of business, we believe we can remain relatively agnostic to any potential share shifts."}, {"path": "tedlium_9883.wav", "duration": 11.07, "text": "A lot of that stuff never really rebooked and you have had supply. But do you think -- I mean, is there -- do you study the trends? Do you think there's any -- it's international down too, is that"}, {"path": "tedlium_9884.wav", "duration": 11.07, "text": "The capacity and the production coming out of the new investment in Shelby is critical to our long-term strategy to be able to meet our customer commitments."}, {"path": "tedlium_9885.wav", "duration": 11.07, "text": "we still think we're very low penetrated in a number of key markets, and we still have opportunity, we think, to grow significantly. If you look at unused medication and how well we've grown,"}, {"path": "tedlium_9886.wav", "duration": 11.07, "text": "I think there are going to be more opportunities there were in 2015 with more stress in the insurance system than there has been historically, and we expect that to continue into 2016, as we expect to continue to attract talent."}, {"path": "tedlium_9887.wav", "duration": 11.07, "text": "our February earnings call, I talked about things generally, and you'll note that this quarter I've been a lot more specific about the numbers."}, {"path": "tedlium_9888.wav", "duration": 11.07, "text": "In addition, during today's call, unless otherwise stated, references to our results are provided as non-GAAP financial measures and are reconciled to our GAAP results,"}, {"path": "tedlium_9889.wav", "duration": 11.07, "text": "So from our perspective, it's pretty much a finalized issue. The performance shares have not been issued yet, but they will be issued at some point in the future"}, {"path": "tedlium_9890.wav", "duration": 11.07, "text": "getting to be about flat in 3Q and slightly positive in 4Q. The impact of the mortgage market on Equifax growth is significant in the first half of '19, impacting total revenue negatively"}, {"path": "tedlium_9891.wav", "duration": 11.07, "text": "must have been a priority for the Department of Energy, to get it out so early in a Trump term. Can you comment about where you see this"}, {"path": "tedlium_9892.wav", "duration": 11.07, "text": "Before I end, I want to thank all of our associates for the awesome job they do day in and day out. They truly are the heart and soul of Five Below,"}, {"path": "tedlium_9893.wav", "duration": 11.07, "text": "The Business intelligence business is improving at a scale and rate, and we feel quietly confident that our ambition to deliver a full year of positive growth in '16, we can do."}, {"path": "tedlium_9894.wav", "duration": 11.07, "text": "Thank you. Good afternoon, and thank you for joining today's conference call, which will be available for replay telephonically and on Ichor's website shortly after we conclude this afternoon."}, {"path": "tedlium_9895.wav", "duration": 11.07, "text": "gather a group of people who really understand the market. It's not that we haven't been trying to do that. The keyword here is a group."}, {"path": "tedlium_9896.wav", "duration": 11.07, "text": "to basically take labor that's adding nothing to the bottom line for the company and then redirecting it into projects, which actually recognize the value of the services we deliver."}, {"path": "tedlium_9897.wav", "duration": 11.07, "text": "we would be utilizing our Lincoln business system to be able to try to minimize, if not eliminate that through productivity actions that we'll be driving in various places around the world. And"}, {"path": "tedlium_9898.wav", "duration": 11.07, "text": "I feel like you've said in the past, you've said you have pretty good visibility on what's going on in the marine business. So is the strength there going to be sustainable?"}, {"path": "tedlium_9899.wav", "duration": 11.07, "text": "Our strong local stations continue to provide one of the essential ways to broadly reach targeted constituents, especially voters. And that's clearly reflected again this year."}, {"path": "tedlium_9900.wav", "duration": 11.07, "text": "it will take longer. So we expect this year will be a year where we really start to narrow the areas where"}, {"path": "tedlium_9901.wav", "duration": 11.07, "text": "A meaningful component of that future value is tied to sparsentan. I know much of the focus recently has been on its regulatory pathway. So I'll walk through our update from earlier today."}, {"path": "tedlium_9902.wav", "duration": 11.07, "text": "The e-Builder acquisition closed in February and we remain very bullish on the business and the market opportunity. Revenue and profitability have exceeded our plan thus far."}, {"path": "tedlium_9903.wav", "duration": 11.07, "text": "in revenue at the time. And that was basically to take an even stronger position in the floor grinding segment. HTC is the market leader in that segment."}, {"path": "tedlium_9904.wav", "duration": 11.07, "text": "To give these and all our other shareholders a more comprehensive view of our performance, while we are pleased with our results and the outlook for the company, there are some challenges we have been facing."}, {"path": "tedlium_9905.wav", "duration": 11.07, "text": "A transcript and replay of this call will be available on our website later today. Thank you all for listening. This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_9906.wav", "duration": 11.07, "text": "To me, it demonstrates what we've been saying, that is that we are insulated from the direct and indirect impacts of very low commodity environment, but we're not immune."}, {"path": "tedlium_9907.wav", "duration": 11.07, "text": "the Class A sublet market could put pressure on some of the B lease rates in Houston before this is all said and done."}, {"path": "tedlium_9908.wav", "duration": 11.07, "text": "An RNAi-based approach to blocking the production of complement pathway factors offers the potential to inhibit the uncontrolled complement activation that drives many serious diseases."}, {"path": "tedlium_9909.wav", "duration": 11.07, "text": "those not only come with a much, much lower servicing fee, but they're also not prepayment protected to us. So as a result of that, if the loan pays off, the servicing goes away."}, {"path": "tedlium_9910.wav", "duration": 11.07, "text": "So we're much more nimble now with what we can do, how we can get the photography absolutely right. The photography you see in those commercials actually was done in our new studio,"}, {"path": "tedlium_9911.wav", "duration": 11.07, "text": "I suppose it would depend what exactly you might mean by material, but we're very optimistic with what Omni can do. It's is a very exciting space,"}, {"path": "tedlium_9912.wav", "duration": 11.07, "text": "As I have discussed on prior calls, we are simultaneously investing in the business, promoting efficiencies across our banners and executing on our plans for capturing synergies where available"}, {"path": "tedlium_9913.wav", "duration": 11.07, "text": "about taking -- keeping the good pieces of CCAR and continuing to focus on how it can be made into a better tool"}, {"path": "tedlium_9914.wav", "duration": 11.07, "text": "and specialized knowledge of state teacher retirement programs and benefits help position us to be successful in continuing to serve our educators in a holistic manner."}, {"path": "tedlium_9915.wav", "duration": 11.07, "text": "Now let's turn to today's results. As noted in today's press release, sales and earnings for both the fourth quarter and fiscal year outperformed our expectation."}, {"path": "tedlium_9916.wav", "duration": 11.07, "text": "after a period of time, that just needs to come back to roost. And so we think that trend should continue relatively smoothly over the coming year and hopefully, for several years to come."}, {"path": "tedlium_9917.wav", "duration": 11.07, "text": "of realizing the full benefit of premium drilling. In 2018, we'll improve in every category we use to measure performance internally."}, {"path": "tedlium_9918.wav", "duration": 11.07, "text": "And specifically, where in the store should it go? Should it go and take space from our big brands? Or should it have new incremental space? The good news is our relationships with the retailers are so strong"}, {"path": "tedlium_9919.wav", "duration": 11.07, "text": "it seems to me like the government and the public authorities are a little bit worried that 5G deployment might not go as quickly as they would hope probably."}, {"path": "tedlium_9920.wav", "duration": 11.07, "text": "mobile financial services in Orange, which is one of the key diversification roads we have decided to embark on."}, {"path": "tedlium_9921.wav", "duration": 11.07, "text": "In terms of capital allocation, we have one overarching goal and that is to strategically deploy capital where we believe we can drive the greatest value for our shareholders."}, {"path": "tedlium_9922.wav", "duration": 11.07, "text": "is extremely well positioned when it comes to product innovation, when it comes to distribution, and they can really reap the benefit of this great positioning."}, {"path": "tedlium_9923.wav", "duration": 11.07, "text": "One of the benefits we're finding to prerecording our quarterly commentary and releasing it early is that we tend to get a lot of feedback on questions people have about anything we've said that might be confusing"}, {"path": "tedlium_9924.wav", "duration": 11.07, "text": "followed by a modest increase this year, as the natural impact of top line growth was partially offset by the continued gains we're making to improve working capital efficiency."}, {"path": "tedlium_9925.wav", "duration": 11.07, "text": "These 2 strategic investments will highly differentiate our offering in a way that no one else can deliver and can create a highly defensible platform that will continue to pull further ahead of our competition."}, {"path": "tedlium_9926.wav", "duration": 11.07, "text": "This growth was offset by volume fluctuations with several communications clients and certain program completions, including the impact of previously divested BPO businesses."}, {"path": "tedlium_9927.wav", "duration": 11.07, "text": "We also continue to analyze the potential impact that the Clean Power Plan could have on our Kentucky operations. The precise impact is difficult to pin down at this point."}, {"path": "tedlium_9928.wav", "duration": 11.07, "text": "decent price performance in the first part of the year. But in the middle of the year, where in prior years we had, had some decent success on pricing, we did not have as much success in 2015. As a result,"}, {"path": "tedlium_9929.wav", "duration": 11.07, "text": "Obviously, with the soft retail demand and, as Steve mentioned earlier, we are mindful of potential deleveraging in this line item and are being very strategic in our investments."}, {"path": "tedlium_9930.wav", "duration": 11.07, "text": "but also making sure we're getting our fair share in SMB because we are seeing attractive economics there."}, {"path": "tedlium_9931.wav", "duration": 11.07, "text": "Commodity prices have increased recently, but there's still an excess supply. Is this sustainable or will it have an impact on new equipment purchases. Nobody really knows this at this point."}, {"path": "tedlium_9932.wav", "duration": 11.07, "text": "the first quarter, I think the thing that everybody that were taken away from it, was the -- and Paul will get through it later, but"}, {"path": "tedlium_9933.wav", "duration": 11.07, "text": "we don't necessarily want your day-to-day business. What we want you to do is look at Ferro for the future. We're going to service you with applications and please consider us"}, {"path": "tedlium_9934.wav", "duration": 11.07, "text": "I believe as a brand, we continue to have a lot of pricing power. But there's a difference between what we could take and what we should take. I have said that for many years."}, {"path": "tedlium_9935.wav", "duration": 11.07, "text": "It's a very exciting time as I don't have to tell many of you in this room who know it as well as some of our businesses do. Huge transformation happening in terms of technology."}, {"path": "tedlium_9936.wav", "duration": 11.07, "text": "The second thing is that our customers are really struggling with a lot of the new technologies coming in and one of the things that we've heard time and again over the past couple of years is that customers don't just want to quit but they also want to help."}, {"path": "tedlium_9937.wav", "duration": 11.07, "text": "under development or construction that is not generating any EBITDA, which continues to be strong at slightly over 2x coverage."}, {"path": "tedlium_9938.wav", "duration": 11.07, "text": "preparing for exams and those sorts of things as opposed to substantive consequences for the business. But again, not because it isn't on the radar screen, but because we think we're in good shape there."}, {"path": "tedlium_9939.wav", "duration": 11.07, "text": "I'm not at all concerned about the brand. We're down to -- I think the brand's in really, really good shape and I think Susan and TJ would agree that it's less about how the brand is going to be positioned in Canada"}, {"path": "tedlium_9940.wav", "duration": 11.07, "text": "We elected to raise money recently to improve our working capital during this period of low revenue. That increased the share count and impacted our stock price."}, {"path": "tedlium_9941.wav", "duration": 11.07, "text": "Part of it is the capacity and the ability that we have -- our own distribution capability enables us to, if you will, buy in advance where we can. So I think that certainly helps"}, {"path": "tedlium_9942.wav", "duration": 11.07, "text": "I would say that the first is that, for this quarter, it felt more like normal levels. But the other comment I would make is that"}, {"path": "tedlium_9943.wav", "duration": 11.07, "text": "primarily reflecting the impact of specific allowances recorded against energy loans in 2016. These factors were partially offset within common shareholders' net income"}, {"path": "tedlium_9944.wav", "duration": 11.07, "text": "On the same basis, this growth rate dropped to 0 in the fourth quarter. For the first time in 2 years, revenue declined versus the prior year's quarter."}, {"path": "tedlium_9945.wav", "duration": 11.07, "text": "And at the same time, we negotiated amendments to our credit facility to accommodate for that. It's important to note that we are in compliance with all of our"}, {"path": "tedlium_9946.wav", "duration": 11.07, "text": "Before Bill gets into the details on our results, I just wanted to spend a few minutes on what we see as some of the really key takeaways from the second quarter performance."}, {"path": "tedlium_9947.wav", "duration": 11.07, "text": "As an organization, we're proud of the accomplishments to reduce debt over the past 6 months. However, clearly, need -- more needs to be accomplished"}, {"path": "tedlium_9948.wav", "duration": 11.07, "text": "the value of the debt and equity of the replacement property has to be higher than the value and debt or equity and debt of the relinquished property. So our acquisition"}, {"path": "tedlium_9949.wav", "duration": 11.07, "text": "close to having something done, where are we on that scale? We -- Frank, we don't really comment on rumors or speculation regarding acquisitions. We do our best to try to"}, {"path": "tedlium_9950.wav", "duration": 11.07, "text": "This has been an important part of our effort to reduce the percentage of our patients with noncompliant orthopedic conditions in favor of stroke and neurological patients."}, {"path": "tedlium_9951.wav", "duration": 11.07, "text": "and, again, how we convert that technical performance into commercial results through the contractual arrangements as well. So I think we have a good view on, one, again, what needs to happen. We have a good dialogue"}, {"path": "tedlium_9952.wav", "duration": 11.07, "text": "What are we going to do in this expansion? We are going to have new anchor stores, a new fast fashion store. We will have a financial"}, {"path": "tedlium_9953.wav", "duration": 11.07, "text": "Yes. At this point, obviously, our strong sense of what we're looking for based on the things that we do is to look for terminals that we can enhance profitability"}, {"path": "tedlium_9954.wav", "duration": 11.07, "text": "And I think that's what you'll see play out as we go through the rest of the year. You've got to bring these things to life in each individual retailer. And price is one key metric of that right now."}, {"path": "tedlium_9955.wav", "duration": 11.07, "text": "some of the declines in the larger brands. So that's why in our prepared comments, we wanted to call out the fact that there is a focus on these"}, {"path": "tedlium_9956.wav", "duration": 11.07, "text": "And we also think once more that having 60% of our business there and obviously these very strong positions that we are very well placed to capitalize on that."}, {"path": "tedlium_9957.wav", "duration": 11.07, "text": "Your product support was down 7% as reported against this somewhat difficult prior year comparable. So I'm just curious how you interpret the performance of that business in the quarter."}, {"path": "tedlium_9958.wav", "duration": 11.07, "text": "While we expect these efforts to impact our sales in the short term, which is already reflected in our guidance, we believe this is the right course of action to protect the long-term health of the Vince brand."}, {"path": "tedlium_9959.wav", "duration": 11.07, "text": "Simply put, we anticipate that the total repurchases in any given year would range approximately between 10% and 20% of our free cash flow."}, {"path": "tedlium_9960.wav", "duration": 11.07, "text": "I can tell you it's very cold there now. Yesterday, it was minus 52. But at the end of the day, we still have got to be off the ice, I think, at the end of the third week in April generally."}, {"path": "tedlium_9961.wav", "duration": 11.07, "text": "as clients manage risk against pension schemes that are frozen, largely underfunded and facing regulatory changes, solutions to derisk pension plans and support for delegated investment solutions,"}, {"path": "tedlium_9962.wav", "duration": 11.07, "text": "I want to ask everyone maybe to indulge for a second while I step back and put a few things in perspective relative to this past year and the upcoming year."}, {"path": "tedlium_9963.wav", "duration": 11.07, "text": "Therefore, you should exercise caution in interpreting and relying on them. We refer you to our SEC filings for more detailed discussion of the risks that could impact our future operating results and financial condition."}, {"path": "tedlium_9964.wav", "duration": 11.07, "text": "after the decline expected in second half '15 and beginning of '16. We have seen improvement the last couple of quarters as a result of good project execution."}, {"path": "tedlium_9965.wav", "duration": 11.07, "text": "And it's these 3 keys to success that, I believe, are important to take away from our discussion today, EnLink is in the right places with the right partners and is executing with excellence,"}, {"path": "tedlium_9966.wav", "duration": 11.07, "text": "Secondly, on the respimetrix investment, could you tell us more about the development time lines, meaning when could the product be ready for market launch?"}, {"path": "tedlium_9967.wav", "duration": 11.07, "text": "With the acquisition of Sensile, we started a new division, Advanced Technologies, and it was always planned to add more technology into this division step-by-step."}, {"path": "tedlium_9968.wav", "duration": 11.07, "text": "We also intend to streamline 3 operational hubs and 2 joint ventures as well as continue to drive towards common technology platforms and the retirement of legacy applications."}, {"path": "tedlium_9969.wav", "duration": 11.07, "text": "We believe that our focus on optimizing our infrastructure will help us improve the operating margin over the long term and maintain it in the high-20% range."}, {"path": "tedlium_9970.wav", "duration": 11.07, "text": "These statements reflect the company's beliefs based on current conditions that are subject to certain risks and uncertainties that are detailed in the company's press release and public filings."}, {"path": "tedlium_9971.wav", "duration": 11.07, "text": "Simply put, the continued execution of our multiyear pipeline moves us relentlessly towards our purpose of owning centers that are the center of the communities we serve."}, {"path": "tedlium_9972.wav", "duration": 11.07, "text": "so not only recommendation of buying or selling, but also bridges of different clusters of recommendation of levels, and the relationship manager can then"}, {"path": "tedlium_9973.wav", "duration": 11.07, "text": "We are also continuing to make progress in a number of other areas. Our focus on great local brands and content continues to pay off for us in the ratings as Entercom remains a leader in Nielsen ratings growth."}, {"path": "tedlium_9974.wav", "duration": 11.07, "text": "we discovered this problem, and I think that we have -- there's definitely things, as we went through our review, things that we can improve. And we have those"}, {"path": "tedlium_9975.wav", "duration": 11.07, "text": "caused the business mix of the retail segment to shift towards CTR. And given its business model, it has, as you know, the lowest margin rate of our 3 retail businesses."}, {"path": "tedlium_9976.wav", "duration": 11.07, "text": "And then for that type of growth, what are you seeing in terms of the markets? You mentioned the tariffs, and it's not really impacting the demand. But if you could give kind of a flavor how you see demand"}, {"path": "tedlium_9977.wav", "duration": 11.0699375, "text": "seem to be a more prudent source of growth, and we're optimistic that we'll be able to pull down more of these opportunities for reserve -- real reserve adds in the future."}, {"path": "tedlium_9978.wav", "duration": 11.0699375, "text": "fiscal '17. Our fiscal '16 performance came from strong execution. It is the result of the changes we made. The consumer is at the heart of our business."}, {"path": "tedlium_9979.wav", "duration": 11.0699375, "text": "for longer than we had previously expected, which resulted in our decision to close a few of our underperforming locations that are solely dependent on energy customers."}, {"path": "tedlium_9980.wav", "duration": 11.04, "text": "As we go through the remainder of the year, lower than anticipated net revenue growth could be offset by a bundle of short-term cost measures."}, {"path": "tedlium_9981.wav", "duration": 11.04, "text": "they have tightened up their procurement across their network and so it's taking longer and it's harder for these particular end users to acquire the equipment."}, {"path": "tedlium_9982.wav", "duration": 11.04, "text": "And there are early signs of success from our investment in motor and home broking. We are delivering new customers. Let's be clear, it's only 2 months in"}, {"path": "tedlium_9983.wav", "duration": 11.04, "text": "we've passed all those gates. Now we have the production on those first 3 programs. So that's vitally important because performing operationally was the last thing that we had to do."}, {"path": "tedlium_9984.wav", "duration": 11.04, "text": "Since the beginning of the year, we've conducted 5 intensive training sessions on our Heidrick Consulting offerings for our Search consultants, we have 3 more coming up over the next month."}, {"path": "tedlium_9985.wav", "duration": 11.04, "text": "and a paint shop in Great Falls and more recently a new paint shop in Terrebonne. To benefit from these investment we need to make sure they perform to full capacity."}, {"path": "tedlium_9986.wav", "duration": 11.04, "text": "In addition to that, we are currently working on what we believe to be a disruptive new model where we would be able to provide services directly to entire hospitals and hospital systems."}, {"path": "tedlium_9987.wav", "duration": 11.04, "text": "from our cash and investment balance at the end of fiscal 2016. Our 2017 public offering resulted in the substantial strengthening of our financial position,"}, {"path": "tedlium_9988.wav", "duration": 11.04, "text": "The reason I felt that it was important to mention is that we spent the first 7 months of the fiscal trying to make Global E-Commerce profitable and investing very heavily in the division."}, {"path": "tedlium_9989.wav", "duration": 11.04, "text": "So the top line increased, as I just explained, and I want to note just a couple of other points. So the gold price average takes as usual into account the streaming financing for Karma."}, {"path": "tedlium_9990.wav", "duration": 11.04, "text": "of total assets would not be unusual. We're above that right now because of that Shared National Credit at 88 basis points, but that's still kind of in line with peer medians and means."}, {"path": "tedlium_9991.wav", "duration": 11.04, "text": "but on a full year basis, increased by 18%. As Dominic noted, we continue to make investments in our product capabilities and client-facing teams"}, {"path": "tedlium_9992.wav", "duration": 11.04, "text": "Germany has been very strongly affected both on the Retail side as the Food Service side by adverse weather condition in the first 4 month of the year."}, {"path": "tedlium_9993.wav", "duration": 11.04, "text": "It's a place where branding can make a difference. It's a place where we can deliver an experience both in terms of service and quality that we want our customers to have."}, {"path": "tedlium_9994.wav", "duration": 11.04, "text": "if that makes sense at some point in the future, and that's what the owner wants to do, then we'll go down that path."}, {"path": "tedlium_9995.wav", "duration": 11.04, "text": "liquid formulations can have a faster onset than capsules or pills, and so that's what we would expect in this situation. And then I think the other thing is we really want to"}, {"path": "tedlium_9996.wav", "duration": 11.04, "text": "We've always retained more of that net. So as we change our mix of business, that changes the difference between gross and net as well."}, {"path": "tedlium_9997.wav", "duration": 11.04, "text": "The goal here is to break more rock and improve perforation efficiencies in hydrocarbon recovery and equally do so with fewer stage, while maintaining high rates of proppant loading."}, {"path": "tedlium_9998.wav", "duration": 11.04, "text": "the way that we're thinking about it is that we're -- our indications are that we will see an up year over what was a strong year and that is driven by the"}, {"path": "tedlium_9999.wav", "duration": 11.04, "text": "marketed that system at all? Or are any of the motors that you guys are making utilizing that technology? And is there any interest from companies in going that route with"}, {"path": "tedlium_10000.wav", "duration": 11.04, "text": "Have you -- clearly you've probably looked a little bit at them. Can you talk at all in terms of what the opportunities are there? Because they didn't really seem to have much volume effect, at least that we could see."}, {"path": "tedlium_10001.wav", "duration": 11.04, "text": "We are not going to put a specific time frame on when we expect to achieve this goal due to the number of uncertainties in the near term that could impact the timing of achieving it."}, {"path": "tedlium_10002.wav", "duration": 11.04, "text": "Renewable energy sales were down as a result of timing issues. However, we expect sales for the full year into this market to be similar to last year."}, {"path": "tedlium_10003.wav", "duration": 11.04, "text": "through gene therapy that will make a meaningful difference in the lives of people living with these life-threatening condition and that have the potential to one day lead to cures."}, {"path": "tedlium_10004.wav", "duration": 11.04, "text": "The issue resulted in a shortfall in revenue and excess costs in the fourth quarter and will also impact Q1. However, we are confident we have a solution that will get us back on track later this month."}, {"path": "tedlium_10005.wav", "duration": 11.04, "text": "We're the most aggressive in trying to hold our customers accountable for us to recover our margins. We provide a lot of value to our customers, a lot of new technology."}, {"path": "tedlium_10006.wav", "duration": 11.04, "text": "Revenues declined by 12% in a challenging market. This resulted from lower revenues in our Corporate Finance business, with revenues from transaction banking being almost flat."}, {"path": "tedlium_10007.wav", "duration": 11.04, "text": "because you run parallel with the people that you bring into the inside, and it takes 3 to 4 months until you actually release people on the outside. And if you add all that up"}, {"path": "tedlium_10008.wav", "duration": 11.04, "text": "the businesses that we acquired actually offset the volume decline that we experienced in the legacy business. So that is just ramping up."}, {"path": "tedlium_10009.wav", "duration": 11.04, "text": "Our continuous evaluation of the sources of success has resulted in a nongrowing pruning of our underperformed product lines and initiatives that cannot be fixed in a reasonable time period."}, {"path": "tedlium_10010.wav", "duration": 11.04, "text": "Moving to Slide 9. As a direct result of our strategic partnership with GDS, during the second quarter, we signed leases totaling more than 10 megawatts with 2 Chinese hyperscale customers."}, {"path": "tedlium_10011.wav", "duration": 11.04, "text": "That said, we're off to a good start this quarter, having already closed several deals that moved out of the third quarter, which gives us confidence for the fourth quarter."}, {"path": "tedlium_10012.wav", "duration": 11.04, "text": "business people coming to the country. And because of the devaluation, the country became a little bit more cheap. We see a new trend of people visiting Argentina, and we believe this"}, {"path": "tedlium_10013.wav", "duration": 11.04, "text": "We aggressively marketed to mobile, e-mails and social to our engaged digital community of over 7 million customers."}, {"path": "tedlium_10014.wav", "duration": 11.04, "text": "As CEO, I am energized by their personal commitment as we work together on the path to future success. With that, I'll turn it over to Dan to go through our financial results in more detail."}, {"path": "tedlium_10015.wav", "duration": 11.04, "text": "These new agents are off to a great start, but due to high standards of selection, we were slightly slower to sign on the agents compared to what we had originally expected."}, {"path": "tedlium_10016.wav", "duration": 11.04, "text": "year-on-year? What we have said and what we continue to believe is true is the decline in diesel prices over the last couple of years,"}, {"path": "tedlium_10017.wav", "duration": 11.04, "text": "We spent significant amount of time and effort this year to expand both the operational scale and capital available to be ready to accommodate the steady building supply."}, {"path": "tedlium_10018.wav", "duration": 11.04, "text": "construction of new kilometers, acquisition of subscriber equipment and special projects that we carry out during the year."}, {"path": "tedlium_10019.wav", "duration": 11.04, "text": "as well as what we call inhibitory neoantigens that appear to suppress immune responses broadly, and therefore, we wish to direct the immune system away from them."}, {"path": "tedlium_10020.wav", "duration": 11.04, "text": "These measures include a reduction of our global workforce of around 5%. I told you in January that we are now going through what we call in Rieter the cycle management."}, {"path": "tedlium_10021.wav", "duration": 11.04, "text": "That -- absolutely not. These deals are not impediments to doing deals. They're actually drivers for getting deals done. And we want to make sure that people can clearly see the value in those assets"}, {"path": "tedlium_10022.wav", "duration": 11.04, "text": "David will provide a more detailed summary of the drivers of our financial performance and key factors impacting our updated full year outlook at the conclusion of my remarks."}, {"path": "tedlium_10023.wav", "duration": 11.04, "text": "over the next 3 years is critical. And the reason we grew transactions in the mid-teens in China is because of new-store growth. And it is where"}, {"path": "tedlium_10024.wav", "duration": 11.04, "text": "And we are pleased to announce we started production on another coproduction in the hot western genre called The Outsider, with very strong cast and multi-generational appeal"}, {"path": "tedlium_10025.wav", "duration": 11.04, "text": "Yes, I can. This is David. And I can tell you that the infrastructure margin would have been"}, {"path": "tedlium_10026.wav", "duration": 11.04, "text": "long as we can continue to provide increasingly better levels of customer service, which we've been doing, we can then turn our attention to how we can manage inventory"}, {"path": "tedlium_10027.wav", "duration": 11.04, "text": "They are based on management's expectations that involve a number of risks and uncertainties, any of which could cause actual results to differ from those expressed or implied by our forward-looking statements."}, {"path": "tedlium_10028.wav", "duration": 11.04, "text": "We're planning for continued category declines while working on initiatives to stabilize share and shift focus to our strong, growing and highly profitable candy and mint platforms."}, {"path": "tedlium_10029.wav", "duration": 11.04, "text": "Cash flow statements have been recast to show the impact of the new accounting standard with installer receivables, so year-over-year cash flow results are comparable."}, {"path": "tedlium_10030.wav", "duration": 11.04, "text": "And so I think that what we're seeing is a very consistent theme, which is people continuing to focus on the very low-cost resources"}, {"path": "tedlium_10031.wav", "duration": 11.04, "text": "So we think the Marcellus and Utica certainly established itself as the supply basin for a lot of this incremental demand, and it's really the only one that can come on with that kind of scale."}, {"path": "tedlium_10032.wav", "duration": 11.04, "text": "And there we are at the whim of the larger engineering contractors and other delays that other suppliers might bring into those projects that we just get pushed out a little bit."}, {"path": "tedlium_10033.wav", "duration": 11.04, "text": "And we're very pleased to note that we managed to get unconditional approval to that merger, and now we're fully engaged in bringing the 2 companies together. I'll also say a few words about the future because there is"}, {"path": "tedlium_10034.wav", "duration": 11.04, "text": "that's what we hope you took away that, yes, we think Q4 is an anomaly. But if you take a look at the overall core growth for the company, a negative 1, and moving to that general framework next year,"}, {"path": "tedlium_10035.wav", "duration": 11.04, "text": "which we feel we can address very quickly and have a good sales network and also a good reputation in the market for"}, {"path": "tedlium_10036.wav", "duration": 11.04, "text": "believe to see very, very long-term growth trajectories within that. So that would be focus on San Antonio and the reason for the cross qualification there presently."}, {"path": "tedlium_10037.wav", "duration": 11.04, "text": "I will say, at this time, we feel generally well positioned with where the customer base is at, at the moment with the deals that we've closed. We feel it's appropriate for where the market is at."}, {"path": "tedlium_10038.wav", "duration": 11.04, "text": "I'd say it's the continued performance in the diversification of the loan portfolio across the country that is delivering the results. And it's benefiting"}, {"path": "tedlium_10039.wav", "duration": 11.04, "text": "such as the dedicated integration team we established in 2015. Identifying and hiring the best scientific and operational personnel"}, {"path": "tedlium_10040.wav", "duration": 11.04, "text": "that allows customers to ship the product to their home while still using trade currency to fund their purchase. This means that the product is selling out even before we receive it."}, {"path": "tedlium_10041.wav", "duration": 11.04, "text": "In addition, comments may also include non-GAAP financial measures. Those measures are reconciled to the comparable GAAP measures, and are included in the press release and the earnings slide materials."}, {"path": "tedlium_10042.wav", "duration": 11.04, "text": "we do from time to time deploy that in the market and buy back shares, given that we've already incurred the tax inefficiency of bringing it back home. And we did do some of that last year. So"}, {"path": "tedlium_10043.wav", "duration": 11.04, "text": "We are pleased with how this improvement was delivered, with our productivity work supporting the increase in marketing with much of the reductions in overhead still flowing through to the bottom line."}, {"path": "tedlium_10044.wav", "duration": 11.04, "text": "they've just done nothing but execute within our expectations. And our expectation was for some inefficiency and our expectation is that they'll work that inefficiency down. So"}, {"path": "tedlium_10045.wav", "duration": 11.04, "text": "Got you. Okay. And then you said in Financial Services that you might be able to overcome kind of the pricing impact but not to expect significant growth."}, {"path": "tedlium_10046.wav", "duration": 11.04, "text": "at that facility. We had always known that it would be a difficult market, in all likelihood, when those contracts rolled off. But it's proving to be even more difficult"}, {"path": "tedlium_10047.wav", "duration": 11.04, "text": "Has there been any movement in terms of new construction in Las Vegas, except for some of these peripheral things like the convention center and stadium and whatnot?"}, {"path": "tedlium_10048.wav", "duration": 11.04, "text": "and you haven't seen it yet but you possibly do as you get into 2017? I'd say it's a wait-and-see. There may be some effect in the third quarter."}, {"path": "tedlium_10049.wav", "duration": 11.04, "text": "the sustainability of that gross to net and what it tells us about how well you're working and maybe what it tells us about the economics of your business."}, {"path": "tedlium_10050.wav", "duration": 11.04, "text": "We continue to expect positive sales growth for the full year in all jurisdictions due to customer growth as well as planned expansion from some of our larger customers."}, {"path": "tedlium_10051.wav", "duration": 11.04, "text": "But in reality, all the major negotiations, all the key business points should be done by the time you signed that commitment. And I would say that was very much the case in this instance. So nothing really changed."}, {"path": "tedlium_10052.wav", "duration": 11.04, "text": "We think there is going to be some time frame for both the MACs and the providers to transition to the pre-claims demonstration. But over time, as it relates to both bad debt"}, {"path": "tedlium_10053.wav", "duration": 11.04, "text": "there are now technologies that exist that an ethanol plant can increase the value of their co-products of distillers range through multiple different opportunities. And so we chose the first one, which was"}, {"path": "tedlium_10054.wav", "duration": 11.04, "text": "We also assessed the value of the former Bucyrus business in the Canadian mining unit and the future discounted cash flow well exceeds the value we have on our books."}, {"path": "tedlium_10055.wav", "duration": 11.04, "text": "Where are the levels of incentives in retail at the moment and also your level of delinquencies in terms of tenants?"}, {"path": "tedlium_10056.wav", "duration": 11.04, "text": "And that's in the face of stronger competition from nonretirement office, such as apartments or townhomes. So we believe that really underpins the strong fundamentals of the business and gives us great confidence"}, {"path": "tedlium_10057.wav", "duration": 11.04, "text": "The optics of the quarter were affected by the impact of last year's hurricanes. Also, some shipment slid from late Q2 into early Q3, which is not unusual around the holidays."}, {"path": "tedlium_10058.wav", "duration": 11.04, "text": "Just to prove our dedication and how tough we really are, I'm actually offering Butch to take on the winner of the Mayweather fight with all the proceeds going towards the renovation of Westminster Mall."}, {"path": "tedlium_10059.wav", "duration": 11.04, "text": "We also won an expand order from the Department of Homeland Security. This was a direct result of the previous investments we had made in government-specific certifications and capabilities."}, {"path": "tedlium_10060.wav", "duration": 11.04, "text": "So that, in terms of an underlying price, is constantly moving. In terms of the prices that we are actually paying at the moment, we've locked in"}, {"path": "tedlium_10061.wav", "duration": 11.04, "text": "the big margin changes that we've seen at the peers with some announcement for bigger margin expectations having just gotten rolled out. So it's incredibly topical."}, {"path": "tedlium_10062.wav", "duration": 11.04, "text": "at building out their platform, and we could go backwards or forwards with the different technology. So it's quite exciting in the investments we're making to see the market that we could address."}, {"path": "tedlium_10063.wav", "duration": 11.04, "text": "We will continue to look objectively and thoughtfully at how best to advance our plans to increase value for our shareholders and other stakeholders."}, {"path": "tedlium_10064.wav", "duration": 11.04, "text": "We still have a book value of our freighter fleet. And you can assume the extreme and say that all of it is for -- at risk, but I think we have done what we believe is prudent and appropriate."}, {"path": "tedlium_10065.wav", "duration": 11.04, "text": "So -- but I think we'll continue to be very smart about it until we kind of see the way everybody is going to play this over the next couple of months and then how fast we can really get into some goods as well. We've been"}, {"path": "tedlium_10066.wav", "duration": 11.04, "text": "We see growth in syringes even better than expected, which confirms that it's right to further focus on this business and extend our capacities."}, {"path": "tedlium_10067.wav", "duration": 11.04, "text": "behind us. The vast majority of those costs are behind us. So there's really been an investment to build a much stronger business, which I think is indicative from"}, {"path": "tedlium_10068.wav", "duration": 11.04, "text": "somewhat muted outlook. There's so much uncertainty out there in terms of the macro environment, what it means for markets and what it means for investor flows."}, {"path": "tedlium_10069.wav", "duration": 11.04, "text": "And then just the last one for me would be if I could get your thoughts and views on just the traditional oil well maintenance work that's out there for the workover rig business."}, {"path": "tedlium_10070.wav", "duration": 11.04, "text": "While a prolonged period of depressed oil prices will likely result in continued credit stress in the industry, we actively monitor our portfolio and believe our exposures to be manageable."}, {"path": "tedlium_10071.wav", "duration": 11.04, "text": "perhaps even into 2019 before we completely get our practices fine-tuned to take full benefit of the capacity and the cost efficiency that we should get from this."}, {"path": "tedlium_10072.wav", "duration": 11.04, "text": "I am extremely excited about how we're becoming more entrepreneurial. Our approach is to blend strong science with a medical mindset and an entrepreneurial emphasis on innovation."}, {"path": "tedlium_10073.wav", "duration": 11.04, "text": "Our capital allocation strategy in 2017 includes continued investment in aligning our facilities with core OEM expansion efforts and ensuring we are well positioned to support the growth in all of our markets."}, {"path": "tedlium_10074.wav", "duration": 11.04, "text": "The market for retail deposits was not impacted whatsoever by the first Fed rate hike, so we saw no increase in our cost of funds there."}, {"path": "tedlium_10075.wav", "duration": 11.04, "text": "we can typically deliver value in a much faster time frame and at a lower cost than others in the recovery audit industry or in the Source-To-Pay technology space."}, {"path": "tedlium_10076.wav", "duration": 11.04, "text": "At our most recent board meeting in December, we formally welcomed our newest director, John Young, who currently serves as Group President of Pfizer Innovative Health."}, {"path": "tedlium_10077.wav", "duration": 11.0399375, "text": "So that is also an open-door opportunity for us to get in and bid on some of their transmission and distribution contracts."}, {"path": "tedlium_10078.wav", "duration": 11.0399375, "text": "In terms of backlog or significant deposits, the answer is no to both questions."}, {"path": "tedlium_10079.wav", "duration": 11.0100625, "text": "At Weight Watchers, we have always been social, harnessing the power of community to help individuals who have the same goals form deep, meaningful and real relationships."}, {"path": "tedlium_10080.wav", "duration": 11.01, "text": "it's a bit difficult to assess exactly how quick the demand will rise and what kind of alternative materials could come on the market. So we see this mostly as a short-term issue."}, {"path": "tedlium_10081.wav", "duration": 11.01, "text": "of circulating s-antigen. Even so, half of these patients experienced a sustained host response, where it appears that ARC-520 triggered something that enabled the body to fight the virus."}, {"path": "tedlium_10082.wav", "duration": 11.01, "text": "Over the years, Carlyle's consistently strong investment results have generated a steady stream of performance revenues, and we expect that to continue."}, {"path": "tedlium_10083.wav", "duration": 11.01, "text": "More than 100 Carlyle professionals across United States, Europe and Asia worked together for over a year on this transaction, which is expected to close in the second half of the year."}, {"path": "tedlium_10084.wav", "duration": 11.01, "text": "implementing a regional operating model in our Consumer Products business, which is beginning to produce results by taking millions and miles off the road and reducing external warehousing costs."}, {"path": "tedlium_10085.wav", "duration": 11.01, "text": "Final comment from me before I hand over to questions. You may have seen in the press release, after 7.5 years in this job, I am going to take a couple of months off in March and April."}, {"path": "tedlium_10086.wav", "duration": 11.01, "text": "We also have an opportunity to enhance our position due to preamps that we'll take advantage of. And so we believe those are the"}, {"path": "tedlium_10087.wav", "duration": 11.01, "text": "But the bottom line is I cannot tell you how impressed I am with the talent that -- given the disruptions that we have,"}, {"path": "tedlium_10088.wav", "duration": 11.01, "text": "And you will note that over the last decade we have repatriated a substantial amount of capital to our shareholders and continue to do so."}, {"path": "tedlium_10089.wav", "duration": 11.01, "text": "New York, trends are pretty much on what our expectations were. I think the 1 issue might be the corrugated medium machine and what's going on in that industry,"}, {"path": "tedlium_10090.wav", "duration": 11.01, "text": "We also announced earlier in the year that we had doubled our measured and indicated resources at Cozamin. And so a lot of work has been completed throughout this quarter to advance that"}, {"path": "tedlium_10091.wav", "duration": 11.01, "text": "Also, we expect to receive the adjudicated cardiovascular safety data from odanacatib from our external evaluators in the next few days, which will then be analyzed over the next several weeks."}, {"path": "tedlium_10092.wav", "duration": 11.01, "text": "We'll also continue to build greater loyalty with our existing customers through brand marketing centered around our commitment to serving delicious food made from ingredients raised responsibly."}, {"path": "tedlium_10093.wav", "duration": 11.01, "text": "as a consequence of the introduction of flex commission, which we haven't seen either, which has been good and positive. I think the trend is up, the opportunity is up."}, {"path": "tedlium_10094.wav", "duration": 11.01, "text": "over the previous year, due in part to the fact that outflows for the business model transformation expenses that were recorded last year, actually occurred in this fiscal year."}, {"path": "tedlium_10095.wav", "duration": 11.01, "text": "generating strong net cash flow, deleveraging the balance sheet and growing the dividend in line with higher normalized earnings."}, {"path": "tedlium_10096.wav", "duration": 11.01, "text": "Later this year, we'll unveil a new articulation for our brand, and we expect to modernize our branding to be even more culturally relevant so we can reach more people in a powerful new way."}, {"path": "tedlium_10097.wav", "duration": 11.01, "text": "Historically, Reis played a minimal role in serving investment sales brokerage because sales brokers, first and foremost, rely on comparable sales transactions to market a property."}, {"path": "tedlium_10098.wav", "duration": 11.01, "text": "will follow suit, returning to double-digit levels in this year's second half. This resurgence of growth has and will continue to be in large measure due to our"}, {"path": "tedlium_10099.wav", "duration": 11.01, "text": "Except to the extent required by law, we expressly disclaim any obligation to update earlier statements as a result of new information. And now, I would like to hand the presentation over to Jeremy Ford."}, {"path": "tedlium_10100.wav", "duration": 11.01, "text": "And a robust and steady balance sheet, which gives us forward strength, but also the ability to weather changes in external markets is a kind of security feature of the business."}, {"path": "tedlium_10101.wav", "duration": 11.01, "text": "But again, I just want to come back to the point that from Steve's perspective, from my perspective, from the company's perspective,"}, {"path": "tedlium_10102.wav", "duration": 11.01, "text": "As I had mentioned, with the production now fully integrated here in West Warwick, the final cleanup portion of the transition is related to transferring the many individual and customer contracts"}, {"path": "tedlium_10103.wav", "duration": 11.01, "text": "In other words, if we're able to measure all the important sources of viewing in the market, do they want all of those important sources of viewing included in the currency or do they just want some, but not all."}, {"path": "tedlium_10104.wav", "duration": 11.01, "text": "Also, the discussions will include certain non-GAAP financial measures. Reconciliations to the most directly comparable GAAP financial measures can be found in today's press release"}, {"path": "tedlium_10105.wav", "duration": 11.01, "text": "At Assurant, Ajay will drive business alignment and strategy for technology across the global enterprise, and support our broader commitment outlined at Investor Day."}, {"path": "tedlium_10106.wav", "duration": 11.01, "text": "At the federal level, programs such as America's Water Infrastructure Act and State Revolving Funds for clean water and drinking water are in place. But today, they only provide a framework."}, {"path": "tedlium_10107.wav", "duration": 11.01, "text": "Our second quarter results and certainly those of the first half of the year serve as strong evidence that our strategy and operational excellence efforts are right on target."}, {"path": "tedlium_10108.wav", "duration": 11.01, "text": "In the first quarter, we successfully completed this acquisition in the upper Midwest region, providing us with good fuel volume and inside sales growth while leveraging our existing operational network in the region."}, {"path": "tedlium_10109.wav", "duration": 11.01, "text": "This slight increase was overcompensated by further declining road-bound transportation due to less transfers in the cargo volume of the greater Hamburg area."}, {"path": "tedlium_10110.wav", "duration": 11.01, "text": "We do know what was -- what they were trying to get approved. And based on what we've known in the past, if that's the device that was approved,"}, {"path": "tedlium_10111.wav", "duration": 11.01, "text": "It is worth noting as well that announcements of this type happen mainly during periods of cyclical resource company margin expansion, such as the one we're now seeing unfold."}, {"path": "tedlium_10112.wav", "duration": 11.01, "text": "for noodles, the difficulty is much greater than that of beverage. Selling beverages is about selling imaginations."}, {"path": "tedlium_10113.wav", "duration": 11.01, "text": "many of which are looking for a -- to enter into a contract for solar products directly with someone who actually owns the project,"}, {"path": "tedlium_10114.wav", "duration": 11.01, "text": "to tender lower prices, as they have been the ones with the volumes in the past who has been accepting also the high level of prices as a result of their volume increase."}, {"path": "tedlium_10115.wav", "duration": 11.01, "text": "Of course, we have ongoing focus on cost savings, and we have a potential new conclusion of the regulator on Significant Market Power."}, {"path": "tedlium_10116.wav", "duration": 11.01, "text": "maybe this is something for Tom to jump in with but could you give some color on sort of the velocity of deal flow from the tech users? There's a lot of press on"}, {"path": "tedlium_10117.wav", "duration": 11.01, "text": "anticipated nonrecurring condo marketing expenses and condo profits in the year. And two, the financial impact of any acquisitions completed in the year."}, {"path": "tedlium_10118.wav", "duration": 11.01, "text": "They are not guarantees of future performance, and therefore, you should not put undue reliance upon them. These results are subject to numerous risks and uncertainties, which could cause actual results to differ materially from what we expect."}, {"path": "tedlium_10119.wav", "duration": 11.01, "text": "That 2-segment definition is really too simplistic for how our business actually creates value for our customers and shareholders, specifically on the Payments side."}, {"path": "tedlium_10120.wav", "duration": 11.01, "text": "the impact of foreign exchange on Somar. With that, let me turn the call over to Blaise Coleman to further discuss the financial performance of the company in the quarter"}, {"path": "tedlium_10121.wav", "duration": 11.01, "text": "which is not really agreeing with that type of number. So would you be able maybe, Carl, to call out the 3 -- the couple of end markets here that were the"}, {"path": "tedlium_10122.wav", "duration": 11.01, "text": "Our company-wide programs that we started early in the year have landed very well through the entire organization. And the results, as you can see, are already very visible."}, {"path": "tedlium_10123.wav", "duration": 11.01, "text": "We expect our sales volumes in the automotive OEM business to be stronger in the second half of the year based on recently implemented stimulus and easier comparisons to the prior year."}, {"path": "tedlium_10124.wav", "duration": 11.01, "text": "which will be a significant driver of margin improvement for 2018. We also have optimized our annual budget to drive significant margin improvement."}, {"path": "tedlium_10125.wav", "duration": 11.01, "text": "In general, the combination of high demand and lack of skilled labor has led to increase in cost in most of the markets also in this segment."}, {"path": "tedlium_10126.wav", "duration": 11.01, "text": "Pat will follow with information related to investments and investment-related activity along with some additional commentary regarding the company's overall finances."}, {"path": "tedlium_10127.wav", "duration": 11.01, "text": "Moreover, in the more than 30 years that I have been involved with Lakeland, the company has never been better positioned and presented with more global opportunities than it is today."}, {"path": "tedlium_10128.wav", "duration": 11.01, "text": "Second, broadening our product offering to automotive customers, this is intended to expand our addressable market and enable us to achieve double-digit revenue growth."}, {"path": "tedlium_10129.wav", "duration": 11.01, "text": "from one side the FX losses on our dollar-denominated debt that was compensated with some of our liquidity that was abroad in dollars and some"}, {"path": "tedlium_10130.wav", "duration": 11.01, "text": "so far away? Or if I consider like your largest competitor Infineon in the power space going to 300- millimeter getting scale and scope."}, {"path": "tedlium_10131.wav", "duration": 11.01, "text": "And with the reduction in size of Skanska, our largest competitor in New York, and the failures of some of our New York peers,"}, {"path": "tedlium_10132.wav", "duration": 11.01, "text": "As we have discussed in the past, we typically have lower cost during the non-winter months primarily during the second and third quarters of the calendar year as we ramp up our wet plant operations,"}, {"path": "tedlium_10133.wav", "duration": 11.01, "text": "Another area that has seen recent weakness is our Elk Basin oil. Western Canadian Select prices have recently been impacted by the pressure on U.S. heavy sour prices"}, {"path": "tedlium_10134.wav", "duration": 11.01, "text": "remaining decrease was due to expenses related to our operating real estate activities, which we consolidate for accounting purposes, but we do not incur these expenses directly."}, {"path": "tedlium_10135.wav", "duration": 11.01, "text": "The forward-looking statements are based on current expectations and are subject to substantial risks and uncertainties that may cause actual results to differ materially from the forward-looking statements."}, {"path": "tedlium_10136.wav", "duration": 11.01, "text": "The primary variables of our guidance will be rack margins for gasoline and diesel, crude prices remaining around current levels and drilling activity remaining stable in our core basins."}, {"path": "tedlium_10137.wav", "duration": 11.01, "text": "But we also have some things that are very unique to what we are and to the kind of conversation that we can have when we sit across the table from clients."}, {"path": "tedlium_10138.wav", "duration": 11.01, "text": "and development of core deposits. This is also reflected in the overall mix and the increase in noninterest demand balances. We will continue to compete in our markets with a disciplined approach to pricing."}, {"path": "tedlium_10139.wav", "duration": 11.01, "text": "do you have enough levers to pull to really offset what potentially could be seen in terms of a faster acceleration pace on the retirement?"}, {"path": "tedlium_10140.wav", "duration": 11.01, "text": "with various effective dates that extend through December 2019. However, several states have moved or will be moving to the new standards before the required federal dates."}, {"path": "tedlium_10141.wav", "duration": 11.01, "text": "It's a difficult one to answer from the standpoint of it, it's sometimes project related or region related and depends on competitive environment at times."}, {"path": "tedlium_10142.wav", "duration": 11.01, "text": "We maintained our diligent cash management focus as well as stock repurchases and quarterly dividend payments and closed the year with a very strong balance sheet."}, {"path": "tedlium_10143.wav", "duration": 11.01, "text": "We'll also drill a number of step-out wells in the Bakken Lite and other areas to continue testing and refining our latest precision targeting and advance completions outside our core operating areas."}, {"path": "tedlium_10144.wav", "duration": 11.01, "text": "we would look -- we would look at be running that new system essentially for around 2021, okay? So now I'm not making a statement on the sequence of Val-d'Or versus Cook"}, {"path": "tedlium_10145.wav", "duration": 11.01, "text": "Leaving it out there, you're creating this overhang that we have to lower our estimates when you give us until next quarter. So if you get maybe just tell us what the mix you expect or"}, {"path": "tedlium_10146.wav", "duration": 11.01, "text": "With that on the highest level, when we look at the first half year of this year, we look at it as a solid first half year"}, {"path": "tedlium_10147.wav", "duration": 11.01, "text": "some form of an OTC product. And if it is just to upsell people, so that's certainly close to home, and you would probably do with some form of brand from ourselves."}, {"path": "tedlium_10148.wav", "duration": 11.01, "text": "really focuses on high pressure, high temperature and transportation to hydraulic markets, but it's very scalable. As I think about opportunities in their core business to take market share"}, {"path": "tedlium_10149.wav", "duration": 11.01, "text": "the ability for customers to interact with great next-generation technologies in a safe way. I think that this is going to accelerate with artificial"}, {"path": "tedlium_10150.wav", "duration": 11.01, "text": "on a new occasion in the afternoon with teas and refreshers. So we're going to maintain our plans to continue this work that we're doing because we're encouraged from what we're seeing right now."}, {"path": "tedlium_10151.wav", "duration": 11.01, "text": "We continue to expect consolidated revenue growth in the high single digits, excluding approximately 2 points of favorability from the East China acquisition and other streamline-driven activities."}, {"path": "tedlium_10152.wav", "duration": 11.01, "text": "As we look at the rest of the year, we don't see any major changes in the outlook, and despite the typical seasonal of the second half being weaker than the first half, with"}, {"path": "tedlium_10153.wav", "duration": 11.01, "text": "there is no sound from the engine to mask other road noise, and so electric vehicles actually, typically use more of our acoustical products"}, {"path": "tedlium_10154.wav", "duration": 11.01, "text": "References to balances and percentages of accounts receivable 60 days plus past due were re-aged on today's conference call, and going forward will be at carrying value."}, {"path": "tedlium_10155.wav", "duration": 11.01, "text": "And we're not as focused on South East Asia and Korea or Japan, but that could be sort of the next way for us. We think that the most important thing we can do is"}, {"path": "tedlium_10156.wav", "duration": 11.01, "text": "how we are very committed to the knowledge transfer back into their environment, so clients are left better off than when started."}, {"path": "tedlium_10157.wav", "duration": 11.01, "text": "we're proud of our ability to keep loans from moving to charge-offs. As part of our credit culture, we know our customers well and have the ability to identify and solve problems early."}, {"path": "tedlium_10158.wav", "duration": 11.01, "text": "diversity of revenue streams. As you've heard me say before, we believe we have a significant runway ahead of us to expand in some of our underpenetrated markets and customer segments."}, {"path": "tedlium_10159.wav", "duration": 11.01, "text": "Well, we're confident because our products -- when we sell a piece of plate, it could go on to any platform in the entire spectrum."}, {"path": "tedlium_10160.wav", "duration": 11.01, "text": "The underwriting environment continues to be very high quality. More than half of the business we are writing is at FICO scores of 760 plus"}, {"path": "tedlium_10161.wav", "duration": 11.01, "text": "happy and eager to lend us more money if the business activity justifies it. So we're in discussions as far as that goes."}, {"path": "tedlium_10162.wav", "duration": 11.01, "text": "So we have been adding capacity, as we announced, for some of our specialty products in Indianapolis and in Thailand. We talked about it coming on stream."}, {"path": "tedlium_10163.wav", "duration": 11.01, "text": "and went through some of the relationships that we see between oil and asphalt cost, and then also how long it takes the oil cost to come through our economics, about 90 days to get through the refinery, about 90 days to get through our cost of goods."}, {"path": "tedlium_10164.wav", "duration": 11.01, "text": "so that we can provide our products in a variety of packaged formats at different price points. And so the key for us in competing in those, particularly in the emerging markets"}, {"path": "tedlium_10165.wav", "duration": 11.01, "text": "First, we're now through the toughest year-over-year compare as we lap the introduction of unlimited plans that came out in the first quarter a year ago."}, {"path": "tedlium_10166.wav", "duration": 11.01, "text": "And I should also point out as an aside that the customer service center, the contact center which we'll need for the retail operations, that has been separated for over 10 years in our case."}, {"path": "tedlium_10167.wav", "duration": 11.01, "text": "you basically have until you file the tax return of the year subsequent to recognizing the real big gain. Or there's a mechanism where you can retain the gain, pay the tax"}, {"path": "tedlium_10168.wav", "duration": 11.01, "text": "What we see when we -- at least when we discuss with shipyards and when we look at the order books that we have seen being -- or newbuilding orders that we've taken over the last few months,"}, {"path": "tedlium_10169.wav", "duration": 11.01, "text": "Sherry will then review financial details for our reported results and provide our 2018 financial outlook. We will then open up the phone lines to take your questions."}, {"path": "tedlium_10170.wav", "duration": 11.01, "text": "The outstanding performance delivered in the third quarter was a result of the team's continued execution of a market strategy committed to optimizing both top and bottom line, a capable workforce"}, {"path": "tedlium_10171.wav", "duration": 11.01, "text": "First, given the excellent safety profile and flexibility of our DepoFoam platform, we are advancing a development plan for intrathecal delivery of nonopioid analgesics for acute and chronic pain."}, {"path": "tedlium_10172.wav", "duration": 11.01, "text": "This reflects the front-loading of some investments into the early part of the year, especially in personnel, allowing us to scale the business to support our high-volume growth expectations for the year."}, {"path": "tedlium_10173.wav", "duration": 11.01, "text": "the things that we put on the wall here to make sure that our entire team from top to bottom is aligned to those growth goals, that's all of the view toward driving shareholder value."}, {"path": "tedlium_10174.wav", "duration": 11.01, "text": "As always, we are mindful of our cash position. We did put an ATM in place back in May, a vehicle we have used in the past when the markets have not been very favorable."}, {"path": "tedlium_10175.wav", "duration": 11.01, "text": "As we continue to work together across functions, we are better able to ensure we have trend-right products where and when our customers want to buy them at a competitive price."}, {"path": "tedlium_10176.wav", "duration": 11.01, "text": "and our retail bankers in the markets do an excellent job of preparing customers that are going to have to move"}, {"path": "tedlium_10177.wav", "duration": 11.01, "text": "And you're right, there has been some other activity up there from some other operators. And the results we've seen thus far have been pretty encouraging for what we plan to do on our completions very near there."}, {"path": "tedlium_10178.wav", "duration": 11.01, "text": "As I mentioned, we continue to drive positive traffic and with the third quarter, we have now recorded positive traffic in 8 of the last 9 quarters."}, {"path": "tedlium_10179.wav", "duration": 11.01, "text": "But maybe you guys could talk about what your plan more specifically at Vancouver is, some of the natural network efficiencies that you have maybe versus your competitor."}, {"path": "tedlium_10180.wav", "duration": 11.01, "text": "Now the next one I would like to give that is the outlook and the environment we are in. Environment of chocolate markets we talked already a lot about."}, {"path": "tedlium_10181.wav", "duration": 11.01, "text": "and the willingness of Casdin to enter into a 1-year lockup on these shares underscores their long-term fundamental investment strategy. Now I'd like to turn the call back over to Mike."}, {"path": "tedlium_10182.wav", "duration": 11.01, "text": "or some other biologic material coming from the patient, whether it's allogeneic or autologous. All the way through to the transportation and administration of that dose or that therapy to the patient."}, {"path": "tedlium_10183.wav", "duration": 11.01, "text": "You've got to build some relationships on all the processing side of the donations, the integration with our other products. So there's quite a bit of heavy lifting to be done behind the scenes to get it ready"}, {"path": "tedlium_10184.wav", "duration": 11.01, "text": "putting incremental capital to work and a lot of things that the 3 of us described a few moments ago, that's generally the strategy when we think about repositioning the portfolio."}, {"path": "tedlium_10185.wav", "duration": 11.01, "text": "teens. Is that still -- is that -- was that part of your expectation as you're getting ready to acquire this that it still makes sense financially with those types of declines?"}, {"path": "tedlium_10186.wav", "duration": 11.01, "text": "Now why would anyone keep their money in a savings account that offers half the rate of another savings account? There's only 2 reasons. One, they don't know about the other offer, or two, the friction and hassle in moving their money."}, {"path": "tedlium_10187.wav", "duration": 11.01, "text": "We also did 5 new brand introductions, and we did the landmark disposal of our spreads business following the carve-out over the last few years."}, {"path": "tedlium_10188.wav", "duration": 11.01, "text": "will be our responsibility, along with our leadership teams, to turn the assets we are acquiring into strong cash generators that exceed our targeted investment returns."}, {"path": "tedlium_10189.wav", "duration": 11.01, "text": "There is Linx Pay appearing very visibly, and this gives more exposure to our brand."}, {"path": "tedlium_10190.wav", "duration": 11.01, "text": "where you actually know where these commodities are going to land. It's very difficult in an environment where commodities continue to bounce around, to go out and put a plan together to offset and have"}, {"path": "tedlium_10191.wav", "duration": 11.01, "text": "First, even with at times uneven earnings performance, your free cash flow has remained consistently robust and your leverage has declined consistently for 7 straight years."}, {"path": "tedlium_10192.wav", "duration": 11.01, "text": "And then lastly, and this is an area that we made good progress on in 2016 and much work to be done going forward, and that's our focus on continuous improvement,"}, {"path": "tedlium_10193.wav", "duration": 11.01, "text": "the moment, clearly, a substantial proportion of our funding is in the form of bank debt, although that is reducing. We've made very good progress in terms of"}, {"path": "tedlium_10194.wav", "duration": 11.01, "text": "and it continues to build. So very exciting for Southern California on the private side. Northern California has been a little slower on the nonres. Res continues to be healthy,"}, {"path": "tedlium_10195.wav", "duration": 11.01, "text": "And the list is now mostly of freighters. All the freighters on the list are the ones we've written down and expect to scrap at the end of their current leases."}, {"path": "tedlium_10196.wav", "duration": 11.01, "text": "our proven track record of driving growth and delivering results across our asset platform is integral to our success. At EnLink, we execute with excellence."}, {"path": "tedlium_10197.wav", "duration": 11.01, "text": "We believe the key to capital sales becoming more predictable will be the positive guidance and coverage decisions for the product, leading to worldwide reimbursement."}, {"path": "tedlium_10198.wav", "duration": 11.01, "text": "and ask you for advice on what would you tell them in order how to position themselves to maybe have a most outcome in these types of discussions?"}, {"path": "tedlium_10199.wav", "duration": 11.01, "text": "That leverage assumes that we take the vast majority of our free cash flow and pay down debt over this year and next year."}, {"path": "tedlium_10200.wav", "duration": 11.01, "text": "that is very influential and could potentially even influence that large multinational to convert or to do something else in the form of a natural color conversion."}, {"path": "tedlium_10201.wav", "duration": 11.01, "text": "We engineered and designed that capability into our solution and we offer that as a very minor cost upgrade to a customer that has an existing call center."}, {"path": "tedlium_10202.wav", "duration": 11.01, "text": "Turning to Slide 3. Please refer to additional disclaimers related to the presentation of our financial information and our previously filed Form 8-K"}, {"path": "tedlium_10203.wav", "duration": 11.01, "text": "Their efforts are reflected in the strong sales performance to date and by the fact that over 800 surgeons have trained on the MACI procedure since launch."}, {"path": "tedlium_10204.wav", "duration": 11.01, "text": "continuously learn and improve, get closer to the consumer and get back to high performance. Now let me turn to a few key takeaways from our fourth quarter results."}, {"path": "tedlium_10205.wav", "duration": 11.01, "text": "We then have a room full of people running that modular toolkit, if you will, against every site we have. Then each one of those sites get on a conference call with our inventory expert"}, {"path": "tedlium_10206.wav", "duration": 11.01, "text": "For all those reasons, we are taking a proactive approach to acquisitions by identifying and pursuing potential opportunity of all sizes and at various stages of maturity."}, {"path": "tedlium_10207.wav", "duration": 11.01, "text": "we are custom to at PPL. These achievements across our utilities reflect our ongoing commitment to operational excellence and our strategy for growth and success."}, {"path": "tedlium_10208.wav", "duration": 10.98, "text": "most important from this cash that's in hand is we get to step on the gas just a bit in hiring these new salespeople earlier and faster than we expected,"}, {"path": "tedlium_10209.wav", "duration": 10.98, "text": "What we expect then is that we'll be able to move into the multiple ascending dose cohorts in a future study in patients with the disease. So that's our planned approach"}, {"path": "tedlium_10210.wav", "duration": 10.98, "text": "While we don't disclose individual contract details, we agreed to lower the water rate and amend the contractual formulas applied to future water rate increases"}, {"path": "tedlium_10211.wav", "duration": 10.98, "text": "to ensure we can support our customers consistently and drive those synergies, but it does require an alignment of the way we work,"}, {"path": "tedlium_10212.wav", "duration": 10.98, "text": "These risks, uncertainties and factors include, but are not limited to, the effect of current global economic conditions and conditions in general and in AudioCodes industry and target markets,"}, {"path": "tedlium_10213.wav", "duration": 10.98, "text": "and enhance the customer experience is a driving force behind client demand for more outsourcing innovation and a resulting increase in client spending."}, {"path": "tedlium_10214.wav", "duration": 10.98, "text": "as well as the positive benefits as we leverage our AXOS platform by accelerating product development at lower incremental costs and reduced time frames."}, {"path": "tedlium_10215.wav", "duration": 10.98, "text": "And third, the level of first quarter actual compensation is reflective of our full year expected compensation and our full year revenue expectations,"}, {"path": "tedlium_10216.wav", "duration": 10.98, "text": "Let's take a look at some of these new accounts, starting with Bezeq. Bezeq is the largest telecommunications group in Israel offering a wide range of telecom services."}, {"path": "tedlium_10217.wav", "duration": 10.98, "text": "We are in a good position as it relates to our achieving our cost savings targets and we will continue to look for additional opportunities for savings and report progress each quarter."}, {"path": "tedlium_10218.wav", "duration": 10.98, "text": "It addresses one of the most challenging skin concerns in the world, hyperpigmentation, as more than half of the global population is being affected."}, {"path": "tedlium_10219.wav", "duration": 10.98, "text": "we believe that the balancing out and the phasing as we go forward is the amount that we will have. However, I would like to emphasize as well that,"}, {"path": "tedlium_10220.wav", "duration": 10.98, "text": "and have been actively implementing a detailed integration project plan, which spans each of the various functional areas that will need to be addressed, and we're off to a very good start on that."}, {"path": "tedlium_10221.wav", "duration": 10.98, "text": "The other half was a combination of some seasonal items, such as snow removal and the opening of our King of Prussia branch."}, {"path": "tedlium_10222.wav", "duration": 10.98, "text": "And we are happy to announce that as of September, we've started to supply the market with products made in our own new facility in the state of Hidalgo, Mexico."}, {"path": "tedlium_10223.wav", "duration": 10.98, "text": "to get it to -- from a return standpoint. But we're in a good position with structures. We have the capabilities and the competencies that we need to continue to grow"}, {"path": "tedlium_10224.wav", "duration": 10.98, "text": "No one should assume that these forward-looking statements remain valid later in the quarter or later in the year. For a more detailed discussion of the major risk factors affecting our business,"}, {"path": "tedlium_10225.wav", "duration": 10.98, "text": "that you're bringing online now, could you just take a step back for us and just kind of review your value proposition for clients. So obviously, you're becoming one of the lowest cost providers of FISH,"}, {"path": "tedlium_10226.wav", "duration": 10.98, "text": "Two improvements are worth specific mention. In the area of information technology, we have supplemented our systems with a hyper-converged infrastructure."}, {"path": "tedlium_10227.wav", "duration": 10.98, "text": "our third quarter is the first time that our quarterly results fully reflect combined legacy Cable ONE and legacy NewWave results for both '17 and '18. Now getting into the '18 third quarter results."}, {"path": "tedlium_10228.wav", "duration": 10.98, "text": "we are also finalizing the standardization of our recipes throughout the system, which has proven to improve consistency and throughput in our test locations."}, {"path": "tedlium_10229.wav", "duration": 10.98, "text": "We continue to maintain a strong financial position with the flexibility and resources to continue our growth and sustain our monthly distributions over the long term."}, {"path": "tedlium_10230.wav", "duration": 10.98, "text": "Is there anything in the works in that regard that you think might be helpful to the longer-term secular outlook for the food can down the road that's real and not pie in the sky at this juncture?"}, {"path": "tedlium_10231.wav", "duration": 10.98, "text": "only as of the date of this call, and we undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements in light of new information or future events."}, {"path": "tedlium_10232.wav", "duration": 10.98, "text": "These successful openings give us great confidence in the brand as we enter many new and exciting markets, executing against our 2016 development plans."}, {"path": "tedlium_10233.wav", "duration": 10.98, "text": "They could deliver the goods to our stores and the consumers will go and pick it up in our stores. So we want to be competitive with a lot of flexibility. This is the strategy of marketplace."}, {"path": "tedlium_10234.wav", "duration": 10.98, "text": "large customers as well as e-commerce providers about what type of packaging do we need to solve our problems."}, {"path": "tedlium_10235.wav", "duration": 10.98, "text": "One of the key attractions of Clear Lam is the ability to leverage their expertise in modified atmosphere packaging to drive additional growth to our existing flexible and thermoforming customers,"}, {"path": "tedlium_10236.wav", "duration": 10.98, "text": "these parties at an early stage before the contract with the client is concluded and with risk premiums estimated for expected price increases during construction."}, {"path": "tedlium_10237.wav", "duration": 10.98, "text": "The rates quoted are for days currently contracted. The actual rates to be earned in the first quarter 2019 will therefore depend on the number of additional days that we can contract"}, {"path": "tedlium_10238.wav", "duration": 10.98, "text": "The net growth in volume points in Q3 was the largest in a single quarter since 2012 and the second highest volume point quarter in total in the company's history."}, {"path": "tedlium_10239.wav", "duration": 10.98, "text": "And we're just getting started. The quarter was not a spot market play, but rather an intentional and concerted acceptance of commitments with existing customers to meet their needs in the quarter."}, {"path": "tedlium_10240.wav", "duration": 10.98, "text": "As in the past, we would like to provide updates on developments since our last earnings call in August, which will convey further progress as well as ongoing challenges."}, {"path": "tedlium_10241.wav", "duration": 10.98, "text": "maybe you get a couple of million bucks of revenue associated with things -- this thing. But the more important aspect of this is really just to highlight that this is just another example of"}, {"path": "tedlium_10242.wav", "duration": 10.98, "text": "providing an attractive, comprehensive solution for our customers. And 70% of our revenue is from customers in multiple locations throughout our portfolio."}, {"path": "tedlium_10243.wav", "duration": 10.98, "text": "But certainly, the deeming kind of news coming out in May and then really the 90 days to get anything into the market certainly drove a lot of investment in this quarter."}, {"path": "tedlium_10244.wav", "duration": 10.98, "text": "where do you deploy your talent? And so we're thinking carefully about how we develop our talent? How do we train them for the next generation and the next generation of work after that?"}, {"path": "tedlium_10245.wav", "duration": 10.98, "text": "At the top of the list of things, we expect you want to hear more about is the update we've provided on our partnership with Air Canada, and linked to that are the new details we are able to share around cost savings"}, {"path": "tedlium_10246.wav", "duration": 10.98, "text": "when in fact our Civil business were anticipating 10% to 12% and potentially increases in that because of the lack of competition."}, {"path": "tedlium_10247.wav", "duration": 10.98, "text": "because although they're a state agency, they continue to struggle to do their job. And their job, as defined by our contract, is to get their right-of-ways out of the way,"}, {"path": "tedlium_10248.wav", "duration": 10.98, "text": "create a situation where patients can no longer have the need to actually manage their disease. There's a very onerous disease management process"}, {"path": "tedlium_10249.wav", "duration": 10.98, "text": "We are encouraged by the improved operating profits and margins in our industrial segments compared to last year, which has allowed us to offset a significant portion of the profit margin impact from AG."}, {"path": "tedlium_10250.wav", "duration": 10.98, "text": "Since last year, we have increased TV advertising, and we'll continue to step up our efforts to bolster the strength of our in brands."}, {"path": "tedlium_10251.wav", "duration": 10.98, "text": "is to deliver the steadily rising dividends that are typically expected by shareholders investing in a food manufacturer."}, {"path": "tedlium_10252.wav", "duration": 10.98, "text": "whatever the prior points were for you to activate equipment. So clearly, I think we can infer that that's what you're getting. Now in that context, is it also safe to assume that"}, {"path": "tedlium_10253.wav", "duration": 10.98, "text": "As a reminder, our reported rig count is based on the average number of rigs generating revenue, which includes rigs on standby that are receiving a standby rate, but not actively drilling."}, {"path": "tedlium_10254.wav", "duration": 10.98, "text": "likely that based on the analysis that we are doing that something could materialize and having an awareness"}, {"path": "tedlium_10255.wav", "duration": 10.98, "text": "This preferred stock was to convert to common stock proportionally with the execution of each annual tranche being delivered under the supply agreement."}, {"path": "tedlium_10256.wav", "duration": 10.98, "text": "to increase EBITDA and manage their critical supplier relationships. A meaningful differentiator of our analytics and SIM tools over other alternatives"}, {"path": "tedlium_10257.wav", "duration": 10.98, "text": "So we will not see a full quarter benefit from those savings in the third quarter, but we should have that in place by the end of the third quarter, so that we'll see a full benefit of that in the fourth quarter."}, {"path": "tedlium_10258.wav", "duration": 10.98, "text": "We continue to drive initiatives to strengthen our market position, expand our solutions offering, improve our global cost structure, and all of these will benefit the company now and long term."}, {"path": "tedlium_10259.wav", "duration": 10.98, "text": "is a slight dip in sales, transaction volumes. I don't think there's anything to be overly alarmed about by that. In terms of agency branches, I would say, I think about this sort of"}, {"path": "tedlium_10260.wav", "duration": 10.98, "text": "in our Brazilian environment, we feel that this is actually to our advantage and we're strengthening our market positions, but the overall market dynamic itself need to be dealt with."}, {"path": "tedlium_10261.wav", "duration": 10.98, "text": "dynamic merchandising and tailored offers. And we're increasingly collaborating with retail customers to make e-commerce a point of differentiation for PepsiCo. As a result,"}, {"path": "tedlium_10262.wav", "duration": 10.98, "text": "about the need to improve speed in our sourcing in order to flow receipts more quickly when we see product cycles develop,"}, {"path": "tedlium_10263.wav", "duration": 10.98, "text": "it is not from 1 geography or from 1 operation, it is across the board, from all geographies that have contributed to this excellent performance."}, {"path": "tedlium_10264.wav", "duration": 10.98, "text": "And I would see it as continuing on in that direction of a greater portion of our funds over the next few years going into the digital direction."}, {"path": "tedlium_10265.wav", "duration": 10.98, "text": "While the need for additional correctional facility capacity persists with the Department of Corrections, the state legislature has struggled to reach a revised budget agreement for the current fiscal year"}, {"path": "tedlium_10266.wav", "duration": 10.98, "text": "pork prices have come down, but have churned up a little bit. But I mean that is something we're keeping our eye on in order to understand, and we're preparing ourselves"}, {"path": "tedlium_10267.wav", "duration": 10.98, "text": "Our strategy to diversify and grow our company revenue is working. First, our Automotive business expands each year at a rate well above market."}, {"path": "tedlium_10268.wav", "duration": 10.98, "text": "is a challenging one to clear currently. So I think the -- it's a really long answer to a simple question, but I think one, I don't think Renova is trying to do that at this point is my understanding. Two,"}, {"path": "tedlium_10269.wav", "duration": 10.98, "text": "that impact not only the fastest-growing segment in the clinical services field but the one with the highest marginal cost as well, which is the molecular diagnostic space."}, {"path": "tedlium_10270.wav", "duration": 10.98, "text": "These strong results continue into the December as a result of PriceSmart taking a bigger share of the market, which we think will continue for the next several quarters."}, {"path": "tedlium_10271.wav", "duration": 10.98, "text": "but not to the full extent of the rate reduction, as excess foreign tax credits will have to be expensed. We currently estimate that the net impact of the reduction in rates,"}, {"path": "tedlium_10272.wav", "duration": 10.98, "text": "We believe it will be in all stakeholders' interest to have a financially stronger counterparty, and we intend to engage in constructive dialogue with Seadrill to find a sustainable path going forward."}, {"path": "tedlium_10273.wav", "duration": 10.98, "text": "tend not to want to push the back end of the cycle and get overexposed and so we made the decision not to go forward with any more condos in the cycle."}, {"path": "tedlium_10274.wav", "duration": 10.98, "text": "While these are still very early days a shared spirit of excellence has inspired our teams to bring forward the best of each culture to make our combined company the best it can be."}, {"path": "tedlium_10275.wav", "duration": 10.98, "text": "As most of you are aware, this decision was in line with our strategic focus on our core business, namely the success and profitability of our franchise restaurants."}, {"path": "tedlium_10276.wav", "duration": 10.98, "text": "and superior returns for our shareholders. I look forward to our third quarter call this fall when we'll share the board's assessment of our progress and discuss our go-forward objectives."}, {"path": "tedlium_10277.wav", "duration": 10.98, "text": "at levels that TCA historically wouldn't participate, right, so call it in the hundreds of millions of dollars rather than the tens to a hundred million in terms of players. A lot of that has to do with"}, {"path": "tedlium_10278.wav", "duration": 10.98, "text": "And so it's kind of an action that we're doing now, that we're moving forward on, that we really don't expect to see much in the way of benefit in 2016. It'll be beyond that."}, {"path": "tedlium_10279.wav", "duration": 10.98, "text": "thereby keeping more volume i.e., is it a defensive move or do you think that this will actually produce tangible profits for you?"}, {"path": "tedlium_10280.wav", "duration": 10.98, "text": "Generally speaking, portfolio quality today is significantly improved over the '07, '08 time period and should produce less performance volatility in a similar economic downturn."}, {"path": "tedlium_10281.wav", "duration": 10.98, "text": "So the information that we have is probably a little bit more anecdotal. But we know, for example, in Germany, the largest clinic that we have there, they have a number of,"}, {"path": "tedlium_10282.wav", "duration": 10.98, "text": "we have this renewable fuel. We have the network to be able to dispense it and the pathway to be able to get it into vehicles. That gives us a huge leg up compared to some of the others in this business."}, {"path": "tedlium_10283.wav", "duration": 10.98, "text": "crafted using irreplaceable whiskeys from ghost distilleries that have long since closed, together with other rare malt and grain scotch."}, {"path": "tedlium_10284.wav", "duration": 10.98, "text": "and continue to engage consumers at lifestyle events in key markets with the Ketel Market sampling mechanic, which has been very well-received by consumers."}, {"path": "tedlium_10285.wav", "duration": 10.98, "text": "both of those businesses -- and we talked about it -- we didn't talk about the billing system last quarter but we did talk about Prime Plans. Prime Plans was driven"}, {"path": "tedlium_10286.wav", "duration": 10.98, "text": "the sort of inelastic demand fundamentals right now in New York is causing other operators to do. But I think we need to kind of -- we need to negotiate that mix a little better, and"}, {"path": "tedlium_10287.wav", "duration": 10.98, "text": "In my first 90 days, I've spent a lot of time getting to know the business and understanding our operations but also working on initiatives to streamline our operations and make them more efficient."}, {"path": "tedlium_10288.wav", "duration": 10.98, "text": "While this pushed our sales higher for the third quarter, we expect this pace will slow down somewhat in the fourth quarter, with the disruption of February production in China."}, {"path": "tedlium_10289.wav", "duration": 10.98, "text": "After the quarter and through August 9, we have added additional swaps for the remainder of '17 and for the full year of '18, and we will continue to opportunistically add hedges in future."}, {"path": "tedlium_10290.wav", "duration": 10.98, "text": "You can say that we're at a crossroads. We're building an organization that is more agile, delivering greater value to our customers through front-loaded solutions, fast lead times and disciplined market"}, {"path": "tedlium_10291.wav", "duration": 10.98, "text": "So to sum up Pinnacle for now, the deterioration in the legacy Pinnacle business over the course of calendar year 2018 means we have some hard work to do."}, {"path": "tedlium_10292.wav", "duration": 10.98, "text": "were we have been increasing our investments in these last 2 years in spite of FX and energy headwinds. It's important to continue to do that in the business. We have a"}, {"path": "tedlium_10293.wav", "duration": 10.98, "text": "this being my last opportunity to speak to you, I would like to take some additional editorial latitude. Indeed, everything I have to say is personal."}, {"path": "tedlium_10294.wav", "duration": 10.98, "text": "we will work with customers to explore alternative operational solutions that will improve profitability. If that is not possible, we'll engage with them in pricing discussions."}, {"path": "tedlium_10295.wav", "duration": 10.98, "text": "represent a powerful combination, which will enable us to offer a unique set of exceptional capabilities and expand what's possible in injection molding."}, {"path": "tedlium_10296.wav", "duration": 10.98, "text": "to both open up and make these connect and come together. And then we're trying something new. So a lot of what we're doing inside the house is really trying to change the way we build"}, {"path": "tedlium_10297.wav", "duration": 10.98, "text": "In addition, I'm very pleased by our growing project backlogs, growing public and private starts and the growing preconstruction pipeline."}, {"path": "tedlium_10298.wav", "duration": 10.98, "text": "please go. It's in the first floor of our 2-storey store there. So there's a GameStop in the second store. Go downstairs. It's a stunning store and you should go check it out. I think it says a lot about"}, {"path": "tedlium_10299.wav", "duration": 10.98, "text": "and I'll come back with the outlook for the rest of 2017. Scott? Thanks, Rob. I'll walk through our results for the second quarter in aggregate and then briefly comment on each of our major business lines."}, {"path": "tedlium_10300.wav", "duration": 10.98, "text": "Finally, Horizon North recently made the decision to move all of its manufacturing and production from the Okanagan Falls facility to our Mt. Paul, which is in Kamloops manufacturing facility."}, {"path": "tedlium_10301.wav", "duration": 10.98, "text": "We have very large distribution capacities everywhere we operate and we already have top talent already in place there. And we also have one of the most recognized brands in all the countries we operate in."}, {"path": "tedlium_10302.wav", "duration": 10.98, "text": "At the hindsight, we can say that some of the inflation -- because we have seen years of very high inflation in the food."}, {"path": "tedlium_10303.wav", "duration": 10.98, "text": "I'd like to remind you of our safe harbor. Any remarks that we may make about future expectations, plans and prospects for the company constitute forward-looking statements for purposes of the safe harbor provisions"}, {"path": "tedlium_10304.wav", "duration": 10.98, "text": "is to select pads that will exceed the existing type curves and allow us to continue to grow at much more efficient uses of our capital."}, {"path": "tedlium_10305.wav", "duration": 10.98, "text": "But we see from a pure revenue perspective that we grow by more than 70% and we see for the first time in the last 2 quarters that eCPMs are improving."}, {"path": "tedlium_10306.wav", "duration": 10.98, "text": "We do expect the changes we have made and continue to make will result in some fluctuation in our results during the remainder of the 2018 fiscal year."}, {"path": "tedlium_10307.wav", "duration": 10.98, "text": "paying them in shares and not in cash? And what about the end of royalties and how this impacts the claim"}, {"path": "tedlium_10308.wav", "duration": 10.98, "text": "we are closing a lot of businesses also in Colombia, but when you take the whole picture, it will keep the same proportion."}, {"path": "tedlium_10309.wav", "duration": 10.98, "text": "Okay. I guess competitively as you grow that secured mix like are you seeing any sort of different dynamics? Is it still sort of pretty stable from that perspective?"}, {"path": "tedlium_10310.wav", "duration": 10.98, "text": "and the right level of support, so that we can help as many patients as possible with INGREZZA. So I think that, that kind of lays out what the plan is going to look like between now and the end of the year,"}, {"path": "tedlium_10311.wav", "duration": 10.98, "text": "I think that's great. Because even if I get some additional inventory, I would say there seems to be demand out there able to absorb it. So it's still a little early to tell. I would say we've got an initial"}, {"path": "tedlium_10312.wav", "duration": 10.98, "text": "the percentage of used vehicles sold through the retail channel of 62% remained below historical levels as we moved inventory within our target range."}, {"path": "tedlium_10313.wav", "duration": 10.98, "text": "use those as our current expectations and seek to drive change in various states. And if that change takes hold, we'll probably see accelerations in growth trends."}, {"path": "tedlium_10314.wav", "duration": 10.98, "text": "why Obuasi is such a good asset? I'd like Graham to unpack the details in terms of why Obuasi is regarded as a critical investment for us and a good asset, given the change that has happened"}, {"path": "tedlium_10315.wav", "duration": 10.98, "text": "And as a footnote here, we once again distinguished ourselves by passing another year without diluting shareholders through equity issuance, and this often gets forgotten."}, {"path": "tedlium_10316.wav", "duration": 10.98, "text": "trying to continue the good momentum we have. It's teaching the benefits of our products so that we can steal and compete against the"}, {"path": "tedlium_10317.wav", "duration": 10.95, "text": "very closely to identify opportunities where we feel that we could work with the teams at Celgene and perhaps Sujay, you can give a little bit of an update in terms of those conversations and some of the next steps."}, {"path": "tedlium_10318.wav", "duration": 10.95, "text": "And so I have a high degree of confidence that, that philosophy in managing our business for the long term and the sustainability of our distribution"}, {"path": "tedlium_10319.wav", "duration": 10.95, "text": "further work to be done and important further work, but it is pleasing to get to the end of those initial projects in this respect."}, {"path": "tedlium_10320.wav", "duration": 10.95, "text": "I can tell you from personal experience that this card has become my go-to card in my wallet, and not only has it helped me control my spending, but it's has helped me lower my utilization rate of my credit cards, which also helps improve my credit score."}, {"path": "tedlium_10321.wav", "duration": 10.95, "text": "We've only touched this -- the surface of it. And we do have very large ambitions to grow. So if I can now break that down a little bit, clearly, we're already large in the CLO business, and we have no intention"}, {"path": "tedlium_10322.wav", "duration": 10.95, "text": "While current market conditions in our consumer business continue to be challenging near term, we are encouraged that industry fundamentals in both the tissue and paperboard businesses bode well for the long term."}, {"path": "tedlium_10323.wav", "duration": 10.95, "text": "offer? And what kind of company are we going to be? We actually put together a video for our employees as well as to our stakeholders. So please take a look at the video first."}, {"path": "tedlium_10324.wav", "duration": 10.95, "text": "particularly in our operations where we are getting to scale and our ability to be more responsive to our customers."}, {"path": "tedlium_10325.wav", "duration": 10.95, "text": "Before turning to the quarter presentation, I would like to draw your attention to the Safe Harbor statement on Page 2 of the slides, that also applies to any statements made during this presentation."}, {"path": "tedlium_10326.wav", "duration": 10.95, "text": "As previously discussed, we are experiencing an increasing mix of students through corporate partnerships that are awarded higher grants from the university to offset their tuition costs."}, {"path": "tedlium_10327.wav", "duration": 10.95, "text": "In summary, our global Automotive group posted solid overall results in the first quarter despite the slowing we experienced in our core Automotive business in Europe."}, {"path": "tedlium_10328.wav", "duration": 10.95, "text": "Thank you. I'd like to just thank everyone for their time today. I know today is a busy day for everyone. We're not the only that reported last night."}, {"path": "tedlium_10329.wav", "duration": 10.95, "text": "In my presentation, I will focus on the full year results, and Jens will come back to the details on the quarter as well as full year."}, {"path": "tedlium_10330.wav", "duration": 10.95, "text": "operating expense control and the previously discussed benefit from the change in accounting guidance for tax benefits from certain stock compensation expenses now included in our tax provision."}, {"path": "tedlium_10331.wav", "duration": 10.95, "text": "We are starting to see contributions coming from these products. We'll make further efforts to have even bigger growth mid- to long term based on the results so far."}, {"path": "tedlium_10332.wav", "duration": 10.95, "text": "This is a very hard market to predict at this point because there are a lot of multiple dynamics going on in terms of -- it's not just about flash demand being"}, {"path": "tedlium_10333.wav", "duration": 10.95, "text": "our software to pinpoint where the highest expectation of damage is. So what we're trying to do is work with the customers to be a good value-added. We know there's always going to have to be inspection spend."}, {"path": "tedlium_10334.wav", "duration": 10.95, "text": "ad campaigns for noodles are more difficult. Eating noodles is something very common, very lackluster."}, {"path": "tedlium_10335.wav", "duration": 10.95, "text": "We always look at this area carefully. And with the sales volume trending lower, we opted to manage inventory levels versus gain incremental near-term margin."}, {"path": "tedlium_10336.wav", "duration": 10.95, "text": "You'll notice there that we've separated Manufactured Accommodation from Village Operations, and we've done this because those 2 income streams really have different attributes from an investment point of view."}, {"path": "tedlium_10337.wav", "duration": 10.95, "text": "And we are seeing consumers respond in those categories to the lower prices and that's driving units up. So it's really tough to isolate"}, {"path": "tedlium_10338.wav", "duration": 10.95, "text": "has the potential to really change the trajectory of the disease. So I think, by the middle of the year we'd hope to see, certainly in the younger children a similarly profound response"}, {"path": "tedlium_10339.wav", "duration": 10.95, "text": "So during the half, we launched a new larger store format in order to provide a compelling offer to landlords in order to give us additional space."}, {"path": "tedlium_10340.wav", "duration": 10.95, "text": "Maybe you could talk a little bit about maybe what caused that. Is the business -- is that just sort of a hiccup? Or is the business maybe not expanding at the rate you thought it might be?"}, {"path": "tedlium_10341.wav", "duration": 10.95, "text": "And SPS is a key part of driving productivity for us. And those businesses that really embrace it and drive it, you can see the consistent results in that part of"}, {"path": "tedlium_10342.wav", "duration": 10.95, "text": "recruiting system is much stronger than it's been in the past. Our performance system continues to be very strong. Our learning system, I would argue, is better than it's ever been."}, {"path": "tedlium_10343.wav", "duration": 10.95, "text": "because of it being a complete flow business is in the Fluids business. So as materials move up and down we have to chase it. And so in that business, we mitigate"}, {"path": "tedlium_10344.wav", "duration": 10.95, "text": "We underwrote these clients and they're similar type banks to us. So there's no unique class of loans that are a line of business we're looking to exit. So I'd say steady state."}, {"path": "tedlium_10345.wav", "duration": 10.95, "text": "continued dollar strength and fears that Deutsche Bank could actually omit dividends on certain corporate-preferred securities, resulted in a strong risk of market."}, {"path": "tedlium_10346.wav", "duration": 10.95, "text": "sawing and drilling and surfaces and floors because our current core is really in the concrete sawing and drilling business. And the floor grinding was"}, {"path": "tedlium_10347.wav", "duration": 10.95, "text": "The increase from year-end was driven by normal seasonality of our cash flow, which is negative in the first half of the year and turns positive in the second half of the year."}, {"path": "tedlium_10348.wav", "duration": 10.95, "text": "so now we think that we probably can grow at 10% longer term but that the coverage would be very tight and could be negative in some years."}, {"path": "tedlium_10349.wav", "duration": 10.95, "text": "this quarter as we continue to manage our revenue and expenses to meet or modestly exceed our expectations while investing in making great strides in the core strategy we laid out last year."}, {"path": "tedlium_10350.wav", "duration": 10.95, "text": "It is important to note that increased levels of earning assets in the quarter from the growth in our Equipment Finance and Funding Stream portfolios more than offset higher quarter-over-quarter expenses."}, {"path": "tedlium_10351.wav", "duration": 10.95, "text": "And that growth is going to come from slower growth within our traditional core channels, probably 5% growth and substantial growth within the new channels and the expansion channels that Jeff mentioned."}, {"path": "tedlium_10352.wav", "duration": 10.95, "text": "There is still much to be done as we perform a cost of service study and work with the commission staff, customers and other stakeholders to find a fair, long-term solution."}, {"path": "tedlium_10353.wav", "duration": 10.95, "text": "where we didn't produce any samples. And -- so that's worked itself through. And as we get into the second half of this year, we'll return to more consistent sample production."}, {"path": "tedlium_10354.wav", "duration": 10.95, "text": "In order to accomplish that, we will need to continue to see growth from high-margin LED products and maintain strong margins on our other product lines and service lines."}, {"path": "tedlium_10355.wav", "duration": 10.95, "text": "We're creating a genuine one-stop shop on both sides of the market, where our consumers need to look no further to find, move or manage their home,"}, {"path": "tedlium_10356.wav", "duration": 10.95, "text": "improvement initiatives that are part of our operational excellence program, including those related to order to cash automation and the level 0 support."}, {"path": "tedlium_10357.wav", "duration": 10.95, "text": "On a regional basis, the Southeast was the strongest for the quarter, and the West was the strongest for the year. The South Central region was the most challenging in both periods."}, {"path": "tedlium_10358.wav", "duration": 10.95, "text": "that can be developed into deeper solution practices and distributed to more clients through our existing geographic channels, especially in the middle market."}, {"path": "tedlium_10359.wav", "duration": 10.95, "text": "in smartphones outside of the 2 largest OEMs. We expect Consumer revenue will be down in the December quarter, with lower revenue at our leading customer"}, {"path": "tedlium_10360.wav", "duration": 10.95, "text": "or we diversify into other applications? We would do any of those if it's clear to us that we can digest it and that it really creates long-term shareholder value."}, {"path": "tedlium_10361.wav", "duration": 10.95, "text": "Before the impact of reinsurance, we expect premium yield on our primary book to continue to migrate upward to around 50 bps over the next several quarters."}, {"path": "tedlium_10362.wav", "duration": 10.95, "text": "With that, let me now turn to 2016. In Insulation, we expect revenue growth will be slightly weaker than the growth experienced in 2015. While we do expect margin expansion,"}, {"path": "tedlium_10363.wav", "duration": 10.95, "text": "for owners that preserves the goodwill and strong brand loyalty we've generated over many years of providing these families with fantastic vacation experiences."}, {"path": "tedlium_10364.wav", "duration": 10.95, "text": "Our strategy thus far has been, in Europe, we've started seeding the market. We do have a sales group already set up over there, it works out of our wheel plant there in"}, {"path": "tedlium_10365.wav", "duration": 10.95, "text": "So I would say that it's a little bit of visibility on some of the book and ship. And as frustrating as that is for us, we had to go back and look at it"}, {"path": "tedlium_10366.wav", "duration": 10.95, "text": "whenever you -- first, whenever you trade-off pricing and volume, that's a lot easier on the margin structure than having to go the other way, and you do eventually need to go the other way on volume growth"}, {"path": "tedlium_10367.wav", "duration": 10.95, "text": "However, as in Brazil, volumes fell in the second half as categories slowed in response to weakening economic conditions and price elasticity."}, {"path": "tedlium_10368.wav", "duration": 10.95, "text": "We are looking forward to updating you on our progress at our next quarterly call somewhere in August. We'll advise you. Have a great day."}, {"path": "tedlium_10369.wav", "duration": 10.95, "text": "combined sales force and one combined marketing thrust and making sure that we are getting the most and delivering the most value that we possibly can"}, {"path": "tedlium_10370.wav", "duration": 10.95, "text": "increases in variable compensation costs. We believe that our defense costs with respect to the derivative litigation will be substantially lower,"}, {"path": "tedlium_10371.wav", "duration": 10.95, "text": "We continue to believe based on where we are today that this project will deliver significant value and achieve our expectations on which we greenlighted its development."}, {"path": "tedlium_10372.wav", "duration": 10.95, "text": "Assuming that timing is met, we would expect to resume longwall production in the new longwall district at the end of the first quarter of next year."}, {"path": "tedlium_10373.wav", "duration": 10.95, "text": "And on the middle market investment, you mentioned in the prepared remarks that there was one that had a loss in the quarter from a restructure. Which investment was that?"}, {"path": "tedlium_10374.wav", "duration": 10.95, "text": "And as well then, we've got to be focused on taking costs out of the existing infrastructure on a go-forward basis. And as we said before, that's what the next phase of productivity is about."}, {"path": "tedlium_10375.wav", "duration": 10.95, "text": "what should we expect to see first when you're starting to get traction there? Is it organic growth stabilizing? Is it margin improvement? Is it a little bit of everything?"}, {"path": "tedlium_10376.wav", "duration": 10.95, "text": "We remain confident in our ability to continue executing on these initiatives as we look forward to getting back to our previous market share position and beyond"}, {"path": "tedlium_10377.wav", "duration": 10.95, "text": "we are confident in the long-term prospects for these investments and believe it is prudent to continue to forecast the return on our investments in certain life science venture capital funds."}, {"path": "tedlium_10378.wav", "duration": 10.95, "text": "and helping our sales force develop and distribute compelling solutions for our advertising partners and improving the experience for our consumers."}, {"path": "tedlium_10379.wav", "duration": 10.95, "text": "volume should increase with the typical seasonality, so earnings should step up pretty significantly I would think sequentially from third to fourth quarter. Can"}, {"path": "tedlium_10380.wav", "duration": 10.95, "text": "We continue to introduce new products that are gaining customer acceptance in the end markets we serve from this segment, and we see a strong frontlog, which gives us confidence in the future growth potential."}, {"path": "tedlium_10381.wav", "duration": 10.95, "text": "So depending on paths that were being discussed, there was a lot of options or variability into where that was going to go. During the quarter it became clearer which"}, {"path": "tedlium_10382.wav", "duration": 10.95, "text": "it's -- if they decided to do yoga and they didn't want it on at that time, but they wanted to put a transmitter back on after the workout or they want to wear a sleeveless dress."}, {"path": "tedlium_10383.wav", "duration": 10.95, "text": "Air Products is doing well and you see that in the numbers, and we continue to believe that Air Products by itself will continue to do well."}, {"path": "tedlium_10384.wav", "duration": 10.95, "text": "Net cost performance was unchanged as our productivity actions and the TSA income were roughly offset by higher maintenance costs, inflation"}, {"path": "tedlium_10385.wav", "duration": 10.95, "text": "The cracker reached full design rates in April. CPChem also operated well during the quarter and has fully recovered from the hurricane downtime at Cedar Bayou."}, {"path": "tedlium_10386.wav", "duration": 10.95, "text": "These are some of the major factors of why we expect continued high utilization rates on our Lakehead and North Dakota systems which source their volumes from the Western Canada and Bakken areas, respectively."}, {"path": "tedlium_10387.wav", "duration": 10.95, "text": "On Slide 12, we break out our third quarter rebased revenue and OCF growth rates for our operations in Western Europe, which make up over 90% of our total European revenue."}, {"path": "tedlium_10388.wav", "duration": 10.95, "text": "And I think that will become clear as far as the revenue potential. But we are very bullish on this and I think there are immediate opportunities for revenue from this that"}, {"path": "tedlium_10389.wav", "duration": 10.95, "text": "of the Russell Stover business in Canada to our Lindt Canada. I think that is important because if you now look at the"}, {"path": "tedlium_10390.wav", "duration": 10.95, "text": "We believe that ultimately the works that we do on that initiative will allow us to develop commercial bundled payment products that can be marketed to MA plans and other payers."}, {"path": "tedlium_10391.wav", "duration": 10.95, "text": "We believe these solid results reflect the strength and sustainability of our business model, with growth from recent acquisitions complementing our organic growth."}, {"path": "tedlium_10392.wav", "duration": 10.95, "text": "Our redesign completion techniques have shown promising early results, and we are excited to see the results on a larger sample size in the third quarter."}, {"path": "tedlium_10393.wav", "duration": 10.95, "text": "as discussed in the company's filings with the Securities and Exchange Commission that could cause actual results to differ. After our remarks, we'll have a question-and-answer session."}, {"path": "tedlium_10394.wav", "duration": 10.95, "text": "retail numbers. I mean the retail numbers in December were not very good. Sales in December in the retail were lower than that of November."}, {"path": "tedlium_10395.wav", "duration": 10.95, "text": "We're taking actions to close selected price gaps, but we expect the market to remain challenging in terms of both revenue and margins at least through the second half."}, {"path": "tedlium_10396.wav", "duration": 10.95, "text": "Looking ahead, we remain confident that we will see significant positive benefit from these pricing actions in 2018. We also expect our cost models to benefit"}, {"path": "tedlium_10397.wav", "duration": 10.95, "text": "At the time, we noted that those numbers did not include any new console launches and did not include any sales for virtual reality, hardware or software."}, {"path": "tedlium_10398.wav", "duration": 10.95, "text": "I do need to remind investors that whilst we do not expect there to be significant variances, all financial figures in the 4C and our presentation remain subject to half year audit review."}, {"path": "tedlium_10399.wav", "duration": 10.95, "text": "and tried to really optimize the profitability and tried to take -- make sure that we were balancing sales and margin and profit all the way through that. So"}, {"path": "tedlium_10400.wav", "duration": 10.95, "text": "And we're looking at what we can do to be competitive. So we're open to a broad range of opportunities in structuring our contracts. I think that's going to be key in the Delaware Basin going forward."}, {"path": "tedlium_10401.wav", "duration": 10.95, "text": "As a growing midstream service provider, it's critical to be where the activity is. And today, more than half of the total U.S. rigs are located in the STACK and Permian basins."}, {"path": "tedlium_10402.wav", "duration": 10.95, "text": "This is one of the reasons that we're able to grow at a pace greater than the market. Our customers are recognizing the value of Hub's service and taking that into account when making carrier selections."}, {"path": "tedlium_10403.wav", "duration": 10.95, "text": "so shifting it to the point of sale has a very minimal impact overall but has a very big impact to individuals taking those impacted drugs. And I would tell you this is just"}, {"path": "tedlium_10404.wav", "duration": 10.95, "text": "Okay. I appreciate going a little bit more in depth there. And then, I wanted to talk to your comments as well as you're getting the aircraft in the fleet a little bit faster this year."}, {"path": "tedlium_10405.wav", "duration": 10.95, "text": "Since that time, we have and expect to continue to generate substantial free cash flow that we are committed to allocating toward the highest-return investments."}, {"path": "tedlium_10406.wav", "duration": 10.95, "text": "and the impact that could have to us was not fully contemplated in the range. And so I think what you really saw was a big impact in the fourth quarter like we talked about, 90 basis points"}, {"path": "tedlium_10407.wav", "duration": 10.95, "text": "and creating powerful store merchandise and assortment displays This will be a journey over a number of years, and we're committed to building a world-class experience for our customers."}, {"path": "tedlium_10408.wav", "duration": 10.95, "text": "Our first priority is safely executing our work. Earlier this year, we conducted a survey that benchmarked our safety results against more than 1,000 other organizations,"}, {"path": "tedlium_10409.wav", "duration": 10.95, "text": "We executed well on our 2017 plan to improve quality, performance and automation, which removed friction from our advertising business and improved our application for the Snapchat community."}, {"path": "tedlium_10410.wav", "duration": 10.95, "text": "During the quarter, we benefited from the additional capacity and improving cost efficiencies from our recent investments at Trentwood, which served to partially counteract headwinds experienced in the first quarter."}, {"path": "tedlium_10411.wav", "duration": 10.95, "text": "selections, especially in stone, and then the higher-end ceramic that can be accessorized with stone, that we can display in our stores"}, {"path": "tedlium_10412.wav", "duration": 10.95, "text": "In Brazil, our business performed well despite the sluggish economic conditions due to the high mix of specialty personal care products in our portfolio."}, {"path": "tedlium_10413.wav", "duration": 10.95, "text": "and divesting businesses that are noncore. Lastly, I wanted to highlight a number of truly innovative new products recently launched."}, {"path": "tedlium_10414.wav", "duration": 10.9200625, "text": "Aircraft prices continue to rise for most types as investor demand continues to surge. We're seeing many yield-driven players who are not traditional aircraft investors entering our market."}, {"path": "tedlium_10415.wav", "duration": 10.92, "text": "again, I don't have a deal that I can comment on just yet. We are very actively working on several different fronts on both sides of the equation there."}, {"path": "tedlium_10416.wav", "duration": 10.92, "text": "And I'd say that we'll probably -- we'll have a decision on that probably in the next several weeks. And what we're really thinking about now is as we've evolved, and particularly as we've"}, {"path": "tedlium_10417.wav", "duration": 10.92, "text": "This new addition to our giga family of products is off to a rapid ramp, with nearly 200 customers placing orders prior to general availability."}, {"path": "tedlium_10418.wav", "duration": 10.92, "text": "These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties and other factors, some of which are beyond Investors Bancorp's control,"}, {"path": "tedlium_10419.wav", "duration": 10.92, "text": "when we execute well in the restaurant, everything else is going to work well also. We have a better shot at executing digital. And so I think the single biggest thing we can do and this thing that we've been focused on"}, {"path": "tedlium_10420.wav", "duration": 10.92, "text": "We have new leadership in place. We've seen steady improvement over the past few quarters. The weather has certainly normalized with the exception of what we saw in early April."}, {"path": "tedlium_10421.wav", "duration": 10.92, "text": "just based on the numbers we put forward, there will be more movement among our own fund family and between active and passive and with unaffiliated funds."}, {"path": "tedlium_10422.wav", "duration": 10.92, "text": "In the Asia Pacific region, we expect second quarter and full year RevPAR will increase at a high single-digit rate, reflecting continued strength in corporate and leisure demand."}, {"path": "tedlium_10423.wav", "duration": 10.92, "text": "Moving to a liquid formulation should accelerate absorption to the extent that you don't have to break down a capsule or dissolve the powder in the capsule. It's already presented as a liquid."}, {"path": "tedlium_10424.wav", "duration": 10.92, "text": "and what we were left with was a reversal, apparently, in that benefit in the small number of events that were abdominal only."}, {"path": "tedlium_10425.wav", "duration": 10.92, "text": "We believe there is no other marketing services provider bringing this deep and sole focus to the financial services market right now."}, {"path": "tedlium_10426.wav", "duration": 10.92, "text": "will bring additional consistency and rigor to the capital allocation decision making process. And he'll assist in evaluating growth opportunities capable of delivering long-term value."}, {"path": "tedlium_10427.wav", "duration": 10.92, "text": "I believe that you guys had mentioned a more modest rate reduction in the State of Florida. I don't remember exactly the number or the timing of that. Could you just remind us?"}, {"path": "tedlium_10428.wav", "duration": 10.92, "text": "Overall, we're pleased with our progress during the first quarter. We believe our attractive business portfolio, combined with a more efficient operating structure,"}, {"path": "tedlium_10429.wav", "duration": 10.92, "text": "As I mentioned last quarter, given the RMAT designation awarded to this program, we will continue to engage with the FDA to evaluate an earlier submission if the data are supportive."}, {"path": "tedlium_10430.wav", "duration": 10.92, "text": "Yes, I think it is. International was driven primarily by softness that we saw in Europe, quite frankly. And"}, {"path": "tedlium_10431.wav", "duration": 10.92, "text": "you can continue. When the second batch of people come in, you may already lose your first batch. Especially right now, in Southeast Asia, marketers are"}, {"path": "tedlium_10432.wav", "duration": 10.92, "text": "Additionally, we believe our first and third quarters have the potential to become larger relative to the balance of the quarters, as our international business becomes a greater percentage of our total net sales."}, {"path": "tedlium_10433.wav", "duration": 10.92, "text": "And you don't want to disrupt it with a cable system that you have to replace within a certain number of cycles. So we are continuously developing the number of cycles that you can"}, {"path": "tedlium_10434.wav", "duration": 10.92, "text": "We believe these new game themes and form factors will continue building upon the success we are achieving from our newer premium game installations."}, {"path": "tedlium_10435.wav", "duration": 10.92, "text": "So I'd just like to wrap all of this up now with the last slide. And while we're not out of the woods yet, there are a number of interesting themes I'd ask shareholders to consider."}, {"path": "tedlium_10436.wav", "duration": 10.92, "text": "for an average of five years prior to switching. So they -- and patients who've been on treatment that long, generally are declining in, in the various functions that you measure."}, {"path": "tedlium_10437.wav", "duration": 10.92, "text": "Yes. Do you think the organization is collecting data from customer response in an efficient way to really optimize that sales process across regions?"}, {"path": "tedlium_10438.wav", "duration": 10.92, "text": "Finally, before I hand it over to Jose to take you through our financial results, I'd like to take a minute to thank our employees for your excellent performance in 2017. There is no better team in the industry."}, {"path": "tedlium_10439.wav", "duration": 10.92, "text": "In the first half of 2017, the use of working capital has been slightly lower than last year, but there are many moving pieces within those numbers."}, {"path": "tedlium_10440.wav", "duration": 10.92, "text": "Transformation is never easy but the commitment of our global team to help people realize their potential through our state-of-the-art people management solutions"}, {"path": "tedlium_10441.wav", "duration": 10.92, "text": "It's important to note that these changes to our delivery organization have not and will not impact our ability to support our clients"}, {"path": "tedlium_10442.wav", "duration": 10.92, "text": "Now moving to the very important content side of our business. We continue to improve and grow our innovation efforts, shedding formats from the past on every platform."}, {"path": "tedlium_10443.wav", "duration": 10.92, "text": "even though most investors don't pay any sales charge in an A share class. This change will level out the playing field between share classes and better reflect current state of the industry."}, {"path": "tedlium_10444.wav", "duration": 10.92, "text": "Based on our planned efforts, we expect the use of the panel to double in 2017. For Zellweger spectrum disorders, we will be pushing forward our patient identification efforts"}, {"path": "tedlium_10445.wav", "duration": 10.92, "text": "the profitable growth investments and initiatives we are doing. Giving then in the end, a positive impact on operating income and margin"}, {"path": "tedlium_10446.wav", "duration": 10.92, "text": "I mean, what we have said very consistently is, we think it takes our team 2 full bid cycles to make this our network. And so we are just now implementing"}, {"path": "tedlium_10447.wav", "duration": 10.92, "text": "We expect our CapEx to be lower in 2016 and return to more historical levels now that our forest product expansion is complete."}, {"path": "tedlium_10448.wav", "duration": 10.92, "text": "We've also differentiated our service by continuing to provide customers with education, high-quality reviews and contracts that let them flex their demands."}, {"path": "tedlium_10449.wav", "duration": 10.92, "text": "the Rosewood Miramar beach hotel for Caruso Enterprises, the Newark Airport Terminal 1 in New Jersey for the Port Authority in New York"}, {"path": "tedlium_10450.wav", "duration": 10.92, "text": "that branch banking structures become more geared towards base pay and less towards incentives, which means the fixed cost, if you will, of running a branch"}, {"path": "tedlium_10451.wav", "duration": 10.92, "text": "And we want to make sure that you actually can do a really, really brilliant job in the customers' home. So before you can now work for us, you have to pass the test."}, {"path": "tedlium_10452.wav", "duration": 10.92, "text": "This time around, however, we have succeeded to get HI-CHEW into some test markets and in-store turnover thus far is comparable to that in America."}, {"path": "tedlium_10453.wav", "duration": 10.92, "text": "with the arrangement already well understood and Woodside already working with the support of the joint venture under a development delegation agreement."}, {"path": "tedlium_10454.wav", "duration": 10.92, "text": "Thank you, Colin, and welcome to everyone on our call. For the first quarter of this year, I'm pleased to report strong financial results for our company."}, {"path": "tedlium_10455.wav", "duration": 10.92, "text": "subject to certain conditions, including the completion of the merger with Seventy Seven Energy and the repayment and termination of the Seventy Seven credit facility."}, {"path": "tedlium_10456.wav", "duration": 10.92, "text": "That said, because we report net interest margin on a tax-equivalent basis, our reported margin will decline 6 to 7 basis points"}, {"path": "tedlium_10457.wav", "duration": 10.92, "text": "which remains strong at 84%. In addition to overall rate, we are enhancing claim practices with an eye towards improving efficiencies and our customers' experience"}, {"path": "tedlium_10458.wav", "duration": 10.92, "text": "for the way new homebuyers want to live and creating entire neighborhood that reinforce the sense of community. And we instill a commitment to construction standards that are best-in-class."}, {"path": "tedlium_10459.wav", "duration": 10.92, "text": "So all else being equal, if we had 2 equal opportunities and one was a little bit more -- one was international and one was domestic,"}, {"path": "tedlium_10460.wav", "duration": 10.92, "text": "Right now, we are laser-focused on every single one of our locations and hitting the metrics that we're talking about, which is getting this"}, {"path": "tedlium_10461.wav", "duration": 10.92, "text": "Most of the major overall of the company and the business plan is being taken care of during '15 and '16, and those are the years that we wanted to protect."}, {"path": "tedlium_10462.wav", "duration": 10.92, "text": "And alongside these improvements to our processes, we are confident that this will deliver improved performance across the house."}, {"path": "tedlium_10463.wav", "duration": 10.92, "text": "Well, we're just trying to -- the branding, the rebranding of what used to be Commerce National Bank in the First Merchants is 2 years old at this point. And so"}, {"path": "tedlium_10464.wav", "duration": 10.92, "text": "In the first half, we forecast operating earnings to grow by high single digits percent, driven by increased volume and favorable pricing."}, {"path": "tedlium_10465.wav", "duration": 10.92, "text": "Thank you. Good morning. I'd like to welcome you to the AVX conference call regarding the results for our second fiscal quarter that ended in September."}, {"path": "tedlium_10466.wav", "duration": 10.92, "text": "acquisition of Maestro, movement into telemedicine with great success, and also, a very clear and strong and decisive act"}, {"path": "tedlium_10467.wav", "duration": 10.92, "text": "facilitated the extension of our ABL in the fourth quarter and also helped provide the economic stability we now enjoy so that we can focus on the day-to-day management of our business."}, {"path": "tedlium_10468.wav", "duration": 10.92, "text": "As we've always said, deferred revenue was an imperfect growth predictor as it was impacted by a number of factors, including invoicing timing and billing terms. To provide more transparency"}, {"path": "tedlium_10469.wav", "duration": 10.92, "text": "expected growth and strategies, key operating metrics and current business indicators, capital needs and deployment, liquidity, product offerings,"}, {"path": "tedlium_10470.wav", "duration": 10.92, "text": "We continue to have discussions with OEMs that come to us first because we are the global leader in natural gas technology development."}, {"path": "tedlium_10471.wav", "duration": 10.92, "text": "In China, we reduced spend on expensive promotion in the modern on-trade given the current low returns on these programs, mainly behind Johnnie Walker."}, {"path": "tedlium_10472.wav", "duration": 10.92, "text": "due to higher prepayments, which did occur during this past quarter. More broadly, we have been reinvesting cash flow from our investment portfolio into securities with a marginally higher yield"}, {"path": "tedlium_10473.wav", "duration": 10.92, "text": "Thank you also to those -- those of you joining us on the webcast and specifically, so -- also all the Pioneer Foods colleagues joining us from the various operational units throughout the country."}, {"path": "tedlium_10474.wav", "duration": 10.92, "text": "The only information not captured are the perceptions of the individual officer, which frankly can be more easily dictated to the video after the incident than being painstakingly typed on a keyboard."}, {"path": "tedlium_10475.wav", "duration": 10.92, "text": "We look at our inventory every single day and just monitor every granular detail of what's going on, get feedback from our team. We feel good about our inventory position right now."}, {"path": "tedlium_10476.wav", "duration": 10.92, "text": "It's also worth noting that the industry is not in a discounting mode. Pricing activity that we have seen at the shows is consistent with normal boat show promotion."}, {"path": "tedlium_10477.wav", "duration": 10.92, "text": "which result in improved and highly accurate loss forecasting, pricing and account selection that ultimately produces consistent profitable results."}, {"path": "tedlium_10478.wav", "duration": 10.92, "text": "As we balance our priorities for the future deployment of our free cash flow, both dividends and stock repurchases will be important mechanisms to return capital to shareholders."}, {"path": "tedlium_10479.wav", "duration": 10.92, "text": "in terms of looking at utility for excess cash, whether that would be in the form of a share buyback, a dividend or an acquisition."}, {"path": "tedlium_10480.wav", "duration": 10.92, "text": "ours and Bayer's, serve as validation of our discovery capabilities and a clear indication of the potential value of each of these first-in-class drug programs."}, {"path": "tedlium_10481.wav", "duration": 10.92, "text": "We've been getting good pricing and what we consider to be good margins on our equipment sales. So there's no real read through on a sort of like that."}, {"path": "tedlium_10482.wav", "duration": 10.92, "text": "What is your expectation through the course of the year? As you mentioned, we are seeing some changes in the competitive landscape. Is the expectation that you're able to continue to drive churn lower through the course of the year?"}, {"path": "tedlium_10483.wav", "duration": 10.92, "text": "in retail anyway. I think we should get faster to help our suppliers, particularly ASOS Design and own brand, but we just need to bed in what we've done and we'll get better from here."}, {"path": "tedlium_10484.wav", "duration": 10.92, "text": "And we are now with the combination of those businesses really playing into a number of the trends around electric drive, around autonomous vehicle, around hybrid"}, {"path": "tedlium_10485.wav", "duration": 10.92, "text": "reduced, that is, by the grant of summary judgment in favor of all of our defendant Directors by the Nevada District Court prior to trial."}, {"path": "tedlium_10486.wav", "duration": 10.92, "text": "Our sustainable competitive advantages include our ongoing focus on developing and maintaining a multilingual branch staff"}, {"path": "tedlium_10487.wav", "duration": 10.92, "text": "We began an intensive product development period before launching our initial forklift batteries in fiscal 2017. We then had to be patient"}, {"path": "tedlium_10488.wav", "duration": 10.92, "text": "Forward-looking statements are based on management's current assumptions and expectations of future events and trends, which may affect the company's business, strategy, operations or financial performance."}, {"path": "tedlium_10489.wav", "duration": 10.92, "text": "the opportunities for growth, we will continue to be aspirationally targeting double digit but prudently taking on the business that makes sense for us."}, {"path": "tedlium_10490.wav", "duration": 10.92, "text": "conservative reaction has always been in the past in times of volatility to carry more liquidity. So we weren't sure how quickly it would dissipate. It actually dissipated"}, {"path": "tedlium_10491.wav", "duration": 10.92, "text": "industry is that technology will constitute a larger percentage. The reason being that there is no other line of spend which can actually claim to have a higher priority over technology."}, {"path": "tedlium_10492.wav", "duration": 10.92, "text": "The Biologics business reported one of its strongest performances ever in the fourth quarter, delivering robust revenue growth and an improved operating margin."}, {"path": "tedlium_10493.wav", "duration": 10.92, "text": "We continue to hear EXPAREL success stories from physicians who are using an opioid-minimization strategy as a catalyst to shift both large and small procedures to the ambulatory setting."}, {"path": "tedlium_10494.wav", "duration": 10.92, "text": "particularly in cash and in our offshore investment propositions, again exactly what one would expect from a more risk-averse customer base in the current environment."}, {"path": "tedlium_10495.wav", "duration": 10.92, "text": "I have to say I was at Kukui'la last week and saw the latest construction progress both in vertical construction on homes and the development of some new lots that we're"}, {"path": "tedlium_10496.wav", "duration": 10.92, "text": "Our focus is on containing our OpEx growth throughout the remainder of the year, which is within our control and a key component of proving that the business model is working."}, {"path": "tedlium_10497.wav", "duration": 10.92, "text": "Second, higher oil prices will likely encourage greater oil investment and generate positive linkages with other activities in the economy down the supply chain. Third,"}, {"path": "tedlium_10498.wav", "duration": 10.92, "text": "One, we want to improve our control over our direct scope of work. We want to improve our execution on these projects and ultimately mitigate our potential risk."}, {"path": "tedlium_10499.wav", "duration": 10.92, "text": "what is among the worst things you can do if you're a public company, well, it's one thing to mislead your investment community about your business. I would say it's even worse to mislead"}, {"path": "tedlium_10500.wav", "duration": 10.92, "text": "The breadth and depth of the glemba and varli programs should provide us with a data rich 2017 and clearly define the potential of these product candidates."}, {"path": "tedlium_10501.wav", "duration": 10.92, "text": "These statements are estimates based on management's current expectations and involve risks and uncertainties that could cause them to differ materially from actual results."}, {"path": "tedlium_10502.wav", "duration": 10.92, "text": "what happened was that we were back on track. So for industrial, medical included, as well as automotive, in all these different applications,"}, {"path": "tedlium_10503.wav", "duration": 10.92, "text": "We assume no obligation to update any forward-looking statements. Most of today's presentation will refer to non-GAAP financial results and outlooks."}, {"path": "tedlium_10504.wav", "duration": 10.92, "text": "we're a lot smarter going into this budgeting process than we were perhaps going into the last budgeting process. And that's what you'd expect me to say, of course. But we're going to always be,"}, {"path": "tedlium_10505.wav", "duration": 10.92, "text": "Thank you. Through our regional and product diversification, we're able to minimize the current challenging market"}, {"path": "tedlium_10506.wav", "duration": 10.92, "text": "We believe that our unbranded narcolepsy disease awareness efforts are helping patients, as evidenced by the increase in newly diagnosed narcolepsy patients during the investment period."}, {"path": "tedlium_10507.wav", "duration": 10.92, "text": "So move on -- moving on to credit quality. I'm glad to report that we have made important progress to resolve 2 of the problematic loans we had in our portfolio."}, {"path": "tedlium_10508.wav", "duration": 10.92, "text": "We're implementing the strategies that we feel are right for our business to improve our financial performance and grow over time. Part of that is improving our realization"}, {"path": "tedlium_10509.wav", "duration": 10.92, "text": "and we want to make sure we offer the right tires at the right price points for our customers. Lastly, I would like to provide an update on our productivity and team engagement initiatives."}, {"path": "tedlium_10510.wav", "duration": 10.92, "text": "We expect this story to recur at new DDR again and again, where incremental closures represent net opportunity for stakeholders."}, {"path": "tedlium_10511.wav", "duration": 10.92, "text": "everywhere in the industry. I mean, when you become familiar with what -- how this thing ends up, it's going to be so similar to what already exists that you'll be"}, {"path": "tedlium_10512.wav", "duration": 10.92, "text": "So you're right. We've had one of these several ago, but we are again going back and reinforcing all of our fire safety protection systems on all our facilities worldwide."}, {"path": "tedlium_10513.wav", "duration": 10.92, "text": "These regions are both high-growth opportunities in the long term, and we value the diversification of our portfolio and the resilience and stability it provides."}, {"path": "tedlium_10514.wav", "duration": 10.92, "text": "by leveraging the benefits of our strategy of focusing on higher-margin tank repair and service, expanding our mobile fleet, and growing the number of customer site service locations."}, {"path": "tedlium_10515.wav", "duration": 10.92, "text": "And accordingly, last year's innovation was named after a portion size. It was called Perfect Size for 1. And that cake frame of reference was highly limited."}, {"path": "tedlium_10516.wav", "duration": 10.92, "text": "You will note that there are no adjustments to our current quarter GAAP reported amounts as all activities associated with our fiscal 2018 restructuring plan"}, {"path": "tedlium_10517.wav", "duration": 10.92, "text": "where our near-term share positions were negatively impacted by aggressive competitive trade promotions. Brian will discuss market share in more detail in a moment."}, {"path": "tedlium_10518.wav", "duration": 10.92, "text": "give you some ideas on that. Now this is probably one of the more important slides. Not that they all aren't important but this gives you an idea of why we're so confident in our forecast."}, {"path": "tedlium_10519.wav", "duration": 10.92, "text": "So -- and the good news about that is that kind of construction is very aggregate intensive, both with new subdivisions and a lot of houses. So"}, {"path": "tedlium_10520.wav", "duration": 10.92, "text": "I'm curious what your view is as to how much inflation we should start to expect to see over the next year. And"}, {"path": "tedlium_10521.wav", "duration": 10.92, "text": "The new program will be funded through organically-generated free cash flow and the anticipated monetizations of certain noncore assets held in the portfolio today."}, {"path": "tedlium_10522.wav", "duration": 10.92, "text": "quite frankly, it's because people love working for FedEx. We actually started a program called Friends and Family. So our employees, when their sons and daughters come back from college, we hire them."}, {"path": "tedlium_10523.wav", "duration": 10.92, "text": "revenue and earnings growth in the second half of fiscal 2018. Our plans remain on target to improve operating income at the FedEx Express segment"}, {"path": "tedlium_10524.wav", "duration": 10.92, "text": "We have sufficient cash to complete the pivotal trial for our Corplex Donepezil program, and we are planning to secure one or more partnerships that would provide additional funding."}, {"path": "tedlium_10525.wav", "duration": 10.92, "text": "left that Public Service Commission. Is there any indication that we may see any delays in that rate case coming through because of the changes at the commission level?"}, {"path": "tedlium_10526.wav", "duration": 10.92, "text": "to hit the plan that we are expecting ourselves to hit with regard to the regionalization of the sales organization, coverage, our e-commerce tools,"}, {"path": "tedlium_10527.wav", "duration": 10.92, "text": "The new cost-savings program that we have announced today is the first step in the right direction to correct the situation."}, {"path": "tedlium_10528.wav", "duration": 10.92, "text": "there was a very big stress in Brazil because of incoming elections. And at the end of the year, growth was"}, {"path": "tedlium_10529.wav", "duration": 10.92, "text": "This was a reversal from the negative trends we had seen through the first 6 months of the year related to the lingering effects of inexpensive Chinese imports."}, {"path": "tedlium_10530.wav", "duration": 10.92, "text": "and then by leveraging that traction to drive a catalyst-designed paradigm shift among global OEMs. We carry important commercial momentum into several key underserved markets"}, {"path": "tedlium_10531.wav", "duration": 10.92, "text": "We are preparing for potential EU markets approval in the coming months. We are also getting ready for potential approvals in Japan and Canada this year,"}, {"path": "tedlium_10532.wav", "duration": 10.92, "text": "to really thinking about value -- thinking on a more focused basis about value creation through margin enhancement in these programs. And"}, {"path": "tedlium_10533.wav", "duration": 10.92, "text": "Dave has been a value leader as CEO and as a pillar in the industry and we are lucky to have them remain on the board where we can continue to benefit from his perspective."}, {"path": "tedlium_10534.wav", "duration": 10.92, "text": "Before we delve into our results, I want to take a moment and recognize Dave Rogers as one of our fore founders and for his 35 years of service and commitment to Life Storage."}, {"path": "tedlium_10535.wav", "duration": 10.92, "text": "what is the level of optimism? And I will tell you that there is a higher level of optimism today than there certainly was a year ago or 2 years ago at this point."}, {"path": "tedlium_10536.wav", "duration": 10.9199375, "text": "Of course, it's the same we do see with our customer interaction. We do offer a wide range of delivery options and added services."}, {"path": "tedlium_10537.wav", "duration": 10.9199375, "text": "While all of this suggests attractive long-term opportunities for HealthSouth in terms of gaining incremental market share, the downside risks are modest."}, {"path": "tedlium_10538.wav", "duration": 10.89, "text": "And I think there was a period of time in the market that if we had to look back to in 2012, the end of '12, second half of '12 and"}, {"path": "tedlium_10539.wav", "duration": 10.89, "text": "Each contractor has a different set of workforce. We've been -- I think the contrast is that polyethylene unit's pretty much complete on time, on budget, as we talked about in the second quarter of next year."}, {"path": "tedlium_10540.wav", "duration": 10.89, "text": "As we further build our cash balances, we will also evaluate inorganic strategies, including the acquisition of quality educational institutions and programs"}, {"path": "tedlium_10541.wav", "duration": 10.89, "text": "accelerated. I think that the performance that we have lagged behind is now becoming a little bit more market specific"}, {"path": "tedlium_10542.wav", "duration": 10.89, "text": "And in case of the Robinson mine, we have a fluctuation of the ore quality, which has immediate impact on our production"}, {"path": "tedlium_10543.wav", "duration": 10.89, "text": "We're happy with what we see as the profitability trend in LALA drinkables. And we have to make some strategic decisions regarding the Culture business"}, {"path": "tedlium_10544.wav", "duration": 10.89, "text": "So this 1% comp decline and knowing that we really can't leverage on that. And look, our teams have got plans in place to address that over the balance of the year."}, {"path": "tedlium_10545.wav", "duration": 10.89, "text": "which remains untapped for Five Below. It is important to remember, that while our merchandise offering targets the preteen and teen demographics,"}, {"path": "tedlium_10546.wav", "duration": 10.89, "text": "So you can capture those things and then it just drops right to the bottom line. So I'm looking forward to seeing the new year and what our investments will bring"}, {"path": "tedlium_10547.wav", "duration": 10.89, "text": "in the growth market of Texas. We also successfully did a simultaneous close on our remedy solution here in Canada with Parkland."}, {"path": "tedlium_10548.wav", "duration": 10.89, "text": "a large Business Process Services contract with MetLife that we expected to close during the first quarter but was signed this past week."}, {"path": "tedlium_10549.wav", "duration": 10.89, "text": "Now last year's first quarter operating margin included the benefit from a change in accounting methodology for employee equity plans."}, {"path": "tedlium_10550.wav", "duration": 10.89, "text": "And from a pricing perspective, somewhat similar in terms of the benefits. Where we are seeing some drop has been a little bit in the industry environment which as we look at our channel checks, as we look at Black Box,"}, {"path": "tedlium_10551.wav", "duration": 10.89, "text": "Speaking of innovation, we are in the process of implementing Mistras Digital, our tablet-based platform that enables our technicians to electronically receive their work assignments,"}, {"path": "tedlium_10552.wav", "duration": 10.89, "text": "have a respite from caring for their loved ones. And it is very important to organize a network of"}, {"path": "tedlium_10553.wav", "duration": 10.89, "text": "first or next 4 calendar years after completion of the transaction. The implementation costs will be incurred in the first 2 years after closing."}, {"path": "tedlium_10554.wav", "duration": 10.89, "text": "These investments include bringing on new employees and building subcomponents, as David mentioned earlier. These investments have had an effect on our margins."}, {"path": "tedlium_10555.wav", "duration": 10.89, "text": "Working relationships with general contractors continue to be critically important, and customers are looking for solutions not just a specific service from us."}, {"path": "tedlium_10556.wav", "duration": 10.89, "text": "What's interesting to actually note about it is that there's been an uptick in the number of diagnoses in the past 2 years, I think, because more clinicians are becoming more familiar with these diseases."}, {"path": "tedlium_10557.wav", "duration": 10.89, "text": "Would you expect improved pricing as a result of that limited supply of pineapples? And what would you say -- would something similar be true of bananas?"}, {"path": "tedlium_10558.wav", "duration": 10.89, "text": "maybe an example of where you've over-served a customer? Is that how we should think about it? Well, yes, first of all, we haven't taken the process to"}, {"path": "tedlium_10559.wav", "duration": 10.89, "text": "continue to look very strong. And as mentioned in the script, we see no reason for us to change the pace that we are experiencing this year. And obviously, as we to get further into"}, {"path": "tedlium_10560.wav", "duration": 10.89, "text": "We'd like also to restate our satisfaction with the excellent response our margins have given to all the profitability protection measures implemented within the group in the previous years."}, {"path": "tedlium_10561.wav", "duration": 10.89, "text": "feeling good about the business. We're feeling good about the market opportunity and what lies ahead. Having said that, we have also and are still in the process of making a lot of changes to our business. We have new leadership"}, {"path": "tedlium_10562.wav", "duration": 10.89, "text": "If I can buy the textiles in India, I'll make them in India, and we have an Indian operation currently. And Indian textiles are beginning to come up to"}, {"path": "tedlium_10563.wav", "duration": 10.89, "text": "Yes, we think there is opportunity quite a bit within the auto industry to, kind of, increase their rate of adoption, just as you're saying."}, {"path": "tedlium_10564.wav", "duration": 10.89, "text": "Newport's volume in the third quarter was up about 1% versus the prior year and was not significantly impacted by wholesale inventory changes."}, {"path": "tedlium_10565.wav", "duration": 10.89, "text": "But we will not chase deal flow for deal flow's sake. One of the benefits of the breadth and diversity of our lending platform is that we are not forced to deploy capital."}, {"path": "tedlium_10566.wav", "duration": 10.89, "text": "We have long been talking about our desire to grow our assets under management by acquiring a registered investment advisor, through strategy, growth outlook and culture aligned with ours."}, {"path": "tedlium_10567.wav", "duration": 10.89, "text": "So as you can see, we are pouring our resources into wellness products and overseas business, which we regard as growth domains."}, {"path": "tedlium_10568.wav", "duration": 10.89, "text": "This was largely due to the rapid acceptance of AbbVie's hepatitis C therapy, which works across multiple genes and does not require the same level of testing as previous therapies."}, {"path": "tedlium_10569.wav", "duration": 10.89, "text": "portfolio looks like toward the end of the first quarter after we close the acquisition. But I think that's a good conservative baseline."}, {"path": "tedlium_10570.wav", "duration": 10.89, "text": "around the country, you'd find cities that eventually hit a spot where all those things added up to, it's not as quite as good as it used to be. I don't think we're there. So I think there is time left in our story."}, {"path": "tedlium_10571.wav", "duration": 10.89, "text": "it's immaterial to your business today, likely to become more important over time, so just wondering how and if you're positioning your business to prepare for electric vehicle growth."}, {"path": "tedlium_10572.wav", "duration": 10.89, "text": "And from here, we really do look forward to continuing to position Aratana as a collaborator of choice, as we continue to further define and execute on the exciting pet therapeutics model."}, {"path": "tedlium_10573.wav", "duration": 10.89, "text": "And the primary quantitative metric by which we're measuring interest is the number of clinics that have ordered ENTYCE, and we are pleased to be well ahead of our objective on that metric."}, {"path": "tedlium_10574.wav", "duration": 10.89, "text": "In our prepared remarks, we may use some non-GAAP financial measures. Reconciliations of these measures to the most comparable GAAP measure are available in the supplemental section of our press release."}, {"path": "tedlium_10575.wav", "duration": 10.89, "text": "increasing the sharing of disciplines between the new curriculum matrix and compatibility with former curriculum matrix."}, {"path": "tedlium_10576.wav", "duration": 10.89, "text": "Secondly, we want to have the highest quality sales associates in the industry. As a result, we are investing in a comprehensive sales and sales management training program."}, {"path": "tedlium_10577.wav", "duration": 10.89, "text": "With respect to revenue, as we've mentioned previously, capital sales are ultimately driven by procedure growth, catalyzing hospitals to establish or expand robotic system capacity."}, {"path": "tedlium_10578.wav", "duration": 10.89, "text": "As a people business, we believe the ability to advance employees from within our organization is important to the continued success of our company."}, {"path": "tedlium_10579.wav", "duration": 10.89, "text": "It also reflects reduced interest income on cash deposits, particularly in Argentina, following the relaxation of restrictions on remittances, and in India, where rates have come down."}, {"path": "tedlium_10580.wav", "duration": 10.89, "text": "difficult to say at this stage what the outcome will be because that is really unclear to us, both when it will happen, when we will have an outcome and also what the outcome will be."}, {"path": "tedlium_10581.wav", "duration": 10.89, "text": "that gives us encouragement that we're on the right track. Just the isolation of moving transactions is our focus, and we need to get those transactions to our beverage growth."}, {"path": "tedlium_10582.wav", "duration": 10.89, "text": "And while you're in the growth mode, you're going to continue to invest in the brand as long as it makes sense when you're on this kind of a growth curve. So I know that both organizations are committed,"}, {"path": "tedlium_10583.wav", "duration": 10.89, "text": "Starting this fiscal year, we stopped using categories to classify products into strategic and others, instead the only category we have is promoted"}, {"path": "tedlium_10584.wav", "duration": 10.89, "text": "Growth capital in this first half is low as a result of lower capital intensity of new contracts. This is expected to increase in the second half."}, {"path": "tedlium_10585.wav", "duration": 10.89, "text": "sold sometimes this year. And that is a prerequisite to then begin working with the federal government to get the permission to go from commission to operations."}, {"path": "tedlium_10586.wav", "duration": 10.89, "text": "We'll target strong Japanese leisure and inbound demand and contribute to regional vitalization. The image on the right reflects our domestic services."}, {"path": "tedlium_10587.wav", "duration": 10.89, "text": "which involve risks and uncertainties and other factors that could cause Dyadic's actual results, performance, scientific or otherwise,"}, {"path": "tedlium_10588.wav", "duration": 10.89, "text": "For many clinical labs, the cost of offering some of these tests, whether run internally or referenced to other laboratories, often exceeds the reimbursement they receive"}, {"path": "tedlium_10589.wav", "duration": 10.89, "text": "This improving trend in wireline is encouraging, and this comes before any expected bump from business activity that we might see with tax reform."}, {"path": "tedlium_10590.wav", "duration": 10.89, "text": "We've really modeled our margin a couple of different ways with the continued rate hikes. And if the December 1 was the last one, what did we expect?"}, {"path": "tedlium_10591.wav", "duration": 10.89, "text": "The remaining lot entitlements via its ownership of 1 lot were controlled by Charter Hall, who operates a pub on its lot in the Cannon Park City Centre."}, {"path": "tedlium_10592.wav", "duration": 10.89, "text": "I should note, with the Chancellor's announcement of reducing corporation tax rates in the future, that there will be a credit coming through in the second half of this year."}, {"path": "tedlium_10593.wav", "duration": 10.89, "text": "I'll begin by walking you through our third quarter highlights and then provide an overview of the strategies we are executing to create long-term shareholder value."}, {"path": "tedlium_10594.wav", "duration": 10.89, "text": "simply the cost over the life, but it's the savings in terms of efficiency. The other thing that we're finding they are very excited about"}, {"path": "tedlium_10595.wav", "duration": 10.89, "text": "and have worked closely with surgeons to articulate the clinical benefits of the product through peer to peer educational events and hands on case training."}, {"path": "tedlium_10596.wav", "duration": 10.89, "text": "me turn it back to Joe now for some final comments. Thanks, Jason. It is the execution of our strategy that will allow us to earn a valuation premium for our shareholders."}, {"path": "tedlium_10597.wav", "duration": 10.89, "text": "including the requirement to use the posted 5-year mortgage rate published by the Bank of Canada to determine borrower debt service ratios on all insured loans after October 17 this year."}, {"path": "tedlium_10598.wav", "duration": 10.89, "text": "to the temporary staffing industry, including payroll funding and outsourcing services that include payroll processing administration and invoicing. The staffing outsourcing business is a growing industry."}, {"path": "tedlium_10599.wav", "duration": 10.89, "text": "projects are generally geared towards that, although we've added quite a bit of NAO capacity over the past couple of years also. So we're thinking about how do we efficiently move these products into the market."}, {"path": "tedlium_10600.wav", "duration": 10.89, "text": "In Africa, we're driving physical availability by getting great quality Guinness in the right outlets at the right price, served cold and visible."}, {"path": "tedlium_10601.wav", "duration": 10.89, "text": "But before I update you on our work, I want you to know that there is another priority that informs how we execute on our initiatives. That priority is returning to profitability."}, {"path": "tedlium_10602.wav", "duration": 10.89, "text": "Now that our leadership team is in place, we started increasing our investments in our operational platforms, new solutions like our award-winning Ascendon digital services monetization platform"}, {"path": "tedlium_10603.wav", "duration": 10.89, "text": "Additionally, the team is pursuing growth on its existing gas and water business as well as crude gathering opportunities and new business opportunities in the Northwest STACK."}, {"path": "tedlium_10604.wav", "duration": 10.89, "text": "Just turning to the suspension of the dividend. If it's such a -- I guess, a smaller payout and considering where you are in terms of your cash and equivalents balance"}, {"path": "tedlium_10605.wav", "duration": 10.89, "text": "is he's just been to every office and visited nearly every major account that we have around the globe. So with that fresh perspective, I think is probably the best way to be able to phrase and answer that."}, {"path": "tedlium_10606.wav", "duration": 10.89, "text": "specific to geographic areas in the vicinity of our Monro locations to identify high value potential customers and focus our marketing efforts on targeting them directly."}, {"path": "tedlium_10607.wav", "duration": 10.89, "text": "And look at the figures yourself, I don't would like to name them all. So we had in all the big markets relatively good growth,"}, {"path": "tedlium_10608.wav", "duration": 10.89, "text": "This increase is related to the investments Brian mentioned earlier due to the impact of the higher number of dissertation students and the increased occupancy expenses, primarily higher property taxes."}, {"path": "tedlium_10609.wav", "duration": 10.89, "text": "for next year? Is that the right way to think about it? And is there any way to quantify the administrative costs from the pre-claims review that you're factoring into the guidance for the back half?"}, {"path": "tedlium_10610.wav", "duration": 10.89, "text": "and by proactive cost actions taken by MacDermid. As we look into 2016, we expect to see another strong year in industrial and automotive"}, {"path": "tedlium_10611.wav", "duration": 10.89, "text": "Growth in this product portfolio is also aided by some international expansion of these product offerings with orders in hand and a distribution plan now in place in Europe."}, {"path": "tedlium_10612.wav", "duration": 10.89, "text": "I think you mentioned you see that evolving in second half. Maybe you could just give us a little more detail there. Just wondering if second half order book for wholesale is expected to be down overall."}, {"path": "tedlium_10613.wav", "duration": 10.89, "text": "and that had an effect on customer confidence. What we can say is that we've seen our lead levels stay very strong. So inquiry is as strong as it has been in previous years,"}, {"path": "tedlium_10614.wav", "duration": 10.89, "text": "Using these internally generated cash flows, we believe we are well positioned to execute on our current growth initiatives, including the TAH joint venture that we recently announced."}, {"path": "tedlium_10615.wav", "duration": 10.89, "text": "Our results here tell a tale of 2 cities based on where we have applied our playbook and where we have not. The segment overall is up 50 basis points with frozen driving all of the growth."}, {"path": "tedlium_10616.wav", "duration": 10.89, "text": "As we conducted our planning for 2016 in the late summer, broadly speaking, our options were to either remain static in terms of the size of the sales team"}, {"path": "tedlium_10617.wav", "duration": 10.89, "text": "in our core business and compete effectively and win in those areas that we choose to compete on a stronger basis like in analytics."}, {"path": "tedlium_10618.wav", "duration": 10.89, "text": "So the perception is that WPG will bear the brunt of all of the store closures, when the reality is that the impact has been manageable, further evidencing the quality and stability of our portfolio."}, {"path": "tedlium_10619.wav", "duration": 10.89, "text": "This mix effects were mostly driven by the rebalancing of our FCC sales in the wake of the continuing customer outage and the effect of the polyolefin catalyst acquisition."}, {"path": "tedlium_10620.wav", "duration": 10.89, "text": "really crushing the first half numbers from last year. So should we expect a different cadence in the second half or a continuation of the real strong results we've seen in the first half?"}, {"path": "tedlium_10621.wav", "duration": 10.89, "text": "which we don't expect to occur again. It's by far the largest we've ever taken. And also in the quarter, we had some moving costs associated with our commercial divisions moving to their new plants."}, {"path": "tedlium_10622.wav", "duration": 10.89, "text": "Some of our comments today will be forward-looking statements within the meaning of the federal securities laws. Such statements are subject to numerous risks and uncertainties that could cause actual results to differ materially from what we expect."}, {"path": "tedlium_10623.wav", "duration": 10.89, "text": "We are excited about the outlook, and we are ready to deliver the best products and services to our customers and superior returns to our shareholders. Thank you very much for participating in the call."}, {"path": "tedlium_10624.wav", "duration": 10.89, "text": "or in our latest reports and filings with the Securities and Exchange Commission, each of which can be found on our website, avangrid.com. We do not undertake any duty to update any forward-looking statements."}, {"path": "tedlium_10625.wav", "duration": 10.89, "text": "after being negative in the first half of this year. I have to say that this is very much in line with expectations. This is a business where we have a"}, {"path": "tedlium_10626.wav", "duration": 10.89, "text": "when there was little more questions around some of the regulatory risk to it, stayed through and saw an opportunity to continue our capital"}, {"path": "tedlium_10627.wav", "duration": 10.89, "text": "we are pleased with our performance for the first half of 2017. And we are optimistic about our prospects for delivering continued growth and returns to our shareholders for the remainder of the year."}, {"path": "tedlium_10628.wav", "duration": 10.89, "text": "What we saw was a little bit of magnification as the result of the fact that they go to market through the distribution channel and that we believe some destocking took place there."}, {"path": "tedlium_10629.wav", "duration": 10.89, "text": "Finally, I want to dive a little deeper into the developments within our content group, but I would like to do that in combination with our newly formed transaction business."}, {"path": "tedlium_10630.wav", "duration": 10.89, "text": "Going on to the next slide, I'd like to speak a little bit about the agreement that we made in July with Nakilat of Qatar."}, {"path": "tedlium_10631.wav", "duration": 10.89, "text": "to improve those metrics. We have added a new VP of Sales and a new Director of Sales to head up our dealer partners and direct sales groups."}, {"path": "tedlium_10632.wav", "duration": 10.89, "text": "And so that installed capacity requires upgrades, software upgrades and they have to buy renewal. So because of all those reasons, we think that we have reached a level this year"}, {"path": "tedlium_10633.wav", "duration": 10.89, "text": "just because of the advancements of our new investments. As I say, very profitable additional production is about to come on the second quarter of next year."}, {"path": "tedlium_10634.wav", "duration": 10.89, "text": "earnings reports here this week. Are those guideposts still on the table? And if so, Stefan, now that you've had a look under the hood for a while, where do you see the most opportunity to manage costs to get to that reality?"}, {"path": "tedlium_10635.wav", "duration": 10.89, "text": "We completed a major dosing study that has helped us to decide the optimal drug dose that can provide optimal biological effect with the maximum safety margin."}, {"path": "tedlium_10636.wav", "duration": 10.89, "text": "what that is at this stage because when you go through a big launch year, there are lots of variables that get involved. So as we get into February, we'll start to put some additional color"}, {"path": "tedlium_10637.wav", "duration": 10.89, "text": "such as Global Cash Card and WorkMarket. Our leading position in the global HCM market continues to represent a significant opportunity for us."}, {"path": "tedlium_10638.wav", "duration": 10.89, "text": "a simplified environment and then next-generation solutions that are much more efficient to operate, efficient -- more efficient to develop on"}, {"path": "tedlium_10639.wav", "duration": 10.89, "text": "as we invest more in training them about our products and our way of doing business. Our best sales associates are extremely knowledgeable about our very broad product offerings,"}, {"path": "tedlium_10640.wav", "duration": 10.89, "text": "As we look toward the rest of the year, we expect to continue to make capital investments to support our existing and new business initiatives, provide capacity to support our customers as they continue to expand their operations"}, {"path": "tedlium_10641.wav", "duration": 10.89, "text": "and frankly, what problems they're solving in each of those verticals and how they can most easily create a frictionless service to build their business."}, {"path": "tedlium_10642.wav", "duration": 10.89, "text": "based on various things that have happened. One on the equity side because we have been profitable, and the retained earnings are growing the equity base."}, {"path": "tedlium_10643.wav", "duration": 10.89, "text": "to provide supplier communications and support services using PRGX's Lavante supplier information management technology platform."}, {"path": "tedlium_10644.wav", "duration": 10.89, "text": "we feel like we're better off walking away than trying to close something that we don't have great conviction around. So we have projects at each of those phases,"}, {"path": "tedlium_10645.wav", "duration": 10.89, "text": "couple of quick ones. So just going back to the Portland Terminal. Do they have to give you an answer one way or another? Or does this option just stay with them, and they can exercise it whenever?"}, {"path": "tedlium_10646.wav", "duration": 10.89, "text": "I think even on a flat volume in '17, we would expect our mobile business revenue to grow. And the reason for that is essentially"}, {"path": "tedlium_10647.wav", "duration": 10.89, "text": "Our current portfolio reduces our risks to the slowing China economy and positions us well in Australia, New Zealand and Korea."}, {"path": "tedlium_10648.wav", "duration": 10.8899375, "text": "That concludes my remarks. And I will now turn the call back to Linda. Thank you, John. Let me now share more details regarding our strategic projects, discuss the market environment"}, {"path": "tedlium_10649.wav", "duration": 10.86, "text": "And just a second question, if I may. In terms of what your sense is on the Chinese steel markets moving into the fourth quarter. I know that there's"}, {"path": "tedlium_10650.wav", "duration": 10.86, "text": "about what Saga is doing well in the market at the moment. And in terms of the forward-looking projection, I think I can only say it's captured within the numbers that Jonathan has described for the year as a whole."}, {"path": "tedlium_10651.wav", "duration": 10.86, "text": "I also have to say that I can't remember the last time that I was this optimistic about the future prospects of our growing platform or the talent within the organization."}, {"path": "tedlium_10652.wav", "duration": 10.86, "text": "a greater benefit of the release of a few specific tax reserves due to the expiration of the statute of limitations, and a more positive state tax rate and other state adjustments."}, {"path": "tedlium_10653.wav", "duration": 10.86, "text": "or advertising. We've gone well beyond that, and we've done that because we've had the innovation programs to invest behind, and we've done it because it's worked. I would say today, we feel give very good about the level of investment"}, {"path": "tedlium_10654.wav", "duration": 10.86, "text": "how deep the analysis can go and how passionate people feel about the financial results of the company and doing the right thing for the company as well."}, {"path": "tedlium_10655.wav", "duration": 10.86, "text": "This includes our network and transportation. From a security perspective, we will implement generally in virtual private clouds or private instances on the public cloud infrastructure."}, {"path": "tedlium_10656.wav", "duration": 10.86, "text": "Shifting to the technology transformation we started in 2018, it's critical to the delivery of all of our strategic imperatives and will provide us with substantial product delivery and cost advantages."}, {"path": "tedlium_10657.wav", "duration": 10.86, "text": "These outcomes simply reflects the current market conditions and some entrenched changes to the fortunes of a small number of our franchise brands."}, {"path": "tedlium_10658.wav", "duration": 10.86, "text": "O'Neil has just provided a detailed financial review of the quarter and the year as well as our revenue outlook for Q1. I will now provide some additional insight into the business of each of our reporting segments"}, {"path": "tedlium_10659.wav", "duration": 10.86, "text": "Thank you, Pat. Good afternoon, everyone, and thank you for joining us to discuss our third quarter earnings results as well as several strategic initiatives we have underway."}, {"path": "tedlium_10660.wav", "duration": 10.86, "text": "But this isn't about us building only our community but inspiring and enabling others to create their own community based on their personal needs and interests."}, {"path": "tedlium_10661.wav", "duration": 10.86, "text": "The good news in all of this is the projects are moving forward. And so while they get stretched out a little bit, we know they're coming and we know they'll open up into the system."}, {"path": "tedlium_10662.wav", "duration": 10.86, "text": "Statements made in today's conference call and webcast may constitute forward-looking statements which relate to future events or our future performance or financial condition."}, {"path": "tedlium_10663.wav", "duration": 10.86, "text": "The improvements to adjusted EBITDA continue to be driven by our Enterprise business, which enjoys excellent unit economics and is consistently increasing as a proportion of total revenue."}, {"path": "tedlium_10664.wav", "duration": 10.86, "text": "ready to give up the ghost and conclude that we could never achieve critical mass there. So I think it's activity driven more than anything else."}, {"path": "tedlium_10665.wav", "duration": 10.86, "text": "And we've got other solutions but it didn't fit into their vehicle classes. I know they're working that as really there are major issue that they've got to overcome before they can launch."}, {"path": "tedlium_10666.wav", "duration": 10.86, "text": "kind of mid to late March. And as we got into it, we saw some of the categories that have been growing well are still growing well, just not increasing at the capacity we thought."}, {"path": "tedlium_10667.wav", "duration": 10.86, "text": "The automotive OEM business made good progress in implementing selling price increases, realizing sequentially higher price in each major region of the world."}, {"path": "tedlium_10668.wav", "duration": 10.86, "text": "But these initiatives are intended to support and strengthen our economic model and set us up to execute our strategic plan and deliver long-term shareholder value. We'll share more details with you later this quarter."}, {"path": "tedlium_10669.wav", "duration": 10.86, "text": "stations that are strong, that have a cultural fit with us, i.e., the San Diego transaction that we did. But we are also in small markets now with the London transaction. We do know how to operate those businesses."}, {"path": "tedlium_10670.wav", "duration": 10.86, "text": "to the country teams, are in decline. And we have seen a negative development in the license business for football clubs, particularly driven by the exit of Chelsea,"}, {"path": "tedlium_10671.wav", "duration": 10.86, "text": "And looking forward, we expect continued growth from Natural American Spirit as the brand benefits from increased consumer engagement and growing awareness of the brand's unique values."}, {"path": "tedlium_10672.wav", "duration": 10.86, "text": "Well yes, I mean, certainly the cloud-based nature of it, the fact that we can deliver it at price point that absolutely generates value for both our clients and our investors, but also"}, {"path": "tedlium_10673.wav", "duration": 10.86, "text": "and then focus on the drawns and the drawns depend upon country, segment, city. And it makes for an interesting"}, {"path": "tedlium_10674.wav", "duration": 10.86, "text": "Make sense. Okay. The other question was on the drilling side. I didn't hear if you mentioned on the contracts for the new rigs, if there was a duration amount and in general, if you could comment."}, {"path": "tedlium_10675.wav", "duration": 10.86, "text": "the life insurance market. I'm going to focus on the periodic premium. This is what is of greatest interest to us and I think to you as well. For several years, we've seen"}, {"path": "tedlium_10676.wav", "duration": 10.86, "text": "this work very well. So I think that's what is needed, and so now it's not going to take another year to get there because now we have some competition here."}, {"path": "tedlium_10677.wav", "duration": 10.86, "text": "The sophistication of our analytics and the extensive experience of our team, which spans over 12 years, has allowed us to effectively manage credit quality through product launches,"}, {"path": "tedlium_10678.wav", "duration": 10.86, "text": "And so if we were to do an acquisition, I would be inclined to pursue the path where you're getting maximum shareholder appreciation."}, {"path": "tedlium_10679.wav", "duration": 10.86, "text": "there's a lot of factors, there's a lot of things that are happening in the region, and we have a lot of stakeholders that we will continue to discuss as part of this process."}, {"path": "tedlium_10680.wav", "duration": 10.86, "text": "and it's obviously just extraordinarily important relative to its outcomes for how we run the business and what we do with capital, which is, obviously, a hugely important"}, {"path": "tedlium_10681.wav", "duration": 10.86, "text": "Our company has anticipated increased competition, and we are focused on understanding the market's needs and excelling in delivering products and services today and in the future that meet them."}, {"path": "tedlium_10682.wav", "duration": 10.86, "text": "of '19, that is going to be a purchase. That's the first one that we've had. As we move forward with these other distribution centers, we'll look at those on an individual basis"}, {"path": "tedlium_10683.wav", "duration": 10.86, "text": "We believe this plan will allow us to achieve the rule of 40 by 2020. We have entered into an agreement with Silver Lake,"}, {"path": "tedlium_10684.wav", "duration": 10.86, "text": "I still believe that the strategic framework of the Greatness Agenda is the path to changing that top line trend over time, and our associates feel the same way."}, {"path": "tedlium_10685.wav", "duration": 10.86, "text": "the day prior, we're unable to provide specific statistical updates on a regular basis. The release of this information is managed through a very formal process by our client,"}, {"path": "tedlium_10686.wav", "duration": 10.86, "text": "We also expanded our online aggregator relationships which includes UberEATS to over 100 restaurants to enable customers to place delivery and pickup orders through the channel and application of their choice."}, {"path": "tedlium_10687.wav", "duration": 10.86, "text": "This all adds up to our dynamic, thriving company with leverage to help us achieve and sustain profitability. These are exciting times here at Codexis with more to come."}, {"path": "tedlium_10688.wav", "duration": 10.86, "text": "So we actually have had a lot of inbound interest here in a short period of time. We've probably looked at probably 20 or 30 properties that have been on market or maybe off market for transactions."}, {"path": "tedlium_10689.wav", "duration": 10.86, "text": "of our new nationwide initiative to begin advocating for a range of government policies aimed at helping former inmates successfully reenter society and stay out of prison."}, {"path": "tedlium_10690.wav", "duration": 10.86, "text": "few restaurant companies that hasn't mentioned the word at all about value. And it does seem like value is what is driving the customer, whatever that means for each individual brand, respectively."}, {"path": "tedlium_10691.wav", "duration": 10.86, "text": "As part of that, I set out some clear objectives including taking quick and decisive actions to unlock our value of our technology, assets and people."}, {"path": "tedlium_10692.wav", "duration": 10.86, "text": "which standardizes contracted revenue recognition across companies worldwide, we now provide revenue breakdowns of our OTT streaming and related digital revenues."}, {"path": "tedlium_10693.wav", "duration": 10.86, "text": "digital distribution business? And I think it's considerably smaller, but maybe what you're seeing there in terms of growth"}, {"path": "tedlium_10694.wav", "duration": 10.86, "text": "While the recent financial and global market volatility may have impacted December selling period, we have seen more consistency as we started this new calendar year."}, {"path": "tedlium_10695.wav", "duration": 10.86, "text": "Okay, I'll say something and then turn over to Tom. We had flagged that this was again temporary this year while a very sizable"}, {"path": "tedlium_10696.wav", "duration": 10.86, "text": "global downturn. So we think the backlog is strong and the backlog supports the build rates. And our customers, we know, they've been very public about it, they believe that as well."}, {"path": "tedlium_10697.wav", "duration": 10.86, "text": "Looking at the auto portfolio. We have previously announced that we were embarking on a path to restructure our auto business and that, that the process would take place"}, {"path": "tedlium_10698.wav", "duration": 10.86, "text": "a disclosure of something called corporate as an offset within the sales category. Could you sort of just explain to those of us who don't know what that is?"}, {"path": "tedlium_10699.wav", "duration": 10.86, "text": "as well as Milka in China, which continued to perform well. Approximately 60% of our year-to-date revenue grew or held share in this category."}, {"path": "tedlium_10700.wav", "duration": 10.86, "text": "are all in line with our expectations for 2016. Margins in marketing are at the high end as fuel volumes continue to grow. However,"}, {"path": "tedlium_10701.wav", "duration": 10.86, "text": "And again, if you ever get a chance, come on out here and visit us. We're pretty proud of what we do. And we got a pretty unique team. So"}, {"path": "tedlium_10702.wav", "duration": 10.86, "text": "Both have kicked in. KLA certainly is a bigger portion since we started that agreement middle of last year, and Nordson is a very recent agreement that just started."}, {"path": "tedlium_10703.wav", "duration": 10.86, "text": "we're not using Paderno as a high velocity, low-margin traffic driving brand. This is a brand that we'd like to have as one of the best if not the best"}, {"path": "tedlium_10704.wav", "duration": 10.86, "text": "in terms of meeting our objectives as well as a number of other things. And I wasn't trying to be -- I wasn't trying to be"}, {"path": "tedlium_10705.wav", "duration": 10.86, "text": "strengthening our professional relationship advantages as well as having the strongest team of frontline sales representatives in this category."}, {"path": "tedlium_10706.wav", "duration": 10.86, "text": "Our approach will increasingly leverage our recent technology investments and related initiatives to deliver exceptional client experiences and provide banking services anytime,"}, {"path": "tedlium_10707.wav", "duration": 10.86, "text": "On the credit loss ratio, we expect that our high quality advances book and excellent collections teams will continue to evidence themselves in a low credit loss ratio,"}, {"path": "tedlium_10708.wav", "duration": 10.86, "text": "In Precision Devices, we continue to execute our playbook and drive strong revenue growth and operating margin improvement, both organically and through tuck-in acquisitions."}, {"path": "tedlium_10709.wav", "duration": 10.86, "text": "starting to struggle in terms of pushing through price. Like to get your views on that. And then in terms of the near term on Industrial, how do you feel about the landscape right now? There's some pressures in the environment."}, {"path": "tedlium_10710.wav", "duration": 10.86, "text": "During the fourth quarter alone, we rolled out a new digital banking platform and a number of enhancements to our accounting system with a new general ledger and accounts payable system,"}, {"path": "tedlium_10711.wav", "duration": 10.86, "text": "The increasing buying power with landlords should enable our franchisees to secure more favorable terms, which will further improve their returns."}, {"path": "tedlium_10712.wav", "duration": 10.86, "text": "It's being able to use our retail brokerage to really go out and get into that market space, get in front of these stock plan participants, early and often."}, {"path": "tedlium_10713.wav", "duration": 10.86, "text": "that are helping to grow new consumer accounts and some of the other sort of digital and other things you guys have invested in that are actually starting to pay some dividend this year?"}, {"path": "tedlium_10714.wav", "duration": 10.86, "text": "pricing, but still very strong for the majority of our international production. And on the gas side, things remain relatively stable. If you look at the chart on the right-hand side,"}, {"path": "tedlium_10715.wav", "duration": 10.86, "text": "but aggressive approach in our actions. Though it's still early days, the steps we have taken, and those we will continue to take, will further strengthen our position in our core offerings"}, {"path": "tedlium_10716.wav", "duration": 10.86, "text": "probably increase a little bit more. You may see a little bit more virtual because that's where we've seen more of the growth in the last few years. But they're still -- field resources would continue to go up as well."}, {"path": "tedlium_10717.wav", "duration": 10.86, "text": "With these categorizations, we aim to clearly distinguish between businesses suitable for rebuilding, businesses for divestment and so on."}, {"path": "tedlium_10718.wav", "duration": 10.86, "text": "I don't think investors should take the view that because we haven't changed it after a couple of quarters of overperformance, that we think there's a cap there. I think it's a matter of just"}, {"path": "tedlium_10719.wav", "duration": 10.86, "text": "It will bring product expertise closer to the customer, and it will include a delivery model that supports industry-leading speed of service. In short,"}, {"path": "tedlium_10720.wav", "duration": 10.86, "text": "Moving forward to our natural gas business. We expect a decline in overall system volumes through 2016 as our system outlook is affected by reduced drilling from producers in and around our assets."}, {"path": "tedlium_10721.wav", "duration": 10.86, "text": "in December quarter. The company is working on our tax structure to leverage our overseas expansion, which may reduce our tax rate in the coming year."}, {"path": "tedlium_10722.wav", "duration": 10.86, "text": "definitely a lot of energy coming from this business. HOVR also expanded into our sports style footwear category with the launch of SLK, which strikes the perfect balance between sport and street style,"}, {"path": "tedlium_10723.wav", "duration": 10.86, "text": "From product, retail and sales to our regions, categories and the functions that support them globally, we are working single-mindedly and driving resolutely into our next chapter."}, {"path": "tedlium_10724.wav", "duration": 10.86, "text": "there's not necessarily any significant event that should really shift things from one quarter to another, as we see it today. So I'd anticipate a more"}, {"path": "tedlium_10725.wav", "duration": 10.86, "text": "I'll then hand the call over to Mike for comments on Puerto Rico and an in-depth look at the operating environment, and we'll close with some comments from Matt on the balance sheet and guidance."}, {"path": "tedlium_10726.wav", "duration": 10.86, "text": "Our outlook for Woodward's overall operational performance is unchanged, improved Aerospace performance is being offset by weaker Industrial performance."}, {"path": "tedlium_10727.wav", "duration": 10.86, "text": "the overall net impact setting aside kind of the gross revenue and gross expenses that will bring on, just from the underlying business platform itself,"}, {"path": "tedlium_10728.wav", "duration": 10.86, "text": "It -- you can't move to manufacturing mode until you have the infrastructure and the takeaway capacity to allow you to do it. And so we've already contracted"}, {"path": "tedlium_10729.wav", "duration": 10.86, "text": "To be clear, when we talk about free cash flow, we're including only operational cash flows. We're not relying on an assist from asset sales."}, {"path": "tedlium_10730.wav", "duration": 10.86, "text": "We have used our financial capacity and management focus to acquire assets and extend relationships that answer most of the key questions you have been asking us for more than a year."}, {"path": "tedlium_10731.wav", "duration": 10.86, "text": "In our portfolio, we've only 5 stores which were part of these announcements. Let me break that down a little bit. Two of those 5 were natural lease expirations that we anticipated getting back,"}, {"path": "tedlium_10732.wav", "duration": 10.86, "text": "A number of development wells at Quifa Southwest, originally planned for the first half of 2018 have been deferred to the second half of the year"}, {"path": "tedlium_10733.wav", "duration": 10.86, "text": "I would say that January has been a little softer as it relates to pricing than in years past. But this being said, we haven't taken any rate decreases. A few of our bids"}, {"path": "tedlium_10734.wav", "duration": 10.86, "text": "We're continuing to deliver free cash flow and even though Q1 was expected to be the weakest quarter of the year, and will be the weakest quarter of the year,"}, {"path": "tedlium_10735.wav", "duration": 10.86, "text": "And I just wanted to touch a little bit on those before I go into the presentation. So Jim touched on safety. It's something we stress every day, and it's something we strive for zeros,"}, {"path": "tedlium_10736.wav", "duration": 10.86, "text": "the benefits of our capital investment programs. ExGen had a great operational quarter, with the nuclear fleet producing more power ever in a quarter."}, {"path": "tedlium_10737.wav", "duration": 10.86, "text": "several transactions that are well within our historical yield range, including at least one that we expect to close in the very near future."}, {"path": "tedlium_10738.wav", "duration": 10.86, "text": "In late September, this same customer announced its decision to dissolve its 50-50 joint venture with American Airlines, which is a major engine overhaul shop."}, {"path": "tedlium_10739.wav", "duration": 10.86, "text": "The fundamental demand outlook remains solid. It is supported by both private construction activity and a defined slate of public transportation projects."}, {"path": "tedlium_10740.wav", "duration": 10.86, "text": "Thanks, Barry, and good morning, everyone. As Barry highlighted, EnLink delivered solid results this quarter, and we are on track and in line with where we expected to be at this time of the year."}, {"path": "tedlium_10741.wav", "duration": 10.86, "text": "On this slide, we are providing you with an overview of main CapEx projects. And do not worry, I will not go into each and every detail of every sentence."}, {"path": "tedlium_10742.wav", "duration": 10.86, "text": "A lot of the CapEx you see is going into the glass facilities. It's not only all increase of capacities. It's very clearly also"}, {"path": "tedlium_10743.wav", "duration": 10.86, "text": "Many of our key markets were under pressure when compared to the prior year, including paper manufacturing, mining, transportation equipment and chemical manufacturing."}, {"path": "tedlium_10744.wav", "duration": 10.86, "text": "One with the National Park Service, one with a large Western U.S. city and another from a major Texas electrical utility. This is just the tip of the iceberg."}, {"path": "tedlium_10745.wav", "duration": 10.86, "text": "After adjusting for the tax reform charges, we had a low effective tax rate, which was positively impacted by a credit in Hungary."}, {"path": "tedlium_10746.wav", "duration": 10.86, "text": "As you know, we decided to acquire the Diversified stations using the auction proceeds, which makes the acquisition of these very strong stations and their cash flows essentially leverage neutral."}, {"path": "tedlium_10747.wav", "duration": 10.86, "text": "financial information calculated in accordance with GAAP. A reconciliation of non-GAAP financial measures to the most directly comparable GAAP financial measures"}, {"path": "tedlium_10748.wav", "duration": 10.86, "text": "we're looking at areas where our grocers are not investing and where they are and making sure that we're focused on -- that our anchors continue to invest in their locations."}, {"path": "tedlium_10749.wav", "duration": 10.86, "text": "geographical areas where we expect that to be possible. We have also launched some new products, which we think and we see that they are interesting to customers."}, {"path": "tedlium_10750.wav", "duration": 10.86, "text": "regard, do you believe that in the next year or couple of years, you will see more of these actions regarding corporate governance in the"}, {"path": "tedlium_10751.wav", "duration": 10.86, "text": "I believe is, also encouraging. Backlog is a metric that allows us to internally forecast future sales growth."}, {"path": "tedlium_10752.wav", "duration": 10.86, "text": "We expect to recognize cost efficiencies to the other supply chain, and we leverage best practices from both organizations to drive operational improvement across the business."}, {"path": "tedlium_10753.wav", "duration": 10.86, "text": "Data analytics and digital retailing, marketing and consumer brands are now operated under a single executive leadership focused on one customer."}, {"path": "tedlium_10754.wav", "duration": 10.86, "text": "I'm also pleased to report that none of our employees suffered any injuries as a result of the storm, again, a testament to our safety culture at both work and home."}, {"path": "tedlium_10755.wav", "duration": 10.86, "text": "but more importantly, existing accounts more frequently. And so with a larger team in place, we can go deeper in psychiatry and neurology than we have been able to"}, {"path": "tedlium_10756.wav", "duration": 10.86, "text": "But we now believe the increased promotions, instead of increasing traffic, were having the opposite effect on our business over the last 4 quarters."}, {"path": "tedlium_10757.wav", "duration": 10.86, "text": "I guess I would argue that the last couple of years have seen rapid evolution in retail where maybe your categories were moving online, but I think consumers are becoming increasingly price aware."}, {"path": "tedlium_10758.wav", "duration": 10.86, "text": "What I can assure you is that through our quarterly earnings calls, we will keep you abreast of both the successes and challenges that we experience as we go forward."}, {"path": "tedlium_10759.wav", "duration": 10.86, "text": "While our focus will be primarily on the best tier, as this is typically the most important for our core customer, our goal is to be able to serve all customers at the highest level."}, {"path": "tedlium_10760.wav", "duration": 10.86, "text": "For lack of comparability reasons, there's not a lot of productive commentary we can add to the legal entity results. Please feel free to go through them at your leisure."}, {"path": "tedlium_10761.wav", "duration": 10.86, "text": "Single family home construction will continue its recovery, although we continue to expect variance in this segment, driven by labor and land availability."}, {"path": "tedlium_10762.wav", "duration": 10.8599375, "text": "resolve the reimbursement issues, they buy in low volume, so that they see how they get paid, how long it takes. So"}, {"path": "tedlium_10763.wav", "duration": 10.8599375, "text": "we feel confident that we can continue to expand Dedicated EBIT by focusing on driving improvement to the operational fundamentals of the sub-performing accounts."}, {"path": "tedlium_10764.wav", "duration": 10.83, "text": "So very important for us to be a part of the community and do outreaches. We get involved in some of the charity fund raising events that are locally within our neighborhoods. A"}, {"path": "tedlium_10765.wav", "duration": 10.83, "text": "In Logistics, we continue to focus on profitability over volumes with an active focus on credit risk as counter-party risk within the industry is at historical high levels."}, {"path": "tedlium_10766.wav", "duration": 10.83, "text": "It will be the same amount as last year. We have not announced this limit. It is a limit that allows us to operate"}, {"path": "tedlium_10767.wav", "duration": 10.83, "text": "there's no question that we will provide a higher level of service if we are less committed."}, {"path": "tedlium_10768.wav", "duration": 10.83, "text": "What I can just state is that we are going to be extremely cautious with our commercial costs next year as well. We want this market to get into a kind of repair."}, {"path": "tedlium_10769.wav", "duration": 10.83, "text": "application in production on the platform very quickly, then they tend to expand rapidly. And as that expansion takes place, we can hand off to our SI partners"}, {"path": "tedlium_10770.wav", "duration": 10.83, "text": "From an operational perspective, I feel good about how the year is progressing. Our businesses are all performing very well and are navigating their respective market environments confidently."}, {"path": "tedlium_10771.wav", "duration": 10.83, "text": "But when you look at what we did in terms of the update at the end of the year last year, we feel pretty good about our position and our cash outflow associated with it"}, {"path": "tedlium_10772.wav", "duration": 10.83, "text": "certainly, '19, '20, that productivity gains will be also reinvested in the company in the first place in order to get"}, {"path": "tedlium_10773.wav", "duration": 10.83, "text": "We believe this excess cash balance provides a hedge in uncertain economic times as well as providing dry powder to capitalize on attractive investment opportunities as they arise."}, {"path": "tedlium_10774.wav", "duration": 10.83, "text": "the news about the results of the company for the first 6 months and second quarter of the year. We have a good performance and we're happy"}, {"path": "tedlium_10775.wav", "duration": 10.83, "text": "A key step in building that team was our November launch of Category Management University, our core training program for buyers and assistant buyers to build strong foundational capabilities."}, {"path": "tedlium_10776.wav", "duration": 10.83, "text": "The first exploratory trial we plan to run in this setting is ZENITH-1, and it's planned to begin this summer. Bill will go into more detail on this and the rationale in a moment."}, {"path": "tedlium_10777.wav", "duration": 10.83, "text": "is that what we should expect, to see a much faster growth rate for you guys in California? And is your pricing in California in the Marketplaces reflective of what you've done across the country?"}, {"path": "tedlium_10778.wav", "duration": 10.83, "text": "And as we know, most of the design work done in the State of California is done by the professional engineers group of the State of California. They do their own in-house designs."}, {"path": "tedlium_10779.wav", "duration": 10.83, "text": "We also have the very -- highly variable manufacturing cost structure, which means we can quickly take actions to align our cost structure to the revenue outlook."}, {"path": "tedlium_10780.wav", "duration": 10.83, "text": "This team continues to amaze me, and I am so fortunate to have the opportunity to lead them as we strive to provide our customers with great products and experiences."}, {"path": "tedlium_10781.wav", "duration": 10.83, "text": "So Brad, I'll tell you that the Quintiq solution is not an office shelf solution, and as I'm digging in and learning more about that in my new role,"}, {"path": "tedlium_10782.wav", "duration": 10.83, "text": "our results should reflect this dynamic despite our previously disclosed loss of a large contract within our Services segment commencing at the beginning of Q2, which we are working hard to offset with organic growth."}, {"path": "tedlium_10783.wav", "duration": 10.83, "text": "When I say adjusting, it can be upwards or downwards. The point being to be fully attuned to the needs expressed by our clients, the local needs,"}, {"path": "tedlium_10784.wav", "duration": 10.83, "text": "What you should understand is that if you add that volume, you cannot execute your cost-savings plans in the way we've planned for it without a consolidation."}, {"path": "tedlium_10785.wav", "duration": 10.83, "text": "which provides significant capital flexibility, quick payouts and high returns on capital, particularly when we can leverage our infrastructure advantage to keep costs low."}, {"path": "tedlium_10786.wav", "duration": 10.83, "text": "As a result, we are glad to report that during the last few months, we have brought on several new fuel cell customers around the globe with the majority being in China."}, {"path": "tedlium_10787.wav", "duration": 10.83, "text": "We continue to believe that movements in foreign exchange rates will more than offset the continued impact of favorable fuel prices and be roughly in line with our guidance from the August earnings call. We"}, {"path": "tedlium_10788.wav", "duration": 10.83, "text": "and slightly higher than the first quarter of 2016. We believe this metric reflects the strength of our portfolio of events and the important role they play in the exhibitors' businesses."}, {"path": "tedlium_10789.wav", "duration": 10.83, "text": "That is one comment. The other comment is that of course, you get -- you need to get this up to certain volume before you can start to rationalize"}, {"path": "tedlium_10790.wav", "duration": 10.83, "text": "in the first quarter. We anticipate that trend line continuing the second quarter as well as the back half of the year. Comex and"}, {"path": "tedlium_10791.wav", "duration": 10.83, "text": "These statements are subject to substantial risks and uncertainties that may cause actual events or results to differ materially from current expectations."}, {"path": "tedlium_10792.wav", "duration": 10.83, "text": "We continue to see strong momentum from our European business, with Q4 closing the largest number of new client wins in the region's history."}, {"path": "tedlium_10793.wav", "duration": 10.83, "text": "we are cognizant of a need to continue to expand our margins, so that we are able to fund our development efforts. This remains an important part of our strategic focus."}, {"path": "tedlium_10794.wav", "duration": 10.83, "text": "there was in RJRT in 3Q relative to the margin that you achieved in 2Q. And I was wondering if you could just talk about"}, {"path": "tedlium_10795.wav", "duration": 10.83, "text": "reporting our main focuses for our Investment Market mutual fund clients. As of June, our N-PORT, N-CEN solution within our ArcFiling product was made available"}, {"path": "tedlium_10796.wav", "duration": 10.83, "text": "Turning to our third quarter results. There was a significant sequential improvement in our financial metrics in the quarter, driven by the transition to the new Ascension agreement"}, {"path": "tedlium_10797.wav", "duration": 10.83, "text": "During today's call, we will refer to non-GAAP financial measures, which are intended to supplement, though not substitute for our most directly comparable GAAP measures."}, {"path": "tedlium_10798.wav", "duration": 10.83, "text": "As the world's technology dependence increases and the definition of digital broadens to encompass new technologies, our market opportunity keeps expanding."}, {"path": "tedlium_10799.wav", "duration": 10.83, "text": "There is an inherent risk that our actual results could differ materially. You can find our disclosures about risk factors that can potentially contribute to such differences in our 10-K, which we are filing today."}, {"path": "tedlium_10800.wav", "duration": 10.83, "text": "we find ourselves increasing and increasing that New York backlog to a point I've had all of our subsidiaries have to get my approval before they bid any more work"}, {"path": "tedlium_10801.wav", "duration": 10.83, "text": "Final question is all the stuff happening at Wells, do you anticipate that it's going to have any sort of blowback on the industry in general? And could it reflect in higher"}, {"path": "tedlium_10802.wav", "duration": 10.83, "text": "in this year. So this factor is going to be a major factor to boost up revenue for us in the second half of this year."}, {"path": "tedlium_10803.wav", "duration": 10.83, "text": "the utilization. It's obviously saying something about preference for technology or at least so it would seem and maybe that's a little bit different than prior cycles or you would argue that's -- again, it's pretty much the same?"}, {"path": "tedlium_10804.wav", "duration": 10.83, "text": "We are now the only vendor that provides enterprise class protection for secrets and privileged accounts across on-premise, cloud and the new attack vectors created by the DevOps pipeline."}, {"path": "tedlium_10805.wav", "duration": 10.83, "text": "And finally, to our Land Development and Construction segment, as I previously stated, this segment is responsible for seeking opportunistic purchases of income-producing properties"}, {"path": "tedlium_10806.wav", "duration": 10.83, "text": "We produced these results while maintaining a healthy balance sheet with solid leverage metrics, monetizing our deep land positions through homebuilding operations and repurchasing shares."}, {"path": "tedlium_10807.wav", "duration": 10.83, "text": "Thank you very much everyone for joining our second quarter earnings conference call. We look forward to updating you again next quarter. You may now disconnect your line."}, {"path": "tedlium_10808.wav", "duration": 10.83, "text": "Essentially, we haven't changed our internal management targets for the year, but we have reevaluated our assumptions on how quickly this new channel will contribute to revenue."}, {"path": "tedlium_10809.wav", "duration": 10.83, "text": "more business in Ladies in the fourth quarter and maybe potentially in the first quarter if you had, for example, either more winter seasonal goods or just a better balance to the assortment?"}, {"path": "tedlium_10810.wav", "duration": 10.83, "text": "so no change from our previous. And then, the only thing I would say is that we -- as we picked up American Chartered and the investments there, I think -- I believe we had a little bit more"}, {"path": "tedlium_10811.wav", "duration": 10.83, "text": "now. I don't want to provide any specific guidance for what we think the third quarter or the fourth quarter will be up or down in units."}, {"path": "tedlium_10812.wav", "duration": 10.83, "text": "and that gives us a lot of flexibility to be patient and focused on the best place to deploy it. So I think we're focused on it, and hopefully, we gave you a fair bit of color on how we think about where it should go."}, {"path": "tedlium_10813.wav", "duration": 10.83, "text": "our advisory and brokerage platforms through new workflows, new investment content, lower prices that help our advisers position themselves to differentiate and win"}, {"path": "tedlium_10814.wav", "duration": 10.83, "text": "And demographics are improving as millennials transition to their late 20s and enter the phase of life when many begin to think about purchasing a first home."}, {"path": "tedlium_10815.wav", "duration": 10.83, "text": "and I hope you enjoyed the little video that we opened with, which was just trying to give you a feel for what we've been up to the last 12 months. A lot of time on"}, {"path": "tedlium_10816.wav", "duration": 10.83, "text": "To this end, we've had personal assurances from DWP that the Secretary of State has not expressed concern over the continuity of the HAAS contract."}, {"path": "tedlium_10817.wav", "duration": 10.83, "text": "now to delivery. Have you seen anything from a competitive standpoint as far as that impacting markets where you compete with some of the bigger QSR burger guys?"}, {"path": "tedlium_10818.wav", "duration": 10.83, "text": "This issue is now well recognized by regulators, KOLs and industry expert. But its impact remains highly unpredictable for individual patients."}, {"path": "tedlium_10819.wav", "duration": 10.83, "text": "The cost of restructuring changes were offset by savings from our January 2014 global efficiency program and increased gains from land sales this year."}, {"path": "tedlium_10820.wav", "duration": 10.83, "text": "if you exclude the single commercial credit that was subject to a Department of Justice investigation in the first quarter or 9 basis points if you include that credit."}, {"path": "tedlium_10821.wav", "duration": 10.83, "text": "Our focus to a large extent is aligned to what we do in the local and traditional market. With that, the regression of share being a consequence of that."}, {"path": "tedlium_10822.wav", "duration": 10.83, "text": "while leveraging our global footprint. Our products will be the same everywhere. Importantly, all of this is complementary to the work we're doing on our safety agenda."}, {"path": "tedlium_10823.wav", "duration": 10.83, "text": "between what we are seeing of the East mining tonnes and then agriculture, we can have again Yarwun running at full capacity"}, {"path": "tedlium_10824.wav", "duration": 10.83, "text": "I will now turn the call back over to Mark. Thanks, Sean. As we look forward to the remainder of the year, we expect the lodging industry results to modestly improve."}, {"path": "tedlium_10825.wav", "duration": 10.83, "text": "Thankfully, our plant in Pensacola, Florida was not significantly affected by the hurricane, and it resumed operations on October 11. Likewise, our warehouse in Marianna"}, {"path": "tedlium_10826.wav", "duration": 10.83, "text": "Unfortunately, there was also an increase in the provision for loan loss, which was attributable to an increased effort by third parties to encourage customers to default on their timeshare loans."}, {"path": "tedlium_10827.wav", "duration": 10.83, "text": "that new owners don't necessarily default at any greater rate than existing owners. The reason being that existing owners typically have larger loan balances."}, {"path": "tedlium_10828.wav", "duration": 10.83, "text": "With them, one can draw all of these tests from just one specimen, avoiding discomfort to the patient and the need for multiple draws to extract them for analysis."}, {"path": "tedlium_10829.wav", "duration": 10.83, "text": "We believe these delays will be transitory, as bit growth remains very strong and device manufacturers will have to invest in additional capacity to keep up with demand."}, {"path": "tedlium_10830.wav", "duration": 10.83, "text": "from a change in tax accounting rules for stock-based compensation as well as the continued growth of TLLP's income in proportion to Tesoro's income."}, {"path": "tedlium_10831.wav", "duration": 10.83, "text": "We are confident that we are well positioned to continue to successfully executing our strategy and driving increased value for our shareholders."}, {"path": "tedlium_10832.wav", "duration": 10.83, "text": "will come online in the fourth quarter, also as planned. It's certainly been a successful quarter on the execution front, and we're really optimistic about what's coming in terms of growth projects."}, {"path": "tedlium_10833.wav", "duration": 10.83, "text": "Outside of Las Vegas, our Aquarius property has maintained EBITDA in Laughlin, where the market experienced some decline in visitation towards the end of the year as well as tight local employment."}, {"path": "tedlium_10834.wav", "duration": 10.83, "text": "Combining our capabilities creates good opportunities, as we further strengthen our position as a leader in steering solutions for a variety of Vehicle applications."}, {"path": "tedlium_10835.wav", "duration": 10.83, "text": "Now let's turn to our second quarter results. First, we appreciate you sending in questions and have tried to address many of your questions in our prepared remarks."}, {"path": "tedlium_10836.wav", "duration": 10.83, "text": "We're changing the way we run our business as customers increasingly seek to place large, long-term, multiservice contracts,"}, {"path": "tedlium_10837.wav", "duration": 10.83, "text": "get an offer or an incentive or reward for. These are based on what the customers' preferences and prejudices are. So they were based in that way. And I should point out that some of them"}, {"path": "tedlium_10838.wav", "duration": 10.83, "text": "of course, something that has to be a real concern during the manufacturing, of course, and on the safety of the product. But the QC and all the details that we are dealing with"}, {"path": "tedlium_10839.wav", "duration": 10.83, "text": "As you know better than us, a lot of the value and option is tied to the time value. And so we're not going to take that hard one optionality away from ourselves."}, {"path": "tedlium_10840.wav", "duration": 10.83, "text": "Given the uncertainty regarding the severity and duration of the market downturn, we will continue to prioritize the protection of our strong balance sheet and liquidity position."}, {"path": "tedlium_10841.wav", "duration": 10.83, "text": "Now good afternoon, everyone, and thank you for joining us today. Those of you familiar with Kura Oncology know we're committed to realizing the promise of precision medicines for the treatment of cancer."}, {"path": "tedlium_10842.wav", "duration": 10.83, "text": "Segment income and return on sales declined modestly as the impact of lower volumes were not fully offset by the continued strong productivity and pricing seen for the past several quarters."}, {"path": "tedlium_10843.wav", "duration": 10.83, "text": "in total, from what I had seen written, and this is over a year ago, so I don't know how the market may be progressing in Canada, but"}, {"path": "tedlium_10844.wav", "duration": 10.83, "text": "where do you see the most likely sort of volatility or maybe variability in kind of the assumptions? And what markets maybe do you have"}, {"path": "tedlium_10845.wav", "duration": 10.83, "text": "And so it's a lot of dating. It's a lot of allowing them to understand what we have to offer versus where they are today."}, {"path": "tedlium_10846.wav", "duration": 10.83, "text": "Our guidance on future company performance assumes, among other things, that we don't conclude any additional business acquisitions, investments, restructurings or legal settlements."}, {"path": "tedlium_10847.wav", "duration": 10.83, "text": "If our actual collections turn out to be higher or lower than our established rates in the quarter that we realize , we will book the increased or decreased amount to revenue."}, {"path": "tedlium_10848.wav", "duration": 10.83, "text": "Okay. And then a separate topic, but just a question I wanted to ask because I've got a couple of questions on it yesterday. The whole group of CEOs was asked"}, {"path": "tedlium_10849.wav", "duration": 10.83, "text": "gave us a better understanding about what our expectations around recoverability would be. So again, that's around multiple scopes of work, multiple levels of negotiation"}, {"path": "tedlium_10850.wav", "duration": 10.83, "text": "The commercial operation of the first unit in the Medupi site was part of that. Additionally, based on further experience around the erection scope of work for the cooling towers and filter products"}, {"path": "tedlium_10851.wav", "duration": 10.83, "text": "So in addition to specific representations of the amount of money someone is making in a given month or over a given period of time which now has to be substantiated and has to be accurate,"}, {"path": "tedlium_10852.wav", "duration": 10.83, "text": "the new ones that came on board in first quarter this year and through the remainder of the year that we continue to see our graduate student population"}, {"path": "tedlium_10853.wav", "duration": 10.83, "text": "remove the effect of the net excess tax benefits recognized in the second and first quarters in connection with the new accounting guidance and the nonrecurring impact of the tax reform recognized in the first quarter."}, {"path": "tedlium_10854.wav", "duration": 10.83, "text": "So if you were to give some sort of a gut feel, because it's still a mixed bag in terms of weak sales in March but, on the other hand, you mentioned that you're overall"}, {"path": "tedlium_10855.wav", "duration": 10.83, "text": "but you say that you're still going to open lots of stores there. I was just wondering what drives you to continue with the current store opening rate in a market where, presumably, you're not getting the returns you were expecting."}, {"path": "tedlium_10856.wav", "duration": 10.83, "text": "During 2016, we've focused on the successful implementation of significant new clients and the renewals of other key clients within our Financial Services segment,"}, {"path": "tedlium_10857.wav", "duration": 10.83, "text": "and credit to the employees who have worked on the businesses that we have been divesting to continue those business going and the employees in the tech-focused business,"}, {"path": "tedlium_10858.wav", "duration": 10.83, "text": "is a key differentiator, which is only made possible by our culture of ongoing relentless focus on efficiency."}, {"path": "tedlium_10859.wav", "duration": 10.83, "text": "so you get basically a beneficial impact on the fourth quarter cost of risk, but that's kind of -- that would have been spread out through the whole of 2017, but you took it all in the fourth quarter?"}, {"path": "tedlium_10860.wav", "duration": 10.83, "text": "we would expect to take several steps to help qualify as a REIT, including selling certain non-real estate related assets and moving other non-real estate related assets into taxable REIT subsidiaries."}, {"path": "tedlium_10861.wav", "duration": 10.83, "text": "but not necessarily much different beyond that. So yes, it would pay probably take a little longer to ramp just because of the size, the physical tonnage and the size of what would be done there,"}, {"path": "tedlium_10862.wav", "duration": 10.83, "text": "As we work to close out the second year of this transformative chapter, as we work to protect this house, we are steadfast in the challenge of becoming better at every turn."}, {"path": "tedlium_10863.wav", "duration": 10.83, "text": "As part of our efforts to optimize our tire assortment, we are also looking towards expanding our tire offering with the introduction of new high-margin branded tires in the fourth quarter"}, {"path": "tedlium_10864.wav", "duration": 10.83, "text": "Revenue per episode for the second quarter declined by 1.6%, largely owing to the Medicare rate cuts that became effective at the beginning of the year"}, {"path": "tedlium_10865.wav", "duration": 10.83, "text": "Yes, this one is a little bit different. With the Cargill acquisition, we fed their cattle and got paid a fee to do that. With the Bartlett acquisition, as of right now we own all the cattle in the lots,"}, {"path": "tedlium_10866.wav", "duration": 10.83, "text": "and down in Texas, is that we both believe in the JV we can enhance the profitability through pushing our own volumes through as well as keeping third-party volumes flowing as well."}, {"path": "tedlium_10867.wav", "duration": 10.83, "text": "My second question is for fourth quarter, if you're launching all these platforms, is there going to be an extra cost to getting the slotting and the promotion behind that?"}, {"path": "tedlium_10868.wav", "duration": 10.83, "text": "During today's call, we will make forward-looking statements that reflect the company's current expectations about future plans and performance. These statements rely on assumptions and estimates,"}, {"path": "tedlium_10869.wav", "duration": 10.83, "text": "we expect significant opportunities over the next several years as many states will look to procure solutions to improve healthcare outcomes for those individuals while reducing costs."}, {"path": "tedlium_10870.wav", "duration": 10.83, "text": "We're not looking to grow at any cost, and we plan on being disciplined and methodical in our decision-making process. But make no mistake, we are a growth company."}, {"path": "tedlium_10871.wav", "duration": 10.83, "text": "I commented in my formal comments that there remains more trailers in the system that are exceed 15 years old"}, {"path": "tedlium_10872.wav", "duration": 10.83, "text": "I compliment the team on these efforts. More recently, quote activity has picked up and we now need to see those quotes get converted to orders."}, {"path": "tedlium_10873.wav", "duration": 10.83, "text": "The EBIT, which is relevant for the dividend payment, will come in several hundred million euros higher than the adjusted EBIT we use for our forecast."}, {"path": "tedlium_10874.wav", "duration": 10.83, "text": "We are working closely with several customers on new catalysts for these units, and expect good growth over the next 2 to 3 years, as these plants reach full utilization."}, {"path": "tedlium_10875.wav", "duration": 10.83, "text": "With that fresh in your mind, today's call will focus on the third quarter results, some business updates, including actions we are taking with recent power weaknesses."}, {"path": "tedlium_10876.wav", "duration": 10.83, "text": "The remaining revenues relate to a combination of gas and diesel engine platforms with only a small portion of those sales applicable to diesel platforms."}, {"path": "tedlium_10877.wav", "duration": 10.83, "text": "The number of total subscriptions on the left grew fourfold in 3 years to 24 million since we signed a joint"}, {"path": "tedlium_10878.wav", "duration": 10.83, "text": "let me say, a specific industry zone, very close to the airport that is offering us opportunities that are absolutely comparable to normal European"}, {"path": "tedlium_10879.wav", "duration": 10.83, "text": "versus on the arterial side where many of the other products work. We -- based on comments from the physicians we've spoken with, that's an important advance in treating"}, {"path": "tedlium_10880.wav", "duration": 10.83, "text": "But as you look out into Q2, Q3, do you see an opportunity to take some net price here on top of whatever wage inflation you may experience?"}, {"path": "tedlium_10881.wav", "duration": 10.83, "text": "then that will make it easier to manage labor expenses just because you'll have more of that revenue to work with. And in terms of rate,"}, {"path": "tedlium_10882.wav", "duration": 10.83, "text": "In the industrial sector, we remain excited about our industrial ceramic opportunities. In order to continue this growth, we are pursuing product trials with potential clients around the world."}, {"path": "tedlium_10883.wav", "duration": 10.83, "text": "And with those words, thank you so much. We're hosting our Capital Markets Day later today, and I hope you'll join us either here in person or online."}, {"path": "tedlium_10884.wav", "duration": 10.83, "text": "Results for the quarter improved primarily due to higher base rates, volume growth and a favorable net impact from fuel at each of our transportation segments."}, {"path": "tedlium_10885.wav", "duration": 10.83, "text": "We have been generally opportunistic and generally patient with growing the company although, I guess, in the last couple of years we moved pretty quickly in that regard."}, {"path": "tedlium_10886.wav", "duration": 10.83, "text": "our per sub rate is at the high end of this industry, and I don't think we would be able to boast that if we did not have high-quality stations,"}, {"path": "tedlium_10887.wav", "duration": 10.83, "text": "I think some of these lessons have been expensive. I fully understand that, but I believe the organization is a lot stronger than it was 18 months ago"}, {"path": "tedlium_10888.wav", "duration": 10.83, "text": "hour of content streamed, which is what's the positive impact on margin. That'll eventually flip at some point, but we expect to be able to still maintain that,"}, {"path": "tedlium_10889.wav", "duration": 10.83, "text": "In fact, I rarely run into the Focus and HighTowers of the world, occasionally I do, but a lot of the firms they're looking at just have very different characteristics from"}, {"path": "tedlium_10890.wav", "duration": 10.83, "text": "and second, temporary disruptions in the capital markets stopped some of our investors from refinancing their portfolios and temporarily made some high-yield bond investments more attractive."}, {"path": "tedlium_10891.wav", "duration": 10.83, "text": "I think you can use that same example going forward. So where we see opportunities, we'll expand either the banner or assortment or our company offerings to our customers to create a much bigger marketplace."}, {"path": "tedlium_10892.wav", "duration": 10.83, "text": "But -- especially with the ability through online, to be able to completely see our assortments is extremely important. As we get to know the customer better,"}, {"path": "tedlium_10893.wav", "duration": 10.83, "text": "Second, we are focused on improving our project execution and risk management. We're exploring and implementing a number of ways to generate greater efficiencies at the execution level,"}, {"path": "tedlium_10894.wav", "duration": 10.83, "text": "We believe this transaction positions Biogen to be at the forefront of Alzheimer's research in terms of both, mechanisms of ACTION and time to market."}, {"path": "tedlium_10895.wav", "duration": 10.83, "text": "Our best guess is that we will begin earning management fees from Opps Xb based on its total committed capital as opposed to the amount that has been drawn"}, {"path": "tedlium_10896.wav", "duration": 10.83, "text": "could not be taken into consideration in 2017. This deferred tax benefit will only be recognized on the completion of the transaction as part of the overall profit"}, {"path": "tedlium_10897.wav", "duration": 10.83, "text": "That expertise is pivotal in earning the trust of larger multinationals, and our capacity to deliver is winning new business every quarter."}, {"path": "tedlium_10898.wav", "duration": 10.83, "text": "from an audit and security perspective on the security of their data. I think we've talked about -- I think at any given point, we have 5 to 6 clients"}, {"path": "tedlium_10899.wav", "duration": 10.83, "text": "outside of the legal and consulting fees, that will come and go as we work on various projects, there's really nothing unusual in there. Just last year was abnormal though."}, {"path": "tedlium_10900.wav", "duration": 10.8, "text": "In contrast, last year's second quarter had an unusually large proportion of architectural panel sales, which made for a difficult comparison at the margin line this quarter."}, {"path": "tedlium_10901.wav", "duration": 10.8, "text": "to be able to start entertaining the discussion with agents -- agencies or at least knowing what we need to do in the next step to bring home a definitive answer in the nephrotic FSGS. So"}, {"path": "tedlium_10902.wav", "duration": 10.8, "text": "This obviously takes time and traditionally a lot of money because of our unique partnership we can afford a marketing campaign that otherwise would have cost tens of millions of dollars."}, {"path": "tedlium_10903.wav", "duration": 10.8, "text": "focus on the Reprographics, the plan printing work that we normally get, we also focus on other services that goes into a project. Whether it's on the project site or"}, {"path": "tedlium_10904.wav", "duration": 10.8, "text": "our deployment of capital, appreciation of our existing portfolio and realizations from exits. Let me talk about each in turn. With respect to deployment,"}, {"path": "tedlium_10905.wav", "duration": 10.8, "text": "we still don't really understand that. How do you approach it and are you going to continue to focus on BBR or will you expand out your cyber coverage?"}, {"path": "tedlium_10906.wav", "duration": 10.8, "text": "Such forward-looking statements are qualified by the inherent risks and uncertainties surrounding future expectations generally and may materially differ from actual future"}, {"path": "tedlium_10907.wav", "duration": 10.8, "text": "Results were negatively impacted by the lower volume and light manufacturing productivity which did not offset inflation and other cost changes as well as higher pension cost."}, {"path": "tedlium_10908.wav", "duration": 10.8, "text": "for innovation even for distribution is quite good. So you're just going to have to take it on faith that we've got good business plans and we're executing against it. It doesn't mean we can't be wrong on the 2% to 4% outlook."}, {"path": "tedlium_10909.wav", "duration": 10.8, "text": "will be down as well due to the refi, and Bill will talk about that in a second. I'll turn the call over to Bill to expand on these areas and to explain -- further explain the financial results."}, {"path": "tedlium_10910.wav", "duration": 10.8, "text": "With respect to the DOL fiduciary rule, we have completed the evaluation of our business model and are implementing changes as needed in order to comply with the new regulations."}, {"path": "tedlium_10911.wav", "duration": 10.8, "text": "and the second is just the technology resources attaching to these programs. But I think it's more the former in getting the program just right. I think it's a"}, {"path": "tedlium_10912.wav", "duration": 10.8, "text": "So I'm just wondering, it's nice growth, but does there come a point where you want to slow mortgage fees down just because they get to be too big of a percentage of"}, {"path": "tedlium_10913.wav", "duration": 10.8, "text": "We are well prepared for a variety of future economic scenarios. And we will continue to manage risk in a prudent and in a responsible manner."}, {"path": "tedlium_10914.wav", "duration": 10.8, "text": "there was a little bit more business that you were picking up in the shorter term that you hadn't picked up before that made the difference, and it sounds like"}, {"path": "tedlium_10915.wav", "duration": 10.8, "text": "What does that look like and what do I get on a net total reach basis? And so the Total Audience Measurement system, like the one that we're building and delivering to the marketplace,"}, {"path": "tedlium_10916.wav", "duration": 10.8, "text": "Now in the digital world, independence often comes up as captive metrics. If a publisher has this incredible level of detail about the activity happening on their particular site,"}, {"path": "tedlium_10917.wav", "duration": 10.8, "text": "including the requirement to send out Schedule K-1s. We expect that this alone will result in annual savings to our company and make owning our shares a little less burdensome."}, {"path": "tedlium_10918.wav", "duration": 10.8, "text": "Secondly, with more liquid shares as currency, we believe that we can more efficiently pursue selective acquisitions and continue to broaden and deepen our platform."}, {"path": "tedlium_10919.wav", "duration": 10.8, "text": "On the external accounts front, the level of current account deficit continues to be favored by both the higher price of oil and somewhat of a pickup in nontraditional exports."}, {"path": "tedlium_10920.wav", "duration": 10.8, "text": "I just want to understand how much advantage you'll still have in BAW. Remember my definition of a sustainable franchise? We don't stop investing."}, {"path": "tedlium_10921.wav", "duration": 10.8, "text": "increase. Difficult to quantify the absolute overall impact on same-store sales, but we have seen of those guests that are ordering Kids Meals, that they are coming a little bit more frequently."}, {"path": "tedlium_10922.wav", "duration": 10.8, "text": "did go on SPINRAZA. Now given that this was after completion of our trial, I do not have any insights into any other safety or efficacy data that may have been observed"}, {"path": "tedlium_10923.wav", "duration": 10.8, "text": "how we spend our resources, because right now we can see for the third quarter and the fourth quarter, difficult times are ahead."}, {"path": "tedlium_10924.wav", "duration": 10.8, "text": "But I will go back to say this, I think we did this to ourselves and we created that situation. I still think you can be successful as a public market company,"}, {"path": "tedlium_10925.wav", "duration": 10.8, "text": "We tend to have more visibility in the back half of the year in terms of onboarding new customers. So if you look at the mix of revenue just because of the seasonal aspect of the business,"}, {"path": "tedlium_10926.wav", "duration": 10.8, "text": "We will be presenting at the KeyBanc Global Technology Leadership Forum in Vail on August 8. The 20th Annual Oppenheimer Technology Internet"}, {"path": "tedlium_10927.wav", "duration": 10.8, "text": "or Meritor will provide those services to companies like the Peterbilt or any other commercial vehicle manufacturer that needs support on integrating these systems."}, {"path": "tedlium_10928.wav", "duration": 10.8, "text": "becoming more rational. Competitors will no longer apply the low-cost prices. They're not -- they can't afford to sell below cost, and I think this is"}, {"path": "tedlium_10929.wav", "duration": 10.8, "text": "Looking forward, further losses are anticipated from the derisking activity, but we remain within the targeted cost we communicated to the market last October."}, {"path": "tedlium_10930.wav", "duration": 10.8, "text": "In motorcycle business operations, the positive impact of an increase in consolidated unit sales was more than offset by the negative impact of ForEx translation effects,"}, {"path": "tedlium_10931.wav", "duration": 10.8, "text": "and I want to drive home the point that our total revenue guidance reflects our best estimate as of today as to the pace at which the services revenue will roll off to our partners."}, {"path": "tedlium_10932.wav", "duration": 10.8, "text": "streaming from a lot of places. So one of the things we want to do is figure out a way to leverage that brand. And it may be a series of concerts. It may be a whole host of other things."}, {"path": "tedlium_10933.wav", "duration": 10.8, "text": "While the company may elect to update these forward-looking statements at some point in the future, Accretive Health specifically disclaims any obligation to do so to reflect the actual results or changes in factors or assumptions"}, {"path": "tedlium_10934.wav", "duration": 10.8, "text": "just looking at this with the kind of yield that we're trading at right now, it just didn't make any sense to us to continue to have that overhang out there on"}, {"path": "tedlium_10935.wav", "duration": 10.8, "text": "We continue in negotiations on 3 major claims, have received significant offers on 2 of them, although not adequate."}, {"path": "tedlium_10936.wav", "duration": 10.8, "text": "I guess, your -- does it imply to us that your equipment is in great shape and really doesn't take much to bring out of the yard? Or is there something else going on that enables you to have a lower cost?"}, {"path": "tedlium_10937.wav", "duration": 10.8, "text": "This complementary acquisition provides us with the opportunity to accelerate our strategy, and after much study of the opportunities available to us,"}, {"path": "tedlium_10938.wav", "duration": 10.8, "text": "we were able to deliver record Q4 and full year adjusted EBITDA. We also demonstrated the ability to further expand margins,"}, {"path": "tedlium_10939.wav", "duration": 10.8, "text": "operations and things like that, but also how we present ourselves to clients in the consulting community. So we do have a year of consolidation work to do, which is never easy in these businesses."}, {"path": "tedlium_10940.wav", "duration": 10.8, "text": "at 4%., you can do the math as to even if you max the leverage ratio out to some number that I don't think we're remotely close to talking about here,"}, {"path": "tedlium_10941.wav", "duration": 10.8, "text": "we've built backlog, our sales efforts are strong and the drag from legacy products and services should moderate going forward as those products approach run rate levels."}, {"path": "tedlium_10942.wav", "duration": 10.8, "text": "The impact of redirecting a large number of small ESCO partners was felt on the revenue line but should be more than made up by new agency partners over time."}, {"path": "tedlium_10943.wav", "duration": 10.8, "text": "This wasn't the case in our fiscal 2016 as the back half slowed due to the industrial sector slowdown. But it's more along the lines of what we had expected on a normal year."}, {"path": "tedlium_10944.wav", "duration": 10.8, "text": "While we don't have specifics to share today, I can tell you that I've challenged the team to go deeper than we have in the past and to think differently about our business. And they're delivering."}, {"path": "tedlium_10945.wav", "duration": 10.8, "text": "Two questions on Asia, one on China. Just curious what you guys are doing to try and drive penetration while we wait for the quota. Are you better off waiting for the government"}, {"path": "tedlium_10946.wav", "duration": 10.8, "text": "In addition, we are using our switching platform to develop enhanced consumer features without paying licensing fees to third parties."}, {"path": "tedlium_10947.wav", "duration": 10.8, "text": "just to mention one, we might have additional potential upside coming from the new regulation which is foreseen to be finalized by November this year."}, {"path": "tedlium_10948.wav", "duration": 10.8, "text": "you heard in the comments earlier. I think what we described is that our aggregate commodity inflation net of sourcing activities was about 1% of our consolidated"}, {"path": "tedlium_10949.wav", "duration": 10.8, "text": "After the unpredictable events in 2016, this year promises to be more of the same. The upheaval and accelerated change I talked about before"}, {"path": "tedlium_10950.wav", "duration": 10.8, "text": "Streamlined modification programs are beneficial, because they eliminate income documentation requirements and move borrowers directly into a trial modification after their first payment is made."}, {"path": "tedlium_10951.wav", "duration": 10.8, "text": "Besides, there are some patent barriers and technology barriers. Our strategy is heading to automation and complete sets."}, {"path": "tedlium_10952.wav", "duration": 10.8, "text": "I hope our recent track record has given you confidence that the company is moving in the right direction and can meet and exceed our goals."}, {"path": "tedlium_10953.wav", "duration": 10.8, "text": "results of operations and financial condition to differ materially from results of operations and financial conditions expressed or implied by forward-looking statements made during the call."}, {"path": "tedlium_10954.wav", "duration": 10.8, "text": "Any statements made in this presentation about future operating results or other future events are forward-looking statements under the Safe Harbor provisions of the Private Securities Litigation Reform Act"}, {"path": "tedlium_10955.wav", "duration": 10.8, "text": "We are developing best practices and have created methods to effectively spread measurable improvements across our national footprint."}, {"path": "tedlium_10956.wav", "duration": 10.8, "text": "and there may be some continuation in the third and fourth quarter. We expect that the revenue momentum of the business will serve to offset some of that as well as cost control across the board."}, {"path": "tedlium_10957.wav", "duration": 10.8, "text": "As you know, JDE is a private company so we won't share significant detail on their results or projections. JDE management expects performance to be pressured this year"}, {"path": "tedlium_10958.wav", "duration": 10.8, "text": "which showed a survival advantage for sepsis patients treated with ZADAXIN. We expect that data should be available in about 3 years."}, {"path": "tedlium_10959.wav", "duration": 10.8, "text": "In conclusion, we are continuing to execute our strategic plan, and we are pleased with the sound progress accomplished to this day."}, {"path": "tedlium_10960.wav", "duration": 10.8, "text": "an ideal platform as those of you who visited will have seen to acquire in our smaller businesses in this area. We have good management team in Millbrook who are"}, {"path": "tedlium_10961.wav", "duration": 10.8, "text": "It's worth noting that this is the last quarter in which results were impacted by expired Martha Stewart legacy licenses indicated in last year's results."}, {"path": "tedlium_10962.wav", "duration": 10.8, "text": "The decrease was driven by a lower contribution from net investment spread results, partially offset by more favorable case experience and higher full service fee income."}, {"path": "tedlium_10963.wav", "duration": 10.8, "text": "of your end markets. Can you just clarify where you continue to see strength versus where the slowdown has occurred in the server storage businesses?"}, {"path": "tedlium_10964.wav", "duration": 10.8, "text": "And then third, expand the market principally by commercializing the optimal dose therapy after the completion of clinical testing and regulatory approval"}, {"path": "tedlium_10965.wav", "duration": 10.8, "text": "That is the primary driver of what would change the CapEx. As we get later in the year, we start to understand what projects are going to get completed in the year, what"}, {"path": "tedlium_10966.wav", "duration": 10.8, "text": "this iconic geography of that area and how we tackle that. So there's sort of examples of good old innovation and supporting that through the brand activity."}, {"path": "tedlium_10967.wav", "duration": 10.8, "text": "These forward-looking statements are subject to known and unknown risks, uncertainties and assumptions that the company -- that may cause the company's actual results or achievements"}, {"path": "tedlium_10968.wav", "duration": 10.8, "text": "We are very pleased that we have been able to deliver on that promise. From a financial point of view, key elements to making that happen were expanding net interest margin,"}, {"path": "tedlium_10969.wav", "duration": 10.8, "text": "During this quarter, we decided to delay the building of certain long lead time projects in order to take advantage of new product enhancements in our module design."}, {"path": "tedlium_10970.wav", "duration": 10.8, "text": "Thank you for taking time from your busy schedule to be on our call today. We do appreciate your interest in Air Products."}, {"path": "tedlium_10971.wav", "duration": 10.8, "text": "We keep operational profitability margin expectations intact, and in addition, I'll remind you that we continue operating in a very dynamic and competitive environment."}, {"path": "tedlium_10972.wav", "duration": 10.8, "text": "We're looking forward to working with the Atairos team and finding ways to combine Groupon's local expertise with Comcast's vast subscriber and advertiser network. With that, I'll turn the call over to Brian."}, {"path": "tedlium_10973.wav", "duration": 10.8, "text": "and Retail Branding and Information Solutions is making good progress both financially and strategically, delivering solid top line growth and margin expansion,"}, {"path": "tedlium_10974.wav", "duration": 10.8, "text": "that we see in almost all of our networks between the speed of the service we provide to a home and the amount of consumption that, that home has."}, {"path": "tedlium_10975.wav", "duration": 10.8, "text": "market profile. Hence, a lot of focus on that part. The other thing, I want to follow up on the earlier question. Another reason we really do like this"}, {"path": "tedlium_10976.wav", "duration": 10.8, "text": "we really look forward to providing you with more color on that next quarter. We are getting down to kind of the blocking and tackling phase. There are some big deals that we're working on to"}, {"path": "tedlium_10977.wav", "duration": 10.8, "text": "We continue to build out our senior management and technical talent on a global basis. We believe these accomplishments position us well for continued growth."}, {"path": "tedlium_10978.wav", "duration": 10.8, "text": "With that, let me turn the time over to Ryan, and then Mark will provide additional detail on our financial statements and projections. Ryan? Thanks, Ritch, and good afternoon, everybody."}, {"path": "tedlium_10979.wav", "duration": 10.8, "text": "I couldn't be happier with the progress to date and the current state of the assets, which, upon visit, are in excellent shape with full parking lot, heavy foot traffic and great sales volume."}, {"path": "tedlium_10980.wav", "duration": 10.8, "text": "is going to have to make sure that the documentation interface with the MACs are perfect. The good news is"}, {"path": "tedlium_10981.wav", "duration": 10.8, "text": "We'd like to remind you that today's presentation may contain forward-looking statements, which are based on management's current expectations and are subject to uncertainty and changes in circumstances."}, {"path": "tedlium_10982.wav", "duration": 10.8, "text": "In recent months, however, we have been able to facilitate agreements to reverse that flow south, delivering more gas for domestic users in the southeastern part of the country."}, {"path": "tedlium_10983.wav", "duration": 10.8, "text": "I know that there are some additions here and there, but the teams that had to be put together for the new projects, are they all already in place"}, {"path": "tedlium_10984.wav", "duration": 10.8, "text": "I was just wondering, as you look at the portfolio and if you look at the organic growth, is there one particular market that you feel is holding you back? Or does it just come down to these large projects"}, {"path": "tedlium_10985.wav", "duration": 10.8, "text": "These increases reflect recovery on multiple years of smart meter and other capital investments meant to improve the reliability of the grid across all the PHI jurisdictions."}, {"path": "tedlium_10986.wav", "duration": 10.8, "text": "And so I don't think there's any single thing that's going on in the business that you would identify in saying this is truly a"}, {"path": "tedlium_10987.wav", "duration": 10.8, "text": "And so to speak to Engineered Components, we did see a slowdown in terms of organic sales in the quarter in the low single digits."}, {"path": "tedlium_10988.wav", "duration": 10.8, "text": "The group continues to demonstrate its capabilities in managing closed funds efficiently and effectively for the benefit of customers and shareholders."}, {"path": "tedlium_10989.wav", "duration": 10.8, "text": "Is there an expectation that you would see new operators come in and do refrac? Or would it just be simply taking over the properties and trying to optimize what's there today?"}, {"path": "tedlium_10990.wav", "duration": 10.8, "text": "and who are now gearing up to the same thing again for the next chapter of our journey, our digital transformation, over the next 4 years."}, {"path": "tedlium_10991.wav", "duration": 10.8, "text": "is pretty flexible and it's highly dependent on the sales absorptions we're seeing in our currently open communities and then often just our ability to bring new communities online because there's a lot of moving parts."}, {"path": "tedlium_10992.wav", "duration": 10.8, "text": "the reduction in volume is making it increasingly difficult to maintain this investment while still driving to meet the objective of returning the company to profitability as soon as possible."}, {"path": "tedlium_10993.wav", "duration": 10.8, "text": "basis points. Is that something that you guys might to be prepared to talk about, what you would -- you sort of your wake up in the morning negative mix, whether it's"}, {"path": "tedlium_10994.wav", "duration": 10.8, "text": "The annual same-store decline was driven by an average occupancy reduction of 50 basis points, the beat to our guidance related to signing leases earlier in the quarter than budgeted."}, {"path": "tedlium_10995.wav", "duration": 10.8, "text": "for the full year of fiscal 2018. We estimate our ongoing annual capital expenditure requirements to be approximately 2% of annual sales."}, {"path": "tedlium_10996.wav", "duration": 10.8, "text": "Our employees are responding positively to this change, which offers greater opportunity for professional growth, including enhanced pay-for-performance."}, {"path": "tedlium_10997.wav", "duration": 10.8, "text": "in the trading companies and Chinese paper producers is coming down. And sometime, new purchases will have to be made."}, {"path": "tedlium_10998.wav", "duration": 10.8, "text": "We're in '17 focusing on the European booked clients, and then we will take care of the Asian clients. On the discretionary side, you've seen we've"}, {"path": "tedlium_10999.wav", "duration": 10.8, "text": "When you think -- you gave us a lot of prospects for next year, but do you think next year it sort of really ramps up versus this year given sort of some market improvement but also"}, {"path": "tedlium_11000.wav", "duration": 10.8, "text": "A potentially positive consideration is that tariffs implemented on products imported from China and South Africa could serve to eventually moderate the price pressure"}, {"path": "tedlium_11001.wav", "duration": 10.8, "text": "Confirming the strengthening demand, our lead times for plate products have expanded from approximately 10 weeks earlier in the year to approximately 20 weeks."}, {"path": "tedlium_11002.wav", "duration": 10.8, "text": "we'll talk to the board near the end of this year about what we want to do. This is why we also want to see how we come out of the summer and what our cash position looks like. And then, I think, by the end of this year,"}, {"path": "tedlium_11003.wav", "duration": 10.8, "text": "As of February 29, 2016, we are in compliance with all of our financial covenants through that date and expect to remain in compliance for the foreseeable future."}, {"path": "tedlium_11004.wav", "duration": 10.8, "text": "Despite the slight decline in sales, our gross profit dollars were equal to the prior year as a result of improved product mix and margin management initiatives."}, {"path": "tedlium_11005.wav", "duration": 10.8, "text": "But it's not simply putting feet on the street. In addition to hiring these new personnel, we focused on equipping existing employees with the necessary tools and training"}, {"path": "tedlium_11006.wav", "duration": 10.77, "text": "contained in the press release that we issued yesterday afternoon as well as in our filings with the SEC. In addition, some comparisons will refer to non-GAAP measures."}, {"path": "tedlium_11007.wav", "duration": 10.77, "text": "Our value creation journey from scientific discovery to setting new standards of care in modern medicine is taking a huge and next step forward."}, {"path": "tedlium_11008.wav", "duration": 10.77, "text": "Statements are valid only as of today's date and the company disclaims any obligation to update this information, except maybe required by applicable law."}, {"path": "tedlium_11009.wav", "duration": 10.77, "text": "that more than 60% of our capital commitments come from investors that are in 6 or more of our funds. I think, second of all, we continue to see new investors come to the platform."}, {"path": "tedlium_11010.wav", "duration": 10.77, "text": "category and this is also where we are capacity-constrained. So Shelby will give us that extra capacity to be able to meet those customer commitments. And as we indicated,"}, {"path": "tedlium_11011.wav", "duration": 10.77, "text": "I would tell you we take that very seriously at a management level and at a board level with regard to making large capital investments and how we look at the risks, how we'll manage through it."}, {"path": "tedlium_11012.wav", "duration": 10.77, "text": "But hopefully, we can accelerate that. But I think the volume piece of that comes -- depends on how quickly the operations stabilize and we can get that on and running."}, {"path": "tedlium_11013.wav", "duration": 10.77, "text": "that's -- that shows you that we're still learning a great deal about how to use this as monotherapy. Combinations -- a lot of combinations appear to be showing"}, {"path": "tedlium_11014.wav", "duration": 10.77, "text": "we compete in 9 major categories. And in 3 of those 9, private label is a major competitor such as to put it in perspective."}, {"path": "tedlium_11015.wav", "duration": 10.77, "text": "and this is because we place such strong emphasis on innovation, staying tight on our price gaps and continuing to invest heavily in brands that consumers love."}, {"path": "tedlium_11016.wav", "duration": 10.77, "text": "we have 2 effects. We have the one effect that we have stockpiled a couple of anodes here and there because we had some smaller maintenance issues,"}, {"path": "tedlium_11017.wav", "duration": 10.77, "text": "We're not planning any specific price increase right now but at some point over time, we'll need to pass on some of the higher cost. But we believe we'll be able to do that. And then that along with leverage from the higher sales, that along with"}, {"path": "tedlium_11018.wav", "duration": 10.77, "text": "And that is the last 20 years of record growth and profitability. We have now completed 20 years as a banking organization since we opened up here in Conway, Arkansas."}, {"path": "tedlium_11019.wav", "duration": 10.77, "text": "As part of the management process, the company has taken the decision to close a number of underperforming businesses, which is reflected in the unusual items for the period."}, {"path": "tedlium_11020.wav", "duration": 10.77, "text": "You did talk about your dealerships and how they are outperforming the market in terms of margin. Can you talk about how they're performing in terms of sales? For first half,"}, {"path": "tedlium_11021.wav", "duration": 10.77, "text": "lowered a couple of times over the years with the addition of more freestanding stores and long-term leases, triple net leases and whatnot, so I was just wondering what drove the decision to increase that?"}, {"path": "tedlium_11022.wav", "duration": 10.77, "text": "In addition, this call includes only information available to us at this time. To the extent you are listening to this call at a later date via replay, please note this information may be outdated or incomplete."}, {"path": "tedlium_11023.wav", "duration": 10.77, "text": "and, frankly, acquiring a lot of digital capabilities. Who are you competing against when -- against your book of business on the digital front?"}, {"path": "tedlium_11024.wav", "duration": 10.77, "text": "being able to do the Deeprock thing is when that got built as part of -- Deeprock really got built because of Pony Express. But when it got built,"}, {"path": "tedlium_11025.wav", "duration": 10.77, "text": "We continue to successfully execute on our growth drivers and deliver the high level of profitability we've seen since completing our initial public offering last summer."}, {"path": "tedlium_11026.wav", "duration": 10.77, "text": "We saw a mid-teens RevPAR growth in Eastern Europe on strong corporate and leisure demand, while RevPAR in Turkey and France continued to rebound."}, {"path": "tedlium_11027.wav", "duration": 10.77, "text": "was driven by contributions from our Phase 1 Collins growth project coming fully on revenue during 2017. Fourth quarter revenue"}, {"path": "tedlium_11028.wav", "duration": 10.77, "text": "to be materially different from any future results or performance expressed or implied in this presentation. You should not place undue reliance on these forward-looking statements."}, {"path": "tedlium_11029.wav", "duration": 10.77, "text": "In fact, this quarter's U.S. underwriting income was one of the best in the history of the company. Now let me briefly comment on each of our operating segments."}, {"path": "tedlium_11030.wav", "duration": 10.77, "text": "do more machining, more advanced surface treatment and working closer with the customers to make more specialized products where the value-add is higher."}, {"path": "tedlium_11031.wav", "duration": 10.77, "text": "including Reckitt Benckiser. Our relationship with RB has deepened beyond consumer insights and expanded into an engagement that is focused on measurement, strategy and technology."}, {"path": "tedlium_11032.wav", "duration": 10.77, "text": "with a strategic value that medical innovation offers to our core businesses in the 6 areas where we do have most of our cases."}, {"path": "tedlium_11033.wav", "duration": 10.77, "text": "Yes. So a couple of comments. First of all, we -- as we've talked about on previous calls, we feel very good about the momentum and progress in the mobile business. If you recall, last year, we announced"}, {"path": "tedlium_11034.wav", "duration": 10.77, "text": "businesses. We've got our teams talking to those guests. We are pinging them where we can through social digital media. So it's really a much more aggressive outreach targeted"}, {"path": "tedlium_11035.wav", "duration": 10.77, "text": "With respect to Xcede, our Board and management, along with our development partner, Cook Biotech, continued to believe in the value of this product and opportunity."}, {"path": "tedlium_11036.wav", "duration": 10.77, "text": "Combined with the dosing schedule that is the most convenient of any biologic in this indication, the entire package makes guselkumab look like a very attractive drug in our opinion."}, {"path": "tedlium_11037.wav", "duration": 10.77, "text": "So that's a function of the capacity came in early in the quarter, you've utilized it, you stepped up, you're up at level most of the quarter and we're waiting for the next slug of"}, {"path": "tedlium_11038.wav", "duration": 10.77, "text": "which resulted in an IRR on our investment of over 11%. As we look forward, we are confident that through our multiple origination engines,"}, {"path": "tedlium_11039.wav", "duration": 10.77, "text": "As far as things that are distinctive and different, I would point to a couple of aspects. One, obviously we are doing China"}, {"path": "tedlium_11040.wav", "duration": 10.77, "text": "In truth, right now, we don't have a lot of time to go market it to our customers, but it's available, and it's about to get some profile with yet another partner being brought in."}, {"path": "tedlium_11041.wav", "duration": 10.77, "text": "understand that they are making a commitment publicly to the use of ReposiTrak to improve their compliance standing."}, {"path": "tedlium_11042.wav", "duration": 10.77, "text": "We would expect a similar opportunity with other new products and product extensions, such as our compliance products and our Jackpot Xpress product."}, {"path": "tedlium_11043.wav", "duration": 10.77, "text": "And once you lose that advantage, that may be -- that may have an impact on your numbers in the future. I'm just trying to understand"}, {"path": "tedlium_11044.wav", "duration": 10.77, "text": "And we make good on that promise. So I think there's a real opportunity to be much more visible on why you want to be connected to this brand, why you believe in this brand."}, {"path": "tedlium_11045.wav", "duration": 10.77, "text": "We are assessing which areas will provide the quickest return on our investment and that result in additional long-term growth opportunities."}, {"path": "tedlium_11046.wav", "duration": 10.77, "text": "primarily as a result of the effect of the previous year's most significant upward movement in share price, and its effect on the carrying value of the liability classified award plans."}, {"path": "tedlium_11047.wav", "duration": 10.77, "text": "the decline in new students is due to a shift in starts of students in the prior year from the September to January session due to Hurricanes Irma and Maria."}, {"path": "tedlium_11048.wav", "duration": 10.77, "text": "I think there a lot of opportunities, and I think that, as we've said so many times, having the footprint and the diverse assets that we have is a big plus in"}, {"path": "tedlium_11049.wav", "duration": 10.77, "text": "which is viewed as a new computing platform and that Himax remains a critical partner to the customer in its AR efforts."}, {"path": "tedlium_11050.wav", "duration": 10.77, "text": "coupled with spread tightening, is offsetting the increased cost of debt and supporting a robust acquisitions market, which should continue to drive financing volumes going forward."}, {"path": "tedlium_11051.wav", "duration": 10.77, "text": "And then the third one is probably really for Chris. Just to understand a little bit more about this initiative to get some of the performance up on the underperforming stores."}, {"path": "tedlium_11052.wav", "duration": 10.77, "text": "We saw relatively high spot prices at the back end of 2015. And I'm just trying to get a sense of whether we can still see some of the strength coming through in the current quarter."}, {"path": "tedlium_11053.wav", "duration": 10.77, "text": "Partly offsetting the higher irrigation sales was a 4% decrease in usage per residential customer, as cooling and heating degree days were lower in the second quarter this year."}, {"path": "tedlium_11054.wav", "duration": 10.77, "text": "does some kind of normalization. The last two winters have been much warmer than normal. So to keep going back to normal seems like you're banging your head against the wall."}, {"path": "tedlium_11055.wav", "duration": 10.77, "text": "Back to you, Jim. Thanks. In summary, we continue to focus on successful execution of our initiatives that drive value for our customers and our shareholders,"}, {"path": "tedlium_11056.wav", "duration": 10.77, "text": "We're also looking into making things smoother and connecting our multiple -- our domestic and our global collaterals so clients can easily and seamlessly move collateral"}, {"path": "tedlium_11057.wav", "duration": 10.77, "text": "I'd make an argument that we should have a lower cost of financing based on the amount of assets that we pledged against that. The only other data point that might be useful for you is"}, {"path": "tedlium_11058.wav", "duration": 10.77, "text": "With nearly 300 systems installed in Japan, the level of system expansion over the year or so -- over the next year or so is difficult to predict."}, {"path": "tedlium_11059.wav", "duration": 10.77, "text": "the difference could be in evaluation of the business results of our company could be added up to the ordinary results."}, {"path": "tedlium_11060.wav", "duration": 10.77, "text": "As demonstrated in the past, Rollins has long distinguished itself, acquisition wise, by retaining key management, which helps us improve the overall business."}, {"path": "tedlium_11061.wav", "duration": 10.77, "text": "a generally weak Canadian economy, a strong U.S. dollar and a very warm weather last winter that significantly impacted our ski resort operators who are key customers of ours in the wintertime."}, {"path": "tedlium_11062.wav", "duration": 10.77, "text": "And transforming our business in terms of production. A couple of weeks ago, those of you who look at these things very closely will have spotted us announcing"}, {"path": "tedlium_11063.wav", "duration": 10.77, "text": "every device and every user that you want to reach, every customer, and that means you have to go wherever your systems are, on-prem, on mobile devices, everywhere. And so we are"}, {"path": "tedlium_11064.wav", "duration": 10.77, "text": "and we are committed to increasing the velocity of innovation at Starbucks in each of these areas, as they are all key determinants of customer and brand relevance today."}, {"path": "tedlium_11065.wav", "duration": 10.77, "text": "We have engaged an independent consulting firm to assist us with the sales transformation effort. This firm has deep experience in working with companies to improve revenue drivers,"}, {"path": "tedlium_11066.wav", "duration": 10.77, "text": "For pilot development, we are also evaluating a long-term framework beyond our group to address a pilot shortage facing the airline industry in Japan."}, {"path": "tedlium_11067.wav", "duration": 10.77, "text": "pretty dramatic increases in that, what has helped us and offset some of that decline on the BQ side has been the move into Corporates, which has been a successful launch for us."}, {"path": "tedlium_11068.wav", "duration": 10.77, "text": "Thank you for joining us today as we discuss our third quarter results and update you on our advancing immuno-oncology programs and other corporate matters."}, {"path": "tedlium_11069.wav", "duration": 10.77, "text": "reflecting salary and benefits inflation and increases to incentive and workers' compensation accruals. Of our benefits, employee medical cost trends are the most concerning,"}, {"path": "tedlium_11070.wav", "duration": 10.77, "text": "Throughout the region, we continue to actively manage our costs to drive efficiencies and offset inflationary pressures. And we continue to look at optimization opportunities."}, {"path": "tedlium_11071.wav", "duration": 10.77, "text": "Refer to the Investors link under the Corporate section of our homepage. A transcript and recording of this call and the supporting slides will be available on our website for future reference."}, {"path": "tedlium_11072.wav", "duration": 10.77, "text": "which exceeded our expectations for the business, primarily due to colder weather in Western Canada and higher than anticipated activity in the oilfield and construction businesses."}, {"path": "tedlium_11073.wav", "duration": 10.77, "text": "and we continue to make progress on freight and warehousing costs experienced in fiscal '18. We divested our household business, which is positive to our financial profile"}, {"path": "tedlium_11074.wav", "duration": 10.77, "text": "And once we have the permit, this is going to sound a little funny, once we have our permit for our safety deal for fire,"}, {"path": "tedlium_11075.wav", "duration": 10.77, "text": "a strong visibility to it, but we're doing the other things to make it so that you can run this thing. And"}, {"path": "tedlium_11076.wav", "duration": 10.77, "text": "So that is real and tangible. The fact that I can go put my finger on our 4 problem sites that are not really hitting on all cylinders is encouraging to me."}, {"path": "tedlium_11077.wav", "duration": 10.77, "text": "We expect sales to normalize over the balance of the year, though we do not expect the sales -- lower sales achieved in Q1 will be made up over the course of the year."}, {"path": "tedlium_11078.wav", "duration": 10.77, "text": "I want to thank the team that's been working on the Geismar transaction and also the team that operates the plant for their persistence, diligence and their continued focus on safe operations."}, {"path": "tedlium_11079.wav", "duration": 10.77, "text": "the targets are very tough to begin with and then they get easier, so obviously implying that they'll do better on ODIs as they go through the period. You're obviously in a bit of a different position to the other companies on the ODIs because"}, {"path": "tedlium_11080.wav", "duration": 10.77, "text": "a higher utilization of the fleet. But there are certain expectations that there will be more drilling on the back of an oil price -- of higher oil price and also"}, {"path": "tedlium_11081.wav", "duration": 10.77, "text": "in the current environment, specifically, on the tank trailer and the platform side over time to turn around and start to come up at exactly the time when we need them."}, {"path": "tedlium_11082.wav", "duration": 10.77, "text": "As you might imagine, I've been drinking from a fire hose over the past 3 weeks. Nevertheless, I have been able to focus on a few strategically important things that I'd like to give you some thoughts on."}, {"path": "tedlium_11083.wav", "duration": 10.77, "text": "response from our customer base has been universally positive as they appreciate the value that a more efficient and scaled firm can add to the financial market."}, {"path": "tedlium_11084.wav", "duration": 10.77, "text": "As we have delevered balance sheet, we may look to repurchase our shares under the repurchase agreement in the open market or otherwise from time-to-time."}, {"path": "tedlium_11085.wav", "duration": 10.77, "text": "We also welcome the additional perspectives to our board as we continue to evaluate options to maximize shareholder value and manage our business for profitability and cash flow."}, {"path": "tedlium_11086.wav", "duration": 10.77, "text": "Although Lumber Liquidators believes that the expectations reflected in its forward-looking statements are reasonable, it can give no assurance that such expectations or any of its forward-looking statements will prove to be correct."}, {"path": "tedlium_11087.wav", "duration": 10.77, "text": "related to that, are there any other above or below the line items next year that we ought to be mindful of that could lead to significant changes in profitability?"}, {"path": "tedlium_11088.wav", "duration": 10.77, "text": "And we plan to install those because these are the ready ones, and we feel that we can have a quicker turnaround on these vessels."}, {"path": "tedlium_11089.wav", "duration": 10.77, "text": "to the commencement of the Certificate of Need and Route Permit processes. We continue to review the impact of the orders on the project schedule and cost estimates."}, {"path": "tedlium_11090.wav", "duration": 10.77, "text": "The contribution from acquisitions was higher than guidance mainly as a result of the resumption of operations of Tropical Palms RV Resort during the quarter following termination of the ground lease."}, {"path": "tedlium_11091.wav", "duration": 10.77, "text": "I wouldn't say that -- thanks for the question, Garen. I would not say that I see anything dramatically different as it relates to this sort of the mix of what's out in the market for"}, {"path": "tedlium_11092.wav", "duration": 10.77, "text": "where thanks to our proprietary sourcing and origination channels, we have assembled a portfolio of assets with a blended, unlevered market yield of 8.8%. As we did in the prior quarter,"}, {"path": "tedlium_11093.wav", "duration": 10.77, "text": "and an operational issue with the central pharmacy in the second half of 2017, caused by implementation of a new automated phone system that delayed some prescription fulfillment."}, {"path": "tedlium_11094.wav", "duration": 10.77, "text": "And then, in order to help drive LCOE down, our model has been, per the agreements, to share a large portion typically of those savings with our customer."}, {"path": "tedlium_11095.wav", "duration": 10.77, "text": "through the year, right? So I would have more modest expectations, especially for the sake of conservatism, more modest expectations for that portfolio is in the first half of the year and higher expectations in the second half."}, {"path": "tedlium_11096.wav", "duration": 10.77, "text": "Great. And just to ask the requisite stupid question on the call, could you just explain a little more what the significance of the 90-day"}, {"path": "tedlium_11097.wav", "duration": 10.77, "text": "The margins are slightly lower on e-com. But we have -- we have pricing mechanisms in place just to make sure we have -- ultimately, we have price parity"}, {"path": "tedlium_11098.wav", "duration": 10.77, "text": "generate a lot more revenue from other opportunities like Advanced Packaging, MEMS and RF as well as"}, {"path": "tedlium_11099.wav", "duration": 10.77, "text": "largely as a result of the shift in our investment strategy in response to changes in the India dividend distribution tax for certain instruments."}, {"path": "tedlium_11100.wav", "duration": 10.77, "text": "I don't mind saying, we've been a little surprised too at how fast licensing has come back. 6 or 9 months ago, we were prepared for a couple of years of"}, {"path": "tedlium_11101.wav", "duration": 10.77, "text": "Slide 9 summarizes our residential mortgage business. Our strategy has been to retain the servicing rights on loans sold, which increase in value in a rising rate environment."}, {"path": "tedlium_11102.wav", "duration": 10.77, "text": "because most of the investment in retail is happening online and on digital. It's happening on omni-channel. It's happening on customer experience. It's happening on analytics."}, {"path": "tedlium_11103.wav", "duration": 10.77, "text": "driving strong near-term margin performance, providing fuel for investment and positioning us to sustainably deliver top and bottom line growth."}, {"path": "tedlium_11104.wav", "duration": 10.77, "text": "want to start with our year-end results, which we had very good results for the year, notwithstanding some of the challenges that we have with guidance during the year. But for our first year as a company,"}, {"path": "tedlium_11105.wav", "duration": 10.77, "text": "While we are confident that we can achieve multiple pipeline collaborations, and believe that a new industry partnership may occur before the end of the year,"}, {"path": "tedlium_11106.wav", "duration": 10.77, "text": "And finally, I wanted to briefly address the unsolicited acquisition proposal received from related fund management and respectfully declined by the company earlier this year."}, {"path": "tedlium_11107.wav", "duration": 10.77, "text": "every day the stock market goes up 300 points, a certain money moves into the bond market and comes off the table. And I do sense that there's a fair amount of demand right now for spread product."}, {"path": "tedlium_11108.wav", "duration": 10.77, "text": "It is still early days and a lot is changing in social media, but we are encouraged by the results so far and expect we will continue to optimize this channel for profitability going forward."}, {"path": "tedlium_11109.wav", "duration": 10.77, "text": "the need of VTB to comply with the regulatory ratios and banks are different from all other state companies because they do need to comply with the regulatory capital ratios,"}, {"path": "tedlium_11110.wav", "duration": 10.77, "text": "However, as the market changed and the sales process became more technical and complex, we recognize the need to evolve our sales model."}, {"path": "tedlium_11111.wav", "duration": 10.77, "text": "Regarding our overall bottom line performance, simply put, we need to and can do better. That means reigniting servicing fee growth in a sustainable way,"}, {"path": "tedlium_11112.wav", "duration": 10.77, "text": "are actually adding subscribers while we are also growing ARPUs. This is because we have and we use our pricing power but also because we're upgrading speeds and offering new services."}, {"path": "tedlium_11113.wav", "duration": 10.77, "text": "In our Q3 2018 results versus Q3 of '17, you see this phenomenon with RELISTOR, and you're going to see it again when I talk about dermatology and our neurology businesses."}, {"path": "tedlium_11114.wav", "duration": 10.77, "text": "Even with this slight delay, the timing for compression will continue to allow the company to achieve our previously released 2018 financial and operational plans."}, {"path": "tedlium_11115.wav", "duration": 10.77, "text": "We look forward to spending the remaining of the year executing our strategic objectives with a disciplined approach and focusing on the financial needs of our business, consumer and wealth management clients."}, {"path": "tedlium_11116.wav", "duration": 10.77, "text": "who worked around the clock and tirelessly to mitigate this unprecedented event. Dave will update you in his discussion of overall global operations."}, {"path": "tedlium_11117.wav", "duration": 10.77, "text": "Growth in Environmental Services was driven by Veolia and improved mix of waste streams and increases in our Industrial Energy and Field Services businesses."}, {"path": "tedlium_11118.wav", "duration": 10.77, "text": "for some other reasons, mainly that I was doing them, we got -- we just pushed a lot harder. So I think looking into '18, you should certainly assume that"}, {"path": "tedlium_11119.wav", "duration": 10.77, "text": "do we expect then revenues to adjust as we go forward is that trailing index catches up to the current bond environment and what's your expectations on that?"}, {"path": "tedlium_11120.wav", "duration": 10.77, "text": "Engaging our employees to focus on our key stakeholders, and instilling in them a greater sense of social responsibility, will enable us to be a more progressive and successful organization."}, {"path": "tedlium_11121.wav", "duration": 10.77, "text": "particularly in Europe in a way that should provide investors with a similar level of clarity on both our performance and our prospects that investors might see in a publicly listed entity,"}, {"path": "tedlium_11122.wav", "duration": 10.77, "text": "And people tend to prefer the track record business because they know they deliver and delivery is important in this business."}, {"path": "tedlium_11123.wav", "duration": 10.77, "text": "the overall costs of raw materials used in making specialty aluminas. This action will not affect our ability to resume growth,"}, {"path": "tedlium_11124.wav", "duration": 10.77, "text": "a methodology. It's about how we approach the business, how we evolve the consumer offering, how we get the business engines, the underlying engines, to go, how we get the cost structure"}, {"path": "tedlium_11125.wav", "duration": 10.77, "text": "More importantly, our community is embracing our new format. On average, users that chose to watch Promoted Stories viewed them for over 10 seconds."}, {"path": "tedlium_11126.wav", "duration": 10.77, "text": "The decrease was primarily due to the accounting effects of entering into the reinsurance agreement with Assured Guaranty Corp. and lower nonperformance risk spreads."}, {"path": "tedlium_11127.wav", "duration": 10.77, "text": "now. And so the good news is we have things like our analytics products. We have the acquisitions we just talked about. So we do have a number of things that we've been working on over the prior"}, {"path": "tedlium_11128.wav", "duration": 10.77, "text": "our funeral homes -- we've hired a couple of people that are really experts in merchandising through cremation and we're beginning to"}, {"path": "tedlium_11129.wav", "duration": 10.77, "text": "we believe we have an important platform that drive long-term revenue growth, pipeline expansion and profitability. And I look forward to updating you as we deliver on our strategy throughout the rest of the year."}, {"path": "tedlium_11130.wav", "duration": 10.77, "text": "in ERCOT again. So I think it's going to be developers and then it's very, very difficult -- I know this when I was at ECP. It's extremely difficult to get financing"}, {"path": "tedlium_11131.wav", "duration": 10.77, "text": "and mix improvement from focused initiatives to improve our sales force effectiveness, along with actions we took to address low-margin business."}, {"path": "tedlium_11132.wav", "duration": 10.77, "text": "as well as we try to get in a little bit more than that every year opportunistically and think we can do that inclusive of continuing bolt-ons"}, {"path": "tedlium_11133.wav", "duration": 10.77, "text": "to enable merchants to sign up. And that is why we initially went with a QR code and now have worked closely with"}, {"path": "tedlium_11134.wav", "duration": 10.7699375, "text": "In addition, we are pouring our energy into strengthening the foundations that will enable us to better manage this profit-generating organization."}, {"path": "tedlium_11135.wav", "duration": 10.7699375, "text": "the previous 3 or 4 years, and we are staying very consistent with what we're saying we're going to be able to do the next 3 or 4 years. And so"}, {"path": "tedlium_11136.wav", "duration": 10.74, "text": "If you would like more detail on this transaction, you have access to the audio recording and the transcript of the business update call on our website."}, {"path": "tedlium_11137.wav", "duration": 10.74, "text": "There is positive carry while the loans are held in the warehouse and there is significant fee income that we receive on 504 lending. A lot of that is"}, {"path": "tedlium_11138.wav", "duration": 10.74, "text": "Because we do not view the volatility caused by these adjustments as reflective of our underlying performance, we have excluded them from our adjusted results and shown them as noteworthy items."}, {"path": "tedlium_11139.wav", "duration": 10.74, "text": "And so if I'm Robin and I'm looking at my marketing budget and trying to work out the best place to decide where to invest, it's done on an ongoing basis, looking at both of those as an opportunity area. It's"}, {"path": "tedlium_11140.wav", "duration": 10.74, "text": "All of these measures are being undertaken to deliver additional liquidity, and continue deleveraging and to allow us to reallocate capital to our high returning businesses."}, {"path": "tedlium_11141.wav", "duration": 10.74, "text": "Exactly a year ago we said we will continue working very hard to lock in more contracts. And that's exactly what we achieved."}, {"path": "tedlium_11142.wav", "duration": 10.74, "text": "As you have a concentration of price increase in the short term, I believe that the price of"}, {"path": "tedlium_11143.wav", "duration": 10.74, "text": "And as a consequence, that may be slipped a little bit on really focusing at driving our supply chain costs down, and so we see a huge area"}, {"path": "tedlium_11144.wav", "duration": 10.74, "text": "But after all, that's what keeps us in business. And so it's our challenge to make sure we keep up with those. And having said that, I don't think there is anything"}, {"path": "tedlium_11145.wav", "duration": 10.74, "text": "at least in an absolute fashion, it may in a relative fashion as we continue growing the top line and the bottom line."}, {"path": "tedlium_11146.wav", "duration": 10.74, "text": "we actually have a very strong demand, but at the same time, the market situation is quite favorable. So do you have any update or change you want to mention related to the demand side?"}, {"path": "tedlium_11147.wav", "duration": 10.74, "text": "whereas those who had a strong starting immunity after 1 year, which is the red, those who were higher than the median value at the beginning, there really isn't a boost effect."}, {"path": "tedlium_11148.wav", "duration": 10.74, "text": "We maintained exposure to the securitization through an interest in the subordinated tranches as well as through our ownership of the vertical risk retention portion of the capital structure."}, {"path": "tedlium_11149.wav", "duration": 10.74, "text": "and specific opportunities that are captured. And that is obviously the one that we are specifically looking at and should be watchful for. And for us, the challenge is to"}, {"path": "tedlium_11150.wav", "duration": 10.74, "text": "absent a change in the underwritten performance metrics going forward, we will continue to be disciplined and I think we should get credit for being disciplined. It's been"}, {"path": "tedlium_11151.wav", "duration": 10.74, "text": "The MOU was signed in parallel with the approval of an exclusivity agreement with Brookfield Asset Management to negotiate a possible business transaction."}, {"path": "tedlium_11152.wav", "duration": 10.74, "text": "We have made progress against all of our strategic priorities this year, and that is reflected in the readiness of the organization for our most important season of the year."}, {"path": "tedlium_11153.wav", "duration": 10.74, "text": "We've heard from some of our largest distributors and while we are not unaffected by this process, the majority of funds affected by this recent rationalization effort"}, {"path": "tedlium_11154.wav", "duration": 10.74, "text": "Our strong balance sheet and history of conservative capital management allows us some flexibility around our dividend during this transition period."}, {"path": "tedlium_11155.wav", "duration": 10.74, "text": "But it won't happen overnight, and we don't expect to begin seeing the impacts of these strategies before the first quarter of next year."}, {"path": "tedlium_11156.wav", "duration": 10.74, "text": "Full-service hotels drive significant fees per room and enhance the value of our loyalty program, which is strengthened by the aspirational destinations it offers."}, {"path": "tedlium_11157.wav", "duration": 10.74, "text": "the search algorithms or approach that some of these platforms are taking. If the customers know that it is clearly in their interest to book direct, they're going to find a way to book direct."}, {"path": "tedlium_11158.wav", "duration": 10.74, "text": "In health and wellness, I'm proud to report that we are well ahead of our targeted goals in our Healthy For Life 20 by 20 campaign with the American Heart Association."}, {"path": "tedlium_11159.wav", "duration": 10.74, "text": "But the compound annual growth rate of that number places us in a leadership position. And we have done this while not trading near the most highly valued companies in our sector, at least yet."}, {"path": "tedlium_11160.wav", "duration": 10.74, "text": "In the long run, we should be much more effective with our working capital with a more efficient supply chain structure."}, {"path": "tedlium_11161.wav", "duration": 10.74, "text": "We continue to deliver on our goal of achieving organic revenue growth at the high end of med tech as we are gaining market share across the majority of our division,"}, {"path": "tedlium_11162.wav", "duration": 10.74, "text": "We saw challenges in some of our lifestyle accounts, which also had a negative impact on our numbers and some of the key franchises were, particularly, in the beginning of the year"}, {"path": "tedlium_11163.wav", "duration": 10.74, "text": "In other words, however important these items might be to a particular geography or program, they were not significant to our consolidated quarterly results."}, {"path": "tedlium_11164.wav", "duration": 10.74, "text": "One of the positives in the quarter is the improvement in the margins in our fee-based businesses, which continue -- particularly mortgage solutions continue to strengthen as we grow that business."}, {"path": "tedlium_11165.wav", "duration": 10.74, "text": "The erratic wet weather for the last 6 weeks of the year slowed much of our business in the West. Similar to early 2017, Mother Nature's influence has carried forward into the first couple of months"}, {"path": "tedlium_11166.wav", "duration": 10.74, "text": "groups out there, which is the family. So we feel good about what we've seen there. And the reality is and I know there's always a lot of talk between"}, {"path": "tedlium_11167.wav", "duration": 10.74, "text": "That's why it's so important that we offer employees a competitive total rewards package with benefits to help them and their families enjoy healthier, more secured lives."}, {"path": "tedlium_11168.wav", "duration": 10.74, "text": "and we will continue to leverage Clinton's infrastructure as we build our business and evaluate these opportunities. We will continue to share updates on these initiatives as appropriate."}, {"path": "tedlium_11169.wav", "duration": 10.74, "text": "continue to execute on the plan. And one thing I can assure you is that we are going to do that what's in the best interest of all the stakeholders, because our shareholders and our customers and"}, {"path": "tedlium_11170.wav", "duration": 10.74, "text": "We have been working with Ballard on this project for quite some time now, and this recent order is the first of what we hope will be many more orders where we can support each other"}, {"path": "tedlium_11171.wav", "duration": 10.74, "text": "On the tax leakage, it's pretty much status quo. We have investigated many times different structures and alternatives that would significantly reduce"}, {"path": "tedlium_11172.wav", "duration": 10.74, "text": "We closed the year with strong operational and financial results. As announced earlier today, we achieved the high end of our 2018 ongoing earnings forecast range"}, {"path": "tedlium_11173.wav", "duration": 10.74, "text": "and then ramp up during the course of the year to get to that -- the outlook that Rob provided of low end 4.4%. So we'd be flat"}, {"path": "tedlium_11174.wav", "duration": 10.74, "text": "I'd say that hopefully we're just in the first period. I think that should be the story for Loblaw for the next few years as we try to"}, {"path": "tedlium_11175.wav", "duration": 10.74, "text": "attention from a capital standpoint, although, of course, there's always things that need to be done. They certainly don't need anywhere near what we typically put into a truck stop"}, {"path": "tedlium_11176.wav", "duration": 10.74, "text": "competitors are getting as aggressive as we are, if they do that, then we would expect to see some of that volume flow back. Right now, it's more important for us to get price,"}, {"path": "tedlium_11177.wav", "duration": 10.74, "text": "through price movement. And then in the balance of the consumable business, we reprice as we bid projects. And honing in exactly"}, {"path": "tedlium_11178.wav", "duration": 10.74, "text": "beginning with this quarter, the assets under management tables in our earnings release now reflect distributions as a separate caption following market appreciation."}, {"path": "tedlium_11179.wav", "duration": 10.74, "text": "and work with an individual who we trusted and shared a similar vision for our industry and who had strong relationships with Chinese cloud companies that we can help grow outside of China."}, {"path": "tedlium_11180.wav", "duration": 10.74, "text": "This compares to industry inventories of 7.6 billion units at the end of the third quarter last year, which remained stable over the course of that quarter."}, {"path": "tedlium_11181.wav", "duration": 10.74, "text": "as we think about not only the ACAMS model, but what are the other places in terms of certifications, et cetera, that we'd be able to use that model because we are recognized in the market"}, {"path": "tedlium_11182.wav", "duration": 10.74, "text": "but it's about the active remerchandising to increase our exposure to the growth in online resilient categories and to differentiate ourselves from the larger superregional shopping centers."}, {"path": "tedlium_11183.wav", "duration": 10.74, "text": "The asset management and servicing fees generated from the funds and separate account will be additive to our ongoing recurring revenue, similar to the servicing fees from our own portfolio."}, {"path": "tedlium_11184.wav", "duration": 10.74, "text": "Sales of our Pringle potato chips and other snack foods, which spiked temporarily during last year's potato shock were less than a year ago,"}, {"path": "tedlium_11185.wav", "duration": 10.74, "text": "this will be 11 wells in the next 16 months, so we're going to be busy. We'll be testing prospects in Mexico, as I said, including our first operated wells"}, {"path": "tedlium_11186.wav", "duration": 10.74, "text": "in December, and in particular, in the last half of December. In regards to inventory, we don't really see the channel as having excess inventory now."}, {"path": "tedlium_11187.wav", "duration": 10.74, "text": "which can number hundreds of vendors and thousands of users. But small- and mid-sized organizations also want a partner to help them navigate this challenge. In the first quarter, we won deals with airports, law firms"}, {"path": "tedlium_11188.wav", "duration": 10.74, "text": "The other thing, as you notice in the third quarter, when you don't have retail sales, that uncovers some generation that we can sell in the wholesale market and that helps to offset some of the cost also."}, {"path": "tedlium_11189.wav", "duration": 10.74, "text": "And this strong traffic growth of airline profitability, which are based on strong global economic progress and continuing low fuel prices, looks likely to continue for the foreseeable future."}, {"path": "tedlium_11190.wav", "duration": 10.74, "text": "I think if you look at the comparison of our inventory management with our competitors, you'll find that it's very good."}, {"path": "tedlium_11191.wav", "duration": 10.74, "text": "Considering also the opening position -- the open position, we can expect to fully hedge the position, achieving a positive effect"}, {"path": "tedlium_11192.wav", "duration": 10.74, "text": "they recognize the scale, they recognize we are ahead of the game, and actually, they recognize the importance of what we're doing. So actually, we're getting really good traction"}, {"path": "tedlium_11193.wav", "duration": 10.74, "text": "is sensible and something that we know for sure we can deliver. And that's why organic revenue growth at least in line with 2017 is a sensible guidance."}, {"path": "tedlium_11194.wav", "duration": 10.74, "text": "While there is more work to do ahead, we are successfully executing on our strategy to become a building solutions leader with a large and growing specialty products business."}, {"path": "tedlium_11195.wav", "duration": 10.74, "text": "Looking ahead, we continue to generate significant amounts of cash on the back of solid demand for coal and soda ash, a trend we have seen for some time now."}, {"path": "tedlium_11196.wav", "duration": 10.74, "text": "We sort of suspected that, as we closed the stores that we closed last June, that it could have an impact on omnichannel and sales in those trade areas, and it did."}, {"path": "tedlium_11197.wav", "duration": 10.74, "text": "Our ability to continue to generate core deposits through our network of only 21 branches is a key factor in our efficiency ratio."}, {"path": "tedlium_11198.wav", "duration": 10.74, "text": "feeling of confidence with respect to FY '16 guidance. And that's why we were able to really manage it, manage the bottom end of our guidance up and effectively raise the midpoint."}, {"path": "tedlium_11199.wav", "duration": 10.74, "text": "Before I turn the call over to management, I would like to remind everyone that matters discussed on this conference call include forward-looking statements as defined in the Private Securities Litigation Reform Act"}, {"path": "tedlium_11200.wav", "duration": 10.74, "text": "we haven't gained much traction in this category because of the poor equipment quality that we've inherited, which is causing a bit of disruption from a supply perspective as well."}, {"path": "tedlium_11201.wav", "duration": 10.74, "text": "With each new launch or individual platform deal, we are potentially adding 5 or 6 figures per deal in monthly revenues steady state."}, {"path": "tedlium_11202.wav", "duration": 10.74, "text": "the overall population, but admittedly it's a little bit higher, maybe not statistically significance, but it is a little bit higher both on the reduction as well as on the response rate. So"}, {"path": "tedlium_11203.wav", "duration": 10.74, "text": "or there will be a telephonic replay -- will be available until May 16. And the information on how to access these replay features is provided in yesterday's earnings release."}, {"path": "tedlium_11204.wav", "duration": 10.74, "text": "As a result, we are focused on setting up our hotels for success with stringent cost-containment strategies and defensive revenue management plans."}, {"path": "tedlium_11205.wav", "duration": 10.74, "text": "Greg is transitioning out of the CFO role. And a few quarters ago, you made some general comments about overall succession planning in the organization."}, {"path": "tedlium_11206.wav", "duration": 10.74, "text": "And that will be also we believe a very important driver of growth for that particular side of the business which we're excited about."}, {"path": "tedlium_11207.wav", "duration": 10.74, "text": "However, we've remained focused on the leasing of the upper floors as certain potential credit office tenants have expressed interest in also leasing the second floor of our project."}, {"path": "tedlium_11208.wav", "duration": 10.74, "text": "I want to thank everyone at Era for their diligence and achieving our objective of zero Era accidents in Q1 2016, extending the clean sheet"}, {"path": "tedlium_11209.wav", "duration": 10.74, "text": "driven by the increased attractiveness of U.S. dollar products in the current environment as well as the introduction of a U.S. dollar whole life product with nursing care benefits last quarter."}, {"path": "tedlium_11210.wav", "duration": 10.74, "text": "Remember, since we add back equity compensation expenses for non-GAAP net income, the tax benefits related to equity compensation will also be excluded from our non-GAAP net income."}, {"path": "tedlium_11211.wav", "duration": 10.74, "text": "this move now allows me more time and freedom to increase my focus on further growing the company and continuing the great success that we've experienced in recent years."}, {"path": "tedlium_11212.wav", "duration": 10.74, "text": "Our third strategic goal is to expand the market for XTRAC, principally by adding proprietary treatment protocols, which require far fewer patient visits."}, {"path": "tedlium_11213.wav", "duration": 10.74, "text": "proactively managing our own business by taking further reductions in half 1. So we're doing the right things to set ourselves up for improvement."}, {"path": "tedlium_11214.wav", "duration": 10.74, "text": "as the strong operational performance more than offset tax and restructuring headwinds. Specifically, the third quarter tax rate that Don will talk about"}, {"path": "tedlium_11215.wav", "duration": 10.74, "text": "He can best be described as an operator's operator. And in a very short time, he has established a very strong rapport with the franchisees."}, {"path": "tedlium_11216.wav", "duration": 10.74, "text": "momentum with PROMESA or the budget comes out and looks like things are going to be stable, would there be any possibility for some capital actions this year? How do you guys think about that?"}, {"path": "tedlium_11217.wav", "duration": 10.74, "text": "So we've been pretty good at avoiding them. We think we've done a lot of things right, right now. As we mentioned in the call, it may take a few minutes or a little while to prove that out. But we have some time to do it."}, {"path": "tedlium_11218.wav", "duration": 10.74, "text": "And as they now begin to fill up that would also improve the situation. So we have seen a better balance"}, {"path": "tedlium_11219.wav", "duration": 10.74, "text": "our specific markets above the OSFI prescribed threshold, so there is potential that you could see markets being added to the supplementary capital. You could see markets that no longer require it."}, {"path": "tedlium_11220.wav", "duration": 10.74, "text": "In addition, for both public and private transactions, many of our clients use our Venue Data Room offering to manage the transaction process and increase efficiency."}, {"path": "tedlium_11221.wav", "duration": 10.74, "text": "Onto our asset management initiatives. We continue to make significant progress on both the revenue enhancement and cost-containment initiatives."}, {"path": "tedlium_11222.wav", "duration": 10.74, "text": "is an ongoing one, as you indicated. It's very important to us. Because it gives us 2 things that we really need to have as we continue to develop the fuel. It gives us the"}, {"path": "tedlium_11223.wav", "duration": 10.74, "text": "some of the operational things that are going on behind the scenes and what type of successes are you seeing or different types of the challenges that are presenting themselves either in this past quarter or"}, {"path": "tedlium_11224.wav", "duration": 10.74, "text": "And we do have both the negative timing of catalogues and we also are affected by the earthquakes and we do have weaker development in Colombia."}, {"path": "tedlium_11225.wav", "duration": 10.74, "text": "We do care to do it in an agile fashion, testing new formats and location types to make sure we develop a network that is fit for the future of retail."}, {"path": "tedlium_11226.wav", "duration": 10.74, "text": "We also saw a net benefit from price and raw material input costs as we continue to reinforce our pricing discipline, particularly in the less differentiated segments of the market."}, {"path": "tedlium_11227.wav", "duration": 10.74, "text": "You can see this come through this quarter in our software and services areas in which we have targeted efficiencies and cost improvements to help improve the financial performance of our carrier business."}, {"path": "tedlium_11228.wav", "duration": 10.74, "text": "and that most of our pads are new horizontal production that can tolerate the higher line pressures. I'd also like to point out that when you look at our enhanced completion results,"}, {"path": "tedlium_11229.wav", "duration": 10.74, "text": "The company expressly disclaims any obligation to update or revise publicly any forward-looking statements whether as a result of new information, future events or otherwise."}, {"path": "tedlium_11230.wav", "duration": 10.74, "text": "we're doing things a little different this quarter. And I will start by explaining a bit more about the changes to our reporting before we begin with our discussion of our results."}, {"path": "tedlium_11231.wav", "duration": 10.74, "text": "Australia is currently our best-performing international market and we are seeing a number of signs that our acquisition of Perisher will allow us to outperform broader industry trends."}, {"path": "tedlium_11232.wav", "duration": 10.74, "text": "that they can actually do that using either the bank remittance engine which is powered through the company or to go to RemitGuru and to send money."}, {"path": "tedlium_11233.wav", "duration": 10.74, "text": "As part of the excess servicing investment, we took a majority stake in a newly formed vehicle that owns or is committed to purchase excess servicing cash flows and servicing advances"}, {"path": "tedlium_11234.wav", "duration": 10.74, "text": "In our Florida SMI Specialty Plan, we've seen continued modest benefits from our operational and medical action plans and have recently added some new initiatives."}, {"path": "tedlium_11235.wav", "duration": 10.74, "text": "with many installations that we anticipate will continue to benefit us in 2016. Our offshore production fluids business also had a strong year,"}, {"path": "tedlium_11236.wav", "duration": 10.74, "text": "National Highway Traffic Safety Administration proposed new regulations last July in an effort to further reduce fuel consumption and carbon dioxide and other greenhouse gas emissions."}, {"path": "tedlium_11237.wav", "duration": 10.74, "text": "than they were prior to the downturn. So we've not even caught back up to the level of age profile that existed prior to the downturn."}, {"path": "tedlium_11238.wav", "duration": 10.74, "text": "Part of our commitment to operational excellence is having the right cost structure across our company. In response to the downturn in activity, we accelerated these cost-reduction efforts."}, {"path": "tedlium_11239.wav", "duration": 10.74, "text": "Yes. I mean, I think in 2019, you'll see something that will probably look -- start to look to you like manufacturing mode as that infrastructure becomes available to us."}, {"path": "tedlium_11240.wav", "duration": 10.74, "text": "So thanks for trusting us. I look forward to talking to you for the first quarter of 2016 when we meet again in April. Have a good day."}, {"path": "tedlium_11241.wav", "duration": 10.74, "text": "We don't expect a material change in our anticipated full year production as a result of the schedule change. We are still projecting 10,000 to 11,000 BOE per day of production"}, {"path": "tedlium_11242.wav", "duration": 10.74, "text": "So in the first few years, it will account for a significant amount of our recurring revenue. But even though I may sell more"}, {"path": "tedlium_11243.wav", "duration": 10.74, "text": "If the market won't give you proper credit at these multiples, why not use your free cash flow, along with another turn of leverage, and buy back 35% to 40% of your market cap"}, {"path": "tedlium_11244.wav", "duration": 10.74, "text": "Right, but is it -- these folks, is it just their reputational risk that they're putting on the line? Is it"}, {"path": "tedlium_11245.wav", "duration": 10.74, "text": "Now I will briefly cover what we're currently seeing in the market. We continue to see strong demand for our lending solutions from middle market companies across a wide variety of industries."}, {"path": "tedlium_11246.wav", "duration": 10.74, "text": "I don't know the actual makeup of them. I do know there were a couple of reasonably large ones in there. Marc Fox is furiously thumbing through some things right now while I'm talking to you."}, {"path": "tedlium_11247.wav", "duration": 10.74, "text": "With respect to the exceptional diamonds, when comparing the current quarterly results to Q2 2017, we sold a smaller volume at a lower average price."}, {"path": "tedlium_11248.wav", "duration": 10.74, "text": "Despite the best efforts of both parties to resolve these issues, we have agreed that the best course of action is to terminate the existing mining contract as of December 31 this year."}, {"path": "tedlium_11249.wav", "duration": 10.74, "text": "your thoughts on whether the change in the external environment has any impact on that pace of run rate and when and how you expect that to slow."}, {"path": "tedlium_11250.wav", "duration": 10.74, "text": "However, we took decisive action to restructure our business for the future and restore market confidence. These changes to our business had a significant impact on our bottom line,"}, {"path": "tedlium_11251.wav", "duration": 10.74, "text": "Revenue for the early Discovery business also increased in the first quarter. We are beginning to see the benefits of the actions that we have taken to improve the performance of this business."}, {"path": "tedlium_11252.wav", "duration": 10.74, "text": "we have seen and felt was worth the risk of turning into a RIDEA structure and"}, {"path": "tedlium_11253.wav", "duration": 10.74, "text": "And then you also have favorable shipping rates that are really a combination of oil prices and the availability of ships."}, {"path": "tedlium_11254.wav", "duration": 10.74, "text": "while growing our core lines of business and our branches and advancing our direct loop oil sales model. Overall, we look forward to a strong conclusion to this year."}, {"path": "tedlium_11255.wav", "duration": 10.74, "text": "Now this could be an aberration but that will certainly, if that continues, it will make it much more difficult for us to get to the high end of the range."}, {"path": "tedlium_11256.wav", "duration": 10.74, "text": "and by far the largest national distributor for specialty construction projects serving 14 trades, we have a unique understanding of our customers' needs,"}, {"path": "tedlium_11257.wav", "duration": 10.74, "text": "And just for everybody's benefit, if you think of it -- many of the aroma chemicals that are sold in the market are building blocks to what we would describe as a fragrance compound."}, {"path": "tedlium_11258.wav", "duration": 10.74, "text": "We are always reviewing appropriate accretive opportunities and believe if the right opportunity comes along, they will be a way to further accelerate growth."}, {"path": "tedlium_11259.wav", "duration": 10.74, "text": "But as we look forward toward the end of the year or perhaps early in '18, there is additional heavy production coming online, the Fort Hills project."}, {"path": "tedlium_11260.wav", "duration": 10.74, "text": "And further, we'll continue our commitment to bring additional diversity into our business. One example of this is our joining of the 30% Club, which entails a commitment between our Chairman,"}, {"path": "tedlium_11261.wav", "duration": 10.74, "text": "that we pulled resources from other areas on to focus on that particular program, and that's a great example of those 2 working together to really drive an improvement in our business."}, {"path": "tedlium_11262.wav", "duration": 10.74, "text": "we've selected our go-forward enterprise technology platform as the Microsoft Dynamics 365 platform and Hitachi Solutions as our systems integrator and our implementation partner."}, {"path": "tedlium_11263.wav", "duration": 10.74, "text": "and remind you that the statements made by management and the information contained in this presentation that constitute forward-looking statements are based on management's current expectations."}, {"path": "tedlium_11264.wav", "duration": 10.74, "text": "the financial highlights deck or as presented on the call to reflect the impact of circumstances or events that arise after the date the forward-looking statements are made."}, {"path": "tedlium_11265.wav", "duration": 10.74, "text": "I know these managers personally, and I believe they understand our company, what made it successful in the past and what will make it successful in the future."}, {"path": "tedlium_11266.wav", "duration": 10.74, "text": "and also in terms of the materials, there is an already existing value chain there, which we would be able to leverage. So as a result of that, we do think that there would be various benefits."}, {"path": "tedlium_11267.wav", "duration": 10.74, "text": "Before opening it up for your questions, I would like to call your attention to the announcement we made yesterday about the promotion of David Jukes, President"}, {"path": "tedlium_11268.wav", "duration": 10.74, "text": "expenses grew 31%. As expected, expense growth ramped up from the first half levels as we stepped up technology as well as Europe integration spending."}, {"path": "tedlium_11269.wav", "duration": 10.74, "text": "that we could have there. But it's -- we would look at all of those things. And obviously, there could be some synergies. With the right one, you could actually get in different basins, if you wanted to do that from a market standpoint."}, {"path": "tedlium_11270.wav", "duration": 10.74, "text": "And which is now operating with still some bugs, but it's operating. So what we have learned is the fact that it does expose us to more customers."}, {"path": "tedlium_11271.wav", "duration": 10.7399375, "text": "But if it were to play out in a positive way, obviously, that would be a very big opportunity. So those, as we look forward, I think are the most significant opportunities to describe."}, {"path": "tedlium_11272.wav", "duration": 10.71, "text": "you would see a quarter where we can show growth and we actually see growth in almost all our markets, only exception if Nordic."}, {"path": "tedlium_11273.wav", "duration": 10.71, "text": "are very keen to see all of the analysis that were prespecified because all of those relate to the total burden of disease,"}, {"path": "tedlium_11274.wav", "duration": 10.71, "text": "As we stated throughout the prior year, while our fiscal 2016 results were disappointing as a direct result of the record warm temperatures throughout the heating season,"}, {"path": "tedlium_11275.wav", "duration": 10.71, "text": "This growth was driven primarily by the acquisition of 3 hospitals acquired in 2015 and includes the allocation of additional marketing expenses"}, {"path": "tedlium_11276.wav", "duration": 10.71, "text": "they now have an account with Mogo. So if we offer them a competitive rate, typically lower, a better experience to get a mortgage and a significantly better experience once they have the mortgage, you can see the potential for this product."}, {"path": "tedlium_11277.wav", "duration": 10.71, "text": "that will significantly increase our capacity, but also, will assure that all of the latex products that we"}, {"path": "tedlium_11278.wav", "duration": 10.71, "text": "our portfolio companies continue exhibit a very strong underlying growth and results. In our private equity segment, our portfolio companies, taken as a whole,"}, {"path": "tedlium_11279.wav", "duration": 10.71, "text": "Technology is moving very quickly. And I think, for us, we want to stay best positions to help organizations sift through the noise and manage all of that complexity."}, {"path": "tedlium_11280.wav", "duration": 10.71, "text": "I don't think I'm going out on a limb to say that valuations are typically tied to market performance and supply."}, {"path": "tedlium_11281.wav", "duration": 10.71, "text": "We made strong steps forward in the fourth quarter, and we'll continue our efforts in 2019 and 2020 as we complete elements of our multiyear plan on a monthly basis going forward."}, {"path": "tedlium_11282.wav", "duration": 10.71, "text": "And at the same time, we have to sort of juggle with the contracts so that we have sufficient contracts, but we cannot overcome it. Because otherwise we won't be able to deliver."}, {"path": "tedlium_11283.wav", "duration": 10.71, "text": "The -- I think we're going to go back and look at what our 3-year results look like with the team over the next couple of months."}, {"path": "tedlium_11284.wav", "duration": 10.71, "text": "That is ours to own. As it relates to activity, we're not going to become a fitness company. So we believe the integration of"}, {"path": "tedlium_11285.wav", "duration": 10.71, "text": "Our strength is broad-based and driven by strong execution across all aspects of our global business from social engagement to member experience,"}, {"path": "tedlium_11286.wav", "duration": 10.71, "text": "And regarding the answer to the second question, it was included in the answer to the first question, because you asked about the loan-to-deposit ratio. And as I mentioned in my presentation,"}, {"path": "tedlium_11287.wav", "duration": 10.71, "text": "seem to continue to rally as the capital markets continue to rally pretty briskly. And it's back to the point that not only are"}, {"path": "tedlium_11288.wav", "duration": 10.71, "text": "On our last call, we discussed the agreement we had entered into, but not yet closed, to acquire 2 terminals"}, {"path": "tedlium_11289.wav", "duration": 10.71, "text": "I think they did a lot of different testing on a lot of different well spacing. And as is typical of our strategy,"}, {"path": "tedlium_11290.wav", "duration": 10.71, "text": "Sure. So those assets are what I would say are the traditional wireless and outdoor advertising assets. So"}, {"path": "tedlium_11291.wav", "duration": 10.71, "text": "I think the most noteworthy is being a public partnership and all these K-1s wasn't the most inexpensive exercise in the world."}, {"path": "tedlium_11292.wav", "duration": 10.71, "text": "Before the call begins, I would like to remind everyone that certain statements made in the course of this call, which are not historical facts, including statements concerning future financial and operating performance,"}, {"path": "tedlium_11293.wav", "duration": 10.71, "text": "And from what we have already heard from President Duque and his newly appointed cabinet, we feel the government understands that the private sector has carried the heavier part"}, {"path": "tedlium_11294.wav", "duration": 10.71, "text": "we've mapped out the time table and understand the cost and the impact on Dynasil, we have converted the Dynasil liabilities -- Xcede liabilities to equity"}, {"path": "tedlium_11295.wav", "duration": 10.71, "text": "Going back to some of your earlier commentary and some of the specifics around price deflation, I guess those expectations aside, I mean clearly I think you probably experienced heightened"}, {"path": "tedlium_11296.wav", "duration": 10.71, "text": "to make sure that we're looking at all the people, the processes, the tools that we need on each and every one of those programs, that we've got the leadership talent."}, {"path": "tedlium_11297.wav", "duration": 10.71, "text": "I am confident in our new vision and strategy for improvement and have strong conviction in the path we are on and our ability to manage in both up and down economic cycles."}, {"path": "tedlium_11298.wav", "duration": 10.71, "text": "It's just a smaller market. So any kind of addition to it can move that. But more importantly, I believe that what they did to the capacity market,"}, {"path": "tedlium_11299.wav", "duration": 10.71, "text": "on the quarterly earnings per share numbers, this profit before tax number is a good way to compare periods. The next set of numbers I'll mention does include the impact of the Tax Reform Act."}, {"path": "tedlium_11300.wav", "duration": 10.71, "text": "Yes, there's a lot to that question. You got a lot of moving parts going on there. So obviously, you're getting some improvement. If you look back over the last couple of years, you've had these costs that we're investing against. So"}, {"path": "tedlium_11301.wav", "duration": 10.71, "text": "I am also pleased to announce that the number of units on trial at the end of the first quarter is at record levels and has continued to grow through the early part of the second quarter."}, {"path": "tedlium_11302.wav", "duration": 10.71, "text": "and that then we had seen a little bit of fill-in from those orders that were held back in the first quarter. So we had very strong orders and particularly in the industrial distribution channel,"}, {"path": "tedlium_11303.wav", "duration": 10.71, "text": "A third organic growth component over the medium to longer term will be to explore international expansion opportunities where those make good sense for our portfolio."}, {"path": "tedlium_11304.wav", "duration": 10.71, "text": "the wettest January and February around -- but as we always tell our operating teams, we have to be able to function because somewhere else in the world, you get good weather."}, {"path": "tedlium_11305.wav", "duration": 10.71, "text": "that a lot of companies, given that the first major act was initiated by the discount, so the conversation all become around the cap,"}, {"path": "tedlium_11306.wav", "duration": 10.71, "text": "on some of that, which drives it. So it depends on the origination mix as well, but certainly that's probably on the upper end. So from a conservative standpoint, I'd back it down a little bit."}, {"path": "tedlium_11307.wav", "duration": 10.71, "text": "In today's call, I'll start by providing our perspective on the market environment and our business performance. Then, I'll lay out our views on the industry's future growth drivers"}, {"path": "tedlium_11308.wav", "duration": 10.71, "text": "These numbers are highlighted on Slide 4. From a software revenue mix perspective, we continue to see more of our software moving toward subscription business model offerings."}, {"path": "tedlium_11309.wav", "duration": 10.71, "text": "is frankly more a product of a multi-year push on our part to convince institutions that preferreds really are a strategy they should consider."}, {"path": "tedlium_11310.wav", "duration": 10.71, "text": "for different reasons. At the end of the day, we use volume points for qualification levels. And in different markets for different products, we want to test the ability to change those qualification levels"}, {"path": "tedlium_11311.wav", "duration": 10.71, "text": "and regulatory filing requirements. The legislation and market trends are shifting from documents to data, driving a significant increase in data handling and ingestion."}, {"path": "tedlium_11312.wav", "duration": 10.71, "text": "which is where we've kind of been operating for a period of time. And there's always another rainy day out there. So I guess that's why I think"}, {"path": "tedlium_11313.wav", "duration": 10.71, "text": "Occupancy in some markets is related to new product deliveries, which, of course, helps drive rents but contributes to vacancy in the near term."}, {"path": "tedlium_11314.wav", "duration": 10.71, "text": "Our new collaborations with Lilly and Alexion provide significant opportunities to expand our pipeline programs into new disease areas, organs and targets,"}, {"path": "tedlium_11315.wav", "duration": 10.71, "text": "The power and performance of our GalXC platform and the strength of our team have enabled us to enter these collaborations with the field leaders in the respective therapeutic domains."}, {"path": "tedlium_11316.wav", "duration": 10.71, "text": "These negatives were partially offset by our efforts to hold down raw material-related costs and streamlined production processes."}, {"path": "tedlium_11317.wav", "duration": 10.71, "text": "We expect a positive effect from increased sales over the full year as our spending on advertising begins to yield results."}, {"path": "tedlium_11318.wav", "duration": 10.71, "text": "We can -- for a period of time, see higher margins as our hedging gains step in and boost that margin. We have lower sales dollars from the translation, but higher margins."}, {"path": "tedlium_11319.wav", "duration": 10.71, "text": "Importantly, we achieved the record origination volume while maintaining our strict underwriting standards as evidenced by the portfolio's credit performance, which remained excellent during the quarter."}, {"path": "tedlium_11320.wav", "duration": 10.71, "text": "Finally, we are continuing to develop new products for both consumer and military applications and are pushing our technology to the next level,"}, {"path": "tedlium_11321.wav", "duration": 10.71, "text": "As you perfectly know, H1 always sees an unfavorable trend in terms of working capital, which will revert back by the end of the year."}, {"path": "tedlium_11322.wav", "duration": 10.71, "text": "Also, please note that the slides of the webcast presentation are user controlled, and that means that by clicking on the proper button, you can move to the next or to the previous slide on your own."}, {"path": "tedlium_11323.wav", "duration": 10.71, "text": "is the unique combination of privilege management, application control and credential theft blocking, which is strong protection against the potential crippling damage from ransomware attacks."}, {"path": "tedlium_11324.wav", "duration": 10.71, "text": "and to have a robotics platform that then complements what I truly believe is the best knee system in the marketplace allows us now some differentiation versus everybody else."}, {"path": "tedlium_11325.wav", "duration": 10.71, "text": "And so I don't want to say that there isn't that. I don't see it as being material. But the fact is, that when you have a leader leave, there's some level of disruption that you've got to assume is happening."}, {"path": "tedlium_11326.wav", "duration": 10.71, "text": "Our emerging markets also performed well, a reflection of our focused organic growth initiatives in these higher-growth countries."}, {"path": "tedlium_11327.wav", "duration": 10.71, "text": "Except as required by law, Nuvo is under no obligation to update any forward-looking statements discussed today and investors are cautioned not to place undue reliance on these statements."}, {"path": "tedlium_11328.wav", "duration": 10.71, "text": "assess and do as we move forward. So I don't think it's a statement of saying we won't do something if we have the right market. It's really just a statement of saying we don't need to do anything."}, {"path": "tedlium_11329.wav", "duration": 10.71, "text": "was derived from third-party sources and has not been independently verified. And accordingly, the company makes no representations or warranty to -- with respect to this information."}, {"path": "tedlium_11330.wav", "duration": 10.71, "text": "is healthy and solid. We are now starting in the month of August to market the business as now open. We waited until we got all the kinks out of the way."}, {"path": "tedlium_11331.wav", "duration": 10.71, "text": "an arbitration or anything like that. It's a good spirit and I think it will be a positive impact for us. I really hope to be able to tell you something by the end of this semester."}, {"path": "tedlium_11332.wav", "duration": 10.71, "text": "We estimate a net benefit of roughly 12 percentage points from tax reform as the 14 point reduction in corporate tax rates will be partially offset by some deductions that were eliminated."}, {"path": "tedlium_11333.wav", "duration": 10.71, "text": "We opened one new store and relocated one store during the fourth quarter of fiscal 2018 compared to opening no new stores and one relocation in the fourth quarter"}, {"path": "tedlium_11334.wav", "duration": 10.71, "text": "Besides delivery, we have broad reach and depth in the digital space. Starting in June, we have now extended our digital social gifting on the Alipay platform,"}, {"path": "tedlium_11335.wav", "duration": 10.71, "text": "Whilst the last impact of the latter was recovered through insurance, promotional participation had to be curtailed with Spekko market share sacrificed during the period."}, {"path": "tedlium_11336.wav", "duration": 10.71, "text": "and David Silvious, our Chief Financial Officer. In just a moment, I'll turn the call over to David to summarize our financial results and then to Ben to review our business activity during the second quarter."}, {"path": "tedlium_11337.wav", "duration": 10.71, "text": "Please refer to yesterday's earnings release and our most recent filings with the SEC for additional information regarding uncertainties that could affect our future financial results."}, {"path": "tedlium_11338.wav", "duration": 10.71, "text": "The second point is to select and concentrate on existing businesses and create new business domains. We will also pursue growth in non-air businesses."}, {"path": "tedlium_11339.wav", "duration": 10.71, "text": "It is important to understand that the first quarter group results were in line with our expectations and incorporated into prior earnings guidance."}, {"path": "tedlium_11340.wav", "duration": 10.71, "text": "because I would hate to -- I personally wouldn't do, if I was on the board of your company, do a financial transaction, knowing that 2017 could be really big"}, {"path": "tedlium_11341.wav", "duration": 10.71, "text": "We expect to continue to grow our Materials business relatively insulated from semiconductor CapEx and pricing cycles."}, {"path": "tedlium_11342.wav", "duration": 10.71, "text": "Among those predictable sources will be the new long-term supply and transportation agreement with NOVA that was highlighted in our April announcement of the Geismar sale."}, {"path": "tedlium_11343.wav", "duration": 10.71, "text": "and then dial up the DM. That's normally the fastest way to destroy customer confidence and the fastest way to destroy value at the same time. So I think we've actually sequenced it in that way."}, {"path": "tedlium_11344.wav", "duration": 10.71, "text": "and as we have mentioned in the past, even though we are well positioned financially, we will not stray from our consistent and prudent approach to any future acquisition."}, {"path": "tedlium_11345.wav", "duration": 10.71, "text": "While we already have a series of patients waiting to be enrolled in these trials, there is one significant aspect to be considered for patient safety."}, {"path": "tedlium_11346.wav", "duration": 10.71, "text": "significant revenue growth across a number of our practices. And as you start seeing that revenue growth, the demand on having skilled project managers"}, {"path": "tedlium_11347.wav", "duration": 10.71, "text": "Also in the region, India rebounded nicely in Q4 as we successfully worked through disruption caused in the third quarter due to the implementation of the new GST system."}, {"path": "tedlium_11348.wav", "duration": 10.71, "text": "where we believe we are very well positioned to expand our core technologies into a greater breadth of applications to meet the growing and increasingly complex requirements of our customers."}, {"path": "tedlium_11349.wav", "duration": 10.71, "text": "For a detailed discussion of some of the risks and contingencies that could cause our actual performance to differ significantly from our present expectations,"}, {"path": "tedlium_11350.wav", "duration": 10.71, "text": "So the -- our approach is that whatever is the technology that is in vogue and whatever is the one that is emerging, we need to invest and create talent for it"}, {"path": "tedlium_11351.wav", "duration": 10.71, "text": "We expect growth in the foodservice channel to remain strong, with growth coming from many of our brands, such as HORMEL BACON 1 and HORMEL FIRE BRAISED Meats."}, {"path": "tedlium_11352.wav", "duration": 10.71, "text": "We do have some additional costs that do creep into the system, for lack of a better word, in the fourth quarter related to some of the promotional activities we do and in-store activities around the holidays"}, {"path": "tedlium_11353.wav", "duration": 10.71, "text": "In particular, we are starting to see stronger than initially expected benefits from steel, resin and other base metals manifest themselves in our income statement results."}, {"path": "tedlium_11354.wav", "duration": 10.71, "text": "We put people, processes and technology in place to enable us to expand from a local community bank into a larger regional community bank with a broad multistate footprint."}, {"path": "tedlium_11355.wav", "duration": 10.71, "text": "We have consolidated redundant office space. We will further reduce operating costs as we continue to consolidate back office functions, clearing operations and overhead departments,"}, {"path": "tedlium_11356.wav", "duration": 10.71, "text": "We are notably using this approach to more effectively address customer needs in areas where we have significant growth potential, particularly appliances and mobile phones."}, {"path": "tedlium_11357.wav", "duration": 10.71, "text": "On today's call, I will review highlights for the second quarter related to sales, operations and product development, Efrain will review our second quarter financial results and discuss our full year guidance,"}, {"path": "tedlium_11358.wav", "duration": 10.71, "text": "And while we had been improving the operating margin each year in the business, we fell behind in the trajectory needed to achieve our 2018 targets."}, {"path": "tedlium_11359.wav", "duration": 10.71, "text": "We felt very, very good about the progress we saw in terms of revenue growth as well as continuing to control expenses and to create operating leverage."}, {"path": "tedlium_11360.wav", "duration": 10.71, "text": "improve cross-selling and refining our operational efficiencies to improve service levels. Now let's talk about the business units."}, {"path": "tedlium_11361.wav", "duration": 10.71, "text": "In order to compete, operators are reallocating investments away from traditional IT and back-office solutions into new solutions that leverage and optimize new technologies"}, {"path": "tedlium_11362.wav", "duration": 10.71, "text": "As we enter the second quarter, we continue our work to roll out SAP in Asia and Europe to go live during the early part of the next calendar year, and we look to leverage the investments we have already made"}, {"path": "tedlium_11363.wav", "duration": 10.71, "text": "I think it's misleading to give percentages because when you have 30 to 40 patients, 3 or 4 patients can make a big difference in percentages. But I think if"}, {"path": "tedlium_11364.wav", "duration": 10.71, "text": "And to then to do it, where you're also having to bring into the workforce over 1,000 workers and train them in railcar manufacturing,"}, {"path": "tedlium_11365.wav", "duration": 10.71, "text": "Okay. That's helpful. And then was there any additional restructuring that occurred in Energy in the third quarter"}, {"path": "tedlium_11366.wav", "duration": 10.71, "text": "By leveraging predictive analytics, we identified and targeted customers with a higher propensity to purchase our brake and tire offerings, which led to a notable increase in conversion."}, {"path": "tedlium_11367.wav", "duration": 10.71, "text": "I think if you look at the way kind of the quarter set up, we were up about 7 in October, up about 7 in November, down 6 adjusted for days in December,"}, {"path": "tedlium_11368.wav", "duration": 10.71, "text": "Consumer demand measured in volume grew by less than 1%, even allowing for growth in new channels, which are not picked up in most of the market data."}, {"path": "tedlium_11369.wav", "duration": 10.71, "text": "Furthermore, I assure you that our response is thoughtful and has been done in a manner that maintains our ability to capitalize on stronger demand when we come out of this cyclical trough."}, {"path": "tedlium_11370.wav", "duration": 10.71, "text": "Our cautionary statement is shown on Page 2 of today's presentation deck. We will make some forward-looking statements during today's call that refer to estimates and plans."}, {"path": "tedlium_11371.wav", "duration": 10.71, "text": "What you're seeing is the effect of the headwind from our fine chemicals business and the pharma, which has been down significantly this year."}, {"path": "tedlium_11372.wav", "duration": 10.71, "text": "increase in our international revenue was primarily due to increased equipment revenue as a result of the build-out of the company's distribution footprint,"}, {"path": "tedlium_11373.wav", "duration": 10.71, "text": "We look forward to building upon this momentum throughout 2016 as we feel there are several ongoing opportunities that will further improve this segment adjusted operating ratio in coming quarters."}, {"path": "tedlium_11374.wav", "duration": 10.71, "text": "Last year, we did have the Iroquois sale that we were aware of at the beginning of the year. Obviously, that's behind us and we've not contemplated any other onetime items going forward."}, {"path": "tedlium_11375.wav", "duration": 10.71, "text": "Further projects within Sensile are in strong discussion at the moment. I think it's too early to disclose, to talk about"}, {"path": "tedlium_11376.wav", "duration": 10.71, "text": "and then it will be of valuable input for the patient, the doctors, the insurance companies and so on to make something out of this data."}, {"path": "tedlium_11377.wav", "duration": 10.71, "text": "We are committed to disciplined capital allocation and focused on returns that will allow us to operate within our own cash flow, shifting the target from top line production growth"}, {"path": "tedlium_11378.wav", "duration": 10.71, "text": "and cash flow, as you all know for Keller, is always very second-half weighted. Having said that, the first half number is lower than we would normally expect and that reflects the very strong growth in the second quarter."}, {"path": "tedlium_11379.wav", "duration": 10.71, "text": "which continues to benefit from the strength of our unique portfolio of rapid endotoxin and bioburden testing systems and microbial identification services."}, {"path": "tedlium_11380.wav", "duration": 10.71, "text": "I think that private equity just has a ton of money that they have to put to work. So -- but I think it's more focus -- more a matter of discipline on the part of"}, {"path": "tedlium_11381.wav", "duration": 10.71, "text": "is a similar rate to the entire group. So would that be a number that you would be, perhaps be a little bit disappointed at in terms of what it would imply for those"}, {"path": "tedlium_11382.wav", "duration": 10.71, "text": "A fourth proof point, we continue generating considerable cost savings for our customers through our technical expertise on the plant floor."}, {"path": "tedlium_11383.wav", "duration": 10.71, "text": "Their operational footprint should afford us more opportunities for growth and drive more waste streams into our network, particularly in the Gulf and Midwest going forward."}, {"path": "tedlium_11384.wav", "duration": 10.71, "text": "and the loss of revenue from certain customers, in connection with the replacement of our Telstar 12 satellite with our Telstar 12 VANTAGE satellite early last year."}, {"path": "tedlium_11385.wav", "duration": 10.71, "text": "Within our retail offerings broadly, we focused on leasing to businesses that offer immediate needed services that are less susceptible to Amazon-type competition,"}, {"path": "tedlium_11386.wav", "duration": 10.71, "text": "this is a -- really a combination of several key things going on in the group right now. Number one, it's a fundamental and continued strategic shift."}, {"path": "tedlium_11387.wav", "duration": 10.71, "text": "Gas Transmission business is now expected to grow slightly faster, driven by projects like the Humber Estuary, with spend on compressors to comply with environmental legislation."}, {"path": "tedlium_11388.wav", "duration": 10.71, "text": "We expect continued growth in our business outpacing our underlying markets, which will be led by our focus on highly engineered innovative products that provide high-quality solutions to our customers."}, {"path": "tedlium_11389.wav", "duration": 10.71, "text": "look at is, we look at both sides and we have a pretty clear matrix of what any individual deal will do to strengthen"}, {"path": "tedlium_11390.wav", "duration": 10.71, "text": "One way Ralph made this company great was by being an entrepreneur, and that's what we're going back to. We're going to move fast to begin executing our growth strategy,"}, {"path": "tedlium_11391.wav", "duration": 10.71, "text": "Our target customer, the upscale and fashion conscious homeowner, relies on these professionals for assistance, and we need to assure these professionals that we can serve them and their customers properly."}, {"path": "tedlium_11392.wav", "duration": 10.71, "text": "Our balance sheet remained very solid, and we continue to have significant flexibility to capitalize on attractive investment opportunities when they meet our return requirements."}, {"path": "tedlium_11393.wav", "duration": 10.71, "text": "I personally attended this event and came away highly impressed by the talent level, energy and commitment displayed by our EMEA sales leadership team."}, {"path": "tedlium_11394.wav", "duration": 10.71, "text": "In the first quarter, our volumes declined 3%. A portion of that decrease was expected as we executed our margin management and pruning actions."}, {"path": "tedlium_11395.wav", "duration": 10.71, "text": "including accounts receivable net of allowance classified as noncurrent that are owed from a customer that recently filed a voluntary petition for reorganization."}, {"path": "tedlium_11396.wav", "duration": 10.71, "text": "with the current demand we have and the current demand we see going forward, not so much in the fourth quarter mostly because of the seasonality, we would be in better shape."}, {"path": "tedlium_11397.wav", "duration": 10.71, "text": "In discussing our results during the call, references to adjusted EBITA and adjusted EBIT margins exclude restructuring and integration costs as well as other special items."}, {"path": "tedlium_11398.wav", "duration": 10.71, "text": "We remain focused on growing our portfolio through acquisitions. We have gained considerable experience successfully integrating a number of acquisitions over the past year"}, {"path": "tedlium_11399.wav", "duration": 10.71, "text": "and we are also as I mentioned previously to John that we would expect with this backlog that half is to be covered in this quarter and about half in the next quarter."}, {"path": "tedlium_11400.wav", "duration": 10.7099375, "text": "While we still have a couple of years to complete our integration, the actions required in the first year of building a new organization and culture are the hardest and most sensitive."}, {"path": "tedlium_11401.wav", "duration": 10.6800625, "text": "As such, the company revised its estimate of revenue for each open and -- each open technical and professional case downward to the actual cash collection experience."}, {"path": "tedlium_11402.wav", "duration": 10.6800625, "text": "We have had success with the sale of a Puerto Rico GO claim, the sale of a portfolio of private equity holdings we had in our investment portfolio"}, {"path": "tedlium_11403.wav", "duration": 10.68, "text": "as well as some of the folks in other regions are getting pretty excited for us about being able to offer some of these products. Because we've got manufacturing in other parts of the world, that also"}, {"path": "tedlium_11404.wav", "duration": 10.68, "text": "I want to focus your attention on the fact that the numbers you saw were new policy only for home and motor, so that doesn't take into account the churn rates and so on."}, {"path": "tedlium_11405.wav", "duration": 10.68, "text": "these 3 transactions are just a few examples of the types of investments that Carlyle pursues, which quite frankly, few firms have the expertise or resources to complete."}, {"path": "tedlium_11406.wav", "duration": 10.68, "text": "As you certainly have read in the newspapers through the last weeks, OEMs are currently starting significant savings programs and also head count reduction."}, {"path": "tedlium_11407.wav", "duration": 10.68, "text": "However, as mortgage banking activity is rebounding, as we plan to pay off our old senior notes in September at substantial interest savings,"}, {"path": "tedlium_11408.wav", "duration": 10.68, "text": "and it's more kind of revamping manufacturing strategy in the Colorado facility, taking a hard look at our -- that Culture business and what to do with the Culture business"}, {"path": "tedlium_11409.wav", "duration": 10.68, "text": "Thank you, Mary Lou. Let me provide a summary of our go-forward growth strategy. The 3 key components of our strategy revolve around optimizing our entire portfolio,"}, {"path": "tedlium_11410.wav", "duration": 10.68, "text": "Thank you, Glenda. To conclude. We believe there are few companies in our sector that can match our combination of profitability, growth and visibility."}, {"path": "tedlium_11411.wav", "duration": 10.68, "text": "we had indicated that within a period of 18 months, which is by September 18th, we would be double the number which is at about 16 million-plus customers."}, {"path": "tedlium_11412.wav", "duration": 10.68, "text": "Because of the proactive measures we took to right size our energy businesses during the downturn, we feel positioned to support new activity as drilling and rig counts continue to improve."}, {"path": "tedlium_11413.wav", "duration": 10.68, "text": "We work towards allocating capital to where we think the best opportunities are. So I don't even want to speculate as to whether it'll go higher or lower. It's very dependent on the opportunity set."}, {"path": "tedlium_11414.wav", "duration": 10.68, "text": "Now that the standardized model is applied, our banks will see a relief that offsets the impact of the net deductions to CET1, including the full deduction of previously grandfather goodwill."}, {"path": "tedlium_11415.wav", "duration": 10.68, "text": "be able to compare first quarter with second quarter. But to compare to what happened in the past, there is some differences that do not change bottom line, but do change your ratios."}, {"path": "tedlium_11416.wav", "duration": 10.68, "text": "This was our most difficult comparison, was in April. I think the industry also probably had some more challenging comparisons. So I think from a cheer perspective, it might not be as off as it may first appear."}, {"path": "tedlium_11417.wav", "duration": 10.68, "text": "And we have had limited pricing in place and have been executing on a front-loaded development pipeline, all those have been factors that we expected and were know."}, {"path": "tedlium_11418.wav", "duration": 10.68, "text": "Before we wrap up this recording, I'd like to share some recent recognition Erie earned from 2 national organizations for our commitment to employee health and wellness."}, {"path": "tedlium_11419.wav", "duration": 10.68, "text": "it having to get at its cost situation and get its footprint the way it needed to be. So over time, I think you actually did see a shift. And so while you might not see a top line that's moved as much as you had expected,"}, {"path": "tedlium_11420.wav", "duration": 10.68, "text": "and a challenging books market for us this Christmas with no big genre to match the humor book titles or adult coloring books of the previous 2 years."}, {"path": "tedlium_11421.wav", "duration": 10.68, "text": "very high. So if you look at most of our suppliers, I won't name names, you can do it yourself, but they've had a very good run the last few years."}, {"path": "tedlium_11422.wav", "duration": 10.68, "text": "Our renewed emphasis on the consumer finance market in Germany to boost margins and reduce our concentration on mortgages led to a 5% growth in new customer volumes."}, {"path": "tedlium_11423.wav", "duration": 10.68, "text": "This was of particular importance following the Rice acquisition as we have the opportunity to significantly lengthen many wells, even though those wells had already been spud by EQT or Rice."}, {"path": "tedlium_11424.wav", "duration": 10.68, "text": "really want to be holding in cash abroad or some amount that's required by regulators. So essentially, how much of that cash is liquid? And then, how do you think about the use cases for that?"}, {"path": "tedlium_11425.wav", "duration": 10.68, "text": "I'd like to remind you that this conference call will contain forward-looking statements which are based on the expectations, estimates and projections of management as of today."}, {"path": "tedlium_11426.wav", "duration": 10.68, "text": "Before turning to guidance, I'd like to take a few minutes to provide some additional color on the change in the revenue recognition accounting standard we adopted in the first quarter."}, {"path": "tedlium_11427.wav", "duration": 10.68, "text": "With that in mind, we're about to kick off a 20-city road show to both existing and potential new clients so that our leadership team can meet with senior executives, including myself,"}, {"path": "tedlium_11428.wav", "duration": 10.68, "text": "which is -- and in the southern portions of Europe and maybe elsewhere that we're going that may be beneficial to us. So I view it as an opportunity,"}, {"path": "tedlium_11429.wav", "duration": 10.68, "text": "So none of those products are benchmarked products that people can get elsewhere for lower fees. I've maintained from the start that based on"}, {"path": "tedlium_11430.wav", "duration": 10.68, "text": "record of last year. And so this is something that we consider to be quite positive, especially as the overall market was expanding."}, {"path": "tedlium_11431.wav", "duration": 10.68, "text": "because people are close to getting their bonus payments at most institutions and would stay for that period of time. But we're in deep discussions with several people and we continue to move forward."}, {"path": "tedlium_11432.wav", "duration": 10.68, "text": "We have also thoroughly examined a variety of strategic acquisitions and other opportunities in order to expand our offering and enhance our platform to grow."}, {"path": "tedlium_11433.wav", "duration": 10.68, "text": "I will close with a look at weather on Slide 10. We saw cooler than normal conditions during the second quarter, but the weather turned hot in July."}, {"path": "tedlium_11434.wav", "duration": 10.68, "text": "and then pick right up back on our growth trajectory as we move into '17. So we still feel really good about the business. It's the right business for us to be in."}, {"path": "tedlium_11435.wav", "duration": 10.68, "text": "to be successful in that market, we will need to build both the online business and the physical store"}, {"path": "tedlium_11436.wav", "duration": 10.68, "text": "When you get the culture right, like Northwest obviously has, their team members drive customer loyalty and, subsequently, provides exceptional organic growth."}, {"path": "tedlium_11437.wav", "duration": 10.68, "text": "overs and unders. 1,800 tonnes a day is the design we feel pretty comfortable with that. We would have to do some other things to really think about trying to increase that underground."}, {"path": "tedlium_11438.wav", "duration": 10.68, "text": "We'll continue to use transition assistance, and I think we continue to explore how to use that in a really targeted, creative way to attract the type of advisers"}, {"path": "tedlium_11439.wav", "duration": 10.68, "text": "So it is a new line of business of the group, and we assume -- and we understand it will be very promising. And we expect to grow"}, {"path": "tedlium_11440.wav", "duration": 10.68, "text": "This obviously has a consequence on the growth, because if you focus yourself on one area and more or less exclude other growth areas, it does show in the growth."}, {"path": "tedlium_11441.wav", "duration": 10.68, "text": "It is a parallel process of improving our overall performance, which will ensure that nothing will weigh us down as we move forward."}, {"path": "tedlium_11442.wav", "duration": 10.68, "text": "trying to decide if we have other short-term investments that could add that or potentially even some reduction as we find more efficient ways to do it, because that's what we're trying to"}, {"path": "tedlium_11443.wav", "duration": 10.68, "text": "That concludes my prepared remarks, and I'll turn the call back over to Bill. Thank you, Vince. PPL continues to be a very compelling investment opportunity within our sector,"}, {"path": "tedlium_11444.wav", "duration": 10.68, "text": "and will probably continue to dilute that by the acquisitions that we make. But the rebound of oil and gas will"}, {"path": "tedlium_11445.wav", "duration": 10.68, "text": "Our portfolio diversity and financial strength provide us strong organic investment growth opportunities, which we believe can generate high returns."}, {"path": "tedlium_11446.wav", "duration": 10.68, "text": "At this point I am happy to report that we have completed the organizational restructuring. We have some merchants still transitioning, but for all intents and purposes, we are complete."}, {"path": "tedlium_11447.wav", "duration": 10.68, "text": "So we thought it is better. Our relationship will continue, and it's a very small investment, which we are selling to JMA so that they become 100% owners."}, {"path": "tedlium_11448.wav", "duration": 10.68, "text": "We charge 2% and 20% for owning Main Street, which is internally managed. Wouldn't it -- it would be reasonable for us to have to tell our new shareholders"}, {"path": "tedlium_11449.wav", "duration": 10.68, "text": "changes with respect to the way in which we're managing capital as a result of the rescission of our designation, and we would also not expect any impact on the businesses."}, {"path": "tedlium_11450.wav", "duration": 10.68, "text": "we believe we are in a unique position, driven by having the largest PXI product portfolio in the industry, a differentiated software position for creating modular systems,"}, {"path": "tedlium_11451.wav", "duration": 10.68, "text": "that we would love to be at. And just a word about the multifamilies and the payoffs and so forth -- the idea of having this line of business, these business development officers"}, {"path": "tedlium_11452.wav", "duration": 10.68, "text": "Compared with the year ago quarter, average price per acre increased significantly due to a much smaller proportion of sales for Montana where Timberland prices are regionally lower."}, {"path": "tedlium_11453.wav", "duration": 10.68, "text": "We expect 2016 to be a more robust year for revenue growth because of the strength of demand combined with enhanced strategies for partnering with clients."}, {"path": "tedlium_11454.wav", "duration": 10.68, "text": "working in excellent conditions and receiving fair remuneration. In addition, we continue to invest in staff and leadership development, notwithstanding the tough economic environment,"}, {"path": "tedlium_11455.wav", "duration": 10.68, "text": "We anticipate returning to revenue and earnings growth in the second quarter as we benefit from increased microphone sales into Ear and IoT markets"}, {"path": "tedlium_11456.wav", "duration": 10.68, "text": "As we have previously noted, many of the departed employees worked in redundant cost centers or offices that generated little to no revenue or even lost money trading."}, {"path": "tedlium_11457.wav", "duration": 10.68, "text": "in some ways, it might sound a bit simplistic, but it's a bit of the DuluxGroup playbook that we played out in other businesses, first and foremost, in our Paints business then we applied it to the Selleys business"}, {"path": "tedlium_11458.wav", "duration": 10.68, "text": "Consumer demand has been very strong, and we've consistently and quickly sold out of our allocations. Our market share was very strong in all our markets around the world."}, {"path": "tedlium_11459.wav", "duration": 10.68, "text": "And we are increasing our full year targets for restructuring costs in order to further align our costs with challenging market conditions. In short,"}, {"path": "tedlium_11460.wav", "duration": 10.68, "text": "Factors that could cause actual results to differ are included here as well as in our SEC filings. With that, I'll turn the call over to Greg Garland for our opening remarks."}, {"path": "tedlium_11461.wav", "duration": 10.68, "text": "So good progress, and we remain committed to delivering our medium-term goal of improving organic operating margin to mid- to high teens."}, {"path": "tedlium_11462.wav", "duration": 10.68, "text": "I would note that we are using current spot rates to forecast the translation impact on both revenue and operating profit as well as unhedged transaction exposure."}, {"path": "tedlium_11463.wav", "duration": 10.68, "text": "So firstly, your perception on that. And then secondly, can you talk about how you see your position in the market over the next 2 years considering new capacity coming online how you"}, {"path": "tedlium_11464.wav", "duration": 10.68, "text": "Moving on to Page 3. Over the last several years, we've remained steadfast in our commitment to affordability, while working to stabilize enrollment and prepare our institution for the future,"}, {"path": "tedlium_11465.wav", "duration": 10.68, "text": "accelerate. We've built out a very strong inventory of permits this year in multiple areas that could address any type of pipeline concerns or that. So"}, {"path": "tedlium_11466.wav", "duration": 10.68, "text": "We pull together a number of different assumptions based off of our knowledge of what's happening in the market, what's happening with cost and number of claims that have come in."}, {"path": "tedlium_11467.wav", "duration": 10.68, "text": "Through the past year, we have made a number of significant announcements and changes to continue to provide an experience of a lifetime for our employees, which is how we provide an experience of a lifetime to our guests,"}, {"path": "tedlium_11468.wav", "duration": 10.68, "text": "This momentum is the very fuel that drives our reason for being, to make you better by delivering performance solutions you never knew you needed and can't imagine living without."}, {"path": "tedlium_11469.wav", "duration": 10.68, "text": "I commit to continuing Xcel's long tradition of delivering on our financial objectives and growing earnings in a low-risk, transparent and predictable manner."}, {"path": "tedlium_11470.wav", "duration": 10.68, "text": "Our revenue guidance assumes no tuition price increase. We anticipate that revenue per student will continue to grow year-over-year as a result of the growth of our ground traditional student body."}, {"path": "tedlium_11471.wav", "duration": 10.68, "text": "In other words, whenever we have a per-unit economics which is negative and you scale it up that you would have a much larger loss,"}, {"path": "tedlium_11472.wav", "duration": 10.68, "text": "So yes, I think you can anticipate that the last half of the year, probably not as strong as the first half because the first half was exceptionally strong but still within the range of what we had indicated to you earlier."}, {"path": "tedlium_11473.wav", "duration": 10.68, "text": "The increase in the effective rate was mainly due to reversals of tax contingencies in the prior year quarter from the favorable settlement of state income tax examinations."}, {"path": "tedlium_11474.wav", "duration": 10.68, "text": "for a few more quarters. If the business remains low for an extended period of time, then we would have to go ahead and"}, {"path": "tedlium_11475.wav", "duration": 10.68, "text": "I'm going to spend a few minutes sharing what we've learned. I'm also going to be transparent about where we see the Pinnacle business landing its legacy fiscal year versus its stand-alone targets."}, {"path": "tedlium_11476.wav", "duration": 10.68, "text": "that providing new anatomical and physiological information to the physician at the point of care will lead to significantly better decisions."}, {"path": "tedlium_11477.wav", "duration": 10.68, "text": "I think the punchline, by the way, if you step back and think about sort of the trades because we've gotten a few questions here on the balance sheet with more interest than we've ever had before. If you step back and think about"}, {"path": "tedlium_11478.wav", "duration": 10.68, "text": "a lot of focus on the operating capital of the business, and we've made a lot of structural improvements on inventory but also on collection."}, {"path": "tedlium_11479.wav", "duration": 10.68, "text": "Specific management actions achieved include the acquisition of a portfolio of equity lease mortgages and further benefits from the full implementation of the MG-ALFA system."}, {"path": "tedlium_11480.wav", "duration": 10.68, "text": "And therefore, the mix of equity, debt and cash resources and the debt structure of the acquired company would have to be taken into account"}, {"path": "tedlium_11481.wav", "duration": 10.68, "text": "Based on these learnings, we have fine-tuned our construct approach and have already designed, manufactured and begun testing new candidate vectors in the Pompe mouse model."}, {"path": "tedlium_11482.wav", "duration": 10.68, "text": "resources that are expected to fund the company into 2021. We are excited about our multiple upcoming milestones and look forward to sharing additional updates with you as our work progresses."}, {"path": "tedlium_11483.wav", "duration": 10.68, "text": "The management team and I are moving fast, at a pace consistent with the significant shifts in our food and beverage market environment."}, {"path": "tedlium_11484.wav", "duration": 10.68, "text": "As I mentioned, the strong underlying growth in unpaid GTV has enabled us to keep the average cost under control despite the natural transition to more paid links via mobile devices."}, {"path": "tedlium_11485.wav", "duration": 10.68, "text": "amplified in the fourth quarter of this year. And everybody is trying to figure out how did they do that well and still satisfy the needs of the consumer. So the game is really inventory productivity."}, {"path": "tedlium_11486.wav", "duration": 10.68, "text": "In Oklahoma, we team with over 20 producer customers, and we are one of the only midstream companies that has commercial agreements in place with the vast majority of major producers."}, {"path": "tedlium_11487.wav", "duration": 10.68, "text": "make sure that when we're operating the custody, we also do accounting. When we do accounting, we also do administration, so on and so forth. And so that's maybe a little bit of flavor as to where you have strength."}, {"path": "tedlium_11488.wav", "duration": 10.68, "text": "there's been a lot of work done, and I keep coming back to Beacon, I keep coming back to what we're doing in terms of consolidating operations that we have not realized the full promise from."}, {"path": "tedlium_11489.wav", "duration": 10.68, "text": "I was hoping you can expand on what some of those other noncore assets could be? Or maybe to approach the question a little differently, what do you currently view as core?"}, {"path": "tedlium_11490.wav", "duration": 10.68, "text": "that is included in our general and administrative expense. This presentation of adjusted EBITDA aligns us with many of our peers that add back"}, {"path": "tedlium_11491.wav", "duration": 10.68, "text": "we have been working hard on click and bounce rates or also page views, and constantly analyze visit heat maps to improve website elements and shopping modules in real time."}, {"path": "tedlium_11492.wav", "duration": 10.68, "text": "And I emphasize, we are not an Agency REIT. We just find this sector to be the most attractive in the current tight rate global risk environment. And so we've have allocated our capital in this direction."}, {"path": "tedlium_11493.wav", "duration": 10.68, "text": "We are clearly benefiting from a strong automotive and off-highway market situation and are capitalizing on our leading position in engine cooling to win business in electric vehicle space."}, {"path": "tedlium_11494.wav", "duration": 10.68, "text": "You have heard elements of our progress in each of these areas throughout our remarks this morning. And you can be sure we are focused on fully executing on this agenda to our full potential"}, {"path": "tedlium_11495.wav", "duration": 10.68, "text": "Latin America was impacted by regularization driven outflows in anticipation of the upcoming automatic information exchange."}, {"path": "tedlium_11496.wav", "duration": 10.68, "text": "on time and under budget, which is one of the key characteristics of the company because by doing that we achieve a"}, {"path": "tedlium_11497.wav", "duration": 10.68, "text": "like to welcome you to Entercom Communications earnings conference call. This call is being recorded. A replay will be available on our company website shortly after the conclusion of today's call"}, {"path": "tedlium_11498.wav", "duration": 10.68, "text": "plus the improvement in the underlying business as well and it's meant to be inclusive. And, Brian, what we can say is, both sides, Orlaco and the base business are both"}, {"path": "tedlium_11499.wav", "duration": 10.68, "text": "We are committed to this program and fully expect it to help us upgrade our overall sales team and help us minimize future issues dealing with the minimum wage and overtime."}, {"path": "tedlium_11500.wav", "duration": 10.68, "text": "the market is still welcoming our properties for what they are rather than what we were going to make them and we see better and better looks from better and better tenants."}, {"path": "tedlium_11501.wav", "duration": 10.68, "text": "in 2018. With the globalization of content and the worldwide recognition of our brand and products, we are seeing significant demand for our products around the world."}, {"path": "tedlium_11502.wav", "duration": 10.68, "text": "year's first quarter due to a decline in new maintenance and support revenue related to lower product sales in the current quarter compared to the first quarter of the prior year."}, {"path": "tedlium_11503.wav", "duration": 10.68, "text": "We're in a position where we're still able to execute on all four of those. Unfortunately, our stock price has been at a level where we felt it was an extremely good"}, {"path": "tedlium_11504.wav", "duration": 10.68, "text": "for us in that. Once we get back to flight status and put a couple of good launches behind us, then I think we'll start to see some"}, {"path": "tedlium_11505.wav", "duration": 10.68, "text": "We believe that the recording of PPA may give a fair assessment for the revaluation of assets post acquisition from a balance sheet perspective."}, {"path": "tedlium_11506.wav", "duration": 10.6500625, "text": "as well as Hydro One in Ontario, has put our subsidiaries in the forefront of business opportunities that may arise in these key markets."}, {"path": "tedlium_11507.wav", "duration": 10.65, "text": "The remaining changes in working capitals were due to fluctuations in commodity prices and the timing of settlement of physical commodity contracts."}, {"path": "tedlium_11508.wav", "duration": 10.65, "text": "So turning to Slide 3. Canadians have primarily relied on their banks and credit unions to help them manage their financial lives. Yet, while the banks enjoy record profits, many Canadians struggle financially."}, {"path": "tedlium_11509.wav", "duration": 10.65, "text": "off of services margins in Q4, and that's been a clear goal of ours since we figured out what we're doing here. As we look into next year,"}, {"path": "tedlium_11510.wav", "duration": 10.65, "text": "In another continuation of our comments from last quarter's earnings call, we are seeing a healthy focus from both existing portfolio companies and financial sponsors"}, {"path": "tedlium_11511.wav", "duration": 10.65, "text": "if we get the right opportunity, that we'd consider selling those to help fund an acquisition into an area that we consider to be more core to us today. So we have a lot of different"}, {"path": "tedlium_11512.wav", "duration": 10.65, "text": "there's risk levels of everything we need to do to get to that kind of a 20% run rate. Some of the things like avocados have already come down, so that's going to happen. You're already going to see"}, {"path": "tedlium_11513.wav", "duration": 10.65, "text": "To simplify, I'd suggest there are a few interrelated market themes which have impacted valuations, all of which have become more visible to the market recently"}, {"path": "tedlium_11514.wav", "duration": 10.65, "text": "I think we are set up to do a lot of different things, which has been our goal. We spent a lot of money to do this and haven't charged the shareholders to do it."}, {"path": "tedlium_11515.wav", "duration": 10.65, "text": "We spent the time trying to understand how to do it, what would move it, and we just came to the conclusion that despite the revenue growth, we couldn't make that profitable revenue growth."}, {"path": "tedlium_11516.wav", "duration": 10.65, "text": "consumers on the value of products that are available at a dealership. And by doing that, you actually say there is a sound logical compelling reason"}, {"path": "tedlium_11517.wav", "duration": 10.65, "text": "the impact on consumer confidence of tightening lending conditions and the negative wealth effect of falling property prices, particularly in Sydney and Melbourne."}, {"path": "tedlium_11518.wav", "duration": 10.65, "text": "I will immediately update you if any further progress is made on our initiatives. This concludes my presentation on our financial results."}, {"path": "tedlium_11519.wav", "duration": 10.65, "text": "The company assumes no obligation to update any forward-looking statements made during this call. Now I will turn the call over to Paul for his remarks."}, {"path": "tedlium_11520.wav", "duration": 10.65, "text": "and having a positive impact on our customers. Now I'd be remiss to promise an overnight reversal of trend because quite candidly, there is no such thing to do the job right and make it stick."}, {"path": "tedlium_11521.wav", "duration": 10.65, "text": "Thanks, Katherine. My comments today will be focused on our second quarter financial results and the related performance drivers. The detailed financial data and results have been included in today's press release."}, {"path": "tedlium_11522.wav", "duration": 10.65, "text": "And while we've been public for less than 4 years, we've witnessed the evolution of this model for public shareholders since the first firms in our industry began going public over 10 years ago."}, {"path": "tedlium_11523.wav", "duration": 10.65, "text": "However, based on recent news, we're hopeful that this difficult situation will be resolved without further bloodshed and in a diplomatic way."}, {"path": "tedlium_11524.wav", "duration": 10.65, "text": "a portion of the trial and now 50%, 50% data confirming what we saw in the first quarter. That information is intriguing to payers and to prescribers as well"}, {"path": "tedlium_11525.wav", "duration": 10.65, "text": "These units are a meaningful investments in the heart of our operation and should drive the many benefits we have previously discussed, including a reduction in our short-term rental needs over time."}, {"path": "tedlium_11526.wav", "duration": 10.65, "text": "we have the fundamentals right. We can do this kind of management. What's more is that we need to pay more attention to the human factor."}, {"path": "tedlium_11527.wav", "duration": 10.65, "text": "It's just not happening. It is my estimate that raw material prices will only go up. If you see"}, {"path": "tedlium_11528.wav", "duration": 10.65, "text": "high selectivity, resulting in lower side effects and ability to be taken with food and drink that uniquely addresses unmet needs among the patients being treated with competitive products."}, {"path": "tedlium_11529.wav", "duration": 10.65, "text": "as a fully integrated solution. Salesforce Lightning opens up a whole new set of integration possibilities, and Five9 is at the forefront of innovation on this new platform."}, {"path": "tedlium_11530.wav", "duration": 10.65, "text": "I've discussed already many of the underlying metrics and other expectations in our 2018 outlook. However, here are a few other items that may assist you in your modeling."}, {"path": "tedlium_11531.wav", "duration": 10.65, "text": "So together, just to summarize, I'll turn it over to Daphne, just in a moment. I think that all of these efforts and initiatives, highlight our broad commercial organization and our capabilities"}, {"path": "tedlium_11532.wav", "duration": 10.65, "text": "our global clinical development and regulatory affairs teams, and our science and research teams, and of course throughout our patient advocacy focus."}, {"path": "tedlium_11533.wav", "duration": 10.65, "text": "at a certain level and they don't change next year, then we have no charges. So it's fully dependent upon where we finish"}, {"path": "tedlium_11534.wav", "duration": 10.65, "text": "what is the right price to pay and how does that impact their shareholders. And so I would say different people have different answers"}, {"path": "tedlium_11535.wav", "duration": 10.65, "text": "due most notably to the pension settlement charge I mentioned earlier, which really has no impact on cash flow as you move through the balance of the cash flow statement."}, {"path": "tedlium_11536.wav", "duration": 10.65, "text": "and you'll see the key drivers in the sales bridge in just a moment. But in summary, higher selling prices and the impact of acquisitions more than offset a slight decline in volume."}, {"path": "tedlium_11537.wav", "duration": 10.65, "text": "with regard to the acquisition of new complex. The entire Hungarian construction industry is currently in an unusually active phase."}, {"path": "tedlium_11538.wav", "duration": 10.65, "text": "One example of how we're doing this is integrated materials solutions, where we can combine multiple processes together, typically within a single system."}, {"path": "tedlium_11539.wav", "duration": 10.65, "text": "mean, you're absolutely right, we so far have had no benefit from the contract. If I could write a contract that would allow me to define the attachment points at the end of the year, I would absolutely choose that one."}, {"path": "tedlium_11540.wav", "duration": 10.65, "text": "Upon completion of the projects in the pipeline and the closing of the Zenium transaction, the size of our portfolio will be more than 4 million colocation square feet."}, {"path": "tedlium_11541.wav", "duration": 10.65, "text": "The Brazilian government recently changed regulations on opening and operating distance learning in the country. The approval process for launching online facilities was streamlined,"}, {"path": "tedlium_11542.wav", "duration": 10.65, "text": "This call will include forward-looking statements that involve risk factors that could cause ST's results to differ materially from management's expectations and plans."}, {"path": "tedlium_11543.wav", "duration": 10.65, "text": "there are significantly more major civil works projects hitting the bid pipeline, than we have the physical ability to man."}, {"path": "tedlium_11544.wav", "duration": 10.65, "text": "So that's the strategy. We're really excited to have them. And specifically to what the market is looking for today, I would just say to you that people are looking for sort of every dollar they can get."}, {"path": "tedlium_11545.wav", "duration": 10.65, "text": "things like court judgments. But the goal has been achieved and we count on upholding that level."}, {"path": "tedlium_11546.wav", "duration": 10.65, "text": "integration between the teams on the field is performing very well. All this will contribute to the success of this acquisition."}, {"path": "tedlium_11547.wav", "duration": 10.65, "text": "Particularly when we're talking about a robotic system, we want to roll this out in a safe and effective manner. We want to make sure that we have the right training that goes along with it, and we want to learn as we go."}, {"path": "tedlium_11548.wav", "duration": 10.65, "text": "First of all, nothing that's happening right now would change our opinion or aggressiveness or stance on diversification."}, {"path": "tedlium_11549.wav", "duration": 10.65, "text": "almost entirely outside capital, a very small amount of our capital dedicated to it because to produce the size and scale of the projects we want to get involved in, we don't think that's"}, {"path": "tedlium_11550.wav", "duration": 10.65, "text": "As I've said on the third quarter call, we've undertaken a review of the company timed around the annual planning process with the goal of prioritizing opportunities to strengthen the firm."}, {"path": "tedlium_11551.wav", "duration": 10.65, "text": "We now have a healthy and growing pipeline of OPTIX and Lavante opportunities as clients seek better tools and services to provide insights"}, {"path": "tedlium_11552.wav", "duration": 10.65, "text": "those markets. And we know those markets. We can read the numbers like everybody else. We probably know the markets better than anybody else because of the time we spend with our customers."}, {"path": "tedlium_11553.wav", "duration": 10.65, "text": "In materials and polymer science, we experienced strong demand from the consumer electronics industry as they broadened their product offerings and need assistance with the use of new materials."}, {"path": "tedlium_11554.wav", "duration": 10.65, "text": "on. Are there any trends that you're seeing that you would be able to share or perhaps attach rates in regard to these new offerings?"}, {"path": "tedlium_11555.wav", "duration": 10.65, "text": "Therefore, activity and inventory will build, particularly in the first quarter, and there will be fewer wells brought online in the first half of the year compared to the second half."}, {"path": "tedlium_11556.wav", "duration": 10.65, "text": "the resulting liquidity crunch put huge pressure on consumers and on wholesalers in the fourth quarter. The effects of this will continue to be felt for a while yet."}, {"path": "tedlium_11557.wav", "duration": 10.65, "text": "Before handing the call over to Antonio, let me remind you that this call is being webcast. A replay of the webcast will be made available shortly after the call for approximately 1 year."}, {"path": "tedlium_11558.wav", "duration": 10.65, "text": "that a government entity will have entered into an agreement with a private company to finance and construct a correctional facility that is to be leased and operated by the government."}, {"path": "tedlium_11559.wav", "duration": 10.65, "text": "to work with our distributors in emerging markets like Colombia, where we have grown our distributor network to ensure we have the scale to deliver on our mainstream spirits agenda."}, {"path": "tedlium_11560.wav", "duration": 10.65, "text": "wires from the roof, et cetera. And then the second one is how it is right now, how -- the trials that we have done. We have done already 2 trials. We have"}, {"path": "tedlium_11561.wav", "duration": 10.65, "text": "And then just a couple of other kind of nuance things, nothing really to read into that. But in the fourth quarter, we do expect to close another branch,"}, {"path": "tedlium_11562.wav", "duration": 10.65, "text": "that we're in the process of working on the final steps of closing. But I would say that these families continue to be willing to engage in discussions,"}, {"path": "tedlium_11563.wav", "duration": 10.65, "text": "We'll wrap up the discussion of the quarter with earnings per share. On the left side of the page, you can see the reconciliation from reported to adjusted."}, {"path": "tedlium_11564.wav", "duration": 10.65, "text": "And so you can see there'll be a ramp on free cash flow over the balance of the year. We also have Q2 and Q4, are periods where we will see"}, {"path": "tedlium_11565.wav", "duration": 10.65, "text": "Separately, we are enhancing communications to owners about options that we may have available to them, should they wish to exit their timeshare ownership."}, {"path": "tedlium_11566.wav", "duration": 10.65, "text": "The other question you may have is on , what are we going to do with the 5 million shares. We're not in the business of owning our own shares. This is not what we aim to do long-term."}, {"path": "tedlium_11567.wav", "duration": 10.65, "text": "plan is basically to continue to introduce unique tests that will generate additional revenue and opportunity for us."}, {"path": "tedlium_11568.wav", "duration": 10.65, "text": "have heard that from many of our competitors. We -- in response to that, we are progressing our revenue management activities to continue to find"}, {"path": "tedlium_11569.wav", "duration": 10.65, "text": "Second, we remain on track with our Sunrise program. With a strong foundation laid in the first year, we are pleased to see benefits reflected this quarter that aligned with our expectations."}, {"path": "tedlium_11570.wav", "duration": 10.65, "text": "at the beginning of this year. We expect to drop that down in the second part of 2016. And an acquisition that we'll be making in Alaska with some additional"}, {"path": "tedlium_11571.wav", "duration": 10.65, "text": "Our focus for this call is our first quarter performance and our outlook for the remainder of the year. Thank you in advance for cooperating in this regard."}, {"path": "tedlium_11572.wav", "duration": 10.65, "text": "Our business model also continues to improve, and we look forward to the next chapter of the company's evolution and to reporting on our progress on the next quarter. So thank you all for joining us today."}, {"path": "tedlium_11573.wav", "duration": 10.65, "text": "I'd like to provide a little bit more detail on these 2 cohorts to provide further context in support of our confidence to progress the programs in both ulcerative colitis and Crohn's disease."}, {"path": "tedlium_11574.wav", "duration": 10.65, "text": "However, the development of novel therapeutic approaches has been hampered by the many different genetic and clinical subgroups of the disease and the relatively short durations of response."}, {"path": "tedlium_11575.wav", "duration": 10.65, "text": "providing us significant comfort regarding our current expectations for origination in 2019. This expected continued growth in our lower middle market portfolio,"}, {"path": "tedlium_11576.wav", "duration": 10.65, "text": "I certainly don't get wound up about whether shipping is free or not. It really comes down to what's the end price of the product for your customer and are we delivering great value or not and"}, {"path": "tedlium_11577.wav", "duration": 10.65, "text": "given this tough period and the various purchase accounting adjustments required by GAAP. In light of that complexity, we are providing an extensive earnings presentation"}, {"path": "tedlium_11578.wav", "duration": 10.65, "text": "These gateways are a fast and easy way to power and connect 5G, security, or any number of other internet of things or IoT devices."}, {"path": "tedlium_11579.wav", "duration": 10.65, "text": "As a quick update to our hedging program, we have continued to use our hedging strategy as a way to consistently offset movements in interest rates and local currencies for our European portfolio."}, {"path": "tedlium_11580.wav", "duration": 10.65, "text": "As I previously indicated, long-term care will not impact our ability to deploy capital for business investments and return to shareholders."}, {"path": "tedlium_11581.wav", "duration": 10.65, "text": "One of the characteristics that distinguishes them from many other hematology drugs on the market. Preclinical findings for both have been compelling, and we now have reached important junctures in their development."}, {"path": "tedlium_11582.wav", "duration": 10.65, "text": "Our primary objective when we went public in 2013 was to access the capital markets to fuel our growth by replicating our business model across the country."}, {"path": "tedlium_11583.wav", "duration": 10.65, "text": "To support this, we will be increasing our marketing to bring awareness of the new degree programs and the overall value proposition of a degree from our institutions."}, {"path": "tedlium_11584.wav", "duration": 10.65, "text": "announced that it's going to be applying to the NRC to extend the life of its license on a reactor here in Virginia from 40 years to 60 years."}, {"path": "tedlium_11585.wav", "duration": 10.65, "text": "This plan includes the purchase of the Thunder Spirit Wind farm expansion project, along with development and design of a large combined cycle natural gas-fired facility."}, {"path": "tedlium_11586.wav", "duration": 10.65, "text": "for the patients who should be on them, and the pharma companies that want to work with us on that basis are coming to the table and making great choices and we hope that continues."}, {"path": "tedlium_11587.wav", "duration": 10.65, "text": "obviously you expect more losses than you do on your typical vanilla deal. But here we believe as we look at the yield profiles on these investments"}, {"path": "tedlium_11588.wav", "duration": 10.65, "text": "The company issued a press release yesterday after market closed, containing financial results for the third quarter of 2016. This release is available on the company's website."}, {"path": "tedlium_11589.wav", "duration": 10.65, "text": "If you go back over the last several years, I think we've ranged primarily between the low 40s, and I think it's high as may be 50%. Okay."}, {"path": "tedlium_11590.wav", "duration": 10.65, "text": "At the brand level, we just launched will makes you family, which speaks to the hard work, hustle and grind of everyday training, the relentless effort and commitment to improving one's performance."}, {"path": "tedlium_11591.wav", "duration": 10.65, "text": "But it's not necessarily going against -- or going for each other's market share. It's what naturally should be served well by your railroad. And if you do that well, you're going to earn the opportunity to move."}, {"path": "tedlium_11592.wav", "duration": 10.65, "text": "perhaps I was being too bullish about the fourth quarter, at least with regard to FX. I thought it would be probably more neutral, and it sounds like there will still be some"}, {"path": "tedlium_11593.wav", "duration": 10.65, "text": "We have several tax planning initiatives underway to reduce the rate, but the timing and implementation of the initiatives must be sequenced appropriately in order to maximize the full benefit."}, {"path": "tedlium_11594.wav", "duration": 10.65, "text": "in a challenging environment, recognizing only negligible bad debt expense for the year and maintaining collection rates in line with our long-term averages."}, {"path": "tedlium_11595.wav", "duration": 10.65, "text": "Within the retail space, specific to the commercial and industrial segment, the combination of Noble and Champion places Calpine among the top 3 national providers by volume."}, {"path": "tedlium_11596.wav", "duration": 10.65, "text": "is really what we're trying to accomplish. So as we look at the restructuring, we're trying to make sure that we position our company that we can actually achieve cross-industry solutions"}, {"path": "tedlium_11597.wav", "duration": 10.65, "text": "faster and more agile and take advantage of the marketplace opportunities. Because we actually look at the world and think about this whole connected world that's happening and this whole Age of Intelligence. And"}, {"path": "tedlium_11598.wav", "duration": 10.65, "text": "Oil Search can offer a value package to buyers that is a differentiator. We are offering point to point sales rather than from a portfolio with a wide range of LNG spec."}, {"path": "tedlium_11599.wav", "duration": 10.65, "text": "open the calls up for your questions. Novadaq is a fully functional medical technology company now with an effective sales team"}, {"path": "tedlium_11600.wav", "duration": 10.65, "text": "as well as those detailed in our annual report on Form 10-K for the year ended December 31, 2015, and from time to time in our other filings with the Securities and Exchange Commission."}, {"path": "tedlium_11601.wav", "duration": 10.65, "text": "Ladies and gentlemen, that does conclude today's conference. Thank you all for joining."}, {"path": "tedlium_11602.wav", "duration": 10.65, "text": "The capital is really to the Delaware is the project that I just laid out in the incremental expansions that we have planned. When you look at the Midland Basin,"}, {"path": "tedlium_11603.wav", "duration": 10.65, "text": "our full year forecast. We are promoting measures for growth for next year and beyond as well. The second point regards our business strategy."}, {"path": "tedlium_11604.wav", "duration": 10.65, "text": "On Page 6, we show our GAAP results in the top 2 panels as well as our results, ex the notable items I just described, for those of you who want to see some of our underlying trends."}, {"path": "tedlium_11605.wav", "duration": 10.65, "text": "Should commodity prices improve late this year or in 2020, we foresee this as temporary and would remain disciplined to our program."}, {"path": "tedlium_11606.wav", "duration": 10.65, "text": "Loan growth fell short of our expectations as a result of lower loan originations, net higher payoff activity. However, we anticipate our loan growth trends will gradually improve in the second half of the year."}, {"path": "tedlium_11607.wav", "duration": 10.65, "text": "and a lot of that has been sold off. And so as a result of that, we do believe that we're going to -- volumes and demand will pick up as the year goes on."}, {"path": "tedlium_11608.wav", "duration": 10.65, "text": "Across it all, our bureau covers local angles requested by the news directors at our local stations rather than simply duplicating packages"}, {"path": "tedlium_11609.wav", "duration": 10.65, "text": "Before I turn the call over to Aric, I wanted to give you a recap of our TESSCO ONE event, which was held in early April. TESSCO ONE is our annual conference"}, {"path": "tedlium_11610.wav", "duration": 10.65, "text": "The new tessco.com has moved many of our key functions to the cloud, laying the foundation for more advanced functionality, which we plan to introduce later this summer."}, {"path": "tedlium_11611.wav", "duration": 10.65, "text": "Effective competitions like the 6-month contest with the Atlantis trip also helped drive momentum in the second half of the year. The result was distribution growth across the board."}, {"path": "tedlium_11612.wav", "duration": 10.65, "text": "is most of our improvements, and features, and functions and benefits, that sort of thing, are done to our system, our platform."}, {"path": "tedlium_11613.wav", "duration": 10.65, "text": "That's a great feature. It's a very expensive feature with our competitor platforms out there, if they have it at all. Many of our competitor platforms don't even offer that capability."}, {"path": "tedlium_11614.wav", "duration": 10.65, "text": "a big piece of it. And then the second piece of it is as we locked in our streaming contract for the next 2 years, we were able to take advantage of our anticipated"}, {"path": "tedlium_11615.wav", "duration": 10.65, "text": "I'll close out by making a few comments on the outlook for this year. 2018 began with very strong oil prices, which supported expansion and larger programs"}, {"path": "tedlium_11616.wav", "duration": 10.65, "text": "we do monitor that. I don't think there's anything of note that has been added to our watch list as we look at where it is today."}, {"path": "tedlium_11617.wav", "duration": 10.65, "text": "we feel like that kind of a focus is paying off, and we're seeing some results there. We're still not exactly where we would like to be, but I think we have seen parts of the operation"}, {"path": "tedlium_11618.wav", "duration": 10.65, "text": "Finally, I want to highlight one item as we look ahead into 2018. In used vehicles, there are several components that play into overall results in this area."}, {"path": "tedlium_11619.wav", "duration": 10.65, "text": "but we have not had a detailed discussion. I think what we will end up doing is going in to see them with a detailed presentation of what our financial plan looks like"}, {"path": "tedlium_11620.wav", "duration": 10.62, "text": "We are now transitioning to supply relationship with the JV based on our take-or-pay agreement for the supply by Ballard of any age to the joint venture."}, {"path": "tedlium_11621.wav", "duration": 10.62, "text": "The Americas overall growth was held down by the previously mentioned delay in a few network services engagements and the softness in the public sector multiyear contract market."}, {"path": "tedlium_11622.wav", "duration": 10.62, "text": "Allow me to speak the closing words. I want to thank all of you for joining this call. And we are very much looking forward to meeting many of you during the upcoming road shows and"}, {"path": "tedlium_11623.wav", "duration": 10.62, "text": "Thanks, Rob, and good afternoon, everyone. Our fourth quarter capped a strong year as we continue to attract new customer and as many of our existing customers grow their investments with us."}, {"path": "tedlium_11624.wav", "duration": 10.62, "text": "And then to the extent that customer, over time, is looking to migrate more workloads onto the platform and they've gotten spun up in our way of working,"}, {"path": "tedlium_11625.wav", "duration": 10.62, "text": "Most of our loss of revenue came from reference pricing due to lower prices from the biosimilars. However, we're certainly starting to see"}, {"path": "tedlium_11626.wav", "duration": 10.62, "text": "And then, just getting back to Fluid Handling for a second, if you look at the level of activity you're currently seeing in your end markets"}, {"path": "tedlium_11627.wav", "duration": 10.62, "text": "with the category and the consumer? And then the second question is when you really get out of the here and now and think about the future, disruption obviously has been coming at an accelerated pace."}, {"path": "tedlium_11628.wav", "duration": 10.62, "text": "to talk about potential seasonal patterns for next year, whether it will be like this year or like past years. But off of the back of the programs that we have"}, {"path": "tedlium_11629.wav", "duration": 10.62, "text": "And so at this stage right now, we feel pretty confident about where we are. The other thing you have to keep in mind is that we have, by and large, always very strategic"}, {"path": "tedlium_11630.wav", "duration": 10.62, "text": "First of all, we have launched a second collection within workwear. The first one was very successful and delivered to our expectations."}, {"path": "tedlium_11631.wav", "duration": 10.62, "text": "even in some of your existing regions, but maybe can you talk about how you're prioritizing some of the major new market opportunities over the next 12 to 24 months?"}, {"path": "tedlium_11632.wav", "duration": 10.62, "text": "But remember that in the first instance, the screening will likely manifest itself most in what already is a new program. So"}, {"path": "tedlium_11633.wav", "duration": 10.62, "text": "Before I open the call up for questions, I would like to take this opportunity to thank all Deluxe employees for their hard work,"}, {"path": "tedlium_11634.wav", "duration": 10.62, "text": "local oncologist as a result of using us as their reference lab. So I would say those are 3 important value proposition drivers"}, {"path": "tedlium_11635.wav", "duration": 10.62, "text": "what we classically call our product data management applications and these construction life cycle applications. Now your last point on the construction collection, I wouldn't look for anything like that soon."}, {"path": "tedlium_11636.wav", "duration": 10.62, "text": "As disclosed in our 10-Q for the first quarter, this matter arose as a result of enrollment discrepancies between our health plan in the Commonwealth in the early stages of our contract."}, {"path": "tedlium_11637.wav", "duration": 10.62, "text": "and closing our offices in the areas where we expect to have low level of activity in the near future, and we have restructured our contingent consideration obligations."}, {"path": "tedlium_11638.wav", "duration": 10.62, "text": "we originally expecting to have these acquisitions close in the beginning of December time frame and now it looks like they're going to start closing in March. So"}, {"path": "tedlium_11639.wav", "duration": 10.62, "text": "Executing our strategy will require us to invest prudently in our targeted growth areas to further diversify and strengthen our housing and lifestyle businesses."}, {"path": "tedlium_11640.wav", "duration": 10.62, "text": "actually, were down there a couple of weeks ago with couple of our board members to and we had chance to see some of it first hand, but there's clearly a lot of it down there. And that's why we put a lot of effort in there in the last 6 to 9 months."}, {"path": "tedlium_11641.wav", "duration": 10.62, "text": "and boost foreign direct investment in our country. We are supporters of Mr. Duque, and believe he will help our country grow at a faster pace than in the last few years."}, {"path": "tedlium_11642.wav", "duration": 10.62, "text": "There remains significant long-term potential unit expansion for the brand given our national infrastructure, differentiated concept"}, {"path": "tedlium_11643.wav", "duration": 10.62, "text": "would have been almost flat. The growth in container throughput was mainly driven by an ongoing positive development of Far East volumes."}, {"path": "tedlium_11644.wav", "duration": 10.62, "text": "to provide more commentary on international. But I think this was kind of a slow out of the gates for Europe in the first quarter. But we don't expect to see that continue for the balance of the year."}, {"path": "tedlium_11645.wav", "duration": 10.62, "text": "How we market that, I'm going to defer that until we get further down the road. It's premature for me to speak to that."}, {"path": "tedlium_11646.wav", "duration": 10.62, "text": "to add that piece to our puzzle. Now Dewey, that could be us hiring an individual and starting up something from scratch"}, {"path": "tedlium_11647.wav", "duration": 10.62, "text": "what is your sense of what the willingness of parents will be to enroll Type 2 patients into your study given that there is now an improved product on the market to treat them?"}, {"path": "tedlium_11648.wav", "duration": 10.62, "text": "These statements by their nature are subject to risks and uncertainties that may cause actual events or results to differ materially,"}, {"path": "tedlium_11649.wav", "duration": 10.62, "text": "So -- but we do that because it helps our cash flow. It helps us to purchase the inventory that's required for"}, {"path": "tedlium_11650.wav", "duration": 10.62, "text": "Finally, we are progressing with our integration of EXTEX, including a facility move, and remain focused on the synergy opportunities with our existing Engineered Products business."}, {"path": "tedlium_11651.wav", "duration": 10.62, "text": "beer and wine specifically and in some cases, alcohol. We believe that the grocery channel should be a robust and important part of"}, {"path": "tedlium_11652.wav", "duration": 10.62, "text": "it's in line with what I would have thought the closure of 6 facilities and the integration of these businesses would result in"}, {"path": "tedlium_11653.wav", "duration": 10.62, "text": "Before we go further, let me remind you that today's call and presentation contains a number of forward-looking statements based on current expectations, estimates and projections."}, {"path": "tedlium_11654.wav", "duration": 10.62, "text": "an ongoing strong growth as we have seen it this year. That would not be a serious statement especially due to the fact that, as I've underpinned before,"}, {"path": "tedlium_11655.wav", "duration": 10.62, "text": "In contrast to our commitment to stay focused on real assets and alternative income strategies as the most effective way to consistently delivering -- deliver alpha,"}, {"path": "tedlium_11656.wav", "duration": 10.62, "text": "offset by the impact from the removal of Camel styles associated with the FDA's not substantially equivalent decision in the fourth quarter of last year."}, {"path": "tedlium_11657.wav", "duration": 10.62, "text": "Although we are certainly pleased that our daily sales trends are improving, they still remain somewhat choppy and indicates to us that a broad market recovery will likely be slow and inconsistent."}, {"path": "tedlium_11658.wav", "duration": 10.62, "text": "So for the first quarter of next year, we will have to report on that basis. And when that happens, the accumulated SAC will be"}, {"path": "tedlium_11659.wav", "duration": 10.62, "text": "The softness in this revenue line was largely in line with our expectations, and we expect software license and hardware revenue will remain under pressure for the remainder of the fiscal year."}, {"path": "tedlium_11660.wav", "duration": 10.62, "text": "So tenders are in and being evaluated. We have submitted the evaluation report and the environmental impact assessment."}, {"path": "tedlium_11661.wav", "duration": 10.62, "text": "incremental margins are probably not as useful these days just because of all the sand everybody is pumping. But if we think about what that implies here, it looks like sort of a 60% type incremental"}, {"path": "tedlium_11662.wav", "duration": 10.62, "text": "profit level. If we look at the overall profitability of the portfolio, I will have the same comment. This quarter, especially the first 3 months of the year,"}, {"path": "tedlium_11663.wav", "duration": 10.62, "text": "to invest in growth engines that will help drive our results over the long term. Conjur strengthens our leadership position by extending our enterprise class solution deeper"}, {"path": "tedlium_11664.wav", "duration": 10.62, "text": "continue to target -- the general guidance I would give you is we would continue to target a 100% conversion or better except for the higher amount of growth capital that we invest."}, {"path": "tedlium_11665.wav", "duration": 10.62, "text": "The focus that we have is on continuing to build the quality of the businesses that we have and build adjacencies where we have,"}, {"path": "tedlium_11666.wav", "duration": 10.62, "text": "with these folks that are distracted at a much higher level. So my point is, I feel better about doing this in a homogeneous niche"}, {"path": "tedlium_11667.wav", "duration": 10.62, "text": "We are also optimistic about the opportunity to continue the improvement during the second half of the year, as we realize more of the cost savings associated with the 2 mergers."}, {"path": "tedlium_11668.wav", "duration": 10.62, "text": "our consumer business, highlighted by the record low churn rate and traction we are now starting to see with our organic growth initiatives that are leveraging our core assets."}, {"path": "tedlium_11669.wav", "duration": 10.62, "text": "I believe we still are doing the best job in the industry to hold cost down. But our industry just keeps getting hit with higher and higher cost to do business. So eventually something is going to have to give there."}, {"path": "tedlium_11670.wav", "duration": 10.62, "text": "This alignment provides stronger coordination between risk, legal and audit, all with a focus of improving our fiduciary compliance."}, {"path": "tedlium_11671.wav", "duration": 10.62, "text": "The late fourth quarter uptick in demand was especially pronounced in the pistol ammunition category. Winchester has continued to see growth in its core commercial ammunition business."}, {"path": "tedlium_11672.wav", "duration": 10.62, "text": "If you have a question, please raise your hand. The first row, please wait for the microphone, and let us know your name and affiliation before you begin your question."}, {"path": "tedlium_11673.wav", "duration": 10.62, "text": "operation between regular maintenances with no issues, then you can't guarantee that there won't be some other issue."}, {"path": "tedlium_11674.wav", "duration": 10.62, "text": "with the company almost from its very start where we were very early investors in the company and carried it all the way through to IPO. And"}, {"path": "tedlium_11675.wav", "duration": 10.62, "text": "New store revenues and credit performance continue to be in line with our expectations, which provides us with increasing confidence in our retail expansion plan."}, {"path": "tedlium_11676.wav", "duration": 10.62, "text": "the first quarter. So there was some really fourth quarter production where the revenue got pushed and the shipments' recognition got pushed into the first quarter."}, {"path": "tedlium_11677.wav", "duration": 10.62, "text": "Credit quality remains solid with lower nonperformers and very modest losses in the third quarter. For the first 9 months, we were actually in a net recovery position."}, {"path": "tedlium_11678.wav", "duration": 10.62, "text": "in the current year that will determine how much of a benefit we get from that new market tax credit award. So that would go, if we do get an award, go towards offsetting"}, {"path": "tedlium_11679.wav", "duration": 10.62, "text": "Shelby will go into more detail about our fourth quarter financial results and liquidity position. After that, we will open the call for questions."}, {"path": "tedlium_11680.wav", "duration": 10.62, "text": "This has been a strategic move on our on-premise teams as we see many new opportunities to infuse our current operations for clients with these special services."}, {"path": "tedlium_11681.wav", "duration": 10.62, "text": "on singles and that's really the only execution they know, they may go to that. So again, I think that change in the cards kind of sparked a, I would say, a welcome surprise"}, {"path": "tedlium_11682.wav", "duration": 10.62, "text": "But I think my comment earlier really related to a declining rate of order growth that we saw through the back end of the year and into Q4. And I would say that"}, {"path": "tedlium_11683.wav", "duration": 10.62, "text": "First, our history shows we have been an innovator in this industry for decades. Our IP estate is valuable since it provides us with technology that is royalty-free."}, {"path": "tedlium_11684.wav", "duration": 10.62, "text": "we have been ensured that we have a higher margin of those products. It's still a challenging business. We still have to adopt our cost. We still have to make"}, {"path": "tedlium_11685.wav", "duration": 10.62, "text": "We've made tremendous progress over the last few years in generating our own pipeline targeting unique drug target, discovered internally"}, {"path": "tedlium_11686.wav", "duration": 10.62, "text": "I'd like to thank our teams for their tireless efforts to put us back on track and ensure that we're focused most importantly on our customers and consumers."}, {"path": "tedlium_11687.wav", "duration": 10.62, "text": "We improved our sales processes to decrease our time to close new engagements. We also better segmented our software to address a larger prospective customer base with Express solutions."}, {"path": "tedlium_11688.wav", "duration": 10.62, "text": "We've taken the opportunity to improve our customer privacy program substantially on the back of this. We take the protection of customers data very seriously, and we know they do."}, {"path": "tedlium_11689.wav", "duration": 10.62, "text": "Our core target customers, which consist of complex multisystem health care providers, continue to acquire physician groups in order to better serve their patients."}, {"path": "tedlium_11690.wav", "duration": 10.62, "text": "We will continue to take a measured approach to matching our planned capacity levels with anticipated levels of demand. We are still in the process of developing our operating plan for 2018, so"}, {"path": "tedlium_11691.wav", "duration": 10.62, "text": "and I've seen hundreds of these kinds of situations and if we can demonstrate this kind of penetration and level of acceptance"}, {"path": "tedlium_11692.wav", "duration": 10.62, "text": "for countries across the world. And we think that having the distribution footprint through Pramac and allowing us to take those natural gas gen sets into that distribution footprint"}, {"path": "tedlium_11693.wav", "duration": 10.62, "text": "I will note that the weather in Southern Oregon was particularly severe, and we lost several days of harvest activity and incurred some storm damage on our property in that area."}, {"path": "tedlium_11694.wav", "duration": 10.62, "text": "they have clearly been moved by all of the letters and all of the testimonies that were sent in during the"}, {"path": "tedlium_11695.wav", "duration": 10.62, "text": "first, the legacy KCG wholesale market making and Virtu market making businesses are extremely complimentary and symbiotic, and we were mainly excited about the numerous"}, {"path": "tedlium_11696.wav", "duration": 10.62, "text": "Obviously, based upon history, we're doing a lot more in terms of straight wireless transactions than we are in entertainment, and so we're working to,"}, {"path": "tedlium_11697.wav", "duration": 10.62, "text": "In addition, we continue to invest in the Ameriprise brand. As you may have seen, we're back on the air with new advertising, and we remain at record levels of awareness."}, {"path": "tedlium_11698.wav", "duration": 10.62, "text": "that is continuing as we see them roll out into many of the international markets. And so there is pressure on price, and I'd say fairly significant pressure on price"}, {"path": "tedlium_11699.wav", "duration": 10.62, "text": "Before I move on to our 3 focus areas, let me share with you the progress we have made on our premium core beer brand, Guinness."}, {"path": "tedlium_11700.wav", "duration": 10.62, "text": "We continued the renovation of the power prestige brands in the first half, expanding the rollout of Antiquity with new packaging nationally."}, {"path": "tedlium_11701.wav", "duration": 10.62, "text": "As a result of these factors, our actual results may differ materially from those indicated or implied by such forward-looking statements. I will now turn the call over to Hal to begin."}, {"path": "tedlium_11702.wav", "duration": 10.62, "text": "Since many of our remarks today will concern our expectations for the future, they are subject to numerous risk factors as elaborated upon in our 10-K, 10-Q and other filings."}, {"path": "tedlium_11703.wav", "duration": 10.62, "text": "And whilst in the short term, they will give rise to some increased costs and disruption, we are very clear that these are the right initiatives to pursue and that they should be implemented without delay."}, {"path": "tedlium_11704.wav", "duration": 10.62, "text": "Juan will now talk you through the progress against these priorities and some of the tangible benefits our increased investment is already producing for both customers"}, {"path": "tedlium_11705.wav", "duration": 10.62, "text": "The client recognized the advantage of having the diagnostic tracer deployed with the proppant during the frac operation as opposed to traveling in a liquid phase within the frac fluid."}, {"path": "tedlium_11706.wav", "duration": 10.62, "text": "Asset quality, only good news here in the sense that the overall cost of risk of the bank in this quarter was pretty low."}, {"path": "tedlium_11707.wav", "duration": 10.62, "text": "resulted in some of the increase getting closer to the target. Yes, I mean, to put it plainly, I'm just trying to figure out is, as I'm thinking about next year, if I need to account for some kind of a catch-up"}, {"path": "tedlium_11708.wav", "duration": 10.62, "text": "As noted on Page 19 of the supplemental information, we currently have 11 new facilities under active construction and development. That, along with"}, {"path": "tedlium_11709.wav", "duration": 10.62, "text": "And sort of apropos of the first part of your question, Sheryl, that this initial wave is to go to the acute care hospitals in the bundled markets"}, {"path": "tedlium_11710.wav", "duration": 10.62, "text": "which is a key differentiator for us. If you just look at the presence we have today in the market, it's predominantly financials and fundraising"}, {"path": "tedlium_11711.wav", "duration": 10.62, "text": "selling price of polarizing film and touchscreen panels declined, and therefore revenue decreased year-on-year. Regarding core operating income."}, {"path": "tedlium_11712.wav", "duration": 10.62, "text": "Initial target to be achieved, we will continue to work very hard to achieve our initial targets. So I would hope that you'll continue to give us your support."}, {"path": "tedlium_11713.wav", "duration": 10.62, "text": "Taken together, these products will give Integra a comprehensive set of solutions for ankle fixation and arthroplasty, further differentiating us from the competition."}, {"path": "tedlium_11714.wav", "duration": 10.62, "text": "that our business leaders and our sales teams did across the whole of last year meant that we kept growing the pipeline, building the pipeline"}, {"path": "tedlium_11715.wav", "duration": 10.62, "text": "the first step is to rewrite it into the platform and so it's part of the platform. It's embedded in the platform, so that all customers can capitalize and take advantage of it,"}, {"path": "tedlium_11716.wav", "duration": 10.62, "text": "financial automation and it's something that we have not done historically, but now this is a big year. We want to put that in, and all the know-how and power and the teams we have for technology,"}, {"path": "tedlium_11717.wav", "duration": 10.62, "text": "If we feel the Intermodal division is not likely to attain this objective, we evaluate all options available to Swift. We have not made recent investments"}, {"path": "tedlium_11718.wav", "duration": 10.62, "text": "While a material percentage of our revenue is informed by markets and not in our control, we can control expenses. We will intervene further, if necessary."}, {"path": "tedlium_11719.wav", "duration": 10.62, "text": "where you can find the respective presentation available. You can control also the slide show. The replay of this event will be available soon after its end."}, {"path": "tedlium_11720.wav", "duration": 10.62, "text": "Prices are always going to be retroactive to January 1. Just out of the fact that there are so few people here at Gray"}, {"path": "tedlium_11721.wav", "duration": 10.62, "text": "if there will be some type of event or if we will get any spaces back. What I would point to is the progress that we've made on the Payless spaces that we have taken back,"}, {"path": "tedlium_11722.wav", "duration": 10.62, "text": "And we believe we have the expertise and the will to continue applying them to the different businesses. We don't believe we have reached the end of this."}, {"path": "tedlium_11723.wav", "duration": 10.62, "text": "We scored better than 84% of all participating companies. This is an excellent score when you take into account the quality of the other companies that we were benchmarked against."}, {"path": "tedlium_11724.wav", "duration": 10.62, "text": "we also continued to generate data to help increase the level of health professional awareness regarding TD in patients with neuropsychiatric disorders."}, {"path": "tedlium_11725.wav", "duration": 10.62, "text": "And we're relying on them to keep up the momentum and minimize any distractions for our customers. So that can be a big focus for us"}, {"path": "tedlium_11726.wav", "duration": 10.62, "text": "Our margin continues to benefit from a combination of operating leverage as well as some of the discrete initiatives that we spoke about at our Investor Day."}, {"path": "tedlium_11727.wav", "duration": 10.62, "text": "My point in reviewing this detailed information with you about our organization is so that you will understand that while we are changing our business strategy in a way that more closely resembles what we did years ago,"}, {"path": "tedlium_11728.wav", "duration": 10.62, "text": "and based upon our reinvestment and the price point that we offer, we really offer a unique product, both on the office and on the retail side."}, {"path": "tedlium_11729.wav", "duration": 10.62, "text": "We are currently undertaking a new zero-based budgeting process, which we expect will result in both cost savings and allow us to fund some strategic investments."}, {"path": "tedlium_11730.wav", "duration": 10.62, "text": "And I understood you correctly to one of the previous questions, that the official goal for the guidance is to improve the adjusted EBIT margin because you can't control what's coming below."}, {"path": "tedlium_11731.wav", "duration": 10.62, "text": "Given that we are making significant progress in stabilizing the cost structure of the business, our plan is to continue to invest in the infrastructure to improve operations."}, {"path": "tedlium_11732.wav", "duration": 10.62, "text": "Now I will turn the call over to Rick Vilsoet. Thank you, Steve. Except for historical information, the statements made by company management during this call may be forward-looking"}, {"path": "tedlium_11733.wav", "duration": 10.62, "text": "Now turning to each of our practice groups. Our Financial Services group recorded another quarter of strong growth, both in revenue and in contributions to earnings."}, {"path": "tedlium_11734.wav", "duration": 10.5900625, "text": "The first is to reshape our organization for success. We've put in place a new executive leadership team that possesses a demonstrated track record of success."}, {"path": "tedlium_11735.wav", "duration": 10.5900625, "text": "we go back to last year, it looked like you were anticipating some larger orders in that market. It sounded like multiple customers that didn't play out."}, {"path": "tedlium_11736.wav", "duration": 10.5900625, "text": "We don't really have a kind of total amount of acreage we'd like to have in that area. Frankly, I would take all the acres we can given the results that we've gotten there already."}, {"path": "tedlium_11737.wav", "duration": 10.59, "text": "With more than 300 patients enrolled, we believe that the ADVOCATE trial is the largest randomized controlled clinical trial of a novel drug candidate"}, {"path": "tedlium_11738.wav", "duration": 10.59, "text": "We've been testing the card out internally now for several months and are on track to launch more broadly to our members beginning this quarter. This will be a phased rollout where we continue to increase how many members are invited to get the card."}, {"path": "tedlium_11739.wav", "duration": 10.59, "text": "not one at the expense of another. I feel confident, as we go into next year, that we will be able to continue to bring in enterprise deals."}, {"path": "tedlium_11740.wav", "duration": 10.59, "text": "So Keith now reports to Patricia, and he will be able to spend virtually all of his time or his day job with customers in the field"}, {"path": "tedlium_11741.wav", "duration": 10.59, "text": "that's helpful. And then a follow-up if I may on that question. When you decided to exit the mobile business in September of '15, you talked about reducing"}, {"path": "tedlium_11742.wav", "duration": 10.59, "text": "Margin compression was more than anticipated this quarter due to lower prepayment and trust preferred security payoff income which tend to be less predictable from quarter-to-quarter."}, {"path": "tedlium_11743.wav", "duration": 10.59, "text": "Thank you all, our loyal supporters who have been with us for many years and to hell with the naysayers. This has been a wonderful 20 years, and many have been with us since we started."}, {"path": "tedlium_11744.wav", "duration": 10.59, "text": "We believe our consistent financial results year after year reflect the value of this customer focus and the strength of our business model."}, {"path": "tedlium_11745.wav", "duration": 10.59, "text": "and Citibank Colombia. While there was some volatility in the region related to trade negotiations and elections, we delivered record earnings,"}, {"path": "tedlium_11746.wav", "duration": 10.59, "text": "And then it's -- you may not see that for another quarter, another year, so there's a little bit more transactional nature to that."}, {"path": "tedlium_11747.wav", "duration": 10.59, "text": "Well, I think if you go back and read our transcripts for the last 10 quarters, we've been saying the same thing. Having said that,"}, {"path": "tedlium_11748.wav", "duration": 10.59, "text": "as they work through some of those challenges associated with the -- those deals. But we're not going to break out with specificity as we did through the first 4 quarters, nor do we with other deals that -- after we announce them."}, {"path": "tedlium_11749.wav", "duration": 10.59, "text": "allows you to price and allows you to drive margins. So the margin profile on this business is good"}, {"path": "tedlium_11750.wav", "duration": 10.59, "text": "Maybe not 20 plus percent like we were able to see last year, but we still have good, solid expectations for fall protection in this business."}, {"path": "tedlium_11751.wav", "duration": 10.59, "text": "Unfortunately, this could take well over a year to proceed. However, we're confident that we are well represented and we will update our shareholders when there is news to share."}, {"path": "tedlium_11752.wav", "duration": 10.59, "text": "Margins were also impacted by the lower industrial linings volume in the quarter. However, declines were partially offset by strong performance on the large international coating project"}, {"path": "tedlium_11753.wav", "duration": 10.59, "text": "Our current customers' are growing in their respective markets, and we are gaining new customers. Our plant floor is busier than it has been in many years."}, {"path": "tedlium_11754.wav", "duration": 10.59, "text": "And we are in advanced talks with a limited number of potential new national and international bank partners and are optimistic to"}, {"path": "tedlium_11755.wav", "duration": 10.59, "text": "In the Czech Republic and Slovakia, the margins have been falling for several years now. The construction climate is getting tenser as has been expected by us."}, {"path": "tedlium_11756.wav", "duration": 10.59, "text": "As foundry customers optimize existing capacity, they have trimmed their capital spending plans for the year. They are still pushing forward with leading-edge development,"}, {"path": "tedlium_11757.wav", "duration": 10.59, "text": "But because of the broader industry feeling towards this, if we do migrate towards higher base salaries and less incentives for branch people,"}, {"path": "tedlium_11758.wav", "duration": 10.59, "text": "It is increasingly hard to achieve that dream by purchasing a home due to stagnant wages, student debt and a lack of supply of entry-level, single-family housing."}, {"path": "tedlium_11759.wav", "duration": 10.59, "text": "They don't want to have to bring a solution in from over here, a solution in from over there and a solution -- and then assemble them together. By providing that consolidated solution and by finding some great"}, {"path": "tedlium_11760.wav", "duration": 10.59, "text": "The forecast for all income levels are unchanged. This slide shows the factors affecting full year operating income."}, {"path": "tedlium_11761.wav", "duration": 10.59, "text": "Meanwhile, although we have yet to generate the expected results in the powdered juice business, which accounted for the lion's share of our Indonesian business,"}, {"path": "tedlium_11762.wav", "duration": 10.59, "text": "on public companies to have better risk management. And companies are coming to the conclusion that they need to step up their activities and raise their game when it comes to risk management."}, {"path": "tedlium_11763.wav", "duration": 10.59, "text": "The economics were favorable for these 2 rigs as a substantial amount of the spends related to the components for these rigs were committed to prior to the downturn."}, {"path": "tedlium_11764.wav", "duration": 10.59, "text": "what we needed to do was go out and recruit additional people to draw business in for us, and that's exactly what we did. We hired 2 additional producing sales managers in the fourth quarter."}, {"path": "tedlium_11765.wav", "duration": 10.59, "text": "Relative to divestitures, which I think is really the first part of your question there, it isn't just the margin profile that we would look at. It would be really mission alignment."}, {"path": "tedlium_11766.wav", "duration": 10.59, "text": "The second piece that we talked about, we've got to launch the products that we've been openly communicating are important to the portfolio to get our reps back on full offense."}, {"path": "tedlium_11767.wav", "duration": 10.59, "text": "a lot of those contracts are based on Belvieu index. So you are correct, we are -- we have a requirement in our contracts that"}, {"path": "tedlium_11768.wav", "duration": 10.59, "text": "that they just take time to develop. We have good folks tracking multiple opportunities. We have a great technology and a great product to bring to the marketplace"}, {"path": "tedlium_11769.wav", "duration": 10.59, "text": "organizational changes we've made in the company. And you see the effects coming through even earlier than we expected with the 50 basis points operating expense"}, {"path": "tedlium_11770.wav", "duration": 10.59, "text": "Spreads continues to drag on the total growth of Food. You may remember that last year, we said that the performance of the BCS unit, the spreads unit,"}, {"path": "tedlium_11771.wav", "duration": 10.59, "text": "We have opened up one new branch during the quarter and have appointed also 2 new branch managers for new openings,"}, {"path": "tedlium_11772.wav", "duration": 10.59, "text": "So the primary focus we have now is on recurring revenue growth, and so the best way to drive better CAC ratios"}, {"path": "tedlium_11773.wav", "duration": 10.59, "text": "As Brendan stated in his remarks, we are working on opportunities in our wholesale and retail segments to better capitalize on the brand equity, while taking actions to reduce our cost structure,"}, {"path": "tedlium_11774.wav", "duration": 10.59, "text": "is one of the most, if not the most significant announcement that we've made, because it talks to the modern engineering capabilities of the company that is"}, {"path": "tedlium_11775.wav", "duration": 10.59, "text": "to drive comp. But again, growing greater market share in this market. So I have no doubt that China will be back on track very soon in terms of our comp."}, {"path": "tedlium_11776.wav", "duration": 10.59, "text": "Revenue came in below our expectations in the quarter due to slower-than-anticipated seasonal ramps with a few clients in the technology and health care industries"}, {"path": "tedlium_11777.wav", "duration": 10.59, "text": "We do have -- and in that market obviously, we do have our 48-volt initiatives, but we do have 12-volt products as well that can"}, {"path": "tedlium_11778.wav", "duration": 10.59, "text": "Low rates, excellent service levels, a strong housing market and a full complement of loan officers have combined to provide momentum in that business line."}, {"path": "tedlium_11779.wav", "duration": 10.59, "text": "Certainly, Europe has quite a few businesses that we're looking at that are -- more of them are privately owned. Some of them are divisions of larger companies."}, {"path": "tedlium_11780.wav", "duration": 10.59, "text": "With that review of key financial highlights, I ask you to turn to Slide 8, where we provide a more detailed review of our business results, beginning with our Insulation business."}, {"path": "tedlium_11781.wav", "duration": 10.59, "text": "They are not completely ramped up yet. They will continue to ramp up over this year and actually into next year to a degree. Because not only do you have to open the sales centers, you then are"}, {"path": "tedlium_11782.wav", "duration": 10.59, "text": "impact Sulzer's situation, does not impact the deal that we have in place, and does not impact the license to operate that we have from OFAC. So we've been cleared"}, {"path": "tedlium_11783.wav", "duration": 10.59, "text": "the -- you have to remember that into the business plan, most of the cash generation that were foreseen into the business plan was related to"}, {"path": "tedlium_11784.wav", "duration": 10.59, "text": "you can get on the higher end, but it's still related to price, and it's how far they drop the price, and how far you're going to go down with it. Because"}, {"path": "tedlium_11785.wav", "duration": 10.59, "text": "These statements are subject to numerous risks and uncertainties that could cause actual results to differ materially from our corporate working statements. And therefore, you should exercise caution in interpreting and relying on them."}, {"path": "tedlium_11786.wav", "duration": 10.59, "text": "I would say it's a normal characteristic of our business that customers will delay things based on larger programs. Given where we are at the moment in the cycle and suppose is the answer to the last question as well,"}, {"path": "tedlium_11787.wav", "duration": 10.59, "text": "except where it is organizationally and economically better for us to move funds between jurisdictions where we do business."}, {"path": "tedlium_11788.wav", "duration": 10.59, "text": "Over the past 6 months, the company has explored multiple refinancing alternatives to ensure we would achieve the best possible terms with the right long-term partners."}, {"path": "tedlium_11789.wav", "duration": 10.59, "text": "Productivity will continue to play a significant role in 2019 and our stage 2 initiatives are just about planned out with execution commencing in the New Year"}, {"path": "tedlium_11790.wav", "duration": 10.59, "text": "We have a very strong presence in China, and most of our business there is license compliance. So these are licenses that have been pirated. We're not really"}, {"path": "tedlium_11791.wav", "duration": 10.59, "text": "The increase is primarily attributed to a notable reduction in product costs, given the expected benefit from lower commodities, sourcing benefits from a strong U.S. dollar and other cost-reduction efforts."}, {"path": "tedlium_11792.wav", "duration": 10.59, "text": "Maybe give us some color on what your thoughts are on your production and distribution facilities going forward. And are there further opportunities to consolidate there?"}, {"path": "tedlium_11793.wav", "duration": 10.59, "text": "And then from a conversion to REIT, we expect that we will reflect the financials of the company under a REIT structure in the fourth quarter."}, {"path": "tedlium_11794.wav", "duration": 10.59, "text": "So you've got a good network effect both on core PayPal and on Venmo. And then I think what's really important, a lot of people think about the top of the funnel,"}, {"path": "tedlium_11795.wav", "duration": 10.59, "text": "there could be a cost associated with it. But then there could be a competitive advantage because that would effectively -- if in fact, there is evidence of, as you refer to dumping,"}, {"path": "tedlium_11796.wav", "duration": 10.59, "text": "for that right now. So on broadly flat capacity, which we're going to put in, from where we stand today we're seeing strong demand out there in the remainder of the year."}, {"path": "tedlium_11797.wav", "duration": 10.59, "text": "but also to change equity exposures up or down or from emerging markets to develop markets and vice versa and -- but also"}, {"path": "tedlium_11798.wav", "duration": 10.59, "text": "It does include a few months of Advance. It does include the modest impact of higher interest rates. What you're really saying is that"}, {"path": "tedlium_11799.wav", "duration": 10.59, "text": "Let me just adjust the slide because there seem to be a small issue in the presentation, I apologize for that. But"}, {"path": "tedlium_11800.wav", "duration": 10.59, "text": "Human Resources are fundamental to developing the company. By creating business value through leveraging our ingenuity and pursuit of innovation,"}, {"path": "tedlium_11801.wav", "duration": 10.59, "text": "including continued material reengineering and restructuring savings as well as fixed cost leverage from strong volume growth and the benefit of approved product mix."}, {"path": "tedlium_11802.wav", "duration": 10.59, "text": "Should one or more of these risks or uncertainties materialize, or should underlying assumptions or estimates prove to be incorrect, actual results may vary materially from those we express today."}, {"path": "tedlium_11803.wav", "duration": 10.59, "text": "it falls under. And then, just can you just quickly remind us, how many how much capital gains from the Cindat transaction you guys still have remaining to deploy in the back half of the year?"}, {"path": "tedlium_11804.wav", "duration": 10.59, "text": "In addition, during today's call, the company will refer to a slide presentation that it has made available to participants, which can be accessed in a downloadable PDF format"}, {"path": "tedlium_11805.wav", "duration": 10.59, "text": "I could theoretically end the call right there and go to questions, but I promised the team I'd walk through the rest of the slides. So bear with us. And I'm going to move to Slide 5 now, which summarizes"}, {"path": "tedlium_11806.wav", "duration": 10.59, "text": "we are seeing opportunities with quoting activity for a handful of new natural gas processing plants and feed studies for modular mid-scale LNG export facilities."}, {"path": "tedlium_11807.wav", "duration": 10.59, "text": "Importantly, as part of Tax Reform, we elected out of use in our NOLs to offset the mandatory repatriation tax in order to fully utilize our foreign tax credits."}, {"path": "tedlium_11808.wav", "duration": 10.59, "text": "So that also was a huge factor. We did look at a C corp, because we knew that a C corp would give us the most flexibility frankly of any structure, even more"}, {"path": "tedlium_11809.wav", "duration": 10.59, "text": "part of our capital outline. I'm looking into the terminals, what have we spent in the terminals? How can I be more efficient in the terminals? How can I help and give the tools to the operating guys to be able to get cars"}, {"path": "tedlium_11810.wav", "duration": 10.59, "text": "In closing, Q2 was an operational and financial success and continued evidence of our ability to efficiently manage the business in a period of sustained high growth."}, {"path": "tedlium_11811.wav", "duration": 10.59, "text": "Apart from having our own platform, which we've given to a large number of agents and billers, we will also work with banks to be able to provide"}, {"path": "tedlium_11812.wav", "duration": 10.59, "text": "Additionally, we continue to evaluate inorganic growth opportunities as well as strategic partnerships that would enhance our programs and offer incremental customer value."}, {"path": "tedlium_11813.wav", "duration": 10.59, "text": "and we've developed the deposition tools for that market and are generating very good film quality. So"}, {"path": "tedlium_11814.wav", "duration": 10.59, "text": "that is both sustainable and above the sector average and we certainly look forward to talking to all of you in coming weeks in more detail with the post results meetings."}, {"path": "tedlium_11815.wav", "duration": 10.59, "text": "is the Pinnacle asset just in a completely different place than maybe you thought it was when you agreed to the deal? Because I'm still -- I guess, I'm seeing some of the -- hearing some of the language"}, {"path": "tedlium_11816.wav", "duration": 10.59, "text": "Management may also discuss certain non-GAAP financial measures. Reconciliations of each non-GAAP financial measure to the comparable GAAP measure are included in our press release,"}, {"path": "tedlium_11817.wav", "duration": 10.59, "text": "The third theme is that we have a real opportunity to raise our visibility and awareness with executive and decision makers across the enterprise."}, {"path": "tedlium_11818.wav", "duration": 10.59, "text": "My parting words come from the music of the road during those early days of fighting our way into the market. Thank you, Mr. Springsteen, for the advice,"}, {"path": "tedlium_11819.wav", "duration": 10.59, "text": "I'm also full of pride. We have acquired and developed an extensive catalog, serving customers from family farms to port facilities and everything in between."}, {"path": "tedlium_11820.wav", "duration": 10.59, "text": "the total reactivation cost of the fleet to be as well and whether you expect all 20 of these fleets to be working by the culmination of the end of this year."}, {"path": "tedlium_11821.wav", "duration": 10.59, "text": "What we're really doing in Ithaca is we're creating essentially a microcosm of what we view the utility of the future to be."}, {"path": "tedlium_11822.wav", "duration": 10.59, "text": "Then, we're in Digital Services. We have the first year now focused on getting the right strategy in place, software-led strategy,"}, {"path": "tedlium_11823.wav", "duration": 10.59, "text": "This is a major release for a key technology priority area that provides users with a faster experience and provides us with a cutting-edge platform for future development."}, {"path": "tedlium_11824.wav", "duration": 10.59, "text": "Summing up, transformation we're pursuing in our culture and in our operations should result in a meaningful and favorable transformation in outcomes for our company and shareholders."}, {"path": "tedlium_11825.wav", "duration": 10.59, "text": "This is an area of continuous focus and improvement. However, we expect to see positive contribution from these and other activities to both our cost and quality of service this year."}, {"path": "tedlium_11826.wav", "duration": 10.59, "text": "And there's going to be opportunities that we see near term for bolt-ons and expansions that we're working on with our existing customers to add more capacity. So"}, {"path": "tedlium_11827.wav", "duration": 10.59, "text": "some others across the industry. But just want to make sure we understand just mechanically the right way to think about it between how you contract out"}, {"path": "tedlium_11828.wav", "duration": 10.59, "text": "That was for Baffinland, providing the opportunity for us to demonstrate our service abilities in complicated and tough environments. This highlights our skill set and our competitive advantage."}, {"path": "tedlium_11829.wav", "duration": 10.59, "text": "In addition, this change will enable us to improve our supply chain logistics, thereby improving efficiency and will help us reduce our investment in working capital."}, {"path": "tedlium_11830.wav", "duration": 10.59, "text": "may just require our Industrial Services folks to provide maintenance and turnaround services for them. And they're not going to be heavy waste generators. But on the other hand, we've got some chemical"}, {"path": "tedlium_11831.wav", "duration": 10.59, "text": "Rather than follow our conventional format of highlighting key accomplishments in the quarter, I would like to focus my commentary on answering the most common inquiries we have received."}, {"path": "tedlium_11832.wav", "duration": 10.59, "text": "This is the result of the acquisitions we made in mature markets, combined with the continued weakening currency situation in the high-growth markets."}, {"path": "tedlium_11833.wav", "duration": 10.59, "text": "That said, there seems to be some considerable concern in the investment community with regard to potential future transactions which Suncor might undertake."}, {"path": "tedlium_11834.wav", "duration": 10.59, "text": "We also expect a steady stream of underpinning work, anchored in part by what we are seeing in Europe, where a number of refinery projects appear to be gaining momentum."}, {"path": "tedlium_11835.wav", "duration": 10.59, "text": "It's important to note that the vast majority of these revenues, meaning greater than 90%, will shift to newer generation products with improved margins and reduced manufacturing complexities."}, {"path": "tedlium_11836.wav", "duration": 10.59, "text": "There is a smaller piece of our business on the creative tools side. We will be transitioning that in the first half of the year. As we transition that, we do expect to see gains in impressions offset by declines in price."}, {"path": "tedlium_11837.wav", "duration": 10.59, "text": "We are determined to have a close-knit, hard-working team that is brimming with positive energy, and we will continue to make the necessary changes to ensure that everyone at our company is aligned with our values."}, {"path": "tedlium_11838.wav", "duration": 10.59, "text": "Michel, you talked about filling up the pipeline more and with the launch of anti-tau, are you comfortable with the number of assets or mechanisms that you have in the Alzheimer's portfolio?"}, {"path": "tedlium_11839.wav", "duration": 10.59, "text": "was actually the highest absolute dollar growth in the history of Bell Mobility, and that was driven through the subscriber growth and the continued increase in strong average revenue per customer."}, {"path": "tedlium_11840.wav", "duration": 10.59, "text": "it sounds like we'll have more retail versus wholesale next year. I would have thought that would have been a benefit. So I guess, I'm just struggling a little bit with the idea of"}, {"path": "tedlium_11841.wav", "duration": 10.59, "text": "We undertake no obligation to update publicly or release any revisions to these forward-looking statements to reflect events or circumstances after this date or to reflect the occurrence"}, {"path": "tedlium_11842.wav", "duration": 10.59, "text": "deferred tax rates in South Africa, together with the deferred tax assets not recognized, all resulted in the increase in the overall tax rate."}, {"path": "tedlium_11843.wav", "duration": 10.59, "text": "expenditure that we flagged well in advance as we put money to work internally, extending life at our best assets and improving margins wherever possible."}, {"path": "tedlium_11844.wav", "duration": 10.59, "text": "Customers continue to value PolyOne's unique ability to offer consistency in both solid and liquid colorants across the globe."}, {"path": "tedlium_11845.wav", "duration": 10.59, "text": "but I should note that China's cross-border volumes growth continued to be strong. This was reflective of the overall trend as cross-border growth was robust around the globe."}, {"path": "tedlium_11846.wav", "duration": 10.59, "text": "And lastly, incremental investments related to ongoing growth opportunities for new product development and channel management as well as corporate initiatives tied to our strategy"}, {"path": "tedlium_11847.wav", "duration": 10.5899375, "text": "and continued expansion of our routes to market, including e-commerce, all while continuing to drive cost reduction across the enterprise."}, {"path": "tedlium_11848.wav", "duration": 10.56, "text": "For each opportunity analyzed, the company identified those responsible in each operation and the actions required to transform them into reality."}, {"path": "tedlium_11849.wav", "duration": 10.56, "text": "For the full year, we're currently expecting the change in revenue recognition will not be material to our consolidated net revenue, but this is all subject to variability in the number,"}, {"path": "tedlium_11850.wav", "duration": 10.56, "text": "The second element was we bought more protection in 2 areas of the account. Firstly, within the large lawyers and architects and engineers within specialty lines"}, {"path": "tedlium_11851.wav", "duration": 10.56, "text": "healthy consternation around the rent guidelines, Board meeting coming up in June and some of the impacts there. So maybe one, if you could provide some thoughts on what you think the outcome could be there."}, {"path": "tedlium_11852.wav", "duration": 10.56, "text": "And I think -- all I can do -- I realize the frustration that's there, all I can do is say is be patient. Our first quarter numbers will be out in about a month,"}, {"path": "tedlium_11853.wav", "duration": 10.56, "text": "Now moving on to our growth projects, where several of our projects continue to ramp up in the fourth quarter while others are in the construction phase and moving toward completion."}, {"path": "tedlium_11854.wav", "duration": 10.56, "text": "really to those 2 things. We're at that part of the cycle where it's probably about peak supply. I think we've seen some indicators that would suggest that"}, {"path": "tedlium_11855.wav", "duration": 10.56, "text": "bouncing around, not just every day, but for the past, really, since last summer. So we want to make sure that we're protecting capital while producing these returns. I would say"}, {"path": "tedlium_11856.wav", "duration": 10.56, "text": "Leveraging our global data assets has always been a strength of Equifax. We are refocusing on our speed to market and leveraging products across our global footprint."}, {"path": "tedlium_11857.wav", "duration": 10.56, "text": "And it appears we have no questions at this time. So this concludes our question-and-answers section. I would now like to turn the conference back over to management for any closing remarks."}, {"path": "tedlium_11858.wav", "duration": 10.56, "text": "In addition to the impact of a large-scale project in the financial services field and the development of My Number projects in the public sector passing their peak,"}, {"path": "tedlium_11859.wav", "duration": 10.56, "text": "so it will be necessary for us to carefully ascertain a realistic level for customer demand, both inside and outside Japan, for the next fiscal year and beyond."}, {"path": "tedlium_11860.wav", "duration": 10.56, "text": "This is a key area for us to secure that we can invest also in the future commercially in a market while being profitable."}, {"path": "tedlium_11861.wav", "duration": 10.56, "text": "As I approach my first 100 days as the CEO of Fred's Pharmacy, it is important that I share with you the vision for the company that I have shared with the board."}, {"path": "tedlium_11862.wav", "duration": 10.56, "text": "We will also be referring to certain non-GAAP financial measures. Additional information regarding these measures can be found in the slides labeled Non-GAAP Financial Information at the end of the presentation."}, {"path": "tedlium_11863.wav", "duration": 10.56, "text": "with conservative balance sheet leverage and access to a variety of attractive equity and debt options to fund the large pipeline of investment opportunities."}, {"path": "tedlium_11864.wav", "duration": 10.56, "text": "significantly less? And if so, what kind of a run rate of production across your different product lines you would expect to see in -- into the final quarter,"}, {"path": "tedlium_11865.wav", "duration": 10.56, "text": "I think if things are going to change in the future with these subscription video-on-demand platforms, if they're going to ultimately embrace the kind of measurement we can provide,"}, {"path": "tedlium_11866.wav", "duration": 10.56, "text": "We are making system changes to accommodate best practices we identified in our planning and we are working to execute these changes as quickly as possible."}, {"path": "tedlium_11867.wav", "duration": 10.56, "text": "view as being good performance, is that a fair comment? Or... Absolutely, particularly when you think of the -- as you mentioned at the start of your question, with respect to"}, {"path": "tedlium_11868.wav", "duration": 10.56, "text": "The result is that at peak utilization, we are only using 25% of our available capacity, which means that we are well positioned to not only add customers"}, {"path": "tedlium_11869.wav", "duration": 10.56, "text": "Following robust discussions with key opinion leaders, we believe there may be an opportunity to advance the development program and specifically target a higher risk population of infants"}, {"path": "tedlium_11870.wav", "duration": 10.56, "text": "further examine our international footprint, yes, we would expect both additional restructuring charges there as well as additional cost savings associated with those actions."}, {"path": "tedlium_11871.wav", "duration": 10.56, "text": "but also having special programs to make sure that the people who come in stay longer so that the attrition rate is lower than we had before."}, {"path": "tedlium_11872.wav", "duration": 10.56, "text": "Construction continues on the addition component of the development with significant advancement on the infill work and the additional floors on top of the existing structure."}, {"path": "tedlium_11873.wav", "duration": 10.56, "text": "In order to facilitate our growth through 2018 and to support our growing demand for delivery later this year, we have made some investments during the quarter."}, {"path": "tedlium_11874.wav", "duration": 10.56, "text": "as one of America's best employers in 2018. Our Pennsylvania operations were also recognized as Best Places to Work for Disability Inclusion"}, {"path": "tedlium_11875.wav", "duration": 10.56, "text": "it's hard for us to get a real read on any destocking that's going on. But anecdotally, we do think that there was some of that in the fourth quarter"}, {"path": "tedlium_11876.wav", "duration": 10.56, "text": "while benefiting from the strategic investments we've made to drive improved shareholder value. With that, I'll turn it back over to Eric for questions. Eric?"}, {"path": "tedlium_11877.wav", "duration": 10.56, "text": "Within this environment, we will focus on investing intelligently to grow the top line and offset that investment through our mix advantage and our relentless focus on cost management"}, {"path": "tedlium_11878.wav", "duration": 10.56, "text": "As part of the preparation, we intend to maintain what I refer to as our optionality with regard to the cellulite opportunity and its potential commercialization."}, {"path": "tedlium_11879.wav", "duration": 10.56, "text": "applying these benefits to their operations. I'm not going to disclose the amount. I did not do that before and I'm not going to do it now. But"}, {"path": "tedlium_11880.wav", "duration": 10.56, "text": "which more than offset the positive impact of a rise in operating lease revenues, an increase in revenue from the sale of returned leased vehicles as well as other factors."}, {"path": "tedlium_11881.wav", "duration": 10.56, "text": "We continue to see the wafer fab equipment market and Applied Materials being sustainably larger and less cyclical today than in the past."}, {"path": "tedlium_11882.wav", "duration": 10.56, "text": "And I echo his sentiments as we absolutely believe these investments are creating exciting new products and will generate higher revenue and better margins in the future."}, {"path": "tedlium_11883.wav", "duration": 10.56, "text": "enhancement to our core system. We did shop this around. This system is used by many foreign exchange shops, large to smaller ones as well."}, {"path": "tedlium_11884.wav", "duration": 10.56, "text": "Second, we are continuing to fund our growth projects but at a lower long-term cost of equity capital than continuing to issue common equity in today's market."}, {"path": "tedlium_11885.wav", "duration": 10.56, "text": "They step up. So it's just a continuing travail that we think in the long run will turn out well. But in the short run,"}, {"path": "tedlium_11886.wav", "duration": 10.56, "text": "And as discussed previously, we have been anticipating operating margins to gradually increase with the new work that we have been awarded over last year, and this is beginning to be reflected in our results."}, {"path": "tedlium_11887.wav", "duration": 10.56, "text": "and they run all the way through to delivery, where we need to balance the need for speed with the need to maintain our trading environments and, therefore, our retailers' performance and our income,"}, {"path": "tedlium_11888.wav", "duration": 10.56, "text": "so it will bring costs down. That you won't necessarily see us saving, because what we will be doing is we'll be reinvesting that money into more digital advertising."}, {"path": "tedlium_11889.wav", "duration": 10.56, "text": "And they are looking at us as the natural provider of them. So all these things together really give me confidence. Now how are we grading ourselves?"}, {"path": "tedlium_11890.wav", "duration": 10.56, "text": "In summary, Marlin's transition from primarily a micro-ticket lessor to a broader provider of credit products and services is a significant paradigm shift for the company."}, {"path": "tedlium_11891.wav", "duration": 10.56, "text": "While we had success across multiple verticals in the first quarter, we also demonstrated the power of our diversification strategy across geographies. We showed strong growth in the Americas"}, {"path": "tedlium_11892.wav", "duration": 10.56, "text": "financing charges, the amortization of intangible assets and financial impacts associated with expected and actual dispositions of noncore businesses and assets, unless otherwise noted."}, {"path": "tedlium_11893.wav", "duration": 10.56, "text": "and in cats. And that frustration, from our perspective, includes being frustrated with mirtazapine, whether that's an oral tablet or the multiple-y available"}, {"path": "tedlium_11894.wav", "duration": 10.56, "text": "as a large number of people entering the labor workforce outpaced the number of jobs added. Strong employment growth continues to fuel in-migration"}, {"path": "tedlium_11895.wav", "duration": 10.56, "text": "As traditional power companies expand into the gas utility space, it provides us an opportunity to grow our business with new, larger combined power companies."}, {"path": "tedlium_11896.wav", "duration": 10.56, "text": "Additionally, in 2017, we are making a significant investment in our training and development, marketing and our sales management and sales training efforts as I previously discussed."}, {"path": "tedlium_11897.wav", "duration": 10.56, "text": "Our federal team performed admirably delivering good results in the first quarter, while the leadership team was pulling double duty to execute a purchase agreement in accordance with our bank covenant."}, {"path": "tedlium_11898.wav", "duration": 10.56, "text": "in the broader industrial sector. We just hadn't seen it in 2015. We built a little bit of that conservatism into 2016 and that was part of the reason for stepping down the growth"}, {"path": "tedlium_11899.wav", "duration": 10.56, "text": "over a continuous period. So I would say the overwhelming majority of the upside is to come, and we haven't even scratched the surface of,"}, {"path": "tedlium_11900.wav", "duration": 10.56, "text": "and we wanted to make sure we were capturing that expense in our Siding segment rather than OSB was one of the reasons we did it. Sallie may have other things she should mention. But"}, {"path": "tedlium_11901.wav", "duration": 10.56, "text": "Our store operations team made major strides over the past year in leadership development, training and executing operational excellence throughout all of our stores."}, {"path": "tedlium_11902.wav", "duration": 10.56, "text": "You are also cautioned that any forward-looking statements reflect management's current views only and the company undertakes no obligation to revise or update such statements in the future."}, {"path": "tedlium_11903.wav", "duration": 10.56, "text": "or our direct connections with coffee farming communities around the world, including Yunnan in China. The proof and the quality are in the cup."}, {"path": "tedlium_11904.wav", "duration": 10.56, "text": "or to update or revise the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future."}, {"path": "tedlium_11905.wav", "duration": 10.56, "text": "But we've been very pleased with the new dealer network and Roadtec is really having a terrific year and really lining up for another great year next year, we think. So"}, {"path": "tedlium_11906.wav", "duration": 10.56, "text": "In summary, as we celebrate our 20th anniversary, we are reigniting our fundamental vision as a company, helping the world work differently."}, {"path": "tedlium_11907.wav", "duration": 10.56, "text": "Would you consider putting a program in place, so if the stock did drop more precipitously and you were in a blackout period that you'd still be able to buy back stock?"}, {"path": "tedlium_11908.wav", "duration": 10.56, "text": "So Mani, I think, we don't have anything quantitative, but there is an intuitive sense that if we allow patients"}, {"path": "tedlium_11909.wav", "duration": 10.56, "text": "So with a deep enterprise, we see a lot of opportunities for investment in the world and because we have the turnaround ability and we are working on 2 legs."}, {"path": "tedlium_11910.wav", "duration": 10.56, "text": "Well, there are a lot of changes in global, political and economic scenes, so many challenges were brought to us. With our hard work, we have achieved very good results."}, {"path": "tedlium_11911.wav", "duration": 10.56, "text": "Let's turn to Page 11. Northstar Portfolio performance. I want to reiterate from previous calls that we evaluate each business at the contribution margin level,"}, {"path": "tedlium_11912.wav", "duration": 10.56, "text": "To sum up, the semiconductor materials industry remains healthy. Semiconductor content is increasing everywhere, driven by new applications"}, {"path": "tedlium_11913.wav", "duration": 10.56, "text": "as well as continued growth in smartphones and PCs. As long as our customers are producing wafers, we participate in a growth of semiconductor units."}, {"path": "tedlium_11914.wav", "duration": 10.56, "text": "Each of our operating platforms continues to manage against their own specific targets and drive programs to deliver their share of our future growth."}, {"path": "tedlium_11915.wav", "duration": 10.56, "text": "Our divisions are working on specific initiatives to further adapt to the external environment and position the company to take advantage of commercial opportunity."}, {"path": "tedlium_11916.wav", "duration": 10.56, "text": "We are excited about the growth prospects in this segment as we continue to focus on business improvement initiatives and organic growth opportunities that include investing in our brands,"}, {"path": "tedlium_11917.wav", "duration": 10.56, "text": "But while we're in early stages of assessing whether the timing has come under pressure due to the various market and environmental challenge that we just went through over the last half hour."}, {"path": "tedlium_11918.wav", "duration": 10.56, "text": "add value? So either you've grown some share or you've done something so that these pressures are being blunted in some fashion."}, {"path": "tedlium_11919.wav", "duration": 10.56, "text": "as we noted in our announcement of July 19, in the end, those discussions ended without an offer that our board was willing to pursue."}, {"path": "tedlium_11920.wav", "duration": 10.56, "text": "So I expect that, over the year, we should pick up more orders also and maybe certain projects that will come up."}, {"path": "tedlium_11921.wav", "duration": 10.56, "text": "what some of the levers are you have to pull to keep the conversion rate really strong, whether it's CapEx or working capital or any other items to be aware of on the cash side?"}, {"path": "tedlium_11922.wav", "duration": 10.56, "text": "we have been conducting preliminary research in select market segments where Probuphine may be used for the treatment of opioid use disorder."}, {"path": "tedlium_11923.wav", "duration": 10.56, "text": "one of the major issues you have is your cost of raising turkeys is much higher and you have less pounds. But the price itself"}, {"path": "tedlium_11924.wav", "duration": 10.56, "text": "have been held on conference calls instead of the big meetings. We've looked at how many people are going to conferences. We've reduced travel. Now those things aren't going to be"}, {"path": "tedlium_11925.wav", "duration": 10.56, "text": "with Alpha included. I think that will happen in that late January, early February conversation. At that point we will own them we believe"}, {"path": "tedlium_11926.wav", "duration": 10.56, "text": "this quarter, we were actually with the customer who we onboarded, one of the big corporates. We're able to break down the walls that used to be there around vested equity."}, {"path": "tedlium_11927.wav", "duration": 10.56, "text": "We continue to uncover characteristics for this drug candidate that make it even more compelling, and we are being very disciplined in its development to give the best possible chance for its success. We"}, {"path": "tedlium_11928.wav", "duration": 10.56, "text": "After our comments, we'll be pleased to take your questions. Our earnings release and the slides for this call are available on our website at airproducts.com."}, {"path": "tedlium_11929.wav", "duration": 10.56, "text": "But for Ed, safety was the foundation. He emphasized that it required everyone's total commitment."}, {"path": "tedlium_11930.wav", "duration": 10.56, "text": "pay down some of that debt over the next couple of years. So I think you kind of got to that point that we have the ability to"}, {"path": "tedlium_11931.wav", "duration": 10.56, "text": "Maybe give us a little bit more flavor on how that has and then maybe even if we could drill down a little bit now until where the margin characteristics of those now differ."}, {"path": "tedlium_11932.wav", "duration": 10.56, "text": "I think we're going to be disciplined and patient, is how I would characterize our approach to capital allocation. That would include"}, {"path": "tedlium_11933.wav", "duration": 10.56, "text": "We continue to deliver strong free cash flow. Combined with a strong balance sheet, this gives us ample capacity to invest in our existing businesses"}, {"path": "tedlium_11934.wav", "duration": 10.56, "text": "with 2 of these combined into one paper in the New England Journal of Medicine, along with one analytical verification and 2 clinical utility studies."}, {"path": "tedlium_11935.wav", "duration": 10.56, "text": "On our last call, we talked about the internal changes within Hub as we realigned intermodal operations to be managed by our account management team."}, {"path": "tedlium_11936.wav", "duration": 10.56, "text": "We remain quite focused on continuing to grow this business unit and expect that 2016 will continue to offer both challenges and opportunities."}, {"path": "tedlium_11937.wav", "duration": 10.56, "text": "Moving to Slide 11, let me show you our historical economic performance from the first Q pro forma to present day."}, {"path": "tedlium_11938.wav", "duration": 10.56, "text": "we're pursuing aggressively. So I think that's kind of it for the Commercial Aircraft as we speak. Your question, when it relates to"}, {"path": "tedlium_11939.wav", "duration": 10.56, "text": "It could very well be a solution over time. Right now, Europe is a quad-play market. It's a quad-play market, because every incumbent telco who has nationwide fixed coverage has a nationwide mobile coverage. And it"}, {"path": "tedlium_11940.wav", "duration": 10.56, "text": "As for admin cost, I would be disappointed if we could not continue to make a gradual steady improvement in our cost structure there,"}, {"path": "tedlium_11941.wav", "duration": 10.56, "text": "They attend because we develop the industry's most effective solutions, deliver the best patient care and drive powerful advocacy to put medicine within reach of those who need it."}, {"path": "tedlium_11942.wav", "duration": 10.56, "text": "with all due respect to the desire to break those kind of things out, it is completely inconsistent from my view of how we run our business."}, {"path": "tedlium_11943.wav", "duration": 10.56, "text": "This concludes the financial review portion of our call. I will now turn the discussion back over to Fusen for the September quarter's business outlook."}, {"path": "tedlium_11944.wav", "duration": 10.56, "text": "of fiscal 2020. As previously discussed, we are determining the appropriate scope of refresh needed for each of our stores by examining their age, size"}, {"path": "tedlium_11945.wav", "duration": 10.56, "text": "supply chain to see if we can enhance those volumes instead of paying others to go through their terminals. That's really been the goal of acquisitions. That was the goal of the American Midstream acquisition in Little Rock"}, {"path": "tedlium_11946.wav", "duration": 10.56, "text": "In response, we adjusted every day and promoted price points on Folgers coffee to improve our competitive positioning."}, {"path": "tedlium_11947.wav", "duration": 10.56, "text": "As a result, we're able to focus on the most vulnerable members, while ensuring the integration of all their health data, stabilizing costs and improving their quality of life."}, {"path": "tedlium_11948.wav", "duration": 10.56, "text": "We are taking a measured approach to down-spacing to be as capital efficient as possible and minimize any potential overdrilling of a particular zone."}, {"path": "tedlium_11949.wav", "duration": 10.56, "text": "We increasingly see the consumers, particularly millennials, are looking for brands that serve a positive social purpose beyond pure product functionality."}, {"path": "tedlium_11950.wav", "duration": 10.56, "text": "At the same time, the lower current crop levels have reduced our working capital needs this year, decreasing our seasonal borrowing requirements and increasing our cash reserve."}, {"path": "tedlium_11951.wav", "duration": 10.56, "text": "Yes. We're just trying to figure out if 4Q was just seasonally strong or if there was an impact of Omni that's going to take the margins permanently higher in that segment."}, {"path": "tedlium_11952.wav", "duration": 10.56, "text": "Let me remind you what they are. As you may remember in July, we announced a global cost reduction and efficiency initiative with the goal of reducing annual supply chain production and overhead costs"}, {"path": "tedlium_11953.wav", "duration": 10.56, "text": "is because of the dilutive effect of cable customers coming out. Wondered if you could confirm, please, how many cable customers remain and for how much longer"}, {"path": "tedlium_11954.wav", "duration": 10.56, "text": "to transition these services into Integra, in line with our original time line -- timetable. This was all completed on the same weekend as the quarter closed."}, {"path": "tedlium_11955.wav", "duration": 10.56, "text": "SPY is actually, we are getting new -- we are doing some placements of SPY, because some customers still want to do it on that basis, which we're open to for a limited period of time."}, {"path": "tedlium_11956.wav", "duration": 10.56, "text": "It's important to remember that we own approximately 200 anchor spaces in our portfolio and that over the last 2 years, we have started or completed redevelopment activity at 15 former department stores."}, {"path": "tedlium_11957.wav", "duration": 10.56, "text": "I guess the lesson I learned from the consumer Internet is 8 years ago, there was all this talk about the big platforms potentially competing with one another. And if you look at what happened, most of them"}, {"path": "tedlium_11958.wav", "duration": 10.56, "text": "As Greg noted, our first quarter results reflect a solid start to the year. We delivered organic revenue growth across both segments and delivered strong operating margin improvement in Risk Solutions."}, {"path": "tedlium_11959.wav", "duration": 10.56, "text": "We've had terrific success and feedback from clients around the world and continue to attract new clients, with the client treaty being a major differentiator. Finally,"}, {"path": "tedlium_11960.wav", "duration": 10.56, "text": "and would not likely have much of an impact through 2020. And there's always other transmission projects that we're looking at but we've not included them in the plan."}, {"path": "tedlium_11961.wav", "duration": 10.56, "text": "yet you've got ConEd Solutions in there, I would guess. So is that some pressure in what you've seen around margins or more conservatism? Or how should we think about those numbers?"}, {"path": "tedlium_11962.wav", "duration": 10.56, "text": "Carton Craft will allow us to integrate more of our CUK paperboard tons into a growing air filter frame market and will provide a runway for further margin improvement."}, {"path": "tedlium_11963.wav", "duration": 10.56, "text": "We're so convinced that the refinance probabilities are much higher now than they were last year, that we're probably getting into a little bit less liquid categories. But"}, {"path": "tedlium_11964.wav", "duration": 10.56, "text": "Reflected in all of this lending and financing activity, including the efficient shifting of capital among securities, mortgage loans and real estate investments,"}, {"path": "tedlium_11965.wav", "duration": 10.56, "text": "And we plan to do so in 2019. Additionally, 2019 is still a year of some investments we have to do. So I still have to do some work on the"}, {"path": "tedlium_11966.wav", "duration": 10.56, "text": "with us and making sure that we have the right product that speaks to the consumer. So far, our early reads on the selling of this, we first shipped our first shoes in, really, December"}, {"path": "tedlium_11967.wav", "duration": 10.56, "text": "And so I do expect that later this year, we will need to have more clarity on where we see the next tranche of processing capacity"}, {"path": "tedlium_11968.wav", "duration": 10.56, "text": "gross merchandise value of the au Economic Zone in the first quarter as shown on the left was 1.5x what it was a year ago"}, {"path": "tedlium_11969.wav", "duration": 10.56, "text": "except for one thing. In the case of expensing, you increase the net present value of the returns if it is a replacement"}, {"path": "tedlium_11970.wav", "duration": 10.56, "text": "We certainly are willing and have focused on adding on businesses onto some of our core businesses. That certainly isn't out of it, but"}, {"path": "tedlium_11971.wav", "duration": 10.56, "text": "The consuming entity is named Telesat Canada. That concludes our prepared remarks for this call, and now, we will be happy to answer any question you may have."}, {"path": "tedlium_11972.wav", "duration": 10.56, "text": "significant changes to the wireless industry. And we're working on some of those initiatives right now but they're not going to deliver any results for us in the short term."}, {"path": "tedlium_11973.wav", "duration": 10.56, "text": "So where is our improvements going to come from? And the third question is related once again, with marketing"}, {"path": "tedlium_11974.wav", "duration": 10.56, "text": "because being able to see from the city to the building to the infrastructure creates a completely different perspective to the architecture, engineering and construction and we want to play that. And overall,"}, {"path": "tedlium_11975.wav", "duration": 10.56, "text": "we think it's a real way that we can drive pricing over the medium term. We did double the number of advertisers on the platform. We're still a young business with a lot of room to grow, but we're excited by the progress in the quarter."}, {"path": "tedlium_11976.wav", "duration": 10.56, "text": "we have adjusted downward our client's expectations and our own expectations as to what our strategies can"}, {"path": "tedlium_11977.wav", "duration": 10.56, "text": "Based on this forecast, current industry trends and our continuing market content improvement, we are excited to expand our pursuit to continue to bring high-quality, differentiated products and services"}, {"path": "tedlium_11978.wav", "duration": 10.56, "text": "can we already see an improvement of prices in the fourth quarter? Because it's usually gradual and it only comes after"}, {"path": "tedlium_11979.wav", "duration": 10.56, "text": "Even so, 2 of our 3 reporting segments generated substantial increases in operating margins in part due to cost synergies achieved"}, {"path": "tedlium_11980.wav", "duration": 10.56, "text": "You could look at some of the labor, production numbers that we can have them producing. And obviously, from a market side, there could be some blending capabilities of some of those things"}, {"path": "tedlium_11981.wav", "duration": 10.53, "text": "And then as I have shared, we see that there's an 18-month horizon where we are very strongly focused on our internal initiatives and the impact those are going to have,"}, {"path": "tedlium_11982.wav", "duration": 10.53, "text": "and as anticipated, some of this strength will be due to portions of work advancing into Q3 from Q4 with customers trying to get ahead of inflationary prices."}, {"path": "tedlium_11983.wav", "duration": 10.53, "text": "floor to that development. We are seeing also that, once you would expect those policies to go back to normal,"}, {"path": "tedlium_11984.wav", "duration": 10.53, "text": "all of our leases that are not actually completely filled in. Where we have the most opportunity to drill 15,000 foot laterals for the most part, that acreage is actually out in space."}, {"path": "tedlium_11985.wav", "duration": 10.53, "text": "in literally all parts of the world with regard to how we address that capability and roll it out for their"}, {"path": "tedlium_11986.wav", "duration": 10.53, "text": "We also have some real estate that is no longer needed and hope to complete those sales in fiscal 2017. Proceeds would be used to buy back stock, finance growth or pay down debt."}, {"path": "tedlium_11987.wav", "duration": 10.53, "text": "at the end of January are being implemented. So I believe that the price scenario during the first quarter is positive and consolidated."}, {"path": "tedlium_11988.wav", "duration": 10.53, "text": "happens to be a very highly talented executive in terms of representing our product and our business"}, {"path": "tedlium_11989.wav", "duration": 10.53, "text": "supporting through marketing next month and that we're excited about. And that's part of an ongoing program to keep our brands healthy and not just get into new spaces,"}, {"path": "tedlium_11990.wav", "duration": 10.53, "text": "The impact of the acquisitions resulted in a negative 60 basis points, mainly due to the purchase price allocation effect."}, {"path": "tedlium_11991.wav", "duration": 10.53, "text": "However, we are also aggressively pursuing a larger project to move barrels from the Permian Basin to Nederland, providing shipper capacity to our storage facilities"}, {"path": "tedlium_11992.wav", "duration": 10.53, "text": "The likely implementation process would involve regulating thousands of finance and insurance consultants and new car dealerships across Australia"}, {"path": "tedlium_11993.wav", "duration": 10.53, "text": "I'll start by talking you through some of the highlights from the quarter before the team go into the financials and operations in greater detail. We will then open the call for questions."}, {"path": "tedlium_11994.wav", "duration": 10.53, "text": "was primarily due to fourth quarter seasonal factors associated with financial audit expenses, employee holiday expenses and marketing."}, {"path": "tedlium_11995.wav", "duration": 10.53, "text": "But it's another matter of whether all these positions will be filled with the right candidates. Even if we want to hire 500 new employees,"}, {"path": "tedlium_11996.wav", "duration": 10.53, "text": "which is now in the hands of the regulator to moderate as we go into 2018 for the rest of the year. So I hope that answers broadly your question."}, {"path": "tedlium_11997.wav", "duration": 10.53, "text": "we should continue to see that those customers grow and those customers are much more inclined to book directly. And that's the case almost no matter what happens with"}, {"path": "tedlium_11998.wav", "duration": 10.53, "text": "allow us to drive stronger knee market share as we exit 2017. So I think you should kind of think about a rolling 4-quarter knee growth, and that's kind of the base we assume we'll improve upon"}, {"path": "tedlium_11999.wav", "duration": 10.53, "text": "in the market. There are some unique opportunities potentially in the portfolio over time, where we could get a static converted to a digital"}, {"path": "tedlium_12000.wav", "duration": 10.53, "text": "The common offering in October positioned us well as we entered into 2017, but it will take a couple of quarters to fully deploy the capital."}, {"path": "tedlium_12001.wav", "duration": 10.53, "text": "Discussions and conjecture point to infrastructure as the most logical area of agreement in Washington in 2019. We anticipate that a deal will be struck."}, {"path": "tedlium_12002.wav", "duration": 10.53, "text": "I think we'll continue to do it. Some of the things that we've talked about before that are driving this are this move to scale that I highlighted in the prepared remarks is very real."}, {"path": "tedlium_12003.wav", "duration": 10.53, "text": "This deal is a more grown-up version of those earlier ones. There are a couple of important differences. First is that we will manage all the work up to the start of clinical trials."}, {"path": "tedlium_12004.wav", "duration": 10.53, "text": "We simply need to continue to manage costs, win new business and execute on what we've already won. And that's exactly what we plan to do."}, {"path": "tedlium_12005.wav", "duration": 10.53, "text": "and you see numbers in the range of 15% to 20%, then you need to monitor for something big to happen."}, {"path": "tedlium_12006.wav", "duration": 10.53, "text": "I think you could probably calculate it based on the information you have, but we're not going to release that on a public basis anymore going forward."}, {"path": "tedlium_12007.wav", "duration": 10.53, "text": "This customer is using Five9 for its e-commerce customer service organization. They were using a premise system that was expensive and required too many technical resources to maintain."}, {"path": "tedlium_12008.wav", "duration": 10.53, "text": "I was wondering, after all the discussion that has taken place within the Ministry of Economic Affairs and then in Dutch Parliament, why do you first have to"}, {"path": "tedlium_12009.wav", "duration": 10.53, "text": "in being at the forefront of the creation and provision of urban workspace and they perceive us to be there. So a"}, {"path": "tedlium_12010.wav", "duration": 10.53, "text": "These certifications are a key milestone to reach before moving to any commercial production and for a successful launch of our joint venture."}, {"path": "tedlium_12011.wav", "duration": 10.53, "text": "Similar to prior years, we only include identified projects with a high probability of certainty in our capital plan. We will update our capital plan at the appropriate time per normal course,"}, {"path": "tedlium_12012.wav", "duration": 10.53, "text": "arguably less quality earnings to more higher quality earnings through additional CapEx that we could spend and still not raise customer rates."}, {"path": "tedlium_12013.wav", "duration": 10.53, "text": "So what you'll see going forward is 80-plus percent of revenue increases in dollars becomes something"}, {"path": "tedlium_12014.wav", "duration": 10.53, "text": "what I would say, I don't know if total stimulus is the right word, but there's a lot of influence in the marketplace that lead to better performance."}, {"path": "tedlium_12015.wav", "duration": 10.53, "text": "are the premiums also -- do they fall underneath that and are pass-through-able, if that's a word, or are you kind of stuck with those? How does that work?"}, {"path": "tedlium_12016.wav", "duration": 10.53, "text": "This remains unchanged from our previous forecast. Please turn to Slide 30. With respect to consolidated unit sales,"}, {"path": "tedlium_12017.wav", "duration": 10.53, "text": "Gubernatorial elections will be the same, obviously, as 4 years ago in terms of the numbers. But it's a competitive footprint in some of our big markets. Currently, we have 7 competitive seats,"}, {"path": "tedlium_12018.wav", "duration": 10.53, "text": "As a result, we're continuing to intentionally reinvest profits back into the business to drive revenue growth and to capitalize on our opportunities in the local and regional OTT ad space."}, {"path": "tedlium_12019.wav", "duration": 10.53, "text": "And finally, utilization. I don't mean to oversimplify the business, but to us, that's what we think about. I also should talk about safety, and I'm going to talk about that a little bit more."}, {"path": "tedlium_12020.wav", "duration": 10.53, "text": "and such statements are subject to the safe harbor created by those sections and are made pursuant to the provisions of the Private Securities Litigation Reform Act of 1995, as amended."}, {"path": "tedlium_12021.wav", "duration": 10.53, "text": "in that business because we also have had overall growth in the software and content management product. And so you will see a more pronounced mix shift"}, {"path": "tedlium_12022.wav", "duration": 10.53, "text": "without any legal framework. So this is the first time in my life that I see an acceleration without default or without any covenant or without"}, {"path": "tedlium_12023.wav", "duration": 10.53, "text": "The results we presented this morning are underpinned by a range of strong performance metrics at property levels. I'd like to spend a little bit of time just walking you through a few of those headlines,"}, {"path": "tedlium_12024.wav", "duration": 10.53, "text": "These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements."}, {"path": "tedlium_12025.wav", "duration": 10.53, "text": "to our results conference at PZU. We'd like to thank you for turning up in so -- such strong numbers. We'd like to present to you today"}, {"path": "tedlium_12026.wav", "duration": 10.53, "text": "sort of your targeted 5% to 6% organic growth, although it's early in the year, I get that. But any color there? And then my second question, any more color you can provide on"}, {"path": "tedlium_12027.wav", "duration": 10.53, "text": "After we conclude our prepared comments, our executive management team will be happy to answer questions. Let's turn to the slide presentation and discuss our second quarter results."}, {"path": "tedlium_12028.wav", "duration": 10.53, "text": "Specifically, the growth in LED products is expected to overtake the decline in legacy products and services and drive the growth of our consolidated revenue for the remainder of this fiscal year."}, {"path": "tedlium_12029.wav", "duration": 10.53, "text": "It does sound like a big leap. But when you start integrating RV sales and RV service, and you start to get some tailwind behind"}, {"path": "tedlium_12030.wav", "duration": 10.53, "text": "But what I can tell you is that as you can see the results for the second quarter in our primary RV units, we're positive both overall and on a same-store basis."}, {"path": "tedlium_12031.wav", "duration": 10.53, "text": "The need for the requested rate relief is due to the additions to plant that were required to meet the needs of our growing customer base and due to the continued load growth that we have experienced in our service territory."}, {"path": "tedlium_12032.wav", "duration": 10.53, "text": "We are introducing the subscription. So we're giving people the opportunity to buy content specialized for their industry, specialized for their geography"}, {"path": "tedlium_12033.wav", "duration": 10.53, "text": "What we try to do or what I try to do on this call was just give you perspective specifically on subscription revenue, which as you know, we've been disclosing now for a while. We do not expect subscription revenue to be"}, {"path": "tedlium_12034.wav", "duration": 10.53, "text": "how we allocate our capital and also how we manage the companies. And essentially, what we do is we look at every entity, how their return on equity is."}, {"path": "tedlium_12035.wav", "duration": 10.53, "text": "has many limitations as physicians must choose between invasive IV delivery or slower onset oral medications."}, {"path": "tedlium_12036.wav", "duration": 10.53, "text": "Actual results could differ materially from those stated or implied by these forward-looking statements due to risks and uncertainties associated with the company's business."}, {"path": "tedlium_12037.wav", "duration": 10.53, "text": "These forward-looking statements are made as of the date of this presentation. We undertake no obligation to publicly update or revise any forward-looking statements after the completion of this presentation,"}, {"path": "tedlium_12038.wav", "duration": 10.53, "text": "For our Okinawa hub, we'll continue to evaluate the competitive environment and demand trends in Asia, and pursue further optimization of the business scope."}, {"path": "tedlium_12039.wav", "duration": 10.53, "text": "and established Japan's first LCC. Propelled by the expansion of the international business, we have continued to accelerate the speed of our growth."}, {"path": "tedlium_12040.wav", "duration": 10.53, "text": "first-in-human study having first established the safety and immunogenicity of the vaccine, we have built into the protocol"}, {"path": "tedlium_12041.wav", "duration": 10.53, "text": "Although deeper MI coverage would help to expand the market, National MI does not need a larger market to fulfill our primary financial objectives"}, {"path": "tedlium_12042.wav", "duration": 10.53, "text": "Continuous improvement initiatives, network optimization and lower input costs continued to drive good operational efficiencies throughout the region."}, {"path": "tedlium_12043.wav", "duration": 10.53, "text": "Given that as well as the sheer size of the market, our plan is to partner this asset following proof-of-concept data from the Phase I trial,"}, {"path": "tedlium_12044.wav", "duration": 10.53, "text": "So we made big investments in these areas, and we saw very important progress. At the same time, we invested in a number of frontier areas."}, {"path": "tedlium_12045.wav", "duration": 10.53, "text": "The Clinical Lab results continue to illustrate our strength in the women's health segment and the growing market share of the New York region, where new account acquisition continues."}, {"path": "tedlium_12046.wav", "duration": 10.53, "text": "There really wasn't any tie-in between the sale of the household and the announcement of our planned repurchase back in May."}, {"path": "tedlium_12047.wav", "duration": 10.53, "text": "I'm indebted to my 90,000 colleagues around the world, who have worked tirelessly to deliver their commitments each and every day in the face of many challenges."}, {"path": "tedlium_12048.wav", "duration": 10.53, "text": "I think we're going to continue to see the balance that we've laid out. Longer term, we would expect clearly to deliver revenue growth at or above the rate of our categories."}, {"path": "tedlium_12049.wav", "duration": 10.53, "text": "On Millbrook, the investments being made now, what's the sort of time lag to that kicking through to revenue and pulling the margin up?"}, {"path": "tedlium_12050.wav", "duration": 10.53, "text": "look, we look at where we are. We know who we are. We know what we have, and we know there's enormous upside for our shareholders if we go execute against the plan we've laid out. And like I said, we're not going to define ourselves"}, {"path": "tedlium_12051.wav", "duration": 10.53, "text": "pretty much across all the provinces. So it wasn't localized, it wasn't in one geography or one area. It was pretty much widespread across"}, {"path": "tedlium_12052.wav", "duration": 10.53, "text": "any kind of size range or just a little bit of sense for investors on what we might expect early next year?"}, {"path": "tedlium_12053.wav", "duration": 10.53, "text": "it's incrementally better than what we had mentioned before. And we think we then have a capital and a debt structure that mirrors where we think we can be longer term as a growth-oriented company."}, {"path": "tedlium_12054.wav", "duration": 10.53, "text": "You have certain flows that are qualified in certain fabs, and Newport Beach was the initial flagship for all of the RF SOI products, also"}, {"path": "tedlium_12055.wav", "duration": 10.53, "text": "Some of you may remember how we started our run in 2012 and how Altium managed to deliver what could not have been imagined possible at that time."}, {"path": "tedlium_12056.wav", "duration": 10.53, "text": "The material decrease in the volume of home sales has become apparent within greater Toronto and the surrounding areas as buyers and sellers react to the Ontario Fair Housing Plan."}, {"path": "tedlium_12057.wav", "duration": 10.53, "text": "important product level changes on the home standby product that make it easier to install. So a lot of the learnings that we took from 2015 are being applied to new product introduction."}, {"path": "tedlium_12058.wav", "duration": 10.53, "text": "The strategic initiatives we are working on includes specific projects and activities targeted towards generating more sales leads, improving close rates and reducing the total overall cost of a home standby system."}, {"path": "tedlium_12059.wav", "duration": 10.53, "text": "a modest sequential revenue increase from the fourth quarter level, due primarily to higher sales of research models after a seasonally soft fourth quarter."}, {"path": "tedlium_12060.wav", "duration": 10.53, "text": "Sheila, this is Paul. So in terms of the quarter, the income tax rate was a little bit higher because some of the REIT conversion costs are not deductible"}, {"path": "tedlium_12061.wav", "duration": 10.53, "text": "Please now turn to Slides 11 and 12. As usual, we have provided information on a year-to-date basis similar to that for our second quarter on prior pages."}, {"path": "tedlium_12062.wav", "duration": 10.53, "text": "in terms of the stuff that would be affected, my understanding is it would be the lower cost stuff, the stuff where the Chinese imports have really made some hay, residential,"}, {"path": "tedlium_12063.wav", "duration": 10.53, "text": "on any acquisition we make. So we're very bullish on acquisitions, and we look at all of them and any of them, but I can't really comment on any one in specific."}, {"path": "tedlium_12064.wav", "duration": 10.53, "text": "Cost savings from the previously announced voluntary reduction in force completed April 1 are tracking towards the top end of the 2018 savings range."}, {"path": "tedlium_12065.wav", "duration": 10.53, "text": "our most recognizable customer-facing system. And so we are doing that at the same time that we're rationalizing our branch network to help"}, {"path": "tedlium_12066.wav", "duration": 10.53, "text": "as we continue to provide creative logistic solutions that optimize transportation to produce significant customer savings, while also enhancing our margin."}, {"path": "tedlium_12067.wav", "duration": 10.53, "text": "we feel good about where we are. We have multiple options in front of us and we will do what is right to keep on growing the great franchise that we have."}, {"path": "tedlium_12068.wav", "duration": 10.53, "text": "But now the game has changed. Instead of competing against the traditional known telco or cable or satellite provider, they are competing against brands that millennials have grown up with and love,"}, {"path": "tedlium_12069.wav", "duration": 10.53, "text": "patient cost compared to what the ideal would be, and we hold ourselves to a very high standard on both of those. And we see that as a significant differentiator and a significant opportunity for the next 3 to 5 years."}, {"path": "tedlium_12070.wav", "duration": 10.53, "text": "What we're not doing yet is doing it well and doing it efficiently, and obviously, doing it to the point where it's generating profitability for us."}, {"path": "tedlium_12071.wav", "duration": 10.53, "text": "we would need to make certain portfolio adjustments to comply with the REIT rules. As a result of these adjustments, we would expect the growth rate of our net investment income to slow temporarily."}, {"path": "tedlium_12072.wav", "duration": 10.53, "text": "This is Under Armour. And as I look to the future, I've never been more energized, confident and excited about what is ahead for us, both as a brand and as an operator."}, {"path": "tedlium_12073.wav", "duration": 10.53, "text": "First of all, from a comparison side, 2017 will have one big quarter and the rest mostly flat. I think 2018 will be much more calibrated throughout the year"}, {"path": "tedlium_12074.wav", "duration": 10.53, "text": "So I don't know how much you can read from our results to the broader industry. I would just tell you that our folks have had some good opportunities that we've executed well against."}, {"path": "tedlium_12075.wav", "duration": 10.53, "text": "greatly increasing our exposure to an attractive health-care market tied to long-term secular growth drivers and adding another source of high recurring revenue and consistently robust free cash flow."}, {"path": "tedlium_12076.wav", "duration": 10.53, "text": "We will provide more information on these activities as we bring them to market. I can anticipate that they are in the early stages of the business analysis."}, {"path": "tedlium_12077.wav", "duration": 10.53, "text": "And the most important thing is my barrel moves when I produce it and I get it to a good market. It doesn't have to be the absolute cheapest price"}, {"path": "tedlium_12078.wav", "duration": 10.53, "text": "typically have different purchasing behavior than the hospitals? Any differences there that you can kind of highlight to help us for modeling purposes?"}, {"path": "tedlium_12079.wav", "duration": 10.53, "text": "to address industry challenges, including claims settlements, fraudulent claims and insurance policy life cycle management."}, {"path": "tedlium_12080.wav", "duration": 10.53, "text": "as well as just control reasons and utilization of sales time efficiency, so for all kinds of reasons. So there's been a lot of transitioning going on,"}, {"path": "tedlium_12081.wav", "duration": 10.53, "text": "And one of them has fulfilled its goal in part, and the other one did not totally fulfilled the goals."}, {"path": "tedlium_12082.wav", "duration": 10.53, "text": "Similar to quarters past, we have categorized them, and we'll do our best to provide detailed responses to each this morning. To the extent you have additional follow-up questions, feel free to reach out to me after the call."}, {"path": "tedlium_12083.wav", "duration": 10.53, "text": "Year-over-year earnings will be positively impacted by the rate increases in Texas and New Mexico that we discussed on Slide 13 as well as continued customer growth. At"}, {"path": "tedlium_12084.wav", "duration": 10.53, "text": "more of a bond deal. The second one was a private. And that has to do with the expenses. But what it really does -- all it really does is raise some additional capital for you by raising your financing rates."}, {"path": "tedlium_12085.wav", "duration": 10.53, "text": "and we remain equally focused on making smart investments in our sales and customer service capabilities. So on the S component, if you will."}, {"path": "tedlium_12086.wav", "duration": 10.53, "text": "we made conscious decisions to retain and invest in businesses where we have sustainable competitive advantages. We are benefiting from Irish growth and international diversification."}, {"path": "tedlium_12087.wav", "duration": 10.53, "text": "We are proud to have finally completed our biggest outstanding integration project and are looking forward to capitalizing on this achievement in future"}, {"path": "tedlium_12088.wav", "duration": 10.53, "text": "Given the current environment, as I have said last quarter, I believe that we should be growing well into the high single digits, and at present time, we are not."}, {"path": "tedlium_12089.wav", "duration": 10.53, "text": "Our focus on delivering more with every dollar invested by maximized lateral lengths in both core asset areas allows us to deliver more with less going forward."}, {"path": "tedlium_12090.wav", "duration": 10.53, "text": "GEMS continues to benefit from our clients use of CRISPR and other technologies to create genetically modified models faster and more cost-effectively."}, {"path": "tedlium_12091.wav", "duration": 10.53, "text": "was a little bit lower this quarter versus the prior couple of quarters despite the fact that the stock and the valuation was lower than in prior quarters."}, {"path": "tedlium_12092.wav", "duration": 10.53, "text": "With regard to the pricing environment, things have remained stable, providing a solid backdrop as we implemented our midyear price increase."}, {"path": "tedlium_12093.wav", "duration": 10.53, "text": "Also during the fourth quarter of fiscal 2018, we experienced a holiday calendar shift, whereby Christmas Eve and New Year's Eve fell on a Monday."}, {"path": "tedlium_12094.wav", "duration": 10.53, "text": "Late last year, we increased our sales effort in geographies where we had not been profitable to sell for the last several years."}, {"path": "tedlium_12095.wav", "duration": 10.53, "text": "These examples are only a portion of the exciting products being developed by Stoneridge. We will continue to drive our growth through our existing portfolio, including the addition of Orlaco's technologies"}, {"path": "tedlium_12096.wav", "duration": 10.53, "text": "We will continue to look for opportunities to derisk SGI's insured portfolio through commutations, reinsurance and other hedging strategies."}, {"path": "tedlium_12097.wav", "duration": 10.53, "text": "When we deal with it in our consulting, some of our clients that have lower-paid folks that they don't want to provide health care coverage for or have a lot of"}, {"path": "tedlium_12098.wav", "duration": 10.53, "text": "This has given us the opportunity to grow the business with consumers, licensors and retailers, and we are leveraging our success into an expanding assortment of products and distribution."}, {"path": "tedlium_12099.wav", "duration": 10.53, "text": "Even though we're just ramping up for this new business, we have already processed double the amount of aluminum we processed last year at our toll processing operations."}, {"path": "tedlium_12100.wav", "duration": 10.5, "text": "it's appropriate to identify a population of patients who is reflective of that with the underlying disease, and not kind of cherry pick or"}, {"path": "tedlium_12101.wav", "duration": 10.5, "text": "which, along with a number of other areas throughout California, recently endured a series of devastating fires. Although the fires did not disrupt our operations,"}, {"path": "tedlium_12102.wav", "duration": 10.5, "text": "to the subscriber edge. EXOS is built for a future where boundless complexity of the subscriber edge can be managed and monetized by the service provider,"}, {"path": "tedlium_12103.wav", "duration": 10.5, "text": "we will get what we would historically view as kind of our full allocation of equity co-invest strategy, which I think we've always been very consistent in saying that"}, {"path": "tedlium_12104.wav", "duration": 10.5, "text": "In Mexico, for example, many of our sales are denominated in Mexican pesos, which has declined in value against the dollar, so the dollar value of those sales have declined."}, {"path": "tedlium_12105.wav", "duration": 10.5, "text": "But I will tell you, like any major project, we will go back, we will look at what could we have done better, what could we have done differently, and that will absolutely be taken into consideration to make us"}, {"path": "tedlium_12106.wav", "duration": 10.5, "text": "what we really need to underline here is that we are going to invest in acquisitions when they make financial sense for us,"}, {"path": "tedlium_12107.wav", "duration": 10.5, "text": "This represents an amount that takes into consideration factors relating to the sale of our mobile phone business announced today, including profits and risks."}, {"path": "tedlium_12108.wav", "duration": 10.5, "text": "Outside Japan, despite an environment of fierce competition with other vendors, revenue rose, in part due to the impact of the weaker yen."}, {"path": "tedlium_12109.wav", "duration": 10.5, "text": "We're also in the fortunate position of having considerable financial resources to support these initiatives, thanks to our strong balance sheet and available debt capacity,"}, {"path": "tedlium_12110.wav", "duration": 10.5, "text": "For those that do migrate to the other MAP programs, we would expect that the adoption of MAP Navigator with its expanded choices would be higher than that for MAP Direct,"}, {"path": "tedlium_12111.wav", "duration": 10.5, "text": "We've changed over the last couple of years our content to be that much more engaging, our technology tools to be integrated into the experience,"}, {"path": "tedlium_12112.wav", "duration": 10.5, "text": "I will now review pricing and demand for our aluminum and stainless steel products. I'll also discuss some of the key industry trends in the markets for these products."}, {"path": "tedlium_12113.wav", "duration": 10.5, "text": "In regard to energy, the general consensus from our customer base throughout the country is more positive today than it was 90 days ago."}, {"path": "tedlium_12114.wav", "duration": 10.5, "text": "I think the exact number is over the course of last 5 years, we've exited 22 geographies or businesses that we viewed as non-core"}, {"path": "tedlium_12115.wav", "duration": 10.5, "text": "Most of the big brands in the core are in the second half. We've got pretty good forward visibility into pacing a booking on this, so I think we feel good about the core"}, {"path": "tedlium_12116.wav", "duration": 10.5, "text": "by ensuring we have a diverse and inclusive workplace, and so we were very pleased to once again be recognized by the Human Rights Campaign as a Best Place to Work"}, {"path": "tedlium_12117.wav", "duration": 10.5, "text": "makes us a player that procures as well as anyone in the industry, so we didn't think it's a cost factor. And when we look at our retail strategies, we strive to be very consistent"}, {"path": "tedlium_12118.wav", "duration": 10.5, "text": "try to predict these effects, as you know, and I don't guide on that. But it's a fact of the matter that, in theory, there are more selling days in Q1 this year"}, {"path": "tedlium_12119.wav", "duration": 10.5, "text": "it would be on a projected basis. We brought 3 wells on in the first quarter and 2 wells on in the second, and that probably totals just under 4 net wells."}, {"path": "tedlium_12120.wav", "duration": 10.5, "text": "Next, Digital Content Ratings. Our beta was a success. Our software has been fully tested by our partners, and it's now available to all clients."}, {"path": "tedlium_12121.wav", "duration": 10.5, "text": "should -- the reason why we expect our business to continue to grow at attractive mid-single-digit rates with the big media companies is because we are, in fact, doing this work"}, {"path": "tedlium_12122.wav", "duration": 10.5, "text": "So I think those are 2 key drivers of our value proposition. Now pathologists use us as their laboratory"}, {"path": "tedlium_12123.wav", "duration": 10.5, "text": "pretty excited based on our history of launching next-generation power tools and understanding that upgrade cycle to see an acceleration in that business in the second half as we move away from the sampling stage."}, {"path": "tedlium_12124.wav", "duration": 10.5, "text": "reporting is as transparent as possible, we're going to do what we've done and keep challenging ourselves to make sure you and all of our investors see the business through the same lens we do."}, {"path": "tedlium_12125.wav", "duration": 10.5, "text": "It is not my intention to boggle you down with details, so therefore, we have included a slide as an appendix in which we show the levels of minimum capital required for the banks based on the new decree."}, {"path": "tedlium_12126.wav", "duration": 10.5, "text": "and firefighter location capabilities that can come in the future. And I think it becomes a challenging target"}, {"path": "tedlium_12127.wav", "duration": 10.5, "text": "we will have to obviously finance it. And yet, the type of financing that we can choose it can be very specific or it can be a mix of both."}, {"path": "tedlium_12128.wav", "duration": 10.5, "text": "until very recently, because we had some legacy issues that we needed to resolve in terms of work that we had previously done. And we completed -- we've completed"}, {"path": "tedlium_12129.wav", "duration": 10.5, "text": "arrive at sites and then actually shut down at the end of the day. And what this does is, it allows us to be able to service more properties more efficiently, just making sure we're being efficient in"}, {"path": "tedlium_12130.wav", "duration": 10.5, "text": "There really is still seasonality. I'd love it to be sequential. It just won't be until -- and I've always thought this. My numbers never changed."}, {"path": "tedlium_12131.wav", "duration": 10.5, "text": "and I'm confident we are taking the right steps to work through this challenging market environment. Now let me turn to an overview of our results."}, {"path": "tedlium_12132.wav", "duration": 10.5, "text": "from pure generic play, and obviously, we're preparing for success in XIAFLEX. But we also have to keep our optionality open if we can place Endo in a better position"}, {"path": "tedlium_12133.wav", "duration": 10.5, "text": "We've been bringing that number down over the last few years. And now, it's really getting to be close, more closely in line with traditionally where we've kind of kept our 1 to 4 family book."}, {"path": "tedlium_12134.wav", "duration": 10.5, "text": "Before we start our discussion, please note that certain statements made during this call may be forward looking, and actual results may differ materially from our expectations due to a number of risk factors."}, {"path": "tedlium_12135.wav", "duration": 10.5, "text": "We anticipate capital expenditures to be in the 3% to 3.5% range, as we complete some of the more significant investments from the past years."}, {"path": "tedlium_12136.wav", "duration": 10.5, "text": "I mean, I think still the best you can say is that the -- I mean, maybe we're approaching a bottom if you look at the trends, but the incremental is still slightly negative,"}, {"path": "tedlium_12137.wav", "duration": 10.5, "text": "This is a clear growth driver for our industry in the next few years with car electrification semiconductors growing"}, {"path": "tedlium_12138.wav", "duration": 10.5, "text": "Thanks, Scott, and thank you all for joining us on the call this morning. As we usually do, I'll make some brief comments on the quarter and cover the first few pages of the slide deck"}, {"path": "tedlium_12139.wav", "duration": 10.5, "text": "And we will look to get out of that for certain, but we'll look to get out of it once we have good reinvestment candidates."}, {"path": "tedlium_12140.wav", "duration": 10.5, "text": "segregate one group of patients out from another does provide I think an inherent advantage in the perception of the product in the field and in the community."}, {"path": "tedlium_12141.wav", "duration": 10.5, "text": "Before turning the call back over to Colin, I would like to welcome our new colleagues and express my sincere appreciation to our people around the world for their ethics,"}, {"path": "tedlium_12142.wav", "duration": 10.5, "text": "the return to a controlled level of profitability in the mass segment is proper and equitable,"}, {"path": "tedlium_12143.wav", "duration": 10.5, "text": "that impact different industrial segments and different countries around the world, it's hard for us to put our arms around specific time lines."}, {"path": "tedlium_12144.wav", "duration": 10.5, "text": "As long as we remain focused on the careful execution of our proven off-price strategies, we believe we can continue to deliver solid growth in both sales and earnings."}, {"path": "tedlium_12145.wav", "duration": 10.5, "text": "Before we begin the question-and-answer session, I'd like to thank John Call for his leadership and the numerous contributions he has made over more than 2 decades at Ross,"}, {"path": "tedlium_12146.wav", "duration": 10.5, "text": "but will be partially offset by the completion of a major project during the third quarter of 2015, which we have previously discussed."}, {"path": "tedlium_12147.wav", "duration": 10.5, "text": "and delivering efficiency to our partners. And we now have most of the essential pieces of the puzzle in place to deliver on the unique product opportunity."}, {"path": "tedlium_12148.wav", "duration": 10.5, "text": "the index structure works in relation to our costs is that the index structure has caused our revenues to decline"}, {"path": "tedlium_12149.wav", "duration": 10.5, "text": "that we do not have at Camping World that we probably won't, that are unique to that business, and that are unique to those specific markets. Well, we need that traffic."}, {"path": "tedlium_12150.wav", "duration": 10.5, "text": "from macroeconomic and political volatility, the continued rebalancing of the economic world, to shifting consumer preferences and increasing demand for healthier products,"}, {"path": "tedlium_12151.wav", "duration": 10.5, "text": "Will you be providing us with some sense as to the magnitude of contribution from Dawson as a lot of us kind of look at the segments"}, {"path": "tedlium_12152.wav", "duration": 10.5, "text": "Financial Services remains a consistent and predictable business for us as customers continue to look for flexible alternative ways to consume and finance their technology needs."}, {"path": "tedlium_12153.wav", "duration": 10.5, "text": "The nature of the business is that we will always have puts and takes in the overall model and some programs will overdeliver compared to initial plan,"}, {"path": "tedlium_12154.wav", "duration": 10.5, "text": "this is a voluntary program that's free to businesses and their employees. The program provides access to occupational health services for those employees who are out sick"}, {"path": "tedlium_12155.wav", "duration": 10.5, "text": "Our model continues to yield a broadening customer base across the world's leading pharmaceutical companies, and that bodes well for the future growth of our pipeline."}, {"path": "tedlium_12156.wav", "duration": 10.5, "text": "some of the labor issues that we've had. It will be higher than it was in the third quarter we believe, but not back to historical norms. But going forward, we do believe that"}, {"path": "tedlium_12157.wav", "duration": 10.5, "text": "Yes. We saw a little bit of an impact, more driven because our execution is getting better on the collection side of the house. What I would say is,"}, {"path": "tedlium_12158.wav", "duration": 10.5, "text": "We are also beginning to monetize many of our other new partner agreements and that should provide growing revenues over the next few quarters."}, {"path": "tedlium_12159.wav", "duration": 10.5, "text": "This will represent a huge savings in time and resources. And within the next 5 years, we believe that number could drop to 0 as AI does all of the work without requiring any human interaction."}, {"path": "tedlium_12160.wav", "duration": 10.5, "text": "we are working diligently to develop napabucasin and LATUDA in Japan. But anything outside of these, we don't have very many."}, {"path": "tedlium_12161.wav", "duration": 10.5, "text": "The strong cash-generating characteristics of our business provides flexibility to invest in our platform while remaining committed to returning capital to our investors."}, {"path": "tedlium_12162.wav", "duration": 10.5, "text": "I think, for all time. And we're very excited to participate in that segment and we do believe we've got the brands, we've got the people, we've got the resources, we've got the focus and the strategy"}, {"path": "tedlium_12163.wav", "duration": 10.5, "text": "Investors are cautioned that all forward-looking statements in this call involve risks and uncertainty and that future events may differ materially from the statements made."}, {"path": "tedlium_12164.wav", "duration": 10.5, "text": "So if we had to look sequentially December to September, should we think of it up, down? Kind of help on the EBIT line for South America would be appreciated."}, {"path": "tedlium_12165.wav", "duration": 10.5, "text": "is largely a function of the pricing dynamic that you have very high confidence in giving what you've already sort of contracted for?"}, {"path": "tedlium_12166.wav", "duration": 10.5, "text": "manufacturing strategy. So we never believed when we saw the huge buildup of capacity in China during the 2000s that there was enough factor cost advantage or"}, {"path": "tedlium_12167.wav", "duration": 10.5, "text": "we had a very modest clinical capability and a pretty small organization. We are in a rapid growth phase."}, {"path": "tedlium_12168.wav", "duration": 10.5, "text": "I'll begin by taking you through a discussion of the first quarter. I'll then hand the call over to Mike Coggin, our Chief Financial Officer, for a closer look at our financial performance."}, {"path": "tedlium_12169.wav", "duration": 10.5, "text": "Before I turn the call over to Ari for a financial overview, I would like to say, that advancing a program from computer prediction"}, {"path": "tedlium_12170.wav", "duration": 10.5, "text": "You can also refer to our supplemental financial information provided in PowerPoint presentation format that further supports our earnings release."}, {"path": "tedlium_12171.wav", "duration": 10.5, "text": "Our advantaged platform provides us with the potential to be among the fastest-growing consumer companies, with substantial margin upside and strong EPS growth,"}, {"path": "tedlium_12172.wav", "duration": 10.5, "text": "So with that behind us, Dev will be talking to us about the financial results for the second quarter a little later. But first, I'll turn the call over to Ellen"}, {"path": "tedlium_12173.wav", "duration": 10.5, "text": "I will comment on the performance of our investment portfolio, discuss our recent dividend announcements and a few other recent developments and conclude by commenting on our investment pipeline."}, {"path": "tedlium_12174.wav", "duration": 10.5, "text": "This may cause the actual results, performance or achievements of the company to materially differ from the results, performance or achievements expressed or implied by such forward-looking statements."}, {"path": "tedlium_12175.wav", "duration": 10.5, "text": "To that end, we are excited to move forward in a strategic partnership with Molteni whose strong track record of success"}, {"path": "tedlium_12176.wav", "duration": 10.5, "text": "with a strong focus on new logo sales. This did however have a negative impact on our standard renewal campaign rhythm, which is being addressed in the second half."}, {"path": "tedlium_12177.wav", "duration": 10.5, "text": "as we continue the unique and exclusive partnership with only board-certified plastic surgeons. With that, I'd like to turn the call over to questions and answers."}, {"path": "tedlium_12178.wav", "duration": 10.5, "text": "And finally, all comparative references will be to the first quarter of 2016 unless we state otherwise. Now I will turn the call over to Joe. Thanks, Diana."}, {"path": "tedlium_12179.wav", "duration": 10.5, "text": "is influencing both driver and carrier behaviors, leading to the continued need to refresh equipment or to add equipment to increase drop and hook opportunities."}, {"path": "tedlium_12180.wav", "duration": 10.5, "text": "Let me now turn this over to Ali. Thank you, Bob, and good afternoon, everyone. Let me begin by reminding you of an accounting item that came up in the period post spin."}, {"path": "tedlium_12181.wav", "duration": 10.5, "text": "At the same time as we are managing these short-term economic headwinds, we are continuing with the exciting work of building a more agile, competitive, and digital Nedbank for the long-term."}, {"path": "tedlium_12182.wav", "duration": 10.5, "text": "Steady growth in the first half of the year in wealth and asset management was offset by weaker insurance earnings, as well as the impact of a stronger rand."}, {"path": "tedlium_12183.wav", "duration": 10.5, "text": "If you haven't received to save-the-date, please contact Suzy, and she can give you the details. That concludes our formal remarks, and now I'll open it up for your questions."}, {"path": "tedlium_12184.wav", "duration": 10.5, "text": "coupled with our demonstrated ability to manage the expense in capital base, we are off to a great start in this game changing combination of these 2 firms."}, {"path": "tedlium_12185.wav", "duration": 10.5, "text": "One key area of our focus has been the transfer of vested shares attached to existing equity plans, like employee stock purchase plans and restricted stock grants"}, {"path": "tedlium_12186.wav", "duration": 10.5, "text": "We will continue to have an overhead support structure in South Africa that will naturally decline as we complete phases of the project but will represent an ongoing headwind to earnings until then."}, {"path": "tedlium_12187.wav", "duration": 10.5, "text": "We have also consolidated operations in Europe in the third quarter to reduce our future cost structure there, for which you saw a charge this quarter."}, {"path": "tedlium_12188.wav", "duration": 10.5, "text": "that we have with the mobile functionality that we have with the treasury solution. And that's getting a lot of attention because it's a very robust platform to begin with, but then it has all the functionality on the"}, {"path": "tedlium_12189.wav", "duration": 10.5, "text": "And of course, health is a big trend. We need to combine healthy elements with our products as well."}, {"path": "tedlium_12190.wav", "duration": 10.5, "text": "In addition, our digital and productivity initiatives are expected to drive lower field costs and call volumes in the second half of the year."}, {"path": "tedlium_12191.wav", "duration": 10.5, "text": "Right now that doesn't help us because we're looking back at periods when there was no Vyxeos available. A couple of years from now, they'll be looking back at periods where Vyxeos was available,"}, {"path": "tedlium_12192.wav", "duration": 10.5, "text": "We learned a lot last year. We had a bit of a rough time last year as we were working through both our operating model and, in general, our entire supply chain transformation."}, {"path": "tedlium_12193.wav", "duration": 10.5, "text": "particularly in the second half of 2017, which furthered our understanding as to why patients could benefit from the control of this master immune regulator."}, {"path": "tedlium_12194.wav", "duration": 10.5, "text": "are 10 brand-new modules from scratch using the SKY platform that are the modules that run the operations of the church."}, {"path": "tedlium_12195.wav", "duration": 10.5, "text": "we will -- the more we believe in the -- excuse me, as we make progress in deploying this process technology, the more we believe in the revaluation of this industry through a technology revolution."}, {"path": "tedlium_12196.wav", "duration": 10.5, "text": "We are also pleased with the performance of Natural Balance, our super premium pet food brand that remains exclusive to the pet specialty and e-commerce channels."}, {"path": "tedlium_12197.wav", "duration": 10.5, "text": "current market conditions and our expectations going forward. The impairment test we conducted in the fourth quarter did not support the carrying value of this distribution network from Chile."}, {"path": "tedlium_12198.wav", "duration": 10.5, "text": "In some instances, as I mentioned earlier, this means taking a step back or foregoing some short-term top line gains in order to build the brand back in the way that is sustainable."}, {"path": "tedlium_12199.wav", "duration": 10.5, "text": "have been met. And in accordance with accounting standards, we have booked an asset in inventory and an offsetting liability in development provisions in order to recognize the likely"}, {"path": "tedlium_12200.wav", "duration": 10.5, "text": "We also saw a continued success in the Eastern Canada fishing markets, where the higher commodity prices and lower fuel costs drove more demand for our marine transmissions."}, {"path": "tedlium_12201.wav", "duration": 10.5, "text": "During the second quarter, we had a large MRC customer convert to a term subscription in order to achieve cost savings by moving to a fixed term contract."}, {"path": "tedlium_12202.wav", "duration": 10.5, "text": "as the only non-bank lender offering both investor- and owner-occupied small balance commercial loan products, we can build market share without the need to compete by loosening credit criteria."}, {"path": "tedlium_12203.wav", "duration": 10.5, "text": "These measures should not be considered in isolation or as a substitute for our financial results prepared in accordance with GAAP. A reconciliation of these measures to the most directly comparable GAAP measure"}, {"path": "tedlium_12204.wav", "duration": 10.5, "text": "Because none of these obligations come due for several years, we are able to safely leverage this capital into investments that are higher yielding, like balance sheet loans and real estate."}, {"path": "tedlium_12205.wav", "duration": 10.5, "text": "What it does have is lighter restrictions in relation to the approvals we would need from the banks to engage in acquisitions."}, {"path": "tedlium_12206.wav", "duration": 10.5, "text": "for Cohort 2, I mean, obviously patients all had to fit the inclusion and exclusion criteria of the study, but is there anything you are prepared to tell us at this time in terms of"}, {"path": "tedlium_12207.wav", "duration": 10.5, "text": "As we take a step back and look at our industry, there appears to be increasing momentum for change and for consolidation. Some of this may be driven by the desire by some for sheer size,"}, {"path": "tedlium_12208.wav", "duration": 10.5, "text": "You've seen us participate in the market, but we will continue to approach opportunities with an unwavering commitment to financial prudence as we manage our opportunities set between potential acquisitions"}, {"path": "tedlium_12209.wav", "duration": 10.5, "text": "and is now going through a number of advancements to expand its reach beyond the initial patient population being helped out"}, {"path": "tedlium_12210.wav", "duration": 10.5, "text": "Our customers recognize this value as they assess their TCO. Although we have improved our processes and become more efficient in supporting this market,"}, {"path": "tedlium_12211.wav", "duration": 10.5, "text": "Because our products are used in various medical applications, we conduct extensive and time-consuming testing and validation before any product is launched."}, {"path": "tedlium_12212.wav", "duration": 10.5, "text": "The statistically significant benefit and improved patient outcomes when using endovenous laser for the treatment of venous disease are undeniable and have been confirmed repeatedly"}, {"path": "tedlium_12213.wav", "duration": 10.5, "text": "And some of the questions seem to miss those 2 points, and I want to reemphasize that our great service is because of the"}, {"path": "tedlium_12214.wav", "duration": 10.5, "text": "If that was really just being used as a starting dose, you would expect that to be a lot lower. So we're seeing it both in terms of feedback specifically from physicians"}, {"path": "tedlium_12215.wav", "duration": 10.5, "text": "how many of these new services at this point are you negotiating carriers with directly versus the affiliate group or your network partner acting as a proxy?"}, {"path": "tedlium_12216.wav", "duration": 10.5, "text": "These non-GAAP financial measures remove the impact of restructuring costs, currency movements and other costs, as noted in the company's filings."}, {"path": "tedlium_12217.wav", "duration": 10.5, "text": "We've learned that in order to run at full production capacity, everything has to go right, leaving little to no room for production or supply chain hiccups."}, {"path": "tedlium_12218.wav", "duration": 10.5, "text": "So I believe that means that it does give us some sustainability in both our ability to grow distribution as well as key productivity"}, {"path": "tedlium_12219.wav", "duration": 10.5, "text": "remain committed to our aggressive cost-reduction targets and are on track with them. And after reducing debt, we also expect to accelerate share repurchases in the back half of the year."}, {"path": "tedlium_12220.wav", "duration": 10.5, "text": "So we saw those sort of small factors combine to just give us a little bit better margin than what we had originally thought as we were entering the quarter."}, {"path": "tedlium_12221.wav", "duration": 10.5, "text": "As you saw in the press release, net revenues were in line with our expectations for the fourth quarter, down 1% on a reported basis and flat in constant currency."}, {"path": "tedlium_12222.wav", "duration": 10.5, "text": "More detailed information about these and other risk factors can be found in our press release that preceded this call and in the risk factors and forward-looking statements sections"}, {"path": "tedlium_12223.wav", "duration": 10.5, "text": "But with the recent increases that we now know about in the fourth quarter are coming at us in really the first and second quarter of next year, that may"}, {"path": "tedlium_12224.wav", "duration": 10.5, "text": "if you could parse, how much of that is OpEx might not fall as fast as you thought earlier because you said some of these savings are delayed"}, {"path": "tedlium_12225.wav", "duration": 10.5, "text": "Yes. So as always, Alex, our capital allocation always runs to taking care of the organic growth that's in the business. I mean, we're going to be making some investments"}, {"path": "tedlium_12226.wav", "duration": 10.5, "text": "Financial results were in line with our plan for the year, with profit margins benefiting from cost efficiencies achieved following last year's merger."}, {"path": "tedlium_12227.wav", "duration": 10.5, "text": "And I just remind you, that was kind of weighted down a little bit because of the Venezuela divestiture. Extracting that, we had pretty good margin growth."}, {"path": "tedlium_12228.wav", "duration": 10.4999375, "text": "to get it onstream. So we should expect fairly flattish for 6 months and maybe addition, maybe not, depending on what you decide to do, is that the right way to think about it?"}, {"path": "tedlium_12229.wav", "duration": 10.4700625, "text": "And this is Mike. So with respect to the framework that Rick laid out, we have a number of opportunities to move forward in lines of therapy. And"}, {"path": "tedlium_12230.wav", "duration": 10.4700625, "text": "of the company and this new process that we have begun last year in his new responsibility."}, {"path": "tedlium_12231.wav", "duration": 10.47, "text": "In the second quarter, the NCI team maintained a strong focus on managing costs, driving operating efficiency and ensuring commercial discipline."}, {"path": "tedlium_12232.wav", "duration": 10.47, "text": "Due to this transition, we will not give specific guidance but we'll make the following comments about the financial impact on Oculus of the sale of our Latin America assets."}, {"path": "tedlium_12233.wav", "duration": 10.47, "text": "That said, we are doing everything possible to be well prepared that in the event if there was a priority review that would take us into the tail end of next year."}, {"path": "tedlium_12234.wav", "duration": 10.47, "text": "The ADVOCATE trial will assess the durability of avacopan's impact on safety and efficacy over a sustained 1 year of treatment."}, {"path": "tedlium_12235.wav", "duration": 10.47, "text": "and a solid financial performance from broking. The Saga model has again done what it does so well and demonstrated that it generates lots of cash."}, {"path": "tedlium_12236.wav", "duration": 10.47, "text": "utilizing an App Store type concept that will allow us to customize the products and services displayed for different user segments and differentiate our user experience in a meaningful way."}, {"path": "tedlium_12237.wav", "duration": 10.47, "text": "Project activity remains robust in many parts of the country, and we will continue to sharpen our competitive advantage to win more market share in our print services."}, {"path": "tedlium_12238.wav", "duration": 10.47, "text": "Stefan will present Beiersdorf's newest strategy program, which you probably have already seen from the release that we made last night."}, {"path": "tedlium_12239.wav", "duration": 10.47, "text": "And so what KOLs tell us and the investigators tell us is that there's a window here that we have at the beginning of this coming year, in the first half of this year or next year, excuse me,"}, {"path": "tedlium_12240.wav", "duration": 10.47, "text": "Yes, I would add, Liisa, that at the Boston College Allergy College Meeting, there was a poster from the COMPACT study that"}, {"path": "tedlium_12241.wav", "duration": 10.47, "text": "As a reminder, equity-based compensation expense is excluded from our operating expense guidance. That completes my review, and I'll turn the call back over to Jon."}, {"path": "tedlium_12242.wav", "duration": 10.47, "text": "However, there's been a lot more surprises than I've ever experienced previously or could have ever imagined, and basically driven by poor records and poor attention to detail."}, {"path": "tedlium_12243.wav", "duration": 10.47, "text": "We remain confident in the underlying fundamentals of our broad and growing business platform, which provides us with the same long-term growth opportunities."}, {"path": "tedlium_12244.wav", "duration": 10.47, "text": "Secondly, cellular is much easier to do in aboveground applications. So you see a lot of cellular in electric and gas because they're on the side of the house."}, {"path": "tedlium_12245.wav", "duration": 10.47, "text": "Will those happen near term? I don't know. But I will tell you that there is interest in staying on Pony due to its rate structure,"}, {"path": "tedlium_12246.wav", "duration": 10.47, "text": "And it not only is profitable, it brings a lot of deposits to us that we can use in the bank for core deposits. So I think the platform's there. I think"}, {"path": "tedlium_12247.wav", "duration": 10.47, "text": "That gives you not just road accuracy, but within lane accuracy, which is very unique and it's something our customers are looking for. And then it's everywhere in that"}, {"path": "tedlium_12248.wav", "duration": 10.47, "text": "So we don't see that continuing on to the second half of the year. And then just with the additional claims experience that we are seeing here now in the first half of the year,"}, {"path": "tedlium_12249.wav", "duration": 10.47, "text": "in order to have a more meaningful discussion that includes our third quarter results. We have moved that to another date. We will communicate that new date once it has been selected. It"}, {"path": "tedlium_12250.wav", "duration": 10.47, "text": "For the full year, we continue to expect growth in net operating income weighted towards the second half of 2016. New mobile programs,"}, {"path": "tedlium_12251.wav", "duration": 10.47, "text": "with improvements in the top line, you'd expect that you'd be able to offer a slightly higher marketing budget to help continue to grow"}, {"path": "tedlium_12252.wav", "duration": 10.47, "text": "So we're seeing a lot of that cross-pollination that we had hoped to see, and gaining strides there and seeing a nice uptake in our market share performance in the Americas."}, {"path": "tedlium_12253.wav", "duration": 10.47, "text": "month of the quarter for us, both in wholesale shipments and at retail, was June, which is when new product starts to hit. So we felt very good in the fact that"}, {"path": "tedlium_12254.wav", "duration": 10.47, "text": "We continue our investment. And I would say that our very strong investment discipline that we had in the few -- the last few years"}, {"path": "tedlium_12255.wav", "duration": 10.47, "text": "These risks and uncertainties could cause actual results to differ materially from those described in our forward-looking statements, and they should not be considered an indication or guarantee of future performance."}, {"path": "tedlium_12256.wav", "duration": 10.47, "text": "And then as I said before, we are making some targeted investments in areas where we think that the actual unit price on items is too high and we are lowering prices."}, {"path": "tedlium_12257.wav", "duration": 10.47, "text": "continue to expect expenses to reach nominal levels close to what you posted in previous quarters"}, {"path": "tedlium_12258.wav", "duration": 10.47, "text": "Looking ahead. First, with respect to the acquisition market, there hasn't been much change from our perspective since our last call for last quarter."}, {"path": "tedlium_12259.wav", "duration": 10.47, "text": "Not to do so would simply perpetuate our structural inefficiency and delay the achievement of our fundamental goal, that of returning to sustainable profitability."}, {"path": "tedlium_12260.wav", "duration": 10.47, "text": "For your reference, increases and decreases in capital expenditures by business segment, excluding the impact of currency translation effects, are as shown."}, {"path": "tedlium_12261.wav", "duration": 10.47, "text": "The pace of the roll-off could be materially faster or slower than today's prediction, which would impact our total revenue but not our subscription revenue."}, {"path": "tedlium_12262.wav", "duration": 10.47, "text": "we're looking at everything to be a 30% return on investment on the cash that we have, and the heavy equipment does not provide that, so that will come last."}, {"path": "tedlium_12263.wav", "duration": 10.47, "text": "So to summarize, we have moved the portfolio to growth. We have reduced our cost structure significantly while making necessary organic and inorganic investments."}, {"path": "tedlium_12264.wav", "duration": 10.47, "text": "As our portfolio shifts with the growth of our Global Ecommerce business, inclusive of Newgistics, our seasonality will also shift even more towards the fourth quarter."}, {"path": "tedlium_12265.wav", "duration": 10.47, "text": "of the transaction that we have been discussing with some -- not we, because it was a process that was not managed by us, but by the regulator and"}, {"path": "tedlium_12266.wav", "duration": 10.47, "text": "The first measure we use is gross cash generated from customer contracting activities, which is our reported GAAP revenue plus the change in deferred customer billing."}, {"path": "tedlium_12267.wav", "duration": 10.47, "text": "We were prepared for that and we're taking action now to protect shareholders. We've been working on alternatives for some time, and we look forward to providing further updates in due course."}, {"path": "tedlium_12268.wav", "duration": 10.47, "text": "Okay, that's very helpful. And one last one. Can you just talk about any -- or tell us what the appetite might be right now for any additional development projects? Give"}, {"path": "tedlium_12269.wav", "duration": 10.47, "text": "Consequently, cloud providers tend to go for large deployments that will enable them to meet sizable chunks of the anticipated demand from a single location."}, {"path": "tedlium_12270.wav", "duration": 10.47, "text": "covered over by having to set up a provision for the general damages as a result of the Supreme Court decision. But this is a single"}, {"path": "tedlium_12271.wav", "duration": 10.47, "text": "As far as Revision goes, again, as we've referenced, we're looking at a limited launch at the end of the year. I would give that same time line when we build up our capabilities to go on full launch,"}, {"path": "tedlium_12272.wav", "duration": 10.47, "text": "We are still seeing continued population growth, low unemployment rate and a robust industrial sector, all of which support future growth."}, {"path": "tedlium_12273.wav", "duration": 10.47, "text": "Many of you have asked about the continuing difficulties the traditional retail sector is facing and how it might impact our business. It is certainly a challenge,"}, {"path": "tedlium_12274.wav", "duration": 10.47, "text": "On Zoopla, we launched our innovative Move Planner recently, which helps consumers managing -- manage everything related to their move in one place"}, {"path": "tedlium_12275.wav", "duration": 10.47, "text": "product cycles and competitive factors. Within this framework, we'd expect 2018 capital placement seasonality to generally follow historical patterns by quarter."}, {"path": "tedlium_12276.wav", "duration": 10.47, "text": "our various pending organic initiatives and other potential growth opportunities we may explore, we do not plan to repurchase any additional stock for the time being."}, {"path": "tedlium_12277.wav", "duration": 10.47, "text": "and were again largely reinvested in offsetting cost inflation to maintain competitiveness and affordability in markets where real consumer incomes are under pressure."}, {"path": "tedlium_12278.wav", "duration": 10.47, "text": "I still think that it will not be as sustainable for -- in the long term for 4 players to be in the French market."}, {"path": "tedlium_12279.wav", "duration": 10.47, "text": "we had an increase in our EBITDA in this first quarter of '17. And in the bottom left chart, we also have a significant increase"}, {"path": "tedlium_12280.wav", "duration": 10.47, "text": "Our spring pass sales included strong resorts -- strong results from Northern California, likely due to the terrific conditions there this season, especially as compared to last year."}, {"path": "tedlium_12281.wav", "duration": 10.47, "text": "getting going in terms of educating people about the Park City experience. We have a lot of room to continue to dial in the experience there and improve"}, {"path": "tedlium_12282.wav", "duration": 10.47, "text": "Although, as expected, we have seen some slowdown in bookings toward the end of the quarter as our customers realign their product needs to meet market conditions."}, {"path": "tedlium_12283.wav", "duration": 10.47, "text": "We did both these investments smoothly and successfully, probably slower than what we all expected. We had to wait for all the regulatory approvals. And finally, the capital increase went"}, {"path": "tedlium_12284.wav", "duration": 10.47, "text": "We've also worked hard and executed on our initiatives to improve the balance sheet. And we've made difficult decisions relating to products, customers, associates and locations"}, {"path": "tedlium_12285.wav", "duration": 10.47, "text": "Any plans on sort of expense reductions or any expense synergies you plan to get out of the MuleSoft platform as you do the integration with salesforce.com?"}, {"path": "tedlium_12286.wav", "duration": 10.47, "text": "And indeed, as we expected, the application of the stopping rules has been applied much more frequently in the control cohorts dosed with pegsiticase only"}, {"path": "tedlium_12287.wav", "duration": 10.47, "text": "And as a global manufacturer, we are committed to protecting the environment. Earlier this month, we announced a 5-year international partnership with Water Aid."}, {"path": "tedlium_12288.wav", "duration": 10.47, "text": "This focus on AVOD will continue to enhance our unique ability to generate 4 separate revenue streams off of the huge OTT streaming ecosystem"}, {"path": "tedlium_12289.wav", "duration": 10.47, "text": "Please note that the anticipated sequential increase in Q1 operating expenses is in addition to the expenses relating to our 2 recent artificial intelligence acquisitions."}, {"path": "tedlium_12290.wav", "duration": 10.47, "text": "So let's talk about data solutions for a minute. The reason we're so deep in data solutions is because everything tells you that companies are obsessed with moving into the digital world."}, {"path": "tedlium_12291.wav", "duration": 10.47, "text": "We will take a restructuring charge tied to this cost reduction plan in our fourth quarter results. We will also see the headcount reductions fully complete in the fourth quarter numbers."}, {"path": "tedlium_12292.wav", "duration": 10.47, "text": "We will define what good looks like, what excellent looks like, and then we have a gap unidentified and then we will seek to close it."}, {"path": "tedlium_12293.wav", "duration": 10.47, "text": "powered by Microsoft Azure, are examples of our continued investment in growth businesses, and specifically, in our digital strategy that Mariner mentioned."}, {"path": "tedlium_12294.wav", "duration": 10.47, "text": "Automotive was strongly up from the same quarter of last year, reflecting our continued content growth and strong adoption of new products by our customers."}, {"path": "tedlium_12295.wav", "duration": 10.47, "text": "During the course of this call, we may make comments about our expectations for the future. Actual results could differ materially from those contained in these forward-looking statements."}, {"path": "tedlium_12296.wav", "duration": 10.47, "text": "Can you talk about, in the next 2 to 3 years, how much do you think that -- it seems like now you're really kind of getting to the point of critical mass in this specialty business."}, {"path": "tedlium_12297.wav", "duration": 10.47, "text": "they have suggested that they may be open to a full approval instead of an accelerated approval. A full approval being, obviously, a better outcome"}, {"path": "tedlium_12298.wav", "duration": 10.47, "text": "So for industrial operation, in the world we will identify more investment opportunities, so we have more confidence in our management."}, {"path": "tedlium_12299.wav", "duration": 10.47, "text": "a reduction in our bonus accrual in the fourth quarter. We came into this year with a plan and a bonus accrual set to the target of that plan and that's what we had accrued to"}, {"path": "tedlium_12300.wav", "duration": 10.47, "text": "the things that we described in December of last year, and we see the same opportunities there. Those opportunities are unchanged. And"}, {"path": "tedlium_12301.wav", "duration": 10.47, "text": "and we believe that we have the most upside potential for further penetration of our earthmoving fleet going forward. Earthmoving provides significant strategic value to our business,"}, {"path": "tedlium_12302.wav", "duration": 10.47, "text": "As far as we know or we have heard, we haven't had that kind of signal from the government. I think they will -- they are still concerned on the amount of"}, {"path": "tedlium_12303.wav", "duration": 10.47, "text": "In addition, Chris Cline decided to forgo the distribution on his common units for the third quarter, reflecting his continued commitment to our business."}, {"path": "tedlium_12304.wav", "duration": 10.47, "text": "So all parts of our Active business is strong, Joe's in fashion. And with Martha, when you exclude the Legacy business, the Martha business would actually be up."}, {"path": "tedlium_12305.wav", "duration": 10.47, "text": "And with that, let me turn the call back to Tom. Thanks, Sari. We had a strong start to the year as we successfully addressed customer priorities across our diverse portfolio of end markets"}, {"path": "tedlium_12306.wav", "duration": 10.47, "text": "Yes. I really can't comment on what other folks in the industry are doing in terms of production. The way we look at it really is just we produce what we can"}, {"path": "tedlium_12307.wav", "duration": 10.47, "text": "So there certainly is market pressure that comes into play. But through it all, I mean, we remain the price leader in the categories where we compete."}, {"path": "tedlium_12308.wav", "duration": 10.47, "text": "to come back for you and start growing in 2Q? Or would it be just that the -- you expect the IoT business to start ramping and maybe there are parts and pieces of the mobile business that come up?"}, {"path": "tedlium_12309.wav", "duration": 10.47, "text": "for merchants and helps marketplaces connect with sellers that have a proven history with PayPal. One of the most pronounced trends in e-commerce over the past several years"}, {"path": "tedlium_12310.wav", "duration": 10.47, "text": "We made significant progress adding some exceptional banking talent, streamlining key processes and enhancing our use of technology in many areas of the company."}, {"path": "tedlium_12311.wav", "duration": 10.47, "text": "but we want to get those products out sooner and have a full line card come this spring for the launch. And the feedback, I just got a text"}, {"path": "tedlium_12312.wav", "duration": 10.47, "text": "and had a very strong year in 2015, primarily due to continued growth in database and targeted marketing, which drove healthy increases in both slot and table games revenue."}, {"path": "tedlium_12313.wav", "duration": 10.47, "text": "of the dividend on our preferred stock. We remain confident that our business model will continue to generate strong cash flow and support our growth strategy."}, {"path": "tedlium_12314.wav", "duration": 10.47, "text": "We continue to focus on controlling our costs, delivering lease operating expenses below the low end of guidance and general and administrative costs at the low end of guidance."}, {"path": "tedlium_12315.wav", "duration": 10.47, "text": "This quarter's increase in earnings reflects higher earnings in all service lines, particularly in inside work where the company saw higher workloads, along with margins."}, {"path": "tedlium_12316.wav", "duration": 10.47, "text": "we will try to maintain it. What can we do to prevent competitive environment changing? I think not a lot. I think we have to continue to run our business well, to"}, {"path": "tedlium_12317.wav", "duration": 10.47, "text": "The trends of longer blades, taller towers, technology advancements and maturing of the industrial supply chains to drive down LCOE continues."}, {"path": "tedlium_12318.wav", "duration": 10.47, "text": "and we continue to evaluate opportunities to leverage the strength of the Trex brand by adding complementary products to our portfolio."}, {"path": "tedlium_12319.wav", "duration": 10.47, "text": "The decline in the midpoint is almost solely attributable to the unforeseen bankruptcy of a 62,000 square foot industrial user in Greensboro."}, {"path": "tedlium_12320.wav", "duration": 10.47, "text": "Accordingly, we are maintaining a full court press with our shortage initiatives and we'll provide another update after we take our January inventories."}, {"path": "tedlium_12321.wav", "duration": 10.47, "text": "Now going into the financial year, so I have just singled out 3 areas that were of concern or were happening last year."}, {"path": "tedlium_12322.wav", "duration": 10.47, "text": "We just have to keep our brands above that slightly. And we have to fight with the branded competitors in the same space. Steve, this is Mark Smucker. I would just add 1 or 2 things, and that is that"}, {"path": "tedlium_12323.wav", "duration": 10.47, "text": "mixing machine is in, and we're going through the qualifications. We actually are expecting to ship commercial product out of that starting in the third quarter and ramping up to the fourth."}, {"path": "tedlium_12324.wav", "duration": 10.47, "text": "Now when making such fundamental changes, the challenge is always to keep the car going at full speed, whilst you're also tuning the engine,"}, {"path": "tedlium_12325.wav", "duration": 10.47, "text": "of billed volume on average. However, some areas of business can report backlogs in excess of 10 months with other areas of our business at much lighter backlog levels."}, {"path": "tedlium_12326.wav", "duration": 10.47, "text": "of those -- that amenity provision. And importantly, that community, like many of the communities that we've commenced in the last 5 years, is very close to new heavy rail."}, {"path": "tedlium_12327.wav", "duration": 10.47, "text": "and the reality of a continued reduction in commodity prices, and it's impacting the ability of companies to generate cash flows on a sustainable way. On the other hand,"}, {"path": "tedlium_12328.wav", "duration": 10.47, "text": "but we don't -- we certainly don't think we can do it forever. And we do have internal guidelines about how much we can raise rent. We would never raise rent, for example, on the renewal"}, {"path": "tedlium_12329.wav", "duration": 10.47, "text": "Although online snacks are relatively underdeveloped, we believe e-commerce will be increasingly important as consumer purchasing behavior changes."}, {"path": "tedlium_12330.wav", "duration": 10.47, "text": "within our part of the value chain if we have closer cooperation altogether. So I think it is really about cooperating across"}, {"path": "tedlium_12331.wav", "duration": 10.47, "text": "However, it is important to remember that the amount shown here after 2020 do not include any benefit from management actions."}, {"path": "tedlium_12332.wav", "duration": 10.47, "text": "Okay, okay. And then if you could talk about maybe some of your brands that are more exposed to the off-price channel given there's been some changes in that as well will be helpful."}, {"path": "tedlium_12333.wav", "duration": 10.47, "text": "It has given us a good platform to now sell pizzas across a large number of cities compared to any other food business in India."}, {"path": "tedlium_12334.wav", "duration": 10.47, "text": "in the IB. The capital markets environment was pretty robust in the third quarter, so we feel good about where we've got to. It is part of our key strategy to"}, {"path": "tedlium_12335.wav", "duration": 10.47, "text": "Now as I mentioned already, we have more than 10,000 FedEx Onsite locations, and we are very, very pleased with the usage trends that we have seen so far. Thank you."}, {"path": "tedlium_12336.wav", "duration": 10.47, "text": "So there's another question here about our view on electric and autonomous trucks. And specifically about"}, {"path": "tedlium_12337.wav", "duration": 10.47, "text": "and we are focusing on margins versus volumes at this time. With the upcoming changes expected as a result of the IMO 2020 regulations,"}, {"path": "tedlium_12338.wav", "duration": 10.47, "text": "We've staffed up significantly in our call centers to handle the cutover and we have committed plans for that, through attrition,"}, {"path": "tedlium_12339.wav", "duration": 10.47, "text": "that they may not have all the votes that they feel like they need. The Senate, of course, is far behind where the House is, and there's a lot of work left to be done there. But"}, {"path": "tedlium_12340.wav", "duration": 10.47, "text": "I will provide a more detailed update on our business in a few minutes. But at this time, I will turn the call over to Nancy to review our financial results and outlook. Nancy?"}, {"path": "tedlium_12341.wav", "duration": 10.47, "text": "And all of that hard work, it was what I was trying to allude to in my prepared remarks, had set us up in '19 and '20 and beyond to be more balanced."}, {"path": "tedlium_12342.wav", "duration": 10.47, "text": "Who do you think your -- who do you see as your primary competition today? And then as it relates to e-commerce, what's the best way to think about Amazon as a potential channel of distribution?"}, {"path": "tedlium_12343.wav", "duration": 10.47, "text": "and with this minimum -- I mean, having to pay minimum wage and overtime to 100% commissioned salespeople, it's just an odd thing for me. And we decided we just had to come up with"}, {"path": "tedlium_12344.wav", "duration": 10.47, "text": "reconciliation of our non-GAAP forward outlook to the most directly comparable GAAP measures is not included because material items that affect these measures such as"}, {"path": "tedlium_12345.wav", "duration": 10.47, "text": "of 1995. Actual results and trends could differ materially from those set forth in such statements due to various risks, uncertainties and other factors."}, {"path": "tedlium_12346.wav", "duration": 10.47, "text": "which are set forth on Slide 6. It is worth mentioning again that we increased our guidance for both companies in May when we initiated guidance for the combined company."}, {"path": "tedlium_12347.wav", "duration": 10.47, "text": "basically the benefit, if you could quantify or at least qualify that on margins historically from that strategy that we need to take into account, if you focus more on cash"}, {"path": "tedlium_12348.wav", "duration": 10.47, "text": "The expansion in sales allowed us to overcome significant raw material inflation this year as well as supply chain disruptions related to Hurricane Harvey."}, {"path": "tedlium_12349.wav", "duration": 10.47, "text": "So with these comments, I'll conclude, and I'll turn it back over to Jerry for further comments, and then open it up for questions and answers in discussions."}, {"path": "tedlium_12350.wav", "duration": 10.47, "text": "If things proceed as planned, the first of an eventual fleet of up to 5 of these geosynchronous orbit servicing vehicles will commence operations"}, {"path": "tedlium_12351.wav", "duration": 10.47, "text": "It's a real testament to our talented and dedicated employees around the world who are creating a strong culture focused on leadership development, operational excellence and driving results."}, {"path": "tedlium_12352.wav", "duration": 10.47, "text": "secondly, was there any benefit in service fees from the restructuring of contracts around the breakup of scheme and processing in Europe?"}, {"path": "tedlium_12353.wav", "duration": 10.47, "text": "volume leverage. One item that I'd like to point out is that pricing does remain very competitive in China and did negatively impact margins in the quarter."}, {"path": "tedlium_12354.wav", "duration": 10.47, "text": "I mean, is that deflationary piece relative to price kind of a significant component? Because I'd think just looking at the headlines on the commodities, there's been"}, {"path": "tedlium_12355.wav", "duration": 10.4699375, "text": "And as consumers in emerging markets trade up, primary scotch price points can sit between local mainstream spirits and premium core."}, {"path": "tedlium_12356.wav", "duration": 10.4699375, "text": "we are not playing with the credit model to drive retail sales. Now we're not going to do it if we're not seeing the return on investment"}, {"path": "tedlium_12357.wav", "duration": 10.4400625, "text": "Actual outcomes and results may differ materially due to factors that are summarized in the earnings press release and described more fully in the company's filings with the SEC."}, {"path": "tedlium_12358.wav", "duration": 10.4400625, "text": "and announced the sales of our San Juan Basin and Barnett shale assets. We're on track to close these transactions in the third quarter."}, {"path": "tedlium_12359.wav", "duration": 10.44, "text": "We are fully committed to all of our customers for maintenance of their existing project, to advising them on new product and to service and support their business goals."}, {"path": "tedlium_12360.wav", "duration": 10.44, "text": "And finally, a few thoughts on what's next in our corporate strategy. So for more details on the quarter and for our financial results, I'll pass the baton to Bob."}, {"path": "tedlium_12361.wav", "duration": 10.44, "text": "At the same time, we are evaluating further indication expansion as we believe luspatercept is a potential platform treatment for anemia. I will jump into this in more detail in just a minute."}, {"path": "tedlium_12362.wav", "duration": 10.44, "text": "We want 180 to be known as a prominent and dominant leader in our world of public company constructive activism. We will continue to strive for excellence and investment performance."}, {"path": "tedlium_12363.wav", "duration": 10.44, "text": "The transactions we're working on very significantly in size and complexity and attempting to forecast which deals will be completed and when is difficult."}, {"path": "tedlium_12364.wav", "duration": 10.44, "text": "While it's impossible to predict the timing on any single deal, the fact that several discussions are progressing gives us confidence in our ability to complete at least one deal this year."}, {"path": "tedlium_12365.wav", "duration": 10.44, "text": "like the idea of the procedure under the cash-pay model, but have really sort of lost touch with you since you went to the reimbursement model?"}, {"path": "tedlium_12366.wav", "duration": 10.44, "text": "where that rate pressure is and really that's the group that saw the deep plunge in terms of pricing. And so it's more than come back now. And"}, {"path": "tedlium_12367.wav", "duration": 10.44, "text": "These were partially offset by contractual price increases, higher order levels and an early time charter termination payout,"}, {"path": "tedlium_12368.wav", "duration": 10.44, "text": "We did take that down to the high single-digit range at the end of the first quarter and then slightly lower than that in the second quarter earnings conference call."}, {"path": "tedlium_12369.wav", "duration": 10.44, "text": "I've come to realize, and we've come to realize as Beiersdorf as a group, that our potential to capture opportunities and growth outside of our core territory"}, {"path": "tedlium_12370.wav", "duration": 10.44, "text": "exceedingly mindful of the risk management side of that equation. And so part of that is hiring the right people and making sure that they"}, {"path": "tedlium_12371.wav", "duration": 10.44, "text": "and also began the implementation. And we aim to use the fantastic starting point that we have in our current business,"}, {"path": "tedlium_12372.wav", "duration": 10.44, "text": "Given the softness in our flow instrumentation business, the decision was made to offer the early retirement program to certain individuals as well as not filling open positions."}, {"path": "tedlium_12373.wav", "duration": 10.44, "text": "Because the Chicago project is so large and visible, our successful execution could drive similar opportunities in many communities nationwide."}, {"path": "tedlium_12374.wav", "duration": 10.44, "text": "and goes into this amalgam of MAP and Direct and most of it goes into MAP under that aggressive case. And then you say"}, {"path": "tedlium_12375.wav", "duration": 10.44, "text": "how that could impact your business on the demand side? Well, couple of things. I think we're still talking about an interest rate environment from the perspective of real estate developers and lenders that are"}, {"path": "tedlium_12376.wav", "duration": 10.44, "text": "We will continue to review our capital allocation options, balancing the investments needed to ensure that we develop the products and put the capacity in place to support our growth objectives"}, {"path": "tedlium_12377.wav", "duration": 10.44, "text": "Our strong growth profile coupled with our highly regulated transmission and distribution businesses gave us the confidence to extend our dividend guidance."}, {"path": "tedlium_12378.wav", "duration": 10.44, "text": "Or these tractors that may come on the market here over the next 6 to 9 months? Is that even being contemplated? Or is it sort of new? And I guess why?"}, {"path": "tedlium_12379.wav", "duration": 10.44, "text": "This validates our assumption that our business model flexes nicely across multiple brand offerings as we seek to capture more of the growing audience of weight loss contenders moving forward."}, {"path": "tedlium_12380.wav", "duration": 10.44, "text": "We feel good about the market potential improvements made in the business and believe that business would be better suited for a local player that should realize greater operating leverage as part of a larger portfolio."}, {"path": "tedlium_12381.wav", "duration": 10.44, "text": "Both companies have a keen appreciation that superior customer care comes from having deep analytical insight and understanding of the entire customer journey across all points of engagement."}, {"path": "tedlium_12382.wav", "duration": 10.44, "text": "We will examine and consider all options in our efforts to maximize the value of this opportunity and increase long-term shareholder value."}, {"path": "tedlium_12383.wav", "duration": 10.44, "text": "What's most encouraging to me about those international markets is that I think there is sort of growing recognition amongst NOCs and overseas oilfield service companies of the importance of technology,"}, {"path": "tedlium_12384.wav", "duration": 10.44, "text": "several parts of the channels, suppliers appear to be talking a lot more than they used to about higher hurdle rates for reinvestment. And so are you worried about -- or"}, {"path": "tedlium_12385.wav", "duration": 10.44, "text": "One external factor that has changed since our last call is foreign exchange, which we now expect to be near 0 for the full year based on current FX rates."}, {"path": "tedlium_12386.wav", "duration": 10.44, "text": "of FSGS stakeholders to efficiently enroll this trial far more . We have identified more than 100 sites globally with interest in participating in the trial."}, {"path": "tedlium_12387.wav", "duration": 10.44, "text": "which means that there is a negative development in the single premium business because single premium, you will usually get, when you write new accounts."}, {"path": "tedlium_12388.wav", "duration": 10.44, "text": "Profit was supported by a strong result in the Life business in Brazil as well as the resilient result in Iberia despite a low interest rate environment."}, {"path": "tedlium_12389.wav", "duration": 10.44, "text": "I think we're probably balancing better this year and I'll come -- I'll be glad to come back to be more specific responding to your question in a year."}, {"path": "tedlium_12390.wav", "duration": 10.44, "text": "In September, we will issue our annual proxy guide that offers clients a comprehensive roadmap for building innovative and shareholder-friendly proxy statements,"}, {"path": "tedlium_12391.wav", "duration": 10.44, "text": "a little hard for us to say where that's going to go. This is not going to be something that we commercialize on our own. That's just impractical."}, {"path": "tedlium_12392.wav", "duration": 10.44, "text": "If we want to grow and if we want to really be serious and become a real serious player in this area, we believe we needed to relook at the processes, because"}, {"path": "tedlium_12393.wav", "duration": 10.44, "text": "We, therefore, have high hopes for this new market. If we can enter the European market from a base in England, we see potential to build business"}, {"path": "tedlium_12394.wav", "duration": 10.44, "text": "we think our products emphasizing health benefits, such as Ramune, I just mentioned, will continue to become more popular with consumers."}, {"path": "tedlium_12395.wav", "duration": 10.44, "text": "Well, again, we want to thank everyone for joining us on the call today. We look forward to speaking with you next quarter. Thank you."}, {"path": "tedlium_12396.wav", "duration": 10.44, "text": "This decrease is a function of rigs that were reactivated as well as the recontracting of rigs that rolled off higher dayrate-term contracts."}, {"path": "tedlium_12397.wav", "duration": 10.44, "text": "is obviously something that we're good at and we'll continue to push. However, our educators are not immune to these trends. They're driving on the same roads"}, {"path": "tedlium_12398.wav", "duration": 10.44, "text": "Very simply, if no other action is taken by a BDC other than adopting the change in the asset coverage ratio, the probability of default for all of our lenders decreases."}, {"path": "tedlium_12399.wav", "duration": 10.44, "text": "Approximately 60% of these new investments were to incumbent borrowers, and more than half of these investments were in first lien secured positions."}, {"path": "tedlium_12400.wav", "duration": 10.44, "text": "As part of our plan to drive greater efficiency and expanded -- expand our reach, we committed new resources to a select group of new sales agency partners."}, {"path": "tedlium_12401.wav", "duration": 10.44, "text": "Intuitive is investing for the long term. And I think you all will hold us to the quality of those investments. Mostly, the challenge here has not been"}, {"path": "tedlium_12402.wav", "duration": 10.44, "text": "The decrease in the percent of revenue is due to lower administrative salaries as a percent of revenues, which continues to see incremental gains from the BOSS project."}, {"path": "tedlium_12403.wav", "duration": 10.44, "text": "over the year that I think was the positive result that maybe we were being a bit too conservative on, was the cost at Dolores."}, {"path": "tedlium_12404.wav", "duration": 10.44, "text": "Moving on to our focus on store optimization. As you know, we made a decision to close 18 stores last year, with most closing in June."}, {"path": "tedlium_12405.wav", "duration": 10.44, "text": "Our design win pipeline continues to expand, driven by the introduction of innovative products designed to address stringent product application requirements."}, {"path": "tedlium_12406.wav", "duration": 10.44, "text": "So we have a great company. We have a company that we are taking to the next level. But for sure, there are areas where an infusion of experience will make a big difference."}, {"path": "tedlium_12407.wav", "duration": 10.44, "text": "So we are going to have a dual strategy of building and owning our own services, more for the middle to lower part of the base, and partnering for the top part of the base."}, {"path": "tedlium_12408.wav", "duration": 10.44, "text": "when a customer goes from maintenance to subscription. I wonder if you could provide just any color kind of what that uplift looks like across the installed base, and just"}, {"path": "tedlium_12409.wav", "duration": 10.44, "text": "As Medicaid programs continue to modernize, states are taking greater leadership in managing provider networks, including quality and access to providers."}, {"path": "tedlium_12410.wav", "duration": 10.44, "text": "the opening of a new store on Miami Beach and the ramp-up of our charter business, which was virtually closed in December last year due to Hurricane Irma."}, {"path": "tedlium_12411.wav", "duration": 10.44, "text": "The reaction from meeting planners to the new product has been terrific and is showing up in our group pace, which is now up mid-single digits for the balance of the year."}, {"path": "tedlium_12412.wav", "duration": 10.44, "text": "And, of course, we continue to look as we said at GEN-003 partnership opportunities. We see a couple of different ways that we can be bringing in nondilutive capital"}, {"path": "tedlium_12413.wav", "duration": 10.44, "text": "Returns ultimately are built from quality customer relationships, disciplined pricing, prudent risk management and controlling expenses."}, {"path": "tedlium_12414.wav", "duration": 10.44, "text": "will opt to go into the long-term extension and this was actually part already of the informed consent"}, {"path": "tedlium_12415.wav", "duration": 10.44, "text": "major projects that we have talked about to allow them to move at the pace that they will. And we'll lay those plans out when we get closer there. But"}, {"path": "tedlium_12416.wav", "duration": 10.44, "text": "Reported service revenues were down slightly due to our first quarter decision to shut down a wholesale business that we inherited from Nextel."}, {"path": "tedlium_12417.wav", "duration": 10.44, "text": "We expect to be very active externally going forward since we see a tremendous market opportunity for our offering. We have a couple of important updates on the commercial front."}, {"path": "tedlium_12418.wav", "duration": 10.44, "text": "and 6% from the third quarter of 2017 as we continue to focus on the origination of multifamily, commercial real estate and commercial business loans with full banking relationship."}, {"path": "tedlium_12419.wav", "duration": 10.44, "text": "We anticipate opportunistically purchasing in the market as the market presents itself to allow us to do that. We do anticipate using up our full"}, {"path": "tedlium_12420.wav", "duration": 10.44, "text": "The open trading window for us was during the month of March. If you can recall back a couple of months to March, this was a period of time when the oil price was actually rallying quite a bit."}, {"path": "tedlium_12421.wav", "duration": 10.44, "text": "Lower Guaranteed Universal Life sales were offset by higher sales across the other products, reflecting specific distribution and product actions we have taken."}, {"path": "tedlium_12422.wav", "duration": 10.44, "text": "Another brand success story in the quarter has been WOODS. Last year we did a 19 store test of WOODS outerwear at Sport Chek. This year we came back aggressively"}, {"path": "tedlium_12423.wav", "duration": 10.44, "text": "During today's call, I will provide an overview of our Q4 and full year 2017 operating results as well as some broader commentary on our current business environment."}, {"path": "tedlium_12424.wav", "duration": 10.44, "text": "I was excited about China for my whole career in medical devices and now here at Waters. And I think there's just a lot of interesting things going on in that economy"}, {"path": "tedlium_12425.wav", "duration": 10.44, "text": "So we like where that is. It's just a question of how much impact does the spillover from oil and gas have on the general rents business in terms of utilization rates,"}, {"path": "tedlium_12426.wav", "duration": 10.44, "text": "And we also expect relief for China pork prices in the second half of the fiscal year, which will improve the operating environment for our China retail meat business."}, {"path": "tedlium_12427.wav", "duration": 10.44, "text": "Perfect. And so as it relates to that expansion, we understand the difficulty of modeling any of that, but"}, {"path": "tedlium_12428.wav", "duration": 10.44, "text": "And then, in my closing slides, I will talk to how we are responding to this environment both in the short-term and over the longer-term from a strategic point of view."}, {"path": "tedlium_12429.wav", "duration": 10.44, "text": "So to wrap up before I hand it off to Jim, we've had generally good performance so far in 2017 and I feel very positive about our continued strategic momentum."}, {"path": "tedlium_12430.wav", "duration": 10.44, "text": "The reasons for the variances are included in our earnings release and will be detailed in management's discussion and analysis which is included in the second quarter 10-Q that we'll file tomorrow."}, {"path": "tedlium_12431.wav", "duration": 10.44, "text": "We are able to target these enhanced synergies, because our initial assumptions regarding headcount, technology spending, occupancy costs and other expenses were conservative."}, {"path": "tedlium_12432.wav", "duration": 10.44, "text": "There was a competitor, then our activity going on at the cheap end of the market with what we talked about at the half year. The wash up sort of average position with input costs, so"}, {"path": "tedlium_12433.wav", "duration": 10.44, "text": "We do, however, acknowledge that there is more to be done. We have appointed a new executive general manager to this business, following the external search, and he will start shortly."}, {"path": "tedlium_12434.wav", "duration": 10.44, "text": "and they believe -- we believe that those commitments will represent a differentiated earnings growth for our investors. And I'm confident, we're doing the right thing"}, {"path": "tedlium_12435.wav", "duration": 10.44, "text": "We have successfully delivered multiple projects in sports, out-of-home and spectaculars. We continued to see growth in our Transportation segment in our International business."}, {"path": "tedlium_12436.wav", "duration": 10.44, "text": "What I would say to you is if you look at our level of confidence in what we've described to the market about our ability to"}, {"path": "tedlium_12437.wav", "duration": 10.44, "text": "In fact, the most recent market share data indicates that we now hold the leading position in new patient starts in the frontline segment,"}, {"path": "tedlium_12438.wav", "duration": 10.44, "text": "As I mentioned earlier, we view our broad line of high-performing funds and separate accounts and our leadership and investment strategies that are well positioned for an environment of rising interest rates"}, {"path": "tedlium_12439.wav", "duration": 10.44, "text": "and that really kind of encouraged us to move on with the extension of the open season. So I think we're really optimistic on the line and where the ultimate capacity lands on that line."}, {"path": "tedlium_12440.wav", "duration": 10.44, "text": "And iron ore, partly or maybe even mainly because of the Vale accident during Q1. Iron ore prices have really spiked during this quarter."}, {"path": "tedlium_12441.wav", "duration": 10.44, "text": "And we welcome the recent inclusion of glass containers on the proposed list of Chinese-manufactured products to be subject to new importation tariffs."}, {"path": "tedlium_12442.wav", "duration": 10.44, "text": "We had a very strong first half of the year and our turnaround plan is in full motion and we are confident that we will be able to deliver on all of our commitments."}, {"path": "tedlium_12443.wav", "duration": 10.44, "text": "is you have like dozens of them always on the go. So we have hundreds of projects that we work on at any one point in time,"}, {"path": "tedlium_12444.wav", "duration": 10.44, "text": "It's an exciting time and, at the same time, a challenging time. Earlier this year, I laid out 3 key objectives aimed at helping our company realize its full potential over the long term."}, {"path": "tedlium_12445.wav", "duration": 10.44, "text": "A slide presentation with supporting summary financial information and additional performance charts are also available on the company's website as part of the webcast of today's call."}, {"path": "tedlium_12446.wav", "duration": 10.44, "text": "I'm pleased to report that our target of enrolling the additional 40-or-so patients this fall continues and we should complete this process shortly."}, {"path": "tedlium_12447.wav", "duration": 10.44, "text": "the sooner we do a partnering deal, the better it is for the entire company and its plans. 132 is moving forward and we will not delay"}, {"path": "tedlium_12448.wav", "duration": 10.44, "text": "and how we've worked with them. And I've got to tell you, it's still early. So I'm not going to prognosticate as it relates to pharma inflation for the full year. I don't expect it to be low, let's put it that way."}, {"path": "tedlium_12449.wav", "duration": 10.44, "text": "make you think that the gross profit percentage shouldn't be more in line with the mid-single digits you saw in the second quarter? Or will some of these"}, {"path": "tedlium_12450.wav", "duration": 10.44, "text": "for the product where they're sitting on the sidelines waiting for a future launch date. And there's a mechanism that if sales fall precipitously that"}, {"path": "tedlium_12451.wav", "duration": 10.44, "text": "and expect to experience continued intra-quarter variability of Defitelio sales. And I would say don't get too excited when they pop way up,"}, {"path": "tedlium_12452.wav", "duration": 10.44, "text": "By the end of 2016, we expect our annual research and development spending on new products and cost reduction initiatives"}, {"path": "tedlium_12453.wav", "duration": 10.44, "text": "and the fact that we're going to ramp headcount in the back half of this year as well. So nothing unusual. It's just a build of the productivity program that we've been working on for a couple of years."}, {"path": "tedlium_12454.wav", "duration": 10.44, "text": "one requirement is to have such tests conducted, tests of the operation. But there are other conditions attached."}, {"path": "tedlium_12455.wav", "duration": 10.44, "text": "and continue the string of strong quarterly results in CTP. While new records were established, opportunity remains and we strive to break those records"}, {"path": "tedlium_12456.wav", "duration": 10.44, "text": "and we began reshaping our facility network, which will effectively translate to a 20% reduction of our footprint while leveraging field service delivery to get closer to our customers."}, {"path": "tedlium_12457.wav", "duration": 10.44, "text": "I would talk about progress with these wells in a minute. And we are also evaluating new projects in our portfolio, such as the next phase of development"}, {"path": "tedlium_12458.wav", "duration": 10.44, "text": "We remain committed to maintaining an investment-grade position throughout the cycle, and we should be in a position to pursue other smart growth opportunities as the recovery continues."}, {"path": "tedlium_12459.wav", "duration": 10.44, "text": "We have a weather benefit that we don't know if that's going to be -- move some business from second quarter to first quarter on some of our open footwear business."}, {"path": "tedlium_12460.wav", "duration": 10.44, "text": "Even though this charge has good payback, we know we need to reduce the size of these charges going forward, which is why we've rolled out a new performance management system and headcount control."}, {"path": "tedlium_12461.wav", "duration": 10.44, "text": "But I'm very comfortable with the reverse situation which is sitting on a nationwide cable plan that gives you optionality on mobile."}, {"path": "tedlium_12462.wav", "duration": 10.44, "text": "Let's move over to Slide 19 and talk about Salix product portfolio. We have a number of programs in the works for rifaximin. First, we're continuing to enroll patients in a study that we initiated earlier this year"}, {"path": "tedlium_12463.wav", "duration": 10.44, "text": "As we indicated, we have opened our new facility, which is outside of Shanghai but with the express purpose of servicing the Shanghai market. It's"}, {"path": "tedlium_12464.wav", "duration": 10.44, "text": "did a survey prior to this tax bill passing and 82% of the BRT membership anticipated that if it did pass"}, {"path": "tedlium_12465.wav", "duration": 10.44, "text": "We continue to see a considerable pipeline of medium and large direct loop opportunities, and our ramp-up in the closed loop continues, and interest remains high."}, {"path": "tedlium_12466.wav", "duration": 10.44, "text": "Trump and Clinton and what that did to some of the national election, was he unique due to his public profile? Or given that Clinton also spent less,"}, {"path": "tedlium_12467.wav", "duration": 10.44, "text": "the market went through this big dispute between mainly Chinese buyers and Brazilian suppliers."}, {"path": "tedlium_12468.wav", "duration": 10.44, "text": "But those phones only do what the applications and software of the platform tell it to do. And we continue to enhance those capabilities by adding new features and new capabilities."}, {"path": "tedlium_12469.wav", "duration": 10.44, "text": "that we have bottomed out and given that we will see a better margin expansion as a result of any sales to this. So it will take a couple of years to get back to"}, {"path": "tedlium_12470.wav", "duration": 10.44, "text": "count, we feel like as we grow subscribers, we kind of provide more variety in different"}, {"path": "tedlium_12471.wav", "duration": 10.44, "text": "for what is a totally new environment from a macroeconomic point of view, but also from a geopolitical point of view. We will talk about it later on."}, {"path": "tedlium_12472.wav", "duration": 10.44, "text": "Can you talk -- and I think you addressed some of this in your script. Can you talk about investments you've made in the quarter and local content and talent? I mentioned"}, {"path": "tedlium_12473.wav", "duration": 10.44, "text": "As we've discussed previously, our PST segment continues to contribute positive operating profit, resulting in the third consecutive quarter of breakeven or better operating performance."}, {"path": "tedlium_12474.wav", "duration": 10.44, "text": "But, really, sort of as you're thinking about big-picture ideas and where our business is going, what the business drivers are, it really is going to be Snap Ads and the auction for the foreseeable future."}, {"path": "tedlium_12475.wav", "duration": 10.44, "text": "this year, with the ability of the organization overall to overcome the pressures that we had from bookings and retention, call it, a couple of years ago"}, {"path": "tedlium_12476.wav", "duration": 10.44, "text": "While it's not my intent to remain as CEO, I can also say that my personal commitment to this company is strong and I intend to leave the company in good hands."}, {"path": "tedlium_12477.wav", "duration": 10.44, "text": "we had a more significant increase in average revenue per customer than our largest competitor. And we think that's driven by the superior network offering that we have in the marketplace."}, {"path": "tedlium_12478.wav", "duration": 10.44, "text": "So I'm pretty optimistic. This was an incredibly busy year up till this point, and I think we're in a good position moving forward."}, {"path": "tedlium_12479.wav", "duration": 10.44, "text": "This morning, I'll take a moment to highlight our Q3 results, review our key markets and share our outlook before we take your questions."}, {"path": "tedlium_12480.wav", "duration": 10.44, "text": "Moving to our cash flow. In 2017, we generated strong free cash flow, which enabled us to repurchase 2 million shares of common stock,"}, {"path": "tedlium_12481.wav", "duration": 10.44, "text": "So growth is a requirement that we've imposed on our acquisition strategy. And you would expect to see"}, {"path": "tedlium_12482.wav", "duration": 10.44, "text": "Our commitment to this market is long term. We look forward to bringing our capabilities to the industry by stepping up our engagement with all the ecosystem partners"}, {"path": "tedlium_12483.wav", "duration": 10.44, "text": "which reflects our initial estimate of the impact of tax reform in fiscal '18. This includes a onetime noncash tax benefit"}, {"path": "tedlium_12484.wav", "duration": 10.4100625, "text": "Not in recent history have so many people been unemployed, yet the continent remains a major destination for economic migrants. Policy reform has come to a standstill."}, {"path": "tedlium_12485.wav", "duration": 10.4100625, "text": "Given the status of airport negotiations, this guidance excludes the anticipated proceeds from the sale of the Perth domestic terminal."}, {"path": "tedlium_12486.wav", "duration": 10.4100625, "text": "while taking a hard look at country, sector and client concentrations. The combined effects of these elements made it very difficult to produce asset growth during this quarter,"}, {"path": "tedlium_12487.wav", "duration": 10.4100625, "text": "Turning now to carbon and steel. Prices continued to be under a great deal of pressure in the third quarter, mainly due to continued record high import levels in the marketplace"}, {"path": "tedlium_12488.wav", "duration": 10.41, "text": "We want our new name to better reflect who we become as a company and we can't wait to share the new look and message with our shareholders, so stay tuned."}, {"path": "tedlium_12489.wav", "duration": 10.41, "text": "Are you encouraged by the ability to bring in some outside capital? Are you pretty optimistic on that?"}, {"path": "tedlium_12490.wav", "duration": 10.41, "text": "in the current environment would cause you to maybe take that guidance up, given the growth you're seeing in both the recurring engagements as well as some of the other digital initiatives?"}, {"path": "tedlium_12491.wav", "duration": 10.41, "text": "Daniel, how do we think about the importance of those assets in the total remedy package? I mean, if you look at the last book value of those -- of the remedy assets and then in payments you've taken,"}, {"path": "tedlium_12492.wav", "duration": 10.41, "text": "How sustainable is that performance particularly in light of your earlier comments about how important it is to drive the top line more than margin expansion because"}, {"path": "tedlium_12493.wav", "duration": 10.41, "text": "During half 2 of last year, we also did a lot of work on our menus, ensuring, for example, that we don't carry too many orphan products. Those are products that only appear in 1 or 2 dishes"}, {"path": "tedlium_12494.wav", "duration": 10.41, "text": "These prevailing factors have slowed economic growth in the country, and the expectation is that Canada can expect to feel the effects of the downturn continued at least in the near term."}, {"path": "tedlium_12495.wav", "duration": 10.41, "text": "we'll continue to work, but in a slightly different way, more so through the bid process here in the next couple of quarters, and keep plugging away."}, {"path": "tedlium_12496.wav", "duration": 10.41, "text": "when I say a new product, I'm really talking about a customer engagement, where they come to us with an opportunity and we're able to create a solution that meets their needs."}, {"path": "tedlium_12497.wav", "duration": 10.41, "text": "really find the right way to ensure the patients that need our monotherapy or our combination therapies in the future have access to it. So we're going to continue to"}, {"path": "tedlium_12498.wav", "duration": 10.41, "text": "It is a very competitive market for deposits in the Northeast, and we need to continue to change, improve and grow our people, products and processes."}, {"path": "tedlium_12499.wav", "duration": 10.41, "text": "Finally, we were excited to launch our student engagement and retention analytics tool in the fourth quarter and hope to share any relevant updates over the next few quarters."}, {"path": "tedlium_12500.wav", "duration": 10.41, "text": "Thanks, Tom. Good morning, and thanks for joining us today. The opportunity in front of us at BioCryst is significant, and we're determined to take full advantage of this opportunity"}, {"path": "tedlium_12501.wav", "duration": 10.41, "text": "and making sustainable improvements that will support an improvement in return on invested capital as demand recovers. Another area of focus is our rental business,"}, {"path": "tedlium_12502.wav", "duration": 10.41, "text": "We also experienced the underperformance of some of our brands in our franchise portfolio, which tends to be part of the cyclical nature of the sector."}, {"path": "tedlium_12503.wav", "duration": 10.41, "text": "There is a huge advantage to all of the customers in that now with one loyalty program, it will be much easier to earn elite status"}, {"path": "tedlium_12504.wav", "duration": 10.41, "text": "Second, faster drill times result in much more aggressive consumption of the equipment we provide and product demand increases with each additional foot drilled per day."}, {"path": "tedlium_12505.wav", "duration": 10.41, "text": "Growth is primarily being driven by our Casualty and Environmental units, which had benefited in part by new technologies that help us better analyze and select risk,"}, {"path": "tedlium_12506.wav", "duration": 10.41, "text": "we've also done a lot of work to prepare ourselves for that. So it wouldn't take us too long for us to at least bring the capability, to offer it, to execute on it, to offer it for our clients."}, {"path": "tedlium_12507.wav", "duration": 10.41, "text": "to optimize how we're moving barrels around our network to capture opportunities as they're available, which in that kind of market environment we saw"}, {"path": "tedlium_12508.wav", "duration": 10.41, "text": "rate actions at this point are more the normal course of working with the regulators, just reflecting experience in markets. So we're already seeing some of that normalization pretty far along."}, {"path": "tedlium_12509.wav", "duration": 10.41, "text": "period to hoping that we can see together in Milan for our new Investor Day. So I hand over -- and I just would like to"}, {"path": "tedlium_12510.wav", "duration": 10.41, "text": "This media campaign is particularly important in building awareness for our menu items, where we have made great progress in the last few months."}, {"path": "tedlium_12511.wav", "duration": 10.41, "text": "We expect to offer at least one exclusive filter product, with extensive variance on the e-commerce site unavailable through other outlets."}, {"path": "tedlium_12512.wav", "duration": 10.41, "text": "Thank you, operator. I'm excited about the opportunity that we have at YRC Worldwide, and I certainly have a great deal of confidence in our leadership team."}, {"path": "tedlium_12513.wav", "duration": 10.41, "text": "But perhaps most importantly, this revolutionary product gives fire departments the opportunity to cost effectively equip every firefighter with thermal imaging technology."}, {"path": "tedlium_12514.wav", "duration": 10.41, "text": "the new age enhancing what we're doing. There's really no issue with any wholesale replacements or changes to the way we do work, but we do believe the way we process data,"}, {"path": "tedlium_12515.wav", "duration": 10.41, "text": "So in terms of introducing new products and how many will survive, can you give us a percentage?"}, {"path": "tedlium_12516.wav", "duration": 10.41, "text": "So when you see a good new product, people will pursue that, and you will see some inflated numbers around that new product."}, {"path": "tedlium_12517.wav", "duration": 10.41, "text": "the underlying business has some really good momentum. You can't really see it in the numbers because there's such a lag between our shipment numbers and our consumption numbers just based on"}, {"path": "tedlium_12518.wav", "duration": 10.41, "text": "Improvements were driven by lower working capital usage, which was significantly higher in the prior year due to the timing of collections related to the large deepwater projects."}, {"path": "tedlium_12519.wav", "duration": 10.41, "text": "We firmly believe that our strategy continues to be underpinned by the most important secular trends in Canadian and global real estate."}, {"path": "tedlium_12520.wav", "duration": 10.41, "text": "So as people are going in and moving and trying to take advantage of this market, we're very, very well-positioned and have made it a key part of our strategy."}, {"path": "tedlium_12521.wav", "duration": 10.41, "text": "that, that dissipated through the first quarter. And then also in Europe, we had a very strong first quarter. So I think it's more that the first quarter had some unique things going on"}, {"path": "tedlium_12522.wav", "duration": 10.41, "text": "more broadly then, what about a sales cycle can be impacted? I mean, are these things that you can't start marketing until the previous show has occurred?"}, {"path": "tedlium_12523.wav", "duration": 10.41, "text": "audience growth that we'd had based on our marketing investments would have a larger impact faster on the retention, although retention is up slightly. It just taken us a bit longer"}, {"path": "tedlium_12524.wav", "duration": 10.41, "text": "Already since that closing about 2 weeks ago, we've acquired 1 former franchise location and we expect a new franchise location to open later this week."}, {"path": "tedlium_12525.wav", "duration": 10.41, "text": "In addition, we continue to trial improvements to our customer offer to help drive sales. So moving on to Stationery."}, {"path": "tedlium_12526.wav", "duration": 10.41, "text": "And that doesn't work in an environment where raw materials are going up, you need to be focused on getting prices up. So the competitive environment"}, {"path": "tedlium_12527.wav", "duration": 10.41, "text": "The -- Jack talked about the multilayer, so it is barrier constructs that they're making. And today, they do participate in meat, cheese and dairy"}, {"path": "tedlium_12528.wav", "duration": 10.41, "text": "Okay, thanks very much. And then could you make any comments on what you've seen in terms of order trends in July so far? Bruce?"}, {"path": "tedlium_12529.wav", "duration": 10.41, "text": "Before we begin, I would like to remind you that some of the comments made on today's call and some of the responses to your questions may contain forward-looking statements."}, {"path": "tedlium_12530.wav", "duration": 10.41, "text": "And it's worth remembering that the vast majority of our 5 million members are not frequent flyers. Aeroplan currently helps them to choose Air Canada for their travel goals."}, {"path": "tedlium_12531.wav", "duration": 10.41, "text": "of general and maintenance capital expenditures for 2019. In addition, keep in mind that for certain of our large civil projects, we purchase equipment that is entirely owner funded."}, {"path": "tedlium_12532.wav", "duration": 10.41, "text": "the fiber, I think the fiber is there. Our biggest issue is finding the appropriate land at the appropriate value early enough to make sure that the power is there."}, {"path": "tedlium_12533.wav", "duration": 10.41, "text": "considering that we have so much more long-distance traffic now with some of the ramping of the business that we've had over the last year. As for the network expenses,"}, {"path": "tedlium_12534.wav", "duration": 10.41, "text": "During the quarter, we engaged a consultant with significant experience in leading process renewal initiatives and appointed a design team to lead the redesign of our core business processes"}, {"path": "tedlium_12535.wav", "duration": 10.41, "text": "bigger percentage of our production stream. Right. And this may be old news, but we have not seen any increase in GORs on our Wolfcamp production."}, {"path": "tedlium_12536.wav", "duration": 10.41, "text": "And we sell to large corporate accounts, who are covered by our national account managers. These corporate customers can own and operate hundreds of clinics across the country."}, {"path": "tedlium_12537.wav", "duration": 10.41, "text": "Michael will provide more color on our recent investment activity later in the call, but we remain vigilant in an admittedly tough market, with a focus on companies with the strongest fundamentals,"}, {"path": "tedlium_12538.wav", "duration": 10.41, "text": "in our channel pivot in early 2016. And for this reason, we've taken a more conservative stance with regards to how quickly our new agent partners will ramp up,"}, {"path": "tedlium_12539.wav", "duration": 10.41, "text": "And so there is the possibility that, that would cost us a significant amount of revenue but -- and we'd like to make it up with a bigger deal, if possible."}, {"path": "tedlium_12540.wav", "duration": 10.41, "text": "of gas per day more than initially forecasted in 2017. We also finalized a new gas contract with the National Gas Company of Trinidad and Tobago,"}, {"path": "tedlium_12541.wav", "duration": 10.41, "text": "Plays like the Woodford enhance the diversity of our portfolio and provide the flexibility to consistently grow production, while maintaining capital efficiency for years to come."}, {"path": "tedlium_12542.wav", "duration": 10.41, "text": "We view dividends in the context of our overall capital allocation going back to the Capital Markets Day and the source of cash return on invested capital that we're looking for across Rolls-Royce."}, {"path": "tedlium_12543.wav", "duration": 10.41, "text": "a little robot developed in conjunction with Nottingham University, been doing that for a little while, but now we're actually bringing that into"}, {"path": "tedlium_12544.wav", "duration": 10.41, "text": "And maybe you notice here that we have for the first time now changed our reporting from a line of business reporting to a geography reporting."}, {"path": "tedlium_12545.wav", "duration": 10.41, "text": "this is a big part of our goal to optimize the CapEx so over time is we need to drop the unit-free cost, and we need to be more efficient. We need to really manage the vendors very tightly,"}, {"path": "tedlium_12546.wav", "duration": 10.41, "text": "But we've got multiple brands that we can bring out into these different countries. So I think we're well positioned on all these, and these are all good opportunities for us."}, {"path": "tedlium_12547.wav", "duration": 10.41, "text": "and financial efficiency in quarters and years to come while investing in areas that we expect should result in a healthy rate of revenue and earnings growth."}, {"path": "tedlium_12548.wav", "duration": 10.41, "text": "Historically, we had recorded the costs associated with operating our distribution centers as well as the costs of our purchasing and product development teams as a component of cost of goods sold."}, {"path": "tedlium_12549.wav", "duration": 10.41, "text": "This acquisition strategically expands our portfolio into the ethical beauty category, which we believe is a natural extension of our overall brand and business."}, {"path": "tedlium_12550.wav", "duration": 10.41, "text": "in line with previous year's EBIT, highlighting a stabilization of earnings after the volatility that had been apparent over recent years."}, {"path": "tedlium_12551.wav", "duration": 10.41, "text": "the potential for full half run rate of that normalization in the second half? And then the second part of that question would be given the commodity exposures"}, {"path": "tedlium_12552.wav", "duration": 10.41, "text": "In the LCC business, which is recorded under other revenues, Vanilla Air and Peach Aviation also contributed to revenue increases."}, {"path": "tedlium_12553.wav", "duration": 10.41, "text": "don't bite off more than you can chew and maintain and capitalize on a strong currency and execute well so that sellers view you us as an attractive partner."}, {"path": "tedlium_12554.wav", "duration": 10.41, "text": "with pricing and volume being very good, your margins indicate that's very good. It seems like we're approaching a point where, if there's some new capacity, is there going to be something irrational?"}, {"path": "tedlium_12555.wav", "duration": 10.41, "text": "overall, everything that we have reported today and the trends in that payer mix were things that were expected as we put our plan together."}, {"path": "tedlium_12556.wav", "duration": 10.41, "text": "but that you will then use your expertise to design the product for it to fit their needs at what I would probably guess would be a lower price than the competitor? The latter."}, {"path": "tedlium_12557.wav", "duration": 10.41, "text": "On the pricing front, the industry is now evaluating in the context of the PMIERs, which shine a light on pricing and increased transparency around returns and capital management."}, {"path": "tedlium_12558.wav", "duration": 10.41, "text": "Work on the draft commercial and construction agreements has also commenced, and preliminary financing discussions indicate a good appetite from a wide variety of lenders."}, {"path": "tedlium_12559.wav", "duration": 10.41, "text": "which is going to drive some of that increased performance in the fourth quarter. But it's going to be a fairly steady"}, {"path": "tedlium_12560.wav", "duration": 10.41, "text": "no more questions, I'd like to thank you for listening and participating this morning. I look forward to our next call to report our first quarter 2016 results in May. Thank you."}, {"path": "tedlium_12561.wav", "duration": 10.41, "text": "Not all those companies will be a fit for us because there's something about their operations that wouldn't be attractive or they're not in the market, but we do think it's a very, very large robust market. So as we look at"}, {"path": "tedlium_12562.wav", "duration": 10.41, "text": "to scale manufacturing of our highest demand SKUs ahead of FDA approval so that we can continue offer this broad portfolio"}, {"path": "tedlium_12563.wav", "duration": 10.41, "text": "There is a high level of execution in our operations and business functions across the company, which is reflected in our results. But it is more than just solid execution and operational improvement."}, {"path": "tedlium_12564.wav", "duration": 10.41, "text": "and the demand for our high-quality Japan logs remains solid now. I think what you're alluding to really is maybe a little bit more about realizations. And so"}, {"path": "tedlium_12565.wav", "duration": 10.41, "text": "and overall economic fundamentals remain positive with increasing real wages, unemployment at 50-year lows and strong job growth in key housing markets."}, {"path": "tedlium_12566.wav", "duration": 10.41, "text": "pounds of copper. We had lower silver and copper sales, but they were in line with our expectations for the quarter. I'm going to paint a picture for you. Because we have comparable gold sales,"}, {"path": "tedlium_12567.wav", "duration": 10.41, "text": "While the pace of change in Nedbank over the next few years will remain frenetic, all of these taken together should result in a significantly improved client experience"}, {"path": "tedlium_12568.wav", "duration": 10.41, "text": "We will provide data to demonstrate this fact in a few slides, but legacy KCG operated certain prop quant-driven strategies that took relatively more risk"}, {"path": "tedlium_12569.wav", "duration": 10.41, "text": "but we will continue to work with new building partners that can bring a branded proposition to their end customers, the consumers,"}, {"path": "tedlium_12570.wav", "duration": 10.41, "text": "At the right place, at the right time, with the right value proposition, we look forward to reporting further progress in both organic and acquisition initiatives"}, {"path": "tedlium_12571.wav", "duration": 10.41, "text": "We continue to reduce home exposures in severe convective storm states from the termination of our affinity partnerships, I just mentioned,"}, {"path": "tedlium_12572.wav", "duration": 10.41, "text": "And it was the indirect impact that really, we think, is one of the drivers of the red material cost inflation that you see on Page 14 and that,"}, {"path": "tedlium_12573.wav", "duration": 10.41, "text": "On top of that, you asked a little bit about labor expenses. One of the investments we have actually called out over almost the last 2 years is continued investments in specialty labor."}, {"path": "tedlium_12574.wav", "duration": 10.41, "text": "Certain statements made during this call, which are not statements of historical fact, are forward-looking statements under the safe harbor provisions of Private Securities Litigation Reform Act."}, {"path": "tedlium_12575.wav", "duration": 10.41, "text": "So one of the things about the visibility there is you have the work inside the shop, but the length of time that it takes for it to come out the other end is sometimes past a year."}, {"path": "tedlium_12576.wav", "duration": 10.41, "text": "We are on schedule. We are on plan. So I don't see any reason why the number -- why we would have any kind of a significant change there. But"}, {"path": "tedlium_12577.wav", "duration": 10.41, "text": "For us to thrive, we must transform ourselves to be more competitive, faster and simpler so that we win with all customers and across all segments."}, {"path": "tedlium_12578.wav", "duration": 10.41, "text": "On the Aerospace side, volumes were consistent with market demand on all programs, while C Series started contributing modestly to top line with 6 deliveries."}, {"path": "tedlium_12579.wav", "duration": 10.41, "text": "In February, we announced an ambitious strategy for the next 3 years, which we have significantly increased the level of investments in the business,"}, {"path": "tedlium_12580.wav", "duration": 10.41, "text": "As to the assets that EFC would sell in preparation for a conversion, we expect that they will predominantly consist of lower yielding non-core assets. We would expect to sell certain"}, {"path": "tedlium_12581.wav", "duration": 10.41, "text": "When the prices started going down, they were supposed to agree to a reduction, but a number of them failed to remember that portion of the equation."}, {"path": "tedlium_12582.wav", "duration": 10.41, "text": "this is also coming to your point, that on one hand, we are not out of the market, is in the market, but is in the market"}, {"path": "tedlium_12583.wav", "duration": 10.41, "text": "We are seeing very solid growth in our Colorado and Utah markets, which benefit from the value of the pass and the strong underlying economies in both areas."}, {"path": "tedlium_12584.wav", "duration": 10.41, "text": "Yes. I would -- again, back to Australia in terms of -- what I would say is we feel like Australia is now, the indicators, are positioning it as the strongest international market"}, {"path": "tedlium_12585.wav", "duration": 10.41, "text": "Moving on to our omni-channel strategy and the development of our online presence, we are very pleased with the success of our modernized retail website launched last quarter."}, {"path": "tedlium_12586.wav", "duration": 10.41, "text": "we'll continue to drive that going in, but I think the major success, as we look at this quarter, will really be based on how we're able to move the underlying metrics of the business."}, {"path": "tedlium_12587.wav", "duration": 10.41, "text": "I really would encourage you to look at the video. I think -- we've had a variety of people go to Puerto Rico and take a look at the assets. And whether they're self-taught analysts or buy siders or"}, {"path": "tedlium_12588.wav", "duration": 10.41, "text": "This growth was primarily driven by increased sales to the beauty and home care markets that more than offset some continued softness in the personal care market."}, {"path": "tedlium_12589.wav", "duration": 10.41, "text": "Internationally, we are also seeing great response to our new product. We're confident that the assortments the design team is creating will work equally well, both internationally and domestically."}, {"path": "tedlium_12590.wav", "duration": 10.41, "text": "in terms of the results that we've delivered this period, I recognize the strong foundation that I've just talked about."}, {"path": "tedlium_12591.wav", "duration": 10.41, "text": "Once you adjust for the impact of closed and signed asset sales, we had underlying production growth of 3% compared to our second quarter production last year."}, {"path": "tedlium_12592.wav", "duration": 10.41, "text": "In our side of business, we're benefiting in a sense because our clients are benefiting except for the upstream that we'll continue to monitor. I'm sorry to"}, {"path": "tedlium_12593.wav", "duration": 10.41, "text": "And as I said in seafreight, we are moving away from business that is not showing a positive or sustainable gross profit margin. And therefore, you see our margin development."}, {"path": "tedlium_12594.wav", "duration": 10.41, "text": "So could you help us conceptualize how to think about the comparisons as the year goes on in terms of modeling?"}, {"path": "tedlium_12595.wav", "duration": 10.41, "text": "focused on innovation, focused on delivering on their -- for their customers and there was ample room for growth for both. And I think we've got that kind of white space. What we do, others are not doing."}, {"path": "tedlium_12596.wav", "duration": 10.41, "text": "We expect ART revenue to be up double digits this year with improved product margins, reflecting the strong demand for our hydroprocessing technologies."}, {"path": "tedlium_12597.wav", "duration": 10.41, "text": "a better solution with a better fit depending on the scale of the project or maybe eventually, your OMS business today could probably"}, {"path": "tedlium_12598.wav", "duration": 10.41, "text": "Results were also affected by a prolonged winter season in much of our markets that contributed to decreased demand for parts and service."}, {"path": "tedlium_12599.wav", "duration": 10.41, "text": "The business operated well in the quarter with a continued emphasis on improvement initiatives. Variable costs and operating efficiencies contributed to the majority of the cost savings in the quarter."}, {"path": "tedlium_12600.wav", "duration": 10.41, "text": "the industrial technologies now that we're bringing to this space, will allow us to push the envelope in terms of the intelligence that we're adding to the overall process to drive"}, {"path": "tedlium_12601.wav", "duration": 10.41, "text": "for other reasons. We've seen some cap tightening in the hotel business because the hotel business has the most elastic pricing. And in a reasonably"}, {"path": "tedlium_12602.wav", "duration": 10.41, "text": "We are making good progress with this effort and are starting to see some encouraging early data, and so I look forward to providing more substantive updates on this program in the coming months."}, {"path": "tedlium_12603.wav", "duration": 10.41, "text": "Understood. Yes. Understood. On the pricing question, look, it's difficult to speak to the specifics of other products and other companies and how they think about these things. But"}, {"path": "tedlium_12604.wav", "duration": 10.41, "text": "I will remind you that any statements made about the future, including our expectations or predictions, should be considered forward-looking statements within the meaning of the federal securities laws."}, {"path": "tedlium_12605.wav", "duration": 10.41, "text": "We are continuing our work on increasing operating leverage by rationalizing costs in all"}, {"path": "tedlium_12606.wav", "duration": 10.41, "text": "I think it's important to keep this in mind and in context when looking at Basic Energy Services as a whole. The demands on our frac spreads have grown over the years as well."}, {"path": "tedlium_12607.wav", "duration": 10.41, "text": "renovation program this year. But then there's also many other things that go on that we do from service level to food offering to marketing that we work on."}, {"path": "tedlium_12608.wav", "duration": 10.41, "text": "the additions of the Landing Group and New York Fries increased net franchise royalties and improved central contribution from decreases in central costs."}, {"path": "tedlium_12609.wav", "duration": 10.41, "text": "We've updated our websites and our reservation app to meet the demands of our customers. Our updated websites are fully responsive, providing optimal experience on any size mobile device."}, {"path": "tedlium_12610.wav", "duration": 10.41, "text": "They produce what, I guess, could be viewed as a higher-value waste stream, but is there any reason to believe that we couldn't get this kind of maybe mid-single digit core pricing plus a few points"}, {"path": "tedlium_12611.wav", "duration": 10.41, "text": "More than half of this investment has been made in our Gas Distribution businesses and is driven by a combination of the need to replace aging infrastructure, such as leak-prone pipe, and by customer growth."}, {"path": "tedlium_12612.wav", "duration": 10.41, "text": "the bank wouldn't give them the financing because of the tight conditions now implied by the banks in Miami."}, {"path": "tedlium_12613.wav", "duration": 10.41, "text": "These risks and other risk factors pertaining to our business that could cause actual results to differ materially from those suggested in the forward-looking statements are available in our filings with the Securities and Exchange Commission,"}, {"path": "tedlium_12614.wav", "duration": 10.41, "text": "We have significant opportunity to further reduce cost and reinvest some of those savings in engines that will drive brand strength and profitable sales growth."}, {"path": "tedlium_12615.wav", "duration": 10.41, "text": "the board with the assistance of an independent outside law firm and other advisers, and we reviewed, among other things, certain nonconforming loans that were made to a single"}, {"path": "tedlium_12616.wav", "duration": 10.41, "text": "didn't want, we turned around and were able to sell those loans to another credit investor in April and did so at par."}, {"path": "tedlium_12617.wav", "duration": 10.41, "text": "specifically, the portion of costs that we were responsible for under the force majeure provisions of the various contracts of our Gulf Coast projects."}, {"path": "tedlium_12618.wav", "duration": 10.41, "text": "Yes, just on the T-Force PLATINUM, just want to get a sense from you guys, is there something that you feel like you're going to learn from a longer"}, {"path": "tedlium_12619.wav", "duration": 10.41, "text": "and I'm very pleased to report that the New York Department of Financial Services has just approved payment in full of all remaining amounts on the surplus notes"}, {"path": "tedlium_12620.wav", "duration": 10.41, "text": "positive sign, which is great since we're in our third year of this used vehicle downturn. But hopefully, this is the beginning of what would later lead to some firming up on pricing,"}, {"path": "tedlium_12621.wav", "duration": 10.41, "text": "working on at the moment because we're bringing our teams together globally to share knowledge, share experience, share expertise"}, {"path": "tedlium_12622.wav", "duration": 10.41, "text": "and have them go through the sales cycle and grab the business. So that work is ongoing, but we see time on our side to make it better, faster, stronger."}, {"path": "tedlium_12623.wav", "duration": 10.41, "text": "Would your typical acquisition target, though, be a company that probably wouldn't want to sell at the bottom, because"}, {"path": "tedlium_12624.wav", "duration": 10.4099375, "text": "To summarize, we continue to strongly advance our mission statement to provide unique value to our customers by long-term road map alignment."}, {"path": "tedlium_12625.wav", "duration": 10.38, "text": "We will continue to manufacture at cost for Invekra until they can establish their own manufacturing facility, which we estimate to take about 3 to 6 months."}, {"path": "tedlium_12626.wav", "duration": 10.38, "text": "as the next step beyond variable. Testing that flip chip will maybe lead in a generation from now"}, {"path": "tedlium_12627.wav", "duration": 10.38, "text": "It also includes the concept of a deferral of meaningful portion of the bonus to future years to encourage and reward persistent performance."}, {"path": "tedlium_12628.wav", "duration": 10.38, "text": "I would expect that as those tenders -- the second half of the year would probably be back in a healthy state. I think, June is probably a transitional quarter for that."}, {"path": "tedlium_12629.wav", "duration": 10.38, "text": "which are subject to certain risks and uncertainties. Because actual results may differ materially from those discussed today, MACOM claims the protection of the safe harbor for forward-looking statements"}, {"path": "tedlium_12630.wav", "duration": 10.38, "text": "a payment of lower value throughout the quarters. But this is pure speculation. There is nothing scheduled regarding this."}, {"path": "tedlium_12631.wav", "duration": 10.38, "text": "including increasing headcount in our sales and reimbursement personnel and to fund the ongoing development, regulatory and international commercialization activities"}, {"path": "tedlium_12632.wav", "duration": 10.38, "text": "So as we came off the end of last year, in the first half of the year, we're not accelerating growth because we expect some disruption in the system"}, {"path": "tedlium_12633.wav", "duration": 10.38, "text": "to the extent that you can. So Sakaue-san will take your question. So for the overall company as well as for the media outlook,"}, {"path": "tedlium_12634.wav", "duration": 10.38, "text": "Number three, a relentless focus on rationalization. As we build out our company for the future, it's critical that we remain focused on decommissioning our legacy data centers,"}, {"path": "tedlium_12635.wav", "duration": 10.38, "text": "We have a plan and we are ready. Now we'd like to spend more time sharing with you some details around the key pillars of our new strategic platform."}, {"path": "tedlium_12636.wav", "duration": 10.38, "text": "period of no growth or a very level adviser count for some time, and we don't expect a material change to that in the near term."}, {"path": "tedlium_12637.wav", "duration": 10.38, "text": "and its potential treatment. 54,000 patients with the data to review in a few hours is substantial and I think will give us some clues about the future"}, {"path": "tedlium_12638.wav", "duration": 10.38, "text": "We understand it is important for us to maintain low decline rates, but given the size of the FS checks business now"}, {"path": "tedlium_12639.wav", "duration": 10.38, "text": "a question, I guess, from the last quarter where we discussed a little bit about the breakdown in the sustaining capital"}, {"path": "tedlium_12640.wav", "duration": 10.38, "text": "we just think that the opportunity set isn't great right now. And typically, when that happens, we hedge up our portfolios, we raise a little bit more cash, we try and tuck in"}, {"path": "tedlium_12641.wav", "duration": 10.38, "text": "is that it leaves behind a 3D model that is a huge asset to the owner in terms of managing, maintaining and using their asset as time progresses."}, {"path": "tedlium_12642.wav", "duration": 10.38, "text": "So we were certainly on a good roll, which means that we will be -- continue to be on a good roll as soon as Mother Nature allows us to be as we"}, {"path": "tedlium_12643.wav", "duration": 10.38, "text": "Granite teams proved that they were up for the challenge and successfully integrated our new acquisitions and proudly shared our core values, as we united these new businesses into our portfolio."}, {"path": "tedlium_12644.wav", "duration": 10.38, "text": "And even as we hand the keys and physically move away from the job, it will take some time to settle the outstanding disputes. And that will be the lingering event"}, {"path": "tedlium_12645.wav", "duration": 10.38, "text": "half of -- or the second half of 2018, and we anticipate that to really ramp up nicely as we gain traction. With Granite being able to help,"}, {"path": "tedlium_12646.wav", "duration": 10.38, "text": "These acquisitions have provided complementary add-on strategies, and we believe that there are significant additional opportunities to acquire proven managers at attractive levels."}, {"path": "tedlium_12647.wav", "duration": 10.38, "text": "We expect a better understanding of the potential benefit of VTS-270 to emerge as we carefully consider the totality of data available to us. This is an important step."}, {"path": "tedlium_12648.wav", "duration": 10.38, "text": "We exclude from our non-GAAP results a number of charges or benefits that are either noncash or that we consider outside our core ongoing operating results."}, {"path": "tedlium_12649.wav", "duration": 10.38, "text": "As royalty holders, with no cost share, but full benefits, there's not much better that can happen in terms of bolstering long-term returns and having an operator announce an expansion."}, {"path": "tedlium_12650.wav", "duration": 10.38, "text": "We expect that the present range for petroleum prices will persist for the foreseeable future, causing oil and gas customer spend for inspection services to be relatively stable."}, {"path": "tedlium_12651.wav", "duration": 10.38, "text": "versus the others, but it doesn't seem like it's getting much uptake, and I'm trying to understand why and what we could do about it, and I think that is a very large market for it."}, {"path": "tedlium_12652.wav", "duration": 10.38, "text": "there will be, I think a contribution coming from 468 in 2020 but it will simply be a bit of a drag on us"}, {"path": "tedlium_12653.wav", "duration": 10.38, "text": "people are aware we've got some open capacity in our plant so we're able to fill a lot of that capacity by supporting Ballard, and it's just a nice supplemental business for us."}, {"path": "tedlium_12654.wav", "duration": 10.38, "text": "statements on the plans and objectives of the company or its management, statements of future economic performance and assumptions underlying these statements regarding the company and its business."}, {"path": "tedlium_12655.wav", "duration": 10.38, "text": "Our first Fuddruckers opened at our Commerce, Georgia travel center during the first quarter and our second location opened just last week in Ashland, Virginia."}, {"path": "tedlium_12656.wav", "duration": 10.38, "text": "Sure. So -- the one part of Amicus that we -- that has maintained a pretty steady state over the last 4 years of our growth has been our science organization."}, {"path": "tedlium_12657.wav", "duration": 10.38, "text": "Examples of these forward-looking statements include statements regarding market expansion and funding trends, expected growth in sales and product applications,"}, {"path": "tedlium_12658.wav", "duration": 10.38, "text": "Marissa's leadership will be essential as we look to strengthen our organization and ensure we have the right structure and capabilities to achieve our strategy and build a culture of innovation and recognition."}, {"path": "tedlium_12659.wav", "duration": 10.38, "text": "An Imperfect Union travels across the country and offers a very unique storytelling perspective through the eyes of citizens on issues"}, {"path": "tedlium_12660.wav", "duration": 10.38, "text": "As Mac mentioned, we have a slide presentation on our website to accompany our earnings call and it includes additional details to the commentary presented this morning."}, {"path": "tedlium_12661.wav", "duration": 10.38, "text": "beating their benchmarks and delivering top quartile relative performance. Another positive development on the performance front is the enhancements that Morningstar is making in its rating methodology."}, {"path": "tedlium_12662.wav", "duration": 10.38, "text": "The Geospatial segment, when compared to 2015, has a lower relative exposure to oil and gas and a generally more diverse book of business."}, {"path": "tedlium_12663.wav", "duration": 10.38, "text": "Tomorrow, you'll have the opportunity to hear more about our plans to grow the company, including management presentations, panel discussions featuring some of our distributors and executives"}, {"path": "tedlium_12664.wav", "duration": 10.38, "text": "I would like to direct you to Slide 26 and the financial highlights deck for a description of the pro forma statutory basis financial effect of the merger."}, {"path": "tedlium_12665.wav", "duration": 10.38, "text": "Today, our debt is actually lower than where we were 2 years ago and yet our portfolio has changed significantly and it's a portfolio that has shifted to growth."}, {"path": "tedlium_12666.wav", "duration": 10.38, "text": "On an annual basis, we now expect Civil operating margins to be at the upper end of the 10% to 12% margin range that we have historically seen in Civil group, if not slightly higher."}, {"path": "tedlium_12667.wav", "duration": 10.38, "text": "We continue to focus on income, as we've mentioned today, and we believe active asset management remains critical and that we have the team and the skill set to deliver."}, {"path": "tedlium_12668.wav", "duration": 10.38, "text": "Before we begin our remarks this morning, I want to remind you that during the call, we will be making forward-looking statements about future events based on current expectations and assumptions."}, {"path": "tedlium_12669.wav", "duration": 10.38, "text": "Thank you, Jack. In closing, as you can see it has been an exceptionally busy and exciting time for Dicerna with a number of extremely important milestone achievements."}, {"path": "tedlium_12670.wav", "duration": 10.38, "text": "Okay. And my last question is just on kind of time line of the various pieces of your platform all converging into what you feel like is a really"}, {"path": "tedlium_12671.wav", "duration": 10.38, "text": "There were a number of favorable trends in the quarter that put our results slightly ahead of where you expected and Jamie will get into those in more detail when he reviews the financial results later on in this call."}, {"path": "tedlium_12672.wav", "duration": 10.38, "text": "we're anticipating that and taking that into account. Most of our raw material or commodity benefits we're seeing are going to be the result of 3M efforts we're doing to take"}, {"path": "tedlium_12673.wav", "duration": 10.38, "text": "And this was said about the overall insurance market. Here, in Poland, today, we don't see any target that would be of interest to us."}, {"path": "tedlium_12674.wav", "duration": 10.38, "text": "Increases in finance costs in quarter 4 and in the year were mainly due to increases in loans and in LIBOR, partly offset by bunker hedge cash receipts"}, {"path": "tedlium_12675.wav", "duration": 10.38, "text": "as overall getting back to market or above-market growth in a sustained way. That will require us in our major categories to be able to get to market growth and sustain it."}, {"path": "tedlium_12676.wav", "duration": 10.38, "text": "Strong customer growth and constructive and balanced resolution of a number of regulatory proceedings added to an otherwise solid operational foundation this quarter."}, {"path": "tedlium_12677.wav", "duration": 10.38, "text": "Beginning in EMEA, we had strong wins across the region. And while the Middle East is experiencing a slowdown, we delivered profitability in line with our expectations."}, {"path": "tedlium_12678.wav", "duration": 10.38, "text": "in 2016. We are proud of this accomplishment, which is in part due to the exceptional positioning of our communities in some of the best markets in the nation."}, {"path": "tedlium_12679.wav", "duration": 10.38, "text": "Those risks include, among others, matters that the company has described in its press release issued this afternoon and in its filings with the Securities and Exchange Commission."}, {"path": "tedlium_12680.wav", "duration": 10.38, "text": "And that's what we're working through. It's not that we are backing off the innovation. It's how we get that innovation to the market, especially if it's on -- not on our big brands."}, {"path": "tedlium_12681.wav", "duration": 10.38, "text": "and that loyalty is the key avenue for us to use personalization in. I don't think there's any question about that. Nothing is changing about that at all."}, {"path": "tedlium_12682.wav", "duration": 10.38, "text": "If you are in Nigeria or you are in Indonesia or you are in Thailand or you are in China or you are in Mexico,"}, {"path": "tedlium_12683.wav", "duration": 10.38, "text": "in case we do the IPO, we will have some funds to reallocate into the lines of business that we want to grow."}, {"path": "tedlium_12684.wav", "duration": 10.38, "text": "resulting from interest rate declines at the end of the quarter and expectations for future mortgage rates lower than previously forecast."}, {"path": "tedlium_12685.wav", "duration": 10.38, "text": "Our total revenues declined slightly as compared with the third quarter 2015, but that was largely due to the impact of the strong month of July on our third quarter results"}, {"path": "tedlium_12686.wav", "duration": 10.38, "text": "Tom. So on the revenue front, from a seasonality perspective, we'll have to keep an eye on that. We obviously haven't guided to any quarterly numbers or"}, {"path": "tedlium_12687.wav", "duration": 10.38, "text": "for our project in Ingolstadt included, and we didn't have that in '18. So that is the major change here. The dividend proposal, I already"}, {"path": "tedlium_12688.wav", "duration": 10.38, "text": "The capital management policy also requires our Board to evaluate the appropriate deployment of excess capital and to consider a variety of ways to improve shareholder return."}, {"path": "tedlium_12689.wav", "duration": 10.38, "text": "Beverage innovation is fueling growth in our core platforms of coffee, tea and refreshers and offsetting some of the softness we've seen in blended."}, {"path": "tedlium_12690.wav", "duration": 10.38, "text": "Rice imports have remained stable with Thai offerings benefiting from competitive raw material pricing relative to that of India."}, {"path": "tedlium_12691.wav", "duration": 10.38, "text": "In making these changes, we believe investors will have a clearer view of the primary focus of our strategy, which is to build our streaming OTT network business."}, {"path": "tedlium_12692.wav", "duration": 10.38, "text": "That is where the game changes. When you're buying it off of a -- some arcane bureaucratic purchasing process, that's where you get things"}, {"path": "tedlium_12693.wav", "duration": 10.38, "text": "but a very exciting and growing business that is also online. In terms of actually breaking out that, we don't provide that information in terms of what brick-and-mortar and what online is,"}, {"path": "tedlium_12694.wav", "duration": 10.38, "text": "Next, I'll discuss the full year earnings forecast. We are considering participating in a new maintenance outsourcing program to stabilize future expenses."}, {"path": "tedlium_12695.wav", "duration": 10.38, "text": "are you guys considering at all sitting on the cash with the thought that there could be better opportunities down the road to either buy back stock or redeploying the new investments?"}, {"path": "tedlium_12696.wav", "duration": 10.38, "text": "build out the DFAST model without acquiring any sort of expensive softwares or without having significant consulting expense."}, {"path": "tedlium_12697.wav", "duration": 10.38, "text": "And I've seen that you guys are doing your best to try to refinance the debt yourself, and directors are putting in money and capital."}, {"path": "tedlium_12698.wav", "duration": 10.38, "text": "These are costs that are associated with the assays, the reagents, the platforms. And these costs are imposed overall on labs with the products that they acquire."}, {"path": "tedlium_12699.wav", "duration": 10.38, "text": "Well, first, Paul, let me state we will receive the permit in LA. There's nothing out there that tells us -- I mean it provides tremendous benefits"}, {"path": "tedlium_12700.wav", "duration": 10.38, "text": "I'd like to provide a brief update on Meda. The second arbitration with Meda has commenced, and we expect this process to continue for the next few months."}, {"path": "tedlium_12701.wav", "duration": 10.38, "text": "But the actual pressure of our customers was more at that time than it is now. We have had time to reformulate to offer"}, {"path": "tedlium_12702.wav", "duration": 10.38, "text": "In addition, our new Shacks that typically open with a higher percentage of app sales, giving us further confidence that early adoption can lead to a higher use of digital ordering."}, {"path": "tedlium_12703.wav", "duration": 10.38, "text": "Today, we hope to provide additional insight into our business strategy, sustainable competitive advantages and consistent positive earnings power."}, {"path": "tedlium_12704.wav", "duration": 10.38, "text": "While this was not a material transaction, it is consistent with our strategy to focus management's efforts on key brands and priorities."}, {"path": "tedlium_12705.wav", "duration": 10.38, "text": "And so we think we'll hit the bottom of the J-curve sometime next year. The life consultant count has been decreasing and will probably decrease for a little while longer."}, {"path": "tedlium_12706.wav", "duration": 10.38, "text": "setting the stage and setting the bar I think when it comes to kitchen in particular. So for us to have a brand that we own that's a complement to our great partnerships with national brands"}, {"path": "tedlium_12707.wav", "duration": 10.38, "text": "I would say that isn't our current thinking. I believe we would continue to buy back stock. The reason I'm a little bit hesitant on that is because"}, {"path": "tedlium_12708.wav", "duration": 10.38, "text": "However, the changes may also result in incremental lending opportunities within the alternative mortgage space as large lenders are also affected by revisions to the guideline."}, {"path": "tedlium_12709.wav", "duration": 10.38, "text": "And I guess just with respect to your question around philosophy, a big part of how we look at our strategy is making sure that we have a really low cost structure so that we can"}, {"path": "tedlium_12710.wav", "duration": 10.38, "text": "One of the things you've heard me say before is that we are leading with digital. As the consumption of news and information continues its migration towards digital,"}, {"path": "tedlium_12711.wav", "duration": 10.38, "text": "and third, partnering with those who share our commitment to reducing or eliminating opioids in the postsurgical setting. I'll start by sharing an update on the nerve block launch, where we continue to gain traction."}, {"path": "tedlium_12712.wav", "duration": 10.38, "text": "My final introductory slide is an important one, particularly in the context of the vital role that Nedbank plays across all sectors of our society."}, {"path": "tedlium_12713.wav", "duration": 10.38, "text": "but we also have these extremely small balanced armature receivers that we sell in the hearing aid market that are becoming more interesting to people who make wireless headsets."}, {"path": "tedlium_12714.wav", "duration": 10.38, "text": "It goes without saying, driving up this collection rate continues to be a primary focus, and we are beginning to see signs of success 9 months after bringing our billing in-house."}, {"path": "tedlium_12715.wav", "duration": 10.38, "text": "that encouraged their customers to pay with PayPal. One of the most exciting features to come out of our financial institution relationships"}, {"path": "tedlium_12716.wav", "duration": 10.38, "text": "An admittedly conservative approach but similar to all inflows, these added assets and relationships have a positive impact on our franchise and our earnings power."}, {"path": "tedlium_12717.wav", "duration": 10.38, "text": "a particularly larger loan, a commercial loan in the hospitality business that we originated in the quarter and that's kind of what brought it"}, {"path": "tedlium_12718.wav", "duration": 10.38, "text": "to offset inflation and any other headwinds. And the pipeline of initiatives for financial year '20 is also progressing well."}, {"path": "tedlium_12719.wav", "duration": 10.38, "text": "Late in the third quarter the discussions we have been having with our customers to understand the impact of the delays on all parties progressed significantly."}, {"path": "tedlium_12720.wav", "duration": 10.38, "text": "We plan to continue to invest in our suite of multiple resolution products for our different applications for both indoor and outdoor use."}, {"path": "tedlium_12721.wav", "duration": 10.38, "text": "we're going to -- we're not going to overpay for anything. We're going to be very disciplined and very selective in terms of the quality dealership we buy and how much we pay for the dealership."}, {"path": "tedlium_12722.wav", "duration": 10.38, "text": "However, our competitors have not had that approach. We've been open for years and have provided the tools for years to help enable third-party products with Jack Henry cores."}, {"path": "tedlium_12723.wav", "duration": 10.38, "text": "In addition to our network of related companies, there are many business partners who ask for our management infrastructure through business partnerships with us."}, {"path": "tedlium_12724.wav", "duration": 10.38, "text": "Organic growth was positive in all major geographies, with mid-single-digit growth in both developed economies as well as in emerging markets taken as a whole."}, {"path": "tedlium_12725.wav", "duration": 10.38, "text": "U.K. growth has recovered from the impact of the adverse weather in the first quarter, with higher expected growth in the rest of the year."}, {"path": "tedlium_12726.wav", "duration": 10.38, "text": "they don't always look the same. It's not always a simple network extension meters. Sometimes it's an infill. Sometimes it's an upgrade. Sometimes it's"}, {"path": "tedlium_12727.wav", "duration": 10.38, "text": "We're confident we know what to do. We're confident that we've now started the right process to effectively address these issues once and for all."}, {"path": "tedlium_12728.wav", "duration": 10.38, "text": "outright sales and should we expect to see any uptick in agency investments during the process of redeploying that capital into target assets?"}, {"path": "tedlium_12729.wav", "duration": 10.38, "text": "We opened an advanced engineering center in Kolding, Denmark, to attract additional technical talent and enhance our capabilities to serve our European customer base."}, {"path": "tedlium_12730.wav", "duration": 10.38, "text": "While interest rates have increased and REIT stock prices have contracted, economic indicators remain sound, and fundamentals in our business remain healthy"}, {"path": "tedlium_12731.wav", "duration": 10.38, "text": "Results in Northern California are in line with unit sales last year, a result that continues to validate the customer loyalty and value proposition of our pass products offer."}, {"path": "tedlium_12732.wav", "duration": 10.38, "text": "I have spoken previously about my view that there is a small shop leasing opportunity at DDR, and we now have 2 quarters of improving results to back up these leases."}, {"path": "tedlium_12733.wav", "duration": 10.38, "text": "We're excited and optimistic about the potential to drive additional growth and shareholder value. I'd like to thank our long-term and new shareholders for your interest and support of BioLife Solutions."}, {"path": "tedlium_12734.wav", "duration": 10.38, "text": "more about that at our upcoming Investor Day about our longer-term plans on investments in sales and marketing, and what we think that does for the future. But we feel comfortable that we're on the right track from a"}, {"path": "tedlium_12735.wav", "duration": 10.38, "text": "Quality and film properties of the epitaxial layers in the device structure play a key role in determining system-level device reliability."}, {"path": "tedlium_12736.wav", "duration": 10.38, "text": "during the year, but we feel comfortable with this range and that new revenues will begin to flow off this year's capital projects in 2019 and beyond."}, {"path": "tedlium_12737.wav", "duration": 10.38, "text": "where they have used our technology to show that they can actually see the sentinel lymph nodes. And they have actually done outcomes analysis"}, {"path": "tedlium_12738.wav", "duration": 10.38, "text": "and I would still say the environment is if we do our job and continue to drive new business and keep our existing customers, drive mix and the other"}, {"path": "tedlium_12739.wav", "duration": 10.38, "text": "with the cloud so that we can better utilize it to inform our sales team in advance of what's going on, better direct them to sales opportunities, how to help the customer"}, {"path": "tedlium_12740.wav", "duration": 10.38, "text": "much more rapidly than they did before. I think that's something we're just going to have to manage and be nimble. And then finally, oil, which I would say is probably"}, {"path": "tedlium_12741.wav", "duration": 10.38, "text": "Our investments in existing portfolio of companies continue to be an important source of new investment opportunities and reflect our strong borrower relationships and the value we deliver to them."}, {"path": "tedlium_12742.wav", "duration": 10.38, "text": "all pricing discussions with customers are difficult. So it really hasn't changed in that regard. I think the real piece of it that we continue to work on with"}, {"path": "tedlium_12743.wav", "duration": 10.38, "text": "This has been a really busy quarter and there's a lot to talk about. So I'm going to immediately turn this over to Steve Rubin to begin the session."}, {"path": "tedlium_12744.wav", "duration": 10.38, "text": "Our results reflect strong performance in Aerospace and a difficult backdrop in Distribution combined with effective cost controls across the company."}, {"path": "tedlium_12745.wav", "duration": 10.38, "text": "stuff that we were going to get to. And so the question for us was why are we spending money there. So really it was just making sure we had the land that we needed for our long-term program"}, {"path": "tedlium_12746.wav", "duration": 10.38, "text": "These have been unfortunate delays, but we look at these as modest deferral in terms of timing for many of these projects out of our Q2 and to the back half of this year."}, {"path": "tedlium_12747.wav", "duration": 10.38, "text": "And you also, as a franchise store, you need to find a franchisee or you need to get an existing franchisee to decide that they want to take that store."}, {"path": "tedlium_12748.wav", "duration": 10.38, "text": "that was in our number. And as we were kind of finalizing our results we made a decision to kind of highlight that to investors and split that out into a non-GAAP number. And that kind of explains a"}, {"path": "tedlium_12749.wav", "duration": 10.38, "text": "okay? So part of the changes -- part of the benefits are being seen in the performance of the core. The core is outperforming the company average right now."}, {"path": "tedlium_12750.wav", "duration": 10.38, "text": "But when we say better, it's still extremely fragile. So we continue to try to monitor the potential for shocks, surprising events"}, {"path": "tedlium_12751.wav", "duration": 10.38, "text": "You know the names that we're dealing with there. But what's most exciting is that besides taking those tailwinds is that we are winning a lot of business and new programs that we're launching"}, {"path": "tedlium_12752.wav", "duration": 10.38, "text": "something that generated a lot of media coverage. So we could take the most famous person in the world, whoever it is right now, and I don't think they would get as much press as Donald Trump did because they won't say the kinds of things"}, {"path": "tedlium_12753.wav", "duration": 10.38, "text": "which normalized in 2016. Adjusted operating income come excluding these corporate costs increased by 7% in local currency for the year."}, {"path": "tedlium_12754.wav", "duration": 10.38, "text": "That is -- that was the outcome there, and so a lot of that conversion had already taken place, such that probably about 80% of that market has converted."}, {"path": "tedlium_12755.wav", "duration": 10.38, "text": "A recent development is that the has taken measures to import LNG by signing an agreement with Equatorial Guinea"}, {"path": "tedlium_12756.wav", "duration": 10.38, "text": "The increase in revenues resulted largely from a significant increase in sales to the public carrier ecosystem but we are also encouraged by the growth in most of the other markets as well."}, {"path": "tedlium_12757.wav", "duration": 10.38, "text": "in the future quarters. As I discussed before, I have spent considerable time working with Doug Gaylor to see where we can improve"}, {"path": "tedlium_12758.wav", "duration": 10.38, "text": "And by the way, the question is what is the effect on the arm, but will also the watch work if it is not on your arm."}, {"path": "tedlium_12759.wav", "duration": 10.38, "text": "And we're happy to do that with our existing and prospective clients. And I think once we go in there and explain our plan, it becomes very clear to those clients."}, {"path": "tedlium_12760.wav", "duration": 10.38, "text": "Well, you know that very little of our capital is in the hedge fund form. And we certainly are not considered"}, {"path": "tedlium_12761.wav", "duration": 10.38, "text": "We are entering into the high season as of the third quarter, and we do think that some of the issues that we had faced in the second quarter with regards to the new products"}, {"path": "tedlium_12762.wav", "duration": 10.38, "text": "It's suffice to say that our strategy is steady as she goes with our focus on safety, active portfolio management and tight managing -- tightly managing costs and capital"}, {"path": "tedlium_12763.wav", "duration": 10.38, "text": "Moving then to Slide 8 and our Rest of the World segment. Sales were essentially flat with the prior year, as higher average selling prices"}, {"path": "tedlium_12764.wav", "duration": 10.38, "text": "by an increase in noncash interest expense due to purchase accounting. The net effect of the lower tax rate was substantially offset"}, {"path": "tedlium_12765.wav", "duration": 10.38, "text": "Of course, all our expectations are governed by several factors not in our control such as potentially the price of precious metals, the overall state of the economy,"}, {"path": "tedlium_12766.wav", "duration": 10.3799375, "text": "Keep in mind also that the cost savings that we're announcing today are intended to help mitigate any impact or major contract changes and protect returns to shareholders."}, {"path": "tedlium_12767.wav", "duration": 10.3500625, "text": "just in the reality of accounting for the franchise, you get a little bit of a delay in terms of that feedback because it's really"}, {"path": "tedlium_12768.wav", "duration": 10.35, "text": "While we recognize our derm revenue when we ship product to our wholesalers, a second method to objectively gauge the Oculus dermatology performance"}, {"path": "tedlium_12769.wav", "duration": 10.35, "text": "we have 18 different platforms. There are numerous opportunities to further reduce the cost by changing certain designs."}, {"path": "tedlium_12770.wav", "duration": 10.35, "text": "Given our performance this quarter, our compensation committee determined that it was appropriate for us to improve for the probable payment of a bonus to management at the year-end."}, {"path": "tedlium_12771.wav", "duration": 10.35, "text": "the impacts of operating results of the timing, size and accounting treatment of acquisition, our ability to achieve and the timing of achieving synergies from our acquisitions."}, {"path": "tedlium_12772.wav", "duration": 10.35, "text": "We also gave ourselves headroom to invest in volume growth for the first time in many years. Thirdly, technology and marketing."}, {"path": "tedlium_12773.wav", "duration": 10.35, "text": "There have been no material misstatements identified in previously filed financial statements as a result of the material weaknesses,"}, {"path": "tedlium_12774.wav", "duration": 10.35, "text": "We have redesigned and simplified our online ordering site, enabled online payment for catering and integrated with several well-known third-party providers for delivery."}, {"path": "tedlium_12775.wav", "duration": 10.35, "text": "and the top 10 markets have generally lagged the broader economy in terms of RevPAR growth whereas the rest of the portfolio has"}, {"path": "tedlium_12776.wav", "duration": 10.35, "text": "of the equity. We are quite satisfied with the performance of our stock. We believe that we are benefiting for a little bit of"}, {"path": "tedlium_12777.wav", "duration": 10.35, "text": "it will be depleted. So as soon as -- I mean as long as we have it, we should focus on molybdenum recovery because it gives us more money than copper recovery."}, {"path": "tedlium_12778.wav", "duration": 10.35, "text": "maybe weren't quite close to being in need of an expansion and so I was just wondering if there was a change with respect to their -- the way that they look at the store base there?"}, {"path": "tedlium_12779.wav", "duration": 10.35, "text": "and it's where we produce all of our sour cream, cottage cheese and dips. That facility is losing money"}, {"path": "tedlium_12780.wav", "duration": 10.35, "text": "Less pronounced in Switzerland, but especially in Northern Germany, the first couple of months have been very severe and impacted our sale."}, {"path": "tedlium_12781.wav", "duration": 10.35, "text": "on the West Coast as well and, in particular, in California. We've talked about a large installation there. And so we see -- we continue to see opportunities in that market as well."}, {"path": "tedlium_12782.wav", "duration": 10.35, "text": "Any traffic is good traffic for us. So we concentrate more on the health of the center we go into rather than"}, {"path": "tedlium_12783.wav", "duration": 10.35, "text": "To achieve that ambition, we'll be making a number of bold moves which I'll walk through shortly. But first, I'll hand the call over to Nick to discuss our performance and outlook."}, {"path": "tedlium_12784.wav", "duration": 10.35, "text": "we have the best service, we're connected now to, or will be connected now to, 3 refineries which give direct take away off of the pipe, improved markets,"}, {"path": "tedlium_12785.wav", "duration": 10.35, "text": "obviously, the market wants to get ahead of itself and what this all could mean, but I think we're just trying to understand what are the real conversations taking place out there?"}, {"path": "tedlium_12786.wav", "duration": 10.35, "text": "Okay, fair enough. Shifting gears a little bit. I was wondering if you can give us an update on your technology initiatives, particularly as it relates to the"}, {"path": "tedlium_12787.wav", "duration": 10.35, "text": "Both provide mission-critical equipment and services to our customers' global operations. Both benefit from sustainable competitive advantage through scale and scope and technology and installed base."}, {"path": "tedlium_12788.wav", "duration": 10.35, "text": "Before concluding, I would like to take this opportunity to publicly welcome Jean Bua, Executive Vice President and Chief Financial Officer of Nasdaq-listed NETSCOUT SYSTEMS"}, {"path": "tedlium_12789.wav", "duration": 10.35, "text": "major discussion at the end and come up with what we call a global settlement or we'll pick and choose certain issues and try to settle them outside of the global issue. So"}, {"path": "tedlium_12790.wav", "duration": 10.35, "text": "broader base at the bottom of the pyramid. When we talked about a pyramid before, it really wasn't a pyramid. It was really pear-shaped with a very large"}, {"path": "tedlium_12791.wav", "duration": 10.35, "text": "the complainants to respond to that filing. And then FERC has to really take that material and then make a final order on those complaints."}, {"path": "tedlium_12792.wav", "duration": 10.35, "text": "We once again are making strong advances on that front, and Matt will go into the details in a moment. We also remain opportunistic regarding other uses of capital."}, {"path": "tedlium_12793.wav", "duration": 10.35, "text": "I guess, what needs to change, whether it's culturally or cost structure wise, what needs to be accelerated to maybe get that OR down and how quickly can you get there."}, {"path": "tedlium_12794.wav", "duration": 10.35, "text": "or coming off lease, we are purchasing those as we are able. So you'll see more purchases in 2018 than we've done in the recent past,"}, {"path": "tedlium_12795.wav", "duration": 10.35, "text": "The strengthening industrial landscape is supporting the higher level of base business in these areas and this is providing a nice mix tailwind to our product margins."}, {"path": "tedlium_12796.wav", "duration": 10.35, "text": "as compared to 32.1% in the prior year period, primarily due to the favorable impact of the new federal corporate statutory income tax rate"}, {"path": "tedlium_12797.wav", "duration": 10.35, "text": "we have many, many patients have been reaching out to sites, to Suku and the clinical team. And we know that there is a significant demand"}, {"path": "tedlium_12798.wav", "duration": 10.35, "text": "When it comes to acquired taste, there is no right or wrong. You were exposed to many things when you were still in the womb of your mother."}, {"path": "tedlium_12799.wav", "duration": 10.35, "text": "We're well positioned with multiple brands and levers and have confidence that we will be able to continue to drive results in 2018 and beyond as Nutrisystem continues to grow"}, {"path": "tedlium_12800.wav", "duration": 10.35, "text": "allow us to reveal some information to our investors. When we have that permission, we will be able to give you a light on the product."}, {"path": "tedlium_12801.wav", "duration": 10.35, "text": "take advantage of them when they arise or when we can initiate them. But again I don't see it taking on any"}, {"path": "tedlium_12802.wav", "duration": 10.35, "text": "How do you assess our position in light of our work with some big names over there in the work -- in the form of the work we are already"}, {"path": "tedlium_12803.wav", "duration": 10.35, "text": "with whom we're working on, on some of the CRISPR activities that we're doing. So we look forward to a very full day and an informative day tomorrow here in New York."}, {"path": "tedlium_12804.wav", "duration": 10.35, "text": "With this information, a casino can create an enhanced experience for their patron and maximize the return they're able to realize from their best customers."}, {"path": "tedlium_12805.wav", "duration": 10.35, "text": "And in this case, that's definitely a part of our target strategy is to ensure that we have good penetration in that key consortia to map those consortia relationships and to ensure that we're getting good."}, {"path": "tedlium_12806.wav", "duration": 10.35, "text": "Net outflows in Asia Pacific, the Americas and Europe reflecting continued deleveraging activities of our clients as well as efforts to optimize risk management."}, {"path": "tedlium_12807.wav", "duration": 10.35, "text": "And then secondly, on innovation, not only supply chain, but just the physical plant and now the need for second make-lines."}, {"path": "tedlium_12808.wav", "duration": 10.35, "text": "Looking at our earnings year-to-date, our overall performance continues to be driven by loss development activity and by the steady runoff of our book of business."}, {"path": "tedlium_12809.wav", "duration": 10.35, "text": "We have also some other costs that have been gone into not only opening those 3. We do have 3 more openings, 1 is only for this fiscal year. We will be opening this month"}, {"path": "tedlium_12810.wav", "duration": 10.35, "text": "As soon as we know, I'm sure that we're going to -- we'll tell everybody. But that is still ongoing, so I'm unable to comment on that."}, {"path": "tedlium_12811.wav", "duration": 10.35, "text": "describe that to shareholders because there are a number of really good opportunities, but unless and until one of them comes off"}, {"path": "tedlium_12812.wav", "duration": 10.35, "text": "To support that effort, we are investing in our production network, including the earlier mentioned realignment of our production bases in Japan."}, {"path": "tedlium_12813.wav", "duration": 10.35, "text": "of any of the options within the network. So that's about what we can share right now. And we're very excited about it because that is different from, historically, where we would get a network and"}, {"path": "tedlium_12814.wav", "duration": 10.35, "text": "While we expect some early termination revenues in 2017, the impact to average rig revenue and margin per day is not expected to be significant."}, {"path": "tedlium_12815.wav", "duration": 10.35, "text": "by the agreements that we worked out with customers, who needed additional spreads where we were able to get within that target range of 20% to 30% for that incremental spread,"}, {"path": "tedlium_12816.wav", "duration": 10.35, "text": "While we have continued to deliver strong growth in the New York area, nearly half of this year's Building Construction profits are expected to come from outside of New York."}, {"path": "tedlium_12817.wav", "duration": 10.35, "text": "fairly confident that organic growth would come back to the business in the latter half of the year based on what we were seeing in the market, based on wins, based on backlog. And"}, {"path": "tedlium_12818.wav", "duration": 10.35, "text": "Thank you, Richard. We are proud of the progress we've made in the third quarter in a difficult operating environment and are focused on the opportunities that lie ahead."}, {"path": "tedlium_12819.wav", "duration": 10.35, "text": "First, we built significant backlog in the first quarter, but the timing of product shipments may result in revenue being pushed out as we experienced in the first quarter."}, {"path": "tedlium_12820.wav", "duration": 10.35, "text": "a small increase in other income and a tax benefit, were enough to reduce our net loss in the first quarter of fiscal 2017 versus a comparable year-ago period."}, {"path": "tedlium_12821.wav", "duration": 10.35, "text": "which we were pleased to deliver in today's challenging markets. Higher revenues in Global Power and Global Services helped to cover a shortfall in Industrial Environmental."}, {"path": "tedlium_12822.wav", "duration": 10.35, "text": "as trucking is becoming cost. So I think the inflationary cost question is always going to be important. I think we have a good outlook on it, but those things can move at any time. So I think"}, {"path": "tedlium_12823.wav", "duration": 10.35, "text": "the other half on longer sales cycles based on indications from the prospects. The former represent about 2.4 million invoices per month in new volume."}, {"path": "tedlium_12824.wav", "duration": 10.35, "text": "in Ag that we've spoken about, which is very positive from an overall earnings and strategic direction but did add some additional fixed cost to us"}, {"path": "tedlium_12825.wav", "duration": 10.35, "text": "It just becomes a lot of noise. You have to know your customer a little bit better, know what they're buying and target the offers to particular categories that they're interested, or target, if"}, {"path": "tedlium_12826.wav", "duration": 10.35, "text": "Our key private brands, which were involved in our speed initiative last year, achieved a low single digit positive comp in total for the fourth quarter."}, {"path": "tedlium_12827.wav", "duration": 10.35, "text": "Additionally, we saw a very good momentum in Colorado and continued high growth in our destination markets, which combined represented over 70% of our total unit growth."}, {"path": "tedlium_12828.wav", "duration": 10.35, "text": "As we look forward to the opportunity fiscal 2019 presents, we will continue to execute the formula that delivered the improvements we realized over the past year."}, {"path": "tedlium_12829.wav", "duration": 10.35, "text": "Looking at cash flow. The chart shows the reported EBITDA evolution into operating free cash flow, and then the utilization of that cash generated."}, {"path": "tedlium_12830.wav", "duration": 10.35, "text": "opportunities now put on the side? And I really don't want to steal your thunder regarding the Investor Day, but are you still open to opportunities"}, {"path": "tedlium_12831.wav", "duration": 10.35, "text": "And we haven't really set up Teekay Parent so that it can act really as a warehouser going forward. So that is certainly not our preference"}, {"path": "tedlium_12832.wav", "duration": 10.35, "text": "On a year-over-year basis, we experienced revenue growth in Tennessee and Arizona due to a full quarter impact of the new and expanded contract with those states,"}, {"path": "tedlium_12833.wav", "duration": 10.35, "text": "We will use time-limited innovations to meet specific consumer opportunities. And we will focus on productivity to continue to expand margin."}, {"path": "tedlium_12834.wav", "duration": 10.35, "text": "But mentoring doesn't need to be in a physical space. This month, we launched digital Johnnie Walker mentoring to engage consumers in a totally new way,"}, {"path": "tedlium_12835.wav", "duration": 10.35, "text": "and you'd actually end up probably falling short of revenue and falling way short on earnings. That should sound familiar to you because it's a picture we've all seen many times in our career."}, {"path": "tedlium_12836.wav", "duration": 10.35, "text": "So if you really look at these 3 products, while I cannot talk to you about the immediate relative contribution, but I can speak to you in the -- when the product cycles are fully set in,"}, {"path": "tedlium_12837.wav", "duration": 10.35, "text": "Okay. So we should see, like when we look at sort of going out in 2Q versus 1Q, outside of any investments, we should expect that number to further drop down into the second quarter"}, {"path": "tedlium_12838.wav", "duration": 10.35, "text": "and the favorable variance related to the mix of total liabilities more than offset the increased cost of interest-bearing deposits, serving to hold the total cost steady."}, {"path": "tedlium_12839.wav", "duration": 10.35, "text": "I think, at the end of the day, I would say it's more in terms of alternative logistics to get us through until the Rhine can get back to an acceptable level to manage the typical traffic."}, {"path": "tedlium_12840.wav", "duration": 10.35, "text": "on the development of a new collaborative design methodology such as the EXTREMO platform, which will materially change the way we manage our projects,"}, {"path": "tedlium_12841.wav", "duration": 10.35, "text": "lies beyond sort of the known capital investments that you have outlined to us to date. And there's clearly, given the region and the hydrocarbon resource there,"}, {"path": "tedlium_12842.wav", "duration": 10.35, "text": "factor in how they've improved their costs. And then Esterline is an important source to a lot of people, so you've clearly had some pricing pressure along the way."}, {"path": "tedlium_12843.wav", "duration": 10.35, "text": "We also reduced overheads by leveraging 0-based budgeting and other tools, and we're beginning to institutionalize our approach to cost management."}, {"path": "tedlium_12844.wav", "duration": 10.35, "text": "Our supply chain reinvention initiatives remain on track. And we'll increasingly benefit from the upgraded infrastructure and capabilities that we're putting in place around the world."}, {"path": "tedlium_12845.wav", "duration": 10.35, "text": "Now the customers for the most part have pulled back their forecasts from how we started the year, and with the pulled back forecasts and what we know of our business and our own judgment on the customers' forecast,"}, {"path": "tedlium_12846.wav", "duration": 10.35, "text": "However, in addition to that, there is strong drive in the company to increase our served market. And in doing that, it's looking at"}, {"path": "tedlium_12847.wav", "duration": 10.35, "text": "those technical resources that I referred to in I think the first question are part of the big differentiator and why we're able to help grow the cloud the way we have"}, {"path": "tedlium_12848.wav", "duration": 10.35, "text": "And based on that and the growing resource base we have across the country, generally -- company generally, I would say that we were very optimistic in terms of"}, {"path": "tedlium_12849.wav", "duration": 10.35, "text": "I expect to start to see some of that as we get into 2017, but really accelerating probably realistically towards the back half of '17 and into '18. So I think it's just"}, {"path": "tedlium_12850.wav", "duration": 10.35, "text": "We expect our Western export log sales volumes, both Japan and China, will be lower in the second quarter due to the timing of shipments at the end of the first quarter."}, {"path": "tedlium_12851.wav", "duration": 10.35, "text": "that line double in size against a revenue base that's only gone up maybe 50%. And I'm wondering -- and I know you're in an investment phase here, but"}, {"path": "tedlium_12852.wav", "duration": 10.35, "text": "The combination of these factors is expected to result in first quarter non-GAAP EPS approximately 10% below the fourth quarter"}, {"path": "tedlium_12853.wav", "duration": 10.35, "text": "I see. And then we saw, obviously, some improvement in the revenue trends in the first quarter, but there are other publishers that have indicated a little caution"}, {"path": "tedlium_12854.wav", "duration": 10.35, "text": "wanted to say is that we are in a very unique position at Yamana because we have in our portfolio have perhaps different from a lot of our peers,"}, {"path": "tedlium_12855.wav", "duration": 10.35, "text": "Zimbabwe is scheduled for October 2017. These investments have positioned us favorably to support the growth in clients,"}, {"path": "tedlium_12856.wav", "duration": 10.35, "text": "that they were interested in taking on and renovating. So that's part of why the numbers are not aligning as well as for the reasons Frank mentioned."}, {"path": "tedlium_12857.wav", "duration": 10.35, "text": "On a product line basis, motive power was even, while reserve power was down 3%. Now a few comments about our adjusted consolidated earnings performance."}, {"path": "tedlium_12858.wav", "duration": 10.35, "text": "and we can put that out there and satisfy a need that they may go elsewhere to satisfy, we're absolutely going to do that, right? So this one is about just being unbiased, independent"}, {"path": "tedlium_12859.wav", "duration": 10.35, "text": "Obviously, it's been trending much better than that. So just wondering, is that math right? Is there reason for that other than just conservatism and that a lot of the holiday is still ahead of us?"}, {"path": "tedlium_12860.wav", "duration": 10.35, "text": "for a private litigant. Think about the thousands of nutrition club owners that opened and failed or were misled about that opportunity. That's another opportunity for private plaintiffs."}, {"path": "tedlium_12861.wav", "duration": 10.35, "text": "Andrew, you highlighted the Leadership Grant Program and Forbes as drivers of enrollment. Any other examples you could call out in terms of the newer programs that are moving the needle for you"}, {"path": "tedlium_12862.wav", "duration": 10.35, "text": "The migration of Northeast Division customers to legacy Cable ONE's more robust billing system will provide a more consistent customer-centric experience"}, {"path": "tedlium_12863.wav", "duration": 10.35, "text": "In addition to Rova-T, we have 4 Stemcentrx assets in the clinic, and we are on track to transition several additional programs into human trials this year,"}, {"path": "tedlium_12864.wav", "duration": 10.35, "text": "change in your sourcing costs as a result of the improved liquidity? And then also, along with that, are the compliance costs"}, {"path": "tedlium_12865.wav", "duration": 10.35, "text": "We're in the early stages and making solid progress in transforming a traditionally transactional and unpredictable software business model into a recurring revenue business"}, {"path": "tedlium_12866.wav", "duration": 10.35, "text": "not because of all the acquisitions that have taken place over the last 5 years, it really is just as simple as rethinking how we do things and how we operate our business. And when you combine the high single-digit rebased growth"}, {"path": "tedlium_12867.wav", "duration": 10.35, "text": "could you maybe speak to the quality of the new client opportunities for this year? Because the past, say, 12 to 18 months or so has had a fair share of unique circumstances, that"}, {"path": "tedlium_12868.wav", "duration": 10.35, "text": "In addition to the expected reductions related to rebasing, coding intensity and the outlier fixed dollar loss adjustment,"}, {"path": "tedlium_12869.wav", "duration": 10.35, "text": "and maybe even across the market would be helpful too. And then how should we think about the earning sensitivity of that jumbo portfolio given a pickup in refi activity?"}, {"path": "tedlium_12870.wav", "duration": 10.35, "text": "overhead. And we weren't planning on providing any additional numbers on the call today, but we will be providing numbers, as I mentioned,"}, {"path": "tedlium_12871.wav", "duration": 10.35, "text": "Finally, today's call is being recorded and will be available on the company's website later today. I will now turn the call over to Chris for opening remarks."}, {"path": "tedlium_12872.wav", "duration": 10.35, "text": "but they can also change from a handset subscription towards a SIM-only subscription, especially also because besides the effect of the"}, {"path": "tedlium_12873.wav", "duration": 10.35, "text": "We feel these decisions will reward our shareholders and derisk our business, all while maintaining flexibility and sufficient resources to proactively grow our business"}, {"path": "tedlium_12874.wav", "duration": 10.35, "text": "Moreover, we're very excited about what you'll see in the floors in the back half of the year and believe that we will start to see an inflection point in our performance during the holiday season."}, {"path": "tedlium_12875.wav", "duration": 10.35, "text": "where would you be -- where do you think this is going to go in terms of 2016? Are you more confident that's something that they can see reality and"}, {"path": "tedlium_12876.wav", "duration": 10.35, "text": "And then as it relates to our tracking solution, the tracking solution actually has an opportunity here as the total cost of the project goes higher with these modules,"}, {"path": "tedlium_12877.wav", "duration": 10.35, "text": "The flip side to that is when you're adding heads and you're not actually billing the client for those heads, it has a negative impact on productivity or revenue per employee."}, {"path": "tedlium_12878.wav", "duration": 10.35, "text": "we can check the box, and if we feel like we're in good shape there moving into next year, so strategic priorities around driving the business or just making sure we continue to stick to the fundamentals."}, {"path": "tedlium_12879.wav", "duration": 10.35, "text": "as of April 30, 2018. We continue to have ample capacity in our credit lines to handle our equipment finance needs."}, {"path": "tedlium_12880.wav", "duration": 10.35, "text": "So thank you again, and have a great day. And thank you, sir. The conference is now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_12881.wav", "duration": 10.35, "text": "that we so urgently need in our culture in order to win in the field of smart devices, but honestly spoken, also in all other segments of our business."}, {"path": "tedlium_12882.wav", "duration": 10.35, "text": "I came away convinced that our regulatory view is well on track. We expect to close still before yearend. And this is key because this short timeframe between signing and closing"}, {"path": "tedlium_12883.wav", "duration": 10.35, "text": "some business, just because the stuff is new and it'll have -- associated downtime on that equipment should be less because it is brand new. So the customers tend to pay a premium."}, {"path": "tedlium_12884.wav", "duration": 10.35, "text": "that the additional bandwidth it's going to receive in the second half of this year will pay dividends, but it's -- we didn't get to this and our forecast and our belief for this is not a 10% business, but"}, {"path": "tedlium_12885.wav", "duration": 10.35, "text": "We would like to remind you that webcast participants can beforehand pose their questions that are to be answered in the QA session."}, {"path": "tedlium_12886.wav", "duration": 10.35, "text": "as they were doing construction and all that. So I think it's part of the customer focus we have. I think with Massachusetts, both in terms of existing charging stations, but also as we look at"}, {"path": "tedlium_12887.wav", "duration": 10.35, "text": "We believe patience will generally be rewarded in this environment and that our approach is splitting distressed debt funds between an A and B structure is the right one."}, {"path": "tedlium_12888.wav", "duration": 10.35, "text": "We believe our recent track record of steady improvement in our financial performance will enable us to address our capital structure and provide us with additional financial flexibility."}, {"path": "tedlium_12889.wav", "duration": 10.35, "text": "to invest the time in promoting someone's molecule only to have it undercut by someone else or it's difficult to have the degree of"}, {"path": "tedlium_12890.wav", "duration": 10.35, "text": "some low prices across several commodities that we operate on and also due to the seasonality where September is our leanest quarter for us in our business."}, {"path": "tedlium_12891.wav", "duration": 10.35, "text": "As I mentioned at the outset, 3 aspects of our quarterly health plan performance give us confidence that we can achieve our full year revenue goal."}, {"path": "tedlium_12892.wav", "duration": 10.35, "text": "We have an internal innovation team, which is looking at a variety of new product opportunities, 1 or 2 of which could be ready to go to market by the end of this year."}, {"path": "tedlium_12893.wav", "duration": 10.35, "text": "The YZ represents a significant milestone in our product development journey and will become the new flagship in our chiller portfolio."}, {"path": "tedlium_12894.wav", "duration": 10.35, "text": "Our solutions business, which as you know is primarily performance contracting, also had strong order growth, but this was against an easy prior year compare."}, {"path": "tedlium_12895.wav", "duration": 10.35, "text": "In summary, due to the consistent high cash flow generation, we have many options to deploy capital to yield high returns for our shareholders."}, {"path": "tedlium_12896.wav", "duration": 10.32, "text": "Let's now turn to Europe. Importantly, given our expectation for growing demand, we shored up our platform in Europe through the acquisition of the remaining interest"}, {"path": "tedlium_12897.wav", "duration": 10.32, "text": "that's -- those are the types of opportunities that we're going to be looking for in our privately held companies if the valuation from the value are appropriately leased at fair value."}, {"path": "tedlium_12898.wav", "duration": 10.32, "text": "And so in those key markets where availability is becoming more and more difficult, then we begin to focus our efforts on redevelopment. And in most of those markets, we've got"}, {"path": "tedlium_12899.wav", "duration": 10.32, "text": "And we also continue with our own innovation team in the background, looking at developing our own new concepts and new products that could be dripped into the mainstream business."}, {"path": "tedlium_12900.wav", "duration": 10.32, "text": "As respects our use of insurance to put out -- reinsurance to put out limits beyond what we want to take net,"}, {"path": "tedlium_12901.wav", "duration": 10.32, "text": "These properties have been written down to net realizable value based on recent appraisals and will be resolved over the coming months with minimum exposure going forward."}, {"path": "tedlium_12902.wav", "duration": 10.32, "text": "These strong results validate our strategic approach to value creation, and we believe that we will be able to continue to generate solid, long-term shareholder returns."}, {"path": "tedlium_12903.wav", "duration": 10.32, "text": "brought together a lot of resources where we've had to analyze everything in that light. And I think we've moved down the road pretty well. But again, I think those are the key points."}, {"path": "tedlium_12904.wav", "duration": 10.32, "text": "This is primarily attributed to an unfavorable short-term shift in our mix of earning assets as we had higher balances of deposits held at other financial institutions this quarter."}, {"path": "tedlium_12905.wav", "duration": 10.32, "text": "What we expect is -- the worst thing that you can do, Jamie, when you buy somebody and bring them in is to kind of throw them into the middle of the bigger company"}, {"path": "tedlium_12906.wav", "duration": 10.32, "text": "Now before getting into the specific third quarter highlights, I want to start by reiterating the strategic goals that we outlined earlier in the year and how they reflected in our results."}, {"path": "tedlium_12907.wav", "duration": 10.32, "text": "Thanks, Mike. I know that's a lot to digest, but we really are just so excited about what this all means for our opportunity to continue to drive value for our shareholders going forward."}, {"path": "tedlium_12908.wav", "duration": 10.32, "text": "Once again, our results demonstrate the successful execution of our long-term strategy, which we believe serves both Cable ONE customers and our shareholders well."}, {"path": "tedlium_12909.wav", "duration": 10.32, "text": "the one very good news there is that we have been able to sort of make an inventory of all the technology, all the technological projects"}, {"path": "tedlium_12910.wav", "duration": 10.32, "text": "and what we experienced in the spring of 2018 represents a catch-up on some of those deferrals. Customer indications suggest that we should see a relatively normal remainder"}, {"path": "tedlium_12911.wav", "duration": 10.32, "text": "This mixed growth model is already very efficient in Belgium, thanks to the far-reaching efforts led by"}, {"path": "tedlium_12912.wav", "duration": 10.32, "text": "of utmost importance when it comes to future cost savings and potentially, a new conclusion of ACM on Significant Market Power,"}, {"path": "tedlium_12913.wav", "duration": 10.32, "text": "when I came into the company, January of prior year, we set targets where we want to get to and began building a business in order to get there. And Mike's been messaging that"}, {"path": "tedlium_12914.wav", "duration": 10.32, "text": "In terms of the intellectual property surrounding XIAFLEX, there are a number of -- there's a number of patents that are -- that have been granted."}, {"path": "tedlium_12915.wav", "duration": 10.32, "text": "this half year. So I would just like to hear from you about what has been your approach considering all of these facts,"}, {"path": "tedlium_12916.wav", "duration": 10.32, "text": "That's not the format that we would use. We would only buy something because we think it adds capability to our mix and it improves our ability to serve the customer."}, {"path": "tedlium_12917.wav", "duration": 10.32, "text": "we built a strong body of evidence supporting the potential benefits of sparsentan. I'm pleased to share that we had a very constructive and insightful interaction with the agency."}, {"path": "tedlium_12918.wav", "duration": 10.32, "text": "The early signs are that the combined elements of e-Builder, Viewpoint and existing Trimble construction software are performing on or above target."}, {"path": "tedlium_12919.wav", "duration": 10.32, "text": "We continue to see opportunity for growth, gaps to close with our peer group and a business that is poised to continue on a path and plan just as we've laid out in the past."}, {"path": "tedlium_12920.wav", "duration": 10.32, "text": "desperate for business. Same thing with equipment providers, materials providers and the rest of it, and it's a mix. Things are still pretty active in Houston and so we're not seeing much in the way of breaks there."}, {"path": "tedlium_12921.wav", "duration": 10.32, "text": "which is a good thing, we have issued into this challenged equity market for the last 2 quarters, creating at least a perceived overhang in the market for our equity."}, {"path": "tedlium_12922.wav", "duration": 10.32, "text": "a modeling and simulation perspective if you have a clear understanding what the drug in the single dose does"}, {"path": "tedlium_12923.wav", "duration": 10.32, "text": "I mean, I honestly feel like this quarter was another extension of prior quarters. Now what we have seen is we've certainly seen, as we continue to move more towards recurring"}, {"path": "tedlium_12924.wav", "duration": 10.32, "text": "We continue to benefit from credit spread tightening in our multifamily portfolio during the quarter as well as solid execution in our distressed residential portfolio."}, {"path": "tedlium_12925.wav", "duration": 10.32, "text": "thereby increasing sales and profit from each core brand and strengthening each brand's foundation while expanding its reach."}, {"path": "tedlium_12926.wav", "duration": 10.32, "text": "provide additional analytic tools to understand our operations. Tables that reconcile non-GAAP financial measures to GAAP results are also included in our earnings release issued today."}, {"path": "tedlium_12927.wav", "duration": 10.32, "text": "We talk a lot about United, Optum is in the process of buying DaVita's Medical Group. I know lots of that medical group practice"}, {"path": "tedlium_12928.wav", "duration": 10.32, "text": "we've got execution to do on the real estate, and we have a track record of executing quite well. We've taken out 205 locations and consolidated them"}, {"path": "tedlium_12929.wav", "duration": 10.32, "text": "All the progress we made maintaining and acquiring new customers is paying off, and we expect this to continue in 2018 as the market continues to improve."}, {"path": "tedlium_12930.wav", "duration": 10.32, "text": "we are anticipating that the impact of the lower tax rate would be almost entirely offset by the actions we will take to reinvest this benefit in our employees and our businesses."}, {"path": "tedlium_12931.wav", "duration": 10.32, "text": "Revenues in both U.S. and international irrigation were modestly improved in the quarter, while infrastructure revenues were substantially higher than the same quarter of last year."}, {"path": "tedlium_12932.wav", "duration": 10.32, "text": "We believe that we are well-positioned, both from a human capital standpoint, a balance sheet standpoint, and a real estate standpoint"}, {"path": "tedlium_12933.wav", "duration": 10.32, "text": "and quickly catch up on that backlog both in terms of frozen access conditions that we're seeing right now and more importantly access to our services."}, {"path": "tedlium_12934.wav", "duration": 10.32, "text": "Okay. Do you have a view on what Chlor Alkali operating rates were for -- were in China last quarter and maybe where they are today?"}, {"path": "tedlium_12935.wav", "duration": 10.32, "text": "Yes, this is Billy Helms. I think what you're seeing is a result of the increased activity there in the Delaware Basin relative to the overall program. We're drilling"}, {"path": "tedlium_12936.wav", "duration": 10.32, "text": "not only have we integrated these crucial acquisitions at the right time for us, but we believe that we also have the skills to actually drive them higher."}, {"path": "tedlium_12937.wav", "duration": 10.32, "text": "I personally don't think they're related to our move to Connected 4 Growth, which is absolutely needed and certainly will put the company in a better position as we move forward."}, {"path": "tedlium_12938.wav", "duration": 10.32, "text": "So now we do not set prices centrally in the bank, meaning that that is left to the branch offices to do"}, {"path": "tedlium_12939.wav", "duration": 10.32, "text": "Yes. With regards Strategic Accounts, and I've said this many times in the past, these are binary, and they typically happen at the end of the year. So while the team does have"}, {"path": "tedlium_12940.wav", "duration": 10.32, "text": "as guests in the area are looking forward to next season at the newly improved Wilmot Mountain, as well as the opportunity to ski at our western resorts, all on the same pass."}, {"path": "tedlium_12941.wav", "duration": 10.32, "text": "Okay, that's my report. Thanks, Jeffery. Next, I would like to respond to some of the questions raised by"}, {"path": "tedlium_12942.wav", "duration": 10.32, "text": "CAP reported 11% revenue growth after adjusting for 35 points of streamline activities and FX, with China revenue growth once again in the high teens on the same basis."}, {"path": "tedlium_12943.wav", "duration": 10.32, "text": "Improving our recovery process has been a strategic focus throughout this fiscal year, as high recoveries benefit cash collections and reduce loss rates on our allowance for bad debt."}, {"path": "tedlium_12944.wav", "duration": 10.32, "text": "So what we look at from an acquisition point of view that is the add-on, bolt-on character that will happen from time to time, so sort of when"}, {"path": "tedlium_12945.wav", "duration": 10.32, "text": "The next major investment, the first tranche of that really starts to impact our results in 2018. And certainly, the driver"}, {"path": "tedlium_12946.wav", "duration": 10.32, "text": "So it depends on the nature of the fixed cost. So you're right. You do not -- you don't need the second analytical lab. But as you grow with the different consumer trends,"}, {"path": "tedlium_12947.wav", "duration": 10.32, "text": "What we're trying to do is -- which is obvious, is we're trying to marry the best response rates and the best credit quality customers."}, {"path": "tedlium_12948.wav", "duration": 10.32, "text": "Ladies and gentlemen, this does conclude the conference call for today. We thank you for your participation and ask that you please disconnect your lines. Have a good day, everyone."}, {"path": "tedlium_12949.wav", "duration": 10.32, "text": "We will invest in Salt Lake City to be able to get to Tier 3 gasoline, and then we'll balance out the rest of our system to be able to be in compliance with it."}, {"path": "tedlium_12950.wav", "duration": 10.32, "text": "I'll call out a couple of factors affecting the comparison. Incremental revenue from the DAT acquisition was partially offset by a negative impact from foreign currency."}, {"path": "tedlium_12951.wav", "duration": 10.32, "text": "We continue to believe that DC Bead has very positive revenue potential for SciClone. Our development portfolio continues to progress"}, {"path": "tedlium_12952.wav", "duration": 10.32, "text": "Much of this merchandising also includes some subtle, but meaningful changes to our assortments. More focus on accessories and new categories like kids"}, {"path": "tedlium_12953.wav", "duration": 10.32, "text": "The development of our tandem quadrupole Xevo platform has enabled us to meet the evolving demands for reproducible quantification capabilities for both small and large molecules."}, {"path": "tedlium_12954.wav", "duration": 10.32, "text": "We can go into a sister hospital and in many cases, it's across the street and wonder if they want to do the same thing in response to the bupivacaine shortage and they look at us like we just dropped out of a spaceship."}, {"path": "tedlium_12955.wav", "duration": 10.32, "text": "In cases where it is understood that forward-looking statements are no longer achievable, such matter will be announced to the public and the statements will be revised."}, {"path": "tedlium_12956.wav", "duration": 10.32, "text": "would be a higher priority for us going forward. And so as I said, I think there'll be significant excess cash that will build up over time. And"}, {"path": "tedlium_12957.wav", "duration": 10.32, "text": "And while we saw a slight decline in lease-related demand, decline was partially due to the Easter shift, and we expect leisure to improve in the second half of the year."}, {"path": "tedlium_12958.wav", "duration": 10.32, "text": "Now I'd like to provide an update on our capital recycling efforts. As announced on our last call, we closed on the sale of the Hilton Berlin during the second quarter,"}, {"path": "tedlium_12959.wav", "duration": 10.32, "text": "as Old Parr declined due to recent tax increases in Colombia and continued declines on Windsor due to scotch category contraction in Korea"}, {"path": "tedlium_12960.wav", "duration": 10.32, "text": "is very, very, very competitive. And so our bankers have been very disciplined about keeping as much price and getting paid for risk as we could."}, {"path": "tedlium_12961.wav", "duration": 10.32, "text": "On the offset of that, we actually made an acquisition earlier in the year. So you asked a question about inventory. I don't know if it was for China,"}, {"path": "tedlium_12962.wav", "duration": 10.32, "text": "compared with the third quarter of 2015. The decline was due to continued weakness in upstream natural gas processing, petrochemical and LNG markets."}, {"path": "tedlium_12963.wav", "duration": 10.32, "text": "Forward-looking statements made during today's call are subject to risks and uncertainties, which are discussed at length in our press releases as well as our SEC filings."}, {"path": "tedlium_12964.wav", "duration": 10.32, "text": "We believe that our ability to attract and retain customers comes in from our ongoing commitment to understanding our customers' business performance requirements, and further,"}, {"path": "tedlium_12965.wav", "duration": 10.32, "text": "and ongoing high-quality training to handle future technician requirements as vehicles become more complex with the increased adoption of technology."}, {"path": "tedlium_12966.wav", "duration": 10.32, "text": "emerging markets, like Latin America and Southeast Asia. Those markets tend to be a little bit more expensive for us as we continue to invest to see the growth."}, {"path": "tedlium_12967.wav", "duration": 10.32, "text": "if there are any deficiencies, if there's any area where the physician may have missed a signature or there may be some missing"}, {"path": "tedlium_12968.wav", "duration": 10.32, "text": "for your Chinese JVs, and I think you're -- you and your team have expressed a bit of frustration of that apparent lack of value implied"}, {"path": "tedlium_12969.wav", "duration": 10.32, "text": "in mass, specifically in club, and then in selected grocery customers across the country. That affected our volume significantly in both May and June."}, {"path": "tedlium_12970.wav", "duration": 10.32, "text": "So again, strategically, when we acquired Stelmi several years ago, we intended to build capacity first and then try to expand that capacity to other regions."}, {"path": "tedlium_12971.wav", "duration": 10.32, "text": "Got it. Great. And then looking to Texas, just wanted to get your outlook on when you see that market bottoming out"}, {"path": "tedlium_12972.wav", "duration": 10.32, "text": "larger projects. As you said, the revenue share is larger that's why there should be some room to grow further in the next 2 years."}, {"path": "tedlium_12973.wav", "duration": 10.32, "text": "to maintain competitiveness. One of the big advantages we think we have and one of the reasons we don't believe necessary that the Amazon threat becomes a"}, {"path": "tedlium_12974.wav", "duration": 10.32, "text": "We have had a variety of customers discuss this very issue with us. And I expect, with each passing month, as we draw nearer to the deadline, that concern will more fully manifest itself."}, {"path": "tedlium_12975.wav", "duration": 10.32, "text": "Well, what's happening here is we need to spend more resources in delivering some of the large digital transformation projects,"}, {"path": "tedlium_12976.wav", "duration": 10.32, "text": "So we're very excited about the ongoing portfolio transformation and continue to look for other opportunities to advance our profitable growth strategy."}, {"path": "tedlium_12977.wav", "duration": 10.32, "text": "We expect a continued acceleration of the underlying trading operating profit margin in the second half, supported by further progress with our efficiency programs,"}, {"path": "tedlium_12978.wav", "duration": 10.32, "text": "We remain focused on increasing earnings, producing strong cash ROE and delivering sustainable operating cash flows. We continue to successfully execute our disciplined growth strategy,"}, {"path": "tedlium_12979.wav", "duration": 10.32, "text": "the -- even some of our sell-throughs right now are strong. And our positioning with some of our customers for anniversary events and you name it also looks pretty good. So"}, {"path": "tedlium_12980.wav", "duration": 10.32, "text": "But we should not forget that these acquisitions are bringing -- what these acquisitions are bringing beside the pure business opportunity, and this is an immediate effect."}, {"path": "tedlium_12981.wav", "duration": 10.32, "text": "are compensated and care about that see it. So we're going to get our momentum back, but it's not going to happen as quick as we had hoped. The realities on the ground are what they are."}, {"path": "tedlium_12982.wav", "duration": 10.32, "text": "We look very different today than 5 years ago. For example, clinical and technology professionals are the first and third largest job categories across UnitedHealth Group."}, {"path": "tedlium_12983.wav", "duration": 10.32, "text": "So we're fully staffed, we're ready to serve the customer. And when the job sites aren't open because they're flooded or because of significant rain, we incur that incremental cost without the sales."}, {"path": "tedlium_12984.wav", "duration": 10.32, "text": "creates opportunities for us in a lot of ways, but there's not -- we're not looking to start swapping with folks to create a different kind of portfolio."}, {"path": "tedlium_12985.wav", "duration": 10.32, "text": "evaluated to be approximately 3.3 turns per year. Higher levels of inventory were primarily related to an increase in raw material inventory,"}, {"path": "tedlium_12986.wav", "duration": 10.32, "text": "of who we are and where we come from and involve that and make it current for today and have better authentic style, better quality and be more relevant,"}, {"path": "tedlium_12987.wav", "duration": 10.32, "text": "As we've highlighted in the past, the ability to adjust platform interest rates based on economic conditions, credit performance or investor appetite is a key benefit of the marketplace model,"}, {"path": "tedlium_12988.wav", "duration": 10.32, "text": "Fourth, we are resetting our culture to one based on accountability, more engaged in empowered employees, in close collaboration with our customers."}, {"path": "tedlium_12989.wav", "duration": 10.32, "text": "and remain a rare occurrence, not least because QE is supporting credit fundamentals and providing cheap funding to the region's banks."}, {"path": "tedlium_12990.wav", "duration": 10.32, "text": "Right now, we've lost a lot of that market. We intend to get it back. So I -- it's hard for me to answer you in percentages."}, {"path": "tedlium_12991.wav", "duration": 10.32, "text": "is redeveloped space that includes pre-builts and white boxed full and partial floors ready for lease-up."}, {"path": "tedlium_12992.wav", "duration": 10.32, "text": "But I've learned from experience that that's not the case. So the fact that we had retirement slow down a little bit was not a particular surprise here."}, {"path": "tedlium_12993.wav", "duration": 10.32, "text": "increase in net insurance service revenues was the result of our repricing efforts and claims activity tracking to our trend forecast."}, {"path": "tedlium_12994.wav", "duration": 10.32, "text": "and utilize our cash flows and available facilities to fund our ongoing capital and ongoing operational requirements."}, {"path": "tedlium_12995.wav", "duration": 10.32, "text": "Equally important, we made strides in how we manage the business. Our management team is now established and organized to effectively implement best practices."}, {"path": "tedlium_12996.wav", "duration": 10.32, "text": "As always, we will continue to monitor our performance at all of our businesses, not just those servicing the energy market and take appropriate actions as warranted."}, {"path": "tedlium_12997.wav", "duration": 10.3199375, "text": "Okay, great. And then just a question on acquisitions. I feel like this question gets asked to every lessor on every conference call, but given that there have been fleets more recently that have been put up for sale"}, {"path": "tedlium_12998.wav", "duration": 10.29, "text": "basically, all the manual entries that we do now that are subject to any kind of human error and require massive amounts of review time will all become automated."}, {"path": "tedlium_12999.wav", "duration": 10.29, "text": "The launch of that and also the opportunity to make your relationships perhaps more sticky through that portal?"}, {"path": "tedlium_13000.wav", "duration": 10.29, "text": "While we do not provide earnings guidance, our fourth quarter is generally our strongest quarter, and we believe that it is likely to be the case this year as well."}, {"path": "tedlium_13001.wav", "duration": 10.29, "text": "So can you help just me understand what that comment meant and help me square that with your comment earlier that business activity has started the year pretty well for you?"}, {"path": "tedlium_13002.wav", "duration": 10.29, "text": "segment where Tele2 and T-Mobile are very aggressive leveraging the low utilization in their network. And that's also the reason why we have taken the decision"}, {"path": "tedlium_13003.wav", "duration": 10.29, "text": "increase our cost basis as a result. And so whether or not we could actually have the metal prices pegged to the ASPs of batteries,"}, {"path": "tedlium_13004.wav", "duration": 10.29, "text": "These changes conform to recent regulatory precedent and optimize our opportunity to have both doses labeled with very competitive efficacy and safety results."}, {"path": "tedlium_13005.wav", "duration": 10.29, "text": "As far as the approval process goes for the repurchase, the regulators asked us to submit a plan at"}, {"path": "tedlium_13006.wav", "duration": 10.29, "text": "We're focusing on developing even more ways to share and celebrate and learn from each other and to energize each other. Possibilities there are endless."}, {"path": "tedlium_13007.wav", "duration": 10.29, "text": "The change in commission rates triggered a considerable number of new group bookings in the first quarter, largely for meetings taking place in 2020 and beyond."}, {"path": "tedlium_13008.wav", "duration": 10.29, "text": "Importantly, the capacity at these terminals has been contracted the same way we contract capacity at our other terminals."}, {"path": "tedlium_13009.wav", "duration": 10.29, "text": "I'd like to briefly remind everyone about our firmly committed terminaling services contracts, which underpin the stability of our cash flows."}, {"path": "tedlium_13010.wav", "duration": 10.29, "text": "Of course, the corresponding loss ratio is in the 20s or 30s. The same is true of some of our risk-managed business within Commercial Specialty."}, {"path": "tedlium_13011.wav", "duration": 10.29, "text": "This growth was somewhat offset by lower premium in Argo REIT due to increased competition. Having said that, we do see some signs that the market is bottoming."}, {"path": "tedlium_13012.wav", "duration": 10.29, "text": "is this the margin you thought you were going to have when you came into the year? Or are you -- is the margin a little compressed versus what you thought when you came into the year?"}, {"path": "tedlium_13013.wav", "duration": 10.29, "text": "but we have reasons to be optimistic. While bad news in the Commonwealth continues to capture headlines, many of the underlying developments tell a more positive story."}, {"path": "tedlium_13014.wav", "duration": 10.29, "text": "It'll keep looking good if we keep up with this hot weather. But Robert, you know that this weather normalization is a little bit more of a art than a science."}, {"path": "tedlium_13015.wav", "duration": 10.29, "text": "While increased storm activity continued during the third quarter, including impact from Hurricane Florence, the effect on our territories was modest compared to expectations."}, {"path": "tedlium_13016.wav", "duration": 10.29, "text": "I'll remind everyone that remarks made during this conference call will include some forward-looking statements. The company's actual results could differ materially from those projected."}, {"path": "tedlium_13017.wav", "duration": 10.29, "text": "The double-digit organic revenue gain was the primary driver to improved results, as significant improvements were noted in each of our 3 largest European operations."}, {"path": "tedlium_13018.wav", "duration": 10.29, "text": "That said, there should be no further adverse capacity impact over the remainder of the construction cycle, and we expect the renovation of the Javits Center will deliver benefits to us longer term."}, {"path": "tedlium_13019.wav", "duration": 10.29, "text": "winter sports industry, and we'll find some customers that will be in the November show and some customers that will be in the January show. I don't think the market in the future will see them as separate"}, {"path": "tedlium_13020.wav", "duration": 10.29, "text": "We remain cautious in our review of opportunities, but -- and currently expect our pace of convenience store acquisitions will moderate from last year."}, {"path": "tedlium_13021.wav", "duration": 10.29, "text": "from various items mainly from a slight increase in the DSOs in some countries and we are working with that. And also from some"}, {"path": "tedlium_13022.wav", "duration": 10.29, "text": "Our third quarter results included considerable strength in mass cytometry in both instruments and consumables, but with a decline in our microfluidic genomics business."}, {"path": "tedlium_13023.wav", "duration": 10.29, "text": "and those types of things that are molded from this polypropylene for cars. So we're -- what we're experiencing really is across-the-board decreases in the customers where"}, {"path": "tedlium_13024.wav", "duration": 10.29, "text": "Even though we are in the season of the year prior to summer when alarm sales tend to naturally increase, this growth is far ahead of the average growth of the industry in this region."}, {"path": "tedlium_13025.wav", "duration": 10.29, "text": "like your ability -- you still have an ability to grow your net retrans between now and 2020? We do. We do."}, {"path": "tedlium_13026.wav", "duration": 10.29, "text": "Our local network broadcast content is an integral component at even the most basic tiers of service as well as all the virtual MVPD packages. As a result,"}, {"path": "tedlium_13027.wav", "duration": 10.29, "text": "Currency headwinds in several of the foreign countries in which the company has operations, which had negatively impacted prior quarters, abated in the second quarter."}, {"path": "tedlium_13028.wav", "duration": 10.29, "text": "Our plan is to be fully up and running in these premises by very early 2019, and we expect cash payback on the investment in about 5 years from then."}, {"path": "tedlium_13029.wav", "duration": 10.29, "text": "would allow us to test the market and see its adoption and hopefully, will lead to higher and better yields for us. If it works and the adoption for data set improves,"}, {"path": "tedlium_13030.wav", "duration": 10.29, "text": "excuse me, as mentioned previously, we project a decrease in our inventory investment over the balance of the year. Hence reducing our working capital investment and freeing up funds for alternate uses."}, {"path": "tedlium_13031.wav", "duration": 10.29, "text": "Our team has made excellent progress on the strategic priority of building a world-class deployment capability. These efforts have directly resulted in our successes to date,"}, {"path": "tedlium_13032.wav", "duration": 10.29, "text": "And as we just think about the energy portfolio and reserves around the energy portfolio, and I know there's some questions about whether we released reserves or"}, {"path": "tedlium_13033.wav", "duration": 10.29, "text": "Any more color on this? And I think you mentioned a few minutes ago that there could be some higher syndication fees in 4Q. I'm curious if this is energy related."}, {"path": "tedlium_13034.wav", "duration": 10.29, "text": "Overseas business is another growth domain, but as you can see, the road hasn't been entirely smooth lately."}, {"path": "tedlium_13035.wav", "duration": 10.29, "text": "we did have elevated NRCs. They were higher than we expected, but really the point I want to make here, they should be transitional in nature."}, {"path": "tedlium_13036.wav", "duration": 10.29, "text": "Incremental strategic investments lowered margins by 70 basis points in the quarter. As we indicated during our December outlook meeting,"}, {"path": "tedlium_13037.wav", "duration": 10.29, "text": "First one is, did we make progress from the previous quarter? The second one is, do you feel confident now with the supply you have to service your current customers? And the third one is,"}, {"path": "tedlium_13038.wav", "duration": 10.29, "text": "If you look through these 2 major items, our earnings and net operating income are basically flat with last year's June quarter,"}, {"path": "tedlium_13039.wav", "duration": 10.29, "text": "So the end game would be that we would keep the best of breed in equity fixed income and passive and develop the multi-asset capabilities along with that."}, {"path": "tedlium_13040.wav", "duration": 10.29, "text": "and ensuring that we do everything we can through our -- with our Corporate Trust business to leverage all the relationships that we have for those people that make the decisions on who the trustee is going to be."}, {"path": "tedlium_13041.wav", "duration": 10.29, "text": "are not going to -- they're going to obviously proactively invest to grow their business. They won't proactively invest in environmental equipment unless they see a regulation that forces them to do so."}, {"path": "tedlium_13042.wav", "duration": 10.29, "text": "Japan is a great example of thinking through how do you do these TAM calculations because we'll see what the mix is with regard to laparoscopy versus"}, {"path": "tedlium_13043.wav", "duration": 10.29, "text": "which we have never included in our dealership business. We expect that to be hundreds of thousands of members a year, obviously, giving us new customers"}, {"path": "tedlium_13044.wav", "duration": 10.29, "text": "But so I would say, the heavy lifting to get open is over, and now we are excited about the heavy lifting to crank this up into the type of revenue that we're used to."}, {"path": "tedlium_13045.wav", "duration": 10.29, "text": "What are the annualized benefits of those, the reduction in amortization and your change in pension accounting?"}, {"path": "tedlium_13046.wav", "duration": 10.29, "text": "to look at things like what are the operational assumptions for our fleets, what's our assumptions around retirements, what are we seeing about what visibility are we getting on the cost of shop visits"}, {"path": "tedlium_13047.wav", "duration": 10.29, "text": "we are operating in environments where cost savings require a certain prework, which is called a social dialogue."}, {"path": "tedlium_13048.wav", "duration": 10.29, "text": "The strong rand against the dollar in the same period resulted in lower rand reported finance costs on the year denominated debt at the holding company level."}, {"path": "tedlium_13049.wav", "duration": 10.29, "text": "We are committed to growing the business of our key suppliers and partnering with them to ensure that they achieve their volume and profitability objectives."}, {"path": "tedlium_13050.wav", "duration": 10.29, "text": "will begin to ease somewhat in the coming year. We also expect that reductions in our nondiscretionary capital expenditures should generate increased free cash flow"}, {"path": "tedlium_13051.wav", "duration": 10.29, "text": "And we think that's the more sustainable way, which is what our investors are looking for, that we have sustainable cash flows going up."}, {"path": "tedlium_13052.wav", "duration": 10.29, "text": "but we have a lot of other areas, and there's a lot of energy around this subject, has been. And I think we're getting more effective at executing more quickly"}, {"path": "tedlium_13053.wav", "duration": 10.29, "text": "will provide us a better platform on which ZALVISO can more easily follow after health care professionals are educated on and experienced with"}, {"path": "tedlium_13054.wav", "duration": 10.29, "text": "we would expect a final decision as to approval for our DZUVEO marketing authorization by early third quarter of this year."}, {"path": "tedlium_13055.wav", "duration": 10.29, "text": "We will continue to provide updates to these slides each quarter. And now Vince will walk you through a more detailed look at segments' earnings."}, {"path": "tedlium_13056.wav", "duration": 10.29, "text": "We will continue to drive growth in the Consumer Products Group by accelerating growth of our branded portfolio with innovation and targeted marketing."}, {"path": "tedlium_13057.wav", "duration": 10.29, "text": "The cancer field is big enough that we could make access to the platform available to others to optimize their vaccine platforms as well."}, {"path": "tedlium_13058.wav", "duration": 10.29, "text": "And we are increasingly willing to let things go and to lose an order, because we believe that the market is supported going forward."}, {"path": "tedlium_13059.wav", "duration": 10.29, "text": "I don't mean to give the impression that this challenge is behind us, because we're at the beginning of the upstream recovery, the downstream recovery is about a year old."}, {"path": "tedlium_13060.wav", "duration": 10.29, "text": "It's important to note that our investments to bring new technology to market and to help large customers implement sizeable vision projects remain intact."}, {"path": "tedlium_13061.wav", "duration": 10.29, "text": "And then just in terms of long term, I guess you've never really stated a target leverage ratio, but"}, {"path": "tedlium_13062.wav", "duration": 10.29, "text": "As we have explained in previous conference calls, the company is focusing on certain strategic avenues in order to achieve this transformation,"}, {"path": "tedlium_13063.wav", "duration": 10.29, "text": "taking our plans and putting them into implementation. So we have a new leader that has taken over responsibility for our marketing business that joined just 2 weeks ago."}, {"path": "tedlium_13064.wav", "duration": 10.29, "text": "is the fruits of our labor for the last 3 years, just like you talked about with that farmer, the situation is,"}, {"path": "tedlium_13065.wav", "duration": 10.29, "text": "and other regulatory fees on a net basis, consistent with how we have traditionally reported other pass-through items like sales taxes."}, {"path": "tedlium_13066.wav", "duration": 10.29, "text": "really very much in line with what we would like to see. We don't need these patients to have high blood pressures when they're lying down at night. In fact midodrine and droxidopa carry box warnings"}, {"path": "tedlium_13067.wav", "duration": 10.29, "text": "We remain committed to the buyback program, which we believe demonstrates our confidence in the business and commitment to returning capital to stockholders."}, {"path": "tedlium_13068.wav", "duration": 10.29, "text": "and this will create opportunities for Electrovaya. We are also pleased that our technology continues to gain recognition from key stakeholders."}, {"path": "tedlium_13069.wav", "duration": 10.29, "text": "the transfers, the value of the transfers against having capacity at some cost-plus model. And the capacity that"}, {"path": "tedlium_13070.wav", "duration": 10.29, "text": "So I'm just curious, what do you think it'll take to actually get those new expansion projects going again? I'm just curious about the visibility you have around that ramp going throughout the year."}, {"path": "tedlium_13071.wav", "duration": 10.29, "text": "Placing the video in a fixed bar at the top of the page allows the user to continuously view a video embedded on an article page,"}, {"path": "tedlium_13072.wav", "duration": 10.29, "text": "I think that banks are a function, in many ways from a revenue point of view, of the underlying levels of activity in an economy that flows through our systems."}, {"path": "tedlium_13073.wav", "duration": 10.29, "text": "We believe we are adequately provisioned on our defaulted book due to the restructures we have implemented, as well as the security we hold in the form of guarantees and other assets."}, {"path": "tedlium_13074.wav", "duration": 10.29, "text": "Stephanie, thank you. We'd like to thank everyone again for calling in this morning and for your participation on the call. And obviously, please contact me if you have any further questions. Thank you."}, {"path": "tedlium_13075.wav", "duration": 10.29, "text": "This is a robust growing category that has been around for years and is being accelerated by a deep launch schedule of new and evergreen intellectual property."}, {"path": "tedlium_13076.wav", "duration": 10.29, "text": "Okay, great. And in the past you've been able to quantify the approximate percentage of your operating EBITDA that comes from these retail royalties. Is that a number you can break out for us now?"}, {"path": "tedlium_13077.wav", "duration": 10.29, "text": "Yes. So the color is there is really no color, which is to say if you were to go back over the course of the last 8 quarters and take"}, {"path": "tedlium_13078.wav", "duration": 10.29, "text": "More times than not, they're not upheld at an individual level. So -- and I'm not going to speculate on what we think is going to happen in this one, we're going to get that answer fairly soon."}, {"path": "tedlium_13079.wav", "duration": 10.29, "text": "I just want to ask about retention going into the big selling season. How do you guys feel about retention going forward coming into the selling season here?"}, {"path": "tedlium_13080.wav", "duration": 10.29, "text": "the Chilean economy, very much related to mining, and I would say there had been strengthening earlier but the Chilean economy still remains somewhat weak. I think the political situation there"}, {"path": "tedlium_13081.wav", "duration": 10.29, "text": "For example, we have continued our efforts to improve in-stock positions on key categories like vinyl, engineered hardwood and engineered bamboo."}, {"path": "tedlium_13082.wav", "duration": 10.29, "text": "We've already received 1,500 containers that will be financed with debt. We're also investing in technology projects, including transportation management system"}, {"path": "tedlium_13083.wav", "duration": 10.29, "text": "because they don't want to be in a position to miss the opportunity to increase their recovery from these reservoirs by"}, {"path": "tedlium_13084.wav", "duration": 10.29, "text": "any pick up in that activity now that you've seen a little bit better conditions in energy markets?"}, {"path": "tedlium_13085.wav", "duration": 10.29, "text": "With respect to our decision to suspend the dividend, we are mindful of our current performance, the current state of the marketplace"}, {"path": "tedlium_13086.wav", "duration": 10.29, "text": "if this program continues, it should ultimately supplant the work that is being done by ZPICs and also on ADRs and so forth."}, {"path": "tedlium_13087.wav", "duration": 10.29, "text": "But secondly, the beverage -- several of our beverage customers are seeing some softness in their demand. So as a result, they're actually pulling back a bit on inventory."}, {"path": "tedlium_13088.wav", "duration": 10.29, "text": "which is currently scheduled as our second slickwater appraisal test in Area 2. We could also make this a 2-well pad instead of a single well as it's currently scheduled."}, {"path": "tedlium_13089.wav", "duration": 10.29, "text": "I'd say what's going on. I would -- mostly-- Downstream's a little softer than we had forecasted at that time. There's been some new business that we've had that's been delayed,"}, {"path": "tedlium_13090.wav", "duration": 10.29, "text": "We are also well-positioned to capture new polypropylene process licenses and continue to see high levels of activity in our licensing business."}, {"path": "tedlium_13091.wav", "duration": 10.29, "text": "the margins to create new offerings that will allow us to grow further in the future. So in fact,"}, {"path": "tedlium_13092.wav", "duration": 10.29, "text": "Based on what we know today, we expect fuel and gain on sale to be headwinds in 2016, hopefully, offset by improvements in our utilization, especially in the second half of the year."}, {"path": "tedlium_13093.wav", "duration": 10.29, "text": "or reduce our chassis costs and improve container turns. This focus will ultimately help improve our overall Intermodal cost and improve our operating ratio."}, {"path": "tedlium_13094.wav", "duration": 10.29, "text": "In Iraq, signs of increased activity are emerging in the north, with at least one major IOC expected to resume activity during the first quarter."}, {"path": "tedlium_13095.wav", "duration": 10.29, "text": "Okay, got it. And I don't know if you could mention the actual -- is it enough to be a couple of pennies or anything directionally? Or not yet, too early?"}, {"path": "tedlium_13096.wav", "duration": 10.29, "text": "We actually think it's very attractive asset. So we wanted to maximize our ownership stake, but at the same time, not provide any capital."}, {"path": "tedlium_13097.wav", "duration": 10.29, "text": "As a result of this decision, a contract termination dispute has arisen, and we have recorded a pretax charge of 2.8 million during the quarter."}, {"path": "tedlium_13098.wav", "duration": 10.29, "text": "Ladder expresses its view of the commercial real estate market and of specific opportunities within it by making loans, investing in debt securities and acquiring real estate,"}, {"path": "tedlium_13099.wav", "duration": 10.29, "text": "The turn we are now seeing is due to a higher proportion of larger, more complex projects. And as such, can drive a longer lag"}, {"path": "tedlium_13100.wav", "duration": 10.29, "text": "and solutions revenue and handset sales revenue is increasing and they are contributing a lot. Could you explain the reason why they are growing?"}, {"path": "tedlium_13101.wav", "duration": 10.29, "text": "And I just want to understand kind of what the offset was, because it sounds like cost pressures are actually rather benign. Could you help us think through that a little bit?"}, {"path": "tedlium_13102.wav", "duration": 10.29, "text": "expands our medical device capabilities and adds needed capacity to accommodate the significant demand from biotech and pharma clients."}, {"path": "tedlium_13103.wav", "duration": 10.29, "text": "We announced strategic partnerships with software vendors and a research institution to leverage SDN for the automation and advanced control of microwave networks."}, {"path": "tedlium_13104.wav", "duration": 10.29, "text": "historically and continue to believe that a target is not as relevant as making sure that we're maintaining flexibility. And so to the extent that"}, {"path": "tedlium_13105.wav", "duration": 10.29, "text": "In addition, many of our plants are launching multiple off-highway programs. We have indications from our customers to expect this growth to continue, which will certainly benefit the segment."}, {"path": "tedlium_13106.wav", "duration": 10.29, "text": "with that concept in the Flavors group, and I think, a lot of the execution of that, we're going to continue to see improvements on that in 2017. That is going to be key"}, {"path": "tedlium_13107.wav", "duration": 10.29, "text": "So we are expecting a letter -- an open letter from Ofgem this summer. What we expect that letter to include is basically a set of questions that they think should be asked"}, {"path": "tedlium_13108.wav", "duration": 10.29, "text": "to create our ongoing foundation for growth. Finance drove our focus on operational efficiencies. Supply chain brought our new distribution network online."}, {"path": "tedlium_13109.wav", "duration": 10.29, "text": "all of these provide us with a solid foundation for the rest of this year and 2018. Thank you for your time. Thank you for participating"}, {"path": "tedlium_13110.wav", "duration": 10.29, "text": "But as we saw the complete magnitude of the freight and everything else and the really strengthening demand, we made some pretty significant moves here in May."}, {"path": "tedlium_13111.wav", "duration": 10.29, "text": "now course-correcting quickly and decisively. Together with the rest of the organization, we have set out to restore the Tile Shop way of doing business."}, {"path": "tedlium_13112.wav", "duration": 10.29, "text": "in terms of preserving our profitability. So this is a little bit what we are doing and we're thinking -- we think we are doing it well."}, {"path": "tedlium_13113.wav", "duration": 10.29, "text": "and the entire remodeling that has been done. Graham can unpack it further in addition to adding color to what he put in the presentation. Importantly, we are not throwing all of our eggs in one basket."}, {"path": "tedlium_13114.wav", "duration": 10.29, "text": "And you will recall that we typically schedule most of our annual maintenance shuts during the fourth and first quarter of the year when demand is seasonally slower."}, {"path": "tedlium_13115.wav", "duration": 10.29, "text": "using our data and received a very positive reaction. As a result of our improved audit performance and extended capabilities in analytics services,"}, {"path": "tedlium_13116.wav", "duration": 10.29, "text": "This expected decline was driven by lower volumes in the quarter and the subsequent higher allocation per unit of the fixed component of cost of goods sold."}, {"path": "tedlium_13117.wav", "duration": 10.26, "text": "show some priority customer segments and we have now aligned resources and organization to be able to serve this customer in a more efficient way."}, {"path": "tedlium_13118.wav", "duration": 10.26, "text": "Turning specifically to the fourth quarter performance. In Washington, we had a reasonably solid quarter despite the early harsh February weather"}, {"path": "tedlium_13119.wav", "duration": 10.26, "text": "fully funded, season it for a quarter or 2 and then you're selling the conventional fees out for the gain on sale."}, {"path": "tedlium_13120.wav", "duration": 10.26, "text": "is to cut costs as far as we possibly can. Every penny is turned over before being spent here,"}, {"path": "tedlium_13121.wav", "duration": 10.26, "text": "Quite frankly, it's a question of cost. And if you run the historical analysis within our balance sheet besides that it has been historically,"}, {"path": "tedlium_13122.wav", "duration": 10.26, "text": "we have, for sure, an upside here from the dollar in H1. So I hope this clarifies what guided us when we were adjusting the currency assumptions."}, {"path": "tedlium_13123.wav", "duration": 10.26, "text": "until you get into the heat of battle. And so you have hopes and expectations perhaps through the bid season. And so as it played out in the first of the year, I think we found ourselves"}, {"path": "tedlium_13124.wav", "duration": 10.26, "text": "Our decision to take a more conservative approach and commission the paper machine in stages to ensure a smooth ramp-up of production is what led to a slightly later startup."}, {"path": "tedlium_13125.wav", "duration": 10.26, "text": "This will be essential in the further development of 5G and decisions on when, how and where to deploy."}, {"path": "tedlium_13126.wav", "duration": 10.26, "text": "Our restaurant teams and field leaders are quickly responding to our recent pivot to simplify restaurant operations, and they are keenly focused on delivering an excellent customer experience."}, {"path": "tedlium_13127.wav", "duration": 10.26, "text": "the overall market environment in Western Canada remains uncertain. We do not expect the elevated product support revenues of the first quarter to continue in the coming quarters."}, {"path": "tedlium_13128.wav", "duration": 10.26, "text": "That, combined with a decrease in sales in the Culture business, which is a noncore business but it's a significant piece of the business today,"}, {"path": "tedlium_13129.wav", "duration": 10.26, "text": "In Europe, the first quarter presented a challenging sales environment due to the combined impact of a mild winter across most of the regions which we operate,"}, {"path": "tedlium_13130.wav", "duration": 10.26, "text": "In 2017, we expect to incur additional expense related to consulting, employee insurance and software licenses and advertising."}, {"path": "tedlium_13131.wav", "duration": 10.26, "text": "that we were looking basically at different licensing agreement that were mostly related to 2 areas. One is the game features"}, {"path": "tedlium_13132.wav", "duration": 10.26, "text": "in the near term to have more of an asset generator would definitely be attractive and probably have"}, {"path": "tedlium_13133.wav", "duration": 10.26, "text": "there were parts of the structures business that could be more capably managed outside of their company. Would you be open to picking up some of those factories or businesses?"}, {"path": "tedlium_13134.wav", "duration": 10.26, "text": "putting that business on the path to the record performance it's achieving today and accelerating sales growth for the future. I can think of no one more qualified to lead Lear going forward."}, {"path": "tedlium_13135.wav", "duration": 10.26, "text": "And lastly, the current therapies are injectable, and patients and physicians tell us, an oral acute therapy will make a big difference in patients' lives."}, {"path": "tedlium_13136.wav", "duration": 10.26, "text": "As you can see from our financial results I just discussed, the company's performance continues to improve and we're all positioned to continue the momentum."}, {"path": "tedlium_13137.wav", "duration": 10.26, "text": "How do you think about the opportunities there to kind of integrate practices and maybe drive similar types of test reduction pricing for their test"}, {"path": "tedlium_13138.wav", "duration": 10.26, "text": "I'd also like to note that we have added a schedule, which summarizes GAAP and non-GAAP financial results discussed on this conference call, as well as key balance sheet and cash flow metrics"}, {"path": "tedlium_13139.wav", "duration": 10.26, "text": "contemplated beyond atopic derm and also if you could give us any sense as to how the overall milestones may be allocated? Should we think of those as"}, {"path": "tedlium_13140.wav", "duration": 10.26, "text": "Elsewhere in our Partnered Discovery segment, we've seen very encouraging progress. Novartis recently took another antibody from our collaboration into clinical development."}, {"path": "tedlium_13141.wav", "duration": 10.26, "text": "We're getting ready to expand this program. To date, more than 5,000 drivers have registered for the smart phone app in our pilot states of Ohio and West Virginia."}, {"path": "tedlium_13142.wav", "duration": 10.26, "text": "We believe that demand for IndiHome is huge, given the fact that Indonesia has more than 60 million household"}, {"path": "tedlium_13143.wav", "duration": 10.26, "text": "All I have to do is satisfy your emotional needs. As for your physical needs, I can address them differently. However, noodles"}, {"path": "tedlium_13144.wav", "duration": 10.26, "text": "these numbers will change slightly because of the fact that we have a different phasing of some of the reorganization plan, which will lead to"}, {"path": "tedlium_13145.wav", "duration": 10.26, "text": "With the kind of expansion that we're seeing with the applications of electric motors in a lot of different sectors within automotive and industrial,"}, {"path": "tedlium_13146.wav", "duration": 10.26, "text": "is that the food industry, which has been regulated, is about to become really regulated. And it will look like the Wild, Wild West was"}, {"path": "tedlium_13147.wav", "duration": 10.26, "text": "This decline was due to substantial savings which we achieved in the category from consolidating ReposiTrak as well as ongoing efforts to run our business more efficiently."}, {"path": "tedlium_13148.wav", "duration": 10.26, "text": "how big of a swing do you expect as you go from Q1 to Q4? Shannon, we expect that we should have a sequential improvement from the"}, {"path": "tedlium_13149.wav", "duration": 10.26, "text": "So it's a little bit difficult for us to opine in terms of what the endgame is with the FDA. I think at this point in time, we can say that our studies to date support the safety and efficacy"}, {"path": "tedlium_13150.wav", "duration": 10.26, "text": "how fitness grew on a constant-currency basis in the quarter, and then sort of that exit rate for the year would be helpful. And then secondly, on fitness,"}, {"path": "tedlium_13151.wav", "duration": 10.26, "text": "in 2019. Again based on what we are seeing thus far into the first quarter of this year, we are highly confident in achieving our full year guidance."}, {"path": "tedlium_13152.wav", "duration": 10.26, "text": "After a 17% sequential improvement from the second to the third quarter, a less favorable mix and lower volumes of drill pipe contributed to the decline in the fourth quarter."}, {"path": "tedlium_13153.wav", "duration": 10.26, "text": "we had a little bit of growth in working capital, a couple of the causation factors there. We along with most other companies built a lot of inventory around Brexit. And"}, {"path": "tedlium_13154.wav", "duration": 10.26, "text": "These statements are not guarantees of future performance and are subject to certain risks and uncertainties. Therefore, actual results may differ materially."}, {"path": "tedlium_13155.wav", "duration": 10.26, "text": "The other benefit is the creation of unique market opportunities. Let me provide 2 practical examples, one opportunistic, the other more strategic."}, {"path": "tedlium_13156.wav", "duration": 10.26, "text": "And while these events are incredibly motivating as a whole, it's the individual stories we hear that inspire us and confirm we're living our purpose to make this world healthier and happier."}, {"path": "tedlium_13157.wav", "duration": 10.26, "text": "We will continue to maintain an active dialogue with the rating agencies to help them gain a better understanding of the data center industry and our conservative financial policy."}, {"path": "tedlium_13158.wav", "duration": 10.26, "text": "because they're driving people to the web. And actually, this is again, in my view, an opportunity for us to show even more product,"}, {"path": "tedlium_13159.wav", "duration": 10.26, "text": "Our core range really is all about driving promotions, driving reasons to shop now and bringing that value again at every price point."}, {"path": "tedlium_13160.wav", "duration": 10.26, "text": "diversification and operational efficiencies, all of which will help deliver significant value to shareholders for many years to come."}, {"path": "tedlium_13161.wav", "duration": 10.26, "text": "which we're basically done, like we'll always be tweaking our teams and our leadership teams. But the actual integration is over from that perspective. So"}, {"path": "tedlium_13162.wav", "duration": 10.26, "text": "Okay, and then my second question relates to Kaufhof. Can you speak to a little bit about what you expect constant currency growth to be for them next year if you have growth at all."}, {"path": "tedlium_13163.wav", "duration": 10.26, "text": "No, I think they tend to make decisions in some ways that are similar to Power Gen and some ways different. They clearly"}, {"path": "tedlium_13164.wav", "duration": 10.26, "text": "This agreement is part of Varian's commitment to partner with the Brazil Ministry of Health to increase access to and quality of radiotherapy treatment in Brazil and Latin America."}, {"path": "tedlium_13165.wav", "duration": 10.26, "text": "and more about the user experience, just trying to keep it as easy as possible for people who engage with us on whatever terms they choose to engage. So"}, {"path": "tedlium_13166.wav", "duration": 10.26, "text": "I don't think it's anything to be alarmed about. We are happy that we were able to lower our inventory even more than we thought we were going to."}, {"path": "tedlium_13167.wav", "duration": 10.26, "text": "the earnings from Phoenix, the capital return on the ongoing delivery of efficiencies from the merger. This gives us confidence in our progressive dividend policy."}, {"path": "tedlium_13168.wav", "duration": 10.26, "text": "Finally, on the sales volume front, we're excited to announce we began shipping the new parmesan ranch flavor as an addition to our retail segments line of Olive Garden dressings."}, {"path": "tedlium_13169.wav", "duration": 10.26, "text": "These increases were driven by strong visitation and robust guest spending on lift products as well as in our ancillary businesses across all of our western resorts."}, {"path": "tedlium_13170.wav", "duration": 10.26, "text": "I'm pleased to say that our first quarter financial performance was a solid start to the year and positions us well to achieve our full year 2016 guidance"}, {"path": "tedlium_13171.wav", "duration": 10.26, "text": "In addition, efficiency gains in marketing offset increased marketing activity. Overheads increased as a result of the higher bonus and inflation."}, {"path": "tedlium_13172.wav", "duration": 10.26, "text": "And I would say that compared to 5 or 6 years ago, the investments we're making on the technology side are much more offensive and forward-leaning,"}, {"path": "tedlium_13173.wav", "duration": 10.26, "text": "The consumer value proposition of maize meal is therefore, expected to remain and will support our future performance."}, {"path": "tedlium_13174.wav", "duration": 10.26, "text": "We want to continue the good traction we've experienced in our beverage exports, in particular around Southern Africa and East Africa leveraging our base and our hubs in East Africa"}, {"path": "tedlium_13175.wav", "duration": 10.26, "text": "As Brett explained, the primary reasons for the increases were related to a new store, an acquisition in 2018 and the ramp-up of our charter business."}, {"path": "tedlium_13176.wav", "duration": 10.26, "text": "This direct consumer communication has improved messaging that resonates with our target consumer and is designed to grow volume and share in the joint care category."}, {"path": "tedlium_13177.wav", "duration": 10.26, "text": "we -- first quarter had unusually high plate in the mix. And that was an anomaly based on"}, {"path": "tedlium_13178.wav", "duration": 10.26, "text": "So we see that the consumer is interested and therefore, work with our customers on ways to get these healthy ingredients into our different products."}, {"path": "tedlium_13179.wav", "duration": 10.26, "text": "Okay. And then my second question, I know you're not going to be able to say too much on kind of the next steps in Fortuna, but I think there's the fear out there that"}, {"path": "tedlium_13180.wav", "duration": 10.26, "text": "And on the SIP side, what that basically is profits we recognize in the Delivery Systems business, particularly on percent complete accounting projects"}, {"path": "tedlium_13181.wav", "duration": 10.26, "text": "we may operate at peak levels closer to 5. And I'm not sure, if 4 would be the right floor as well."}, {"path": "tedlium_13182.wav", "duration": 10.26, "text": "do you have any plans to take advantage of the depreciation in the currency, given that you have a manufacturing base there, i.e. do you have plans to use it"}, {"path": "tedlium_13183.wav", "duration": 10.26, "text": "It's real material, it's a commodity. So if we have to pay it, my friendly Japanese have to pay it, my friendly"}, {"path": "tedlium_13184.wav", "duration": 10.26, "text": "right now for our deferred tax assets, we have a full valuation allowance booked against those. So what that means is that"}, {"path": "tedlium_13185.wav", "duration": 10.26, "text": "Those facilities are showing marked progress and clearly identifying the issues that need attention and implementing detailed recovery plans, which will result in sustained performance."}, {"path": "tedlium_13186.wav", "duration": 10.26, "text": "We anticipate continued growth of this portfolio in the coming years, as we introduce additional oncology products into the market."}, {"path": "tedlium_13187.wav", "duration": 10.26, "text": "I'm going to discuss how our efforts over the last few years to organically grow our internal investment resources, along with an increased focus on our marketing activities in the lower middle market,"}, {"path": "tedlium_13188.wav", "duration": 10.26, "text": "Thank you. Then I would like to thank everyone for participating in our fourth quarter conference call. If you have any follow-up questions, there are contact details in the press release"}, {"path": "tedlium_13189.wav", "duration": 10.26, "text": "Turning to investments on Page 9. This function continues to be an area of strength for Kemper. We manage a diversified and highly rated portfolio that has performed well over time."}, {"path": "tedlium_13190.wav", "duration": 10.26, "text": "Throughout our history, our company and platform has weathered many economic and currency cycles, while remaining committed to our 100-year plan."}, {"path": "tedlium_13191.wav", "duration": 10.26, "text": "Strong demand for our differentiated products across multiple end markets drove higher sales and a tuck-in acquisition, supported both top and bottom line results."}, {"path": "tedlium_13192.wav", "duration": 10.26, "text": "This includes looking south of the border to promote our top-selling items. The core retail business still remains strong with excellent market share for our key products."}, {"path": "tedlium_13193.wav", "duration": 10.26, "text": "oil with diluent and that is the cost of blending that appears here. So we are actually selling more volumes in Canada that what we are producing"}, {"path": "tedlium_13194.wav", "duration": 10.26, "text": "as well as decisions on how to move forward in the best interest of meeting contractual obligations while also mitigating longer-term risk."}, {"path": "tedlium_13195.wav", "duration": 10.26, "text": "And we believe we have the processes and systems in place to mitigate those risks, and we have a very consistent structure in place when we open up a new community."}, {"path": "tedlium_13196.wav", "duration": 10.26, "text": "Though we are in the early stages of executing these multiyear plans, I am energized by the engagement of our associates and the alignment we have on executing the strategy."}, {"path": "tedlium_13197.wav", "duration": 10.26, "text": "Treatment with Elagolix was well tolerated with a hormonal add-back therapy substantially attenuating the side effects of Elagolix on bone mineral density and hot flashes."}, {"path": "tedlium_13198.wav", "duration": 10.26, "text": "despite the impact from new competitive entrants and indirect biosimilar competition which have been in the European markets now for several years."}, {"path": "tedlium_13199.wav", "duration": 10.26, "text": "That's why we are not running after buying another big company because we do have the capability and a clear vision of what we are going to do."}, {"path": "tedlium_13200.wav", "duration": 10.26, "text": "for the 3 years ended June 2019, with more of the remaining margin expansion coming through in fiscal '19 as we expect to have less costs to absorb"}, {"path": "tedlium_13201.wav", "duration": 10.26, "text": "As we mentioned in Q2, we reviewed each store to ensure we had quality team members who are knowledgeable about flooring and available to serve our customers."}, {"path": "tedlium_13202.wav", "duration": 10.26, "text": "Our customers and end users look to us to bring innovation to this industry and our leadership in doing so continues to drive top line performance."}, {"path": "tedlium_13203.wav", "duration": 10.26, "text": "and the expectation of increased volumes as we approach the time bar and any potential additional remediation arising from continuous improvement of the group's operational practices."}, {"path": "tedlium_13204.wav", "duration": 10.26, "text": "And I'll talk about our advanced video platforms in a second. But when you consider that our next-gen video services and TV Everywhere products consist of very fat content offers"}, {"path": "tedlium_13205.wav", "duration": 10.26, "text": "Our second quarter results show the strength of our 2-platform business model as higher earnings at the utility and construction services businesses"}, {"path": "tedlium_13206.wav", "duration": 10.26, "text": "and higher natural gas retail sales margins in those jurisdictions that we do not have weather normalization or decoupling mechanisms in place."}, {"path": "tedlium_13207.wav", "duration": 10.26, "text": "There has been a continued focus on infrastructure spending at the federal level over last year. We are encouraged by the talks in Washington about the need for investment in our nation's infrastructure."}, {"path": "tedlium_13208.wav", "duration": 10.26, "text": "Its sophisticated ergonomic design that brings instant comfort is generating critical acclaim as Cosm has won a number of awards, including the Fast Company Innovation by Design Award"}, {"path": "tedlium_13209.wav", "duration": 10.26, "text": "And given how much we've funded thus far, how much we have committed on our current development pipeline that we would be able to do that. In addition, we could take on"}, {"path": "tedlium_13210.wav", "duration": 10.26, "text": "but I do have a significant level of confidence that as we move into 2018, given our pipeline and given where I know those deals are in the pipeline and the magnitude of them,"}, {"path": "tedlium_13211.wav", "duration": 10.26, "text": "make you aware that the conference we will have it on audio. So that means the formal part of our presentation"}, {"path": "tedlium_13212.wav", "duration": 10.26, "text": "relation in there, it just still seems to imply a very strong second half Aerospace margin to get up to those numbers."}, {"path": "tedlium_13213.wav", "duration": 10.26, "text": "The company does not undertake a duty to update these forward-looking statements. Our supplemental information and discussion on this call will include certain non-GAAP financial measures."}, {"path": "tedlium_13214.wav", "duration": 10.26, "text": "overall performance in mortgage banking in 2018 reflects the diversity of our sourcing and syndication channels and our continued efforts to use our capital more efficiently."}, {"path": "tedlium_13215.wav", "duration": 10.26, "text": "Then regarding our debt, we commented in the last quarter that we issued debt at the IRSA level."}, {"path": "tedlium_13216.wav", "duration": 10.26, "text": "and the second for the treatment of rosacea. Aptar's Ophthalmic Squeeze Dispenser is also found on 2 new eye care products in Latin America."}, {"path": "tedlium_13217.wav", "duration": 10.26, "text": "which are metal-based products. As part of its total offering, Alpha buys a lot of metal and basically passes through the price of that metal to its customers."}, {"path": "tedlium_13218.wav", "duration": 10.26, "text": "that the Sydney housing market is moderating, we are well positioned for further growth on the back of improving margins in our Victorian and Queensland portfolio"}, {"path": "tedlium_13219.wav", "duration": 10.26, "text": "to reshape our portfolio to drive improved profitability from the Residential business. I'm really pleased with the progress that we've made in this respect."}, {"path": "tedlium_13220.wav", "duration": 10.26, "text": "Any such future warrants after March would be priced at a 30-trading-day average price based on the date of contractual commitment for leases."}, {"path": "tedlium_13221.wav", "duration": 10.26, "text": "puts us in good stead in the marketplace. It is a premium product. We have a strong team out there. And as Peter said, we certainly have supportive partners."}, {"path": "tedlium_13222.wav", "duration": 10.26, "text": "the answer to your second question is that no one can sit here today and determine how much of our flexible revenues are subject to"}, {"path": "tedlium_13223.wav", "duration": 10.26, "text": "Ari will conclude the company's prepared comments by reviewing key aspects of our financial results that were published earlier today."}, {"path": "tedlium_13224.wav", "duration": 10.26, "text": "We are encouraged by the progress that we are making so far, but we're also aware that improving operations and returns at PHI will take time."}, {"path": "tedlium_13225.wav", "duration": 10.26, "text": "Please consider the risks and uncertainties that are mentioned in today's call and are described in our periodic filings with the Securities and Exchange Commission."}, {"path": "tedlium_13226.wav", "duration": 10.26, "text": "In order to help you understand the company and its results, we may make certain forward-looking statements. It is possible the company's actual results might differ from any predictions we make today."}, {"path": "tedlium_13227.wav", "duration": 10.26, "text": "Our progress is the result of a plan developed with the complete alignment of our board, its leadership and our management team."}, {"path": "tedlium_13228.wav", "duration": 10.26, "text": "assessing what they're going to do and how they're going to handle that going forward. So they have a couple of alternatives but trying to figure out what's the right approach there."}, {"path": "tedlium_13229.wav", "duration": 10.26, "text": "going forward into not only bolt-on opportunities now that we've got a good footprint in the Delaware, but also some step out in expansion opportunities that we're working on."}, {"path": "tedlium_13230.wav", "duration": 10.26, "text": "Devon recently announced the potential divestiture of certain properties in Johnson County, an area that was not competing well for ongoing capital investments in their portfolio."}, {"path": "tedlium_13231.wav", "duration": 10.26, "text": "In fact, many of our existing manufacturing customers have a need for these production fasteners, which creates an exciting cross-sell opportunity."}, {"path": "tedlium_13232.wav", "duration": 10.26, "text": "The tax reform impact is more favorable than the neutral effect we initially expected as a result of further guidance that has been issued by tax authorities."}, {"path": "tedlium_13233.wav", "duration": 10.26, "text": "I would like to talk about the changes that we had in our center. As you saw in our Material Fact, I continue as the Director of the company and both"}, {"path": "tedlium_13234.wav", "duration": 10.26, "text": "and a workplace where clinicians are able to operate to their fullest professional potential in an environment deeply respectful of their profession and their practice."}, {"path": "tedlium_13235.wav", "duration": 10.26, "text": "We believe a distribution of this level provides an attractive yield at the current market price of our common units and enhances our ability to pursue our growth strategy."}, {"path": "tedlium_13236.wav", "duration": 10.26, "text": "No, I don't think there's a rule of thumb. I think if you look at what happened in October and November in a 5- to 6-week period, it was the most volatile period"}, {"path": "tedlium_13237.wav", "duration": 10.26, "text": "I'll also remind you we're on a multiyear journey, and that this journey is one of transition building upon the best elements of Rotork. Let's take a look at our full year highlights."}, {"path": "tedlium_13238.wav", "duration": 10.26, "text": "in all segments, which was a particular focus, as we talked about that in the Investor Day. And those should playing off and that should give us a good run rate going forward."}, {"path": "tedlium_13239.wav", "duration": 10.26, "text": "These forward-looking statements are subject to risks, uncertainties and assumptions that may cause actual results to differ materially from statements being made today."}, {"path": "tedlium_13240.wav", "duration": 10.26, "text": "on how to apply that technology in their specific environment. The deduction management application came from that, and we expect to"}, {"path": "tedlium_13241.wav", "duration": 10.2599375, "text": "and what sounds like an attractive category dynamics in specialty inks. What do you think is the right growth rate to think about, given these factors in place?"}, {"path": "tedlium_13242.wav", "duration": 10.23, "text": "On profitability, the currency didn't help us. I would say, the main reason is the integration plan that we started last year"}, {"path": "tedlium_13243.wav", "duration": 10.23, "text": "The event will be open to analysts and institutional investors by invitation, and there will also be a live webcast, so those unable to attend in person can view the presentations."}, {"path": "tedlium_13244.wav", "duration": 10.23, "text": "That said, we were told to expect after Chinese New Year that the China -- the carriers would begin issuing tenders and awarding business."}, {"path": "tedlium_13245.wav", "duration": 10.23, "text": "As I mentioned earlier, we rolled out our digital portal, which embeds our new proprietary assessment framework based on our Accelerating Performance methodology."}, {"path": "tedlium_13246.wav", "duration": 10.23, "text": "So as we look out, our goal is going to be to get as much of that to drop to the bottom line as we can."}, {"path": "tedlium_13247.wav", "duration": 10.23, "text": "Now with respect our portfolio appreciation, I remarked last quarter that our recent investment returns will be hard to replicate and I stick to that cautionary comment."}, {"path": "tedlium_13248.wav", "duration": 10.23, "text": "And that's because these subjects already have a strong immune response and you can't boost it further, whereas those who had a waning immunity after a year,"}, {"path": "tedlium_13249.wav", "duration": 10.23, "text": "We do not believe that higher interest rates will materially hamper housing affordability. We remain constructive on housing and believe home price stability is durable at this time."}, {"path": "tedlium_13250.wav", "duration": 10.23, "text": "There remains a lot of hard work ahead of us, but we believe in our vision, we believe in our strategy, and we believe in our team's ability to continue to drive operational improvement."}, {"path": "tedlium_13251.wav", "duration": 10.23, "text": "Preservation of capital is our priority while we provide our shareholders with longer-term, primarily floating rate cash flows, as a strategic complement to our Agency portfolio."}, {"path": "tedlium_13252.wav", "duration": 10.23, "text": "This does not include the cost of any potential judgments or other outcomes, should they occur. For the status of the legal and regulatory matters, I would refer you to our 10-K."}, {"path": "tedlium_13253.wav", "duration": 10.23, "text": "in Q3 you believe that sales should be more or less in line with the production or perhaps your sales will be higher than the actual production volume because you have"}, {"path": "tedlium_13254.wav", "duration": 10.23, "text": "to any development on the cash flow that only can have a positive effect. On top we have as well, compensating for that"}, {"path": "tedlium_13255.wav", "duration": 10.23, "text": "is the ability to make quotations on loans very, very quickly. And if you can't come up with a reasonable quotation that you're not going to vary from tremendously,"}, {"path": "tedlium_13256.wav", "duration": 10.23, "text": "in the organization about enforcing minimums. We've added some significant new services over the last 3 months that are going to drive higher margins"}, {"path": "tedlium_13257.wav", "duration": 10.23, "text": "Same thing in the case of payroll services. There's an initial setup fee when you're bringing a new small business on, but then there is a recurring monthly fee for that."}, {"path": "tedlium_13258.wav", "duration": 10.23, "text": "and will transition all administration to SilverScript early in 2017. The net proceeds from the sale are expected to be offset"}, {"path": "tedlium_13259.wav", "duration": 10.23, "text": "Importantly, this facility will be connected to the Khurmala field production facilities where associated natural gas production can be processed and distributed to end users."}, {"path": "tedlium_13260.wav", "duration": 10.23, "text": "The financials of the Partnership are adjusted retroactively as if the transactions occurred on the earliest date during which the assets were under common control."}, {"path": "tedlium_13261.wav", "duration": 10.23, "text": "and those assets are turning relatively well. So we just kind of -- it's just a long continuation of projects. So I don't see a lot of movement on the balance sheet from that perspective."}, {"path": "tedlium_13262.wav", "duration": 10.23, "text": "We also plan to continue leveraging the favorable industry dynamics to ensure that we are compensated appropriately for the capacity and services we provide to the marketplace."}, {"path": "tedlium_13263.wav", "duration": 10.23, "text": "Beginning in the first quarter of 2017, due to the change in our revenue recognition methodology for Qsymia, revenue recognized is based"}, {"path": "tedlium_13264.wav", "duration": 10.23, "text": "We are now completing a comparison of pamrevlumab to pirfenidone and nintedanib as single agents and in combination in the same mouse fibrosis model."}, {"path": "tedlium_13265.wav", "duration": 10.23, "text": "We will continue to grow the asset management business in a measured way moving forward. Our board continues to be open to all strategic alternatives to maximize shareholder value."}, {"path": "tedlium_13266.wav", "duration": 10.23, "text": "by using Transpower over against developing their own internal manufacturing apparatus and testing facilities, all the rest of"}, {"path": "tedlium_13267.wav", "duration": 10.23, "text": "Lots of hard work, blood, sweat and tears because we knew it was important to our customer base that we demonstrate the ability to be GAAP profitable. We certainly did that."}, {"path": "tedlium_13268.wav", "duration": 10.23, "text": "and we continue to grow our installed base of other premium units, we expect to see consistent improvement in our overall daily win per unit."}, {"path": "tedlium_13269.wav", "duration": 10.23, "text": "So look, we believe the maturity of the automation industry as it relates to welding and welding process improvement, they are going to be those customers that seek"}, {"path": "tedlium_13270.wav", "duration": 10.23, "text": "investment and insurance revenues as well as deposit income were down. Credit products showed a solid growth of 6%, driven by higher volumes."}, {"path": "tedlium_13271.wav", "duration": 10.23, "text": "look, there's limited innovation happening in small scale, and the opportunity for us is how do we take some of that innovation to pilot it and get it to a place where we can now do it at scale."}, {"path": "tedlium_13272.wav", "duration": 10.23, "text": "and we now have more products for them to sell, including content. So the reps are feeling very good about their opportunity this year."}, {"path": "tedlium_13273.wav", "duration": 10.23, "text": "You can find all of our reported data and prior period comparatives in the new key metrics section of our press release and detailed in the rest of the text and tables contained there."}, {"path": "tedlium_13274.wav", "duration": 10.23, "text": "We believe that these attributes will be additive to our stated goal of increasing market share of our franchise through organic growth."}, {"path": "tedlium_13275.wav", "duration": 10.23, "text": "Well, we do have plenty of news today, don't we? But before I speak to the upcoming changes in leadership here, let me touch on a few of the quarter's business highlights."}, {"path": "tedlium_13276.wav", "duration": 10.23, "text": "On an organic basis, excluding the favorable impact of changes in foreign exchange rates and the negative impact of the new revenue recognition standard,"}, {"path": "tedlium_13277.wav", "duration": 10.23, "text": "there's never been an instance in my 50 years of consequence that the federal government ever clawed back or was able to claw back committed funds."}, {"path": "tedlium_13278.wav", "duration": 10.23, "text": "and we feel the potential to be concluded in 2019. And the real issue will be, very candidly, whether I'm willing"}, {"path": "tedlium_13279.wav", "duration": 10.23, "text": "we can see that many of our retailers, importantly, and retailers in our categories or target categories continue to perform well and importantly are expanding."}, {"path": "tedlium_13280.wav", "duration": 10.23, "text": "generals aren't encouraged by auditors. They -- we tried to press them hard to go as high as we could. And"}, {"path": "tedlium_13281.wav", "duration": 10.23, "text": "Earlier this month, we took advantage of what we felt were favorable market conditions and added another long-term fixed rate piece of debt into our capital structure."}, {"path": "tedlium_13282.wav", "duration": 10.23, "text": "as an industry-leading platform for linking the grid network and the distributed energy resources and an enabler of the Internet of Energy."}, {"path": "tedlium_13283.wav", "duration": 10.23, "text": "core customer base and we like that. I think many folks like you have said that's a core strength of our company, but you can clearly see that the folks that are out there, that are chasing"}, {"path": "tedlium_13284.wav", "duration": 10.23, "text": "During the quarter, we were also pleased to have expanded Orkin's presence internationally by adding 6 franchises in Central America, South America"}, {"path": "tedlium_13285.wav", "duration": 10.23, "text": "and growers were very excited about that. But we're typically contracting and buying our soybeans at about the same time. So as we talked about in the script, you could hear it in our"}, {"path": "tedlium_13286.wav", "duration": 10.23, "text": "And we're not anticipating those issues to occur on the TEN because they're already a different design of turbine blade and they already have different coating."}, {"path": "tedlium_13287.wav", "duration": 10.23, "text": "Correct. So there's a corresponding decrease in traditional media. I'm just wondering what's the reaction of your franchise been to this"}, {"path": "tedlium_13288.wav", "duration": 10.23, "text": "Shown at the bottom right is our expectation for loan growth by product type. We are comfortable with our commercial real estate concentrations and plan to grow commercial real estate loans"}, {"path": "tedlium_13289.wav", "duration": 10.23, "text": "These volume gains partly offset input inflation, most acutely felt in beverages and fruits that were not fully recovered from consumers."}, {"path": "tedlium_13290.wav", "duration": 10.23, "text": "Regarding our increased international backlog, we continue to experience slight improvement in international quoting. And our sales groups have done a great job of getting orders on much of what we're quoting."}, {"path": "tedlium_13291.wav", "duration": 10.23, "text": "Barry brings extensive e-commerce and distribution knowledge to our board and will be a valuable addition to the company as we continue to execute on our strategic plan."}, {"path": "tedlium_13292.wav", "duration": 10.23, "text": "Our second priority initiative focuses on sales transformation. We are in the process of improving our sales culture and business development skills."}, {"path": "tedlium_13293.wav", "duration": 10.23, "text": "where we are coaching all levels of leadership to get their boots on and engage with their employees with humility, inquiry and empathy."}, {"path": "tedlium_13294.wav", "duration": 10.23, "text": "we'll identify the unique mutations in each patient's tumor and will then feed all of those potential candidate neoantigens into ATLAS"}, {"path": "tedlium_13295.wav", "duration": 10.23, "text": "We and others in the industry believe that we will be successful in developing our C1 cell line into a next-generation protein expression and production system,"}, {"path": "tedlium_13296.wav", "duration": 10.23, "text": "If and to the extent the company makes forward-looking statements, we do not undertake any obligation to update those statements in the future in light of subsequent developments."}, {"path": "tedlium_13297.wav", "duration": 10.23, "text": "What we're really seeing is, I had commented earlier about some of our logistics, costs where we've taken out some of the costs associated with even supplying to our customer base"}, {"path": "tedlium_13298.wav", "duration": 10.23, "text": "we believe that these organized efforts, we're not quite sure the longevity of those or the duration of those"}, {"path": "tedlium_13299.wav", "duration": 10.23, "text": "And we don't see us getting real sales from that effort until 2017. And talking about the specifics of what those products are,"}, {"path": "tedlium_13300.wav", "duration": 10.23, "text": "And so that's the sales activity that you see going on in corporate, and that's just purely timing from the point of shipment to the point of in-home."}, {"path": "tedlium_13301.wav", "duration": 10.23, "text": "That's inevitable. I just do not -- and I've been clear since I started, I do not want to get this out of order, because it will not help us to do so."}, {"path": "tedlium_13302.wav", "duration": 10.23, "text": "from the banker and the management team over there. And then I expect that within,"}, {"path": "tedlium_13303.wav", "duration": 10.23, "text": "and our investments in training to improve customer service within our private label program to differentiate ourselves from our competition and increase operating margins."}, {"path": "tedlium_13304.wav", "duration": 10.23, "text": "These results reflect the solid execution of our transformation agenda. First, we further focused our portfolio in our advantaged snacks categories."}, {"path": "tedlium_13305.wav", "duration": 10.23, "text": "labor set there because you're right in very heavily congested area and you're in some of -- quite a bit of that work is actually in Raritan Bay"}, {"path": "tedlium_13306.wav", "duration": 10.23, "text": "if we don't get more money from the customer, the only place where we can get it is from being more efficient, having more density. And this is what we're working at all the time."}, {"path": "tedlium_13307.wav", "duration": 10.23, "text": "Its extraordinary growth underlines the strength and capabilities of our commercial teams to sell pharma products to medium and large hospitals."}, {"path": "tedlium_13308.wav", "duration": 10.23, "text": "Natural gas prices are low, which -- and are expected to remain low, so the stability of the pricing is extremely important"}, {"path": "tedlium_13309.wav", "duration": 10.23, "text": "so we will see some of them come down over the next couple of years. But we are in that phase of putting the enterprise platform in place, and we are not going to skimp on that. We're going to do the right things"}, {"path": "tedlium_13310.wav", "duration": 10.23, "text": "of participations with another financial institution to prepay as the rates offered through the refinancing process did not meet our criteria."}, {"path": "tedlium_13311.wav", "duration": 10.23, "text": "Thank you, Austin, and thank you all for joining us. Welcome to the Titan Pharmaceuticals call to review financial and operational results"}, {"path": "tedlium_13312.wav", "duration": 10.23, "text": "Actual results may differ materially from those expressed in or implied by the forward-looking statements. The company undertakes no obligation to update or review any estimate, projection"}, {"path": "tedlium_13313.wav", "duration": 10.23, "text": "Our preferred auto continues to be a place where we're playing a little catch up with rate. We're working diligently to convert some claims operational challenges into operational strengths."}, {"path": "tedlium_13314.wav", "duration": 10.23, "text": "just started to undergo a process to clearly identify what those targets may look like. I will say that we want to leverage the"}, {"path": "tedlium_13315.wav", "duration": 10.23, "text": "loans, that includes earnings, that includes the dividends. So thinking about going forward, that is one of the considerations that we take into account."}, {"path": "tedlium_13316.wav", "duration": 10.23, "text": "we have a senior management team that is well positioned to lead a larger, high-growth version of First Interstate without negatively impacting our cost structure."}, {"path": "tedlium_13317.wav", "duration": 10.23, "text": "the business had some pretty good momentum in the second half or some improvement in the second half. Can you just maybe talk about your expectations around the top"}, {"path": "tedlium_13318.wav", "duration": 10.23, "text": "providing EnerSys with the perfect platform to offer a full turnkey solution to so many current and potential customers in markets poised for growth."}, {"path": "tedlium_13319.wav", "duration": 10.23, "text": "while still exhibiting a great amount of discipline with respect to credit risk. Being able to source these types of opportunities while still maintaining GNL's high"}, {"path": "tedlium_13320.wav", "duration": 10.23, "text": "but we also have a similar opportunity at the node level of the network in locations where we already have company-owned stores."}, {"path": "tedlium_13321.wav", "duration": 10.23, "text": "in the next couple of slides. And as I mentioned in the first quarter that we did approve the drilling of an additional exploration well in Malaysia."}, {"path": "tedlium_13322.wav", "duration": 10.23, "text": "not only in the fourth quarter but as we look out to next year. We're getting a lot of noise from people that it's becoming a pretty big problem, wanted to get your take on that. So those 2 things."}, {"path": "tedlium_13323.wav", "duration": 10.23, "text": "Third, we remain focused on increasing shareholder value by aligning our cost structure with our total enrollment, continuing to generate positive free cash flow"}, {"path": "tedlium_13324.wav", "duration": 10.23, "text": "growth-related spending that you were doing looking out to the future? And then have you seen any effect at all from Brexit in terms of"}, {"path": "tedlium_13325.wav", "duration": 10.23, "text": "started being allocated to the international segment in the fourth quarter of 2016, as well as wage and other inflationary increases and higher bad debt."}, {"path": "tedlium_13326.wav", "duration": 10.23, "text": "Earlier this month, we presented detailed results from the Phase II study in uterine fibroids at the meeting of the Society of Endometriosis and Uterine Disorders."}, {"path": "tedlium_13327.wav", "duration": 10.23, "text": "And so if we anticipate that sales is going to have a good selling season, which is what we believe will happen. And we rarely, rarely talk about it that way."}, {"path": "tedlium_13328.wav", "duration": 10.23, "text": "And I think we've got a lot of product that we could offer to their clients. I think this is a good fit. We're going to see how this goes and -- but we're always looking to say, hey, if it makes sense"}, {"path": "tedlium_13329.wav", "duration": 10.23, "text": "We expect our burn to increase in future quarters as we continue to advance our proprietary programs and build our commercial capability. Now I'd like to turn the call back to Ron."}, {"path": "tedlium_13330.wav", "duration": 10.23, "text": "how we talk to the customers about it. I think probably over the course of the next quarter or 2, we'll really start to understand where we think that's going to land as a percent of penetration of our total business."}, {"path": "tedlium_13331.wav", "duration": 10.23, "text": "an indicator of potential changes coming to how drug manufacturers are thinking of pricing drugs and negotiating rebates?"}, {"path": "tedlium_13332.wav", "duration": 10.23, "text": "In the quarter, as I said, really strong sales and again to be able to succeed with this we need to shift the sales between different business units,"}, {"path": "tedlium_13333.wav", "duration": 10.23, "text": "again, the building won't be full, but with what we've got planned for now we'll be at normal ramp speed on the lines that we will have operating in that facility by the end of the year."}, {"path": "tedlium_13334.wav", "duration": 10.23, "text": "During the course of this conference call, there will be forward-looking statements, which involve risks and uncertainties that may cause the actual results of the company or of the industry"}, {"path": "tedlium_13335.wav", "duration": 10.23, "text": "And Ralph, to be fair, we're also going to continue looking at the cost side to see whether there are areas where we could be a little bit more efficient as we move forward."}, {"path": "tedlium_13336.wav", "duration": 10.23, "text": "So we are looking at this a little bit more strategically in terms of how we actually play in that space, working with key customers that are emerging in terms of that space."}, {"path": "tedlium_13337.wav", "duration": 10.23, "text": "And going forward, one of the RFPs that we had mentioned last quarter with a larger financial institution has been deferred from February-March time frame until later this year,"}, {"path": "tedlium_13338.wav", "duration": 10.23, "text": "what I can tell you -- we don't segment it out. But what I can tell you is the majority of the merchants on our platform use more than one service of ours."}, {"path": "tedlium_13339.wav", "duration": 10.23, "text": "were moved forward into the fourth quarter of fiscal 2014 from the first quarter of fiscal 2015. The cadence of spring shipments this year"}, {"path": "tedlium_13340.wav", "duration": 10.23, "text": "These projects typically start small, but over time grow and get larger as it is geared towards above-average market growth from a planning perspective."}, {"path": "tedlium_13341.wav", "duration": 10.23, "text": "thinking about? Bose obviously is one where you're several quarters into that, and I know you should see some margin improvement. But what are the other drivers there, Mike, we should be thinking about?"}, {"path": "tedlium_13342.wav", "duration": 10.23, "text": "are less volatile as they have been last year. And that was always our argument that volatility is the problem, not the rate level as such to a certain extent."}, {"path": "tedlium_13343.wav", "duration": 10.23, "text": "not only are we doing whatever is traditional, we're also actually feeding the pipeline with a new model which has not been seen at the industry before."}, {"path": "tedlium_13344.wav", "duration": 10.23, "text": "reflecting our previous guidance of an expected return to modest growth in 2016. Results in the quarter were primarily driven by growth in global facultative placements,"}, {"path": "tedlium_13345.wav", "duration": 10.23, "text": "complex device, it really becomes real to them. And so, we plan on literally having hundreds of stores that will have VR capability. In fact, that's what we've seen with the"}, {"path": "tedlium_13346.wav", "duration": 10.23, "text": "how the scope of that might change like sort of a concept versus what you had in the preliminary economic assessment? Even if you haven't"}, {"path": "tedlium_13347.wav", "duration": 10.23, "text": "reflecting the relative quality of our book and the bank's consistent approach. Our arrears experience is consistently better than the rest of the industry."}, {"path": "tedlium_13348.wav", "duration": 10.23, "text": "to more of that legacy, conventional production that they're trying to put back online, seeking cash flow from those cheaper alternatives rather than the drill bit."}, {"path": "tedlium_13349.wav", "duration": 10.23, "text": "increase was driven by the increase in number of Corporate restaurants coupled with improved food cost and labor savings from new food management and scheduling controls at the restaurant level."}, {"path": "tedlium_13350.wav", "duration": 10.23, "text": "We will also dynamically manage leverage and liquidity to opportunistically increase the size of our portfolio, which we expect to ultimately drive earnings."}, {"path": "tedlium_13351.wav", "duration": 10.23, "text": "and this is the third consecutive quarter in which the group's operating profit margin increased at least 100 basis points over the previous year's result."}, {"path": "tedlium_13352.wav", "duration": 10.23, "text": "is, what's beyond now for the balance of the year? What other releases will occur with Samsung, and Apple for that matter?"}, {"path": "tedlium_13353.wav", "duration": 10.23, "text": "inside of the assets that we might be selling. Again, our focus on the acquisition side is to make sure that we buy assets that have growth"}, {"path": "tedlium_13354.wav", "duration": 10.23, "text": "Got it. And then do you have a target for how many titles you guys plan on offering? Is that something that you guys look at? You mean in terms of the total library?"}, {"path": "tedlium_13355.wav", "duration": 10.23, "text": "It's also worth noting that it is only 17% of our free cash flow, and that percentage will likely decline here as we go into successive quarters. So"}, {"path": "tedlium_13356.wav", "duration": 10.23, "text": "we have made progress in assessing and knowing exactly where we stand as a business, and we feel really confident in that we have the strategy to"}, {"path": "tedlium_13357.wav", "duration": 10.23, "text": "as well as incremental investments associated with strategic initiatives, including our direct distribution model in Europe and other international markets,"}, {"path": "tedlium_13358.wav", "duration": 10.23, "text": "negatively impacted Q4. But all things considered, we delivered another strong performance and one that we expect to build upon."}, {"path": "tedlium_13359.wav", "duration": 10.23, "text": "their new platforms using their own processor chips yet. And so I can't give you any update beyond that just because they haven't provided us"}, {"path": "tedlium_13360.wav", "duration": 10.2299375, "text": "We satisfied a significant trade payable with the issuance of common shares, and we expect to execute an agreement to restructure the contingent consideration obligation"}, {"path": "tedlium_13361.wav", "duration": 10.2000625, "text": "in particular, in terms of the Chinese competition, that's not obviously a new trend and would you say that trend has"}, {"path": "tedlium_13362.wav", "duration": 10.2000625, "text": "Such statements are subject to certain risks and uncertainties which could cause Kohl's actual results to differ materially from those projected in such forward-looking statements."}, {"path": "tedlium_13363.wav", "duration": 10.2000625, "text": "Therefore, we made a significant investment to convert everything to the cloud. In this particular case, we will still have some investments in this first"}, {"path": "tedlium_13364.wav", "duration": 10.2, "text": "For those of you who are unable to attend the event, a live and on-demand webcast will be available in the investors and media section of our website."}, {"path": "tedlium_13365.wav", "duration": 10.2, "text": "strange that it's unchanged, but there is a few things you have to take into consideration. One of them is that we do expect a little bit higher interest cost on our pensions,"}, {"path": "tedlium_13366.wav", "duration": 10.2, "text": "We're confident these new surgical facilities will result in an increased conversion of our current marketing efforts as well as provide additional marketing opportunities."}, {"path": "tedlium_13367.wav", "duration": 10.2, "text": "Hey, we really appreciate the many of you that have joined, those that have asked questions. And for those who we did not have time to get your question, we would welcome you to"}, {"path": "tedlium_13368.wav", "duration": 10.2, "text": "continue to focus on value, which is the core pillar of our strategy and perhaps the most important nonfinancial metric that this management team is focused on,"}, {"path": "tedlium_13369.wav", "duration": 10.2, "text": "whenever companies label a region as they will generate profits, and they will generate growth or a category, they will generate"}, {"path": "tedlium_13370.wav", "duration": 10.2, "text": "A lot of this increase is driven by the seasonality of our portfolio as we strive to minimize business disruption from our renovations by doing the work during the slower periods."}, {"path": "tedlium_13371.wav", "duration": 10.2, "text": "designed to make up for lost time and implement activity that was recognized as critical but previously we had no cash available or the breadth of talent pool to be able to execute."}, {"path": "tedlium_13372.wav", "duration": 10.2, "text": "organic growth and to fund that organic growth. And so sitting here today, we think we continue to have very significant opportunities. And so"}, {"path": "tedlium_13373.wav", "duration": 10.2, "text": "More importantly, we continue our practice of not providing specific guidance on future earnings. We believe specific guidance does not serve the long-term interest of our shareholders."}, {"path": "tedlium_13374.wav", "duration": 10.2, "text": "at much lower margins. And I think the analyst community and investors need to keep this in mind as it is beginning to have an impact across the banking industry."}, {"path": "tedlium_13375.wav", "duration": 10.2, "text": "International Banking delivered very strong earnings growth of 16%, with particularly strong results in our Pacific Alliance countries."}, {"path": "tedlium_13376.wav", "duration": 10.2, "text": "Both of these agreements contain requirements for our customers to making minimum monthly payments to TransMontaigne, usually at the beginning of the month,"}, {"path": "tedlium_13377.wav", "duration": 10.2, "text": "Approximately half of the remaining increase is attributable to higher depreciation and amortization expense, simply reflecting the growth of the portfolio."}, {"path": "tedlium_13378.wav", "duration": 10.2, "text": "So our product, we're going to sell under this traction motor or motor system may be different by customer by customer. That's something we just try to make clear."}, {"path": "tedlium_13379.wav", "duration": 10.2, "text": "If it's about selling assets, certainly other than the remedy packages, we are committed to deleveraging. And a piece of that is really evaluating our lower"}, {"path": "tedlium_13380.wav", "duration": 10.2, "text": "As I highlighted earlier, our significant growth has been against the backdrop of an increasing global appetite for alternative investments from both institutional and retail investors."}, {"path": "tedlium_13381.wav", "duration": 10.2, "text": "this gives us, obviously, the runway to potentially add a generic portfolio of products to ClarusONE, compete effectively for that business"}, {"path": "tedlium_13382.wav", "duration": 10.2, "text": "In addition, in the beginning of April, we initiated an interest rate swap for the total amount due for the remaining tenor of our term loan."}, {"path": "tedlium_13383.wav", "duration": 10.2, "text": "measuring dose levels with a different method, so part of it is just -- if you want to say making sure that you've got a dose-for-dose equivalent. We did the same thing"}, {"path": "tedlium_13384.wav", "duration": 10.2, "text": "I'm not saying there is no -- there isn't any chance here, but the difficulty is much greater."}, {"path": "tedlium_13385.wav", "duration": 10.2, "text": "It's never ended, it's an ongoing process. We have had a good performance in this first half."}, {"path": "tedlium_13386.wav", "duration": 10.2, "text": "the mix of revenue in the back half of the year weights a little bit more heavily towards customers who we just acquired, so who are on program, and reactivation revenue."}, {"path": "tedlium_13387.wav", "duration": 10.2, "text": "meant to help them, but also as we go into local markets doing business with local enterprises in those markets, it will also help that. So yes, it expands our addressable market."}, {"path": "tedlium_13388.wav", "duration": 10.2, "text": "So this timing event of tenders of the larger operators in China does not affect us so much in terms of volume developments in China itself."}, {"path": "tedlium_13389.wav", "duration": 10.2, "text": "And it's kept refrigerated for the whole... And that all sounds great doesn't it? And all you really have to have legally is a contract. Well, now ask yourselves the question."}, {"path": "tedlium_13390.wav", "duration": 10.2, "text": "So I think where you'll see us be able to grow on the fee side is going to be on the commercial side, mostly. I think on the retail side,"}, {"path": "tedlium_13391.wav", "duration": 10.2, "text": "is that Brazil is a country that has one of the largest tax burdens in the world. We had last year and there were still more increases from last year to this year."}, {"path": "tedlium_13392.wav", "duration": 10.2, "text": "Our thesis for acquiring shows from associations as well as from independent owners continues to be realized, and we expect to add more great brands to the Emerald portfolio over time."}, {"path": "tedlium_13393.wav", "duration": 10.2, "text": "High Street profits for the half reflect a tough Christmas in books where we had nothing like the humor book craze that we had last year."}, {"path": "tedlium_13394.wav", "duration": 10.2, "text": "powered by mass cytometry. Over the last few quarters, revenue has accelerated as customers adopt our premier tools to provide deeper insights into immune function."}, {"path": "tedlium_13395.wav", "duration": 10.2, "text": "We continue to gain on the top line and continue to take market share and increase the consumer pool as well,"}, {"path": "tedlium_13396.wav", "duration": 10.2, "text": "The fact that we have a broad set of capital deployment opportunities further enhances our ability to continuously adjust to market conditions as we seek to create shareholder value."}, {"path": "tedlium_13397.wav", "duration": 10.2, "text": "The first order of business was to swiftly address matters impacting throughput at a few plants that were otherwise causing disruption and uncertainty in our planning."}, {"path": "tedlium_13398.wav", "duration": 10.2, "text": "if you could just help us understand the rationale for your views on what you think in terms of why the push-outs of investment here in the second half of this year."}, {"path": "tedlium_13399.wav", "duration": 10.2, "text": "This overhaul improves productivity by automating a number of manual tasks, and at the same time, accelerates resolution rates on accounts worked."}, {"path": "tedlium_13400.wav", "duration": 10.2, "text": "it's not about finding a way to continue investing in attractive opportunities. It's a question about finding the right combination of dividend growth and coverage and the appropriate alternative financing,"}, {"path": "tedlium_13401.wav", "duration": 10.2, "text": "And so that's really the criteria that we used to evaluate among the alternatives that were available to us."}, {"path": "tedlium_13402.wav", "duration": 10.2, "text": "We have not accepted those because it does not meet our expectations. And one of the concerns and probably the only real concern I have"}, {"path": "tedlium_13403.wav", "duration": 10.2, "text": "piece, dragged out for a while with operators not -- with certain vendors not getting paid and mechanic's liens being filed and a lot of legal fees and a bunch of other stuff. So"}, {"path": "tedlium_13404.wav", "duration": 10.2, "text": "And of course that allows us to look at the effect of the RNAi therapeutic without any other therapeutic"}, {"path": "tedlium_13405.wav", "duration": 10.2, "text": "more comparable to next quarter, which is why we tried to give you enough information. You can make whatever adjustments you deem fit depending on what you're doing with the adjusted numbers."}, {"path": "tedlium_13406.wav", "duration": 10.2, "text": "is extremely rewarding to see such robust financial results due to the growth of our platform, diversification in our service offerings and strength of our business model."}, {"path": "tedlium_13407.wav", "duration": 10.2, "text": "Although we are operating at higher leverage today, with divestments driving lower debt balances and increasing cash flow profile due to negative hedges rolling off"}, {"path": "tedlium_13408.wav", "duration": 10.2, "text": "on the Seventy Seven assets, I know you can't say much, but could you at least remind us how much of their equipment both land and frac is in the field today?"}, {"path": "tedlium_13409.wav", "duration": 10.2, "text": "of low quality recyclates. This impact was partially compensated at revenue level by the increase in ferrous and nonferrous metals."}, {"path": "tedlium_13410.wav", "duration": 10.2, "text": "Many of our investments are maturing, and as we go forward, earnings and cash flow from our portfolio of projects will be a more significant contributor to our financial results."}, {"path": "tedlium_13411.wav", "duration": 10.2, "text": "think when you look back, you would have seen that we had a pickup in portfolio of product in second quarter of last year also. So I don't think there's any really shift in process. Chris, you've got your"}, {"path": "tedlium_13412.wav", "duration": 10.2, "text": "We don't. We have not heard that right now, and I think just looking at the last couple of weeks, I don't see anything that has really changed. What we were seeing previously with the"}, {"path": "tedlium_13413.wav", "duration": 10.2, "text": "We plan to reinvest in the business as well, deploying some of those savings into additional marketing, commercial development and product innovation initiatives."}, {"path": "tedlium_13414.wav", "duration": 10.2, "text": "European placement performance in the fourth quarter was strong. Placements in the fourth quarter in Japan were also healthy, perhaps a onetime uptick in anticipation of broader reimbursement."}, {"path": "tedlium_13415.wav", "duration": 10.2, "text": "a fairly significant change because we are overbuilt in grocery in the country, and all of these alternate channels are now beginning to challenge all the square footage in the marketplace."}, {"path": "tedlium_13416.wav", "duration": 10.2, "text": "and once these definition becomes clear we would like to communicate the details to you. So in that regard we cannot"}, {"path": "tedlium_13417.wav", "duration": 10.2, "text": "We continually monitor the supply and demand for commercial real estate by submarket and loan type to manage our exposure and direct new loan production."}, {"path": "tedlium_13418.wav", "duration": 10.2, "text": "At the same time, the underlying earnings have grown by 11%. And we have continued to invest and to realize"}, {"path": "tedlium_13419.wav", "duration": 10.2, "text": "So if uric acid rises above this level, crystal begin to deposits and build up in joints and tissue causing those debilitating symptoms."}, {"path": "tedlium_13420.wav", "duration": 10.2, "text": "with the objective of putting them behind us by the end of 2017. This will allow us to concentrate on growing in 2018 and beyond."}, {"path": "tedlium_13421.wav", "duration": 10.2, "text": "our top sales people continue to perform in line with our expectations and are successfully transitioning to selling our company Technology as a Subscription suite."}, {"path": "tedlium_13422.wav", "duration": 10.2, "text": "Turning to category performance. Scotch improved significantly, moving from a 5% decline last year to a bit better than flat this year."}, {"path": "tedlium_13423.wav", "duration": 10.2, "text": "However, the damage to many employees' homes range from minor to total losses. We're working to support and provide assistance to our employees that have been impacted."}, {"path": "tedlium_13424.wav", "duration": 10.2, "text": "We've got some good Q1 results to discuss with you and we will explain to you the transaction that we went through last week, the consequences"}, {"path": "tedlium_13425.wav", "duration": 10.2, "text": "now that we have some sort of economic proposals in front of us, is there kind of an internal time frame or a time frame by which"}, {"path": "tedlium_13426.wav", "duration": 10.2, "text": "In total, company resources can now be fully dedicated towards the growing consumer health care platform and it's superior financial profile."}, {"path": "tedlium_13427.wav", "duration": 10.2, "text": "This quarter, we had our first month that was impacted by the new minimum wage increases, most of which, I'm pleased to say, we were able to mitigate through Sunrise and other initiatives."}, {"path": "tedlium_13428.wav", "duration": 10.2, "text": "We don't -- we typically don't talk about what the opportunity cost is. We had -- I can tell you that in the first quarter, we had"}, {"path": "tedlium_13429.wav", "duration": 10.2, "text": "the PATH Act back in December, what that would mean for you. I just want to clarify, I think, when you had put out the original presentation in May, you had assumed no expansions"}, {"path": "tedlium_13430.wav", "duration": 10.2, "text": "they are heavier at the beginning and start to tail off where you have a little bit more just amortization running through and fewer surprises."}, {"path": "tedlium_13431.wav", "duration": 10.2, "text": "I cannot discuss how people are valuing the company in terms of this process. All I can do is point you to information that's publicly available."}, {"path": "tedlium_13432.wav", "duration": 10.2, "text": "So we do think as we think about the potential, we're not giving a time frame for that because we still want to be patient about it in discussing this with potential partners."}, {"path": "tedlium_13433.wav", "duration": 10.2, "text": "Information concerning factors that could cause results to differ materially from our forward-looking statements is described further in the company's filings made with the Securities and Exchange Commission."}, {"path": "tedlium_13434.wav", "duration": 10.2, "text": "We are not going to speak to a magic number, but we do feel comfortable with liquidity that we have today, with the cash in the bank and think that we're in a position now where we can"}, {"path": "tedlium_13435.wav", "duration": 10.2, "text": "the Sientra team has passionately proven its ability to perform at an exceptionally high level while continue to scale up with new hires."}, {"path": "tedlium_13436.wav", "duration": 10.2, "text": "So in terms of earnings for full year 2016, recognizing the productivity and cost optimization momentum that was displayed in the first 3 quarters"}, {"path": "tedlium_13437.wav", "duration": 10.2, "text": "First announced to the market in October of 2015, we have successfully commercialized the molded structural composite refrigerated truck body and have been successful meeting early stage growth targets."}, {"path": "tedlium_13438.wav", "duration": 10.2, "text": "reflecting the combined effects of slower revenue growth and the first-time consolidation of Banco Unico, which previously was reported in the associate income line."}, {"path": "tedlium_13439.wav", "duration": 10.2, "text": "Sure. Fair question. Don will give you a little detail, but I guess from the top of the house, I can say we feel it's good or better about these businesses as we have in the past."}, {"path": "tedlium_13440.wav", "duration": 10.2, "text": "As a result, I'll focus my remarks on some of the key commercial real estate performance metrics for the quarter. I'll then update you on our capital structure and our capital plans."}, {"path": "tedlium_13441.wav", "duration": 10.2, "text": "In 2019, we plan to deliver operating margin expansion with continued operating leverage and efficiencies more than offsetting this dilutive effect."}, {"path": "tedlium_13442.wav", "duration": 10.2, "text": "a consistent level of advice to even all of our clients as we go forward. What adviser does today is they'll do an annual plan at some time"}, {"path": "tedlium_13443.wav", "duration": 10.2, "text": "Again, this has mostly been influenced in the last year, so by generally higher interest cost and higher provisions for credit losses during that time period."}, {"path": "tedlium_13444.wav", "duration": 10.2, "text": "will create an increase in drills with uncompleted wells over the next several quarters. We are also encouraged by the increased focus of our major clients"}, {"path": "tedlium_13445.wav", "duration": 10.2, "text": "last year and this year? Are they on the schedule that you expect, at a little bit above, a little bit below? Can you give us some color on how the execution of the recent FIDs are going?"}, {"path": "tedlium_13446.wav", "duration": 10.2, "text": "So that we believe we are becoming more astute at understanding our value proposition,"}, {"path": "tedlium_13447.wav", "duration": 10.2, "text": "and deeply looking at any number of opportunities that are in the marketplace. We are big enough and hopefully disciplined enough -- I believe disciplined enough, we certainly have had a history of it and I intend to carry that forward"}, {"path": "tedlium_13448.wav", "duration": 10.2, "text": "We look forward to spending today focusing on the results of our strong financial quarter and sharing our excitement about our future. I'll now turn it over to Eric."}, {"path": "tedlium_13449.wav", "duration": 10.2, "text": "The sales team remains highly focused on marketing our newer products, sustaining our deeper relationships with our customers and turning the aforementioned inquiries into orders."}, {"path": "tedlium_13450.wav", "duration": 10.2, "text": "in the upcoming Cowen conference as well as Barclays health care conferences and hope to see many of you at those conferences. This will now end our call."}, {"path": "tedlium_13451.wav", "duration": 10.2, "text": "I want to thank the TPI associates for their dedicated effort, our customers for placing their trust in us, and our shareholders for your continued support."}, {"path": "tedlium_13452.wav", "duration": 10.2, "text": "This is essentially many diversified Industrial component business with broad exposure to on and off-highway vehicles, medical, aerospace and civil construction."}, {"path": "tedlium_13453.wav", "duration": 10.2, "text": "We have made great progress in delivering assortments to stores to reflect their individual customer base as well as the climate and environment where they are positioned."}, {"path": "tedlium_13454.wav", "duration": 10.2, "text": "And that word gets spread around that you can make significant income with this company selling a valuable product at a reasonable price and still make -- we had"}, {"path": "tedlium_13455.wav", "duration": 10.2, "text": "With respect to our Payment Processing pipeline, we have many opportunities in front of us. And as mentioned, we won 2 new nonfinancial institution opportunities in the quarter."}, {"path": "tedlium_13456.wav", "duration": 10.2, "text": "with most of that being ratable at this point, with 90% of our business being recurring, that's going to take a bit of time for that to turn into revenue. And again, it was Q2 bookings,"}, {"path": "tedlium_13457.wav", "duration": 10.2, "text": "This represented the culmination of over 12 months of working with the 5 Arches team, allowing us to validate our market thesis and confirm cultural and operational fit."}, {"path": "tedlium_13458.wav", "duration": 10.2, "text": "This reflects improved economics related to K-Cups, which will begin in the third quarter, and lower green coffee costs, which will mostly benefit the fourth quarter."}, {"path": "tedlium_13459.wav", "duration": 10.2, "text": "Sales growth reflected gains across nearly all Away From Home categories, contributions from the launch of the Jif brand in Canada and higher export sales."}, {"path": "tedlium_13460.wav", "duration": 10.2, "text": "The quality of execution, speed to market and scope of the expanded distribution is a reflection of our improved agility,"}, {"path": "tedlium_13461.wav", "duration": 10.2, "text": "and that our capital expenditures will be approximately equal to that amount. Lastly, we expect our effective tax rate for the remainder of the year"}, {"path": "tedlium_13462.wav", "duration": 10.2, "text": "As a result, fewer trailers on the road are less than 15 years old than there were back in 2007 before the last recession."}, {"path": "tedlium_13463.wav", "duration": 10.2, "text": "It is always difficult to preserve core revenue levels during the third and fourth quarters of a presidential year due to displacement by the Olympic Games"}, {"path": "tedlium_13464.wav", "duration": 10.2, "text": "Those statements are subject to a number of risks and uncertainties. Actual results in the future could differ from those described in the forward-looking statements as a result of various important factors."}, {"path": "tedlium_13465.wav", "duration": 10.2, "text": "to companies who face challenges in serving their customers with inventories in multiple locations."}, {"path": "tedlium_13466.wav", "duration": 10.2, "text": "Can you provide more specifics around planned CapEx in 2016, specifically how many trucks and trailers you intend to purchase? And what is the planned net fleet growth?"}, {"path": "tedlium_13467.wav", "duration": 10.2, "text": "Yes, sure. I mean our strength platform is one that I'd point to that we continue to win volume at and that's really around disappearing pallets at the end of"}, {"path": "tedlium_13468.wav", "duration": 10.2, "text": "Can you also comment on your net lease portfolio in this broader environment of strong economic growth, higher inflation along with the higher rates?"}, {"path": "tedlium_13469.wav", "duration": 10.2, "text": "This feature causes the CLO trust to delever more slowly so that the timing of capital returns to Ladder is more closely matched to the timing of loan payoffs."}, {"path": "tedlium_13470.wav", "duration": 10.2, "text": "As Andy will demonstrate shortly, the key strength of the group is to continuously find ways to add value to shareholders and policyholders, and"}, {"path": "tedlium_13471.wav", "duration": 10.2, "text": "they are still available to absorb economic shocks. This means that the headline surplus is extremely resilient to economic stress."}, {"path": "tedlium_13472.wav", "duration": 10.2, "text": "reassuring to get that approved and see their vote of support that this is an important program to move quickly with. As far as the Europeans, we've had opportunities to meet"}, {"path": "tedlium_13473.wav", "duration": 10.2, "text": "You can find a reconciliation of these non-GAAP financial measures and other related information in both our earnings release and at the end of our supplemental presentation."}, {"path": "tedlium_13474.wav", "duration": 10.2, "text": "The pricing climate remains very positive. Our customers are confident, and our recent acquisitions have performed well so far."}, {"path": "tedlium_13475.wav", "duration": 10.2, "text": "And with respect to inventory at the end of the quarter, there were probably 3 things that happened. We did see a healthy increase in our pre-owned inventory,"}, {"path": "tedlium_13476.wav", "duration": 10.2, "text": "We've successfully navigated similarly aggressive markets in the past by remaining highly disciplined in our credit selection and industry composition."}, {"path": "tedlium_13477.wav", "duration": 10.2, "text": "Anything is outside of that, certainly is possible. Not unlike what we did last year. We'll continue to evaluate anything that's outside of that. We don't have much outside of that,"}, {"path": "tedlium_13478.wav", "duration": 10.2, "text": "Each line of business continues to grow by executing on the strategy to introduce and cross-sell all of our service offerings to our customers."}, {"path": "tedlium_13479.wav", "duration": 10.2, "text": "that we're only published through April and we are still working on what we want to do for the balance of 2018, but I think, conceptually, all we're doing with the"}, {"path": "tedlium_13480.wav", "duration": 10.2, "text": "The solution enables developers to differentiate themselves among their competitors by delivering engaging and impactful mobile experiences for their users."}, {"path": "tedlium_13481.wav", "duration": 10.2, "text": "And I think our sales team is very energized right now. And Q1 is just an example of some things that I think we can see in the future."}, {"path": "tedlium_13482.wav", "duration": 10.2, "text": "schedule. In the fourth quarter, we started a strong work of liability management. In December, we had -- we raised in dollars"}, {"path": "tedlium_13483.wav", "duration": 10.2, "text": "We have focused the sales force on accelerating success by growing a number of licensed productive representatives on their teams in order to build a new generation of sales force leaders."}, {"path": "tedlium_13484.wav", "duration": 10.2, "text": "you've seen that we have a doubling of our population. But at the same time, not at the expenses of the assets under management per relationship manager"}, {"path": "tedlium_13485.wav", "duration": 10.2, "text": "become aware of the risks and uncertainties in this business and understand that forward-looking statements are only estimates of future performance and should be taken as such."}, {"path": "tedlium_13486.wav", "duration": 10.2, "text": "on over the last few months, and we see big opportunities there. So we're looking at every component of the cost structure. We'll go through it and share with you"}, {"path": "tedlium_13487.wav", "duration": 10.2, "text": "is to accelerate investments in the core research and development programs that enable us to capitalize on our strategic assets to develop unique product solutions."}, {"path": "tedlium_13488.wav", "duration": 10.2, "text": "Pricing has also stabilized and is beginning to improve, particularly for equipment and personnel with demonstrated performance capability. While pricing is expected to improve,"}, {"path": "tedlium_13489.wav", "duration": 10.2, "text": "But number one, I was just wondering, I assume you guys have gauged the market and, at this point in time, the market just isn't robust enough to meet your hurdles. Could you just talk about"}, {"path": "tedlium_13490.wav", "duration": 10.2, "text": "that's probably the best thing that I can say or the most accurate thing I can say about the competitive environment. As I said, the most challenging being in EM still."}, {"path": "tedlium_13491.wav", "duration": 10.1700625, "text": "are currently at high levels. And if you could also talk about breakeven costs in the mining sector, if this could"}, {"path": "tedlium_13492.wav", "duration": 10.1700625, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_13493.wav", "duration": 10.17, "text": "In addition, our Peru operation is also impacted by elevated repairs and maintenance expense this year, most of which was planned as part of our post-acquisition integration"}, {"path": "tedlium_13494.wav", "duration": 10.17, "text": "Forward-looking statements are subject to various risks, uncertainties and other factors that could cause actual results to differ materially from those stated in such statements."}, {"path": "tedlium_13495.wav", "duration": 10.17, "text": "However, Seabed makes investment decisions independent of Apollo and does not have board appointment rights or otherwise receive nonpublic information about the company."}, {"path": "tedlium_13496.wav", "duration": 10.17, "text": "time. But I wouldn't necessarily hold your breath that it's going to be this quarter or perhaps even next quarter given the way the balance sheet is constructed today. We're"}, {"path": "tedlium_13497.wav", "duration": 10.17, "text": "while the grocery channel has stabilized and showed modest growth in 2018. By comparison, the dollar and drug channels have experienced a decline over the same period."}, {"path": "tedlium_13498.wav", "duration": 10.17, "text": "In short, we continue to extend iPass EVERYWHERE, with focus on making sure everyone is able to connect in the places they need to be,"}, {"path": "tedlium_13499.wav", "duration": 10.17, "text": "Three, I mentioned that in some cases we've seen an unacceptable gap in the time between bookings and billings, but"}, {"path": "tedlium_13500.wav", "duration": 10.17, "text": "grow profitably well, continuing to invest in their business going forward and have strong risk and capital management capabilities."}, {"path": "tedlium_13501.wav", "duration": 10.17, "text": "we also are engaging in scientific and commercial partnerships to pair our best internal innovations with the best external innovation available."}, {"path": "tedlium_13502.wav", "duration": 10.17, "text": "It has and continues to be a great journey. We continue to be a positive force in our communities by being that regional bank that keeps community in banking."}, {"path": "tedlium_13503.wav", "duration": 10.17, "text": "And in parallel, we continue to look at the feasibility of developing a more efficacious human challenge model, where we could evaluate the efficacy"}, {"path": "tedlium_13504.wav", "duration": 10.17, "text": "as we initiate all of the Phase II studies that are listed on this slide. So the first study in red, the colorectal cancer indication, has already been initiated,"}, {"path": "tedlium_13505.wav", "duration": 10.17, "text": "Or is it much more about the opportunity there is bigger than we realize and therefore, rather than just waste it, let's go and get it? So that would be my first question."}, {"path": "tedlium_13506.wav", "duration": 10.17, "text": "the amount of revenue that was going to be generated per claim was -- and collected was not known. It was not a known commodity."}, {"path": "tedlium_13507.wav", "duration": 10.17, "text": "And I believe that we are well positioned, both from a competitive and operating standpoint, to serve and educate current and prospective students who are primarily adult learners."}, {"path": "tedlium_13508.wav", "duration": 10.17, "text": "Additional information about the risks and uncertainties that could cause actual results to differ may be found in our latest financial statement and our filings with the Israel Securities Authority,"}, {"path": "tedlium_13509.wav", "duration": 10.17, "text": "We were especially encouraged by the step-up in comp sales relative to last year. And importantly, this converted to improved operating profits."}, {"path": "tedlium_13510.wav", "duration": 10.17, "text": "to work at the organization to ensure their operational excellence, to ensure that we have a scalable infrastructure"}, {"path": "tedlium_13511.wav", "duration": 10.17, "text": "On top, the decline of press came in very strongly as was the case in Switzerland a couple of years ago."}, {"path": "tedlium_13512.wav", "duration": 10.17, "text": "on the energy savings performance contracts, where in this case right now they do not have any capital appropriations for energy efficiency projects. And the only way to do it will be"}, {"path": "tedlium_13513.wav", "duration": 10.17, "text": "But we are rather satisfied also on the core part of the business because our test bank process started"}, {"path": "tedlium_13514.wav", "duration": 10.17, "text": "there is a -- almost a paralyzing array of choices and the lack of branding and the lack of"}, {"path": "tedlium_13515.wav", "duration": 10.17, "text": "The interim dividend has increased by 4%, which delivers the increased minimum commitment that we made in February for dividend growth through the period of the Growth Acceleration Plan."}, {"path": "tedlium_13516.wav", "duration": 10.17, "text": "to create a more personalized and emotional experience for our customers. So a lot of resources and planning going around that to make sure that we"}, {"path": "tedlium_13517.wav", "duration": 10.17, "text": "what we have is difficult to replicate in many ways. One is that it's not easy to develop"}, {"path": "tedlium_13518.wav", "duration": 10.17, "text": "both retro running stars from the 90s that we refreshed and brought back with significant commercial attraction. The Tresc Run and the LXCON are also great examples for new silhouettes"}, {"path": "tedlium_13519.wav", "duration": 10.17, "text": "is as manufacturing industrializes more and more, what we classically call building product manufacturers are going to show up more and more"}, {"path": "tedlium_13520.wav", "duration": 10.17, "text": "Now, you know we have been in ongoing negotiations with the government and with the university about that for a number of years."}, {"path": "tedlium_13521.wav", "duration": 10.17, "text": "reduction. We're really, really working hard to keep those very tightly controlled. So what I would say is we will not expect anything beyond maybe the normal"}, {"path": "tedlium_13522.wav", "duration": 10.17, "text": "source new land opportunities that consistently perform in our general underwriting guidelines. And so we're really pleased with the"}, {"path": "tedlium_13523.wav", "duration": 10.17, "text": "Dennis will begin today with some opening comments on our financial results and recent company developments. Following his prepared remarks, we will take questions from the investment community."}, {"path": "tedlium_13524.wav", "duration": 10.17, "text": "Agents also began offering an enhanced coverage option for business auto policies and a new endorsement geared towards smaller corporations with a name business owner."}, {"path": "tedlium_13525.wav", "duration": 10.17, "text": "However, we have to recognize that people are more picky. They have higher and higher standards. And that is why new products"}, {"path": "tedlium_13526.wav", "duration": 10.17, "text": "Eat how many dishes you have in front of you. Don't eat too much. Don't overeat. Eat more than your share. If you figure this out,"}, {"path": "tedlium_13527.wav", "duration": 10.17, "text": "the needs of customers. And we do believe, over time as we fill that out, we will ultimately grow customer base on that overall basis."}, {"path": "tedlium_13528.wav", "duration": 10.17, "text": "The next key integration is with Microsoft Skype for Business, UC. Our latest integration with Skype allows agents to seamlessly connect to knowledge workers,"}, {"path": "tedlium_13529.wav", "duration": 10.17, "text": "sales of products from inventory, future financial results, liquidity and the continued growth of the electric-powered vehicle industry."}, {"path": "tedlium_13530.wav", "duration": 10.17, "text": "and hopefully some measure of durability. We're also working with some of the key investigators in the world to assemble the natural history"}, {"path": "tedlium_13531.wav", "duration": 10.17, "text": "Excluding the impact of terminated Digital Marketing Services and incremental political advertising, total revenue was up 5% over the second quarter of last year."}, {"path": "tedlium_13532.wav", "duration": 10.17, "text": "Data processing and software expense increased during the periods presented due to an increase in the volume of transactions and implementation of new software in our Mortgage business."}, {"path": "tedlium_13533.wav", "duration": 10.17, "text": "Well, I mean, the future star promotion is intended to give some economics to newer distributors in China."}, {"path": "tedlium_13534.wav", "duration": 10.17, "text": "Also, by way of history, we don't price based off currency. We price based off inflation and what the consumer is seeing locally on similar products. I think pricing off of currency is a"}, {"path": "tedlium_13535.wav", "duration": 10.17, "text": "are significant competitive advantages over other sometimes larger and more established players as we have better control of the design through finished product phases,"}, {"path": "tedlium_13536.wav", "duration": 10.17, "text": "So there's no reason for members to do anything other than continue to engage in the program over the next 3 years. And as we've said,"}, {"path": "tedlium_13537.wav", "duration": 10.17, "text": "A couple of project updates here. We made great progress during the quarter signing up long-term commitments for capacity on the supply portion of Northeast Energy Direct."}, {"path": "tedlium_13538.wav", "duration": 10.17, "text": "We may seek modifications to that order to try to improve on that schedule, and we're certainly going to look for ways to claw back some of that on the project execution phase."}, {"path": "tedlium_13539.wav", "duration": 10.17, "text": "And so I would say we feel like it's really the combination. It's the combination and it's not really at a subsegment level on each product."}, {"path": "tedlium_13540.wav", "duration": 10.17, "text": "pleased with what's going on in Argentina in terms of some of the laws that President Macri has put in, in terms of taxation in the farming sector."}, {"path": "tedlium_13541.wav", "duration": 10.17, "text": "ruling made by the Supreme Court of March of this year about the general damages for pain and suffering. And so"}, {"path": "tedlium_13542.wav", "duration": 10.17, "text": "the things may change between now and then. And then just a little bit of -- more color on the small business opportunity. It seems like you guys are finding a bit more constructive on that."}, {"path": "tedlium_13543.wav", "duration": 10.17, "text": "in the release, you touched on some trade uncertainty and the potential risk of slowing growth in Asia, yet it seems like transportation films was again a big"}, {"path": "tedlium_13544.wav", "duration": 10.17, "text": "Procedure growth in several countries, including Germany, Korea and China, was healthy through the year, and adoption in Japan was solid for those procedures that have been reimbursed."}, {"path": "tedlium_13545.wav", "duration": 10.17, "text": "I think we have a senior leader in our General Manager in Japan. I think this is a team that's capable. So we will give them time to make progress here."}, {"path": "tedlium_13546.wav", "duration": 10.17, "text": "that was a successful process for us. We look for other opportunities, but they have to present themselves. We can't really make those happen."}, {"path": "tedlium_13547.wav", "duration": 10.17, "text": "which is a really small impact. But we still feel like with each of the fed funds moves and the improvement in prime rate"}, {"path": "tedlium_13548.wav", "duration": 10.17, "text": "our technology platform or our advisory and brokerage platforms, creating differentiators that help us use those differentiators to attract more advisers."}, {"path": "tedlium_13549.wav", "duration": 10.17, "text": "So acquisitions that would complement businesses that we know and customers that we know and markets that we understand in either structural panels,"}, {"path": "tedlium_13550.wav", "duration": 10.17, "text": "to be more services heavy in Q4 as we have historically experienced that many of our large Enterprise clients finalize projects before year-end."}, {"path": "tedlium_13551.wav", "duration": 10.17, "text": "I think, again, it comes down to the fact that we're able to see the loans that we want to be able to get and go after them. And it's not just about the pricing side"}, {"path": "tedlium_13552.wav", "duration": 10.17, "text": "For all of his contributions to the company, previous service to his country and to me personally, I'd like to extend my sincere thanks to Harley."}, {"path": "tedlium_13553.wav", "duration": 10.17, "text": "And then you add delivery on top of that, we see a very long runway for growth for us in China for many years to come. And that's why we're still very optimistic"}, {"path": "tedlium_13554.wav", "duration": 10.17, "text": "with quieter, more comfortable vehicles while reducing vehicle weight, is further bolstering our business, creating robust demand for our product solutions."}, {"path": "tedlium_13555.wav", "duration": 10.17, "text": "We continue to believe that Exar provides a large and exciting opportunity to expand our analog content across a range of communications in industrial and multimarket platforms."}, {"path": "tedlium_13556.wav", "duration": 10.17, "text": "as we said, order intake is down mainly in the commercial, but also in the Industrial side for Air Treatment."}, {"path": "tedlium_13557.wav", "duration": 10.17, "text": "is low-cost assets that we were using to service the contract market, which will now be available to us to support growth over the next couple of years. So we backed down there a little bit to make sure that we could"}, {"path": "tedlium_13558.wav", "duration": 10.17, "text": "global uncertainty commentary? So if you just break it down, it's rough round, it's more of it in the third quarter that we've already seen than we believe in the fourth quarter."}, {"path": "tedlium_13559.wav", "duration": 10.17, "text": "it's a very creative innovative group down in Orlando that take on these challenges. And when they come up, we always find a way around them."}, {"path": "tedlium_13560.wav", "duration": 10.17, "text": "unless they had the approval from OFAC to do so. So just getting the shares transferred from that international bank into another account even within that same international bank"}, {"path": "tedlium_13561.wav", "duration": 10.17, "text": "We have the ability to process our own test results for our constituent physicians and clinics at a highly attractive cost relative to reimbursement."}, {"path": "tedlium_13562.wav", "duration": 10.17, "text": "We're delivering solid results in countries such as India, Vietnam and Mexico, where market fundamentals are improving and our momentum is strong."}, {"path": "tedlium_13563.wav", "duration": 10.17, "text": "construct and operate a safe, environmentally responsible facility that offers benefits to the State of Washington and the entire West Coast."}, {"path": "tedlium_13564.wav", "duration": 10.17, "text": "Emerging markets grew double digits as we took a more balanced approach by reducing costs and stepping up investment in our brands and capabilities."}, {"path": "tedlium_13565.wav", "duration": 10.17, "text": "And so, when we can do that, we do have some optimism about the ability to not only maintain these great churn levels but even see some further improvement, likely in this quarter,"}, {"path": "tedlium_13566.wav", "duration": 10.17, "text": "is very demanding from a Last Mile standpoint, and this works to TFI's advantage, which we think you'll see more clearly with our new segmentation."}, {"path": "tedlium_13567.wav", "duration": 10.17, "text": "A solid level of primary demand for mortgage credit, continued strong participation from our bank customers and a modest expansion of our loan products contributed to this increase."}, {"path": "tedlium_13568.wav", "duration": 10.17, "text": "as you think about the growth drivers of the second half, is it mainly overages kicking in on the existing business? Or is it mainly from some of these"}, {"path": "tedlium_13569.wav", "duration": 10.17, "text": "While modest, this improvement would allow us to leverage the progress that we have realized from our continued operational excellence initiatives this past year."}, {"path": "tedlium_13570.wav", "duration": 10.17, "text": "This technology offers significant material property advantages compared to existing materials, including weight savings, sheer strength and energy absorption."}, {"path": "tedlium_13571.wav", "duration": 10.17, "text": "potential revisions to OSFI's underwriting guideline B20 could serve to further curtail market activity and reduce the pace of home price increases across the country."}, {"path": "tedlium_13572.wav", "duration": 10.17, "text": "Last summer, we launched Gravity for Mobile. Already, the product is generating 7 -- several million dollars of revenue and growing very rapidly."}, {"path": "tedlium_13573.wav", "duration": 10.17, "text": "And so they're all slightly different in terms of how they got to where they are with EXPAREL. And so we're learning how to address these folks individually as customers"}, {"path": "tedlium_13574.wav", "duration": 10.17, "text": "Customers' acceptance of NexSys Pure is as strong in EMEA as the Americas and we believe sales will make up over 10% of their revenue in the near future."}, {"path": "tedlium_13575.wav", "duration": 10.17, "text": "These factors point to a strong second half and we expect to completely recover our increased fuel costs by the end of this financial year."}, {"path": "tedlium_13576.wav", "duration": 10.17, "text": "All forward-looking statements are expressly qualified in their entirety by this cautionary notice. You should carefully review all of these factors and be aware that there may be other factors that could cause these differences."}, {"path": "tedlium_13577.wav", "duration": 10.17, "text": "She's already challenging us in the clinical domain, what additional testing do we need to get going. And obviously, the pediatric indication is one that she's a champion of and we've got to get"}, {"path": "tedlium_13578.wav", "duration": 10.17, "text": "and so there's a lot of interest. But as far as live volume going through us as a processor, meaning we're aggregating transactions for a bunch of banks"}, {"path": "tedlium_13579.wav", "duration": 10.17, "text": "From our deep domain expertise and relationships to our proprietary technologies and strong service focus, our clients appreciate the value that Donnelley Financial Solutions"}, {"path": "tedlium_13580.wav", "duration": 10.17, "text": "In Investment Markets, we provide products and services to mutual funds, hedge and alternative investment funds and insurance companies"}, {"path": "tedlium_13581.wav", "duration": 10.17, "text": "Our execution in service operations also continues to be excellent, as demonstrated by client satisfaction results and retention levels that remain consistent with recent highs."}, {"path": "tedlium_13582.wav", "duration": 10.17, "text": "And now I will turn the call over to Rich. Thanks, Tom. The first quarter was a strong one for Groupon as we continued to make progress in becoming a daily habit in local commerce."}, {"path": "tedlium_13583.wav", "duration": 10.17, "text": "and continue to serve out of Hong Kong because they have services that they can provide outside Mainland China. So it was a couple of hundred thousand dollars of annual loss."}, {"path": "tedlium_13584.wav", "duration": 10.17, "text": "So we have to look for other markets, and that's what we do. We have sales offices in many different countries. We have people assigned to different countries. And so"}, {"path": "tedlium_13585.wav", "duration": 10.17, "text": "So when our federal government seeks payment or decides to acknowledge a refund, those can trip over a quarter. But generally speaking, for the year, we expect"}, {"path": "tedlium_13586.wav", "duration": 10.17, "text": "make the most of the -- our existing molecules as well as bring other molecules into the company as we have with our ImmunoGen collaboration."}, {"path": "tedlium_13587.wav", "duration": 10.17, "text": "We expect to tell you more about the area sometime towards the end of this year once we have successfully solidified our acreage position."}, {"path": "tedlium_13588.wav", "duration": 10.17, "text": "But these trends are more than offset by strength in domestic bookings and we don't expect currency challenges to have a material impact on our results relative to our guidance."}, {"path": "tedlium_13589.wav", "duration": 10.17, "text": "We are also continuing to see success from our expanded assortments in intimate apparel, which also outperformed the company average."}, {"path": "tedlium_13590.wav", "duration": 10.17, "text": "market importance towards the suppliers can be used. All of that should create additional funds."}, {"path": "tedlium_13591.wav", "duration": 10.17, "text": "when the auction results become known to the board, it will consider whether further changes to our capital allocation priorities are warranted."}, {"path": "tedlium_13592.wav", "duration": 10.17, "text": "most importantly, our consumption patterns have continued to build, which is the real story we want to stress, and that will translate to a very strong second half."}, {"path": "tedlium_13593.wav", "duration": 10.17, "text": "and just overall healthy demand in the space. So there are certainly a number of factors that could help us get towards the higher end or potentially beyond the higher end of guidance."}, {"path": "tedlium_13594.wav", "duration": 10.17, "text": "is that we feel very strongly that our approach remains the best one to pursue for the treatment of Pompe with gene therapy, meaning"}, {"path": "tedlium_13595.wav", "duration": 10.17, "text": "when does it return to growth. I think it's ongoing as we talk. We have to see that one of the big inhalers"}, {"path": "tedlium_13596.wav", "duration": 10.17, "text": "do you think about -- I guess, what is the level of utilization roughly, if you're willing to share? And then, two, as you think about long-term growth"}, {"path": "tedlium_13597.wav", "duration": 10.17, "text": "Since the end of the fourth quarter, we have received several of these late payments and continue to focus our efforts on collecting the remaining outstanding receivables."}, {"path": "tedlium_13598.wav", "duration": 10.17, "text": "made an investment during the first half of the year to add dedicated Fluid Management representatives to the business in an effort to drive focus and specialization."}, {"path": "tedlium_13599.wav", "duration": 10.17, "text": "We expect assets spreads to be vulnerable to widening due to changes in central bank involvement in these markets, which would present a great opportunity to add assets."}, {"path": "tedlium_13600.wav", "duration": 10.17, "text": "I think that the third quarter outlook is more of the same. It is very competitive. It's competitive now. It's been competitive for years, as we all know."}, {"path": "tedlium_13601.wav", "duration": 10.17, "text": "Those of you who have been asking us over the past couple of years what the auction could mean for us have heard repeatedly that we do not expect to receive any meaningful proceeds."}, {"path": "tedlium_13602.wav", "duration": 10.17, "text": "We currently do not believe that any of these circumstances individually or in the aggregate have any impact on our reported financial results."}, {"path": "tedlium_13603.wav", "duration": 10.17, "text": "We are not a typical retailer. We do not sell products that are purchased without a human connection or products that lend themselves easily to e-commerce."}, {"path": "tedlium_13604.wav", "duration": 10.17, "text": "And I would continue to expect as we roll out those new vertical products, we're continuing to add value and see some additional strength coming from those contributions."}, {"path": "tedlium_13605.wav", "duration": 10.17, "text": "due to the underperformance of DSS. Before I hand the call back to Bob, I'd like to briefly discuss our thoughts on tax reform"}, {"path": "tedlium_13606.wav", "duration": 10.17, "text": "take everything -- I didn't hear anything quite clear? And can you also elaborate how that will move into the"}, {"path": "tedlium_13607.wav", "duration": 10.1400625, "text": "Currently, we are planning to consolidate facilities around Haneda airport to achieve efficient training, while increasing safety, the foundation of our management."}, {"path": "tedlium_13608.wav", "duration": 10.1400625, "text": "is important to note that the factors negatively impacting second quarter shipments are contradicted by strong underlying demand trends."}, {"path": "tedlium_13609.wav", "duration": 10.14, "text": "Meanwhile, we are working in parallel to fundamentally understand the market opportunities and dynamics and to formulate our commercial strategy."}, {"path": "tedlium_13610.wav", "duration": 10.14, "text": "This enables service providers and businesses to focus on becoming more efficient and more profitable in this age of digital transformation."}, {"path": "tedlium_13611.wav", "duration": 10.14, "text": "and then resume more normalized growth through coming quarters in 2018. A couple of other things I'd like to note before moving on to data centers."}, {"path": "tedlium_13612.wav", "duration": 10.14, "text": "And indeed on this point it is important for all you to know that my primary focus as Chairman and CEO is for Triangle Capital to continue to grow"}, {"path": "tedlium_13613.wav", "duration": 10.14, "text": "ignoring your demands for payment and things of that nature, paying the patient in some cases and doing other"}, {"path": "tedlium_13614.wav", "duration": 10.14, "text": "that there's really not a lot of outlet. Because of the lack of timing or infrastructure in Mexico, those pipes really can't ramp up as quickly as everybody had hoped."}, {"path": "tedlium_13615.wav", "duration": 10.14, "text": "To sum it up, we believe the aftermarket has benefited from a second consecutive normalized winter and ongoing sound fundamentals."}, {"path": "tedlium_13616.wav", "duration": 10.14, "text": "what the term of their contracts would be, their answer would be, we don't have any term contracts, we just have shippers that have shipping history and show up day to day. And so"}, {"path": "tedlium_13617.wav", "duration": 10.14, "text": "something like 40 hotels open. Shanghai is the most international city in China. Our hotels are skewed dramatically towards the high-end."}, {"path": "tedlium_13618.wav", "duration": 10.14, "text": "subject areas that we feel comfortable in. And we have already got scale benefits that we feel very confident about how we integrate for further scale."}, {"path": "tedlium_13619.wav", "duration": 10.14, "text": "Our use of the term EBITDA throughout this morning's call corresponds with the term adjusted EBITDA as defined in our earnings release."}, {"path": "tedlium_13620.wav", "duration": 10.14, "text": "If you can just share any specific states you're seeing increased work there and specifically the type of projects in those states that are kind of driving the strength?"}, {"path": "tedlium_13621.wav", "duration": 10.14, "text": "We are now in the process of implementing changes that we think will drive higher connect, continue to improve ARPU and give our customers even greater choice and control."}, {"path": "tedlium_13622.wav", "duration": 10.14, "text": "Finally, this decree included very positive news related to new more expansive investment criteria by pension funded administrators."}, {"path": "tedlium_13623.wav", "duration": 10.14, "text": "on the quarter, could you talk about the cadence of when you took delivery of these tractors? And to the extent you can provide us,"}, {"path": "tedlium_13624.wav", "duration": 10.14, "text": "in the first half of 2019. We remain on track to file our prior approval supplement for Vancocin oral solution"}, {"path": "tedlium_13625.wav", "duration": 10.14, "text": "However, there is one condition that has to be met. I'm waiting for a right management team. I'm not saying our current team isn't good,"}, {"path": "tedlium_13626.wav", "duration": 10.14, "text": "so that we can do things very effectively and achieve our goals very precisely on our time line and schedule."}, {"path": "tedlium_13627.wav", "duration": 10.14, "text": "This increase was due to the acquisition of Body Plus and Sonoma and partially offset by the timing of certain marketing expenses related to our innovation calendar."}, {"path": "tedlium_13628.wav", "duration": 10.14, "text": "given my, I don't know, unrestrained optimism. But I would say our view of the lease-ability is better today than it was a year ago"}, {"path": "tedlium_13629.wav", "duration": 10.14, "text": "and we are pleased that everything is moving along according to plan. Sinotruk is working on integrating our motors to local Chinese transmission solutions"}, {"path": "tedlium_13630.wav", "duration": 10.14, "text": "We expect this trend to continue as we make these additional investments. Finally, we will remain focused on achieving balanced regulatory outcomes that will benefit our customers"}, {"path": "tedlium_13631.wav", "duration": 10.14, "text": "We expect these new investments to further establish our solutions as the clear industry leader and further establish the pathway for continued success."}, {"path": "tedlium_13632.wav", "duration": 10.14, "text": "Developing and introducing product solutions, like our e-wallet, designed to assist casino patrons with the ability to seamlessly move financial value"}, {"path": "tedlium_13633.wav", "duration": 10.14, "text": "of inflation that the market experienced last year. And then also it is being contributed to, in some way, by the investments that we are making"}, {"path": "tedlium_13634.wav", "duration": 10.14, "text": "The second thing that we are doing in conjunction with the pharmacy industry as a whole is we are engaging with the federal government"}, {"path": "tedlium_13635.wav", "duration": 10.14, "text": "once we get rid of the international business, okay, we understand that's happening, and then should we assume that you're done taking a look at the"}, {"path": "tedlium_13636.wav", "duration": 10.14, "text": "We believe we're on track to deliver ramped-up contributions from these acquired locations that meet the expected purchase multiples we've outlined for you in previous calls."}, {"path": "tedlium_13637.wav", "duration": 10.14, "text": "As we shift into our financial results and outlook, I'd like to draw your attention to Slide 4 to note the highlights that I first outlined in early January."}, {"path": "tedlium_13638.wav", "duration": 10.14, "text": "Monetary theorists persist with their negative interest rate policies, relying ever more on hope for rather than expectation of success."}, {"path": "tedlium_13639.wav", "duration": 10.14, "text": "on running great restaurants and having great people that lead those restaurants and supporting them with a wonderful culture and tremendous opportunities."}, {"path": "tedlium_13640.wav", "duration": 10.14, "text": "And hence, there, we largely depend on the fact whether or not we were in a position to rightly estimate the costs"}, {"path": "tedlium_13641.wav", "duration": 10.14, "text": "related to a reduction in the level of past due shipments from earlier in 2016 as we ramped production levels and improved manufacturing efficiencies in the second half."}, {"path": "tedlium_13642.wav", "duration": 10.14, "text": "and I've assured my husband there will be no round 3. But I'm fully committed to making a seamless and successful transition with Debra over the next few months."}, {"path": "tedlium_13643.wav", "duration": 10.14, "text": "Our focus is on our clients and leading them through a digital transformation while also remaining purposeful in how we execute on our strategy."}, {"path": "tedlium_13644.wav", "duration": 10.14, "text": "trade between currencies and then, of course, from those positions they have, they can make outbound payments. It does also accommodate incoming payments as well. So it's just a really good"}, {"path": "tedlium_13645.wav", "duration": 10.14, "text": "Further, we achieved several major milestones in the quarter, including the successful completion of the DeVry University and Carrington College transfers of ownership"}, {"path": "tedlium_13646.wav", "duration": 10.14, "text": "In addition to growth in accounting products and services, including exam preparation where we're expanding our professional development content to support key changes in the accounting profession,"}, {"path": "tedlium_13647.wav", "duration": 10.14, "text": "in the sensors. There are 3 blocks of technologies where we have, I believe, a unique technology leadership"}, {"path": "tedlium_13648.wav", "duration": 10.14, "text": "Okay. And was the trigger for that kind of thing competitive actions? Was it particular projects? I'm just trying to get a sense for kind of"}, {"path": "tedlium_13649.wav", "duration": 10.14, "text": "the full quarter impact of the new CEO as well as prospective changes to where the company reports expenses relating to its insurance program."}, {"path": "tedlium_13650.wav", "duration": 10.14, "text": "we think that the pricing that we're getting on the completion of these newbuilds lifts the pricing of these rigs as well as the market continues to tighten."}, {"path": "tedlium_13651.wav", "duration": 10.14, "text": "for our existing business with any increases being limited to products and services that open up revenue streams we cannot access today."}, {"path": "tedlium_13652.wav", "duration": 10.14, "text": "What encouraged me most about our results is that our team members are overwhelmingly ready and willing to go above and beyond in their roles to build a stronger, more innovative company."}, {"path": "tedlium_13653.wav", "duration": 10.14, "text": "Some of that would be in the S.E.T. businesses obviously. So our first area of focus will be to add scale in areas where we already play"}, {"path": "tedlium_13654.wav", "duration": 10.14, "text": "That's not our business model. We want to maintain our margins to maximize profitability, and we want to make sure that we're not beat by our competition."}, {"path": "tedlium_13655.wav", "duration": 10.14, "text": "how we generate profits, I think the structure of how we generate profit, I think we need to communicate this much clearly to the marketplace."}, {"path": "tedlium_13656.wav", "duration": 10.14, "text": "So price reduction could simply translate into a mere reduction in operating profit. On the other hand it could be that the customer base expansion can be achieved."}, {"path": "tedlium_13657.wav", "duration": 10.14, "text": "This was the case with the stores we closed last year. And future decisions will now be informed more directly from that experience."}, {"path": "tedlium_13658.wav", "duration": 10.14, "text": "Lower interest on capital leases as the portfolio matures and the store closures that we had earlier in the year contributed to the decreases for both the quarter and the year."}, {"path": "tedlium_13659.wav", "duration": 10.14, "text": "The original RFP was also seeking a potential county jail addition to the existing facility in order to replace the county's existing jail in downtown Chattanooga."}, {"path": "tedlium_13660.wav", "duration": 10.14, "text": "And labor allocation requirements imposed by our collective bargaining agreement at one of our facilities have resulted in an increased benefit related cost during the quarter."}, {"path": "tedlium_13661.wav", "duration": 10.14, "text": "We are increasing revenue across multiple product categories at a major U.S. mobility OEM. And we have grown content in audio and standard products"}, {"path": "tedlium_13662.wav", "duration": 10.14, "text": "providing us with high levels of current and recurring income from our debt investments and the continued opportunity to realize capital gains from our equity-related investments."}, {"path": "tedlium_13663.wav", "duration": 10.14, "text": "And we hope to deliver more happy experience to you. Thank you. Thank you very much for the answer. The sixth question is,"}, {"path": "tedlium_13664.wav", "duration": 10.14, "text": "gives a point of differentiation and reassurance more to lower enterprise and enterprise level. This is where organizations are effectively looking to future proof"}, {"path": "tedlium_13665.wav", "duration": 10.14, "text": "those places that we're getting the best return to work with our customers to understand the ROI of some of the various promotional practices that are going on."}, {"path": "tedlium_13666.wav", "duration": 10.14, "text": "dropping it basically down, which is, human people, and you condense at a certain point, and you're better off to run it"}, {"path": "tedlium_13667.wav", "duration": 10.14, "text": "It's important to emphasize that while we were making significant progress, there is some opportunity cost because of the breadth of the work that our team is focused on."}, {"path": "tedlium_13668.wav", "duration": 10.14, "text": "you can be assured that we are still driving improvements with our eye on the same goals and the same intention of creating a more valuable organization for all our stakeholders."}, {"path": "tedlium_13669.wav", "duration": 10.14, "text": "Response rates for the 3 agents approved in the second line are in the range of 13% to 16%, and median overall survival is 6 to 8 months."}, {"path": "tedlium_13670.wav", "duration": 10.14, "text": "The senior secured and floating-rate loan composition of our portfolio is defensibly positioned to protect our capital in a rising rate environment."}, {"path": "tedlium_13671.wav", "duration": 10.14, "text": "If Electrovaya batteries makes these logistics and Material Handling companies more efficient, that is the driver and the benchmark."}, {"path": "tedlium_13672.wav", "duration": 10.14, "text": "Is your modeling suggesting to you that the margin will turn in the third quarter and start to move in the other direction? Or you just haven't -- your crystal ball is fuzzy out beyond"}, {"path": "tedlium_13673.wav", "duration": 10.14, "text": "The problem is that because we don't have a J code and the SOP for how the providers are billing the payers"}, {"path": "tedlium_13674.wav", "duration": 10.14, "text": "The optimization of our back office resulting from investment in digitization is also evidenced by the continuing slowdown in net new rollout of branches"}, {"path": "tedlium_13675.wav", "duration": 10.14, "text": "they've announced some large customer levels from what I can see. We have a lot of customers, too, right? And our customers are loyal to us. We continue to deliver quality products to them."}, {"path": "tedlium_13676.wav", "duration": 10.14, "text": "Those are some of the most important things. And then obviously, over time, as you continue to beef up that stability in your business, that is absolutely what gives me more confidence to go ahead and work that cash balance down."}, {"path": "tedlium_13677.wav", "duration": 10.14, "text": "but that still does not appear to be the case. Whoever has left, for whatever reason, whether they should be going fast or not going fast, there are enough folks out there still pushing for business"}, {"path": "tedlium_13678.wav", "duration": 10.14, "text": "What was interesting about -014 is that in the animals, we saw a really quite limited toxicity less than we expected, and that will allow us to dose escalate"}, {"path": "tedlium_13679.wav", "duration": 10.14, "text": "that will give both customer segments an engaging and seamless self-service experience, allowing them to interact with us online for a variety of services."}, {"path": "tedlium_13680.wav", "duration": 10.14, "text": "Spending for capital expenditures was higher during the second quarter due to timing as we had relatively light capital spending during the first quarter."}, {"path": "tedlium_13681.wav", "duration": 10.14, "text": "The process is actively moving forward and we will evaluate all options thoughtfully and carefully with the support of our financial and legal advisers."}, {"path": "tedlium_13682.wav", "duration": 10.14, "text": "but that's due to this access program. So is it fair to say that the numbers are coming down, but the number of patients you expect to be on Eversense actually increased compared to your prior guidance?"}, {"path": "tedlium_13683.wav", "duration": 10.14, "text": "I would hazard to guess that most of them had something. They probably had a cash management solution, which is a more rudimentary version of full treasury management."}, {"path": "tedlium_13684.wav", "duration": 10.14, "text": "up to this point, we've only competed basically in genotype-1. And so there's a big opportunity for us to be able to compete in the other genotypes going forward."}, {"path": "tedlium_13685.wav", "duration": 10.14, "text": "as well as the opportunity for nursing and healthcare education more broadly and we are pleased by the progress the team at HCN is making to further strengthen the institution for bright future."}, {"path": "tedlium_13686.wav", "duration": 10.14, "text": "as it is a very important part of our business from a strategic perspective. But we have had outsourcing events that will occur all the way through July."}, {"path": "tedlium_13687.wav", "duration": 10.14, "text": "With these improvements combined with a better aligned sales structure, we are now better positioned to grow share across all of our business lines."}, {"path": "tedlium_13688.wav", "duration": 10.14, "text": "that is not affected by the change in standards. We continue polishing the IFRS 9 accounting model for our loan portfolios. I can share though that"}, {"path": "tedlium_13689.wav", "duration": 10.14, "text": "This excludes the impact from any restructuring costs and assumes an annual effective tax rate of 31%. I'll now turn the call over to Sam Thomas."}, {"path": "tedlium_13690.wav", "duration": 10.14, "text": "There'll have to be some build-outs if we're going to -- or once we move into full development, but there's enough adequate infrastructure space right now for us to continue drilling"}, {"path": "tedlium_13691.wav", "duration": 10.14, "text": "disciplined capital recycling combined with carefully managed operating expenses, a strong balance sheet and a very highly preleased development pipeline"}, {"path": "tedlium_13692.wav", "duration": 10.14, "text": "that we think really will allow us to grow and get the best out of what we're doing. And a lot of what we're seeing with inventory and what's coming through right now, I think, speaks to and comes from"}, {"path": "tedlium_13693.wav", "duration": 10.14, "text": "we are increasingly more confident in our ability to deliver greater consistency, holistic growth and a more predictable profitability over the long term."}, {"path": "tedlium_13694.wav", "duration": 10.14, "text": "that currently include a wide range of stores and formats. Overall, we want our stores to make positive lasting impressions on guests and the neighborhoods we serve."}, {"path": "tedlium_13695.wav", "duration": 10.14, "text": "sort of constant word is, is that the appropriate target to think about? Or do you think there is still some basis for it to move gradually modestly higher?"}, {"path": "tedlium_13696.wav", "duration": 10.14, "text": "So as we think about the future -- and this is our view, but as we think about the future, the disintermediation is going to occur primarily in the skilled nursing"}, {"path": "tedlium_13697.wav", "duration": 10.14, "text": "Within this context, we believe we are uniquely positioned, managed and capitalized to meaningfully experience an improving industry environment to the benefit of our shareholders."}, {"path": "tedlium_13698.wav", "duration": 10.14, "text": "Before we get started, I would like to remind everyone that during this call, we will make projections and other forward-looking statements regarding future events or the future financial performance of the company."}, {"path": "tedlium_13699.wav", "duration": 10.14, "text": "to the millions of institutions around the world, helping them to drive digital transformation to increase effectiveness and have impact on their missions to drive outcomes."}, {"path": "tedlium_13700.wav", "duration": 10.14, "text": "but also quantify the value of improving their performance and refer them to specific tools inside of the Raiser's Edge NXT to drive growth."}, {"path": "tedlium_13701.wav", "duration": 10.14, "text": "We expect over the medium term that these investments will result in savings within the business units. And over time, we will reduce this to more normal levels."}, {"path": "tedlium_13702.wav", "duration": 10.14, "text": "they clearly have intentions to continue to address the aging fleets -- trailer fleets that they have, they have excessively aged equipment."}, {"path": "tedlium_13703.wav", "duration": 10.14, "text": "Now turning to a review of our outlook for fiscal year 2016, which we introduced in our press release on March 7. Other than the impact"}, {"path": "tedlium_13704.wav", "duration": 10.14, "text": "we expect in the second half that conditions will probably be similar to the first half although, as Stephen noted, we are seeing green shoots emerge in that segment."}, {"path": "tedlium_13705.wav", "duration": 10.14, "text": "But what we can see today, we hence expect to be able to pay a dividend in line with the existing dividend policy for this financial year."}, {"path": "tedlium_13706.wav", "duration": 10.14, "text": "Sure and maybe just one final question, I can squeeze in, on Tricon Housing Partners, I mean the pressure is mostly on the cost side, what we understand and timing related,"}, {"path": "tedlium_13707.wav", "duration": 10.14, "text": "we anticipate corporate costs can be kept at or around these FY '17 levels going forward with the current business mix."}, {"path": "tedlium_13708.wav", "duration": 10.14, "text": "I've been onboard for a little over 3 weeks and have had the good fortune of spending that time listening and learning from our customers, partners and employees."}, {"path": "tedlium_13709.wav", "duration": 10.14, "text": "I believe ServiceNow has the potential to become one of the great enterprise software companies of this era and I'm committed to building an enduring company."}, {"path": "tedlium_13710.wav", "duration": 10.14, "text": "Okay. And then indulging me with just one more because you talked about a couple of new units coming on in, I believe the Middle East and Africa and"}, {"path": "tedlium_13711.wav", "duration": 10.14, "text": "oftentimes or sometimes, these customers do not allow us to work at a profit. But"}, {"path": "tedlium_13712.wav", "duration": 10.14, "text": "Our risk-averse approach compares favorably to the highly competitive market for middle market leverage loans where business development companies face loosening covenants and compressed lending spreads. And"}, {"path": "tedlium_13713.wav", "duration": 10.14, "text": "take, that was probably not sufficient in order to hold revenues, so that would basically lead to the sales decline."}, {"path": "tedlium_13714.wav", "duration": 10.14, "text": "So I'm just trying to think about -- I understand the potential of the cross-selling with the platform, but you will be"}, {"path": "tedlium_13715.wav", "duration": 10.14, "text": "I think under very difficult circumstances, our teams in Illinois have done a very good job maximizing profitability and being efficient servicing customers. So"}, {"path": "tedlium_13716.wav", "duration": 10.14, "text": "As other large leasing companies begin to look and act more alike, our strategic positioning is improving, as I believe we occupy an essential, growing and profitable role in the market."}, {"path": "tedlium_13717.wav", "duration": 10.14, "text": "We're going to continue to invest in our people and businesses to enhance our customer propositions to improve our customer's experiences and to deliver efficiencies for the group."}, {"path": "tedlium_13718.wav", "duration": 10.14, "text": "Commodities, freight and wages are all rising. To date, however, the number of our suppliers who have raised their list prices"}, {"path": "tedlium_13719.wav", "duration": 10.14, "text": "It also means engaging and supporting communities where we live and work to find new solutions and contribute to the long-term sustainability of our environment."}, {"path": "tedlium_13720.wav", "duration": 10.14, "text": "and I'm sure you're monitoring cyberattacks or attempts to breach your systems. Can you comment if you've seen any increase in that over the last year and how you think about that one going forward?"}, {"path": "tedlium_13721.wav", "duration": 10.14, "text": "in our centers. And there are a handful of locations where we're talking to them about proactively taking space back because we know the tenant demand and we can execute on it ourselves. But"}, {"path": "tedlium_13722.wav", "duration": 10.14, "text": "acknowledging also minority shareholders, and especially in the ability to grow and to create value to all shareholders."}, {"path": "tedlium_13723.wav", "duration": 10.14, "text": "Our larger life insurance licensed sales force as well as productivity that was at the high end of our historical range drove the strong growth in issued policies in the fourth quarter."}, {"path": "tedlium_13724.wav", "duration": 10.14, "text": "And then we'll see whether the GDP trend the first few decimals that we've seen moving in the right direction, be it in Europe or in other parts of the world,"}, {"path": "tedlium_13725.wav", "duration": 10.14, "text": "Flavors and fragrances are consumed every day around the world, and they are an essential part of successful consumer products for our clients. I"}, {"path": "tedlium_13726.wav", "duration": 10.14, "text": "Rest assured that our allocation of capital will be accomplished in a characteristically disciplined fashion that our track record demonstrates and that you have come to expect from us."}, {"path": "tedlium_13727.wav", "duration": 10.14, "text": "With important recent changes, we believe we can quickly get back to performance levels that we've already demonstrated we can achieve over several previous quarters."}, {"path": "tedlium_13728.wav", "duration": 10.14, "text": "We also rolled out Pixel Custom Audiences in December, which allows advertisers to reach audiences based on actions such as visiting their site."}, {"path": "tedlium_13729.wav", "duration": 10.14, "text": "A number of parties have already been contacted and others who saw the announcement have contacted us, and we are pleased by the level of interest, thus far."}, {"path": "tedlium_13730.wav", "duration": 10.14, "text": "So they have come in with their own vision and they are in the process of executing on that. But it is absolutely fair to say, for the most part,"}, {"path": "tedlium_13731.wav", "duration": 10.14, "text": "and we saw a value proposition, we would do that. We would step in and do it. We've looked at one and maybe others, I don't know, but I do know that we would be open to that."}, {"path": "tedlium_13732.wav", "duration": 10.14, "text": "We have a tremendous opportunity to create value for all of our stakeholders, and we intend with full force to make the most of it."}, {"path": "tedlium_13733.wav", "duration": 10.14, "text": "Composites is a newer technology we're investing in, but it's not, of course, at the expense of other proven areas where we've excelled for years like the inks market."}, {"path": "tedlium_13734.wav", "duration": 10.14, "text": "Remember also that PI revenue can fluctuate from quarter-to-quarter, which can impact either to the upside or downside what we would normally view as a quarterly run rate."}, {"path": "tedlium_13735.wav", "duration": 10.14, "text": "to some of those European affiliates in the second half of this year and that would be a significant driver of our second half revenue uptick."}, {"path": "tedlium_13736.wav", "duration": 10.14, "text": "different products. Now there's preferences, okay. Obviously, we'd like to be a little bit more heavy in the like the aluminum plate business in the Southeastern market."}, {"path": "tedlium_13737.wav", "duration": 10.14, "text": "network as well as our digital tools to make sure that we're winning at least our fair share, if not more of the business in India as it grows,"}, {"path": "tedlium_13738.wav", "duration": 10.14, "text": "We expect that client migrations to the new systems will begin by the end of full year '18. In moving our European clients to VisaNet, we can provide enhanced network"}, {"path": "tedlium_13739.wav", "duration": 10.14, "text": "mixed bag of activity around the industry and I think not necessarily the most user-friendly thing for consumers because there are so many options."}, {"path": "tedlium_13740.wav", "duration": 10.14, "text": "bonuses out in the first quarter of each year as well. So those are probably some of the items that really drive some of the timing, Steve. But"}, {"path": "tedlium_13741.wav", "duration": 10.14, "text": "you're able to double capacity. What time frame will you be able to double sales with the double of equipment?"}, {"path": "tedlium_13742.wav", "duration": 10.14, "text": "continued really excellent execution relative to our march towards the 10% target, I'd say we ended the year pretty much in line"}, {"path": "tedlium_13743.wav", "duration": 10.14, "text": "We continue to review the best opportunities to utilize our cash. While also keeping in mind that we are in a cyclical industry."}, {"path": "tedlium_13744.wav", "duration": 10.1399375, "text": "and balancing delivery of community strategy with delivering attractive returns on investment. So in conclusion,"}, {"path": "tedlium_13745.wav", "duration": 10.11, "text": "on the Refinish and Industrial side of the business. But we expect that path upward not to be a sharp bounce back but rather a gradual improvement in the best case."}, {"path": "tedlium_13746.wav", "duration": 10.11, "text": "before the heat of the day sets in, in hopes of generating some additional extra visits early in the morning rather than losing the businesses completely."}, {"path": "tedlium_13747.wav", "duration": 10.11, "text": "Prospectively, our lending business had a lot of other intrinsic things that prospectively can bring value down the road to public shareholders."}, {"path": "tedlium_13748.wav", "duration": 10.11, "text": "Two. Enterprises increasingly see outsourcing as a means of increasing their pace of innovation and supporting their strategic initiatives."}, {"path": "tedlium_13749.wav", "duration": 10.11, "text": "it should be clear that the intention is that the investments in Uttam Galva will be a part of the joint venture and funded by the joint venture."}, {"path": "tedlium_13750.wav", "duration": 10.11, "text": "Our purpose is to make a difference in the moments that matter and create value for our clients, our colleagues, our shareholders and the broader community."}, {"path": "tedlium_13751.wav", "duration": 10.11, "text": "So in summary, standing in stark contrast for the cyclical challenges that we have to navigate during the past year, the tide seems to have turned."}, {"path": "tedlium_13752.wav", "duration": 10.11, "text": "We are excited for this opportunity to report the financial results for the fourth quarter of 2017, which represents the first full quarter of the combined Knight and Swift entity."}, {"path": "tedlium_13753.wav", "duration": 10.11, "text": "How do we get a conviction to, in fact, feel very confident about making an investment in today's world? Prices are high, and therefore, we bring to bear"}, {"path": "tedlium_13754.wav", "duration": 10.11, "text": "catastrophe claims environment, and that does boost reserve releases in the classes of business, such as property reinsurance. And Marine"}, {"path": "tedlium_13755.wav", "duration": 10.11, "text": "offsetting quite a bit of material cost increase. I would say probably net-net, probably a little bit less than we would have liked, but the net impact after"}, {"path": "tedlium_13756.wav", "duration": 10.11, "text": "work on and off for our competitors. But if you look at the finished good producers for our customers who actually use our products, the regulations there are also on and off."}, {"path": "tedlium_13757.wav", "duration": 10.11, "text": "has been uninspiring for us in terms of deploying our capital. And so as a result of that, we want to make sure that if we're trading out that we don't have much of a bid-ask"}, {"path": "tedlium_13758.wav", "duration": 10.11, "text": "just didn't seem to pencil at that time. That doesn't mean we haven't closed the door to ideas. It's just that based on the options that we had at the time didn't seem to make much sense."}, {"path": "tedlium_13759.wav", "duration": 10.11, "text": "Now I'll turn the call over to David Finkelstein. Thank you, Kevin. As all are aware, the first quarter proved once again to be a challenging environment for investors"}, {"path": "tedlium_13760.wav", "duration": 10.11, "text": "We have already learned through our acquisition of Entrust and we've seen that expanding our reach and our portfolio of goods and services is a main driver of growth."}, {"path": "tedlium_13761.wav", "duration": 10.11, "text": "is quite comparable to what we have seen in Switzerland a couple of years ago. And we have a very solid blueprint"}, {"path": "tedlium_13762.wav", "duration": 10.11, "text": "So let's say ordinarily if you had grown at 15% if you start growing only at about that rate that is the time when you cut down and you come back to the normal rate."}, {"path": "tedlium_13763.wav", "duration": 10.11, "text": "Obviously, you're having a terrific year, and I ask the question obviously in the context that the stock has performed extremely well."}, {"path": "tedlium_13764.wav", "duration": 10.11, "text": "Got it. And one other question about the liquid formulation. I was just wondering if you could mention some of the other ingredients that are included"}, {"path": "tedlium_13765.wav", "duration": 10.11, "text": "for a certain occasion or an electronic cigarette or vaping unit as another occasion. So we want to be a one-stop shop for all the occasions that they have."}, {"path": "tedlium_13766.wav", "duration": 10.11, "text": "It has been almost assumed and taken for granted in recent times, but I think people are, again, realizing and remembering all the reasons why it's true. And"}, {"path": "tedlium_13767.wav", "duration": 10.11, "text": "Laboratory information systems are extremely important to smooth operations and efficiency and we are integrating 2 similar but different lab systems."}, {"path": "tedlium_13768.wav", "duration": 10.11, "text": "We expect all of our production will be exported via pipeline in the future and look forward to increase net revenue and the further reduction in operating expenses."}, {"path": "tedlium_13769.wav", "duration": 10.11, "text": "Our core businesses are performing well. We're excited about where the new international opportunities will take us. But ultimately, our commitment remains the same,"}, {"path": "tedlium_13770.wav", "duration": 10.11, "text": "In December, we formed a joint venture with a partner, who will selectively source and manage outdoor advertising assets for us in certain European markets."}, {"path": "tedlium_13771.wav", "duration": 10.11, "text": "and the fluctuation in currency exchange rates in international markets we sell into may cause material differences between our expectations and actual results."}, {"path": "tedlium_13772.wav", "duration": 10.11, "text": "I firmly believe that our operations teams are better focused in executing at a consistently higher level than in the recent past."}, {"path": "tedlium_13773.wav", "duration": 10.11, "text": "results in a follow-on product development, and then generally results in the sale of those products. And this HiRIS project is"}, {"path": "tedlium_13774.wav", "duration": 10.11, "text": "whether this is a new base level that we should kind of think about numbers moving up off of. Just not sure I really have a good handle on the progression of the business there."}, {"path": "tedlium_13775.wav", "duration": 10.11, "text": "I wouldn't say I have an exact idea what the percentage would be, but we really want to emphasize aerospace because we believe it's got a longer run. It's got a little bit more"}, {"path": "tedlium_13776.wav", "duration": 10.11, "text": "We remain excited about having this additional brand as part of our platform and our overall multibrand approach to meet customer demand and capture a larger portion of the weight-loss market."}, {"path": "tedlium_13777.wav", "duration": 10.11, "text": "turn out right in terms of your financial outlook, it would mean that your financial ratios are that strong that you have more firepower to make bigger acquisitions."}, {"path": "tedlium_13778.wav", "duration": 10.11, "text": "hopefully, expose people to not only ReposiTrak but the Park City legacy side. But can you give us some metrics on what type of traffic patterns you're seeing?"}, {"path": "tedlium_13779.wav", "duration": 10.11, "text": "and other products and services that improve credit decision-making, automate cashier operations and enhance patron marketing activities for gaming establishments."}, {"path": "tedlium_13780.wav", "duration": 10.11, "text": "even operate under the simplest regime or the simpler regime that may also have competitive prices. As we see"}, {"path": "tedlium_13781.wav", "duration": 10.11, "text": "Sure. I'm going to turn most of that over to Brad. Only to say that what we've seen in the international markets as part of what gives us confidence in putting that financial goal out there."}, {"path": "tedlium_13782.wav", "duration": 10.11, "text": "Before getting into the specifics, it is fair to say that notable productivity is much harder to drive in a no-growth environment, but it should have been better than it was."}, {"path": "tedlium_13783.wav", "duration": 10.11, "text": "First half of this year, there were 24. And Jack mentioned earlier that we have been awarded a number of these projects, so we're going to see that start to roll"}, {"path": "tedlium_13784.wav", "duration": 10.11, "text": "we're seeing opportunities to do even more. So success begets success in this market, and we're seeing a lot of opportunity both"}, {"path": "tedlium_13785.wav", "duration": 10.11, "text": "from our variable insurance product and sub-advised funds. Those flows have impacted nearly all investment objectives and are illustrated in the flow graphs by investment objective."}, {"path": "tedlium_13786.wav", "duration": 10.11, "text": "As an integral part of this effort, we're devoting time and resources towards deepening our bench of talent with clear succession planning throughout the organization."}, {"path": "tedlium_13787.wav", "duration": 10.11, "text": "at a market leader and we won an award for an intelligent power module from a leading Chinese air conditioner supplier."}, {"path": "tedlium_13788.wav", "duration": 10.11, "text": "So I can't really comment on what the levers are, other than by referring to what we've seen other companies doing in similar situations. So"}, {"path": "tedlium_13789.wav", "duration": 10.11, "text": "And we treated it as one relationship with the same guy running both companies and the same executive team and operators and everything else throughout the company."}, {"path": "tedlium_13790.wav", "duration": 10.11, "text": "we remain committed to expanding business throughout Southeast Asia, with products supplied mostly from our Indonesian plant."}, {"path": "tedlium_13791.wav", "duration": 10.11, "text": "We will be the leader in the delivery of affordable books and course materials and driving students' academic success. Looking ahead,"}, {"path": "tedlium_13792.wav", "duration": 10.11, "text": "With that, I will turn the call over to Max Roberts to discuss the compelling strategic value of this transaction in more detail as well as our results for the quarter. Max?"}, {"path": "tedlium_13793.wav", "duration": 10.11, "text": "to New York Harbor less than a bit as well. Can you talk about those dynamics a little bit and whether they're having any impact, at least in the near-term, on online space,"}, {"path": "tedlium_13794.wav", "duration": 10.11, "text": "And when you buy a very large portfolio at a discount to NAV, and you hold it through a rising multiple environment, you find yourself in a good position to exit and generate gains, which is what we've done. But"}, {"path": "tedlium_13795.wav", "duration": 10.11, "text": "And then separately, you mentioned the Midwest and Southeast as the best-performing regions. I was wondering, if you're seeing any sort of benefit"}, {"path": "tedlium_13796.wav", "duration": 10.11, "text": "As a reminder, we increased our national minimum wage in the second quarter of last year. So we have to round that in the first and a little bit of the second quarter."}, {"path": "tedlium_13797.wav", "duration": 10.11, "text": "which is in line with our model and our expectations and, quite frankly, our experience in the first quarter, the first full quarter following an integration."}, {"path": "tedlium_13798.wav", "duration": 10.11, "text": "Look, I think Roger and I have come to the conclusion that we want to grow, and we want to grow both organically and through acquisitions and new store openings."}, {"path": "tedlium_13799.wav", "duration": 10.11, "text": "Their people, their culture and their commitment to quality service are all attributes that we value when we look for the right company to add to our team."}, {"path": "tedlium_13800.wav", "duration": 10.11, "text": "This class is entirely built of the refreshed concept. So we saw an immediate tick up in '17 with the refreshed concept."}, {"path": "tedlium_13801.wav", "duration": 10.11, "text": "and some of the higher grade stopes. And there was some tricky geometry there on the dip of the vein and trying to capture all the recovery"}, {"path": "tedlium_13802.wav", "duration": 10.11, "text": "last year and for the quarter. Should we expect that to be somewhat flattish this year? Does it get depressed as you have to still"}, {"path": "tedlium_13803.wav", "duration": 10.11, "text": "We want to have fewer people in the company that support and we want to have more people directly linked to the output and being closer to the market."}, {"path": "tedlium_13804.wav", "duration": 10.11, "text": "in a way, we try to achieve a business model, and run a business model that is macro independent in a way, meaning that changes in interest rates"}, {"path": "tedlium_13805.wav", "duration": 10.11, "text": "we will be able to shift the sales mix towards more recurring revenue, which in turn will drive improved growth rates and higher margins."}, {"path": "tedlium_13806.wav", "duration": 10.11, "text": "while we will continue to work hard to improve the percentage of that, that we can fulfill from our stores, whether Ship from Store or Buy Online, Pick Up In Store,"}, {"path": "tedlium_13807.wav", "duration": 10.11, "text": "Our promotions emphasized our industry-leading standards and affordable pricing. Our marketing efforts supported the standards and pricing aspect of our promotional offers"}, {"path": "tedlium_13808.wav", "duration": 10.11, "text": "given how well you've done -- repositioning the business mix, et cetera, Gen10 in '18, it would seem that there would even be a little bit more lift behind that. So"}, {"path": "tedlium_13809.wav", "duration": 10.11, "text": "As we've always been developing business, and as I have learned from my predecessors that, as long as you have good ideas,"}, {"path": "tedlium_13810.wav", "duration": 10.11, "text": "I think the opportunity is big. And as we continue to drive integration and continue to move customers to our cloud"}, {"path": "tedlium_13811.wav", "duration": 10.11, "text": "Please note that our comments today contain forward-looking statements subject to the risks and uncertainties that could cause actual results to differ materially from those projected."}, {"path": "tedlium_13812.wav", "duration": 10.11, "text": "Our read of the rules is that there will be a continued effort on enhancing support for consumers, including improving health care delivery and quality of care,"}, {"path": "tedlium_13813.wav", "duration": 10.11, "text": "Within the CAP segment, we continue to expect operating margin to be down moderately in fiscal 2018 relative to last year due to the consolidation of East China."}, {"path": "tedlium_13814.wav", "duration": 10.11, "text": "We believe this is a unique and highly compelling value proposition to our large existing and new SME customers in Australia and New Zealand."}, {"path": "tedlium_13815.wav", "duration": 10.11, "text": "First, telling inspiring stories. The Keep Walking campaign evolves around a constant truth that progress can be a force for good."}, {"path": "tedlium_13816.wav", "duration": 10.11, "text": "guiding towards a provision being down a little bit year-over-year. Is that just ongoing lingering strength from the end of the year and would you anticipate it sort of stabilizing"}, {"path": "tedlium_13817.wav", "duration": 10.11, "text": "within the study as a whole, there has never been a cardiac result that has resulted in the data and safety monitoring board instructing that anyone change a dose"}, {"path": "tedlium_13818.wav", "duration": 10.11, "text": "As we look at the Vitamin World, the number one thing we'll look at in terms of cost is making sure that there's no stranded cost as we exit the business following the transition services agreement."}, {"path": "tedlium_13819.wav", "duration": 10.11, "text": "our plan is to first solidify our business platform, then use the international business to accelerate growth, and then pursue sustainable income growth."}, {"path": "tedlium_13820.wav", "duration": 10.11, "text": "and all of this growth is now coming from the mobile business. In this quarter, we have moved financial services down to other units as of this quarter."}, {"path": "tedlium_13821.wav", "duration": 10.11, "text": "relatively low the second quarter. We think it's going to be strong in the second half of the year. It's back more to -- you need to look at it in 6-month buckets. There are just too many things that"}, {"path": "tedlium_13822.wav", "duration": 10.11, "text": "I understand win rate was lower, but was that out of the normal range? Or is that something that you typically would point out if it were?"}, {"path": "tedlium_13823.wav", "duration": 10.11, "text": "And we're seeing some good success there. So I'm hoping, over the next couple of quarters, there's some real solid bookings that we're able to bring in from this new market."}, {"path": "tedlium_13824.wav", "duration": 10.11, "text": "In addition, we'll be transforming our website, mobile offering and digital marketing capabilities. We look forward to updating you about our progress in the future."}, {"path": "tedlium_13825.wav", "duration": 10.11, "text": "And we are still working with them on the diagnosis and analysis of what's going to be the final action plan. Hopefully, we'll have something"}, {"path": "tedlium_13826.wav", "duration": 10.11, "text": "the trends -- well, clearly the second quarter growth is also affected by the different timing of the Easter."}, {"path": "tedlium_13827.wav", "duration": 10.11, "text": "We hope it will be a harbinger of relatively fast regulatory approval of future assays now in our pipeline since we believe"}, {"path": "tedlium_13828.wav", "duration": 10.11, "text": "Now we are in the hardest point in negotiations with our Manitoba Union. We hope to reach a mutually beneficial agreement, but we need to be competitive in the market."}, {"path": "tedlium_13829.wav", "duration": 10.11, "text": "better service levels from our warehouses to our stores, improved store execution, creative merchandising and our ad campaign are worth calling out here."}, {"path": "tedlium_13830.wav", "duration": 10.11, "text": "We will also continue to look for opportunities to reduce our operating expenses while not impacting the investments to our sales team and our marketing spend."}, {"path": "tedlium_13831.wav", "duration": 10.11, "text": "The income tax rate in the quarter was a net benefit of 0.3%. This benefit was the result of the lower net income and discrete benefits,"}, {"path": "tedlium_13832.wav", "duration": 10.11, "text": "Thanks, Amy. Good morning, and thank you for your interest in Williams and Williams Partners. Yesterday afternoon, we released our financial results and posted several important items on our website."}, {"path": "tedlium_13833.wav", "duration": 10.11, "text": "And I wish to recognize not only the club personnel who make good things happen on a daily basis, but also the efforts of our merchandising and distribution teams who skillfully work"}, {"path": "tedlium_13834.wav", "duration": 10.11, "text": "In the absence of those 2 items, net effective spread would have shown sort of that steady Eddie performance that you've seen trend over the last 3 quarters."}, {"path": "tedlium_13835.wav", "duration": 10.11, "text": "We and our partner Janssen are very excited about the progress in the 1473 program and its potential to transform the treatment of gastrointestinal diseases."}, {"path": "tedlium_13836.wav", "duration": 10.11, "text": "We maintain our cash investments and capital structure so that we are able to meet short and long-term obligations for our business"}, {"path": "tedlium_13837.wav", "duration": 10.11, "text": "meeting with intermediaries and referral sources, and that just really increased the deal volume that's coming in. So we expect that to continue to translate to new originations over time."}, {"path": "tedlium_13838.wav", "duration": 10.11, "text": "On that note, let me give you a quick update on Triangle Rewards. Our early success demonstrates that our customers are engaging with us across all banners."}, {"path": "tedlium_13839.wav", "duration": 10.11, "text": "mostly in the EU that you're trying to divest and there hasn't been any more talk about that since then. So what's the status on that?"}, {"path": "tedlium_13840.wav", "duration": 10.11, "text": "This liquidity provides us flexibility in terms of the timing for when we issue new debt, we expect to complete the debt refinancing prior to the end of the second quarter. However,"}, {"path": "tedlium_13841.wav", "duration": 10.11, "text": "trailer needs next year. Can you give us a little bit more context there, just in light of a lot of these truckload reports where CapEx has been cut"}, {"path": "tedlium_13842.wav", "duration": 10.11, "text": "The depth of our software position and the strength of our ecosystem that allowed us to continue to grow market share in the test and measurement market."}, {"path": "tedlium_13843.wav", "duration": 10.11, "text": "I would say in the first and second quarter, probably a little bit more contraction there. A lot of that contraction will come from the liquidity, the additional liquidity that's been put on the books."}, {"path": "tedlium_13844.wav", "duration": 10.11, "text": "but also remember that many of the initiatives we have with the commercial payers are encouraging total joint procedures to be done in an ambulatory setting now."}, {"path": "tedlium_13845.wav", "duration": 10.11, "text": "Our strong capital position and ability to generate organic capital has supported our ability to increase dividend growth ahead of HEPS growth."}, {"path": "tedlium_13846.wav", "duration": 10.11, "text": "that completed itself. It didn't repeat as you can see in the third quarter because the third quarter bounced back to our expectations. They're actually slightly better than our expectations around profitability."}, {"path": "tedlium_13847.wav", "duration": 10.11, "text": "I'd like to move to Slide 3. And I'd like to ask Patrick Moriarty to take us through the financial highlights of the quarter. Pat, maybe you could take us through that?"}, {"path": "tedlium_13848.wav", "duration": 10.11, "text": "And the frustration with that for all of us is that the time it takes to"}, {"path": "tedlium_13849.wav", "duration": 10.11, "text": "We are committed to our obligations on these projects and supporting our customers, the owners and getting this very important power to the country of South Africa."}, {"path": "tedlium_13850.wav", "duration": 10.11, "text": "and we feel like the alignment of interest there between employees and the shareholders is a meaningful driver of our continued success."}, {"path": "tedlium_13851.wav", "duration": 10.11, "text": "This dealership is now branded as Lazydays of Minneapolis. Our Minnesota team is talented, and we are excited to welcome them into the Lazydays family."}, {"path": "tedlium_13852.wav", "duration": 10.11, "text": "Thank you. Ladies and gentlemen, the conference has concluded. Thank you for attending today's presentation. At this time, you may disconnect your lines."}, {"path": "tedlium_13853.wav", "duration": 10.11, "text": "You mentioned, I think, you were going to relook at the strategy in the spring. Is that because you're just doing planning for next year or you're anticipating interest rate increases coming in the spring?"}, {"path": "tedlium_13854.wav", "duration": 10.11, "text": "We have grown the business double digit over the past few years and increased our already high share by more than 250 basis points."}, {"path": "tedlium_13855.wav", "duration": 10.11, "text": "And we learned a lot from that. As we rebound over the -- from the high turnover of last year and get our store associates trained,"}, {"path": "tedlium_13856.wav", "duration": 10.11, "text": "This kind of perseverance is not a bad characteristic, but we have to be aware that there is a life cycle to each product, business and business model."}, {"path": "tedlium_13857.wav", "duration": 10.11, "text": "and that the results of our integration process provides meaningful and positive results that benefit our shareholders, customers, employees and communities alike."}, {"path": "tedlium_13858.wav", "duration": 10.11, "text": "We continue to be optimistic about the opportunities in front of us and believe that our 1 billion tons of aggregate reserves located in strong markets across the company"}, {"path": "tedlium_13859.wav", "duration": 10.11, "text": "We believe we have a very strong team with the skills, experience and commitment to developing a curative combination regimen for HBV patients."}, {"path": "tedlium_13860.wav", "duration": 10.11, "text": "In discussing our first quarter 2017, I will focus on the main aspects that have impacted our results, and I will make reference to the earnings call presentation"}, {"path": "tedlium_13861.wav", "duration": 10.11, "text": "We've got a great opportunity to continue to work with our customers to drive more product in through Vancouver"}, {"path": "tedlium_13862.wav", "duration": 10.11, "text": "frankly, from an internal company perspective, that's the last way I want to look at the business and it's the last way I want our employees to look at the business. I don't want"}, {"path": "tedlium_13863.wav", "duration": 10.11, "text": "similar to the way we run the jumbo business, it's constantly looking at the market and trying to identify efficiencies and where other buyers are bidding this paper versus where we can create"}, {"path": "tedlium_13864.wav", "duration": 10.11, "text": "is what it was meant for and what we will still use it for in the future. And so that hasn't changed much. Obviously, not getting this deal through is a bit of a setback,"}, {"path": "tedlium_13865.wav", "duration": 10.11, "text": "Now Connected 4 Growth brings, on the one hand, more resilience to continue to perform competitively despite the challenges, and you've seen us do that again once more"}, {"path": "tedlium_13866.wav", "duration": 10.11, "text": "Sure. So let me take the first one. I mean, if you were to say that our options were broadly to go really deep in accounts or to go and get a lot of accounts,"}, {"path": "tedlium_13867.wav", "duration": 10.11, "text": "With that, I'll turn the call over to Brian. Thanks, Irene. We had solid financial results for the second quarter and the first half of the year."}, {"path": "tedlium_13868.wav", "duration": 10.11, "text": "In the Material Processing side, which is one of our growth areas that we're concentrating on, there was slight negative growth in the quarter,"}, {"path": "tedlium_13869.wav", "duration": 10.11, "text": "or firms that have raised a lot of money, particularly on the private side, some of which are putting it out at a very rapid clip, and this makes us more cautious."}, {"path": "tedlium_13870.wav", "duration": 10.11, "text": "there are always some borrowers who prefer to have a lender who gives them certainty, who understands their business, who understands that"}, {"path": "tedlium_13871.wav", "duration": 10.11, "text": "perhaps we will see the fully loaded to go down by 40, 50 basis points in the following quarters because of this reason."}, {"path": "tedlium_13872.wav", "duration": 10.11, "text": "the official launch partner of Funco's new League of Legend licensed products. So this is the first time that League of Legends by Riot Games is going to put physical products into retail. So I think we're finding"}, {"path": "tedlium_13873.wav", "duration": 10.11, "text": "I'm very happy with the achievements on our growth strategy. We signed a license agreement with Star Trek at Movie Park in Germany."}, {"path": "tedlium_13874.wav", "duration": 10.11, "text": "couple of things. First, as you look forward, you're certainly not anticipating that the market is changing, getting weaker or anything like that, would be my first question."}, {"path": "tedlium_13875.wav", "duration": 10.11, "text": "them, especially the ones that were not in the pipeline when we acquired Sensile. But there are a couple of very interesting projects we are actually discussing at the moment."}, {"path": "tedlium_13876.wav", "duration": 10.11, "text": "And sales are down there absolutely. They were at a pretty high level in terms of the absolute dollars. So they're coming off a pretty high level, which is the good news in the bad news"}, {"path": "tedlium_13877.wav", "duration": 10.11, "text": "because of the investments we've made, these automated facilities that Henry talked about. We have 2 major hubs coming online next year and a couple more"}, {"path": "tedlium_13878.wav", "duration": 10.11, "text": "The remaining balance relates to restructuring expenses in Europe and Americas and environmental expenses for a plant that was previously owned."}, {"path": "tedlium_13879.wav", "duration": 10.11, "text": "Yes, I just felt -- I thought in the prepared remarks, there were some comments about additional bonus or expense here in the fourth quarter and I just wasn't sure if that was -- if you had a number for that."}, {"path": "tedlium_13880.wav", "duration": 10.11, "text": "our new TMS. So the endgame of this is to provide our operating systems where we have visibility across the network,"}, {"path": "tedlium_13881.wav", "duration": 10.11, "text": "We're evaluating whether it's best to finance our equipment purchases with leases or debt. We will also be investing in technology projects."}, {"path": "tedlium_13882.wav", "duration": 10.11, "text": "But we're working on it. Is there a mechanism that you can see where YouTube or any other of the OTT players can apply pressure to the networks to make them do"}, {"path": "tedlium_13883.wav", "duration": 10.11, "text": "From what I've been told by our team and our customers and our vendors is, really we're probably not going to see any uptick until sometime late next year."}, {"path": "tedlium_13884.wav", "duration": 10.11, "text": "of that range. And the range of uses is what I alluded to earlier in the call. We still are seeing demand from best-in-class fitness,"}, {"path": "tedlium_13885.wav", "duration": 10.11, "text": "Well, I think the markets are already now supporting our transaction because they have clearly undervalued the other proposal, the interloper proposal"}, {"path": "tedlium_13886.wav", "duration": 10.11, "text": "Please note the cautionary language regarding forward-looking statements contained in the press release. This same language applies to statements made in today's conference call."}, {"path": "tedlium_13887.wav", "duration": 10.11, "text": "What is happening in that case? The decision process is more complex, because it's related to transformation agent for that company. And the second reason"}, {"path": "tedlium_13888.wav", "duration": 10.11, "text": "We began selling this in limited quantities during April time frame and have had tremendous interest from customers worldwide."}, {"path": "tedlium_13889.wav", "duration": 10.11, "text": "Finally, I want to take a moment to wish our athletes best of luck at the Olympics. As you know, we are proud supporters of our Canadian Olympic and Paralympic teams,"}, {"path": "tedlium_13890.wav", "duration": 10.11, "text": "More than 3,000 employees took part in the survey, with the goal of benchmarking ourselves objectively against more than 1,000 other companies and organizations"}, {"path": "tedlium_13891.wav", "duration": 10.11, "text": "the different buyers could bring there. And I think as I've mentioned before, we're encouraging each of the buyers to be as creative as they can in that area to"}, {"path": "tedlium_13892.wav", "duration": 10.11, "text": "We expect to sign additional contracts in the fourth quarter for fabrication work that includes detailed engineering and materials supply of our proprietary heaters."}, {"path": "tedlium_13893.wav", "duration": 10.11, "text": "results from a lag in passing through higher costs on certain noncontract, high value-added products. We've experienced this in the past when market conditions were similar."}, {"path": "tedlium_13894.wav", "duration": 10.11, "text": "relative to national? Or would you expect international to be one of the strongest growth areas? Or how would you characterize the strongest growth?"}, {"path": "tedlium_13895.wav", "duration": 10.11, "text": "voluntary retirement is wrapped up into that because it has to be factored into the overall amount of labor you have is to increase productivity, so increase really revenue"}, {"path": "tedlium_13896.wav", "duration": 10.11, "text": "A by-product of our promotional activities was that we alienated some of our key professional channel partners that had been so critical to our business for years."}, {"path": "tedlium_13897.wav", "duration": 10.11, "text": "likely -- it's never -- you can never tell at this stage in the year. But this is probably likely to be a slower growth for"}, {"path": "tedlium_13898.wav", "duration": 10.11, "text": "Our customers now have the option to self-serve from the comfort of their homes or anywhere for that matter. We believe this to be a game changer in our industry."}, {"path": "tedlium_13899.wav", "duration": 10.11, "text": "Just as a quick explanation why have we not done it before. In large projects, we had the choice"}, {"path": "tedlium_13900.wav", "duration": 10.11, "text": "Program integrity revenue can vary significantly from quarter-to-quarter, as our work identifies payment issues, which our clients are then able to fix."}, {"path": "tedlium_13901.wav", "duration": 10.11, "text": "we're getting a good number of looks. So I think we've improved our acquisition process over the past year. We're focused on continuing to improve that process."}, {"path": "tedlium_13902.wav", "duration": 10.11, "text": "As we process the metal for a fee without taking ownership of the metal. This provides consistent returns, and although toll processing represents a small portion"}, {"path": "tedlium_13903.wav", "duration": 10.11, "text": "Once again, our operational performance was outstanding despite significant industry-wide challenges that continue to put pressure on metal pricing."}, {"path": "tedlium_13904.wav", "duration": 10.11, "text": "It is important to note that the residential volumes were up low double digits in the quarter. Pricing for the commercial segment continues to get good traction."}, {"path": "tedlium_13905.wav", "duration": 10.1099375, "text": "More robust demand in these categories in addition to continued brand investment and commercial participation will support such expectation."}, {"path": "tedlium_13906.wav", "duration": 10.1099375, "text": "Also of note, in -- the fourth quarter of fiscal year '16 was the first time cross-border growth rates globally hit double digits in almost 3 years."}, {"path": "tedlium_13907.wav", "duration": 10.08, "text": "which we do not control, in order to more than fully fund without dilution our faster growing, high-margin, large and concentrated core market"}, {"path": "tedlium_13908.wav", "duration": 10.08, "text": "We're not just trying to put numbers on the books because in the lending market, the problems always show up 2, 3, 4 years down the road. So I think that"}, {"path": "tedlium_13909.wav", "duration": 10.08, "text": "It is safe to say that our people and our platform are very well-positioned to meet that demand and to deliver the highest level of service in each of the markets we serve."}, {"path": "tedlium_13910.wav", "duration": 10.08, "text": "favorable results in terms of the MTS growth portfolio, and that's an example of a new product introduction and new innovation on data analytics"}, {"path": "tedlium_13911.wav", "duration": 10.08, "text": "To support this positive trend, we plan to expand our reimbursement headcount and efforts to provide additional claims processing education and support."}, {"path": "tedlium_13912.wav", "duration": 10.08, "text": "As we discussed on our last call, we did not anticipate a catch-up effect to emerge in those areas affected by weather events in the third quarter,"}, {"path": "tedlium_13913.wav", "duration": 10.08, "text": "at the time of the merger announcement was to provide an estimate of the improvements we believe we could achieve with the combined efforts of both companies."}, {"path": "tedlium_13914.wav", "duration": 10.08, "text": "it is possible that we may reconsider it, that we will maintain the current level based on the current forecast for now."}, {"path": "tedlium_13915.wav", "duration": 10.08, "text": "The first thing I had observed about this chart is that the dotted red line which shows the composite, the overall rate change on the portfolio, is relatively consistent"}, {"path": "tedlium_13916.wav", "duration": 10.08, "text": "As we have discussed previously, this business can be spiky and project timing can be difficult to predict and mix helped the margin in the quarter more than we expected."}, {"path": "tedlium_13917.wav", "duration": 10.08, "text": "And so to recap, we remain the largest new vehicle retailer in Australasia with a network of strong brands in strategic locations."}, {"path": "tedlium_13918.wav", "duration": 10.08, "text": "Finally, before Vincent goes through the finances and we look at each individual mine, a quick word about our exploration activities."}, {"path": "tedlium_13919.wav", "duration": 10.08, "text": "For PCs, revenue increased over the previous year. Revenue in Japan rose due to growth in enterprise sales."}, {"path": "tedlium_13920.wav", "duration": 10.08, "text": "Orders for our systems engineering business for this fiscal year have exceeded the revenue, so we see this fall in revenue is a temporary phenomenon."}, {"path": "tedlium_13921.wav", "duration": 10.08, "text": "each of those subsidiaries is using a particular billing system that is provided by a relatively small provider."}, {"path": "tedlium_13922.wav", "duration": 10.08, "text": "We used a new data-driven and sophisticated process to assess store performance and more accurately forecast how this will change in the future."}, {"path": "tedlium_13923.wav", "duration": 10.08, "text": "we don't want to give you exactly the figures on that one, but you need to trust us that the order intake in this area has been very solid in Q4 and continue to look very promising also for the running quarter."}, {"path": "tedlium_13924.wav", "duration": 10.08, "text": "rising trailing 12-month renewal rate and based upon the strength of our Every Comp, Everywhere campaign that we launched last fall."}, {"path": "tedlium_13925.wav", "duration": 10.08, "text": "I think the top 2 businesses which are the main engines of the performance of the group at the moment, which were the things we've put under the spotlight externally at last year's Investor Day,"}, {"path": "tedlium_13926.wav", "duration": 10.08, "text": "and many more injector heads as well. Coiled tubing is the only industrial application of steel that pushes steel past its plastic deformation limits while demanding it continue to hold pressure and weight."}, {"path": "tedlium_13927.wav", "duration": 10.08, "text": "we think that's the bigger impact, but we're also very glad they continue to take liquid fuels and will be very relevant to us for a long period of time."}, {"path": "tedlium_13928.wav", "duration": 10.08, "text": "But too often I think people think of this choice between high-quality panels and big datasets as you have to choose one or the other, and we just think that's the wrong way to think about"}, {"path": "tedlium_13929.wav", "duration": 10.08, "text": "Gross margin performance was very strong. Inventory levels have seemingly been managed well. Can you talk about how much more margin profile there is to gain"}, {"path": "tedlium_13930.wav", "duration": 10.08, "text": "through maybe some softness here in the back half of the year then that's something that may come into play. The other thing is relevant to, of course, is the energy side of things. We've done well there"}, {"path": "tedlium_13931.wav", "duration": 10.08, "text": "These savings have concretely manifested themselves this year in the form of being able to optimize 71 branches and reduce the corresponding headcount."}, {"path": "tedlium_13932.wav", "duration": 10.08, "text": "when can you guys start shipping those? Is that what was driving the big backlog increase in the Middle East? Just curious to what you guys could say about that."}, {"path": "tedlium_13933.wav", "duration": 10.08, "text": "by way of HRCT. And -- so we are very excited to see what that looks like compared to placebo. That's"}, {"path": "tedlium_13934.wav", "duration": 10.08, "text": "that we see at a couple of the competitors that have been acquired is there are resumes on The Street that continue to be a good flow of resumes from those companies."}, {"path": "tedlium_13935.wav", "duration": 10.08, "text": "I think the biggest catalyst would be transactions for other network"}, {"path": "tedlium_13936.wav", "duration": 10.08, "text": "We ramped up the investment in Smart Grid technology on our distribution and transmission systems to more quickly detect outages and restore power."}, {"path": "tedlium_13937.wav", "duration": 10.08, "text": "We believe we have appropriately adjusted our cost structure, given the expected sales levels going forward, but we may not see the full benefit until the second quarter."}, {"path": "tedlium_13938.wav", "duration": 10.08, "text": "is because we have a slightly lower exposure to that sector. We're not happy with the results, but certainly, we think we managed it about as well as you could."}, {"path": "tedlium_13939.wav", "duration": 10.08, "text": "I'd like to briefly discuss the key drivers by segment in the fourth quarter and provide some insights into our plans for 2016. Beginning with Aerospace."}, {"path": "tedlium_13940.wav", "duration": 10.08, "text": "On the Games sales side, our E43 cabinet is gaining solid traction with our customers and helping to drive unit sales growth."}, {"path": "tedlium_13941.wav", "duration": 10.08, "text": "such a compelling threat that we need to race to full deployment of click-and-collect across our entire network at the expense of"}, {"path": "tedlium_13942.wav", "duration": 10.08, "text": "top legal offices and we also go to class entities. We have to fight absurd increases. And so we have to demand more"}, {"path": "tedlium_13943.wav", "duration": 10.08, "text": "and we remain very confident that this strength will continue in 2019 during our first full year of launch in these major markets and also as we enter new markets around the world."}, {"path": "tedlium_13944.wav", "duration": 10.08, "text": "and as we have also mentioned the past quarters, this is what they should focus on. We're also seeing good possibilities"}, {"path": "tedlium_13945.wav", "duration": 10.08, "text": "We did see a modest improvement in international retail flows, but that was offset by some institutional redemptions as well as improved U.S. fixed income flows."}, {"path": "tedlium_13946.wav", "duration": 10.08, "text": "We've identified a number of areas where we will intensify the pivot toward subscription. As we assess the pace and impact of the conversion, we will refine and communicate"}, {"path": "tedlium_13947.wav", "duration": 10.08, "text": "mean, it's been more than 18 months that we've seen very, very favorable and even improving trends, I would say. And now what I think you have is a little more stagnating trends."}, {"path": "tedlium_13948.wav", "duration": 10.08, "text": "and most of those are in Southeast Texas, which is the sweet spot or the heartland of our natural gas facilities, including Houston, Corpus Christi and Beaumont."}, {"path": "tedlium_13949.wav", "duration": 10.08, "text": "These agreements are fully enforceable and they provide us with positive downside protection through a downturn in the operating cycle."}, {"path": "tedlium_13950.wav", "duration": 10.08, "text": "Our capital investment plan is focused on strengthening our earnings base, and we will proceed steadily in small increments."}, {"path": "tedlium_13951.wav", "duration": 10.08, "text": "at any time that I've seen in the last 5 years. So on the ground money that you can get very attractive rates of return on"}, {"path": "tedlium_13952.wav", "duration": 10.08, "text": "So you are reactivating the ones that are in the highest quality, the best ready to go and as you reactivate further fleet -- further parts of the fleet, it will be the ones that are need a little bit more work, is that what you are saying?"}, {"path": "tedlium_13953.wav", "duration": 10.08, "text": "in faster-growth submarkets, where we have an opportunity to take advantage of the brand that we have and the commercial organization to be able to drive traction in those spaces."}, {"path": "tedlium_13954.wav", "duration": 10.08, "text": "Mike, in terms of the name, we'll make that decision toward the end of the year after the consolidation is completed."}, {"path": "tedlium_13955.wav", "duration": 10.08, "text": "Because our products are designed to meet the unique retirement savings needs of educators, we are somewhat insulated from broader sales trends in the annuity marketplace."}, {"path": "tedlium_13956.wav", "duration": 10.08, "text": "The underlying auto combined ratio for the quarter included about 1 point of current accident year reserve strengthening related to the elevated loss trends we've been discussing."}, {"path": "tedlium_13957.wav", "duration": 10.08, "text": "future problems as a result of the liquid market and the amount of competitions out there. I think that's an important point that people don't pick up on, and I appreciate that question."}, {"path": "tedlium_13958.wav", "duration": 10.08, "text": "We expect operating margins to expand in the first half, driven by pricing and volume gains, but the growth will be partially offset by higher soybean product costs"}, {"path": "tedlium_13959.wav", "duration": 10.08, "text": "which has adopted a comprehensive information technology governance policies and procedures. Additional details regarding our remediation plan can be found in our 10-Q."}, {"path": "tedlium_13960.wav", "duration": 10.08, "text": "so that they activate and engage more often. Because that's fundamentally our problem, is that people aren't responding to the more traditional media that we have at the same rate they used to."}, {"path": "tedlium_13961.wav", "duration": 10.08, "text": "and so we want to be poised if something appears to us to be an opportunity. Yes. I think it's also, as Kevin mentioned in his comment, the uncertainty of the environment"}, {"path": "tedlium_13962.wav", "duration": 10.08, "text": "So you've been fairly acquisitive in the past. Could you just speak to what you're seeing in your acquisition pipeline and how you view the acquisition landscape as a whole?"}, {"path": "tedlium_13963.wav", "duration": 10.08, "text": "after rounds 1 and 2, we have been able to make some changes in our supply chain motion and think there is minimal risk from a financial perspective."}, {"path": "tedlium_13964.wav", "duration": 10.08, "text": "And just as a quick follow-up, wonder if we could get maybe a little bit of color commentary on your progress around hyperconverged infrastructure. Sure."}, {"path": "tedlium_13965.wav", "duration": 10.08, "text": "dollar to euro against the local currencies is a big factor because all of the active equipment is being imported. So strong rand, weak rand, makes a big difference."}, {"path": "tedlium_13966.wav", "duration": 10.08, "text": "Based on our current plans, we expect our cash and cash equivalents to be sufficient to fund our operations at least through the full data read out from our NEWTON-2 study."}, {"path": "tedlium_13967.wav", "duration": 10.08, "text": "the number of stores per capita that we have in areas. We look at the demographics in those areas, and we're using technology to help us inform us where to go build these stores."}, {"path": "tedlium_13968.wav", "duration": 10.08, "text": "accommodate some of the new business that we have coming, but those jobs are typically at a little bit higher margin than our other books of business. So"}, {"path": "tedlium_13969.wav", "duration": 10.08, "text": "In China, where our investment from Bison and business partnerships are allowing us to operate in an advantage business situation versus our competitors,"}, {"path": "tedlium_13970.wav", "duration": 10.08, "text": "requires less upfront and ongoing investment in content than the subscription VOD business and continues to utilize our existing library of content."}, {"path": "tedlium_13971.wav", "duration": 10.08, "text": "In terms of project size, we are now starting to see planning for projects of increased scope and scale that we have not seen since the decline of our market several years ago."}, {"path": "tedlium_13972.wav", "duration": 10.08, "text": "that business has gotten smaller because the parameters by which we evaluate it have led to some private label business that didn't meet that criteria."}, {"path": "tedlium_13973.wav", "duration": 10.08, "text": "and interest from investors and also more importantly from the industry, both biotech and biopharma, from our progress to date."}, {"path": "tedlium_13974.wav", "duration": 10.08, "text": "For the risks we are taking, and the capital we are required to hold, these premiums will drive our targeted midteens returns over time."}, {"path": "tedlium_13975.wav", "duration": 10.08, "text": "In the longer-term, we believe the underlying business demographics are positive for the future, and believe we are well-positioned to take advantage of an economic recovery"}, {"path": "tedlium_13976.wav", "duration": 10.08, "text": "Importantly, we have a proven track record of both reinvesting and returning capital to shareholders. And we expect to continue this"}, {"path": "tedlium_13977.wav", "duration": 10.08, "text": "We still anticipate submitting regulatory filings in the second quarter of 2019, at which point we will be able to fully discuss the program and strategy."}, {"path": "tedlium_13978.wav", "duration": 10.08, "text": "in line with our long-term planning rates in the third quarter for our specialty polymer business. We view that as a very positive outlook for the business. Particularly, when we also generated volume growth in the quarter."}, {"path": "tedlium_13979.wav", "duration": 10.08, "text": "From our standpoint, our business remains very much intact, and we continue to drive our growth through the innovation and differentiating that has got us to this point already."}, {"path": "tedlium_13980.wav", "duration": 10.08, "text": "so there will be products and services around these 3 areas and they will be driven by technology and innovation."}, {"path": "tedlium_13981.wav", "duration": 10.08, "text": "like Jeff's question just about the opportunities to acquire any assets for our business, we kind of scour the market for"}, {"path": "tedlium_13982.wav", "duration": 10.08, "text": "right at this moment, you're talking to the guy who has to go to those places and my feelings is, I rather"}, {"path": "tedlium_13983.wav", "duration": 10.08, "text": "He already knows all our customers very well, so we really just need to change the logo on his shirt and he'll be out there, strengthening our relationships with our OEM customers."}, {"path": "tedlium_13984.wav", "duration": 10.08, "text": "Second, with the requisite technology in place, we can drive smart process integration in areas such as the front-end patient and physician experience I discussed earlier."}, {"path": "tedlium_13985.wav", "duration": 10.08, "text": "We are living the fact that we are continuing to play an increasingly more important role for all these clients, both large and small, and"}, {"path": "tedlium_13986.wav", "duration": 10.08, "text": "Ultimately, when you use it as an enabler, then you got to focus on stepping up the value from it. And hopefully, that gives the context. So it's a pretty broad-based answer. But I think it's"}, {"path": "tedlium_13987.wav", "duration": 10.08, "text": "It had nothing to do with this transaction at all because this had started -- discussions that had started earlier -- in the earlier part of the year."}, {"path": "tedlium_13988.wav", "duration": 10.08, "text": "When there are delays like this, costs continue to escalate while pressure to recover the schedule increases and typical work processes get modified."}, {"path": "tedlium_13989.wav", "duration": 10.08, "text": "Based on our strong sales performance to date and assuming a continuation of today's housing market conditions for the remainder of the year, we offer the following guidance."}, {"path": "tedlium_13990.wav", "duration": 10.08, "text": "an interesting comment and I don't think something we've seen in the past in the Canada marketplace. So maybe can you elaborate just a little bit on how"}, {"path": "tedlium_13991.wav", "duration": 10.08, "text": "our ability to deliver outstanding service to our customers, our ability to expand our customer relationships, the spending environment and our long-term prospects for success."}, {"path": "tedlium_13992.wav", "duration": 10.08, "text": "In addition, I want to highlight the fact that our promotional weight was broadly stable even in a more difficult market environment, notably in France."}, {"path": "tedlium_13993.wav", "duration": 10.08, "text": "You'll hear more from BJ as we talk about expenses, but expense control and creating operating leverage is still going to be a primary focus of what we're doing"}, {"path": "tedlium_13994.wav", "duration": 10.08, "text": "But that dynamic market is leading to a lot of activity, and we like how we're positioned, both with the domain knowledge of running the managed services and then when you put the"}, {"path": "tedlium_13995.wav", "duration": 10.08, "text": "The couple of accounts that we decided to write down at this point were in the specific reserve for the most part. And I just don't see an increased trend there."}, {"path": "tedlium_13996.wav", "duration": 10.08, "text": "On June 19, we amended and extended our revolving credit facility for an additional 5 years under substantially the same terms as our previous agreement."}, {"path": "tedlium_13997.wav", "duration": 10.08, "text": "A telephone replay of today's broadcast will be available following the conclusion of the call until Thursday, November 3. The replay information is contained in the company's earnings release."}, {"path": "tedlium_13998.wav", "duration": 10.08, "text": "Ken will now review the outlook for the fourth quarter, and then we'll take your questions. We expect overall sales to be comparable with the fourth quarter of last fiscal year."}, {"path": "tedlium_13999.wav", "duration": 10.08, "text": "worth pointing out for the last quarter was that we had a little less prepayments from customers, that's why we have here other changes in working capital,"}, {"path": "tedlium_14000.wav", "duration": 10.08, "text": "We now believe Aerospace sales will be up approximately 12% and Industrial sales will be down approximately 7%, both as compared to the prior year."}, {"path": "tedlium_14001.wav", "duration": 10.08, "text": "We look forward to bring our positive growth story to a broader audience, and we'll be active in the second half of the year attending and presenting at multiple conferences."}, {"path": "tedlium_14002.wav", "duration": 10.08, "text": "is that what we focus on is the value and the net price and volume growth over time. And as we've said before, the price can fluctuate year to year, quarter to quarter."}, {"path": "tedlium_14003.wav", "duration": 10.08, "text": "Many of the customers requiring material handling services from our logistics group are the same customers who utilize our aircraft leasing and air operating capabilities."}, {"path": "tedlium_14004.wav", "duration": 10.08, "text": "do you see the current slate of announced projects currently as adequate to address sort of the growth you guys expect longer term?"}, {"path": "tedlium_14005.wav", "duration": 10.08, "text": "and an area of opportunity for us. But all in all, between the existing customers growing nicely, as well as the new partners we're signing up, and we expect to have a couple more signed up"}, {"path": "tedlium_14006.wav", "duration": 10.08, "text": "So we will continue to have a high focus on a stable pricing environment in this segment in the quarters to come."}, {"path": "tedlium_14007.wav", "duration": 10.08, "text": "and limited storm activity, we still have a long way to go to meet the reliability commitments we've made, but we are working hard to provide the service our customers deserve."}, {"path": "tedlium_14008.wav", "duration": 10.08, "text": "So we probably are seeing to bring it down to this year. We've seen kind of the turn and starts and turn in large public transportation demand"}, {"path": "tedlium_14009.wav", "duration": 10.08, "text": "we're seeing a little bit of a decline not market related but more project related. And we have a few customers that are growing at a great rate."}, {"path": "tedlium_14010.wav", "duration": 10.08, "text": "loan balances declined modestly compared to the first quarter as originations were lower than expected and prepayments accelerated."}, {"path": "tedlium_14011.wav", "duration": 10.08, "text": "And so the way we're thinking about is, who's going to be the marginal investor away from the Fed. And where do those spreads eventually settle out"}, {"path": "tedlium_14012.wav", "duration": 10.08, "text": "you kind of talked about loyalty program disclosures and how you guys wanted to communicate the value that you get from selling miles with Chase. Could you just provide us with an update as to"}, {"path": "tedlium_14013.wav", "duration": 10.08, "text": "As we intended, we have offset much of this cost through negotiation and productivity and have raised prices to recover the unavoidable increases in cost."}, {"path": "tedlium_14014.wav", "duration": 10.08, "text": "organic growth for the quarter. And I guess I'm just wondering what kind of visibility you have to have or what gives you confidence that you can pick back up to kind of get there"}, {"path": "tedlium_14015.wav", "duration": 10.08, "text": "We -- I would say our conversations have become more encouraging the last couple of weeks at least with some providers and some networks."}, {"path": "tedlium_14016.wav", "duration": 10.08, "text": "of provide a little bit more stability to the top line in case you would lose a customer here or a customer there. It's just more smaller customers as compared to larger multinational customers"}, {"path": "tedlium_14017.wav", "duration": 10.08, "text": "We have measures increasing the productivity of our front office and also increasing the synergies and investment into scale in other parts of the group,"}, {"path": "tedlium_14018.wav", "duration": 10.08, "text": "Now that we are operating as one cohesive company, we are ready to invest in our brand, elevating the awareness of who we are and how we help our customers every day."}, {"path": "tedlium_14019.wav", "duration": 10.08, "text": "strengthen our underlying business engines, they get really excited and they want to be a part of that journey. And I see them as an"}, {"path": "tedlium_14020.wav", "duration": 10.08, "text": "Now turning to new product development. To be absolutely clear, we are increasing our emphasis on new product development efforts to drive organic growth."}, {"path": "tedlium_14021.wav", "duration": 10.08, "text": "Growing aluminum -- growing automotive and industrial demand and continued improvement in manufacturing cost efficiency provided some benefit, cushioning the margin squeeze."}, {"path": "tedlium_14022.wav", "duration": 10.08, "text": "The comprehensive loss and decline in book value on the quarter were primarily attributable to the underperformance of our interest rate swaps relative to assets"}, {"path": "tedlium_14023.wav", "duration": 10.08, "text": "due to new product introductions and anticipated upgrades and enhancements in our other product lines, as well as increased placements and promotions in our core small kitchen appliance business"}, {"path": "tedlium_14024.wav", "duration": 10.08, "text": "fairly soft revenue, either flat or down, as well as for the manufacturers that produce the satellites for the operators who,"}, {"path": "tedlium_14025.wav", "duration": 10.0799375, "text": "our company as well as a lot of the services that -- and processes that we've developed, they lend themselves very well to other educational institutions. And so"}, {"path": "tedlium_14026.wav", "duration": 10.0799375, "text": "These improvements were partially offset by increases in the amount and timing of payments of our accounts payable, accrued salaries, self-insurance claims and income taxes."}, {"path": "tedlium_14027.wav", "duration": 10.0500625, "text": "Our health care growth was largely driven by a paraprofessional's contract with both the New York City Board of Education and the Hawaii Department of Education."}, {"path": "tedlium_14028.wav", "duration": 10.05, "text": "and other risks detailed from time to time in the company's filings with the Securities and Exchange Commission, including the quarterly report on Form 10-Q and the annual report on Form 10-K."}, {"path": "tedlium_14029.wav", "duration": 10.05, "text": "We note that the final bonus amounts will be determined at the end of the year and could change materially from what was accrued this quarter."}, {"path": "tedlium_14030.wav", "duration": 10.05, "text": "With a robust pipeline and increased capacity in which to fund the acquisitions, we anticipate our transaction activity will provide upside to our guidance."}, {"path": "tedlium_14031.wav", "duration": 10.05, "text": "it's simply not been possible for us to say what the organic developments have been. What we can say though is that we have a very, very clear"}, {"path": "tedlium_14032.wav", "duration": 10.05, "text": "that are subject to change and involve a number of risks and uncertainties that may cause actual results to differ materially from those contained in the forward-looking statements."}, {"path": "tedlium_14033.wav", "duration": 10.05, "text": "the valuation of any investments in portfolio companies, particularly those having no liquid trading market and our ability to recover unrealized losses."}, {"path": "tedlium_14034.wav", "duration": 10.05, "text": "We are excited about how our vision of where we see the future banking model evolving, and how we are planning to transition toward that universal digital banking model over the next several years."}, {"path": "tedlium_14035.wav", "duration": 10.05, "text": "I didn't see anything mentioned on that in the 10-K that you filed this morning. So could you just update me on what happened with that?"}, {"path": "tedlium_14036.wav", "duration": 10.05, "text": "In addition, the contributions of new products are also difficult to estimate, and we don't expect much since it is their first year."}, {"path": "tedlium_14037.wav", "duration": 10.05, "text": "were solid performance from our alternatives, the hedge fund investments as well as PE structured funds and our internal special situations portfolio."}, {"path": "tedlium_14038.wav", "duration": 10.05, "text": "While our revenue hedging program continues to contribute to the top line, it's expected to have a negative impact in each quarter this year on a year-over-year basis."}, {"path": "tedlium_14039.wav", "duration": 10.05, "text": "So I would say that you're right in terms of the reason why it might have been a little bit higher in the quarter. Not concerning to us overall. I would say that"}, {"path": "tedlium_14040.wav", "duration": 10.05, "text": "The good thing about this is it's a multi-company collaboration that's sponsored by the NCI, where a number of different companies have agreed"}, {"path": "tedlium_14041.wav", "duration": 10.05, "text": "with the increase in commodities at the same time? So would just love to get sort of your overall view on where you think things are going to go from here on that front."}, {"path": "tedlium_14042.wav", "duration": 10.05, "text": "you will find more opportunities in buckets where you have increased spending over time, and trade spend certainly falls into that category. So I would expect"}, {"path": "tedlium_14043.wav", "duration": 10.05, "text": "And equally importantly, I think we're feeling very good about the innovation we launched in '17. That should carry over to fiscal '18. So that's one piece of the assumption. The second assumption is around pricing."}, {"path": "tedlium_14044.wav", "duration": 10.05, "text": "This trend is already very visible in the success of small disruptive brands that address specific target groups, specific demand"}, {"path": "tedlium_14045.wav", "duration": 10.05, "text": "and now you're going to -- and you collected a certain portion of that. You'll be now -- fixed rate per procedure will be a smaller amount. Can you give an indication on"}, {"path": "tedlium_14046.wav", "duration": 10.05, "text": "We do not anticipate an improvement in end markets until there is clarity on the outcome of the November election. However, we are encouraged by increased quoting from mining equipment."}, {"path": "tedlium_14047.wav", "duration": 10.05, "text": "Are you now in position to update the market on what your thoughts are for a sustainable throughput rate there? And what are you expecting next year in that regard?"}, {"path": "tedlium_14048.wav", "duration": 10.05, "text": "We have several of the largest life insurers using it and getting the results that they came for and they're telling us exactly how to enhance the product, so they increased their usage."}, {"path": "tedlium_14049.wav", "duration": 10.05, "text": "Revenue was essentially flat, which was better than our internal expectations. Project revenue was up slightly due to the accelerated timing of certain projects."}, {"path": "tedlium_14050.wav", "duration": 10.05, "text": "are really owned essentially by a few providers at very, very low fee rates. Instead, we tried to add products to our platforms"}, {"path": "tedlium_14051.wav", "duration": 10.05, "text": "can make a social impact and create a social movement to help communities become healthier. Our first campaign will coincide with our summer of impact launch."}, {"path": "tedlium_14052.wav", "duration": 10.05, "text": "of content we develop and integrate as well as partnerships. So that's how we're approaching it, and that's what we're in development on right now."}, {"path": "tedlium_14053.wav", "duration": 10.05, "text": "To give you some perspective on how our expanded sales transaction database is being leveraged into additional revenue, let me give you some concrete examples."}, {"path": "tedlium_14054.wav", "duration": 10.05, "text": "Is that the right way to think about it and this is more of a kind of a flowback disposal system or how are you guys looking at this system over time? I'll let Bill kind of field that one."}, {"path": "tedlium_14055.wav", "duration": 10.05, "text": "In between the 2 is what looked a little odd, and -- hey, all the more power to you. It looks great that you're picking up that additional business. I was just curious if"}, {"path": "tedlium_14056.wav", "duration": 10.05, "text": "These subjects -- these statements are subject to known and unknown risks and uncertainties, which may cause our actual results, performance or achievements"}, {"path": "tedlium_14057.wav", "duration": 10.05, "text": "for 2016 as to where we are in our guidance range. But we're less focused on where we are in the guidance range this year and more what are we putting in place"}, {"path": "tedlium_14058.wav", "duration": 10.05, "text": "take rate as well? I think you've given some color about that in the past. And then related to that, the acceleration in broadband net add sounds as though it was related to"}, {"path": "tedlium_14059.wav", "duration": 10.05, "text": "of a business that meets that definition? And frankly, would it be possible for a NAND flash business to qualify as a franchise under your definition?"}, {"path": "tedlium_14060.wav", "duration": 10.05, "text": "additional expenses were incurred prior to the gross profit line based exclusively on the kinds of projects that they were working on."}, {"path": "tedlium_14061.wav", "duration": 10.05, "text": "didn't progress as anticipated. So we'll look at things like severity of disease, age of the patients at the time of onset of their disease, the extent of their neurological"}, {"path": "tedlium_14062.wav", "duration": 10.05, "text": "And what we're also seeing is that we are maintaining the advantage that we seem to have in terms of safety and convenience."}, {"path": "tedlium_14063.wav", "duration": 10.05, "text": "end of the year for that. And at some point, we're going to have customers come in and start their qualification process in parallel with us."}, {"path": "tedlium_14064.wav", "duration": 10.05, "text": "What kind of activity levels are you seeing through those partners at this point? Are they sourcing the leads and getting deals closed? Or is it still on the -- in the onboarding process?"}, {"path": "tedlium_14065.wav", "duration": 10.05, "text": "And I would also like to mention that there was an increase in the tax burden from 40% to 45% on this operating profit. And"}, {"path": "tedlium_14066.wav", "duration": 10.05, "text": "And as you've come to expect from us, we will continue to manage the business tightly. So I'll now hand you over to Robert to do the numbers."}, {"path": "tedlium_14067.wav", "duration": 10.05, "text": "And don't just think of Stationery in terms of our stores, as investment in our post-office partnership and our digital channels,"}, {"path": "tedlium_14068.wav", "duration": 10.05, "text": "Maybe following on to that. You've seen accelerating volume declines in International, and I think that you've done a good job of explaining that"}, {"path": "tedlium_14069.wav", "duration": 10.05, "text": "which will always provide us with the greatest risk-weighted returns if we can appropriately leverage our installed base of equipment, existing manufacturing capacity, global distribution infrastructure,"}, {"path": "tedlium_14070.wav", "duration": 10.05, "text": "has a very solid approach where everybody is focused on the customer and driving conversions in the store."}, {"path": "tedlium_14071.wav", "duration": 10.05, "text": "Conversely, they can help us on the recruiting front. They have the largest pool of candidates in the world, particularly white collar workers."}, {"path": "tedlium_14072.wav", "duration": 10.05, "text": "not always in an easy environment. And you will also remember some of my comments earlier throughout last year relating to a very promotional season"}, {"path": "tedlium_14073.wav", "duration": 10.05, "text": "And some of our centers are designed to create dedicated educational and community partnerships to speed the development of talent that's specific to our client needs."}, {"path": "tedlium_14074.wav", "duration": 10.05, "text": "Next, I will provide some details on the more significant projects that contributed to our fourth quarter results, beginning with the Civil segment."}, {"path": "tedlium_14075.wav", "duration": 10.05, "text": "And we expect that margin to increase as, frankly, we raise our margins given the lack of competition."}, {"path": "tedlium_14076.wav", "duration": 10.05, "text": "We made significant progress towards achieving these 2 goals with the recent acquisition of JCR Capital and the hiring of a fantastic team of investment sales professionals"}, {"path": "tedlium_14077.wav", "duration": 10.05, "text": "on supplemental retirement savings and have seen significant interest from school districts to address one of their largest recruitment issues that they are facing."}, {"path": "tedlium_14078.wav", "duration": 10.05, "text": "This level of development and testing is expected to continue through the next fiscal year as we complete the transition of the core product lines to the new standards."}, {"path": "tedlium_14079.wav", "duration": 10.05, "text": "We're already starting to see the evidence of how this next stage in our change journey will ensure we stay ahead in this fast-moving world,"}, {"path": "tedlium_14080.wav", "duration": 10.05, "text": "it's a joint venture, but we capture the bottling revenue. So we capture a large portion of the revenue of both coffee and tea,"}, {"path": "tedlium_14081.wav", "duration": 10.05, "text": "and prior-period ratios are very favorable as compared to industry averages and improved as compared to our NPA levels over the last several years."}, {"path": "tedlium_14082.wav", "duration": 10.05, "text": "So I do expect we'll see some rather stable or higher cap software amounts this year and going into next, I do think that will flatten out"}, {"path": "tedlium_14083.wav", "duration": 10.05, "text": "providing greater access to health care, and ensuring a modern set of rules that better align with the Marketplace and Medicare Advantage plans."}, {"path": "tedlium_14084.wav", "duration": 10.05, "text": "and so made the first move as it were to increase the prices. But it was not matched by the competition."}, {"path": "tedlium_14085.wav", "duration": 10.05, "text": "for adidas on our Commerce Cloud. But of course, that's not the only cloud that adidas is using with us because they need to be able to provide many different types of services"}, {"path": "tedlium_14086.wav", "duration": 10.05, "text": "In addition to accelerating growth at higher margins, our product sales continued to diversify across a growing set of customers in the second quarter."}, {"path": "tedlium_14087.wav", "duration": 10.05, "text": "I'll now provide some additional details on our out-of-state contract with California as our expectations from this contract have changed from last quarter's update."}, {"path": "tedlium_14088.wav", "duration": 10.05, "text": "Thank you, Larry. I will address our segment financial performance in more detail. As mentioned previously, my comments will be primarily directed to non-GAAP results."}, {"path": "tedlium_14089.wav", "duration": 10.05, "text": "but -- and we're real excited about that. We're working through the final phase, so I don't have the exact definition of that, but this is going to impact all levels of the organization."}, {"path": "tedlium_14090.wav", "duration": 10.05, "text": "So I know that we're focused on the right areas. We just need to embed them swiftly and effectively through every part of our organization. This is the most challenging part"}, {"path": "tedlium_14091.wav", "duration": 10.05, "text": "and challenging group business patterns, including reduced convention activity in several of our major markets like Chicago."}, {"path": "tedlium_14092.wav", "duration": 10.05, "text": "As we continue to prudently manage both risk and expenses, we expect to deliver solid earnings growth for many years to come."}, {"path": "tedlium_14093.wav", "duration": 10.05, "text": "followed by comments about our fourth quarter investment activity and the performance of our investment portfolio, and then offer views about 2018. And then"}, {"path": "tedlium_14094.wav", "duration": 10.05, "text": "What makes this even more noteworthy is that it has happened during -- despite the economic turmoil in Europe, along with recent terrorism and the refugee crisis."}, {"path": "tedlium_14095.wav", "duration": 10.05, "text": "short-term fluctuations are very difficult to anticipate in the capital markets. Well -- so we are going to dig deeper into the operations and our assets."}, {"path": "tedlium_14096.wav", "duration": 10.05, "text": "As a result of the amendments, these contracts as well as all other current GSE risk share transactions are now accounted for as insurance contracts."}, {"path": "tedlium_14097.wav", "duration": 10.05, "text": "So I think individual claim payments can have more of an impact, but -- so I think it's difficult to draw a conclusion. We would expect severity on average to be higher"}, {"path": "tedlium_14098.wav", "duration": 10.05, "text": "This especially affects the many smaller and independent labs as well as medical center units, especially at a time when reimbursements are steadily declining."}, {"path": "tedlium_14099.wav", "duration": 10.05, "text": "Regarding warehousing cost, we are experiencing gradual efficiency improvements and the warehouse is largely stabilized as an expanded local workforce is hired."}, {"path": "tedlium_14100.wav", "duration": 10.05, "text": "And we were -- we got the Presidents, the financial people and the sales and marketing folks together and really did a pressure test of"}, {"path": "tedlium_14101.wav", "duration": 10.05, "text": "Our teams have created several enterprise-wide resources to share sourcing data, analyze our spend levels and track our achievements and our progress going forward."}, {"path": "tedlium_14102.wav", "duration": 10.05, "text": "In sum, we're pleased with our overall financial performance in 2015 as well as with the excellent progress we made in the transformation."}, {"path": "tedlium_14103.wav", "duration": 10.05, "text": "And we want to be there and be a good, reliable provider to them and grow with them. So I would say it's really nothing more than"}, {"path": "tedlium_14104.wav", "duration": 10.05, "text": "So again, we'll be sharing more detail around the studies at future business updates. I think it's fair to say though that we've got real clarity from the agency."}, {"path": "tedlium_14105.wav", "duration": 10.05, "text": "So that's part of the plan as well, and that's been very, very well received. And the cryogenic plant at Pilsworth should be coming online towards the end of this year."}, {"path": "tedlium_14106.wav", "duration": 10.05, "text": "At the same time, we will continue to invest in growth across the group in a manner that's consistent with our risk appetite."}, {"path": "tedlium_14107.wav", "duration": 10.05, "text": "That commitment is evident in our pipeline of small molecule product candidates that target oncogenes and cancer signaling pathways. In addition, we seek to identify"}, {"path": "tedlium_14108.wav", "duration": 10.05, "text": "the growth on an international basis, the product design capabilities and brandings that the Helly team has done now has been adjusted by market."}, {"path": "tedlium_14109.wav", "duration": 10.05, "text": "Thank you, operator. Good morning, everyone, and welcome to the Waters Corporation Fourth Quarter Earnings Conference Call. Before we begin, I will cover the cautionary language."}, {"path": "tedlium_14110.wav", "duration": 10.05, "text": "I think it was generally consistent. We were very pleased to get some of those leases done and cross the finish line. But I would say, it was generally consistent with our expectations. So I think we're"}, {"path": "tedlium_14111.wav", "duration": 10.05, "text": "Our forward-looking statements are applicable only as of the date of this presentation. For a list of factors which could affect our future results, including our earnings estimates,"}, {"path": "tedlium_14112.wav", "duration": 10.05, "text": "and we got everybody under one facility in Toronto now and they're realigning the organization. And so there's some -- there's definitely some"}, {"path": "tedlium_14113.wav", "duration": 10.05, "text": "Interest expense declined from a full quarter benefit of the third quarter reductions in Federal Home Loan Bank advances and the subordinated capital notes."}, {"path": "tedlium_14114.wav", "duration": 10.05, "text": "We believe that we are taking appropriate preventative measures to deliver to our customers the quality experience we promised by deploying various directive action."}, {"path": "tedlium_14115.wav", "duration": 10.05, "text": "as continued strong free cash flow was partially offset by the execution of the share buyback program and the closing of the Casamigos acquisition."}, {"path": "tedlium_14116.wav", "duration": 10.05, "text": "Finally, let me touch on our efforts to improve the Groupon customer experience. We added this as one of our strategic priorities in 2016 because it is a massive opportunity area,"}, {"path": "tedlium_14117.wav", "duration": 10.05, "text": "One important thing, which I've talked about before to bear in mind is that even though we have higher fixed costs we have not increased our manning. We keep our fixed manning on a"}, {"path": "tedlium_14118.wav", "duration": 10.05, "text": "Just as a reminder, installation sales are slightly dilutive to the margin percentage but bring incremental dollars to revenue and cash flow while expanding our potential customer market."}, {"path": "tedlium_14119.wav", "duration": 10.05, "text": "during the last week of June where we experienced large mismatch between payments and collections. This temporary imbalance largely corrected itself in the first week of July."}, {"path": "tedlium_14120.wav", "duration": 10.05, "text": "while charting a new path forward to drive long-term sustainable growth and improve its competitive position in the less differentiated segments of the market."}, {"path": "tedlium_14121.wav", "duration": 10.05, "text": "best we can in terms of picking the timing and the opportunity. But we see a fair amount of capital or excess capital generation,"}, {"path": "tedlium_14122.wav", "duration": 10.05, "text": "is going to come from organic growth with existing clients that we have, not necessarily changes or tweaks to the Affordable Care Act. And so"}, {"path": "tedlium_14123.wav", "duration": 10.05, "text": "Sure. So we hear a variety of reasons. The most common when we actually survey customers leaving us is no need, but we certainly know that no need is a"}, {"path": "tedlium_14124.wav", "duration": 10.05, "text": "Okay, and it sounds like most of what you're doing is with LendSure. Are you working to develop additional sourcing as well?"}, {"path": "tedlium_14125.wav", "duration": 10.05, "text": "So it's been a variety of niches like that, where we've been able to get our volume, but get it at sort of the lower LTVs, the better credit qualities that we like."}, {"path": "tedlium_14126.wav", "duration": 10.05, "text": "Given our current cash balance, ongoing cash flow from operations and total borrowing capacity, we remain well positioned to meet the financing needs of the business moving forward."}, {"path": "tedlium_14127.wav", "duration": 10.05, "text": "with landlords taking back space with some of your larger store? And how many of those you did last year? And what's the hope is for next year? And then my second question is, you guys mentioned"}, {"path": "tedlium_14128.wav", "duration": 10.05, "text": "We also worked for the buyers early on to ensure that we had the right level of products so we could be, obviously, have the right presentations in stores. So we're"}, {"path": "tedlium_14129.wav", "duration": 10.05, "text": "any time you do that, it's very disruptive in your supply chain. You're basically swapping out all of your SKUs. We thought that was important to do before the key fall season. We got that done in the quarter."}, {"path": "tedlium_14130.wav", "duration": 10.05, "text": "and capital efficiencies. And we are confident in the resiliency of our business model, which will support our EBITDA and strong free cash flow conversion going forward."}, {"path": "tedlium_14131.wav", "duration": 10.05, "text": "Investors should not assume that statements made during the call will remain operative at a later time, and the company undertakes no obligation to update any information discussed on the call."}, {"path": "tedlium_14132.wav", "duration": 10.05, "text": "We would expect more moderate price growth this year after a very strong price growth in 2017. And in Queensland, we're seeing continual improvement"}, {"path": "tedlium_14133.wav", "duration": 10.05, "text": "One area of innovation that we continue to experience increasing market demand is for our school and college safety systems."}, {"path": "tedlium_14134.wav", "duration": 10.05, "text": "to have it compete in our portfolio to move into manufacturing mode is definitely there. And so really, what we're doing right now is just"}, {"path": "tedlium_14135.wav", "duration": 10.05, "text": "The majority of the impact of such transactions is already recognized in our provisions. Let's move on to the other Latin American economies."}, {"path": "tedlium_14136.wav", "duration": 10.05, "text": "In our case, we're very fortunate because we focus our attention on the downstream and the integrated side of the business"}, {"path": "tedlium_14137.wav", "duration": 10.05, "text": "Demand for evaluation services before deliveries is also growing, and it will be growing in future as well."}, {"path": "tedlium_14138.wav", "duration": 10.05, "text": "Lower fuel cost and the absence of last year's negative nonrecurring expenses were among the main reasons for the positive development."}, {"path": "tedlium_14139.wav", "duration": 10.05, "text": "Cold material dispensing equipment for automotive and industrial applications and powder coating equipment for consumer durable end markets drove this growth."}, {"path": "tedlium_14140.wav", "duration": 10.05, "text": "we also have new hirings because of all the new initiatives. Therefore, our team increased."}, {"path": "tedlium_14141.wav", "duration": 10.05, "text": "investors are looking for other ways of positioning themselves along the Black Sea in order to have these export facilities. So"}, {"path": "tedlium_14142.wav", "duration": 10.05, "text": "which is what drive our business model. Based on conversations with our customers, we believe that rates and volumes will be there in 2016. Third,"}, {"path": "tedlium_14143.wav", "duration": 10.05, "text": "And my last one is on your energy cost. I was just wondering how and when you usually negotiate the"}, {"path": "tedlium_14144.wav", "duration": 10.05, "text": "This is our highest reported earnings quarter since the beginning of 2014. We benefited from our rapidly growing inventory of balance sheet loans,"}, {"path": "tedlium_14145.wav", "duration": 10.05, "text": "just having to do more with age or is there something a lot more -- takes a lot more investigation to try to find the ideal patients here?"}, {"path": "tedlium_14146.wav", "duration": 10.05, "text": "We focus on developing valuable customer relationships, supporting our customers in their communities and through their enterprises and delivering our services and products through a range of channels."}, {"path": "tedlium_14147.wav", "duration": 10.05, "text": "within markets, different customer segments have been coming into the housing equation at different times. I think coming out of the last downturn, we saw more of the move up buyers"}, {"path": "tedlium_14148.wav", "duration": 10.05, "text": "is very much to continue to develop products both internally or organically, but also through inorganic. What we've had a chance to talk about"}, {"path": "tedlium_14149.wav", "duration": 10.05, "text": "a significant amount of available space which will have to be renovated in Massachusetts and Reno, and some ability to build small pockets"}, {"path": "tedlium_14150.wav", "duration": 10.05, "text": "Looking into Q1, even though our international cash conversion cycle is stretched out, we expect to be cash neutral or positive on an operating basis."}, {"path": "tedlium_14151.wav", "duration": 10.05, "text": "that we can handle vastly larger amounts of e-commerce packages in the future at profitable rates"}, {"path": "tedlium_14152.wav", "duration": 10.05, "text": "break that out a little bit of how much of it is the market, how much of it is new launches, how much of it is share gains? And I know it's going to be tough to do, but any thoughts you have there?"}, {"path": "tedlium_14153.wav", "duration": 10.05, "text": "So we'll see the benefits of those more from a year-over-year basis in the second half of the year. So I think we'll see some of the variable expenses higher in the second half of the year"}, {"path": "tedlium_14154.wav", "duration": 10.05, "text": "Another attractive area for growth is to increase our global market share, including developing a greater business presence in China, India,"}, {"path": "tedlium_14155.wav", "duration": 10.05, "text": "Again, we spend a lot of time talking about PST over the different calls and it's nice not to have to talk about performance misses and really to be able to talk about the performance"}, {"path": "tedlium_14156.wav", "duration": 10.05, "text": "We believe the global and U.S. macro picture remains solid and expect that good underlying economic growth will continue to support strong demand for our products"}, {"path": "tedlium_14157.wav", "duration": 10.05, "text": "On a comparable basis, excluding the contribution of these travel centers, improvement in both light product margin and merchandise margin were higher than what is shown in the table."}, {"path": "tedlium_14158.wav", "duration": 10.05, "text": "Technology operations remains steady and growing, and we're collaborating closely with our customers to continue delivering the technology solutions that they need."}, {"path": "tedlium_14159.wav", "duration": 10.05, "text": "with our continued transition of administrative certain responsibilities to our reinsurer and the resulting ability to reduce the size of our staff."}, {"path": "tedlium_14160.wav", "duration": 10.05, "text": "it's going into an area that our competitors have -- don't have the same amount of ability to go into. We can carry a larger selection"}, {"path": "tedlium_14161.wav", "duration": 10.05, "text": "These changes are consistent with our announced plans and strategy to vacate and redevelop spaces,"}, {"path": "tedlium_14162.wav", "duration": 10.05, "text": "Bear in mind that some of the leasing that we did with early in the cycle -- early in the cycle of the market as well as early in the cycle of our property redevelopment"}, {"path": "tedlium_14163.wav", "duration": 10.05, "text": "The outlook for lubricants in the domestic market is not really encouraging. We believe to be well positions in -- well positioned in terms of clients and products portfolio,"}, {"path": "tedlium_14164.wav", "duration": 10.05, "text": "Our customer made the switch to PolyOne due to our existing relationships and their collaboration with other PolyOne business segments."}, {"path": "tedlium_14165.wav", "duration": 10.05, "text": "Okay. Thank you. We appreciate you joining us this afternoon. It's really nice to be able to talk about these results and we look forward to sharing"}, {"path": "tedlium_14166.wav", "duration": 10.05, "text": "while maintaining the characteristics of livability. As with Passport, the new products were extremely well received by our associates."}, {"path": "tedlium_14167.wav", "duration": 10.0499375, "text": "more than the growth rates we are expecting, we are hoping that the costs will be lower in growth. We will be creative and with our sales promotion initiatives"}, {"path": "tedlium_14168.wav", "duration": 10.0200625, "text": "This performance was driven by our generics business, which benefited from important product launches as well as the continued growth of our XIAFLEX franchise."}, {"path": "tedlium_14169.wav", "duration": 10.02, "text": "which enables us to step on the gas pedal and growing our dermatology business with no dilution to shareholders, and with the use of only part of these proceeds."}, {"path": "tedlium_14170.wav", "duration": 10.02, "text": "the plan would be to go right into long-term combination trials with the goal of trying to find recipes that could"}, {"path": "tedlium_14171.wav", "duration": 10.02, "text": "Yes, I noticed the contribution margin has stayed pretty consistent, so I guess that's the better metric to look at when we're looking at just overall credit risk of the book, right?"}, {"path": "tedlium_14172.wav", "duration": 10.02, "text": "We like this line of business from an underwriting perspective and believe Corvus' approach could help us improve the loss ratio on the business we underwrite here for ourselves."}, {"path": "tedlium_14173.wav", "duration": 10.02, "text": "which were partially offset by declines in REMICADE and NASONEX. I'll now highlight a few of our key franchises and product launches, and I'm going to begin with oncology."}, {"path": "tedlium_14174.wav", "duration": 10.02, "text": "We have improved our management team and built a regional bank with a franchise that goes from the suburbs of Philadelphia to North Jersey and the New York metropolitan area."}, {"path": "tedlium_14175.wav", "duration": 10.02, "text": "From our work, it's clear that you need a much broader immune response kind of mimicking what a natural RSV infection induces."}, {"path": "tedlium_14176.wav", "duration": 10.02, "text": "I think the 11 years is maybe an exceptional long period to drive something which is very impactful, but that is certainly one that we will have to continue to do,"}, {"path": "tedlium_14177.wav", "duration": 10.02, "text": "the numbers that Assure was booking were consistent with other companies were realizing, and actually the cash that was being collected was consistent with the numbers being accrued."}, {"path": "tedlium_14178.wav", "duration": 10.02, "text": "to regular customers. We're also excited about the potential to make these customers even more loyal and more frequent. After all, frequent customers start as infrequent ones."}, {"path": "tedlium_14179.wav", "duration": 10.02, "text": "So this is what it is in terms of cash flow. Nothing much is happening and nothing special is happening. So"}, {"path": "tedlium_14180.wav", "duration": 10.02, "text": "compliance cost go up, we're able to pass that on to clients. Because it's more and more expensive to take on clients, so we're continuing to"}, {"path": "tedlium_14181.wav", "duration": 10.02, "text": "for some time. We have been struggling with one of our factories in Czech Republic to get workers, and to keep the workers, and this bottleneck has been"}, {"path": "tedlium_14182.wav", "duration": 10.02, "text": "I don't know whether people would rather us sand bag and beat the heck out of stuff all the time or not but I think we've been very transparent and we'll continue to do so. If that means that"}, {"path": "tedlium_14183.wav", "duration": 10.02, "text": "where we experienced healthy volume growth in 2016. Based on these trends, our outlook for the aerospace market remains positive."}, {"path": "tedlium_14184.wav", "duration": 10.02, "text": "We believe our ability to increase our gross profit margin was made possible by significant investments we have made in our value-added processing equipment"}, {"path": "tedlium_14185.wav", "duration": 10.02, "text": "learn as we go here a little bit. But we want to make sure we are delivering a high-quality service experience. And we want to make sure we're delivering"}, {"path": "tedlium_14186.wav", "duration": 10.02, "text": "Before we begin, I'd like to remind you that during the call, we will be making forward-looking statements that are subject to risks and uncertainties. Some of the factors that could impact the future results"}, {"path": "tedlium_14187.wav", "duration": 10.02, "text": "relatively sustainable. If anything, we should realize more cost synergy as we go through the integration. Now"}, {"path": "tedlium_14188.wav", "duration": 10.02, "text": "So I don't know what -- we don't have or can't give an estimate of what we think the eligible universe could expand to, but we are optimistic that it is a"}, {"path": "tedlium_14189.wav", "duration": 10.02, "text": "Part of that is also an unlimited option where we're monetizing. People can choose to get that rather than stay within our typical plan."}, {"path": "tedlium_14190.wav", "duration": 10.02, "text": "I would say, a percentage of provision that you need to apply to the loan, you start doing exactly the same with what is happening with the interest and you start nuts"}, {"path": "tedlium_14191.wav", "duration": 10.02, "text": "to build real enduring growth, which is generating the positive momentum and green shoots already evident in this extremely competitive environment."}, {"path": "tedlium_14192.wav", "duration": 10.02, "text": "From the challenge perspective, I would love Kevin to weigh in as well. I mean, the most important thing is absolutely making sure that the guest experience is right and that the food gets delivered correctly on time"}, {"path": "tedlium_14193.wav", "duration": 10.02, "text": "This recent order provides guidance on FERC's new methodology for establishing ROEs, which is expected to be used in addressing outstanding complaints."}, {"path": "tedlium_14194.wav", "duration": 10.02, "text": "I think that we certainly are going to grow organically excluding that contract. Really, the big question is where does it all net out? I think that's what you're getting at with your question, Ed."}, {"path": "tedlium_14195.wav", "duration": 10.02, "text": "A brand represents an organic life. It has a life of its own."}, {"path": "tedlium_14196.wav", "duration": 10.02, "text": "the farmers. They can take care of their own fish and cows. Consumer goods are different. You need to interact with consumers."}, {"path": "tedlium_14197.wav", "duration": 10.02, "text": "That's really the most frequent move activity. So when you think about churn, it isn't about people sitting at home deciding today is a good day to switch my provider. There's usually a life event"}, {"path": "tedlium_14198.wav", "duration": 10.02, "text": "This will enable us to expand our portfolio at a time when urban Vancouver is transforming from a secondary to a primary Canadian office market."}, {"path": "tedlium_14199.wav", "duration": 10.02, "text": "how do they incentivize the electric distribution companies to meet some of the clean energy"}, {"path": "tedlium_14200.wav", "duration": 10.02, "text": "We changed our marketing strategy. Our marketing is now more regionally focused. We are also tackling social media."}, {"path": "tedlium_14201.wav", "duration": 10.02, "text": "Our use of the term EBITDA throughout this morning's call corresponds with the term adjusted EBITDA as defined in our earnings release."}, {"path": "tedlium_14202.wav", "duration": 10.02, "text": "But are there opportunities for further growing and even for duplicating the state of the market in the developed Europe? Of course, we have because we can offer to date"}, {"path": "tedlium_14203.wav", "duration": 10.02, "text": "Okay, great. That's helpful. And then maybe just a question on the dividend policy. I think cash levels are pretty similar to where they were last year. Is that"}, {"path": "tedlium_14204.wav", "duration": 10.02, "text": "as a means of managing concentration by sharing credit exposure with other banks that you are familiar with that operate in our primary markets."}, {"path": "tedlium_14205.wav", "duration": 10.02, "text": "you will end up close to the number that I have mentioned. Of course, we also have retained earnings that have a positive impact"}, {"path": "tedlium_14206.wav", "duration": 10.02, "text": "do you guys see acquisitions taking more prominence in your capital deployment strategy now? And are you seeing any acquisition opportunities?"}, {"path": "tedlium_14207.wav", "duration": 10.02, "text": "what kind of level of growth are you looking for? Are you concerned about that country kind of like Mexico a year ago when it sustained earthquakes?"}, {"path": "tedlium_14208.wav", "duration": 10.02, "text": "The 14% decrease was due to cost increases to support future growth and return to a normal level of expense at the medical schools."}, {"path": "tedlium_14209.wav", "duration": 10.02, "text": "a bit under challenge due to the changes in tax rate structures and the competitive market that we see in that. That's been sort of a continuation of their"}, {"path": "tedlium_14210.wav", "duration": 10.02, "text": "The increase in direct research and development expense in the 3 months ended September 30, 2018 was primarily due to an increase in clinical study costs"}, {"path": "tedlium_14211.wav", "duration": 10.02, "text": "We're constantly in discussions with them about them telling us where they want to go and how they want to go and looking -- one of the concerns people have is that they're going to"}, {"path": "tedlium_14212.wav", "duration": 10.02, "text": "And everything we're seeing now, we see that on track. Much of that is being driven, not by just pure market prices, but it's now being driven by our own efforts"}, {"path": "tedlium_14213.wav", "duration": 10.02, "text": "As Jeff mentioned earlier, we achieved this record origination volume while maintaining our strong credit underwriting standards and without increasing approval rates."}, {"path": "tedlium_14214.wav", "duration": 10.02, "text": "Again, all of these individuals are doing significant work to make sure that the product that we do have gets to surgeons, fulfills the cases and takes care of the patients."}, {"path": "tedlium_14215.wav", "duration": 10.02, "text": "in your area relative to other generation sources, in particular, that'd be gas. And then related to that, how regulators might view"}, {"path": "tedlium_14216.wav", "duration": 10.02, "text": "Some modest inflation in line pipe is also expected to be a benefit, offset by a negative product mix dynamic from the project work."}, {"path": "tedlium_14217.wav", "duration": 10.02, "text": "returning to shareholders is part of the criteria that we will continue to use to evaluate that option versus doing other things with the capital."}, {"path": "tedlium_14218.wav", "duration": 10.02, "text": "When we examine the pace of bookings in the first quarter, we are currently running well ahead of where the company was this time last year. This is due in part to the recent large account wins."}, {"path": "tedlium_14219.wav", "duration": 10.02, "text": "and this obviously starts with serving our commercial customers locally and nationally with a strong array of loan, deposit and treasury management products and services."}, {"path": "tedlium_14220.wav", "duration": 10.02, "text": "It is true that April, when we saw you and we saw other analysts, that April was a rough month. We got beat up in the Northeast and in the Midwest because of weather,"}, {"path": "tedlium_14221.wav", "duration": 10.02, "text": "Now granted, if we have a particular floor plant or unit that maybe isn't moving the way we want it to, or we feel like we have one too many of something,"}, {"path": "tedlium_14222.wav", "duration": 10.02, "text": "customer care efficiencies and more favorable termination rates and the renegotiation of lower rates for numbering blocks in Canada."}, {"path": "tedlium_14223.wav", "duration": 10.02, "text": "there's some spare capacity in the pressure pumping market and we're receiving a little bit of incremental pricing discount to accommodate this Q4 activity."}, {"path": "tedlium_14224.wav", "duration": 10.02, "text": "Yes. Thanks, operator. And again, I just wanted to take a moment and thank everyone for taking the time to join us this afternoon. And we look forward to speaking with you again next quarter. Thanks a lot."}, {"path": "tedlium_14225.wav", "duration": 10.02, "text": "what we'll be doing is putting -- in a run of invoices, putting an insert in the envelope, kind of a marketing slick that tells them about ARC,"}, {"path": "tedlium_14226.wav", "duration": 10.02, "text": "with a holistic solution to meet their learning and development needs, which further differentiates Cornerstone as a leader in corporate learning."}, {"path": "tedlium_14227.wav", "duration": 10.02, "text": "helping our cloud customers become successful with our solutions. And in the long run, it's about sort of expanding our presence with the base and"}, {"path": "tedlium_14228.wav", "duration": 10.02, "text": "We brought on a whole new quality team and initiative, and so we're improving the quality of our code, which means we can spend less time on bugs and more times on innovation."}, {"path": "tedlium_14229.wav", "duration": 10.02, "text": "bringing MuleSoft into the company and making sure that we're consulting with every single one of our customers in every single one of our engagements about their integration strategy, just helping them,"}, {"path": "tedlium_14230.wav", "duration": 10.02, "text": "And the weakening of the demand towards the end of the year was another hit -- we took another hit from that on our EBIT in After Sales."}, {"path": "tedlium_14231.wav", "duration": 10.02, "text": "All but one of the remaining patients in this cohort had received a third dose as of March 23, and there have been no SAEs reported in this cohort."}, {"path": "tedlium_14232.wav", "duration": 10.02, "text": "and the most impactful sales activations. And we have a transformed marketing organization focused on the growth engines of Release,"}, {"path": "tedlium_14233.wav", "duration": 10.02, "text": "The consumer needs information to make responsible drinking choices, and we are providing more information on our key brands, starting with Johnnie Walker."}, {"path": "tedlium_14234.wav", "duration": 10.02, "text": "This allows us to influence what they're drinking in the on trade. It gives us access to valuable data about consumers and outlets."}, {"path": "tedlium_14235.wav", "duration": 10.02, "text": "The Western Cape water supply risk remains with us with reasonable and practical measures to mitigate such risk deployed and ready."}, {"path": "tedlium_14236.wav", "duration": 10.02, "text": "we're going to be very careful about spend. I believe we need to invest in certain activities, which we've laid out, to make the company stronger in the future."}, {"path": "tedlium_14237.wav", "duration": 10.02, "text": "Despite the revenue decline, business transient was strong at our Boston hotels and the Hilton Garden Inn Times Square Central."}, {"path": "tedlium_14238.wav", "duration": 10.02, "text": "And if so, does it improve your organic case in the country? Or do you still feel the Danish market needs some kind of structured solutions towards consolidation?"}, {"path": "tedlium_14239.wav", "duration": 10.02, "text": "And the second part is what is competitor behavior because we know what Kaiser's behavior will be, and that is we'll go through to pass that cost through when it goes up"}, {"path": "tedlium_14240.wav", "duration": 10.02, "text": "something somewhere else in the country, using our expertise and working with a partner, and we've explored those kinds of things in the past as well."}, {"path": "tedlium_14241.wav", "duration": 10.02, "text": "This difference is predominantly related to employee-related severances and other costs associated with the execution of information technology outsourcing."}, {"path": "tedlium_14242.wav", "duration": 10.02, "text": "I want to take this opportunity to thank all of LifePoint's talented employees and physicians who work hard every day to help us achieve our mission and vision."}, {"path": "tedlium_14243.wav", "duration": 10.02, "text": "with strong brand capability. Each has its own clear brand strategy. We have also brought in from the world"}, {"path": "tedlium_14244.wav", "duration": 10.02, "text": "As a reflection of the flexibility in our project portfolio, we have responded to permitting delays on a couple of Netherlands projects by reallocating a modest amount of capital in Canada"}, {"path": "tedlium_14245.wav", "duration": 10.02, "text": "The progress we're making on all these initiatives will create efficiency across the business and support our achievement of sustainably stronger operating profitability."}, {"path": "tedlium_14246.wav", "duration": 10.02, "text": "And the reality is that we still have investments to make as part of executing and building the supply chain capabilities to deliver on the 2018 targets we just talked about. So"}, {"path": "tedlium_14247.wav", "duration": 10.02, "text": "the holistic nature of that. We tend to pride ourselves in bringing technology, human capital and infrastructure, and we can do that in a modular way."}, {"path": "tedlium_14248.wav", "duration": 10.02, "text": "The order side of things and the prospects side of things not quite so bad, so we would expect to see that recover a little bit as we go through the year. But clearly,"}, {"path": "tedlium_14249.wav", "duration": 10.02, "text": "and we are continually on the lookout for those acquisitions, which will grow the top line and add value to the combination with our business."}, {"path": "tedlium_14250.wav", "duration": 10.02, "text": "that mature in November and December 2019. We are working towards having replacement credit facilities in place"}, {"path": "tedlium_14251.wav", "duration": 10.02, "text": "We continue to believe that we've the right cost structure to withstand the challenges of the coal market that we believe we will be operating in for the foreseeable future."}, {"path": "tedlium_14252.wav", "duration": 10.02, "text": "where the contract we had put in place with that same sort of mindset and those same sort of objectives, because of just some"}, {"path": "tedlium_14253.wav", "duration": 10.02, "text": "and you paid that out, you would be criticized potentially for not earning your dividend with operating income, right. You put yourself in an impossible situation."}, {"path": "tedlium_14254.wav", "duration": 10.02, "text": "well, not lose market share in the different segments? Or is that something you would try to maintain in terms of spending what we had 2Q throughout the rest of the year?"}, {"path": "tedlium_14255.wav", "duration": 10.02, "text": "and whether it's -- it doesn't seem to be administered across the country in the same way. I'll tell you what we are fairly comfortable with"}, {"path": "tedlium_14256.wav", "duration": 10.02, "text": "Our view is that, for the strategic investment case to hold, it's not enough to just maintain it as a financial investment."}, {"path": "tedlium_14257.wav", "duration": 10.02, "text": "We anticipate an improved second half of the year, notwithstanding uncontrollable factors that include market uncertainty and weather-related claims."}, {"path": "tedlium_14258.wav", "duration": 10.02, "text": "a seller, say an eBay seller, to sign up for a marketplace, literally take all of their information, sign up and start making transactions"}, {"path": "tedlium_14259.wav", "duration": 10.02, "text": "We've purchased a 17-hectare site, and as you can see from the map, we expect to use just under half of this area for the new factory."}, {"path": "tedlium_14260.wav", "duration": 10.02, "text": "If they get through this, when they get through this, they will have a ton of properties. I think they have a serious appetite for divesting some of their own stores"}, {"path": "tedlium_14261.wav", "duration": 10.02, "text": "We expect that to continue until new high-profile and innovative devices from Samsung and Apple come to market later this year."}, {"path": "tedlium_14262.wav", "duration": 10.02, "text": "with a tremendous amount of opportunity and it's not always easy for salespeople especially to get their heads around doing something different."}, {"path": "tedlium_14263.wav", "duration": 10.02, "text": "There's been a lot of changes in the third quarter and a lot of these are the results of our direct actions that have significantly reduced"}, {"path": "tedlium_14264.wav", "duration": 10.02, "text": "Ultimately, they had a lot of different reasons why they didn't do it or excuses why they didn't do it. Now of course that it's mandated under the terms of the settlement, they"}, {"path": "tedlium_14265.wav", "duration": 10.02, "text": "and a major distribution partner committed to working with us to bring these funds to market. Now is the time to begin translating that potential into sales success."}, {"path": "tedlium_14266.wav", "duration": 10.02, "text": "Brian's contributions are both significant and deeply appreciated, and I'm happy to say that we're exploring new opportunities for Brian at Groupon. Are we happy with everything? No."}, {"path": "tedlium_14267.wav", "duration": 10.02, "text": "Furthermore, we believe, the initiatives that we have launched over the last several years aimed at improving student success and the overall quality of our offerings also contributed to our success."}, {"path": "tedlium_14268.wav", "duration": 10.02, "text": "these are strategies we're putting in place to be able to compete and win in all market segments. This business has relatively high variable margins, so our focus here has to be both around"}, {"path": "tedlium_14269.wav", "duration": 10.02, "text": "We continue to focus on investing in distribution platform in the fixed income space through strategic hires and expanding our product capabilities."}, {"path": "tedlium_14270.wav", "duration": 10.02, "text": "Very hard for us to predict what may play out there. What I would tell you is that we're confident, regardless of what decision gets made"}, {"path": "tedlium_14271.wav", "duration": 10.02, "text": "We have to drill several wells down to the reservoir level. Cores and fluids have to be taken and then put into our laboratories. So"}, {"path": "tedlium_14272.wav", "duration": 10.02, "text": "We're also pleased with the performance of CLASS, our mattress cover operation, with a solid sales and profit contribution for the third quarter."}, {"path": "tedlium_14273.wav", "duration": 10.02, "text": "This forecast reflects the latest view for sequentially lower steel costs next quarter and a full quarter impact of tariffs on Chinese imports at the 10% level."}, {"path": "tedlium_14274.wav", "duration": 10.02, "text": "Our largest market in Latin America, Brazil, continues to generate high volume growth and to trend positively despite tough competition."}, {"path": "tedlium_14275.wav", "duration": 10.02, "text": "with the, yes, no commitment on any given quarter what we will do. But I'd say a broad commitment that we're constantly looking at, return of capital is being an important part of"}, {"path": "tedlium_14276.wav", "duration": 10.02, "text": "The end of October -- or the end of the third quarter is always our lowest level because we released a lot of our pack and hold into the stores"}, {"path": "tedlium_14277.wav", "duration": 10.02, "text": "Other properties in secondary markets that have some shop occupancy or a junior anchor vacancy, there are buyers that would like to have that leasing risk."}, {"path": "tedlium_14278.wav", "duration": 10.02, "text": "Even if you can't be specific because we don't want to talk about 2018 yet, but just in general, is there some fall through to make that also lift that bias a bit?"}, {"path": "tedlium_14279.wav", "duration": 10.02, "text": "have you seen any slowdown or do you anticipate any slowdown in farmer marketing while they await those payments?"}, {"path": "tedlium_14280.wav", "duration": 10.02, "text": "Based on this seasonal pattern, Atea's aim throughout the year is to continuously improve its working capital balance from the same seasonal period last year."}, {"path": "tedlium_14281.wav", "duration": 10.02, "text": "we continue to have a whole bunch of partnership discussions with a bunch of different firms. I can't really name any new companies, but what I can say is very, very positive response,"}, {"path": "tedlium_14282.wav", "duration": 10.02, "text": "that garden variety of blip, to use the term you used, why wouldn't it be something larger? And if you could provide a bit more color around that, that would be helpful to me anyway."}, {"path": "tedlium_14283.wav", "duration": 10.02, "text": "In addition to the AMPS transaction, our third quarter results reflect, relative to the second quarter, lower investment income and lower realized investment gains"}, {"path": "tedlium_14284.wav", "duration": 10.02, "text": "given the disruption we're seeing with some of the competitors in the wound care space, just maybe talk a little bit more about some of those opportunities to win business in large health systems and wound care clinics and"}, {"path": "tedlium_14285.wav", "duration": 10.02, "text": "we simply had distributors taking down inventory in the quarter. I mean, it could be as simple as we're watching these things run through here. These things happen"}, {"path": "tedlium_14286.wav", "duration": 10.02, "text": "the goal of every company is to minimize the resources consumed in the running of the company and maximize the resources devoted to innovation and your end customers."}, {"path": "tedlium_14287.wav", "duration": 10.02, "text": "In our specialty program segment, as Barry mentioned earlier, we have intentionally reduced our exposure to certain commercial auto and general liability programs where we have determined the rate was not adequate."}, {"path": "tedlium_14288.wav", "duration": 10.02, "text": "do you think the greatest opportunity is owning the wind plant or moving the transmission wire that connects the wind plant? And is there"}, {"path": "tedlium_14289.wav", "duration": 10.02, "text": "If you start at the end of the consumer, the data growth in a way continues at almost an accelerating pace."}, {"path": "tedlium_14290.wav", "duration": 10.02, "text": "In closing, I'll highlight that our recent follow-on offering creates a strong foundation that allows the company to focus on execution and drive value across our pipeline."}, {"path": "tedlium_14291.wav", "duration": 10.02, "text": "So we're managing the capital very efficiently by adding the capacity and putting in facilities that are easy to expand as the volume starts to materialize."}, {"path": "tedlium_14292.wav", "duration": 10.02, "text": "the way our STACK system is configured, our high pressure gathering frontline generally gathers from the west towards the Chisholm plant in the east."}, {"path": "tedlium_14293.wav", "duration": 10.02, "text": "Revenue trends are solid as we are looking to grow in line with the German market. Commercial momentum and successful synergy delivery drove significant OIBDA growth."}, {"path": "tedlium_14294.wav", "duration": 10.02, "text": "actually I think the first question around lumber. And I appreciate that you guys have the purchasing power to negotiate much better deals than"}, {"path": "tedlium_14295.wav", "duration": 10.02, "text": "cash flow generation and a commitment to executing a thoughtful, clearly communicated business plan that enhances value for all of our shareholders."}, {"path": "tedlium_14296.wav", "duration": 10.02, "text": "For the first part of the financial highlights, I will focus on Cara's consolidated results and will finish with a summary of the company's segmented business performance."}, {"path": "tedlium_14297.wav", "duration": 10.02, "text": "The difference between orders and sales has to do with production lead times as a lot of orders were booked in the last 3 months."}, {"path": "tedlium_14298.wav", "duration": 10.02, "text": "this growth is coming from industry customers with some very large projects, where timing on the investment in that infrastructure"}, {"path": "tedlium_14299.wav", "duration": 10.02, "text": "They go through what we refer to as a direct marketing channel. And what we've done, interestingly, as part of the sales transformation effort, is we've taken pieces of it."}, {"path": "tedlium_14300.wav", "duration": 10.02, "text": "So I expect that combined spread for next year to be pretty consistent with what it's been over the last couple of years,"}, {"path": "tedlium_14301.wav", "duration": 10.02, "text": "But obviously, we've embedded within the range the ability to do something should it be opportunistic to do so and continue to advance our goals of extending term and weighted average duration across the balance sheet."}, {"path": "tedlium_14302.wav", "duration": 10.02, "text": "Many of the discussions that I've heard of around increased cost or the cost of compliance with BICE the need to provide additional information prior to sale"}, {"path": "tedlium_14303.wav", "duration": 10.02, "text": "I wouldn't really kind of go Transformation because it's so new and it's still kind of defining which kind of"}, {"path": "tedlium_14304.wav", "duration": 10.02, "text": "over the next year, we are really peaking out here at the end of 2017, and we'll be in a steady decline throughout '18. So just in terms of the whole"}, {"path": "tedlium_14305.wav", "duration": 10.02, "text": "Hello, everyone, and welcome to the call. Our business really came together towards the end of last year, and I'm very proud of our team for working hard to deliver these results."}, {"path": "tedlium_14306.wav", "duration": 10.02, "text": "and we make no obligation to update our disclosures. For more information about factors that may cause actual results to differ materially from forward-looking statements,"}, {"path": "tedlium_14307.wav", "duration": 10.02, "text": "Tom Durels, our Executive Vice President and Director of Leasing and Operations, will then provide an update on our portfolio. And"}, {"path": "tedlium_14308.wav", "duration": 10.02, "text": "actuarial work lump sum, but it sounded like it was maybe being replaced with pension administration. How should we think about that if interest rates are sort of"}, {"path": "tedlium_14309.wav", "duration": 10.02, "text": "We undertake no obligation to update or revise the information provided on this call or in the accompanying presentation as a result of new information or future results or developments."}, {"path": "tedlium_14310.wav", "duration": 10.02, "text": "come in a little bit. If that does not happen, we can certainly access both the brokered and the retail deposit base to fund our growth going forward."}, {"path": "tedlium_14311.wav", "duration": 10.02, "text": "What is, I guess, uncomfortable is that when investors look at it and you guys look at it, you don't see a higher forward curve. And so it's hard for you to ascribe"}, {"path": "tedlium_14312.wav", "duration": 10.02, "text": "I would note that the consultant cost savings were concentrated primarily in the second half, so fiscal 2017 will reflect those relative savings early in the year."}, {"path": "tedlium_14313.wav", "duration": 10.02, "text": "and accelerating in the second half of the year to near double-digit growth by year-end, as our initiatives continue to take hold."}, {"path": "tedlium_14314.wav", "duration": 10.02, "text": "Ultimately, we are committed to delivering on profitability as we continue to manage our way through the integration and focus on reinvesting for growth."}, {"path": "tedlium_14315.wav", "duration": 10.02, "text": "while RAV growth and recovery would be lower over the longer term. Another important point Ofgem confirmed last week was the use of economic asset life"}, {"path": "tedlium_14316.wav", "duration": 10.0199375, "text": "from EBITDA, is that a kind of -- do you look at that as a fixed number going forward? Or is that something that trends in an upward direction over time? I'm just curious."}, {"path": "tedlium_14317.wav", "duration": 9.99, "text": "On Jamalco, we have successfully reduced production cost with the plants operating profitably and further improvements are expected."}, {"path": "tedlium_14318.wav", "duration": 9.99, "text": "And if you could comment a little bit about your average cost of debt, and if there's any room for refinancing or liability management to improve that."}, {"path": "tedlium_14319.wav", "duration": 9.99, "text": "Our next generation of service offerings grew as well, and most importantly, we believe we have turned the corner on our deployment services cost structure."}, {"path": "tedlium_14320.wav", "duration": 9.99, "text": "We are seeing more traction in the use of our smart color services and more project color printing in the form of red lines and change tracking."}, {"path": "tedlium_14321.wav", "duration": 9.99, "text": "Last quarter, we highlighted our expectation that on average the next generation of funds will be approximately 30% larger than the previous generation."}, {"path": "tedlium_14322.wav", "duration": 9.99, "text": "And so they'll be a vital part of our portfolio, but they and of themselves are not products that will be introduced to the marketplace, at least not"}, {"path": "tedlium_14323.wav", "duration": 9.99, "text": "Looking ahead and as we mentioned on the second quarter conference call, we expect a substantial sequential increase in sales and margins in the fourth quarter."}, {"path": "tedlium_14324.wav", "duration": 9.99, "text": "And brachyury vaccine will be going into a Phase I study beginning of next year, looking at the intravenous administration."}, {"path": "tedlium_14325.wav", "duration": 9.99, "text": "that has been increasingly competitive with new segments and small brands. In Western Europe, the pricing environment remained challenging."}, {"path": "tedlium_14326.wav", "duration": 9.99, "text": "most of it came from a big contract in Mexico. This product -- project is now finished and fully included in the '18 figures. As"}, {"path": "tedlium_14327.wav", "duration": 9.99, "text": "which will significantly enhance the pharmacy experience for patients with the ability to refill, synchronize medications, and get access to prescription history."}, {"path": "tedlium_14328.wav", "duration": 9.99, "text": "the background the financial sector at least at this point of time looks like in a sweet spot, but as we always know that we need to keep our alert on"}, {"path": "tedlium_14329.wav", "duration": 9.99, "text": "We're also pursuing other high-return investment opportunities similar to this at both Richmond and Martinez."}, {"path": "tedlium_14330.wav", "duration": 9.99, "text": "it does exactly that. And so whether I'm an advertiser or an agency, I'm incredibly interested in seeing that clarity in the marketplace. Ultimately,"}, {"path": "tedlium_14331.wav", "duration": 9.99, "text": "We also have seen real uptake over the last X number of quarters from our new product portfolio and the investments we made over the years in 3D printing"}, {"path": "tedlium_14332.wav", "duration": 9.99, "text": "They aren't the drivers of the high earnings and the high revenue growth. What they are typically is the stability of creating a longer-term stable foundation"}, {"path": "tedlium_14333.wav", "duration": 9.99, "text": "While we are very pleased with the performance of our initial 2 locations in Toronto, particularly with guest acceptance, satisfaction scores and team engagement, which are some of the highest in the system,"}, {"path": "tedlium_14334.wav", "duration": 9.99, "text": "at this point, it's way too early to call whether or not our pipeline is going to be successful, but we think it's quite important that we have multiple shots on goal,"}, {"path": "tedlium_14335.wav", "duration": 9.99, "text": "the bid opportunities are coming out kind of aligned with their lead time on the aircraft design itself."}, {"path": "tedlium_14336.wav", "duration": 9.99, "text": "valuable to the customers we serve and make them want to be able to use our services in a faster way. The CUI crawlers, those were, again, just another way of"}, {"path": "tedlium_14337.wav", "duration": 9.99, "text": "and so that information, I think, is something that people are closely evaluating. And the other element is the pragmatic aspect of the single administration"}, {"path": "tedlium_14338.wav", "duration": 9.99, "text": "We are confident these positive trends will continue going forward. For the last 20 years, we have demonstrated a consistent ability"}, {"path": "tedlium_14339.wav", "duration": 9.99, "text": "Excluding the project, revenues are projected to increase approximately 15%, slightly down from our previous projections due to some project slippage in the linings business."}, {"path": "tedlium_14340.wav", "duration": 9.99, "text": "and cause these forward-looking statements to be inaccurate. A more detailed discussion of certain of the risk factors that could cause these future-looking statements to be inaccurate"}, {"path": "tedlium_14341.wav", "duration": 9.99, "text": "We have advanced work on the remaining buildings with the goal of coming to grade through Q2 2019. We have tendered the majority of the work for the project"}, {"path": "tedlium_14342.wav", "duration": 9.99, "text": "The company's monitored home and personal security offerings have historically included a manufacturing installation and servicing of its own proprietary wireless 2-way voice controller panels,"}, {"path": "tedlium_14343.wav", "duration": 9.99, "text": "to give specifics. As I mentioned earlier, we've made tremendous progress in a short period of time, but there still is a degree of uncertainties that we need to get our hands wrapped around."}, {"path": "tedlium_14344.wav", "duration": 9.99, "text": "As many of you know, over the past few months, Endo has undertaken an overall assessment of our company's strategy in its asset and product portfolios."}, {"path": "tedlium_14345.wav", "duration": 9.99, "text": "over some years. And if I go back to previous question relating to the actual payment mechanism for this, I suppose my"}, {"path": "tedlium_14346.wav", "duration": 9.99, "text": "Because we collect approximately twice the amount of recovered paper we consume through our recycling operations, we have a partial hedge against rising OCC prices."}, {"path": "tedlium_14347.wav", "duration": 9.99, "text": "it's a recipe for a lot of opportunity that can play well in the way the customers want to eat food today and I believe how they want to eat food in the future."}, {"path": "tedlium_14348.wav", "duration": 9.99, "text": "we talked about EPS in my prepared comments, a single quarter is now larger than what this company used to do in a full year"}, {"path": "tedlium_14349.wav", "duration": 9.99, "text": "That being said, we must continue to move forward. While the toughest parts of our transformation is behind us, we still certainly have more work in front of us."}, {"path": "tedlium_14350.wav", "duration": 9.99, "text": "Following the completion of the senior housing disposition, our remaining nonmultifamily assets are primarily medical office buildings, which we intend to opportunistically sell in the future."}, {"path": "tedlium_14351.wav", "duration": 9.99, "text": "and report on this statistic, it will provide meaningful insight into the overall growth of the product and provide a indicator of expected future revenue growth."}, {"path": "tedlium_14352.wav", "duration": 9.99, "text": "one of our Heartland businesses as well as from roofing granules. As we expected, organic growth in Health Care was similar to the third quarter"}, {"path": "tedlium_14353.wav", "duration": 9.99, "text": "and a favorable end to 2016. We continue to be pleased with the market share of our product -- of all of our product categories."}, {"path": "tedlium_14354.wav", "duration": 9.99, "text": "including increased application levels and dealer contribution, higher average ticket and increasing momentum in our Franchise and Transportation channels."}, {"path": "tedlium_14355.wav", "duration": 9.99, "text": "We continue to be awarded new contracts, which will result in opening 2 additional stores expected to open before the end of the fiscal year."}, {"path": "tedlium_14356.wav", "duration": 9.99, "text": "As we sit and look at the business levels this quarter, it doesn't look like we've lost anything significant. It looks like we"}, {"path": "tedlium_14357.wav", "duration": 9.99, "text": "Starting with growth, we want to help our advisers operate thriving practices with differentiated services that win in the marketplace. To help achieve this goal,"}, {"path": "tedlium_14358.wav", "duration": 9.99, "text": "As mentioned in the previous slides, in order to keep our competitive advantage in connectivity, we continued our investment efforts,"}, {"path": "tedlium_14359.wav", "duration": 9.99, "text": "all point to this idea that this is a global phenomenon. This is not one group or one industry or one region. This is the whole world, every industry."}, {"path": "tedlium_14360.wav", "duration": 9.99, "text": "And we are evaluating whether the opportunity exists to refinance early and extend the maturity date and reduce the interest cost of that security."}, {"path": "tedlium_14361.wav", "duration": 9.99, "text": "Just one tiny bit to finish on the overall shape of the portfolio, so we've talked about cleaning up the portfolio"}, {"path": "tedlium_14362.wav", "duration": 9.99, "text": "The other growth drivers for digital was the extra time offering that we launched both in South Africa as well as in Nigeria."}, {"path": "tedlium_14363.wav", "duration": 9.99, "text": "On the contrary, I assure you that the enormity of the opportunity that we shared with you at our China Investor Day remains fully intact."}, {"path": "tedlium_14364.wav", "duration": 9.99, "text": "Our strategy is simple. We will increase spirits participation in emerging markets and support premiumization in developed markets."}, {"path": "tedlium_14365.wav", "duration": 9.99, "text": "certainly looking at what's happening in terms of the economic environment and what's happening to capital levels in the industry generally"}, {"path": "tedlium_14366.wav", "duration": 9.99, "text": "putting the right systems, policies and management team and we believe this business is now well-positioned for the next phase of investment. In particular with regards to bread,"}, {"path": "tedlium_14367.wav", "duration": 9.99, "text": "Expenses will increase temporarily during the fourth quarter, so we will maintain the revised full year earnings forecast for the first half financial announcement."}, {"path": "tedlium_14368.wav", "duration": 9.99, "text": "let me recap our latest strategic moves. DiamondRock is focused on creating long-term shareholder value throughout all phases of the lodging cycle."}, {"path": "tedlium_14369.wav", "duration": 9.99, "text": "But as I said, we still believe there are rooms to improve efficiency and adjust how we work and how we prioritize in some areas,"}, {"path": "tedlium_14370.wav", "duration": 9.99, "text": "The current environment, which combines slightly slowing demand with rising labor costs, has created some sensitivity in pricing compared to a year ago."}, {"path": "tedlium_14371.wav", "duration": 9.99, "text": "can you just talk about what your plans are for that over the next 12 months in terms of, say, exiting rooms from the system? And what we can reasonably expect"}, {"path": "tedlium_14372.wav", "duration": 9.99, "text": "fully signed by Sunday night, fully binding, we applied for a sanction, a relief for license to operate essentially from OFAC on Sunday night."}, {"path": "tedlium_14373.wav", "duration": 9.99, "text": "Such statements include declarations regarding the intent, belief or current expectations of the company and its management, including those related to cash flow,"}, {"path": "tedlium_14374.wav", "duration": 9.99, "text": "It's not unusual for labs, especially the smaller- to medium-sized independent labs to send these specimens to those specialized labs on a reference basis."}, {"path": "tedlium_14375.wav", "duration": 9.99, "text": "As we are actively marketing this property, we will not discuss the specifics of a potential transaction or speculate on potential proceeds"}, {"path": "tedlium_14376.wav", "duration": 9.99, "text": "That's why we bought Al Salomi. And now I think you're starting to see the dynamic coming to fruition. Now what's interesting is Southern Spain and Italy -- or"}, {"path": "tedlium_14377.wav", "duration": 9.99, "text": "for the natural gas users. In our case, we do much of the work mostly on gas distribution."}, {"path": "tedlium_14378.wav", "duration": 9.99, "text": "With both programs, we've also completed exhaustive and extensive regulatory discussions to inform the progression of these programs in the pivotal registrational studies."}, {"path": "tedlium_14379.wav", "duration": 9.99, "text": "and higher compensation costs due to headcount and the timing of annual raises as well as the timing of recording"}, {"path": "tedlium_14380.wav", "duration": 9.99, "text": "Obviously, we need to see growth return at the top line to help drive further improvement in operating income, but do recognize the market dynamics being faced by the segment."}, {"path": "tedlium_14381.wav", "duration": 9.99, "text": "given some of the, let's call them, macro uncertainties that we've seen? Is there any early preparation for IFRS 9? I know you have"}, {"path": "tedlium_14382.wav", "duration": 9.99, "text": "To achieve this, Gannett must remain strong and have the financial flexibility to support investment in critical resources."}, {"path": "tedlium_14383.wav", "duration": 9.99, "text": "As we have indicated, we see this as an investment, since we consider an important part of franchisee engagement, success and growth."}, {"path": "tedlium_14384.wav", "duration": 9.99, "text": "is to focus more on aggressively broadening our distribution points, both within Quebec, but also beyond its borders."}, {"path": "tedlium_14385.wav", "duration": 9.99, "text": "We expect the vast majority of this reduced volume to be offset once we have additional TPPL manufacturing capacity allowing EnerSys to expand sales"}, {"path": "tedlium_14386.wav", "duration": 9.99, "text": "So I think we have a few levers. As again, if the market slows down on a more consistent that we believe is going to go into a slower environment,"}, {"path": "tedlium_14387.wav", "duration": 9.99, "text": "In addition, based on recent industry trends, we believe there is an opportunity for additional premium increases as well as benefit changes,"}, {"path": "tedlium_14388.wav", "duration": 9.99, "text": "While we have retained a high percentage of the rise in short rates to date, we are closely monitoring crediting rates to remain competitive with peers."}, {"path": "tedlium_14389.wav", "duration": 9.99, "text": "The group is at its optimal capital structure and continues to generate returns on invested capital much greater than 10%. As a result,"}, {"path": "tedlium_14390.wav", "duration": 9.99, "text": "We plan to accomplish this through operational efficiencies by expanding our growth platforms and reducing our exposure to lower-return markets."}, {"path": "tedlium_14391.wav", "duration": 9.99, "text": "direct experience with it. And as a result, we do think that it's prudent for us to be frankly pretty conservative in the revenue that we're going to recognize."}, {"path": "tedlium_14392.wav", "duration": 9.99, "text": "Very simply, a very concrete economic policy that has passed Congress and it is enacted into law"}, {"path": "tedlium_14393.wav", "duration": 9.99, "text": "but I wonder if you could maybe touch on that a little bit. And then one question for Brian on free cash flow, if you could maybe touch on what you're expecting for the full year."}, {"path": "tedlium_14394.wav", "duration": 9.99, "text": "First of all, we offer the possibility to any customer to submit their refurbishment project to a professional interior design architect"}, {"path": "tedlium_14395.wav", "duration": 9.99, "text": "We are also launching our first of first specifically designed for small spaces and this is to address customer needs around city centers"}, {"path": "tedlium_14396.wav", "duration": 9.99, "text": "And so as we've looked at where we wanted to invest in the business, we've allowed that investment to continue, which has driven most of our expenses."}, {"path": "tedlium_14397.wav", "duration": 9.99, "text": "Significantly, we finally had the functional team in place for a full 3 months and the early signs of operating results from the organization working towards common goals and initiatives are very encouraging."}, {"path": "tedlium_14398.wav", "duration": 9.99, "text": "owner of the facility, do you feel that having a broader service offering is going to help you price in the future"}, {"path": "tedlium_14399.wav", "duration": 9.99, "text": "millions of changes that come into that all get initiated on January 1. Our call center people have to be prepared for that. Our account management teams have to work with our clients on it."}, {"path": "tedlium_14400.wav", "duration": 9.99, "text": "I would say it's almost certainly true that we will enter a third therapeutic area. Will that be in 2018? Hard to say."}, {"path": "tedlium_14401.wav", "duration": 9.99, "text": "As we noted last quarter, under the new guidance, we are now recording certain dealer payments as expenses within cost of goods sold that were previously classified as a reduction in net sales."}, {"path": "tedlium_14402.wav", "duration": 9.99, "text": "One relationship was previously identified as a special mention loan several quarters ago, and the other was already classified as a problem."}, {"path": "tedlium_14403.wav", "duration": 9.99, "text": "Finally, we recently filed a settlement in our New Mexico rate case, which was reached between SPS, the staff and other parties."}, {"path": "tedlium_14404.wav", "duration": 9.99, "text": "The second is to reduce Medicare spending for beneficiary. Importantly, this second objective is measured over a 90-day episode,"}, {"path": "tedlium_14405.wav", "duration": 9.99, "text": "So right now our customers are saying they think it's more of an inventory issue, but we'll get more color to that as we go through the third quarter. But that's all we have right now."}, {"path": "tedlium_14406.wav", "duration": 9.99, "text": "So I think it's been difference where the business was. And again, I want to be -- it's important here that the board is really coming back in terms of overall governance,"}, {"path": "tedlium_14407.wav", "duration": 9.99, "text": "We expect to move into GaN power electronics. We've got the early start there and we're delivering some great results with our Propel product."}, {"path": "tedlium_14408.wav", "duration": 9.99, "text": "you don't recover about half of that. So that goes straight to the NOI. So that's part of it. Part of it is a marginal read-through of the rental deals that we've done"}, {"path": "tedlium_14409.wav", "duration": 9.99, "text": "In the entire energy supply chain, including natural gas, which covers a large area from upstream to downstream."}, {"path": "tedlium_14410.wav", "duration": 9.99, "text": "long-haul debottlenecking is very difficult. And as I said in the prepared remarks, you really have to wait for the significant additional capacity to come on with projects."}, {"path": "tedlium_14411.wav", "duration": 9.99, "text": "As highlighted on Slide 3, these results were slightly ahead of our expectations for the first quarter and we're pleased to make progress towards the continued execution of our strategic plans."}, {"path": "tedlium_14412.wav", "duration": 9.99, "text": "in particular DuraSeal, has gotten to a really good place overall versus where we were last year, given the contracting efforts that we put in place. And so"}, {"path": "tedlium_14413.wav", "duration": 9.99, "text": "we are not changing our production guidance range for 2018. We have made significant steps to reduce our transportation costs in Colombia."}, {"path": "tedlium_14414.wav", "duration": 9.99, "text": "So we have normal trade receivables and payables as you would expect in any global company. And so the majority of that is not intercompany debt."}, {"path": "tedlium_14415.wav", "duration": 9.99, "text": "A little bit of cash left over and with some debt that we picked up during the year. We fully funded all of our CapEx, all of our dividend requirements."}, {"path": "tedlium_14416.wav", "duration": 9.99, "text": "That said, we are pleased to see the turn in this indicator for our markets as well as the solid growth in our internal backlogs."}, {"path": "tedlium_14417.wav", "duration": 9.99, "text": "I mean, increasingly, the funding is there to grow at faster rates. That said, I think when you have a portfolio as broad as ours across as many markets as we're in, and"}, {"path": "tedlium_14418.wav", "duration": 9.99, "text": "And Bank of China announced that it's going to take its aviation group and put it on the Hong Kong Stock Exchange. These are all pretty big deals. It's all happened in a fairly short time frame."}, {"path": "tedlium_14419.wav", "duration": 9.99, "text": "we don't have perfect clarity on that where we are today. One thing we need to resolve is our NGL solution in Oklahoma so that we understand"}, {"path": "tedlium_14420.wav", "duration": 9.99, "text": "And so that capital is available to redirect into drilling. So I feel good about this year. I feel good about where we're going in 2020, and we'll stay that program."}, {"path": "tedlium_14421.wav", "duration": 9.99, "text": "And revenue growth itself in dollars has been accelerating as well. And much more so over the last year when all the momentum we are building has started to translate into revenue."}, {"path": "tedlium_14422.wav", "duration": 9.99, "text": "While pricing pressures will continue, a raft of new international clearances bodes well for a more positive second half of the year internationally."}, {"path": "tedlium_14423.wav", "duration": 9.99, "text": "the enhancement that blockchain offers to global settlement systems and payment systems offer a significant opportunity for us. So I think the answer is yes."}, {"path": "tedlium_14424.wav", "duration": 9.99, "text": "Thank you, Alan, and good afternoon, everyone. I will open with our economic update and outlook and discuss our revenue performance and business conditions in each segment"}, {"path": "tedlium_14425.wav", "duration": 9.99, "text": "And most of that progress is being driven by the core team of hunters that have been in place for a while. Nearly half the team is new,"}, {"path": "tedlium_14426.wav", "duration": 9.99, "text": "Well, we've got operational challenges that would certainly be unique for us with Hawaii, and I think that's the bigger issue for us."}, {"path": "tedlium_14427.wav", "duration": 9.99, "text": "is recruiting strong, sending a large number of people through the training process and we are having people engaged. Too early to tell you at this point what the results might be."}, {"path": "tedlium_14428.wav", "duration": 9.99, "text": "Now we are not where we need to be yet, but we hope to show some progress in the second quarter this year and especially in the second half of the year when we should have fully implemented the new plan."}, {"path": "tedlium_14429.wav", "duration": 9.99, "text": "So as we develop the future leadership team for The Tile Shop, you should not be surprised that we will focus our efforts first on our in-house leaders."}, {"path": "tedlium_14430.wav", "duration": 9.99, "text": "In order to reduce uncertainty around this small aspect of our business, when there are significant developments with regard to broadcasting, we will provide updates."}, {"path": "tedlium_14431.wav", "duration": 9.99, "text": "We will, to be clear, be looking for a pathway that ensures the long-term viability of an asset that is important not only for us but also to Tanzania as a whole."}, {"path": "tedlium_14432.wav", "duration": 9.99, "text": "This was driven by organic sales growth of 5% and the benefit of acquisitions, which were partially offset by higher raw material cost."}, {"path": "tedlium_14433.wav", "duration": 9.99, "text": "Though we expect only limited revenue impact in 2016, as implementations of new sales will not be completed until the second half of this year,"}, {"path": "tedlium_14434.wav", "duration": 9.99, "text": "increases the book value of assets acquired to an appraised fair market value level. It is this write-up of assets that generates"}, {"path": "tedlium_14435.wav", "duration": 9.99, "text": "And then also could you -- can you maintain this level of growth going forward in the Americas? Or do you think you'll need to maybe lean more on Europe for growth going forward?"}, {"path": "tedlium_14436.wav", "duration": 9.9899375, "text": "Mike McFerran and I will then walk you through the separate presentation that Carl mentioned on our election before we take your questions. So with that, I'll hand the call over to Mike McFerran. Thanks, Mike."}, {"path": "tedlium_14437.wav", "duration": 9.9899375, "text": "Going to Slide 7. We continued to experience the effects of a strong overall industry environment during the quarter with increases in demand from our top 5 customers."}, {"path": "tedlium_14438.wav", "duration": 9.9600625, "text": "And that is addressing both direct as well as the indirect. And again, we've made a lot of progress there, not just in terms of"}, {"path": "tedlium_14439.wav", "duration": 9.9600625, "text": "In Page 15, we have the rest of the lines of our financial statements, so we finished up the operating income"}, {"path": "tedlium_14440.wav", "duration": 9.96, "text": "This product continues to be very well received by users. Daily active user is approaching 10 million"}, {"path": "tedlium_14441.wav", "duration": 9.96, "text": "consumer end products, which are mostly launched in the second half of the year. So production is built up in the first half"}, {"path": "tedlium_14442.wav", "duration": 9.96, "text": "and look at some of the things that we want to do to ensure that its a success, not just in terms of the cost savings, but in terms of"}, {"path": "tedlium_14443.wav", "duration": 9.96, "text": "The real upside for value creation is combining 2 successful organizations into an even more innovative and talented professional services firm."}, {"path": "tedlium_14444.wav", "duration": 9.96, "text": "on a mobile device without requiring the brand to develop or the customer to download a standalone app."}, {"path": "tedlium_14445.wav", "duration": 9.96, "text": "we're about to have 4 different products. Customers can come in directly to any one of these products. Obviously, for those customers that come in just for their credit score, there's no revenue directly associated with it."}, {"path": "tedlium_14446.wav", "duration": 9.96, "text": "This sale followed the purchase of a separate site, still in Florida, which is better suited for our construction and installation team based in Pompano Beach."}, {"path": "tedlium_14447.wav", "duration": 9.96, "text": "and to participate richly as the BDC industry continues to evolve and develop into a major component of our country's capital market system."}, {"path": "tedlium_14448.wav", "duration": 9.96, "text": "We're not -- we're probably not going to ever forecast right now how many points of OR we might get if we got that kind of improvement. I think you can look at our"}, {"path": "tedlium_14449.wav", "duration": 9.96, "text": "That's a strategic partner deal who is ramping at this point in time and doubled their usage throughput in October over September, and September had doubled it over"}, {"path": "tedlium_14450.wav", "duration": 9.96, "text": "Is this permit still unchanged? And the reason for this accounting procedure is because you are not sure how the price will turn out?"}, {"path": "tedlium_14451.wav", "duration": 9.96, "text": "Understood. Okay. And then maybe just one last one on the tax rate. Any update on your expectations there just given some of the changes that are going on in New Jersey?"}, {"path": "tedlium_14452.wav", "duration": 9.96, "text": "So in this area also for our customers, if you look at the carbide-based PVC, some regulations are on"}, {"path": "tedlium_14453.wav", "duration": 9.96, "text": "this is not unlike how we're operating in other fields. And what this does is provide a good balance between having strong focus on the channel and building"}, {"path": "tedlium_14454.wav", "duration": 9.96, "text": "We have the capabilities and the means to deliver sustainable value for all stakeholders."}, {"path": "tedlium_14455.wav", "duration": 9.96, "text": "I asked this question because if I look at your recent business approaches, I do not think that you place high -- the foremost priority on the shareholders."}, {"path": "tedlium_14456.wav", "duration": 9.96, "text": "Transported intrastate volumes increased due to higher demand for exports to Mexico as well as the addition of new pipes to our intrastate system."}, {"path": "tedlium_14457.wav", "duration": 9.96, "text": "We spent much of the first quarter evaluating the potential fit of the Hatteras portfolio with our own assets, and we continue to feel positive about the combination of the 2 portfolios."}, {"path": "tedlium_14458.wav", "duration": 9.96, "text": "We are now better able to understand shifts in demographics, socioeconomic trends in specific towns and other reasons behind customers coming to and leaving"}, {"path": "tedlium_14459.wav", "duration": 9.96, "text": "Okay. And that's helpful, and then on a new store productivity in the third quarter, you mentioned Jackson was really strong. So did you see that type of"}, {"path": "tedlium_14460.wav", "duration": 9.96, "text": "In line with our company's new vision, we recently announced our plan to remove all artificial ingredients from products that carry our brand."}, {"path": "tedlium_14461.wav", "duration": 9.96, "text": "that a lot of the loans that have been originated for purposes of quick transaction are not just sitting on the balance sheet of our financial institution clients,"}, {"path": "tedlium_14462.wav", "duration": 9.96, "text": "Ladies and gentlemen, on behalf of Kotak Mahindra Bank that concludes this conference call for today. Thank you for joining us and you may now disconnect your lines."}, {"path": "tedlium_14463.wav", "duration": 9.96, "text": "solely due to lower metal prices, and this also reduces our gross profit dollars, most of which would also reduce our operating and pretax profits."}, {"path": "tedlium_14464.wav", "duration": 9.96, "text": "Our growth initiatives in both Watch and Buy are strengthening our competitive advantages as evidenced by new client wins in both segments and the launch of new products into the marketplace."}, {"path": "tedlium_14465.wav", "duration": 9.96, "text": "Over the past several months, we've had many one-on-one discussions with senior leaders of our clients regarding the need to redefine the currency, and this those discussions have been productive."}, {"path": "tedlium_14466.wav", "duration": 9.96, "text": "Earlier in the year, we increased our Potash Royalty exposure with the addition of additional partnership units from Liberty, which proved to be very well timed."}, {"path": "tedlium_14467.wav", "duration": 9.96, "text": "Maybe one day consumers will come back for your existing product. The sad thing is, when they come back, maybe your existing product is already gone."}, {"path": "tedlium_14468.wav", "duration": 9.96, "text": "Many other providers will change prices on customers retroactively, without notice, after the electricity has been consumed, and they learn about it when they receive their bill."}, {"path": "tedlium_14469.wav", "duration": 9.96, "text": "The vast majority of our externally funded engineering resources have been focused on supporting Meritor and the E-axle program."}, {"path": "tedlium_14470.wav", "duration": 9.96, "text": "Looking at our market opportunity on Slide 9, we are uniquely positioned to be the consolidator of choice in a fragmented U.S. landscaping industry."}, {"path": "tedlium_14471.wav", "duration": 9.96, "text": "We believe in the value proposition of our combined entity, and view our growth story as only being in its early stages. However,"}, {"path": "tedlium_14472.wav", "duration": 9.96, "text": "However, with our management deals, we look for projects in which we can manage the full food and beverage services for our hotels at their multiple venues."}, {"path": "tedlium_14473.wav", "duration": 9.96, "text": "firepower in terms of increased rates. So we feel really good about what we're doing on the core deposit side. You see a few outliers that have"}, {"path": "tedlium_14474.wav", "duration": 9.96, "text": "For attendees, trade shows allow them to meet existing new suppliers, to buy products and services, to learn more about current trends and generally network within their industry."}, {"path": "tedlium_14475.wav", "duration": 9.96, "text": "on a more serious note, what we need to do is execute and that"}, {"path": "tedlium_14476.wav", "duration": 9.96, "text": "So finally, on international, looking ahead. And as we've said many, many times before, the international travel market is very large"}, {"path": "tedlium_14477.wav", "duration": 9.96, "text": "We expect total company revenue to increase in the mid-teens year-over-year, driven by both subscription and Premion revenue growth as well as substantially higher political revenue."}, {"path": "tedlium_14478.wav", "duration": 9.96, "text": "The still stands. We are very happy with the progress, and we are very unhappy with the state where we are, but we are making progress in trying to change the latter."}, {"path": "tedlium_14479.wav", "duration": 9.96, "text": "Please see the release and our SEC filings for information on the risks and uncertainties that may cause actual results to differ materially"}, {"path": "tedlium_14480.wav", "duration": 9.96, "text": "And so we -- when we look at international expansion, we're not looking at Europe or Asia or anything like that, but we are looking around the borders of CXI, and"}, {"path": "tedlium_14481.wav", "duration": 9.96, "text": "and we know also that on smart power technologies with time it is important to go to 12-inch,"}, {"path": "tedlium_14482.wav", "duration": 9.96, "text": "is either reduced or 0. So it cannot be better than today. If you look at it today, dtac has a whole range of frequencies."}, {"path": "tedlium_14483.wav", "duration": 9.96, "text": "could have come on slightly later, but there was a customer that wanted it like a week or so earlier and it just slipped into the earlier quarter. So"}, {"path": "tedlium_14484.wav", "duration": 9.96, "text": "Super users have privileged access that if compromised can devastate an organization, and the complexity of protecting assets and applications in an elastic environment is daunting."}, {"path": "tedlium_14485.wav", "duration": 9.96, "text": "Thanks, Troy. Please turn to Slide 13. We are pleased with the progress of our business, particularly the swing to organic growth in the Americas DCS business,"}, {"path": "tedlium_14486.wav", "duration": 9.96, "text": "how do you expect the services footprint to expand with clients in terms of, perhaps, average client revenue potential?"}, {"path": "tedlium_14487.wav", "duration": 9.96, "text": "that will benefit us long term. We continued to harvest some of that cost saving over there, some of it is already in place. In fact, I'd say a big slug of it is in place,"}, {"path": "tedlium_14488.wav", "duration": 9.96, "text": "Yes. So I was just wondering if you can just talk about the number of other programming that you would have increased on a Y-o-Y basis across your driver channels."}, {"path": "tedlium_14489.wav", "duration": 9.96, "text": "when they went live, but there's probably less impact on that in the quarter because there was some training involved and then merchant services"}, {"path": "tedlium_14490.wav", "duration": 9.96, "text": "adjusted operating profit and EBITDA to all increase slightly higher than adjusted EPS due to higher projected interest rate expense from our bond financing"}, {"path": "tedlium_14491.wav", "duration": 9.96, "text": "We feel the medical device and consumer electronics world is -- continues to be extremely strong and we think we -- we're growing in that area."}, {"path": "tedlium_14492.wav", "duration": 9.96, "text": "you're working on, but are you -- can you give us an idea of what kind of level of serious negotiation of that 75 that are quite advanced?"}, {"path": "tedlium_14493.wav", "duration": 9.96, "text": "Now our plan is to load that plant as much as possible early. We like the fact that it's on the West Coast so there'll be some immediate logistics"}, {"path": "tedlium_14494.wav", "duration": 9.96, "text": "We intend to leverage our position as the largest distributor of global online training with hundreds of millions of course registrations each year"}, {"path": "tedlium_14495.wav", "duration": 9.96, "text": "we have to continue working on cost reductions despite this environment. So that is going to be another factor that we have to take into consideration. So as I said at the outset though,"}, {"path": "tedlium_14496.wav", "duration": 9.96, "text": "to point to marketing as either our issue or our opportunity would be not very thoughtful. I mean, we have"}, {"path": "tedlium_14497.wav", "duration": 9.96, "text": "this is a great -- high volatility actually that is a reflection of the hydrological profile we have had in Brazil."}, {"path": "tedlium_14498.wav", "duration": 9.96, "text": "we experienced in the first quarter of fiscal 2018. Store expenses as a percentage of sales decreased approximately 60 basis points"}, {"path": "tedlium_14499.wav", "duration": 9.96, "text": "The FHA Multifamily division has had minimal production during the second quarter, but has a solid pipeline of transactions we have been"}, {"path": "tedlium_14500.wav", "duration": 9.96, "text": "to the board for all of their insights during this transformation and most importantly, to all of my HPE colleagues for their support and dedication to make all of this happen."}, {"path": "tedlium_14501.wav", "duration": 9.96, "text": "So what we're doing now is we're working on, first, to better understand and quantify the significant financial and social impact"}, {"path": "tedlium_14502.wav", "duration": 9.96, "text": "has been a driving -- a driver of compensation of other things and what we are telling you is that next year, this is not going to be so much true. So we are"}, {"path": "tedlium_14503.wav", "duration": 9.96, "text": "around anything with a larger ticket item associated with it. That's the biggest change. But if you look at kind of general day rates, that looks like it's looked like for a long time."}, {"path": "tedlium_14504.wav", "duration": 9.96, "text": "they are working to understand and have a 360-degree view of their customer, and the power of that is really"}, {"path": "tedlium_14505.wav", "duration": 9.96, "text": "Starbucks' success, growth and sustainable long-term business approach has incented upstarts and other players to enter the coffee business from time to time."}, {"path": "tedlium_14506.wav", "duration": 9.96, "text": "Bread and wheat flour performed below expectation in the face of carbohydrate substitution and increased competitive activity."}, {"path": "tedlium_14507.wav", "duration": 9.96, "text": "And although we don't intend to close any Edgartown National branches, we believe we can achieve these financial results primarily through efficiency gains."}, {"path": "tedlium_14508.wav", "duration": 9.96, "text": "Brazil's economy continued to feel the effects of negative growth. Given the macro economic environment, our local leadership team continued their ongoing focus"}, {"path": "tedlium_14509.wav", "duration": 9.96, "text": "The higher inventory includes an assumed increase in Polymer raw material costs and an increase in Polymer finished goods, the latter resulting from a decision"}, {"path": "tedlium_14510.wav", "duration": 9.96, "text": "And aside from this, there was -- we have booked in full in July the cost unwinding the interest rate hedge associated with this loan."}, {"path": "tedlium_14511.wav", "duration": 9.96, "text": "The primary adjustment is to add the month of October 2014 into the first quarter and shift the other months appropriately."}, {"path": "tedlium_14512.wav", "duration": 9.96, "text": "We really started over the holidays saying, let's go through and do a robust analysis of what the risks are and are we just seeing some of the risk items that"}, {"path": "tedlium_14513.wav", "duration": 9.96, "text": "Both sides are wrapping up their cases and are now preparing for closing arguments on April 30. After that, we'll wait for the court's ruling."}, {"path": "tedlium_14514.wav", "duration": 9.96, "text": "trying to pull out the Geismar revenue. I will say, though, that we do expect a pretty modest uplift"}, {"path": "tedlium_14515.wav", "duration": 9.96, "text": "But it did, in the case of some of the solar activities, where again this is work that should have started"}, {"path": "tedlium_14516.wav", "duration": 9.96, "text": "Tyler asked earlier about thresholds for norepinephrine, and again, that's a -- the plan in the program is to use thresholds to ensure that the patients who are coming in could respond"}, {"path": "tedlium_14517.wav", "duration": 9.96, "text": "event to talk about. But our focus is still within China and not just within the Tacoma to be able to do very cost"}, {"path": "tedlium_14518.wav", "duration": 9.96, "text": "We also outlined our planned priorities for 2017 and our longer term goal of becoming a leading diversified global aesthetics company."}, {"path": "tedlium_14519.wav", "duration": 9.96, "text": "we're running today smarter FX strategies, thanks to, I'll say the quant genius of some of the KCG guys. We got some really talented"}, {"path": "tedlium_14520.wav", "duration": 9.96, "text": "The provision was recognized at the first half. Additional detail explaining the nature of the provision is provided in the review of operations, so I won't repeat that here."}, {"path": "tedlium_14521.wav", "duration": 9.96, "text": "Perhaps just two relatively related. Could you comment on Sherwin-Williams? How you've seen their initial impact on the market and how you read that going forward?"}, {"path": "tedlium_14522.wav", "duration": 9.96, "text": "I would also like to address Alpha's developments in renewable energy and their energy storage systems for residential and consumer customers."}, {"path": "tedlium_14523.wav", "duration": 9.96, "text": "Finally, an adequate level of international reserves offsets the risks arising from the external account, with solvency indicators approximating their best results in years."}, {"path": "tedlium_14524.wav", "duration": 9.96, "text": "of the peso. And when you have an appreciation of the peso, the conversion adjustment line decreases more so than the relief that we get from"}, {"path": "tedlium_14525.wav", "duration": 9.96, "text": "In architecturally specified building products, the commercial construction backdrop continues to remain strong. However, project delays across the industry have tempered our growth rates."}, {"path": "tedlium_14526.wav", "duration": 9.96, "text": "We do expect to see additional outages impacting costs during Q3. It was good to see the 1% price impact on sales,"}, {"path": "tedlium_14527.wav", "duration": 9.96, "text": "So you're talking about maybe for next fiscal year the adjusted operate -- adjusted income and the operating income will come closer?"}, {"path": "tedlium_14528.wav", "duration": 9.96, "text": "With our board, we have support and guidance from world-class institutional sponsors. These owners represent roughly half of our outstanding shares,"}, {"path": "tedlium_14529.wav", "duration": 9.96, "text": "that we have the ability to continue to put capital back in our shareholders' hands and invest it in the business and create continued growth opportunities."}, {"path": "tedlium_14530.wav", "duration": 9.96, "text": "Hitting our bonefish targets, driving return on equity is still one of our primary objectives that we focus on day in, day out in our management strategies. So"}, {"path": "tedlium_14531.wav", "duration": 9.96, "text": "The elimination of this debt provides further flexibility to sell assets without any debt encumbrances and allows us to sustain our capital recycling efforts."}, {"path": "tedlium_14532.wav", "duration": 9.96, "text": "separately, at the beginning of the year, you laid out your Project Lightning plans and talked about sort of fine-tuning your CapEx expectations. I don't know if you're far enough through the budgeting process. But do you have a sense,"}, {"path": "tedlium_14533.wav", "duration": 9.96, "text": "Though we are proud of what we've achieved during the fourth quarter, we are even more encouraged about our prospects moving forward, given the strength of our unique asset base."}, {"path": "tedlium_14534.wav", "duration": 9.96, "text": "We have responded with targeted promotions and the launch of new formats, in part, using these as an opportunity to reposition our products."}, {"path": "tedlium_14535.wav", "duration": 9.96, "text": "While still in the early innings of our initiatives to optimize our marketing efforts, we are very encouraged by the strong results of the pilot campaigns we launched in the third quarter."}, {"path": "tedlium_14536.wav", "duration": 9.96, "text": "Well, probably the most important and exciting part of that question is that we're actually able to discuss it. And I feel great about what's ahead of us in the next 12 months."}, {"path": "tedlium_14537.wav", "duration": 9.96, "text": "Our inpatient clinical information system has been installed at 6 former Reliant hospitals and will be installed in all former Reliant hospitals by year-end."}, {"path": "tedlium_14538.wav", "duration": 9.96, "text": "On the positive side, we won additional integrated awards in Mexico, including Integrated Drilling Services and Integrated Services Management contracts"}, {"path": "tedlium_14539.wav", "duration": 9.96, "text": "And that brings me into the cloud discussion. We also discussed that before, and I've said many times that the public cloud is not the destination."}, {"path": "tedlium_14540.wav", "duration": 9.96, "text": "we expect margin performance in spite of all the investments that we will make, and some of these investments will continue to be at an accelerated pace."}, {"path": "tedlium_14541.wav", "duration": 9.96, "text": "Now what we think is going to happen next year is there'll be very modest improvement throughout the year, particularly in the second half of '17, but I caution we think it's modest."}, {"path": "tedlium_14542.wav", "duration": 9.96, "text": "and we want to continue to increase our capabilities in all those areas because we think that's going to increasingly become a very important source of long-term competitiveness."}, {"path": "tedlium_14543.wav", "duration": 9.96, "text": "but the workflow redesign that has to go with it is an important piece. And this is, again, a source of differentiation versus some of the other technology platforms."}, {"path": "tedlium_14544.wav", "duration": 9.96, "text": "think about approval of new -- tying in new wells on Guatiquia and what our plans going forward are and he can also update you on the"}, {"path": "tedlium_14545.wav", "duration": 9.96, "text": "gives them support whenever they have any technical question related to the product. Even though the product is relatively simple,"}, {"path": "tedlium_14546.wav", "duration": 9.96, "text": "I will now provide additional detail for our 3 operating segments, including our domestic Agriculture and Construction segments and our International segment."}, {"path": "tedlium_14547.wav", "duration": 9.96, "text": "we're actually doing a little bit better this year than what we expected, so we're in between that 40% and 42%. But again, we expect it to be closer in the medium term"}, {"path": "tedlium_14548.wav", "duration": 9.96, "text": "profile, the growing middle class, the urbanization of the population and the opportunity for continued distribution gains. China will continue to be an important part of our growth story."}, {"path": "tedlium_14549.wav", "duration": 9.96, "text": "our portfolio as well as in our channels. And obviously, e-commerce is an important channel for us in China, and our partnership with Alibaba is a critical piece"}, {"path": "tedlium_14550.wav", "duration": 9.96, "text": "I'm wondering if you could maybe just give us some of your thoughts around storage and what that might look like in terms of the connective tissue between wind and solar."}, {"path": "tedlium_14551.wav", "duration": 9.96, "text": "are you finding that you are doing more and more kind of co-investments taking on larger bite sizes and that's kind of what's helping you maintain some of your pricing power?"}, {"path": "tedlium_14552.wav", "duration": 9.96, "text": "So that has created a foundation for the next step. And I think that was the expectation we would anyway be at right now."}, {"path": "tedlium_14553.wav", "duration": 9.96, "text": "Before the call begins, I'd like to remind everyone that certain statements made in the course of this call are not based on historical information and may constitute forward-looking statements."}, {"path": "tedlium_14554.wav", "duration": 9.96, "text": "open it up to the -- our APIs and then we could connect through our catalog, take the data you're running there and really expose it so you could use it in the rest of your systems."}, {"path": "tedlium_14555.wav", "duration": 9.96, "text": "And so why did we do this? Why is this important we do this? Well, our customers are moving there and they need help getting there."}, {"path": "tedlium_14556.wav", "duration": 9.96, "text": "So I think if you did second half, it's probably equivalent to something like 4% to 8%. Just keeping in mind that July was"}, {"path": "tedlium_14557.wav", "duration": 9.96, "text": "In many cases, we simply need to have a reasonable or as expected pace of shipment to jobs that have already started."}, {"path": "tedlium_14558.wav", "duration": 9.96, "text": "where do you think we are in the housing cycle? And which of these various metrics or things to look at do you think are the best gauge"}, {"path": "tedlium_14559.wav", "duration": 9.96, "text": "and the number of counterparties out there are quite significant. And the teams really turned on a dime to kind of adjust their processes."}, {"path": "tedlium_14560.wav", "duration": 9.96, "text": "Finally, the financial guidance in this presentation is effective as of today only. It is our policy to generally not update guidance until the following quarter and not to update or affirm guidance"}, {"path": "tedlium_14561.wav", "duration": 9.96, "text": "important the margins of that business should continue to remain strong going forward and we should be able to capture"}, {"path": "tedlium_14562.wav", "duration": 9.96, "text": "into a seamless operating unit, we will be able to better leverage the synergies between these businesses and enhance the service we provide to clients."}, {"path": "tedlium_14563.wav", "duration": 9.96, "text": "We're extremely pleased with our solid performance and anticipate continued growth and success in the quarters to come as the benefits from the merger are fully realized."}, {"path": "tedlium_14564.wav", "duration": 9.96, "text": "The combined plant has both aluminum and stainless steel production capabilities, allowing us to quote competitively in providing additional capacity for our most rapidly growing engine product lines."}, {"path": "tedlium_14565.wav", "duration": 9.96, "text": "it just is another opportunity to thank you on representing Las Vegas for all the support we get from your communities. We have a great relationship"}, {"path": "tedlium_14566.wav", "duration": 9.96, "text": "restore some of those more painful cuts. And as I mentioned before, these are kind of no-brainer opportunities for us where we're very confident that there'll be profit"}, {"path": "tedlium_14567.wav", "duration": 9.96, "text": "introduced in the very smaller, smallest markets. So maybe some that might give more relevance to that companion piece of business."}, {"path": "tedlium_14568.wav", "duration": 9.96, "text": "to buy inventory that we're able to do that. So we're just trying to be very diligent on the front end and not get caught in a situation where we don't have enough"}, {"path": "tedlium_14569.wav", "duration": 9.96, "text": "oftentimes, shopping within the store that occurs with the pickup of groceries. And I do also think that the interaction between"}, {"path": "tedlium_14570.wav", "duration": 9.96, "text": "We also have hired 5 new industry experienced sales reps and had a very strong first quarter of sales bookings that will lay the groundwork of strong future growth."}, {"path": "tedlium_14571.wav", "duration": 9.96, "text": "was also a very -- in July was a very successful event. We demonstrated to many countries and cities that the platform could be used"}, {"path": "tedlium_14572.wav", "duration": 9.96, "text": "And then we got hammered by freight costs, and we had an unfavorable environment to really get pricing because of the aerospace destocking. So"}, {"path": "tedlium_14573.wav", "duration": 9.96, "text": "Suffice it to say, interest in learning about TD is strong and we expect this momentum to continue to the American Psychiatric Association Annual Meeting next week in New York,"}, {"path": "tedlium_14574.wav", "duration": 9.96, "text": "This is what has always worked for us in the past. We stay away from the commodity product that the boxes carry en masse. And we go to"}, {"path": "tedlium_14575.wav", "duration": 9.96, "text": "The purpose of our corporate team is to support those store managers. Our new regional sales management structure will allow our most experienced and successful retail managers"}, {"path": "tedlium_14576.wav", "duration": 9.96, "text": "the margin will necessarily go up a lot more in the short term because the -- and I don't think the revenue top line"}, {"path": "tedlium_14577.wav", "duration": 9.96, "text": "is baked into the rates that are being offered. You're also seeing -- I don't know if credit standards slide or just go to a point we're not comfortable with, especially"}, {"path": "tedlium_14578.wav", "duration": 9.96, "text": "A strong increase in international sales and a modest increase in commercial sales during the quarter were more than offset by lower than anticipated U.S. consumer sales,"}, {"path": "tedlium_14579.wav", "duration": 9.96, "text": "which we expect to accelerate even more throughout the balance of 2016. With that recap, we're now ready to open the call"}, {"path": "tedlium_14580.wav", "duration": 9.96, "text": "It seems that Visa Europe has been exceeding at least our expectations almost every quarter since the transaction kind of took place."}, {"path": "tedlium_14581.wav", "duration": 9.96, "text": "from your China operations now. And memory, you had a few years ago with the power ASE, but just how you see about how aggressive you want to be getting back"}, {"path": "tedlium_14582.wav", "duration": 9.96, "text": "after a hectic last quarter of the government's fiscal year ending September 30th. We expect the process to start again in November."}, {"path": "tedlium_14583.wav", "duration": 9.9300625, "text": "We always have our name front and center and being a good citizen in the community and have the type of involvement that you would expect from a good local business partner."}, {"path": "tedlium_14584.wav", "duration": 9.9300625, "text": "Our goal is to make Westport Fuel Systems a sustainable, profitable company that delivers value to customers, employees and shareholders."}, {"path": "tedlium_14585.wav", "duration": 9.9300625, "text": "The company has undergone many changes in the business model over this time period, and we continue to be gratified that we can produce these kinds of results during this period of great change."}, {"path": "tedlium_14586.wav", "duration": 9.93, "text": "how we thought about what those thresholds would have to be in the plan that we put in place for the first quarter certainly had an impact on the price levels that we set that plan to"}, {"path": "tedlium_14587.wav", "duration": 9.93, "text": "If we have a closer look at the growth, we see a total growth of more than 7%. But if we then deduct the"}, {"path": "tedlium_14588.wav", "duration": 9.93, "text": "we are moving inexorably forward to our goal of advancing our clinical programs toward regulatory submissions for marketing approval."}, {"path": "tedlium_14589.wav", "duration": 9.93, "text": "Finally, I'll refer to the strength of our financial position before turning the call over to Susan for financial highlights of last quarter."}, {"path": "tedlium_14590.wav", "duration": 9.93, "text": "History shows that secular changes of this nature can often cripple companies who don't undertake bold measures to condemn with them."}, {"path": "tedlium_14591.wav", "duration": 9.93, "text": "but we do use it internally to measure our core operating results, so I've included it in the earnings release with a reconciliation to our GAAP numbers."}, {"path": "tedlium_14592.wav", "duration": 9.93, "text": "That said, attributed to the nature of some of this new business, we've been experiencing a lag between the booking and the revenue realization."}, {"path": "tedlium_14593.wav", "duration": 9.93, "text": "in a orphan drug indication called chordoma, which is a rare cancer of the bones at the base of the skull and spine."}, {"path": "tedlium_14594.wav", "duration": 9.93, "text": "Driven by the success of the various initiatives and investments, I just discussed, and supported by consistent levels of prospective student interest for our programs,"}, {"path": "tedlium_14595.wav", "duration": 9.93, "text": "going into next year. And I'm curious to get your perspective on the consumer in Brazil. We're hearing about maybe a gradual recovery or at least a more stable environment,"}, {"path": "tedlium_14596.wav", "duration": 9.93, "text": "However, RL has not met our budget expectations for the reporting period and this triggered a review of the carrying value of the intangible balances."}, {"path": "tedlium_14597.wav", "duration": 9.93, "text": "With the rising rate environment, we're now benefiting from these actions and investments in the form of a stable commercial deposit base."}, {"path": "tedlium_14598.wav", "duration": 9.93, "text": "a year ago, we had a conflict in the harbor of Gothenburg. And as an effect of that, we are now taking a large extent of our incoming goods through"}, {"path": "tedlium_14599.wav", "duration": 9.93, "text": "directed toward our having our own products. And so we set out to find a partner with whom we might create those. And the second part of this"}, {"path": "tedlium_14600.wav", "duration": 9.93, "text": "start reducing and we therefore see this change in situation where in on the asset as a bank"}, {"path": "tedlium_14601.wav", "duration": 9.93, "text": "internal, I can't say whether we are at the interval, after the interval but it doesn't feel like we are before the"}, {"path": "tedlium_14602.wav", "duration": 9.93, "text": "Pricing has continued to improve, as a result of that solid demand, with both the base price and surcharge increasing in January."}, {"path": "tedlium_14603.wav", "duration": 9.93, "text": "inventory spoilage and asset impairments. I would note that our uniforms business absorbed approximately half of this impact"}, {"path": "tedlium_14604.wav", "duration": 9.93, "text": "We're improving our product offerings, service and technology across all 4 of these dimensions to consistently elevate the customer experience."}, {"path": "tedlium_14605.wav", "duration": 9.93, "text": "where InfuSystem does not handle drugs and we focus on only providing a service that includes software pumps, supplies and nursing support."}, {"path": "tedlium_14606.wav", "duration": 9.93, "text": "But we really think this is a growing area of market leadership for CSC, and we are planning to continue to invest in this business as we go forward."}, {"path": "tedlium_14607.wav", "duration": 9.93, "text": "We are currently piloting this with a group of agents in Tennessee and Pennsylvania with the expectation of a complete rollout by the third quarter of next year."}, {"path": "tedlium_14608.wav", "duration": 9.93, "text": "I will now take you through second quarter specifics by market. Starting with Washington Metro, we are dealing with the same dynamics we have had over the last several years."}, {"path": "tedlium_14609.wav", "duration": 9.93, "text": "driven by accelerating investment behind our Cortrophin recommercialization program and work related to our underlying generic pipeline."}, {"path": "tedlium_14610.wav", "duration": 9.93, "text": "a group that we estimate to be approximately half of the treated population, we expect roxadustat to offer an alternative therapy capable of achieving the desired hemoglobin target"}, {"path": "tedlium_14611.wav", "duration": 9.93, "text": "And we have to just do our due diligence to make sure that every product split, we have the capacity to handle those incremental volumes."}, {"path": "tedlium_14612.wav", "duration": 9.93, "text": "Construction on The Well continues to progress according to our schedule. For the office tower at the corner of Front and Spadina, we have started work above grade."}, {"path": "tedlium_14613.wav", "duration": 9.93, "text": "So they bring the engineering expertise to integrate these systems, being the battery system, the battery management and the vehicle control unit."}, {"path": "tedlium_14614.wav", "duration": 9.93, "text": "when we first started these programs, we started with the minimum efficacious dose to be able to be treated in older animals that showed complete correction of disease,"}, {"path": "tedlium_14615.wav", "duration": 9.93, "text": "So we're expecting this new segment structure to make it easier not only to understand historical performance, but also for you to track the group's performance moving forward."}, {"path": "tedlium_14616.wav", "duration": 9.93, "text": "the situation as it is today. There is a difference when you compare your company to other players in the market, and this may not be sustainable."}, {"path": "tedlium_14617.wav", "duration": 9.93, "text": "confidence factor in terms of improving performance in some of the ones where you cited them just being sale in the market or an opportunity to upgrade the location?"}, {"path": "tedlium_14618.wav", "duration": 9.93, "text": "Wealth Management revenues were down 12% versus an exceptionally strong second quarter '15, driven by a bit difficult market environment with lower client activity."}, {"path": "tedlium_14619.wav", "duration": 9.93, "text": "The hybrid motor, which is unique to the Freed, adopts the world's first hybrid vehicle motor magnet free of heavy rare earth elements."}, {"path": "tedlium_14620.wav", "duration": 9.93, "text": "it's been a very positive reaction. And the reason is the overall quota goes down. Again, in the past, you were quota-ed for both"}, {"path": "tedlium_14621.wav", "duration": 9.93, "text": "of an existential philosophy that in order to compete for the next 5 years, we need to have this. Or should we -- or let's discuss what we need to have,"}, {"path": "tedlium_14622.wav", "duration": 9.93, "text": "I'll let Henric talk maybe more to some comments to the market and I think I'll leave it there. And Henric, please why don't you"}, {"path": "tedlium_14623.wav", "duration": 9.93, "text": "we have managed to improve processes that are involved with the license compliance and that has resulted in a significant increase"}, {"path": "tedlium_14624.wav", "duration": 9.93, "text": "In addition, we now have closed 3 platform deals with our Global Systems Integrators. These deals are a managed service and have the opportunity"}, {"path": "tedlium_14625.wav", "duration": 9.93, "text": "While immaterial to our overall results for the year, we do expect to see some benefit from the adoption of the new standard on full year revenue and operating margins."}, {"path": "tedlium_14626.wav", "duration": 9.93, "text": "After it's completed, we will begin the tunnel boring machine, assemblies, followed by the start of tunneling in January."}, {"path": "tedlium_14627.wav", "duration": 9.93, "text": "hypothesis that we have confidence is the correct hypothesis for why this is the case, whether it has to do with the biology of the target"}, {"path": "tedlium_14628.wav", "duration": 9.93, "text": "At this time, management would like me to inform you that certain statements made during the conference call, which are not historical, may be deemed forward-looking statements within the meaning"}, {"path": "tedlium_14629.wav", "duration": 9.93, "text": "An example of this new vision is the early success we are seeing with our Funding Stream working capital loan business, which is our initial offering beyond our Equipment Finance business."}, {"path": "tedlium_14630.wav", "duration": 9.93, "text": "before we let you post your questions. Let's take a quick look at strategy. Where we are in terms of its execution. If we look at ROE,"}, {"path": "tedlium_14631.wav", "duration": 9.93, "text": "This capital is used to bring our capital levels more in line with peers and will be used for general corporate purposes and take advantage of strategic opportunities in the future."}, {"path": "tedlium_14632.wav", "duration": 9.93, "text": "were also numerous nonrecurring charges as part of entering the market with this business model that had to be incurred as part of this initial sale."}, {"path": "tedlium_14633.wav", "duration": 9.93, "text": "specifically negative. I think it's just the project mix at times. So from time to time, I think we'll see it have more of an impact than others and nothing real specific in there."}, {"path": "tedlium_14634.wav", "duration": 9.93, "text": "The forward-looking statements and risks in this conference call are based on current expectations as of today and Exponent assumes no obligation to update or revise them,"}, {"path": "tedlium_14635.wav", "duration": 9.93, "text": "I think, it's fair to say, as always, it's been an awful lot going on since we last saw you, and I'm delighted to better share some of that with you today and also to take you through some of the numbers in a bit more detail."}, {"path": "tedlium_14636.wav", "duration": 9.93, "text": "to work in concert with their office devices. We believe we are well positioned to strongly compete for market share in the SMB VoIP category."}, {"path": "tedlium_14637.wav", "duration": 9.93, "text": "There are about 1,500 customers subscribed to the solar output and almost 400 customers on the waiting list, which demonstrates our community's commitment to solar power."}, {"path": "tedlium_14638.wav", "duration": 9.93, "text": "Primary uses of cash in the quarter related to the funding of our seasonal Agriculture working capital requirements, growth investments and dividends."}, {"path": "tedlium_14639.wav", "duration": 9.93, "text": "improve -- could improve slightly with time, as risks are retired or will the margin remained depressed through the life of the engines, which are affected by the current issues?"}, {"path": "tedlium_14640.wav", "duration": 9.93, "text": "you will likely recall as new vehicle platforms are launched, we typically see increased container orders as producers tool up for the new launches."}, {"path": "tedlium_14641.wav", "duration": 9.93, "text": "While we know that lending is the primary engine that drives EagleBank, we shouldn't ignore the securities portfolio, which has grown significantly over the past year"}, {"path": "tedlium_14642.wav", "duration": 9.93, "text": "we are actually indeed on the slope of the dose-response curve and not on one of the plateaus, which is an additional validation of trying to look for the best dose."}, {"path": "tedlium_14643.wav", "duration": 9.93, "text": "as well as excluding certain recurring and nonrecurring adjustments for comparable GAAP measures, investors have an additional meaningful measurement of the company's performance."}, {"path": "tedlium_14644.wav", "duration": 9.93, "text": "albeit the targets get slightly more difficult as time goes on. But one would hope that also a investment in tree cutting, an investment in lines and all the rest of it."}, {"path": "tedlium_14645.wav", "duration": 9.93, "text": "and it's that platform plus Gen-009 and the products that we generate from it that create nondilutive financing opportunities with which we can advance the company."}, {"path": "tedlium_14646.wav", "duration": 9.93, "text": "that the clinical response patients mount to disease while being treated with checkpoint inhibitors is"}, {"path": "tedlium_14647.wav", "duration": 9.93, "text": "that we are taking India out of our financial core communication around our development of the business."}, {"path": "tedlium_14648.wav", "duration": 9.93, "text": "So we think we've got a business model to manage that about as well or better than anyone in our industry. We don't expect it to happen, but we're ready for it."}, {"path": "tedlium_14649.wav", "duration": 9.93, "text": "your business did so well in '16, it provides a tough comp. Can you give us just kind of like the building blocks, like bigger building blocks of puts and takes?"}, {"path": "tedlium_14650.wav", "duration": 9.93, "text": "We believe that silencing of the disease gene will prevent production of the abnormal protein, and thereby, slow or stop progression of the liver fibrosis."}, {"path": "tedlium_14651.wav", "duration": 9.93, "text": "We were slightly ahead of our expectations with our adjusted level of service with Amazon, which is a result of our continued good service and partnership that exists."}, {"path": "tedlium_14652.wav", "duration": 9.93, "text": "Then more products and services can be offered to achieve happy life. Thank you, Mr. Wang. Because of time, we will take the last question here,"}, {"path": "tedlium_14653.wav", "duration": 9.93, "text": "This segment is gearing up its production capabilities as product approvals are granted so that we can readily provide new and additional products."}, {"path": "tedlium_14654.wav", "duration": 9.93, "text": "On the graph, we have -- in the slide, we can see the evolution of expenses in the period, where you can see that during the first half of the year, savings coming from the beginning"}, {"path": "tedlium_14655.wav", "duration": 9.93, "text": "full price for it. We would expect to pay one assuming that their synergies that correlate to those as well. So our perspective on it really hasn't changed."}, {"path": "tedlium_14656.wav", "duration": 9.93, "text": "constrained in a major way by the designation. But would losing the SIFI label affect your approach to capital or just your overall business strategy?"}, {"path": "tedlium_14657.wav", "duration": 9.93, "text": "software and professional service. Lastly, I would like to make some comments on tax reform generally and the impact on Waters specifically."}, {"path": "tedlium_14658.wav", "duration": 9.93, "text": "For over 10 years, geographic diversification opportunities outside of Western Canada have been sought to significantly enhance our future growth opportunities"}, {"path": "tedlium_14659.wav", "duration": 9.93, "text": "as well as the doubling up of certain costs that will continue while we transition property management and leasing in-house and exit existing third-party management contracts."}, {"path": "tedlium_14660.wav", "duration": 9.93, "text": "This is not to say that we'll never be impacted by these factors, but this chart suggests there may be some structural barriers to Internet sales penetration in Hawaii."}, {"path": "tedlium_14661.wav", "duration": 9.93, "text": "now have many, many place to sell. And PayPal is connecting those small businesses to the many places they sell. Some of those might be e-commerce enablement platforms like some of the ones you mentioned."}, {"path": "tedlium_14662.wav", "duration": 9.93, "text": "And we opportunistically tapped the capital markets to issue new senior notes to redeem our legacy trust preferred securities at a lower all-in cost."}, {"path": "tedlium_14663.wav", "duration": 9.93, "text": "And so we don't think that is in a major exposure. I mean, Walter, my one reaction to that is, the company is selling themselves"}, {"path": "tedlium_14664.wav", "duration": 9.93, "text": "This increase was primarily due to expected increases in growth investments, higher advertising expenses and higher variable cost due to the increased revenue."}, {"path": "tedlium_14665.wav", "duration": 9.93, "text": "This is a very important milestone for the owner, Eskom, our customers and SPX as well, signifying another step forward in the process."}, {"path": "tedlium_14666.wav", "duration": 9.93, "text": "Selling expenses as a percentage of home sales revenue improved primarily as a result of operating leverage realized related to advertising costs and increased revenue."}, {"path": "tedlium_14667.wav", "duration": 9.93, "text": "in the compensation the company is permitted to pay. So present comp levels remain only if they hit an 80% figure, which is very significant."}, {"path": "tedlium_14668.wav", "duration": 9.93, "text": "This lower leverage allowed us to reduce interest expense and provides increased financial flexibility to invest more aggressively to drive accelerated growth."}, {"path": "tedlium_14669.wav", "duration": 9.93, "text": "whereas to develop from scratch, completely new infrastructure requires a tremendous amount of investment, probably tens of billions of dollars"}, {"path": "tedlium_14670.wav", "duration": 9.93, "text": "Our margin performance and increased investment in marketing has been made possible by embedding a culture of productivity improvement throughout the business."}, {"path": "tedlium_14671.wav", "duration": 9.93, "text": "Are you seeing any change in the competitive landscape at all? I mean, is there anything that you are reacting to with regards to that? Thank you,"}, {"path": "tedlium_14672.wav", "duration": 9.93, "text": "It does enable those economics because we work with clients to ensure that the formularies that are in place are things they believe in. And for those clients -- it particularly helps our economics with those clients who work with us"}, {"path": "tedlium_14673.wav", "duration": 9.93, "text": "And then on the second part of your question in terms of interest in entering a new therapeutic area. I think if you think"}, {"path": "tedlium_14674.wav", "duration": 9.93, "text": "We continue to develop our robust wind pipeline with global opportunities with current and new customers, both onshore and offshore blades."}, {"path": "tedlium_14675.wav", "duration": 9.93, "text": "Ladies and gentlemen, that does conclude the conference call for today. We thank you for your participation and ask that you please disconnect your lines."}, {"path": "tedlium_14676.wav", "duration": 9.93, "text": "been a bit better than probably what we would have expected in terms of the weather, but again, still very early. Colorado and Utah, I would say are very much in line."}, {"path": "tedlium_14677.wav", "duration": 9.93, "text": "Health care practitioners continue to invest in deploying technologies to improve efficiencies and efficacies in order to minimize cost,"}, {"path": "tedlium_14678.wav", "duration": 9.93, "text": "they just can't around to. I think that probably would be true at the Royal Bank as well. Even though we can't get into the Canadian business,"}, {"path": "tedlium_14679.wav", "duration": 9.93, "text": "Revenue per student also increased between years due to an increase in ancillary revenues, resulting from the increase in the percentage of traditional students living on campus."}, {"path": "tedlium_14680.wav", "duration": 9.93, "text": "closed a bit earlier than expected? It's a good thing to have the deals coming. I just -- with the seasonality and having this such a strong quarter in the second quarter, I didn't know if any deals came"}, {"path": "tedlium_14681.wav", "duration": 9.93, "text": "The secular shifts we have observed in housing continued to influence consumer behavior, and we believe we are well positioned for the associated opportunities that lie ahead."}, {"path": "tedlium_14682.wav", "duration": 9.93, "text": "We've done an outstanding job, and I really congratulate the people that have been involved in this on our side, in making sure we have supply, because these are subcomponents that go into our products"}, {"path": "tedlium_14683.wav", "duration": 9.93, "text": "a lot of what we're talking about here has really accelerated very dramatically in the second half of this calendar year. So that's pretty late in the equation."}, {"path": "tedlium_14684.wav", "duration": 9.93, "text": "they tend to be volatile just by virtue, again, of their smaller size and when something"}, {"path": "tedlium_14685.wav", "duration": 9.93, "text": "But I don't -- again, I think that's going to be well managed, as that business expands, so will the gross profit. It will more than cover the investments we need to make"}, {"path": "tedlium_14686.wav", "duration": 9.93, "text": "you go from being reactive and responsive to being more predictive and addressing the root cause and remediating it. And"}, {"path": "tedlium_14687.wav", "duration": 9.93, "text": "yes, I realize you've been there a very short time, but what needs to happen in terms of -- is the product portfolio ready to go in that regard? Is the sales organization set up to be able to do that?"}, {"path": "tedlium_14688.wav", "duration": 9.93, "text": "comments on that and then I'll hand over to David to talk about EBITDAR and the cash balance. I think the simple answer on"}, {"path": "tedlium_14689.wav", "duration": 9.93, "text": "Today's conference is being recorded. At this time, I would like to turn the conference over to Mr. John Mills with ICR. Please go ahead."}, {"path": "tedlium_14690.wav", "duration": 9.93, "text": "which benefited from product mix in ag, improved segment mix as a larger percentage of our revenue was coming from our International segment"}, {"path": "tedlium_14691.wav", "duration": 9.93, "text": "we have been and will continue to monitor the forward curve to determine whether or not to swap a portion of our floating debt to fixed in the future."}, {"path": "tedlium_14692.wav", "duration": 9.93, "text": "Cash generation remains the key focus for the group, and we will therefore continue to seek ways to maximize the cash generation from the group."}, {"path": "tedlium_14693.wav", "duration": 9.93, "text": "I think our ops team continue to work hard to really work on their operating efficiencies and it's obvious that they're protecting each other, which is incredibly important."}, {"path": "tedlium_14694.wav", "duration": 9.93, "text": "We will update on this new metric from quarter-to-quarter. However, it will be volatile during the year as the video game business has more seasonality than tech brands."}, {"path": "tedlium_14695.wav", "duration": 9.93, "text": "ensuring diamond provenance from mine through to finger and driving huge efficiencies and unlocking value for all stakeholders."}, {"path": "tedlium_14696.wav", "duration": 9.93, "text": "And we believe that the current profitability combined with dividend levels will be sufficient"}, {"path": "tedlium_14697.wav", "duration": 9.93, "text": "should the market come back, we're going to be better positioned to outperform. And if the market continues to be strong, we should be better"}, {"path": "tedlium_14698.wav", "duration": 9.93, "text": "Through most of April, we were on track to achieve the midpoint of our sales guidance range. However, we then saw some softening in May."}, {"path": "tedlium_14699.wav", "duration": 9.93, "text": "I think Dietmar, you just touched upon it there, but this wasn't something I had in my memory for a reason for poor margins in the past. So can you just talk about some of these quality issues and"}, {"path": "tedlium_14700.wav", "duration": 9.93, "text": "in other material costs that we are seeing, as well as continued greater labor efficiencies that we're getting with our production processes in our neighborhoods"}, {"path": "tedlium_14701.wav", "duration": 9.93, "text": "to hold total production relatively constant, highlighting the quality of our assets by delivering sustainable production with low maintenance requirements."}, {"path": "tedlium_14702.wav", "duration": 9.93, "text": "the cost side, opportunities at the store level. But the biggest opportunity to continue to increase is the mix of the corporate stores we have,"}, {"path": "tedlium_14703.wav", "duration": 9.93, "text": "spoiler statement, but you say there can be no assurance on the intended benefits being achieved on any proposed timetable or at all with regards Africa. So on the separation, I mean,"}, {"path": "tedlium_14704.wav", "duration": 9.93, "text": "Growth in annual revenues was mainly the result of rate increases in our Florida and Arizona Encore resorts, combined with occupancy increases in the Thousand Trails portfolio."}, {"path": "tedlium_14705.wav", "duration": 9.93, "text": "you saw the personnel change in Washington, D.C. in the executive branch. And you saw what happened over the first month that they were in office. And how many"}, {"path": "tedlium_14706.wav", "duration": 9.93, "text": "work that we've been doing in that business. There's certainly some overlap with our cosmetic business that could potentially afford us some new growth opportunities."}, {"path": "tedlium_14707.wav", "duration": 9.93, "text": "The second one is the new program that we have launched today. I want to tell you a little bit more about the details of that one."}, {"path": "tedlium_14708.wav", "duration": 9.93, "text": "though our results improvement in India last year was based on the restructuring activities, not on the top line growth."}, {"path": "tedlium_14709.wav", "duration": 9.93, "text": "relationship manager that have now converted their client book into the advisory models have a portal in the morning that they access to,"}, {"path": "tedlium_14710.wav", "duration": 9.93, "text": "really conservatively managing the distribution. Obviously, we increased at a very high pace this year. I think this year we just want to be a little more contemplative in terms of the future increases."}, {"path": "tedlium_14711.wav", "duration": 9.93, "text": "we developed various programs focused on training, product assortment, merchandising and marketing to increase the level of service to the Pro customer."}, {"path": "tedlium_14712.wav", "duration": 9.93, "text": "The loads have improved, the volumes have improved, as I've mentioned to you earlier. But the yields that the airlines are able to generate"}, {"path": "tedlium_14713.wav", "duration": 9.93, "text": "on revenue growth, we think our long-term model in the midteens really is just based on our ability to execute on this large market opportunity we have."}, {"path": "tedlium_14714.wav", "duration": 9.93, "text": "Notably, during volatile wholesale price environments, our retail business has historically experienced growth as customers switch providers due to higher bills."}, {"path": "tedlium_14715.wav", "duration": 9.93, "text": "Our results are also supported by our steadily improving European business, which had another excellent quarter."}, {"path": "tedlium_14716.wav", "duration": 9.93, "text": "as a portion of our foreign earnings will be subject to U.S. taxes on an ongoing basis and certain deductions will be reduced or eliminated."}, {"path": "tedlium_14717.wav", "duration": 9.93, "text": "where you will also find our press release which contains supporting details including reconciliations of non-GAAP information referred to in the release and on this call."}, {"path": "tedlium_14718.wav", "duration": 9.9299375, "text": "which enables clients to store and manage information in a self-service central repository, so that compliance and regulatory documents can easily"}, {"path": "tedlium_14719.wav", "duration": 9.9000625, "text": "And in the syndicated, as an example, one of them was syndicated -- it syndicated eventually, but it really started as a private intro"}, {"path": "tedlium_14720.wav", "duration": 9.9, "text": "Talking on that sale for a minute, we told you historically that we've been looking for opportunities to monetize our private portfolio if and only if"}, {"path": "tedlium_14721.wav", "duration": 9.9, "text": "Right. So we just want to maybe get a little bit color on like what are you seeing on the acquisition"}, {"path": "tedlium_14722.wav", "duration": 9.9, "text": "we really began to focus on performance management as a firm. And if you look at the slides that you're referring to as well, I think, in the first quarter deck, you see a gradual"}, {"path": "tedlium_14723.wav", "duration": 9.9, "text": "Irrespective of the revenue decline, we are quite encouraged with what we are seeing in Heidrick Consulting. They are showing steady improvements in the business, including an increase in their pipeline."}, {"path": "tedlium_14724.wav", "duration": 9.9, "text": "And so I want to be sure that we are precise on that. It does not mean that every transaction was like that during that time period."}, {"path": "tedlium_14725.wav", "duration": 9.9, "text": "However, we remain optimistic about the longer-term fundamentals for the tissue business and the growing trend of consumer preference for private label brands."}, {"path": "tedlium_14726.wav", "duration": 9.9, "text": "decline was primarily a result of the aforementioned bankruptcy filing and a change in the supply chain of a significant customer,"}, {"path": "tedlium_14727.wav", "duration": 9.9, "text": "So thinking about the policies and based on our policies, we need to create an environment -- we created an environment back in 2018 so that we could"}, {"path": "tedlium_14728.wav", "duration": 9.9, "text": "always within the perspective that we want to create value and continue to focus also on the service market revenue share of the total."}, {"path": "tedlium_14729.wav", "duration": 9.9, "text": "that we're not only losing new patients, but there are some countries in Scandinavia and even some other larger countries that are beginning to think about"}, {"path": "tedlium_14730.wav", "duration": 9.9, "text": "Risk Factors, Management Discussion and Analysis of Financial Conditions and Results of Operations set forth in Investors Bancorp's filings with the SEC."}, {"path": "tedlium_14731.wav", "duration": 9.9, "text": "Also, please note that on April 11, our management team will be hosting an Investor Day in New York City. Institutional investors and analysts are encouraged to attend,"}, {"path": "tedlium_14732.wav", "duration": 9.9, "text": "partially offset by an impact from the contract restructuring on Tiger as well as lower rates on some of our pipelines due to weaker basis spreads and mild weather."}, {"path": "tedlium_14733.wav", "duration": 9.9, "text": "presented. And I think they're honing in on this target range, a bit more based on the efficacy that they saw and the trough levels"}, {"path": "tedlium_14734.wav", "duration": 9.9, "text": "the exposure that we have are very small. In addition to that, and the type of lending that we do in the clean energy area is dramatically different than"}, {"path": "tedlium_14735.wav", "duration": 9.9, "text": "Key focus areas in this category, in addition to our standard fraud and security offerings, include scaling profitability,"}, {"path": "tedlium_14736.wav", "duration": 9.9, "text": "we'll be the beneficiary of being able to stand back and analyze that before we set up our stage spacing. I think,"}, {"path": "tedlium_14737.wav", "duration": 9.9, "text": "realizes that they have the ability to go change their margin structure and potentially get the work as well. So we started that a year ago."}, {"path": "tedlium_14738.wav", "duration": 9.9, "text": "And lastly, in your third initiative, could you expand upon the opportunities and what you're looking at in the private sector?"}, {"path": "tedlium_14739.wav", "duration": 9.9, "text": "But it was literally the quarterly flow for this year with international revenues was exactly what we expected."}, {"path": "tedlium_14740.wav", "duration": 9.9, "text": "Generally speaking, we've been able to pass along pricing increases due to the strong demand, which has been offsetting"}, {"path": "tedlium_14741.wav", "duration": 9.9, "text": "And excluding the industry headwinds we are encountering in Denver, we are pleased with the results to-date and remain optimistic about the potential of our media efforts."}, {"path": "tedlium_14742.wav", "duration": 9.9, "text": "In the food and beverage industry, you will see that many people actually thought of the great products already."}, {"path": "tedlium_14743.wav", "duration": 9.9, "text": "which has increased considerably the management of heavily dependent residents on an"}, {"path": "tedlium_14744.wav", "duration": 9.9, "text": "Okay. All right. And well, I'm glad to know that we have those options and that the government can't control the fact if they wanted to do it"}, {"path": "tedlium_14745.wav", "duration": 9.9, "text": "And again, as a reward for our customers -- not an incentive, as a reward for being a good citizen,"}, {"path": "tedlium_14746.wav", "duration": 9.9, "text": "And I wanted to touch on the BLACK HAWK program for a second. I'm looking at the fiscal '17 budget and a shift down in production. I know it's just a proposal at this point, but"}, {"path": "tedlium_14747.wav", "duration": 9.9, "text": "one of the things that we've talked about over the course of time is that we really did kind of slow our selling efforts in the business as we were focused on getting"}, {"path": "tedlium_14748.wav", "duration": 9.9, "text": "Our management deals highlight the strong value of our brand and provide our partners with a unique opportunity to leverage our restaurant and hospitality experience."}, {"path": "tedlium_14749.wav", "duration": 9.9, "text": "but I feel good about really how we're executing it today. I feel good about the growth pace and are continuing to attract talent mostly from the larger companies."}, {"path": "tedlium_14750.wav", "duration": 9.9, "text": "of the business in the coming months. We are monitoring developments very closely and we'll continue to respond quickly and flexible to any changes."}, {"path": "tedlium_14751.wav", "duration": 9.9, "text": "the best way to think about those is we're in the first or second inning of what we can do there."}, {"path": "tedlium_14752.wav", "duration": 9.9, "text": "the lower end of the market or the smaller players out there eventually get consolidated? And are you coming across them in the field competitively?"}, {"path": "tedlium_14753.wav", "duration": 9.9, "text": "In closing, we are off to the strongest start of the year since going public. We had record bookings this quarter and sold more in the first half of this year than we did all of last year."}, {"path": "tedlium_14754.wav", "duration": 9.9, "text": "for 2018. With the exception of the increase in our metered power reimbursements range, the changes to our ranges are attributable to a change in our assumption"}, {"path": "tedlium_14755.wav", "duration": 9.9, "text": "more rapid decline in industry conditions. So you're comping against still a fairly favorable quarter last year."}, {"path": "tedlium_14756.wav", "duration": 9.9, "text": "We've mentioned a couple of times now that we are expecting to see some additional supply come to the Karratha market, ahead of upcoming construction-related demand,"}, {"path": "tedlium_14757.wav", "duration": 9.9, "text": "that just by the nature of it that the margin availability is so much lower than other kinds of minutes of use that it just dilutes the margins overall."}, {"path": "tedlium_14758.wav", "duration": 9.9, "text": "where they make the investment decisions our insureds. So if you look at the investments, we can say that the situation is quite different from what happened last year"}, {"path": "tedlium_14759.wav", "duration": 9.9, "text": "for more information on the specific risk factors that could cause our actual results to differ materially from the projections described in today's discussion."}, {"path": "tedlium_14760.wav", "duration": 9.9, "text": "We are now nearing the completion of 2 new Fluid Power manufacturing plants constructed at existing Gates locations,"}, {"path": "tedlium_14761.wav", "duration": 9.9, "text": "as well as in emerging markets, particularly China where the growth in the age portion of the fleet is very favorable."}, {"path": "tedlium_14762.wav", "duration": 9.9, "text": "At any rate, we believe that veterinarians are very excited to have ENTYCE in their toolbox, and we are very pleased to see veterinarians using the therapeutic tool."}, {"path": "tedlium_14763.wav", "duration": 9.9, "text": "I give you an example for what we thought was going to occur in fourth quarter from customers. They actually only spent about 58% of the total."}, {"path": "tedlium_14764.wav", "duration": 9.9, "text": "Our extensive land portfolio allows us to be patient and opportunistic to target the right lots in the right locations at the right price."}, {"path": "tedlium_14765.wav", "duration": 9.9, "text": "We trust that the regulators will continue to consider access to products and the importance of advice, particularly for small investors as they consult on these important issues."}, {"path": "tedlium_14766.wav", "duration": 9.9, "text": "We have to have the technology training pathways and resources in place. The proctoring networks will be built over time. Our sales team has to get deep with our customer."}, {"path": "tedlium_14767.wav", "duration": 9.9, "text": "I would say that keeping into account the new rules and the new investments that we are going to start"}, {"path": "tedlium_14768.wav", "duration": 9.9, "text": "can you give us a sense for the timing of when we might see 10, 20 basis point impact on any of the margin line items?"}, {"path": "tedlium_14769.wav", "duration": 9.9, "text": "we will see the investment in legal as an expense recognized in our income statement first and then in subsequent quarters see the corresponding cash collections."}, {"path": "tedlium_14770.wav", "duration": 9.9, "text": "So all in all, in this period of dramatic interest rate decline, the bank has been able to grow net interest income by"}, {"path": "tedlium_14771.wav", "duration": 9.9, "text": "It helps shift to more recurring revenue and helps improve the CAC ratios. At the same time, we're looking at a number of different approaches to cost containment,"}, {"path": "tedlium_14772.wav", "duration": 9.9, "text": "it's pretty stable. So you can never say never. But as far as these issues are concerned, that we're dealing with at the moment, we think we have them"}, {"path": "tedlium_14773.wav", "duration": 9.9, "text": "as people comes to resorts to buy lift tickets, we pick up their data and then are able to create a relationship with them. So then we start to communicate to people who are in that market"}, {"path": "tedlium_14774.wav", "duration": 9.9, "text": "the Department for Work and Pensions. Qualitatively, what I can say is that we're making meaningful progress on the contract on all key factors."}, {"path": "tedlium_14775.wav", "duration": 9.9, "text": "also known as HAAS. As Rick mentioned, certain features of the HAAS contract have been modified to better align with the client's programmatic objectives."}, {"path": "tedlium_14776.wav", "duration": 9.9, "text": "more Phase I expense next year. And now we're bringing some of that forward to enable us to see and get the results from early human trials sooner, which we think it's definitely"}, {"path": "tedlium_14777.wav", "duration": 9.9, "text": "Further, we continue very active discussions with potential customers at both the federal and state level to utilize our idle facilities and available capacity."}, {"path": "tedlium_14778.wav", "duration": 9.9, "text": "and reinforce our strategic priorities going forward. Then I'll turn the call over to Roz and Belinda to report on our Q3 operating performance in each of our 2 key markets,"}, {"path": "tedlium_14779.wav", "duration": 9.9, "text": "So in fiscal '17, we will invest more behind these growth drivers with a digitally led plan to drive even more brand awareness."}, {"path": "tedlium_14780.wav", "duration": 9.9, "text": "The transition is progressing on schedule and on budget, and based on our current visibility, we expect to begin capitalizing on efficiencies from this deployment,"}, {"path": "tedlium_14781.wav", "duration": 9.9, "text": "In addition to the consolidation of segments referred to above and the renaming, we also provide OTT streaming and related digital revenues."}, {"path": "tedlium_14782.wav", "duration": 9.9, "text": "So I don't see it as a real big impact on TotEx. I think if there was a change in government policy as to how this stuff was funded"}, {"path": "tedlium_14783.wav", "duration": 9.9, "text": "We remain confident in our belief that the balance of the year will show year-on-year growth and demonstrate the benefits of the strategic decisions I just referenced."}, {"path": "tedlium_14784.wav", "duration": 9.9, "text": "well as some of the pricing pressure in the market. Just what was the rough split there? And why are you so confident about recovering most of it in the second half? So we have some"}, {"path": "tedlium_14785.wav", "duration": 9.9, "text": "the outlook of the business is adequate relative to what the insiders know when they're doing a transaction. If you guys weren't doing these transactions,"}, {"path": "tedlium_14786.wav", "duration": 9.9, "text": "including certain operational and financial processes. In addition to a number of cost reduction programs to reposition the company to become profitable at a lower level of net sales,"}, {"path": "tedlium_14787.wav", "duration": 9.9, "text": "and we were allowed to receive payments again, we just had to essentially do the housekeeping associated with unblocking everything and putting all of that behind us."}, {"path": "tedlium_14788.wav", "duration": 9.9, "text": "Today, My MTS is not just an instrument for the customers to cover basic operations like checking their balance or topping up mobile accounts, it is a comprehensive offering."}, {"path": "tedlium_14789.wav", "duration": 9.9, "text": "the folks that we hired last year being on the books in January -- in February, March and April of this year but not last year, so the annualization of new hires, et cetera."}, {"path": "tedlium_14790.wav", "duration": 9.9, "text": "Third is China because if you get the PORs with the 2 big Korean players, half the market in China is really memory from"}, {"path": "tedlium_14791.wav", "duration": 9.9, "text": "go into production of drill holes, go immediately into production. And if they don't go into production, there is no fracking. So that's why we say it's indirect."}, {"path": "tedlium_14792.wav", "duration": 9.9, "text": "In connection with such review, together with our financial adviser, Lazard, we approached a significant number of potential acquirers of the company."}, {"path": "tedlium_14793.wav", "duration": 9.9, "text": "something which is increasingly sought by our customers. Physician RCM is, therefore, strategically very important to us as we think about tying together"}, {"path": "tedlium_14794.wav", "duration": 9.9, "text": "we specifically disclaim any obligation to do so even if our views change. I will now turn the call over to Antony. Thank you, Donald."}, {"path": "tedlium_14795.wav", "duration": 9.9, "text": "So the EU has also -- the European Commission has also taken some steps. So there is a window in which you can send steel into Europe as long as it is"}, {"path": "tedlium_14796.wav", "duration": 9.9, "text": "The prelaunch development time sales cycle and validation period for our Materials Handling battery line has taken us some time."}, {"path": "tedlium_14797.wav", "duration": 9.9, "text": "STRATA salespeople currently are undergoing training so they can effectively sell the Nordlys. In addition, we will be adding highly qualified personnel to support the marketing effort."}, {"path": "tedlium_14798.wav", "duration": 9.9, "text": "we did defer a little bit of silviculture in Q1 that's going to get pushed to Q2. So that's about half of it. The other half is really just around timing of vessel shipments. And so"}, {"path": "tedlium_14799.wav", "duration": 9.9, "text": "input by putting them in places where there was a very strong focus on ambulatory care that already existed. And so -- I mean, I would just tell you -- I don't want to"}, {"path": "tedlium_14800.wav", "duration": 9.9, "text": "So a very low acquisition cost per ounce that we anticipate as a result of recategorization of mineral resources and as a result of drilling"}, {"path": "tedlium_14801.wav", "duration": 9.9, "text": "and to improve risk management with a focus on financial crime, market conduct, and mitigating other regulatory risks."}, {"path": "tedlium_14802.wav", "duration": 9.9, "text": "With respect to West Africa, it's our view that the conception of entering that market through a partnership arrangement is valid."}, {"path": "tedlium_14803.wav", "duration": 9.9, "text": "given the different dynamics in those markets. So we do think there will be ability to gain some price in emerging markets as a result of that pressure from foreign currency."}, {"path": "tedlium_14804.wav", "duration": 9.9, "text": "As Sean noted, our integration and operating costs are expected to continue through the second and into the third quarter, as we fully integrate last year's acquisitions."}, {"path": "tedlium_14805.wav", "duration": 9.9, "text": "this number is going to move around a little bit because it will depend on the mix of the brands and the locations that are being renovated. So obviously,"}, {"path": "tedlium_14806.wav", "duration": 9.9, "text": "and last but not least, a live-action scanning tool on mobile so traders can identify unusual options activity and volatility while on the go."}, {"path": "tedlium_14807.wav", "duration": 9.9, "text": "to make sure that they are now approved in this country. This has really slowed down the production of some of these items that we're producing."}, {"path": "tedlium_14808.wav", "duration": 9.9, "text": "We are incredibly proud of this honor and believe it is a true testament to our systems and processes, which have allowed us to grow in scale over the years."}, {"path": "tedlium_14809.wav", "duration": 9.9, "text": "Our people have all worked together to create a solid globally recognized leadership position and significant opportunities for the future."}, {"path": "tedlium_14810.wav", "duration": 9.9, "text": "real benefit to doing that because there are no significant therapies. Many of these women suffer from significant pain. In fact, I"}, {"path": "tedlium_14811.wav", "duration": 9.9, "text": "I don't think we've seen the full effect on cost of goods sold yet. I think that we've got some maturity to do there -- to go there."}, {"path": "tedlium_14812.wav", "duration": 9.9, "text": "He shares many of our same values, including a focus on creating shareholder value and maintaining a strong balance sheet. I will now turn the call over to Pam to walk through the financials."}, {"path": "tedlium_14813.wav", "duration": 9.9, "text": "We do continue to see good growth opportunities across our franchise, both in our core banking markets and specialized businesses."}, {"path": "tedlium_14814.wav", "duration": 9.9, "text": "view of the world if you like. But essentially, we don't think there's very much in terms of rate increases in the future, but we do expect one in the fourth quarter."}, {"path": "tedlium_14815.wav", "duration": 9.9, "text": "you're facing the impact of your second-largest client having repriced, plus you're looking at the impact of the normal trends that occur and you build up a lot of costs."}, {"path": "tedlium_14816.wav", "duration": 9.9, "text": "Such risks and other factors are described in our Form 10-K and other periodic reports as filed with the Securities and Exchange Commission."}, {"path": "tedlium_14817.wav", "duration": 9.9, "text": "The decline in occupancy was more than offset by contribution from annual rent escalators and leases commencing with higher cash rents."}, {"path": "tedlium_14818.wav", "duration": 9.9, "text": "We have shown already in 3 types of cancer that the controlled IL-12 is a powerful platform that can turn cold tumors hot. In other words,"}, {"path": "tedlium_14819.wav", "duration": 9.9, "text": "We have also launched our Monro University training program pilot, an important initiative in our strategy to attract and retain the right talent."}, {"path": "tedlium_14820.wav", "duration": 9.9, "text": "And then the third bucket would be the bonuses and any other expenses that you would expect to not recur beyond 2018. Yes,"}, {"path": "tedlium_14821.wav", "duration": 9.9, "text": "And that has subsequently led to an increase in this -- what we refer to as the conversion of referrals to admissions in many of our markets."}, {"path": "tedlium_14822.wav", "duration": 9.9, "text": "generally consistent in terms of our production activities. I mean, the key the react for Iraq will be ongoing investment to build up"}, {"path": "tedlium_14823.wav", "duration": 9.9, "text": "the process of driving organic growth through customer-focused innovation is something I'm very familiar with and will continue to emphasize here at Platform."}, {"path": "tedlium_14824.wav", "duration": 9.9, "text": "but we've clearly made these adjustments. So I'm relatively bullish on some of these markets. There are some other markets we have to be careful about. South Africa, obviously,"}, {"path": "tedlium_14825.wav", "duration": 9.9, "text": "Okay. And then as you speak with your local advertisers about their hesitation to be back in the market now,"}, {"path": "tedlium_14826.wav", "duration": 9.9, "text": "Part of that's going to be the expansion of the DTC effort this year. I think the other piece, as I look forward, is being able to activate more patients"}, {"path": "tedlium_14827.wav", "duration": 9.9, "text": "And finally, we do also see that not all the declines in that segment are in the same difficult position. Others have been able to diversify their"}, {"path": "tedlium_14828.wav", "duration": 9.9, "text": "to add new restaurants to the Royalty Pool. So this year, on January 1, Pizza Pizza Limited added restaurants that had"}, {"path": "tedlium_14829.wav", "duration": 9.9, "text": "But there's a significant amount of spend above the line. A lot of that is different from the way we spend at Conagra trade above the line, which is really in high-quality"}, {"path": "tedlium_14830.wav", "duration": 9.9, "text": "Yes, I mean, there's no real significant investments going in the energy business at the moment. What I was alluding to was we will"}, {"path": "tedlium_14831.wav", "duration": 9.9, "text": "Because I believe that in the future, these hardwares will no longer exist, like the plastic will cease to exist in the future. But"}, {"path": "tedlium_14832.wav", "duration": 9.9, "text": "The company makes no commitment and disclaims any duty to update or revise any forward-looking statements to reflect future events, new information or changes in these expectations."}, {"path": "tedlium_14833.wav", "duration": 9.9, "text": "I know, the SBA product is also protected as you guys just mentioned and that's very unique to your platform. But it seems like Fannie would be a very natural fit and extension for you guys."}, {"path": "tedlium_14834.wav", "duration": 9.9, "text": "This concludes today's call. Thank you for your participation. You may now disconnect your lines, and have a wonderful day."}, {"path": "tedlium_14835.wav", "duration": 9.9, "text": "both on the private and the public side. And I think our people are working really hard every day to improve our business. So these are exciting times."}, {"path": "tedlium_14836.wav", "duration": 9.9, "text": "So that's why you -- I have to tell you that I cannot give you concrete guidance on the development that you'll see here further."}, {"path": "tedlium_14837.wav", "duration": 9.9, "text": "The pricing environment remained solid. We implemented a moderate price increase in late January and saw nice realization."}, {"path": "tedlium_14838.wav", "duration": 9.9, "text": "such as those factors referenced in our discussion today. Our forward-looking statements speak only as of today, and we disclaim any obligation to update them even if our views change."}, {"path": "tedlium_14839.wav", "duration": 9.9, "text": "Executing against the strategic vision will require concerted action and select investments, which I am driving forward across the business."}, {"path": "tedlium_14840.wav", "duration": 9.9, "text": "than we were able to announce immediately upon unblinding. I can't say anything more about the numbers because these things have to be peer-reviewed and presented in the proper"}, {"path": "tedlium_14841.wav", "duration": 9.9, "text": "larger competitors continue to consolidate, all it does is really just emphasize our strategy and make our strategy a little easier and a little clearer"}, {"path": "tedlium_14842.wav", "duration": 9.9, "text": "given where we are right now, even if, for some reason, they make an interim decision, we don't want any of that in our numbers going -- for the balance of the year. We kind of feel bad that we had that in there."}, {"path": "tedlium_14843.wav", "duration": 9.9, "text": "And during the course of the year, we were pleased to have PERCEPTIVE ADVISORS and BROADFIN CAPITAL join Essex Woodlands as major investors in the company."}, {"path": "tedlium_14844.wav", "duration": 9.9, "text": "and I'm guessing that your realized intermodal pricing in the first half might be worse than that range, just given the competitive environment we saw"}, {"path": "tedlium_14845.wav", "duration": 9.9, "text": "and our underlying mix, so we really haven't seen a big shift there, really strong growth. And retention obviously playing a real big role in that growth has really enabled that stability of our book."}, {"path": "tedlium_14846.wav", "duration": 9.9, "text": "We have implemented a remediation plan that includes performing sample testing of the quality of incoming steel plate at both production sites,"}, {"path": "tedlium_14847.wav", "duration": 9.9, "text": "Currently, we are in the early stages of a comprehensive company transformation to increase growth and profitability."}, {"path": "tedlium_14848.wav", "duration": 9.9, "text": "primarily through adjusting variable incentive compensation, and we expect there to be some modest benefit from this in the fourth quarter."}, {"path": "tedlium_14849.wav", "duration": 9.9, "text": "what do you see as the lag effect for your business to recover? And is your operating leverage in any way diminished by the cost-out actions you've taken?"}, {"path": "tedlium_14850.wav", "duration": 9.9, "text": "Yesterday evening, we released results for the first quarter. Our company continues to drive financial performance through top line growth and operational execution,"}, {"path": "tedlium_14851.wav", "duration": 9.9, "text": "remain excited about the future of the PEO. Now I'd like to focus on the strong progress of our investments to improve the client experience."}, {"path": "tedlium_14852.wav", "duration": 9.9, "text": "which ramps up in the late first quarter and second quarter, and statistics in 2017 are very consistent with those levels in 2016 with the expected retail demand levels."}, {"path": "tedlium_14853.wav", "duration": 9.9, "text": "In used vehicle sales, the pricing environment appears to be stabilizing, although some risk remains due to the elevated level of Class 8 inventory in the market and other factors."}, {"path": "tedlium_14854.wav", "duration": 9.9, "text": "the process is not without ongoing challenges, including the following. Our customers are generally large and very complex organizations."}, {"path": "tedlium_14855.wav", "duration": 9.9, "text": "As we have discussed in prior calls, the seasonal nature of our tax and accounting work results in proportionately more revenue in the first half of the year compared with the second half."}, {"path": "tedlium_14856.wav", "duration": 9.9, "text": "Our sales volume during the quarter benefited from comparatively strong domestic and international demand, as well as strong production."}, {"path": "tedlium_14857.wav", "duration": 9.9, "text": "And I will say, we've talked on this call many times about the fact that we think we have the most efficient load-out east of the Mississippi."}, {"path": "tedlium_14858.wav", "duration": 9.9, "text": "Statements made by management of ImmuCell during the course of this conference call that are not historical facts are considered to be forward-looking statements."}, {"path": "tedlium_14859.wav", "duration": 9.8999375, "text": "was attributable to the successful management of higher raw material costs, which positively impacted both our revenues and gross profits."}, {"path": "tedlium_14860.wav", "duration": 9.8700625, "text": "we may well be there to pick up some good assets or great assets out of that just as we did when Nexstar and Media General got together, and we were able to pick up"}, {"path": "tedlium_14861.wav", "duration": 9.87, "text": "And again, also the consumer business area is impacted by the increase in pulp prices."}, {"path": "tedlium_14862.wav", "duration": 9.87, "text": "and we were impressed by the widespread desire in both the patient and clinical communities for new approaches to this disease,"}, {"path": "tedlium_14863.wav", "duration": 9.87, "text": "and was up over 200% from the year ago period as we accelerated the completion of a large number of previously awarded CAF II sites."}, {"path": "tedlium_14864.wav", "duration": 9.87, "text": "As we translate our recent investing experience into a view for the balance of 2017, we are encouraged by our ability to screen for"}, {"path": "tedlium_14865.wav", "duration": 9.87, "text": "Could you share a little bit where your -- where it's being sold and what type of fee structure we're looking at? Because I do think there's a big opportunity there."}, {"path": "tedlium_14866.wav", "duration": 9.87, "text": "And once that happened from a cash flow standpoint, we had enough to support the remaining assets within the CPD division."}, {"path": "tedlium_14867.wav", "duration": 9.87, "text": "trend in the storage business that's been going on for a while. We've got to make sure we can get into"}, {"path": "tedlium_14868.wav", "duration": 9.87, "text": "I assume part of that is reflection of the increase and just what's going on with the estimates from last year, or maybe some current issues as well. But"}, {"path": "tedlium_14869.wav", "duration": 9.87, "text": "to be able to compete better within that marketplace as it exists, but I wouldn't look for very strong growth moving forward based upon that product for the franchise."}, {"path": "tedlium_14870.wav", "duration": 9.87, "text": "Subsequently, the FDA has requested additional information to enable their review of the ZINPLAVA file with the result that a new action date of October 23 has been set."}, {"path": "tedlium_14871.wav", "duration": 9.87, "text": "the workload for regulatory agencies, given the very large number of studies that we and our competitors are doing in this field, is quite substantial."}, {"path": "tedlium_14872.wav", "duration": 9.87, "text": "and that's fairly typical in markets that you see following a hurricane. There is some potential benefit from those remaining of hotels"}, {"path": "tedlium_14873.wav", "duration": 9.87, "text": "one pivotal study. So you have to be more confident in the outcome of one pivotal study in order to use that as your criterion to approve a drug."}, {"path": "tedlium_14874.wav", "duration": 9.87, "text": "location. So we are going to probably transition through a little bit of vacancy there over the next year or 2, where we end up having to move people around, but I think at the end of the day, it will be a much stronger"}, {"path": "tedlium_14875.wav", "duration": 9.87, "text": "Before that, I'd like to give you an overview on the economic environment and the current developments within our industry."}, {"path": "tedlium_14876.wav", "duration": 9.87, "text": "and we expect once the Shared National Credit gets taken care of, we're in a range where we will be managing inflows and outflows on a normal"}, {"path": "tedlium_14877.wav", "duration": 9.87, "text": "that means all alternatives. And it's unfortunate that everybody really jumped right away to the idea of a sale, but that's what the market tends to do."}, {"path": "tedlium_14878.wav", "duration": 9.87, "text": "first question was I'm wondering if your Q3 products successes give us a read on the fourth quarter. Did you see better growth"}, {"path": "tedlium_14879.wav", "duration": 9.87, "text": "the geopolitical tensions and this increasing U.S. dollar are all bad macro forces for us in that sense in terms of what we're facing"}, {"path": "tedlium_14880.wav", "duration": 9.87, "text": "So if that's the case, then that particular event wouldn't be eligible for an experimental therapy in a study like this. There's one other element I didn't have in the"}, {"path": "tedlium_14881.wav", "duration": 9.87, "text": "The thread design requires significantly fewer turns from stab to makeup than comparable connections and requires no stabbing guides, making it significantly easier to handle on a rig."}, {"path": "tedlium_14882.wav", "duration": 9.87, "text": "On average, rates were up modestly across the segment, other than Property, which is down a fair bit due to continued competition in this area."}, {"path": "tedlium_14883.wav", "duration": 9.87, "text": "We continue to work on improving our supply terms and conditions and our merchandising strategies in order to bring them in line with the market competitiveness and the economic conditions"}, {"path": "tedlium_14884.wav", "duration": 9.87, "text": "which has the impact of reducing growth by roughly 1%. As previously stated, selling days generally do not have an impact on the performance of our capital businesses."}, {"path": "tedlium_14885.wav", "duration": 9.87, "text": "As a reminder, first quarter 2015 benefited from a tax consolidating adjustment that reversed itself during the course of last year."}, {"path": "tedlium_14886.wav", "duration": 9.87, "text": "We continue to believe that we are well positioned to resume earning expansion later this year. And to give more detail on these items, I'd now like to turn it back to Dave."}, {"path": "tedlium_14887.wav", "duration": 9.87, "text": "Multiples are higher, I think, in this space than generally seen in the industrial space, and so that becomes a factor."}, {"path": "tedlium_14888.wav", "duration": 9.87, "text": "the order performance in all 3 of those categories, as well as I think you suggested the backlog, was up at the end of the first quarter."}, {"path": "tedlium_14889.wav", "duration": 9.87, "text": "I would like also to update you on the progress of our cellular and fixed line businesses development as well as other business portfolio."}, {"path": "tedlium_14890.wav", "duration": 9.87, "text": "There is a very realistic problem. Say, today, there is a way of gambling where you can take all the winnings"}, {"path": "tedlium_14891.wav", "duration": 9.87, "text": "For risks and uncertainties regarding our business and statements made on the call today as well as factors that may cause differences between current expectations and actual results,"}, {"path": "tedlium_14892.wav", "duration": 9.87, "text": "which are inherently subject to risks and uncertainty. The company does not assume the duty to update forward-looking statements. With that, I'll now turn the call over to Chuck Gordon."}, {"path": "tedlium_14893.wav", "duration": 9.87, "text": "It is important to note that this is a consultation, and Ofgem is seeking comment from a wide variety of stakeholders to ensure the best outcome."}, {"path": "tedlium_14894.wav", "duration": 9.87, "text": "And what we believe the net result is that both our total addressable market, the market opportunity and our own higher level of growth and rising profitability"}, {"path": "tedlium_14895.wav", "duration": 9.87, "text": "We had record growth in our Games installed base, and the number of units sold was the highest since our acquisition of Multimedia Games."}, {"path": "tedlium_14896.wav", "duration": 9.87, "text": "while we're seeing the continued weakness in the electronic industry in particular in Asia. And that composition of the business segment"}, {"path": "tedlium_14897.wav", "duration": 9.87, "text": "versus 2016. We plan to reallocate and shift some of the internal resources towards faster, new exhibitor acquisition and new category expansion"}, {"path": "tedlium_14898.wav", "duration": 9.87, "text": "we can reflect on all of the diseases for which there are no available treatments and think about the new programs in our pipeline and the potential to offer hope"}, {"path": "tedlium_14899.wav", "duration": 9.87, "text": "Our role is the leading worldwide designer and manufacturer of oilfield equipment with several important attributes with respect to long-term returns on capital for our shareholders."}, {"path": "tedlium_14900.wav", "duration": 9.87, "text": "and what are the customers where we can create the most value? And then focusing on those customers and then working with the other customers to make sure that they're serviced properly,"}, {"path": "tedlium_14901.wav", "duration": 9.87, "text": "as a result of numerous factors, including general economic conditions in Honda's principal markets and foreign exchange rates between the Japanese yen and U.S. dollar,"}, {"path": "tedlium_14902.wav", "duration": 9.87, "text": "point solutions in the operations. So I think that we're now having these conversations and I think they've been enabled by the kind of access"}, {"path": "tedlium_14903.wav", "duration": 9.87, "text": "Also continuing to make progress on our whole data evaluation agreement with Nielsen as well as some other pretty interesting things that we're doing in the data space."}, {"path": "tedlium_14904.wav", "duration": 9.87, "text": "We are committed to driving toward those targets. Now I have a few comments on our team, which is very talented and committed to this company."}, {"path": "tedlium_14905.wav", "duration": 9.87, "text": "As we approach year-end, we have significant momentum with respect to our key strategic initiatives, and we believe that the progress on reinsurance"}, {"path": "tedlium_14906.wav", "duration": 9.87, "text": "But what this really means is that reliable, flexible natural gas facilities are absolutely necessary to back up wind and solar."}, {"path": "tedlium_14907.wav", "duration": 9.87, "text": "responsible for the volatility was our exposure to Azoty last year. It"}, {"path": "tedlium_14908.wav", "duration": 9.87, "text": "That was my presentation regarding a solid H1 performance. I now give the floor back to Jean-Louis for some concluding remarks."}, {"path": "tedlium_14909.wav", "duration": 9.87, "text": "As we entered Q4, we had to then get the growth engine back going, and it's not a switch you can just"}, {"path": "tedlium_14910.wav", "duration": 9.87, "text": "It also has a lot of burdens. One, is that we must dividend out all of the earnings the company has made over its entire history,"}, {"path": "tedlium_14911.wav", "duration": 9.87, "text": "Downstream benefits from new project spend, market share gains with several new customers as well as a steady base of ongoing maintenance,"}, {"path": "tedlium_14912.wav", "duration": 9.87, "text": "As we typically do at the end of the third quarter, we are updating our guidance estimates to reflect these results as well as to include our expectations for the final quarter of the year."}, {"path": "tedlium_14913.wav", "duration": 9.87, "text": "On a year-to-date basis, life earnings are tracking better than both expectations and prior year, largely due to lower mortality costs and favorable investment income."}, {"path": "tedlium_14914.wav", "duration": 9.87, "text": "as well as the ability to refinance their loans at a lower interest rate, creating meaningful savings in their monthly loan payments."}, {"path": "tedlium_14915.wav", "duration": 9.87, "text": "First, we generated a benefit of 11 percentage points from tax reform, as we are in a net deferred tax liability position and we wrote down those liabilities to the lower rates."}, {"path": "tedlium_14916.wav", "duration": 9.87, "text": "So we think we're really well placed to work with some of these banks. Now each of them, as you can imagine, caution us that they don't move quickly when it comes to doing deals like this. So we are not"}, {"path": "tedlium_14917.wav", "duration": 9.87, "text": "Increased demand for polymers in automotive and growth in consumer electronics and semiconductors drove the improvement in Asia Pacific,"}, {"path": "tedlium_14918.wav", "duration": 9.87, "text": "players in that space, you notice that they start with the platform, they develop their distribution capability and then they support that effort with more and more content."}, {"path": "tedlium_14919.wav", "duration": 9.87, "text": "Investors should not assume that the statements made during the call will remain operative at a later time, and the company undertakes no obligation to update any information discussed on the call."}, {"path": "tedlium_14920.wav", "duration": 9.87, "text": "Well, integration has never been more strategic. So many of the CEOs I spoke with told me that data remains unlocked -- remains locked in their legacy systems"}, {"path": "tedlium_14921.wav", "duration": 9.87, "text": "And as we initially put on wells that are more remote, we're trucking a lot of water. As we build out, have larger pads, we get more and more that's put on pipe."}, {"path": "tedlium_14922.wav", "duration": 9.87, "text": "investors have concern on and I'd like to take this opportunities to report to you all. And now, we'd like to open the floor and time to our"}, {"path": "tedlium_14923.wav", "duration": 9.87, "text": "Given the path and expected strength of the hurricane winds, there was no need to relocate any of the inmates and detainees across the 7 affected facilities."}, {"path": "tedlium_14924.wav", "duration": 9.87, "text": "and the new St James's Gate Brewery and benefited from disposals. The weaker pound and continued growth of our business will lead to an increase in CapEx, so"}, {"path": "tedlium_14925.wav", "duration": 9.87, "text": "but also from a business model perspective, the financial profile of AVOD revenues is extremely appealing because it is less capital intensive,"}, {"path": "tedlium_14926.wav", "duration": 9.87, "text": "This is because, as you know, the bidding process has been adapted and is now penetrating in the market. The second reason is that"}, {"path": "tedlium_14927.wav", "duration": 9.87, "text": "We have and continue to leverage investments we have made in process and systems to increase the utilization of our resources and also maximize production capacities."}, {"path": "tedlium_14928.wav", "duration": 9.87, "text": "it's probably worth mentioning that we're not really changing the domestic utility growth rate from the utilities. What we've really changed and up the overall is"}, {"path": "tedlium_14929.wav", "duration": 9.87, "text": "and in which factory we can keep our production lines busy becomes defining points for our profitability,"}, {"path": "tedlium_14930.wav", "duration": 9.87, "text": "Many of these strategic initiatives are already evident in the marketplace. Our design-to-value initiative is the latest that will soon be visible in stores."}, {"path": "tedlium_14931.wav", "duration": 9.87, "text": "The program will leverage the ways we use our customer data, automation and content to create exceptional engaging interactions with our customers."}, {"path": "tedlium_14932.wav", "duration": 9.87, "text": "but our business in Russia was never operationally involved with Renova, it was never run by Renova, it's run by us"}, {"path": "tedlium_14933.wav", "duration": 9.87, "text": "And looking out beyond that based on our forecast and what visibility we have in certain regions, we feel pretty good about the balance"}, {"path": "tedlium_14934.wav", "duration": 9.87, "text": "And we've also made some strategic investments, targeted strategic investments in things like the consolidation merger of PANalytical and Malvern,"}, {"path": "tedlium_14935.wav", "duration": 9.87, "text": "It's not just the way the business is run, but also how risk is managed and mitigated across the group."}, {"path": "tedlium_14936.wav", "duration": 9.87, "text": "for your questions. Microphones are available. And it would be very helpful if you gave your name and the name of the organization you're representing."}, {"path": "tedlium_14937.wav", "duration": 9.87, "text": "might be inclined to take an exit of a nice company where you otherwise wouldn't want to when we really want to remove any incentive from having to"}, {"path": "tedlium_14938.wav", "duration": 9.87, "text": "We've completed multiple new business deals, renewed several partnerships, and we have a robust pipeline of activity that we're focused on executing."}, {"path": "tedlium_14939.wav", "duration": 9.87, "text": "they might not have a dramatic impact. But if they think they're going to last for a long time and you see a scarcity of a resource, I mean, you know how that one will play out."}, {"path": "tedlium_14940.wav", "duration": 9.87, "text": "have both delivered strong performance since we acquired them last year, and both have made significant contributions to the execution of our balanced growth strategy."}, {"path": "tedlium_14941.wav", "duration": 9.87, "text": "So if we look back a year or 2, we had a much larger portfolio of preferred shares and common shares, which don't qualify as high-quality liquid assets, so there is"}, {"path": "tedlium_14942.wav", "duration": 9.87, "text": "So you have states where you have huge opportunity in ambulatory care. And you have states and, in some cases, whole regions, where you have almost none."}, {"path": "tedlium_14943.wav", "duration": 9.87, "text": "we are responding to those changes in demand, but overall, we expect our unit revenue to continue to grow in the second half."}, {"path": "tedlium_14944.wav", "duration": 9.87, "text": "We keep our focus in managing our customer base using more and more analytic tools toward profiling our clients even better."}, {"path": "tedlium_14945.wav", "duration": 9.87, "text": "During the second quarter, we introduced a new brand of cosmetics, NYX, exclusive to our network and very popular with the younger clientele."}, {"path": "tedlium_14946.wav", "duration": 9.87, "text": "A replay of this call will be available via the other number noted in the press release and will also be available on our website following today's presentation."}, {"path": "tedlium_14947.wav", "duration": 9.87, "text": "Group strength primarily came from corporate group, which was up 35%. This is particularly encouraging as we think about group business going forward"}, {"path": "tedlium_14948.wav", "duration": 9.87, "text": "With regard to investments, we will not follow a fixed plan, but we'll execute investments and shareholder returns within the scope of the cash we create,"}, {"path": "tedlium_14949.wav", "duration": 9.87, "text": "They've obviously improved quite a bit this quarter and which is very encouraging. And I guess, I was wondering what are your views are on driving margin leverage going forward?"}, {"path": "tedlium_14950.wav", "duration": 9.87, "text": "As we transform the capital structure, we will have the opportunity to utilize our liquidity on projects with highly accretive returns within our portfolio."}, {"path": "tedlium_14951.wav", "duration": 9.87, "text": "We've been a little bit concerned about some weakness on that side of things coming into the end of 2015, but the strength of"}, {"path": "tedlium_14952.wav", "duration": 9.87, "text": "and that could have been worth billions of dollars. And so when you put those 2 together, we think we've been more than fair in offering a very good"}, {"path": "tedlium_14953.wav", "duration": 9.87, "text": "Although second quarter production numbers were strong, we believe our third quarter production growth to be even better."}, {"path": "tedlium_14954.wav", "duration": 9.87, "text": "And you said earlier that you're slowing down the transition to that category. Is there a target you want to"}, {"path": "tedlium_14955.wav", "duration": 9.87, "text": "We saw the normal seasonal increase in utility costs in the third quarter, but this was partially offset by lower repair and maintenance expense."}, {"path": "tedlium_14956.wav", "duration": 9.87, "text": "with the prepayments that we will draw down over time. In fact, this covers us for all of the cost of work planned at MD Anderson for the next 2 years"}, {"path": "tedlium_14957.wav", "duration": 9.87, "text": "We are actually looking at a global strategy review on how we best set up ourselves."}, {"path": "tedlium_14958.wav", "duration": 9.87, "text": "chocolate center, one look at that one. That's what you have seen when coming up the stairs, that is what we are doing at the back here."}, {"path": "tedlium_14959.wav", "duration": 9.87, "text": "As a reminder, this proposal is 900-plus pages and was published just this week, so our analysis is preliminary at this point."}, {"path": "tedlium_14960.wav", "duration": 9.87, "text": "which contributed to a 13% increase in economic net interest income in 2018, along with meaningful gains as we continue to optimize our portfolio."}, {"path": "tedlium_14961.wav", "duration": 9.87, "text": "While the pace of change remains uncertain, since the new year, we have seen renewed focus from both the administration and Congress and how the mortgage markets should be structured going forward."}, {"path": "tedlium_14962.wav", "duration": 9.87, "text": "Our strong free cash flow allowed us to maintain adequate liquidity, our top priority for capital allocation in addition to funding our organic growth initiatives"}, {"path": "tedlium_14963.wav", "duration": 9.87, "text": "As Joe mentioned earlier, we deepened our partnership with Amazon through extending and expanding our aircraft lease and operating agreements in December."}, {"path": "tedlium_14964.wav", "duration": 9.87, "text": "and enables the company to deliver innovative and differentiated solutions. WNS will continue to align our talent initiatives"}, {"path": "tedlium_14965.wav", "duration": 9.87, "text": "Okay. Can you break that out so we can actually see what the silica's growth is? Or when does fine chem sort of wash out of the numbers here?"}, {"path": "tedlium_14966.wav", "duration": 9.87, "text": "bit of a positive in terms of FX. We're also adjusting our corporate expense forecast, largely as a result of"}, {"path": "tedlium_14967.wav", "duration": 9.87, "text": "I want to set the backdrop as I prepare to talk about 2016. Because even if you assumed an extreme case of 0% increase"}, {"path": "tedlium_14968.wav", "duration": 9.87, "text": "Just some context or color in terms of how you kind of got to the point where you're ready to at least contemplate potentially making a large transaction."}, {"path": "tedlium_14969.wav", "duration": 9.87, "text": "in the Industrial side or... That's a good question. I think we saw softening over the course of the quarter"}, {"path": "tedlium_14970.wav", "duration": 9.87, "text": "The strength of our franchises, the performance of the economies in which we operate and the positive impacts on the investments we have been making are reflected in our financial results."}, {"path": "tedlium_14971.wav", "duration": 9.87, "text": "it's all about the people, and I think we are very well-positioned for success in just about every area in which we're dealing. So I want to thank you for joining us,"}, {"path": "tedlium_14972.wav", "duration": 9.87, "text": "A highlight of the holiday season was the strong performance of our whole fulfiller network in delivering to customers on time for Christmas."}, {"path": "tedlium_14973.wav", "duration": 9.87, "text": "Please refer to the GAAP versus non-GAAP reconciliations in our presentation, which contain the reconciliation of the adjusted financial measures to the most directly comparable GAAP measures."}, {"path": "tedlium_14974.wav", "duration": 9.87, "text": "in accordance with the amount of data actually used flat rate out of five tiers offered is automatically applied."}, {"path": "tedlium_14975.wav", "duration": 9.87, "text": "We have to switch the charts, no? Let's have a look into the operations. We had a very good start"}, {"path": "tedlium_14976.wav", "duration": 9.87, "text": "And we also had one previously disclosed client transition, which was worth about 2 percentage points year-on-year, which was offset by net new business and client activity."}, {"path": "tedlium_14977.wav", "duration": 9.87, "text": "More broadly, UnitedHealthcare continues to deliver distinctive performance for customers and to drive consistent growth and share gains over time."}, {"path": "tedlium_14978.wav", "duration": 9.87, "text": "We have already begun to see the benefits of this model, which is evident in the growth in deferred revenue from new customer agreements entered into during the quarter."}, {"path": "tedlium_14979.wav", "duration": 9.87, "text": "We achieved that on assets that are in the bottom quartile of our portfolio with population densities and incomes that are significantly below our portfolio average."}, {"path": "tedlium_14980.wav", "duration": 9.87, "text": "increasing. It just won't increase at the same rate that it has over the last year or so, John. And so we do expect the percentage of direct auto to continue and increase."}, {"path": "tedlium_14981.wav", "duration": 9.87, "text": "we thought there would be an opportunity to further extend institutional relationships that, that group had already developed, they came to the firm with revenue paying for themselves,"}, {"path": "tedlium_14982.wav", "duration": 9.87, "text": "I'll start with our corporate results on Slide 5. Overall, sales revenue decreased primarily due to lower selling prices, particularly in Chemical Intermediates."}, {"path": "tedlium_14983.wav", "duration": 9.87, "text": "We've been able to offer a soot sensor product to our diesel passenger car customers to help their vehicles comply with increasingly stringent regulatory requirements over the life of the vehicle."}, {"path": "tedlium_14984.wav", "duration": 9.87, "text": "Ladies and gentlemen, the conference has now concluded. Thank you for attending today's presentation. You may now disconnect your lines."}, {"path": "tedlium_14985.wav", "duration": 9.87, "text": "On our last call, I highlighted our focus on talent and our investment in providing our people with training and experiences to thrive in today's retail environment."}, {"path": "tedlium_14986.wav", "duration": 9.87, "text": "Having said this, it's important to remember, this growth rate varies dramatically between subsegments of the market between geographic regions and between the specific application sets."}, {"path": "tedlium_14987.wav", "duration": 9.87, "text": "At times in our prepared comments or in response to questions, we may offer additional metrics to provide greater insight to our business or our quarterly and annual results."}, {"path": "tedlium_14988.wav", "duration": 9.87, "text": "brings with it quite good operating leverage, as I mentioned in the past. So in terms of the -- although the cargo business is a difficult business for"}, {"path": "tedlium_14989.wav", "duration": 9.87, "text": "the parent company has excess capital available to the bank as an additional source of strength that is not reflected in this number."}, {"path": "tedlium_14990.wav", "duration": 9.87, "text": "We track consolidations every month and we track who we are writing checks to as well, right? So we have a pretty good idea of what's going on"}, {"path": "tedlium_14991.wav", "duration": 9.87, "text": "so I think we have to execute and to demonstrate to them. So we have not yet engaged. We've had some cursory discussions with the agencies,"}, {"path": "tedlium_14992.wav", "duration": 9.87, "text": "Ladies and gentlemen, this concludes today's conference. Thank you for your participation, and have a wonderful day. You may now disconnect."}, {"path": "tedlium_14993.wav", "duration": 9.8699375, "text": "I'll start today's call by walking through our financial results, and then Kevin will provide an operational update and our thoughts on 2017. We'll then open up the call to your questions."}, {"path": "tedlium_14994.wav", "duration": 9.8400625, "text": "good work on that front. Hey, Barry, I was wondering if you might be able to chat a little bit more about some of the trends you are seeing with payers and how that might impact"}, {"path": "tedlium_14995.wav", "duration": 9.8400625, "text": "maybe not to the magnitude that we saw during the third quarter, but is it reasonable to say that we should see an increase during the fourth quarter as well on the senior side?"}, {"path": "tedlium_14996.wav", "duration": 9.84, "text": "Average prices in this segment were consistent with the prior year. Net sales growth as reported was offset by a 3% currency translation impact."}, {"path": "tedlium_14997.wav", "duration": 9.84, "text": "they think is value for money rather than us telling them that this policy is great value for money, and you should really have it this way. And that's what we would like to"}, {"path": "tedlium_14998.wav", "duration": 9.84, "text": "So hard to comment, because we're actually in the middle of discussions around a number of things. So -- but yes,"}, {"path": "tedlium_14999.wav", "duration": 9.84, "text": "However, and here is the big point, with hindsight, there is no doubt that the balance between investing in growing our customer numbers"}, {"path": "tedlium_15000.wav", "duration": 9.84, "text": "as we all know on the call, we had some issues last year with our guidance, I don't want to put our investors or our company in that situation again. So I think we're"}, {"path": "tedlium_15001.wav", "duration": 9.84, "text": "We remain disciplined in our approach to expense management, recognizing the need to balance delivering in the short term while making the appropriate investments to drive long-term growth."}, {"path": "tedlium_15002.wav", "duration": 9.84, "text": "we believe end markets bottomed in 2016 and we saw solid sequential improvement through the first quarter, which we attributed half to market and half to share gains."}, {"path": "tedlium_15003.wav", "duration": 9.84, "text": "The project activity we are seeing is primarily related to capacity upgrades, productivity and de-bottlenecking with very little greenfield activity."}, {"path": "tedlium_15004.wav", "duration": 9.84, "text": "With an allowance coverage of almost 200%, a strong credit history and excess capital, we believe we are well positioned should the economy decline"}, {"path": "tedlium_15005.wav", "duration": 9.84, "text": "about half of that increase -- and remember, this is just spend for the year. But about half of that increase is associated with those. The other half is really associated with"}, {"path": "tedlium_15006.wav", "duration": 9.84, "text": "that this whole much more aggressive growth plan will turn us a much better position in the cash area. So we're hoping"}, {"path": "tedlium_15007.wav", "duration": 9.84, "text": "as needed to ensure we can attract and retain the best talent for our brand. I think you asked a little bit about a go forward, too."}, {"path": "tedlium_15008.wav", "duration": 9.84, "text": "And Mindy will speak about our global summer of impact campaign showing how we can be a powerful partner for health in people's lives all year long"}, {"path": "tedlium_15009.wav", "duration": 9.84, "text": "Looking at outlook for the coming quarter. I have to say that we debated a little bit internally on what to say. Ended up with this conclusion and saying that we are"}, {"path": "tedlium_15010.wav", "duration": 9.84, "text": "if you think about the growth algorithm, you'll see about half the growth coming from new business and about half the growth coming from base business. That's been the history."}, {"path": "tedlium_15011.wav", "duration": 9.84, "text": "Our forecast is based on the number we are given by our customers. So at this point, we do not know what is the reason, but"}, {"path": "tedlium_15012.wav", "duration": 9.84, "text": "Rising well counts, longer laterals, growing number of frac stages and enhanced completion technologies meaningfully increase service intensity and the strain placed on completion equipment."}, {"path": "tedlium_15013.wav", "duration": 9.84, "text": "growing optimism for small business owners, it is important we see more sustainable trends and then the results manifest"}, {"path": "tedlium_15014.wav", "duration": 9.84, "text": "Popcorn in 3 different tastes, and popcorn are naturally high on fiber and is probably the most healthy snack you can eat."}, {"path": "tedlium_15015.wav", "duration": 9.84, "text": "in their view about the currency, the more inclusive that they're going to want to make it, the more comprehensive it's going be, the closer it'll be to truly a total audience representation"}, {"path": "tedlium_15016.wav", "duration": 9.84, "text": "Our strong third quarter results are a testament to our ability to execute and gain client adoption in this rapidly changing and increasingly complex marketplace. Let's take a look."}, {"path": "tedlium_15017.wav", "duration": 9.84, "text": "We also experienced a lot of site change in the period as we completely dealerized the One Stop locations, while adding the SSG sites late in the quarter."}, {"path": "tedlium_15018.wav", "duration": 9.84, "text": "If we take you to just as the run rate for the following quarters, we already arrive above year-over-year guidance. So could you give any comments on that because"}, {"path": "tedlium_15019.wav", "duration": 9.84, "text": "which was not unexpected. And if I take a positive away from it, we can see absolutely no argument with any of the facts that we provided,"}, {"path": "tedlium_15020.wav", "duration": 9.84, "text": "We have changed. The environment has also changed. The difference between our products and competitor products"}, {"path": "tedlium_15021.wav", "duration": 9.84, "text": "The change to the sell-in revenue recognition model could result in higher volatility of Qsymia sales compared to those historically reported."}, {"path": "tedlium_15022.wav", "duration": 9.84, "text": "Please note that the prepared remarks which will follow contain forward-looking statements and management may make additional forward-looking statements in response to your questions."}, {"path": "tedlium_15023.wav", "duration": 9.84, "text": "As you know, a good portion of what we've been working on over the last several months has been a review of a number of things related to both our cancellation practices and the classification of our installer base."}, {"path": "tedlium_15024.wav", "duration": 9.84, "text": "and the more attractive we are to people for adoption. So honestly, our customers love what we're doing for them, and"}, {"path": "tedlium_15025.wav", "duration": 9.84, "text": "Now only a very small number of manufacturers in the industry are manufacturing with laminated panels. That's because the machinery to make them is very expensive."}, {"path": "tedlium_15026.wav", "duration": 9.84, "text": "We have learned that with a right partner, a license agreement can be extremely beneficial to the company, and we're going to be more proactive in seeking these types of deals moving forward."}, {"path": "tedlium_15027.wav", "duration": 9.84, "text": "But at least we see a positive trend when compared to the numbers of the year before. And we also anticipate drops in interest rates"}, {"path": "tedlium_15028.wav", "duration": 9.84, "text": "Then we took the decision to commercialize Galafold on our own and have now built an organization of more than 600 total global employees,"}, {"path": "tedlium_15029.wav", "duration": 9.84, "text": "Indeed, Amicus strive every day to bridge these gaps through the commercialization and development of our portfolio of medicines for rare metabolic disorders"}, {"path": "tedlium_15030.wav", "duration": 9.84, "text": "in Greece, I think you said you were cautiously optimistic on the revenue outlook. Is there any reason why the OpEx can't keep falling"}, {"path": "tedlium_15031.wav", "duration": 9.84, "text": "please provide the safe harbor statement? Yes, sir. I want to take this opportunity to remind listeners that this call will contain forward-looking statements within the meaning"}, {"path": "tedlium_15032.wav", "duration": 9.84, "text": "I'd say, for the most part, we're looking at these auctions not just on the basis of what has been found so far and published but what our geologists think may also be there. So"}, {"path": "tedlium_15033.wav", "duration": 9.84, "text": "We believe organizations spend anywhere from 2 to 5x more on learning content than they spend on their learning management system."}, {"path": "tedlium_15034.wav", "duration": 9.84, "text": "is there anything going on secularly that you're seeing as far as electronic payments versus cash payments?"}, {"path": "tedlium_15035.wav", "duration": 9.84, "text": "you were talking about something volatile or we can see some forecast the benefits because of the solar projects."}, {"path": "tedlium_15036.wav", "duration": 9.84, "text": "in about 19,000 outlets. So that's a quick look at our operating company's achievements in the latest quarter and over the first 9 months of the year."}, {"path": "tedlium_15037.wav", "duration": 9.84, "text": "Excluding the negative impact from the change in revenue recognition standard, second quarter EBITDA margin improvement of 90 basis points"}, {"path": "tedlium_15038.wav", "duration": 9.84, "text": "continues to grow with owners and locations where we have great strength with very little competition, to put it bluntly."}, {"path": "tedlium_15039.wav", "duration": 9.84, "text": "In addition, we see a sustained high level of demand in the pipeline of large civil works projects."}, {"path": "tedlium_15040.wav", "duration": 9.84, "text": "and we are comfortable that these vertical wells represent a high-graded group of wells that should deliver solid economic returns in today's gas price environment."}, {"path": "tedlium_15041.wav", "duration": 9.84, "text": "Finally, a brief comment on our evolving organization. First, we now have a full management team in place and we can feel the positive impact of this."}, {"path": "tedlium_15042.wav", "duration": 9.84, "text": "is that something that shows operational gearing when you're growing at the levels that you're growing at now, and maybe you could allude to how big that is within the Products business, please?"}, {"path": "tedlium_15043.wav", "duration": 9.84, "text": "listeners are cautioned that today's presentation and the responses to questions may contain forward-looking statements within the meaning of the safe harbor provision of the Canadian"}, {"path": "tedlium_15044.wav", "duration": 9.84, "text": "end of this year -- and that's the thing or the beginning of next, and that's the thing that we've got a target. That new display will be something that no one else is built."}, {"path": "tedlium_15045.wav", "duration": 9.84, "text": "reconcile those 2 different data points and where you're seeing leverage relative to maybe a quarter ago when you gave the initial guide?"}, {"path": "tedlium_15046.wav", "duration": 9.84, "text": "And that's where we've got to get. So when I say, we've still got to make progress here, it's just not getting to steady state. It's maintaining it and getting the sentiment of the sales organization to shift"}, {"path": "tedlium_15047.wav", "duration": 9.84, "text": "and acknowledged there may be inequity in the way customers with on-site generation contribute to their share of fixed costs under the current system."}, {"path": "tedlium_15048.wav", "duration": 9.84, "text": "I do want to remind you there are no silver bullets here when it comes to revenue growth, meaning any improvement in increasing the growth rate will take place over multiple years."}, {"path": "tedlium_15049.wav", "duration": 9.84, "text": "These objectives include momentum in our revenue growth, discipline to drive margin improvement, minimize operating expenses and tightly manage our balance sheet."}, {"path": "tedlium_15050.wav", "duration": 9.84, "text": "expanding our margins and the -- I guess, the support of our margins long term. And I would expect that we'll be able to continue to improve"}, {"path": "tedlium_15051.wav", "duration": 9.84, "text": "A careful read of the clinical literature makes clear the need for more effective, less invasive and lower total cost to treat solutions to many disease states."}, {"path": "tedlium_15052.wav", "duration": 9.84, "text": "as compared to the cost of building new stores with high land and building cost or the payment of goodwill premiums to acquire new RV dealerships"}, {"path": "tedlium_15053.wav", "duration": 9.84, "text": "In the retail segment, we have significantly increased the number of the customers. In particular, we have reached 10 million free market power and gas customers in Italy."}, {"path": "tedlium_15054.wav", "duration": 9.84, "text": "in most major geographies. A number of markets where we have some of the largest businesses saw the effect of unique country-related shocks,"}, {"path": "tedlium_15055.wav", "duration": 9.84, "text": "an important part of whatever it is they do. Benioff obviously talking about it with regard to sales enablement and how you train salespeople."}, {"path": "tedlium_15056.wav", "duration": 9.84, "text": "for a year. And some of the customers actually were with us for 2 years as they were part of our pilot group. So I think Michelle and the rest of the marketing team have done a good job"}, {"path": "tedlium_15057.wav", "duration": 9.84, "text": "Expectation is positive in terms of leverage. So we already see some kind of stability in our leverage at lower levels."}, {"path": "tedlium_15058.wav", "duration": 9.84, "text": "always with a question, how can we grow in the base coverage, but also how can we grow in the services around it? And the services question"}, {"path": "tedlium_15059.wav", "duration": 9.84, "text": "It's also one of the fastest-growing markets in the world and one in which we have made changes, both in people and ways of working, to accelerate our performance."}, {"path": "tedlium_15060.wav", "duration": 9.84, "text": "As we mentioned in our third quarter conference call, strong November sales benefited from higher promotional activity in the large-screen TV category."}, {"path": "tedlium_15061.wav", "duration": 9.84, "text": "we have won major body camera contracts with our first 3 state patrols, which we believe was enabled knowing that we have a compatible in-car solution coming to market."}, {"path": "tedlium_15062.wav", "duration": 9.84, "text": "Okay, great. And in your prepared remarks, you mentioned signs of stabilization in terms of volumes at the largest client. Can you give us any"}, {"path": "tedlium_15063.wav", "duration": 9.84, "text": "So again, paying down debt is the primary use of cash, but we would be open to other opportunities should they present themselves. But nothing imminent in the pipeline?"}, {"path": "tedlium_15064.wav", "duration": 9.84, "text": "which we had anticipated. However, one of those programs terminated rather abruptly when our customer discovered a lot more inventory in the pipeline"}, {"path": "tedlium_15065.wav", "duration": 9.84, "text": "So we're pretty active in this situation. And what I would say is the decline in the value reflects the increase in the overall risk profile of our investments."}, {"path": "tedlium_15066.wav", "duration": 9.84, "text": "drive profits and cash flow in that regard. At the same time we were doing that, we made some changes in terms of our"}, {"path": "tedlium_15067.wav", "duration": 9.84, "text": "So that's the reason for us saying what we're saying. We want to talk in general terms because any more details just"}, {"path": "tedlium_15068.wav", "duration": 9.84, "text": "improve margins and generate strong free cash flow. I want to thank our global employees for their tireless work to make all this happen."}, {"path": "tedlium_15069.wav", "duration": 9.84, "text": "It's a subtle shift, but an important one to remind ourselves, investors and customers what our business strategy focuses on."}, {"path": "tedlium_15070.wav", "duration": 9.84, "text": "in New York on June 7. And we'll be sending out the invitation for that soon. So if you would like to make sure you're on that invitation list, please e-mail"}, {"path": "tedlium_15071.wav", "duration": 9.84, "text": "with our strategy moving ourselves more in the technology range in the lower cost range and you'll be hearing more about the low cost range moving forward."}, {"path": "tedlium_15072.wav", "duration": 9.84, "text": "Starting with the Strat, we continue to believe that a thoughtful focus and disciplined reinvestment approach is necessary to realize the full value of its strong worldwide visitation,"}, {"path": "tedlium_15073.wav", "duration": 9.84, "text": "Right now, the problem is not the rates. The rates are getting to the level they have to be one step at a time according to the contract and all that."}, {"path": "tedlium_15074.wav", "duration": 9.84, "text": "We believe we have a lot of work to do to make it an excellent hospitality experience for our guests who choose to order that way and for our guests who are in the Shack."}, {"path": "tedlium_15075.wav", "duration": 9.84, "text": "And we're making the most of the trend towards more commercial and industrial customers wanting to contract for the medium and, indeed, the longer term."}, {"path": "tedlium_15076.wav", "duration": 9.84, "text": "playing for the long game. How we are running our own show focused on American and not defining ourselves on others,"}, {"path": "tedlium_15077.wav", "duration": 9.84, "text": "and again we're just -- we're just not seeing any indicators that there's any softening based on kind of those 3 big looks into the business."}, {"path": "tedlium_15078.wav", "duration": 9.84, "text": "and better depth in categories we're trying to be famous for in both national and own brands. And we'll be launching our new brand positioning in mid-November,"}, {"path": "tedlium_15079.wav", "duration": 9.84, "text": "This reflects both our payment of estimated cash taxes for the first and second quarter and increased working capital needs to support what is typically our highest quarterly sequential sales increase."}, {"path": "tedlium_15080.wav", "duration": 9.84, "text": "meaningful vertical go-to-market sales organizations. That enables us to have people who do nothing but think about those segments"}, {"path": "tedlium_15081.wav", "duration": 9.84, "text": "from DPG. However, not wanting to rest on any of these accomplishments, we will continue our focused efforts to drive ongoing improvements throughout the business,"}, {"path": "tedlium_15082.wav", "duration": 9.84, "text": "and client response has been very positive. Site visits are accelerating and clients are beginning to place their first studies in the facility. As a result,"}, {"path": "tedlium_15083.wav", "duration": 9.84, "text": "And when you manage capital with that level of efficiency, you run a more efficient firm and that's the standard that we've applied here. And it turns out as we got into the weeds"}, {"path": "tedlium_15084.wav", "duration": 9.84, "text": "such factors include those that have in the past and may in the future be identified in the company's SEC filings and other public announcements,"}, {"path": "tedlium_15085.wav", "duration": 9.84, "text": "which are subject to various risks and uncertainties outlined in the risk factors section of OFG's Securities and Exchange Commission filings."}, {"path": "tedlium_15086.wav", "duration": 9.84, "text": "just gives us more time to respond. Ultimately, we're not going to beat the forward curve and we're all going to deal with it. And when I say, we all, the whole industry is going to deal with the new realities."}, {"path": "tedlium_15087.wav", "duration": 9.84, "text": "Unit revenue for the group was up 5.7% for the half, as the aviation industry took action to address rising fuel prices."}, {"path": "tedlium_15088.wav", "duration": 9.84, "text": "But at this point in time I don't think -- I think that's what we can say at this point in time unless, Scott, you have any additional commentary here."}, {"path": "tedlium_15089.wav", "duration": 9.84, "text": "Freight continues to go up with driver shortages, truck shortages, regulations that have been put in place on drivers as to how much they can drive"}, {"path": "tedlium_15090.wav", "duration": 9.84, "text": "We also made progress towards our goal to improve operating margins while navigating the impact of the implementation of the Goods and Services Tax,"}, {"path": "tedlium_15091.wav", "duration": 9.84, "text": "a small deal you guys did there. But just efforts that are going on there in terms of hiring and what you think the next step is to expand in that market area."}, {"path": "tedlium_15092.wav", "duration": 9.84, "text": "Forward-looking statements are statements that include projections, expectations or beliefs about future events or results or otherwise, are not statements of historical fact."}, {"path": "tedlium_15093.wav", "duration": 9.84, "text": "has been contracted to pursue licensing and other strategic activities with regard to our preclinical and our clinical pipeline products"}, {"path": "tedlium_15094.wav", "duration": 9.84, "text": "We will also run our plants at a higher capacity utilization to achieve the appropriate level of inventory to support 2017 growth objectives."}, {"path": "tedlium_15095.wav", "duration": 9.84, "text": "And the one thing we're doing is that we are certainly playing the long game. And we have learned some massive lessons. And a lot of those lessons have been what Patrik spoke about with some of the vendor consolidation,"}, {"path": "tedlium_15096.wav", "duration": 9.84, "text": "We implemented plans early in the year to offset the impact of the rate reduction in Texas as well as unfavorable weather and lower sales growth."}, {"path": "tedlium_15097.wav", "duration": 9.84, "text": "I think the message has been pretty consistent on this, which is that we think the RVI assets are actually a good notch higher in quality than what we've been selling."}, {"path": "tedlium_15098.wav", "duration": 9.84, "text": "And lastly, we are building our capabilities to support expansion of our business with various veteran, active military and other federal organizations."}, {"path": "tedlium_15099.wav", "duration": 9.84, "text": "And in terms of the range, that really hasn't changed from where we were before. I mean, it will come down ultimately to"}, {"path": "tedlium_15100.wav", "duration": 9.84, "text": "in the Eurowings system. So that is something which is out of the question. And as you probably expect, I can't provide any more details on any other rumors."}, {"path": "tedlium_15101.wav", "duration": 9.84, "text": "with a goal of outperforming industry from a growth point of view. That's our aim. Now we're obviously challenged by a short-term situation"}, {"path": "tedlium_15102.wav", "duration": 9.84, "text": "These sales were executed in connection with our efforts to rebalance the investment portfolio subsequent to the impact of the segregated account's exit from rehabilitation"}, {"path": "tedlium_15103.wav", "duration": 9.84, "text": "In my discussions with customers, they increasingly view our platform as a way to manage work across and outside of the enterprise."}, {"path": "tedlium_15104.wav", "duration": 9.84, "text": "I mean this would be 8% growth if you consider the number of stores you mentioned. And these are all"}, {"path": "tedlium_15105.wav", "duration": 9.84, "text": "We are developing key accounts, investing in targeted inventories and building out our parts and service capacity and capabilities to meet these growing needs."}, {"path": "tedlium_15106.wav", "duration": 9.84, "text": "and current market conditions, which are subject to significant risks and uncertainties as set forth in the Risk Factor section of our most recently filed annual report Form 10-K."}, {"path": "tedlium_15107.wav", "duration": 9.84, "text": "and we have seen a very good order intake and thereby also good visibility into a very strong fourth quarter that we currently are executing on."}, {"path": "tedlium_15108.wav", "duration": 9.84, "text": "Here, our ambition has been to get capital from the outside because we think the Media Solutions is strategic for our customers."}, {"path": "tedlium_15109.wav", "duration": 9.84, "text": "I look forward to hearing your questions about the results reported today. As this is an earnings call, we would like to focus on our first half performance"}, {"path": "tedlium_15110.wav", "duration": 9.84, "text": "These events have traditionally been a catalyst for GME shares, and Mike Hogan has done some modeling of potential impact that he will share with you in his remarks."}, {"path": "tedlium_15111.wav", "duration": 9.84, "text": "So now let me come back to cable for a minute. Big picture and strategically. Beginning on Slide 11. There is a lot on this page, but the message should be pretty clear."}, {"path": "tedlium_15112.wav", "duration": 9.84, "text": "Our advantage as the only provider who can offer a comprehensive solution for rapid quality control testing continues to resonate with our clients."}, {"path": "tedlium_15113.wav", "duration": 9.84, "text": "Most of our industry customers have a shorter horizon of the future. And they can have that because"}, {"path": "tedlium_15114.wav", "duration": 9.84, "text": "A replay of this call will be archived on the company's website. Before we get started, during the course of this conference call, the company will make projections, or forward-looking statements, regarding future events,"}, {"path": "tedlium_15115.wav", "duration": 9.84, "text": "We're examining new and different ways to apply artificial intelligence and data analytics to streamline many of our internal functions and to improve on safety."}, {"path": "tedlium_15116.wav", "duration": 9.84, "text": "a lot of the things that we've been working on and a lot of the things that we've been saying to our shareholders and discussing with our customers and the like."}, {"path": "tedlium_15117.wav", "duration": 9.84, "text": "We expect these and other actions to increase our operating leverage and to improve profitability as our sales trajectory increases."}, {"path": "tedlium_15118.wav", "duration": 9.84, "text": "point between companies and the tax authorities in Brazil. We have internal reports"}, {"path": "tedlium_15119.wav", "duration": 9.84, "text": "Is it mostly economics? Or do you think it's more relating to regulatory risks such as getting the licenses and so on and so forth. Okay."}, {"path": "tedlium_15120.wav", "duration": 9.84, "text": "We are not, repeat, not marketing our retail assets, and we are not currently involved in any sales process in any refinery."}, {"path": "tedlium_15121.wav", "duration": 9.84, "text": "have you started to see a stabilization on that yet? And do you anticipate needing to retain the loans on the balance sheet if markets remain soft?"}, {"path": "tedlium_15122.wav", "duration": 9.84, "text": "compared to users from other platforms. And overall, Snapchat users played the game for twice as long as users acquired anywhere else."}, {"path": "tedlium_15123.wav", "duration": 9.84, "text": "Given the company's return to its historical focus on product, service and presentation rather than price,"}, {"path": "tedlium_15124.wav", "duration": 9.84, "text": "I think we've succeeded in building this foundation, and I expect to see our financial performance momentum grow in 2017. Now I'll hand it back to John."}, {"path": "tedlium_15125.wav", "duration": 9.84, "text": "kind of a money-losing contract for a few years because they weren't coming up with the volumes or if there's something you're able to change, so that you could protect the profitability of the contract even if there are lower volumes."}, {"path": "tedlium_15126.wav", "duration": 9.84, "text": "It's really all of the above, right? It's we're working with the customers to understand the volume changes and then adjust our operations to meet those volume changes."}, {"path": "tedlium_15127.wav", "duration": 9.84, "text": "With peak client demand occurring in the first half of the year, our objective is to keep the staff utilized during the second half of the year when client demand is seasonally weaker."}, {"path": "tedlium_15128.wav", "duration": 9.84, "text": "on top of that, I think you've indicated that the yield from renewing some of that book of business has been better than expected. Maybe some more color on that as well."}, {"path": "tedlium_15129.wav", "duration": 9.84, "text": "the increase in this expense resulted from the company achieving the maximum financial performance under the company's Long-Term Incentive Plan."}, {"path": "tedlium_15130.wav", "duration": 9.8100625, "text": "When we meet in March, we intend to review how the parts of our company work together to provide a unique value to our clients, how we will use technology to drive our business forward,"}, {"path": "tedlium_15131.wav", "duration": 9.8100625, "text": "Africa performance was mixed with double-digit growth in Nigeria being partially offset by weakness in Africa Regional Markets and South Africa."}, {"path": "tedlium_15132.wav", "duration": 9.81, "text": "Okay. And based on some of your conversations with some of this pull-forward in demand trying to get in front of the steel costs, at this point, is there any potential"}, {"path": "tedlium_15133.wav", "duration": 9.81, "text": "as well as a focus on improving manufacturing quality and right-first-time metrics to ensure we don't leak incremental profit dollars from poor operating execution."}, {"path": "tedlium_15134.wav", "duration": 9.81, "text": "our -- targeted because we clearly look on customers, which are not looking for the initial investment cost, but really rather on"}, {"path": "tedlium_15135.wav", "duration": 9.81, "text": "So then the rest of the adjustment -- if you look at the rest of the adjustment for the second half of '17 in our forecast,"}, {"path": "tedlium_15136.wav", "duration": 9.81, "text": "There does seem to be some overall firmness in the numbers. I mean, I don't think -- we're not seeing the wide gyrations that we saw in some of our internal forecasts"}, {"path": "tedlium_15137.wav", "duration": 9.81, "text": "Our supply chain financing programs will allow vendors to be paid by financial intermediaries on trade payables earlier than the due date of the applicable invoice."}, {"path": "tedlium_15138.wav", "duration": 9.81, "text": "In my opinion, the winners in the current environment are companies that focus on clients and make it easier for them to transact business,"}, {"path": "tedlium_15139.wav", "duration": 9.81, "text": "recognition of revenues related to handsets transactions via direct channels such as our own shops and online."}, {"path": "tedlium_15140.wav", "duration": 9.81, "text": "This covers a population of an extra 800 million that we will have to build up step-by-step following the key success factors of India."}, {"path": "tedlium_15141.wav", "duration": 9.81, "text": "to remain open as a place of refuge for affected citizens as well as those who must remain in the area, such as first responders."}, {"path": "tedlium_15142.wav", "duration": 9.81, "text": "for our rental business in terms of CAT equipment but in general, your comments around may be coming to the end of the cycle on used versus new was probably pretty fair."}, {"path": "tedlium_15143.wav", "duration": 9.81, "text": "We bought the Liberty Banking Corporation in Arkansas, expanding our footprint throughout the state of Arkansas, doubled their profits in less than a year, in the best deal we have ever completed."}, {"path": "tedlium_15144.wav", "duration": 9.81, "text": "A reconciliation of these measures is provided in the earnings press release issued this morning, which is also posted in the Investors section of our website."}, {"path": "tedlium_15145.wav", "duration": 9.81, "text": "in a couple of areas, right? One is, to figure out how much of the benefit for banks of the Tax Reform Act"}, {"path": "tedlium_15146.wav", "duration": 9.81, "text": "This means an emphasis on our healthcare customers and patients, the establishment of strategic healthcare relationships and partnerships with hospitals and payers"}, {"path": "tedlium_15147.wav", "duration": 9.81, "text": "but can you update us on your momentum of new awards, how you expect this to take shape given the refocusing around"}, {"path": "tedlium_15148.wav", "duration": 9.81, "text": "Our winter marketing campaign was our most globally coordinated and integrated to date and highlighted the freedom and flexibility of the Weight Watchers program"}, {"path": "tedlium_15149.wav", "duration": 9.81, "text": "who stay within because they want to continue the support of the community as well as being able to continue on their health journey."}, {"path": "tedlium_15150.wav", "duration": 9.81, "text": "We do feel and we do know that when families look to get healthier together, it works because they have support."}, {"path": "tedlium_15151.wav", "duration": 9.81, "text": "Our people that are in -- companies that are actually in the non-residential infrastructure business are doing extremely well, much better than our company average."}, {"path": "tedlium_15152.wav", "duration": 9.81, "text": "And we see that in the terms of the deals we've negotiated with them, but we also see that in the way we talk with them about the"}, {"path": "tedlium_15153.wav", "duration": 9.81, "text": "We are prudently reducing the risk profile of a number of our portfolios in response and waiting for more attractive opportunities to redeploy capital."}, {"path": "tedlium_15154.wav", "duration": 9.81, "text": "in the construction world. They're going to be delivering products into the construction space. They're probably going to be one of the larger pre-fabricators out there"}, {"path": "tedlium_15155.wav", "duration": 9.81, "text": "Absolutely. And just to kind of play off of that, can you talk about what drove the additional strength in March? And then"}, {"path": "tedlium_15156.wav", "duration": 9.81, "text": "certainly, we could sell the business in parts. As I said, we are exploring and have a whole range of strategic options in front of us and we'll continue to pursue all of those"}, {"path": "tedlium_15157.wav", "duration": 9.81, "text": "We continue to take cost out of our products and find new ways to add value through technology, with the integrated TIC being a prime example."}, {"path": "tedlium_15158.wav", "duration": 9.81, "text": "And we'll keep you posted. And like I said, I'm optimistic that we'll be able to get this initiated by the end of the year, and we're doing everything we can to make that happen."}, {"path": "tedlium_15159.wav", "duration": 9.81, "text": "but we do want to confirm an outlook of 8% to 10% organic revenue growth again next year, with an expectation"}, {"path": "tedlium_15160.wav", "duration": 9.81, "text": "lower unit volumes, the favorable impact in the prior year from the lagged pass-through of decreases in resin costs and foreign currency transaction gains in the prior year."}, {"path": "tedlium_15161.wav", "duration": 9.81, "text": "Affordable housing represents a significant opportunity for Fleetwood, and the exclusive supply agreements with the 2 major operators are expected to contribute strong forward volume."}, {"path": "tedlium_15162.wav", "duration": 9.81, "text": "Along with the discontinued operation that I'll speak about in a moment, the 3 business streams were previously grouped as one segment called Manufactured Accommodation."}, {"path": "tedlium_15163.wav", "duration": 9.81, "text": "in order to avoid dismissal. There's also the additional advertising by plaintiff attorneys as well as other factors. So all of those things are contributing to us receiving new information"}, {"path": "tedlium_15164.wav", "duration": 9.81, "text": "because we expect that we'll complete fewer acquisitions in the second quarter relative to the first quarter based on the acquisitions completed or agreed-upon to date."}, {"path": "tedlium_15165.wav", "duration": 9.81, "text": "But I fully have confidence that our employees around the world are in the manufacturing facilities of our customers, talking to them about those challenges."}, {"path": "tedlium_15166.wav", "duration": 9.81, "text": "We won't see significant pricing actions in the fourth quarter from what's been taken in the first 3 quarters of the year. There will be"}, {"path": "tedlium_15167.wav", "duration": 9.81, "text": "In particular, we believe the drive toward local content by many national oil companies will prompt more local startups thereby expanding the market for equipment that NOV provides."}, {"path": "tedlium_15168.wav", "duration": 9.81, "text": "As a result, they made the decision to market imaging mass cytometry services using the Hyperion, and they launched with a number of new pharma contracts already in hand."}, {"path": "tedlium_15169.wav", "duration": 9.81, "text": "Despite the considerable political, regulatory, economic and social uncertainty we face over the coming quarters, we will not deviate from our strategy."}, {"path": "tedlium_15170.wav", "duration": 9.81, "text": "total billings is no longer relevant in the assessment of our performance, and we will therefore no longer report or guide to total billings."}, {"path": "tedlium_15171.wav", "duration": 9.81, "text": "This decline in services revenue should accelerate as we go through the year, with the third and fourth quarters seeing the steepest year-over-year decline."}, {"path": "tedlium_15172.wav", "duration": 9.81, "text": "With a focus on all of our shareholders, we are committed to consistently delivering strong financial results throughout the company."}, {"path": "tedlium_15173.wav", "duration": 9.81, "text": "and an accompanying corporate name change. We believe the decision to improve our company in this way was beneficial for many reasons, including lowering certain administrative expenses"}, {"path": "tedlium_15174.wav", "duration": 9.81, "text": "What we continue to see going forward, our business is going to be sustainably larger. It's more diverse, less volatile, less cyclical than it's been in the past."}, {"path": "tedlium_15175.wav", "duration": 9.81, "text": "look at these loans that we've acquired and that we've marked, we're trying to do a scrub right now and just see what the long-term fit is of some of these clients, because if we're going to exit,"}, {"path": "tedlium_15176.wav", "duration": 9.81, "text": "in their launch process and as a result more valuable for rapidly improving quality and containment from the first part produced."}, {"path": "tedlium_15177.wav", "duration": 9.81, "text": "In closing, I'd like to reiterate the high degree of confidence and visibility we have in the business as we look out over the next 4 to 5 years."}, {"path": "tedlium_15178.wav", "duration": 9.81, "text": "does the delay in ongoing investment impact the ability to get value for the same dollar out of the field?"}, {"path": "tedlium_15179.wav", "duration": 9.81, "text": "you got hydrocarbons in every zone that you go through. So can you just talk a bit more about what's driving these bits that you've colored in? Is this areas that have had"}, {"path": "tedlium_15180.wav", "duration": 9.81, "text": "up from about 50 when we acquired it less than 2 years ago. Marseille is an excellent example of how our communities of interest develop."}, {"path": "tedlium_15181.wav", "duration": 9.81, "text": "As a reminder, revenue per req is not a proxy for price. It includes a number of variables such as unit price variation, business mix,"}, {"path": "tedlium_15182.wav", "duration": 9.81, "text": "there's a lot of growth going on. If we look at life business, the number of customers will fall a bit before it begins to grow again."}, {"path": "tedlium_15183.wav", "duration": 9.81, "text": "It is a good sign of improvement of the world economy, but it is also linked to the impact of the ongoing transformation plan of the group."}, {"path": "tedlium_15184.wav", "duration": 9.81, "text": "As we look across our markets, several positive trends are becoming apparent. First, public sector funding in our Americas design markets is improving."}, {"path": "tedlium_15185.wav", "duration": 9.81, "text": "Our consumers are doing more than ever before on our platforms, and our partners are using more products and buying more services from us than ever before."}, {"path": "tedlium_15186.wav", "duration": 9.81, "text": "As a reminder, we do not expect to have any material marketing spend associated with customers added through this service for time being"}, {"path": "tedlium_15187.wav", "duration": 9.81, "text": "For renewable generation, also a relevant increase because of new capacities that came into operation as well as"}, {"path": "tedlium_15188.wav", "duration": 9.81, "text": "it has an architecture where it runs partly on-premise, and that's one of the reasons it's able to do everything that it can do from an integration layer."}, {"path": "tedlium_15189.wav", "duration": 9.81, "text": "that you reached last night to other -- to the rest of the shareholders? We have material change reports, I think, Michael, that need to be filed. And so as we make sure we're"}, {"path": "tedlium_15190.wav", "duration": 9.81, "text": "Is it the goal and expectation that share count can start now to go down as the impact from higher stock prices becomes a little less?"}, {"path": "tedlium_15191.wav", "duration": 9.81, "text": "budget money there to outfit the car with an in-car camera and to allocate money towards the back end. And so"}, {"path": "tedlium_15192.wav", "duration": 9.81, "text": "Got it. Okay. And can you just give us the puts and takes? I mean, I know the Pennsylvania rate increase, I know the environmental cost recovery rider in"}, {"path": "tedlium_15193.wav", "duration": 9.81, "text": "The fourth quarter RevPAR growth is expected to moderate somewhat from the third quarter as group booking patterns are less robust towards the end of the year."}, {"path": "tedlium_15194.wav", "duration": 9.81, "text": "And then we also keep an eye on our liquidity and overall capitalization of bank agreements, our leverage ratio to make sure that we're being prudent"}, {"path": "tedlium_15195.wav", "duration": 9.81, "text": "As always, our closings are led by a designated quality assurance associate to independently explain the contractual terms of each transaction."}, {"path": "tedlium_15196.wav", "duration": 9.81, "text": "But we will have to add capacity in Asia to continue to grow. Our outlook right now for both of those products is that they are getting tight."}, {"path": "tedlium_15197.wav", "duration": 9.81, "text": "Last, we must have the capacity to analyze and transform the data that our business generates into information"}, {"path": "tedlium_15198.wav", "duration": 9.81, "text": "It's a growing and an exciting opportunity for us but one that we are being patient with. We want to make sure we have the right partner or partners depending on how we do it,"}, {"path": "tedlium_15199.wav", "duration": 9.81, "text": "the good side of our testing is we're learning a lot. The challenge to it is it's a little bit of up and down for our guests who have seen us come in and out of the various platforms."}, {"path": "tedlium_15200.wav", "duration": 9.81, "text": "His experience in driving enterprise-type sales with long sales cycles over the finish line while closely partnering with all key stakeholders will serve us well."}, {"path": "tedlium_15201.wav", "duration": 9.81, "text": "Asia has been very strong, was up already last year as you see up again this year. And really the 2 engines for us in Asia are China and Japan,"}, {"path": "tedlium_15202.wav", "duration": 9.81, "text": "of 2018. We're working with a strong sense of urgency and the need for speed, but we also recognize how critical it is"}, {"path": "tedlium_15203.wav", "duration": 9.81, "text": "We work very well with growth, profitability and investing back in the business. And I think that we are demonstrating that we are doing it in a very responsible way."}, {"path": "tedlium_15204.wav", "duration": 9.81, "text": "and we also have some new initiatives to drive relationship in core checking. And I would say, this quarter was one of the first quarters where we had loan growth"}, {"path": "tedlium_15205.wav", "duration": 9.81, "text": "what their concerns are because I think we have -- the most important issue is the industrial logic and the industrial rationale remains very strong"}, {"path": "tedlium_15206.wav", "duration": 9.81, "text": "Due to the planned acquisition of WIL Research and our goal to quickly repay debt, cash flow generation has become an ever-greater focus for us."}, {"path": "tedlium_15207.wav", "duration": 9.81, "text": "as is evidenced by the recent parliamentary hearings and in us maintaining our level 2BE status under the FSE codes for eight consecutive years,"}, {"path": "tedlium_15208.wav", "duration": 9.81, "text": "And then, of course, how many come in with digitized family history, how much phenotypic information have we collected, either directly from their medical record or as a part of the ordering process,"}, {"path": "tedlium_15209.wav", "duration": 9.81, "text": "The changes we made to our deposit rates late in the quarter were geared at bringing our prices closer to the competitive set and included an element of catchup."}, {"path": "tedlium_15210.wav", "duration": 9.81, "text": "Now let's move on to results, and I will make some additional remarks on this topic at the end of my presentation."}, {"path": "tedlium_15211.wav", "duration": 9.81, "text": "Our expectation is that each of these markets will perform at a high level, produce results consistent with our existing communities and will be accretive to our operations."}, {"path": "tedlium_15212.wav", "duration": 9.81, "text": "they understand the priority -- the interesting thing is, our customers have now sort of probably gotten even better at having a priority of payments in terms of how they spend their money."}, {"path": "tedlium_15213.wav", "duration": 9.81, "text": "Anticipating a traditional review time, we expect the update of the Eversense system with the calibration reduction in the first quarter."}, {"path": "tedlium_15214.wav", "duration": 9.81, "text": "even though you have said that at the end of the quarter, you had a high demand from the distributor. And to that as well on France, it seems that the margin has been,"}, {"path": "tedlium_15215.wav", "duration": 9.81, "text": "Gathering and transportation was above the high end of our guidance, however, this was offset by natural gas price differentials, which were better than the low end of our guidance"}, {"path": "tedlium_15216.wav", "duration": 9.81, "text": "bring the margin down a bit in the second quarter from the first quarter. And that it just goes on down the line as we lap the price increase that we got"}, {"path": "tedlium_15217.wav", "duration": 9.81, "text": "As tech professionals and employers continue to engage with our properties, we'll gain better insight into customer behavior and use this information to better advise our clients."}, {"path": "tedlium_15218.wav", "duration": 9.81, "text": "Finally, before I turn it over to Randy to review our financial performance in more detail, I want to reinforce why I like our business and why we believe our fundamentals are strong."}, {"path": "tedlium_15219.wav", "duration": 9.81, "text": "products, you can pick them up and eat them any time around the clock basically. Any time you feel like it, you can pick it up and eat it."}, {"path": "tedlium_15220.wav", "duration": 9.81, "text": "A REIT conversion would also be facilitated by exchanging a portion of our public senior unsecured notes for private notes issued by one or more of our taxable REIT subsidiaries."}, {"path": "tedlium_15221.wav", "duration": 9.81, "text": "and we think it's an interesting place to study. Solriamfetol, given some of the things we know about PD patients and we know about the mechanism of action of this drug,"}, {"path": "tedlium_15222.wav", "duration": 9.81, "text": "as part of our ongoing safety protocols, and as such, we do not expect any impact to our annual budget. It's just a function of us shifting this timing into the second quarter."}, {"path": "tedlium_15223.wav", "duration": 9.81, "text": "and then the tooling and the fabrication of prototypes will go through some iterations with our customer on trying to optimize strength and weight and cost"}, {"path": "tedlium_15224.wav", "duration": 9.81, "text": "In terms of the 8-K announcement and some of the leadership change, we had a structure which was maybe a little top heavy in that we had a senior VP of Sales"}, {"path": "tedlium_15225.wav", "duration": 9.81, "text": "we highlighted many times that we were going to hold margins and improve as we go forward and get to full earnings utilization of these factories that we put together. So"}, {"path": "tedlium_15226.wav", "duration": 9.81, "text": "Our payments business, which is less predictable than our contractual recurring revenue, is still exhibiting healthy growth but coming in lighter than we originally expected,"}, {"path": "tedlium_15227.wav", "duration": 9.81, "text": "that IDB is valuing at fair value, and we are recognizing that historical value at the moment of our acquisitions. So when you compare"}, {"path": "tedlium_15228.wav", "duration": 9.81, "text": "where if you listen to, for example, BlackRock and a lot of these firms, that absolutely is one of their core parts of their kind of strategy and goal going forward. So"}, {"path": "tedlium_15229.wav", "duration": 9.81, "text": "step therapy process of making sure that the statins are fully utilized, but also negotiating on behalf of our clients on -- in rebates as well for that class."}, {"path": "tedlium_15230.wav", "duration": 9.81, "text": "Starting on the left side of the chart. The key catalyst that has accelerated our transformation is the success of our asset sales program this year."}, {"path": "tedlium_15231.wav", "duration": 9.81, "text": "did you move pricing up during last year? We normally think of April, but actually because of the hydrocarbon effect, were you putting through price increases as the year evolved?"}, {"path": "tedlium_15232.wav", "duration": 9.81, "text": "This was mostly related to a noncash change in the fair market values of the derivatives portfolio, which was driven by a decline in the WTI oil pricing during the quarter."}, {"path": "tedlium_15233.wav", "duration": 9.81, "text": "That share impact will depend significantly on the movement in our traded share price throughout the year as we apply the treasury stock method to those additional warrants."}, {"path": "tedlium_15234.wav", "duration": 9.81, "text": "We continue to advance efforts with respect to a number of additional transactions, and believe we'll be successful in achieving and potentially exceeding"}, {"path": "tedlium_15235.wav", "duration": 9.81, "text": "a plus. And we're really everywhere, with all the critical customers to take advantage of that, but it's pretty early yet in the process. Thank you."}, {"path": "tedlium_15236.wav", "duration": 9.81, "text": "credit management and cash collections. Members of the integration teams created detailed plans and worked diligently, adding up to thousands of employee hours"}, {"path": "tedlium_15237.wav", "duration": 9.81, "text": "as we move forward, and so those areas are also getting what I would call historically outsized investments as we upgrade those capabilities, which we think are"}, {"path": "tedlium_15238.wav", "duration": 9.81, "text": "But generally, that gasoline demand is being made up in the Middle East and Europe. And we've got good market positions in both of those regions."}, {"path": "tedlium_15239.wav", "duration": 9.81, "text": "look at every opportunity. I think we have to look at everything, at least a bit. We are not going to get"}, {"path": "tedlium_15240.wav", "duration": 9.81, "text": "as is the case of our Vice Presidents that run the Core, Digital and Denis that runs Linx Pay,"}, {"path": "tedlium_15241.wav", "duration": 9.81, "text": "we use margins generated by current products to invest in the following steps and future growth."}, {"path": "tedlium_15242.wav", "duration": 9.81, "text": "Moving onto IoT. The group is on track. We are looking to ship our first prototype in the third quarter and have revenue-ready product by the end of this year."}, {"path": "tedlium_15243.wav", "duration": 9.81, "text": "Finally, I want to reiterate to all of our investors or potential investors on this call that if you are an investor who is generally"}, {"path": "tedlium_15244.wav", "duration": 9.81, "text": "for engaging in that at this time, at this relatively early stage perhaps for a pricing discussion for them, because the conversation is critical to getting where we need to go,"}, {"path": "tedlium_15245.wav", "duration": 9.81, "text": "We appreciate your constructive input, your support and your investment. I know we are all learning a lot from our conversations with so many of you."}, {"path": "tedlium_15246.wav", "duration": 9.81, "text": "We will clarify the projected impact on our next call once we've closed both deals. I'll now turn it over to Tony for his comments. Thanks, Rob."}, {"path": "tedlium_15247.wav", "duration": 9.81, "text": "We continue to improve the experience for users in our French, German and Spanish language sites through new payment options and increased trust signals."}, {"path": "tedlium_15248.wav", "duration": 9.81, "text": "maintaining significant buffer over minimum levels in the course of 2018, but we expect that this comfort level for us"}, {"path": "tedlium_15249.wav", "duration": 9.81, "text": "some issues they had around tenant coverages and things back in November that really forced us to put that on the back burner. So it wasn't specific to being split rate that we pulled back."}, {"path": "tedlium_15250.wav", "duration": 9.81, "text": "I attended the opening in Dublin and was pleased to hear directly from customers how important the facility will be in helping them prepare for their product launches."}, {"path": "tedlium_15251.wav", "duration": 9.81, "text": "We clearly see that public video is understood more and more as another screen in the digital and online universe and thus we get access to new advertising pots"}, {"path": "tedlium_15252.wav", "duration": 9.81, "text": "to support the growing number of tandem teams. We have integrated the digital directory products of Omnea, as Udo already mentioned before."}, {"path": "tedlium_15253.wav", "duration": 9.81, "text": "Ladies and gentlemen, this does conclude today's teleconference. You may disconnect your lines at this time. Thank you for your participation and have a wonderful day."}, {"path": "tedlium_15254.wav", "duration": 9.81, "text": "The slide presentation may be referenced by clicking on the Dynex Capital First Quarter 2017 Earnings Conference Call link on the Presentation page of the website."}, {"path": "tedlium_15255.wav", "duration": 9.81, "text": "into group Medicare Advantage offerings. So we'll look to give you updates on the selling season as we progress through the year. I think you also"}, {"path": "tedlium_15256.wav", "duration": 9.81, "text": "value customer with a strong market basket. We bring innovation to the category. And our retailers understand this. We have good working relationships with them. And"}, {"path": "tedlium_15257.wav", "duration": 9.81, "text": "Many of the world's largest food companies, including some of the largest food retailers, have announced their intentions to use natural colors in their products."}, {"path": "tedlium_15258.wav", "duration": 9.81, "text": "the natural follow-up to a restructuring. The restructuring is great and you take out those costs, but really, the costs should continue to come out of these businesses"}, {"path": "tedlium_15259.wav", "duration": 9.81, "text": "But I don't think at this point, as I sit here, you would anticipate us buying something on the basis of market share. I believe that, that can be a very inefficient way"}, {"path": "tedlium_15260.wav", "duration": 9.81, "text": "As expected, this was principally due to lower revenues from the French Interconnector and last year's gain on the Iroquois gas pipeline transaction."}, {"path": "tedlium_15261.wav", "duration": 9.81, "text": "at average spreads north of 50%. As some of you have also noted in your research, our track record of capitalizing on bankruptcies compares very favorably."}, {"path": "tedlium_15262.wav", "duration": 9.81, "text": "And then the third topic is naturally now some update on the merger-related issues that I am sure everybody is hungry for information."}, {"path": "tedlium_15263.wav", "duration": 9.81, "text": "In addition to all the uncertainty surrounding metal costs, new federal regulations have caused a truck driver shortage, resulting in much higher freight costs across the nation."}, {"path": "tedlium_15264.wav", "duration": 9.81, "text": "freight cost expansion that we saw in the first quarter as a consequence of federal regulations further exacerbated that situation and really hammered us in the first quarter."}, {"path": "tedlium_15265.wav", "duration": 9.81, "text": "Additionally, our geographic expansion initiatives and those of our customers will allow us to continue to fully support our customers with additional value-added products and services"}, {"path": "tedlium_15266.wav", "duration": 9.81, "text": "the people we put in place. So there was some degree of churn there when we looked at people with the right skills to go into the right slots."}, {"path": "tedlium_15267.wav", "duration": 9.81, "text": "Additionally, we announced the retirement of 2 longstanding board members effective as of the upcoming Annual Shareholders Meeting in early March."}, {"path": "tedlium_15268.wav", "duration": 9.81, "text": "now that it's 6 people when it used to be just 1 person, of just telling that story of what First Defense does, how you can avoid another vaccine to your cow"}, {"path": "tedlium_15269.wav", "duration": 9.7800625, "text": "Our plan is to run it as full as possible on Siding, but we are retaining the capability to make commodity OSB in that plant."}, {"path": "tedlium_15270.wav", "duration": 9.7800625, "text": "and our safety results demonstrate this commitment, and I'm very pleased with the progress that the company has made in the last 3 years."}, {"path": "tedlium_15271.wav", "duration": 9.7800625, "text": "And we build these projects primarily from our pipeline. We build this pipeline over years, and we harvest it and with the intention of owning and operating these."}, {"path": "tedlium_15272.wav", "duration": 9.78, "text": "to presentation of meaningful clinical data in just 2 years for 2 different programs. We believe this is virtually unheard of, and we have several additional candidates to follow."}, {"path": "tedlium_15273.wav", "duration": 9.78, "text": "it will be under a different brand, as we have done in the past with our other branded procedures that are agnostic of provider and our facility."}, {"path": "tedlium_15274.wav", "duration": 9.78, "text": "While the hotel is in great shape the real issues continues to be the impact of Zika and the absorption of the new beach supply that has entered the market over the last 24 months."}, {"path": "tedlium_15275.wav", "duration": 9.78, "text": "Compared to the year ago quarter, the decrease was primarily driven by the deployment of additional resources and the incurrence of additional costs"}, {"path": "tedlium_15276.wav", "duration": 9.78, "text": "just because of the volatility and the purchase trends cost. I mean, that's -- those are where we're seeing the highest rates. And you can look at these third-party indices to get a sense for"}, {"path": "tedlium_15277.wav", "duration": 9.78, "text": "Our long-term orientation enables us to look beyond short-term market gyrations and our focus on creating growth and fundamental value in our portfolio companies"}, {"path": "tedlium_15278.wav", "duration": 9.78, "text": "And on Monday, we issued a news release announcing approval recommendation granted by CHMP in Europe."}, {"path": "tedlium_15279.wav", "duration": 9.78, "text": "in the storage business, I have looked at it quite extensively, is a combination of things that occurred,"}, {"path": "tedlium_15280.wav", "duration": 9.78, "text": "that probably equates to 5 or 6 points on the combined ratio this year as compared to 8 or 10 a year ago."}, {"path": "tedlium_15281.wav", "duration": 9.78, "text": "at the same time in an environment where value remains king for the consumer, and that's perhaps the reason why we've done so well."}, {"path": "tedlium_15282.wav", "duration": 9.78, "text": "and a strong foundation to build off of, we are well positioned to increase our platform's reach as we continue to execute on our expansion initiatives into new states,"}, {"path": "tedlium_15283.wav", "duration": 9.78, "text": "As far as impacts, we do not have any knowledge today of any closures and as we've said before, if we did see any closures, it's our view that we would have plenty of opportunities to work our way through them."}, {"path": "tedlium_15284.wav", "duration": 9.78, "text": "Now a large factor in attaining this level of revenue contribution from our international operations this early reflects industry pricing."}, {"path": "tedlium_15285.wav", "duration": 9.78, "text": "that investments that we're -- we make the investments that we need to ensure future growth, right? So the mix of that is something that we look at, but not necessarily"}, {"path": "tedlium_15286.wav", "duration": 9.78, "text": "make that work. I think the other thing that we've observed is that as some of these platforms have grown into millions and millions of units,"}, {"path": "tedlium_15287.wav", "duration": 9.78, "text": "Driving our ability to not just deliver returns but to create meaningful added wealth has been our leadership in delivering equity returns on the investments we've made every quarter."}, {"path": "tedlium_15288.wav", "duration": 9.78, "text": "We are focused on core check retention and acquisition and developing incremental retail customer acquisition channels."}, {"path": "tedlium_15289.wav", "duration": 9.78, "text": "so I do expect that I will complete the search and, hopefully, be able to announce a new CFO by the next earnings call."}, {"path": "tedlium_15290.wav", "duration": 9.78, "text": "Regarding working capital, inventory levels will most probably continue to be at a high level during this transformation."}, {"path": "tedlium_15291.wav", "duration": 9.78, "text": "The graph on the bottom left quadrant shows the daily production performance and time cum plots from the older generation wells and then that of our new wells, which are depicted in red."}, {"path": "tedlium_15292.wav", "duration": 9.78, "text": "Okay. And I mean, as you pointed out, that hasn't been a focus of your business model in the past? Is there a potential for that to become"}, {"path": "tedlium_15293.wav", "duration": 9.78, "text": "and bottom line performance for 2019. Growth opportunities that for years were on the horizon are now at our doorsteps across the end markets and geographies that we serve."}, {"path": "tedlium_15294.wav", "duration": 9.78, "text": "the transaction stands on its own, and again, that we can grow it, but the math has to make sense. And probably most importantly in our business, it has to be a great cultural fit,"}, {"path": "tedlium_15295.wav", "duration": 9.78, "text": "We're working very closely with them to be one of their initial if not their absolute initial first client to be able to utilize their platform from a delivery perspective."}, {"path": "tedlium_15296.wav", "duration": 9.78, "text": "That's something we think would be absolutely a very important vehicle in really driving home the value proposition, building guest engagement with our customers."}, {"path": "tedlium_15297.wav", "duration": 9.78, "text": "We've also begun testing a greater use of technology to educate and develop our team members and meet the needs of today's millennial employee,"}, {"path": "tedlium_15298.wav", "duration": 9.78, "text": "Don't you think that you should benefit in the last part of the year from sort of easy comparison"}, {"path": "tedlium_15299.wav", "duration": 9.78, "text": "Yes. I would say this, first of all, we want to do everything we can to start the trial this year for a couple of reasons. The first is for patients,"}, {"path": "tedlium_15300.wav", "duration": 9.78, "text": "And consumers really like new products. This does not mean that they don't like existing products. It's just that they have too many choices."}, {"path": "tedlium_15301.wav", "duration": 9.78, "text": "I think you got 2 of them mixed. I think our inventories are pretty much in line now. The growth is where you'd expect them to be. New distributors that turned into subsidiaries"}, {"path": "tedlium_15302.wav", "duration": 9.78, "text": "Additionally, we're continuing to review options to simplify our operating and tax organizational structure, which we believe will result in a simplified"}, {"path": "tedlium_15303.wav", "duration": 9.78, "text": "What we did do in '18 is adjusting the organization, and that's how we did it, is what you see on this slide as well as a gateway to Europe,"}, {"path": "tedlium_15304.wav", "duration": 9.78, "text": "kind of process back on, and we're back out actively selling in the marketplace. And we're seeing our pipeline start to rebuild. But as you would expect, that pipeline doesn't just"}, {"path": "tedlium_15305.wav", "duration": 9.78, "text": "simply appear overnight. So it does take a little bit of time for those to come through and commercialize. But we're feeling good that we've kind of hit the objectives that we've"}, {"path": "tedlium_15306.wav", "duration": 9.78, "text": "slightly behind our recent history, but in line with history when the known Outdoor Retailer and Interbike issues were taken into account based on our expectations at that time."}, {"path": "tedlium_15307.wav", "duration": 9.78, "text": "The situation was more difficult in Romania where the performance was poor, and we're making changes and taking initiatives to stabilize our operations in the coming year."}, {"path": "tedlium_15308.wav", "duration": 9.78, "text": "We have dedicated great effort in the past year to strengthening our team's ability in this area and believe our approach will become even more meaningful as time progresses."}, {"path": "tedlium_15309.wav", "duration": 9.78, "text": "the message that I want to give you is, we will always grow on a very disciplined fashion. If there's an opportunity, we have to see that it makes sense,"}, {"path": "tedlium_15310.wav", "duration": 9.78, "text": "Globally, we continue to offer our most popular products in more flavors that appeal to customers in local markets, a strategy that has proven to be successful."}, {"path": "tedlium_15311.wav", "duration": 9.78, "text": "In terms of Gestamp, the good news is that there's actually no change in our supply agreement, supply relationships, so there's no other value transfer which is occurring."}, {"path": "tedlium_15312.wav", "duration": 9.78, "text": "And fourth, prudent management of working capital such that we can maximize free cash flows and reinvest in the growth of the business."}, {"path": "tedlium_15313.wav", "duration": 9.78, "text": "In Capital Markets, our opportunity lies within evolving regulatory and financial reporting requirements, along with a healthier capital markets environment."}, {"path": "tedlium_15314.wav", "duration": 9.78, "text": "the ROAM will be available for the second half of the year. We do have opportunities for it. Again, we've just been conservative and not added that to our guidance."}, {"path": "tedlium_15315.wav", "duration": 9.78, "text": "We expect products to end the year slightly below its budget, and that -- there, the positive impact of Double Eagle pipeline, which was acquired in the Hiland acquisition,"}, {"path": "tedlium_15316.wav", "duration": 9.78, "text": "which is, as I just noted, our basic strategy is to put our strong brands on the shelves of as many kinds of sales outlets as possible,"}, {"path": "tedlium_15317.wav", "duration": 9.78, "text": "While our confidence in our growth opportunities remains unchanged, revenue estimates for 2016 have been adjusted primarily due to 2 factors."}, {"path": "tedlium_15318.wav", "duration": 9.78, "text": "conversations on inflation throughout the call, and it sounds like there's an expectation that you can offset that with pricing actions. So wondering if the actions you took in the fourth quarter"}, {"path": "tedlium_15319.wav", "duration": 9.78, "text": "we believe we grow faster than the nominal growth in the marketplace because we're unleashing latent demand and taking share because of our unique way that we address those markets."}, {"path": "tedlium_15320.wav", "duration": 9.78, "text": "If you look at the additions to the portfolio, Eric will summarize those, but I think the important point I'd like to say is they've been a long time in the planning."}, {"path": "tedlium_15321.wav", "duration": 9.78, "text": "So I'm going to go through our quarterly results as well as our current expectations for the rest of this year with my additional thoughts on each business segment."}, {"path": "tedlium_15322.wav", "duration": 9.78, "text": "kind of uncovered cost that we had even this year around costs that are not allowed in rate banking. So we have a little bit of headwind next year. We're trying to look at that."}, {"path": "tedlium_15323.wav", "duration": 9.78, "text": "We go after very select opportunities where we think we can add specific value, and it's maybe a bit of a unique situation for our customer."}, {"path": "tedlium_15324.wav", "duration": 9.78, "text": "releases, need no reminding that the industry is in a pretty tough place at the moment, and we're no different from the industry."}, {"path": "tedlium_15325.wav", "duration": 9.78, "text": "We're going through the next 6 months still with an enormous effort from everybody in the organization. To implement that, I'm very confident that we will do that very well."}, {"path": "tedlium_15326.wav", "duration": 9.78, "text": "So that's the reason why we have the big focus around CBN across our key markets. Now turning over to expenses."}, {"path": "tedlium_15327.wav", "duration": 9.78, "text": "and let me explain why we're doing that. And so given the fact that most of our revenue now is cloud,"}, {"path": "tedlium_15328.wav", "duration": 9.78, "text": "While we may elect to update these forward-looking statements at some point in the future, we specifically disclaim any obligation to do so even if our views change. Therefore,"}, {"path": "tedlium_15329.wav", "duration": 9.78, "text": "Combining our improved financial performance in our key sectors of our business, we are excited and energized about the future of Westport Fuel Systems"}, {"path": "tedlium_15330.wav", "duration": 9.78, "text": "can, and typically, does create a bit of volatility. And so the dividend is a way of trying to stabilize the stock,"}, {"path": "tedlium_15331.wav", "duration": 9.78, "text": "Anthony from Investec. Could you, please, tell us a little bit more about your exposure to the rising fuel price? And how concerned we should be about"}, {"path": "tedlium_15332.wav", "duration": 9.78, "text": "I personally haven't seen press releases from other companies to inform that the study continues when an interim analysis is not positive."}, {"path": "tedlium_15333.wav", "duration": 9.78, "text": "The outcome of the study leads us to believe that we have also satisfied the second point in the CRL. So with the CRL points addressed,"}, {"path": "tedlium_15334.wav", "duration": 9.78, "text": "It's designed to provide significant benefits for electricity consumers in the Northeast. PPL Electric Utilities has filed an interconnection request"}, {"path": "tedlium_15335.wav", "duration": 9.78, "text": "You can't be in safety good or very good. You have to be -- for the things that matter, for those critical risks, you have to be perfect. You have to have"}, {"path": "tedlium_15336.wav", "duration": 9.78, "text": "Customer demand for both our plate products and our long products is solid, and our value-added revenue is also benefiting from low contained metal costs."}, {"path": "tedlium_15337.wav", "duration": 9.78, "text": "but those exceptions are relatively rare. In extrusions, it's pretty much the same case, although some extrusions -- in extrusion, we have a higher percentage"}, {"path": "tedlium_15338.wav", "duration": 9.78, "text": "feel like people who want to exit this business, we are the logical home for these assets. So it was a wonderful opportunity for us to extend our European business to the east and to the north."}, {"path": "tedlium_15339.wav", "duration": 9.78, "text": "Sure. It was -- in our Staffing Services group, if we just take a look through the quarter, there wasn't much inflection point in those organic revenue trends that we just shared."}, {"path": "tedlium_15340.wav", "duration": 9.78, "text": "So our strategy is based on a simple premise. Businesses will win or businesses will lose based on customer experience,"}, {"path": "tedlium_15341.wav", "duration": 9.78, "text": "of just basically not being able to run the Martinez Refinery when it was in the final stages of turnaround and the work stoppage occurred."}, {"path": "tedlium_15342.wav", "duration": 9.78, "text": "rate in the West Coast across the states continues to be very favorable to having a lot of people working. It has"}, {"path": "tedlium_15343.wav", "duration": 9.78, "text": "The most notable findings were that endoscopic improvements and even mucosal healing were reported in each of the 3 active treatment arms."}, {"path": "tedlium_15344.wav", "duration": 9.78, "text": "in a study design intended to improve efficiency and accelerate the clinical program. FDA and EMA have agreed to the design features"}, {"path": "tedlium_15345.wav", "duration": 9.78, "text": "their net promoter scores across all their markets are extremely high so they're doing very well in that regard. We got a game plan by market"}, {"path": "tedlium_15346.wav", "duration": 9.78, "text": "contributed a net 230 basis points to the DSA operating margin in the fourth quarter, but because the credits are now subject to tax,"}, {"path": "tedlium_15347.wav", "duration": 9.78, "text": "We also continue to expand diversified agriculture on our former plantation lands and have issued several press releases detailing progress that we're making on that front."}, {"path": "tedlium_15348.wav", "duration": 9.78, "text": "one of risks that I think the group talked about was, in the private credit markets and nonbank lending, and I just wanted to get a little qualifier of"}, {"path": "tedlium_15349.wav", "duration": 9.78, "text": "of their downline distributors, and profitable here is defined as you would expect. It has to be that they're selling the product at a price point"}, {"path": "tedlium_15350.wav", "duration": 9.78, "text": "For example, the deployment of our solution at Swiss railway continued in the second quarter. And we have received great recognition from the industry for this project."}, {"path": "tedlium_15351.wav", "duration": 9.78, "text": "This was primarily driven by higher maintenance costs due to customer planned maintenance outages more than offsetting our Take the Lead cost reduction programs."}, {"path": "tedlium_15352.wav", "duration": 9.78, "text": "Investors should not assume that the statements will remain operative at a later time. Lastly, Lumber Liquidators undertakes no obligation to update any information discussed in this call."}, {"path": "tedlium_15353.wav", "duration": 9.78, "text": "but hopefully will later this year. I will now turn the rest of the time over to David for a few other points on our financials. Thanks, Jim."}, {"path": "tedlium_15354.wav", "duration": 9.78, "text": "But we really haven't pushed from a marketing standpoint the usage as we develop more and more tools and we gather more and more data."}, {"path": "tedlium_15355.wav", "duration": 9.78, "text": "We've already launched 4G in Switzerland and the Netherlands, and we've seen a rapid increase in sales and revenue activity in both those markets. Maybe just a quick comment on mobile consolidation,"}, {"path": "tedlium_15356.wav", "duration": 9.78, "text": "We certainly -- we noted in the comments that we're going to be initiating some restructuring in the fourth quarter,"}, {"path": "tedlium_15357.wav", "duration": 9.78, "text": "Tim? I completely agree. I mean, the thing I'd love about this business and why I'm so excited about it when I go forward is, one, we've got really robust competitors. It forces us to stay innovative and smart."}, {"path": "tedlium_15358.wav", "duration": 9.78, "text": "In summary, we are right where we thought we would be, stabilizing, fortifying and operating with increased excellence across our business."}, {"path": "tedlium_15359.wav", "duration": 9.78, "text": "waiting in line for the Medicare contractor to give them permission to treat the patient. So it's the lesser of 2 evils."}, {"path": "tedlium_15360.wav", "duration": 9.78, "text": "And that overall market seems to be a little bit softer year-over-year than what we anticipated. I think the last piece on the second half that probably dragged a bit on revenue"}, {"path": "tedlium_15361.wav", "duration": 9.78, "text": "I think the word proud will be said many times from people in Atea today, at least from me. We came in at a revenue"}, {"path": "tedlium_15362.wav", "duration": 9.78, "text": "The facility is in France. There are 3 -- in the site there are 3 production units, one of which is the one where the fire significantly destroyed."}, {"path": "tedlium_15363.wav", "duration": 9.78, "text": "I also want to remind you, we're also waiting for final decision in China that will also be coming soon with regard to us launching in China,"}, {"path": "tedlium_15364.wav", "duration": 9.78, "text": "a certification of that resource sometime during this year when the results of these wells have been fully assimilated into our development plan."}, {"path": "tedlium_15365.wav", "duration": 9.78, "text": "During the second quarter, we advanced our commercialization plans for a number of products. And just last week, we launched the CUSA Clarity platform in Japan."}, {"path": "tedlium_15366.wav", "duration": 9.78, "text": "and we're clearly making progress to getting this business in that range. And I think, so one, that's the standard we hold ourselves to. So I'm"}, {"path": "tedlium_15367.wav", "duration": 9.78, "text": "They take a number of years to fully realize the benefits. And so a number of steps, but we're continuing to roll out new technology in the Institutional field force."}, {"path": "tedlium_15368.wav", "duration": 9.78, "text": "We have a very good new and emerging reputation, and I think we have an opportunity to elevate and expand our customer relationships,"}, {"path": "tedlium_15369.wav", "duration": 9.78, "text": "The fourth quarter in those 2 markets will definitely be softer than they otherwise would be, and that will start to dissipate. Well, probably the first quarter will be a little softer,"}, {"path": "tedlium_15370.wav", "duration": 9.78, "text": "Over the past several months, there has been a lot of negative comments from the experts about the overall macro environment and the truckload industry specifically."}, {"path": "tedlium_15371.wav", "duration": 9.78, "text": "whether you apply a venture debt or newer stage business label to it, for very long time here, and there are a number of people that do that."}, {"path": "tedlium_15372.wav", "duration": 9.78, "text": "With our large installed base of handset customers, we see an opportunity to acquire additional pervasive technologies that we can offer to our licensee base at economical prices."}, {"path": "tedlium_15373.wav", "duration": 9.78, "text": "and we still find very encouraging, particularly once we see the construction start activity on the public side continue to pick up."}, {"path": "tedlium_15374.wav", "duration": 9.78, "text": "The loan asset spreads are a function of our strong commercial discipline in competitive markets on both the lending and deposit margins."}, {"path": "tedlium_15375.wav", "duration": 9.78, "text": "Was it the environment that kept you or pricing discipline that kept you or were you close to using some of the repo program in the fourth quarter?"}, {"path": "tedlium_15376.wav", "duration": 9.78, "text": "commodity risk with them. In the Delaware Basin, we're probably seeing them lean more to fee-based. We keep ourselves open to"}, {"path": "tedlium_15377.wav", "duration": 9.78, "text": "So could you help me understand why there is such a small difference with no offer and a full offer running in the same period? Is it largely from mix or any other element of input cost reduction?"}, {"path": "tedlium_15378.wav", "duration": 9.78, "text": "as certain customers have had difficulty obtaining U.S. dollars to pay our invoices. These late payments are timing issues and are not bad debt problems."}, {"path": "tedlium_15379.wav", "duration": 9.78, "text": "What I have said repeatedly as well is that when we have the cash in the bank, as a whole, the board, we believe, we're not going to do anything rash"}, {"path": "tedlium_15380.wav", "duration": 9.78, "text": "When I think about just where the FDA rules have been for like color additives, it can be interpreted by some as being very vague, very loose."}, {"path": "tedlium_15381.wav", "duration": 9.78, "text": "They involve risks and uncertainties, because they relate to future events and therefore depend on circumstances that may or may not occur."}, {"path": "tedlium_15382.wav", "duration": 9.78, "text": "Investors and analysts should understand that events related to macroeconomic conditions, industry and other factors could cause"}, {"path": "tedlium_15383.wav", "duration": 9.78, "text": "in the past, Murray, you have talked about an increase in the level of expenses that you will incur as you"}, {"path": "tedlium_15384.wav", "duration": 9.78, "text": "and we should basically observe now what the trends are, where the whole story is developing, bearing in mind all the risks and all the"}, {"path": "tedlium_15385.wav", "duration": 9.78, "text": "Today's call is to provide you with information regarding our fourth quarter and full year 2017 performance in addition to our financial outlook."}, {"path": "tedlium_15386.wav", "duration": 9.78, "text": "With this recent approval, we will record another loss on debt prepayment in the second quarter of 2019 when this payment is made."}, {"path": "tedlium_15387.wav", "duration": 9.78, "text": "term strong customer relationships where we do a good job of -- I believe we do a good job of knowing the customer well and matching up against their requirements well."}, {"path": "tedlium_15388.wav", "duration": 9.78, "text": "the run rate that we were expecting to get from selling these things, it's not the revenue synergies that necessarily occurred in the year. So for example,"}, {"path": "tedlium_15389.wav", "duration": 9.78, "text": "Adjusting for a reduction this quarter in -- an elevated number of vehicles being prepared for sale, which provides a more relevant comparison to our forecast,"}, {"path": "tedlium_15390.wav", "duration": 9.78, "text": "because I do believe FERC believes that part of their role is to try to work with states and some of the things that states are trying to accomplish."}, {"path": "tedlium_15391.wav", "duration": 9.78, "text": "We're in the early innings of our transformation, and there's still much work ahead of us before we see consistent double-digit profitability growth."}, {"path": "tedlium_15392.wav", "duration": 9.78, "text": "This solution is called deduction management and will give Kroger the ability to provide its suppliers with easy access to billing details,"}, {"path": "tedlium_15393.wav", "duration": 9.78, "text": "reinforce our overall view of the company's expected full-year financial performance, which we articulated on our fourth quarter earnings call in late February."}, {"path": "tedlium_15394.wav", "duration": 9.7799375, "text": "During the quarter, we experienced good revenue growth in new lines of products, particularly our household container product line, which enjoys high margins."}, {"path": "tedlium_15395.wav", "duration": 9.7799375, "text": "Sure. And when you look back at the digital growth, there might be a little bit of the substitutive or the enhancement effect where"}, {"path": "tedlium_15396.wav", "duration": 9.75, "text": "Our earnings release was distributed yesterday and it is now available on our IR website as well as Newswire service."}, {"path": "tedlium_15397.wav", "duration": 9.75, "text": "We also continue to focus on recycling capital from our low return or loss-making businesses and rationalizing the group's cost structure."}, {"path": "tedlium_15398.wav", "duration": 9.75, "text": "What I will be looking at is in terms of a product strategy, a network strategy, I will have to look at my technology strategy. Have I -- am I -- is my offerings correct? What is my"}, {"path": "tedlium_15399.wav", "duration": 9.75, "text": "Lifeline subsidizes mobile phone plans to millions of low-income consumers, who will now enjoy access to WiFi in their mobile plans."}, {"path": "tedlium_15400.wav", "duration": 9.75, "text": "We take care of people's skin. This is why we exist, and this single-mindedness is a real competitive advantage."}, {"path": "tedlium_15401.wav", "duration": 9.75, "text": "Because we have had a number of years of deterioration, and this really is the best indicator of quality of growth."}, {"path": "tedlium_15402.wav", "duration": 9.75, "text": "was really bringing the right people in. And that was probably the biggest challenge we had was getting the right people around the table last fall over the course of summer and the winter"}, {"path": "tedlium_15403.wav", "duration": 9.75, "text": "During the first quarter, the market volatility provided a window for us to capitalize on opportunities both traditional to Annaly as well as external opportunities."}, {"path": "tedlium_15404.wav", "duration": 9.75, "text": "A new ERP system is being installed to record the success and provide data to develop and to react. A new compensation plan is built"}, {"path": "tedlium_15405.wav", "duration": 9.75, "text": "So we will continue to build further on this as a step towards offering a more complete solution in one of our product area."}, {"path": "tedlium_15406.wav", "duration": 9.75, "text": "We provide a unique program rooted in and informed by science that is not only about educating people on how to eat healthy and make the right choices"}, {"path": "tedlium_15407.wav", "duration": 9.75, "text": "the business plan really is an emerging animal, and we want to make sure it's very attractive to whoever invests in it, and that would include"}, {"path": "tedlium_15408.wav", "duration": 9.75, "text": "And can you talk a little bit about, which expense lines you expect to get the most leverage on to get up to the levels that you're talking about here over the next few quarters?"}, {"path": "tedlium_15409.wav", "duration": 9.75, "text": "Ladies and gentlemen, that does conclude the conference call for today. We thank you for your participation and ask that you please disconnect all lines. Thank you, and have a good day."}, {"path": "tedlium_15410.wav", "duration": 9.75, "text": "it's not going to be whipsawed. I think we're going to come close because I think, we can pick up our market share gain on that purchase side if it continues and we'll be able to"}, {"path": "tedlium_15411.wav", "duration": 9.75, "text": "And last quarter, we saw this on a spot basis, this quarter you see it in the averages. So look competitive dynamics are going to be a factor for sure."}, {"path": "tedlium_15412.wav", "duration": 9.75, "text": "In fact, our results in the fourth quarter reflect the resiliency of our portfolio as we delivered a 10% increase in adjusted earnings per share"}, {"path": "tedlium_15413.wav", "duration": 9.75, "text": "in order to do that, you have to have all of the previous doses taken in the morning so that you can administer a morning dose on the day that the subject attends the clinic for the serial PK draws."}, {"path": "tedlium_15414.wav", "duration": 9.75, "text": "in it and how it will be administered. Will it be a once use container? Or will it be drawn from a bulk container?"}, {"path": "tedlium_15415.wav", "duration": 9.75, "text": "And that usually means bringing down as much of the volatility as possible. And I would say that while we're not chasing volatility in this new portfolio, we are more willing to accept it"}, {"path": "tedlium_15416.wav", "duration": 9.75, "text": "This improvement was the result of a decline in the frequency and severity of non-catastrophe claims and lower general expenses."}, {"path": "tedlium_15417.wav", "duration": 9.75, "text": "driven mainly by the accretive contribution of our acquisitions of Cal-Weld and Talon Innovations as well as improvements in our other products."}, {"path": "tedlium_15418.wav", "duration": 9.75, "text": "Operating margins continued to show good improvements as we continued our focus on improving the efficiency in our business and realigning our cost structure."}, {"path": "tedlium_15419.wav", "duration": 9.75, "text": "These high pressures make it difficult for the heart to pump blood through the lungs to be oxygenated, ultimately leading to heart failure."}, {"path": "tedlium_15420.wav", "duration": 9.75, "text": "In China, you're still less than half of the patients each year that need dialysis being able to get dialysis, because the system still is being built out."}, {"path": "tedlium_15421.wav", "duration": 9.75, "text": "in trends in overall survival. In ongoing discussions with members of our advisory board, we have been encouraged to press forward aggressively for this indication."}, {"path": "tedlium_15422.wav", "duration": 9.75, "text": "We continue to move forward with our Asia-focused joint venture announced earlier this year to offer dedicated quantitative products tailored for the Asian financial markets."}, {"path": "tedlium_15423.wav", "duration": 9.75, "text": "So the other couple pieces in there is healthcare again, which goes the other way, which will tick us back a bit next year and probably a little bit less price."}, {"path": "tedlium_15424.wav", "duration": 9.75, "text": "fairly high degree of confidence that those are all products that we will be able to deliver on. Now there's always some degrees of uncertainty."}, {"path": "tedlium_15425.wav", "duration": 9.75, "text": "and there is a section of the show that's going to be unusable space. And so we're going to sell out the entire Javits Center that has the available space, but we've reassessed"}, {"path": "tedlium_15426.wav", "duration": 9.75, "text": "Before I share my view on what changes we need to make, I thought I would start by telling you what is not going to change. We will continue to serve high-quality great-tasting food that consumers crave."}, {"path": "tedlium_15427.wav", "duration": 9.75, "text": "and be more top of mind with people to remind them why they love Chipotle. When you remind people about the fact that"}, {"path": "tedlium_15428.wav", "duration": 9.75, "text": "Another influential sector were higher trade receivables, which increased especially as a result of the reclassification of real estate project development"}, {"path": "tedlium_15429.wav", "duration": 9.75, "text": "Can it get worse in terms of a margin squeeze or do you think the worst is currently about to be digested?"}, {"path": "tedlium_15430.wav", "duration": 9.75, "text": "as we fast-forward the year out? And I realize there's moving parts with Washington and everything else, but in other words, you've jumped around a lot and,"}, {"path": "tedlium_15431.wav", "duration": 9.75, "text": "Thank you, Tom, and good morning, everyone. I will walk you through our financial performance for the second quarter before turning the call back over to Tom for his closing remarks."}, {"path": "tedlium_15432.wav", "duration": 9.75, "text": "in procurement and through productivity as really what we do internally to offset inflation whether it be raw materials or labor."}, {"path": "tedlium_15433.wav", "duration": 9.75, "text": "to improve power, performance and cost, means that integration challenges in a chip manufacturing process are increasingly complex."}, {"path": "tedlium_15434.wav", "duration": 9.75, "text": "We believe we have the elements in place to execute our strategy. Our priority is, therefore, on execution and our objective is to perform to our potential."}, {"path": "tedlium_15435.wav", "duration": 9.75, "text": "the company is towards our digital strategy so -- as we can help our clients along that journey as they transition from"}, {"path": "tedlium_15436.wav", "duration": 9.75, "text": "our Collaboratories. A key measure of our progress is how well we're able to think globally, think locally and act on both levels simultaneously,"}, {"path": "tedlium_15437.wav", "duration": 9.75, "text": "However, we believe that our operating cash generation in 2019 will be substantially improved, and we are again targeting operating cash for the year to be in excess of net income"}, {"path": "tedlium_15438.wav", "duration": 9.75, "text": "Our patented technology is the only one of its kind that has the certainty of gravity-fed operations, that means fewer moving parts and less dust."}, {"path": "tedlium_15439.wav", "duration": 9.75, "text": "from third quarter '18? The asset impairments for the depreciable assets were actually taken on the beginning of the second quarter."}, {"path": "tedlium_15440.wav", "duration": 9.75, "text": "because we're dealing with all of the key suppliers. But what we don't do is we don't have the overhead that goes with it around cutting, holding stock,"}, {"path": "tedlium_15441.wav", "duration": 9.75, "text": "which clearly, under current conditions, I don't think we can expect anything. So we would expect some amount of pull, and we're seeing it at least in harvesting now."}, {"path": "tedlium_15442.wav", "duration": 9.75, "text": "we're comfortable with that. And if you look at the overall leverage of the company, we're still less than 2x the leverage towards our capital. So while it will have an impact, we don't think it will be a significant impact."}, {"path": "tedlium_15443.wav", "duration": 9.75, "text": "I'm curious what you're doing to help build out the ecosystem so that, that next derivative, effectively the customers who are going to consume off of those clouds,"}, {"path": "tedlium_15444.wav", "duration": 9.75, "text": "In addition, as we built up our network for the significant amount of traffic we have ramped over the year, we have incurred a number of nonrecurring charges to establish circuits."}, {"path": "tedlium_15445.wav", "duration": 9.75, "text": "with higher average transaction sizes and a decline in late fees. The company experienced a slight increase of 7 basis points in cost of funds"}, {"path": "tedlium_15446.wav", "duration": 9.75, "text": "Marlin delivered another solid quarterly performance led by record growth in originations and record portfolio levels while maintaining excellent credit quality."}, {"path": "tedlium_15447.wav", "duration": 9.75, "text": "This flexibility has been requested by both students and educators. We will continue to leverage our existing campus relationships to expand this program."}, {"path": "tedlium_15448.wav", "duration": 9.75, "text": "I will give you now some quick comments about the 3 divisions and WTS, and Jean-Marc Boursier will come back later on them with more details."}, {"path": "tedlium_15449.wav", "duration": 9.75, "text": "I don't think anything's changed from my comments or philosophy on that for some time. We continue to have active communications with lots of potential"}, {"path": "tedlium_15450.wav", "duration": 9.75, "text": "As always, these potential investment opportunities are subject to approvals and documentations, and we may actively sell or syndicate post closing."}, {"path": "tedlium_15451.wav", "duration": 9.75, "text": "And if you could -- if you would call them out as one of the most interesting customer groups, or if there are others that you see as more interesting for Orion, like right now?"}, {"path": "tedlium_15452.wav", "duration": 9.75, "text": "then, also maybe comment on some of the contracts that are coming this year? Are you seeing some relief in the rates versus this time last year?"}, {"path": "tedlium_15453.wav", "duration": 9.75, "text": "if you look at the second half of our performance last year, even though it improved from the first half, we were still down slightly in clients and we also lost a little bit of share."}, {"path": "tedlium_15454.wav", "duration": 9.75, "text": "other companies that have gone through that threshold and with the relative success has been deemed to be both in terms of cost absorption, revenue give up"}, {"path": "tedlium_15455.wav", "duration": 9.75, "text": "Determining the most efficient number of wells to drill and complete together is essential to maximizing the recovery and net present value of the whole asset."}, {"path": "tedlium_15456.wav", "duration": 9.75, "text": "This financial strength enables us to maintain a low cost structure and strategic relationship with our service providers by funding a steady CapEx program."}, {"path": "tedlium_15457.wav", "duration": 9.75, "text": "I think the full revenue velocity piece is something that probably warrants a little bit further analysis, but I think it captures some of the effect that you're seeing in the numbers."}, {"path": "tedlium_15458.wav", "duration": 9.75, "text": "and explained in detail the restructuring program, the implications of it, but also what we're looking to try and achieve out of it from a cultural and a process change across the business."}, {"path": "tedlium_15459.wav", "duration": 9.75, "text": "Their dedication on a daily basis, and that includes Saturdays and Sundays, is just unparalleled in my experiences over the years. They're a great bunch of people."}, {"path": "tedlium_15460.wav", "duration": 9.75, "text": "use fair value for your hedges and liabilities in advance of a change in regulation on VAs. I don't know if that's true. But have higher interest rates therefore helped"}, {"path": "tedlium_15461.wav", "duration": 9.75, "text": "we have also realized a significant improvement in the underlying earnings growth of 20%. Those are the markets"}, {"path": "tedlium_15462.wav", "duration": 9.75, "text": "Our commission expenses were up in the year, driven by a new commission model for our branded retail channel as well as the higher gross connections."}, {"path": "tedlium_15463.wav", "duration": 9.75, "text": "But if I think 5 years from now or 10 years from now compared to where we are today and the unit volume that you would expect, it's going to be much, much, much higher, and that's the bet we're making."}, {"path": "tedlium_15464.wav", "duration": 9.75, "text": "As I said earlier, however, the growth in EBITDA was modest due to continued margin pressures, primarily from cost of sales and restaurant labor expense."}, {"path": "tedlium_15465.wav", "duration": 9.75, "text": "Werner. During the first part of the trial, we refined the stopping rules. And while we were doing that, some of the patients missed the dozing window around the 28 days."}, {"path": "tedlium_15466.wav", "duration": 9.75, "text": "I think it could be the latter. As we also said in the call, we are in discussions with multiple potential commercial partners,"}, {"path": "tedlium_15467.wav", "duration": 9.75, "text": "I'm Patrick from Nomura. I have some questions regarding the smart manufacturing and smart management. You mentioned that"}, {"path": "tedlium_15468.wav", "duration": 9.75, "text": "performances or achievements, including statements related to the company's 2017 outlook, to be materially different from any future results,"}, {"path": "tedlium_15469.wav", "duration": 9.75, "text": "We really have no additional comments at this time and if they are additional questions we'd be happy to take them, but"}, {"path": "tedlium_15470.wav", "duration": 9.75, "text": "that is probably viewing ads or commercials at some point. So the growth from here, I mean, like -- what is the bottleneck to showing"}, {"path": "tedlium_15471.wav", "duration": 9.75, "text": "So it is really that type of movement and volatility. As I think the industry just goes through volatility, it flows down"}, {"path": "tedlium_15472.wav", "duration": 9.75, "text": "With this first in human study, we end to initially demonstrate superior immunogenicity of our vaccine across a variety of cancer types"}, {"path": "tedlium_15473.wav", "duration": 9.75, "text": "I think what you're seeing is an exercise of great discipline, but we look forward to continuing to grow the company"}, {"path": "tedlium_15474.wav", "duration": 9.75, "text": "consolidated. Really, going forward, the way we're looking at it is if we have other methods to find"}, {"path": "tedlium_15475.wav", "duration": 9.75, "text": "We announced the decision to expand discount to the West. We invested in a partnership with Ocado to build the best e-commerce solution in Canada."}, {"path": "tedlium_15476.wav", "duration": 9.75, "text": "as well as opportunities in the municipal bond portfolio related to refunding opportunities late in the fourth quarter."}, {"path": "tedlium_15477.wav", "duration": 9.75, "text": "is our ability to bring a holistic solution to that problem and to cut across settings of care. So I think we're in a really, really good position."}, {"path": "tedlium_15478.wav", "duration": 9.75, "text": "we will not be signing it and we will not be continuing going to future because we're not going to operate at a loss for austerity purposes. What has to change is the model."}, {"path": "tedlium_15479.wav", "duration": 9.75, "text": "And today, largely as a result of Federico's strong leadership, Molteni operates both directly and through its network of specialized partners"}, {"path": "tedlium_15480.wav", "duration": 9.75, "text": "in an environment where pricing for most of the other commodities were low. Or any more color on how that tends to play out would be much appreciated."}, {"path": "tedlium_15481.wav", "duration": 9.75, "text": "overall ad views and ad viewability percentages have had dramatic increases since the launch of the player."}, {"path": "tedlium_15482.wav", "duration": 9.75, "text": "and where we believe our DepoFoam technology would be the most physiologically appropriate drug delivery technology, given its safe profile and flexibility."}, {"path": "tedlium_15483.wav", "duration": 9.75, "text": "Our PowerUp Rewards loyalty program is at an all-time high of membership around the world, and we continue to add incremental paid members."}, {"path": "tedlium_15484.wav", "duration": 9.75, "text": "engagements that we have of the advisers with the clients, and we give them a lot of support to work with their clients more thinking about it over a longer term."}, {"path": "tedlium_15485.wav", "duration": 9.75, "text": "I think it all comes in a whole package. It's not just one single specific strategy that we have on the deposit side, Brett, it's more of a"}, {"path": "tedlium_15486.wav", "duration": 9.75, "text": "is the stability of EBITDA. The key differences in the cash flow performance relate to the reversal of temporary working capital benefits,"}, {"path": "tedlium_15487.wav", "duration": 9.75, "text": "about the business exit? I wasn't aware of that and how big that it is. And then flip to the better side, you also did mention about organic growth. We haven't heard too much"}, {"path": "tedlium_15488.wav", "duration": 9.75, "text": "These projects will not only create construction jobs for area residents, but will also provide a significant number of full-time employment opportunities upon opening."}, {"path": "tedlium_15489.wav", "duration": 9.75, "text": "Over the next quarter, we will continue to pursue these initiatives and implement others as necessary. I look forward to sharing the results with you in the future."}, {"path": "tedlium_15490.wav", "duration": 9.75, "text": "specific performance. Recreational vehicle demand remained reasonably strong in most of our markets. We did experience some softness at our Florida dealership."}, {"path": "tedlium_15491.wav", "duration": 9.75, "text": "That said, the focus is now largely on the Greater Toronto market versus the rest of the country, given the early signs of a slowdown in the Vancouver market."}, {"path": "tedlium_15492.wav", "duration": 9.75, "text": "understanding it hasn't closed yet. But when we're looking out to fiscal '17 and beyond, can you just give us a sense for what the sort of margin profile looks like, whether"}, {"path": "tedlium_15493.wav", "duration": 9.75, "text": "as a result of various factors, including the Risk Factors described in the risk factor section and elsewhere in the company's most recent annual report on Form 10-K"}, {"path": "tedlium_15494.wav", "duration": 9.75, "text": "the first -- I think the first inning still of the game, where we believe we can be transformative in helping members or their caregivers make the best decisions."}, {"path": "tedlium_15495.wav", "duration": 9.75, "text": "some of which may be outside the control of the company that may cause actual results to materially differ from those expressed in the forward-looking statements."}, {"path": "tedlium_15496.wav", "duration": 9.75, "text": "of what we've been doing anyway. So that's your second question. And you first question is -- I think it was sort of selling versus runoff. So most of the assets"}, {"path": "tedlium_15497.wav", "duration": 9.75, "text": "In particular, our properties at Grand Teton Lodge Company experienced strong visitation and spending as the park reached near record visitation levels this summer."}, {"path": "tedlium_15498.wav", "duration": 9.75, "text": "We continue to see significant opportunities in the marketplace and we've been able to utilize our open-to-buy dollars to take advantage of these great deals."}, {"path": "tedlium_15499.wav", "duration": 9.75, "text": "But certainly, I wouldn't characterize those price increases as industry-wide. We have some suppliers of ours that chose not to take price, others that have."}, {"path": "tedlium_15500.wav", "duration": 9.75, "text": "higher efficiency and doing things faster and using more of things to get higher production. I think there's a lot of other things that can be done,"}, {"path": "tedlium_15501.wav", "duration": 9.75, "text": "next June 1. Our -- I believe what we also have to put out there is the amount of gallons going into '19 with the waiver"}, {"path": "tedlium_15502.wav", "duration": 9.75, "text": "if there's no opportunity to do that, we can keep -- we can pay off our debt at the MLP. And thirdly, the other thing we can do then is tender for shares"}, {"path": "tedlium_15503.wav", "duration": 9.75, "text": "Also contributing to lower consumer food sales in the quarter were declines across several Natural Foods brands and a 4% decrease for the Jif brand,"}, {"path": "tedlium_15504.wav", "duration": 9.75, "text": "Information that will be discussed on today's call includes some forward-looking comments. Actual results or outcomes could differ from those projected or contained in the forward-looking statements."}, {"path": "tedlium_15505.wav", "duration": 9.75, "text": "As stated in the release, we will judiciously exercise our new authority to repurchase stock with a close eye on our total leverage."}, {"path": "tedlium_15506.wav", "duration": 9.75, "text": "and there's no doubt that several of the buildings have got potential into the future from a development perspective and"}, {"path": "tedlium_15507.wav", "duration": 9.75, "text": "a lot of runway there for them to be able to exercise calling the options on the 17 to get the additional warrants, so there's really no definitive time frame on that."}, {"path": "tedlium_15508.wav", "duration": 9.75, "text": "I would now like to provide you with a brief financial summary for fiscal 2016 before we turn our attention to the coming year."}, {"path": "tedlium_15509.wav", "duration": 9.75, "text": "for information on risks and uncertainties that may cause actual results to differ materially from those set forth in such forward-looking statements. I would now like to turn the call over to John."}, {"path": "tedlium_15510.wav", "duration": 9.75, "text": "It is quite common for a company to have a filing extension following an auditor transition, though we expect to remain a timely filer by filing within the 15-day extension period."}, {"path": "tedlium_15511.wav", "duration": 9.75, "text": "Why not use the forward-looking test year there? I mean, this case looks like it's a little easier than your last case. You didn't get a great"}, {"path": "tedlium_15512.wav", "duration": 9.75, "text": "bulk and to have enough capacity to be able to actually store it for and utilize it when, let's say the wind doesn't blow, the sun's not shining or whatever,"}, {"path": "tedlium_15513.wav", "duration": 9.75, "text": "John will provide more details on our clinical development strategy intended to extract the full clinical and business potential of our lead program."}, {"path": "tedlium_15514.wav", "duration": 9.75, "text": "earn and outearn our dividend every quarter since we've been public. And our focus really is on making sure that people are comfortable with that."}, {"path": "tedlium_15515.wav", "duration": 9.75, "text": "operational improvement. In order to do that, we need to basically do things at a lower cost. If you look at how we are organized today,"}, {"path": "tedlium_15516.wav", "duration": 9.75, "text": "And so all of these had some level of investment throughout the second half, and they're all coming together in the platform. But the real, real"}, {"path": "tedlium_15517.wav", "duration": 9.75, "text": "we have secured the total of 8 million tons of shipments, it's just a matter of when they ship. Florida continues to be good both on the public side"}, {"path": "tedlium_15518.wav", "duration": 9.75, "text": "something that you anticipate next year? Or because of the time it takes to really develop this especially if you're going to have a pipeline connection?"}, {"path": "tedlium_15519.wav", "duration": 9.75, "text": "Before proceeding with the presentation, we would like to inform you that the financial information contained in this document has been prepared under International Financial Reporting Standards."}, {"path": "tedlium_15520.wav", "duration": 9.75, "text": "we're generally pretty successful at it. So that's what gives me the confidence. The issue is not that we can't win new business, it's that we don't have enough people doing it is the answer."}, {"path": "tedlium_15521.wav", "duration": 9.75, "text": "that he will make a bigger announcement later during this year, and then you also will know the name. But as you can imagine,"}, {"path": "tedlium_15522.wav", "duration": 9.75, "text": "that we previously could not sell. You know that we have been optimistic and bullish and focused on Colombia for a long time. And it should be clear by now that our strategy is working."}, {"path": "tedlium_15523.wav", "duration": 9.75, "text": "The expected seasonal effect has been amplified this year by the high growth, especially in China, and the even stronger second quarter."}, {"path": "tedlium_15524.wav", "duration": 9.75, "text": "Fair enough. Then the second question is regarding this overhead recovery on Borough Green. Can you just help us quantify how much that additional cost has been in the first half?"}, {"path": "tedlium_15525.wav", "duration": 9.75, "text": "Health care financing and savings, health information and technology, pharmacy and medical care delivery, population and consumer digital health"}, {"path": "tedlium_15526.wav", "duration": 9.75, "text": "that includes certain noncash benefits and expenses associated with our international tax structure. In addition to normal GAAP metrics,"}, {"path": "tedlium_15527.wav", "duration": 9.75, "text": "Thank you, David, and good morning, everyone. This was a solid quarter for TESSCO as the sales momentum that began in the second half of last year continued."}, {"path": "tedlium_15528.wav", "duration": 9.75, "text": "We began fiscal 2018 focused on growing our top line and improving profitability and we made good progress toward both of these goals this quarter."}, {"path": "tedlium_15529.wav", "duration": 9.75, "text": "stronger relationships with the large national resellers. In the private system operator market, revenues and gross profit grew slightly from a year ago."}, {"path": "tedlium_15530.wav", "duration": 9.75, "text": "dealing with the timing issue of that bankruptcy being sooner than we expected, which certainly helped contribute to that gap between build and lease. And as Angela said,"}, {"path": "tedlium_15531.wav", "duration": 9.75, "text": "with occasional supply at a higher cost coming from export spots markets. The Cheniere contract has been received"}, {"path": "tedlium_15532.wav", "duration": 9.75, "text": "we don't need to go to the tender anymore. I can anticipate that we expect a very strong"}, {"path": "tedlium_15533.wav", "duration": 9.75, "text": "for kraft in the domestic market in terms of volume and price. That does not change our historic and strategic trajectory"}, {"path": "tedlium_15534.wav", "duration": 9.75, "text": "Since we manufacture our own phones, system software and platform, we are able to effectively manage our expenses as we continue to grow our Telecom revenues."}, {"path": "tedlium_15535.wav", "duration": 9.75, "text": "a partnership makes a distribution call each quarter and evaluates that. So we're going to do the same thing that everybody else is doing."}, {"path": "tedlium_15536.wav", "duration": 9.75, "text": "set of Chinese OEMs. And then, of course, you have increasingly stringent emission standards and their elevation to a matter of public policy in China as important drivers."}, {"path": "tedlium_15537.wav", "duration": 9.75, "text": "a violation of the company's business practices, along with a lack of full disclosure during this review, was unacceptable to the board."}, {"path": "tedlium_15538.wav", "duration": 9.75, "text": "to the extent that it's helpful for people to understand how we thought about it, we will share any and all thoughts about what things could look like. But I don't think there's anything at this point that"}, {"path": "tedlium_15539.wav", "duration": 9.75, "text": "excluding the revenue associated with the group's Engineered Products operations, which has been moved into discontinuing operations as part of Technology."}, {"path": "tedlium_15540.wav", "duration": 9.75, "text": "will invest into it and feel very good about a unique bathroom or kitchen or installation in their home."}, {"path": "tedlium_15541.wav", "duration": 9.75, "text": "And there, we thought in terms of putting the money and getting the payback, it's a much longer payback period. And the nature of the ore body has to be factored there into account as well."}, {"path": "tedlium_15542.wav", "duration": 9.75, "text": "this is kind of a show-me market. We've historically seen either strategics, like other companies come in like Exelon, previously building combined cycles"}, {"path": "tedlium_15543.wav", "duration": 9.75, "text": "We discussed our key focus for growth which includes increasing sales and profitability of the company-operated retail division."}, {"path": "tedlium_15544.wav", "duration": 9.7499375, "text": "At the same time, we began to change our website and our marketing. For those of you that have visited our website recently, you will see a marked change. There is much more to come."}, {"path": "tedlium_15545.wav", "duration": 9.7200625, "text": "we mentioned the fact that we are making an early payment of part of our debt with a particular institution."}, {"path": "tedlium_15546.wav", "duration": 9.7200625, "text": "Mike, I want to add to Eric's last point there because I think a part of the challenge that we're facing now is that"}, {"path": "tedlium_15547.wav", "duration": 9.72, "text": "And we would -- it's a lot of it is the -- depends upon a key part of the analysis is what location we put them in."}, {"path": "tedlium_15548.wav", "duration": 9.72, "text": "negative to limited efficacy results in DMD. And so that might be a case where you want to do something with a gene therapy first"}, {"path": "tedlium_15549.wav", "duration": 9.72, "text": "these banks will do income-producing loans but they typically do them on investor properties not owner occupied properties. So"}, {"path": "tedlium_15550.wav", "duration": 9.72, "text": "and there were many additional examples of our continued transformation to a cloud software platform systems and services company."}, {"path": "tedlium_15551.wav", "duration": 9.72, "text": "So it doesn't mean that that wouldn't change in the future, but certainly right now the new hires would be coming right into our office here in Raleigh."}, {"path": "tedlium_15552.wav", "duration": 9.72, "text": "Our transformation has challenged us to drive new growth while maintaining a healthy and financially sound operating environment."}, {"path": "tedlium_15553.wav", "duration": 9.72, "text": "This was largely due to higher prices for both paperboard and tissue, offset by lower tissue shipments from the sale of the Ladysmith mill and lower seasonal demand."}, {"path": "tedlium_15554.wav", "duration": 9.72, "text": "Both the Chief Commercial Officer and Chief Human Resources Officer positions are new to our company and reaffirm our commitment to our customers and our employees."}, {"path": "tedlium_15555.wav", "duration": 9.72, "text": "in the overall global demand, it's not going to have a huge -- now, of course, there will be some adjustments, but we will not see a major surge"}, {"path": "tedlium_15556.wav", "duration": 9.72, "text": "The bridge securitization was used to help fund a speciality finance company acquiring a large U.S. credit card portfolio that was being sold by European bank."}, {"path": "tedlium_15557.wav", "duration": 9.72, "text": "And we want, need and will participate here as we are convinced also to be able to contribute to the consumer interested in these elements."}, {"path": "tedlium_15558.wav", "duration": 9.72, "text": "or is there a change in how you think about capitalizing on that volume growth? Because it seems to me the amount of hydrocarbons hitting Waha and Oasis is going to be"}, {"path": "tedlium_15559.wav", "duration": 9.72, "text": "what is a very clear strategy for trusts to focus predominantly on upper upscale full-service hotels and we look at the depth of the transaction market,"}, {"path": "tedlium_15560.wav", "duration": 9.72, "text": "no longer even work for a company is particularly unfriendly to business. The legislation is presently being challenged in the courts and we hope that challenge is successful."}, {"path": "tedlium_15561.wav", "duration": 9.72, "text": "Two key tools worth noting are a joint business planning tool, which is an externally facing tool for managing relationships with our key supplier partners"}, {"path": "tedlium_15562.wav", "duration": 9.72, "text": "putting aside the time frame within which you might be able to generate outcomes data, is it your working expectation that you'll need outcomes data for inclisiran prior to approval?"}, {"path": "tedlium_15563.wav", "duration": 9.72, "text": "some of the areas particularly in the capital markets where money flows are just driving behavior, particularly as I've mentioned in my"}, {"path": "tedlium_15564.wav", "duration": 9.72, "text": "And we moved our premiere service operation in there with the Hilltop Securities office. So when you look at our markets,"}, {"path": "tedlium_15565.wav", "duration": 9.72, "text": "an area where we think we can bring our brands, we can bring our service and product focus and deliver something which is"}, {"path": "tedlium_15566.wav", "duration": 9.72, "text": "and preparing for full rebranding of Circle K and Couche-Tard. In the CST network, the rebranding this year will focus on markets where both brands are present today."}, {"path": "tedlium_15567.wav", "duration": 9.72, "text": "And this increase was driven by a higher share of value-added business as well as internal continuous improvements."}, {"path": "tedlium_15568.wav", "duration": 9.72, "text": "Perhaps just as important, we were able to stabilize the Clarient volume, which had been on a steady decline over the last 3 years."}, {"path": "tedlium_15569.wav", "duration": 9.72, "text": "No questions, some of that has been the move of money out of some of our alternative equity strategies. I'll pass it over to David Morris to handle the second part of your question. So"}, {"path": "tedlium_15570.wav", "duration": 9.72, "text": "First of all, I want to send my thanks to our team in British Columbia as they manage through a tough situation caused by the rupture of Enbridge's gas transmission line."}, {"path": "tedlium_15571.wav", "duration": 9.72, "text": "stays in order to talk to patients who do not necessarily go through the hospital to reach us,"}, {"path": "tedlium_15572.wav", "duration": 9.72, "text": "as you know, there are a number of opportunities that may be out there, given the low pricing in ERCOT, we see them to be plentiful, with potential for strong economics."}, {"path": "tedlium_15573.wav", "duration": 9.72, "text": "We currently expect the majority of this work to be completed in the second half with the potential for some work into early 2019. This project is a"}, {"path": "tedlium_15574.wav", "duration": 9.72, "text": "And a lot of it's going to be based on the success of these trials. So that is the very good question. But we are seeing the momentum, again, us booking more business"}, {"path": "tedlium_15575.wav", "duration": 9.72, "text": "On the litigation front, we've made good progress in our efforts to resolve legacy matters. We settled several cases in the quarter, largely within our provisions."}, {"path": "tedlium_15576.wav", "duration": 9.72, "text": "It is worth noting that even with all of these margin improvement initiatives, we are continuing to invest in technology and client success."}, {"path": "tedlium_15577.wav", "duration": 9.72, "text": "What makes us even more compelling is the fact that the learning management system budget and the content budget generally come from 2 different sources,"}, {"path": "tedlium_15578.wav", "duration": 9.72, "text": "One of these was a second acquisition in the state of Michigan, which is very exciting as we continue to expand our footprint further westward."}, {"path": "tedlium_15579.wav", "duration": 9.72, "text": "And given the strong and long lengths of these deals, how should we think about financing the deals?"}, {"path": "tedlium_15580.wav", "duration": 9.72, "text": "development, disposition or capital markets activity, including potential transactions discussed as part of the company's strategic initiatives"}, {"path": "tedlium_15581.wav", "duration": 9.72, "text": "liver infectious diseases, cardiovascular diseases, and chronic liver diseases while also providing a path to an even wider array of indications."}, {"path": "tedlium_15582.wav", "duration": 9.72, "text": "We've created exceptionally easy ways for them to pay. And what that enables them to do through the long interest-free, it makes the whole store available to the majority of customers,"}, {"path": "tedlium_15583.wav", "duration": 9.72, "text": "but the movement is there both on the enterprise side and on the platform side. And as that happens, the enterprises move a little faster and the enterprises moves a little faster."}, {"path": "tedlium_15584.wav", "duration": 9.72, "text": "as we sit right now. It wouldn't be impacted by these nonrecurring costs. We would have more than 60 billion minutes of use on our network"}, {"path": "tedlium_15585.wav", "duration": 9.72, "text": "We'll be looking at that more in the next couple of days as we go through some discussions."}, {"path": "tedlium_15586.wav", "duration": 9.72, "text": "not worse, not substantially better from today, but looking very much like where we are. That's the way we're just internally thinking about it."}, {"path": "tedlium_15587.wav", "duration": 9.72, "text": "Okay. So you think you're in good shape to be on top of the trends with what you're doing today? Is that the bottom line?"}, {"path": "tedlium_15588.wav", "duration": 9.72, "text": "And our ongoing transformation of UCP into a consistently profitable company delivering improving returns on equity for our shareholders."}, {"path": "tedlium_15589.wav", "duration": 9.72, "text": "Finally, I wanted to provide an update on HOTELiJack. During the second quarter, we successfully completed the transition of installations,"}, {"path": "tedlium_15590.wav", "duration": 9.72, "text": "we've reshaped our balance sheet, and as part of that, we have returned capital to shareholders. And as I said in the presentation,"}, {"path": "tedlium_15591.wav", "duration": 9.72, "text": "But our velocities on full revenue have been slower than some competitive velocities. The reason for that, we believe, is because"}, {"path": "tedlium_15592.wav", "duration": 9.72, "text": "On the multifamily front, we currently expect the market to remain relatively flat in the first quarter due to oversaturation in the market and pricing pressure."}, {"path": "tedlium_15593.wav", "duration": 9.72, "text": "the board determined that the optimal way to maximize shareholder value is to execute a plan to transform our operations"}, {"path": "tedlium_15594.wav", "duration": 9.72, "text": "Aligned to our strategy of pivoting to the intelligent edge, we have been making significant investments that have given us a leadership position in this high-growth market opportunity."}, {"path": "tedlium_15595.wav", "duration": 9.72, "text": "mortgage spreads have widened, suggesting that when interest rates eventually do rise, consumer mortgage rates should not rise as much."}, {"path": "tedlium_15596.wav", "duration": 9.72, "text": "So with a great team in place, significant progress in our cancer immunotherapy programs and our recently completed financing,"}, {"path": "tedlium_15597.wav", "duration": 9.72, "text": "But we're going to do it once we understand it and once we know that we can demonstrate what that value is, so we can get a decent -- the right value for it when we sell"}, {"path": "tedlium_15598.wav", "duration": 9.72, "text": "Operating EBITDA margin on System Sales typically lower in the first quarter due to System Sales at the lumpy and the lowest level following the busy Christmas holidays"}, {"path": "tedlium_15599.wav", "duration": 9.72, "text": "I think they are, Andrew. I think that's fair. I think they -- their brands are much older and much more powerful, and they have a much"}, {"path": "tedlium_15600.wav", "duration": 9.72, "text": "So we should think of this, I think you maybe even alluded to this on the last call, as really focusing on the direct side of the business as opposed to the indirect lending?"}, {"path": "tedlium_15601.wav", "duration": 9.72, "text": "to the New York Department of Health, and then maybe when we could start to see some of these tests move the needle from a revenue standpoint?"}, {"path": "tedlium_15602.wav", "duration": 9.72, "text": "So it seems like it's a pretty aggressive acceleration of growth through the year. So we just love to get more color on sort of what underpins that, and if you could break that down"}, {"path": "tedlium_15603.wav", "duration": 9.72, "text": "And this also translates into reduced ballast and positioning payment, so that when we combine this with the lower utilization, you do get a drop-off in TCE for the period."}, {"path": "tedlium_15604.wav", "duration": 9.72, "text": "And they're very excited to get back in the stores to start welcoming our customers back. And all the workers will be coming into the city to restore"}, {"path": "tedlium_15605.wav", "duration": 9.72, "text": "Our first Kaikaku event was exciting and successful. It freed up enough space to easily integrate new business being relocated from other sites"}, {"path": "tedlium_15606.wav", "duration": 9.72, "text": "We got a little surprised on not getting through that, I think anticipating the lag in getting some of the customer approvals."}, {"path": "tedlium_15607.wav", "duration": 9.72, "text": "We're closely working with our customers to bid new programs with Rolls-Royce, Safran, GE and UTC that will generate aftermarket revenues going forward."}, {"path": "tedlium_15608.wav", "duration": 9.72, "text": "These statements apply to future events that are subject to risks and uncertainties as well as other factors that could cause actual results to differ materially from what is stated on today's call."}, {"path": "tedlium_15609.wav", "duration": 9.72, "text": "the way we've always looked at leverage, again, it's not really by the ratio itself as much as it is by the runway before maturities come due and then by our ability to service the interest expense."}, {"path": "tedlium_15610.wav", "duration": 9.72, "text": "as really a charge to be very aggressive in both the college recruiting for senior staff and also on the secondary market."}, {"path": "tedlium_15611.wav", "duration": 9.72, "text": "distribution strategy in the IA channel, which will become even more important and a more important distinguishing factor as we go forward. So"}, {"path": "tedlium_15612.wav", "duration": 9.72, "text": "Accounts receivable days sales outstanding stood at 71 days this quarter, which is even with the third quarter and flat from the fourth quarter of last year."}, {"path": "tedlium_15613.wav", "duration": 9.72, "text": "there's nothing that I could specifically point you to that's of the magnitude of Millport or a Dierks or Grayling. It's really a lot of projects across the system"}, {"path": "tedlium_15614.wav", "duration": 9.72, "text": "Compared with the year ago quarter, higher average realizations and lower cost for logs and oriented strand board were largely offset by lower sales volumes."}, {"path": "tedlium_15615.wav", "duration": 9.72, "text": "Among the factors that may affect the operating results of the company are fluctuations in the cost and availability of raw materials and market conditions for finished products."}, {"path": "tedlium_15616.wav", "duration": 9.72, "text": "And how have they been laying the groundwork for when you get the J code? Just give us a better sense of expectations on that uptake next year. Yes. Thanks, Gary."}, {"path": "tedlium_15617.wav", "duration": 9.72, "text": "All our front line clusters reduced expense growth, with the exception of rest of Africa, where we have invested significantly to build scale in our subsidiaries,"}, {"path": "tedlium_15618.wav", "duration": 9.72, "text": "You will hear how we are in a transition in that business, moving from a purely wireless business to an integrated communications and media retailer."}, {"path": "tedlium_15619.wav", "duration": 9.72, "text": "with the proceeds being used to further pay down unsecured facility in order to create additional capacity to fund future purchases as well as for general corporate purposes."}, {"path": "tedlium_15620.wav", "duration": 9.72, "text": "Ladies and gentlemen, this does conclude today's teleconference. Thank you for your participation. You may disconnect your lines at this time and have a wonderful day."}, {"path": "tedlium_15621.wav", "duration": 9.72, "text": "But we now see it as an opportunity looking forward. TIM was and still is the champion of the second voice SIM card."}, {"path": "tedlium_15622.wav", "duration": 9.72, "text": "All of this is a material -- although this is a material adjustment to the projects, it is our opinion that the outcome of the discussions we are having"}, {"path": "tedlium_15623.wav", "duration": 9.72, "text": "It is an active program at this point. But as I alluded to, we're still looking at the data to fully understand the meaning of the results and have not made any decisions about moving forward."}, {"path": "tedlium_15624.wav", "duration": 9.72, "text": "In addition, these changes may drive some price softening as housing activity slows, gradually helping to ease some of the affordability pressure evident today."}, {"path": "tedlium_15625.wav", "duration": 9.72, "text": "Having a strong exposure management franchise also helps us establish and maintain closer relationships with a client roster that would be the envy of any asset manager."}, {"path": "tedlium_15626.wav", "duration": 9.72, "text": "We remain committed and confident in our ability to deliver on our cost savings and our EPS commitments."}, {"path": "tedlium_15627.wav", "duration": 9.72, "text": "These agreements are an integral part of the upcoming joint venture and document the final agreement on intellectual property rights,"}, {"path": "tedlium_15628.wav", "duration": 9.72, "text": "Crown Royal has created the Water B.O.Y.S., who have engaged tens of thousands of fans at football stadiums and sports bars across America"}, {"path": "tedlium_15629.wav", "duration": 9.72, "text": "These results will provide important information to further guide physicians on the extent of surgery and treatment decisions for these patients."}, {"path": "tedlium_15630.wav", "duration": 9.72, "text": "this program is an ongoing program and we continue to evaluate such further opportunities across our network of over 100 production facilities."}, {"path": "tedlium_15631.wav", "duration": 9.72, "text": "Now that we've refined our business to its tech-focused core and have the organization in place, we believe the execution of our strategy will continue to improve."}, {"path": "tedlium_15632.wav", "duration": 9.72, "text": "in participating in whatever consolidation might happen in that market? And while I know you can't comment today on some of the deal speculation that's been out there in the news,"}, {"path": "tedlium_15633.wav", "duration": 9.72, "text": "we think it's the best way to both do it internally and also externally when we present"}, {"path": "tedlium_15634.wav", "duration": 9.72, "text": "No question though that we would love to see some resolution to some of the kind of macro factors that are out there in the economy that are creating,"}, {"path": "tedlium_15635.wav", "duration": 9.72, "text": "If any of you have not received yesterday's earnings release or supplemental, they're both available on the Investors section of our website at highwoods.com."}, {"path": "tedlium_15636.wav", "duration": 9.72, "text": "improvement we're seeing is sustainable, and I expect us to build off it. The fourth quarter is seasonally lower, but I also expect it to be better than"}, {"path": "tedlium_15637.wav", "duration": 9.72, "text": "Last month, we held our Global Energy race, and perhaps some of you were able to join in among the more than 70,000 people"}, {"path": "tedlium_15638.wav", "duration": 9.72, "text": "While we continue to navigate near-term challenges in certain areas of our business, the incremental progress we continue to make is laying the necessary foundation to deliver sustainable"}, {"path": "tedlium_15639.wav", "duration": 9.72, "text": "I think in that environment, clearly, our trade partners are very strict and very tough in negotiations."}, {"path": "tedlium_15640.wav", "duration": 9.72, "text": "but we believe they would have a disproportionate impact on agencies treating higher acuity patients, which has been the focus of Encompass. The"}, {"path": "tedlium_15641.wav", "duration": 9.72, "text": "is very focused on making sure that we drive those costs down. And I'll refer you to a couple of presentations that we've shown on that,"}, {"path": "tedlium_15642.wav", "duration": 9.72, "text": "The corporation has remained disciplined in its investment program, selectively advancing strategic opportunities across the value chain,"}, {"path": "tedlium_15643.wav", "duration": 9.72, "text": "What I think Brexit is doing in the short term is probably not causing much disruption, or what it is doing is putting a certain amount of uncertainty in the marketplace. So"}, {"path": "tedlium_15644.wav", "duration": 9.72, "text": "The market activity dropped faster than the full realization of benefits from the very responsive actions, which were taken to transform our business and reduce costs."}, {"path": "tedlium_15645.wav", "duration": 9.72, "text": "Everything we have done since that point has been moving us toward that goal. I am pleased with the progress we have made and proud of the work that we have done thus far."}, {"path": "tedlium_15646.wav", "duration": 9.72, "text": "We look forward to improved operating and financial performance for all of our businesses in 2019 as they deliver even better service to their customers."}, {"path": "tedlium_15647.wav", "duration": 9.72, "text": "Another point I want to make on TPDs that you need to keep in mind as you look at TPDs, because I think it can be a helpful metric, but it also can be misleading,"}, {"path": "tedlium_15648.wav", "duration": 9.72, "text": "could we probably think that there is still any impact on the cost side? And could you please elaborate a bit on the service revenue? Because"}, {"path": "tedlium_15649.wav", "duration": 9.72, "text": "As a result of these and other factors, actual results may differ from those set forth in the forward-looking statements, and the prices of the company's securities may fluctuate dramatically."}, {"path": "tedlium_15650.wav", "duration": 9.72, "text": "You're probably aware that in New York is a part of REV, the commission is giving utilities and opportunity to earn up to 100 basis points of incentives"}, {"path": "tedlium_15651.wav", "duration": 9.72, "text": "from the fact that the Thursday and Friday of our sister company's NASCAR weekend fell in the third quarter this year, and also from lower convention rooms compared to last year."}, {"path": "tedlium_15652.wav", "duration": 9.72, "text": "And continuing to the right, we can show the various uses of that cash over the period through 2020. As can be seen,"}, {"path": "tedlium_15653.wav", "duration": 9.72, "text": "who will support medical education efforts related solely to Rayaldee. Our marketing and market access teams are fully staffed and are working on pricing strategy,"}, {"path": "tedlium_15654.wav", "duration": 9.72, "text": "the -- I would think some time in the middle of this year, most of that work will be really well underway. And our expectations are"}, {"path": "tedlium_15655.wav", "duration": 9.72, "text": "We bring our attention to the external environment of our business. There's not much change. It remains pretty stable at the beginning of the year."}, {"path": "tedlium_15656.wav", "duration": 9.72, "text": "due largely to a combination of growing more profitable businesses, commercializing new products and continually finding ways to cut costs."}, {"path": "tedlium_15657.wav", "duration": 9.72, "text": "Thanks. Appreciate everyone for participating in Rex Energy Second Quarter Conference Call, and we'll look forward to speaking with you on the third quarter. Thank you, all. Have a good day."}, {"path": "tedlium_15658.wav", "duration": 9.72, "text": "It's a specific case that we go for. But now every single call that we make, we're pulling out Uni-Fuse like we've never done before. And we're pretty surprised actually that"}, {"path": "tedlium_15659.wav", "duration": 9.72, "text": "So turning to tax reform. I know there are a lot of questions about possible changes for us as a result of that. So let me cover as much as I can."}, {"path": "tedlium_15660.wav", "duration": 9.72, "text": "We're in talks with several parties who are interested in rights to specific geographic territories as well as some who desire a more global relationship."}, {"path": "tedlium_15661.wav", "duration": 9.72, "text": "for the next strategic move or acquisition we want to make. But we do feel comfortable with the path we're on and where we're going."}, {"path": "tedlium_15662.wav", "duration": 9.72, "text": "That strategy is yielding results with the growth in our intermodal product and also with the growth of our truck brokerage and logistics business."}, {"path": "tedlium_15663.wav", "duration": 9.72, "text": "what is the way you think about that? When could you market that potentially and where would you look to put the proceeds to work? Would it be in new ventures?"}, {"path": "tedlium_15664.wav", "duration": 9.72, "text": "It has been systematic and has affected us, too. We need to look at nonrecurring effects, too, such as the fact that last year,"}, {"path": "tedlium_15665.wav", "duration": 9.72, "text": "The lower Canadian dollar value relative to the prior year period negatively impacted the year-over-year comparison of revenue and pretax operating income"}, {"path": "tedlium_15666.wav", "duration": 9.72, "text": "As Mark said, our highest priority for the near term is closing the acquisition, which we currently expect to take place very early in May, and beginning the integration."}, {"path": "tedlium_15667.wav", "duration": 9.72, "text": "While much has been said of the upstream U.S. shale expansion, I'll remind you that this has not been an area of historical focus for Rotork. I will note, however,"}, {"path": "tedlium_15668.wav", "duration": 9.72, "text": "what I'll call, part number mix. Even on some of our contracts, the mix that came through the orders were leaner than we typically experienced. So we kind of had"}, {"path": "tedlium_15669.wav", "duration": 9.72, "text": "We're excited about the structure, team and strategy that we've put in place and look to continue to opportunistically leverage our resources to grow the business and drive overall shareholder value."}, {"path": "tedlium_15670.wav", "duration": 9.72, "text": "Thank you for joining us, everyone, this morning. And if you're in Washington in New York or Philadelphia, good luck with the storm this weekend. Have a great day."}, {"path": "tedlium_15671.wav", "duration": 9.72, "text": "honor its undertaking to pay accrued severance packages to all affected employees at Kopanang immediately following the conclusion of the sale transaction."}, {"path": "tedlium_15672.wav", "duration": 9.72, "text": "Thank you, Liz. Good morning, and welcome to everyone joining us on the call today. Before beginning, we would like to remind you that statements made during this conference call"}, {"path": "tedlium_15673.wav", "duration": 9.72, "text": "This market has a promising future, and I'm excited PolyOne is one of the key collaborators for material and design."}, {"path": "tedlium_15674.wav", "duration": 9.72, "text": "and we helped them through the capital phase of acquiring the asset and putting CapEx in. The commercial relationships up there"}, {"path": "tedlium_15675.wav", "duration": 9.72, "text": "possible acquisitions, can you give us a little more color on maybe how far down the road you are with maybe a couple of people"}, {"path": "tedlium_15676.wav", "duration": 9.72, "text": "For instance, in our Defense Systems Group, early this year, we initiated a 3-year research and development program to develop and field advanced"}, {"path": "tedlium_15677.wav", "duration": 9.69, "text": "from the value that we had it on our balance sheet at March 31. We told you we would work towards monetizing our private portfolio if the prices were right"}, {"path": "tedlium_15678.wav", "duration": 9.69, "text": "is excluded from revenue and adjusted EBITDA, if the contract was structured similar to our other water purchase agreements, the cash collected would accrue revenue"}, {"path": "tedlium_15679.wav", "duration": 9.69, "text": "all they know is they have a piece of commercial real estate. And frankly, as you may be aware, a small business owner walking into a local community bank,"}, {"path": "tedlium_15680.wav", "duration": 9.69, "text": "It's the combination of these strengths that is reflected in the fact that the vast majority of our customer acquisition is sourced through direct channels."}, {"path": "tedlium_15681.wav", "duration": 9.69, "text": "a leading global independent shipper of seaborne thermal coal, as well as our market leading share in the global seaboard met coal and coke franchises."}, {"path": "tedlium_15682.wav", "duration": 9.69, "text": "and the presentation of supplemental information, including outlook slides, providing the company's current expectations and estimates."}, {"path": "tedlium_15683.wav", "duration": 9.69, "text": "We can now process an incredible 1 billion records per hour, literally orders of magnitude faster than where we were in September."}, {"path": "tedlium_15684.wav", "duration": 9.69, "text": "More people will be using Yahoo, and if they spend more time with Yahoo, obviously we'll be able to increase our revenue and that's what we need to do."}, {"path": "tedlium_15685.wav", "duration": 9.69, "text": "is that it does enable us to focus on underwriting discipline in the areas of our portfolio where prices and margins are most under pressure."}, {"path": "tedlium_15686.wav", "duration": 9.69, "text": "And if you see certain metrics, what metrics will you look at this year to contemplate a potential price increase? You've talked about"}, {"path": "tedlium_15687.wav", "duration": 9.69, "text": "supply coming into some of those secondary markets, but also slightly -- while we try to be not as disruptive"}, {"path": "tedlium_15688.wav", "duration": 9.69, "text": "Our forward-looking disclaimer statement is part of our quarterly releases and filings. Finning does not accept any obligation to update this information. Scott, over to you."}, {"path": "tedlium_15689.wav", "duration": 9.69, "text": "Paul, I'll turn it back over to you. Thanks, Carol. We entered 2019 excited for the opportunity to build on the positive momentum generated last year."}, {"path": "tedlium_15690.wav", "duration": 9.69, "text": "and a vendor funding performing -- management portal, which is a robust online tool to track, manage and optimize vendor performance and funding."}, {"path": "tedlium_15691.wav", "duration": 9.69, "text": "Well, if you're talking specifically about the index products, that's correct. The index products would be obviously be part of the blended rate"}, {"path": "tedlium_15692.wav", "duration": 9.69, "text": "the sale of the KEB building is being delayed. So will you be able to sell the building within the year? What's the plan with this?"}, {"path": "tedlium_15693.wav", "duration": 9.69, "text": "As such, actual results may vary materially from expectations. The risks and uncertainties associated with the forward-looking statements are described in today's news announcement"}, {"path": "tedlium_15694.wav", "duration": 9.69, "text": "As we enter a time of unprecedented change and opportunity with the trends that we see in our industry, it truly is exciting with how we positioned ourselves in both business segments."}, {"path": "tedlium_15695.wav", "duration": 9.69, "text": "I wanted to see if you could provide some more clarity on the Marketing Effectiveness business. I know you mentioned some of the business moved to the fourth quarter."}, {"path": "tedlium_15696.wav", "duration": 9.69, "text": "which facilitated the identification of a new prospect and remapping of previously identified prospects, leading to an overall increase in estimated prospective resources."}, {"path": "tedlium_15697.wav", "duration": 9.69, "text": "will produce more predictable diversified earnings, stronger cash flow generation and continued capital management flexibility."}, {"path": "tedlium_15698.wav", "duration": 9.69, "text": "we felt, if we were able to accomplish that clarity in reporting without actually having to make the accounting convention change."}, {"path": "tedlium_15699.wav", "duration": 9.69, "text": "Our focus on the process and systems integration post a transaction is allowing us to significantly reduce general and administrative expenses more quickly in the acquired business."}, {"path": "tedlium_15700.wav", "duration": 9.69, "text": "And all I can say is that we have our own effort in this area."}, {"path": "tedlium_15701.wav", "duration": 9.69, "text": "is very much engaged to the customers, looking at new solutions for new and existing customers. The yield environment is very favorable, so that makes"}, {"path": "tedlium_15702.wav", "duration": 9.69, "text": "As we've mentioned in the past, these products have shorter lead times and have historically been a solid indicator of trends to come in the industrial sector."}, {"path": "tedlium_15703.wav", "duration": 9.69, "text": "we expect to offer rapid correction in a population severity where anemia is typically the most difficult problem that they face."}, {"path": "tedlium_15704.wav", "duration": 9.69, "text": "is your manufacturing facility in Colorado still up for sale? Are you still looking to sell the building? Or"}, {"path": "tedlium_15705.wav", "duration": 9.69, "text": "Dave, I think you explained that very well. So it is not revenue that we have taken in as revenue and booked as revenue"}, {"path": "tedlium_15706.wav", "duration": 9.69, "text": "data package. No other program in the world has been able to show any form of combination of reductions of GAGs in the CSF, reductions of"}, {"path": "tedlium_15707.wav", "duration": 9.69, "text": "technical running side of things so heart rate accuracy is very important to us. And one of the things that we did with our new technology is ensure that it works very well"}, {"path": "tedlium_15708.wav", "duration": 9.69, "text": "a global rare disease portfolio that will create even more value with each additional product we can deliver globally for people living with rare diseases."}, {"path": "tedlium_15709.wav", "duration": 9.69, "text": "this business and this region deliver high incremental margins on increased volumes as we do not need to add any additional cost to support the growth."}, {"path": "tedlium_15710.wav", "duration": 9.69, "text": "completely shy away from speculating on the size. I think I would almost refer people than really just to go through the"}, {"path": "tedlium_15711.wav", "duration": 9.69, "text": "identifying how we make this brand much more visible and get a narrative back out there in explaining what makes our brand different, what makes our brand"}, {"path": "tedlium_15712.wav", "duration": 9.69, "text": "an increase of 16.6% compared to the same period a year earlier. This increase was primarily due to an increase in unit sales in China."}, {"path": "tedlium_15713.wav", "duration": 9.69, "text": "Geographical regions. Next, we would like to review Honda's business results by geographical region for the quarter."}, {"path": "tedlium_15714.wav", "duration": 9.69, "text": "and provide more market opportunity. And as you wrote about and saw recently, we didn't just have the investment from LinkedIn but now"}, {"path": "tedlium_15715.wav", "duration": 9.69, "text": "Note, this projection excludes political revenue, which is -- from Premion, which is reported with our traditional political advertising revenue."}, {"path": "tedlium_15716.wav", "duration": 9.69, "text": "as required by the first time adoption of IFRS 15. We have commented on this effect already in the previous calls of this year."}, {"path": "tedlium_15717.wav", "duration": 9.69, "text": "Good afternoon. I will start by commenting on the quarter's results, and then report on progress on some of the themes we laid out at the Investor Day"}, {"path": "tedlium_15718.wav", "duration": 9.69, "text": "that it's not here, but the case of why the company's -- under lot of construction. And we went to the market and we raised a bond"}, {"path": "tedlium_15719.wav", "duration": 9.69, "text": "we're still maintaining where we were in terms of demand for CO2, but we did not need to ramp up as quickly and that's mostly"}, {"path": "tedlium_15720.wav", "duration": 9.69, "text": "But I thought it would be interesting to give you some actual factual detail on what's really happening on both the demand and supply side of the natural gas story"}, {"path": "tedlium_15721.wav", "duration": 9.69, "text": "There's still -- in addition, there's still potential to explore further at Peshkabir. Again, the diversity of reserves movement supports the diversity of production"}, {"path": "tedlium_15722.wav", "duration": 9.69, "text": "So what does successful delivery of the optimal community center for Hemel look like in CapEx terms? The table here gives some clarity of the scale and range of"}, {"path": "tedlium_15723.wav", "duration": 9.69, "text": "And while we don't pay by unit, and we, like every other bank in the country, should have and probably has, we've reviewed all of our pay plans. We've had them"}, {"path": "tedlium_15724.wav", "duration": 9.69, "text": "These partner programs fall outside of what we would have advanced on our own and serve to broaden and add value to our pipeline."}, {"path": "tedlium_15725.wav", "duration": 9.69, "text": "that we were able to keep all those price points. So we didn't -- we were much less affected than many businesses, I'm sure, around exchange rates,"}, {"path": "tedlium_15726.wav", "duration": 9.69, "text": "So if I could ask you to just turn ahead one slide now to Village Operations and while as you probably know that 2018 financial year was the best"}, {"path": "tedlium_15727.wav", "duration": 9.69, "text": "we don't all conduct ourselves in the same way. So price is one thing but the level of activity for a patient with a given condition is also a driver."}, {"path": "tedlium_15728.wav", "duration": 9.69, "text": "Consumers, patients are asking questions of what they can do to lower their out-of-pocket cost and also serve themselves in a better way."}, {"path": "tedlium_15729.wav", "duration": 9.69, "text": "This expected decrease is a continuation of rigs being reactivated and the recontracting of rigs rolling off higher-rate term contracts."}, {"path": "tedlium_15730.wav", "duration": 9.69, "text": "another new one come to us that is also interested in number of displays, and we're putting together scenarios for them. And I think that"}, {"path": "tedlium_15731.wav", "duration": 9.69, "text": "That means there's less making it to the harbor because all the customers along the line are still taking what they did last year or more."}, {"path": "tedlium_15732.wav", "duration": 9.69, "text": "We're continuing to invest in the business to regain our share and are seeing some green shoots of progress. Lastly, in treasury services, the fees are just part of the story."}, {"path": "tedlium_15733.wav", "duration": 9.69, "text": "While there's no guarantee that an approval will be granted, we're encouraged by the discussions we've had with the regulators to date and feel this is an important step in the right direction"}, {"path": "tedlium_15734.wav", "duration": 9.69, "text": "Okay. First of all, the Ladies apparel business got off course, because we didn't have the right balance of our assortments in certain categories"}, {"path": "tedlium_15735.wav", "duration": 9.69, "text": "I guess, from my knowledge, push it to a multiyear agreement? Or is that something that comes up for rebid or proposal each tax season?"}, {"path": "tedlium_15736.wav", "duration": 9.69, "text": "In addition, we view ourselves as a buyer that's focused on compliance and the customer journey, which we believe our sellers value significantly in the current environment."}, {"path": "tedlium_15737.wav", "duration": 9.69, "text": "our big ag customers are doing. And one of the things that's kind of striking is, is that there's never been a time where there's been 3 bad years in agriculture."}, {"path": "tedlium_15738.wav", "duration": 9.69, "text": "We still expect our tax rate to run between 37% and 39% but more towards the lower end of that range."}, {"path": "tedlium_15739.wav", "duration": 9.69, "text": "Our discussions with the client are ongoing, and we are optimistic that we will achieve a solution that is beneficial to both parties."}, {"path": "tedlium_15740.wav", "duration": 9.69, "text": "on these seriously ill patients have and how they -- their impact that they have on the health care system and society as a whole with the current standard of care."}, {"path": "tedlium_15741.wav", "duration": 9.69, "text": "That's a very good question. We haven't yet discussed any factors that are driving"}, {"path": "tedlium_15742.wav", "duration": 9.69, "text": "and we see additional opportunities to continue to grow our other verticals. The third growth driver is accelerating momentum in winning new logos."}, {"path": "tedlium_15743.wav", "duration": 9.69, "text": "Okay. And just so I'm clear, Alberto, just going back to the first part of the question, was that experience of the normalization, was that"}, {"path": "tedlium_15744.wav", "duration": 9.69, "text": "Second, we expect the challenges in New York City to continue and the results for the 2016 market RevPAR in New York City"}, {"path": "tedlium_15745.wav", "duration": 9.69, "text": "we expect a material improvement in the performance of our Chicago hotels as group business improves and the current year renovations are complete."}, {"path": "tedlium_15746.wav", "duration": 9.69, "text": "Profitable organic growth is our top priority, and we're taking the right steps to manage through a choppy demand environment."}, {"path": "tedlium_15747.wav", "duration": 9.69, "text": "plans will improve the services for passengers and will contribute to boost the economy for -- of all the areas of influence."}, {"path": "tedlium_15748.wav", "duration": 9.69, "text": "On the aftermarket side, they're only buying on need and at the lowest price. So product availability is critical to realizing these sales, and we're very focused on that."}, {"path": "tedlium_15749.wav", "duration": 9.69, "text": "However, for us, a potential offset to that could be additional demand for C-130s. In addition to these military"}, {"path": "tedlium_15750.wav", "duration": 9.69, "text": "And everything else you see in pretty good health until you get down to academic research which has been a bit of a disappointment certainly in terms of sales."}, {"path": "tedlium_15751.wav", "duration": 9.69, "text": "And something like the toy category, I know that you appear to have a much expanded toy offering this year from what I've seen before"}, {"path": "tedlium_15752.wav", "duration": 9.69, "text": "and plans to break ground in new markets in 2019. And Jumpstart is undoubtedly a key contributor as our brand strength continues to grow"}, {"path": "tedlium_15753.wav", "duration": 9.69, "text": "purchases of our technology to that type of an event, it's probably too early to make that direct of a connection. But certainly, there's a tone"}, {"path": "tedlium_15754.wav", "duration": 9.69, "text": "but how we might service it differently, how we might provide technical support differently, that we would be able to"}, {"path": "tedlium_15755.wav", "duration": 9.69, "text": "At the macro level, in terms of total equipment purchases for 2016, we've seen overall industry projections revised downward in recent updates"}, {"path": "tedlium_15756.wav", "duration": 9.69, "text": "Those things are getting impacted in a very negative way right now. And so there's going to have to be some stabilization of those things before we probably see growth."}, {"path": "tedlium_15757.wav", "duration": 9.69, "text": "Our customers also tell us that builders continue to adjust product offerings to increase the proportion of affordable product in response to market demand."}, {"path": "tedlium_15758.wav", "duration": 9.69, "text": "The new plant will increase operational efficiency through an improved layout and will also automate some of the most difficult production jobs."}, {"path": "tedlium_15759.wav", "duration": 9.69, "text": "will be a key component of revenue growth in 2016, and that our ability to provide a total microbial testing solution to our clients"}, {"path": "tedlium_15760.wav", "duration": 9.69, "text": "who have regular discussions with their customers about the need for opioid-sparing solutions. The best example would be the bariatrics pilot in that regard, where"}, {"path": "tedlium_15761.wav", "duration": 9.69, "text": "And in part, the reason for that was because of the very significant improvements to operations and the improvements to costs that had occurred and the new discoveries that would further improve that,"}, {"path": "tedlium_15762.wav", "duration": 9.69, "text": "majority of the revenue guide is largely due to the volume. Is it safe to assume that you have good clarity on the ASP as well for the rest of the year?"}, {"path": "tedlium_15763.wav", "duration": 9.69, "text": "been announced and then subsequently canceled in recent weeks and months. Just looking at the progress that you guys are making with Cascade, and"}, {"path": "tedlium_15764.wav", "duration": 9.69, "text": "and that new innovation will drive demand to the retail stores. Until that happens, we will remain focused on improving our sales in the entertainment and business categories."}, {"path": "tedlium_15765.wav", "duration": 9.69, "text": "We believe maintenance free batteries are the preferred choice of motive power customers. EMEA continues to experience healthy motive power sales growth."}, {"path": "tedlium_15766.wav", "duration": 9.69, "text": "I also believe that the actions we have taken have materially reduced our risk profile going forward. Now I'll turn the call over to Scott."}, {"path": "tedlium_15767.wav", "duration": 9.69, "text": "While still early in the process, I'm encouraged by our initial evaluation and the opportunity we have to build new offerings upon the foundation of our core compliance capabilities."}, {"path": "tedlium_15768.wav", "duration": 9.69, "text": "so that create a little bit of a headwind that we're coming out of now. But if we get some really nice market, that's going to be helpful. We could see a little bit more leverage."}, {"path": "tedlium_15769.wav", "duration": 9.69, "text": "and this is to increase the visibility of the brand on the social networks. These are users of ours that communicate on brand use over the social networks,"}, {"path": "tedlium_15770.wav", "duration": 9.69, "text": "what the primary markets for those materials are? And whether it's the end markets that are growing substantially. Or whether you're gaining share or both?"}, {"path": "tedlium_15771.wav", "duration": 9.69, "text": "Both properties continue to benefit from the on rev -- from new revenue management and operational strategies that we put in place when we took over across the last 6 to 9 months."}, {"path": "tedlium_15772.wav", "duration": 9.69, "text": "For the China Business, operating performance continues to improve and maintain steady growth."}, {"path": "tedlium_15773.wav", "duration": 9.69, "text": "That is not really a increased rebate for an individual product but just a gradual evolution that happens over time. Also, for that matter, we have decided"}, {"path": "tedlium_15774.wav", "duration": 9.69, "text": "as well as our platform technologies. Our overriding goal right now is to submit an accelerated approval application"}, {"path": "tedlium_15775.wav", "duration": 9.69, "text": "literally almost 0 folks go the other way and step out of it. And we continue to have plans come into it. We increasingly also are seeing health plans looking to potentially clone it."}, {"path": "tedlium_15776.wav", "duration": 9.69, "text": "Allison, I wouldn't say that the growth is more expensive. I would say that we have a number"}, {"path": "tedlium_15777.wav", "duration": 9.69, "text": "from the bank restricting our borrowing ability, which really caused us a problem -- we got to go to our vendors and tell them that we had"}, {"path": "tedlium_15778.wav", "duration": 9.69, "text": "the best bookings quarter in company history, what -- the question I had was around durations. Was there any meaningful change in duration, customers"}, {"path": "tedlium_15779.wav", "duration": 9.69, "text": "roughly what you think you'll see on the recurring side. And I think you've got fairly good estimates on the acquisitions and their impact on the full year, so you should be able to get back to that."}, {"path": "tedlium_15780.wav", "duration": 9.69, "text": "We responded in July by adjusting our prices, and it takes a while to get that to happen. We were able to get that to happen on Folgers first."}, {"path": "tedlium_15781.wav", "duration": 9.69, "text": "but it's just start -- a start to the journey. We also work to be brutally transparent, and we never shy away from a discussion"}, {"path": "tedlium_15782.wav", "duration": 9.69, "text": "color cosmetics and facial skin care, while sales of our insect repellent dispensers helped drive some of the growth in the home care market."}, {"path": "tedlium_15783.wav", "duration": 9.69, "text": "and payment of the coupon on our Euro hybrids, were largely offset by free cash flow generated during the third quarter."}, {"path": "tedlium_15784.wav", "duration": 9.69, "text": "plus higher interest and depreciation expense and lower maintenance revenues offset earnings gains from the 10 freighters added to the fleet during the year."}, {"path": "tedlium_15785.wav", "duration": 9.69, "text": "Since signing the MoU at the end of last year, the parties have been working hard on a detailed mechanics and documentation to support the agreed MoU principles."}, {"path": "tedlium_15786.wav", "duration": 9.69, "text": "we are accelerating our efforts to reduce and sculpt our insured risk exposures, improve the quality of our book value and increase the optionality of our platform."}, {"path": "tedlium_15787.wav", "duration": 9.69, "text": "our markets and our people as well as our capacities to meet our aggressive growth objectives over the coming years. And now here's Doug Baker with some comments."}, {"path": "tedlium_15788.wav", "duration": 9.69, "text": "are things other people have done before and we can draw from best practice. The things that are hard to do when you don't have them are the innovation and the culture, and"}, {"path": "tedlium_15789.wav", "duration": 9.69, "text": "that was a little bit more of a stand out being particularly soft, and it was sort of similar to prior year. But can you tell us more about the puts and takes there, the retention, the business activity? And then,"}, {"path": "tedlium_15790.wav", "duration": 9.69, "text": "In addition to reviewing our team and adding resources where needed, we have also taken steps to ensure that the sophistication of our systems is matching the growth of our company."}, {"path": "tedlium_15791.wav", "duration": 9.69, "text": "in their business and like to have somebody that has the that we do being both for lender and on the equity side of some other businesses,"}, {"path": "tedlium_15792.wav", "duration": 9.69, "text": "Our first strategic priority is to reinvest in our business where we can generate compelling rates of return on capital projects across our mill and converting systems."}, {"path": "tedlium_15793.wav", "duration": 9.69, "text": "As you can see in schedule 1 to the release, we're now disclosing collectibles as its own sales and margin category. It was previously included in other."}, {"path": "tedlium_15794.wav", "duration": 9.69, "text": "but we will continue to be active and pursue those that we think can make sense and where we can deliver value as we have with the last few."}, {"path": "tedlium_15795.wav", "duration": 9.69, "text": "I would say the enthusiasm was the alignment of our people out there with the opportunities in the market."}, {"path": "tedlium_15796.wav", "duration": 9.69, "text": "When done correctly, migration from prepaid to postpaid is an important strategic opportunity. One that it is in the early days for us in many of our markets."}, {"path": "tedlium_15797.wav", "duration": 9.69, "text": "We expended a significant effort in the first and second quarters, which we believe will pay dividends to our focused PV growth products in the second half of the year."}, {"path": "tedlium_15798.wav", "duration": 9.69, "text": "the business of returns continues to grow in scale and complexity especially for retailers as they are directly impacted by the amount of online consumer spending."}, {"path": "tedlium_15799.wav", "duration": 9.69, "text": "As with any increase to our costs, we work hard to offset as much of the costs as possible through supplier negotiations and productivity."}, {"path": "tedlium_15800.wav", "duration": 9.69, "text": "We remain encouraged by the demonstrated value haptics provides to mobile advertising and content and believe we are uniquely positioned to succeed in this new market."}, {"path": "tedlium_15801.wav", "duration": 9.69, "text": "that we spend on outsourcing. And we created a lot of optionality in terms of levers that we can pull and things that we could do to make the business more money."}, {"path": "tedlium_15802.wav", "duration": 9.69, "text": "really excited about where we're going and I'm excited about our people and I want to thank all of our long-term investors for hanging in there with us."}, {"path": "tedlium_15803.wav", "duration": 9.69, "text": "a business and sales update, and then we will open the call up to questions. Jeff, would you please provide the Safe Harbor statement? Thank you, Steve."}, {"path": "tedlium_15804.wav", "duration": 9.69, "text": "Overall, builder sentiment remains strong, and we expect economic activity in the future to rebound nicely as we move through the balance of the year."}, {"path": "tedlium_15805.wav", "duration": 9.69, "text": "product lines. So it would be good both from a overall credit performance as well as overall profitability to continue to grow that secured mix."}, {"path": "tedlium_15806.wav", "duration": 9.69, "text": "Does the fact that this TAM is now so much larger change that strategy? Or are you still planning to or intend to"}, {"path": "tedlium_15807.wav", "duration": 9.69, "text": "Although we believe that such statements are based upon reasonable assumptions, you should understand that these statements are subject to risks and uncertainties and actual results may differ materially."}, {"path": "tedlium_15808.wav", "duration": 9.69, "text": "And what we're trying to do is playing to all of those buckets and trying to capture dollar. So with regards to always on budget, that's the money we are getting on"}, {"path": "tedlium_15809.wav", "duration": 9.69, "text": "revise our manufacturing practices, the rolling practices to manufacture the products, and that will be over the course of several months or"}, {"path": "tedlium_15810.wav", "duration": 9.69, "text": "the experience with SPINRAZA highlights to us the real potential advantage of intrathecal ASOs as a modality. We've got an early"}, {"path": "tedlium_15811.wav", "duration": 9.69, "text": "Used vehicle pricing showed signs of stabilization and volumes were good, while rental demand was better than expected and improved as the quarter progressed."}, {"path": "tedlium_15812.wav", "duration": 9.69, "text": "This charge includes closing a few of our locations. While we regret any hardships this may cause on our employees,"}, {"path": "tedlium_15813.wav", "duration": 9.69, "text": "has reached a level where pricing is at a point where we don't need to keep providing higher and higher incentives and rebates, this is about the right point? Just a little more color on that would be great. And then just a quick"}, {"path": "tedlium_15814.wav", "duration": 9.69, "text": "We do not completely know all the numbers, but I believe that we did get a substantial portion of the contract."}, {"path": "tedlium_15815.wav", "duration": 9.66, "text": "There's a lot of learning there. What we're seeing is that the procurement will be a little bit different, where there'll be a bundling typically of larger orders together."}, {"path": "tedlium_15816.wav", "duration": 9.66, "text": "Thank you, David. Overall, we are pleased with our operating momentum as we move through the first half, and we remain optimistic on the full year."}, {"path": "tedlium_15817.wav", "duration": 9.66, "text": "In the near term, we have the payment of the bridge loan used for the acquisition of a controlling interest in National Beef"}, {"path": "tedlium_15818.wav", "duration": 9.66, "text": "So providing that you are giving a quality offer, people are trading up. So we are able to take price across all our brands, but we're very keen that we protect entry points."}, {"path": "tedlium_15819.wav", "duration": 9.66, "text": "That said, our high return and growth franchises continue to generate good returns despite these constraints."}, {"path": "tedlium_15820.wav", "duration": 9.66, "text": "I prefer not to give you a precise ratio because we don't really think of the business that way. We just want to be sure, as you know from knowing us a long time, that we have"}, {"path": "tedlium_15821.wav", "duration": 9.66, "text": "And have you actually got the numerical data for just the intermediate and poor risk groups in JAVELIN for a similar cutoff and maybe"}, {"path": "tedlium_15822.wav", "duration": 9.66, "text": "Importantly, as we execute against our goals for the year, we have an increasing conviction in our ability to drive growth in both performance revenues"}, {"path": "tedlium_15823.wav", "duration": 9.66, "text": "Well, again we continue to expand composite can internationally. And you're seeing benefit now from -- as these facilities begin to"}, {"path": "tedlium_15824.wav", "duration": 9.66, "text": "That is one of our key differentiators as a company. Our consistency of execution frees up our teams to accelerate and drive innovation and engineering excellence."}, {"path": "tedlium_15825.wav", "duration": 9.66, "text": "Do you think that we're -- with the Fed pausing now, is the pain from deposit repricing pretty much behind us? Or is that going to stick with us"}, {"path": "tedlium_15826.wav", "duration": 9.66, "text": "not as big as a mix, but a major contribution to this growth in margin. And the second part of your question,"}, {"path": "tedlium_15827.wav", "duration": 9.66, "text": "and the contribution from major projects coming online, we felt with ETP's current cost of equity, it was prudent to temporarily suspend the distribution growth"}, {"path": "tedlium_15828.wav", "duration": 9.66, "text": "At the next step, OEMs try to reduce complexity wherever possible in their products and in their organization. As an example,"}, {"path": "tedlium_15829.wav", "duration": 9.66, "text": "third quarter results are disappointing and still reflect the lack of scale in our business. We will talk about that in our next slide."}, {"path": "tedlium_15830.wav", "duration": 9.66, "text": "The e-com part has been moved to the development of the new digital platform and is part of the future strategy."}, {"path": "tedlium_15831.wav", "duration": 9.66, "text": "Over the next few quarters, we will take additional charges related to store closures and corresponding closing expenses associated with the operating lease liabilities"}, {"path": "tedlium_15832.wav", "duration": 9.66, "text": "not another company. Our competition is the 90%-plus of people believing they can become healthy or lose weight on their own."}, {"path": "tedlium_15833.wav", "duration": 9.66, "text": "only when the differential between the normal growth rate and the growth rate at which you are running at is small."}, {"path": "tedlium_15834.wav", "duration": 9.66, "text": "It will very much include complying with local regulatory requirements on number of nights homes can be let in this way and"}, {"path": "tedlium_15835.wav", "duration": 9.66, "text": "where we expect to be up and running by mid-2018. Our Completion Tools business unit also experienced significant wins in the Middle East during the third quarter."}, {"path": "tedlium_15836.wav", "duration": 9.66, "text": "We see compelling evidenced in virtually all of our business units within our Wellbore Technologies segment that supports our belief. And I want to give a few examples this morning."}, {"path": "tedlium_15837.wav", "duration": 9.66, "text": "from primarily a check printer, thereby changing our product mix and resulting stock price multiple."}, {"path": "tedlium_15838.wav", "duration": 9.66, "text": "We are well positioned in the marketplace, aided by a suite of electronic connectivity solutions that make life easier"}, {"path": "tedlium_15839.wav", "duration": 9.66, "text": "But the decreases that we're expecting in Direct Response are really being offset by really some improved outlook in several other areas of the company with respect to"}, {"path": "tedlium_15840.wav", "duration": 9.66, "text": "These results were driven by lower medical costs, as reflected by a 60 basis point improvement in our medical care ratio compared to the first quarter."}, {"path": "tedlium_15841.wav", "duration": 9.66, "text": "revenue that we had not recognized, we were able to recognize. They're going to institute a new program. We're not sure exactly what that will look like yet."}, {"path": "tedlium_15842.wav", "duration": 9.66, "text": "we fulfilled our 2015 financial outlook for all categories reaching the upper end of the guided range."}, {"path": "tedlium_15843.wav", "duration": 9.66, "text": "this lag here that we have noted in the revenues. We are conservative because we don't have anything that makes us think"}, {"path": "tedlium_15844.wav", "duration": 9.66, "text": "Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes that are difficult to predict, many of which are outside of our control."}, {"path": "tedlium_15845.wav", "duration": 9.66, "text": "significant to note that the rest of our business, the supply chain businesses we've called it, our core business historically, is also going to grow faster this year than last."}, {"path": "tedlium_15846.wav", "duration": 9.66, "text": "So as excited as I think Todd and I are over last year being sequential, I wouldn't hold out hope that it'll always be that way."}, {"path": "tedlium_15847.wav", "duration": 9.66, "text": "whether as a result of new information, future events or otherwise, other than what is required by law. Certain non-GAAP financial measures may be discussed or referred to today."}, {"path": "tedlium_15848.wav", "duration": 9.66, "text": "We also expect to have some members of our technical operations team in Philadelphia working primarily on the early stage process development,"}, {"path": "tedlium_15849.wav", "duration": 9.66, "text": "The technology opens up the profitable development of deepwater fields because they can be tied back to regional hub facilities, leveraging an oil company's existing investment."}, {"path": "tedlium_15850.wav", "duration": 9.66, "text": "at the same time, given our business mix is -- relative to many of our competitors in that segment,"}, {"path": "tedlium_15851.wav", "duration": 9.66, "text": "And I believe in the power of people so it's important to me that we create a culture that is focused on running and supporting great restaurants, putting the customer first,"}, {"path": "tedlium_15852.wav", "duration": 9.66, "text": "We are energized and determined to make good use of this positive momentum to continue delivering solid results and to drive shareholder value."}, {"path": "tedlium_15853.wav", "duration": 9.66, "text": "As I said, Pat will provide more granular investment and detailed financial information during his segment of our presentation."}, {"path": "tedlium_15854.wav", "duration": 9.66, "text": "and I think we're viewed at least in the listed real asset space as the thought and investment leader"}, {"path": "tedlium_15855.wav", "duration": 9.66, "text": "We noted this concern in our third quarter earnings discussion. And at that time, we had identified new industry partners who, we believe, are even better than the prior options."}, {"path": "tedlium_15856.wav", "duration": 9.66, "text": "You still had a decent environment on a comparative basis in the first quarter of last year. It was really after that you started to see a fair, much"}, {"path": "tedlium_15857.wav", "duration": 9.66, "text": "in the backlog on average are considerably higher than the existing margins that we have earned over the past years."}, {"path": "tedlium_15858.wav", "duration": 9.66, "text": "With little competition in sight, we are currently working with over 30 customers of various current and future generation AR devices"}, {"path": "tedlium_15859.wav", "duration": 9.66, "text": "initiatives, that both broadened our income base away from fashion and retail and delivered meaningful enhancements to our guest proposition."}, {"path": "tedlium_15860.wav", "duration": 9.66, "text": "I guess when I sat down with you for the first time, I said I am going to focus on clients sat, and I'm going to focus on being a transparent organization. I think we achieved -- we are achieving that very well. A"}, {"path": "tedlium_15861.wav", "duration": 9.66, "text": "how volatile our performance was on those products, it's kind of like talking about a brush fire after you just went through a forest fire to"}, {"path": "tedlium_15862.wav", "duration": 9.66, "text": "This margin expansion was achieved while we continued to invest in the business to position ourselves for further growth."}, {"path": "tedlium_15863.wav", "duration": 9.66, "text": "When you look at a year where accident fatalities are higher than they've ever been, there's certainly some pressure on the severity side as well for bodily injury,"}, {"path": "tedlium_15864.wav", "duration": 9.66, "text": "I will begin by making a few brief comments regarding the highlights of the second quarter. John will discuss the financial results and Chris will provide more color on our business development activities."}, {"path": "tedlium_15865.wav", "duration": 9.66, "text": "And we've had some more productive dialogue that I'm hopeful will lead us to, again, what I think would be the next most important"}, {"path": "tedlium_15866.wav", "duration": 9.66, "text": "our new agency partners have the potential to deliver revenue that is an order of magnitude bigger than what we were doing with just our ESCO customers."}, {"path": "tedlium_15867.wav", "duration": 9.66, "text": "Our backlog reflects strong bookings that we expect to ship in the next several quarters, which should lead to a corresponding increase in revenue."}, {"path": "tedlium_15868.wav", "duration": 9.66, "text": "As John mentioned, a good way to measure our progress is by comparing revenue plus backlog in the current quarter to the same metric in prior quarters."}, {"path": "tedlium_15869.wav", "duration": 9.66, "text": "And we have seen, in a very short period of time, we look at like the quarter, for example, we saw a modest double-digit increase"}, {"path": "tedlium_15870.wav", "duration": 9.66, "text": "We would have to really change our pricing model to claw that back, and we don't want to change our philosophy and how we're operating the business."}, {"path": "tedlium_15871.wav", "duration": 9.66, "text": "We have some issues in these big geographies that we talked about that we have to work our way out, Brazil and India being key ones."}, {"path": "tedlium_15872.wav", "duration": 9.66, "text": "the holistic solution, which means not just the learning platform but also the learning experience and the learning content."}, {"path": "tedlium_15873.wav", "duration": 9.66, "text": "While this will represent a small part of the assortment, we believe this will add more variety and excitement within our stores to further engage existing customers and drawing new ones."}, {"path": "tedlium_15874.wav", "duration": 9.66, "text": "It's a pretty complicated algorithm, but it basically prioritizes above all keeping the shipment together, because"}, {"path": "tedlium_15875.wav", "duration": 9.66, "text": "using Whisper and I think this by themselves will be a huge demo and promoters for our new technology."}, {"path": "tedlium_15876.wav", "duration": 9.66, "text": "However, we believe that our success in moving our guest's purchase decision earlier in the year creates more opportunity for stable and consistent growth and overall results."}, {"path": "tedlium_15877.wav", "duration": 9.66, "text": "I am excited about the company position, and against our strong market backdrop, we are well on track to meet or exceed our full year financial commitments"}, {"path": "tedlium_15878.wav", "duration": 9.66, "text": "you must be under earning in that segment. Can you give us some sense of how much you are under earning by, whether it's in terms of margins or dollars?"}, {"path": "tedlium_15879.wav", "duration": 9.66, "text": "much more money per product on innovation today than what we were historically, which we believe is helping to drive these integrated suites, and therefore drive"}, {"path": "tedlium_15880.wav", "duration": 9.66, "text": "we think we can find a better time that will make the deal more accretive rather than just market down in order to make it accretive. And that's our philosophy,"}, {"path": "tedlium_15881.wav", "duration": 9.66, "text": "typically occur in the fourth quarter, which happened this year and drove a 10 basis point reduction in our net yield compared to the third quarter rate."}, {"path": "tedlium_15882.wav", "duration": 9.66, "text": "to ensure that any risks identified and controls put in place in the program of work would have been effective in preventing these terrible accidents."}, {"path": "tedlium_15883.wav", "duration": 9.66, "text": "This diversification is helping to offset the revenue impact of a product cancellation by our leading Mobility customer."}, {"path": "tedlium_15884.wav", "duration": 9.66, "text": "That is really a best guess and it's based on what we've observed, and I think other companies have observed as well,"}, {"path": "tedlium_15885.wav", "duration": 9.66, "text": "And that number also includes a 20% increase in domestic new construction activity with the concentration in our higher end brands."}, {"path": "tedlium_15886.wav", "duration": 9.66, "text": "there are enough opportunities. Concerning the Chinese economy, we are relatively optimistic. Of course, there are a lot of potential problems,"}, {"path": "tedlium_15887.wav", "duration": 9.66, "text": "very aggressive when we go out and we want to be realistic. So 2 to 4 looks extremely good and kind of"}, {"path": "tedlium_15888.wav", "duration": 9.66, "text": "right? And Indonesia is the classic model for what this model can do in a downturn, where you can control working capital, still get a return, still creates value,"}, {"path": "tedlium_15889.wav", "duration": 9.66, "text": "we have a lot to learn before we do any further rollouts. So we have no plans for any further rollout the rest of this year. What you will see is some of our newer Shacks open with them,"}, {"path": "tedlium_15890.wav", "duration": 9.66, "text": "with all localized therapies is that you can deliver the medicine directly into the lung without an overlapping toxicity of a systemic therapy"}, {"path": "tedlium_15891.wav", "duration": 9.66, "text": "the brain is adequately perfused to prevent or to ablate dizziness. So you don't see a perfect correlation between blood pressure and symptoms."}, {"path": "tedlium_15892.wav", "duration": 9.66, "text": "transfer contacts in customers from one side of the business to the other. And we've done already quite a bit of analysis around understanding"}, {"path": "tedlium_15893.wav", "duration": 9.66, "text": "In late June 2018, we closed on a strategic acquisition related to our Redyard center in Auburn, a suburb of Sydney."}, {"path": "tedlium_15894.wav", "duration": 9.66, "text": "and that is to associate the clinical activity of tipifarnib with the biomarker or some other criteria. And that allows us to enrich the patient population."}, {"path": "tedlium_15895.wav", "duration": 9.66, "text": "And we're able to generate new hires off campus in the low double digits, and we've had really good retention."}, {"path": "tedlium_15896.wav", "duration": 9.66, "text": "Within the Finance practice, consultants continued to support universities and related parties involved in litigation over their employee retirement plans."}, {"path": "tedlium_15897.wav", "duration": 9.66, "text": "What I can say definitively, outside of our observations, is that the lead flow in new project originations coming into the firm"}, {"path": "tedlium_15898.wav", "duration": 9.66, "text": "We also adjusted the IFRS 9 model allowance compared to our original assumptions given the portfolio's good performance in terms of risk."}, {"path": "tedlium_15899.wav", "duration": 9.66, "text": "Then the company had the Materials Handling vehicle makers test the batteries for a few more months. Then we finally got the initial purchase order."}, {"path": "tedlium_15900.wav", "duration": 9.66, "text": "Earnings growth also benefited from a decrease in the provision for credit losses to 20 basis points of average loans compared to 32 basis points last year"}, {"path": "tedlium_15901.wav", "duration": 9.66, "text": "We continue to see strong demand for our Japanese export logs and expect average log sales realizations in the second quarter to be similar to the first quarter."}, {"path": "tedlium_15902.wav", "duration": 9.66, "text": "Domestic log inventories are at normal levels, with supply and demand largely balanced as supply returned to the market following first quarter's severe storms."}, {"path": "tedlium_15903.wav", "duration": 9.66, "text": "Growth in our P2P business, continued deceleration of eBay and lower cross-border volumes contributed to the reduction in transaction take rate."}, {"path": "tedlium_15904.wav", "duration": 9.66, "text": "We will continue to return capital to shareholders through our quarterly dividend from a combination of excess cash on hand and earnings for the foreseeable future."}, {"path": "tedlium_15905.wav", "duration": 9.66, "text": "In addition, we are leveraging our strong relationships with the publishers to reach their entertainment counterparts and develop additional unique products."}, {"path": "tedlium_15906.wav", "duration": 9.66, "text": "We also remained committed to our long-standing strategy to deliver profitable growth through a combination of organic and acquisition growth initiatives."}, {"path": "tedlium_15907.wav", "duration": 9.66, "text": "Being my last call, I would like to emphasize that it has been a great pleasure to interact with everyone in the last few years."}, {"path": "tedlium_15908.wav", "duration": 9.66, "text": "many of which are more dependent on driving efficiencies and expanding into new products and new markets than they are on underlying market growth."}, {"path": "tedlium_15909.wav", "duration": 9.66, "text": "Also related to capital allocation, you may have noticed that we made significant share repurchases during the quarter, which Kevin will address later in the call."}, {"path": "tedlium_15910.wav", "duration": 9.66, "text": "one that is solely in our control, where we can fundamentally change how customers experience Groupon and how merchants can effectively use our marketplace to grow their businesses."}, {"path": "tedlium_15911.wav", "duration": 9.66, "text": "Imagine being able to detect your risk of developing lung cancer with a simple nasal swab collected at the doctor's office or at your local pharmacy."}, {"path": "tedlium_15912.wav", "duration": 9.66, "text": "Can you review the timing of the rail rate increases? Did you start paying higher rates on January 1 or is all of the rate increase"}, {"path": "tedlium_15913.wav", "duration": 9.66, "text": "And when you think of a hotel, we are currently only participating in the chairs -- the upholstery fabric for chairs"}, {"path": "tedlium_15914.wav", "duration": 9.66, "text": "You can measure our success in many ways, but the most important measure is that we have helped millions of people live better lives."}, {"path": "tedlium_15915.wav", "duration": 9.66, "text": "to predict not only the exact go-live dates for some of these deals, but then how that revenue is going to flow, what uptake is going to be from a variable nature,"}, {"path": "tedlium_15916.wav", "duration": 9.66, "text": "and when we adjusted it, the volume came back. Now we did plan that pricing, but we'd planned it much later in the year when green would support it."}, {"path": "tedlium_15917.wav", "duration": 9.66, "text": "These pricing actions are in advance of the lower green coffee costs we expect to realize later in the fiscal year."}, {"path": "tedlium_15918.wav", "duration": 9.66, "text": "By disproportionately investing in these key growth brands and platforms, we will better align our portfolio with changing consumer eating patterns,"}, {"path": "tedlium_15919.wav", "duration": 9.66, "text": "Obviously, there has been a lot of concerns around Germany given what we've seen from some of the macro data there. Your sales were actually down very modestly."}, {"path": "tedlium_15920.wav", "duration": 9.66, "text": "the men and women that are out in each of our markets that go to work every day. We think this is one of the best businesses in the country and one of the best"}, {"path": "tedlium_15921.wav", "duration": 9.66, "text": "many of the sanctioned projects that are actually coming on are not provided in the quality that gas utilities in particular would look to prioritize."}, {"path": "tedlium_15922.wav", "duration": 9.66, "text": "Simon, I honestly don't think that these things are any different in the context of the way we've thought about"}, {"path": "tedlium_15923.wav", "duration": 9.66, "text": "That is why I call our technology transformative. Our imaging technology has created a whole new way of thinking."}, {"path": "tedlium_15924.wav", "duration": 9.66, "text": "on that data, and it's really promising information. So we think that if we can get this on label just as visualization,"}, {"path": "tedlium_15925.wav", "duration": 9.66, "text": "taxes and interest expense. Note that this will be the last quarter of coffee dilution as we lap the close of last year's coffee transactions."}, {"path": "tedlium_15926.wav", "duration": 9.66, "text": "I hope and believe that this will create a change in the Americas, but it's too early to say and it's too early to say hurray for the 1 quarter."}, {"path": "tedlium_15927.wav", "duration": 9.66, "text": "You will find a reconciliation table on our website as part of our press release and in the Form 8-K submitted to the SEC."}, {"path": "tedlium_15928.wav", "duration": 9.66, "text": "and so that translates to having some screen failures that we originally didn't expect. But it's the right thing for a clinical study and having those"}, {"path": "tedlium_15929.wav", "duration": 9.66, "text": "as we sit here now given the backlogs we see and discussions we have with customers and public funding developments and all the things we've talked about, I think we would be"}, {"path": "tedlium_15930.wav", "duration": 9.66, "text": "In addition, certain transitory cost issues, such as our transition to new more efficient ships, will be behind us by the end of the year."}, {"path": "tedlium_15931.wav", "duration": 9.66, "text": "I'm glad to report we have no other aircraft with MAS. The 777 we repossessed is the only one of its kind in our fleet and is 17 years old."}, {"path": "tedlium_15932.wav", "duration": 9.66, "text": "we have really seen shifts in pricing and pricing structures at this point. I mean, at this point, we still have pricing, which has"}, {"path": "tedlium_15933.wav", "duration": 9.66, "text": "and dependable mission-critical networks with the lowest total cost of ownership. This has been the foundation for an increase in our win rate."}, {"path": "tedlium_15934.wav", "duration": 9.66, "text": "and increased our focus on operational efficiencies, which has allowed us to better address the demand of our worldwide customer base."}, {"path": "tedlium_15935.wav", "duration": 9.66, "text": "And in doing so, that, of course, created a great opportunity for our competitors now to go in. Because while they were using one of our products, they chose that product."}, {"path": "tedlium_15936.wav", "duration": 9.66, "text": "On the acquisition front, we're targeting companies that allow us to leverage our network and benefit from our investments in technology."}, {"path": "tedlium_15937.wav", "duration": 9.66, "text": "A wider spread and a global risk environment that doesn't give the impression that there could be a credit"}, {"path": "tedlium_15938.wav", "duration": 9.66, "text": "it's noticeable relative to the strong trend that you've had over the last 3 years of market share gains in that segment. Can you talk maybe about"}, {"path": "tedlium_15939.wav", "duration": 9.66, "text": "Adjusted results exclude key items which are unusual, nonoperational or restructuring in nature. We believe this approach enhances the understanding of our ongoing business."}, {"path": "tedlium_15940.wav", "duration": 9.66, "text": "Among these factors are fluctuations in quarterly and annual results, incurrence of net losses, adverse effects of management focusing on implementation of a growth strategy,"}, {"path": "tedlium_15941.wav", "duration": 9.66, "text": "I'd like to point out that many of our employees responded with urgency when a family member, friend, coworker or even a complete stranger needed help."}, {"path": "tedlium_15942.wav", "duration": 9.66, "text": "reinforce the great things about our communications products, bring friends closer to together and, at the same time, provide more distribution to really high-quality content. So I think we're trying to stay"}, {"path": "tedlium_15943.wav", "duration": 9.66, "text": "We also saw gains in ad performance, both in terms of view time and engagement, as well as an overall increase in our average revenue per user when compared to the prior design."}, {"path": "tedlium_15944.wav", "duration": 9.66, "text": "This conference call includes forward-looking statements. Any statement that refers to expectations, projections or other characterizations of future events,"}, {"path": "tedlium_15945.wav", "duration": 9.66, "text": "And we feel '19 is exactly in -- is in line and contributing to our overall goals. So we're not really changing our expectations for the"}, {"path": "tedlium_15946.wav", "duration": 9.66, "text": "Their objective is to support and develop our store managers and our more junior store-level employees so that they will be able to step in the store management positions in the future."}, {"path": "tedlium_15947.wav", "duration": 9.66, "text": "which began in the second half of 2016, designed to continue to open up capacity in our growing markets and help combat a tight labor market, in particular, the Midwest."}, {"path": "tedlium_15948.wav", "duration": 9.66, "text": "based largely on a very good cash cost performance at some of our key assets. This came despite stronger currency and higher fuel prices."}, {"path": "tedlium_15949.wav", "duration": 9.66, "text": "We have the right plan in place, and we're successfully executing against our plan with the utmost urgency."}, {"path": "tedlium_15950.wav", "duration": 9.66, "text": "the process can be delayed when data requirements for customers adding new HMS products is greater than they initially anticipated."}, {"path": "tedlium_15951.wav", "duration": 9.66, "text": "As our product revenue increases and we close more end-to-end solutions sales, we expect to see our recurring revenue base stabilize."}, {"path": "tedlium_15952.wav", "duration": 9.66, "text": "but I do want to call your attention to the breadth of product categories across Building Technologies launched within the quarter and over the last few weeks."}, {"path": "tedlium_15953.wav", "duration": 9.6599375, "text": "But to be put in context, this adjustment is, obviously, due to the uncertainties in the market and despite this extremely difficult market environment,"}, {"path": "tedlium_15954.wav", "duration": 9.63, "text": "The company does not provide any assurances that such applications will receive regulatory approvals. Oculus disclaims any obligation to update these"}, {"path": "tedlium_15955.wav", "duration": 9.63, "text": "It seems like it has stabilized now. And of course, we carefully talked about, if we could say that this was temporary. We did see it as temporary."}, {"path": "tedlium_15956.wav", "duration": 9.63, "text": "Anything specific you guys can attribute that to specifically here for Q4? One of it is simply the mathematical outcome"}, {"path": "tedlium_15957.wav", "duration": 9.63, "text": "And most of it is pretty normal routine, a couple of projects on the drawing board that hopefully will give us some incremental revenue and"}, {"path": "tedlium_15958.wav", "duration": 9.63, "text": "companies start reducing discretionary expenses or projects related for the future because they hunker down to deal with the present. And"}, {"path": "tedlium_15959.wav", "duration": 9.63, "text": "Moving to Slide 12, let's take a look at our free cash flow calculation for the 9 months ended September 30, and I'll close with some balance sheet comments."}, {"path": "tedlium_15960.wav", "duration": 9.63, "text": "This demonstrates the highly cash generative nature of the group and the fact that we turn profit after tax into cash after tax."}, {"path": "tedlium_15961.wav", "duration": 9.63, "text": "Let me move forward and spend a couple of minutes talking about capital markets and our balance sheet. We were quiet with regard to the general capital markets activities during the quarter."}, {"path": "tedlium_15962.wav", "duration": 9.63, "text": "as well as soft corporate profit growth or in some cases declines over last few years have created a macro environment that has not generated a robust corporate lodging demand."}, {"path": "tedlium_15963.wav", "duration": 9.63, "text": "And with that, I will turn the call back to Ashton for a few comments regarding our investment portfolio as well as the investing environment before we open the call to questions."}, {"path": "tedlium_15964.wav", "duration": 9.63, "text": "And I do want to say that while we are always working to increase our revenues, we are as much focused on maintaining and increasing profitability as well."}, {"path": "tedlium_15965.wav", "duration": 9.63, "text": "at very good contract pricing to folks such as ourselves that have significant capabilities"}, {"path": "tedlium_15966.wav", "duration": 9.63, "text": "And as a result, MoChi is a very interesting design alternative in order to address a broader set of the market"}, {"path": "tedlium_15967.wav", "duration": 9.63, "text": "This was slightly offset by a decline in the value of our Agency RMBS and associated hedges as spreads on shorter duration hybrid ARMs"}, {"path": "tedlium_15968.wav", "duration": 9.63, "text": "With these initiatives, we will be able to strengthen our position in delivering above-market growth while enhancing the quality of this growth."}, {"path": "tedlium_15969.wav", "duration": 9.63, "text": "kind of raising all boats? And what is your view of market penetration at this point? And then secondly, have you begun to see any meaningful pickup in higher density"}, {"path": "tedlium_15970.wav", "duration": 9.63, "text": "that's appetizing in the more full service upscale segment that you want to be in? Or are those prices just too aspirational also on the part of the seller?"}, {"path": "tedlium_15971.wav", "duration": 9.63, "text": "our overseas projects. So we hope that our capital expenditures on overseas projects are going to be lower."}, {"path": "tedlium_15972.wav", "duration": 9.63, "text": "Our South Africa plants continue to generate cash at the project level, and we are actively working to clear the defaults and remove the restrictions on the cash distributions."}, {"path": "tedlium_15973.wav", "duration": 9.63, "text": "Our first priority has been to evolve from being a buying organization to a streamlined category management team, which is more in line with industry protocol."}, {"path": "tedlium_15974.wav", "duration": 9.63, "text": "Therefore, we have decided to remove all artificial sweeteners, flavors, colors and preservatives from any product that carries our brand."}, {"path": "tedlium_15975.wav", "duration": 9.63, "text": "As Gregg mentioned, quoting and overall activity has been on the rise, which has created a much more positive environment for our customers and our energy businesses."}, {"path": "tedlium_15976.wav", "duration": 9.63, "text": "We were very pleased with our ability to sustain our strong gross profit margin throughout 2016. Our FIFO gross profit margin"}, {"path": "tedlium_15977.wav", "duration": 9.63, "text": "in places such as Oklahoma, North Dakota and Louisiana, to name a few. Excluding Houston, we note that RevPAR for our hotels in these U.S. markets"}, {"path": "tedlium_15978.wav", "duration": 9.63, "text": "This makes the oil and gas industry an enormous consumer of steel. There are literally hundreds of steel mills around the world that manufacture OCTG pipe of all sizes, weights and grades"}, {"path": "tedlium_15979.wav", "duration": 9.63, "text": "in particular the process optimization projects, which has seen us improve gold recoveries and achieve improvements in the availability of the autoclave circuit."}, {"path": "tedlium_15980.wav", "duration": 9.63, "text": "We're currently offering this test commercially and have just hired 2 sales representatives and a product manager to more aggressively market the test."}, {"path": "tedlium_15981.wav", "duration": 9.63, "text": "you help us by comparing and contrasting what you think PlanGrid's particular strengths were versus the other competitors in that space?"}, {"path": "tedlium_15982.wav", "duration": 9.63, "text": "And we believe that the ability to attract a broader and more diverse investor base should benefit all equity-holders and enable us to be valued accordingly."}, {"path": "tedlium_15983.wav", "duration": 9.63, "text": "On top of this, we are also expecting a substantial increase in our total dollar content"}, {"path": "tedlium_15984.wav", "duration": 9.63, "text": "As Kevin mentioned, our real estate strategy calls for the infill of existing markets as we look to optimize the profitability and the efficiencies in our current footprint."}, {"path": "tedlium_15985.wav", "duration": 9.63, "text": "Overall, the CHC International segment realized strong performance in the quarter as the team continued to actively integrate sales strategies with promotional programs"}, {"path": "tedlium_15986.wav", "duration": 9.63, "text": "The ideal patient would be both one that's potentially in an institution, in a hospital environment as well as an outpatient"}, {"path": "tedlium_15987.wav", "duration": 9.63, "text": "we're very aligned on the dosing for this, so it's really just trying to reconcile things that were done previously with a different method to things that have been"}, {"path": "tedlium_15988.wav", "duration": 9.63, "text": "internal growth model. Now looking back to what we've done over the first half of this year, this is exactly it. We have"}, {"path": "tedlium_15989.wav", "duration": 9.63, "text": "reported on June 30 and accounted for as equity. And the net debt impact of change in parameter and others,"}, {"path": "tedlium_15990.wav", "duration": 9.63, "text": "We recognize that this will be an area of key debate as it represents a significant opportunity in driving operational efficiency and returns."}, {"path": "tedlium_15991.wav", "duration": 9.63, "text": "some relative flatness in some other brands and several very specific issues related to a few of our shows that are constraining this year's overall organic growth."}, {"path": "tedlium_15992.wav", "duration": 9.63, "text": "This strongly positions Amicus to become the consolidator of some of the greatest gene therapy technologies, products and minds in the field,"}, {"path": "tedlium_15993.wav", "duration": 9.63, "text": "Therefore, for the first quarter, we anticipate modest improvements in most businesses, offset by challenges that will persist through mid-Q1 in our subsea business unit,"}, {"path": "tedlium_15994.wav", "duration": 9.63, "text": "We are working with an outside agency to improve our marketing and outreach. I expect these actions to start to show results by"}, {"path": "tedlium_15995.wav", "duration": 9.63, "text": "So is it fair to say that the earnings contribution is also 75%? Because it sounds from Barry's comments like it might be a little more profitable."}, {"path": "tedlium_15996.wav", "duration": 9.63, "text": "is a huge opportunity for us to both innovate as well as drive throughput even further on our consumer-facing line as well as our second make-line."}, {"path": "tedlium_15997.wav", "duration": 9.63, "text": "What we need to do is we need to make certain that the quality of the top line is found on the bottom line, rather than having a larger top line. So"}, {"path": "tedlium_15998.wav", "duration": 9.63, "text": "Yes. I wouldn't want to comment on any particular deal. But as I think about our strategy, it's really the same strategy. I mean, if you look back over,"}, {"path": "tedlium_15999.wav", "duration": 9.63, "text": "I think it would be relevant to bring to your attention that the midpoint of our guidance range has not changed since February when we gave guidance"}, {"path": "tedlium_16000.wav", "duration": 9.63, "text": "But we can also work with customers, say in the Permian that may be sourcing regional sand while preferring our wellsite solution."}, {"path": "tedlium_16001.wav", "duration": 9.63, "text": "There are a few areas in the world that can match the low-cost environment of the KRI and provide such a material return on investments."}, {"path": "tedlium_16002.wav", "duration": 9.63, "text": "And obviously, we're still improving our network, particularly in the northeast, but that's nothing like building out as we did in 2016, vastly cheaper."}, {"path": "tedlium_16003.wav", "duration": 9.63, "text": "We're focused on transparency with the investment community and so as these things come in, we want to make sure that we're keeping you updated and then just given the"}, {"path": "tedlium_16004.wav", "duration": 9.63, "text": "and commission income, coupled with the specific loan-loss provisions taken during the year. With that said, I'll now pass it back to Peter for some closing remarks."}, {"path": "tedlium_16005.wav", "duration": 9.63, "text": "We see excellent opportunities to seed new alternative funds along with new clients, which can be run from our existing platform."}, {"path": "tedlium_16006.wav", "duration": 9.63, "text": "advantage of whatever kind of legislation occurs. But I think it's too early for me to comment on how that would change our capital allocation right now."}, {"path": "tedlium_16007.wav", "duration": 9.63, "text": "that volume tends to go to you. Have you looked at the opportunity that might present for you and given any sizing of that? And then is there any update"}, {"path": "tedlium_16008.wav", "duration": 9.63, "text": "appetite is very hard to monitor in cats. We showed that in a pilot study, so that's why looking at weight gain, I think, is the appropriate place to go."}, {"path": "tedlium_16009.wav", "duration": 9.63, "text": "We have heard from companies talking about weather impact and all. I was wondering if there's any weather impact in your first quarter guidance or is it just seasonal"}, {"path": "tedlium_16010.wav", "duration": 9.63, "text": "in the process of taking in all of these variables today to think about where we'd go from here, and we've got a lot of options. And we don't take the"}, {"path": "tedlium_16011.wav", "duration": 9.63, "text": "Our diversified revenue base in AMS continued to provide strong organic growth. Filtration and transportation were the key drivers,"}, {"path": "tedlium_16012.wav", "duration": 9.63, "text": "with our medical business also delivering solid full year results. Infrastructure, construction and industrial sales were generally flat for the year."}, {"path": "tedlium_16013.wav", "duration": 9.63, "text": "We generated nearly 16 million leads to our comparison partners, as consumers shopped around for the best deals on everything from the utility bills to their mortgage providers."}, {"path": "tedlium_16014.wav", "duration": 9.63, "text": "And as usual, our team did a great job. So on behalf of all Peyto shareholders, I just like to say thank you for the big team effort out there in the field and here in the office."}, {"path": "tedlium_16015.wav", "duration": 9.63, "text": "That's our expectation sitting here today. And on the commodities side, Mike, what I would say is I would expect to see those start to moderate a little bit, notwithstanding"}, {"path": "tedlium_16016.wav", "duration": 9.63, "text": "We recently engaged consultants to help with this process and are in the early stages of identifying and quantifying cost-saving opportunities within the business."}, {"path": "tedlium_16017.wav", "duration": 9.63, "text": "Looking at the full year, we'll continue to take advantage of healthy demand and grow our volume business much better than expected, which optimizes our operating profit."}, {"path": "tedlium_16018.wav", "duration": 9.63, "text": "and financial architecture laid out for you at the Securities Analyst Meeting in 2017. I'm looking forward to closing out the fiscal year with another strong quarter."}, {"path": "tedlium_16019.wav", "duration": 9.63, "text": "some thoughts on what might happen in the tariff landscape and how you might be preparing for various eventualities and how we might"}, {"path": "tedlium_16020.wav", "duration": 9.63, "text": "We continue to look at ways we can optimize our voice pricing while taking advantage of the very attractive demographics that we see in these markets."}, {"path": "tedlium_16021.wav", "duration": 9.63, "text": "I view it as a better risk profile. We really do have a more stable footing for both the client and MAXIMUS with these revisions."}, {"path": "tedlium_16022.wav", "duration": 9.63, "text": "along with the Chicken Parmesan Sandwich and our Crispy Buffalo Chicken Melt. These also had a favorable impact on increasing our average check."}, {"path": "tedlium_16023.wav", "duration": 9.63, "text": "And what is also important is this is not supposed to jeopardize the implementation of our strategy. It is to -- this year"}, {"path": "tedlium_16024.wav", "duration": 9.63, "text": "There is no more questions coming in. We are going to conclude today's conference call. Thank you for your participation. Thank you."}, {"path": "tedlium_16025.wav", "duration": 9.63, "text": "A few weeks later, Hurricane Irma displaced many people and left large portions of Florida and Georgia with extensive property damage and without power."}, {"path": "tedlium_16026.wav", "duration": 9.63, "text": "and the addition of 6 million digitally registered customers who are not yet rewards members but who have established a digital connection with Starbucks."}, {"path": "tedlium_16027.wav", "duration": 9.63, "text": "The biggest change is in how we scale up distribution and physical availability of our mass luxury brands by using our broader sales force."}, {"path": "tedlium_16028.wav", "duration": 9.63, "text": "In fact, this was the best annual adjusted credit segment operating income Conn's has produced in 5 years."}, {"path": "tedlium_16029.wav", "duration": 9.63, "text": "adjustments annually in our contracts around wages is fairly common in the industry, and it's certainly reflected on a portion of our agreement."}, {"path": "tedlium_16030.wav", "duration": 9.63, "text": "A human capital business must care about people, how to attract the best people, how to retain them and how best to match them to great client work."}, {"path": "tedlium_16031.wav", "duration": 9.63, "text": "This approach will strengthen our ability to deliver on the circle of quality philosophy. Great talent is attracted by great clients and great projects."}, {"path": "tedlium_16032.wav", "duration": 9.63, "text": "you don't really need to assess whether you've had enough reduction to mitigate the disease, you just don't have the disease anymore. So"}, {"path": "tedlium_16033.wav", "duration": 9.63, "text": "we do not only trust Chinese people. We trust value and nurture"}, {"path": "tedlium_16034.wav", "duration": 9.63, "text": "So I can't pinpoint to any particular area that is driving the growth. I think it's quite spread out, which"}, {"path": "tedlium_16035.wav", "duration": 9.63, "text": "I would not take into consideration this as an indication for the future. As we said in the past that we expect the floaters margin to be"}, {"path": "tedlium_16036.wav", "duration": 9.63, "text": "I never thought I'd run into pickles, peanuts, and I looked at this pickle harvesting machine and I just kind of smiled."}, {"path": "tedlium_16037.wav", "duration": 9.63, "text": "This focus drove an overall increase in gross profit. Growing revenue primarily through sales of subscription and perpetual licenses will continue to be our focus."}, {"path": "tedlium_16038.wav", "duration": 9.63, "text": "in the second quarter, based on our demand profile. And we feel pretty optimistic that, that trend will continue on an upward tick through the balance of the year."}, {"path": "tedlium_16039.wav", "duration": 9.63, "text": "As an investor in JDE, we remain very confident in the long-term potential of the business and believe it will create significant value for its shareholders."}, {"path": "tedlium_16040.wav", "duration": 9.63, "text": "but we're also making the investments and the data capabilities in our big data engines inside our company today. So we feel really good about that opportunity."}, {"path": "tedlium_16041.wav", "duration": 9.63, "text": "against the historical margin structure. And just trying to think about the prospects for improving that going forward or how we should think about the puts and takes there."}, {"path": "tedlium_16042.wav", "duration": 9.63, "text": "Turning briefly to the highlights of Era's Q1 results, I am pleased to report that despite the challenging conditions in the oil and gas industry,"}, {"path": "tedlium_16043.wav", "duration": 9.63, "text": "was a coauthor of a paper that won the best theoretical paper award for 2018 from the International Journal of Industrial Organizations."}, {"path": "tedlium_16044.wav", "duration": 9.63, "text": "The current quarter net investment spread results included returns on noncoupon investments and prepayment fees slightly above our average expectations."}, {"path": "tedlium_16045.wav", "duration": 9.63, "text": "Finally, I would like to mention that I will be at the Oppenheimer Industrial Conference in New York on May 11, The Stephens Roadshow on May 12 in Boston"}, {"path": "tedlium_16046.wav", "duration": 9.63, "text": "and it takes time to determine what you need to do to improve the turkey performance. There's a bit of a learning curve here, and I think that we're"}, {"path": "tedlium_16047.wav", "duration": 9.63, "text": "These programs have been focused on maximizing viewability and duration of ad play for advertisers and improving circulation retention"}, {"path": "tedlium_16048.wav", "duration": 9.63, "text": "positively impacting the results during the first half of the year, but insufficient to compensate for the impact of the higher weather-related claims."}, {"path": "tedlium_16049.wav", "duration": 9.63, "text": "we're conservative in setting those prices. We don't have a lot of history across all of the various tests and across all of the various payers. And so"}, {"path": "tedlium_16050.wav", "duration": 9.63, "text": "The network effects of our scale continue to accelerate. Our breadth of services and products go well beyond checkout,"}, {"path": "tedlium_16051.wav", "duration": 9.63, "text": "Yes, there's a little bit there. It's actually more up in China actually where we saw some of that. And if you have a look at the provision, you'll actually see they've gone up as well. So we took"}, {"path": "tedlium_16052.wav", "duration": 9.63, "text": "and those that do buy spend more money on collectibles than they do on video game, an encouraging dynamic given the growth projections we noted earlier."}, {"path": "tedlium_16053.wav", "duration": 9.63, "text": "And while there are clear principles that will be implemented likely the same here in Colombia as they are in other places, it'll depend upon"}, {"path": "tedlium_16054.wav", "duration": 9.63, "text": "I'm starting on Slide 3. We're very pleased that encorafenib and binimetinib New Drug Applications and Marketing Authorization Applications"}, {"path": "tedlium_16055.wav", "duration": 9.63, "text": "And while I still see a lot of opportunity for improvement, we are pleased with the direction we were headed in relation to sales."}, {"path": "tedlium_16056.wav", "duration": 9.63, "text": "I believe in the second half, things will improve for sure over the first half."}, {"path": "tedlium_16057.wav", "duration": 9.63, "text": "more detailed question just on if you could explain the impact of -- revenue impact of moving to split contracts on the mobile side in Belgium and"}, {"path": "tedlium_16058.wav", "duration": 9.63, "text": "And finally, our RV revenue grew by nearly 6%. We have been focused on converting existing renters to owners and are pleased with the trend we are seeing."}, {"path": "tedlium_16059.wav", "duration": 9.63, "text": "maybe not exactly adjacent to the pipeline that are actually not served with natural gas. So I think there's some longer-term benefits there, in addition to more security and"}, {"path": "tedlium_16060.wav", "duration": 9.63, "text": "In terms of why we are more positive, I think we have seen -- we are seeing a lowering of expectations"}, {"path": "tedlium_16061.wav", "duration": 9.63, "text": "While we continue to deliver cars out of that facility that meet our customer's expectations, the cost of doing so is far too high."}, {"path": "tedlium_16062.wav", "duration": 9.63, "text": "And we've developed a new business model for hospitals. ZIOPHARM will provide patients and caregivers with a solution that addresses the cost and complexity"}, {"path": "tedlium_16063.wav", "duration": 9.63, "text": "to avoid the threat of ad blockers and provide their digital viewers with a better live-viewing experiences as ads are stitched into the live streams."}, {"path": "tedlium_16064.wav", "duration": 9.63, "text": "and so we're seeing a little better on the aftermarket. But it's definitely -- primarily what we're getting is the new aircraft with higher content coming through."}, {"path": "tedlium_16065.wav", "duration": 9.63, "text": "In Chile, we have the recent openings of the office towers in our mall in Concepcion with a leasing area around 11,000 square meters"}, {"path": "tedlium_16066.wav", "duration": 9.63, "text": "current quarter net income was favorably impacted by a decrease in contingent consideration expense and stock compensation expense related to acquisitions."}, {"path": "tedlium_16067.wav", "duration": 9.63, "text": "but if you look like guys like San'an, their income statement is very good and it looks like they don't have many access to capital issues. They have a pretty healthy utilization rate."}, {"path": "tedlium_16068.wav", "duration": 9.63, "text": "We also ask our operating companies to do that as well. And I think the Tektronix team really came back with this understanding that, hey, by combining with the Telestream business,"}, {"path": "tedlium_16069.wav", "duration": 9.63, "text": "Our technical team has been modifying our drilling and completion procedures based on our results and the results of our offset operators."}, {"path": "tedlium_16070.wav", "duration": 9.63, "text": "In addition, the highly competitive and weak short-term rental market was particularly challenging and had a significant negative impact on Canada's EBIT in the fourth quarter."}, {"path": "tedlium_16071.wav", "duration": 9.63, "text": "And we're in the second or third inning of the introduction of these products. So we see a lot more growth potential"}, {"path": "tedlium_16072.wav", "duration": 9.63, "text": "compared with the previous year. Another negative factor was an increase in personnel cost and some development orders this year."}, {"path": "tedlium_16073.wav", "duration": 9.63, "text": "Additionally, we also have a large inventory of other area 2 locations from which to choose, if we were to change the drilling schedule to add in more in Area 2 drilling."}, {"path": "tedlium_16074.wav", "duration": 9.63, "text": "feel very, very good about the amount of work that we have in the pipeline, the number of relationships that we have with opportunities for expansion."}, {"path": "tedlium_16075.wav", "duration": 9.63, "text": "I mean, I guess, we had open minds and it proved to us to be a lot more valuable to us than we suspected going in, but we"}, {"path": "tedlium_16076.wav", "duration": 9.63, "text": "we will not look at doing any type of share repurchase, but eventually, that will most likely be what we do first. But obviously,"}, {"path": "tedlium_16077.wav", "duration": 9.63, "text": "and the reason we can do that is because we have a well-developed infrastructure. And secondly, if an additional flow line is required to"}, {"path": "tedlium_16078.wav", "duration": 9.63, "text": "Investment income did decline on a sequential basis, related primarily to some additional bond amortization we had to take on a few of our European portfolios,"}, {"path": "tedlium_16079.wav", "duration": 9.63, "text": "Yes. Brooks, Gary is spot on with that. It probably isn't a surprise, but I would imagine probably not too far of a stretch for you to think that"}, {"path": "tedlium_16080.wav", "duration": 9.63, "text": "a more evenly distributed and durable drug effect and a lower incidence of downstream drug particulates as compared to earlier generations of drug-coated balloons."}, {"path": "tedlium_16081.wav", "duration": 9.63, "text": "We made this filing in a very similar manner to what other companies in the state have done, showing a very similar benefit to cost ratio."}, {"path": "tedlium_16082.wav", "duration": 9.63, "text": "Following my remarks, John will be sharing some data we presented at ASCO, the American Society for Clinical Oncology meeting."}, {"path": "tedlium_16083.wav", "duration": 9.63, "text": "but we need a bridge solution to keep the units that are important to our customers in place so that they're available once we do have a carbon signal in the market."}, {"path": "tedlium_16084.wav", "duration": 9.63, "text": "Our other markets combined saw shipment growth of over 6%. This is much more in line with expectation and trend."}, {"path": "tedlium_16085.wav", "duration": 9.63, "text": "but relative to other titles and other occasions that make sense for folks, for example, a big Star Wars theme around May 4. So we're seeing a growth"}, {"path": "tedlium_16086.wav", "duration": 9.63, "text": "As you recall in our last earnings call, we told you that the first quarter 2017 would look a lot like fourth quarter 2016 and that's right about where we landed."}, {"path": "tedlium_16087.wav", "duration": 9.63, "text": "We've seen one of the competitors effectively raise prices. Is it something that you are looking to do also to improve your ARPU? Or"}, {"path": "tedlium_16088.wav", "duration": 9.63, "text": "I fully expect us to return to our more typical organic growth levels after a couple of quarters, and our team is intensely focused on this."}, {"path": "tedlium_16089.wav", "duration": 9.63, "text": "Turning to operations. I'd like to go over the second quarter results and some of the changes we have made to our current 2-year plan -- operational plan."}, {"path": "tedlium_16090.wav", "duration": 9.63, "text": "The strategic realignment that we did of our sales and service organization within Environmental Services at the start of this year is really working well."}, {"path": "tedlium_16091.wav", "duration": 9.63, "text": "looking at that, and we're working to provide additional disclosures. But we need to determine what information would be most useful"}, {"path": "tedlium_16092.wav", "duration": 9.63, "text": "an ad medium that creates demand for cars and pampers and vacations and insurance products and political votes."}, {"path": "tedlium_16093.wav", "duration": 9.63, "text": "a lot of our businesses, if they're selling in a currency, they're also going to have a lot of their costs in the currency. Now there are exceptions where we are selling"}, {"path": "tedlium_16094.wav", "duration": 9.63, "text": "Under our fourth priority, increasing operating margins, we continue to optimize our entire organization to make us more productive to improve expense control."}, {"path": "tedlium_16095.wav", "duration": 9.63, "text": "very different that would allow us to have a higher free cash flow and probably closer to what George is saying."}, {"path": "tedlium_16096.wav", "duration": 9.63, "text": "Given the rapidly expanding physician customer base and positive experience with MACI, as evidenced by accelerating volume growth,"}, {"path": "tedlium_16097.wav", "duration": 9.63, "text": "On Page 7, the emissions market has become an increasingly complex with an increased industry focus on emissions controls and monitoring."}, {"path": "tedlium_16098.wav", "duration": 9.63, "text": "meeting with KOLs and continuing to educate there. That is going to be the theme that you've heard from me that will just continue on and on."}, {"path": "tedlium_16099.wav", "duration": 9.63, "text": "We have said in the past that we would only consider repurchasing any of those Twin Reefs preferred shares at a discount, and we were able to do that"}, {"path": "tedlium_16100.wav", "duration": 9.63, "text": "And not to give -- when we talk about scale, scale doesn't happen on its own. And the most important driver to help with scale is"}, {"path": "tedlium_16101.wav", "duration": 9.63, "text": "That's why we need to have a combination of a price combination that in the short term you manage to preserve"}, {"path": "tedlium_16102.wav", "duration": 9.63, "text": "Under Dave, the company changed dramatically. We broadened our scale meaningfully. We diversified the geography of our platform significantly."}, {"path": "tedlium_16103.wav", "duration": 9.63, "text": "waiting to see if there was an increased competition amongst the Internet banks. But what we actually saw was that several banks"}, {"path": "tedlium_16104.wav", "duration": 9.63, "text": "So Allison, it's Steve, I want to just give a little bit of -- I want to put this in context here and then I'd like David and Carl to weigh in on it. So"}, {"path": "tedlium_16105.wav", "duration": 9.63, "text": "So you had said that the sales cycle is much longer on something like this. Based on your response to my question, it looks like,"}, {"path": "tedlium_16106.wav", "duration": 9.63, "text": "of the price and also because of the available cash we've had from our really strong working capital management and the inventory reductions we've had during the year."}, {"path": "tedlium_16107.wav", "duration": 9.63, "text": "In addition, we completed integration of the first re-engined Antares, which we will roll out for testing next week at the launch pad at the Wallops Flight Facility."}, {"path": "tedlium_16108.wav", "duration": 9.63, "text": "frankly much stronger than we were modeling. And I wanted to dig into this a little bit more. You talked about some of the things that are"}, {"path": "tedlium_16109.wav", "duration": 9.63, "text": "and the incremental investments in product and sales capacity, all generally in line with the Q1 expectations we set for you last quarter."}, {"path": "tedlium_16110.wav", "duration": 9.6299375, "text": "And so we strategically made the decision that it made sense for us to ramp up some of our finished goods inventory to make sure that we were able to fulfill demand"}, {"path": "tedlium_16111.wav", "duration": 9.6000625, "text": "a new multiyear contract with a leading global fast food company and a new multiyear contract with a New York-based financial services firm."}, {"path": "tedlium_16112.wav", "duration": 9.6000625, "text": "The first one is concerning the refinancing of the hybrid bond, if we could give more information on that?"}, {"path": "tedlium_16113.wav", "duration": 9.6000625, "text": "quality metrics are nearing the point that a detailed discussion of asset quality is no longer necessary. We will, however, continue to provide more than sufficient data for your review."}, {"path": "tedlium_16114.wav", "duration": 9.6000625, "text": "Negotiations for the sale of the Melbourne Domestic Terminal are well advanced, and we are expecting to receive the proceeds in the second half."}, {"path": "tedlium_16115.wav", "duration": 9.6, "text": "know the importance of maintaining a rigorous management approach and that the discipline which we"}, {"path": "tedlium_16116.wav", "duration": 9.6, "text": "The results in the first 2 quarters are in line with our expectations. The inflow ARPU is somewhat lower than last year because we unbundled content."}, {"path": "tedlium_16117.wav", "duration": 9.6, "text": "in assuming that in track channels, it's likely to be about flat. So we're certainly watching that carefully as well as the competitive landscape. The other thing we're going to continue to watch is foreign currency."}, {"path": "tedlium_16118.wav", "duration": 9.6, "text": "Good morning, ladies and gentlemen. I admit, to sit here as CEO of the company is a very different experience"}, {"path": "tedlium_16119.wav", "duration": 9.6, "text": "that we'll likely see the same type of phenomenon we saw in other studies, where the mean on study attack rate will be about twice the minimum criterion."}, {"path": "tedlium_16120.wav", "duration": 9.6, "text": "generally, our experience has been that you get approximately twice the main on study as the minimum attack rate."}, {"path": "tedlium_16121.wav", "duration": 9.6, "text": "We continue to operate below the median of comparable U.S. banks due to the relatively lower credit-risk density of our balance sheet."}, {"path": "tedlium_16122.wav", "duration": 9.6, "text": "Finally, I would like to add a few words about transforming our business structure, as mentioned in the previous management direction progress review."}, {"path": "tedlium_16123.wav", "duration": 9.6, "text": "You've pivoted your adviser business. I think you have an underappreciated balance sheet and now there is a potential earnings impact from the changes in the corporate tax rates we just mentioned."}, {"path": "tedlium_16124.wav", "duration": 9.6, "text": "a wonderful element of a hospital challenge strategy that the company has changed. And we believe we can find a suitable home for it,"}, {"path": "tedlium_16125.wav", "duration": 9.6, "text": "Before we get started, please note that certain statements during today's presentation that are not statements of historical fact, including statements concerning such items"}, {"path": "tedlium_16126.wav", "duration": 9.6, "text": "It is what has driven us to not just acquire Starwood but to try and compete with 30 different brands and have the kind of"}, {"path": "tedlium_16127.wav", "duration": 9.6, "text": "we feel very strongly that an investment conversation that includes deposits has got to be a key part of our primary banking strategy."}, {"path": "tedlium_16128.wav", "duration": 9.6, "text": "Steve will take you through the details of our financial results in a moment, so let me shift my discussion to update you on our progress against our strategic priorities."}, {"path": "tedlium_16129.wav", "duration": 9.6, "text": "And our eVolve drilling automation products and services are delivering significant improvements in drilling efficiencies and gaining more traction with customers around the world."}, {"path": "tedlium_16130.wav", "duration": 9.6, "text": "as any such prepayments of debt would previously have counted against us in the fixed charge coverage ratio and ultimately would have been limited by this covenant."}, {"path": "tedlium_16131.wav", "duration": 9.6, "text": "in many of our core markets, such as Eastern Canada, Arizona, Georgia, Colorado and New Mexico, while dramatically increasing our presence"}, {"path": "tedlium_16132.wav", "duration": 9.6, "text": "And with the benefit of an improved balance sheet that can withstand gold price volatility, we have greater flexibility to invest in sustaining and growing the business into the future."}, {"path": "tedlium_16133.wav", "duration": 9.6, "text": "Former Clarient and NeoGenomics senior and middle management people and teams have been effectively reorganized to manage our combined operations."}, {"path": "tedlium_16134.wav", "duration": 9.6, "text": "capability in flow cytometry. We're actually adding some capability through work that we've done with this support vector machine"}, {"path": "tedlium_16135.wav", "duration": 9.6, "text": "many of their knees were done and navigated, probably the highest percentage in the world. So they were -- for them, it's an easy adoption to move from navigated knees to robotic."}, {"path": "tedlium_16136.wav", "duration": 9.6, "text": "most of the businesses that are of a certain size and quality today probably launched sometime in the late '80s or early '90s. And just"}, {"path": "tedlium_16137.wav", "duration": 9.6, "text": "The slight decrease in our quarter-over-quarter margins was attributable to the increased waiting of our international business and our domestic customer mix."}, {"path": "tedlium_16138.wav", "duration": 9.6, "text": "constantly operational efficiency in terms of quality of service and also efficiency and financial"}, {"path": "tedlium_16139.wav", "duration": 9.6, "text": "I'm also extremely pleased to report that we had our best quarter ever for enterprise bookings in Q2. Our pipeline reached another all-time high as well."}, {"path": "tedlium_16140.wav", "duration": 9.6, "text": "It probably doesn't make us, it doesn't make sense for us to own the long term, so I would see us in 2 or 3 years not this year"}, {"path": "tedlium_16141.wav", "duration": 9.6, "text": "including those plans, beliefs and expectations of our officers and directors with respect to, among other things, gaining access to global markets,"}, {"path": "tedlium_16142.wav", "duration": 9.6, "text": "call it, food safety applications that are in development and just about to be released. What that will do is to expand our market opportunity,"}, {"path": "tedlium_16143.wav", "duration": 9.6, "text": "expect the margin to be more stable over the course of 2016? Or are you going to -- how"}, {"path": "tedlium_16144.wav", "duration": 9.6, "text": "With that overview, I'll turn the call over to Christian to review the numbers before returning for a summary and your questions. Thank you, Carl, and good morning, everyone."}, {"path": "tedlium_16145.wav", "duration": 9.6, "text": "I would also like to draw your attention to the financial information included in this management discussion and analysis presentation,"}, {"path": "tedlium_16146.wav", "duration": 9.6, "text": "I'm sort of wondering if this has to do with the environment or if this has to do with certain things that you're doing to ALW that"}, {"path": "tedlium_16147.wav", "duration": 9.6, "text": "Non-GAAP information is not prepared under a comprehensive set of accounting rules and should only be used to supplement an understanding of the company's operating results"}, {"path": "tedlium_16148.wav", "duration": 9.6, "text": "where we're just -- we've laid down a few frac crews, a few rigs and it doesn't take much slack in that market for it to really impact pricing. So I think it's just a"}, {"path": "tedlium_16149.wav", "duration": 9.6, "text": "The plans Scott put in place last fall have created a culture of accountability in the field. Our design to provide a great guest experience and are built on a strong foundation of food safety."}, {"path": "tedlium_16150.wav", "duration": 9.6, "text": "and the joint working group is now validating the results. And yes, you may have heard about funny results,"}, {"path": "tedlium_16151.wav", "duration": 9.6, "text": "The trend toward larger deployments is continuing, which is consistent with the discussions we are having with numerous hyperscale and enterprise customers about potential solutions across"}, {"path": "tedlium_16152.wav", "duration": 9.6, "text": "We cannot move forward without making the investments to differentiate ourselves through our unique offerings, which will further reduce the complexity of shipping for our clients."}, {"path": "tedlium_16153.wav", "duration": 9.6, "text": "doing a good job with their existing legacy business but they're also doing a good job picking up new business, and importantly our Financial Services business"}, {"path": "tedlium_16154.wav", "duration": 9.6, "text": "So I don't know -- I would give it a little while longer for the relationship to settle in and see where the profitability actually lands before I"}, {"path": "tedlium_16155.wav", "duration": 9.6, "text": "revision of the sales assumptions in the second half of '17, any reason for that changing, I know, recently you talked about few tens of millions in the back half, and"}, {"path": "tedlium_16156.wav", "duration": 9.6, "text": "The other certain items of any significance, the fair value amortization and the mark-to-market, we see those in most quarters and we've discussed them in the past."}, {"path": "tedlium_16157.wav", "duration": 9.6, "text": "until we see additional demand. The additional production that we got from the first 6 wells or so was enough to take care of what we think we need. So"}, {"path": "tedlium_16158.wav", "duration": 9.6, "text": "The company assumes no obligation to update forward-looking statements whether as a result of new information, future events or otherwise other than as required by law."}, {"path": "tedlium_16159.wav", "duration": 9.6, "text": "Thanks. You've mentioned that both of these are centered around the GalXC platform and the potential utility of that in a broader set of targets,"}, {"path": "tedlium_16160.wav", "duration": 9.6, "text": "as the pattern of deployments follow a step function with very large steps even if the underlying end-user demand grows more evenly."}, {"path": "tedlium_16161.wav", "duration": 9.6, "text": "As a result of this significant reduction in the proportion of rigs on standby, total average rig operating cost per day during the fourth quarter increased"}, {"path": "tedlium_16162.wav", "duration": 9.6, "text": "which not only includes structured finance and investor relations but also all financial and accounting responsibilities typically performed"}, {"path": "tedlium_16163.wav", "duration": 9.6, "text": "and that just goes through cycles that take longer to reactivate than maybe the short-term product where there's more lead providers, which you can turn back on a little more quickly."}, {"path": "tedlium_16164.wav", "duration": 9.6, "text": "We continue to provide valuable support in this innovative product category and consider ourselves well positioned when sales growth accelerates again."}, {"path": "tedlium_16165.wav", "duration": 9.6, "text": "you've got lots of subcategories. So for example, Andy touched on the change to the advertising rules within broadband. That was a negative"}, {"path": "tedlium_16166.wav", "duration": 9.6, "text": "it's really -- it's going to be building a foundation time for us. There's going to be large investments made or we have been making, and we're going to follow through on things like training surgeons and"}, {"path": "tedlium_16167.wav", "duration": 9.6, "text": "And then the second question is regarding the VA. I understand from some -- from talks with some of your competitors that there is sometimes"}, {"path": "tedlium_16168.wav", "duration": 9.6, "text": "And obviously, at the growth rate, volume will play a little bit of a role. I don't like that to be the excuse for not driving productivity. But I think if we do those things,"}, {"path": "tedlium_16169.wav", "duration": 9.6, "text": "as expectations for continued low interest rates support strong production volumes and healthy margins throughout the industry."}, {"path": "tedlium_16170.wav", "duration": 9.6, "text": "if that's new business driving the increase or reprocurement. I know there's some comments there that over 50% is new. I'm wondering how that also compares to"}, {"path": "tedlium_16171.wav", "duration": 9.6, "text": "Okay. And then to understand the divestitures, I know that they're small, but was there a certain growth profile that just didn't make your"}, {"path": "tedlium_16172.wav", "duration": 9.6, "text": "We've got a great balance sheet, strong free cash flows and a good acquisition pipeline as we think about the balance of 2016 and certainly into the future."}, {"path": "tedlium_16173.wav", "duration": 9.6, "text": "I think that the idea that you need to build a one-on-one relationship with your customer, something that we've been saying now for almost 20 years is probably more true than ever"}, {"path": "tedlium_16174.wav", "duration": 9.6, "text": "We do this by benchmarking the optimum cost of all elements of a product to its sales value and to competitive benchmarks."}, {"path": "tedlium_16175.wav", "duration": 9.6, "text": "Crown Royal lapped the launch of the highly successful Regal Apple innovation in the second half. And both it and Crown Royal Deluxe grew."}, {"path": "tedlium_16176.wav", "duration": 9.6, "text": "which has been a meaningful contributor to pre-provision net revenue growth over the past several years, to contribute significantly to growth in net interest income."}, {"path": "tedlium_16177.wav", "duration": 9.6, "text": "We plan for the integration of Wellington's and Today's at speed and are convinced that it will make a positive contribution in the short term."}, {"path": "tedlium_16178.wav", "duration": 9.6, "text": "and much more diversity and breadth of content than what those 2 to 3 subscription services that they are generally willing to pay for have to offer."}, {"path": "tedlium_16179.wav", "duration": 9.6, "text": "The net result of adding these lower rate loans to our branch, small and convenience check portfolios is that the yield has declined as the mix shifted."}, {"path": "tedlium_16180.wav", "duration": 9.6, "text": "So it's a good question because we've obviously not been that great in trying to update the market on the fact that we are progressing some"}, {"path": "tedlium_16181.wav", "duration": 9.6, "text": "tire in any place in the world. But when you get down to it in the range, there is no one in the world"}, {"path": "tedlium_16182.wav", "duration": 9.6, "text": "As a result, we've made a number of changes to our operational team over the past couple of years to battle the downturn and build our team around the One Titan model."}, {"path": "tedlium_16183.wav", "duration": 9.6, "text": "are forward-looking statements and are subject to risks and uncertainties that could cause such statements to differ materially from actual future events or results."}, {"path": "tedlium_16184.wav", "duration": 9.6, "text": "our backlog and production forecasts indicate we will see a sequential improvement each quarter from the base set in the first quarter."}, {"path": "tedlium_16185.wav", "duration": 9.6, "text": "While we knew these factors were a risk for the year, the headwinds firmed up earlier than anticipated and begin impacting us within the last 90 days."}, {"path": "tedlium_16186.wav", "duration": 9.6, "text": "there's typically a lot of the larger contracts come up for bids in the spring and summer"}, {"path": "tedlium_16187.wav", "duration": 9.6, "text": "ahead of implementing in terms of employee engagement and change readiness assessment. So there's quite a heavy quality assurance program sitting over"}, {"path": "tedlium_16188.wav", "duration": 9.6, "text": "In conclusion, we believe the challenging industry conditions and the offshore oil and gas helicopter market are likely to persist for the next several quarters."}, {"path": "tedlium_16189.wav", "duration": 9.6, "text": "Against the backdrop of spread compression in the broader credit markets, we maintained our asset selector mentality,"}, {"path": "tedlium_16190.wav", "duration": 9.6, "text": "Already you mentioned you don't have much clarity on what will happen on the macro, so you don't have anything to share"}, {"path": "tedlium_16191.wav", "duration": 9.6, "text": "channel is very much tied into oil and gas, either directly or indirectly when you have a direct exposure to oil and gas when you're renting equipment into the"}, {"path": "tedlium_16192.wav", "duration": 9.6, "text": "These investments continue to be made organically and may be areas of focus for us from an acquisition standpoint in the future."}, {"path": "tedlium_16193.wav", "duration": 9.6, "text": "The combination of our retail products and expertise and MTY's broader reach will position us for future success in this area."}, {"path": "tedlium_16194.wav", "duration": 9.6, "text": "Amidst weaker macroeconomic data, we continue to view these targets as reasonable based on the progress we're seeing in our operational initiatives,"}, {"path": "tedlium_16195.wav", "duration": 9.6, "text": "Certain costs below segment income need to be normalized to align with the post-spin SPX. Corporate expense includes costs for individuals and other expenditures"}, {"path": "tedlium_16196.wav", "duration": 9.6, "text": "Thanks, Jason. Before I discuss our outlook, I want to reflect for a moment on how our business has evolved over the past 4 years and more importantly,"}, {"path": "tedlium_16197.wav", "duration": 9.6, "text": "Yes, it's hard to tell, but what we do know is we did not have the inventory we plan to have and use. We just couldn't find quality inventory. We're not going to"}, {"path": "tedlium_16198.wav", "duration": 9.6, "text": "That said, we will participate in this consultation and are currently evaluating the various questions and proposals put forth by the government in the paper."}, {"path": "tedlium_16199.wav", "duration": 9.6, "text": "We are also continuing our improvements in responsible compliant sourcing, both independently and in cooperation with the regulators."}, {"path": "tedlium_16200.wav", "duration": 9.6, "text": "In short, we believe, affordable tuition and high academic quality provides differentiation and serves national interest by helping working adults succeed in their professions."}, {"path": "tedlium_16201.wav", "duration": 9.6, "text": "a company based on solid foundations with an efficient structure and ready to face the challenges the market poses with a great performance potential."}, {"path": "tedlium_16202.wav", "duration": 9.6, "text": "Along with the emphasis on contents and product, the Tinkoff acquisition machine is revving up to double our active customer base in the next few years."}, {"path": "tedlium_16203.wav", "duration": 9.6, "text": "addicted to opioids based on a whole series of factors we're able to take from the data that we would have around those individuals, their prescribers, their conditions and so forth."}, {"path": "tedlium_16204.wav", "duration": 9.6, "text": "an inquiry, an official inquiry to see how we can run the company with more transparency. But the short-term"}, {"path": "tedlium_16205.wav", "duration": 9.6, "text": "and where there may be opportunities ahead that we can capitalize on. It's been an amazing experience overall, and I'm encouraged and energized by the opportunities I see for our company."}, {"path": "tedlium_16206.wav", "duration": 9.6, "text": "we -- that's not going to inhibit anything we do. One other thing I would tell you. About 3 weeks ago, I got to go to Dallas because we got named"}, {"path": "tedlium_16207.wav", "duration": 9.6, "text": "When you're talking about seasonal business, you make a change in Christmas '15, that change now"}, {"path": "tedlium_16208.wav", "duration": 9.6, "text": "We achieved solid results from each of our business segments and remain steadfast on managing costs and operating efficiently."}, {"path": "tedlium_16209.wav", "duration": 9.6, "text": "The second transaction was our acquisition of companies owned by the Bass family, which more than doubled our Permian Basin resources."}, {"path": "tedlium_16210.wav", "duration": 9.6, "text": "And we just won't buy cattle under a certain level. And so the fixed investment is still very low relative to the opportunity. And so"}, {"path": "tedlium_16211.wav", "duration": 9.6, "text": "we continue to be comfortable with this level of charge-offs, given the yield that we're generating off of our portfolio. So effectively, we look at"}, {"path": "tedlium_16212.wav", "duration": 9.6, "text": "again, we don't have any specific time line, but what I can say is at this stage, we are looking at offering it as an additional feature"}, {"path": "tedlium_16213.wav", "duration": 9.6, "text": "for a replay of this broadcast. It should be available later this evening and also a copy of the presentation material. Thank you."}, {"path": "tedlium_16214.wav", "duration": 9.6, "text": "The first indications are promising about the take up and inflow value of these propositions and our ability to upsell additional content packages."}, {"path": "tedlium_16215.wav", "duration": 9.6, "text": "and profitability. 2015 was a year of outstanding execution and of setting the stage for the future with some exciting growth initiatives."}, {"path": "tedlium_16216.wav", "duration": 9.6, "text": "but our top priority is transformation and then we'll strive to achieve the targets of this fiscal year."}, {"path": "tedlium_16217.wav", "duration": 9.6, "text": "it's interesting because in some business plans, we actually see no material change in profits, yet we're showing these kind of negative fair value adjustments just because"}, {"path": "tedlium_16218.wav", "duration": 9.6, "text": "we actually want to do it now. So we have a very strong economy. It's certainly good for the people that if we do make any changes that the opportunity for them to get jobs is high."}, {"path": "tedlium_16219.wav", "duration": 9.6, "text": "I'll be updating you on our progress at our annual meeting in May and for some of you as we go back on the road with our story of growth and financial strength this spring."}, {"path": "tedlium_16220.wav", "duration": 9.6, "text": "Second, in August, we completed the exchange offer for our Auction Market Preferred Shares, or AMPS, which we discussed in detail during our last earnings call,"}, {"path": "tedlium_16221.wav", "duration": 9.6, "text": "selling time productivity as we go forward. So that's an area that's getting a lot of work. We continue to invest in just core ERP capabilities"}, {"path": "tedlium_16222.wav", "duration": 9.6, "text": "kind of our view of the world and anticipate where commodity prices were going and working with our customers around efforts to recover"}, {"path": "tedlium_16223.wav", "duration": 9.6, "text": "had an incentive that we earned for the first time this last year. Now it's a small amount, a few hundred thousand dollars, but we actually earned an incentive in our gas business."}, {"path": "tedlium_16224.wav", "duration": 9.6, "text": "Yes. It's a great question. That is a trend we continue to see, and we expect that trend to continue to grow. Private label or store brand or convenience in the case of our business in Europe,"}, {"path": "tedlium_16225.wav", "duration": 9.6, "text": "Additionally, certain non-GAAP financial measures will be discussed on this conference call. The company's presentation of this information is not intended to be considered in isolation"}, {"path": "tedlium_16226.wav", "duration": 9.6, "text": "Longer term, we believe that the favorable impact from our strategic programs will return growth to CDI with multi-year growth averaging high single digits"}, {"path": "tedlium_16227.wav", "duration": 9.6, "text": "Yes, Barrett, this is Barry. First of all, let me say that this was not a surprise to us. We spend a lot of time with Devon on the Barnett property."}, {"path": "tedlium_16228.wav", "duration": 9.6, "text": "we have a business space that we have continued for quite some time. Now, going forward, in terms of the base or the foundation of this business,"}, {"path": "tedlium_16229.wav", "duration": 9.6, "text": "It's not necessarily quality with a customer, which is very good, but it's our quality cost that will go down and will improve our profitability as a whole."}, {"path": "tedlium_16230.wav", "duration": 9.6, "text": "and we do have the lots for that to happen. But as Bill mentioned earlier, the timing of when communities roll off and when new ones roll on,"}, {"path": "tedlium_16231.wav", "duration": 9.6, "text": "I was also pleased to see growth in average fares for the first time in about 2 years. And despite some drag from our reservation system conversion,"}, {"path": "tedlium_16232.wav", "duration": 9.6, "text": "Regarding our ongoing litigation with Apple, the Markman hearing took place on October 18. As a reminder, this is the claim construction hearing,"}, {"path": "tedlium_16233.wav", "duration": 9.6, "text": "and we continue to have confidence in the strengths of our IP. We remained optimistic about the future monetization opportunities in the gaming market."}, {"path": "tedlium_16234.wav", "duration": 9.6, "text": "let's say, unsatisfactory profitability is the weak demand on the industrial customers area. And now when we remember that"}, {"path": "tedlium_16235.wav", "duration": 9.6, "text": "With this, I'd like to thank you all for your attention. We're going to be available through all the respective channel to answer any other questions that you may have on our results,"}, {"path": "tedlium_16236.wav", "duration": 9.6, "text": "expectations and projections, they are not guarantees of future performance and a variety of factors could cause actual results to differ materially."}, {"path": "tedlium_16237.wav", "duration": 9.6, "text": "which, as you can see in the earnings deck, has been a significant increase and steady increase in our source of funding."}, {"path": "tedlium_16238.wav", "duration": 9.6, "text": "has been one of our greatest advantages because we can do the right thing when the markets crater, and"}, {"path": "tedlium_16239.wav", "duration": 9.6, "text": "Unlike a lot of our other managers in the field, I've been at the company a long time. And like them, I take the success of the company very seriously and very personally."}, {"path": "tedlium_16240.wav", "duration": 9.6, "text": "is an excellent number. You're starting to see now in our projections that the franchise is leverageable at the improvement that we're forecasting in the efficiency rate."}, {"path": "tedlium_16241.wav", "duration": 9.6, "text": "We then increased it to the -- basically, the end of March curves, which were substantially higher. So we already increased guidance"}, {"path": "tedlium_16242.wav", "duration": 9.6, "text": "The volume decline in part can be attributed to a temporary shortage of solvents in the marketplace, which has subsequently been alleviated."}, {"path": "tedlium_16243.wav", "duration": 9.6, "text": "All segments and geographies contributed to our success, and this is a broad-based credit to our sales team for their collaboration with our customers,"}, {"path": "tedlium_16244.wav", "duration": 9.6, "text": "to start these -- or have made some investments to start some of these new master service agreements, and so we always want to make sure we have enough liquidity there."}, {"path": "tedlium_16245.wav", "duration": 9.6, "text": "We remain confident that our competitively unparalleled scale and our financial strength position us well to deliver valuable service to our customers."}, {"path": "tedlium_16246.wav", "duration": 9.5999375, "text": "of the acquisitions of Murray Pest Control and Scientific Pest Control in Australia, as well as various Orkin acquisitions throughout the year."}, {"path": "tedlium_16247.wav", "duration": 9.5700625, "text": "Per our business model, we remain on the lookout for potential future acquisitions to add on to our existing businesses as we continue to scale."}, {"path": "tedlium_16248.wav", "duration": 9.5700625, "text": "and the advance rates are set semiannually. I will hand over to Diarmuid now to review the credit highlights and the closing comments."}, {"path": "tedlium_16249.wav", "duration": 9.57, "text": "help us to understand how it was you generated that line. It's obviously much higher than people are expecting. And the extent to which the income you have there is occurring?"}, {"path": "tedlium_16250.wav", "duration": 9.57, "text": "But in other cases, they're good assets but they're not located in chemical parks or there's issues with logistics and transportation that we're working through. But you will see us"}, {"path": "tedlium_16251.wav", "duration": 9.57, "text": "And if there's any significant issues in that, we would have to stop the trial. And so we feel really comfortable with the safety profile around all those"}, {"path": "tedlium_16252.wav", "duration": 9.57, "text": "So then you have to look at patterns. And the patterns are usually stronger first half than the second half because of"}, {"path": "tedlium_16253.wav", "duration": 9.57, "text": "the possibility that we might actually convert also to having superiority at week 52. But I will stress, in terms of regulatory precedents,"}, {"path": "tedlium_16254.wav", "duration": 9.57, "text": "more than commenting specifically on this year's margin, I'd say going forward beyond with the operational leverage built into the business"}, {"path": "tedlium_16255.wav", "duration": 9.57, "text": "and in many cases, the same client handles more than just the coal, the clients that want to work with partners that they've known for many years."}, {"path": "tedlium_16256.wav", "duration": 9.57, "text": "I guess I'd say efficiently. Thankfully for us we've been able to raise capital versus where we believe we would price out were we to be"}, {"path": "tedlium_16257.wav", "duration": 9.57, "text": "Management fees will noticeably grow as a result of fundraising, beginning in the second half, as we turn on fees in certain of the newer funds."}, {"path": "tedlium_16258.wav", "duration": 9.57, "text": "strictly a financial figure, but it is very important from economic and social point of view, we have a very strong commitment in"}, {"path": "tedlium_16259.wav", "duration": 9.57, "text": "And in such anniversary year, for the first time in our 92-year history, we achieved both record revenues and operating profit."}, {"path": "tedlium_16260.wav", "duration": 9.57, "text": "in terms of whether you think a regulatory approval will be granted and how you think the competitive dynamics in the Dutch markets will actually change."}, {"path": "tedlium_16261.wav", "duration": 9.57, "text": "We plan to use the proceeds from both of these facilities for working capital and general corporate purposes along with funding our future expansion plans."}, {"path": "tedlium_16262.wav", "duration": 9.57, "text": "This was the highest quarterly result in 7 years and was primarily driven by growth within our university operations and lower teach-out obligations."}, {"path": "tedlium_16263.wav", "duration": 9.57, "text": "realize that they've probably been overly restrictive in terms of what they are doing in the used car space. That's actually been"}, {"path": "tedlium_16264.wav", "duration": 9.57, "text": "but also in the long term to continue to build the competitiveness of Clas Ohlson and making sure that our customers come to us for their shopping."}, {"path": "tedlium_16265.wav", "duration": 9.57, "text": "does that include cutted employee getting restated because of currency? I mean, if not, what would that have looked like if you haven't got the benefit of sterling weakness"}, {"path": "tedlium_16266.wav", "duration": 9.57, "text": "operating margins -- or EBITDA margins. But we are going to continue to work each of these categories as we continue to transform the company,"}, {"path": "tedlium_16267.wav", "duration": 9.57, "text": "As we continue making investments in these areas, we expect to see the benefit reflected across more of this segment over the coming quarters."}, {"path": "tedlium_16268.wav", "duration": 9.57, "text": "We understand that investors will always be concerned about the semiconductor business cycle, but our Q3 outlook demonstrate that these concerns should be mitigated."}, {"path": "tedlium_16269.wav", "duration": 9.57, "text": "including the expansion of buildings and equipment at our locations in Washington, Missouri, Mexicali, Mexico and Fredonia, Kansas."}, {"path": "tedlium_16270.wav", "duration": 9.57, "text": "and the backlog and outlook are improving from this segment. Mistras has demonstrated its ability to manage through the volatile oil and gas market."}, {"path": "tedlium_16271.wav", "duration": 9.57, "text": "but we also focused on improving our working capital management throughout the organization and made good progress in managing our accounts receivable."}, {"path": "tedlium_16272.wav", "duration": 9.57, "text": "And finally, we are investing to improve customer service and data analytics in an effort to drive both higher volume and profitability."}, {"path": "tedlium_16273.wav", "duration": 9.57, "text": "Please note that the following discussion of our results is based on the comparable revenues and cost of revenues as reported in our press release."}, {"path": "tedlium_16274.wav", "duration": 9.57, "text": "in today's earnings announcement. The reconciliation of non-GAAP financial measures to the most directly comparable GAAP financial measures"}, {"path": "tedlium_16275.wav", "duration": 9.57, "text": "I also think just in terms of diversity, we're just seeing it really across almost all of our markets."}, {"path": "tedlium_16276.wav", "duration": 9.57, "text": "In the context of our strong balance sheet and high levels of cash generation, let me remind you of how we efficiently utilize our cash."}, {"path": "tedlium_16277.wav", "duration": 9.57, "text": "The increase reflects benefits of mix, volume and pricing measures in the Americas and integration initiatives."}, {"path": "tedlium_16278.wav", "duration": 9.57, "text": "I believe that the first half of next year will be largely a recovery period where we will start to stabilize the business that's been integrated."}, {"path": "tedlium_16279.wav", "duration": 9.57, "text": "which will have a positive RWA impact in Q3. Losses in the quarter includes specific valuation impacts related to these transactions."}, {"path": "tedlium_16280.wav", "duration": 9.57, "text": "These incremental recurring offerings, such as data feed connectors, will further support the growth of our recurring revenue going forward."}, {"path": "tedlium_16281.wav", "duration": 9.57, "text": "From Belo to the London broadcast stations to KFMB in San Diego, we have consistently demonstrated our ability to meet and beat these hurdles."}, {"path": "tedlium_16282.wav", "duration": 9.57, "text": "The repayment of one of our bonds and the acquisition of the minority shares of the now delisted German subsidiary STRABAG AG in Cologne"}, {"path": "tedlium_16283.wav", "duration": 9.57, "text": "Our overall deposit book shrank this quarter, but with lower loan balances and our desire to increase our loan to deposit ratio, we don't view this as a negative."}, {"path": "tedlium_16284.wav", "duration": 9.57, "text": "I would like to remind you that our comments made today may include forward-looking statements. Any of those statements made by any of us this afternoon are subject to the safe harbor rules."}, {"path": "tedlium_16285.wav", "duration": 9.57, "text": "Aside from the very high prices may be paid for some of these deals, which is an obvious reason why maybe why some have struggled. Is there some other common characteristic that you're seeing"}, {"path": "tedlium_16286.wav", "duration": 9.57, "text": "The next major effort we have underway is growth of the company. While the Ascension contract provides us with significant runway to grow over the next few years,"}, {"path": "tedlium_16287.wav", "duration": 9.57, "text": "and earnings per share from continuing operations, before special items, to grow in the 2% to 3% range compared to the prior year."}, {"path": "tedlium_16288.wav", "duration": 9.57, "text": "Yes. So I'll let Tor comment on the breakage rate in a second. On your first question on pricing, I think I'd answer that"}, {"path": "tedlium_16289.wav", "duration": 9.57, "text": "As we've said before, with what's happened in energy over the last 12 months, the coverage we projected last year and the consolidation transaction has taken a substantial hit."}, {"path": "tedlium_16290.wav", "duration": 9.57, "text": "the euro exchange rate fell, and we also saw a climbing market on the equities market. And"}, {"path": "tedlium_16291.wav", "duration": 9.57, "text": "In summary, we will be able to provide unmatched access to affordable course materials and significantly expand our footprint."}, {"path": "tedlium_16292.wav", "duration": 9.57, "text": "And if the IRP is acknowledged, when could capital start flowing towards that? And would that capital potentially displace"}, {"path": "tedlium_16293.wav", "duration": 9.57, "text": "is helping out and you saw that in the slides as well. So it's focusing on our operations and trying to be as effective as we can going forward."}, {"path": "tedlium_16294.wav", "duration": 9.57, "text": "Property results can be volatile given weather patterns, so a disciplined approach to rate taking and a tight underwriting process is critical for success in this line."}, {"path": "tedlium_16295.wav", "duration": 9.57, "text": "But what would be a normal accident versus weather? But what we do know is that frequency and severity is increasing because of these adverse weather trends,"}, {"path": "tedlium_16296.wav", "duration": 9.57, "text": "We are very comfortable with our liquidity levels. And we will continue to evaluate various financing options for the future maturity."}, {"path": "tedlium_16297.wav", "duration": 9.57, "text": "if I can squeeze last question. Sanjay, just wanted to understand by this time of last couple of years, you had a fair visibility about the growth of the next year."}, {"path": "tedlium_16298.wav", "duration": 9.57, "text": "a slowdown in purchases or intentions to buy based on the new allegations for the current President?"}, {"path": "tedlium_16299.wav", "duration": 9.57, "text": "in the number of agent branches or significant decline. I would expect it to sort of trade sideways, that number of U.K. agency branches. Long term,"}, {"path": "tedlium_16300.wav", "duration": 9.57, "text": "A couple of dealerships have opened already. For those who attend next week you'll see one of the first ones in Kenosha. And we'll be able to talk to you about"}, {"path": "tedlium_16301.wav", "duration": 9.57, "text": "with all things, we tweak it daily almost and try and optimize that for both movement and offsetting"}, {"path": "tedlium_16302.wav", "duration": 9.57, "text": "Finally, we remain highly focused on remediating our systems and working to increase liquidity in our business. Dave will speak to you about this in more detail shortly."}, {"path": "tedlium_16303.wav", "duration": 9.57, "text": "Please feel free to contact Michael or myself directly should you have further questions. Thank you for your time this morning and goodbye. That does conclude today's conference. We thank you all for"}, {"path": "tedlium_16304.wav", "duration": 9.57, "text": "I would encourage those of you who have tuned in live to access the slides now by clicking on the investors in media section and then clicking on events and presentations."}, {"path": "tedlium_16305.wav", "duration": 9.57, "text": "was lower-than-expected margins on the installation of pellet plant equipment. And the second was that we had several new products moving through our shops during the quarter. And remember that"}, {"path": "tedlium_16306.wav", "duration": 9.57, "text": "On this slide, you'll find results for customer minutes lost on the top left of the slide and customer interruptions on the top right."}, {"path": "tedlium_16307.wav", "duration": 9.57, "text": "I'm pleased with our results this quarter. From a strategic perspective, our business model and blueprint for growth are working."}, {"path": "tedlium_16308.wav", "duration": 9.57, "text": "the increasing cost of employing a greater number of physicians and their related support staff and higher employee health benefit expenses in the first quarter."}, {"path": "tedlium_16309.wav", "duration": 9.57, "text": "To make the Wyndham Rewards program even more attractive, we are beginning to leverage our unique portfolio of vacation rental and vacation ownership properties."}, {"path": "tedlium_16310.wav", "duration": 9.57, "text": "Would you anticipate that the -- some of those orders could come to fruition this year, in which case you would see"}, {"path": "tedlium_16311.wav", "duration": 9.57, "text": "However, I'm disappointed that second half revenue was not as high as we initially thought it would be. Several factors contributed."}, {"path": "tedlium_16312.wav", "duration": 9.57, "text": "What type of partners can they be? How many partners they are available? If you can give us, a little bit, a profile of the potential partners."}, {"path": "tedlium_16313.wav", "duration": 9.57, "text": "More details on this reallocation of CapEx in production by business unit can be found in our March 2017 Investor Presentation, which is currently posted on our website."}, {"path": "tedlium_16314.wav", "duration": 9.57, "text": "That is a fair thing to say, yes. We just -- I mean as I said, KLA started just a little more than a year ago and Nordson is just a couple of months old agreement right now."}, {"path": "tedlium_16315.wav", "duration": 9.57, "text": "I still don't quite understand when you say you have better quality revenue in that segment this year than last year,"}, {"path": "tedlium_16316.wav", "duration": 9.57, "text": "came out of the system, it went all the way slowly every day with less and less until the end of March. So by Q2 of this year,"}, {"path": "tedlium_16317.wav", "duration": 9.57, "text": "Our lower middle market companies collectively continue to exhibit very conservative leverage ratios on a relative basis, which Dwayne will cover in greater detail."}, {"path": "tedlium_16318.wav", "duration": 9.57, "text": "will continue to emphasize customer success stories in all of our marketing and sales tactics and continue to evolve our sale strategies for approaching new accounts."}, {"path": "tedlium_16319.wav", "duration": 9.57, "text": "For a reconciliation of such measures to the comparable GAAP measures and a discussion of factors that could cause actual results to differ materially from those in the forward-looking statements,"}, {"path": "tedlium_16320.wav", "duration": 9.57, "text": "At this time, I'll just highlight a few key items. Please note that all the numbers I am about to give have been rounded and are, therefore, approximate."}, {"path": "tedlium_16321.wav", "duration": 9.57, "text": "We expect to continue to generate positive cash flows for calendar year 2017, and we believe that we have sufficient cash resources to fund"}, {"path": "tedlium_16322.wav", "duration": 9.57, "text": "So the third key area of focus is obviously then our managed operations, and we believe they produced a solid performance in a difficult operating environment."}, {"path": "tedlium_16323.wav", "duration": 9.57, "text": "are largely driven by our partnerships. And so having just signed numerous partnerships and relationships in this past quarter, I think, helps us too."}, {"path": "tedlium_16324.wav", "duration": 9.57, "text": "Helping to address that issue is a huge opportunity for consumers and is yet another way that our 2-sided platform is connecting consumers"}, {"path": "tedlium_16325.wav", "duration": 9.57, "text": "specific with profitability of any one part of our business. That's not something we do. But I can give you some color in terms of how we think about this internally."}, {"path": "tedlium_16326.wav", "duration": 9.57, "text": "Some of the work we have been doing in Parchem and Selleys as we originally stretched into civil and commercial construction is another example."}, {"path": "tedlium_16327.wav", "duration": 9.57, "text": "We're adding new products and new technologies in this business that gives us even more confidence in it. So it's really going to be a volume play on a go-forward basis. And they are at"}, {"path": "tedlium_16328.wav", "duration": 9.57, "text": "Our General Counsel is retiring at the end of March, and a search is underway. Our leadership team has a shared passion for excellence and delivering on commitments,"}, {"path": "tedlium_16329.wav", "duration": 9.57, "text": "What I can tell you is we're more active right now in terms of the opportunities we're seeing."}, {"path": "tedlium_16330.wav", "duration": 9.57, "text": "Have you seen a change in that trend at all? Do you still see interest? Or was maybe the economy -- their concern about the economy, is that waning a little bit?"}, {"path": "tedlium_16331.wav", "duration": 9.57, "text": "And for a long time, kind of our strategy was to sell it then ship it from our distribution center. What we've really focused on the last couple of quarters"}, {"path": "tedlium_16332.wav", "duration": 9.57, "text": "I think just now, we're starting to get the ability to go different places. We're seeing that and getting the assortment"}, {"path": "tedlium_16333.wav", "duration": 9.57, "text": "to improve profitability? It seems early this year there has been some fluctuation and early in the year, we have the port factor and"}, {"path": "tedlium_16334.wav", "duration": 9.57, "text": "For an explanation of our non-GAAP financial measures, please refer to Slide 3 of this presentation or to our press release published earlier today."}, {"path": "tedlium_16335.wav", "duration": 9.57, "text": "that was primarily in the first quarter. A reversal of that in the third or fourth quarter would then be a negative and a drag."}, {"path": "tedlium_16336.wav", "duration": 9.57, "text": "Transient revenue in the quarter was slightly ahead of expectations driven by our northern resorts which benefited from warmer weather during late fall."}, {"path": "tedlium_16337.wav", "duration": 9.57, "text": "We will share with our clients and prospects new solutions that build upon the industry-leading clinical programs we have collaborated with them to develop."}, {"path": "tedlium_16338.wav", "duration": 9.57, "text": "who are willing to take bold actions, those who are caring for patients in a way that enable things to be done that drive better outcomes, even though those things may look challenging,"}, {"path": "tedlium_16339.wav", "duration": 9.57, "text": "that there are patients for whom they think oxybate would be a great therapy but for the sodium load and don't prescribe it for that reason"}, {"path": "tedlium_16340.wav", "duration": 9.57, "text": "And it's so easy to take 1, as I said to take 1 developer and compare them with us, but we're actually very much different, we have our footprint,"}, {"path": "tedlium_16341.wav", "duration": 9.57, "text": "Little variation overall, with the upstream oil and gas segment marginally lower while we grew in other segments that have benefited from improved terms of trade."}, {"path": "tedlium_16342.wav", "duration": 9.57, "text": "We didn't announce any new cost increases for next year. It doesn't mean that there won't be any, but we haven't announced anything to the market."}, {"path": "tedlium_16343.wav", "duration": 9.57, "text": "substantially reduced our inventory levels and are continuing to increase our distribution efficiencies. Within our product, category and merchandising teams,"}, {"path": "tedlium_16344.wav", "duration": 9.57, "text": "Hence, we believe it is just the beginning of an emergence of a very new era for our company, one that allows us to cater to merchants"}, {"path": "tedlium_16345.wav", "duration": 9.57, "text": "So what you could do in 50 years in the past in a traditional industry, that in a technology industry, you can do it much faster. And we have been very successful in terms of compressing time."}, {"path": "tedlium_16346.wav", "duration": 9.57, "text": "and Argentina compared lower with the previous year because of the sales of investment properties that we sold more in the last year."}, {"path": "tedlium_16347.wav", "duration": 9.57, "text": "A key component of our strategy is generating cost savings to provide the fuel for investments in top line growth and margin expansion."}, {"path": "tedlium_16348.wav", "duration": 9.57, "text": "This is all in the spirit of increased transparency. But as always, we will be available to answer any questions that you still might have. Now on to the deck."}, {"path": "tedlium_16349.wav", "duration": 9.57, "text": "such statements are forward-looking and are subject to a number of risks and uncertainties that could cause actual results to differ materially from the statements being made."}, {"path": "tedlium_16350.wav", "duration": 9.57, "text": "There will be a short-term dilution to our underlying operating margin and EPS starting from the point of completion, which is expected to be in the middle of the year."}, {"path": "tedlium_16351.wav", "duration": 9.57, "text": "That being said, what we're really going to focus on this year is what do we really need to do from an overall promotional mix to accelerate the growth."}, {"path": "tedlium_16352.wav", "duration": 9.57, "text": "For more information, please refer to our most recent management discussion and analysis and Annual Information Form, which are available on SEDAR, and our company website."}, {"path": "tedlium_16353.wav", "duration": 9.57, "text": "We believe that our current and prospective business mix will result in our networking capital as a percentage of sales to remain within our targeted range"}, {"path": "tedlium_16354.wav", "duration": 9.57, "text": "but we aren't going to be I think overzealous of those investments. We want to see full recovery and make sure that we're investing as the business comes back,"}, {"path": "tedlium_16355.wav", "duration": 9.57, "text": "and it means that now we have unrivaled expertise in this segment. We intuitively understand and can react quickly to different market cycles."}, {"path": "tedlium_16356.wav", "duration": 9.57, "text": "Significant weakness in pricing may affect our ability to achieve these objectives, but we will monitor and make adjustments if the environment is different than what we expect."}, {"path": "tedlium_16357.wav", "duration": 9.57, "text": "Our core businesses continue to perform well and we're benefiting from favorable market developments, profitable portfolio acquisitions and additional leverage."}, {"path": "tedlium_16358.wav", "duration": 9.57, "text": "Despite that backdrop, Russia turned in a solid performance, growing low double digits as a result of pricing actions to offset inflation."}, {"path": "tedlium_16359.wav", "duration": 9.57, "text": "Each individual loan is a little bit different. In some cases, the loans are not prepayable for a period of time."}, {"path": "tedlium_16360.wav", "duration": 9.57, "text": "First, we have introduced the concept of GameStop-branded stores to distinguish from our Technology Brands as well as our ThinkGeek stores."}, {"path": "tedlium_16361.wav", "duration": 9.57, "text": "We believe that we will achieve higher prices for our roughs by selling through Clara and it also provides us with a platform for diversification"}, {"path": "tedlium_16362.wav", "duration": 9.57, "text": "acquiring a large portfolio will clearly be transformative. Maybe that helps win an IG rating. Is that something you guys would be willing to do? At the right price, we would."}, {"path": "tedlium_16363.wav", "duration": 9.57, "text": "Clearly, the ramp in execution of these programs and ongoing support for our core business will require investment. However, the expense actions taken over the last several quarters"}, {"path": "tedlium_16364.wav", "duration": 9.57, "text": "Before we start, I would like to remind you that the presentations and discussions are conducted subject to the disclaimer. We will not read the disclaimer but"}, {"path": "tedlium_16365.wav", "duration": 9.57, "text": "I'm curious about whether or not you are concerned about cannibalization of the Express product. We've talked about Express, one of the reasons it's been successful"}, {"path": "tedlium_16366.wav", "duration": 9.57, "text": "On the Modular Solutions side of our business, which consists of production, transportation and the installation of residential, retail and commercial modular buildings,"}, {"path": "tedlium_16367.wav", "duration": 9.57, "text": "We are expecting a large server program, previously mentioned to make up for this headwind, but we now see delays there going into mass production, pushing that ramp out to next quarter."}, {"path": "tedlium_16368.wav", "duration": 9.57, "text": "I think we probably would have done better. But when you have customers you've been with a very long time, and you feel like you're letting them down, you want to serve them, and you want to be in there with them. And sometimes it's not all,"}, {"path": "tedlium_16369.wav", "duration": 9.57, "text": "But I am just saying, and it's just one competitor that is being particularly aggressive into and out of Southern California, that in a market that all candor,"}, {"path": "tedlium_16370.wav", "duration": 9.57, "text": "We are collaborating across the health care sector to improve quality and value for people and seeking to take our performance for them to significantly higher levels"}, {"path": "tedlium_16371.wav", "duration": 9.57, "text": "the DIY consumer has to visit the store to recycle the oil. They have to return the oil back to the store so there's already a store"}, {"path": "tedlium_16372.wav", "duration": 9.57, "text": "a sign of weakness in Q1. So I do think that's partly driven by the slowdown in China. So we'll be keeping a close eye on that."}, {"path": "tedlium_16373.wav", "duration": 9.57, "text": "We will also continue to manage both overheads and capital deployment aggressively to ensure that every dollar being spent is done for the right reason and to drive the best outcome."}, {"path": "tedlium_16374.wav", "duration": 9.57, "text": "created in '16 a new division that focuses solely on managing money for clients. And here, again, we deployed our services in different levels,"}, {"path": "tedlium_16375.wav", "duration": 9.57, "text": "Also, recall, we tend to have seasonal releases in the first quarter and builds in the third quarter in line with our reserving processes."}, {"path": "tedlium_16376.wav", "duration": 9.57, "text": "Our business was supported by increasing activity within our oil and gas markets, notably evident in smaller to mid-sized projects such as retrofits and upgrades."}, {"path": "tedlium_16377.wav", "duration": 9.57, "text": "we believe the year-over-year growth rates are probably the most relevant way to think about our business. We think it neutralizes the brand seasonality, and it's frankly how our team thinks about managing its business. So"}, {"path": "tedlium_16378.wav", "duration": 9.57, "text": "great opportunities in the aftermath of Brexit, as I mentioned earlier, but it's early days. And I think we will start to see"}, {"path": "tedlium_16379.wav", "duration": 9.57, "text": "It's early days yet about how they will set up and the role that we can play, but we think that with our very strong offering in cargo"}, {"path": "tedlium_16380.wav", "duration": 9.57, "text": "And assuming our results continue to increase and our cash generation continues to increase as guided, then we can possibly pay a little bit more dividend,"}, {"path": "tedlium_16381.wav", "duration": 9.57, "text": "It has to say something about Moab. The future of Moab must have been terrible for you to sell it and then commit to something so risky as"}, {"path": "tedlium_16382.wav", "duration": 9.57, "text": "So again, if you ask me what I would like to see, I'd rather see the forward curves come up and reflect reality in '19 and '20 and take the risk"}, {"path": "tedlium_16383.wav", "duration": 9.57, "text": "Much of our volume decline was expected, as we implemented margin enhancement actions and pruned some unprofitable business."}, {"path": "tedlium_16384.wav", "duration": 9.57, "text": "was there really wasn't a lot of sniddling if you will about demand, okay, other than the guys in our energy"}, {"path": "tedlium_16385.wav", "duration": 9.5699375, "text": "And I'm really excited because there's quite a bit of substance for us to convey to the market inside of this relaunch efforts."}, {"path": "tedlium_16386.wav", "duration": 9.54, "text": "We will continue to look for opportunities to monetize our portfolio investments in transactions that we believe are in the best interest of our shareholders."}, {"path": "tedlium_16387.wav", "duration": 9.54, "text": "I'd like to take this opportunity to state that our focus has been on liquidity, and the following actions have already been undertaken in the last 6 months."}, {"path": "tedlium_16388.wav", "duration": 9.54, "text": "our comment would be the pace of the trend will continue as the growth of the economy continues as the changes that we're watching in terms of the searches that were doing, et cetera,"}, {"path": "tedlium_16389.wav", "duration": 9.54, "text": "we already have installed capacity above 3 million tons of heavy plates. This is a market that"}, {"path": "tedlium_16390.wav", "duration": 9.54, "text": "And said that we were going to really push hard in the near future to really build out our digital capabilities."}, {"path": "tedlium_16391.wav", "duration": 9.54, "text": "More than half of the decline in the earnings for this segment can really be attributed to the impact of our 1 corrugating medium machine"}, {"path": "tedlium_16392.wav", "duration": 9.54, "text": "Our effective tax rate in the prior quarter was positively impacted by the resetting of our deferred tax assets to reflect the increase in New Jersey state rates"}, {"path": "tedlium_16393.wav", "duration": 9.54, "text": "this certainly is not an easy environment to take pricing, we certainly know about price sensitivities on our major brands pretty well."}, {"path": "tedlium_16394.wav", "duration": 9.54, "text": "The overall hours are nearly correct for the day, but the deployment is not yet optimal. This can contribute to a deterioration of service levels during our critical peak hours."}, {"path": "tedlium_16395.wav", "duration": 9.54, "text": "So just the way -- our strategy and the way we do business is just there's inherent growth from the day we bring a project on until it's completely full"}, {"path": "tedlium_16396.wav", "duration": 9.54, "text": "I'm also encouraged by the increase in order intake and backlog in the first quarter. However, market conditions remain uncertain across our territories"}, {"path": "tedlium_16397.wav", "duration": 9.54, "text": "and the first fleets that go back to work are the ones that are on the fence and we are starting to see that, so that's good news and that's what was the driver of Chile"}, {"path": "tedlium_16398.wav", "duration": 9.54, "text": "It's really important for customers to keep their trucks up and running, or their equipment up and running and therefore they need a little bit more equipment, and we haven't seen that yet. But that may"}, {"path": "tedlium_16399.wav", "duration": 9.54, "text": "take advantage of current market volatility, expected industry dislocations and the unforeseen opportunities we've been waiting for."}, {"path": "tedlium_16400.wav", "duration": 9.54, "text": "the costs and synergies that we can, given the size of our group, means that we're in a better position than an independent, standalone dealership, and I think"}, {"path": "tedlium_16401.wav", "duration": 9.54, "text": "We further stated that there could be no assurance that any action will be taken as a result of this exploration. We have made no additional comments since the May 4 announcement."}, {"path": "tedlium_16402.wav", "duration": 9.54, "text": "to hold our fixed expenses flat at this point. Again, we'll continue to evaluate the business. And I think history shows that"}, {"path": "tedlium_16403.wav", "duration": 9.54, "text": "We will be expanding this type and other fresh food program globally as well as other healthy kitchen categories."}, {"path": "tedlium_16404.wav", "duration": 9.54, "text": "And so we set the stage for an exciting 2017, which I will come to in a moment. But before I do, I'll turn it over to Bill,"}, {"path": "tedlium_16405.wav", "duration": 9.54, "text": "In conclusion, I'd like to say that while we, as a team, and I personally have directed a lot of our energy towards balance sheet improvements,"}, {"path": "tedlium_16406.wav", "duration": 9.54, "text": "We have a considerably larger sales footprint and the expertise to be able to sell these products effectively to gain access to new accounts, where we already have a presence,"}, {"path": "tedlium_16407.wav", "duration": 9.54, "text": "And so over the longer term, we expect to see an improvement. But clearly, it's been a little bit more challenging for us, both due to some of our issues but also a market that just seems to be a little bit"}, {"path": "tedlium_16408.wav", "duration": 9.54, "text": "Right now, we're just going to keep rolling these products out separately and satisfy the needs of individual products -- projects in the construction ecosystem one at a time."}, {"path": "tedlium_16409.wav", "duration": 9.54, "text": "We entered into an agreement with Memorial Hermann in Houston to add this prestigious hospital to our network in 2017. Finally,"}, {"path": "tedlium_16410.wav", "duration": 9.54, "text": "Our economic net income growth was also notable, reflecting not just FRE growth, but also strong fund investment performance across our primary strategies."}, {"path": "tedlium_16411.wav", "duration": 9.54, "text": "we are not sure what the markets will do in the coming months. So you have the trade war and the potential consequences"}, {"path": "tedlium_16412.wav", "duration": 9.54, "text": "And statements of defense have been filed now by both Canada and Alberta. I'm really going to do my best to avoid"}, {"path": "tedlium_16413.wav", "duration": 9.54, "text": "But it is a lot -- a lot of work that we have to do. We have rate readiness reviews on a regular basis with my team"}, {"path": "tedlium_16414.wav", "duration": 9.54, "text": "The increase was primarily attributable to product manufacturing expenses and associated accelerated spending, including increased headcount"}, {"path": "tedlium_16415.wav", "duration": 9.54, "text": "year-over-year increase in operating expenses was also attributable to costs associated with the patent infringement lawsuit brought by CommScope at the end of January."}, {"path": "tedlium_16416.wav", "duration": 9.54, "text": "market, but do you think it will also change very fast, just like in Taiwan, and will be very difficult to launch new products?"}, {"path": "tedlium_16417.wav", "duration": 9.54, "text": "And I want to be very clear on this point, that we have not yet made any decisions regarding the long term viability of our coal -- our older coal assets."}, {"path": "tedlium_16418.wav", "duration": 9.54, "text": "With our longstanding track record, it should come as no surprise that we are prepared and excited about 2018. We pride ourselves on leaving little to change."}, {"path": "tedlium_16419.wav", "duration": 9.54, "text": "Turning to Slide 6. We wanted to clarify and outline some observations about Ofgem's recent RIIO-2 consultation document"}, {"path": "tedlium_16420.wav", "duration": 9.54, "text": "and relatively flat marketing expenses associated with ReposiTrak. Going forward, we expect sales and marketing expenses to fall as a percentage of revenue"}, {"path": "tedlium_16421.wav", "duration": 9.54, "text": "and the remainder would relate to general corporate capital expenditures and CapEx related to our New York Lottery business, following the recent extension of the agreement for 2 years."}, {"path": "tedlium_16422.wav", "duration": 9.54, "text": "portfolio prioritization. A portion of the cost savings from the restructuring of our pain business will be redeployed"}, {"path": "tedlium_16423.wav", "duration": 9.54, "text": "And we'll continue to use the 3 economic models, all whilst selecting the one that gives us the best outcome for a particular territory or a format."}, {"path": "tedlium_16424.wav", "duration": 9.54, "text": "Notwithstanding the falloff in Q4 revenue, bookings were better than anticipated, and we continue to see significant improvements in drill pipe supply and demand fundamentals."}, {"path": "tedlium_16425.wav", "duration": 9.54, "text": "And so all of that leads to better opportunity. That's one piece of it. The other piece of it is our products keep getting better. Our"}, {"path": "tedlium_16426.wav", "duration": 9.54, "text": "For example, we recently announced a collaboration with ARM to develop a neuromorphic switch that can enable new approaches to AI computing."}, {"path": "tedlium_16427.wav", "duration": 9.54, "text": "But it will go out on its own. And maybe, at that point in time, maybe they will probably really concentrate more on their various businesses."}, {"path": "tedlium_16428.wav", "duration": 9.54, "text": "we spent more in the second quarter as part of the building out process of sales and marketing and related infrastructure for some of our faster-growing international operations."}, {"path": "tedlium_16429.wav", "duration": 9.54, "text": "In particular, I want to provide you with a meaningful update on the progress we have made with respect to our efforts around a large reinsurance transaction."}, {"path": "tedlium_16430.wav", "duration": 9.54, "text": "As we touched on previously, wholesale inventory levels impacted industry volume declines in the third quarter compared to the third quarter of last year."}, {"path": "tedlium_16431.wav", "duration": 9.54, "text": "build and modernize their full application suite, which will touch nearly every process in the company from finance to manufacturing to drug development."}, {"path": "tedlium_16432.wav", "duration": 9.54, "text": "And we are working very hard to make sure that in all the bricks that we need in terms of technology for this application we are the best."}, {"path": "tedlium_16433.wav", "duration": 9.54, "text": "We entered the bridge lending space to use our capital on opportunities with strong sponsors, good credit and the potential for an agency permanent takeout."}, {"path": "tedlium_16434.wav", "duration": 9.54, "text": "parts, but we expect that to rebalance toward the back half of the year and the margins to come up a little bit in Global Services over time. And Industrial Environmental,"}, {"path": "tedlium_16435.wav", "duration": 9.54, "text": "Let's move now to our first quarter guidance. Given the recent underperformance in Ladies apparel, a business that becomes more important"}, {"path": "tedlium_16436.wav", "duration": 9.54, "text": "As we've said in the past, we continue to invest in clinical research in our key geographic markets to assess da Vinci surgery outcomes and help educate the market."}, {"path": "tedlium_16437.wav", "duration": 9.54, "text": "and a wider funnel for our entire business. But the numbers that I gave you are purely from a fully-loaded box"}, {"path": "tedlium_16438.wav", "duration": 9.54, "text": "and outpacing our technical learning curve. And so, in every one of these plays, and we've been doing this for 2 decades now,"}, {"path": "tedlium_16439.wav", "duration": 9.54, "text": "to geopolitical turmoil, we have consistently and substantially reinvested savings back into the business to further build capabilities"}, {"path": "tedlium_16440.wav", "duration": 9.54, "text": "it is actually some events on the extreme, I would characterize it, and not events that are in the core of the business. I mean, the first change"}, {"path": "tedlium_16441.wav", "duration": 9.54, "text": "up 14%. The data revenues were boosted by the significant network additions that we saw in the year, the subscriber growth that we saw in key markets"}, {"path": "tedlium_16442.wav", "duration": 9.54, "text": "and gives our customers the ability to realize that we are a strategic part of their future, and we're going to help them become more successful than ever through that"}, {"path": "tedlium_16443.wav", "duration": 9.54, "text": "speaking with our oil company customers, we're spending more time working with our customers who we think, in the current low oil price environment,"}, {"path": "tedlium_16444.wav", "duration": 9.54, "text": "As we look at these value-creation metrics, our goal is consistency, sustaining our improved performance and making more progress from here."}, {"path": "tedlium_16445.wav", "duration": 9.54, "text": "and reward the patient investor. But our overall strategy is in fact a growth strategy, and it is only, because we generate"}, {"path": "tedlium_16446.wav", "duration": 9.54, "text": "The only thing I have kind of referenced in the comments that we've seen a little bit of a heartbeat, and that's just a little more conversation. And then when we see the"}, {"path": "tedlium_16447.wav", "duration": 9.54, "text": "The expectation that demand growth will outgrow supply growth this year and potentially also in 2017 is certainly a step in the right direction."}, {"path": "tedlium_16448.wav", "duration": 9.54, "text": "Today's call contains forward-looking statements that address our expected future performance and that by their nature address matters that are uncertain."}, {"path": "tedlium_16449.wav", "duration": 9.54, "text": "making sure that we understand our costs when the contract comes in to when we actually are going to do the materials buy, so actively spending more time as a team looking at that."}, {"path": "tedlium_16450.wav", "duration": 9.54, "text": "I know there's a certain amount on the books going in and certain amounts that's left to go, but are they actively kind of grouping up due to the weakness in transient?"}, {"path": "tedlium_16451.wav", "duration": 9.54, "text": "that will be the time of year where our experience has been the industry tries to drive to low levels of inventory. And yet we were seeing pretty broad-based shipments"}, {"path": "tedlium_16452.wav", "duration": 9.54, "text": "and we continue to think that, that will be, as I said also, a major driver going forward as it was -- as it has been in the past. And similarly on the small loans,"}, {"path": "tedlium_16453.wav", "duration": 9.54, "text": "that we are taking advantage of the opportunity to prove out the margin expansion component of our strategy."}, {"path": "tedlium_16454.wav", "duration": 9.54, "text": "What we've identified is what's going to be needed and what -- and how long it's going to take for us to get to The Street with those products."}, {"path": "tedlium_16455.wav", "duration": 9.54, "text": "driven primarily by incremental volumes from Canwest, higher retail volumes driven by colder weather and organic growth and higher wholesale volumes related"}, {"path": "tedlium_16456.wav", "duration": 9.54, "text": "So you -- trying to help them, but they're so arrogant, they don't want it. So what we do"}, {"path": "tedlium_16457.wav", "duration": 9.54, "text": "The second point I'll make is that we're not executing to the level that I know that we are capable of, and certainly to the level that is expected by our shareholders."}, {"path": "tedlium_16458.wav", "duration": 9.54, "text": "which are more apparent today than they were last fall when we first presented guidance for fiscal 2016. As Curtis has already mentioned,"}, {"path": "tedlium_16459.wav", "duration": 9.54, "text": "online and addressable advertising business seems to be under fire on a lot of fronts. And there's some increased investor preference lately for online subscription businesses."}, {"path": "tedlium_16460.wav", "duration": 9.54, "text": "Some of these bids will be -- can happen during the current year, but they can happen next year or even in 2 years from now."}, {"path": "tedlium_16461.wav", "duration": 9.54, "text": "is a real advantage for us as we think about proactively being able to build out capability and make the required investments"}, {"path": "tedlium_16462.wav", "duration": 9.54, "text": "I'll talk later about our Project Uplift which you will be familiar with is our drive to increase"}, {"path": "tedlium_16463.wav", "duration": 9.54, "text": "The other part is we really do try to plan our buying decisions on a longer-term basis and not on shorter-term windows."}, {"path": "tedlium_16464.wav", "duration": 9.54, "text": "and partly due to the way in which we sell it, which is needs-based selling through the LPs and the LCs. But we have seen some increased competition in the bank channel."}, {"path": "tedlium_16465.wav", "duration": 9.54, "text": "both for the OEM market as well as for the final battery product for the forklift and the Materials Handling market."}, {"path": "tedlium_16466.wav", "duration": 9.54, "text": "As an example, we targeted a reduction in time from first notice of loss to initial estimate and anticipate seeing favorable results for our metal coverages."}, {"path": "tedlium_16467.wav", "duration": 9.54, "text": "These initiatives include specific projects and activities targeted towards generating more sales leads, improving close rates, and reducing the total overall cost of a home standby system."}, {"path": "tedlium_16468.wav", "duration": 9.54, "text": "Overall, first quarter export revenues were lower than the year ago quarter due to lower realizations for our Japan and China logs."}, {"path": "tedlium_16469.wav", "duration": 9.54, "text": "that we expect will enhance communications, coordination, efficiency and cost effectiveness, which in turn will help drive EBITDA growth over time."}, {"path": "tedlium_16470.wav", "duration": 9.54, "text": "those merchants that are using PayPal to sell across multiple channels already grow at nearly 3x the rate of those that sell on only one marketplace."}, {"path": "tedlium_16471.wav", "duration": 9.54, "text": "In summary, I am pleased with our second quarter results, and look forward to a reprieve from commodity cost pressures during the second half of our fiscal year."}, {"path": "tedlium_16472.wav", "duration": 9.54, "text": "Also during today's call, we will discuss non-GAAP financial measures, which we believe can be useful in evaluating the company's financial performance."}, {"path": "tedlium_16473.wav", "duration": 9.54, "text": "and the team of The University of Texas MD Anderson Cancer Center will present data in a separate poster. These presentations will highlight several key findings."}, {"path": "tedlium_16474.wav", "duration": 9.54, "text": "From a merchandising perspective, we saw positive comps across almost all of our product categories with the largest drivers being appliances, computing and smart home."}, {"path": "tedlium_16475.wav", "duration": 9.54, "text": "And this was our first lean diagnosis event that was late in the third quarter. And that's just one example of one small piece of our manufacturing operations, but"}, {"path": "tedlium_16476.wav", "duration": 9.54, "text": "realize there's a net benefit then we make the sale of the additional products and turn on those additional modules. The best -- the biggest benefit is when you're selling the entire product"}, {"path": "tedlium_16477.wav", "duration": 9.54, "text": "yes, we are looking at sometimes kind of making a wholesale deal with people in terms of acquiring many plants rather than just 1 or 2 plants."}, {"path": "tedlium_16478.wav", "duration": 9.54, "text": "of organic operating margin improvement in the 3 years ending fiscal 2019, and our performance ambition"}, {"path": "tedlium_16479.wav", "duration": 9.54, "text": "Can you talk a little bit how much more capacity you have left when it comes to the Hardox products? That's the first one. And also if you can sort of"}, {"path": "tedlium_16480.wav", "duration": 9.54, "text": "kind of stays with the customer through the project, from the beginning when we do the measure to the end when we kind of do the final walk-through. So we expect"}, {"path": "tedlium_16481.wav", "duration": 9.54, "text": "This is definitely part of our strategy to manage our network in an even more dynamic fashion, to make sure that our network is fit for future."}, {"path": "tedlium_16482.wav", "duration": 9.54, "text": "very quickly and very strongly with price decreases. And as I've said in my formal remarks, we have actually seen greater amounts of"}, {"path": "tedlium_16483.wav", "duration": 9.54, "text": "for both C Series models in the third quarter. This means better operating costs and value for airlines."}, {"path": "tedlium_16484.wav", "duration": 9.54, "text": "are in fact putting those new aircraft not in replacement for the aircraft that they're subbing in for, but rather on longer, thinner routes."}, {"path": "tedlium_16485.wav", "duration": 9.54, "text": "be more transparent. We think we went a long way along those lines. A clear example of what you already saw very visibly is what we did on overdraft."}, {"path": "tedlium_16486.wav", "duration": 9.54, "text": "production grew much stronger than anybody expected and new rail facilities actually located themselves in the Western part of the state."}, {"path": "tedlium_16487.wav", "duration": 9.54, "text": "by definition, my revenues come down. When I can convert somebody from a very high cost specialty drug to a lower cost more efficacious specialty drug,"}, {"path": "tedlium_16488.wav", "duration": 9.54, "text": "I'd like to remind everyone that statements made during this conference call relating to the company's expected future performance, future business prospects"}, {"path": "tedlium_16489.wav", "duration": 9.54, "text": "starting the process of reducing product cost and most importantly, continuing to take care of our customers. Our job is clear"}, {"path": "tedlium_16490.wav", "duration": 9.54, "text": "that the moves that we've made in our portfolio and our business model are not only headed in the right direction, but have succeeded. And yet,"}, {"path": "tedlium_16491.wav", "duration": 9.54, "text": "And what you then see is after a few months that starts flattening out again and then it started to go up again. So it is pretty much getting people -- getting the customers"}, {"path": "tedlium_16492.wav", "duration": 9.54, "text": "We're in a really good spot with respect to kind of the right level of leverage on the balance sheet. So we feel like we've got a lot of flexibility."}, {"path": "tedlium_16493.wav", "duration": 9.54, "text": "Finally, as you know, we will provide 2019 guidance during our fourth quarter call. But in the interim, there are some items I would like to highlight."}, {"path": "tedlium_16494.wav", "duration": 9.54, "text": "Yes, we believe it's going to be more of a gradual recovery. As we've improved the operating profit profiles of all of our regions,"}, {"path": "tedlium_16495.wav", "duration": 9.54, "text": "kind of levers that we should be watching to get pulled or need to see in the market to reach that target sooner or later?"}, {"path": "tedlium_16496.wav", "duration": 9.54, "text": "This is a great demonstration of our ability to rapidly build new solutions to further address customer needs and grow our addressable markets."}, {"path": "tedlium_16497.wav", "duration": 9.54, "text": "we really do have a scale of reach that is significant and gives us the ability to compete with some of the biggest players in Canada, and is a significant advantage compared to any of the new players."}, {"path": "tedlium_16498.wav", "duration": 9.54, "text": "And we need to be able to maintain our position in payer access to ensure that we continue to drive demand the way we have been."}, {"path": "tedlium_16499.wav", "duration": 9.54, "text": "I'll also point out that those partnerships are a potential source of change to our capital structure that Gina had commented on a bit earlier."}, {"path": "tedlium_16500.wav", "duration": 9.54, "text": "with the major suppliers to optimize our income of aircraft without paying any cancellation fees, any of that. So I think we'll be seeing an optimization of our investment"}, {"path": "tedlium_16501.wav", "duration": 9.54, "text": "As we have consistently communicated, we remain strongly committed to a solid investment grade credit rating. And our target leverage ratio"}, {"path": "tedlium_16502.wav", "duration": 9.54, "text": "along with a lower effective tax rate and lower weighted average shares prior to our equity issuances related to the Pinnacle acquisition."}, {"path": "tedlium_16503.wav", "duration": 9.54, "text": "is what's happening now and what's going to be happening over the next few quarters, not necessarily what's happened sort of already through reported results."}, {"path": "tedlium_16504.wav", "duration": 9.54, "text": "On Slide 6, we have listed the tools that APA has at its disposal that are enabling a more liquid and affordable gas market."}, {"path": "tedlium_16505.wav", "duration": 9.54, "text": "And then just the way we believe we can run the plant, because we can focus on certain productivity levels, we feel more confident than we did when we"}, {"path": "tedlium_16506.wav", "duration": 9.54, "text": "In our heavy oil business unit, we await the start up of additional water handling capacity in the Quifa area by the end of the year."}, {"path": "tedlium_16507.wav", "duration": 9.54, "text": "reflecting significant new accounts and new trials driven by the value and performance of our resid and polypropylene technologies."}, {"path": "tedlium_16508.wav", "duration": 9.54, "text": "Such statements are based on currently available information and are subject to various risks and uncertainties that could cause actual results to differ materially from the company's present expectations."}, {"path": "tedlium_16509.wav", "duration": 9.54, "text": "a product, a 0.1 product release where we're just addressing some issues. This is all innovation that was necessary for us to have a platform."}, {"path": "tedlium_16510.wav", "duration": 9.54, "text": "This insensitivity is partly due to the additional surpluses within the with-profits funds and the group pension schemes that I have just talked about."}, {"path": "tedlium_16511.wav", "duration": 9.54, "text": "As CEO, I have the full authority to undertake this analysis and implement the right actions to meet our objectives."}, {"path": "tedlium_16512.wav", "duration": 9.54, "text": "The second matter relates to the air cargo sector from which we're strategically accelerating our exit. This sector continues to suffer from a glut of capacity."}, {"path": "tedlium_16513.wav", "duration": 9.54, "text": "It's very good business for us to do that because it's obviously still cheap funding for the bank. So there is an effect of a large deposit increase in these units"}, {"path": "tedlium_16514.wav", "duration": 9.54, "text": "improving the security posture, reliability and speeding up the integration of the technology platforms. We've been successful on all 3 fronts."}, {"path": "tedlium_16515.wav", "duration": 9.54, "text": "decision on the dividend relative to the buyback. I guess, I'm just kind of curious how you guys think about sort of the value proposition of the shares currently"}, {"path": "tedlium_16516.wav", "duration": 9.54, "text": "What ends up happening is that there are bonds that are going to hit the market, and there aren't enough investors to take up that incremental supply."}, {"path": "tedlium_16517.wav", "duration": 9.54, "text": "Dave? Thank you, John. We are restless as an enterprise for positive change in health care, and we know the market is as well."}, {"path": "tedlium_16518.wav", "duration": 9.54, "text": "The nonresidential construction markets continue to be productive with many existing large multibillion-dollar, multiyear projects continuing"}, {"path": "tedlium_16519.wav", "duration": 9.54, "text": "for a company. But if there are opportunities to buy something that is technically unique, could extend one of our"}, {"path": "tedlium_16520.wav", "duration": 9.54, "text": "But if there are services and solutions that you're wrapping around IoT, then for sure there is significant margin improvement."}, {"path": "tedlium_16521.wav", "duration": 9.54, "text": "but they grew in mobility and seating, which is where we ultimately want to see it grow. And I guess the other thing I'd just throw out there is that if I look at the operating margin"}, {"path": "tedlium_16522.wav", "duration": 9.54, "text": "And finally, we will use non-GAAP financial measures in this morning's discussion to help our unitholders and the investment community better understand our operating performance."}, {"path": "tedlium_16523.wav", "duration": 9.54, "text": "So that is not the cause which would be of concern. We have to continue our efforts"}, {"path": "tedlium_16524.wav", "duration": 9.54, "text": "We have an experienced corporate development team that continues to build strong industry relationships as well as a pipeline of these types of opportunities."}, {"path": "tedlium_16525.wav", "duration": 9.54, "text": "We looked at the balance of trade numbers to really see if there's any kind of competitive issues and we didn't see anything there throughout the whole year. So we then, I"}, {"path": "tedlium_16526.wav", "duration": 9.54, "text": "since during promotional periods, many of our retail customers were being offered the same discounted price as a Pro customer would normally receive."}, {"path": "tedlium_16527.wav", "duration": 9.54, "text": "Over the past year, we enhanced our access to a variety of capital sources and protected our balance sheet from a rising rate environment."}, {"path": "tedlium_16528.wav", "duration": 9.54, "text": "So it is -- it's more of a virtuous circle I think, as we added more dealer locations and rental locations"}, {"path": "tedlium_16529.wav", "duration": 9.54, "text": "Our contractual products, including ChoiceLease, Dedicated and Supply Chain, all grew during the quarter and will provide the majority of the company's earnings this year."}, {"path": "tedlium_16530.wav", "duration": 9.54, "text": "Going forward, we will have a proper, more element of local procurement built in there to ensure that the community needs are also looked after. But it's a different"}, {"path": "tedlium_16531.wav", "duration": 9.54, "text": "The strong performance in the second half delivered production of just over 2 million ounces, up 15% over the first half."}, {"path": "tedlium_16532.wav", "duration": 9.54, "text": "And that there will be continuity of operation by the tenant throughout this intermediate portion through the end of the lease term. That's our expectation."}, {"path": "tedlium_16533.wav", "duration": 9.51, "text": "like activities recently from both sides? And I know, previously, you talked about maybe the strategy of Quench going"}, {"path": "tedlium_16534.wav", "duration": 9.51, "text": "Our acquisition strategy has been very disciplined over the past several years with 5 or 6 previous deals and we intend to remain very disciplined in the future as we address"}, {"path": "tedlium_16535.wav", "duration": 9.51, "text": "at a faster pace than we grow expenses. But when we're sitting around the conference table, we're not talking about margin expansion, we are talking about revenue growth"}, {"path": "tedlium_16536.wav", "duration": 9.51, "text": "At a higher level, the future looks very bright for MACOM. The industry is entering the next phase of infrastructure spending globally,"}, {"path": "tedlium_16537.wav", "duration": 9.51, "text": "That said, we have positioned the holding company to raise debt to fund capital for growth or to consider buybacks of our common stocks."}, {"path": "tedlium_16538.wav", "duration": 9.51, "text": "it takes a little bit longer because payment is established based on the number of claims they receive."}, {"path": "tedlium_16539.wav", "duration": 9.51, "text": "Before we begin, I want to remind you that in this call, we'll refer to forward-looking statements, which include all statements we make about our future financial and operating performance,"}, {"path": "tedlium_16540.wav", "duration": 9.51, "text": "very modest from a realized carry perspective for this segment. I fully believe that over the course of this year, that will increase in this segment."}, {"path": "tedlium_16541.wav", "duration": 9.51, "text": "While those numbers might seem contradictory to my earlier comments on seasonality in the third quarter, they point out a very important fundamental concept about our new business model."}, {"path": "tedlium_16542.wav", "duration": 9.51, "text": "Also, the inclusion criteria of the clinical study seems to be rather narrow in terms of ages and ambulatory function."}, {"path": "tedlium_16543.wav", "duration": 9.51, "text": "And what I found is that Marvell has a long track record of closely partnering with its customers. And as a result, we have a long list of very loyal customers."}, {"path": "tedlium_16544.wav", "duration": 9.51, "text": "first of all, it will open up a whole new kind of market and also improve hugely, immensely the service experience for the customer. Secondly,"}, {"path": "tedlium_16545.wav", "duration": 9.51, "text": "if we haven't retained the virulence of the isolate, we won't be going into a human challenge study because you won't be any better than the existing human challenge study,"}, {"path": "tedlium_16546.wav", "duration": 9.51, "text": "somewhere in the region of almost 10 subjects enrolled. So it's very few subjects that actually enrolled and is primary looking at the safety"}, {"path": "tedlium_16547.wav", "duration": 9.51, "text": "the intention to more optimize the use of our capital as our credit positions evolve. But I wouldn't expect any material change"}, {"path": "tedlium_16548.wav", "duration": 9.51, "text": "our New York office simply continues year after year to make more profit than any other region and with pristine asset quality."}, {"path": "tedlium_16549.wav", "duration": 9.51, "text": "as the pendulum swings too far in both directions. The market has been so crazy that the piling-on effect has driven down bank stocks"}, {"path": "tedlium_16550.wav", "duration": 9.51, "text": "And at the same time, the ore has better quality and we have a better recovery. And with"}, {"path": "tedlium_16551.wav", "duration": 9.51, "text": "It is also worth noting that in so far as we're talking about the automotive business, we believe industry returns may be at the bottom of the cycle."}, {"path": "tedlium_16552.wav", "duration": 9.51, "text": "the ability for financiers to bring more of those products to market, which, in turn, give us the opportunity or to obviously participate in"}, {"path": "tedlium_16553.wav", "duration": 9.51, "text": "Time is the missing element to see this change in direction and pace yield results."}, {"path": "tedlium_16554.wav", "duration": 9.51, "text": "with firms regarding ongoing access to Reis data in accordance with the terms and conditions of a subscription agreement. Reis has developed a programmatic approach"}, {"path": "tedlium_16555.wav", "duration": 9.51, "text": "will pay a surcharge in order to get an API, and it will really depend upon a range of circumstances in terms of the amount of data that they will be using and all kinds of things. But"}, {"path": "tedlium_16556.wav", "duration": 9.51, "text": "from some of our new products, most particularly from our affordable housing module that we launched last summer"}, {"path": "tedlium_16557.wav", "duration": 9.51, "text": "then clearly, that's not a situation where you would want to study the effect of an oral drug because it'll come straight back up because of the vomiting from the disease."}, {"path": "tedlium_16558.wav", "duration": 9.51, "text": "And 600 NOV employees were displaced from their homes by floodwaters. Our thoughts and prayers remain with them and their families as they put their lives back together."}, {"path": "tedlium_16559.wav", "duration": 9.51, "text": "In developed markets, revenues were up about 3%. In the first half of the year, we saw modest growth in discretionary spend, and that continued in the third quarter."}, {"path": "tedlium_16560.wav", "duration": 9.51, "text": "Steve will describe this more fully, but I'd like to give you a high-level review of our performance and comment on some trends and dynamics."}, {"path": "tedlium_16561.wav", "duration": 9.51, "text": "is by using ENI as a framework for how to think about value, there's a lot of variability in what the actual shareholder experience is,"}, {"path": "tedlium_16562.wav", "duration": 9.51, "text": "We will also begin to realize additional operational efficiencies while we continue the planning and execution needed for our all-digital conversion in the Northeast Division."}, {"path": "tedlium_16563.wav", "duration": 9.51, "text": "to maintain, if not, even increase that level of spending where we need to in specific areas to ensure that we are the leader"}, {"path": "tedlium_16564.wav", "duration": 9.51, "text": "a portion of these reductions are also to allow for reinvestment in the business related to our capabilities and product launch preparedness."}, {"path": "tedlium_16565.wav", "duration": 9.51, "text": "as well as business process to accelerate the deployment of last mile fiber network to the premises of the customer."}, {"path": "tedlium_16566.wav", "duration": 9.51, "text": "We continue to believe that's the right range, although I would say we're on track to go towards the high end of that range. So"}, {"path": "tedlium_16567.wav", "duration": 9.51, "text": "As of now, we have put a lot of resources in this respect. I will continue to do this well."}, {"path": "tedlium_16568.wav", "duration": 9.51, "text": "We cannot do things as we do in Taiwan or Hong Kong, engaging in national markets or doing things nationwide."}, {"path": "tedlium_16569.wav", "duration": 9.51, "text": "most of the people are irritated when they have to bring their parcel. They don't want to have -- bring to a certain location. Now you have the solution to give it"}, {"path": "tedlium_16570.wav", "duration": 9.51, "text": "customer and market for UQM. I also want to mention that our longtime partners Proterra and Zenith will continue to be strong customers"}, {"path": "tedlium_16571.wav", "duration": 9.51, "text": "Before we begin this morning, please note that some of the information discussed during today's call will consist of forward-looking statements setting forth our current expectations"}, {"path": "tedlium_16572.wav", "duration": 9.51, "text": "Following the IPO and the resulting reduction in our leverage, we took the opportunity to refinance our credit facility to reduce the interest rate payable,"}, {"path": "tedlium_16573.wav", "duration": 9.51, "text": "So again, our emphasis is to recover our margins fully. But to Michael's point, we got to make sure we're demonstrating to our customers the value we bring."}, {"path": "tedlium_16574.wav", "duration": 9.51, "text": "The revenues benefited from the IPO of Red Rock Resorts. We also got approval from the Port Authority for the sale of the Maher Terminal during the quarter."}, {"path": "tedlium_16575.wav", "duration": 9.51, "text": "I will mention that this year's second quarter had one fewer business days due to how the Easter holiday fell into the second quarter this year,"}, {"path": "tedlium_16576.wav", "duration": 9.51, "text": "We received the quality improvement award from Airbus for our Commerce, California plant, which highlights the great progress we have made over the past year."}, {"path": "tedlium_16577.wav", "duration": 9.51, "text": "be shipped, convert to AR and then from AR to cash. So getting that through both stages by year end is the question and that depends on"}, {"path": "tedlium_16578.wav", "duration": 9.51, "text": "But again, the rate adjustments often are because they're taking a bigger footprint or they're not only renewing that lease, but"}, {"path": "tedlium_16579.wav", "duration": 9.51, "text": "maybe pairing it back and bolstering the balance sheet. And then secondly, along the same line of questioning, can you provide an update on the extent to which"}, {"path": "tedlium_16580.wav", "duration": 9.51, "text": "I think the biggest problem in-basin right now is not whether or not you can create supply of sand off of rail,"}, {"path": "tedlium_16581.wav", "duration": 9.51, "text": "It has been particularly encouraging the level of engagement and support from the respective ministries and Petrosen, the national oil company,"}, {"path": "tedlium_16582.wav", "duration": 9.51, "text": "The opening of these new locations was offset by the announced closing of 3 of our legacy financial centers, as we continue to optimize our financial center footprint"}, {"path": "tedlium_16583.wav", "duration": 9.51, "text": "And despite that, we've stuck with it because we saw that we could underwrite loans successfully in that space and knew that if we could"}, {"path": "tedlium_16584.wav", "duration": 9.51, "text": "The replacement channel reflects the majority of our business, and the majority of it is into industrial applications and end markets."}, {"path": "tedlium_16585.wav", "duration": 9.51, "text": "It's administered once daily, and it travels from the mouth to the stomach, then into the blood, up to the hypothalamus in the brain, where it stimulates eating behavior."}, {"path": "tedlium_16586.wav", "duration": 9.51, "text": "have used a product developed by Aratana. So I want to thank my colleagues at Aratana, our collaborators and our investors for having facilitated this transformation."}, {"path": "tedlium_16587.wav", "duration": 9.51, "text": "Investment results were strong across all 3 operating segments, and life and mortality was modestly favorable to actuarial models."}, {"path": "tedlium_16588.wav", "duration": 9.51, "text": "They came in on January the 15th and so you've got some lagging stuff coming through behind that. This quarter, we had a full quarter on both of those"}, {"path": "tedlium_16589.wav", "duration": 9.51, "text": "Before we begin, I will remind you that certain matters discussed in today's conference call or answers that may be given to questions asked could constitute forward-looking statements"}, {"path": "tedlium_16590.wav", "duration": 9.51, "text": "Yes. It was funny when you made the comment, as one parent to another, I thought of the difference between nice to have and need to have in that conversation."}, {"path": "tedlium_16591.wav", "duration": 9.51, "text": "Given the significant unused capacity under our revolving credit facilities after having issued a significant amount of term debt over the past 9 months,"}, {"path": "tedlium_16592.wav", "duration": 9.51, "text": "However, the anticipated improvement in sales volumes and revenues are expected to be partly offset by unfavorable currency relationships based on current currency rates."}, {"path": "tedlium_16593.wav", "duration": 9.51, "text": "Just a couple of comments pretty quickly with regard to our market and the strategic frame"}, {"path": "tedlium_16594.wav", "duration": 9.51, "text": "then the benefit of the expanded product offering or the renewed product offering at Costco,"}, {"path": "tedlium_16595.wav", "duration": 9.51, "text": "that went across the general industrial landscape. And so it is a little bit of an unusual situation right now where you're seeing performance"}, {"path": "tedlium_16596.wav", "duration": 9.51, "text": "The first and second half volume will be more balanced this year than last year. Last year saw weak first half and a hard second half."}, {"path": "tedlium_16597.wav", "duration": 9.51, "text": "To deliver on these commitments, we continue to focus our energy, capital and resources on executing against our 3 strategic priorities."}, {"path": "tedlium_16598.wav", "duration": 9.51, "text": "Got it. Any way to talk about the magnitude of that? Or are these just kind of standard course of business tenders that you win"}, {"path": "tedlium_16599.wav", "duration": 9.51, "text": "We make reference in that to the baking part of the business as well as pasta. It's a significant contributor to Pioneer Foods and the stature of our business"}, {"path": "tedlium_16600.wav", "duration": 9.51, "text": "So sometimes these projects have a little bit of work to do, and that is where Powell shines because of our ability to aid the engineering house of the end user"}, {"path": "tedlium_16601.wav", "duration": 9.51, "text": "a fully capable manufacturing facility outside Shanghai to be able to supply the Asian theater"}, {"path": "tedlium_16602.wav", "duration": 9.51, "text": "I cannot give you any guidings on what that means in practice, but that is the focus and this is what we hope that we can demonstrate in the quarters to come."}, {"path": "tedlium_16603.wav", "duration": 9.51, "text": "But the second question of whether that's feasible or not is probably no because we're located way up in that corner in the Pacific Northwest."}, {"path": "tedlium_16604.wav", "duration": 9.51, "text": "As it appeared likely that Hurricane Michael was headed our way, our top priority was and still is for the safety of our employees. Thankfully, our employees remained safe."}, {"path": "tedlium_16605.wav", "duration": 9.51, "text": "these show that our value investment has achieved good results in the capital markets, especially"}, {"path": "tedlium_16606.wav", "duration": 9.51, "text": "Let me now turn to our regional performance. We continue to see solid trends underlying the results in 3 of our 4 regions."}, {"path": "tedlium_16607.wav", "duration": 9.51, "text": "enhance netbacks is real value for any producer counterparty and we think that to the extent,"}, {"path": "tedlium_16608.wav", "duration": 9.51, "text": "since the third quarter of 2017. The competition for deposits this quarter was especially strong in the municipal sector."}, {"path": "tedlium_16609.wav", "duration": 9.51, "text": "took a measured approach with test markets. We really made sure that our team out in the field was aware and could handle and educated on the product."}, {"path": "tedlium_16610.wav", "duration": 9.51, "text": "We are now in a position due to the size, diversity and maturation of our business model to begin the conversion of our supplemental dividends into regular monthly dividends."}, {"path": "tedlium_16611.wav", "duration": 9.51, "text": "reflecting a 4% increase in our variable annuity average separate account values and the ongoing benefit from the annual assumption updates last quarter"}, {"path": "tedlium_16612.wav", "duration": 9.51, "text": "And so that's how we're thinking about it as well and we'll be considering those as we possibly move forward. One thing to add is that we also have legal options."}, {"path": "tedlium_16613.wav", "duration": 9.51, "text": "And the other thing -- they're focused on the performance. And if they can see the value equation that the value proposition"}, {"path": "tedlium_16614.wav", "duration": 9.51, "text": "when you're looking for a big player that's going to be an impact player in a market or in a service line."}, {"path": "tedlium_16615.wav", "duration": 9.51, "text": "the full year impact of new product launches and the continued development of our dealer base, including increased participation in various programs such as PowerPlay and Power Pro among others."}, {"path": "tedlium_16616.wav", "duration": 9.51, "text": "Now that being said, I do think if we see the continued housing construction activity build into the spring and summer season and demand gets back up to where we think it"}, {"path": "tedlium_16617.wav", "duration": 9.51, "text": "their experimentation with other payment methods or if you just think that it was overall slower than what you had thought"}, {"path": "tedlium_16618.wav", "duration": 9.51, "text": "together with the reduction in future outside storage cost that would have been incurred without these investments. The project is on track and on budget."}, {"path": "tedlium_16619.wav", "duration": 9.51, "text": "and, from time to time, look at larger acquisitions like the Wheels transaction. I think the reality is that in this environment,"}, {"path": "tedlium_16620.wav", "duration": 9.51, "text": "And I was particularly happy to see the organic growth in our net revenues. For those that have been listening in on the calls for the last several quarters"}, {"path": "tedlium_16621.wav", "duration": 9.51, "text": "Okay. And then just on the repositioning of the balance sheet and the approach to adding securities. Are you thinking any differently going forward than"}, {"path": "tedlium_16622.wav", "duration": 9.51, "text": "We just want to thank you for joining us this afternoon, and we very much look forward to catching up with everybody again when we release our third quarter results in August."}, {"path": "tedlium_16623.wav", "duration": 9.51, "text": "At this point, again, I want to thank all of the employees of Air Products for their continued hard work and commitment"}, {"path": "tedlium_16624.wav", "duration": 9.51, "text": "Since Mitsubishi Corporation is a product marketing-based organization, we have a tendency to put all our efforts into these products."}, {"path": "tedlium_16625.wav", "duration": 9.51, "text": "helped us focus on initiatives that will move the business forward and created an overall stronger sense of collaboration. We have a clear road map built to pursue projects that matter most."}, {"path": "tedlium_16626.wav", "duration": 9.51, "text": "On Slide 14, we present a summary of the year-to-date results of the LiLAC Group, which is comprised of our operations in Latin America and the Caribbean."}, {"path": "tedlium_16627.wav", "duration": 9.51, "text": "reversal of rebate in first quarter of '16 when you look at the Norditropin numbers. But even with that, the second quarter this year"}, {"path": "tedlium_16628.wav", "duration": 9.51, "text": "This is the fourth time we have won this coveted award and we are most appreciative of this recognition and vote of confidence."}, {"path": "tedlium_16629.wav", "duration": 9.51, "text": "and as well as our retention, as you know. And I would say that there was not anything that would've been out of what I would call the ordinary in terms of the pricing environment."}, {"path": "tedlium_16630.wav", "duration": 9.51, "text": "Ladies and gentlemen, thank you for your participation in today's conference. This concludes today's program. You may now disconnect. Everyone, have a great day."}, {"path": "tedlium_16631.wav", "duration": 9.51, "text": "Last quarter, we explained that as blades continue to get longer, utilize more advanced materials and we continue to drive increased output per line,"}, {"path": "tedlium_16632.wav", "duration": 9.51, "text": "As many of you have heard me discuss, our intent is to leverage the Hydratight maintenance center in order to sell a broader array of tools and services."}, {"path": "tedlium_16633.wav", "duration": 9.51, "text": "primarily related to our improved operating results and changes in working capital, inclusive of the reduction in our inventories."}, {"path": "tedlium_16634.wav", "duration": 9.51, "text": "The big advantage is the close railway, and as well from a sustainability point of view, we get the beans from Netherlands. We get it by"}, {"path": "tedlium_16635.wav", "duration": 9.51, "text": "This is what management teams should do. Now I want to try to dive into something that you mentioned. So you said, in particular you called out"}, {"path": "tedlium_16636.wav", "duration": 9.51, "text": "I think everybody's really excited about the opportunity in Guyana, and I think there's a lot of enthusiasm moving forward. And with that, comes a lot of good thoughts in innovation."}, {"path": "tedlium_16637.wav", "duration": 9.51, "text": "The mortgage industry broadly has been adapting for several quarters now to the impact of higher rates and an associated slowdown in home purchases and refinance activity. Our"}, {"path": "tedlium_16638.wav", "duration": 9.51, "text": "returns on this investment will likely be driven by the servicer's ability to efficiently work with delinquent borrowers, an ongoing credit performance of the loans overall."}, {"path": "tedlium_16639.wav", "duration": 9.51, "text": "So what that means is there's a whole bunch of things that, that allows us to do. As we continue to scale up the business and see more operating leverage,"}, {"path": "tedlium_16640.wav", "duration": 9.51, "text": "However, the fact that eventually these savings are reflected in earnings is largely due to the good success on the market."}, {"path": "tedlium_16641.wav", "duration": 9.51, "text": "The clinical and commercial investments that we've made over the last 9 months have positioned us well to accelerate organic growth in the second half of the year."}, {"path": "tedlium_16642.wav", "duration": 9.51, "text": "I'm not that concerned about the Switzerland plant conversion from SAP to Oracle. We've done that multiple times. That happens in the fourth quarter."}, {"path": "tedlium_16643.wav", "duration": 9.51, "text": "at least the levels that we had before the pipeline was shut down. We're actually using this opportunity while the pipeline is down to do some"}, {"path": "tedlium_16644.wav", "duration": 9.51, "text": "So we may see some acceleration, but I cannot tell you how much. I am moderately optimistic in terms of that"}, {"path": "tedlium_16645.wav", "duration": 9.51, "text": "And Tim, how long do you anticipate the reorientation of the sales team will take until you have it where you would like it, focusing on those 2 different distribution channels?"}, {"path": "tedlium_16646.wav", "duration": 9.51, "text": "even after the provision we've taken here, half of which relates to Bulyanhulu, we're 5 to 6 years away, depending on where gold prices go"}, {"path": "tedlium_16647.wav", "duration": 9.51, "text": "Our plans have been presented to customers and will enter the market in the next few weeks, well before the critical Chinese New Year season."}, {"path": "tedlium_16648.wav", "duration": 9.51, "text": "excluded it from some of the guidance. We still have the numbers there so you can still understand what is -- what it's delivering. Looking at our"}, {"path": "tedlium_16649.wav", "duration": 9.51, "text": "but we'll have to wait and see what FERC determines once they get a full commission. Right now, they're down to 2 commissioners as you know so they don't even have a quorum. So whenever that occurs,"}, {"path": "tedlium_16650.wav", "duration": 9.51, "text": "We remain hopeful that we can reach a constructive solution that truly is of best interest for our state and our fellow Illinois citizens."}, {"path": "tedlium_16651.wav", "duration": 9.51, "text": "And we will continue to be well positioned to generate productivity that is well in excess of our labor and fixed cost inflation. Lastly, and importantly,"}, {"path": "tedlium_16652.wav", "duration": 9.51, "text": "We continue to invest in our people as we added depth to our executive ranks and consolidated our Brand Portfolio under one leader."}, {"path": "tedlium_16653.wav", "duration": 9.51, "text": "Our Cajun-Sibon system brings much needed NGL supplies into the region, and our expansive asset base serves these growing demand markets in customers."}, {"path": "tedlium_16654.wav", "duration": 9.51, "text": "over the last couple of years to build up our capability around pricing. And I think the first sort of proof point that we had"}, {"path": "tedlium_16655.wav", "duration": 9.51, "text": "the demand of our customers in this kind of business is pretty stable during the year, so we feel pretty confident that this will come back. And that's the reason why,"}, {"path": "tedlium_16656.wav", "duration": 9.51, "text": "those trains are going to leave the station and we're going to see a lot of momentum and pricing will snap back and it will snap quickly because of this pent-up demand."}, {"path": "tedlium_16657.wav", "duration": 9.51, "text": "both lands that will show up in the Timber segment, as well as stumpage blocks that have contributed to the growth in our performance on the Trading segment."}, {"path": "tedlium_16658.wav", "duration": 9.51, "text": "From a facility consolidation perspective, we are benefiting from a leaner operations management and overhead structure in advance of project completion in the upcoming quarter."}, {"path": "tedlium_16659.wav", "duration": 9.51, "text": "recover those cost increases. But as we've seen that the price points to the consumer move up fairly significantly over the last couple of years,"}, {"path": "tedlium_16660.wav", "duration": 9.51, "text": "and we've been successful growing our share over time there. I would like to see us grow even faster, and that will be a very much a focus for us"}, {"path": "tedlium_16661.wav", "duration": 9.51, "text": "where we saw a lot of opportunities, a lot of opportunities for growth. Many of these geographies that we sell into are quite fragmented,"}, {"path": "tedlium_16662.wav", "duration": 9.51, "text": "versus the kind of classical ingredients business, tends to be more sticky, tends to be more defensible, better from a pricing standpoint,"}, {"path": "tedlium_16663.wav", "duration": 9.51, "text": "gives us a new potential growth engine for the future. And on the marketing side, with regards to what it does for our client base, which we never want to forget."}, {"path": "tedlium_16664.wav", "duration": 9.51, "text": "Expanded distribution of our brands over innovative platforms like NextRadio will enable additional opportunities for enhanced integrated marketing revenues."}, {"path": "tedlium_16665.wav", "duration": 9.51, "text": "and our exclusive fashion-oriented products that are available in a variety of unique sizes that are not offered by many of our competitors."}, {"path": "tedlium_16666.wav", "duration": 9.51, "text": "over that period as you have some of the operations going now. But we have not put out any long-term forecasts out. That's something we are thinking about, particularly given Obuasi coming on stream."}, {"path": "tedlium_16667.wav", "duration": 9.51, "text": "I want to thank you all for your participation today, and I look forward to reporting on our year-end results in February. And best wishes for the end of the year"}, {"path": "tedlium_16668.wav", "duration": 9.51, "text": "Now after we've identified the leakage areas, we can provide point solutions to assist in addressing the leakage and managing risks for the enterprise."}, {"path": "tedlium_16669.wav", "duration": 9.51, "text": "We believe this integration of our core business and our new technology solutions gives us a competitive advantage to grow and win new clients."}, {"path": "tedlium_16670.wav", "duration": 9.51, "text": "very proud of our ability to generate such a strong cash flow in the current market, which demonstrates the countercyclical nature of our working capital needs."}, {"path": "tedlium_16671.wav", "duration": 9.51, "text": "customers have consistently chosen us to grade their valued collectibles. Those gains can be seen in the strong increase in the number of submitted items."}, {"path": "tedlium_16672.wav", "duration": 9.51, "text": "and I am confident we are investing in the technologies and channels necessary to accelerate top line growth over time."}, {"path": "tedlium_16673.wav", "duration": 9.51, "text": "and the team is actively engaged with the business units as well as external advisers in an effort to improve cash generation and management."}, {"path": "tedlium_16674.wav", "duration": 9.51, "text": "The multifamily segment will continue to grow, but we expect a deceleration in the rate of growth as compared to the last few years."}, {"path": "tedlium_16675.wav", "duration": 9.51, "text": "The growth of both revenue margin will make an investments in our business and demonstrates the disciplined approach we set out 2 years ago."}, {"path": "tedlium_16676.wav", "duration": 9.4800625, "text": "But the green shoots across the end markets in which we operate continue to point to steady growth for Granite from healthy public and private market demands."}, {"path": "tedlium_16677.wav", "duration": 9.48, "text": "And as a result, we do continue to see our largest investors invest across a number of our funds. I mentioned earlier"}, {"path": "tedlium_16678.wav", "duration": 9.48, "text": "As we continue to scale our direct lending business, our team can retain a larger share of their originations, thereby improving profitability."}, {"path": "tedlium_16679.wav", "duration": 9.48, "text": "With that, let me turn it over to Patricia for a few comments. Thank you, Darin. Gary asked if I'd summarize before opening the lines for questions."}, {"path": "tedlium_16680.wav", "duration": 9.48, "text": "This is typically related to deployment cycles of large strategic partners, but there are other factors, which Darin will be addressing in more detail."}, {"path": "tedlium_16681.wav", "duration": 9.48, "text": "As one of the global programs, domestic project was decided to be pursued. Between these 2, there is no contradiction."}, {"path": "tedlium_16682.wav", "duration": 9.48, "text": "European, north and eastern U.S. as one of the more challenged market areas. But I think it fundamentally has not changed the way that we look at the business on that."}, {"path": "tedlium_16683.wav", "duration": 9.48, "text": "level or even go up from here in terms of commodity prices, wouldn't that kind of go against a full reversal of the working capital?"}, {"path": "tedlium_16684.wav", "duration": 9.48, "text": "Is there any kind of, as we look at 2018, just a general sense for whether there's going to be more renovation activity or less relative"}, {"path": "tedlium_16685.wav", "duration": 9.48, "text": "the challenges whether or not people are prepared to sell in the current environment. I think the reality is there's probably more"}, {"path": "tedlium_16686.wav", "duration": 9.48, "text": "On a positive note, we had strong performances in our parts and services departments, from our truck dealerships and in Carlins Auctions."}, {"path": "tedlium_16687.wav", "duration": 9.48, "text": "As just noted, the increase is primarily impacted by the recently approved organizational restructuring, which will result in the elimination of Crombie's most significant corporate subsidiary"}, {"path": "tedlium_16688.wav", "duration": 9.48, "text": "and when and why. This is in stark contrast to the approach of the prior management team, which utilized more of a snapshot-type method."}, {"path": "tedlium_16689.wav", "duration": 9.48, "text": "But the thing to keep in mind again is that Pony is a liquid line -- liquids line. It's important for shippers to maintain history."}, {"path": "tedlium_16690.wav", "duration": 9.48, "text": "And we have entertained conversations with some about extending their contracts. We continue to have those conversations."}, {"path": "tedlium_16691.wav", "duration": 9.48, "text": "And I guess any litigation that had prior existed has now been resolved as part of the agreement, is that correct?"}, {"path": "tedlium_16692.wav", "duration": 9.48, "text": "We've improved our right to win, and we're leveraging best practices across the organization to ensure we deliver service excellence for our clients each and every day."}, {"path": "tedlium_16693.wav", "duration": 9.48, "text": "for home infusion companies billing drugs under Part D. When there is an immediate and significant reimbursement cut,"}, {"path": "tedlium_16694.wav", "duration": 9.48, "text": "these are incremental relationships for us. And there's a little bit of transition we go through. For instance, as clients are in the evaluation or early part of the adoption phase, they"}, {"path": "tedlium_16695.wav", "duration": 9.48, "text": "And they are starting to look at the jobs differently. And just as Granite started 12, 18 months ago, I see our competitors following with"}, {"path": "tedlium_16696.wav", "duration": 9.48, "text": "And I think were it to reverse, I think we're going to demonstrate, because of this unique model, that we have a high dividend rate relative to what people are used to seeing,"}, {"path": "tedlium_16697.wav", "duration": 9.48, "text": "something you saw an opportunity to kind of acquire more subs? And is that something that we -- I said -- I think you said it was going to moderate in the fourth quarter. But"}, {"path": "tedlium_16698.wav", "duration": 9.48, "text": "I look forward to the opportunity to continue James's legacy of strong leadership and working closely with him to ensure a smooth transition."}, {"path": "tedlium_16699.wav", "duration": 9.48, "text": "It has been energizing to reconnect with the company and many of the people I spent a good portion of my earlier career working with to deliver on our customers expectations."}, {"path": "tedlium_16700.wav", "duration": 9.48, "text": "cost efficiency initiatives that will continue to benefit the margins. But since the 2 segments are close to all-time highs,"}, {"path": "tedlium_16701.wav", "duration": 9.48, "text": "What we would rather do is to have internal controls, so that our market can go back to the normal condition."}, {"path": "tedlium_16702.wav", "duration": 9.48, "text": "one of the increases in the staff cost has been we've added a few additional people in Switzerland to maintain the throughputs of projects"}, {"path": "tedlium_16703.wav", "duration": 9.48, "text": "this quarter was the first time our ending unit count outside of Oklahoma exceeded the ending unit count inside of Oklahoma."}, {"path": "tedlium_16704.wav", "duration": 9.48, "text": "has exceeded our internal expectations, and are also the direct result of the investments that we've made in hardware and game development."}, {"path": "tedlium_16705.wav", "duration": 9.48, "text": "The restaurant will be located in Downtown Miami on Biscayne Boulevard at the new ME Hotel through a management deal with our partners, the ME Hotel group."}, {"path": "tedlium_16706.wav", "duration": 9.48, "text": "Among these individuals, there is extensive experience from leading organizations within the orphan disease space and from biotechnology more broadly,"}, {"path": "tedlium_16707.wav", "duration": 9.48, "text": "as you see over the years, we have the speed between 2% and 4% in shortening of AVLOS. And the last quarter for the"}, {"path": "tedlium_16708.wav", "duration": 9.48, "text": "We expect to continue for several quarters to come with our ongoing enhancements to our KYC processes and with expanding our orders in compliance functions."}, {"path": "tedlium_16709.wav", "duration": 9.48, "text": "where we had changes going on and we were not conservative, and that did not work well for us. So we've taken a much more modest approach."}, {"path": "tedlium_16710.wav", "duration": 9.48, "text": "supported by a commercial portfolio with double-digit year-over-year growth expectations. Combining that with the ability to leverage our strong financial position"}, {"path": "tedlium_16711.wav", "duration": 9.48, "text": "I think we can have a debate about what industry averages over the long term. But yes, I think in 1920s -- I think pretty consistent with what we think. So"}, {"path": "tedlium_16712.wav", "duration": 9.48, "text": "In addition, the mix this quarter positively impacted us as we delivered more systems than a typical first quarter, especially in the Americas."}, {"path": "tedlium_16713.wav", "duration": 9.48, "text": "last quarter. I think you see the continuation of that this quarter with everyone doing really, really well. So I think that's just a validation of what we've been saying"}, {"path": "tedlium_16714.wav", "duration": 9.48, "text": "So the revenue certainly was an easier compare in the current quarter, given last year we were announcing the new product that came out late in the quarter, but we're really pleased with the margin expense performance. I"}, {"path": "tedlium_16715.wav", "duration": 9.48, "text": "I would expect the steel to be fully erected by sometime in the third quarter and then finish trades and significantly more"}, {"path": "tedlium_16716.wav", "duration": 9.48, "text": "Civil segment revenue was up 14% compared to the fourth quarter of last year primarily as a result of progress on the Newark Airport Terminal 1 project"}, {"path": "tedlium_16717.wav", "duration": 9.48, "text": "We like the portfolio we have, but we are also very much a growth company, so we will continue systematically to add to the story."}, {"path": "tedlium_16718.wav", "duration": 9.48, "text": "transaction volumes from both a financing and investment sales standpoint were a bit sporadic. I was quite interested that when rates"}, {"path": "tedlium_16719.wav", "duration": 9.48, "text": "With our new suite of offerings, we've made a major step towards being able to act as a trusted adviser to our clients and prepare them for success in a value-based world."}, {"path": "tedlium_16720.wav", "duration": 9.48, "text": "With respect to the open position of Chief Credit Officer, I am pleased to report that we have identified a strong finalist who is an exceptionally qualified candidate."}, {"path": "tedlium_16721.wav", "duration": 9.48, "text": "Our 2 companies will remain intently focused on being a true strategic partner to the colleges and universities we serve."}, {"path": "tedlium_16722.wav", "duration": 9.48, "text": "As part of that effort, over the last quarter, I've held several mission ceremonies with thousands of our team members to share with them our new mission and guiding principles."}, {"path": "tedlium_16723.wav", "duration": 9.48, "text": "We believe we may experience some fluctuations in revenues in this stage of the launch, as the sales channel normalizes between distribution and sell-through to vet clinics."}, {"path": "tedlium_16724.wav", "duration": 9.48, "text": "And as I think that has a bigger impact on us than other things. We certainly see the first quarter as the low point for the year. We expect,"}, {"path": "tedlium_16725.wav", "duration": 9.48, "text": "statements regarding the outlook for the company's future business and financial performance. Forward-looking statements are based on current expectation and assumption of FLY's management,"}, {"path": "tedlium_16726.wav", "duration": 9.48, "text": "And the main effects of demonetization have been in the regions where you don't have a banking sector that is well-developed, like Central India,"}, {"path": "tedlium_16727.wav", "duration": 9.48, "text": "And if there are -- if there are areas where we can operate in a leaner, more efficient fashion, we're going to seek them out. We'll find them and we'll make the necessary changes."}, {"path": "tedlium_16728.wav", "duration": 9.48, "text": "The contract was modified to put a greater emphasis on carrying out face-to-face assessments at a reduced level."}, {"path": "tedlium_16729.wav", "duration": 9.48, "text": "Thanks, Jody. Good afternoon, everyone, and thank you for joining us. I'm excited to provide highlights from another quarter of solid financial performance,"}, {"path": "tedlium_16730.wav", "duration": 9.48, "text": "has enabled us to focus our management attention and critical resources on the most important priorities for Starbucks, our partners and our shareholders."}, {"path": "tedlium_16731.wav", "duration": 9.48, "text": "We've eliminated a considerable amount of inefficiency, and we've transformed a lot of our operations to be simpler and easier for both our employees and customers."}, {"path": "tedlium_16732.wav", "duration": 9.48, "text": "The securities yield declined slightly. This was primarily due to higher premium amortization on the SBA or small business association loans"}, {"path": "tedlium_16733.wav", "duration": 9.48, "text": "That means there is a big and growing opportunity to provide robust, free AVOD offerings for viewers who want much more content"}, {"path": "tedlium_16734.wav", "duration": 9.48, "text": "content producers and distributors. That support, combined with the fact that we have the only majority Chinese equity investment"}, {"path": "tedlium_16735.wav", "duration": 9.48, "text": "So we have simply made one basic adjustment to the outlook, and that is a technical adjustment due to the fact"}, {"path": "tedlium_16736.wav", "duration": 9.48, "text": "that we don't get back to where we originally thought we'd be in the midyear. And we're also having to build some inventory because our landlord, again, has shifted"}, {"path": "tedlium_16737.wav", "duration": 9.48, "text": "to slow down. It was great in the first quarter. It's always difficult to predict. So I don't want to say it's going to be up every quarter like it was this quarter."}, {"path": "tedlium_16738.wav", "duration": 9.48, "text": "is anticipated to be consistent to modestly lower than 2017, primarily due to the anticipated impact of increases in electricity mill rate"}, {"path": "tedlium_16739.wav", "duration": 9.48, "text": "Moving on to our end-markets update. On Slide 7, we have a diversified mix of revenues that are focused on some of the most active segments of the overall market."}, {"path": "tedlium_16740.wav", "duration": 9.48, "text": "the drivers of growth and the leverage, for instance, the operating leverage we have in the Northeast and what volumes mean to us in terms of EBITDA there."}, {"path": "tedlium_16741.wav", "duration": 9.48, "text": "owing to our preference of profitable growth rather than growth for growth sake. As we believe that this sets us up for even stronger"}, {"path": "tedlium_16742.wav", "duration": 9.48, "text": "Large global companies took an interest in our product, but they required months of validation, testing before they started placing purchase orders."}, {"path": "tedlium_16743.wav", "duration": 9.48, "text": "comprehensive solution for rapid quality control testing of both sterile and non-sterile biopharmaceutical and consumer products."}, {"path": "tedlium_16744.wav", "duration": 9.48, "text": "I'm now well integrated into the investment side of the business here and by way of comparison, I've had experience in very complex capital allocation processes"}, {"path": "tedlium_16745.wav", "duration": 9.48, "text": "Sales were flat overall, with the adverse impact of the divestment of Opel during the prior year offset by currency gains on translation."}, {"path": "tedlium_16746.wav", "duration": 9.48, "text": "delivering operational excellence in our manufacturing facilities and supply chain and providing all of this with exceptional customer service."}, {"path": "tedlium_16747.wav", "duration": 9.48, "text": "Looking to the balance of the year, we expect to continue to benefit from a supportive backdrop in the end markets we serve and we expect to outperform those markets"}, {"path": "tedlium_16748.wav", "duration": 9.48, "text": "make sure that we had some success within our core base. But eventually this will be a ProfitStars solution that will sell outside the Jack Henry core base just like many of the other solutions that we offer."}, {"path": "tedlium_16749.wav", "duration": 9.48, "text": "that were implemented during the course of last year. And they were implemented in the second quarter and started to benefit toward the end of the second quarter"}, {"path": "tedlium_16750.wav", "duration": 9.48, "text": "as -- going forward, I think you'll see more of the same. We're focused on driving traffic in as we continue to debut new assortments, and I don't think"}, {"path": "tedlium_16751.wav", "duration": 9.48, "text": "we plan to increase our advertising spend compared to the second quarter as we enter into the all-important fall season, a peak decision period for prospective students."}, {"path": "tedlium_16752.wav", "duration": 9.48, "text": "associated with an acquisition that the company is no longer pursuing. As Wally commented earlier, selling and promotional expense is expected to increase"}, {"path": "tedlium_16753.wav", "duration": 9.48, "text": "It is true that we believe that our presence in major cities is an important element of our international strategy going forward,"}, {"path": "tedlium_16754.wav", "duration": 9.48, "text": "Our updated guidance also incorporates all of the transactional activity completed to date as well as the anticipated closing of the 2 suburban Boston assets."}, {"path": "tedlium_16755.wav", "duration": 9.48, "text": "driving our competitiveness and building earning power as we capture growth from new programs and from executing on our industry-leading backlogs."}, {"path": "tedlium_16756.wav", "duration": 9.48, "text": "While these statements reflect our best current judgment, they are subject to risks and uncertainties that could cause our actual results to differ materially."}, {"path": "tedlium_16757.wav", "duration": 9.48, "text": "In addition, we strive to have strong partnerships with our independent operators and are pleased with the results to date."}, {"path": "tedlium_16758.wav", "duration": 9.48, "text": "has helped us provide -- helped us to best identify our product pipeline moving forward. We are working quickly and diligently to make our ideas a reality."}, {"path": "tedlium_16759.wav", "duration": 9.48, "text": "driven by workers' comp and incentive compensation accrual reversals. Now, I would like to turn the call back over to Tom for concluding remarks."}, {"path": "tedlium_16760.wav", "duration": 9.48, "text": "I would like to see both systems and service grow at the same time and still maintain somewhere around 25% to 30%, but both the business grow at the same time."}, {"path": "tedlium_16761.wav", "duration": 9.48, "text": "making its director product eligible for procurement by all federal agencies based on its security and reliability as a third-party cloud solution."}, {"path": "tedlium_16762.wav", "duration": 9.48, "text": "specific to the look and feel and ambience of the store, the store environment. So we're going to pick a couple, one store in the Los Angeles area, one store here in the city,"}, {"path": "tedlium_16763.wav", "duration": 9.48, "text": "and third, the cost of debt still falling, and our debt providers are still continuing to provide us with very strong support."}, {"path": "tedlium_16764.wav", "duration": 9.48, "text": "Europe remains the most stable region. Constant currency yields and unit revenues even increased in the second quarter."}, {"path": "tedlium_16765.wav", "duration": 9.48, "text": "We have made the decision to accelerate certain investments this year to capture some attractive commercial opportunities, which will result in an increase in capital expenditure."}, {"path": "tedlium_16766.wav", "duration": 9.48, "text": "We continue to invest in being the best partner for small businesses. We are developing tools and marketing and distribution systems to reach new audiences."}, {"path": "tedlium_16767.wav", "duration": 9.48, "text": "every commodity today that we purchase is at a higher level than what we originally anticipated. So I think it's a pretty broad-based"}, {"path": "tedlium_16768.wav", "duration": 9.48, "text": "is almost identical. In fact, it's up a little bit in the first half of '17, if you take out that pension contribution. So really what happened is we had"}, {"path": "tedlium_16769.wav", "duration": 9.48, "text": "What are you seeing economically? Is the consumer starting to roll over as Intermodal volumes suggested throughout the fourth quarter of '15? Or is it holding firm?"}, {"path": "tedlium_16770.wav", "duration": 9.48, "text": "A better explanation of Q4 volumes results is that realized volumes were not as strong as anticipated moving into the month of December."}, {"path": "tedlium_16771.wav", "duration": 9.48, "text": "little concerning, but we also have an opportunity to bring in people with -- that can fit the skill set that we're going to be needing as the utility of the future,"}, {"path": "tedlium_16772.wav", "duration": 9.48, "text": "our focus remains squarely on managing our portfolio to deliver consistent returns and a well-covered and attractive dividend to our shareholders."}, {"path": "tedlium_16773.wav", "duration": 9.48, "text": "One of the biggest stories in the news these days relates to the Volkswagen diesel issue and how that may impact the automotive supply chain."}, {"path": "tedlium_16774.wav", "duration": 9.48, "text": "a lower cost of ownership to the customer. So we're excited -- continue to be excited about this space. We are very selective in picking our spots."}, {"path": "tedlium_16775.wav", "duration": 9.48, "text": "And so the ones that adjust every 5 years, you really don't need inflation to do better because what you do is you buy a year-1 cap rate, and then you ultimately do better over time."}, {"path": "tedlium_16776.wav", "duration": 9.48, "text": "versus what you're seeing? And is this more a function of product mix or is there something else fundamentally that we need to keep in mind?"}, {"path": "tedlium_16777.wav", "duration": 9.48, "text": "The key point we made at our Investor Day is that our GameStop-branded stores are increasing profitability over the last several years"}, {"path": "tedlium_16778.wav", "duration": 9.48, "text": "I think particularly in the Contemporary Fashion side of our business is where I would expect to see the most lift, and that has a lot to do with the fact that"}, {"path": "tedlium_16779.wav", "duration": 9.48, "text": "we'll simply make an evaluation of where we think the most economic place for us is from a facility perspective and from a strategic perspective,"}, {"path": "tedlium_16780.wav", "duration": 9.48, "text": "Before I begin my review of our fourth quarter and 2018 results, I'd like to take a moment on Slide 5 to discuss notable items and how they impacted our financials."}, {"path": "tedlium_16781.wav", "duration": 9.48, "text": "Thank you. Before we begin, I want to remind you that we will be making forward-looking statements in our comments and in response to your questions concerning our expectations"}, {"path": "tedlium_16782.wav", "duration": 9.48, "text": "of unfavorable impact from the reservation system cutover. We do not expect a significant impact beyond third quarter."}, {"path": "tedlium_16783.wav", "duration": 9.48, "text": "and so there's very good opportunities for a company like us that has a lot of resources and technology, but perhaps we're not that premier a name in fragrances."}, {"path": "tedlium_16784.wav", "duration": 9.48, "text": "Our strategy is focused across 3 specific areas. First, we're finding new ways of optimizing our operational performance"}, {"path": "tedlium_16785.wav", "duration": 9.48, "text": "we increased public carrier market sales significantly from a year ago. This was the direct result of changes we are making in our go-to-market strategy."}, {"path": "tedlium_16786.wav", "duration": 9.48, "text": "the grocer and the customer is improved by that level of service, so particularly, when you look at how some of the better grocers are executing upon it."}, {"path": "tedlium_16787.wav", "duration": 9.48, "text": "So our phone models that we have today have been out now for roughly about a year and are extremely well-received out in the field."}, {"path": "tedlium_16788.wav", "duration": 9.48, "text": "Our performance is being driven by many factors, most notably our strategic focus on building strong local radio brands, with compelling personalities and content,"}, {"path": "tedlium_16789.wav", "duration": 9.48, "text": "We have successfully applied big data and AI technology throughout the user journey for our user acquisition,"}, {"path": "tedlium_16790.wav", "duration": 9.48, "text": "As Evan mentioned, we launched Lens Studio less than 2 months ago to make it easier for our community and our advertisers to create Lenses."}, {"path": "tedlium_16791.wav", "duration": 9.48, "text": "taking benefits. So that was adding and actually putting downward pressure on margins because it was putting upward pressure on revenue growth. We now have"}, {"path": "tedlium_16792.wav", "duration": 9.48, "text": "You talked about a global -- a slowdown or a normalization in that business. Perhaps you could provide some additional color on that."}, {"path": "tedlium_16793.wav", "duration": 9.48, "text": "I'd like to conclude my comments today by thanking all of our colleagues for their hard work over this last year. I'm looking forward to reporting on our future success."}, {"path": "tedlium_16794.wav", "duration": 9.48, "text": "As noted last quarter, you will see a continued shift from professional services to the salary and benefits expense line as new hires replace consultants moving forward."}, {"path": "tedlium_16795.wav", "duration": 9.48, "text": "We are encouraged and motivated by our early progress. And while we have clearly defined the changes we need to make, there normally are some bumps along the way."}, {"path": "tedlium_16796.wav", "duration": 9.48, "text": "Our revenue performance in the first quarter was affected primarily by a decline in maintenance and support revenue related to legacy hardware products, as anticipated."}, {"path": "tedlium_16797.wav", "duration": 9.48, "text": "We are currently in the construction phase of that facility and plan on taking occupancy in late November of this year."}, {"path": "tedlium_16798.wav", "duration": 9.4500625, "text": "work rate point of view, I think that's quite achievable. The fact that we haven't drilled on the field extensively for the last 2 years does mean that production has declined, and"}, {"path": "tedlium_16799.wav", "duration": 9.45, "text": "both help subscribers enjoy faster overall Internet speed or enjoy more privileges and services."}, {"path": "tedlium_16800.wav", "duration": 9.45, "text": "and I understand for next quarter, I've got to back out kind of the Latin America sales, so I know it's kind of hard to predict these numbers."}, {"path": "tedlium_16801.wav", "duration": 9.45, "text": "in terms of size. So we would expect you to see several acquisitions a year on the Quench side that may be a bit smaller, and frankly one acquisition a year"}, {"path": "tedlium_16802.wav", "duration": 9.45, "text": "Our guidance that came out our the last Investor Day was that we will grow our dividend double digit each year and we would reduce our share count each year."}, {"path": "tedlium_16803.wav", "duration": 9.45, "text": "of the quarter, just on the nature of the closings and how those deals went. So there's some benefit from an uptick perspective there."}, {"path": "tedlium_16804.wav", "duration": 9.45, "text": "And that helps to offset some of the prices that need to be paid for the great companies that we're buying, because our thesis is literally,"}, {"path": "tedlium_16805.wav", "duration": 9.45, "text": "We expect to turn on fees for our latest vintage U.S. buyout fund towards the end of the second quarter and the new Asia fund in the second half of the year."}, {"path": "tedlium_16806.wav", "duration": 9.45, "text": "than the second quarter number. Having said that, I think a lot of the things that we talked about a year ago that we said would start hitting the bottom line this year,"}, {"path": "tedlium_16807.wav", "duration": 9.45, "text": "Actual results may differ materially as a result of various risk factors that have been described in our periodic filings with the SEC."}, {"path": "tedlium_16808.wav", "duration": 9.45, "text": "We are still largely on track to hit our commitments for this year, but margins were a little below our expectations in the quarter because of the timing of certain shipments."}, {"path": "tedlium_16809.wav", "duration": 9.45, "text": "and the momentum coming out of the first half will continue into H2. Now is the right time to review the options to take this business forward."}, {"path": "tedlium_16810.wav", "duration": 9.45, "text": "My questions are a little bit more simplistic because I can detect some of these calls, probably most all of them, have come from brokerage houses, maybe, that handle a lot of your shares."}, {"path": "tedlium_16811.wav", "duration": 9.45, "text": "that we've called out before, but what I would tell you is they were more flattish. And so we had improved margins for Canada,"}, {"path": "tedlium_16812.wav", "duration": 9.45, "text": "But the healthcare landscape is rapidly evolving, and we need perpetual and nimble innovation to best serve our customers' healthcare needs."}, {"path": "tedlium_16813.wav", "duration": 9.45, "text": "you still doing nothing new in France. Are you still at the same point, or have you any new plans for the French"}, {"path": "tedlium_16814.wav", "duration": 9.45, "text": "Customers clearly responded to the fresh, exciting and trend-right assortment in our stores throughout the quarter."}, {"path": "tedlium_16815.wav", "duration": 9.45, "text": "Okay, great. And then secondly, there's been a lot of discussion about the weak retail traffic that's kind of happening around your stores and how that might be"}, {"path": "tedlium_16816.wav", "duration": 9.45, "text": "that we've made available to advisers on the platform will have been screened and approved for platform use by a respected and impartial third-party."}, {"path": "tedlium_16817.wav", "duration": 9.45, "text": "This is pressuring hotel operating margins and lengthening new hotel construction time lines, particularly for non-prototype and urban hotels"}, {"path": "tedlium_16818.wav", "duration": 9.45, "text": "some of the returns that we were looking at are very low. And by the way, well below doesn't mean they're losing money by any extent. These are still double-digit"}, {"path": "tedlium_16819.wav", "duration": 9.45, "text": "We continued our brand awareness campaign to help better position our products and services offerings and drive future revenue growth."}, {"path": "tedlium_16820.wav", "duration": 9.45, "text": "delivering better results, EBIT-wise, in Orkla Care. This time, you're well below. And you have even had to spend more advertising money"}, {"path": "tedlium_16821.wav", "duration": 9.45, "text": "In summary, I am extremely pleased with the progress we've made with the transition, and I believe we're positioning the company to expand our technology leadership in the construction space."}, {"path": "tedlium_16822.wav", "duration": 9.45, "text": "And I'm just curious how that would compare to sites that have yet to be reimaged? I think the 2% is a really good number. That's what we see inside, outside"}, {"path": "tedlium_16823.wav", "duration": 9.45, "text": "presented us with a potential loss of supply. Thankfully, Enbridge was able to get it parallel 30 inch transmission line back in service quickly."}, {"path": "tedlium_16824.wav", "duration": 9.45, "text": "which provided us with a sense of confidence around our low-to-mid single digit organic constant currency revenue growth target that we discussed with you on that call."}, {"path": "tedlium_16825.wav", "duration": 9.45, "text": "and look for opportunities to grow our business. We don't want to be tapped out and then be faced with the prospect of even having to divest things. So I think we feel like that,"}, {"path": "tedlium_16826.wav", "duration": 9.45, "text": "certainly the success we've had at 400 West Georgia gives us confidence that there's a lot of demand"}, {"path": "tedlium_16827.wav", "duration": 9.45, "text": "The dealer network is also in the process of being expanded. So these new products were taken to major capital city shows between February and May of this year."}, {"path": "tedlium_16828.wav", "duration": 9.45, "text": "is there a need to sort of grow that business in different ways? Are there products? Are there strategies, et cetera, that need to be added to this? And"}, {"path": "tedlium_16829.wav", "duration": 9.45, "text": "And from a margin point of view, I cannot quantify it but I know that the positive impact is already being seen."}, {"path": "tedlium_16830.wav", "duration": 9.45, "text": "We've obtained broad reimbursement coverage and continue to make great progress with payers, experiencing shorter and shorter times toward moving from prescription to patients receiving drug."}, {"path": "tedlium_16831.wav", "duration": 9.45, "text": "them is opening up new sorts of drilling techniques and better insight into downhole conditions and enables them to avoid lots of trouble, costs and to drill faster and to"}, {"path": "tedlium_16832.wav", "duration": 9.45, "text": "A market environment in which customers strive to implement better physical and digital solutions, drill ever-increasing lateral lengths more quickly at lower costs"}, {"path": "tedlium_16833.wav", "duration": 9.45, "text": "Looking towards the future, we see large opportunities to expand our customer base and add capacity at existing customers as their research needs grow."}, {"path": "tedlium_16834.wav", "duration": 9.45, "text": "At Deutsche Bank, we're undertaking as much restructuring as possible in 2016 despite the burden of lost revenues and added expense in the year."}, {"path": "tedlium_16835.wav", "duration": 9.45, "text": "about a 10%. And that was just through normal attrition, and we just didn't add any of those people. Obviously, if they have a key position"}, {"path": "tedlium_16836.wav", "duration": 9.45, "text": "Our vision for CapStar is to be a high-performing financial institution known for sound, profitable growth."}, {"path": "tedlium_16837.wav", "duration": 9.45, "text": "Stepping back and looking at the broader context. 2018 shows how the industry has fundamentally changed over the past 5 years."}, {"path": "tedlium_16838.wav", "duration": 9.45, "text": "If you bring it into Mexico from China, it's 30%. If you bring it into Brazil from China, it's 40%. So what you want to do is look and say, well,"}, {"path": "tedlium_16839.wav", "duration": 9.45, "text": "we feel very good with that in the Americas, and we're also transitioning that model into EMEA, with a heavier focus on new logos."}, {"path": "tedlium_16840.wav", "duration": 9.45, "text": "not rely as much on existing business and renewals is where we want to go, and that's what we do well, which is why we're driving into those markets."}, {"path": "tedlium_16841.wav", "duration": 9.45, "text": "Except as provided by federal securities laws, we are not required to publicly update or revise any forward-looking or cautionary statements."}, {"path": "tedlium_16842.wav", "duration": 9.45, "text": "On interest -- incremental interest associated with the Hiland transaction is more than offset by lower balance and lower rates."}, {"path": "tedlium_16843.wav", "duration": 9.45, "text": "And we are also seeking to provide the most convenient injection experience to our patients, and we'll talk more about that on Investor Day."}, {"path": "tedlium_16844.wav", "duration": 9.45, "text": "Next question. What caused the slowdown in revenue growth? What has changed on the ground versus your initial expectations?"}, {"path": "tedlium_16845.wav", "duration": 9.45, "text": "how do you get workflows that span not just that asset but other assets that sit on the platform. So I briefly reference, the reality is"}, {"path": "tedlium_16846.wav", "duration": 9.45, "text": "However, we expect these typical negative factors will be offset by improvements in product mix and production efficiency,"}, {"path": "tedlium_16847.wav", "duration": 9.45, "text": "continue to shop more often at the traditional warung small retail shops than at supermarkets and other modern trade channels."}, {"path": "tedlium_16848.wav", "duration": 9.45, "text": "and a recent Federal Reserve study found that 2 of the 3 top issues concerning small businesses were the lack of credit availability and uneven cash flow."}, {"path": "tedlium_16849.wav", "duration": 9.45, "text": "Before we begin, we remind everyone of the forward-looking statements disclaimer. Please be advised that during the course of this conference call, management may make forward-looking statements"}, {"path": "tedlium_16850.wav", "duration": 9.45, "text": "One new win, a consumer manufacturing company, is integrating 3 of CyberArk's products into what the customer identifies as an Internet of Things project."}, {"path": "tedlium_16851.wav", "duration": 9.45, "text": "so we did have a little bit of a benefit, I would say, in Global Power from timing in Q1. We had a couple of projects we've been performing very well on,"}, {"path": "tedlium_16852.wav", "duration": 9.45, "text": "what we find is that the broader industrial marketplace is a better indicator of the speed at which we'll grow the business."}, {"path": "tedlium_16853.wav", "duration": 9.45, "text": "relative to the pound and euro, so it's been a little bit of a challenge for us, not in terms of profitability, but just in terms of demonstrating the growth that we are actually seeing over there."}, {"path": "tedlium_16854.wav", "duration": 9.45, "text": "and leveraging our tax pros to do that. So we think we're incredibly well-positioned to provide that kind of service versus our competition."}, {"path": "tedlium_16855.wav", "duration": 9.45, "text": "In a given quarter, of course, you have to then think about the number of tons that are sold as well, right? In a given quarter,"}, {"path": "tedlium_16856.wav", "duration": 9.45, "text": "how many pieces along the way that really is, that you've got to debottleneck when you start changing your production blend. And it's not quite as easy as some people think it is."}, {"path": "tedlium_16857.wav", "duration": 9.45, "text": "with EOGs legacy acreage position and this resulted in the opportunity to drill extended laterals and the ability to utilize much of our existing infrastructure in our core area."}, {"path": "tedlium_16858.wav", "duration": 9.45, "text": "growth in auto in the first quarter. We also continue to see some market share gain as people adapt our products"}, {"path": "tedlium_16859.wav", "duration": 9.45, "text": "When you look at the business mix, I'm extremely proud that we have continued to optimize our business mix."}, {"path": "tedlium_16860.wav", "duration": 9.45, "text": "And we haven't had an org structure that puts a champion in charge of that to drive that -- those improvements across all the banners."}, {"path": "tedlium_16861.wav", "duration": 9.45, "text": "And this is obviously of that trend of low sugar and health and wellbeing. So we're hoping to see some good traction there. And by June, we will have a breakfast drink,"}, {"path": "tedlium_16862.wav", "duration": 9.45, "text": "We are also aggressively building our presence in the high-growth, high-margin AVOD market through new channels, platform partnerships and licensing deals,"}, {"path": "tedlium_16863.wav", "duration": 9.45, "text": "Expenditures for Project Compass are not included in our current capital projections. Our proposal currently calls for this first segment to be built"}, {"path": "tedlium_16864.wav", "duration": 9.45, "text": "This then translates also to some implications for how we see cooling technologies developing in this marketplace."}, {"path": "tedlium_16865.wav", "duration": 9.45, "text": "and also some investments that we've continued to do in our MTech software business that we are building for the future."}, {"path": "tedlium_16866.wav", "duration": 9.45, "text": "experienced across the whole first half? Or was it more experienced towards the back of the first half? I'm trying to understand when the volumes really picked up"}, {"path": "tedlium_16867.wav", "duration": 9.45, "text": "cases where -- just if it's a foreign capital situation, it's -- there's always uncertainty on timing, right? So how would you guys kind of approach that with the market?"}, {"path": "tedlium_16868.wav", "duration": 9.45, "text": "and continued progress in our internal and external research projects, will go a long way, continuing to further increase shareholder value."}, {"path": "tedlium_16869.wav", "duration": 9.45, "text": "We raised pricing on both monthly and single premiums for higher risk loans, and lower pricing on higher-quality loans."}, {"path": "tedlium_16870.wav", "duration": 9.45, "text": "Not only from the technical perspective, which we're getting better and better at, but as I was talking a lot about this morning to my future colleagues"}, {"path": "tedlium_16871.wav", "duration": 9.45, "text": "We do think we'll have consulting expense on things like model validation, but it shouldn't approach those sorts of numbers."}, {"path": "tedlium_16872.wav", "duration": 9.45, "text": "Yes. So let's see, was there any deferral of any revenue from the previous quarter into this quarter?"}, {"path": "tedlium_16873.wav", "duration": 9.45, "text": "Our focus on continuous improvement helped boost margin expansion. And our capacity expansion is currently in the process of being commissioned."}, {"path": "tedlium_16874.wav", "duration": 9.45, "text": "to the other. And if we could have consumer insights and products, which come from one country to be brought to another, that should help to"}, {"path": "tedlium_16875.wav", "duration": 9.45, "text": "small in the market considering our presence, and we think that presents us with strong opportunity. Our"}, {"path": "tedlium_16876.wav", "duration": 9.45, "text": "for the quarter, which actually would be pretty significant improvement over where it's been last year before we bought it and then even after we bought it. So"}, {"path": "tedlium_16877.wav", "duration": 9.45, "text": "We'll spend the next several months migrating each of our retail brands to this platform. We hope to have this migration complete in time for the holiday shopping season."}, {"path": "tedlium_16878.wav", "duration": 9.45, "text": "our Los Angeles Refinery down for planned maintenance, and we had some unplanned maintenance in the early part of the quarter. There was a continuation from"}, {"path": "tedlium_16879.wav", "duration": 9.45, "text": "and a portion, some of the construction disruption as well as just the overall dynamics in The Strip where other operators may or may not have a good"}, {"path": "tedlium_16880.wav", "duration": 9.45, "text": "We will continue to emphasize our Discovery series of thermal analyzers while continuing system launches that will add to an already fresh and strong product line."}, {"path": "tedlium_16881.wav", "duration": 9.45, "text": "what the credit markets look like and what a potential target would look like. But we certainly have tremendous flexibility given the position we're in today."}, {"path": "tedlium_16882.wav", "duration": 9.45, "text": "Taking another step in our journey, in September, we announced that Brent Yeagy would assume the role of President and Chief Operating Officer for Wabash National,"}, {"path": "tedlium_16883.wav", "duration": 9.45, "text": "As you know, we continue to execute a balanced capital allocation strategy, where we allocate capital to maintain our liquidity, deleverage the balance sheet,"}, {"path": "tedlium_16884.wav", "duration": 9.45, "text": "General corporate expenses were lower in the second quarter, primarily due to reduced employee-related expenses and higher allocations to the business units."}, {"path": "tedlium_16885.wav", "duration": 9.45, "text": "Based on inventory and production levels, we do not expect material changes in prices until the industry starts to cut back production."}, {"path": "tedlium_16886.wav", "duration": 9.45, "text": "I certainly saw a lot of growth in the Nielsen data, but you didn't mention it today. Have you lost any distribution on party trays?"}, {"path": "tedlium_16887.wav", "duration": 9.45, "text": "you have a -- that share impact we talked about with respect to Nintendo is not as dramatic as it is internationally."}, {"path": "tedlium_16888.wav", "duration": 9.45, "text": "Now I'll move on to second quarter commentary. Hardware in Q2 will be driven by the allocation of and demand for Switch."}, {"path": "tedlium_16889.wav", "duration": 9.45, "text": "The brand will continue to work on completing renovations for its network while renewing focus on improving service in the off-channel premises."}, {"path": "tedlium_16890.wav", "duration": 9.45, "text": "prepared in accordance with GAAP. A reconciliation of these measures to the most directly comparable GAAP measure is available in our earnings release."}, {"path": "tedlium_16891.wav", "duration": 9.45, "text": "give you precise numbers around that connectiveness. I guess, the other thing that I would point out is coming this"}, {"path": "tedlium_16892.wav", "duration": 9.45, "text": "We intend to invest in the highest return opportunities available to us, including strategic bolt-on acquisitions into our growth platforms."}, {"path": "tedlium_16893.wav", "duration": 9.45, "text": "This is the way we manage the business, and we believe this provides the best transparency to investors about our ability to drive value across the portfolio."}, {"path": "tedlium_16894.wav", "duration": 9.45, "text": "I do believe we have the right team. I do believe we have the right strategy. And we are very focused on managing this very tightly."}, {"path": "tedlium_16895.wav", "duration": 9.45, "text": "In January, we made major progress in completing our transformation into a meaningfully less leveraged and much more focused consumer products company"}, {"path": "tedlium_16896.wav", "duration": 9.45, "text": "As we look at the full year, we continue to expect our normal seasonality in the third quarter, and our forecasted sales growth is in line with our prior expectations."}, {"path": "tedlium_16897.wav", "duration": 9.45, "text": "So I think that, that is maybe a function of something going on in the market. I don't know, but yes, our incoming opportunities have increased."}, {"path": "tedlium_16898.wav", "duration": 9.45, "text": "Not sure we have all the answers, but when we talk to our internal and external customers, some of the explanations coming up are"}, {"path": "tedlium_16899.wav", "duration": 9.45, "text": "we are continuing, we have things not transformational elements, but we do have some things in the pipeline, we hope we"}, {"path": "tedlium_16900.wav", "duration": 9.45, "text": "Well, I think we certainly have made representations and I think our representations probably similar to those of other participants. And I think we're awaiting the response"}, {"path": "tedlium_16901.wav", "duration": 9.45, "text": "but as I said, we are not in a hurry and we will take our time to make sure that we are investing in value-creating projects."}, {"path": "tedlium_16902.wav", "duration": 9.45, "text": "They may negotiate from a position of strengths that they do not want to put any money in, and we should go find the money, but they realize"}, {"path": "tedlium_16903.wav", "duration": 9.45, "text": "And Ethiopia, following a successful trial, we launched Guinness nationally in November to a strong response from consumers."}, {"path": "tedlium_16904.wav", "duration": 9.45, "text": "range for both quarters, and so that's why we felt that it was tracking largely with what we saw in the second quarter."}, {"path": "tedlium_16905.wav", "duration": 9.45, "text": "how can we think about this strategy going forward? How much -- is there a number that you would be willing to lose up to a certain threshold in terms of mortgage market share? Or are you happy with the"}, {"path": "tedlium_16906.wav", "duration": 9.45, "text": "So we don't see that changing going forward in North Dakota in terms of our competitiveness. I think in terms of"}, {"path": "tedlium_16907.wav", "duration": 9.45, "text": "a good fit with our strategy and our capabilities, an area where we see a good lead commercial products to bring us into that"}, {"path": "tedlium_16908.wav", "duration": 9.45, "text": "Finally, our field reimbursement team continues to positively impact the trends and approval rates for prior authorizations and targeted accounts across the country."}, {"path": "tedlium_16909.wav", "duration": 9.45, "text": "Just to see where we are when it comes to how we did regarding our financial objectives and the dividend policy."}, {"path": "tedlium_16910.wav", "duration": 9.45, "text": "I was wondering can you tell us how much of that growth was driven by the incremental revenue from the Saffron acquisition?"}, {"path": "tedlium_16911.wav", "duration": 9.45, "text": "The increase in revenue for both periods is primarily the result of higher direct sales to our customers in the regen med space and to our indirect distribution channel."}, {"path": "tedlium_16912.wav", "duration": 9.45, "text": "Now going back to the point around the pace of our investment program, that pace is going to be driven by value optimization."}, {"path": "tedlium_16913.wav", "duration": 9.45, "text": "Before we begin, please take note of Platform's cautionary statement regarding forward-looking statements in the press release and earnings deck issued and posted today in connection with this conference call."}, {"path": "tedlium_16914.wav", "duration": 9.45, "text": "What we did see is relative to your pull-in question or what we saw is we definitely -- I think we highlighted this in February that we thought there was somewhere around 70 to 100 basis points"}, {"path": "tedlium_16915.wav", "duration": 9.45, "text": "So it's not surprising that investors exhibit a certain degree of concern about the performance and prospects of our company in the near future."}, {"path": "tedlium_16916.wav", "duration": 9.45, "text": "To borrow the analogy from another industry, we are at the Apple II stage of our technology and that there's a lot more to come in the future."}, {"path": "tedlium_16917.wav", "duration": 9.45, "text": "Please see our recent SEC filings for more details on the risks that could impact Grace's future, operating results and financial condition."}, {"path": "tedlium_16918.wav", "duration": 9.45, "text": "But that's not something that we're playing for right now. Right now, we're focused on capturing our fair share of the existing operations, and we're doing it with better technology."}, {"path": "tedlium_16919.wav", "duration": 9.45, "text": "I believe we've been able to show that AmTrust is a great business with underwriting discipline, strong claims processing and outstanding actuarial expertise."}, {"path": "tedlium_16920.wav", "duration": 9.45, "text": "There are some things that we were looking on -- working on that very could have easily have closed at the end of July and didn't."}, {"path": "tedlium_16921.wav", "duration": 9.45, "text": "I don't -- with interest rates rising, I think that'll happen because of inflation as well as worldwide economic growth."}, {"path": "tedlium_16922.wav", "duration": 9.45, "text": "such as free cash flow and pro forma operating expense. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures"}, {"path": "tedlium_16923.wav", "duration": 9.45, "text": "other dynamic that is going to help us as well in the second half of the year is, the more we are progressing into the year, the more we are benefiting from our efficiency program"}, {"path": "tedlium_16924.wav", "duration": 9.45, "text": "Our observation is based purely on basic operating cost differences when you monetize them, so it shouldn't come as any surprise."}, {"path": "tedlium_16925.wav", "duration": 9.45, "text": "new demand that's just been created in Louisiana as well as lever ourselves in the existing demand that we weren't currently serving"}, {"path": "tedlium_16926.wav", "duration": 9.45, "text": "My second question is related to the deal on part of the business that you will take over at some stage."}, {"path": "tedlium_16927.wav", "duration": 9.45, "text": "the administration has to relook at some of how they think of policies, I don't control that. I think that's the best solution. They have to"}, {"path": "tedlium_16928.wav", "duration": 9.45, "text": "As you might expect, with the closing of the merger in the beginning of the second quarter and the system conversion mid-quarter, the period contained a bit of noise."}, {"path": "tedlium_16929.wav", "duration": 9.45, "text": "These team members are working right now. They're on the road, they're in the air, and they're probably at your doorstep delivering the holidays around the world."}, {"path": "tedlium_16930.wav", "duration": 9.45, "text": "that has been chronically underfunded over 13% over the past 9 years. So the 2019 rates were needed. They were necessary to cover program costs and keep benefits"}, {"path": "tedlium_16931.wav", "duration": 9.45, "text": "trend in the group commercial insured enrollment. I know that you had told us to expect the decline in the first quarter. It's just that"}, {"path": "tedlium_16932.wav", "duration": 9.45, "text": "And then maybe 1 still more on the actions you're taking now, the savings actions. Are you looking to exit any"}, {"path": "tedlium_16933.wav", "duration": 9.45, "text": "gas trading margins. The question particularly is whether we can explain why the gas trading"}, {"path": "tedlium_16934.wav", "duration": 9.45, "text": "We'll continue to upgrade our business and enhance our onstream rates. We will drive better safety performance and broaden our distribution capabilities."}, {"path": "tedlium_16935.wav", "duration": 9.45, "text": "Jonathan and I were quite nervous at the mid-year. And sure enough if they really had their finger on the pulse of the market and all those programs came in, in the back half quite nicely as they expected. So"}, {"path": "tedlium_16936.wav", "duration": 9.45, "text": "about our outlook for 2019. So first, we do welcome the recent stabilization of the oil prices."}, {"path": "tedlium_16937.wav", "duration": 9.45, "text": "We are planning to initiate another Phase II study in small fiber neuropathy towards the end of this year as we continue to explore multiple potential indications for this asset."}, {"path": "tedlium_16938.wav", "duration": 9.45, "text": "So if -- I would not be surprised to coming back to you and saying that was particularly strong as we move forward because"}, {"path": "tedlium_16939.wav", "duration": 9.45, "text": "Now moving to Slide 6. Today, a number of major industry participants are deploying significant wireline networks across broad sections of the country."}, {"path": "tedlium_16940.wav", "duration": 9.45, "text": "but we face significant headwinds from continued pricing pressure across all the metals we sell with the exception of aerospace play."}, {"path": "tedlium_16941.wav", "duration": 9.4499375, "text": "So we have been very clear that we manage this in terms of return on capital. The way we measure the return on capital is on a cash-on-cash metric."}, {"path": "tedlium_16942.wav", "duration": 9.42, "text": "we continue to expect our combined Buildings and Components businesses to track in the range of 2% to 4% volume growth"}, {"path": "tedlium_16943.wav", "duration": 9.42, "text": "has been very effective, meaningful and has shown a significant tangible positive impact on our overall financial results."}, {"path": "tedlium_16944.wav", "duration": 9.42, "text": "as well as native apps for Android and iOS. We believe the advantages of this platform compared to the banks, credit unions and other legacy players have today are significant."}, {"path": "tedlium_16945.wav", "duration": 9.42, "text": "look into the future of reserve releases, which is difficult. But what this chart is telling you is that our view of the reserves in our balance sheet"}, {"path": "tedlium_16946.wav", "duration": 9.42, "text": "enjoy a very distinctive profile with that product set and our brand in that marketplace and the reputation that we have for service delivery."}, {"path": "tedlium_16947.wav", "duration": 9.42, "text": "So I don't think there was much difference between our cat activity this year or last year"}, {"path": "tedlium_16948.wav", "duration": 9.42, "text": "there been any sort of a pause given some of the gyrations we've had? Just maybe a sense as to what you're seeing or how the new product funnel is filling up?"}, {"path": "tedlium_16949.wav", "duration": 9.42, "text": "and that is really driven by the choppiness related to prepayment fees and when they come in and the predictability of prepayment fees,"}, {"path": "tedlium_16950.wav", "duration": 9.42, "text": "in the residue, which typically we get the majority of. So even though the margins have tightened on some of our processing deals, we still are doing accretive deals."}, {"path": "tedlium_16951.wav", "duration": 9.42, "text": "initially, this was a small asset and an acquisition of its own, and there were probably 2 reasons why we decided to go ahead with it."}, {"path": "tedlium_16952.wav", "duration": 9.42, "text": "and our parameters are getting better and better. So I think we're going to be on budget by the end of the year. And with molybdenum we're going to exceed it."}, {"path": "tedlium_16953.wav", "duration": 9.42, "text": "This morning's results capped a challenging year for our company. Brent will provide more details on financial results, but I wanted to give a few highlights."}, {"path": "tedlium_16954.wav", "duration": 9.42, "text": "customers and having basically to pay for them. Over the next couple of quarters, do you see further drop as you"}, {"path": "tedlium_16955.wav", "duration": 9.42, "text": "We were pleased to further expand our base of cash flows backed by these types of agreements with our acquisition of the West Coast Facilities,"}, {"path": "tedlium_16956.wav", "duration": 9.42, "text": "Having said that, it's a great business. The margins are strong. It's well run. We know what we're doing. I would be confident in saying this is a machine. It's an operating machine. It knows what it's doing."}, {"path": "tedlium_16957.wav", "duration": 9.42, "text": "Pretty much all of what we planned is happening at a pace and rate across now all 4 of the businesses and, indeed, in our global support functions, where"}, {"path": "tedlium_16958.wav", "duration": 9.42, "text": "And I'm very pleased with the new business that our team is driving and the increased focus that they are bringing to this very important long-term growth opportunity."}, {"path": "tedlium_16959.wav", "duration": 9.42, "text": "was effective on July 1. Stepping away from the macroeconomic situation on the island, there remains much that is within our control."}, {"path": "tedlium_16960.wav", "duration": 9.42, "text": "and deep sourcing capabilities, along with our flexible capital strategies, to find attractive investments in a world full of elevated asset prices."}, {"path": "tedlium_16961.wav", "duration": 9.42, "text": "And we actually have received a very material purchase order for that. That will be shipping through this year, including in the first quarter. So we'll start seeing that ramp up this year."}, {"path": "tedlium_16962.wav", "duration": 9.42, "text": "Turning to Q1. The overall financial results were in line with our expectations, and let me reiterate what we said we would do."}, {"path": "tedlium_16963.wav", "duration": 9.42, "text": "improving on a more favorable projected profitability profile and nonrecurring tax expense associated with asset sales in the prior year."}, {"path": "tedlium_16964.wav", "duration": 9.42, "text": "But there was a feature of that conversion option that disappeared in the event that project financing happened in short order, which it did."}, {"path": "tedlium_16965.wav", "duration": 9.42, "text": "The reason you want to do that is it speeds up the information. It makes information transfer much better. Again, all this is really based around"}, {"path": "tedlium_16966.wav", "duration": 9.42, "text": "So our outlook is consistent with some of the analysts' expectations, but probably delayed a year due to the headwinds that we've experienced this past year."}, {"path": "tedlium_16967.wav", "duration": 9.42, "text": "Or it's hard to upgrade in the noodles market? Second question is about branding."}, {"path": "tedlium_16968.wav", "duration": 9.42, "text": "Going forward, our general and administrative expense will fluctuate based on activity within our business strategy review and litigation activity."}, {"path": "tedlium_16969.wav", "duration": 9.42, "text": "To prepare for the accelerated growth in Europe, we completed the expansion of our European distribution center to 1 million square feet in the second quarter"}, {"path": "tedlium_16970.wav", "duration": 9.42, "text": "Depending on what the top line is, it depends how much do we have to invest in China, which is growing very quickly. And we have to get there and automate and be able to process for this"}, {"path": "tedlium_16971.wav", "duration": 9.42, "text": "in which patients are unable to make enough red blood cells and the chronic inflammation further contributes to the anemia."}, {"path": "tedlium_16972.wav", "duration": 9.42, "text": "What are the benefits for PostNL? With the change, we are better able to absorb future volume decline,"}, {"path": "tedlium_16973.wav", "duration": 9.42, "text": "As I said, we'll take the period from now until completion to work out, in more detail, how we can do that integration best."}, {"path": "tedlium_16974.wav", "duration": 9.42, "text": "I would also like to remind everyone that nothing said on this call constitutes an offer to sell or solicitation to buy any securities"}, {"path": "tedlium_16975.wav", "duration": 9.42, "text": "As we -- we've got a number of actions taking place right now to optimize the design, to tool it up, to reduce the cost,"}, {"path": "tedlium_16976.wav", "duration": 9.42, "text": "we're seeing an urgency on the part of hubs that they want a much faster adoption rate than we've historically seen. We mentioned recently that"}, {"path": "tedlium_16977.wav", "duration": 9.42, "text": "is a result of the confidence that your customers are feeling about the previous form factors you brought out and the games that you brought out."}, {"path": "tedlium_16978.wav", "duration": 9.42, "text": "and maybe some products may take up to 60 days to be delivered today. And"}, {"path": "tedlium_16979.wav", "duration": 9.42, "text": "We believe a recovery in this market has started, although most of the growth is still being driven by replacement parts orders as mines get more active."}, {"path": "tedlium_16980.wav", "duration": 9.42, "text": "We've seen 1 or 2 projects where the customer didn't take delivery at the end of the quarter and so that gets moved into"}, {"path": "tedlium_16981.wav", "duration": 9.42, "text": "So we've had another good half. Our strategy has been and continues to be very effective in creating value for shareholders."}, {"path": "tedlium_16982.wav", "duration": 9.42, "text": "No. I think those comments are primarily focused on what you would call traditional blocking and tackling. We can't hide from the fact that the economies out there is choppy. There's a lot of things"}, {"path": "tedlium_16983.wav", "duration": 9.42, "text": "We see a strong funding environment in our focus areas, and we have a great sales team -- great sales leaders and team in place to capitalize on the opportunity."}, {"path": "tedlium_16984.wav", "duration": 9.42, "text": "we don't believe that if you take, for example, the impact of negative interest rates, which is probably one of the major macro themes that impact bank revenues,"}, {"path": "tedlium_16985.wav", "duration": 9.42, "text": "That determines how we think about timing of an exit from Postbank. In other words, that still leaves us"}, {"path": "tedlium_16986.wav", "duration": 9.42, "text": "Of course, our call wouldn't be complete without a discussion of recovered paper prices, which continue to confound most of the experts, including us."}, {"path": "tedlium_16987.wav", "duration": 9.42, "text": "We will also continue to focus on improving operations and fixing and modernizing the foundation of our company. With that said, you will see us doubling down on our purpose and our guest experience."}, {"path": "tedlium_16988.wav", "duration": 9.42, "text": "available in Britain after the Brexit. Once it would be workers stemming from the European Union, that could be an option."}, {"path": "tedlium_16989.wav", "duration": 9.42, "text": "Our Rieke business has developed a unique and innovative locking technology that provides our customers with solutions in a demanding shipping environment."}, {"path": "tedlium_16990.wav", "duration": 9.42, "text": "That's what our goal is. And that's why we brought this team here to bring this company to a place of competitive prominence consistently over a long period of time."}, {"path": "tedlium_16991.wav", "duration": 9.42, "text": "delivering on a culture of speed to execution, innovation and agility. I'm pleased to share we've recently brought on 2 new officers to our executive team."}, {"path": "tedlium_16992.wav", "duration": 9.42, "text": "So we're at that now and we're not hearing any pushback from shippers at this point in terms of their contractual commitments. As far as the timing goes,"}, {"path": "tedlium_16993.wav", "duration": 9.42, "text": "one of the things that we said was we're about 6 months behind where we wanted to be in launching the programs that we really feel will enable this bookings growth to show up."}, {"path": "tedlium_16994.wav", "duration": 9.42, "text": "Furthermore, the various European countries adopt new technologies at a different pace and the local economies grow at varying speeds."}, {"path": "tedlium_16995.wav", "duration": 9.42, "text": "These increases were partially offset by a decrease in average selling price per boat, a decrease that was due to the mix of model sales during the quarter."}, {"path": "tedlium_16996.wav", "duration": 9.42, "text": "is to become the preeminent provider of credit products and services to small businesses nationwide while delivering exceptional value and service to our customers."}, {"path": "tedlium_16997.wav", "duration": 9.42, "text": "Do you think this is going to be more of a result of customers coming forward? Or do you think it's going to be law firms that are going to be more active"}, {"path": "tedlium_16998.wav", "duration": 9.42, "text": "to comfort the rest of the year and therefore, I am fully confident to reach the full year guidance, which is written on this slide."}, {"path": "tedlium_16999.wav", "duration": 9.42, "text": "Our organic investments are being made to strengthen our commercial product line, application engineering and product development capabilities"}, {"path": "tedlium_17000.wav", "duration": 9.42, "text": "we did respond with price, further price in the second half of the year. The additional inflation that we saw in the second half was principally around steel"}, {"path": "tedlium_17001.wav", "duration": 9.42, "text": "if you can just help us out with how are they pricing it to the pet owner. How is it being used? Is it earlier on in the treatment regimen like you guys had hoped for?"}, {"path": "tedlium_17002.wav", "duration": 9.42, "text": "we can make that available to additional sites. And there is interest well beyond the sites that we signed up, but we feel like we want to get that"}, {"path": "tedlium_17003.wav", "duration": 9.42, "text": "We will be happy to answer some questions on this call, but please understand that there will be many topics related to this new legislation that we're still evaluating"}, {"path": "tedlium_17004.wav", "duration": 9.42, "text": "we think fees will be stable. And that may be a little conservative admittedly, Brady, because it's still very early in rolling out these payment products,"}, {"path": "tedlium_17005.wav", "duration": 9.42, "text": "It's very difficult to generalize. I mean, certainly, there can be a lot of work done to prove whether there is or isn't a problem."}, {"path": "tedlium_17006.wav", "duration": 9.42, "text": "Our company goal, not in a couple of years, but in short order, is to be brand-agnostic to what's on the front of the building."}, {"path": "tedlium_17007.wav", "duration": 9.42, "text": "Obviously, if a customer went there and they saw everything, he would act like a duck, smell like a duck, and walk like a duck. There are some categories"}, {"path": "tedlium_17008.wav", "duration": 9.42, "text": "From our analysts, I always felt that you've treated us very fair. You've been very helpful to us. And for that, I thank you for your support over the years."}, {"path": "tedlium_17009.wav", "duration": 9.42, "text": "This provides guests access to real savings with their vacations by purchasing in advance, purchasing multiple ski days or purchasing packages of products."}, {"path": "tedlium_17010.wav", "duration": 9.42, "text": "Our results in the second quarter demonstrate what we have repeatedly stated in these earning calls and in our frequent meetings with investors and analysts."}, {"path": "tedlium_17011.wav", "duration": 9.42, "text": "more of a dollar deposits from rupee deposits. So I just wanted to get a sense of where we are in that sense on what percentage would now"}, {"path": "tedlium_17012.wav", "duration": 9.42, "text": "bring to bear. No one else can provide that experience. Now we're not a closed solution. We're going to work with every company. Of course, we have to because our customers"}, {"path": "tedlium_17013.wav", "duration": 9.42, "text": "Earlier this year, the partnership took over as the sole provider of shuttle tankers to the oil companies operating offshore in East Coast Canada."}, {"path": "tedlium_17014.wav", "duration": 9.42, "text": "and their ability to address other critical infrastructure needs. And we look forward to the announcement of this RFP by the end of the year."}, {"path": "tedlium_17015.wav", "duration": 9.42, "text": "including new digital content and the use of seasonal flavors and sampling, will enable wider recruitment, delivering the brand back to growth."}, {"path": "tedlium_17016.wav", "duration": 9.42, "text": "In summary, we're operating 2 successful and growing businesses and our management teams are executing on their operating plans."}, {"path": "tedlium_17017.wav", "duration": 9.42, "text": "in terms of the next end of the period, I guess when would that be, Vince, in terms of the measurements? Yes. I mean, it's the same schedule as the '15, '16, so"}, {"path": "tedlium_17018.wav", "duration": 9.42, "text": "We will feature this and other new products for industrial and automotive applications at the upcoming Electronica Show in Munich."}, {"path": "tedlium_17019.wav", "duration": 9.42, "text": "We are very proud of the quality of our people and our culture, and we believe that it's a continuing competitive advantage for us in the marketplace."}, {"path": "tedlium_17020.wav", "duration": 9.42, "text": "So should that new market tax credit roll off and we not get a new award, our tax rate will go up,"}, {"path": "tedlium_17021.wav", "duration": 9.42, "text": "it had a couple of segments. So can you give us some sense of core versus specialty and how that's doing? Because I believe they had some"}, {"path": "tedlium_17022.wav", "duration": 9.42, "text": "relatively stable pricing through the year and with us being able to get a little bit of margin improvement from asphalt cost deflation, was a very good outcome for us"}, {"path": "tedlium_17023.wav", "duration": 9.42, "text": "And there was a real concern that collaborations might impinge our ability to execute on our own programs. And so we sought to try to"}, {"path": "tedlium_17024.wav", "duration": 9.42, "text": "We believe we have opportunities for growth in each of our existing markets by adding profitable service lines and recruiting physicians."}, {"path": "tedlium_17025.wav", "duration": 9.42, "text": "Whether it is the Wyndham Rewards program at the Hotel Group, revenue management efforts in Europe that are helping to drive our booking pace at our rental businesses"}, {"path": "tedlium_17026.wav", "duration": 9.42, "text": "it's one of the reasons that power was more resilient than you anticipated before and can you elaborate on"}, {"path": "tedlium_17027.wav", "duration": 9.42, "text": "And I think, Andrew, as you look at some of the July data, it will be a little messy because of some of the malware shipment timing issues."}, {"path": "tedlium_17028.wav", "duration": 9.42, "text": "getting the first article inspections for all the detailed parts completed and then get the customers to approve those. And that has taken us longer."}, {"path": "tedlium_17029.wav", "duration": 9.42, "text": "employer of choice? How much of the wage inflation do you think is your own choice to pay well above the wage versus how much is driven by the regulation? And then I have one follow-up."}, {"path": "tedlium_17030.wav", "duration": 9.42, "text": "which presents in a proportionate patients with Parkinson's disease as well as the majority of patients with multiple systems atrophy and pure autonomic failure."}, {"path": "tedlium_17031.wav", "duration": 9.42, "text": "We're going to keep -- we obviously keep a very close eye on it and it's not going to be put in place for a little bit of time. But if"}, {"path": "tedlium_17032.wav", "duration": 9.42, "text": "except to say that, that transaction was truly a transformative agreement for Titan. And I thought then the best use of time"}, {"path": "tedlium_17033.wav", "duration": 9.42, "text": "Tony earlier referred to significant exploration as well in the Northern Territory, and that's on the back of the success we've had, particularly at the Lantern"}, {"path": "tedlium_17034.wav", "duration": 9.42, "text": "in the quarter? Prepayment impact in the quarter contributed about 2 basis points of the 5 basis point increase from the second quarter"}, {"path": "tedlium_17035.wav", "duration": 9.42, "text": "our assumption that LIBOR rates modestly increased beginning the second half of 2016 and the addition of interest expense from debt assumed with the Pramac acquisition."}, {"path": "tedlium_17036.wav", "duration": 9.42, "text": "First quarter new home sales were 15% above fourth quarter levels, and March sales were the highest in nearly 18 months."}, {"path": "tedlium_17037.wav", "duration": 9.42, "text": "where mills in both the Northwest and up in Canada are sitting relative to cash costs right now, because it looks to me like pretty much everybody must be under water."}, {"path": "tedlium_17038.wav", "duration": 9.42, "text": "Together with continued investments, this has depressed the ROE to 3%, well below the cost of equity."}, {"path": "tedlium_17039.wav", "duration": 9.42, "text": "We have not used lightly the term, the best we've ever made, and we've received strong endorsement from both the trade and our retail partners."}, {"path": "tedlium_17040.wav", "duration": 9.42, "text": "and we have invested in a joint venture distribution business in Latin America as a way to service the growing market without a large capital investment."}, {"path": "tedlium_17041.wav", "duration": 9.42, "text": "a fresher look with the recent renovations and the success of the new Grand Saladier, all signal a very bright future for the brand,"}, {"path": "tedlium_17042.wav", "duration": 9.42, "text": "Building on recent enhancements to our industry-leading mobile platform, the team is hard at work, improving the customer experience to drive even deeper engagement."}, {"path": "tedlium_17043.wav", "duration": 9.42, "text": "from my background, my training and these are prescription drugs. But at the same time, there's other things that could be"}, {"path": "tedlium_17044.wav", "duration": 9.42, "text": "offset by additional overhead related to our recent software implementation, compliance costs related to Sarbanes-Oxley and entry into new markets."}, {"path": "tedlium_17045.wav", "duration": 9.42, "text": "can you comment on what gives you the comfort that the sales pace will remain similar to what you've seen in the past and as you enter new markets as well?"}, {"path": "tedlium_17046.wav", "duration": 9.42, "text": "Though orders for the year are down to-date, we continue to have a strong pipeline of high confidence opportunities going into the third and fourth quarters."}, {"path": "tedlium_17047.wav", "duration": 9.42, "text": "the portfolio is seasoning almost a whole month every quarter, okay? Not quite a whole month, but almost a whole month every quarter. And I think, what would happen"}, {"path": "tedlium_17048.wav", "duration": 9.42, "text": "are actions that we identified following the spinoff to permanently reduce our cost structure, which we began to implement at the end of the fourth quarter."}, {"path": "tedlium_17049.wav", "duration": 9.42, "text": "In our early-stage oncology pipeline, we continue to build capabilities and explore new technologies that will extend our reach in the solid tumor market."}, {"path": "tedlium_17050.wav", "duration": 9.42, "text": "by far, the largest economy in the world. That is where the growth is. Right now, the growth is in China and in India by any kind of a measure."}, {"path": "tedlium_17051.wav", "duration": 9.42, "text": "We will continue to focus on brilliant execution of the 6 priorities across our markets to drive consistent performance delivery."}, {"path": "tedlium_17052.wav", "duration": 9.42, "text": "We also made some real improvements to the merchant experience in the quarter when we launched an improved suite of tools to help business owners better track and optimize their Groupon campaigns."}, {"path": "tedlium_17053.wav", "duration": 9.42, "text": "an April 1 implementation. And so something that we're watching closely. It's not something that I would tell you today I call a trend but"}, {"path": "tedlium_17054.wav", "duration": 9.42, "text": "These solid results were driven by continued market share gains in our Broadband, Cable and Satellite business and solid expense management across our entire business."}, {"path": "tedlium_17055.wav", "duration": 9.42, "text": "is really very encouraging and positive when it comes to allowing companies like us to invest, grow, build, innovate. And that's going to be the best thing for customers."}, {"path": "tedlium_17056.wav", "duration": 9.42, "text": "But we were able to offset this with stronger realized volumes on our Mid-Saskatchewan pipeline system and higher revenues from increased midstream marketing activities."}, {"path": "tedlium_17057.wav", "duration": 9.42, "text": "for bills coming in the fourth quarter. So the cost of starting that operation back up as well as all the cost associated with it being idled,"}, {"path": "tedlium_17058.wav", "duration": 9.42, "text": "deepened relationships and built out the infrastructure to secure assets that have a high yield and a short duration that are relatively unaffected by large exogenous shocks,"}, {"path": "tedlium_17059.wav", "duration": 9.42, "text": "I think that in a nutshell sums it up and very good acquisition, but that's much more recent since the focus of Q4 was on that conversion."}, {"path": "tedlium_17060.wav", "duration": 9.42, "text": "Thank you, Darren. As noted earlier this year, Q1 was expected to be slow with wet weather impacting construction activity across California"}, {"path": "tedlium_17061.wav", "duration": 9.42, "text": "A little more target and specific of what we've accomplished just in the last 20 months, and I think it's important that people understand the seismic shift that we've been going through."}, {"path": "tedlium_17062.wav", "duration": 9.42, "text": "We are also very encouraged to see the upgrade to a mobile capable architecture has led to an 80% increase in mobile phone conversion rates."}, {"path": "tedlium_17063.wav", "duration": 9.42, "text": "I think if you look at us over the last about 10 years, we've averaged about 2% net reduction in outstanding shares every year."}, {"path": "tedlium_17064.wav", "duration": 9.42, "text": "We have done something on the pricing. We are definitely working on packaging. We have improved the recipes."}, {"path": "tedlium_17065.wav", "duration": 9.42, "text": "While nobody knows for certain how all of this will play out, what we do know is that our nation is aging and that the demand for health care services in general"}, {"path": "tedlium_17066.wav", "duration": 9.42, "text": "This decrease is primarily attributable to the use of restricted cash for the payment of claims and other liabilities associated with terminated contracts."}, {"path": "tedlium_17067.wav", "duration": 9.42, "text": "So completion bond is going to come down towards the end of the year? Well, I cannot say anything definitive,"}, {"path": "tedlium_17068.wav", "duration": 9.42, "text": "reliability tests, you are expecting that will be completed? Of course, with the lifting up of completion bond,"}, {"path": "tedlium_17069.wav", "duration": 9.42, "text": "and key indicators within the trucking industry are not as strong as they were in 2014, we still see some very positive signals that provide a level of confidence"}, {"path": "tedlium_17070.wav", "duration": 9.42, "text": "Successful wells on Kimu and Barikewa have proved additional resources and importantly, in proximity to infrastructure that we expect to be commercial."}, {"path": "tedlium_17071.wav", "duration": 9.42, "text": "your comment about revenue growth from second, third and fourth quarter. What kind of revenue growth are you looking at?"}, {"path": "tedlium_17072.wav", "duration": 9.42, "text": "wondering if there's anything to understand there about backlog composition trends and bearing in mind that you have been beating on revenues for several quarters here now."}, {"path": "tedlium_17073.wav", "duration": 9.42, "text": "we -- changing our systems around, changing those supply chains, lining out where to make progress in one plant versus another, and so on and so forth. And"}, {"path": "tedlium_17074.wav", "duration": 9.42, "text": "further objections and discussions with the Revenue Authority. And we'd expect to resolve those in the coming months."}, {"path": "tedlium_17075.wav", "duration": 9.42, "text": "so I'd like to address those first and then move to a deeper discussion of our ongoing business operations and the end markets we serve."}, {"path": "tedlium_17076.wav", "duration": 9.42, "text": "that a restructuring of the relationship with the state will be undertaken during the current legislative session. I'm going to turn it over to Tim now for his review of the financials."}, {"path": "tedlium_17077.wav", "duration": 9.42, "text": "So those core areas will be places that we continue to grow. And so we are not contemplating, participating in what might be a"}, {"path": "tedlium_17078.wav", "duration": 9.42, "text": "Thank you, Neal. And good morning, everyone. I would like to begin this morning by touching on our fourth quarter results, which came in lower than our prior forecast."}, {"path": "tedlium_17079.wav", "duration": 9.42, "text": "And looking hard at deposits and then as importantly making sure that we try and get another part of the wallet or some consolidation out of it."}, {"path": "tedlium_17080.wav", "duration": 9.42, "text": "to actually adjust our exposure levels. Now we're trying to transact with our best clients as much as we used to before. But in some cases, we've had to be"}, {"path": "tedlium_17081.wav", "duration": 9.42, "text": "And with the device that requires no battery or electronic operation at all, we're able to have a deposition of this liquid powder"}, {"path": "tedlium_17082.wav", "duration": 9.42, "text": "are not too dependent on this topic because they are ongoing sales of existing models which grow for quite a few years still in the future."}, {"path": "tedlium_17083.wav", "duration": 9.42, "text": "opportunities? And is it even realistic to assume that those opportunities will exist in a much more robust way for mortgage REITs again in the near future?"}, {"path": "tedlium_17084.wav", "duration": 9.42, "text": "We'll continue to strengthen this capability as we learn how best to identify and coordinate these services on behalf of the members that we serve."}, {"path": "tedlium_17085.wav", "duration": 9.42, "text": "And the new system for these 3 items does not work like the old system."}, {"path": "tedlium_17086.wav", "duration": 9.42, "text": "Look, we pay a lot of attention to the MLA. We understand sort of the implications of what can and can't be offered, and we sort of probably made those modifications about a year ago."}, {"path": "tedlium_17087.wav", "duration": 9.42, "text": "We see that activity starting to change and we support that. We also believe further industry consolidation should occur."}, {"path": "tedlium_17088.wav", "duration": 9.42, "text": "Second question would be, how much has the low methanol prices changed the cost dynamic for your competitors and therefore the dynamics in tow?"}, {"path": "tedlium_17089.wav", "duration": 9.42, "text": "So this strategy takes time, but it's the right strategy for Canadian Tire. Smaller brand acquisitions offers the opportunity to generate a lot of value."}, {"path": "tedlium_17090.wav", "duration": 9.42, "text": "Each of these consolidations are continued to be evaluated on a risk-adjusted return basis with a desire to average a payback period of less than 2 years."}, {"path": "tedlium_17091.wav", "duration": 9.42, "text": "it's -- we understand that these patients on average take their underlying medications, 50% to 60% of the time to begin with."}, {"path": "tedlium_17092.wav", "duration": 9.42, "text": "I think the RE-KINECT study is an extremely important study, and that is going to just continue to add information over time."}, {"path": "tedlium_17093.wav", "duration": 9.42, "text": "All in all, the assumption within the company is that the market will return to low single digit market growth"}, {"path": "tedlium_17094.wav", "duration": 9.42, "text": "Now let me spend a few moments on the recent performance of our PEO. Revenues for the year grew 12%, in line with our expectations,"}, {"path": "tedlium_17095.wav", "duration": 9.42, "text": "Is there a path to get back to that as well? Or are some of these changes that we've talked about today for the lower growth more permanent in nature?"}, {"path": "tedlium_17096.wav", "duration": 9.42, "text": "because to move, they're either going to have to move to another location and pay much, much higher rent or go to a much lesser building."}, {"path": "tedlium_17097.wav", "duration": 9.42, "text": "and consistent with our proven strategy to unlock the embedded growth and achieve a remarkable leasing spreads."}, {"path": "tedlium_17098.wav", "duration": 9.42, "text": "So all of those kicking in along with just the financial discipline that we're employing throughout the company."}, {"path": "tedlium_17099.wav", "duration": 9.42, "text": "the more opportunities arise on the loan and securitization front. Those would be opportunities that I don't think we would want to constrain ourselves"}, {"path": "tedlium_17100.wav", "duration": 9.42, "text": "Please note, this event is being recorded. I would now like to turn the conference over to Mr. Robert J. McCormick. Please go ahead, sir."}, {"path": "tedlium_17101.wav", "duration": 9.42, "text": "All 3 of our business segments have a strong outlook for new business in the second quarter as well as for the second -- or the remainder of the year."}, {"path": "tedlium_17102.wav", "duration": 9.42, "text": "We continue to work strategically with customers to place our coal in top performing plants, and to keep coal competitive in the marketplace."}, {"path": "tedlium_17103.wav", "duration": 9.42, "text": "And if you were to review industry assessments for commercial markets today, you would find a wide variance in expectations."}, {"path": "tedlium_17104.wav", "duration": 9.4199375, "text": "what happens in the quarter is they clean up and they do the work to make things get right again. And"}, {"path": "tedlium_17105.wav", "duration": 9.3900625, "text": "move as much as they are moving up or down. And so I think our historic belief that we should run with operating leverage of"}, {"path": "tedlium_17106.wav", "duration": 9.39, "text": "we had some of the expenses going away from this line and getting into other expenditure. So that is one reason for that. The second is also about"}, {"path": "tedlium_17107.wav", "duration": 9.39, "text": "on prior calls, that tends to be a little bit choppy as you go through the year because of the cadence we use. And I think, this year, we'll have to look at raw materials in some regions."}, {"path": "tedlium_17108.wav", "duration": 9.39, "text": "These statements are not guarantees of future results and are subject to certain risks and uncertainties that could cause actual results to differ materially from those anticipated."}, {"path": "tedlium_17109.wav", "duration": 9.39, "text": "some large regional folks really in a couple of different markets right now. So it's -- I like we're having great conversations"}, {"path": "tedlium_17110.wav", "duration": 9.39, "text": "and whether you might be able to add any additional color on previous peaks for wireless backhaul, fronthaul and where you stand now relative to those?"}, {"path": "tedlium_17111.wav", "duration": 9.39, "text": "Our third priority is on driving a premium service experience for our clients that will further distinguish Heidrick from its competitors."}, {"path": "tedlium_17112.wav", "duration": 9.39, "text": "measuring ourselves going forward on the efficacy of those processes and how they will play out in terms of investment results. But certainly we would"}, {"path": "tedlium_17113.wav", "duration": 9.39, "text": "If you analyze our results on a quarter-over-quarter perspective and compare the quality of our revenue during the first quarter with the fourth quarter of last year,"}, {"path": "tedlium_17114.wav", "duration": 9.39, "text": "this environment, we will continue to monitor the markets in order to maximize both service levels to our customers and yield."}, {"path": "tedlium_17115.wav", "duration": 9.39, "text": "We also believe that the ELD mandate began to have an impact on capacity late in the quarter, which has continued into the first quarter thus far."}, {"path": "tedlium_17116.wav", "duration": 9.39, "text": "It's Kew. Let me offer up a few comments on the usage of fund lines. So over the last few years, we have heard from several of our limited partners"}, {"path": "tedlium_17117.wav", "duration": 9.39, "text": "We are still in the early stages of executing against our long-term vision in this high-growth market, and I look forward to updating you on our progress throughout the year."}, {"path": "tedlium_17118.wav", "duration": 9.39, "text": "These statements are based on our current expectations and information available as of today and are subject to a variety of risks, uncertainties and assumptions."}, {"path": "tedlium_17119.wav", "duration": 9.39, "text": "good visibility with respect to expenses, and we're definitely on track with respect to achieving that target that we set out."}, {"path": "tedlium_17120.wav", "duration": 9.39, "text": "So in a nutshell, I feel good about where we are in trade spend, but there are always opportunities to optimize. And"}, {"path": "tedlium_17121.wav", "duration": 9.39, "text": "not broadly, but we're going to go back on a very selective basis and go look at where they may be some opportunities for pricing and where it's cost justified, where it makes sense,"}, {"path": "tedlium_17122.wav", "duration": 9.39, "text": "Before I give you more details on the plan itself, I'd like to give the word to Dessi, who will guide you through the financials. Thank you, Stefan."}, {"path": "tedlium_17123.wav", "duration": 9.39, "text": "Moving on to my question then. I would like to ask the management of KT, what is your priority across shareholders, government and employees?"}, {"path": "tedlium_17124.wav", "duration": 9.39, "text": "We are seeing some really good results in terms of the number of customers engaging with the site and the new channel that's already making a positive contribution to our overall part sales."}, {"path": "tedlium_17125.wav", "duration": 9.39, "text": "In light of this backdrop, we are committed to investing in technology and human capital to drive our business forward,"}, {"path": "tedlium_17126.wav", "duration": 9.39, "text": "significant business growth, positive contribution as we continue to progress towards the margin target that we've referenced, and we've got the top line"}, {"path": "tedlium_17127.wav", "duration": 9.39, "text": "With the release of Digital Content Ratings to our clients this fall, we now have measurement capabilities available in market,"}, {"path": "tedlium_17128.wav", "duration": 9.39, "text": "Before we begin, we would like to remind everyone that during this call, management may make statements containing forward-looking information relating to the company's business and the environment in which it operates."}, {"path": "tedlium_17129.wav", "duration": 9.39, "text": "We are looking to appoint a new leader in China. That search process is progressing, obviously, a very important role for the future of our business in China."}, {"path": "tedlium_17130.wav", "duration": 9.39, "text": "Thank you, Tim. As I review the fourth quarter, keep in mind that during the quarter, the Partnership completed an acquisition from the sponsor and its affiliates."}, {"path": "tedlium_17131.wav", "duration": 9.39, "text": "ask you to wait a couple of weeks and discuss it during our Investor Day because that will be part of our discussion in order to"}, {"path": "tedlium_17132.wav", "duration": 9.39, "text": "the distribution of dividends and the implementation of our investment objectives. We kindly remind that the"}, {"path": "tedlium_17133.wav", "duration": 9.39, "text": "our associates around the world live by MSA's core values every day. And at the center of this culture is our foundational core value of integrity."}, {"path": "tedlium_17134.wav", "duration": 9.39, "text": "Looking closer at our first quarter results in core products, we saw a 3% decline in constant currency compared to a year ago."}, {"path": "tedlium_17135.wav", "duration": 9.39, "text": "We are now working very hard to strengthen our capacity and capability in terms of human resources, especially Indonesia"}, {"path": "tedlium_17136.wav", "duration": 9.39, "text": "and sit without assistance for at least 5 seconds. 2 patients in the cohort could crawl, pull to a stand, stand and walk independently."}, {"path": "tedlium_17137.wav", "duration": 9.39, "text": "Thank you, Ms. Ling . This concludes all the presentations. We will now proceed to the second half"}, {"path": "tedlium_17138.wav", "duration": 9.39, "text": "Fourth element that I would like to mention, it's the work that's gone into strengthening our web and telephone"}, {"path": "tedlium_17139.wav", "duration": 9.39, "text": "I don't think you're necessarily going to see the same level of adjustment for the electric distribution companies as what's being contemplated for gas."}, {"path": "tedlium_17140.wav", "duration": 9.39, "text": "There's not really anything major or specific other than I would say, I believe we've taken out"}, {"path": "tedlium_17141.wav", "duration": 9.39, "text": "My colleague, Jesper, and I will now report on our company's performance in the last 9 months. We will also give you an outlook for the coming months."}, {"path": "tedlium_17142.wav", "duration": 9.39, "text": "with an agreement on job cuts that affects approximately 3,000 staff members and enables us to announce our branch closure program."}, {"path": "tedlium_17143.wav", "duration": 9.39, "text": "is now getting more towards the newer franchises, which does give us a higher level of stability within our Originals business."}, {"path": "tedlium_17144.wav", "duration": 9.39, "text": "an add-on. Today, it is a central consideration. So we are having conversations at a level of the company where they're looking for transformative effects"}, {"path": "tedlium_17145.wav", "duration": 9.39, "text": "your answer about scale, is there a particular revenue run rate that you need to get to, to get to the scale that you"}, {"path": "tedlium_17146.wav", "duration": 9.39, "text": "and analytics, into our arc filing product position us as a leading provider of data and analytics for clients meeting compliance"}, {"path": "tedlium_17147.wav", "duration": 9.39, "text": "However, I would note that while we're pleased with the strong fourth quarter Civil margin, we don't expect a 15% margin to be the norm, at least not yet."}, {"path": "tedlium_17148.wav", "duration": 9.39, "text": "not strong numbers, as the gross profit shortfall in the Canadian business softness previously described fell to the operating income line."}, {"path": "tedlium_17149.wav", "duration": 9.39, "text": "So basically, we share the savings with our partner and that will ensure that as we're saving the healthcare system patients and the payers"}, {"path": "tedlium_17150.wav", "duration": 9.39, "text": "Thank you, Jeff, and good morning, everyone. My comments today will focus on our third quarter origination activities and overall credit quality."}, {"path": "tedlium_17151.wav", "duration": 9.39, "text": "we're reacting to the repercussions of the price war as well as the recommendations given by the Polish FSA as"}, {"path": "tedlium_17152.wav", "duration": 9.39, "text": "in this quarter. From the point of view of shareholders, the decision of the management board"}, {"path": "tedlium_17153.wav", "duration": 9.39, "text": "Okay. Fair enough. Jeff, will you offer the backlog figure each quarter going forward? I mean, in the past, it was just on an annual basis."}, {"path": "tedlium_17154.wav", "duration": 9.39, "text": "Today's call may contain forward-looking statements. These statements, which we undertake no obligation to update, represent our current judgment and are subject to risks,"}, {"path": "tedlium_17155.wav", "duration": 9.39, "text": "Our technology will define our future, and we need to ensure we're investing to create the highest quality infrastructure and a platform which allows us"}, {"path": "tedlium_17156.wav", "duration": 9.39, "text": "Nearly all are below the national average in terms of supply, and 5 of our 8 markets have less than 3 months' supply."}, {"path": "tedlium_17157.wav", "duration": 9.39, "text": "And so I think we feel that this year, we should get -- we should realize more out of our rate increases than we have in recent years."}, {"path": "tedlium_17158.wav", "duration": 9.39, "text": "As we stated last quarter, given the significant level of recent activity and our desire to preserve flexibility to support our consumer business,"}, {"path": "tedlium_17159.wav", "duration": 9.39, "text": "As we do all of that, we will continue with our long track record of ensuring the assets on our balance sheet are an important source"}, {"path": "tedlium_17160.wav", "duration": 9.39, "text": "We believe with Northwest, that pattern will continue in a very positive way. I would also like to add my welcome to the team members at Northwest."}, {"path": "tedlium_17161.wav", "duration": 9.39, "text": "So we think that the acquisitions of our Prestige brands have been very good, and market reporting on how they are doing are fine"}, {"path": "tedlium_17162.wav", "duration": 9.39, "text": "As I said last quarter, it is still early days, and these numbers are relatively small, but they point to increasing traction and revenues in the quarters ahead."}, {"path": "tedlium_17163.wav", "duration": 9.39, "text": "is the excess cash flow that we can use to pay off additional debt, redeem preferred units or raise distributions on our common units."}, {"path": "tedlium_17164.wav", "duration": 9.39, "text": "and it goes back to the basics of we've been able to show our certainty of execution and our nimbleness in understanding what the product is."}, {"path": "tedlium_17165.wav", "duration": 9.39, "text": "We believe that this contract will yield operating income margins in our typical range of 10% to 15% in future years."}, {"path": "tedlium_17166.wav", "duration": 9.39, "text": "one of the decisions considered in the top 4 or 5 cities? And how much important is the international expansion with -- in this decision?"}, {"path": "tedlium_17167.wav", "duration": 9.39, "text": "an incredible transaction with a very large insurance company. And one of the things about working with that company, as you're really building a complete"}, {"path": "tedlium_17168.wav", "duration": 9.39, "text": "I don't think it really has an impact on us one way or another. Again, given the fact that we've got sort of this advantaged pipeline into and out of China,"}, {"path": "tedlium_17169.wav", "duration": 9.39, "text": "The agreement highlights the constructive relationships we have in the jurisdictions where we operate and our ability to work with a variety of parties to secure results"}, {"path": "tedlium_17170.wav", "duration": 9.39, "text": "And I guess as my follow-up, you mentioned a couple of different times about the difficulty in projecting the infrastructure side with these big projects, and I think all of us appreciated it. But"}, {"path": "tedlium_17171.wav", "duration": 9.39, "text": "We think we have the right contacts. We think we have the right engineering plan and the right products plan, but we're not there yet."}, {"path": "tedlium_17172.wav", "duration": 9.39, "text": "In Japan, revenue from the region's factory automation market showed modest improvement both on a reported basis and in constant currency."}, {"path": "tedlium_17173.wav", "duration": 9.39, "text": "We again made a gain on the derivative that represents the fair value of the estimated discounted cash flows of pavements due in respect"}, {"path": "tedlium_17174.wav", "duration": 9.39, "text": "Looking at total video subs. We actually have more subscribers today than we did 2 years ago because of the success of DIRECTV NOW."}, {"path": "tedlium_17175.wav", "duration": 9.39, "text": "I'm also looking forward to introducing our new Chief Operating Officer, Micheal Dunn. He's already hit the ground running, and he'll be presenting next week."}, {"path": "tedlium_17176.wav", "duration": 9.39, "text": "And one of the patient had a report of new supine hypertension not previously reported. But those were the only 2 and as reported in the early part A of the study,"}, {"path": "tedlium_17177.wav", "duration": 9.39, "text": "and that's that there is a broadening base of customers and there's been a lot of activity at the start-up and midsized level as it relates to our business."}, {"path": "tedlium_17178.wav", "duration": 9.39, "text": "As I noted, the tank trailer markets and the platform or flatbed markets have remained soft"}, {"path": "tedlium_17179.wav", "duration": 9.39, "text": "particularly in February, deterred prospective buyers at the start of the spring selling season and curtailed construction activity in many regions."}, {"path": "tedlium_17180.wav", "duration": 9.39, "text": "strong real estate activity in the fourth quarter of 2018 allowed us to pursue additional transactions that closed in the first quarter."}, {"path": "tedlium_17181.wav", "duration": 9.39, "text": "And so it speaks to the concentrated effort here. And so what they're doing is there's another internal team that you would expect"}, {"path": "tedlium_17182.wav", "duration": 9.39, "text": "We expect increased recoveries in Chapada, with those modifications that have now been implemented and will begin to take effect in the second quarter of the -- of this year."}, {"path": "tedlium_17183.wav", "duration": 9.39, "text": "attrition rates within their target zone and operating margin which improved versus prior year for the fourth consecutive quarter and is now in the high single digits."}, {"path": "tedlium_17184.wav", "duration": 9.39, "text": "and the company will continue to deploy capital to the following initiatives based on highest risk-adjusted returns available to us."}, {"path": "tedlium_17185.wav", "duration": 9.39, "text": "I caught your first part but not your second, Phil. And I don't want to get too far ahead on the pricing and packaging. I think"}, {"path": "tedlium_17186.wav", "duration": 9.39, "text": "As a result, I plan to go back to a more balanced approach in allocating our capital between strategic share buybacks and investing our capital into the business."}, {"path": "tedlium_17187.wav", "duration": 9.39, "text": "Yes. And some other issues that we had in a couple -- we had a couple of life sciences clients and a couple of Energy Services clients, where we had PO issues."}, {"path": "tedlium_17188.wav", "duration": 9.39, "text": "that are required for the accelerated approval application, which fall into line of giving any third party greater assurance"}, {"path": "tedlium_17189.wav", "duration": 9.39, "text": "We are confident the RNA destabilizing mechanism we are focused on represents a very relevant and important therapeutic target,"}, {"path": "tedlium_17190.wav", "duration": 9.39, "text": "And I don't really expect additional acceleration of that. It's already pretty much built into our game plan at this point."}, {"path": "tedlium_17191.wav", "duration": 9.39, "text": "We have recently seen a very strong trend with major partnerships and acquisitions in this area, and we believe that controlled IL-12 is now positioned"}, {"path": "tedlium_17192.wav", "duration": 9.39, "text": "When you think about it, if the MACs are pre-authorizing these claims, it really obviates the need for any post"}, {"path": "tedlium_17193.wav", "duration": 9.39, "text": "It is going to be driven by our ability to get our portfolio to a place where we think we have the optimal value"}, {"path": "tedlium_17194.wav", "duration": 9.39, "text": "We are determined, obviously, as Unilever to operate under the highest levels of corporate governance. And what we've made clear is that we will be working under"}, {"path": "tedlium_17195.wav", "duration": 9.39, "text": "To our investors and to the analysts, I'd like to express our gratitude for your continued support and understanding."}, {"path": "tedlium_17196.wav", "duration": 9.39, "text": "And that's the addressable space. We think we can get our fair share of that, and if we just use the kind of shares that"}, {"path": "tedlium_17197.wav", "duration": 9.39, "text": "particularly as it allows us to generate relatively consistent EBITDA. Despite the significant drop in commodity prices and industry activity,"}, {"path": "tedlium_17198.wav", "duration": 9.39, "text": "Such statements involve risk and uncertainties that may cause actual results to differ materially. A discussion of these statements and risk factors is available on the current Safe Harbor statement slide"}, {"path": "tedlium_17199.wav", "duration": 9.39, "text": "We'll talk more obviously in November about our outlooks and our plans for 2018. And I think we'll be in a better position to talk about"}, {"path": "tedlium_17200.wav", "duration": 9.39, "text": "over the last couple of years with some of the carriers. So the stronger and more professional those alliances can operate, the better for our customers and for us."}, {"path": "tedlium_17201.wav", "duration": 9.39, "text": "As I mentioned, we're in advance discussions on how to demonstrate value on the Armstrong oil option and an equity investment that might flow from that."}, {"path": "tedlium_17202.wav", "duration": 9.39, "text": "we need to do things step by step. So we have a course that we're pursuing with discipline and intensity. But as I said, there's a strong focus on the short term."}, {"path": "tedlium_17203.wav", "duration": 9.39, "text": "helping your counterpart or following up on data, now can be spent selling. That's where we're going to see the biggest lift in the second half of the year."}, {"path": "tedlium_17204.wav", "duration": 9.39, "text": "how the company has performed and executed as we move throughout the year, at this point in time, I would say that the biggest risk on the downside to the midpoint of guidance would be"}, {"path": "tedlium_17205.wav", "duration": 9.39, "text": "to the online space and to drive our growth. And that is the big opportunity that we see. We are certainly learning a lot from the various"}, {"path": "tedlium_17206.wav", "duration": 9.39, "text": "So we have some very good assets but the margins are so thin, we're not making enough money out of it. And we have contracted storage as well."}, {"path": "tedlium_17207.wav", "duration": 9.39, "text": "Going to Slide 16. Data from the IMF shows further evidence of the global economic expansion, as all major economies are growing simultaneously."}, {"path": "tedlium_17208.wav", "duration": 9.39, "text": "We also supply here a table to be very clear on the capitalization effect so that there should be no doubt what we estimate there going forward as well."}, {"path": "tedlium_17209.wav", "duration": 9.39, "text": "This is the first quarter that our results reflect the contribution from Huawei, and we believe our results show that we got the deal done on the right terms."}, {"path": "tedlium_17210.wav", "duration": 9.39, "text": "and this doesn't change that at all. But based on the data that we observed in that primate study, we are making"}, {"path": "tedlium_17211.wav", "duration": 9.39, "text": "So firstly, can you just talk about what needs to happen for volumes to be up in that high single-digits range over the balance of the year? And would you need favorable weather to get there?"}, {"path": "tedlium_17212.wav", "duration": 9.39, "text": "And that is how do we make sure that all the way from line planning all the way to supply planning and placing orders in the factories, we have a"}, {"path": "tedlium_17213.wav", "duration": 9.39, "text": "And since we need to focus on what we can control, we are even more resolute that we need to actively manage our expense base lower, which I will discuss further in a few minutes."}, {"path": "tedlium_17214.wav", "duration": 9.39, "text": "as well as assumptions made by Horizon North using information currently available that may constitute forward-looking statements or information under applicable securities laws."}, {"path": "tedlium_17215.wav", "duration": 9.39, "text": "It's still early days, but we see huge potential to further combine the 2 repositioning cases which massively benefit from each other."}, {"path": "tedlium_17216.wav", "duration": 9.39, "text": "As Dave mentioned, we estimate about half of all Americans in the next decade will receive their care through value-based coordinated care systems"}, {"path": "tedlium_17217.wav", "duration": 9.39, "text": "Nancy joins us from Seagate Technology, where she held executive positions in finance, corporate development and sales and business operations."}, {"path": "tedlium_17218.wav", "duration": 9.39, "text": "They are much more relevant to the community. They're probably going to do 30% to 50% more in volume. It's allowed us to really"}, {"path": "tedlium_17219.wav", "duration": 9.39, "text": "The First Nations will take ownership in a world-class terminal asset, which is expected to generate solid returns for the next 50 years or more."}, {"path": "tedlium_17220.wav", "duration": 9.39, "text": "further defined how we're going to reorient those sales offices and consolidations and what have you, and that's frankly something we weren't going to do until the end of this year."}, {"path": "tedlium_17221.wav", "duration": 9.39, "text": "Similar to last quarter, our PEO bookings and retention were strong in the downmarket, while we have continued to see some pressure from larger client losses in the mid-market."}, {"path": "tedlium_17222.wav", "duration": 9.39, "text": "and innovators like Slack and ZipRecruiter. As the world of work continues to evolve rapidly, we continue to focus on staying ahead of the curve."}, {"path": "tedlium_17223.wav", "duration": 9.39, "text": "Constant currency and organic revenue will be aligned as we now have a full year of results for all of the 2015 acquisitions."}, {"path": "tedlium_17224.wav", "duration": 9.39, "text": "we were able to reduce inventory to just below the midpoint of our target range of 6,000 to 8,000 vehicles, one quarter earlier than expected."}, {"path": "tedlium_17225.wav", "duration": 9.39, "text": "We achieved significant operational progress related to our profit-enhancement plan as fixed cost and variable cost were reduced and margins improved."}, {"path": "tedlium_17226.wav", "duration": 9.39, "text": "and new customer sales covering approximately 1.6 million lives will also impact revenue toward the end of this year."}, {"path": "tedlium_17227.wav", "duration": 9.39, "text": "and an additional amount to fund the completion of stock buybacks that neutralize the impact of stock issued in connection with the Visa Europe acquisition."}, {"path": "tedlium_17228.wav", "duration": 9.3899375, "text": "On the other hand, we are increasing the number of good factors and conditions. It's like reducing bad cholesterol and increasing good cholesterol,"}, {"path": "tedlium_17229.wav", "duration": 9.3899375, "text": "the design, the products and do the overall inventory management and the planning and connects to the supply chain team. So"}, {"path": "tedlium_17230.wav", "duration": 9.36, "text": "and then second, how we should think about synergy opportunities as a percent of the acquired sales."}, {"path": "tedlium_17231.wav", "duration": 9.36, "text": "really bring us attractive cash flows and a good synergy to get towards public comps in some of the business services spaces."}, {"path": "tedlium_17232.wav", "duration": 9.36, "text": "In the enterprise space, we signed an important contract with a large global shipping and logistics company to provide mobile messaging services"}, {"path": "tedlium_17233.wav", "duration": 9.36, "text": "We expect significant annual savings from these programs within our existing system, and we'll continue to experience sustainable savings with future acquisitions."}, {"path": "tedlium_17234.wav", "duration": 9.36, "text": "you pose 2 questions. The one would be working capital and what would be the level of working capital"}, {"path": "tedlium_17235.wav", "duration": 9.36, "text": "as we rapidly develop product enhancements on one unified platform as well as our decision to moderate investments as we move forward."}, {"path": "tedlium_17236.wav", "duration": 9.36, "text": "but at the same time, it is a segment that is not kept up with the technological changes that we've seen in the broader construction market."}, {"path": "tedlium_17237.wav", "duration": 9.36, "text": "You asked about the project and some of the extra spending and some of the surprises we've had along the way."}, {"path": "tedlium_17238.wav", "duration": 9.36, "text": "With such background we forecast that it will continue to grow for the time being, and we made a plan this year accordingly."}, {"path": "tedlium_17239.wav", "duration": 9.36, "text": "Got it. Great. And so with scale or broker relevance, would that be something strategically you'd be looking for as well?"}, {"path": "tedlium_17240.wav", "duration": 9.36, "text": "One example of how we're digitizing our operations to the benefit of our customers and partners is demonstrated in our casualty underwriting system."}, {"path": "tedlium_17241.wav", "duration": 9.36, "text": "while making the adjustments necessary to continue to deliver good growth, and that's growth that's profitable, sustainable and responsible."}, {"path": "tedlium_17242.wav", "duration": 9.36, "text": "And we went through a fairly significant vetting and looked at a number of options, externally in terms of bringing on a second billing company."}, {"path": "tedlium_17243.wav", "duration": 9.36, "text": "Adjusted operating income, which excludes certain significant and noncash items, is more indicative of the underlying core operating performance."}, {"path": "tedlium_17244.wav", "duration": 9.36, "text": "I'm also pleased to say that we have recently received authorization from FERC to resume HDD operations at the Tuscarawas River for Rover."}, {"path": "tedlium_17245.wav", "duration": 9.36, "text": "It should be noted that we have not yet completed and filed our annual report for the full year 2016, so the numbers shown remain as estimates."}, {"path": "tedlium_17246.wav", "duration": 9.36, "text": "we do expect to have kind of a continued active strategy as long as the investments make sense, the IRRs and the returns are attractive."}, {"path": "tedlium_17247.wav", "duration": 9.36, "text": "I'd like to spend a moment to talk about the new tax law and its impact on our fourth quarter financial results. The tax legislation"}, {"path": "tedlium_17248.wav", "duration": 9.36, "text": "quite frankly, less people leaving so the expense being a little higher than it was in the past. So those things are positive. And when we look at"}, {"path": "tedlium_17249.wav", "duration": 9.36, "text": "now it becomes quite clear, also to one of our key landlords, that they have to work a little bit, I"}, {"path": "tedlium_17250.wav", "duration": 9.36, "text": "The first one is coming back at your guidance. There seems to be some confusion in the market of what you mean. My interpretation"}, {"path": "tedlium_17251.wav", "duration": 9.36, "text": "as well as stockholder return activities, including payment of our increased quarterly dividend and opportunistic repurchases of our common stock."}, {"path": "tedlium_17252.wav", "duration": 9.36, "text": "along with dedicated and segregated lines for the receipt and delivery of distillates and jet fuel."}, {"path": "tedlium_17253.wav", "duration": 9.36, "text": "And despite pushback from inflation and despite increased volumes, I am very happy to see that the gap is increasing,"}, {"path": "tedlium_17254.wav", "duration": 9.36, "text": "a time to inform itself of what really has gone on with Ruta del Sol. And this government understands perfectly"}, {"path": "tedlium_17255.wav", "duration": 9.36, "text": "of certain categories of exploration costs with the aim to be in line with the other oil and gas players."}, {"path": "tedlium_17256.wav", "duration": 9.36, "text": "very direct competitors with multiple platforms, there is a lot of internal conflict in terms of those multiple platforms, in terms of where they're going to put their"}, {"path": "tedlium_17257.wav", "duration": 9.36, "text": "We had a strong quarter compared with last year but more importantly is the upward growth in our sales and new business wins."}, {"path": "tedlium_17258.wav", "duration": 9.36, "text": "and there was management turnover. They also had fraud problems and they are trying to stand up again,"}, {"path": "tedlium_17259.wav", "duration": 9.36, "text": "have plateaued. The metals market continues to be challenging as a result of global overcapacity, particularly in the steel industry."}, {"path": "tedlium_17260.wav", "duration": 9.36, "text": "They'll be including some forward-looking statements today, so we ask that you please refer to the disclaimer and the conditions surrounding these statements in the earnings release."}, {"path": "tedlium_17261.wav", "duration": 9.36, "text": "in the Consumer Segment, despite that we also continue to see FX headwinds. As a few examples of the efficiency program,"}, {"path": "tedlium_17262.wav", "duration": 9.36, "text": "how are things trending? Which one of these businesses is still accelerating versus maybe starting to level off?"}, {"path": "tedlium_17263.wav", "duration": 9.36, "text": "explain to them and demonstrate to them how it can be done and how it should be done. So I would describe the consultation so far as being constructive and positive."}, {"path": "tedlium_17264.wav", "duration": 9.36, "text": "But the dissipation of oil inventory overhang and the lack of oilfield investment through the downturn plays this latest oil price move on firmer footing"}, {"path": "tedlium_17265.wav", "duration": 9.36, "text": "Most importantly, it is a great example of how we steadily deploy capital within the strategic framework I described earlier to cultivate competitive advantage and drive returns over the cycle."}, {"path": "tedlium_17266.wav", "duration": 9.36, "text": "compared with last year. The decrease in sales was primarily attributable to lower sales volume and lower selling prices of stone fruit."}, {"path": "tedlium_17267.wav", "duration": 9.36, "text": "So if you look at all these, and as we go forward in the year, we'll keep updating you about these. But once all these projects come into"}, {"path": "tedlium_17268.wav", "duration": 9.36, "text": "given the prolonged sluggishness of resource prices as we move toward the fiscal year-end, we will need to scrutinize our assets held even more carefully."}, {"path": "tedlium_17269.wav", "duration": 9.36, "text": "And now with that said, we will always be looking for innovation that continues to enhance that value proposition. The most important thing I think you can do"}, {"path": "tedlium_17270.wav", "duration": 9.36, "text": "and the fact that they want to basically try to obtain the same type of ownership economics as if they built and manage this facility on their own."}, {"path": "tedlium_17271.wav", "duration": 9.36, "text": "In the third quarter, we made progress on a number of initiatives designed to improve our financial performance and position the company to effectively grow its scale."}, {"path": "tedlium_17272.wav", "duration": 9.36, "text": "for the clinical experiences they pursue upon completion of their basic medical sciences training, giving them an early competitive advantage relative to their peers."}, {"path": "tedlium_17273.wav", "duration": 9.36, "text": "that you guys have penciled up with regard to reinvesting free cash flow versus the issuance of common equity burdened by multiyear dividend growth? And I'm just curious, when you did the analysis"}, {"path": "tedlium_17274.wav", "duration": 9.36, "text": "which was used in part for the acquisition of Angel's to fund our growth-focused investments and drive operational excellence initiatives."}, {"path": "tedlium_17275.wav", "duration": 9.36, "text": "By bringing this continuous improvement capability to our clients, we can enable them to guide and evolve their practices directly in line with these great tenets."}, {"path": "tedlium_17276.wav", "duration": 9.36, "text": "With all the wells completed ahead of schedule and on budget, we will now focus on analyzing the results and evaluating next steps for future development."}, {"path": "tedlium_17277.wav", "duration": 9.36, "text": "In light of these updates, we are in the process of taking a number of steps to mitigate a potential default, including beginning discussions with our lenders,"}, {"path": "tedlium_17278.wav", "duration": 9.36, "text": "One final consideration worth mentioning is that we are now starting to see a wider range of cloud providers ramping up their rollout in Europe."}, {"path": "tedlium_17279.wav", "duration": 9.36, "text": "Okay. And then, would you expect that impact to get smaller in the second half? Or is that something that we should expect for the remainder of the year?"}, {"path": "tedlium_17280.wav", "duration": 9.36, "text": "These spreads are being reactivated as a result of us having the confidence of steady work and having met our previously stated price expectations."}, {"path": "tedlium_17281.wav", "duration": 9.36, "text": "Our success and strong results across our short-term line of credit and installment and receivable purchase agreement segments"}, {"path": "tedlium_17282.wav", "duration": 9.36, "text": "And so while there is continued pressure on adding renewables, my sense is we need to get to the 50% first before we take the next step and see how we are doing."}, {"path": "tedlium_17283.wav", "duration": 9.36, "text": "Into 2017, we plan to continue with our current objectives of momentum to grow revenue and discipline to prudently manage costs."}, {"path": "tedlium_17284.wav", "duration": 9.36, "text": "which is our fourth consecutive quarter of sequential core earnings improvement since the first quarter of 2017, when we closed the American Capital acquisition."}, {"path": "tedlium_17285.wav", "duration": 9.36, "text": "of curious if you could comment historically when -- if you had experiences in the past where a client"}, {"path": "tedlium_17286.wav", "duration": 9.36, "text": "Much of the success we have seen is the result of our long-term view from 5 years ago, which gave us the ability to expand our capabilities"}, {"path": "tedlium_17287.wav", "duration": 9.36, "text": "you will see advisers go in and try to help clients reposition those portfolios. So you will see additional trading activity, but it's occurring for,"}, {"path": "tedlium_17288.wav", "duration": 9.36, "text": "explaining to the world that we are not investing enough, which might not be your point of view on the French market,"}, {"path": "tedlium_17289.wav", "duration": 9.36, "text": "We intend to use the proceeds from the notes to pay off our existing convertible debt, fund a share repurchase program and other general corporate purposes."}, {"path": "tedlium_17290.wav", "duration": 9.36, "text": "Mix will also play an impact, so we're going to continue to mix up and grow the higher margin pieces of the portfolio. We've got some nice traction in '18. We'd expect that"}, {"path": "tedlium_17291.wav", "duration": 9.36, "text": "on the question of how is our reserving, how is our prior experience? We've been very clearly at the lower end."}, {"path": "tedlium_17292.wav", "duration": 9.36, "text": "How long does it take to ramp up those stores so that they reach sort of average run rate volumes for your store base?"}, {"path": "tedlium_17293.wav", "duration": 9.36, "text": "that we have markets in which we have stronger relationships with independents, and that expressed in certain type of"}, {"path": "tedlium_17294.wav", "duration": 9.36, "text": "We will leverage our TCA execution and platform solutions to provide scalable products that are valued by our clients to capture this market."}, {"path": "tedlium_17295.wav", "duration": 9.36, "text": "We're encouraged that the concept of beneficiary support services really extends now to the Medicaid long-term services and supports community. So there's"}, {"path": "tedlium_17296.wav", "duration": 9.36, "text": "Now are you still focused on allocating capital towards acquisition first? Or maybe -- or what a dividend increase at some point be in consideration?"}, {"path": "tedlium_17297.wav", "duration": 9.36, "text": "as we lead the shift of the global transportation system from petroleum to clean gaseous fuels in all forms."}, {"path": "tedlium_17298.wav", "duration": 9.36, "text": "Clients want us to bring accomplished talent that can translate strategy to successful execution and who are also enabled by supporting programs,"}, {"path": "tedlium_17299.wav", "duration": 9.36, "text": "less growth than we've seen at the very outset of this market boom. So there's going -- a bit of a maturing of the market, but still at healthy growth levels."}, {"path": "tedlium_17300.wav", "duration": 9.36, "text": "Our hotels performed in line with expectations in the first quarter. Despite the lack of group activity, particularly in Chicago,"}, {"path": "tedlium_17301.wav", "duration": 9.36, "text": "Cary will begin with opening comments followed by Scott with a detailed review of the quarter and year and an outlook on the future."}, {"path": "tedlium_17302.wav", "duration": 9.36, "text": "Following our prepared remarks, Mike and I as well as David Dill, our President and Chief Operating Officer, will be available to answer your questions."}, {"path": "tedlium_17303.wav", "duration": 9.36, "text": "First, we started a process a couple years ago to evolve timeshare sales and marketing to ensure a more consumer friendly buying experience."}, {"path": "tedlium_17304.wav", "duration": 9.36, "text": "the market cap, relative to the liquidation of the business versus the ability to actually generate profits, that will"}, {"path": "tedlium_17305.wav", "duration": 9.36, "text": "We also believe that favorable demographics such as the Millennials starting to reach their peak home-buying years will continue to increase the demand for purchase mortgages."}, {"path": "tedlium_17306.wav", "duration": 9.36, "text": "that was mentioned earlier was -- is probably right, but we have the tendency here not to forecast aggressively."}, {"path": "tedlium_17307.wav", "duration": 9.36, "text": "within that if you parse it out, where you're maybe seeing a little surprise to the upside or you're seeing anything that's giving you a little more confidence here heading into the next 3 quarters?"}, {"path": "tedlium_17308.wav", "duration": 9.36, "text": "This allowed us to protect our leading share positions in the near term while remaining ready to capitalize on their long-term potential."}, {"path": "tedlium_17309.wav", "duration": 9.36, "text": "can definitely lead with products that are super high quality and don't lead to GvHD, so it's not a problem anymore. And I think that's part of the past"}, {"path": "tedlium_17310.wav", "duration": 9.36, "text": "following the release of our fiscal first quarter results, probably sometime in February. Thank you again and have a wonderful day. Bye."}, {"path": "tedlium_17311.wav", "duration": 9.36, "text": "the confidence and aggressiveness that is now a real part of Sientra. I know I didn't give you the kind of information that you're looking for, but"}, {"path": "tedlium_17312.wav", "duration": 9.36, "text": "I think as we saw the building activity be -- start off the year a little slower than we had expected, you did see inventory levels build up a little bit."}, {"path": "tedlium_17313.wav", "duration": 9.36, "text": "We make changes to our harvest capacity on a regular basis. We look at it on a daily basis. We increase and decrease our harvest levels."}, {"path": "tedlium_17314.wav", "duration": 9.36, "text": "our capacity has filled, and we are now operating at near-optimal utilization levels in most of our Safety Assessment facilities."}, {"path": "tedlium_17315.wav", "duration": 9.36, "text": "We believe the acquisition of Tribune would deliver significant strategic and financial benefits to the combined company, which include"}, {"path": "tedlium_17316.wav", "duration": 9.36, "text": "albeit that we expect this level to reduce for all market participants under any of the proposed new codes once finalized."}, {"path": "tedlium_17317.wav", "duration": 9.36, "text": "and the agency execution services is in Virtu market making. So all of those legacy categories are in the new Virtu market making bucket"}, {"path": "tedlium_17318.wav", "duration": 9.36, "text": "pretty much kind of a flat measurement as we've been able to control our operating expenses and the portfolio really has grown only nominally."}, {"path": "tedlium_17319.wav", "duration": 9.36, "text": "and the providers for Eversense. The only way that we can do that right now is to use this bridge program from where we stand."}, {"path": "tedlium_17320.wav", "duration": 9.36, "text": "the secular growth that could be multiyear that we've seen for several years here. What look can we expect in terms of incremental investment towards that?"}, {"path": "tedlium_17321.wav", "duration": 9.36, "text": "And interestingly, the New York Times ran an article about how renewables are not bringing the world much closer to achieving climate goals."}, {"path": "tedlium_17322.wav", "duration": 9.36, "text": "These results demonstrate continued positive momentum from the consistent and rigorous execution of our strategy."}, {"path": "tedlium_17323.wav", "duration": 9.36, "text": "is likely to do. We had a Phase II result that went all the way to OS with the doublet. And so that's going to be helpful in order to assess the ultimate"}, {"path": "tedlium_17324.wav", "duration": 9.36, "text": "While traffic is always going to be important to us, we're not -- all of our locations aren't what you'd call Main on Main, so traffic is really important to us."}, {"path": "tedlium_17325.wav", "duration": 9.36, "text": "of manufacturing but there is not a plan to stop our CMOs and transfer that process. That would delay us considerably."}, {"path": "tedlium_17326.wav", "duration": 9.36, "text": "is may be valued more, is that something where you could see that market change or do you kind of view it as it's an in-sourced market and it stays that way?"}, {"path": "tedlium_17327.wav", "duration": 9.36, "text": "So -- and how do you deal with customers who get used to the greater savings, especially if they may not want to give them back in the future?"}, {"path": "tedlium_17328.wav", "duration": 9.36, "text": "between how that works in your hedges and the extent to which you are protected by your hedges?"}, {"path": "tedlium_17329.wav", "duration": 9.36, "text": "in position for closing that 50 basis point gap? Does that require more rate cases? Does it require you to change the types of"}, {"path": "tedlium_17330.wav", "duration": 9.36, "text": "Looking ahead to the first quarter, equipment is now tied with activity expected to strengthen on the new exploration season in Alaska and Canada."}, {"path": "tedlium_17331.wav", "duration": 9.36, "text": "And this -- knowing that the vehicles -- that we are currently remarketing that there are also still a large number of Euro-5 vehicles included"}, {"path": "tedlium_17332.wav", "duration": 9.36, "text": "But it is encouraging to see an overall improvement in consumer sentiment in emerging markets that we already have alluded to in our previous calls."}, {"path": "tedlium_17333.wav", "duration": 9.36, "text": "driven by excessively aged fleets, a demanding regulatory backdrop and a generally stable trucking environment with strong carrier profitability."}, {"path": "tedlium_17334.wav", "duration": 9.36, "text": "What we've seen come out of those is not significant change as customers are already very well protected by the existing legislation."}, {"path": "tedlium_17335.wav", "duration": 9.36, "text": "is there anything that changed in the marketplace relative to your expectations around secular trends that are picking up, that are causing you to invest more? Or is this more"}, {"path": "tedlium_17336.wav", "duration": 9.36, "text": "presentations and Investor Day's and such, the thing we focus on is the fact that we have all this deep vertical confidence."}, {"path": "tedlium_17337.wav", "duration": 9.36, "text": "core business process management business. But I think that shows our strength that we're able to compete against traditional competitors"}, {"path": "tedlium_17338.wav", "duration": 9.36, "text": "or negate our ability to continue to drive margin expansion in those businesses. And I would say we didn't drive margin"}, {"path": "tedlium_17339.wav", "duration": 9.36, "text": "was an important step for the company because it releases us from some very restrictive covenants, which were imposed at the time the debt was arranged"}, {"path": "tedlium_17340.wav", "duration": 9.36, "text": "a larger volume of recurring revenue in the initial years. But then when"}, {"path": "tedlium_17341.wav", "duration": 9.36, "text": "Again, being responsive as we can be to some of the requests that we've had and how we've really focused on the core business going forward."}, {"path": "tedlium_17342.wav", "duration": 9.36, "text": "we are excited to move these programs into the clinic to test their effectiveness in stimulating anti-tumor immune responses in patients."}, {"path": "tedlium_17343.wav", "duration": 9.36, "text": "gauge the impact of that announcement. Is this maybe another leg-up for OCC? Or is China just kind of confirming something that they've been doing already for most of the year?"}, {"path": "tedlium_17344.wav", "duration": 9.36, "text": "was really proven out in -- over Christmas because we got -- we had very heavy traffic on Black Friday and Cyber Monday, and the team was able to make adjustments"}, {"path": "tedlium_17345.wav", "duration": 9.36, "text": "and have an unwavering confidence that these are the right places for EnLink to be positioned, as we execute our growth plans and achieve our objectives."}, {"path": "tedlium_17346.wav", "duration": 9.36, "text": "I spent some time in Iowa 2 weeks ago with the DECO team and came away very excited about our continued prospects for growth."}, {"path": "tedlium_17347.wav", "duration": 9.36, "text": "Turning to the full year. Many of the key trends that persisted in the fourth quarter also shaped our 2016 results."}, {"path": "tedlium_17348.wav", "duration": 9.36, "text": "The volatility in the commodity markets last year as well as the industry's response underscores our repositioning for this year and beyond."}, {"path": "tedlium_17349.wav", "duration": 9.36, "text": "operating matrix. Having said all this, and perhaps with the credibility that we've had in the past of turning every operation around, I urged you"}, {"path": "tedlium_17350.wav", "duration": 9.36, "text": "how should we think about how aggressive you can be regarding the acquisition of products? And"}, {"path": "tedlium_17351.wav", "duration": 9.36, "text": "We aim to keep the bank well positioned in this area and continue to emphasize our digital channels through our processes."}, {"path": "tedlium_17352.wav", "duration": 9.36, "text": "We are pursuing opportunities for upgrades, fixes and services, and are working to expand our overall footprint and share in this segment."}, {"path": "tedlium_17353.wav", "duration": 9.36, "text": "I think, Ben, what you're asking there is why don't we put up a marketplace ourselves. Well, we strongly believe that we should not compete with our customers,"}, {"path": "tedlium_17354.wav", "duration": 9.36, "text": "I think it's important to isolate Government in the story here because we've been pretty transparent about a couple of contract losses and Government changes we've been making."}, {"path": "tedlium_17355.wav", "duration": 9.36, "text": "And having the flexibility to strategically deploy capital is also important. We manage our business looking out past the horizon of the next 2 quarters."}, {"path": "tedlium_17356.wav", "duration": 9.36, "text": "We are performing a strategic review of all of our business units that will help us prioritize our capital and resources where we see the best opportunities for profitable growth."}, {"path": "tedlium_17357.wav", "duration": 9.36, "text": "may have some challenges right now, but then there are others that are doing quite well and ditto for many of these local and regional customers. So"}, {"path": "tedlium_17358.wav", "duration": 9.36, "text": "Our retail partners continue to demonstrate demand to be in our centers. Our leasing and reinvestment efforts continue to drive additional growth in our intrinsic value."}, {"path": "tedlium_17359.wav", "duration": 9.36, "text": "we -- you don't want to find these issues on the shop floor. So after you've rolled it and you put time and labor in, you don't want to find out you got a steel issue. So"}, {"path": "tedlium_17360.wav", "duration": 9.36, "text": "And I think that mix will probably be about what it is, but we always look how much cost us for the content"}, {"path": "tedlium_17361.wav", "duration": 9.36, "text": "The increase in capital spending was primarily related to the increase in production equipment used in manufacturing specialty alumina products."}, {"path": "tedlium_17362.wav", "duration": 9.36, "text": "in the intelligence, emissions, safety and security and fuel efficiency markets, which are expected to grow at rates exceeding the underlying vehicle market."}, {"path": "tedlium_17363.wav", "duration": 9.36, "text": "and the lead time part. So in essence, I see opportunities to sell more with less inventory, and I also see an opportunity to"}, {"path": "tedlium_17364.wav", "duration": 9.36, "text": "We will move this company into the future in a way that excites our consumers, beats our competitors and drives value for the company and shareholders."}, {"path": "tedlium_17365.wav", "duration": 9.36, "text": "Carrie will review the results of the first quarter, but before that, I'd like to focus some remarks on the quality of our credit performance and the evolution of our investor base."}, {"path": "tedlium_17366.wav", "duration": 9.36, "text": "definitely seeing more clarity and better progress on the milestones that are needed to get many of these large projects to FID. And"}, {"path": "tedlium_17367.wav", "duration": 9.36, "text": "We drove 15 times more app installs in December compared to April while continuing to drive increased return on investment."}, {"path": "tedlium_17368.wav", "duration": 9.36, "text": "And finally, I'm happy to report that our acquisition pipeline is extremely robust and we hope to close a number of deals in the very near future."}, {"path": "tedlium_17369.wav", "duration": 9.36, "text": "This trend has not continued into October as we would estimate book value currently as being higher by a few cents quarter-to-date."}, {"path": "tedlium_17370.wav", "duration": 9.36, "text": "during the year, reflecting our focus on improving revenue growth -- the revenue growth rates, with several sizable deals in the sales pipeline."}, {"path": "tedlium_17371.wav", "duration": 9.36, "text": "Well, I think to your point, you don't have to get -- we don't have to get back to the peak levels that we saw, but we do have to get back to more of an average of what we've seen in the past."}, {"path": "tedlium_17372.wav", "duration": 9.36, "text": "So that's fairly natural movement to see the market strength there relative to the other region or pricing strength relative to the other regions"}, {"path": "tedlium_17373.wav", "duration": 9.36, "text": "I think I'd focus on a couple things. First of all, as it relates to the fourth quarter, there is a huge push in Q4, and that tends to be"}, {"path": "tedlium_17374.wav", "duration": 9.36, "text": "Second, we are opening up 2 new segments by bringing innovation into power management for computing systems and for TVs and set-top boxes."}, {"path": "tedlium_17375.wav", "duration": 9.3300625, "text": "reflective of the discount as to where we're currently guiding versus last we spoke. But this we believe will put us in a much"}, {"path": "tedlium_17376.wav", "duration": 9.3300625, "text": "continued acceleration, if you will, in comps you think relates to the internal initiatives versus an improved backdrop?"}, {"path": "tedlium_17377.wav", "duration": 9.33, "text": "some other thing that's causing the volumes in Buildings to be lower than what the leading indicators would suggest?"}, {"path": "tedlium_17378.wav", "duration": 9.33, "text": "We're planning to finance the transaction with committed secured financing and do not expect the added debt to impact our overall cost of borrowing based on the current"}, {"path": "tedlium_17379.wav", "duration": 9.33, "text": "will be a function of eliminating the 2017 expenses to execute the program plus capturing incremental benefits as we achieve the full run rate of the expected savings."}, {"path": "tedlium_17380.wav", "duration": 9.33, "text": "These risks are described in the company's filings made with the Securities and Exchange Commission, including the company's annual report on Form 10-K"}, {"path": "tedlium_17381.wav", "duration": 9.33, "text": "As part of the capital planning related to the JLT transaction, it is unlikely we will repurchase any stock ahead of the close of the acquisition."}, {"path": "tedlium_17382.wav", "duration": 9.33, "text": "This will help to inform our decision about what dose level or levels to select for the Phase II study and what the dosing interval should be."}, {"path": "tedlium_17383.wav", "duration": 9.33, "text": "We are also pleased to announce the latest results of our share buyback program. We continued to buy back stock in the second quarter and in April."}, {"path": "tedlium_17384.wav", "duration": 9.33, "text": "And the partnerships, they come on slower, but it seems like you've had more luck getting them to sign up. And so you've had"}, {"path": "tedlium_17385.wav", "duration": 9.33, "text": "for operating income you were saying that you were going to strive for increased operating income. Even after the"}, {"path": "tedlium_17386.wav", "duration": 9.33, "text": "with both a strong balance sheet and strong free cash flow, we are well-positioned to pursue targeted acquisitions, to create greater relevance in selected markets."}, {"path": "tedlium_17387.wav", "duration": 9.33, "text": "And in response to these developments, we significantly simplified our portfolio to focus on converged communication and IT services."}, {"path": "tedlium_17388.wav", "duration": 9.33, "text": "for the invitation when it comes out and... In the next weeks, we will send out the invitations and then in the invitation, you will see when you have to respond,"}, {"path": "tedlium_17389.wav", "duration": 9.33, "text": "While we continue to expect that we will not need to issue equity at least through the middle of this year, we are targeting not having any equity needs in 2018. And"}, {"path": "tedlium_17390.wav", "duration": 9.33, "text": "In terms of the timing of when we start, Charles, I'm not going to put any more fidelity than first quarter. Count on us to go as fast as we can. I think the fact that we now"}, {"path": "tedlium_17391.wav", "duration": 9.33, "text": "Can you shed any light on what the plan is there? And if perhaps, the Ontario Fair Housing Plan might have any impact on your thinking there?"}, {"path": "tedlium_17392.wav", "duration": 9.33, "text": "This represents growth in both net interest income and fee income, as well as a net reduction in credit costs and expenses in the quarter."}, {"path": "tedlium_17393.wav", "duration": 9.33, "text": "this was not able to make up for the fall in the unit sales of network products and mobile phones, which did particularly well in the third quarter of last year."}, {"path": "tedlium_17394.wav", "duration": 9.33, "text": "Yes. So as it relates to our Automotive margins, and we kind of -- as we talked about in our comments, we have seen continued improvement"}, {"path": "tedlium_17395.wav", "duration": 9.33, "text": "Certain statements contained in this presentation as well as other information provided from time to time by the company or its employees may contain forward-looking statements"}, {"path": "tedlium_17396.wav", "duration": 9.33, "text": "On this call, we will be sharing with you some of the specific initiatives that we have embarked on to support this new vision for Fred's Pharmacy."}, {"path": "tedlium_17397.wav", "duration": 9.33, "text": "lending. The credit cycle is certainly feeling better at this stage in the overall context of things."}, {"path": "tedlium_17398.wav", "duration": 9.33, "text": "And one advantage of this drug in thinking about it as an acute therapy is a single dose is going to persist"}, {"path": "tedlium_17399.wav", "duration": 9.33, "text": "We also saw growth in small business marketing solutions and web and also payroll services."}, {"path": "tedlium_17400.wav", "duration": 9.33, "text": "Now I'll touch on our most recent acquisition, which we announced on July 10. Since we had the call 2 days ago, I'll just go over the highlights."}, {"path": "tedlium_17401.wav", "duration": 9.33, "text": "will come out of this wanting to do something. So I can imagine that, one is, we go on as we are."}, {"path": "tedlium_17402.wav", "duration": 9.33, "text": "We will, of course, monitor the impact and continue to adjust as needed in order to maximize the opportunity as we utilize our business intelligence group"}, {"path": "tedlium_17403.wav", "duration": 9.33, "text": "pricing of domestically produced gas, but also led to higher windfall profit tax for our company."}, {"path": "tedlium_17404.wav", "duration": 9.33, "text": "I'll now ask Steve to provide a more detailed update on some of the key life cycle and development activities we're pursuing across our portfolio. Steve? Thanks, Mark."}, {"path": "tedlium_17405.wav", "duration": 9.33, "text": "bringing more focus to your product development efforts and how that was going to help your leverage. Can you just give some more detail on that? Should we expect"}, {"path": "tedlium_17406.wav", "duration": 9.33, "text": "So that's the challenge for companies. How do you strike a balance between the existing and the new products? That's a very big challenge indeed."}, {"path": "tedlium_17407.wav", "duration": 9.33, "text": "a few small questions. Can you just comment a little bit on how the integration of Body Plus and Sonoma is progressing and"}, {"path": "tedlium_17408.wav", "duration": 9.33, "text": "with staff that is unhappy with the working environment. So that's part of the management skill in this area to manage. I"}, {"path": "tedlium_17409.wav", "duration": 9.33, "text": "by the airport, and we've been very clear in terms of what we believe they should be looking at. And we will work with them to try and"}, {"path": "tedlium_17410.wav", "duration": 9.33, "text": "We are executing on our strategic initiatives to improve financial discipline and operating efficiency, while investing in our growth initiatives."}, {"path": "tedlium_17411.wav", "duration": 9.33, "text": "Results continue to be driven by low interest rates as well as reduced market activity and volumes, which most likely will not improve in the short term."}, {"path": "tedlium_17412.wav", "duration": 9.33, "text": "one. Right now, however, some of our customers are late launching new drug trials. The number of drug trials or new launches are down"}, {"path": "tedlium_17413.wav", "duration": 9.33, "text": "and the number of SKUs, you can simplify the business a good bit and not really have a significant impact on your URB demand."}, {"path": "tedlium_17414.wav", "duration": 9.33, "text": "I think there are simple wins on our way to our path to what I think is going to be really accelerated opportunities in the future. So"}, {"path": "tedlium_17415.wav", "duration": 9.33, "text": "This was driven by the continued adoption of the Cornerstone HR suite as well as accelerating traction with Cornerstone Recruiting."}, {"path": "tedlium_17416.wav", "duration": 9.33, "text": "And as you know, Brazil has been one of the weaker points for us as a company, and I think it can be a catalyst. I think it's -- and most importantly is they came in"}, {"path": "tedlium_17417.wav", "duration": 9.33, "text": "also had to mention that we had now achieved to have the unique trading platform, which we are calling Alm. Brand Trader,"}, {"path": "tedlium_17418.wav", "duration": 9.33, "text": "Third, tenaciously pursue greater cost efficiencies as we continue lean practices throughout the organization."}, {"path": "tedlium_17419.wav", "duration": 9.33, "text": "choices about the kind of work we go after, I don't think that the conclusion of that should be that it slows revenue growth in the long run because I think there's"}, {"path": "tedlium_17420.wav", "duration": 9.33, "text": "Our net numbers that you see in the release are based on sold volumes, but some of the production in Yates was produced in September but not transported for sale until October."}, {"path": "tedlium_17421.wav", "duration": 9.33, "text": "When we had guided back when we had given the full year estimates that we were going to come out running very low in the beginning. And if you look at the bottom"}, {"path": "tedlium_17422.wav", "duration": 9.33, "text": "what we see the most important businesses for us to grow, both in United States and overseas, based on that strategy, right? So"}, {"path": "tedlium_17423.wav", "duration": 9.33, "text": "to navigate that, also looking at the cost side of things. What's going to happen with other insurance companies, I don't know, especially if we talk about the smaller insurers."}, {"path": "tedlium_17424.wav", "duration": 9.33, "text": "We were also able to improve our adjusted EBITDA margin and reduce our leverage while continuing to invest in the business"}, {"path": "tedlium_17425.wav", "duration": 9.33, "text": "While the payments received from this therapeutic during the clinical study will be very modest in 2018, we are pleased to have advanced to this phase."}, {"path": "tedlium_17426.wav", "duration": 9.33, "text": "Okay. You're talking about the tax, the benefit of the tax, using that. That's what you need for the incremental spend. You don't have to touch the capital of return piece."}, {"path": "tedlium_17427.wav", "duration": 9.33, "text": "Such statements speak only as of the date they are made, and the company is under no obligation to update them in light of new information."}, {"path": "tedlium_17428.wav", "duration": 9.33, "text": "We had a tale of 2 segments with the West accounting for the entirety of this improvement, while we continue to strengthen our position in the Southeast."}, {"path": "tedlium_17429.wav", "duration": 9.33, "text": "put some additional cash in India in order to pay off a loan that, that joint venture had. It was a very high interest rate loan that was"}, {"path": "tedlium_17430.wav", "duration": 9.33, "text": "Well, the most important ones that we're pursuing when the opportunity arises, and we don't have a lot of control over it,"}, {"path": "tedlium_17431.wav", "duration": 9.33, "text": "and are made pursuant to and within the meaning of the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995 as amended."}, {"path": "tedlium_17432.wav", "duration": 9.33, "text": "more interesting topic. Is there any -- given the variability in earnings due to weather, is there any thought or appetite in Texas"}, {"path": "tedlium_17433.wav", "duration": 9.33, "text": "As a result, a gradual reduction of revenues in this business is not expected to have an adverse impact on operating margins."}, {"path": "tedlium_17434.wav", "duration": 9.33, "text": "we believe there is significant demand for a modern subscription-based content offering in today's evolving workplace."}, {"path": "tedlium_17435.wav", "duration": 9.33, "text": "technologies because, ultimately, much of that data in the industrial space is analog data which has to be digitized and then analyzed."}, {"path": "tedlium_17436.wav", "duration": 9.33, "text": "This is for us an absolutely core element, because our mission is how do we empower people to live a better life."}, {"path": "tedlium_17437.wav", "duration": 9.33, "text": "putting up a new building in Switzerland in our wireless communication business in in Western Switzerland,"}, {"path": "tedlium_17438.wav", "duration": 9.33, "text": "We have paid the same amount of dividends for the last 4 years. So irrespective of the level of profitability that we have achieved,"}, {"path": "tedlium_17439.wav", "duration": 9.33, "text": "and extending payment terms with our vendors, which we've accomplished through improved operating performance and the utilization of LCs for selected import vendors."}, {"path": "tedlium_17440.wav", "duration": 9.33, "text": "increase the value of the ecosystem. They're more valuable as a part of the ecosystem we've already built, and they make the ecosystem what we have more valuable by adding the new service."}, {"path": "tedlium_17441.wav", "duration": 9.33, "text": "Clients want better solutions to accelerate project results, experienced talent wants to work in more liberating and empowering ways."}, {"path": "tedlium_17442.wav", "duration": 9.33, "text": "We achieved new record highs in all income categories, including ordinary income and net income attributable to owners of the parent."}, {"path": "tedlium_17443.wav", "duration": 9.33, "text": "As you recall, we indicated in our most recent earnings call that we expected RevPAR growth to be slightly negative during the first quarter."}, {"path": "tedlium_17444.wav", "duration": 9.33, "text": "in a combination of cash and an equity investment at a premium, is also a significant transaction for Dicerna. Under the agreement,"}, {"path": "tedlium_17445.wav", "duration": 9.33, "text": "I do think that other states will consider expansion, whether outright or through the use of a waiver."}, {"path": "tedlium_17446.wav", "duration": 9.33, "text": "I do think that they are making those kinds of determinations. But whether or not it's a result of"}, {"path": "tedlium_17447.wav", "duration": 9.33, "text": "But this is a good protection for minority shareholders, who had to essentially digest a deal that happened pretty much over the weekend."}, {"path": "tedlium_17448.wav", "duration": 9.33, "text": "all companies that are rebounding after a period of transformation and restructuring, it's how ready are we for the upswing and"}, {"path": "tedlium_17449.wav", "duration": 9.33, "text": "Consistent with last quarter, the increase in the premium yield for the third quarter was primarily due to a higher level of single premium cancellation income."}, {"path": "tedlium_17450.wav", "duration": 9.33, "text": "offset in part by an increase in residential and commercial volumes related to weather and contributions from tuck-in acquisitions."}, {"path": "tedlium_17451.wav", "duration": 9.33, "text": "We hope this trial will lead to the fastest regulatory pathway not only for Taiwan, but also for the People's Republic of China."}, {"path": "tedlium_17452.wav", "duration": 9.33, "text": "And particularly noteworthy for our circuit this quarter was the release of some record-breaking documentaries from the specialty film companies."}, {"path": "tedlium_17453.wav", "duration": 9.33, "text": "This alliance is intended to bring stakeholders together to ensure reliable battery supply for the European industry."}, {"path": "tedlium_17454.wav", "duration": 9.33, "text": "don't sound like big fancy new products but are really important in terms of enhancing the overall application success of our customers."}, {"path": "tedlium_17455.wav", "duration": 9.33, "text": "a hearing aid and a true wireless headset are starting to look more and more alike and there's this convergence between those."}, {"path": "tedlium_17456.wav", "duration": 9.33, "text": "that we think the network business can bring. Again, especially of late, I think it's probably just important to make sure to put the fine point on it that"}, {"path": "tedlium_17457.wav", "duration": 9.33, "text": "The speed that they are moving to transform themselves into something much more than a wireless carrier is pretty breathtaking. And when they sit in our office and talk to us about that,"}, {"path": "tedlium_17458.wav", "duration": 9.33, "text": "So we think it's actually more ethical, this pathway that we're taking. We think it's more expeditious and will help us to"}, {"path": "tedlium_17459.wav", "duration": 9.33, "text": "We have reached a point where the situation became much clearer with respect to the likely outcome around cost recovery options"}, {"path": "tedlium_17460.wav", "duration": 9.33, "text": "And so we do have a question of as to what Hershey's growth rate is in the future and whether it'd be better for Mondelez to"}, {"path": "tedlium_17461.wav", "duration": 9.33, "text": "In our developed market footprint, we are reinforcing our premium beer credentials, driving quality and visibility in the on-premise"}, {"path": "tedlium_17462.wav", "duration": 9.33, "text": "Change has been a constant at Groupon, and I would argue that over the past 5 months, we've changed more and faster than at any time in my nearly 5 years at this company."}, {"path": "tedlium_17463.wav", "duration": 9.33, "text": "The decline in this quarter is also partly attributable to exit costs from the realignment of certain products and service offerings within the European market."}, {"path": "tedlium_17464.wav", "duration": 9.33, "text": "end customers as well as our customer base of proceeding with projects to be ready to launch them."}, {"path": "tedlium_17465.wav", "duration": 9.33, "text": "We are confident that Trex will be able to continue to grow at a faster rate than market, given our leadership position and brand equity."}, {"path": "tedlium_17466.wav", "duration": 9.33, "text": "including borrower points and gain on sale, the latter of which may become increasingly compelling as financing markets for these asset types continue to mature."}, {"path": "tedlium_17467.wav", "duration": 9.33, "text": "Sales to the prescription drug market increased over the prior year even though last year's strong second quarter was a difficult comparison."}, {"path": "tedlium_17468.wav", "duration": 9.33, "text": "The decrease in adjusted net income between periods was mainly due to lower segment profit and a higher effective income tax rate in the current quarter."}, {"path": "tedlium_17469.wav", "duration": 9.33, "text": "managing our risks and transparencies and responsible business models is becoming an increasing competitive advantage. So"}, {"path": "tedlium_17470.wav", "duration": 9.33, "text": "grow the market really from OTC into LINZESS. And also how do we continue to raise the bar with regards to the clinical performance of our drug?"}, {"path": "tedlium_17471.wav", "duration": 9.33, "text": "Under this regime, an arbitrator can determine the terms of pipeline access, including price, where parties have been unable to agree terms commercially."}, {"path": "tedlium_17472.wav", "duration": 9.33, "text": "Higher oil prices, which result in lower volumes relating to PAP at Quifa Southwest"}, {"path": "tedlium_17473.wav", "duration": 9.33, "text": "As for gain on sale of equipment, we do not anticipate selling as many tractors in 2016 as we did in 2015, and the used truck market is continuing to soften."}, {"path": "tedlium_17474.wav", "duration": 9.33, "text": "Yes. The backlog had little to no effect on our reported fourth quarter rates, but did have a negative impact on our overall fourth quarter utilization"}, {"path": "tedlium_17475.wav", "duration": 9.33, "text": "The One Belt, One Road project is a cornerstone of the Chinese economic plans for the next 5 years and supports steel and power demand inside and outside China."}, {"path": "tedlium_17476.wav", "duration": 9.33, "text": "We've done this in great part by taking a highly selective approach to investments, staying true to our disciplined underwriting standards and maintaining strong credit quality."}, {"path": "tedlium_17477.wav", "duration": 9.33, "text": "Okay. You feel you're sort of out of the woods now in terms of kind of perfecting those processes at rate at this point, do you feel like or you're not quite there yet?"}, {"path": "tedlium_17478.wav", "duration": 9.33, "text": "Okay. And the other question I had for you was, the Industrial piece. So can you give us some trajectory of how it trended through the quarter"}, {"path": "tedlium_17479.wav", "duration": 9.33, "text": "And the companies we've talked to, they're starting to think about that and talk about those as well. There is service bureau to the rest of the company."}, {"path": "tedlium_17480.wav", "duration": 9.33, "text": "This has been popping up around customer discussions just over the past few month. So we have to address that and start putting the practice around that. So how fast that could take us"}, {"path": "tedlium_17481.wav", "duration": 9.33, "text": "However, we've yet to see a full return to growth in Illinois and coastal Texas, despite strong backlogs in those markets."}, {"path": "tedlium_17482.wav", "duration": 9.33, "text": "And lastly, we realized that in any acquisition, we have great opportunities to learn from the new business and its people."}, {"path": "tedlium_17483.wav", "duration": 9.33, "text": "Why do we want to do this? We really believe that the current sales system for selling diamonds is really antiquated."}, {"path": "tedlium_17484.wav", "duration": 9.33, "text": "Okay. And then just lastly, I want to clarify the comments about historical incremental margins even while you hire these sales folks. So"}, {"path": "tedlium_17485.wav", "duration": 9.33, "text": "which we have communicated throughout the last couple of years. So there's no change that we have the intention to be very solid,"}, {"path": "tedlium_17486.wav", "duration": 9.33, "text": "On Slide 5, we've called out some of the highlights that demonstrate our continued progress towards transformation. First and foremost, our businesses are growing."}, {"path": "tedlium_17487.wav", "duration": 9.33, "text": "reported our wholesale pipeline inventories so that everyone out there can follow along with what's going on. So there's no question about"}, {"path": "tedlium_17488.wav", "duration": 9.33, "text": "New orders have increased significantly, especially for components to be installed on electric and hybrid vehicles."}, {"path": "tedlium_17489.wav", "duration": 9.33, "text": "in part because consumers they serve visit primary care physicians 10% more often even as their hospitalizations are reduced"}, {"path": "tedlium_17490.wav", "duration": 9.33, "text": "and was recognized by the health care transformation alliance and other marquee customers, driving OptumRx to a market-leading growth rate"}, {"path": "tedlium_17491.wav", "duration": 9.33, "text": "And some of the missed time, when you have as much rain in California as we had, some of that just delays projects, and everything gets pushed a bit."}, {"path": "tedlium_17492.wav", "duration": 9.33, "text": "we were involved in very important improvements in the project with our engineering area. So we're there."}, {"path": "tedlium_17493.wav", "duration": 9.33, "text": "But what we see quite clearly is that the concentrate market will be tight in the next few years. Not much concentrate around."}, {"path": "tedlium_17494.wav", "duration": 9.33, "text": "this year, I think that we are extremely happy with our strategy and what we're trying to do. For a long time, we've known that we should be growing our specialties,"}, {"path": "tedlium_17495.wav", "duration": 9.33, "text": "The company undertakes no obligation to update any forward-looking statement to reflect events or circumstances arising after the date on which such statement is made."}, {"path": "tedlium_17496.wav", "duration": 9.33, "text": "Finally, we adjusted EPS to exclude transaction cost related to the acquisition of Orlaco. Bob will discuss our adjustments in more detail."}, {"path": "tedlium_17497.wav", "duration": 9.33, "text": "Spending in the quarter was in line with plan as we completed the last of the key preproduction activities and stepped up our mining movement rates,"}, {"path": "tedlium_17498.wav", "duration": 9.33, "text": "think about how we want to run the company and have that optionality. So -- and that's -- the good news is we can -- we see that path forward,"}, {"path": "tedlium_17499.wav", "duration": 9.33, "text": "They came to Snapchat with the goal of finding a new audience that couldn't be reached on other platforms. In just a few months' time,"}, {"path": "tedlium_17500.wav", "duration": 9.33, "text": "across the board on the savings initiatives, which now -- you mentioned 2 of the elements, and the third element is the business restructuring."}, {"path": "tedlium_17501.wav", "duration": 9.33, "text": "the first quarter of 2017 continued to outperform with strong retail shows and favorable demographic patterns continuing to drive and support increased production levels."}, {"path": "tedlium_17502.wav", "duration": 9.33, "text": "In the face of rising costs, our team worked closely with our customers and suppliers to ensure service support and consistency of delivery."}, {"path": "tedlium_17503.wav", "duration": 9.33, "text": "we're expanding our dealer network for vintage coins and our reach into the important sectors like the banking channel for modern coins."}, {"path": "tedlium_17504.wav", "duration": 9.3299375, "text": "But if you consider any further possible risks due to the system change after April, what would they be?"}, {"path": "tedlium_17505.wav", "duration": 9.3299375, "text": "Overall, we are pleased with the continued progress we are making to drive bottom line results while also positioning the company to achieve its full potential."}, {"path": "tedlium_17506.wav", "duration": 9.3000625, "text": "it's not simply just capacity and feet on the street and sales, engineering and developer relations. It's also the fact that,"}, {"path": "tedlium_17507.wav", "duration": 9.3, "text": "As Tony stated before, we're usually the first ones through the door to initiate discussions to purchase an asset, which isn't actually for sale."}, {"path": "tedlium_17508.wav", "duration": 9.3, "text": "So this we won't give any more color on, but I think it's fairly specific what we need to do. And at the end of the day, with the working capital,"}, {"path": "tedlium_17509.wav", "duration": 9.3, "text": "Your first question is there are some variable costs that actually did go away. Part of the reason why we actually didn't have any increase in our"}, {"path": "tedlium_17510.wav", "duration": 9.3, "text": "while the supply of new hotels is increasing downtown, we expect the demand growth will continue. That said in Q1, we did underperform our expectations"}, {"path": "tedlium_17511.wav", "duration": 9.3, "text": "but the consumables have already started to come through, plus you already see the downstream processing also growing rather nicely. So just to give you some facts."}, {"path": "tedlium_17512.wav", "duration": 9.3, "text": "Second, along with the pace and scope of our fundraising, we are selectively hiring new resources to support a larger investment platform."}, {"path": "tedlium_17513.wav", "duration": 9.3, "text": "In addition, many companies are working on access keeping and there is a little boom now. Please comment on it."}, {"path": "tedlium_17514.wav", "duration": 9.3, "text": "drop-downs. Can you talk about the parameters you have to potentially accelerate what you do in terms of drop-downs and remind us what your long-term"}, {"path": "tedlium_17515.wav", "duration": 9.3, "text": "compared to 56% a year ago and continues to be the primary driver behind our top line growth, shift in revenue mix and margin improvement."}, {"path": "tedlium_17516.wav", "duration": 9.3, "text": "And 2 findings that we have now found and some of which we've already published, is if we vaccinate or inject the vaccine directly into the tumor"}, {"path": "tedlium_17517.wav", "duration": 9.3, "text": "while attracting incremental investors in this challenging marketplace, where conservatively valued yield options are increasingly difficult to find."}, {"path": "tedlium_17518.wav", "duration": 9.3, "text": "So far, the highlights of the reporting period. Let us now go into the details. Revenue."}, {"path": "tedlium_17519.wav", "duration": 9.3, "text": "But importantly, the underlying growth is there and is coming from momentum we're continuing to build in our marketing and lead generation programs."}, {"path": "tedlium_17520.wav", "duration": 9.3, "text": "I expect that the aggregate expenses that we are reporting in the first quarter of 2017 will generally stay at this level for the remainder of the year."}, {"path": "tedlium_17521.wav", "duration": 9.3, "text": "So we're not particularly necessarily looking at any industry. It just happens to be that the opportunities right now are really in the real estate side."}, {"path": "tedlium_17522.wav", "duration": 9.3, "text": "While overall demand for metal products was not as strong as we expected when we entered 2016, customer sentiment has improved"}, {"path": "tedlium_17523.wav", "duration": 9.3, "text": "We are shifting the use of our customer database to a point that allows us to do"}, {"path": "tedlium_17524.wav", "duration": 9.3, "text": "Ladies and gentlemen, thank you for standing by."}, {"path": "tedlium_17525.wav", "duration": 9.3, "text": "that -- I was just emphasizing, they have to enjoy this moment in history, working at the thrilling sharp edge of the media market. It's just"}, {"path": "tedlium_17526.wav", "duration": 9.3, "text": "and we think now that this will unlock growth for the entire market. So all competitors will be able to increase growth. I think revision is something that we've, obviously, been looking at"}, {"path": "tedlium_17527.wav", "duration": 9.3, "text": "The combination creates a more comprehensive cloud-based construction platform for general contractors and will expand our relationships with subcontractors and building owners."}, {"path": "tedlium_17528.wav", "duration": 9.3, "text": "The downturn of this consolidated wafer fab industry is much shorter and much less painful. Therefore,"}, {"path": "tedlium_17529.wav", "duration": 9.3, "text": "We believe those more specific messages tend to fall more into traffic driving and promotional activity"}, {"path": "tedlium_17530.wav", "duration": 9.3, "text": "And I think as we disclosed, a lot of companies have added capacity or are in the process of adding capacity. And that gradually comes up steam,"}, {"path": "tedlium_17531.wav", "duration": 9.3, "text": "but it seems that there's a level of unpredictability from some of these markets. I know being -- addressing a broad number of markets"}, {"path": "tedlium_17532.wav", "duration": 9.3, "text": "But we will continue to open stores. We will continue opening stores. We still have that discipline of opening stores with a very low"}, {"path": "tedlium_17533.wav", "duration": 9.3, "text": "I think it'll begin to level out over time. I think there's going to be a big push on how you do that. The corrugated is still there. You just have to go get it differently."}, {"path": "tedlium_17534.wav", "duration": 9.3, "text": "Our application development teams continue to grow, and our core learning technology teams are the largest they have been in history."}, {"path": "tedlium_17535.wav", "duration": 9.3, "text": "I guess, putting sort of back office items that were done at the independent businesses back into corporate. Is that sort of how to think about it? And then could you just quantify the benefits there?"}, {"path": "tedlium_17536.wav", "duration": 9.3, "text": "They involve known and unknown risks, uncertainties and assumptions that may cause actual results, performance and achievements to differ materially from those expressed or implied by this statement."}, {"path": "tedlium_17537.wav", "duration": 9.3, "text": "It's a report that will be published on the Internet on our webpage, and there you will see more details"}, {"path": "tedlium_17538.wav", "duration": 9.3, "text": "The only headwind that we face is the prevailing extremely negative investor sentiment towards the oil industry, in general, and the oil sands in particular."}, {"path": "tedlium_17539.wav", "duration": 9.3, "text": "it's also a basket, I guess, a different basket question, additional first lien, I guess, you're not providing any guidance as to how much more first lien you could issue as of today or"}, {"path": "tedlium_17540.wav", "duration": 9.3, "text": "To put this in perspective from an employee headcount standpoint, we will have increased the size of the company by 50% as we exit the year."}, {"path": "tedlium_17541.wav", "duration": 9.3, "text": "In all, the relaunch effort is a comprehensive plan focused on reestablishing our identity and core value proposition,"}, {"path": "tedlium_17542.wav", "duration": 9.3, "text": "And High-Speed Rail, with all its problems and delays, continues to promise to be a very successful project."}, {"path": "tedlium_17543.wav", "duration": 9.3, "text": "We expect overall research and development expenses to continue to increase during the fourth quarter of 2018 and for the foreseeable future"}, {"path": "tedlium_17544.wav", "duration": 9.3, "text": "we're trying to send a message to the markets that our business is maturing and about to turn net income positive, which we still believe it is"}, {"path": "tedlium_17545.wav", "duration": 9.3, "text": "Given these strong dynamics and general health of the commercial real estate markets, we're seeing a significant amount of capital enter the debt financing space,"}, {"path": "tedlium_17546.wav", "duration": 9.3, "text": "Our cloud platform pipeline indicates that the rollout will continue in the coming quarters with more countries coming into the mix."}, {"path": "tedlium_17547.wav", "duration": 9.3, "text": "And that's the part that we would expect to trail down throughout the back half of the year. We'll have some in the third quarter because that"}, {"path": "tedlium_17548.wav", "duration": 9.3, "text": "Our new Franchise platform also has the potential to become an independent business within 2.0, as we work to expand its products beyond just Equipment Finance."}, {"path": "tedlium_17549.wav", "duration": 9.3, "text": "you mentioned not doing something on spec, and if my memory serves, I believe one of your carriers was on spec from several years ago. It"}, {"path": "tedlium_17550.wav", "duration": 9.3, "text": "but we've thought how best to use this additional ongoing benefit from the change in tax law. We believe that we've got a responsibility to our employees to share the benefit"}, {"path": "tedlium_17551.wav", "duration": 9.3, "text": "Given our solid sales results across all of our product lines, I'm confident we're on the right path. Thanks. And now I'll turn the call over to Dwayne."}, {"path": "tedlium_17552.wav", "duration": 9.3, "text": "It also supports our growth expectations for 2017. In addition to the pace of bookings, we measure field of service requests,"}, {"path": "tedlium_17553.wav", "duration": 9.3, "text": "We are accelerating our active portfolio management by increasing the number of asset to be sold in order to maximize our flexibility in the future."}, {"path": "tedlium_17554.wav", "duration": 9.3, "text": "to generate improved investment outcomes. And we have put in place a number of important management actions, outlined on the slide,"}, {"path": "tedlium_17555.wav", "duration": 9.3, "text": "were offset by the lingering impact of the supply disruption on garlic toast and lower sales for branded croutons and refrigerated dips."}, {"path": "tedlium_17556.wav", "duration": 9.3, "text": "Its focus on reducing water and energy use and eliminating waste has both reduced cost and vastly reduced our environmental impact."}, {"path": "tedlium_17557.wav", "duration": 9.3, "text": "So we feel very good about the plans we have for ready-to-drink tea, which also includes the premium Tea House Collection. So all the new flavors we're launching,"}, {"path": "tedlium_17558.wav", "duration": 9.3, "text": "since the first quarter of 2017, we provide you with the figures in terms of watching how convergence is delivering"}, {"path": "tedlium_17559.wav", "duration": 9.3, "text": "an increasingly optimized supply chain and enhanced sales and marketing platform and a focus on developing the talented team we need to win in our markets."}, {"path": "tedlium_17560.wav", "duration": 9.3, "text": "which contains new opportunities across the segments and in all of our existing geographies. We will continue to deploy capital in a prudent fashion"}, {"path": "tedlium_17561.wav", "duration": 9.3, "text": "Before turning the call over to Andrea, I'd like to reiterate the management team is committed to the success of the company,"}, {"path": "tedlium_17562.wav", "duration": 9.3, "text": "which is very manageable, particularly given the favorable market dynamics laying the foundation for a positive occupancy outlook."}, {"path": "tedlium_17563.wav", "duration": 9.3, "text": "We are very pleased with this deal and we strongly believe it is the right decision for the future success of Vitamin World as a standalone retail operation."}, {"path": "tedlium_17564.wav", "duration": 9.3, "text": "puts a little bit more of pricing into that domestic marketplace. But it will be very reflective of, I would call, international pricing at this point in time."}, {"path": "tedlium_17565.wav", "duration": 9.3, "text": "I think that relationship maybe extended a bit in the second half of last year. We've heard that from other sectors of the building materials industry. We track"}, {"path": "tedlium_17566.wav", "duration": 9.3, "text": "timing? Just so that we can go back and get a little historical perspective on how that's rolled in the past?"}, {"path": "tedlium_17567.wav", "duration": 9.3, "text": "Yet insiders are putting in transaction -- putting in money, so you don't know what's going on. You have no idea. And so some sort of clarity to bridge that gap"}, {"path": "tedlium_17568.wav", "duration": 9.3, "text": "So where it comes from is that we're in the process of working with these large customers for their next"}, {"path": "tedlium_17569.wav", "duration": 9.3, "text": "substantially increase their capital expenditures this year, do you think that Cognex will participate in that spending?"}, {"path": "tedlium_17570.wav", "duration": 9.3, "text": "And certainly, we've gone on investing in those areas, and that's driving up some of our engineering expense in the near term because we do expect to see"}, {"path": "tedlium_17571.wav", "duration": 9.3, "text": "This was evidenced by our latest announcement, which came out yesterday. And we continue to broaden our reach into the women's health market."}, {"path": "tedlium_17572.wav", "duration": 9.3, "text": "Once conversion is largely complete, we will begin key marketing initiatives designed to enhance brand equity and awareness around the new packaging."}, {"path": "tedlium_17573.wav", "duration": 9.3, "text": "Can you talk a little bit about the kind of support that you are looking from the banks to complete the acquisition of Astaldi? When will"}, {"path": "tedlium_17574.wav", "duration": 9.3, "text": "in the slide. We will continue with a strong focus on this plan with further measures to be implemented in the coming months and further savings to be achieved throughout the year."}, {"path": "tedlium_17575.wav", "duration": 9.3, "text": "which was primarily associated with foreign currency charges, the majority of which was associated with the devaluation of"}, {"path": "tedlium_17576.wav", "duration": 9.3, "text": "with the community the results of the retrospective analysis that we conducted from the previous Janssen clinical trials, and"}, {"path": "tedlium_17577.wav", "duration": 9.3, "text": "Clearly the work to reposition Mark's brand with Well Worn along with the work PJ has done on assortment and merchandising has made a significant impact."}, {"path": "tedlium_17578.wav", "duration": 9.3, "text": "The share count assumes a share repurchase plan for the year that will approximately offset the impact to our tax rate from tax reform."}, {"path": "tedlium_17579.wav", "duration": 9.3, "text": "by any means but when I see sales representatives as well as a number of the key managers here"}, {"path": "tedlium_17580.wav", "duration": 9.3, "text": "as our Chief Claims Officer, we're going to be able to put the appropriate level of focus on these issues so that we can look to minimize these types of issues going forward."}, {"path": "tedlium_17581.wav", "duration": 9.3, "text": "revenues over time, they have been slipping for a few years. But do you think we're reaching a bottom there or is there a structural reason why that may continue to slip? And"}, {"path": "tedlium_17582.wav", "duration": 9.3, "text": "Through PayPal for Partners and Marketplaces and One Touch seller sign-up, we are connecting small businesses and merchants of all sizes"}, {"path": "tedlium_17583.wav", "duration": 9.3, "text": "You may recall that New Zealand is around 10% of segment EBIT. We were pleased that this impact was absorbed within the overall segment result."}, {"path": "tedlium_17584.wav", "duration": 9.3, "text": "you'd see some improvements with the new planes coming in. Are there other things you can do in the shorter-term? Do you reconfigure the planes that are on the other routes or"}, {"path": "tedlium_17585.wav", "duration": 9.3, "text": "The real effectiveness of the -- of a company like this is in the install base. And this is a plan to push it as quickly as we can early in the year"}, {"path": "tedlium_17586.wav", "duration": 9.3, "text": "We're being careful about how we're doing that as we flex the manufacturing capacity that we have to make the shift over. And so"}, {"path": "tedlium_17587.wav", "duration": 9.3, "text": "We're on it. We've got people focused on filling in the volumes. I'd rather not talk a lot about particular progress or margins just because I think that"}, {"path": "tedlium_17588.wav", "duration": 9.3, "text": "I don't know the specific numbers, Terri, I don't know if we. Feb. But February was very strong, and which again is not necessarily historically"}, {"path": "tedlium_17589.wav", "duration": 9.3, "text": "that we have several ongoing direct engineering contracts as well as a larger contract called a drawdown contract."}, {"path": "tedlium_17590.wav", "duration": 9.3, "text": "However, even in light of the weak commodity price environment, transportation volumes have remained relatively consistent compared with last year's second quarter."}, {"path": "tedlium_17591.wav", "duration": 9.3, "text": "particularly for those shareholders who utilize discounted cash flow models to assess valuations. I will now turn it over to Gwen for an update on our guidance and outlook."}, {"path": "tedlium_17592.wav", "duration": 9.3, "text": "The decrease was largely due to lower restructuring related expenses and the impact of cost-reduction initiatives around payroll and discretionary spend."}, {"path": "tedlium_17593.wav", "duration": 9.3, "text": "Those are the kind of conversations we want to have with prospects, and so we start with their data, and we find ways to create value based on their unique strategies and circumstances,"}, {"path": "tedlium_17594.wav", "duration": 9.3, "text": "I'll now turn it over to George for his comments. Thank you, Tim. This is my last earnings call as Chairman and CEO, and"}, {"path": "tedlium_17595.wav", "duration": 9.3, "text": "and the positive trend we observed in new patient enrollments during 2017 give us confidence that we will continue to generate positive volume growth."}, {"path": "tedlium_17596.wav", "duration": 9.3, "text": "So I can't stand here and promise this very high growth rate over every year. There will be years where it will slow down,"}, {"path": "tedlium_17597.wav", "duration": 9.3, "text": "Because the payment was to satisfy their full original obligation under the lease, it was appropriate to include their accelerated payment"}, {"path": "tedlium_17598.wav", "duration": 9.3, "text": "so we can create an export market for our potential new customers that would be bringing imports into Vancouver."}, {"path": "tedlium_17599.wav", "duration": 9.3, "text": "and the expenses related to the integration of CareSouth. As may be seen on Slide 17 and as Jay discussed,"}, {"path": "tedlium_17600.wav", "duration": 9.3, "text": "As a reminder, this call is being recorded and broadcast live on our website. A replay of the webcast will be available through the same link for 90 days."}, {"path": "tedlium_17601.wav", "duration": 9.3, "text": "increase our share of the spend for tools on a per-dose basis. It's out there. The supplier side is very fragmented. So there's an opportunity right now for us to get engaged"}, {"path": "tedlium_17602.wav", "duration": 9.3, "text": "These improved results were impulsed through improved operational results of the malls in Ripley in Chile and Peru as well as the improved results of the associated"}, {"path": "tedlium_17603.wav", "duration": 9.3, "text": "Simultaneously, we are exploring partnerships with existing front-end semi equipment providers to commercialize the technology."}, {"path": "tedlium_17604.wav", "duration": 9.3, "text": "and Latin America is recovering. Can you give us a feel of how that is developing? Methionine market price"}, {"path": "tedlium_17605.wav", "duration": 9.3, "text": "We successfully launched a full suite of Aero products in our Wabash Composites business that now creates the broadest OEM product offering available"}, {"path": "tedlium_17606.wav", "duration": 9.3, "text": "continue to pay down debt, execute a return of capital strategy to shareholders and selectively pursue strategic acquisitions."}, {"path": "tedlium_17607.wav", "duration": 9.3, "text": "In Residential and Retirement Living, what you've seen is a significant increase in the last 5 years towards the strong Sydney and Melbourne markets."}, {"path": "tedlium_17608.wav", "duration": 9.3, "text": "that can have quite a meaningful impact on many banks as they are required to look forward over a 12-month period or even as far as the remaining life of their exposures in"}, {"path": "tedlium_17609.wav", "duration": 9.3, "text": "We are able to make commitments like this purchase and the Omni acquisition because we have maintained a strong balance sheet and waited patiently for the right opportunity."}, {"path": "tedlium_17610.wav", "duration": 9.3, "text": "This growth has been the result of our rigorous approach to modernizing and premiumizing our brands through renovation and innovation. And the benefits are clear,"}, {"path": "tedlium_17611.wav", "duration": 9.3, "text": "But I just think it's too early for us to sort of comment on exactly how well or how -- what the issues we will face."}, {"path": "tedlium_17612.wav", "duration": 9.3, "text": "But we do read this to be more of stabilization of growth at current levels versus a deceleration or a further acceleration of growth."}, {"path": "tedlium_17613.wav", "duration": 9.3, "text": "Can you talk to your hiring plans for the second half of the year? And how we should think about those relative to the cost structure?"}, {"path": "tedlium_17614.wav", "duration": 9.3, "text": "We feel we can meet these targets by continuing to build our customer base, engineering the network and streamlining operational processes."}, {"path": "tedlium_17615.wav", "duration": 9.3, "text": "more traditional channels, it's not going to be 100% incremental. But there's no question that we have the opportunity as we look at the kinds of items we're offering"}, {"path": "tedlium_17616.wav", "duration": 9.3, "text": "are a portion of what we've done. And in some of these cases, we're a much larger participant in these deals. And so, although they may be"}, {"path": "tedlium_17617.wav", "duration": 9.3, "text": "Now you could really start leveraging the power of the different integration capabilities you have and the different endpoints you have in the business"}, {"path": "tedlium_17618.wav", "duration": 9.3, "text": "your core systems, should we expect a one-off charge to write off the old systems at some point in the future? And how much might that be coming through"}, {"path": "tedlium_17619.wav", "duration": 9.3, "text": "Margins in this segment jumped, as we continue to benefit from larger volumes of water coming into our facilities via pipeline versus trucked water."}, {"path": "tedlium_17620.wav", "duration": 9.3, "text": "forecasting there in the third quarter compared to the second quarter. So 2 of the big things. One is we're forecasting lower"}, {"path": "tedlium_17621.wav", "duration": 9.3, "text": "The majority of our annual and seasonal business is repeat and referral customers. The transient business is less predictable and requires more marketing efforts."}, {"path": "tedlium_17622.wav", "duration": 9.3, "text": "However, we are focused on achieving our synergy targets for this business while bringing technical and manufacturing resources to grow both revenues and, of course, profitability."}, {"path": "tedlium_17623.wav", "duration": 9.3, "text": "The Cosmetics and Food Color businesses continued their strong performances in the quarter and the Inks business improved solidly over last year's result."}, {"path": "tedlium_17624.wav", "duration": 9.3, "text": "The movement, depending on the segment and the market, may not be driven by a large multinational. It may be driven by a local or regional account"}, {"path": "tedlium_17625.wav", "duration": 9.3, "text": "As an example, TESSCO has been selected by Verizon as a supplier to provide distribution of a broad array of wireless network"}, {"path": "tedlium_17626.wav", "duration": 9.3, "text": "and because of high usage of QC labor as we were struggling to deal with challenging environmental conditions and to correct problems in our paint line."}, {"path": "tedlium_17627.wav", "duration": 9.3, "text": "During the quarter, we continued to focus on improving working capital metrics, which resulted in improved cash generation from operations."}, {"path": "tedlium_17628.wav", "duration": 9.3, "text": "Sure. We've given this level of guidance, intentionally the first time. This is the first time we've given guidance in a bit"}, {"path": "tedlium_17629.wav", "duration": 9.3, "text": "So I just want to assure you that in all the markets that Cummins India plays in, in the domestic market of India, they will continue to be"}, {"path": "tedlium_17630.wav", "duration": 9.3, "text": "a handful or half a dozen or so that have rather large geographies. And what we found through these successive expansions"}, {"path": "tedlium_17631.wav", "duration": 9.3, "text": "Richard has extensive commercial and operations experience and previously led our international Fabrication Services and Engineered Products businesses."}, {"path": "tedlium_17632.wav", "duration": 9.3, "text": "and we'll see that effect immediately. Also, contrary, when you start listening to other earnings calls versus ours,"}, {"path": "tedlium_17633.wav", "duration": 9.3, "text": "how I would go at this, and this has always worked for me in the past. And I believe that market exists,"}, {"path": "tedlium_17634.wav", "duration": 9.3, "text": "We hope to close these additional stores by the end of third quarter, however these opportunities remain subject to further due diligence and closing conditions,"}, {"path": "tedlium_17635.wav", "duration": 9.3, "text": "I think as we are understanding our data we're doing the work in the background in terms of the sales force sizing and the overlap with high prescribers in the oral side"}, {"path": "tedlium_17636.wav", "duration": 9.3, "text": "I'm just trying to get a sense of, I guess, it's really your order file plus timing of the completion of project before you can really ramp it up."}, {"path": "tedlium_17637.wav", "duration": 9.3, "text": "And this commitment includes investing for the future. And a great example is our recent investment and launch in PolyOne Advanced Composites."}, {"path": "tedlium_17638.wav", "duration": 9.3, "text": "Though we will continue to shorten the time from contract signing to revenue production and work through the backlog we had as the year began,"}, {"path": "tedlium_17639.wav", "duration": 9.3, "text": "Wireless construction activity in support of expanded coverage and capacity has begun to accelerate due to deployment of enhanced macro cells and new small cells."}, {"path": "tedlium_17640.wav", "duration": 9.3, "text": "Turning to the international markets. Let me first make a couple of comments on China. Yesterday, we filed an application with The People's Bank of China"}, {"path": "tedlium_17641.wav", "duration": 9.3, "text": "that we've experienced here in the first quarter, a little bit more in the second quarter -- a little bit less in the second quarter, and then we start to see it turn positive in the second half."}, {"path": "tedlium_17642.wav", "duration": 9.3, "text": "This ensures that coal-fired generation remained more competitive than it was in the first half of '16, and power plants were able to burn more coal."}, {"path": "tedlium_17643.wav", "duration": 9.3, "text": "That program was reinstated in October last year, and continues today. So that's one of the primary drivers in that."}, {"path": "tedlium_17644.wav", "duration": 9.3, "text": "and then also the new product production, the first run production of new products in our plants, both for the State Department orders and the new Passport collection."}, {"path": "tedlium_17645.wav", "duration": 9.2700625, "text": "We have been able to proactively stay ahead in the midst of an inflationary environment in which we've seen many of our input costs rise."}, {"path": "tedlium_17646.wav", "duration": 9.2700625, "text": "strong cash flow, we've been able to significantly reduce the acquisition financing that we took on back on the 5th of January to conclude"}, {"path": "tedlium_17647.wav", "duration": 9.27, "text": "And so we've seen a predominance of that type of project coming into the backlog right up until this most recent quarter."}, {"path": "tedlium_17648.wav", "duration": 9.27, "text": "really getting into customer requirements -- market requirements and customer requirements and making sure that we've got the right product for the long term in that marketplace."}, {"path": "tedlium_17649.wav", "duration": 9.27, "text": "focus the business on a monthly basis. So that's why we're getting the averages down. So historically -- and you'll see in a lot of companies"}, {"path": "tedlium_17650.wav", "duration": 9.27, "text": "We also believe that we are the leading online lender in Canada, with the most experience and scale in terms of originating and servicing loans online, having done over a million loans already."}, {"path": "tedlium_17651.wav", "duration": 9.27, "text": "but I think that's roughly what you're going to see. So that's the first piece. The second piece is -- to be blunt, we're doing better business in international."}, {"path": "tedlium_17652.wav", "duration": 9.27, "text": "so while it is difficult to develop forecast that include the whales or accurately project the timing and magnitude of big partner growth,"}, {"path": "tedlium_17653.wav", "duration": 9.27, "text": "number of the operating income and after that we want to increase our services and businesses several fold"}, {"path": "tedlium_17654.wav", "duration": 9.27, "text": "We are making good progress with the ZEPATIER launch. We're having favorable conversations with payers, and we've garnered some early wins in both the public"}, {"path": "tedlium_17655.wav", "duration": 9.27, "text": "Since I came to Hamburg now 6 months ago, I visited all regions and major markets that I was not directly responsible for in the past,"}, {"path": "tedlium_17656.wav", "duration": 9.27, "text": "continuing the top line growth for 8 consecutive quarters since the second quarter of 2015, when GiGA Internet subscriber acquisition actually took off,"}, {"path": "tedlium_17657.wav", "duration": 9.27, "text": "the deal should be structured in a way that drives ticket. And I'm just curious as you think about your promotions over the next few weeks,"}, {"path": "tedlium_17658.wav", "duration": 9.27, "text": "I believe that the industry is likely to grow and likely to capture a lot of business because the"}, {"path": "tedlium_17659.wav", "duration": 9.27, "text": "A number of our other strategies also offer competitive track records across various time periods and in our view, have the potential for broader appeal."}, {"path": "tedlium_17660.wav", "duration": 9.27, "text": "launched the first and only coverage of new construction activity in the self-storage sector and created the nation's first and only affordable housing product."}, {"path": "tedlium_17661.wav", "duration": 9.27, "text": "Our business development offices have been more focused on developing commercial lending relationships, and we're pleased with the growth we're seeing in that area in particular."}, {"path": "tedlium_17662.wav", "duration": 9.27, "text": "reconciliation of these non-GAAP measures to the most directly comparable GAAP measures can be found in the company's third quarter earnings release, which is posted on the company's website."}, {"path": "tedlium_17663.wav", "duration": 9.27, "text": "author and user communities is what allows you to drive usage. And ultimately, in this market, pricing is increasingly predicated upon usage."}, {"path": "tedlium_17664.wav", "duration": 9.27, "text": "reviewed a study in conjunction with one of our key suppliers about the demographics related to trips into our industry, not just Circle K, but our industry, and"}, {"path": "tedlium_17665.wav", "duration": 9.27, "text": "But is there anything you can call out in terms of why clients might be delaying? Or any sort of change in client demand there?"}, {"path": "tedlium_17666.wav", "duration": 9.27, "text": "Well, I must say that we have -- we're lucky that we haven't really experienced any surprises so far."}, {"path": "tedlium_17667.wav", "duration": 9.27, "text": "experience as they start to adopt the Mako robot. So that's really one of the key factors. So we're continuing to hire those folks. We're probably looking right now"}, {"path": "tedlium_17668.wav", "duration": 9.27, "text": "we've been able to then go to these other customers. And they have chosen to start to put some business into our sites."}, {"path": "tedlium_17669.wav", "duration": 9.27, "text": "and go to the Investor section. And from there, go to the Presentations section."}, {"path": "tedlium_17670.wav", "duration": 9.27, "text": "based on what we see and the forecasting of earnings, we think it gives us some run rate for a while. But with the"}, {"path": "tedlium_17671.wav", "duration": 9.27, "text": "Actual results could differ materially from those stated or implied by our forward-looking statements due to risks and uncertainties associated with the company's business."}, {"path": "tedlium_17672.wav", "duration": 9.27, "text": "We expect the majority of refinery transitions to be completed by the end of this year, and then should be able to realize additional efficiencies in spending."}, {"path": "tedlium_17673.wav", "duration": 9.27, "text": "with that high level and distribution of business during the year, receivables are substantially higher in absolute amounts than what we can see at the end of the year."}, {"path": "tedlium_17674.wav", "duration": 9.27, "text": "we would still expect our turnarounds before the AOSP acquisition to continue generating free cash flow and debt repayments, exiting the year in that"}, {"path": "tedlium_17675.wav", "duration": 9.27, "text": "As always, we will be mindful of ensuring that our financing plans afford the flexibility to repay debt or refinancing as each maturity comes due."}, {"path": "tedlium_17676.wav", "duration": 9.27, "text": "just sort of the unprecedented demand coming from that. Are they taking -- are they doing deals where they're taking more space than they need in anticipation of future growth?"}, {"path": "tedlium_17677.wav", "duration": 9.27, "text": "And while it will require some investment in the near term, there's great potential for us to continue growing well into the long term."}, {"path": "tedlium_17678.wav", "duration": 9.27, "text": "As we said in October, we believe this new compelling offer will be of interest to other landlords as they reconfigure their space."}, {"path": "tedlium_17679.wav", "duration": 9.27, "text": "Looking into adjusted costs in more detail on Page 7, you'll see 4 main categories with the following movements at constant FX rates."}, {"path": "tedlium_17680.wav", "duration": 9.27, "text": "Importantly, only former will be relevant for the maximum distributable amount, which functions as a restriction trigger point."}, {"path": "tedlium_17681.wav", "duration": 9.27, "text": "Previously, our partners had little motivation to refer business to us due to the relatively unfavorable economics"}, {"path": "tedlium_17682.wav", "duration": 9.27, "text": "We have identified and continue to identify opportunities to leverage resources within TriMas and this is a perfect example."}, {"path": "tedlium_17683.wav", "duration": 9.27, "text": "IT, occupancy and general and administrative expenses all experienced a seasonal increase as typical of the fourth quarter."}, {"path": "tedlium_17684.wav", "duration": 9.27, "text": "We continue to improve our quality of earnings by growing the fee business thanks to the strong contribution of our own and third party products,"}, {"path": "tedlium_17685.wav", "duration": 9.27, "text": "Secure switches are sold together with FortiGates and related services, and represented 2% of total fourth quarter billings."}, {"path": "tedlium_17686.wav", "duration": 9.27, "text": "And in Brazil, we introduced a red fruits flavor of our collagen beauty booster, and it was met with a lot of excitement when we announced it at our sales event in September."}, {"path": "tedlium_17687.wav", "duration": 9.27, "text": "I do allow them to bill their legal and support costs for ongoing unbilleds against it. But"}, {"path": "tedlium_17688.wav", "duration": 9.27, "text": "as well as favorable adjustments associated with the closeout of a courthouse project in California and progress towards completion on a health care project also in California."}, {"path": "tedlium_17689.wav", "duration": 9.27, "text": "owing to increased strategic spending on advertising and the failure of some products to achieve sales growth."}, {"path": "tedlium_17690.wav", "duration": 9.27, "text": "and benefits, even though the portfolio has grown, this has to be emphasized, we can see that our claims are lower. They are lower because"}, {"path": "tedlium_17691.wav", "duration": 9.27, "text": "the companies that have kind of nibbled around LNG have had a hard time really making money in that business. The spot returns have actually been pretty horrible"}, {"path": "tedlium_17692.wav", "duration": 9.27, "text": "Consistent with previous quarters, the impact from foreign currency translation had an essentially neutral impact on net income on a total company basis."}, {"path": "tedlium_17693.wav", "duration": 9.27, "text": "continue to believe is important. It's important for you all, but it's important for us to be able to remain relevant in terms of how we price and how we deliver our products and services. So"}, {"path": "tedlium_17694.wav", "duration": 9.27, "text": "In addition to ensuring we have the right solutions to address the unique needs of educators, we continue to build and improve distribution options"}, {"path": "tedlium_17695.wav", "duration": 9.27, "text": "Please note that there are -- is no certainty that these transactions will close. I will now turn the call back over to Kipp for some closing remarks."}, {"path": "tedlium_17696.wav", "duration": 9.27, "text": "but of course in a relatively small part of the overall store, then began to roll out into other parts of our business."}, {"path": "tedlium_17697.wav", "duration": 9.27, "text": "Higher spare engine volumes. We have a much better mix of spare engine volumes, first half, second half compared to last year, which was very much second half weighted."}, {"path": "tedlium_17698.wav", "duration": 9.27, "text": "So there is a growth, therefore, in the first half this year compared to what was a relatively low number in the first half of last year, as the spare engine volumes were very much second half weighted."}, {"path": "tedlium_17699.wav", "duration": 9.27, "text": "of fiscal year 2016. These modifications are expected to lower our future revenue run rates"}, {"path": "tedlium_17700.wav", "duration": 9.27, "text": "recently that would lead us to believe that anything is imminent. We look for opportunities in other businesses"}, {"path": "tedlium_17701.wav", "duration": 9.27, "text": "In the First Quarter we continued to see the benefits of that transformation programs that we have started already several"}, {"path": "tedlium_17702.wav", "duration": 9.27, "text": "The ability to leverage that local market expertise as well as management capability is absolutely phenomenal. We're beginning to see some improvement"}, {"path": "tedlium_17703.wav", "duration": 9.27, "text": "Whilst we expect the competitive environment to remain, the additional KZN baking capacity that was successfully commissioned in December"}, {"path": "tedlium_17704.wav", "duration": 9.27, "text": "For the first half, the increase in international sales occurred primarily in Canada, in Russia, in Australia and in Mexico."}, {"path": "tedlium_17705.wav", "duration": 9.27, "text": "due to efficient labor management, continued shift of more services delivered offshore and modest tailwinds from exchange rate fluctuations. The"}, {"path": "tedlium_17706.wav", "duration": 9.27, "text": "and the elimination of some positions in our field offices and back office to better match the revenue levels of certain practices in our core business."}, {"path": "tedlium_17707.wav", "duration": 9.27, "text": "Our third priority initiative is dedicated to building our integrated solutions capabilities with a central team and a standard deployment model."}, {"path": "tedlium_17708.wav", "duration": 9.27, "text": "We will also continue to follow the clinical outcomes of patients in the trial. As I mentioned, we anticipate an IND early next year"}, {"path": "tedlium_17709.wav", "duration": 9.27, "text": "we are very excited about this opportunity and are working through all open issues as swiftly as possible with all stakeholders in the process"}, {"path": "tedlium_17710.wav", "duration": 9.27, "text": "as we continued to price to recover currency devaluations and rapid increases in Brazilian corn cost that occurred over the past two quarters."}, {"path": "tedlium_17711.wav", "duration": 9.27, "text": "I think Michael used the phrase that our product is useful and undeniably valuable. I think that that's a simple description of how we think about the Insulation business."}, {"path": "tedlium_17712.wav", "duration": 9.27, "text": "We don't think we can cut ourself out of this situation. We have to increase sales to get ourselves out of this situation primarily."}, {"path": "tedlium_17713.wav", "duration": 9.27, "text": "But we have no hurry -- there's no timeline. There's no commitment to anybody in terms of doing anything under any type of timeline, to OFAC or to anybody else."}, {"path": "tedlium_17714.wav", "duration": 9.27, "text": "that we should recover once we give you guys confidence that all of this is behind us, which I hope to be able to do on this call fully today."}, {"path": "tedlium_17715.wav", "duration": 9.27, "text": "and especially the increasing benefits realized from our ongoing strategic program integrating Life Sciences and Clinical Laboratories."}, {"path": "tedlium_17716.wav", "duration": 9.27, "text": "In Q2, additional shipments will occur including to multiple top retail partners, and the product will also begin to arrive on shelves."}, {"path": "tedlium_17717.wav", "duration": 9.27, "text": "This was -- there was strong expansion in Foundry, which was supported by new product launches. And the edible oil purification business also continued"}, {"path": "tedlium_17718.wav", "duration": 9.27, "text": "projects there is out there. The second thing, most of our competitors are basically construction companies that are also doing"}, {"path": "tedlium_17719.wav", "duration": 9.27, "text": "We continue to work on securing new orders for this business and have taken some steps to further improve operational performance."}, {"path": "tedlium_17720.wav", "duration": 9.27, "text": "simplicity, reduce complexity, drive efficiency and also act as a platform for our strategy execution also going well."}, {"path": "tedlium_17721.wav", "duration": 9.27, "text": "through strategic investments in our cinemas and real estate development project and returning capital directly to stockholders."}, {"path": "tedlium_17722.wav", "duration": 9.27, "text": "We understand this and continue to focus on the need for market-specific and curated marketing across our international operations."}, {"path": "tedlium_17723.wav", "duration": 9.27, "text": "Various remarks that we make during this call about the company's future expectations, plans and prospects constitute forward-looking statements for purposes"}, {"path": "tedlium_17724.wav", "duration": 9.27, "text": "In thinking about our earnings pattern, I would note that in recent years, many of our businesses have had higher-than-average expenses in the fourth quarter,"}, {"path": "tedlium_17725.wav", "duration": 9.27, "text": "We were able to update the way we account for recoveries on accounts previously written off moving to an accrual versus cash basis model"}, {"path": "tedlium_17726.wav", "duration": 9.27, "text": "in Bermuda, and if I could possibly find out what the dates are. I'd certainly like to attend with my wife"}, {"path": "tedlium_17727.wav", "duration": 9.27, "text": "confirmed order from a customer. We also build in those costs into our costing model when we're pricing products. So"}, {"path": "tedlium_17728.wav", "duration": 9.27, "text": "which took effect on October 1. With this appointment, we've established an enhanced leadership structure to provide more effective and coordinated oversight"}, {"path": "tedlium_17729.wav", "duration": 9.27, "text": "there's some flexibility around that. There's still some things we can do around cost. As you know, we're very focused on OpEx and continuing to take costs out of the"}, {"path": "tedlium_17730.wav", "duration": 9.27, "text": "coupled with continued robust growth in our Safety Assessment and Microbial Solutions businesses. On a segment basis,"}, {"path": "tedlium_17731.wav", "duration": 9.27, "text": "but our volume simply isn't high enough to substantiate us spending billions of dollars to build our own lithium iON factory right now."}, {"path": "tedlium_17732.wav", "duration": 9.27, "text": "We issued an 8-K and press release and held a call similar to this last Tuesday, announcing our acquisition of Alpha Technologies."}, {"path": "tedlium_17733.wav", "duration": 9.27, "text": "the ability to participate on referral networks, right, and actually help us work with our clients better and maintain those relationships and bringing custody of"}, {"path": "tedlium_17734.wav", "duration": 9.27, "text": "What we have approved for the first time is a program of refracs and recompletions over a large number"}, {"path": "tedlium_17735.wav", "duration": 9.27, "text": "As I said, Qantas Loyalty achieved yet another record performance as both the Coalition and the new businesses continue to expand."}, {"path": "tedlium_17736.wav", "duration": 9.27, "text": "Now when you stare into that, it's also very clear to us the majority of that shaping is happening on key competitive markets for us right now."}, {"path": "tedlium_17737.wav", "duration": 9.27, "text": "However, to the extent inflation continues to come down more quickly than expected, it's possible that the Central Bank would adjust rates downward once again."}, {"path": "tedlium_17738.wav", "duration": 9.27, "text": "While in the past, we've been successful in growing our business and expanding our footprint within asset management through acquisitions. We're also mindful that"}, {"path": "tedlium_17739.wav", "duration": 9.27, "text": "in this particular quarter. We were in a period where large clients on balance were in a position of reducing their exposures."}, {"path": "tedlium_17740.wav", "duration": 9.27, "text": "And we are working with a variety of fleets and shippers, like Kroger and Unilever as well as trucking companies, waste companies and municipalities."}, {"path": "tedlium_17741.wav", "duration": 9.27, "text": "Non-GAAP financial measures should be considered in addition to results prepared in accordance with GAAP and should not be considered as a substitute for or superior to GAAP results."}, {"path": "tedlium_17742.wav", "duration": 9.27, "text": "that's going to depend on the availability of the fuel and a number of items that are just hard to predict at this time."}, {"path": "tedlium_17743.wav", "duration": 9.27, "text": "Consequently, our results would normally outperform the index in a falling market and, conversely, underperform in a rising market."}, {"path": "tedlium_17744.wav", "duration": 9.27, "text": "Before we get started, please note that as part of the call this morning, we will be referencing a presentation that is available on the Investors section of our website"}, {"path": "tedlium_17745.wav", "duration": 9.27, "text": "first quarter call, which is the development of this risk-sharing model that we will be rolling out and going to the acute care hospitals with"}, {"path": "tedlium_17746.wav", "duration": 9.27, "text": "and Sigma who buy in bulk and distribute to their end customers. And so in most cases, we don't know where all the products are going. Although I will say that"}, {"path": "tedlium_17747.wav", "duration": 9.27, "text": "Some of them rely heavily on the banks for distribution, and obviously that can compose a problem. They also lack a direct-to-consumer platform themselves."}, {"path": "tedlium_17748.wav", "duration": 9.27, "text": "insecticides and insecticide sprays will continue to be maybe not the same growth we had this year but won't go back to where they were in the past."}, {"path": "tedlium_17749.wav", "duration": 9.27, "text": "In our specialty formulary management product, we expanded the number of therapeutic drug classes under management for both new and current customers."}, {"path": "tedlium_17750.wav", "duration": 9.27, "text": "Overall, I'm pleased with our performance and remain confident in our ability to execute against our strategic objectives."}, {"path": "tedlium_17751.wav", "duration": 9.27, "text": "Furthermore, our targeted household marketing is delivering a significant saving in marketing expenses compared to last year."}, {"path": "tedlium_17752.wav", "duration": 9.27, "text": "pretty well through '15 on the parts side. Where we saw some weakness was on the construction side. And when I talked about people not running to the year-end, there was"}, {"path": "tedlium_17753.wav", "duration": 9.27, "text": "momentum as we go in. So yes, it's going to take a little while to build this business back and regain the 20% we lost."}, {"path": "tedlium_17754.wav", "duration": 9.27, "text": "as I mentioned in my remarks, the -- we sort of have grown up through the IT world and are well known in that world. Our product's getting pulled out of IT."}, {"path": "tedlium_17755.wav", "duration": 9.27, "text": "as a reduction in fixed operating costs and floorplan interest expense more than offset our decrease in gross profit from parts and service."}, {"path": "tedlium_17756.wav", "duration": 9.27, "text": "The slight decrease in revenues and segment results were primarily due to the decrease in rental activity I mentioned earlier."}, {"path": "tedlium_17757.wav", "duration": 9.27, "text": "obviously, the confidence level on future and growing exploration in the Gulf of Mexico, in Southeast Asia. So"}, {"path": "tedlium_17758.wav", "duration": 9.27, "text": "will there be any addendums, any weaknesses still? Would you expect that? Or do you expect it to be a normally signed audit at that point?"}, {"path": "tedlium_17759.wav", "duration": 9.27, "text": "What from my perspective makes this very important as you think about all the investment that needs to get made in the system, be it distribution or transmission."}, {"path": "tedlium_17760.wav", "duration": 9.27, "text": "I'm thrilled that he has accepted our offer, and I look forward to working with him along with the rest of our Board."}, {"path": "tedlium_17761.wav", "duration": 9.27, "text": "So we can see that the cost out that we're taking in service delivery is helping the margins here in Networks."}, {"path": "tedlium_17762.wav", "duration": 9.27, "text": "However, given the lag between changes in open market paperboard prices and our folding carton prices, we expect to see the majority of the benefit"}, {"path": "tedlium_17763.wav", "duration": 9.27, "text": "basically what we can do to serve the customer the best and manage our risks. So we're really looking at all types of contracts and contracting structure."}, {"path": "tedlium_17764.wav", "duration": 9.27, "text": "One benefit of the harmonization of our Discovery portfolio is the expansion of our integrated client relationships."}, {"path": "tedlium_17765.wav", "duration": 9.27, "text": "And we can do this while still effectively serving the growing e-commerce markets because automation and technology improves efficiency, productivity"}, {"path": "tedlium_17766.wav", "duration": 9.27, "text": "there are no questions, I would like to finish this call. We had"}, {"path": "tedlium_17767.wav", "duration": 9.27, "text": "And in commercial benefit channels, we're seeing both lower use of the ER and lower hospital admission rates for patients treated in the ER."}, {"path": "tedlium_17768.wav", "duration": 9.27, "text": "We urge you to read Sensient's filings for a description of these factors. Please bear these factors in mind when you analyze our comments today."}, {"path": "tedlium_17769.wav", "duration": 9.27, "text": "Regular filings are clearly important to achieving returns close to the allowed level, but we also need to be more efficient to offset inflation and keep costs down."}, {"path": "tedlium_17770.wav", "duration": 9.27, "text": "And it could ramp very quickly because a lot of ad dollars being spent on a mobile platform. And if you can show increased"}, {"path": "tedlium_17771.wav", "duration": 9.27, "text": "also to streamline our regional structure. We can clearly state that the current frame of reference with which we are working"}, {"path": "tedlium_17772.wav", "duration": 9.27, "text": "As I have just mentioned, Jianpu's cooperation with financial service providers is becoming more diversified"}, {"path": "tedlium_17773.wav", "duration": 9.27, "text": "In July, the partnership also began construction of an additional gas processing plant to support growth in the STACK shale play of Oklahoma."}, {"path": "tedlium_17774.wav", "duration": 9.27, "text": "To achieve this milestone on a project of this size and with these many employees requires an unwavering commitment to safety for everyone involved."}, {"path": "tedlium_17775.wav", "duration": 9.27, "text": "Each site then goes away, and they had January to write a documented improvement plan, and now those plans are back and they're executing to those plans. So a lot of those type of opportunities"}, {"path": "tedlium_17776.wav", "duration": 9.27, "text": "we continue to identify opportunities for management-driven improvements within Rotork to stimulate both the growth and margin we desire."}, {"path": "tedlium_17777.wav", "duration": 9.27, "text": "The investments we have made across our advertising business are starting to pay off, and we're pleased with the results we have seen so far."}, {"path": "tedlium_17778.wav", "duration": 9.27, "text": "higher for some airlines than others because some are pushing it -- want us to push it more hard than others. But I think it shows that travelers through Singapore"}, {"path": "tedlium_17779.wav", "duration": 9.27, "text": "really challenging ourselves to find the levers, to see the enhancement as we go forward and know"}, {"path": "tedlium_17780.wav", "duration": 9.27, "text": "I'm not going to provide that protection, but you can look back at the numbers historically."}, {"path": "tedlium_17781.wav", "duration": 9.27, "text": "So we'll leverage off Sunrise Dam, we'll leverage off Tropicana in terms of all of the operation and readiness work we've done there to build a new team and build new systems."}, {"path": "tedlium_17782.wav", "duration": 9.27, "text": "but we really haven't done a whole lot of marketing beyond building out the partners to go-to-market in some of these geographies that I mentioned."}, {"path": "tedlium_17783.wav", "duration": 9.27, "text": "roughly, I think that will be more as we go through the rest of the year. We're able to gain some share there. So I think we can play"}, {"path": "tedlium_17784.wav", "duration": 9.2699375, "text": "These capabilities are in development and testing, and we will be introducing them with training and support to advisers beginning and throughout next year."}, {"path": "tedlium_17785.wav", "duration": 9.2400625, "text": "yet, at the same time, it does sound like some of these issues are new issues. I understand the demand environment is challenging. I suspect it got more challenging since the new year."}, {"path": "tedlium_17786.wav", "duration": 9.24, "text": "try to stay ahead of the game and ahead of the referral opportunities. So I think that we did a lot of"}, {"path": "tedlium_17787.wav", "duration": 9.24, "text": "the work we're putting in to try and engineer our margin and understand drivers of margin for both food and drink aren't just a factor of what's gone before. We're doing some different things. So on drink,"}, {"path": "tedlium_17788.wav", "duration": 9.24, "text": "In some challenging markets, we have delivered numbers in line with the rebased guidance that we put out in December."}, {"path": "tedlium_17789.wav", "duration": 9.24, "text": "if we confirm the growth of the Brazilian economy, we will discuss the investment in a new line of galvanized."}, {"path": "tedlium_17790.wav", "duration": 9.24, "text": "Just wondering to what extent this theme will play out in 2017 and in particular was there any acceleration of"}, {"path": "tedlium_17791.wav", "duration": 9.24, "text": "through our services, and that is the base off which we're going to consider new services, and we need to make it easier to use."}, {"path": "tedlium_17792.wav", "duration": 9.24, "text": "As seen after any of the recent loss events, capital is readily available, and will flow in and out of the market as needed."}, {"path": "tedlium_17793.wav", "duration": 9.24, "text": "I frankly, do not know. I can make guesses, but I wouldn't want to make a guess, but I think the government has chosen that this is the most opportune moment to announce and they have announced it."}, {"path": "tedlium_17794.wav", "duration": 9.24, "text": "With this all behind us and to be successful going forward, the organization has to focus on cost to ensure enough cash available to pay for the growth."}, {"path": "tedlium_17795.wav", "duration": 9.24, "text": "Third, we will be putting in place a new client partner organization, focused on sustaining and growing our relationships with our existing clients,"}, {"path": "tedlium_17796.wav", "duration": 9.24, "text": "invent the world as we see it, but we're listening real carefully to our clients and they're telling us what they want the product to be able to do, and we're making it able to do that."}, {"path": "tedlium_17797.wav", "duration": 9.24, "text": "markets. And as we've talked about here before, we've been managing very carefully things like our construction and land exposure,"}, {"path": "tedlium_17798.wav", "duration": 9.24, "text": "regardless of the market conditions. As you know, in Q2, the Korean interest rate has been going on a downward trend."}, {"path": "tedlium_17799.wav", "duration": 9.24, "text": "Our tax rate benefited almost equally from our tax planning efforts and the new accounting standards related to share-based compensation."}, {"path": "tedlium_17800.wav", "duration": 9.24, "text": "Before we begin our remarks, I want to direct your attention to Slide 2, which discusses our use of forward-looking statements and potential risk factors"}, {"path": "tedlium_17801.wav", "duration": 9.24, "text": "Even though we started billing all clinics direct for Medicare patients effective July 1, we were still processing and collecting"}, {"path": "tedlium_17802.wav", "duration": 9.24, "text": "Previously, Clarient's more limited test menu required a large number of molecular tests to be sent out to other labs for processing."}, {"path": "tedlium_17803.wav", "duration": 9.24, "text": "Given all of this disruption to our normal sales process, they worked very hard and we are fortunate to have achieved strong results so quickly."}, {"path": "tedlium_17804.wav", "duration": 9.24, "text": "And that open season is continuing with strong interest and hopefully we'll have more to report on that in the near future."}, {"path": "tedlium_17805.wav", "duration": 9.24, "text": "this -- the investment thesis around the mortgage solutions business was a share gain, leveraging our relationships with the mortgage servicers, expanding our product offerings."}, {"path": "tedlium_17806.wav", "duration": 9.24, "text": "And the opportunity to have higher margins on those projects, I believe the competition is starting to follow our lead."}, {"path": "tedlium_17807.wav", "duration": 9.24, "text": "at or above historical rates. So again, we'll see how things play out if and when competition does come with regards to price and volume,"}, {"path": "tedlium_17808.wav", "duration": 9.24, "text": "At the moment, I think that the most likely impact that I can see that may happen"}, {"path": "tedlium_17809.wav", "duration": 9.24, "text": "hospitality capacities with the facilities that are not all up to the task as they are."}, {"path": "tedlium_17810.wav", "duration": 9.24, "text": "was a very dramatic impact in that segment, which rippled through to 4% for the business overall. So I think that while"}, {"path": "tedlium_17811.wav", "duration": 9.24, "text": "to comply with their growing burden of regulatory obligations and to provide great gaming entertainment for their guests."}, {"path": "tedlium_17812.wav", "duration": 9.24, "text": "We will continue to manage all elements of our business within our control to ensure that we remain competitive regardless of economic conditions."}, {"path": "tedlium_17813.wav", "duration": 9.24, "text": "It provides a baseline of diverse healthy human subject that will be used to further understand immune system responses across a range of diseases and populations."}, {"path": "tedlium_17814.wav", "duration": 9.24, "text": "That's our target. As far as pineapple is concerned, I believe pineapple will rationalize by itself as we go forward because,"}, {"path": "tedlium_17815.wav", "duration": 9.24, "text": "Argentina area keeps on growing organically at 36% as we continue passing inflation cost to prices in the country with no deterioration"}, {"path": "tedlium_17816.wav", "duration": 9.24, "text": "There are many aspects of financial 2017 we believe are important to discuss. I will focus the rest of my comments on these issues."}, {"path": "tedlium_17817.wav", "duration": 9.24, "text": "Our Q2 free cash flow was below our target as working capital builds pushed our total working capital to 28% of sales."}, {"path": "tedlium_17818.wav", "duration": 9.24, "text": "with emerging opportunities to include new technology classes, such as augmented reality, autonomy and blockchain and these solution sets."}, {"path": "tedlium_17819.wav", "duration": 9.24, "text": "While substantially better than the fiscal first quarter, our same-store portfolio growth is currently not on the pace we had expected."}, {"path": "tedlium_17820.wav", "duration": 9.24, "text": "But then, right now, we're not expecting Brazil to get any worse. I mean, you can see the levels that we're talking about across the businesses."}, {"path": "tedlium_17821.wav", "duration": 9.24, "text": "Consumer evaluations of HI-CHEW have risen steadily, and its fans show no signs of tiring of its delicious taste"}, {"path": "tedlium_17822.wav", "duration": 9.24, "text": "Once we have all the traffic, we would anticipate to be doing a little bit more of network optimization, but I would characterize it as it's much lower scale"}, {"path": "tedlium_17823.wav", "duration": 9.24, "text": "We have invested quite a bit in this business for some time and we stepped it up and they have had a big investment starting"}, {"path": "tedlium_17824.wav", "duration": 9.24, "text": "Yes. There's been very little of that. I mean prices in general have been very steady across global investment sales markets."}, {"path": "tedlium_17825.wav", "duration": 9.24, "text": "which is with the launch of a global organizations to monitor asset efficiency and services performance programs throughout the group."}, {"path": "tedlium_17826.wav", "duration": 9.24, "text": "Because what they're telling us is, until I know, for a fact, that I can supply my current surgeons, I'm not going to take on the additional risk to go after material new business."}, {"path": "tedlium_17827.wav", "duration": 9.24, "text": "a big part of what we need to do in the organization is just to increase this kind of one Zimmer Biomet mission culture."}, {"path": "tedlium_17828.wav", "duration": 9.24, "text": "The bill is complex and will take some time to fully implement. The amounts reflected in the earnings release represent our best estimates of the impact from the legislation to date."}, {"path": "tedlium_17829.wav", "duration": 9.24, "text": "These new agents are off to a good start, but they haven't quite made up all of the foregone revenue from small ESCO partners that we redirected towards distribution"}, {"path": "tedlium_17830.wav", "duration": 9.24, "text": "We continue to focus on differentiating our products, concentrating on helping provide transparency to our consumers"}, {"path": "tedlium_17831.wav", "duration": 9.24, "text": "We continue to review performance by store. It's against a menu of options considered to improve that performance when less than desired."}, {"path": "tedlium_17832.wav", "duration": 9.24, "text": "So we just saw a powder by Eldora and also looking to set up a new partner for themselves in Japan. I was hoping you just talk to"}, {"path": "tedlium_17833.wav", "duration": 9.24, "text": "Technology is the driver of scale and is at the heart of everything we do. We will continue to emphasize these capabilities"}, {"path": "tedlium_17834.wav", "duration": 9.24, "text": "It makes us more valuable to both our customers and our suppliers as we can provide comprehensive solutions to reduce their supply chain costs."}, {"path": "tedlium_17835.wav", "duration": 9.24, "text": "That residential reentry facility received modest damage when the eye of the hurricane made landfall only a few miles northeast of the facility."}, {"path": "tedlium_17836.wav", "duration": 9.24, "text": "The year-over-year increase was a result of higher overall outstanding debt balances and higher interest rates on the floating portion of our debt."}, {"path": "tedlium_17837.wav", "duration": 9.24, "text": "Thanks, Rick. We had an exceptionally strong fourth quarter and full year 2016, and I am proud to share the highlights of our accomplishment."}, {"path": "tedlium_17838.wav", "duration": 9.24, "text": "We believe this study had a successful outcome in validating the revised directions for use given there were no drop tablets during the study."}, {"path": "tedlium_17839.wav", "duration": 9.24, "text": "both to follow what our clients are asking for from us and also just follow the spending trends in our clients."}, {"path": "tedlium_17840.wav", "duration": 9.24, "text": "But it is picking up, and what we're seeing is this pickup is very strong in China. And that's partially because"}, {"path": "tedlium_17841.wav", "duration": 9.24, "text": "Also, as Chris described, we are very excited to announce the acquisition of the Island Bancorp, the holding company for Edgartown National Bank,"}, {"path": "tedlium_17842.wav", "duration": 9.24, "text": "And so will that securitization, the initial one and anything on a go-forward basis"}, {"path": "tedlium_17843.wav", "duration": 9.24, "text": "Also note that depreciation will be a couple million dollars higher in the quarter sequentially. But we expect it to moderate in the second half of the year."}, {"path": "tedlium_17844.wav", "duration": 9.24, "text": "as many people in the organization as you can possibly satisfy. And you keep them satisfied every day that you can keep them satisfied. So you have to"}, {"path": "tedlium_17845.wav", "duration": 9.24, "text": "at the customer that is either already being met with competitor products? Or is it something that is not already met yet,"}, {"path": "tedlium_17846.wav", "duration": 9.24, "text": "and we can fully use them for financing the company. So this is actually a good source of very cheap financing for us going forward as long as Renova is under sanctions."}, {"path": "tedlium_17847.wav", "duration": 9.24, "text": "As we said on previous calls, that in our opinion, there's no reason there should be as much rate pressure as there is with demand as high as it is."}, {"path": "tedlium_17848.wav", "duration": 9.24, "text": "It does exacerbate the fact that we're in the middle of a holiday period, so we did anticipate some weakness just over the holidays"}, {"path": "tedlium_17849.wav", "duration": 9.24, "text": "And that is where the market is. I mean, you don't really see too many people messing around with that type of colored glass. You may see,"}, {"path": "tedlium_17850.wav", "duration": 9.24, "text": "What's exciting for us are a couple of areas. One, and I can't be real specific because of the applications, but I'll give you a flavor."}, {"path": "tedlium_17851.wav", "duration": 9.24, "text": "primarily loans and primarily driven by LIBOR and prime. But that allows us to really benefit as rates continue to rise."}, {"path": "tedlium_17852.wav", "duration": 9.24, "text": "will be pretty much reduced in the second quarter. I'll let Mario maybe give you a"}, {"path": "tedlium_17853.wav", "duration": 9.24, "text": "perhaps you could just give us some color in terms of like your bidding activity in Canada and where you see that going over the course of the year."}, {"path": "tedlium_17854.wav", "duration": 9.24, "text": "look no further than Asia to see how Germany is doing a lot of our business in Germany tends to be to the machine building and the export"}, {"path": "tedlium_17855.wav", "duration": 9.24, "text": "The interest of these brands and the scope and extent of our interaction with them has intensified as construction has progressed on the upper floors."}, {"path": "tedlium_17856.wav", "duration": 9.24, "text": "Regarding taxes, the effective tax rate was just under 10% for the third quarter, benefiting from the release of a previously accrued tax liability."}, {"path": "tedlium_17857.wav", "duration": 9.24, "text": "And therefore, we don't think that will have a long-term impact on the market. But I would say short term, it certainly had an impact because a lot of vessels came out"}, {"path": "tedlium_17858.wav", "duration": 9.24, "text": "The one deals with 300-millimeter, where we've stated that one of our growth engines for the second half of the year"}, {"path": "tedlium_17859.wav", "duration": 9.24, "text": "for both sensors and displays and on a very unique embedding of artificial intelligence into imaging and other sensors."}, {"path": "tedlium_17860.wav", "duration": 9.24, "text": "on the forecast at the beginning of 2019, we will decide to invest to increase capacity in that factory,"}, {"path": "tedlium_17861.wav", "duration": 9.24, "text": "that is in charge of launching this product. And it includes reimbursement specialists and folks that have done this before for many small teams."}, {"path": "tedlium_17862.wav", "duration": 9.24, "text": "Along with the superior growth of our new clients pipeline, we have been challenging historical conventions around the onboarding process to eliminate roadblocks."}, {"path": "tedlium_17863.wav", "duration": 9.24, "text": "And so indeed, these are the other areas where we will try to be a stronger presence in the market."}, {"path": "tedlium_17864.wav", "duration": 9.24, "text": "I'd say overall we're seeing nice improvement in our business on the margin side. We do think that the large project"}, {"path": "tedlium_17865.wav", "duration": 9.24, "text": "And we still think we have a pretty solid year in HHI. Obviously, it's going to take us a couple of quarters to get appliances stood back up and reinvest"}, {"path": "tedlium_17866.wav", "duration": 9.24, "text": "Since that time, we have enhanced our planning tools and increased capacity to give better awareness and flexibility to meet market demand."}, {"path": "tedlium_17867.wav", "duration": 9.24, "text": "has given us confidence to reinvest our marketing efficiency gains back into the opportunity to really take"}, {"path": "tedlium_17868.wav", "duration": 9.24, "text": "the timeline is open. Number two, at the current -- currently, we don't have any plans to return money to the shareholders because we think we can deploy the money."}, {"path": "tedlium_17869.wav", "duration": 9.24, "text": "are obviously still holding in pretty strongly. So how do you think about the chemical environment and what it might mean for the timing of the second cracker?"}, {"path": "tedlium_17870.wav", "duration": 9.24, "text": "second quarter of 2016. Like the investment community does, we too compare our results to the Baltic Index."}, {"path": "tedlium_17871.wav", "duration": 9.24, "text": "We had a need last year to be a bit specific on the pricing development because we had to revise our long-term financial targets, but we do not believe it's meaningful going forward"}, {"path": "tedlium_17872.wav", "duration": 9.24, "text": "Yes, I don't think there is a steady state in digital media. It keeps changing. Three years ago, I wouldn't have thought that we were going to be"}, {"path": "tedlium_17873.wav", "duration": 9.24, "text": "in this way and to stay with a good return on the capital that we have used in our business. And again, it"}, {"path": "tedlium_17874.wav", "duration": 9.24, "text": "We have invested in our team, our in-store presentations as well as focus on developing and improving our vendor base."}, {"path": "tedlium_17875.wav", "duration": 9.24, "text": "On our call a year ago, I spoke about our story in the context of chapters, the early days going public and then getting big fast."}, {"path": "tedlium_17876.wav", "duration": 9.24, "text": "in responding to customer needs and consumer behavior and added new capabilities to drive future growth."}, {"path": "tedlium_17877.wav", "duration": 9.24, "text": "So the lower pricing really speaks to what Steve just spoke to in terms of what we're doing in terms of supporting the coffee. So"}, {"path": "tedlium_17878.wav", "duration": 9.24, "text": "through the card program. So at some point in 2019, we expect the kind of expansion of what we call the premium account,"}, {"path": "tedlium_17879.wav", "duration": 9.24, "text": "Our closures with SimpliSqueeze valves can also be found on new barbecue sauces in Brazil and Mexico for both Hunts and Heinz."}, {"path": "tedlium_17880.wav", "duration": 9.24, "text": "lion share of the orders. So and I think that's pretty clear what's happened in the market and"}, {"path": "tedlium_17881.wav", "duration": 9.24, "text": "I am excited that we'll be working together to build value for our shareholders. And with that, I'll turn the call over to Craig to cover our financials."}, {"path": "tedlium_17882.wav", "duration": 9.24, "text": "Third is to grow the Logistics and Business Park allocation to ideally well above 20% of our total assets."}, {"path": "tedlium_17883.wav", "duration": 9.24, "text": "I want you to just be very clear where we stand on this. Overall, we are very pleased with our top line strength, I think you could see from our presentation. And I'm talking Legacy CAG here."}, {"path": "tedlium_17884.wav", "duration": 9.24, "text": "but we do need more data. So we are running a few registry studies of different kinds to figure out exactly how they can interpret this."}, {"path": "tedlium_17885.wav", "duration": 9.24, "text": "lower cost, position ourselves for what I would say improved margins going forward once the wind starts blowing in our direction again."}, {"path": "tedlium_17886.wav", "duration": 9.24, "text": "The other thing that I found interesting and attractive was the organic growth. A lot of the innovation at ServiceNow has been organically developed. You don't see that very often."}, {"path": "tedlium_17887.wav", "duration": 9.24, "text": "Factors that could cause actual results or events to differ materially from current expectations are disclosed under the heading Risk Factors"}, {"path": "tedlium_17888.wav", "duration": 9.24, "text": "We were able to leverage the skills of our GMFS, the residential business that stand in that area to help underwrite and"}, {"path": "tedlium_17889.wav", "duration": 9.24, "text": "reasonable outcome in your next rate proceeding -- I know you're still trying to get the final order here -- we should expect"}, {"path": "tedlium_17890.wav", "duration": 9.24, "text": "have not performed particularly well of late. And so we see it as a real opportunity for us to take some leadership and get the category growing faster."}, {"path": "tedlium_17891.wav", "duration": 9.24, "text": "We wish to caution you that such statements reflect only the company's current expectations, and that actual events or results may differ materially."}, {"path": "tedlium_17892.wav", "duration": 9.24, "text": "that allowed us to substitute one type of fiber for another, we would actively pursue those as well as part of our CapEx guidance that we provided."}, {"path": "tedlium_17893.wav", "duration": 9.24, "text": "larger and more long-term relationship with these customers. So how did we support that and what did we do in terms of investment during this"}, {"path": "tedlium_17894.wav", "duration": 9.24, "text": "these all were necessary to be that glue to make everything to work together as a platform. All of these have been invested in."}, {"path": "tedlium_17895.wav", "duration": 9.24, "text": "early leading indicators of this investment and this strategy provide good indicators that we are having much more"}, {"path": "tedlium_17896.wav", "duration": 9.24, "text": "is very good. But we do recognize that a lot of our partners are in a situation where they're trying to manage their inventory. And so"}, {"path": "tedlium_17897.wav", "duration": 9.24, "text": "And so I expect our customers will want to have access to that pipeline, wherever we put our next plant, so that will go into our calculus."}, {"path": "tedlium_17898.wav", "duration": 9.24, "text": "but we certainly will continue to look at that. I will tell you though that I don't believe you see the same elevated valuations in areas outside of our core areas."}, {"path": "tedlium_17899.wav", "duration": 9.24, "text": "lower visitor roaming growth and the retention focus in the prolongation cycles of customers affected by customer services and network issues."}, {"path": "tedlium_17900.wav", "duration": 9.24, "text": "This is good old cable tactics. And as you move to the right on this page, you can see that strong customer intake is not diluting Home ARPU. We"}, {"path": "tedlium_17901.wav", "duration": 9.24, "text": "induced by the tax rate that is the important part of any increase in CapEx. And we'll identify which is which if we do that."}, {"path": "tedlium_17902.wav", "duration": 9.24, "text": "benefits to them in terms of their overall health and management. And with respect to Andrew Witty joining us, Justin, we're very pleased that he's"}, {"path": "tedlium_17903.wav", "duration": 9.24, "text": "but we -- we've always had a strong balance sheet as one of our top priorities, so that certainly isn't going to change."}, {"path": "tedlium_17904.wav", "duration": 9.24, "text": "Cash flow was also impacted by the decision to carry some additional inventory at year-end, buying around tariffs and the Chinese New Year."}, {"path": "tedlium_17905.wav", "duration": 9.24, "text": "Excluding the benefit of this transaction, the fourth quarter cash flows were slightly below last year's result due to a onetime pension payment."}, {"path": "tedlium_17906.wav", "duration": 9.24, "text": "the margins on that IoT business significantly higher than your current risk margin base?"}, {"path": "tedlium_17907.wav", "duration": 9.24, "text": "posted to the liability management accounts, the final cost becomes more competitive than what we had before. But if we were to adjust"}, {"path": "tedlium_17908.wav", "duration": 9.24, "text": "will also discuss our progress on improving our plant uptime. As we noted during our last quarter's call, back in February,"}, {"path": "tedlium_17909.wav", "duration": 9.24, "text": "pressure, whether that's from payer pushback given the size of the market or potential competition long term coming in? How do we think about that?"}, {"path": "tedlium_17910.wav", "duration": 9.24, "text": "and yarn, which is an incremental headwind. And I'll add that as we discussed for some time now in the last earnings call and at investor conferences,"}, {"path": "tedlium_17911.wav", "duration": 9.24, "text": "A general discussion of the risk factors that could affect Jianpu's business and financial results is included in certain filings of the company with the Securities and Exchange Commission."}, {"path": "tedlium_17912.wav", "duration": 9.24, "text": "But before I turn it over to Mike, let me provide you with more details on our commercial performance. Starting with MS."}, {"path": "tedlium_17913.wav", "duration": 9.24, "text": "improving retention. And we have emphasized I think throughout our communications that healthy revenue growth and improving retentions are very important to support"}, {"path": "tedlium_17914.wav", "duration": 9.24, "text": "which helps us to grow our cargo market share. It also does provide incremental productivity improvements because we were doing a similar"}, {"path": "tedlium_17915.wav", "duration": 9.24, "text": "Better demand conditions, combined with our actions earlier in the year to rightsize the fleet, resulted in outperformance for rental during the quarter."}, {"path": "tedlium_17916.wav", "duration": 9.24, "text": "Overall, we're well positioned as we enter the second quarter. Given the growth opportunities from our proprietary products and anticipated progress in our pipeline candidates"}, {"path": "tedlium_17917.wav", "duration": 9.24, "text": "for expected future milestones and royalty payments from Recro. A noncash charge we recorded was due to a decrease in the fair value of this contingent consideration"}, {"path": "tedlium_17918.wav", "duration": 9.24, "text": "and keeping our balance sheet robust enough to handle any market environment. We are and will continue to invest for the longer term."}, {"path": "tedlium_17919.wav", "duration": 9.24, "text": "Regarding Phase 1 of the Below 120 project, the completion of the decline system below the current secondary shaft is on track for completion"}, {"path": "tedlium_17920.wav", "duration": 9.24, "text": "Got it. So I guess as we think about that composition of your deposit base, do you think that mix will change significantly from where it is today?"}, {"path": "tedlium_17921.wav", "duration": 9.24, "text": "Because the details around that, how much load do you take out, how much do you credit against a single resource, which is a block resource, against a shape"}, {"path": "tedlium_17922.wav", "duration": 9.24, "text": "So every business across the company has been focusing on improving working capital productivity, and Cotton is a good example"}, {"path": "tedlium_17923.wav", "duration": 9.24, "text": "Our materials are on the ground floor of several new product rollouts ranging from hydration delivery to underwater sports equipment."}, {"path": "tedlium_17924.wav", "duration": 9.2100625, "text": "As the driver and independent contractor markets continue to be challenging, this is as tough a driver market as any of us has ever seen."}, {"path": "tedlium_17925.wav", "duration": 9.2100625, "text": "as we expect modestly improve operating performance in the third and fourth quarters will be offset by incrementally unfavorable impacts from currency movements."}, {"path": "tedlium_17926.wav", "duration": 9.21, "text": "timing, and value of the Executive Search confirmations as well as our clients' use and renewals of our enterprise license agreements."}, {"path": "tedlium_17927.wav", "duration": 9.21, "text": "in order to manage through vintage risk and to properly construct portfolios from a risk perspective."}, {"path": "tedlium_17928.wav", "duration": 9.21, "text": "the business, we weren't anticipating the lag in the revenue. So these deals are done. They've been booked"}, {"path": "tedlium_17929.wav", "duration": 9.21, "text": "as opportunities present themselves when I think that they will help us achieve our strategic goals."}, {"path": "tedlium_17930.wav", "duration": 9.21, "text": "some work we did with a consultant. We were completing up that reorganization. It was leaning out the organization, and kind of moving"}, {"path": "tedlium_17931.wav", "duration": 9.21, "text": "if you look at it over a prolonged period of time over the last decade, the gains that they've made up pretty modest. But we have also gained"}, {"path": "tedlium_17932.wav", "duration": 9.21, "text": "The second part on that is related to the use of more complex material. I guess you still have headroom here"}, {"path": "tedlium_17933.wav", "duration": 9.21, "text": "My first question is just -- Scott if I could ask you to elaborate a little bit on the rental strategy"}, {"path": "tedlium_17934.wav", "duration": 9.21, "text": "about the period. Definitely it will pick up speed in Q3, definitely because of -- well we're getting ready to"}, {"path": "tedlium_17935.wav", "duration": 9.21, "text": "Please look at the bottom of the page, Slide 8. This is the segment information for Technology Solutions."}, {"path": "tedlium_17936.wav", "duration": 9.21, "text": "can find the money to pursue this. I think at the same time, there is a strong sense that"}, {"path": "tedlium_17937.wav", "duration": 9.21, "text": "On behalf of my wife Mona, my daughter Sydney and I, I just want to say thank you, again, and God bless all of you, all the Lear families around the world."}, {"path": "tedlium_17938.wav", "duration": 9.21, "text": "As I mentioned in my opening slide, we've been investing in our business for a long time now, and Slide 16 highlights the significant investments we have made."}, {"path": "tedlium_17939.wav", "duration": 9.21, "text": "These shows were very successful for us with strong booth attendance and record lead generation that position us well going forward."}, {"path": "tedlium_17940.wav", "duration": 9.21, "text": "Our operations in Brazil were profitable again for the second quarter in a row as we gained scale and we saw record premium from our professional lines businesses."}, {"path": "tedlium_17941.wav", "duration": 9.21, "text": "Similarly, while Hurricane Michael heavily affected parts of Florida and other coastal states, our claims impact was again less than anticipated."}, {"path": "tedlium_17942.wav", "duration": 9.21, "text": "Hope you all had a chance to review the press release we issued earlier this morning. A copy of the release is available on our website, as is the slide presentation for this call."}, {"path": "tedlium_17943.wav", "duration": 9.21, "text": "Although the company believes that the expectations reflected in such forward-looking statements are reasonable, they can give no assurance that such expectations will prove to have been correct."}, {"path": "tedlium_17944.wav", "duration": 9.21, "text": "preserving our autonomy and our own buildings. But the idea is to really be part and parcel of what I would call the local hospital platform."}, {"path": "tedlium_17945.wav", "duration": 9.21, "text": "And so we're trying to focus on places where there are such compelling unmet medical needs as we expand beyond CKD dialysis."}, {"path": "tedlium_17946.wav", "duration": 9.21, "text": "you can provide to the market in terms of the outlook for production here, cost or the quality of the asset?"}, {"path": "tedlium_17947.wav", "duration": 9.21, "text": "your outlook for your potassium chloride products? And I know you mentioned the incremental opportunity to gain share on the powder. Maybe you can help frame that? And then"}, {"path": "tedlium_17948.wav", "duration": 9.21, "text": "the bulk of the projects have great focus on technology. The trend in the future is that the business will be more asset light."}, {"path": "tedlium_17949.wav", "duration": 9.21, "text": "will be inconsistent with first quarter 2016. However, as you know, fuel margins can be sensitive to competitive and market factors"}, {"path": "tedlium_17950.wav", "duration": 9.21, "text": "As you know, we reset our stores at least twice a year to optimize the return on every single meter drop in every single store."}, {"path": "tedlium_17951.wav", "duration": 9.21, "text": "In addition, our International business is profitable and growing fast and we continue to win new business with a record period to date."}, {"path": "tedlium_17952.wav", "duration": 9.21, "text": "the acceleration is also caused by the reporting for the first time of that business being part of the year-over-year comparisons."}, {"path": "tedlium_17953.wav", "duration": 9.21, "text": "you to be more optimistic in terms of the earnings evolution, also taking into account that you are positive on the underlying"}, {"path": "tedlium_17954.wav", "duration": 9.21, "text": "This was due in part to a number of cost management initiatives that resulted in non-sales and distribution expense savings, inclusive of implementation cost"}, {"path": "tedlium_17955.wav", "duration": 9.21, "text": "Our display group delivered revenue that was slightly above the midpoint and also set new records in both revenue and operating income."}, {"path": "tedlium_17956.wav", "duration": 9.21, "text": "And I really deeply feel Applied's never been in a better position to use our breadth to enable these new capabilities. So"}, {"path": "tedlium_17957.wav", "duration": 9.21, "text": "our philosophy in the letter to shareholders, in effect, say it out loud. And as I said, we view it as a call to action"}, {"path": "tedlium_17958.wav", "duration": 9.21, "text": "So maybe you could drill down a little further on that. And I guess I'm getting the sense that, as you mentioned too, that the deep discount category has been picking up."}, {"path": "tedlium_17959.wav", "duration": 9.21, "text": "the Enterprise side. And in a way, I think the approach we've taken in addressing that competition is somewhat different from what Globe"}, {"path": "tedlium_17960.wav", "duration": 9.21, "text": "On transport, you can fill the tracks much cheaper and it reduces the demand for having to go out and use the spot market, which has increased dramatically this year."}, {"path": "tedlium_17961.wav", "duration": 9.21, "text": "So probably, we will see in the next days or weeks what happen, but nothing happened yet"}, {"path": "tedlium_17962.wav", "duration": 9.21, "text": "Let's turn now to corporate partnering and our recently announced strategic collaboration agreements with Lilly and Alexion to discover"}, {"path": "tedlium_17963.wav", "duration": 9.21, "text": "There's really 2 benefits. The first one is we don't have that whole logistical and lack of and focus taken away from what we do."}, {"path": "tedlium_17964.wav", "duration": 9.21, "text": "particularly when factoring in the economic benefit we expect to achieve from the third and fourth quarter takeouts. On the balance sheet side,"}, {"path": "tedlium_17965.wav", "duration": 9.21, "text": "And then effectiveness, what we like to do is get in and do a pilot study to establish the dose and validate kind of where we are."}, {"path": "tedlium_17966.wav", "duration": 9.21, "text": "I think we've talked about this. We have -- we've won and lost from some of the consolidation that's taken place in the industry over the past bunch of years. There were couple"}, {"path": "tedlium_17967.wav", "duration": 9.21, "text": "As a result, our balance sheet continues to demonstrate strength and flexibility to support the repayment of our obligations and our growth initiatives."}, {"path": "tedlium_17968.wav", "duration": 9.21, "text": "Finally, let me finish by emphasizing that these projections do not include any benefits from future rate hikes or tax reform."}, {"path": "tedlium_17969.wav", "duration": 9.21, "text": "and we were going to work internally to drive revenues in the services business that were non-coal, and we're still very focused on that. And I still think there's opportunity there."}, {"path": "tedlium_17970.wav", "duration": 9.21, "text": "Marcus, you said that the sales performance that you saw at the end of the month has continued thus far through the first week of August"}, {"path": "tedlium_17971.wav", "duration": 9.21, "text": "This lowered range is not reflective of any significant change in the profitability of our RV business,"}, {"path": "tedlium_17972.wav", "duration": 9.21, "text": "toy set? And if there's any early color or comments you can give on Black Friday and fourth quarter to date."}, {"path": "tedlium_17973.wav", "duration": 9.21, "text": "The market strengthened during the first part of the fourth quarter, but has softened lately, and it is uncertain if a profit share will accumulate this quarter."}, {"path": "tedlium_17974.wav", "duration": 9.21, "text": "invest in NPLs. Another key element of the tax act is a provision that limits interest deductibility based on taxable earnings."}, {"path": "tedlium_17975.wav", "duration": 9.21, "text": "Believe me, we are focused on increasing that growth rate substantially. But at this point, given what we are seeing in the marketplace, I think it's prudent"}, {"path": "tedlium_17976.wav", "duration": 9.21, "text": "We are transforming LP into a building solutions company and the financial results reflect that change."}, {"path": "tedlium_17977.wav", "duration": 9.21, "text": "What is new is the degree to which we are aligning all aspects of our business to achieve this goal from internal target setting to how we measure our performance."}, {"path": "tedlium_17978.wav", "duration": 9.21, "text": "At the same time, while we benefit from consistent price increases on lift tickets and season passes, we are offering guests a wide variety of products to access our mountains."}, {"path": "tedlium_17979.wav", "duration": 9.21, "text": "As you think about the relationship between orders and units, keep in mind that roughly 25% of total Pointnext orders are related to new attach."}, {"path": "tedlium_17980.wav", "duration": 9.21, "text": "to react on the upside and we never want to get caught on the downside. And so from our ability to mobilize and execute"}, {"path": "tedlium_17981.wav", "duration": 9.21, "text": "We continue research in both of these exciting areas and look forward to additional presentations at upcoming scientific and medical meetings."}, {"path": "tedlium_17982.wav", "duration": 9.21, "text": "Our innovative proposed solution would allow Kansas to address their correctional infrastructure and program needs without negatively impacting the state's budget"}, {"path": "tedlium_17983.wav", "duration": 9.21, "text": "Although the facility never lost power, we were fully prepared with backup diesel generators and had ample food supplies for our ICE detainees"}, {"path": "tedlium_17984.wav", "duration": 9.21, "text": "the solution to the problem of what to drink when you are not drinking. Nonalcoholic, it has 2 variants designed to be drunk"}, {"path": "tedlium_17985.wav", "duration": 9.21, "text": "Some of the growth is due to the benefits of securities purchases, which we do not expect to be as significant a contributor to growth over the foreseeable future."}, {"path": "tedlium_17986.wav", "duration": 9.21, "text": "Whilst GSL is fully independent from CMA CGM, we maintain a strong working and strategic relationship with them."}, {"path": "tedlium_17987.wav", "duration": 9.21, "text": "We've started to look at the next group, which we call 7K inside of our company. But the really heavy lifting is mostly behind us. So I don't think you should"}, {"path": "tedlium_17988.wav", "duration": 9.21, "text": "And that's also -- or of course, as a result of what I said, that we really want to make sure that we are driving shareholders' value."}, {"path": "tedlium_17989.wav", "duration": 9.21, "text": "The Southern Cone economy remains challenging, as economic measures lowered consumer disposable income and affected our volumes."}, {"path": "tedlium_17990.wav", "duration": 9.21, "text": "by normalizing or near normalizing the oxalate, if we allow them to cease doing the disease management, it will have a"}, {"path": "tedlium_17991.wav", "duration": 9.21, "text": "to meet the needs of today's consumers in an ever-changing marketplace. We believe this customer-centric approach is the foundation of our success."}, {"path": "tedlium_17992.wav", "duration": 9.21, "text": "In our Hotel Group, RevPAR results are somewhat mixed. We continued to see weakness in oil producing territories, but this was offset somewhat"}, {"path": "tedlium_17993.wav", "duration": 9.21, "text": "Okay. And in terms of a time line, so you'll be looking and working with their engineers"}, {"path": "tedlium_17994.wav", "duration": 9.21, "text": "to give you a detailed road map of how we're going to accomplish that, I don't think is in the best interest of the company and the competitive environment that we're in."}, {"path": "tedlium_17995.wav", "duration": 9.21, "text": "it's not as low as what we had anticipated. In the meantime, I'll try to dig out a more intelligent answer to your question, I apologize for not being more precise."}, {"path": "tedlium_17996.wav", "duration": 9.21, "text": "Our One Vonage platform strategy enables customers to deploy our communication software in many different forms,"}, {"path": "tedlium_17997.wav", "duration": 9.21, "text": "that affected those contracts that are adjusted by the peso to the dollar exchange rate and an increase in the number of clients that use these services."}, {"path": "tedlium_17998.wav", "duration": 9.21, "text": "to complete. And Mike, I think you said that depending on how quickly that gets done, it will impact the pace"}, {"path": "tedlium_17999.wav", "duration": 9.21, "text": "of that business. And the connections with logistics for us is how we are able to take and distribute the product"}, {"path": "tedlium_18000.wav", "duration": 9.21, "text": "Our adjacent markets seem increasingly likely to challenge us, though I'd point out this market segment is the smallest of our core business sectors."}, {"path": "tedlium_18001.wav", "duration": 9.21, "text": "Again, I'm very encouraged by the initial leading indicators that I'm seeing as we deploy the E3 lean transformation across the business."}, {"path": "tedlium_18002.wav", "duration": 9.21, "text": "across the time frame and the associated leverage loss, if you will, that we get from those higher sales."}, {"path": "tedlium_18003.wav", "duration": 9.21, "text": "with our other coatings business, but then we're going to move up the value chain with those pigments to create additional differentiation both on"}, {"path": "tedlium_18004.wav", "duration": 9.21, "text": "and the trade you seem to be making of giving up subscription revenue to drive subscribers in an effort to build the targeted advertising opportunity?"}, {"path": "tedlium_18005.wav", "duration": 9.21, "text": "In addition, a shortage of freight availability late in the second quarter had a negative impact on revenue, pushing some shipments into the third quarter"}, {"path": "tedlium_18006.wav", "duration": 9.21, "text": "We didn't say that, but I figured someone might ask, but yes I think they did well for us in the quarter. So we're not breaking out all those numbers, but I would say I think"}, {"path": "tedlium_18007.wav", "duration": 9.21, "text": "of our customers is one of the fundamental reasons for our consistent performance. This is a key point of differentiation for us in the marketplace."}, {"path": "tedlium_18008.wav", "duration": 9.21, "text": "areas of Central Mississippi, some areas in Arkansas, a few geographies in Alabama and most recently in Northern Louisiana. And so"}, {"path": "tedlium_18009.wav", "duration": 9.21, "text": "The cost of equity has remained relatively stable even after the sovereign downgrade, indicating that this was largely priced into long bond rates."}, {"path": "tedlium_18010.wav", "duration": 9.21, "text": "We continue to execute on our plan to reformat all our branches and deliver a range of integrated banking channels for our clients."}, {"path": "tedlium_18011.wav", "duration": 9.21, "text": "As such we have shutdown most of it, while retaining the portion most suited to appropriate risk and capital usage as well as consistent results."}, {"path": "tedlium_18012.wav", "duration": 9.21, "text": "most likely, beginning in the new fiscal year, they'll be done. So we'll be continuing this transition process"}, {"path": "tedlium_18013.wav", "duration": 9.21, "text": "certainly heading towards the upper end of that range. So really pleased with the delivery across all of the portfolio in terms of our production."}, {"path": "tedlium_18014.wav", "duration": 9.21, "text": "That gave us confidence to launch the Titanium card, which was launched by Olivia last week. And it's another innovation from Qantas."}, {"path": "tedlium_18015.wav", "duration": 9.21, "text": "We think that'll really start to come down towards end of the year as the economy picks up. And in 2019, you should start to see a convergence back"}, {"path": "tedlium_18016.wav", "duration": 9.21, "text": "This increase was primarily driven by the negative impact of foreign exchange rates. The 80 basis point rate decrease was primarily driven by sales leverage."}, {"path": "tedlium_18017.wav", "duration": 9.21, "text": "late last year and early this year. And it certainly appears that, that pipeline capacity is filling up more rapidly than anticipated."}, {"path": "tedlium_18018.wav", "duration": 9.21, "text": "So being really methodical here, and so far we've been extremely pleased with both the technology and how consumers are responding to it, how merchants are responding to it,"}, {"path": "tedlium_18019.wav", "duration": 9.21, "text": "to streamline and simplify our operations, to reduce empty calories and to build an amazing customer experience quickly and with solid results."}, {"path": "tedlium_18020.wav", "duration": 9.21, "text": "What I think, as we said the last time we met that we are investing now in Mobile to take up capacity with another 100,000 tonnes. And I think"}, {"path": "tedlium_18021.wav", "duration": 9.21, "text": "That said, we're not where we want to be and must be vigilant to continue to execute on the strategic initiatives we laid out earlier this year."}, {"path": "tedlium_18022.wav", "duration": 9.21, "text": "a much better profitability profile than you had in the past? Yes, you're right, Kelly. We expect revenue for the year for Logistics to be up"}, {"path": "tedlium_18023.wav", "duration": 9.21, "text": "into Reservoir Description. Just hasn't happened yet. We thought we would see some of that in Q3. Now we expect some of that in Q4 but"}, {"path": "tedlium_18024.wav", "duration": 9.21, "text": "tended to be much more optimistic in the face of declining conditions than most other parts of the world."}, {"path": "tedlium_18025.wav", "duration": 9.21, "text": "These studies are in preparation for our eventually translating this technology and these agents to clinical studies."}, {"path": "tedlium_18026.wav", "duration": 9.21, "text": "and it has a unique GalNAc ligands and linker, which we have specifically designed to be proprietary to us."}, {"path": "tedlium_18027.wav", "duration": 9.21, "text": "Yes. And Bob, so I talked about this in my script. Certainly, there are new drug launches coming out -- expected to come out."}, {"path": "tedlium_18028.wav", "duration": 9.21, "text": "We are also working hard to improve other areas of our business. We are on the verge, for example, of launching new investor and public relation campaigns"}, {"path": "tedlium_18029.wav", "duration": 9.21, "text": "the American Society of Neurorehabilitation, the American Academy of Neurology and the American Congress of Rehabilitation Medicine,"}, {"path": "tedlium_18030.wav", "duration": 9.21, "text": "and post-surgery patients. So they are uniquely positioned to gain market share in all of their markets as these models are implemented."}, {"path": "tedlium_18031.wav", "duration": 9.21, "text": "As Chris mentioned, we believe this type of capital deployment will continue to drive our earnings per share with an eye towards higher sustainable dividends for our shareholders."}, {"path": "tedlium_18032.wav", "duration": 9.21, "text": "Before we move to questions and answers, I just would like to take 2 minutes to clarify a bit, because I read this morning that"}, {"path": "tedlium_18033.wav", "duration": 9.21, "text": "We are capitalizing on current consumer and retail trends, increasing our focus on faster-growth areas."}, {"path": "tedlium_18034.wav", "duration": 9.21, "text": "things have improved slightly, but they are still in the same -- broadly in the same situation that they have been over the last 6 months."}, {"path": "tedlium_18035.wav", "duration": 9.21, "text": "So we are already thinking about further development of our capabilities, organization and portfolio that will keep us fit for the future."}, {"path": "tedlium_18036.wav", "duration": 9.21, "text": "Retail revenues were negatively impacted by the new trailer sales on lower supply and partially offset by increases in parts and service revenue."}, {"path": "tedlium_18037.wav", "duration": 9.21, "text": "the DPG Group is expecting some softness in certain product segments that I will address shortly. And we now expect the first half of the year"}, {"path": "tedlium_18038.wav", "duration": 9.21, "text": "that the Eagle Ford is also where we have our infrastructure already fully developed and can add rigs and add production there without"}, {"path": "tedlium_18039.wav", "duration": 9.21, "text": "in terms of being able to pick up on telephone and make a call and get your equipment serviced no matter where it is in the country."}, {"path": "tedlium_18040.wav", "duration": 9.21, "text": "November is probably the highest single margin month for Pinnacle because they're a hot -- their margins are higher in the second half of the year than the first half. So"}, {"path": "tedlium_18041.wav", "duration": 9.21, "text": "in dialogues with our customers already I feel like I can relate to what the C-suite is looking for from our platform and others."}, {"path": "tedlium_18042.wav", "duration": 9.21, "text": "So we don't have anything specific, but obviously we have a key amount of capital that we spend every year, which we consider our maintenance capital,"}, {"path": "tedlium_18043.wav", "duration": 9.21, "text": "We're pleased with our first half margin performance and are slightly ahead of our plan as our cost execution has exceeded expectations."}, {"path": "tedlium_18044.wav", "duration": 9.21, "text": "but our regulators as well as communities, believe it or not, who view this as an opportunity for economic development. We created over 3,000 jobs"}, {"path": "tedlium_18045.wav", "duration": 9.21, "text": "leaving or is replaced, or whatever that is. And at the same time, Media was sort of on the divestment list, more or less. And now you keep"}, {"path": "tedlium_18046.wav", "duration": 9.21, "text": "At this point, it's time to open the line for questions and answers. As a reminder, the purpose of today's call is to discuss the earnings results. We ask that you please keep your questions"}, {"path": "tedlium_18047.wav", "duration": 9.21, "text": "It's all either being released in Q1 or putting in public data, so we could go-to-market at the end of this quarter with a true platform,"}, {"path": "tedlium_18048.wav", "duration": 9.21, "text": "Our real issue has been timing of projects. And it's both highway projects and energy projects that we thought"}, {"path": "tedlium_18049.wav", "duration": 9.21, "text": "as well as the payers, again with prior consent, so that everybody is aware of exactly how much drug is in the patient's reservoir"}, {"path": "tedlium_18050.wav", "duration": 9.21, "text": "As Big Pharma seeks to drive greater efficiency, these clients are reducing their internal infrastructures and externalizing research"}, {"path": "tedlium_18051.wav", "duration": 9.21, "text": "could we see any sort of just moderation in 4Q pricing relative to 3Q just given conditions normalizing for some of the fire conditions out there?"}, {"path": "tedlium_18052.wav", "duration": 9.21, "text": "Halfway through the fiscal year, the biggest difference in financial results compared to our expectations comes from revenue growth."}, {"path": "tedlium_18053.wav", "duration": 9.21, "text": "I'm very pleased with our results so far this year, which has resulted from all the hard work done over the past several years to strengthen and diversify our business."}, {"path": "tedlium_18054.wav", "duration": 9.21, "text": "and you could sit there and knock out the types of acquisitions you wanted to. Do you expect to be able to still do that as you shift the markets a little bit?"}, {"path": "tedlium_18055.wav", "duration": 9.21, "text": "Yes. Look, we certainly expect to grow the business profitably. And when we say grow the business profitably, that means to continually expand our EBITDA margins."}, {"path": "tedlium_18056.wav", "duration": 9.21, "text": "and we again are just -- we've got basically 2 people at the company negotiating most of these big deals and have a lot of other things to do at year-end and beginning of the year"}, {"path": "tedlium_18057.wav", "duration": 9.21, "text": "won a lot of new programs last year, took a lot of market share, particularly with respect to release liner for labels."}, {"path": "tedlium_18058.wav", "duration": 9.21, "text": "suppliers for technology and situations that allow us and enable us to perform these investments. We are now in a tender"}, {"path": "tedlium_18059.wav", "duration": 9.21, "text": "have you decided about your commercial strategy when you have autonomy over these volumes, because we see some players"}, {"path": "tedlium_18060.wav", "duration": 9.21, "text": "and up to where this migration will happen and what will be the upside of that for the paper market."}, {"path": "tedlium_18061.wav", "duration": 9.21, "text": "In particular, bulk ethylene prices have been disappointing as we have seen U.S. prices remain significantly discounted versus the rest of the world."}, {"path": "tedlium_18062.wav", "duration": 9.21, "text": "The new platform will not only improve the functionality of our site but will allow us to improve how we engage with our customers digitally and across our retail channels."}, {"path": "tedlium_18063.wav", "duration": 9.21, "text": "Mark's has a lot of potential, and I think 2018 will be an important year for Mark's to begin to establish a relationship with a new generation of Canadians."}, {"path": "tedlium_18064.wav", "duration": 9.21, "text": "In the first half of 2018, we also experienced several major project wins principally in Asia, which we delivered upon in the third and fourth quarters."}, {"path": "tedlium_18065.wav", "duration": 9.21, "text": "laws and rules that encourage or force people to have benefits coverage. And so we are seeing -- again, this is not a dramatic drop in benefits participation,"}, {"path": "tedlium_18066.wav", "duration": 9.21, "text": "we have expanded a few additional locations based on the success of those centers. So all in good light relative to Service Alignment and"}, {"path": "tedlium_18067.wav", "duration": 9.21, "text": "Many of these new products we've added are recognized for making the Pro's job easier and lowering the risk for product installation issues."}, {"path": "tedlium_18068.wav", "duration": 9.21, "text": "The other main crop is rubber, also not doing very well because the price is still not up to a couple of years back."}, {"path": "tedlium_18069.wav", "duration": 9.21, "text": "and I think you've seen us do that over the last several years, and there is -- although the majority of the margin improvement this quarter is due to"}, {"path": "tedlium_18070.wav", "duration": 9.21, "text": "on a comparative basis as a percentage of revenue, I do think that, that is one point that you should take into consideration between the 2 companies. There is a difference,"}, {"path": "tedlium_18071.wav", "duration": 9.21, "text": "Supply Chain's earnings this quarter were also negatively impacted by higher planned IT and sales expense as we had expected coming into the quarter."}, {"path": "tedlium_18072.wav", "duration": 9.21, "text": "the versatility, the adaptability to call outside the boundaries of just procurement and call through the organization and sell our value prop"}, {"path": "tedlium_18073.wav", "duration": 9.21, "text": "supply and working with them and collaborating with them. So I think much more about changing the conversation. This is not an adversarial conversation."}, {"path": "tedlium_18074.wav", "duration": 9.21, "text": "and that we can move them closer to our Platinum Vision. So it's not an integration challenge, it's an opportunity. And it's one of the reasons why we're doing these deals."}, {"path": "tedlium_18075.wav", "duration": 9.21, "text": "We remain encouraged that our major customers are committed to multiyear capital spending initiatives, and we are confident in our strategies, the prospects for our company,"}, {"path": "tedlium_18076.wav", "duration": 9.21, "text": "We expect to continue to be a consolidator in our highly fragmented industry by making strategic acquisitions of well-managed metal service centers"}, {"path": "tedlium_18077.wav", "duration": 9.21, "text": "proactively to adjust some of the terms in the contracts to make them more commercial in a world where rebates no longer existed."}, {"path": "tedlium_18078.wav", "duration": 9.21, "text": "Nearly all of our business units established new annual service revenue records and we saw a very healthy rebound in our China operations."}, {"path": "tedlium_18079.wav", "duration": 9.21, "text": "I thought I'd start today by providing you with an update on the progress we have made with respect to some of the strategic priorities I laid out for you last quarter."}, {"path": "tedlium_18080.wav", "duration": 9.21, "text": "The increase in the total cost of coal sold was driven by higher production volumes as well as modest increases in unit cost."}, {"path": "tedlium_18081.wav", "duration": 9.21, "text": "We significantly exceeded our improved financial guidance for 2017 and ended the year in the strongest financial position in the company's history."}, {"path": "tedlium_18082.wav", "duration": 9.2099375, "text": "We continue to see improvement across our 3 primary digital metrics since we launched our strategy over 2 years ago."}, {"path": "tedlium_18083.wav", "duration": 9.2099375, "text": "A replay of the call will be available till December 6. We take no responsibility for inaccuracies that may appear in transcripts of this call by third parties."}, {"path": "tedlium_18084.wav", "duration": 9.1800625, "text": "In light of recent underperformance in the overall quantitive space and resultant headwinds, we are currently conducting a complete business review."}, {"path": "tedlium_18085.wav", "duration": 9.1800625, "text": "In an increasingly competitive environment, it's really important that we provide care, home care to our customers. And the home care sector is"}, {"path": "tedlium_18086.wav", "duration": 9.18, "text": "We anticipate that this may create a less pronounced seasonal step-up between the third and fourth quarter. But when evaluated as first half, second half,"}, {"path": "tedlium_18087.wav", "duration": 9.18, "text": "an expectation -- or a prior year of 15.2%. So again, we're more or less in line with where we thought we would be"}, {"path": "tedlium_18088.wav", "duration": 9.18, "text": "internal supply, we want it to be as efficient as it can be, making the right -- the best quality material that can be used within our business."}, {"path": "tedlium_18089.wav", "duration": 9.18, "text": "the whole supply chain system has to be worked on. So we have had a marginal dip, but if I had more vehicles, I possibly would have been able to sell."}, {"path": "tedlium_18090.wav", "duration": 9.18, "text": "and in the Paper and Industrial Converted Products segment, where the mix had a notable impact on the profit from the sale of corrugating medium."}, {"path": "tedlium_18091.wav", "duration": 9.18, "text": "is available on our website, along with an updated corporate presentation with summary information on the company and our financial and operating results."}, {"path": "tedlium_18092.wav", "duration": 9.18, "text": "The transformation of the business is on track, reflected by a strong improvement in MPS and improving revenue trend."}, {"path": "tedlium_18093.wav", "duration": 9.18, "text": "There are 3 things I want you to take away from this call. First, I'm particularly proud of the more than 8,000 Clorox people around the world"}, {"path": "tedlium_18094.wav", "duration": 9.18, "text": "How many of them actually get impacted by this regulation? That's one. And what is this concept of new trucks which is required"}, {"path": "tedlium_18095.wav", "duration": 9.18, "text": "but it's also a significant challenge for our team that they have to stay very focused on because when you're going through a transformation and adding this much resource to try to do it at pace,"}, {"path": "tedlium_18096.wav", "duration": 9.18, "text": "we plan to be completed by March 2017. The big value of that is a lot of our decisions are made without a lot of data and not up-to-date data."}, {"path": "tedlium_18097.wav", "duration": 9.18, "text": "That has obviously impacted the share price and while we're not happy with that, the market conditions also presented an opportunity to reset."}, {"path": "tedlium_18098.wav", "duration": 9.18, "text": "that are in front of us. Q1 was a quiet but steady quarter in terms of completed acquisitions and dispositions, but with much work completed on pending transactions."}, {"path": "tedlium_18099.wav", "duration": 9.18, "text": "Finally, energy sales were up due to the contribution from assets placed in service last year as well as some sales of renewable energy attributes."}, {"path": "tedlium_18100.wav", "duration": 9.18, "text": "In general, the demand drivers in federal are still there, as well as continued congressional support."}, {"path": "tedlium_18101.wav", "duration": 9.18, "text": "Sure. We did mention last quarter the expectation of a, I think we call it"}, {"path": "tedlium_18102.wav", "duration": 9.18, "text": "On February 7, we shared that new vision with our global employee community at an event broadcast from Alice Tully Hall in New York City."}, {"path": "tedlium_18103.wav", "duration": 9.18, "text": "grow? And I assume -- or should I assume that, that's a function of some of these new products that we've seen getting out into the field and starting to contribute?"}, {"path": "tedlium_18104.wav", "duration": 9.18, "text": "not out of the ordinary sort of spend this year. But some normal growth because that's what we've seen, over the past few years, is some normal growth."}, {"path": "tedlium_18105.wav", "duration": 9.18, "text": "And one of the reasons we don't talk about it as much is because it's not published in a way that allows you to see it quickly. You see"}, {"path": "tedlium_18106.wav", "duration": 9.18, "text": "contributing sort of their fair share, we were less interested in having them stay in the system. And all those things sort of go into this"}, {"path": "tedlium_18107.wav", "duration": 9.18, "text": "and ask about specific partnerships and how we can really invest in innovation for their future application. And so that increase"}, {"path": "tedlium_18108.wav", "duration": 9.18, "text": "that our MOS EBITDA margins are also now approaching our overall company average."}, {"path": "tedlium_18109.wav", "duration": 9.18, "text": "in order to drive our growth transformation. Additionally, we expect to continue paying a quarterly dividend and periodically repurchase common stock."}, {"path": "tedlium_18110.wav", "duration": 9.18, "text": "To be clear, the revised language still includes scheduled repayments of debt, but now excludes prepayments of debt."}, {"path": "tedlium_18111.wav", "duration": 9.18, "text": "We think this is a very scalable platform and it's established to test products within our own clinics in Germany."}, {"path": "tedlium_18112.wav", "duration": 9.18, "text": "I strongly believe Vance has the capability to lead the company into its next phase, and I will support him through the management transition."}, {"path": "tedlium_18113.wav", "duration": 9.18, "text": "to account for both the impact of second quarter utilization and also the impact, which we assumed that, that new mix"}, {"path": "tedlium_18114.wav", "duration": 9.18, "text": "to augment our existing technical capabilities, which will allow us to monetize our existing generic pipeline in a more timely manner."}, {"path": "tedlium_18115.wav", "duration": 9.18, "text": "The decrease in gross profit percent was primarily due to a lower percentage of sales associated with optical component solutions, which typically have higher margins."}, {"path": "tedlium_18116.wav", "duration": 9.18, "text": "approach, that will be obviously favorable to the company like ours, given the number of people that earn"}, {"path": "tedlium_18117.wav", "duration": 9.18, "text": "So the strategy doesn't change as a result that the non-verticals are also growing nicely. That doesn't put any difference"}, {"path": "tedlium_18118.wav", "duration": 9.18, "text": "all the assets that go through our core areas, we'll look at. We look at every one of them. We evaluate them. We bid on a few and we get even less."}, {"path": "tedlium_18119.wav", "duration": 9.18, "text": "so one of those key areas is going to be sort of the small business or light commercial, where the company's legacy products weren't really compatible with the needs of that marketplace."}, {"path": "tedlium_18120.wav", "duration": 9.18, "text": "Additionally, for those looking for an update on the Chevron portfolio, terms for selling and transitioning the portfolio have been agreed to."}, {"path": "tedlium_18121.wav", "duration": 9.18, "text": "the targets currently expecting versus what you are willing to pay currently? Will, it's an interesting time because as"}, {"path": "tedlium_18122.wav", "duration": 9.18, "text": "up to this point. When we look at -- maybe I'll put a little color on the value, I think that's probably important. When we look at these 20 new products,"}, {"path": "tedlium_18123.wav", "duration": 9.18, "text": "and we tend to focus on something that is geographically additive to our existing footprint when possible."}, {"path": "tedlium_18124.wav", "duration": 9.18, "text": "Now as usual, these initiatives come from all parts of the business, for example, rent savings at lease renewal is a pretty big part of that,"}, {"path": "tedlium_18125.wav", "duration": 9.18, "text": "Our product revenues declined versus a very strong prior year quarter on the back of reduced activity of our clients and continued low interest rates."}, {"path": "tedlium_18126.wav", "duration": 9.18, "text": "the new logos and we call that a pack. And we segregated the renewal processes with existing customers and we call those pods."}, {"path": "tedlium_18127.wav", "duration": 9.18, "text": "We caution that these forward-looking statements are not a guarantee of future events and that actual events may differ materially from those in these statements."}, {"path": "tedlium_18128.wav", "duration": 9.18, "text": "In addition, some of the company's remarks this morning contain non-GAAP financial measures. You can find reconciliations of those measures to the most comparable GAAP measures"}, {"path": "tedlium_18129.wav", "duration": 9.18, "text": "When we talk about future results or events, a number of factors could generate results that are materially different from our projections today."}, {"path": "tedlium_18130.wav", "duration": 9.18, "text": "associated with an improved mix of higher-margin revenue as well as investments in support of our strategic priorities."}, {"path": "tedlium_18131.wav", "duration": 9.18, "text": "the hard data that I get from the business and the voice of customer experiences that I have regularly,"}, {"path": "tedlium_18132.wav", "duration": 9.18, "text": "we maintain our monthly lease, the price per square meter, but we see some reduction on occupancy. This is mainly explained by"}, {"path": "tedlium_18133.wav", "duration": 9.18, "text": "from the end of January of 2016 to the end of May, May 20, of 2016. We're still working through the full effect of that."}, {"path": "tedlium_18134.wav", "duration": 9.18, "text": "So today, if you look at our network in the highly concentrated user areas"}, {"path": "tedlium_18135.wav", "duration": 9.18, "text": "Next, let's look at the factors behind the changes in sales and the operating income in each business segment."}, {"path": "tedlium_18136.wav", "duration": 9.18, "text": "But the translation to us means that more and more organizations are jumping into the fray and understanding the strategic importance of Privileged Account Security."}, {"path": "tedlium_18137.wav", "duration": 9.18, "text": "We've got some new team members in, almost across the board in spine, but also in other categories of our business that I think are setting a really strong strategy."}, {"path": "tedlium_18138.wav", "duration": 9.18, "text": "The company is in the process of filing the Form A with the Hawaii Department of Insurance in connection with our previously announced acquisition of Zephyr Insurance."}, {"path": "tedlium_18139.wav", "duration": 9.18, "text": "So we feel that collaboratively addressing the issues now will help to prevent inappropriate cost shifting to other customers in the future."}, {"path": "tedlium_18140.wav", "duration": 9.18, "text": "that's producing this. And so we feel pretty good about our capabilities in the market coming together and continued growth in that end market."}, {"path": "tedlium_18141.wav", "duration": 9.18, "text": "Now I'd like to turn the call over to Jim Lobdell, who will discuss our financial results for the third quarter and provide more detail around our energy deliveries and earnings guidance."}, {"path": "tedlium_18142.wav", "duration": 9.18, "text": "This gives us so much flexibility. It served us so well during the last downturn that we didn't have to issue equity or we didn't cut the dividend."}, {"path": "tedlium_18143.wav", "duration": 9.18, "text": "It's the one reason to get excited about a down cycle. We slow down and take a critical look at how we can improve every aspect of our business."}, {"path": "tedlium_18144.wav", "duration": 9.18, "text": "you guys kind of changing the sequencing to capture the higher metal prices that we've seen versus just kind of outperforming your original plan?"}, {"path": "tedlium_18145.wav", "duration": 9.18, "text": "Then we want to also grow, and that is capital consuming. And I mean we have been able to grow"}, {"path": "tedlium_18146.wav", "duration": 9.18, "text": "automated platform also in terms of delivery of those cloud services that goes more and more into hybrid cloud. And on the application space, this is the data science"}, {"path": "tedlium_18147.wav", "duration": 9.18, "text": "provide the replay number. Like to thank everybody for participating in our call. We're always here with any follow-up questions you may have."}, {"path": "tedlium_18148.wav", "duration": 9.18, "text": "The process of narrowing down candidates continues, and I am confident that the new leader of Myers Industries will be on the job by the time I retire at the end of the year."}, {"path": "tedlium_18149.wav", "duration": 9.18, "text": "Welcome, everyone, and thank you for joining us this morning. John will begin today's call with a discussion of our strategy, technology and market."}, {"path": "tedlium_18150.wav", "duration": 9.18, "text": "The economic -- the electronic content continues to grow aggressively on the back of the increased sales of battery electric vehicles."}, {"path": "tedlium_18151.wav", "duration": 9.18, "text": "Good morning. My name is Miranda and I will be your conference operator."}, {"path": "tedlium_18152.wav", "duration": 9.18, "text": "The new rules reinforce the ongoing efforts to modernize and streamline the enrollment process and the continued value of independent choice counseling,"}, {"path": "tedlium_18153.wav", "duration": 9.18, "text": "So I mean, by when do you think this pressurized price environment -- pricing environment will eventually come to an end? Because I wanted to pose a question, I mean,"}, {"path": "tedlium_18154.wav", "duration": 9.18, "text": "government will be reelected this year. And this has an impact on the appetite of our customers for new investments. In Turkey, we have a"}, {"path": "tedlium_18155.wav", "duration": 9.18, "text": "In the past, you were expecting about 30 million spindles that should have been more or less the normal average"}, {"path": "tedlium_18156.wav", "duration": 9.18, "text": "in China market, we experienced a deeper drop in the first half of the year. The second half of the year is still uncertain,"}, {"path": "tedlium_18157.wav", "duration": 9.18, "text": "Overall, our support from Chinese media companies and regulators stems from our business model of supporting bilateral content flow"}, {"path": "tedlium_18158.wav", "duration": 9.18, "text": "France outperformed its peer group on the top line and continued to benefit from its senior sales team, efficient operations,"}, {"path": "tedlium_18159.wav", "duration": 9.18, "text": "the performance of the businesses we bought that continued to perform according to plan and also our integration plans and the pushing out"}, {"path": "tedlium_18160.wav", "duration": 9.18, "text": "We currently expect to be in the targeted payout range by the end of 2016. So our current expectation is that we will grow the dividend"}, {"path": "tedlium_18161.wav", "duration": 9.18, "text": "The consensus seems to be that incremental cash will be retained and planned investments will be accelerated to take advantage of lower tax rates."}, {"path": "tedlium_18162.wav", "duration": 9.18, "text": "From our foundation of operating excellence, we continue to optimize our cost structure for the future while investing for growth in our specialty business."}, {"path": "tedlium_18163.wav", "duration": 9.18, "text": "We have to get a lot of learning down about validating or verifying identity and some of these income"}, {"path": "tedlium_18164.wav", "duration": 9.18, "text": "in the 10-K, but it looks like it moderates in '18 versus '17. I'm just wondering if there's any other kind of moving parts that you can make us aware of"}, {"path": "tedlium_18165.wav", "duration": 9.18, "text": "like that's the appropriate place for us to be. And of course, we're always contemplating whether we need to do more in the way of cuts."}, {"path": "tedlium_18166.wav", "duration": 9.18, "text": "hopefully that will be published some point in time over the coming month. But I don't have any clarity at this moment."}, {"path": "tedlium_18167.wav", "duration": 9.18, "text": "That's exactly correct, Chris. And when you look at, I mean, we're very pleased with the legislation obviously that provided a nice benefit to us from a"}, {"path": "tedlium_18168.wav", "duration": 9.18, "text": "For more information, please refer to the risk factors discussed in the documents we file from time to time with the SEC, including our most recently"}, {"path": "tedlium_18169.wav", "duration": 9.18, "text": "in the second half, and very little in terms of operating profit in the second half."}, {"path": "tedlium_18170.wav", "duration": 9.18, "text": "Also, as we are in both the cinema and real estate businesses, we must naturally balance our capital commitments between these 2 sectors"}, {"path": "tedlium_18171.wav", "duration": 9.18, "text": "the recognition of the name and the recognition that we're doing something special in that market has taken hold."}, {"path": "tedlium_18172.wav", "duration": 9.18, "text": "will play a big role in determining how quickly it is excess supply is able to be worked off when the market does recover."}, {"path": "tedlium_18173.wav", "duration": 9.18, "text": "These statements represent our predictions and expectations as to future events, but numerous risks and uncertainties could cause actual results to differ from those projected."}, {"path": "tedlium_18174.wav", "duration": 9.18, "text": "While the commercial markets may be slow in August, we will be working in August and working hard to build additional shareholder value and"}, {"path": "tedlium_18175.wav", "duration": 9.18, "text": "So another way to say that is that we will not be in a position to meet the full demand that we've identified"}, {"path": "tedlium_18176.wav", "duration": 9.18, "text": "However, activations improved during the quarter at a healthy rate on a sequential basis as a result of the effectiveness of our sales, marketing and promotional programs."}, {"path": "tedlium_18177.wav", "duration": 9.18, "text": "Our teams did an excellent job of flexing harvest plans so that we could maintain production and capitalize on pricing, which improved throughout the quarter."}, {"path": "tedlium_18178.wav", "duration": 9.18, "text": "You also talked about some of the other -- the plans for improved initiative in the last call. Can you give us a sense, in this particular quarter, what changes were made specifically, if any?"}, {"path": "tedlium_18179.wav", "duration": 9.18, "text": "Our marketing focus has evolved significantly, with each brand supported by a purpose-driven platform which is driving recruitment."}, {"path": "tedlium_18180.wav", "duration": 9.18, "text": "clarity to our users about who we are and who we are not. We are a home and living player, so we want to extend within the home universe."}, {"path": "tedlium_18181.wav", "duration": 9.18, "text": "I'd note that our preventive maintenance programs are designed to improve the overall life of the equipment on our ships and thereby shorten our time and cost in dry dock."}, {"path": "tedlium_18182.wav", "duration": 9.18, "text": "The majority of these funds were allocated towards exterior work and food and beverage enhancements at our Duane Street Hotel and the St. Gregory Hotel,"}, {"path": "tedlium_18183.wav", "duration": 9.18, "text": "one of our fundamental strengths as the WH Group has to be the arbitrage of meat around the world. We have to find the best market for that."}, {"path": "tedlium_18184.wav", "duration": 9.18, "text": "financial line item with the operating -- measuring operational capacity and making sure we'd make investments that we believe can earn an attractive return. So"}, {"path": "tedlium_18185.wav", "duration": 9.18, "text": "And the second question is related to the graphics. And we saw an acceleration of the decline in the second quarter"}, {"path": "tedlium_18186.wav", "duration": 9.18, "text": "Depending on the application, these devices are required to maintain their performance specifications for up to 25 years."}, {"path": "tedlium_18187.wav", "duration": 9.18, "text": "ample opportunity to show you examples during this call. The changes we've been implementing are fundamental in a number of ways."}, {"path": "tedlium_18188.wav", "duration": 9.18, "text": "We were also reworking a small selection of stores to ensure that they reflect the go-forward DNA of the brand and serve as a road map for all locations."}, {"path": "tedlium_18189.wav", "duration": 9.18, "text": "Our second quarter includes 31 days of Pinnacle's results. We remain excited about the opportunities presented by the combined portfolio."}, {"path": "tedlium_18190.wav", "duration": 9.18, "text": "whilst taking into consideration the need to fund growth that is underwritten by customers and that delivers new revenues to the business over the long term."}, {"path": "tedlium_18191.wav", "duration": 9.18, "text": "and its effect on capacity as well as consumer spending could affect whether we are on the high or lower end of that range."}, {"path": "tedlium_18192.wav", "duration": 9.18, "text": "In fact, our efforts to reinvent our supply chain and deploy advantage manufacturing lines of the future continued to drive margin benefits,"}, {"path": "tedlium_18193.wav", "duration": 9.18, "text": "and I was hoping you'd provide some color about the pricing environment in the second half of the year and kind of how much confidence your customers"}, {"path": "tedlium_18194.wav", "duration": 9.18, "text": "but mark -- the market moves up and down all the time. And that's actually the hallmark of being a value investor, and I think it's one of the things that sets us apart."}, {"path": "tedlium_18195.wav", "duration": 9.18, "text": "Our near-term vision is to continue to do what we have always done by continuing to build and operate great infrastructure in the best basins in the country."}, {"path": "tedlium_18196.wav", "duration": 9.18, "text": "on lumber and then the kind of cost allocation process that takes place as you incur essentially higher"}, {"path": "tedlium_18197.wav", "duration": 9.18, "text": "and how it can reduce the planning, deployment and operational complexity of microwave links, saving customers time and lowering their costs."}, {"path": "tedlium_18198.wav", "duration": 9.18, "text": "to improve our inventory management and even how we manage receivables and payables, fairly fundamental aspects of a business. So a"}, {"path": "tedlium_18199.wav", "duration": 9.18, "text": "We're seeing receptiveness on their side to contribute to those investments. So it has come up in our negotiations, but we're proactively doing it because we want to make sure,"}, {"path": "tedlium_18200.wav", "duration": 9.18, "text": "We expect to close a transaction for a major part of the business by the end of the year. I'll now turn the call over to Stephanie to cover the financials in more detail."}, {"path": "tedlium_18201.wav", "duration": 9.18, "text": "We have work in the West Coast, in California and also in Washington State."}, {"path": "tedlium_18202.wav", "duration": 9.18, "text": "Thank you, dear ladies and gentlemen. Good afternoon as well as good evening to Asia, and good morning to the Americas."}, {"path": "tedlium_18203.wav", "duration": 9.18, "text": "We are very happy. Depending on the particular pieces of technology, we would see ourselves to be at the leading edge"}, {"path": "tedlium_18204.wav", "duration": 9.18, "text": "Institutional outsourced CIOs or Chief Investment Officers are acting on behalf of an institution on a discretionary basis."}, {"path": "tedlium_18205.wav", "duration": 9.18, "text": "along with an existing reference plant design rather than proceeding automatically with the client's standards and specifications as we would have historically."}, {"path": "tedlium_18206.wav", "duration": 9.18, "text": "could you just walk through what happens if you don't get the sale closed by the end of the year? How do you manage that process?"}, {"path": "tedlium_18207.wav", "duration": 9.18, "text": "Not only does this allow us to serve more advertisers, it also helps us become a one-stop shop for those that continue to invest in our platform."}, {"path": "tedlium_18208.wav", "duration": 9.18, "text": "and this is where we can add most of the value with meaningful development because we have great people, great team and the partners see that."}, {"path": "tedlium_18209.wav", "duration": 9.18, "text": "including negative interest rates, confounded forecasters. While it's impossible to know what the future will bring in any of these regards,"}, {"path": "tedlium_18210.wav", "duration": 9.18, "text": "constant over time? Or is that something that trends in one direction or another? Yes. I think it generally is on average 60% over time."}, {"path": "tedlium_18211.wav", "duration": 9.18, "text": "Our business model of focusing on smaller orders that require quick turnaround along with providing high levels of value-added processing"}, {"path": "tedlium_18212.wav", "duration": 9.18, "text": "during the second quarter of this year. So as you can see, we have a busy execution year ahead of us with numerous pruritus trials already ongoing"}, {"path": "tedlium_18213.wav", "duration": 9.18, "text": "going to mitigate a lot of the pressure that we had in the first quarter and the second. Not fully. So it will improve first quarter to second quarter. With the idea with all of the actions in place,"}, {"path": "tedlium_18214.wav", "duration": 9.18, "text": "The sustained rebound in oil prices is helping to ease budget constraints. It even released some large infrastructure projects."}, {"path": "tedlium_18215.wav", "duration": 9.18, "text": "a reduction from the 8-year period we're currently in for RIIO-1. While we certainly prefer the stability and benefits to customers"}, {"path": "tedlium_18216.wav", "duration": 9.18, "text": "Our goal is to revolutionize the way mastitis is treated by making earlier treatment of subclinical infections economically feasible"}, {"path": "tedlium_18217.wav", "duration": 9.18, "text": "We have a safe and strong team in place, committed to our vision to make the world safer and secure the places where people thrive."}, {"path": "tedlium_18218.wav", "duration": 9.15, "text": "the inadequacy of the current standard of care. People simply cannot stay on standard of care chronically because it's too toxic, frankly,"}, {"path": "tedlium_18219.wav", "duration": 9.15, "text": "In addition to operational excellence, we also are focusing on continually improving our capital structure,"}, {"path": "tedlium_18220.wav", "duration": 9.15, "text": "However, in 2019, we anticipate repurchasing enough stock to satisfy our commitment to reduce our share count each year."}, {"path": "tedlium_18221.wav", "duration": 9.15, "text": "we closed the acquisitions of Pavilion and Summit in the fourth quarter. These transactions add to our capabilities and scale in investments."}, {"path": "tedlium_18222.wav", "duration": 9.15, "text": "issues that the owners are feeling that are going to continue to take some time. So yes, we are seeing some people leave jobs and get moved to other jobs"}, {"path": "tedlium_18223.wav", "duration": 9.15, "text": "These achievements speak to our commitment and dedication to protecting our employees, our customers, the environment and the communities in which we operate."}, {"path": "tedlium_18224.wav", "duration": 9.15, "text": "a significant part of it is related to the margin improvement in operations. So it's increasingly more apparent"}, {"path": "tedlium_18225.wav", "duration": 9.15, "text": "the opportunities. But I do believe that the emerging markets will provide growth going forward and remain an important opportunity for us as we move forward."}, {"path": "tedlium_18226.wav", "duration": 9.15, "text": "Yes. If there are no further questions, I would like to close this session. Thank you very much for your contribution."}, {"path": "tedlium_18227.wav", "duration": 9.15, "text": "and with a clear vision and strategy to serve and educate our students and provide them with the necessary support and tools as they work towards graduation."}, {"path": "tedlium_18228.wav", "duration": 9.15, "text": "construction financing, which points to a tapering at some point in the near term. As I commented, we felt that the"}, {"path": "tedlium_18229.wav", "duration": 9.15, "text": "Our new data fabric will conceptually be one repository as opposed to the many silo-ed databases that we have today."}, {"path": "tedlium_18230.wav", "duration": 9.15, "text": "Thank you, Michael. As both Michael Collins and Michael Schrum highlighted, Butterfield continues to generate strong profits and deliver on our promises to shareholders."}, {"path": "tedlium_18231.wav", "duration": 9.15, "text": "we expect that demand recovery in the fourth quarter will be subject to severe conditions as well, so we have revised our forecast."}, {"path": "tedlium_18232.wav", "duration": 9.15, "text": "especially the growth in the equity markets over the last 3 months has really helped them to fuel our growth."}, {"path": "tedlium_18233.wav", "duration": 9.15, "text": "from discontinued operations impact and as well the higher number of shares through the capital increase end of last year."}, {"path": "tedlium_18234.wav", "duration": 9.15, "text": "Those of you who have been on these calls for some time will note that many new names are populating the sales list, and we believe this to be a positive development."}, {"path": "tedlium_18235.wav", "duration": 9.15, "text": "Investment performance across the complex continue to gradually improve, including a notable improvement in several of our largest retail products."}, {"path": "tedlium_18236.wav", "duration": 9.15, "text": "we have in the recent past pruned expenses in a couple of cases reasonably aggressively on products where we think we have a real opportunity"}, {"path": "tedlium_18237.wav", "duration": 9.15, "text": "The purpose of this call is to provide investors with some further details regarding the company's financial results as well as to provide a general update on the company's progress."}, {"path": "tedlium_18238.wav", "duration": 9.15, "text": "Building on this very encouraging start to 2018 and to create the kind of future impact we want Weight Watchers to have,"}, {"path": "tedlium_18239.wav", "duration": 9.15, "text": "And we'll create new ways for those who haven't tried Weight Watchers to experience our community. WW Cruise is a great example."}, {"path": "tedlium_18240.wav", "duration": 9.15, "text": "party that's going to actually do the acquisition sourcing, so line up the transactions then they're going to manage the portfolio."}, {"path": "tedlium_18241.wav", "duration": 9.15, "text": "whereas the performance earnings is more volatile. But at the same time, the uses of that capital or retained earnings would also be more volatile."}, {"path": "tedlium_18242.wav", "duration": 9.15, "text": "And lastly, there's been a notable uptick in the number of large investors that are looking to develop significant strategic mandates across our platform."}, {"path": "tedlium_18243.wav", "duration": 9.15, "text": "So bottom line is we did cut back in both of those entities, not as much as we did in the gas panel part"}, {"path": "tedlium_18244.wav", "duration": 9.15, "text": "are supporting operations and allowing people to reach out further, go further to get fiber supply and pay more. And we're seeing that in some of the extreme bidding behavior"}, {"path": "tedlium_18245.wav", "duration": 9.15, "text": "As I said, this is fully screened and the whole timing of that trial is according to planning."}, {"path": "tedlium_18246.wav", "duration": 9.15, "text": "Well, I think that the -- our experience in developing the G1 was that it took a very significant amount of investment"}, {"path": "tedlium_18247.wav", "duration": 9.15, "text": "As I mentioned, it's important to take into consideration various product trends we saw in our key end markets when looking at the total revenue line."}, {"path": "tedlium_18248.wav", "duration": 9.15, "text": "really understand the pulse of local markets. This is different from China. In China,"}, {"path": "tedlium_18249.wav", "duration": 9.15, "text": "or office facility who is in need of certain intercom systems and is looking for a certain functionality which can be found in that particular new release,"}, {"path": "tedlium_18250.wav", "duration": 9.15, "text": "inside of the 4 businesses that we're already in. And so I'm not trying to hedge it but I think it's just -- it's a pacing question. It's how fast"}, {"path": "tedlium_18251.wav", "duration": 9.15, "text": "Although this does not represent a run rate for the business, it is an important indication that our ongoing focus on cost savings and efficiencies is getting traction."}, {"path": "tedlium_18252.wav", "duration": 9.15, "text": "Well, the outlook is favorable, as I said. And we also said that the opinion from our"}, {"path": "tedlium_18253.wav", "duration": 9.15, "text": "where you have, where people have received their bonuses from their prior firm and are -- so we know who's really looking and what's available and if it fits."}, {"path": "tedlium_18254.wav", "duration": 9.15, "text": "and the other 3 reporting segments each posting about 10% organic growth. In short, all reporting segments in all major geographies continued to perform."}, {"path": "tedlium_18255.wav", "duration": 9.15, "text": "This quarter, we launched the first flavor expansion of our top-selling personalized protein powder in a flavor called mixed fruit in Mexico."}, {"path": "tedlium_18256.wav", "duration": 9.15, "text": "which are implemented for the customers already in Q4, and which we will work further to the market in"}, {"path": "tedlium_18257.wav", "duration": 9.15, "text": "the synergy realization related to the Lorillard transaction and the company's continued focus on operating efficiencies and productivity improvement."}, {"path": "tedlium_18258.wav", "duration": 9.15, "text": "As a reminder, we have no CRE construction loans in Houston and only 92 in total CRE land and construction in the entire portfolio,"}, {"path": "tedlium_18259.wav", "duration": 9.15, "text": "that we knew was coming in markets like Grand Forks and Bismarck, but we thought we could outrun it. We're getting caught near term in a little bit of that supply pressure."}, {"path": "tedlium_18260.wav", "duration": 9.15, "text": "From a capital perspective, yes, it did have some constraints on capital, but we were still so far above those limits that that's not what was"}, {"path": "tedlium_18261.wav", "duration": 9.15, "text": "We are particularly pleased with these results because they came in a market environment which, early in the quarter, was anxious and unsettled."}, {"path": "tedlium_18262.wav", "duration": 9.15, "text": "We are designing further improvements to our direct patterning equipment that will provide, will improve production yields and"}, {"path": "tedlium_18263.wav", "duration": 9.15, "text": "We've been working closely together for decades, and we expect that relationship to help with the seamless transition and integration."}, {"path": "tedlium_18264.wav", "duration": 9.15, "text": "position it in a very important segment of the cat population and show what we hope is a good outcome. There is a published pilot study in cats,"}, {"path": "tedlium_18265.wav", "duration": 9.15, "text": "We believe our continued ability to generate these incremental earnings from strong investment performance further distinguishes us from other BDCs in the marketplace."}, {"path": "tedlium_18266.wav", "duration": 9.15, "text": "the logical conclusion would be to go higher in the capital structure. But maybe it's a cause and effect, where everyone's going higher in the capital structure, and that's what's screwing everything up. I just wondered if you could,"}, {"path": "tedlium_18267.wav", "duration": 9.15, "text": "while maintaining the integrity of our loan structures and documentations through our investment process. This is not our first time managing through these types of markets."}, {"path": "tedlium_18268.wav", "duration": 9.15, "text": "and finally, support for additional clinical and economic validation by global region. I'll now turn the call over to Marshall, who will review financial highlights."}, {"path": "tedlium_18269.wav", "duration": 9.15, "text": "And it's also visible -- beginning to be visible in some areas, so as the last couple of months, as I'm sure you're aware, we've had a minor turn in the value growth,"}, {"path": "tedlium_18270.wav", "duration": 9.15, "text": "more than half of customer care interactions and 26% of commercial transactions were done through digital channels, together with"}, {"path": "tedlium_18271.wav", "duration": 9.15, "text": "In terms of the merger, this past quarter we achieved several significant milestones. Most importantly, as we announced last month,"}, {"path": "tedlium_18272.wav", "duration": 9.15, "text": "if the market is good enough, you could pretty much run it all the time on Siding, which I know that's not realistic day 1, but that's physically possible, right?"}, {"path": "tedlium_18273.wav", "duration": 9.15, "text": "In addition, our Tahoe resort benefited from dramatically better conditions throughout the ski season and achieved record revenue levels in all key business lines."}, {"path": "tedlium_18274.wav", "duration": 9.15, "text": "At EagleBank, we are more focused on growth in earnings and earnings per share than in size or growth rate of our balance sheet."}, {"path": "tedlium_18275.wav", "duration": 9.15, "text": "In terms of -- and I also think that the sense is that by the 3 major players continuing"}, {"path": "tedlium_18276.wav", "duration": 9.15, "text": "the fundamental thing is you can get a lot more data on your wells, if you're willing to spend the money to get the data, and that will inform you a lot about the completion design."}, {"path": "tedlium_18277.wav", "duration": 9.15, "text": "Our innovation agenda in each of food and beverage, digital and store design is being informed by each of these trends,"}, {"path": "tedlium_18278.wav", "duration": 9.15, "text": "as we invest in the customer acquisition. It should be noted that this ratio is calculated only including current product at current price level."}, {"path": "tedlium_18279.wav", "duration": 9.15, "text": "Moving to profitability. On an adjusted basis, we sustained our EBITDA and EBITDA margin compared with last year."}, {"path": "tedlium_18280.wav", "duration": 9.15, "text": "Our strategies have continued to work. We believe that our focus on delivering high-quality care and service, growth,"}, {"path": "tedlium_18281.wav", "duration": 9.15, "text": "We do believe that, that's a direct function, particularly in the rosin chain of overcapacity in the hydrocarbon space which we've talked about at great length."}, {"path": "tedlium_18282.wav", "duration": 9.15, "text": "we've seen that again here for the first 6 months of -- with California. I mean, you could pretty much say minimum wage went into effect at this point in time,"}, {"path": "tedlium_18283.wav", "duration": 9.15, "text": "based on our ability to consistently deliver innovations and transform our business to deliver the best experiences for our members and affiliates."}, {"path": "tedlium_18284.wav", "duration": 9.15, "text": "The company disclaims any obligations to update any forward-looking statement as a result of developments occurring after the date of this conference call."}, {"path": "tedlium_18285.wav", "duration": 9.15, "text": "We closed the acquisition of Great Northern Midstream in January and expect to offer it to TLLP for acquisition in the second half of this year."}, {"path": "tedlium_18286.wav", "duration": 9.15, "text": "that the second quarter stand-alone is a quarter of net investments in working capital as a result of the seasonality of the businesses, especially"}, {"path": "tedlium_18287.wav", "duration": 9.15, "text": "the applications in market segments that were truly what we would define as being glass coating-related."}, {"path": "tedlium_18288.wav", "duration": 9.15, "text": "to show that we're starting to differentiate ourselves from the other producers. You have producers -- most of our competitors, as you know, are privately held"}, {"path": "tedlium_18289.wav", "duration": 9.15, "text": "some offers that we see that we're never sure if they are temporary or permanent. But overall, we had seen some"}, {"path": "tedlium_18290.wav", "duration": 9.15, "text": "At the same time, a growing number of our existing Mobility customers are bundling their wireless with our video and our broadband services."}, {"path": "tedlium_18291.wav", "duration": 9.15, "text": "As I always do during the month of December, I had a chance to visit 4 different countries on a trip that I plan every year with senior members of our buying and operations team."}, {"path": "tedlium_18292.wav", "duration": 9.15, "text": "I'm very encouraged by the progress that we've made. And what I would emphasize along those lines is"}, {"path": "tedlium_18293.wav", "duration": 9.15, "text": "We are on track to turn positive from an adjusted EBITDA standpoint as well as free cash flow standpoint in the second half of the year"}, {"path": "tedlium_18294.wav", "duration": 9.15, "text": "and we'll keep our eye on it and the team will be calling management every couple of quarters until it feels like perhaps they've hit some of the more critical milestones. And so"}, {"path": "tedlium_18295.wav", "duration": 9.15, "text": "In addition to being lower cost, these products strengthen multiproduct relationships by supplying clients with the tools they need to manage their finances."}, {"path": "tedlium_18296.wav", "duration": 9.15, "text": "the balance of factors we consider in the outlook for net interest margin supports our expectation for incremental improvement in this key metric over the near term."}, {"path": "tedlium_18297.wav", "duration": 9.15, "text": "And you've got -- you're lapping an extra week in your fiscal fourth quarter. With the Jennie-O reductions that you have outlined"}, {"path": "tedlium_18298.wav", "duration": 9.15, "text": "Total take rate in Q4 was flat sequentially and down 20 basis points from the prior year, primarily as a result of the receivable sale."}, {"path": "tedlium_18299.wav", "duration": 9.15, "text": "of ordering these vessels when the yards are on their knees, because other shipping segments are really struggling and have been doing so for a number of years."}, {"path": "tedlium_18300.wav", "duration": 9.15, "text": "And that exchange had about a 30 basis point impact. And obviously, exchange rates are going to move around so it's difficult to call how that is in the future. So if you back those out,"}, {"path": "tedlium_18301.wav", "duration": 9.15, "text": "Please note that statements made in this conference call and in the accompanying presentation materials regarding American Public Education or its subsidiaries"}, {"path": "tedlium_18302.wav", "duration": 9.15, "text": "We had many discrete items that significantly impacted and reduced our income tax rate during the quarter, including a lower taxable gain on disposition,"}, {"path": "tedlium_18303.wav", "duration": 9.15, "text": "Gordon did mention taxes. Really, what that's all about is the timing of deductions and refunds versus payments."}, {"path": "tedlium_18304.wav", "duration": 9.15, "text": "This project will connect the Viking Gas Transmission Company pipeline near Felton, Minnesota to our existing pipeline near Mapleton, North Dakota,"}, {"path": "tedlium_18305.wav", "duration": 9.15, "text": "that certainly gives us some confidence. But it's also supplemented by the broader data points that we see outside, right, you see some competitors of ours"}, {"path": "tedlium_18306.wav", "duration": 9.15, "text": "Our lodging results for the first -- for the fiscal quarter were also very encouraging, with both occupancy and rate increases compared to the prior year."}, {"path": "tedlium_18307.wav", "duration": 9.15, "text": "And finally, we are proactively reducing specialty project activity within Industrial's heavy lifting business to improve long-term profitability."}, {"path": "tedlium_18308.wav", "duration": 9.15, "text": "for the kind of projects you're pursuing for the short-cycle time? And is it something that you feel you'll be able to manage effectively?"}, {"path": "tedlium_18309.wav", "duration": 9.15, "text": "and reported growth also reflects a negative translation impact of 2%, coming from changes in foreign currency exchange rates."}, {"path": "tedlium_18310.wav", "duration": 9.15, "text": "Foreign exchange remains front of mind. And on Page 13, we pulled together some numbers to help you understand our current pro forma FX exposures,"}, {"path": "tedlium_18311.wav", "duration": 9.15, "text": "Our innovations are going faster to market, and we have steadily increased the level of reinvestment of savings behind our brands."}, {"path": "tedlium_18312.wav", "duration": 9.15, "text": "As a result, we came into 2015 with a solid financial position and clear priorities underscored by cost and capital discipline."}, {"path": "tedlium_18313.wav", "duration": 9.15, "text": "I think the impact will be seen from the weakening of our competitor will probably outweigh the impact we see on the weakening of the market,"}, {"path": "tedlium_18314.wav", "duration": 9.15, "text": "and utilize some of our experiences from Papua New Guinea into Alaska to work with the communities on some of their social issues."}, {"path": "tedlium_18315.wav", "duration": 9.15, "text": "on the Cano Limon and Bicentenario pipelines will help normalize the margins for Frontera to be in line with those of our peers"}, {"path": "tedlium_18316.wav", "duration": 9.15, "text": "what I said makes sense for the next 2 years. And along the same line, I understand that you want to maintain more stable margins, but"}, {"path": "tedlium_18317.wav", "duration": 9.15, "text": "some real weakness that we experienced in the first half of the year, so some uncertainty in the second half and that's really those factors combined to us reducing"}, {"path": "tedlium_18318.wav", "duration": 9.15, "text": "Given that our business is cyclical, we believe it is appropriate to leave a larger portion of our debt floating as rates generally tend to follow a cyclical trend. So"}, {"path": "tedlium_18319.wav", "duration": 9.15, "text": "Secondly, the employment numbers are getting better. Wages are improving, housing data points are improving, and all 4 of these positive data points"}, {"path": "tedlium_18320.wav", "duration": 9.15, "text": "Acquisitions provide a variable income stream, supplementing the stable spread from our lending business, with sometimes outsized returns as occurred this quarter."}, {"path": "tedlium_18321.wav", "duration": 9.15, "text": "it would be appropriate for Compugen to have a new chairperson on board to guide the next chapter of our corporate growth."}, {"path": "tedlium_18322.wav", "duration": 9.15, "text": "healthy economy, especially with foreigners coming back into the gateway cities, hotels are doing much better now than they were doing before."}, {"path": "tedlium_18323.wav", "duration": 9.15, "text": "So I'll finish up. Hitting a bit on the targets and ambitions we have over the medium-term. So"}, {"path": "tedlium_18324.wav", "duration": 9.15, "text": "However, that does not that mean that we do not see the opportunity for inorganic growth, we do, which is one of the reasons we have maintained a strong balance sheet."}, {"path": "tedlium_18325.wav", "duration": 9.15, "text": "We're pleased with the way our bonds traded during the last episode of market volatility and remain focused on making progress towards achieving investment-grade credit ratings."}, {"path": "tedlium_18326.wav", "duration": 9.15, "text": "This summer season has been one of tragedy and great loss for a number of citizens of British Columbia. And Horizon North has been providing support in communities where we're active."}, {"path": "tedlium_18327.wav", "duration": 9.15, "text": "we now have a balance sheet that gives us the capacity for acquisition and to take advantage of opportunities as they arise in the marketplace."}, {"path": "tedlium_18328.wav", "duration": 9.15, "text": "But I think the BioFlo story is strong, and the data is there. And I think customers get it. It is a harder environment to ask for a premium product when you're asking someone to take the price up."}, {"path": "tedlium_18329.wav", "duration": 9.15, "text": "Well, first off, the general innovation footprint that we have always has us looking at modern and innovation"}, {"path": "tedlium_18330.wav", "duration": 9.15, "text": "too far out of balance and we're achieving our profitability goals. Now as we just discussed,"}, {"path": "tedlium_18331.wav", "duration": 9.15, "text": "Our current guidance includes expenses related to certain projects that were originally scheduled for the second quarter that have been deferred to later in the year."}, {"path": "tedlium_18332.wav", "duration": 9.15, "text": "These hunters are beginning to hit their stride, and we are seeing a robust new account funnel that continues to build each month."}, {"path": "tedlium_18333.wav", "duration": 9.15, "text": "including significant rain throughout California and cold and wintry weather with snow and ice in areas such as the Pacific Northwest,"}, {"path": "tedlium_18334.wav", "duration": 9.15, "text": "We are told that Gray was selected to join this first-ever dinner of its kind at the White House because of our company's commitment to local news."}, {"path": "tedlium_18335.wav", "duration": 9.15, "text": "a bunch of deals that repriced on January 1, we have -- we don't believe in set deadlines, and we will continue to grant extensions if we think the conversations are going in the right way"}, {"path": "tedlium_18336.wav", "duration": 9.15, "text": "can you guys tell me what 2017 adjusted EBITDA was on a pro forma basis had you had those acquisitions in there since the beginning of the year?"}, {"path": "tedlium_18337.wav", "duration": 9.15, "text": "we had inherited and didn't really match up with the way that you've heard Jim and I and Brian and Mark talk about the business over time. If you think back to Investor Day last year,"}, {"path": "tedlium_18338.wav", "duration": 9.15, "text": "still with a tug-of-war happening between the different regions of the world. So this month will be decisive."}, {"path": "tedlium_18339.wav", "duration": 9.15, "text": "rather than the old system, where they had to retake the whole exam. And so we're seeing the positive side of that and then a retake process is a little easier than it used to be."}, {"path": "tedlium_18340.wav", "duration": 9.15, "text": "for the macro backdrop. I think that the reality of what is happening is that there is an even"}, {"path": "tedlium_18341.wav", "duration": 9.15, "text": "To that end, we've identified a number of initiatives to improve customer engagement, including raising brand awareness and refining our technology."}, {"path": "tedlium_18342.wav", "duration": 9.15, "text": "And on our annualized run rate, we need to get this Technology sales process finished, our debt paid down. And then I think very fortunately,"}, {"path": "tedlium_18343.wav", "duration": 9.15, "text": "margin improvement because it reduces the number of people we need to service x number of clients. And so it's really a productivity enhancement"}, {"path": "tedlium_18344.wav", "duration": 9.15, "text": "So you can think of it as an opportunity to improve our operating leverage. There'll be some incremental bottom line impact in the short term."}, {"path": "tedlium_18345.wav", "duration": 9.15, "text": "whether as a result of new information, future events or otherwise. Except as required by law, we expressly disclaim any obligation"}, {"path": "tedlium_18346.wav", "duration": 9.15, "text": "Starting with our commercial organization. We recently expanded our ARISTADA commercial field and hospital organization by approximately 60 sales reps."}, {"path": "tedlium_18347.wav", "duration": 9.15, "text": "or achievements expressed or implied in these forward-looking statements. Although we believe that the expectations reflected in these forward-looking statements and forecasts are reasonable,"}, {"path": "tedlium_18348.wav", "duration": 9.15, "text": "We continue to increase our market share by providing high levels of customer service as well as investing in our people and our businesses."}, {"path": "tedlium_18349.wav", "duration": 9.15, "text": "and making sure that, from a pricing standpoint, we're staying disciplined with the projects that we're taking on. And so that said, we have seen significant improvement"}, {"path": "tedlium_18350.wav", "duration": 9.15, "text": "we have the most scale and we are the most capable. In short, ASE will be part of every solution. So"}, {"path": "tedlium_18351.wav", "duration": 9.1499375, "text": "Overall, we delivered an exceptional fourth quarter with strong trailer shipments, builds and revenue which translated into increased profitability"}, {"path": "tedlium_18352.wav", "duration": 9.1200625, "text": "Beyond that anchor investment, remaining CapEx comprises a range of smaller elements that can be flexed and prioritized to business needs."}, {"path": "tedlium_18353.wav", "duration": 9.1200625, "text": "After Liza-4, the rig will drill a delineation well at Payara that will also test a deeper exploration prospect."}, {"path": "tedlium_18354.wav", "duration": 9.12, "text": "The market continue to be very active. We have a strong pipeline, and we have what it take to continue the momentum in the region."}, {"path": "tedlium_18355.wav", "duration": 9.12, "text": "and we formed a strategic partnership with Silicon Valley-based Plug and Play, the world's largest technology innovation accelerator platform."}, {"path": "tedlium_18356.wav", "duration": 9.12, "text": "as well. When you accelerate activity, you're going to have to shut in your immediately offset wells. So we're going to see a little bit of an impact for that in the second half of the year."}, {"path": "tedlium_18357.wav", "duration": 9.12, "text": "and the progress we're making in our newer technology areas of data analytics and IoT such as our messaging monetization service and Secure Global Access,"}, {"path": "tedlium_18358.wav", "duration": 9.12, "text": "The Syniverse and Mavenir partnerships bring to market a simple global connected platform that operators can use to enable messaging for enterprise customers."}, {"path": "tedlium_18359.wav", "duration": 9.12, "text": "We spent the last years developing a portfolio of disruptive products and technologies to service these targeted areas of secular growth."}, {"path": "tedlium_18360.wav", "duration": 9.12, "text": "again continue to evaluate how we allocate capital in the current environment, particularly given our recent performance and our projected outlook."}, {"path": "tedlium_18361.wav", "duration": 9.12, "text": "Neptune carved out from our French energy conglomerate producing oil and gas assets, dispersed throughout the North Sea, North Africa and Southeast Asia,"}, {"path": "tedlium_18362.wav", "duration": 9.12, "text": "Under a more traditional definition of bookings, which would include any up-sell or expansion commitments regardless of whether they were incremental to run rate revenue,"}, {"path": "tedlium_18363.wav", "duration": 9.12, "text": "We still are conducting a search and expect to complete shortly a search for a CFO and a Chief Accounting Officer."}, {"path": "tedlium_18364.wav", "duration": 9.12, "text": "Please note that this call contains forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from management's current expectations."}, {"path": "tedlium_18365.wav", "duration": 9.12, "text": "Although revenue fell for the third quarter, we have been able to maintain a high level of revenues, the second highest to date."}, {"path": "tedlium_18366.wav", "duration": 9.12, "text": "It's a good question that I don't have the specific answer for, but I know that we have plans to drill a disposal well."}, {"path": "tedlium_18367.wav", "duration": 9.12, "text": "and we review those every month in ALCO and then periodically look at how we can bring those more in line with our standard pricing over time."}, {"path": "tedlium_18368.wav", "duration": 9.12, "text": "In addition, the prospect of adding additional spending on our domestic infrastructure bodes very well for Reliance."}, {"path": "tedlium_18369.wav", "duration": 9.12, "text": "In fact, a number of our luxury and upper-upscale pipeline rooms exceed that of our next 3 largest global competitors combined."}, {"path": "tedlium_18370.wav", "duration": 9.12, "text": "As AOI was flat in the quarter because of the natural disaster impact we just mentioned, the increase was driven by lower interest and taxes."}, {"path": "tedlium_18371.wav", "duration": 9.12, "text": "Due to the unexpected Medicare change and the fact that we did not have existing contract positions with our third-party pay model customers,"}, {"path": "tedlium_18372.wav", "duration": 9.12, "text": "That means that we are going out of commodity products, standardized profiles with low margins into more sophisticated products where we"}, {"path": "tedlium_18373.wav", "duration": 9.12, "text": "and getting full. And we're the only guys that are skinny when they bring out the hot food. I mean, it may be that we've got to be that patient, but"}, {"path": "tedlium_18374.wav", "duration": 9.12, "text": "And then come the first quarter of next year, after more clients have implemented, the measurement capability will begin syndicated reporting sometime"}, {"path": "tedlium_18375.wav", "duration": 9.12, "text": "When we talk about Total Audience Measurement, the most common question we get is, how and when does total audience get adopted as the new currency."}, {"path": "tedlium_18376.wav", "duration": 9.12, "text": "was because the Marketplace performed very well in Texas in the quarter. We're not going to see continued"}, {"path": "tedlium_18377.wav", "duration": 9.12, "text": "to become one of the main innovators, accelerators and facilitators of this development in Germany and beyond."}, {"path": "tedlium_18378.wav", "duration": 9.12, "text": "The most positive part of the past few weeks was holding our Investor Days in Toronto and New York, where we issued our new 5-year capital plan"}, {"path": "tedlium_18379.wav", "duration": 9.12, "text": "and gentlemen, the expectations for the growth of the world economy remained generally positive since we last spoke in mid-August."}, {"path": "tedlium_18380.wav", "duration": 9.12, "text": "While collections on our insurance-related receivables drove a portion of this, we continued to see good progress on the working capital front."}, {"path": "tedlium_18381.wav", "duration": 9.12, "text": "All right. The next question is, how are the certification programs moving forward, and what has been the effect of the NEBS certification?"}, {"path": "tedlium_18382.wav", "duration": 9.12, "text": "for the cause. I think that is a dangerous method. To address your questions,"}, {"path": "tedlium_18383.wav", "duration": 9.12, "text": "We can, for instance, buy a finished building that we then integrate into our perimeter. So we have a very clear vision of the physical"}, {"path": "tedlium_18384.wav", "duration": 9.12, "text": "very warm welcome here in the Experience Center in Amsterdam for the presentation of our first half year results, and also a very special"}, {"path": "tedlium_18385.wav", "duration": 9.12, "text": "and can now reasonably strive to use our platform to enhance our investment and operating returns."}, {"path": "tedlium_18386.wav", "duration": 9.12, "text": "Going forward, we expect cost of service to increase at a modest pace in relation to revenue growth and to continue to fall as a percentage of revenue."}, {"path": "tedlium_18387.wav", "duration": 9.12, "text": "This resulted in weaker trends in our Distribution segment, partially offset by strong margin performance in our Aerospace business."}, {"path": "tedlium_18388.wav", "duration": 9.12, "text": "Now our key operating priorities for Payments this year are focused on solutions that provide for an enhanced experience for gaming patrons,"}, {"path": "tedlium_18389.wav", "duration": 9.12, "text": "experiences. So, look, we're working through them. We feel confident in the businesses and the brands that serve these markets are highly important to the markets."}, {"path": "tedlium_18390.wav", "duration": 9.12, "text": "and you also are increasingly big in C-stores, both of which almost everything trades at a higher multiple than you guys seem to trade on an EBITDA basis."}, {"path": "tedlium_18391.wav", "duration": 9.12, "text": "Thank you, appreciate you joining us this morning, and we look forward to sharing with you the results of our operations in the first quarter in April. So thanks very much."}, {"path": "tedlium_18392.wav", "duration": 9.12, "text": "by category type, but I can assure you at least that we had growth, of course, in the absolute number the quantum of number of system placements as well as growth in both categories"}, {"path": "tedlium_18393.wav", "duration": 9.12, "text": "Finally, while we've been very effective adjusting to the current environment, we realize we must continue to improve our operating structure."}, {"path": "tedlium_18394.wav", "duration": 9.12, "text": "is very high. It's stronger acquisition currency. How do you think about that now? How are you sitting in terms of potentially looking for"}, {"path": "tedlium_18395.wav", "duration": 9.12, "text": "In addition to a lot of prepared comments that we have, what's most exciting is that you're going to have the opportunity to interact with almost 20 different executives and distributors"}, {"path": "tedlium_18396.wav", "duration": 9.12, "text": "This is another indicator of our customer's desire for our products, and clearly, will help sustain our revenue growth in the next few quarters."}, {"path": "tedlium_18397.wav", "duration": 9.12, "text": "While our margins are still impacted by the macro environment around increased transportation labor costs, we have taken actions to reduce spend in this business."}, {"path": "tedlium_18398.wav", "duration": 9.12, "text": "I'll then turn the call over to Nic, who will discuss our financial performance in additional detail. Even though it's been just a little over 1.5 months since we last reported,"}, {"path": "tedlium_18399.wav", "duration": 9.12, "text": "and present our GAAP financials in a matter that closely reflects our actual operations and cash flow. Chris will provide more details on this."}, {"path": "tedlium_18400.wav", "duration": 9.12, "text": "Through focus, positive and productive change and aggressive investment, we feel like we've gotten to a point where we have a very solid platform to build on going forward."}, {"path": "tedlium_18401.wav", "duration": 9.12, "text": "Production for these properties is approximately 15 million cubic feet equivalent per day and will include all developed and undeveloped acreage."}, {"path": "tedlium_18402.wav", "duration": 9.12, "text": "to ensure that we're going to be able to deliver the results on a stable basis. We can see that this year, how we're going to be able"}, {"path": "tedlium_18403.wav", "duration": 9.12, "text": "The acceleration of innovation and digital transformation, I am totally convinced that innovation is absolutely key for all development."}, {"path": "tedlium_18404.wav", "duration": 9.12, "text": "to having the approximately 20 Conjur employees, the majority of who are developers or in technical roles, join the team this week."}, {"path": "tedlium_18405.wav", "duration": 9.12, "text": "and was unfavorably impacted by weather-related claims in personal lines due to the heavy rainfall in certain parts of Florida during the quarter."}, {"path": "tedlium_18406.wav", "duration": 9.12, "text": "We will remain aggressive in our rate plan and respond quickly to any changes in loss cost trends to ensure we are taking enough rate to improve profitability."}, {"path": "tedlium_18407.wav", "duration": 9.12, "text": "and we have discussed other potential asset sales in our filings, we're also working hard to improve our operating profitability and cash flow"}, {"path": "tedlium_18408.wav", "duration": 9.12, "text": "Yes. And when we look at the cost associated with either paying a premium to buy dealerships or securing land and building dealerships,"}, {"path": "tedlium_18409.wav", "duration": 9.12, "text": "We had to come up with an affordable and efficient way to widen our funnel and widen the breadth of our offering and differentiate ourselves."}, {"path": "tedlium_18410.wav", "duration": 9.12, "text": "Just because we found one way to do it doesn't mean we're going to stop innovating when it comes to our completion design and when it comes to improving our results."}, {"path": "tedlium_18411.wav", "duration": 9.12, "text": "At the heart of our strategy is product superiority, products which outperform key competition or bring new distinctive consumer benefits."}, {"path": "tedlium_18412.wav", "duration": 9.12, "text": "The final settlement agreement will be subject to approval by the PUCT. We currently anticipate that the commission will consider the proposed settlement in the second quarter."}, {"path": "tedlium_18413.wav", "duration": 9.12, "text": "The program is expected to be executed over the next 2 years, but is not specific as to when or how many shares will be purchased."}, {"path": "tedlium_18414.wav", "duration": 9.12, "text": "We are working to meet the conditions of this letter, which would allow us to pursue this opportunity. We are pleased with Sun Capital's continued support of Vince."}, {"path": "tedlium_18415.wav", "duration": 9.12, "text": "strength in the second half of the year do you expect to be fueled by mobile handsets and how much do you expect to be fueled by"}, {"path": "tedlium_18416.wav", "duration": 9.12, "text": "Multiple serum samples have been collected from all patients for the measurement of ADA levels and the analysis of these samples is currently on going."}, {"path": "tedlium_18417.wav", "duration": 9.12, "text": "and I would expect to deliver further progress against these measures in fiscal '17. In addition to continuing to execute our strategy,"}, {"path": "tedlium_18418.wav", "duration": 9.12, "text": "and their majority owner is now a private equity firm. But we looked at it, it was"}, {"path": "tedlium_18419.wav", "duration": 9.12, "text": "We remain actively engaged with customers on additional TwinShape duct programs that we expect to be decided over the next 6 to 12 months."}, {"path": "tedlium_18420.wav", "duration": 9.12, "text": "first half of 2016. Foreign exchange translation had a positive impact on sales for the first half"}, {"path": "tedlium_18421.wav", "duration": 9.12, "text": "we would have been chasing revenue right off a cliff at the end of the quarter, doing ever diminishing pricing deals to try and make revenue,"}, {"path": "tedlium_18422.wav", "duration": 9.12, "text": "and that is mainly, at this point in time, in this quarter, it's relating to cost reductions in the business area."}, {"path": "tedlium_18423.wav", "duration": 9.12, "text": "We'll solidify our platform and position upcoming business opportunities as growth drivers, and then move towards the future."}, {"path": "tedlium_18424.wav", "duration": 9.12, "text": "companies combine, and then they have separate product lines. I think customers are making decisions based on the merit of each product"}, {"path": "tedlium_18425.wav", "duration": 9.12, "text": "At this time, I would like to inform you that certain commentary made in this conference call may be considered forward-looking statement,"}, {"path": "tedlium_18426.wav", "duration": 9.12, "text": "in our progress, and our management believes our scientific and business development accomplishments to this date support continuing on this journey."}, {"path": "tedlium_18427.wav", "duration": 9.12, "text": "since most of the pricing is -- like our pricing of our end product is reflective of sugar type of pricing and sugar prices are up slightly,"}, {"path": "tedlium_18428.wav", "duration": 9.12, "text": "defensive market positions, operate in industries we know well and generate excess free cash flow for debt service and funding growth."}, {"path": "tedlium_18429.wav", "duration": 9.12, "text": "stay on this day after day after day with each person that's a potential no vote, and there are lots of them. So"}, {"path": "tedlium_18430.wav", "duration": 9.12, "text": "is by year-end to get a certain number of them, a significant number of them, through this process. And we're optimistic we will do that."}, {"path": "tedlium_18431.wav", "duration": 9.12, "text": "Given the increased visibility we have for the rest of the fiscal year, we are narrowing our guidance, the details of which George will walk you through in a few moments."}, {"path": "tedlium_18432.wav", "duration": 9.12, "text": "project is complete, and we are in the permitting process. And it is now -- that is out for public comment,"}, {"path": "tedlium_18433.wav", "duration": 9.12, "text": "this program is the foundation of our strategy to make data driven decisions and engage our customers as individuals with personalized offers."}, {"path": "tedlium_18434.wav", "duration": 9.12, "text": "This concludes today's conference call. Today's call will be available for replay in approximately 2 hours' time. To listen to the replay,"}, {"path": "tedlium_18435.wav", "duration": 9.12, "text": "with lower debt levels and balance sheet capacity available for tuck-ins or incremental buybacks. I will now turn the call back over to Randy for some closing comments"}, {"path": "tedlium_18436.wav", "duration": 9.12, "text": "While the results of ERICO are captured as acquisition contribution, the business performed in line with our expectations at the completion of the 1-year deal anniversary."}, {"path": "tedlium_18437.wav", "duration": 9.12, "text": "During the first quarter of 2018, Wells Fargo Bank extended our credit line agreement, which had been originally set to mature"}, {"path": "tedlium_18438.wav", "duration": 9.12, "text": "Now for the core capabilities that we have for the silicon germanium, which we see will continue to grow,"}, {"path": "tedlium_18439.wav", "duration": 9.12, "text": "again by the end of this year. Moving to current inventory management. We are executing a well-orchestrated"}, {"path": "tedlium_18440.wav", "duration": 9.12, "text": "guys like me don't spend on optimism. I think you actually have to see some things happening which will give you maybe that increased confidence."}, {"path": "tedlium_18441.wav", "duration": 9.12, "text": "value creation for the customers. So while yes, we're going to see some pressure. I think, you're going to see something a little bit better -- little bit less"}, {"path": "tedlium_18442.wav", "duration": 9.12, "text": "Obviously, a somewhat weaker demand environment for van trailers will put some pressure on revenue margins and profit but not at what history might imply."}, {"path": "tedlium_18443.wav", "duration": 9.12, "text": "trying to be aggressive in this space. There are a lot of ideas being put forward. Obviously, there is a voracious need for more"}, {"path": "tedlium_18444.wav", "duration": 9.12, "text": "In addition, all of our teams proactively managed expenses. Now I would like to talk through each of our segments."}, {"path": "tedlium_18445.wav", "duration": 9.12, "text": "we believe our work in this area will provide the necessary evidence to discuss these outcomes with healthcare providers, payers and regulators."}, {"path": "tedlium_18446.wav", "duration": 9.12, "text": "I want to thank Paul Ito for helping me in this transition. Paul has really left me in a strong position and I appreciate his support. So now I'll turn the call over to Paul."}, {"path": "tedlium_18447.wav", "duration": 9.12, "text": "One final note on setting our expected rates of collection. Since we do not have a long history of collections under contracted rates for our multiple tests,"}, {"path": "tedlium_18448.wav", "duration": 9.12, "text": "Beginning with physical video games, we are pleased with our market-leading share of Switch product and related software and accessory attach."}, {"path": "tedlium_18449.wav", "duration": 9.12, "text": "caused us to rethink the timing of acquisitions and realize that our pace of growth may be impeded."}, {"path": "tedlium_18450.wav", "duration": 9.12, "text": "the short version is they put the business out to bid and ultimately at a price that we weren't willing to move forward with the business on,"}, {"path": "tedlium_18451.wav", "duration": 9.12, "text": "kind of what we moved in March is kind of how we think we're going to be moving going forward. Not what we did sort of on the June hike, where we caught up a little bit"}, {"path": "tedlium_18452.wav", "duration": 9.12, "text": "So if you look -- you recall back in February when we gave our Capital Markets Day guidance for our swabbing program, we were initially expecting to"}, {"path": "tedlium_18453.wav", "duration": 9.12, "text": "which is an improvement over the past few years. Our operational strategic imperatives are designed to give us profit leverage on sales growth,"}, {"path": "tedlium_18454.wav", "duration": 9.12, "text": "And then we continue with the things we can control and we have good traction, so we go into the second half of year fairly optimistic."}, {"path": "tedlium_18455.wav", "duration": 9.12, "text": "Okay. Your press release could do a better job of breaking out the segment. It's paying a lot of attention to non-GAAP accounting versus GAAP, but"}, {"path": "tedlium_18456.wav", "duration": 9.12, "text": "We would expect these TSAs to wind down in 2018 and are committed to taking actions to reduce the resulting stranded costs."}, {"path": "tedlium_18457.wav", "duration": 9.12, "text": "So good morning and welcome to this presentation of"}, {"path": "tedlium_18458.wav", "duration": 9.12, "text": "Thank you. That will conclude our call for today. Thank you for listening and for your interest in American Public Education. Have a great evening."}, {"path": "tedlium_18459.wav", "duration": 9.12, "text": "As Dean indicated, we are committed to returning cash to shareholders and have sufficient capacity to continue our share buyback program."}, {"path": "tedlium_18460.wav", "duration": 9.12, "text": "the engagement with Quest at this point in the life cycle of the product because we've already reached near universal coverage for the Afirma test across the managed care market."}, {"path": "tedlium_18461.wav", "duration": 9.12, "text": "to calculate tech salaries based on a tailored combination of attributes to help employers set budgets, recruit for candidates and offer pay aligned with experience."}, {"path": "tedlium_18462.wav", "duration": 9.12, "text": "We must stabilize high temperature products and improve performance of low temperature products,"}, {"path": "tedlium_18463.wav", "duration": 9.12, "text": "We need to stabilize high temperature products and improve performance of low temperature products."}, {"path": "tedlium_18464.wav", "duration": 9.12, "text": "to mitigate a pretty substantial amount of light erosion with the flexibility to move different commodities on different lines. So we've already got"}, {"path": "tedlium_18465.wav", "duration": 9.12, "text": "This call and the associated webcast are the property of Liberty Global, and any redistribution, retransmission or rebroadcast of this call or webcast in any form"}, {"path": "tedlium_18466.wav", "duration": 9.12, "text": "this strong performance was particularly evident in our Denmark terminals where we experienced higher utilization rates, storage fees, and activity levels."}, {"path": "tedlium_18467.wav", "duration": 9.12, "text": "and we have a really strong position that gives us a lot of room to maneuver and to act on opportunities wherever they might materialize in the future."}, {"path": "tedlium_18468.wav", "duration": 9.12, "text": "We have gotten great feedback on the educational and trainee benefits that they have taken away from their experience."}, {"path": "tedlium_18469.wav", "duration": 9.12, "text": "Good morning, and welcome to the Herman Miller Second Quarter Earnings Conference Call."}, {"path": "tedlium_18470.wav", "duration": 9.12, "text": "our dealer partners and investors, tour our retail studios and spend quality time with each of our executive leaders focusing on ways to amplify our progress."}, {"path": "tedlium_18471.wav", "duration": 9.12, "text": "This sustained level of interest leads us to believe the depth of demand should remain attractive as construction costs and rents continue to rise."}, {"path": "tedlium_18472.wav", "duration": 9.12, "text": "Our consistent performance continues to demonstrate the ongoing success of our initiatives to elevate our off-price model."}, {"path": "tedlium_18473.wav", "duration": 9.12, "text": "the funnel that we have at the top where we've got enough great ideas, it's a matter of how we can execute them and really run the go to market in a way it will deliver for the consumer."}, {"path": "tedlium_18474.wav", "duration": 9.12, "text": "without deceiving anybody, that dividend that we reinstated is just a little bit more than what we received by the tax cut."}, {"path": "tedlium_18475.wav", "duration": 9.12, "text": "So as you highlighted, Brad, moving into your second -- your first question, there are a number of LNG projects that we are concurrently progressing."}, {"path": "tedlium_18476.wav", "duration": 9.12, "text": "And it's very hard to say when and if and how the courts will rule down the road and then what that impact would be. We were asking"}, {"path": "tedlium_18477.wav", "duration": 9.12, "text": "good brand in Crisco. Wesson, it is an old brand. They both are old brands. But they're both still good brands, and they do still carry weight."}, {"path": "tedlium_18478.wav", "duration": 9.12, "text": "But it's not just any distribution they're looking for. They are particularly challenged to get in front of the next generation of consumers and are looking for a mobile-first digital distribution."}, {"path": "tedlium_18479.wav", "duration": 9.12, "text": "We enter 2016 with what I believe to be the strongest and most competitive product portfolio in Veeco's history."}, {"path": "tedlium_18480.wav", "duration": 9.12, "text": "This remains a viable business for the brand. However, there needs to be better controls in terms of what product and how much flows through this channel."}, {"path": "tedlium_18481.wav", "duration": 9.12, "text": "We will try to win as many projects as possible while monitoring the projects -- progress."}, {"path": "tedlium_18482.wav", "duration": 9.12, "text": "We are rebuilding our pipeline of opportunities, but don't expect sales and earnings growth to resume until next year for this business."}, {"path": "tedlium_18483.wav", "duration": 9.12, "text": "in Congress or will be. We have a slide in our long-term projections that show what the impact on us would be but there actually could be"}, {"path": "tedlium_18484.wav", "duration": 9.12, "text": "Now the other thing I want to mention is the Gas Storage business, which we've said is noncore, we're actually looking at strategic options related to that business now and so we've"}, {"path": "tedlium_18485.wav", "duration": 9.12, "text": "we are running the business the way we have always run the business, taking advantage of our 2 decades in the business and our strong sourcing model."}, {"path": "tedlium_18486.wav", "duration": 9.12, "text": "I think earlier this year, when there was a lot of talk about a trillion restructure program very early in the year, we probably had some DOTs and some local governments,"}, {"path": "tedlium_18487.wav", "duration": 9.12, "text": "Because most of these investments are directly linked to growth projects and to customer demand or will drive productivity improvements in the short term."}, {"path": "tedlium_18488.wav", "duration": 9.12, "text": "So I noticed consensus models top line growing for Bausch going forward over the next several years, including next year. Is that how you understand the business to be,"}, {"path": "tedlium_18489.wav", "duration": 9.12, "text": "Nor do I think, by the way, that there was any sort of price -- connection between pricing and volume. We look at that pretty carefully"}, {"path": "tedlium_18490.wav", "duration": 9.12, "text": "which is going to be very important for the society as a whole and our employees. I thank you very much, and we'll now open for Q"}, {"path": "tedlium_18491.wav", "duration": 9.12, "text": "It also underscores the very important point that disruption can present a great opportunity when you have attractive rent bases."}, {"path": "tedlium_18492.wav", "duration": 9.12, "text": "But in my understanding so far, we have been very conservative regarding any projections in terms of consumption"}, {"path": "tedlium_18493.wav", "duration": 9.12, "text": "We've been very focused on planning for this potential outcome and believe our basic nonproprietary product offerings will position us to adapt to the new rule."}, {"path": "tedlium_18494.wav", "duration": 9.12, "text": "We tend not to hire too much in the first half of the year but to do more of the hires in the second half."}, {"path": "tedlium_18495.wav", "duration": 9.12, "text": "pursuing solid expense management and making significant progress across a number of strategic initiatives that are enhancing our capabilities and growth potential."}, {"path": "tedlium_18496.wav", "duration": 9.12, "text": "But we prefer not to, because I just don't know the accuracy of it all at this point in time. With respect to Europe,"}, {"path": "tedlium_18497.wav", "duration": 9.12, "text": "I think -- I don't think you should say that. Obviously, we want to pay ourselves more over time as they improve their skills and become more productive and multi-scale."}, {"path": "tedlium_18498.wav", "duration": 9.12, "text": "you have some time to do that. There's nothing that's compelling you that you have to do it, so you can wait for scrap metal to be -- in the markets to be better."}, {"path": "tedlium_18499.wav", "duration": 9.12, "text": "Overall, we feel we made significant progress in fiscal 2016, although we believe there are further opportunities for improvement."}, {"path": "tedlium_18500.wav", "duration": 9.12, "text": "and involve a number of risks and uncertainties and actual results may vary materially from those in the forward-looking statements as a result of various factors,"}, {"path": "tedlium_18501.wav", "duration": 9.12, "text": "anticipating lower prices and operated more hand to mouth there is sufficient bean inventory cover by the processors."}, {"path": "tedlium_18502.wav", "duration": 9.12, "text": "we have created what will be the new industry standard when it comes to reliability, energy savings and service capabilities."}, {"path": "tedlium_18503.wav", "duration": 9.09, "text": "We believe Ballard is the first publicly traded fuel cell company to achieve positive adjusted EBITDA for an entire fiscal year."}, {"path": "tedlium_18504.wav", "duration": 9.09, "text": "And our visibility on backlog is typically somewhere between 4 weeks and 3 months, depending on market conditions and the type of work we're selling."}, {"path": "tedlium_18505.wav", "duration": 9.09, "text": "And so we're being somewhat selective, but we wouldn't be surprised over the next few months to pick up an ASC or a small hospital"}, {"path": "tedlium_18506.wav", "duration": 9.09, "text": "If you have noticed that much of this activity centers around expanding our balance sheet, then you are right because that is exactly what we are doing,"}, {"path": "tedlium_18507.wav", "duration": 9.09, "text": "we will continue to invest, but despite these investments, given our cost focus and the history that you've seen in the last 3 to 4 years,"}, {"path": "tedlium_18508.wav", "duration": 9.09, "text": "larger volume of people, okay, we've got to be able to not have to do a custom design for every single application."}, {"path": "tedlium_18509.wav", "duration": 9.09, "text": "This was primarily due to favorable contract restructuring efforts, lower costs, improved asset performance and higher natural gas prices."}, {"path": "tedlium_18510.wav", "duration": 9.09, "text": "These statements are not guarantees of future performance and are subject to certain risks and uncertainties. Therefore, actual results may differ materially."}, {"path": "tedlium_18511.wav", "duration": 9.09, "text": "which would be during the first half of our fiscal '21. With regards to revenue, we expect mix to continue shifting towards subscription."}, {"path": "tedlium_18512.wav", "duration": 9.09, "text": "when you listen to Roger's introduction and you hear all the different indications and the tumors and combinations that we're studying,"}, {"path": "tedlium_18513.wav", "duration": 9.09, "text": "will have the selling prices pegged to the metal -- changes in the metal prices. And as we look towards the future"}, {"path": "tedlium_18514.wav", "duration": 9.09, "text": "a slowing of growth, but markets are still growing. So as of this point, I don't think we anticipate any significant changes."}, {"path": "tedlium_18515.wav", "duration": 9.09, "text": "locations, and they clearly understand what it's going to take to turn it around. So we're cautiously optimistic and there to support them and work with them and"}, {"path": "tedlium_18516.wav", "duration": 9.09, "text": "It's those additional challenges of putting it under a pit lid underwater underground and still being able to communicate for a decade"}, {"path": "tedlium_18517.wav", "duration": 9.09, "text": "our main goal here is to position us as best as possible to get as many barrels into our pipeline at current"}, {"path": "tedlium_18518.wav", "duration": 9.09, "text": "And so most of the investments you see in this business are in and around our platform capability because we feel very good about where we are on the product side."}, {"path": "tedlium_18519.wav", "duration": 9.09, "text": "Additionally, we received customer commitments for extensive pressure pumping refurbishment programs, bringing our committed refurbishments to over 100 pumping units."}, {"path": "tedlium_18520.wav", "duration": 9.09, "text": "Our streak of constant currency revenue growth has been extended to 37 consecutive quarters, reflecting our consistency and resiliency through the cycles."}, {"path": "tedlium_18521.wav", "duration": 9.09, "text": "So it will have at least those characteristics, I'm quite confident. And the question beyond that is what I already covered, which is time frame"}, {"path": "tedlium_18522.wav", "duration": 9.09, "text": "So that's the way the number is. We don't like it any more than you do, but I don't think it would make sense to go into any more detail than it is."}, {"path": "tedlium_18523.wav", "duration": 9.09, "text": "I think we will have improvement. I'm not sure exactly how much it will be in place at that point, but there will definitely be an improvement. And I think the state also acknowledged"}, {"path": "tedlium_18524.wav", "duration": 9.09, "text": "And that's our job. In the next 6 months through the end of August, our job is to work with Congress and the administration"}, {"path": "tedlium_18525.wav", "duration": 9.09, "text": "and we've had a significant uptick in strategic managed account opportunities in illiquid credit across the spectrum of direct lending and structured credit."}, {"path": "tedlium_18526.wav", "duration": 9.09, "text": "maybe what we're seeing is pull-forward. So I was wondering if you could address that? Are there anecdotes or data points out of your California operations that would"}, {"path": "tedlium_18527.wav", "duration": 9.09, "text": "pressures, it's an area for us to make sure that the back of the house is our small as efficient as possible that we have"}, {"path": "tedlium_18528.wav", "duration": 9.09, "text": "April and July in terms of the capacity coming online relative to what the demand might look like since it's usually softer for that one big customer?"}, {"path": "tedlium_18529.wav", "duration": 9.09, "text": "However, in several categories, including instant noodles and tea drinks, we still saw positive results."}, {"path": "tedlium_18530.wav", "duration": 9.09, "text": "And second of all, could you give us the value or the amount of"}, {"path": "tedlium_18531.wav", "duration": 9.09, "text": "to the long-term care nursing home, and we are currently developing the services"}, {"path": "tedlium_18532.wav", "duration": 9.09, "text": "we plan to open approximately 30 to 35 more stores this year, including a store in the new One World Trade Center."}, {"path": "tedlium_18533.wav", "duration": 9.09, "text": "The significance of these designations is not to be really undermined. It's certainly, as we look to the future, going to be helpful for us,"}, {"path": "tedlium_18534.wav", "duration": 9.09, "text": "Yes, okay. And then just on the food side, obviously you guys have made some significant capital investments in the conventional assets over the last few years."}, {"path": "tedlium_18535.wav", "duration": 9.09, "text": "that our combined offer here of having the digital entrance to a care but also having"}, {"path": "tedlium_18536.wav", "duration": 9.09, "text": "We have some information about that as we've been drilling down in the fourth quarter and billing our internal forecasts for the fourth quarter. And then there are some small accounts that we appear to have lost"}, {"path": "tedlium_18537.wav", "duration": 9.09, "text": "Adding more color to China and Japan, we had multiple system placements in these countries with traction in both industrial as well as medical institutions."}, {"path": "tedlium_18538.wav", "duration": 9.09, "text": "point to a popular desire for a renationalization of policymaking, pressing for a reversal or at least a lull in the march of globalization."}, {"path": "tedlium_18539.wav", "duration": 9.09, "text": "We feel strongly that our fundamental business models continues to strengthen and is functioning well despite our EBITDA not reflecting positive results."}, {"path": "tedlium_18540.wav", "duration": 9.09, "text": "Looking forward into 2019, we continue to expect cost saves from Charter to be fully realized in the second quarter after the conversion of the core systems."}, {"path": "tedlium_18541.wav", "duration": 9.09, "text": "with volume increasing 19% compared to the third quarter of 2017, building on the positive trends we experienced during the first half of the year."}, {"path": "tedlium_18542.wav", "duration": 9.09, "text": "as well as provide and optimize the commercial infrastructure to manage their revenue regardless of payment model or care setting."}, {"path": "tedlium_18543.wav", "duration": 9.09, "text": "We also earned design-wins in a number of shared connected bike models in China."}, {"path": "tedlium_18544.wav", "duration": 9.09, "text": "So we have, rather than 16 months ago when we had all of our eggs in the Tawke basket, we now have a much more diverse source of cash flow. And"}, {"path": "tedlium_18545.wav", "duration": 9.09, "text": "Once adoption reaches an even higher threshold, they deploy a compute node into the country to specifically serve the local market."}, {"path": "tedlium_18546.wav", "duration": 9.09, "text": "Turning to Slide 13. This illustrates the significantly improved results we are now seeing from our Architectural business."}, {"path": "tedlium_18547.wav", "duration": 9.09, "text": "First, after more than 2 years of scaling the business lower and cutting costs, we have been able to focus on growing the company again."}, {"path": "tedlium_18548.wav", "duration": 9.09, "text": "We continue to make progress towards closing this merger, which we expect to be completed late in the first quarter or early in the second quarter."}, {"path": "tedlium_18549.wav", "duration": 9.09, "text": "the yield on new production any different than the yield on the portfolio at this point? Or is there still sort of a bit of a drip there?"}, {"path": "tedlium_18550.wav", "duration": 9.09, "text": "Our revised guidance range assumes more normalized investment returns in all segments and life mortality to be in line with actuarial models."}, {"path": "tedlium_18551.wav", "duration": 9.09, "text": "They have come up with a whole bunch of recommendations, which are ready to be implemented. And one of the recommendations was that a price cap was not a good idea."}, {"path": "tedlium_18552.wav", "duration": 9.09, "text": "And we're off to a good start to the second half of the year across both divisions and are comfortable with market expectations for the full year financial performance."}, {"path": "tedlium_18553.wav", "duration": 9.09, "text": "I think we've outlined before that we got very clear priorities for the use of our cash. And these do remain unchanged. First off, we invest in our people, our products,"}, {"path": "tedlium_18554.wav", "duration": 9.09, "text": "some markets are highly seasonal, reflecting budget cycles or vacation patterns, and sales into some markets are constrained by government regulations."}, {"path": "tedlium_18555.wav", "duration": 9.09, "text": "they may be at a different level of the funnel, maybe higher in the funnel. But as we've seen in Kenosha and in Roanoke and in Fayetteville,"}, {"path": "tedlium_18556.wav", "duration": 9.09, "text": "Although we are able to find a way to keep most of our drilling rigs moving, as you mentioned, we were certainly not so fortunate with our completion activity."}, {"path": "tedlium_18557.wav", "duration": 9.09, "text": "and the projections moving forward, I think we'll just have a little blip that we're dealing with there, but we see the businesses there also picking up again."}, {"path": "tedlium_18558.wav", "duration": 9.09, "text": "In most of our key markets, the picture is relatively positive, with strong employment, consumer spending and consumer sentiment data."}, {"path": "tedlium_18559.wav", "duration": 9.09, "text": "So I think this whole move of convergence is really putting us in Europe, and I could talk also of what's happening in Belgium"}, {"path": "tedlium_18560.wav", "duration": 9.09, "text": "we have to be focused on recurring revenue, not non-recurring revenue. It means we have to be focused on"}, {"path": "tedlium_18561.wav", "duration": 9.09, "text": "is modernizing the entire approach to content. So most content today is still sold the way music used to be sold,"}, {"path": "tedlium_18562.wav", "duration": 9.09, "text": "from both an inpatient perspective as well as an outpatient perspective since we believe that there may be an underappreciated awareness"}, {"path": "tedlium_18563.wav", "duration": 9.09, "text": "This situation has slowed the pace of our discussions for the lease agreement for our Diamondback facility, but the state's need for capacity continues"}, {"path": "tedlium_18564.wav", "duration": 9.09, "text": "The bureau continues to project a need for additional bed capacity for the private sector and is progressing through the process as part of the CAR XIX procurement."}, {"path": "tedlium_18565.wav", "duration": 9.09, "text": "Continuing with ICE. The agency issued a request for information for either new or existing detention capacity of up to 3,000 beds"}, {"path": "tedlium_18566.wav", "duration": 9.09, "text": "not only by demonstrating resilience and stability in a challenging market but also by being well positioned to thrive in the eventual recovery."}, {"path": "tedlium_18567.wav", "duration": 9.09, "text": "Today's conference is being recorded. At this time, I'd like to turn the conference over to Brian Ritchie of LifeSci Advisors. Please go ahead."}, {"path": "tedlium_18568.wav", "duration": 9.09, "text": "There is a program that we have in place that entitles some of our suppliers"}, {"path": "tedlium_18569.wav", "duration": 9.09, "text": "Our Industrial business was down sequentially, in line with normal seasonality and with continued strength in factory automation products."}, {"path": "tedlium_18570.wav", "duration": 9.09, "text": "And I'm thinking that by 2017, that will be cleared up and they will be trying to compete with their competitors"}, {"path": "tedlium_18571.wav", "duration": 9.09, "text": "and that was the reason I knew about this conference call. He was -- one of them was unavailable to"}, {"path": "tedlium_18572.wav", "duration": 9.09, "text": "in this very important field and to continue to impress both our customers and our shareholders."}, {"path": "tedlium_18573.wav", "duration": 9.09, "text": "This included a comprehensive global process that considered numerous highly talented internal and external candidates."}, {"path": "tedlium_18574.wav", "duration": 9.09, "text": "may change over time, and we undertake no obligation to inform you if they do. Results that we report today should not be considered as an indication of future performance."}, {"path": "tedlium_18575.wav", "duration": 9.09, "text": "So that's the essence of what we've been able to transform that business. And that's what you're going to see more of moving forward."}, {"path": "tedlium_18576.wav", "duration": 9.09, "text": "So you should think of it now that we have a little bit more discipline in this business in terms of value pricing instead of competitive pricing"}, {"path": "tedlium_18577.wav", "duration": 9.09, "text": "As far as the other governance positions are concerned, that's also part of our conversation with thyssenkrupp. And at an appropriate time, that will be announced."}, {"path": "tedlium_18578.wav", "duration": 9.09, "text": "has lead customer having demonstrated excellent pixel performance on prototypes and as well excellent product yield."}, {"path": "tedlium_18579.wav", "duration": 9.09, "text": "We remain confident we are well positioned to make the necessary adjustments in our business to address changes in pork capacity."}, {"path": "tedlium_18580.wav", "duration": 9.09, "text": "in a modest cash outflow. This is one of the benefits of a great strong organic growth as it begins to become a bit of a pressure to your cash flow."}, {"path": "tedlium_18581.wav", "duration": 9.09, "text": "Tony mentioned on the last earnings call that we successfully launched a business division focused on serving the needs of small to medium-sized businesses."}, {"path": "tedlium_18582.wav", "duration": 9.09, "text": "with no product defects in the gas business, which is a great accomplishment for the team. Shows they're focused on executing for customers, while simultaneously delivering"}, {"path": "tedlium_18583.wav", "duration": 9.09, "text": "grew within the existing premises and there's no space left. We don't have enough space to handle the"}, {"path": "tedlium_18584.wav", "duration": 9.09, "text": "we -- it's loose enough, and there's enough credit availability that we can hit our numbers. But I would say it's pretty consistent with where it's been over the last year."}, {"path": "tedlium_18585.wav", "duration": 9.09, "text": "And so we had a little bit of a sort of change in focus there, getting back into the dealerships and sort of reaffirming our relationships"}, {"path": "tedlium_18586.wav", "duration": 9.09, "text": "Again, with our focus on credit quality and watching the portfolio, we might expect that to continue in the future. But again, another good spot in terms of what we're trying to do."}, {"path": "tedlium_18587.wav", "duration": 9.09, "text": "We will continue to pursue organic growth as well as growth through strategic complementary acquisitions to enhance our product platform."}, {"path": "tedlium_18588.wav", "duration": 9.09, "text": "is it economically feasible even to have a private securitization market. And that would take work from a number of parties, not just ourselves."}, {"path": "tedlium_18589.wav", "duration": 9.09, "text": "And there's a robust pipeline of exciting innovation launches planned in the second half, which you will hear about in the coming months."}, {"path": "tedlium_18590.wav", "duration": 9.09, "text": "While we had a positive comp, it is important to note that our product mix was substantially different than it was in Q3 of last year."}, {"path": "tedlium_18591.wav", "duration": 9.09, "text": "that continues to be a part of the productivity story in PSM, when we can add a new asset and close a facility, get rid of overhead."}, {"path": "tedlium_18592.wav", "duration": 9.09, "text": "which we successfully implemented during 2016. We are closely monitoring the regulatory environment as our government transitions to new leadership"}, {"path": "tedlium_18593.wav", "duration": 9.09, "text": "No. I think you look at it kind of as what I would call somewhat normal quarterly movements. If you look at the margin, I think the margin on the cloud services probably"}, {"path": "tedlium_18594.wav", "duration": 9.09, "text": "We need to position ourselves in such a way that we can compete in a stronger manner."}, {"path": "tedlium_18595.wav", "duration": 9.09, "text": "as you get into the second and third year of the downturn, in terms of sellers' price expectations"}, {"path": "tedlium_18596.wav", "duration": 9.09, "text": "building inventories for a potential launch for the TNBC. There are certainly parties we are talking to that are capable"}, {"path": "tedlium_18597.wav", "duration": 9.09, "text": "and so 130 is a very attractive one that many of our investigators are very anxious for us to expand beyond colorectal cancer."}, {"path": "tedlium_18598.wav", "duration": 9.09, "text": "But when we looked at the residential jumbo mortgage market, we didn't see an opportunity there, as banks were still active and too competitive in that market."}, {"path": "tedlium_18599.wav", "duration": 9.09, "text": "a homogeneous group with predictable degree of sleepiness in the absence of treatment? And then the second one was just the"}, {"path": "tedlium_18600.wav", "duration": 9.09, "text": "Let me move on to margins, so from funding to margins. We have been able to maintain the net interest margin over 20% for the quarter"}, {"path": "tedlium_18601.wav", "duration": 9.09, "text": "and manufacturing some of the most advanced products available in the market, from technology for particle accelerators to airbag jackets for motorcycle drivers."}, {"path": "tedlium_18602.wav", "duration": 9.09, "text": "All right. Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program and you may all disconnect. Everyone, have a great day."}, {"path": "tedlium_18603.wav", "duration": 9.09, "text": "We ended the second quarter with 55 global sales team members compared with 41 at the end of the second quarter of last year."}, {"path": "tedlium_18604.wav", "duration": 9.09, "text": "we are sitting ourselves up in that area and will see some activities. And then we have the health"}, {"path": "tedlium_18605.wav", "duration": 9.09, "text": "with new capabilities, a clear strategic plan and specific actions to ensure sustainable long-term growth."}, {"path": "tedlium_18606.wav", "duration": 9.09, "text": "Dave recently assumed responsibility for our Away From Home business, along with maintaining his previous role leading our International businesses."}, {"path": "tedlium_18607.wav", "duration": 9.09, "text": "Before we comment on the quarterly results, I'd like to take a moment to briefly review the subject of my retirement that was announced a couple of weeks ago."}, {"path": "tedlium_18608.wav", "duration": 9.09, "text": "Please refer to the complete discussion of risks in our most recent reports filed with the SEC and in the cautionary note in today's press release."}, {"path": "tedlium_18609.wav", "duration": 9.09, "text": "that oversupply needs to get used up and it will get used up as LED lighting penetration continues to grow."}, {"path": "tedlium_18610.wav", "duration": 9.09, "text": "phasing our way into the offtake commitments and the infrastructure commitments that we need to make and the time it takes to build those"}, {"path": "tedlium_18611.wav", "duration": 9.09, "text": "The relationships are being built and we've had very constructive discussions with all those parties and are being welcomed with open arms on the slope."}, {"path": "tedlium_18612.wav", "duration": 9.09, "text": "consumer Internet is quite good at delivering user experience. And I think enterprise is behind on delivering comparable user experience."}, {"path": "tedlium_18613.wav", "duration": 9.09, "text": "what you're hearing from them in terms of their plans around public cloud adoption and sort of where they see ServiceNow fitting into that? And then, I've got one follow-up for Mike."}, {"path": "tedlium_18614.wav", "duration": 9.09, "text": "And there is a question about how much capacity will be added in the future for the economic reasons that you referenced."}, {"path": "tedlium_18615.wav", "duration": 9.09, "text": "Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause the company's actual results in future periods to differ materially"}, {"path": "tedlium_18616.wav", "duration": 9.09, "text": "And then lastly, the focus on continuing -- continuous improvement and efficiency through best practice is something that we focus on every day"}, {"path": "tedlium_18617.wav", "duration": 9.09, "text": "we haven't made a decision to not re-lease the aircraft, but we don't have enough data points or confidence for this aircraft type to make that determination."}, {"path": "tedlium_18618.wav", "duration": 9.09, "text": "Given the sale activity and acquisition activity, it's very hard to kind of keep track of that over the course of the year. I was wondering if you might just be able to say -- I think you mentioned 4 aircraft"}, {"path": "tedlium_18619.wav", "duration": 9.09, "text": "regarding our acquisition, disposition and investment plans, and our expectations regarding our future financial position and result of operations."}, {"path": "tedlium_18620.wav", "duration": 9.09, "text": "As we look out over the balance of 2019, we expect continued contribution from the international oilfield sector for both technology and base ceramic products."}, {"path": "tedlium_18621.wav", "duration": 9.09, "text": "Through the digitalization of public media, both platforms move more and more on the same data and technology spec."}, {"path": "tedlium_18622.wav", "duration": 9.09, "text": "to create an integrated one firm perspective on how we deliver services to both our high net worth audience as well as institutions."}, {"path": "tedlium_18623.wav", "duration": 9.09, "text": "This has allowed us to rapidly expand the penetration of our big data and risk management services."}, {"path": "tedlium_18624.wav", "duration": 9.09, "text": "at this point from a schedule perspective, I'm not going to change anything that I spoke about last quarter on Cameron. And I think you heard Sempra speak"}, {"path": "tedlium_18625.wav", "duration": 9.09, "text": "Towards the end of 2018, we saw a high degree of oil price instability causing some of the larger programs to pause for what we believe is a short term."}, {"path": "tedlium_18626.wav", "duration": 9.09, "text": "Many of you may recall in our customer survey work done in the first half of 2018, the issue of quote turnaround times rose to the top in the list of concerns"}, {"path": "tedlium_18627.wav", "duration": 9.09, "text": "We are blown away by the ingenuity of our community, and we can't wait to see what they create next. We'll be working hard to expand Lens Studio for years to come."}, {"path": "tedlium_18628.wav", "duration": 9.09, "text": "So I look forward to meeting you all in Boston and New York over the coming weeks. And I thank you very much for your attention. Take care."}, {"path": "tedlium_18629.wav", "duration": 9.09, "text": "and now being obligated to pay a commissioned salesperson minimum wage and overtime caused us to make some strategic changes."}, {"path": "tedlium_18630.wav", "duration": 9.09, "text": "I don't think you should consider that all the revenue top line will start to drop down in that case because of the foreign currency translation."}, {"path": "tedlium_18631.wav", "duration": 9.09, "text": "recent ban on used plastics, the ban on imports and its impact. And your question was on the impact that it has on the olefin downstream."}, {"path": "tedlium_18632.wav", "duration": 9.09, "text": "I think investors we speak with would appreciate more visibility on how you're prioritizing what you're doing particularly as you think about the portfolio going forward"}, {"path": "tedlium_18633.wav", "duration": 9.09, "text": "We have resolved the burning questions around the structure of our South African asset base, monetizing some assets and putting other unprofitable ones into orderly closure."}, {"path": "tedlium_18634.wav", "duration": 9.09, "text": "We are now engaged in these discussions, which, if successful, we anticipate will reduce interest expense and create additional financial flexibility."}, {"path": "tedlium_18635.wav", "duration": 9.09, "text": "As expected, we had a seasonal outflow of cash for working capital in the quarter in advance of our seasonally strong second and third quarters."}, {"path": "tedlium_18636.wav", "duration": 9.09, "text": "Some of these risks and uncertainties can be found in the company's filings with the Securities and Exchange Commission as well as in today's press release."}, {"path": "tedlium_18637.wav", "duration": 9.09, "text": "The states currently scheduled to release TPL contracts this year accounted for less than 12% of our prior-year state revenue."}, {"path": "tedlium_18638.wav", "duration": 9.09, "text": "part of that initiative is trying to leverage third party professional service organizations to deliver again some of our projects,"}, {"path": "tedlium_18639.wav", "duration": 9.09, "text": "of our total sales dollars, it represents a larger percentage of our profitability. That's why we're so excited about this growth."}, {"path": "tedlium_18640.wav", "duration": 9.09, "text": "individuals are hard to find. We've been able to attract talent and train talent as graders for both coins and cards."}, {"path": "tedlium_18641.wav", "duration": 9.09, "text": "But strategically now, as we're now segmenting our markets, understanding how we're deploying that capacity to be able to go after where growth is occurring"}, {"path": "tedlium_18642.wav", "duration": 9.09, "text": "So by the end of this year, we have a much more clear picture about the future plan. Our plan is to continue to expand"}, {"path": "tedlium_18643.wav", "duration": 9.09, "text": "Since safe school initiatives and the need for school security upgrade is evident when you review state legislative priorities."}, {"path": "tedlium_18644.wav", "duration": 9.0899375, "text": "Today, we will review our financial and operational results and provide commentary on our performance in the context of our 4-point growth strategy."}, {"path": "tedlium_18645.wav", "duration": 9.0600625, "text": "now it's all upside. I'm expecting a couple of quarters of relatively flatness or maybe moderate growth, but this isn't off to the"}, {"path": "tedlium_18646.wav", "duration": 9.06, "text": "If I understand you correctly, so if there are more investments outside of China?"}, {"path": "tedlium_18647.wav", "duration": 9.06, "text": "Are these questions, things that would need to be addressed for your eventual full filing? Or are they specific to the conditional application just based on"}, {"path": "tedlium_18648.wav", "duration": 9.06, "text": "That said, the integration of JLT will likely involve more adjustments to our numbers over the next 2 or 3 years than we have seen historically."}, {"path": "tedlium_18649.wav", "duration": 9.06, "text": "it's only one case. We do not need to be there. So it's not the complexity of the procedure. They already are performing"}, {"path": "tedlium_18650.wav", "duration": 9.06, "text": "in product performance, product road map, service and support while also tying for the top spot in deployment experience."}, {"path": "tedlium_18651.wav", "duration": 9.06, "text": "So the same customers, if they want to store their documents for a long period of time, they can use the same platform. Or if they want to use"}, {"path": "tedlium_18652.wav", "duration": 9.06, "text": "but it's also the region -- it's a destination of real investment opportunities for us. And we do see real opportunity"}, {"path": "tedlium_18653.wav", "duration": 9.06, "text": "performance across our funds remain strong. We're attracting a significant amount of new capital and are making great progress towards our fundraising goals,"}, {"path": "tedlium_18654.wav", "duration": 9.06, "text": "and if it is, what's going on? Why are the enterprise customers not as excited about this product as you and I are?"}, {"path": "tedlium_18655.wav", "duration": 9.06, "text": "And we really have not gotten NRDL approval for JANUVIA in China yet. So once that's achieved, I think that, that represents another opportunity for us"}, {"path": "tedlium_18656.wav", "duration": 9.06, "text": "I would now like to introduce your host for today's conference call, Mr. Steve Robb, Chief Financial Officer for The Clorox Company. Mr. Robb, you may begin your conference."}, {"path": "tedlium_18657.wav", "duration": 9.06, "text": "And I think, you'll see as we learn, we adapt over the rest of the year that, that is a major focus for us and we've made the first of a number of hires"}, {"path": "tedlium_18658.wav", "duration": 9.06, "text": "I'm extremely proud of our asset management, led by Jeremy Welter, and our property managers for their resilience and perseverance during and after these storms."}, {"path": "tedlium_18659.wav", "duration": 9.06, "text": "The new and higher-yielding securities have already stabilized investment yields in the quarter and positively contributed to our running book yield."}, {"path": "tedlium_18660.wav", "duration": 9.06, "text": "We have a lot of learnings on a lot of different experiments that have been done over the past 3 or 4 months on the best way to generate trial repeat purchase"}, {"path": "tedlium_18661.wav", "duration": 9.06, "text": "Now over the last several years, what we've seen them doing is taking them off and rebuilding them and putting them back on. So that has impacted the business."}, {"path": "tedlium_18662.wav", "duration": 9.06, "text": "Can you again talk about here what you're seeing? What are the growth prospects, to get a better understanding how these things"}, {"path": "tedlium_18663.wav", "duration": 9.06, "text": "Makes us feel very secure about the margin and the profit as well as using the products and the platforms to drive the revenue."}, {"path": "tedlium_18664.wav", "duration": 9.06, "text": "perhaps an attainable target anymore. Is that fair? Or are there some factors in '18 that can still get you to the 100 basis points?"}, {"path": "tedlium_18665.wav", "duration": 9.06, "text": "related to accelerated amortization of the deferred financing costs associated with the STORE Master Funding bonds we prepaid in August."}, {"path": "tedlium_18666.wav", "duration": 9.06, "text": "Also of note, for the first time in quite a while, we reported no one-off other items as restructuring initiatives reached at least a temporary pause."}, {"path": "tedlium_18667.wav", "duration": 9.06, "text": "There's still a lot of work that has to be done on the referral channel, as we've talked about. And so I think that's a business that we expect, overall, very healthy growth."}, {"path": "tedlium_18668.wav", "duration": 9.06, "text": "So I don't think it's just large projects slowing down with those couple projects, I think it's the health of the rest of the business"}, {"path": "tedlium_18669.wav", "duration": 9.06, "text": "And common shareholders will not have tax obligations arising from their investment in Ares shares, other than on the receipt of qualifying dividends."}, {"path": "tedlium_18670.wav", "duration": 9.06, "text": "branches being closed or reconfigured to optimize productivity, migration of transactions to ATMs and digital channels among others."}, {"path": "tedlium_18671.wav", "duration": 9.06, "text": "Our portfolio has been designed to line up with major global shifts that are underway that we believe are long term and entirely structural in nature."}, {"path": "tedlium_18672.wav", "duration": 9.06, "text": "This was because last year, we had a piece of income from disposal of assets. Profit after tax,"}, {"path": "tedlium_18673.wav", "duration": 9.06, "text": "In summary, we are very pleased with our second quarter performance. We will continue to be focused on driving solid revenue growth,"}, {"path": "tedlium_18674.wav", "duration": 9.06, "text": "in 2020. And at the same time then, as you gradually move the volumes from one network to the other, you will also"}, {"path": "tedlium_18675.wav", "duration": 9.06, "text": "We think it helps the hub to do that to get adoption in its supply chain. However, having said that,"}, {"path": "tedlium_18676.wav", "duration": 9.06, "text": "that our supply chain and pricing initiatives are firmly ingrained in our corporate culture, we will not be providing incremental status updates on these initiatives."}, {"path": "tedlium_18677.wav", "duration": 9.06, "text": "we've maintained our focus on executing other growth opportunities as well including those that leverage our expertise and property size advantages."}, {"path": "tedlium_18678.wav", "duration": 9.06, "text": "would remain consistent with prior years even with this change that leads to higher commission rates for the recurring portion."}, {"path": "tedlium_18679.wav", "duration": 9.06, "text": "Research recently conducted by Greenwich Associates further validates the strength and effectiveness of our bankers."}, {"path": "tedlium_18680.wav", "duration": 9.06, "text": "And if we invest in incremental capacity, it's going to be where we know we've got strong contract to support to -- support that investment and generate a strong return."}, {"path": "tedlium_18681.wav", "duration": 9.06, "text": "it helped us enormously in the PH Exceed program that we had the single dose study"}, {"path": "tedlium_18682.wav", "duration": 9.06, "text": "And we also actively get involved in the digital platform. In fact, we will slowly get into"}, {"path": "tedlium_18683.wav", "duration": 9.06, "text": "sort of macro drivers to determine specifically who's going to be most competitive at that time because it really gets back to the financing needs of the acquirer of the asset."}, {"path": "tedlium_18684.wav", "duration": 9.06, "text": "a new determination to deliver cost and production efficiencies and the continued efforts of the Vanguard employees will be the catalysts for delivering successes"}, {"path": "tedlium_18685.wav", "duration": 9.06, "text": "Finally, we have brought on a consulting group in order to support the organization as it endeavors to improve processes and organizational alignment,"}, {"path": "tedlium_18686.wav", "duration": 9.06, "text": "A lot of the traffic that we took on during the second quarter, not only was some of that long-distance, which definitely is very low margin,"}, {"path": "tedlium_18687.wav", "duration": 9.06, "text": "which give customers ability to read newspapers, so in the mobile, and also the mobimoney. So now we can say that we have a complete portfolio"}, {"path": "tedlium_18688.wav", "duration": 9.06, "text": "and that we will have some operating synergies. So if you throw those things and -- as an impact of the transaction in terms of"}, {"path": "tedlium_18689.wav", "duration": 9.06, "text": "In Management Services, we delivered strong results, led by our leading capabilities in the markets with high barriers to entry and our diverse portfolio of projects."}, {"path": "tedlium_18690.wav", "duration": 9.06, "text": "which was partially offset by an increase in the decoupling mechanism and the August 1 price increase for placing Carty into service."}, {"path": "tedlium_18691.wav", "duration": 9.06, "text": "Our wealth management business also performed well and also benefited from the strong markets and investments we made to grow our client-facing teams."}, {"path": "tedlium_18692.wav", "duration": 9.06, "text": "Today, our Recovery Audit business is performing very well, and we are continuing to see meaningful organic growth in this segment."}, {"path": "tedlium_18693.wav", "duration": 9.06, "text": "Good afternoon, and thank you for joining us on the call today. As you know, Intuitive is dedicated to the mission of expanding the availability of minimally invasive surgery,"}, {"path": "tedlium_18694.wav", "duration": 9.06, "text": "I think that, ultimately, what we want to do for the balance of this year, and I want to keep in mind that any money invested in inventory is fungible."}, {"path": "tedlium_18695.wav", "duration": 9.06, "text": "The actions we are taking in these areas will not only help us weather the tempestuous environment facing the industry but also leave us well placed"}, {"path": "tedlium_18696.wav", "duration": 9.06, "text": "as we build on ITG's proud 3-decade legacy to continue to ramp up client momentum and deliver sustainable margin improvement."}, {"path": "tedlium_18697.wav", "duration": 9.06, "text": "and that gives us a faster and more cost-efficient solution to the customers. And that's exactly what we're hearing in conversations with them, that they want at the moment."}, {"path": "tedlium_18698.wav", "duration": 9.06, "text": "plant capacity may not be the real capacity, while the real capacity may not be the strategical capacity either."}, {"path": "tedlium_18699.wav", "duration": 9.06, "text": "I had a crystal ball so I could predict with certainty when certain technologies would be adopted, I'd probably be doing something else for a living, John."}, {"path": "tedlium_18700.wav", "duration": 9.06, "text": "can you give us a little bit more color as to what exactly is causing that? And then second, could I just get the number for stock-based comp in the quarter?"}, {"path": "tedlium_18701.wav", "duration": 9.06, "text": "service providers that are going to be interested in changing the way they go about building their networks. They're just going to be looking for another vendor. That's distinctly not our play."}, {"path": "tedlium_18702.wav", "duration": 9.06, "text": "Those are -- I don't need to say anything else about what's happening in the business as we shift to our platform company."}, {"path": "tedlium_18703.wav", "duration": 9.06, "text": "So in terms of any angst or risk that you build into the model, there should be none of that as it relates to Kaiser."}, {"path": "tedlium_18704.wav", "duration": 9.06, "text": "The effect of these 2 transactions is now included in our updated interest expense guidance."}, {"path": "tedlium_18705.wav", "duration": 9.06, "text": "the rest of the presentation at this point, which is what happened to us last week and how can we convince you that we're fully out"}, {"path": "tedlium_18706.wav", "duration": 9.06, "text": "Okay. So you're still -- with some of your newer customer you're still in a phase of kind of ramping up with them, so you could see some natural share gains just from them?"}, {"path": "tedlium_18707.wav", "duration": 9.06, "text": "And then there is a productivity gain on the back end where we can deploy more systems with fewer people."}, {"path": "tedlium_18708.wav", "duration": 9.06, "text": "To be clear, we are not seeing anything indicating this in our portfolio today. We just know from experience to be mindful of the scenario."}, {"path": "tedlium_18709.wav", "duration": 9.06, "text": "Where was this business at its peak and where are we right now in the cycle relative to the peak that this business has seen in the past?"}, {"path": "tedlium_18710.wav", "duration": 9.06, "text": "Additional information concerning risk factors and cautionary statements are available in our most recent SEC filings and most recent Prestige Brands 10-K."}, {"path": "tedlium_18711.wav", "duration": 9.06, "text": "all these big tire dumps, but then you go to a big passenger car, you don't get the biofuel, because it's a synthetic rubber that's used."}, {"path": "tedlium_18712.wav", "duration": 9.06, "text": "which was mostly in the first half. As we started to see -- to make the investments, as we locked in our margins and started to make the investments in selected markets"}, {"path": "tedlium_18713.wav", "duration": 9.06, "text": "You may remember this time around January last year, I talked about U.K. returns going down for the first time that I could remember."}, {"path": "tedlium_18714.wav", "duration": 9.06, "text": "we think adding senior resources to help out administratively that might have specialized workout skills or specialized"}, {"path": "tedlium_18715.wav", "duration": 9.06, "text": "These concrete steps, along with ongoing efforts to train and increase our staff, will put us in a better state of preparedness"}, {"path": "tedlium_18716.wav", "duration": 9.06, "text": "and we are starting to hand over some of the units to tenants for internal fit-out. And we target to open the tower portion for operations by the end of the year."}, {"path": "tedlium_18717.wav", "duration": 9.06, "text": "in more than 30 countries and is a preferred and qualified partner of a number of international organizations and nongovernmental organizations,"}, {"path": "tedlium_18718.wav", "duration": 9.06, "text": "And this acquisition is part of our overall strategy to increase our India footprint and build capability in long products while improving our product portfolio."}, {"path": "tedlium_18719.wav", "duration": 9.06, "text": "We completed the private placement on December 27. For more details on the terms of the draw-down facility, please see our news release"}, {"path": "tedlium_18720.wav", "duration": 9.06, "text": "look, I think anybody who watches what's going on in Washington, whether it's tax reform or regulatory rollback,"}, {"path": "tedlium_18721.wav", "duration": 9.06, "text": "more and more of what we're holding in cash and security all qualify as high-quality liquid assets as opposed to other security balances that"}, {"path": "tedlium_18722.wav", "duration": 9.06, "text": "One example of the efficiency from sitewide software adoption comes from ABB, a global leader in power and automation technologies."}, {"path": "tedlium_18723.wav", "duration": 9.06, "text": "In summary, we felt the impacts of a challenging economic environment in Q1 and still managed to deliver positive core revenue growth."}, {"path": "tedlium_18724.wav", "duration": 9.06, "text": "nor are we expecting a meaningful decrease. And so it would more or less on par with kind of how we've been tracking in Q1 is how we're currently seeing it."}, {"path": "tedlium_18725.wav", "duration": 9.06, "text": "is due to the strong partnership and trust that we have worked hard to establish with our franchisee partners."}, {"path": "tedlium_18726.wav", "duration": 9.06, "text": "and we continue to understand more and more about how to improve the ongoing reliability of these products."}, {"path": "tedlium_18727.wav", "duration": 9.06, "text": "a lot of activity there. Kevin mentioned, there is so much activity going on in the core space right now, which normally you don't see big blips"}, {"path": "tedlium_18728.wav", "duration": 9.06, "text": "Looking to the full year, our expectations for fiscal '18 remain unchanged. We continue to expect organic net sales growth"}, {"path": "tedlium_18729.wav", "duration": 9.06, "text": "And also, the action that we've taken last year in terms of selling prices are paying off and we were able to more than offset"}, {"path": "tedlium_18730.wav", "duration": 9.06, "text": "those that drive traffic and then drive conversion in the stores were likely to keep spending as long as we are convinced that it's driving that top line."}, {"path": "tedlium_18731.wav", "duration": 9.06, "text": "we have a different level of liquidity, and we're able to go out and talk to and describe to our vendor partners why doing business with Lumber Liquidators is important,"}, {"path": "tedlium_18732.wav", "duration": 9.06, "text": "We will continue to look for ways to support our stores and our store associates, and I want to personally thank each one of them for their hard work this quarter."}, {"path": "tedlium_18733.wav", "duration": 9.06, "text": "that we can have in '19 is the beginning of the investment on our new distribution center in the North of France. That's"}, {"path": "tedlium_18734.wav", "duration": 9.06, "text": "international and online sales, both of which continued to increase their penetration rate in our overall sales."}, {"path": "tedlium_18735.wav", "duration": 9.06, "text": "And this shows the excellent integration we have achieved between the 2 teams, achieving a record time in opening this first store."}, {"path": "tedlium_18736.wav", "duration": 9.06, "text": "positioning ourselves for improved profitability in this important growth market. So let's dive a little deeper into each of the segments."}, {"path": "tedlium_18737.wav", "duration": 9.06, "text": "In addition, we have also started our next phase of improving our technology platform by identifying key drivers of success"}, {"path": "tedlium_18738.wav", "duration": 9.06, "text": "and we're focused on delivering value to customers by preserving the residual value of the aircraft moving forward. So all in all, we feel good about"}, {"path": "tedlium_18739.wav", "duration": 9.06, "text": "Sure. And just taking a look of a historical perspective, we had many years where we didn't have any expansion sites. Over the last couple of years,"}, {"path": "tedlium_18740.wav", "duration": 9.06, "text": "The only caveat that I would put on that is that we will not damage any successful local Enerpac distributor. We intend to cover"}, {"path": "tedlium_18741.wav", "duration": 9.06, "text": "But it's not choosing one or the other at this point. It's a matter of moving them all forward. And depending on all the different variables that have to work"}, {"path": "tedlium_18742.wav", "duration": 9.06, "text": "We have potential new retailers that are still going through the process and want to be a part of the plan. And that's in"}, {"path": "tedlium_18743.wav", "duration": 9.06, "text": "benefiting from the long CapEx cycles and heavier recurring revenue component, driven by monthly fills on existing platforms."}, {"path": "tedlium_18744.wav", "duration": 9.06, "text": "Our strong household proposition led to continued growth in bundled services. Now let's move to Mobile."}, {"path": "tedlium_18745.wav", "duration": 9.06, "text": "We executed our balanced capital allocation strategy and deliver to our commitment by aggressively addressing both return of capital to shareholders"}, {"path": "tedlium_18746.wav", "duration": 9.06, "text": "The prolonged economic downturn, the sluggish growth of trade flows and persistently low commodity prices will definitely continue"}, {"path": "tedlium_18747.wav", "duration": 9.06, "text": "And I'm just wondering, is this all due to the structure of the Amazon deal? Or is there other factors kind of playing into that?"}, {"path": "tedlium_18748.wav", "duration": 9.06, "text": "will see some sort of improvement in that fixed broadband ARPU trend? I mean, there must be a lot of customers on promotional pricing at the moment."}, {"path": "tedlium_18749.wav", "duration": 9.06, "text": "it's simply too early to tell what the impact is because we just haven't seen it. I've made the point in recent times that"}, {"path": "tedlium_18750.wav", "duration": 9.06, "text": "Frank has been extremely helpful during this transition and I look forward to continuing to work with him as our Chairman of the Board."}, {"path": "tedlium_18751.wav", "duration": 9.06, "text": "in a given year, the recurring revenue will start to be generated as of next year and -- because it takes about at least 6 months."}, {"path": "tedlium_18752.wav", "duration": 9.06, "text": "Turning to Slide 4, on the second topic of growth and investment. I want to spend the next few minutes discussing the quarter for both of our segments."}, {"path": "tedlium_18753.wav", "duration": 9.06, "text": "a commercial show there for not only Western Europe but Eastern Europe and parts of the rest of the globe. There's a lot of international players coming to that show."}, {"path": "tedlium_18754.wav", "duration": 9.06, "text": "equipment, existing equipment has to be taken off-line. So we've seen a balance of rebuilding equipment,"}, {"path": "tedlium_18755.wav", "duration": 9.06, "text": "The grain market continues to grow at healthy rates based on a study conducted by Informa Economics. Paraguay, Bolivia and Brazil are"}, {"path": "tedlium_18756.wav", "duration": 9.06, "text": "So how I think about it is that the -- in the past, Barnes Group historically has played predominantly in the widebody arena."}, {"path": "tedlium_18757.wav", "duration": 9.06, "text": "This demonstrates the group's confidence in its capital position and also help facilitate the new revolving credit facility"}, {"path": "tedlium_18758.wav", "duration": 9.06, "text": "The tax credit in 2015 derives from the settlement of a number of historic tax issues."}, {"path": "tedlium_18759.wav", "duration": 9.06, "text": "We're hoping that they can get that all out and permitted and designed and in place. But as always, with larger projects,"}, {"path": "tedlium_18760.wav", "duration": 9.06, "text": "really well-orchestrated, integrated approach to how we do that. And while it works, we think there is a way to really streamline and simplify"}, {"path": "tedlium_18761.wav", "duration": 9.06, "text": "your positioning and some of the conversations you're having for strategic partnerships? And has there been any change in the competitive dynamic with any of the other"}, {"path": "tedlium_18762.wav", "duration": 9.06, "text": "Ladies and gentlemen, thank you for your participation. This concludes today's conference. You may disconnect your lines at this time, and have a wonderful day."}, {"path": "tedlium_18763.wav", "duration": 9.06, "text": "Yes. Sure. So the answer is, we definitely were looking at it back in November once we completed the Care Capital transaction. And at that time,"}, {"path": "tedlium_18764.wav", "duration": 9.06, "text": "as growth in our ceramic technology and industrial and environmental sectors will likely offset declines in our base ceramic and sand revenues."}, {"path": "tedlium_18765.wav", "duration": 9.06, "text": "A significant portion of these sales are related to the NanoKnife disposable approval in China where we have already received approval of our generator earlier this fiscal year."}, {"path": "tedlium_18766.wav", "duration": 9.06, "text": "I want to remind all listeners that FedEx Corporation desires to take advantage of the safe harbor provisions of the Private Securities Litigation Reform Act."}, {"path": "tedlium_18767.wav", "duration": 9.06, "text": "We are hopeful to conclude the year in the upper half of our guidance range but wanted to continue to provide numbers that we are confident we can consistently achieve."}, {"path": "tedlium_18768.wav", "duration": 9.06, "text": "Adjusting for this unfavorable impact, our RASM performance looks to be at least on par with the industry,"}, {"path": "tedlium_18769.wav", "duration": 9.06, "text": "single OTT platform with every single one of our channels because we are not prepared to be giving our signals away or subsidizing"}, {"path": "tedlium_18770.wav", "duration": 9.06, "text": "again, in conclusion on this one, there's more that can be done there. I think we've raised the level on both free cash flow and cash flow from operations."}, {"path": "tedlium_18771.wav", "duration": 9.06, "text": "acquisition effect of Commerzbank, though we confirm here that we're able to generate capital organically."}, {"path": "tedlium_18772.wav", "duration": 9.06, "text": "Speedway continues to perform very well, reporting its third best quarter ever. Speedway delivered record second quarter segment income from operations"}, {"path": "tedlium_18773.wav", "duration": 9.06, "text": "As a reminder, the revenue line does not capture the increasing pace of activity at the Orpic project because, as many of you know,"}, {"path": "tedlium_18774.wav", "duration": 9.06, "text": "of having Rotork A level up here on all critical applications. And these are the meetings that I've sat in a couple of them last year in China"}, {"path": "tedlium_18775.wav", "duration": 9.06, "text": "Retirement commissions and fees were down as a result of a decrease in actuarial fees, partly offset by new pension administration client fees."}, {"path": "tedlium_18776.wav", "duration": 9.06, "text": "Including the impact of our recently expanded commercial team, important new data from the ALPINE study and a recent national formulary addition."}, {"path": "tedlium_18777.wav", "duration": 9.06, "text": "faster than the market. So we are implying that we expect to continue our market share gains. And so robust front end,"}, {"path": "tedlium_18778.wav", "duration": 9.06, "text": "Expansion in Europe has been a strategic focus for PolyOne, and our investments in the commercial team are paying off."}, {"path": "tedlium_18779.wav", "duration": 9.06, "text": "will accelerate early in the year and then probably decelerate through the middle of the year as they complete this project, and we just wanted to reflect"}, {"path": "tedlium_18780.wav", "duration": 9.06, "text": "Fourth, I would like to talk about our financing strategy to build a commercial-scale plant for the production of Nisin, our active ingredient in Mast Out."}, {"path": "tedlium_18781.wav", "duration": 9.0300625, "text": "Fund flows in Asset Management continue to reflect the trend of outflows from money market funds and the general nervousness about the markets in Europe."}, {"path": "tedlium_18782.wav", "duration": 9.0300625, "text": "Several assumptions were made in preparing these statements, and we wish to emphasize that there are risks that actual events or results may differ materially from these statements."}, {"path": "tedlium_18783.wav", "duration": 9.0300625, "text": "I know you're not providing guidance for '16, but I'm curious, do you think that with respect to not providing that guidance at this point, does it make sense to"}, {"path": "tedlium_18784.wav", "duration": 9.0300625, "text": "There are clear opportunities to maximize the value of this unique position over time as the industry continues to consolidate."}, {"path": "tedlium_18785.wav", "duration": 9.03, "text": "So just wanted to know the sort of story behind these comments. Why do you say that there is a concern on demand where no other FMCG has"}, {"path": "tedlium_18786.wav", "duration": 9.03, "text": "similar to the program that we had -- program we had last year. I think we dropped retention slightly on large claims,"}, {"path": "tedlium_18787.wav", "duration": 9.03, "text": "in the next customer investment rounds. The particular focus is expanding our reach into logic and memory markets in the era"}, {"path": "tedlium_18788.wav", "duration": 9.03, "text": "Secondly, the financial reset that we did in December. It was a painful event, but it was the right thing to do."}, {"path": "tedlium_18789.wav", "duration": 9.03, "text": "Both of these countries are the largest origination sources for our coal business, and the hardening in price is a welcome respite for the mining industry."}, {"path": "tedlium_18790.wav", "duration": 9.03, "text": "In Heidrick Consulting, we're scaling the business to increase our impact with clients building on the success of our platform, Accelerating Performance."}, {"path": "tedlium_18791.wav", "duration": 9.03, "text": "Good afternoon. My name is Rob, and I will be your conference operator today."}, {"path": "tedlium_18792.wav", "duration": 9.03, "text": "due to the recently approved legislative bill in the State of Michigan, which is aimed at increasing funds for roads and infrastructure."}, {"path": "tedlium_18793.wav", "duration": 9.03, "text": "maybe it will require some input from Rick on this, too. But as you look at the product portfolio and as you look at the operating"}, {"path": "tedlium_18794.wav", "duration": 9.03, "text": "including both founders, who have recognized the need to enhance internal control and take Marvell to the next level of performance."}, {"path": "tedlium_18795.wav", "duration": 9.03, "text": "and Marvell takes no obligation to revise or update publicly any forward-looking statements except as required under applicable law."}, {"path": "tedlium_18796.wav", "duration": 9.03, "text": "But after about 30 days, the inhibitory mechanisms that we keep talking about with a tumor take over and the tumors begin to grow."}, {"path": "tedlium_18797.wav", "duration": 9.03, "text": "to combine their investigative drugs in combination with brachyury. So the base combination is always our vaccine,"}, {"path": "tedlium_18798.wav", "duration": 9.03, "text": "And based on that one, I'd like you to take the following home. We are faced with challenges,"}, {"path": "tedlium_18799.wav", "duration": 9.03, "text": "And I don't know, it could be all day trader activity from some local people, but the fluctuations sometimes are -- just seems to be rather large."}, {"path": "tedlium_18800.wav", "duration": 9.03, "text": "First, we are developing a fully integrated customer loyalty program that offers rewards, both -- across both the pharmacy and the front store."}, {"path": "tedlium_18801.wav", "duration": 9.03, "text": "are you saying that -- in your commentary you talked about maybe not being quite as competitive if the city was not valuing the smart control aspects"}, {"path": "tedlium_18802.wav", "duration": 9.03, "text": "Across all of our environments, we understand well the dynamics reshaping asset management and distribution and as reflected in our comments so far,"}, {"path": "tedlium_18803.wav", "duration": 9.03, "text": "and we have a lot of flexibility. I think we acknowledge that there is kind of a fluid process and there is a lot of"}, {"path": "tedlium_18804.wav", "duration": 9.03, "text": "And our capital rebuild is ahead of plan. We're proud of that. And this bank has the ability to generate a lot of capital internally."}, {"path": "tedlium_18805.wav", "duration": 9.03, "text": "With the team that we have built, the investments we have made in both 2 outstanding business segments, we are perfectly positioned for continued profitable growth."}, {"path": "tedlium_18806.wav", "duration": 9.03, "text": "We have never been in a stronger competitive position, and I believe the future has never been brighter for Lear Corporation. I'm so excited to lead this great company."}, {"path": "tedlium_18807.wav", "duration": 9.03, "text": "I'm encouraged by our progress and the momentum that we have heading into 2018, which is a real tribute to the strength and commitment of our entire organization."}, {"path": "tedlium_18808.wav", "duration": 9.03, "text": "I hope that's at least modestly helpful to you. I appreciate that. I'm just a little bit curious about the process as well,"}, {"path": "tedlium_18809.wav", "duration": 9.03, "text": "Within our segment, there are also many initiatives under way to strengthen our competitive position and expand our integrated risk offerings."}, {"path": "tedlium_18810.wav", "duration": 9.03, "text": "in addition to what we've talked about with respect to the proceeds from Benefits, the capital release from Benefits and also the capital release from Health."}, {"path": "tedlium_18811.wav", "duration": 9.03, "text": "It won't be exactly linear because as a program comes in or we have changes in what we're doing, that will cause some variability in that growth, but it will expand over time,"}, {"path": "tedlium_18812.wav", "duration": 9.03, "text": "We have a strategy of maintaining a highly variable manufacturing cost structure, so that we can quickly adjust to market shifts, like we are seeing in the third quarter."}, {"path": "tedlium_18813.wav", "duration": 9.03, "text": "And so we are taking extra effort to align with the agency on every major"}, {"path": "tedlium_18814.wav", "duration": 9.03, "text": "This is a population which clearly has few and very limited therapeutic options and we're looking forward to meaningful discourse with the agency regarding the population,"}, {"path": "tedlium_18815.wav", "duration": 9.03, "text": "And we also talked about some of the challenges in getting it through the approval agencies and getting the product launched and shipping. We finally overcame those."}, {"path": "tedlium_18816.wav", "duration": 9.03, "text": "Please note that they are the property of Solar Senior Capital Ltd. and that any unauthorized broadcasts in any form are strictly prohibited."}, {"path": "tedlium_18817.wav", "duration": 9.03, "text": "to deliver superior customer experiences on every interaction. Now I'd like to share a few examples of key wins from the quarter."}, {"path": "tedlium_18818.wav", "duration": 9.03, "text": "what are we doing to purposely make investors aware of the opportunity? And I do believe the opportunity is there."}, {"path": "tedlium_18819.wav", "duration": 9.03, "text": "most of '16 will be focused on integrating the company, and we would expect most of those synergies to be"}, {"path": "tedlium_18820.wav", "duration": 9.03, "text": "and reflects the increased unit growth we experienced in the first quarter. We also expect the new premium banked Renegade and Empire Arena games,"}, {"path": "tedlium_18821.wav", "duration": 9.03, "text": "To realize the highest return from our operations, we remain committed to growing recurring revenue from our installed base units."}, {"path": "tedlium_18822.wav", "duration": 9.03, "text": "It is far too early to say that this is the early indications of this. This was more due to retail opening and different launch schedules than anything else."}, {"path": "tedlium_18823.wav", "duration": 9.03, "text": "we have historically done very well with MSSP segment of that business as well as the infrastructure. And we saw deals in both parts of that business in the quarter."}, {"path": "tedlium_18824.wav", "duration": 9.03, "text": "you just speak to what you see at some of the key variables that could move you to the lower -- higher end of the range still within the fourth quarter?"}, {"path": "tedlium_18825.wav", "duration": 9.03, "text": "while acquisitions like Netcentric and Mirabeau are further enhancing our digital leadership in Continental Europe, leading to a number of recent digital wins."}, {"path": "tedlium_18826.wav", "duration": 9.03, "text": "A 20% expansion in our product capacity for the core product since last year and our ability to maintain steady production"}, {"path": "tedlium_18827.wav", "duration": 9.03, "text": "and we have multiple operated assets which will give us flexibility both in attracting partners and reducing capital exposure."}, {"path": "tedlium_18828.wav", "duration": 9.03, "text": "We started that investment in the fourth quarter of 2016, and that makes up a little over half of the total"}, {"path": "tedlium_18829.wav", "duration": 9.03, "text": "With respect to leveraging capital, during the quarter, we began working with several major financial institutions to establish a wholesale credit facility at the holding company"}, {"path": "tedlium_18830.wav", "duration": 9.03, "text": "And at some point, at a certain rig count, you're going to see the ability for pressure pumping pricing to move up higher across the industry."}, {"path": "tedlium_18831.wav", "duration": 9.03, "text": "With our increasing activity and headcount, I'm pleased that our operational execution continues to improve as nonproductive time and drilling"}, {"path": "tedlium_18832.wav", "duration": 9.03, "text": "in -- now in the first quarter and on into the second. So although new equipment, I have to caution you, if you put in a new piece of equipment, it takes a while to"}, {"path": "tedlium_18833.wav", "duration": 9.03, "text": "So I just want to say thank you for everyone for being on the phone, and thank you, for the questions. This is a very exciting time for us"}, {"path": "tedlium_18834.wav", "duration": 9.03, "text": "And given our greater than 60% replacement market focus and the strength of our brand, we believe that we are well positioned in this regard."}, {"path": "tedlium_18835.wav", "duration": 9.03, "text": "We are investing in agent training, cross-sell initiatives and marketing campaigns as well as infrastructure improvements to support sales growth in this segment."}, {"path": "tedlium_18836.wav", "duration": 9.03, "text": "I'm excited about the benefit of these opportunities, along with a continued focus on taking care of our customers will provide to our performance in future quarters."}, {"path": "tedlium_18837.wav", "duration": 9.03, "text": "as far as what we're continuing to work on, it's really a focus on working capital management. So you could see we made improvements in"}, {"path": "tedlium_18838.wav", "duration": 9.03, "text": "in some sense there's a bit of a step change in some cost categories during half 1. Can you give us more of a sense on how you expect"}, {"path": "tedlium_18839.wav", "duration": 9.03, "text": "we expect a moderate increase in revenues at Hamilton Beach in 2016 compared with '15, provided consumer spending is at expected levels."}, {"path": "tedlium_18840.wav", "duration": 9.03, "text": "Through these and other efforts, we are building on our momentum from last year, when we reduced well cost 7% across active areas."}, {"path": "tedlium_18841.wav", "duration": 9.03, "text": "In fact, in the fourth quarter, market volumes declined by almost 10%. Our own business is holding up well in these conditions,"}, {"path": "tedlium_18842.wav", "duration": 9.03, "text": "the picture here is a picture of composite fan, which will be used on UltraFan in the future. As these fans get larger and larger,"}, {"path": "tedlium_18843.wav", "duration": 9.03, "text": "you never know what comes down the road, but certainly not top of mind for us at this point of time. On the management changes,"}, {"path": "tedlium_18844.wav", "duration": 9.03, "text": "Our performance is ramping as a result of the investments we've been making in the business coupled with a disciplined approach to balanced revenue growth with improved profitability."}, {"path": "tedlium_18845.wav", "duration": 9.03, "text": "as we can see that the company's financial structure is getting better and better, I wonder"}, {"path": "tedlium_18846.wav", "duration": 9.03, "text": "usually for the preorders, so we believe the stock level is still reasonable. Since Q3 is usually a high season for ordering"}, {"path": "tedlium_18847.wav", "duration": 9.03, "text": "We believe this will further expand our organic growth opportunities for Unique, as the need for increased vehicle weight reduction takes hold,"}, {"path": "tedlium_18848.wav", "duration": 9.03, "text": "We believe, with this colonic release formulation, we have the potential to see greater and faster pain relief in this patient population."}, {"path": "tedlium_18849.wav", "duration": 9.03, "text": "So banks are very well collateralized and there's a lot of solid assets in the company. And when you're dealing with a receivable from Universal"}, {"path": "tedlium_18850.wav", "duration": 9.03, "text": "in revenue through a rate increase to be effective January 1, 2016. The settlement will help fund additional reliability improvements"}, {"path": "tedlium_18851.wav", "duration": 9.03, "text": "to analyze where we go. And I'm sure we'll conclude this September, as we have the past several Septembers, that we have a really solid"}, {"path": "tedlium_18852.wav", "duration": 9.03, "text": "A bit later in the call, I will highlight some of the scientific progress we made in further developing our C1 gene expression platform."}, {"path": "tedlium_18853.wav", "duration": 9.03, "text": "So it'd be fair to assume then that you have spoken to a set of potential purchasers in the past?"}, {"path": "tedlium_18854.wav", "duration": 9.03, "text": "with what we're willing to pay and how we're going to create value and have the plan. And what I've always said is we've got to have the plan. There's a cost synergy plan"}, {"path": "tedlium_18855.wav", "duration": 9.03, "text": "that was caused by our fourth quarter implementation as a new clinical IT system at our Conemaugh Health System in Pennsylvania."}, {"path": "tedlium_18856.wav", "duration": 9.03, "text": "So in other words, it's not in any way related to not having what the market wants. It's just the overall slowdown."}, {"path": "tedlium_18857.wav", "duration": 9.03, "text": "Finally, our new and active customers were down slightly in the quarter, reflecting the previously mentioned circulation cuts."}, {"path": "tedlium_18858.wav", "duration": 9.03, "text": "We are with some small upside in the latter part of the year for some price increases. I think it's important to note, Jon, that"}, {"path": "tedlium_18859.wav", "duration": 9.03, "text": "He's lived and worked on 3 continents and has proven his ability to drive growth on both the top and bottom lines."}, {"path": "tedlium_18860.wav", "duration": 9.03, "text": "there has been no impact at all. And we do not expect any impact. That is -- where we use Canadian crude oil today."}, {"path": "tedlium_18861.wav", "duration": 9.03, "text": "However, the time to complete the project has taken longer than anticipated, again, extending the forecasted cash flows of the project."}, {"path": "tedlium_18862.wav", "duration": 9.03, "text": "to drive top and bottom line is one of the things that will continue to distinguish us. And so I think we've got good visibility to the places"}, {"path": "tedlium_18863.wav", "duration": 9.03, "text": "and we had revenues. A lot of that just showed up, if you will, in -- coming out of the margin of Geismar. So it's a little bit complicated when you think about"}, {"path": "tedlium_18864.wav", "duration": 9.03, "text": "Given the recent price announcements by national brands and other competitors, we expect to further increase prices in the overall business in the second half."}, {"path": "tedlium_18865.wav", "duration": 9.03, "text": "I would like to thank all of our team members for continuing to take care of our customers, and as important, each other. With that, I will turn the call over to Robert."}, {"path": "tedlium_18866.wav", "duration": 9.03, "text": "Water Quality Systems was our only segment to deliver core growth as the pool business once again finished the season in a strong position."}, {"path": "tedlium_18867.wav", "duration": 9.03, "text": "as well as the absolute EBITDA. This is also the first quarter, where we have included the Bhushan Steel financials for the full quarter in our results."}, {"path": "tedlium_18868.wav", "duration": 9.03, "text": "we're doing -- we feel really good about it, and I think we can correctly point to things like the expansion of PowerPlay is an example. We've expanded that program that is our"}, {"path": "tedlium_18869.wav", "duration": 9.03, "text": "Anybody that could move wood have the opportunity. And so I just -- I think the overall weather dynamics probably mitigated some of that impact."}, {"path": "tedlium_18870.wav", "duration": 9.03, "text": "people in other parts of South America. So it seems as if there's a paradigm shift that has occurred in Argentina because of the new government,"}, {"path": "tedlium_18871.wav", "duration": 9.03, "text": "We are fortunate to be in a position to report another healthy operational quarter, featuring strong organic growth as well as margin expansion."}, {"path": "tedlium_18872.wav", "duration": 9.03, "text": "We can see sustained growth, but going forward with a transformative shift in driving down the cash burn, we are confident that we can exit the year with a meaningful reduction of burn rate"}, {"path": "tedlium_18873.wav", "duration": 9.03, "text": "partnerships like that to come onto those marketplace solutions. And what we're doing there is helping sellers"}, {"path": "tedlium_18874.wav", "duration": 9.03, "text": "because it applies across the whole book rather than to the subset that does not have credible claims experience."}, {"path": "tedlium_18875.wav", "duration": 9.03, "text": "Our focus on improving the value of the program continues, with significant expansion in partners. Over 90 added in the half"}, {"path": "tedlium_18876.wav", "duration": 9.03, "text": "So just given that this is going to be expected to be longer process than was originally planned, we don't expect to get it in this half."}, {"path": "tedlium_18877.wav", "duration": 9.03, "text": "And then he also says, the terms of the settlement in no way change our business model as a direct selling company but simply build upon current procedures."}, {"path": "tedlium_18878.wav", "duration": 9.03, "text": "discontinued operations status as well as lower acquisition and integration and restructuring and related costs this year."}, {"path": "tedlium_18879.wav", "duration": 9.03, "text": "and at the same time, really, pressure test and demonstrate to insurers that there is a strong interest by the patients"}, {"path": "tedlium_18880.wav", "duration": 9.03, "text": "what an average booking window for a sizable group looks like today versus where we were a year ago or 2 years ago? Just so we have a sense of that."}, {"path": "tedlium_18881.wav", "duration": 9.03, "text": "Let me expand a little bit more on the industrial footprint review that we have launched at the beginning of the year."}, {"path": "tedlium_18882.wav", "duration": 9.03, "text": "During the quarter, logistics again demonstrated margin and bottom line growth to our margin enhancement initiatives along with efficiency gains."}, {"path": "tedlium_18883.wav", "duration": 9.03, "text": "Based on the orders and our preliminary assessment, if upheld, the process set out in the orders is likely to delay the planned startup of construction,"}, {"path": "tedlium_18884.wav", "duration": 9.03, "text": "expand our product capabilities from just upholstery fabrics for chairs in the main lobbies to the window treatments."}, {"path": "tedlium_18885.wav", "duration": 9.03, "text": "I think it enhances the value of the product because it gives greater confidence that the product will be successful."}, {"path": "tedlium_18886.wav", "duration": 9.03, "text": "We believe these non-GAAP financial measures are helpful in our understanding our past financial performance and potential future results."}, {"path": "tedlium_18887.wav", "duration": 9.03, "text": "And that has helped us mitigate the impact. And we don't foresee a change in that overall environment. We don't foresee a change in pricing discipline. We do not foresee"}, {"path": "tedlium_18888.wav", "duration": 9.03, "text": "I'm pleased with the progress but recognize we still have a lot of work to do on optimizing the product development process and launch philosophy."}, {"path": "tedlium_18889.wav", "duration": 9.03, "text": "for the individual consumer, you see a spike in consumption, mainly for luxury goods as chocolate"}, {"path": "tedlium_18890.wav", "duration": 9.03, "text": "on their own 800 stores in Brazil. So we can as well bet on their health."}, {"path": "tedlium_18891.wav", "duration": 9.03, "text": "As well as we mentioned some of our restructuring charges were related to our Industrial business. So that is why we're still confident that our"}, {"path": "tedlium_18892.wav", "duration": 9.03, "text": "It would be difficult for us to believe it would be the last 2, because the thing is so similar to what is going on"}, {"path": "tedlium_18893.wav", "duration": 9.03, "text": "And so for us to have an agreement that allows us to not just have better pricing economics, but sizes, packs, flavors, channels, all of that stuff,"}, {"path": "tedlium_18894.wav", "duration": 9.03, "text": "highlighting the relative strength of our specialty-focused ag business in what was one of the weakest global ag market in decades."}, {"path": "tedlium_18895.wav", "duration": 9.03, "text": "I think our goal is try and clearly keep investment in working capital to a minimum, if not actually even getting cash out of it."}, {"path": "tedlium_18896.wav", "duration": 9.03, "text": "This long-time focus on waste elimination and velocity optimization continues to deliver increased operating leverage for the business."}, {"path": "tedlium_18897.wav", "duration": 9.03, "text": "where large backers of, in particular, the Republican Party, have simply not shown up and are not spending the money."}, {"path": "tedlium_18898.wav", "duration": 9.03, "text": "we still continue to get very significant improvement in both recoveries and in how many"}, {"path": "tedlium_18899.wav", "duration": 9.03, "text": "The trend is positive, particularly with the chemicals industry with strong results, mainly in India."}, {"path": "tedlium_18900.wav", "duration": 9.03, "text": "and our liquidity, low leverage and good support from our bank group gives us flexibility to finance good acquisitions or accelerate the drilling program, as John mentioned."}, {"path": "tedlium_18901.wav", "duration": 9.03, "text": "And based on our execution for the first half of the year, we are on plan with both and as a result, on path to achieve our full year guidance."}, {"path": "tedlium_18902.wav", "duration": 9.03, "text": "The statements do not guarantee future performance and therefore, undue reliance should not be placed upon them. These forward-looking statements are based on current expectations of management"}, {"path": "tedlium_18903.wav", "duration": 9.03, "text": "getting commodity prices to exceed at a level that we can essentially plan effectively for. And so we'll continue to face that challenge"}, {"path": "tedlium_18904.wav", "duration": 9.03, "text": "Finally, while only a small part of our business today, we have significantly bolstered our capabilities in e-commerce."}, {"path": "tedlium_18905.wav", "duration": 9.03, "text": "so that means that the service margin within Digital Services is much lower during the fourth quarter than before."}, {"path": "tedlium_18906.wav", "duration": 9.03, "text": "Our discussion today includes certain non-GAAP financial measures which provide additional information that we believe is helpful to investors."}, {"path": "tedlium_18907.wav", "duration": 9.03, "text": "Of course, there also was and is some level of distraction for the current sales organization as we put these changes in place."}, {"path": "tedlium_18908.wav", "duration": 9.03, "text": "a lot -- that would be global. We have a lot of sourcing flexibility within that, where our sources will come from various parts around the world."}, {"path": "tedlium_18909.wav", "duration": 9.03, "text": "What we could expect is always difficult to be very precise on, but I think we should be able to see healthy double digits."}, {"path": "tedlium_18910.wav", "duration": 9.03, "text": "This strong Aerospace performance was partially offset by a 6% full year sales decline in Distribution."}, {"path": "tedlium_18911.wav", "duration": 9.03, "text": "And I'm confident that once the MannKind device is approved that, that will offer yet additional thousands of patients"}, {"path": "tedlium_18912.wav", "duration": 9.03, "text": "We think that one of the possible therapeutic strategies is to reduce this -- to reduce these symptoms is to target androgen deficiency,"}, {"path": "tedlium_18913.wav", "duration": 9.03, "text": "assets and so we've got a lot of opportunities to work with them as we continue to work through kind of a lower commodity price cycle."}, {"path": "tedlium_18914.wav", "duration": 9.03, "text": "We are committed to maximizing synergies between the 2 legacy companies and will continue to identify opportunities for future efficiency."}, {"path": "tedlium_18915.wav", "duration": 9.03, "text": "Mick will provide more insight on these adjustments during his portion of the presentation. Now I'd like to briefly review the segment results for the third quarter."}, {"path": "tedlium_18916.wav", "duration": 9.03, "text": "Our projects are on schedule and on budget, and we plan to maintain this full-cycle strategy in Austin as well as in our newly entered markets this year."}, {"path": "tedlium_18917.wav", "duration": 9.03, "text": "I will begin my remarks about the company by stating that 2015 is our third consecutive year of growth in adjusted EBITDA and distributable cash flow."}, {"path": "tedlium_18918.wav", "duration": 9.03, "text": "I think the best way to explain my role is to say that it is unlikely that I will be speaking to you as CEO a year from now."}, {"path": "tedlium_18919.wav", "duration": 9.03, "text": "We have a target of getting to maybe half of our customers coming from outsourcing, so we do expect that to continue to"}, {"path": "tedlium_18920.wav", "duration": 9.03, "text": "We are pleased with the progress we've made over the past 5 quarters since I became CEO but recognize we still have much hard work ahead of us"}, {"path": "tedlium_18921.wav", "duration": 9.03, "text": "compared to the end of the first quarter of 2017, as the operational impacts of Cyclone Debbie in Australia were less than previously anticipated."}, {"path": "tedlium_18922.wav", "duration": 9.0299375, "text": "coupled with the retail configuration we have and now our really strong mortgage business has been one of the earning engines for the Arlington Bank historically."}, {"path": "tedlium_18923.wav", "duration": 9.0299375, "text": "and earlier human data results, we are increasingly encouraged by the potential opportunities presented by our PKU program."}, {"path": "tedlium_18924.wav", "duration": 9.0, "text": "Can you maybe say a little bit on -- are there more opportunities coming by in the last few quarters than there were a year ago? Or"}, {"path": "tedlium_18925.wav", "duration": 9.0, "text": "Using the same analysis Kevin mentioned earlier, our stock price at the end of the quarter equated to a value of our entire private portfolio"}, {"path": "tedlium_18926.wav", "duration": 9.0, "text": "And then the only other question I have was just with the -- are you going to release the interim data from the HS study"}, {"path": "tedlium_18927.wav", "duration": 9.0, "text": "will definitely help with the delay of progression to end-stage renal disease since the protein itself"}, {"path": "tedlium_18928.wav", "duration": 9.0, "text": "our informal relationships with third parties, the dependence of our future success on the general economy and its impact on the industries in which we invest,"}, {"path": "tedlium_18929.wav", "duration": 9.0, "text": "I was wondering if that's roughly what you think you'll sell it for. You say you're pretty far into that process. So maybe you can give us some"}, {"path": "tedlium_18930.wav", "duration": 9.0, "text": "was direct cost related to the manufacturing and production side, so that goes through COGS more so. There's a couple of"}, {"path": "tedlium_18931.wav", "duration": 9.0, "text": "the company's business strategy and growth strategy. Expressions which identify forward-looking statements speak only as of the date the statement is made."}, {"path": "tedlium_18932.wav", "duration": 9.0, "text": "but the issue of reducing the global amount of portfolio is not in our mind. That means that"}, {"path": "tedlium_18933.wav", "duration": 9.0, "text": "We have decided to break this up into separate calls for finishing fiscal year '16 and then the first quarter"}, {"path": "tedlium_18934.wav", "duration": 9.0, "text": "This is Jeff, Nik. I think it's probably going to be closer to 50-50. A lot of the increased production in the Cooper Basin JV is"}, {"path": "tedlium_18935.wav", "duration": 9.0, "text": "I would say that the amount was the amount largely because we want to maintain flexibility around other things that we see and have in front of us."}, {"path": "tedlium_18936.wav", "duration": 9.0, "text": "difficult to predict and they do occur at different times of the year. Just to provide a little bit more background, if you look a year ago"}, {"path": "tedlium_18937.wav", "duration": 9.0, "text": "But it was also a year where we made a lot of progress. And we made progress in terms of beefing up our Board,"}, {"path": "tedlium_18938.wav", "duration": 9.0, "text": "Student retention experiences -- retention and experiences and academic outcomes remain a primary focus across all of our operating and support teams."}, {"path": "tedlium_18939.wav", "duration": 9.0, "text": "that since we have made it very, very clear how we find success in our restaurants now and how we"}, {"path": "tedlium_18940.wav", "duration": 9.0, "text": "We've rolled out specifically to those stores first because we knew that they were staffed. We already knew that they have a scale and already the habits of using that second make line"}, {"path": "tedlium_18941.wav", "duration": 9.0, "text": "Do you believe that the legislator is actually working on such solutions that would help you save money?"}, {"path": "tedlium_18942.wav", "duration": 9.0, "text": "That reset included taking some tough decisions and cleaning up the company's balance sheet. Adam will address the balance sheet in a few minutes."}, {"path": "tedlium_18943.wav", "duration": 9.0, "text": "So -- but we'll continue to observe what's happening and as far as what we see right now is that we are very confident at East West Bank,"}, {"path": "tedlium_18944.wav", "duration": 9.0, "text": "even after splitting a fee with subadvisers, we think we have a respectable fee attaching to this business"}, {"path": "tedlium_18945.wav", "duration": 9.0, "text": "and the business development offices that we had in 2017 and '18 had become acclimated and more productive as they gain experience at First Western."}, {"path": "tedlium_18946.wav", "duration": 9.0, "text": "changed dramatically or accelerated negatively in the most recent quarter or are you referring to more just a general trend over the last couple of years?"}, {"path": "tedlium_18947.wav", "duration": 9.0, "text": "to academic. It looks like there are just a few projects that are coming through. Given the continued subdued growth there, is that an area where you think"}, {"path": "tedlium_18948.wav", "duration": 9.0, "text": "through 2 strategically sound and financially compelling acquisitions of Avendra and the AmeriPride announced last month."}, {"path": "tedlium_18949.wav", "duration": 9.0, "text": "Lynne, who's our Head of Commercial, would want that to be as simple as possible and very attractive to patients. And"}, {"path": "tedlium_18950.wav", "duration": 9.0, "text": "we believe there is an opportunity to bring the data and information that we have on those 4.4 million small businesses"}, {"path": "tedlium_18951.wav", "duration": 9.0, "text": "Subsequent to the quarter end, Sage received an FDA warning letter, which relates to an inspection last September, shortly after we closed on the acquisition."}, {"path": "tedlium_18952.wav", "duration": 9.0, "text": "Under the terms of the agreement, Torchmark will retain all rights to the assets and liabilities as well as corresponding profits or losses"}, {"path": "tedlium_18953.wav", "duration": 9.0, "text": "the Canadian heavy volumes to the area that are most beneficial. We did consume a fair amount of Canadian heavy in the Gulf Coast."}, {"path": "tedlium_18954.wav", "duration": 9.0, "text": "north of a couple billion in assets in order to do that. We think it's an attractive opportunity down the road, because it would potentially lower"}, {"path": "tedlium_18955.wav", "duration": 9.0, "text": "We plan to integrate their e-commerce capabilities into our other Assurant offerings to provide a seamless customer buying experience."}, {"path": "tedlium_18956.wav", "duration": 9.0, "text": "with a long history of exceptional performance in the NICU. The integrated system, as well as our industry-leading comprehensive service model"}, {"path": "tedlium_18957.wav", "duration": 9.0, "text": "first and foremost, to grow the business. And part of that is looking very closely at -- and carefully at acquisitions in this space."}, {"path": "tedlium_18958.wav", "duration": 9.0, "text": "How are you going to allocate these resources between, say, advertising and promotion, brand building"}, {"path": "tedlium_18959.wav", "duration": 9.0, "text": "In connection with our initial public offering, we will incur a number of IPO-related expenses or special charges primarily in the second and third quarter."}, {"path": "tedlium_18960.wav", "duration": 9.0, "text": "in the last couple of quarters. Delivery times have been pretty long. And you see there a little bit of shift of,"}, {"path": "tedlium_18961.wav", "duration": 9.0, "text": "this year in the first quarter and we'll also see the positive impact of the higher run rate of cost savings"}, {"path": "tedlium_18962.wav", "duration": 9.0, "text": "We continued to expand our customer base and sales, and I'm glad to once again share that the results of our efforts are being demonstrated."}, {"path": "tedlium_18963.wav", "duration": 9.0, "text": "based on the annualized erosion for the products previously discussed, as well as the continued decline of the legacy pain portfolio,"}, {"path": "tedlium_18964.wav", "duration": 9.0, "text": "almost stumble upon the opportunity and with it enough to recognize it for the opportunity that it is,"}, {"path": "tedlium_18965.wav", "duration": 9.0, "text": "in addition to the announcement of the Breakthrough Therapy designation. For the remainder of this year, we will concentrate on the PROPEL study enrollment,"}, {"path": "tedlium_18966.wav", "duration": 9.0, "text": "as more funding flows to these areas or those areas of translational research at the intersection of patient needs an cutting-edge scientific capability."}, {"path": "tedlium_18967.wav", "duration": 9.0, "text": "We need to build the bank's profitability, and the main task of management remains the control of costs, for which we do need to continue to invest."}, {"path": "tedlium_18968.wav", "duration": 9.0, "text": "offsetting a number of outstanding cases within existing reserves, we still are working diligently to settle the major issues that remain."}, {"path": "tedlium_18969.wav", "duration": 9.0, "text": "a positive answer, but a warning that you should not expect that the growth should continue forever like we have seen this year."}, {"path": "tedlium_18970.wav", "duration": 9.0, "text": "hold that as a good proxy for what you could expect for the 3 divisions as an average organically."}, {"path": "tedlium_18971.wav", "duration": 9.0, "text": "building of the capability. So as we prepare ourselves with new owners and we prepare ourselves to relaunch the company,"}, {"path": "tedlium_18972.wav", "duration": 9.0, "text": "reflect both a strong improvement in our microcontrollers operating performance and a significant turnaround in digital."}, {"path": "tedlium_18973.wav", "duration": 9.0, "text": "Therefore we anticipate fourth quarter revenues to increase about 10% at the midpoint on a sequential basis."}, {"path": "tedlium_18974.wav", "duration": 9.0, "text": "what do you get a sense when speaking to customers is the main driver for the use of silicon carbide, is it improved range of the car"}, {"path": "tedlium_18975.wav", "duration": 9.0, "text": "And what is the -- is there any kind of provision in there for the customers that it has to be done by a certain time or they have an out in their contract?"}, {"path": "tedlium_18976.wav", "duration": 9.0, "text": "We are excited about the opportunities ahead of us as we continue to execute on our strategic initiatives and deliver financial outperformance to our shareholders."}, {"path": "tedlium_18977.wav", "duration": 9.0, "text": "Jocelyn has been a great asset to this organization and a great team member. To that end, Jocelyn has decided to move out of the GC role and seek that next chapter."}, {"path": "tedlium_18978.wav", "duration": 9.0, "text": "Risks and uncertainties exist that may cause actual results to differ materially from those expressed in these forward-looking statements including among others"}, {"path": "tedlium_18979.wav", "duration": 9.0, "text": "We also saw smaller orders for network nodes in other countries as a leading indicator of where they plan to go next."}, {"path": "tedlium_18980.wav", "duration": 9.0, "text": "you may see an acceleration. But I think it's going at a reasonable pace and what we're trying to convey to on this call, or we've tried to convey"}, {"path": "tedlium_18981.wav", "duration": 9.0, "text": "As I have said on previous occasions, we're committed to strengthening our earnings base so that we can steadily raise our payout ratio"}, {"path": "tedlium_18982.wav", "duration": 9.0, "text": "which will pull some of that liquid shortfall into the second quarter. So now we have a higher current price"}, {"path": "tedlium_18983.wav", "duration": 9.0, "text": "We are also aware that veterinarians are frustrated with their treatment options in cats. And some veterinarians are treating cats with ENTYCE even now."}, {"path": "tedlium_18984.wav", "duration": 9.0, "text": "current conditions and expected future development as well as other factors that the company currently believes are appropriate and reasonable in the circumstances."}, {"path": "tedlium_18985.wav", "duration": 9.0, "text": "Our third and revised aim is to strive for operational excellence in all facets of our business, to further improve profitability and returns."}, {"path": "tedlium_18986.wav", "duration": 9.0, "text": "which can be used to meet our near-term maturities. We are confident in our ability to satisfy our upcoming maturities, maintain a strong capital position."}, {"path": "tedlium_18987.wav", "duration": 9.0, "text": "Continuing with our revenue commentary, it is also informative to understand that we have intentionally redirected the smallest ESCO partners"}, {"path": "tedlium_18988.wav", "duration": 9.0, "text": "Our implementations are consistently improving with every new supplier. We have launched an end customer adoption program that we call Spark"}, {"path": "tedlium_18989.wav", "duration": 9.0, "text": "Moving on to Iran. We saw a consistent performance from the business with service revenue in the teens where we were"}, {"path": "tedlium_18990.wav", "duration": 9.0, "text": "The growth in subscription revenue is a result of our strong and balanced performance across the cloud portfolio, migration of our midmarket customers to NXT and"}, {"path": "tedlium_18991.wav", "duration": 9.0, "text": "The general trend in LTSS has been to ensure that individuals are in the right setting and receiving the right level of support and care."}, {"path": "tedlium_18992.wav", "duration": 9.0, "text": "addition, when you consider the loss sales associated with the facility closures and product exits that took place earlier in the year,"}, {"path": "tedlium_18993.wav", "duration": 9.0, "text": "comparing with Q1's. For the cost, without the blackout in accident and the earthquake and the last"}, {"path": "tedlium_18994.wav", "duration": 9.0, "text": "quarter. We're encouraged what we see there. And then when you combine that kind of innovation in food and beverage with what we're doing with the acceleration in digital,"}, {"path": "tedlium_18995.wav", "duration": 9.0, "text": "Let me assure you that we are energized by the foundational changes we have made and the prioritization that it provides toward our core value drivers."}, {"path": "tedlium_18996.wav", "duration": 9.0, "text": "I've given you examples of how we will keep our premium core brands vibrant and talked about increasing growth in mainstream spirits in India,"}, {"path": "tedlium_18997.wav", "duration": 9.0, "text": "And have you heard from them? No. I'm saying, that's what we will probably hear from them,"}, {"path": "tedlium_18998.wav", "duration": 9.0, "text": "A reconciliation of these non-GAAP measures is available in the news release and on the convergys.com website under Investor."}, {"path": "tedlium_18999.wav", "duration": 9.0, "text": "If you've tracked us closely through the years, as I know many of you have, you know that we have a strong track record of not just meeting but exceeding earnings targets."}, {"path": "tedlium_19000.wav", "duration": 9.0, "text": "The engagement has been aimed at employees owning the major hazards and identifying for themselves the controls that prevent fatalities."}, {"path": "tedlium_19001.wav", "duration": 9.0, "text": "But I think that we have good investments in these. I think that in the -- like in the medical space, I've got -- we've got some good products."}, {"path": "tedlium_19002.wav", "duration": 9.0, "text": "On the financial side, this is a low risk transaction that is expected to be accretive to earnings and neutral to tangible book value."}, {"path": "tedlium_19003.wav", "duration": 9.0, "text": "So they have a lot of established relationships with permanent residents and seasonal residents."}, {"path": "tedlium_19004.wav", "duration": 9.0, "text": "We're encouraged by the positive momentum we experienced in the first quarter and look forward to a strong remainder of the year."}, {"path": "tedlium_19005.wav", "duration": 9.0, "text": "for the beginning of the year was adjusted for price. And so it was more accelerated at the beginning part of the year."}, {"path": "tedlium_19006.wav", "duration": 9.0, "text": "it was an equipment dealer who basically said to us, you know, the big harvesters, the big custom cutters,"}, {"path": "tedlium_19007.wav", "duration": 9.0, "text": "with specific positive activity taking place in the defense and training side of the business, and we'll release more detail on these contracts once they're finalized."}, {"path": "tedlium_19008.wav", "duration": 9.0, "text": "and it needs to be something that can support these new initiatives that we're talking about going forward. And to your point, Thomas, we are definitely aware of the challenge that"}, {"path": "tedlium_19009.wav", "duration": 9.0, "text": "Is it actually capped? Or if you just do a good job, can you do better than that? My understanding is it's not a cap -- there's no cap, but I just wanted to make sure."}, {"path": "tedlium_19010.wav", "duration": 9.0, "text": "with the goal of improving safety in the global offshore helicopter industry through collaboration and sharing of information and best practices."}, {"path": "tedlium_19011.wav", "duration": 9.0, "text": "Performance has been in line with expectations, with about 50% of customers who received a basic offer choosing to buy up to the main cabin product."}, {"path": "tedlium_19012.wav", "duration": 9.0, "text": "Following his remarks, I will provide an overview of the financial highlights for the third quarter of 2017 before we open the call for questions."}, {"path": "tedlium_19013.wav", "duration": 9.0, "text": "Our industrial heat tracing business continues to win small projects, but our project growth was challenged as large Canadian projects are nearing completion."}, {"path": "tedlium_19014.wav", "duration": 9.0, "text": "Looking ahead to 2018. Our outlook generally assumes continued stable demand from our pharmaceutical and industrial end markets,"}, {"path": "tedlium_19015.wav", "duration": 9.0, "text": "In operations, we continue to release product enhancements to decrease the number of service calls and preventive maintenance visits on lasers in the field."}, {"path": "tedlium_19016.wav", "duration": 9.0, "text": "could make it more difficult for certain prospective buyers to qualify for uninsured mortgages and have a negative impact on originations within CWB Optimum."}, {"path": "tedlium_19017.wav", "duration": 9.0, "text": "As we look ahead, we are eager to capitalize on both our broader reach and the ongoing transformation of the financial services landscape."}, {"path": "tedlium_19018.wav", "duration": 9.0, "text": "No, we are not. That is correct. And the information is -- that we're using is the stated information from those groups building the plants."}, {"path": "tedlium_19019.wav", "duration": 9.0, "text": "Amount of capital accessed by these biotech companies from the capital markets was the largest in history."}, {"path": "tedlium_19020.wav", "duration": 9.0, "text": "we have been conservative in establishing the expected rates until we see improvement in collections or have new facts that lead us to believe that collections will improve."}, {"path": "tedlium_19021.wav", "duration": 9.0, "text": "But it no doubt helped the improved share position I referred to before, it built share as the year went on."}, {"path": "tedlium_19022.wav", "duration": 9.0, "text": "The unwinding of the discount will be recognized progressively through the interest line, with the other side of the entry increasing the value of the provision held on the balance sheet."}, {"path": "tedlium_19023.wav", "duration": 9.0, "text": "the transaction multiple looks like it's more in the 7 to 8x EBITDA range, which to us doesn't seem like it's"}, {"path": "tedlium_19024.wav", "duration": 9.0, "text": "who we would be very comfortable, we've been doing a lot of work in the background, putting into a referral programs so that those stock plan participants"}, {"path": "tedlium_19025.wav", "duration": 9.0, "text": "For that to occur, we need strong leadership. We're confident that such leadership will be provided by the new administration with the firm guidance of the Board."}, {"path": "tedlium_19026.wav", "duration": 9.0, "text": "In the power generation component of our Power segment, we will continue to be focused on reducing our costs to be aligned with market demand"}, {"path": "tedlium_19027.wav", "duration": 9.0, "text": "Because we are a systems-based company with proven processes in place, we believe our expansions into these new markets are well positioned for success."}, {"path": "tedlium_19028.wav", "duration": 9.0, "text": "of people that would be closer to the limit and those that would be right out at the max, if you will, and beyond. And in our assessment"}, {"path": "tedlium_19029.wav", "duration": 9.0, "text": "And so as we look at it, if we were to get tax reform where we could get better access or more cost-effective access to our offshore cash,"}, {"path": "tedlium_19030.wav", "duration": 9.0, "text": "in at least one of the major broker-dealers we had a case where several smaller Calvert strategies were taken off platforms but then added back"}, {"path": "tedlium_19031.wav", "duration": 9.0, "text": "an offer that is not unique but very specific on the market of turnkey projects where we can take responsibility for the entire field including"}, {"path": "tedlium_19032.wav", "duration": 9.0, "text": "We have unrivaled domain expertise in the cable and video markets. We work with some of the largest and most innovative communications service providers in the world."}, {"path": "tedlium_19033.wav", "duration": 9.0, "text": "how we're completing those projects, how we're going through the sales cycle. That's probably the one that I would point to as the main reason why the bottom line -- or the bottom end came up on the range."}, {"path": "tedlium_19034.wav", "duration": 9.0, "text": "to this year's, forecasted last half, I think it'll be the same kind of story. I think we'll be able to cut the loss by about half"}, {"path": "tedlium_19035.wav", "duration": 9.0, "text": "free application. What you see there is that in DTA , the bundle goes down for a while and then people start using the data more and more and more."}, {"path": "tedlium_19036.wav", "duration": 9.0, "text": "Joining Jim and Bryan will be Bill Gupp, Senior Vice President, General Counsel and Secretary, as well as other members of Trex's management team."}, {"path": "tedlium_19037.wav", "duration": 9.0, "text": "We believe we have now established that the control of IL-12 is a potential therapeutic platform for turning cold tumors hot."}, {"path": "tedlium_19038.wav", "duration": 9.0, "text": "number of subscribers, their usage, number of devices and other components and each of those tends to grow during the term of the agreement."}, {"path": "tedlium_19039.wav", "duration": 9.0, "text": "we should be able to introduce new product in a much faster way and maybe we can also increase revenues. But nevertheless, so cloud is more"}, {"path": "tedlium_19040.wav", "duration": 9.0, "text": "Teresa played a major role in building our track record of delivering on our value proposition, and she leaves a solid platform for continued strong results."}, {"path": "tedlium_19041.wav", "duration": 9.0, "text": "as we call them. And they are growth markets in a sense as you will see soon here with Russia."}, {"path": "tedlium_19042.wav", "duration": 9.0, "text": "all of those costs then are included in that 90-day episode. So that's why we've been saying for so many years,"}, {"path": "tedlium_19043.wav", "duration": 9.0, "text": "hopefully with the support of our new large industrial group that purchased our control shares and we are going to be part of them, although"}, {"path": "tedlium_19044.wav", "duration": 9.0, "text": "In addition, commodity costs were higher in the quarter, most notably for green coffee, and were only partially offset by the higher net pricing."}, {"path": "tedlium_19045.wav", "duration": 9.0, "text": "We've also focused on developing new growth engines for Veeco by extending our core technologies into adjacent markets."}, {"path": "tedlium_19046.wav", "duration": 9.0, "text": "For example, we recently concluded a large deal with ABN AMRO, where we will provide connectivity and security services."}, {"path": "tedlium_19047.wav", "duration": 9.0, "text": "But before we get started, I need to remind everyone that our commentary today and the answers to your questions include statements that we believe to be forward-looking statements."}, {"path": "tedlium_19048.wav", "duration": 9.0, "text": "were leveraged as we're progressing through the year. So there will be less overtime needs throughout the year to be able to produce the product"}, {"path": "tedlium_19049.wav", "duration": 9.0, "text": "We remain convinced that keeping our focus on growing the company for the long term will build and enhance shareholder value."}, {"path": "tedlium_19050.wav", "duration": 9.0, "text": "to all of you, as we believed we had a lot of information to share with you, mainly the change"}, {"path": "tedlium_19051.wav", "duration": 9.0, "text": "Therefore, it's not enough just to have the technology because it's more than that. It involves"}, {"path": "tedlium_19052.wav", "duration": 9.0, "text": "That's high acquisition cost business. So again, I think the movement from an expense ratio standpoint is much more reflective of"}, {"path": "tedlium_19053.wav", "duration": 9.0, "text": "On top of this agreement of acquiring the ABB business, we have also entered into a cooperation agreement with the"}, {"path": "tedlium_19054.wav", "duration": 9.0, "text": "This presents Compugen with a unique opportunity to generate value by developing differentiated and novel assets."}, {"path": "tedlium_19055.wav", "duration": 9.0, "text": "and that's no doubt about that. But we see a continued solid performance of Networks."}, {"path": "tedlium_19056.wav", "duration": 9.0, "text": "Yes, good distinction. And then just on the pension plan, I guess we'll probably get -- have to wait for real detail but just"}, {"path": "tedlium_19057.wav", "duration": 9.0, "text": "Given the progress we have made over the past 2 years, we are well placed to access the markets at an appropriate time."}, {"path": "tedlium_19058.wav", "duration": 9.0, "text": "I would say that based on the information provided, and we read the same things that everyone else did, based on that information and the perspective that, that product"}, {"path": "tedlium_19059.wav", "duration": 9.0, "text": "But ultimately, it's very good for us because there are very few people that have the capabilities to service these kind of jobs, particularly in these markets. So"}, {"path": "tedlium_19060.wav", "duration": 9.0, "text": "transition of ships, and I think it was the first couple of quarters here we've seen that, and you think it's going to maybe be a little bit going forward. How much do we need to be"}, {"path": "tedlium_19061.wav", "duration": 9.0, "text": "It's not a change of control that we're envisaging, it's simply a new investor in our head company."}, {"path": "tedlium_19062.wav", "duration": 9.0, "text": "to lever in the opportunities to put more pipe in the ground and move more crude by ground -- by pipe over time, and that's exactly what's happening."}, {"path": "tedlium_19063.wav", "duration": 9.0, "text": "We believe that's how we differentiate ourselves, by continuing to drive excellence through execution and being the best in the basins in which we operate."}, {"path": "tedlium_19064.wav", "duration": 9.0, "text": "We will provide further details on MPI shortly, but let me begin by giving you the highlights of our first quarter performance."}, {"path": "tedlium_19065.wav", "duration": 9.0, "text": "can you get us comfortable on the recovery here? You talked about bookings maybe being a little bit better coming out of the quarter. Should we still be thinking about double-digit growth in Manufacturing for the year?"}, {"path": "tedlium_19066.wav", "duration": 9.0, "text": "The company undertakes no obligation to revise or publicly release the results of any revision to the statements made in today's call other than through filings made concerning this reporting period."}, {"path": "tedlium_19067.wav", "duration": 9.0, "text": "and then we work hard to maintain and develop relationships with our contractors to get them to visit us, to get them to come into our branch locations"}, {"path": "tedlium_19068.wav", "duration": 9.0, "text": "which will be largely weighted toward the back half of the year. As in prior years, we continue to expect our first quarter"}, {"path": "tedlium_19069.wav", "duration": 9.0, "text": "that would not be as big as what people think at the beginning but will expand on the way forward"}, {"path": "tedlium_19070.wav", "duration": 9.0, "text": "the overall architecture, even if the shapes are not finished. And what you want to do is evaluate exactly if your arm is going to be an antenna."}, {"path": "tedlium_19071.wav", "duration": 9.0, "text": "Our own brands investment continue to perform above our original expectations. Now more than ever, I'm convinced of the validity of this strategy,"}, {"path": "tedlium_19072.wav", "duration": 9.0, "text": "So while we see this opportunity, what we want to do is we want to work with LOOP to make sure that there is no conflict between"}, {"path": "tedlium_19073.wav", "duration": 9.0, "text": "This is the seventh straight year where we have accomplished our goals and delivered on the consolidated EBITDA guidance, once again providing"}, {"path": "tedlium_19074.wav", "duration": 9.0, "text": "Also, our internal checks, industry reports and dealer surveys continue to indicate that RV dealer inventory levels are in line with anticipated retail demand,"}, {"path": "tedlium_19075.wav", "duration": 9.0, "text": "go back to customers and take up price opportunity wherever we can on an annual basis with our contracts. So we have taken"}, {"path": "tedlium_19076.wav", "duration": 9.0, "text": "This is our growth strategy, and it is how we are becoming the go-to partner for consumers, retailers and licensors for pop culture products."}, {"path": "tedlium_19077.wav", "duration": 9.0, "text": "Andy will speak to you about the detail shortly, but both results were at the high end of the guidance range we provided on our third quarter conference call."}, {"path": "tedlium_19078.wav", "duration": 9.0, "text": "It could be. The good news is -- so there's a couple of things we could do if we wanted to manage cash"}, {"path": "tedlium_19079.wav", "duration": 9.0, "text": "We're instilling discipline on our approach to doing business, making sure we are well-prepared, understand our customers and anticipate their needs."}, {"path": "tedlium_19080.wav", "duration": 9.0, "text": "Of course, design remains a key element of our service offering, and that's been exemplified consistently well by our Color team,"}, {"path": "tedlium_19081.wav", "duration": 9.0, "text": "To discuss the company's financial results from the first quarter and also to update our financial guidance for the year, I'll turn the call over to Garrett."}, {"path": "tedlium_19082.wav", "duration": 8.9999375, "text": "Please note that they are the property of Solar Senior Capital Limited and that any unauthorized broadcasts in any form are strictly prohibited."}, {"path": "tedlium_19083.wav", "duration": 8.9999375, "text": "And so what's happened as we've gone from a portfolio that for a long time was focused on smaller businesses, lighter duty"}, {"path": "tedlium_19084.wav", "duration": 8.9700625, "text": "though the impact was partially offset by higher depreciation expense from an increase in electric plant in service as we continue our trend of capital improvements."}, {"path": "tedlium_19085.wav", "duration": 8.9700625, "text": "all given at the same time. It's simply because people might have to go to an exam site more frequently than before and schedules may not permit that. So"}, {"path": "tedlium_19086.wav", "duration": 8.97, "text": "Our plan is to move in by the end of fiscal 2016. We have more than outgrown our existing facility, which was built about 12 years ago."}, {"path": "tedlium_19087.wav", "duration": 8.97, "text": "A variety of what appears to be short seller funded attorneys and short seller funded investigators have continued to call and harass our former employees."}, {"path": "tedlium_19088.wav", "duration": 8.97, "text": "But some of the recent contracts are spreading over next 2 years delivery. And are they coming with a similar type of discounts that scales us"}, {"path": "tedlium_19089.wav", "duration": 8.97, "text": "Our results for the first full quarter after the merger were encouraging. We are beginning to see the results of our synergy efforts as well as the impact of a more favorable"}, {"path": "tedlium_19090.wav", "duration": 8.97, "text": "Of course, each company has a slightly different impact from the tax bill, but as we said last quarter, the net effect of the tax bill"}, {"path": "tedlium_19091.wav", "duration": 8.97, "text": "As Curt explained, we made good progress in the first quarter on all fronts, and we are absolutely tracking to meet our objectives for the year."}, {"path": "tedlium_19092.wav", "duration": 8.97, "text": "you could see that we did not reduce our dividend during the crisis, it's a long time ago now, but"}, {"path": "tedlium_19093.wav", "duration": 8.97, "text": "Also contributing to this positive performance was the continued progress and growth we are experiencing within our corporate partnership program."}, {"path": "tedlium_19094.wav", "duration": 8.97, "text": "We feel very confident with the flexibility of our balance sheet and our current LTV level, which will better enable us to create value via our stated strategy."}, {"path": "tedlium_19095.wav", "duration": 8.97, "text": "an awful lot of it sounds like it gets a lot better as the year goes on. I realize a bunch of that is comps and sort of market stuff around mortgage. But"}, {"path": "tedlium_19096.wav", "duration": 8.97, "text": "market-facing business unit teams and away from headquarters. This was an important element of how I operate of having our teams closer and more focused with our customers."}, {"path": "tedlium_19097.wav", "duration": 8.97, "text": "This new business is an excellent strategic fit for AAG, and we're excited for the opportunities we see in the Netherlands and Belgium."}, {"path": "tedlium_19098.wav", "duration": 8.97, "text": "very appealing and contributing to the fresh character of the products that we sell there. And we have installed by"}, {"path": "tedlium_19099.wav", "duration": 8.97, "text": "Two important program structure changes to MAP Navigator have occurred since our last call."}, {"path": "tedlium_19100.wav", "duration": 8.97, "text": "consistently improving macro, whether it's oil prices which reflected in our current account, our fisc was improving,"}, {"path": "tedlium_19101.wav", "duration": 8.97, "text": "within -- in the discussion of the budget law, but is an ongoing discussion between the government and the regional administrations"}, {"path": "tedlium_19102.wav", "duration": 8.97, "text": "the importance of the relationship of Canada. Canada was the only country where he sent a mission of seven of his future ministers."}, {"path": "tedlium_19103.wav", "duration": 8.97, "text": "spending or competitive movements. We're just really focused on what has been a really successful launch as we went from initial launch, now to full commercial launch."}, {"path": "tedlium_19104.wav", "duration": 8.97, "text": "Of note, we continue to see solid uptake for Mako upgrades, which remain on track and should position us to largely complete all U.S. system upgrades"}, {"path": "tedlium_19105.wav", "duration": 8.97, "text": "since you've been reporting that business. So what's -- is it just an aberration? Or have you made any changes in the product mix? Anything else that are driving the improvement in margins?"}, {"path": "tedlium_19106.wav", "duration": 8.97, "text": "being delayed in closing? I think there were some timing issues, but also is there some that might not close in that -- maybe our original thoughts of what '16 might be?"}, {"path": "tedlium_19107.wav", "duration": 8.97, "text": "This quarter's distribution also marked the eighth consecutive quarter that the Partnership has increased its quarterly distribution"}, {"path": "tedlium_19108.wav", "duration": 8.97, "text": "the structure of this is part of the longer restructuring happened in France related to"}, {"path": "tedlium_19109.wav", "duration": 8.97, "text": "One of the larger customers in there guided recently and -- a little weaker than expected for their June quarter and talked about some weakness on the service provider side. So"}, {"path": "tedlium_19110.wav", "duration": 8.97, "text": "Enterprises can easily engage with customers anywhere in the world, intelligently distributing interactions to the right agent, regardless of location."}, {"path": "tedlium_19111.wav", "duration": 8.97, "text": "who has a wealth of experience with over 25 years at WPD. I have great confidence in Phil's ability to lead our tremendous team there"}, {"path": "tedlium_19112.wav", "duration": 8.97, "text": "And we are continuing to expand that. I think I've commented that where we see really, really significant success in adding fresh food is in the urban markets."}, {"path": "tedlium_19113.wav", "duration": 8.97, "text": "as indicated in our release, we will enter the expansion phase. We want to do everything in a very consistent and sound way"}, {"path": "tedlium_19114.wav", "duration": 8.97, "text": "How are you feeling about where we're at from that perspective? And do you think that the lower levels of demand, given the higher"}, {"path": "tedlium_19115.wav", "duration": 8.97, "text": "and on a track to generate superior value for our stakeholders. And now I'll pass the call to Vince. Thank you, Chris."}, {"path": "tedlium_19116.wav", "duration": 8.97, "text": "means that we were able to compensate part of the volume decline through other effects,"}, {"path": "tedlium_19117.wav", "duration": 8.97, "text": "It's worth noting that this annual dollar retention on a net basis continues to exceed 100%, demonstrating that we have"}, {"path": "tedlium_19118.wav", "duration": 8.97, "text": "On the other hand, they have immediately put a bill in place and passed it already through the first Chamber of the French Parliament,"}, {"path": "tedlium_19119.wav", "duration": 8.97, "text": "and small companies that might be acquirable. I think that's actually a more relevant model for agriculture than for construction."}, {"path": "tedlium_19120.wav", "duration": 8.97, "text": "In addition, to our strong operating results in the quarter, we also continue to focus on our capital structure as a means to increase value to shareholders."}, {"path": "tedlium_19121.wav", "duration": 8.97, "text": "The tower creates the first on-campus wireless access and offers an equal access to all -- for all of our financial ecosystem customers."}, {"path": "tedlium_19122.wav", "duration": 8.97, "text": "We'll do what we've done in the past, and as -- if we conclude an asset's worth more on the market to the market than it is to us, then we'll make the correct shareholder"}, {"path": "tedlium_19123.wav", "duration": 8.97, "text": "was a strong negotiation. And finally, we were able to acquire all the float and directly to the list the company"}, {"path": "tedlium_19124.wav", "duration": 8.97, "text": "As we plan to contract renewal discussions, we continue to evolve our model and offering to ensure mutually acceptable return structure with current and future anchor partners,"}, {"path": "tedlium_19125.wav", "duration": 8.97, "text": "even regardless of the margins entailed within them. And Alex, if I could just add, I think you understand this, but our accounting positions were"}, {"path": "tedlium_19126.wav", "duration": 8.97, "text": "Now let me provide you with some details behind our guidance and trends that we see developing in our businesses."}, {"path": "tedlium_19127.wav", "duration": 8.97, "text": "Ultimately, hedges roll off and we expect the company's cash flows over the next 2 years to significantly improve as a result."}, {"path": "tedlium_19128.wav", "duration": 8.97, "text": "Please turn to Slide 7. We continue to expand to meet the demand that we see."}, {"path": "tedlium_19129.wav", "duration": 8.97, "text": "and if we compare it to the corresponding period of the previous year, that situation was totally different. We had flat bond yields,"}, {"path": "tedlium_19130.wav", "duration": 8.97, "text": "we haven't seen it yet, but we don't know if competitors are going to get more aggressive and compete away the benefit of the tax cut"}, {"path": "tedlium_19131.wav", "duration": 8.97, "text": "clearly, January's been cold and we had snow on the ground. But to the extent that we moved through the first quarter here and get into the spring purchase market,"}, {"path": "tedlium_19132.wav", "duration": 8.97, "text": "I mean, this is -- it's clearly a step up in the level of technology spend that we have going on at the company."}, {"path": "tedlium_19133.wav", "duration": 8.97, "text": "So there are a couple of options in there, and I'd say that we have opportunities for inorganic growth in both of those areas."}, {"path": "tedlium_19134.wav", "duration": 8.97, "text": "a last question on Comparison Services is, I think if you look at the growth rate you achieved excluding"}, {"path": "tedlium_19135.wav", "duration": 8.97, "text": "I use those words because you just -- we really do have to monitor it over a little bit longer period of time. I'm not talking about quarters, but"}, {"path": "tedlium_19136.wav", "duration": 8.97, "text": "Second, they're going to be smaller stores, for sure. And the way they're going to be smaller is to use technology to enable"}, {"path": "tedlium_19137.wav", "duration": 8.97, "text": "we can also see that our strong discipline in driving profitability has clearly shown into -- in the combined ratios."}, {"path": "tedlium_19138.wav", "duration": 8.97, "text": "several years to go from concept to legislation to program to rule to -- and to start-up and then to"}, {"path": "tedlium_19139.wav", "duration": 8.97, "text": "The segment was unfavorably impacted by a 5% decline from foreign currency translation."}, {"path": "tedlium_19140.wav", "duration": 8.97, "text": "as we move into '18, since all the engines will be the zero equivalent, this will also position us quite well for additional growth"}, {"path": "tedlium_19141.wav", "duration": 8.97, "text": "Interest payments reduced with lower interest costs, as I shared earlier, and we had a benefit from the timing of payments year-on-year."}, {"path": "tedlium_19142.wav", "duration": 8.97, "text": "Key drivers of the lower interest rate were the reduction of debt in United Spirits as well as the maturity of higher rate Diageo bonds."}, {"path": "tedlium_19143.wav", "duration": 8.97, "text": "and the focus going forward will be to drive penetration in Kenya, brand building of the Ceres brand and then start working on the neighboring markets."}, {"path": "tedlium_19144.wav", "duration": 8.97, "text": "Our AI tools will extract the information for the police record system. And in the future that we are building, records will be recorded, not written."}, {"path": "tedlium_19145.wav", "duration": 8.97, "text": "There is nothing that is absolutely imminent in that pipeline, but really that is the same story as we've talked about before."}, {"path": "tedlium_19146.wav", "duration": 8.97, "text": "We are encouraged by the strong new business signings in the quarter, and we see substantial opportunity for future growth across our client base."}, {"path": "tedlium_19147.wav", "duration": 8.97, "text": "Got it. But just to clarify here, is this a CapEx opportunity in your mind down the line? And in the near term, is that one of the reasons that it"}, {"path": "tedlium_19148.wav", "duration": 8.97, "text": "So it's pretty wide and diverse, and those discussions are going on, on a variety of different fronts with small to large companies."}, {"path": "tedlium_19149.wav", "duration": 8.97, "text": "and with state legislator to advocate for solutions to expand coverage to people in our markets."}, {"path": "tedlium_19150.wav", "duration": 8.97, "text": "but we expect that to have a relatively minor impact both in terms of passengers and indeed in terms of revenues."}, {"path": "tedlium_19151.wav", "duration": 8.97, "text": "Third was the signing of a license agreement with MedImmune in which we monetized one of our programs for an application,"}, {"path": "tedlium_19152.wav", "duration": 8.97, "text": "And the second question I had was around the volumes of textbooks that you're seeing being bought in Brazil."}, {"path": "tedlium_19153.wav", "duration": 8.97, "text": "Halls grew mid-single digits, driven by strong support behind the new Halls air campaign that's now been rolled out across Europe,"}, {"path": "tedlium_19154.wav", "duration": 8.97, "text": "We continue to drive down overhead cost as a percentage of revenue, leveraging ZBB to identify areas of opportunity and capture the savings."}, {"path": "tedlium_19155.wav", "duration": 8.97, "text": "the technology and the services around that technology into the affiliated space. So that is front and center"}, {"path": "tedlium_19156.wav", "duration": 8.97, "text": "So looking ahead, I'm excited about the opportunity at SMART to further leverage on a strong execution capability that is demonstrated so well,"}, {"path": "tedlium_19157.wav", "duration": 8.97, "text": "Good morning, ladies and gentlemen. Welcome to a very full house here."}, {"path": "tedlium_19158.wav", "duration": 8.97, "text": "Today, we're comfortable with our U.S. circuit pricing. However, that's not to say we aren't monitoring currently available subscription programs"}, {"path": "tedlium_19159.wav", "duration": 8.97, "text": "this very impressive Phase II data set that not only we're talking about but we find the investigators are talking about amongst themselves."}, {"path": "tedlium_19160.wav", "duration": 8.97, "text": "Robert and I were both in Miami shortly after Hurricane Irma and witnessed, firsthand, how our team came together to take care of our passengers and each other."}, {"path": "tedlium_19161.wav", "duration": 8.97, "text": "in discussions with other opportunities, at different levels of discussions. But no money has changed hands with any of these other opportunities in China."}, {"path": "tedlium_19162.wav", "duration": 8.97, "text": "we saw growth in new high performance CompactRIO systems in advanced manufacturing applications that help offset this decline."}, {"path": "tedlium_19163.wav", "duration": 8.97, "text": "For us, the way we've been really approaching our business in general is that we're really focused on OpEx and getting our cost structure in place so that we can be"}, {"path": "tedlium_19164.wav", "duration": 8.97, "text": "And we continue to develop operational execution and pursue potential to create further value. Why do we focus sometimes"}, {"path": "tedlium_19165.wav", "duration": 8.97, "text": "Thank you, Jim. So turning to Slide 16. All segments contributed to improved financial performance this quarter as compared to last year."}, {"path": "tedlium_19166.wav", "duration": 8.97, "text": "and now with One Touch seller sign-up, we are making it easier than ever for merchants to begin selling in a new marketplace or digital channel. In fact,"}, {"path": "tedlium_19167.wav", "duration": 8.97, "text": "In addition, we remain excited about the numerous global growth initiatives for the combined firm, which we will quantify and discuss today."}, {"path": "tedlium_19168.wav", "duration": 8.97, "text": "We intend to leverage our retail store footprint and traffic to bring new wireless products and services to an underserved business community."}, {"path": "tedlium_19169.wav", "duration": 8.97, "text": "where there are still many corporates who are served by companies or stock plan providers who are changing"}, {"path": "tedlium_19170.wav", "duration": 8.97, "text": "And we'll continue to do that, right? It's not going to impact our operating margin. We find the moneys and the expense, costs from elsewhere in the organization and we'll redeploy it."}, {"path": "tedlium_19171.wav", "duration": 8.97, "text": "They are, of course, given the opportunity to continue to move forward but outside of their insurance, which naturally very few take."}, {"path": "tedlium_19172.wav", "duration": 8.97, "text": "that is certainly something we would look at. That said, it's a little early right now to know definitively how this is going to play out, but we remain optimistic."}, {"path": "tedlium_19173.wav", "duration": 8.97, "text": "Comparing our pay plans to a peer group determined by the consulting firm to have attributes that were similar to us."}, {"path": "tedlium_19174.wav", "duration": 8.97, "text": "The joint venture operating agreement is the last remaining agreement that needs to be signed to complete our joint venture arrangement with AREVA Inc."}, {"path": "tedlium_19175.wav", "duration": 8.97, "text": "just to make sure they understand where we're going. Like every -- we want to make sure that all of our large investors understand our strategy and how we think about the future and the potential of the business,"}, {"path": "tedlium_19176.wav", "duration": 8.97, "text": "for the balance of the year. We continue to work with the manufacturer of Erwinaze to increase the predictability and timeliness of product releases"}, {"path": "tedlium_19177.wav", "duration": 8.97, "text": "help us understand, is that a tool that you can use to help facilitate changes to the DRG payment? Is that something that's in your control at all?"}, {"path": "tedlium_19178.wav", "duration": 8.97, "text": "to advance in the clinical development. We are working with multiple companies toward the goal of improving the target profile and reliability of supply."}, {"path": "tedlium_19179.wav", "duration": 8.97, "text": "and very large institutional investors are requiring change and social responsibility from the energy industry."}, {"path": "tedlium_19180.wav", "duration": 8.97, "text": "and it reflects all the merchandise presentation changes that we've made over times in terms of when we open new stores. So"}, {"path": "tedlium_19181.wav", "duration": 8.97, "text": "On the oil sands side, you know our long history in Cold Lake and then, looking at how we stepped the technology out further"}, {"path": "tedlium_19182.wav", "duration": 8.97, "text": "It comes across as part of our web services framework, but it allows us to keep on offering more and more of such services and connect them to"}, {"path": "tedlium_19183.wav", "duration": 8.97, "text": "We only did what the merchant told us in terms of these are the number of units and this is the price at which I would like to sell."}, {"path": "tedlium_19184.wav", "duration": 8.97, "text": "Starting next quarter, Q4, we will no longer have any of this legacy revenue in our results, which we believe will make it easier for investors to understand our true underlying growth."}, {"path": "tedlium_19185.wav", "duration": 8.97, "text": "These decreases were partially offset by the impact of new business, net same-store growth and higher earnings in our Pharmacy business."}, {"path": "tedlium_19186.wav", "duration": 8.97, "text": "As a result, the story remains the ongoing balance of economics between energy and capacity, particularly with the upcoming elimination of the base product."}, {"path": "tedlium_19187.wav", "duration": 8.97, "text": "and the pipelines and capacity which will apply are operationally feasible to execute and consistent with the policy decision to establish the auction."}, {"path": "tedlium_19188.wav", "duration": 8.97, "text": "I mean, I feel very good about the leadership team on sales and marketing in general, but I think the wound side is making progress at a very good pace."}, {"path": "tedlium_19189.wav", "duration": 8.97, "text": "how much of this is reflective and something that was something that they were looking at? And how much of it is different, but business that you passed on to them?"}, {"path": "tedlium_19190.wav", "duration": 8.97, "text": "and I just want to circle back on it, the strength in Louisiana volumes. Just a question, I know your -- the guidance you had put forth, I think, originally in"}, {"path": "tedlium_19191.wav", "duration": 8.97, "text": "And so I see us being fully hedged in 2020. The real question is at what point we do that. I have a little bit of a more optimistic view, but"}, {"path": "tedlium_19192.wav", "duration": 8.97, "text": "As we heighten our focus on returns in 2019, we look to allocate capital to the highest return prospects within the portfolio."}, {"path": "tedlium_19193.wav", "duration": 8.97, "text": "For these reasons, we believe the future looks bright, and we will continue to deliver a long-term value for our customers and shareholders."}, {"path": "tedlium_19194.wav", "duration": 8.97, "text": "and we believe we are well positioned for profitable long-term growth. Alan will provide further insight and our outlook."}, {"path": "tedlium_19195.wav", "duration": 8.97, "text": "such a monumental task. And the fact that we've been able to not only maintain the existing network we have but expand some of those existing facilities"}, {"path": "tedlium_19196.wav", "duration": 8.97, "text": "maintaining our operating discipline and further developing our future growth initiatives. And with that, I'll hand over to Michel."}, {"path": "tedlium_19197.wav", "duration": 8.97, "text": "are much more fundamental as it relates to promoted price points and this -- the pressure that we see on the conventional side of the business."}, {"path": "tedlium_19198.wav", "duration": 8.97, "text": "The restructuring program has been challenging at times, and the related distractions have complicated the efforts of implementing new strategic initiatives."}, {"path": "tedlium_19199.wav", "duration": 8.97, "text": "The Electricity System Operator will carry out its existing functions as well as take on new responsibilities, including the promotion of smart solutions."}, {"path": "tedlium_19200.wav", "duration": 8.97, "text": "Third quarter financial results were generally in line with expectations. And we exited the quarter with a strong balance sheet and positive momentum"}, {"path": "tedlium_19201.wav", "duration": 8.97, "text": "and we have cross licensing agreement with Solvay against the Chinese manufacturers. We do expect that to be a positive for us in the long term, Phil."}, {"path": "tedlium_19202.wav", "duration": 8.97, "text": "And so it provides motivation for them to look for a creative answer that will help a number of distribution channels in many different companies. So"}, {"path": "tedlium_19203.wav", "duration": 8.97, "text": "Forward-looking statements are not guarantees, and our actual results may differ materially from those expressed or implied in the forward-looking statements."}, {"path": "tedlium_19204.wav", "duration": 8.97, "text": "We are proud of our ability to offer employees a long-term career path either as a sales associate or in a leadership position"}, {"path": "tedlium_19205.wav", "duration": 8.97, "text": "These results are consistent with our announced plans and strategy to vacate and redevelop spaces,"}, {"path": "tedlium_19206.wav", "duration": 8.97, "text": "the truck market gets better and the used truck market doesn't get better? Because I think some people have that view right now of that's what's going to be happening."}, {"path": "tedlium_19207.wav", "duration": 8.97, "text": "operations, systems, logistics will provide the infrastructure to continue growing Europe and other international markets in the years ahead."}, {"path": "tedlium_19208.wav", "duration": 8.97, "text": "target greater asset productivity and develop more efficient relationships with our external providers."}, {"path": "tedlium_19209.wav", "duration": 8.97, "text": "This will improve our value to our customers by providing deeper industry expertise and market insights to address their needs."}, {"path": "tedlium_19210.wav", "duration": 8.97, "text": "As we begin 2016, our focus is on continued operational excellence and providing great service to our customers who count on us for their important programs."}, {"path": "tedlium_19211.wav", "duration": 8.9699375, "text": "Few have announced plans to shift into more profitable applications or to exit LED production altogether."}, {"path": "tedlium_19212.wav", "duration": 8.9400625, "text": "In our non-QM loan strategy, we reached critical mass for a second securitization, which I'm happy to announce we actually just priced earlier this morning."}, {"path": "tedlium_19213.wav", "duration": 8.94, "text": "Last quarter, we also mentioned that we may make investments in our business by adding to our investment staff, which would increase our operating expenses."}, {"path": "tedlium_19214.wav", "duration": 8.94, "text": "I was wondering if you could talk to the decision to grow the development pipeline and maybe comment on land prices and construction costs."}, {"path": "tedlium_19215.wav", "duration": 8.94, "text": "and you reduce that factor, we'd still be in the low double digits. Frankly, those are increases that I'm proud of and I think work for our shareholders."}, {"path": "tedlium_19216.wav", "duration": 8.94, "text": "So it gives us certainty over -- at all times over a 3-year period and if there is a termination, then we've got 3 years to find somebody to replace them."}, {"path": "tedlium_19217.wav", "duration": 8.94, "text": "I think we've been clear that we expect international to grow but not at a rate faster than the rest of the business is growing. So as a mix,"}, {"path": "tedlium_19218.wav", "duration": 8.94, "text": "Our print and technology sales teams are building a strong pipeline of opportunities and we hope to convert them in the coming quarters."}, {"path": "tedlium_19219.wav", "duration": 8.94, "text": "I think we're comforted by the fact that our position in the market is so strong and our ability to obtain allocation is obviously quite important."}, {"path": "tedlium_19220.wav", "duration": 8.94, "text": "And those new investors are truly right on the front end of the value creation for us, where they can have a great experience in their first fund."}, {"path": "tedlium_19221.wav", "duration": 8.94, "text": "it lacks clarity from our side. Please explain what the reaction from the patient community were like to this open letter?"}, {"path": "tedlium_19222.wav", "duration": 8.94, "text": "And then I see what is a net cost impact per truck and see how the margins are getting impacted. The moment the margins are getting impacted, we start to raise prices."}, {"path": "tedlium_19223.wav", "duration": 8.94, "text": "The cost of the growth, without question, is a very key hurdle going forward. To that end, we have significantly reduced the cost side of the business."}, {"path": "tedlium_19224.wav", "duration": 8.94, "text": "We opened those doors after we got our refinancing. People are dying to work with us, which will seem to be a surprise to everyone. But with our distribution network,"}, {"path": "tedlium_19225.wav", "duration": 8.94, "text": "We believe our continued focus in these areas will create significant value for our shareholders as we move forward through the year."}, {"path": "tedlium_19226.wav", "duration": 8.94, "text": "tires, those are the old manufacturing industries that we don't have that much exposure on. Let's talk about solar."}, {"path": "tedlium_19227.wav", "duration": 8.94, "text": "and format it in a way that the building -- it can be passed on to the billing system seamlessly. And that's where the challenge comes in because"}, {"path": "tedlium_19228.wav", "duration": 8.94, "text": "There were no significant changes in our balance sheet. Inventories are a little higher due to the delay of certain shipments until later in the year."}, {"path": "tedlium_19229.wav", "duration": 8.94, "text": "On the front store side of the business, it is all about getting back to growth. We will continue to expand and grow our complementary product mix in health and beauty"}, {"path": "tedlium_19230.wav", "duration": 8.94, "text": "We will continue to strategically add incremental capacity to drive higher levels of profitability in our toll processing operations."}, {"path": "tedlium_19231.wav", "duration": 8.94, "text": "now that we think we've got an operating model that works pretty well. And that's what's behind the desire to move from exhibition organizer to market maker."}, {"path": "tedlium_19232.wav", "duration": 8.94, "text": "I am particularly proud of the hundreds of fellow NOV employees who pitched in to help their coworkers, families and friends and neighbors by rescuing those"}, {"path": "tedlium_19233.wav", "duration": 8.94, "text": "What have been the primary retail strategies and tactics that you have employed to ride out this weaker period?"}, {"path": "tedlium_19234.wav", "duration": 8.94, "text": "spreads out across all these screens and platforms. And also, I think reinforces our point that we're already able to measure all this stuff, even though it's not all included"}, {"path": "tedlium_19235.wav", "duration": 8.94, "text": "So we've had a lot of conversations with clients in the marketplace historically already, and we already have a pretty good sense of where they would like to see us go first."}, {"path": "tedlium_19236.wav", "duration": 8.94, "text": "So I'm not sure I could point to one thing, but I would say it's a cumulative number of these"}, {"path": "tedlium_19237.wav", "duration": 8.94, "text": "Realized prices on pipeline sales are expected to be significantly higher than on truck export or local sales."}, {"path": "tedlium_19238.wav", "duration": 8.94, "text": "Roger will then discuss our quarter 4 performance in more detail. And we'll then open the call up for any questions that you may have."}, {"path": "tedlium_19239.wav", "duration": 8.94, "text": "Unit manufacturing costs were moderately higher than the previous quarter, with the severe weather conditions contributing to higher purchase wood and log hauling cost"}, {"path": "tedlium_19240.wav", "duration": 8.94, "text": "Those targets, as with all of our early-stage targets, are unlikely to be disclosed until the programs get a little bit further down the track. But I think you can reasonably"}, {"path": "tedlium_19241.wav", "duration": 8.94, "text": "But I think the amount of enthusiasm that we built up with that product line undoubtedly has a bit of an impact"}, {"path": "tedlium_19242.wav", "duration": 8.94, "text": "This reminds us of a few years ago, when your competitors were engaged in unrational activities. So what's your strategy?"}, {"path": "tedlium_19243.wav", "duration": 8.94, "text": "that will go -- that will lead into dropped duplication, the distance between a house or that you need to pass before you can deliver to the next households"}, {"path": "tedlium_19244.wav", "duration": 8.94, "text": "Since our announcement in November, our partners have sprung into action, ramping up their Cornerstone practices and, in some cases,"}, {"path": "tedlium_19245.wav", "duration": 8.94, "text": "On January 2, we appointed Jeff Lautenbach to the position of President of Global Field Operations."}, {"path": "tedlium_19246.wav", "duration": 8.94, "text": "And the learning experience cycle did have a big impact on us, again, for a very brief period of time."}, {"path": "tedlium_19247.wav", "duration": 8.94, "text": "one in France and the other in Germany, certainly helps our long-term opportunity there as we continue to penetrate the market."}, {"path": "tedlium_19248.wav", "duration": 8.94, "text": "As anticipated, our Fluids business turned in another solid quarter and we are confident that the team's execution"}, {"path": "tedlium_19249.wav", "duration": 8.94, "text": "We are pleased with the financial performance of the Reliable acquisition, especially considering the strong demand in the auto lending sector in Puerto Rico."}, {"path": "tedlium_19250.wav", "duration": 8.94, "text": "basket of revenue and think about that in a transition to subscription, and here's a rule of thumb that we think about. If"}, {"path": "tedlium_19251.wav", "duration": 8.94, "text": "That really relates to largely special proxies in addition to what Dave mentioned specific to this quarter."}, {"path": "tedlium_19252.wav", "duration": 8.94, "text": "So these are the things where we believe we have a lead and where we believe we have good technologies."}, {"path": "tedlium_19253.wav", "duration": 8.94, "text": "We see the long-term benefit of being able to provide customers a total solution of sand delivery from mine to the wellsite with our wellsite solution."}, {"path": "tedlium_19254.wav", "duration": 8.94, "text": "We were pleased with our overall execution in the quarter as our team expertly navigated a period of interest rate volatility and intense competition"}, {"path": "tedlium_19255.wav", "duration": 8.94, "text": "You've also seen the average order value continue to increase. This is something that's been growing over the past few years."}, {"path": "tedlium_19256.wav", "duration": 8.94, "text": "create that executive intimacy that has been so powerful for us and truly give the sales team a great head start into the back half of the year."}, {"path": "tedlium_19257.wav", "duration": 8.94, "text": "of the Russian market. We don't see it quite yet. But at least, the dialogue is improving from where it's been over the last 48 months or so."}, {"path": "tedlium_19258.wav", "duration": 8.94, "text": "enabled us to meet the spike in demand during the hot summer months of July and August and post strong sales."}, {"path": "tedlium_19259.wav", "duration": 8.94, "text": "In addition to the GAAP reporting, we report certain financial measures that do not conform to generally accepted accounting principles."}, {"path": "tedlium_19260.wav", "duration": 8.94, "text": "we've given a tremendous amount back through dividends and buybacks. And so as we think about what the future looks like,"}, {"path": "tedlium_19261.wav", "duration": 8.94, "text": "we talked about seeing it. We talked about getting rate. Did we get enough? Maybe not. We accelerated it. We'll continue to accelerate if we need"}, {"path": "tedlium_19262.wav", "duration": 8.94, "text": "we've included a second chart that shows estimated durations of our loans, securities, deposits and borrowings. You'll see that our loan book is very short"}, {"path": "tedlium_19263.wav", "duration": 8.94, "text": "And Expert Agent is a property software provider that provides essential systems for the day-to-day management of estate agents and letting agents businesses"}, {"path": "tedlium_19264.wav", "duration": 8.94, "text": "we're starting to leverage our traffic and data to extend our services and drive more leads in both the property and comparison divisions."}, {"path": "tedlium_19265.wav", "duration": 8.94, "text": "mortgage is better than it is when it has a fantastic quarter like the third quarter or worse than it is when it has a soft quarter like the fourth quarter."}, {"path": "tedlium_19266.wav", "duration": 8.94, "text": "Why was it so high and is it kind of sustainable because it tends to build throughout the year due to seasonality? But what are your thoughts there?"}, {"path": "tedlium_19267.wav", "duration": 8.94, "text": "As we have successfully done in the past, our plan is to support their impressive results by sharing best practices with one another."}, {"path": "tedlium_19268.wav", "duration": 8.94, "text": "that beyond Q4 you should start to see inflation gradually start to moderate. The other thing that we're seeing is -- now that was commodities. If you'll look at freight,"}, {"path": "tedlium_19269.wav", "duration": 8.94, "text": "to exploration driven organic growth drove increases to premium net resource potential of 2.2 billion barrels of oil equivalent,"}, {"path": "tedlium_19270.wav", "duration": 8.94, "text": "We have skewedness of some of our innovations towards the second half. So that's why we are rightfully flagging to the market that the whole year"}, {"path": "tedlium_19271.wav", "duration": 8.94, "text": "more costly to do it there. As far as the tax change, we do look at these investments on an after-tax basis."}, {"path": "tedlium_19272.wav", "duration": 8.94, "text": "Above all, we remain fully committed to the contract, and our focus continues to be delivery of high-quality assessment services."}, {"path": "tedlium_19273.wav", "duration": 8.94, "text": "Separately, DWP has confirmed with us that the Secretary of State is focused on potential changes to the Fit for Work contract."}, {"path": "tedlium_19274.wav", "duration": 8.94, "text": "and then also no one single contract over 10%. We think we have diminished the risk that maybe worried investors here in the last couple of years."}, {"path": "tedlium_19275.wav", "duration": 8.94, "text": "that much at all from a historical standpoint. And we feel very good about continuing to build out the store footprint"}, {"path": "tedlium_19276.wav", "duration": 8.94, "text": "Unfortunately, markets like DRC and Zimbabwe continue to be a drag on the portfolio given the prevailing macro conditions"}, {"path": "tedlium_19277.wav", "duration": 8.94, "text": "Historically, we have commented that our earnings potential is much greater today at lower industry unit levels than before the financial crisis."}, {"path": "tedlium_19278.wav", "duration": 8.94, "text": "that goes back to the commentary that we provided when Ross asked his question. We're very, very conservative. So a pushout of production of"}, {"path": "tedlium_19279.wav", "duration": 8.94, "text": "This will be a normal part of the way we do business, eventually creating a world-class organization well positioned for all parts of the cycle."}, {"path": "tedlium_19280.wav", "duration": 8.94, "text": "on the flip side, for whatever comes out next, could that mean you get some increased content on the -- whatever the Note 8 or whatever the next generation is?"}, {"path": "tedlium_19281.wav", "duration": 8.94, "text": "This is readily evidenced by the significant expansion of our compliance programs and our portfolio stress testing that is required of larger banks."}, {"path": "tedlium_19282.wav", "duration": 8.94, "text": "For example, the reduction of utility subsidies in Argentina is impacting consumer disposable income and, in turn, our business."}, {"path": "tedlium_19283.wav", "duration": 8.94, "text": "I think the fact that favorable weather caused more work to get done would suggest that on the other side of the contractor, there are more homeowners who are interested in improving their house."}, {"path": "tedlium_19284.wav", "duration": 8.94, "text": "and also our ability to carry forward with our strategy to develop and build our position in marketing our multiple technology platforms"}, {"path": "tedlium_19285.wav", "duration": 8.94, "text": "as we think about next year and given the full year guidance and then the guidance for the first quarter, can you just talk about how you see that trending throughout the year"}, {"path": "tedlium_19286.wav", "duration": 8.94, "text": "And during the first quarter, we enjoyed steady rates and charter activity, supported by strong underlying demand sustaining firm prices"}, {"path": "tedlium_19287.wav", "duration": 8.94, "text": "that allow us to have the reach into broader parts of the country. So the investments that we're making in all of our geographies are designed"}, {"path": "tedlium_19288.wav", "duration": 8.94, "text": "I have no doubt that Dirk, together with our strong leadership team, will continue to achieve even greater success in the years ahead."}, {"path": "tedlium_19289.wav", "duration": 8.94, "text": "is just like you mentioned. You've got the crazy guy, and I go see the big farmers, who all have more than 1 piece of equipment"}, {"path": "tedlium_19290.wav", "duration": 8.94, "text": "Our systems provide extraordinary geographic reach and connectivity, both of which, we believe provide real value to our customers."}, {"path": "tedlium_19291.wav", "duration": 8.94, "text": "Yes, look, I think it's -- in the quarter, a lot of the tax benefit that we had in the prior year was in the fourth quarter, the biggest piece of it."}, {"path": "tedlium_19292.wav", "duration": 8.94, "text": "moderating of the competitive environment over the last few months. There continues to be some changes in that, and"}, {"path": "tedlium_19293.wav", "duration": 8.94, "text": "Now one thing also that we have to look at is that we're trying to eliminate all those small shipments"}, {"path": "tedlium_19294.wav", "duration": 8.94, "text": "before almost 2030. So that's why it's so important for us to have really a good footprint"}, {"path": "tedlium_19295.wav", "duration": 8.94, "text": "and move them into networks, not just wired, but also wireless network. And it is an area that we are seeing a tremendous growth and tremendous demand in"}, {"path": "tedlium_19296.wav", "duration": 8.94, "text": "We've replaced Parkside and have made every attempt to minimize the adverse impact of this event on the project's schedule and budget."}, {"path": "tedlium_19297.wav", "duration": 8.94, "text": "And we've got lots of windows into how the consumer is behaving with everything from our financial services business to a multitude of categories"}, {"path": "tedlium_19298.wav", "duration": 8.94, "text": "a little higher than our 4-quarter average, I think we're looking to try to increase that relationship which will drive"}, {"path": "tedlium_19299.wav", "duration": 8.94, "text": "This decrease is primarily attributable to lower order volume and a reduction in funds received."}, {"path": "tedlium_19300.wav", "duration": 8.94, "text": "much more focused on that now. It's an anomaly of a lot going on and it really is somewhat of an anomaly for the first half."}, {"path": "tedlium_19301.wav", "duration": 8.94, "text": "But at some point, I assume that we will come to some sort of agreement, which we believe should be quota-based. But I think we're still a ways off from that."}, {"path": "tedlium_19302.wav", "duration": 8.94, "text": "In foodservice, items such as HORMEL BACON 1 fully cooked bacon and HORMEL pepperoni delivered excellent growth during the quarter."}, {"path": "tedlium_19303.wav", "duration": 8.94, "text": "and now Paymentus, that utilize the full scope of PayPal's platform to drive mutual value for our joint customers."}, {"path": "tedlium_19304.wav", "duration": 8.94, "text": "And so there was just a number of instances around the firm where capital was being deployed very, very inefficiently. Again, it goes back to differences of the 2 firms."}, {"path": "tedlium_19305.wav", "duration": 8.94, "text": "So we think that the ability to raise guidance while absorbing these items is certainly reflective of the strong performance of the business."}, {"path": "tedlium_19306.wav", "duration": 8.94, "text": "So how should we look at that, given that you kind of given this guided to reduction in transactional volumes for next year?"}, {"path": "tedlium_19307.wav", "duration": 8.94, "text": "Together with our talented and dedicated employees, I'm confident we will continue to deliver value to our shareholders. Thank you for your time."}, {"path": "tedlium_19308.wav", "duration": 8.94, "text": "we have a comprehensive development program in place for Rova-T to evaluate this promising therapy in earlier lines of treatment in small cell lung cancer"}, {"path": "tedlium_19309.wav", "duration": 8.94, "text": "We remain excited about this potential new medicine for women with both of these highly prevalent conditions where there are few effective treatment options."}, {"path": "tedlium_19310.wav", "duration": 8.94, "text": "again, all else being equal. So the goal always is to build scale to the extent reasonable and to the extent we still have"}, {"path": "tedlium_19311.wav", "duration": 8.94, "text": "Now please turn to Slide 10. You know that Air Products continues to be very focused on cash flow."}, {"path": "tedlium_19312.wav", "duration": 8.94, "text": "We expect the new 300 million standard cubic foot a day expansion of our existing relationship to commence later this year."}, {"path": "tedlium_19313.wav", "duration": 8.94, "text": "Looking at the regional bank's balance sheet on Slide 7. You can see the strong growth in multiple areas of our commercial portfolios."}, {"path": "tedlium_19314.wav", "duration": 8.94, "text": "after the peak season, things will go back to normal level."}, {"path": "tedlium_19315.wav", "duration": 8.94, "text": "and for assessing oil production from individual stages of unconventional horizontal completions. Recently, an operator in the Eagle Ford formation"}, {"path": "tedlium_19316.wav", "duration": 8.94, "text": "Please note that the company's actual results may differ from those anticipated by such forward-looking statements for a variety of reasons, many of which are beyond our control."}, {"path": "tedlium_19317.wav", "duration": 8.94, "text": "In prior years, we would buy a lot more polyethylene, knowing that part of that would need to be recycled."}, {"path": "tedlium_19318.wav", "duration": 8.94, "text": "aluminum railing line from Reveal to Signature . We're in the process of insourcing that to Trex. We've been working with a very capable supplier"}, {"path": "tedlium_19319.wav", "duration": 8.94, "text": "While the timing will impact our cash flow in any given quarter, we feel very good about the long-term cash flow trajectory for the company."}, {"path": "tedlium_19320.wav", "duration": 8.94, "text": "as it relates to the mix within the different parts of Hydratight? And I guess, as a corollary to that, I assume that"}, {"path": "tedlium_19321.wav", "duration": 8.94, "text": "This will bring the standardization of component manufacturing, development and sales to all of our customers and further improve the results."}, {"path": "tedlium_19322.wav", "duration": 8.94, "text": "We have been working to focus our time and capital commitments first to the programs that are truly moving the needle and in the shortest time possible."}, {"path": "tedlium_19323.wav", "duration": 8.94, "text": "and are currently evaluating and refining our clinical and operating plans as we consider the potential of our current core value drivers."}, {"path": "tedlium_19324.wav", "duration": 8.94, "text": "We anticipate that the next step in this journey will be the implementation of a cloud-based data-driven store staffing and scheduling system"}, {"path": "tedlium_19325.wav", "duration": 8.94, "text": "the impact of distributed solar and the impact on consumption of lower oil and natural gas prices on some of our larger customers."}, {"path": "tedlium_19326.wav", "duration": 8.94, "text": "What Infibeam had as a knowledge is that a system like Unicommerce will come and tell us these many products are there"}, {"path": "tedlium_19327.wav", "duration": 8.94, "text": "The other thing is we still have some impact on the -- it hits the payment side as well and just all the products we're sunsetting. One of the largest products"}, {"path": "tedlium_19328.wav", "duration": 8.94, "text": "Even though volumes came in at the lower end of our forecasted range, full year returns from our mortgage banking platform were above the high end of this range."}, {"path": "tedlium_19329.wav", "duration": 8.94, "text": "It is not the destination. To build a modern IT infrastructure and solution"}, {"path": "tedlium_19330.wav", "duration": 8.94, "text": "I think it's just probably because of the length of distribution channels that you see in China. So once you've got it there, there's still a fair amount of product that you have to put"}, {"path": "tedlium_19331.wav", "duration": 8.94, "text": "for when the end markets start to cooperate. Sanjiv will go into more detail about this and other guidance numbers later in the call."}, {"path": "tedlium_19332.wav", "duration": 8.94, "text": "We were particularly pleased by the ability of our team to cross-sell the enlarged portfolio, consisting of conventional crop protection,"}, {"path": "tedlium_19333.wav", "duration": 8.94, "text": "and it is because of that success that we began looking for additional retail platforms to expand our customer reach. Noble fits that objective to a T."}, {"path": "tedlium_19334.wav", "duration": 8.94, "text": "We intend to continue to work as closely with the city on the planning to try and mitigate as much of that. So potentially, could be"}, {"path": "tedlium_19335.wav", "duration": 8.94, "text": "of their latest growth initiative with a new line of truck body products as we expand into supplying to medium-duty Class 5 through 7 market"}, {"path": "tedlium_19336.wav", "duration": 8.94, "text": "How long this trend will go on is not clear, but it is surely a positive trend for our business."}, {"path": "tedlium_19337.wav", "duration": 8.94, "text": "Factors that could cause actual results to differ materially are discussed in the company's most recent filings with the SEC and in the release."}, {"path": "tedlium_19338.wav", "duration": 8.94, "text": "I would say, I think the other part of it -- I think that certainly I do want to provide the other context is that"}, {"path": "tedlium_19339.wav", "duration": 8.94, "text": "We will use some of that, what I will call extra contribution to reinvest back in the energy business where it makes sense,"}, {"path": "tedlium_19340.wav", "duration": 8.94, "text": "So I think you're right. As energy volume comes back, you're going to see sort of outsize contributions in the near term as you build volume back in your plans."}, {"path": "tedlium_19341.wav", "duration": 8.94, "text": "And how big is the revenue on the warranty administration that's being impacted by the financial with the overall size of that bucket?"}, {"path": "tedlium_19342.wav", "duration": 8.94, "text": "This means the effective date for new rates could be as early as the third quarter of 2017 even if the schedule for the rate case were to be extended."}, {"path": "tedlium_19343.wav", "duration": 8.94, "text": "Our overall share performance was not yet where we wanted it to be, but we began to see meaningful improvements in a number of key markets,"}, {"path": "tedlium_19344.wav", "duration": 8.94, "text": "allowing us to consistently cover our dividend each quarter. Our portfolio is well positioned for any meaningful rise in interest rates,"}, {"path": "tedlium_19345.wav", "duration": 8.94, "text": "These take into account benchmarks that we see externally, and we will continue to seek ways to improve and ensure that these levels are maintained."}, {"path": "tedlium_19346.wav", "duration": 8.94, "text": "And we remain very confident about the Southeast given continued growth in both public and private demand."}, {"path": "tedlium_19347.wav", "duration": 8.94, "text": "They illustrate clearly the variability in the quarter, but also the quality of the profit improvement that we're seeing at the local level."}, {"path": "tedlium_19348.wav", "duration": 8.94, "text": "and not one of our bigger businesses either. So if we can get it corrected and get it on a better growth trajectory, I think it could be a real contributor in the future."}, {"path": "tedlium_19349.wav", "duration": 8.94, "text": "And in terms of pull-through, what percent of these programs are moving into Safety Assessment today? And where do you see that going longer term?"}, {"path": "tedlium_19350.wav", "duration": 8.94, "text": "But remember that you've also got the market in India that's growing at a very rapid rate. And you've got a very stable market in Korea. So"}, {"path": "tedlium_19351.wav", "duration": 8.94, "text": "We believe we are well positioned for the remaining days leading up to Christmas and look forward to helping the holidays arrive once again for our customers around the world."}, {"path": "tedlium_19352.wav", "duration": 8.94, "text": "from simple things like a flu or a pneumonia vaccination to the much more complex, identifying urgent needs that save lives."}, {"path": "tedlium_19353.wav", "duration": 8.94, "text": "This chart has now been restated to exclude services, which was a relatively higher working capital intensive business. Therefore, the numbers have shifted downward."}, {"path": "tedlium_19354.wav", "duration": 8.94, "text": "We expect further challenges to negatively impact our performance in the fourth quarter and as a result, we've updated our full year revenue and EPS targets accordingly."}, {"path": "tedlium_19355.wav", "duration": 8.94, "text": "As we continue to build value for our customers, we will enhance the fundamental trends in our business that drive the long-term value creation for all shareholders."}, {"path": "tedlium_19356.wav", "duration": 8.94, "text": "Our core expenses for the quarter were up less than 2%, which is primarily a function of variable expenses on core revenue growth."}, {"path": "tedlium_19357.wav", "duration": 8.94, "text": "But in this context, I think we've had a very clear strategy of what we're trying to do, and I just want to sort of make sure we're clear about what we're doing."}, {"path": "tedlium_19358.wav", "duration": 8.94, "text": "but then quickly stabilized as buyers stepped in. Defaults continue to track at historical lows in Europe"}, {"path": "tedlium_19359.wav", "duration": 8.94, "text": "and that was an opportune time for our company leaders to convey the new strategic plan to our store managers, who, in turn, are spreading the word throughout the company."}, {"path": "tedlium_19360.wav", "duration": 8.94, "text": "This represents our best result in almost 2 years, and it was realized despite the significant competitive and regulatory pressures that existed in the quarter."}, {"path": "tedlium_19361.wav", "duration": 8.94, "text": "It's important to note that there's some way to go on this project, still, and we are a long way from approving any project capital in this regard."}, {"path": "tedlium_19362.wav", "duration": 8.94, "text": "and we give up some of the upside on gas. And because our skew was more to the downside on gas, we're willing to give that upside away,"}, {"path": "tedlium_19363.wav", "duration": 8.94, "text": "We believe that our improved overall financial profile will be beneficial as we engage in discussions to refinance our capital structure."}, {"path": "tedlium_19364.wav", "duration": 8.94, "text": "prioritize and allocate resources to the most attractive high-growth markets and further differentiate our brand."}, {"path": "tedlium_19365.wav", "duration": 8.94, "text": "greater stability to our earnings during the times of inherent housing market volatility, and we are starting to see positive results."}, {"path": "tedlium_19366.wav", "duration": 8.94, "text": "are our tenants' commercial relationships, and we believe that they continue to think that that's a very valuable asset in their network."}, {"path": "tedlium_19367.wav", "duration": 8.9399375, "text": "given the expected time involved, we expect proceeds to be received in future periods. We're going to do the right deal, not a quick deal."}, {"path": "tedlium_19368.wav", "duration": 8.9399375, "text": "We have also introduced a new premium grade product called BARYPREM, which can be used in new applications."}, {"path": "tedlium_19369.wav", "duration": 8.9100625, "text": "This was mostly because of lower dividend income and equity method earnings, stemming from a downturn in market prices on resource commodities."}, {"path": "tedlium_19370.wav", "duration": 8.91, "text": "And if it scales the way it did in Phase II with avacopan, that will be a very powerful discussion with those agencies."}, {"path": "tedlium_19371.wav", "duration": 8.91, "text": "and our first digital innovation tour for our buy-side clients to expose them to new digital innovations that can help them accelerate growth."}, {"path": "tedlium_19372.wav", "duration": 8.91, "text": "Similarly, the interactive software that I spoke about at the interims, which allows us to analyze every single till transaction, is now live in the business"}, {"path": "tedlium_19373.wav", "duration": 8.91, "text": "pricing until the third quarter. So I think we'll just have to -- we'll have to kind of watch and see how that plays out. When we get to fourth quarter,"}, {"path": "tedlium_19374.wav", "duration": 8.91, "text": "why the decision to go into Florida and how you're going to attack that market going forward from a sales perspective."}, {"path": "tedlium_19375.wav", "duration": 8.91, "text": "We showed how we successfully deployed data and analytics to up and cross-sell services when customers interact with us."}, {"path": "tedlium_19376.wav", "duration": 8.91, "text": "for the majority of the proteins encoded in the vaccine, remain durable up to Week 56. And again, you can see that we can boost them."}, {"path": "tedlium_19377.wav", "duration": 8.91, "text": "on how to help them create a supply chain that is efficient and that works for us. So there's a lot of good news here,"}, {"path": "tedlium_19378.wav", "duration": 8.91, "text": "pretty much as large as NIVEA. Clearly, it's across more categories. But it's clearly showing that you can deliver very strong"}, {"path": "tedlium_19379.wav", "duration": 8.91, "text": "Despite the ongoing renovation and limited meeting space to sell, the Renaissance Nashville has still been able to gain market share"}, {"path": "tedlium_19380.wav", "duration": 8.91, "text": "given the proper repositioning or expansion activities, will outperform over the next decade."}, {"path": "tedlium_19381.wav", "duration": 8.91, "text": "to slowing growth and declining corporate profits in a highly leveraged world, are now finally being realized and manifested in obvious ways."}, {"path": "tedlium_19382.wav", "duration": 8.91, "text": "we found out that there was a demand in the DJ et cetera, and that's why we ended up building the NECL piece kind of simultaneously and"}, {"path": "tedlium_19383.wav", "duration": 8.91, "text": "I think as a lodging-focused investment community, probably don't talk about as much as maybe we should. RevPAR index is the"}, {"path": "tedlium_19384.wav", "duration": 8.91, "text": "and stability of our cash flows, we believe that our business can more than adequately support this somewhat higher leverage amount."}, {"path": "tedlium_19385.wav", "duration": 8.91, "text": "We've delivered growth in adjusted operating profit and a growth in adjusted operating profit margin despite this being a peak year of investment in the Growth Acceleration Plan."}, {"path": "tedlium_19386.wav", "duration": 8.91, "text": "Yes, and then, as far as of them bringing in new clients, as they become part of Nielsen, they have all the same assets they had before. Now they have even"}, {"path": "tedlium_19387.wav", "duration": 8.91, "text": "environment, and this again shows how we start to scale our business and how the focus on profitability actually pays off."}, {"path": "tedlium_19388.wav", "duration": 8.91, "text": "Demand for pulp was very strong in the last half of the year, driven in part by China and its new restrictions on the import of recycled paper."}, {"path": "tedlium_19389.wav", "duration": 8.91, "text": "A search is underway for his replacement. Phil leaves a strong legacy and a very solid bench in our operations teams."}, {"path": "tedlium_19390.wav", "duration": 8.91, "text": "also have -- helps to answer an additional question, which is, is there additional benefit that accrues by keeping the patients on for another 12 weeks?"}, {"path": "tedlium_19391.wav", "duration": 8.91, "text": "And we are looking at both possibilities in order to advance what we believe that will be important"}, {"path": "tedlium_19392.wav", "duration": 8.91, "text": "because payments come before shipments. But you run the risk of inventory. Sometimes you do not get a good sell-through."}, {"path": "tedlium_19393.wav", "duration": 8.91, "text": "These demonstrated that achieving above threshold levels of circulating pamrevlumab in pancreatic cancer patients, in combination with chemotherapy,"}, {"path": "tedlium_19394.wav", "duration": 8.91, "text": "Mario, I think the most material of those 3 anticipated"}, {"path": "tedlium_19395.wav", "duration": 8.91, "text": "and this is indeed a very relevant operation for the company. Operating expenses. We were able to"}, {"path": "tedlium_19396.wav", "duration": 8.91, "text": "your Q3 performance seems to have been quite strong, especially on the margin front. Could you just elaborate a bit on what drove"}, {"path": "tedlium_19397.wav", "duration": 8.91, "text": "And Steve, that's an important segment for us because many of those customers then are going to see an adoption rate and may then very well move into"}, {"path": "tedlium_19398.wav", "duration": 8.91, "text": "This means that we are always in position to have an alternate way to achieve set initiatives, significantly reducing the likelihood that we overpay for transaction."}, {"path": "tedlium_19399.wav", "duration": 8.91, "text": "and understanding your value proposition. So I do think it'll have a strong impact. It's going to take several years to roll out, so I don't want to create an expectation that,"}, {"path": "tedlium_19400.wav", "duration": 8.91, "text": "in our revenues due to the cancellation of several projects and increased price pressure coming from an industry suffering from overcapacity."}, {"path": "tedlium_19401.wav", "duration": 8.91, "text": "Yes. So I'll answer the last part first. We've made a dramatic change to our sales commission plans. We are"}, {"path": "tedlium_19402.wav", "duration": 8.91, "text": "to make business in a country where you have an idea about the language, we have an idea about the jurisdiction, which is also"}, {"path": "tedlium_19403.wav", "duration": 8.91, "text": "Third, we have a number of projects managed by our corporate staff, given their unique skill set that relate to legacy operational matters."}, {"path": "tedlium_19404.wav", "duration": 8.91, "text": "Three comments. First, the annual range does not include the anticipated benefits of non-GAAP revenue adjustments in the first and second quarters."}, {"path": "tedlium_19405.wav", "duration": 8.91, "text": "this and some that I've said already. But the reason I have confidence in our alternatives is we have 5 million highly engaged members"}, {"path": "tedlium_19406.wav", "duration": 8.91, "text": "We'll see how it plays out. But I think regulatorily, it's bad. And I think in terms of how we incent people and how we pay people going forward, it could change."}, {"path": "tedlium_19407.wav", "duration": 8.91, "text": "I don't have the numbers in front of me for the average yield on what we bought for the quarter. I just don't have that right here, but you did see"}, {"path": "tedlium_19408.wav", "duration": 8.91, "text": "It's important to point out that prior year third quarter was very strong, as we benefited from pent-up demand due to last year's hurricane impact."}, {"path": "tedlium_19409.wav", "duration": 8.91, "text": "The current multifamily market environment is very active. For example, we are working on a value-add multifamily listing in the Southeast right now"}, {"path": "tedlium_19410.wav", "duration": 8.91, "text": "So the model's working really well. And specifically to your question, we want to get as many people on the platform as quickly as possible to get the benefit of their revenues"}, {"path": "tedlium_19411.wav", "duration": 8.91, "text": "This resulted in LOE coming in above our guidance range. Going forward into the fourth quarter, we expect lease operating expense"}, {"path": "tedlium_19412.wav", "duration": 8.91, "text": "From a people perspective, we're also committed to diversity and being the best place in -- to work in real estate services."}, {"path": "tedlium_19413.wav", "duration": 8.91, "text": "and what some of the conditions are to be a preferred provider. But also what some of the structure is, including things that we are hopeful about,"}, {"path": "tedlium_19414.wav", "duration": 8.91, "text": "finish the merger. We will think about all the possible alternatives, but not certainly until we get to a point where we completed our merger."}, {"path": "tedlium_19415.wav", "duration": 8.91, "text": "and has a lot of the attributes we would be looking for. It has transmission. It has a number of things that make it a very attractive site."}, {"path": "tedlium_19416.wav", "duration": 8.91, "text": "if that effect were not in place. And I would point out the way that we measure this tends to understate the impact, because the way we measure it is simply by looking at"}, {"path": "tedlium_19417.wav", "duration": 8.91, "text": "We didn't necessarily invest in all the places we should have, and that's what resulted in the decrease in share."}, {"path": "tedlium_19418.wav", "duration": 8.91, "text": "The bottom line is that we believe we're well positioned for rising rates. The chart in the upper left summarizes our exposure to 4 scenarios this year"}, {"path": "tedlium_19419.wav", "duration": 8.91, "text": "At this time, though, there is limited visibility on wood pulp prices heading materially lower in the coming year."}, {"path": "tedlium_19420.wav", "duration": 8.91, "text": "things that really don't cost us very much money like a power bank on 5-year plan where there is extraordinary margins on that. So"}, {"path": "tedlium_19421.wav", "duration": 8.91, "text": "The pipeline is better qualified and larger than it ever has been before, and we've closed some significant new sales."}, {"path": "tedlium_19422.wav", "duration": 8.91, "text": "Volume growth was slightly constrained by ethylene sales as we prepare for the turnaround of the cracker in the second quarter."}, {"path": "tedlium_19423.wav", "duration": 8.91, "text": "a little bit of a view on how should we think about the deliveries of the BizJets and also commercial interest on the Pearl engine"}, {"path": "tedlium_19424.wav", "duration": 8.91, "text": "While the cost of these CDs did contribute to our high deposit beta, we were extremely pleased by our ability to meet our primary goal,"}, {"path": "tedlium_19425.wav", "duration": 8.91, "text": "The money, thus -- we are not only considering to allocating the money in the emerging markets,"}, {"path": "tedlium_19426.wav", "duration": 8.91, "text": "Today, we will review our Q1 financial and operational results, provide commentary on our performance in the context of our 5-point growth strategy"}, {"path": "tedlium_19427.wav", "duration": 8.91, "text": "Before handing over to Gordon, let me take a moment to provide an update on our litigation against EnzymeWorks, which we initiated last year."}, {"path": "tedlium_19428.wav", "duration": 8.91, "text": "Now keep in mind that this quarter alone, excluding the East China integration, we grew total transactions in China in the mid-teens."}, {"path": "tedlium_19429.wav", "duration": 8.91, "text": "steps that are in our control and we know how to execute upon to improve our overall performance and find additional cost savings."}, {"path": "tedlium_19430.wav", "duration": 8.91, "text": "Looking at first quarter sales. February sales were impacted by the slow start to tax season and lower refunds during the month."}, {"path": "tedlium_19431.wav", "duration": 8.91, "text": "Please refer to the company's earnings release that was issued today for a reconciliation of these non-GAAP measures to their most comparable GAAP measures."}, {"path": "tedlium_19432.wav", "duration": 8.91, "text": "As such, we expect the future quarters to show continued margin gains compared to last year but likely at a lower rate of improvement than realized this quarter."}, {"path": "tedlium_19433.wav", "duration": 8.91, "text": "We also benefited from the investment and efficiency efforts of the past 18 months, which includes inventory, freight,"}, {"path": "tedlium_19434.wav", "duration": 8.91, "text": "multiple lines of business, call types in every geography that we're in. But I think that those volumes will continue to"}, {"path": "tedlium_19435.wav", "duration": 8.91, "text": "we will continue to invest in our workforce, our facilities and our research and development programs as we prepare for the uptick in project activity over the coming quarters."}, {"path": "tedlium_19436.wav", "duration": 8.91, "text": "and keeping our customers on the water through our getaway will help further differentiate MarineMax. And ultimately, these efforts"}, {"path": "tedlium_19437.wav", "duration": 8.91, "text": "In my experience, mining services companies have lagged the miners in many fronts. For example, the miners were far quicker to reduce costs,"}, {"path": "tedlium_19438.wav", "duration": 8.91, "text": "What these examples on the procurement side seeks to demonstrate is this is not about squeezing the small supplier of the last cent"}, {"path": "tedlium_19439.wav", "duration": 8.91, "text": "We will use this performance as a platform for accelerating our pace of growth to an average of 4.9% annually over the next 5 years"}, {"path": "tedlium_19440.wav", "duration": 8.91, "text": "We continue to see some business consolidations among our customers and we experienced some cyclical year-end paydowns in lines."}, {"path": "tedlium_19441.wav", "duration": 8.91, "text": "Citywide activity during the quarter was light in our most significant group markets of Boston, Chicago and Minneapolis,"}, {"path": "tedlium_19442.wav", "duration": 8.91, "text": "and how much do they just try to buy business if we get a runup in metal prices. So it's really difficult to say. Over the long term,"}, {"path": "tedlium_19443.wav", "duration": 8.91, "text": "Now with regard to the acquisitions we've made, I am pleased to say that they are contributing in a way we knew they could."}, {"path": "tedlium_19444.wav", "duration": 8.91, "text": "Additionally, health system satisfaction with the majority of point solutions is very low and they are amenable to switching vendors."}, {"path": "tedlium_19445.wav", "duration": 8.91, "text": "very good progress already in terms of driving to common vendors and making sure that we start to"}, {"path": "tedlium_19446.wav", "duration": 8.91, "text": "Most important, we have completed the refinance, which strengthens our financial profile and provides us with additional flexibility."}, {"path": "tedlium_19447.wav", "duration": 8.91, "text": "They do a very, very good job with it. And I do believe as well that the volume increase that will occur"}, {"path": "tedlium_19448.wav", "duration": 8.91, "text": "How best we can accomplish that is what we are looking at. And we will let you know as we keep progressing,"}, {"path": "tedlium_19449.wav", "duration": 8.91, "text": "These statements are based on our current plans and expectations and involve risks and uncertainties that could cause future activities and results of operations"}, {"path": "tedlium_19450.wav", "duration": 8.91, "text": "along with continual development of different battery modules with different voltages, different capacities, different shapes and sizes"}, {"path": "tedlium_19451.wav", "duration": 8.91, "text": "With these results, it is not hard to feel super confident and be tempted to think that the midterm alone can take us all the way."}, {"path": "tedlium_19452.wav", "duration": 8.91, "text": "replaced during the last downturn or shortly thereafter. And there's still some catch-up going on, trying to get that equipment out."}, {"path": "tedlium_19453.wav", "duration": 8.91, "text": "our diverse platform and strong business model enabled us to deliver positive core revenue growth and continued growth in our market share."}, {"path": "tedlium_19454.wav", "duration": 8.91, "text": "Recent 12 weeks scanned data shows positive sales trends as the Jennie-O brand continues to outperform the category."}, {"path": "tedlium_19455.wav", "duration": 8.91, "text": "As we've indicated, we are eager to negotiate a transaction with Tribune and believe we can come to an agreement in good faith."}, {"path": "tedlium_19456.wav", "duration": 8.91, "text": "The recent executive order authorizing the construction of the Keystone XL pipeline is expected to have a very positive impact on our markets."}, {"path": "tedlium_19457.wav", "duration": 8.91, "text": "we are also interested in gaining experience using varli in alternative dosing schedules that may allow the immune system to reset in between doses."}, {"path": "tedlium_19458.wav", "duration": 8.91, "text": "and it's one of the things that really attracted this particular customer to that solution. So we expect certainly large banks and credit unions to adopt this but we also expect"}, {"path": "tedlium_19459.wav", "duration": 8.91, "text": "as well as cash restructuring associated with our cost reduction actions and certain spin-related cash payments."}, {"path": "tedlium_19460.wav", "duration": 8.91, "text": "From a rail perspective, there's not a lot of rail facilities. Most of the rail facilities in the Permian Basin are now designed for frac sand"}, {"path": "tedlium_19461.wav", "duration": 8.91, "text": "Think of that again just as timing of various projects as they come through the cycle and nothing of great significance. You can see we've done a pretty good job. If you look at"}, {"path": "tedlium_19462.wav", "duration": 8.91, "text": "The outlook for operating profit reflects an expected increase in sales and distribution costs in the second half of 2017 compared to the first half"}, {"path": "tedlium_19463.wav", "duration": 8.91, "text": "For a discussion of factors that may cause actual results to differ, refer to Item 1A, Risk Factors, in our most recent Form 10-K."}, {"path": "tedlium_19464.wav", "duration": 8.91, "text": "and so they will quote jobs at marginal rates if there's a shortage of work available."}, {"path": "tedlium_19465.wav", "duration": 8.91, "text": "Our attention to service and our commitment to delivering outstanding guest experience will continue to be the hallmarks of our company and the focus of our efforts."}, {"path": "tedlium_19466.wav", "duration": 8.91, "text": "This concept has been of interest to the company for some time, and it is exciting to have finally launched this division to make our concepts a reality."}, {"path": "tedlium_19467.wav", "duration": 8.91, "text": "mislead in any direction. So we're working on that to try to figure out how do we provide you with something that is"}, {"path": "tedlium_19468.wav", "duration": 8.91, "text": "We'll get started in just a minute with management's presentation and comments. But before doing so, let me take a minute to read the safe harbor disclosure."}, {"path": "tedlium_19469.wav", "duration": 8.91, "text": "The Aerospace industry overall remains extremely strong, fueled by record passenger and cargo traffic and ongoing elevated load factors."}, {"path": "tedlium_19470.wav", "duration": 8.91, "text": "But at the moment, I would say no. I don't see us increasing prices, but I see us hopefully being able to maintain the best mix of business that we can"}, {"path": "tedlium_19471.wav", "duration": 8.91, "text": "Overall, our goal remains to improve the market capitalization, delever our balance sheet and improve our financial flexibility as we focus on the future."}, {"path": "tedlium_19472.wav", "duration": 8.91, "text": "Both our sales force and our customers are excited about the complete solutions we can now provide with our combined product offerings and increased global scale."}, {"path": "tedlium_19473.wav", "duration": 8.91, "text": "on that as a priority. But that could be a call on cash flow. And then to the extent that we spend some money on"}, {"path": "tedlium_19474.wav", "duration": 8.91, "text": "Chip manufacturers are still struggling to maintain or regain profitability amid mounting competitive and cost challenges."}, {"path": "tedlium_19475.wav", "duration": 8.91, "text": "As Scott mentioned, our track record of generating relatively consistent EBITDA throughout the economic cycles speaks to the resiliency of our business model."}, {"path": "tedlium_19476.wav", "duration": 8.91, "text": "great start. It gives us the platform and the assortment out there that we need. And as I mentioned in my remarks, we're happy to let demand"}, {"path": "tedlium_19477.wav", "duration": 8.91, "text": "The increase in sales for the 3 and 6 months was due primarily to increased sales of the company's door locking products and intrusion products"}, {"path": "tedlium_19478.wav", "duration": 8.91, "text": "Integrating and networking products from our Alarm Lock, Marks and Continental divisions enable us to wirelessly control access"}, {"path": "tedlium_19479.wav", "duration": 8.91, "text": "This is mainly due to project cost for developing a new company and startup costs for long-haul routes."}, {"path": "tedlium_19480.wav", "duration": 8.91, "text": "Can you talk about the impact to your business from a trade and regulatory perspective, both how the solar tariffs may impact Flex? And then"}, {"path": "tedlium_19481.wav", "duration": 8.91, "text": "and almost entirely attributed to the increased levels of investment required for our new businesses and to support our Sketch-to-Scale vision."}, {"path": "tedlium_19482.wav", "duration": 8.91, "text": "following in the domestic Asia market, given the full Taiwan listing. The prepared comments that management will cover here are the same as those covered on the earlier call."}, {"path": "tedlium_19483.wav", "duration": 8.91, "text": "In the meantime, we will continue to work actively to progress all aspects of our strategy and litigation with respect to mitigating losses in Puerto Rico."}, {"path": "tedlium_19484.wav", "duration": 8.91, "text": "work underway now and so there's, I think, ample provision to be able to fund any development activities going forward."}, {"path": "tedlium_19485.wav", "duration": 8.91, "text": "where we expect to be back March 1 with the annual report for FY '16. So thank you all for listening in."}, {"path": "tedlium_19486.wav", "duration": 8.91, "text": "In New York, we're making progress on finalizing the contracts with NYSERDA and expect to have them signed for all 3 plants in November."}, {"path": "tedlium_19487.wav", "duration": 8.91, "text": "and our revised outlook for the full year, I'm very encouraged by the way many key indicators improved during the quarter"}, {"path": "tedlium_19488.wav", "duration": 8.91, "text": "The third takeaway is that physical video gaming is cyclical, but has a very long tail, and we have significant share in the category."}, {"path": "tedlium_19489.wav", "duration": 8.91, "text": "For our Brand Portfolio, we expect some near-term market challenges as many of our retail partners try to improve their inventory productivity."}, {"path": "tedlium_19490.wav", "duration": 8.91, "text": "We also successfully completed the divestiture and deconversion of the previously disclosed 5 branch locations in Columbus, Indiana, and Greensburg, Indiana."}, {"path": "tedlium_19491.wav", "duration": 8.91, "text": "more customization of specific population benefits and really the flexibility to expand the value of our benefits, all really very positive advances"}, {"path": "tedlium_19492.wav", "duration": 8.91, "text": "and then we'll end the year with 14. Mike, do you want to talk about the airplane and what you've heard from Boeing and other operators around the world?"}, {"path": "tedlium_19493.wav", "duration": 8.91, "text": "This growth has come primarily at the expense of mid-tier brands, but more recently, premium brands have also experienced some negative impacts."}, {"path": "tedlium_19494.wav", "duration": 8.91, "text": "We are expecting that a business case will be developed first in a larger market to justify the rollout in the largest markets."}, {"path": "tedlium_19495.wav", "duration": 8.91, "text": "But could you just give us an idea about the timing on when you need to submit your business plans, when you might get an early indication of WACC from the regulator, for instance?"}, {"path": "tedlium_19496.wav", "duration": 8.91, "text": "But again, because of the work that we've done with the capital recycling, with the balance sheet, it allows us to be"}, {"path": "tedlium_19497.wav", "duration": 8.91, "text": "very large uncertainties in number of banking groups to take advantage and offer senior, experienced relationship managers to join us."}, {"path": "tedlium_19498.wav", "duration": 8.91, "text": "We'd also like to mention that today's presentation uses numerous non-GAAP terms to describe the way in which we manage and operate our business."}, {"path": "tedlium_19499.wav", "duration": 8.91, "text": "I think we're going to have some opportunity because of the proximity of our base plant to do some other things as well in terms of"}, {"path": "tedlium_19500.wav", "duration": 8.91, "text": "We are continuing to evaluate the impact of Harvey on the projects and are confident that such costs incurred are recoverable under our contracts."}, {"path": "tedlium_19501.wav", "duration": 8.91, "text": "Do you know what the reasons are for discontinuation, the top 1 or 2? And are they switching to other therapies?"}, {"path": "tedlium_19502.wav", "duration": 8.91, "text": "that unique kitchen or bathroom will always be with us, and I think they're willing to pay for something unique."}, {"path": "tedlium_19503.wav", "duration": 8.91, "text": "positive effect on margins there. So I think one of the things we want to do is take some of the learnings from that and apply them worldwide. But Roger, maybe you want to add."}, {"path": "tedlium_19504.wav", "duration": 8.91, "text": "How much saving will that be in 2017? Yes. I'd say in terms of the individual amounts and"}, {"path": "tedlium_19505.wav", "duration": 8.91, "text": "and adversely from those projected in any forward-looking statements we make. All forward-looking statements speak only as of the date they are made."}, {"path": "tedlium_19506.wav", "duration": 8.91, "text": "With respect to these asset exchanges, we have traded stores that were on average 27 years old for stores that are on average 7 years old."}, {"path": "tedlium_19507.wav", "duration": 8.91, "text": "The sequential decline in the first quarter state government revenue was expected. Until we have a final resolution of the New Jersey TPL contract,"}, {"path": "tedlium_19508.wav", "duration": 8.91, "text": "You said they benefited from less pass-through hardware. Is this level sustainable for the next couple of quarters? Or do you expect"}, {"path": "tedlium_19509.wav", "duration": 8.91, "text": "So I think what was encouraging in some of the disclosures we made around backlog is that we were able to extend"}, {"path": "tedlium_19510.wav", "duration": 8.91, "text": "For example, if SPIL had a piece of fully functional equipment that was fully depreciated, 0 book value,"}, {"path": "tedlium_19511.wav", "duration": 8.91, "text": "We also need to keep in mind that our marketing on Amazons entails a compensation which is not reflected in the advertising expenses."}, {"path": "tedlium_19512.wav", "duration": 8.9099375, "text": "as well as outlook for fiscal year '18. Well, thanks, Lisah, and we're certainly very pleased with our results in the fourth quarter and fiscal year."}, {"path": "tedlium_19513.wav", "duration": 8.8800625, "text": "Our marketing initiatives also support our sales growth priority, and our marketing testimonial campaign continues to resonate."}, {"path": "tedlium_19514.wav", "duration": 8.88, "text": "So our investments are focused primarily in 2 areas. One is digital and the second is all things recurring, if you will."}, {"path": "tedlium_19515.wav", "duration": 8.88, "text": "Then the second effect in working capital is actually related to the reverse factoring."}, {"path": "tedlium_19516.wav", "duration": 8.88, "text": "which are essential in this arena. And by refocusing again on the cloud and the enterprise infrastructure,"}, {"path": "tedlium_19517.wav", "duration": 8.88, "text": "Now before I start, I want to make a few opening comments to refresh everyone's memory on how we have gotten to where we are today."}, {"path": "tedlium_19518.wav", "duration": 8.88, "text": "Most of that was the commodity. And the primary variance would be the arb on the LPG exports that we were expecting at the time when"}, {"path": "tedlium_19519.wav", "duration": 8.88, "text": "segments where we had utilization for patients with renal insufficiency. But as we move forward, I would expect that the mix is going to change substantially"}, {"path": "tedlium_19520.wav", "duration": 8.88, "text": "we have to find additional ways to think about contracting with customers and working with customers differently than the way in which you do today."}, {"path": "tedlium_19521.wav", "duration": 8.88, "text": "and then at our Annual Investor Day event scheduled for March 1 in New York City. Thank you for your interest in Crane and have a fantastic day."}, {"path": "tedlium_19522.wav", "duration": 8.88, "text": "We believe that growing the bank organically and through prudent acquisitions has served us well as a public company and through our second step 5 years ago."}, {"path": "tedlium_19523.wav", "duration": 8.88, "text": "boost to all 5 proteins encoded in the protein -- in the vaccine, including to the whole virus. These responses,"}, {"path": "tedlium_19524.wav", "duration": 8.88, "text": "Look, I think if you saw the slowing market at the end of last year, there is no doubt that we've been carrying high levels of inventory. We would have had and did have"}, {"path": "tedlium_19525.wav", "duration": 8.88, "text": "expanded store hours across our network, and our retail impact store project continued to make a difference and drive steady growth."}, {"path": "tedlium_19526.wav", "duration": 8.88, "text": "We are very pleased to present, as we think, a strong set of figures"}, {"path": "tedlium_19527.wav", "duration": 8.88, "text": "We produced solid results in the first quarter driven by our continued momentum in business development and new client acquisition."}, {"path": "tedlium_19528.wav", "duration": 8.88, "text": "better leisure demand, improved international arrivals and overall strengthening corporate demand, particularly in the oil and gas industry."}, {"path": "tedlium_19529.wav", "duration": 8.88, "text": "of awareness, well, activity from our customer is a really telling sign of what we're going to be able to deliver in the future."}, {"path": "tedlium_19530.wav", "duration": 8.88, "text": "Since the end of the third quarter, we have released 8 of those and sold 1. And we have pending resolution on 2 more of the Gander assets."}, {"path": "tedlium_19531.wav", "duration": 8.88, "text": "and is stable in the Private Label. So I would say that the strategy of the group is driven by"}, {"path": "tedlium_19532.wav", "duration": 8.88, "text": "They can do everything from full color to promotional materials for it, but then they can move away from that."}, {"path": "tedlium_19533.wav", "duration": 8.88, "text": "be super efficient to send these patients home. And they all have to be educated. It just takes a long time. So I think there's"}, {"path": "tedlium_19534.wav", "duration": 8.88, "text": "Thank you, Doug. As we try to do each quarter, we attempt to provide some topical commentary that's intended to provide you some insights about how we're positioning the company"}, {"path": "tedlium_19535.wav", "duration": 8.88, "text": "I'm wondering if maybe, just given the acquisition and all the dynamics of the customers that you're adding and different types of customers"}, {"path": "tedlium_19536.wav", "duration": 8.88, "text": "and several smaller direct acquisitions offset partially by the proceeds from our common unit offering in October."}, {"path": "tedlium_19537.wav", "duration": 8.88, "text": "So most our markets are very undersupplied. I think the data just came out from -- that showed that consumer pricing plans"}, {"path": "tedlium_19538.wav", "duration": 8.88, "text": "Inflation could end up higher than our current expectation if we continue to see the dollar strengthening as a consequence of the trade wars in the international markets."}, {"path": "tedlium_19539.wav", "duration": 8.88, "text": "This growth was partially offset by higher business development costs related to our efforts to progress our hydro pump storage opportunity in Arizona."}, {"path": "tedlium_19540.wav", "duration": 8.88, "text": "by everything -- by every measure that we've heard so far, the Navy's quite excited about it. And it could ultimately turn into"}, {"path": "tedlium_19541.wav", "duration": 8.88, "text": "And we don't expect that all of the patients will have been on treatment sufficiently long yet to have seen for the deepest possible response to have developed by the time at ASH. So"}, {"path": "tedlium_19542.wav", "duration": 8.88, "text": "in this sector. We want to be seen as the best company for the relevance of its services"}, {"path": "tedlium_19543.wav", "duration": 8.88, "text": "acquisitions with a very clear objective, which is to grow the value of our asset base and to increase return for our shareholders."}, {"path": "tedlium_19544.wav", "duration": 8.88, "text": "So the circumstances of the program in China involve a regulatory priority that are somewhat constraining with respect to"}, {"path": "tedlium_19545.wav", "duration": 8.88, "text": "but we also see that our operational costs are impacted by the additional peak season cost we had to absorb"}, {"path": "tedlium_19546.wav", "duration": 8.88, "text": "What we did see is very strong volume growth, which is ongoing, still slightly offset by a negative price mix effect."}, {"path": "tedlium_19547.wav", "duration": 8.88, "text": "both in Italy and in Germany. And we expect to do a transaction before"}, {"path": "tedlium_19548.wav", "duration": 8.88, "text": "right around 10%, maybe just a hair over 10% on a full year basis. So we won't start that way at the beginning of the year, and we'll kind of ramp our way to it. So I don't"}, {"path": "tedlium_19549.wav", "duration": 8.88, "text": "variable awards, which we have been reducing because even if we have had record profits,"}, {"path": "tedlium_19550.wav", "duration": 8.88, "text": "We remain committed to continuing to leverage the TriMas model to improve performance of our businesses and achieve our organic growth plans."}, {"path": "tedlium_19551.wav", "duration": 8.88, "text": "We believe we can hold our margin around this level near-term, given the encouraging yield on our new loan production and the probability of future rate increases."}, {"path": "tedlium_19552.wav", "duration": 8.88, "text": "We also ended the quarter with a healthy backlog of retrofits and refurbishments. We feel very good with our aftermarket performance."}, {"path": "tedlium_19553.wav", "duration": 8.88, "text": "For sake of brevity, I will be referring to our second quarter growth rates on a constant currency basis versus the same period in the prior year."}, {"path": "tedlium_19554.wav", "duration": 8.88, "text": "Our market leadership is enabled by our unique capability to connect the physical and digital worlds together with our deep domain knowledge."}, {"path": "tedlium_19555.wav", "duration": 8.88, "text": "We are using strategic planning and execution tools, such as Hoshin, throughout the organization to achieve appropriate levels of transparency and discipline."}, {"path": "tedlium_19556.wav", "duration": 8.88, "text": "And we think that we had to improve our processes and the service we are supporting"}, {"path": "tedlium_19557.wav", "duration": 8.88, "text": "And now we're sitting, debating whether we want to take a lower margin on private label, which generally, if you have excess capacity, you might choose to do that."}, {"path": "tedlium_19558.wav", "duration": 8.88, "text": "Natural American Spirit's distinctive premium brand continues to outperform. In the third quarter, the brand increased retail market share"}, {"path": "tedlium_19559.wav", "duration": 8.88, "text": "to-EBITDA. I would note here that given the relatively low interest rate outlook, along with our improving interest coverage,"}, {"path": "tedlium_19560.wav", "duration": 8.88, "text": "Joe also comes to R.J. Reynolds with a strong track record of bringing brand innovations to market, which will serve the company well moving forward."}, {"path": "tedlium_19561.wav", "duration": 8.88, "text": "but that does not include the countless hours spent by both HWC and Vertex management and personnel in executing the integration plan,"}, {"path": "tedlium_19562.wav", "duration": 8.88, "text": "We have had a dedicated internal team complemented by external advisors working on a comprehensive approach for the past 5 months."}, {"path": "tedlium_19563.wav", "duration": 8.88, "text": "and we got lower capitalized overhead as a result of reduced expansion CapEx. But all these other moving pieces essentially net out to be a small positive."}, {"path": "tedlium_19564.wav", "duration": 8.88, "text": "and the bidding pipeline is robust to a point of, again, testing our capacities in that arena."}, {"path": "tedlium_19565.wav", "duration": 8.88, "text": "and is in the beginning of a gradual shift from growth stock to an income stock. So that's the second part of the question."}, {"path": "tedlium_19566.wav", "duration": 8.88, "text": "The economy is strong, and consumer confidence is growing along with it. So we believe that we will benefit from a strong retail season"}, {"path": "tedlium_19567.wav", "duration": 8.88, "text": "Another favorable element to be noted is the price increase we witness for industrial services. This is good news for SUEZ."}, {"path": "tedlium_19568.wav", "duration": 8.88, "text": "will also continue to broadly drive our systems and components business with our differentiated products and services."}, {"path": "tedlium_19569.wav", "duration": 8.88, "text": "Massachusetts and Rhode Island were filed maybe 60 days ago, and we are working with those departments"}, {"path": "tedlium_19570.wav", "duration": 8.88, "text": "Our Southeast business, which is the legacy TransMontaigne business on the Colonial implantation pipelines, was the driver behind this loss."}, {"path": "tedlium_19571.wav", "duration": 8.88, "text": "Our company had a very solid second quarter in our RV business and the industry growth prospects are equally good."}, {"path": "tedlium_19572.wav", "duration": 8.88, "text": "When our family first moved to Atlanta 4 years ago, it was Northwest that knocked on our door and provided excellent pest control and termite services."}, {"path": "tedlium_19573.wav", "duration": 8.88, "text": "With regard to the overall performance of the sales team, and obviously, we have multiple sales teams, different geographies, different industries"}, {"path": "tedlium_19574.wav", "duration": 8.88, "text": "as an instrument and personalization as a vehicle are our long-term strategies to drive more efficiency in marketing."}, {"path": "tedlium_19575.wav", "duration": 8.88, "text": "The CEVA annual stockholders meeting will be held next week, and we encourage all shareholders to participate through casting their proxy votes or attending the event."}, {"path": "tedlium_19576.wav", "duration": 8.88, "text": "So I mean, the way I would think about it, as we discussed before, when you look at this business and you go back the last couple of years and '18 is no different,"}, {"path": "tedlium_19577.wav", "duration": 8.88, "text": "I'm honored to have this opportunity to lead a firm with such a distinguished history of delivering innovative solutions and world-class client service."}, {"path": "tedlium_19578.wav", "duration": 8.88, "text": "up, my hope is that people will really focus in on what we've done to drive operating results and what we have the ability to do"}, {"path": "tedlium_19579.wav", "duration": 8.88, "text": "We also have begun CodeEvolver engineering efforts targeting additional enzymes that are needed for the molecular biology and diagnostics markets."}, {"path": "tedlium_19580.wav", "duration": 8.88, "text": "This will continue to be a majority of the specialty coffee occasions in China and our business for the years to come."}, {"path": "tedlium_19581.wav", "duration": 8.88, "text": "The impact of Frappuccino decline and the store closures to support the anti-bias training is estimated to be 3 points of comp in the quarter."}, {"path": "tedlium_19582.wav", "duration": 8.88, "text": "I am not -- personally, I don't think we are expecting a big effect of that on our core client base nor are we expecting -- because"}, {"path": "tedlium_19583.wav", "duration": 8.88, "text": "South Africa's biggest and most loved cereal brand continues to perform. Pricing and promotional activity has and continues to be carefully managed for profits"}, {"path": "tedlium_19584.wav", "duration": 8.88, "text": "We will remain disciplined with our capital deployment strategy. Now let's review our third quarter operating performance in more detail."}, {"path": "tedlium_19585.wav", "duration": 8.88, "text": "coupled with just the portfolio of the organization. As we've grown into some bigger markets, I think, you have more stability there compared to"}, {"path": "tedlium_19586.wav", "duration": 8.88, "text": "The main challenge for us is that we have a record backlog and we have to transform that into sales. And that means that we really have to ramp up the production in our facilities for the water business."}, {"path": "tedlium_19587.wav", "duration": 8.88, "text": "would we like it to be bigger and with customers that we love? Of course, but I think given kind of what we think in terms of return targets and"}, {"path": "tedlium_19588.wav", "duration": 8.88, "text": "groups that are coming to us for service and abandoning some of the larger national"}, {"path": "tedlium_19589.wav", "duration": 8.88, "text": "Allow me at this time to provide some comments and why we think our strategy is so timely and important."}, {"path": "tedlium_19590.wav", "duration": 8.88, "text": "As we continue to execute on our strategic plan, Enzo is able to provide what may be a lifeline to clinical labs."}, {"path": "tedlium_19591.wav", "duration": 8.88, "text": "the space in our leading position allows us to avoid a lot of these headwinds. Okay, last one for me."}, {"path": "tedlium_19592.wav", "duration": 8.88, "text": "longer to see the sales prices rolling over and then kind of forced to buy"}, {"path": "tedlium_19593.wav", "duration": 8.88, "text": "We encourage you to go to our website throughout the quarter for the most current information on the company, including information on the various financial conferences we will be attending."}, {"path": "tedlium_19594.wav", "duration": 8.88, "text": "have not seen any kind of dip whatsoever. In fact, we're continuing to see building strength as the year progresses."}, {"path": "tedlium_19595.wav", "duration": 8.88, "text": "We have constructed a very savvy distribution network and have already reached our full year commitment target only halfway through the year. David?"}, {"path": "tedlium_19596.wav", "duration": 8.88, "text": "such statements involve risks and uncertainties, and actual results may differ materially from those expressed or implied in such statements."}, {"path": "tedlium_19597.wav", "duration": 8.88, "text": "We will continue to invest prudently to ensure we deliver the solutions that our customers need and take advantage of the opportunity we see in the marketplace"}, {"path": "tedlium_19598.wav", "duration": 8.88, "text": "As these are forward-looking statements, I must caution you that our actual revenues and earnings could be negatively affected by numerous factors such as any further weakness in global economies,"}, {"path": "tedlium_19599.wav", "duration": 8.88, "text": "Our goal is to be well positioned to participate in this expanding opportunity, and we are pleased with the progress we have made to date."}, {"path": "tedlium_19600.wav", "duration": 8.88, "text": "We are now investing in digital solutions to rapidly grow the client base and improve client experience."}, {"path": "tedlium_19601.wav", "duration": 8.88, "text": "and not having complete visibility to allocations or demand for Switch for the entire year keep us at our initial guidance range."}, {"path": "tedlium_19602.wav", "duration": 8.88, "text": "It used to be they pay their cars pretty quickly because they were worried we might pick them up. Today, they know they have some lead time given the new regulations about how people collect."}, {"path": "tedlium_19603.wav", "duration": 8.88, "text": "This is my first question. My second question is, could you elaborate a little bit about some openings at the international side,"}, {"path": "tedlium_19604.wav", "duration": 8.88, "text": "harp too much on that. You guys made great progress in the first quarter, you talked about the ability to flex up the container order,"}, {"path": "tedlium_19605.wav", "duration": 8.88, "text": "creating a functionally aligned org structure and having our senior leadership team fully staffed began to show signs of progress in the fourth quarter with a number of accomplishments."}, {"path": "tedlium_19606.wav", "duration": 8.88, "text": "improving the technologies in relation to our productions. We continue to learn"}, {"path": "tedlium_19607.wav", "duration": 8.88, "text": "Second quarter activity at our construction materials business got off to a slower start due to weather impacts across many of the areas where we operate."}, {"path": "tedlium_19608.wav", "duration": 8.88, "text": "production companies find ways to reduce the cost of drilling wells and bringing new production"}, {"path": "tedlium_19609.wav", "duration": 8.88, "text": "we own a 45% stake and where we work closely with management to increase franchise value. LendSure is a maturing company with a broad geographic footprint"}, {"path": "tedlium_19610.wav", "duration": 8.88, "text": "that we will not be able to hand over on time, to have it as units recognized for profit."}, {"path": "tedlium_19611.wav", "duration": 8.88, "text": "reflecting growth across our key financial and operating metrics, continuing our favorable momentum from the first half of the year."}, {"path": "tedlium_19612.wav", "duration": 8.88, "text": "Participants on this call will make forward-looking statements. These statements are based on current expectations and are subject to certain uncertainties that could cause actual result to differ materially."}, {"path": "tedlium_19613.wav", "duration": 8.88, "text": "Consumers, especially millennials, want more control on their spending, but they also want the rewards of a credit card, and cash-back is by far the most requested reward program."}, {"path": "tedlium_19614.wav", "duration": 8.88, "text": "is getting stronger, and I would actually argue the strongest it has ever been. Our local teams are now empowered to deliver local innovations,"}, {"path": "tedlium_19615.wav", "duration": 8.88, "text": "is that the wealth creation that is happening in this country, and I've been alluding to that many times, is really only going to a very small part of the population."}, {"path": "tedlium_19616.wav", "duration": 8.88, "text": "With that, we would like to conclude the conference call today. Thank you very much again for your attendance."}, {"path": "tedlium_19617.wav", "duration": 8.88, "text": "So with that, I'll turn the call over to Jeff Taylor, Chief Financial Officer, to provide more detail around the numbers. Jeff?"}, {"path": "tedlium_19618.wav", "duration": 8.88, "text": "We are finishing up our spring redetermination, and we expect our borrowing base will be meaningfully higher so we expect that liquidity number to go up,"}, {"path": "tedlium_19619.wav", "duration": 8.88, "text": "And then you've got a big capital problem if you want to continue the flow of material. So it's a number of those instances,"}, {"path": "tedlium_19620.wav", "duration": 8.88, "text": "Much of our focus over the last 2 years has been on our domestic operations, which saw the brunt of the demand drop. But we feel that this activity has stabilized"}, {"path": "tedlium_19621.wav", "duration": 8.88, "text": "And we're hoping that later this year, there'll likely be another solicitation within which we can submit this project and we will have it ready for that."}, {"path": "tedlium_19622.wav", "duration": 8.88, "text": "I think one thing that's important we focused on this year is to make sure we have a good cash flow and a solid financial situation."}, {"path": "tedlium_19623.wav", "duration": 8.88, "text": "and knowing that you're making material of the highest quality. And you're seeing the results of that in our clinical data with an excellent safety profile and outstanding efficacy"}, {"path": "tedlium_19624.wav", "duration": 8.88, "text": "I think in terms of the investments from here, I think certainly, one of the things that we have been looking at very carefully is how we re"}, {"path": "tedlium_19625.wav", "duration": 8.88, "text": "We have seen that being in line with the expectations already throughout the year. And also, in the course of the Q4, we have not seen a major effect."}, {"path": "tedlium_19626.wav", "duration": 8.88, "text": "Roughly 60% of that cash is invested overseas and is generally not available for repatriation without tax consequences."}, {"path": "tedlium_19627.wav", "duration": 8.88, "text": "we're serving all of these markets. We see where demand is going. We see what the technology trends have been out there"}, {"path": "tedlium_19628.wav", "duration": 8.88, "text": "Good morning. My name is Emily, and I will be your conference operator today."}, {"path": "tedlium_19629.wav", "duration": 8.88, "text": "Examples include the reallocation of order entry and sales support roles in multiple markets to increase efficiency and productivity."}, {"path": "tedlium_19630.wav", "duration": 8.88, "text": "hugely cautious on the one hand and also rigorous when it comes to presenting projects that are"}, {"path": "tedlium_19631.wav", "duration": 8.88, "text": "As the distribution channel continues to mature, we anticipate product price volatility will be reduced and prices will improve."}, {"path": "tedlium_19632.wav", "duration": 8.88, "text": "Although it's still early to get too detailed about 2018 awards, let me highlight some of the more notable prospects where we are strongly positioned."}, {"path": "tedlium_19633.wav", "duration": 8.88, "text": "on SGI's long-term surplus notes in July and December of last year, which have not yet been fully accretive to par."}, {"path": "tedlium_19634.wav", "duration": 8.88, "text": "These numbers have been increasing every week. Some leading centers are already dosing more than 10 patients,"}, {"path": "tedlium_19635.wav", "duration": 8.88, "text": "We will not be satisfied until all of the patients and families that seek this treatment are able to receive therapy."}, {"path": "tedlium_19636.wav", "duration": 8.88, "text": "from us and we'll continue to say it because we believe it's going to continue to be accurate. Based on our locations"}, {"path": "tedlium_19637.wav", "duration": 8.88, "text": "We had a very successful exchange enrollment season. As a reminder, revenues are generally recognized as the health care plans become effective,"}, {"path": "tedlium_19638.wav", "duration": 8.88, "text": "from advertising and promotion spending I know you don't want to give us any type of numbers for when you start spending next year but should we be thinking that this is going to be"}, {"path": "tedlium_19639.wav", "duration": 8.88, "text": "the EBITDA what you would call -- you could say that the drag is what the savings is. So we're not going to get the drag"}, {"path": "tedlium_19640.wav", "duration": 8.88, "text": "We have a little bit of flexibility around it. But that's why we're out right now trying to run some of these RFPs because we want to get out in front of this. So we could"}, {"path": "tedlium_19641.wav", "duration": 8.88, "text": "This strong performance allows us to reinvest more aggressively in our operating and product development objectives as discussed earlier."}, {"path": "tedlium_19642.wav", "duration": 8.88, "text": "pricing in the industry and your product versus productivity and efficiency versus cost inflation from labor, et cetera?"}, {"path": "tedlium_19643.wav", "duration": 8.88, "text": "but it looked like only a pretty small number of your company operated stores were actually closed for either of the hurricane events."}, {"path": "tedlium_19644.wav", "duration": 8.8799375, "text": "This growth came despite very tough weather in the East, with the West showing very strong shipments as expected. It"}, {"path": "tedlium_19645.wav", "duration": 8.8799375, "text": "she is -- I'm expanding her role because I want to leverage her experience of commercializing design and driving"}, {"path": "tedlium_19646.wav", "duration": 8.8500625, "text": "The short answer is this has no impact on us. As part of the HBC's effort to highlight the value of its real estate,"}, {"path": "tedlium_19647.wav", "duration": 8.8500625, "text": "The investment in 2017 was exceptionally low because of the major deflation in soft commodities during that period as well as imports."}, {"path": "tedlium_19648.wav", "duration": 8.8500625, "text": "With our businesses across the rest of the country delivering very strong performance, we are well positioned to benefit as the recovery takes hold."}, {"path": "tedlium_19649.wav", "duration": 8.85, "text": "related to the sales reps you're bringing on, I guess those are to further grow the current products but are some of those for"}, {"path": "tedlium_19650.wav", "duration": 8.85, "text": "increased their dosing faster than the first trial, because that's part of the trial design. And it's possible, though they haven't announced it,"}, {"path": "tedlium_19651.wav", "duration": 8.85, "text": "growth and favorably impacted both acuity mix and revenue per case compared to the same period in the prior year."}, {"path": "tedlium_19652.wav", "duration": 8.85, "text": "Yes, they should continue to go down, same thing with our cost per case at the SMB line"}, {"path": "tedlium_19653.wav", "duration": 8.85, "text": "In addition to the quality and satisfaction initiatives, we expect to recognize operational efficiencies through new supply chain strategies."}, {"path": "tedlium_19654.wav", "duration": 8.85, "text": "These deals represent a good global cross section barely distributed across Europe, the Americas and Asia Pacific."}, {"path": "tedlium_19655.wav", "duration": 8.85, "text": "We have spent a significant amount of trade to generate fast trial and awareness on innovations."}, {"path": "tedlium_19656.wav", "duration": 8.85, "text": "We also like a skew of our innovations towards what we call the growth businesses,"}, {"path": "tedlium_19657.wav", "duration": 8.85, "text": "what you would describe the defensive part, as much is, in my opinion, the urgency to really generate and accelerate these white spots."}, {"path": "tedlium_19658.wav", "duration": 8.85, "text": "more pronounced this year, I focused on describing the platform and strategies we put in place to outperform in these demanding markets."}, {"path": "tedlium_19659.wav", "duration": 8.85, "text": "So if you were able to really identify the bottleneck and how you are going to"}, {"path": "tedlium_19660.wav", "duration": 8.85, "text": "rest of the financial year? Look, I think what we've taken account of is the current market conditions and roll those forward. That's why we haven't given"}, {"path": "tedlium_19661.wav", "duration": 8.85, "text": "rather than working against us as it did in Q4 since most of our customers were paying then in Canadian dollars will start to work for us."}, {"path": "tedlium_19662.wav", "duration": 8.85, "text": "during the second half was not considered in this SREP decision. So we could expect this to continue"}, {"path": "tedlium_19663.wav", "duration": 8.85, "text": "longer time to actually get the benefit of your cold chain supply and logistics network to actually"}, {"path": "tedlium_19664.wav", "duration": 8.85, "text": "Our Industrial business remains strong and continues to perform well. We further stabilized our results in our Business Products Group."}, {"path": "tedlium_19665.wav", "duration": 8.85, "text": "realizing the situation is fluid. We will manage costs responsibly and evaluate uses of our capital carefully."}, {"path": "tedlium_19666.wav", "duration": 8.85, "text": "that's not rooted in science, that's not been thoughtfully addressed on all issues. So that's the most important thing."}, {"path": "tedlium_19667.wav", "duration": 8.85, "text": "It will mean we give our members new ways to find meeting leaders and others like themselves by life stage, goal or location, for instance."}, {"path": "tedlium_19668.wav", "duration": 8.85, "text": "participate to the extent required to maybe wet our feet and then probably plunge headlong once we are very comfortable"}, {"path": "tedlium_19669.wav", "duration": 8.85, "text": "how do we try to leverage the various online platforms which are there and make the maybe get the maximum wallet share and make the customers much more sticky"}, {"path": "tedlium_19670.wav", "duration": 8.85, "text": "So that is why we now include it in order that all investors across any industry are able to understand"}, {"path": "tedlium_19671.wav", "duration": 8.85, "text": "This decree also defines how conflicts of interest must be addressed and communicated by the holding company of conglomerates to the ruling organs."}, {"path": "tedlium_19672.wav", "duration": 8.85, "text": "the Intreas team decided to buy additional protection during the year. You know that in the range 1 sector, you can buy during the year"}, {"path": "tedlium_19673.wav", "duration": 8.85, "text": "The first involves our new real-time radiography crawlers, which we will use to inspect wells that join sections of newly constructed pipeline."}, {"path": "tedlium_19674.wav", "duration": 8.85, "text": "specifically in Russia and certain Middle East countries, Sanofi will provide transition services to assist us in the regulatory process."}, {"path": "tedlium_19675.wav", "duration": 8.85, "text": "that you can maintain things like ESAs in. So the spirit of this in non-dialysis is to provide a first treatment option"}, {"path": "tedlium_19676.wav", "duration": 8.85, "text": "Overall, we believe the transaction meets our high bars and we look forward to adding the operation into our portfolio."}, {"path": "tedlium_19677.wav", "duration": 8.85, "text": "as we transition our supply chain business model to a lower-touch application sale via our portal strategy and as we expect to benefit"}, {"path": "tedlium_19678.wav", "duration": 8.85, "text": "stronger existing client base to growth due to the strengthening of the Brazilian economy and from our new usage-based pricing structure."}, {"path": "tedlium_19679.wav", "duration": 8.85, "text": "With already a great business, it's positioned to become more important in terms of scope and growth opportunities with the pending acquisition of the Dispensing Systems business."}, {"path": "tedlium_19680.wav", "duration": 8.85, "text": "And as more technology kind of gets baked into cars at the OEM level, it would seem to create an opportunity for aftermarket sales."}, {"path": "tedlium_19681.wav", "duration": 8.85, "text": "a short while ago. Something else to think about. Even with the adjustments in spend that our customers have made this year,"}, {"path": "tedlium_19682.wav", "duration": 8.85, "text": "Are they able to get back to you with considerations? To what extent are they looking at other bidders and trying to flex"}, {"path": "tedlium_19683.wav", "duration": 8.85, "text": "including approximately 80 basis points of a negative impact related to the adoption of a new revenue recognition standard,"}, {"path": "tedlium_19684.wav", "duration": 8.85, "text": "nor the legacy things. It's the combination of those combined with a great performing client-focused organization"}, {"path": "tedlium_19685.wav", "duration": 8.85, "text": "So is that driven by acquisitions? Or do you think that organic growth will improve from the 0.5% that you reported this quarter?"}, {"path": "tedlium_19686.wav", "duration": 8.85, "text": "a transformative process, which we are referring to as Marlin 2.0. Through this transformation process, we expect to drive sustainable growth"}, {"path": "tedlium_19687.wav", "duration": 8.85, "text": "This is a very important program for us, and we continue to receive praise on the performance of our displays during flight testing."}, {"path": "tedlium_19688.wav", "duration": 8.85, "text": "we believe that we will be able to continue to grow the mortgage business and regain past profitability levels that we had seen."}, {"path": "tedlium_19689.wav", "duration": 8.85, "text": "I mentioned during the last results call that we had expected to see seasonal softness in NOCITA sales, given our expectation at that time"}, {"path": "tedlium_19690.wav", "duration": 8.85, "text": "and the reorder rates and then the anecdotes of how the product is performing. So we do want people to think about that nuance because of the way"}, {"path": "tedlium_19691.wav", "duration": 8.85, "text": "and we don't see -- we can't categorize those. And additionally, there's a different effect that we have really no way of quantifying precisely"}, {"path": "tedlium_19692.wav", "duration": 8.85, "text": "when we talk about the increment -- the capital needed for the incremental spend, the way we're thinking about it now, this is it."}, {"path": "tedlium_19693.wav", "duration": 8.85, "text": "As a result, many young educators work second jobs or leave the profession in search of a higher-paying job to pay back their debt."}, {"path": "tedlium_19694.wav", "duration": 8.85, "text": "We continue to find opportunities to profitably grow auto. We are targeting specific geographies, customer segments and cross-sell initiatives"}, {"path": "tedlium_19695.wav", "duration": 8.85, "text": "We've routinely review all our projects and opportunities to ensure we are prioritizing those that have the greatest potential to enhance shareholder value."}, {"path": "tedlium_19696.wav", "duration": 8.85, "text": "digging that we did on this, it was kind of regional where there was some definite replacement that took place in a couple of regions. It appeared to be some storm damage-type thing,"}, {"path": "tedlium_19697.wav", "duration": 8.85, "text": "from the applications and take rate on the credit cards and from the warranties associated with the products that we sell there,"}, {"path": "tedlium_19698.wav", "duration": 8.85, "text": "are automatically switched in the free market and the tariff is in the hands of this company to decide. And as from there on,"}, {"path": "tedlium_19699.wav", "duration": 8.85, "text": "RIA because the regulatory environment gets tougher and that value that we provide from a risk management standpoint"}, {"path": "tedlium_19700.wav", "duration": 8.85, "text": "It is by focusing this way and having a broad portfolio that we are able to deliver consistent returns through these challenging markets."}, {"path": "tedlium_19701.wav", "duration": 8.85, "text": "Can I just ask if this is a bit of a surprise or something you might not have anticipated that"}, {"path": "tedlium_19702.wav", "duration": 8.85, "text": "The restricted cash balance, combined with the net value of expected future cash inflows related to our assumption of credit risk"}, {"path": "tedlium_19703.wav", "duration": 8.85, "text": "If you look at goodwill and other intangibles, there was a decrease in line with the impairments that we took as well as the impact of the stronger rand."}, {"path": "tedlium_19704.wav", "duration": 8.85, "text": "He will then provide an update on our markets and geographies and discuss our capital deployment. He'll then walk you through the operating performance within"}, {"path": "tedlium_19705.wav", "duration": 8.85, "text": "At the federal level, future needs include ICE demand of up to 3,000 beds pursuant to a request for information ICE just published last month,"}, {"path": "tedlium_19706.wav", "duration": 8.85, "text": "enables you to calculate our estimated effective income tax rate of 5% to 6% and provides you with our estimate of total depreciation and interest expense"}, {"path": "tedlium_19707.wav", "duration": 8.85, "text": "At present, we plan to begin this operation in fiscal 2020 and expect this to contribute to our group's growth strategy."}, {"path": "tedlium_19708.wav", "duration": 8.85, "text": "As a reminder, the reduction of the taxable equivalent gross up under the lower tax rate going forward will serve to reduce net interest margin."}, {"path": "tedlium_19709.wav", "duration": 8.85, "text": "Our Trentwood facility continues to increase efficiency and throughput from investments in the Phase 5 expansion and the new casting complex,"}, {"path": "tedlium_19710.wav", "duration": 8.85, "text": "and we're working hard to create places where people want to work. And we have a very stable"}, {"path": "tedlium_19711.wav", "duration": 8.85, "text": "and the respect of this industry. And I think it's improved dramatically, if you followed this industry 15 years ago and you look at it now."}, {"path": "tedlium_19712.wav", "duration": 8.85, "text": "For example, we'll be able to offer members customized products based on their travel preferences and timeshare ownership characteristics."}, {"path": "tedlium_19713.wav", "duration": 8.85, "text": "where it came from, if it was, I don't know, all US, or only Asia, if there was some sort of there. That was the first question and the second one"}, {"path": "tedlium_19714.wav", "duration": 8.85, "text": "Fortunately, our processes and systems are already set up this way, so this won't be a change to how we've always executed each marketing campaign."}, {"path": "tedlium_19715.wav", "duration": 8.85, "text": "Our Express solutions, as Ari mentioned, we had one that sort of popped up and we closed down within a quarter, and then that's really a delivery"}, {"path": "tedlium_19716.wav", "duration": 8.85, "text": "to, quite frankly, all our satellite customers with regard to the potential for much better quality wireless service. So all of that kind of plays together."}, {"path": "tedlium_19717.wav", "duration": 8.85, "text": "at 1 week of dosing and droxidopa has not been shown in clinical studies to produce durable response beyond 2 weeks."}, {"path": "tedlium_19718.wav", "duration": 8.85, "text": "as you look at the earlier time points, perhaps at 1 week and then as you also look at the data at 4 weeks, is it possible to give us some sort of a sense of"}, {"path": "tedlium_19719.wav", "duration": 8.85, "text": "Okay. So the current -- this level of interest expense is a good run rate to use going forward and figuring out your free cash?"}, {"path": "tedlium_19720.wav", "duration": 8.85, "text": "I think that the -- sort of that level of detail is really something that I don't really want to go into at this point."}, {"path": "tedlium_19721.wav", "duration": 8.85, "text": "So there's a payment and a milestone on a technical transfer. Upon a payment, technical activities are done."}, {"path": "tedlium_19722.wav", "duration": 8.85, "text": "So at that point, that's the end of my prepared remarks. And I'd like to turn it back to Gary. And if we have any questions, be happy to take"}, {"path": "tedlium_19723.wav", "duration": 8.85, "text": "what Dime's -- what the existing portfolio is. So what I tried to express was that we have runway without growing the balance sheet there."}, {"path": "tedlium_19724.wav", "duration": 8.85, "text": "to work with operators. And so if you can consider retail prepared foods an operator, our ability to help them take out labor"}, {"path": "tedlium_19725.wav", "duration": 8.85, "text": "And we are working with them in order to achieve that. So you start to see people thinking about how can I use a J code to improve patient care."}, {"path": "tedlium_19726.wav", "duration": 8.85, "text": "So I think on balance, we do see some pressure in Industrial and we have factored that into our thought process. But we don't see"}, {"path": "tedlium_19727.wav", "duration": 8.85, "text": "It is important to note that we were only beginning to apply some of the technology, internalization and other efficiencies to our business."}, {"path": "tedlium_19728.wav", "duration": 8.85, "text": "The new factory will provide us with the capability to produce more advanced paint products with even greater levels of quality and consistency."}, {"path": "tedlium_19729.wav", "duration": 8.85, "text": "Is that by having complete control of the system, the enclosure, the energy conversion, the controllers,"}, {"path": "tedlium_19730.wav", "duration": 8.85, "text": "But also looking at additional ways to serve both our corporate services clients, their stock plan participants and our retail brokerage base"}, {"path": "tedlium_19731.wav", "duration": 8.85, "text": "Yes. So for sure, the comment is more about the overall risk in the environment and not about our risks to"}, {"path": "tedlium_19732.wav", "duration": 8.85, "text": "I think you're right in that definitely, especially if you look at the trends over the last 5, 10 years, you can see the holiday pulling earlier and earlier"}, {"path": "tedlium_19733.wav", "duration": 8.85, "text": "material new product development initiatives and marketing to improve both the vitality and the strength of our product offering"}, {"path": "tedlium_19734.wav", "duration": 8.85, "text": "right now, we don't have the opinion that we'll have a lower level than last year. So we believe that that business is still growing."}, {"path": "tedlium_19735.wav", "duration": 8.85, "text": "The Knoxville team is also very talented, and we are very excited to welcome them into the Lazydays family in the very near future."}, {"path": "tedlium_19736.wav", "duration": 8.85, "text": "on migrations. It's always better to be on the newest platform, but frankly, the existing platform is satisfying a lot of needs for existing clients, and"}, {"path": "tedlium_19737.wav", "duration": 8.85, "text": "This more than offset declines in Senator, reflecting the recent period of political uncertainty surrounding the presidential election in Kenya."}, {"path": "tedlium_19738.wav", "duration": 8.85, "text": "We still have much to do throughout the balance of the year, but I'm pleased that we have built on the momentum from this past holiday season and continue to execute at a high level."}, {"path": "tedlium_19739.wav", "duration": 8.85, "text": "Comparison to the prior year is significantly distorted by the extra week in the fourth quarter last year and the associated shift in the calendar."}, {"path": "tedlium_19740.wav", "duration": 8.85, "text": "I also want to ask. On the labor front or any other -- is there anything on the horizon there that you're seeing in any of the"}, {"path": "tedlium_19741.wav", "duration": 8.85, "text": "and hence, make ourselves better connected to the end-users and the value they get from our products."}, {"path": "tedlium_19742.wav", "duration": 8.85, "text": "With regard to cash flow, we expect another good year, even with the anticipated level of capital expenditures and modest growth in working capital."}, {"path": "tedlium_19743.wav", "duration": 8.85, "text": "enable us to pursue significant opportunities to broaden our portfolio through corporate development activities with a continued focus on long-lived,"}, {"path": "tedlium_19744.wav", "duration": 8.85, "text": "We anticipate the initial rollout of these -- of the program to begin in the Pacific markets later this year and then globally over the next 2 years."}, {"path": "tedlium_19745.wav", "duration": 8.85, "text": "in those term sheets, you commit to all the major terms of the loan. You have to then pay for the loan, which I shouldn't underestimate the importance of and the kind of length of."}, {"path": "tedlium_19746.wav", "duration": 8.85, "text": "I would like to close by thanking all of our employees for their efforts and continued dedication as we move forward."}, {"path": "tedlium_19747.wav", "duration": 8.85, "text": "We continue to successfully integrate the recently acquired Mega Airless Company, and we're happy with the performance of the business."}, {"path": "tedlium_19748.wav", "duration": 8.85, "text": "a key supplier in Asia. We started to win some new accounts, new OSAT accounts that we had not been in"}, {"path": "tedlium_19749.wav", "duration": 8.85, "text": "What is somewhat less obvious, but equally as noteworthy, is the extreme level of flexibility required by the market from these units on those days."}, {"path": "tedlium_19750.wav", "duration": 8.85, "text": "Although the third quarter was impacted by regulatory effects, we continue to make good financial progress."}, {"path": "tedlium_19751.wav", "duration": 8.85, "text": "opportunities to add to the business, but we're not going to acquire for acquisition sake or diversify"}, {"path": "tedlium_19752.wav", "duration": 8.85, "text": "These statements should be viewed via the cautionary statements and risk factors set forth from time to time in the company's filings with the Securities and Exchange Commission."}, {"path": "tedlium_19753.wav", "duration": 8.85, "text": "We never could have built AGI without you. So I hope that you know that I know, and that I'm very appreciative."}, {"path": "tedlium_19754.wav", "duration": 8.85, "text": "We understand the current freight environment and potential weakness in pricing. However, does the earnings guidance suggest a decline in the operating margin as well?"}, {"path": "tedlium_19755.wav", "duration": 8.85, "text": "is designed to access those consumers, and those -- that consumption that we don't cover with our participation in the modern trade. So it's both"}, {"path": "tedlium_19756.wav", "duration": 8.85, "text": "you need a good foundation and I think we've done that in 2016 with the rate cases that we completed. So we're in good shape there. Number two,"}, {"path": "tedlium_19757.wav", "duration": 8.85, "text": "The first thing that we wanted to drive during the second half was generating more proximity with our customer to drive collaboration."}, {"path": "tedlium_19758.wav", "duration": 8.85, "text": "the year has started well, and we are delivering along expectations. And we are executing our CapEx plan and are on track."}, {"path": "tedlium_19759.wav", "duration": 8.85, "text": "It's an inflow in the first quarter last year. It didn't cost in income because we recorded it directly into provisions."}, {"path": "tedlium_19760.wav", "duration": 8.85, "text": "with some additional secondary endpoints. So the company has gone back to the data and has been performing the analysis that they requested"}, {"path": "tedlium_19761.wav", "duration": 8.85, "text": "Increased equipment activations in 2018 will require the industry to look outside the current labor pool,"}, {"path": "tedlium_19762.wav", "duration": 8.85, "text": "In the grinding market, we expanded our product portfolio to increase larger grinding media, which opens up more sales opportunities for us."}, {"path": "tedlium_19763.wav", "duration": 8.85, "text": "And then on average to compare to NYMEX, we would expect that rate to be at the high end or slightly above it, correct."}, {"path": "tedlium_19764.wav", "duration": 8.85, "text": "We have continued a rapid pace in advancing our lead Alzheimer's program, and we have set out a clear path forward for success."}, {"path": "tedlium_19765.wav", "duration": 8.85, "text": "And we include our variable annuity and are including our variable annuity providers in that and are getting a high level of interest in working toward a solution."}, {"path": "tedlium_19766.wav", "duration": 8.85, "text": "and how the city should be organized to really better integrate the social dimension, the economical dimension and the production dimension of it."}, {"path": "tedlium_19767.wav", "duration": 8.85, "text": "which are subject to risks and uncertainties. Actual results may differ materially, and the company cautions do not place undue reliance on these forward-looking statements."}, {"path": "tedlium_19768.wav", "duration": 8.85, "text": "In Q4, we made a lot of good progress with Snap Pixel. We focused on scaling its usage as well as building out its capabilities."}, {"path": "tedlium_19769.wav", "duration": 8.85, "text": "a much more aggressive price increase that will become effective May 1. Unlike some others in our space, we're"}, {"path": "tedlium_19770.wav", "duration": 8.85, "text": "Hopefully, these changes will lead to fewer, but more professional and permanent salespeople to add to our existing outstanding performers."}, {"path": "tedlium_19771.wav", "duration": 8.85, "text": "and on information currently available to the company. They involve risks, uncertainties and assumptions because they relate to future events"}, {"path": "tedlium_19772.wav", "duration": 8.85, "text": "On the MH side, we continue to believe there is significant potential for this market in the long term based on the current upward trend we are experiencing in shipment levels."}, {"path": "tedlium_19773.wav", "duration": 8.85, "text": "We expect ramp up of production from Kibali and improved production, in particular from the Australian and Brazilian operations."}, {"path": "tedlium_19774.wav", "duration": 8.85, "text": "well, if we look at that and we've done everything that we can and where there's an opportunity to move and get better terms on all those fronts, we do."}, {"path": "tedlium_19775.wav", "duration": 8.85, "text": "As such, we are continuing to work very hard to evolve our service offerings and capitalize on our growing go-to-market momentum."}, {"path": "tedlium_19776.wav", "duration": 8.85, "text": "Thanks, Jim. Good morning, everyone. The aerospace market continues to represent one of our strongest end markets from a demand perspective,"}, {"path": "tedlium_19777.wav", "duration": 8.85, "text": "we do have breakthrough therapy designation for this indication. We will be talking to the agency as we develop a bigger safety database,"}, {"path": "tedlium_19778.wav", "duration": 8.85, "text": "Our robust balance sheet continues to get stronger, and positions us well to take advantage of opportunities and challenges in the marketplace."}, {"path": "tedlium_19779.wav", "duration": 8.8499375, "text": "in the sense that these ships are much bigger, so maybe they will be harder to move around in the network, customers will have to accept"}, {"path": "tedlium_19780.wav", "duration": 8.8200625, "text": "in the percentage of personnel cost of total sales to make sure that this rate does not increase over the years."}, {"path": "tedlium_19781.wav", "duration": 8.8200625, "text": "During that time, we became more internally focused on integrating and executing on these transactions and watched the momentum on our sales growth."}, {"path": "tedlium_19782.wav", "duration": 8.82, "text": "have been our internal projects and initiatives where we see a high rate of return, and we have a history -- demonstrated history"}, {"path": "tedlium_19783.wav", "duration": 8.82, "text": "And as I mentioned, we and our partners are very much engaged in looking at where that potential mechanism of action makes the most sense,"}, {"path": "tedlium_19784.wav", "duration": 8.82, "text": "we always talk about TheStreet. We can now talk about constructive activism by talking about our participation in the Turtle Beach transaction."}, {"path": "tedlium_19785.wav", "duration": 8.82, "text": "don't really know exactly what's going on in Chicago. It's been a struggle for us throughout the market, so it's not just any particular part of the market."}, {"path": "tedlium_19786.wav", "duration": 8.82, "text": "better comparison that we should add to this in future presentations. Our volume will be closer to theirs. But you could see the public comps trade at"}, {"path": "tedlium_19787.wav", "duration": 8.82, "text": "and through our established relationships in Search, we're able to open the door and we have a very large Culture Shaping project that's been launched over there."}, {"path": "tedlium_19788.wav", "duration": 8.82, "text": "We have many enhancements to our loan experience and our road map over the next 12 months, which will continue to improve the convenience to our users and dramatically improve the efficiency of our platform."}, {"path": "tedlium_19789.wav", "duration": 8.82, "text": "We then leveraged our post partnership to promote and drive awareness of this, and the result was we increased our new member sign-up threefold over the previous quarter."}, {"path": "tedlium_19790.wav", "duration": 8.82, "text": "The primary drivers in the year-over-year increase in cash were borrowings under the line of credit and improved working capital velocity,"}, {"path": "tedlium_19791.wav", "duration": 8.82, "text": "predominantly behind the increased growth momentum of the businesses and slightly also increased by currencies."}, {"path": "tedlium_19792.wav", "duration": 8.82, "text": "get to these big numbers, trying to figure out what to put in the model. So how much of your business in fourth quarter at Knight was in the spot market?"}, {"path": "tedlium_19793.wav", "duration": 8.82, "text": "No more question. Thank you very much. We would like to close for the day. Once again, thank you very much for your participation."}, {"path": "tedlium_19794.wav", "duration": 8.82, "text": "So this year, the main effect was the movement that you have noticed in the value of new business and the value of in-force."}, {"path": "tedlium_19795.wav", "duration": 8.82, "text": "are there any concerns about the earning prospects? Or do you have any specific major strategic funding needs in mind?"}, {"path": "tedlium_19796.wav", "duration": 8.82, "text": "However, even when adjusting for that, manufacturing productivity would still have been weaker than our targets across many businesses."}, {"path": "tedlium_19797.wav", "duration": 8.82, "text": "for certain areas, which now it's not even possible to do because it requires you such a long time. So"}, {"path": "tedlium_19798.wav", "duration": 8.82, "text": "we made a conscious decision not to be a monoline lender but to change the direction and culture of this organization to become a commercial bank."}, {"path": "tedlium_19799.wav", "duration": 8.82, "text": "However, we also do expect that we will see further bouts of volatility in the intermediate term and consequently are mindful of liquidity considerations,"}, {"path": "tedlium_19800.wav", "duration": 8.82, "text": "And together with the online presence we have, it will create unique accessibility for our customers."}, {"path": "tedlium_19801.wav", "duration": 8.82, "text": "port issues, if you can just maybe kind of quantify that for us? And as we move to the fourth quarter, just help us understand"}, {"path": "tedlium_19802.wav", "duration": 8.82, "text": "profitability as well as revenue growth and will continue to do so. And you see that we're investing in marketing dollars, and we're investing"}, {"path": "tedlium_19803.wav", "duration": 8.82, "text": "Our mission is to go deeper than we do today and provide members with a deeply human and personal experience and one that truly meets them where they are."}, {"path": "tedlium_19804.wav", "duration": 8.82, "text": "We continue to target increasing marketing solutions and other services as a percent of total company revenue"}, {"path": "tedlium_19805.wav", "duration": 8.82, "text": "Our technologies and sales channels are stronger, our digital technology services offers more mature,"}, {"path": "tedlium_19806.wav", "duration": 8.82, "text": "Out of the acquisition of Holiday and its strong food program, would its own commissary change your perspective on prepared food"}, {"path": "tedlium_19807.wav", "duration": 8.82, "text": "mind boggling in terms of their volume. And our view is that if we can get our balance sheet properly positioned,"}, {"path": "tedlium_19808.wav", "duration": 8.82, "text": "But we believe it's important to start to get commercial feedback even in advance of the publication of results from our latest trial."}, {"path": "tedlium_19809.wav", "duration": 8.82, "text": "Finally, we wanted to provide you with ample notice that we are postponing our 2016 Fall Investor Day in September"}, {"path": "tedlium_19810.wav", "duration": 8.82, "text": "suffice it to say, we've got a lot more information in the second quarter that we didn't have in the first quarter. And the risk adjustment program for the Marketplace"}, {"path": "tedlium_19811.wav", "duration": 8.82, "text": "It seems that finally, a settlement is not as unlikely as it used to be in the past."}, {"path": "tedlium_19812.wav", "duration": 8.82, "text": "what opportunities are there inside the stores that you have that you want to continue to operate, that you can enhance profitability?"}, {"path": "tedlium_19813.wav", "duration": 8.82, "text": "associated with development and regulatory events and a minority is associated with sales"}, {"path": "tedlium_19814.wav", "duration": 8.82, "text": "We have been focused on reducing our second lien exposure at SUNS and cycling out of these investments at attractive prices"}, {"path": "tedlium_19815.wav", "duration": 8.82, "text": "managing our costs and capturing enhanced operating efficiencies resulting from our increasing size and scale."}, {"path": "tedlium_19816.wav", "duration": 8.82, "text": "extreme temperatures and ultra-high speeds require both exceptional engineering design and continuous operating performance capabilities."}, {"path": "tedlium_19817.wav", "duration": 8.82, "text": "This singular view will drive our thinking as we continue to develop products and services to support our gaming customers."}, {"path": "tedlium_19818.wav", "duration": 8.82, "text": "in the same level of the first quarter of 2015, which was slightly higher. But we see a positive trend now."}, {"path": "tedlium_19819.wav", "duration": 8.82, "text": "Before we move on to review -- our review of the end markets, I'd like to provide a brief update on our Stromag acquisition."}, {"path": "tedlium_19820.wav", "duration": 8.82, "text": "through both spend and mix optimization while maintaining our competitive investment levels across all relevant consumer touch points."}, {"path": "tedlium_19821.wav", "duration": 8.82, "text": "and pricing for that matter because, for a year, it shows up in that acquisition column. So I think it's important to note that"}, {"path": "tedlium_19822.wav", "duration": 8.82, "text": "Politicians and policymakers were already struggling to take action in the past, and now the importance for the Eurozone economy has only intensified."}, {"path": "tedlium_19823.wav", "duration": 8.82, "text": "The various factors for increases and decreases in income have been classified in accordance with the method that Honda considers reasonable."}, {"path": "tedlium_19824.wav", "duration": 8.82, "text": "For those of you who have not yet downloaded the material, please do so now, as we will start immediately following our forward-looking statement."}, {"path": "tedlium_19825.wav", "duration": 8.82, "text": "real estate brokerage and pension consulting businesses. However, this could not compensate for the decline from Swiss Life Select"}, {"path": "tedlium_19826.wav", "duration": 8.82, "text": "and puts us in a strong position to take advantage of the opportunities stemming from the economic recovery on the island."}, {"path": "tedlium_19827.wav", "duration": 8.82, "text": "and, kind of, gave that guidance of those metrics on the initial conversation and then just worked with that partner to back into those metrics."}, {"path": "tedlium_19828.wav", "duration": 8.82, "text": "The record high was fueled by performance at product line extensions introduced earlier in the year as well as expanded product access points."}, {"path": "tedlium_19829.wav", "duration": 8.82, "text": "And I just -- a point that Jason made that I'd like to just make sure everybody's thinking about is, as the logistics business becomes more and more"}, {"path": "tedlium_19830.wav", "duration": 8.82, "text": "as well as innovative solutions. As we accelerate innovation across the company, we're introducing machine learning into our product capabilities,"}, {"path": "tedlium_19831.wav", "duration": 8.82, "text": "Where would you say it is as far as its runway for growth and its contribution to longer-term guidance?"}, {"path": "tedlium_19832.wav", "duration": 8.82, "text": "The in brand lineup's in bar offerings also are enjoying steady sales in the wellness domain."}, {"path": "tedlium_19833.wav", "duration": 8.82, "text": "The increase was primarily due to impairment charges on goodwill and intangible assets as well as loan loss provisions recorded during the year."}, {"path": "tedlium_19834.wav", "duration": 8.82, "text": "the specific elements that are linked to the judgment. This is a dynamic situation."}, {"path": "tedlium_19835.wav", "duration": 8.82, "text": "terms that you are potentially going to get on your existing potential manufacturing partner not good enough? Just a few more details, if you could."}, {"path": "tedlium_19836.wav", "duration": 8.82, "text": "Following that, I'll detail some of our recent accomplishments as well as provide a business outlook for the balance of the year."}, {"path": "tedlium_19837.wav", "duration": 8.82, "text": "Specifically, a lot of the agents weren't in place at the start of the first quarter, and a very significant number of them were still onboarding into the first quarter."}, {"path": "tedlium_19838.wav", "duration": 8.82, "text": "Specifically, when a customer asks us to do a site survey, that survey usually follows with a proposal and we close a large number of these."}, {"path": "tedlium_19839.wav", "duration": 8.82, "text": "and that's really in those international markets where we've had the increase in sales. Domestic inventory levels have been brought down"}, {"path": "tedlium_19840.wav", "duration": 8.82, "text": "what we might expect to see from the industry results at the end of this week when the IRS reports it? And then, I have a follow-up, please."}, {"path": "tedlium_19841.wav", "duration": 8.82, "text": "Both stapling and energy instruments are important to surgeons, and we've been investing in broadening our product line and incorporating customer feedback in both areas."}, {"path": "tedlium_19842.wav", "duration": 8.82, "text": "While these items may recur in Q4 as well due to their nature, it is not possible to estimate their exact impacts."}, {"path": "tedlium_19843.wav", "duration": 8.82, "text": "We think the changes we have already made across our platforms will help advisers better support their clients and differentiate their businesses."}, {"path": "tedlium_19844.wav", "duration": 8.82, "text": "Second, we had a 7 percentage point benefit from our estimated state tax rates from prior years, which ended up being lower than what we had estimated."}, {"path": "tedlium_19845.wav", "duration": 8.82, "text": "that we again are delivering more innovation with truly differentiated product benefits and rolling them out faster to more markets."}, {"path": "tedlium_19846.wav", "duration": 8.82, "text": "In one case, we completed the implementation of a large supplier on an ERP that we had integrated to before in under 4 weeks."}, {"path": "tedlium_19847.wav", "duration": 8.82, "text": "speed to market on our sourcing and technology to enable better utilization of our inventory across the whole portfolio."}, {"path": "tedlium_19848.wav", "duration": 8.82, "text": "However, we are working very constructively with each and every one of those customers on a customer by customer almost engine-by-engine basis,"}, {"path": "tedlium_19849.wav", "duration": 8.82, "text": "We are encouraged to see initial significant positive signals on some of the measures of physicality, cognition and quality of life"}, {"path": "tedlium_19850.wav", "duration": 8.82, "text": "that kind of is the swing factor that helps next year? So in other words, let's say we just brought our numbers down or your guidance got brought down by a couple percent."}, {"path": "tedlium_19851.wav", "duration": 8.82, "text": "This will enable us to deliver offerings to our clients that are multidisciplinary and bring improved structure tools, points of view and quality assurance."}, {"path": "tedlium_19852.wav", "duration": 8.82, "text": "To follow up on Joe's comments, we had our industry have been compelled to come to grips with the reality of permanently low interest rates."}, {"path": "tedlium_19853.wav", "duration": 8.82, "text": "As of the end of the quarter, we had not repurchased any shares, but we are regularly monitoring the market opportunity with our board."}, {"path": "tedlium_19854.wav", "duration": 8.82, "text": "If we look at the results others have reported using rigorous immunological assays, we saw"}, {"path": "tedlium_19855.wav", "duration": 8.82, "text": "lower volumes due to the macroeconomic environment in Brazil and Southern Cone and higher costs for corn, energy and other inputs."}, {"path": "tedlium_19856.wav", "duration": 8.82, "text": "with our footprint as well as our expansion of our nonwovens business with the Gastonia investment. So it was really a logical next step for us"}, {"path": "tedlium_19857.wav", "duration": 8.82, "text": "We have a nice cost position because our costs are denominated in local currency. And as a result, we're able to service the local market. And if we have excess capacity, we are able to export."}, {"path": "tedlium_19858.wav", "duration": 8.82, "text": "is it more of a governor that you're putting on at this point and the demand is very strong? You're just making sure you're going through it very methodically? Or is it something that"}, {"path": "tedlium_19859.wav", "duration": 8.82, "text": "we could have offered to buy more shares and the balance that we came to 5 million shares was what Renova was willing to do at this point."}, {"path": "tedlium_19860.wav", "duration": 8.82, "text": "making their very existence more and more problematical. Let me further expand on that and a few other relevant points."}, {"path": "tedlium_19861.wav", "duration": 8.82, "text": "and in the process, created significant value for our shareholders. I'm proud to leave this company far stronger than the one I started with."}, {"path": "tedlium_19862.wav", "duration": 8.82, "text": "While the Q2 numbers were soft, we are seeing some green shoots, which give us confidence that we'll see improvement in the back half."}, {"path": "tedlium_19863.wav", "duration": 8.82, "text": "we would have expected to be at the high end of the committed range of 15% to 16% had we not deconsolidated Venezuela."}, {"path": "tedlium_19864.wav", "duration": 8.82, "text": "We continue to invest in global expansion. And as you would have heard in the highlights, we have seen very good growth"}, {"path": "tedlium_19865.wav", "duration": 8.82, "text": "owned the Cannon Park City Centre in a Queensland legal structure known as Community Title Scheme, which involves individually owned lots"}, {"path": "tedlium_19866.wav", "duration": 8.82, "text": "Our Win Flushing campaign is focused on further capitalizing on this market through market knowledge and understanding of customer needs."}, {"path": "tedlium_19867.wav", "duration": 8.82, "text": "helicopter operator. So when the large oil and gas companies and the majors come back into the state to spend money on that pipeline or other projects,"}, {"path": "tedlium_19868.wav", "duration": 8.82, "text": "a passenger is abused by another passenger? And are you seeing more instances of this kind of conduct on your flights right now?"}, {"path": "tedlium_19869.wav", "duration": 8.82, "text": "in terms of their commitment to aesthetics and I think that there are several other"}, {"path": "tedlium_19870.wav", "duration": 8.82, "text": "It's not a negative strategy but I think you get it, right? So that's -- a lot of it is giving these folks some time out there to"}, {"path": "tedlium_19871.wav", "duration": 8.82, "text": "The issue is related to the regulatory process than the ability of the folks who are making parenteral products to be able to make them"}, {"path": "tedlium_19872.wav", "duration": 8.82, "text": "Legacy KCG had at least 3 independent trading systems in addition to separate back office platforms that were largely disconnected."}, {"path": "tedlium_19873.wav", "duration": 8.82, "text": "We have provided some specific guidance about the transitional impact of the exit of Dulux paints from Mitre 10 in New Zealand, particularly in the first half."}, {"path": "tedlium_19874.wav", "duration": 8.82, "text": "is extremely well informed, right? They take data points from everywhere. They look at what we've done. They hold management accountable"}, {"path": "tedlium_19875.wav", "duration": 8.82, "text": "related to your comments earlier? And then the second question just has to do with the line extension behind HUMIRA. I believe you launched a"}, {"path": "tedlium_19876.wav", "duration": 8.82, "text": "Our second strategic initiative, strengthening our value proposition, requires integration and alignment across all operational areas."}, {"path": "tedlium_19877.wav", "duration": 8.82, "text": "In addition, we have evaluated compensation plans at the store level in an effort to provide a more balanced structure for our associates."}, {"path": "tedlium_19878.wav", "duration": 8.82, "text": "We have a strong offering with Unyson. But there may be other transportation management companies that possibly specialize in a"}, {"path": "tedlium_19879.wav", "duration": 8.82, "text": "continued to have parties that have been talking to us for quite a while. The number did not change when we"}, {"path": "tedlium_19880.wav", "duration": 8.82, "text": "in any forward-looking statement due to a variety of factors, which are discussed in detail in the company's most recent Form 10-K filed with the Securities and Exchange Commission."}, {"path": "tedlium_19881.wav", "duration": 8.82, "text": "let us remind you that it has its limitations. A portion of our capital will always be invested in assets that do not generate current net investment income."}, {"path": "tedlium_19882.wav", "duration": 8.82, "text": "I will talk through the components of the segment margin shortly. But let me point out here, the corporate expenses were unusually high when compared to the prior year."}, {"path": "tedlium_19883.wav", "duration": 8.82, "text": "And each of them has a full structure, and this full structure, we can get synergies out of it,"}, {"path": "tedlium_19884.wav", "duration": 8.82, "text": "but at the end, you can say what is new that is basically what we have to deal with and had to deal with the last 20 years."}, {"path": "tedlium_19885.wav", "duration": 8.82, "text": "and the administrative costs that have been applied towards dealing with those audits will really be substituted for any of the administration on the pre-claims review."}, {"path": "tedlium_19886.wav", "duration": 8.82, "text": "Company projections and forward-looking statements are based on factors that are subject to change and, therefore, these statements speak only as of the date they are given."}, {"path": "tedlium_19887.wav", "duration": 8.82, "text": "Our loss in the fourth quarter was primarily driven by negative market valuation adjustments in our investment portfolio, resulting from spread widening late in the year."}, {"path": "tedlium_19888.wav", "duration": 8.82, "text": "And I think we're on a path. I think we've given up everything so far from the side of what the refineries have gotten,"}, {"path": "tedlium_19889.wav", "duration": 8.82, "text": "Unlike our ag business, a majority of the cost in our performance businesses are matched to the sales from a currency perspective."}, {"path": "tedlium_19890.wav", "duration": 8.82, "text": "who's already established in that market. But that's what's caused us to keep investing. And I think"}, {"path": "tedlium_19891.wav", "duration": 8.82, "text": "Customers are investing to develop capabilities and build capacity necessary to address the demand."}, {"path": "tedlium_19892.wav", "duration": 8.82, "text": "and that's important. So I don't want in any way, shape or form suggest that that's not a first priority because it is. But we also want to make sure we just"}, {"path": "tedlium_19893.wav", "duration": 8.82, "text": "But offset operators are testing down-spacing with encouraging early results that could add approximately 80 locations."}, {"path": "tedlium_19894.wav", "duration": 8.82, "text": "Our ability to drive efficiencies is putting us on the path to a leaner, more agile organization that will be more responsive to all of our customers' needs."}, {"path": "tedlium_19895.wav", "duration": 8.82, "text": "We're really confident that our strategy to focus on customer choice and to reposition the portfolio sets us up for continued growth in future years."}, {"path": "tedlium_19896.wav", "duration": 8.82, "text": "We are seeing strong interest in our products across our service lines and continue to see opportunities to build deeper relationships"}, {"path": "tedlium_19897.wav", "duration": 8.82, "text": "the remaining 6 months. And we will talk to most of you at the Capital Markets Day. And those that cannot participate, we will hear at least or can hear us"}, {"path": "tedlium_19898.wav", "duration": 8.82, "text": "advantages, so to speak. But in the short term, if somebody wants to come in with a big billfold and buy their way into the system, they can certainly do it."}, {"path": "tedlium_19899.wav", "duration": 8.82, "text": "It is very likely that one or more decisions will be appealed, and it could take several months or longer for the appellate court to decide on any issues on appeal."}, {"path": "tedlium_19900.wav", "duration": 8.82, "text": "and the anniversary of the expiration of the service contract we previously discussed at the beginning of Q4 last year."}, {"path": "tedlium_19901.wav", "duration": 8.82, "text": "We have a technology platform tailored to small businesses with product developers, agents, claim processors and underwriters aligned with their needs."}, {"path": "tedlium_19902.wav", "duration": 8.82, "text": "we see significant potential for chocolate in a market where per capita consumption is quite low, even by emerging market standards."}, {"path": "tedlium_19903.wav", "duration": 8.82, "text": "an exciting company that we could use as a platform for the next 10 to 15 years of Axway. And it sets us"}, {"path": "tedlium_19904.wav", "duration": 8.82, "text": "for the extra effort and sense of urgency as we adjust to and take advantage of the significant changes in our industry."}, {"path": "tedlium_19905.wav", "duration": 8.82, "text": "Forecast cost for the full year are expected to be within guidance although given the change in the mining contractor currently underway,"}, {"path": "tedlium_19906.wav", "duration": 8.82, "text": "This study will evaluate a single weekly dose of hGH-CTP versus daily injections of currently marketed growth hormones."}, {"path": "tedlium_19907.wav", "duration": 8.82, "text": "a week doesn't usually matter since it all ends up in the same quarter. We think we get the business. It just shifts our promotional cadence a little bit, and you might get some"}, {"path": "tedlium_19908.wav", "duration": 8.82, "text": "We executed against our plan this past year, and as a result, we achieved a number of significant accomplishments."}, {"path": "tedlium_19909.wav", "duration": 8.82, "text": "we'd obviously start to look at things like the pattern of investment. I mean we -- that's the last thing we'll go after because we do believe that it's important."}, {"path": "tedlium_19910.wav", "duration": 8.82, "text": "we are bringing greater focus on the stores, which are already on the ground because we do see a lot more potential than"}, {"path": "tedlium_19911.wav", "duration": 8.82, "text": "portfolios going into next year and beyond? Is it a cost of equity that the REITs have to get a better advantage of and"}, {"path": "tedlium_19912.wav", "duration": 8.82, "text": "Another significant benefit to this arrangement is that it has enabled Rex Energy to reduce the outstanding letters of credit that support our marketing efforts."}, {"path": "tedlium_19913.wav", "duration": 8.82, "text": "This additional revenue was driven from a combination of new customers visiting our resorts, existing customers returning and adjusting the rate where demand is high."}, {"path": "tedlium_19914.wav", "duration": 8.82, "text": "We have a principle which is, we're not going to take too much leverage risk or liquidity risk just to pay"}, {"path": "tedlium_19915.wav", "duration": 8.82, "text": "So whether we believed in or not as we go through the repack in a number of stations, we will be getting new transmission equipment that will"}, {"path": "tedlium_19916.wav", "duration": 8.82, "text": "During our call today, we will reference certain non-GAAP financial measures, which we believe provide investors with additional information"}, {"path": "tedlium_19917.wav", "duration": 8.82, "text": "to now include a streamline approach of licensing our know-how and intellectual property as we build out our IP business development function."}, {"path": "tedlium_19918.wav", "duration": 8.82, "text": "The investments we've made in our operating platform over the last few years have transformed our customer offering and rewarded us with increased profitability."}, {"path": "tedlium_19919.wav", "duration": 8.82, "text": "Or is it just going to be nursing the basic business and maximizing same-store sales growth and profitability of those units?"}, {"path": "tedlium_19920.wav", "duration": 8.82, "text": "and all segments, delivering high levels of performance while making substantial investments in our future success."}, {"path": "tedlium_19921.wav", "duration": 8.82, "text": "as we progress through our migration from reactive to preventative to ultimately predictive maintenance programs."}, {"path": "tedlium_19922.wav", "duration": 8.82, "text": "As we've discussed with a number of you, we're intending to provide less information on orders going forward. The lumpy nature of our project businesses means that"}, {"path": "tedlium_19923.wav", "duration": 8.82, "text": "I am pleased with our results and achievement this quarter. Let me highlight what we think are the key takeaways for the quarter."}, {"path": "tedlium_19924.wav", "duration": 8.82, "text": "good momentum for a lot of products. So the overall forecast that we have for our Salesforce continues to be"}, {"path": "tedlium_19925.wav", "duration": 8.82, "text": "Finally, we had drifted into a centrally driven business structure, and our store managers had become too task oriented."}, {"path": "tedlium_19926.wav", "duration": 8.82, "text": "the market continuing to stay in a relatively healthy state, which we expected it is. And as we continue to build momentum on"}, {"path": "tedlium_19927.wav", "duration": 8.82, "text": "as you see the medical -- large medical claims normalizing, is that a good level to think of for the insurance cost going forward?"}, {"path": "tedlium_19928.wav", "duration": 8.82, "text": "This new structure largely replicates the structure that was put in place in Europe last year and is highly customer-focused."}, {"path": "tedlium_19929.wav", "duration": 8.82, "text": "of price increases and we work with our customers on what share of that we're willing to share with them. But we're on top of"}, {"path": "tedlium_19930.wav", "duration": 8.82, "text": "to optimize their performance. These new resources allow us to better target customers and get closer to their operations."}, {"path": "tedlium_19931.wav", "duration": 8.8199375, "text": "but we did our own, and that was an one of our concerns was that the same exam given in 4 pieces is more difficult to pass than a single exam"}, {"path": "tedlium_19932.wav", "duration": 8.7900625, "text": "but what was important for us is that the customer responded to our new assortment and to our marketing. So -- and"}, {"path": "tedlium_19933.wav", "duration": 8.79, "text": "our strategic focus, our ability to make acquisitions, our negotiations with certain customers and the financial impacts of contract amendments,"}, {"path": "tedlium_19934.wav", "duration": 8.79, "text": "are pretty well populated with equipment. The opportunity that we need to find is a new location to install additional equipment."}, {"path": "tedlium_19935.wav", "duration": 8.79, "text": "Any forward-looking statements made today do not guarantee future performance and undue reliance should not be placed on them. These statements are based on current management expectations"}, {"path": "tedlium_19936.wav", "duration": 8.79, "text": "and it's something that we've certainly started to look at. But job 1 is going to be the -- get the cost structure"}, {"path": "tedlium_19937.wav", "duration": 8.79, "text": "In the fourth quarter, the Dutch mobile market remained very competitive. We've seen temporary aggressive promotions by our competitors."}, {"path": "tedlium_19938.wav", "duration": 8.79, "text": "And we just saw that it would take a long time for the readout and then we believe we can get the proof-of-concept data we're seeking from the 3 other studies."}, {"path": "tedlium_19939.wav", "duration": 8.79, "text": "One year later, these responses in the majority of the subjects remain durable. And those where the responses have waned, we're able to boost them"}, {"path": "tedlium_19940.wav", "duration": 8.79, "text": "is we now start to see commodity costs continue to move up on a consecutive basis, higher rates of inflation. We're going to go back,"}, {"path": "tedlium_19941.wav", "duration": 8.79, "text": "As retailers increasingly compete based on value and competition in categories like trash bags and Cat Litter remains elevated,"}, {"path": "tedlium_19942.wav", "duration": 8.79, "text": "And I think I -- to shareholders, all I can say is be patient, wait for the results over the first and second quarter of this year."}, {"path": "tedlium_19943.wav", "duration": 8.79, "text": "We have recently been able to capture significantly higher percentages of that revenue, and we will continue with that model going forward."}, {"path": "tedlium_19944.wav", "duration": 8.79, "text": "within those loan pools to allow us to sell assets of any type within the loan pool. So even with"}, {"path": "tedlium_19945.wav", "duration": 8.79, "text": "Thanks, Tom. Let me conclude by saying once again, the opportunity in front of us is significant and we are determined to make the most of this opportunity."}, {"path": "tedlium_19946.wav", "duration": 8.79, "text": "is that valuation may deviate from net asset value temporarily but should revert back usually over the course of a business cycle."}, {"path": "tedlium_19947.wav", "duration": 8.79, "text": "Because of our unique positioning in liquidity, we were able to move quickly and decisively in our acquisition of Hatteras announced a few weeks ago."}, {"path": "tedlium_19948.wav", "duration": 8.79, "text": "We actually had a drag in the first half with some aging positions that we tidied up in the first half, which aren't recurring in the second half."}, {"path": "tedlium_19949.wav", "duration": 8.79, "text": "So with that, thank you for joining us this morning. And we appreciate all the interest and the questions and look forward to talking to you soon. Thank you."}, {"path": "tedlium_19950.wav", "duration": 8.79, "text": "In addition to our branding evolution, to achieve the impact we want to have in the world, our purpose must guide everything we do."}, {"path": "tedlium_19951.wav", "duration": 8.79, "text": "Every owner of commercial real estate understands that a significant component of their annual expenses include property taxes."}, {"path": "tedlium_19952.wav", "duration": 8.79, "text": "So you had mentioned that you had seen some worry. Is there some reason for this worry in terms of numbers as well?"}, {"path": "tedlium_19953.wav", "duration": 8.79, "text": "But we think these types of lift-outs are great investments for the company that will continue to accelerate our growth and pay good long-term dividend."}, {"path": "tedlium_19954.wav", "duration": 8.79, "text": "The products that we've set up with innovation technology in both business segments are perfectly aligned with what we see in future growth opportunities,"}, {"path": "tedlium_19955.wav", "duration": 8.79, "text": "We are sharing innovations, sharing consumer insights cross markets, cross business areas and business units."}, {"path": "tedlium_19956.wav", "duration": 8.79, "text": "We're excited about this acquisition because it will improve the way information can be shared on project, and that leads to greater productivity and predictability."}, {"path": "tedlium_19957.wav", "duration": 8.79, "text": "simple, but it's been very effective. And what we were able to do is determine"}, {"path": "tedlium_19958.wav", "duration": 8.79, "text": "During integration, the team also focuses on optimizing the operation, including applying our retail experience and buying power to improve profitability."}, {"path": "tedlium_19959.wav", "duration": 8.79, "text": "and elevating it to a more actionable place. So we see it as the natural continuation of the brand positioning."}, {"path": "tedlium_19960.wav", "duration": 8.79, "text": "That is a program where we are jointly developing with 2 other partners, replacement"}, {"path": "tedlium_19961.wav", "duration": 8.79, "text": "We were able to leverage our expertise in the data center industry, with this being our seventh investment in the sector."}, {"path": "tedlium_19962.wav", "duration": 8.79, "text": "And combining this with an aging population, rising income levels and better access to information should help fuel industry growth for years to come."}, {"path": "tedlium_19963.wav", "duration": 8.79, "text": "By doing that, we are better able to manage the flow of their processes over the weekdays."}, {"path": "tedlium_19964.wav", "duration": 8.79, "text": "In other ways, if they will come up with a decision this year, it's already part of the outlook, but we do not want to"}, {"path": "tedlium_19965.wav", "duration": 8.79, "text": "in the Mount Pleasant area. So there is a strong base of high tech"}, {"path": "tedlium_19966.wav", "duration": 8.79, "text": "the footprint optimization complete and insulating our customers from any of the activities that were going on, on our side of the fence. So we've now turned that"}, {"path": "tedlium_19967.wav", "duration": 8.79, "text": "to differ materially from our expectations. These risks and uncertainties are discussed in the company's materials filed with the Canadian regulators from time to time."}, {"path": "tedlium_19968.wav", "duration": 8.79, "text": "This is important because industry-leading shows enjoy a strong network effect that attracts the greatest number and the best quality of exhibitors and attendees in the marketplace."}, {"path": "tedlium_19969.wav", "duration": 8.79, "text": "to build the next great leading global biotechnology company in rare diseases. And again, this fits with the notion that we are building"}, {"path": "tedlium_19970.wav", "duration": 8.79, "text": "your view on how the payer is actually thinking about how they will be breaking out or not breaking out payments for digital visits"}, {"path": "tedlium_19971.wav", "duration": 8.79, "text": "Current drill pipe bookings are not yet sufficient to overcome the pace of declining stocks of inventories, but customers remain capital constrained and cautious."}, {"path": "tedlium_19972.wav", "duration": 8.79, "text": "with a significant increase in sales and a decrease in redemptions this quarter. I'd now like to turn it over to Ken to discuss operating results."}, {"path": "tedlium_19973.wav", "duration": 8.79, "text": "Before we end our call, I would like to again remind everyone to be on the lookout for the information on our Investor Day, and we hope to see you there."}, {"path": "tedlium_19974.wav", "duration": 8.79, "text": "All of this has been accomplished while maintaining our posture of extremely conservative reserving. As always,"}, {"path": "tedlium_19975.wav", "duration": 8.79, "text": "So I'm going to sit back and let these great people tell you what a great quarter we had, which I believe, prompts us for a better quarter to come."}, {"path": "tedlium_19976.wav", "duration": 8.79, "text": "when we're reaching to the last part of the projects when we have the biggest part of the CapEx. Currently, we have"}, {"path": "tedlium_19977.wav", "duration": 8.79, "text": "you called out some of the Chinese cloud demand. Can you just give us a little bit more color into the leasing and the pipeline and"}, {"path": "tedlium_19978.wav", "duration": 8.79, "text": "just to give you an example, one of our largest banking accounts who went through that shift a couple of years ago, the"}, {"path": "tedlium_19979.wav", "duration": 8.79, "text": "Contributions from higher-margin projects added to backlog over the past year are now beginning to have a positive impact on the specialty segment's operating results."}, {"path": "tedlium_19980.wav", "duration": 8.79, "text": "to which we subject our annual consolidated financial statements, and may vary materially from the audited consolidated financial information for the same period."}, {"path": "tedlium_19981.wav", "duration": 8.79, "text": "the recently opened Turkish restaurant in Walthamstow is a prime example of that in action, where the occupier was carefully selected against those factors."}, {"path": "tedlium_19982.wav", "duration": 8.79, "text": "trying to -- I don't know, again, why I'd never asked that question before, but I don't think you've ever referenced it. Just trying to get a sense of which quarter you might see positive growth"}, {"path": "tedlium_19983.wav", "duration": 8.79, "text": "The first is growth. It is critical that the company continue to accelerate growth to leverage its infrastructure across a larger portfolio."}, {"path": "tedlium_19984.wav", "duration": 8.79, "text": "is an effective approach to providing customers with the economic and performance benefits derived from a distributed energy resource"}, {"path": "tedlium_19985.wav", "duration": 8.79, "text": "resulting in core revenue growth of over 9% for the fourth quarter and full year."}, {"path": "tedlium_19986.wav", "duration": 8.79, "text": "that the size of that business and the overhead associated with it is significant enough to be a headwind where it would create a loss for us."}, {"path": "tedlium_19987.wav", "duration": 8.79, "text": "which may place the achievement of the milestone into 2019. We anticipate we will finance the company's needs as appropriate, with"}, {"path": "tedlium_19988.wav", "duration": 8.79, "text": "Additionally, we have not included in the chart a previously discussed opportunity for an investment in the natural gas reserves."}, {"path": "tedlium_19989.wav", "duration": 8.79, "text": "Yes. Listen, I have no way of knowing what peers will do and what they're currently doing other than what we all read about."}, {"path": "tedlium_19990.wav", "duration": 8.79, "text": "I just want to understand better, your change in tone here, is it more about the macro outlook? Or"}, {"path": "tedlium_19991.wav", "duration": 8.79, "text": "which normally translates into much higher winter prices because we won't have that stored gas to rely on this winter. And I think already, we're starting to see the effect"}, {"path": "tedlium_19992.wav", "duration": 8.79, "text": "And then also, if you'll be taking a look at all on the metals price assumptions that you used to calculate those reserves and resources? I'll"}, {"path": "tedlium_19993.wav", "duration": 8.79, "text": "we haven't seen a lot of the dialogue change. Now maybe some of that because the firms that have opted out of the protocol thus far,"}, {"path": "tedlium_19994.wav", "duration": 8.79, "text": "you gotta remember one of our key strategic initiatives is driving core growth and so that would be the place that we would tend to prioritize that,"}, {"path": "tedlium_19995.wav", "duration": 8.79, "text": "Finally, the plan is designed to be cost-neutral, with the total amount of compensation maintained at the current level."}, {"path": "tedlium_19996.wav", "duration": 8.79, "text": "The aerospace industry continues to be driven by the industry push for more fuel-efficient aircraft and the satellite industry."}, {"path": "tedlium_19997.wav", "duration": 8.79, "text": "and if we see interesting and attractive objects and investment opportunities, they will only be looked at"}, {"path": "tedlium_19998.wav", "duration": 8.79, "text": "is it something about the competitiveness of your bread, the pricing architecture? Why do you think that it hasn't gained the traction? Or at least"}, {"path": "tedlium_19999.wav", "duration": 8.79, "text": "number of theaters. And then as it does better, they book it on more theaters. So it's hard to gauge how many theaters they're going to release their movies on."}, {"path": "tedlium_20000.wav", "duration": 8.79, "text": "Do you think that, that's kind of a trend or something that's going to continue in the future and this won't drop off as quickly?"}, {"path": "tedlium_20001.wav", "duration": 8.79, "text": "to identify high-profile films with strong potential for release in China. We expect to make some announcements regarding that initiative soon."}, {"path": "tedlium_20002.wav", "duration": 8.79, "text": "If there is a finding anything other than absent, that goes to a review for the independent Pediatric Cardiology Advisory Board."}, {"path": "tedlium_20003.wav", "duration": 8.79, "text": "By focusing on a shopper-preferred assortment, store shelves will soon feature our most popular products and sizes based on consumer insight."}, {"path": "tedlium_20004.wav", "duration": 8.79, "text": "there -- if you have any possibility of the surplus going down before the integration because the"}, {"path": "tedlium_20005.wav", "duration": 8.79, "text": "making sure that we make investors aware of -- there are some things out there that everybody's speaking about that we can't predict what that does."}, {"path": "tedlium_20006.wav", "duration": 8.79, "text": "we are still optimistic about China. China market is big enough and the structure is complicated enough, so"}, {"path": "tedlium_20007.wav", "duration": 8.79, "text": "that Sulzer is probably the company you should least worry about in terms of further sanctions. Because once again, we have everything in place, we believe, to"}, {"path": "tedlium_20008.wav", "duration": 8.79, "text": "We think that, that will continue to be -- continue to show weakness going into '16. But I should point out, that is not a significant part of our commercial business."}, {"path": "tedlium_20009.wav", "duration": 8.79, "text": "And based upon our prior submissions and our prior inspections, they grant us approval on a conditional basis."}, {"path": "tedlium_20010.wav", "duration": 8.79, "text": "Rather, we deliver communication solutions that help businesses improve visual engagement with their customers"}, {"path": "tedlium_20011.wav", "duration": 8.79, "text": "As I announce my retirement today, let me emphasize that I've never been more confident in our plans and in our momentum"}, {"path": "tedlium_20012.wav", "duration": 8.79, "text": "on time and on budget. And I'd note in that regard that having capacity to the market and to liquid trading points, positions the producers"}, {"path": "tedlium_20013.wav", "duration": 8.79, "text": "That said, as I noted in my earlier remarks, we seem to be paying an opportunity cost that's attached to the time and attention required by these projects."}, {"path": "tedlium_20014.wav", "duration": 8.79, "text": "These 16 million locations and the more than 1 million route miles of fiber in our overall network"}, {"path": "tedlium_20015.wav", "duration": 8.79, "text": "digital insights and data insights, and help advertisers make sure their advertising is working effectively and efficiently,"}, {"path": "tedlium_20016.wav", "duration": 8.79, "text": "Construction on the Garden State project is now underway, and we started construction on the mainline facilities of the Atlantic Sunrise project."}, {"path": "tedlium_20017.wav", "duration": 8.79, "text": "The quality of talent we're bringing onboard is exceptional. We have a highly talented team in place to drive the company's growth going forward"}, {"path": "tedlium_20018.wav", "duration": 8.79, "text": "by the end of this year that details the initial safety and antitumor activity observed in the dose-escalation trial."}, {"path": "tedlium_20019.wav", "duration": 8.79, "text": "by the joint venture investments and acquisitions that we've been doing. So the vast majority of that has been funding things we've done, for instance, in Africa, in Brazil"}, {"path": "tedlium_20020.wav", "duration": 8.79, "text": "The Sientra is a proven brand much like my Los Angeles Lakers and we'll be back and we're just going to rebuild through this process and that we'll be back to our"}, {"path": "tedlium_20021.wav", "duration": 8.79, "text": "This weakness resulted in a lower performance in Q1 than we had expected and adversely impacted our RF product sales."}, {"path": "tedlium_20022.wav", "duration": 8.79, "text": "as we said, when that new mill capacity comes online and gets up and running full in that geography, that micro region, we are seeing some pricing tension. So"}, {"path": "tedlium_20023.wav", "duration": 8.79, "text": "really look at it. I would say that there really haven't been any surprises, but their trends are fairly consistent with ours. The opportunities that we think are there"}, {"path": "tedlium_20024.wav", "duration": 8.79, "text": "The group's disciplined hedging program provided significant protection from volatile fuel prices through the half."}, {"path": "tedlium_20025.wav", "duration": 8.79, "text": "So first off, we won that contract many months ago, right? My point was that they went live in this quarter. So we signed that deal many months ago."}, {"path": "tedlium_20026.wav", "duration": 8.79, "text": "Our submission will follow soon thereafter, enabling a commercial launch in 2018. In addition to TRINITY,"}, {"path": "tedlium_20027.wav", "duration": 8.79, "text": "Please, Jim, we are cautious about the future because we don't know what is going to happen in the future so we need to be cautious about that."}, {"path": "tedlium_20028.wav", "duration": 8.79, "text": "It sounds like it, Jeff. And I just wanted to follow up on your point about diverting vacuum gas all around the cat cracker straight into the marine fuel pool."}, {"path": "tedlium_20029.wav", "duration": 8.79, "text": "while managing challenging conditions in some of our markets. Let me share the highlights of our first half performance with you."}, {"path": "tedlium_20030.wav", "duration": 8.79, "text": "We have a sharp focus on efficiency, which is allowing us to reinvest in our brands and deliver margin expansion."}, {"path": "tedlium_20031.wav", "duration": 8.79, "text": "And we've delivered 4 consecutive years of strong free cash flow performance, which we've sustained in the first half."}, {"path": "tedlium_20032.wav", "duration": 8.79, "text": "Inventory turns have remained consistent in the first half of 2018, and we expect our inventory turns to show improvement throughout the remainder of the year."}, {"path": "tedlium_20033.wav", "duration": 8.79, "text": "You can track changes in portfolio size and composition on Slide 8. We continued to be less focused on the more commoditized credit sectors,"}, {"path": "tedlium_20034.wav", "duration": 8.79, "text": "but only to credit that were developed and then were originated and then became deteriorated."}, {"path": "tedlium_20035.wav", "duration": 8.79, "text": "As in previous quarters, the strength in our Payment Processing business helped offset the decrease in Digital Imaging revenue"}, {"path": "tedlium_20036.wav", "duration": 8.79, "text": "Cameron revenue in the area was flat with the third quarter as increased service system sales in India were offset by reduced activity in Saudi Arabia"}, {"path": "tedlium_20037.wav", "duration": 8.79, "text": "So I think the prepared comments suggest that once we get to the green numbers, we'll be fine. But the adjustments that we've made in our Coffee segment guidance reflect"}, {"path": "tedlium_20038.wav", "duration": 8.79, "text": "Let me first comment on the situation in Denmark. As I pointed out"}, {"path": "tedlium_20039.wav", "duration": 8.79, "text": "sales growth, had it not been for decreased custom tooling sales and the negative effects of passing through lower resin cost to our customers."}, {"path": "tedlium_20040.wav", "duration": 8.79, "text": "Due to our strong focus on value creation for customers, we decided not to enter a recent tender process for a group of municipalities,"}, {"path": "tedlium_20041.wav", "duration": 8.79, "text": "but we don't see the declines anymore and already stabilizing this and from there moving forward is for us very positive from where we came from."}, {"path": "tedlium_20042.wav", "duration": 8.79, "text": "It's also why Novadaq continues to invest in research and development because it allows us to maintain our leadership position."}, {"path": "tedlium_20043.wav", "duration": 8.79, "text": "An improved operating profitability in Financial Services was led by the cost synergies we delivered over the course of last 2 years"}, {"path": "tedlium_20044.wav", "duration": 8.79, "text": "Ladies and gentlemen, thank you for your participation in today's conference. This concludes the program. You may now disconnect. Everyone, have a great day."}, {"path": "tedlium_20045.wav", "duration": 8.79, "text": "have subsided somewhat, but certainly not as quickly as we expected. And this will put a little bit of pressure on us in the second half of the year as well."}, {"path": "tedlium_20046.wav", "duration": 8.79, "text": "We have a big footprint in New England, in the East Coast. We have a strong position in renewable energy, and we really see the offshore market as likely"}, {"path": "tedlium_20047.wav", "duration": 8.79, "text": "that drive this industry. And as we added Thermoplay and Priamus into the mix in the last few months,"}, {"path": "tedlium_20048.wav", "duration": 8.79, "text": "Illinois is a challenge. It's just going to be a challenge. The public side is tough. Believe it or not, we do see growth on res in Illinois and we'll see some"}, {"path": "tedlium_20049.wav", "duration": 8.79, "text": "The pricing climate continues to reflect this confidence in the sustained recovery and more tactically the healthy backlogs we and our customers see."}, {"path": "tedlium_20050.wav", "duration": 8.79, "text": "the diamond sales process. And our goal is to really match diamond demand on a stone by stone basis to supply"}, {"path": "tedlium_20051.wav", "duration": 8.79, "text": "We are the only large value investor in the space and the only major permanently capitalized company that retains a flexible and countercyclical approach to investing."}, {"path": "tedlium_20052.wav", "duration": 8.79, "text": "uncomfortable being in a country when you are a mobile operator and you have no path to having a strong"}, {"path": "tedlium_20053.wav", "duration": 8.79, "text": "Once again, the quality and diversity of our portfolio, as well as the dedication of our team, allowed us to deliver a strong operating result"}, {"path": "tedlium_20054.wav", "duration": 8.79, "text": "was going to be down double digits for the quarter and March is the first month for the quarter. So yes, Government took a step down from the Q2 levels."}, {"path": "tedlium_20055.wav", "duration": 8.79, "text": "I would assume that increases in revenue would increase our EBITDA margin. Cash flow should also continue to be"}, {"path": "tedlium_20056.wav", "duration": 8.79, "text": "It's been a very difficult work to combine our operations and our thinking in support of one company."}, {"path": "tedlium_20057.wav", "duration": 8.79, "text": "Additionally, we initiated a detailed product line review identifying a number of product lines to be withdrawn from production over the next 18 months."}, {"path": "tedlium_20058.wav", "duration": 8.79, "text": "We mentioned last year that we'd made a significant gain increasing our scrap utilization. We basically held that in the first quarter."}, {"path": "tedlium_20059.wav", "duration": 8.79, "text": "We caution that these forward-looking statements are not a guarantee of future events and that actual events may differ materially from those in these statements."}, {"path": "tedlium_20060.wav", "duration": 8.79, "text": "To do that, we have to offer the best product assortment presented in the best way possible in our stores and the best design and sales service in the industry."}, {"path": "tedlium_20061.wav", "duration": 8.79, "text": "Now I would like to introduce to you someone who, along with myself, Kirk and others in the company, is spearheading this effort."}, {"path": "tedlium_20062.wav", "duration": 8.79, "text": "input into our core income unless there was a significant shift in expectations towards the next few Fed meetings between now and then."}, {"path": "tedlium_20063.wav", "duration": 8.79, "text": "We also post an investor presentation each quarter containing supplemental information, though we will not make specific reference to it in our prepared remarks."}, {"path": "tedlium_20064.wav", "duration": 8.79, "text": "with strong operating margins and earnings per share on revenue that was down a bit compared to the same period last year."}, {"path": "tedlium_20065.wav", "duration": 8.79, "text": "And so far, things are going well in terms of renewals and retaining contracts and business and so on. So when you put it all together,"}, {"path": "tedlium_20066.wav", "duration": 8.79, "text": "You can see in the margin waterfall that the combined benefit of 130 basis points from cost synergy and productivity save"}, {"path": "tedlium_20067.wav", "duration": 8.79, "text": "We have a detailed publication and medical education plan mapped out for the next 18 months to support the global launch."}, {"path": "tedlium_20068.wav", "duration": 8.79, "text": "in RIIO-2. One of the aspects highlighted in the framework is the requirement of each company to develop customer engagement groups,"}, {"path": "tedlium_20069.wav", "duration": 8.7899375, "text": "where we can achieve market-leading efficiencies. We will consider opportunities that allow us to enter at an attractive price point with upside for growth."}, {"path": "tedlium_20070.wav", "duration": 8.7600625, "text": "in the last house, and we're moving a little faster here. So it doesn't bother me at all where our volume is. In fact, if our volume grows too much without"}, {"path": "tedlium_20071.wav", "duration": 8.76, "text": "Thanks, Lee. We are pleased with our organic performance to date, having achieved strong adjusted EBITDA results through the first half of the year."}, {"path": "tedlium_20072.wav", "duration": 8.76, "text": "Secondly, to grow the broking business, particularly motor, by launching a panel of external underwriters and extending our footprint."}, {"path": "tedlium_20073.wav", "duration": 8.76, "text": "Specifically, we talk a lot about the investment we are making in our technology platform and brand, but we've also built up a very strong team and capabilities"}, {"path": "tedlium_20074.wav", "duration": 8.76, "text": "the acceleration of origination can occur versus what would be some directly originated ones that take 3 to 4 months. So you could see"}, {"path": "tedlium_20075.wav", "duration": 8.76, "text": "would you actually say that at this stage, we really have enough data to say that -- i.e. to agree with the discussion or is the jury out?"}, {"path": "tedlium_20076.wav", "duration": 8.76, "text": "Here's my first question. With regards to the guidance , the range, where does that come from for ad"}, {"path": "tedlium_20077.wav", "duration": 8.76, "text": "securely, on any cloud, whether it is public or private, and help them foster cultures that are optimized for speed, efficiency and productivity."}, {"path": "tedlium_20078.wav", "duration": 8.76, "text": "and effectiveness of smart pricing to enable to really capture also the margin-enhancing areas."}, {"path": "tedlium_20079.wav", "duration": 8.76, "text": "in stark contrast to the situation at the time of our last conference call, the publicly traded capital markets have improved significantly over the last 2 months."}, {"path": "tedlium_20080.wav", "duration": 8.76, "text": "This concludes today's call. Thank you for your participation. You may now disconnect."}, {"path": "tedlium_20081.wav", "duration": 8.76, "text": "In addition, our Industrial business remains strong, and we made further progress in stabilizing the Business Products Group."}, {"path": "tedlium_20082.wav", "duration": 8.76, "text": "This business unit continues to operate very well, and with the backdrop of economic stability and sound aftermarket fundamentals,"}, {"path": "tedlium_20083.wav", "duration": 8.76, "text": "The challenge with cellular is -- and in fact, you can try this out, John, go down in the corner of your basement and see what kind of a signal you're getting on your cell phone."}, {"path": "tedlium_20084.wav", "duration": 8.76, "text": "Ladies and gentlemen, thank you for your participation in today's conference. This concludes the program, and you may now disconnect. Everyone, have a great day."}, {"path": "tedlium_20085.wav", "duration": 8.76, "text": "as well as we can and maybe a little less focused on adviser count as a result. Secondly, as we've said in the recent past"}, {"path": "tedlium_20086.wav", "duration": 8.76, "text": "We want to become their partner of choice. A partner to help them, inspire them and to be part of their journey to lead healthier lives."}, {"path": "tedlium_20087.wav", "duration": 8.76, "text": "Assuming no significant changes in market conditions, we believe that we can sustain a reported LIFO gross profit margin"}, {"path": "tedlium_20088.wav", "duration": 8.76, "text": "Of course, you could find our earnings release and reconciliations of all non-GAAP financial measures referred to in our remarks also on our website."}, {"path": "tedlium_20089.wav", "duration": 8.76, "text": "because we're at that point of the conversation, to Eric's point, that the decline in participation at the Major League Baseball level was a point"}, {"path": "tedlium_20090.wav", "duration": 8.76, "text": "So we view that as another positive thing, along with again the things I mentioned earlier about all the channel focus that we have."}, {"path": "tedlium_20091.wav", "duration": 8.76, "text": "that's true. Most of the changes that we've made to our quoto-share structures were done a couple of years ago. So"}, {"path": "tedlium_20092.wav", "duration": 8.76, "text": "Is it largely the effect of offsetting synergies? Or are you able to largely minimize the growth rate of your existing cost structure?"}, {"path": "tedlium_20093.wav", "duration": 8.76, "text": "for the marketplace. That will really determine the time line far more than our ability to take it on board, to incorporate it and to execute on it."}, {"path": "tedlium_20094.wav", "duration": 8.76, "text": "overall, if you look at the company, and I think if you ask our customers about it, they would say they're really well integrated at this point."}, {"path": "tedlium_20095.wav", "duration": 8.76, "text": "that the newly implemented tax reform rules and the recent rise in the interest rates have not had a significant impact on our business."}, {"path": "tedlium_20096.wav", "duration": 8.76, "text": "Designed product that resonates with buyers and stands out from the competition and promise an outstanding customer experience."}, {"path": "tedlium_20097.wav", "duration": 8.76, "text": "So how do you manage this change in product life cycle? Second question is about existing products."}, {"path": "tedlium_20098.wav", "duration": 8.76, "text": "the world and we'll continue to add as we go into new countries. And it's a huge huge advantage, and it does expand our addressable market. As you know,"}, {"path": "tedlium_20099.wav", "duration": 8.76, "text": "are, we getting to the point where Professional Services kind of growth will be more in line with revenue growth? Or is there still future scaling there?"}, {"path": "tedlium_20100.wav", "duration": 8.76, "text": "So I don't think we're compelled to react hastily to political or regulatory aspects that, quite frankly, are out of our control"}, {"path": "tedlium_20101.wav", "duration": 8.76, "text": "Our ability to consistently execute and meet this demand is translating into significantly improved returns."}, {"path": "tedlium_20102.wav", "duration": 8.76, "text": "We believe the continued strength in our operating performance, together with a favorable compliance in the overall capital markets,"}, {"path": "tedlium_20103.wav", "duration": 8.76, "text": "the rest of the market or our competitors, such that we see a potential long-term disadvantage, then we'll have to look really hard at accelerating it. But"}, {"path": "tedlium_20104.wav", "duration": 8.76, "text": "kind of the new company volume -- the returning company volume and the categories that we have in the show. We also anticipated that the recent"}, {"path": "tedlium_20105.wav", "duration": 8.76, "text": "Furthermore, we see lower litigation charges and compensation costs, which were partially offset by higher spend on technology and controls."}, {"path": "tedlium_20106.wav", "duration": 8.76, "text": "Risk management remains tight and vigilant as we demonstrated when markets tested us with the extraordinary volatility we saw following news of the Brexit vote."}, {"path": "tedlium_20107.wav", "duration": 8.76, "text": "allowing us to shift our resources away from service delivery, which has been the least profitable part of our global operations."}, {"path": "tedlium_20108.wav", "duration": 8.76, "text": "And also, it's important to say that the amortization of the value of business acquired"}, {"path": "tedlium_20109.wav", "duration": 8.76, "text": "We remain confident in our process and as the markets normalize, that our relative performance will revert to more acceptable levels."}, {"path": "tedlium_20110.wav", "duration": 8.76, "text": "have over a rig coming in on a low day rate spending 5 days to mobilize this equipment and then starting against the efficiencies that we used to have."}, {"path": "tedlium_20111.wav", "duration": 8.76, "text": "Our sensor business recorded a strong performance. A clear trend we see here is the adoption of our products"}, {"path": "tedlium_20112.wav", "duration": 8.76, "text": "maintaining positive fundamentals for multifamily properties, which will drive investment sales and financing activity for the foreseeable future."}, {"path": "tedlium_20113.wav", "duration": 8.76, "text": "for healthy ingredients and nutritional functions and be suitable for sale at a wide variety of sales points."}, {"path": "tedlium_20114.wav", "duration": 8.76, "text": "drive improvements. And then in GDPR, what is your current thinking in terms of timing of when that starts to drive additional purchases?"}, {"path": "tedlium_20115.wav", "duration": 8.76, "text": "and they do not result in any additional IDRs to the general partner. In summary, we are obviously not immune to market dynamics"}, {"path": "tedlium_20116.wav", "duration": 8.76, "text": "These results were delivered primarily through volume and continued gains in manufacturing productivity."}, {"path": "tedlium_20117.wav", "duration": 8.76, "text": "This was the result of a decrease in retail sales volume due to unfavorable weather and a decrease in weather-adjusted loads,"}, {"path": "tedlium_20118.wav", "duration": 8.76, "text": "But in reality, as you know, we're huge believers in the all-channel model and one of the reasons why is because the Internet is a fantastic tool"}, {"path": "tedlium_20119.wav", "duration": 8.76, "text": "We've been working on both of these initiatives long before the spin and are pleased to see them making progress consistent with our plans."}, {"path": "tedlium_20120.wav", "duration": 8.76, "text": "as we move towards the full year, the margins that you'll see in our business should return to roughly where they were at year end last year. And beyond that, we should certainly see margin scale benefits"}, {"path": "tedlium_20121.wav", "duration": 8.76, "text": "Great. So thank you very much. I hope what you've heard this morning is that we've made really good progress in integrating and reshaping our business."}, {"path": "tedlium_20122.wav", "duration": 8.76, "text": "fits our strategic model and profile for acquiring leading regional pest control companies that will strengthen our company."}, {"path": "tedlium_20123.wav", "duration": 8.76, "text": "This will continue in the first half of 2017. The savings from this restructuring investment will be progressively realized during this year."}, {"path": "tedlium_20124.wav", "duration": 8.76, "text": "Oil is up a lot from where it was in the first quarter of '16, and prices for most polymers have been moving up over the past year."}, {"path": "tedlium_20125.wav", "duration": 8.76, "text": "differently and think about multiples for the different businesses. And I guess, it gets a little bit confused when we have a facility that's"}, {"path": "tedlium_20126.wav", "duration": 8.76, "text": "with the salespeople, all of which will allow for better focus on recurring revenue. This also is supported by"}, {"path": "tedlium_20127.wav", "duration": 8.76, "text": "China's economy weakened in the last quarter due to tariff regulations, which especially affected the Chinese consumer production exports."}, {"path": "tedlium_20128.wav", "duration": 8.76, "text": "We've increased focus on multicultural consumers and Cannon Blast is bringing new consumers into the brand through the shot occasion."}, {"path": "tedlium_20129.wav", "duration": 8.76, "text": "We expect to announce several similar new distribution partnerships with other leading Chinese streaming and entertainment companies shortly."}, {"path": "tedlium_20130.wav", "duration": 8.76, "text": "We now know based on the extensive field experience we have that body cameras record far richer and far better information than the handwritten forms of yesterday."}, {"path": "tedlium_20131.wav", "duration": 8.76, "text": "with 2016 growth forecast in the high 1s to low 2s, with the heavy majority of this new supply coming from the largest vessel segments."}, {"path": "tedlium_20132.wav", "duration": 8.76, "text": "Today's discussion may include certain forward-looking statements. It should be understood that actual results could differ materially from those projected"}, {"path": "tedlium_20133.wav", "duration": 8.76, "text": "each of which are taxed or benefited at different statutory rates and the offset of the tax benefit of foreign losses in certain locations by valuation allowances."}, {"path": "tedlium_20134.wav", "duration": 8.76, "text": "We are pleased with the progress that we have demonstrated in the Composites business over the past 2 years, including improvements in operating margins and return on capital."}, {"path": "tedlium_20135.wav", "duration": 8.76, "text": "It thus provide us with the incomparable freedom to operate from a development viewpoint while also posing a barrier to entry for others."}, {"path": "tedlium_20136.wav", "duration": 8.76, "text": "Finally, we're keeping a watchful eye on our fixed as well as variable expenses to make sure we're operating with the most efficient cost structure possible."}, {"path": "tedlium_20137.wav", "duration": 8.76, "text": "when they get back in, when they go off for the whole month of August, and they finally get back in"}, {"path": "tedlium_20138.wav", "duration": 8.76, "text": "wondered you might be able to just give us a little more color, a little more detail, maybe some data points if possible on your aftermarket efforts. I"}, {"path": "tedlium_20139.wav", "duration": 8.76, "text": "But again, that recovery didn't happen quite as fast as we thought. So on all of those, I wouldn't say that they'll all come back exactly in the second quarter, but"}, {"path": "tedlium_20140.wav", "duration": 8.76, "text": "really excited about it. The compensation changes are intended to recognize and galvanize a really talented team that we have at First Merchants."}, {"path": "tedlium_20141.wav", "duration": 8.76, "text": "But, while we were conducting Part B, we acknowledged and recognized that there were several of these 27 patients requesting extension on their therapy."}, {"path": "tedlium_20142.wav", "duration": 8.76, "text": "And I mean, given currency depreciation has been a constant factor for the country, I mean, is there any"}, {"path": "tedlium_20143.wav", "duration": 8.76, "text": "It's due primarily to a fall of a particular contract with first delivery day shifting from the first half to the second half at the customer's request. So we can see all of that."}, {"path": "tedlium_20144.wav", "duration": 8.76, "text": "Let's turn to our leasing activities. 44 Union Square is in the Midtown South office leasing market."}, {"path": "tedlium_20145.wav", "duration": 8.76, "text": "pleasing to note that we're already delivering on our regulatory obligations, delivering the regulatory contract and outperforming. So I think it's fair to say not only the results are"}, {"path": "tedlium_20146.wav", "duration": 8.76, "text": "this 5-year cycle. And I've got to say that I'm really looking forward to bringing Bournemouth Water and South West Water together because we have a little bit of a mantra, it's my mantra to say,"}, {"path": "tedlium_20147.wav", "duration": 8.76, "text": "Customer success stories will likely drive this next wave of growth, and the introduction of T2Bacteria will be a major driver as well."}, {"path": "tedlium_20148.wav", "duration": 8.76, "text": "Please see our earnings release or our SEC filings for a list of words or expressions that identify such statements and the associated risk factors."}, {"path": "tedlium_20149.wav", "duration": 8.76, "text": "In the North, we anticipate second quarter fee harvest volumes will be significantly lower than the first quarter as we enter the spring breakup season."}, {"path": "tedlium_20150.wav", "duration": 8.76, "text": "I think the bigger opportunity over time, although it's not a big earnings impact now, is the opportunity to grow the Southern export business."}, {"path": "tedlium_20151.wav", "duration": 8.76, "text": "The impact to our business continues as commodity sales pricing and whole bird pricing is much lower than last year."}, {"path": "tedlium_20152.wav", "duration": 8.76, "text": "with growth above 10%. We were exceptionally pleased with this performance, which resulted primarily from improved client demand,"}, {"path": "tedlium_20153.wav", "duration": 8.76, "text": "a large part of which we now drive with rigor in the RBB transformation office, which we have established, and I'll talk to this later."}, {"path": "tedlium_20154.wav", "duration": 8.76, "text": "retrenching revenue declines that John mentioned in China a few minutes ago of double-digit declines, and that's been significant. We think that's more market related."}, {"path": "tedlium_20155.wav", "duration": 8.76, "text": "and we saw the opportunity for the shareholders to earn an additional dividend during the period. So the"}, {"path": "tedlium_20156.wav", "duration": 8.76, "text": "Obviously, being on the inside we can provide better guidance now that we have a more complete understanding of the business and execute on our plan."}, {"path": "tedlium_20157.wav", "duration": 8.76, "text": "but they hadn't done a lot of consolidation. So if you'll remember, in Toronto alone, they still had 3 different facilities"}, {"path": "tedlium_20158.wav", "duration": 8.76, "text": "We are confident that our strategy to grow Qantas Loyalty earnings keeps us on track to reach our 2022 EBIT target."}, {"path": "tedlium_20159.wav", "duration": 8.76, "text": "when you added these elements together would be a double digit percentage increase for our customers. We took a ship out"}, {"path": "tedlium_20160.wav", "duration": 8.76, "text": "While the government changes create a smaller market, the portfolio quality is likely to improve as the number of marginal borrowers are excluded from the mix."}, {"path": "tedlium_20161.wav", "duration": 8.76, "text": "the range of our services, but it's also very much also a function of how they're positioning their portfolios. Do they have a lot of"}, {"path": "tedlium_20162.wav", "duration": 8.76, "text": "We have actually now during April already repaid more than half of the 19 maturities, it was a bond that was maturing that we have repaid."}, {"path": "tedlium_20163.wav", "duration": 8.76, "text": "We do expect to realize dray cost savings by using the best carrier from a cost and service perspective and by improving loaded miles."}, {"path": "tedlium_20164.wav", "duration": 8.76, "text": "And we are also working on improving the commercial arrangements with customers relating to the recovery of freight and related overheads."}, {"path": "tedlium_20165.wav", "duration": 8.76, "text": "And that said, what kind of pressure are you getting from your customers to share more of the savings with them?"}, {"path": "tedlium_20166.wav", "duration": 8.76, "text": "making the investment in both our expanded sales force as well as our push to full globalization."}, {"path": "tedlium_20167.wav", "duration": 8.76, "text": "Certainly, there's a number of players out there competing for deals. We still feel like Monro represents a great opportunity for"}, {"path": "tedlium_20168.wav", "duration": 8.76, "text": "And we didn't achieve these volumes by sacrificing economics as the average double digits spreads we achieved on these spaces in the second half of the year attest."}, {"path": "tedlium_20169.wav", "duration": 8.76, "text": "which is the request for advance payment. And that's where we actually get paid about 60% from Medicare at the beginning of the episode,"}, {"path": "tedlium_20170.wav", "duration": 8.76, "text": "Right. I would agree. And so that sort of leads me into the sort of second part of this as part of"}, {"path": "tedlium_20171.wav", "duration": 8.76, "text": "and post-acute services in particular will continue to grow. And we also know somebody is going to have to service this demand."}, {"path": "tedlium_20172.wav", "duration": 8.76, "text": "We will post both an audio recording and a transcript of this call on our website. We also will post an updated investor deck at the website later today."}, {"path": "tedlium_20173.wav", "duration": 8.76, "text": "the message I want to leave you with is that there is enormous opportunity in the business across the whole company to keep growing and delivering good projects."}, {"path": "tedlium_20174.wav", "duration": 8.76, "text": "Three of the 5 parent wells in the unit are currently flowing without artificial lift, where they had been previously on rod pump or gas lift for several years."}, {"path": "tedlium_20175.wav", "duration": 8.76, "text": "global leaf supplier is in the best position in order to provide compliantly, to continue with sustainability programs"}, {"path": "tedlium_20176.wav", "duration": 8.76, "text": "maintenance this year will attenuate that a little bit but I do think we've taken a reasonably conservative view about what the production base will be. Obviously,"}, {"path": "tedlium_20177.wav", "duration": 8.76, "text": "that's driven by sort of distractions, right? Like is it a good chunk of what's happening and that's what gives you confidence that it can be reversed?"}, {"path": "tedlium_20178.wav", "duration": 8.76, "text": "should be reasonably similar, so I wouldn't have thought that you'd be wanting to look at it in -- too much different from that, to be fair."}, {"path": "tedlium_20179.wav", "duration": 8.76, "text": "These foreign exchange benefits were mostly reflected in our Q4 results, but they will have a positive impact on our first half comparisons."}, {"path": "tedlium_20180.wav", "duration": 8.76, "text": "We collect data in nearly a million customer sites around the world, and we want to make sure that we connect that data collection capability"}, {"path": "tedlium_20181.wav", "duration": 8.76, "text": "find some people, especially as they want to go into new geos and start practices because they're finding they have to have people close to where their customers are"}, {"path": "tedlium_20182.wav", "duration": 8.76, "text": "highlighted and celebrated our growth and achievements of our teams and paid tribute to the men and women on the shop floors."}, {"path": "tedlium_20183.wav", "duration": 8.76, "text": "We're excited to add up to this portfolio a technology that offers significant advances over the current treatment of complex"}, {"path": "tedlium_20184.wav", "duration": 8.76, "text": "as well as noticeable equipment repositioning costs as we shift more of our international capacity towards the Middle East and Russia."}, {"path": "tedlium_20185.wav", "duration": 8.76, "text": "I'm fairly convinced we've got a reasonably growing economy right now, with unemployment where it is and stock markets now rebounding up to their near highs again."}, {"path": "tedlium_20186.wav", "duration": 8.76, "text": "We have rapidly evolved and developed a portfolio on both the acquisition and divestiture sides of the ledger."}, {"path": "tedlium_20187.wav", "duration": 8.76, "text": "We will hold our current frac fleet in the Permian flat, as we expect pressure pumping market there to be very competitive for the near term."}, {"path": "tedlium_20188.wav", "duration": 8.76, "text": "Speaking of the longer term, I'd like to highlight a few recent initiatives that move us beyond hardware and into software and new services."}, {"path": "tedlium_20189.wav", "duration": 8.76, "text": "explanation of how we deal with these issues, and I think it will answer the question that you have in mind."}, {"path": "tedlium_20190.wav", "duration": 8.76, "text": "As we've all read, the current environment is strong. We have very solid business processes in place to balance"}, {"path": "tedlium_20191.wav", "duration": 8.76, "text": "and we're very much looking forward to a bright future ahead. I'll now turn things over to Rustom. Thank you, Erik. Good morning, everyone."}, {"path": "tedlium_20192.wav", "duration": 8.76, "text": "is there is a lag between what we're seeing on the ground in terms of progress on initiatives and how that progress is translating into numbers."}, {"path": "tedlium_20193.wav", "duration": 8.76, "text": "We saw lower returns in Rhode Island from increased operating costs principally due to storms and inflationary cost pressures."}, {"path": "tedlium_20194.wav", "duration": 8.76, "text": "And as we become more front-of-mind in our customers' time of need, we want to make sure that we are providing the best possible customer experience."}, {"path": "tedlium_20195.wav", "duration": 8.76, "text": "Thank you, and have a wonderful day ahead."}, {"path": "tedlium_20196.wav", "duration": 8.76, "text": "But for certain types of contract sales, the new standard requires us to recognize revenue over time as we incur manufacturing costs."}, {"path": "tedlium_20197.wav", "duration": 8.76, "text": "We expect improvement in both accounts starting in the fourth quarter as our teams work with these customers to better align our operations with changing volumes."}, {"path": "tedlium_20198.wav", "duration": 8.76, "text": "In fact, our research suggests that all of those assets are either in commercial operations already or they're in testing mode ready to be released,"}, {"path": "tedlium_20199.wav", "duration": 8.76, "text": "with their operating income coming up in the second half of the year. I think if you did a composite of all those things that you just mentioned,"}, {"path": "tedlium_20200.wav", "duration": 8.76, "text": "downward pressure on both pricing and activity levels due to low oil prices and the related reduction in drilling activities."}, {"path": "tedlium_20201.wav", "duration": 8.76, "text": "when the new pricing regime comes in. You all have also mentioned to us that you expect your pension to be fully funded"}, {"path": "tedlium_20202.wav", "duration": 8.76, "text": "Other income primarily reflects the sale of nonstrategic marketable securities partially offset by net currency losses."}, {"path": "tedlium_20203.wav", "duration": 8.73, "text": "So we think we absolutely will recover any cost that comes up to us."}, {"path": "tedlium_20204.wav", "duration": 8.73, "text": "The third trial I will touch on today is also for avacopan but this time to treat patients in a different disease area"}, {"path": "tedlium_20205.wav", "duration": 8.73, "text": "So we're exploring what those opportunities are and we believe that this will continue to be a significant growth opportunity"}, {"path": "tedlium_20206.wav", "duration": 8.73, "text": "we're falling back on a chipset business. It actually allows with our supply chain partners a better cost structure to our TOSA customers."}, {"path": "tedlium_20207.wav", "duration": 8.73, "text": "We have started the fabrication phase of this project and, along with our other projects, we will see cash inflows in the coming months."}, {"path": "tedlium_20208.wav", "duration": 8.73, "text": "and we will try to increase our sales at the same level of the consumption of"}, {"path": "tedlium_20209.wav", "duration": 8.73, "text": "So -- and then there was an increase of price. So we are working with the expectation of"}, {"path": "tedlium_20210.wav", "duration": 8.73, "text": "that will work its way through towards the second half of the year. So towards the back half of the year, there will be some acceleration coming in the revenue."}, {"path": "tedlium_20211.wav", "duration": 8.73, "text": "At the very moment, we are still within our guidance range. But if the dollar stays where it currently is until year-end,"}, {"path": "tedlium_20212.wav", "duration": 8.73, "text": "As the project is coming to a close, our focus has been to make necessary investments to hold the time line as best we could to meet our customers' commitments."}, {"path": "tedlium_20213.wav", "duration": 8.73, "text": "Since completing the Shelby project and then paying down the revolver is our top priority, therefore, we did not repurchase any stock in the fourth quarter."}, {"path": "tedlium_20214.wav", "duration": 8.73, "text": "have the greatest long-term potential in terms of the number or the volume of consumers that those partners might give iPass access to?"}, {"path": "tedlium_20215.wav", "duration": 8.73, "text": "Thank you. I'd like to welcome everyone on the call today. The news release announcing Capstone's 2018 third quarter financial results"}, {"path": "tedlium_20216.wav", "duration": 8.73, "text": "Our best-in-class software and services help organizations compete and grow by giving enterprises the technology they need to build and operate applications at scale,"}, {"path": "tedlium_20217.wav", "duration": 8.73, "text": "And since the oil prices are rising during that period of time and the fourth quarter, there is a lot of heating-related LPG demand."}, {"path": "tedlium_20218.wav", "duration": 8.73, "text": "We are seeing more marginal fold increases, but you do see those increases in those with a weaker immunity, which is"}, {"path": "tedlium_20219.wav", "duration": 8.73, "text": "Ladies and gentlemen, thank you for your participation in today's conference. This concludes the program. You may now disconnect. Everyone, have a great day."}, {"path": "tedlium_20220.wav", "duration": 8.73, "text": "In a market that is clearly in search for yield, I also wanted to address the relative valuations of the mortgage REIT sector."}, {"path": "tedlium_20221.wav", "duration": 8.73, "text": "And by doing so, we intend to improve the quality of our portfolio. But in addition to that, we're looking at whether we -- over time, want to sell off portions"}, {"path": "tedlium_20222.wav", "duration": 8.73, "text": "On the balance sheet, I can be relatively short. We have a sound balance sheet with relatively constant metrics"}, {"path": "tedlium_20223.wav", "duration": 8.73, "text": "We continue to experience very low levels of credit losses, thanks to economic strength across our footprint and our strong underwriting."}, {"path": "tedlium_20224.wav", "duration": 8.73, "text": "much better than anything that's available on the market today. We're averaging about 1 to 2 seconds on signal communication versus about 30 seconds"}, {"path": "tedlium_20225.wav", "duration": 8.73, "text": "as well as wins across a number of other key sectors. We expect our client retention rates to remain strong at the targeted mid-90s level"}, {"path": "tedlium_20226.wav", "duration": 8.73, "text": "across your segments, in your conversations with customers, is the expectation for demand to rebound after Chinese New Year?"}, {"path": "tedlium_20227.wav", "duration": 8.73, "text": "to us, the base management fee is an output, not an input. So we don't spend time focusing on kind of working towards a specific fee."}, {"path": "tedlium_20228.wav", "duration": 8.73, "text": "So we already are pretty active in ASCs for our sports medicine business and, we have other products that we sell into that channel. So it's a channel that we know."}, {"path": "tedlium_20229.wav", "duration": 8.73, "text": "which is good, so we're getting a much more balanced growth picture now than we had in the past. Of course, we like it to grow quicker, but I think the balance of the growth is very important."}, {"path": "tedlium_20230.wav", "duration": 8.73, "text": "As we look out, I think we've talked about some lower-cost generations coming in at the end of the calendar year"}, {"path": "tedlium_20231.wav", "duration": 8.73, "text": "I would not say too much, but still so much that we have to do additional testing, which needs a lot of additional shop floor space,"}, {"path": "tedlium_20232.wav", "duration": 8.73, "text": "perhaps you remember that we had a program last year to focus on stopping some of the activities"}, {"path": "tedlium_20233.wav", "duration": 8.73, "text": "which is one of the main reasons why we do think if you want to maintain that affordable and reliable network and create job"}, {"path": "tedlium_20234.wav", "duration": 8.73, "text": "we're terribly excited about it. As I say, it's taken some engineering work and some thought work in terms of how to break down very big"}, {"path": "tedlium_20235.wav", "duration": 8.73, "text": "For example, in the half, we saw savings from rent at the end of the lease and continued productivity gains in stores and distribution centers."}, {"path": "tedlium_20236.wav", "duration": 8.73, "text": "obviously, it will be a comprehensive discussion and the good news is we'll have our entire leadership team present to be able to really"}, {"path": "tedlium_20237.wav", "duration": 8.73, "text": "and the impact of pension accounting treatment, which more than offset the negative impact of foreign exchange fluctuations and other factors."}, {"path": "tedlium_20238.wav", "duration": 8.73, "text": "what -- understanding that investors probably don't maybe like it as much to spend more money on it, why not throw a little bit more gas on that fire and"}, {"path": "tedlium_20239.wav", "duration": 8.73, "text": "But given the comparison to the previous year, I believe, that it is still a rather satisfactory outcome of the segment."}, {"path": "tedlium_20240.wav", "duration": 8.73, "text": "And I think when you start looking at our -- when we start talking about our margins, and while we're pleased with what secures switches bring to us"}, {"path": "tedlium_20241.wav", "duration": 8.73, "text": "And I think, also, the experience -- I think people sometimes undersell the experience that we have in the technology side with the founders and others,"}, {"path": "tedlium_20242.wav", "duration": 8.73, "text": "Also, the presentation we make today contains pro forma or non-GAAP financial measures, which we believe are meaningful in evaluating the company's performance."}, {"path": "tedlium_20243.wav", "duration": 8.73, "text": "But in Q4, we still have the impact from the loss of the 1 client, but in Q4, we had the traffic last year."}, {"path": "tedlium_20244.wav", "duration": 8.73, "text": "does it make sense to maybe look even further strategically between the 2 businesses? I don't know maybe if you could just talk a little bit about"}, {"path": "tedlium_20245.wav", "duration": 8.73, "text": "partially offset by higher investments in support of our strategic priorities and the negative impact of the revenue recognition standard."}, {"path": "tedlium_20246.wav", "duration": 8.73, "text": "In another part of our engagement within their core operations, we'll be helping deliver a substantial boost in their productivity through automation,"}, {"path": "tedlium_20247.wav", "duration": 8.73, "text": "And we intend to do this in the future. That said, we intend to continue covering all our dividends with our generated free cash flow"}, {"path": "tedlium_20248.wav", "duration": 8.73, "text": "The increase in average selling price sequentially was primarily due to higher contracted sales prices due to increased in-basin sales in the quarter."}, {"path": "tedlium_20249.wav", "duration": 8.73, "text": "The financial results for Angel's were in line with our expectations, and we're happy with their performance and the integration process to date."}, {"path": "tedlium_20250.wav", "duration": 8.73, "text": "We also wanted to bring your attention that, as noted in the 10-Q we filed today, we have received a civil investigative demand letter from the Department of Justice."}, {"path": "tedlium_20251.wav", "duration": 8.73, "text": "How quickly you think you can capture share? And then just from the outside, what are the key dynamics to understand around the ramp up of business and your focus points going into January?"}, {"path": "tedlium_20252.wav", "duration": 8.73, "text": "affected. We have certain scenarios, and we're able to identify certain customer groups ourselves on our own."}, {"path": "tedlium_20253.wav", "duration": 8.73, "text": "I do not like to have an open checkbook policy on anything, but in this particular situation, it is an open checkbook. If resources are needed,"}, {"path": "tedlium_20254.wav", "duration": 8.73, "text": "Bill will then discuss the financial results for the first quarter of fiscal 2017 and subsequently open the call to questions from the audience."}, {"path": "tedlium_20255.wav", "duration": 8.73, "text": "And net-net, when you weigh all the positives against the one challenge, I continue to feel very, very good about our ability to drive"}, {"path": "tedlium_20256.wav", "duration": 8.73, "text": "largely reflecting leveling system utilization and moderating growth in China as we anticipate future system sales quota."}, {"path": "tedlium_20257.wav", "duration": 8.73, "text": "Well, we have had some additional expenses that have been associated with Brazil and"}, {"path": "tedlium_20258.wav", "duration": 8.73, "text": "and our infrastructure have positioned us to double the number of RV dealership locations over the next 5 years."}, {"path": "tedlium_20259.wav", "duration": 8.73, "text": "It's difficult to do that with one brand like Camping World. But when you show up with 5 or 6 brands with a different presentation and a different marketing,"}, {"path": "tedlium_20260.wav", "duration": 8.73, "text": "are you saying that there's not going to be a decline in February and March? And if there were, would that lead you to the low end of your guidance? Or"}, {"path": "tedlium_20261.wav", "duration": 8.73, "text": "we don't think that the performance that we're showing there is that bad relative to what others are doing"}, {"path": "tedlium_20262.wav", "duration": 8.73, "text": "once we execute the share repurchase, if we do, then we would go back to our board if we thought that was a wise thing to do to get further authorization."}, {"path": "tedlium_20263.wav", "duration": 8.73, "text": "the strategic plan calls for a continuation and expansion of the margin improvement program we began last year."}, {"path": "tedlium_20264.wav", "duration": 8.73, "text": "So we recorded an increase in revenues and profit both in Telecommunications as well as Smart Life business. And as we mentioned, at the end of the first quarter, that"}, {"path": "tedlium_20265.wav", "duration": 8.73, "text": "In addition to strong business performance, our efforts with HPE Next continue to pay off as we build on the progress we made in the first half of the year."}, {"path": "tedlium_20266.wav", "duration": 8.73, "text": "on the wholesale side in Germany. We do expect Marvel is a great opportunity to open a couple of more doors which were closed. But there is no"}, {"path": "tedlium_20267.wav", "duration": 8.73, "text": "on the second quarter of 2017. Before we begin, allow me to introduce the speakers today."}, {"path": "tedlium_20268.wav", "duration": 8.73, "text": "but more importantly, ICE will likely also need Congress to increase their annual appropriations for detention and removal operations."}, {"path": "tedlium_20269.wav", "duration": 8.73, "text": "Some reductions are very creative. For example, our legal team in South Africa now have a preferred supplier list of upcoming lawyers"}, {"path": "tedlium_20270.wav", "duration": 8.73, "text": "we experienced about 3 basis points of margin headwind during the past year due to a 2 percentage point lower concentration of loans relative to earning assets."}, {"path": "tedlium_20271.wav", "duration": 8.73, "text": "partly attributable to field usage increasing because you simply have more officers carrying the product?"}, {"path": "tedlium_20272.wav", "duration": 8.73, "text": "resulting in under absorption of our manufacturing facility cost, and the continued effect of competitive price pressures."}, {"path": "tedlium_20273.wav", "duration": 8.73, "text": "The most significant bright spot for DiamondRock in the quarter was the ability of our asset management team to drive positive profit margin"}, {"path": "tedlium_20274.wav", "duration": 8.73, "text": "Most impressive was the success of our asset managers working with our operators to reduce quarterly operating costs"}, {"path": "tedlium_20275.wav", "duration": 8.73, "text": "We also raised pricing on all lender-paid singles to address the additional PMIERs capital charges for singles."}, {"path": "tedlium_20276.wav", "duration": 8.73, "text": "if there's any optionality around the term loan, potentially upsizing or refining, kind of how should we be thinking about that at this point?"}, {"path": "tedlium_20277.wav", "duration": 8.73, "text": "we would get a commitment to complete, and in other cases, it would go out for bids. So... Yes."}, {"path": "tedlium_20278.wav", "duration": 8.73, "text": "We expect its ease of use and affordability to expand the market for our products to customers who are more price-sensitive."}, {"path": "tedlium_20279.wav", "duration": 8.73, "text": "plus growth of new materials required for advanced nodes at 10 and 7 nanometers. Transition to the next"}, {"path": "tedlium_20280.wav", "duration": 8.73, "text": "We continue to provide a separate set of floated results in order to allow an easier transition towards new numbers."}, {"path": "tedlium_20281.wav", "duration": 8.73, "text": "which is also compelling. So we'll need to say but as of now these are completely 2 different paths and each has its own"}, {"path": "tedlium_20282.wav", "duration": 8.73, "text": "The Italian position, I want to remind to all of you, is that it is coming from the past and we found it inside the"}, {"path": "tedlium_20283.wav", "duration": 8.73, "text": "That's offset some of the medical and the interface -- other interface technologies. Again, another year in a row, I think our Gamesman business last year"}, {"path": "tedlium_20284.wav", "duration": 8.73, "text": "Granted, these are early results, in trial conditions, but we are excited about what we have seen so far."}, {"path": "tedlium_20285.wav", "duration": 8.73, "text": "But no, so there will be more, more to come. And then we'll also see a similar development in the Malvern PANalytical business."}, {"path": "tedlium_20286.wav", "duration": 8.73, "text": "I. And so those additional costs will now come in as we've taken that decision to move into the feasibility and planning stage."}, {"path": "tedlium_20287.wav", "duration": 8.73, "text": "to assess their impact on the market and to determine whether Reading should in fact adopt some variation of this model into the future."}, {"path": "tedlium_20288.wav", "duration": 8.73, "text": "which allows me to comfortably say that we are a leader in the renewable energy, recycling and resource management space there and pretty much recognized as such."}, {"path": "tedlium_20289.wav", "duration": 8.73, "text": "The savings allow us to focus on improving our capital structure, increasing our liquidity and improving our leverage."}, {"path": "tedlium_20290.wav", "duration": 8.73, "text": "And it's possible that we would continue development there, but I personally won't speak to the timing of that. But we have 1 successful"}, {"path": "tedlium_20291.wav", "duration": 8.73, "text": "In addition, we are working today on several exciting projects that will drive very high volume in the augmented reality and virtual reality markets"}, {"path": "tedlium_20292.wav", "duration": 8.73, "text": "So just for everyone on the call or maybe not on the call, we're having some issues that looks like it system wide with other folks as well."}, {"path": "tedlium_20293.wav", "duration": 8.73, "text": "So they're always evolving. We have several conversations going on right now with large clients,"}, {"path": "tedlium_20294.wav", "duration": 8.73, "text": "we are continuing to make disciplined investments in our people, processes and systems in order to position Charles River to support future growth."}, {"path": "tedlium_20295.wav", "duration": 8.73, "text": "Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program, and you may all disconnect. Everyone, have a great afternoon."}, {"path": "tedlium_20296.wav", "duration": 8.73, "text": "able to be opened digitally. So increasingly, digital will be a driver but we will get back to you with the mixes."}, {"path": "tedlium_20297.wav", "duration": 8.73, "text": "We've isolated the impact of this credit throughout the presentation for easier comparability, and I'll refer to the figures, excluding this impact as an extraordinary."}, {"path": "tedlium_20298.wav", "duration": 8.73, "text": "as Francois mentioned, we are expecting these rules to be published in the next few days. If it does happen, obviously,"}, {"path": "tedlium_20299.wav", "duration": 8.73, "text": "is Herbalife's promotion of participation in a multilevel marketing program with a compensation structure that's likely to harm its participants."}, {"path": "tedlium_20300.wav", "duration": 8.73, "text": "As we did mention -- as Joe mentioned in our prepared remarks, we did leverage our balance sheet and increased inventory to try and"}, {"path": "tedlium_20301.wav", "duration": 8.73, "text": "primarily due to the anticipated impact of the nondeductible expenses for stock-based compensation on our effective tax rate for the year."}, {"path": "tedlium_20302.wav", "duration": 8.73, "text": "providing new movie releases and games to millions of consumers. We continue to believe that this will be the case for many years to come."}, {"path": "tedlium_20303.wav", "duration": 8.73, "text": "In the cases where someone is very straightforward from a insurance coverage perspective, like an Aetna,"}, {"path": "tedlium_20304.wav", "duration": 8.73, "text": "but with existing rather than new production assets. And the third area of opportunity for us to invest"}, {"path": "tedlium_20305.wav", "duration": 8.73, "text": "But based on what the utilities are telling us, and based on what we're seeing in the development of our fuel, we're expecting to bring"}, {"path": "tedlium_20306.wav", "duration": 8.73, "text": "the right one. But we have already -- without communicating a lot on it, but we have already downsized some of the sites"}, {"path": "tedlium_20307.wav", "duration": 8.73, "text": "but we're still -- we're talking a few hundred bps here and there. So it hasn't been a material shift at this point, and if anything, our cohorts are really consistent in their mix over time."}, {"path": "tedlium_20308.wav", "duration": 8.73, "text": "when store traffic was impacted by specific unfavorable factors during the year, including the yellow vests movement in the fourth quarter."}, {"path": "tedlium_20309.wav", "duration": 8.73, "text": "Because of the increase of profit level for U.S. business, the operating profit contribution is already more than half,"}, {"path": "tedlium_20310.wav", "duration": 8.73, "text": "you know, I think we've got a lot of flexibility on timing in what we do here. So we really just wanted to kind of lay out the facts that we have."}, {"path": "tedlium_20311.wav", "duration": 8.73, "text": "I think we were able to drive -- I think with our season pass sales being so strong when we acquired the resort, I think we were able to drive, obviously, a big"}, {"path": "tedlium_20312.wav", "duration": 8.73, "text": "way ahead of the game versus where we were last year in terms of having a great"}, {"path": "tedlium_20313.wav", "duration": 8.73, "text": "all the reason that we have a declining market. Now how we are reacting? We are reacting with very strong point of sales."}, {"path": "tedlium_20314.wav", "duration": 8.73, "text": "industry volumes have remained under pressure as the overall pace of home buying slows and most existing borrowers still have rates below those available today."}, {"path": "tedlium_20315.wav", "duration": 8.73, "text": "going forward than we ever had and more that we are able to act on, so we have plenty to do going forward."}, {"path": "tedlium_20316.wav", "duration": 8.73, "text": "And I can tell you, Chip, one of the things that we've been looking at is the need to potentially expand in Asia. Today, we are in one"}, {"path": "tedlium_20317.wav", "duration": 8.73, "text": "changes in the fair value of contingent consideration as well as amortization of identified acquisition intangibles."}, {"path": "tedlium_20318.wav", "duration": 8.73, "text": "I think we felt pretty comfortable making that comment to you. I want to avoid giving you specific numbers on how that would all play out."}, {"path": "tedlium_20319.wav", "duration": 8.73, "text": "Wrapping up with the East, energy markets remained backward-dated in PJM given the expected addition of new generation capacity over the next few years."}, {"path": "tedlium_20320.wav", "duration": 8.73, "text": "But overall, progressing roughly in line with the plan announced in May"}, {"path": "tedlium_20321.wav", "duration": 8.73, "text": "The team has done a fantastic job creating a collection that embodies the brand with fashion that is both fresh and relevant to multiple generations."}, {"path": "tedlium_20322.wav", "duration": 8.73, "text": "We remain comfortable with these estimates at this time. Thank you for listening to all of these detail. I will now turn the call over to Jim Ryan."}, {"path": "tedlium_20323.wav", "duration": 8.73, "text": "And a look at our study shows that we are on track to safeguard our future viability of the whole group."}, {"path": "tedlium_20324.wav", "duration": 8.73, "text": "We expect we'll be in a better position to provide an update on our August call on the CapEx that we are able to pull forward into '18 as well as the impact"}, {"path": "tedlium_20325.wav", "duration": 8.73, "text": "Our industrial markets appear to be improving and we see a lot of marine projects ahead of us. Only offshore marine remains a question mark for us."}, {"path": "tedlium_20326.wav", "duration": 8.73, "text": "These statements involve risks and uncertainties that may cause actual results to differ materially from the statements made on today's conference call."}, {"path": "tedlium_20327.wav", "duration": 8.73, "text": "And I mentioned the investment in terms of resources and training within the company. We doubled the number of customer success manager that we have"}, {"path": "tedlium_20328.wav", "duration": 8.73, "text": "So we expect our first sales for our animal health division to begin early in 2017, and I can tell you,"}, {"path": "tedlium_20329.wav", "duration": 8.73, "text": "Our clear focus lies on making use of innovative, new technologies to design simpler, faster and better processes."}, {"path": "tedlium_20330.wav", "duration": 8.73, "text": "that when it comes time to the next increase, I would expect strong realization rates, particularly given the environment right now and the headlines around inflation."}, {"path": "tedlium_20331.wav", "duration": 8.73, "text": "So we have seen both of them play out, differentially in the dine-in environment and in the delivery environment, but both have been -- have"}, {"path": "tedlium_20332.wav", "duration": 8.73, "text": "And do you expect some adjustment -- I know you had some adjustment on your Generics customers this quarter, it looks like. Do you expect some of that to happen on the Biologics side as well?"}, {"path": "tedlium_20333.wav", "duration": 8.73, "text": "So maybe Erik or Rustom, could you elaborate a bit on what you're seeing here? And also what factors could actually get better as you go through the fiscal year."}, {"path": "tedlium_20334.wav", "duration": 8.73, "text": "Consistent with our expectations, this growth was partially offset by lower sales to commercial vehicle customers as certain programs continue to wind down."}, {"path": "tedlium_20335.wav", "duration": 8.73, "text": "and working to gain their business in areas that will help our network, so that we can actually give them a good price service combination,"}, {"path": "tedlium_20336.wav", "duration": 8.73, "text": "by December 31. We tend not to start all that early. We'd rather have more people go out before us than"}, {"path": "tedlium_20337.wav", "duration": 8.73, "text": "in the top line and we hold our margins or enhance our margins through expense control, that's where you're going to see"}, {"path": "tedlium_20338.wav", "duration": 8.73, "text": "upside potential bringing to the shareholders. So both parties remain confident that this is an interesting transaction to go forward."}, {"path": "tedlium_20339.wav", "duration": 8.73, "text": "which will be either advised or managed. The few pockets that will not be is because they are either external asset manager"}, {"path": "tedlium_20340.wav", "duration": 8.73, "text": "we're in full implementation mode of a new maintenance management system, as well as overhauling our company-wide procurement processes."}, {"path": "tedlium_20341.wav", "duration": 8.73, "text": "Our updated forecast is based on strong MACI growth trends as reflected by orders to date in the second quarter of the year -- or second half of the year"}, {"path": "tedlium_20342.wav", "duration": 8.73, "text": "Electronics operating income increased primarily due to higher sales resulting from the Orlaco acquisition and lower material costs,"}, {"path": "tedlium_20343.wav", "duration": 8.73, "text": "marketing enhancement opportunities, build new stores, remodel stores and rebuild existing locations across our footprint."}, {"path": "tedlium_20344.wav", "duration": 8.73, "text": "So -- and, Justin, it's Drew. On the revenue side of the world, we did try to call out a couple of those in my comments. We are a brand business, and we do believe that the"}, {"path": "tedlium_20345.wav", "duration": 8.73, "text": "I'd also like to remind you that nothing on this call constitutes an offer to sell or solicitation of an offer to purchase any interest in any Oaktree fund."}, {"path": "tedlium_20346.wav", "duration": 8.73, "text": "If we are in the line where I hope we will be we should be close to about 1 million customers on our fibre footprint by the end of the year."}, {"path": "tedlium_20347.wav", "duration": 8.73, "text": "And just as a reminder, we continue to do all of our business through our branch network, still do not accept broker deposits or pay a premium for large accounts."}, {"path": "tedlium_20348.wav", "duration": 8.73, "text": "Volume declines in the quarter were driven by our commercial realignment and profitability initiatives as well as soft demand."}, {"path": "tedlium_20349.wav", "duration": 8.7299375, "text": "As a final note, you may have seen from the recent Form 4 filings, Seabed Veil Investment has reported selling a portion of its shares"}, {"path": "tedlium_20350.wav", "duration": 8.7299375, "text": "than others. What I would say is, is our guide reflects everything we see. Our footprint is broader than"}, {"path": "tedlium_20351.wav", "duration": 8.7299375, "text": "The lower number for the paint factory was due to improved payment terms on key supply contracts and land purchase timing."}, {"path": "tedlium_20352.wav", "duration": 8.7, "text": "And most of that will disappear once that -- they take on the full manufacturing."}, {"path": "tedlium_20353.wav", "duration": 8.7, "text": "Well, in certain logic but still not across the board, only in very specific applications."}, {"path": "tedlium_20354.wav", "duration": 8.7, "text": "As most of you know, Besi's business is seasonal, with revenue and orders typically building in the first half of the year"}, {"path": "tedlium_20355.wav", "duration": 8.7, "text": "Our customer franchise remains strong and is being built out further as we continue to work with our partners to provide solutions and align interests,"}, {"path": "tedlium_20356.wav", "duration": 8.7, "text": "the tragic losses sustained by employees and their families and friends have been met with a tremendous outpouring of support."}, {"path": "tedlium_20357.wav", "duration": 8.7, "text": "Almost all of these investments have been originated on the back of our relationship based network of financial sponsors and bankers."}, {"path": "tedlium_20358.wav", "duration": 8.7, "text": "Knight. And so I really believe that we're going to be able to make Knight better. And I will tell you that Knight"}, {"path": "tedlium_20359.wav", "duration": 8.7, "text": "As we said last quarter, the growth of our credit business will take time, but this quarter's results demonstrate positive momentum."}, {"path": "tedlium_20360.wav", "duration": 8.7, "text": "In August, we announced a statewide federally funded contract for the purchase of MedSafe and liners for the state of Montana."}, {"path": "tedlium_20361.wav", "duration": 8.7, "text": "know he knows how to identify markets where we can add value. And so I'm optimistic and I wouldn't throw that number"}, {"path": "tedlium_20362.wav", "duration": 8.7, "text": "The revenue trend in the fourth quarter showed a strong improvement, supported by growth in integrated solutions and IT services."}, {"path": "tedlium_20363.wav", "duration": 8.7, "text": "Business development continues to be a priority, and we are committed to finding the best external science to enrich our pipeline and portfolio."}, {"path": "tedlium_20364.wav", "duration": 8.7, "text": "Even the long cycle that we have in this industry, we're already positioning ourselves in terms of technology development"}, {"path": "tedlium_20365.wav", "duration": 8.7, "text": "which was initially to produce more bulk in addition to the bulk we've already produced under past contracts."}, {"path": "tedlium_20366.wav", "duration": 8.7, "text": "and it may just be the case that where we have had outperformance, we're now beginning to experience the impact not only of"}, {"path": "tedlium_20367.wav", "duration": 8.7, "text": "whether maybe the leverage levels might change categorically for like maybe the Agency portfolio and the credit portfolios?"}, {"path": "tedlium_20368.wav", "duration": 8.7, "text": "to becoming the market-leading hybrid REIT, expanding our ability to further invest in areas across the Agency, residential credit"}, {"path": "tedlium_20369.wav", "duration": 8.7, "text": "As the automotive market continues to evolve, we can accommodate changes in vehicle type such as electric vehicles"}, {"path": "tedlium_20370.wav", "duration": 8.7, "text": "As we look ahead, we think that's still appropriate. But obviously, we'll continue to keep an eye on that over the balance of the year."}, {"path": "tedlium_20371.wav", "duration": 8.7, "text": "talk about philosophically how we approach this. Our advisers have been desirous of having index product for some time"}, {"path": "tedlium_20372.wav", "duration": 8.7, "text": "from marketing to tech and digital product capabilities. Nick will go into further detail on our financial performance shortly."}, {"path": "tedlium_20373.wav", "duration": 8.7, "text": "by hiring additional mortgage loan originators and as we move into the seasonally stronger quarters for the housing market in Colorado."}, {"path": "tedlium_20374.wav", "duration": 8.7, "text": "is when you have all the tornado and hail in Texas and that's when we expect to have an underwriting loss driven by our claims-related losses."}, {"path": "tedlium_20375.wav", "duration": 8.7, "text": "a little bit about the competitive environment and the margin you're getting on the marginal mortgage that you're adding considering how a few of them there are around right now?"}, {"path": "tedlium_20376.wav", "duration": 8.7, "text": "And so our margin expansion will clearly be more weighted to the second half of the year. But from a revenue standpoint, we will enter the year"}, {"path": "tedlium_20377.wav", "duration": 8.7, "text": "And we believe the industry will adopt a more efficient industrial model to construct the floating production facilities needed to develop the planet's immense deepwater resources."}, {"path": "tedlium_20378.wav", "duration": 8.7, "text": "However, customers continue to reduce the scope and resulting spend of most projects as they seek to limit spending only to what is absolutely necessary."}, {"path": "tedlium_20379.wav", "duration": 8.7, "text": "The second point I'd like to make is that pipe defects are not uncommon. The manufacturing process can result in cracks, voids, inclusions and mill scale."}, {"path": "tedlium_20380.wav", "duration": 8.7, "text": "We don't see this -- I think the competition between the retailers in Norway is somewhat intensifying, but this is nothing"}, {"path": "tedlium_20381.wav", "duration": 8.7, "text": "We evaluated, restructured and reorganized the entire sales organization within 3 weeks of closing the Clarient acquisition."}, {"path": "tedlium_20382.wav", "duration": 8.7, "text": "to wait for a better opportunity. So I'd love to be able to give you a time and a date. But to be honest with you, the market will provide that for us."}, {"path": "tedlium_20383.wav", "duration": 8.7, "text": "answer -- talk a little bit about how you all buy your lumber and how you lock that in versus how you all are pricing the house?"}, {"path": "tedlium_20384.wav", "duration": 8.7, "text": "And in the past quarter, we did make progress against all 3 of these key objectives."}, {"path": "tedlium_20385.wav", "duration": 8.7, "text": "And lastly, I am pleased and confident with the team's continued focus, objectivity, intensity"}, {"path": "tedlium_20386.wav", "duration": 8.7, "text": "China is a different thing. Of course, China is also aging, but the absolute number is there."}, {"path": "tedlium_20387.wav", "duration": 8.7, "text": "My last mission is to further build up our brands. Right now, in Taiwan, we have many brands."}, {"path": "tedlium_20388.wav", "duration": 8.7, "text": "Lots of questions there, Jenny, but I would say that the demand on the part of the tech companies"}, {"path": "tedlium_20389.wav", "duration": 8.7, "text": "the growth coming from third-party credit cards also increased in our total mix. And that's why"}, {"path": "tedlium_20390.wav", "duration": 8.7, "text": "and that's also very encouraging. And that's something that we are going to be gradually seeing improving through time."}, {"path": "tedlium_20391.wav", "duration": 8.7, "text": "Our focus on cash generation continues. In the first quarter, our cash flow from operations was a net use of cash."}, {"path": "tedlium_20392.wav", "duration": 8.7, "text": "And that continues to be the plan. And that's where we, obviously within margins, have some flexibility on how we can manage the position."}, {"path": "tedlium_20393.wav", "duration": 8.7, "text": "there are steps being taken by both sides in the deal environment to either gain leverage or gain outcome. We'll see where it leads."}, {"path": "tedlium_20394.wav", "duration": 8.7, "text": "banker who called on software companies, and now we want to have our software and tech bankers calling on every company alongside the sector banker"}, {"path": "tedlium_20395.wav", "duration": 8.7, "text": "for entry into the trial. Beyond that, we will continue to work closely with the NEPTUNE Consortium and NephCure international organizations"}, {"path": "tedlium_20396.wav", "duration": 8.7, "text": "We will continue to work with a potential counterparty to reach an agreement in principle that would be beneficial to the company and our stakeholders."}, {"path": "tedlium_20397.wav", "duration": 8.7, "text": "Our guidance also does not account for the impact from shifts in the regulatory environment, including areas, such as immigration or tax."}, {"path": "tedlium_20398.wav", "duration": 8.7, "text": "And I was just wondering, now that it looks like both of those products are experiencing some -- maybe some modest delays to the schedule,"}, {"path": "tedlium_20399.wav", "duration": 8.7, "text": "when you're considering -- you can spend your money on the frequency bandwidth, or you can spend your money on"}, {"path": "tedlium_20400.wav", "duration": 8.7, "text": "into our data centers. Now each configuration for each one of our customers is different, but typically it's not going to all occur in the same quarter."}, {"path": "tedlium_20401.wav", "duration": 8.7, "text": "Some of the resistance, which we have seen in the past because the tools weren't there to facilitate this, are"}, {"path": "tedlium_20402.wav", "duration": 8.7, "text": "we obviously confirm that we were confident pre-hearing in terms of our legal position. And I can confirm we remain as"}, {"path": "tedlium_20403.wav", "duration": 8.7, "text": "And I'm pushing my luck here but would you give us a peak sales estimate for your 2 new drugs that you have in-licensed,"}, {"path": "tedlium_20404.wav", "duration": 8.7, "text": "We remain committed to refining our products and program offerings to ensure we are helping educators solve the financial issues they face,"}, {"path": "tedlium_20405.wav", "duration": 8.7, "text": "These high standards are enabling us to more efficiently balance our order pace in ASP to build a healthy backlog position and improve returns."}, {"path": "tedlium_20406.wav", "duration": 8.7, "text": "In summary, we are pleased with our results so far. Our focus on operational excellence, new products and partnerships"}, {"path": "tedlium_20407.wav", "duration": 8.7, "text": "I think, both of those products, we love the role they play in the portfolio, it's starting to fill in the gaps between"}, {"path": "tedlium_20408.wav", "duration": 8.7, "text": "As our business strengthened, we increased some investment through 2017 to strengthen our corporate infrastructure and position us to benefit from increased scale."}, {"path": "tedlium_20409.wav", "duration": 8.7, "text": "The tax law enacted near the end of 2017 had a number of effects on EOG's results of operations, cash flows and consolidated financial statements."}, {"path": "tedlium_20410.wav", "duration": 8.7, "text": "our mining shaft has been designed to go ultimately to a 1,000 meters in this first stage for our current 10-year reserve plus"}, {"path": "tedlium_20411.wav", "duration": 8.7, "text": "capital. And does that mean from a dividend or capital distribution point of view you would be at least"}, {"path": "tedlium_20412.wav", "duration": 8.7, "text": "After my first 7 months as CEO of LP, I am excited and energized by the progress we have made in our outlook for the future."}, {"path": "tedlium_20413.wav", "duration": 8.7, "text": "pleased with the progress there. Put all that together, that's why we're confident in tone this morning with the financial outlook"}, {"path": "tedlium_20414.wav", "duration": 8.7, "text": "Please refer to the tables and slide presentation accompanying today's earnings release on our website for details. With that, let me turn the call over to Antonio."}, {"path": "tedlium_20415.wav", "duration": 8.7, "text": "and very importantly, the optimizing the effective pricing and yield for data propositions that we have taken to market."}, {"path": "tedlium_20416.wav", "duration": 8.7, "text": "increased in the year to 2.7x. Now as we look over the medium term, we would like to see the holding company leverage"}, {"path": "tedlium_20417.wav", "duration": 8.7, "text": "the demographic opportunity, for sure, is there. The bit in the middle is we've got a strategy to basically take advantage of the opportunity."}, {"path": "tedlium_20418.wav", "duration": 8.7, "text": "This means that while our start-up is progressing well and this is a desirable contributing contract,"}, {"path": "tedlium_20419.wav", "duration": 8.7, "text": "We have a good success in creating an expanding list of qualifications in both of these growing areas. Let me start with the provider services."}, {"path": "tedlium_20420.wav", "duration": 8.7, "text": "A copy of the press release we issued this morning is available on our website. In addition, we are conducting a live webcast of this call also available on the site."}, {"path": "tedlium_20421.wav", "duration": 8.7, "text": "So the short answer to it is yes. I think that the magnitude is what you have to put your finger on. So"}, {"path": "tedlium_20422.wav", "duration": 8.7, "text": "Field Service Lightning is a key part of that growth. In fact, one of the world's largest food and beverage companies selected Field Service Lightning for retail execution to boost"}, {"path": "tedlium_20423.wav", "duration": 8.7, "text": "again, because customers are taking advantage of these amazing technologies to drive and gather insights around what their customers are doing."}, {"path": "tedlium_20424.wav", "duration": 8.7, "text": "what's -- like any major initiatives that's going to be on the promotional calendar this year? Or is that kind of business competitive information?"}, {"path": "tedlium_20425.wav", "duration": 8.7, "text": "Before we begin today's call, I would like to remind everyone that this call may involve certain statements that are not based on historical facts"}, {"path": "tedlium_20426.wav", "duration": 8.7, "text": "Moving to Slide 3. You'll see our agenda for today's discussion. We'll begin with an overview of our third quarter and year-to-date earnings results."}, {"path": "tedlium_20427.wav", "duration": 8.7, "text": "with the average annualized increase in shareholders' equity plus cash dividends over the last 5-year period"}, {"path": "tedlium_20428.wav", "duration": 8.7, "text": "it is a big opportunity for our type of technology in China as well. And if you remember,"}, {"path": "tedlium_20429.wav", "duration": 8.7, "text": "Great. Well, look, thanks, everybody, very much for your interest. Thanks for spending the time listening to us and talking with us and thanks very much for the questions."}, {"path": "tedlium_20430.wav", "duration": 8.7, "text": "It doesn't mean that we don't have rollover of contracts where we have to go from a high price to the new market price. And so that will still hit us."}, {"path": "tedlium_20431.wav", "duration": 8.7, "text": "pretty substantially in the last 3 years at this hotel. So we've been waiting a little bit to get that EBITDA back up to where we think it should be."}, {"path": "tedlium_20432.wav", "duration": 8.7, "text": "If the vaccine includes the wrong neoantigens, the vaccine misses the target and works sub-optimally if it works at all."}, {"path": "tedlium_20433.wav", "duration": 8.7, "text": "This expands our global network with increased production capacity and more timely delivery of our unique higher value specialty solution."}, {"path": "tedlium_20434.wav", "duration": 8.7, "text": "In other cases, given the fact that some of our branches need to continue to mature to our target of"}, {"path": "tedlium_20435.wav", "duration": 8.7, "text": "We actually think we've achieved a very unique public record database now, and so we're helping to displace our external vendors for title right now."}, {"path": "tedlium_20436.wav", "duration": 8.7, "text": "Simply put, our cost structure should provide increased profitability to Enzo and a marginal return for our customers, the independent lab."}, {"path": "tedlium_20437.wav", "duration": 8.7, "text": "if I understand correctly, you're saying what are the efforts in terms of marketing to the broader developer population?"}, {"path": "tedlium_20438.wav", "duration": 8.7, "text": "It doesn't include the fast-growing online business, which doubled last year and doubled again in the first quarter for us."}, {"path": "tedlium_20439.wav", "duration": 8.7, "text": "April 21. We are in receipt of those letters and are aware of the contemporaneous rumors that are in the marketplace."}, {"path": "tedlium_20440.wav", "duration": 8.7, "text": "Well, it's certainly very positive for us. We're really excited about the transaction because it did allow us to obtain"}, {"path": "tedlium_20441.wav", "duration": 8.7, "text": "Over the past couple of weeks, there have been significant price increases announced by different competitors in both the branded and the private-label segments of the market."}, {"path": "tedlium_20442.wav", "duration": 8.7, "text": "The early results are encouraging as nearly 20% of customers notified of early or delayed bags are using customer bag notification to set up a bag delivery."}, {"path": "tedlium_20443.wav", "duration": 8.7, "text": "The premium A1 by AND1 collection is on track to launch in specialty stores and boutiques later this year."}, {"path": "tedlium_20444.wav", "duration": 8.7, "text": "I think there have been very few orders which, of course, means that the shipyards will struggle to fill their capacity."}, {"path": "tedlium_20445.wav", "duration": 8.7, "text": "This quarter, with the expected acceleration in hardware spending, we did not mix as much into netted-down revenues."}, {"path": "tedlium_20446.wav", "duration": 8.7, "text": "the lower growth rate in this portfolio more recently is consistent with our strategic objective to deliver balanced growth over a full cycle."}, {"path": "tedlium_20447.wav", "duration": 8.7, "text": "And is the idea to increase that over time depending on how it performs? Or is anything set in stone on that side?"}, {"path": "tedlium_20448.wav", "duration": 8.7, "text": "China continues to present a significant opportunity for us, as the government and private industry both fund drug research."}, {"path": "tedlium_20449.wav", "duration": 8.7, "text": "the result of continuing efforts at cost compression and improvements to margins. We've taken the opportunity than to say what does that mean"}, {"path": "tedlium_20450.wav", "duration": 8.7, "text": "The final phase is expected to be completed during the first half of 2018. And finally, turning to prospects,"}, {"path": "tedlium_20451.wav", "duration": 8.7, "text": "difficult end markets such as oil and gas, mining and ag, in particular. And then we see continued"}, {"path": "tedlium_20452.wav", "duration": 8.7, "text": "We're in coordination with other industry partners. We can make personalized medicine a reality for billions of individuals on the planet and a way of life for the next generation."}, {"path": "tedlium_20453.wav", "duration": 8.7, "text": "there? We certainly haven't seen any impact at this point. They're obviously making a lot of noise out there in the marketplace."}, {"path": "tedlium_20454.wav", "duration": 8.7, "text": "We've moved aggressively to rightsize the organization and expect OTE to return to profitability over the second half of our fiscal"}, {"path": "tedlium_20455.wav", "duration": 8.7, "text": "including a significant charge related to our South African projects, which we will discuss in greater detail later in the presentation."}, {"path": "tedlium_20456.wav", "duration": 8.7, "text": "Due to the confidential nature of these discussions, we will have no further comments regarding this matter on today's call."}, {"path": "tedlium_20457.wav", "duration": 8.7, "text": "Are you guys doing anything different than auctions at this point? You're not doing any retail experiments or anything like that or"}, {"path": "tedlium_20458.wav", "duration": 8.7, "text": "Zach, I don't think we can really comment on specifics. As we've said in the past, we view that we're the natural aggregator of"}, {"path": "tedlium_20459.wav", "duration": 8.7, "text": "of beyond the max, you would probably only need to look for a property between 5% to 10% cheaper and that we felt was more doable."}, {"path": "tedlium_20460.wav", "duration": 8.7, "text": "For the most part, I'd say we have the major platforms that we need, so we don't envision the need for large platforms."}, {"path": "tedlium_20461.wav", "duration": 8.7, "text": "is well locked at this point and it's streamline it and simplify it. And we're going to continue to do that and continue to make progress on it like we have been for the last couple of quarters."}, {"path": "tedlium_20462.wav", "duration": 8.7, "text": "The most important subject of this midterm corporate strategy is how to achieve and apply responsiveness to change."}, {"path": "tedlium_20463.wav", "duration": 8.7, "text": "Such statements are based on the company's views as of today, and actual results could differ materially from the forward-looking statements."}, {"path": "tedlium_20464.wav", "duration": 8.7, "text": "Can you talk a bit about whether that is changing the tone and if that's going to lead to orders among airlines where"}, {"path": "tedlium_20465.wav", "duration": 8.7, "text": "We'll continue to expand our scale and achieve great achievements and developments."}, {"path": "tedlium_20466.wav", "duration": 8.7, "text": "again, we've become very, very good at predicting and intervening ahead of when a patient becomes not adherent based on factors that we're aware of."}, {"path": "tedlium_20467.wav", "duration": 8.7, "text": "Yes. We haven't really said anything yet on the number of locations that we're going to be adding, but that's something that we'll definitely be able to give more color on with our Q3 call,"}, {"path": "tedlium_20468.wav", "duration": 8.7, "text": "For example, Trex online provides homeowners the tools to design, price and order samples for their dream decks"}, {"path": "tedlium_20469.wav", "duration": 8.7, "text": "good news we had in last year's Q4. And as you think about -- that was the Worker's Comp. I just mentioned the incentive compensation, that was good news last year."}, {"path": "tedlium_20470.wav", "duration": 8.7, "text": "Thanks, Marc. I want to thank all of our associates for contributing to another strong quarter at Burlington Stores."}, {"path": "tedlium_20471.wav", "duration": 8.7, "text": "This is the third anniversary since we introduced the dividend program, and the board declared a 25% increase in the quarterly dividend over our prior dividend."}, {"path": "tedlium_20472.wav", "duration": 8.7, "text": "Next, I'd like to spend a few minutes recognizing the outstanding efforts of our employees in responding to a major snowstorm in Colorado."}, {"path": "tedlium_20473.wav", "duration": 8.7, "text": "As you know, European markets are largely saturated markets in consumption per capita,"}, {"path": "tedlium_20474.wav", "duration": 8.7, "text": "But there continues to be volatility in the oil market, and the price of resin follows very closely the oil price, not directly, but very closely."}, {"path": "tedlium_20475.wav", "duration": 8.7, "text": "Once again, we believe there is a significant discount between public and private valuations of plant assets, and we see proof of that in our process."}, {"path": "tedlium_20476.wav", "duration": 8.7, "text": "is supporting the price. But it's simply to state that the prices we now have in place will ultimately result in a lower sales"}, {"path": "tedlium_20477.wav", "duration": 8.7, "text": "seed treatment and biosolutions. We also invested in a growing sales force in Brazil, and it is working."}, {"path": "tedlium_20478.wav", "duration": 8.7, "text": "achieve economies of scale. And I think there's plenty of opportunities. Yes, and that certainly fits with what we have been saying. And we continue to say that we believe the"}, {"path": "tedlium_20479.wav", "duration": 8.7, "text": "by decreased volumes in Canada due to apportionment issues. Additionally, the impact of anticipated changes in tariff mix on unit margins"}, {"path": "tedlium_20480.wav", "duration": 8.7, "text": "We, of course, intend to bring the company back on track as quickly as possible. And I will say a few words later on about the initiatives we're taking."}, {"path": "tedlium_20481.wav", "duration": 8.7, "text": "even more nimble and innovative than we have been in the past. And so I think we're taking a pretty fresh look at a lot of things, not just marketing innovation but"}, {"path": "tedlium_20482.wav", "duration": 8.7, "text": "Our isometric marine acquisition system remains unrivaled and represents one of the biggest engineering achievements in the history of our company."}, {"path": "tedlium_20483.wav", "duration": 8.7, "text": "Looking to the future, our strategy remains the same. We will continue to focus on effectively deploying capital from our diverse lending sources"}, {"path": "tedlium_20484.wav", "duration": 8.7, "text": "you write about it in the report. Should we expect that the sort of seasonal effects would be enhanced, i.e., that you will have less or maybe"}, {"path": "tedlium_20485.wav", "duration": 8.7, "text": "Right. Martin, I think you're absolutely right on the innovation. This is not so much of a numbers thing. We're not looking at the"}, {"path": "tedlium_20486.wav", "duration": 8.7, "text": "and companies get started off of less than that. So very, very happy to see that continued commercial momentum."}, {"path": "tedlium_20487.wav", "duration": 8.7, "text": "Our risk appetite is at moderate level, and capital consumption is presently at low levels."}, {"path": "tedlium_20488.wav", "duration": 8.7, "text": "Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program, and you may all disconnect. Everyone, have a great day."}, {"path": "tedlium_20489.wav", "duration": 8.7, "text": "thus we are upgrading our client coverage model to meet these needs. These changes, including new senior leadership, are already underway."}, {"path": "tedlium_20490.wav", "duration": 8.7, "text": "Now we did pass on a large part of it, not completely, but a large part of it to our customers because"}, {"path": "tedlium_20491.wav", "duration": 8.7, "text": "This results primarily from lower sample volume than anticipated, which can occur in the first quarter after the holiday period."}, {"path": "tedlium_20492.wav", "duration": 8.7, "text": "Thanks, Glenn, and to all those joining us today. This has been a difficult year for our industry, and we're not pleased with our results."}, {"path": "tedlium_20493.wav", "duration": 8.7, "text": "the usual seasonal factor, the furloughs, the calendar days being lower. On top of that, some of these additional aspects"}, {"path": "tedlium_20494.wav", "duration": 8.7, "text": "The product transfers are certainly the headliner but we have also now have a talented and very capable team in Shanghai and a new office and with a new warehouse,"}, {"path": "tedlium_20495.wav", "duration": 8.7, "text": "The -- and then the last component of large market demand is in the furniture segment. So you have a very strong market in"}, {"path": "tedlium_20496.wav", "duration": 8.7, "text": "We will conclude, as we always do, with our long-term charts which is simply meant to display the power of dividends over time."}, {"path": "tedlium_20497.wav", "duration": 8.7, "text": "acquire somebody sort of opportunistically that would be accretive and a good fit for our business, we would do it. That remains the case."}, {"path": "tedlium_20498.wav", "duration": 8.7, "text": "The long run average has been 70% across the portfolio. And in some years, you're a little bit below that and some years you're a little bit above that. And"}, {"path": "tedlium_20499.wav", "duration": 8.7, "text": "Good morning. I'm Steve Rolfs, Senior Vice President and Chief Financial Officer of Sensient Technologies Corporation."}, {"path": "tedlium_20500.wav", "duration": 8.7, "text": "while reducing operating costs through ore crushing efficiencies, even with an increase of the ore material hardness index."}, {"path": "tedlium_20501.wav", "duration": 8.7, "text": "They've been in search of a polymer that can withstand the new stronger disinfectants being used in hospitals, which is causing cracking with existing polymers."}, {"path": "tedlium_20502.wav", "duration": 8.7, "text": "So it's a factor but something that, I think, all the people around the table here are quite willing to handle and deal with as are the dealers."}, {"path": "tedlium_20503.wav", "duration": 8.7, "text": "a lot of focus on building that organizational capability. We think it's showing up in key categories. We think it's allowing us to attract a higher price point,"}, {"path": "tedlium_20504.wav", "duration": 8.7, "text": "Importantly, data also showed patients who continue TYSABRI treatment experienced better clinical outcomes than those who switched to another therapy."}, {"path": "tedlium_20505.wav", "duration": 8.7, "text": "may, at times, introduce a little bit of noise to the PEO margins now that it is included in our segment results."}, {"path": "tedlium_20506.wav", "duration": 8.7, "text": "Our sourcing team has been very busy selecting new and exciting products that we believe will appeal to our core upscale, fashion-conscious customer."}, {"path": "tedlium_20507.wav", "duration": 8.7, "text": "We have a truly exciting and unique opportunity here at Univar to grow the profitability and the size of our company. As you know,"}, {"path": "tedlium_20508.wav", "duration": 8.7, "text": "and we're going to have to offset that with productivity and other initiatives so that we'd be positioned to deliver on the commitments we made."}, {"path": "tedlium_20509.wav", "duration": 8.6999375, "text": "Finally, on Page 9, we offer a number of products that improve safety and security on both passenger and commercial vehicle applications."}, {"path": "tedlium_20510.wav", "duration": 8.6999375, "text": "And I think, that our board believed that the company was doing a lot of the right things, and where we were"}, {"path": "tedlium_20511.wav", "duration": 8.67, "text": "And it's that experience that leads me to believe that Saga has all the core attributes that any broker business needs to win"}, {"path": "tedlium_20512.wav", "duration": 8.67, "text": "The recent acquisitions were kind of the primary growth drivers in the quarter. Correct me if I heard that wrong. But then when you were citing the business lines,"}, {"path": "tedlium_20513.wav", "duration": 8.67, "text": "Before I turn over the call to John, I'd like to remind everyone that management's prepared remarks and answers to your questions contain forward-looking statements,"}, {"path": "tedlium_20514.wav", "duration": 8.67, "text": "Before we get started, we want to emphasize that some of the information and statements you will be hearing during our discussions today will include forward-looking statements,"}, {"path": "tedlium_20515.wav", "duration": 8.67, "text": "Or versus how many are still in the development stage with that? And then could you maybe give us a sense with how we might think about the time frame"}, {"path": "tedlium_20516.wav", "duration": 8.67, "text": "that are launching new drugs as well as we have a few deals we're chasing with new customers. So the pipeline does look good, and we think that it'll"}, {"path": "tedlium_20517.wav", "duration": 8.67, "text": "If we turn to the outlook for this year, broadly, we're expecting similar market conditions to continue into this year."}, {"path": "tedlium_20518.wav", "duration": 8.67, "text": "Well, I don't want to put Matt into a box at this particular point in time, so I've been hesitant to"}, {"path": "tedlium_20519.wav", "duration": 8.67, "text": "As we look forward, we believe MITT is well positioned to take advantage of a wide range of Agency and credit market opportunities at favorable returns."}, {"path": "tedlium_20520.wav", "duration": 8.67, "text": "In closing, I'm pleased with the steps we've taken over the past few years to improve the operating performance of our business and reduce fixed costs."}, {"path": "tedlium_20521.wav", "duration": 8.67, "text": "we will rebuild or migrate our customer applications using standard application and cloud-native services and operate them in the public cloud."}, {"path": "tedlium_20522.wav", "duration": 8.67, "text": "but what does that achieve if you've destroyed all the commission that you would be deriving in the product sales, so"}, {"path": "tedlium_20523.wav", "duration": 8.67, "text": "We are conducting a reexamination of our quality assurance process and implementing measures to prevent this from happening again."}, {"path": "tedlium_20524.wav", "duration": 8.67, "text": "Yes. Well, first of all, I think it's a -- it would not be a correct characterization to say that the bulk of our investment is technology. I mean, there's certainly"}, {"path": "tedlium_20525.wav", "duration": 8.67, "text": "Germany is the point where we have not been so pleased with the development, especially stemming from the"}, {"path": "tedlium_20526.wav", "duration": 8.67, "text": "as well as improvement in the energy market and we believe that Reliance is very well-positioned to capitalize on these opportunities."}, {"path": "tedlium_20527.wav", "duration": 8.67, "text": "Nevertheless, we felt there was more operating efficiency we could drive into this business, and that is what was behind the creation of the single"}, {"path": "tedlium_20528.wav", "duration": 8.67, "text": "As I look back on our performance in 2017, our operating results for the full year and the fourth quarter were right where we expected them to be."}, {"path": "tedlium_20529.wav", "duration": 8.67, "text": "and a number of our new products are gaining traction in both existing and new market areas, and we are pleased with how this business is progressing."}, {"path": "tedlium_20530.wav", "duration": 8.67, "text": "to coordinate all the export initiatives we do in the different business units and business areas into each single export market."}, {"path": "tedlium_20531.wav", "duration": 8.67, "text": "to be able to give us some really unique product offering, that if you look at our cementless offering, is now approaching 20% of our knees are now cementless, which is"}, {"path": "tedlium_20532.wav", "duration": 8.67, "text": "I think the biggest benefit to us is they have outstanding technology that gives us access to new procedures for a customer base"}, {"path": "tedlium_20533.wav", "duration": 8.67, "text": "The sequential increase was primarily due to the Recurrent transaction, 1 organic drop-down acquisition in December"}, {"path": "tedlium_20534.wav", "duration": 8.67, "text": "and at conferences, visiting our operations and investors around the country throughout 2019. So please reach out to Ron. And we will look forward to speaking with you and meeting with you."}, {"path": "tedlium_20535.wav", "duration": 8.67, "text": "next, we have adopted a dividend policy designed to support value creation for our shareholders through both growth and income"}, {"path": "tedlium_20536.wav", "duration": 8.67, "text": "Before we begin today's call, I want to remind you that the discussion will include forward-looking information, which is subject to the cautionary statement contained in the supporting slide show."}, {"path": "tedlium_20537.wav", "duration": 8.67, "text": "very quickly far more faster than any other state regulated or provincially regulated jurisdiction"}, {"path": "tedlium_20538.wav", "duration": 8.67, "text": "I think most importantly, the way we think about it is that there is always going to be room for reimbursement"}, {"path": "tedlium_20539.wav", "duration": 8.67, "text": "as the operating officer for the company, the last 3 months, that's been a focus of mine across all of our companies,"}, {"path": "tedlium_20540.wav", "duration": 8.67, "text": "offset of 400 business falling off and then partially offset by 500, until that actually becomes revenue generating?"}, {"path": "tedlium_20541.wav", "duration": 8.67, "text": "with the exception of Hong Kong, which is a colony, there is no such thing called foreign regime"}, {"path": "tedlium_20542.wav", "duration": 8.67, "text": "Our approach is rooted in the extensive study and understanding of consumer dynamics to which we then apply analytics to identify key leverage points."}, {"path": "tedlium_20543.wav", "duration": 8.67, "text": "As it relates to insurance coverage, the company has notified its carriers of a potential claim under the company's insurance policies"}, {"path": "tedlium_20544.wav", "duration": 8.67, "text": "I guess, the first question here is, does the summer release significantly expand your total addressable market that you talked about with"}, {"path": "tedlium_20545.wav", "duration": 8.67, "text": "that's also what is stated in the presentation that we expect implementation cost to be cost in the first 2 years."}, {"path": "tedlium_20546.wav", "duration": 8.67, "text": "These decreases were mostly offset by improved operating performance across each business and higher unit volumes in the metal and plastic container businesses."}, {"path": "tedlium_20547.wav", "duration": 8.67, "text": "We also started distributing Monster Energy drinks as we are fully leveraging our execution capabilities to capture additional share"}, {"path": "tedlium_20548.wav", "duration": 8.67, "text": "have all input what was the diagnosis, what was the treatment and all that we have in the system already, but you also need to have the"}, {"path": "tedlium_20549.wav", "duration": 8.67, "text": "what specifically there got you excited about this particular property? I know that being able to blow some of your own films instead of purchasing on the outside, but"}, {"path": "tedlium_20550.wav", "duration": 8.67, "text": "most of what we do in construction is really renovation or adaptations to existing structures. But"}, {"path": "tedlium_20551.wav", "duration": 8.67, "text": "It might make more sense to figure out an investment in that country where we can better utilize the money without taking the big tax expense."}, {"path": "tedlium_20552.wav", "duration": 8.67, "text": "And we remain focused on finding opportunities to further enhance shareholder value in a consistent and disciplined manner."}, {"path": "tedlium_20553.wav", "duration": 8.67, "text": "The team did a good job closing small deals but the lack of large opportunities coupled with a difficult compare made for a tough quarter."}, {"path": "tedlium_20554.wav", "duration": 8.67, "text": "as we have invested heavily in the core components required to transform this commercial infrastructure, namely human capital,"}, {"path": "tedlium_20555.wav", "duration": 8.67, "text": "We disclaim any intentions or obligations to update or revise any forward-looking statements except as required by law."}, {"path": "tedlium_20556.wav", "duration": 8.67, "text": "And I think as we've said before, right, each one is on a different schedule in terms of shifting towards technology."}, {"path": "tedlium_20557.wav", "duration": 8.67, "text": "Our realized oil prices were also impacted by regional basis differentials. With the acceleration of industry activity in the Permian Basin,"}, {"path": "tedlium_20558.wav", "duration": 8.67, "text": "In terms of our cooperation, I'm trying to click through to that slide so we can all look at it at the same time."}, {"path": "tedlium_20559.wav", "duration": 8.67, "text": "and need to evaluate the best path forward that will give us the broadest application of our technology and the best return for our shareholders."}, {"path": "tedlium_20560.wav", "duration": 8.67, "text": "But I'm more focused on, if there is a team or if there's a group of people that makes sense for us, I'd rather focus on the quality of the book of business that they can help us grow."}, {"path": "tedlium_20561.wav", "duration": 8.67, "text": "This acquisition now extends CyberArk's market opportunity with revolutionary technology that takes us deeper into the DevOps life cycle."}, {"path": "tedlium_20562.wav", "duration": 8.67, "text": "And we are pursuing large opportunities in the aviation and health care sectors, which we anticipate will add to our visibility as the year progresses."}, {"path": "tedlium_20563.wav", "duration": 8.67, "text": "The sequential increase was primarily driven by net new business, securities lending, equity market values and money market fees."}, {"path": "tedlium_20564.wav", "duration": 8.67, "text": "With that being said, we continue to believe that we have the potential to hit our prior revenue targets and we want to guide external expectations"}, {"path": "tedlium_20565.wav", "duration": 8.67, "text": "We will offer more clarity on the potential impact of these changes on our core business when we provide our fiscal '19 outlook in December."}, {"path": "tedlium_20566.wav", "duration": 8.67, "text": "But what we have to remember is that the people on our front lines and our management team are all paid on the results of their transactions."}, {"path": "tedlium_20567.wav", "duration": 8.67, "text": "but we keep bumping into manufacturers and distributors. And we've said -- then we've done some market sizing. Of course, manufacturing and distribution are both"}, {"path": "tedlium_20568.wav", "duration": 8.67, "text": "As another part of our plan to increase liquidity, we have engaged various specialized consultants to help us identify cost savings in the business."}, {"path": "tedlium_20569.wav", "duration": 8.67, "text": "Thank you very much. Thanks for your questions. Thanks for your attendance. And I wish you a good rest of the afternoon. Thank you."}, {"path": "tedlium_20570.wav", "duration": 8.67, "text": "And we started offering also new propositions, you saw some of them in Rob's earlier slides. And these have gained traction in the second half of the year."}, {"path": "tedlium_20571.wav", "duration": 8.67, "text": "is that Facebook and Google both are partnering up with us. And we're getting a lot of access to a lot of very smart senior people"}, {"path": "tedlium_20572.wav", "duration": 8.67, "text": "Moving on to productivity. We shared our plan on productivity with you at the conference, so let me update you on where we are."}, {"path": "tedlium_20573.wav", "duration": 8.67, "text": "and our business -- our bilateral business with China. And we look forward to talking to you again in a couple months on our next call. Thank you all."}, {"path": "tedlium_20574.wav", "duration": 8.67, "text": "clients and institutions spend money. It's one of the reasons that's driving that solutions trend for us."}, {"path": "tedlium_20575.wav", "duration": 8.67, "text": "Our operating results for the first quarter of 2016 represented the best first quarter in our company's history."}, {"path": "tedlium_20576.wav", "duration": 8.67, "text": "is, we're very comparable to sales like division by division and focus more on creating that natural hedge within the business unit."}, {"path": "tedlium_20577.wav", "duration": 8.67, "text": "can you give us some sense around how much maintenance you had in the second half of last year or maybe how much you incurred in first half of this year?"}, {"path": "tedlium_20578.wav", "duration": 8.67, "text": "and believe that we've got our assets very well positioned for how we see the recovery playing out in the next couple of years."}, {"path": "tedlium_20579.wav", "duration": 8.67, "text": "including those discussed in the Risk Factors section of Dicerna's most current forms filed with the SEC. While"}, {"path": "tedlium_20580.wav", "duration": 8.67, "text": "We are in the late stages, we hope, of recruiting a Chief Product Officer, who will be a key player in our sustainable growth strategy."}, {"path": "tedlium_20581.wav", "duration": 8.67, "text": "these members, so that we can give them more products, more different experiences, which can generate a larger share of wallet. So"}, {"path": "tedlium_20582.wav", "duration": 8.67, "text": "we're just not going to talk about that. Also, there's a huge mergers and acquisitions activity going on in our marketplace right now."}, {"path": "tedlium_20583.wav", "duration": 8.67, "text": "we will see concurrent increases in the focus of our integrated marketing and services team towards Clinical Laboratory customers."}, {"path": "tedlium_20584.wav", "duration": 8.67, "text": "Are you willing to provide -- now that you're seeing some of these headwinds play out and addressing them, are you able and willing to give us"}, {"path": "tedlium_20585.wav", "duration": 8.67, "text": "and customer experience relies on the quality of interaction between a business' customers and its employees."}, {"path": "tedlium_20586.wav", "duration": 8.67, "text": "talk a bit about the kind of the shuffling of the project pipeline that you just mentioned. And it seems like it's something that's been kind of happening"}, {"path": "tedlium_20587.wav", "duration": 8.67, "text": "These statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the statements."}, {"path": "tedlium_20588.wav", "duration": 8.67, "text": "But the reason that we are confident in it is because now we've got a set of tools, we can go look at the process and we can bring in outside sets of eyes and expertise,"}, {"path": "tedlium_20589.wav", "duration": 8.67, "text": "Our strong results in 2015 reflect our continued progress with the year playing out essentially as we planned"}, {"path": "tedlium_20590.wav", "duration": 8.67, "text": "offsetting the costs of investing in our growing customer base and a small amount of pressure from the new financial instrument reporting rules."}, {"path": "tedlium_20591.wav", "duration": 8.67, "text": "and then I'll let Mike talk about the competitive aspect. Yes. In terms of the competitive aspects as it relates to driving pricing, I would"}, {"path": "tedlium_20592.wav", "duration": 8.67, "text": "We met with many qualified individuals during the search process and Gary's pedigree and tenure stood out as the perfect fit for us."}, {"path": "tedlium_20593.wav", "duration": 8.67, "text": "are very specialized and different from country to country, which gives them a lot of experience in looking at"}, {"path": "tedlium_20594.wav", "duration": 8.67, "text": "So that's our major focus right now with -- is getting this one right, which we're well on the track to."}, {"path": "tedlium_20595.wav", "duration": 8.67, "text": "For the full year, we delivered a solid 5% growth in our industrial category and saw growth across all of our key geographies and major product lines."}, {"path": "tedlium_20596.wav", "duration": 8.67, "text": "Thanks, operator. In our remarks today, we will include statements that are considered forward-looking statements within the meaning of United States securities laws."}, {"path": "tedlium_20597.wav", "duration": 8.67, "text": "of our sales force and their strong professional and personal interactions with many of the surgeons in attendance."}, {"path": "tedlium_20598.wav", "duration": 8.67, "text": "We remain laser focused on advancing our supply chain with our new partner, Vesta, again Berkshire Hathaway subsidiary"}, {"path": "tedlium_20599.wav", "duration": 8.67, "text": "the resources they have available to them to make technology decisions, they're not as significant as those in the Corporate segment,"}, {"path": "tedlium_20600.wav", "duration": 8.67, "text": "which runs through the end of 2017. Let me now touch on a few specific financial highlights from the third quarter."}, {"path": "tedlium_20601.wav", "duration": 8.67, "text": "and the outlook for '17 has been cut as well? Are you trying to make a distinction between what's expected on the tractor side versus the trailer side?"}, {"path": "tedlium_20602.wav", "duration": 8.67, "text": "Our forward-looking statements advisory is found on Slide 13, and the agenda for today's call is on the second slide. I'll now turn the call over to Chris."}, {"path": "tedlium_20603.wav", "duration": 8.67, "text": "Many of our builder customers who were delayed by adverse weather conditions in the first quarter are eager to resume a normal construction schedule."}, {"path": "tedlium_20604.wav", "duration": 8.67, "text": "We will also be keenly focused on integrating all of our current acquisitions and managing our existing businesses."}, {"path": "tedlium_20605.wav", "duration": 8.67, "text": "There is a planned acceleration of development in the second quarter of this year that will affect our all-in costs, although it will be development into higher grade areas."}, {"path": "tedlium_20606.wav", "duration": 8.67, "text": "The business has made good progress towards implementing the single policy administration system for both life and non-life insurance."}, {"path": "tedlium_20607.wav", "duration": 8.67, "text": "I continue to be very optimistic about the growth prospects in this market, given our long and successful history of solving challenges in hearing aids"}, {"path": "tedlium_20608.wav", "duration": 8.67, "text": "We received a lot of press coverage in March when we discussed our plans to close 2% to 3% of our store base this year."}, {"path": "tedlium_20609.wav", "duration": 8.67, "text": "And I will say, we've got to spend a little bit more time with the purchase accounting rules for writing up inventory to market value,"}, {"path": "tedlium_20610.wav", "duration": 8.67, "text": "Asia's reserve power organic sales in the second quarter experienced a second consecutive double-digit decline as China Tower"}, {"path": "tedlium_20611.wav", "duration": 8.67, "text": "Historically, there's been about a 15% keep of the assets that come through us on a year basis as they vest and flow through those accounts."}, {"path": "tedlium_20612.wav", "duration": 8.67, "text": "First, the regional context looks favorable due to the higher expected growth of Colombia's main trading partners, which support external demand."}, {"path": "tedlium_20613.wav", "duration": 8.67, "text": "And with any kind of luck, we'll position ourselves very well for the next couple of years if we just hang in there patiently for the next few quarters."}, {"path": "tedlium_20614.wav", "duration": 8.67, "text": "with existing customers and are getting our fair of shelf space -- our fair share of shelf space with our customers."}, {"path": "tedlium_20615.wav", "duration": 8.67, "text": "since we began reporting this metric a couple of years ago. As we define, organic revenue growth is the change in our consolidated management fee revenue"}, {"path": "tedlium_20616.wav", "duration": 8.67, "text": "where power rates were more where we expect them to run for the rest of the year and the overall gains we've made in pricing, we see ourselves well on track"}, {"path": "tedlium_20617.wav", "duration": 8.67, "text": "We are more consumer-centric, more efficient and more agile, which is enabling us to deliver consistent performance,"}, {"path": "tedlium_20618.wav", "duration": 8.67, "text": "Our productivity program is on track and has enabled us to up-weight investment in our brands and continue to expand margins."}, {"path": "tedlium_20619.wav", "duration": 8.67, "text": "I mean, it looks like -- I know we've asked this before, but it looks like you're going to be well ahead of the long-term target by the end of the year"}, {"path": "tedlium_20620.wav", "duration": 8.67, "text": "This demonstrates our bankers' ability to remain disciplined on pricing while generating plenty of opportunities for growth on the balance sheet."}, {"path": "tedlium_20621.wav", "duration": 8.67, "text": "a vague cost point there in terms of just on a dollar basis? And then when you say you're looking at the spreads for the applicable fuels,"}, {"path": "tedlium_20622.wav", "duration": 8.67, "text": "is attributed to our focus on generating cash flow from operations and managing our capital structure to maximize shareholder returns."}, {"path": "tedlium_20623.wav", "duration": 8.67, "text": "and has moved into new product lines, including specialty. And so when you take a look at that collection of businesses, again, that -- with the exception of Canada that doesn't produce scripts,"}, {"path": "tedlium_20624.wav", "duration": 8.67, "text": "These forward-looking statements are subject to risks and uncertainties that could cause actual results to be materially different from those currently anticipated."}, {"path": "tedlium_20625.wav", "duration": 8.67, "text": "These projects are designed to ensure that we are able to meet increased market demand more efficiently and effectively than the competition."}, {"path": "tedlium_20626.wav", "duration": 8.67, "text": "especially in light of the fact that we're going to have -- they're going to have to drag the broadcasters kicking and screaming to get there. So"}, {"path": "tedlium_20627.wav", "duration": 8.67, "text": "In addition, we've been focused on helping our customers add more content to their networks, add more consumer devices to their networks."}, {"path": "tedlium_20628.wav", "duration": 8.67, "text": "to understand what you expect in the coming year. We try to be conservative in that forecast. And then we obviously tried to put some"}, {"path": "tedlium_20629.wav", "duration": 8.67, "text": "So in other words, merchants are used to paying for digital payments, that they do not have a problem or a negotiation in terms of"}, {"path": "tedlium_20630.wav", "duration": 8.67, "text": "One of our main drivers in the international activity during the year was the continual ramp-up of our Integrated Drilling Services business."}, {"path": "tedlium_20631.wav", "duration": 8.67, "text": "Credit management will remain a key priority in 2016, especially amidst the weakened economic environment in Latin America."}, {"path": "tedlium_20632.wav", "duration": 8.67, "text": "why I mentioned holiday as being when you'll see the newest -- the assortment from the new team fully represented"}, {"path": "tedlium_20633.wav", "duration": 8.67, "text": "We're always looking to the long term, but these daily moves are nevertheless unsettling and we believe, grossly overdone."}, {"path": "tedlium_20634.wav", "duration": 8.67, "text": "we can now sell something else and potentially do an HR replacement to begin or a new HR implementation, because many times,"}, {"path": "tedlium_20635.wav", "duration": 8.67, "text": "So you did see some of that. But it doesn't flow through the overall numbers because of the increasing LIBOR rate"}, {"path": "tedlium_20636.wav", "duration": 8.67, "text": "The past sales opportunity is a unique characteristic of licensing businesses and one that we think will continue to be a nice value driver for us over the coming years."}, {"path": "tedlium_20637.wav", "duration": 8.67, "text": "We have committed to specific higher-margin targets and are already delivering margin improvements without sacrificing growth."}, {"path": "tedlium_20638.wav", "duration": 8.67, "text": "okay? So the expectation we had in the first place was of something that was underwritten on the current fuel environment as we see it."}, {"path": "tedlium_20639.wav", "duration": 8.67, "text": "to the extent we see, over time, real cost pressure, we have the ability to move both from a sourcing and a marketing standpoint for our customers"}, {"path": "tedlium_20640.wav", "duration": 8.67, "text": "we are now ready for your questions. Please limit yourself to two questions. If you are in the listening to the conference mode"}, {"path": "tedlium_20641.wav", "duration": 8.67, "text": "extending the maturity date 3 years beyond the credit facilities and providing additional capacity to support our acquisition strategy."}, {"path": "tedlium_20642.wav", "duration": 8.67, "text": "is using technologies like adaptive cruise control, lane departure, automatic braking, all of which compositely make for autonomy,"}, {"path": "tedlium_20643.wav", "duration": 8.67, "text": "growth in consumer solutions MedExpress parts of our business as well. And then really just focusing in terms of"}, {"path": "tedlium_20644.wav", "duration": 8.67, "text": "These statements are subject to risks and uncertainties that could cause actual results to differ materially from historical experience or present expectations."}, {"path": "tedlium_20645.wav", "duration": 8.67, "text": "Turning the page to Slide 5. Strategy for the business is to remain the leader in Graphic Papers,"}, {"path": "tedlium_20646.wav", "duration": 8.67, "text": "At this point, it's a little bit too soon to tell, given -- the one thing I can say is that with the new rules that have come out,"}, {"path": "tedlium_20647.wav", "duration": 8.67, "text": "Now that all our retail banners have implemented the same financial system, we will be moving to the straight-line method for all our depreciable assets."}, {"path": "tedlium_20648.wav", "duration": 8.67, "text": "in increasing our responsiveness to our customers and overall ease of doing business with Rotork. I'm pleased to announce,"}, {"path": "tedlium_20649.wav", "duration": 8.67, "text": "a combination of a lot of negative factors in the first quarter. We're pretty confident that's going to be as bad as it gets in terms of sales margins."}, {"path": "tedlium_20650.wav", "duration": 8.67, "text": "Among the changes we made to our segments is the inclusion of ADP Indemnity into the PEO segment earnings,"}, {"path": "tedlium_20651.wav", "duration": 8.67, "text": "appreciate the fact that he has a long background in brokerage. I think they believe in his vision of the future. So I'm as excited as can be"}, {"path": "tedlium_20652.wav", "duration": 8.67, "text": "and we want to keep our capital structure as straightforward and simple as possible. Of course, we always retain the flexibility to do a project financing."}, {"path": "tedlium_20653.wav", "duration": 8.67, "text": "We're investing in digital tools that will accelerate growth through more e-commerce and lower our transaction cost."}, {"path": "tedlium_20654.wav", "duration": 8.67, "text": "we achieved last year and in the early part of this year. I think that latter factor will continue, and we may see a little bit of upside"}, {"path": "tedlium_20655.wav", "duration": 8.67, "text": "these key initiatives and areas of focus for the company and I am pleased with the motivation and enthusiasm of our team."}, {"path": "tedlium_20656.wav", "duration": 8.6400625, "text": "Think of it as just the right amount of data and analytics to be a difference maker for our customers."}, {"path": "tedlium_20657.wav", "duration": 8.64, "text": "These declines were mostly offset by another strong quarter of growth in our EIS business as well as our MTS growth products."}, {"path": "tedlium_20658.wav", "duration": 8.64, "text": "With that, I'll turn the call over to Bob to discuss our financial performance. Following Bob's remarks, we will take your questions and conclude the call."}, {"path": "tedlium_20659.wav", "duration": 8.64, "text": "and we're very, very careful in doing that, and we're looking for the best talent that we can get, so expect for us to continue to grow that."}, {"path": "tedlium_20660.wav", "duration": 8.64, "text": "And Craig, I want to add something on this. If you look at Marvell, one of the things I've been most impressed with"}, {"path": "tedlium_20661.wav", "duration": 8.64, "text": "We have delivered on our promises and made strong progress with our key priorities."}, {"path": "tedlium_20662.wav", "duration": 8.64, "text": "you asked about what would be the second publication. And there will be a number of publications that will come out of the study."}, {"path": "tedlium_20663.wav", "duration": 8.64, "text": "they will be very helpful to manage that effort. We believe that this path is the way to enhancing long-term value for our shareholders."}, {"path": "tedlium_20664.wav", "duration": 8.64, "text": "One of the areas that I said in India is that we do not go full-fledged with the complete portfolio of categories immediately"}, {"path": "tedlium_20665.wav", "duration": 8.64, "text": "the growth of the company and legal and professional fees and costs related to various issues in 2018. Earnings from"}, {"path": "tedlium_20666.wav", "duration": 8.64, "text": "To get these prophylactic patients to switch and to get more patients on prophylactic therapy, you have to have something they really want."}, {"path": "tedlium_20667.wav", "duration": 8.64, "text": "So it's now full speed ahead. We're focused on execution and getting these trials up and running and driving them to completion."}, {"path": "tedlium_20668.wav", "duration": 8.64, "text": "The ability to take data, look at historical trends, look at machine utilization and come to better judgments on"}, {"path": "tedlium_20669.wav", "duration": 8.64, "text": "We've obviously got a more experienced team following appointments at the beginning of last year that are actually carrying through into this half."}, {"path": "tedlium_20670.wav", "duration": 8.64, "text": "The world doesn't need another diet. The world needs a leader in wellness and a brand that can bring wellness to everyone, not just a few."}, {"path": "tedlium_20671.wav", "duration": 8.64, "text": "where we'll be putting Kansas barrels on to our Pony Express system to take them to either refineries or Cushing."}, {"path": "tedlium_20672.wav", "duration": 8.64, "text": "this is kind of what we would have expected based upon kind of the last few years and how we see the business going forward. Jay, you want to add?"}, {"path": "tedlium_20673.wav", "duration": 8.64, "text": "Yes. And I also would just add to that, we continue to have a long-term horizon in terms of how we think about and invest in the emerging markets, and the"}, {"path": "tedlium_20674.wav", "duration": 8.64, "text": "I'm also happy to report that our rate discussions with the Commonwealth have gone well and that we received a rate increase of approximately 2.5% that"}, {"path": "tedlium_20675.wav", "duration": 8.64, "text": "the improvements seen in the first part of the year on the business side and as well on the capital position are confirmed by today's results."}, {"path": "tedlium_20676.wav", "duration": 8.64, "text": "in connectivity solutions. We are also very committed to not only those franchises but generating"}, {"path": "tedlium_20677.wav", "duration": 8.64, "text": "The transaction provides us with substantial synergy as we anticipate expanding our contract manufacturing revenues"}, {"path": "tedlium_20678.wav", "duration": 8.64, "text": "Thank you, Danny, and good morning, everyone. We would like to provide a brief update on the execution of the company's strategic vision and business plan."}, {"path": "tedlium_20679.wav", "duration": 8.64, "text": "Just another question. With all the business that you're anticipating, will the company have to raise capital? Or do you have enough capital to"}, {"path": "tedlium_20680.wav", "duration": 8.64, "text": "that's a fairly concise summary of what went on. If anyone has any questions with respect to"}, {"path": "tedlium_20681.wav", "duration": 8.64, "text": "But we had more inflation in the first part of the quarter, and we shifted quite definitively into a deflationary position as we exited the quarter."}, {"path": "tedlium_20682.wav", "duration": 8.64, "text": "No, it probably won't be part of the summer show. And ultimately, the market will see a consolidated combined"}, {"path": "tedlium_20683.wav", "duration": 8.64, "text": "Now I would like to explain more in depth about our results. Please look at the graph at the bottom center of the page."}, {"path": "tedlium_20684.wav", "duration": 8.64, "text": "taken together will challenge future growth and profitability for most legacy investment managers. However,"}, {"path": "tedlium_20685.wav", "duration": 8.64, "text": "And if you come down to the underlying combined ratio, you can see that this 1% up is coming from the underlying combined ratio which had moved"}, {"path": "tedlium_20686.wav", "duration": 8.64, "text": "bookings for the group was up 50% versus last year. And I think that's just giving a broad amount of indication for just how strong this is."}, {"path": "tedlium_20687.wav", "duration": 8.64, "text": "Please refer to schedules 2 and 3 at the end of our earnings release for a detailed reconciliation of our reported to adjusted results."}, {"path": "tedlium_20688.wav", "duration": 8.64, "text": "We have ramped up some spending on that to make sure that we're compliant and that we're continuing to drive innovation through our business."}, {"path": "tedlium_20689.wav", "duration": 8.64, "text": "We're going to continue to focus on the NEB process that we're involved in and all the requirements of that while we continue our project"}, {"path": "tedlium_20690.wav", "duration": 8.64, "text": "that is required to achieve the zone theming we set out to deliver and the principal CapEx investments that will support this delivery."}, {"path": "tedlium_20691.wav", "duration": 8.64, "text": "I'll conclude with a reiteration of our goal to drive double-digit service growth via a combination of organic growth and acquisitions."}, {"path": "tedlium_20692.wav", "duration": 8.64, "text": "With successful activities in both the prior and current year's second quarters, the moving parts are plentiful, and I will run through them today."}, {"path": "tedlium_20693.wav", "duration": 8.64, "text": "the federal transportation bill, the first time in 10 years that we've had a long-term bill, and then the private sector that is"}, {"path": "tedlium_20694.wav", "duration": 8.64, "text": "But -- so going to market, the strategy is to work with oncologists who will then use that product to help us"}, {"path": "tedlium_20695.wav", "duration": 8.64, "text": "Fortunately, we have an experienced and expert team of internal employees and external advisers who are currently working diligently on this important project."}, {"path": "tedlium_20696.wav", "duration": 8.64, "text": "I'm not sure if this was a mix issue or is distorted by the Ivy Hill transaction. But it seemed like you had originated"}, {"path": "tedlium_20697.wav", "duration": 8.64, "text": "So if you're in that game, and your game is marketing property, running your business efficiently and using data,"}, {"path": "tedlium_20698.wav", "duration": 8.64, "text": "Our deep premium inventory in multiple basins provides flexibility to adjust to changing operational conditions in any given basin."}, {"path": "tedlium_20699.wav", "duration": 8.64, "text": "Development of the underground mine is proceeding well. Our target is to have the first open production by the end of this year."}, {"path": "tedlium_20700.wav", "duration": 8.64, "text": "These new developments are in addition to other large-scale projects already under construction in our region, including the restoration of several downtown buildings and hotels."}, {"path": "tedlium_20701.wav", "duration": 8.64, "text": "I am very pleased to report that we significantly exceeded our expectations in several areas in the third quarter."}, {"path": "tedlium_20702.wav", "duration": 8.64, "text": "With that, I'd like to turn it over to Brian to discuss our third quarter financial performance and our outlook in more detail."}, {"path": "tedlium_20703.wav", "duration": 8.64, "text": "A significant amount of my next several weeks will be spent listening to clients and discussing opportunities for greater focus and engagement."}, {"path": "tedlium_20704.wav", "duration": 8.64, "text": "So those were the main items. And as you look at the income statement, moving to the income statement, I just want to pick up on some of the key areas."}, {"path": "tedlium_20705.wav", "duration": 8.64, "text": "All right, let me pivot for a moment and move from markets to talk about capital deployment because that's been a big piece of our story here"}, {"path": "tedlium_20706.wav", "duration": 8.64, "text": "what I wanted to understand is how much is this attributable to increasing contribution from railways and civil?"}, {"path": "tedlium_20707.wav", "duration": 8.64, "text": "With the progress in growing our CoreCivic Community portfolio as well as the near-term opportunities to grow our CoreCivic Properties portfolio"}, {"path": "tedlium_20708.wav", "duration": 8.64, "text": "In less than a year of full distribution, we are already gaining share in Johnnie Walker and Smirnoff."}, {"path": "tedlium_20709.wav", "duration": 8.64, "text": "We continue to make good progress on the implementation of the capital management framework that I spoke about last year."}, {"path": "tedlium_20710.wav", "duration": 8.64, "text": "The information in this presentation accompanies the financial disclosures in our earnings press release and on this conference call."}, {"path": "tedlium_20711.wav", "duration": 8.64, "text": "So as we go forward, and I think we've said this on a few calls in the past, we expect we'll see degradation in that value-added revenue per pound or the mix,"}, {"path": "tedlium_20712.wav", "duration": 8.64, "text": "The business outlook is subject to a number of risk factors. As the format of this morning's presentation does not permit a full discussion of these risk factors,"}, {"path": "tedlium_20713.wav", "duration": 8.64, "text": "Unit margins in our Chemical segment were up compared to the third quarter of 2017 on higher prices for TOFA, TOFA derivatives and other high-value products."}, {"path": "tedlium_20714.wav", "duration": 8.64, "text": "prosecution of the bad guys, who are the bad resellers. We do everything we can to continue to build the integrity"}, {"path": "tedlium_20715.wav", "duration": 8.64, "text": "At the same time, the margin expansion at the lab is also assisted by continually adding in-house developed technologies"}, {"path": "tedlium_20716.wav", "duration": 8.64, "text": "On the Los Angeles Refinery integration and compliance project, we are continuing with the permitting process, and we are now in the public comment period."}, {"path": "tedlium_20717.wav", "duration": 8.64, "text": "While we are no doubt facing some near-term challenges in our business, we continue to make good progress across our objectives in these areas."}, {"path": "tedlium_20718.wav", "duration": 8.64, "text": "a core capability. But it definitely wasn't before, and so we're struggling through some of those. But I think we're gaining a lot of great momentum."}, {"path": "tedlium_20719.wav", "duration": 8.64, "text": "and that does facilitate an easier discussion as we think about contracting those pricing models."}, {"path": "tedlium_20720.wav", "duration": 8.64, "text": "When we apply the same threshold and by the way, that change of 2.3 was seen at 1 week that was the deepest response they got. They"}, {"path": "tedlium_20721.wav", "duration": 8.64, "text": "in the latter half. The form in which we repatriate, we have a variety of tools for doing that. Obviously given the potential for tax reform,"}, {"path": "tedlium_20722.wav", "duration": 8.64, "text": "but I think it was more -- we didn't see the same volatility that some of the other banks had seen because of the nature of the portfolio that we had."}, {"path": "tedlium_20723.wav", "duration": 8.64, "text": "our experience would suggest there's a little bit more juice from a margin appreciation standpoint to going on our own in those categories."}, {"path": "tedlium_20724.wav", "duration": 8.64, "text": "Specifically, we are removing noncash items for this non-GAAP measure. We believe this metric is a better proxy for measuring the success of a high growth organization"}, {"path": "tedlium_20725.wav", "duration": 8.64, "text": "While our emphasis at Jennie-O Turkey Store is on value-added products, whole birds are an important part of the turkey supply chain."}, {"path": "tedlium_20726.wav", "duration": 8.64, "text": "if you look at the return on that investment in the finance department, you actually see that the rate of financial growth"}, {"path": "tedlium_20727.wav", "duration": 8.64, "text": "We were very pleased to see the Safety Assessment margin above 20% again and believe that we will continue to drive further improvement."}, {"path": "tedlium_20728.wav", "duration": 8.64, "text": "So as we assess this quarter's performance, in the aggregate, it represents another strong quarter for the overall company"}, {"path": "tedlium_20729.wav", "duration": 8.64, "text": "We have a well-diversified portfolio of products and markets in which we operate and are prepared to react should economic conditions change."}, {"path": "tedlium_20730.wav", "duration": 8.64, "text": "with supplemental disclosure to deliver enhanced clarity and transparency into how the operations of the combined company are shaping up."}, {"path": "tedlium_20731.wav", "duration": 8.64, "text": "what the ramp is in terms of the small business emphasis that Jason talked about as well as the sales of entertainment products,"}, {"path": "tedlium_20732.wav", "duration": 8.64, "text": "don't like to see a lot of disruption. So I think there's probably some pensiveness there."}, {"path": "tedlium_20733.wav", "duration": 8.64, "text": "Both MTY and Imvescor's board of directors have been unanimously supportive of this transaction,"}, {"path": "tedlium_20734.wav", "duration": 8.64, "text": "During the past year, we have also developed a family of outdoor products that provides a more competitive price with different performance levels."}, {"path": "tedlium_20735.wav", "duration": 8.64, "text": "going down. It seems that people that are choosing us again are making a value call, and they like what they're getting. It is"}, {"path": "tedlium_20736.wav", "duration": 8.64, "text": "I'm not going to speculate on what the right strategy is there. I would tell you in the markets that HUMIRA competes in,"}, {"path": "tedlium_20737.wav", "duration": 8.64, "text": "This presentation is based on our current expectations and involve certain risks and uncertainties that may cause actual results to differ significantly from such estimates."}, {"path": "tedlium_20738.wav", "duration": 8.64, "text": "We saw benefit coming through from the work on organizational effectiveness and also the benefits from the second year of zero-based budgeting."}, {"path": "tedlium_20739.wav", "duration": 8.64, "text": "I'm pleased with our progress in this half. And I'm confident we remain on track to deliver our guidance of mid-single-digit top line growth"}, {"path": "tedlium_20740.wav", "duration": 8.64, "text": "rail prices up and your pricing maybe down or how do you -- it still seems like it's still hard to kind of match it together unless you're saying well it's a little conservative on the guidance?"}, {"path": "tedlium_20741.wav", "duration": 8.64, "text": "because the drilling of the well -- companies that provide those drilling rigs do benefit early on from that revenue flow."}, {"path": "tedlium_20742.wav", "duration": 8.64, "text": "and adjustments to other income and expenses as a result of the Tropical Palms RV lease termination and settlement of the California litigation."}, {"path": "tedlium_20743.wav", "duration": 8.64, "text": "In line with our product diversification strategy, we recently launched a new line of bedding accessory products,"}, {"path": "tedlium_20744.wav", "duration": 8.64, "text": "to ensure that we deliver not only the best cost outcomes, but look at really what else can you do in managing the total member and what role can retail play in that."}, {"path": "tedlium_20745.wav", "duration": 8.64, "text": "The entire suite of topics evolving strategic sourcing, value engineering and design for manufacturing awaits us."}, {"path": "tedlium_20746.wav", "duration": 8.64, "text": "of course, we're not quite ready to talk about that yet. We haven't submitted yet. But clearly, we think this could be a benefit to"}, {"path": "tedlium_20747.wav", "duration": 8.64, "text": "In 2018, our global sales force will continue to educate health care providers on the importance of recognizing hypersensitivity reactions"}, {"path": "tedlium_20748.wav", "duration": 8.64, "text": "and upon contractual amendments as the learning curve associated with starting up production and transitions of manufacturing lines generates revenue,"}, {"path": "tedlium_20749.wav", "duration": 8.64, "text": "Our investment spending has been directed to new product development and the fast return cost savings project."}, {"path": "tedlium_20750.wav", "duration": 8.64, "text": "I guess, more looking forward, what still has you excited about some low-hanging fruits or some other aspects in that business you're still working towards?"}, {"path": "tedlium_20751.wav", "duration": 8.64, "text": "Technical work is underway and our current goal is to be in a position to share the results in mid-2016. We are very confident about this project."}, {"path": "tedlium_20752.wav", "duration": 8.64, "text": "Thanks, Tom, and good morning, everyone. Thank you for joining us today. We are very pleased with our third quarter performance."}, {"path": "tedlium_20753.wav", "duration": 8.64, "text": "as a percentage of sales in the fourth quarter in 2016 due to this transition from a leased to an owned business."}, {"path": "tedlium_20754.wav", "duration": 8.64, "text": "In addition, we achieved record third quarter earnings per share, while continuing to invest in our strategic initiatives."}, {"path": "tedlium_20755.wav", "duration": 8.64, "text": "The difference was largely due to a decrease in payables, primarily resulting from the timing of payments and increased accounts receivable."}, {"path": "tedlium_20756.wav", "duration": 8.64, "text": "Well, currently we have 2 boards. The university has a Board of Trustees that's responsible for overseeing the academic"}, {"path": "tedlium_20757.wav", "duration": 8.64, "text": "As a result, volume trends improved as we proceeded through the quarter and continuing into August."}, {"path": "tedlium_20758.wav", "duration": 8.64, "text": "In addition, we recently launched an emergency room diversion program, which is expected to produce savings beginning next quarter."}, {"path": "tedlium_20759.wav", "duration": 8.64, "text": "larger multimeter, multi-jurisdiction load in all of the geographies in which we have gen. And with respect to"}, {"path": "tedlium_20760.wav", "duration": 8.64, "text": "The impact of this increase was even higher as it was offset by efficiencies, largely in advertising production from Zero Based Budgeting."}, {"path": "tedlium_20761.wav", "duration": 8.64, "text": "that's another item that we're going to cover in the Analyst Day and get to show you all the detail from those smaller projects. We do have -- as we've"}, {"path": "tedlium_20762.wav", "duration": 8.64, "text": "Let's go through the details of the business units, and I continue on Page 6 of the slide deck."}, {"path": "tedlium_20763.wav", "duration": 8.64, "text": "And third, I don't want there to be any doubt, we are as excited as ever to have the Pinnacle family of brands in our portfolio."}, {"path": "tedlium_20764.wav", "duration": 8.64, "text": "we are -- basically, what we're saying is that we will -- we have seen enough progress. We are in clinical already"}, {"path": "tedlium_20765.wav", "duration": 8.64, "text": "focused on really adding more capability and leveraging all of this to drive even more faster growth"}, {"path": "tedlium_20766.wav", "duration": 8.64, "text": "While the purest in me initially thought mixed martial arts was kind of little more than street fighting, I really come to appreciate the sport as its fighters"}, {"path": "tedlium_20767.wav", "duration": 8.64, "text": "I just have a follow-up on Marcelo's first question. And I just want to get some more information in terms of the evolution of Linx Pay."}, {"path": "tedlium_20768.wav", "duration": 8.64, "text": "These risk factors contain a more detailed discussion of the factors that could cause actual results to differ materially from those projected in any forward-looking statements."}, {"path": "tedlium_20769.wav", "duration": 8.64, "text": "Some are self-inflicted, others were a function of more broader macro forces. However, I also want to emphasize that there are a lot of"}, {"path": "tedlium_20770.wav", "duration": 8.64, "text": "This is one of the primary reasons we have accelerated our trade cycles last year and invested in the enhanced safety equipment of our fleet."}, {"path": "tedlium_20771.wav", "duration": 8.64, "text": "Finally, I'd like to mention that the company recently began discussions with our union employees to negotiate a new collective bargaining agreement."}, {"path": "tedlium_20772.wav", "duration": 8.64, "text": "at the mark based on what we know today. We are certainly not idle and have moved quite quickly and effectively on the restructuring."}, {"path": "tedlium_20773.wav", "duration": 8.64, "text": "However, should a cap be introduced, we do not expect the impact to be material, given around 80% of our customers have no exit charge."}, {"path": "tedlium_20774.wav", "duration": 8.64, "text": "We invite you to read the complete disclaimer included in the first page of this presentation, which you will also find on our website in the IR section."}, {"path": "tedlium_20775.wav", "duration": 8.64, "text": "If you start to look at the technology or company that already has contracted customers or where devices are already sold,"}, {"path": "tedlium_20776.wav", "duration": 8.64, "text": "this year's budget is expected to be roughly 50-50. As we look toward next year and assuming commodity prices stay similar,"}, {"path": "tedlium_20777.wav", "duration": 8.64, "text": "Almost all the projects in this outer circle are located in British Columbia, and a number of them have been slowed by the spring flooding and the forest fires."}, {"path": "tedlium_20778.wav", "duration": 8.64, "text": "indicating lower levels compared to the last year and being better than our year-end targets."}, {"path": "tedlium_20779.wav", "duration": 8.64, "text": "and our proposition perspective overall? If you can provide some details there because first 9 months, it seems to be no different than last year."}, {"path": "tedlium_20780.wav", "duration": 8.64, "text": "to make this investment in this technology and positions us to bring this product to market 6 to 12 months sooner than the current schedule."}, {"path": "tedlium_20781.wav", "duration": 8.64, "text": "have to be keenly aware of the side effects on the oral , are you hearing any kind of feedback where,"}, {"path": "tedlium_20782.wav", "duration": 8.64, "text": "In this manner, we anticipate that we will be able to defer on a long-term basis any income taxes associated with spectrum surrendered through the auction."}, {"path": "tedlium_20783.wav", "duration": 8.64, "text": "opportunities that this could present for Sensient, could present for the market, and maybe some restrictions that it could present for you going forward?"}, {"path": "tedlium_20784.wav", "duration": 8.64, "text": "We've laid that out in our responses to the consultation. I know there are other views in the market, but the logic of it is basically, we think,"}, {"path": "tedlium_20785.wav", "duration": 8.64, "text": "We also continue to manage our capital aggressively and only invest where we see economically attractive returns in the core markets we operate in."}, {"path": "tedlium_20786.wav", "duration": 8.64, "text": "regarding making the investment that you have been talking about? And what is the time line for that, a reasonable timeline?"}, {"path": "tedlium_20787.wav", "duration": 8.64, "text": "has always been a major player in terms of giving steps in corporate governance, and this is another very important step."}, {"path": "tedlium_20788.wav", "duration": 8.64, "text": "our continued focus on leveraging growth synergies across the organization, expanding our product portfolio and entering new markets and geographic regions."}, {"path": "tedlium_20789.wav", "duration": 8.64, "text": "and can deal with that outside of this meeting. But it really was a financial decision ultimately at the end of the day. What we are"}, {"path": "tedlium_20790.wav", "duration": 8.64, "text": "And one of the things that I can tell you we've experienced is, is that by localizing supply in Asia, for example,"}, {"path": "tedlium_20791.wav", "duration": 8.64, "text": "We also believe product innovation is an important means of keeping our edge in a competitive market for cost-containment solutions."}, {"path": "tedlium_20792.wav", "duration": 8.64, "text": "First, across the business, we have experienced some lower levels of production and some turnover among a small number of our perennial top performers,"}, {"path": "tedlium_20793.wav", "duration": 8.6399375, "text": "and who are the personnel responsible for accomplishing that. So we're excited to get going on that once we merge."}, {"path": "tedlium_20794.wav", "duration": 8.6399375, "text": "Answer to your question broadly is the location of the next plant is something that we don't have to decide today."}, {"path": "tedlium_20795.wav", "duration": 8.6100625, "text": "The fourth quarter of 2017 concluded another strong year for Ares. We generated our highest quarterly levels of management fees"}, {"path": "tedlium_20796.wav", "duration": 8.6100625, "text": "And if they do survive, many need invasive ventilation or tracheostomy. Furthermore, due to the instability"}, {"path": "tedlium_20797.wav", "duration": 8.61, "text": "thanks to greater market penetration and our ability to accelerate sales of these products through our buildings and components channels."}, {"path": "tedlium_20798.wav", "duration": 8.61, "text": "The company's actual results may differ materially from the anticipated performance or results expressed or implied by these forward-looking statements."}, {"path": "tedlium_20799.wav", "duration": 8.61, "text": "So that study is going to have a couple different endpoints that we're going to dive into and provide detail around."}, {"path": "tedlium_20800.wav", "duration": 8.61, "text": "And for those of you that really try to track what's going on in this market for us,"}, {"path": "tedlium_20801.wav", "duration": 8.61, "text": "with regard to IoT as well as other implementations using the technology. And as I mentioned earlier,"}, {"path": "tedlium_20802.wav", "duration": 8.61, "text": "And in many ways, Ignite 2 ensures that we can move apace while we do this. And finally, driving an innovation agenda which is about making the technology in the business"}, {"path": "tedlium_20803.wav", "duration": 8.61, "text": "Look, I don't think that the growth in headcount is going to be at the level that we have had it in the past from an external"}, {"path": "tedlium_20804.wav", "duration": 8.61, "text": "Corporate profits in many cases have stabilized and have begun showing growth. Yet, we have not seen this translate into more robust lodging demand at this point."}, {"path": "tedlium_20805.wav", "duration": 8.61, "text": "and that has really impacted on the dilution. And at the same time, in establishing"}, {"path": "tedlium_20806.wav", "duration": 8.61, "text": "But for the individual initiatives, we want each of the companies to move swiftly and therefore, we have come up with this organization."}, {"path": "tedlium_20807.wav", "duration": 8.61, "text": "and in 2019 we should try to leverage on that lessons learned so that we will be able to revamp our growth."}, {"path": "tedlium_20808.wav", "duration": 8.61, "text": "And again, we have this core competency and an ability to do a lot of data manipulation and data crunching,"}, {"path": "tedlium_20809.wav", "duration": 8.61, "text": "in terms of speed, in terms of where we are right now, if I was to license this program next week,"}, {"path": "tedlium_20810.wav", "duration": 8.61, "text": "And we had another strong year of innovation, delivering about 3 points of incremental sales to the top line."}, {"path": "tedlium_20811.wav", "duration": 8.61, "text": "And we think it put tremendous pressure on the existing billing company. Adding a second, certainly makes sense. We've identified the markets"}, {"path": "tedlium_20812.wav", "duration": 8.61, "text": "These updates will align the achievement of Restaurateur status with the measurable elements that directly result in an excellent customer experience."}, {"path": "tedlium_20813.wav", "duration": 8.61, "text": "I guess, in a similar vein, do you think the issuance of the conforming securitization by Chase last month can be a meaningful part of the market?"}, {"path": "tedlium_20814.wav", "duration": 8.61, "text": "Our sector has an opportunity now to return to historical valuations by rationalizing operating models and cost structures,"}, {"path": "tedlium_20815.wav", "duration": 8.61, "text": "So how should we think about these projects? Is this like a risk of"}, {"path": "tedlium_20816.wav", "duration": 8.61, "text": "Since the last time I talked to you, we have also announced the sale of the Tabakoto assets, and that transaction is expected to close in the current quarter."}, {"path": "tedlium_20817.wav", "duration": 8.61, "text": "where we don't have relationships or deep relationships and so that's a very significant area of opportunity"}, {"path": "tedlium_20818.wav", "duration": 8.61, "text": "what were the assets that we're talking about here would just be a subset of the overall funds assets."}, {"path": "tedlium_20819.wav", "duration": 8.61, "text": "First, we are working to create subadvised index funds for inclusion in our MAP advisory programs."}, {"path": "tedlium_20820.wav", "duration": 8.61, "text": "activity and prompt and what we can offer will be something that we will do with multiple partners, and we're"}, {"path": "tedlium_20821.wav", "duration": 8.61, "text": "that we would do for our brand and for members and for individuals, especially that population,"}, {"path": "tedlium_20822.wav", "duration": 8.61, "text": "When we factor in about a point of revenue headwinds from natural disasters, our revenue growth was within the multiyear framework."}, {"path": "tedlium_20823.wav", "duration": 8.61, "text": "In the meantime, we have our solutions out there. We're working on a solution that would provide more comprehensive, if you will, syndicated coverage of all of that viewing,"}, {"path": "tedlium_20824.wav", "duration": 8.61, "text": "Our first half results reinforce the strength of our product portfolio, commercial execution and globalization effort."}, {"path": "tedlium_20825.wav", "duration": 8.61, "text": "With our specialized sales force, we will be able to broaden the reach of NOVADAQ's technology as we look to leverage our highly complementary customer bases."}, {"path": "tedlium_20826.wav", "duration": 8.61, "text": "but ERP systems continued to fill the void in terms of the whole financial planning and budgeting aspects and some of the financial aspects."}, {"path": "tedlium_20827.wav", "duration": 8.61, "text": "We also incurred some additional on-boarding costs related to new mobile programs expected to ramp up later in the year."}, {"path": "tedlium_20828.wav", "duration": 8.61, "text": "Overall, ATCO had a very busy year as we continue to transform into a globally diversified infrastructure holding company."}, {"path": "tedlium_20829.wav", "duration": 8.61, "text": "based on very few patients. Needs to be confirmed obviously, and that's what we're doing as we expand into the confirmation cohort."}, {"path": "tedlium_20830.wav", "duration": 8.61, "text": "Regarding 2018, I'll focus my prepared remarks this morning on the full year results. Please refer to the news release for additional details"}, {"path": "tedlium_20831.wav", "duration": 8.61, "text": "Through the actions we have already taken to date, we are achieving cost savings that will ultimately result in lower operating expenses,"}, {"path": "tedlium_20832.wav", "duration": 8.61, "text": "Additional information concerning factors that could cause our forward-looking statements not to occur is contained in our filings with the Securities and Exchange Commission"}, {"path": "tedlium_20833.wav", "duration": 8.61, "text": "Now even with years of savings, the High Street cost base is still substantial, and we continue to build a healthy pipeline of trials"}, {"path": "tedlium_20834.wav", "duration": 8.61, "text": "In addition, a much more severe instantaneous market risk scenario with significantly higher shock factors has been chosen."}, {"path": "tedlium_20835.wav", "duration": 8.61, "text": "or essentially offset by the combined impact of last year's flexibles acquisition and Peninsula, which was now in for the full quarter."}, {"path": "tedlium_20836.wav", "duration": 8.61, "text": "So at this moment I would say we have no reason to think it would change. We haven't seen any real indications"}, {"path": "tedlium_20837.wav", "duration": 8.61, "text": "which is intended to be an objective evaluation of the secular headwinds and also the opportunities currently facing our industry."}, {"path": "tedlium_20838.wav", "duration": 8.61, "text": "or as presented on the call to reflect the impact of circumstances or events that arise after the date the forward-looking statements are made."}, {"path": "tedlium_20839.wav", "duration": 8.61, "text": "So if you're talking epoxies in total, there is a significant piece there, but it's not on the specialty side. I was interpreting your question"}, {"path": "tedlium_20840.wav", "duration": 8.61, "text": "They bring a very educated perspective on the market, and they bring a very comprehensive network"}, {"path": "tedlium_20841.wav", "duration": 8.61, "text": "We are committed to maintaining a healthy balance sheet to support our growth strategy and enhance shareholder returns."}, {"path": "tedlium_20842.wav", "duration": 8.61, "text": "Going forward, I think your number is probably a little high certainly with respect to the first year"}, {"path": "tedlium_20843.wav", "duration": 8.61, "text": "Is that number inclusive of Entrada or exclusive of it? I know you guys have adjusted acquisitions previously. So I'll start there."}, {"path": "tedlium_20844.wav", "duration": 8.61, "text": "continuing to pursue efforts to divest certain oil and natural gas properties and investigating potential refinancing alternatives."}, {"path": "tedlium_20845.wav", "duration": 8.61, "text": "We are putting considerable effort into the e-commerce channel, but we are not giving up on brick-and-mortar outlets."}, {"path": "tedlium_20846.wav", "duration": 8.61, "text": "MS, we have very significant margins in that sector, but our second half will probably exceed our expectations relative to what we"}, {"path": "tedlium_20847.wav", "duration": 8.61, "text": "As we look forward, I'm confident we have the opportunity to continue this trend. We believe our net interest margin will continue to benefit from recent rate hikes,"}, {"path": "tedlium_20848.wav", "duration": 8.61, "text": "Today I'll be talking about the business in some detail and then I'll turn the call back over to Bill, our Chief Financial Officer, to talk about our financial results in the quarter."}, {"path": "tedlium_20849.wav", "duration": 8.61, "text": "If we determine that we need to update our projections to reflect the lower baseline coal utilization, we will, as we have done before,"}, {"path": "tedlium_20850.wav", "duration": 8.61, "text": "In Nigeria, we raised our shares further to 60%, and we bought out the minority shareholding in Egypt and surrounding countries."}, {"path": "tedlium_20851.wav", "duration": 8.61, "text": "this result has been fueled by a very good performance across all the geographies that AXA has."}, {"path": "tedlium_20852.wav", "duration": 8.61, "text": "the various programs in the various stages. So there'll be situations like we are this year where we have an inordinate amount of start-ups."}, {"path": "tedlium_20853.wav", "duration": 8.61, "text": "And so we're trying to move a lot from -- historically, our information has been lagging or historical."}, {"path": "tedlium_20854.wav", "duration": 8.61, "text": "Instead, we are pushing the bounds of technology applications for our law enforcement to truly deliver on our vision of an end-to-end experience."}, {"path": "tedlium_20855.wav", "duration": 8.61, "text": "as we have mentioned before, we have continued our investment in production capacity in China, and we, today, have"}, {"path": "tedlium_20856.wav", "duration": 8.61, "text": "These are only a few examples of the many hundreds of initiatives that have been delivered or are in the pipeline to be delivered."}, {"path": "tedlium_20857.wav", "duration": 8.61, "text": "through expansion of digital customer bases and efficient channel strategy and improvement of working processes, including management efficiency."}, {"path": "tedlium_20858.wav", "duration": 8.61, "text": "what -- you get into the accounting gymnastics of revenue recognition, what gets recognized at the end of the year and what gets pushed into"}, {"path": "tedlium_20859.wav", "duration": 8.61, "text": "And those have been reasonably strong, although not high-growth areas, but reasonably strong, just like all of our general industrial has been here in the first half."}, {"path": "tedlium_20860.wav", "duration": 8.61, "text": "and further enhances our focus around our leading consumer health care brands. It also allows for future capital reallocation opportunities."}, {"path": "tedlium_20861.wav", "duration": 8.61, "text": "specifically in Connection Technologies, resulting in segment margin dollars almost exactly on plan."}, {"path": "tedlium_20862.wav", "duration": 8.61, "text": "And so boy, with all that going on, to go switch gears and look at some other alternatives right now, I'd say is not a big focus for us."}, {"path": "tedlium_20863.wav", "duration": 8.61, "text": "But on the phones, we feel pretty good about getting good value for the investment plans we put out there and a great opportunity to generate value."}, {"path": "tedlium_20864.wav", "duration": 8.61, "text": "will contain statements that are forward looking and subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated."}, {"path": "tedlium_20865.wav", "duration": 8.61, "text": "Third, we see a fully integrated physician acute offering as a precursor to building a leading platform for evolving payment models."}, {"path": "tedlium_20866.wav", "duration": 8.61, "text": "do you see that, that can sustain from here on, and probably, that is the cost structure with which we will be operating from now on?"}, {"path": "tedlium_20867.wav", "duration": 8.61, "text": "Our challenges include evaluating the seismic issues and construction risk and making sure we can achieve our investment returns."}, {"path": "tedlium_20868.wav", "duration": 8.61, "text": "The results of Foresight Energy announced today reflect our continued success in the face of extremely challenging and very uncertain markets."}, {"path": "tedlium_20869.wav", "duration": 8.61, "text": "they all did, including our competitors. We made a big difference. We continue to make a big difference. And we're proud of that and extremely thankful and appreciative of our team."}, {"path": "tedlium_20870.wav", "duration": 8.61, "text": "I'd now like to take just a minute to provide a legal update regarding the pending litigation with our former contract manufacturer."}, {"path": "tedlium_20871.wav", "duration": 8.61, "text": "The impact of the July increase in the Bank of Canada's overnight rate was positive but not significant as it occurred relatively late in the quarter."}, {"path": "tedlium_20872.wav", "duration": 8.61, "text": "primarily related to our assumption that the telecom capital spending environment remains subdued throughout 2016, particularly during the first half of the year."}, {"path": "tedlium_20873.wav", "duration": 8.61, "text": "especially as we continue to grow our USA TODAY NETWORK to include more local markets and more new platforms."}, {"path": "tedlium_20874.wav", "duration": 8.61, "text": "lower silver sales and lower copper sales, if you look at the page to follow, we had average realized gold price in the quarter,"}, {"path": "tedlium_20875.wav", "duration": 8.61, "text": "Obviously, it's more fun to be adding people and growing the business that when you need to, we can move swiftly and take cost out of the organization"}, {"path": "tedlium_20876.wav", "duration": 8.61, "text": "through education, through more meaningful interaction with those stock plan participants, that this will be a big value driver for us go forward."}, {"path": "tedlium_20877.wav", "duration": 8.61, "text": "So we think it was an exceptionally strong quarter, and I think if you look against the industry, you'll find that the stats are quite strong."}, {"path": "tedlium_20878.wav", "duration": 8.61, "text": "As an example, customers often use the online channel when they are most certain about their purchase and the store channel when they are less certain."}, {"path": "tedlium_20879.wav", "duration": 8.61, "text": "Full tech support is a new Geek Squad offering that provides support for all of the customers' technology no matter where or when they bought it."}, {"path": "tedlium_20880.wav", "duration": 8.61, "text": "In Capital Markets, we provide compliance products and services to companies that are subject to the filing and reporting requirements of the SEC."}, {"path": "tedlium_20881.wav", "duration": 8.61, "text": "provide any more color on that? Could you say anything about the share of the business now being online, for example?"}, {"path": "tedlium_20882.wav", "duration": 8.61, "text": "We're in the early stages. We have a financially sound company. We generate strong free cash flow and have a strong balance sheet."}, {"path": "tedlium_20883.wav", "duration": 8.61, "text": "The favorable variance is largely offset by increased repairs and maintenance expenses as we cleaned up properties during the quarter following those storm events."}, {"path": "tedlium_20884.wav", "duration": 8.61, "text": "while we have done a number of these reserve adjustments, and the spend is going to overall be greater than we expected,"}, {"path": "tedlium_20885.wav", "duration": 8.61, "text": "Yes, so I'll take the first part of that, David. I think what we were saying was that in order to fund the remainder of what we have right now"}, {"path": "tedlium_20886.wav", "duration": 8.61, "text": "This acquisition accelerates our product development plans in specialty tools, injects new engineering talent and leverages our great distribution channel."}, {"path": "tedlium_20887.wav", "duration": 8.61, "text": "all of which positions us well, given the value proposition our products bring directly to address these very issues."}, {"path": "tedlium_20888.wav", "duration": 8.61, "text": "Following the rollout of our customer satisfaction and online reputation management program across our entire store base almost a year ago,"}, {"path": "tedlium_20889.wav", "duration": 8.61, "text": "versus, say, average sales price increase or reduction of variable costs? And then is this affecting at all where you see"}, {"path": "tedlium_20890.wav", "duration": 8.61, "text": "The combination of these factors, together with a large selloff in the equity markets due to concerns around global growth and increasing U.S. interest rates,"}, {"path": "tedlium_20891.wav", "duration": 8.61, "text": "These numbers exclude any capital related to our high-protein DDG project, which is still in the engineering and contracting phase."}, {"path": "tedlium_20892.wav", "duration": 8.61, "text": "We continued to deliver value to our customers through innovative dispensing and sealing solutions and manufacturing excellence."}, {"path": "tedlium_20893.wav", "duration": 8.61, "text": "While the company has started to see some early signs and more stable conditions in certain markets, we continue to expect the headwinds from soft market conditions"}, {"path": "tedlium_20894.wav", "duration": 8.61, "text": "Our strategy is focused on delivering strong, profitable growth through operational excellence and accretive acquisitions."}, {"path": "tedlium_20895.wav", "duration": 8.61, "text": "Now with a stronger backlog in hand and an improved operating footprint, we should be better positioned to take advantage of the increasing demand environment"}, {"path": "tedlium_20896.wav", "duration": 8.61, "text": "compliance and operating as one Stockland, to realize the synergies, the natural synergies that exist in that business."}, {"path": "tedlium_20897.wav", "duration": 8.61, "text": "Our backlog is up significantly from the same time a year ago and our 12-week order rates are positive in all geographies and segments."}, {"path": "tedlium_20898.wav", "duration": 8.61, "text": "that looks like any other foreign-based company in a territorial tax system. So we think that our global capital structure is appropriate for our company,"}, {"path": "tedlium_20899.wav", "duration": 8.61, "text": "We have changed our interpretation of the guidance and now are deferring revenue associated with warranty contracts for which services are performed over the life of contract."}, {"path": "tedlium_20900.wav", "duration": 8.61, "text": "Electrical Systems and Services where you are working off of a very large backlog, it does take time to pass through price increases."}, {"path": "tedlium_20901.wav", "duration": 8.61, "text": "While we exclude the fair market value changes from our core earnings, it is a simple fact that the value of servicing rights increases significantly in a rising rate environment,"}, {"path": "tedlium_20902.wav", "duration": 8.61, "text": "Okay. Would -- are there any costs incurred for the storm restoration included in your guidance?"}, {"path": "tedlium_20903.wav", "duration": 8.61, "text": "a business we started over 12 months ago focused on providing an integrated completion and fracturing offering in the unconventional market."}, {"path": "tedlium_20904.wav", "duration": 8.61, "text": "Our Kinh Do business in Vietnam continues to be a bright spot. Our teams are executing well as we integrate this business,"}, {"path": "tedlium_20905.wav", "duration": 8.61, "text": "struck by the turbines when they're migrating. So many things we're doing that are on the cusp of new technology that we're implementing today."}, {"path": "tedlium_20906.wav", "duration": 8.61, "text": "Question on the cash flow again from the lower tax rate. Your appendix indicates that you are expecting lower"}, {"path": "tedlium_20907.wav", "duration": 8.61, "text": "For those viewing our presentation, please turn to Slide 7. In the second quarter, we further diversified our portfolio."}, {"path": "tedlium_20908.wav", "duration": 8.61, "text": "This concludes today's conference. You may disconnect your lines at this time. Thank you for your participation."}, {"path": "tedlium_20909.wav", "duration": 8.61, "text": "While I suspect we will see an occasional bout of volatility during the year, we think the backdrop for real estate lending and ownership is good enough to provide numerous"}, {"path": "tedlium_20910.wav", "duration": 8.61, "text": "It feels very different now because our customers are talking about and actively trying to make those investments in their own capacity. Well, they see what's coming and they've got bigger backlogs."}, {"path": "tedlium_20911.wav", "duration": 8.61, "text": "but comping against the combination of Battlefield Hardline and Mortal Kombat was very tough as each of those titles sold 1 million units."}, {"path": "tedlium_20912.wav", "duration": 8.61, "text": "You can see some pictures of that store in the supplemental deck. We also have 34 collectibles stores overseas."}, {"path": "tedlium_20913.wav", "duration": 8.61, "text": "in terms of product availability and features, consumer awareness and purchase intent. We plan to provide an update each quarter."}, {"path": "tedlium_20914.wav", "duration": 8.61, "text": "And as I mentioned, we'll be confident of we'll be back into profitability this year. So notable projects around the world"}, {"path": "tedlium_20915.wav", "duration": 8.61, "text": "expected through the second half of the year, revenues and plant efficiencies are anticipated to improve and generate a more stable and predictable result profile."}, {"path": "tedlium_20916.wav", "duration": 8.61, "text": "We kept thinking that eventually, this workover business was going to have to snap back because so much of this maintenance work was being delayed"}, {"path": "tedlium_20917.wav", "duration": 8.61, "text": "the broadest and most comprehensive line of catheter-directed thrombolysis products in the market, which we believe will allow us to serve"}, {"path": "tedlium_20918.wav", "duration": 8.61, "text": "Our revenue growth has been driven by new product launches across a wide range of products due to changing consumer preferences."}, {"path": "tedlium_20919.wav", "duration": 8.61, "text": "like savory or beverage as it is a group of products. And those group of products could span any number of segments."}, {"path": "tedlium_20920.wav", "duration": 8.61, "text": "Participants may view the slides in any order they wish. The replay will be available shortly after the event is concluded."}, {"path": "tedlium_20921.wav", "duration": 8.61, "text": "I don't believe we're in that kind of a scenario today. I think what's happening is the second point that you were making is, that"}, {"path": "tedlium_20922.wav", "duration": 8.61, "text": "that the merger represents a highly compelling opportunity for companies and their shareholders."}, {"path": "tedlium_20923.wav", "duration": 8.61, "text": "a -- I mean you've always had a very good software-only solution, I think the market is probably moved,"}, {"path": "tedlium_20924.wav", "duration": 8.61, "text": "The investor presentation available on our website includes an appendix that reconciles these non-GAAP financial measures to GAAP measures."}, {"path": "tedlium_20925.wav", "duration": 8.61, "text": "We will however continue to make improvements, including more deep-dive analysis of equipment along with training and improving the skill of our people."}, {"path": "tedlium_20926.wav", "duration": 8.61, "text": "the Canadian heavy was impacted a little earlier by planned maintenance, unplanned maintenance in the fields."}, {"path": "tedlium_20927.wav", "duration": 8.61, "text": "we didn't want to say we're going to wait 3 years for these key-enabling pieces of the solution to come. So we took that step and developed that middle layer, which gives us those"}, {"path": "tedlium_20928.wav", "duration": 8.61, "text": "Thank you. That concludes today's conference call. Please disconnect your lines at this time, and we thank you for your participation."}, {"path": "tedlium_20929.wav", "duration": 8.61, "text": "Used vehicle sales volumes were better than expected and allowed us to reduce inventory levels to our target range sooner than expected."}, {"path": "tedlium_20930.wav", "duration": 8.61, "text": "And in closing, we have our work cut out for us in the months ahead with a clear set of priorities, which we normally outline each year."}, {"path": "tedlium_20931.wav", "duration": 8.61, "text": "Getting deals closed and started remains a high priority, and we expect to see significantly improved Adjacent Services performance"}, {"path": "tedlium_20932.wav", "duration": 8.61, "text": "beyond the end of July until new contracts are set up? Or should we just still continue to expect the RAC revenue to fall off at the end of July?"}, {"path": "tedlium_20933.wav", "duration": 8.61, "text": "Given strong underlying demand, pricing for aerospace aluminum plate has increased with 2 price increases announced this year."}, {"path": "tedlium_20934.wav", "duration": 8.61, "text": "cross-selling opportunities and how they are benefiting your revenue growth, certainly in addition to your positioning with"}, {"path": "tedlium_20935.wav", "duration": 8.61, "text": "the State Department has put it on this Fed Bid. Which makes it that you've got to bid on every one of the contracts. And what it has done is,"}, {"path": "tedlium_20936.wav", "duration": 8.58, "text": "And that may also lead to further market share gains in the automotive, as indicated in the comments."}, {"path": "tedlium_20937.wav", "duration": 8.58, "text": "As a result, these transactions can take longer to complete than normal, but the benefit is the opportunity to complete an acquisition without competition."}, {"path": "tedlium_20938.wav", "duration": 8.58, "text": "So when I stand up again, I'll take you through how those lessons have helped us to reset the business for growth. I think we've got a great plan."}, {"path": "tedlium_20939.wav", "duration": 8.58, "text": "the actual costs, but we haven't been in a period of running at steady state at all."}, {"path": "tedlium_20940.wav", "duration": 8.58, "text": "connects to any bank account and lets you transfer money directly and instantly from your checking account to your new spending account. We believe this is the first in Canada."}, {"path": "tedlium_20941.wav", "duration": 8.58, "text": "and then become more of the primary provider of the service as time goes on and then they help scale"}, {"path": "tedlium_20942.wav", "duration": 8.58, "text": "And as an operator, virtualization will enable us to run multiple services on the same generic hardware."}, {"path": "tedlium_20943.wav", "duration": 8.58, "text": "is less of mixing and matching loan pools. It's more of looking ahead and refinancing proactively, capitalizing on"}, {"path": "tedlium_20944.wav", "duration": 8.58, "text": "with a little bit of optimism for infrastructure pick up, is there an appetite to re-fleet in any way or is it really just putting"}, {"path": "tedlium_20945.wav", "duration": 8.58, "text": "We do not undertake and specifically disclaim any obligation to update or revise this information except as required by law."}, {"path": "tedlium_20946.wav", "duration": 8.58, "text": "Yourself and the company actually mentioned that you want to build smelters in different locations around the world."}, {"path": "tedlium_20947.wav", "duration": 8.58, "text": "We have increased the forecast to account for the impact of the continued weak yen on results from the first quarter through the third quarter."}, {"path": "tedlium_20948.wav", "duration": 8.58, "text": "Another option is to bypass that provider, try to go right to the SAP system that all of these entities are using and we're also looking at that."}, {"path": "tedlium_20949.wav", "duration": 8.58, "text": "As a first move, we have just announced the partnership with Fresh Realm, the leading challenger brand in the fresh foods market"}, {"path": "tedlium_20950.wav", "duration": 8.58, "text": "rewarding shareholders and making the investments necessary to sustain and expand upon our competitive position for the long term."}, {"path": "tedlium_20951.wav", "duration": 8.58, "text": "The discovery of the instances of unauthorized usage continues to create opportunities for Reis' compliance team to engage in productive conversations"}, {"path": "tedlium_20952.wav", "duration": 8.58, "text": "for an extended period if they should so desire. So very happy with what's going on down there and continue to be happy and expect that will go for"}, {"path": "tedlium_20953.wav", "duration": 8.58, "text": "We're comfortable paying a higher rate to win the initial deposit relationship even if that results in short-term NIM compression"}, {"path": "tedlium_20954.wav", "duration": 8.58, "text": "and others backing out of the Marketplace as they're raising prices much more dramatically, are you concerned at all that you're going to pick up some of their less healthy populations"}, {"path": "tedlium_20955.wav", "duration": 8.58, "text": "It really is going to depend on where some of the acquisitions are sourced, because some of the international acquisition opportunities"}, {"path": "tedlium_20956.wav", "duration": 8.58, "text": "Now let's look at Specialty Property, which delivered a strong quarter despite ongoing normalization in lender-placed."}, {"path": "tedlium_20957.wav", "duration": 8.58, "text": "To that end, we now have a fully developed corporate strategy team dedicated to exploring and analyzing these opportunities."}, {"path": "tedlium_20958.wav", "duration": 8.58, "text": "With our licensed agents, we're now offering Medicare Supplement insurance to help our customers pay some of the hospital and Medicare costs,"}, {"path": "tedlium_20959.wav", "duration": 8.58, "text": "Excluding this windfall tax from the current year and exit taxes associated with our European reorganization from the prior year,"}, {"path": "tedlium_20960.wav", "duration": 8.58, "text": "Ultimately, I think in generics, time is money. We want to get these products out as quickly as possible, and we don't want to be"}, {"path": "tedlium_20961.wav", "duration": 8.58, "text": "to allow these patients to lead as normal a life as possible or as independent a life as possible."}, {"path": "tedlium_20962.wav", "duration": 8.58, "text": "much more job security for the people working for us but also working in the postal market than we can today."}, {"path": "tedlium_20963.wav", "duration": 8.58, "text": "If the industry is in decline, what do you think has been driving that? And do you expect declines to continue, or is there something that will flip the industry back to"}, {"path": "tedlium_20964.wav", "duration": 8.58, "text": "increase potentially our revenue, but equally, be -- make us even more attractive to the supply chain for food safety adoption."}, {"path": "tedlium_20965.wav", "duration": 8.58, "text": "this will be a business that over the next several years should demonstrate the earnings leverage and its potential in taking great care of its customers."}, {"path": "tedlium_20966.wav", "duration": 8.58, "text": "Several have tried to place products in other existing platforms, and we've never accepted because obviously everyone wants"}, {"path": "tedlium_20967.wav", "duration": 8.58, "text": "on the infrastructure side and we've also been quoting some mass transit work. But it just hasn't materialized like oil and gas and ag and mining that have come back nicely."}, {"path": "tedlium_20968.wav", "duration": 8.58, "text": "To conclude my remarks, I would like to say that we are in a relatively good position, probably the best we've had in a decade,"}, {"path": "tedlium_20969.wav", "duration": 8.58, "text": "Our premier tools, powered by mass cytometry and microfluidic technologies provide deep insights across a range of many diseases."}, {"path": "tedlium_20970.wav", "duration": 8.58, "text": "Also during this presentation, CapStar may make certain comments that constitute forward-looking statements within the meaning of the federal securities laws."}, {"path": "tedlium_20971.wav", "duration": 8.58, "text": "I don't think it's going to grow as fast as the Fiscal Board predicted obviously at the beginning of the term, because federal funds have come in much slower than expected."}, {"path": "tedlium_20972.wav", "duration": 8.58, "text": "And it's been very impressive to see its growth. It's a global company. It's not just a Spanish company. It has facilities on a global basis."}, {"path": "tedlium_20973.wav", "duration": 8.58, "text": "Our operations team did an excellent job delivering the significant increase in revenue, while keeping control over our fixed cost."}, {"path": "tedlium_20974.wav", "duration": 8.58, "text": "highly variable seasonal swing for Robotics as we roll out of Q1 into the rest of the year. If Q1 is going to be"}, {"path": "tedlium_20975.wav", "duration": 8.58, "text": "up and running. It didn't mean we couldn't do payments before. It just -- we couldn't do forwards and we're not doing forwards in the bank yet,"}, {"path": "tedlium_20976.wav", "duration": 8.58, "text": "sustainable high volume supply of finer mesh Northern White. The one thing we would say is, these other basins are getting busier"}, {"path": "tedlium_20977.wav", "duration": 8.58, "text": "programs where we come in into projects as some sort of preferred player. So I don't think you'll see us"}, {"path": "tedlium_20978.wav", "duration": 8.58, "text": "While it's too soon for us to discuss the timing of sales or pricing for these properties, we believe there will be significant interest from a wide pool of potential buyers."}, {"path": "tedlium_20979.wav", "duration": 8.58, "text": "But until then, we're maintaining our policy that we're better off with our competitors not knowing how much subsidies we're doing."}, {"path": "tedlium_20980.wav", "duration": 8.58, "text": "The JCR acquisition now gives us a platform that combines our access to deal flow with sources of capital looking to invest"}, {"path": "tedlium_20981.wav", "duration": 8.58, "text": "Our company remarks on today's call include both our earnings results and guidance, which contains certain non-GAAP financial measures."}, {"path": "tedlium_20982.wav", "duration": 8.58, "text": "But that hasn't really shown up yet. And so what you're seeing is kind of a continued extension of good solid execution the way things were"}, {"path": "tedlium_20983.wav", "duration": 8.58, "text": "but we're working pretty darn hard and making some real progress. You mentioned the holistic approach towards serving the customer and giving them"}, {"path": "tedlium_20984.wav", "duration": 8.58, "text": "We will weigh capital investment alternatives and adjust our capital trajectory as needed with the best interest of our shareholders in mind."}, {"path": "tedlium_20985.wav", "duration": 8.58, "text": "we purchased the bank in June of last year, so our 20% equity stake"}, {"path": "tedlium_20986.wav", "duration": 8.58, "text": "And Gates is very well positioned in those applications where we have much more significant content"}, {"path": "tedlium_20987.wav", "duration": 8.58, "text": "We are the premier and largest valve distributor, and this proves our commitment to not only maintain but extend this leadership position."}, {"path": "tedlium_20988.wav", "duration": 8.58, "text": "the second quarter, we'll get the full benefit of the lion's share of savings out of OIB in the third quarter."}, {"path": "tedlium_20989.wav", "duration": 8.58, "text": "there have been a whole host of examples of exits that we've made from companies that, frankly, we weren't thrilled with performance in. So we talk about backing our incumbent winners a lot,"}, {"path": "tedlium_20990.wav", "duration": 8.58, "text": "So can you just talk about where you were promotionally in the second quarter compared to the first quarter? And then, how do you think about that going forward?"}, {"path": "tedlium_20991.wav", "duration": 8.58, "text": "but that doesn't mean that we will not have this subject coming up in the next one. So as the evolution of the markets"}, {"path": "tedlium_20992.wav", "duration": 8.58, "text": "early into this year. It's kind of broad-based. It makes us feel good that the processes are working and our market coverage model seems to be well received."}, {"path": "tedlium_20993.wav", "duration": 8.58, "text": "So I think we gave you some statistics which are very generalized but basically kind of said, hey, of our proprietary brand portfolio,"}, {"path": "tedlium_20994.wav", "duration": 8.58, "text": "like returning patients back to work or the reduction of ICU and hospital length of stay that we've already seen in the NEWTON study."}, {"path": "tedlium_20995.wav", "duration": 8.58, "text": "We do have schedules on hand, and we know what our shipping windows are and what our obligations are relative to their schedules."}, {"path": "tedlium_20996.wav", "duration": 8.58, "text": "No, I think it was a good quarter in a number of levels. Volumes are holding up well. We are seeing strong demand on the refuse side."}, {"path": "tedlium_20997.wav", "duration": 8.58, "text": "Any sense when the majors might be ready to build new offshore rigs or getting any sense of what it looks like looking out to the future?"}, {"path": "tedlium_20998.wav", "duration": 8.58, "text": "we -- Oscar, we've actually been a little bit worried about the sustainability of these investment levels with the low"}, {"path": "tedlium_20999.wav", "duration": 8.58, "text": "We also will expand revenues for the Cargo and Mail business shown in green and the LCC business shown in orange."}, {"path": "tedlium_21000.wav", "duration": 8.58, "text": "We're seeing an opportunity to bring our solutions from other parts of the world and to localize for the local taste"}, {"path": "tedlium_21001.wav", "duration": 8.58, "text": "The first area that I'd like to cover, revenue trends, have been mixed with both some positives and some soft spots during the past few months."}, {"path": "tedlium_21002.wav", "duration": 8.58, "text": "that we think are relevant to the market, main terms of our agreement with Renova. So first bucket, dividends."}, {"path": "tedlium_21003.wav", "duration": 8.58, "text": "We continue to progress our high level of organic capital projects, and we believe these will provide increased profit growth in future years."}, {"path": "tedlium_21004.wav", "duration": 8.58, "text": "We have identified several step out opportunities, which will allow us to accelerate growth and profitability in the coming years."}, {"path": "tedlium_21005.wav", "duration": 8.58, "text": "And we think we can support our existing rates in a pretty straightforward way. So we don't anticipate meaningful, if any,"}, {"path": "tedlium_21006.wav", "duration": 8.58, "text": "More detailed information on our reserves and resources can be found in our AIF and reserves press release issued this morning."}, {"path": "tedlium_21007.wav", "duration": 8.58, "text": "After all, we're changing the way we operate and run the business. The early results from some of the first transformations have been very positive and encouraging."}, {"path": "tedlium_21008.wav", "duration": 8.58, "text": "We're working hard to build something great for first responders, and early response from our sales activities has been very positive."}, {"path": "tedlium_21009.wav", "duration": 8.58, "text": "Over the next 5 years, we'll be putting Band 14 on tens of thousands of new and existing sites nationwide."}, {"path": "tedlium_21010.wav", "duration": 8.58, "text": "He's got the right experience. He's going to bring a ton of focus, as we've talked about, to take what we think is a very"}, {"path": "tedlium_21011.wav", "duration": 8.58, "text": "That's settling down very well, but there is -- there's certainly another 6 months to a year of work to be done there I would say to get back to"}, {"path": "tedlium_21012.wav", "duration": 8.58, "text": "Our consultants determined the nature and extent of the breach while providing support for communications to regulators and law enforcement."}, {"path": "tedlium_21013.wav", "duration": 8.58, "text": "and that these additional statistics can better allow our investors to understand the value of the customer base as it continues to grow."}, {"path": "tedlium_21014.wav", "duration": 8.58, "text": "Tom, it's Rob. So Japan goes into the same basket that I -- when I commented on seeing strong cash flow and distributable cash flow"}, {"path": "tedlium_21015.wav", "duration": 8.58, "text": "obviously don't comment on transactions in the abstract. I will say that we have been"}, {"path": "tedlium_21016.wav", "duration": 8.58, "text": "which is not different than the market averages. But we have room to grow, and we'll not hesitate"}, {"path": "tedlium_21017.wav", "duration": 8.58, "text": "This transaction is expected to close on or around February 28. But is subject to usual closing conditions."}, {"path": "tedlium_21018.wav", "duration": 8.58, "text": "We estimate our full year tax rate, which reflects the impact of tax reform and stock compensation rules,"}, {"path": "tedlium_21019.wav", "duration": 8.58, "text": "a focused sales and support channel that provides significant value to our customers and a strong network of integration partners."}, {"path": "tedlium_21020.wav", "duration": 8.58, "text": "On the education front, we continue to advance our robust public relations campaign to raise awareness around the need for opioid-sparing pain management strategies."}, {"path": "tedlium_21021.wav", "duration": 8.58, "text": "For the consumer, this includes One Touch payment, buyer protection and instant bank funding."}, {"path": "tedlium_21022.wav", "duration": 8.58, "text": "We aspire to be the de facto operating system for mobile and digital commerce around the world,"}, {"path": "tedlium_21023.wav", "duration": 8.58, "text": "With IP launches occurring on a near-weekly basis, we are finding that Collectibles provides us a consistent revenue stream and traffic driver"}, {"path": "tedlium_21024.wav", "duration": 8.58, "text": "see forward-looking statements included in Item 2, Management's Discussion and Analysis of Financial Condition and Results of Operations,"}, {"path": "tedlium_21025.wav", "duration": 8.58, "text": "We have built reserves. Now we have to assess when to say they are redundancy. And -- but we are in a very good position at this stage."}, {"path": "tedlium_21026.wav", "duration": 8.58, "text": "These discussions have progressed to a point where we now better understand our cost responsibilities between parties and can more accurately estimate our costs."}, {"path": "tedlium_21027.wav", "duration": 8.58, "text": "We continued to have strong relationships with key national billboard companies and expect demand to pick up again early next calendar year"}, {"path": "tedlium_21028.wav", "duration": 8.58, "text": "The savings span across most marketing activities, including media, experiential and right through to point of sale."}, {"path": "tedlium_21029.wav", "duration": 8.58, "text": "But our ambition is not to create price wars, we don't follow price wars, and we certainly don't condone any price wars in the market."}, {"path": "tedlium_21030.wav", "duration": 8.58, "text": "Finally, we are making progress in the expansion of our business as evidenced by our performance in Installation Services."}, {"path": "tedlium_21031.wav", "duration": 8.58, "text": "administration services only or ASO contract with the state of New York at the beginning of the second quarter."}, {"path": "tedlium_21032.wav", "duration": 8.58, "text": "between the last year and this year's performance on numbers of registered actives, it is actually stable now versus last year."}, {"path": "tedlium_21033.wav", "duration": 8.58, "text": "But globally, please note that those bolt-on acquisitions are very consistent with what we have been doing over the last few"}, {"path": "tedlium_21034.wav", "duration": 8.58, "text": "including installation costs due under the contract. We are still working on the detailed terms which we will share when finalized."}, {"path": "tedlium_21035.wav", "duration": 8.58, "text": "look to push down. So there's an element to that built in, Sunil, but I would say that whether it's that or whether it's putting gas in the trucks"}, {"path": "tedlium_21036.wav", "duration": 8.58, "text": "At the end of the second quarter, MDU filed with the North Dakota Public Service Commission an advance determination of prudence to purchase the expansion."}, {"path": "tedlium_21037.wav", "duration": 8.58, "text": "I want to spend the rest of my remarks this afternoon updating you on our progress in preparing for the accelerated approval application."}, {"path": "tedlium_21038.wav", "duration": 8.58, "text": "pretty much on track, and we've got -- we're going to be able to really toe the line on not being behind schedule, by the end of the year."}, {"path": "tedlium_21039.wav", "duration": 8.58, "text": "We're very pleased with this revenue mix as it reflects the recurring nature of our revenue and provides added predictability to our results."}, {"path": "tedlium_21040.wav", "duration": 8.58, "text": "The most significant factors that could affect future results are outlined in Monro's filings with the SEC and in our earnings release."}, {"path": "tedlium_21041.wav", "duration": 8.58, "text": "were unique that would have put a little bit of pressure on our margins. But I think, without -- absent the investment, I think"}, {"path": "tedlium_21042.wav", "duration": 8.58, "text": "Capital expenditures are tracking slightly higher versus planned as certain of the expenditures that were expected to occur pre spin"}, {"path": "tedlium_21043.wav", "duration": 8.58, "text": "But what we firmly believe is that in 2018, that we will see a modest price increase in the net basis."}, {"path": "tedlium_21044.wav", "duration": 8.58, "text": "looking to replace disappearing traditional phone lines with advanced wireless cellular communications technology."}, {"path": "tedlium_21045.wav", "duration": 8.58, "text": "At NAPCO, we take their feedback and market insight seriously. The good news is that based on our conversations,"}, {"path": "tedlium_21046.wav", "duration": 8.58, "text": "any thoughts in terms of how much higher it could possibly go or at least stay at these elevated levels?"}, {"path": "tedlium_21047.wav", "duration": 8.58, "text": "For our part, we will honor their service by keeping people first in everything we do. Thank you, and have a quality day."}, {"path": "tedlium_21048.wav", "duration": 8.58, "text": "the same effect as we have said over the last couple of quarters, scaling specific industry solutions."}, {"path": "tedlium_21049.wav", "duration": 8.58, "text": "We've signed a number of confidentiality agreements with quality costumers and are discussing material term contracts for our expansion volumes."}, {"path": "tedlium_21050.wav", "duration": 8.58, "text": "and we do understand the government's desire to reduce energy prices overall. But this has resulted in numerous regulatory reform interventions"}, {"path": "tedlium_21051.wav", "duration": 8.58, "text": "With that said, we're also getting pricing, fairly significant pricing as a consequence of the devaluation that have occurred down there from a currency standpoint."}, {"path": "tedlium_21052.wav", "duration": 8.58, "text": "and, importantly, they want to do more with us. Rarely in my business career have I seen such an enthusiastic customer base."}, {"path": "tedlium_21053.wav", "duration": 8.58, "text": "and EBIT for Q4 results and recognize that these results are an accumulation on many individuals' efforts and focus."}, {"path": "tedlium_21054.wav", "duration": 8.58, "text": "Are there capabilities now that you didn't have before that you have now? Is it there's more clarity on productivity efforts that enable the investment at this point?"}, {"path": "tedlium_21055.wav", "duration": 8.58, "text": "back growing again in -- more significantly is a critical piece of our overall performance. But our Power Brands will continue to be"}, {"path": "tedlium_21056.wav", "duration": 8.58, "text": "and the distribution improvements, which we fully believe will get approved by the New York Commission, but they haven't been yet so we're putting that in the highly likely category."}, {"path": "tedlium_21057.wav", "duration": 8.58, "text": "We should remember when we look at the operating income, yes, it is weaker than last year. Part of the"}, {"path": "tedlium_21058.wav", "duration": 8.58, "text": "Or a mix of both? And then, if you had any initial takeaways from the early openings of the ThinkGeek stores."}, {"path": "tedlium_21059.wav", "duration": 8.58, "text": "sales tender process, where a greater number of exceptional stones will be sold as part of our regular sales tender."}, {"path": "tedlium_21060.wav", "duration": 8.58, "text": "buying to this low single plan and then you're chasing? Are you, as a retailer, sort of taking the same point of view as"}, {"path": "tedlium_21061.wav", "duration": 8.58, "text": "It is definitely in an early stage, but highly interesting from the technology and very complementary to Advanced Technologies."}, {"path": "tedlium_21062.wav", "duration": 8.58, "text": "So between the volume of pricing and the fact that the usual kind of assumptions haven't yet played out,"}, {"path": "tedlium_21063.wav", "duration": 8.58, "text": "and remain a proprietary important branded product of United Therapeutics. First and foremost,"}, {"path": "tedlium_21064.wav", "duration": 8.58, "text": "We will aggressively go after new private networks deals, where our technology and services are highly differentiated."}, {"path": "tedlium_21065.wav", "duration": 8.58, "text": "would you consider moving that to RIDEA structure? Should we expect maybe for you to do more RIDEA or some other kind of operating joint"}, {"path": "tedlium_21066.wav", "duration": 8.58, "text": "We've been looking for the right expansion opportunity for quite a while and we were excited to find an excellent partner in TAC,"}, {"path": "tedlium_21067.wav", "duration": 8.58, "text": "flexibility and the ability to sort of redeploy that -- any capital we currently have. And that's effectively what our strategy is."}, {"path": "tedlium_21068.wav", "duration": 8.58, "text": "So what would you be looking for to move back into some of those opportunities you shared that Dynex needs to be in some of those deeper credit"}, {"path": "tedlium_21069.wav", "duration": 8.58, "text": "We continue to successfully execute our strategy to increase market share by focusing on targeted customers across all business lines,"}, {"path": "tedlium_21070.wav", "duration": 8.58, "text": "With the recent deepening of our advisory business, we expect to add significantly more value for our care delivery customers."}, {"path": "tedlium_21071.wav", "duration": 8.58, "text": "So it's kind of the confluence of both of those that we think is going to lead to or is leading to more folks thinking about selling."}, {"path": "tedlium_21072.wav", "duration": 8.58, "text": "Our purpose, vision and values together guide the organization, why we exist and what we stand for. This clarity is vital as we look to the future."}, {"path": "tedlium_21073.wav", "duration": 8.58, "text": "to the total number including redevelopment. That's what you've always seen the more detailed same-property disclosure from us in the supplemental around"}, {"path": "tedlium_21074.wav", "duration": 8.58, "text": "As I wrap up, let me say that we remain committed to maintaining a strong balance sheet while also executing the capital strategy Glenn described earlier."}, {"path": "tedlium_21075.wav", "duration": 8.58, "text": "like to go back to the blade server and the opportunities there. And you mentioned that possibly some sites outside Alaska"}, {"path": "tedlium_21076.wav", "duration": 8.58, "text": "implementing a lot of the same best practice and also excited by seeing that our wholesaling -- wholesale partners"}, {"path": "tedlium_21077.wav", "duration": 8.58, "text": "business revenues grew mid single digits in the fourth quarter, and we plan to maintain the price increases that we've implemented"}, {"path": "tedlium_21078.wav", "duration": 8.58, "text": "Moving now to strategic initiatives. Last quarter, we announced that we are implementing a comprehensive corporate and operating cost reduction program."}, {"path": "tedlium_21079.wav", "duration": 8.58, "text": "Additionally, the fourth quarter saw significantly more new Android users as a percentage of net additional users than any other quarter in our history."}, {"path": "tedlium_21080.wav", "duration": 8.58, "text": "and if any color on how much of that is leveraged versus some of the maybe more discreet items that you're doing to improve margins overall."}, {"path": "tedlium_21081.wav", "duration": 8.58, "text": "As you might infer from our guidance, we expect some drag next year from lower workers' compensation and SUI rates,"}, {"path": "tedlium_21082.wav", "duration": 8.58, "text": "effectively, permits you to be a much long -- bigger brand, whether it's 8 feet over time or even greater. Is that how we should think about it as incremental space and just better"}, {"path": "tedlium_21083.wav", "duration": 8.58, "text": "In addition, the production contribution from TauTona has been excluded due to the orderly closure of the mine."}, {"path": "tedlium_21084.wav", "duration": 8.58, "text": "But we did do a deep dive into the condition of the equipment and the infrastructure that we need. We"}, {"path": "tedlium_21085.wav", "duration": 8.58, "text": "but it was exactly what we needed to do in order to generate growth through increasing service to our customers, and it's now paying off."}, {"path": "tedlium_21086.wav", "duration": 8.58, "text": "do you do any preparation in terms of purchasing or not, or do you just wait and see what happens with the announcement."}, {"path": "tedlium_21087.wav", "duration": 8.58, "text": "and potentially valuable over the longer term because of unique packaging or the resulting long-term rarity."}, {"path": "tedlium_21088.wav", "duration": 8.5799375, "text": "vehicle dealerships, we have 2 products. One was already operating in the cloud and the other one was not running in the cloud."}, {"path": "tedlium_21089.wav", "duration": 8.5500625, "text": "that I think are all actionable. There is also an opportunity in addition to the cost that we had last quarter."}, {"path": "tedlium_21090.wav", "duration": 8.5500625, "text": "and still represent record levels. Moving to our land and inventory management on Page 11. Another factor"}, {"path": "tedlium_21091.wav", "duration": 8.5500625, "text": "from our perspective, the demand is equivalent to what we are holding ourselves accountable to do."}, {"path": "tedlium_21092.wav", "duration": 8.5500625, "text": "Also contributing to the decline in net investment income was an unusually high level of income from called securities in the prior year period,"}, {"path": "tedlium_21093.wav", "duration": 8.55, "text": "the customer demand came in strongly. And with some of the steps that we've taken over the past couple of years"}, {"path": "tedlium_21094.wav", "duration": 8.55, "text": "the local financials for in pesos and the translation so there is a disconnect between the exchange rate movements"}, {"path": "tedlium_21095.wav", "duration": 8.55, "text": "confirmation regarding how much of the secured facilities can be used as cash and how much for letter of credit."}, {"path": "tedlium_21096.wav", "duration": 8.55, "text": "We've now received the volume production orders. If you remember, I was talking about they had to go through a sequence of preproduction builds. And so"}, {"path": "tedlium_21097.wav", "duration": 8.55, "text": "the increase in sales volume directly led to the increase of gross profit and increase in operating profit."}, {"path": "tedlium_21098.wav", "duration": 8.55, "text": "are you seeing any change in the value of those larger projects that are already in existence? Or they just remain at very high multiples?"}, {"path": "tedlium_21099.wav", "duration": 8.55, "text": "we're really encouraged by the fact that it was only a little bit down versus what we expected because of some growth that we're seeing in one of our end markets up in Canada."}, {"path": "tedlium_21100.wav", "duration": 8.55, "text": "So I understand you might not be able to get into the details of the negotiations and so forth, I fully understand that."}, {"path": "tedlium_21101.wav", "duration": 8.55, "text": "we're going to be operating the pharmacy with the focus on the customer and their healthcare needs with an improved level of sophistication"}, {"path": "tedlium_21102.wav", "duration": 8.55, "text": "on a worldwide basis to help us reach, on a frequent basis, the markets that we need to reach"}, {"path": "tedlium_21103.wav", "duration": 8.55, "text": "and which is a pressure on net interest margins is the whole LCR regime or the liquidity coverage ratio regime."}, {"path": "tedlium_21104.wav", "duration": 8.55, "text": "that are produced locally and sustainably. And we're also focused on meeting consumer demand for convenience and speed of service."}, {"path": "tedlium_21105.wav", "duration": 8.55, "text": "process, which is going to be a great strategic advantage for us to now use these direct contracts"}, {"path": "tedlium_21106.wav", "duration": 8.55, "text": "We're confident on the positive impact this will have on our customer traffic as they become increasingly familiar with Circle K's added value to their shopping experience"}, {"path": "tedlium_21107.wav", "duration": 8.55, "text": "with that of other health plans that primarily serve Medicaid members as opposed to those that primarily serve commercial members."}, {"path": "tedlium_21108.wav", "duration": 8.55, "text": "As the American saying goes, put your money where your mouth is, and I think this is increasingly what we need to do"}, {"path": "tedlium_21109.wav", "duration": 8.55, "text": "capital into that market. The other thing to remember is we haven't had a big storm in quite a while, and that's not going to continue."}, {"path": "tedlium_21110.wav", "duration": 8.55, "text": "that. That is our argument as well. That there is no -- there may not be any bias,"}, {"path": "tedlium_21111.wav", "duration": 8.55, "text": "We continue to focus on finding additional opportunities to grow beyond the current plan for the benefit of our customers and our shareholders."}, {"path": "tedlium_21112.wav", "duration": 8.55, "text": "Thank you. First of all, I would like to thank you for spending your valuable time with us. Regarding your questions, I'm going to answer them one by one."}, {"path": "tedlium_21113.wav", "duration": 8.55, "text": "if you need to manage companies based on interpreters, then it can be really difficult."}, {"path": "tedlium_21114.wav", "duration": 8.55, "text": "We will continue to assess the rate at which we grow the dividend in the context of our yield and payout ratio relative to peers."}, {"path": "tedlium_21115.wav", "duration": 8.55, "text": "to continue our strategic approach to pricing, service enhancements, customer retention and new business development."}, {"path": "tedlium_21116.wav", "duration": 8.55, "text": "up to 4.6%. So we do see some sequential improvement throughout the course of the year. I think that's predominantly going to be in the second and third quarters,"}, {"path": "tedlium_21117.wav", "duration": 8.55, "text": "in order to provide our customers with the ability to optimize how their guests access funds across the casino floor,"}, {"path": "tedlium_21118.wav", "duration": 8.55, "text": "only show in our portfolio that uses the entire exhibit space, we're going to benefit of that on the comeback. And in fact, we'll expect to sell this show out."}, {"path": "tedlium_21119.wav", "duration": 8.55, "text": "indicating that the drug may demonstrate substantial improvement on a clinically significant endpoint over available therapies."}, {"path": "tedlium_21120.wav", "duration": 8.55, "text": "We plan to grow these businesses and recently approved capital to put a new thermoforming line in our plant in Guadalajara, Mexico."}, {"path": "tedlium_21121.wav", "duration": 8.55, "text": "And at the same time, we continued to push hard for capturing the synergies between our mail"}, {"path": "tedlium_21122.wav", "duration": 8.55, "text": "Please turn to Slide 18. With respect to profit before income taxes for the fiscal first half,"}, {"path": "tedlium_21123.wav", "duration": 8.55, "text": "This is the second quarter in a row in which we have operated with our loan to deposit ratio at the upper end of our guidance and we expect this trend to continue."}, {"path": "tedlium_21124.wav", "duration": 8.55, "text": "for total core revenue growth of 18 basis points on assets when you include Harbor and Sunshine. And Steve can give you some more color"}, {"path": "tedlium_21125.wav", "duration": 8.55, "text": "We continue to be very confident in Grizzly's strong underlying trends, its authentic product proposition, its highly loyal consumer base"}, {"path": "tedlium_21126.wav", "duration": 8.55, "text": "exceptional service and process knowledge to support our clients when, where and how they want to work in a digital world."}, {"path": "tedlium_21127.wav", "duration": 8.55, "text": "mainly due to contributions from the Newark Airport Terminal 1 project and the favorable closeout adjustment on a courthouse project in California."}, {"path": "tedlium_21128.wav", "duration": 8.55, "text": "Our effective tax rate was 24% for the quarter and we currently expect our effective rate to continue to be in the low 20% range."}, {"path": "tedlium_21129.wav", "duration": 8.55, "text": "whether we choose to call that a release or not, I don't think of it as a release. I think that we've built energy reserves, just not specific reserves, because the"}, {"path": "tedlium_21130.wav", "duration": 8.55, "text": "was a specific reserve for the problem credit we've been talking about now for almost 18 months that got resolved. It was supposed to get resolved"}, {"path": "tedlium_21131.wav", "duration": 8.55, "text": "As a reminder, PHYOX has enrolled 25 normal healthy volunteers in the Group A portion of the study, which is complete,"}, {"path": "tedlium_21132.wav", "duration": 8.55, "text": "Our capital investment plan includes realignment of our production network to strengthen our foundation for the future."}, {"path": "tedlium_21133.wav", "duration": 8.55, "text": "and we would expect that as we get more and more phone numbers and we get the usage pull-through,"}, {"path": "tedlium_21134.wav", "duration": 8.55, "text": "We have not considered positively the conversion to condos. At"}, {"path": "tedlium_21135.wav", "duration": 8.55, "text": "But on the load side and this continuation effect you ask, I do think there is an element of our size of city,"}, {"path": "tedlium_21136.wav", "duration": 8.55, "text": "We expect to repatriate a limited amount of cash from our non-U.S. entities due to the capital and liquidity requirements of those entities."}, {"path": "tedlium_21137.wav", "duration": 8.55, "text": "the subbase on site, and really working hard to make sure that they are using their infrastructure efficiently and getting a better bang for the dollar."}, {"path": "tedlium_21138.wav", "duration": 8.55, "text": "Of course, we keep looking for better ways to complete this big resource that we've got and keep looking at new technologies that are always being developed."}, {"path": "tedlium_21139.wav", "duration": 8.55, "text": "benefit from cost savings, you said that is before any reinvestment in the business. So wondering if you could give us an idea of what's your sort of"}, {"path": "tedlium_21140.wav", "duration": 8.55, "text": "Let me begin by reminding everyone that our discussion this morning may include forward-looking statements, which are subject to the safe harbor provisions of the Private Securities"}, {"path": "tedlium_21141.wav", "duration": 8.55, "text": "in a lot of those markets tends to be lumpier, and I'm trying to get a sense whether we should view"}, {"path": "tedlium_21142.wav", "duration": 8.55, "text": "closely, is in line or, without being too optimistic, slightly ahead of what we expected there as well. So we believe that"}, {"path": "tedlium_21143.wav", "duration": 8.55, "text": "to continue to drive that down. In fact, we are slightly disappointed that we haven't driven it down more in 2016, may I say."}, {"path": "tedlium_21144.wav", "duration": 8.55, "text": "ownership mentality once more that we're trying to drive next to this speed and proximity to the marketplace."}, {"path": "tedlium_21145.wav", "duration": 8.55, "text": "In a nutshell, we've been very pleased with how things are going this year. We're seeing good growth in our customer and usage metrics."}, {"path": "tedlium_21146.wav", "duration": 8.55, "text": "will bring that new leadership and strength to make this business continue to grow and to improve and to return shareholder value."}, {"path": "tedlium_21147.wav", "duration": 8.55, "text": "Now before we open up the call for questions, I'd just like to say it's been a privilege to be part of this team and I'm incredibly proud of what we've accomplished."}, {"path": "tedlium_21148.wav", "duration": 8.55, "text": "So I mentioned earlier that we continue to expand very quickly into the international using"}, {"path": "tedlium_21149.wav", "duration": 8.55, "text": "We're looking at -- we continue to look to buy quality plants. We have nothing imminent and have seen nothing on the market"}, {"path": "tedlium_21150.wav", "duration": 8.55, "text": "And three, is the system of intelligence. Bret touched on it with Einstein, with AI, but even look at our advanced analytics capabilities that we now"}, {"path": "tedlium_21151.wav", "duration": 8.55, "text": "we have to take account of the current macro oil environment and that, as Kenneth said, we're putting a much"}, {"path": "tedlium_21152.wav", "duration": 8.55, "text": "As you can imagine that there has been a lot of work over the last years of moving the port infrastructures around"}, {"path": "tedlium_21153.wav", "duration": 8.55, "text": "These changes are already having an impact. Smirnoff is in a competitive segment, and we adjusted price to improve competitiveness."}, {"path": "tedlium_21154.wav", "duration": 8.55, "text": "So this is something that I feel confident we will get on the other side of as that vertical market becomes more stable."}, {"path": "tedlium_21155.wav", "duration": 8.55, "text": "to that set of clients. And that's a group of clients that have been largely ignored by our larger competitors."}, {"path": "tedlium_21156.wav", "duration": 8.55, "text": "and was flat for the third quarter. Let's move to a more detailed review of the third quarter segment earnings drivers starting with the Pennsylvania results"}, {"path": "tedlium_21157.wav", "duration": 8.55, "text": "we have produced annual total value creation, defined as the increase in book value plus dividends paid,"}, {"path": "tedlium_21158.wav", "duration": 8.55, "text": "And America continues to be weak when it comes to orders. If you look at the net sales growth,"}, {"path": "tedlium_21159.wav", "duration": 8.55, "text": "This also means that all previously recognized currency translation differences,"}, {"path": "tedlium_21160.wav", "duration": 8.55, "text": "But again, a good place to look, I think people -- if you go back and look -- and we put 10 years' worth of information in our investor presentation"}, {"path": "tedlium_21161.wav", "duration": 8.55, "text": "and we can see it. It's just been a matter of delivering. And we're confident that there's more there. We're nowhere near our full potential"}, {"path": "tedlium_21162.wav", "duration": 8.55, "text": "start to contemplate a bigger expansion at Trentwood? And hypothetically, if someone approached you to provide substrate into"}, {"path": "tedlium_21163.wav", "duration": 8.55, "text": "The improvements reflect a favorable shift in product mix as the current year automotive shipments include new programs for chassis and structural applications"}, {"path": "tedlium_21164.wav", "duration": 8.55, "text": "We will not be making an adjustment for mainly loss volume. We don't think that'd be appropriate, but we'll certainly be able to quantify the effects of"}, {"path": "tedlium_21165.wav", "duration": 8.55, "text": "so I would think the mix, I'll give you a better answer next time when I look at that in detail but from what I've seen at this point, the mix is more"}, {"path": "tedlium_21166.wav", "duration": 8.55, "text": "It is important to note that, quite apart from the number of retail stores in the Russian market, we continue to see improving trends in the overall amount of SIM card sales"}, {"path": "tedlium_21167.wav", "duration": 8.55, "text": "We have 2 production units in hometown, and we have converted the first unit to the same technology we already use in our Korea plant."}, {"path": "tedlium_21168.wav", "duration": 8.55, "text": "we're all focused on driving our culture to deliver outstanding results for our customers, employees and shareholders."}, {"path": "tedlium_21169.wav", "duration": 8.55, "text": "slightly down from where we were in the first half of last year but roughly in the range of where we've been as we look at the last 6 quarters or so."}, {"path": "tedlium_21170.wav", "duration": 8.55, "text": "Our quarterly earnings press release was issued last night. You can find the release, including reconciliations of reported results"}, {"path": "tedlium_21171.wav", "duration": 8.55, "text": "and there was inventory builds and the product was just rolling out. And in fact, as you know with military applications, they may not be as"}, {"path": "tedlium_21172.wav", "duration": 8.55, "text": "it doesn't matter if you think -- if you make dollars and you get it that way. But when you're thinking Colombian pesos, it will be hard to"}, {"path": "tedlium_21173.wav", "duration": 8.55, "text": "and Viridor. And it's natural for a new Chairman to examine the strengths of the business and consider the future."}, {"path": "tedlium_21174.wav", "duration": 8.55, "text": "Well, can I say thank you all for being with us this morning. I heard the word awesome being used, and I think the talent in this room"}, {"path": "tedlium_21175.wav", "duration": 8.55, "text": "The HeliOffshore community will be gathering later this month for a second annual conference to continue this important mission."}, {"path": "tedlium_21176.wav", "duration": 8.55, "text": "but we can also be leaders in making it better. So if the NAACP wants to talk to us and wants to help us get better, we're excited about that. So"}, {"path": "tedlium_21177.wav", "duration": 8.55, "text": "At a high level, results in the quarter benefited from strong margins and good growth across a number of our businesses."}, {"path": "tedlium_21178.wav", "duration": 8.55, "text": "Because we have the scale to invest in vertically focused sales channels, we develop deep industry knowledge and customer intimacy"}, {"path": "tedlium_21179.wav", "duration": 8.55, "text": "not only do we think that, that will carry over, we would expect that to even improve over the course of the year as we continue to focus on operating costs across the system."}, {"path": "tedlium_21180.wav", "duration": 8.55, "text": "when I looked back over time, I think you're starting to see that other products with this customer are starting to drive a fair amount of demand for us."}, {"path": "tedlium_21181.wav", "duration": 8.55, "text": "While this particular slide is a bit of a repeat of information we shared on our REIT call last month, I think the information does bear repeating."}, {"path": "tedlium_21182.wav", "duration": 8.55, "text": "and engagement and so this is one of the things I am really excited about as we move into '19, and I think it could be a big opportunity for us."}, {"path": "tedlium_21183.wav", "duration": 8.55, "text": "and ensuring that in an interactive way our clients can deliver that seamlessly to more of their clients because it does take a bit more work"}, {"path": "tedlium_21184.wav", "duration": 8.55, "text": "and we've been taking steps to address it. We have a broad set of capabilities and product offerings with good performance and global distribution."}, {"path": "tedlium_21185.wav", "duration": 8.55, "text": "want to start with Redeem, especially given the impact that had in this quarter. Just how do you think about that"}, {"path": "tedlium_21186.wav", "duration": 8.55, "text": "have had the enviable position of having your stock go up for the most of the year and share buybacks come in a little bit below expectations."}, {"path": "tedlium_21187.wav", "duration": 8.55, "text": "to the extent you could kind of force rank where you're saying the greatest pressure from and maybe kind of characterizing it in 3 buckets? One,"}, {"path": "tedlium_21188.wav", "duration": 8.55, "text": "and a handful of markets and a couple of those being weaker obviously than others. Have you guys given any thought to, and you don't need to tell us specific markets, but"}, {"path": "tedlium_21189.wav", "duration": 8.55, "text": "I don't see us losing that same amount this year. I think that we'll essentially cut that loss in half this year."}, {"path": "tedlium_21190.wav", "duration": 8.55, "text": "If indeed the international spend next year is up 10%, we would still guide our revenue"}, {"path": "tedlium_21191.wav", "duration": 8.55, "text": "we have been able to continuously maximize shareholder value. I will now turn it over to Paul to walk through the numbers in detail."}, {"path": "tedlium_21192.wav", "duration": 8.55, "text": "Our conservative portfolio construction, including the proportional increase in credit hedges that I previous mentioned, both contributed to our October performance."}, {"path": "tedlium_21193.wav", "duration": 8.55, "text": "This will assist us going forward as we expand our relationship with each customer, helping to supply them with additional services."}, {"path": "tedlium_21194.wav", "duration": 8.55, "text": "We will continue to expand our investment in beauty and improve our vendor base similar to our strategy with home."}, {"path": "tedlium_21195.wav", "duration": 8.55, "text": "The team recognized this opportunity and moved quickly. We went from conception to completion and moving traffic in less than 90 days."}, {"path": "tedlium_21196.wav", "duration": 8.55, "text": "we are actively working with our customers to sort of change this model that I talked about."}, {"path": "tedlium_21197.wav", "duration": 8.55, "text": "Examples of forward-looking statements include statements we make regarding guidance relating to our financial results."}, {"path": "tedlium_21198.wav", "duration": 8.55, "text": "We expect RVI transactions to begin closing in the second quarter with larger volumes in the second half of the year."}, {"path": "tedlium_21199.wav", "duration": 8.55, "text": "and that is not going to change with the pre-claims demonstration. So we'll continue to have that amount coming in upfront."}, {"path": "tedlium_21200.wav", "duration": 8.55, "text": "We're in the process of evaluating several opportunities that support this strategy and look forward to sharing announcements on our progress at the appropriate times."}, {"path": "tedlium_21201.wav", "duration": 8.55, "text": "And so I think we're going to need a lot more time before we can make a structural judgment. What I know is we have lower green in the future. We have the price points that are working."}, {"path": "tedlium_21202.wav", "duration": 8.55, "text": "One of those is an operation that will be going in for refrigerated trailers in Mexico."}, {"path": "tedlium_21203.wav", "duration": 8.55, "text": "For the past 5 years, we've been reshaping the business and really focusing on a clear 3-point strategy."}, {"path": "tedlium_21204.wav", "duration": 8.55, "text": "which are leading to many new customer and business opportunities. The level of interest for our Sketch-to-Scale solutions remains very high"}, {"path": "tedlium_21205.wav", "duration": 8.55, "text": "at what point in time does management start back up the stock buyback with these type of cash flows looking"}, {"path": "tedlium_21206.wav", "duration": 8.55, "text": "where there's legislation being passed without consultation, and by your own admission, too early to assess the impact of some of that legislation,"}, {"path": "tedlium_21207.wav", "duration": 8.55, "text": "yes. We're here to service our clients. We here to meet their needs as and when they're ready, and we certainly expect that these relationships will grow over time."}, {"path": "tedlium_21208.wav", "duration": 8.55, "text": "I think you're just seeing the fruits of that. So our expectation is we're going to have a very strong fourth quarter, a little bit artificially strong"}, {"path": "tedlium_21209.wav", "duration": 8.55, "text": "we have the pipeline there to do it. It's getting the PPAs agree to, and we don't want to get too far out ahead of that. So"}, {"path": "tedlium_21210.wav", "duration": 8.55, "text": "We're not quite there yet. I think that there's going to be challenges for the next couple of quarters as we continue to work on them."}, {"path": "tedlium_21211.wav", "duration": 8.55, "text": "Barnes Group experienced a challenging third quarter as overall macroeconomic conditions put pressure on some of the end markets we serve."}, {"path": "tedlium_21212.wav", "duration": 8.55, "text": "and that we have reached satisfactory agreement with the insurance company that will cover damages and loss of profits."}, {"path": "tedlium_21213.wav", "duration": 8.55, "text": "At our current rate of waste mining, we expect to complete the Cut 2 pushback either in Q4 this year or Q1 next year,"}, {"path": "tedlium_21214.wav", "duration": 8.55, "text": "You might or we might need to buy a few of those assets to get your next Sensile Medical."}, {"path": "tedlium_21215.wav", "duration": 8.55, "text": "So could you talk about your plans and ambitions in specialty chemicals in China both in terms of organic and inorganic growth?"}, {"path": "tedlium_21216.wav", "duration": 8.55, "text": "as well as an incremental benefit from foreign exchange. David will discuss the details of these items shortly."}, {"path": "tedlium_21217.wav", "duration": 8.55, "text": "So those of you who do even the smallest analysis will quickly realize that our headcount has grown faster than"}, {"path": "tedlium_21218.wav", "duration": 8.55, "text": "The first step we are integrating new product features and interactive services to increase user engagement and stickiness of the portals."}, {"path": "tedlium_21219.wav", "duration": 8.55, "text": "As Joe discussed, we expected to begin regaining momentum in our VA business during the second quarter, and it's going to take longer than we anticipated."}, {"path": "tedlium_21220.wav", "duration": 8.55, "text": "quarters, is seeing considerable pickup in the growth rate in that small direct marketing channel. We've moved it from being a more transactional relationship"}, {"path": "tedlium_21221.wav", "duration": 8.55, "text": "Can it also have this attribute? That's the key part why we continue to see a lot of growth in this market is because we've invested"}, {"path": "tedlium_21222.wav", "duration": 8.55, "text": "We believe the outcome of the filings was fair and importantly, there was a clear recognition of a need for increased investment to modernize the networks."}, {"path": "tedlium_21223.wav", "duration": 8.55, "text": "It also helps us support our customers in ways that our competitors find hard to match, as we have units where and when they want them, regardless of the location."}, {"path": "tedlium_21224.wav", "duration": 8.55, "text": "I'd like to remind everyone that in the course of the call, in order to give you a better understanding of our performance, we will be making certain forward-looking statements."}, {"path": "tedlium_21225.wav", "duration": 8.55, "text": "we do see some signs of more jobs in civil construction"}, {"path": "tedlium_21226.wav", "duration": 8.55, "text": "It's expected that OMB will approve the rule and a final regulation will be published in the coming months with implementation expected around year-end."}, {"path": "tedlium_21227.wav", "duration": 8.55, "text": "no. Right now the people have not shown lot of interest on the enterprise side to move to software."}, {"path": "tedlium_21228.wav", "duration": 8.55, "text": "And the reason for that is that our own operating units are processing more than what we have"}, {"path": "tedlium_21229.wav", "duration": 8.55, "text": "We discussed on our recent earnings calls our expense improvement actions over the past few quarters and our newly acquired properties."}, {"path": "tedlium_21230.wav", "duration": 8.55, "text": "After I provide you with some additional color on our first quarter numbers, I have a couple of announcements to make, and then we'll brief you on some recent developments."}, {"path": "tedlium_21231.wav", "duration": 8.55, "text": "As we discussed during our call on March 23, the acquisition will strengthen and help grow the core of our business."}, {"path": "tedlium_21232.wav", "duration": 8.55, "text": "We expect to translate this growth into strong operating and earnings performance and once again achieve our target business model for the full fiscal year."}, {"path": "tedlium_21233.wav", "duration": 8.55, "text": "Power declined due to lower activity in the Middle East and Africa and Far East, with the Far East also reporting the largest reduction in water."}, {"path": "tedlium_21234.wav", "duration": 8.55, "text": "In just 2 months since its launch, some of the most visited websites have installed the Pixel across thousands of domains."}, {"path": "tedlium_21235.wav", "duration": 8.55, "text": "it's -- the thing that's so attractive about it is to expand our cemetery footprint, you have to use expensive capital. I have to buy the cemetery."}, {"path": "tedlium_21236.wav", "duration": 8.55, "text": "a little shorter. So it really depends on product mix. But that is a focus for us, is trying to continue to make sure that we manage our"}, {"path": "tedlium_21237.wav", "duration": 8.55, "text": "yet we've seen rental really have a nice pickup. So I would tell you, in this case, it's probably -- it doesn't seem to be impacting it."}, {"path": "tedlium_21238.wav", "duration": 8.55, "text": "likely to increase margins in the first half. Does that mean you're expecting the other segments to show margin improvement year-over-year in the first half?"}, {"path": "tedlium_21239.wav", "duration": 8.55, "text": "As we have previously indicated, our primary capital allocation focus for that cash and our available borrowing capacity"}, {"path": "tedlium_21240.wav", "duration": 8.55, "text": "Compared to our expectations, revenue, excluding storm restoration services, was at the upper end of guidance but earnings were near the low end."}, {"path": "tedlium_21241.wav", "duration": 8.55, "text": "These ratios as well as our enhanced liquidity, have us well-positioned to be able to transact efficiently on acquisition opportunities as they materialize."}, {"path": "tedlium_21242.wav", "duration": 8.55, "text": "but not -- the increase will not be as much as we have seen before. So I would expect single-digit increase"}, {"path": "tedlium_21243.wav", "duration": 8.52, "text": "Although there is some seasonality because of Chinese New Year, it is a very encouraging trend."}, {"path": "tedlium_21244.wav", "duration": 8.52, "text": "Now let me give you guidance for the second quarter. Our Executive Search backlog remains strong when compared to other first quarters,"}, {"path": "tedlium_21245.wav", "duration": 8.52, "text": "We are also beginning to see tangible benefits from our efforts to reengineer and streamline our internal processes."}, {"path": "tedlium_21246.wav", "duration": 8.52, "text": "Mr. Itaya explained that because of many uncertainties, annual dividend will be unchanged for now."}, {"path": "tedlium_21247.wav", "duration": 8.52, "text": "As I've mentioned, I've also had a chance to meet several customers already in order to understand their needs and how Marvell can help solve their problems."}, {"path": "tedlium_21248.wav", "duration": 8.52, "text": "going on within the company whatsoever. I believe that quarter one seasonally is always down,"}, {"path": "tedlium_21249.wav", "duration": 8.52, "text": "With a broad and deep clinical program that continues to grow and continues to generate positive monotherapy and combination data,"}, {"path": "tedlium_21250.wav", "duration": 8.52, "text": "extremely high short-term finance penetration. I'm probably a little bit more cautious on that because I think the"}, {"path": "tedlium_21251.wav", "duration": 8.52, "text": "When we bought it, they had about 8 years left on their lease, but again working closely with them, we're hopeful that we can do something in the very short term,"}, {"path": "tedlium_21252.wav", "duration": 8.52, "text": "annual merit increases and other costs to support overall franchise growth, including the full quarter of our combination with West Capital Management."}, {"path": "tedlium_21253.wav", "duration": 8.52, "text": "We plan to support these objectives with a strong balance sheet, strong cash flows and effective capital allocation."}, {"path": "tedlium_21254.wav", "duration": 8.52, "text": "touching on all aspects, both the digital and traditional, and the epic is just a great way to bring to life"}, {"path": "tedlium_21255.wav", "duration": 8.52, "text": "Looking ahead, we expect improved results given we have completed the repositioning of our Asia trade finance businesses"}, {"path": "tedlium_21256.wav", "duration": 8.52, "text": "These agreements provide for our base of highly predictable terminaling revenues through either throughput or storage agreements."}, {"path": "tedlium_21257.wav", "duration": 8.52, "text": "It's worth noting that our estimated tax rate does not reflect any of the pending legislative changes currently under consideration."}, {"path": "tedlium_21258.wav", "duration": 8.52, "text": "more activity such as restructuring in Europe? And do you think you would like to shift more production to"}, {"path": "tedlium_21259.wav", "duration": 8.52, "text": "We continue to look for opportunities to provide accessories and other check-related products and services to our consumers,"}, {"path": "tedlium_21260.wav", "duration": 8.52, "text": "a lot of factors that go into these well performances. One of the things that we're attempting to do more often"}, {"path": "tedlium_21261.wav", "duration": 8.52, "text": "This has enabled us to exceed our original sales and earnings target and is reflected in today's revised financial outlook for the year."}, {"path": "tedlium_21262.wav", "duration": 8.52, "text": "And I think we're seeing nice results as utilization in the Medicare line of business is starting to come down."}, {"path": "tedlium_21263.wav", "duration": 8.52, "text": "We'll make a significant profit despite the fact that we are not cutting spending in key areas of engineering, marketing or sales."}, {"path": "tedlium_21264.wav", "duration": 8.52, "text": "we encourage people to spend more on above the line, spend less on below the line."}, {"path": "tedlium_21265.wav", "duration": 8.52, "text": "However, legacy systems have hampered their transformation to today's digital world, leading to poor and inconsistent customer experience."}, {"path": "tedlium_21266.wav", "duration": 8.52, "text": "so that we are quite well positioned there to take opportunity from -- advantage of growth opportunities."}, {"path": "tedlium_21267.wav", "duration": 8.52, "text": "so more or less stable or comparable to what we've seen in 2019. Please note that there's one working day less"}, {"path": "tedlium_21268.wav", "duration": 8.52, "text": "was due to seasonal factors as opposed to internal improvements? Or maybe help us think about what role internal improvements are playing in this? Are"}, {"path": "tedlium_21269.wav", "duration": 8.52, "text": "Meanwhile, we continue to be very disciplined with our capital allocation through a progressive dividend policy and returning cash to shareholders."}, {"path": "tedlium_21270.wav", "duration": 8.52, "text": "This is particularly pleasing for us as it comes in a period where we've had to change our ranges and our promotional offers"}, {"path": "tedlium_21271.wav", "duration": 8.52, "text": "So we're still excited about being able to continue to drive those solutions and other solutions to improve upon the position in global automotive."}, {"path": "tedlium_21272.wav", "duration": 8.52, "text": "Definitely, our objective is to get bigger into this business and have a bigger market share, which we are gaining as we speak, Jonathan."}, {"path": "tedlium_21273.wav", "duration": 8.52, "text": "I would like to remind you that much of the information we will be speaking to today, including the answers we give in response to your questions,"}, {"path": "tedlium_21274.wav", "duration": 8.52, "text": "Expenses were relatively flat with prior year and we experienced higher than normal operating leverage, which allowed more earnings to drop to the bottom line."}, {"path": "tedlium_21275.wav", "duration": 8.52, "text": "With these moves behind us, our focus will now increasingly shift to driving operational excellence and superior customer experience."}, {"path": "tedlium_21276.wav", "duration": 8.52, "text": "we fear that it's a little bit too early to say that any real recovery has begun in spite of stabilized and better commodity price."}, {"path": "tedlium_21277.wav", "duration": 8.52, "text": "Additionally, a cutting-edge virtual anatomy lab and a best-in-class patient care center allows our faculty to better prepare medical students"}, {"path": "tedlium_21278.wav", "duration": 8.52, "text": "purchasing the plastic and the mailing of reissuance because we reissue every single household that we had. So it was a significant number of cards. So"}, {"path": "tedlium_21279.wav", "duration": 8.52, "text": "Many of the new hires were made to support traditional growth. A fair number were hired to support an unusually high level of large in-house"}, {"path": "tedlium_21280.wav", "duration": 8.52, "text": "is reaching into a new country, that while being the second largest economy in the continent, trailed other countries by a couple of years."}, {"path": "tedlium_21281.wav", "duration": 8.52, "text": "Among our other business segments, the Real Estate and Services business shows a rather big drop in sales,"}, {"path": "tedlium_21282.wav", "duration": 8.52, "text": "And so for us, the choice is buyback dividend or invest in our business through new funds."}, {"path": "tedlium_21283.wav", "duration": 8.52, "text": "and we have not made any such decision. As far as that article, I'm not sure who that came from and"}, {"path": "tedlium_21284.wav", "duration": 8.52, "text": "Today, we are not only helping customers protect assets in the cloud, but organizations are also increasingly running our software in public cloud environments."}, {"path": "tedlium_21285.wav", "duration": 8.52, "text": "available. It isn't always the case in other regions in the world. So it does impact them maybe a little differently, particularly depending on where you are in Europe."}, {"path": "tedlium_21286.wav", "duration": 8.52, "text": "Today in Boise, temperatures are expected to push the century mark, where we have consistently been for the last couple of weeks."}, {"path": "tedlium_21287.wav", "duration": 8.52, "text": "any contracts that are exposed to line space we are buying the line space and getting paid that differential. So that essentially"}, {"path": "tedlium_21288.wav", "duration": 8.52, "text": "in that arena. And quite frankly, our downturn has not been quite as bad as some of our competitors that we're seeing. So"}, {"path": "tedlium_21289.wav", "duration": 8.52, "text": "The development collaboration includes an option agreement for multiple therapeutic candidates with potential in pain, allergy and cancer"}, {"path": "tedlium_21290.wav", "duration": 8.52, "text": "the potential for allowing more wind, more renewables above and beyond the state requirements?"}, {"path": "tedlium_21291.wav", "duration": 8.52, "text": "I would also like to extend a warm welcome to all of our new associates in Germany and Belgium who recently joined the HBC family."}, {"path": "tedlium_21292.wav", "duration": 8.52, "text": "in profitable geographies while taking appropriate rate actions to improve profitability in segments and geographies that are more challenging."}, {"path": "tedlium_21293.wav", "duration": 8.52, "text": "we've had a great start to the year in terms of the numbers and the engagement metrics with both our consumer audience and our partner base."}, {"path": "tedlium_21294.wav", "duration": 8.52, "text": "We don't have a crystal ball as to those TAMs, and we're not ready yet to describe how big we think they can be in part because our estimates are"}, {"path": "tedlium_21295.wav", "duration": 8.52, "text": "men and women on the front lines in the Midwest and the Northeast that were coming out of a terrible winter and a terrible April, they're trying to"}, {"path": "tedlium_21296.wav", "duration": 8.52, "text": "Note the lower tax rate of 27.4 in the current year reflects the favorable impact of the recent tax legislation."}, {"path": "tedlium_21297.wav", "duration": 8.52, "text": "With respect to our balance sheet capitalization, not much has changed since our last commentary. We continue to have no debt,"}, {"path": "tedlium_21298.wav", "duration": 8.52, "text": "How do we drive assets with new store sales or attracting new advisers? How do we grow assets in support of our existing advisers?"}, {"path": "tedlium_21299.wav", "duration": 8.52, "text": "Connected 4 Growth? And that's a fair question, but I don't think so. I think if you really look at the slightly softer growth that we're seeing"}, {"path": "tedlium_21300.wav", "duration": 8.52, "text": "a presentation where we graphically represent key trends and key numbers for the accounting period."}, {"path": "tedlium_21301.wav", "duration": 8.52, "text": "Already just at the halfway point of 2017, we have nearly matched all of the product gross profit dollars"}, {"path": "tedlium_21302.wav", "duration": 8.52, "text": "smart technology development, I think it is the directions for all manufacturing industries"}, {"path": "tedlium_21303.wav", "duration": 8.52, "text": "The working capital movement was caused by the comparison year-on-year. We saw a significant drop in operating working capital last year,"}, {"path": "tedlium_21304.wav", "duration": 8.52, "text": "to take both medications at the same time in 1 pill, which we believe will help drive physician adoption and further growth in the category."}, {"path": "tedlium_21305.wav", "duration": 8.52, "text": "No -- understood. And just embedded within that, you saw significant acceleration in the second half of the year on your"}, {"path": "tedlium_21306.wav", "duration": 8.52, "text": "when we look at the -- what's under the hood on those deals that we're signing. They're at rates we can make a good return on."}, {"path": "tedlium_21307.wav", "duration": 8.52, "text": "We are extremely focused on driving growth and working hard to accelerate the return on investments we are making in the sales and solutions space."}, {"path": "tedlium_21308.wav", "duration": 8.52, "text": "China is really combating their air pollution problem and the government is providing incentives to increase"}, {"path": "tedlium_21309.wav", "duration": 8.52, "text": "and that's because we just didn't have the right processes in place, and we weren't executing well. We now feel like"}, {"path": "tedlium_21310.wav", "duration": 8.52, "text": "to remove the effect of quarter-to-quarter fluctuations, which have the potential to be significant in arriving at adjusted earnings and adjusted earnings per share."}, {"path": "tedlium_21311.wav", "duration": 8.52, "text": "I'd now like to take a few minutes to provide a recap of key 2018 events and recent notable achievements."}, {"path": "tedlium_21312.wav", "duration": 8.52, "text": "so that they kind of -- can accelerate their growth. But I think with the -- obviously there's a great leveraging effect"}, {"path": "tedlium_21313.wav", "duration": 8.52, "text": "As we discussed on our last call, we continue our focus on the implementation of the new integrated mortgage disclosure rule,"}, {"path": "tedlium_21314.wav", "duration": 8.52, "text": "What we've been doing is making sure that we're making the right decision. I think there's a time where we're making significant investments, and we've prioritized AM"}, {"path": "tedlium_21315.wav", "duration": 8.52, "text": "and are excited about our Express solutions, which have the ability to drive a true SaaS model and accelerate our timeline to profitability."}, {"path": "tedlium_21316.wav", "duration": 8.52, "text": "quite a bit better than we anticipated here in the first quarter and moving out to the -- through the balance of the year."}, {"path": "tedlium_21317.wav", "duration": 8.52, "text": "But that being said, what's important is we've also added a lot of executives over the course of the last 12 months"}, {"path": "tedlium_21318.wav", "duration": 8.52, "text": "As we did in our first quarter 10-Q, we'll include a comparison in the footnote to show our revenues reported under both the new and the old standard."}, {"path": "tedlium_21319.wav", "duration": 8.52, "text": "I would -- sort of just for clarity on that. The contributions into our international business at the earlier part of the year were largely driven"}, {"path": "tedlium_21320.wav", "duration": 8.52, "text": "The profit split will be based on actual performance by these specific vessels, so we cannot guide you on and if and when a profit share will materialize"}, {"path": "tedlium_21321.wav", "duration": 8.52, "text": "Then only we start receiving purchase orders. As the Materials Handling vehicle makers now have operating experience with our batteries,"}, {"path": "tedlium_21322.wav", "duration": 8.52, "text": "we're moving forward while we are adding to the resources and particularly the"}, {"path": "tedlium_21323.wav", "duration": 8.52, "text": "And I think importantly, we're really well positioned if and when those tariffs do come off to reaccelerate the growth out of our Southern business."}, {"path": "tedlium_21324.wav", "duration": 8.52, "text": "to be able to employ those benefits to the WIL organization as we bring them closer to Charles River. So a couple of years to get"}, {"path": "tedlium_21325.wav", "duration": 8.52, "text": "We believe that our global biopharma, biotech and academic clients are searching for the right partner to support them"}, {"path": "tedlium_21326.wav", "duration": 8.52, "text": "the largest local to national network of journalists in the country. This would include more local markets and new platforms,"}, {"path": "tedlium_21327.wav", "duration": 8.52, "text": "High view was also designed to benefit advertisers by providing better delivery of pre-roll ads to consumers."}, {"path": "tedlium_21328.wav", "duration": 8.52, "text": "we're a heck of a lot smaller on that front. So I think that has significant advantages to your franchisees. It allows them to reinvest back into their restaurants."}, {"path": "tedlium_21329.wav", "duration": 8.52, "text": "I am -- first of all, I have to say that I am a little bit disappointed about your core equity in the first quarter of the year."}, {"path": "tedlium_21330.wav", "duration": 8.52, "text": "Now claims have to be truthful, and they also have to be substantiated. This is based on this documented verifiable retail sale."}, {"path": "tedlium_21331.wav", "duration": 8.52, "text": "a little bit uncertain because of how challenging the external environment has been for everyone. However, I guess, the best way to address your question"}, {"path": "tedlium_21332.wav", "duration": 8.52, "text": "Also, during this call, various remarks we make about future expectations, plans and prospects for the company"}, {"path": "tedlium_21333.wav", "duration": 8.52, "text": "and they believe that they have vet it thoroughly in technical space. So between ourselves and AREVA, we are quite confident that the fuel is going to work."}, {"path": "tedlium_21334.wav", "duration": 8.52, "text": "with growth in operating profit being offset by a one-off tax payment and increase of maturing stock within working capital."}, {"path": "tedlium_21335.wav", "duration": 8.52, "text": "Product knowledge is something we focus on day in and day out. And I can tell you that most of our stores"}, {"path": "tedlium_21336.wav", "duration": 8.52, "text": "Inventory this quarter increased slightly in both value and days, and you should expect going forward that the inventory will remain"}, {"path": "tedlium_21337.wav", "duration": 8.52, "text": "In addition to factors noted during this call, a more comprehensive discussion of our risk factors can be found in today's press release"}, {"path": "tedlium_21338.wav", "duration": 8.52, "text": "More specifically, we anticipate mail growth and new generic launches will drive increased volumes as the year progresses."}, {"path": "tedlium_21339.wav", "duration": 8.52, "text": "Additional information concerning risk factors relating to our business, prospects and results are available in the company's filings with the Securities and Exchange Commission,"}, {"path": "tedlium_21340.wav", "duration": 8.52, "text": "whereas, previously, these activities would be considered period cost and revenue was recognized only when the product was delivered to the customer."}, {"path": "tedlium_21341.wav", "duration": 8.52, "text": "Our outlook is promising, and we believe our investments have been worthwhile and will continue to provide returns into the future."}, {"path": "tedlium_21342.wav", "duration": 8.52, "text": "Our electronic manufacturing capabilities and know-how to support customers end-to-end needs has been key to the launch of our new subsidiary"}, {"path": "tedlium_21343.wav", "duration": 8.52, "text": "On the cell therapy side, we had the benefit of seeing the recent and early data around the challenges facing bio-space platforms."}, {"path": "tedlium_21344.wav", "duration": 8.52, "text": "Now that leads then to the summary of the outlook. You have seen this morning already, I'm sure that you have studied that."}, {"path": "tedlium_21345.wav", "duration": 8.52, "text": "Now we will go on to Slide 13, please. Now we will see the evolution that Ripley has had"}, {"path": "tedlium_21346.wav", "duration": 8.52, "text": "from the farm states between Nebraska, South Dakota, Iowa and other states that are very important to this administration, are pushing very hard in trying to get clarity."}, {"path": "tedlium_21347.wav", "duration": 8.52, "text": "all in all, we feel that when it comes from -- comes back to what we said, we were ahead of the plan, both on cost"}, {"path": "tedlium_21348.wav", "duration": 8.52, "text": "By vertically stacking chips versus placing them side by side, the electrical connections between chips can be much shorter."}, {"path": "tedlium_21349.wav", "duration": 8.52, "text": "This acquisition is the most recent extension of an initiative that began several years ago when we first emphasized our efforts to get closer to our customers."}, {"path": "tedlium_21350.wav", "duration": 8.52, "text": "are starting to give us a true competitive advantage in addressing the growth opportunities that I referred to earlier."}, {"path": "tedlium_21351.wav", "duration": 8.52, "text": "Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual performance,"}, {"path": "tedlium_21352.wav", "duration": 8.52, "text": "Okay. And then just a quick question for Dave. Just so I'm clear on how this accretion guidance works and what base we're talking about."}, {"path": "tedlium_21353.wav", "duration": 8.52, "text": "And Western Australia continues to benefit from the addition of new customers, with the full-year contribution from the Eastern Goldfields Pipeline,"}, {"path": "tedlium_21354.wav", "duration": 8.52, "text": "You talked about that kind of potentially starting to contribute more in the back half of the year. You started doing some bids."}, {"path": "tedlium_21355.wav", "duration": 8.52, "text": "And we are working closely with our customer to evaluate that option. We expect to have a better view of this in the fourth quarter."}, {"path": "tedlium_21356.wav", "duration": 8.52, "text": "Results in the quarter reflect continued growth in retirement consulting, primarily driven by demand for delegated investment consulting services."}, {"path": "tedlium_21357.wav", "duration": 8.52, "text": "we have reached the end of what we call our countercyclical business development program, and we are really shifting our attention to project execution."}, {"path": "tedlium_21358.wav", "duration": 8.52, "text": "So we see the Media business as very important to us as well as to our customers. And therefore, we have"}, {"path": "tedlium_21359.wav", "duration": 8.52, "text": "primarily reflecting the differences between the short- and long-term rate assumptions and the negative market movements over the year."}, {"path": "tedlium_21360.wav", "duration": 8.52, "text": "if you think about just a small increment of royalties across our entire base, that's -- that can be a huge amount of money"}, {"path": "tedlium_21361.wav", "duration": 8.52, "text": "Our strong operating cash flow performance and meaningful improvement in the quality of our assets and the distinct and valuable strategic position of our franchise"}, {"path": "tedlium_21362.wav", "duration": 8.52, "text": "improvement of the capabilities of the lines, which, in the end, is also quality, but we are talking automation that leads to,"}, {"path": "tedlium_21363.wav", "duration": 8.52, "text": "These transactions as well as cash flow generation during the fourth quarter, allowed Gulfport to return a significant amount of capital to shareholders."}, {"path": "tedlium_21364.wav", "duration": 8.52, "text": "precisely the move from prepaid to postpaid. And we think we've hit it right on the spot on the way to do it"}, {"path": "tedlium_21365.wav", "duration": 8.52, "text": "for new and reactivated horsepower across the industry, causing pricing there to be very competitive."}, {"path": "tedlium_21366.wav", "duration": 8.52, "text": "and then make some comments regarding our balance sheet. Additionally, you can view the reconciliation of GAAP and non-GAAP financial measures in our press release."}, {"path": "tedlium_21367.wav", "duration": 8.52, "text": "On top of this, this also bakes in a delay in the ramp of a large server manufacturing platform, which was previously expected to ramp in the December quarter"}, {"path": "tedlium_21368.wav", "duration": 8.52, "text": "Having said that, it won't go up as much as EPS because of what I said about CapEx. I hope that gives you the color that you need."}, {"path": "tedlium_21369.wav", "duration": 8.52, "text": "While the transient component of our RV business only represents 5% of our overall revenue, it is an important feeder for the rest of our RV business."}, {"path": "tedlium_21370.wav", "duration": 8.52, "text": "We'll be able to get those deals done in the near term. We will not -- we are not likely to be on every"}, {"path": "tedlium_21371.wav", "duration": 8.52, "text": "is to pursue strategically important acquisitions and divestures. We continually evaluate our internal business portfolio"}, {"path": "tedlium_21372.wav", "duration": 8.52, "text": "are subject to future risks and uncertainties. Please refer to Slide 2 of today's presentation for further details."}, {"path": "tedlium_21373.wav", "duration": 8.52, "text": "And also writing the certification exam, that's the precursor to the actual exam, only a handful have made it to the province and have written the exam."}, {"path": "tedlium_21374.wav", "duration": 8.52, "text": "That's going to -- okay, got it. And then maybe last one for me and then I'll hop off. How aggressively are you seeing"}, {"path": "tedlium_21375.wav", "duration": 8.52, "text": "is built on the pillars of growing with its customers, delivering with excellence and partnering for shared success."}, {"path": "tedlium_21376.wav", "duration": 8.52, "text": "lower production volumes led to lower fixed cost absorption resulting in a loss that we posted in the quarter."}, {"path": "tedlium_21377.wav", "duration": 8.52, "text": "As we enter the second half of the year, I also wanted to provide some observations on the macro environment impacting the business."}, {"path": "tedlium_21378.wav", "duration": 8.52, "text": "as well. It was a combination of the 2 that -- it was a combination of 2 bad rules, rule factors there in the first quarter."}, {"path": "tedlium_21379.wav", "duration": 8.52, "text": "with embedded derisked growth, which we continue to unlock as we redevelop and re-lease our space."}, {"path": "tedlium_21380.wav", "duration": 8.52, "text": "However, we saw strong growth in operating volumes across all segments of the business, and I'll show you the operating stats shortly."}, {"path": "tedlium_21381.wav", "duration": 8.52, "text": "And as we turned into our second year, I saw the necessary foundation for our ultimate success building in the right direction."}, {"path": "tedlium_21382.wav", "duration": 8.52, "text": "The Q3 results are the most recent indication of the improvement in the insurance business."}, {"path": "tedlium_21383.wav", "duration": 8.52, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_21384.wav", "duration": 8.52, "text": "our sell-in to sell-through, which allows us to maintain and keep our retailers in a much healthier inventory position than we were -- than they were in"}, {"path": "tedlium_21385.wav", "duration": 8.52, "text": "our board amended our share repurchase plan and increased the authorized number of shares available to be repurchased by 7.5 million"}, {"path": "tedlium_21386.wav", "duration": 8.52, "text": "have been running better than we might have expected at the beginning of the year or when we did the acquisition model that valued Visa Europe."}, {"path": "tedlium_21387.wav", "duration": 8.4900625, "text": "We think that will turn around pretty quickly with the new funding in place, but what you're seeing right now is really driven by healthy private demand."}, {"path": "tedlium_21388.wav", "duration": 8.49, "text": "They're probably very dependent upon where their steel positions were, what inventory costs were and how they were managing through that."}, {"path": "tedlium_21389.wav", "duration": 8.49, "text": "We would plan to provide an update of this guidance at the time that we close the pending transaction for the Valspar wood coatings business."}, {"path": "tedlium_21390.wav", "duration": 8.49, "text": "as we sort of finalize some of the newer indications then we'll be able to provide sort of bookends as to what the market potential for those would be,"}, {"path": "tedlium_21391.wav", "duration": 8.49, "text": "Now what's interesting is the last year in particular, we've now started to be able to look at supply chain as an opportunity."}, {"path": "tedlium_21392.wav", "duration": 8.49, "text": "We will be orchestrating the sourcing and selection of the technology solutions that will create this European digital bank,"}, {"path": "tedlium_21393.wav", "duration": 8.49, "text": "Again, some of these unique customer dynamics that we saw in the third quarter and fourth quarter of last year we'll have to deal with in the fourth quarter of this year."}, {"path": "tedlium_21394.wav", "duration": 8.49, "text": "Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program, and you may all disconnect. Everyone, have a great day."}, {"path": "tedlium_21395.wav", "duration": 8.49, "text": "Furthermore, many of our customers were primarily refractive LASIK centers and have little or no experience with buy and bill drugs"}, {"path": "tedlium_21396.wav", "duration": 8.49, "text": "and we were adversely impacted by a competitive private label tissue market and significant commodity and transportation cost inflation."}, {"path": "tedlium_21397.wav", "duration": 8.49, "text": "during the Christmas season this year strong growth in this area, and Marvell is going to be part of it and a big part of it."}, {"path": "tedlium_21398.wav", "duration": 8.49, "text": "Also in communication around the fixed price increase during the summer, we were able to personalize messaging to our customers."}, {"path": "tedlium_21399.wav", "duration": 8.49, "text": "incorporated into the existing filing for KEYNOTE-010? We have seen the agency moving that way before, but"}, {"path": "tedlium_21400.wav", "duration": 8.49, "text": "Compared to the third quarter, we expect a slight decline in the fourth quarter sales for this business with margins similar to the first quarter."}, {"path": "tedlium_21401.wav", "duration": 8.49, "text": "are difficult to predict and which can cause actual results to materially differ from those expressed or forecast in these forward-looking statements."}, {"path": "tedlium_21402.wav", "duration": 8.49, "text": "you've mentioned a few times the success of the smaller brands. Well, I just wonder whether there's not a bit of confusion here because"}, {"path": "tedlium_21403.wav", "duration": 8.49, "text": "So isn't it more the case of having stayed relevant as a big brand rather than saying that it's the smaller brands"}, {"path": "tedlium_21404.wav", "duration": 8.49, "text": "not going to sit idly by and let them push us around. We have to make our statement to show them that we're serious about collecting"}, {"path": "tedlium_21405.wav", "duration": 8.49, "text": "one thing that I'm very sure about is that the fear that all of us seem to be having about this is possibly not to the"}, {"path": "tedlium_21406.wav", "duration": 8.49, "text": "at a much lower price per puff, is a major opportunity for VIP. Six new products have been identified"}, {"path": "tedlium_21407.wav", "duration": 8.49, "text": "several times. And it ended up that it didn't work out. It would not be profitable for us. Although we can plant a flag if we wanted to, but"}, {"path": "tedlium_21408.wav", "duration": 8.49, "text": "And by virtue of holding lower levels of inventory, in turn that obviously leads into lower floor plan debt and interest."}, {"path": "tedlium_21409.wav", "duration": 8.49, "text": "because we do think that in these ways of doing, we can really gain efficiency in the way we develop projects."}, {"path": "tedlium_21410.wav", "duration": 8.49, "text": "We will invest in research areas that bring health and wellness benefits that can't be measured only on the scale."}, {"path": "tedlium_21411.wav", "duration": 8.49, "text": "We also have the capability and responsibility to make communities healthier by making healthy habits accessible to all,"}, {"path": "tedlium_21412.wav", "duration": 8.49, "text": "a significant gain in our renewal rates and strong year-over-year growth in both deferred revenue and aggregate revenue under contract."}, {"path": "tedlium_21413.wav", "duration": 8.49, "text": "The company remains active in protecting its intellectual property by pursuing firms and individuals who had previously gained unauthorized access to our services."}, {"path": "tedlium_21414.wav", "duration": 8.49, "text": "We've operated there for over 9 years. We're very comfortable operating in the DR, and we look forward to growing our business there."}, {"path": "tedlium_21415.wav", "duration": 8.49, "text": "we don't provide specific expectations around segment revenue within a quarter for a variety of reasons. But"}, {"path": "tedlium_21416.wav", "duration": 8.49, "text": "it's in 3 years. So we would probably say that it's in the lower part of the range. And I would say probably as we speak now and what we know"}, {"path": "tedlium_21417.wav", "duration": 8.49, "text": "Got it. And just thinking about the directional organic growth of mortgage solution revenue."}, {"path": "tedlium_21418.wav", "duration": 8.49, "text": "These offerings now account for 27% of the segment's revenue, and are expected to continue to grow at double digits in the long term."}, {"path": "tedlium_21419.wav", "duration": 8.49, "text": "As we saw throughout much of 2018, operational and financial trends held up until wet weather began impacting our business in late November."}, {"path": "tedlium_21420.wav", "duration": 8.49, "text": "We do believe that some of the existing frameworks and conventions that are being used in both traditional C-Corp managers and alternatives are"}, {"path": "tedlium_21421.wav", "duration": 8.49, "text": "It was just last year at this time that we were in the process of recovering from Hurricane Harvey. So we empathize with those now in that position."}, {"path": "tedlium_21422.wav", "duration": 8.49, "text": "look at the G1 and to identify the great features of it and features that they think they could improve upon."}, {"path": "tedlium_21423.wav", "duration": 8.49, "text": "ago. This road map is going to be implemented over the next 3 years because it implies substantial changes"}, {"path": "tedlium_21424.wav", "duration": 8.49, "text": "later on. This has led us, in a certain number of cases, to projects where we'll actually be setting up shop"}, {"path": "tedlium_21425.wav", "duration": 8.49, "text": "We have proven our ability to capitalize on continuing strong fundamentals in the apartment business through all economic cycles."}, {"path": "tedlium_21426.wav", "duration": 8.49, "text": "And to make sure that people can do the work, and that they can do those long routes, we also are changing into e-bikes."}, {"path": "tedlium_21427.wav", "duration": 8.49, "text": "Thank you, Neal, and good morning, everyone. I'd like to begin this morning by reviewing our financial performance for the fourth quarter and full year."}, {"path": "tedlium_21428.wav", "duration": 8.49, "text": "back a couple of years ago, more than a couple of years ago, the prior owner of home health and beauty and Dispensing had an Analyst Day on"}, {"path": "tedlium_21429.wav", "duration": 8.49, "text": "This decrease was primarily due to the pass-through of lower raw material and other manufacturing costs and a shift in sales mix to smaller can sizes."}, {"path": "tedlium_21430.wav", "duration": 8.49, "text": "about our expense expectation, in nominal terms, I can say that we are firmly focused on"}, {"path": "tedlium_21431.wav", "duration": 8.49, "text": "the multi-arm cells or quite frankly, more complex typed automation systems, and we want to be their partner on that journey."}, {"path": "tedlium_21432.wav", "duration": 8.49, "text": "which gave us the range and flexibility to use a new aircraft versus what was available on the leased market. So that was the only reason."}, {"path": "tedlium_21433.wav", "duration": 8.49, "text": "built over multiple years retain confidence in their counterparty. In short, strong credit ratings are critical to our business model and strategy,"}, {"path": "tedlium_21434.wav", "duration": 8.49, "text": "This decline was due to the impact of economic deceleration in Asia on the motor vehicle business as well as a downturn in the ship market."}, {"path": "tedlium_21435.wav", "duration": 8.49, "text": "In fact, we have passed Amazon's rigorous shipping test standard and are actively working with their brand managers on e-commerce opportunities."}, {"path": "tedlium_21436.wav", "duration": 8.49, "text": "The pre-marketing portion of the trial will focus on an interim analysis of proteinuria, which shows a substantial treatment effect,"}, {"path": "tedlium_21437.wav", "duration": 8.49, "text": "As you know, our CMO had an unforeseen manufacturing delay, which resulted in us having to move first patient dosed in the trial."}, {"path": "tedlium_21438.wav", "duration": 8.49, "text": "The combination of security and SD-WAN functionality into a single form factor drove this competitor displacement."}, {"path": "tedlium_21439.wav", "duration": 8.49, "text": "that has many aspects and involves the regulator, among other things. But I could not go into detail in"}, {"path": "tedlium_21440.wav", "duration": 8.49, "text": "But when you read across the media reports or whatever coming across, the general perception still remains that the Internet speed in Philippines is not that great."}, {"path": "tedlium_21441.wav", "duration": 8.49, "text": "was primarily driven by the favorable mix between services and products that I noted earlier and our cost-reduction actions,"}, {"path": "tedlium_21442.wav", "duration": 8.49, "text": "So I think I'd answer that with what we've already talked about, Kenric. I think we have and are working on a wide variety of alternatives"}, {"path": "tedlium_21443.wav", "duration": 8.49, "text": "and close them and dramatically reduce the unbilleds. It can't continue to go up. I couldn't agree more."}, {"path": "tedlium_21444.wav", "duration": 8.49, "text": "It is important to note these transactions were undertaken during a period with strong demand, and we are pleased with the pricing we have achieved."}, {"path": "tedlium_21445.wav", "duration": 8.49, "text": "In the Distribution segment, our prior year comps were tough, as last year's third quarter was a very strong quarter for Distribution"}, {"path": "tedlium_21446.wav", "duration": 8.49, "text": "available to invest. So it's not like we bought a fully invested firm that was starting over with the fundraising process."}, {"path": "tedlium_21447.wav", "duration": 8.49, "text": "I'd like to draw your attention to the results of our overseas business, which we regard as an important growth area."}, {"path": "tedlium_21448.wav", "duration": 8.49, "text": "could you share with us what is going to change in your strategy? Or we need to wait for the presentation next May?"}, {"path": "tedlium_21449.wav", "duration": 8.49, "text": "by nearly 20 basis points. Last year, we had a flat market in this asset class."}, {"path": "tedlium_21450.wav", "duration": 8.49, "text": "Demand is growing across the board, particularly with new and existing international customers an area that we have targeted for growth."}, {"path": "tedlium_21451.wav", "duration": 8.49, "text": "And so this is going to be a multiyear program that we're going to have to go after, and the pace of that will be dependent on resources, and again, progress and"}, {"path": "tedlium_21452.wav", "duration": 8.49, "text": "This quarter was a very active quarter for HBC as we continue to execute on our strategy for targeted profitable growth."}, {"path": "tedlium_21453.wav", "duration": 8.49, "text": "what we intend to do to continue our drive for efficiency as well as actions we will take to strengthen and streamline our infrastructure."}, {"path": "tedlium_21454.wav", "duration": 8.49, "text": "In addition, we are successfully launching our new group retirement product, Retirement Advantage, in more school districts."}, {"path": "tedlium_21455.wav", "duration": 8.49, "text": "of senior secured loans from Pacific Western Bancorp, as the bank decided to exit middle-market lending during the first quarter."}, {"path": "tedlium_21456.wav", "duration": 8.49, "text": "the number of leases is difficult to predict in the short term, we expect the proportion of these types of arrangements will increase over time."}, {"path": "tedlium_21457.wav", "duration": 8.49, "text": "or a bigger component of that, I would have thought that it would have been much closer to last year, if not below. Well, remember that"}, {"path": "tedlium_21458.wav", "duration": 8.49, "text": "at our existing 140 Camping World stores, that there's an opportunity for growth over the next 2 years in that business as well."}, {"path": "tedlium_21459.wav", "duration": 8.49, "text": "As far as the reduction of people in Chile, I think there is a little bit of excitement there. We don't see any material big"}, {"path": "tedlium_21460.wav", "duration": 8.49, "text": "to take a look at our current initiatives in the space of digital marketing and learn about opportunities related to demand creation moving forward."}, {"path": "tedlium_21461.wav", "duration": 8.49, "text": "the size of these packages are going to be very area dependent. It's really complex geologically, and we take -- as we've discussed before,"}, {"path": "tedlium_21462.wav", "duration": 8.49, "text": "So we had so much room. I think the next few years are really about flow and using the speed initiative and localization to our advantage."}, {"path": "tedlium_21463.wav", "duration": 8.49, "text": "net new customers. But the interesting part about that is given the architecture and the integration and"}, {"path": "tedlium_21464.wav", "duration": 8.49, "text": "A lot of people are cutting back on capacity because they're not making money. We are making money and believe we can make more money if we have more capacity."}, {"path": "tedlium_21465.wav", "duration": 8.49, "text": "as part of their broader engagement with Salesforce. We had notable expansions with another leading athletic apparel maker who's enhancing and expanding their direct"}, {"path": "tedlium_21466.wav", "duration": 8.49, "text": "A description of these risks, uncertainties and assumptions and other factors that could affect our financial results are included in our SEC filings,"}, {"path": "tedlium_21467.wav", "duration": 8.49, "text": "California's future demand for out-of-state capacity will be dependent on the direction of their overall inmate populations."}, {"path": "tedlium_21468.wav", "duration": 8.49, "text": "Yes. I think that, that will happen. I think there are a couple of beneficial things that will happen in our business"}, {"path": "tedlium_21469.wav", "duration": 8.49, "text": "Okay. And then just for the industry, I mean, it sounds like those softened a bit through the quarter but there's been some positive signs early in January."}, {"path": "tedlium_21470.wav", "duration": 8.49, "text": "kind of current level of performance, so if WPD is able to continue to improve that would push us"}, {"path": "tedlium_21471.wav", "duration": 8.49, "text": "Without your hard work and dedication, our continued success would not be possible, and I look forward to working with you over the coming periods."}, {"path": "tedlium_21472.wav", "duration": 8.49, "text": "The Air Transportation business built on the favorable performance of the first half and steadily captured passenger and cargo demand."}, {"path": "tedlium_21473.wav", "duration": 8.49, "text": "Then closing up with what we talked about in Capital Markets Day."}, {"path": "tedlium_21474.wav", "duration": 8.49, "text": "Further, no interested party should rely on the fact that the guidance of forward-looking statements is current at any time, other than the time of this call."}, {"path": "tedlium_21475.wav", "duration": 8.49, "text": "Owens Corning delivered an outstanding year. The company is at its best when all of its businesses make meaningful contributions to our financial results."}, {"path": "tedlium_21476.wav", "duration": 8.49, "text": "Could you just maybe be a little bit more specific in terms of the China -- how did China perform in the fourth quarter in constant currency?"}, {"path": "tedlium_21477.wav", "duration": 8.49, "text": "We believe that the vertically integrated structure that we have built here at Enzo can be a part of the answer to these problems."}, {"path": "tedlium_21478.wav", "duration": 8.49, "text": "So does that mean that if execution doesn't improve for the year, that there's downside risk to that updated outlook that you've given"}, {"path": "tedlium_21479.wav", "duration": 8.49, "text": "This is important we got this super right for customers in terms of making their options very clear on how we communicate and what we do with that data."}, {"path": "tedlium_21480.wav", "duration": 8.49, "text": "for Canada and what we need to do in order to make sure that we get in"}, {"path": "tedlium_21481.wav", "duration": 8.49, "text": "land collateral as a way to -- that may be lowly levered or unlevered to help provide the capital to clean up some of those operating lines. So I think"}, {"path": "tedlium_21482.wav", "duration": 8.49, "text": "Ladies and gentlemen, the conference has now concluded. Thank you for attending today's presentation, you may now disconnect your lines."}, {"path": "tedlium_21483.wav", "duration": 8.49, "text": "As expected, the majority of Premium Economy customers are leisure customers looking for an affordable way to enhance their international flight experience."}, {"path": "tedlium_21484.wav", "duration": 8.49, "text": "so far this year. No. Is that what you're looking at before or this is just going to be how things flow at a bit lower volume level next year?"}, {"path": "tedlium_21485.wav", "duration": 8.49, "text": "Our assessment platform, iON, continues to expand its reach both in terms of having a physical presence in every state and union territory in India,"}, {"path": "tedlium_21486.wav", "duration": 8.49, "text": "and it doesn't impact other products quite as much. And as I said, being surgical allows you to evaluate those types of decisions."}, {"path": "tedlium_21487.wav", "duration": 8.49, "text": "realistic and appropriate in terms of the kinds of evidence they're looking for to support"}, {"path": "tedlium_21488.wav", "duration": 8.49, "text": "so we're not actually losing any revenue. In fact those strategies are actually performing better with significantly smaller book sizes and therefore significantly smaller capital."}, {"path": "tedlium_21489.wav", "duration": 8.49, "text": "Thank you, Catherine. Good morning, and welcome to the Aptose Biosciences conference call to discuss financial and operational results for the third quarter"}, {"path": "tedlium_21490.wav", "duration": 8.49, "text": "you guys are one of those few remaining independent firms that you would entertain merging with a bigger firm at a certain price without mentioning the price of a dime?"}, {"path": "tedlium_21491.wav", "duration": 8.49, "text": "All Integer associates are excited to serve our customers because it is through our customers that we improve patients' lives."}, {"path": "tedlium_21492.wav", "duration": 8.49, "text": "although our third quarter is our weakest group quarter of the year, we are encouraged by the pickup during the second quarter"}, {"path": "tedlium_21493.wav", "duration": 8.49, "text": "The fact that we've seen a buildup in cash over the last several quarters doesn't reflect the change in that philosophy."}, {"path": "tedlium_21494.wav", "duration": 8.49, "text": "And third, Connecticut Governor Malloy signed the legislation allowing state officials to change the rules for how electricity"}, {"path": "tedlium_21495.wav", "duration": 8.49, "text": "and how the drug's performing. But I think what we're trying to say is there's other work that's gone on in this area -- I would say quite a bit of work over time."}, {"path": "tedlium_21496.wav", "duration": 8.49, "text": "what appears to be sort of a flattening trend line in terms of loan demand, particularly with"}, {"path": "tedlium_21497.wav", "duration": 8.49, "text": "Looking back over 2016, I'm pleased with the significant accomplishments that we achieved through the hard work and dedication of our employees."}, {"path": "tedlium_21498.wav", "duration": 8.49, "text": "would be looking for -- if you did look at truck brokerage, would you look at a Mode like model or would it be more of the company store, company employee model?"}, {"path": "tedlium_21499.wav", "duration": 8.49, "text": "built over the last period of time in Europe, but the market is growing and growing into that capacity so we're not unhappy with what's going on there."}, {"path": "tedlium_21500.wav", "duration": 8.49, "text": "we always said Line 9 and Southern Access Extension would provide us with the strongest netbacks. So we've been encouraged by"}, {"path": "tedlium_21501.wav", "duration": 8.49, "text": "if there are unique characteristics trickling into the selling cycle this year as well from maybe high retention rates or any other trend that you're seeing."}, {"path": "tedlium_21502.wav", "duration": 8.49, "text": "a little above what the Street was anticipating for both revenue and EPS. If you could maybe just touch on that a little bit where it gives you confidence"}, {"path": "tedlium_21503.wav", "duration": 8.49, "text": "This campaign will continue throughout the fourth quarter and our overall marketing dollar spend will be in line with last year."}, {"path": "tedlium_21504.wav", "duration": 8.49, "text": "Can you maybe talk to some of the benefit that you're getting from improving or consolidating your relationships with specific manufacturing vendors?"}, {"path": "tedlium_21505.wav", "duration": 8.49, "text": "line of your business actually down sequentially? I'm just trying to understand if the growth in the other parts of your business were actually"}, {"path": "tedlium_21506.wav", "duration": 8.49, "text": "These are not trivial things, as they have a big impact on the overall convenience of the experience, and it's convenience that has always been one of the main drivers of disruption."}, {"path": "tedlium_21507.wav", "duration": 8.49, "text": "This modern platform is one of the big advantages we have over the existing incumbents as it allows us to be faster and more innovative in terms of features and products"}, {"path": "tedlium_21508.wav", "duration": 8.49, "text": "stock compensation expense as well as changes in the fair value of contingent consideration recorded in relation to acquisitions."}, {"path": "tedlium_21509.wav", "duration": 8.49, "text": "With Noble, we'll be adding a new highly sophisticated large commercial and industrial customer base, targeted through a direct access model."}, {"path": "tedlium_21510.wav", "duration": 8.49, "text": "while they weren't down in Europe, they were weaker than normal. So I think those are maybe a little bit more of a telltale sign of the macro."}, {"path": "tedlium_21511.wav", "duration": 8.49, "text": "This is supported by smart analytics, meaning, we can rely less on mass marketing campaigns."}, {"path": "tedlium_21512.wav", "duration": 8.49, "text": "pull back on their Class 8 tractor investments this year, but they are not saying that about their trailer needs."}, {"path": "tedlium_21513.wav", "duration": 8.49, "text": "The first is going to be the addition of the abdominal symptoms claim, which we believe will allow us to speak to a broader patient population"}, {"path": "tedlium_21514.wav", "duration": 8.49, "text": "Investing cash flows are up at the half year due to timing of projects, with the full year expected to be consistent with last year."}, {"path": "tedlium_21515.wav", "duration": 8.49, "text": "So from a financial perspective, you can see today that we remain in a strong position in regards to profitability and balance sheet,"}, {"path": "tedlium_21516.wav", "duration": 8.49, "text": "So when you think about people that ought to be able to capitalize on this, it's people like ourselves that have built and spent 20-plus years building a system out there"}, {"path": "tedlium_21517.wav", "duration": 8.49, "text": "people tend to wrap up the year and then it's usually well into January before they're through their budgeting for the next year. Many of our customers are"}, {"path": "tedlium_21518.wav", "duration": 8.49, "text": "space over the last few years as you had really strong cash flow growth. But if looking forward over the next couple of years,"}, {"path": "tedlium_21519.wav", "duration": 8.49, "text": "Along the way, we have assembled an exceptional team with lots of caring and lots of compete. I'm so proud of them."}, {"path": "tedlium_21520.wav", "duration": 8.49, "text": "Would you -- as far as items that you would caution us not to get too caught up in terms of looking at that as a run rate,"}, {"path": "tedlium_21521.wav", "duration": 8.49, "text": "So all of these point to the need for greater infrastructure in the region. And this is a project we continue to move forward with."}, {"path": "tedlium_21522.wav", "duration": 8.49, "text": "resources in the market just as the renewables credits are the cost of keeping resources in the market, paying for the environmental attributes,"}, {"path": "tedlium_21523.wav", "duration": 8.49, "text": "So you could list them and they are available to see in the catalog. And this is what the customer would be running if they bought the AMPLIFY"}, {"path": "tedlium_21524.wav", "duration": 8.49, "text": "So generally speaking, do you think there should be a change in your assumed depreciation schedule so you would prevent a lot of these aircraft impairment charges?"}, {"path": "tedlium_21525.wav", "duration": 8.49, "text": "to date. That's certainly a reflection of the feedback that we've had from the market over the course of the last five months."}, {"path": "tedlium_21526.wav", "duration": 8.49, "text": "and any discounts, rebates and product returns. We expect the earliest we'll have sufficient visibility to reliably"}, {"path": "tedlium_21527.wav", "duration": 8.49, "text": "Having said this, it is still very early days. But so far we like what we're seeing in Colombia on mobile as much as we do on home."}, {"path": "tedlium_21528.wav", "duration": 8.49, "text": "I think you want to go ahead and kind of reevaluate your portfolio even further and maybe sell some more assets at this point,"}, {"path": "tedlium_21529.wav", "duration": 8.49, "text": "To go into more detail on our operational excellence progress, over the last 2 years, our manufacturing organization has executed on our plans to be more efficient."}, {"path": "tedlium_21530.wav", "duration": 8.49, "text": "Not the sales force, but pieces of particularly around the value proposition, and we've applied it to those small customers who are doing business with us through the web,"}, {"path": "tedlium_21531.wav", "duration": 8.49, "text": "and we continue to have steady success. We have now surpassed 25,000 unique direct customers as of September."}, {"path": "tedlium_21532.wav", "duration": 8.49, "text": "With fuel hedge losses significantly below where they were last year and the second half of the -- of this year,"}, {"path": "tedlium_21533.wav", "duration": 8.49, "text": "Our vision is to exceed the expectations of our customers, shareholders and communities today and to make possible the energy systems of tomorrow."}, {"path": "tedlium_21534.wav", "duration": 8.49, "text": "And you will see that the market is currently dominated by Qatar and Australia."}, {"path": "tedlium_21535.wav", "duration": 8.49, "text": "how much EBIDTA did you guys actually see from those acquisitions in Q4? I'm guessing it was negligible, but was it a couple of million bucks or what?"}, {"path": "tedlium_21536.wav", "duration": 8.49, "text": "we get it done in 6, 8, 10 weeks and we get the deal. So we're seeing more of that as we go forward."}, {"path": "tedlium_21537.wav", "duration": 8.49, "text": "As we make larger inroads into the residential market, we expect this market to become a larger and more significant portion"}, {"path": "tedlium_21538.wav", "duration": 8.49, "text": "that this is an important program for us, not only because of its size, but also because it is our first large blade server opportunity."}, {"path": "tedlium_21539.wav", "duration": 8.49, "text": "and buying that from a company that does the design, development and manufacturing domestically, it really narrows down the field"}, {"path": "tedlium_21540.wav", "duration": 8.49, "text": "While the new model involves some measure of dependency on downstream partners, this is mitigated by the profound alignment of interest with our new customers."}, {"path": "tedlium_21541.wav", "duration": 8.49, "text": "I'll take this moment to remind everyone of our previously stated ambitions to deliver sustainable mid- to high-single digits revenue growth"}, {"path": "tedlium_21542.wav", "duration": 8.49, "text": "In the last couple of months, we have made a number of significant organizational changes that we believe will make us more effective."}, {"path": "tedlium_21543.wav", "duration": 8.49, "text": "I am very pleased with our execution in Q3. My team delivered strong financial performance,"}, {"path": "tedlium_21544.wav", "duration": 8.49, "text": "This deal represents the largest subscription software contract in the company's history and provides significant momentum for this solution."}, {"path": "tedlium_21545.wav", "duration": 8.49, "text": "So we feel good about the competitive positioning. We're working hard to get ahead of the complexity on this large program,"}, {"path": "tedlium_21546.wav", "duration": 8.49, "text": "A reconciliation of these measures to the most comparable GAAP measures can be found in the financial tables of today's press release."}, {"path": "tedlium_21547.wav", "duration": 8.49, "text": "then the likelihood of you are sitting on the sideline for a period of time until your results are where your expectations lie"}, {"path": "tedlium_21548.wav", "duration": 8.49, "text": "Really, the emergence of bankruptcy and the reinvigoration of capital spending by Ultra has driven volumes,"}, {"path": "tedlium_21549.wav", "duration": 8.4600625, "text": "driving the overall downward trend in the delinquency ratio. And now the provision on Page 18. As was mentioned,"}, {"path": "tedlium_21550.wav", "duration": 8.46, "text": "The tone seems a little bit lukewarm on that. Is this more like you want to put in a floor if the stock were to get hit for some reason? Or"}, {"path": "tedlium_21551.wav", "duration": 8.46, "text": "smart elevators and using Internet of Things and using a strategy around that, around an agile enterprise, when you look at the auto"}, {"path": "tedlium_21552.wav", "duration": 8.46, "text": "And frankly, we've shown patience and discipline with our growth which has really come in chunks over that span of time"}, {"path": "tedlium_21553.wav", "duration": 8.46, "text": "finally down in the lower left, historical cost of deposits. We were able to lag during the cycle, but if the Fed Funds rate increase"}, {"path": "tedlium_21554.wav", "duration": 8.46, "text": "in our knowledge and our understanding of the over 50s. In the longer term, we expect to see a positive impact on churn rates"}, {"path": "tedlium_21555.wav", "duration": 8.46, "text": "Noble Group will remain a strong diverse set of businesses, focused on our strong physical franchises around the world."}, {"path": "tedlium_21556.wav", "duration": 8.46, "text": "Before I provide the numbers for the second quarter's instructive, to point out that despite our outperformance in the first quarter, we are maintaining our original full year guidance."}, {"path": "tedlium_21557.wav", "duration": 8.46, "text": "I just thought you may be interested to see what emerges out of -- what looks like a complicated rough."}, {"path": "tedlium_21558.wav", "duration": 8.46, "text": "So anything you want to point out in terms of cadence through the year or seasonality, both on the top and the bottom lines?"}, {"path": "tedlium_21559.wav", "duration": 8.46, "text": "is sufficient for us to meet our return hurdles while providing a competitive edge for TCAP from a product mix standpoint."}, {"path": "tedlium_21560.wav", "duration": 8.46, "text": "and reflects the point of origination of pickup of the material for the customer, Jon. So it's already baked into those numbers."}, {"path": "tedlium_21561.wav", "duration": 8.46, "text": "follow up on the discussion about Florida. So could you just give us a little bit more of a sense of"}, {"path": "tedlium_21562.wav", "duration": 8.46, "text": "So for other financial services what are your future plans? How are you going to reinforce your financial services business?"}, {"path": "tedlium_21563.wav", "duration": 8.46, "text": "As you all know, Q1 is normally seasonally down from Q4 of the prior year market expectations"}, {"path": "tedlium_21564.wav", "duration": 8.46, "text": "Any amounts though that were included in the adjustment in the fourth quarter, I mean, we've not"}, {"path": "tedlium_21565.wav", "duration": 8.46, "text": "As we observed on our last conference call, property pricing has leveled off but not yet been impacted negatively by the slowing transaction activity."}, {"path": "tedlium_21566.wav", "duration": 8.46, "text": "for people to buy at a dealership. These products are specifically tailored to the auto industry, they are beneficial"}, {"path": "tedlium_21567.wav", "duration": 8.46, "text": "and manufacturing strategy in one of those 3 plants. So we need to get into that and we'll come back to you with updated estimates."}, {"path": "tedlium_21568.wav", "duration": 8.46, "text": "But how quickly that happened in the quarter and then being able to react to it did drive the basis point decline in the quarter."}, {"path": "tedlium_21569.wav", "duration": 8.46, "text": "The new suite will cover the entire item lifecycle from how we engage and buy from our suppliers to how we replenish and allocate to stores."}, {"path": "tedlium_21570.wav", "duration": 8.46, "text": "and where we have a very competitive product. I think to that extent, that thinking has been"}, {"path": "tedlium_21571.wav", "duration": 8.46, "text": "the remainder of my comments, I'm going to speak to the midpoint of our full year EPS range and on a constant currency basis."}, {"path": "tedlium_21572.wav", "duration": 8.46, "text": "that than just a market deal. And we've got a lot of cash, so we'd like to have that be a meaningful amount or"}, {"path": "tedlium_21573.wav", "duration": 8.46, "text": "and our Makoto business. We are building out our investment in corporate banking presence here in Canada and internationally."}, {"path": "tedlium_21574.wav", "duration": 8.46, "text": "In addition, this year, with the implementation of our renewed ERP system, which we expect"}, {"path": "tedlium_21575.wav", "duration": 8.46, "text": "if you take a step back from that and if you're a player in the market who only covers, say, part of the market, may be only digital or you only have set-top box data,"}, {"path": "tedlium_21576.wav", "duration": 8.46, "text": "in terms of our ability to execute in that space. There's an absolute change in the manufacturing market and that change favors the cloud native."}, {"path": "tedlium_21577.wav", "duration": 8.46, "text": "The size of any funding required for the balance of 2015 will be a function of planned activity, production levels and revenue at that time."}, {"path": "tedlium_21578.wav", "duration": 8.46, "text": "the protocol so that we can start on time in the second half of this year."}, {"path": "tedlium_21579.wav", "duration": 8.46, "text": "it's not as simple as bringing new technology to the fire service market as it might be bringing new technology to the consumer market."}, {"path": "tedlium_21580.wav", "duration": 8.46, "text": "It's really exciting to be working with Honda Aircraft Company, and we see opportunities to do even more with them going forward."}, {"path": "tedlium_21581.wav", "duration": 8.46, "text": "Part of the selling expense as you go through the whole thing in the second quarter was just a shift, because we're doing more international, which is more second quarter"}, {"path": "tedlium_21582.wav", "duration": 8.46, "text": "looking back on the CODA business is a lot of these contracts require significant deposits before we"}, {"path": "tedlium_21583.wav", "duration": 8.46, "text": "And not only from a supply chain perspective but equally, from a ReposiTrak perspective, we're terribly concerned that our customers get"}, {"path": "tedlium_21584.wav", "duration": 8.46, "text": "I think that -- you raise a very good point, though. We did take some actions that we outlined in our prepared remarks related to both"}, {"path": "tedlium_21585.wav", "duration": 8.46, "text": "In addition, we continue to pursue unmanned opportunities with the Marine Corps and the firefighting mission with the Department of the Interior."}, {"path": "tedlium_21586.wav", "duration": 8.46, "text": "These statements are also subject to numerous risks and uncertainties that could cause actual results to differ materially from what we expect."}, {"path": "tedlium_21587.wav", "duration": 8.46, "text": "and it seems that the investment you're making in price can be promotion, shelf pricing, more dollars in PC Plus."}, {"path": "tedlium_21588.wav", "duration": 8.46, "text": "and customers were able to experience the new automated software solution Phenomap from Visiopharm. While the software is the headline,"}, {"path": "tedlium_21589.wav", "duration": 8.46, "text": "At the end of this presentation, we will open the floor for questions, where we will answer with as much detail as possible any remaining doubts or inquiries."}, {"path": "tedlium_21590.wav", "duration": 8.46, "text": "Quota credit and commissions for nonrecurring sales have been eliminated. We believe that an individual rep"}, {"path": "tedlium_21591.wav", "duration": 8.46, "text": "Also notable was the change in the proportion of patients achieving modified partial remission during the open-label period of the study."}, {"path": "tedlium_21592.wav", "duration": 8.46, "text": "maybe refer more specifically kind of to the deal flow that we have seen over now the last 9 months or so."}, {"path": "tedlium_21593.wav", "duration": 8.46, "text": "Further to that point, improving and ultimately acceptable financial returns will be the most critical measure by which we measure our own success."}, {"path": "tedlium_21594.wav", "duration": 8.46, "text": "looking in Q1, then you are back again because now they both are included in the figures from the 1st of January."}, {"path": "tedlium_21595.wav", "duration": 8.46, "text": "aligning directly to our 5-year plan and allowing us to better focus on our global regulatory and compliance offerings."}, {"path": "tedlium_21596.wav", "duration": 8.46, "text": "As we look to the future, the return we can bring to shareholders by focusing on our members and the value we bring to them will be front and center in our minds."}, {"path": "tedlium_21597.wav", "duration": 8.46, "text": "New York City has this enormous backlog. Governor Cuomo has stated for everyone to hear that he expects to generate"}, {"path": "tedlium_21598.wav", "duration": 8.46, "text": "in an industry where nobody's left. I keep saying it, but the truth is in the pudding. We have now got 3 straight"}, {"path": "tedlium_21599.wav", "duration": 8.46, "text": "what the future commencing really now has in store. The only thing that I"}, {"path": "tedlium_21600.wav", "duration": 8.46, "text": "net income. We are expecting higher revenue in the second half than the first. The revenue growth, we also expect to increase in"}, {"path": "tedlium_21601.wav", "duration": 8.46, "text": "Ladies and gentlemen, thank you for your participation in today's conference. This does conclude the program, and you may now disconnect. Everyone, have a great day."}, {"path": "tedlium_21602.wav", "duration": 8.46, "text": "At the same time, I've spent a lot of time in Europe with the team underneath Katarzyna, and we have strong players. I have a lot of confidence in the team."}, {"path": "tedlium_21603.wav", "duration": 8.46, "text": "to offset what we view -- what we know is going to be a hole for us for the full year relative to our original guidance. So"}, {"path": "tedlium_21604.wav", "duration": 8.46, "text": "middle of next year, we'd get a decision from the commission on our action plan as part of the Integrated Resource Planning process."}, {"path": "tedlium_21605.wav", "duration": 8.46, "text": "we become an even more important place to work. When you look at our turnover, not excessively high in any way, shape or form,"}, {"path": "tedlium_21606.wav", "duration": 8.46, "text": "Recently, the Brazilian government announced changes in the primary financing program for irrigation equipment called"}, {"path": "tedlium_21607.wav", "duration": 8.46, "text": "While we want to be clear regarding our GAAP results and the items they reflect, when adjusting for these onetime items"}, {"path": "tedlium_21608.wav", "duration": 8.46, "text": "mine is a big complex thing where you're doing lots of work and lots of -- it's not all related to every ton of coal that's delivered."}, {"path": "tedlium_21609.wav", "duration": 8.46, "text": "our pipeline includes a large number of opportunities, including an active pilot with a national enterprise customer"}, {"path": "tedlium_21610.wav", "duration": 8.46, "text": "Northwest will be identifying areas of synergy that they can leverage by being part of Rollins. The addition of Northwest"}, {"path": "tedlium_21611.wav", "duration": 8.46, "text": "The main reason for the increase is the full quarter revenues on the 4 container vessels on charter to Evergreen, which were delivered to us end of May."}, {"path": "tedlium_21612.wav", "duration": 8.46, "text": "certain lift out of loyalty in the second year and we just didn't get that. As we dug more into it and talked to"}, {"path": "tedlium_21613.wav", "duration": 8.46, "text": "And part of the costs that we've talked about and fully scoped out this morning, include both the expected"}, {"path": "tedlium_21614.wav", "duration": 8.46, "text": "this is partially as a result of new product and service introductions, which generate those higher margins and leads to a more favorable product mix."}, {"path": "tedlium_21615.wav", "duration": 8.46, "text": "where we provided support for the federal marketplace. Second quarter operating margin for the federal segment"}, {"path": "tedlium_21616.wav", "duration": 8.46, "text": "These adverse impacts were more than offset by operating profit growth, higher associate income and lower net finance charges,"}, {"path": "tedlium_21617.wav", "duration": 8.46, "text": "This is required for us to continue to be a leader in the OTT space, particularly in the rapidly growing AVOD segment that Chris described."}, {"path": "tedlium_21618.wav", "duration": 8.46, "text": "Despite the good backlog in our Energy Group, we remain slightly cautious on our outlook for the Energy Group, with the main headwinds for this group being persistent."}, {"path": "tedlium_21619.wav", "duration": 8.46, "text": "In conclusion, Industrial had an exceptional first half of the year and remains well positioned for continued success."}, {"path": "tedlium_21620.wav", "duration": 8.46, "text": "Before we begin, I'll remind listeners that during the course of this call we will make forward-looking statements within the meaning of the Federal Securities Laws."}, {"path": "tedlium_21621.wav", "duration": 8.46, "text": "For example, on the opposite end of the spectrum from CityFibre might be incumbent local exchange carriers."}, {"path": "tedlium_21622.wav", "duration": 8.46, "text": "that when you're looking at the mix of projects in our backlog, there is a wide variety of price levels that we're seeing."}, {"path": "tedlium_21623.wav", "duration": 8.46, "text": "As Kate mentioned, we've seen some improving trends across our international businesses, with revenues in Europe and Asia Pacific increasing during the quarter."}, {"path": "tedlium_21624.wav", "duration": 8.46, "text": "We will expand our network into white spots by including such methods as utilizing alliances with overseas airlines."}, {"path": "tedlium_21625.wav", "duration": 8.46, "text": "Together, automotive and industrial markets contributed close to half of total company revenue in the September quarter."}, {"path": "tedlium_21626.wav", "duration": 8.46, "text": "we reserved our right to dispute that amount not because we disagree with the amount necessarily because we haven't had a chance to audit the calculations yet."}, {"path": "tedlium_21627.wav", "duration": 8.46, "text": "It has been relatively stable over the course of the last year. We think that's a positive for us as a manufacturer. We also think it's probably a positive"}, {"path": "tedlium_21628.wav", "duration": 8.46, "text": "and increasing volume from a large existing customer that has decided to extend our services into one of their other product groups."}, {"path": "tedlium_21629.wav", "duration": 8.46, "text": "I don't anticipate that we'll have to, because there is a very -- there's a lot of clarity from OFAC that the 50% of capital is the rule that they apply."}, {"path": "tedlium_21630.wav", "duration": 8.46, "text": "Thank you. It's been a very strong quarter for us. We are making significant progress on the fronts of product development and"}, {"path": "tedlium_21631.wav", "duration": 8.46, "text": "the variability in that number would be based on the activity that we have on the legal front in terms of case work."}, {"path": "tedlium_21632.wav", "duration": 8.46, "text": "This speaks to the power of our common, scaled network infrastructure that serves both the Consumer and Business segments."}, {"path": "tedlium_21633.wav", "duration": 8.46, "text": "Engineering and development increased 76% for the full year due to the same factors."}, {"path": "tedlium_21634.wav", "duration": 8.46, "text": "The nature of that business is lower margin for us but also from the pricing point of view because it's projects versus service."}, {"path": "tedlium_21635.wav", "duration": 8.46, "text": "Accordingly, we're continuing to engage with potential tenants while preserving the flexibility to achieve an optimal outcome."}, {"path": "tedlium_21636.wav", "duration": 8.46, "text": "According to our leasing agents, the Midtown South office market had a strong quarter with 2.7 million square feet being leased."}, {"path": "tedlium_21637.wav", "duration": 8.46, "text": "The fourth quarter was dominated by the new tax legislation being signed into law by the President and causing our company to remeasure its deferred tax asset on the balance sheet."}, {"path": "tedlium_21638.wav", "duration": 8.46, "text": "So we are sticking with the guidance of something around 100 for the full year, needless to change this in just last quarter."}, {"path": "tedlium_21639.wav", "duration": 8.46, "text": "Our investments in the second quarter primarily represent a combination of incremental loans to existing portfolio companies"}, {"path": "tedlium_21640.wav", "duration": 8.46, "text": "Our view is that as we see the construction activity really start picking up, that's going to flush through probably a little bit quicker on the lumber side"}, {"path": "tedlium_21641.wav", "duration": 8.46, "text": "companies. There's a whole host of biotech companies that are operating businesses that have drugs in the marketplace and have sales and"}, {"path": "tedlium_21642.wav", "duration": 8.46, "text": "The adjustments shown for pension, stock-based compensation and restructuring are all attributable to the spin so have also been adjusted out."}, {"path": "tedlium_21643.wav", "duration": 8.46, "text": "As discussed in prior earnings calls, the effective tax rate will continue to be somewhat sensitive to the geographic mix of earnings across the globe."}, {"path": "tedlium_21644.wav", "duration": 8.46, "text": "We remain encouraged by the progress and constructive discussions with customers on the growth of our new Lifecycle business."}, {"path": "tedlium_21645.wav", "duration": 8.46, "text": "Through the fourth quarter, academic centers represented the highest number of ordering accounts by type as well as the highest volume of orders."}, {"path": "tedlium_21646.wav", "duration": 8.46, "text": "This is how we planned the business to better align with customer demand, along with an expectation around improved international service levels in the fourth quarter."}, {"path": "tedlium_21647.wav", "duration": 8.46, "text": "the NOCs and independents are starting to see the need to invest in their resource base simply to maintain production at current levels."}, {"path": "tedlium_21648.wav", "duration": 8.46, "text": "our level of charge-offs is very much dependent on the target yield and risk profile that we're taking in the business. I think, right now, we are"}, {"path": "tedlium_21649.wav", "duration": 8.46, "text": "Global economic uncertainty and slow growth in China continued to dampen LED TV demand."}, {"path": "tedlium_21650.wav", "duration": 8.46, "text": "Thanks, Dick, and good morning, everyone. Let me start by saying that we are obviously pleased with the fourth quarter and full year results."}, {"path": "tedlium_21651.wav", "duration": 8.46, "text": "And what is the status of the standstill agreement with Allergan? And then you touched a little bit on pricing"}, {"path": "tedlium_21652.wav", "duration": 8.46, "text": "to bring technological solutions and to be seen as a positive force in our interactions with communities where our assets are located."}, {"path": "tedlium_21653.wav", "duration": 8.46, "text": "This year, we have experienced growing pains in a few of our plants where higher sales growth rates have increased capacity utilization."}, {"path": "tedlium_21654.wav", "duration": 8.46, "text": "another customer with Linx Pay. And so maybe we would think that these would be"}, {"path": "tedlium_21655.wav", "duration": 8.46, "text": "types of vessels in Europe. That seems to be getting better. The area that again still seems to be"}, {"path": "tedlium_21656.wav", "duration": 8.46, "text": "We've increased the renewable piece and the spending, but we're probably not going to see a lot of the revenue because those are more at the"}, {"path": "tedlium_21657.wav", "duration": 8.46, "text": "And as Jim mentioned going to this concept of adjusted net income, we're really looking to focus on the core business going forward,"}, {"path": "tedlium_21658.wav", "duration": 8.46, "text": "That's great. It's always -- the thing about this digital thing, Overwatch is a great title for us, and the thing about it is you have to be insightful about what"}, {"path": "tedlium_21659.wav", "duration": 8.46, "text": "We have spent time following up with several analysts and investors since our Investor Day and have had good dialogue on our strategy."}, {"path": "tedlium_21660.wav", "duration": 8.46, "text": "Given that this is a very recent development, we don't yet have specific comments or guidance on the financial implications of this change."}, {"path": "tedlium_21661.wav", "duration": 8.46, "text": "and we are expecting also to continue on that lower levels for the next year, as I have explained with the guidance before. So"}, {"path": "tedlium_21662.wav", "duration": 8.46, "text": "we expanded operating margins by 50 basis points for the year in a declining sales environment, a very solid result."}, {"path": "tedlium_21663.wav", "duration": 8.46, "text": "Well, thank you for joining us for today's call. And we look forward to speaking you -- with you again when we report our first quarter results in May."}, {"path": "tedlium_21664.wav", "duration": 8.46, "text": "we see certainly advantages to higher defense spending and certainly other key advantages to actually having a budget."}, {"path": "tedlium_21665.wav", "duration": 8.46, "text": "And -- for instance, we had one customer that sold out in Eastern New Mexico and we were running 5 rigs a day"}, {"path": "tedlium_21666.wav", "duration": 8.46, "text": "We did this to heighten our focus on becoming the leader in the integrated containment and delivery of injectable medicines."}, {"path": "tedlium_21667.wav", "duration": 8.46, "text": "you might deploy the kind of what looks to be excess funds available to Medicare Advantage for next year."}, {"path": "tedlium_21668.wav", "duration": 8.46, "text": "So -- and the pattern of our share-based awards creates a higher level of vestings and exercises in the first half, and that's been consistent over time."}, {"path": "tedlium_21669.wav", "duration": 8.46, "text": "following the additional rejections expected in the first quarter before reaccelerating in the second half as redevelopment completions also accelerate."}, {"path": "tedlium_21670.wav", "duration": 8.46, "text": "and we have not submitted this yet. We have -- we are very motivated, and"}, {"path": "tedlium_21671.wav", "duration": 8.46, "text": "putting these expenses as deductible according to the parameters that are in the law."}, {"path": "tedlium_21672.wav", "duration": 8.46, "text": "is operating in the third quarter already higher than the nominal capacity. So in the third quarter and the fourth quarter,"}, {"path": "tedlium_21673.wav", "duration": 8.46, "text": "conserving a little bit of cash and having a little more firepower for some of the organic projects that you have potentially on the table or acquisitions?"}, {"path": "tedlium_21674.wav", "duration": 8.46, "text": "what we saw last year, where at this point in time you saw the seasonal downturn from now until August, September?"}, {"path": "tedlium_21675.wav", "duration": 8.46, "text": "The LIT business is now fully integrated and continues to play an important role in several of our major programs."}, {"path": "tedlium_21676.wav", "duration": 8.46, "text": "but we need to be more aggressive. Although I'm pleased with the performance in '17, I think we could have set the bar higher and acquired more aggressively."}, {"path": "tedlium_21677.wav", "duration": 8.46, "text": "as well as the quality of execution on projects, the management of risk for future projects and a strong underpinning of continued awards in Fab Services,"}, {"path": "tedlium_21678.wav", "duration": 8.46, "text": "driving operational and supply chain efficiencies, improving our process and focus within our innovation and new product development efforts,"}, {"path": "tedlium_21679.wav", "duration": 8.46, "text": "We drove a 16 percentage point lift in action intent to shop at Target for the holidays as measured by Nielsen"}, {"path": "tedlium_21680.wav", "duration": 8.46, "text": "Target partnered with us using Snap Ads and Filters to drive action intent and in-store visitation for holiday shopping."}, {"path": "tedlium_21681.wav", "duration": 8.46, "text": "And again, it's -- the best way we can measure it right now is the fact that our lead times have doubled here over the past few months."}, {"path": "tedlium_21682.wav", "duration": 8.46, "text": "And so a lot of those securities are still turning out distributions and dividends and interest, but the market value of the securities have gone down. And so"}, {"path": "tedlium_21683.wav", "duration": 8.46, "text": "around the building as we now have no street seller of our ticket to whom we are obligated to sell our tickets."}, {"path": "tedlium_21684.wav", "duration": 8.46, "text": "This restructuring was intended to create better alignment with client expectations and market demand and also to improve our leverage model."}, {"path": "tedlium_21685.wav", "duration": 8.46, "text": "The operating team needs to be rebuilt and operating systems and processes designed for a modern mechanized operation."}, {"path": "tedlium_21686.wav", "duration": 8.46, "text": "Specifically, July 2018 wind production at the peak hour was right around the average wind production at the peak hour over the last 3 years in July."}, {"path": "tedlium_21687.wav", "duration": 8.46, "text": "Ian joined us from Sherwin-Williams and is already collaborating with our segment business leaders and marketing teams to find better ways to gather,"}, {"path": "tedlium_21688.wav", "duration": 8.46, "text": "we will continue to exclude New Jersey from our full-year projection. Though we now expect the second quarter to include 3 months of New Jersey revenue."}, {"path": "tedlium_21689.wav", "duration": 8.46, "text": "somewhat unique because we played the role of an SI in that deal and that was obviously, a multimillion dollar deal."}, {"path": "tedlium_21690.wav", "duration": 8.46, "text": "when we go to market by combining our payroll, our benefits and our HR technology services into an integrated service offering to our clients."}, {"path": "tedlium_21691.wav", "duration": 8.46, "text": "Incremental investments, which are forecasted to be lower in 2015, will be focused on new products and channel development to meet"}, {"path": "tedlium_21692.wav", "duration": 8.4300625, "text": "Probably the most pleasing thing of all is the long-term contracted position in relation to the ERFs, which has substantially changed."}, {"path": "tedlium_21693.wav", "duration": 8.43, "text": "As a reminder, we have provided additional guidance for the third quarter in the supplemental presentation posted on our website."}, {"path": "tedlium_21694.wav", "duration": 8.43, "text": "we do expect to come back to the historical levels within a year or so."}, {"path": "tedlium_21695.wav", "duration": 8.43, "text": "But at the moment there is nothing tangible on the horizon that indicates that opportunity will be presenting itself anytime soon."}, {"path": "tedlium_21696.wav", "duration": 8.43, "text": "We will be in a much better position by the end of this year when it will have been operating in a steady state for a period of months."}, {"path": "tedlium_21697.wav", "duration": 8.43, "text": "We chose credit unions because we believe they will continue to lose relevancy especially with millennials and don't have the ability to invest in technology and make that shift to digital."}, {"path": "tedlium_21698.wav", "duration": 8.43, "text": "Leonardo, now regarding prices, and you specifically focused on the industry."}, {"path": "tedlium_21699.wav", "duration": 8.43, "text": "in a tumor type that was previously believed to be refractory, that is where immuno-oncology would provide no benefit, there's clear evidence there could be some."}, {"path": "tedlium_21700.wav", "duration": 8.43, "text": "that's just core growth on sales in the quarter, but just to reiterate, when I'm looking at orders in the quarter, which I think we highlighted on the conference call"}, {"path": "tedlium_21701.wav", "duration": 8.43, "text": "And so we were looking at a significant growth of metals portion in our overall cost structure."}, {"path": "tedlium_21702.wav", "duration": 8.43, "text": "A nonrecurring retention plan based on restricted shares instead of options is a great way to reward the hard work and commitment our people have put forth"}, {"path": "tedlium_21703.wav", "duration": 8.43, "text": "Beyond our efforts to strengthen the quality of customer service in restaurant operations, we're also making progress on our key digital initiatives."}, {"path": "tedlium_21704.wav", "duration": 8.43, "text": "so the first goal was to grow organically in the last couple of years when the market's been fairly challenging and protect our capital."}, {"path": "tedlium_21705.wav", "duration": 8.43, "text": "The weakness in Australia and Argentina through the first half are expected to impact International revenue growth negatively by about 2% in the first half of the year."}, {"path": "tedlium_21706.wav", "duration": 8.43, "text": "It also includes strategic initiatives that require extra resources and new capabilities."}, {"path": "tedlium_21707.wav", "duration": 8.43, "text": "Today's call will include my comments on Reis' financial and operational results. I will then ask Mark to review our financial performance."}, {"path": "tedlium_21708.wav", "duration": 8.43, "text": "positioned to absorb increased volumes in our existing footprint and cost structure as this end market improves."}, {"path": "tedlium_21709.wav", "duration": 8.43, "text": "I'll get that for you. I will say in general that our fees overall tend to be fairly well distributed relative to the room counts,"}, {"path": "tedlium_21710.wav", "duration": 8.43, "text": "It is harder to see with the acquisition and the disposition activity over the past year with MD, Jarislowsky Fraser"}, {"path": "tedlium_21711.wav", "duration": 8.43, "text": "comments if there were something specific that you guys achieved that helps you understand how this works or if this was just simply Texas kind of clearing the decks for the last couple of years?"}, {"path": "tedlium_21712.wav", "duration": 8.43, "text": "It's a great opportunity, because a lot of Europe is in the process of static to digital conversion"}, {"path": "tedlium_21713.wav", "duration": 8.43, "text": "primarily due to the previously disclosed loss of a domestic tablet program and declines within our legacy runoff business."}, {"path": "tedlium_21714.wav", "duration": 8.43, "text": "because of the fact that we were not doing business with ClarusONE. We lost our business with ClarusONE. So"}, {"path": "tedlium_21715.wav", "duration": 8.43, "text": "Expenses were controlled very well, thanks to our precise marketing and channel management."}, {"path": "tedlium_21716.wav", "duration": 8.43, "text": "I encourage you to ask the same question and to look for those details when we have the announcement at the end of this year."}, {"path": "tedlium_21717.wav", "duration": 8.43, "text": "Second of all, we have started to deploy our new real estate strategy, which is twofold"}, {"path": "tedlium_21718.wav", "duration": 8.43, "text": "and a rigorous focus on cross functional customer success KPIs. Now I'd like to spend a few minutes talking about our latest"}, {"path": "tedlium_21719.wav", "duration": 8.43, "text": "increase in the turnover, and that was mainly because of limitations of our capacity."}, {"path": "tedlium_21720.wav", "duration": 8.43, "text": "Have you had direct conversations with entities at this point? I'm just trying to get a sense of how close you might be to doing something in this regard?"}, {"path": "tedlium_21721.wav", "duration": 8.43, "text": "Our Fluid Power platform, which is more dependent on OEM end markets, is also under top line pressure in the current macro environment."}, {"path": "tedlium_21722.wav", "duration": 8.43, "text": "Two additional quick service restaurants were added in April and we took over operation of 1 more from a former tenant."}, {"path": "tedlium_21723.wav", "duration": 8.43, "text": "We have identified areas where we know we're not competitive internally. We've already taken the decision to shut down some activities"}, {"path": "tedlium_21724.wav", "duration": 8.43, "text": "Well, that -- I can tell you what it was. The trouble is it's sort of a meaningless number, because"}, {"path": "tedlium_21725.wav", "duration": 8.43, "text": "As we find opportunities that yield even bigger benefits, through testing and learning and iterating, those things will probably take a little bit longer, but"}, {"path": "tedlium_21726.wav", "duration": 8.43, "text": "the Census Bureau and the SEC. And we see opportunity more broadly"}, {"path": "tedlium_21727.wav", "duration": 8.43, "text": "We remain focused on proactively evaluating all assets and all transaction structures and will continue to rely on our proven process."}, {"path": "tedlium_21728.wav", "duration": 8.43, "text": "that allows us to reach entirely new audiences. And I could go on and on. Innovation in content is integral to our culture."}, {"path": "tedlium_21729.wav", "duration": 8.43, "text": "how much utilization impact we could see in the market from scrubber -- from vessels being out of the market"}, {"path": "tedlium_21730.wav", "duration": 8.43, "text": "I view that as an enabling technology to help us go after the market opportunity. The more it's a transactional side in the ERP system"}, {"path": "tedlium_21731.wav", "duration": 8.43, "text": "communications tower at our Aurora I location during the quarter, and we will be offering the first on-campus wireless access to customers."}, {"path": "tedlium_21732.wav", "duration": 8.43, "text": "We're ramping up our Oakdale expansion project, so capital spending in Oakdale will be relatively low next year."}, {"path": "tedlium_21733.wav", "duration": 8.43, "text": "and so we're really seeing a significant -- a much more frictionless upgrade. That was one of my commitments early on to the client base. The next is"}, {"path": "tedlium_21734.wav", "duration": 8.43, "text": "So as we look at all of those underlying factors, that continues to give us great confidence because we can continue to make progress there."}, {"path": "tedlium_21735.wav", "duration": 8.43, "text": "Having said that, there are still times when facilities can lie idle for short periods of time, and this has been addressed by running the business"}, {"path": "tedlium_21736.wav", "duration": 8.43, "text": "specifically as it relates to volatile basis differentials and hedge losses that have capped upside participation in the oil curve."}, {"path": "tedlium_21737.wav", "duration": 8.43, "text": "is there a little bit more in those neck of the woods for you guys to look at? Or does that comment that really encompass all of those opportunities at this point?"}, {"path": "tedlium_21738.wav", "duration": 8.43, "text": "We are uniquely able to provide new products and services to the schools through complete solutions of affordable,"}, {"path": "tedlium_21739.wav", "duration": 8.43, "text": "If we're coming to our client with a better value proposition, with a highly integrated set of services"}, {"path": "tedlium_21740.wav", "duration": 8.43, "text": "any thoughts on what that could look like going forward? You guys -- I mean, given the decline in the margin, I understand your comments about"}, {"path": "tedlium_21741.wav", "duration": 8.43, "text": "With this execution, we expect our additional equity investment in Ivy Hill will generate a comparable level of dividends"}, {"path": "tedlium_21742.wav", "duration": 8.43, "text": "We have reached the point where LED product represents our core business as they have become the focus of almost all of our customers."}, {"path": "tedlium_21743.wav", "duration": 8.43, "text": "However, many of the other segments have weakened, which is consistent with the general economic trends and slow growth others are reporting."}, {"path": "tedlium_21744.wav", "duration": 8.43, "text": "about the infrastructure forecast for the fourth quarter, and I think I heard that there will be somewhat less"}, {"path": "tedlium_21745.wav", "duration": 8.43, "text": "Before we begin our prepared remarks, I'll remind everyone that this call will include forward-looking statements, as defined under the securities laws."}, {"path": "tedlium_21746.wav", "duration": 8.43, "text": "We are now making additional investment both in technology and distribution to support the continued growth of this strategy."}, {"path": "tedlium_21747.wav", "duration": 8.43, "text": "While the markets and operating environments have created some serious challenges for both us and the rest of the industry,"}, {"path": "tedlium_21748.wav", "duration": 8.43, "text": "that we're going to attract a lot of new customers, and it should -- there's no reason it doesn't perform like the spinners did for us. It's just a matter of magnitude,"}, {"path": "tedlium_21749.wav", "duration": 8.43, "text": "all right. And I can get the presented from you another time. I wondered if you could review back"}, {"path": "tedlium_21750.wav", "duration": 8.43, "text": "Now our Crop Protection business continues to outperform the industry, led by strong performance in Asia and Europe."}, {"path": "tedlium_21751.wav", "duration": 8.43, "text": "to drive the top line positive. And so being more thoughtful about the balance sheet simply makes sense to us."}, {"path": "tedlium_21752.wav", "duration": 8.43, "text": "As always, it is important to note that we do not believe that the very strong growth rates from our early sales will be maintained through the remainder of the selling season"}, {"path": "tedlium_21753.wav", "duration": 8.43, "text": "they're absent right now. And so what I view is happening is this kind of continued pause and hesitancy"}, {"path": "tedlium_21754.wav", "duration": 8.43, "text": "than any other enterprise software company in history. You can see that in the numbers from this quarter, the trajectory is clear."}, {"path": "tedlium_21755.wav", "duration": 8.43, "text": "environmentally friendly products into their portfolios in terms of their public transport products."}, {"path": "tedlium_21756.wav", "duration": 8.43, "text": "This standardized way of working drives growth because it ensures our brands are available in the most dynamic outlets"}, {"path": "tedlium_21757.wav", "duration": 8.43, "text": "The size of the circles represent the relative size of the loan portfolios, and the circles are ordered by size, left to right,"}, {"path": "tedlium_21758.wav", "duration": 8.43, "text": "In many cases, it reduces cost, but in some cases, it increases revenue. Certainly has an impact on customer satisfaction and employee satisfaction. So"}, {"path": "tedlium_21759.wav", "duration": 8.43, "text": "If we're fortunate enough to get a pellet plant order and we're fortunate enough to deliver some of it in '18, it will not be dilutive. Okay,"}, {"path": "tedlium_21760.wav", "duration": 8.43, "text": "while development costs for dasotraline and others that are closer to NDA filing will decrease."}, {"path": "tedlium_21761.wav", "duration": 8.43, "text": "Before turning the call to Herb, I would like to share the one other executive team position that is new for the company this fiscal year."}, {"path": "tedlium_21762.wav", "duration": 8.43, "text": "we can come in and help these very large clients in their remote offices. So we've made a conscious effort"}, {"path": "tedlium_21763.wav", "duration": 8.43, "text": "another questioner asked about ultimately how productive these branches could get in terms of the servicing."}, {"path": "tedlium_21764.wav", "duration": 8.43, "text": "We also reported the second highest annual net income and earnings per share. But that's the bright part of the story."}, {"path": "tedlium_21765.wav", "duration": 8.43, "text": "the one little bit of guidance I'll give you because it's such a noisy thing is that Orchard will more than likely turn around after the second quarter"}, {"path": "tedlium_21766.wav", "duration": 8.43, "text": "But in the future, laypeople will configure without the need for software coding skills."}, {"path": "tedlium_21767.wav", "duration": 8.43, "text": "We are well positioned with the leading CapEx investors and believe we can continue to grow with their expansion plans."}, {"path": "tedlium_21768.wav", "duration": 8.43, "text": "did they outgrow the rest of your portfolio when you strip out household cleaning when you look at that or was it about even this time?"}, {"path": "tedlium_21769.wav", "duration": 8.43, "text": "on an annualized basis by the end of fiscal 2020. The transition of our merchandising staff will occur over the next 6 months,"}, {"path": "tedlium_21770.wav", "duration": 8.43, "text": "listening and learning as much as I can about the business and operation. And at the end of that time, I'll present a plan to Paul comprising my"}, {"path": "tedlium_21771.wav", "duration": 8.43, "text": "that the situation is, that because it's a tire and a wheel,"}, {"path": "tedlium_21772.wav", "duration": 8.43, "text": "With respect to our portfolio reshaping, we continue to expect our sale of certain Wallop assets to close in the first half of this fiscal year."}, {"path": "tedlium_21773.wav", "duration": 8.43, "text": "just curious, and maybe it's a moot point with a sale pending, but is there any recovery on that if it was a third party responsible for it?"}, {"path": "tedlium_21774.wav", "duration": 8.43, "text": "We also have quite a bit of activity across the group around implementing lean activity, not just in our operations,"}, {"path": "tedlium_21775.wav", "duration": 8.43, "text": "And the chart on the right there gives a breakdown of where that operational RoRE outperformance has come from. The middle line is the business plan commitment."}, {"path": "tedlium_21776.wav", "duration": 8.43, "text": "as well as poor weather conditions and poor hours of daylight, which impact oil and gas operations. Q1 of this year was no different."}, {"path": "tedlium_21777.wav", "duration": 8.43, "text": "So we're probably looking at probably several quarters of work to try and to primarily educate"}, {"path": "tedlium_21778.wav", "duration": 8.43, "text": "Our new threat models are well received so far. They work out of the box and provide meaningful alert about potential threats to data"}, {"path": "tedlium_21779.wav", "duration": 8.43, "text": "and we look at something called vintage curves and what we basically do is check accounts over time and assess their behavior against previous accounts."}, {"path": "tedlium_21780.wav", "duration": 8.43, "text": "Our remarks and answers to your questions today may contain forward-looking information about future events on the company's performance."}, {"path": "tedlium_21781.wav", "duration": 8.43, "text": "areas in other markets. We certainly want to leverage the strong businesses that we acquired as part of the Walker"}, {"path": "tedlium_21782.wav", "duration": 8.43, "text": "I believe we took market share from our competition as we continued to outperform them. As I've said, many times before,"}, {"path": "tedlium_21783.wav", "duration": 8.43, "text": "But we can see the momentum because there are a number of orders on a daily basis that are going specifically for oral surgery practices"}, {"path": "tedlium_21784.wav", "duration": 8.43, "text": "Most of the savings came from lab materials and labor, which directly benefit from higher volumes, especially as we automated more of our production processes."}, {"path": "tedlium_21785.wav", "duration": 8.43, "text": "So they're the sort of dynamics here. And if I think back to the journey where we took those businesses I mentioned before that were losing money,"}, {"path": "tedlium_21786.wav", "duration": 8.43, "text": "On the half of the market that's trade, that essentially is all going to market through our own trade network where we, the Dulux company, sold to the painters."}, {"path": "tedlium_21787.wav", "duration": 8.43, "text": "all that attractive when you look at some of the other transactions that have taken place over the last 12 to 24 months. So"}, {"path": "tedlium_21788.wav", "duration": 8.43, "text": "We want our customers to feel like they can do just about anything, whether it's opening an account, uploading documents using device's camera"}, {"path": "tedlium_21789.wav", "duration": 8.43, "text": "I'm much more comfortable putting those very ill patients on the higher-dose levels because we think we'll see efficacy at those levels."}, {"path": "tedlium_21790.wav", "duration": 8.43, "text": "we are restating our 2015 targets on a core basis. We believe this gives the best visibility into the organic changes in our targets."}, {"path": "tedlium_21791.wav", "duration": 8.43, "text": "However, late in the third quarter customer behavior grew more cautious across the board and we saw some of the channel inventory adjustments I just referred to."}, {"path": "tedlium_21792.wav", "duration": 8.43, "text": "We do everything we can in our marketing efforts to facilitate the pull through there as well, but it really is driven by the economics"}, {"path": "tedlium_21793.wav", "duration": 8.43, "text": "The increase was primarily due to an increase in compensation, legal and other expenses, supporting operational growth. For"}, {"path": "tedlium_21794.wav", "duration": 8.43, "text": "the ability to manage money flexibly and efficiently at that scale, but the goal is to build scale across franchises."}, {"path": "tedlium_21795.wav", "duration": 8.43, "text": "The other category mainly includes costs associated with RINs, outgoing freight, product differentials and inventory impacts."}, {"path": "tedlium_21796.wav", "duration": 8.43, "text": "It is worth pointing out that our voyages are generally 40 to 60 days in duration and are fixed 2 to 4 weeks in advance."}, {"path": "tedlium_21797.wav", "duration": 8.43, "text": "to participate in growth in China, you may have to have local presence, especially when it comes to manufacturing?"}, {"path": "tedlium_21798.wav", "duration": 8.43, "text": "I am pleased to report that our construction services business experienced exceptional earnings growth in the second quarter compared to a year ago,"}, {"path": "tedlium_21799.wav", "duration": 8.43, "text": "how that has changed. I know you've been doing a lot of those feed studies, or some of them for some time. I mean, have you seen"}, {"path": "tedlium_21800.wav", "duration": 8.43, "text": "We have successfully repositioned ourselves from a coal car producer to a diversified railcar manufacturer,"}, {"path": "tedlium_21801.wav", "duration": 8.43, "text": "that are requiring us to go through a negotiation process that is taking much longer because the majority of these credits are in Brazil."}, {"path": "tedlium_21802.wav", "duration": 8.43, "text": "to become more credible in alternative asset management for a fund that can"}, {"path": "tedlium_21803.wav", "duration": 8.43, "text": "we are seeing some improved demand in our core markets, but I'd say most of it is coming a little bit East from Aurora."}, {"path": "tedlium_21804.wav", "duration": 8.43, "text": "I think that the pass is becoming more and more of value opportunity for people as they have more and more choices in terms of where to go. So the"}, {"path": "tedlium_21805.wav", "duration": 8.43, "text": "we would have done everything we could to at least hold the margins that we realized this year. Obviously, our margins this year were much higher than what we"}, {"path": "tedlium_21806.wav", "duration": 8.43, "text": "I believe we have the contractual framework and the contract base to start demonstrating to you and the rest of the investment community"}, {"path": "tedlium_21807.wav", "duration": 8.43, "text": "We will follow with a review on the second quarter results of the year to continue to a more detailed look of the results."}, {"path": "tedlium_21808.wav", "duration": 8.43, "text": "Based on this positive cash flow before investment receivables, our actual cash used in the quarter was entirely related to our investment in our loan book."}, {"path": "tedlium_21809.wav", "duration": 8.43, "text": "Overall, I'm pleased with our solid results in the quarter and believe we're on track to meet our full year financial objectives."}, {"path": "tedlium_21810.wav", "duration": 8.43, "text": "really wanted to talk about what excites me about our business and why I'm confident in our growth momentum moving forward."}, {"path": "tedlium_21811.wav", "duration": 8.43, "text": "Also, this year, our development completions were significantly lower in the same period last year, and you can see that on the slide in front of you."}, {"path": "tedlium_21812.wav", "duration": 8.43, "text": "over a longer period in that regard? And then the second sort of related question is, just in the longer term, I know over the next quarter or two,"}, {"path": "tedlium_21813.wav", "duration": 8.43, "text": "And we will provide our initial perspective on, and plans for, the Pinnacle business. There's a lot to cover. So let's jump right in."}, {"path": "tedlium_21814.wav", "duration": 8.43, "text": "it's going to take a little bit of time to see that actually show up in our overall corporate results, but it's a very exciting time for them right now."}, {"path": "tedlium_21815.wav", "duration": 8.43, "text": "I think those 2 markets are comparatively larger for Berkeley Point than they are for Newmark taken as a whole"}, {"path": "tedlium_21816.wav", "duration": 8.43, "text": "share gains in the first quarter. We've held steady here and we believe that we will see future share gains there. So I mean, I'd like to have the same"}, {"path": "tedlium_21817.wav", "duration": 8.43, "text": "large increase was in May of 2015. But any additional increases in 2016 will depend on the rate increases"}, {"path": "tedlium_21818.wav", "duration": 8.43, "text": "on the equipment that we provide. So I mean, this is nothing new for us. We have -- we've already made significant investments into this. We are quite competitive"}, {"path": "tedlium_21819.wav", "duration": 8.43, "text": "that were in there, and they would have been at probably the higher return and now we have more the distribution projects, which are probably a little bit lower."}, {"path": "tedlium_21820.wav", "duration": 8.43, "text": "At PHI, we are encouraged by the process we're making. Although some of this success has been helped by good weather"}, {"path": "tedlium_21821.wav", "duration": 8.43, "text": "plenty of people out there that are refinancing every chance they get. And there's a version of that in the private markets."}, {"path": "tedlium_21822.wav", "duration": 8.43, "text": "For those who accept the offer, there will be a payout in December of 2015, which will be made out of existing plan assets."}, {"path": "tedlium_21823.wav", "duration": 8.43, "text": "I say all that because we expect to return to more normal profitability and growth moving forward. And I think you'd see that"}, {"path": "tedlium_21824.wav", "duration": 8.43, "text": "are expected to offset the declines in video game products sales, and operating earnings are forecasted to be flattish for the quarter."}, {"path": "tedlium_21825.wav", "duration": 8.43, "text": "do you think that is a strategy with the markets more willing to pay up right now for the order book, as opposed to the operations of the leasing? What's your view on that?"}, {"path": "tedlium_21826.wav", "duration": 8.43, "text": "will be considered forward-looking and as such will be subject to risks and uncertainties that could materially affect the company's expected results,"}, {"path": "tedlium_21827.wav", "duration": 8.43, "text": "being flat to a little bit down for the balance of the year. When do you guys think it's likely to inflect and begin to track up as you look forward?"}, {"path": "tedlium_21828.wav", "duration": 8.43, "text": "We have identified several noncore potential divestiture candidates and are actively pursuing options for each of those today."}, {"path": "tedlium_21829.wav", "duration": 8.43, "text": "There are considerable number of Northern Canadian opportunities on our radar screen, driven by our unique partnerships and our long history of working in the North."}, {"path": "tedlium_21830.wav", "duration": 8.43, "text": "and several smaller residential projects. 2016 revenues were associated with a few small residential projects generated by the acquisition"}, {"path": "tedlium_21831.wav", "duration": 8.43, "text": "and bring in concepts that are relevant to the communities we serve. Expect to see this follow-on growth continue this year and beyond."}, {"path": "tedlium_21832.wav", "duration": 8.43, "text": "On a sequential quarter basis, recruiting and new life insurance licenses declined reflecting seasonally low activity levels in the fourth quarter."}, {"path": "tedlium_21833.wav", "duration": 8.43, "text": "We move forward with high conviction that we are well positioned to capitalize on a range of exciting opportunities to drive future growth."}, {"path": "tedlium_21834.wav", "duration": 8.43, "text": "But you need to bear in mind that last year recurring was strong in Q4 because we had a few catch-ups"}, {"path": "tedlium_21835.wav", "duration": 8.43, "text": "So while we had already planned to invest in our business this year, the recent tax reform presents a compelling opportunity"}, {"path": "tedlium_21836.wav", "duration": 8.43, "text": "in the quarter, it would seem like there would be pent-up demand for the fourth quarter and that they will be looking to buy more product."}, {"path": "tedlium_21837.wav", "duration": 8.43, "text": "we will have established a better-optimized, flexible capital structure and a strong banking group that should serve our needs well moving forward."}, {"path": "tedlium_21838.wav", "duration": 8.43, "text": "low value. I mean, these are -- there are going to be very high-value programs in the context of some very focused efforts on the part of our partners with"}, {"path": "tedlium_21839.wav", "duration": 8.43, "text": "the more engaged the customer base, the more data you have, the easier that is to do. So that's the journey we're on. We've got an amazing set of tools with"}, {"path": "tedlium_21840.wav", "duration": 8.43, "text": "This visibility promotes root cause investigation and corrective actions, as well as best practice sharing between all entities and locations."}, {"path": "tedlium_21841.wav", "duration": 8.43, "text": "And as always, we will continue to focus on sales growth and manufacturing cost efficiency benefits from our investments across the platform."}, {"path": "tedlium_21842.wav", "duration": 8.43, "text": "the best thing that we can do is just simply continue to really put forward the strength of our own products."}, {"path": "tedlium_21843.wav", "duration": 8.43, "text": "kind of what's happening in the revenue growth numbers and in the noise. But in the PEO, the most important thing for us in the PEO is profit per employee,"}, {"path": "tedlium_21844.wav", "duration": 8.43, "text": "outer years. So what that means is we finished '18 a little bit ahead of our own expectation, so we have really terrific momentum going on."}, {"path": "tedlium_21845.wav", "duration": 8.43, "text": "And then can you talk at all about the tenant watch list in terms of credit? Like have you seen any change in that over prior quarters?"}, {"path": "tedlium_21846.wav", "duration": 8.43, "text": "focused on strategic investment and capacity expansion, geographic expansion, increased efficiencies as well as new process and product development."}, {"path": "tedlium_21847.wav", "duration": 8.43, "text": "As we told you on our Q2 earnings call, we took the next step in the verticalization of our direct channel"}, {"path": "tedlium_21848.wav", "duration": 8.43, "text": "compared with last year, despite the additional cost incurred related to the spinoff and the incremental cost to be incurred going forward as a stand-alone."}, {"path": "tedlium_21849.wav", "duration": 8.43, "text": "and we will continue to ensure that we set challenging targets and then provide the right environment for our operators to meet them."}, {"path": "tedlium_21850.wav", "duration": 8.43, "text": "All of these business pillars support our central objective of improving cash flow and returns on a sustainable basis."}, {"path": "tedlium_21851.wav", "duration": 8.43, "text": "it's a '19 issue. I think it's a good issue to have. We can manage it, and we could actually push more into '20 if we wanted to."}, {"path": "tedlium_21852.wav", "duration": 8.43, "text": "Because of the culmination of these and other commitments around continuous improvement at PolyOne, we recently achieved certification"}, {"path": "tedlium_21853.wav", "duration": 8.4299375, "text": "So let me answer a little bit the question on the net working capital. So the net working capital, first of all, we see"}, {"path": "tedlium_21854.wav", "duration": 8.4299375, "text": "But we've always said that we're about growth, as I mentioned in my remarks. And if we think there is an opportunity to put capital to work,"}, {"path": "tedlium_21855.wav", "duration": 8.4299375, "text": "I think airline capacity is actually growing, and it will be higher this year than it was last year. So not to be confused with"}, {"path": "tedlium_21856.wav", "duration": 8.4000625, "text": "canopy tours I think that exist certainly anywhere in the Mountain. And so we're confident that, that will drive its own profitability and more visitation."}, {"path": "tedlium_21857.wav", "duration": 8.4000625, "text": "However, not yet seen an improvement in the market and we expect MOCVD investments to remain soft"}, {"path": "tedlium_21858.wav", "duration": 8.4, "text": "And part of that is due to some of the marketing and operating -- particularly marketing efficiency issues we've been talking about the last 6 to 9 months."}, {"path": "tedlium_21859.wav", "duration": 8.4, "text": "increases of rates do not necessarily reflect a declining premium on a government guaranteed floating rate instrument."}, {"path": "tedlium_21860.wav", "duration": 8.4, "text": "We've gotten a little bit bigger this year into Pennsylvania. We have a few more utility areas that we'll be looking into"}, {"path": "tedlium_21861.wav", "duration": 8.4, "text": "In fact, with the steps we took last year, we are in an even better positioned to take advantage of a return to more seasonable weather."}, {"path": "tedlium_21862.wav", "duration": 8.4, "text": "In total, the actions that have already undertaken in the last 6 months are expected to improve our PBIT performance"}, {"path": "tedlium_21863.wav", "duration": 8.4, "text": "I'll conclude today's prepared comments by providing an update on key business developments related to our long-term secular growth drivers"}, {"path": "tedlium_21864.wav", "duration": 8.4, "text": "regarding what we have communicated in the summer to you in terms of the midterm margin development. We are fully on track,"}, {"path": "tedlium_21865.wav", "duration": 8.4, "text": "If there's an opportunity to obviously enhance the breadth and depth of our programs, the degree levels as well as the programmatic offerings,"}, {"path": "tedlium_21866.wav", "duration": 8.4, "text": "which are still primarily driven by our underlying operating performance and the number of revenue earning days during the quarter."}, {"path": "tedlium_21867.wav", "duration": 8.4, "text": "that you're really looking at your cash generation as opposed to GAAP earnings. So is it fair to say that your cash generation"}, {"path": "tedlium_21868.wav", "duration": 8.4, "text": "so I just want to make sure I fully understand it. So obviously, sales force productivity driving incremental subscriptions and then obviously the continued"}, {"path": "tedlium_21869.wav", "duration": 8.4, "text": "We took on a 10-year take-or-pay agreement for a new supply connection and terminal in the Central Kansas Uplift"}, {"path": "tedlium_21870.wav", "duration": 8.4, "text": "Now that's business travel as well as leisure travel, but you're seeing that the Chinese are participating in the high-end of the market"}, {"path": "tedlium_21871.wav", "duration": 8.4, "text": "And if we talk about index, you can't necessarily pierce through what it is we're saying to have your own source of data for it."}, {"path": "tedlium_21872.wav", "duration": 8.4, "text": "This is where we are to date. We feel we're on track for full year expectations. And for those of you who are available,"}, {"path": "tedlium_21873.wav", "duration": 8.4, "text": "for a very long time because of the half-life of the drug, and it would be pretty unlikely to require a second dose of the drug to treat a single attack."}, {"path": "tedlium_21874.wav", "duration": 8.4, "text": "And finally, our discovery programs are progressing to where we could start to see them refill our pipeline and create sustainable value."}, {"path": "tedlium_21875.wav", "duration": 8.4, "text": "reconciling and matching payments, resolving exceptions and then posting payments to keep receivables current."}, {"path": "tedlium_21876.wav", "duration": 8.4, "text": "This allows our customers to keep their pharmaceutical supply chain under their own control."}, {"path": "tedlium_21877.wav", "duration": 8.4, "text": "Yes. So I think you're actually touching on something that's important here. If you look at the way that's evolved in the manufacturing space,"}, {"path": "tedlium_21878.wav", "duration": 8.4, "text": "I wanted to provide an update on a decision that ITC received from FERC on ROE matters just after our New York Investor Day."}, {"path": "tedlium_21879.wav", "duration": 8.4, "text": "Now I'll turn things over to Cliff to discuss some of the operational highlights for the quarter and address how they impacted LMI's financial results."}, {"path": "tedlium_21880.wav", "duration": 8.4, "text": "This doesn't mean there is no opportunity. This just means that the challenge is greater."}, {"path": "tedlium_21881.wav", "duration": 8.4, "text": "I'm just wondering, are there any other proactive strategic options still left on the table worth looking at?"}, {"path": "tedlium_21882.wav", "duration": 8.4, "text": "in which truck drivers can receive their payroll while on the road and then use it like a prepaid card within the MasterCard network."}, {"path": "tedlium_21883.wav", "duration": 8.4, "text": "In addition, we were profitable in the first quarter, and considering the outlook we have for the remainder of the year, we do expect to be profitable for the full year."}, {"path": "tedlium_21884.wav", "duration": 8.4, "text": "There's quite some application for these units. But as I've said in the report there, a number of our competitors in the last few months have come to market"}, {"path": "tedlium_21885.wav", "duration": 8.4, "text": "I would now like to turn the call over to Paul. Thank you, Steve. Good morning, and thank you for joining us for today's call."}, {"path": "tedlium_21886.wav", "duration": 8.4, "text": "include this in the capitation model, which means that what you gain from it"}, {"path": "tedlium_21887.wav", "duration": 8.4, "text": "This is not in full force yet, but that's a development that is going on right now and our plan is that we"}, {"path": "tedlium_21888.wav", "duration": 8.4, "text": "The year-over-year and sequential increases in product margins were due to favorable manufacturing capacity utilization and product mix,"}, {"path": "tedlium_21889.wav", "duration": 8.4, "text": "And that creates a virtuous cycle, that combined with these software releases in which we have better utilization of the system, faster utilization of the system,"}, {"path": "tedlium_21890.wav", "duration": 8.4, "text": "This was primarily due to the positive impact of pension accounting treatment, which more than offset the negative impact of ForEx effects."}, {"path": "tedlium_21891.wav", "duration": 8.4, "text": "since it's not contributing, the -- your whole guide is still trending downwards. I get the revenue guide,"}, {"path": "tedlium_21892.wav", "duration": 8.4, "text": "in the second quarter of last year, which is also part of the reason why we believe that the current guidance is appropriate and also realistic."}, {"path": "tedlium_21893.wav", "duration": 8.4, "text": "The challenge will be to execute strategies that can deliver more for less by staying focused, developing talent"}, {"path": "tedlium_21894.wav", "duration": 8.4, "text": "The nonoperating results were primarily due to unrealized gains and losses on our seed investments."}, {"path": "tedlium_21895.wav", "duration": 8.4, "text": "As Gary mentioned, our construction team continued to do an outstanding job delivering capacity to support our sales team,"}, {"path": "tedlium_21896.wav", "duration": 8.4, "text": "But I think we do feel well prepared for it. We've got a great pipeline of innovations that we think is very relevant for the future."}, {"path": "tedlium_21897.wav", "duration": 8.4, "text": "Therefore, repurchasing the company's shares now represents an excellent investment opportunity for both the company and our shareholders."}, {"path": "tedlium_21898.wav", "duration": 8.4, "text": "why we still have very high cash CapEx, not that we aren't continuing to invest. We are. We're still expanding our fiber footprint but at a lower pace than we were."}, {"path": "tedlium_21899.wav", "duration": 8.4, "text": "We built a much more complete framework and in doing so, we feel like we shifted the conversation towards NextGen being a trusted adviser to our clients."}, {"path": "tedlium_21900.wav", "duration": 8.4, "text": "the August shutdown in Q3 and then we'll see where we are in terms of meeting our channel inventory objectives for the year."}, {"path": "tedlium_21901.wav", "duration": 8.4, "text": "We are increasingly positive about the potential of this area to deliver incremental oil production into our portfolio."}, {"path": "tedlium_21902.wav", "duration": 8.4, "text": "We are currently in the process of our fall borrowing base redetermination and will update everyone when that has been completed."}, {"path": "tedlium_21903.wav", "duration": 8.4, "text": "This slide introduces our main wellness products, which we consider a key growth domain."}, {"path": "tedlium_21904.wav", "duration": 8.4, "text": "which negatively impacted adjusted EBITDA. Some of these are related to the significant ramping of traffic that we've experienced and some are not related to that."}, {"path": "tedlium_21905.wav", "duration": 8.4, "text": "many investment has been postponed in the French water. And now a lot of"}, {"path": "tedlium_21906.wav", "duration": 8.4, "text": "could we expect to see some changes in your number of AOCs, and perhaps a better fleet utilization?"}, {"path": "tedlium_21907.wav", "duration": 8.4, "text": "On the supply of tankers. Tanker fleet growth is expected to fall this year and next on lower deliveries and higher scrapping."}, {"path": "tedlium_21908.wav", "duration": 8.4, "text": "which generally stated, will help us respond to constantly changing customer demand by deploying the least cost available resource to balance load."}, {"path": "tedlium_21909.wav", "duration": 8.4, "text": "Across our markets in the Americas, we are also encouraged by an increasing pipeline of projects utilizing alternative delivery models."}, {"path": "tedlium_21910.wav", "duration": 8.4, "text": "We are on track to exceed our original auto rate plan by a point or so and are looking for opportunities to accelerate rate actions."}, {"path": "tedlium_21911.wav", "duration": 8.4, "text": "are very wide and all-pervasive. And we keep including all the new technologies that are coming into place within the organization,"}, {"path": "tedlium_21912.wav", "duration": 8.4, "text": "that is a reflection of some of these challenges that we have now in most places in the world that we, in our competitive set, need to deal with."}, {"path": "tedlium_21913.wav", "duration": 8.4, "text": "There are over 75 qualified opportunities currently being worked on by sales, more than half of which could close in the next 1 to 2 quarters,"}, {"path": "tedlium_21914.wav", "duration": 8.4, "text": "And that actually adds value for the supplier as well because it actually gathers then email addresses for the customers they don't have email addresses on file for."}, {"path": "tedlium_21915.wav", "duration": 8.4, "text": "We have been pleased with the favorable response to this initiative and see an opportunity to further expand our assortment by offering additional third-party brands."}, {"path": "tedlium_21916.wav", "duration": 8.4, "text": "let's say that for the light users maybe you provide more returns through bold reductions in rates for light users."}, {"path": "tedlium_21917.wav", "duration": 8.4, "text": "We still have a large balance of old debtors to be collected. We still have some supplies that we tend to pay a little earlier than the terms"}, {"path": "tedlium_21918.wav", "duration": 8.4, "text": "and modification activity generated considerable taxable income in excess of our book income."}, {"path": "tedlium_21919.wav", "duration": 8.4, "text": "based on the growth -- on the known growth that we have at the MLPs. However, we -- when we talk about changing"}, {"path": "tedlium_21920.wav", "duration": 8.4, "text": "Yet over the long term, the focus we put on the quality of our coffee, the passion of our partners, beautiful third place environments"}, {"path": "tedlium_21921.wav", "duration": 8.4, "text": "So far, the impact of the latter 2 is being negligible, and we are optimistic that the formal will yield margin relief in the second half."}, {"path": "tedlium_21922.wav", "duration": 8.4, "text": "we expect that maize, juice and cereals will sustain an improved performance off a sound base established in the first half of the year."}, {"path": "tedlium_21923.wav", "duration": 8.4, "text": "As a result, we do not anticipate a significant margin effect moving ahead on this project. With regards to the pellet plant revenues for this year,"}, {"path": "tedlium_21924.wav", "duration": 8.4, "text": "Instead of the phase where you acquire assets from overseas, you're looking for opportunities in Japan, including alliance."}, {"path": "tedlium_21925.wav", "duration": 8.4, "text": "Before I turn the call over to Brett, I'd like to tell you that certain of our comments are forward-looking statements as defined by the Private Securities Litigation Reform Act."}, {"path": "tedlium_21926.wav", "duration": 8.4, "text": "We are positioning this hotel to be among the top luxury hotels in Chicago and are building awareness, which takes time."}, {"path": "tedlium_21927.wav", "duration": 8.4, "text": "something deeper there. So that's the most important part about that. That news is -- the relationship is sound. They're moving forward."}, {"path": "tedlium_21928.wav", "duration": 8.4, "text": "It's probably premature to make those calls right now. Again, the rule is brand-new. We really won't see the full impact of it"}, {"path": "tedlium_21929.wav", "duration": 8.4, "text": "As more of these transactions close throughout the fourth quarter, we'll have a better assessment on the overall impact of the new disclosure rule."}, {"path": "tedlium_21930.wav", "duration": 8.4, "text": "And I think as a combination of those 2 events, we will get further confidence in the product, and I believe that's going to drive"}, {"path": "tedlium_21931.wav", "duration": 8.4, "text": "Alaska logistics and wholesale marketing distribution acquisition and from the recently closed acquisition of Great Northern Midstream."}, {"path": "tedlium_21932.wav", "duration": 8.4, "text": "from our facilities out into our -- the market areas that we attract. So we -- that's part of our overall integrated business. But"}, {"path": "tedlium_21933.wav", "duration": 8.4, "text": "Our producer customers have indicated a strong ongoing need to have the capacity in place and available for their use"}, {"path": "tedlium_21934.wav", "duration": 8.4, "text": "resulting in the associated move from our OE customers to seize that opportunity for efficiency, including inventory rationalization."}, {"path": "tedlium_21935.wav", "duration": 8.4, "text": "We believe that this change will help local and regional management teams focus on their proper levers to increase value."}, {"path": "tedlium_21936.wav", "duration": 8.4, "text": "As a result, market share steadily improved with half of our chocolate revenue gaining or holding share for the full year."}, {"path": "tedlium_21937.wav", "duration": 8.4, "text": "and we've got a good innovation pipeline. So I think we're well staged to continue to drive growth in this geography."}, {"path": "tedlium_21938.wav", "duration": 8.4, "text": "But we're improving every day, we're getting better every day, we're correcting a lot of mistakes of the past and et cetera, et cetera."}, {"path": "tedlium_21939.wav", "duration": 8.4, "text": "Recall that patients were eligible to be enrolled in Part C based on their blood pressure response in part A, not on the severity of their dizziness."}, {"path": "tedlium_21940.wav", "duration": 8.4, "text": "This year there were a couple of things going on which we've talked about. Also I think is unusual and so far as orders growth far outpaced sales growth,"}, {"path": "tedlium_21941.wav", "duration": 8.4, "text": "These non-GAAP financial measures are not intended to be considered in isolation or as a substitute for the financial information prepared"}, {"path": "tedlium_21942.wav", "duration": 8.4, "text": "Overall, we remain well capitalized and our focus on our strategic objectives enable us to"}, {"path": "tedlium_21943.wav", "duration": 8.4, "text": "what was once a horribly inefficient industry to one that is now investing for the long term in its people and its airports."}, {"path": "tedlium_21944.wav", "duration": 8.4, "text": "During those initial 5 years, Main Street consistently generated substantial but variable realized gains from exited equity investments."}, {"path": "tedlium_21945.wav", "duration": 8.4, "text": "The practice was retained to support a criminal investigation into allegations of financial fraud and misrepresentation,"}, {"path": "tedlium_21946.wav", "duration": 8.4, "text": "there are issues between the promoters, which is for them to resolve. As far as Tata Steel is concerned, both have come out publicly to say that they support the transaction."}, {"path": "tedlium_21947.wav", "duration": 8.4, "text": "We further caution you that the company does not obligate or commit itself by providing this guidance to update predictions."}, {"path": "tedlium_21948.wav", "duration": 8.4, "text": "This higher level starting point multiplies the productivity of these design teams and helps bring the industrial IoT to life faster."}, {"path": "tedlium_21949.wav", "duration": 8.4, "text": "Prior to the launch, the ratings were approximately 40% on legacy video players for the same article placement."}, {"path": "tedlium_21950.wav", "duration": 8.4, "text": "and as we benefit from the recovery in ETI and growth of our rest of African operations following the investments that we have made."}, {"path": "tedlium_21951.wav", "duration": 8.4, "text": "which will have multiple benefits to the company on the acquisition front as well as in expanding the investor audience for the stock,"}, {"path": "tedlium_21952.wav", "duration": 8.4, "text": "That now concludes the formal part of the presentation. I will now open the meeting up to questions, alternating between questions on the floor here in Sydney"}, {"path": "tedlium_21953.wav", "duration": 8.4, "text": "particularly with big spaces, painters and homeowners would like to get as flat finish as possible so you don't see any imperfections on the wall."}, {"path": "tedlium_21954.wav", "duration": 8.4, "text": "Shortly after the quarter closed, we were also able to place new forward contracts to hedge our future exposure to the euro and British pound."}, {"path": "tedlium_21955.wav", "duration": 8.4, "text": "On Slide 10, you can see the credit performance continues to hold steady, considering the prevailing market conditions."}, {"path": "tedlium_21956.wav", "duration": 8.4, "text": "Unfair practices likely to cause substantial injury to consumers. The nature of the unfair practices in this instance"}, {"path": "tedlium_21957.wav", "duration": 8.4, "text": "some correction factors now. And we obviously do the correction internally because we have our own data, that we know"}, {"path": "tedlium_21958.wav", "duration": 8.4, "text": "We are very pleased with our results this quarter, which further illustrates our internal growth strategies are working."}, {"path": "tedlium_21959.wav", "duration": 8.4, "text": "Or is this you'd like to see what you have and then determine if you want to take the next step about further consolidating?"}, {"path": "tedlium_21960.wav", "duration": 8.4, "text": "second quarter trends you might be seeing in terms of the marketing efficiency and customer acquisition trends? And then there"}, {"path": "tedlium_21961.wav", "duration": 8.4, "text": "However, significant work needs to be done as the fixed nature of these contracts become increasingly burdensome with the reduced development."}, {"path": "tedlium_21962.wav", "duration": 8.4, "text": "We take each one of them individually. We love it when we can start with their data and understand their unique challenges. I mean, for an example, I saw a prospect deck yesterday,"}, {"path": "tedlium_21963.wav", "duration": 8.4, "text": "But it also means that the maturation of the supply chain and for companies to work just harder on making sure we are all competing"}, {"path": "tedlium_21964.wav", "duration": 8.4, "text": "Earlier this morning, we released the results for our first quarter of the fiscal 2017 year, and I hope you had a chance to review them."}, {"path": "tedlium_21965.wav", "duration": 8.4, "text": "The reality is that reductions in size are somewhat uncommon because it's very expensive for the retailer."}, {"path": "tedlium_21966.wav", "duration": 8.4, "text": "We have improved the assortment. We have reduced the whole portfolio that was much too big."}, {"path": "tedlium_21967.wav", "duration": 8.4, "text": "we couldn't raise prices. We were more or less flat in price, and our growth came mainly from volume."}, {"path": "tedlium_21968.wav", "duration": 8.4, "text": "Reconciliation between the 2 can be found in the company's presentation today, which is available on its website."}, {"path": "tedlium_21969.wav", "duration": 8.4, "text": "how those exposures impacted our 2015 results and what sort of actions we are taking to help mitigate these risks today and in the future."}, {"path": "tedlium_21970.wav", "duration": 8.4, "text": "This was, however, amplified by a softer comparator and the start of improving conditions in some emerging markets."}, {"path": "tedlium_21971.wav", "duration": 8.4, "text": "Our customer focus is reflected in part by our ability to continue to capture significant opportunities in today's competitive marketplace."}, {"path": "tedlium_21972.wav", "duration": 8.4, "text": "One of the things I'm most proud of is the way NAPCO has been able to remain at the forefront of innovation in the industry"}, {"path": "tedlium_21973.wav", "duration": 8.4, "text": "but its early time production had been hampered by that obstruction, so we've included it from the Sable pad metrics in the table, given its mechanical constraints."}, {"path": "tedlium_21974.wav", "duration": 8.4, "text": "maybe 4 weeks or 1 month minimum or maybe 12 months depending on the contract we agree upon with the customer."}, {"path": "tedlium_21975.wav", "duration": 8.4, "text": "We also see entering into FEED on the Pikka unit development. Alaska as being a fundamental for end of the first half this year."}, {"path": "tedlium_21976.wav", "duration": 8.4, "text": "All of that is reversible, but that's the kind of thing that, as you can see in the data, has really kind of emerged as we've gone through the course of this summer."}, {"path": "tedlium_21977.wav", "duration": 8.4, "text": "because of a relatively negative speech from the French government and from the French President"}, {"path": "tedlium_21978.wav", "duration": 8.4, "text": "thrust upon our industry at short notice and with limited consultation. I will briefly focus on some of those areas."}, {"path": "tedlium_21979.wav", "duration": 8.4, "text": "But essentially, what we're doing is funding ongoing investments in our business with running our business smarter and more efficiently."}, {"path": "tedlium_21980.wav", "duration": 8.4, "text": "the amount of visibility you have into the second half, based on the leases that have already been signed and kind of what you already"}, {"path": "tedlium_21981.wav", "duration": 8.4, "text": "resulting from lower inventory rentals as well as lower dollar utilization of our designated rental fleet in our Construction segment,"}, {"path": "tedlium_21982.wav", "duration": 8.4, "text": "and growth in the office construction is also beginning to moderate somewhat. Large industrial project activity continues to be weak."}, {"path": "tedlium_21983.wav", "duration": 8.4, "text": "What percentage of your customers are utilizing more than one of your services? More than 2? Can you quantify the cross-selling opportunity you have?"}, {"path": "tedlium_21984.wav", "duration": 8.4, "text": "This underscores our premise that the SBC market is earlier in the credit cycle and more correlated to the strong housing market."}, {"path": "tedlium_21985.wav", "duration": 8.4, "text": "This quarter seemed to show a little softer growth in developed markets actually, I had expected a little bit of pressure on Brazil and some of those markets, and you've certainly cited those."}, {"path": "tedlium_21986.wav", "duration": 8.4, "text": "consumer demand was down and categories have been down. So we do see some signs of stabilization as we look through the second half of the year."}, {"path": "tedlium_21987.wav", "duration": 8.4, "text": "Well, I will already now apologize a little bit because my -- I'm standing here with a bit of a flu."}, {"path": "tedlium_21988.wav", "duration": 8.4, "text": "I don't think the worldwide economic growth will be what a lot of Fed officials think it will be because that yield curve is telling me -- because it's so flat,"}, {"path": "tedlium_21989.wav", "duration": 8.4, "text": "In the life, pensions and investment space, market volatility has impacted new business flows over the past 6 months."}, {"path": "tedlium_21990.wav", "duration": 8.4, "text": "Other than that, we really didn't see it and we haven't really -- it's not been one of those things we've ever felt had a big impact on our business one way or the other."}, {"path": "tedlium_21991.wav", "duration": 8.4, "text": "And I would say it's different in different places. In the Oklahoma set of contracts"}, {"path": "tedlium_21992.wav", "duration": 8.4, "text": "meaning they've only been hired in the last year and haven't hit their stride yet. So we expect that pipeline to keep growing."}, {"path": "tedlium_21993.wav", "duration": 8.4, "text": "for truckload conversion. It's also a part of our overall strategy of focusing on specific clients"}, {"path": "tedlium_21994.wav", "duration": 8.4, "text": "what you think a proper set of disclosures would look like or a better way to kind of communicate to the market how good of a business that is for you?"}, {"path": "tedlium_21995.wav", "duration": 8.4, "text": "The end of the reverse auction and the quiet rule have led to more than a few new opportunities for Gray to acquire additional television stations."}, {"path": "tedlium_21996.wav", "duration": 8.4, "text": "our build number is likely going to continue to drag a little bit in the first part of the year as we take back those Kmart boxes."}, {"path": "tedlium_21997.wav", "duration": 8.4, "text": "and what opportunities do we see there to reach the targets of 2017. This was presented in the strategic plan. And"}, {"path": "tedlium_21998.wav", "duration": 8.4, "text": "along with our 10-K, which was filed yesterday with the SEC. A replay of this call will be archived on our website for a limited time."}, {"path": "tedlium_21999.wav", "duration": 8.4, "text": "when increasing prices to reflect raw mats increase. And in addition, we are overcoming or compensating or bringing at least"}, {"path": "tedlium_22000.wav", "duration": 8.4, "text": "again, the primary responsibility of LOOP is to be an import facility, and that's extremely important for us in our refineries."}, {"path": "tedlium_22001.wav", "duration": 8.4, "text": "and complete interior packages, bumper covers, hoods and trim for the automotive, specialty transportation and other industrial markets."}, {"path": "tedlium_22002.wav", "duration": 8.4, "text": "In addition, our industrial sales team is well positioned to continue to penetrate the residential housing market, particularly given the rise in single-family starts."}, {"path": "tedlium_22003.wav", "duration": 8.4, "text": "Third, technology companies should use equity awards to attract and retain talent."}, {"path": "tedlium_22004.wav", "duration": 8.4, "text": "lower revenue stores with limited growth opportunities into newer stores and markets with more attractive demographics and growth prospects."}, {"path": "tedlium_22005.wav", "duration": 8.4, "text": "For the members of our team who are listening on today's call, I want to congratulate you on another strong quarter and thank you for all that you do to contribute to our success."}, {"path": "tedlium_22006.wav", "duration": 8.4, "text": "are a combination of availability of some of these product and affordability of some of these product, that their cost"}, {"path": "tedlium_22007.wav", "duration": 8.4, "text": "In addition, we will use certain non-GAAP measures in our discussion, and we ask that you read through the sections of our press release that address the use of these items."}, {"path": "tedlium_22008.wav", "duration": 8.4, "text": "it is true to say that between now and into June, into July, into September and into rest of the year,"}, {"path": "tedlium_22009.wav", "duration": 8.3999375, "text": "I confirm to you today that I am absolutely in the same mood about the rationale of this strategic deal."}, {"path": "tedlium_22010.wav", "duration": 8.37, "text": "just the number of text messages that are being delivered between operators that we actually handle. That volume is just going down a little bit."}, {"path": "tedlium_22011.wav", "duration": 8.37, "text": "Or do you think it'll follow along your typical seasonality where you have most of the procedures done in the fourth quarter?"}, {"path": "tedlium_22012.wav", "duration": 8.37, "text": "I hope I can give you a direction that makes us sound positive. But it's a service that's hard to use, which we would like to make easier to use."}, {"path": "tedlium_22013.wav", "duration": 8.37, "text": "Regarding PayPay and the way users are increasing, what is the image of growth? So you -- 6 million"}, {"path": "tedlium_22014.wav", "duration": 8.37, "text": "Okay. Andrea, you've got a couple of questions there. Let me see if I can answer each of them in turn, but let me start off with the outlook and answer the question"}, {"path": "tedlium_22015.wav", "duration": 8.37, "text": "looking very closely in order to extract much more and to grow in this area, extract more metals in this area and grow in these areas as well."}, {"path": "tedlium_22016.wav", "duration": 8.37, "text": "that would be a big -- a priority of ours as well. And yes -- and as we said before, we continue to be very active and looking"}, {"path": "tedlium_22017.wav", "duration": 8.37, "text": "more resources and training more people who won't yet be revenue producing or revenue productive in anticipation of demand."}, {"path": "tedlium_22018.wav", "duration": 8.37, "text": "we're going to be -- we're not going to be quick to make any decisions or changes in our policies"}, {"path": "tedlium_22019.wav", "duration": 8.37, "text": "Third, we have invested in conducting extensive customer research to inform category strategy by market and by store"}, {"path": "tedlium_22020.wav", "duration": 8.37, "text": "We have taken a similar approach to optimize our inventory. Based on a very deep and unprecedented view of what we need to grow,"}, {"path": "tedlium_22021.wav", "duration": 8.37, "text": "technology that can bring all processing to real time, so back offices can get automated in a big way. But those"}, {"path": "tedlium_22022.wav", "duration": 8.37, "text": "in anticipation of ingesting later this year all commercial properties that fall outside of our traditional coverage and metro boundaries,"}, {"path": "tedlium_22023.wav", "duration": 8.37, "text": "and so it's quite hard to get your head around if you're not inside the company. It's also the business that's going through the most radical restructuring."}, {"path": "tedlium_22024.wav", "duration": 8.37, "text": "can you just give us a little bit sort of broad outline around how to think about margins in each one of the segments and in the international segment, in particular?"}, {"path": "tedlium_22025.wav", "duration": 8.37, "text": "The financial flexibility that we have achieved since the IPO has recently enabled us to take the next step in shareholder value creation"}, {"path": "tedlium_22026.wav", "duration": 8.37, "text": "Mine operations were halted there and all fire suppression systems were inspected prior to restarting operations."}, {"path": "tedlium_22027.wav", "duration": 8.37, "text": "and also materials, cover different products. And the reason why we can manage it in a different way is that we have now"}, {"path": "tedlium_22028.wav", "duration": 8.37, "text": "this business just can't support the internalization quite yet. I think you would have to have"}, {"path": "tedlium_22029.wav", "duration": 8.37, "text": "The way we get there is through this evolution of our businesses and the focus of the resources on the attractive growth businesses, which you've seen us doing"}, {"path": "tedlium_22030.wav", "duration": 8.37, "text": "will provide continued financial flexibility to support our current and future opportunities in the housing and lifestyle markets."}, {"path": "tedlium_22031.wav", "duration": 8.37, "text": "for the service management sector and the largest ServiceNow-exclusive service management consulting firm"}, {"path": "tedlium_22032.wav", "duration": 8.37, "text": "but the big difference there is UXC. That's why we bought UXC was we were going to gain a significant presence"}, {"path": "tedlium_22033.wav", "duration": 8.37, "text": "I think it -- what I think it is a great opportunity for the financial markets, for the capital markets in Colombia because it really expands"}, {"path": "tedlium_22034.wav", "duration": 8.37, "text": "things on top of a market that may be under pressure, but at its core and foundation, is an excellent market"}, {"path": "tedlium_22035.wav", "duration": 8.37, "text": "I'm going to turn it over to Greg and then, I'll talk more about progress we're making on key initiatives in a few minutes. Greg?"}, {"path": "tedlium_22036.wav", "duration": 8.37, "text": "there were some new products, but they disappeared and did not succeed. Do you think that is a structural change?"}, {"path": "tedlium_22037.wav", "duration": 8.37, "text": "Considering our current product structure and the products in our pipelines, we have"}, {"path": "tedlium_22038.wav", "duration": 8.37, "text": "we will have to adjust because whether -- it will all depend on how the social contributions decrease"}, {"path": "tedlium_22039.wav", "duration": 8.37, "text": "The online spending is increasing, and we see an extensive growth in the amount of parcels which are ordered by heavy users."}, {"path": "tedlium_22040.wav", "duration": 8.37, "text": "This was a kind of a conference call every shareholder waits for. And I say thank you for a couple of reasons. One,"}, {"path": "tedlium_22041.wav", "duration": 8.37, "text": "One of the strongest formats in terms of adopting PC Plus is actually our superstore format, which is"}, {"path": "tedlium_22042.wav", "duration": 8.37, "text": "directly in this market. I think we will see a large increase in the number of even off-line companies that will"}, {"path": "tedlium_22043.wav", "duration": 8.37, "text": "in this, about half of these patients by the middle of this year. And we think that's a very important point. That's a point where there is clear separation"}, {"path": "tedlium_22044.wav", "duration": 8.37, "text": "This is consistent with our normal seasonal pattern of using cash in the first quarter to prepare for higher sales activity in the second quarter."}, {"path": "tedlium_22045.wav", "duration": 8.37, "text": "We do continue to build our Corporate Finance business, and we were successful in bringing in a number of high-profile new hires in the quarter."}, {"path": "tedlium_22046.wav", "duration": 8.37, "text": "we are sure Brazil will play a key role in this evolution and the recovery we are beginning to experience is a proof of that."}, {"path": "tedlium_22047.wav", "duration": 8.37, "text": "And if you look from an overall industry perspective, this pattern placement or alignment is a big challenge for customers."}, {"path": "tedlium_22048.wav", "duration": 8.37, "text": "At the Investor Day, we quantified the size of our addressable markets and the significant opportunity available to us to penetrate these markets."}, {"path": "tedlium_22049.wav", "duration": 8.37, "text": "The volume point growth was again very broad based, including double-digit growth in 4 of our top 5 markets for the second quarter in a row."}, {"path": "tedlium_22050.wav", "duration": 8.37, "text": "in our data centers. We focused on low-resiliency solutions that enabled us to get even higher yields on some of the assets that we're deploying. We've done"}, {"path": "tedlium_22051.wav", "duration": 8.37, "text": "We'll continue to be disciplined toward managing the balance sheet while investing in growth opportunities to improve our overall portfolio."}, {"path": "tedlium_22052.wav", "duration": 8.37, "text": "We don't believe this has any implications in a multiple dose context, and it's certainly no"}, {"path": "tedlium_22053.wav", "duration": 8.37, "text": "is whether the subsidies in the first quarter of next year are larger or smaller than the amortization that's going away."}, {"path": "tedlium_22054.wav", "duration": 8.37, "text": "I would honestly say to you that given the breadth of our platform today, it's sort of all over in the sense that there's no one specific"}, {"path": "tedlium_22055.wav", "duration": 8.37, "text": "There is likely to be some additional infill and satellite wells in the field and the operator is working hard with the joint venture"}, {"path": "tedlium_22056.wav", "duration": 8.37, "text": "In addition to our strong financial and operational performance, we continue to make good progress in rounding out the Marlin management team."}, {"path": "tedlium_22057.wav", "duration": 8.37, "text": "Given the strong customer demand for super-spec rigs, we have signed contracts to provide for the completion of 2 new APEX rigs."}, {"path": "tedlium_22058.wav", "duration": 8.37, "text": "you about the amount of donations that have grown quite strongly in Q1. Could you say a few words about your donations?"}, {"path": "tedlium_22059.wav", "duration": 8.37, "text": "much better than the other microdisplay companies in terms of our technology in terms of brightness and contrast"}, {"path": "tedlium_22060.wav", "duration": 8.37, "text": "over the last couple of years in terms of the replacement rate of those products. And how you would expect that to"}, {"path": "tedlium_22061.wav", "duration": 8.37, "text": "Our second quarter non-GAAP operating income guidance reflects the full run rate of the headcount increases we've made in the first quarter"}, {"path": "tedlium_22062.wav", "duration": 8.37, "text": "Further, both our customers and the company will benefit from the productive regulatory outcomes that were finalized in the second quarter."}, {"path": "tedlium_22063.wav", "duration": 8.37, "text": "I think your second question -- or part of the first question is actually more interesting, and I've made this point in the past as have others on calls. But"}, {"path": "tedlium_22064.wav", "duration": 8.37, "text": "The fourth quarter was down from the unusually high utilization we saw in the same period last year"}, {"path": "tedlium_22065.wav", "duration": 8.37, "text": "A large portion of our cash balance will be used for the Northwest acquisition, but by no means would this limit our ability or appetite"}, {"path": "tedlium_22066.wav", "duration": 8.37, "text": "We just -- we're not banking on it, to use the word banking in a different way. We're not banking on it right now, but it's -- there's some great upside with those opportunities."}, {"path": "tedlium_22067.wav", "duration": 8.37, "text": "Because you are expecting a decline in profits going forward, in which year will you hit the bottom? And"}, {"path": "tedlium_22068.wav", "duration": 8.37, "text": "investment opportunities. Now let's turn to Slide 8 and discuss the second quarter's results by strategy."}, {"path": "tedlium_22069.wav", "duration": 8.37, "text": "Our proposal to shareholders in this year's proxy for the authorization to issue preferred stock is an example of the variety of options we wish to have available."}, {"path": "tedlium_22070.wav", "duration": 8.37, "text": "if you're talking about the new store growth. And when you look at our new stores, we track very closely how the new stores perform."}, {"path": "tedlium_22071.wav", "duration": 8.37, "text": "We are -- our strategy is certainly right now we're designing and planning to execute on some very focused"}, {"path": "tedlium_22072.wav", "duration": 8.37, "text": "The trading environment in which Essential Foods operates was characterized by deflationary dynamics across all product categories,"}, {"path": "tedlium_22073.wav", "duration": 8.37, "text": "Strong volume recovery generated top line growth in core categories and translated into market share gains for some of our market leading brands."}, {"path": "tedlium_22074.wav", "duration": 8.37, "text": "in the earnings release. I know there's some disclosure in the EBITDA table. What additional color can you give on that? Or do we have to wait for the Q?"}, {"path": "tedlium_22075.wav", "duration": 8.37, "text": "We will continue to develop and launch new sensors and devices to round out our offering and drive adoption and usage of the Axon platform applications."}, {"path": "tedlium_22076.wav", "duration": 8.37, "text": "new equipment traditionally carries a lower margin through the early part of its life cycle due to the refining and the manufacturing process."}, {"path": "tedlium_22077.wav", "duration": 8.37, "text": "I would like to say, for Japan, that we are trying to change the way we work across the company."}, {"path": "tedlium_22078.wav", "duration": 8.37, "text": "And thirdly, quite importantly as well, currency movements impacted the revenue adversely as a result of the translation"}, {"path": "tedlium_22079.wav", "duration": 8.37, "text": "For a summary of specific risk factors that could cause results to differ materially from those expressed in the forward-looking statements,"}, {"path": "tedlium_22080.wav", "duration": 8.37, "text": "And our capacity expansion in Mexico is progressing nicely, which will be available to support both specialty and core"}, {"path": "tedlium_22081.wav", "duration": 8.37, "text": "Our strategy generates income in a variety of ways, including fee income, investment income, dividend income and capital gains,"}, {"path": "tedlium_22082.wav", "duration": 8.37, "text": "is lower than the first quarter growth is not a surprise to us. I remember when we were discussing the first quarter results,"}, {"path": "tedlium_22083.wav", "duration": 8.37, "text": "And then the second thing is we're going to get to build out some products and services for our lender basis. But it will be more of a moderate growth over the next year or so."}, {"path": "tedlium_22084.wav", "duration": 8.37, "text": "at least to see shorter time to revenue as our ability to deploy and successfully install that would materially improve."}, {"path": "tedlium_22085.wav", "duration": 8.37, "text": "So I don't like to whine about it. I would say that in the face of the -- some competitors, especially on the ethnic side"}, {"path": "tedlium_22086.wav", "duration": 8.37, "text": "Again, there are different -- I would rather not go and quantify the OEM numbers because there's very high sensitivity on"}, {"path": "tedlium_22087.wav", "duration": 8.37, "text": "While we continue to invest in strategic programs where we can generate returns, our goal is to limit functional costs increases."}, {"path": "tedlium_22088.wav", "duration": 8.37, "text": "we really do believe that that's critical to be able to provide the services and to provide the quality of service"}, {"path": "tedlium_22089.wav", "duration": 8.37, "text": "pretty specific terms out there on what those drivers are and give you a lot better opportunity to"}, {"path": "tedlium_22090.wav", "duration": 8.37, "text": "producer activities in sort of prolific shale plays that may have high associated gas cuts coming with them,"}, {"path": "tedlium_22091.wav", "duration": 8.37, "text": "in whatever outfit you wanted him or her to wear, and you could buy it straight through to the site, so pretty cool for the gaming generation."}, {"path": "tedlium_22092.wav", "duration": 8.37, "text": "is to sort of highlight the amount of network interfacing that goes into these products. And these products really are made"}, {"path": "tedlium_22093.wav", "duration": 8.37, "text": "This is a situation where we're realizing the benefits of being both the operator and the landlord of a cinema at our shopping center."}, {"path": "tedlium_22094.wav", "duration": 8.37, "text": "There are several other contracts out there that we're currently tendering as well. And we will have some good choices to make in terms of we could contract long again,"}, {"path": "tedlium_22095.wav", "duration": 8.37, "text": "but also we're now managing the operational risk as well. So some of you may recall Lakeside in its early days."}, {"path": "tedlium_22096.wav", "duration": 8.37, "text": "A hub-and-spoke business model allows us to serve an incredibly broad spectrum of customers, getting them to the places they want to fly with the amenities that they value."}, {"path": "tedlium_22097.wav", "duration": 8.37, "text": "Additional details on our investment portfolio at quarter end are included in the press release that we issued yesterday, but I'll touch on a few highlights."}, {"path": "tedlium_22098.wav", "duration": 8.37, "text": "We have developed this value creation model with a focus to Link People to a Brighter Future, and it embraces our stakeholders,"}, {"path": "tedlium_22099.wav", "duration": 8.37, "text": "The preproduction process has been long and complex. The products being developed by the OEMs are sophisticated. Their markets"}, {"path": "tedlium_22100.wav", "duration": 8.37, "text": "do you think that core growth rate accelerates or decelerates or remains relatively flat through the remainder of the calendar year?"}, {"path": "tedlium_22101.wav", "duration": 8.37, "text": "All of our efforts to date have been focused on positioning Charles River as the premier early-stage contract research organization"}, {"path": "tedlium_22102.wav", "duration": 8.37, "text": "And all I can say to try to answer that question is we will do everything we can to continue to"}, {"path": "tedlium_22103.wav", "duration": 8.37, "text": "This change has no impact on reported operating income, operating cash flows, net income or earnings per share."}, {"path": "tedlium_22104.wav", "duration": 8.37, "text": "If you want to ask a question, please just put your hand up, introduce yourself and where you're from, and a microphone will arrive"}, {"path": "tedlium_22105.wav", "duration": 8.37, "text": "which we will refer to during the call, are available on the IR section of our website as well as on our iPhone and iPad applications."}, {"path": "tedlium_22106.wav", "duration": 8.37, "text": "Excluding the impact of On Time, which we'll get to in a minute, we also made good progress in our efforts to drive organic growth,"}, {"path": "tedlium_22107.wav", "duration": 8.37, "text": "and third, the revaluation of the peso in the first quarter, which impacted our equity by spurning the creation of a larger deferred tax liability"}, {"path": "tedlium_22108.wav", "duration": 8.37, "text": "You can find reconciliations of all pro forma figures to their respective GAAP measures in an appendix to today's presentation."}, {"path": "tedlium_22109.wav", "duration": 8.37, "text": "Our 12% increase in revenue in the first quarter was driven by a better effective price per gallon on higher volume,"}, {"path": "tedlium_22110.wav", "duration": 8.37, "text": "what type of money are you going to get from them, so you don't have to dilute the stock anymore?"}, {"path": "tedlium_22111.wav", "duration": 8.37, "text": "In Asia Pacific, lower volumes were caused mainly by India. As I mentioned, the popular segment there is in decline."}, {"path": "tedlium_22112.wav", "duration": 8.37, "text": "is making sure that we have the right product in the right place, and that's in our stores. And not all of the product belongs in our stores, but"}, {"path": "tedlium_22113.wav", "duration": 8.37, "text": "But this was somewhat offset by obsolescence costs related to the transition of the assortment and to a lesser degree, the higher mix of installation sales."}, {"path": "tedlium_22114.wav", "duration": 8.37, "text": "have a solid operating plan and have the right team in place. We do understand, however, that we have a long way to go."}, {"path": "tedlium_22115.wav", "duration": 8.37, "text": "we do see that as an opportunity or an area where we can be, again, front-footed and lean into a little bit over the foreseeable future."}, {"path": "tedlium_22116.wav", "duration": 8.37, "text": "Our strong execution really positions us well for further investments in our business to drive future top line growth opportunities."}, {"path": "tedlium_22117.wav", "duration": 8.37, "text": "minute 1, on day 1 of the stress, you can look out and see how bad it's going to be. And because you can look out and see how bad it's going to be,"}, {"path": "tedlium_22118.wav", "duration": 8.37, "text": "So before I turn over to Bernie, I'll come back to my key themes. It's all about growth for us, customers, ARPUs, revenue and OCF. And while we feel"}, {"path": "tedlium_22119.wav", "duration": 8.37, "text": "The letters of credit business continued its upward trend over the last couple of quarters as demand is picking up from a more diversified slate of clients."}, {"path": "tedlium_22120.wav", "duration": 8.37, "text": "The management delayering is essentially completed and we are currently in the midst of implementing the remaining staff-related measures."}, {"path": "tedlium_22121.wav", "duration": 8.37, "text": "All of this would not be possible without the Herculean efforts by our team on the island as well as our property and construction management teams."}, {"path": "tedlium_22122.wav", "duration": 8.37, "text": "So what does that mean for the shareholder? I think it's, again, positive news over the last 20 -- last years, we have been able to constantly"}, {"path": "tedlium_22123.wav", "duration": 8.37, "text": "with a large part of the compensation really at risk based on the corporation's"}, {"path": "tedlium_22124.wav", "duration": 8.37, "text": "we hit the ground running on integration initiatives with a key focus on preserving customers in the short term and share gains in the medium to long term."}, {"path": "tedlium_22125.wav", "duration": 8.37, "text": "Third and finally, we are creating new paths to our customers to supplement or even circumvent the markets,"}, {"path": "tedlium_22126.wav", "duration": 8.37, "text": "Vince remains a leading brand with our department store partners, and we believe we have an opportunity to further strengthen our market share position"}, {"path": "tedlium_22127.wav", "duration": 8.37, "text": "the only question was how much because margins had been pinched so much. We're now in a sweet spot right now, where I think people are saying how certain."}, {"path": "tedlium_22128.wav", "duration": 8.37, "text": "The declines in refrigerated reflect the fact that with the exception of Reddi-wip, we have yet to bring innovation to the marketplace."}, {"path": "tedlium_22129.wav", "duration": 8.37, "text": "So we feel quite good, particularly about where we are with the orders we have in-house for private label and the momentum"}, {"path": "tedlium_22130.wav", "duration": 8.37, "text": "Year-over-year, the reduction in other income is largely the result of a change in the India budget,"}, {"path": "tedlium_22131.wav", "duration": 8.37, "text": "Please take a moment to read the cautionary statements on these materials stating that this teleconference, the discussion and the slides include estimates of future performance."}, {"path": "tedlium_22132.wav", "duration": 8.37, "text": "prepaid, which we agreed to pay earlier this year. And the assumption is that, that's the prepaid amount going forward."}, {"path": "tedlium_22133.wav", "duration": 8.37, "text": "although these were partially offset by stronger SIS software sales and increased product sales from the drilling and production groups."}, {"path": "tedlium_22134.wav", "duration": 8.37, "text": "so that we do not need, every time we have a new project, to start up the entire engineering development departments"}, {"path": "tedlium_22135.wav", "duration": 8.37, "text": "The shortfall in aggregates volumes drove most of the gap between our reported results and expectations for the quarter."}, {"path": "tedlium_22136.wav", "duration": 8.37, "text": "In our GameStop-branded stores, we continue to see strong acceptance of collectibles by our existing consumer base."}, {"path": "tedlium_22137.wav", "duration": 8.37, "text": "It all starts with being in the right places. Today, EnLink is focused on 5 core areas, the STACK in Central Oklahoma,"}, {"path": "tedlium_22138.wav", "duration": 8.37, "text": "how did you reach this number? And what has been labor representative reflections on it"}, {"path": "tedlium_22139.wav", "duration": 8.37, "text": "that we are. And the great thing about the country we have is that different parts of it can enact different rules that meet what their population wants to see happen. So"}, {"path": "tedlium_22140.wav", "duration": 8.37, "text": "when we go into the next down cycle or downturn in the economy, that you think that"}, {"path": "tedlium_22141.wav", "duration": 8.37, "text": "Market dynamics are changing for our clients. The shift from active to passive means thinner fees as well as more competition amongst managers"}, {"path": "tedlium_22142.wav", "duration": 8.37, "text": "A little more than one year ago, we announced a realigned organizational structure to better support our market-led strategy."}, {"path": "tedlium_22143.wav", "duration": 8.37, "text": "The fixed-price differential will also give us stronger returns on wells placed into sales during the summer pricing seasons."}, {"path": "tedlium_22144.wav", "duration": 8.37, "text": "Okay, so it's primarily financial engineering that is leading to the debt on the books as well as the cash on the other side? That's right."}, {"path": "tedlium_22145.wav", "duration": 8.37, "text": "It was an excellent opportunity for us to provide the staff additional insight into and context for our work."}, {"path": "tedlium_22146.wav", "duration": 8.37, "text": "that will be launching later this year into low earth orbit so that we can start testing, validating and demonstrating"}, {"path": "tedlium_22147.wav", "duration": 8.37, "text": "and the question then becomes, well, do we replace that technology spend that was for the new reservation system and put that money to something else? So that's"}, {"path": "tedlium_22148.wav", "duration": 8.37, "text": "In the middle of last year, we noted that we were evaluating strategic alternatives for a facility within our Flavors business."}, {"path": "tedlium_22149.wav", "duration": 8.37, "text": "In closing, we are pleased with the results of the third quarter and the expansion of our customer base across all our markets."}, {"path": "tedlium_22150.wav", "duration": 8.37, "text": "And the following question is related to the volumes of gas trading,"}, {"path": "tedlium_22151.wav", "duration": 8.37, "text": "particularly for the Mexican projects. We have to be sure of what we want to do and how we want to do these projects."}, {"path": "tedlium_22152.wav", "duration": 8.37, "text": "they may hire some low-level analysts to do due diligence for them or have a function answering to other portfolio managers who are also managing clients,"}, {"path": "tedlium_22153.wav", "duration": 8.37, "text": "Looking forward, I see more opportunities to improve ROIC by further enhancing our approach to allocating capital among our businesses."}, {"path": "tedlium_22154.wav", "duration": 8.37, "text": "Over time, we believe these initiatives will result in an increase in traffic, a re-acceleration of Pro sales growth"}, {"path": "tedlium_22155.wav", "duration": 8.37, "text": "Number three. We have implemented a new sales associate compensation system that we believe will allow us to attract and retain top sales talent."}, {"path": "tedlium_22156.wav", "duration": 8.37, "text": "And second question is that there has been a significant decline in terms of the bunker C and naphtha margin, what is the driver behind that?"}, {"path": "tedlium_22157.wav", "duration": 8.37, "text": "No one likes that kind of volatility. We don't like it, we don't think the shareholders like it and the regulators certainly don't like it. And so their great preference"}, {"path": "tedlium_22158.wav", "duration": 8.37, "text": "is poised to end this year above the 10 million tonnes of trading volumes, and that is contributing to the overall increasing volumes at the portfolio level."}, {"path": "tedlium_22159.wav", "duration": 8.37, "text": "did you say that you saw construction equipment orders from your perspective or demand from metal picking up?"}, {"path": "tedlium_22160.wav", "duration": 8.37, "text": "Before I finish, I have one more topic. A couple of weeks back, Jack informed me of his intention to retire at the end of this year."}, {"path": "tedlium_22161.wav", "duration": 8.37, "text": "And that's what we have to deal with. How do we convince new people to come in when we say when we give 20% discount price, it's a major thing."}, {"path": "tedlium_22162.wav", "duration": 8.3400625, "text": "And I think we're going to have a lot of fun with that business. Yes, the only thing I'd add, Jeff, is that we will be disciplined. I mean, I think"}, {"path": "tedlium_22163.wav", "duration": 8.34, "text": "price increases to compensate for that, but during the quarter we have seen a continuing increase in the pulp prices,"}, {"path": "tedlium_22164.wav", "duration": 8.34, "text": "I'm now going to hand back to Miles, who's going to talk a little bit more about how our actions in the period have contributed to our increasing margin"}, {"path": "tedlium_22165.wav", "duration": 8.34, "text": "Yes, I mean, obviously expansions and recessions are a natural part of the economic cycle."}, {"path": "tedlium_22166.wav", "duration": 8.34, "text": "As we fabricate more volume, our facility will improve their efficiency and our financial performance will follow."}, {"path": "tedlium_22167.wav", "duration": 8.34, "text": "And this comes from an increase of backlog. These activity level are the first step for increasing revenue."}, {"path": "tedlium_22168.wav", "duration": 8.34, "text": "This will not change the bank's sound policy of terminating poor performing employees. BofI is not in the business of settling meritless lawsuits,"}, {"path": "tedlium_22169.wav", "duration": 8.34, "text": "how we go about doing our deployment services, but deployment services are the lowest margin offering in the services portfolio."}, {"path": "tedlium_22170.wav", "duration": 8.34, "text": "which is more than 4x the level for the same period last year and includes contribution to income from each of the 3 quarters this year."}, {"path": "tedlium_22171.wav", "duration": 8.34, "text": "to track shipments of goods through their distribution cycles in order to predict what's going to happen in the global supply chain."}, {"path": "tedlium_22172.wav", "duration": 8.34, "text": "And that is how we would like to grow our merchant-base. Also with regards to users"}, {"path": "tedlium_22173.wav", "duration": 8.34, "text": "In emerging markets, the negative sentiment kept building whether it was from a major currency devaluation in Argentina,"}, {"path": "tedlium_22174.wav", "duration": 8.34, "text": "Laurie, I'm just going to add on. On the interest-bearing checking line item is where we have the vast majority of our municipal deposits,"}, {"path": "tedlium_22175.wav", "duration": 8.34, "text": "without jeopardizing our sales. So you have to plan all this very carefully."}, {"path": "tedlium_22176.wav", "duration": 8.34, "text": "Of course, we've been taking pricing in markets like Argentina and other countries with higher rates of inflation, but we're also going to take a hard look at pricing"}, {"path": "tedlium_22177.wav", "duration": 8.34, "text": "But in terms of capital allocation priorities, those remain unchanged. We're going to continue to be disciplined in how we allocate capital, how we run this business."}, {"path": "tedlium_22178.wav", "duration": 8.34, "text": "We've got opportunities as we bring consumer meaningful innovation to shelf. We believe that we'll create opportunities for incremental shelf space. So"}, {"path": "tedlium_22179.wav", "duration": 8.34, "text": "dollar prices fell, and actually we granted twice as many loans as we have to our name,"}, {"path": "tedlium_22180.wav", "duration": 8.34, "text": "For 55 years, Weight Watchers has inspired people to come together and begin a journey of positive, lasting change."}, {"path": "tedlium_22181.wav", "duration": 8.34, "text": "But this is paving the way nicely for us to tackle some more difficult and challenging integration areas such as billing,"}, {"path": "tedlium_22182.wav", "duration": 8.34, "text": "Our lease in the Irvine facility expires next April, so the timing is good and we're very focused on meeting this deadline."}, {"path": "tedlium_22183.wav", "duration": 8.34, "text": "the need for infrastructure will continue. The challenge is matching the timing with production growth and infrastructure growth,"}, {"path": "tedlium_22184.wav", "duration": 8.34, "text": "Both phases of the trial helped to define the most appropriate patient population and optimal treatment duration for Acthar in this condition."}, {"path": "tedlium_22185.wav", "duration": 8.34, "text": "You typically assume that most of that heterogeneity will be balanced across randomized groups, but this is a small study in the ultra-rare condition."}, {"path": "tedlium_22186.wav", "duration": 8.34, "text": "These kinds of achievements are part of a steady drumbeat of enhancements that support the business our agents continue to bring in the door."}, {"path": "tedlium_22187.wav", "duration": 8.34, "text": "how data gets to a customer, making it smart as opposed to just something written on a piece of paper, those types of things are going to make us much more"}, {"path": "tedlium_22188.wav", "duration": 8.34, "text": "were able to put our promotion expenses and overhead in a controllable range."}, {"path": "tedlium_22189.wav", "duration": 8.34, "text": "We definitely haven't been through a full diet season of all channels going at the same time, so it's something that we'll be adjusting as we go through first quarter."}, {"path": "tedlium_22190.wav", "duration": 8.34, "text": "the logistics in our industry around wholesalers and distributors and the amount of inventory that people take on when we launch new product."}, {"path": "tedlium_22191.wav", "duration": 8.34, "text": "so I think we -- as we said last year, we've done a lot of different programs to catch up on the preventative maintenance front"}, {"path": "tedlium_22192.wav", "duration": 8.34, "text": "any kind of operating expenses because of its location. And we just feel like, it's -- a better plan for us"}, {"path": "tedlium_22193.wav", "duration": 8.34, "text": "to where we are today, where in your opinion are we on that scale and what are some of the metrics that we need to focus upon"}, {"path": "tedlium_22194.wav", "duration": 8.34, "text": "I'm extremely proud of the entire Five9 team and our strategic partners for bringing it all together with 1 goal in mind,"}, {"path": "tedlium_22195.wav", "duration": 8.34, "text": "All right. Well, thank you for joining us for today's call. We look forward to speaking with you again when we report first quarter results next month."}, {"path": "tedlium_22196.wav", "duration": 8.34, "text": "We continue to diversify our operations, as we expand our products both inside and outside of Oklahoma."}, {"path": "tedlium_22197.wav", "duration": 8.34, "text": "Now we shouldn't underestimate the significance of this agreement because at the end of the mining boom, we saw a major reduction in revenue and earnings in WA,"}, {"path": "tedlium_22198.wav", "duration": 8.34, "text": "And we are being very careful that we don't overpay for the licenses that we do want to have access to."}, {"path": "tedlium_22199.wav", "duration": 8.34, "text": "And it wasn't clear to me if there was sort of anything new -- any new elements to the plan, if you've made any sort of strategic decisions"}, {"path": "tedlium_22200.wav", "duration": 8.34, "text": "in terms of ROIC. So we need and we want to exploit it. We need to get them to their"}, {"path": "tedlium_22201.wav", "duration": 8.34, "text": "trying to be reliable in many aspects of our business."}, {"path": "tedlium_22202.wav", "duration": 8.34, "text": "So to get a better sense of our segment operating performance, we will split these items out as legacy cost and report at the corporate level."}, {"path": "tedlium_22203.wav", "duration": 8.34, "text": "these loans are not transactions purchased from a syndication desk where there is no relationship with the client."}, {"path": "tedlium_22204.wav", "duration": 8.34, "text": "And then we're -- obviously, the second part of that is statistical modeling to see how many patients we need to have reached that time point"}, {"path": "tedlium_22205.wav", "duration": 8.34, "text": "that's what we want to see. We really felt that fixing the balance sheet, especially given the challenges of the industry,"}, {"path": "tedlium_22206.wav", "duration": 8.34, "text": "a decision based upon deteriorating results, the continuing advertising and technology arms race,"}, {"path": "tedlium_22207.wav", "duration": 8.34, "text": "Prior to this change, distributions from our Japanese subadvisory business were recorded in net flows"}, {"path": "tedlium_22208.wav", "duration": 8.34, "text": "knowing how it would impact what the DFS would allow you to do? Or is it just pricing with this other counterparty? Andrew,"}, {"path": "tedlium_22209.wav", "duration": 8.34, "text": "within that business. We, frankly, expect that to continue as it relates to some of the lumpiness that you see quarter in, quarter out."}, {"path": "tedlium_22210.wav", "duration": 8.34, "text": "I think last year was possibly impacted by a high percentage of diving work that carries the higher rate."}, {"path": "tedlium_22211.wav", "duration": 8.34, "text": "providers will increasingly look to an operating partner that can maximize and best leverage proprietary and bolt-on technology"}, {"path": "tedlium_22212.wav", "duration": 8.34, "text": "We will continue to focus and strategically align our portfolio to deliver growth, while driving improved operating efficiencies across our organizations"}, {"path": "tedlium_22213.wav", "duration": 8.34, "text": "and to maximize performance, our community shopping center proposition must align to the audiences we serve in each scheme."}, {"path": "tedlium_22214.wav", "duration": 8.34, "text": "that slide as it relates to the growth in revenue per employee and how we've driven operating margins up very steadily over the last 5 years."}, {"path": "tedlium_22215.wav", "duration": 8.34, "text": "as a result of fleet sales, timing and customers waiting to see the new launch that we'll have in the heavy commercial vehicle segment in June."}, {"path": "tedlium_22216.wav", "duration": 8.34, "text": "business over the next 3 years. Which I think will either happen through just natural organic extensions in the existing businesses or"}, {"path": "tedlium_22217.wav", "duration": 8.34, "text": "We remain confident in our ability to expand our market share and also we focus on expense management."}, {"path": "tedlium_22218.wav", "duration": 8.34, "text": "The revenues expected from the vessels in the fleet with secured employment cover the company's annual operating and financial obligation."}, {"path": "tedlium_22219.wav", "duration": 8.34, "text": "While existing customers are rolling out CyberArk programs, new customers continue to take a more strategic approach to Privileged Account Security."}, {"path": "tedlium_22220.wav", "duration": 8.34, "text": "While management believes that its expectations are based on reasonable assumptions, there can be no assurance that such expectations will prove to be correct."}, {"path": "tedlium_22221.wav", "duration": 8.34, "text": "We're happy to report that all of our employees in the region were safely evacuated and are ready to start the rebuilding effort when it is safe to do so."}, {"path": "tedlium_22222.wav", "duration": 8.34, "text": "Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program, and you may all disconnect. Everyone, have a great day."}, {"path": "tedlium_22223.wav", "duration": 8.34, "text": "Now I'll take you through the core adjustments in just a second, but first let me summarize the major items in the income statement, and I'll remind you that"}, {"path": "tedlium_22224.wav", "duration": 8.34, "text": "We're studying that question not only with data and analysis, but we're also talking with our customers about the specific units and fleet operational plans."}, {"path": "tedlium_22225.wav", "duration": 8.34, "text": "is likely to be sound policy. That said, in terms of impact on our business, I'm quite positive about"}, {"path": "tedlium_22226.wav", "duration": 8.34, "text": "that our company is actually selling every single asset that it has, even more than some of our historical businesses."}, {"path": "tedlium_22227.wav", "duration": 8.34, "text": "the structure has probably exceeded most people's expectations. We think it works very well because we have"}, {"path": "tedlium_22228.wav", "duration": 8.34, "text": "As we look to '18, do we still expect this trajectory to continue and operating cost savings to cover for that?"}, {"path": "tedlium_22229.wav", "duration": 8.34, "text": "I am excited to be back at ITG and I'm confident that the best is yet to come for our clients, our shareholders and our employees."}, {"path": "tedlium_22230.wav", "duration": 8.34, "text": "that we're delivering this kind of margin profile with some of our bellwether, most profitable companies struggling,"}, {"path": "tedlium_22231.wav", "duration": 8.34, "text": "But -- so that's what is connected to our target of 15% to 20% in the GP or Teekay Parent dividend"}, {"path": "tedlium_22232.wav", "duration": 8.34, "text": "I will touch on this more in detail later in this presentation. Teekay Parent's new dividend policy that was implemented in the second quarter"}, {"path": "tedlium_22233.wav", "duration": 8.34, "text": "at our existing facility with the new contract, where we could expand it and would allow them to close some facilities that they've got in downtown in Chattanooga."}, {"path": "tedlium_22234.wav", "duration": 8.34, "text": "Though we don't expect these initiatives to bear fruit overnight, we do expect them to gradually improve our customer experience over the next year,"}, {"path": "tedlium_22235.wav", "duration": 8.34, "text": "This is a great position to be in, and we will continue to work hard in our efforts to ensure millions of IBS-C and chronic constipation patients"}, {"path": "tedlium_22236.wav", "duration": 8.34, "text": "We also recently launched new upholstery and dining collections, and the initial reaction from our customers has been encouraging."}, {"path": "tedlium_22237.wav", "duration": 8.34, "text": "period. So this is really Q2. So we're trying to get our legs around the types of metrics that we can start to be consistent with"}, {"path": "tedlium_22238.wav", "duration": 8.34, "text": "So that's why we are not really tied in necessarily to the ballooning costs of movies per se at this point in time."}, {"path": "tedlium_22239.wav", "duration": 8.34, "text": "have gotten used to dash cams, I'd say the vast majority of them want to maintain dash cams even if they add body cameras."}, {"path": "tedlium_22240.wav", "duration": 8.34, "text": "essentially in the same region, I think our capability to be very competitive should we get to that point"}, {"path": "tedlium_22241.wav", "duration": 8.34, "text": "The company cautions listeners that any such forward-looking statements are based on assumptions that the company believes are reasonable but are subject to a wide range of risks."}, {"path": "tedlium_22242.wav", "duration": 8.34, "text": "What's going on with the market fears over Zika virus and anything else that we should be aware of?"}, {"path": "tedlium_22243.wav", "duration": 8.34, "text": "and that will mostly be a function of what's the capacity utilization look like in the industry, who has slack capacity"}, {"path": "tedlium_22244.wav", "duration": 8.34, "text": "So we are not at all distressed by changes in mix or what planes they build. We just want them to build planes that use aluminum."}, {"path": "tedlium_22245.wav", "duration": 8.34, "text": "continued investments in our administrative processes and costs to obtain other future efficiencies in our business."}, {"path": "tedlium_22246.wav", "duration": 8.34, "text": "So that's a big growth area for us. So that's where our lab and manufacturing is going in, and we're making great progress with both the customers there."}, {"path": "tedlium_22247.wav", "duration": 8.34, "text": "is there any kind of trade-off you have to make in terms of profitability when you sell something online versus through a physical retail store?"}, {"path": "tedlium_22248.wav", "duration": 8.34, "text": "that we incurred in that first quarter, to use that as a baseline to say that we're going to have"}, {"path": "tedlium_22249.wav", "duration": 8.34, "text": "Do programs like AMC's Stubs A-list change the way that you look into future as it relates to raising price?"}, {"path": "tedlium_22250.wav", "duration": 8.34, "text": "which can be found on the company's website or at sec.gov. Main Street assumes no obligation to update any of these statements, unless required by law."}, {"path": "tedlium_22251.wav", "duration": 8.34, "text": "in large measure the bulk of the teams that we need in order to do that. Doesn't mean we won't continue to invest, but I think the pace of investment will slow a bit."}, {"path": "tedlium_22252.wav", "duration": 8.34, "text": "driven by continued product innovation and design with consumer brands. We'll transform the Sport Chek brand and operations."}, {"path": "tedlium_22253.wav", "duration": 8.34, "text": "We think that the price increases that we put forward, which are more modest price increases, will all generally stick."}, {"path": "tedlium_22254.wav", "duration": 8.34, "text": "and we remain enthusiastic about the prospect of our ProNeura platform for the treatment of select chronic diseases."}, {"path": "tedlium_22255.wav", "duration": 8.34, "text": "on a phone would be taken up by other people that our customers could ship into shortly, so the market itself would level out."}, {"path": "tedlium_22256.wav", "duration": 8.34, "text": "and Jim McKinney, Kemper's Senior Vice President and Chief Financial Officer. We will make the opening remarks to provide context around our first quarter results."}, {"path": "tedlium_22257.wav", "duration": 8.34, "text": "The safe harbor provision identifies risk factors that may cause the actual results to differ materially from the content of our forward-looking statements."}, {"path": "tedlium_22258.wav", "duration": 8.34, "text": "Growth in hydraulics was down 17% as volume in our demolition shares is correlated to pricing levels in the scrap steel market."}, {"path": "tedlium_22259.wav", "duration": 8.34, "text": "We also are implementing performance improvement plans that were developed in conjunction with FMI group, a leading industry consulting specialist,"}, {"path": "tedlium_22260.wav", "duration": 8.34, "text": "so at the end of our operating agreement, which is 18 months from now when they finally move into intermediated payments which"}, {"path": "tedlium_22261.wav", "duration": 8.34, "text": "We are very pleased with the strategic priorities we have executed on, that have translated into both higher earnings and higher returns."}, {"path": "tedlium_22262.wav", "duration": 8.34, "text": "As we move into the fourth quarter, we expect transactional activity to return to a more normal level."}, {"path": "tedlium_22263.wav", "duration": 8.34, "text": "Day guidance. And as a result of that strong first half production performance, we've taken the decision to revise"}, {"path": "tedlium_22264.wav", "duration": 8.34, "text": "And so we do feel like we're very well positioned. We feel like this range is thoughtful given the plans that we have in front of us"}, {"path": "tedlium_22265.wav", "duration": 8.34, "text": "The company continued its operational efficiency drive, and it continued to control and cut costs in light of the difficult environment,"}, {"path": "tedlium_22266.wav", "duration": 8.34, "text": "We have continued to apply our enhanced completion designs that have proven successful and new wells are performing in line with expectations."}, {"path": "tedlium_22267.wav", "duration": 8.34, "text": "That's why we have to develop our trading platform, expand our business network to achieve"}, {"path": "tedlium_22268.wav", "duration": 8.34, "text": "The industry will continue to add perf clusters per stage, yielding less stages while lateral lengths are nearing maximum levels"}, {"path": "tedlium_22269.wav", "duration": 8.34, "text": "I think at this opportunity, this guidance can revert into an opportunity because clearly"}, {"path": "tedlium_22270.wav", "duration": 8.34, "text": "I would like to thank all of our employees for their passion, hard work and commitment to our organization, which has always lied at the center of our success."}, {"path": "tedlium_22271.wav", "duration": 8.34, "text": "as we now have strong prowess in providing product design, sustaining engineering services and a successful track record of designing"}, {"path": "tedlium_22272.wav", "duration": 8.34, "text": "And the chemical expansion project at Baytown and Mont Belvieu will begin a phased start-up in the second half of the year."}, {"path": "tedlium_22273.wav", "duration": 8.34, "text": "in the second quarter for our beauty market. Also Latin America, we also saw good growth really across all of our markets. Personal care was up."}, {"path": "tedlium_22274.wav", "duration": 8.34, "text": "As you can see, from the chart in the upper left, during the heat wave, all 11 of our peaking units were needed each day that week to serve peak load."}, {"path": "tedlium_22275.wav", "duration": 8.34, "text": "So there's a couple of big themes like a Nike and a Bose. But after that, it's a very, very broad cross-sections of any kind of smart connected device."}, {"path": "tedlium_22276.wav", "duration": 8.34, "text": "Is it a matter of just digging into Pinnacle once the deal closed and finding out some of the things that you mentioned? Or I guess, just another way of asking,"}, {"path": "tedlium_22277.wav", "duration": 8.34, "text": "all the advances in the mobile segment but it does provide some fluctuation. So as we've talked on that particular piece,"}, {"path": "tedlium_22278.wav", "duration": 8.34, "text": "So the consequence of that even in a relatively flat environment if you assume no material activity change, and we continue to"}, {"path": "tedlium_22279.wav", "duration": 8.34, "text": "As you look out 3-plus years, do you see meaningful opportunity for consolidation in the industry? Or rather is it the case that"}, {"path": "tedlium_22280.wav", "duration": 8.34, "text": "in terms of the operating platforms, distribution, internal, so now we want to take that power that we have and really focus it towards"}, {"path": "tedlium_22281.wav", "duration": 8.34, "text": "This progress was partially offset by declines in some large markets, such as U.S. Biscuits and Brazil,"}, {"path": "tedlium_22282.wav", "duration": 8.34, "text": "We see a return to solid growth, but don't know that we can fully catch up to our original guidance in the months remaining."}, {"path": "tedlium_22283.wav", "duration": 8.34, "text": "with the execution of regional campaigns or the optimization of agreements with suppliers for sampling and merchandising materials."}, {"path": "tedlium_22284.wav", "duration": 8.34, "text": "We are committed to financial discipline, and have strategically focused on lower risk, high-return organic growth projects in our core areas."}, {"path": "tedlium_22285.wav", "duration": 8.34, "text": "And so we're not at a point today where we need to decide where the next plant would go, whether it's in the Chisholm area or whether it's back further to"}, {"path": "tedlium_22286.wav", "duration": 8.34, "text": "full field development that will come on in bigger chunks at a time."}, {"path": "tedlium_22287.wav", "duration": 8.34, "text": "I think you covered most of the things I could have said."}, {"path": "tedlium_22288.wav", "duration": 8.34, "text": "support coming from the government and the industry zone that is helpful, especially in the starting period,"}, {"path": "tedlium_22289.wav", "duration": 8.34, "text": "as well as the new plant we are setting up in North Macedonia. I have the next chart showing more details on this specific topic."}, {"path": "tedlium_22290.wav", "duration": 8.34, "text": "But I would assume that the normal way of -- which we normally have on the seasonality is also that what will happen"}, {"path": "tedlium_22291.wav", "duration": 8.34, "text": "how that kind of materializes into bookings and eventually revenue. Just trying to get a sense of timing of"}, {"path": "tedlium_22292.wav", "duration": 8.34, "text": "This growth was driven by new customer onboardings as well as strong growth from existing customers."}, {"path": "tedlium_22293.wav", "duration": 8.34, "text": "People will not have a business in most of our markets so they don't have our station on there. So if the economics turn out to be appropriate,"}, {"path": "tedlium_22294.wav", "duration": 8.34, "text": "with movements of early payments of debt within the liability management strategy of the company,"}, {"path": "tedlium_22295.wav", "duration": 8.34, "text": "and a continued market penetration of our OPTILOAD product were more than offset by the decrease"}, {"path": "tedlium_22296.wav", "duration": 8.34, "text": "An important part of getting back to high performance is strengthening our leadership team on both the design and operation side of the business."}, {"path": "tedlium_22297.wav", "duration": 8.34, "text": "that was done, we shared this at the time that we announced it, really to just enable us to execute the plan that's been laid out without need of going back to the board. So"}, {"path": "tedlium_22298.wav", "duration": 8.34, "text": "even while we do that, the people that we hire, we're going to pay them more because they're going to be more skilled, they're going to be using technology"}, {"path": "tedlium_22299.wav", "duration": 8.34, "text": "From my perspective, I would like to briefly point out what I believe are the 3-bullet-point takeaways from our activities during the third quarter."}, {"path": "tedlium_22300.wav", "duration": 8.34, "text": "So we'll be surgical about it, but we do think there's a big opportunity. So you will see us grow but we're going to do it in a very thoughtful manner."}, {"path": "tedlium_22301.wav", "duration": 8.34, "text": "And second, if the export model is profitable, how come the utilization rate of your existing China capacity"}, {"path": "tedlium_22302.wav", "duration": 8.34, "text": "Thank you, Dave, for your hand in building the platform and the team. We promise to make you proud as we take Life Storage to the next level."}, {"path": "tedlium_22303.wav", "duration": 8.34, "text": "Should we expect an acceleration in VIVITROL trends like we saw a few years ago sort of kind of following up on the last comment as well?"}, {"path": "tedlium_22304.wav", "duration": 8.34, "text": "There's a lot to digest in the presentations, which we have provided. So perhaps, it's worthwhile just taking a step back and taking stock."}, {"path": "tedlium_22305.wav", "duration": 8.34, "text": "Finally, we remain strongly levered to the higher gold price despite the stronger exchange rates and higher oil price,"}, {"path": "tedlium_22306.wav", "duration": 8.34, "text": "We significantly expanded our aftermarket business by some very promising acquisitions"}, {"path": "tedlium_22307.wav", "duration": 8.34, "text": "Well, I don't know if we can -- if we really have any thoughts on what might happen with new inpatient regulations."}, {"path": "tedlium_22308.wav", "duration": 8.34, "text": "mainly due to recent announcements about slower growth in China, resulting in even further downward pressure on metal pricing,"}, {"path": "tedlium_22309.wav", "duration": 8.34, "text": "However, as highlighted previously, our teams in the field did a great job of maintaining and increasing our gross profit margin."}, {"path": "tedlium_22310.wav", "duration": 8.34, "text": "Can you just give us a little bit more color as to the strength that you're seeing there and whether or not you believe that can be sustained in coming quarters?"}, {"path": "tedlium_22311.wav", "duration": 8.34, "text": "points range by fiscal year '20. There's been a lot of moving pieces here. I'm just looking for an update now on if those goals all stand."}, {"path": "tedlium_22312.wav", "duration": 8.34, "text": "Design centers and delivery centers were closed anywhere from a couple of days to more than a week with an effect on both written orders and net delivered sales."}, {"path": "tedlium_22313.wav", "duration": 8.3399375, "text": "We completed the move of the fourth and final Stromag manufacturing operation out of the seller's facility on schedule,"}, {"path": "tedlium_22314.wav", "duration": 8.3399375, "text": "And so there's not a tremendous amount of activity from the senior management team still to make that happen."}, {"path": "tedlium_22315.wav", "duration": 8.3399375, "text": "at least the likelihood that there is going to be a continuation of a repopulation of your backlog, a continuation of capital deployment"}, {"path": "tedlium_22316.wav", "duration": 8.3399375, "text": "And these are typically the old Panamaxes that are almost, you can say, almost being obsolete because the new vessels are so much more efficient"}, {"path": "tedlium_22317.wav", "duration": 8.3100625, "text": "Please note, we've prepared a slide presentation to accompany today's webcast. We encourage you to follow along with the slides on veeco.com."}, {"path": "tedlium_22318.wav", "duration": 8.31, "text": "I will now turn the call over to Tom Schall. Thank you, Bill, and good afternoon to everyone listening."}, {"path": "tedlium_22319.wav", "duration": 8.31, "text": "acquisitions that we've made are indeed experiencing accelerated growth. And as you know that we've had some challenges with some portions of our business that we've discussed in the past."}, {"path": "tedlium_22320.wav", "duration": 8.31, "text": "So there will be some tailwinds, as Julio said, on the bottom line and on margins within Consulting as a result."}, {"path": "tedlium_22321.wav", "duration": 8.31, "text": "and so with the kind of strength that we've continued to see in January, we expect to see"}, {"path": "tedlium_22322.wav", "duration": 8.31, "text": "time of the year for the contracts. I mean, you're kind of dealing with pricing that had gone into a place 6 to 9 months previously. So"}, {"path": "tedlium_22323.wav", "duration": 8.31, "text": "but also improved average uptake on the ARPU of next transactions that we are going to see"}, {"path": "tedlium_22324.wav", "duration": 8.31, "text": "We've pivoted to investing in projects that build value around our extensive asset portfolio of refineries and logistics infrastructure."}, {"path": "tedlium_22325.wav", "duration": 8.31, "text": "relates to is the IRS allows you for orphan drug clinical trials. So if you have a drug that has a"}, {"path": "tedlium_22326.wav", "duration": 8.31, "text": "We capitalized on higher demand for product support from other customers and our team has done a commendable job implementing a mitigation plan"}, {"path": "tedlium_22327.wav", "duration": 8.31, "text": "but there is still a big opportunity and we continue to work on that front both on assets and transactions and the liability side. And even if"}, {"path": "tedlium_22328.wav", "duration": 8.31, "text": "We are well positioned to continue building on the strong momentum we displayed at the lottery and gaming trade shows."}, {"path": "tedlium_22329.wav", "duration": 8.31, "text": "getting ready for Christmas. So there's not a whole lot that goes on the last couple of weeks, which always hurts your production, but anyway, we're really doing well at Prime."}, {"path": "tedlium_22330.wav", "duration": 8.31, "text": "but in late 2014, we placed a renewed focus on properly pricing the value we provide to our customers"}, {"path": "tedlium_22331.wav", "duration": 8.31, "text": "Marriott is a company with a more than 90-year history of creating value for its shareholders, and we are committed to continuing to do so."}, {"path": "tedlium_22332.wav", "duration": 8.31, "text": "ex the hurricane, the growth was very consistent with our expectations."}, {"path": "tedlium_22333.wav", "duration": 8.31, "text": "that was virtually unchanged from last quarter. The weighted average primary lease term of our new investments continues to be long at approximately 18 years."}, {"path": "tedlium_22334.wav", "duration": 8.31, "text": "third-party independence is to the measurement business and to the business models of all the players in this marketplace. That's always been true."}, {"path": "tedlium_22335.wav", "duration": 8.31, "text": "previously insured with other carriers or -- and just not new to? And I'm just curious how you guys are doing such a good job here."}, {"path": "tedlium_22336.wav", "duration": 8.31, "text": "We have opportunities to grow organically by increasing our fund sizes or by expanding our products, geographic coverage, channels of distribution."}, {"path": "tedlium_22337.wav", "duration": 8.31, "text": "subcontractors and the vendors and constantly developing a strong bench strength that allows our"}, {"path": "tedlium_22338.wav", "duration": 8.31, "text": "Gross margins showed meaningful improvements as well, as we saw strengthening in substantially all of our product categories."}, {"path": "tedlium_22339.wav", "duration": 8.31, "text": "combined with providing us additional manufacturing capabilities to expand and accelerate the recommercialization effort"}, {"path": "tedlium_22340.wav", "duration": 8.31, "text": "Our International segment is poised for continued margin growth against a relatively weak second half prior year comparable."}, {"path": "tedlium_22341.wav", "duration": 8.31, "text": "improve the specialization of our facilities depending on the local needs when we have several facilities in one city. The idea will be to"}, {"path": "tedlium_22342.wav", "duration": 8.31, "text": "to offer various weight loss solutions that work for as many people as possible. Weight loss is more relevant than ever."}, {"path": "tedlium_22343.wav", "duration": 8.31, "text": "It's typically a number that we're always pushing for more on. It's not a number that typically contracts,"}, {"path": "tedlium_22344.wav", "duration": 8.31, "text": "more or less continuous smaller opportunities that fit our investments and operating focus and we'll certainly"}, {"path": "tedlium_22345.wav", "duration": 8.31, "text": "Our rate requests are being made to support additional capital investments to make the grid smarter, stronger and more resilient,"}, {"path": "tedlium_22346.wav", "duration": 8.31, "text": "These -- by the way, as well as links to our financial statements and our investor presentation can all be found in our website"}, {"path": "tedlium_22347.wav", "duration": 8.31, "text": "And it seems like that segment of the market has become more challenged through 2016. So how do you balance return on those investments"}, {"path": "tedlium_22348.wav", "duration": 8.31, "text": "Okay. So you haven't really started to see pressure on the legacy deposit book just from higher rates yet?"}, {"path": "tedlium_22349.wav", "duration": 8.31, "text": "we also posted decreases in expenses, and that's not related to tax benefit. I'm not familiar with all of the tax"}, {"path": "tedlium_22350.wav", "duration": 8.31, "text": "volume loss or share loss as we have pushed price pretty hard. Some of that is coming from"}, {"path": "tedlium_22351.wav", "duration": 8.31, "text": "And also, keep in mind, in that particular product suite I just described, software is much larger than switches, and it's generating a lot more margin for us."}, {"path": "tedlium_22352.wav", "duration": 8.31, "text": "And reinvestments are now classified as inflows. Prior periods reflect these revised classifications."}, {"path": "tedlium_22353.wav", "duration": 8.31, "text": "Thank you, Henric. Then we move over to the financials from a group perspective."}, {"path": "tedlium_22354.wav", "duration": 8.31, "text": "from '17 to '18. So that had a huge impact on the core earnings for the bank."}, {"path": "tedlium_22355.wav", "duration": 8.31, "text": "Okay. We are a couple of months behind in that, okay. Not terribly far behind, but we're not hitting the schedule we thought we'd hit."}, {"path": "tedlium_22356.wav", "duration": 8.31, "text": "generally, you want to get a sense of what are the brands doing. And that's really why we wanted to come forward with a little bit of that color because"}, {"path": "tedlium_22357.wav", "duration": 8.31, "text": "and approving a court, the company believes there is any legal reason to accelerate the debt that company was paying every single"}, {"path": "tedlium_22358.wav", "duration": 8.31, "text": "The decrease was primarily attributable to gains on sales recorded in the comparable quarter of the prior year."}, {"path": "tedlium_22359.wav", "duration": 8.31, "text": "a year ago at this time, it was my first quarter here. And what I discovered after the first quarterly announcement"}, {"path": "tedlium_22360.wav", "duration": 8.31, "text": "the overall pool looks the same, feels the same. I would say, in general, we try to keep a particular look at the pool that we hold"}, {"path": "tedlium_22361.wav", "duration": 8.31, "text": "At this point, we are looking at potentially putting some submersible pumps up in Loving County"}, {"path": "tedlium_22362.wav", "duration": 8.31, "text": "our presentation, was that we continue to look for other opportunities to increase our supply even further."}, {"path": "tedlium_22363.wav", "duration": 8.31, "text": "performance in Latin America, more than compensating the negative effect of unfavorable weather conditions in May and June in Spain and France."}, {"path": "tedlium_22364.wav", "duration": 8.31, "text": "With that said, let me provide a bit more detail for each of our previously stated short-term priorities, which are the ongoing quality remediation,"}, {"path": "tedlium_22365.wav", "duration": 8.31, "text": "We have addressed the majority of our earnings volatility related to line space through the re-contracting efforts and other strategies."}, {"path": "tedlium_22366.wav", "duration": 8.31, "text": "the details of how it will be operated and what the performance requirements are going to be. They don't have to worry about the revenue side of it. It's just a fixed payment."}, {"path": "tedlium_22367.wav", "duration": 8.31, "text": "which we've been successful on a number of communities. So we won't see a significant increase there. Other areas of focus would be"}, {"path": "tedlium_22368.wav", "duration": 8.31, "text": "on our sports offering. At the same time, we need to balance it out with the profitability or the losses that we need to keep under check."}, {"path": "tedlium_22369.wav", "duration": 8.31, "text": "This initiative includes a new robust self-help customer portal designed to increase online resolution of customer issues."}, {"path": "tedlium_22370.wav", "duration": 8.31, "text": "At the conclusion of that process, taking into account ongoing feedback we have received from some of our largest shareholders,"}, {"path": "tedlium_22371.wav", "duration": 8.31, "text": "simplification of our value is the key priority in marketing. And we see doing that by tailoring our messages"}, {"path": "tedlium_22372.wav", "duration": 8.31, "text": "managing discretionary spend very tightly, particularly on travel costs, which have come down quite significantly over the last few months and in capital expenditure as well."}, {"path": "tedlium_22373.wav", "duration": 8.31, "text": "But in the interim, we continue to add a lot of international markets that are within range of A320 family airplanes."}, {"path": "tedlium_22374.wav", "duration": 8.31, "text": "I have really enjoyed working with Patrick during his time with the company, and we are very excited about his move into this position."}, {"path": "tedlium_22375.wav", "duration": 8.31, "text": "You are reminded that certain statements made in this conference call and our responses to various questions may constitute forward-looking statements"}, {"path": "tedlium_22376.wav", "duration": 8.31, "text": "typically, we're still going to generate more cash than we need to fund growth inclusive of acquisitions."}, {"path": "tedlium_22377.wav", "duration": 8.31, "text": "and we're still trying to figure out how many of those are actually signing up for that. We'll probably know what that number looks like out of the gate here in the next couple of weeks."}, {"path": "tedlium_22378.wav", "duration": 8.31, "text": "and three, the right machine learning expertise to research tailored deep-learning models and engineer the machine learning infrastructure."}, {"path": "tedlium_22379.wav", "duration": 8.31, "text": "We are working diligently on this. We are spending a lot of manpower to work on this, analyzing in order to"}, {"path": "tedlium_22380.wav", "duration": 8.31, "text": "Based upon this and what we are hearing from clients, we've established an executive team position to develop our integrated solutions practice"}, {"path": "tedlium_22381.wav", "duration": 8.31, "text": "which is below average owing to a higher level of claim settlements and normal timing of the settlements of reinsurance balances."}, {"path": "tedlium_22382.wav", "duration": 8.31, "text": "Let me finally turn to Consumer. Consumer was up in the September quarter, above our expectations."}, {"path": "tedlium_22383.wav", "duration": 8.31, "text": "where do you expect this to be reflected? My understanding would be in better margins because you're just becoming more efficient and, therefore, lowering cost. It's not something that's really going to drive up"}, {"path": "tedlium_22384.wav", "duration": 8.31, "text": "was that one ramp-up of a military customer in this particular space, which is normalizing through the course of the year as a new product."}, {"path": "tedlium_22385.wav", "duration": 8.31, "text": "in other areas. And then we could really evaluate how we think about the other 2 prongs of returning capital to our stakeholders"}, {"path": "tedlium_22386.wav", "duration": 8.31, "text": "In terms of our overall perspective on the quarter and the year, when we reported first quarter results back in May,"}, {"path": "tedlium_22387.wav", "duration": 8.31, "text": "But what we see is that still the aftermarket business on half yearly basis, the number I calculated was has seen an 18% growth,"}, {"path": "tedlium_22388.wav", "duration": 8.31, "text": "We believe that the more relevant target for us is increasing the patient population that we have access to for testing with T2Candida now"}, {"path": "tedlium_22389.wav", "duration": 8.31, "text": "To be clear, we could step back from this type of investment and drive more short-term earnings, but that's not the right way forward."}, {"path": "tedlium_22390.wav", "duration": 8.31, "text": "There's only one area of our particular portfolio right now that's unusual versus prior trends. And I'd call it the strengthening dollar,"}, {"path": "tedlium_22391.wav", "duration": 8.31, "text": "The majority of ERICO sales are into commercial vertical, which continued to deliver growth in the quarter, although the rate of growth is moderating."}, {"path": "tedlium_22392.wav", "duration": 8.31, "text": "The latest economic indicators have shown a stable environment, which is favorable to our business in Hong Kong and Mainland China."}, {"path": "tedlium_22393.wav", "duration": 8.31, "text": "as we continue to invest in product development and innovation, which is a key component of our value-creation model that Chris spoke to earlier."}, {"path": "tedlium_22394.wav", "duration": 8.31, "text": "was accepted very well by the physicians everyone likes the new packaging. And then for us on the serialized tracking that Jeff mentioned before"}, {"path": "tedlium_22395.wav", "duration": 8.31, "text": "An additional month of interest on the 6% notes that were redeemed was partially offset by interest savings from the recent refinancing."}, {"path": "tedlium_22396.wav", "duration": 8.31, "text": "About half of that is due to seasonality around our forestry and road spending, and the other half relates to the timing of our export shipments."}, {"path": "tedlium_22397.wav", "duration": 8.31, "text": "Comparing our first quarter results with the year ago quarter, EBITDA decreased significantly due to lower average realizations,"}, {"path": "tedlium_22398.wav", "duration": 8.31, "text": "This year, we will be looking at net asset value increases. Two of the notable ones that will distinguish"}, {"path": "tedlium_22399.wav", "duration": 8.31, "text": "to increase the total resources and to start to develop a plan for development in '16 and '17. Between these 2 years,"}, {"path": "tedlium_22400.wav", "duration": 8.31, "text": "premise of the investment decision into ETI took a view on our strategy for the rest of the continent."}, {"path": "tedlium_22401.wav", "duration": 8.31, "text": "In 2019, we will continue to balance investment with return of capital while maintaining an efficient capital structure."}, {"path": "tedlium_22402.wav", "duration": 8.31, "text": "to do it once and do it right. This is just as relevant for smaller, more frequent jobs as it is for larger projects."}, {"path": "tedlium_22403.wav", "duration": 8.31, "text": "get to where we wanted to go, but it was more a question about the time frame with which you could do it in and"}, {"path": "tedlium_22404.wav", "duration": 8.31, "text": "Overall, the impact from market assumption was marginal and behavioral characteristics were within ranges."}, {"path": "tedlium_22405.wav", "duration": 8.31, "text": "So from our perspective, we're doing exactly what we told you we would do a number of years ago and we've executed quite well on it."}, {"path": "tedlium_22406.wav", "duration": 8.31, "text": "we've been growing our technology spend. And in particular, we've been growing the portion of it that is invested in changing the bank. And that runs the gamut"}, {"path": "tedlium_22407.wav", "duration": 8.31, "text": "the growth of our net interest income has been driven by our ability to reduce the cost of our funding more quickly than the compression of our interest income."}, {"path": "tedlium_22408.wav", "duration": 8.31, "text": "The Gun Lake Casino also had a strong fourth quarter and year resulting in our management fees in this property increasing double digits for both periods."}, {"path": "tedlium_22409.wav", "duration": 8.31, "text": "which will be conducted in renal cell carcinoma, will initiate in the third quarter of this year. The primary outcome will be overall response rates."}, {"path": "tedlium_22410.wav", "duration": 8.31, "text": "In our view, a number of those borrowers may be able to restructure or consolidate their other debts to improve their total debt service ratio."}, {"path": "tedlium_22411.wav", "duration": 8.31, "text": "this being ready for actual implementation at Halden. Is there a time line or?"}, {"path": "tedlium_22412.wav", "duration": 8.31, "text": "We are doing this by making progress against our strategy to increase our spirits participation in emerging markets"}, {"path": "tedlium_22413.wav", "duration": 8.31, "text": "In order to stay on this course, we will also keep a cash flow focused management approach for each business group."}, {"path": "tedlium_22414.wav", "duration": 8.31, "text": "even in an economic slowdown. So I don't anticipate the overall demand for the types of products that get labeled"}, {"path": "tedlium_22415.wav", "duration": 8.31, "text": "And we've just been methodically going through every business in the company and ensuring that it fits with the overall strategy."}, {"path": "tedlium_22416.wav", "duration": 8.31, "text": "We are admittedly now taking a bit more defense posture because we have discussed our ability to test varying strategies and make changes quickly"}, {"path": "tedlium_22417.wav", "duration": 8.31, "text": "near the level recorded in Q2 last year, as Globals represented a greater share of our overall deliveries."}, {"path": "tedlium_22418.wav", "duration": 8.31, "text": "which we provided yesterday evening after the close of trading. I'll now turn the call over to Mark Erickson, our CEO, to go through some of the highlights for this quarter."}, {"path": "tedlium_22419.wav", "duration": 8.31, "text": "that is as it looks like today. Definitely, when you come in an attraction for all"}, {"path": "tedlium_22420.wav", "duration": 8.31, "text": "as well as our financial strength, position us well to deliver valuable services to our customers and robust returns for our shareholders."}, {"path": "tedlium_22421.wav", "duration": 8.31, "text": "I think as we've talked about earlier with Justin, I think you have the information. You should be able to back into that relatively closely. I think the wildcard"}, {"path": "tedlium_22422.wav", "duration": 8.31, "text": "and before our corporate cost allocations. Our business took advantage of the levers at our disposal to generate these results."}, {"path": "tedlium_22423.wav", "duration": 8.31, "text": "The changes in our channel landscape also give us the opportunity to reach more consumers with more differentiated products"}, {"path": "tedlium_22424.wav", "duration": 8.31, "text": "the need of our customers who more often than not on these trade areas are leaving the trade areas because we're not offering what they're looking for."}, {"path": "tedlium_22425.wav", "duration": 8.31, "text": "when you have a look at census data over the last 10 years, in fact, the proportion of retirees living in a village continues to grow."}, {"path": "tedlium_22426.wav", "duration": 8.31, "text": "As we said, for the full year, we are currently assuming that we will still be able to pay dividends."}, {"path": "tedlium_22427.wav", "duration": 8.31, "text": "so you end up spending more on the last barrel that you pump. So I can't give you an accurate number on what the run rate would be. But"}, {"path": "tedlium_22428.wav", "duration": 8.31, "text": "too deep, but I'd like to have an open mind. Oftentimes, you may be positively surprised."}, {"path": "tedlium_22429.wav", "duration": 8.31, "text": "We've also expanded and upgraded the talent in our claims department to better assess and manage our risk when accidents do occur."}, {"path": "tedlium_22430.wav", "duration": 8.31, "text": "However, we expect to offset this deterioration in the combined ratio by outperforming the market in terms of policies and premiums."}, {"path": "tedlium_22431.wav", "duration": 8.31, "text": "We have doubts about the Fed raising rates 4 times this year. That pace would hurt the housing market, and we don't think the Fed wants to do that."}, {"path": "tedlium_22432.wav", "duration": 8.31, "text": "Our AAV manufacturing leadership position continues to be an important element of our overall corporate strategy for long-term value creation."}, {"path": "tedlium_22433.wav", "duration": 8.31, "text": "We were in fact very pleased to release our first product for use in Europe just this quarter, another important milestone for our manufacturing operations."}, {"path": "tedlium_22434.wav", "duration": 8.31, "text": "These changes are improving our customer's experience and will lead to cost efficiencies and income growth over time."}, {"path": "tedlium_22435.wav", "duration": 8.31, "text": "how we are going to deal with pricing, we're going to follow the market parameters, list price and"}, {"path": "tedlium_22436.wav", "duration": 8.31, "text": "Hey, we're real busy right now. You're the fifth caller in line. If you like we can call you back when your place comes up and you won't lose your place in line"}, {"path": "tedlium_22437.wav", "duration": 8.31, "text": "And the impact on operating margin from the investments is going to be exactly the one we indicated at the beginning of the year."}, {"path": "tedlium_22438.wav", "duration": 8.31, "text": "obligation being denominated in euro versus U.S. dollar, we do need to mark to market that adjustment"}, {"path": "tedlium_22439.wav", "duration": 8.31, "text": "pay progressive and sustainable dividends going forward, and we feel that we're in a position to increase our interim dividend."}, {"path": "tedlium_22440.wav", "duration": 8.31, "text": "The combined effect of more hedges with slightly less remaining term resulted in an unchanged hedge duration or interest rate sensitivity,"}, {"path": "tedlium_22441.wav", "duration": 8.31, "text": "We expect to target products and markets in line with our current portfolio to allow us to continue to cultivate the Patrick brand and enhance our product offerings."}, {"path": "tedlium_22442.wav", "duration": 8.31, "text": "what may have driven that. I think, as you saw, the driver market the end of last year start to improve a little bit. Maybe there was fewer companies out looking for outsourcing."}, {"path": "tedlium_22443.wav", "duration": 8.31, "text": "Expenses in the fourth quarter are typically lower in the third quarter due to the seasonality in our marketing and servicing expenses."}, {"path": "tedlium_22444.wav", "duration": 8.31, "text": "We frankly took a look internally and decided that we had opportunity we just hadn't taken advantage of in prior years."}, {"path": "tedlium_22445.wav", "duration": 8.31, "text": "local chemical distribution and focus industries. There's growth opportunities in all of those, but the sales cycles in all of those are very different."}, {"path": "tedlium_22446.wav", "duration": 8.31, "text": "A more detailed description of such risks and uncertainties can be found in the company's filings with the Securities and Exchange Commission."}, {"path": "tedlium_22447.wav", "duration": 8.31, "text": "by next year. Just so I can clarify, when you make that statement, do you believe that you can"}, {"path": "tedlium_22448.wav", "duration": 8.31, "text": "We all wish Jack the best in his future endeavors, which he tells me may include running the town chairlift in Park City next winter."}, {"path": "tedlium_22449.wav", "duration": 8.31, "text": "We hope that you found the information and discussions to be useful. We're pleased to have received quite positive and helpful feedback from the event."}, {"path": "tedlium_22450.wav", "duration": 8.31, "text": "you'll take care of it in the second quarter. Or is it something that's going to be spread out over the year?"}, {"path": "tedlium_22451.wav", "duration": 8.28, "text": "as enterprise buyers seek to maintain flexibility and maintain leverage over service and technology providers."}, {"path": "tedlium_22452.wav", "duration": 8.28, "text": "Conversely, the work on our stock system is an example of one of the bigger initiatives that's going to take longer to land and may well require cost upfront"}, {"path": "tedlium_22453.wav", "duration": 8.28, "text": "Well, you also have to look at the etiology of that AR and then layer on top of that the seasonality of our company."}, {"path": "tedlium_22454.wav", "duration": 8.28, "text": "This is the strongest bidding activity that I've seen in my 5 years at MACOM. On top of this groundswell of activity,"}, {"path": "tedlium_22455.wav", "duration": 8.28, "text": "Thank you, Mark. We clearly have momentum in the market and in our firm and we're delivering profitable growth."}, {"path": "tedlium_22456.wav", "duration": 8.28, "text": "in the health care setting. And I think the market is looking -- or the industry is looking for more of a -- to recycle solution. So it doesn't go back into health care,"}, {"path": "tedlium_22457.wav", "duration": 8.28, "text": "We open an office and are great at recruiting people and fill them up and look for move for larger space relatively quickly, and we've done that and doing that with L.A."}, {"path": "tedlium_22458.wav", "duration": 8.28, "text": "I think the key piece on services is to remember that we're delivering the level of services that our customers need to be successful on the platform"}, {"path": "tedlium_22459.wav", "duration": 8.28, "text": "continuing to chase is the Permian Edge gas play fairway on the Western Flank. Moving on to bit about Lattice. We're obviously excited about the future."}, {"path": "tedlium_22460.wav", "duration": 8.28, "text": "Partially offsetting these were cash outflows related to our teach-out campuses and payments associated with legal settlements."}, {"path": "tedlium_22461.wav", "duration": 8.28, "text": "Finally, as you update your models on Ashford Trust, I'd like to point out that in the fourth quarter, we will have a significant increase in hotels under renovation."}, {"path": "tedlium_22462.wav", "duration": 8.28, "text": "by the latter part of 2019. This same process will be followed to build new applications or migrate existing applications going forward."}, {"path": "tedlium_22463.wav", "duration": 8.28, "text": "It sounds like you're saying you do think that you're over more of the hump than less of the hump in terms of deposit betas. Are you expecting"}, {"path": "tedlium_22464.wav", "duration": 8.28, "text": "These operating costs were up from last year as a result of several factors, including the effect of rising costs in areas such as payroll,"}, {"path": "tedlium_22465.wav", "duration": 8.28, "text": "all grew double digits in Q4 in both online and meetings with particular outperformance from online."}, {"path": "tedlium_22466.wav", "duration": 8.28, "text": "online growth will continue to accelerate. But having said that, we're also investing a lot in our meeting experiences."}, {"path": "tedlium_22467.wav", "duration": 8.28, "text": "Our investments in developing more granular property databases have already paid dividends and will continue to do so in a more expansive way"}, {"path": "tedlium_22468.wav", "duration": 8.28, "text": "We're now into our second year of our graduate training program. Training more generally has become quite a big investment area for the company."}, {"path": "tedlium_22469.wav", "duration": 8.28, "text": "what will be the right going-forward investment level for the business. And I've always taken the view that"}, {"path": "tedlium_22470.wav", "duration": 8.28, "text": "It gives us some -- 2 advantages, really, by comparison to most of our peers. The first is we don't have anything else in this business other than exhibitions."}, {"path": "tedlium_22471.wav", "duration": 8.28, "text": "But for us, it's more important to realize what we believe is fair value than time. We are not in a hurry."}, {"path": "tedlium_22472.wav", "duration": 8.28, "text": "Then they would move through the same phases that I talked about before with respect to Total Audience. They'll evaluate it and they'll choose whether or not they want it to be adopted"}, {"path": "tedlium_22473.wav", "duration": 8.28, "text": "And I think both Jigisha and I are comfortable that we will get the integration in line as planned and that the operational folks are,"}, {"path": "tedlium_22474.wav", "duration": 8.28, "text": "as Jigisha said, add to the CapEx, which means we can build more crews and we can provide more equipment to expand that business. That will be a little slower."}, {"path": "tedlium_22475.wav", "duration": 8.28, "text": "We recently delivered new products to help our agents better meet protection needs of our customers and attract new business."}, {"path": "tedlium_22476.wav", "duration": 8.28, "text": "to absolutely continue to manage CapEx as we have all year long. And we've been putting pressure on suppliers relative to"}, {"path": "tedlium_22477.wav", "duration": 8.28, "text": "and the Market Observation Post System where you can download the information. Once again, thank you for your participation."}, {"path": "tedlium_22478.wav", "duration": 8.28, "text": "Frankly, this is the core of our success and the reason our customers are loyal. Because of our tailored innovative products, based on customer"}, {"path": "tedlium_22479.wav", "duration": 8.28, "text": "if our therapy can get people off of transfusion, implication being you can extend the period of time the patient's alive,"}, {"path": "tedlium_22480.wav", "duration": 8.28, "text": "a number that we should look at only because I think there's some sort of maybe bonus type stuff in Q4 or is that a good"}, {"path": "tedlium_22481.wav", "duration": 8.28, "text": "So certainly, it would look to us, by '18, we should begin to recover some of what we're talking about here. Right. Okay, that's helpful."}, {"path": "tedlium_22482.wav", "duration": 8.28, "text": "some strategic leverage. And I am very comfortable and I'm sure that we will continue to grow above market levels."}, {"path": "tedlium_22483.wav", "duration": 8.28, "text": "With that, I look forward to sharing more details with you on the special call I mentioned earlier. Now I'll turn the call over to Jack Hartung to provide a financial update."}, {"path": "tedlium_22484.wav", "duration": 8.28, "text": "weather was much warmer than we expected, while at the same time, we saw a steady increase in the price of heating oil and propane costs."}, {"path": "tedlium_22485.wav", "duration": 8.28, "text": "And what we need to do is make a final determination and then send you a calendar notice. So I promise to do that, Patrick. Thanks."}, {"path": "tedlium_22486.wav", "duration": 8.28, "text": "Our focus over the past 6 quarters has been on cost control, and we have begun to transition that focus to the future of this great company"}, {"path": "tedlium_22487.wav", "duration": 8.28, "text": "a single digit million in terms of CapEx. But I don't really want to be drawn further into how much it could be. I'd"}, {"path": "tedlium_22488.wav", "duration": 8.28, "text": "as long as we can get them from the design phase into the construction phase and generate the cost"}, {"path": "tedlium_22489.wav", "duration": 8.28, "text": "This reduces cost to first gas. And with the early oil opportunity ready to go, it will help supplement cash generation for this business."}, {"path": "tedlium_22490.wav", "duration": 8.28, "text": "Since that time, we successfully transitioned most of SAM's active AUM from legacy funds to new diversified strategies"}, {"path": "tedlium_22491.wav", "duration": 8.28, "text": "I'm sure you're aware of this, Jeff. We've been going through a number of efforts to be optimizing our global cash position, and we've been"}, {"path": "tedlium_22492.wav", "duration": 8.28, "text": "We have much more active sales, and we can see that clearly"}, {"path": "tedlium_22493.wav", "duration": 8.28, "text": "Customers will have more choice, and we will expand our addressable market to include schools that need virtual solutions."}, {"path": "tedlium_22494.wav", "duration": 8.28, "text": "I'd like to get scale in some of the areas that we already play in that have better growth profiles than some of our larger businesses."}, {"path": "tedlium_22495.wav", "duration": 8.28, "text": "vast majority of the volatility, the amount tied to line space has been essentially eliminated."}, {"path": "tedlium_22496.wav", "duration": 8.28, "text": "from the acceleration of a cost recovery on federal contract pension entitlement that have resulted from harmonizing our benefits programs."}, {"path": "tedlium_22497.wav", "duration": 8.28, "text": "what we think we need to do for the future, and we came to the determination that we think we can intelligently spend this amount of money."}, {"path": "tedlium_22498.wav", "duration": 8.28, "text": "What we experienced this year I will describe as a shorter, more compacted season in several parts of the country due to weather issues at the beginning of the season"}, {"path": "tedlium_22499.wav", "duration": 8.28, "text": "I think, if you keep it very simple, what we're seeing is a very good product at a great value, and we're starting to tell people about it."}, {"path": "tedlium_22500.wav", "duration": 8.28, "text": "Note that in the future, as the IRS issues additional guidance and interpretation of the new tax law, our estimated rate may be impacted."}, {"path": "tedlium_22501.wav", "duration": 8.28, "text": "As I stated earlier, we believe the bulk of the investment has been made, and we believe that when these are fully mature and ramped up,"}, {"path": "tedlium_22502.wav", "duration": 8.28, "text": "I can say with the Internet of Things or the retail business that we have in Italy. There"}, {"path": "tedlium_22503.wav", "duration": 8.28, "text": "This month, our Chief Marketing and Strategy Officer, Kevin Smith, invited me to tag along for a meeting with Google in Silicon Valley,"}, {"path": "tedlium_22504.wav", "duration": 8.28, "text": "Our primary focus remains investing for organic growth, and we plan to deploy more capital into recruiting and technology."}, {"path": "tedlium_22505.wav", "duration": 8.28, "text": "call it, historical bulk of the market has shown slow growth. But we feel fairly confident on the results"}, {"path": "tedlium_22506.wav", "duration": 8.28, "text": "A delay will also help us avoid filing rate cases at the same time as other utilities in New Mexico, which will reduce the burden on commission staff."}, {"path": "tedlium_22507.wav", "duration": 8.28, "text": "robust presentation, and then the stores that are lower volume, we obviously need to showcase the brand, but they won't have as many bells and whistles"}, {"path": "tedlium_22508.wav", "duration": 8.28, "text": "We have mentioned on previous earning call that the number of larger loan transactions have grown proportionately with the size of the bank."}, {"path": "tedlium_22509.wav", "duration": 8.28, "text": "equilibrium? It sounds like it's at least a couple of quarters away, if not longer? Or do you think it happens in the next quarter"}, {"path": "tedlium_22510.wav", "duration": 8.28, "text": "and driving the benefits of this business. So you will see a restructuring charge in the fourth quarter, and we're doing exactly what we said we'd do."}, {"path": "tedlium_22511.wav", "duration": 8.28, "text": "Well, it's really 2 different things. One is what you just said, which is that we already have enough growth in the book"}, {"path": "tedlium_22512.wav", "duration": 8.28, "text": "So our existing units are actually more relevant in a low oil price environment than in a high oil price environment."}, {"path": "tedlium_22513.wav", "duration": 8.28, "text": "These have all been big hits in early testing, and we are excited to expand these offerings to more customers this quarter."}, {"path": "tedlium_22514.wav", "duration": 8.28, "text": "The asset sales and the recent equity raise has given us a financial platform to execute our goals."}, {"path": "tedlium_22515.wav", "duration": 8.28, "text": "we didn't have as good a performance in the last part of February from a collection execution standpoint"}, {"path": "tedlium_22516.wav", "duration": 8.28, "text": "Longer term, we see the opportunity for the Axon segment hardware margins in the 50% range as service plan upgrades start to kick in."}, {"path": "tedlium_22517.wav", "duration": 8.28, "text": "We are returning capital to shareholders through our quarterly dividend and are focused on driving performance and long-term value."}, {"path": "tedlium_22518.wav", "duration": 8.28, "text": "Training, process improvement and several new operating initiatives contributed to the margin gains this quarter."}, {"path": "tedlium_22519.wav", "duration": 8.28, "text": "if you will, as we go forward because we're bringing in, from a growth standpoint, some lower value-added products, still attractive products but"}, {"path": "tedlium_22520.wav", "duration": 8.28, "text": "At the conclusion of the company's presentation, we will open the call for questions. I would now like to turn the call over to Jack Hockema. Jack?"}, {"path": "tedlium_22521.wav", "duration": 8.28, "text": "something that we've been a leader in and we continue to be excited about it. I think the other one that certainly I love to focus on is"}, {"path": "tedlium_22522.wav", "duration": 8.28, "text": "We see oil and gas with good momentum versus anything we felt over the last few years, we"}, {"path": "tedlium_22523.wav", "duration": 8.28, "text": "It provides us with an ability to deliver high-performance, easily adaptable products and services at good margins."}, {"path": "tedlium_22524.wav", "duration": 8.28, "text": "where most companies are profitable. There are opportunities, we continue to work on them, but those will happen when they happen."}, {"path": "tedlium_22525.wav", "duration": 8.28, "text": "as we won't go over each financial metric on today's call. This will allow us more time to move quickly into question and answer period."}, {"path": "tedlium_22526.wav", "duration": 8.28, "text": "That said, we do not believe the incident has had any long-term impact to our customer relationships or market share."}, {"path": "tedlium_22527.wav", "duration": 8.28, "text": "Right. And so when I think about the -- I mean, I don't want to get too far ahead of ourselves, but when Craig was asking his questions earlier,"}, {"path": "tedlium_22528.wav", "duration": 8.28, "text": "And we'll see what the rest of the year brings. You would think with solid market demand and as time ramps up in the high season,"}, {"path": "tedlium_22529.wav", "duration": 8.28, "text": "the reality of the commercial aviation market is different today than we expected then. Also,"}, {"path": "tedlium_22530.wav", "duration": 8.28, "text": "So to sum up. We are off to a very good start for 2016. Our global team produced strong results."}, {"path": "tedlium_22531.wav", "duration": 8.28, "text": "As you know, we are in an active process to sell our dibenzoates manufacturing plant in Antwerp, Belgium."}, {"path": "tedlium_22532.wav", "duration": 8.28, "text": "which was driven by the increase in our cost of funds, prepayment income for the real estate that occurred in the third quarter that did not repeat in the fourth quarter"}, {"path": "tedlium_22533.wav", "duration": 8.28, "text": "I'll now turn the call over to Richard to review our fiscal 2017 financial highlights in greater details."}, {"path": "tedlium_22534.wav", "duration": 8.28, "text": "and some of the standard campaigns that we had run for renewals had not had the meat behind them as we had in the past."}, {"path": "tedlium_22535.wav", "duration": 8.28, "text": "and we will continue to invest in our claims team there with additional training. And as they season in a little more with the organization."}, {"path": "tedlium_22536.wav", "duration": 8.28, "text": "But we want to do it in a controlled way and multiple sites. So we're going to do 15 patients over 3 sites and run our protocol with that."}, {"path": "tedlium_22537.wav", "duration": 8.28, "text": "I'd say, better guidance that said that we would be best served by having prototypes of the product we're going to use in the trials,"}, {"path": "tedlium_22538.wav", "duration": 8.28, "text": "There are many examples of things that we've done that have managed expenses in this market condition. We've had sales meetings that"}, {"path": "tedlium_22539.wav", "duration": 8.28, "text": "what we're currently doing for them, what the current dialogue is and where we think it could go. We do build that up client by client. So"}, {"path": "tedlium_22540.wav", "duration": 8.28, "text": "And you see the halo of that, that people that have had success with EXPAREL in the ambulatory environment, especially people who are"}, {"path": "tedlium_22541.wav", "duration": 8.28, "text": "These position us well for the tail risk that could emerge should the local sovereign credit rating downgrades happen,"}, {"path": "tedlium_22542.wav", "duration": 8.28, "text": "as well as the lower levels of single premium investment policies following the high growth experienced in prior years."}, {"path": "tedlium_22543.wav", "duration": 8.28, "text": "is enabling our mutual consumers to use their credit card reward points as a tender type in the PayPal Wallet."}, {"path": "tedlium_22544.wav", "duration": 8.28, "text": "We are also including all of the global volume information we have disclosed previously for the market as a whole."}, {"path": "tedlium_22545.wav", "duration": 8.28, "text": "and share buybacks. Now I would like to turn to Slide 5 and highlight some recent trends in adjusted net trading income."}, {"path": "tedlium_22546.wav", "duration": 8.28, "text": "Finally, the revenue outlook for this business remains challenging given the weakness in energy and resources infrastructure projects in particular."}, {"path": "tedlium_22547.wav", "duration": 8.28, "text": "full story is yet to be written. And then the second point that I would make is that"}, {"path": "tedlium_22548.wav", "duration": 8.28, "text": "So for us, we feel like that has been a piece of the investment and we even said at Investor Day that likely going forward will continue to be a piece of the investment thesis."}, {"path": "tedlium_22549.wav", "duration": 8.28, "text": "just from South Africa this year or the cash flow impacts from it and"}, {"path": "tedlium_22550.wav", "duration": 8.28, "text": "Before I begin with comments around the business, I'd like to thank our employees for their hard work in completing this long spin-off process,"}, {"path": "tedlium_22551.wav", "duration": 8.28, "text": "I think that kind of gives you a sense of our view about the opportunity in the future quarters."}, {"path": "tedlium_22552.wav", "duration": 8.28, "text": "We believe that the continued strong job market as well as increased competition have impacted retention as compared to the prior year's quarter."}, {"path": "tedlium_22553.wav", "duration": 8.28, "text": "A normalization in weather led to a strong second quarter result, and we are right on plan with where we expected to be for the full year."}, {"path": "tedlium_22554.wav", "duration": 8.28, "text": "on a CD40 agonist candidate, and you will likely see data from what appears to be a very interesting program later this year."}, {"path": "tedlium_22555.wav", "duration": 8.28, "text": "As I mentioned earlier, 2016 was a challenging year for this part of the business, but our client relationships and reputation in this space"}, {"path": "tedlium_22556.wav", "duration": 8.28, "text": "to drive more payroll from accountants into a third party has been slower, much slower to happen than we expected."}, {"path": "tedlium_22557.wav", "duration": 8.28, "text": "The demand by utilities for license amendments of this kind is fairly well known"}, {"path": "tedlium_22558.wav", "duration": 8.28, "text": "but in a good place overall given the phasing of the ads and some new activation campaigns that effectively reduced the average price of the first transaction."}, {"path": "tedlium_22559.wav", "duration": 8.28, "text": "Our team is very focused on controlling these costs as we continue to build the right foundation for Lumber Liquidators."}, {"path": "tedlium_22560.wav", "duration": 8.28, "text": "In light of both increased competition and our belief that APUS is now attracting better quality students with improved persistence and conversion rates,"}, {"path": "tedlium_22561.wav", "duration": 8.28, "text": "while continuing to grow the dividend, repurchase shares and pursue value enhancing bolt-on acquisitions."}, {"path": "tedlium_22562.wav", "duration": 8.28, "text": "More important though, we began laying the strategic foundation to ensure we achieve our long-term financial goals for this business,"}, {"path": "tedlium_22563.wav", "duration": 8.28, "text": "For the first and third quarter, we would arrange this open call for media and financial markets."}, {"path": "tedlium_22564.wav", "duration": 8.28, "text": "Commercial real estate growth was largely driven by the funding up of prior commitments, yet we remain active in the broader CRE market."}, {"path": "tedlium_22565.wav", "duration": 8.28, "text": "And from a margin perspective, I mean, look, we are extremely pleased with what the management team has been able to do from efficiency"}, {"path": "tedlium_22566.wav", "duration": 8.28, "text": "We see growing demand for our product, and interface, fueled by the steady decline in deposit rates across the market."}, {"path": "tedlium_22567.wav", "duration": 8.28, "text": "and we are encouraged by the strong customer placement heading into the April furniture market in High Point this spring."}, {"path": "tedlium_22568.wav", "duration": 8.28, "text": "and what we've been able to do, not only -- compounds was not one and done. If you take a look that as a daily battle for us to stay ahead of"}, {"path": "tedlium_22569.wav", "duration": 8.28, "text": "will not change, only the timing of that revenue changes. An increased amount of revenue will be recognized at the beginning of the contract"}, {"path": "tedlium_22570.wav", "duration": 8.28, "text": "Finally, we are again benefiting from a lower share count as a result of stock repurchases earlier this year."}, {"path": "tedlium_22571.wav", "duration": 8.28, "text": "settled on with the team is one which we think is appropriate we'll give a signal but it's also cautious"}, {"path": "tedlium_22572.wav", "duration": 8.28, "text": "the volume of BioLife product included in a manufactured dose or what's used in the preservation of a given piece of source material"}, {"path": "tedlium_22573.wav", "duration": 8.28, "text": "to better utilize our new lines in our plants and also to gain experience for our new workforces, where they're running the new lines."}, {"path": "tedlium_22574.wav", "duration": 8.28, "text": "and attractive. So the more Mogo obviously increases its reach, its scale, the more it has these products, the more interested these partners are to"}, {"path": "tedlium_22575.wav", "duration": 8.28, "text": "In the digital world, it's increasingly easier for consumers to switch. And unlike the old world, where the friction to go from one bank to the other was a lot,"}, {"path": "tedlium_22576.wav", "duration": 8.28, "text": "We've now revised the presentation of corporate costs to more fully allocate costs to our Healthcare and Pharmacy businesses,"}, {"path": "tedlium_22577.wav", "duration": 8.28, "text": "As mentioned so many times earlier in the presentation, a key short-term use of our free cash flow remains a reduction in our leverage."}, {"path": "tedlium_22578.wav", "duration": 8.28, "text": "in the growth in some of these new businesses as well as us achieving the growth target as well as the margin ranges"}, {"path": "tedlium_22579.wav", "duration": 8.28, "text": "on slower purchasing and later shipment timing this year as well as negative comparisons to the prior year's large carryover crop volumes."}, {"path": "tedlium_22580.wav", "duration": 8.28, "text": "and the backlog that we have right now. And your other question on the third to fourth quarter."}, {"path": "tedlium_22581.wav", "duration": 8.28, "text": "Long-term investors on the call are well familiar with APA's views on this. Australia has sufficient and significant gas resources."}, {"path": "tedlium_22582.wav", "duration": 8.28, "text": "We continue to work with our customers to provide them with what they're wanting, access to infrastructure at affordable prices. Our"}, {"path": "tedlium_22583.wav", "duration": 8.28, "text": "We're also pleased that leading surgeons and hospitals are switching to DermACELL. Both of these factors"}, {"path": "tedlium_22584.wav", "duration": 8.28, "text": "Our intent is to capture share in this fast-growing channel by leveraging our strong brands and marketing know-how."}, {"path": "tedlium_22585.wav", "duration": 8.28, "text": "And so we haven't used it in a long time. And it may be that our deployment this quarter is such that it doesn't make sense to use it."}, {"path": "tedlium_22586.wav", "duration": 8.28, "text": "As we have discussed in the past, we expect our new product development effort to deliver about 100 basis points organic volume growth per annum."}, {"path": "tedlium_22587.wav", "duration": 8.28, "text": "Customer confidence remains very strong given this visibility and the pricing climate remains positive."}, {"path": "tedlium_22588.wav", "duration": 8.28, "text": "Long-term project pipelines for both private and public transportation work continue to build,"}, {"path": "tedlium_22589.wav", "duration": 8.28, "text": "And now we -- there's a lot of things that need to move through the process. And while this is a very high priority for us,"}, {"path": "tedlium_22590.wav", "duration": 8.28, "text": "This charge is in response to the challenging industry conditions and includes the organizational streamlining and delayering actions that Ron announced last month."}, {"path": "tedlium_22591.wav", "duration": 8.28, "text": "what I like about it now was that unlike what our growth was 3, 4 years ago"}, {"path": "tedlium_22592.wav", "duration": 8.28, "text": "That shows to us that we have a robust mix that can take reductions and variations in the different sectors we have going forward as well."}, {"path": "tedlium_22593.wav", "duration": 8.28, "text": "Furthermore, since our product has a different route of administration than oral Aricept, the agency staff indicated an openness"}, {"path": "tedlium_22594.wav", "duration": 8.28, "text": "We'll also be tracking who will be the new Fed governors. We've got 5 new governors that potentially"}, {"path": "tedlium_22595.wav", "duration": 8.28, "text": "an individualized next-best action lists for better health and independent consumer reviews from other patients."}, {"path": "tedlium_22596.wav", "duration": 8.28, "text": "Those statements are subject to a number of risks and uncertainties. Actual results in the future could differ from those described in the forward-looking"}, {"path": "tedlium_22597.wav", "duration": 8.28, "text": "As you probably know, we tend to have very good access to customers in the world of personal care and cosmetics."}, {"path": "tedlium_22598.wav", "duration": 8.28, "text": "We also received further clarity on the Electricity System Operator role. Under the proposal, which is subject to ongoing consultation,"}, {"path": "tedlium_22599.wav", "duration": 8.28, "text": "body of the presentation, I'd like just to make a couple of comments on the picture you see on the first page."}, {"path": "tedlium_22600.wav", "duration": 8.28, "text": "I'd also like to thank our employees for working tirelessly for the betterment of our group. This is and continues to be a good company with great people."}, {"path": "tedlium_22601.wav", "duration": 8.28, "text": "I think it was -- it wasn't a dramatic change there. It was more that the way that we calculate it is very different now than it was then."}, {"path": "tedlium_22602.wav", "duration": 8.28, "text": "We continue to drive more opportunities in this market and we're confident about our potential growth in the upcoming quarters."}, {"path": "tedlium_22603.wav", "duration": 8.28, "text": "And the other comment I'd make is I think that any good long-term business plan has some degree of capital recycling."}, {"path": "tedlium_22604.wav", "duration": 8.28, "text": "The reduction was in raw materials, as we continued to process surplus steel plates that was on hand earlier in the year."}, {"path": "tedlium_22605.wav", "duration": 8.28, "text": "very close to that. And that's the best this whole market industry has been"}, {"path": "tedlium_22606.wav", "duration": 8.28, "text": "that we will need to generate during this year will be coming from the order intake from now on. So of course,"}, {"path": "tedlium_22607.wav", "duration": 8.28, "text": "always follow also the American market, which is, in fact, the main driver"}, {"path": "tedlium_22608.wav", "duration": 8.28, "text": "at their own pace. And it's not really necessarily cloud migration because customers have multiple choices"}, {"path": "tedlium_22609.wav", "duration": 8.28, "text": "So you can expect to see us being class leading in this respect in the years to come."}, {"path": "tedlium_22610.wav", "duration": 8.28, "text": "some opportunities to grow via debottlenecking. And I was just wondering if maybe you could elaborate a little bit more specifically on what you"}, {"path": "tedlium_22611.wav", "duration": 8.28, "text": "of what our new reps have been able to do in the previous 2 years. And we have every confidence that these"}, {"path": "tedlium_22612.wav", "duration": 8.28, "text": "and how we're helping our customers win through innovation. In Germany, I met with a leading manufacturer of medical devices for the operating theater."}, {"path": "tedlium_22613.wav", "duration": 8.28, "text": "So I am confident about our long-term position and strongly believe this will continue to be a valuable business for Eastman going forward."}, {"path": "tedlium_22614.wav", "duration": 8.28, "text": "Our commercial teams are doing a great job in managing trade-offs and maintaining margins and customer engagement for innovation and growth."}, {"path": "tedlium_22615.wav", "duration": 8.28, "text": "We expect to receive final bids by the end of November. And I can tell you that overall, we're extremely pleased with the initial offers we received"}, {"path": "tedlium_22616.wav", "duration": 8.28, "text": "pretty good and it's because we did finish the migration. So even though we had some losses towards the end of the migrations,"}, {"path": "tedlium_22617.wav", "duration": 8.28, "text": "important to say that we are very happy with our competitive position. We continue to be very happy with our competitive position."}, {"path": "tedlium_22618.wav", "duration": 8.28, "text": "as a result of many factors that may be outside the company's control including, but not limited to, changes in the business environment."}, {"path": "tedlium_22619.wav", "duration": 8.28, "text": "where the expectations had been a year or less prior when ARMs are resetting. So I would view the overall position"}, {"path": "tedlium_22620.wav", "duration": 8.28, "text": "Thank you, Todd. Our first quarter results are a reflection of and are consistent with the strong start to the year in all 3 of our primary markets,"}, {"path": "tedlium_22621.wav", "duration": 8.28, "text": "period and about 9% lower on a year-over-year basis. We would expect activity to pick up as we progress further into the first quarter."}, {"path": "tedlium_22622.wav", "duration": 8.28, "text": "which is operating better than it ever has in most areas, we can see a considerable additional value that we can add."}, {"path": "tedlium_22623.wav", "duration": 8.28, "text": "And you'll -- and so I think it's better for us to hold on at this point on full year guidance. But as I said in my prepared remarks,"}, {"path": "tedlium_22624.wav", "duration": 8.28, "text": "If we were comparing performance today to our original guidance issued in November of last year, the beat would be significantly greater."}, {"path": "tedlium_22625.wav", "duration": 8.28, "text": "While the fourth quarter is seasonally our weakest, I am pleased to note that we had one of the smallest fourth quarter operating losses since we began reporting."}, {"path": "tedlium_22626.wav", "duration": 8.28, "text": "maybe get into sort of the biggest drivers of that and -- that we might expect to see the improvement in over the next"}, {"path": "tedlium_22627.wav", "duration": 8.28, "text": "electronic locks in the commercial arena is really the mother lode of opportunity for the company."}, {"path": "tedlium_22628.wav", "duration": 8.2799375, "text": "and to be able to sell our portfolio into customers, where they have a presence. So I think it's a really nice marriage of commercial excellence, our own"}, {"path": "tedlium_22629.wav", "duration": 8.2799375, "text": "Well, so you can see right here that it's in these 3 products that we've shown you a picture of."}, {"path": "tedlium_22630.wav", "duration": 8.2799375, "text": "In the non-resource field, we invested in Olam in the agricultural products business and made investments in the infrastructure and fund-related businesses,"}, {"path": "tedlium_22631.wav", "duration": 8.25, "text": "We remain excited about the prospects for our existing installed and operating assets to produce solid results for the balance of the year."}, {"path": "tedlium_22632.wav", "duration": 8.25, "text": "The trial is not only blinded but quite large relative to the C3G orphan patient population."}, {"path": "tedlium_22633.wav", "duration": 8.25, "text": "Last quarter, we received volume production orders for 3 GaN programs that I had referred to in previous calls."}, {"path": "tedlium_22634.wav", "duration": 8.25, "text": "In equities trading, we've undertaken proactive measures to enhance the client experience for our wide range of investors with a whole series of changes."}, {"path": "tedlium_22635.wav", "duration": 8.25, "text": "Is there a percentage of that 300 system installed base that you guys are not really actively engaged in folks that maybe"}, {"path": "tedlium_22636.wav", "duration": 8.25, "text": "As you may recall, last year, at this time, we made an important announcement with regard to our transformation strategy."}, {"path": "tedlium_22637.wav", "duration": 8.25, "text": "or noncontract market and some of our efforts to get in front of this with certain customers to get things priced in a way"}, {"path": "tedlium_22638.wav", "duration": 8.25, "text": "is actually very easy in Beiersdorf because people understand and people want to drag the financial success of the company. And"}, {"path": "tedlium_22639.wav", "duration": 8.25, "text": "Third, we implemented a new student contact center technology that is significantly more efficient and effective in serving prospective students"}, {"path": "tedlium_22640.wav", "duration": 8.25, "text": "in conjunction with those refinancings, we have also tried to free up adequate buckets"}, {"path": "tedlium_22641.wav", "duration": 8.25, "text": "If you could disclose some details. Are you going to pay the bonus that was under discussion?"}, {"path": "tedlium_22642.wav", "duration": 8.25, "text": "think about how to present this better in the future to give you some visibility down the road. But right now, I think it's not a"}, {"path": "tedlium_22643.wav", "duration": 8.25, "text": "that we cannot only have that in that distribution but in other distribution that make sense for us."}, {"path": "tedlium_22644.wav", "duration": 8.25, "text": "Overall, in terms of the credit cycle, the new flow into challenging accounts"}, {"path": "tedlium_22645.wav", "duration": 8.25, "text": "free to proceed with the merger of the loyalty programs and the websites and all the rest of it. So those restrictions were behind us."}, {"path": "tedlium_22646.wav", "duration": 8.25, "text": "We are incredibly proud of the organization's tenacity, having delivered 5 quarters in a row of improving results amidst challenging market conditions."}, {"path": "tedlium_22647.wav", "duration": 8.25, "text": "Head of our International Business, with us here today. But over the last year, we've hired more than a dozen senior people"}, {"path": "tedlium_22648.wav", "duration": 8.25, "text": "The strength of our free cash flow and our business model positions us well to continue to deliver value to our shareholders."}, {"path": "tedlium_22649.wav", "duration": 8.25, "text": "just the pipeline for new clients, and maybe more specifically, if you see some that are sort of sitting on the sidelines, waiting for"}, {"path": "tedlium_22650.wav", "duration": 8.25, "text": "would be Intuitive. If you think about how they expanded geographically, it was sort of very similar, which certain countries are much more"}, {"path": "tedlium_22651.wav", "duration": 8.25, "text": "If the contractual objection periods expire without any claim, the underlying provisions"}, {"path": "tedlium_22652.wav", "duration": 8.25, "text": "and deliver sound financial results, while continue to invest in the business to support the market share growth opportunities we have in front of us."}, {"path": "tedlium_22653.wav", "duration": 8.25, "text": "And we thank our customers, employees and industry partners for their diligence and cooperation as we manage through the situation."}, {"path": "tedlium_22654.wav", "duration": 8.25, "text": "for our competitors, and that makes us feel pretty good. But we're not at all sitting still"}, {"path": "tedlium_22655.wav", "duration": 8.25, "text": "and took us 5 years to bring that to market with the amount of voice of customer research that we did in order to hit the bull's eye the way we did."}, {"path": "tedlium_22656.wav", "duration": 8.25, "text": "could be better positioned in terms of allowing you for some low-cost financing to kind of work up some of those investments?"}, {"path": "tedlium_22657.wav", "duration": 8.25, "text": "they often come back and scare you because if they do not scare you, they cannot find their meaning of existence."}, {"path": "tedlium_22658.wav", "duration": 8.25, "text": "within our group, we have reduced the number of bad factors or bad conditions."}, {"path": "tedlium_22659.wav", "duration": 8.25, "text": "What we see at this moment in time is that PostNL is a very attractive employer in the market for Parcels."}, {"path": "tedlium_22660.wav", "duration": 8.25, "text": "because of the process of negotiation. What we can say is, is that we do know today when those contracts that are underwater"}, {"path": "tedlium_22661.wav", "duration": 8.25, "text": "But the growth rate of the -- what we used to call the core business, which isn't fair to say anymore, but the supply chain business,"}, {"path": "tedlium_22662.wav", "duration": 8.25, "text": "next year. And then we have layered in a bit of incremental revenue next year in the plan for this Beyond"}, {"path": "tedlium_22663.wav", "duration": 8.25, "text": "as well as a few sort of smaller ones, ARM in Boston and a few other things. So we'll be very active in the next"}, {"path": "tedlium_22664.wav", "duration": 8.25, "text": "The first and third calendar quarters are disproportionately higher than the second and fourth, which is typical of the trade show industry as a whole."}, {"path": "tedlium_22665.wav", "duration": 8.25, "text": "getting that science ready for manufacturer and ultimately then hand of either to a CMO or to our later stage process development"}, {"path": "tedlium_22666.wav", "duration": 8.25, "text": "And so we're not so pessimistic about the net impact, although the gross impact of negative interest rates is obviously fairly negative for us."}, {"path": "tedlium_22667.wav", "duration": 8.25, "text": "At the group level, we continue to invest heavily in improving our administration systems and in strengthening our controls."}, {"path": "tedlium_22668.wav", "duration": 8.25, "text": "As a result of this share retention, we do not expect SpinCo itself to have any outstanding indebtedness at the time of the separation."}, {"path": "tedlium_22669.wav", "duration": 8.25, "text": "This was mainly because performance was firm in the non-resource field, and we recorded no major one-off losses in the resource field"}, {"path": "tedlium_22670.wav", "duration": 8.25, "text": "Before I cover our consolidated financial results and capital allocation for the quarter, I'd like to review just a few special items with you."}, {"path": "tedlium_22671.wav", "duration": 8.25, "text": "in each of the competitors' and peers' forecasts. So it's hard to make a direct comparison of what we see differently"}, {"path": "tedlium_22672.wav", "duration": 8.25, "text": "The move toward software and recurring revenue streams is one of the topics that we are most often asked about with our business."}, {"path": "tedlium_22673.wav", "duration": 8.25, "text": "the consumption going up and the chance of getting more revenues. So it's fixing our kitchen first and then work on our perception."}, {"path": "tedlium_22674.wav", "duration": 8.25, "text": "lends itself really to an operating partner that is able to holistically partner with those customers and transform"}, {"path": "tedlium_22675.wav", "duration": 8.25, "text": "pluses and minuses associated with project delays and we have some minuses associated with project delays. I think we've been able to find plenty of opportunities to"}, {"path": "tedlium_22676.wav", "duration": 8.25, "text": "And those properties are really probably, in terms of yield on debt, some of the strongest ones we have in the portfolio."}, {"path": "tedlium_22677.wav", "duration": 8.25, "text": "Okay, and then with any use of capital you get, how would you decide between an acquisition and buying stock back? What would be the thought process there?"}, {"path": "tedlium_22678.wav", "duration": 8.25, "text": "you end up getting these reclasses between interest income and credit recoveries or credit impairments that are difficult to predict"}, {"path": "tedlium_22679.wav", "duration": 8.25, "text": "We believe this effort to expand consumer touchpoints will drive sales growth in the future."}, {"path": "tedlium_22680.wav", "duration": 8.25, "text": "during the last couple of years. We are of course one of the main players in the credit card business. And we will keep"}, {"path": "tedlium_22681.wav", "duration": 8.25, "text": "one of the outcomes that could offset for this tendency that we see. This could be one of them."}, {"path": "tedlium_22682.wav", "duration": 8.25, "text": "one company is very powerful in the space and is interested in -- and we're putting scenarios together on a few different displays,"}, {"path": "tedlium_22683.wav", "duration": 8.25, "text": "very positive about what we see in China and the effort that our teams are putting forward to execute."}, {"path": "tedlium_22684.wav", "duration": 8.25, "text": "the strong margin improvement in overall DCS and in MS and the enhanced pipeline of opportunities across our diverse end markets."}, {"path": "tedlium_22685.wav", "duration": 8.25, "text": "Importantly, our pipeline reflects our leading position in existing markets as well as our ability to extend our capabilities into new markets."}, {"path": "tedlium_22686.wav", "duration": 8.25, "text": "We believe that we have strategically balanced our direct sales organization with distributors to optimize the early ENTYCE commercial efforts."}, {"path": "tedlium_22687.wav", "duration": 8.25, "text": "as the product begins to move into the clinics from the distributors and then from the clinics to the pet owners, meaning the product is dispensed,"}, {"path": "tedlium_22688.wav", "duration": 8.25, "text": "The remainder of the increase was largely related to higher net interest margins, which increased as a result of additional assets under management,"}, {"path": "tedlium_22689.wav", "duration": 8.25, "text": "The largest opportunity for revenue growth lies in our existing client base, and we are beginning to see real traction."}, {"path": "tedlium_22690.wav", "duration": 8.25, "text": "And as we continue to reshape our business, we will remain focused on ensuring the assets on the balance sheet"}, {"path": "tedlium_22691.wav", "duration": 8.25, "text": "We're simplifying our business and we're putting in place a new global operating model that embraces modern working practices"}, {"path": "tedlium_22692.wav", "duration": 8.25, "text": "your hand on this call, but my question I guess is when I think about net price realization going forward"}, {"path": "tedlium_22693.wav", "duration": 8.25, "text": "Once we completed our inventory of DUCs, we completed a few fantastic wells in both the Bakken and the Three Forks targets."}, {"path": "tedlium_22694.wav", "duration": 8.25, "text": "We are seeing really good recovery rates in the pulp agglomeration plant for the first stage of recovery. We do produce"}, {"path": "tedlium_22695.wav", "duration": 8.25, "text": "that not only are they feeling a sense of urgency to do that because all the banks are looking at ways to improve their lockbox services,"}, {"path": "tedlium_22696.wav", "duration": 8.25, "text": "Pricing remained robust and we continue to make progress on productivity and our cost improvement initiatives."}, {"path": "tedlium_22697.wav", "duration": 8.25, "text": "All of this is supported by strong balance sheet that will provide us with the flexibility to deploy capital with the highest return opportunities."}, {"path": "tedlium_22698.wav", "duration": 8.25, "text": "The increase in adjusted income before taxes was due mostly to reductions in labor and overhead costs and pricing actions."}, {"path": "tedlium_22699.wav", "duration": 8.25, "text": "and managing them in a way that you can either get out of the misery of underperforming"}, {"path": "tedlium_22700.wav", "duration": 8.25, "text": "is to increase the leverage at the opco level, wherever possible, it's not always possible in some of the markets that we operate in."}, {"path": "tedlium_22701.wav", "duration": 8.25, "text": "The South African operation we show on an organic basis where we exclude disposals, exclude acquisitions and significant one"}, {"path": "tedlium_22702.wav", "duration": 8.25, "text": "to the rule? Or do you think that your infrastructure layer would actually increasingly have more of a hybrid cloud feel to it?"}, {"path": "tedlium_22703.wav", "duration": 8.25, "text": "This could ultimately be a significant milestone for the industry as it would represent the first time in our industry's history"}, {"path": "tedlium_22704.wav", "duration": 8.25, "text": "I am very proud of our leadership in promoting responsible drinking, including the work we do on drink driving reduction."}, {"path": "tedlium_22705.wav", "duration": 8.25, "text": "We continue to believe our retail model and credit platform can consistently support total annual retail sales"}, {"path": "tedlium_22706.wav", "duration": 8.25, "text": "We have staggered charter expiries to ensure that we maintain a limited exposure to renewals in any one particular period."}, {"path": "tedlium_22707.wav", "duration": 8.25, "text": "The good news about it is our clients tend to understand what it takes to -- price talent"}, {"path": "tedlium_22708.wav", "duration": 8.25, "text": "Finally, you'll see the details for the Bank and Asset Servicing segments beginning on Slide 26 followed by details on each."}, {"path": "tedlium_22709.wav", "duration": 8.25, "text": "we have additional support for reversal of the valuation allowance on our deferred tax asset, sometime over the next year."}, {"path": "tedlium_22710.wav", "duration": 8.25, "text": "I don't have that number exactly. Okay. And then just sort of more generally, as you think about"}, {"path": "tedlium_22711.wav", "duration": 8.25, "text": "As we have explained in our business model, these pricing actions typically require 3 to 6 months to take full effect."}, {"path": "tedlium_22712.wav", "duration": 8.25, "text": "by these issues that you've seen in terms of the paving markets in Latin America and then the outages,"}, {"path": "tedlium_22713.wav", "duration": 8.25, "text": "The overall slowdown, and I think that we see some opportunities where we"}, {"path": "tedlium_22714.wav", "duration": 8.25, "text": "At the same time, diagnostics has become a key ingredient in determining health problems and monitoring treatment."}, {"path": "tedlium_22715.wav", "duration": 8.25, "text": "all the acquisition are marching on to what we had anticipate, what our model was showing and even more."}, {"path": "tedlium_22716.wav", "duration": 8.25, "text": "cost alleviation there. But if you could just help us look at the sensitivity to earnings as well as sales?"}, {"path": "tedlium_22717.wav", "duration": 8.25, "text": "You are kindly referred to the risk factors and cautionary language contained in the documents that the company filed with the Securities and Exchange Commission,"}, {"path": "tedlium_22718.wav", "duration": 8.25, "text": "The progress we've made has been encouraging, in this early going, we are seeing positive same-store sales and improvements in our margins."}, {"path": "tedlium_22719.wav", "duration": 8.25, "text": "Paul spoke about this and we spoke a lot about this at the year-end call relative to our Business Improvement Framework"}, {"path": "tedlium_22720.wav", "duration": 8.25, "text": "Finally, and notably, in December, we filed a customer agreement with the FERC to extend our Columbia Gas Transmission"}, {"path": "tedlium_22721.wav", "duration": 8.25, "text": "I think we would like to see less maintenance breaks and the customers running and us delivering to them"}, {"path": "tedlium_22722.wav", "duration": 8.25, "text": "There are 3 situations that occurred during the first quarter of last year that were a bit different from this quarter."}, {"path": "tedlium_22723.wav", "duration": 8.25, "text": "This means prudently increasing investments behind our Power Brands and innovation platforms to accelerate revenue growth and gain share,"}, {"path": "tedlium_22724.wav", "duration": 8.25, "text": "and the analytics that can be wrapped around that practice optimization, which includes a number of"}, {"path": "tedlium_22725.wav", "duration": 8.25, "text": "Thank you very much, operator. I'd like to thank everyone for joining us today and listening to our business update. Have a good day."}, {"path": "tedlium_22726.wav", "duration": 8.25, "text": "coupled with favorable opportunities we see for our private loan and middle market strategies, allows us to maintain our belief that the continued growth of our business"}, {"path": "tedlium_22727.wav", "duration": 8.25, "text": "So if you see the EBITDA has improved as compared to the previous quarter because the steel prices have been quite stable."}, {"path": "tedlium_22728.wav", "duration": 8.25, "text": "During the course of this conference call, we will make various forward-looking statements regarding future events or future financial performance of the company."}, {"path": "tedlium_22729.wav", "duration": 8.25, "text": "have deepened our value proposition, diversified our revenues, and significantly expand our total addressable market."}, {"path": "tedlium_22730.wav", "duration": 8.25, "text": "higher bandwidth, lower latency and more coverage to connect people and things to data processing and decision-making."}, {"path": "tedlium_22731.wav", "duration": 8.25, "text": "The effect of the change is a reduction of operating income and an increase in our non-GAAP tax rate."}, {"path": "tedlium_22732.wav", "duration": 8.25, "text": "In addition, we were excited to announce just a few weeks ago, our REIT conversion, an important milestone in our company's evolution."}, {"path": "tedlium_22733.wav", "duration": 8.25, "text": "for your quarter. That's correct. So just trying to reconcile the current quarter to back down to that number, and where the variances might be?"}, {"path": "tedlium_22734.wav", "duration": 8.25, "text": "and we are only beginning to achieve trading efficiencies and harmonized the strengths of both legacy firms."}, {"path": "tedlium_22735.wav", "duration": 8.25, "text": "Interest income from originated loans continued to grow as the portfolio grows and from the mix I mentioned earlier,"}, {"path": "tedlium_22736.wav", "duration": 8.25, "text": "and to discuss the progress we're making to mitigate risk associated with South Africa. This will be the way we discuss the company going forward."}, {"path": "tedlium_22737.wav", "duration": 8.25, "text": "Thank you, operator. I just want to thank Julie and the entire Cable ONE team for all their support."}, {"path": "tedlium_22738.wav", "duration": 8.25, "text": "that is located on the Big Island of Hawaii, we are seeing a slight impact from the volcanic activity that began in early May."}, {"path": "tedlium_22739.wav", "duration": 8.25, "text": "Based on results for the first 3 weeks of May and visible pipeline, we expect positive active strategy flows to continue in the third quarter."}, {"path": "tedlium_22740.wav", "duration": 8.25, "text": "I'm proud not only of the progress we've made on our strategic priorities, but also of the new partnership we announced with Atairos shortly after the quarter's end."}, {"path": "tedlium_22741.wav", "duration": 8.25, "text": "how long can you rely on the inventory level?"}, {"path": "tedlium_22742.wav", "duration": 8.25, "text": "they can get trucked directly to a rail facility and leave the region. So that's been the impact on our"}, {"path": "tedlium_22743.wav", "duration": 8.25, "text": "but the improved loan growth late in the second quarter is expected to offset that decrease. And the maturity of high-cost borrowed funds late in the second quarter"}, {"path": "tedlium_22744.wav", "duration": 8.25, "text": "And so to wrap up, we are pleased with our second quarter's results. As we look forward, each of our business lines has a bright future."}, {"path": "tedlium_22745.wav", "duration": 8.25, "text": "on combination with some of the targeted therapies for AML that might lead to some of that use? Could that potentially come this year? Will it be next year?"}, {"path": "tedlium_22746.wav", "duration": 8.25, "text": "and in fact, we are in active negotiations for a number of lines with the expectation of closing them in the next 1 to 2 months."}, {"path": "tedlium_22747.wav", "duration": 8.25, "text": "We appreciate your participation in today's call to discuss our third quarter operating and financial results and our business outlook."}, {"path": "tedlium_22748.wav", "duration": 8.25, "text": "I expect the end of this crop year to be somewhat traditional on how the market share plays out. As I look down the road,"}, {"path": "tedlium_22749.wav", "duration": 8.25, "text": "In fiscal 2017 this expense was recorded in the second quarter, whereas this year, it was recorded in the first quarter."}, {"path": "tedlium_22750.wav", "duration": 8.25, "text": "the repayment of the new systems and applications put into operation in the previous months. The launchings of new stores"}, {"path": "tedlium_22751.wav", "duration": 8.25, "text": "We laid the groundwork with the strategic initiatives that we outlined at the beginning of the year, and we began the early phases of executing on our vision."}, {"path": "tedlium_22752.wav", "duration": 8.25, "text": "Next, the MogoCard continues to be a key part of our product strategy, as controlling someone's spending is no doubt an important part of their financial wallet."}, {"path": "tedlium_22753.wav", "duration": 8.25, "text": "As we further develop our state business, we believe that many of these models of care can be applied to our commercial business as well."}, {"path": "tedlium_22754.wav", "duration": 8.25, "text": "in the future as the market recovers and people really want to use better tools that are more cost-effective."}, {"path": "tedlium_22755.wav", "duration": 8.25, "text": "Mobile devices are the primary demand driver behind the shift to Fan Out Wafer Level Packaging."}, {"path": "tedlium_22756.wav", "duration": 8.25, "text": "given us all, I believe, a taste of the rapid changes that are happening in the society, and that, in my opinion, are only going to speed up."}, {"path": "tedlium_22757.wav", "duration": 8.25, "text": "In relation to the Retail Town Centres, it's really 3 streams of work. The first stream of work is where we develop"}, {"path": "tedlium_22758.wav", "duration": 8.25, "text": "Our progress in this respect is consistent with our intention 4 years ago to grow this segment, and I'm very pleased with the progress."}, {"path": "tedlium_22759.wav", "duration": 8.25, "text": "And I know it's a sensitive topic, but is there anyway you can give us some kind of view on what you're pushing for this year in terms of that?"}, {"path": "tedlium_22760.wav", "duration": 8.25, "text": "from the point of view of the rates you contract out with clients versus what you can find in the market and how much -- how easy is it not to do back to backs"}, {"path": "tedlium_22761.wav", "duration": 8.25, "text": "And those are the businesses that we've got to get on stat. It's not going to be overnight. We've got some work to do. But there is not a doubt in our mind"}, {"path": "tedlium_22762.wav", "duration": 8.25, "text": "We typically see the biggest impact in our business from productivity, from project runoff, from volume impacts"}, {"path": "tedlium_22763.wav", "duration": 8.25, "text": "So what we have actually done is for the first time ever in the history of the company and frankly for the first time in India, we've actually created,"}, {"path": "tedlium_22764.wav", "duration": 8.25, "text": "because they wanted to capitalize that amount and treat it as CapEx. So we allowed them to do that. I don't"}, {"path": "tedlium_22765.wav", "duration": 8.25, "text": "it was below our expectations. It came in lower. I think some of that due to the late start to the plant."}, {"path": "tedlium_22766.wav", "duration": 8.25, "text": "extend our leading capabilities on the online travel side of the market that largely consumes our web services offering to enable their business."}, {"path": "tedlium_22767.wav", "duration": 8.25, "text": "Well, I think there's a couple of things as we look at our mill systems around structural cost, and we gave you an example of one we did"}, {"path": "tedlium_22768.wav", "duration": 8.25, "text": "I'm very excited and confident about the potential for our entire company, and our ambitions have not changed."}, {"path": "tedlium_22769.wav", "duration": 8.25, "text": "When it comes to more add-on, the question you have to raise is always when do you actually invest."}, {"path": "tedlium_22770.wav", "duration": 8.25, "text": "But it shows that a lot of things are ongoing in the company at the moment, and let me pick some examples."}, {"path": "tedlium_22771.wav", "duration": 8.25, "text": "there is more work going on in the refineries and many of our customers, we believe, will be doing a lot more tank cleaning and other"}, {"path": "tedlium_22772.wav", "duration": 8.25, "text": "Besides the favorable markets, revenue also benefited from favorable foreign exchange rates and metals pass-through."}, {"path": "tedlium_22773.wav", "duration": 8.25, "text": "So history continues to be a guide. We expect our lowest effective tax rate in the first half, with 1Q typically somewhat"}, {"path": "tedlium_22774.wav", "duration": 8.25, "text": "Tammy will explain further, but I did want to offer some commentary on our capacity forecast. It's being updated today"}, {"path": "tedlium_22775.wav", "duration": 8.25, "text": "A lot of these projects are related to new technologies and those are my favorite. We have very high expectations for the returns that we can get on those."}, {"path": "tedlium_22776.wav", "duration": 8.25, "text": "Our new sales contract with the New Zealand Ministry of Education continues to ramp up, and we're beginning to see solid contribution from that project."}, {"path": "tedlium_22777.wav", "duration": 8.25, "text": "currently think about something different except for working with the levers I mentioned so that this can take place naturally."}, {"path": "tedlium_22778.wav", "duration": 8.25, "text": "You may now disconnect."}, {"path": "tedlium_22779.wav", "duration": 8.25, "text": "First, we've reached a significant milestone of 32 million work hours without a lost time incident at the Cameron LNG project."}, {"path": "tedlium_22780.wav", "duration": 8.25, "text": "Based on that initial level of due diligence, we would expect to receive initial bids,"}, {"path": "tedlium_22781.wav", "duration": 8.25, "text": "In terms of the -- in terms of the cash distribution, I think when you're looking at -- or I'm sorry, the trust funds you mentioned,"}, {"path": "tedlium_22782.wav", "duration": 8.25, "text": "help the passengers to use it for those who are using for the first time, and that's bearing fruit. So we got the high percentage of passengers using it,"}, {"path": "tedlium_22783.wav", "duration": 8.25, "text": "To better respond to your questions, with myself today are executives from SK Innovation and its major subsidiaries."}, {"path": "tedlium_22784.wav", "duration": 8.25, "text": "Such forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected or implied."}, {"path": "tedlium_22785.wav", "duration": 8.25, "text": "And as we said, the raw materials continue to be a challenge but think that we can overcome that with what we're looking at right now."}, {"path": "tedlium_22786.wav", "duration": 8.25, "text": "With increasing demand for end-to-end cloud-based solutions, we are seeing more customers looking to implement our offerings on a subscription basis."}, {"path": "tedlium_22787.wav", "duration": 8.25, "text": "Thanks, Joe. Before we conclude, I'd like to make a few comments on our outlook for the start of the fiscal year. But"}, {"path": "tedlium_22788.wav", "duration": 8.25, "text": "and commercialization through a commercial affiliate that would have a small focus sales force."}, {"path": "tedlium_22789.wav", "duration": 8.25, "text": "in our current business plan, we are performing very well and consistent with what Ofgem, I believe, would expect from us."}, {"path": "tedlium_22790.wav", "duration": 8.2200625, "text": "Great. So I was hoping that you might be able to provide a little bit more color on,"}, {"path": "tedlium_22791.wav", "duration": 8.22, "text": "time -- in the end of last year we saw an increase in pulp prices and we have now negotiated"}, {"path": "tedlium_22792.wav", "duration": 8.22, "text": "Now let me take a few moments to discuss some of our strategic initiatives in the current market environment."}, {"path": "tedlium_22793.wav", "duration": 8.22, "text": "that I can quantify it for you so that it's about 30 million impact"}, {"path": "tedlium_22794.wav", "duration": 8.22, "text": "our forecast does have us pulling back a little bit in the fourth quarter, not necessarily because of"}, {"path": "tedlium_22795.wav", "duration": 8.22, "text": "situation with a big impact in '17 behind us. We have a couple of other things that I can't disclose going on in the portfolio that are positive,"}, {"path": "tedlium_22796.wav", "duration": 8.22, "text": "And on top of that franchise, we're building an innovation company for the future. It's important to understand both those things when you think about our company."}, {"path": "tedlium_22797.wav", "duration": 8.22, "text": "Our new monthly credit score monitoring product was a great example of this. Not only can someone open an account through web or iOS app in only 3 minutes,"}, {"path": "tedlium_22798.wav", "duration": 8.22, "text": "We have said all along that deployment services is something that we want to make sure we can do for our customers, but we're also very happy"}, {"path": "tedlium_22799.wav", "duration": 8.22, "text": "We believe the comparability of our results is improved by excluding these infrequent items that are unrelated to our core operations."}, {"path": "tedlium_22800.wav", "duration": 8.22, "text": "we have services, to monetize those services and this depicts that scenario regarding media business,"}, {"path": "tedlium_22801.wav", "duration": 8.22, "text": "And briefly to explain it again, the gray triangle is where our long-term incentive plan kicks in and tops out."}, {"path": "tedlium_22802.wav", "duration": 8.22, "text": "just paid online, and instantly within seconds, that service can be provisioned without any"}, {"path": "tedlium_22803.wav", "duration": 8.22, "text": "diversifying into different industries, tesa was able to set the foundations for further sustainable growth in the future."}, {"path": "tedlium_22804.wav", "duration": 8.22, "text": "the way to look at it going forward is that as we launch our new campaign in April, there will be a video component, some of which will be on television,"}, {"path": "tedlium_22805.wav", "duration": 8.22, "text": "Fortunately, this is also a track that we started several years ago. Our new consumer system that will include digital consumer support, called Renaissance,"}, {"path": "tedlium_22806.wav", "duration": 8.22, "text": "Next, please turn to the top of the next page, Slide 7. This is the breakdown by segment."}, {"path": "tedlium_22807.wav", "duration": 8.22, "text": "and these activities are specifically targeted towards improving the mobile experience."}, {"path": "tedlium_22808.wav", "duration": 8.22, "text": "in terms of the margins. And I do hope and believe that the RBI in due course will reduce"}, {"path": "tedlium_22809.wav", "duration": 8.22, "text": "In our minds, there's no conversations there to be had in the east. The conversations that we'll be focused on will be in the west as those producers and those customers"}, {"path": "tedlium_22810.wav", "duration": 8.22, "text": "give us any trouble in terms of stimulation or production. So that may be something specific to"}, {"path": "tedlium_22811.wav", "duration": 8.22, "text": "There are no further questions at this time. I will now turn the conference over to Mr. Kevin Lobo for closing remarks."}, {"path": "tedlium_22812.wav", "duration": 8.22, "text": "The REIT structure certainly would be a little bit easier for investors from a tax standpoint."}, {"path": "tedlium_22813.wav", "duration": 8.22, "text": "Going forward, of course, we'll continue to build on our leadership position as the premier ground lease acquisition company in the industry."}, {"path": "tedlium_22814.wav", "duration": 8.22, "text": "The nature of K-1s also results in the possibility that certain unitholders may have to file state tax returns in multiple states"}, {"path": "tedlium_22815.wav", "duration": 8.22, "text": "as well as both the realized and unrealized gains that rolled through that portfolio in the first year. So while it's not completely"}, {"path": "tedlium_22816.wav", "duration": 8.22, "text": "In closing, we were very pleased with our first quarter results, even more satisfied with the successful execution of our strategy"}, {"path": "tedlium_22817.wav", "duration": 8.22, "text": "in line with our previous announcement. And this amount more than covers the dividend paid early this year and the holding expenses"}, {"path": "tedlium_22818.wav", "duration": 8.22, "text": "some softness during Q2. I think some of our other folks in the industry have also been pointing to a little bit of softness as well."}, {"path": "tedlium_22819.wav", "duration": 8.22, "text": "and ability to remain persistent towards executing our shared expectations and making improvements."}, {"path": "tedlium_22820.wav", "duration": 8.22, "text": "we've always had those plans Southern Crossing would be the first step to see if we can extend that to tie into the lower part of the Enbridge system."}, {"path": "tedlium_22821.wav", "duration": 8.22, "text": "not covered by Medicare. This coverage is available in most states through the Exchange's life subsidiary, Erie Family Life."}, {"path": "tedlium_22822.wav", "duration": 8.22, "text": "Today's presentation is available on the webcast, and an audio recording will be provided after the call for the next 7 days."}, {"path": "tedlium_22823.wav", "duration": 8.22, "text": "because of the fact, I think, people are at the same level in our -- in the same -- at the same level and in the same way motivated to do"}, {"path": "tedlium_22824.wav", "duration": 8.22, "text": "is at the very same high level that we've always wanted. What's that mean? It means we're now able to go faster than we have before"}, {"path": "tedlium_22825.wav", "duration": 8.22, "text": "So with that, let me turn the call back over to Eric to provide some additional detail on the quarter. Eric?"}, {"path": "tedlium_22826.wav", "duration": 8.22, "text": "We also believe our new operating model will help enable a new Endo culture focused on execution and accountability."}, {"path": "tedlium_22827.wav", "duration": 8.22, "text": "although somewhat lower than Q1. We are now leveraging that healthier demand environment with a lower cost structure"}, {"path": "tedlium_22828.wav", "duration": 8.22, "text": "I would like to say that I'm extremely happy with the progress that we've made and the hard work that our teams have done. I'm really impressed with what we've gotten done."}, {"path": "tedlium_22829.wav", "duration": 8.22, "text": "Yes. But I mean, is it still kind of worth from a risk return profile to"}, {"path": "tedlium_22830.wav", "duration": 8.22, "text": "From an end-market perspective, industrial machinery performed well in the second quarter but was offset by declines in packaging and automotive."}, {"path": "tedlium_22831.wav", "duration": 8.22, "text": "are you thinking about maybe -- do you think you would see a change in -- with a level like that or do you think you might have to"}, {"path": "tedlium_22832.wav", "duration": 8.22, "text": "overcoming the deceleration of Moore's Law scaling. This is driving new types of innovation across the ecosystem."}, {"path": "tedlium_22833.wav", "duration": 8.22, "text": "I would think -- we think about it both opportunistically as well as strategically. From an opportunistic perspective,"}, {"path": "tedlium_22834.wav", "duration": 8.22, "text": "we're convinced that asset managers who are focused on a limited number of historically inefficient markets with strong brands"}, {"path": "tedlium_22835.wav", "duration": 8.22, "text": "with the objective of when we launch to everybody, we know it works well, right? We don't want to -- I think the worst thing we can do with the new tool"}, {"path": "tedlium_22836.wav", "duration": 8.22, "text": "or to sell them together, offering more flavor variety at a comparable price to our normal 30 serving size individual flavors."}, {"path": "tedlium_22837.wav", "duration": 8.22, "text": "have intimated in the past. We've actually actively been managing driver pay. And so we asked the same question during the quarter."}, {"path": "tedlium_22838.wav", "duration": 8.22, "text": "They are free to quote any member of management, but they are asked not to quote remarks from any other participant without that participant's permission."}, {"path": "tedlium_22839.wav", "duration": 8.22, "text": "Contributing to the stronger results from the quarter, was mine support services activity at the Fording River coal mine in Southeast British Columbia,"}, {"path": "tedlium_22840.wav", "duration": 8.22, "text": "Recently, we completed the first round of bidding for the sale of American Roads and had a strong response with a number of submissions."}, {"path": "tedlium_22841.wav", "duration": 8.22, "text": "Thank you. And I'm not showing any further questions on the phone lines. I would now like to turn the call back over to Mr. Craig Morrison for any further remarks."}, {"path": "tedlium_22842.wav", "duration": 8.22, "text": "So what does this look like in practice or on the ground? A series of merchandise precincts as you can see here,"}, {"path": "tedlium_22843.wav", "duration": 8.22, "text": "we're moving away from that strategy. So hope that answers your question. Then there were questions about the campaigns and"}, {"path": "tedlium_22844.wav", "duration": 8.22, "text": "in particular, and also some investments we engaged in as far as creating some next-generation products, we feel will do pretty well for us"}, {"path": "tedlium_22845.wav", "duration": 8.22, "text": "for activity in Middle East and everywhere where you have companies and countries"}, {"path": "tedlium_22846.wav", "duration": 8.22, "text": "in diversifying the business even beyond some of the areas that we currently play, again, with an eye towards driving the mission of the organization,"}, {"path": "tedlium_22847.wav", "duration": 8.22, "text": "Before the call begins, on Page 2, I'd like to remind everyone that certain statements made in the course of this call constitute forward-looking statements"}, {"path": "tedlium_22848.wav", "duration": 8.22, "text": "and future financial results that involve risks and uncertainties that may cause actual results to differ materially from those discussed here."}, {"path": "tedlium_22849.wav", "duration": 8.22, "text": "We don't believe that there's any change that will happen in the third quarter from the second quarter because we want to be aggressive,"}, {"path": "tedlium_22850.wav", "duration": 8.22, "text": "that investment professionals don't want to come and work for Aberdeen Standard Investments. Quite the reverse,"}, {"path": "tedlium_22851.wav", "duration": 8.22, "text": "The new franchises will offer commercial and residential pest control as well as termite services where appropriate."}, {"path": "tedlium_22852.wav", "duration": 8.22, "text": "what we saw in the most recent quarter and what the outlook is a little bit farther out, and then I'll maybe jump into pricing to allow you to put the whole thing together."}, {"path": "tedlium_22853.wav", "duration": 8.22, "text": "where we might improve and enhance our overall processes, techniques and approach to selling and recruiting."}, {"path": "tedlium_22854.wav", "duration": 8.22, "text": "We urge you to review DuPont's SEC filings for a discussion of some of the factors that could cause actual results to differ materially."}, {"path": "tedlium_22855.wav", "duration": 8.22, "text": "Is there a point when it changes to try to attract new customer? Or is the current style the best way to generate profitable"}, {"path": "tedlium_22856.wav", "duration": 8.22, "text": "Underneath that there are 5 very key elements. And the first one that I want to focus on is that we have a strong position in the right markets."}, {"path": "tedlium_22857.wav", "duration": 8.22, "text": "Yes, so we -- pricing is a subject we will continue to debate as we get more information from our pharmacoeconomic research"}, {"path": "tedlium_22858.wav", "duration": 8.22, "text": "you could see a higher correlation of profitability return on invested capital for those facilities that tended to have local management,"}, {"path": "tedlium_22859.wav", "duration": 8.22, "text": "Before I begin to discuss business developments during the third quarter, I'd like to say and take a few moments"}, {"path": "tedlium_22860.wav", "duration": 8.22, "text": "and very strong belief in the growth plans and the strategy that we've built for the market going forward."}, {"path": "tedlium_22861.wav", "duration": 8.22, "text": "You'll also see in the 2 horizontal red boxes the extension periods that we secured"}, {"path": "tedlium_22862.wav", "duration": 8.22, "text": "expert real estate evaluations of our future disposition of these properties along with accounting for our experiencing and exiting our first 35 retail outlets."}, {"path": "tedlium_22863.wav", "duration": 8.22, "text": "generally based on the notion that the industry would be up about 5% and that you would get a little bit of pricing. So"}, {"path": "tedlium_22864.wav", "duration": 8.22, "text": "at which time we will target a 4% to 6% dividend growth rate more in line with our earnings growth expectations."}, {"path": "tedlium_22865.wav", "duration": 8.22, "text": "and we've been able to continue to penetrate the contract market for Service"}, {"path": "tedlium_22866.wav", "duration": 8.22, "text": "While tax reform is seen as a positive, we don't expect it to significantly affect CRE development or acquisition activity."}, {"path": "tedlium_22867.wav", "duration": 8.22, "text": "it basically is generic and applies to all of the airframes. There are exceptions to that in terms of our plate,"}, {"path": "tedlium_22868.wav", "duration": 8.22, "text": "For more information about factors that may cause actual results to be materially different from forward-looking statements,"}, {"path": "tedlium_22869.wav", "duration": 8.22, "text": "considerable free cash flow, haven't done a lot on the acquisition front this year. How should we think about the"}, {"path": "tedlium_22870.wav", "duration": 8.22, "text": "and we expect several more facilities to achieve this designation in 2017. In addition,"}, {"path": "tedlium_22871.wav", "duration": 8.22, "text": "the impact of tariffs in China and specifically, the general effects of tariff on demand in China. Relative to global demand overall,"}, {"path": "tedlium_22872.wav", "duration": 8.22, "text": "touchy situations where customers are on the fence and hesitating to give us an order because somebody's been whispering in their ears"}, {"path": "tedlium_22873.wav", "duration": 8.22, "text": "while focusing greater efforts on development of our new diagnostic assays and the platforms that are associated with them."}, {"path": "tedlium_22874.wav", "duration": 8.22, "text": "Furthermore, to ensure that we're prepared to quickly start the trial following IND clearance,"}, {"path": "tedlium_22875.wav", "duration": 8.22, "text": "Over the past few years, our board has been engaged in a thorough multiyear succession planning process."}, {"path": "tedlium_22876.wav", "duration": 8.22, "text": "of our products and it's fully anticipated these design changes will also lower the cost to manufacture these products and improve quality as well."}, {"path": "tedlium_22877.wav", "duration": 8.22, "text": "we believe we're one of the few industry players with the potential to deliver strong top and bottom line growth over the long term."}, {"path": "tedlium_22878.wav", "duration": 8.22, "text": "We were notified at the end of July that one of our major customers has decided to transition a significant portion of premium business to another supplier"}, {"path": "tedlium_22879.wav", "duration": 8.22, "text": "reiterating the way we run this company from day 1. We're thinking about everything from a very long term. We're adding systems that will support"}, {"path": "tedlium_22880.wav", "duration": 8.22, "text": "Let me provide some further details on sales from this quarter. I will speak to our December sales results later in my remarks."}, {"path": "tedlium_22881.wav", "duration": 8.22, "text": "was the strongest I've seen and reinforce the points that we made in the discussion that"}, {"path": "tedlium_22882.wav", "duration": 8.22, "text": "There were some challenges this year from a rail perspective. And so it's not as though everything went perfectly smoothly this year."}, {"path": "tedlium_22883.wav", "duration": 8.22, "text": "and implementing additional projects to enhance the automation and efficiency of other businesses through IT investments."}, {"path": "tedlium_22884.wav", "duration": 8.22, "text": "We exceeded expectations in Q1, with significant improvements across all operational metrics. Just under 30,000 ounces of production"}, {"path": "tedlium_22885.wav", "duration": 8.22, "text": "and a continued reassessment of the overlay provisions in the book, with some releases having been processed in this half"}, {"path": "tedlium_22886.wav", "duration": 8.22, "text": "We've positioned several development assets for retail and wholesale monetization and look forward to strategic closings in the quarters ahead."}, {"path": "tedlium_22887.wav", "duration": 8.22, "text": "a very meaningful part of that for many of those players given that they cater to small businesses. And small businesses really rely upon"}, {"path": "tedlium_22888.wav", "duration": 8.22, "text": "And finally, as a market leader with both premiumness and scale, both the doors and openers parts of our business are profitable."}, {"path": "tedlium_22889.wav", "duration": 8.22, "text": "I am very fortunate to have a strong leadership team, both within the brands and within the shared service functions."}, {"path": "tedlium_22890.wav", "duration": 8.22, "text": "which personifies our focus on technology and innovation. And finally, we are excited about the addition of Alpha"}, {"path": "tedlium_22891.wav", "duration": 8.22, "text": "For example, during the quarter, we opened a new distribution center in Compton, California, in time for the busy holiday season."}, {"path": "tedlium_22892.wav", "duration": 8.22, "text": "This is how we look at our business and it allows us to provide clearer insights into the portion of our business we are focused on for long-term strategic development"}, {"path": "tedlium_22893.wav", "duration": 8.22, "text": "the number of patients that now come into that practice of the physician who wants to put on Eversense accelerates even more"}, {"path": "tedlium_22894.wav", "duration": 8.22, "text": "I know you guys have been selling those for a while. It sounds like they're selling well and that it's helping retain some of those larger customers that were looking around."}, {"path": "tedlium_22895.wav", "duration": 8.22, "text": "Billings and gross profit declined on an absolute dollars basis. Our decision to close countries and FX were significant contributors."}, {"path": "tedlium_22896.wav", "duration": 8.22, "text": "Thus, depending on our strengths and functions, we may also have to pass on some of our businesses to new shareholders."}, {"path": "tedlium_22897.wav", "duration": 8.22, "text": "And so we think that could be the largest change that could happen from now. And so we"}, {"path": "tedlium_22898.wav", "duration": 8.22, "text": "Today, I'll discuss our continued progress in our strategic improvement plan as well as our first quarter operational and financial highlights."}, {"path": "tedlium_22899.wav", "duration": 8.22, "text": "part of it is just where we are in the cycle, and I think that we think the opportunity in the next 3 years in that market certainly looks better than the last 3 years."}, {"path": "tedlium_22900.wav", "duration": 8.22, "text": "in order to cool different parts of the consumer lending market is willing to use, this mechanism to increase risk weights."}, {"path": "tedlium_22901.wav", "duration": 8.22, "text": "being able to access our customer more efficiently. And in terms of the spend on those activities,"}, {"path": "tedlium_22902.wav", "duration": 8.22, "text": "In 18 years, we've had dozens of earnings calls, hundreds of investor conferences and thousands of meetings with you."}, {"path": "tedlium_22903.wav", "duration": 8.22, "text": "have a different selling point and to potentially bring other products in development or other commercial products along"}, {"path": "tedlium_22904.wav", "duration": 8.22, "text": "It's really a split bag. It's probably focused more on the top end of the product category."}, {"path": "tedlium_22905.wav", "duration": 8.22, "text": "The Trex brand's strength is driven by our ability to capture greater share of the growing composite decking and railing market."}, {"path": "tedlium_22906.wav", "duration": 8.22, "text": "to Vancouver now and I think that laps itself, takes care of itself and the strength of the domestic product we have, we'll finish the quarter ahead in intermodal in total."}, {"path": "tedlium_22907.wav", "duration": 8.22, "text": "Just in regards to the 20 new programs for this next year, what is the mix between graduate versus STEM programs?"}, {"path": "tedlium_22908.wav", "duration": 8.22, "text": "These positions are being filled, and Encompass management is confident these markets will be back on plan by the end of the year."}, {"path": "tedlium_22909.wav", "duration": 8.22, "text": "they're not in that situation. They have some of their business is nonconsolidated, but some is. And so when you look at"}, {"path": "tedlium_22910.wav", "duration": 8.22, "text": "In the North Sea, activity in Norway was flat with only minor seasonal impact. Our performance was strong with integrated projects."}, {"path": "tedlium_22911.wav", "duration": 8.22, "text": "Before we move through our standard disclosures, let me highlight the key messages to take from this slide, as shown on the right."}, {"path": "tedlium_22912.wav", "duration": 8.22, "text": "And finally, we are well positioned in our markets and will continue to redeploy capital in ways that are most accretive to our shareholders."}, {"path": "tedlium_22913.wav", "duration": 8.22, "text": "as well as propositions than we've ever done before, and we've taken advantage of this again this year."}, {"path": "tedlium_22914.wav", "duration": 8.22, "text": "the changing consumer preferences, the changes in customer channels, the new media to communicate through with our brands."}, {"path": "tedlium_22915.wav", "duration": 8.22, "text": "that the big thing for us has really been around data analytics and our integrated operations, which really started"}, {"path": "tedlium_22916.wav", "duration": 8.22, "text": "that allowed you to keep down at those levels? And whether there's any lagging effect or whether this fully reflects the volume that goes through there?"}, {"path": "tedlium_22917.wav", "duration": 8.22, "text": "And on top of that, the pricing that we have taken is now in the marketplace and being realized, particularly in the second half."}, {"path": "tedlium_22918.wav", "duration": 8.22, "text": "Connecting more gas resources will definitely help with putting downward pressure on prices, and that is what APA does and continues to do well."}, {"path": "tedlium_22919.wav", "duration": 8.22, "text": "and launched several new hiring and training initiatives designed to ensure WNS resources are prepared"}, {"path": "tedlium_22920.wav", "duration": 8.22, "text": "we talk a lot about how much space we've leased. We've leased a lot. Now the next piece of the puzzle is to get those tenants open as soon as possible. And so there is"}, {"path": "tedlium_22921.wav", "duration": 8.22, "text": "And simply put, they want to reduce complexity, simplify and automate, and then empower their employees to focus on higher value-added activities,"}, {"path": "tedlium_22922.wav", "duration": 8.22, "text": "On our existing business performance, we are pleased with the expansion in our existing Small Commercial Business and specialty risk and extended warranty segments."}, {"path": "tedlium_22923.wav", "duration": 8.22, "text": "Weather in Russia and Central Asia mainly affected wireline, although this was partially offset by record highway stimulation operations"}, {"path": "tedlium_22924.wav", "duration": 8.22, "text": "at this moment isn't as key to us as a commercial and industrial. We think a little bit later in this plan, that will start to take"}, {"path": "tedlium_22925.wav", "duration": 8.22, "text": "for meeting various targets within the overall REV initiative. We made a filing in December"}, {"path": "tedlium_22926.wav", "duration": 8.22, "text": "The Americas and Asia saw strong momentum, and Western Europe was resilient in a context of high competitive pressure."}, {"path": "tedlium_22927.wav", "duration": 8.22, "text": "Okay. And just on the E2s, is there a geographic region that's showing greater interest than we might expect?"}, {"path": "tedlium_22928.wav", "duration": 8.22, "text": "our regional residential real estate projects and terminating certain retirement living and student accommodation projects as I mentioned."}, {"path": "tedlium_22929.wav", "duration": 8.22, "text": "And really, the Scholl's piece of it was due to -- and we'll continue in the first quarter with a little bit softness and some change at Walmart."}, {"path": "tedlium_22930.wav", "duration": 8.22, "text": "We also increased our reported revenue growth guidance by 200 basis points to reflect a more favorable benefit from foreign exchange."}, {"path": "tedlium_22931.wav", "duration": 8.22, "text": "it would be bringing the money forward and not spending it later. It's the CapEx for GDP growth rates"}, {"path": "tedlium_22932.wav", "duration": 8.22, "text": "This past quarter, however, we did see some softness coming primarily in the automotive sector in the Midwest."}, {"path": "tedlium_22933.wav", "duration": 8.22, "text": "The third quarter is the seasonally weakest quarter for the CIS business, and we expect both revenues and margins to be higher in the fourth quarter."}, {"path": "tedlium_22934.wav", "duration": 8.22, "text": "on an alternative solution for that property in the event that Bunnings does move on at some stage."}, {"path": "tedlium_22935.wav", "duration": 8.22, "text": "and the monthly impact on costs because of the change in the calculation of tariff"}, {"path": "tedlium_22936.wav", "duration": 8.22, "text": "They worked exceptionally hard to learn and use a totally new system. It has been very hard work,"}, {"path": "tedlium_22937.wav", "duration": 8.22, "text": "We intend to explore opportunities to sell this property in 2019, subject to leasing progress and market conditions."}, {"path": "tedlium_22938.wav", "duration": 8.22, "text": "We really believe that this helps to differentiate us from our competition and highlights our value proposition for the wireless industry."}, {"path": "tedlium_22939.wav", "duration": 8.22, "text": "the spot prices at lower levels. So could you talk about the market? And the second question"}, {"path": "tedlium_22940.wav", "duration": 8.22, "text": "your confidence and acceleration in sales, I guess for the balance of the year"}, {"path": "tedlium_22941.wav", "duration": 8.22, "text": "move our durations and continue to get a nice ladder of future maturities that will help us on our liquidity as well as"}, {"path": "tedlium_22942.wav", "duration": 8.22, "text": "As David will discuss in more detail during his comments, we have reduced our overall portfolio"}, {"path": "tedlium_22943.wav", "duration": 8.22, "text": "going forward in 2016, what we may be doing with the Observatory and as part of our annual budgeting and planning, and"}, {"path": "tedlium_22944.wav", "duration": 8.22, "text": "This week, we filed the necessary papers in the Texas and New York courts to dismiss all pending cases between the parties."}, {"path": "tedlium_22945.wav", "duration": 8.22, "text": "The results of the Sporting business are reported as discontinued operations in our GAAP results."}, {"path": "tedlium_22946.wav", "duration": 8.22, "text": "And the change to the incentive outlook, is that all timing? Or do you anticipate paying a little bit less than what you previously forecast?"}, {"path": "tedlium_22947.wav", "duration": 8.22, "text": "The end result is that purchase price allocation provides a more properly classified and valued balance sheet."}, {"path": "tedlium_22948.wav", "duration": 8.2199375, "text": "The decrease in revenues was partially offset by an increase in revenues at the limerock mining operations because of an increase in customer requirements"}, {"path": "tedlium_22949.wav", "duration": 8.2199375, "text": "Thank you, Steve, and good morning, everyone. I'll briefly cover a few details and then we will turn it over for questions."}, {"path": "tedlium_22950.wav", "duration": 8.1900625, "text": "is a very significant opportunity for us. And Mike can talk about the different trials that are in that particular area"}, {"path": "tedlium_22951.wav", "duration": 8.19, "text": "our view is collectively that the pricing would be more likely disclosed more closer towards launch or at launch."}, {"path": "tedlium_22952.wav", "duration": 8.19, "text": "they're more like 55-45, and I think that's probably a decent balance for us. We want to make sure that our portfolio companies"}, {"path": "tedlium_22953.wav", "duration": 8.19, "text": "If you have not already done so, we encourage you to download the quarterly report on Form 10-Q and the slides to use on this call."}, {"path": "tedlium_22954.wav", "duration": 8.19, "text": "Our total December and new year bookings are comfortably ahead of last year, but in truth, it's becoming far easier for people to book. So we're not getting complacent."}, {"path": "tedlium_22955.wav", "duration": 8.19, "text": "Since our last call, we have been getting ready to roll out our franchise marketing program. Our franchise has received legal approval in all 50 states."}, {"path": "tedlium_22956.wav", "duration": 8.19, "text": "the grids and the markets. However, coal will remain the major component, and we see ourselves as being a major part"}, {"path": "tedlium_22957.wav", "duration": 8.19, "text": "how does that impact your mix of product versus services cost of goods sold?"}, {"path": "tedlium_22958.wav", "duration": 8.19, "text": "but in the balance, I am extremely pleased with our progress and very, very excited about our future."}, {"path": "tedlium_22959.wav", "duration": 8.19, "text": "Kevin, the reason why we did it is we have a lot of business in Florida. The majority of our business is where"}, {"path": "tedlium_22960.wav", "duration": 8.19, "text": "At Argo, nearly 2 decades ago, we identified technology as a transformative and potentially disruptive force"}, {"path": "tedlium_22961.wav", "duration": 8.19, "text": "We're pleased with the early traction in PKS deals during the first year of availability and continue to be encouraged by the growing pipeline."}, {"path": "tedlium_22962.wav", "duration": 8.19, "text": "as an element of the integrated solutions, where we have seen an increasing order intake and its,"}, {"path": "tedlium_22963.wav", "duration": 8.19, "text": "portfolio outside of the Victorian assets in that gas pricing. So that's what caused the gas pricing drop off"}, {"path": "tedlium_22964.wav", "duration": 8.19, "text": "especially when we believe that these areas where we cannot accelerate as fast as we can go organically."}, {"path": "tedlium_22965.wav", "duration": 8.19, "text": "Therefore, you should expect us to continue being selective and disciplined as we balance expected returns, underwritten growth, and our cost of capital."}, {"path": "tedlium_22966.wav", "duration": 8.19, "text": "well, fundamentally, the economy is not crippled, but it is slowing down in almost every area."}, {"path": "tedlium_22967.wav", "duration": 8.19, "text": "positions. And we made a commitment that we will run some analysis to"}, {"path": "tedlium_22968.wav", "duration": 8.19, "text": "Should we expect your commercial investments to remain at the pace that we've seen in this quarter? Because that would imply that"}, {"path": "tedlium_22969.wav", "duration": 8.19, "text": "We are using -- investing in several new data sources to conduct market analysis and better understanding our pharmacy patients"}, {"path": "tedlium_22970.wav", "duration": 8.19, "text": "we will be eliminating and writing off inventory associated with both the store closings and unproductive inventory throughout the enterprise."}, {"path": "tedlium_22971.wav", "duration": 8.19, "text": "We saw a strong performance in our Tech and Candy world's as well as our Games and Toy categories,"}, {"path": "tedlium_22972.wav", "duration": 8.19, "text": "a lot of these broader architecture changes would probably happen regardless of what happens to the rule. Could you give us an idea of"}, {"path": "tedlium_22973.wav", "duration": 8.19, "text": "We all know that the first quarter is a great time to engage people in losing weight and getting healthier in the new year."}, {"path": "tedlium_22974.wav", "duration": 8.19, "text": "Yes, we still like the look of the data in that regard, and we'll present the information in detail on the 17th. But, yes, that's still a very much in the"}, {"path": "tedlium_22975.wav", "duration": 8.19, "text": "we've always said that we didn't want to be in the underwriting business, we want to be in the distribution business. This is a relatively small business."}, {"path": "tedlium_22976.wav", "duration": 8.19, "text": "even in the event actual throughput volumes are less than the contractual minimum volume of product during that period."}, {"path": "tedlium_22977.wav", "duration": 8.19, "text": "steadily improving demand, underinvestment by the industry and favorable secular trends will drive step change improvements in our businesses."}, {"path": "tedlium_22978.wav", "duration": 8.19, "text": "Favorable secular trends support increasing growth in our land-oriented businesses within the segment and we expect will continue to do so in the future."}, {"path": "tedlium_22979.wav", "duration": 8.19, "text": "We simplified our processes and took complexity out of the business while reducing our costs and expense structure."}, {"path": "tedlium_22980.wav", "duration": 8.19, "text": "The home infusion companies offer a bundle that includes providing the drug and reimbursement for the drug,"}, {"path": "tedlium_22981.wav", "duration": 8.19, "text": "and we expect that to continue. The beauty of this market is it's a growth market. So you're having implants put in where they weren't put in before."}, {"path": "tedlium_22982.wav", "duration": 8.19, "text": "They didn't have that -- those kind of numbers in the second quarter, but we do see that as a resumption of the pipeline within Physio."}, {"path": "tedlium_22983.wav", "duration": 8.19, "text": "but they're all seeing increases in their material costs. So really, it's not affecting their ability to execute on projects relative to their competition."}, {"path": "tedlium_22984.wav", "duration": 8.19, "text": "Of the 40 to 45 company restaurants, we expect all but a handful of locations to open before the fourth quarter of this year."}, {"path": "tedlium_22985.wav", "duration": 8.19, "text": "I'm really not focused in that area. Clearly as public company, if someone is prepared to make Fortis an offer for some part of our business,"}, {"path": "tedlium_22986.wav", "duration": 8.19, "text": "All patients evaluated demonstrated fine motor, cognition and language ability within the normal range."}, {"path": "tedlium_22987.wav", "duration": 8.19, "text": "to serve the strong growth in new orders from last year. We've been aggressively addressing these issues by placing more experienced management with the newer crews,"}, {"path": "tedlium_22988.wav", "duration": 8.19, "text": "But I do think 1 way you can defend against it is by having the kind of properties that we tend to focus on"}, {"path": "tedlium_22989.wav", "duration": 8.19, "text": "that however we're going to capitalize to support our JV into China and to look at these other markets,"}, {"path": "tedlium_22990.wav", "duration": 8.19, "text": "Doug will discuss our financial results in greater detail in a few minutes, but first, I'll provide a few comments on each business segment."}, {"path": "tedlium_22991.wav", "duration": 8.19, "text": "This would be a fantastic achievement for Amicus and will represent a meaningful impact on how Fabry disease is treated around the world."}, {"path": "tedlium_22992.wav", "duration": 8.19, "text": "We continue to expand our suite of condition-based maintenance capabilities, and more customers are beginning to recognize the value offered by such services."}, {"path": "tedlium_22993.wav", "duration": 8.19, "text": "providing our customers with new tools to deeply characterize unique cellular subtypes and functional states unavailable on competing systems."}, {"path": "tedlium_22994.wav", "duration": 8.19, "text": "This was partially driven by the conscious decision to exit high risk-weight securities trading -- securitized trading"}, {"path": "tedlium_22995.wav", "duration": 8.19, "text": "why the bank communicated last year that it would sell Postbank was to manage the capital position."}, {"path": "tedlium_22996.wav", "duration": 8.19, "text": "The decrease in gross profit was primarily due to lower selling prices in our industrial and canned pineapple product lines."}, {"path": "tedlium_22997.wav", "duration": 8.19, "text": "on the translation of earnings in foreign currencies but, again, had essentially no year-over-year impact on earnings for the quarter."}, {"path": "tedlium_22998.wav", "duration": 8.19, "text": "In quarter 1, the reduced rate is a function of the new corporate tax rate plus the impact of deductions related to the first quarter equity vest."}, {"path": "tedlium_22999.wav", "duration": 8.19, "text": "hire people and into what format, but we could definitely do a few more this year if things fall the right way for us."}, {"path": "tedlium_23000.wav", "duration": 8.19, "text": "We experienced payoffs on multiple projects in the third quarter that essentially offset fundings on new projects."}, {"path": "tedlium_23001.wav", "duration": 8.19, "text": "To expand our product offering to the larger wellness consumer category, we continued the expansion of our premium Select line during the quarter."}, {"path": "tedlium_23002.wav", "duration": 8.19, "text": "What I'd like to do today is provide you with an update on the progress of our business and lay out the groundwork for what to expect in the coming months."}, {"path": "tedlium_23003.wav", "duration": 8.19, "text": "So there is nothing in that credit that makes me think that it should be graded adversely, but it is. And"}, {"path": "tedlium_23004.wav", "duration": 8.19, "text": "and we did not want to be enrolling the pediatric patients in the 6.0 milligram per kilogram cohort. So that has led to some delay in"}, {"path": "tedlium_23005.wav", "duration": 8.19, "text": "somewhere between minus 50 and minus 60. As we sit here today, we're at minus 5 and continuing to trend upwards. So"}, {"path": "tedlium_23006.wav", "duration": 8.19, "text": "they're smaller markets at the end of the day, but they do kind of even out some of the bigger markets as they go up and down,"}, {"path": "tedlium_23007.wav", "duration": 8.19, "text": "Germany and the Netherlands were solid contributors to Big 4 results this quarter and France delivered solid installations at the end of the quarter."}, {"path": "tedlium_23008.wav", "duration": 8.19, "text": "and that's down noticeably from where we've been in the first 3 quarters of this year. So all in for '17, we're still expecting the"}, {"path": "tedlium_23009.wav", "duration": 8.19, "text": "I'll turn the floor over. Just -- could you talk a little bit about the manufacturing runs, how you're able to switch"}, {"path": "tedlium_23010.wav", "duration": 8.19, "text": "I'm sure, many of you have questions about our business situation with SPI, so I'll take a few minutes to address this topic."}, {"path": "tedlium_23011.wav", "duration": 8.19, "text": "that we know are talking about requiring more local content. So that would potentially require some CapEx in some different regions."}, {"path": "tedlium_23012.wav", "duration": 8.19, "text": "These statements are subject to numerous factors that could cause actual results to differ materially from those anticipated or projected."}, {"path": "tedlium_23013.wav", "duration": 8.19, "text": "What it does not include is the revenue and profitability generated from the sale of Good Sam memberships,"}, {"path": "tedlium_23014.wav", "duration": 8.19, "text": "We experienced -- by the way, this is a very important point. In the history of our company, we have, on several occasions,"}, {"path": "tedlium_23015.wav", "duration": 8.19, "text": "can you talk a little bit more about what we should expect in terms of retail growth acceleration?"}, {"path": "tedlium_23016.wav", "duration": 8.19, "text": "I think another thing to bear in mind that gets lost sometimes in the analysis is that exports out of Europe"}, {"path": "tedlium_23017.wav", "duration": 8.19, "text": "The new deal is a commitment of 4 telecom players on the French market to accelerate"}, {"path": "tedlium_23018.wav", "duration": 8.19, "text": "In addition, we are strategically getting our message out around sale and promotion in a way that feels exclusive and brand appropriate."}, {"path": "tedlium_23019.wav", "duration": 8.19, "text": "So if the ARPU goes up, then you may introduce some new billing plans and return those profits to the customers. Isn't that the case?"}, {"path": "tedlium_23020.wav", "duration": 8.19, "text": "people who are buying in advance, people who are buying multiple days, people who are buying packages, people who are buying obviously a full season of skiing. So"}, {"path": "tedlium_23021.wav", "duration": 8.19, "text": "but secondarily also, a couple of open questions. I think the big question in that is what is the right go-to market and what is the right branding."}, {"path": "tedlium_23022.wav", "duration": 8.19, "text": "These statements are subject to risks and uncertainties that could cause our actual results to differ materially from those provided, including,"}, {"path": "tedlium_23023.wav", "duration": 8.19, "text": "Our plan is to continue with our strategy of becoming a pure-play GP and not owning fixed assets upstairs."}, {"path": "tedlium_23024.wav", "duration": 8.19, "text": "and you should have a good idea, I would believe, of what you look to see in incremental revenue from this. So I was hoping you might be able to bring that up on this call?"}, {"path": "tedlium_23025.wav", "duration": 8.19, "text": "some of the states in which we do business may be evaluating their tax structure in reaction to the change in the federal tax law, and thus, we may experience a change"}, {"path": "tedlium_23026.wav", "duration": 8.19, "text": "in recognition of the above market growth we are generating. Our management team is driving improved execution,"}, {"path": "tedlium_23027.wav", "duration": 8.19, "text": "we think we're on a trajectory of performance unless we have some unanticipated hiccups here where we're going to continue to sustain or"}, {"path": "tedlium_23028.wav", "duration": 8.19, "text": "let me now turn it back over to Brad for his closing remarks. Thank you, Glenn. This has been an exciting time at National MI."}, {"path": "tedlium_23029.wav", "duration": 8.19, "text": "that will, as I said before, make us more important to our customers. And so it's matching that value that they expect or would like"}, {"path": "tedlium_23030.wav", "duration": 8.19, "text": "But in addition to strong EBIT growth in all 3 of our businesses, and strong earnings growth, as Michael noted, we also had very strong free cash flow, which has been"}, {"path": "tedlium_23031.wav", "duration": 8.19, "text": "well structured industry right now and, in fact, it's moving in your favor due to what we're seeing out there. I mean, is there anything that would really concern you if"}, {"path": "tedlium_23032.wav", "duration": 8.19, "text": "Following our hypothesis that RNAi potency and duration of action may be dependent on the target site,"}, {"path": "tedlium_23033.wav", "duration": 8.19, "text": "we have made a provision that although butadiene is showing some signs of weakening of late, the forecast does assume"}, {"path": "tedlium_23034.wav", "duration": 8.19, "text": "Our opportunity has never been greater, and I look forward to sharing our progress with you in the future."}, {"path": "tedlium_23035.wav", "duration": 8.19, "text": "As you say you've got significant costs in Turkey as well as revenues in Turkey, so presumably there was some"}, {"path": "tedlium_23036.wav", "duration": 8.19, "text": "Brazilian real and Mexican peso have both dropped in excess of this amount. So could you please guide how you've been able to mitigate"}, {"path": "tedlium_23037.wav", "duration": 8.19, "text": "And we're the only tile producer that's doing that around the world. You have to look at what we're doing and what we've seen, and how we're executing"}, {"path": "tedlium_23038.wav", "duration": 8.19, "text": "If you think about the overall digital market, I don't know the exact numbers, but I think last year, the overall digital advertising market"}, {"path": "tedlium_23039.wav", "duration": 8.19, "text": "You'll also see a little more portfolio of the kind of opportunities we're pursuing in"}, {"path": "tedlium_23040.wav", "duration": 8.19, "text": "I think if you average out all of the rate increases that we have seen this year, it remains just kind of a daily average"}, {"path": "tedlium_23041.wav", "duration": 8.19, "text": "Second, health systems appreciate the ability to contract on a flexible basis around certain components of their revenue cycle."}, {"path": "tedlium_23042.wav", "duration": 8.19, "text": "to really want to introduce the new technology in their sort of peak season of December. Now we had a couple of exceptions to that."}, {"path": "tedlium_23043.wav", "duration": 8.19, "text": "replacing their products and expanding plants, it's also about a lot of new upstarts that you see across the range, from innovator molecules to generics."}, {"path": "tedlium_23044.wav", "duration": 8.19, "text": "in digital and some other areas will be there. The cost opportunities that we think will be there are going to be there. So"}, {"path": "tedlium_23045.wav", "duration": 8.19, "text": "I always have to be careful here because so much of what we say on these calls shows up to be in the strategic plan for some of the people that think they're our competitors."}, {"path": "tedlium_23046.wav", "duration": 8.19, "text": "We put a reasonable amount of detail on the growth of the various submarkets into the review of operations, so I urge you to read that."}, {"path": "tedlium_23047.wav", "duration": 8.19, "text": "If we see a prolonged downturn, we'd need to revisit our assumptions, but we would also likely get more aggressive on cost actions."}, {"path": "tedlium_23048.wav", "duration": 8.19, "text": "As a result of this, we have also reduced our expectations around the recoverability of these costs from either subcontractors or customers."}, {"path": "tedlium_23049.wav", "duration": 8.19, "text": "This affected timing and revenue recognition to these projects, and we will see sales for this work later in the fiscal year"}, {"path": "tedlium_23050.wav", "duration": 8.19, "text": "We haven't -- we obviously have not found anything yet that has met the criteria that we're looking for"}, {"path": "tedlium_23051.wav", "duration": 8.19, "text": "I don't think there've been a lot of impact -- there's been a lot of impact on us of consolidation of offerings. I think that's"}, {"path": "tedlium_23052.wav", "duration": 8.19, "text": "The company undertakes no obligation to publicly update any forward-looking statements or supply new information regarding the circumstances after the date of this release."}, {"path": "tedlium_23053.wav", "duration": 8.19, "text": "Today, we announced 3 binding agreements with AREVA NP. These contracts form the foundation for"}, {"path": "tedlium_23054.wav", "duration": 8.19, "text": "I think what's interesting is the tolerability of that combination is unlikely to result in long, durable treatment."}, {"path": "tedlium_23055.wav", "duration": 8.19, "text": "the reports that the company files or furnishes with the SEC, corporate governance information and select press releases and social media postings."}, {"path": "tedlium_23056.wav", "duration": 8.19, "text": "I think it's fair to comment on the trial that it is the largest global randomized trial"}, {"path": "tedlium_23057.wav", "duration": 8.19, "text": "that are truly multichannel, and we can split and allocate the costs across the group no matter what channel."}, {"path": "tedlium_23058.wav", "duration": 8.19, "text": "Expense in the bank was up as we continued our investment in strategic hires in expansion markets and specialty businesses."}, {"path": "tedlium_23059.wav", "duration": 8.19, "text": "I think we're starting to see what Bryan talked about in terms of CRE trends emerging right now. And we've had several examples of that occurring,"}, {"path": "tedlium_23060.wav", "duration": 8.19, "text": "The focus remains on targeting customers for growth opportunities and integrating our value-added services."}, {"path": "tedlium_23061.wav", "duration": 8.19, "text": "because we've seen the challenging environment for intermodal pricing and volume. And so as a result of that, we lowered our bonus projection for the year."}, {"path": "tedlium_23062.wav", "duration": 8.19, "text": "Thus far in April, we are down slightly in intermodal volume as a result of less demand from our clients as well as a highly competitive price environment."}, {"path": "tedlium_23063.wav", "duration": 8.19, "text": "But you can bet, and you can expect, that looking at our price value relationship, will continue to be a major source of both revenue"}, {"path": "tedlium_23064.wav", "duration": 8.19, "text": "We plan to further expand the product range, building new value-added services and adding lending products throughout SME marketplace."}, {"path": "tedlium_23065.wav", "duration": 8.19, "text": "They will, of course, begin with parties who are already in discussion with us. As noted in the press release, Greenhill also"}, {"path": "tedlium_23066.wav", "duration": 8.19, "text": "We believe we are the best partner to service Anthem's complex business and are well positioned to improve the competitiveness"}, {"path": "tedlium_23067.wav", "duration": 8.19, "text": "Sure, it does. I wouldn't say it comes up in the majority of the cases. It probably comes up in what I'll call is a small to medium minority of the cases,"}, {"path": "tedlium_23068.wav", "duration": 8.19, "text": "the output on a daily basis. We've got other projects like this in the pipeline. We'll continue to execute them as we move forward."}, {"path": "tedlium_23069.wav", "duration": 8.19, "text": "Michael, I think -- this is David. We thought very carefully about how we structure the fee arrangement between the 2 companies"}, {"path": "tedlium_23070.wav", "duration": 8.19, "text": "will be a net positive for HealthSouth. It's important to remember there are 2 goals of these alternative models."}, {"path": "tedlium_23071.wav", "duration": 8.19, "text": "we will need to begin investing in additional administrative resources in advance of the demonstration effective dates."}, {"path": "tedlium_23072.wav", "duration": 8.19, "text": "They've become much more aggressive coming back and marketing their products. Certainly, as we're getting closer to the Olympics, there's been more promotions going on."}, {"path": "tedlium_23073.wav", "duration": 8.19, "text": "I see many parallels between the business I ran at Sigma-Aldrich and the portfolio of businesses that Platform has assembled,"}, {"path": "tedlium_23074.wav", "duration": 8.19, "text": "for diversification sake. It's all going to be done that makes sense to continue to increase value for shareholders with those actions."}, {"path": "tedlium_23075.wav", "duration": 8.19, "text": "Let me now comment about the portfolio mix, the funding structure and how we see our net interest margin."}, {"path": "tedlium_23076.wav", "duration": 8.19, "text": "the way your tactics played out in Q2? It looks like there was more focus on market share preservation rather than profitability."}, {"path": "tedlium_23077.wav", "duration": 8.19, "text": "that will replace an older one, and it's a much bigger facility, and it's just about to be done. And that's a big investment by the private operating company,"}, {"path": "tedlium_23078.wav", "duration": 8.19, "text": "if something unexpected were to happen and we were to lose a piece of business for some reason that we don't have visibility to today."}, {"path": "tedlium_23079.wav", "duration": 8.19, "text": "these technologies can lower existing costs, reduce the amount of water that it takes to execute ex mining, I mean, people are still mining"}, {"path": "tedlium_23080.wav", "duration": 8.19, "text": "We are currently in the process of locking and evaluating the well. And we expect to be able to provide results from the well"}, {"path": "tedlium_23081.wav", "duration": 8.19, "text": "the technology is so specific that the industry does not lend itself to meaningful consolidation?"}, {"path": "tedlium_23082.wav", "duration": 8.19, "text": "We manage it in terms of coverage and leverage ratios, as you would expect. And we really have a global capital structure"}, {"path": "tedlium_23083.wav", "duration": 8.19, "text": "Revenue was negatively impacted by a lower store count resulting from our fiscal 2018 restructuring plan"}, {"path": "tedlium_23084.wav", "duration": 8.19, "text": "We have been applying one interpretation of the revenue recognition guidance in the accounting standards and recognizing some administrative service fee revenue up front."}, {"path": "tedlium_23085.wav", "duration": 8.19, "text": "is primarily due to the reduction in our interest rate swap positions, which we closed out upon completing the securitization back in March."}, {"path": "tedlium_23086.wav", "duration": 8.19, "text": "can you provide any specific examples of changes that you've been making? And have your expectations around trade promotion"}, {"path": "tedlium_23087.wav", "duration": 8.19, "text": "specialty finance without trying to take inventory risk versus businesses that have a good franchise and sustainability,"}, {"path": "tedlium_23088.wav", "duration": 8.19, "text": "During our call, we will be referring to the earnings release supplement slides, which are also posted on our website."}, {"path": "tedlium_23089.wav", "duration": 8.19, "text": "As we described in the press release, we overlapped significant titles and also saw a shift of uncharted out of the first quarter."}, {"path": "tedlium_23090.wav", "duration": 8.19, "text": "As I think about all that is underway at EnLink today and the progress we've achieved, I see 3 main keys to our success."}, {"path": "tedlium_23091.wav", "duration": 8.19, "text": "Lower interest rates and reduced loan imperilment reversal also had an impact on the reported results from the level in the same period last year."}, {"path": "tedlium_23092.wav", "duration": 8.19, "text": "Ladies and gentlemen, this does conclude today's teleconference. You may disconnect your line at this time. Thank you for your participation, and have a wonderful day."}, {"path": "tedlium_23093.wav", "duration": 8.19, "text": "relationships obviously at the Michigan site that we just bought. They can work with the same study directors and"}, {"path": "tedlium_23094.wav", "duration": 8.19, "text": "Overall, if we are successful on this transformation road map, we expect very positive changes in our financial results."}, {"path": "tedlium_23095.wav", "duration": 8.19, "text": "Number three, higher interest expense, because we intend to fund a portion of our equipment purchases with debt."}, {"path": "tedlium_23096.wav", "duration": 8.19, "text": "at 63 degrees west longitude to expand our services over the Americas, the Caribbean and the North Atlantic."}, {"path": "tedlium_23097.wav", "duration": 8.19, "text": "we rolled the new tenant up to market and let the old tenant roll out. That obviously hit our headline retention number, but was a positive for"}, {"path": "tedlium_23098.wav", "duration": 8.19, "text": "the portfolio and core FFO. So ultimately, the handful of decisions we made to let tenants roll out and then opportunistically either"}, {"path": "tedlium_23099.wav", "duration": 8.19, "text": "The facility primarily produced ingredients that did not align well with our strategy of producing value-added savory flavors."}, {"path": "tedlium_23100.wav", "duration": 8.19, "text": "because our product has already been used by clients in many different markets. And for this reason,"}, {"path": "tedlium_23101.wav", "duration": 8.19, "text": "Moving next to the segment results, starting with Advanced Materials on Slide 6, which delivered a great first half of the year."}, {"path": "tedlium_23102.wav", "duration": 8.19, "text": "The -- one of the things that we've also talked about and I think what we're seeing as a result of us having these new capabilities"}, {"path": "tedlium_23103.wav", "duration": 8.19, "text": "and we think that the style and design that we're bringing to market is extremely relevant for active families. And lastly, maybe a little bit"}, {"path": "tedlium_23104.wav", "duration": 8.19, "text": "Empire State Building of the connection with New York City and with its history and with being in the center of New York."}, {"path": "tedlium_23105.wav", "duration": 8.19, "text": "And as we've noted on March 14, we experienced a significant decline in revenue as a result of delays in engine supply from certain vendors,"}, {"path": "tedlium_23106.wav", "duration": 8.19, "text": "in order to increase exposure to markets with more attractive demographics and newer properties with higher revenue and better growth prospects."}, {"path": "tedlium_23107.wav", "duration": 8.19, "text": "is that we hold the assets on the balance sheet, assuming that we can have proper coverage of the capital, which they are responsible for."}, {"path": "tedlium_23108.wav", "duration": 8.19, "text": "Given the tight reserve margins we expect through at least summer 2020, we believe this backwardation will reverse at some point in the future."}, {"path": "tedlium_23109.wav", "duration": 8.19, "text": "In the end, as we execute as expected in 2018 and 2019, we can move on a number of capital allocation fronts,"}, {"path": "tedlium_23110.wav", "duration": 8.19, "text": "reform, share repurchases. It seems like you've got a lot of levers to be able to maybe drive something meaningfully better"}, {"path": "tedlium_23111.wav", "duration": 8.19, "text": "Furthermore, a complete disclosure of our GAAP financial results will be available in our first quarter Form 10-Q."}, {"path": "tedlium_23112.wav", "duration": 8.19, "text": "And that's for us to look at the export market, which was more favorable this year than it had been at least in the recent past."}, {"path": "tedlium_23113.wav", "duration": 8.19, "text": "We also incurred a charge for the write-down of unamortized financing charges related to the early extinguishment of our term loan"}, {"path": "tedlium_23114.wav", "duration": 8.1600625, "text": "I don't think there any particular reasons to take steps. The price will fluctuate in the third quarter, too,"}, {"path": "tedlium_23115.wav", "duration": 8.16, "text": "so that means that we are carefully monitoring the development to evaluate potential need for further price increases."}, {"path": "tedlium_23116.wav", "duration": 8.16, "text": "and therefore, the restructuring that is being undertaken just simply isn't sufficient. Because a year ago, we were talking about trending to cash flow break"}, {"path": "tedlium_23117.wav", "duration": 8.16, "text": "we started doing that in part because we couldn't find product in markets or submarkets where we wanted to build out our franchise,"}, {"path": "tedlium_23118.wav", "duration": 8.16, "text": "And just in terms of investment activity over there, what's going on in terms of development or anything on the acquisition side?"}, {"path": "tedlium_23119.wav", "duration": 8.16, "text": "Corporate and Other is not treated as a segment, but includes certain general and administrative costs that are not allocated to either of the reporting segments."}, {"path": "tedlium_23120.wav", "duration": 8.16, "text": "because after all, this is a chronic disease with relapsing and remitting and we wanted to know whether we could not just induce the remission"}, {"path": "tedlium_23121.wav", "duration": 8.16, "text": "Since we don't know the concentration of ligand in the local environment but we know that in some local environments, it can be actually huge,"}, {"path": "tedlium_23122.wav", "duration": 8.16, "text": "We are completing the ADVOCATE trial and preparing to share top line data in the fourth quarter of this coming year."}, {"path": "tedlium_23123.wav", "duration": 8.16, "text": "and supporting new innovation and service offerings, investing in our digital services platform and enhancing our network infrastructure."}, {"path": "tedlium_23124.wav", "duration": 8.16, "text": "those lines go up and down. But we really like that business. We think it's a very safe and strong asset class, and we have some"}, {"path": "tedlium_23125.wav", "duration": 8.16, "text": "fully abstracted and stateful, open and standards-based that allow our customers to move at DevOps speed"}, {"path": "tedlium_23126.wav", "duration": 8.16, "text": "this enlarged facility provides the company with a more streamlined ability to borrow to support our investing and operational activities."}, {"path": "tedlium_23127.wav", "duration": 8.16, "text": "the real story is our results for the 9 months, which indicates that we have now reached a consistent level of sales and profitability."}, {"path": "tedlium_23128.wav", "duration": 8.16, "text": "we believe our strategic investments and the improvements in our operations position us for future growth in a rapidly evolving market."}, {"path": "tedlium_23129.wav", "duration": 8.16, "text": "up from 50% last quarter and giving us increased flexibility in pricing and winning significant strategic partner opportunities."}, {"path": "tedlium_23130.wav", "duration": 8.16, "text": "the executive staff and talk about their mobile strategy and talk about the challenges they face"}, {"path": "tedlium_23131.wav", "duration": 8.16, "text": "but we have indicated there that we have reduced the strike on these swap rates"}, {"path": "tedlium_23132.wav", "duration": 8.16, "text": "and are just getting outstanding responses from consumers for this particular product. They're looking at the product that they bought before,"}, {"path": "tedlium_23133.wav", "duration": 8.16, "text": "was less than what was the other parties that we had used to originally record our revenue."}, {"path": "tedlium_23134.wav", "duration": 8.16, "text": "But we also see improvements in technology, which can also serve to reduce some cost. So"}, {"path": "tedlium_23135.wav", "duration": 8.16, "text": "and reiterate what we believe to be our core attributes and competitive strengths. Butterfield is a full-service bank and trust company,"}, {"path": "tedlium_23136.wav", "duration": 8.16, "text": "Such forward-looking statements are subject to both known and unknown risks and uncertainties that could cause actual results to differ materially from such statements."}, {"path": "tedlium_23137.wav", "duration": 8.16, "text": "We were glad that so many of you could join us by webcast. And what a special moment it was to be joined on stage by Oprah Winfrey."}, {"path": "tedlium_23138.wav", "duration": 8.16, "text": "in this guidance as I saw already here on some comments that put some guidance -- to some drama into this, but we don't really see it. It's more"}, {"path": "tedlium_23139.wav", "duration": 8.16, "text": "We will be more than happy to answer. Thank you very much."}, {"path": "tedlium_23140.wav", "duration": 8.16, "text": "being very accomplishable. I would say that's kind of the plan, ex large transactions, that may allow you to kind of"}, {"path": "tedlium_23141.wav", "duration": 8.16, "text": "the confidence that, over the next years, we could appreciate the same kind of growth we have appreciated"}, {"path": "tedlium_23142.wav", "duration": 8.16, "text": "Management has made all kinds of efforts to reduce the risk profile and increase the profitability of the book."}, {"path": "tedlium_23143.wav", "duration": 8.16, "text": "construction both a bit more expensive and has to take a little bit longer. The other thing that we're seeing in our pipeline is we have"}, {"path": "tedlium_23144.wav", "duration": 8.16, "text": "which allows us to provide a better customer experience while improving productivity and risk management."}, {"path": "tedlium_23145.wav", "duration": 8.16, "text": "So that could mean that they might have some idea that the government -- Chinese government may take some action."}, {"path": "tedlium_23146.wav", "duration": 8.16, "text": "This allows us to prepay our term loan at a faster rate than we would otherwise be able to,"}, {"path": "tedlium_23147.wav", "duration": 8.16, "text": "Many of our clients rated us very, very highly and are essentially promoters of our service. So"}, {"path": "tedlium_23148.wav", "duration": 8.16, "text": "And so we're just looking for the particular client that understands what we're trying to do for them. And so the minimum is not really an issue."}, {"path": "tedlium_23149.wav", "duration": 8.16, "text": "We've had some Stryker issues as we work through some of the supply challenges. But on the positive front, those do appear to be moderating for us."}, {"path": "tedlium_23150.wav", "duration": 8.16, "text": "We have identified numerous utilization management and provider contracting opportunities in Puerto Rico that give us a great deal of confidence in the future."}, {"path": "tedlium_23151.wav", "duration": 8.16, "text": "This is slightly higher than guidance as we accrued for a larger projected annual bonus compensation expense driven by better-than-expected operating income."}, {"path": "tedlium_23152.wav", "duration": 8.16, "text": "So I would start off. I think, certainly, we do have a pretty smart and really nice plan when it comes to promotion."}, {"path": "tedlium_23153.wav", "duration": 8.16, "text": "So those are clearly a couple of areas where we believe we already have expertise, that we have things already in our pipeline"}, {"path": "tedlium_23154.wav", "duration": 8.16, "text": "but we have other activities in process here to build off of that platform. It's just not a standalone product"}, {"path": "tedlium_23155.wav", "duration": 8.16, "text": "yielded threefold improvement in 1 year and doubling of median survival, compared to outcomes with lower levels of circulating antibody."}, {"path": "tedlium_23156.wav", "duration": 8.16, "text": "And we have prioritized a little bit more to the delivery of the modules instead of the delivery of the prototype."}, {"path": "tedlium_23157.wav", "duration": 8.16, "text": "forecast timing, we do not want to forecast what will be the outcome of that decision. This is more safety measure"}, {"path": "tedlium_23158.wav", "duration": 8.16, "text": "Another customer that has kept our plant very busy over the past few months is KESHI with their electric mining vehicle application."}, {"path": "tedlium_23159.wav", "duration": 8.16, "text": "The expectation is that we will start to transition the portfolio late in the fourth quarter and be complete early in the second quarter."}, {"path": "tedlium_23160.wav", "duration": 8.16, "text": "has been when we bought First Federal a number of years ago, they were obviously a thrift, and so there was a lot of 1 to 4 on the balance sheet."}, {"path": "tedlium_23161.wav", "duration": 8.16, "text": "Our estimated range for full year organic revenue growth of 0% to 2% reflects good growth in many of our brands,"}, {"path": "tedlium_23162.wav", "duration": 8.16, "text": "I'd like to start by updating you on the latest developments of the strategic plan that we first introduced on the Q3 earnings call."}, {"path": "tedlium_23163.wav", "duration": 8.16, "text": "as the positive impact provided by acquisitions in colder weather was only partially offset by net customer attrition and other factors."}, {"path": "tedlium_23164.wav", "duration": 8.16, "text": "This will require discipline and increased cooperation between the Fiscal Oversight Board and the local government."}, {"path": "tedlium_23165.wav", "duration": 8.16, "text": "And even more positive perspective is to look at our fundamental operating performance without the effects of acquisitions made in the last year."}, {"path": "tedlium_23166.wav", "duration": 8.16, "text": "So we think that this is something that fits us very well and also something that we can do well with going forward."}, {"path": "tedlium_23167.wav", "duration": 8.16, "text": "And you've got a certain group of clients that are trying to sustain that optionality in the market by awarding the work."}, {"path": "tedlium_23168.wav", "duration": 8.16, "text": "So that's really the only pressure on us. We continue to operate strongly in spite of the unbilled receivables."}, {"path": "tedlium_23169.wav", "duration": 8.16, "text": "and we are working on further initiatives in those areas to enhance our offer and support retailers with their forward and reverse logistics"}, {"path": "tedlium_23170.wav", "duration": 8.16, "text": "And to illustrate the masterplan approach in action, I'd just like to take a few moments to give you an overview of our established plan at Hemel Hempstead and"}, {"path": "tedlium_23171.wav", "duration": 8.16, "text": "if you look at the overall company, the margins are improving. Yes, it's a result of new properties being added to the company."}, {"path": "tedlium_23172.wav", "duration": 8.16, "text": "Our strategy has got to be like we like to -- enjoy sitting next to them on a store. We actually want to sit next to them online."}, {"path": "tedlium_23173.wav", "duration": 8.16, "text": "We have marked some significant milestones since our last call. In addition to renewing the .net registry agreement with ICANN for another 6 years,"}, {"path": "tedlium_23174.wav", "duration": 8.16, "text": "And I will say that from what we've seen over the last quarter in terms of what's happening in the broker channel of"}, {"path": "tedlium_23175.wav", "duration": 8.16, "text": "It crosses the spectrum from acute to chronic. The way that inappetence works is, we like to think of it as a dog can be"}, {"path": "tedlium_23176.wav", "duration": 8.16, "text": "And then I think to that, you added on, what is our appetite or capacity for other transactions and what are we looking for."}, {"path": "tedlium_23177.wav", "duration": 8.16, "text": "The improved sequential earnings were driven by higher yield on the investment portfolio as we benefited from continued portfolio rotation initiatives"}, {"path": "tedlium_23178.wav", "duration": 8.16, "text": "But our goal is to be able to provide good returns in any rate environment and hopefully in any economic environment as well."}, {"path": "tedlium_23179.wav", "duration": 8.16, "text": "we can -- you've seen the list, and I think you can size yourself what you think the market opportunity might be. But again, caution you that"}, {"path": "tedlium_23180.wav", "duration": 8.16, "text": "within the capital budget is different. Then the other thing that -- in our capital budget, and Bill alluded to this earlier, we are testing"}, {"path": "tedlium_23181.wav", "duration": 8.16, "text": "and continue to stay flexible and to learn and to continue to focus on cost reduction."}, {"path": "tedlium_23182.wav", "duration": 8.16, "text": "and beating consensus. Do you guys have any sense or have you heard anything as to what people are concerned about with respect to the share price?"}, {"path": "tedlium_23183.wav", "duration": 8.16, "text": "Interest rates remain low, and despite strong home price growth in recent years, home prices remain relatively affordable."}, {"path": "tedlium_23184.wav", "duration": 8.16, "text": "or in all, is delivered through an IT system or digital platform. So there's no success for us without success in the world of technology."}, {"path": "tedlium_23185.wav", "duration": 8.16, "text": "in terms of what they'll be analyzing? And then if you could also maybe just update us on cash burn? It seems like things kind of came in pretty much in line with what"}, {"path": "tedlium_23186.wav", "duration": 8.16, "text": "anything increasing in terms of costs. And so, yes, I think that you should assume that it should be in the"}, {"path": "tedlium_23187.wav", "duration": 8.16, "text": "just a couple of weeks ago, I was with the CEO of one of the largest insurance companies in the world, and we're having a conversation about changing their business model and transformation"}, {"path": "tedlium_23188.wav", "duration": 8.16, "text": "We will further evaluate the allocation of these incremental funds and our available capital as we move forward and provide additional guidance in the future."}, {"path": "tedlium_23189.wav", "duration": 8.16, "text": "As the Department of Justice continues to receive these additional resources, most expect case volumes will return to normal levels."}, {"path": "tedlium_23190.wav", "duration": 8.16, "text": "that we know is going to generate a very nice return to get the ball started for us in our Chinese partners than it is just to"}, {"path": "tedlium_23191.wav", "duration": 8.16, "text": "That opportunity has passed as we have earned enough infrastructure-related business to make delivery on any new pellet plant order not possible"}, {"path": "tedlium_23192.wav", "duration": 8.16, "text": "While certain contingencies remain, as of this time, we do not believe there are any further material costs associated with the exit of these operations."}, {"path": "tedlium_23193.wav", "duration": 8.16, "text": "Thank you, operator. The second quarter presented some encouraging signs for Powell by way of increased bookings. As we enter into the second half of this year,"}, {"path": "tedlium_23194.wav", "duration": 8.16, "text": "Yes, we didn't, but it's not -- as we said earlier, the first use of cash will always be to pay down debt."}, {"path": "tedlium_23195.wav", "duration": 8.16, "text": "Additional information concerning factors that could cause actual results to differ materially from those discussed during today's conference call or in this morning's press release,"}, {"path": "tedlium_23196.wav", "duration": 8.16, "text": "I think that's primarily related to construction cycles maybe gapping out a little bit in the second half of last year. So"}, {"path": "tedlium_23197.wav", "duration": 8.16, "text": "The company undertakes no obligation to update or make any forward-looking statements, whether as a result of new information, future events or otherwise."}, {"path": "tedlium_23198.wav", "duration": 8.16, "text": "The market has also been subject to a consolidation. We have seen a number of our"}, {"path": "tedlium_23199.wav", "duration": 8.16, "text": "at the moment at the second time to enter into a segment which was not part"}, {"path": "tedlium_23200.wav", "duration": 8.16, "text": "to target additional lines of business and achieve growth and to diversify our business over time."}, {"path": "tedlium_23201.wav", "duration": 8.16, "text": "triple that capability by further build-out of San Antonio. That becomes not very cost prohibitive"}, {"path": "tedlium_23202.wav", "duration": 8.16, "text": "it's not beyond me to ask the team to continue to repeat an unfair performance, but I think it would be probably unlikely that they would continue to have"}, {"path": "tedlium_23203.wav", "duration": 8.16, "text": "The positive news is that there has been industry capacity coming out of the liquid tank space, and we are well positioned to take advantage of stronger future demand."}, {"path": "tedlium_23204.wav", "duration": 8.16, "text": "History suggests the turkey industry will balance supply and demand and market conditions will improve in the coming months."}, {"path": "tedlium_23205.wav", "duration": 8.16, "text": "a heavy social media presence, an active voice and a focus on local events, in additional local markets."}, {"path": "tedlium_23206.wav", "duration": 8.16, "text": "which include but are not limited to statements with respect to the estimation of mineral reserves and resources,"}, {"path": "tedlium_23207.wav", "duration": 8.16, "text": "This slide shows only our defaulted loan book and excludes performing loans classified as such post-default."}, {"path": "tedlium_23208.wav", "duration": 8.16, "text": "But look, at the end of the day, I suppose over the years, whether it's our current competitors or all those that have come and gone"}, {"path": "tedlium_23209.wav", "duration": 8.16, "text": "we also see a trend where we have a lot of these smaller games that we're able to bring to market and really bring some new people into."}, {"path": "tedlium_23210.wav", "duration": 8.16, "text": "So what's been filed is the stipulation for the entry of an order with a proposed order attached, but the court has not yet entered the order officially."}, {"path": "tedlium_23211.wav", "duration": 8.16, "text": "And then in the way you termed it at the beginning of the call, you said that we're choosing no longer to pursue Yingde at this time."}, {"path": "tedlium_23212.wav", "duration": 8.16, "text": "The consistency of the performance we are delivering and the momentum we have in all 4 measures of our progress"}, {"path": "tedlium_23213.wav", "duration": 8.16, "text": "We are paying severance under our restructuring, and with our negative working capital cycle, we do have to fund as we exit countries and shrink goods."}, {"path": "tedlium_23214.wav", "duration": 8.16, "text": "how sustainable is your ability to continually drive productivity in that regard looking forward?"}, {"path": "tedlium_23215.wav", "duration": 8.16, "text": "So we are early in that process. And we've already started to see the cost take outs. So you can take the combination of the rail increases"}, {"path": "tedlium_23216.wav", "duration": 8.16, "text": "competitor. And not just them though, but there is some other asset base players, which are being more aggressive in the market. So I would say that"}, {"path": "tedlium_23217.wav", "duration": 8.16, "text": "volume target for any particular country. It's about where can we sell that meat for the highest possible value, and that's where we try to take it."}, {"path": "tedlium_23218.wav", "duration": 8.16, "text": "and fixed assets. And that would be, for us, a really good indicator and a really good opportunity to prove those out for you and for ourselves. So"}, {"path": "tedlium_23219.wav", "duration": 8.16, "text": "It's important to remember that our capital adequacy requirements are measured on the basis of Russian accounting standards"}, {"path": "tedlium_23220.wav", "duration": 8.16, "text": "I was wondering if you can provide more color on where you saw increased competition and help us somehow quantify the impact due to that."}, {"path": "tedlium_23221.wav", "duration": 8.16, "text": "we don't have a paucity of agents to develop. We'd like to have a partnering deal. So we have the resources to proceed"}, {"path": "tedlium_23222.wav", "duration": 8.16, "text": "that we could not issue any more stock and stay within our stated comfort range for our debt metrics."}, {"path": "tedlium_23223.wav", "duration": 8.16, "text": "it seems that Wall Street is having trouble understanding that just because you've got hospital attached and therefore a high per diem,"}, {"path": "tedlium_23224.wav", "duration": 8.16, "text": "cost structure in terms of developing these types of projects, in terms of cost inflation, in terms of how we can think about the potential cost of the project?"}, {"path": "tedlium_23225.wav", "duration": 8.16, "text": "but I'm sure that all our customers are continuing to kind of work through their budgets and look at their plans and opportunities. And the IOCs have,"}, {"path": "tedlium_23226.wav", "duration": 8.16, "text": "Our groundbreaking work with individuals with serious mental illness in Florida continues to generate interest from other states."}, {"path": "tedlium_23227.wav", "duration": 8.16, "text": "This decrease is mainly due to the impact of contract terminations and net unfavorable year-over-year medical claims development."}, {"path": "tedlium_23228.wav", "duration": 8.16, "text": "and we believe the organization weathered the challenges well. We feel constructive about the performance of both our businesses,"}, {"path": "tedlium_23229.wav", "duration": 8.16, "text": "including recent innovation within Orpak automation offering, led to a number of large tender wins during the quarter."}, {"path": "tedlium_23230.wav", "duration": 8.16, "text": "the value proposition, the longevity, durability, reliability of the products that they may be investing in,"}, {"path": "tedlium_23231.wav", "duration": 8.16, "text": "Norway was plus 7,000. Again, we had better uptime and well performance, but also some increased gas offtake in the summer."}, {"path": "tedlium_23232.wav", "duration": 8.16, "text": "It's important to note that we are not saying this is the 24-hour IP for this well, as peak production has not yet been established."}, {"path": "tedlium_23233.wav", "duration": 8.16, "text": "is -- we were one of the first companies to actually look at the climate change resilience of our"}, {"path": "tedlium_23234.wav", "duration": 8.16, "text": "Finally, I did want to brief you on the fact that we are working on a new -- on a number of new additional molecules"}, {"path": "tedlium_23235.wav", "duration": 8.16, "text": "Longer term, there's probably 2 key areas that we're going to have outsize emphasis, one I just talked about in terms of"}, {"path": "tedlium_23236.wav", "duration": 8.16, "text": "There are certain things that take time. I don't see any major inhibiting factor."}, {"path": "tedlium_23237.wav", "duration": 8.16, "text": "How much we improve in fiscal 2018 will depend on the collective efforts of our internal operations, coupled with our supply chain."}, {"path": "tedlium_23238.wav", "duration": 8.16, "text": "on the cost curve that you would then look to implement in CRB take the form more in terms of trying to find lower-cost"}, {"path": "tedlium_23239.wav", "duration": 8.16, "text": "We continue to be a best-in-class asset manager, built to handle both the opportunities and adversities that inevitably arise from time to time."}, {"path": "tedlium_23240.wav", "duration": 8.16, "text": "Throughout the year, we used the strong demand for private assets to largely complete the rotation of the acquired American Capital portfolio,"}, {"path": "tedlium_23241.wav", "duration": 8.16, "text": "we weren't getting commensurate leverage on that. The model was losing productivity and effectiveness for a lot of the reasons I mentioned, changes that happened"}, {"path": "tedlium_23242.wav", "duration": 8.16, "text": "Well, we compete market by market, and we're going to be competitive in every market we're in, as David said, looking to provide the value on the ground"}, {"path": "tedlium_23243.wav", "duration": 8.16, "text": "What assurance can you give that savings will be sustainable? And what is your new pretax margin target? And before answering,"}, {"path": "tedlium_23244.wav", "duration": 8.16, "text": "And I think you saw in my prepared remarks, I gave you a sense of what we expect to do in terms of expenses for the year"}, {"path": "tedlium_23245.wav", "duration": 8.16, "text": "risk costs and what you feel the trends are going to be in the second quarter in terms of"}, {"path": "tedlium_23246.wav", "duration": 8.16, "text": "We are making good progress in delivering the plan we announced on the 1st of March, and the diversification benefit to the group is showing through."}, {"path": "tedlium_23247.wav", "duration": 8.16, "text": "and uncertainties, some of which cannot be predicted or quantified. The company's actual results and timing of certain events could"}, {"path": "tedlium_23248.wav", "duration": 8.16, "text": "Gray turned in another quarter as we continue to build a larger, more diversified pure-play"}, {"path": "tedlium_23249.wav", "duration": 8.16, "text": "And what's fun is that we're doing it off of pretty low rents, so we're able to do it and make money in the process. So"}, {"path": "tedlium_23250.wav", "duration": 8.16, "text": "to meet the needs of your tenants. And if you look at the market share that we're capturing at the new store openings, I think it shows you"}, {"path": "tedlium_23251.wav", "duration": 8.16, "text": "The second question, why during the first quarter we have had a drop above in hydro production"}, {"path": "tedlium_23252.wav", "duration": 8.16, "text": "every 6 to 8 weeks for all of our existing and future customers. Our phones themselves basically do what the platform tells it to do,"}, {"path": "tedlium_23253.wav", "duration": 8.16, "text": "the new phone introduction cycle? Isn't that something that sort of happens on an annual basis or could you just speak to that a little bit?"}, {"path": "tedlium_23254.wav", "duration": 8.16, "text": "Great question. From what we see right now, we think the price pressure is upon us based on those capacities. I don't think we see any"}, {"path": "tedlium_23255.wav", "duration": 8.16, "text": "It was set 2 weeks ahead of schedule. Once complete, the MEG project will be the largest ethylene glycol plant in the world."}, {"path": "tedlium_23256.wav", "duration": 8.16, "text": "Now turning to our key enablers. The execution within our next 2 pillars is critical to the achievement of our aspirations."}, {"path": "tedlium_23257.wav", "duration": 8.16, "text": "So all in all, a fairly simple quarter to explain when it comes to the finances."}, {"path": "tedlium_23258.wav", "duration": 8.16, "text": "as well as the sale of certain interests we had obtained in connection with the Detroit bankruptcy. These efforts are ongoing."}, {"path": "tedlium_23259.wav", "duration": 8.16, "text": "and the increased costs associated with implementing the recommendations of the agreement. I would expect the efficiency ratio to stay generally in this range."}, {"path": "tedlium_23260.wav", "duration": 8.16, "text": "a quick run through the highlights, which are shown on this slide, and Christine will unpack them more in her presentation."}, {"path": "tedlium_23261.wav", "duration": 8.16, "text": "some of its August 2018 and summer 2019 length in the spring when the forward curve ran up and was higher than our fundamental point of view."}, {"path": "tedlium_23262.wav", "duration": 8.16, "text": "with the European affiliates taking place first. We think the revenue opportunity there is very good."}, {"path": "tedlium_23263.wav", "duration": 8.16, "text": "Our targeted initiatives to develop a stronger footprint internationally are especially focused in the coin business in Asia."}, {"path": "tedlium_23264.wav", "duration": 8.13, "text": "The answer is because it fits perfectly within our strategic plan. Last week, we announced we had entered into an asset purchase agreement"}, {"path": "tedlium_23265.wav", "duration": 8.13, "text": "Here with me today are Ron Havner and John Reyes. Before we begin, I want to remind those on the call that all statements other than statements"}, {"path": "tedlium_23266.wav", "duration": 8.13, "text": "My interpretation is what they announced leads me to believe that there might've been a bad actor that made a bad transaction to the bad guys,"}, {"path": "tedlium_23267.wav", "duration": 8.13, "text": "either orders, or 3 customers that you have that have given you production-type orders. Would you clarify what you mean by that?"}, {"path": "tedlium_23268.wav", "duration": 8.13, "text": "So it's been a busy 15 months, I think it's fair to say. In my time here, we've been preparing for increased domestic competition"}, {"path": "tedlium_23269.wav", "duration": 8.13, "text": "We're actively pursuing opportunities to grow our warehouse lending business for new warehouse lines and request for existing customers to upsize their current lines."}, {"path": "tedlium_23270.wav", "duration": 8.13, "text": "This also has the added benefit to lead to decreased workers' compensation expense and insurance based on incidents."}, {"path": "tedlium_23271.wav", "duration": 8.13, "text": "the chain stores that have a nationwide presence, when those type of merchants increase the amount of"}, {"path": "tedlium_23272.wav", "duration": 8.13, "text": "that is why it was quite dramatic. But in terms of the second campaign, we want"}, {"path": "tedlium_23273.wav", "duration": 8.13, "text": "customer we lost on its international business, which is a big revenue hit, but not on margin, and that's"}, {"path": "tedlium_23274.wav", "duration": 8.13, "text": "And therefore, I think this sense of urgency to address that element, considering the impact and considering the size of the company,"}, {"path": "tedlium_23275.wav", "duration": 8.13, "text": "Now moving on to ETE. I'll begin with ETE's fourth quarter results, followed by a liquidity and financing update."}, {"path": "tedlium_23276.wav", "duration": 8.13, "text": "Living a normal life was not a consideration and many patients have referred to this time as the dark years."}, {"path": "tedlium_23277.wav", "duration": 8.13, "text": "it's going to be a transition year. And so I think until we see how some of these things play out with"}, {"path": "tedlium_23278.wav", "duration": 8.13, "text": "with the West Coast terminals' audited financial statements that we filed in relation to the acquisition in February of this year."}, {"path": "tedlium_23279.wav", "duration": 8.13, "text": "EV. So like Ray said, the backlog is very strong in these areas. We've had a lot of success in all the regions"}, {"path": "tedlium_23280.wav", "duration": 8.13, "text": "is, as I said earlier, a building of capability for the long term and an improvement in ambition."}, {"path": "tedlium_23281.wav", "duration": 8.13, "text": "and so I am being very thoughtful and diligent here. Interest is very high for this position,"}, {"path": "tedlium_23282.wav", "duration": 8.13, "text": "Can you -- I'm not sure we understand the question. Do you mind just saying it one more time? With regard to retentions specifically, I'm not sure what you're referring to."}, {"path": "tedlium_23283.wav", "duration": 8.13, "text": "As I understood from the previous call, the third quarter was going to be quite a step up from the second quarter, but we didn't quite see that."}, {"path": "tedlium_23284.wav", "duration": 8.13, "text": "We continue to have strong engagement by clients across all segments of the media sector, many of whom participate in our ongoing client advisory boards."}, {"path": "tedlium_23285.wav", "duration": 8.13, "text": "to unlock the value, to unleash the value of big datasets across our Total Audience Measurement framework, both the digital datasets and"}, {"path": "tedlium_23286.wav", "duration": 8.13, "text": "This had the impact of both improving client service through better turnaround time and reducing our overall costs."}, {"path": "tedlium_23287.wav", "duration": 8.13, "text": "This safe harbor language applies to the presentation and all comments to be made today. I would also like to mention that"}, {"path": "tedlium_23288.wav", "duration": 8.13, "text": "in March 2015 with an agreement with a regional marketer to export our crude by a truck to international markets."}, {"path": "tedlium_23289.wav", "duration": 8.13, "text": "or we end up being the lead sponsor on the projects. We made a strong commitment to ourselves that we're not going to take"}, {"path": "tedlium_23290.wav", "duration": 8.13, "text": "private funds business. And if you think about the evolution of the private equity and leveraged finance markets that we largely participate in,"}, {"path": "tedlium_23291.wav", "duration": 8.13, "text": "for us, i.e., we have to have a view that we can add value to the business, in the way that we did in some of our prior acquisitions by"}, {"path": "tedlium_23292.wav", "duration": 8.13, "text": "The impact of this event, in terms of timing cannot be quantified at this time, but we will provide further updates as they become known."}, {"path": "tedlium_23293.wav", "duration": 8.13, "text": "Our backlog is healthy to start the second quarter, and order activity in industrial products continues to provide a sense of optimism."}, {"path": "tedlium_23294.wav", "duration": 8.13, "text": "the old factors that created the old situations are no longer with us."}, {"path": "tedlium_23295.wav", "duration": 8.13, "text": "Currently, lung transplantation is the only option for patients who are not responsive to current medical therapy."}, {"path": "tedlium_23296.wav", "duration": 8.13, "text": "We continue to move forward, and there are several topics to cover related to our asset management business and holding company initiatives."}, {"path": "tedlium_23297.wav", "duration": 8.13, "text": "is in line with what is typical for the market. So the kind of profit margin on the proceeds"}, {"path": "tedlium_23298.wav", "duration": 8.13, "text": "what are your assumptions around competition in guidance for '17 on both the liquid and powder? And then I have a quick follow-up."}, {"path": "tedlium_23299.wav", "duration": 8.13, "text": "Europe and international is probably a year or 2 behind in terms of the overall adoption of"}, {"path": "tedlium_23300.wav", "duration": 8.13, "text": "that are a key part of our success with Galafold and also laid the foundation for our future growth. And I think it also reflects the essence"}, {"path": "tedlium_23301.wav", "duration": 8.13, "text": "AT-GAA to have a pretty profound effect on their function and we saw that, also in the motor function of course in the 6-minute walk increasing in both groups. So"}, {"path": "tedlium_23302.wav", "duration": 8.13, "text": "Mobile continues to be the main source of traffic to the site, and our investment in web development continues to reflect this."}, {"path": "tedlium_23303.wav", "duration": 8.13, "text": "The models proved to be a big hit with accumulated orders totaling 27,000 units in the first month following the launch."}, {"path": "tedlium_23304.wav", "duration": 8.13, "text": "I commented that our intention was to capitalize on the momentum created by our operating and financial results."}, {"path": "tedlium_23305.wav", "duration": 8.13, "text": "tremendous balance across all of the device types versus really just being more foundry-focused. Then what I would say going forward"}, {"path": "tedlium_23306.wav", "duration": 8.13, "text": "Yes. I think it probably is a point of emphasis that has grown over the last 5 years."}, {"path": "tedlium_23307.wav", "duration": 8.13, "text": "While this is a time for our team to have some pride in signs of positive progress, we still see significant opportunity in each of our businesses."}, {"path": "tedlium_23308.wav", "duration": 8.13, "text": "or 0.5 of 1 percentage point of sales. As we continue to build out our sales force to accelerate growth in the markets,"}, {"path": "tedlium_23309.wav", "duration": 8.13, "text": "Our new facilities will initially manufacture disposable products then progress to chemical suits and on to more complex product lines."}, {"path": "tedlium_23310.wav", "duration": 8.13, "text": "But until that happens, we sought an alternative means to fund our growth capital needs without needing to issue shares in the common equity market"}, {"path": "tedlium_23311.wav", "duration": 8.13, "text": "British Columbia, the Midwest and New York and also due to the timing of when new projects will begin to burn revenue of any significance."}, {"path": "tedlium_23312.wav", "duration": 8.13, "text": "This collaboration to extend our GalXC RNAi technologies to tissues beyond the liver will be a joint research effort"}, {"path": "tedlium_23313.wav", "duration": 8.13, "text": "We remain confident in our future cash flow generation and the ability to both sustain and grow our dividend over time."}, {"path": "tedlium_23314.wav", "duration": 8.13, "text": "Although a negative for current profits, we regard the spending as an investment in Morinaga's future."}, {"path": "tedlium_23315.wav", "duration": 8.13, "text": "basically now in front of the bankruptcy? Clearly, are you going to be -- would you take precedence over bankruptcy payments"}, {"path": "tedlium_23316.wav", "duration": 8.13, "text": "As I've interacted with our clients, I continue to believe we have more opportunity to partner with our clients across the many services we offer."}, {"path": "tedlium_23317.wav", "duration": 8.13, "text": "This increase was due to a number of factors, including favorable product mix and strength in overall product margins."}, {"path": "tedlium_23318.wav", "duration": 8.13, "text": "Actual results may differ materially from expected results and reported results should not be considered as an indication of future performance."}, {"path": "tedlium_23319.wav", "duration": 8.13, "text": "although we saw a couple of things in late in the quarter that -- but this is not material type stuff right now in terms of"}, {"path": "tedlium_23320.wav", "duration": 8.13, "text": "In the assisted business, we outpaced the industry in the first half on the strength of our promotions and improved execution."}, {"path": "tedlium_23321.wav", "duration": 8.13, "text": "world-class investment company that's well placed to deal with the disruptive forces reshaping the industry."}, {"path": "tedlium_23322.wav", "duration": 8.13, "text": "Our regulatory capital ratios on Slide 11 are above the regulatory definition of well capitalized and our internal targets."}, {"path": "tedlium_23323.wav", "duration": 8.13, "text": "Although earnings were negative for the quarter, we continue to see positive economic growth in our regions and to experience growth in the number of customers served."}, {"path": "tedlium_23324.wav", "duration": 8.13, "text": "And then our Swan Valley plant that we converted in 2015, it did not run at full capacity"}, {"path": "tedlium_23325.wav", "duration": 8.13, "text": "and our growing roster of referenceable accounts will allow us to continue to penetrate this largely greenfield segment."}, {"path": "tedlium_23326.wav", "duration": 8.13, "text": "Before I turn the call over to management for remarks, I would like to remind you that we may make some forward-looking statements during the course of this call."}, {"path": "tedlium_23327.wav", "duration": 8.13, "text": "Our Colorado resorts continue to deliver outstanding results with growth in visitation and revenue above our record prior year."}, {"path": "tedlium_23328.wav", "duration": 8.13, "text": "was impacted by both sales mix, given the strong comp in grocery, and our promotion and pricing initiatives."}, {"path": "tedlium_23329.wav", "duration": 8.13, "text": "good expected developments, but we cannot expect that every year you will get exactly same. And that's why,"}, {"path": "tedlium_23330.wav", "duration": 8.13, "text": "meaning these borrowers could lower their mortgage rate a half of a percentage point or more by refinancing."}, {"path": "tedlium_23331.wav", "duration": 8.13, "text": "We will evaluate opportunities to put this capital to work, to improve profitability and generate strong returns for our shareholders."}, {"path": "tedlium_23332.wav", "duration": 8.13, "text": "system of record, of course, which is kind of where Salesforce started. I would say that we probably have the strongest system of record experience"}, {"path": "tedlium_23333.wav", "duration": 8.13, "text": "We are also actively managing our capital so that we can provide a good return to our shareholders while planning for longer-term growth."}, {"path": "tedlium_23334.wav", "duration": 8.13, "text": "The delivery opportunity has enabled a different yet not unusual competitive retail environment in China."}, {"path": "tedlium_23335.wav", "duration": 8.13, "text": "First, we will work to educate physicians and create greater urgency for them to treat appropriate uncontrolled gout patients."}, {"path": "tedlium_23336.wav", "duration": 8.13, "text": "As we balance our investment to match the adjusted timing of program ramps, we are maintaining a tight rein on labor management."}, {"path": "tedlium_23337.wav", "duration": 8.13, "text": "The business is less and less sensitive at the bottom line, even though we may have times where there's difficulties at the top line."}, {"path": "tedlium_23338.wav", "duration": 8.13, "text": "The third area of focus is to leverage our proven success in the transportation independent contractor space"}, {"path": "tedlium_23339.wav", "duration": 8.13, "text": "Our ongoing cash flow from operations continued to enable us to deploy cash to advance our strategic blueprint."}, {"path": "tedlium_23340.wav", "duration": 8.13, "text": "And Wyndham Vacation Ownership had a great operational quarter, as we saw the benefits of various initiatives, new sales processes,"}, {"path": "tedlium_23341.wav", "duration": 8.13, "text": "reflecting the actions we took to maximize value and the enhanced visibility we have on this segment."}, {"path": "tedlium_23342.wav", "duration": 8.13, "text": "This rapid adoption of Vonage Business Cloud is the result of significant investments in functionality,"}, {"path": "tedlium_23343.wav", "duration": 8.13, "text": "Brazil remains challenging due to continued economic weakness. Our chocolate business delivered a third consecutive quarter of growth"}, {"path": "tedlium_23344.wav", "duration": 8.13, "text": "This platform was affected by lower sales compounded by operational challenges, resulting from supplier issues,"}, {"path": "tedlium_23345.wav", "duration": 8.13, "text": "as well as positive impacts from the refinements in our risk management strategy for product guarantees that we implemented last year."}, {"path": "tedlium_23346.wav", "duration": 8.13, "text": "that this is a business that has had 14 consecutive years of positive net flows from institutional clients."}, {"path": "tedlium_23347.wav", "duration": 8.13, "text": "I want to acknowledge the strong partnership and team based approach that we have established with the best organization in Wisconsin."}, {"path": "tedlium_23348.wav", "duration": 8.13, "text": "And I think that's as much a driver as Win 10, relative to what's going on with the notebook world"}, {"path": "tedlium_23349.wav", "duration": 8.13, "text": "And I think -- look, I don't know that we're in any particular inning. I will tell you, if you think about just"}, {"path": "tedlium_23350.wav", "duration": 8.13, "text": "So we may have already seen the bottom for these markets and as exhibited by our strong financial results, have managed through it quite well."}, {"path": "tedlium_23351.wav", "duration": 8.13, "text": "As a reminder, we will annualize the divestiture of Diamond Crystal Brands early in the third quarter."}, {"path": "tedlium_23352.wav", "duration": 8.13, "text": "solid our business is and how strong that balance is. But I mean, we do believe that we'll get through this"}, {"path": "tedlium_23353.wav", "duration": 8.13, "text": "The Canadian dollar was flat to our assumption for our budgets. The Brazil real was well below our budget. The Argentine peso was slightly below"}, {"path": "tedlium_23354.wav", "duration": 8.13, "text": "While our first quarter is being impacted by an inventory correction in smartphones, we expect this to largely be behind us by the end of the quarter"}, {"path": "tedlium_23355.wav", "duration": 8.13, "text": "As we continue to align with our most important partner, we are transitioning the core of our business to be focused on entertainment first,"}, {"path": "tedlium_23356.wav", "duration": 8.13, "text": "On the video game side, we set records with our Switch launch around the world, returning vibrancy to the physical video game category."}, {"path": "tedlium_23357.wav", "duration": 8.13, "text": "So the capital risk will be with our manufacturing partner in that scenario. But obviously,"}, {"path": "tedlium_23358.wav", "duration": 8.13, "text": "But we listened to the customers. I think we're doing the right thing. We're spending a lot more money than we had originally planned,"}, {"path": "tedlium_23359.wav", "duration": 8.13, "text": "for the full procedure. So all-in, it's going to take at least 90 days to get them certified just because of the duration of the sensor."}, {"path": "tedlium_23360.wav", "duration": 8.13, "text": "With respect to our operating plan for 2017, I'd like to share with you a few of our key priorities. First,"}, {"path": "tedlium_23361.wav", "duration": 8.13, "text": "We are utilizing these insights to participate in the right occasions with the right brands at the right price."}, {"path": "tedlium_23362.wav", "duration": 8.13, "text": "That said, one piece of the customer experience in which we made fast gains is in customer service, where we'll continue to increase our investment."}, {"path": "tedlium_23363.wav", "duration": 8.13, "text": "I guess you could say we and the rest of the industry have gotten pretty comfortable working in an industry where rates don't do very much."}, {"path": "tedlium_23364.wav", "duration": 8.13, "text": "And most important, we have talented and dedicated employees all over the world who are committed to helping our clients and our company achieve greatness."}, {"path": "tedlium_23365.wav", "duration": 8.13, "text": "In the first half, because of lowered raw material prices and seasonal factors,"}, {"path": "tedlium_23366.wav", "duration": 8.13, "text": "Our product mix improved gradually with continuous increase on a proportion of new products."}, {"path": "tedlium_23367.wav", "duration": 8.13, "text": "We are running our fall campaigns, and now we're in the middle of our best selling season. And we are targeting up to 1 million RGU additions for the full year."}, {"path": "tedlium_23368.wav", "duration": 8.13, "text": "an adjustment to our purchase price of AirSep shares and as such is not currently taxable, which contributed to the lower rate."}, {"path": "tedlium_23369.wav", "duration": 8.13, "text": "That's the area we're targeting. A next big area is also bed skirts and bed wraps"}, {"path": "tedlium_23370.wav", "duration": 8.13, "text": "nuanced different drivers that affect the mattress pads and protectors versus the mattress fabrics, it would be helpful."}, {"path": "tedlium_23371.wav", "duration": 8.13, "text": "or out of our North Carolina for customers that want a quicker delivery time but a little higher cost."}, {"path": "tedlium_23372.wav", "duration": 8.13, "text": "Thank you. Before we begin, I need to read the following safe harbor statement. Statements or comments made on this conference call may be forward-looking statements"}, {"path": "tedlium_23373.wav", "duration": 8.13, "text": "This is the second straight quarter that Riviera has beat guidance on adjusted EBITDAX, production and capital spending."}, {"path": "tedlium_23374.wav", "duration": 8.13, "text": "but certainly we want to be fair to both the company and the supplier. The combination of those 2 certainly has had an impact"}, {"path": "tedlium_23375.wav", "duration": 8.13, "text": "comprise of special assets who would purely focus on collections and would not be doing any lending. And there was a Micro Banking, which continued business as usual."}, {"path": "tedlium_23376.wav", "duration": 8.13, "text": "China truck sales have declined on average, and we anticipate calendar year to run about 25% of last year peak level."}, {"path": "tedlium_23377.wav", "duration": 8.13, "text": "So while we continue to see net inflation headwinds, we believe this is temporary in nature as more pricing is expected to layer in over time."}, {"path": "tedlium_23378.wav", "duration": 8.13, "text": "However, I'm pleased to share that we have largely addressed these issues and are confident that we will fully overcome these headwinds in the second half of the fiscal year."}, {"path": "tedlium_23379.wav", "duration": 8.13, "text": "The method change resulted in additional tax deduction for the examination years instead of a deferral of such deductions in later years."}, {"path": "tedlium_23380.wav", "duration": 8.13, "text": "we sold quite a few assets at the end of the fourth quarter. Obviously, that NOI would be included in the fourth quarter run rate. Happy to help you there. And then the last thing is,"}, {"path": "tedlium_23381.wav", "duration": 8.13, "text": "We have again included some presentation materials to go along with today's call that are also accessible on our website."}, {"path": "tedlium_23382.wav", "duration": 8.13, "text": "We have an operational center that we set up in Singapore in order to provide the customers all the support they need."}, {"path": "tedlium_23383.wav", "duration": 8.13, "text": "It's also been a time of change. I think we talked about this last time. We see some of our major customers, some of the leading"}, {"path": "tedlium_23384.wav", "duration": 8.13, "text": "as we said, we lifted our grain storage and sold our grain storage and lifted our piles that we have. You know that we have made a significant investment"}, {"path": "tedlium_23385.wav", "duration": 8.13, "text": "are making to customers. So we're just not selling out certain slots during certain part of the year to anticipate that."}, {"path": "tedlium_23386.wav", "duration": 8.13, "text": "When you get into the sort of second half of Conagra, that's really the first half of what"}, {"path": "tedlium_23387.wav", "duration": 8.13, "text": "very strong value proposition to encourage our customers to upgrade to the latest technology."}, {"path": "tedlium_23388.wav", "duration": 8.13, "text": "This awareness makes ServiceNow even more relevant and more strategic to our customers and we're excited by this large opportunity."}, {"path": "tedlium_23389.wav", "duration": 8.13, "text": "The storms did have an impact as the East Coast was essentially shut down for 3 days, and we are now in the process of recovering."}, {"path": "tedlium_23390.wav", "duration": 8.13, "text": "It's important to note that the impacts of the rate case will be recognized for financial reporting purposes after a resolution is reached."}, {"path": "tedlium_23391.wav", "duration": 8.13, "text": "okay? Everything we do, we challenge whether we're doing it the best way. And we constantly look for best practices across our utilities"}, {"path": "tedlium_23392.wav", "duration": 8.13, "text": "productivity focus and cash generation will allow us to continue to invest in value-enhancing growth opportunities."}, {"path": "tedlium_23393.wav", "duration": 8.13, "text": "Our lease rental revenue guidance reflects asset sales completed during the third quarter as well as additional dispositions we expect to complete by year-end,"}, {"path": "tedlium_23394.wav", "duration": 8.13, "text": "We also made a decision to terminate a number of development projects in student accommodation and retirement living. These were"}, {"path": "tedlium_23395.wav", "duration": 8.13, "text": "Today, we have one of the best positions in the STACK, both in terms of our infrastructure, and diverse and active customer base."}, {"path": "tedlium_23396.wav", "duration": 8.13, "text": "who are increasingly challenged to outperform their peers and, consequently, face lower volumes and thinner fees themselves."}, {"path": "tedlium_23397.wav", "duration": 8.13, "text": "investing in core franchises and launching new products that we expect to be the foundation of our future growth."}, {"path": "tedlium_23398.wav", "duration": 8.13, "text": "For the completion and remedial segment revenue splits, it should be noted that we made slight adjustments to the service line percentages"}, {"path": "tedlium_23399.wav", "duration": 8.13, "text": "These large rig packages are important because they reflect the underlying strength of the current workover and completion market."}, {"path": "tedlium_23400.wav", "duration": 8.13, "text": "that's always a good place to be. Our balance sheet is in a good position, and having refinanced, we've got a lot of runway."}, {"path": "tedlium_23401.wav", "duration": 8.13, "text": "This is a quirk of accounting standards, so for your benefit, we've calculated a pro forma continuing EPS for this year."}, {"path": "tedlium_23402.wav", "duration": 8.13, "text": "I am pleased to report that the steel quality and paint production issues have been corrected, and production is flowing normally."}, {"path": "tedlium_23403.wav", "duration": 8.13, "text": "contracted obligated revenue that is not recognized yet. So when we talk about increasing our backlog by"}, {"path": "tedlium_23404.wav", "duration": 8.13, "text": "And on the upstream side, you guys would like to see maybe a little bit more clarity in the market before."}, {"path": "tedlium_23405.wav", "duration": 8.13, "text": "overall kind of trajectory when we get there. But I think that's kind of where -- we would like to get to that level. As you remember,"}, {"path": "tedlium_23406.wav", "duration": 8.13, "text": "comfortable. We did a strategic study that we talked about a couple of years ago, which gave us a range of"}, {"path": "tedlium_23407.wav", "duration": 8.13, "text": "so we expect this will be a very smooth implementation with minimal impact to existing territories."}, {"path": "tedlium_23408.wav", "duration": 8.13, "text": "And competitive pressures particularly from competitors in Asia have intensified, and we expect this will continue to the back half of the year."}, {"path": "tedlium_23409.wav", "duration": 8.13, "text": "we get to know what they want and we're able to curate the assortments within the applicable banners that the customer will want. So"}, {"path": "tedlium_23410.wav", "duration": 8.13, "text": "Our ongoing investment in machine learning and our commitment to improving efficiency for advertisers is paying off."}, {"path": "tedlium_23411.wav", "duration": 8.13, "text": "This represents very strong underlying demand combined with some natural inventory build as the launch ramps."}, {"path": "tedlium_23412.wav", "duration": 8.13, "text": "Our Pro customers felt that our pricing strategy was undermining their ability to do business with us on a profitable basis"}, {"path": "tedlium_23413.wav", "duration": 8.13, "text": "supply chain challenges as much as sort of anybody else has as well if everybody's been ramping up to the higher levels of activity."}, {"path": "tedlium_23414.wav", "duration": 8.13, "text": "health savings account that's going to bring in multiple hundreds of millions of dollars. We will look to expand, certainly,"}, {"path": "tedlium_23415.wav", "duration": 8.13, "text": "as compared to higher shipments in the comparable period in the prior year, primarily related to international sales."}, {"path": "tedlium_23416.wav", "duration": 8.13, "text": "memorabilia collectors and we -- there may be some of that internationally, too. But right now, we see it as primarily for coins."}, {"path": "tedlium_23417.wav", "duration": 8.13, "text": "As has always been the case, the consumer has the power to choose. They are free to choose a different product, a"}, {"path": "tedlium_23418.wav", "duration": 8.1299375, "text": "so I think you can see how difficult it will be for others to get to this point especially in the Canadian market. Again, I think we're just beginning to see the benefits of this investment."}, {"path": "tedlium_23419.wav", "duration": 8.1000625, "text": "There's simply a lot of change to absorb. It took a lot of collaboration and commitment to get us where we are today."}, {"path": "tedlium_23420.wav", "duration": 8.1, "text": "With that I will now turn the call over to Kevin McLaughlin, our Chief Financial Officer, to run through the financials for the quarter."}, {"path": "tedlium_23421.wav", "duration": 8.1, "text": "Moving to Slide 7, we recently launched the new Syniverse brand as the World's Most Connected Company"}, {"path": "tedlium_23422.wav", "duration": 8.1, "text": "As we had always guided, that there would be variable incremental expenses associated with the Block transaction."}, {"path": "tedlium_23423.wav", "duration": 8.1, "text": "we don't get rid of this kind of currency fluctuations in Argentina. We will keep you posted on"}, {"path": "tedlium_23424.wav", "duration": 8.1, "text": "Now I realize that Marvell has had some challenges lately, but I believe that this is the best time to join a company to help lead it to the next level."}, {"path": "tedlium_23425.wav", "duration": 8.1, "text": "So we spend a lot of time on the FY '16 look back, and you can see the implications of"}, {"path": "tedlium_23426.wav", "duration": 8.1, "text": "is if cyber find its way out of the admitted market back into the non-admitted marketplace, where I think it ought to be,"}, {"path": "tedlium_23427.wav", "duration": 8.1, "text": "With our regulatory issues behind us, we are a stronger company today and better prepared to grow to the next level."}, {"path": "tedlium_23428.wav", "duration": 8.1, "text": "I think that the number of sites and the distribution of sites and the distribution of patients,"}, {"path": "tedlium_23429.wav", "duration": 8.1, "text": "and positive duration enabled us to weather the rates rally without having to change our asset and hedge composition in any meaningful way."}, {"path": "tedlium_23430.wav", "duration": 8.1, "text": "a reference to the amount of runway they have in front of them to grow their database as well as provide innovative new solutions."}, {"path": "tedlium_23431.wav", "duration": 8.1, "text": "The current half year operating cash flow reflects a more normalized result with a large number of working capital swings"}, {"path": "tedlium_23432.wav", "duration": 8.1, "text": "But in our literal interpretation of the white paper, we saw the opportunity to make the change on the maintenance CapEx, which we did."}, {"path": "tedlium_23433.wav", "duration": 8.1, "text": "As oil becomes more valuable, as the rigs become busier, we will probably see that replacement business pick up also."}, {"path": "tedlium_23434.wav", "duration": 8.1, "text": "We must also reassert ourselves in products with strong and improving performance and bring our best thinking to product innovation."}, {"path": "tedlium_23435.wav", "duration": 8.1, "text": "But we felt that it's important for us to continue to -- or at least at this point in time to understand, what is"}, {"path": "tedlium_23436.wav", "duration": 8.1, "text": "to deliver our results. At the same time, we made significant investments to position the bank for future growth."}, {"path": "tedlium_23437.wav", "duration": 8.1, "text": "Thank you, Tom. Let me wrap up by saying things are getting very exciting at BioCryst, especially when you look at the progress we've made so far this year."}, {"path": "tedlium_23438.wav", "duration": 8.1, "text": "people don't realize how hard it is to contract with these complex integrated health networks."}, {"path": "tedlium_23439.wav", "duration": 8.1, "text": "strong business performance and expense reduction associated with integration of our recently completed transactions."}, {"path": "tedlium_23440.wav", "duration": 8.1, "text": "we have a broad range of alternatives available to us and we're continuing to explore all of those going forward. So"}, {"path": "tedlium_23441.wav", "duration": 8.1, "text": "So we just went over -- were able to overcome some of that, but I don't think that, that in any way"}, {"path": "tedlium_23442.wav", "duration": 8.1, "text": "information to find it. In the old days, when I grew up in the business, you'd just throw a lot of bodies at it and hunt and peck and try to find it."}, {"path": "tedlium_23443.wav", "duration": 8.1, "text": "I would say as it relates to any data that we may have generated prior to the briefing document going in,"}, {"path": "tedlium_23444.wav", "duration": 8.1, "text": "As in the first quarter, international wholesale achieved the highest percentage and dollar increase of our 3 distribution channels."}, {"path": "tedlium_23445.wav", "duration": 8.1, "text": "and interact within their home and what devices they use, and we are constantly looking for ways to make their life easier. In essence,"}, {"path": "tedlium_23446.wav", "duration": 8.1, "text": "to keep pace with accelerating opportunity and activity. I believe we've done a very good job in this regard,"}, {"path": "tedlium_23447.wav", "duration": 8.1, "text": "The team has worked extraordinarily hard to deliver the results that we delivered last year. I could not be prouder of them than I am."}, {"path": "tedlium_23448.wav", "duration": 8.1, "text": "all of the good there was created by the things that we've been doing to"}, {"path": "tedlium_23449.wav", "duration": 8.1, "text": "for future initiatives, particularly investing in technology to drive further efficiencies in the store's operating model."}, {"path": "tedlium_23450.wav", "duration": 8.1, "text": "meaning that we are more likely to have faced and successfully navigated challenges and that we are the low risk purchasing decision for our customers."}, {"path": "tedlium_23451.wav", "duration": 8.1, "text": "The quiet period will begin on the 16th day of the last month of each fiscal quarter and continues until the next earnings conference call."}, {"path": "tedlium_23452.wav", "duration": 8.1, "text": "This was primarily due to a reduction in expenditures in each of the business segments and negative ForEx translation effects."}, {"path": "tedlium_23453.wav", "duration": 8.1, "text": "We have ample headroom around the current household ownership cap, but of course, a higher cap creates even more possible combinations."}, {"path": "tedlium_23454.wav", "duration": 8.1, "text": "For example, we work on and measure every day discrete items that drive operational excellence."}, {"path": "tedlium_23455.wav", "duration": 8.1, "text": "As I mentioned before, I am proud of our team's accomplishments this past year and the significant improvements we continue to see."}, {"path": "tedlium_23456.wav", "duration": 8.1, "text": "and growth in our SaaS offerings was more than offset by lower mutual funds volume in U.S. Investment Markets,"}, {"path": "tedlium_23457.wav", "duration": 8.1, "text": "someone who can drive these things from start to finish as we work with the Group Presidents and think about how we can better"}, {"path": "tedlium_23458.wav", "duration": 8.1, "text": "and we've seen increased momentum during quarter 4 last year, which encouragingly has continued into this year"}, {"path": "tedlium_23459.wav", "duration": 8.1, "text": "was not our strongest asset and therefore, it was not identifying the places to use some of our pop health assets."}, {"path": "tedlium_23460.wav", "duration": 8.1, "text": "And we expect, particularly given the recent market events, that Sprott is on a positive trajectory going forward."}, {"path": "tedlium_23461.wav", "duration": 8.1, "text": "of the revenue was due to the reclassification of how some of the economics will flow with our customers."}, {"path": "tedlium_23462.wav", "duration": 8.1, "text": "So there's nothing really out there which, at this point, says that even though we're in the fourth quarter here, there is anything imminent"}, {"path": "tedlium_23463.wav", "duration": 8.1, "text": "this was a good environment to generate above-average returns. If we look at our main portfolio"}, {"path": "tedlium_23464.wav", "duration": 8.1, "text": "we can provide an expanded selection of new and used textbooks to lower the cost of supply"}, {"path": "tedlium_23465.wav", "duration": 8.1, "text": "the enhanced ability to go to schools and offer the hybrid solution that we don't currently have the capability on."}, {"path": "tedlium_23466.wav", "duration": 8.1, "text": "And to be honest, as we said in the first quarter as well because there was a lot of discussion around, are you seeing pressure on volumes in the first quarter?"}, {"path": "tedlium_23467.wav", "duration": 8.1, "text": "And our commitment to delivering exceptional products and services to customers who trust and counted us will guide us going forward."}, {"path": "tedlium_23468.wav", "duration": 8.1, "text": "Gateway West is really about reliability on our system and availability to better manage our footprint."}, {"path": "tedlium_23469.wav", "duration": 8.1, "text": "In addition, more than 25 states and metros have enacted new infrastructure funding measures over the past 3 years."}, {"path": "tedlium_23470.wav", "duration": 8.1, "text": "continued to generate solid growth in their aggregate earnings as the weighted average EBITDA growth over the past 12 months"}, {"path": "tedlium_23471.wav", "duration": 8.1, "text": "Additionally, we want to be more conservative in our revenue outlook because we are still in the early stages of developing our sales agency channels."}, {"path": "tedlium_23472.wav", "duration": 8.1, "text": "Although the investment will be higher than anticipated this year, due to our pacing of store openings and RV dealership integrations,"}, {"path": "tedlium_23473.wav", "duration": 8.1, "text": "I think Martin and I both believe, those challenges have reinforced the strategic logic behind the merger."}, {"path": "tedlium_23474.wav", "duration": 8.1, "text": "We are deeply aware, these investments are held ultimately to create value for shareholders."}, {"path": "tedlium_23475.wav", "duration": 8.1, "text": "When you grow your domestic collector workforce as much as we have in 18 months, it's expected for average tenure to decrease."}, {"path": "tedlium_23476.wav", "duration": 8.1, "text": "ramp up the productivity of all these new hires? Or is that offset by a more favorable macro backdrop?"}, {"path": "tedlium_23477.wav", "duration": 8.1, "text": "and then taking that further into EBITDA combining with where those assets are going on our platforms. The profitability associated with that mix,"}, {"path": "tedlium_23478.wav", "duration": 8.1, "text": "people will still buy their telephone cards or start to buy them a little bit quicker, whilst they run down their bottle of shampoo."}, {"path": "tedlium_23479.wav", "duration": 8.1, "text": "there was a lot of discounting going on in the marketplace, and we didn't go chasing after a lot of that volume. And so that showed up in those volume numbers as well."}, {"path": "tedlium_23480.wav", "duration": 8.1, "text": "We continue to work closely with our customers in developing new products as we support the marks to complete 5G deployment."}, {"path": "tedlium_23481.wav", "duration": 8.1, "text": "We now live in a connected world, which continues to require an increased demand of electronic components and solutions."}, {"path": "tedlium_23482.wav", "duration": 8.1, "text": "we have more than offset recent unit declines and grown Operational Services orders, our most profitable business, for 3 consecutive quarters."}, {"path": "tedlium_23483.wav", "duration": 8.1, "text": "that segment, I guess it's quite logical that you lost in the premium segment and you substantially gained"}, {"path": "tedlium_23484.wav", "duration": 8.1, "text": "And that integration is going extremely well. We have received an overwhelmingly positive response for our customers"}, {"path": "tedlium_23485.wav", "duration": 8.1, "text": "Before turning the meeting over to management, please be advised that this call contains forward-looking statements that are based on current expectations"}, {"path": "tedlium_23486.wav", "duration": 8.1, "text": "different categories of Chinese content, films and TV programs out there for a Western audience to actually view"}, {"path": "tedlium_23487.wav", "duration": 8.1, "text": "Contracting has continued to slow materially during 2016. New orders placed during the first 9 months of the year"}, {"path": "tedlium_23488.wav", "duration": 8.1, "text": "Yes. And so Paul, at the risk of you chastising me into giving you other numbers prior to the 10-K being out,"}, {"path": "tedlium_23489.wav", "duration": 8.1, "text": "Finally, in a positive move that reflects our strong performance and confident outlook, yesterday we announced"}, {"path": "tedlium_23490.wav", "duration": 8.1, "text": "In addition to our Air Transportation business, revenues and income for Airline Related businesses also increased."}, {"path": "tedlium_23491.wav", "duration": 8.1, "text": "do you envision yourselves kind of announcing it when it's -- when it goes hard or announcing it when it closes? Because we've obviously seen"}, {"path": "tedlium_23492.wav", "duration": 8.1, "text": "reached the Phase I milestone in the fully funded primary metabolite research program we began at the start of last year."}, {"path": "tedlium_23493.wav", "duration": 8.1, "text": "In monthly premiums, the rest of the industry aligned with our PMIERs base rate card as of April,"}, {"path": "tedlium_23494.wav", "duration": 8.1, "text": "we can see technological empowerment. And then in terms of building ecosystems, we can be faster."}, {"path": "tedlium_23495.wav", "duration": 8.1, "text": "very well known for using technology to enhance customer experience, selected our APIs for account verification."}, {"path": "tedlium_23496.wav", "duration": 8.1, "text": "which we did not intend to develop and for which we received capital to support our internal development plan."}, {"path": "tedlium_23497.wav", "duration": 8.1, "text": "Subscriber growth continues to be strong in Mexico. We added more than 500,000 new subscribers in the quarter"}, {"path": "tedlium_23498.wav", "duration": 8.1, "text": "that people can count on that production being there through the valleys and peaks that tend to occur in the oil business."}, {"path": "tedlium_23499.wav", "duration": 8.1, "text": "and continue to represent potential mitigation strategies to offset pricing pressures with strategies to grow volume."}, {"path": "tedlium_23500.wav", "duration": 8.1, "text": "at the higher end of activity there as well. Somewhat of a mild winter fourth quarter, it just allowed for a more active fourth quarter"}, {"path": "tedlium_23501.wav", "duration": 8.1, "text": "The primary driver of this increase over our prior guidance is the onboarding of the Wisconsin business."}, {"path": "tedlium_23502.wav", "duration": 8.1, "text": "which we were embarking upon, but we saw the opportunity to acquire an already market accepted"}, {"path": "tedlium_23503.wav", "duration": 8.1, "text": "to really say definitively what kind of realizations you're going to '16 and '17. We have our contract book"}, {"path": "tedlium_23504.wav", "duration": 8.1, "text": "industry trend of a sector base does not overly impact you. And I think we're pretty good positioned for that."}, {"path": "tedlium_23505.wav", "duration": 8.1, "text": "That's been corrected. And as we're walking into the first -- the second half of the year, we're seeing some uplift in the renewals, and we believe that we're"}, {"path": "tedlium_23506.wav", "duration": 8.1, "text": "I think your wording was several quarters. So that implies you think within a year or so you could be moving in the right direction?"}, {"path": "tedlium_23507.wav", "duration": 8.1, "text": "These features allow the user to follow the contour of the skin and avoid the stamping effect often seen with competing fractional lasers."}, {"path": "tedlium_23508.wav", "duration": 8.1, "text": "Does it in particular make sense to maybe generate some additional cash for share repurchases just given where the stock trades relative to NAV? So"}, {"path": "tedlium_23509.wav", "duration": 8.1, "text": "Turning to our Real Estate, Energy and Natural Resources segment. Second quarter earnings and adjusted EBITDA will be lower than the first quarter"}, {"path": "tedlium_23510.wav", "duration": 8.1, "text": "together with an increase in weather-related claims experienced in insurance, as well as the overall impact of a strengthening rand."}, {"path": "tedlium_23511.wav", "duration": 8.1, "text": "at least with PayPal, an average of about 3x. So we think we can help small businesses through these new capabilities"}, {"path": "tedlium_23512.wav", "duration": 8.1, "text": "Dan, I'll hand it back to you now. Thanks, Bill. It's great to see deep relationships, like those we have with Walmart"}, {"path": "tedlium_23513.wav", "duration": 8.1, "text": "for early extinguishment of debt in Q3, associated with the redemption of the TRUPs. The vast majority of which were redeemed earlier this week."}, {"path": "tedlium_23514.wav", "duration": 8.1, "text": "I guess my question is how much of the improvement in the quarter was a function of mix and some of these larger projects"}, {"path": "tedlium_23515.wav", "duration": 8.1, "text": "we can't sit here today and say there's not risk. There is a chance for risk, but we feel good that we have accounted for everything we do know."}, {"path": "tedlium_23516.wav", "duration": 8.1, "text": "He brings very strong competencies to our company in large project execution in the global power industry."}, {"path": "tedlium_23517.wav", "duration": 8.1, "text": "we'll wait and see. But the net of that is that the competition is still out there. The other thing in terms of looking at the competition"}, {"path": "tedlium_23518.wav", "duration": 8.1, "text": "for the product. I think earlier on we probably had the younger set, but as"}, {"path": "tedlium_23519.wav", "duration": 8.1, "text": "Can you tell us about the competitive environment there? I know it's a very fragmented market. There's some legacy players and there's a couple of new players that I think are taking share."}, {"path": "tedlium_23520.wav", "duration": 8.1, "text": "as strength on the corporate group side indicates optimism in the broader economy and a return to corporate spending"}, {"path": "tedlium_23521.wav", "duration": 8.1, "text": "Well, we don't want to give you any numbers, but I would like to say that the Jazan project is making good progress."}, {"path": "tedlium_23522.wav", "duration": 8.1, "text": "and through creating a small dedicated team focused on the tourism business and third spaces."}, {"path": "tedlium_23523.wav", "duration": 8.1, "text": "We have to recognize that this is an important long-term customer decision that needs input and careful consideration."}, {"path": "tedlium_23524.wav", "duration": 8.1, "text": "And coming out of a meeting in California this week with a bunch of cardiologists, there's a lot of enthusiasm for the unique capability"}, {"path": "tedlium_23525.wav", "duration": 8.1, "text": "and we'll leverage our leadership position in RFID to build partnerships and grow share within the core business."}, {"path": "tedlium_23526.wav", "duration": 8.1, "text": "It's a little bit of a different agent but nevertheless, the process is the same. So I think the partnering is important"}, {"path": "tedlium_23527.wav", "duration": 8.1, "text": "Our global efforts are focused on disease awareness and medical education to expand health care providers' knowledge and recognition"}, {"path": "tedlium_23528.wav", "duration": 8.1, "text": "This relates to the surface flaking issue that affected a small portion of products produced at our Nevada plant before 2007. To"}, {"path": "tedlium_23529.wav", "duration": 8.1, "text": "We continue to roll out programs that strengthen our brand relationships with consumers and the trade."}, {"path": "tedlium_23530.wav", "duration": 8.1, "text": "This upcoming quarter will be our fourth year in a row enhancing our gift-giving selection for the holiday season."}, {"path": "tedlium_23531.wav", "duration": 8.1, "text": "the proposed rule also includes changes to case mix weightings and the outlier payment methodology."}, {"path": "tedlium_23532.wav", "duration": 8.1, "text": "they really focused on all of those areas in terms of deciding whether we have achieved first quartile performance."}, {"path": "tedlium_23533.wav", "duration": 8.1, "text": "And I think we're starting to see opportunities around the world to now continue to have those discussions as we go into 2019. And I"}, {"path": "tedlium_23534.wav", "duration": 8.1, "text": "from plus 50 to plus 25 to 50 on a full year basis, but you talked a lot about mix. I was hoping you could tell us a little bit more"}, {"path": "tedlium_23535.wav", "duration": 8.1, "text": "The majority of our surplus inventory can be sold into other markets. Only a relatively small number of the units are highly customized"}, {"path": "tedlium_23536.wav", "duration": 8.1, "text": "and he will continue to be an inspiration to the many people whose lives he touched through his irresistible passion and energy."}, {"path": "tedlium_23537.wav", "duration": 8.1, "text": "So interest expense on the statement of earnings differs from the actual interest paid in the quarter due to hedge accounting."}, {"path": "tedlium_23538.wav", "duration": 8.1, "text": "What we've done in FY '17 confirms that our long-standing strategy of delivering connected and sustainable energy solutions"}, {"path": "tedlium_23539.wav", "duration": 8.1, "text": "partially offset by a slow start to the spring planting season that negatively impacted our parts and service business."}, {"path": "tedlium_23540.wav", "duration": 8.1, "text": "Actual results could differ materially from the statements made on this call today. All statements made on the call are made as of today."}, {"path": "tedlium_23541.wav", "duration": 8.1, "text": "of these improved fuel economy on this new equipment. Thirdly is our insurance and claims."}, {"path": "tedlium_23542.wav", "duration": 8.1, "text": "that the board would be inclined to increase the dividend? Or do you prefer to retain that capital and use it to reinvest in the business?"}, {"path": "tedlium_23543.wav", "duration": 8.1, "text": "every best practice we can bring into the business from what IBERDROLA has rolled wide and anything else we can find that's going on in the industry."}, {"path": "tedlium_23544.wav", "duration": 8.1, "text": "Right now, where we see it is as it develops and I think most would agree that the storage is not"}, {"path": "tedlium_23545.wav", "duration": 8.1, "text": "has a little bit more of an interest to the types of folks we hire and have been successful in retaining. So"}, {"path": "tedlium_23546.wav", "duration": 8.1, "text": "our mill operations are highly integrated with our converting platform as we consume over 85% of the paperboard we produce."}, {"path": "tedlium_23547.wav", "duration": 8.1, "text": "and enabling us to deliver superior customer value, all of which are critically important in the current economic environment."}, {"path": "tedlium_23548.wav", "duration": 8.1, "text": "All of which have been partially offset by typical pricing headwinds of just under 2 percentage points annually."}, {"path": "tedlium_23549.wav", "duration": 8.1, "text": "real variability baked into our pricing, and we don't see that pricing structure as having changed"}, {"path": "tedlium_23550.wav", "duration": 8.1, "text": "to seeing more business consolidate with us and us having in the end a much higher share of the wallet."}, {"path": "tedlium_23551.wav", "duration": 8.1, "text": "We are focused on controlling what is within our control and maximizing results with the core assets we have in the portfolio of today."}, {"path": "tedlium_23552.wav", "duration": 8.1, "text": "We have seen a significant increase in traffic to our website and have a number of new residential prospects in hand as a result."}, {"path": "tedlium_23553.wav", "duration": 8.1, "text": "As for margin, we do expect more of the cost down efforts to be realized in the coming quarter, but expect a slight headwind from product mix as well."}, {"path": "tedlium_23554.wav", "duration": 8.1, "text": "And with that very quick overview, I'd like to turn it over to our Chief Financial Officer, Tammy Romo, to take us through the quarterly financials."}, {"path": "tedlium_23555.wav", "duration": 8.1, "text": "The reduction on these projects was partially offset by an increase in non-load-related spend to meet RIIO outputs."}, {"path": "tedlium_23556.wav", "duration": 8.1, "text": "The review did result in some changes to specific outputs, but as expected there were no changes to the key financial parameters."}, {"path": "tedlium_23557.wav", "duration": 8.1, "text": "We believe the coming year will demonstrate the growth potential of our asset base, the internal capabilities we have developed with respect to redevelopment execution,"}, {"path": "tedlium_23558.wav", "duration": 8.1, "text": "You can see that with a recent development in the currencies, we now expect"}, {"path": "tedlium_23559.wav", "duration": 8.1, "text": "yes. So what adjustments are you making to be able to adjust to that lack of volume coming from them?"}, {"path": "tedlium_23560.wav", "duration": 8.1, "text": "Okay. Got it. And then just one more question, and I don't know if you guys can talk on this just because it's kind of recently announced. The Navy announced that"}, {"path": "tedlium_23561.wav", "duration": 8.1, "text": "sourcing capabilities. And she will have to have a few months of learning the business, and then she will start to unlock"}, {"path": "tedlium_23562.wav", "duration": 8.1, "text": "A critical element of our success will depend on the ability of our organization to work smoothly as a team"}, {"path": "tedlium_23563.wav", "duration": 8.1, "text": "geographic expansion opportunities in these markets and as well expand our presence into new territories and markets to further grow market share."}, {"path": "tedlium_23564.wav", "duration": 8.1, "text": "and forward curves will offer us multiple opportunities to hedge above our point of view, especially as retail players look to hedge those periods."}, {"path": "tedlium_23565.wav", "duration": 8.1, "text": "so our momentum for our technology center solutions continue to grow and we expect to convert additional opportunities to contracts in the coming months."}, {"path": "tedlium_23566.wav", "duration": 8.0700625, "text": "So far, a lot of reasons we think the outlook for the top line is balanced. The earnings outlook is obviously got a range on it because of"}, {"path": "tedlium_23567.wav", "duration": 8.0700625, "text": "up -- revised upwards in a similar manner? Or do you guys have an idea of how it might shake out in October?"}, {"path": "tedlium_23568.wav", "duration": 8.0700625, "text": "So we can do that with Renewables. We have rate cases that are already in place that are going to help us, and it's getting more efficient with all of our operations."}, {"path": "tedlium_23569.wav", "duration": 8.07, "text": "The new reporting methodology will help to avoid the corresponding volatility in revenue development."}, {"path": "tedlium_23570.wav", "duration": 8.07, "text": "we believe, have to invest in riskier levered asset classes and to put more leverage on the books."}, {"path": "tedlium_23571.wav", "duration": 8.07, "text": "We're helping them understand some emerging companies that have technologies, and this was where our Plug and Play"}, {"path": "tedlium_23572.wav", "duration": 8.07, "text": "And our kind of normalized investments as we go forward for the balance of this year and next year will be concentrated"}, {"path": "tedlium_23573.wav", "duration": 8.07, "text": "But what it does mean, in order to really mitigate that damage and do the best thing for your dollars spent over the long term and the best thing"}, {"path": "tedlium_23574.wav", "duration": 8.07, "text": "And is this actually -- can you quantify the effect roughly? And is this really a one-off? Or should we really expect"}, {"path": "tedlium_23575.wav", "duration": 8.07, "text": "we're going to talk more about that after Matt's been on the ground a little while. But I can tell you one thing."}, {"path": "tedlium_23576.wav", "duration": 8.07, "text": "the whole Midstream business, Paul. So it's really that commitment to getting that size and then just looking beyond that is to continue to grow."}, {"path": "tedlium_23577.wav", "duration": 8.07, "text": "I think that there was a significant winter event in Q1 that impacted our industrial businesses"}, {"path": "tedlium_23578.wav", "duration": 8.07, "text": "Overall, we see that our strategy of moving customers to integrated solutions and growth in IT is working."}, {"path": "tedlium_23579.wav", "duration": 8.07, "text": "We're launching our melanoma indication in more than 50 markets globally, and we are preparing for launches in additional tumors."}, {"path": "tedlium_23580.wav", "duration": 8.07, "text": "I think as we've said for many years, we'd like to get that below 14%. We've done that, and I think we feel good about it. I think there's more opportunity here."}, {"path": "tedlium_23581.wav", "duration": 8.07, "text": "contributed in the same way as our luxury division did is, as I pointed out,"}, {"path": "tedlium_23582.wav", "duration": 8.07, "text": "And we do see that the stores that we market are performing better, so now all new restaurants receive marketing at their opening."}, {"path": "tedlium_23583.wav", "duration": 8.07, "text": "Please turn to the slide at the bottom of the next page, Slide 18, Technology Solutions Services."}, {"path": "tedlium_23584.wav", "duration": 8.07, "text": "the price increases that we're getting associated with that and then the new business sales augmented, specifically, I would say,"}, {"path": "tedlium_23585.wav", "duration": 8.07, "text": "In terms of lounges, we opened the deck and closed the cabin, so again very much investing heavily in the customer side there."}, {"path": "tedlium_23586.wav", "duration": 8.07, "text": "as well as being selective with the orders we fulfill, which is easier to do when your inventories are in good shape."}, {"path": "tedlium_23587.wav", "duration": 8.07, "text": "from the Health and the Benefits business that you'd expect over time you can either take out of the organization or redeploy into growth areas?"}, {"path": "tedlium_23588.wav", "duration": 8.07, "text": "is really holding very, very steady. And I'm just -- I'm especially interested in what's going on underneath the hood of the tract mortgages,"}, {"path": "tedlium_23589.wav", "duration": 8.07, "text": "We continue to focus on opportunities for efficiencies and reductions in higher overhead levels of our recent acquisitions."}, {"path": "tedlium_23590.wav", "duration": 8.07, "text": "We have 2 large successor funds in the market, and we have a platform that has considerable opportunity for further scaling."}, {"path": "tedlium_23591.wav", "duration": 8.07, "text": "and lastly, the global trend away from traditional banking and the acceptance of private debt as an investable asset class."}, {"path": "tedlium_23592.wav", "duration": 8.07, "text": "It is appropriate to note that this trend shift was partly a consequence of digital innovations designed in our digital labs"}, {"path": "tedlium_23593.wav", "duration": 8.07, "text": "And you go -- you will have these stop and starts going on. So it's all very confusing is what I'm trying to come -- to get on. And I'm not sure"}, {"path": "tedlium_23594.wav", "duration": 8.07, "text": "And then you mentioned the pricing coming with menu news, and now it's going to be accelerating."}, {"path": "tedlium_23595.wav", "duration": 8.07, "text": "We continue to progress a diverse portfolio of life cycle management and mid-to-late phase development programs with well over a dozen ongoing trials."}, {"path": "tedlium_23596.wav", "duration": 8.07, "text": "This is primarily due to an increase in demand for wavelength selective switches driven by carrier deployments in India and China."}, {"path": "tedlium_23597.wav", "duration": 8.07, "text": "As Dan had mentioned, we recently moved into a new manufacturing facility in Mexico, which significantly expands our capacity."}, {"path": "tedlium_23598.wav", "duration": 8.07, "text": "were less responsive to EPO in the comparator arm, consistent with the published historical ESA studies."}, {"path": "tedlium_23599.wav", "duration": 8.07, "text": "The new mail route means much more flexibilization of the business model we see within Mail in the Netherlands."}, {"path": "tedlium_23600.wav", "duration": 8.07, "text": "But I think you're getting a bit of a step this year. And what we're looking at all the time are other ways that we can take costs out of the system"}, {"path": "tedlium_23601.wav", "duration": 8.07, "text": "I want to remind listeners that the discussion contains forward-looking statements regarding our financial condition and results."}, {"path": "tedlium_23602.wav", "duration": 8.07, "text": "the other peers can also benefit from this once they go through all of the legal proceedings."}, {"path": "tedlium_23603.wav", "duration": 8.07, "text": "and a slight recovery in the second quarter. The increase in sales was thanks to the good performance of the industrial"}, {"path": "tedlium_23604.wav", "duration": 8.07, "text": "and if sustained, will bring significant healing to this battered industry in the form strong cash flows and higher activity levels as the year progresses."}, {"path": "tedlium_23605.wav", "duration": 8.07, "text": "the effect of the price decrease on oil and gas in the period under review was larger, leading to the decline in net income."}, {"path": "tedlium_23606.wav", "duration": 8.07, "text": "Before we begin our presentation, I will remind everyone that parts of our discussion today will include forward-looking statements as defined in the securities laws."}, {"path": "tedlium_23607.wav", "duration": 8.07, "text": "as we discussed and kind of talked to you about even last year that we had moved that up and that's at kind of a nice range where we have it today."}, {"path": "tedlium_23608.wav", "duration": 8.07, "text": "It's going to go out on our website as well. We're kind of readvertising to our existing drivers and drivers that we're recruiting, that we have a great pay package"}, {"path": "tedlium_23609.wav", "duration": 8.07, "text": "changed our performance-based quarterly per mile bonus opportunity that drivers have to a monthly"}, {"path": "tedlium_23610.wav", "duration": 8.07, "text": "and most of you had a chance to listen to it. And I'm not -- we are not going to repeat that same presentation."}, {"path": "tedlium_23611.wav", "duration": 8.07, "text": "As you know, the brand rolled out a 10-count mini lozenge in selected stores in the third quarter, and this style is now available"}, {"path": "tedlium_23612.wav", "duration": 8.07, "text": "I might add, when you move around the state of Florida and you basically look at all the major markets that we're doing, that we do business in and all the major"}, {"path": "tedlium_23613.wav", "duration": 8.07, "text": "This slide summarizes our internal management structure reforms. Morinaga has"}, {"path": "tedlium_23614.wav", "duration": 8.07, "text": "And there was no question that as the 4G technology is maturing and we are getting ready for 5G, there is a bit of a pause in terms of"}, {"path": "tedlium_23615.wav", "duration": 8.07, "text": "Logistics inflation in the form of higher fuel costs and higher carrier rates remained in place subsequent to the hurricanes."}, {"path": "tedlium_23616.wav", "duration": 8.07, "text": "pretty accurately taken the offset on both the revenue side and the cost side into account."}, {"path": "tedlium_23617.wav", "duration": 8.07, "text": "We believe that we are well positioned to broaden our presence in foreign, commercial, industrial and military markets."}, {"path": "tedlium_23618.wav", "duration": 8.07, "text": "We plan to continue to make investments in innovation and to gain market share that we believe will deliver long-term value to our shareholders."}, {"path": "tedlium_23619.wav", "duration": 8.07, "text": "associated with those new products. I'm not going to get into specifics, but just know that the revenue growth that we expect from those products is coming to bear."}, {"path": "tedlium_23620.wav", "duration": 8.07, "text": "Steve? Thank you, David, and good afternoon, everyone. I'll start by reviewing our financial and operating performance for the fourth quarter"}, {"path": "tedlium_23621.wav", "duration": 8.07, "text": "The current consensus is pretty close to the 75 basis point scenario. And if it takes place, as expected,"}, {"path": "tedlium_23622.wav", "duration": 8.07, "text": "most of them, operated at the lower end of the middle market, which we think is a fantastic place to be, particularly for gathering deposits."}, {"path": "tedlium_23623.wav", "duration": 8.07, "text": "Obviously, we want to make sure that our partners make money, and we make money. But we don't see any, at least with the vendors we deal with,"}, {"path": "tedlium_23624.wav", "duration": 8.07, "text": "You saw in the first quarter our historically sort of high churn number. That's when contracts come up for renewals. So"}, {"path": "tedlium_23625.wav", "duration": 8.07, "text": "You know that so -- I think that you know that we are quite well in managing working capital in Italy,"}, {"path": "tedlium_23626.wav", "duration": 8.07, "text": "Our ability to consistently add reserves at low cost demonstrates the tremendous capital efficiency gains we made through the downturn"}, {"path": "tedlium_23627.wav", "duration": 8.07, "text": "Not a lot different than what we saw at Manantial Espejo through its life. Some of our best grades came through the open pits there as well."}, {"path": "tedlium_23628.wav", "duration": 8.07, "text": "view of the year, how do you feel you're going to manage -- Graeme, you called it out at Port Sunlight as an issue. How are you going to manage the transition from"}, {"path": "tedlium_23629.wav", "duration": 8.07, "text": "skewed towards the first half last year, if you want to. So we have that little, little swing in the forecast."}, {"path": "tedlium_23630.wav", "duration": 8.07, "text": "and is subject to a number of significant risks and uncertainties that could cause actual results to differ materially from those anticipated."}, {"path": "tedlium_23631.wav", "duration": 8.07, "text": "when does it make sense to define a business by the end market it serves versus the underlying chemistry?"}, {"path": "tedlium_23632.wav", "duration": 8.07, "text": "we would be impacted by the overall auto builds in general, and so we did see a rather strong"}, {"path": "tedlium_23633.wav", "duration": 8.07, "text": "We have an engaged and experienced management team to bring a track record of delivering on the type of transformation that we are pursuing company-wide."}, {"path": "tedlium_23634.wav", "duration": 8.07, "text": "So additional marketing and data utilization is the key here. So these are the businesses that we would like to further cultivate going forward."}, {"path": "tedlium_23635.wav", "duration": 8.07, "text": "And then, on a very personal basis, providing offers to them that are unique to them in real-time"}, {"path": "tedlium_23636.wav", "duration": 8.07, "text": "We plan to add new stores at a rate that will allow us to remain focused on our existing stores, gross sales and generate positive cash flow."}, {"path": "tedlium_23637.wav", "duration": 8.07, "text": "The reason for it is threefold. First of all, we have really focused our new business sales"}, {"path": "tedlium_23638.wav", "duration": 8.07, "text": "On the Ag side, Ag prices continue to be depressed. We did see a little bit of upside here in the quarter for the first time in quite some time."}, {"path": "tedlium_23639.wav", "duration": 8.07, "text": "Our East Africa, South Africa and Africa Regional Markets businesses all saw improved momentum in the second half."}, {"path": "tedlium_23640.wav", "duration": 8.07, "text": "And we know how we would handle that going forward, but it is behind us. It's not something that shows back up again."}, {"path": "tedlium_23641.wav", "duration": 8.07, "text": "Before I jump into the earnings details, however, let me tell you briefly where we stand with 3 quarters of the year behind us."}, {"path": "tedlium_23642.wav", "duration": 8.07, "text": "With that, let me turn the call over to Mr. Adam Spice, our Chief Financial Officer, for a review of the financial and our forward guidance."}, {"path": "tedlium_23643.wav", "duration": 8.07, "text": "So we are really good at monitoring situations and reacting"}, {"path": "tedlium_23644.wav", "duration": 8.07, "text": "over the years and really those additions in that area will continue to be incremental"}, {"path": "tedlium_23645.wav", "duration": 8.07, "text": "But that's kind of how we're still looking at it. We're waiting for that bounce up, and I'm not quite ready to call that at this point in time."}, {"path": "tedlium_23646.wav", "duration": 8.07, "text": "We continue to see asphalt deflation as a way to improve our margins, although we expect our end markets to remain competitive."}, {"path": "tedlium_23647.wav", "duration": 8.07, "text": "It's important to note that the decline in yield for convenience checks appears, perhaps, larger than it otherwise would"}, {"path": "tedlium_23648.wav", "duration": 8.07, "text": "Is there any other factors that are impeding your ability to get back to even modest traffic growth -- traffic and tonnage growth?"}, {"path": "tedlium_23649.wav", "duration": 8.07, "text": "the -- it is in the public comment phase right now. We expect that to end here around maybe the third week of May."}, {"path": "tedlium_23650.wav", "duration": 8.07, "text": "I think many of you know that's our largest, most important business and as Morry's talked about and I talked about, there's a lot of emphasis being put on"}, {"path": "tedlium_23651.wav", "duration": 8.07, "text": "On previous earnings calls, I provided estimates for our 2018 pension contributions as the airline relief legislation ends for us."}, {"path": "tedlium_23652.wav", "duration": 8.07, "text": "Those factors really gave us the confidence that we think we can make this change in the dividend with moving the supplemental into the monthly,"}, {"path": "tedlium_23653.wav", "duration": 8.07, "text": "First, in addition to commenting on our third quarter results, we won't be speaking to you formally again until February sometime,"}, {"path": "tedlium_23654.wav", "duration": 8.07, "text": "In our discussions of the results of operations, we may refer to pro forma results, which exclude the impact of items"}, {"path": "tedlium_23655.wav", "duration": 8.07, "text": "through the execution of our committed time line and plan to provide any material updates on this matter when appropriate."}, {"path": "tedlium_23656.wav", "duration": 8.07, "text": "Our sales reps are being incentivized to work with our existing customers to improve the understanding of the value of XTRAC to their practices."}, {"path": "tedlium_23657.wav", "duration": 8.07, "text": "as soon as the acquisition closes, maximizing the benefits of our larger organization and minimizing disruption."}, {"path": "tedlium_23658.wav", "duration": 8.07, "text": "technology during a launch phase when you're talking to folks about how to use the drug and generally it wouldn't run right to an outpatient environment."}, {"path": "tedlium_23659.wav", "duration": 8.07, "text": "nearly as much interest or at least some sort of an indication on that? Clearly, interest for sure. And with the size and scale of that asset,"}, {"path": "tedlium_23660.wav", "duration": 8.07, "text": "It is difficult to accurately predict demand for our services, and therefore, our actual results could differ materially from our guidance."}, {"path": "tedlium_23661.wav", "duration": 8.07, "text": "very importantly into the broader adoption of preventive panels like those that we offer. So we think that will help us"}, {"path": "tedlium_23662.wav", "duration": 8.07, "text": "Thank you. The conference has now ended. Please disconnect your lines at this time, and we thank you for your participation."}, {"path": "tedlium_23663.wav", "duration": 8.07, "text": "The key driver of this improvement is the lower level of capital expenditure relating to the new factory project than previously forecast."}, {"path": "tedlium_23664.wav", "duration": 8.07, "text": "It's a long way out. We're not trying to guess what the fuel price is going to be, so we do have significant exposure to"}, {"path": "tedlium_23665.wav", "duration": 8.07, "text": "the company's own disclosures. And what's interesting is the company has spent the last several years saying everything that we said was totally false."}, {"path": "tedlium_23666.wav", "duration": 8.07, "text": "In the quarter, we did tip in a promotion, and we plan to do that on an ongoing basis, but these are short-term promotions versus"}, {"path": "tedlium_23667.wav", "duration": 8.07, "text": "The reason I mentioned that was because in June I talked about -- at the end of the June quarter, I talked about how significant the pipeline was going into the new fiscal year."}, {"path": "tedlium_23668.wav", "duration": 8.07, "text": "improving margins, grouping up and unlocking embedded value through our ROI projects."}, {"path": "tedlium_23669.wav", "duration": 8.07, "text": "As we near the 17 month in our ownership of Calvert, we feel good about what we've accomplished and even better about the opportunities ahead of us"}, {"path": "tedlium_23670.wav", "duration": 8.07, "text": "In many cases, Parametric client relationships that started with exposure management mandates have migrated to also include other strategies."}, {"path": "tedlium_23671.wav", "duration": 8.07, "text": "During the course of today's call, words such as expect, anticipate, believe and intend will be used in our discussion of the goals or events in the future."}, {"path": "tedlium_23672.wav", "duration": 8.07, "text": "Europe and Turkey continue to deliver consistently strong performance with this half mainly attributable to volume gains."}, {"path": "tedlium_23673.wav", "duration": 8.07, "text": "Our first-to-market strategy with the Percepta classifier is to focus our efforts on large institutions for early adoption,"}, {"path": "tedlium_23674.wav", "duration": 8.07, "text": "in cash at the end of March. And so we have ample ability to do both share repurchases and an acquisition. And"}, {"path": "tedlium_23675.wav", "duration": 8.07, "text": "Lower volumes were transported due to less drilling activity and natural declines surrounding our Bow River and Central Alberta pipeline systems."}, {"path": "tedlium_23676.wav", "duration": 8.07, "text": "on the futures curve have to increase in price to ensure greater international and deepwater investment for future supply."}, {"path": "tedlium_23677.wav", "duration": 8.07, "text": "That's one of the main reasons that we switched to this design, was to have that flatter decline profile after bubble point is reached and for the following years."}, {"path": "tedlium_23678.wav", "duration": 8.07, "text": "we just don't view those as being a material problem with respect to our company, given the fact that we don't have very many vertical wells"}, {"path": "tedlium_23679.wav", "duration": 8.07, "text": "it would be more of kind of all costs going up to some degree, which is not the direction we want to be going."}, {"path": "tedlium_23680.wav", "duration": 8.07, "text": "Consistent net absorption across the broader markets has kept occupancy levels steady as new supply delivers."}, {"path": "tedlium_23681.wav", "duration": 8.07, "text": "Obviously, the most challenging aspect of discussing these bundled models is that, at this point, it's all speculative."}, {"path": "tedlium_23682.wav", "duration": 8.07, "text": "While we are highly confident in our ability to fully comply with all provisions of the demonstration,"}, {"path": "tedlium_23683.wav", "duration": 8.07, "text": "with a marquee customer base, sticky relationships, limited commercial competition and a phenomenal growth opportunity."}, {"path": "tedlium_23684.wav", "duration": 8.07, "text": "any color on how much investment will be needed and what kind of margin pressure that would have? And if any of that investment has already started?"}, {"path": "tedlium_23685.wav", "duration": 8.07, "text": "So we think we can keep this occupation and also the sales at this level."}, {"path": "tedlium_23686.wav", "duration": 8.07, "text": "we are benefiting from that cost reduction. But at the same time, we have started a number of new"}, {"path": "tedlium_23687.wav", "duration": 8.07, "text": "And secondly, I wonder if you could comment on the sort of outlook for growth"}, {"path": "tedlium_23688.wav", "duration": 8.07, "text": "Finally, we are making an effort to heavily invest in research and development to bring us sustainable growth opportunities"}, {"path": "tedlium_23689.wav", "duration": 8.07, "text": "This trend will continue somewhat into our second quarter as we expect to experience higher inventory levels"}, {"path": "tedlium_23690.wav", "duration": 8.07, "text": "We do continue to experience commodity cost pressures as we move into the second half. And this does include"}, {"path": "tedlium_23691.wav", "duration": 8.07, "text": "So I want to come back and look at the platform again in a different lens. It's a little simpler way to look at it. You see on the"}, {"path": "tedlium_23692.wav", "duration": 8.07, "text": "able to be played with and used by our sales team so they can understand what we're talking about and what we're trying to do."}, {"path": "tedlium_23693.wav", "duration": 8.07, "text": "We also see companies working on technology that can be standardized if they have the ability to effectively deliver the technology into the standards"}, {"path": "tedlium_23694.wav", "duration": 8.07, "text": "As we look at the months in the quarter, we expect new software for the industry to grow in May, with Uncharted 4, DOOM"}, {"path": "tedlium_23695.wav", "duration": 8.07, "text": "treating business decisions at every level as an owner would. But they do it with the devotion to who we do it with and for."}, {"path": "tedlium_23696.wav", "duration": 8.07, "text": "The second one is because of the play we've now better understood the counterparty stress test that the Fed runs,"}, {"path": "tedlium_23697.wav", "duration": 8.07, "text": "to strengthen our ability to holistically support our clients drug discovery, early development and manufacturing efforts"}, {"path": "tedlium_23698.wav", "duration": 8.07, "text": "twice as fast as the market does currently on mobile. We are growing, as far as video is concerned in line with the market"}, {"path": "tedlium_23699.wav", "duration": 8.07, "text": "We expect the contribution from base rent and the detraction our contribution from net recoveries to follow the occupancy trajectory throughout the year."}, {"path": "tedlium_23700.wav", "duration": 8.07, "text": "In addition, we continue to manage our cost and improve our bottom line as we get closer to cash flow breakeven and GAAP profitably."}, {"path": "tedlium_23701.wav", "duration": 8.07, "text": "We expect a public endorsement of our virtualization technology by this customer over the coming weeks."}, {"path": "tedlium_23702.wav", "duration": 8.07, "text": "and flow, all important properties of insoluble sulfur, which can help our customers maximize the productivity of their operations."}, {"path": "tedlium_23703.wav", "duration": 8.07, "text": "I hope I've given you a sense of the strong pipeline for 2018 awards in all the end markets we serve around the world."}, {"path": "tedlium_23704.wav", "duration": 8.07, "text": "I cannot provide any further information at this time, other than to say that this was, obviously, a very significant decision"}, {"path": "tedlium_23705.wav", "duration": 8.07, "text": "We don't have a similar really big one that we are implementing this year. We're still going to get up to 110,000 retirees"}, {"path": "tedlium_23706.wav", "duration": 8.07, "text": "And that is because of clearly working capital optimization initiatives that we had taken up during the year as well as supported by"}, {"path": "tedlium_23707.wav", "duration": 8.07, "text": "Results also reflect less provider abrasion, better cash flow for our customers on top of the improved results"}, {"path": "tedlium_23708.wav", "duration": 8.07, "text": "So we have nothing further to add on the call today. However, we said from the outset that our goal in bringing the lawsuits"}, {"path": "tedlium_23709.wav", "duration": 8.07, "text": "And what is your view on sort of market share and pricing in the industry in a more broader sense?"}, {"path": "tedlium_23710.wav", "duration": 8.07, "text": "The government health care consulting business continues to be a very strong performer with steady growth in both revenue and earnings contributions."}, {"path": "tedlium_23711.wav", "duration": 8.07, "text": "for the quarter, and I used the word traditional advertising, not the advertising now that we are doing through all the digital mediums like Amazon,"}, {"path": "tedlium_23712.wav", "duration": 8.0699375, "text": "and the positive experience that we've had in both large and small PI. And finally, the Travel division increased profits materially."}, {"path": "tedlium_23713.wav", "duration": 8.04, "text": "But how pronounced it would be and how notable it would be, we'll be able to provide guidance on that when we're a little bit closer to it."}, {"path": "tedlium_23714.wav", "duration": 8.04, "text": "We will open the call with Jim's update on our business strategy moving forward, followed by Bob's review of our financial results for the second quarter."}, {"path": "tedlium_23715.wav", "duration": 8.04, "text": "as well as gains in operating efficiencies, including greater overhead absorption resulting from higher production volumes."}, {"path": "tedlium_23716.wav", "duration": 8.04, "text": "Someone will travel a long way, but not with frequency. When we look at most of our stuff from marketing perspective, and our current"}, {"path": "tedlium_23717.wav", "duration": 8.04, "text": "using technology, how to acquire cost effectively opportunities in credit that work and make sense."}, {"path": "tedlium_23718.wav", "duration": 8.04, "text": "opportunities are presenting themselves for active antenna programs that address certain urgent battlefield vulnerabilities."}, {"path": "tedlium_23719.wav", "duration": 8.04, "text": "For example, we are looking at several technologies to roll out fiber in a cheaper and more efficient way."}, {"path": "tedlium_23720.wav", "duration": 8.04, "text": "When I commit, I deliver, supported by a very committed new management"}, {"path": "tedlium_23721.wav", "duration": 8.04, "text": "And building a better REIT also speaks to the ongoing focus to make our business better every day by working tirelessly to execute our strategy."}, {"path": "tedlium_23722.wav", "duration": 8.04, "text": "It's kind of what happened. It really didn't have too much to do with production cost, more it just had to do with just the general increase in the value of raw milk."}, {"path": "tedlium_23723.wav", "duration": 8.04, "text": "and driven primarily by lower freight cost versus last year, as we anniversaried the impact of the West Coast port issues."}, {"path": "tedlium_23724.wav", "duration": 8.04, "text": "but that the latter program also will be of appeal to a subset of advisers for whom outsourcing of fund recommendations would prove attractive."}, {"path": "tedlium_23725.wav", "duration": 8.04, "text": "may differ materially from these statements due to a variety of factors including the precautionary statements referenced in our discussion today"}, {"path": "tedlium_23726.wav", "duration": 8.04, "text": "the material numbers. Now there are other factors that go into development in other parts of the world that can take a long time to get permits."}, {"path": "tedlium_23727.wav", "duration": 8.04, "text": "First, let me remind everyone that many of our comments today are not historical facts and are considered forward-looking statements under federal securities laws."}, {"path": "tedlium_23728.wav", "duration": 8.04, "text": "We embrace change perhaps now more than ever. And we pride ourselves on our corporate culture, a culture of service to others."}, {"path": "tedlium_23729.wav", "duration": 8.04, "text": "Depending on where you all live, that is one of the significant factors that goes into which airline you tend to prefer."}, {"path": "tedlium_23730.wav", "duration": 8.04, "text": "We continue to work across our supply chain to create menus with more vegan, vegetarian and plant-forward options"}, {"path": "tedlium_23731.wav", "duration": 8.04, "text": "offerings into what we think are going to be the most attractive and interesting markets in the next upturn. And I think the company is really well positioned for that upturn. Yes. No, I"}, {"path": "tedlium_23732.wav", "duration": 8.04, "text": "Really, the only thing, Charlie, that's a little -- and you see it on the chart, a little more transactional in nature is the small business marketing."}, {"path": "tedlium_23733.wav", "duration": 8.04, "text": "test growth on the sort of legacy core Neo business is pretty phenomenal and you're saying that"}, {"path": "tedlium_23734.wav", "duration": 8.04, "text": "At the same time, we are actively managing the ongoing normalization of lender-placed with our expense management initiatives."}, {"path": "tedlium_23735.wav", "duration": 8.04, "text": "of the technical margin result, which has been progressively managed and is going to be managed. And so I'm"}, {"path": "tedlium_23736.wav", "duration": 8.04, "text": "and we closed our first renewable energy royalty transaction and launched a renewable royalty business, which we are very excited about."}, {"path": "tedlium_23737.wav", "duration": 8.04, "text": "post the initial Phase I study that have been exposed to both 101 and nusinersen and if there's any data that you could collect there that could inform"}, {"path": "tedlium_23738.wav", "duration": 8.04, "text": "We are integrating from a marketing standpoint and putting more of our resources into"}, {"path": "tedlium_23739.wav", "duration": 8.04, "text": "and the reduction in tax benefits on holding company interest expense due to the lower federal tax rate resulting from U.S. tax reform."}, {"path": "tedlium_23740.wav", "duration": 8.04, "text": "continued to progress largely as we expected, and we're now through the worst of the tough quarterly fuel margin comparisons"}, {"path": "tedlium_23741.wav", "duration": 8.04, "text": "and then working with partner airlines as well. So all of the activities that we've spoken about previously are ahead of"}, {"path": "tedlium_23742.wav", "duration": 8.04, "text": "The higher earnings mainly reflect a reversal of provision for losses on guarantee obligations for the North Sea oil project."}, {"path": "tedlium_23743.wav", "duration": 8.04, "text": "and they occur some in the beginning of the year, some in the middle part of the year. So we're usually able to be"}, {"path": "tedlium_23744.wav", "duration": 8.04, "text": "we're beginning to focus on those customers where we can deliver the most value and consequently, extract the most value from our perspective."}, {"path": "tedlium_23745.wav", "duration": 8.04, "text": "The program is expected to be executed through 2019 but is not specific as to when or how many shares will be purchased."}, {"path": "tedlium_23746.wav", "duration": 8.04, "text": "This concludes our comments on the quarter's results, looking forward to speaking with you on the call later today."}, {"path": "tedlium_23747.wav", "duration": 8.04, "text": "Finally, I'll touch on our business development efforts before turning it over to Laura to run through the financials. BD remains a key piece of our strategy,"}, {"path": "tedlium_23748.wav", "duration": 8.04, "text": "that included a customer acquiring over 20 high-end FortiGate products along with a range of other products and services."}, {"path": "tedlium_23749.wav", "duration": 8.04, "text": "is about the margin and I previously talked about the ambition to be reaching the 10% margin"}, {"path": "tedlium_23750.wav", "duration": 8.04, "text": "unlike many of our competitors, we did a pay increase in the fourth quarter of '16. Prior to that, we also"}, {"path": "tedlium_23751.wav", "duration": 8.04, "text": "We'd like to highlight when comparing total revenue between the second quarter this year over the first quarter of this year, the results were relatively flat."}, {"path": "tedlium_23752.wav", "duration": 8.04, "text": "as we contemplate divestitures in particular, we use the same criteria that we"}, {"path": "tedlium_23753.wav", "duration": 8.04, "text": "Turning to Slide 5. We continued to see gains in key specialty product lines in the first quarter."}, {"path": "tedlium_23754.wav", "duration": 8.04, "text": "of course, our motivation is to keep going and to do everything that we can to make this business"}, {"path": "tedlium_23755.wav", "duration": 8.04, "text": "Now in addition to being affordable and abundant, I want to stress again some facts about the environmental friendliness of natural gas."}, {"path": "tedlium_23756.wav", "duration": 8.04, "text": "of our strategic evolution, which will reduce our concentrations in legacy markets and older properties."}, {"path": "tedlium_23757.wav", "duration": 8.04, "text": "We have been very focused on minimizing this volatility through additional basis hedges, which I will get into a bit later."}, {"path": "tedlium_23758.wav", "duration": 8.04, "text": "This is a journey and we still have much to accomplish, with several more potential divestments slated from now into early next year,"}, {"path": "tedlium_23759.wav", "duration": 8.04, "text": "And importantly, increased investor interest has moved both of our gold and silver trust to premiums"}, {"path": "tedlium_23760.wav", "duration": 8.04, "text": "As I mentioned in my opening remarks and as Christie also discussed, we continue to invest in business"}, {"path": "tedlium_23761.wav", "duration": 8.04, "text": "The continuing decrease in the capital ratio quarter-to-quarter is by design and results from strong asset growth."}, {"path": "tedlium_23762.wav", "duration": 8.04, "text": "to ensure that we have the supply and so that we can do our best to ensure that there is some cost competitiveness out there for us as well."}, {"path": "tedlium_23763.wav", "duration": 8.04, "text": "In terms of materials, I think some of the materials and supplies that we use in both drilling and pressure pumping will start to move up"}, {"path": "tedlium_23764.wav", "duration": 8.04, "text": "Our C3 Alliance also extends our solution and is a key differentiator for us with prospects and customers who are looking for more cooperation among vendors."}, {"path": "tedlium_23765.wav", "duration": 8.04, "text": "and introduce products that are more efficient from a manufacturing perspective. So I think that is where Gates Operating System transitions to"}, {"path": "tedlium_23766.wav", "duration": 8.04, "text": "more of a promotional environment or just given with some of the events that are going on? Or -- and what's your outlook halfway through the holiday period?"}, {"path": "tedlium_23767.wav", "duration": 8.04, "text": "all your questions on March 8, and we'll do the best job we can. But for now, we'd love to answer whatever questions you have, especially about this quarter."}, {"path": "tedlium_23768.wav", "duration": 8.04, "text": "The second piece of it is there are a couple of loans in there that I would categorize as just less traditional to frankly get financed on"}, {"path": "tedlium_23769.wav", "duration": 8.04, "text": "And in the DIY space, we continue to optimize our product to drive conversion and deliver an exceptional client experience."}, {"path": "tedlium_23770.wav", "duration": 8.04, "text": "As we did last quarter, we have adjusted the financial results to exclude Centennial to provide a clearer look at the performance of the remaining operations."}, {"path": "tedlium_23771.wav", "duration": 8.04, "text": "Thank you for your continued interest and support of Camping World. As we look to double the size of our business over the next 5 years,"}, {"path": "tedlium_23772.wav", "duration": 8.04, "text": "this creates an opportunity to have a positive impact on gross inflows. It's an area where we have a strong"}, {"path": "tedlium_23773.wav", "duration": 8.04, "text": "This acquisition would bring a new source of expertise and innovative technologies, particularly in data management,"}, {"path": "tedlium_23774.wav", "duration": 8.04, "text": "This allows us to maintain our presence in trade area and improve productivity and profitability in much the same way."}, {"path": "tedlium_23775.wav", "duration": 8.04, "text": "I can tell you we continue to be very pleased with the acquisition of Scepter and the contributions it has made to the Myers business and earnings."}, {"path": "tedlium_23776.wav", "duration": 8.04, "text": "As we mentioned in the earnings release, headwinds from the challenged agricultural end market are expected to continue during the fourth quarter."}, {"path": "tedlium_23777.wav", "duration": 8.04, "text": "Liquidation and paydown activity on distressed loans continued to generate significant positive cash flows."}, {"path": "tedlium_23778.wav", "duration": 8.04, "text": "It's not unusual in a contract like this to see fluctuations from the estimates that were first provided as part of the tender process, and it's worth noting that"}, {"path": "tedlium_23779.wav", "duration": 8.04, "text": "We did hold a webinar 2 days ago, and I was really proud that we were kind of first to market in that regard with a very comprehensive webinar held in conjunction with"}, {"path": "tedlium_23780.wav", "duration": 8.04, "text": "Should any of these materialize or should our assumptions prove to be incorrect, actual company results could differ materially from these forward-looking statements."}, {"path": "tedlium_23781.wav", "duration": 8.04, "text": "around how their agents can be more productive, how they can retire all these legacy systems so that they have a single unified view of the customer,"}, {"path": "tedlium_23782.wav", "duration": 8.04, "text": "I think -- I still think that the Parkway sale other than the cleanup of the construction stuff that we're doing now"}, {"path": "tedlium_23783.wav", "duration": 8.04, "text": "depending on the structure that we employ for revenue in these collaborations, can affect the timing of the revenue recognition."}, {"path": "tedlium_23784.wav", "duration": 8.04, "text": "We continue to right size the business and accelerated our planned closures of 2 facilities in Brazil this year."}, {"path": "tedlium_23785.wav", "duration": 8.04, "text": "is -- the only thing there that I would consider a little out of period or unusual for this quarter"}, {"path": "tedlium_23786.wav", "duration": 8.04, "text": "you see the telecommunications operators and the satellite operators combining so that they have a decent force against"}, {"path": "tedlium_23787.wav", "duration": 8.04, "text": "And again, we have a full portfolio of programs we're driving around productivity that we expect will deliver over the next"}, {"path": "tedlium_23788.wav", "duration": 8.04, "text": "primarily from higher utilization and operational efficiencies. Through the end of the first quarter,"}, {"path": "tedlium_23789.wav", "duration": 8.04, "text": "And I was hoping that you could talk a little bit -- as you look across your Refining, marketing and Logistics segments,"}, {"path": "tedlium_23790.wav", "duration": 8.04, "text": "the torture we've been put through because we were stuck because we couldn't grow because we didn't have the new capacity in place."}, {"path": "tedlium_23791.wav", "duration": 8.04, "text": "if that is a legitimate concern for sort of your legacy avenue of growth. Or"}, {"path": "tedlium_23792.wav", "duration": 8.04, "text": "On a GAAP basis, including amounts categorized as realized investment gains or losses and results from divested businesses,"}, {"path": "tedlium_23793.wav", "duration": 8.04, "text": "But we don't have the liberty to give more information because it's a private placement. And as you may hear from the number,"}, {"path": "tedlium_23794.wav", "duration": 8.04, "text": "We were encouraged by the pickup in spending from midsize and large U.S. pharmaceutical customers who had been more cautious earlier in the year."}, {"path": "tedlium_23795.wav", "duration": 8.04, "text": "and our ability to deliver that speed to market with our reimagined Agile model has been instrumental in winning many large transformation deals."}, {"path": "tedlium_23796.wav", "duration": 8.04, "text": "The low growth level of expenses was achieved through an ongoing and disciplined focus on active cost management,"}, {"path": "tedlium_23797.wav", "duration": 8.04, "text": "as all of these systems will be migrated to a single efficient Virtu quality process supported by a common infrastructure."}, {"path": "tedlium_23798.wav", "duration": 8.04, "text": "right? It's about looking at our digital offering and making sure that it is extremely easy to interact with,"}, {"path": "tedlium_23799.wav", "duration": 8.04, "text": "The external environment is challenging, but we continue to focus on the needs of our students and operational excellence."}, {"path": "tedlium_23800.wav", "duration": 8.04, "text": "through '16 kind of calendar year, because I think some things will fall out -- I think some clients will fall out and realize they should have had the product"}, {"path": "tedlium_23801.wav", "duration": 8.04, "text": "Should we expect those 2 variables to continue to weigh on your profitability in the fourth quarter and early next year?"}, {"path": "tedlium_23802.wav", "duration": 8.04, "text": "towards the end of the first half, what do you think about your inventory level?"}, {"path": "tedlium_23803.wav", "duration": 8.04, "text": "are putting up a good fight with more aggressive bundles and improved video offers. I mean, this has been happening for a while, and we never underestimate these guys."}, {"path": "tedlium_23804.wav", "duration": 8.04, "text": "These statements involve risks and uncertainties that could cause results to differ materially from historical performance and these statements."}, {"path": "tedlium_23805.wav", "duration": 8.04, "text": "show what you can do with the business over time or you might be looking at longer-term valuations for that similar type of asset?"}, {"path": "tedlium_23806.wav", "duration": 8.04, "text": "Following the receipt of necessary permits and regulatory approvals, construction on this project is expected to begin early next year"}, {"path": "tedlium_23807.wav", "duration": 8.04, "text": "And of course, there are some draperies in the main lobbies, but the bigger volume is in the individual hotel room for window treatments."}, {"path": "tedlium_23808.wav", "duration": 8.04, "text": "global presence and the extensive experience to assist us in the review of different partnering structures."}, {"path": "tedlium_23809.wav", "duration": 8.04, "text": "change of ownership risk that was highlighted by one of your colleague in question previously, we don't think it will come that"}, {"path": "tedlium_23810.wav", "duration": 8.04, "text": "During our distributor and sales meeting, we shared 1 product in development with our sales and distribution team."}, {"path": "tedlium_23811.wav", "duration": 8.04, "text": "We did see higher preproduction engineering investment in support of new launches, along with an unfavorable product line mix."}, {"path": "tedlium_23812.wav", "duration": 8.04, "text": "towards the end of this year. And then also, we've talked a lot about aggressively dealing with inventory. We've done a lot of that in the first 3 quarters"}, {"path": "tedlium_23813.wav", "duration": 8.04, "text": "The quarterly increase was mainly attributable to growth in international equipment revenue, reflecting our continued momentum"}, {"path": "tedlium_23814.wav", "duration": 8.04, "text": "have seen and know for -- I know that from previous years or from Martin, but here just kind of as a rehearsal."}, {"path": "tedlium_23815.wav", "duration": 8.04, "text": "Today, we are supplying thousands of customers directly and indirectly through our network of domestic and international distributors."}, {"path": "tedlium_23816.wav", "duration": 8.04, "text": "with a diligent approach to cost savings, allowing us to deliver earnings per share growth."}, {"path": "tedlium_23817.wav", "duration": 8.04, "text": "With those business leaders and Sanjiv and Ben, I'm confident about our capability to move this organization forward."}, {"path": "tedlium_23818.wav", "duration": 8.04, "text": "and so that would imply. I'm going to fill in some blanks for you. That will imply that they're are going to be strictly"}, {"path": "tedlium_23819.wav", "duration": 8.04, "text": "And we need to continue to leverage the higher-margin tank parts and services opportunities to improve the margins in our retail segment,"}, {"path": "tedlium_23820.wav", "duration": 8.04, "text": "The weakness that we reported recently is mainly a feature of routes from Asia Pacific and America to Europe."}, {"path": "tedlium_23821.wav", "duration": 8.04, "text": "wait to go through the filings. You went through all your free cash numbers, et cetera. So my other question is,"}, {"path": "tedlium_23822.wav", "duration": 8.04, "text": "the range in EBITDA is generally attributable to the discretionary business that we -- that our customers do with us"}, {"path": "tedlium_23823.wav", "duration": 8.04, "text": "an idea of the number of stores and the size and the magnitude of the sub-acquiree? And what is the TEF that you already"}, {"path": "tedlium_23824.wav", "duration": 8.04, "text": "We have proven ourselves time and time again and have shown our commitment to our dividend under more difficult circumstances."}, {"path": "tedlium_23825.wav", "duration": 8.04, "text": "Construction activity is picking up. We have the inventory, footprint and people resources to benefit from the current improved business climate."}, {"path": "tedlium_23826.wav", "duration": 8.04, "text": "the value of the assets that we're building inside of us and that the value that these exchange place on these kinds of businesses because this is their future."}, {"path": "tedlium_23827.wav", "duration": 8.04, "text": "Lately, it seems like there's been an excess amount of discussions regarding rate increases or lack thereof."}, {"path": "tedlium_23828.wav", "duration": 8.04, "text": "Then the projects that Transco has in the AC proceeding would be up next a"}, {"path": "tedlium_23829.wav", "duration": 8.04, "text": "And so regardless of what the owner of the business or its financial management team would like to do, they can't."}, {"path": "tedlium_23830.wav", "duration": 8.04, "text": "during the quarter, and that despite selling significantly less receivables than a normal year."}, {"path": "tedlium_23831.wav", "duration": 8.04, "text": "Solid CET1 ratios with high quality with very small difference between debt phase-in and the fully loaded ratio"}, {"path": "tedlium_23832.wav", "duration": 8.04, "text": "On our last earnings call, I signed off saying I was optimistic about the quarters ahead, and today, I'd like to leave you with that same sentiment."}, {"path": "tedlium_23833.wav", "duration": 8.04, "text": "remind us of the scale of manufacturing you currently have? And kind of as you go into more and more indications,"}, {"path": "tedlium_23834.wav", "duration": 8.04, "text": "But to a more fundamental question, we have a very solid book. We have a very healthy allowance account."}, {"path": "tedlium_23835.wav", "duration": 8.04, "text": "have it come through the appropriation process. I think perhaps one of the most significant advantages for us would be that"}, {"path": "tedlium_23836.wav", "duration": 8.04, "text": "And equally as important is a reasonable seller and reasonable seller expectations. And there have been -- there has been a little bit of dislocation in that, but"}, {"path": "tedlium_23837.wav", "duration": 8.04, "text": "I hope you've had the opportunity to review our earnings release from yesterday. Thomas, Bob, and I will address any questions regarding our second quarter results"}, {"path": "tedlium_23838.wav", "duration": 8.04, "text": "But at the same time, it's something that makes us even more convinced of what we are able to deliver in the next couple of quarters."}, {"path": "tedlium_23839.wav", "duration": 8.04, "text": "The domestic product is closely aligned and integrated with our international import-export business that is doing great."}, {"path": "tedlium_23840.wav", "duration": 8.04, "text": "we asked people, and we broke the data down by what treatments their family members were on currently."}, {"path": "tedlium_23841.wav", "duration": 8.04, "text": "in terms of the satellites, in terms of the ground terminals and the like. And we were persuaded some time ago"}, {"path": "tedlium_23842.wav", "duration": 8.04, "text": "and we will be there serving them to assist them in any way we can, which, in some regards,"}, {"path": "tedlium_23843.wav", "duration": 8.04, "text": "For an explanation of the items considered to be non-GAAP financial information that will be discussed on today's call"}, {"path": "tedlium_23844.wav", "duration": 8.04, "text": "drops may be more of a priority in terms of order of execution at this point? Or"}, {"path": "tedlium_23845.wav", "duration": 8.04, "text": "Based on how well the plant has been running, the decision has been made to reduce the length of the upcoming September turnaround to 12 days."}, {"path": "tedlium_23846.wav", "duration": 8.04, "text": "strengthen our loyalty program and engage more Canadians than ever before. We believe there's significant untapped opportunity here."}, {"path": "tedlium_23847.wav", "duration": 8.04, "text": "in not only developing new products in the engineering functions of designing new things that would simplify our RFS offering."}, {"path": "tedlium_23848.wav", "duration": 8.04, "text": "Promoted Story allows brands to take advantage of the familiar Stories format that we invented 4 years ago."}, {"path": "tedlium_23849.wav", "duration": 8.04, "text": "For a summary of specific risk factors that could cause results to differ materially from those expressed in the forward-looking statements,"}, {"path": "tedlium_23850.wav", "duration": 8.04, "text": "in continuing the momentum into the first quarter. I think it's probably -- given the way new business bookings work,"}, {"path": "tedlium_23851.wav", "duration": 8.04, "text": "Unemployment remains high, to start with. And none of those drivers is likely to be available in the short term to drive growth."}, {"path": "tedlium_23852.wav", "duration": 8.04, "text": "predicting that it's going to be flat or what it's going to be doing yet. That's still work to be done here in this -- in the next few months as we come up with our plan. So"}, {"path": "tedlium_23853.wav", "duration": 8.04, "text": "and sales were strong against key geographies, categories and channels and balanced between evergreen back catalog content"}, {"path": "tedlium_23854.wav", "duration": 8.04, "text": "big downdraft in pricing with a lot of inventory on hand. We kind of like it when it goes the other way, when our inventory does revalue because"}, {"path": "tedlium_23855.wav", "duration": 8.04, "text": "David's announcement is another example of the actions we're taking to build the foundation for a growth company,"}, {"path": "tedlium_23856.wav", "duration": 8.04, "text": "we have now a capital productivity task force in the company whose focus is to try and improve capital productivity, both on"}, {"path": "tedlium_23857.wav", "duration": 8.04, "text": "This facility is being sized and designed to support the anticipated growth we could see for the next 10 years."}, {"path": "tedlium_23858.wav", "duration": 8.04, "text": "Overall, I would say the economic landscape is supportive of continued order and revenue growth momentum"}, {"path": "tedlium_23859.wav", "duration": 8.04, "text": "Our growth in new products has been strong, with a vitality index that has doubled from the prior year."}, {"path": "tedlium_23860.wav", "duration": 8.04, "text": "how many of those you've touched kind of in the last couple of years in terms of maybe relocations or redesigns or anything like that to give us a sense"}, {"path": "tedlium_23861.wav", "duration": 8.0100625, "text": "As far as anything that we do to offset it, we have not implemented any particular strategy. We have not changed our pricing approach next year."}, {"path": "tedlium_23862.wav", "duration": 8.01, "text": "Closing is subject to Federal Trade Commission and Canadian Competition Bureau approval as well as other customary closing conditions."}, {"path": "tedlium_23863.wav", "duration": 8.01, "text": "But all in all, I would say that we are very satisfied with the development of cash flow, bringing the leverage below 2 turns."}, {"path": "tedlium_23864.wav", "duration": 8.01, "text": "We look at how we spend each and every dollar, and how we can maximize that dollar to realize the best return for the long term"}, {"path": "tedlium_23865.wav", "duration": 8.01, "text": "and expanded assets under delegated management by fivefold. I am pleased the company will continue to benefit from Julio's advice"}, {"path": "tedlium_23866.wav", "duration": 8.01, "text": "Good morning. My name is Sophie and I will be your conference operator today."}, {"path": "tedlium_23867.wav", "duration": 8.01, "text": "and, at the same time, continue our relentless focus on satisfying customers as they move more mission-critical applications to the platform."}, {"path": "tedlium_23868.wav", "duration": 8.01, "text": "I would like to remind you that some of the statements that we make during today's call may be considered forward-looking statements within the meaning of the safe harbor provision"}, {"path": "tedlium_23869.wav", "duration": 8.01, "text": "And I will continue, and I'll commit to continue to update you on the progress of the plan."}, {"path": "tedlium_23870.wav", "duration": 8.01, "text": "excluding volatility in the rate due to the adoption of a new accounting standard related to the tax treatment for exercises in employee equity plan."}, {"path": "tedlium_23871.wav", "duration": 8.01, "text": "So we're well positioned -- really well positioned short term to maximize on the growth out there through that header and through our pipes,"}, {"path": "tedlium_23872.wav", "duration": 8.01, "text": "Digital adoption increased by 7%, which continues to accelerate with good growth in all regions."}, {"path": "tedlium_23873.wav", "duration": 8.01, "text": "As the higher levels of excess tax benefits related to the equity awards from the IPO have now been recognized."}, {"path": "tedlium_23874.wav", "duration": 8.01, "text": "and with the combined success of debt reduction and improved operational performance, we're now even better positioned to advance our project pipeline."}, {"path": "tedlium_23875.wav", "duration": 8.01, "text": "On independence, if we just go back to that one for a second. I think it's one that people have taken for granted for so long,"}, {"path": "tedlium_23876.wav", "duration": 8.01, "text": "Our first quarter volume growth, cost trends and synergy realization all were above our expectations."}, {"path": "tedlium_23877.wav", "duration": 8.01, "text": "I think we've got to get to closing before we start to really articulate some of our plans. But obviously, we anticipate a lot of synergies to be realized,"}, {"path": "tedlium_23878.wav", "duration": 8.01, "text": "where are the areas that you feel like you were weakest sort of coming into this year and where the greatest improvements will come from?"}, {"path": "tedlium_23879.wav", "duration": 8.01, "text": "is to invest in our own managed fund product. And so as we highlight in the prepared remarks, we currently have a balance sheet"}, {"path": "tedlium_23880.wav", "duration": 8.01, "text": "It is our understanding that this carrier is reviewing major capital programs, and our vectoring program is part of this review."}, {"path": "tedlium_23881.wav", "duration": 8.01, "text": "So now let me just go into a little more deal and color on each of those points."}, {"path": "tedlium_23882.wav", "duration": 8.01, "text": "sector has been a little bit bumpy over the past year, and we want to provide ourselves enough wiggle room. On top of that,"}, {"path": "tedlium_23883.wav", "duration": 8.01, "text": "There has been a lot of excitement, speculation and even fear surrounding the arrival of 5G and how it may impact our business."}, {"path": "tedlium_23884.wav", "duration": 8.01, "text": "a majority of the market. So there is a lot of waste in the process. Now with our IT system, with our sales management system,"}, {"path": "tedlium_23885.wav", "duration": 8.01, "text": "getting mediocre ratings to make them better and we tend to eliminate products that are getting low ratings and reintroduce them and that's constantly"}, {"path": "tedlium_23886.wav", "duration": 8.01, "text": "just continue to execute and keep moving ahead. That's our focus. We have quite a large interest in"}, {"path": "tedlium_23887.wav", "duration": 8.01, "text": "let's say, activity going forward. That puts a little bit of pressure on the revenue stream in that particular segment."}, {"path": "tedlium_23888.wav", "duration": 8.01, "text": "the agriculture market and so on. But we're just not seeing a lot of interest from that side of it."}, {"path": "tedlium_23889.wav", "duration": 8.01, "text": "without losing sight of the primary objective of actually delivering the right value proposition to our customers. They want compliance,"}, {"path": "tedlium_23890.wav", "duration": 8.01, "text": "On that call, I highlighted a refined description of our business focus as that of a gaming technology company."}, {"path": "tedlium_23891.wav", "duration": 8.01, "text": "When we look at new product launches for 2017, we say we have about 20 products. I would tell you that we have a"}, {"path": "tedlium_23892.wav", "duration": 8.01, "text": "Our long-term efforts to further raise efficiency and improve our working capital are paying off more and more."}, {"path": "tedlium_23893.wav", "duration": 8.01, "text": "think about the antibacterial products that you might buy to make sure the paint in the cans are"}, {"path": "tedlium_23894.wav", "duration": 8.01, "text": "by some of the sub businesses, what type of growth you're going to see in the second half to sort of hit that full year number?"}, {"path": "tedlium_23895.wav", "duration": 8.01, "text": "We are already making plans to collapse the noncore unit at year-end and migrate any residual RWA back into the Core Bank."}, {"path": "tedlium_23896.wav", "duration": 8.01, "text": "putting clarity of what you're supposed to be doing in your role, how you support each other then in the restaurant and then providing clarity of how you can grow"}, {"path": "tedlium_23897.wav", "duration": 8.01, "text": "we will only disclose this metric for the full year as it's best reviewed on an annual basis given the seasonality of our business."}, {"path": "tedlium_23898.wav", "duration": 8.01, "text": "to complete the analysis and gain agreement with FDA on this particular piece. We are confident we will get there in the very near future."}, {"path": "tedlium_23899.wav", "duration": 8.01, "text": "an increase in LatAm North in industrial risk and transportation due to the issuance of the PEMEX policy,"}, {"path": "tedlium_23900.wav", "duration": 8.01, "text": "Before I turn the call over to Chris, let me touch a little on our PAS model, which continues to see strong growth."}, {"path": "tedlium_23901.wav", "duration": 8.01, "text": "Now to look at the individual pieces, to give you a little bit more granularity. We expect natural gas to end the year slightly"}, {"path": "tedlium_23902.wav", "duration": 8.01, "text": "the goddamned crooked lawyers appealing and delaying and delaying and appealing so they can generate more legal fees,"}, {"path": "tedlium_23903.wav", "duration": 8.01, "text": "Any way to think about how those impact sort of core growth in the Service segment? I mean, should we be bumping up our expectations"}, {"path": "tedlium_23904.wav", "duration": 8.01, "text": "we've got all the data we need, but actually it's the way we present it can be a little more insightful to drive a few more actions. So we will always look to improve"}, {"path": "tedlium_23905.wav", "duration": 8.01, "text": "opportunity to engage in consolidation, and we think we'll be able to achieve that also at the net"}, {"path": "tedlium_23906.wav", "duration": 8.01, "text": "But there's opportunities for us to cobble together a team and to potentially continue to move forward there. So we are looking at that."}, {"path": "tedlium_23907.wav", "duration": 8.01, "text": "which did not allow for the opportunity to replace the decreased supply of used textbooks as a result of rental."}, {"path": "tedlium_23908.wav", "duration": 8.01, "text": "Let us move to Slide 5. Here are the main figures of the semester."}, {"path": "tedlium_23909.wav", "duration": 8.01, "text": "we have made some quick decisions to add incremental capacity in our existing footprint."}, {"path": "tedlium_23910.wav", "duration": 8.01, "text": "negotiating financial terms of the transaction and ultimately finalizing a definitive license agreement takes a substantial amount of time and human capital."}, {"path": "tedlium_23911.wav", "duration": 8.01, "text": "relative to certain market conditions or changes as you might in the other models. So I don't believe you see that"}, {"path": "tedlium_23912.wav", "duration": 8.01, "text": "And yes, we continue to build our Prestige business, with all brands growing in line with our plans."}, {"path": "tedlium_23913.wav", "duration": 8.01, "text": "The improvement in cash flow from operations is primarily due to the timing of tax and other payments."}, {"path": "tedlium_23914.wav", "duration": 8.01, "text": "representing reported and constant currency growth of 13%. We continued to see improvements in profitability"}, {"path": "tedlium_23915.wav", "duration": 8.01, "text": "was very much about mortality of people that are 100 years and beyond, so that I would call on the outskirts."}, {"path": "tedlium_23916.wav", "duration": 8.01, "text": "But with this product launch, we have that capability and have adjusted the way our magnets function so that they don't"}, {"path": "tedlium_23917.wav", "duration": 8.01, "text": "Inventory will also be another key area of focus where we will implement our revised approach to stock management and distribution"}, {"path": "tedlium_23918.wav", "duration": 8.01, "text": "As expected, total consolidated revenues for this quarter declined as a result of the contracted decline in our cinema equipment business"}, {"path": "tedlium_23919.wav", "duration": 8.01, "text": "Telling me most of the new deliveries are big ships, while most of the scrapping continues to be focused on midsized and smaller vessels,"}, {"path": "tedlium_23920.wav", "duration": 8.01, "text": "And we see an increased focus from customers when it comes to flexibility,"}, {"path": "tedlium_23921.wav", "duration": 8.01, "text": "big impact in terms of us being more challenged with our product line. So"}, {"path": "tedlium_23922.wav", "duration": 8.01, "text": "This is a highly complementary acquisition that will provide new revenue, technology, talent and access to markets."}, {"path": "tedlium_23923.wav", "duration": 8.01, "text": "While Panama City itself was spared from the storm surge and the flooding that hit areas to the west, our plant was damaged by high winds."}, {"path": "tedlium_23924.wav", "duration": 8.01, "text": "understanding our product offering. To make sure that our specialist presenter programs and others are the best that they can be."}, {"path": "tedlium_23925.wav", "duration": 8.01, "text": "Our focus on adding customers on the Vonage Business Cloud platform lowers this risk significantly."}, {"path": "tedlium_23926.wav", "duration": 8.01, "text": "As you think about your models for the next 2 quarters, remember that Q4 is seasonally a higher revenue quarter"}, {"path": "tedlium_23927.wav", "duration": 8.01, "text": "Now that we're a little further into this process, I was wondering if there were any maybe more specific metrics you could share along those lines. Because,"}, {"path": "tedlium_23928.wav", "duration": 8.01, "text": "We believe we have the right strategy, we have the right team, we have the right approach to capital allocation to continue to create value for our shareholders."}, {"path": "tedlium_23929.wav", "duration": 8.01, "text": "However, it's worth noting that our teams are acting on numerous recent proposals in these business areas that could prove fruitful."}, {"path": "tedlium_23930.wav", "duration": 8.01, "text": "It seems that on the last report issued by the association of book printers in Brazil"}, {"path": "tedlium_23931.wav", "duration": 8.01, "text": "As such, the facility has been classified as an asset held for sale and is reported as a discontinued operation."}, {"path": "tedlium_23932.wav", "duration": 8.01, "text": "we remain focused on reducing costs, expanding margins and building our advantaged platform to drive top line growth."}, {"path": "tedlium_23933.wav", "duration": 8.01, "text": "the meantime, please feel free to reach out to us at any time, and we look forward to talking with you all again after our first quarter results."}, {"path": "tedlium_23934.wav", "duration": 8.01, "text": "way more than we expected of our Shacks are going to open in the third and fourth quarter, with the vast majority of those in the fourth quarter,"}, {"path": "tedlium_23935.wav", "duration": 8.01, "text": "for Mylan to capture the very large outpatient market and for combined efforts by both companies in the hospital discharge arena."}, {"path": "tedlium_23936.wav", "duration": 8.01, "text": "But I think it's probably not fair to compare it directly because those are often spot blood pressures as opposed to profiles as we've generated in the study."}, {"path": "tedlium_23937.wav", "duration": 8.01, "text": "As previously discussed, we remain committed to improving our overall expense scalability and efficiency"}, {"path": "tedlium_23938.wav", "duration": 8.01, "text": "It is now my pleasure to introduce your host, Mr. Simon Harnest, Vice President of Corporate Strategies and Finance. Thank you. You may begin."}, {"path": "tedlium_23939.wav", "duration": 8.01, "text": "In particular, we're always looking at ways of managing our risk to create the best economic outcomes across scenarios"}, {"path": "tedlium_23940.wav", "duration": 8.01, "text": "We've been reviving existing brands like NOMA, MOTOMASTER and Outbound. These 3 brands have been rejuvenated over the past 2 years"}, {"path": "tedlium_23941.wav", "duration": 8.01, "text": "And so when you talk about the beverage projects, should we think about that bucket of revenue, is that about 350 of sales that's kind of."}, {"path": "tedlium_23942.wav", "duration": 8.01, "text": "basically -- we've won these just by going in and showing the performance of the battery."}, {"path": "tedlium_23943.wav", "duration": 8.01, "text": "Within 2017, we reset several business strategies and tactics to enable greater value production shipments"}, {"path": "tedlium_23944.wav", "duration": 8.01, "text": "This charge represents our best estimate, and the actual expense may differ from this estimate due to further refinement of our calculations"}, {"path": "tedlium_23945.wav", "duration": 8.01, "text": "as opposed to silo play either from an organizational structure or from a compensation perspective to make sure that you're capturing as much wallet share"}, {"path": "tedlium_23946.wav", "duration": 8.01, "text": "the member representation groups, is that this is such a low level of incidence"}, {"path": "tedlium_23947.wav", "duration": 8.01, "text": "that can experience fluctuations in working capital on a quarter-to-quarter basis and provide a better metric to track our profitability over time."}, {"path": "tedlium_23948.wav", "duration": 8.01, "text": "is that we have relationships with customers on both sides of the federal government marketplace. And I think that will,"}, {"path": "tedlium_23949.wav", "duration": 8.01, "text": "We see an expanding role for EXPAREL in oral surgery field, where an overwhelming majority of patients would prefer a nonopioid option for managing pain."}, {"path": "tedlium_23950.wav", "duration": 8.01, "text": "But this is a journey of many steps. And the early ones are planted firmly in leading and consolidating key parts of the traditional genetic testing industry."}, {"path": "tedlium_23951.wav", "duration": 8.01, "text": "impact per se in terms of our strategy of looking to hold our overall EBIT margins. It's just one of the variables"}, {"path": "tedlium_23952.wav", "duration": 8.01, "text": "The Porter's Paint acquisition we completed during the year is an example of extending our reach in premium design-focused brands."}, {"path": "tedlium_23953.wav", "duration": 8.01, "text": "what the supply of the Switch is going to be. And I'd say those 2 factors kept us with the same guidance."}, {"path": "tedlium_23954.wav", "duration": 8.01, "text": "try to effectuate some change. So I'm not projecting a whole bunch of impact from Alpha"}, {"path": "tedlium_23955.wav", "duration": 8.01, "text": "and we made meaningful progress on this initiative in the third quarter. I'd like to take a few moments to discuss our portfolio's performance,"}, {"path": "tedlium_23956.wav", "duration": 8.01, "text": "Okay, so a very good morning to everybody, and welcome to IPC's second quarter"}, {"path": "tedlium_23957.wav", "duration": 8.01, "text": "And so, sometimes, you get a little bit, not quite lazy, but we sort of work with what we see rather than go out and try and get what we want."}, {"path": "tedlium_23958.wav", "duration": 8.01, "text": "Today's conference is being recorded. At this time, I would like to turn the conference over to Allison Cain of ICR. You may begin."}, {"path": "tedlium_23959.wav", "duration": 8.01, "text": "To that end, we are currently exploring such an entity as it would enable us to recapture a portion of the portfolio insurance market."}, {"path": "tedlium_23960.wav", "duration": 8.01, "text": "I don't believe, first off, that it strengthens them at all on the core side because this acquisition has nothing to do with their core."}, {"path": "tedlium_23961.wav", "duration": 8.01, "text": "and seeing growth out of those customers because they have more functionality on the new platform. We're adding new customers through the"}, {"path": "tedlium_23962.wav", "duration": 8.01, "text": "this is something that does get competed away. But if you think about increasing clean product yields, and specifically, you guys have a few projects"}, {"path": "tedlium_23963.wav", "duration": 8.01, "text": "but what would it take for you to flex that down? Or are you looking at the adds that you're coming -- that you're bringing in"}, {"path": "tedlium_23964.wav", "duration": 8.01, "text": "let me say, the tower environment is enough exciting because the new technology that"}, {"path": "tedlium_23965.wav", "duration": 8.01, "text": "It differs because Greenhill has a much wider, in terms of"}, {"path": "tedlium_23966.wav", "duration": 8.01, "text": "other factors that could cause actual results to differ materially from those indicated or implied by such statements."}, {"path": "tedlium_23967.wav", "duration": 8.01, "text": "Concrete tensioning sales declined modestly as we stabilized the operations and worked to claw back lost shares resulting from poor delivery."}, {"path": "tedlium_23968.wav", "duration": 8.01, "text": "And like you said, yes, we probably will be doing some sort of recruiting special in the future. We just don't give any dates or details."}, {"path": "tedlium_23969.wav", "duration": 8.01, "text": "Turning to our sales results. Although the economy in our region remained strong and we continue to add customers,"}, {"path": "tedlium_23970.wav", "duration": 8.01, "text": "And then as it relates to both the longer-term implications on bad debt and also the administration costs, as Jay mentioned,"}, {"path": "tedlium_23971.wav", "duration": 8.01, "text": "Bryan and Modesto, together with the impact of converting Midland to a JV, will create a net expense"}, {"path": "tedlium_23972.wav", "duration": 8.01, "text": "a reminder, our guidance excludes any potential impact from the previously announced agreement to acquire the Wesson brands."}, {"path": "tedlium_23973.wav", "duration": 8.01, "text": "And finally, note that all amounts discussed today are in Canadian dollars unless otherwise indicated."}, {"path": "tedlium_23974.wav", "duration": 8.01, "text": "as well as the annualization of store openings and strategic investments from the first half of last year."}, {"path": "tedlium_23975.wav", "duration": 8.01, "text": "These metrics are not meant to replace GAAP measurements but are provided as supplements to assist the public in their analysis and valuation of our company."}, {"path": "tedlium_23976.wav", "duration": 8.01, "text": "days it takes to drill and complete our wells from year to year. So even where we're mature, we're still continuing to see a significant"}, {"path": "tedlium_23977.wav", "duration": 8.01, "text": "in the value chain has to contribute to achieve the necessary efficiency gains in our industry, not just the airlines."}, {"path": "tedlium_23978.wav", "duration": 8.01, "text": "As indicated recently, we now expect unit revenues to decrease very significantly in the months ahead."}, {"path": "tedlium_23979.wav", "duration": 8.01, "text": "and expect that line to begin service in the fourth quarter of 2019, with throughput volumes ramping up over a couple of quarters."}, {"path": "tedlium_23980.wav", "duration": 8.01, "text": "there's that. And then, I guess, adjacent to that, I understand that you can't do all of your due diligence that you want to do on a competitor but"}, {"path": "tedlium_23981.wav", "duration": 8.01, "text": "The delays in fine chemicals and nutraceutical orders is dampening performance in this segment. But the focus on operational excellence"}, {"path": "tedlium_23982.wav", "duration": 8.01, "text": "First half performance has been strong and with continued momentum across the business. We expect solid results for the remainder of the year."}, {"path": "tedlium_23983.wav", "duration": 8.01, "text": "and currency in particular, continues to be a headwind for us in most markets around the world. And so the key for us, as we think about"}, {"path": "tedlium_23984.wav", "duration": 8.01, "text": "and strong sales and marketing capabilities will not only grow our business, but will also accelerate the category."}, {"path": "tedlium_23985.wav", "duration": 8.01, "text": "This is what we feel most comfortable, saying this is the foundation for a strong plan. We think it's an ambitious plan and we're excited about it."}, {"path": "tedlium_23986.wav", "duration": 8.01, "text": "The other thing that happens in the unitary tax regime is sometimes, states will change their allocation factors, whether it's"}, {"path": "tedlium_23987.wav", "duration": 8.01, "text": "during the period, we exited credits at a higher spread than those that we entered."}, {"path": "tedlium_23988.wav", "duration": 8.01, "text": "specialized or potentially has ability to grow above the rest of your portfolio, whether it's in beverage"}, {"path": "tedlium_23989.wav", "duration": 8.01, "text": "for the long term as we continue to execute the strategy to change the portfolio towards engineered products and industrial technologies,"}, {"path": "tedlium_23990.wav", "duration": 8.01, "text": "of growth and margin. And we are on track on both of these. And so for now, I wouldn't want to get into a discussion."}, {"path": "tedlium_23991.wav", "duration": 8.01, "text": "the only way to get better at it is to try to cluster it more. That gives you the ability to go faster in a given area."}, {"path": "tedlium_23992.wav", "duration": 8.01, "text": "they are new and because they can contribute more than normal components to their design."}, {"path": "tedlium_23993.wav", "duration": 8.01, "text": "Note the 3 points in time highlighted in these pie charts. You can see that our portfolio has changed over the past 9 years."}, {"path": "tedlium_23994.wav", "duration": 8.01, "text": "And finally, if you turn to Slide 14, let me summarize. We believe this is an environment where capital preservation is important."}, {"path": "tedlium_23995.wav", "duration": 8.01, "text": "which is notable considering our very significant outperformance in second quarter of last year."}, {"path": "tedlium_23996.wav", "duration": 8.01, "text": "These metrics are not meant to replace GAAP measurements but are provided as supplements to assist the public in their analysis and valuation of our company."}, {"path": "tedlium_23997.wav", "duration": 8.01, "text": "As we have said many times before, we believe it is important for Gray to continue to grow the size and scale of our portfolio with high-quality assets"}, {"path": "tedlium_23998.wav", "duration": 8.01, "text": "Now to address our balance sheet. We are pleased with the strength of our balance sheet and the improvement in our cash position during the quarter."}, {"path": "tedlium_23999.wav", "duration": 8.01, "text": "We experienced strong performance from our network VARs toward the end of the quarter as our regionalization efforts began to take hold."}, {"path": "tedlium_24000.wav", "duration": 8.01, "text": "and accuracy of questions on the front end. So we are going through a transition period with the agreement of the regulators in Canada"}, {"path": "tedlium_24001.wav", "duration": 8.01, "text": "So we are sharing the benefit of tax reform by raising our minimum wage and issuing a special bonus to our team members."}, {"path": "tedlium_24002.wav", "duration": 8.01, "text": "That's because our redesign separates social from media, solving many of the problems that arise when friends are commingled with professional content creators."}, {"path": "tedlium_24003.wav", "duration": 8.01, "text": "selling and be successful in the multinational space, which is a -- again, a mid-teens growing business for us. And this just extends that"}, {"path": "tedlium_24004.wav", "duration": 8.01, "text": "but certainly, by the second half of the year, we expect a substantial number of these items to be in place"}, {"path": "tedlium_24005.wav", "duration": 8.01, "text": "However, reduced customer spending by large enterprise customers on core connectivity, business service solutions and data products"}, {"path": "tedlium_24006.wav", "duration": 8.01, "text": "related to the vesting or exercise of such payments be recognized in our income tax provision rather than in additional paid-in capital."}, {"path": "tedlium_24007.wav", "duration": 8.01, "text": "I know that the initial push or at least my perception was the initial push of that was to get more revenue in your top line quicker."}, {"path": "tedlium_24008.wav", "duration": 8.01, "text": "many of the opportunities in our pipeline are being offered as both a perpetual license and SaaS pricing model."}, {"path": "tedlium_24009.wav", "duration": 8.01, "text": "The typical seasonal trend is for the third quarter volume to decline 3% to 5% from the second quarter."}, {"path": "tedlium_24010.wav", "duration": 8.01, "text": "As Jimmy mentioned, the increase in unit cost was consistent with our plan and was forecasted on our previous earnings call."}, {"path": "tedlium_24011.wav", "duration": 8.01, "text": "has allowed us to achieve sustained operating profitability much earlier than other companies preparing to launch their first drugs."}, {"path": "tedlium_24012.wav", "duration": 8.0099375, "text": "Okay. And so when we talk about the additional opportunity for development through redevelopment of existing buildings, would that additional opportunity be"}, {"path": "tedlium_24013.wav", "duration": 8.0099375, "text": "We've already made great strides in just the first few months of the year with our data presentations at the WORLD Symposium on Orlando,"}, {"path": "tedlium_24014.wav", "duration": 7.98, "text": "Investors should expect this pattern to continue over time, essentially using the stated leverage range as a reference point."}, {"path": "tedlium_24015.wav", "duration": 7.98, "text": "from that. And we expect the level we have seen in Q1 to be certainly sustainable"}, {"path": "tedlium_24016.wav", "duration": 7.98, "text": "the revised range for the combination of our adjusted EBITDA plus the cash on the design and construction contract"}, {"path": "tedlium_24017.wav", "duration": 7.98, "text": "So you can assume that these companies will continue now that they have assurance for continuation"}, {"path": "tedlium_24018.wav", "duration": 7.98, "text": "We continue to focus on controlling cost to maintain positive cash flow and look for any potential opportunities."}, {"path": "tedlium_24019.wav", "duration": 7.98, "text": "The Australian public sector remained soft due to several changes in the federal government, but we anticipate this segment to pick up through the year."}, {"path": "tedlium_24020.wav", "duration": 7.98, "text": "How do you -- what kind of revenue mix in margin profile"}, {"path": "tedlium_24021.wav", "duration": 7.98, "text": "and we're finding the opportunity to put our KXL systems and our drugs into those accounts. So there are opportunities that are"}, {"path": "tedlium_24022.wav", "duration": 7.98, "text": "but I think on a go-forward basis, far less than what we've historically experienced. And if you think about us from a carry perspective,"}, {"path": "tedlium_24023.wav", "duration": 7.98, "text": "with the goal of course of trying to drive similar growth in ACV, some deals are big"}, {"path": "tedlium_24024.wav", "duration": 7.98, "text": "So the company and senior executives have been unable to purchase the stock in this period."}, {"path": "tedlium_24025.wav", "duration": 7.98, "text": "with price increases for the most part. And you said you added a large piece of new business. Can you give us any details there?"}, {"path": "tedlium_24026.wav", "duration": 7.98, "text": "Market capture is impacted in part by the configuration of our refineries and their production relative to the market crack calculation."}, {"path": "tedlium_24027.wav", "duration": 7.98, "text": "associated with closed schools will be reflected within corporate and other. Income taxes."}, {"path": "tedlium_24028.wav", "duration": 7.98, "text": "whereby an oral prophylactic is the patient and physician's overwhelming choice for living a normal life with HAE disease."}, {"path": "tedlium_24029.wav", "duration": 7.98, "text": "I think we are seeing, if we convert to Chile or transition to Chile, I think we were pleased with the product support improvement,"}, {"path": "tedlium_24030.wav", "duration": 7.98, "text": "Our goal is to shrink this loss in each of the next successive quarters and to get to EBITDA breakeven by Q4 of this year."}, {"path": "tedlium_24031.wav", "duration": 7.98, "text": "In order to continue to drive these kinds of recurring revenue engagements, we will be focusing on several important initiatives"}, {"path": "tedlium_24032.wav", "duration": 7.98, "text": "While these cost increases have had a negative impact on margins, we are optimistic that the increase in drilling activity in Canada,"}, {"path": "tedlium_24033.wav", "duration": 7.98, "text": "but we have been able to make up the difference, primarily in the manufacturing industry and retailing and distribution industry."}, {"path": "tedlium_24034.wav", "duration": 7.98, "text": "And I see periods of spikes in the stock that are kind of uncommon for most other bank stocks that I hold."}, {"path": "tedlium_24035.wav", "duration": 7.98, "text": "And that obviously gave us enough confidence to want to not only repeat it in fourth quarter here, but to expand it."}, {"path": "tedlium_24036.wav", "duration": 7.98, "text": "Thanks, Joel, and good afternoon, everyone. I will begin my remarks with a review of our third quarter results"}, {"path": "tedlium_24037.wav", "duration": 7.98, "text": "Yes. I think the reality is the most important device in our life today is our mobile device,"}, {"path": "tedlium_24038.wav", "duration": 7.98, "text": "So there are some spiky elements which happened last year particularly. During the demon period you had some spiky elements where you had income"}, {"path": "tedlium_24039.wav", "duration": 7.98, "text": "One independent reports that they have avoided incidences of stuck pipe by utilizing this system, which they now use routinely."}, {"path": "tedlium_24040.wav", "duration": 7.98, "text": "Expected increases in Medicare FISH reimbursement were slightly offset by slight Medicare decreases in other testing areas."}, {"path": "tedlium_24041.wav", "duration": 7.98, "text": "We experienced strong growth in our enterprise business during the quarter, which speaks to the strategic importance of our products in a healthy demand environment."}, {"path": "tedlium_24042.wav", "duration": 7.98, "text": "It may surprise some, but our optimism is growing and our country is poised to invest significantly in domestic infrastructure."}, {"path": "tedlium_24043.wav", "duration": 7.98, "text": "The deferred tax amount is based on unrealized gains and does not translate into current tax obligations until realized."}, {"path": "tedlium_24044.wav", "duration": 7.98, "text": "if our customers are down a little more in the second half than they expected, then we will be too. And that's exactly what is happening."}, {"path": "tedlium_24045.wav", "duration": 7.98, "text": "We continue to experience steady and strong adjusted EBITDA growth and margin expansion and feel good about our opportunity to extend that into the future."}, {"path": "tedlium_24046.wav", "duration": 7.98, "text": "We believe that our collaboration partners are well positioned to take advantage of STENDRA's 15-minute of onset,"}, {"path": "tedlium_24047.wav", "duration": 7.98, "text": "Looking forward, we expect operating cash flows to increase sharply in the second half of the year, driven by our strong earnings outlook."}, {"path": "tedlium_24048.wav", "duration": 7.98, "text": "Also, Meritor specifically announced UQM as one of their 2 strategic partners in this product line."}, {"path": "tedlium_24049.wav", "duration": 7.98, "text": "So we expect some of that contributed to the 10%, because like you said that's a big swing for our market."}, {"path": "tedlium_24050.wav", "duration": 7.98, "text": "And as you know, there's somebody running for President who's now been constrained to a teleprompter. So I understand his pain."}, {"path": "tedlium_24051.wav", "duration": 7.98, "text": "that's where I want to drive you to. The huge red has to do with the supply we need to perform"}, {"path": "tedlium_24052.wav", "duration": 7.98, "text": "is one of those areas that we believe there's a lot of opportunity to take those dollars that we're currently allocating and make the brand much more visible with what we have."}, {"path": "tedlium_24053.wav", "duration": 7.98, "text": "Next, we would like to explain the positive and negative factors that impacted profit before income taxes for the second quarter."}, {"path": "tedlium_24054.wav", "duration": 7.98, "text": "I previously referenced positive results from the market survey recently completed by Greenwich Associates."}, {"path": "tedlium_24055.wav", "duration": 7.98, "text": "there is also an important network effect. So I literally had a conversation with my pricing team 2 weeks ago"}, {"path": "tedlium_24056.wav", "duration": 7.98, "text": "the work continued on the coal mine, which we took at lower margin because we needed to fill in for a job that was canceled."}, {"path": "tedlium_24057.wav", "duration": 7.98, "text": "One of the main pillars of our strategy is to remove the complexity of shipping for our clients, and we are doing it."}, {"path": "tedlium_24058.wav", "duration": 7.98, "text": "the oil and gas tenants. They reduced their amount of space but this is a picture at the end of this quarter."}, {"path": "tedlium_24059.wav", "duration": 7.98, "text": "We believe that we are in an excellent position with all of these technology"}, {"path": "tedlium_24060.wav", "duration": 7.98, "text": "and also creating a good opportunity to secure the electric load that we need to make this project very attractive economically."}, {"path": "tedlium_24061.wav", "duration": 7.98, "text": "And in terms of kind of the longer range, I don't know how much we can really read into that. I think you have to look at all the"}, {"path": "tedlium_24062.wav", "duration": 7.98, "text": "from what we expected at the time of the second quarter call due to deteriorations in commodity prices subsequent to that call."}, {"path": "tedlium_24063.wav", "duration": 7.98, "text": "also the need to create very high quality environments and to remove the friction from our shopping visit, which we believe is essential."}, {"path": "tedlium_24064.wav", "duration": 7.98, "text": "So we obviously have a deeper view into Florida and also New York not just because of"}, {"path": "tedlium_24065.wav", "duration": 7.98, "text": "Clearly, this is a market -- this is an area that we've really got to get ourselves on the front foot with."}, {"path": "tedlium_24066.wav", "duration": 7.98, "text": "Meanwhile, we plan to invest aggressively in our production facilities to improve production efficiency"}, {"path": "tedlium_24067.wav", "duration": 7.98, "text": "the takeaway from a financial perspective is that we believe we can consistently deliver increasing adjusted EBITDA results,"}, {"path": "tedlium_24068.wav", "duration": 7.98, "text": "Can you speak around what exactly those other factors are? How transitory do you think those factors going to be moving forward? And then"}, {"path": "tedlium_24069.wav", "duration": 7.98, "text": "The whole market is in profitable territory. So one could surmise, one could expect"}, {"path": "tedlium_24070.wav", "duration": 7.98, "text": "And I don't have the intention of really changing my capital management strategy at the current time. I'd like to put it to use"}, {"path": "tedlium_24071.wav", "duration": 7.98, "text": "With respect to Citizens Insurance, the opt-out percentage in September was significantly lower than recent trends and expectations."}, {"path": "tedlium_24072.wav", "duration": 7.98, "text": "direction? I think regulators understand the need for firm capacity, meet firm load and they understand that renewables are not firm resources."}, {"path": "tedlium_24073.wav", "duration": 7.98, "text": "Do you get the sense that regulators understand that distinction and thus will be supportive of going the capacity"}, {"path": "tedlium_24074.wav", "duration": 7.98, "text": "We have a couple of other items that are pending also before the commission. So we'll give you guidance in February but that's about as much as I can tell you now."}, {"path": "tedlium_24075.wav", "duration": 7.98, "text": "Due to internal insider trading blackouts and effects because of the Resultz transactions and routine quarter end insider trading restrictions,"}, {"path": "tedlium_24076.wav", "duration": 7.98, "text": "In terms of new store productivity it's actually been fairly stable over the last 5 years since we've entered the Midwest. So"}, {"path": "tedlium_24077.wav", "duration": 7.98, "text": "And I think that's the only one that we called out that has an impact from"}, {"path": "tedlium_24078.wav", "duration": 7.98, "text": "We do that on a very frequent basis. Obviously, we have to give our suppliers a significant lead time,"}, {"path": "tedlium_24079.wav", "duration": 7.98, "text": "quantify those cost savings longer term and if there was any material expense in terms of developing that platform?"}, {"path": "tedlium_24080.wav", "duration": 7.98, "text": "are working together to make EOG the leader in organic generation of new and better premium drilling inventory."}, {"path": "tedlium_24081.wav", "duration": 7.98, "text": "the impact of commodity costs, I mean, it's not really the case that we look to any particular category to do heavy-lifting"}, {"path": "tedlium_24082.wav", "duration": 7.98, "text": "And then hopefully, we'll start to see a little bit more tailwind, and the effects of our changes"}, {"path": "tedlium_24083.wav", "duration": 7.98, "text": "Forward-looking statements inherently involve risks and uncertainties that could cause our actual results to differ materially from those predicted."}, {"path": "tedlium_24084.wav", "duration": 7.98, "text": "But our biggest revenue business had a challenging year, and that was clearly a drag on the growth rate. And it's going to take a few quarters to course correct that."}, {"path": "tedlium_24085.wav", "duration": 7.98, "text": "I wanted to talk a little bit about input costs and manufacturing costs in OSB, and I think you've alluded to it by discussing the number of down days"}, {"path": "tedlium_24086.wav", "duration": 7.98, "text": "On Slide 15, we break out the expected impact of the energy research sale on our annual revenues and expenses going forward."}, {"path": "tedlium_24087.wav", "duration": 7.98, "text": "Rich will provide a brief update on the ongoing operations of this contract."}, {"path": "tedlium_24088.wav", "duration": 7.98, "text": "And that's why you're seeing these very, very large deals. Now I would love to tell you that we wake up every day and we meet a new customer, and we sign one of these large deals."}, {"path": "tedlium_24089.wav", "duration": 7.98, "text": "which obviously had a great quarter in Q1. But one of your competitors in the space is now adding commerce functionality by way of an acquisition,"}, {"path": "tedlium_24090.wav", "duration": 7.98, "text": "the good news for us is because of the size of our company and the amount that we spend on media"}, {"path": "tedlium_24091.wav", "duration": 7.98, "text": "In addition to providing a source of liquidity, the large size of our investment portfolio allows us to manage interest rate risk effectively."}, {"path": "tedlium_24092.wav", "duration": 7.98, "text": "In other regions, MEROPEN business was returned from AstraZeneca for Southeast"}, {"path": "tedlium_24093.wav", "duration": 7.98, "text": "As such, we will continue to receive stable, predictable cash flows despite the generally distressed market."}, {"path": "tedlium_24094.wav", "duration": 7.98, "text": "For the group as a whole, we delivered a quarter with stable organic revenues, with a margin expansion"}, {"path": "tedlium_24095.wav", "duration": 7.98, "text": "as we redouble our efforts to increase sales, which we believe is essential to restore the company to financial health."}, {"path": "tedlium_24096.wav", "duration": 7.98, "text": "second, our normal growth and maintenance CapEx, which supports and drives the growth of our existing business."}, {"path": "tedlium_24097.wav", "duration": 7.98, "text": "I'll also expand on a few of our key achievements in 2016 and discuss how they contribute to Vermillion's self-funded growth and income model."}, {"path": "tedlium_24098.wav", "duration": 7.98, "text": "As a result, we have delivered a strong first quarter, all things considered, with sound performance fundamentals."}, {"path": "tedlium_24099.wav", "duration": 7.98, "text": "We can attribute slightly more than half of this sales miss to weaker demand and scheduled movements across our various end markets."}, {"path": "tedlium_24100.wav", "duration": 7.98, "text": "These approaches are now the way we work and will continue to benefit -- deliver benefits for us as we move forward."}, {"path": "tedlium_24101.wav", "duration": 7.98, "text": "but it will continue to be pressured as we see inflation in these emerging markets. I think most importantly, what you need to look to for us"}, {"path": "tedlium_24102.wav", "duration": 7.98, "text": "I don't know that the upgrade rate itself because the age of devices has changed that much,"}, {"path": "tedlium_24103.wav", "duration": 7.98, "text": "The superior operational performance was also fueled by the successful execution of our global cinema strategy."}, {"path": "tedlium_24104.wav", "duration": 7.98, "text": "including their size and potential for growth, and our competitive position in our target markets."}, {"path": "tedlium_24105.wav", "duration": 7.98, "text": "tightly controlled plan to manage existing inventory levels on our path toward full-scale manufacturing supply."}, {"path": "tedlium_24106.wav", "duration": 7.98, "text": "And in the federal space, it was an exceptionally strong quarter. I think it would be unfair, although I'm not"}, {"path": "tedlium_24107.wav", "duration": 7.98, "text": "will certainly support that overall demand will likely be somewhat stronger than what the third-party forecasters have indicated."}, {"path": "tedlium_24108.wav", "duration": 7.98, "text": "In the Western domestic market, log demand remained moderate through most of the first quarter due to continued low lumber prices."}, {"path": "tedlium_24109.wav", "duration": 7.98, "text": "Specifically, many anesthesiologists are viewing EXPAREL as a game changer and the positive results that they are achieving with brachial plexus blocks"}, {"path": "tedlium_24110.wav", "duration": 7.98, "text": "similar utilization rates in the second half of this year versus what you had in the second half of '18? Or was there any"}, {"path": "tedlium_24111.wav", "duration": 7.98, "text": "do a profit improvement program within Grace, I'm very confident that we have access to the capital necessary to do that."}, {"path": "tedlium_24112.wav", "duration": 7.98, "text": "we wouldn't be issuing franked dividends if we didn't have franking credits by the 30th of June. So the amount of franking credits that are required"}, {"path": "tedlium_24113.wav", "duration": 7.98, "text": "These increases were partially offset by the flow-through of cost reductions. The 40 basis point rate decrease was driven by sales leverage."}, {"path": "tedlium_24114.wav", "duration": 7.98, "text": "I think really probably what you're trying to get at is in prior quarters, we made the comment that we expected to make up"}, {"path": "tedlium_24115.wav", "duration": 7.98, "text": "there have been -- has been a fairly consistent maximum tolerated dose that held up in preclinical models in the toxicology studies."}, {"path": "tedlium_24116.wav", "duration": 7.98, "text": "We plan to present data from the study at the European Society for Medical Oncology, ESMO meeting, in October."}, {"path": "tedlium_24117.wav", "duration": 7.98, "text": "We believe the Phase I portion of the study will complete enrollment in the next few months and that the Phase II portion of the study will initiate by year-end."}, {"path": "tedlium_24118.wav", "duration": 7.98, "text": "we think we'll have a better indication of what the adjusted timeline will look like after we have come more extensive Europe experience."}, {"path": "tedlium_24119.wav", "duration": 7.98, "text": "But I don't have guidance to give in terms of what we anticipate we'll do throughout the rest of the year, outside of saying that we would"}, {"path": "tedlium_24120.wav", "duration": 7.98, "text": "We're kind of letting the clients get comfortable with Flex and then show them that there's additional modules, which will help not only sales but retention"}, {"path": "tedlium_24121.wav", "duration": 7.98, "text": "no, I think it's fairly normal. And then what about the lead times for you at the moment in the different divisions?"}, {"path": "tedlium_24122.wav", "duration": 7.98, "text": "only items? And does that mean the online range is now as big as the range for in some of the larger stores?"}, {"path": "tedlium_24123.wav", "duration": 7.98, "text": "We remain focused on providing our customers with an excellent value proposition of pricing service in what is a very competitive environment."}, {"path": "tedlium_24124.wav", "duration": 7.98, "text": "form a strong foundation for a long-term partnership, and we expect to pursue additional transactions with our new partners across the coming years."}, {"path": "tedlium_24125.wav", "duration": 7.98, "text": "As one of our core value states and it strongly applies to our acquisition strategy, we are committed to success."}, {"path": "tedlium_24126.wav", "duration": 7.98, "text": "as we believe that commenting on price in isolation does not provide a complete picture of the outcome of the formulary negotiations"}, {"path": "tedlium_24127.wav", "duration": 7.98, "text": "Our platform continues to show the strength of the underlying fundamentals. We own great real estate locations with a strong demographic trend."}, {"path": "tedlium_24128.wav", "duration": 7.98, "text": "I certainly appreciate all of your interest and commitment to MDU Resources. I now ask that we open the lines to questions that you may have."}, {"path": "tedlium_24129.wav", "duration": 7.98, "text": "quite nicely. And the backlog of claims has not been increasing, so"}, {"path": "tedlium_24130.wav", "duration": 7.98, "text": "I'll touch more on Nashville and Raleigh, where development has been more notable when I turn to the market overviews."}, {"path": "tedlium_24131.wav", "duration": 7.98, "text": "We plan to request a commission decision by November so that we can capture the full production tax credit benefit for our customers."}, {"path": "tedlium_24132.wav", "duration": 7.98, "text": "With respect to our outlook for the full year of 2018, as we noted in our preliminary revenue release in early July,"}, {"path": "tedlium_24133.wav", "duration": 7.98, "text": "We are in the middle of a robust process, which we believe will allow us to significantly reduce or eliminate term debt by the end of the year."}, {"path": "tedlium_24134.wav", "duration": 7.98, "text": "Third, we have reorganized and strengthened key functions within the company to be more agile"}, {"path": "tedlium_24135.wav", "duration": 7.98, "text": "At this time, I'll turn it over to Bob, who will review some of the details behind our recent financial results."}, {"path": "tedlium_24136.wav", "duration": 7.98, "text": "that then make it a little bit more competitive environment out there. So we get probably more indirect impact than we do direct impact."}, {"path": "tedlium_24137.wav", "duration": 7.98, "text": "Actual results could differ materially from projected or estimated results and we assume no obligation to update any forward-looking statements."}, {"path": "tedlium_24138.wav", "duration": 7.98, "text": "And the way to think about that ramp is this. Our first half innovation is now hitting its stride, it's fully out there, the marketing programs are on."}, {"path": "tedlium_24139.wav", "duration": 7.98, "text": "field technology and customer connection technology. We're going to continue to invest there, make sure that we have a leadership position."}, {"path": "tedlium_24140.wav", "duration": 7.98, "text": "less true for Berkeley Point, so that's a mitigating fact as the financing of multifamily tends to be"}, {"path": "tedlium_24141.wav", "duration": 7.98, "text": "from conception through regulatory approval swiftly, to ultimately reach patients faster."}, {"path": "tedlium_24142.wav", "duration": 7.98, "text": "in the fourth quarter. This platform, along with our real estate portfolio, should be powerful additions to our core earnings throughout the year ahead."}, {"path": "tedlium_24143.wav", "duration": 7.98, "text": "I'll compare mainly to Q2 of 2016, but will provide a few comments relative to our views for the rest of this year and going forward as well."}, {"path": "tedlium_24144.wav", "duration": 7.98, "text": "At this point, we have completed the high volume transfers we initially set out to accomplish and are starting to focus on the next set of cost down activities."}, {"path": "tedlium_24145.wav", "duration": 7.98, "text": "Overall, modular space leasing has begun to make a nice recovery and remote accommodations business appears to be beginning to stabilize as well."}, {"path": "tedlium_24146.wav", "duration": 7.98, "text": "Steve, Doug, will you get to a point do you think that you'll feel comfortable discussing that backlog and the booking numbers?"}, {"path": "tedlium_24147.wav", "duration": 7.98, "text": "overlap with the Fluke Network and the tools business. And so things have been up and down. And I think that's"}, {"path": "tedlium_24148.wav", "duration": 7.98, "text": "And that's why we have taken time to really work with our clients to reflect that in the price increases. And so that's why"}, {"path": "tedlium_24149.wav", "duration": 7.98, "text": "by providing the required blend of chemical resistance and durability. This has positioned Tritan as a material choice in both clear and opaque applications."}, {"path": "tedlium_24150.wav", "duration": 7.98, "text": "at the different banners? And then how do you expect to be able to leverage that in your business in '18 and '19? I mean, is it a matter of"}, {"path": "tedlium_24151.wav", "duration": 7.98, "text": "it made a massive turnaround. And now we have -- I think it's close to 60% of our new business bookings coming from"}, {"path": "tedlium_24152.wav", "duration": 7.98, "text": "Our people are what make the products we sell come to life. Our goal is to offer the best service in the industry."}, {"path": "tedlium_24153.wav", "duration": 7.98, "text": "Now it took some time to turn off these programs, and it wasn't until December when we were fully able to curtail these price-driven approaches to the business."}, {"path": "tedlium_24154.wav", "duration": 7.98, "text": "We completed the migration of Ambrose in Q1. And during the third quarter, we completed the Accord migration."}, {"path": "tedlium_24155.wav", "duration": 7.98, "text": "with advanced analytics and functionally relevant application technology to deliver value for our clients."}, {"path": "tedlium_24156.wav", "duration": 7.98, "text": "These charges are presented in our table of non-GAAP net income and earnings per share amounts in our press release issued earlier today."}, {"path": "tedlium_24157.wav", "duration": 7.98, "text": "will have some impact, all else equal, but the rest of the business is doing a little better than"}, {"path": "tedlium_24158.wav", "duration": 7.98, "text": "especially in China, and a myriad of software developments to bring new web-based and mobile capabilities to our customers."}, {"path": "tedlium_24159.wav", "duration": 7.98, "text": "This decrease was mainly the result of the decline in volumes and our continued investment in new high volume technologies."}, {"path": "tedlium_24160.wav", "duration": 7.98, "text": "We are not concerned that this would negatively impact our plans as we currently do not have projects that we meet those conditions"}, {"path": "tedlium_24161.wav", "duration": 7.98, "text": "If you look back at some of the stores that were relocated a few years ago, like how long does it normally take, how many years for those stores to get to"}, {"path": "tedlium_24162.wav", "duration": 7.9799375, "text": "that were not related to our core activity. And also we rationalized the portfolio"}, {"path": "tedlium_24163.wav", "duration": 7.9799375, "text": "unless you separate these things out, you will be always criticized and you are making so much money out of your telecommunications service."}, {"path": "tedlium_24164.wav", "duration": 7.95, "text": "to take a deep breath. I know everyone is focused on the recent election and the transition that's going on and"}, {"path": "tedlium_24165.wav", "duration": 7.95, "text": "I guess, I lied. We pulled it off again 3 quarters later, and I'm really happy for our shareholders for the quarter that we've just had."}, {"path": "tedlium_24166.wav", "duration": 7.95, "text": "is to be -- is to achieve excellence in your investment performance. You simply have to be a good stock picker. And I'd say, so far so good"}, {"path": "tedlium_24167.wav", "duration": 7.95, "text": "Yes, I would say also the key here is that if we had knocked on the strategy change, we would have been forced to sell these private holdings,"}, {"path": "tedlium_24168.wav", "duration": 7.95, "text": "And it is important to note that we will have meaningful representation of senior JLT colleagues at the Executive Committee level."}, {"path": "tedlium_24169.wav", "duration": 7.95, "text": "With the success of that trial, that has now gone live across the business from the start of this financial year, and I would expect us to get some benefit from that process."}, {"path": "tedlium_24170.wav", "duration": 7.95, "text": "And going forward, I think -- I will address this since this must be on your mind as well. Going forward,"}, {"path": "tedlium_24171.wav", "duration": 7.95, "text": "was really high, you had to amend your covenants many times. What is being done internally to make sure you're not going to see that again?"}, {"path": "tedlium_24172.wav", "duration": 7.95, "text": "How about the strategic funding needs? You explained the Yokohama site. If that is the only major one,"}, {"path": "tedlium_24173.wav", "duration": 7.95, "text": "we talked about the changes to the organization because of the unfortunate situation with John."}, {"path": "tedlium_24174.wav", "duration": 7.95, "text": "In Business, we've seen a steadily improving revenue trend in the last 2 years and we remain on track to stabilize revenues."}, {"path": "tedlium_24175.wav", "duration": 7.95, "text": "and continue to pursue optimal capital allocation strategies that are in the best interest of our students and other stakeholders."}, {"path": "tedlium_24176.wav", "duration": 7.95, "text": "There are weekly department and team meetings to discuss the progress towards building a productive engagement with each new student."}, {"path": "tedlium_24177.wav", "duration": 7.95, "text": "The purpose of this call is to discuss the information and data provided in the quarterly earnings release issued this morning."}, {"path": "tedlium_24178.wav", "duration": 7.95, "text": "that doesn't actually necessarily make a lot of sense. So I think what we need to do broadly as an industry is to better educate"}, {"path": "tedlium_24179.wav", "duration": 7.95, "text": "based on strategic prioritization is proving to be effective. We will highlight more of this at our upcoming Investor Day."}, {"path": "tedlium_24180.wav", "duration": 7.95, "text": "But our pipelines are up significantly like 50% if you do an apples-to-apples comparison on where we were"}, {"path": "tedlium_24181.wav", "duration": 7.95, "text": "But overall, we think we have good product, good performance in that product too, and I think a lot of channels to sell through."}, {"path": "tedlium_24182.wav", "duration": 7.95, "text": "Though we believe customers have mostly exhausted their 2017 budgets and expect lighter bookings and flat revenues through year-end,"}, {"path": "tedlium_24183.wav", "duration": 7.95, "text": "How should we just think about the Mako opportunity internationally, especially given some of the variant reimbursement structures that we have in place overseas?"}, {"path": "tedlium_24184.wav", "duration": 7.95, "text": "And if the environment that they are in can't reach those minimum thresholds, then they need to keep moving into an environment that can."}, {"path": "tedlium_24185.wav", "duration": 7.95, "text": "we reached out to our partners. They've reached out to us, and they're eager to work with us on extending their reach in the market."}, {"path": "tedlium_24186.wav", "duration": 7.95, "text": "The leadership in response of the claims and branch team has so far even close to what my other carriers have done."}, {"path": "tedlium_24187.wav", "duration": 7.95, "text": "Over the coming quarters, we will continue to take additional steps to execute the plan consistent with these financial objectives."}, {"path": "tedlium_24188.wav", "duration": 7.95, "text": "At the same time, we also refinanced our debt at the end of the second quarter, which resulted in lower interest costs, better covenants and a"}, {"path": "tedlium_24189.wav", "duration": 7.95, "text": "But you'd have to have those things -- a good price that you're getting in at, and there is some big synergies that you can go after."}, {"path": "tedlium_24190.wav", "duration": 7.95, "text": "get a mail market that is affordable, accessible and will continue to be so for everybody in the Netherlands throughout the country,"}, {"path": "tedlium_24191.wav", "duration": 7.95, "text": "so that our customers get that they're making a lifelong decision about Park City Group, and that's critically important to the sales effort."}, {"path": "tedlium_24192.wav", "duration": 7.95, "text": "and we look forward to providing you with updates as we move forward. Thank you all for joining us in the call today. Thank you, and goodbye."}, {"path": "tedlium_24193.wav", "duration": 7.95, "text": "Our markets are economically vibrant, as evidenced by a double-digit loan growth, and we continue to take share from the larger banks."}, {"path": "tedlium_24194.wav", "duration": 7.95, "text": "We believe this investment has been a key driver of our like-for-like sales performance, along with the growth in passenger numbers."}, {"path": "tedlium_24195.wav", "duration": 7.95, "text": "of company to watch in 2019. We will find out the results next week. We have really come a long way in the last 2 years."}, {"path": "tedlium_24196.wav", "duration": 7.95, "text": "which will be published late Friday for the largest 51 banks in Europe and on Deutsche Bank's funding profile."}, {"path": "tedlium_24197.wav", "duration": 7.95, "text": "One of our toughest challenges right now is dealing with generally weak demand from many of our Consumer Packaging customers. This isn't new."}, {"path": "tedlium_24198.wav", "duration": 7.95, "text": "is our ability to convert some of our nonrecurring revenue to recurring revenue. There's a number of"}, {"path": "tedlium_24199.wav", "duration": 7.95, "text": "While this trend may not persist in a straight line, this growing revenue seem -- stream is clearly stable."}, {"path": "tedlium_24200.wav", "duration": 7.95, "text": "it will convert, people will convert it because it is currently very attractively priced for people who"}, {"path": "tedlium_24201.wav", "duration": 7.95, "text": "More diverse demand drivers spanning consumer and enterprise markets, combined with very disciplined investment,"}, {"path": "tedlium_24202.wav", "duration": 7.95, "text": "particularly as our direct exposure to machine sales has declined in a relative sense with increased software content."}, {"path": "tedlium_24203.wav", "duration": 7.95, "text": "some of our checks that there were customers pulling forward spend in advance of price increases. So I was wondering if you"}, {"path": "tedlium_24204.wav", "duration": 7.95, "text": "to emphasize that we have completed this 4-year transition of reducing volatility while increasing premium,"}, {"path": "tedlium_24205.wav", "duration": 7.95, "text": "we feel that we have a lot more potential to sell broadly internationally, and we just need to build out that platform to be able to attack those other markets."}, {"path": "tedlium_24206.wav", "duration": 7.95, "text": "We continue to invest in items around automation and network optimization, particularly within our Commerce Services businesses."}, {"path": "tedlium_24207.wav", "duration": 7.95, "text": "and that goes to the board for final approval tomorrow, which will be routinely processed."}, {"path": "tedlium_24208.wav", "duration": 7.95, "text": "And these acquisitions are important because they are strengthening our portfolio by providing us access to the right end markets with"}, {"path": "tedlium_24209.wav", "duration": 7.95, "text": "I expect strategic investments in first quarter to be very similar to what we saw in the fourth quarter."}, {"path": "tedlium_24210.wav", "duration": 7.95, "text": "In broadening our strategic purview, we do expect overall yields to decline somewhat as we grow by extending our reach into new segments."}, {"path": "tedlium_24211.wav", "duration": 7.95, "text": "in the previous period, but nevertheless, we've been able to return to that corridor of profitability"}, {"path": "tedlium_24212.wav", "duration": 7.95, "text": "And we need to get them into full launch, which, by the way, around a year from now, would be the time frame that we should be in full launch of that full portfolio."}, {"path": "tedlium_24213.wav", "duration": 7.95, "text": "earlier this week or last week. On the -- the refinery in Mexico that went down was on the West Coast."}, {"path": "tedlium_24214.wav", "duration": 7.95, "text": "certainly, of our technology spend. I personally would like to do as much as we possibly can. If we didn't want to do it, we wouldn't be doing it,"}, {"path": "tedlium_24215.wav", "duration": 7.95, "text": "On that note, I would like to conclude our prepared comments and turn the call back over to the operator to address any questions."}, {"path": "tedlium_24216.wav", "duration": 7.95, "text": "We remain focused on growth across all our distribution channels by providing innovative products and best-in-class service quality."}, {"path": "tedlium_24217.wav", "duration": 7.95, "text": "comes about over the next year or so? There might be some people sitting back, but I think there are a lot of"}, {"path": "tedlium_24218.wav", "duration": 7.95, "text": "Mortgage had a fantastic third quarter as low interest rates drove high origination volumes and strong gain on sale margins."}, {"path": "tedlium_24219.wav", "duration": 7.95, "text": "While this is clearly a positive step regarding interest in da Vinci procedures in Japan, the final level of reimbursement has not been communicated."}, {"path": "tedlium_24220.wav", "duration": 7.95, "text": "last year with the exception of Foods. And in fact, the Foods margin only went back -- was really because of the exposure it has to Europe and the head office costs,"}, {"path": "tedlium_24221.wav", "duration": 7.95, "text": "The slides for today's presentation and corresponding segment commentary can be found on our website along with our news release."}, {"path": "tedlium_24222.wav", "duration": 7.95, "text": "and specialty copolymers in packaging products as well as timing benefits from the second quarter."}, {"path": "tedlium_24223.wav", "duration": 7.95, "text": "in the corporate world to start to monetize that in better way, and we're doing that really for 2 different reasons."}, {"path": "tedlium_24224.wav", "duration": 7.95, "text": "As we think about the rest of 2017, we have added back our pre-fall delivery in the second quarter, which we eliminated last year."}, {"path": "tedlium_24225.wav", "duration": 7.95, "text": "Not forgetting the future, the technology pieces, I spoke about not forgetting resilience, the future of the business"}, {"path": "tedlium_24226.wav", "duration": 7.95, "text": "Although I would guess that given some of the projects that we've worked on this year, we'll probably be more at the lower end of that range. But"}, {"path": "tedlium_24227.wav", "duration": 7.95, "text": "And diving a little bit deeper on the hearing instruments side, now lots of the bullet points are kind of repetitive."}, {"path": "tedlium_24228.wav", "duration": 7.95, "text": "materially higher number as a negative revaluation. The total negative revaluation in the first half"}, {"path": "tedlium_24229.wav", "duration": 7.95, "text": "increase the number of items that we prepare. We may be looking to shift them."}, {"path": "tedlium_24230.wav", "duration": 7.95, "text": "The Western genre for instance continues to outperform with a key content producer. And we continue to keep that pipeline full"}, {"path": "tedlium_24231.wav", "duration": 7.95, "text": "This new service was developed as a direct result of customer feedback and we have a number of customers live on the system today."}, {"path": "tedlium_24232.wav", "duration": 7.95, "text": "These standards of care have not been disrupted for decades and could benefit from new treatment options."}, {"path": "tedlium_24233.wav", "duration": 7.95, "text": "Is there one way to think about it or just a bunch of things that always move around, but they seemed to all go the wrong way this quarter?"}, {"path": "tedlium_24234.wav", "duration": 7.95, "text": "The initiative is then communicated within the company and we will see the transition activities completed by the end of the fourth quarter."}, {"path": "tedlium_24235.wav", "duration": 7.95, "text": "And as I indicated earlier in my remarks, we are now confident we can achieve 6% compound annual earnings growth"}, {"path": "tedlium_24236.wav", "duration": 7.95, "text": "Yes, this is Mike. Not going to give you guidance on a specific number. But as we've talked about in the past,"}, {"path": "tedlium_24237.wav", "duration": 7.95, "text": "Our team, working closely with our operators, performed at a high level in response to a tough demand environment."}, {"path": "tedlium_24238.wav", "duration": 7.95, "text": "With that, why don't I turn it over to Jonathan to discuss the quarter's financials before we open up the call to questions."}, {"path": "tedlium_24239.wav", "duration": 7.95, "text": "sometimes gives us a little bit of a blip. So sometimes, it's tougher to hold the efficiency in the second half, but, frankly,"}, {"path": "tedlium_24240.wav", "duration": 7.95, "text": "So it's really a matter of timing rather than any real demand impact. We still remain extremely confident"}, {"path": "tedlium_24241.wav", "duration": 7.95, "text": "We need to incubate industries, and we should have the ability of turning around."}, {"path": "tedlium_24242.wav", "duration": 7.95, "text": "We see a special opportunity in front of us to offer innovative, unique solutions to the health care marketplace."}, {"path": "tedlium_24243.wav", "duration": 7.95, "text": "grow cash flow implies that there's significant operating leverage on an allocated basis coming from"}, {"path": "tedlium_24244.wav", "duration": 7.95, "text": "Our business portfolio is strong, and we have -- and we continue to invest in it to drive profitable growth in the years to come."}, {"path": "tedlium_24245.wav", "duration": 7.95, "text": "a change in accounting policies around revenue recognition and the timing of related expenses and a challenging comparison in the prior year."}, {"path": "tedlium_24246.wav", "duration": 7.95, "text": "and now in chocolate is simply the playbook, which is that we or intend to have all of our categories available"}, {"path": "tedlium_24247.wav", "duration": 7.95, "text": "So that's what we've been doing over the past 2 years in terms of seeding the future and the customers that we've picked"}, {"path": "tedlium_24248.wav", "duration": 7.95, "text": "So I think there is some -- not only just based on the volume of customers but also based on what the customers want to buy, and we'll continue to look for that."}, {"path": "tedlium_24249.wav", "duration": 7.95, "text": "We are planning to increase our efforts at this level, and one our new venture brands will be aimed at new lower price point products for our customers."}, {"path": "tedlium_24250.wav", "duration": 7.95, "text": "That would just say, as if more rate hikes happen, the real question will be what happens to the long end of the curve."}, {"path": "tedlium_24251.wav", "duration": 7.95, "text": "Given the changing landscape of payment models and increased complexity, we have seen a rise in demand for these services."}, {"path": "tedlium_24252.wav", "duration": 7.95, "text": "While I won't rehash all of that in detail today, and if it isn't already obvious, we are very excited about the opportunities ahead of us."}, {"path": "tedlium_24253.wav", "duration": 7.95, "text": "consistent with what we saw in the second quarter. This is a great outcome as we faced difficult conditions due to hurricanes Irma and Maria."}, {"path": "tedlium_24254.wav", "duration": 7.95, "text": "As we continue to reduce the complexity in the business and drive better execution in projects, we believe we have a long runway for margin improvement."}, {"path": "tedlium_24255.wav", "duration": 7.95, "text": "As you know, we and our collaborators have conducted some pilot-scale experiments in the past to evaluate the feasibility"}, {"path": "tedlium_24256.wav", "duration": 7.95, "text": "The additional activities that we have are focused on growing capability on"}, {"path": "tedlium_24257.wav", "duration": 7.95, "text": "comprised approximately half of the balance of new impaired loan formations this quarter, and neither of them require a specific allowance."}, {"path": "tedlium_24258.wav", "duration": 7.95, "text": "In Q1, we continued to be impacted by the challenging economic environment, resulting in revenue performance below our expectations."}, {"path": "tedlium_24259.wav", "duration": 7.95, "text": "We do think you're going to see some upward pricing pressure as well. So we're still optimistic at this point in the year that we're going to have a healthy cash flow for"}, {"path": "tedlium_24260.wav", "duration": 7.95, "text": "We were able to do this through impressive results from our meat products, foodservice, Grocery Products and International teams."}, {"path": "tedlium_24261.wav", "duration": 7.95, "text": "There are 4 million births a year and over 300 million people who could otherwise benefit from proactive genetic information services."}, {"path": "tedlium_24262.wav", "duration": 7.95, "text": "Looking forward, the group intends to distribute future surplus capital via the base dividend every 6 months,"}, {"path": "tedlium_24263.wav", "duration": 7.95, "text": "This guidance includes the impact of a significant increase in targeted and impactful investments in advertising,"}, {"path": "tedlium_24264.wav", "duration": 7.95, "text": "hurricane recovery revenue in retail. It was also driven by 2 significant nonrepeating promotional loadings last year"}, {"path": "tedlium_24265.wav", "duration": 7.95, "text": "As noted in this morning's press release, we developed plans to permanently reduce our cost structure and began to implement those plans in December."}, {"path": "tedlium_24266.wav", "duration": 7.95, "text": "Also, in these first few months, I've had the opportunity to meet with many of our employees as well as with some of our clients."}, {"path": "tedlium_24267.wav", "duration": 7.95, "text": "to have -- the initial rate has been very positive, but we really don't have what I would call a fully baked"}, {"path": "tedlium_24268.wav", "duration": 7.95, "text": "some of our cash flow level has been affected because of payables and receivables."}, {"path": "tedlium_24269.wav", "duration": 7.95, "text": "For example, we are conducting a few key feed studies for customers that could lead to future orders for large projects."}, {"path": "tedlium_24270.wav", "duration": 7.95, "text": "the better optimization of our store technical -- or technician labor allowed us to achieve overall greater store efficiency"}, {"path": "tedlium_24271.wav", "duration": 7.95, "text": "I just would like to ask you to pay attention to our declaration we have here."}, {"path": "tedlium_24272.wav", "duration": 7.95, "text": "So those could be reagents, those could be containers, those could be devices. There could be some ancillary services that are also"}, {"path": "tedlium_24273.wav", "duration": 7.95, "text": "not only have we optimized the design, but that the co-ventures are all ready to move forward and that we have a"}, {"path": "tedlium_24274.wav", "duration": 7.95, "text": "I think we have a lot of flexibility, and we have built these plans with the eye of being able to effectively scale up and scale down"}, {"path": "tedlium_24275.wav", "duration": 7.95, "text": "And so while in the past a lot of cattle feeders were directly focused on taking care of the packing demand that was owned by those companies,"}, {"path": "tedlium_24276.wav", "duration": 7.95, "text": "In that particular area, we took that knowing that our ZBB program will be kicking off at the latter part of the first quarter"}, {"path": "tedlium_24277.wav", "duration": 7.95, "text": "to build on Chris' question, how much of that new capacity that you added in France is going to be taken up by the new opportunity"}, {"path": "tedlium_24278.wav", "duration": 7.95, "text": "it sounds like you're getting closer. You're doing some trials and customer qualifications. When do you anticipate"}, {"path": "tedlium_24279.wav", "duration": 7.95, "text": "To put it simply, we used to make too many pieces of traditional TV advertising and we used to take them off-air before they reach their full effectiveness."}, {"path": "tedlium_24280.wav", "duration": 7.95, "text": "Before I turn the call over to Scott, I want to remind everyone that some of the statements provided during this call and in the press release are forward-looking."}, {"path": "tedlium_24281.wav", "duration": 7.95, "text": "We currently have about 5 of our villages in the early stages of planning, and we've started with holding units for sale at some of those villages."}, {"path": "tedlium_24282.wav", "duration": 7.95, "text": "And importantly, redevelopment and new development is really lifting the quality of that part of our portfolio."}, {"path": "tedlium_24283.wav", "duration": 7.95, "text": "In aggregate, the new oil facility -- oil opportunity set we see could add around 30 million barrels"}, {"path": "tedlium_24284.wav", "duration": 7.95, "text": "start off on this basis and thereafter move to other models. But it gives WNS a 6- to 8-year run"}, {"path": "tedlium_24285.wav", "duration": 7.95, "text": "Within our space it boils down to whether or not we are improving the delivery of goods and services, as well as enhancing the experience of our guests,"}, {"path": "tedlium_24286.wav", "duration": 7.95, "text": "we're expanding our content and global footprint through tuck-in acquisitions that increase scale in emerging markets or expand capability."}, {"path": "tedlium_24287.wav", "duration": 7.95, "text": "We haven't committed to that, certainly that would be great if we could do that. But our goal is to get it over 10%, certainly by the end of the year."}, {"path": "tedlium_24288.wav", "duration": 7.95, "text": "credits going forward so -- in that year. So all the businesses improved, but the earnings ended up being flat because of the taxes."}, {"path": "tedlium_24289.wav", "duration": 7.95, "text": "So look at our assets and regulatory diversity, that provides stability and predictability that you want to see in a company like ours."}, {"path": "tedlium_24290.wav", "duration": 7.95, "text": "So I don't really expect to see a cost-of-funds increase over the next 2 years. Because I think any rapid prepayment will result in"}, {"path": "tedlium_24291.wav", "duration": 7.95, "text": "value of actually trying to get to the bottom of the ore body sooner and get access to that higher value ore."}, {"path": "tedlium_24292.wav", "duration": 7.95, "text": "and the FDA notified the company that we had resolved all outstanding Warning Letters, and the letters were officially lifted."}, {"path": "tedlium_24293.wav", "duration": 7.95, "text": "anchor a couple of these really big accounts? And maybe, what's been the hindrance on securing maybe a couple of those?"}, {"path": "tedlium_24294.wav", "duration": 7.95, "text": "We're focused on offering the best cost service package for our clients and remain neutral as to whether to use Hub-owned drayage versus outsourced."}, {"path": "tedlium_24295.wav", "duration": 7.95, "text": "not only for the commitments we made but we're also really pleased with the mix of where that growth is. It's really tilted towards very strong well-performing markets for us. So"}, {"path": "tedlium_24296.wav", "duration": 7.95, "text": "on Q1. Just wondering if you have a pace number and what your thoughts are on core and local and national for the year."}, {"path": "tedlium_24297.wav", "duration": 7.95, "text": "Our Cosmetics business had a very successful year on strong demand for makeup, lipstick and other personal care products."}, {"path": "tedlium_24298.wav", "duration": 7.95, "text": "And just secondly on the remaining stake in Cadent, what is"}, {"path": "tedlium_24299.wav", "duration": 7.95, "text": "or anything like that, that we would be able to analyze to determine at which point it's going. I'm encouraged by the fact that our sales force"}, {"path": "tedlium_24300.wav", "duration": 7.95, "text": "I would say the year will end up north of 8,000. And you would have continuous growth, but"}, {"path": "tedlium_24301.wav", "duration": 7.95, "text": "I also want to thank them for the warm welcome they have shown me in my first few months, and I'm very glad to be part of the team here at American Midstream."}, {"path": "tedlium_24302.wav", "duration": 7.95, "text": "have that baked into the plan because we have the good bookings and we have, I think, a small improvement in retention also"}, {"path": "tedlium_24303.wav", "duration": 7.95, "text": "few remarks. The first thing I would say is that I, personally, I am really happy with how everyone is performing"}, {"path": "tedlium_24304.wav", "duration": 7.95, "text": "New risks and uncertainties arise over time, and it is not possible to predict those events or how they may affect us."}, {"path": "tedlium_24305.wav", "duration": 7.95, "text": "but we -- the point being is with the dismantlement and recovery of a site with a power plant,"}, {"path": "tedlium_24306.wav", "duration": 7.95, "text": "Despite sluggish volumes, we saw some chemical prices increase in our portfolio as the quarter progressed."}, {"path": "tedlium_24307.wav", "duration": 7.95, "text": "some of those have started to roll over. Where do see pricing in the second quarter developing for you guys?"}, {"path": "tedlium_24308.wav", "duration": 7.95, "text": "So this combination of 3 investments that we are making will help us substantially increase the cake milling capacity"}, {"path": "tedlium_24309.wav", "duration": 7.95, "text": "in terms of additional costs that are going into the business. The only observation that I have about M"}, {"path": "tedlium_24310.wav", "duration": 7.95, "text": "But as we came out of the vacation periods, CSX is struggling a little bit to get ramped up now. Obviously,"}, {"path": "tedlium_24311.wav", "duration": 7.9200625, "text": "In each of our business units, we continue these activities and as well a few additional target activities with specific market leaders,"}, {"path": "tedlium_24312.wav", "duration": 7.92, "text": "capital for strategic objective. And as I answered to a previous question,"}, {"path": "tedlium_24313.wav", "duration": 7.92, "text": "We expect to see benefits from our investments in digital and technology. And we are confident in our ability to complete"}, {"path": "tedlium_24314.wav", "duration": 7.92, "text": "to more effectively reflect Syniverse as the company best positioned to address these key focus areas."}, {"path": "tedlium_24315.wav", "duration": 7.92, "text": "and the increased use of outside contractors. We will continue to make strategic investments in our platform, products and software"}, {"path": "tedlium_24316.wav", "duration": 7.92, "text": "the recovery boiler water washes, higher natural gas prices and the need to purchase higher amounts of external pulp."}, {"path": "tedlium_24317.wav", "duration": 7.92, "text": "It certainly has not been easy or predictable, but we need to be patient and focused on meeting our long-term objectives."}, {"path": "tedlium_24318.wav", "duration": 7.92, "text": "As you know, large distributors are in the process of pairing their investment product platforms,"}, {"path": "tedlium_24319.wav", "duration": 7.92, "text": "we are addressing it. We have been addressing it for some time, and we are very sure that it's going to improve. We are investing in this factory"}, {"path": "tedlium_24320.wav", "duration": 7.92, "text": "we're at the point where we need to do expansions up there. But we also have facilities in the Permian. And"}, {"path": "tedlium_24321.wav", "duration": 7.92, "text": "with the leverage ratio covenant in our credit facility, and includes the EBITDA we expect to generate"}, {"path": "tedlium_24322.wav", "duration": 7.92, "text": "They are making progress on the work that they need to do to fully take advantage of the new components. For example, look at CBS."}, {"path": "tedlium_24323.wav", "duration": 7.92, "text": "This reflects favorable leverage from business mix and continued focus on operating expense improvements through our cost transformation for growth program."}, {"path": "tedlium_24324.wav", "duration": 7.92, "text": "The Texas Department of Health and Human Services notified us this quarter that it would allow health plans to retain all outstanding quality revenue"}, {"path": "tedlium_24325.wav", "duration": 7.92, "text": "Work on the facilities will commence upon completion of the contracts, and most of the required vessels and equipment are already available."}, {"path": "tedlium_24326.wav", "duration": 7.92, "text": "Would you please discuss that further and kind of circle back to what you're referring to? And really the implications"}, {"path": "tedlium_24327.wav", "duration": 7.92, "text": "We have significant opportunities to expand our share of these served markets by leveraging our strong relationships"}, {"path": "tedlium_24328.wav", "duration": 7.92, "text": "I am also excited that we can now discuss Cable ONE's growth in total as both the current and prior year"}, {"path": "tedlium_24329.wav", "duration": 7.92, "text": "Aside from improving our salad lineups, this launch will also allow us to reinforce our World Kitchen positioning"}, {"path": "tedlium_24330.wav", "duration": 7.92, "text": "With regard to rail transportation, we were able to level out the effects from the reorganization of the segment."}, {"path": "tedlium_24331.wav", "duration": 7.92, "text": "Yes. I mean, let me clarify that. I think we typically have the discussions starting in the fall, but it's effective"}, {"path": "tedlium_24332.wav", "duration": 7.92, "text": "And I was just wondering if you thought any of that was attributable to the passing of the federal budget earlier this year?"}, {"path": "tedlium_24333.wav", "duration": 7.92, "text": "above the line and below the line, how do you allocate? It varies by company. Within our company,"}, {"path": "tedlium_24334.wav", "duration": 7.92, "text": "There are a number of factors that could cause actual events to differ materially from those indicated by such forward-looking statements."}, {"path": "tedlium_24335.wav", "duration": 7.92, "text": "and in dialysis have EPO therapy, some of whom have iron support, most of whom do not."}, {"path": "tedlium_24336.wav", "duration": 7.92, "text": "gaining required certifications, new product developments, future orders to be received from our customers,"}, {"path": "tedlium_24337.wav", "duration": 7.92, "text": "which reflects our ongoing confidence in the long-term strong cash flow generation capabilities of the company."}, {"path": "tedlium_24338.wav", "duration": 7.92, "text": "just because we don't get something doesn't mean that we aren't interested. But what I will tell you is that"}, {"path": "tedlium_24339.wav", "duration": 7.92, "text": "will give us a stronger value proposition to those contractors to be able to communicate better with the owners that they're serving today."}, {"path": "tedlium_24340.wav", "duration": 7.92, "text": "The Houston consolidation marks a major milestone in our integration plan as now all facility consolidations are complete,"}, {"path": "tedlium_24341.wav", "duration": 7.92, "text": "of rental properties through these companies in Israel and there are a lot of land bank that we have into commercial properties."}, {"path": "tedlium_24342.wav", "duration": 7.92, "text": "I think, the utilities to go out with some kind of a competitive process and so it will take us some time. But we are very"}, {"path": "tedlium_24343.wav", "duration": 7.92, "text": "But we have a very substantial, as I've said before, number of claims teed up in negotiations"}, {"path": "tedlium_24344.wav", "duration": 7.92, "text": "over future years, how do you get that net interest margin up closer towards peer levels?"}, {"path": "tedlium_24345.wav", "duration": 7.92, "text": "how many kilometers your current infrastructure is and what the penetration is of"}, {"path": "tedlium_24346.wav", "duration": 7.92, "text": "The key markets we're presently exposed to are education, affordable housing, corrections and resources"}, {"path": "tedlium_24347.wav", "duration": 7.92, "text": "out on the road and speaking with you again on our fourth quarter conference call that we anticipate, likely, in March."}, {"path": "tedlium_24348.wav", "duration": 7.92, "text": "This quarter, we had sizable bookings from cloud platform providers that triggered the projects we announced during the quarter,"}, {"path": "tedlium_24349.wav", "duration": 7.92, "text": "before the turning the call over to Andy Hendricks, who will share some comments on our operational highlights as well as our outlook."}, {"path": "tedlium_24350.wav", "duration": 7.92, "text": "Let me start this morning by saying that I'm very pleased with our progress this quarter and believe that we're off to a great start this year."}, {"path": "tedlium_24351.wav", "duration": 7.92, "text": "but I can just tell you that our service area in particular is experiencing significant growth. And I would say most of it is in and around"}, {"path": "tedlium_24352.wav", "duration": 7.92, "text": "testing and a larger area for added capacity as well as valve modification shop."}, {"path": "tedlium_24353.wav", "duration": 7.92, "text": "the way we're thinking about spending, you and I both know that you don't make these commitments on, what is today, January 18 and"}, {"path": "tedlium_24354.wav", "duration": 7.92, "text": "This backlog represents the amount of revenue that we expect to realize in the near future as a result of firm committed purchase orders."}, {"path": "tedlium_24355.wav", "duration": 7.92, "text": "In the end, that won't drive the final decision, right? We're going to pick the best opportunities in the marketplace. But"}, {"path": "tedlium_24356.wav", "duration": 7.92, "text": "We have shared our concerns about the long-term market dynamics in the Chinese Recon market periodically on our earnings call."}, {"path": "tedlium_24357.wav", "duration": 7.92, "text": "by a greater amount than a decline in the actual diesel cost that we are incurring"}, {"path": "tedlium_24358.wav", "duration": 7.92, "text": "we plan to offer a full assortment of RV parts and accessories in all Gander locations by the end of this year."}, {"path": "tedlium_24359.wav", "duration": 7.92, "text": "an organization that is more consumer- and customer-centric and more competitive for the connected world."}, {"path": "tedlium_24360.wav", "duration": 7.92, "text": "The deployment of this smart grid technology would require a legislative change. And so we'll continue to advocate for that for the benefit of our customers."}, {"path": "tedlium_24361.wav", "duration": 7.92, "text": "We believe the investment by Silver Lake and LinkedIn not only endorses our plan, it accelerates it."}, {"path": "tedlium_24362.wav", "duration": 7.92, "text": "to our board immediately upon the closing of the transaction, which is expected to occur by the end of the year."}, {"path": "tedlium_24363.wav", "duration": 7.92, "text": "systems over the past couple of years really are -- will help us drive some of this efficiency and effectiveness across the org. So"}, {"path": "tedlium_24364.wav", "duration": 7.92, "text": "tasks that are quite common across all plans, like the creation of member handbooks and notices and so forth that could be"}, {"path": "tedlium_24365.wav", "duration": 7.92, "text": "and that's a doubling of our daily predictions just last quarter. This is the most strategic technology for our customers."}, {"path": "tedlium_24366.wav", "duration": 7.92, "text": "So this will be the first big year in terms of percent of the chain being renovated, and"}, {"path": "tedlium_24367.wav", "duration": 7.92, "text": "Our so-called deposit beta, or the increase in the cost of deposits expressed as a percentage of the increase in the cost of federal funds rate,"}, {"path": "tedlium_24368.wav", "duration": 7.92, "text": "Much of the improvement came from the oil and gas portfolio, and we remain optimistic that we will continue to see further favorable changes"}, {"path": "tedlium_24369.wav", "duration": 7.92, "text": "And then to be able to use that change to power through -- power up what we would look at for the responder analyses."}, {"path": "tedlium_24370.wav", "duration": 7.92, "text": "For the quarter, international sales increased in the Infrastructure Group and the Aggregate and Mining Group and decreased in the Energy Group."}, {"path": "tedlium_24371.wav", "duration": 7.92, "text": "acquired growth, it takes us some time to work through the new volumes to get to higher sustainable margins for us."}, {"path": "tedlium_24372.wav", "duration": 7.92, "text": "The disease is a genetic disorder where mutations in the disease gene lead to the production of an abnormal protein,"}, {"path": "tedlium_24373.wav", "duration": 7.92, "text": "as well as the impact of the previously discussed decline in surgical volumes and the impact of the LHC transaction."}, {"path": "tedlium_24374.wav", "duration": 7.92, "text": "We are constantly finding ways to improve upon our track record as efficient operators."}, {"path": "tedlium_24375.wav", "duration": 7.92, "text": "and, in doing so, enhance customer experience to create greater satisfaction and brand loyalty."}, {"path": "tedlium_24376.wav", "duration": 7.92, "text": "So that is also a little bit why we have set up the structure with product area. So these are 8 companies that are working hard"}, {"path": "tedlium_24377.wav", "duration": 7.92, "text": "The divestitures improve our growth rates while we're moving quickly to remove stranded costs associated with these actions."}, {"path": "tedlium_24378.wav", "duration": 7.92, "text": "Our fourth quarter has a number of fairly significant projects that are scheduled to deliver in the fourth quarter,"}, {"path": "tedlium_24379.wav", "duration": 7.92, "text": "Because we remain in a process, I am limited to the information that I can provide. But I wanted to highlight a couple of important points"}, {"path": "tedlium_24380.wav", "duration": 7.92, "text": "Our leaders are working harder than ever to build community gathering places that become a key part of our guests everyday lives and to the lives of our team members."}, {"path": "tedlium_24381.wav", "duration": 7.92, "text": "It's probably fair to say that there's a little bit of a capacity going in there ahead of demand, so that's one to be careful of."}, {"path": "tedlium_24382.wav", "duration": 7.92, "text": "Now Reading is able to make unilateral decisions about the Cannon Park City Centre without input from Charter Hall."}, {"path": "tedlium_24383.wav", "duration": 7.92, "text": "Are there price increases set for the fourth quarter given the steel situation? Or have they already occurred?"}, {"path": "tedlium_24384.wav", "duration": 7.92, "text": "Before I give an overview of our second quarter investment activity, let me give a brief update on our strategic"}, {"path": "tedlium_24385.wav", "duration": 7.92, "text": "those shortages may last. If they believe those shortages, and you've probably read this like I have, might end by the end of the year,"}, {"path": "tedlium_24386.wav", "duration": 7.92, "text": "We are benefiting from the actions we've taken over the past several years to grow and diversify the company into new products and new markets."}, {"path": "tedlium_24387.wav", "duration": 7.92, "text": "a pretty interesting pipeline of acquisitions. Kind of pulling on your question a little bit,"}, {"path": "tedlium_24388.wav", "duration": 7.92, "text": "Investment securities was up a little due to lower premium amortization, but also from purchases during this quarter."}, {"path": "tedlium_24389.wav", "duration": 7.92, "text": "Our revenue premium and superior earnings are maintaining -- are maintained through our focus on the customer."}, {"path": "tedlium_24390.wav", "duration": 7.92, "text": "There's only so much that customers will spend during the quarter. And if one category or one type of product"}, {"path": "tedlium_24391.wav", "duration": 7.92, "text": "sense of what sort of capability we've built, some of the technologies that we've got in there, and what we're looking to do."}, {"path": "tedlium_24392.wav", "duration": 7.92, "text": "To be very blunt, the only thing we saw in the quarter was a little bit of weakness in HHI. So we expect a little bit more sales there."}, {"path": "tedlium_24393.wav", "duration": 7.92, "text": "Such forward-looking statements are subject to certain risks that could cause actual results to differ materially from those projected."}, {"path": "tedlium_24394.wav", "duration": 7.92, "text": "This upgraded service covers up to 10,000 square feet when deployed with the latest Wi-Fi technology installed by Cable ONE business."}, {"path": "tedlium_24395.wav", "duration": 7.92, "text": "book that has the supplementary capital applied to it. The other thing of note is that supplementary capital is dynamic in terms of the calculation of"}, {"path": "tedlium_24396.wav", "duration": 7.92, "text": "I've read your report. I thought it was extremely well done, and I'd tell you that I agree wholeheartedly with the thesis that you laid out"}, {"path": "tedlium_24397.wav", "duration": 7.92, "text": "Some states will be more progressive than others. But I think you're going to continue over time to see more and more regulations"}, {"path": "tedlium_24398.wav", "duration": 7.92, "text": "we added 1 million incremental new customers as our spending mix shifted to acquisition from our historical transactional tactics."}, {"path": "tedlium_24399.wav", "duration": 7.92, "text": "Our strong balance sheet continues to provide flexibility to pursue a range of growth opportunities while maintaining a strong leverage ratio."}, {"path": "tedlium_24400.wav", "duration": 7.92, "text": "These 2 items are fundamental to our policy of returning cash to our shareholders, and we remain firmly committed to continuing them."}, {"path": "tedlium_24401.wav", "duration": 7.92, "text": "and meeting your needs as investors. So thank you very much and look forward to talking to you at a future date. Thank you. Bye-bye."}, {"path": "tedlium_24402.wav", "duration": 7.92, "text": "to continue to service the client with information and the data they need to do their job. We'll continue to bring them cost-saving opportunities and"}, {"path": "tedlium_24403.wav", "duration": 7.92, "text": "We have now experienced traffic increases in 8 out of the last 9 quarters."}, {"path": "tedlium_24404.wav", "duration": 7.92, "text": "are starting to produce more visible opportunities, and we're focused on rebuilding this business back up in order to further grow profitability in the company."}, {"path": "tedlium_24405.wav", "duration": 7.92, "text": "and thirdly, also, investment in our brands, such as advertising and also, activities at the point of sale."}, {"path": "tedlium_24406.wav", "duration": 7.92, "text": "You may remember Germany, France, Italy and Switzerland were the 4 core markets we started on"}, {"path": "tedlium_24407.wav", "duration": 7.92, "text": "And in getting back to basics, we need to focus on our fundamental principles and cash flow generation as chief amongst them."}, {"path": "tedlium_24408.wav", "duration": 7.92, "text": "invest the total net proceeds of the spreads sale into buybacks this year and no more and no less than that, can I just be clear?"}, {"path": "tedlium_24409.wav", "duration": 7.92, "text": "If we take that together, what that has created is a very strong foundation."}, {"path": "tedlium_24410.wav", "duration": 7.92, "text": "We started construction at Newport and Brisbane and Elara here in Sydney, taking advantage of our large residential communities land bank."}, {"path": "tedlium_24411.wav", "duration": 7.92, "text": "That, together with the other key driver, being the reduction in our overhead spend. And that is due to the timing of expenditure,"}, {"path": "tedlium_24412.wav", "duration": 7.92, "text": "Our working interest tends to be higher in Area 2, so that would be a change to our capital program and anticipated production."}, {"path": "tedlium_24413.wav", "duration": 7.92, "text": "with a series of good projects, a series of very good projects, a series of bad projects and a series of very bad projects."}, {"path": "tedlium_24414.wav", "duration": 7.92, "text": "and we're quietly working our way through a program of those sorts of things on the business and technology side of things."}, {"path": "tedlium_24415.wav", "duration": 7.92, "text": "and that we have seen enough progress that we expect to announce at least one molecule this year"}, {"path": "tedlium_24416.wav", "duration": 7.92, "text": "continue to give us optimism for continued growth of DermACELL both in breast and in wound applications."}, {"path": "tedlium_24417.wav", "duration": 7.92, "text": "clients push for productivity improvements. We continue to deliver those. We continue to execute to what we commit to within our contracts."}, {"path": "tedlium_24418.wav", "duration": 7.92, "text": "the banking and financial vertical. Any color you can give us there in terms of the demand trends or opportunities you see?"}, {"path": "tedlium_24419.wav", "duration": 7.92, "text": "had gains in terms of quality. To mitigate that, the way we look at companies make it"}, {"path": "tedlium_24420.wav", "duration": 7.92, "text": "First, dating back to the beginning of 2015, we discussed that the quarterly rate comps would become more difficult as the year progressed"}, {"path": "tedlium_24421.wav", "duration": 7.92, "text": "into additional containers for Intermodal because our focus is upon working to improve the earnings and return on our previous investments."}, {"path": "tedlium_24422.wav", "duration": 7.92, "text": "As a result of this sale, we will be able to reduce by 1 billion pounds the carbon dioxide from the company's annual emissions."}, {"path": "tedlium_24423.wav", "duration": 7.92, "text": "are really positive with the Chinese consumer, and we have every expectation that we can actually bring growth"}, {"path": "tedlium_24424.wav", "duration": 7.92, "text": "So in closing, I just want to say thanks for your attention. We really feel optimistic"}, {"path": "tedlium_24425.wav", "duration": 7.92, "text": "Perhaps using it in slightly different ways over time, as we've speculated on a bit in the past and some companies are attempting."}, {"path": "tedlium_24426.wav", "duration": 7.92, "text": "And following on that, I think you mentioned in your Q1 report that one of the factors driving increased profitability"}, {"path": "tedlium_24427.wav", "duration": 7.92, "text": "And you can expect that the improvement will continue until there's a change in the programs driving the reduced level of process gross to net deductions."}, {"path": "tedlium_24428.wav", "duration": 7.92, "text": "Regarding our PicOnyx investment, we are currently working to finalize our asset contribution in exchange for a minority position in the company."}, {"path": "tedlium_24429.wav", "duration": 7.92, "text": "and also reduces the associated letters of credit fees. Staying on the topic of liquidity during the third quarter"}, {"path": "tedlium_24430.wav", "duration": 7.92, "text": "we are able to constantly renew existing publisher contracts and win new mandates to round our existing portfolio."}, {"path": "tedlium_24431.wav", "duration": 7.92, "text": "Yes, I would say it's slightly higher than our everyday business at brokerage because we're providing more services."}, {"path": "tedlium_24432.wav", "duration": 7.92, "text": "Wales. Having said that, it is a very valuable site, and there's a lot of density on the site and it's a prime location."}, {"path": "tedlium_24433.wav", "duration": 7.92, "text": "such as caring for the frail and vulnerable wherever they reside, delivering value and transparency in pharmacy care services"}, {"path": "tedlium_24434.wav", "duration": 7.92, "text": "we will do the deal. If they intend to look for great television to subsidize them, then we will not do that deal."}, {"path": "tedlium_24435.wav", "duration": 7.92, "text": "As part of this announcement, we shared quantifiable results regarding the benefits of haptics in mobile advertising."}, {"path": "tedlium_24436.wav", "duration": 7.92, "text": "I'm a bit curious why you are even providing a guidance because in these situations, historically, you have not"}, {"path": "tedlium_24437.wav", "duration": 7.92, "text": "I know we are on the right track and I'm very excited to continue to execute on our growth plans now and into the future."}, {"path": "tedlium_24438.wav", "duration": 7.92, "text": "by building out the team further, connecting it to our brand and ability to market and our own networks."}, {"path": "tedlium_24439.wav", "duration": 7.92, "text": "we're assuming conditions stay pretty challenging like they were in the second quarter and continue that way for the rest of the year."}, {"path": "tedlium_24440.wav", "duration": 7.92, "text": "And then the negative earnings affect will be -- as you grow your receivables"}, {"path": "tedlium_24441.wav", "duration": 7.92, "text": "And I'm confident sales will continue to increase as our commercial resources gain even more leverage in all regions."}, {"path": "tedlium_24442.wav", "duration": 7.92, "text": "Another example of our focus on the controllable aspects of our business is our effective expense management."}, {"path": "tedlium_24443.wav", "duration": 7.92, "text": "It's a little bit early because this was somewhat of a learning experience for both sides."}, {"path": "tedlium_24444.wav", "duration": 7.89, "text": "So expenses must be in line or a couple of percentage points"}, {"path": "tedlium_24445.wav", "duration": 7.89, "text": "supported by some major projects down there in Peru and some others in South Korea and in China."}, {"path": "tedlium_24446.wav", "duration": 7.89, "text": "In addition, this conference call contains time-sensitive information that is accurate only as of the date of this live broadcast,"}, {"path": "tedlium_24447.wav", "duration": 7.89, "text": "You mentioned that's going to be at a reduced borrowing rate. I wonder if you could give us a little more color around that. And also, when do you expect to be able to close this?"}, {"path": "tedlium_24448.wav", "duration": 7.89, "text": "We expect this magnitude of decline to gradually dissipate the remainder of the year, as the impact of Zika in the market began in August"}, {"path": "tedlium_24449.wav", "duration": 7.89, "text": "we hold negotiations together with our customers. And in many cases, these are quarterly negotiations. And in others,"}, {"path": "tedlium_24450.wav", "duration": 7.89, "text": "So let me say that nothing has changed in our expectations"}, {"path": "tedlium_24451.wav", "duration": 7.89, "text": "The difficult driver market, combined with the implementation of more stringent hiring requirements, continue to be a headwind for our business."}, {"path": "tedlium_24452.wav", "duration": 7.89, "text": "we're going to need to do more with less here. And we know that cost is a big part of it. And operational excellence is also a big part of it. So"}, {"path": "tedlium_24453.wav", "duration": 7.89, "text": "because we would like to grow more than we're currently growing, and that opportunity may arise at some point in the future. And of course, it's a combination of"}, {"path": "tedlium_24454.wav", "duration": 7.89, "text": "and it's been appropriate to also transform the executive team for the new asset base and our future growth expectations."}, {"path": "tedlium_24455.wav", "duration": 7.89, "text": "I think the company has never been in a better position to expand and to exploit the market opportunities there for our services."}, {"path": "tedlium_24456.wav", "duration": 7.89, "text": "This single data fabric will deliver seamless real-time integration and data access across our many unique data sources."}, {"path": "tedlium_24457.wav", "duration": 7.89, "text": "Jeff, with respect to what the ideal partner would be. There's probably 7 or 8 criteria there. We pulled that together"}, {"path": "tedlium_24458.wav", "duration": 7.89, "text": "as we applied tighter disciplines and controls to our key working capital and inventory balances."}, {"path": "tedlium_24459.wav", "duration": 7.89, "text": "or potential customers in the backlog who want to install BEACON and want to start using our products."}, {"path": "tedlium_24460.wav", "duration": 7.89, "text": "we'll often stress or emphasize that the quarter year-over-year results or comparisons are not always the most meaningful. We will look"}, {"path": "tedlium_24461.wav", "duration": 7.89, "text": "I believe that when you shop our stores this season, you will agree that the assortment looks great."}, {"path": "tedlium_24462.wav", "duration": 7.89, "text": "you've got the investment and new that comes in your cost ex fuel, but the benefit comes in the fuel line and that piece there."}, {"path": "tedlium_24463.wav", "duration": 7.89, "text": "we're quoting on a ton of connectivity business this year, and we do believe this will help position us for future growth."}, {"path": "tedlium_24464.wav", "duration": 7.89, "text": "And we expect this segment will return to a slow, steady pace of improvement in 2018 as customer inventories of spare parts are depleted,"}, {"path": "tedlium_24465.wav", "duration": 7.89, "text": "We are also focused on profitably scaling integrated marketing on-demand solution offers,"}, {"path": "tedlium_24466.wav", "duration": 7.89, "text": "label converters seeking a flexible solution that meets the demands for short label runs and professional printing houses."}, {"path": "tedlium_24467.wav", "duration": 7.89, "text": "Our friends at Chase have remained very supportive of the company and management, and while handling of a very challenging Medicare billing transition."}, {"path": "tedlium_24468.wav", "duration": 7.89, "text": "the maintenance price increase for those customers who don't take advantage of the M2S program and less discounting and promotional activity."}, {"path": "tedlium_24469.wav", "duration": 7.89, "text": "And finally, the renewable power generation segment is driving growth as solar acquisition activity is especially strong."}, {"path": "tedlium_24470.wav", "duration": 7.89, "text": "by completing a strategic investment in Racemi, a specialist in helping clients migrate their applications"}, {"path": "tedlium_24471.wav", "duration": 7.89, "text": "While YRC Freight reported improved financial results over last year, we are far from satisfied with our overall performance."}, {"path": "tedlium_24472.wav", "duration": 7.89, "text": "Our long-term goal remains to reduce the company's leverage, and we will look at refinancing our debt when the time is right."}, {"path": "tedlium_24473.wav", "duration": 7.89, "text": "Discussions will also include certain financial measures that were not prepared in accordance with generally accepted accounting principles."}, {"path": "tedlium_24474.wav", "duration": 7.89, "text": "There can be no assurance that the actual future results, performance or achievements expressed or implied by such forward-looking statements will occur."}, {"path": "tedlium_24475.wav", "duration": 7.89, "text": "Based on our data, we believe that the blockade of CTGF will be a more effective approach to fibrotic disease and multiple cancers."}, {"path": "tedlium_24476.wav", "duration": 7.89, "text": "And second, a small percentage of new enterprise accounts decide to utilize their own carriers for usage."}, {"path": "tedlium_24477.wav", "duration": 7.89, "text": "And another key win in the sector was our recently announced contract with Ballard Power Systems"}, {"path": "tedlium_24478.wav", "duration": 7.89, "text": "And certainly, I believe we have a very strong business plan with significant rate base and earnings growth and a very competitive dividend."}, {"path": "tedlium_24479.wav", "duration": 7.89, "text": "and Aerospace operations are well positioned to gain advantage from favorable conditions for a number of our programs"}, {"path": "tedlium_24480.wav", "duration": 7.89, "text": "packaging, and there were some really interesting unique engines that they talked about for their dispensing business."}, {"path": "tedlium_24481.wav", "duration": 7.89, "text": "The team at Southeastern is a strong addition to the South State team, and we believe that the merger will be additive in many ways to the company."}, {"path": "tedlium_24482.wav", "duration": 7.89, "text": "as a result of the consolidations, supply chain enhancements and pricing initiatives we implemented during the downturn."}, {"path": "tedlium_24483.wav", "duration": 7.89, "text": "The first quarter of each calendar year generally produces our weakest financial results. The second and third"}, {"path": "tedlium_24484.wav", "duration": 7.89, "text": "Pricing performance reflected the benefits of prior pricing actions and the surcharge applied to recover tariffs."}, {"path": "tedlium_24485.wav", "duration": 7.89, "text": "In motorcycle business operations, group unit sales decreased primarily in Indonesia, China and Brazil."}, {"path": "tedlium_24486.wav", "duration": 7.89, "text": "But I would say almost every company is thinking about themselves as a technology company or is positioning themselves"}, {"path": "tedlium_24487.wav", "duration": 7.89, "text": "we had growth across all of our commercial products during the quarter, which led to the 23% growth over the fourth quarter last year."}, {"path": "tedlium_24488.wav", "duration": 7.89, "text": "The main issue here is that the environment on the investment market"}, {"path": "tedlium_24489.wav", "duration": 7.89, "text": "VIBE offers more liquid than the brand's previous products and also has a more powerful and longer-lasting battery."}, {"path": "tedlium_24490.wav", "duration": 7.89, "text": "These assets are now embedded in each of our businesses. We're able to use these assets to help drive client value."}, {"path": "tedlium_24491.wav", "duration": 7.89, "text": "I signed up for that contract but I don't really need it now, and can you let me get out of it or can we defer the timing of it?"}, {"path": "tedlium_24492.wav", "duration": 7.89, "text": "And we're looking at where this trucking is taking place and we're telling these people that we're not going to give you a trucking"}, {"path": "tedlium_24493.wav", "duration": 7.89, "text": "Also, please note that this guidance does not reflect the operational or capital impact of any future acquisition,"}, {"path": "tedlium_24494.wav", "duration": 7.89, "text": "And as I mentioned earlier, we expect to see improved productivity, both in the short term as new technicians progress along the learning curve"}, {"path": "tedlium_24495.wav", "duration": 7.89, "text": "general indicator of interest in the asset class and transaction volumes, things are very healthy right now."}, {"path": "tedlium_24496.wav", "duration": 7.89, "text": "Our discussion of operating performance will include non-GAAP financial measures within the meaning of SEC Regulation G."}, {"path": "tedlium_24497.wav", "duration": 7.89, "text": "I mentioned in my comments that we're still very much focused on our existing customer base for all the reasons you might expect, Chris."}, {"path": "tedlium_24498.wav", "duration": 7.89, "text": "Combining these industry leaders will enhance our ability to deliver on our mission of providing affordable,"}, {"path": "tedlium_24499.wav", "duration": 7.89, "text": "which would mean in the spaces that we already play with the businesses that we already have, in our major segments that we're growing at or above market."}, {"path": "tedlium_24500.wav", "duration": 7.89, "text": "acquire customers at the right cost and be able to charge the right prices, too, there was a large market to be tapped."}, {"path": "tedlium_24501.wav", "duration": 7.89, "text": "This will be more than replaced beginning in the December quarter, when Vulcan Materials starts mining and paying royalties"}, {"path": "tedlium_24502.wav", "duration": 7.89, "text": "And there are some companies in Florida as well that we think could be very compelling to us in terms of"}, {"path": "tedlium_24503.wav", "duration": 7.89, "text": "We don't expect that we'll be able to continue to gain on that. We would really -- we're expecting that"}, {"path": "tedlium_24504.wav", "duration": 7.89, "text": "We typically have an ability to keep those in the portfolio if we want to. So if we're exiting them, you can assume that we're exiting them for a reason,"}, {"path": "tedlium_24505.wav", "duration": 7.89, "text": "These forward-looking statements are subject to the risks that could cause actual results to be materially different."}, {"path": "tedlium_24506.wav", "duration": 7.89, "text": "you can't really choose to ignore us and be as successful as somebody who engages with us. On the"}, {"path": "tedlium_24507.wav", "duration": 7.89, "text": "as we've modeled out the historical maturity of our dealerships, the return on capital actually is exceeding"}, {"path": "tedlium_24508.wav", "duration": 7.89, "text": "long-time customers in that group and they tend to sign 3- to 5-year contracts. So there's a good amount of stability in the customer base."}, {"path": "tedlium_24509.wav", "duration": 7.89, "text": "Now turning to Page 20. Now we have a deep look on our financial figures."}, {"path": "tedlium_24510.wav", "duration": 7.89, "text": "But both of those numbers are really still very conservative relative to what we're capable of and relative to the capital programs that we've had in the past."}, {"path": "tedlium_24511.wav", "duration": 7.89, "text": "the work that Michael is doing, maybe speak to that. And as that product quality goes up, the ability to take a little bit more on price,"}, {"path": "tedlium_24512.wav", "duration": 7.89, "text": "overall, its performance still has tremendous room to improve, and we're taking the right steps to realize those opportunities."}, {"path": "tedlium_24513.wav", "duration": 7.89, "text": "And that we have also learned our lessons, also, going back in the past. When you look at what has hit us,"}, {"path": "tedlium_24514.wav", "duration": 7.89, "text": "elevated origination volumes and margins for the mortgage industry. While interest rates have fallen,"}, {"path": "tedlium_24515.wav", "duration": 7.89, "text": "This vessel is currently providing ammonia transportation services under a 10-year charter with Potash Corporation."}, {"path": "tedlium_24516.wav", "duration": 7.89, "text": "I would just broaden the Middle America part to definitely talk about the broad swath of the Southern U.S."}, {"path": "tedlium_24517.wav", "duration": 7.89, "text": "As we close out fiscal 2018, most of our targets remain consistent with previous guidance, but I'd like to highlight a few specifics."}, {"path": "tedlium_24518.wav", "duration": 7.89, "text": "Vince will then review our segment results and provide a more detailed financial overview. As always, we'll leave time to answer your questions."}, {"path": "tedlium_24519.wav", "duration": 7.89, "text": "Investments will serve to improve the digital user experience for our partners and customers, as well as expand our HSA investment capabilities."}, {"path": "tedlium_24520.wav", "duration": 7.89, "text": "As we mentioned in today's press release, we'll be presenting some compelling new ATLAS data at next week's SITC meeting,"}, {"path": "tedlium_24521.wav", "duration": 7.89, "text": "These discussions are ongoing and, of course, we'll update the market as soon as we have material news to share."}, {"path": "tedlium_24522.wav", "duration": 7.89, "text": "The effect on associated companies and net financials are related to the change in market value in the period"}, {"path": "tedlium_24523.wav", "duration": 7.89, "text": "So we don't expect we're going to have major disruption there. The other thing that happens in the second half is,"}, {"path": "tedlium_24524.wav", "duration": 7.89, "text": "that over the next several years we're going to see a 5% compound annual growth rate in our content per vehicle."}, {"path": "tedlium_24525.wav", "duration": 7.89, "text": "The quarter's results again reflect the progress we have made to date to meet the needs of the demanding and fast-moving medical markets,"}, {"path": "tedlium_24526.wav", "duration": 7.89, "text": "in the fourth quarter of last year, we were obviously -- the business was not doing as well as we would have liked it to do. Things started to slow down, so we had"}, {"path": "tedlium_24527.wav", "duration": 7.89, "text": "We have accepted and are in alignment with the recommendation of the FDA. Accordingly"}, {"path": "tedlium_24528.wav", "duration": 7.89, "text": "and future predictions are forward-looking statements intended to be covered by the safe harbor provisions of the securities act"}, {"path": "tedlium_24529.wav", "duration": 7.89, "text": "This morning, I'll provide an overview of our first quarter performance and also discuss activity within our regions and current market conditions."}, {"path": "tedlium_24530.wav", "duration": 7.89, "text": "execution. We do expect that to be coming back in, but it's not going to go all into the second quarter."}, {"path": "tedlium_24531.wav", "duration": 7.89, "text": "And we continue to be very excited about it. We will get a significant amount of the Band 14 up this year,"}, {"path": "tedlium_24532.wav", "duration": 7.89, "text": "is the -- as we build out the physician platform, the ability to extend"}, {"path": "tedlium_24533.wav", "duration": 7.89, "text": "Second, a lower loss from Corporate and Other operations, driven by favorable fluctuations in expenses and investment income."}, {"path": "tedlium_24534.wav", "duration": 7.89, "text": "And so currently, we are focused very much on continuing that pattern. And so"}, {"path": "tedlium_24535.wav", "duration": 7.89, "text": "increase that flywheel as we move into the next second half and beyond. Also with the second half last year, the"}, {"path": "tedlium_24536.wav", "duration": 7.89, "text": "it does add a little bit of additional traceability monitoring for us to ensure we can continue to track that product and gets into the channel."}, {"path": "tedlium_24537.wav", "duration": 7.89, "text": "We're also -- continue to believe that the technology will provide a superior refrigerated truck body product for our customers."}, {"path": "tedlium_24538.wav", "duration": 7.89, "text": "think the last time I pointed out -- last time we talked about that, we said it would take a couple of years"}, {"path": "tedlium_24539.wav", "duration": 7.89, "text": "And then when you take that away, you have a very different scenario. So if you looked at it over the last 2 years when there was no payment"}, {"path": "tedlium_24540.wav", "duration": 7.89, "text": "under contract, under binding contract. And I was just wondering if you could give us any visibility on"}, {"path": "tedlium_24541.wav", "duration": 7.89, "text": "This investment has a positive NPV and strong financial payback driven by the cost savings associated with having a single site"}, {"path": "tedlium_24542.wav", "duration": 7.89, "text": "look at it that way, right? This is a phenomenal feeder channel for us, and we'll continue to invest in this business. I mean, some of the"}, {"path": "tedlium_24543.wav", "duration": 7.89, "text": "For this reason, a number of AML patients during the screening process were not enrolled in the trial because of their advanced disease."}, {"path": "tedlium_24544.wav", "duration": 7.89, "text": "assumed that the settlement was a huge win for Herbalife. We're now going to go to a video clip. Let me just introduce it before we begin the clip."}, {"path": "tedlium_24545.wav", "duration": 7.89, "text": "As I hope you can appreciate, we will not be making any further public comments about this process until we complete our evaluation."}, {"path": "tedlium_24546.wav", "duration": 7.89, "text": "primarily driven by particularly strong growth in Chinese white spirits despite the later timing of Chinese New Year."}, {"path": "tedlium_24547.wav", "duration": 7.89, "text": "This focus on returning to profitability is our overarching mandate and is incorporated in all of our initiatives."}, {"path": "tedlium_24548.wav", "duration": 7.89, "text": "reflecting the timing of various rollouts where we continue to expect sales to be up about 15% for the full year."}, {"path": "tedlium_24549.wav", "duration": 7.89, "text": "In the first quarter, we on-boarded several new customers and have additional on-boarding scheduled in the second quarter."}, {"path": "tedlium_24550.wav", "duration": 7.89, "text": "And given we've had the paper on the calibration of the Pillar 2A, do you have a sense of where that buffer will go to on the stress"}, {"path": "tedlium_24551.wav", "duration": 7.89, "text": "gun market as a driver for our business. As such, Core's ballistic engineers recently teamed up with a major service provider"}, {"path": "tedlium_24552.wav", "duration": 7.89, "text": "and you look at the acute care that you can deliver through a strong retail network, you look at the other things you can do to build the star ratings, the health plans and other things,"}, {"path": "tedlium_24553.wav", "duration": 7.89, "text": "This brings our development program count in strategic markets to a total of 5, up from 3 last quarter."}, {"path": "tedlium_24554.wav", "duration": 7.89, "text": "Please go on to Slide 5 and we will review other relevant facts through the period."}, {"path": "tedlium_24555.wav", "duration": 7.89, "text": "And quite frankly, one that we think is very difficult for others, especially in the start-up phase, to compete with because"}, {"path": "tedlium_24556.wav", "duration": 7.89, "text": "As you know, we benefited from a soft comparator in the fourth quarter last year as we lapped both demonetization in India"}, {"path": "tedlium_24557.wav", "duration": 7.89, "text": "and then have cash available for operations and investment going forward and have the full use of our revolver going forward. So"}, {"path": "tedlium_24558.wav", "duration": 7.89, "text": "on your last response there that the Nike revenue run rate is a little bit slower than what you planned maybe a year or two ago."}, {"path": "tedlium_24559.wav", "duration": 7.89, "text": "operational tanks needed, we have moved some of those projects and accelerated it into this year. And we've been able to do that."}, {"path": "tedlium_24560.wav", "duration": 7.89, "text": "We believe this tuck-in acquisition strengthens our capabilities and domain expertise in the pharma space."}, {"path": "tedlium_24561.wav", "duration": 7.89, "text": "As a result of the recent political and economic events in Venezuela, we wrote down our investment in Venezuela."}, {"path": "tedlium_24562.wav", "duration": 7.89, "text": "we figure we'll be able to improve our automation and then get more system efficiency out of that."}, {"path": "tedlium_24563.wav", "duration": 7.89, "text": "Finally, offshore. This has been touched on a little bit, and it's really mostly falls outside of the planned scope but it's a"}, {"path": "tedlium_24564.wav", "duration": 7.89, "text": "So no change on a consolidated basis for that item. But when you do look at the Renewables results, they look a little low for the year"}, {"path": "tedlium_24565.wav", "duration": 7.89, "text": "This regulatory focus will certainly continue in the future, and therefore, it is essential to have in place an operational model"}, {"path": "tedlium_24566.wav", "duration": 7.89, "text": "Before we begin, let me remind you that comments regarding the company's results and projections may include forward-looking statements,"}, {"path": "tedlium_24567.wav", "duration": 7.89, "text": "We remain focused on tight cost control while at the same time, making appropriate investments in our businesses."}, {"path": "tedlium_24568.wav", "duration": 7.89, "text": "And I was curious as to, as you look at where we are right now and you try to assess your strategy over the course of the next few years, let's say,"}, {"path": "tedlium_24569.wav", "duration": 7.89, "text": "and so we've been able to offset some of the lot cost increases we've been seeing come through to protect the margins."}, {"path": "tedlium_24570.wav", "duration": 7.89, "text": "Strategic execution by the FedEx team and a stronger global economy drove improved financial results,"}, {"path": "tedlium_24571.wav", "duration": 7.89, "text": "massive snowstorms, such as we've had out west that creates avalanches, it's -- there's going to be some deterioration in service. But"}, {"path": "tedlium_24572.wav", "duration": 7.89, "text": "we've reorganized and targeted going after parts of the business where we believe our value proposition is very strong."}, {"path": "tedlium_24573.wav", "duration": 7.89, "text": "In sum, just a few weeks into this new year, we are focused and excited for what we expect the year to bring."}, {"path": "tedlium_24574.wav", "duration": 7.89, "text": "So we don't have any reason now to deviate from this current agreement."}, {"path": "tedlium_24575.wav", "duration": 7.89, "text": "of the potential transaction related to the royalties that Klabin pays on certain brands."}, {"path": "tedlium_24576.wav", "duration": 7.89, "text": "look out there. There's maybe something between nothing and just the 10th quarter long-term view that we'll get our heads around"}, {"path": "tedlium_24577.wav", "duration": 7.89, "text": "and that over and above what the market is hiring. We can and will through this experienced"}, {"path": "tedlium_24578.wav", "duration": 7.89, "text": "Got it. And you guys have talked a little bit about sort of the security opportunity on the embedded side, but I just wanted to understand, like"}, {"path": "tedlium_24579.wav", "duration": 7.89, "text": "To address this issue, we have been working with the bank and leveraging our position as the largest"}, {"path": "tedlium_24580.wav", "duration": 7.89, "text": "We are meeting with our customer regularly, and senior management at both companies have targeted a resolution before year's end."}, {"path": "tedlium_24581.wav", "duration": 7.89, "text": "a few of our recent new product development efforts allow significant operating efficiencies here, and we will be increasing our focus here as we progress."}, {"path": "tedlium_24582.wav", "duration": 7.89, "text": "across the board and something that we're looking to address with the price increases that we're implementing effective May 1 as well."}, {"path": "tedlium_24583.wav", "duration": 7.89, "text": "While the profitability of this particular investment makes it extraordinary in our experience, the process and approach"}, {"path": "tedlium_24584.wav", "duration": 7.89, "text": "We continue to be very excited about acquisition opportunities in the primary markets we serve and also in adjacent recreational lifestyle markets."}, {"path": "tedlium_24585.wav", "duration": 7.89, "text": "and according to the various demands that we have at the appropriate time, and at an appropriate level, we are going to continue"}, {"path": "tedlium_24586.wav", "duration": 7.89, "text": "Our Adjacent Services opportunity pipeline increased significantly over the last quarter, and we are seeing"}, {"path": "tedlium_24587.wav", "duration": 7.89, "text": "We are comfortable that we have the right leaders focused on the right areas and that the organic revenue results will improve as a result of this focus."}, {"path": "tedlium_24588.wav", "duration": 7.89, "text": "given our updated outlook that oil prices remain depressed for longer than we had previously anticipated,"}, {"path": "tedlium_24589.wav", "duration": 7.89, "text": "with the transaction scheduled to close no later than the first quarter of 2018. In the preliminary proxy related to the transaction,"}, {"path": "tedlium_24590.wav", "duration": 7.89, "text": "In the quick charge segment, there are a number of protocols and approaches in the market to facilitate a higher power transfer."}, {"path": "tedlium_24591.wav", "duration": 7.8600625, "text": "This was attributable to the weakness in Nigeria, Brazil and the export channel in West LAC, as I discussed earlier."}, {"path": "tedlium_24592.wav", "duration": 7.8600625, "text": "I think you will definitely get a sense. There's a very rich opportunity set here, and we really have the team to deliver in this moment. So"}, {"path": "tedlium_24593.wav", "duration": 7.8600625, "text": "We use more and more technology and we've brought in more efficiency in doing all these processes,"}, {"path": "tedlium_24594.wav", "duration": 7.86, "text": "But still, it is in an early phase. So it offers us great flexibility."}, {"path": "tedlium_24595.wav", "duration": 7.86, "text": "And there were some new features but also in the existing technology generation."}, {"path": "tedlium_24596.wav", "duration": 7.86, "text": "as well as for some of the institutional verticals within nonrisk construction to reflect some of the uneven nature of how we think the 6 months plays out."}, {"path": "tedlium_24597.wav", "duration": 7.86, "text": "from banc-serv Partners this year. And we also did a small acquisition of some technology assets and accounts"}, {"path": "tedlium_24598.wav", "duration": 7.86, "text": "the market was a bit choppier at the end of the year, there's no question. So I think the range of outcomes was a bit wider than what we had seen"}, {"path": "tedlium_24599.wav", "duration": 7.86, "text": "Once the second ship is delivered, dividends will resume from the travel business into group."}, {"path": "tedlium_24600.wav", "duration": 7.86, "text": "We finished formally integrating Leadership Consulting and Culture Shaping and launched a new business, Heidrick Consulting."}, {"path": "tedlium_24601.wav", "duration": 7.86, "text": "We would like to thank all of the investors who participated in this offering and those who continue to support us today."}, {"path": "tedlium_24602.wav", "duration": 7.86, "text": "So we end up not ending up with a price for something that didn't have boundaries around it. So that's been going on since Greg has been here."}, {"path": "tedlium_24603.wav", "duration": 7.86, "text": "The investment in our IT infrastructure builds a more scalable foundation, allows us to automate the growing demands of our business."}, {"path": "tedlium_24604.wav", "duration": 7.86, "text": "at Swift that I believe are excited about the stability that we have added"}, {"path": "tedlium_24605.wav", "duration": 7.86, "text": "although a correlation of our stock chart with the international dry bulk index would lead you to believe that we are similar."}, {"path": "tedlium_24606.wav", "duration": 7.86, "text": "As for the reaction of the patients, I have heard that according to various SNS sources,"}, {"path": "tedlium_24607.wav", "duration": 7.86, "text": "establishing an organization structure of checks and balances in order to execute the business strategy."}, {"path": "tedlium_24608.wav", "duration": 7.86, "text": "As everyone knows in this industry, the cost of a design is escalating exponentially."}, {"path": "tedlium_24609.wav", "duration": 7.86, "text": "With that said, as you look forward and you think about combinations of potential immunotherapies or combinations with other therapies,"}, {"path": "tedlium_24610.wav", "duration": 7.86, "text": "But overall, net-net, to answer the question, we feel pretty good about the balance between foreign exchange, pricing and commodity costs."}, {"path": "tedlium_24611.wav", "duration": 7.86, "text": "We continue to take pricing to offset unfavorable foreign exchange as part of our larger effort to improve margin."}, {"path": "tedlium_24612.wav", "duration": 7.86, "text": "That will take some time, and we want to do that diligently and"}, {"path": "tedlium_24613.wav", "duration": 7.86, "text": "Our construction and engineering groups remain committed to working closely with FERC, PA DEP and other regulatory agencies"}, {"path": "tedlium_24614.wav", "duration": 7.86, "text": "This concludes today's conference call. You may disconnect your lines. Thank you for participating, and have a pleasant day."}, {"path": "tedlium_24615.wav", "duration": 7.86, "text": "He did all -- he does all the holding of the product. He was super positive. We hired a joint person that"}, {"path": "tedlium_24616.wav", "duration": 7.86, "text": "Regarding people. We are very focused on improving employee engagement and the overall culture at Fred's Pharmacy."}, {"path": "tedlium_24617.wav", "duration": 7.86, "text": "We unveiled our company's new purpose. We inspire healthy habits for real life,"}, {"path": "tedlium_24618.wav", "duration": 7.86, "text": "which demonstrates not only the strength of our cash generation but the efforts of our team to manage capital effectively."}, {"path": "tedlium_24619.wav", "duration": 7.86, "text": "is a continuous length of steel tubing, typically around 2 inches in diameter and up to 30,000 feet in length, which is wound on a reel as we manufacture it."}, {"path": "tedlium_24620.wav", "duration": 7.86, "text": "and forms and accessories expected to represent approximately 20% of revenue."}, {"path": "tedlium_24621.wav", "duration": 7.86, "text": "And the concern now is a lack of adequate funding to local government agencies to respond to Zika in a comprehensive manner."}, {"path": "tedlium_24622.wav", "duration": 7.86, "text": "Today's call will contain other non-GAAP financial measures which we believe are important in evaluating the company's performance."}, {"path": "tedlium_24623.wav", "duration": 7.86, "text": "several new community openings coming in California and specifically at Pacific Highlands Ranch down in San Diego."}, {"path": "tedlium_24624.wav", "duration": 7.86, "text": "I'd like to spend a few minutes updating you on some specific topics of interest as follows."}, {"path": "tedlium_24625.wav", "duration": 7.86, "text": "we also said the highway broadband backbone,"}, {"path": "tedlium_24626.wav", "duration": 7.86, "text": "This creates another alternative cycle, and sometimes the result is mistaken"}, {"path": "tedlium_24627.wav", "duration": 7.86, "text": "But also this launching customer will have its advantage because of the, let's say, development that we're doing on details now in this"}, {"path": "tedlium_24628.wav", "duration": 7.86, "text": "further investing in our organization to bring the organization to a next level of competence"}, {"path": "tedlium_24629.wav", "duration": 7.86, "text": "which will cause a reported organic growth rate for our lodging segment to be -- potentially be in the low single digits in the fourth quarter."}, {"path": "tedlium_24630.wav", "duration": 7.86, "text": "As the proof of our strategy's success continues to mount, we remain confident in our longer-term goal"}, {"path": "tedlium_24631.wav", "duration": 7.86, "text": "get a sense of how important this digestion factor is in your own timing of making new acquisitions."}, {"path": "tedlium_24632.wav", "duration": 7.86, "text": "This program is part of DARPA's Electronics Resurgence Initiative to develop new computing materials, designs and architectures."}, {"path": "tedlium_24633.wav", "duration": 7.86, "text": "your question. And the Qudos should not have any impact because all the Qudos have"}, {"path": "tedlium_24634.wav", "duration": 7.86, "text": "The company assumes no obligation to update forward-looking statements, information in the press release, the financial highlights deck"}, {"path": "tedlium_24635.wav", "duration": 7.86, "text": "As such, sometimes, it can be a little tricky reporting our estimated project revenues when oil and gas markets begin showing signs of recovery."}, {"path": "tedlium_24636.wav", "duration": 7.86, "text": "Our team is more experienced, diverse and growth oriented and that is reflected in our ability to deliver consistent operating results."}, {"path": "tedlium_24637.wav", "duration": 7.86, "text": "For those of you accessing the presentation, which can be downloaded on the website, these can be found on Page 3 of the Q1 highlights presentation."}, {"path": "tedlium_24638.wav", "duration": 7.86, "text": "to start. Is that what I thought I heard you say? What we're saying is that we have mapped out a plan to"}, {"path": "tedlium_24639.wav", "duration": 7.86, "text": "And finally, having terminal in-basin gives us a presence in the basin, where we can market our wellsite solutions."}, {"path": "tedlium_24640.wav", "duration": 7.86, "text": "So overall, we take confidence as these strong metrics demonstrate the relevance and resilience of our community assets"}, {"path": "tedlium_24641.wav", "duration": 7.86, "text": "at the next auction, but assuming that there is one for the 900, would you also demand that you get the exact same treatment? Of course."}, {"path": "tedlium_24642.wav", "duration": 7.86, "text": "Until a couple of quarters ago, the bulk of the demand came from the top 2 providers and we only saw sporadic orders from the other vendors."}, {"path": "tedlium_24643.wav", "duration": 7.86, "text": "can you give a sense of how much you've taken? And what was the main driver other than perhaps customers want"}, {"path": "tedlium_24644.wav", "duration": 7.86, "text": "At the same time, we've been able to create incentive programs for intermediaries,"}, {"path": "tedlium_24645.wav", "duration": 7.86, "text": "it sounds like the issue is one that may be related to an evaluation tool or something like that rather than"}, {"path": "tedlium_24646.wav", "duration": 7.86, "text": "to welcome a minority partner in this regulated company to do even more in the future."}, {"path": "tedlium_24647.wav", "duration": 7.86, "text": "The cloud is accelerating business and as migration strategies take shape, cloud security is top of mind for all organizations."}, {"path": "tedlium_24648.wav", "duration": 7.86, "text": "The second piece of the puzzle is the ones that haven't been successful have been revenue-based"}, {"path": "tedlium_24649.wav", "duration": 7.86, "text": "are closer. And we obviously control our price, and so that's another variable we can use to control margins. And we're very pleased with"}, {"path": "tedlium_24650.wav", "duration": 7.86, "text": "So when we get to 2019, we certainly wouldn't expect to see anything like this. We would expect to see just"}, {"path": "tedlium_24651.wav", "duration": 7.86, "text": "and, as a result, is expanding school access and reinforcing the unique value proposition of the Horace Mann brand."}, {"path": "tedlium_24652.wav", "duration": 7.86, "text": "North Carolina represents our largest share of insured losses from this event with additional losses in South Carolina and Georgia."}, {"path": "tedlium_24653.wav", "duration": 7.86, "text": "We're optimistic that we can accomplish this goal because we are seeing strong growth from some of our highest margin products."}, {"path": "tedlium_24654.wav", "duration": 7.86, "text": "Thank you, ladies and gentlemen. This concludes today's conference. Thank you for participating, and you may now disconnect."}, {"path": "tedlium_24655.wav", "duration": 7.86, "text": "The final enabler will be the proposed new reward framework that I referred to a little bit earlier."}, {"path": "tedlium_24656.wav", "duration": 7.86, "text": "as weaker, in so far as it is the best quarter in fact for a second quarter in fiber net adds ever."}, {"path": "tedlium_24657.wav", "duration": 7.86, "text": "building a lot of results from banks in certainly the first half of 2016, but we're going to work hard on signing at least one deal."}, {"path": "tedlium_24658.wav", "duration": 7.86, "text": "The large increase in production volume reflects a larger mortgage origination market, driven by lower mortgage rates during the quarter,"}, {"path": "tedlium_24659.wav", "duration": 7.86, "text": "So that if rates do go up, we actually not only are not impacted negatively but we"}, {"path": "tedlium_24660.wav", "duration": 7.86, "text": "Before we begin, I'll remind you that our discussion this morning may contain forward-looking statements that relate to the future performance of the company."}, {"path": "tedlium_24661.wav", "duration": 7.86, "text": "In terms of revenue, we experienced constant-currency growth with several existing and new clients in the third quarter."}, {"path": "tedlium_24662.wav", "duration": 7.86, "text": "probably got started because of that, that have actually morphed into -- they're looking at their network entirely differently and those are"}, {"path": "tedlium_24663.wav", "duration": 7.86, "text": "basically the -- and we are in a certain way because I talked very much about the prices of the other energies"}, {"path": "tedlium_24664.wav", "duration": 7.86, "text": "We expect the full year to be in similar range as a result of the planned Carseland shutdown later on this financial year."}, {"path": "tedlium_24665.wav", "duration": 7.86, "text": "Please turn to Page 40. This is the status of our International Passenger operations."}, {"path": "tedlium_24666.wav", "duration": 7.86, "text": "So where do we go from there? Would we do something that beefs up our existing positions or fills white spaces"}, {"path": "tedlium_24667.wav", "duration": 7.86, "text": "We still expect the full year margin to be in the low 3.40s range, which is consistent with our original guidance."}, {"path": "tedlium_24668.wav", "duration": 7.86, "text": "These declines were partially offset by stronger volumes in APAC and EMEA. Like last quarter,"}, {"path": "tedlium_24669.wav", "duration": 7.86, "text": "the way the year finished, that really the entire Roofing shipments and Roofing market ran through the finish line and didn't die off in the fourth quarter,"}, {"path": "tedlium_24670.wav", "duration": 7.86, "text": "As we do, we can grow in every market and successfully integrate our recently acquired assets."}, {"path": "tedlium_24671.wav", "duration": 7.86, "text": "We're now fashioning those into service offerings and products that we can bring to markets."}, {"path": "tedlium_24672.wav", "duration": 7.86, "text": "Designed to appeal to the everyday traveler, we've made Wyndham Rewards the most generous and easiest to use program in the industry."}, {"path": "tedlium_24673.wav", "duration": 7.86, "text": "coupled with the temporary inefficiencies of the Kaikaku, segment operating margins were adversely affected."}, {"path": "tedlium_24674.wav", "duration": 7.86, "text": "and we do put it in that light. So I mean there was a chunk that was up in Everett, where we did the Kaikaku event."}, {"path": "tedlium_24675.wav", "duration": 7.86, "text": "into that space in a way that companies can create more data storage in smaller spaces."}, {"path": "tedlium_24676.wav", "duration": 7.86, "text": "as I'll get into in a moment. I should first mention that Logistics is a strategic division for us."}, {"path": "tedlium_24677.wav", "duration": 7.86, "text": "Our commitment to maximizing value creation was the key motivating force for the strategic review"}, {"path": "tedlium_24678.wav", "duration": 7.86, "text": "But offsetting that decline is a category that I referenced in a prior question, Brian, you might have heard it, about"}, {"path": "tedlium_24679.wav", "duration": 7.86, "text": "And we also saw a slight recovery in Asia where Petrochemicals and Syngas sales improved slightly."}, {"path": "tedlium_24680.wav", "duration": 7.86, "text": "We see a significant opportunity to improve the patient experience, physician satisfaction and business outcomes."}, {"path": "tedlium_24681.wav", "duration": 7.86, "text": "I just wanted to know which patients were selected on the basis of their responses before progressing to the subsequent stages"}, {"path": "tedlium_24682.wav", "duration": 7.86, "text": "We then settle our operating expenses generally with a lag within traditional trade terms."}, {"path": "tedlium_24683.wav", "duration": 7.86, "text": "and we remain positive on our strategies to produce long-term growth and consistent financial outcomes across our businesses."}, {"path": "tedlium_24684.wav", "duration": 7.86, "text": "And this is where we are launching new products within the shorter time cycle, and this is enabled by our newly"}, {"path": "tedlium_24685.wav", "duration": 7.86, "text": "the remainder of the year is expected to be challenging, with further consumer pressure and subdued investment sentiment."}, {"path": "tedlium_24686.wav", "duration": 7.86, "text": "As I said before, we take a conservative approach in modeling our interest rate sensitivity to any potential Fed rate hikes."}, {"path": "tedlium_24687.wav", "duration": 7.86, "text": "remains full with a number of great opportunities. However, our focus is also on making sure we remain disciplined in our acquisition strategy"}, {"path": "tedlium_24688.wav", "duration": 7.86, "text": "Banking services revenue was up more than 6% due to higher seasonal electronic banking transaction volumes."}, {"path": "tedlium_24689.wav", "duration": 7.86, "text": "particularly given current oil prices and this assumes that we do nothing with the rest of the resource base. Now hope from"}, {"path": "tedlium_24690.wav", "duration": 7.86, "text": "all of which have led to an environment that creates uncertainty despite our efforts to focus on the items we have control over."}, {"path": "tedlium_24691.wav", "duration": 7.86, "text": "very good about the data that we've generated across the program and across genotypes. If you look at our response rates, they're very high"}, {"path": "tedlium_24692.wav", "duration": 7.86, "text": "sounded like China had worked out some of the early problems with their coal to MEG processes and we're going forward with a number of projects."}, {"path": "tedlium_24693.wav", "duration": 7.86, "text": "Reported sales were up just under 2% as organic growth was partially offset by unfavorable exchange."}, {"path": "tedlium_24694.wav", "duration": 7.86, "text": "with truly global geographic reach and broad-based participation across most categories and price points."}, {"path": "tedlium_24695.wav", "duration": 7.86, "text": "Mike brings a great track record of success plus decades of large-scale financial, operational and e-commerce leadership experience to the team."}, {"path": "tedlium_24696.wav", "duration": 7.86, "text": "Once again, we saw the immense promise in connecting customers with amazing small businesses to experience the best their neighborhoods have to offer."}, {"path": "tedlium_24697.wav", "duration": 7.86, "text": "We continue to evaluate opportunities to grow the business in additional areas where we can leverage our competitive advantages."}, {"path": "tedlium_24698.wav", "duration": 7.86, "text": "the point where passengers from the airport and from the sea will originate their journey"}, {"path": "tedlium_24699.wav", "duration": 7.86, "text": "Our IT transformation effort to position the company to take advantage of new and emerging technologies is just getting underway."}, {"path": "tedlium_24700.wav", "duration": 7.86, "text": "and our conclusion that, that would be banking a lot on the fourth quarter, where we just don't have visibility yet."}, {"path": "tedlium_24701.wav", "duration": 7.86, "text": "loss on China was several hundred thousand dollars a year. So what we've done is, we moved"}, {"path": "tedlium_24702.wav", "duration": 7.86, "text": "Number one, people who want higher speeds generally want to be more engaged in the Internet than they do and they are. But also they're finding that the experience is better."}, {"path": "tedlium_24703.wav", "duration": 7.86, "text": "This will primarily be driven by the construction of an active pharmaceutical ingredient production facility in Clayton, North Carolina."}, {"path": "tedlium_24704.wav", "duration": 7.86, "text": "secondary source to some of our Eastern North Dakota markets. So that kind of things about how we think about the Valley Expansion Project."}, {"path": "tedlium_24705.wav", "duration": 7.86, "text": "And unfortunately, for us, we scratch our heads with that because we would've liked to have all this done in the backroom and figured out how to solve these things"}, {"path": "tedlium_24706.wav", "duration": 7.86, "text": "almost all of them have never been up close to a railcar before is a similarly big undertaking."}, {"path": "tedlium_24707.wav", "duration": 7.86, "text": "I talked about the cash flow we've got upcoming over the next couple of years in addition to our existing balance sheet strength."}, {"path": "tedlium_24708.wav", "duration": 7.86, "text": "We are committed to further investing in our sales and marketing efforts and related activities in order to increase our sales pipeline."}, {"path": "tedlium_24709.wav", "duration": 7.86, "text": "That said, we're looking forward to sharing a deeper perspective on our strategies and our long-term outlook with you at our December Investor Day."}, {"path": "tedlium_24710.wav", "duration": 7.86, "text": "The New Mexico Commission is expected to rule on the settlement later this year, and new rates are expected to go into effect in August."}, {"path": "tedlium_24711.wav", "duration": 7.86, "text": "for total programs at the end of 2018? So in other words, how many new programs are expected to launch this next year"}, {"path": "tedlium_24712.wav", "duration": 7.86, "text": "as I said, we do believe there are market share gain opportunities in those markets where we have a cost advantage."}, {"path": "tedlium_24713.wav", "duration": 7.86, "text": "that stroke patients be treated at an inpatient rehabilitation facility rather than a skilled nursing facility."}, {"path": "tedlium_24714.wav", "duration": 7.86, "text": "spend, which will come in relating to future new launch projects. I've got 6 new communities that we launch in the second half."}, {"path": "tedlium_24715.wav", "duration": 7.86, "text": "and the ongoing strong growth in over 65s for the Retirement Living business positions us to deliver sustainable growth"}, {"path": "tedlium_24716.wav", "duration": 7.86, "text": "we are naturally focusing more on our traditional strengths, which are anchored in short-term trade finance business"}, {"path": "tedlium_24717.wav", "duration": 7.86, "text": "demands and markets in regions where they have not been active in before. But I would not say it's a market trend."}, {"path": "tedlium_24718.wav", "duration": 7.86, "text": "We actually feel really good about the continuation of this, Brian, as I said before. First of all, for us, first and foremost, it's really the health category, absolutely"}, {"path": "tedlium_24719.wav", "duration": 7.86, "text": "to the business. But over the last couple of years, we've definitely been building it out as a stand-alone company. So if we did decide"}, {"path": "tedlium_24720.wav", "duration": 7.86, "text": "We have to find new ways for distribution. So it's something really depends on the cycle. I will tell you, we do believe where the market is priced today"}, {"path": "tedlium_24721.wav", "duration": 7.86, "text": "Can you provide us with some additional granularity on the sequential increases in EBIT for Swift's other non-reportable segments?"}, {"path": "tedlium_24722.wav", "duration": 7.86, "text": "and we think at least in part it relates to expression of the different ligands in different systems."}, {"path": "tedlium_24723.wav", "duration": 7.86, "text": "However, well, some of the reasons -- some people don't like flat leases. We're actually okay with them because if you believe that inflation is on the horizon, and we do,"}, {"path": "tedlium_24724.wav", "duration": 7.86, "text": "that the number of suppliers raising less price since January is more limited relative to"}, {"path": "tedlium_24725.wav", "duration": 7.86, "text": "Another new facility is set up in Brazil to cover the increased capacity needs of South America,"}, {"path": "tedlium_24726.wav", "duration": 7.86, "text": "Three, we will continue to innovate to grow diversified revenue streams, including new markets"}, {"path": "tedlium_24727.wav", "duration": 7.86, "text": "growing of price of supply those months due to the need to cover peaks of supply"}, {"path": "tedlium_24728.wav", "duration": 7.86, "text": "piece of your sales, but it sounds like that is seeing some traction. Can you just speak to the end markets"}, {"path": "tedlium_24729.wav", "duration": 7.86, "text": "We are committed to delivering the 2016 forecast that Dan reviewed even given the difficult conditions we are facing as an industry."}, {"path": "tedlium_24730.wav", "duration": 7.86, "text": "follow. That's the expansion of the scope of what we do. And we are going to stick to that strategy"}, {"path": "tedlium_24731.wav", "duration": 7.86, "text": "It's about electromagnetic simulation. And you should maybe look at this not as a point solution"}, {"path": "tedlium_24732.wav", "duration": 7.86, "text": "This was primarily due to lower utilization levels from the decrease in volume sold to our large U.S. customer."}, {"path": "tedlium_24733.wav", "duration": 7.86, "text": "you think about the cadence through the rest of the year, we expect earnings in the third quarter will be similar to this second quarter"}, {"path": "tedlium_24734.wav", "duration": 7.86, "text": "This does conclude today's program. Thank you for your participation. You may disconnect at anytime, and have a great day."}, {"path": "tedlium_24735.wav", "duration": 7.86, "text": "So we're trying to grow the business, obviously, faster, but we're trying to grow the expense and the number of people to service those clients at a"}, {"path": "tedlium_24736.wav", "duration": 7.86, "text": "we also have people in place who know intimately what made the company successful in the past and hence know what we are seeking to achieve in the future."}, {"path": "tedlium_24737.wav", "duration": 7.86, "text": "We believe that by listening to our clients and offering tailored products that solve their critical needs,"}, {"path": "tedlium_24738.wav", "duration": 7.86, "text": "which we believe will be the first of many more to come over time as we start to bring this important jurisdiction into account."}, {"path": "tedlium_24739.wav", "duration": 7.86, "text": "These high day-ahead prices provided Vistra the opportunity to sell unhedged length at attractive prices during the month of July."}, {"path": "tedlium_24740.wav", "duration": 7.86, "text": "below our companywide pretax income levels as well as lower amortization expense from a portion of the intangible write-downs."}, {"path": "tedlium_24741.wav", "duration": 7.86, "text": "Based on these interactions, we are even more confident in inotersen's potential to address the unmet need of patients"}, {"path": "tedlium_24742.wav", "duration": 7.8300625, "text": "we developed a completely new store format for avec, including a new brand."}, {"path": "tedlium_24743.wav", "duration": 7.8300625, "text": "By providing a complete and unified technology strategy to these operators, Trimble can achieve both the special relationship"}, {"path": "tedlium_24744.wav", "duration": 7.8300625, "text": "This is classified as a termination fee in the press release and in the table on Page 4 in our supplemental package."}, {"path": "tedlium_24745.wav", "duration": 7.83, "text": "coming from strong new product and new customer account additions. And finally, consolidation between coatings market participants"}, {"path": "tedlium_24746.wav", "duration": 7.83, "text": "how that works certainly from a revenue point of view. Would you also expect the type of seasonality that you've seen"}, {"path": "tedlium_24747.wav", "duration": 7.83, "text": "I'm excited with current customer engagement and quoting activity, and we expect strong, new order bookings"}, {"path": "tedlium_24748.wav", "duration": 7.83, "text": "However, due to the episodic nature of our acquisition activity and the unpredictability of when deals will be executed,"}, {"path": "tedlium_24749.wav", "duration": 7.83, "text": "will kill me almost if I don't mention that they are very close to being a top 10 country EBIT-wise now,"}, {"path": "tedlium_24750.wav", "duration": 7.83, "text": "it's not a bad place to be for the time being. So strong set of numbers from Road, which we are very happy about."}, {"path": "tedlium_24751.wav", "duration": 7.83, "text": "quick questions. It looks like your operating margins were a lot better, kind of, relative to the rest of the fiscal year here."}, {"path": "tedlium_24752.wav", "duration": 7.83, "text": "in terms of how we manage it. So all those things bode well for our ability to take advantage of"}, {"path": "tedlium_24753.wav", "duration": 7.83, "text": "This capability uses our private network that is independent from exposure to the public network."}, {"path": "tedlium_24754.wav", "duration": 7.83, "text": "in that I don't want to say too much about where we are gaining share at the moment. I don't want to give away too much competitive information"}, {"path": "tedlium_24755.wav", "duration": 7.83, "text": "As we all know, we've been in a long economic recovery cycle, et cetera, so we would expect to see exactly what we are seeing in terms of the upward trend. My"}, {"path": "tedlium_24756.wav", "duration": 7.83, "text": "This is in addition to our past option of using an -- at the market offering to issue common equity."}, {"path": "tedlium_24757.wav", "duration": 7.83, "text": "Second, we continue to scale our funds and expect improved operating leverage in our business."}, {"path": "tedlium_24758.wav", "duration": 7.83, "text": "but as they grow their user rate, once again, we're willing to go back and renegotiate a per-unit price down if they want to add"}, {"path": "tedlium_24759.wav", "duration": 7.83, "text": "So we've been subcontracting it out for years, and it got to the point where when we looked at it hard"}, {"path": "tedlium_24760.wav", "duration": 7.83, "text": "keep our portfolio in case of a setback or crisis in equity markets without having to"}, {"path": "tedlium_24761.wav", "duration": 7.83, "text": "Roche Group believes the actions taken by Shire to be totally unjust for the patients."}, {"path": "tedlium_24762.wav", "duration": 7.83, "text": "Services revenue came in slightly lighter than we were expecting as some services projects pushed out due to Q4 holidays."}, {"path": "tedlium_24763.wav", "duration": 7.83, "text": "and also in Business, where we continue to raise customer satisfaction, while undertaking a major business transformation."}, {"path": "tedlium_24764.wav", "duration": 7.83, "text": "I guess I'm asking, could you help frame for us how you see the evolution of Merck's revenue base?"}, {"path": "tedlium_24765.wav", "duration": 7.83, "text": "Bill Brown, our Chief Retail Officer, has been recruiting talent to enhance our production in the small business and middle markets."}, {"path": "tedlium_24766.wav", "duration": 7.83, "text": "These factors were partially offset by 130 basis points of higher manufacturing and logistics costs from continued inflation"}, {"path": "tedlium_24767.wav", "duration": 7.83, "text": "that it absolutely will impact your -- it does create more complexity in your processes. And it's just something that we have to work through."}, {"path": "tedlium_24768.wav", "duration": 7.83, "text": "That increased the value of milk in a lot of markets across the world. It's kind of flattened out right now."}, {"path": "tedlium_24769.wav", "duration": 7.83, "text": "We're in discussions with people about doing things down there with that. But one of the big attractive drivers for"}, {"path": "tedlium_24770.wav", "duration": 7.83, "text": "Thank you. On behalf of our team here at Reliance, I'd like to thank all of you for participating in today's call."}, {"path": "tedlium_24771.wav", "duration": 7.83, "text": "contribution in the first quarter relative to what you'd expect over the course of the year? Or should it be steady over each quarter?"}, {"path": "tedlium_24772.wav", "duration": 7.83, "text": "even more in the future. And so panels are really expensive. To do them right, if you're going to do a panel right, it's expensive."}, {"path": "tedlium_24773.wav", "duration": 7.83, "text": "we had very strong pipelines at NeoGenomics. And we had a number of customers that were starting."}, {"path": "tedlium_24774.wav", "duration": 7.83, "text": "really is unlike the risk adjustment programs that we have experienced in Medicaid or Medicare."}, {"path": "tedlium_24775.wav", "duration": 7.83, "text": "And in the local regional markets, those regional players don't have the large capacity."}, {"path": "tedlium_24776.wav", "duration": 7.83, "text": "we will work with our growing list of customers, we will buy companies that give us a platform for additional revenue growth,"}, {"path": "tedlium_24777.wav", "duration": 7.83, "text": "something that might have wide-ranging applications across a number of other industries, not just necessarily"}, {"path": "tedlium_24778.wav", "duration": 7.83, "text": "We look forward to maintaining this overall momentum. And looking ahead to coming quarters, there are a few key things you should expect to see."}, {"path": "tedlium_24779.wav", "duration": 7.83, "text": "entry barrier is higher. Difficulty is also greater. If you are not an established player in Taiwan,"}, {"path": "tedlium_24780.wav", "duration": 7.83, "text": "This government appears to be very serious about addressing the supply issue"}, {"path": "tedlium_24781.wav", "duration": 7.83, "text": "That's what we would like to be, the favorite deliverer in the Benelux, to give you special moments to everyone."}, {"path": "tedlium_24782.wav", "duration": 7.83, "text": "as we've been able to accelerate and increase the net savings expected to be realized through our restructuring efforts."}, {"path": "tedlium_24783.wav", "duration": 7.83, "text": "the loan-loss rates that we did when we acquired the company. So that kind of put the provision up"}, {"path": "tedlium_24784.wav", "duration": 7.83, "text": "some of whom were confined to wheelchairs, some still with the ability to walk and the group who had previously been on treatment"}, {"path": "tedlium_24785.wav", "duration": 7.83, "text": "There's still a lot of work to be done, but introducing new share classes and responding to evolving regulations is nothing new to us."}, {"path": "tedlium_24786.wav", "duration": 7.83, "text": "I'm sometimes asked to quantify the total proportion of our semi-related business that comes from servicing the installed base."}, {"path": "tedlium_24787.wav", "duration": 7.83, "text": "the operators and the teams from what they're doing today. These are businesses that are growing double-digit. You heard me refer to the strong"}, {"path": "tedlium_24788.wav", "duration": 7.83, "text": "There's been a lot of investor focus this quarter on net interest margin, deposit betas and core revenue growth."}, {"path": "tedlium_24789.wav", "duration": 7.83, "text": "We continue to plan to invest in this area, and we know, it will expand our ability to compete in the marketplace."}, {"path": "tedlium_24790.wav", "duration": 7.83, "text": "this not belong to us and then a judge should approve or should reject"}, {"path": "tedlium_24791.wav", "duration": 7.83, "text": "new projects in many of the rental properties. The operation of the quarter was very good and we make"}, {"path": "tedlium_24792.wav", "duration": 7.83, "text": "and expecting the free water level in the field would rise uniformly over time."}, {"path": "tedlium_24793.wav", "duration": 7.83, "text": "The asset masterplan approach that Lawrence outlined earlier is at the heart of defining what shape that investment takes,"}, {"path": "tedlium_24794.wav", "duration": 7.83, "text": "as Chris said, it's 5 years ago that we really put our best foot forward in flooring. It was time to do review of this area."}, {"path": "tedlium_24795.wav", "duration": 7.83, "text": "there may be some, but we would consider that more to be an intra-year number rather than impacting the full year."}, {"path": "tedlium_24796.wav", "duration": 7.83, "text": "I also want to note that we have elected to move from rejecting to recovering ethane in the Pinedale and Piceance basins in the fourth quarter."}, {"path": "tedlium_24797.wav", "duration": 7.83, "text": "Core price growth was down slightly in the quarter, as we took targeted actions to drive organic volume growth."}, {"path": "tedlium_24798.wav", "duration": 7.83, "text": "We're probably competing every other upstream company in United States for hedges. Which is probably why there's a bit of a"}, {"path": "tedlium_24799.wav", "duration": 7.83, "text": "things that we hope to spend a fair amount of time on is to talk about the uniqueness of the Bank of New York Mellon franchise."}, {"path": "tedlium_24800.wav", "duration": 7.83, "text": "So assets that we can acquire the business. There's some revenue being generated, and we can manufacture the product in our facility."}, {"path": "tedlium_24801.wav", "duration": 7.83, "text": "And then my second question is really just going all the way back to what Robert was speaking about."}, {"path": "tedlium_24802.wav", "duration": 7.83, "text": "Gross profit for the quarter was also weighed down by increased depreciation expense and 2 unusual nonrecurring charges."}, {"path": "tedlium_24803.wav", "duration": 7.83, "text": "from both our recent and ongoing operational excellence and margin improvement initiatives and our proposed actions to strengthen our business."}, {"path": "tedlium_24804.wav", "duration": 7.83, "text": "While our systems migration challenges are not fully behind us, we have made progress and continue to focus on addressing open issues."}, {"path": "tedlium_24805.wav", "duration": 7.83, "text": "that has now not really evolved since around the end of last year. So"}, {"path": "tedlium_24806.wav", "duration": 7.83, "text": "The decrease in store expenses as a percent of sales was primarily driven by leverage on the strong comp sales growth."}, {"path": "tedlium_24807.wav", "duration": 7.83, "text": "The guarantee in the new business is very close to 0. So the dilution, I would say, of the in-force brings the overall guarantee down."}, {"path": "tedlium_24808.wav", "duration": 7.83, "text": "And what can we also do to influence the claims behavior that we're experiencing in a positive way?"}, {"path": "tedlium_24809.wav", "duration": 7.83, "text": "in terms of any thoughts around the price elasticity of demand, so, I mean, just my broad sense is that if you have to get back to your,"}, {"path": "tedlium_24810.wav", "duration": 7.83, "text": "augmented by our suite of CRM applications that do that for them, things like our"}, {"path": "tedlium_24811.wav", "duration": 7.83, "text": "that we get for selling the FPSOs and the one Conventional Tanker that we have. And I think that"}, {"path": "tedlium_24812.wav", "duration": 7.83, "text": "With our enhanced credit model in place, new stores are ramping at a slower rate as we closely control credit risk."}, {"path": "tedlium_24813.wav", "duration": 7.83, "text": "Our business both expanded relationships with current customers and added a number of new accounts in the period."}, {"path": "tedlium_24814.wav", "duration": 7.83, "text": "we use them to localize the solutions. But it is true that we would add selected investments,"}, {"path": "tedlium_24815.wav", "duration": 7.83, "text": "From a structural perspective, as you know, the governments have taken off a lot of the export subsidies that were on corn and things like that, which"}, {"path": "tedlium_24816.wav", "duration": 7.83, "text": "And so if you think about that and you kind of say the market is very similar to last year in terms of utilization levels. So I would expect"}, {"path": "tedlium_24817.wav", "duration": 7.83, "text": "so we have to make sure that we are -- we maintain stability. At the same time, we have a long horizon."}, {"path": "tedlium_24818.wav", "duration": 7.83, "text": "What needs to happen to make that change or what approvals do you need or decisions you have to make? What moves that up?"}, {"path": "tedlium_24819.wav", "duration": 7.83, "text": "will reoccur every 3 to 5 years based on market growth and capacity needs."}, {"path": "tedlium_24820.wav", "duration": 7.83, "text": "This is primarily due to the weaker wholesale propane market fundamentals, a decrease in regional arbitrage opportunities"}, {"path": "tedlium_24821.wav", "duration": 7.83, "text": "For the last 4 days of the quarter and into the third quarter, we had limited ability to ship and invoice customers in many markets."}, {"path": "tedlium_24822.wav", "duration": 7.83, "text": "I'd like to conclude my remarks this morning with an update on our discontinued operation."}, {"path": "tedlium_24823.wav", "duration": 7.83, "text": "compared with last year's adjusted rate, which is in line with the guidance we provided on the last earnings call."}, {"path": "tedlium_24824.wav", "duration": 7.83, "text": "our Latin America satellite operations continue to be profitable and generate positive free cash flow."}, {"path": "tedlium_24825.wav", "duration": 7.83, "text": "including all the things which we've already talked about and John will be covering a little bit more as we go through the business segments."}, {"path": "tedlium_24826.wav", "duration": 7.83, "text": "as far as underway, you've got what you pitched. So maybe it's a bit different from you there. But if you could give some granularity on whether it becomes"}, {"path": "tedlium_24827.wav", "duration": 7.83, "text": "Before I turn the call over to Dr. Wilson, I would like to remind you that today's call will include forward-looking statements based on current expectations."}, {"path": "tedlium_24828.wav", "duration": 7.83, "text": "is there a change in where you were expecting commercialization of bacteria from a month ago, John?"}, {"path": "tedlium_24829.wav", "duration": 7.83, "text": "With the exception of the greater Toronto area and certain parts of greater Vancouver, Canadian residential real estate markets remain affordable."}, {"path": "tedlium_24830.wav", "duration": 7.83, "text": "Lumber prices were flat through most of January and improved moderately in February in anticipation of the spring building season."}, {"path": "tedlium_24831.wav", "duration": 7.83, "text": "that will likely make that number creep up a little bit in the fourth quarter versus the third quarter. But we are definitely seeing another step change"}, {"path": "tedlium_24832.wav", "duration": 7.83, "text": "We are meeting and exceeding client needs as evidenced by our profitable growth and the recognition we received."}, {"path": "tedlium_24833.wav", "duration": 7.83, "text": "increase on us, but you can really see the traction that our price increases had in the quarter."}, {"path": "tedlium_24834.wav", "duration": 7.83, "text": "relative to our first quarter numbers and that was at the upper end of our second quarter Capital Markets"}, {"path": "tedlium_24835.wav", "duration": 7.83, "text": "And a lot of those initiatives have already fallen through to the bottom line in different areas of the business, so we're feeling good about that."}, {"path": "tedlium_24836.wav", "duration": 7.83, "text": "Now there's a component where you basically -- the company has to teach distributors how to run a business and how to account for profit and loss. I think"}, {"path": "tedlium_24837.wav", "duration": 7.83, "text": "Our market outlook over the coming years is positive. We see continued adoption of our products in all of our major markets."}, {"path": "tedlium_24838.wav", "duration": 7.83, "text": "Our most recent launch encompassed the downtown quarter of Boise with early results exceeding expectations."}, {"path": "tedlium_24839.wav", "duration": 7.83, "text": "Before we begin, I'd like to remind everyone that many of our comments made today are considered forward-looking statements under federal securities laws."}, {"path": "tedlium_24840.wav", "duration": 7.83, "text": "These investments will further strengthen our leadership position in India's merchant industrial gases market."}, {"path": "tedlium_24841.wav", "duration": 7.83, "text": "at one point early in the call that you had a little bit of a pickup this quarter. Just trying to understand how you're thinking about that going forward."}, {"path": "tedlium_24842.wav", "duration": 7.83, "text": "The committee has been meeting each week with Heidrick and has met a number of potential candidates, several of whom the committee remains actively engaged with."}, {"path": "tedlium_24843.wav", "duration": 7.83, "text": "Second, we historically have bought back shares to offset the dilution associated with our employee equity compensation programs."}, {"path": "tedlium_24844.wav", "duration": 7.83, "text": "you have expressed your concern over the development of Shuanghui in China."}, {"path": "tedlium_24845.wav", "duration": 7.83, "text": "Storage solution continue to evolve into a major element of our revenue mix"}, {"path": "tedlium_24846.wav", "duration": 7.83, "text": "we don't know -- we don't have any information as to whether this will or won't be implemented. And I certainly haven't heard anything about it myself."}, {"path": "tedlium_24847.wav", "duration": 7.83, "text": "quantify timing more precisely than that. We are assuming that it's dependent on"}, {"path": "tedlium_24848.wav", "duration": 7.83, "text": "We are also modifying inventory for customers in order to deal with the changing regulations for LNG fuel stations."}, {"path": "tedlium_24849.wav", "duration": 7.83, "text": "We have corrected these legacy warranty issues and are rebuilding our reputation in the marketplace. We're investing in product development"}, {"path": "tedlium_24850.wav", "duration": 7.83, "text": "to put these programs in place because we -- in some cases, we take risk on our ability to go out and contract these things."}, {"path": "tedlium_24851.wav", "duration": 7.83, "text": "We find this especially impressive considering that we're growing from such a high base."}, {"path": "tedlium_24852.wav", "duration": 7.83, "text": "The good news is so far we've been able to get the pricing that we've gone after and we will continue to negotiate, obviously,"}, {"path": "tedlium_24853.wav", "duration": 7.83, "text": "and market demographics to ensure we are investing the appropriate amount of capital to achieve the highest possible returns."}, {"path": "tedlium_24854.wav", "duration": 7.83, "text": "a great example of organic and disciplined growth that provides value to shareholders, customers and the economy in our service territory."}, {"path": "tedlium_24855.wav", "duration": 7.83, "text": "we are developing a risk-sharing model that we will be rolling out at the latter part of this year."}, {"path": "tedlium_24856.wav", "duration": 7.83, "text": "what you were saying right there, but just to get a little bit more specific. It looks like private label has picked up market share"}, {"path": "tedlium_24857.wav", "duration": 7.83, "text": "that indirectly we can raise prices because the farmers there, the growers are actually exporting in dollars."}, {"path": "tedlium_24858.wav", "duration": 7.83, "text": "is clearly going to provide some level of offset to what may be happening in the Class 8 space."}, {"path": "tedlium_24859.wav", "duration": 7.83, "text": "In a world with a lot of uncertainty, one thing is sure, and that is that the world will need much more aluminium in the future."}, {"path": "tedlium_24860.wav", "duration": 7.83, "text": "So we -- so long as we have competitive races going forward and we don't think the country is going to be any less"}, {"path": "tedlium_24861.wav", "duration": 7.83, "text": "Customers have to learn, if I may add, also that the good times of historic low rates"}, {"path": "tedlium_24862.wav", "duration": 7.83, "text": "some further analysis and discussion and we receive production information daily. Ian, would you like to"}, {"path": "tedlium_24863.wav", "duration": 7.83, "text": "Importantly, we believe that we have the right playbook to address these issues, and that work is already underway."}, {"path": "tedlium_24864.wav", "duration": 7.83, "text": "I'm going to round off this morning's presentation with an outlook of the industry, including gas policy developments and our strategy."}, {"path": "tedlium_24865.wav", "duration": 7.83, "text": "also involves an additional loss of control for the client. So it's not always an easy decision or an easy discussion to have."}, {"path": "tedlium_24866.wav", "duration": 7.83, "text": "activities in the second half that are going to add to production but we've kind of waded that toward the back end, just to be conservative. So I think that that's"}, {"path": "tedlium_24867.wav", "duration": 7.83, "text": "In 2015, we appointed a Global Chief Actuary and added a new Chief Pricing and new Chief Reserving Actuarial positions"}, {"path": "tedlium_24868.wav", "duration": 7.83, "text": "But where we struggle is clearly in our Digital Services, and you will see that we come back to that."}, {"path": "tedlium_24869.wav", "duration": 7.83, "text": "perhaps there might have even been some lower prices in the second quarter this year versus last year because of the lags you have. I don't know if that played into it. Yes,"}, {"path": "tedlium_24870.wav", "duration": 7.83, "text": "will increase volumes that can compensate some of the market deterioration."}, {"path": "tedlium_24871.wav", "duration": 7.83, "text": "next year, but I was just wondering kind of if you had -- if you could just provide some color on what the cadence of that is over the next few years."}, {"path": "tedlium_24872.wav", "duration": 7.83, "text": "On the revenue side, we have already started a series of portfolio adjustments for the O2 plan as well as in the Blau area"}, {"path": "tedlium_24873.wav", "duration": 7.83, "text": "at Swiss Chalet. I'm just wondering if you've had any further thoughts on your promotional tactics and how they're working, et cetera."}, {"path": "tedlium_24874.wav", "duration": 7.83, "text": "wait as long as that's going to take for them to make it. And so we want to move them out of the portfolio. So -- yes, so I don't think,"}, {"path": "tedlium_24875.wav", "duration": 7.83, "text": "Okay. And then can you just kind of share with us kind of early take on what you're expecting for"}, {"path": "tedlium_24876.wav", "duration": 7.83, "text": "providing excellent service to our clients as we continue to invest in our people, thereby, providing a differentiated service."}, {"path": "tedlium_24877.wav", "duration": 7.83, "text": "putting together a program for enterprise relationships and how that's going to work for existing"}, {"path": "tedlium_24878.wav", "duration": 7.83, "text": "To the quarter specifically, we continued to do well in small business. That's a particularly important market segment for us."}, {"path": "tedlium_24879.wav", "duration": 7.83, "text": "in the quarter because I think there continues to be benefits in innovation in terms of how these products are performing,"}, {"path": "tedlium_24880.wav", "duration": 7.83, "text": "In the commercial dealers and resellers or VAR market, revenue was up slightly from a year ago while gross profit was down slightly."}, {"path": "tedlium_24881.wav", "duration": 7.83, "text": "The slides can be advanced in the webcast viewer to follow our commentary. We will call out the slide number we are referencing in our remarks."}, {"path": "tedlium_24882.wav", "duration": 7.83, "text": "takes time for those companies to change this mindset because they are very isolated organization at this point in time."}, {"path": "tedlium_24883.wav", "duration": 7.83, "text": "we've seen the first signs in '16 of positive net new money coming from the new joiners, but I think it should come through"}, {"path": "tedlium_24884.wav", "duration": 7.83, "text": "Additional information on our hedge positions can be found in our investor presentation and in our information on file with the SEC."}, {"path": "tedlium_24885.wav", "duration": 7.83, "text": "Thank you. The conference has now ended. Please disconnect your lines at this time, and we thank you for your participation."}, {"path": "tedlium_24886.wav", "duration": 7.83, "text": "So all of our contracts are predicated on passing through the full U.S. cost of prime."}, {"path": "tedlium_24887.wav", "duration": 7.83, "text": "and will allow for expansion of physician visits and greater health care professional coverage to reach as many patients as possible."}, {"path": "tedlium_24888.wav", "duration": 7.83, "text": "the first quarter -- off of the fourth quarter, how do you feel going into the new year, I would reiterate strong. We feel very strong confidence in"}, {"path": "tedlium_24889.wav", "duration": 7.83, "text": "I'd like to highlight a few of the investments we're making over the next 12 months to support each of our key strategies."}, {"path": "tedlium_24890.wav", "duration": 7.83, "text": "We will bring in a mining contractor to help us with the transition because it will be a different style of mining from what Obuasi has been about in the past."}, {"path": "tedlium_24891.wav", "duration": 7.83, "text": "Our days working capital metrics improved from year-end as we maintained our efficiency gains."}, {"path": "tedlium_24892.wav", "duration": 7.83, "text": "Now clearly, the mood has changed towards the end of last year and also beginning of this year,"}, {"path": "tedlium_24893.wav", "duration": 7.83, "text": "These advanced technologies in audit processes are important drivers of our revenue growth in our core recovery audit business."}, {"path": "tedlium_24894.wav", "duration": 7.83, "text": "Individual provider error rates would have to be more than 50% to get above the old 2% limit."}, {"path": "tedlium_24895.wav", "duration": 7.83, "text": "for the balance of the year as a result, before any other potential adjustments are factored in."}, {"path": "tedlium_24896.wav", "duration": 7.8299375, "text": "We will now open the floor for questions. And I kindly ask you to please focus on the issues related to"}, {"path": "tedlium_24897.wav", "duration": 7.8000625, "text": "Higher wireless equipment and strategic service revenues partially offset declines in legacy services,"}, {"path": "tedlium_24898.wav", "duration": 7.8, "text": "About midway through the period, there was a rise in paper prices, which is not unusual, and we've already significantly recovered."}, {"path": "tedlium_24899.wav", "duration": 7.8, "text": "then a customer who arrives from outside the franchise is new and frankly, from your perspective, a customer who comes across from insurance is new as well."}, {"path": "tedlium_24900.wav", "duration": 7.8, "text": "but they can also instantly see their credit score, understand what drives their score and get monthly updates on that score all for free and all digitally."}, {"path": "tedlium_24901.wav", "duration": 7.8, "text": "There's 2 things going on here with services going forward. One is that we are increasing our mix"}, {"path": "tedlium_24902.wav", "duration": 7.8, "text": "Following our commentary, we hope to answer as many questions as time will allow. If we're not able to get to your question due to time restrictions,"}, {"path": "tedlium_24903.wav", "duration": 7.8, "text": "We will continue to focus on a mix of technologies to deliver the best customer experience,"}, {"path": "tedlium_24904.wav", "duration": 7.8, "text": "An extensive search and recruitment process was undertaken. This morning, we announced 4 new appointments."}, {"path": "tedlium_24905.wav", "duration": 7.8, "text": "and lean into the more profitable parts of our portfolio. And we remain committed to our overall strategy,"}, {"path": "tedlium_24906.wav", "duration": 7.8, "text": "and I'm excited by the new product launches like Scentiva and some of these platforms we're creating. So I think when we look at the totality of that,"}, {"path": "tedlium_24907.wav", "duration": 7.8, "text": "The increase from our previous guidance is due to higher cost resulting from delays on our Rover and Mariner East projects,"}, {"path": "tedlium_24908.wav", "duration": 7.8, "text": "Up until this quarter, we had achieved 9 consecutive quarters of revenue growth in our domestic drilling operations."}, {"path": "tedlium_24909.wav", "duration": 7.8, "text": "working on that right now. And then on the mindset and mindfulness side, it will probably be a combination"}, {"path": "tedlium_24910.wav", "duration": 7.8, "text": "with no likely requirement for an advisory committee meeting and with a PDUFA date in the third quarter of this year."}, {"path": "tedlium_24911.wav", "duration": 7.8, "text": "demonstrated unprecedented effectiveness, highly encouraging safety and a potential dosage regimen"}, {"path": "tedlium_24912.wav", "duration": 7.8, "text": "from asset sales and loan repayments. By August, we expect guests will be able to see and book all of our inventory"}, {"path": "tedlium_24913.wav", "duration": 7.8, "text": "Geographically, we saw a nice acceleration in orders from the Americas and Asia and we added several new dealers in all regions,"}, {"path": "tedlium_24914.wav", "duration": 7.8, "text": "these returns will be lumpy and the results through the first 9 months of the year is more than we would expect in a normal annual period."}, {"path": "tedlium_24915.wav", "duration": 7.8, "text": "So all together, we are quite satisfied with development in Care in, especially, the second half of the year."}, {"path": "tedlium_24916.wav", "duration": 7.8, "text": "DAWN, and some of the previous studies that have come out that are contributing to the interest in ischemic treatments that are mechanical based."}, {"path": "tedlium_24917.wav", "duration": 7.8, "text": "The cash position allowed us to continue to invest into our infrastructure and into our -- presentation of our brand."}, {"path": "tedlium_24918.wav", "duration": 7.8, "text": "or to that point, rather. Some of them may take longer. Some of them may catch a hold sooner. And that's what's going to be sort of the delta"}, {"path": "tedlium_24919.wav", "duration": 7.8, "text": "As a result of this venture, we do expect acquisition volume to increase materially later in 2017 and beyond."}, {"path": "tedlium_24920.wav", "duration": 7.8, "text": "The profit performance of our acquired businesses beat our expectations, generating solid incremental margin contribution."}, {"path": "tedlium_24921.wav", "duration": 7.8, "text": "This strategy drives traffic, orders, premium pricing and lead to higher customer satisfaction."}, {"path": "tedlium_24922.wav", "duration": 7.8, "text": "As I mentioned last quarter, we are comfortable at this relative level of operating expense given our current portfolio of businesses."}, {"path": "tedlium_24923.wav", "duration": 7.8, "text": "of which the data will also be presented in Q3. So these are very important moments in the history of the company."}, {"path": "tedlium_24924.wav", "duration": 7.8, "text": "more and more people will be involved over time. So I think it has some financial implications going forward."}, {"path": "tedlium_24925.wav", "duration": 7.8, "text": "primarily due to reduced projected domestic earnings, combined with increased projected earnings from our China operations,"}, {"path": "tedlium_24926.wav", "duration": 7.8, "text": "and our distributor base. So the bias, barring any significant changes in mix or currency, should be to the upside."}, {"path": "tedlium_24927.wav", "duration": 7.8, "text": "For Nutrisystem, our direct business continues to benefit from many drivers, including increased customer activation and engagement."}, {"path": "tedlium_24928.wav", "duration": 7.8, "text": "many alternatives out there to the bond market and the bank market if I can call it that"}, {"path": "tedlium_24929.wav", "duration": 7.8, "text": "While our current Bearing manufacturing business is aligned with GRW through a focus on solving the critical problems"}, {"path": "tedlium_24930.wav", "duration": 7.8, "text": "These are also highlighted in this morning's press release and are all on track with several already achieved."}, {"path": "tedlium_24931.wav", "duration": 7.8, "text": "So, David, our response is the same one we gave in the fourth quarter that we don't think we need to be talking about TiO2 this year."}, {"path": "tedlium_24932.wav", "duration": 7.8, "text": "and sometimes, we have higher installation rate, which -- of smaller deals, which makes the number go up."}, {"path": "tedlium_24933.wav", "duration": 7.8, "text": "I don't think it'll have much impact at all. They just need to clarify exactly what they mean by"}, {"path": "tedlium_24934.wav", "duration": 7.8, "text": "Yes. I think that's a solid question. I'm expecting it to follow more of a consistent pattern."}, {"path": "tedlium_24935.wav", "duration": 7.8, "text": "on Premion, I think you were clear on the up revenue guidance excludes political, and I think you've been bullish on Premion from a political perspective, so"}, {"path": "tedlium_24936.wav", "duration": 7.8, "text": "and as I always underpin, the fourth quarter is of the essence for the overall results of the group."}, {"path": "tedlium_24937.wav", "duration": 7.8, "text": "based on the metrics we are seeing, the recovery of the Puerto Rico economy following the storm continues to be steady."}, {"path": "tedlium_24938.wav", "duration": 7.8, "text": "The Security Fabric includes software, secure switches and other hardware products and services."}, {"path": "tedlium_24939.wav", "duration": 7.8, "text": "displays the current and trailing 4 quarter trend in revenue and breaks out investment advisory fees by vehicle."}, {"path": "tedlium_24940.wav", "duration": 7.8, "text": "From a timing perspective, historically the fourth quarter has always been our biggest quarter on revenue, earnings and cash flow."}, {"path": "tedlium_24941.wav", "duration": 7.8, "text": "combination of volume and also pricing as well as some raw material decline in cost."}, {"path": "tedlium_24942.wav", "duration": 7.8, "text": "This renewal demonstrates the important role that Accretive plays to provide focused and comprehensive RCM solutions"}, {"path": "tedlium_24943.wav", "duration": 7.8, "text": "we're delighted with the steps that have been taken so far to put us in a position to place more of this capacity"}, {"path": "tedlium_24944.wav", "duration": 7.8, "text": "Management of the free water level has also allowed the TT-21 well down to the south to come back on production"}, {"path": "tedlium_24945.wav", "duration": 7.8, "text": "So much of this is dependent on what your economic forecast is at the time you implement the standard."}, {"path": "tedlium_24946.wav", "duration": 7.8, "text": "say we've now got the new HR person. We've got John from a commercial point of view who replaced our previous"}, {"path": "tedlium_24947.wav", "duration": 7.8, "text": "Our active resource strategies have been completely retooled and are now delivering better investment performance."}, {"path": "tedlium_24948.wav", "duration": 7.8, "text": "So that we'll have it in 2017, but we wouldn't necessarily have had it for as many months of 2016 as we would have initially hoped for."}, {"path": "tedlium_24949.wav", "duration": 7.8, "text": "at this point in time, we continue to lay out the plan, as we have talked about. We are making investment in"}, {"path": "tedlium_24950.wav", "duration": 7.8, "text": "in the quarter to December. So clearly, we will benefit from those higher prices in the current quarter we're in."}, {"path": "tedlium_24951.wav", "duration": 7.8, "text": "And if we look at the profitability of group and individually continued insurance,"}, {"path": "tedlium_24952.wav", "duration": 7.8, "text": "Okay. And would you place those orders at this point in the cycle speculatively? Or would you still stick to having a project tied to it?"}, {"path": "tedlium_24953.wav", "duration": 7.8, "text": "The decline in the international gross profit margin was driven by the impact of the discontinued U.K. line of credit product."}, {"path": "tedlium_24954.wav", "duration": 7.8, "text": "Our innovative approach to the claims process has been well-received by our customers and agents and differentiates Heritage from our peers."}, {"path": "tedlium_24955.wav", "duration": 7.8, "text": "The order was a positive outcome for Idaho Power and its customers as the commission both granted our request for new customer classes"}, {"path": "tedlium_24956.wav", "duration": 7.8, "text": "Since we're not in the position to try and predict the timing of revenue, that is one of the reasons to be more conservative with our guidance."}, {"path": "tedlium_24957.wav", "duration": 7.8, "text": "While we're pleased with our progress in the year, the opportunity for improvement in surgery is substantial, and much work remains to be done."}, {"path": "tedlium_24958.wav", "duration": 7.8, "text": "They're very nice when it comes to having volume locked in. You don't have to worry about being in the spot market and some kind of"}, {"path": "tedlium_24959.wav", "duration": 7.8, "text": "For LPL, the reduction in corporate tax rates will benefit our financial results and Matt will cover this in his remarks."}, {"path": "tedlium_24960.wav", "duration": 7.8, "text": "others shrink, that only enhances the opportunity we have to take advantage of that. So it's definitely a focus, there's no question about it."}, {"path": "tedlium_24961.wav", "duration": 7.8, "text": "We expect to continue to invest significantly in technology improvements, which includes the substantial overhaul to our core systems."}, {"path": "tedlium_24962.wav", "duration": 7.8, "text": "We are excited to execute our retail growth plan and I look forward to sharing our success in the coming quarters."}, {"path": "tedlium_24963.wav", "duration": 7.8, "text": "which is a mature product, but it's strong with the heavy total build rates but, in particular, the build rates of trucks"}, {"path": "tedlium_24964.wav", "duration": 7.8, "text": "Our first priority will always be to deliver high-quality care and service to our patients."}, {"path": "tedlium_24965.wav", "duration": 7.8, "text": "a confidential undertaking between us and Renova, but if voting rights were an issue, the voting rights would be adjusted automatically."}, {"path": "tedlium_24966.wav", "duration": 7.8, "text": "mainly supported by the strong performance of our core Russian market where we continue to enjoy an improving pricing environment,"}, {"path": "tedlium_24967.wav", "duration": 7.8, "text": "We continue to be excited about this project as it enhances our position on the West Coast and offers several benefits, including"}, {"path": "tedlium_24968.wav", "duration": 7.8, "text": "as well as the new spectrum Band 14, gives us real excited about the ability to serve customers really, really well."}, {"path": "tedlium_24969.wav", "duration": 7.8, "text": "I've been doing this long enough to say that I never had that expectation. And somehow almost every year,"}, {"path": "tedlium_24970.wav", "duration": 7.8, "text": "We're not expecting any recovery in industrial capital or maintenance spending at the end of the year in contrast to the typical year-end lift."}, {"path": "tedlium_24971.wav", "duration": 7.8, "text": "And then they will run those in a single warehouse, see how they like it."}, {"path": "tedlium_24972.wav", "duration": 7.8, "text": "Against the first quarter, we are very, very excited and optimistic of continued organic growth."}, {"path": "tedlium_24973.wav", "duration": 7.8, "text": "and we have enhanced strategies for partnering with our clients that's increasingly more flexible and thoughtful"}, {"path": "tedlium_24974.wav", "duration": 7.8, "text": "that would have normally gone to other facilities in the network and start it at Massachusetts. Could you help us to understand kind of"}, {"path": "tedlium_24975.wav", "duration": 7.8, "text": "And so what we decided to do was to take the place where these folks would have the opportunity to have a very strong"}, {"path": "tedlium_24976.wav", "duration": 7.8, "text": "we can't define exactly how the product is being used because most of these procedures are done in an ambulatory environment."}, {"path": "tedlium_24977.wav", "duration": 7.8, "text": "Business is a key national asset in South Africa, and the financial services sector is something we can all be very proud of."}, {"path": "tedlium_24978.wav", "duration": 7.8, "text": "Going forward, Virtu's leading proprietary trading technology will power our expanded product and service offering"}, {"path": "tedlium_24979.wav", "duration": 7.8, "text": "We could not be more excited about the opportunities that lie ahead now that we are operating as one company and one team."}, {"path": "tedlium_24980.wav", "duration": 7.8, "text": "if you have the benefit and the bounty of customer information and customer orders, you can be more intelligent. This is exactly what we thought"}, {"path": "tedlium_24981.wav", "duration": 7.8, "text": "And it's a mixture of that type of thing. So that's the source of that context when you hear"}, {"path": "tedlium_24982.wav", "duration": 7.8, "text": "Before I talk about our third quarter results versus last year, I would like to talk about them versus the expectations we shared with you last quarter."}, {"path": "tedlium_24983.wav", "duration": 7.8, "text": "Utilizing our universal shelf registration statement, we established our second at-the-market common stock offering program"}, {"path": "tedlium_24984.wav", "duration": 7.8, "text": "Now moving to our results. We are pleased with our fiscal second quarter results as we saw solid growth in our business."}, {"path": "tedlium_24985.wav", "duration": 7.8, "text": "One of the reasons why we have not done much over time is that we would still"}, {"path": "tedlium_24986.wav", "duration": 7.8, "text": "we can increase scalability and are able to react faster to opportunities, doubling the frequency of new releases"}, {"path": "tedlium_24987.wav", "duration": 7.8, "text": "Great. Thank you, Sharon. We appreciate your interest in Enbridge Partners and thank you for participating on today's conference call. I would like to remind you"}, {"path": "tedlium_24988.wav", "duration": 7.8, "text": "Thank you for your interest in MDU Resources and for taking the time to join us today to discuss our second quarter results."}, {"path": "tedlium_24989.wav", "duration": 7.8, "text": "And we'll -- as next year develops, we'll certainly add more color to that market to our efforts in that industry."}, {"path": "tedlium_24990.wav", "duration": 7.8, "text": "As you heard from Rubens, the economic and political environment remained relatively volatile in the region during the first months of the year,"}, {"path": "tedlium_24991.wav", "duration": 7.8, "text": "with and without SEMM. So going forward, you can assume that this trend will continue and"}, {"path": "tedlium_24992.wav", "duration": 7.8, "text": "The general Industrial market continued to see good demand and distributors are reporting good retail activity and pricing dynamics."}, {"path": "tedlium_24993.wav", "duration": 7.8, "text": "and build their sales teams through their social networks. These tools will continue to roll out around the world over the next several quarters."}, {"path": "tedlium_24994.wav", "duration": 7.8, "text": "solidify the thinking of the acute care hospital partners and kind of line us up with them going into next year."}, {"path": "tedlium_24995.wav", "duration": 7.8, "text": "We want to keep them busy. We want to absorb those overheads as best as we can. And what we've seen during quarter 2 is that we've been gradually"}, {"path": "tedlium_24996.wav", "duration": 7.8, "text": "the Church Management new modules that we've built will fit all sizes of the church."}, {"path": "tedlium_24997.wav", "duration": 7.8, "text": "will be significantly impacted by a road construction project that will kick off in the late first quarter of this year"}, {"path": "tedlium_24998.wav", "duration": 7.8, "text": "that's not included in that yet. So if your question is, do we have to go out and aggressively buy a lot to achieve it?"}, {"path": "tedlium_24999.wav", "duration": 7.8, "text": "This provides the clearest view of the sustainability of our spending and our resilience to commodity price movements."}, {"path": "tedlium_25000.wav", "duration": 7.8, "text": "From a credit quality standpoint, the portfolio remains sound with a couple of exposures"}, {"path": "tedlium_25001.wav", "duration": 7.8, "text": "our design agility, which is one of our strengths, needs to even be sharper, and we need to continuously reduce lead times"}, {"path": "tedlium_25002.wav", "duration": 7.8, "text": "With respect to DermACELL, I think with 1 year under the belt and with some more clinical data"}, {"path": "tedlium_25003.wav", "duration": 7.8, "text": "to primarily be looking for tuck-in acquisitions to augment our capabilities but to make sure that we continue to be"}, {"path": "tedlium_25004.wav", "duration": 7.8, "text": "What we're very excited about, Quentin, is the overall health category. And this is a category we've been investing in substantially for a number of years,"}, {"path": "tedlium_25005.wav", "duration": 7.8, "text": "In summary, we delivered solid organic growth across every major business and strengthened our operational performance,"}, {"path": "tedlium_25006.wav", "duration": 7.8, "text": "As the increased year-over-year shipment levels and backlog numbers increased, it is obvious that conditions have improved in some of our product end markets."}, {"path": "tedlium_25007.wav", "duration": 7.8, "text": "with our other capital allocation alternatives and do what is in the best for the long-term interest of our stockholders."}, {"path": "tedlium_25008.wav", "duration": 7.8, "text": "Just wondering if the impact from those was amplified by the seasonal timing in the quarter or a difficult comparison. And"}, {"path": "tedlium_25009.wav", "duration": 7.8, "text": "regulators currently authorizing returns and you make that judgment as to whether you can stay out. Our preference, as I said, from rate perspective, we'd love to stay out"}, {"path": "tedlium_25010.wav", "duration": 7.8, "text": "The -- what is -- how should we think about what you guys are exactly planning in terms of getting into the earnings sharing"}, {"path": "tedlium_25011.wav", "duration": 7.8, "text": "where you can then utilize it to help in the distribution system and then also for the transmission. So you're bringing in the"}, {"path": "tedlium_25012.wav", "duration": 7.8, "text": "what we should do when it comes to a thing . I am not sure if I... I think the question was that some of the initiatives take a little bit longer to execute."}, {"path": "tedlium_25013.wav", "duration": 7.8, "text": "a 5% growth rate on the year despite the negative market effect in recent quarters that has been very relevant."}, {"path": "tedlium_25014.wav", "duration": 7.8, "text": "being able to keep this momentum that we build along the H2 and during this first semester to have a very successful first"}, {"path": "tedlium_25015.wav", "duration": 7.8, "text": "All of that still supports a good climate for pricing and a good climate for compounding profit improvement"}, {"path": "tedlium_25016.wav", "duration": 7.8, "text": "and we were intentionally building that. We had inventory on hand for the titles that launched in early May."}, {"path": "tedlium_25017.wav", "duration": 7.8, "text": "Can you tell the nature or which aircraft was? No. It's I'm not going to get into those specifics here."}, {"path": "tedlium_25018.wav", "duration": 7.8, "text": "Thank you, Scott. Welcome, ladies and gentlemen, and thank you for giving me another opportunity to report our quarterly highlights"}, {"path": "tedlium_25019.wav", "duration": 7.8, "text": "through various capital cities and look forward to speaking with our stakeholders throughout the course of that program"}, {"path": "tedlium_25020.wav", "duration": 7.8, "text": "There was a slight downtick in margin with these products, which we expect to see continued down to the 60% to 65% margin range"}, {"path": "tedlium_25021.wav", "duration": 7.8, "text": "And this concludes today's conference call. Thank you so much for your participation. You may now disconnect."}, {"path": "tedlium_25022.wav", "duration": 7.8, "text": "There are a couple of items like that. The more material one is a little harder to explain and it's with our groups."}, {"path": "tedlium_25023.wav", "duration": 7.8, "text": "So every bid is different and every bid is very competitive, so we have to stay priced sharp in order to win those bids,"}, {"path": "tedlium_25024.wav", "duration": 7.8, "text": "We realized this is a significant request, so we provided 2 additional years of data to facilitate a multi-year settlement."}, {"path": "tedlium_25025.wav", "duration": 7.8, "text": "Our third priority is to improve our product and vendor management engagement, and we have made significant progress."}, {"path": "tedlium_25026.wav", "duration": 7.8, "text": "we want to repeat once again that our net profit for this year will be as"}, {"path": "tedlium_25027.wav", "duration": 7.8, "text": "and certainly, the ways in which we attract, serve and retain our customers are key differentiating factors."}, {"path": "tedlium_25028.wav", "duration": 7.8, "text": "So we're going to do that. We're going to take out cost as much as we possibly can but not cut our innovation programs. That's a core choice for us."}, {"path": "tedlium_25029.wav", "duration": 7.8, "text": "And quite frankly, availability is a big one. When you sift through brands that are available for sale that haven't been"}, {"path": "tedlium_25030.wav", "duration": 7.8, "text": "We have high expectations of ourselves and have implemented a rigorous approach to track our progress with each stakeholder group."}, {"path": "tedlium_25031.wav", "duration": 7.8, "text": "Could you help us understand your expectation of relative contribution from these initiatives in fiscal '19 and"}, {"path": "tedlium_25032.wav", "duration": 7.8, "text": "Perhaps one of the most important developments of 2016 was confirmation of the merger rationale."}, {"path": "tedlium_25033.wav", "duration": 7.8, "text": "I'd like to now return to the very positive and exciting growth we are experiencing in our commercial health plan business."}, {"path": "tedlium_25034.wav", "duration": 7.8, "text": "to the product going into the automotive market. I will now turn the call over to Bill for comments on our nonferrous markets. Bill?"}, {"path": "tedlium_25035.wav", "duration": 7.8, "text": "not knowing exactly when that will be. I would say the other categories that come immediately to mind are"}, {"path": "tedlium_25036.wav", "duration": 7.8, "text": "which is somewhat new. We had already put that into our plans for RIIO-ED1, which I think helped justify"}, {"path": "tedlium_25037.wav", "duration": 7.7700625, "text": "this will end. And yes, I think it's not smart to start speculating about the potential opportunities. But"}, {"path": "tedlium_25038.wav", "duration": 7.77, "text": "is the number of prescriptions filled for patients via the pharmacies, multiplied times the price paid to us by the wholesalers."}, {"path": "tedlium_25039.wav", "duration": 7.77, "text": "Yes, Ryan, let me reinforce a few of the things Dan said. I mean, because of the nature of the business, there's little guaranteed recurring revenue."}, {"path": "tedlium_25040.wav", "duration": 7.77, "text": "and all of the contracts are being looked at and renegotiated, and savings to be squeezed out of that."}, {"path": "tedlium_25041.wav", "duration": 7.77, "text": "To understand, if you reach this level, will you pay the debt to your creditors?"}, {"path": "tedlium_25042.wav", "duration": 7.77, "text": "They are recording this in their local balance sheet as a liability. And of course, if the local currency depreciates, it produces a loss"}, {"path": "tedlium_25043.wav", "duration": 7.77, "text": "This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_25044.wav", "duration": 7.77, "text": "towards the -- they saw some towards the end of the year, there definitely is some pent-up wage pressure, and I think you're seeing that"}, {"path": "tedlium_25045.wav", "duration": 7.77, "text": "And so there are many other -- and that doesn't even take into account the fact that we have a"}, {"path": "tedlium_25046.wav", "duration": 7.77, "text": "these newly connected iPass users collected over 5 million network records in the Rio area."}, {"path": "tedlium_25047.wav", "duration": 7.77, "text": "when we made particularly strong investments to support our brands and drive trial behind our innovation programs."}, {"path": "tedlium_25048.wav", "duration": 7.77, "text": "We've got great relationships with all of the lumber producers, I think the tax that's talked about is"}, {"path": "tedlium_25049.wav", "duration": 7.77, "text": "One of the changes we are making in Canada is managing our used and rental fleets together to provide customers with a broader range of product options."}, {"path": "tedlium_25050.wav", "duration": 7.77, "text": "Additionally, the contents of this conference call may contain time-sensitive information that is accurate only as of the date of this earnings call."}, {"path": "tedlium_25051.wav", "duration": 7.77, "text": "At this stage right now, we still have a healthy pipeline, but this is something we wanted to watch because"}, {"path": "tedlium_25052.wav", "duration": 7.77, "text": "We expected the inclusion of index products in MAP will further enhance adviser and client satisfaction with the program."}, {"path": "tedlium_25053.wav", "duration": 7.77, "text": "investing in our research capabilities and emphasizing tighter integration between our investment and sales and marketing personnel."}, {"path": "tedlium_25054.wav", "duration": 7.77, "text": "some things changed regarding the legality as well as this kind of level playing field concept with regards to the hotel tax,"}, {"path": "tedlium_25055.wav", "duration": 7.77, "text": "The exact timing of rate increases will be a key determinant for the magnitude of any margin increase."}, {"path": "tedlium_25056.wav", "duration": 7.77, "text": "allowing us to drastically reduce cycle time and increase the value of business we process to ourselves and to our clients."}, {"path": "tedlium_25057.wav", "duration": 7.77, "text": "So we were very pleased that productivity improved even with our focus on service and employee retention."}, {"path": "tedlium_25058.wav", "duration": 7.77, "text": "I think what you're going to see is they're going to pack their bags and go somewhere else, where they can go, do some large design build work"}, {"path": "tedlium_25059.wav", "duration": 7.77, "text": "A combination of strong job growth, low levels of supply and new home product perfectly tailored for the market"}, {"path": "tedlium_25060.wav", "duration": 7.77, "text": "without discounting the brand to the extent that it would impact the value proposition, we've certainly been very targeted from that perspective."}, {"path": "tedlium_25061.wav", "duration": 7.77, "text": "I need to remind you that any forward-looking statements are subject to risks and uncertainties, which are discussed at length in our SEC filings."}, {"path": "tedlium_25062.wav", "duration": 7.77, "text": "if you are going to need these inherent investments for that type of growth, is it a safe statement to say that the capital structure"}, {"path": "tedlium_25063.wav", "duration": 7.77, "text": "Both our customers and we, as a company, are excited about the potential for meaningful efficiencies to be gained."}, {"path": "tedlium_25064.wav", "duration": 7.77, "text": "as we build value in our product development programs across multiple indications continues to be the core focus of our efforts."}, {"path": "tedlium_25065.wav", "duration": 7.77, "text": "And the bank market, Matt, in our experience sort of opens and closes"}, {"path": "tedlium_25066.wav", "duration": 7.77, "text": "Our goal is to finalize our construction costs and schedule by the end of the quarter. I will now turn the call back to Michael."}, {"path": "tedlium_25067.wav", "duration": 7.77, "text": "as far as, you know you've been very successful in reducing leverage to issuing equity. Does that fit in at all going forward?"}, {"path": "tedlium_25068.wav", "duration": 7.77, "text": "While there has been some improvement in exchange rates since our last guidance update, it continues to be volatile, especially in Brazil."}, {"path": "tedlium_25069.wav", "duration": 7.77, "text": "Now before I turn the call over to Randy, I wanted to clarify one of the comments that we made on the fourth quarter conference call."}, {"path": "tedlium_25070.wav", "duration": 7.77, "text": "Meanwhile, our large store in Heathrow Terminal 3 is currently being redeveloped and will open in the next few weeks"}, {"path": "tedlium_25071.wav", "duration": 7.77, "text": "Therefore, please be advised that Honda's actual results could differ materially from those described in these forward-looking statements"}, {"path": "tedlium_25072.wav", "duration": 7.77, "text": "And with Newport's integration now behind us, this is an appropriate time to lay out our leadership succession plans."}, {"path": "tedlium_25073.wav", "duration": 7.77, "text": "is typically deferred until substantially later than when we deliver services, bill and collect cash from our customers."}, {"path": "tedlium_25074.wav", "duration": 7.77, "text": "And I think when we drill into the large money center banks, we're talking about a handful of clients."}, {"path": "tedlium_25075.wav", "duration": 7.77, "text": "The repositioning, which is really about how we focus on our accessible locations, which we believe have appropriate scale,"}, {"path": "tedlium_25076.wav", "duration": 7.77, "text": "I think it's probably the first time you've discussed in some degree of detail your design"}, {"path": "tedlium_25077.wav", "duration": 7.77, "text": "This is an important strategic initiative within Marlin 2.0, so I'm very pleased to have somebody of Dave's caliber in this role."}, {"path": "tedlium_25078.wav", "duration": 7.77, "text": "we're not really sure which group of customers would be"}, {"path": "tedlium_25079.wav", "duration": 7.77, "text": "complete solutions that empowers students and faculty and drives success in the classroom and beyond. It"}, {"path": "tedlium_25080.wav", "duration": 7.77, "text": "As demonstrated earlier this week, Conjur was recognized by Gartner as a Cool Vendor in DevOps because of its leading edge technology."}, {"path": "tedlium_25081.wav", "duration": 7.77, "text": "has been able to help us start to close the gap where we've had gaps in our performance versus market. We're not there yet."}, {"path": "tedlium_25082.wav", "duration": 7.77, "text": "We remain optimistic about the future of each of our business units for many of the reasons we have discussed today and many we have discussed in the past."}, {"path": "tedlium_25083.wav", "duration": 7.77, "text": "These initiatives are a key part of HBC's future growth, and we look forward to realizing the benefits of these investments in the coming quarters."}, {"path": "tedlium_25084.wav", "duration": 7.77, "text": "This expense increase was partially offset by our continued operational process improvements and other cost reductions throughout the company."}, {"path": "tedlium_25085.wav", "duration": 7.77, "text": "lowered the cost of investing for their fund investors through various types of fee changes. Can you talk about the factors"}, {"path": "tedlium_25086.wav", "duration": 7.77, "text": "those individual customer decisions are overlaid by the broader macro Industrial Environmental that they operate in."}, {"path": "tedlium_25087.wav", "duration": 7.77, "text": "we feel very confident in the return on our investment when the stores and dealerships are fully ramped and mature."}, {"path": "tedlium_25088.wav", "duration": 7.77, "text": "All of our capital will be focused almost exclusively on the Cardium as those economics are still"}, {"path": "tedlium_25089.wav", "duration": 7.77, "text": "especially over the latter part of the last year, which we expect to continue over the first half"}, {"path": "tedlium_25090.wav", "duration": 7.77, "text": "Increased European sunflower seed sales also added growth to the top line from both price and volume,"}, {"path": "tedlium_25091.wav", "duration": 7.77, "text": "and probably Tyvek also is where we're really working on our capacity release program we've talked about on the operations side."}, {"path": "tedlium_25092.wav", "duration": 7.77, "text": "These risks, uncertainties, assumptions as well as other information on potential factors that could affect our financial results"}, {"path": "tedlium_25093.wav", "duration": 7.77, "text": "membership would be the focus of our business management going forward. So the"}, {"path": "tedlium_25094.wav", "duration": 7.77, "text": "of 2020. Now let's turn briefly to our financial results before opening the call up to questions."}, {"path": "tedlium_25095.wav", "duration": 7.77, "text": "But it is gratifying to see that some of the initiatives we are doing are working. And obviously,"}, {"path": "tedlium_25096.wav", "duration": 7.77, "text": "As we've said for some time, we continually look to improve our capital structure and to lower our cost of capital."}, {"path": "tedlium_25097.wav", "duration": 7.77, "text": "Thank you very much for your efforts in the first half of the year and in anticipation for your contribution"}, {"path": "tedlium_25098.wav", "duration": 7.77, "text": "We do not undertake to update our forward-looking statements as a result of new information or future events or developments."}, {"path": "tedlium_25099.wav", "duration": 7.77, "text": "it would essentially mean -- the high end of our guidance at this point would essentially mean that we'd be flat organically versus last year for the rest of the year,"}, {"path": "tedlium_25100.wav", "duration": 7.77, "text": "So I think the elements of growth are present in our regional strategy."}, {"path": "tedlium_25101.wav", "duration": 7.77, "text": "is that the only region where they are used? Or are we using them as well in more temperate regions?"}, {"path": "tedlium_25102.wav", "duration": 7.77, "text": "is part of that a function of -- and I assume these are some of the local brands that you got via Cadbury,"}, {"path": "tedlium_25103.wav", "duration": 7.77, "text": "All of this occurred despite a relatively warm winter in many areas of the country and particularly in the Northeast."}, {"path": "tedlium_25104.wav", "duration": 7.77, "text": "Before we begin our formal remarks, we need to remind everyone that today's discussion will include forward-looking statements within the meaning of the federal securities"}, {"path": "tedlium_25105.wav", "duration": 7.77, "text": "We confirm our target for the mid-term to reach a position in the top tier of the specialty chemicals industry."}, {"path": "tedlium_25106.wav", "duration": 7.77, "text": "in the coming months there are certain opportunities there that we will be bidding on,"}, {"path": "tedlium_25107.wav", "duration": 7.77, "text": "At a minimum, just so everybody on the call can hear his voice and just ask him to share some comments. Obviously,"}, {"path": "tedlium_25108.wav", "duration": 7.77, "text": "We're currently planning new apparel and accessory launches in the fall including handbags, outerwear, scarves,"}, {"path": "tedlium_25109.wav", "duration": 7.77, "text": "Our field sales and commercial operations teams are working very closely together to track the status"}, {"path": "tedlium_25110.wav", "duration": 7.77, "text": "in terms of overall exposure. When you think of the changes that have been enacted to attempt to cool the market,"}, {"path": "tedlium_25111.wav", "duration": 7.77, "text": "what led to this banking surprise that we've seen this quarter? I thought earlier we were quite confident of acceleration, but"}, {"path": "tedlium_25112.wav", "duration": 7.77, "text": "Recall that starting in the second quarter of 2014, we experienced a significant increase in demand for mobile equipment used in oil and gas sector"}, {"path": "tedlium_25113.wav", "duration": 7.77, "text": "Margins were very strong. I understand the good volume leverage here. But looks like we're coming in at the high end"}, {"path": "tedlium_25114.wav", "duration": 7.77, "text": "I'm excited about the tremendous progress we've made toward that goal, and we continue to pull levers that add value to the portfolio."}, {"path": "tedlium_25115.wav", "duration": 7.77, "text": "The presentation of this information is not intended to be considered in isolation or as a substitute for the financial information"}, {"path": "tedlium_25116.wav", "duration": 7.77, "text": "but continues to grow nicely, not only through our banking customers but through partnerships that we do through EPS, and we've talked about some of those in the past."}, {"path": "tedlium_25117.wav", "duration": 7.77, "text": "This is a great example of the discipline required to effectively deploy the capital."}, {"path": "tedlium_25118.wav", "duration": 7.77, "text": "in Refining to either improve yields or to access more advantaged crude one way or the other. I think the other"}, {"path": "tedlium_25119.wav", "duration": 7.77, "text": "across all categories as we started to see these new products come online in our stores. So"}, {"path": "tedlium_25120.wav", "duration": 7.77, "text": "and recent increases in conversion rates that resulted from reengineering student on-boarding processes and expanding student service hours."}, {"path": "tedlium_25121.wav", "duration": 7.77, "text": "It's other countries like Mexico and Korea, where we have made some major increases in our export volumes. And so"}, {"path": "tedlium_25122.wav", "duration": 7.77, "text": "The operator is currently working with Core's engineers on computations to assist in optimizing their future completion strategies."}, {"path": "tedlium_25123.wav", "duration": 7.77, "text": "in the energy states, so we're seeing more and more people bid on different jobs. But that's where we're seeing most of the competition."}, {"path": "tedlium_25124.wav", "duration": 7.77, "text": "Many of our customers were moving business forward in advance of the plant shutdowns in order to meet anticipated demand."}, {"path": "tedlium_25125.wav", "duration": 7.77, "text": "There is a more natural churn there with brokers and so forth and so some of that -- when you look at the churn, it's not any one reason. You've got a couple of different market segments."}, {"path": "tedlium_25126.wav", "duration": 7.77, "text": "The pure economics of wind energy are really compelling. Corporate and retail customers want to buy wind."}, {"path": "tedlium_25127.wav", "duration": 7.77, "text": "Increased branding expenditures were strategically redirected from the first quarter to the second and the third quarters of the year."}, {"path": "tedlium_25128.wav", "duration": 7.77, "text": "While shipments do not immediately translate into sales due to timing of shipments and inventory replenishment at our Richmond and Long Beach terminal,"}, {"path": "tedlium_25129.wav", "duration": 7.77, "text": "much more can you stack on the revenues before you do need to make anything material as far as investment in the line?"}, {"path": "tedlium_25130.wav", "duration": 7.77, "text": "Before we begin, I would like to remind everyone that certain matters discussed in today's conference call or answers that may be given to questions asked"}, {"path": "tedlium_25131.wav", "duration": 7.77, "text": "Finally, we remain on track to deliver ongoing earnings solidly within our 2016 guidance range."}, {"path": "tedlium_25132.wav", "duration": 7.77, "text": "we really would like to get very much in the mode of designing one and building many, like we did in Angola."}, {"path": "tedlium_25133.wav", "duration": 7.77, "text": "These competencies will be increasingly critical as competition for newly originated jumbo loans remains fierce."}, {"path": "tedlium_25134.wav", "duration": 7.77, "text": "We also believe that the reduction of term debt for Green Plains improves its credit quality, which should have a positive impact on the partnership."}, {"path": "tedlium_25135.wav", "duration": 7.77, "text": "So again, I am very positive that no one got hurt in the facility, and we had no environmental issues around that."}, {"path": "tedlium_25136.wav", "duration": 7.77, "text": "We've changed the way we innovate quite significantly. And we're pleased to see that our innovation pipeline"}, {"path": "tedlium_25137.wav", "duration": 7.77, "text": "For example, where a valuer has carefully looked at a sub-regional asset and has determined that there's probably more supply than demand"}, {"path": "tedlium_25138.wav", "duration": 7.77, "text": "Okay. And maybe just to follow up on that. I know you gave a number of pointers. But can you help lay out some of your"}, {"path": "tedlium_25139.wav", "duration": 7.77, "text": "And my observation is what the company's done a very good job on over the last couple years is to recognize that and then build these"}, {"path": "tedlium_25140.wav", "duration": 7.77, "text": "or maybe sell a portion of it to a partner that has a different type of balance sheet and things where you would still have access"}, {"path": "tedlium_25141.wav", "duration": 7.77, "text": "what can we do to help solve the energy issues that we're facing in New York and New England?"}, {"path": "tedlium_25142.wav", "duration": 7.77, "text": "I think it usually happens very quickly because what we've seen is the distributors react accordingly. So"}, {"path": "tedlium_25143.wav", "duration": 7.77, "text": "For information on this matter, we refer you to our prior public filings. We will not be making any additional comments on this matter on this call."}, {"path": "tedlium_25144.wav", "duration": 7.77, "text": "then you could have an integration team with inside the customer that could actually start doing the integrations."}, {"path": "tedlium_25145.wav", "duration": 7.77, "text": "And that's our strategy and we're pushing into it. We should expect strong growth in that line item for quite a while."}, {"path": "tedlium_25146.wav", "duration": 7.77, "text": "The proceeds from our asset sales, together with our strong operating cash flows, have reduced our financing needs for new acquisitions in this current environment."}, {"path": "tedlium_25147.wav", "duration": 7.77, "text": "We deployed the first phase of a new platform in October that is driving our search pages and most of our apparel product pages in English."}, {"path": "tedlium_25148.wav", "duration": 7.77, "text": "from brands that, you could say, were demand brands that had a lot of excess inventory that then created more pressure"}, {"path": "tedlium_25149.wav", "duration": 7.77, "text": "When we look at our existing base of business, meaning business with existing customers, I give us strong grades. We're growing nicely."}, {"path": "tedlium_25150.wav", "duration": 7.77, "text": "Yes, with respect to ARPA revenue, while au ARPA is increasing and the"}, {"path": "tedlium_25151.wav", "duration": 7.77, "text": "we recognize that this is only a beginning and that a lot more work remains to be done over the next few quarters."}, {"path": "tedlium_25152.wav", "duration": 7.77, "text": "Project starts for customers were delayed by both scheduling and some logistical issues, sand and water delays"}, {"path": "tedlium_25153.wav", "duration": 7.77, "text": "yes, the DUC count continues to climb and I'm just trying to sort through"}, {"path": "tedlium_25154.wav", "duration": 7.77, "text": "and we remain on track to bring Aviat to profitability this fiscal year on an adjusted EBITDA basis."}, {"path": "tedlium_25155.wav", "duration": 7.77, "text": "gaining full ownership earlier and catching more of that upside make sense, given you're going to have all these proceeds coming in?"}, {"path": "tedlium_25156.wav", "duration": 7.77, "text": "The technology clearly is working for clinicians as consumable growth continues at a very healthy pace, which is a tremendous positive."}, {"path": "tedlium_25157.wav", "duration": 7.77, "text": "Second, the sales changes have freed up our sellers to engage in more growth activities,"}, {"path": "tedlium_25158.wav", "duration": 7.77, "text": "Before wrapping up, I'll talk about Mexico which is an exciting development for the company."}, {"path": "tedlium_25159.wav", "duration": 7.77, "text": "Yes, Justin, this is Don. So at the end of the day, what we've tried to do over the last few years is to penetrate our customers across our business lines."}, {"path": "tedlium_25160.wav", "duration": 7.77, "text": "from the artificially depressed growth this year and that you'd get back to like a GDP-ish-like number in 2019 on capacity"}, {"path": "tedlium_25161.wav", "duration": 7.77, "text": "The decline in this volume is driving a significant unfavorable mix impact to unit margins and segment profit."}, {"path": "tedlium_25162.wav", "duration": 7.77, "text": "Once again, that does conclude today's conference. Thank you for your participation. You may now disconnect."}, {"path": "tedlium_25163.wav", "duration": 7.77, "text": "as of June 30, 2016. The increase was primarily driven by the Samsung payment received during the quarter"}, {"path": "tedlium_25164.wav", "duration": 7.77, "text": "We were happy to receive continued support from previous noteholders and new investors, in addition to our preferred stockholder."}, {"path": "tedlium_25165.wav", "duration": 7.77, "text": "We have high expectations for our SmartReach Digital business, which we hope will grow into a meaningful player in the digital marketing solutions market."}, {"path": "tedlium_25166.wav", "duration": 7.77, "text": "that are nontraditional and that can make money in those categories. So I'd say, for the last 18 months or so,"}, {"path": "tedlium_25167.wav", "duration": 7.77, "text": "So ore volumes are now expected to increase as we aggressively expose more of the orebody in the center of the pit."}, {"path": "tedlium_25168.wav", "duration": 7.77, "text": "During the quarter, Anadarko announced a key milestone of reaching their marine concession agreements with the government of Mozambique"}, {"path": "tedlium_25169.wav", "duration": 7.77, "text": "as we veered away from the 5 critical success factors, which have historically driven our success over the past 2 decades."}, {"path": "tedlium_25170.wav", "duration": 7.77, "text": "Wireless continued to have excellent financial performance, as can be seen in the metrics, and strong Wireless postpaid growth."}, {"path": "tedlium_25171.wav", "duration": 7.77, "text": "Well, actually, we have -- the reason we don't have every last dollar in there is because there is some cost on the top line."}, {"path": "tedlium_25172.wav", "duration": 7.77, "text": "We are working with our larger retail partners to improve in-stock and inventory productivity at levels at retail"}, {"path": "tedlium_25173.wav", "duration": 7.77, "text": "and relate this to the expected mine life of some of our key operations. I'll briefly cover our project pipeline"}, {"path": "tedlium_25174.wav", "duration": 7.77, "text": "in the way the supply stack performed that makes it kind of different than your assumptions going into the summer?"}, {"path": "tedlium_25175.wav", "duration": 7.77, "text": "I think one thing I do want to make a point about, though, is that on the remediation as it relates to the mines,"}, {"path": "tedlium_25176.wav", "duration": 7.77, "text": "Importantly, however, even though July prices did not reach the scarcity extremes that some might have expected during the July heat wave,"}, {"path": "tedlium_25177.wav", "duration": 7.77, "text": "Both are industries that we know well and we expect will realize growth and innovation opportunities in the years to come."}, {"path": "tedlium_25178.wav", "duration": 7.77, "text": "okay, we really have to maximize our margin as best we possibly can. And given our model with small order sizes,"}, {"path": "tedlium_25179.wav", "duration": 7.77, "text": "Going forward, we expect prices for these products to remain fairly steady with current levels due to in large part,"}, {"path": "tedlium_25180.wav", "duration": 7.7400625, "text": "in terms of our share in telephony or the mix in general. But what I can say to that end"}, {"path": "tedlium_25181.wav", "duration": 7.74, "text": "Finally, I'd like to thank all of our dedicated employees for their unwavering focus on the safety and comfort of our customers"}, {"path": "tedlium_25182.wav", "duration": 7.74, "text": "kind of unique customer dynamics that actually happened in the third quarter of last year when this EU roaming regulation actually went into effect."}, {"path": "tedlium_25183.wav", "duration": 7.74, "text": "Our ability to efficiently target solid tumors has grown substantially over the past year, so we will also discuss this in some depth."}, {"path": "tedlium_25184.wav", "duration": 7.74, "text": "This is a great example of the power of our platform, products and brand all working together to drive real financial benefit."}, {"path": "tedlium_25185.wav", "duration": 7.74, "text": "a transfer to the industry. You said that the conversations are"}, {"path": "tedlium_25186.wav", "duration": 7.74, "text": "This analysis makes sense given the fact that we naturally are in the process of deploying the new equity proceeds."}, {"path": "tedlium_25187.wav", "duration": 7.74, "text": "during the Capital Markets Day, and this is not partnering related. So we are still expecting this to occur"}, {"path": "tedlium_25188.wav", "duration": 7.74, "text": "We anticipate that this is likely to have a positive impact on aggregate demand for the foreseeable future."}, {"path": "tedlium_25189.wav", "duration": 7.74, "text": "I think that's something we need to take a hard look at and we don't want to ad lib it on the call. But it's a very, very, good question"}, {"path": "tedlium_25190.wav", "duration": 7.74, "text": "And in terms of whether we can go in the black in the second half of 2018, that is our plan and we stand by our plan"}, {"path": "tedlium_25191.wav", "duration": 7.74, "text": "Of all the studies we've ever done, I've never seen enthusiasm for a trial at BioCryst like I've seen for this one."}, {"path": "tedlium_25192.wav", "duration": 7.74, "text": "makes us continue to try and be agile and deliver great value for customers in a cost-effective way and"}, {"path": "tedlium_25193.wav", "duration": 7.74, "text": "Mark provided a perspective on total incremental spending on security and technology transformation over the 2018 to '20 period."}, {"path": "tedlium_25194.wav", "duration": 7.74, "text": "What's interesting is you do see a tremendous amount of new recruits on Connect"}, {"path": "tedlium_25195.wav", "duration": 7.74, "text": "guiding to 300 basis points improvement in '18, it just shows how well this business model responds"}, {"path": "tedlium_25196.wav", "duration": 7.74, "text": "loss and loss adjustment expenses declined. I think you might -- went over a little bit in your comment, can you go over it again, please?"}, {"path": "tedlium_25197.wav", "duration": 7.74, "text": "Importantly, revenue growth accelerated in the fourth quarter, and our productivity initiatives continued to gain traction."}, {"path": "tedlium_25198.wav", "duration": 7.74, "text": "We're going to now roll up our sleeves. We're going to get back to work, and we look forward to providing a positive progress report on our next earnings call."}, {"path": "tedlium_25199.wav", "duration": 7.74, "text": "Before going through each segment, let me say again for the second quarter in a row that our U.S. business in total is doing very well."}, {"path": "tedlium_25200.wav", "duration": 7.74, "text": "our organic growth is somewhat below what we estimate as the market growth, so I tick that off as a yellow."}, {"path": "tedlium_25201.wav", "duration": 7.74, "text": "This dynamic, along with the successful release of Digital Content Ratings this month and increasing demand for our Video On Demand measurement,"}, {"path": "tedlium_25202.wav", "duration": 7.74, "text": "We expect to fully combine our Irvine operations into the Aliso Viejo facility around the end of the year."}, {"path": "tedlium_25203.wav", "duration": 7.74, "text": "and potentially, the drilling of a new well, all of which will target most the Cretaceous and tertiary reservoirs. We will"}, {"path": "tedlium_25204.wav", "duration": 7.74, "text": "focus people on realized income, and we want to simplify the lens that people are thinking about our business and seeing it through."}, {"path": "tedlium_25205.wav", "duration": 7.74, "text": "it was to a lesser degree. And the reason is that in both of those areas, and I referred to this,"}, {"path": "tedlium_25206.wav", "duration": 7.74, "text": "As we turn to the next slide, this chart compares our performance in the first quarter to the results of the fourth quarter of last year."}, {"path": "tedlium_25207.wav", "duration": 7.74, "text": "We updated our guidance for the second half of the year in order to better reflect our evolving business model."}, {"path": "tedlium_25208.wav", "duration": 7.74, "text": "had a smaller operating loss in Q2, and we are optimistic that the benefits of an improved sales backlog will drive this segment to profitability"}, {"path": "tedlium_25209.wav", "duration": 7.74, "text": "in the marrow is really dependence on transfusion. And as such, they are asking us to see"}, {"path": "tedlium_25210.wav", "duration": 7.74, "text": "We have programs running there. And again, also the additional capacity that will come in will help us to get"}, {"path": "tedlium_25211.wav", "duration": 7.74, "text": "gradually migrating that, whilst at the same time, we will introduce the new mail route"}, {"path": "tedlium_25212.wav", "duration": 7.74, "text": "stores in Ontario, how that's worked out, whether it adds anything or builds traffic or what's your early view of it is."}, {"path": "tedlium_25213.wav", "duration": 7.74, "text": "what I wanted was just to explain the rationale behind that, but I must say that"}, {"path": "tedlium_25214.wav", "duration": 7.74, "text": "This includes a couple of very significant wins for us in Madrid and Rio de Janeiro, which I'll come on to in a moment."}, {"path": "tedlium_25215.wav", "duration": 7.74, "text": "to try to bring that International business to where we see steady continuous improvement in the profitability as we move forward."}, {"path": "tedlium_25216.wav", "duration": 7.74, "text": "which demonstrates how well the organization can operate through the cycle. It gives me great confidence that we are on the right side of the growth curve"}, {"path": "tedlium_25217.wav", "duration": 7.74, "text": "Below the line. So what can we tell you about what's happening below the line? So some"}, {"path": "tedlium_25218.wav", "duration": 7.74, "text": "and operator to be aware of the latest technologies and the capabilities of those technologies so"}, {"path": "tedlium_25219.wav", "duration": 7.74, "text": "Her expertise and insights will be a valuable addition to the Fluidigm team, particularly as we pursue increased penetration in pharma customers."}, {"path": "tedlium_25220.wav", "duration": 7.74, "text": "except as may be required by law. During the call, we will also present some financial information on a non-GAAP basis."}, {"path": "tedlium_25221.wav", "duration": 7.74, "text": "strong activity in the German transportation infrastructures markets will last, notwithstanding the"}, {"path": "tedlium_25222.wav", "duration": 7.74, "text": "Based on what we've seen, it's clear that the fourth quarter was a significant step in that direction as our results speak for themselves."}, {"path": "tedlium_25223.wav", "duration": 7.74, "text": "Our ability to take on these stronger volumes was aided by the expansion of our heavy haul fleet capacity with the investment in growth capital"}, {"path": "tedlium_25224.wav", "duration": 7.74, "text": "We also have an employee base that knows the automotive industry as well, if not better, than anyone else in our space."}, {"path": "tedlium_25225.wav", "duration": 7.74, "text": "And does that imply that in future quarters, we should see some sort of similar expansion?"}, {"path": "tedlium_25226.wav", "duration": 7.74, "text": "Firstly, lettings and contracts, as Lawrence said, we've had very good momentum on leasing and letting across the year"}, {"path": "tedlium_25227.wav", "duration": 7.74, "text": "But I think it's pretty clear the kind of demand framework and the kind of way that we're looking to deploy our capital"}, {"path": "tedlium_25228.wav", "duration": 7.74, "text": "as a CEO, what you need to do is be very clear about the directions we're going, be very clear about how you measure performance and ask the right questions."}, {"path": "tedlium_25229.wav", "duration": 7.74, "text": "and resulting demand against the constrained supply is forcing rents higher on a global scale, as you will see from our slides."}, {"path": "tedlium_25230.wav", "duration": 7.74, "text": "Over the past year, we have faced many challenges, but our team is thriving and we are well on our way to becoming a strong public company."}, {"path": "tedlium_25231.wav", "duration": 7.74, "text": "We have some demographic factors and also the retirement issues Roman talked about."}, {"path": "tedlium_25232.wav", "duration": 7.74, "text": "in order to balance growth and our profitability targets. These actions led to a slow start to originations in the fourth quarter."}, {"path": "tedlium_25233.wav", "duration": 7.74, "text": "if it wasn't for the benefit of things like the renewables. We do invest in the bank on life insurance, and we also have"}, {"path": "tedlium_25234.wav", "duration": 7.74, "text": "In addition to our technology products, we continue to recognize benefits from the water-related acquisitions completed over the last few years."}, {"path": "tedlium_25235.wav", "duration": 7.74, "text": "it was a relatively unknown supplier they were doing it with and a relatively uncompetitive deal that they were offering. So"}, {"path": "tedlium_25236.wav", "duration": 7.74, "text": "in the next 5 years. And so when I talk about aggressive, we're saying we're going to do everything in the next 5 years that we did in the first 15 years."}, {"path": "tedlium_25237.wav", "duration": 7.74, "text": "we believe this level of investment provides the right balance of investing for organic growth while still delivering operating leverage."}, {"path": "tedlium_25238.wav", "duration": 7.74, "text": "In emerging markets, the key points we watch are the affordability of our products for consumers and the actions of local competitors."}, {"path": "tedlium_25239.wav", "duration": 7.74, "text": "so we are building greater flexibility in our organization to bring innovation to market faster than ever before."}, {"path": "tedlium_25240.wav", "duration": 7.74, "text": "And we will invest in training our global associates to arm them with the skills to succeed in tomorrow's workplace."}, {"path": "tedlium_25241.wav", "duration": 7.74, "text": "It is important to note that our large Enterprise delivery business is the least profitable part of our global operations."}, {"path": "tedlium_25242.wav", "duration": 7.74, "text": "and all the engine manufacturers have the same hooks as we do in terms of knowledge and intellectual property in the engines."}, {"path": "tedlium_25243.wav", "duration": 7.74, "text": "And the other thing to keep in mind is this is not just an HPE thing. This is an industry thing. So how will the competition in the industry"}, {"path": "tedlium_25244.wav", "duration": 7.74, "text": "We have a new leader in place since January in that business for retail Germany overall,"}, {"path": "tedlium_25245.wav", "duration": 7.74, "text": "This increase is primarily driven by the increase in the number of Corporate restaurants, including the addition of St-Hubert and Original Joe's,"}, {"path": "tedlium_25246.wav", "duration": 7.74, "text": "The collaboration task has been coming in different fronts and different forms."}, {"path": "tedlium_25247.wav", "duration": 7.74, "text": "we've managed to balance our initiatives with rectifying some of the core issues we faced in the prior year,"}, {"path": "tedlium_25248.wav", "duration": 7.74, "text": "The slight decrease was driven by higher research and development expense as well as end of the year physical inventory adjustments."}, {"path": "tedlium_25249.wav", "duration": 7.74, "text": "the government is taking measures to improve quality of generic products, which will help grow generics."}, {"path": "tedlium_25250.wav", "duration": 7.74, "text": "so the strong contribution from -- margin-wise from project volumes as we've seen in a couple of quarters before,"}, {"path": "tedlium_25251.wav", "duration": 7.74, "text": "distribution, this is something we will share with you as part of the strategic plan because we have done a very detailed review"}, {"path": "tedlium_25252.wav", "duration": 7.74, "text": "that demand a very high level of service and a very comprehensive"}, {"path": "tedlium_25253.wav", "duration": 7.74, "text": "The connection of subsea field wells is ongoing and is expected to complete by December."}, {"path": "tedlium_25254.wav", "duration": 7.74, "text": "in part, reflecting early benefits of Sunrise although partly offset by increased incentive compensation costs."}, {"path": "tedlium_25255.wav", "duration": 7.74, "text": "what are some examples of how the economic weakness is causing you to revisit your marketing plans, if at all, whether it be"}, {"path": "tedlium_25256.wav", "duration": 7.74, "text": "As expected, higher prices were the key driver, contributing about 7 percentage points of growth."}, {"path": "tedlium_25257.wav", "duration": 7.74, "text": "what we were doing was working and was getting the results, not only just results, but the results we wanted."}, {"path": "tedlium_25258.wav", "duration": 7.74, "text": "By the end of the year, we will also finalize the group meeting space design and will evaluate the timing of any future development at the property."}, {"path": "tedlium_25259.wav", "duration": 7.74, "text": "is there any talk of the government loosening the constraints on currency conversion into dollars?"}, {"path": "tedlium_25260.wav", "duration": 7.74, "text": "This is an attractive site in a national capital city, and we'll be deliberate in our approach to generate the greatest long-term value."}, {"path": "tedlium_25261.wav", "duration": 7.74, "text": "So in conclusion, despite the challenges resulting from the 3 hurricanes, our team has produced another excellent quarter."}, {"path": "tedlium_25262.wav", "duration": 7.74, "text": "just curious how to think about where that margin will shake out in the first quarter and how to think about, if you can"}, {"path": "tedlium_25263.wav", "duration": 7.74, "text": "Now with tax-efficient access to our significant global free cash flow, we see great opportunity in all 3 of these areas."}, {"path": "tedlium_25264.wav", "duration": 7.74, "text": "to significant known and unknown uncertainties and changes in circumstances, many of which are beyond our control."}, {"path": "tedlium_25265.wav", "duration": 7.74, "text": "So obviously, that positions us extremely well as they move towards production and the test systems that will follow."}, {"path": "tedlium_25266.wav", "duration": 7.74, "text": "We remain optimistic on the long-term opportunity related to domestic energy production and the need for mobile products that are essential for these activities."}, {"path": "tedlium_25267.wav", "duration": 7.74, "text": "Yes. And so we absolutely saw a healthy increase in pricing. And I'll tell you, I think the majority of that is due to weather. We had"}, {"path": "tedlium_25268.wav", "duration": 7.74, "text": "you're not seeing anything other than normal seasonal increases in harvest costs and that's part of what is driving the sequential"}, {"path": "tedlium_25269.wav", "duration": 7.74, "text": "So as a consequence of that, I certainly believe that this set of numbers is best interpreted as two chapters"}, {"path": "tedlium_25270.wav", "duration": 7.74, "text": "Turning to expenses, we increased our forecast on cost management in a slowing revenue growth environment."}, {"path": "tedlium_25271.wav", "duration": 7.74, "text": "at what we are focusing on over the medium to longer term and our medium- to longer-term financial targets as a consequence of that."}, {"path": "tedlium_25272.wav", "duration": 7.74, "text": "region in the world, except with the possible exception of China, where we are not gaining share."}, {"path": "tedlium_25273.wav", "duration": 7.74, "text": "Firstly, the outlook for both the existing home and new housing market segments in Australia and New Zealand is to remain relatively bland."}, {"path": "tedlium_25274.wav", "duration": 7.74, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_25275.wav", "duration": 7.74, "text": "We refer all of you to the company SEC filings for a more detailed discussion of the risk factors that could cause these differences."}, {"path": "tedlium_25276.wav", "duration": 7.74, "text": "organic and the inorganic coming through to help drive that. And as that kind of flows through to earnings,"}, {"path": "tedlium_25277.wav", "duration": 7.74, "text": "As permitted by first-time adoption regulation, the charge associated with the increase in allowances was taken against our equity account."}, {"path": "tedlium_25278.wav", "duration": 7.74, "text": "But the direction is very exciting, and for me, seeing how these new approaches resonate with customers"}, {"path": "tedlium_25279.wav", "duration": 7.74, "text": "but should not be considered superior to, as a substitute for and should be read in conjunction with the GAAP financial measures for the period."}, {"path": "tedlium_25280.wav", "duration": 7.74, "text": "Going forward, we see continued opportunity in examining how customers use the various channels in their shopping journey"}, {"path": "tedlium_25281.wav", "duration": 7.74, "text": "given your -- the number of programs that you've got and given the ability to understand how multiple therapies can be used into the future,"}, {"path": "tedlium_25282.wav", "duration": 7.74, "text": "We expect our new insurance written will stabilize around that level, with potential for modest growth over the next 12 to 18 months."}, {"path": "tedlium_25283.wav", "duration": 7.74, "text": "while EBITDA margins increased by 50 basis points at the midpoint to a new range of flat"}, {"path": "tedlium_25284.wav", "duration": 7.74, "text": "We also anticipate stronger transient demand and remain positive about the outlook for the rest of the year."}, {"path": "tedlium_25285.wav", "duration": 7.74, "text": "of our sales and service teams, our product strength and financial performance, and I appreciate the great work of our Paychex employee team."}, {"path": "tedlium_25286.wav", "duration": 7.74, "text": "is the very, very large industrial gas projects around the world driven by demand for more energy,"}, {"path": "tedlium_25287.wav", "duration": 7.74, "text": "they appreciate the differentiation, or is this a market where we're going to have to think about deep discounts to get preferred status?"}, {"path": "tedlium_25288.wav", "duration": 7.74, "text": "because we have so many variable components, like our fixed income business, that make it hard to ever reconcile back to that."}, {"path": "tedlium_25289.wav", "duration": 7.74, "text": "our investment in Nashville in the music industry and the bankers that have come on board to help us build that business."}, {"path": "tedlium_25290.wav", "duration": 7.74, "text": "for the future of DST. And we're confident we have the right strategy in place and the right team executing to deliver on our objectives."}, {"path": "tedlium_25291.wav", "duration": 7.74, "text": "These forward-looking statements are subject to known and unknown risks and uncertainties and other factors as well as general economic conditions."}, {"path": "tedlium_25292.wav", "duration": 7.74, "text": "We continue to work cooperatively with the permitting authorities, state agencies, elected officials and the public to bring these projects into service."}, {"path": "tedlium_25293.wav", "duration": 7.74, "text": "But we believe we can still talk to this via our medical liaisons based on"}, {"path": "tedlium_25294.wav", "duration": 7.74, "text": "We value Anthem as a client, and we very much would like to continue working with them for the long term."}, {"path": "tedlium_25295.wav", "duration": 7.74, "text": "namely lower input cost, manufacturing cost savings and higher capacity utilization."}, {"path": "tedlium_25296.wav", "duration": 7.74, "text": "On the flip side of all that, I continue to be very impressed with our entire sales support team"}, {"path": "tedlium_25297.wav", "duration": 7.74, "text": "as well business and financial meetings has increased substantially in 2018 already and with global reach."}, {"path": "tedlium_25298.wav", "duration": 7.74, "text": "the post-acute management risk of these patients off of their plate. We believe that, that"}, {"path": "tedlium_25299.wav", "duration": 7.74, "text": "Should we expect for the full year that you can keep growing double digits, obviously, understanding you're going to have 1 less week next year than you did this year?"}, {"path": "tedlium_25300.wav", "duration": 7.74, "text": "we could be facing a more moderate growth in U.S. shale production in the coming years than what the most optimistic views have been suggesting."}, {"path": "tedlium_25301.wav", "duration": 7.74, "text": "The impact of spread widening was cushioned by our modest leverage and by the overall resiliency of our credit-focused portfolio,"}, {"path": "tedlium_25302.wav", "duration": 7.74, "text": "I think it'd be too early of a reaction. And again, I want to reiterate. We're still very positive about the Asia growth platform for us."}, {"path": "tedlium_25303.wav", "duration": 7.74, "text": "The same can be said of Diego, who in a short period of time has demonstrated strong leadership and domain expertise."}, {"path": "tedlium_25304.wav", "duration": 7.74, "text": "We continued to make progress in the business segment this quarter, although the challenges mentioned in previous quarters remained."}, {"path": "tedlium_25305.wav", "duration": 7.74, "text": "Cost reductions were quite effective. Are there any special factors,"}, {"path": "tedlium_25306.wav", "duration": 7.74, "text": "but for patients that really realize the full benefit of the drug and then realize the benefits, particularly in the abdominal symptom relief,"}, {"path": "tedlium_25307.wav", "duration": 7.74, "text": "Inventory will probably go up now in the next quarter as we prepare for the big fourth quarter, as many of you who follow us know."}, {"path": "tedlium_25308.wav", "duration": 7.74, "text": "and then I will take the liberty to talk about the progress we have made in implementing our strategy and recent changes"}, {"path": "tedlium_25309.wav", "duration": 7.74, "text": "We have seen some increases in service cost, particularly on the completion side. But we're still comfortable with this range for now."}, {"path": "tedlium_25310.wav", "duration": 7.74, "text": "We've incorporated the modern food attributes millennials value into our iconic brands to reimagine our frozen portfolio."}, {"path": "tedlium_25311.wav", "duration": 7.74, "text": "However, my confidence in our ability to deliver sustainable, profitable growth for investors with this acquisition is unwavering."}, {"path": "tedlium_25312.wav", "duration": 7.74, "text": "And finally, I've spoken in the past about enterprise contracting and our ability to leverage our increasing scale and breadth."}, {"path": "tedlium_25313.wav", "duration": 7.74, "text": "That begets inflation. It drives up our raw materials in that market, and we've got to get pricing to offset that, which we're doing"}, {"path": "tedlium_25314.wav", "duration": 7.74, "text": "down modestly worse year-on-year than the third quarter simply because the fourth quarter comps of last year included"}, {"path": "tedlium_25315.wav", "duration": 7.74, "text": "as a chemical feedstock. The world is short on propylene and more and more of our customers are investing"}, {"path": "tedlium_25316.wav", "duration": 7.74, "text": "the number is lower because Berkeley Point carries with it a lower compensation ratio because it's a different kind of business."}, {"path": "tedlium_25317.wav", "duration": 7.74, "text": "we actually had a sales decline from Q2 to Q3. And then the second reason is that we did have some"}, {"path": "tedlium_25318.wav", "duration": 7.74, "text": "that market would weaken up a little bit and it did. We think longer term, we think Lighting continues to be a positive market"}, {"path": "tedlium_25319.wav", "duration": 7.74, "text": "In general the advisors, and if you relate specifically to the advisors that are"}, {"path": "tedlium_25320.wav", "duration": 7.74, "text": "Our second strategic priority is to execute on acquisitions at post-synergy multiples that are well below our trading multiple."}, {"path": "tedlium_25321.wav", "duration": 7.74, "text": "And I am certain, more certain than ever, that there is a significant opportunity for Phoenix to generate further value"}, {"path": "tedlium_25322.wav", "duration": 7.74, "text": "Looking to the future, Phoenix is starting from a solid base and is well placed for that future."}, {"path": "tedlium_25323.wav", "duration": 7.74, "text": "as well as our valuation. So there's nothing that we're not going to be looking at per se from a strategic perspective."}, {"path": "tedlium_25324.wav", "duration": 7.74, "text": "And therefore, we had that anticipated in really first half of '17, but that was brought forward a little bit earlier than we anticipated"}, {"path": "tedlium_25325.wav", "duration": 7.74, "text": "of maximum transparency on the acquired companies from day 1. We call it accountability concept."}, {"path": "tedlium_25326.wav", "duration": 7.74, "text": "again, really solid performance. Can you just give us some details on the sources of growth either by geography or initiatives or products?"}, {"path": "tedlium_25327.wav", "duration": 7.74, "text": "and technology showcase that brings together manufacturers, integrators and wireless professionals from across the industry."}, {"path": "tedlium_25328.wav", "duration": 7.74, "text": "improving profitability and delivering higher returns on invested capital is definitely gaining momentum."}, {"path": "tedlium_25329.wav", "duration": 7.74, "text": "We are also expanding our advisory platform and product offerings as well as working to increase our number of investment advisers."}, {"path": "tedlium_25330.wav", "duration": 7.74, "text": "That's real money in the pockets of the middle market that will positively impact our ability to recruit people as well as make sales."}, {"path": "tedlium_25331.wav", "duration": 7.74, "text": "The structured way that we're approaching helping our clients structuring the way we deliver our advice"}, {"path": "tedlium_25332.wav", "duration": 7.74, "text": "related to estimated losses for litigation matters partially offset by Sandpiper asset liquidation gains."}, {"path": "tedlium_25333.wav", "duration": 7.74, "text": "We received initial responses from numerous potential buyers and received multiple indicative bids in mid-September."}, {"path": "tedlium_25334.wav", "duration": 7.74, "text": "While we are still very early in the rollout, we are optimistic about the potential to unlock additional growth with the redesign of our application."}, {"path": "tedlium_25335.wav", "duration": 7.74, "text": "With this payment in full of the surplus notes, the company now no longer needs to obtain the consent"}, {"path": "tedlium_25336.wav", "duration": 7.74, "text": "the clients who are in for the long run don't have to worry about other clients withdrawing and screwing up the cash flow"}, {"path": "tedlium_25337.wav", "duration": 7.74, "text": "reflecting mixed performance in private assets and strength in some public equities and energy-related debt securities."}, {"path": "tedlium_25338.wav", "duration": 7.74, "text": "Within our retirement plan services business, we benefited in 2015 from a number of large projects in our actuarial business."}, {"path": "tedlium_25339.wav", "duration": 7.74, "text": "as well as our ability to make significant investments in new equipment and facilities to support this growth."}, {"path": "tedlium_25340.wav", "duration": 7.7399375, "text": "as a percentage of our total revenues. I think our revenues for services will still be,"}, {"path": "tedlium_25341.wav", "duration": 7.7399375, "text": "We have advanced the process of bringing Lakeland products online, which we view as providing us with opportunities for sales growth"}, {"path": "tedlium_25342.wav", "duration": 7.71, "text": "I think you said it's going to be flat this year. Do you expect Gateways, given the projects that you on"}, {"path": "tedlium_25343.wav", "duration": 7.71, "text": "So we will grow our cardiovascular and vein modalities in all of our markets appropriately."}, {"path": "tedlium_25344.wav", "duration": 7.71, "text": "Sure. Let me start by saying that we're really pleased with the progress we've made in Global Credit. And Look, this is a major strategic"}, {"path": "tedlium_25345.wav", "duration": 7.71, "text": "Second, I think we've proven our thesis that our market is much bigger than international business travelers,"}, {"path": "tedlium_25346.wav", "duration": 7.71, "text": "We were cautiously optimistic but pleased with the increase related to the flu business. We don't want to be known as the company that only"}, {"path": "tedlium_25347.wav", "duration": 7.71, "text": "by kind of -- in some way that virtual capacity that's building and the success our partners are seeing, which we think is really goodness for"}, {"path": "tedlium_25348.wav", "duration": 7.71, "text": "install and operate the platform and get initial workloads on very quickly. We find that if they get the platform operational and"}, {"path": "tedlium_25349.wav", "duration": 7.71, "text": "the basis for filing supplements in the context of having multiple reviews. And maybe if I could elevate just a little bit, I would say that"}, {"path": "tedlium_25350.wav", "duration": 7.71, "text": "We look at returns on investments. So we have significantly over the last few years stepped up our level of advertising. Why? It's working."}, {"path": "tedlium_25351.wav", "duration": 7.71, "text": "Going forward, we have identified and addressed several areas within our billing and collection process that have been enhanced."}, {"path": "tedlium_25352.wav", "duration": 7.71, "text": "We view it as our civic duty after making all necessary preparations and ensuring that safety will not be compromised"}, {"path": "tedlium_25353.wav", "duration": 7.71, "text": "And the charge in the fourth quarter was essentially a full charge-off of an unsecured portion of a loan, so both of those are gone."}, {"path": "tedlium_25354.wav", "duration": 7.71, "text": "more variety in terms of the offering. Customers do expect that they have an opportunity to"}, {"path": "tedlium_25355.wav", "duration": 7.71, "text": "while it might not have a completely fixed rate of predictability, we know that that's ongoing. We've built technology over the last few years that helps"}, {"path": "tedlium_25356.wav", "duration": 7.71, "text": "As a reminder, heavy industry includes sales to agriculture equipment OEMs, which has been a weaker area of the market."}, {"path": "tedlium_25357.wav", "duration": 7.71, "text": "and have entered into an agreement with Colonial Pipeline to improve and upgrade our connection."}, {"path": "tedlium_25358.wav", "duration": 7.71, "text": "and still have a very conservative distribution coverage. So"}, {"path": "tedlium_25359.wav", "duration": 7.71, "text": "and continue to be encouraged by the growth momentum. So getting growth in fourth quarter"}, {"path": "tedlium_25360.wav", "duration": 7.71, "text": "required subjects to attend a clinic or a hospital when they had an attack, necessitating sometimes long delays before treatment."}, {"path": "tedlium_25361.wav", "duration": 7.71, "text": "including use of our integrated Deluxe Marketing Suite across all customers and channels,"}, {"path": "tedlium_25362.wav", "duration": 7.71, "text": "It's just that going into the third quarter we were expecting such a pickup. And I'm just trying to think if there had been"}, {"path": "tedlium_25363.wav", "duration": 7.71, "text": "very good about the progress toward not just getting out the residual expenses but going far beyond that as we grow the company."}, {"path": "tedlium_25364.wav", "duration": 7.71, "text": "is there any way you could give us, I guess, a little bit of guidance on what's expected from that project in 2019? If"}, {"path": "tedlium_25365.wav", "duration": 7.71, "text": "As we were ramping up in Q1, not only did we ramp up their business, but we got them on a"}, {"path": "tedlium_25366.wav", "duration": 7.71, "text": "And if I could ask one follow-up. Can you give us a sense on where you are in your programming renewal cycles"}, {"path": "tedlium_25367.wav", "duration": 7.71, "text": "As we reiterated immediately after the announcement, the partnership continues to execute and focus on completing the growth strategy we have outlined,"}, {"path": "tedlium_25368.wav", "duration": 7.71, "text": "communicate in much more impactful way. And we're looking for ways in some of those medium to small markets"}, {"path": "tedlium_25369.wav", "duration": 7.71, "text": "potentially be able to file this in 2019? Or do you think you might have to do some more"}, {"path": "tedlium_25370.wav", "duration": 7.71, "text": "somewhat universal for the industry that are under-hired right now and doing the very best we can to bring on additional talent"}, {"path": "tedlium_25371.wav", "duration": 7.71, "text": "in order to redeploy the proceeds into first lien loans. This past quarter, we continued to make progress in this effort."}, {"path": "tedlium_25372.wav", "duration": 7.71, "text": "You can also write down your questions on question slips. You have the slips with you at your desk."}, {"path": "tedlium_25373.wav", "duration": 7.71, "text": "All currently approved products treat the symptoms of PAH, but do not address the underlying disease."}, {"path": "tedlium_25374.wav", "duration": 7.71, "text": "to get ready for next year. So, but as of right now, I would tell you that, that would probably be my forecast."}, {"path": "tedlium_25375.wav", "duration": 7.71, "text": "in her report, it was very clear that if we want to have a sustainable postal network going forward,"}, {"path": "tedlium_25376.wav", "duration": 7.71, "text": "We've been able to call upon the full resources of the Clinton Group to support the evaluation of opportunities as they present themselves."}, {"path": "tedlium_25377.wav", "duration": 7.71, "text": "and to continue the company's proven track record of outstanding execution established by Robert over the past 20 years."}, {"path": "tedlium_25378.wav", "duration": 7.71, "text": "We've demonstrated very successfully in a number of provinces that we can effectively manage it as a controlled substance."}, {"path": "tedlium_25379.wav", "duration": 7.71, "text": "that can also cater to the needs of our clients. These partners we have -- will have"}, {"path": "tedlium_25380.wav", "duration": 7.71, "text": "in the very current market situation, that's looking more difficult. So what we said was we'd be a little bit more"}, {"path": "tedlium_25381.wav", "duration": 7.71, "text": "Top line and bottom line results came in ahead of plan, meeting or significantly exceeding expectations in all reporting segments."}, {"path": "tedlium_25382.wav", "duration": 7.71, "text": "how can that integrate with other software assets that you have and how high is that from priority list in terms of technological implementation?"}, {"path": "tedlium_25383.wav", "duration": 7.71, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_25384.wav", "duration": 7.71, "text": "The results contained in the press release issued last night are clear indicators of the changes we have made to the business."}, {"path": "tedlium_25385.wav", "duration": 7.71, "text": "does this improve leverage? Or does it just keep you out of the equity markets? Is there anything that you can share with us on that?"}, {"path": "tedlium_25386.wav", "duration": 7.71, "text": "but this reflects the sale of one of the businesses to golf courses during the previous fiscal year."}, {"path": "tedlium_25387.wav", "duration": 7.71, "text": "issue stock as consideration for the transaction, which is a good tax answer many times for closely held companies. So"}, {"path": "tedlium_25388.wav", "duration": 7.71, "text": "And finally, despite transformation expenses incurred during the third quarter that caused the slight decline in ROE,"}, {"path": "tedlium_25389.wav", "duration": 7.71, "text": "I'm from Trigon. I have a question about the additional provision for general damages."}, {"path": "tedlium_25390.wav", "duration": 7.71, "text": "I would like to share with you some examples. Few weeks ago, we received an order for multiple systems"}, {"path": "tedlium_25391.wav", "duration": 7.71, "text": "regarding the performance of any particular product. As a result, the facility continues to manufacture its full range of products at this time."}, {"path": "tedlium_25392.wav", "duration": 7.71, "text": "We still have important work to do with regard to manufacturing and quality remediation, which is why we are going to stay diligent in these efforts."}, {"path": "tedlium_25393.wav", "duration": 7.71, "text": "And then if you can just walk us through some of the major raw material inputs that you'd be impacted by."}, {"path": "tedlium_25394.wav", "duration": 7.71, "text": "consistent with our commitment to building a book of high quality credit relationships funded largely with customer deposits."}, {"path": "tedlium_25395.wav", "duration": 7.71, "text": "Forward-looking statements include the information concerning possible or assumed future results of operations of the company"}, {"path": "tedlium_25396.wav", "duration": 7.71, "text": "and we look forward to demonstrating the impact the product can have on clinical effectiveness as well as efficiency and productivity."}, {"path": "tedlium_25397.wav", "duration": 7.71, "text": "While a proportion of VATS remained virtually unchanged during the study period, the robotic rate grew as open declined."}, {"path": "tedlium_25398.wav", "duration": 7.71, "text": "Eagle Ford continues to be a growth asset for the company that we expect will contribute premium return production and reserve additions."}, {"path": "tedlium_25399.wav", "duration": 7.71, "text": "we should be able to manage that successfully, so I don't expect to see significant rises in net interest expense for the year."}, {"path": "tedlium_25400.wav", "duration": 7.71, "text": "And that's the very reason why we're doing all this effort on transformation. We have to generate a sensible, competitive"}, {"path": "tedlium_25401.wav", "duration": 7.71, "text": "that has allowed us to be able to get these loans. It is the creativity, it's understanding the market, it's understanding what that developer"}, {"path": "tedlium_25402.wav", "duration": 7.71, "text": "These capabilities allow us to generate attractive investments on a repeatable basis over time."}, {"path": "tedlium_25403.wav", "duration": 7.71, "text": "when we have aggregated a sufficiently large population, and if we believe market conditions are favorable."}, {"path": "tedlium_25404.wav", "duration": 7.71, "text": "debt. That is assuming that the cost stays where it is and doesn't start to go up in base rate or others moving forward,"}, {"path": "tedlium_25405.wav", "duration": 7.71, "text": "So we don't believe that there's too much capacity coming into the market. It's in line with the growth of business and growth of the industry."}, {"path": "tedlium_25406.wav", "duration": 7.71, "text": "Additionally, we divested 2 nonstrategic product lines in the quarter, and we did a third here in the first part of October."}, {"path": "tedlium_25407.wav", "duration": 7.71, "text": "It's terrific to see the acceleration of product revenues unfold in 2017. Our new guidance range for product sales"}, {"path": "tedlium_25408.wav", "duration": 7.71, "text": "in technology and manufacturing. So in the future, there would be some collaboration opportunities."}, {"path": "tedlium_25409.wav", "duration": 7.71, "text": "who introduced exotic Shanghai and Greater China to U.S. readers before World War II and is based on extensive,"}, {"path": "tedlium_25410.wav", "duration": 7.71, "text": "From an economic standpoint, we have seen mixed results in terms of the national economic data released over the past quarter."}, {"path": "tedlium_25411.wav", "duration": 7.71, "text": "lower sales volume in Performance Products and the effects of the unplanned downtime and inflation in logistics costs."}, {"path": "tedlium_25412.wav", "duration": 7.71, "text": "as well as your other markets? I think you kind of lumped them together with auto, and I'm just trying to get a sense of"}, {"path": "tedlium_25413.wav", "duration": 7.71, "text": "Although a new market, our ability to engineer and execute challenging marine operation was crucial"}, {"path": "tedlium_25414.wav", "duration": 7.71, "text": "And as we've noted on a number of occasions, we expect those projects will result in a tripling of CPG's net investment level"}, {"path": "tedlium_25415.wav", "duration": 7.71, "text": "Procurement is somewhat similar story. We started on that quite early. There's a lot we can do there in terms of bringing"}, {"path": "tedlium_25416.wav", "duration": 7.71, "text": "Information contained in these forward-looking statements is based on management's current expectations and is inherently uncertain,"}, {"path": "tedlium_25417.wav", "duration": 7.71, "text": "This was a great opportunity to showcase the AND1 brand with top young players wearing our sneakers."}, {"path": "tedlium_25418.wav", "duration": 7.71, "text": "this is not visible in a lot of banks because this is mostly, that is, a result of"}, {"path": "tedlium_25419.wav", "duration": 7.71, "text": "or more frequently dosed oral formulations for the treatment of Parkinson's disease symptoms and restless leg syndrome."}, {"path": "tedlium_25420.wav", "duration": 7.71, "text": "and contrasted with the somewhat weaker demand environment than what we had previously anticipated for the tank and platform businesses,"}, {"path": "tedlium_25421.wav", "duration": 7.71, "text": "and does not directly reflect the dollar value of expected write-offs, given tangible security held in support of our lending exposure."}, {"path": "tedlium_25422.wav", "duration": 7.71, "text": "particularly in the West as well as continued efforts by dealers and builders to maintain lower product inventories."}, {"path": "tedlium_25423.wav", "duration": 7.71, "text": "You may recall that our Safety Assessment business in Canada recognizes the majority of its revenue in U.S. dollars,"}, {"path": "tedlium_25424.wav", "duration": 7.71, "text": "So the way we view that segment as much as we have over the last few quarters that it's going to be a declining trend."}, {"path": "tedlium_25425.wav", "duration": 7.71, "text": "As we reviewed during our Investor Day in May, you should expect us to return over time to a capital allocation"}, {"path": "tedlium_25426.wav", "duration": 7.71, "text": "All the things that we talked about a year ago that we wanted to accomplish for that business, we're seeing them really get traction in all those areas."}, {"path": "tedlium_25427.wav", "duration": 7.71, "text": "and get some -- get more than our fair share of the market growth by applying the technologies."}, {"path": "tedlium_25428.wav", "duration": 7.71, "text": "or what Red Dead was expected to do in the fall, it's going to suck some dollars away from some of the other games. So"}, {"path": "tedlium_25429.wav", "duration": 7.71, "text": "Our best estimate is that more than 5 million antennas will eventually be installed to provide complete 5G coverage."}, {"path": "tedlium_25430.wav", "duration": 7.71, "text": "collected a few more records to display in our trophy case and set our sights squarely on the remaining work we must do to continue to drive growth"}, {"path": "tedlium_25431.wav", "duration": 7.71, "text": "and favorable FX on foreign currency sales also contributed to the overall increase in revenue."}, {"path": "tedlium_25432.wav", "duration": 7.71, "text": "business acumen and strategic expertise have helped Cable ONE evolved into a leading broadband communications provider."}, {"path": "tedlium_25433.wav", "duration": 7.71, "text": "And it's really nothing more than the fact that under 50, we're -- we were"}, {"path": "tedlium_25434.wav", "duration": 7.71, "text": "I believe this partnership will help even better position us to execute on our strategic priorities, and I'm very excited to have Michael join our board."}, {"path": "tedlium_25435.wav", "duration": 7.71, "text": "And given the already uncertain macro, it was interesting for us to test it in such fashion."}, {"path": "tedlium_25436.wav", "duration": 7.71, "text": "The realignment is also creating significant reductions in our operating costs, with further enhancements on the drilling board."}, {"path": "tedlium_25437.wav", "duration": 7.71, "text": "There have been no new developments and as of today, service of the initiating papers in these actions has not been made on the company."}, {"path": "tedlium_25438.wav", "duration": 7.71, "text": "By raising this additional capital, we positioned ourselves to continue clinical and manufacturing activities"}, {"path": "tedlium_25439.wav", "duration": 7.71, "text": "where there is a question around the financial situations of the customers, but also about the valuation of the current asset."}, {"path": "tedlium_25440.wav", "duration": 7.71, "text": "which provides us with a visible cash flow steam to execute on our current development plan while minimizing the need to lean on our balance sheet."}, {"path": "tedlium_25441.wav", "duration": 7.71, "text": "We believe that the implementation of our standardized in-store operating procedures and brand standards across our store base,"}, {"path": "tedlium_25442.wav", "duration": 7.71, "text": "probably down low-single digits in the first part of January when we had that consistently mild weather that we saw also in December."}, {"path": "tedlium_25443.wav", "duration": 7.71, "text": "business, and we have more to do to take cost and scale and quality out of this."}, {"path": "tedlium_25444.wav", "duration": 7.71, "text": "So we see that really as a key driver from a marketing perspective of, I'll say, a, bringing a lot more members into our ecosystem."}, {"path": "tedlium_25445.wav", "duration": 7.71, "text": "give us your thoughts as to why these things would be happening that you'd be above your long-term margin target"}, {"path": "tedlium_25446.wav", "duration": 7.71, "text": "Their comments will be based on the earnings release, which was issued yesterday. A copy of the long version is available on the corporate website."}, {"path": "tedlium_25447.wav", "duration": 7.71, "text": "Restructuring as opposed to defensive restructuring. And as we move into an offensive structuring, we think about how do we make our company even"}, {"path": "tedlium_25448.wav", "duration": 7.71, "text": "That is something that obviously is very much depending on the reference of the turnover, turnover with our current"}, {"path": "tedlium_25449.wav", "duration": 7.71, "text": "But how is it possible that people still insisting losing money? In practical terms as acquiring"}, {"path": "tedlium_25450.wav", "duration": 7.71, "text": "We just want to be clear that it's the inventory in the channel and it was combined with that drought in the early stages of the"}, {"path": "tedlium_25451.wav", "duration": 7.71, "text": "And we're currently working through the preclinical studies for the data package that will be used to determine our readiness for our first-in-human trial."}, {"path": "tedlium_25452.wav", "duration": 7.71, "text": "number three, you have nuclear plants upstate that while they're being supported now by this concept of ZECs, zero energy credits,"}, {"path": "tedlium_25453.wav", "duration": 7.71, "text": "So we are not yet out of the big issues we have had in the Americas, but at least we see"}, {"path": "tedlium_25454.wav", "duration": 7.71, "text": "It is my deep belief that corporate strategy is a movie and not a photo."}, {"path": "tedlium_25455.wav", "duration": 7.71, "text": "I think the good news on nutrition is that the improvement here in the second quarter is fairly broad-based."}, {"path": "tedlium_25456.wav", "duration": 7.71, "text": "mandated government discounts and the discounts that we expect to be earned on our volume-based contracts with providers"}, {"path": "tedlium_25457.wav", "duration": 7.71, "text": "a mix of different requirements that we really have to fulfill. One of the aspects that was really important for me is the"}, {"path": "tedlium_25458.wav", "duration": 7.71, "text": "Got it. And are there other things that you can point out specifically as far as the areas where you're seeing the decreases"}, {"path": "tedlium_25459.wav", "duration": 7.71, "text": "there was some risk there in our ability to exit assets at that coverage. And so we said, we'll give you that rent cut now,"}, {"path": "tedlium_25460.wav", "duration": 7.71, "text": "completing our pivotal donepezil study, with treatment finishing in February and top line data in the second calendar quarter,"}, {"path": "tedlium_25461.wav", "duration": 7.71, "text": "that we will face a real capacity crisis in the air because it takes longer and longer"}, {"path": "tedlium_25462.wav", "duration": 7.71, "text": "Just as we remain as busy as ever at corporate trying to build a larger, more efficient and more profitable company,"}, {"path": "tedlium_25463.wav", "duration": 7.71, "text": "It's important to note that the projects we are gearing up for redevelopment are creating over a 100 basis point drag on occupancy,"}, {"path": "tedlium_25464.wav", "duration": 7.71, "text": "more should be seen I guess over the next year or so and if there's additional opportunities for cost savings going forward?"}, {"path": "tedlium_25465.wav", "duration": 7.71, "text": "I would imagine your pension liabilities will grow given the interest rates -- interest rate environment that we're in."}, {"path": "tedlium_25466.wav", "duration": 7.71, "text": "We're also working in parallel with our clinical CRO, that is our full contract research organization,"}, {"path": "tedlium_25467.wav", "duration": 7.71, "text": "Our commercial efforts are now fully allocated to the new business model, and the results just described are extremely encouraging."}, {"path": "tedlium_25468.wav", "duration": 7.71, "text": "This project has been developed collaboratively with our client for the past year and will utilize primarily nonunion labor."}, {"path": "tedlium_25469.wav", "duration": 7.71, "text": "the bar continues to rise each time you take a layer of these off. So now that the team is focused on a fewer, more meaningful set,"}, {"path": "tedlium_25470.wav", "duration": 7.71, "text": "In the first quarter, we experienced similarly unfavorable market conditions, intensified by additional cost pressure"}, {"path": "tedlium_25471.wav", "duration": 7.71, "text": "we expect all board members to serve out their current terms, and that includes"}, {"path": "tedlium_25472.wav", "duration": 7.71, "text": "which impacts our revenue, but is ultimately a positive development for our clients and for our PEO prospects."}, {"path": "tedlium_25473.wav", "duration": 7.71, "text": "Also, because our service teams work closely with our clients, we monitor various other metrics and operating statistics"}, {"path": "tedlium_25474.wav", "duration": 7.71, "text": "market reflection of where they think short-term LIBOR is going over the 12 months. But during that 12-month period, for those particular"}, {"path": "tedlium_25475.wav", "duration": 7.71, "text": "as the industrial markets represent a breadth of product opportunities for us, both through organic market penetration, potential acquisitions and"}, {"path": "tedlium_25476.wav", "duration": 7.71, "text": "But as I mentioned earlier, I think our target growth model of midteens will have a combination of"}, {"path": "tedlium_25477.wav", "duration": 7.71, "text": "gotten done, particularly in the auto sector and the spreads in that market have not widened"}, {"path": "tedlium_25478.wav", "duration": 7.7099375, "text": "We've been supporting our online ordering through marketing efforts such as our Leap the Line promotion on Leap Day this February."}, {"path": "tedlium_25479.wav", "duration": 7.7099375, "text": "and increased mobile data allowances. We expect to benefit from better profitability and higher customer loyalty."}, {"path": "tedlium_25480.wav", "duration": 7.7099375, "text": "what will be the impact or how they will ultimately proceed. They're trying to figure that out. So we recognize that is very uncertain."}, {"path": "tedlium_25481.wav", "duration": 7.6800625, "text": "And in connection with adopting the new standard on revenue recognition, the company will now record universal service"}, {"path": "tedlium_25482.wav", "duration": 7.6800625, "text": "was approximately 1%. This is a significant accomplishment, and we feel we are well positioned for continued"}, {"path": "tedlium_25483.wav", "duration": 7.68, "text": "So the orders in the third quarter were related to other parts in those"}, {"path": "tedlium_25484.wav", "duration": 7.68, "text": "As usual, this conference call will be recorded and is available for replay. Let me now hand over to you, Gregor."}, {"path": "tedlium_25485.wav", "duration": 7.68, "text": "Good afternoon. My name is Jackie, and I will be your conference operator today."}, {"path": "tedlium_25486.wav", "duration": 7.68, "text": "are looking forward to a nice, easy year with minimal challenges and hopefully more opportunities."}, {"path": "tedlium_25487.wav", "duration": 7.68, "text": "including those associated with our avacopan commercialization planning efforts and increased professional fees."}, {"path": "tedlium_25488.wav", "duration": 7.68, "text": "That's the key, right? And so that's why we're doing a couple of wells this year to make sure that our thesis on how to do that accurately"}, {"path": "tedlium_25489.wav", "duration": 7.68, "text": "However, our focus on generating liquidity this year has impacted overall profitability."}, {"path": "tedlium_25490.wav", "duration": 7.68, "text": "So from the numbers we've seen this year, they're getting back to 80% of the unit volume on the client side of the previous peak."}, {"path": "tedlium_25491.wav", "duration": 7.68, "text": "These and other efforts culminated in several critical accomplishments over the past 12 months"}, {"path": "tedlium_25492.wav", "duration": 7.68, "text": "tilting towards proactive investment in terms of footprint expansion, product enhancement and infrastructure build"}, {"path": "tedlium_25493.wav", "duration": 7.68, "text": "and we did it while maintaining a relentless focus on the financial health and well-being of the company."}, {"path": "tedlium_25494.wav", "duration": 7.68, "text": "pass on that 30% or so to the driver? And can you talk to some of the other cost savings and how they might temper that outlook?"}, {"path": "tedlium_25495.wav", "duration": 7.68, "text": "you, and I'm showing no further questions at this time. I would now like to turn the call back to Mr. Daniel Harris for closing remarks."}, {"path": "tedlium_25496.wav", "duration": 7.68, "text": "we calculate the last full quarter of run rate revenue and annualize to determine the adverse impact on revenue over the next 12 months."}, {"path": "tedlium_25497.wav", "duration": 7.68, "text": "And also another scene in the video, you might have much balance and you might not use and then you can buy"}, {"path": "tedlium_25498.wav", "duration": 7.68, "text": "The stability and quality of content through these locations is higher, which improves customer experience."}, {"path": "tedlium_25499.wav", "duration": 7.68, "text": "Sentiment among our customers and suppliers remains relatively stable, but there is still a fair amount of broader market uncertainty."}, {"path": "tedlium_25500.wav", "duration": 7.68, "text": "the subordinate securities on the single borrower hotel deals. I was wondering if you could give a little bit more color on"}, {"path": "tedlium_25501.wav", "duration": 7.68, "text": "Turning now to our Consumer business and the evolution of our growth by quarters and for the full year."}, {"path": "tedlium_25502.wav", "duration": 7.68, "text": "Our Omni-channel approach provides us with a low-cost way to reach new customers and strengthen relationships with existing customers."}, {"path": "tedlium_25503.wav", "duration": 7.68, "text": "What we did was take some of the activities that we had been doing outside, move them inside under a great leader,"}, {"path": "tedlium_25504.wav", "duration": 7.68, "text": "knowledge, just because I know that some of the sites we had toured a couple of years ago, was a question, of some of the stores needed to be refreshed, but some of them"}, {"path": "tedlium_25505.wav", "duration": 7.68, "text": "Not a surprise that it will happen, always a surprise when it happens because it's very difficult to time these things."}, {"path": "tedlium_25506.wav", "duration": 7.68, "text": "We are in a very strong position in our view given the fact that we focus exclusively on these kind of food"}, {"path": "tedlium_25507.wav", "duration": 7.68, "text": "is one of our October openings in Mississippi, which was among the strongest initial performances this year."}, {"path": "tedlium_25508.wav", "duration": 7.68, "text": "And then you have other people in the beauty and be rated like we are on the debt side of the equation, which is"}, {"path": "tedlium_25509.wav", "duration": 7.68, "text": "historically, efficient mechanisms to do that. So tax reform does not change that in any significant way."}, {"path": "tedlium_25510.wav", "duration": 7.68, "text": "This is a net reclassification in both years between the operating and financing sections of our cash flow statement."}, {"path": "tedlium_25511.wav", "duration": 7.68, "text": "good housekeeping seal of approval for pipe transactions. A single joint of OCTG pipe may be inspected several times through its life."}, {"path": "tedlium_25512.wav", "duration": 7.68, "text": "products, services and our brand in order to position ourselves for sustainable revenue growth"}, {"path": "tedlium_25513.wav", "duration": 7.68, "text": "Okay. Any tariff issues presenting any headwinds for you guys at all at this point?"}, {"path": "tedlium_25514.wav", "duration": 7.68, "text": "In order to avoid a repeat of what happened in the first quarter, we have re-prioritized and accelerated improvements"}, {"path": "tedlium_25515.wav", "duration": 7.68, "text": "by reentering and completing 1 or 2 of the previously drilled exploration wells and drilling a new well"}, {"path": "tedlium_25516.wav", "duration": 7.68, "text": "So they're -- inside holders have ownership both of Ares through a private partnership as well as"}, {"path": "tedlium_25517.wav", "duration": 7.68, "text": "Today, I will reiterate our incremental growth objectives and give you a progress report on these initiatives."}, {"path": "tedlium_25518.wav", "duration": 7.68, "text": "how soon till that might get to the point that it could offset the losses from the continuing FDA trials here?"}, {"path": "tedlium_25519.wav", "duration": 7.68, "text": "At INOMAX, growth continues to be driven by strong demand and contract renewals at or above historic levels,"}, {"path": "tedlium_25520.wav", "duration": 7.68, "text": "Why are you suggesting that improvement wouldn't happen until back half of the year? It seems as if,"}, {"path": "tedlium_25521.wav", "duration": 7.68, "text": "but also means that any organic or acquisition growth that occurs becomes purely accretive rather than replacement type in nature."}, {"path": "tedlium_25522.wav", "duration": 7.68, "text": "to better utilize our facilities and lower our overall cost, and we are on track to close that operation by year-end."}, {"path": "tedlium_25523.wav", "duration": 7.68, "text": "just sort of looking at the results this morning and listening to some of your commentary, I'm not sure I have a full understanding of kind of what"}, {"path": "tedlium_25524.wav", "duration": 7.68, "text": "I think the best person to answer that question would be Brian Kaspar. And, Brian, maybe you can just give a little perspective on"}, {"path": "tedlium_25525.wav", "duration": 7.68, "text": "I don't know if churn will ever go to 0. I can tell you our goal as a company is to be as flat as we can and also grow."}, {"path": "tedlium_25526.wav", "duration": 7.68, "text": "On the cost side, it's a matter of continuing the excellent leadership that we have in that area."}, {"path": "tedlium_25527.wav", "duration": 7.68, "text": "as said a couple of times already today, our dividend policy remains unchanged. We aim to pay progressive dividends"}, {"path": "tedlium_25528.wav", "duration": 7.68, "text": "were always already taken into account in the adjusted net debt that we used to calculate the leverage on."}, {"path": "tedlium_25529.wav", "duration": 7.68, "text": "We expect premium games to be an ongoing area of growth in terms of installations and daily win per unit going forward."}, {"path": "tedlium_25530.wav", "duration": 7.68, "text": "Mining sales were up in the quarter both year-over-year and sequentially as maintenance spending continues to improve."}, {"path": "tedlium_25531.wav", "duration": 7.68, "text": "and how we are committed to our mission to build one of the great and enduring companies in all of biotechnology."}, {"path": "tedlium_25532.wav", "duration": 7.68, "text": "We've got a balanced mix of male and female patients with both switch and previously untreated patients, who have amenable variance."}, {"path": "tedlium_25533.wav", "duration": 7.68, "text": "While we've had challenges related to our offshore businesses, there is some cause for optimism that we're at or very near a bottoming activity."}, {"path": "tedlium_25534.wav", "duration": 7.68, "text": "Yes. Abengoa has publicly said that they have launched a process"}, {"path": "tedlium_25535.wav", "duration": 7.68, "text": "The only other factor that is relevant is really the fact that we have done a lot of value"}, {"path": "tedlium_25536.wav", "duration": 7.68, "text": "innovate and create a new strategy that will ensure our growth for the future. Going forward, Steve has embraced his new role as Executive Chairman."}, {"path": "tedlium_25537.wav", "duration": 7.68, "text": "More importantly, all 3 organizations have identified significant market upsides that are available through collaboration."}, {"path": "tedlium_25538.wav", "duration": 7.68, "text": "We also began subadvising a corporate hybrid preferred securities fund for Shinsei Investment Management"}, {"path": "tedlium_25539.wav", "duration": 7.68, "text": "At the same time, we continue to make every effort to preserve and improve our position on more challenging credits."}, {"path": "tedlium_25540.wav", "duration": 7.68, "text": "As a reminder, we use 2 non-GAAP measures to supplement our GAAP results and to provide a better view of our operations."}, {"path": "tedlium_25541.wav", "duration": 7.68, "text": "It comes in the form of technology overlays that are able to complement the core EHR system and then infrastructure."}, {"path": "tedlium_25542.wav", "duration": 7.68, "text": "And then lastly, institutionally, there's absolutely no question that with negative interest rates globally,"}, {"path": "tedlium_25543.wav", "duration": 7.68, "text": "certainly speak to the demand for that super spec as you guys have been talking about for a long time. I guess, I'm curious what"}, {"path": "tedlium_25544.wav", "duration": 7.68, "text": "Before I turn the call back to Mark for his concluding remarks, let me provide an update on several other financial matters."}, {"path": "tedlium_25545.wav", "duration": 7.68, "text": "So we really haven't seen a significant increase in new origination loan pricing."}, {"path": "tedlium_25546.wav", "duration": 7.68, "text": "Okay. That's helpful. And you're expecting to give us more color on that over the next couple of quarters? Is that what you said?"}, {"path": "tedlium_25547.wav", "duration": 7.68, "text": "The Americas design business returned to positive organic growth, which is a significant turning point for our largest profit driver"}, {"path": "tedlium_25548.wav", "duration": 7.68, "text": "It will be proportionately smaller and potentially actually smaller as we go forward."}, {"path": "tedlium_25549.wav", "duration": 7.68, "text": "feel fortunate to have, would like to maintain and use, we feel, as a competitive advantage to drive low-cost financing against the assets."}, {"path": "tedlium_25550.wav", "duration": 7.68, "text": "progress side, can you give us a little color as to where you are? And you implied that there were going to be some product"}, {"path": "tedlium_25551.wav", "duration": 7.68, "text": "on online estate agents, can you give us any numbers in terms of the proportion of listings that"}, {"path": "tedlium_25552.wav", "duration": 7.68, "text": "I really wouldn't add anything other than just in its most simple form. We provide the tons the customer needs."}, {"path": "tedlium_25553.wav", "duration": 7.68, "text": "On the horizon though we've got all of this Cardium that's just now starting to come to fruition. And as we direct"}, {"path": "tedlium_25554.wav", "duration": 7.68, "text": "We focused on idea generation, idea capture and idea implementation to improve"}, {"path": "tedlium_25555.wav", "duration": 7.68, "text": "This good results allowed us to sustain our investment efforts in line with our full year guidance"}, {"path": "tedlium_25556.wav", "duration": 7.68, "text": "is trying to use the inventory we already have to drive sales more effectively and efficiently. And then"}, {"path": "tedlium_25557.wav", "duration": 7.68, "text": "So that just sort of reinforces the need to have a great footprint. But they'll be smaller. I mean, that's really what it's going to be about. And"}, {"path": "tedlium_25558.wav", "duration": 7.68, "text": "Additionally, in September, our website was relaunched with an enhanced functionality and a refreshed appearance."}, {"path": "tedlium_25559.wav", "duration": 7.68, "text": "I think you would not appreciate if the payout ratio would jump around every year, if the dividend would jump around every year."}, {"path": "tedlium_25560.wav", "duration": 7.68, "text": "integration is a strategic priority for our customers because without it, they can't move fast enough on their customer-facing systems. So"}, {"path": "tedlium_25561.wav", "duration": 7.68, "text": "as we start to dose those patients. And then we'll let that information guide us as to where we go with increased doses."}, {"path": "tedlium_25562.wav", "duration": 7.68, "text": "but also to kind of withstand any kind of ups and downs with the market, I think we look really, really good. So we continue to kind of make that point that"}, {"path": "tedlium_25563.wav", "duration": 7.68, "text": "While recent coffee market entrants have chosen to capitalize on delivery combined with heavily discounted offers,"}, {"path": "tedlium_25564.wav", "duration": 7.68, "text": "and in our action plans to resume the level of consistent profitable growth that both you and we expect."}, {"path": "tedlium_25565.wav", "duration": 7.68, "text": "Before I turn the call over to Juan, I would like to remind everyone that this presentation is proprietary and all rights are reserved."}, {"path": "tedlium_25566.wav", "duration": 7.68, "text": "following the explosion of Antofagasta package explosive plant in Chile, we conducted a complete safety review of all plants in the region."}, {"path": "tedlium_25567.wav", "duration": 7.68, "text": "We will invest in quality to enhance our products and services and maintain our group's greatest revenue platform."}, {"path": "tedlium_25568.wav", "duration": 7.68, "text": "but we definitely will devote a lot of time to answer those questions as soon as possible."}, {"path": "tedlium_25569.wav", "duration": 7.68, "text": "is no longer present in the company. So it makes sense for us to more aggressively seek downstream participation"}, {"path": "tedlium_25570.wav", "duration": 7.68, "text": "warranties and reps and expectations from dealers and pricing with dealers and pricing with customers"}, {"path": "tedlium_25571.wav", "duration": 7.68, "text": "I'd appreciate if you take my questions and do something about them, okay? Well, we're redoubling our efforts"}, {"path": "tedlium_25572.wav", "duration": 7.68, "text": "push us in the other direction, i.e., the relative share of oil and gas business compared to everything else in Sulzer is"}, {"path": "tedlium_25573.wav", "duration": 7.68, "text": "please be a little bit more patient if you can. We will come back to you when we have some more to share with you. And we will do so as soon as we can."}, {"path": "tedlium_25574.wav", "duration": 7.68, "text": "The malware incident has created a headwind, and I would say it does make that target a little bit tougher as we talked a little bit about some of the third quarter"}, {"path": "tedlium_25575.wav", "duration": 7.68, "text": "needing to book and ship this year. And while they're very optimistic about it and aggressively going out there,"}, {"path": "tedlium_25576.wav", "duration": 7.68, "text": "Last quarter, we implemented a different format for our quarterly conference call to reserve more time for your questions."}, {"path": "tedlium_25577.wav", "duration": 7.68, "text": "Charles will review the quarterly results, Blake will review recent strategic and operating initiatives. And after that, we'll open the call to the questions."}, {"path": "tedlium_25578.wav", "duration": 7.68, "text": "people resources and dollar resources into the point at which that becomes a front-burner item for us."}, {"path": "tedlium_25579.wav", "duration": 7.68, "text": "A total of 40 eligible patients with moderate to severely active ulcerative colitis were enrolled across the 3 cohorts"}, {"path": "tedlium_25580.wav", "duration": 7.68, "text": "that are outlined in the inter-agency statement. We don't -- I don't want to give out what our percentages are"}, {"path": "tedlium_25581.wav", "duration": 7.68, "text": "and actual performance and results may differ materially from those expressed or implied in these statements due to many important factors."}, {"path": "tedlium_25582.wav", "duration": 7.68, "text": "We also continue to build our bolt-on acquisition funnel for businesses that have earned the right to grow, primarily within Water Quality Systems."}, {"path": "tedlium_25583.wav", "duration": 7.68, "text": "We're benefiting from improved agent productivity in life sales in the home service companies as well as higher sales in Reserve National."}, {"path": "tedlium_25584.wav", "duration": 7.68, "text": "Organic growth remained strong, but diving just a little bit deeper into the sources of our growth, it was broad-based."}, {"path": "tedlium_25585.wav", "duration": 7.68, "text": "price going forward, to the extent we're going to talk about it for '16. And then Jim, I think, he'll give you a little deeper dive on Industrial and our thoughts."}, {"path": "tedlium_25586.wav", "duration": 7.68, "text": "in which we are doing to drive total shareholder return for a broader investor base. So much, much more to come here."}, {"path": "tedlium_25587.wav", "duration": 7.68, "text": "Both actions will comfortably allow us to accommodate the special distribution using our revolving credit facility."}, {"path": "tedlium_25588.wav", "duration": 7.68, "text": "We've noted strong sales activity at the project over the last few months, with 21 new bound contracts received since March"}, {"path": "tedlium_25589.wav", "duration": 7.68, "text": "initially thought when we were talking about this originally. And so the fact that we're affirming"}, {"path": "tedlium_25590.wav", "duration": 7.68, "text": "We also continued to make good progress in leveraging our personnel and general administrative costs as a function of our net revenues,"}, {"path": "tedlium_25591.wav", "duration": 7.68, "text": "the dynamic that's taken place with that demographic is tantamount to product dumping."}, {"path": "tedlium_25592.wav", "duration": 7.68, "text": "talk a little bit about the cash flow and how quickly you think that working capital move can reverse."}, {"path": "tedlium_25593.wav", "duration": 7.68, "text": "As we've described in prior calls, the declines in sales in the legacy Iglo markets have been driven by"}, {"path": "tedlium_25594.wav", "duration": 7.68, "text": "in January of 2013, a few weeks after our presentation. Look at what they've said to their investors, look at the impact that it's had on the stock price."}, {"path": "tedlium_25595.wav", "duration": 7.68, "text": "clawing back and are getting closer to the 30% going into the third quarter,"}, {"path": "tedlium_25596.wav", "duration": 7.68, "text": "We also continued to experience steady and strong adjusted EBITDA growth and margin expansion."}, {"path": "tedlium_25597.wav", "duration": 7.68, "text": "through signing customers because they like the functionality that we have particularly with the PSCU technology laying over the top. So"}, {"path": "tedlium_25598.wav", "duration": 7.68, "text": "And then we don't break out the detail of international, as I mentioned. Most of the fourth quarter decline was driven by capital markets,"}, {"path": "tedlium_25599.wav", "duration": 7.68, "text": "really detrimental effect on the margins at this point in time, the chain margin. And I think that really speaks to the demand"}, {"path": "tedlium_25600.wav", "duration": 7.68, "text": "While I'm pleased with this performance, I will update you later on the work we're doing to further improve upon this."}, {"path": "tedlium_25601.wav", "duration": 7.68, "text": "Looking at the operational highlights, we can see that strategy is continuing to be rolled out and implemented."}, {"path": "tedlium_25602.wav", "duration": 7.68, "text": "is there any way you can quantify at least the Easter effect in this month? Because I believe in previous years, you've said that the Easter is"}, {"path": "tedlium_25603.wav", "duration": 7.68, "text": "because we want to retain our financial flexibility in order to face one"}, {"path": "tedlium_25604.wav", "duration": 7.68, "text": "in Japan and Korea and other places. So there are great areas for us to continue to grow out there in the Asia area."}, {"path": "tedlium_25605.wav", "duration": 7.68, "text": "We hope to present these interim results at an upcoming symposium on genitourinary cancers"}, {"path": "tedlium_25606.wav", "duration": 7.68, "text": "ways to do this and are comfortable that we have found one that is potent and durable."}, {"path": "tedlium_25607.wav", "duration": 7.68, "text": "make them more intuitive, if we have something in the patient's history, even if they weren't our patient at the time, that we're able to get and understand,"}, {"path": "tedlium_25608.wav", "duration": 7.68, "text": "It's also true we've not yet come close to realizing the potential of such a facility."}, {"path": "tedlium_25609.wav", "duration": 7.68, "text": "Did I hear you right that you are planning to be at full utilization there by the end of this year?"}, {"path": "tedlium_25610.wav", "duration": 7.68, "text": "for next year, I would anticipate it to be a little bit north of that, just because we obviously won't have the benefit of the onetime item"}, {"path": "tedlium_25611.wav", "duration": 7.68, "text": "The revenue share between the 2 entities remains subject to completion of a transfer pricing study and subsequent negotiation,"}, {"path": "tedlium_25612.wav", "duration": 7.68, "text": "we had sold significantly -- or not significantly but higher basis levels and index values than we did all of last year, which was very weak."}, {"path": "tedlium_25613.wav", "duration": 7.68, "text": "and look to kind of partner with them to bring that solution in. That obviously dramatically simplifies all of the things that we have to deal with, right?"}, {"path": "tedlium_25614.wav", "duration": 7.68, "text": "Several new products were introduced in the quarter, including a generic allergy treatment using our nasal spray system."}, {"path": "tedlium_25615.wav", "duration": 7.68, "text": "We have a rich set of opportunities in Advanced Packaging and the right set of products to effectively compete,"}, {"path": "tedlium_25616.wav", "duration": 7.68, "text": "There, you've got a strong town center, a fantastic park and open space and playground at the heart of that community,"}, {"path": "tedlium_25617.wav", "duration": 7.68, "text": "higher aircraft maintenance and modification services and passenger transportation services, primarily for the Defense Department,"}, {"path": "tedlium_25618.wav", "duration": 7.68, "text": "So that's generally been the trend. As to what might be the impact on that going forward with the introduction of,"}, {"path": "tedlium_25619.wav", "duration": 7.68, "text": "absolutely critical. So we find ourselves actually working more and more with market partners in ways to sort of come up with new and innovative solutions,"}, {"path": "tedlium_25620.wav", "duration": 7.68, "text": "are we -- should we start thinking that you might not be producing as much top line going forward organically because of a reaction to a soft market?"}, {"path": "tedlium_25621.wav", "duration": 7.68, "text": "The format of the call will be an introduction by Barry, then Simon will provide details on the financials. We will then have time for questions."}, {"path": "tedlium_25622.wav", "duration": 7.68, "text": "And if you go a step further and where our catalog in our products going to go over the next year or so,"}, {"path": "tedlium_25623.wav", "duration": 7.68, "text": "Another important aspect was for us the location offers enough opportunity for further growth in the following years"}, {"path": "tedlium_25624.wav", "duration": 7.68, "text": "At the same time, we need to do more to improve performance in the short term, which is evidenced by our actions announced today."}, {"path": "tedlium_25625.wav", "duration": 7.68, "text": "In addition to this, we have begun expanding our overseas design resources and are developing an engineering center of excellence in Taiwan,"}, {"path": "tedlium_25626.wav", "duration": 7.68, "text": "You should also know that we're spending a significant amount on our tax structure that is below the line, and that will have benefits"}, {"path": "tedlium_25627.wav", "duration": 7.68, "text": "As Fred mentioned, we are proud of the terrific service we have provided even on some of the busiest days in the history of FedEx."}, {"path": "tedlium_25628.wav", "duration": 7.68, "text": "one, because of the escalators in the contracts we just signed and, secondly, because there's just so many contracts that are up next year."}, {"path": "tedlium_25629.wav", "duration": 7.68, "text": "as I've talked about our business and margins have increased in many of the areas, when you talk about"}, {"path": "tedlium_25630.wav", "duration": 7.68, "text": "let's talk about the Middle East, the one that we already closed. That business has the same margin as every other business."}, {"path": "tedlium_25631.wav", "duration": 7.68, "text": "as well as our Investor Day presentation and webcast, along with other important information about Garrett."}, {"path": "tedlium_25632.wav", "duration": 7.68, "text": "the required distribution channels to efficiently place product to customers without incurring significant price reductions."}, {"path": "tedlium_25633.wav", "duration": 7.68, "text": "there's no surprise about Fort Hills. We've known for a long time we were moving into a position of length."}, {"path": "tedlium_25634.wav", "duration": 7.68, "text": "This included a significant proportion of patients in whom antipsychotics were used to treat mood disorder."}, {"path": "tedlium_25635.wav", "duration": 7.68, "text": "and financial outlook for the next 3 years. We received a lot of positive feedback. And for those of you who may have missed it"}, {"path": "tedlium_25636.wav", "duration": 7.68, "text": "both to residential credit as well as to make additional share repurchases. So the overall portfolio leverage"}, {"path": "tedlium_25637.wav", "duration": 7.68, "text": "across several industry sectors really customers coming in for rental demand. So I know, Dennis, you can give them a little color on where we're seeing it."}, {"path": "tedlium_25638.wav", "duration": 7.68, "text": "and we are scheduled to go live later this quarter, which is, again, is why we're really trying to work with those retailers to pull that revenue"}, {"path": "tedlium_25639.wav", "duration": 7.68, "text": "And so you can imagine, we booked margin much better than that in the quarter that brought the average up about 30 basis points."}, {"path": "tedlium_25640.wav", "duration": 7.68, "text": "And I think our track record shows that we're not afraid to take bold action if we believe shareowners will benefit in the long term."}, {"path": "tedlium_25641.wav", "duration": 7.6799375, "text": "First of all, much of the political revenue we receive is down ballot, either on federal or state or local elections."}, {"path": "tedlium_25642.wav", "duration": 7.6500625, "text": "we view pricing as stabilizing despite market inventories that are lower but still above historical levels."}, {"path": "tedlium_25643.wav", "duration": 7.65, "text": "on various aspects of the setup as well as the commissioning of the operations line, which was completed in September."}, {"path": "tedlium_25644.wav", "duration": 7.65, "text": "The commercial truck market is a critically important market segment globally and in China."}, {"path": "tedlium_25645.wav", "duration": 7.65, "text": "just tell us what your leverage was at the end of the quarter as it relates to your debt covenant and what your borrowings were under your credit facility?"}, {"path": "tedlium_25646.wav", "duration": 7.65, "text": "obviously, we have been focused a lot on this proposed deal over the last several months. And no doubt it's impacted"}, {"path": "tedlium_25647.wav", "duration": 7.65, "text": "This increase was mainly attributable to the costs related to the launch of the new Syniverse brand during the quarter that Dean described earlier."}, {"path": "tedlium_25648.wav", "duration": 7.65, "text": "Can we expect to see a greater contribution from overseas customers going forward? And if so,"}, {"path": "tedlium_25649.wav", "duration": 7.65, "text": "the end of the year to say how much stock we might need to repurchase. And they get the opportunity to at least"}, {"path": "tedlium_25650.wav", "duration": 7.65, "text": "for those cars that have been repaired, we've been going through hail sale events in the first few months."}, {"path": "tedlium_25651.wav", "duration": 7.65, "text": "Its very strong and capable team is ready to not only repeat Crombie's first decade of growth, but exceed it by executing against the great opportunities"}, {"path": "tedlium_25652.wav", "duration": 7.65, "text": "On the other hand, I think we want to see how things play out as we go through the first couple of quarters"}, {"path": "tedlium_25653.wav", "duration": 7.65, "text": "We have launched several key initiatives around assortment and inventory management that will lower our overall inventory days of supply,"}, {"path": "tedlium_25654.wav", "duration": 7.65, "text": "to raise our minimum store manager salary to this level because it is a most worthwhile investment in our employees"}, {"path": "tedlium_25655.wav", "duration": 7.65, "text": "And with that, I would like to turn the call back over to Joel to provide some closing comments before we open it up for questions."}, {"path": "tedlium_25656.wav", "duration": 7.65, "text": "Rather, the independent investment consultant would create these models utilizing our active proprietary product."}, {"path": "tedlium_25657.wav", "duration": 7.65, "text": "You know, it is not comparable in terms of produced water to what is going on in the Delaware,"}, {"path": "tedlium_25658.wav", "duration": 7.65, "text": "we certainly see an opportunity to leverage not only the commissary itself, but the learnings that Holiday has in terms of"}, {"path": "tedlium_25659.wav", "duration": 7.65, "text": "We are optimistic about the opportunities this presents, and we expect to share more on what we are evaluating next quarter."}, {"path": "tedlium_25660.wav", "duration": 7.65, "text": "logging that takes place after the fires. And I just wondered if you could kind of help us as we think about the puts and takes there?"}, {"path": "tedlium_25661.wav", "duration": 7.65, "text": "added to that momentum with another strong result on both the top and bottom line driven by a mix of organic growth"}, {"path": "tedlium_25662.wav", "duration": 7.65, "text": "and we would expect in the future that growth to be driven by volume not price. And we spoke a little bit about that earlier."}, {"path": "tedlium_25663.wav", "duration": 7.65, "text": "And again, if and when competition does occur, we would anticipate that we would be competing in a branded space"}, {"path": "tedlium_25664.wav", "duration": 7.65, "text": "and believe the timing was right to accelerate the CEO change, while still allowing me the opportunity to help Darren until I retire."}, {"path": "tedlium_25665.wav", "duration": 7.65, "text": "That said, we operate across a number of end markets and geographies that remain uneven and a bit volatile."}, {"path": "tedlium_25666.wav", "duration": 7.65, "text": "If you remove the impact from the Alternative Carrier business, our revenue for the quarter is consistent with the same year-ago period."}, {"path": "tedlium_25667.wav", "duration": 7.65, "text": "and demonstration of quality that one needs to do. So we took a step-wise approach to get the facility back up and running,"}, {"path": "tedlium_25668.wav", "duration": 7.65, "text": "Looking ahead, DSOs will increase gradually as a mix shift to enterprise from commercial continues."}, {"path": "tedlium_25669.wav", "duration": 7.65, "text": "in the same way motivated as deliverers of PostNL and that's because they want to do their -- the job as good as possible."}, {"path": "tedlium_25670.wav", "duration": 7.65, "text": "And a important point to note is that our working capital is also significantly influenced"}, {"path": "tedlium_25671.wav", "duration": 7.65, "text": "I'm wondering what type of a time frame that any of these or all of these different initiatives"}, {"path": "tedlium_25672.wav", "duration": 7.65, "text": "performance from an operating income perspective in the second and third quarter of last year, and it really tailed off so quickly."}, {"path": "tedlium_25673.wav", "duration": 7.65, "text": "while at the same time, improving our customers' operating efficiency or reducing their operating costs."}, {"path": "tedlium_25674.wav", "duration": 7.65, "text": "We have a combination of 8 company-owned, managed or licensed restaurants and unique food and beverage hospitality deals"}, {"path": "tedlium_25675.wav", "duration": 7.65, "text": "we are very pleased with the results and expect to build on the success of these first shows under our ownership as we get to know these properties even better."}, {"path": "tedlium_25676.wav", "duration": 7.65, "text": "And we continue to invest here to provide new formats to landlords as they reconfigure their space."}, {"path": "tedlium_25677.wav", "duration": 7.65, "text": "those draws continue to come fast and furious and that led to -- leads to our optimism for a"}, {"path": "tedlium_25678.wav", "duration": 7.65, "text": "And -- so in terms of what the particular growth rates are going to be, I would say it's less than what it has been historically."}, {"path": "tedlium_25679.wav", "duration": 7.65, "text": "Before we get started, I'd like to note that today's discussion will contain forward-looking statements based on the business environment as we currently see it"}, {"path": "tedlium_25680.wav", "duration": 7.65, "text": "We came away from the meeting with a much-needed clarity on how to move sparsentan forward as expeditiously as possible."}, {"path": "tedlium_25681.wav", "duration": 7.65, "text": "or will you be financing that externally. And the second question is by redeeming the convertible bonds,"}, {"path": "tedlium_25682.wav", "duration": 7.65, "text": "The acquisition of Upverter represents a significant step in the implementation of our cloud strategy."}, {"path": "tedlium_25683.wav", "duration": 7.65, "text": "And at this time there are no further questions. I'd now like to turn the conference back to Mr. Lautenbach for any closing remarks."}, {"path": "tedlium_25684.wav", "duration": 7.65, "text": "increasing external focus with customers and investors, and finally, improving financial visibility."}, {"path": "tedlium_25685.wav", "duration": 7.65, "text": "So it's the smart move to pick your battles carefully and focus on the work that you think is going to be most"}, {"path": "tedlium_25686.wav", "duration": 7.65, "text": "But please do not consider that SiC is only for power modules."}, {"path": "tedlium_25687.wav", "duration": 7.65, "text": "consistently falling as people and shoppers chose to go elsewhere for their facilities and experiences that they desired."}, {"path": "tedlium_25688.wav", "duration": 7.65, "text": "June 30. It didn't quite close through the bankruptcy court on June 30. It closed the very first business day of July."}, {"path": "tedlium_25689.wav", "duration": 7.65, "text": "not the least of which is actually starting to give them a road map for as they want to expand, how do they profitability expand in markets around them."}, {"path": "tedlium_25690.wav", "duration": 7.65, "text": "Those are the right decisions to get that business to the profitability level that we saw in the fourth quarter and for us to be able to continue to build upon that."}, {"path": "tedlium_25691.wav", "duration": 7.65, "text": "extremely active for the last year and change. Has there been any change in pricing expectation?"}, {"path": "tedlium_25692.wav", "duration": 7.65, "text": "We know that there are some legislative processes that could add greater clarity to the situation."}, {"path": "tedlium_25693.wav", "duration": 7.65, "text": "they tend to be in the budgeting process early in January. Tend to be a ramp-up after that point."}, {"path": "tedlium_25694.wav", "duration": 7.65, "text": "We're making good progress, and we are confident that our captive distribution force, leadership position in the educator space"}, {"path": "tedlium_25695.wav", "duration": 7.65, "text": "Well, thank you, everybody. I'd like to just conclude by saying that we remain in very good shape to deliver a very solid year"}, {"path": "tedlium_25696.wav", "duration": 7.65, "text": "what are you seeing beneath the overall macro environment in terms of the execution of Industrial Environmental? And"}, {"path": "tedlium_25697.wav", "duration": 7.65, "text": "If it stays warm whereas that probably did not help our market in the winter, it would help the coal market a lot in the summer,"}, {"path": "tedlium_25698.wav", "duration": 7.65, "text": "wall in terms of approaching it that way. Whereas, I think if you continue to charge"}, {"path": "tedlium_25699.wav", "duration": 7.65, "text": "Those are my prepared remarks on the second quarter financial results, and I now will turn it back over to Marcus."}, {"path": "tedlium_25700.wav", "duration": 7.65, "text": "We will not increase activity if it means eroding our operational performance or increasing our well cost."}, {"path": "tedlium_25701.wav", "duration": 7.65, "text": "One of our top priorities for 2018 is making it easier for advisers and their clients to do business with us."}, {"path": "tedlium_25702.wav", "duration": 7.65, "text": "Can you remind us of the incremental capacity there and the expected ramp-up period for that project?"}, {"path": "tedlium_25703.wav", "duration": 7.65, "text": "Our opportunity, of course, continues to be on the top line, and that has been driven by disappointing traffic metrics."}, {"path": "tedlium_25704.wav", "duration": 7.65, "text": "Our periodic reports are available from the company or online on the company's website or the SEC website."}, {"path": "tedlium_25705.wav", "duration": 7.65, "text": "where average customers could not tell, were they interacting with a computer or were they interacting with a human being?"}, {"path": "tedlium_25706.wav", "duration": 7.65, "text": "Can you help us bridge the gap between the wage inflation that you're seeing and sort of your reported labor costs?"}, {"path": "tedlium_25707.wav", "duration": 7.65, "text": "but with a return to growth in 2018. Our third quarter results were also negatively impacted"}, {"path": "tedlium_25708.wav", "duration": 7.65, "text": "to the state tax rates. Nonetheless, we feel comfortable giving an outlook that the 2018 effective tax rate is likely to be"}, {"path": "tedlium_25709.wav", "duration": 7.65, "text": "So when the Sea Ray announcement came, when we had to shift people that way, this wasn't a, hey, guess what, we have a new product for you. This was"}, {"path": "tedlium_25710.wav", "duration": 7.65, "text": "I -- we don't typically break it down by segment, but when you think about -- when we say premium, you think about all the different brands we have."}, {"path": "tedlium_25711.wav", "duration": 7.65, "text": "It'll be offset in the tax line below and is earnings neutral, but will create the visual of contracting net interest margins."}, {"path": "tedlium_25712.wav", "duration": 7.65, "text": "And I'm happy to observe now that it seems like in the prepaid, decline in revenues is starting to flatten out."}, {"path": "tedlium_25713.wav", "duration": 7.65, "text": "with a longer-term expectation that, that market will tighten and you will have an opportunity to realize upside there?"}, {"path": "tedlium_25714.wav", "duration": 7.65, "text": "and solidified 2 new substantial collaborations based on our GalXC platform with Eli Lilly"}, {"path": "tedlium_25715.wav", "duration": 7.65, "text": "We see continued progress with other potentially large life science accounts that are designing us into their equipment."}, {"path": "tedlium_25716.wav", "duration": 7.65, "text": "are based on management's expectations, depend on assumptions that may be incorrect or imprecise and"}, {"path": "tedlium_25717.wav", "duration": 7.65, "text": "to gain efficiency in the time to market of our products and services but very close to the customer front."}, {"path": "tedlium_25718.wav", "duration": 7.65, "text": "creates an approximately 50 basis point headwind. So we're now likely to be at the lower end of that range."}, {"path": "tedlium_25719.wav", "duration": 7.65, "text": "But at the same time, we did see margin improvements in business wireline and international."}, {"path": "tedlium_25720.wav", "duration": 7.65, "text": "be a continuous and unchanged development during the year. Always trying to reinforce geographical or technological positions"}, {"path": "tedlium_25721.wav", "duration": 7.65, "text": "We also expect some more efficiencies in terms of operations during this quarter."}, {"path": "tedlium_25722.wav", "duration": 7.65, "text": "line I'd like to point you towards is the 5th row, return on sales. This is also excluding the cost of uplift"}, {"path": "tedlium_25723.wav", "duration": 7.65, "text": "We experienced some increases in direct and indirect costs related to the shutdown of Hillsboro's Deer Run Mine"}, {"path": "tedlium_25724.wav", "duration": 7.65, "text": "Additionally, we will refer to some non-GAAP financial measures on this call and certain measures presented on a constant currency basis."}, {"path": "tedlium_25725.wav", "duration": 7.65, "text": "As you can tell, I'm pretty confident about where Altium is in terms of its preparation for the next phase of growth."}, {"path": "tedlium_25726.wav", "duration": 7.65, "text": "We continue to validate this technology through designs that provide customers unparalleled value through significant improvements in weight,"}, {"path": "tedlium_25727.wav", "duration": 7.65, "text": "Any further increases in the Bank of Canada's overnight rate would also be expected to have a positive impact on this key metric."}, {"path": "tedlium_25728.wav", "duration": 7.65, "text": "In the meantime, we will continue to focus on a variety of strategic initiatives to increase the awareness, availability and affordability of home standby generators."}, {"path": "tedlium_25729.wav", "duration": 7.65, "text": "It is part of the reason that we told you we might see some short-term volatility in the hog prices as"}, {"path": "tedlium_25730.wav", "duration": 7.65, "text": "We've been successful with that in the past. So I guess the answer to your question is, is that we look at our harvest levels on a daily basis."}, {"path": "tedlium_25731.wav", "duration": 7.65, "text": "all of which will be delivered in a very well-established environment of world-class risk management for the benefit of our shareholders."}, {"path": "tedlium_25732.wav", "duration": 7.65, "text": "We remain an important financier of small business and infrastructure, and we're also a custodian of the nation's savings."}, {"path": "tedlium_25733.wav", "duration": 7.65, "text": "can be found in our press release posted on our website at knowles.com, including a reconciliation to the most directly comparable GAAP measures."}, {"path": "tedlium_25734.wav", "duration": 7.65, "text": "While I will defer to Paul to cover the numbers later in the call, our Commercial Real Estate segment had an excellent quarter"}, {"path": "tedlium_25735.wav", "duration": 7.65, "text": "the FX. So I'm just curious, is that the right way to think about it, that the core business outside of that is accelerating and if there's anything else in there?"}, {"path": "tedlium_25736.wav", "duration": 7.65, "text": "Looking at the integrated portfolio, each segment plays a role in the success of the overall group."}, {"path": "tedlium_25737.wav", "duration": 7.65, "text": "But the good news is by having those cases continue to be in the relevant jurisdictions rather than under one case,"}, {"path": "tedlium_25738.wav", "duration": 7.65, "text": "than anyone out there and that there will be synergies, as you pointed out, in your research earlier this year,"}, {"path": "tedlium_25739.wav", "duration": 7.65, "text": "get our products in the hands of people with diabetes and to accelerate our momentum as we drive towards building a strong install base."}, {"path": "tedlium_25740.wav", "duration": 7.65, "text": "However, we expect some continued modest impact until the situation stabilizes. As a reminder,"}, {"path": "tedlium_25741.wav", "duration": 7.65, "text": "As we stack more of these larger, quality cohorts throughout the course of this year, we continue to believe they will fuel long-term growth."}, {"path": "tedlium_25742.wav", "duration": 7.65, "text": "better in the stores. I would say we're -- if you ask us where we are on that, we're just getting started"}, {"path": "tedlium_25743.wav", "duration": 7.65, "text": "to improve margins as they finish the implementation efforts and transition to the ongoing servicing work for our platform clients."}, {"path": "tedlium_25744.wav", "duration": 7.65, "text": "and we are very confident about the future of the Global 7000 moving forward. So all in all,"}, {"path": "tedlium_25745.wav", "duration": 7.65, "text": "We need to expand our trading volume, construct a stronger network"}, {"path": "tedlium_25746.wav", "duration": 7.65, "text": "and whether they have any relevance to the future development of AB-452, the class of molecules or the mechanism of action."}, {"path": "tedlium_25747.wav", "duration": 7.65, "text": "You may disconnect your lines at this time. Thank you for your participation."}, {"path": "tedlium_25748.wav", "duration": 7.65, "text": "Its close proximity to Orca means that we have the opportunity to start operations on a small scale, utilizing the existing infrastructure"}, {"path": "tedlium_25749.wav", "duration": 7.65, "text": "Through the balance of 2016, we expect to spend relatively modest maintenance CapEx for Orca and our terminals."}, {"path": "tedlium_25750.wav", "duration": 7.65, "text": "No. I think that's not necessarily the case. We do have a strong services part of our business which is unrelated to the environment."}, {"path": "tedlium_25751.wav", "duration": 7.65, "text": "Relative to our expectations, we are realizing some early benefits from our efforts to drive greater efficiency and effectiveness."}, {"path": "tedlium_25752.wav", "duration": 7.65, "text": "timely release that information so that you guys can all get a good sense of how we're looking at this."}, {"path": "tedlium_25753.wav", "duration": 7.65, "text": "become more seasonal due to the significant growth of our ground traditional campus and due to the shift in the start dates and breaks between years."}, {"path": "tedlium_25754.wav", "duration": 7.65, "text": "So a lot of variables to think about, and that's what really underpins my comment about just being cautious."}, {"path": "tedlium_25755.wav", "duration": 7.65, "text": "Also note that the content of this conference call contains time-sensitive information that is accurate only as of today,"}, {"path": "tedlium_25756.wav", "duration": 7.65, "text": "We'll have more details on these amounts when we report our first quarter results in April. And with that, I'll conclude our prepared remarks."}, {"path": "tedlium_25757.wav", "duration": 7.65, "text": "and in a way that makes it easier for these consumers to become financially healthy. This is at the core of our strategy and what's fueling our growth today."}, {"path": "tedlium_25758.wav", "duration": 7.65, "text": "to be able to continue to supply customers. And right now we don't think we'll have a material impact on any of our customers as a result of this."}, {"path": "tedlium_25759.wav", "duration": 7.65, "text": "They have great expertise. And what they're doing basically is selecting out of the larger group of PBM's available,"}, {"path": "tedlium_25760.wav", "duration": 7.65, "text": "speed the introduction of new products out of Wabash Composites and continue our expansion in the growing food storage and processing area"}, {"path": "tedlium_25761.wav", "duration": 7.65, "text": "we were one of the exhibitors this year. I stayed there to meet with customers face-to-face."}, {"path": "tedlium_25762.wav", "duration": 7.65, "text": "Earnings for the Oriental joint venture were also up, mainly on a more favorable sales mix and lower currency remeasurement losses."}, {"path": "tedlium_25763.wav", "duration": 7.65, "text": "you could actually see barrels back up into the Permian Basin, simply because something happened on the coast. And we're certainly providing"}, {"path": "tedlium_25764.wav", "duration": 7.65, "text": "Victoria was somewhat flat year-on-year, but this was not unexpected given it was the last year of the current access arrangement."}, {"path": "tedlium_25765.wav", "duration": 7.65, "text": "Our Enterprise Asset Management System is an integrated asset management system to enable us to deliver energy"}, {"path": "tedlium_25766.wav", "duration": 7.65, "text": "In 2016's difficult operating environment, we have focused on driving new business gains by helping customers to lower their costs."}, {"path": "tedlium_25767.wav", "duration": 7.65, "text": "With that, I'll turn it back to Fred for closing remarks. Thanks, Tom. As we enter the second half of the year"}, {"path": "tedlium_25768.wav", "duration": 7.65, "text": "whether there is any market segment where you could probably have"}, {"path": "tedlium_25769.wav", "duration": 7.65, "text": "you just can't have everyone overbuilding at once. So I am hopeful that this one will be"}, {"path": "tedlium_25770.wav", "duration": 7.65, "text": "we see a pathway for others to be disciplined as we have. But obviously, we need to see execution on that -- in that regard."}, {"path": "tedlium_25771.wav", "duration": 7.65, "text": "in that process. We're making sure we understand customer needs and expectations. There'll be some paperboard integration opportunities for us"}, {"path": "tedlium_25772.wav", "duration": 7.65, "text": "We have taken steps to offer a full range of products to our customer base to meet either investment needs or long-term income needs."}, {"path": "tedlium_25773.wav", "duration": 7.65, "text": "California has been a great story for us in the second quarter. We saw the -- it's really driven by the private side."}, {"path": "tedlium_25774.wav", "duration": 7.65, "text": "So we feel very good about the fundamental demand drivers and about the leading indicators of near-term shipments."}, {"path": "tedlium_25775.wav", "duration": 7.65, "text": "rumors or there's a lot of news coming out of Brazil. It seems like it's a fairly challenged situation there. So you guys have"}, {"path": "tedlium_25776.wav", "duration": 7.65, "text": "but at this point in time at this stage of negotiations, we're really going to shy away. In fact, we're not going to make any comment on pricing."}, {"path": "tedlium_25777.wav", "duration": 7.65, "text": "with all our segments contributing to strong overall results. And with that, let me turn it back over to Mark to review our financial results."}, {"path": "tedlium_25778.wav", "duration": 7.65, "text": "They've also grown faster than the general air cargo markets over a long period of time as well, I might add."}, {"path": "tedlium_25779.wav", "duration": 7.65, "text": "and how you make these products, how you source them and all those other factors are very, very precise."}, {"path": "tedlium_25780.wav", "duration": 7.65, "text": "The event strengthens our relationships with our partners and is a great vehicle to develop new opportunities for the year ahead."}, {"path": "tedlium_25781.wav", "duration": 7.65, "text": "part of a tax extenders package, similar to the way it was done last year. And"}, {"path": "tedlium_25782.wav", "duration": 7.65, "text": "so we can note that this time, field service performance from the volume point of view was stronger than in parts."}, {"path": "tedlium_25783.wav", "duration": 7.65, "text": "because of the sites where they are, because of the conditions that we have achieved in hardware. So"}, {"path": "tedlium_25784.wav", "duration": 7.65, "text": "We believe that many of the issues that affected third quarter revenues are likely to impact our performance in the fourth quarter."}, {"path": "tedlium_25785.wav", "duration": 7.65, "text": "So this is in summary, our short presentation for this morning. And now I would like to open the floor to questions."}, {"path": "tedlium_25786.wav", "duration": 7.65, "text": "We will stick to what we do best, providing our customers with the right products to improve their financial standing and flexibility."}, {"path": "tedlium_25787.wav", "duration": 7.65, "text": "I'll begin today's call with a business update. Gerry will review the financials and guidance, and then we'll open it up for your questions."}, {"path": "tedlium_25788.wav", "duration": 7.65, "text": "committed to continuing to drive shareholder value through strong operating results, profitable new business and focused deployment of our available capital."}, {"path": "tedlium_25789.wav", "duration": 7.65, "text": "Well, if you look at the second half of the year, we do expect to receive a little bit more of a headwind associated with"}, {"path": "tedlium_25790.wav", "duration": 7.65, "text": "pulling lots of the most talented people in the company together to ensure we're defining the platform of how we want to operate Rotork going forward. So"}, {"path": "tedlium_25791.wav", "duration": 7.65, "text": "We'll probably call through another line of that and kill another round of them because, again, you take these off in layers and say"}, {"path": "tedlium_25792.wav", "duration": 7.65, "text": "Importantly, as we look to expand our presence in SMA, we are also excited about the potential for gene therapy as a complementary mechanism."}, {"path": "tedlium_25793.wav", "duration": 7.65, "text": "As always, please do not hesitate to reach out should you have any questions regarding these new metrics and disclosures. Now let me turn the call over to Carlos."}, {"path": "tedlium_25794.wav", "duration": 7.65, "text": "adjusts our GAAP quarterly results by eliminating special charges and then applies the tax rate to the result."}, {"path": "tedlium_25795.wav", "duration": 7.65, "text": "is in line with our revenue increase if you look at the some of the trend numbers that we showed you earlier. So I think it's stabilized"}, {"path": "tedlium_25796.wav", "duration": 7.65, "text": "This is an important longer-term option for us, and we will keep all avenues open to realize value from this asset."}, {"path": "tedlium_25797.wav", "duration": 7.65, "text": "We also took additional cost actions in Mexico and Brazil to respond to the tough economic conditions there."}, {"path": "tedlium_25798.wav", "duration": 7.65, "text": "and we are looking at taking several steps to restructure this business, and we'll update you when we meet again for the Q4 result."}, {"path": "tedlium_25799.wav", "duration": 7.65, "text": "And although not materially impacting revenue in 2016, we are encouraged by the early reception that we're receiving from our clients"}, {"path": "tedlium_25800.wav", "duration": 7.65, "text": "Many of our assets have been put on shortly before the downturn in oil and gas prices and production levels were curtailed."}, {"path": "tedlium_25801.wav", "duration": 7.65, "text": "Given the fact that we did provide a significant amount of information just a couple of weeks ago, my prepared remarks today will be relatively brief."}, {"path": "tedlium_25802.wav", "duration": 7.65, "text": "We have seen the volume of collectibles submitted to us for grading increase dramatically in the last 12 months."}, {"path": "tedlium_25803.wav", "duration": 7.6499375, "text": "Execution of our remediation plan is progressing with a sense of urgency. However, fixing these issues in the right way takes time."}, {"path": "tedlium_25804.wav", "duration": 7.6499375, "text": "During the transaction close process, we made the decision to conform MuleSoft's revenue recognition policy to Salesforce's policy"}, {"path": "tedlium_25805.wav", "duration": 7.6499375, "text": "Before reviewing the forward-looking statements, as retiring CFO, I wanted to express my gratitude and appreciation"}, {"path": "tedlium_25806.wav", "duration": 7.62, "text": "We've lined up a strong product pipeline to be launched over the next 12 months, with about 1 new product launch"}, {"path": "tedlium_25807.wav", "duration": 7.62, "text": "And therefore, in the mix, the ForEx does really have an impact on the overall, margin mix that we do have."}, {"path": "tedlium_25808.wav", "duration": 7.62, "text": "for the quarter, discuss trends and developments in our industry and business, and the outlook for the rest of the year."}, {"path": "tedlium_25809.wav", "duration": 7.62, "text": "our best opportunity to have very efficient capital for the long term, but it is -- we are in the early stages, very early stages of that project."}, {"path": "tedlium_25810.wav", "duration": 7.62, "text": "In the middle of June, we announced that the study had been fully enrolled, and all subjects had received at least their first dose."}, {"path": "tedlium_25811.wav", "duration": 7.62, "text": "Slide 12. We thought it would also be helpful to give an illustration of our business model. As you can see from this slide,"}, {"path": "tedlium_25812.wav", "duration": 7.62, "text": "and we believe that as reimbursement and the consistency in favorable payment policies continue to be established"}, {"path": "tedlium_25813.wav", "duration": 7.62, "text": "We've seen tremendous progress they've made in some areas such as payroll and freight with some of their investments."}, {"path": "tedlium_25814.wav", "duration": 7.62, "text": "cooked at home in less than a half hour from our recipe that we've developed over a period of time"}, {"path": "tedlium_25815.wav", "duration": 7.62, "text": "We reduced our operating expenditures, streamlining and focusing our operations through the implementation of a company-wide restructuring"}, {"path": "tedlium_25816.wav", "duration": 7.62, "text": "of those institutions, the needs grow stronger within those constituencies, and there is an increased usage of our reports"}, {"path": "tedlium_25817.wav", "duration": 7.62, "text": "We are making good progress in Texas, and the issues we identified in Ohio in the first quarter are substantially resolved."}, {"path": "tedlium_25818.wav", "duration": 7.62, "text": "Except as required by law, the company undertakes no duty to update these forward-looking statements that are made during the course of this call."}, {"path": "tedlium_25819.wav", "duration": 7.62, "text": "we know that supply has become more of an issue in the BC Interior, yet at the same time, we know there's probably going to be a lot of salvage"}, {"path": "tedlium_25820.wav", "duration": 7.62, "text": "We are very committed to our business model of only having franchises,"}, {"path": "tedlium_25821.wav", "duration": 7.62, "text": "but we have our hands full on that, and at the same time we are working on next projects and also"}, {"path": "tedlium_25822.wav", "duration": 7.62, "text": "from the traditional diesel to electric. And it's our understanding and plan that they'll all be with our systems as well."}, {"path": "tedlium_25823.wav", "duration": 7.62, "text": "And with that services that they can now provide, they're able to bring"}, {"path": "tedlium_25824.wav", "duration": 7.62, "text": "We believe we have the right assets and strategies in place and are focused on executing our key priorities."}, {"path": "tedlium_25825.wav", "duration": 7.62, "text": "In 2017, the underlying rate of base business price erosion is likely to be high single digit"}, {"path": "tedlium_25826.wav", "duration": 7.62, "text": "For the most part, we're not paying a lot of attention to the limestone auctions. We're particularly interested in base metal auctions when they come up."}, {"path": "tedlium_25827.wav", "duration": 7.62, "text": "there can always be changes in markets. What we're giving a perspective on today is what we're seeing in the market."}, {"path": "tedlium_25828.wav", "duration": 7.62, "text": "If this really comes back to the idea of enabling this information transparency between owners, general contractors and the trade contractors."}, {"path": "tedlium_25829.wav", "duration": 7.62, "text": "In short, on a 3-year basis, our performance fits the growth model we talked about at our Investor Day, with clear acceleration over the last year."}, {"path": "tedlium_25830.wav", "duration": 7.62, "text": "So I think that plays into the strengths of us and the other competitors of ours that you mentioned."}, {"path": "tedlium_25831.wav", "duration": 7.62, "text": "so that kind of maybe plays into managing spending and retaining more cash flow"}, {"path": "tedlium_25832.wav", "duration": 7.62, "text": "We are recruiting new people with energy, passion, experience and a deep understanding of a changing and exciting industry"}, {"path": "tedlium_25833.wav", "duration": 7.62, "text": "in development and commercialization milestones. The agreement also includes potential royalties on product sales."}, {"path": "tedlium_25834.wav", "duration": 7.62, "text": "The new capacity in Paris adds to our product expansion plans in Paris with openings scheduled for later this quarter"}, {"path": "tedlium_25835.wav", "duration": 7.62, "text": "This is a very innovative deal for us at a modest cost in an area which is seeing significant interest"}, {"path": "tedlium_25836.wav", "duration": 7.62, "text": "we are increasing investments in a number of core platforms to accelerate growth in 2017 and beyond."}, {"path": "tedlium_25837.wav", "duration": 7.62, "text": "maybe also just some additional context around the benefit from mix in the quarter in terms of how much that contributed?"}, {"path": "tedlium_25838.wav", "duration": 7.62, "text": "Our Walmart locations continue to see increased traffic and be well received by customers."}, {"path": "tedlium_25839.wav", "duration": 7.62, "text": "educating our environmental groups and others around the need for a firm capacity to assure that we can meet firm load."}, {"path": "tedlium_25840.wav", "duration": 7.62, "text": "Actual results may differ materially from those indicated or implied by our forward-looking statements as a result of various factors."}, {"path": "tedlium_25841.wav", "duration": 7.62, "text": "utilizing our unique approach to help educators find additional funds that can be redeployed to retirement savings."}, {"path": "tedlium_25842.wav", "duration": 7.62, "text": "We also saw less pressure from higher polypropylene resin costs in the fourth quarter compared to the prior year."}, {"path": "tedlium_25843.wav", "duration": 7.62, "text": "Now that I've covered early season results, I'd like to discuss our plans for the second half of the season."}, {"path": "tedlium_25844.wav", "duration": 7.62, "text": "Additional income from the unconsolidated mining operations and modestly improved operating results at the limerock dragline mining operations"}, {"path": "tedlium_25845.wav", "duration": 7.62, "text": "primarily because of an expected decrease in income at Mississippi Lignite Mining Company and a decrease in royalty and other income."}, {"path": "tedlium_25846.wav", "duration": 7.62, "text": "That's continued into '18. You layer in what '18 has over '17, is the halo of the spinner."}, {"path": "tedlium_25847.wav", "duration": 7.62, "text": "And assuming that target still holds, do you have any appetite to actually accelerate share repurchase in light of some of those tailwinds as well as your capacity?"}, {"path": "tedlium_25848.wav", "duration": 7.62, "text": "which actually were positively received despite all of this. Most of our competitors in our categories have high single digit."}, {"path": "tedlium_25849.wav", "duration": 7.62, "text": "All right. So now I'm going to turn my attention to ARC and take a few minutes to outline the progress we've been making in the Solutions business."}, {"path": "tedlium_25850.wav", "duration": 7.62, "text": "partners. So -- which would have been a little bit of pull forward, obviously. But we didn't really see a lot of that in perspective to the whole quarter"}, {"path": "tedlium_25851.wav", "duration": 7.62, "text": "We believe a 6% target is the best estimate as of today, but I did want to point out this nuance in our financial outlook."}, {"path": "tedlium_25852.wav", "duration": 7.62, "text": "we had significant increase basically, thanks to price adjustments in the contract."}, {"path": "tedlium_25853.wav", "duration": 7.62, "text": "so -- and that was pretty consistent with what we did in Q2. So again, I think the best way to think about it"}, {"path": "tedlium_25854.wav", "duration": 7.62, "text": "All of these results, as you have seen, are really embedded in all geographies across all lines of business."}, {"path": "tedlium_25855.wav", "duration": 7.62, "text": "This slide illustrates how the CRT transactions are carried on the balance sheet and flow through the income statement."}, {"path": "tedlium_25856.wav", "duration": 7.62, "text": "data traffic growth of 60% in the year and that was in the back of the sustained investment in the network that we took,"}, {"path": "tedlium_25857.wav", "duration": 7.62, "text": "Over the past couple of years, we have worked hard to focus our people on managing working capital every day of the year."}, {"path": "tedlium_25858.wav", "duration": 7.62, "text": "So it's all still going the same as I would have said it was going 6 months ago or a year ago."}, {"path": "tedlium_25859.wav", "duration": 7.62, "text": "But inexorably, we're driven to going over 50% as a company and that's where our focus is on in this next year."}, {"path": "tedlium_25860.wav", "duration": 7.62, "text": "new -- call it greenfield or expansions. But also something we didn't see last couple of years in the downturn"}, {"path": "tedlium_25861.wav", "duration": 7.62, "text": "do you feel like the average number of Resources professionals on assignment at a typical client will go up?"}, {"path": "tedlium_25862.wav", "duration": 7.62, "text": "which began in the first quarter of 2015, but these reductions could not offset the impact of our reduced sales levels."}, {"path": "tedlium_25863.wav", "duration": 7.62, "text": "once Vancouver Energy is up and operating, we'll use crude oil into the facility to supply our West Coast operations, but there's no"}, {"path": "tedlium_25864.wav", "duration": 7.62, "text": "we look at inspiration from our customers, we look at inspiration from others, but we also look at inspiration from the tech"}, {"path": "tedlium_25865.wav", "duration": 7.62, "text": "which includes increased overhead cost from our Barnwell, South Carolina facility that are not fully absorbed by production and sales."}, {"path": "tedlium_25866.wav", "duration": 7.62, "text": "the nation. I was curious in just how you think about that now that you have a growing base outside of New York, California, you mentioned having strong unit volume."}, {"path": "tedlium_25867.wav", "duration": 7.62, "text": "We continued to improve our guest technology experience and increased our revenue through online ticketing capabilities."}, {"path": "tedlium_25868.wav", "duration": 7.62, "text": "Just a word on RoRE, return on regulated equity. We did promise in previous results that we'd give you an ongoing"}, {"path": "tedlium_25869.wav", "duration": 7.62, "text": "issued safety directives requiring operators to suspend public transport flights and commercial air transport operations"}, {"path": "tedlium_25870.wav", "duration": 7.62, "text": "In addition, while not a primary endpoint, the IOP reduction will also need to be clinically meaningful for regulatory approval."}, {"path": "tedlium_25871.wav", "duration": 7.62, "text": "We'll accelerate our customer experience and digital capabilities. We'll bring newly designed store concepts to market"}, {"path": "tedlium_25872.wav", "duration": 7.62, "text": "With strong residential demand, dealer intimacy and a steady stream of new products, our outlook for the aquatics business remains strong."}, {"path": "tedlium_25873.wav", "duration": 7.62, "text": "The performance of these 2 businesses was not enough in the quarter to offset the margin impact from thermal management."}, {"path": "tedlium_25874.wav", "duration": 7.62, "text": "I now hand over to Andy to go through the financial highlights and provide some updates on our portfolio. Thanks, George."}, {"path": "tedlium_25875.wav", "duration": 7.62, "text": "Please be advised that this call is being taped at the company's request and will be archived on the company's website starting later today."}, {"path": "tedlium_25876.wav", "duration": 7.62, "text": "are actually being very helpful with us to address their markets, while they're rolling out the product."}, {"path": "tedlium_25877.wav", "duration": 7.62, "text": "Looking forward, we will proceed carefully and thoughtfully in evaluating our opportunities for enhanced capital deployment."}, {"path": "tedlium_25878.wav", "duration": 7.62, "text": "I do think the other piece to consider is that there will be improvements along the way as"}, {"path": "tedlium_25879.wav", "duration": 7.62, "text": "that took place at the end of last year. At this point, we're very comfortable that we will continue to"}, {"path": "tedlium_25880.wav", "duration": 7.62, "text": "Thus, we will provide billable tests, not only in our 10-Q filings, but also in our earnings calls moving forward."}, {"path": "tedlium_25881.wav", "duration": 7.62, "text": "And in terms of the retail royalties. So the sales of product in the grocery store, you mentioned"}, {"path": "tedlium_25882.wav", "duration": 7.62, "text": "And also, how do you think about the risk that it could partly cannibalize your existing cash sweep by increasing the beta?"}, {"path": "tedlium_25883.wav", "duration": 7.62, "text": "One of the things that's been most exciting about smart home and that supports much of what Hubert said is that within the category,"}, {"path": "tedlium_25884.wav", "duration": 7.62, "text": "when you have the biggest movie of all-time, you don't expect it to be a big renter. It will either be something that people saw at the theater"}, {"path": "tedlium_25885.wav", "duration": 7.62, "text": "both from a new product development perspective as well as from a product characterization perspective"}, {"path": "tedlium_25886.wav", "duration": 7.62, "text": "I mentioned that 19 customers signed with us today that were never on the old platform. So it's not that we'll be migrating them,"}, {"path": "tedlium_25887.wav", "duration": 7.62, "text": "and lower volume of compliance works in the fourth quarter of 2016. Investment markets reported"}, {"path": "tedlium_25888.wav", "duration": 7.62, "text": "so those are the ones that makes us a little bit cautious. But maybe we are too cautious but that's usually not a bad thing."}, {"path": "tedlium_25889.wav", "duration": 7.62, "text": "Assuming the pipeline is fully subscribed, the capacity could be expanded to about 1 million barrels per day."}, {"path": "tedlium_25890.wav", "duration": 7.62, "text": "We typically don't guide for what exactly the figure will be. But the majority of the impact you will still see"}, {"path": "tedlium_25891.wav", "duration": 7.62, "text": "the business has faced a number of challenges over the past few years. In particular, sales growth has been volatile."}, {"path": "tedlium_25892.wav", "duration": 7.62, "text": "We've been at or above the high end of our long-term target range for organic sales growth for the past 2 quarters,"}, {"path": "tedlium_25893.wav", "duration": 7.62, "text": "And on that note, I would like to turn the call over to Keith to provide a summary of our financial results for the second quarter."}, {"path": "tedlium_25894.wav", "duration": 7.62, "text": "in our cost-to-income ratio and creating even greater capacity for future investments."}, {"path": "tedlium_25895.wav", "duration": 7.62, "text": "This analytical program, which includes many reservoir stress conditional laboratory experiments will continue over the next several quarters."}, {"path": "tedlium_25896.wav", "duration": 7.62, "text": "The biggest area of fabric utilization in the hotel area is the window treatments."}, {"path": "tedlium_25897.wav", "duration": 7.62, "text": "versus science of capturing weather and the impact of weather, and we did have some significant mild weather in the quarter. So I'm"}, {"path": "tedlium_25898.wav", "duration": 7.62, "text": "But what has happened is a fairly consistent pace of dispositions with a pretty wide pool of buyers,"}, {"path": "tedlium_25899.wav", "duration": 7.62, "text": "We are working with our insurer to receive regular business interruption payments as we negotiate finalized claim amounts."}, {"path": "tedlium_25900.wav", "duration": 7.62, "text": "what level of dilution would be unacceptable to you as stewards of the"}, {"path": "tedlium_25901.wav", "duration": 7.62, "text": "we believe our proprietary biopreservation media products have been used in more than 300 customer clinical applications."}, {"path": "tedlium_25902.wav", "duration": 7.62, "text": "Turning to exploration. We remain focused on adding resources that are attractive in the current price environment."}, {"path": "tedlium_25903.wav", "duration": 7.62, "text": "With the changes relating to the corporate transformation program and the organizational streamlining now well behind us,"}, {"path": "tedlium_25904.wav", "duration": 7.62, "text": "Services revenue grew by 11% from last year, with higher sales of both consulting and contracted services."}, {"path": "tedlium_25905.wav", "duration": 7.62, "text": "peg it exactly like that, because it's changing pretty quickly as we win new applications."}, {"path": "tedlium_25906.wav", "duration": 7.62, "text": "You reduce the number of pieces of equipment on the highway because you're able to haul more with a more concentrated footprint."}, {"path": "tedlium_25907.wav", "duration": 7.62, "text": "and Kevin's addressed the obvious question of what happened to the political. So I'll keep my comments brief to a few other items."}, {"path": "tedlium_25908.wav", "duration": 7.62, "text": "So we really want to be thoughtful about how we proceed as far as our core strategy and our investment thesis."}, {"path": "tedlium_25909.wav", "duration": 7.62, "text": "one of the top Enoxaparin markets in Europe in terms of volume and value with good sales prospects."}, {"path": "tedlium_25910.wav", "duration": 7.62, "text": "those that have already been contemplated within our guidance for the second half of the year. So we don't see a substantial change to that."}, {"path": "tedlium_25911.wav", "duration": 7.62, "text": "relatively long-term view of the business, and so I don't feel like the cupboards are bare, that are going to need to be restocked per se"}, {"path": "tedlium_25912.wav", "duration": 7.62, "text": "Basically, these are companies that made their projections"}, {"path": "tedlium_25913.wav", "duration": 7.62, "text": "Pricing and freight mix both contributed to the revenue and profitability results within Refrigerated."}, {"path": "tedlium_25914.wav", "duration": 7.62, "text": "The goal this year is essentially to implement and put in place all the technology."}, {"path": "tedlium_25915.wav", "duration": 7.62, "text": "doesn't really indicate that it's a higher activity level because, as you can see from the graph, Q3 of last year"}, {"path": "tedlium_25916.wav", "duration": 7.62, "text": "And if you can't specifically comment on that, can you discuss any historical economic differences between cartridges and discs for the pre-owned business?"}, {"path": "tedlium_25917.wav", "duration": 7.62, "text": "Once again, we are not projecting. We are simply looking at the potential for a new console in comparison to prior consoles."}, {"path": "tedlium_25918.wav", "duration": 7.62, "text": "that a sufficient number of eligible employees had been recruited to join the Mine Workers Union, thereby requiring the union to be certified."}, {"path": "tedlium_25919.wav", "duration": 7.62, "text": "We're experienced in dealing with restructurings and took immediate steps to protect our asset and our position. The aircraft is now in our possession."}, {"path": "tedlium_25920.wav", "duration": 7.62, "text": "we want to thank Ignacio. And we have no doubt that he's one of the top executive talents of Argentina."}, {"path": "tedlium_25921.wav", "duration": 7.62, "text": "is going to increase according to the design of this program because subscriptions will increase"}, {"path": "tedlium_25922.wav", "duration": 7.62, "text": "I would note that this operating environment is materially worse today than it was just 45 days ago when I presented at the Goldman conference."}, {"path": "tedlium_25923.wav", "duration": 7.62, "text": "In addition to the lower tax rate, we also expect a small incremental EPS benefit from foreign exchange."}, {"path": "tedlium_25924.wav", "duration": 7.62, "text": "and that these customers weren't going to be able to hold their breath -- continue to hold their breath very long."}, {"path": "tedlium_25925.wav", "duration": 7.62, "text": "additional confidence in the pivotal study compared to the pilot. We have more subjects, and that tends to"}, {"path": "tedlium_25926.wav", "duration": 7.62, "text": "apart maybe from these small amount of leasing that we are dealing -- we were dealing together with this,"}, {"path": "tedlium_25927.wav", "duration": 7.62, "text": "Our regional operations have been expanded or rightsized to capture a greater share of the improved economic environment. And"}, {"path": "tedlium_25928.wav", "duration": 7.62, "text": "that is focused on serving our customers and increasing accountability. Our balance sheet is in good shape."}, {"path": "tedlium_25929.wav", "duration": 7.62, "text": "including changes to the licensing processes to accelerate licensing momentum, simultaneously with recruiting growth."}, {"path": "tedlium_25930.wav", "duration": 7.62, "text": "Larger platforms will compete more effectively. We expect to participate in that consolidation."}, {"path": "tedlium_25931.wav", "duration": 7.62, "text": "Our soot sensor was originally developed as a commercial vehicle application to test particular emissions at the tailpipe of diesel trucks."}, {"path": "tedlium_25932.wav", "duration": 7.62, "text": "that you're getting today away from where you would need to see it to go and build more ADRs at this point?"}, {"path": "tedlium_25933.wav", "duration": 7.62, "text": "In early June, we hosted an Investor Day where we discussed in detail our strategic vision, transformation initiatives"}, {"path": "tedlium_25934.wav", "duration": 7.62, "text": "Can you maybe talk about where we stand with that? How much have we seen over the last couple of quarters and what lies ahead?"}, {"path": "tedlium_25935.wav", "duration": 7.62, "text": "And you never would have heard her talk like that even a year or 2 ago. So we -- Jim and I always said on these calls, which,"}, {"path": "tedlium_25936.wav", "duration": 7.62, "text": "Although we have now confined our area to the southern section of the mine, nevertheless, the government has entered into a security agreement where it provides"}, {"path": "tedlium_25937.wav", "duration": 7.62, "text": "These agreements have been signed by government, and ratification is expected during this parliamentary sitting."}, {"path": "tedlium_25938.wav", "duration": 7.62, "text": "As we begin to look forward, this year is going to be more focused on price increases of our premium product where"}, {"path": "tedlium_25939.wav", "duration": 7.62, "text": "The remaining growth in first quarter adjusted EBITDA in EMEA can be attributed to higher gross profit margins"}, {"path": "tedlium_25940.wav", "duration": 7.62, "text": "On the Arabica market, we are more medium term. We think there'll be a price correction upwards"}, {"path": "tedlium_25941.wav", "duration": 7.62, "text": "Our primary focus continues to be to deploy products that will ensure the success of our customers."}, {"path": "tedlium_25942.wav", "duration": 7.62, "text": "but I would say that they're in the range of the high 6 digit to low 7 digit price range"}, {"path": "tedlium_25943.wav", "duration": 7.62, "text": "the last point I want to mention is the successful integration and efficiency program following the acquisition we made"}, {"path": "tedlium_25944.wav", "duration": 7.62, "text": "I think the financial results show how those gains have translated into increased shareholder value as well."}, {"path": "tedlium_25945.wav", "duration": 7.62, "text": "The key driver of this production improvement, compared to the same period last year, was a full production quarter at the Harvey mine."}, {"path": "tedlium_25946.wav", "duration": 7.62, "text": "Our investments in new products will provide growth not just for 2016, but for sustained growth in the future."}, {"path": "tedlium_25947.wav", "duration": 7.6199375, "text": "over this period, it really traces back to some of the elements that we need to deal with as one-offs in a very tough environment."}, {"path": "tedlium_25948.wav", "duration": 7.6199375, "text": "But if we look at the performance in this quarter, the comp performance within that category was the lowest of any category"}, {"path": "tedlium_25949.wav", "duration": 7.59, "text": "but we'd like to continue our progress and then show the results. So we will see improvement"}, {"path": "tedlium_25950.wav", "duration": 7.59, "text": "During the second quarter, you can clearly see we are moving in the right direction. In the second half, our model will take further shape."}, {"path": "tedlium_25951.wav", "duration": 7.59, "text": "to be able to proliferate across those programs and scale to meaningful penetration to be able to meaningfully contribute to growth."}, {"path": "tedlium_25952.wav", "duration": 7.59, "text": "So you have to separate the issue of delivering production designs and qualifications separate from a transactional sale"}, {"path": "tedlium_25953.wav", "duration": 7.59, "text": "and ultimately to become a digital organization that can grow and adapt at the pace required by a very diverse client base."}, {"path": "tedlium_25954.wav", "duration": 7.59, "text": "The objective is to realize the value of this company's portfolio of capabilities that have historically been entrenched in individual businesses,"}, {"path": "tedlium_25955.wav", "duration": 7.59, "text": "I think the expression that we used was there were times where we were chasing yield as a company."}, {"path": "tedlium_25956.wav", "duration": 7.59, "text": "the lack of a major outage in 2018 and achieving higher selling prices in both businesses in the second half of the year."}, {"path": "tedlium_25957.wav", "duration": 7.59, "text": "our equipment revenue were up by 13% and this is coming from much higher unitary price,"}, {"path": "tedlium_25958.wav", "duration": 7.59, "text": "I will give you an update of our financial performance in the fourth quarter and developments related to our network and operations."}, {"path": "tedlium_25959.wav", "duration": 7.59, "text": "So we believe the new contract that is in place will provide future revenue streams"}, {"path": "tedlium_25960.wav", "duration": 7.59, "text": "Hence, we believe that it will be important for other stakeholders in this ecosystem to actually participate,"}, {"path": "tedlium_25961.wav", "duration": 7.59, "text": "in the residential property lending business there. And of course, we successfully completed our initial public offering of common shares"}, {"path": "tedlium_25962.wav", "duration": 7.59, "text": "we believe the API, together with the granular building level database that I have been spending a lot of time on,"}, {"path": "tedlium_25963.wav", "duration": 7.59, "text": "Higher retail impaired losses were primarily due to higher provisions, driven by the full quarter impact of acquisitions,"}, {"path": "tedlium_25964.wav", "duration": 7.59, "text": "We're also pleased to have been named the Best Employer for Healthy Lifestyles by the National Business Group on Health."}, {"path": "tedlium_25965.wav", "duration": 7.59, "text": "The portfolio remains extremely diverse by design with our largest tenant representing less than 3% of rent and interest."}, {"path": "tedlium_25966.wav", "duration": 7.59, "text": "directly to AstroNova. In late October, we were successful in transitioning several of the larger contracts."}, {"path": "tedlium_25967.wav", "duration": 7.59, "text": "which is what I think you're referring to, which is really a SKU rationalization program that we're putting in place to sort of harmonize"}, {"path": "tedlium_25968.wav", "duration": 7.59, "text": "Yes. Okay. All right. And then I wonder if we can just toggle over to Western Canada and you can give us some sense of kind of where the"}, {"path": "tedlium_25969.wav", "duration": 7.59, "text": "That is something that we start to see consolidating and that is something that does change compared to what was happening in the past"}, {"path": "tedlium_25970.wav", "duration": 7.59, "text": "We are characterized by a very efficient sales force that is growing with, let's say, quality of"}, {"path": "tedlium_25971.wav", "duration": 7.59, "text": "with one of the most important and largest future demographic groups, millennial parents and their families."}, {"path": "tedlium_25972.wav", "duration": 7.59, "text": "than more simply brand building. So that's how we're doing it. We're not leaving it, but we're making it more specific"}, {"path": "tedlium_25973.wav", "duration": 7.59, "text": "what's your take on the trends of raw material prices over the next year? Will they go down further?"}, {"path": "tedlium_25974.wav", "duration": 7.59, "text": "You can see the direction of the trend, which does not change very easily."}, {"path": "tedlium_25975.wav", "duration": 7.59, "text": "Turning to Slide 7. Luminant once again delivered strong commercial performance during the quarter."}, {"path": "tedlium_25976.wav", "duration": 7.59, "text": "The reasons for this financing stem from our realization that the opportunities in China are going to be considerably larger than we originally planned"}, {"path": "tedlium_25977.wav", "duration": 7.59, "text": "That will take at least 3 to 4 month. But as you do know, ACM can ask questions to us"}, {"path": "tedlium_25978.wav", "duration": 7.59, "text": "with others who are more passive in terms of how they invest. And we'll"}, {"path": "tedlium_25979.wav", "duration": 7.59, "text": "It actually is, I would say, probably more indicative of our drive to get"}, {"path": "tedlium_25980.wav", "duration": 7.59, "text": "that Paul talked about as well as the cost savings initiatives that we have been driving. And then in terms of the Claris 1 impact,"}, {"path": "tedlium_25981.wav", "duration": 7.59, "text": "who have built very successful multi-product franchises around these diseases, with significant unmet need."}, {"path": "tedlium_25982.wav", "duration": 7.59, "text": "I am just wondering have you seen any disruption from the bundles launched"}, {"path": "tedlium_25983.wav", "duration": 7.59, "text": "any idea of splitting up the bank. So that was really just a -- someone got a little bit off-track."}, {"path": "tedlium_25984.wav", "duration": 7.59, "text": "gives us confidence that we are making the right changes to best position Cornerstone for the future."}, {"path": "tedlium_25985.wav", "duration": 7.59, "text": "As you may recall, our expense base is running a little lighter than normal as we are booking a lower incentive accrual with this year's performance."}, {"path": "tedlium_25986.wav", "duration": 7.59, "text": "Have you seen any investments come down to the island yet or heard much talk about investments being made under that particular program?"}, {"path": "tedlium_25987.wav", "duration": 7.59, "text": "Our Trucking segment experienced a truly transformative quarter, and now we will look for sustainable repeat performances."}, {"path": "tedlium_25988.wav", "duration": 7.59, "text": "They have, according to the diminishing and also related to the effect"}, {"path": "tedlium_25989.wav", "duration": 7.59, "text": "which was partially offset by growth in our SaaS offerings and higher volume in Language Solutions and compliance."}, {"path": "tedlium_25990.wav", "duration": 7.59, "text": "We are increasingly encouraged by the response we have received from prospective customers on our holistic solutions."}, {"path": "tedlium_25991.wav", "duration": 7.59, "text": "I'm encouraged about the progress the finance team has made partnering with operations to identify and execute on opportunities"}, {"path": "tedlium_25992.wav", "duration": 7.59, "text": "We're giving you a reason to come and shop right now. If you're in the market today, today is the very best day you could be in the market."}, {"path": "tedlium_25993.wav", "duration": 7.59, "text": "A physician who is truly responsible for closing gaps in care instead looks at the client use case"}, {"path": "tedlium_25994.wav", "duration": 7.59, "text": "you would like to listen to a replay of today's call, it will be available through the investor relations section of Vanguard's corporate website"}, {"path": "tedlium_25995.wav", "duration": 7.59, "text": "I will explain this result in more detail when presenting the results for each products group."}, {"path": "tedlium_25996.wav", "duration": 7.59, "text": "We, therefore, remain committed to developing a product portfolio that will meet consumer needs"}, {"path": "tedlium_25997.wav", "duration": 7.59, "text": "and increase in advertising costs owing to strategic investments and higher distribution costs."}, {"path": "tedlium_25998.wav", "duration": 7.59, "text": "In the existing business domain, we are increasing our focus on core brands and products."}, {"path": "tedlium_25999.wav", "duration": 7.59, "text": "We recently spud our first well on the acreage, and we intend to perform extensive data gathering on the first 4 wells"}, {"path": "tedlium_26000.wav", "duration": 7.59, "text": "In addition to the continued low level of net charge-offs, other credit quality indicators are trending in a positive direction as well."}, {"path": "tedlium_26001.wav", "duration": 7.59, "text": "We've got a process in place that's seeing that almost on a -- not a -- necessarily a daily basis, but certainly, a weekly basis. We're seeing what's happening,"}, {"path": "tedlium_26002.wav", "duration": 7.59, "text": "There's been no real change in the composition of the liquidity portfolio, which remains highly liquid with a moderate duration."}, {"path": "tedlium_26003.wav", "duration": 7.59, "text": "Randy will give you more detail, but I think it's important to keep in mind that the relative net income contribution of mortgage to our company as a whole"}, {"path": "tedlium_26004.wav", "duration": 7.59, "text": "Disciplined growth means not adding overpriced or poor performing services and equipment in order to grow."}, {"path": "tedlium_26005.wav", "duration": 7.59, "text": "Turning to Slide 8. I cannot remember a time in which so many large-scale development projects have been announced in our region in such a short period."}, {"path": "tedlium_26006.wav", "duration": 7.59, "text": "And if you look at what we have been able to achieve when it comes to adjusting margins"}, {"path": "tedlium_26007.wav", "duration": 7.59, "text": "All of these products will continue to support growth in Crop Protection post merger with Dow."}, {"path": "tedlium_26008.wav", "duration": 7.59, "text": "The second is on margins. Irrespective of our go-forward services strategy and based on our operational efficiency plans,"}, {"path": "tedlium_26009.wav", "duration": 7.59, "text": "Women's apparel is definitely a focus in this effort. And so speed's starting to take hold in"}, {"path": "tedlium_26010.wav", "duration": 7.59, "text": "and that should set us in a good position to achieve results for the full year in line with the guidance here."}, {"path": "tedlium_26011.wav", "duration": 7.59, "text": "And so the value prop is quite straightforward for the customer, and we are foreseeing a lot of success"}, {"path": "tedlium_26012.wav", "duration": 7.59, "text": "impacts. Of course, then the decrease of financial costs in the last few years"}, {"path": "tedlium_26013.wav", "duration": 7.59, "text": "and that's really what we're seeing in a lot of the eastern part of our acreage position that's really benefited us."}, {"path": "tedlium_26014.wav", "duration": 7.59, "text": "And I feel that for a couple of reasons. One of which is I just look around and see what's going on with these jurisdictions with either growth or overcrowding."}, {"path": "tedlium_26015.wav", "duration": 7.59, "text": "providing a new channel which we can communicate and engage with our customers and drive transactions to our stores."}, {"path": "tedlium_26016.wav", "duration": 7.59, "text": "We see the achievement of this milestone without any outliers as strong evidence of the general momentum of this business unit."}, {"path": "tedlium_26017.wav", "duration": 7.59, "text": "We believe Convergys offers a superior value proposition, and we continue to pursue new business opportunities"}, {"path": "tedlium_26018.wav", "duration": 7.59, "text": "I want to go back to a piece that you said though and answer a question you didn't ask, but you sort of started going down the path."}, {"path": "tedlium_26019.wav", "duration": 7.59, "text": "of actually gaining customer acceptance around new technology and so on. But we have made progress"}, {"path": "tedlium_26020.wav", "duration": 7.59, "text": "Very short because basically it's unchanged. These results clearly show that we are doing what we said we were going to do."}, {"path": "tedlium_26021.wav", "duration": 7.59, "text": "Rick? There were sales that occurred in the third quarter that we had hoped"}, {"path": "tedlium_26022.wav", "duration": 7.59, "text": "Pakistan is expected to continue its volume growth and drive for continued efficiency gains."}, {"path": "tedlium_26023.wav", "duration": 7.59, "text": "And because of that -- I'll go to the first part of the question, which is, I don't think we're really in a position to talk about this"}, {"path": "tedlium_26024.wav", "duration": 7.59, "text": "also go back down by about a turn the day we sell the shares and we can sell the shares anytime we want. So"}, {"path": "tedlium_26025.wav", "duration": 7.59, "text": "cash flows in the first half of the year were impacted by front-end-loaded restructuring outflows and seasonable payables timing."}, {"path": "tedlium_26026.wav", "duration": 7.59, "text": "Over the past 4 weeks, we've worked tirelessly to restore our systems and recover from the disruption."}, {"path": "tedlium_26027.wav", "duration": 7.59, "text": "Results benefited from continued high consumer demand in our regions and growth on our branded station network."}, {"path": "tedlium_26028.wav", "duration": 7.59, "text": "And with that agreement, we have a situation for track, wheels and tires."}, {"path": "tedlium_26029.wav", "duration": 7.59, "text": "The second piece is what we would -- the third piece is what we would call our industrial application. Now what's interesting"}, {"path": "tedlium_26030.wav", "duration": 7.59, "text": "but revenues from this mandate were not as important as the project is just starting to hit"}, {"path": "tedlium_26031.wav", "duration": 7.59, "text": "to really test some things, to have some fun downstairs right here, to do a lot more of the local items, maybe even"}, {"path": "tedlium_26032.wav", "duration": 7.59, "text": "as well as rate increases for our maintenance and fleet service team members that became effective mid-third quarter last year."}, {"path": "tedlium_26033.wav", "duration": 7.59, "text": "We also advise you that this conference call is being broadcast live through the Internet and can be accessed on the company's home page."}, {"path": "tedlium_26034.wav", "duration": 7.59, "text": "is at least favorable to the consideration of activities-based approaches as opposed to entity designations."}, {"path": "tedlium_26035.wav", "duration": 7.59, "text": "Got you. And then maybe just finally in the tech solutions, you talked about some of the productivity issues with the big projects. I mean,"}, {"path": "tedlium_26036.wav", "duration": 7.59, "text": "it opens up our optionality for reducing debt in a faster manner than which we would have done it."}, {"path": "tedlium_26037.wav", "duration": 7.59, "text": "put too fine a point on that. I think what we saw with our customers and in discussions is just a general"}, {"path": "tedlium_26038.wav", "duration": 7.59, "text": "to existing Sientra customers and begin to expand the number of customers we serve."}, {"path": "tedlium_26039.wav", "duration": 7.59, "text": "I think if I were to throw in an analogy in there from since you got to do hug index, I get to do an analogy as well."}, {"path": "tedlium_26040.wav", "duration": 7.59, "text": "a unique experience that maximizes both overall video views and playtime. Additionally,"}, {"path": "tedlium_26041.wav", "duration": 7.59, "text": "ordering EXPAREL been increasing it? Or is it now about further penetrating existing accounts in the hospital setting?"}, {"path": "tedlium_26042.wav", "duration": 7.59, "text": "This should lead to continued improvements in the financial performance and efficiencies in RBB over the medium to long term."}, {"path": "tedlium_26043.wav", "duration": 7.59, "text": "in that space. If I come back to the year just gone, the fact that, that existing home market"}, {"path": "tedlium_26044.wav", "duration": 7.59, "text": "So it's a multitude of things in that regard. And then, I suppose, a bit like we did with the Alesco acquisition,"}, {"path": "tedlium_26045.wav", "duration": 7.59, "text": "And so putting the brand and helping them grow organically and then also being able to introduce them to a number of RIAs who are very interested"}, {"path": "tedlium_26046.wav", "duration": 7.59, "text": "and continues to grow nicely. We have a nice complement with the Asset Management that we manage assets for Advice as well as"}, {"path": "tedlium_26047.wav", "duration": 7.59, "text": "and productivity levels at our Nigel manufacturing facility, we concluded that our prior cost estimates needed to be revised."}, {"path": "tedlium_26048.wav", "duration": 7.59, "text": "This strong performance in the first quarter has us hopeful that Mondelez' operational transformation is successfully underway."}, {"path": "tedlium_26049.wav", "duration": 7.59, "text": "we went back and looked at the last 8 years, just to give you context for this first year's half redemptions, this year's first half would be sixth"}, {"path": "tedlium_26050.wav", "duration": 7.59, "text": "And then of those 10, are those competitive takeaways? Or are those banks that are looking to grow and want to establish a commercial banking"}, {"path": "tedlium_26051.wav", "duration": 7.59, "text": "add or subtract duration? Are they using futures to add or subtract currency exposure? All of these things"}, {"path": "tedlium_26052.wav", "duration": 7.59, "text": "And on Royal Challenge, we identified the opportunity to increase spend and reallocate across our media channels."}, {"path": "tedlium_26053.wav", "duration": 7.59, "text": "The third quarter, we saw very good revenues trends in the first 2 months of the quarter. They moderated some in September,"}, {"path": "tedlium_26054.wav", "duration": 7.59, "text": "I would say not irrational, I would say aggressive in this market. I would say that what they're trying to make sure that they're turning their assets."}, {"path": "tedlium_26055.wav", "duration": 7.59, "text": "I also wish to remind you that during the course of this call, we may make projections or other forward-looking statements regarding future events,"}, {"path": "tedlium_26056.wav", "duration": 7.59, "text": "retaining focus on efficiency and extensive work in scaling up the business lines we've built over the last 3 to 4 years."}, {"path": "tedlium_26057.wav", "duration": 7.59, "text": "we're largely through that analysis and we don't believe that there is going to be anything material along those lines."}, {"path": "tedlium_26058.wav", "duration": 7.59, "text": "mandates for VOO. To be honest, I think for the time being, we do not see that there will be"}, {"path": "tedlium_26059.wav", "duration": 7.59, "text": "As a result of our wells continuing to exceed our crude oil production expectations,"}, {"path": "tedlium_26060.wav", "duration": 7.59, "text": "Similar to the first half of the year, the impact of our specialty materials business on third quarter revenue was negligible."}, {"path": "tedlium_26061.wav", "duration": 7.59, "text": "We feel like the success of the business allows us to also return capital to shareholders. And I think we feel like we can use"}, {"path": "tedlium_26062.wav", "duration": 7.59, "text": "And secondly, can you also discuss the income level of your customer and how that been recently changing."}, {"path": "tedlium_26063.wav", "duration": 7.59, "text": "and additional entertainment clients. So there is no way at this point for us to separate that and"}, {"path": "tedlium_26064.wav", "duration": 7.59, "text": "One will be approximately 1,500 seats and the other one will be a smaller seat count but will have a much larger transaction volume."}, {"path": "tedlium_26065.wav", "duration": 7.59, "text": "Also, during the call, certain financial numbers may be discussed that differ from comparable numbers obtained in our financial statements."}, {"path": "tedlium_26066.wav", "duration": 7.59, "text": "For such measures, reconciliations to the most directly comparable GAAP measure is available at the end of the supplemental information,"}, {"path": "tedlium_26067.wav", "duration": 7.59, "text": "in many instances wireless, even though some wireless standards need to be upgraded as we have learned over the last couple of weeks,"}, {"path": "tedlium_26068.wav", "duration": 7.59, "text": "for that group to be weaker, both top and bottom line, than the second half of 2016, much like what we saw"}, {"path": "tedlium_26069.wav", "duration": 7.59, "text": "Our core local and national are being impacted as expected by political displacement in October and November."}, {"path": "tedlium_26070.wav", "duration": 7.59, "text": "That was a success on the Axis 3. And then so we repeated that on all of the Kudu wells,"}, {"path": "tedlium_26071.wav", "duration": 7.59, "text": "as this transitioned to a new manufacturing facility during the third quarter aided in driving operational improvements."}, {"path": "tedlium_26072.wav", "duration": 7.59, "text": "net of revenues from reimbursables in 2017. Principal factors were additional aircraft operations for Amazon,"}, {"path": "tedlium_26073.wav", "duration": 7.59, "text": "Retailers care about category growth and they're allocating more shelf space to our products because we're driving the growth in the category."}, {"path": "tedlium_26074.wav", "duration": 7.59, "text": "And I think that we're starting at a much higher plateau this year because we have about 80 people who have experience."}, {"path": "tedlium_26075.wav", "duration": 7.59, "text": "And those investments, in addition to the impact of annual wage increases, are going to get funded through improved seat utilization."}, {"path": "tedlium_26076.wav", "duration": 7.59, "text": "This morning's announcement is a great example. This will be the largest single train PP unit in the world,"}, {"path": "tedlium_26077.wav", "duration": 7.59, "text": "So we've had robust business growth last year, we now have a larger business volume and we expect the continuation of"}, {"path": "tedlium_26078.wav", "duration": 7.59, "text": "in what way all these designed and what are the purposes of all these programs?"}, {"path": "tedlium_26079.wav", "duration": 7.59, "text": "And you would think that you would take that investment and put it on AngioVac. But actually, the investment we made was on Fluid because it alleviated the entire organization."}, {"path": "tedlium_26080.wav", "duration": 7.59, "text": "We are pleased with the high realization rates that we're seeing, which are due to the solid efforts of our sales and marketing teams."}, {"path": "tedlium_26081.wav", "duration": 7.59, "text": "Fortunately, the combination of pricing initiatives and our success in capturing higher-value waste streams"}, {"path": "tedlium_26082.wav", "duration": 7.59, "text": "they just could not suffer the idea of being off of that cable system for more than a couple of weeks whereas we certainly can."}, {"path": "tedlium_26083.wav", "duration": 7.59, "text": "Turning to an update on the projects, starting in Pakistan."}, {"path": "tedlium_26084.wav", "duration": 7.59, "text": "is that we see the ability to impact nearly half of the assets we have through accretive reinvestments, everything from"}, {"path": "tedlium_26085.wav", "duration": 7.59, "text": "but the trend certainly is. So I'm very encouraged with the absolute cost reductions that people are making,"}, {"path": "tedlium_26086.wav", "duration": 7.59, "text": "We continue to realize the benefits of operating leverage, as we grew the bottom line even faster than the top line once again this quarter."}, {"path": "tedlium_26087.wav", "duration": 7.59, "text": "By now you should have a copy of our results press release, which crossed the wires this afternoon following the close of market."}, {"path": "tedlium_26088.wav", "duration": 7.59, "text": "and we expect that to continue. We have pretty good optics of where the crude market is going over the next 60 to 90 days."}, {"path": "tedlium_26089.wav", "duration": 7.59, "text": "to making data and analytics readily available to our site employees to enable faster and better decision-making."}, {"path": "tedlium_26090.wav", "duration": 7.59, "text": "trying to stay a step ahead of everyone else when you think about the product. And I think there's been a lot of questions"}, {"path": "tedlium_26091.wav", "duration": 7.59, "text": "try to focus on things that are in the early clinical asset space that's kind of our core, where we believe that we can identify things"}, {"path": "tedlium_26092.wav", "duration": 7.59, "text": "And with that, I'll turn over the call to Jan for his commentary on the fourth quarter results and fiscal 2019 outlook."}, {"path": "tedlium_26093.wav", "duration": 7.59, "text": "And we will also be continuing to add more opening price point products, as we have done successfully in the past."}, {"path": "tedlium_26094.wav", "duration": 7.59, "text": "compared to that based on the ore reserve at any particular time. This is even more the case for underground mines."}, {"path": "tedlium_26095.wav", "duration": 7.59, "text": "higher earnings power to the company because it's not reflected in the forward curves. But we do the fundamental analysis."}, {"path": "tedlium_26096.wav", "duration": 7.59, "text": "I think I commented on that earlier. But -- so we see very strong big box demand at the moment."}, {"path": "tedlium_26097.wav", "duration": 7.59, "text": "The success of our ink to green initiative is another significant contributor to our health plan growth."}, {"path": "tedlium_26098.wav", "duration": 7.59, "text": "Overall, while we are continuing to evolve both our organization and our industry-leading products,"}, {"path": "tedlium_26099.wav", "duration": 7.59, "text": "We also announced a strategic investment and planned partnership with Klarna, one of Europe's leading payment providers."}, {"path": "tedlium_26100.wav", "duration": 7.59, "text": "All participants consent to having their voice and questions broadcast via participation of this event."}, {"path": "tedlium_26101.wav", "duration": 7.59, "text": "You may now disconnect."}, {"path": "tedlium_26102.wav", "duration": 7.56, "text": "We'll be there on Tuesday, March 13, to meet with investors and present investment highlights. And so now, I'll turn the call over to Randy."}, {"path": "tedlium_26103.wav", "duration": 7.56, "text": "We anticipate that all remaining subjects in the other cohorts will have received all doses by mid- to late September."}, {"path": "tedlium_26104.wav", "duration": 7.56, "text": "We actively monitor the value of the underlying collateral, and any piece of collateral that is nonperforming is removed from the borrowing base."}, {"path": "tedlium_26105.wav", "duration": 7.56, "text": "going forward, when you launch another campaign, are you going to come up with more"}, {"path": "tedlium_26106.wav", "duration": 7.56, "text": "we believe and we've already begun to see our ability to win incremental sockets that lead to long-term growth"}, {"path": "tedlium_26107.wav", "duration": 7.56, "text": "when you look at the heart of IC design, it's basically your ability to efficiently use silicon."}, {"path": "tedlium_26108.wav", "duration": 7.56, "text": "This result was included in the operating result as we had previously reported the change of that value in the investment"}, {"path": "tedlium_26109.wav", "duration": 7.56, "text": "Thank you, operator. We are pleased with our performance. Our businesses are executing extremely well and our teams are focused on our growth initiatives."}, {"path": "tedlium_26110.wav", "duration": 7.56, "text": "the amount of mining days in itself is something that is being managed by the government. And for us to operate our plant, you need a"}, {"path": "tedlium_26111.wav", "duration": 7.56, "text": "The business is capitalizing on new and used equipment opportunities in a challenging market, while benefiting from a lower cost structure."}, {"path": "tedlium_26112.wav", "duration": 7.56, "text": "Also note that nothing on this call constitutes an offer to sell or solicitation of an offer to purchase any shares,"}, {"path": "tedlium_26113.wav", "duration": 7.56, "text": "another extension of time to regain compliance with applicable NASDAQ reported requirements."}, {"path": "tedlium_26114.wav", "duration": 7.56, "text": "I hope as many of you as possible would be able to join us on the today or listen in, and I look forward to talking to you again very soon."}, {"path": "tedlium_26115.wav", "duration": 7.56, "text": "I now go to the next slide, which is introducing Clas Ohlson Limited Edition."}, {"path": "tedlium_26116.wav", "duration": 7.56, "text": "I think there are a couple of significant differences in terms of our German business and the most important one is,"}, {"path": "tedlium_26117.wav", "duration": 7.56, "text": "The amount of business that could be done across the country is very large. I don't know if you have seen some of the"}, {"path": "tedlium_26118.wav", "duration": 7.56, "text": "drive that line and a lot of things have happened here too. There's a lot of expense management you can do in some of the stuff because"}, {"path": "tedlium_26119.wav", "duration": 7.56, "text": "Our strong cash from operations enabled us to both grow the company and return value to our stockholders."}, {"path": "tedlium_26120.wav", "duration": 7.56, "text": "Slide 3 shows the agenda for today's review. Following the formal presentation, we will be pleased to take your questions."}, {"path": "tedlium_26121.wav", "duration": 7.56, "text": "while continuing to build out partnership and acquisition web services opportunities."}, {"path": "tedlium_26122.wav", "duration": 7.56, "text": "each portfolio can have a different management fee. So the shift didn't have to come from credit to equity. Within equity,"}, {"path": "tedlium_26123.wav", "duration": 7.56, "text": "because we've already got the healthy states. We've got the local. We've got the big propositions. Those are all that are going to be the growth environments."}, {"path": "tedlium_26124.wav", "duration": 7.56, "text": "is this going to change anything in terms of how you manage group liquidity or upstreams in the future?"}, {"path": "tedlium_26125.wav", "duration": 7.56, "text": "These areas include continuing to enhance the Erie experience, improving our platforms and data management,"}, {"path": "tedlium_26126.wav", "duration": 7.56, "text": "We're very comfortable with that based on commodity price movements since the beginning of the year, especially in Potash and copper."}, {"path": "tedlium_26127.wav", "duration": 7.56, "text": "people will certainly do what they need to do in the time period and what they should do in the time period to treat themselves or their children,"}, {"path": "tedlium_26128.wav", "duration": 7.56, "text": "We have assumed full responsibility for the development and commercialization of the licensed compounds."}, {"path": "tedlium_26129.wav", "duration": 7.56, "text": "Interesting. Thank you, Todd. I'm going to read my comments again. Now this is only the second or third time that I've done that."}, {"path": "tedlium_26130.wav", "duration": 7.56, "text": "After much anticipation, we could not be more excited to finally open STK Orlando at the end of May."}, {"path": "tedlium_26131.wav", "duration": 7.56, "text": "see a change in sales that's different than what we see based on how they adjust their inventories."}, {"path": "tedlium_26132.wav", "duration": 7.56, "text": "focusing on streamlining and harmonizing our assortment, both from a supply and from a commercial point of view."}, {"path": "tedlium_26133.wav", "duration": 7.56, "text": "we are seeing an increased growth in diagnosed untreated patients coming onto Galafold and that's right in line with our strategy."}, {"path": "tedlium_26134.wav", "duration": 7.56, "text": "that is the core to improve the usage of the theatre, so that we spend a lot of time on trying to shorten those"}, {"path": "tedlium_26135.wav", "duration": 7.56, "text": "And though it was a solid quarter, we realize we have much more work ahead. Since Brian's arrival, we've been taking a fresh look at every element of our business."}, {"path": "tedlium_26136.wav", "duration": 7.56, "text": "what is your goal in terms of where that reserves to loan ratio would be"}, {"path": "tedlium_26137.wav", "duration": 7.56, "text": "I think if you look back even as far back as last year at our IPO, we said we had a number of levers that we'd pull"}, {"path": "tedlium_26138.wav", "duration": 7.56, "text": "Relative to technology positions, I think nothing has really changed versus what we thought before."}, {"path": "tedlium_26139.wav", "duration": 7.56, "text": "that maybe rather than for the next year's negotiations could be a smaller headwind as those"}, {"path": "tedlium_26140.wav", "duration": 7.56, "text": "costs that came through in third quarter, and certainly, were concentrated in third quarter with some of the things that we were doing. So"}, {"path": "tedlium_26141.wav", "duration": 7.56, "text": "So we use the current market condition I mean that consumers are looking for the best prices. And"}, {"path": "tedlium_26142.wav", "duration": 7.56, "text": "We're reconfirming our 2017 guidance, and simplification of the business and operational discipline will continue to drive results."}, {"path": "tedlium_26143.wav", "duration": 7.56, "text": "However, setting aside Washington, the truth of the matter is New York State, which is 1 of our 2 major"}, {"path": "tedlium_26144.wav", "duration": 7.56, "text": "Three of our existing customers now ship sand through our terminal to North Dakota."}, {"path": "tedlium_26145.wav", "duration": 7.56, "text": "Thanks, Chuck. As Chuck highlighted, we did have solid volumes in the third quarter and strong financial results for the quarter."}, {"path": "tedlium_26146.wav", "duration": 7.56, "text": "Deal models aren't the thing that gets the deal closed. Deal models are the thing in which you measure yourself for by year after year."}, {"path": "tedlium_26147.wav", "duration": 7.56, "text": "The success of this initial partnership drove Rubicon Project's decision to migrate its entire European production infrastructure"}, {"path": "tedlium_26148.wav", "duration": 7.56, "text": "Just like we have done in our Northern Delaware acreage, it is our plan to gather and analyze sufficient data"}, {"path": "tedlium_26149.wav", "duration": 7.56, "text": "Our inventory values include our pre-sold gallons that are at a higher price"}, {"path": "tedlium_26150.wav", "duration": 7.56, "text": "and you are busy sort of trying to fix out as much as you can at attractive rates on the liability side of your balance sheet,"}, {"path": "tedlium_26151.wav", "duration": 7.56, "text": "We currently are only closing on about 3% to 4% of the transactions we review for new companies,"}, {"path": "tedlium_26152.wav", "duration": 7.56, "text": "Another positive for the quarter was the rollout of our new payment platform, including the launch of credit cards and merchant services."}, {"path": "tedlium_26153.wav", "duration": 7.56, "text": "into securities that are consistent with our strategies, and we marked their loan portfolio to fair value using current market rates."}, {"path": "tedlium_26154.wav", "duration": 7.56, "text": "But in addition to that, there may be some CapEx in our existing facilities that will also expand capacity or reduce costs."}, {"path": "tedlium_26155.wav", "duration": 7.56, "text": "This conference call is the property of Exponent and any taping or other reproduction is expressly prohibited without prior written consent."}, {"path": "tedlium_26156.wav", "duration": 7.56, "text": "Cash expenditures related to mine reclamation will continue until reclamation is complete or ownership of the mines is transferred."}, {"path": "tedlium_26157.wav", "duration": 7.56, "text": "We look forward to working with the Phillips family and the Northwest team."}, {"path": "tedlium_26158.wav", "duration": 7.56, "text": "I'll call it a different reason or a different context perhaps -- then perhaps that discount trader and their trading activity."}, {"path": "tedlium_26159.wav", "duration": 7.56, "text": "though these firms have opted out of the protocol, you just sort of flip them over to the process that you might use on the other side of that line,"}, {"path": "tedlium_26160.wav", "duration": 7.56, "text": "After the prepared remarks, management will BE available to take your questions for as long as time permits. Now I'll turn the call over to Brendan."}, {"path": "tedlium_26161.wav", "duration": 7.56, "text": "that are going to help us achieve the results that I just outlined going forward. So I'd say we're very pleased."}, {"path": "tedlium_26162.wav", "duration": 7.56, "text": "of why we like the progress of the business over the last years and also the last 12 months since I'm here."}, {"path": "tedlium_26163.wav", "duration": 7.56, "text": "and participants are encouraged to carefully review this reconciliation. We intend to limit the length of this call to 1 hour."}, {"path": "tedlium_26164.wav", "duration": 7.56, "text": "In addition to our investments in new stores, we plan on opening our new Houston distribution center late this summer."}, {"path": "tedlium_26165.wav", "duration": 7.56, "text": "We have already picked up a few candidates for the Chief Medical Officer position."}, {"path": "tedlium_26166.wav", "duration": 7.56, "text": "However, and as we pointed out on the previous call, it's important to note that the starting point is one of latent oversupply,"}, {"path": "tedlium_26167.wav", "duration": 7.56, "text": "The financing flows reflect drawings on our existing debt and the bridge financing for the West acquisition."}, {"path": "tedlium_26168.wav", "duration": 7.56, "text": "Domestic Passenger, International Passenger and Cargo and Mail businesses all recorded increased revenues."}, {"path": "tedlium_26169.wav", "duration": 7.56, "text": "the vast majority of that was Chicago based. And it was in the first quarter, which was a slow quarter for us anyway."}, {"path": "tedlium_26170.wav", "duration": 7.56, "text": "and that we need to get pricing back to levels that would resemble where we were in the last cycle in order to get profitability back to reinvestment economics."}, {"path": "tedlium_26171.wav", "duration": 7.56, "text": "When adjusted to exclude both Providence as well as the reduction to revenue associated with the LHC transaction,"}, {"path": "tedlium_26172.wav", "duration": 7.56, "text": "We have a very resilient business, built on the strength of our core brands and our diversified portfolio."}, {"path": "tedlium_26173.wav", "duration": 7.56, "text": "That's kind of -- that hasn't really died down much. I would just say given the reconfiguration of the cards,"}, {"path": "tedlium_26174.wav", "duration": 7.56, "text": "To increase market share, in the first quarter, we doubled the size of our sales team and tripled our lead generation investments."}, {"path": "tedlium_26175.wav", "duration": 7.56, "text": "And now I would like to turn the call over to your host for today's call. And with that, it's my pleasure to hand over to Patrick."}, {"path": "tedlium_26176.wav", "duration": 7.56, "text": "was there a change in the basket of inflation from a labor standpoint in the quarter? And then maybe what's your outlook for that basket"}, {"path": "tedlium_26177.wav", "duration": 7.56, "text": "Thank you. This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation, and have a wonderful day."}, {"path": "tedlium_26178.wav", "duration": 7.56, "text": "and go through the brain damage of passing our credits to our largely retail shareholder base and explain to them how to claim it on their tax return."}, {"path": "tedlium_26179.wav", "duration": 7.56, "text": "very well against our peers, not something that we just build into our ongoing operation, and it becomes,"}, {"path": "tedlium_26180.wav", "duration": 7.56, "text": "And Patricia, it's the other Greg. I would just say it would stand to reason that issuance and redemption would be way up in Mark's and FCL because it's net new. But"}, {"path": "tedlium_26181.wav", "duration": 7.56, "text": "This part of the power management market addresses about 50% of the overall PM market and supports many end applications,"}, {"path": "tedlium_26182.wav", "duration": 7.56, "text": "customers that add value to them on high-end platforms and that we're being very successful in."}, {"path": "tedlium_26183.wav", "duration": 7.56, "text": "Original gallium nitride devices for gas sensing are also fabricated on GaN on silicon wafers."}, {"path": "tedlium_26184.wav", "duration": 7.56, "text": "business for us right now in terms of these kits, but one that we think has good growth potential on a pretty sustainable basis."}, {"path": "tedlium_26185.wav", "duration": 7.56, "text": "With this framework in mind, let's turn to Page 4 and look at our first quarter's results where you can see the earnings per share amounts."}, {"path": "tedlium_26186.wav", "duration": 7.56, "text": "We'll see, as the year goes along, whether the tax reduction has any impact on the back end of the curve."}, {"path": "tedlium_26187.wav", "duration": 7.56, "text": "what do you think the sensitivity is for the residential versus I think you're saying flat? And then can we also get an updated dealer count?"}, {"path": "tedlium_26188.wav", "duration": 7.56, "text": "The business was also ranked second in the private banking category, which is a significant improvement from last year's fourth place."}, {"path": "tedlium_26189.wav", "duration": 7.56, "text": "Our asset management businesses continue to win industry awards for their performance and stewardship of our clients' savings."}, {"path": "tedlium_26190.wav", "duration": 7.56, "text": "And one of the great things is that even as we have significantly increased the number of net new actives coming onto the platform each quarter,"}, {"path": "tedlium_26191.wav", "duration": 7.56, "text": "All of the MSOs recognize the need to deliver higher bandwidth and speed to remain competitive against wireless alternatives."}, {"path": "tedlium_26192.wav", "duration": 7.56, "text": "to be materially different from the results or achievements expressed or implied by such forward-looking statements."}, {"path": "tedlium_26193.wav", "duration": 7.56, "text": "We think that we still can do better. But this is something that we will address in the next"}, {"path": "tedlium_26194.wav", "duration": 7.56, "text": "And the underlying business, it's not that we particularly see a lot of risk. I think we're trying to be thoughtful about the puts and takes across the business."}, {"path": "tedlium_26195.wav", "duration": 7.56, "text": "Additionally, we have a number of operational improvement and strategic sourcing initiatives underway in the segment that favorably impacted our results."}, {"path": "tedlium_26196.wav", "duration": 7.56, "text": "We are pleased with our strong business performance this quarter, particularly our loss ratio, which continues to develop in line with our expectations,"}, {"path": "tedlium_26197.wav", "duration": 7.56, "text": "period of kind of weak title slate in the middle of last year coming back now that the slates improved to some degree? Or is it just impossible to measure that?"}, {"path": "tedlium_26198.wav", "duration": 7.56, "text": "both in terms of number of clients and in terms of average exposures with those clients."}, {"path": "tedlium_26199.wav", "duration": 7.56, "text": "a number of increases that -- until it gets much higher. So I don't think we're going to see a big impact on small business"}, {"path": "tedlium_26200.wav", "duration": 7.56, "text": "The strength of our business model leaves us well positioned to make the long-term investments necessary to grow our business in the future."}, {"path": "tedlium_26201.wav", "duration": 7.56, "text": "These types of forward-looking statements are subject to a number of risks and uncertainties relating to the oil and gas industry,"}, {"path": "tedlium_26202.wav", "duration": 7.56, "text": "as we can gain business and learn that market. But probably not a lot of impact the first half of next year."}, {"path": "tedlium_26203.wav", "duration": 7.56, "text": "While all leverage is higher, the increase is a natural result of our overall portfolio growth and remains well below the sector average."}, {"path": "tedlium_26204.wav", "duration": 7.56, "text": "be able to register some gains from some of the productivity initiatives that we have across the bank."}, {"path": "tedlium_26205.wav", "duration": 7.56, "text": "and also, I think I have to say though it's too early to make any broad conclusions, certainly about any kind of market share."}, {"path": "tedlium_26206.wav", "duration": 7.56, "text": "We believe our Industrial businesses are well aligned with key long-term secular trends that are supported by sound fundamentals."}, {"path": "tedlium_26207.wav", "duration": 7.56, "text": "So I'm not going to put a specific target out there, but the role of the organization is one to really"}, {"path": "tedlium_26208.wav", "duration": 7.56, "text": "These statements are not guarantees of future performance and involves risks and uncertainties that are difficult to predict."}, {"path": "tedlium_26209.wav", "duration": 7.56, "text": "Times to drill each wells are beginning to shorten with one well being delivered in a record 16 days from spuds to total depth."}, {"path": "tedlium_26210.wav", "duration": 7.56, "text": "come back to the table to negotiate. So now it's really just a function of the administration realizing that the hurt is gone from"}, {"path": "tedlium_26211.wav", "duration": 7.56, "text": "As a reminder, our regular scheduled maintenance and the amount of export products we produce can have an effect on our production rates during any quarter."}, {"path": "tedlium_26212.wav", "duration": 7.56, "text": "And simplification is delivering significant quality improvements and structural spend savings."}, {"path": "tedlium_26213.wav", "duration": 7.56, "text": "Our focus strategy to diversify is paying dividends as the added leverage provide balance and offsets."}, {"path": "tedlium_26214.wav", "duration": 7.56, "text": "This is a very customer-focused business, and it's important that it is. We need to respect our customers and their individual circumstances."}, {"path": "tedlium_26215.wav", "duration": 7.56, "text": "color of how you're thinking about revenue management in the market that is seeing quite aggressive competition by local carriers. I"}, {"path": "tedlium_26216.wav", "duration": 7.56, "text": "have more of a limited entry effect, to further refine the completion so that we"}, {"path": "tedlium_26217.wav", "duration": 7.56, "text": "We do need more gas supply to get to market, and simply unlocking the reserves that Australia has will achieve that."}, {"path": "tedlium_26218.wav", "duration": 7.56, "text": "So we expect to leave the year with very good momentum and fewer hills to climb. The external environment"}, {"path": "tedlium_26219.wav", "duration": 7.56, "text": "does this change your view as sort of to what the structural profitability of Westeel is, either a little bit better or a little bit below?"}, {"path": "tedlium_26220.wav", "duration": 7.56, "text": "First of all, I'm full of gratitude to everyone who has stepped up to the plate for us and with us over the years."}, {"path": "tedlium_26221.wav", "duration": 7.56, "text": "Our federal successes also helped us with state and local agencies, both domestically and internationally."}, {"path": "tedlium_26222.wav", "duration": 7.56, "text": "and you'll work with them to make sure that you up-sell, cross-sell at different business dimensions to scale it up,"}, {"path": "tedlium_26223.wav", "duration": 7.56, "text": "And this demonstrates our confidence in a stable and sustainable dividend well into the future."}, {"path": "tedlium_26224.wav", "duration": 7.56, "text": "We are reorienting our efforts to reach the customer's home or premises in order to gain share in a vertical manner"}, {"path": "tedlium_26225.wav", "duration": 7.56, "text": "Collectively, this means being faster and smarter about how we deliver solutions that solve our clients' greatest challenges."}, {"path": "tedlium_26226.wav", "duration": 7.56, "text": "because we are actually thinking in a very long stature, where does the growth come from today,"}, {"path": "tedlium_26227.wav", "duration": 7.56, "text": "And it's been fantastic for us, and it continues to be a great program. It's not just for family members but it's also friends. Yes,"}, {"path": "tedlium_26228.wav", "duration": 7.56, "text": "where I think we have largely hit the bottom there in the short term because they will buy more software,"}, {"path": "tedlium_26229.wav", "duration": 7.56, "text": "Our maintenance departments are managing, based on the data we collect, not based on a gut feel of how equipment is operating."}, {"path": "tedlium_26230.wav", "duration": 7.56, "text": "as demonstrated by the recent expansion of the Cigna MACI medical policy to include patella defects."}, {"path": "tedlium_26231.wav", "duration": 7.56, "text": "And I want to take this opportunity of giving our retailers and our dealers credit for great execution across all fronts."}, {"path": "tedlium_26232.wav", "duration": 7.56, "text": "in '19. We just don't believe that it could be as large as it was in '19 and don't, at least, have that planned currently."}, {"path": "tedlium_26233.wav", "duration": 7.56, "text": "So just to be clear, your trust funds, you said, had a positive return in the fourth quarter. Was it -- is it just positive in terms of the gains you were able to take out?"}, {"path": "tedlium_26234.wav", "duration": 7.56, "text": "and that's why we have this amplified combined ratio. It's not so much used in other markets, but we find it important to show it."}, {"path": "tedlium_26235.wav", "duration": 7.56, "text": "Revenue for the fourth quarter increased 15%, our highest quarterly increase of the year."}, {"path": "tedlium_26236.wav", "duration": 7.56, "text": "And these investments really began to pay off last year as we delivered 7% organic sales growth,"}, {"path": "tedlium_26237.wav", "duration": 7.56, "text": "I want to comment briefly on the announcement we made last week that we settled the pending litigation with Public Consulting Group."}, {"path": "tedlium_26238.wav", "duration": 7.56, "text": "While difficult to measure worldwide, we are also confident that because of the brand's strength of our grading services,"}, {"path": "tedlium_26239.wav", "duration": 7.56, "text": "The decline in operating income is in large part related to extra costs incurred to ramp EMS capacity."}, {"path": "tedlium_26240.wav", "duration": 7.5599375, "text": "with pricing. But overall, we've hesitated to answer the question whether or not it was sustainable or not"}, {"path": "tedlium_26241.wav", "duration": 7.5599375, "text": "That said, we would expect it to contribute slightly to revenue growth and be modestly negative for profitability and cash flows for the quarter."}, {"path": "tedlium_26242.wav", "duration": 7.53, "text": "demand dollar growth is defined as prescriptions filled at the pharmacy counter times by the price sold to the wholesalers."}, {"path": "tedlium_26243.wav", "duration": 7.53, "text": "We've said it many times before, the only way we will ever be successful -- in fact, the key to success for any investment manager"}, {"path": "tedlium_26244.wav", "duration": 7.53, "text": "demands for the right packaging no matter what the retail outfit is, develop the solutions,"}, {"path": "tedlium_26245.wav", "duration": 7.53, "text": "At this time, for opening remarks and introductions, I would like to turn the conference over to Mr. Barry Holt. Please go ahead, sir."}, {"path": "tedlium_26246.wav", "duration": 7.53, "text": "As we typically do on our fourth quarter calls, I will give you a brief update on our global retirement plan."}, {"path": "tedlium_26247.wav", "duration": 7.53, "text": "So my view hasn't changed that we still think this business should generate mid- to high single-digit growth over time."}, {"path": "tedlium_26248.wav", "duration": 7.53, "text": "very pleasing to see that we were able to move through that same problem area, but done on Level 2 in"}, {"path": "tedlium_26249.wav", "duration": 7.53, "text": "Certainly, this year, because we feel like that there's enough strength and the bid season will carry us through the next 4 quarters."}, {"path": "tedlium_26250.wav", "duration": 7.53, "text": "and third, continue focusing on generating cash flow and to begin paying down bank debt in the second half of the year."}, {"path": "tedlium_26251.wav", "duration": 7.53, "text": "over the last several quarters talking about expense management, that will continue, and so"}, {"path": "tedlium_26252.wav", "duration": 7.53, "text": "but at the same time, they do require more time. And so as we've seen that shift in"}, {"path": "tedlium_26253.wav", "duration": 7.53, "text": "The improvement that we saw this year was just a reflection of the fact that we did see some of those blanket orders come in, in the third quarter,"}, {"path": "tedlium_26254.wav", "duration": 7.53, "text": "The increase in book value was driven by the credit portion of our portfolio as credit spreads tightened during the quarter."}, {"path": "tedlium_26255.wav", "duration": 7.53, "text": "The business also drove share gains behind incremental distribution and merchandising activities in lip care."}, {"path": "tedlium_26256.wav", "duration": 7.53, "text": "I will obviously come back at the end with a summary. But I would like to hand over to Dessi, who will continue presenting you the financial ambitions"}, {"path": "tedlium_26257.wav", "duration": 7.53, "text": "I've spoken about our equipment to expanding our digital capabilities on previous calls and we are making progress in this regard,"}, {"path": "tedlium_26258.wav", "duration": 7.53, "text": "executing additional strategic or financial combinations and attracting the incremental investor looking for income."}, {"path": "tedlium_26259.wav", "duration": 7.53, "text": "we'll get past this, the politics, everything else and make the most of our opportunities as we look forward"}, {"path": "tedlium_26260.wav", "duration": 7.53, "text": "the end of the year. And this is a result of an annual inventory reset in September at one of our retailers."}, {"path": "tedlium_26261.wav", "duration": 7.53, "text": "that strategy is working and you'll see us continue to do that as we go into '16 and '17. And"}, {"path": "tedlium_26262.wav", "duration": 7.53, "text": "Now to discuss our financial performance and outlook in more detail, I will hand it over to Ken. Ken?"}, {"path": "tedlium_26263.wav", "duration": 7.53, "text": "it's true that we are working very hard. But for the NIM outlook, we believe that there won't be much change"}, {"path": "tedlium_26264.wav", "duration": 7.53, "text": "first of all, that's laughable, particularly laughable since we're now showing you what this is capable of doing."}, {"path": "tedlium_26265.wav", "duration": 7.53, "text": "And then are you seeing more willingness from Chinese consumers to move up the chain scale? Is that helping you at all?"}, {"path": "tedlium_26266.wav", "duration": 7.53, "text": "is the quality of the asset. And in the main, we have been focused largely looking at the Exhibitions market"}, {"path": "tedlium_26267.wav", "duration": 7.53, "text": "European operations. So do you think you would have to do"}, {"path": "tedlium_26268.wav", "duration": 7.53, "text": "In addition, we saw high single digits in Southeast Asia and mid-single digits in the Middle East and Greater China, despite all of the turbulence there."}, {"path": "tedlium_26269.wav", "duration": 7.53, "text": "If foreign currency exchange rates hold near current levels, we expect net sales in the third quarter and full year to be negatively impacted"}, {"path": "tedlium_26270.wav", "duration": 7.53, "text": "and is currently in due diligence on this product line. It is entirely too early to discuss any specifics,"}, {"path": "tedlium_26271.wav", "duration": 7.53, "text": "that's definitely something worth keeping in mind when you look at the results there. And that's why we also added in the talk that"}, {"path": "tedlium_26272.wav", "duration": 7.53, "text": "exemplified by the modification kits we won for in-flight entertainment systems announced last quarter."}, {"path": "tedlium_26273.wav", "duration": 7.53, "text": "and we believe indicative of a strong demand from parents with Type 1 incidence to participate in this study."}, {"path": "tedlium_26274.wav", "duration": 7.53, "text": "So implicit in a new investment is that you have to shove somebody out of the market for you actually to compete."}, {"path": "tedlium_26275.wav", "duration": 7.53, "text": "or we'll start up an organic brand to try to compete with different segments in the market."}, {"path": "tedlium_26276.wav", "duration": 7.53, "text": "we are looking at minor CapEx expenditures in the coming year to enable us to take even more work."}, {"path": "tedlium_26277.wav", "duration": 7.53, "text": "having some pressure on profitability. It's a little bit more specific to manufacturing systems."}, {"path": "tedlium_26278.wav", "duration": 7.53, "text": "It's a simplification of sorting and delivery processes and improved automatic coding,"}, {"path": "tedlium_26279.wav", "duration": 7.53, "text": "if you look at a company like Peterbilt or others that are in the traditional vehicle market, they don't have that electrification experience."}, {"path": "tedlium_26280.wav", "duration": 7.53, "text": "So I'm going to read my comments. It's worth staying around to the end because we're going to do something new that we haven't done before."}, {"path": "tedlium_26281.wav", "duration": 7.53, "text": "The decline was even more pronounced in our Fluid Power platform, which is more dependent on energy and mining end market."}, {"path": "tedlium_26282.wav", "duration": 7.53, "text": "At Distribution, we have adjusted our cost structure to position us to be able to navigate the market we are faced with,"}, {"path": "tedlium_26283.wav", "duration": 7.53, "text": "This preparation has not only resulted in improvements in the way we operate the bank but also enhanced the customer experience."}, {"path": "tedlium_26284.wav", "duration": 7.53, "text": "The first store opened in Gatwick before Christmas and is delivering for us very pleasing results."}, {"path": "tedlium_26285.wav", "duration": 7.53, "text": "We expect free cash flow in Q1 will decline due in part to the first meaningful incentive compensation payments we will have made in 3 years"}, {"path": "tedlium_26286.wav", "duration": 7.53, "text": "Provisions for credit losses are only driven by a small number of exposures, but increased compared to the prior year."}, {"path": "tedlium_26287.wav", "duration": 7.53, "text": "more cross-border flow now that there's a major tax regime change that might make people think of where they want to"}, {"path": "tedlium_26288.wav", "duration": 7.53, "text": "So I think that's one that goes in. Sort of where we have European competition which is"}, {"path": "tedlium_26289.wav", "duration": 7.53, "text": "In November, we followed up with additional positive data from the DUET trial, which was presented in the late-breaking oral session"}, {"path": "tedlium_26290.wav", "duration": 7.53, "text": "bottom line, from a position standpoint, we've never been in a better position. We have a very strong pipeline of new products,"}, {"path": "tedlium_26291.wav", "duration": 7.53, "text": "These decisions, along with others, including more strategic usage of reinsurance structures,"}, {"path": "tedlium_26292.wav", "duration": 7.53, "text": "We do, however, pay local taxes on certain country operations when those operations are profitable on a local basis."}, {"path": "tedlium_26293.wav", "duration": 7.53, "text": "are on the system and ensure that our teams will always stay in compliance, and as laws change, they come in."}, {"path": "tedlium_26294.wav", "duration": 7.53, "text": "So obviously, it's in our interest to pay later rather than earlier, and we'll continue to do that as we are"}, {"path": "tedlium_26295.wav", "duration": 7.53, "text": "The demand for apartments is also being driven by the lack of supply and affordability of single-family homes."}, {"path": "tedlium_26296.wav", "duration": 7.53, "text": "and some folks prefer to go in a different direction. We feel good about the progress we're making and certainly"}, {"path": "tedlium_26297.wav", "duration": 7.53, "text": "One is us taking actions on addressing our manufacturing supply chain footprint"}, {"path": "tedlium_26298.wav", "duration": 7.53, "text": "Volume was softer than expected due in large part to the specific market dynamics highlighted by Steve earlier."}, {"path": "tedlium_26299.wav", "duration": 7.53, "text": "that would better leverage our capital base and increase the company's return on equity, while also providing an additional funding source."}, {"path": "tedlium_26300.wav", "duration": 7.53, "text": "possible pressure there that it will make it more difficult for you to keep your prices up or stable on the coated woodfree side?"}, {"path": "tedlium_26301.wav", "duration": 7.53, "text": "I just wanted to understand on the refined products guidance for the year."}, {"path": "tedlium_26302.wav", "duration": 7.53, "text": "look, we have begun to see a traction in the market as well as we identified significant number of future opportunities."}, {"path": "tedlium_26303.wav", "duration": 7.53, "text": "what I'll call private infrastructure that is like the investment we already talked about that we made in the Ohio River hydroelectric project"}, {"path": "tedlium_26304.wav", "duration": 7.53, "text": "that has several thousand locations representing a significant monthly recurring revenue opportunity."}, {"path": "tedlium_26305.wav", "duration": 7.53, "text": "In addition to the substantial cash flow generated by the business, we have capital available for portfolio purchases"}, {"path": "tedlium_26306.wav", "duration": 7.53, "text": "as customers close production facilities. Our backlog remains strong and continues to support growth."}, {"path": "tedlium_26307.wav", "duration": 7.53, "text": "As we've mentioned in the past, the rate of growth seems likely to slow although we still expect a strong rate of growth."}, {"path": "tedlium_26308.wav", "duration": 7.53, "text": "And I feel very, very good about the relationship that we have now, and I can't think of anybody in the industry we should be partnering with."}, {"path": "tedlium_26309.wav", "duration": 7.53, "text": "This will also help us execute a more productive middle-market strategy where we see opportunities for strong growth."}, {"path": "tedlium_26310.wav", "duration": 7.53, "text": "And finally, our Consumer business was up sequentially, above our expectations due to product diversification."}, {"path": "tedlium_26311.wav", "duration": 7.53, "text": "it seems like you may be getting a little bit more confident in the longer-term capabilities."}, {"path": "tedlium_26312.wav", "duration": 7.53, "text": "Despite the reduction in the cost of deposits, a large average excess cash position during the quarter"}, {"path": "tedlium_26313.wav", "duration": 7.53, "text": "If we see some clients where we don't like the performance and it's mostly would be on the credit side of things,"}, {"path": "tedlium_26314.wav", "duration": 7.53, "text": "In parallel, we've put in place the corporate capabilities required to execute drug development"}, {"path": "tedlium_26315.wav", "duration": 7.53, "text": "Glen will then highlight our key execution milestones and will close with plenty of time for your questions."}, {"path": "tedlium_26316.wav", "duration": 7.53, "text": "We are already talking to some of them right now actively and the evaluations are in progress, and those things are already happening with some of them."}, {"path": "tedlium_26317.wav", "duration": 7.53, "text": "Was the -- were the bookings in line with your expectations? And maybe, is there any particular areas"}, {"path": "tedlium_26318.wav", "duration": 7.53, "text": "or other activities that we currently don't do, but always on the energy business. I won't start to do"}, {"path": "tedlium_26319.wav", "duration": 7.53, "text": "with a 7 millimeter mercury or greater increase at all time points on all clinic visits."}, {"path": "tedlium_26320.wav", "duration": 7.53, "text": "As we accrue more patients, it will probably be easier and certainly once we've got balance numbers of active and placebo in larger studies,"}, {"path": "tedlium_26321.wav", "duration": 7.53, "text": "We will update the market on results of the strategic review when we have reached any conclusion."}, {"path": "tedlium_26322.wav", "duration": 7.53, "text": "doing the chartering the way we do chartering for Tata Steel. We are taking a lot more long-term positions on many of these things."}, {"path": "tedlium_26323.wav", "duration": 7.53, "text": "The second vessel will be delivered next week, and we will have full cash flow effect from the vessels in the second quarter."}, {"path": "tedlium_26324.wav", "duration": 7.53, "text": "came in at 80.4 million shares or approximately 1 million shares lower than in the fourth quarter last year."}, {"path": "tedlium_26325.wav", "duration": 7.53, "text": "and we continue to evaluate attractive adjacent assets that complement our core portfolio,"}, {"path": "tedlium_26326.wav", "duration": 7.53, "text": "for some time that of all of our markets, the consumption model in that market is changing"}, {"path": "tedlium_26327.wav", "duration": 7.53, "text": "when we put it into our modeling looking at both the price at which the option was struck and the yield on it,"}, {"path": "tedlium_26328.wav", "duration": 7.53, "text": "the virality of Venmo and the network effects on core PayPal are clearly"}, {"path": "tedlium_26329.wav", "duration": 7.53, "text": "and a great indicator of how focused management is on the key strategies to maintain the strong numbers."}, {"path": "tedlium_26330.wav", "duration": 7.53, "text": "But today, she has to put up with me one more time and she will shortly give you her update."}, {"path": "tedlium_26331.wav", "duration": 7.53, "text": "Our team selling approach continues to produce results by introducing the full suite of products that Paychex can offer our clients upfront."}, {"path": "tedlium_26332.wav", "duration": 7.53, "text": "East Africa net sales were flat, reflecting the impact from the uncertainty that followed the presidential election in Kenya."}, {"path": "tedlium_26333.wav", "duration": 7.53, "text": "demonstrating our commitment to promoting positive drinking experiences and tackling harmful drinking."}, {"path": "tedlium_26334.wav", "duration": 7.53, "text": "I'd like to come back to the enablers behind our margin expansion. Gross margin was broadly flat in the half,"}, {"path": "tedlium_26335.wav", "duration": 7.53, "text": "The highly regulated environment in which we and our clients operate drove significant changes to our core IT systems,"}, {"path": "tedlium_26336.wav", "duration": 7.53, "text": "is it just that pricing maybe ends up being down. And that's just so tough in terms of rail price -- costs up and"}, {"path": "tedlium_26337.wav", "duration": 7.53, "text": "However, these increases are offset by cost reduction actions within the partnership. Collectively, the culmination"}, {"path": "tedlium_26338.wav", "duration": 7.53, "text": "Okay, so if I'm hearing you there, then the way we should think about it is non-real estate"}, {"path": "tedlium_26339.wav", "duration": 7.53, "text": "in our franchise and our way of doing business, which have demonstrated our ability to adapt and adjust quickly"}, {"path": "tedlium_26340.wav", "duration": 7.53, "text": "Second, we expect to see additional market growth from conversion to composites from wood."}, {"path": "tedlium_26341.wav", "duration": 7.53, "text": "the historical absorption in Raleigh, so we feel like it's sort of matching up pretty well. In terms of downtown competitive"}, {"path": "tedlium_26342.wav", "duration": 7.53, "text": "We completed a small drilling program in the project in March and have since been developing our evaluation of the opportunity."}, {"path": "tedlium_26343.wav", "duration": 7.53, "text": "Our third category which we are focused on is growing our ladies apparel business."}, {"path": "tedlium_26344.wav", "duration": 7.53, "text": "engaging platforms, enabling products and empowering programs. First, let me talk a little bit about engaging platforms."}, {"path": "tedlium_26345.wav", "duration": 7.53, "text": "This has allowed us to significantly decrease drilling days and cost while improving our recent production results."}, {"path": "tedlium_26346.wav", "duration": 7.53, "text": "which are not yet in the first half. So I think on the volume and pricing side will be more skewed towards the second half."}, {"path": "tedlium_26347.wav", "duration": 7.53, "text": "that they just have been flexing their businesses and moving product around to keep businesses running or taking overtime out,"}, {"path": "tedlium_26348.wav", "duration": 7.53, "text": "The early creation and implementation of that amenity helps drive higher residential sales and, therefore, an overall"}, {"path": "tedlium_26349.wav", "duration": 7.53, "text": "as well as increases in recurring revenue and partially offset by decreased sales of access control products."}, {"path": "tedlium_26350.wav", "duration": 7.53, "text": "but it's worth noting that it was not acquired until April last year after the severe first -- weather in the first quarter."}, {"path": "tedlium_26351.wav", "duration": 7.53, "text": "In Africa, comparisons were heavily influenced by timing factors as volumes for the first half of the fiscal year declined"}, {"path": "tedlium_26352.wav", "duration": 7.53, "text": "by individual salespeople. It went in Swisher, and obviously, that's not how we distribute our product for safety reasons"}, {"path": "tedlium_26353.wav", "duration": 7.53, "text": "customers that are more traditional with CLV. I just want to understand the difference why"}, {"path": "tedlium_26354.wav", "duration": 7.53, "text": "earnings growth rate once we get through these rate cases or this rate case or just kind of the thinking on that?"}, {"path": "tedlium_26355.wav", "duration": 7.53, "text": "about this time, a little bit later last year, announced the Nike transaction, which wasn't our new project but we want to take some of our existing merchant capacity"}, {"path": "tedlium_26356.wav", "duration": 7.53, "text": "And therefore, we see a sequentially increasing loss during the fourth quarter."}, {"path": "tedlium_26357.wav", "duration": 7.53, "text": "but all of these were individual products. They were all stand-alone components. And so the market is moving and we're moving"}, {"path": "tedlium_26358.wav", "duration": 7.53, "text": "As we discussed on our Investor Day in September, we are estimating the annual revenue of these opportunities in the next 5 years"}, {"path": "tedlium_26359.wav", "duration": 7.53, "text": "we have proprietary sales and operational programs that allow us to maximize the productivity of our Technology Brands stores,"}, {"path": "tedlium_26360.wav", "duration": 7.53, "text": "So I am going to move on now to our guidance and"}, {"path": "tedlium_26361.wav", "duration": 7.53, "text": "While some retailers were more promotional during the quarter, we actually reduced the rate of some of our promotions."}, {"path": "tedlium_26362.wav", "duration": 7.53, "text": "investing in not just making the necessary changes, but also making it a real business enabler for us"}, {"path": "tedlium_26363.wav", "duration": 7.53, "text": "transfer of the capabilities of the lines to be competitive also for the next years. We are talking"}, {"path": "tedlium_26364.wav", "duration": 7.53, "text": "Yes, Jane, I think those are very good questions. I'm not so sure that I feel comfortable"}, {"path": "tedlium_26365.wav", "duration": 7.53, "text": "where investments in cleaner energies are being pushed by the government, especially near Beijing."}, {"path": "tedlium_26366.wav", "duration": 7.53, "text": "We also see an opportunity to further leverage our reverse logistics expertise to enhance the overall returns process."}, {"path": "tedlium_26367.wav", "duration": 7.53, "text": "We expect the impact of the cyberattack on our financial results to diminish in our fiscal second half."}, {"path": "tedlium_26368.wav", "duration": 7.53, "text": "While we have been successful in our efforts so far, restoring the full confidence of our customers is our key goal."}, {"path": "tedlium_26369.wav", "duration": 7.53, "text": "some operating leverage in the corporate overhead where it's not growing any faster than sales, maybe even slightly slower?"}, {"path": "tedlium_26370.wav", "duration": 7.53, "text": "stretch in that organization's 20-year history over the course of the last 7 years. If you think about the things that we"}, {"path": "tedlium_26371.wav", "duration": 7.53, "text": "This was slightly down on the prior year, with increased spend to meet the required network output measures."}, {"path": "tedlium_26372.wav", "duration": 7.53, "text": "We just need to find a regulatory legal solution that works for everybody. So we've taken the prudent decision to just expense the spend that we've had to date."}, {"path": "tedlium_26373.wav", "duration": 7.53, "text": "As a result, we believe we currently trade at an implied yield that does not fully reflect the Partnership's value proposition."}, {"path": "tedlium_26374.wav", "duration": 7.53, "text": "In Living, the kitchen category saw good growth with some new innovative products and, of course, the launch of the Paderno cookware line."}, {"path": "tedlium_26375.wav", "duration": 7.53, "text": "Thanks, Tim. As we open the call for questions, we ask that you limit yourself to one question and a follow-up."}, {"path": "tedlium_26376.wav", "duration": 7.53, "text": "I don't think we've guided specifically on that, Ed. I think if you look at the products that we depicted in the first half of the year,"}, {"path": "tedlium_26377.wav", "duration": 7.53, "text": "We believe this planned sales force expansion can help accelerate TD market development and prepare us for the next waves of growth."}, {"path": "tedlium_26378.wav", "duration": 7.53, "text": "I want to also point out that a usual slide presentation that we prepare for our quarterly financial updates is up on our website"}, {"path": "tedlium_26379.wav", "duration": 7.53, "text": "The market then, we are no different. And we are exercising"}, {"path": "tedlium_26380.wav", "duration": 7.53, "text": "Okay. And if that were the case, you'd think those owner operators would be more on the tractor side"}, {"path": "tedlium_26381.wav", "duration": 7.53, "text": "is this volatility that gives Vistra the chance to opportunistically hedge when forwards are above our fundamental point of view."}, {"path": "tedlium_26382.wav", "duration": 7.53, "text": "Over the years, Reliance has consistently demonstrated our ability to quickly respond to changing market factors."}, {"path": "tedlium_26383.wav", "duration": 7.53, "text": "for their continued hard work to support the progress of our various programs, our investigators and most importantly,"}, {"path": "tedlium_26384.wav", "duration": 7.5, "text": "Stronger demand and production rates in Brazil in the first quarter do seem to indicate a potential stabilization in that market."}, {"path": "tedlium_26385.wav", "duration": 7.5, "text": "in PAH, along with preclinical presentations and an overview of our clinical development efforts."}, {"path": "tedlium_26386.wav", "duration": 7.5, "text": "is so important to us. Because it allows us not to arbitrage the market, but at least to manage as much as we can the sensitivity."}, {"path": "tedlium_26387.wav", "duration": 7.5, "text": "but it has not yet delivered the growth in the footprint that we want it to. And I'm going to talk more about that in a minute."}, {"path": "tedlium_26388.wav", "duration": 7.5, "text": "and as Lance said earlier, we haven't got as far as we wanted to. We hope we might get that competitive tension up quicker on the motor panel"}, {"path": "tedlium_26389.wav", "duration": 7.5, "text": "We continue to expand our software and service capabilities in order to create a better, more seamless user experience for deposit customers."}, {"path": "tedlium_26390.wav", "duration": 7.5, "text": "been fortunate to raise some growth capital back in July of last year and February of this year. And when we"}, {"path": "tedlium_26391.wav", "duration": 7.5, "text": "From a financial return perspective, the blended weighted average yield we have been receiving on this mix of investments,"}, {"path": "tedlium_26392.wav", "duration": 7.5, "text": "again, it's been a very, very strong quarter, as you must have seen with the results this morning. And I'll remind you this momentum started"}, {"path": "tedlium_26393.wav", "duration": 7.5, "text": "So we've definitely seen cost creep up. There seems to be a bit of a catch up that we kind of need to get caught up. It looks as though"}, {"path": "tedlium_26394.wav", "duration": 7.5, "text": "The effectiveness is proven to visibly reduce dark spots in 8 weeks."}, {"path": "tedlium_26395.wav", "duration": 7.5, "text": "First of all, the Internet business acquired 3.2 million GiGA subscribers as of the end of the second quarter."}, {"path": "tedlium_26396.wav", "duration": 7.5, "text": "Historically, we have only secured a small percentage of the revenue from the professional services via our partnerships with surgeons."}, {"path": "tedlium_26397.wav", "duration": 7.5, "text": "This was primarily due to a decrease in transportation fees due to renegotiated contracts and a customer bankruptcy,"}, {"path": "tedlium_26398.wav", "duration": 7.5, "text": "positive results in core office supplies, technology and facilities and safety supplies category."}, {"path": "tedlium_26399.wav", "duration": 7.5, "text": "But in each case, you have to be able to take that BEACON data that has been brought into BEACON from the water meter"}, {"path": "tedlium_26400.wav", "duration": 7.5, "text": "That concludes my formal remarks for the third quarter. Now I'll add a few additional comments regarding the future."}, {"path": "tedlium_26401.wav", "duration": 7.5, "text": "Second quarter, we hope -- by the second quarter of next year, we also hope to get our capacity up to about"}, {"path": "tedlium_26402.wav", "duration": 7.5, "text": "I would like to take a moment to remind you how we define backlog because it is different from all of our competitors."}, {"path": "tedlium_26403.wav", "duration": 7.5, "text": "and then improving our marketing activity to sit on top of what is now, I think, a much more efficient sales machine."}, {"path": "tedlium_26404.wav", "duration": 7.5, "text": "any question about lack of efficacy on abdominal attacks, because we have patients with symptoms"}, {"path": "tedlium_26405.wav", "duration": 7.5, "text": "But we still see potential improvement by doing more of the value-add activities and"}, {"path": "tedlium_26406.wav", "duration": 7.5, "text": "that fits our needs and fits -- and our capabilities fit their needs as being wealth managers and managers of their risk."}, {"path": "tedlium_26407.wav", "duration": 7.5, "text": "We've got export capacity out of Beaumont and we're continuing to build out that facility."}, {"path": "tedlium_26408.wav", "duration": 7.5, "text": "So I think there'll be great transparency on current taxes versus what we'll call this provision approach."}, {"path": "tedlium_26409.wav", "duration": 7.5, "text": "And we will provide information as it becomes available in the near future."}, {"path": "tedlium_26410.wav", "duration": 7.5, "text": "As you know, we integrated the Polish rail activities into the Metrans Group and gave up unprofitable routes."}, {"path": "tedlium_26411.wav", "duration": 7.5, "text": "that was helpful for us and securing a broader label in a reasonable time period, that's something that we would consider."}, {"path": "tedlium_26412.wav", "duration": 7.5, "text": "The content of this conference call contains time-sensitive information that is accurate only as of the date of this live broadcast,"}, {"path": "tedlium_26413.wav", "duration": 7.5, "text": "it's too early. They really get going in August and September. But our anticipation and what we hear for sell-throughs gives us"}, {"path": "tedlium_26414.wav", "duration": 7.5, "text": "And some of these kind of bigger projects will come in, in the second half year, and we didn't have in the first half year."}, {"path": "tedlium_26415.wav", "duration": 7.5, "text": "But could you just talk about the sustainability of this growth rate and sort of what we should look out for and how we should think about the growth rate of that segment?"}, {"path": "tedlium_26416.wav", "duration": 7.5, "text": "Demand for education buildings remains at a high level, and Fleetwood is a major player in this market, particularly on the East Coast."}, {"path": "tedlium_26417.wav", "duration": 7.5, "text": "bringing new customers into the store. So what I would say is that the team is doing a great job in the way that they're trading the business across the board. And"}, {"path": "tedlium_26418.wav", "duration": 7.5, "text": "will become more challenging in the future? So this is my first question. And my second question."}, {"path": "tedlium_26419.wav", "duration": 7.5, "text": "The initial child with CLM3 Batten disease in that study continues to participate with no serious adverse events"}, {"path": "tedlium_26420.wav", "duration": 7.5, "text": "Underlying operating cash flows describes operating cash flows, excluding the effect of factors such as working capital."}, {"path": "tedlium_26421.wav", "duration": 7.5, "text": "will to be work off extreme high order backlog of STRABAG. The company is therefore being very selective"}, {"path": "tedlium_26422.wav", "duration": 7.5, "text": "but I think you have a better firm, you have a better company, and you have a better product for years to come,"}, {"path": "tedlium_26423.wav", "duration": 7.5, "text": "It's significant for advertisers because it really gives them insights in over-the-air radio that,"}, {"path": "tedlium_26424.wav", "duration": 7.5, "text": "You're bringing on new equipment, but you probably need to raise wages. Where do you think"}, {"path": "tedlium_26425.wav", "duration": 7.5, "text": "which was lower than last year as a result of lower premium accelerations and from the continued runoff of our book of business."}, {"path": "tedlium_26426.wav", "duration": 7.5, "text": "We continue to focus on the level of our operating expenses in our continued efforts to perform our functions"}, {"path": "tedlium_26427.wav", "duration": 7.5, "text": "competition? Or are a lot of the clients just coming directly to you and it's not even really a bidding process? It's more like they want you to do the work for"}, {"path": "tedlium_26428.wav", "duration": 7.5, "text": "And then how this may be limiting up-trading or the privatization trend that we've been seeing for so long."}, {"path": "tedlium_26429.wav", "duration": 7.5, "text": "We provide end-to-end digital business, operations and technology services for their global asset management group."}, {"path": "tedlium_26430.wav", "duration": 7.5, "text": "ranging from self-funding them with the cash that we generate, all the way to distributing our cash to shareholders and accessing capital markets"}, {"path": "tedlium_26431.wav", "duration": 7.5, "text": "The Building business continues to be a low margin, relatively low risk"}, {"path": "tedlium_26432.wav", "duration": 7.5, "text": "rather than just kind of wallow through it, and we're going to try to do something. But if something doesn't happen, it's not like a disaster."}, {"path": "tedlium_26433.wav", "duration": 7.5, "text": "so they can take a long monthly payment and have something perhaps a little more aspirational than they originally were looking for."}, {"path": "tedlium_26434.wav", "duration": 7.5, "text": "and new precious metal strategies, which are just now beginning to achieve the scale needed to deliver meaningful profitability."}, {"path": "tedlium_26435.wav", "duration": 7.5, "text": "some of our larger acquisitions which are in the early stages of integration and therefore not yet delivering full margin"}, {"path": "tedlium_26436.wav", "duration": 7.5, "text": "I was little surprised on the duration of those new contracts, but I kind of understand reactivating something you spent the money on, going into an up market."}, {"path": "tedlium_26437.wav", "duration": 7.5, "text": "split between voice and data is more of an accounting allocation issue than a real trend."}, {"path": "tedlium_26438.wav", "duration": 7.5, "text": "Thank you, operator. Before reviewing our results, I'd like to direct you to the safe harbor statement on Page 2 of today's presentation."}, {"path": "tedlium_26439.wav", "duration": 7.5, "text": "Before Charlie and Mike discuss our results, let me take a moment to remind you that our remarks today may include forward-looking statements."}, {"path": "tedlium_26440.wav", "duration": 7.5, "text": "As you may recall, we expanded our channel to include agent-driven distribution sales because we knew that over the long term,"}, {"path": "tedlium_26441.wav", "duration": 7.5, "text": "I wouldn't pay that much attention to what is going on -- what's being said in the lead up to the election. I think about what"}, {"path": "tedlium_26442.wav", "duration": 7.5, "text": "that we've strategically needed to do that because we're playing catch up or we want to chase somebody else because we're new to the market."}, {"path": "tedlium_26443.wav", "duration": 7.5, "text": "it -- neither one has a material impact on the overall quarter. They're just good for keeping the store looking fresh, and"}, {"path": "tedlium_26444.wav", "duration": 7.5, "text": "Not knowing the exact rule change, I can't speak specifically to it, and there will, of course, be a comment period and a process around that"}, {"path": "tedlium_26445.wav", "duration": 7.5, "text": "Let's now turn to Spain, where we continue to deliver,"}, {"path": "tedlium_26446.wav", "duration": 7.5, "text": "Also, we anticipate that other factors could potentially result in further negative changes to the availability under revolving credit facility."}, {"path": "tedlium_26447.wav", "duration": 7.5, "text": "It is a big ground for innovation. We have certainly moved on with some very tangible results."}, {"path": "tedlium_26448.wav", "duration": 7.5, "text": "We have deposited cash into the SPVs, and it is recorded as a separate line item on our balance sheet."}, {"path": "tedlium_26449.wav", "duration": 7.5, "text": "a business as usual level that will drive us to that profitability. Clearly we needed to make some transformational things."}, {"path": "tedlium_26450.wav", "duration": 7.5, "text": "the highlights as an introduction, as a summary. I already told you about the order intake, 17% less"}, {"path": "tedlium_26451.wav", "duration": 7.5, "text": "Partners will also have mobile access to their schedules, reducing the time it takes to communicate and manage changes."}, {"path": "tedlium_26452.wav", "duration": 7.5, "text": "And we've been very successful gaining market share. And I think we're now going to see the benefits of that as we start to get into"}, {"path": "tedlium_26453.wav", "duration": 7.5, "text": "Overall, revenue growth was driven by a solid performance in our legacy product lines as we've focused marketing campaigns on these categories in the quarter."}, {"path": "tedlium_26454.wav", "duration": 7.5, "text": "as well as promote work style reforms to increase productivity and further improve our cost competitiveness."}, {"path": "tedlium_26455.wav", "duration": 7.5, "text": "And so we've been very disciplined about that. And at the same time, we continue to knock on a lot of doors of family companies."}, {"path": "tedlium_26456.wav", "duration": 7.5, "text": "in order to support the growth of our customers. We worked our way through some of these agreements at the end of last year and concluded that it was in the best interest"}, {"path": "tedlium_26457.wav", "duration": 7.5, "text": "The remaining portion of the sales decrease reflects the soft retail environment partially offset by improved fill rates."}, {"path": "tedlium_26458.wav", "duration": 7.5, "text": "The growth in merchandise inventories is primarily seasonal in nature with minor impacts from our first quarter sales office."}, {"path": "tedlium_26459.wav", "duration": 7.5, "text": "and solid share performance while our Biscuits business continued to face difficult price gaps and consumer down trading."}, {"path": "tedlium_26460.wav", "duration": 7.5, "text": "How it plays out, I do think that we have a pretty consistent ramp-up through the rest of the quarters, as Bob mentioned."}, {"path": "tedlium_26461.wav", "duration": 7.5, "text": "that area has performed better than we thought it would in the first quarter. And the outlook, quite candidly, is pretty good"}, {"path": "tedlium_26462.wav", "duration": 7.5, "text": "more than offset the headwind from higher taxes and dilution from the coffee transaction that closed in July."}, {"path": "tedlium_26463.wav", "duration": 7.5, "text": "So we think that was a very smart transaction in that regard. There's really nothing much more complicated than that, frankly,"}, {"path": "tedlium_26464.wav", "duration": 7.5, "text": "The Tower is a truly unique feature to the skyline of Las Vegas, and its iconic nature will continue to draw visitors from around the world."}, {"path": "tedlium_26465.wav", "duration": 7.5, "text": "due to a higher severance a year ago and restructuring actions taken last June to effectively scale the company."}, {"path": "tedlium_26466.wav", "duration": 7.5, "text": "Consistent performance like what we've seen in Q3 is the result of decisions we've made 18 to 36 months ago"}, {"path": "tedlium_26467.wav", "duration": 7.5, "text": "that go well beyond the performance possible with today's RF SOI processes and will provide us a strong competitive advantage"}, {"path": "tedlium_26468.wav", "duration": 7.5, "text": "Let me first give you a backdrop for my views on our market and prospects for the balance of this year and then next year."}, {"path": "tedlium_26469.wav", "duration": 7.5, "text": "As we've discussed, our vision for STRATA is to become the dermatology and aesthetic medicine partner of choice,"}, {"path": "tedlium_26470.wav", "duration": 7.5, "text": "I'll go back to what we said early on, which I haven't talked about maybe in the last quarter, which is the open nature of the platform,"}, {"path": "tedlium_26471.wav", "duration": 7.5, "text": "customers who access the trade section of our site trade at twice the rate as average customers."}, {"path": "tedlium_26472.wav", "duration": 7.5, "text": "One example of how we are succeeding is that we had 93% growth in our global omnichannel revenues."}, {"path": "tedlium_26473.wav", "duration": 7.5, "text": "This resulted in significant softness in sales of existing mobile phone models in October as customers delayed their purchases."}, {"path": "tedlium_26474.wav", "duration": 7.5, "text": "I'll cover a few different topics on today's call, including the progress we've made in standing up the company to operate independently."}, {"path": "tedlium_26475.wav", "duration": 7.5, "text": "You have the Sweeny Hub that's performing, albeit not at the level that we would expect. If you take the first quarter"}, {"path": "tedlium_26476.wav", "duration": 7.5, "text": "Let me remind you also that this norm will have a significant impact on the reported net debt of the group."}, {"path": "tedlium_26477.wav", "duration": 7.5, "text": "So let's turn to Retail Branding and Information Solutions. While we are the clear leader in the apparel labeling market,"}, {"path": "tedlium_26478.wav", "duration": 7.5, "text": "I'm sorry if I missed it. What was the reason why we didn't see more expense leverage at FTN this quarter,"}, {"path": "tedlium_26479.wav", "duration": 7.5, "text": "This effort, coupled with other regulatory changes, have put pressure on IFDS, which will require continued focus and effort"}, {"path": "tedlium_26480.wav", "duration": 7.5, "text": "making sure that we maintain our gross shares and service our clients effectively. And we just feel as though the margins are going to be compressed somewhat"}, {"path": "tedlium_26481.wav", "duration": 7.5, "text": "I can tell you now that I can confirm the positive perception I had from the outside,"}, {"path": "tedlium_26482.wav", "duration": 7.5, "text": "I don't know. When we talked about the increase in quoting activity"}, {"path": "tedlium_26483.wav", "duration": 7.5, "text": "This was also supported by lower churn levels compared to one year back even with the rising competition."}, {"path": "tedlium_26484.wav", "duration": 7.5, "text": "The reversal in trend of the Canadian dollar has resulted in a modest negative impact on our results in the quarter."}, {"path": "tedlium_26485.wav", "duration": 7.5, "text": "We anticipate strong results in the fourth quarter based on the positive response from our global preview of LumiSpa at LIVE"}, {"path": "tedlium_26486.wav", "duration": 7.5, "text": "In addition to funding the growth I just mentioned and consistent with our stated cash flow deployment strategy,"}, {"path": "tedlium_26487.wav", "duration": 7.5, "text": "The effect of the volume growth on revenue growth was partially offset by the anticipated pricing decline."}, {"path": "tedlium_26488.wav", "duration": 7.5, "text": "as well as interest from other more private lenders in a similar environment, where we could effectively term out on a nonrecourse basis"}, {"path": "tedlium_26489.wav", "duration": 7.5, "text": "I think we've done an excellent job as a company, taking a look at our cost controls over the last, and this is across all 3 segments."}, {"path": "tedlium_26490.wav", "duration": 7.5, "text": "remains high, and we look forward to opportunities to bring new and existing Aptar innovations to the market."}, {"path": "tedlium_26491.wav", "duration": 7.5, "text": "While new equipment sales picked up sequentially from the third quarter, the overall demand for equipment remains low in all sectors."}, {"path": "tedlium_26492.wav", "duration": 7.5, "text": "will result in us coming out of this downturn stronger than when it started, and we are on the path to driving longer term value for our shareholders."}, {"path": "tedlium_26493.wav", "duration": 7.5, "text": "No, I wouldn't do that. And the reason I wouldn't do that is because a couple of reasons, but one thing that you need to"}, {"path": "tedlium_26494.wav", "duration": 7.5, "text": "for trust certificates, which will be supported by consideration, deposited into a trust comprised of the same plan consideration package"}, {"path": "tedlium_26495.wav", "duration": 7.5, "text": "And ultimately, we look at that, we're going to start lapping those comps starting a little bit in the first quarter next year"}, {"path": "tedlium_26496.wav", "duration": 7.5, "text": "our overall global capital structure, we feel, is appropriate for our business, and therefore, we feel really comfortable with our current effective tax rate"}, {"path": "tedlium_26497.wav", "duration": 7.5, "text": "The tax equity market is still available, although there's a lot of wait and see on tax reform, exactly how that's going to be impacted"}, {"path": "tedlium_26498.wav", "duration": 7.5, "text": "on the price cost. And I think that's the primary driver as we start to get -- see our margins enhanced"}, {"path": "tedlium_26499.wav", "duration": 7.5, "text": "Price increases were implemented in June to reflect significant inflation in packaging and distribution cost."}, {"path": "tedlium_26500.wav", "duration": 7.5, "text": "we took a view on in Russia, we act on it. And if we think it's a matter of just working through, then we stay around and we work with our customers."}, {"path": "tedlium_26501.wav", "duration": 7.5, "text": "We've continued to deliver organic capital generation while maintaining discipline on pricing and risk and investing in our businesses."}, {"path": "tedlium_26502.wav", "duration": 7.5, "text": "We continue to distinguish ourselves in FX trading as well as how we've effectively driven NII growth as we've engaged with clients."}, {"path": "tedlium_26503.wav", "duration": 7.5, "text": "one thing that could change would be some of these larger players that are trying to reactivate a lot of old equipment and"}, {"path": "tedlium_26504.wav", "duration": 7.5, "text": "your conversations for Genesis assets that have yet to close, that you're still negotiating relative to those that"}, {"path": "tedlium_26505.wav", "duration": 7.5, "text": "We have a really solid pipeline. We expect to finish the year very strongly"}, {"path": "tedlium_26506.wav", "duration": 7.5, "text": "This strategy was different from others in the marketplace, but we felt it is important to be mindful of our small and medium customers."}, {"path": "tedlium_26507.wav", "duration": 7.5, "text": "including at the busiest times of the year, and we believe reliable service is a key factor in our continued growth."}, {"path": "tedlium_26508.wav", "duration": 7.5, "text": "Turning to our balance sheet. We continue to maintain a strong position with significant financial flexibility."}, {"path": "tedlium_26509.wav", "duration": 7.5, "text": "The other side presented their case. Most of that we already were aware of based on the paper submitted."}, {"path": "tedlium_26510.wav", "duration": 7.5, "text": "to grow but perhaps look a little different than it has in the past, until you get to the conversation around what's 5G going to being"}, {"path": "tedlium_26511.wav", "duration": 7.5, "text": "and that as volatility in equity markets increases, this group appears to respond by increasing their investments in Lending Club notes."}, {"path": "tedlium_26512.wav", "duration": 7.5, "text": "As our year progressed, we added our own experience and dedicated operational, process improvement and supply chain experts."}, {"path": "tedlium_26513.wav", "duration": 7.5, "text": "the active exchange is a smaller piece of the business. In the long run, that's what we expect to be by far the dominant part of the business."}, {"path": "tedlium_26514.wav", "duration": 7.5, "text": "of the repricing. So we did roll those prices out, but we'll see some continued benefit coming into"}, {"path": "tedlium_26515.wav", "duration": 7.5, "text": "I think we are -- as you mentioned we reiterated guidance this year. And we're off to start as we expected in the first quarter."}, {"path": "tedlium_26516.wav", "duration": 7.5, "text": "And then also, putting that aside, could we see a contract extension for the current contract"}, {"path": "tedlium_26517.wav", "duration": 7.5, "text": "in the first quarter of 2015. Sales to the aerospace market have increased as a percentage of our total sales,"}, {"path": "tedlium_26518.wav", "duration": 7.5, "text": "portfolio, to dedicate our resources to the acquisition process, evaluation of projects"}, {"path": "tedlium_26519.wav", "duration": 7.5, "text": "And if there was a clear and compelling path to drive additional value, we would certainly consider it as we've always done."}, {"path": "tedlium_26520.wav", "duration": 7.47, "text": "driven largely by positive volume drop down, some variable cost savings and savings from our productivity enhancement programs,"}, {"path": "tedlium_26521.wav", "duration": 7.47, "text": "These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially,"}, {"path": "tedlium_26522.wav", "duration": 7.47, "text": "Looking across the businesses more generally and recognizing the dilutive effect that the new acquisition would normally have,"}, {"path": "tedlium_26523.wav", "duration": 7.47, "text": "Small companies will go cloud immediately, and then you're talking about companies will employ tens of thousand and"}, {"path": "tedlium_26524.wav", "duration": 7.47, "text": "Beyond the strong immediate demand for our digital services, we are also creating new platforms for continued growth."}, {"path": "tedlium_26525.wav", "duration": 7.47, "text": "but the China demand has not yet materialized, certainly in our revenue and their revenue."}, {"path": "tedlium_26526.wav", "duration": 7.47, "text": "But I will give you a little inkling into Q4. We are taking on shipments"}, {"path": "tedlium_26527.wav", "duration": 7.47, "text": "the great data there of the last trailing 12 months on a quarterly basis I think illustrates that we're now running at"}, {"path": "tedlium_26528.wav", "duration": 7.47, "text": "One of the reasons is that in addition to existing indications, there are new indications."}, {"path": "tedlium_26529.wav", "duration": 7.47, "text": "in the corridor we're targeting. So all other things being equal, we would expect reserve releases to continue in the future"}, {"path": "tedlium_26530.wav", "duration": 7.47, "text": "Just following up on David's questions. Can you guys provide some detail on the expected time line for your cost-control efforts"}, {"path": "tedlium_26531.wav", "duration": 7.47, "text": "I am encouraged by an improvement in our working capital sales ratio, which is the lowest we've seen in the last 6 quarters."}, {"path": "tedlium_26532.wav", "duration": 7.47, "text": "The mental model that we use around valuation for not only mortgage REITs but most funds with a liquid portfolio of assets,"}, {"path": "tedlium_26533.wav", "duration": 7.47, "text": "That is evident in the waterfall chart on Slide 8, which takes you through the key movements from the prior half year"}, {"path": "tedlium_26534.wav", "duration": 7.47, "text": "Second, we will be expanding our marketing and lead generation around solutions and services that result in recurring revenue."}, {"path": "tedlium_26535.wav", "duration": 7.47, "text": "We are optimizing operations from macro processes like improved inventory assessment at our distribution centers"}, {"path": "tedlium_26536.wav", "duration": 7.47, "text": "it had a more material impact in that particular quarter. The amendment in and by itself for the full year doesn't. And that's why"}, {"path": "tedlium_26537.wav", "duration": 7.47, "text": "This first phase will also provide employment opportunities for NYCHA residents as well as local businesses,"}, {"path": "tedlium_26538.wav", "duration": 7.47, "text": "coming from the base renewal rate, i.e., the subscription dollar amount that is expiring with an existing customer"}, {"path": "tedlium_26539.wav", "duration": 7.47, "text": "the timing of Ramadan should reduce RevPAR in the second quarter, with offsetting stronger results expected in the third quarter."}, {"path": "tedlium_26540.wav", "duration": 7.47, "text": "even though the returns may have -- maybe have gotten a little bit less, the returns are still fairly healthy compared to"}, {"path": "tedlium_26541.wav", "duration": 7.47, "text": "on each of our Marriott and Starwood websites and apps and enjoy our unified loyalty programs."}, {"path": "tedlium_26542.wav", "duration": 7.47, "text": "Luxury hotels in Miami benefited from Florida and Caribbean hotels still out of service from the 2017 hurricanes,"}, {"path": "tedlium_26543.wav", "duration": 7.47, "text": "both necessary and we think both long-term positive have been disruptive in the short run."}, {"path": "tedlium_26544.wav", "duration": 7.47, "text": "If achieved, this performance would translate to a total revenue mix of 38% of revenue"}, {"path": "tedlium_26545.wav", "duration": 7.47, "text": "I would say that we do receive a lot of inbound calls, and I'm not saying that that's related directly to supply issues. But"}, {"path": "tedlium_26546.wav", "duration": 7.47, "text": "And we have applied this across the enterprise, not just in Ohio. It's had the biggest impact in Ohio."}, {"path": "tedlium_26547.wav", "duration": 7.47, "text": "And I think finally, the Alliance Refinery was down for maintenance during part of the third quarter"}, {"path": "tedlium_26548.wav", "duration": 7.47, "text": "those acquisitions actually would have put us above the guidance that we had previously provided."}, {"path": "tedlium_26549.wav", "duration": 7.47, "text": "that went in place in March. We've also had a series of reductions as we've begun to really integrate our key support functions."}, {"path": "tedlium_26550.wav", "duration": 7.47, "text": "a variety of new clients and new programs, and that's what's starting to drive up the top line and will continue to drive up the top line."}, {"path": "tedlium_26551.wav", "duration": 7.47, "text": "generate a continuous growth through identifying potential markets and making sure to tap into the demand."}, {"path": "tedlium_26552.wav", "duration": 7.47, "text": "In contrast, the forecast for Scandinavia and the Baltic region has been increased again."}, {"path": "tedlium_26553.wav", "duration": 7.47, "text": "any sort of color around what you saw that do to your short-term rentals throughout the quarter? I'm just trying to figure out,"}, {"path": "tedlium_26554.wav", "duration": 7.47, "text": "and continue on to the next year. As for the beverage market in Taiwan,"}, {"path": "tedlium_26555.wav", "duration": 7.47, "text": "The weight loss industry is pretty broad and it really depends on how you define it. The way that we like to look at it is"}, {"path": "tedlium_26556.wav", "duration": 7.47, "text": "has slightly postponed the tender for the volumes in the second quarter -- second half of the year."}, {"path": "tedlium_26557.wav", "duration": 7.47, "text": "But as I mentioned earlier, that whole development has less and less influence on our business,"}, {"path": "tedlium_26558.wav", "duration": 7.47, "text": "Are those dollars going more into conventional or more into discount? Or is that investment being made across the board?"}, {"path": "tedlium_26559.wav", "duration": 7.47, "text": "At Amicus, we have key organizational strength as well that provide us with a strategic advantage"}, {"path": "tedlium_26560.wav", "duration": 7.47, "text": "part of the capitation payment and that you will be forever getting a lower rate, whereas those operators who are"}, {"path": "tedlium_26561.wav", "duration": 7.47, "text": "Fourth, market leadership provides us with cumulative experience within a particular product area that exceeds our competitors,"}, {"path": "tedlium_26562.wav", "duration": 7.47, "text": "completed our Whitford acquisition in the first quarter and just recently announced the completion of the Hemmelrath acquisition."}, {"path": "tedlium_26563.wav", "duration": 7.47, "text": "So let me now turn it over to Marcus to take you through the results of the quarter in detail, and then we'll be happy to answer your questions."}, {"path": "tedlium_26564.wav", "duration": 7.47, "text": "Yes. So I mean, that is more -- so what I just said is more really in relation to how we manage 2016 to make sure that"}, {"path": "tedlium_26565.wav", "duration": 7.47, "text": "We are working to aggressively add smaller customers, which have similarly shorter"}, {"path": "tedlium_26566.wav", "duration": 7.47, "text": "We still anticipate marketing and promo costs to be right around 3% of sales for the full year, with elevated spending for the remainder of the year."}, {"path": "tedlium_26567.wav", "duration": 7.47, "text": "So I'm tremendously excited about the fundamentals that we are maniacally focused on, coupled with"}, {"path": "tedlium_26568.wav", "duration": 7.47, "text": "and the expense related to the impact of the recently enacted tax reform in Puerto Rico on a deferred tax asset."}, {"path": "tedlium_26569.wav", "duration": 7.47, "text": "Business promotion costs were higher in the fourth quarter and reflect the traditional seasonality of this expense line."}, {"path": "tedlium_26570.wav", "duration": 7.47, "text": "complete our call yet. So please don't hang up. As all of you know, this is indeed a very special call today as,"}, {"path": "tedlium_26571.wav", "duration": 7.47, "text": "market conditions as well as our liquidity and expected returns, and compare that to"}, {"path": "tedlium_26572.wav", "duration": 7.47, "text": "During the quarter, we delivered growing enrollments in our Medical and Healthcare segment and strong results in our Professional Education segment,"}, {"path": "tedlium_26573.wav", "duration": 7.47, "text": "All we're doing is telling you how we're going to be flexible in the future with respect to the dividend."}, {"path": "tedlium_26574.wav", "duration": 7.47, "text": "in the following quarter or 2. We expect the same thing to happen as we progress through the fourth quarter and into next fiscal year."}, {"path": "tedlium_26575.wav", "duration": 7.47, "text": "need that I continue to hear about. Clearly, if you go back to what we put forth as far as our"}, {"path": "tedlium_26576.wav", "duration": 7.47, "text": "I'd like to begin my talk today with an overview of our first half results."}, {"path": "tedlium_26577.wav", "duration": 7.47, "text": "So the marketing spend there, we're still in the process of the rebrand, so you could still see"}, {"path": "tedlium_26578.wav", "duration": 7.47, "text": "Over the past 4 years, we've invested in nearly every aspect of our business to position the firm for future growth."}, {"path": "tedlium_26579.wav", "duration": 7.47, "text": "And with that, I'm happy to hand it back to Arti to talk a little bit more about our ongoing initiatives and expectations for"}, {"path": "tedlium_26580.wav", "duration": 7.47, "text": "Finally, we are winning on the competitive front. We have efficient marketing that is resonating with our customers."}, {"path": "tedlium_26581.wav", "duration": 7.47, "text": "We know the type of capacity to do that is always subject to what's the right mix of short and long-term contracts and"}, {"path": "tedlium_26582.wav", "duration": 7.47, "text": "and possibly further balance sheet optimization, and we'll give you more details as these plans are finalized and put into action."}, {"path": "tedlium_26583.wav", "duration": 7.47, "text": "Okay, that's helpful. And then just last question would be on just the velocity of this conversation. Obviously, this wasn't a topic for us"}, {"path": "tedlium_26584.wav", "duration": 7.47, "text": "very healthy and very well positioned to take advantage of opportunistic buys in the back half of the year"}, {"path": "tedlium_26585.wav", "duration": 7.47, "text": "we can take some questions from those listening in. Going to try and keep this relatively brief as this is a very busy week of reporting."}, {"path": "tedlium_26586.wav", "duration": 7.47, "text": "retail segment growth can at least pick up from kind of a 1% run rate improvement level?"}, {"path": "tedlium_26587.wav", "duration": 7.47, "text": "We have expanded our industry lead in both returns and growth, and we are excited about the future."}, {"path": "tedlium_26588.wav", "duration": 7.47, "text": "under the Events and Presentations tab to find full explanations and reconciliations of these non-GAAP measures."}, {"path": "tedlium_26589.wav", "duration": 7.47, "text": "Plant productivity, mix enrichment and cost savings drove the improvement in operating earnings."}, {"path": "tedlium_26590.wav", "duration": 7.47, "text": "Okay. But would there be an impact in the first quarter from that perspective, I mean, based on where we are?"}, {"path": "tedlium_26591.wav", "duration": 7.47, "text": "Additionally, I am proud to report that last month Cornerstone was made the strategic leader"}, {"path": "tedlium_26592.wav", "duration": 7.47, "text": "But are we going to go through the same thing 3 years from now? I think that's not what we're talking about."}, {"path": "tedlium_26593.wav", "duration": 7.47, "text": "This was particularly helpful in Park City, as we build brand awareness and loyalty for a completely new experience at the resort."}, {"path": "tedlium_26594.wav", "duration": 7.47, "text": "So this is about stimulating usage in high consumer urban areas IP TV customers"}, {"path": "tedlium_26595.wav", "duration": 7.47, "text": "so what we are starting to see now is consolidation that's taking place at the wholesale distribution level. So,"}, {"path": "tedlium_26596.wav", "duration": 7.47, "text": "links future dividend increases to the growing dividend cash flows we received from our daughter entities."}, {"path": "tedlium_26597.wav", "duration": 7.47, "text": "through tramlines. Tramlining reduces cost in a way which does not diminish consumer value."}, {"path": "tedlium_26598.wav", "duration": 7.47, "text": "I think as we talk more about that story and tell that story more appropriately, I think you'll"}, {"path": "tedlium_26599.wav", "duration": 7.47, "text": "Although, it is fair to say that commodity deflation is expected to impact more on the wholesale trade channel,"}, {"path": "tedlium_26600.wav", "duration": 7.47, "text": "Today also marks the start of the New York Boat Show. The enthusiasm coming out of the early shows is growing."}, {"path": "tedlium_26601.wav", "duration": 7.47, "text": "a little bit. It's not business determining, but it will have an interesting impact on the EBIT. Interesting."}, {"path": "tedlium_26602.wav", "duration": 7.47, "text": "Our strong brand enables automation customers to trust us and build their solutions with our products."}, {"path": "tedlium_26603.wav", "duration": 7.47, "text": "with modest employment and wage growth. Locally, our state economy continues to perform well"}, {"path": "tedlium_26604.wav", "duration": 7.47, "text": "We are pleased to report these solid first quarter results, which were in line with our expectations."}, {"path": "tedlium_26605.wav", "duration": 7.47, "text": "you were able to do that a little bit. I mean, how far along are you in that? And do you expect to see more benefit in the next quarter from that?"}, {"path": "tedlium_26606.wav", "duration": 7.47, "text": "We are seeing a unique dynamic within our industry, particularly within our market area."}, {"path": "tedlium_26607.wav", "duration": 7.47, "text": "not right to expect us to be vastly growing market share until we put into place"}, {"path": "tedlium_26608.wav", "duration": 7.47, "text": "comment on that. I mean we do look at comparables and see what other people are doing in the industry, but we also look at"}, {"path": "tedlium_26609.wav", "duration": 7.47, "text": "I'm not sure I see any of the opportunities that you're talking about outside of that with other people. Because the"}, {"path": "tedlium_26610.wav", "duration": 7.47, "text": "So turning to comments about the new role. We've actually been talking about a business leadership role almost from the time"}, {"path": "tedlium_26611.wav", "duration": 7.47, "text": "every construction tire and every mining tire, you put them all together,"}, {"path": "tedlium_26612.wav", "duration": 7.47, "text": "individual pieces that are going through and their condition or their age. The overall used equipment markets have been generally favorable."}, {"path": "tedlium_26613.wav", "duration": 7.47, "text": "On a consolidated basis, we continue to show higher sales and improved profitability."}, {"path": "tedlium_26614.wav", "duration": 7.47, "text": "can you talk about your revenue outlook by region underlying your healthy 4Q outlook?"}, {"path": "tedlium_26615.wav", "duration": 7.47, "text": "all retailers are looking for all brands to really invest in driving social and digital awareness."}, {"path": "tedlium_26616.wav", "duration": 7.47, "text": "We believe some of this lift is sustainable, but we aren't expecting to maintain that full increase in ROA going forward."}, {"path": "tedlium_26617.wav", "duration": 7.47, "text": "as we continue to focus on growing in underpenetrated markets in Latin America in both tissue and sanitary."}, {"path": "tedlium_26618.wav", "duration": 7.47, "text": "but I can tell you that in preparation for Titan's potential direct participation and commercial activities,"}, {"path": "tedlium_26619.wav", "duration": 7.47, "text": "I'd like to reiterate our confidence in both our freedom to operate and the strength of our overall position."}, {"path": "tedlium_26620.wav", "duration": 7.47, "text": "is when we gave you those targets for our improvement in earnings in our strategic plan last September."}, {"path": "tedlium_26621.wav", "duration": 7.47, "text": "and offers superior power density, making it ideal for powering large equipment under continuous operation in remote field locations."}, {"path": "tedlium_26622.wav", "duration": 7.47, "text": "And in those instances where we're over 100%, we don't look at that as a cause for panic. We've got levers that we can pull. There are some"}, {"path": "tedlium_26623.wav", "duration": 7.47, "text": "On the export side, Southern log export volumes decreased slightly and average realizations were roughly flat."}, {"path": "tedlium_26624.wav", "duration": 7.47, "text": "And it's not only going on now, but it's something that we plan to continue in the future. So"}, {"path": "tedlium_26625.wav", "duration": 7.47, "text": "We are moving forward with our integration planning process in order to be well prepared for an early second quarter close."}, {"path": "tedlium_26626.wav", "duration": 7.47, "text": "and adding to which is a reflection on the part of provinces and the national government that mining should be promoted."}, {"path": "tedlium_26627.wav", "duration": 7.47, "text": "its wherewithal. We certainly are getting the type of production from it that we anticipated to be able to get at high quality costs."}, {"path": "tedlium_26628.wav", "duration": 7.47, "text": "something that you're hearing in marketplace. But we are getting an impressive amount of inbound calls coming from people"}, {"path": "tedlium_26629.wav", "duration": 7.47, "text": "We continue to optimize our branch network through the closure of a net 72 outlets in this period."}, {"path": "tedlium_26630.wav", "duration": 7.47, "text": "bringing a truly global platform experience to India's consumers and merchants."}, {"path": "tedlium_26631.wav", "duration": 7.47, "text": "each new cohort, we see stronger than the last in terms of how they engage and how they mature over time. So while we don't break out"}, {"path": "tedlium_26632.wav", "duration": 7.47, "text": "So if you could walk us through how exactly was the movement on the capitalization, you said you paid dividends"}, {"path": "tedlium_26633.wav", "duration": 7.47, "text": "can only be met exclusively through profitable retail sales and sales to preferred customers, the same bucket of transactions we talked about"}, {"path": "tedlium_26634.wav", "duration": 7.47, "text": "And as we have more students take advantage of that, as I mentioned, we scholarship the difference between"}, {"path": "tedlium_26635.wav", "duration": 7.47, "text": "Further, we have new sales leadership in place who is positioning us to ensure that we are coordinating even more closely"}, {"path": "tedlium_26636.wav", "duration": 7.47, "text": "Okay. And then, Yos, are you able to describe a little bit more in terms of some of the"}, {"path": "tedlium_26637.wav", "duration": 7.47, "text": "because you're not seeing these customers migrate away or merge away. And is there a way to look at maybe the revenue"}, {"path": "tedlium_26638.wav", "duration": 7.47, "text": "This impact is most pronounced in the first quarter, given the timing of equity grants and was contemplated in our guidance."}, {"path": "tedlium_26639.wav", "duration": 7.47, "text": "Let me remind you first that our outlook is based on our current view of economic and interest rate conditions"}, {"path": "tedlium_26640.wav", "duration": 7.47, "text": "We see natural gas fueling as an economic and realistic solution that a company can utilize to achieve greater sustainability."}, {"path": "tedlium_26641.wav", "duration": 7.47, "text": "basically will probably be needed to be done in any country that would license this. So I don't"}, {"path": "tedlium_26642.wav", "duration": 7.47, "text": "We have also during the quarter seen improvements in Western Europe, which is also very encouraging for the future."}, {"path": "tedlium_26643.wav", "duration": 7.47, "text": "As Bonnie mentioned, we are investing in our sales force and marketing campaigns to support the anticipated growth in our business."}, {"path": "tedlium_26644.wav", "duration": 7.47, "text": "in my network, how can I optimize my network by using this very unique aircraft"}, {"path": "tedlium_26645.wav", "duration": 7.47, "text": "Are you -- did you just say that you guys closed some business that pushed out from September and you closed in October? Did I hear that right?"}, {"path": "tedlium_26646.wav", "duration": 7.47, "text": "This increase is largely related to incentive compensation, Board transition, legal and other external service costs."}, {"path": "tedlium_26647.wav", "duration": 7.47, "text": "Similarly, the volume and inefficiency issues with concrete tensioning did lessen but remain a drag on margins in the quarter."}, {"path": "tedlium_26648.wav", "duration": 7.47, "text": "and our presentation in gifts is really, really exciting. And we really feel that, that is going to carry us through"}, {"path": "tedlium_26649.wav", "duration": 7.47, "text": "Results may differ materially from those projected on today's call and we undertake no obligation to publicly update any forward-looking statements."}, {"path": "tedlium_26650.wav", "duration": 7.47, "text": "We are convinced that the combination of security and connectivity services will become more and more important in the coming years."}, {"path": "tedlium_26651.wav", "duration": 7.47, "text": "However, given the environment and our view that markets will remain depressed for a significant period of time, they are unavoidable."}, {"path": "tedlium_26652.wav", "duration": 7.47, "text": "to the regulations, the way they've been written is that the test is whether you're a net domestic gas contributor or not."}, {"path": "tedlium_26653.wav", "duration": 7.47, "text": "There is naturally competition for such sales but LNG sourced from PNG is well regarded by the market."}, {"path": "tedlium_26654.wav", "duration": 7.47, "text": "the Commonwealth COFINA settlement would entitle COFINA to a portion of the pledged sales tax base amount on a first dollar basis."}, {"path": "tedlium_26655.wav", "duration": 7.47, "text": "so we sold a few more SPY systems. But in terms of the level of installations, actually PINPOINT is running ahead of SPY."}, {"path": "tedlium_26656.wav", "duration": 7.47, "text": "Over time, I do expect that fluorescence imaging will be used in a large number of procedures from diagnosis"}, {"path": "tedlium_26657.wav", "duration": 7.47, "text": "The amount that you normally give -- or historically have given, has that gone up as the"}, {"path": "tedlium_26658.wav", "duration": 7.47, "text": "The benefits of scale that allows that kind of focus on a Y2K account, which whether it's not yet a customer"}, {"path": "tedlium_26659.wav", "duration": 7.47, "text": "period over the last few months in Colombia where this large political change and so there's not a lot of"}, {"path": "tedlium_26660.wav", "duration": 7.47, "text": "Given the drought in California and the shift in the focus of production of fresh produce to the East,"}, {"path": "tedlium_26661.wav", "duration": 7.47, "text": "That being said, it's appropriate to remind everyone that this is a rare disease and there are models of experience from"}, {"path": "tedlium_26662.wav", "duration": 7.47, "text": "I'll now conclude by summarizing the key highlights of our financial performance in the last 6 months."}, {"path": "tedlium_26663.wav", "duration": 7.47, "text": "Often such client cost management decisions are made in short cycles, with limited advanced warning to suppliers."}, {"path": "tedlium_26664.wav", "duration": 7.47, "text": "We see the potential for that, but we need to see what our NGL solution is going to look like out of Oklahoma,"}, {"path": "tedlium_26665.wav", "duration": 7.47, "text": "We are striving to be the leading builder in each of our markets and to continue to expand our industry-leading market share."}, {"path": "tedlium_26666.wav", "duration": 7.47, "text": "gives us some really exciting products and gives us the confidence to say that total patients"}, {"path": "tedlium_26667.wav", "duration": 7.47, "text": "while weighted average pricing was down slightly due to salvage volume from the West Mims fire and geographic mix."}, {"path": "tedlium_26668.wav", "duration": 7.47, "text": "So a lot of the NanoKnife procedure is used in conjunction with other procedures."}, {"path": "tedlium_26669.wav", "duration": 7.47, "text": "between our largest market, which under the current DMA is Knoxville and a lot of markets that are a lot larger than what we currently are."}, {"path": "tedlium_26670.wav", "duration": 7.47, "text": "We have benefited this from this geographic diversity by being able to capture opportunities as they arise wherever they arise."}, {"path": "tedlium_26671.wav", "duration": 7.47, "text": "Those who have participated in our quarterly calls over the last 18 months have heard me describe the Algeco Group as a good business with great people."}, {"path": "tedlium_26672.wav", "duration": 7.47, "text": "We have met with numerous potential buyers and have developed a shortlist of bidders for all or part of the business."}, {"path": "tedlium_26673.wav", "duration": 7.47, "text": "handling area have actually remained solid and even on a good level."}, {"path": "tedlium_26674.wav", "duration": 7.47, "text": "So these have always been there, except in the last quarter, we've just trued this up to the actual extent of utilization."}, {"path": "tedlium_26675.wav", "duration": 7.47, "text": "This has resulted in additional emissions testing and sophistication of the emissions system as well as additional compliance requirements."}, {"path": "tedlium_26676.wav", "duration": 7.47, "text": "After prepared remarks, we will open up the call for your questions, which we ask that you limit to one per caller."}, {"path": "tedlium_26677.wav", "duration": 7.47, "text": "with the existing team. As I mentioned earlier, we brought in thousands of customers in the first year of the launch, and we recognize"}, {"path": "tedlium_26678.wav", "duration": 7.47, "text": "when we reflect on all these accomplishments, which are many in 2018, I just want to thank all of our associates for their dedication"}, {"path": "tedlium_26679.wav", "duration": 7.47, "text": "as that product portfolio's expanded for the past couple of years, it takes some time to get that customer to"}, {"path": "tedlium_26680.wav", "duration": 7.47, "text": "We continue to see pressure in Chicago, Miami and our Texas markets of Dallas, Houston and Austin."}, {"path": "tedlium_26681.wav", "duration": 7.47, "text": "The combined company -- the sum of the 2 revolvers for the -- that we had before that were a little bit less than that."}, {"path": "tedlium_26682.wav", "duration": 7.47, "text": "As we have often said, we believe we are only in the early innings of the health plan growth opportunity."}, {"path": "tedlium_26683.wav", "duration": 7.47, "text": "we believe these are necessary actions to enhance our overall operating efficiencies and long-term profitability."}, {"path": "tedlium_26684.wav", "duration": 7.47, "text": "In June, we signed 13 new partners to participate in our token service provider program in all major regions."}, {"path": "tedlium_26685.wav", "duration": 7.47, "text": "We continue to accelerate our share buyback activity to offset the equity dilution from the Visa Europe transaction."}, {"path": "tedlium_26686.wav", "duration": 7.47, "text": "And those are progressing really well, and we have a number of circuits with a particular part."}, {"path": "tedlium_26687.wav", "duration": 7.47, "text": "growth and it needs to reach a level of revenue such that it is breakeven. We expect that level to be reached"}, {"path": "tedlium_26688.wav", "duration": 7.47, "text": "Obviously, continued to take a look at that as we go forward, but right now, next couple of years, we don't have any plans."}, {"path": "tedlium_26689.wav", "duration": 7.47, "text": "do anything with that cash balance? Resume share repurchases or other activities?"}, {"path": "tedlium_26690.wav", "duration": 7.4699375, "text": "We have also taken due cognizance of the unfortunate events relating to food safety in the South African food value chain,"}, {"path": "tedlium_26691.wav", "duration": 7.4699375, "text": "manage actually cash management as well as other factors. It's still a little too early to say exactly"}, {"path": "tedlium_26692.wav", "duration": 7.4400625, "text": "The general economics of the agreement provide for National MI to retain a margin of up to 80% of the ceded premium."}, {"path": "tedlium_26693.wav", "duration": 7.44, "text": "The additional amounts that aren't necessary to reach that mark, are you looking at additional acquisitions as far as"}, {"path": "tedlium_26694.wav", "duration": 7.44, "text": "I'd now like to turn the call back over to Habib who will quickly cover our upcoming corporate priorities."}, {"path": "tedlium_26695.wav", "duration": 7.44, "text": "Our capital spending during the first 9 months of 2018 continued to be primarily focused on enhancing existing"}, {"path": "tedlium_26696.wav", "duration": 7.44, "text": "We will continue cost reduction initiatives around the world, including flattening of our organizational structure,"}, {"path": "tedlium_26697.wav", "duration": 7.44, "text": "We currently estimate that we do have investment capacity based upon the cash positions and the leverage targets that I just discussed, but we will"}, {"path": "tedlium_26698.wav", "duration": 7.44, "text": "Again, our model is to be a broker. And as a broker, we have the advantage of being able to partner with lenders that we believe offer the best mortgage rates and features."}, {"path": "tedlium_26699.wav", "duration": 7.44, "text": "because we have a granular portfolio, secured primarily by real estate collateral with readily ascertainable market values."}, {"path": "tedlium_26700.wav", "duration": 7.44, "text": "that this can change over the course of the year, but the guidance that we have put up builds what I provided"}, {"path": "tedlium_26701.wav", "duration": 7.44, "text": "As we discussed last quarter, the team has now closed out a vast majority of these previously awarded sites."}, {"path": "tedlium_26702.wav", "duration": 7.44, "text": "What you're seeing from us is a little bit more of the mix of us doing deployment services versus working with third parties that are doing it."}, {"path": "tedlium_26703.wav", "duration": 7.44, "text": "we also see this effect of negative business mix effect, especially in Performance Materials"}, {"path": "tedlium_26704.wav", "duration": 7.44, "text": "If you have any image, please. For example, if there are slight differences"}, {"path": "tedlium_26705.wav", "duration": 7.44, "text": "as a lowest estimated level of numbers with the system revision taking place in April."}, {"path": "tedlium_26706.wav", "duration": 7.44, "text": "networking and wireless, the teams have already underway pivoted their businesses to"}, {"path": "tedlium_26707.wav", "duration": 7.44, "text": "even during the year after we lost the one major customer. So that's on a very bright note."}, {"path": "tedlium_26708.wav", "duration": 7.44, "text": "Can you talk a little bit more about what's going to be different this time and how you will make sure that you get this bigger, better,"}, {"path": "tedlium_26709.wav", "duration": 7.44, "text": "The plus underlies our commitment that CARE will make Beiersdorf even stronger in the future."}, {"path": "tedlium_26710.wav", "duration": 7.44, "text": "have a tremendous potential to further expand our business in regions and categories where we are underrepresented today."}, {"path": "tedlium_26711.wav", "duration": 7.44, "text": "We stepped up our investments in manufacturing capacity, particularly in geographies where we have built scale"}, {"path": "tedlium_26712.wav", "duration": 7.44, "text": "some of these changes in the form of interest coming down. We, obviously, can't forecast what's going to happen over the next few years."}, {"path": "tedlium_26713.wav", "duration": 7.44, "text": "The big reason there is we have -- it was more opportunistic in nature in that we have our kiosk partner"}, {"path": "tedlium_26714.wav", "duration": 7.44, "text": "Who doesn't want to give up their code for us to do it for them. So they don't want us to do it for them, but they don't have the resources to do it themselves."}, {"path": "tedlium_26715.wav", "duration": 7.44, "text": "the larger part of the holiday season. So we take that all into consideration as we put the guidance together."}, {"path": "tedlium_26716.wav", "duration": 7.44, "text": "First I would like to review the plan for completion of APeX-1. This trial in HAE patients"}, {"path": "tedlium_26717.wav", "duration": 7.44, "text": "As such, the net impact of the sale is expected to be immaterial to Torchmark's financial statements."}, {"path": "tedlium_26718.wav", "duration": 7.44, "text": "I call attention to our adjusted net income because so many of you are now gauging our performance by that metric."}, {"path": "tedlium_26719.wav", "duration": 7.44, "text": "So is it just a matter of timing? Or is there some change to the expectation around how much in dividends you can get up"}, {"path": "tedlium_26720.wav", "duration": 7.44, "text": "So I think you're going to see Layne, and we call it now Water and Mineral Services in Granite, that's going to be a very healthy environment on margins."}, {"path": "tedlium_26721.wav", "duration": 7.44, "text": "as we've increased our margin expectation certainly on the work that we've procured over the last 12 months, that margin has increased."}, {"path": "tedlium_26722.wav", "duration": 7.44, "text": "including the launch of our development program called My Road Trip, which we discussed on the most recent call."}, {"path": "tedlium_26723.wav", "duration": 7.44, "text": "In addition, we will have certain options to develop and commercialize programs that may find application in other cancer indications."}, {"path": "tedlium_26724.wav", "duration": 7.44, "text": "Compared with 1 year ago, the level of market activity for projects and turnarounds that we are experiencing is healthier."}, {"path": "tedlium_26725.wav", "duration": 7.44, "text": "the biggest difference between Taiwan and China is that in Taiwan, the market is relatively mature."}, {"path": "tedlium_26726.wav", "duration": 7.44, "text": "unless the local player isn't good at all. Otherwise,"}, {"path": "tedlium_26727.wav", "duration": 7.44, "text": "on the leading edge of changing customer needs, and through our research, we expect our new product combining 2 of the elements"}, {"path": "tedlium_26728.wav", "duration": 7.44, "text": "capital investments and share repurchases. We plan to use the majority of proceeds from the expected Bayou transaction"}, {"path": "tedlium_26729.wav", "duration": 7.44, "text": "Click on Investors then on Earnings Webcast. This concludes today's conference call."}, {"path": "tedlium_26730.wav", "duration": 7.44, "text": "and these are still going to be successive enrollments just because of how the drug is essentially made or the product is made."}, {"path": "tedlium_26731.wav", "duration": 7.44, "text": "These reductions were partially offset by lower rationalization charges and better manufacturing performance late in the year."}, {"path": "tedlium_26732.wav", "duration": 7.44, "text": "So we feel like we're going to bring some things to the table in Augusta on the mortgage side, where they'll be able to do more business."}, {"path": "tedlium_26733.wav", "duration": 7.44, "text": "With the benefit of a new venue next year, combined with improved industry sales, we expect the show to strengthen going forward."}, {"path": "tedlium_26734.wav", "duration": 7.44, "text": "I would say that the fourth quarter, we ought to expect to see the same or similar type of"}, {"path": "tedlium_26735.wav", "duration": 7.44, "text": "All our regions did well this quarter, exceeding our expectations. Asia Pacific was the top performer again."}, {"path": "tedlium_26736.wav", "duration": 7.44, "text": "your thoughts on whether or not consumers are paying you for your portion sizes now, or if there's an opportunity to take that either up or down?"}, {"path": "tedlium_26737.wav", "duration": 7.44, "text": "but this comes not completely unexpectedly. As you know from our previous calls, that was a development, which was foreseeable for me,"}, {"path": "tedlium_26738.wav", "duration": 7.44, "text": "We booked a negative provision number this quarter as we experienced a decline in our loan book on a period-end basis."}, {"path": "tedlium_26739.wav", "duration": 7.44, "text": "Our targeted cash flow should allow us to continue to delever while providing sufficient cash flow for tuck-in acquisitions."}, {"path": "tedlium_26740.wav", "duration": 7.44, "text": "those bids that went out in the third quarter and fourth quarter that are being implemented right now. And I'm just going to anticipate your next question to say,"}, {"path": "tedlium_26741.wav", "duration": 7.44, "text": "To this end, we are developing content and data for our brands for our distributors and online models in the same manner."}, {"path": "tedlium_26742.wav", "duration": 7.44, "text": "Next, I would like to provide an update on the progress made around the potential sale of our American Roads assets."}, {"path": "tedlium_26743.wav", "duration": 7.44, "text": "and wholesale inventory changes did not have a significant impact on our operating companies in the quarter."}, {"path": "tedlium_26744.wav", "duration": 7.44, "text": "You can see the store network that we have, very, very solid. You know that we have a tiny handful"}, {"path": "tedlium_26745.wav", "duration": 7.44, "text": "that we're not comfortable talking about, frankly, in front of the rest of our industry. But what I would say is"}, {"path": "tedlium_26746.wav", "duration": 7.44, "text": "that they will follow with compute nodes and they will expand with them -- we will expand with them"}, {"path": "tedlium_26747.wav", "duration": 7.44, "text": "In closing, we at Marlin are looking forward to achieving the objectives that we have laid out for you on the past 2 earnings calls."}, {"path": "tedlium_26748.wav", "duration": 7.44, "text": "But this is a position that's neutral from the point of view of the net result."}, {"path": "tedlium_26749.wav", "duration": 7.44, "text": "She's been in place for a long time. Whenever you have a senior leadership shift like that, there's always risk for some level of disruption."}, {"path": "tedlium_26750.wav", "duration": 7.44, "text": "I just can't wait on the cementless side to get to full launch because the response associated with that product so far is extremely positive."}, {"path": "tedlium_26751.wav", "duration": 7.44, "text": "that I think maybe some folks did not fully bake into their numbers out there on your side of the isle when they were looking forward from an expense run."}, {"path": "tedlium_26752.wav", "duration": 7.44, "text": "They took big ideas and translated them into tangible products and services that have served clients and investors well over the decades."}, {"path": "tedlium_26753.wav", "duration": 7.44, "text": "And while we expect the venture to contribute modestly to earnings, the tempered outlook now warrants the accounting impairment."}, {"path": "tedlium_26754.wav", "duration": 7.44, "text": "our active approach leaves us well positioned for the growing demand for new active solutions, which according"}, {"path": "tedlium_26755.wav", "duration": 7.44, "text": "The Delaware Basin is setting up to be our fastest growing asset for a second year in a row after almost doubling crude oil production last year."}, {"path": "tedlium_26756.wav", "duration": 7.44, "text": "Sales commission growth was mostly driven by variable annuities, along with increases in mutual fund, equity and fixed income."}, {"path": "tedlium_26757.wav", "duration": 7.44, "text": "And for the first time, we received the top ranking in every functional category, including"}, {"path": "tedlium_26758.wav", "duration": 7.44, "text": "We expect to close the merger in August of this year, with the FMC transaction closing in the fourth quarter."}, {"path": "tedlium_26759.wav", "duration": 7.44, "text": "And in terms of the diagnosis of the problem, and the manifestation of the problem"}, {"path": "tedlium_26760.wav", "duration": 7.44, "text": "Pricing has definitely gotten very competitive. We're certainly seeing an enormous amount of opportunities,"}, {"path": "tedlium_26761.wav", "duration": 7.44, "text": "fitting what we believe should be the norm. So that still gives us a certain point of concern."}, {"path": "tedlium_26762.wav", "duration": 7.44, "text": "There has been some movement. What we're really trying to do is open a dialogue again with Shoppers"}, {"path": "tedlium_26763.wav", "duration": 7.44, "text": "I can tell you, I've probably spent more time working on this legislation than any banker in America."}, {"path": "tedlium_26764.wav", "duration": 7.44, "text": "We currently have more than 2 dozen similar distribution deals in the pipeline at various stages of negotiation."}, {"path": "tedlium_26765.wav", "duration": 7.44, "text": "those of you who followed us will recognize this story. We'll get to more of this when we talk about the business"}, {"path": "tedlium_26766.wav", "duration": 7.44, "text": "All right, thank you very much everybody. And again, thank you for taking the time out to meet with us here on"}, {"path": "tedlium_26767.wav", "duration": 7.44, "text": "Please see Page 6. Next, I'll explain some themes related to our new corporate strategy."}, {"path": "tedlium_26768.wav", "duration": 7.44, "text": "when the ramp of these products, especially of new products and new customers, it's pretty difficult to time correctly."}, {"path": "tedlium_26769.wav", "duration": 7.44, "text": "that we can now leverage that model as we expand geographically, as we expand with"}, {"path": "tedlium_26770.wav", "duration": 7.44, "text": "you didn't think you would have a meaningful impact on your companies. Can you give us some more background on that assessment?"}, {"path": "tedlium_26771.wav", "duration": 7.44, "text": "represents the future of our competitiveness, so we will be prepared to invest more."}, {"path": "tedlium_26772.wav", "duration": 7.44, "text": "Where do you think you are versus where you set out to be and what are the sort of pluses and minuses over those 3 years?"}, {"path": "tedlium_26773.wav", "duration": 7.44, "text": "I hope this overview provides you with a sound idea as to why we view the outlook so favorably and exciting."}, {"path": "tedlium_26774.wav", "duration": 7.44, "text": "This strong growth continues to be driven by equipment and installation project activity in Korea and China."}, {"path": "tedlium_26775.wav", "duration": 7.44, "text": "Average margins were lower than the prior-year quarter, primarily due to weaker wholesale propane supply market fundamentals."}, {"path": "tedlium_26776.wav", "duration": 7.44, "text": "they have a list that is -- I never even thought of a lot of the people on that list."}, {"path": "tedlium_26777.wav", "duration": 7.44, "text": "I think the bigger picture point on SKUs, SKU reduction, is really about allowing us to focus on the Power Brands"}, {"path": "tedlium_26778.wav", "duration": 7.44, "text": "the margin expectations for the 12 basis points that we'll lose in the calculation based on a lower tax rate."}, {"path": "tedlium_26779.wav", "duration": 7.44, "text": "bouncing back from a difficult summer of 2016. In addition, our baggage performance continues to be a focus for our team."}, {"path": "tedlium_26780.wav", "duration": 7.44, "text": "We're not only equity. We're not only debt. We've got to train people to get a unique skill set. So the seasoning of that staff that we have today"}, {"path": "tedlium_26781.wav", "duration": 7.44, "text": "into the investment or redistribution of capital decision was the blackout period."}, {"path": "tedlium_26782.wav", "duration": 7.44, "text": "And third, continued business growth in our International Insurance business on a constant-currency basis."}, {"path": "tedlium_26783.wav", "duration": 7.44, "text": "there's 2 major drivers that we are looking at for growth organically."}, {"path": "tedlium_26784.wav", "duration": 7.44, "text": "Looking ahead, we continue to see opportunities to capitalize on the rising innovation in highly engineered, high-performance materials."}, {"path": "tedlium_26785.wav", "duration": 7.44, "text": "We are optimistic that execution of our sales strategies for both the sterile and non-sterile markets"}, {"path": "tedlium_26786.wav", "duration": 7.44, "text": "taking the majority of net flows in its category over the last four years. Moving on to insurance,"}, {"path": "tedlium_26787.wav", "duration": 7.44, "text": "First, given the transition the company is making, it is important that we maintain a low-risk approach to the balance sheet."}, {"path": "tedlium_26788.wav", "duration": 7.44, "text": "It's a huge opportunity. We suggest, in all seriousness, an addressable market of more than 1 billion people in modern medical systems worldwide."}, {"path": "tedlium_26789.wav", "duration": 7.44, "text": "what would be this May, we'll be having our annual meeting where we bring all of our stations together"}, {"path": "tedlium_26790.wav", "duration": 7.44, "text": "in recovery factors there. That's very encouraging for us, because we do have a facility that was"}, {"path": "tedlium_26791.wav", "duration": 7.44, "text": "We're addressing this head-on by taking aggressive action to reduce complexity, risk and costs."}, {"path": "tedlium_26792.wav", "duration": 7.44, "text": "As a terrific example of the new thinking about the business, this morning we're excited to announce a major new"}, {"path": "tedlium_26793.wav", "duration": 7.44, "text": "That was the investment we made in January and we have seen no significant reason to change our view."}, {"path": "tedlium_26794.wav", "duration": 7.44, "text": "We are the leader in the luxury drinks category in Mexico with an almost 50% share."}, {"path": "tedlium_26795.wav", "duration": 7.44, "text": "The company will also discuss non-GAAP financial measures in an effort to provide additional information to investors."}, {"path": "tedlium_26796.wav", "duration": 7.44, "text": "and in our employees to ensure that they have the right skills and talents to deliver for our customers whose business is changing radically."}, {"path": "tedlium_26797.wav", "duration": 7.44, "text": "You have a revenue requirement that you're recovering over the units. And what you see with our forecast for next year is volume is going up."}, {"path": "tedlium_26798.wav", "duration": 7.44, "text": "These forward-looking statements involve certain risks that could cause actual results to differ materially from those expressed or implied by these statements."}, {"path": "tedlium_26799.wav", "duration": 7.44, "text": "Thank you. Good afternoon, and thank you all for joining us. On the call today from the Arbutus management team"}, {"path": "tedlium_26800.wav", "duration": 7.44, "text": "You heard in our comments today that a separation of our efforts on the adult side"}, {"path": "tedlium_26801.wav", "duration": 7.44, "text": "groups thinking that they work for a subsidiary of NeuLion, that they're not part of the core of our business."}, {"path": "tedlium_26802.wav", "duration": 7.44, "text": "Importantly, these clinical guidelines have been endorsed by the American Academy of Physical Medicine and Rehabilitation,"}, {"path": "tedlium_26803.wav", "duration": 7.44, "text": "up. So the answer is the latter. We're making strides with the plans in"}, {"path": "tedlium_26804.wav", "duration": 7.44, "text": "deep integrations that we've undertaken that allow us to create very smart and sustainable"}, {"path": "tedlium_26805.wav", "duration": 7.44, "text": "as well as life sciences end markets to once again drive top line growth in our Diversified Products business."}, {"path": "tedlium_26806.wav", "duration": 7.44, "text": "committed productivity improvements that we provide to our clients. Obviously, the type of services and solutions that we provide"}, {"path": "tedlium_26807.wav", "duration": 7.44, "text": "Fred will start with the highlights, Hudson will review more detail on operations, and Tom will go over the financials."}, {"path": "tedlium_26808.wav", "duration": 7.44, "text": "That demand is up significantly this year, and we expect it to continue to grow over the next 2 or 3 years."}, {"path": "tedlium_26809.wav", "duration": 7.44, "text": "Before I close, I know many of you would like an update on the potential transaction with Hershey."}, {"path": "tedlium_26810.wav", "duration": 7.44, "text": "So just a few more slides on the financial aspect and then as Jim mentioned, we'll get into the more details around the businesses themselves."}, {"path": "tedlium_26811.wav", "duration": 7.44, "text": "that ends up in the portfolio that tend to be more the exception than the rule, but an acceptable exception, if you will, based on"}, {"path": "tedlium_26812.wav", "duration": 7.44, "text": "the past successful companies in our space who show that you can be very successful with those activities with a relatively modest"}, {"path": "tedlium_26813.wav", "duration": 7.44, "text": "And we are also implementing a customer excellence process. And we are working to change the manner of how we use the concept"}, {"path": "tedlium_26814.wav", "duration": 7.44, "text": "So we think the mix impact on that book is improving the whole time. I do think there are some factors,"}, {"path": "tedlium_26815.wav", "duration": 7.44, "text": "we are not at a decision point right now for what the next tranche of processing capacity needs to look like in Oklahoma."}, {"path": "tedlium_26816.wav", "duration": 7.44, "text": "leverage relationships across State Street and fill in offerings as we take advantage of the shift from products to solutions."}, {"path": "tedlium_26817.wav", "duration": 7.44, "text": "accounted for 6 percentage points of the increase. Modestly higher selling prices contributed the remainder of the increase."}, {"path": "tedlium_26818.wav", "duration": 7.44, "text": "but is now largely pushed out to the March quarter. Of course, that is not unique to us and this delay is impacting the whole supply chain."}, {"path": "tedlium_26819.wav", "duration": 7.44, "text": "there's a lot more opportunity in the middle-market space and we just need to build in our staff levels to the"}, {"path": "tedlium_26820.wav", "duration": 7.44, "text": "And then moving to Florida, you have a lower price point in terms of home sales and the profit margin is less."}, {"path": "tedlium_26821.wav", "duration": 7.44, "text": "no big shifts there. I mean I think it's really kind of the elements that Dave has articulated in terms of the types of investments we want to make"}, {"path": "tedlium_26822.wav", "duration": 7.44, "text": "So I think it's just something to keep in mind. Kind of going back to your previous question, each quarter may be a little bit unique."}, {"path": "tedlium_26823.wav", "duration": 7.44, "text": "We also structured the rate cases to reduce the bill impact, allowing us to make the necessary investments in the networks."}, {"path": "tedlium_26824.wav", "duration": 7.44, "text": "At its most basic, Algeco leases modular buildings and related products and services to customers around the world with a strong focus on Europe."}, {"path": "tedlium_26825.wav", "duration": 7.44, "text": "And I think the example that I used to reinforce that message was the Verizon win."}, {"path": "tedlium_26826.wav", "duration": 7.44, "text": "because of the currency development. But if we take a look at the situation with comparable currencies, our sales has declined"}, {"path": "tedlium_26827.wav", "duration": 7.44, "text": "Good morning, and thank you for joining Ralph Lauren's Fourth Quarter and Full Year Fiscal 2016 Conference Call."}, {"path": "tedlium_26828.wav", "duration": 7.44, "text": "This is in contrast to this time last year, and as a result, we probably won't see the same level of catch-up for inventory"}, {"path": "tedlium_26829.wav", "duration": 7.44, "text": "increase resources applied to fewer and larger revenue opportunities in order to accelerate our development cycle times,"}, {"path": "tedlium_26830.wav", "duration": 7.44, "text": "Over the medium term, we believe that increasing our advertiser count will have a positive impact on our pricing."}, {"path": "tedlium_26831.wav", "duration": 7.44, "text": "Based on our review of the situation over the last few months, I believe many of our problems were self-inflicted"}, {"path": "tedlium_26832.wav", "duration": 7.44, "text": "Investment experienced growth as a result of increased performance fees in the delegated investment services business."}, {"path": "tedlium_26833.wav", "duration": 7.44, "text": "conservative securities to earn a return on what we have in the reserve to go against that."}, {"path": "tedlium_26834.wav", "duration": 7.44, "text": "sports scientists are developing real-time tracking technologies to optimize athletic performance."}, {"path": "tedlium_26835.wav", "duration": 7.44, "text": "was to defend our intellectual property and to protect our trade secrets. And those objectives were accomplished."}, {"path": "tedlium_26836.wav", "duration": 7.44, "text": "which included less lower-margin third party hardware sales in the current quarter compared to the same quarter in the prior year."}, {"path": "tedlium_26837.wav", "duration": 7.44, "text": "approaches. There are big themes, as we've talked about, in terms of planning and engineering and procurement. But the contract terms,"}, {"path": "tedlium_26838.wav", "duration": 7.44, "text": "So that and then also because customers are buying smaller quantities, they need it quicker."}, {"path": "tedlium_26839.wav", "duration": 7.44, "text": "They also demonstrate the trust and confidence our customers have in our operational and financial capabilities."}, {"path": "tedlium_26840.wav", "duration": 7.4100625, "text": "And I think that will really be the framework which shapes our operating expenses going forward."}, {"path": "tedlium_26841.wav", "duration": 7.4100625, "text": "We continue to add users to the Axon platform and ended the year with almost 95,000 active paid licenses"}, {"path": "tedlium_26842.wav", "duration": 7.41, "text": "make a judgment today whether this direction or that direction will prevail."}, {"path": "tedlium_26843.wav", "duration": 7.41, "text": "except for Peru, which was impacted by some disruption as a result of adverse weather conditions occurring this spring."}, {"path": "tedlium_26844.wav", "duration": 7.41, "text": "We have made important announcements about the leadership teams of Marsh, Mercer and Guy Carpenter after closing."}, {"path": "tedlium_26845.wav", "duration": 7.41, "text": "I'm happy to report on the continued growth of our business, the progress made during the quarter and our prospects moving forward."}, {"path": "tedlium_26846.wav", "duration": 7.41, "text": "Some of the services in high demand are leadership development, team effectiveness and organizational transformation."}, {"path": "tedlium_26847.wav", "duration": 7.41, "text": "We went from being a competitive point redemption price property to the most expensive in the market, which drove down our redemption stays."}, {"path": "tedlium_26848.wav", "duration": 7.41, "text": "There have also been a few online lenders that have tried to cater to prime consumers only, but massive scale is needed to get to a viable economic model."}, {"path": "tedlium_26849.wav", "duration": 7.41, "text": "all while not losing a single lender and gaining increased commitments from 11 of our 13 lenders."}, {"path": "tedlium_26850.wav", "duration": 7.41, "text": "including those disclosed under the sections titled risk factors and forward-looking statements in our annual report on Form 10-K"}, {"path": "tedlium_26851.wav", "duration": 7.41, "text": "It is this intelligence that will finally allow consumers to take ubiquitous connectivity for granted."}, {"path": "tedlium_26852.wav", "duration": 7.41, "text": "Strategic partner deals are typically larger and have more upside but take an extended period of time to ramp and begin recognizing revenue."}, {"path": "tedlium_26853.wav", "duration": 7.41, "text": "pretty much at one place at one time. There's only one of you, and so there needs to be more coverage of that kind of thing in the field"}, {"path": "tedlium_26854.wav", "duration": 7.41, "text": "we would like to be even greater company in scale. Out of"}, {"path": "tedlium_26855.wav", "duration": 7.41, "text": "seeing an impact from the strong dollar as well as some slowing domestic demand. So can you just compare and contrast your overarching"}, {"path": "tedlium_26856.wav", "duration": 7.41, "text": "Just briefly on our financial position. Our financial position remains solid"}, {"path": "tedlium_26857.wav", "duration": 7.41, "text": "And the reason these fold increases are lower than what we previously reported for the Phase II is that"}, {"path": "tedlium_26858.wav", "duration": 7.41, "text": "like I said remains king, we continue to operate effectively. And as long as we"}, {"path": "tedlium_26859.wav", "duration": 7.41, "text": "all patients have completed the 24 weeks. And we've said that we expect that data in the first half of 2019. That hasn't changed."}, {"path": "tedlium_26860.wav", "duration": 7.41, "text": "of our shareholders and the type of shareholders that we have and why they own us, especially in this world that's"}, {"path": "tedlium_26861.wav", "duration": 7.41, "text": "Longer term, our ambitions remain unchanged, and we continue to work well to grow this company and create more value for our shareholders."}, {"path": "tedlium_26862.wav", "duration": 7.41, "text": "assuming a 2% to 3% comparable store sales increase and the opening of approximately 2 net new stores."}, {"path": "tedlium_26863.wav", "duration": 7.41, "text": "we were -- that was a deal we signed a few months ago, but it was now fully completed hereby beginning of January, as"}, {"path": "tedlium_26864.wav", "duration": 7.41, "text": "while achieving design proppant concentrations of up to 2,000 pounds per foot, which would be the highest in the company's history."}, {"path": "tedlium_26865.wav", "duration": 7.41, "text": "As the majority of our revenue comes from management fees, we have already had the majority of our revenue taxed as if we are a corporation."}, {"path": "tedlium_26866.wav", "duration": 7.41, "text": "and what we've done is we've been able to identify who has to be called first and who we can call later"}, {"path": "tedlium_26867.wav", "duration": 7.41, "text": "When you take those into account, combined to a positive view on how Colombia is expected to evolve,"}, {"path": "tedlium_26868.wav", "duration": 7.41, "text": "These charges will not impact the company's cash balance or liquidity and will be excluded from adjusted EBITDA and from operating income."}, {"path": "tedlium_26869.wav", "duration": 7.41, "text": "the only time you really feel like you can do something is at the top of the cycle. But that's not the time to be doing it, which is why we were so focused"}, {"path": "tedlium_26870.wav", "duration": 7.41, "text": "for you to consolidate some of the mines in that basin in the case that it may be oversupplied, to your earlier points?"}, {"path": "tedlium_26871.wav", "duration": 7.41, "text": "it's what we think it should be on growth? Or are we still going to be dealing with the occasional stumbling block here?"}, {"path": "tedlium_26872.wav", "duration": 7.41, "text": "and executing select accretive transactions. We will continue to execute our business plan to drive our business forward."}, {"path": "tedlium_26873.wav", "duration": 7.41, "text": "talking to the very biggest partners and signing the very biggest partners that they've got."}, {"path": "tedlium_26874.wav", "duration": 7.41, "text": "continue to do so in the future in order to take advantage of the opportunities. So I would expect that, in the coming year, that we would"}, {"path": "tedlium_26875.wav", "duration": 7.41, "text": "to drive continuous improvement. With Brad on board since April, we have taken the first steps in implementing a multiyear program."}, {"path": "tedlium_26876.wav", "duration": 7.41, "text": "that remains totally aligned with the growth seen at the beginning of the year and driven simultaneously by all business lines."}, {"path": "tedlium_26877.wav", "duration": 7.41, "text": "These are early indications of the work we are now doing to drive growth for our company and our customers."}, {"path": "tedlium_26878.wav", "duration": 7.41, "text": "Beginning in the third quarter, we anticipate beginning to disclose annualized recurring revenue as an additional, important software metric."}, {"path": "tedlium_26879.wav", "duration": 7.41, "text": "All divisions in profitable growth delivering a good organic growth. Acquired business in"}, {"path": "tedlium_26880.wav", "duration": 7.41, "text": "which allowed us to terminate resellers in the Nordics. And our U.K.-based team is continuing to deliver good results."}, {"path": "tedlium_26881.wav", "duration": 7.41, "text": "And while more work still lies ahead, we are seeing the progress begin to manifest itself in our financial performance."}, {"path": "tedlium_26882.wav", "duration": 7.41, "text": "to get to what might be left under the first lien notes for your ability to buy back kind of stuff that's junior to that?"}, {"path": "tedlium_26883.wav", "duration": 7.41, "text": "is shown in the segment, and this is consistent with our philosophy of trying to strip out of our segment's prior periods"}, {"path": "tedlium_26884.wav", "duration": 7.41, "text": "what is obviously a very substantial amount of cash. So if I have one concern, that's about it."}, {"path": "tedlium_26885.wav", "duration": 7.41, "text": "We look forward to providing updates on future quarterly calls. With that, let's open the call up to questions."}, {"path": "tedlium_26886.wav", "duration": 7.41, "text": "is where we had to draw the line and say no. It doesn't make sense. So it depends very much on what the rules would be."}, {"path": "tedlium_26887.wav", "duration": 7.41, "text": "As you can see in the slide, there was no direct negative impact on profits."}, {"path": "tedlium_26888.wav", "duration": 7.41, "text": "The numbers that we came up with were fairly low, because the overall loan book is about 15 loans, as you know."}, {"path": "tedlium_26889.wav", "duration": 7.41, "text": "These expenses, prior to the third quarter, are reported net in other income, insurance premiums written and earned."}, {"path": "tedlium_26890.wav", "duration": 7.41, "text": "but there will be repairs and maintenance that we will help with and in the long term hopefully will be a tailwind for us."}, {"path": "tedlium_26891.wav", "duration": 7.41, "text": "We are able to carefully manage incremental land acquisition spend with a focus on improving return on equity and assets."}, {"path": "tedlium_26892.wav", "duration": 7.41, "text": "Our recent stock prices with new repurchase program represents about 8% of the company's total market share"}, {"path": "tedlium_26893.wav", "duration": 7.41, "text": "we've historically done a lot of work for the energy sector in the reactive side and we expect to continue to do that as incidents happen."}, {"path": "tedlium_26894.wav", "duration": 7.41, "text": "Furthermore, we expect to continue lowering costs through a recently implemented seasonal drilling and completion program."}, {"path": "tedlium_26895.wav", "duration": 7.41, "text": "Our customer relationships are excellent, and our customers are very, very happy we're launching bubly. The product tastes fantastic."}, {"path": "tedlium_26896.wav", "duration": 7.41, "text": "an annual number, and theoretically, that number gets spread out over the course of the year,"}, {"path": "tedlium_26897.wav", "duration": 7.41, "text": "And you can look at this for all these 6 geographies. The key is how can we grow with our customer base,"}, {"path": "tedlium_26898.wav", "duration": 7.41, "text": "this enables us today to really give the capital where we have sufficient returns"}, {"path": "tedlium_26899.wav", "duration": 7.41, "text": "from a macro market perspective, we are seeing, in general -- and this is in general,"}, {"path": "tedlium_26900.wav", "duration": 7.41, "text": "Transitional Center to other CoreCivic residential reentry facilities in Texas that were outside the direct path of the storm."}, {"path": "tedlium_26901.wav", "duration": 7.41, "text": "due to the significant pace of store openings in that market and some other opportunities we're executing on."}, {"path": "tedlium_26902.wav", "duration": 7.41, "text": "Okay. And if we were to get under a rate hike in March, what would you expect the benefit to the margin to be?"}, {"path": "tedlium_26903.wav", "duration": 7.41, "text": "on margin. Volume does not chart the margin. And decreasingly as we pursue our platform"}, {"path": "tedlium_26904.wav", "duration": 7.41, "text": "And I feel very optimistic and very strong and confident about that. But at the same time,"}, {"path": "tedlium_26905.wav", "duration": 7.41, "text": "We believe these to be short term in nature and are convinced that our growth strategy will produce solid long-term results."}, {"path": "tedlium_26906.wav", "duration": 7.41, "text": "On buying better. Buying better focuses on leveraging Orica's global network to lower unit costs."}, {"path": "tedlium_26907.wav", "duration": 7.41, "text": "And so as long as we have those -- we satisfy that, we will go into"}, {"path": "tedlium_26908.wav", "duration": 7.41, "text": "Through the steady implementation of these themes, we will establish our position as a global leading airline group."}, {"path": "tedlium_26909.wav", "duration": 7.41, "text": "I think a year ago, many investors expected Maxim might have been a target"}, {"path": "tedlium_26910.wav", "duration": 7.41, "text": "in the first part of the 2015 numbers. We would expect to see that in the first part of the 2016 numbers. We then have a second effect,"}, {"path": "tedlium_26911.wav", "duration": 7.41, "text": "and what was in our discussions with OFAC and hopefully have convinced you that we have anticipated"}, {"path": "tedlium_26912.wav", "duration": 7.41, "text": "look, we were a little bit busy last week so we didn't really spend much time trying to revise the guidance, but"}, {"path": "tedlium_26913.wav", "duration": 7.41, "text": "During the third quarter, we continued to benefit from improved market conditions and our ongoing focus on expense management."}, {"path": "tedlium_26914.wav", "duration": 7.41, "text": "As we continue to morph our products division from a research-based focus to a molecular diagnostics one,"}, {"path": "tedlium_26915.wav", "duration": 7.41, "text": "it's not our intention to make any further announcements or commentary on Fortuna until it becomes a viable project."}, {"path": "tedlium_26916.wav", "duration": 7.41, "text": "a great addition to the Titan team, and really, will be able to jump in and make a difference and start running fast to help our overall sales organization."}, {"path": "tedlium_26917.wav", "duration": 7.41, "text": "as it has a liquid aftermarket, drives our highest margins and fits well with the most active market segments we pursue."}, {"path": "tedlium_26918.wav", "duration": 7.41, "text": "I don't think it's fair, however, to look at -- given the number of execution issues and incremental costs"}, {"path": "tedlium_26919.wav", "duration": 7.41, "text": "Since our last call, our treasury team has been very busy. They completed another set of efficient financing transactions including"}, {"path": "tedlium_26920.wav", "duration": 7.41, "text": "and build those businesses online. Social and digital is an important new component that I think"}, {"path": "tedlium_26921.wav", "duration": 7.41, "text": "we've got a pretty good pulse on how to react to that in terms of what do we need to sharpen our pencil and our promotional program."}, {"path": "tedlium_26922.wav", "duration": 7.41, "text": "such as those outlined in our schedule titled Quarterly Reconciliation of GAAP to Adjusted Non-GAAP Financials"}, {"path": "tedlium_26923.wav", "duration": 7.41, "text": "First, and probably most importantly, is the excessively aged nature of the van trailer population."}, {"path": "tedlium_26924.wav", "duration": 7.41, "text": "We will discuss non-GAAP financial measures and a reconciliation of GAAP can be found in the earnings materials on our website."}, {"path": "tedlium_26925.wav", "duration": 7.41, "text": "And they will normalize at lower levels in the second half of the year, mostly relating to timing of investments and development."}, {"path": "tedlium_26926.wav", "duration": 7.41, "text": "and I think in particular we do remain concerned around the tail risk of a local currency downgrade,"}, {"path": "tedlium_26927.wav", "duration": 7.41, "text": "we do to maintain the upward pressure -- everything we can do to maintain the upward pressure on margins. So"}, {"path": "tedlium_26928.wav", "duration": 7.41, "text": "And as we enjoy the ride up the cycle, we don't back off in terms of some of the things that"}, {"path": "tedlium_26929.wav", "duration": 7.41, "text": "Our acquisition pipeline is healthy, and our balance sheet gives us the flexibility to move quickly and be opportunistic."}, {"path": "tedlium_26930.wav", "duration": 7.41, "text": "This structure and the relative profitability is not unusual in many sectors, including decorative paint."}, {"path": "tedlium_26931.wav", "duration": 7.41, "text": "We only have confirming borrowing base facilities both on the international and Canadian side of the business and"}, {"path": "tedlium_26932.wav", "duration": 7.41, "text": "The other thing that's probably helping the industry sort of slog along before having changes is in fact the low cost of funds."}, {"path": "tedlium_26933.wav", "duration": 7.41, "text": "we remain confident that our insurance coverage is sufficient to cover the vast majority of the total cost of damage and business interruption"}, {"path": "tedlium_26934.wav", "duration": 7.41, "text": "project and if you have any time frame, any estimate of when we could see the"}, {"path": "tedlium_26935.wav", "duration": 7.41, "text": "Great. Well, thank you very much for listening in, and we look forward to updating you at the end of the first quarter. Thank you."}, {"path": "tedlium_26936.wav", "duration": 7.41, "text": "or implied by such forward-looking statements, and the company can give no assurance that they will prove to be correct."}, {"path": "tedlium_26937.wav", "duration": 7.41, "text": "with 2 major pork plants coming online. At the same time, we're going to have a lot more hogs. If you look at"}, {"path": "tedlium_26938.wav", "duration": 7.41, "text": "Please turn to Slide 10. The defensiveness and sustainability of our cash flows is further highlighted by the remaining term"}, {"path": "tedlium_26939.wav", "duration": 7.41, "text": "I'll introduce them as they chime in during the call. Our agenda is going to be familiar to many of you, I hope."}, {"path": "tedlium_26940.wav", "duration": 7.41, "text": "and actually start a process over with a partner. We plan to use the materials they are producing"}, {"path": "tedlium_26941.wav", "duration": 7.41, "text": "but we're certainly fairly far along and laying out our plans and foundation to go after it."}, {"path": "tedlium_26942.wav", "duration": 7.41, "text": "to the overall portfolio. And then the second thing that we also mentioned in the call today was it does limit"}, {"path": "tedlium_26943.wav", "duration": 7.41, "text": "We enhanced our debt structure to provide significant capacity to move quickly on opportunities to expand our business."}, {"path": "tedlium_26944.wav", "duration": 7.41, "text": "you had a benefit last year because essentially"}, {"path": "tedlium_26945.wav", "duration": 7.41, "text": "getting them to understand and appreciate that value proposition on an episode basis."}, {"path": "tedlium_26946.wav", "duration": 7.41, "text": "it's what we watch internally, and I hope it's what you watch because I think that's the way to tell how we're progressing with this business."}, {"path": "tedlium_26947.wav", "duration": 7.41, "text": "is really what tells the story here. And we're starting to get more and more case studies around the success of the technologies that we deploy."}, {"path": "tedlium_26948.wav", "duration": 7.41, "text": "what has happened in the past in a number of small refinery exemptions, especially with the money that refiners are making, there is not a lot of hardship anymore,"}, {"path": "tedlium_26949.wav", "duration": 7.41, "text": "we don't think that the Zika virus per se has got a lot of negative. What I do think you're going to get"}, {"path": "tedlium_26950.wav", "duration": 7.41, "text": "by the end of 2019. We managed the simplification program on a project by project basis and expect"}, {"path": "tedlium_26951.wav", "duration": 7.41, "text": "Our acquisitions in Personal Care contributed increasingly to USG through the year as we started to anniversary them."}, {"path": "tedlium_26952.wav", "duration": 7.41, "text": "This is regarding Napabucasin. This change in fair value of contingent consideration"}, {"path": "tedlium_26953.wav", "duration": 7.41, "text": "this year. So they're trying to get those -- that word out to our folks early because they don't want to lose"}, {"path": "tedlium_26954.wav", "duration": 7.41, "text": "it's kind of stalled. Yes, there's a number of factors of that. Some of it's got to do with the timing of when you've"}, {"path": "tedlium_26955.wav", "duration": 7.41, "text": "were offset by lower margins from higher factory costs as a result of lower total volumes handled in Brazil."}, {"path": "tedlium_26956.wav", "duration": 7.41, "text": "We have a complete product range. We have one of the largest design portfolios in the industry, very deep technical know-how."}, {"path": "tedlium_26957.wav", "duration": 7.41, "text": "in order to focus resources on higher-margin segments and end-user customers, where we see fewer competitors who can match"}, {"path": "tedlium_26958.wav", "duration": 7.41, "text": "We also saw inflation on packaging and certain ingredients with deflation in proteins, fats and oils."}, {"path": "tedlium_26959.wav", "duration": 7.41, "text": "And then to try to jump-start volume, low ROI trade was infused behind price promotion."}, {"path": "tedlium_26960.wav", "duration": 7.41, "text": "Capital deployment during the quarter included acquiring LinkTech to add our Advanced Technology segment's medical offering,"}, {"path": "tedlium_26961.wav", "duration": 7.41, "text": "preparing for the possible U.K. vote leaving the euro or have you just sort of maintained the old strategy?"}, {"path": "tedlium_26962.wav", "duration": 7.41, "text": "And because of the way the platform was architected and because of the way Frank and team have really jumped on"}, {"path": "tedlium_26963.wav", "duration": 7.41, "text": "we have a number of ways we can do that. One is through reserves growth in our fields as we drill"}, {"path": "tedlium_26964.wav", "duration": 7.41, "text": "also I would like to thank you analysts for covering us. I would like to thank you all. And we are available"}, {"path": "tedlium_26965.wav", "duration": 7.41, "text": "be as transparent as possible as to the results and be responsive to the comments that we received from investors over the last year"}, {"path": "tedlium_26966.wav", "duration": 7.41, "text": "almost evenly split between bridge loans and conduit loans. And we have a robust loan origination pipeline."}, {"path": "tedlium_26967.wav", "duration": 7.41, "text": "All this demonstrates cost efficiency. And the development of our operating model means that it is also scalable upwards, allowing us"}, {"path": "tedlium_26968.wav", "duration": 7.41, "text": "If I step back from it, just to give you a few numbers or summarize a few numbers for the Aggregates segment for the quarter,"}, {"path": "tedlium_26969.wav", "duration": 7.41, "text": "our unit margins in aggregates reached a second quarter record and the pricing climate remains positive."}, {"path": "tedlium_26970.wav", "duration": 7.41, "text": "I think, if you look at where we stand from a demand perspective and what's happening in the markets or not,"}, {"path": "tedlium_26971.wav", "duration": 7.41, "text": "Importantly, we can launch this offering with minimal investment by using our existing product and manufacturing resources."}, {"path": "tedlium_26972.wav", "duration": 7.41, "text": "the second quarter and the remainder of 2018. The first quarter was about as choppy as it gets for our business."}, {"path": "tedlium_26973.wav", "duration": 7.41, "text": "for an online shop for electronics products. We already put together an assortment range of over 2,000 items"}, {"path": "tedlium_26974.wav", "duration": 7.41, "text": "and AppNexus brought part of the revenues, but also took part of the revenues as their share."}, {"path": "tedlium_26975.wav", "duration": 7.41, "text": "what's available then to fund the divided, but leaving working capital so that we can address our needs as it relates to"}, {"path": "tedlium_26976.wav", "duration": 7.41, "text": "The gain and loss on foreign exchange were mainly related to the change in the exchange rate used to translate"}, {"path": "tedlium_26977.wav", "duration": 7.41, "text": "We also closed the previously announced acquisition of 3 stations in the Fairbanks, Alaska market,"}, {"path": "tedlium_26978.wav", "duration": 7.41, "text": "is available on the Investor Information section of our website at sensient.com and in our press release."}, {"path": "tedlium_26979.wav", "duration": 7.41, "text": "And again, yes, I think the numbers that Brian quotes are numbers where we are going to split the box. We've had a few executions"}, {"path": "tedlium_26980.wav", "duration": 7.41, "text": "to prepare the future of, do you sell the platform"}, {"path": "tedlium_26981.wav", "duration": 7.41, "text": "I'm just kind of looking at everything and not necessarily any particular side that you want to drop first?"}, {"path": "tedlium_26982.wav", "duration": 7.41, "text": "due to negative foreign currency impacts, which was partially offset by a favorable sales mix shift to the retail segment."}, {"path": "tedlium_26983.wav", "duration": 7.41, "text": "It's nice if it's got some equity but has some room to grow. That's why we're more focused at the smaller end of the spectrum."}, {"path": "tedlium_26984.wav", "duration": 7.41, "text": "However, we are seeing some unanticipated pressure on operating cash flows in this half of the year."}, {"path": "tedlium_26985.wav", "duration": 7.41, "text": "right on the back of October. So when you look at the oil price decline in October, that will have a direct translation into our October input,"}, {"path": "tedlium_26986.wav", "duration": 7.41, "text": "We are now driving both the assessments and program management of our targeted initiatives with only very limited support from third parties."}, {"path": "tedlium_26987.wav", "duration": 7.41, "text": "Thus, in the third quarter, I expect management fees to remain roughly flat compared to the second quarter."}, {"path": "tedlium_26988.wav", "duration": 7.41, "text": "the fourth quarter, sold some additional Agency assets to allow us to continue to increase our exposure"}, {"path": "tedlium_26989.wav", "duration": 7.41, "text": "we feel we are at least on the right track and are going through tremendous amounts of validation to make sure we stay on track."}, {"path": "tedlium_26990.wav", "duration": 7.41, "text": "New and old, we're definitely are biased towards new. I mean I think in the world we are right now the threshold for innovation"}, {"path": "tedlium_26991.wav", "duration": 7.41, "text": "We are of the firm opinion that this is an absolute minimum requirement to achieve the rerating of our equity,"}, {"path": "tedlium_26992.wav", "duration": 7.41, "text": "and then I'll spend a fair bit of time on the Obuasi redevelopment project, which has been approved for implementation."}, {"path": "tedlium_26993.wav", "duration": 7.4099375, "text": "and remain excited about the continued growth opportunities in our U.S. business. As we have discussed, our business is very diverse,"}, {"path": "tedlium_26994.wav", "duration": 7.3800625, "text": "At the same time, we continue our efforts in recruiting, retention and management development programs."}, {"path": "tedlium_26995.wav", "duration": 7.3800625, "text": "you have a lot of wood that can flow, either to the China market or to the domestic market. We continue to believe that"}, {"path": "tedlium_26996.wav", "duration": 7.38, "text": "When we reviewed the design, we felt that it was actually valuable to push the dose higher"}, {"path": "tedlium_26997.wav", "duration": 7.38, "text": "In brief, we believe the increase of shared mobility in urban centers will lead to vehicles having much higher utilization,"}, {"path": "tedlium_26998.wav", "duration": 7.38, "text": "After carefully considering our current disclosures, we have decided that we will not change how we report adjusted earnings per share."}, {"path": "tedlium_26999.wav", "duration": 7.38, "text": "The use of special purpose entities by the bank in this business is usual and customary in the industry and represents prudent practice."}, {"path": "tedlium_27000.wav", "duration": 7.38, "text": "so that's won't be recurring. But we will have some other expenses. So some of it was due to Block."}, {"path": "tedlium_27001.wav", "duration": 7.38, "text": "Based on the progress made to date, we continue to see evidence that the new process improvements and delivery methodologies are working"}, {"path": "tedlium_27002.wav", "duration": 7.38, "text": "as deployment services makes up less of the mix and engineering and consulting services"}, {"path": "tedlium_27003.wav", "duration": 7.38, "text": "The driver shortage continues to be a headwind for the industry and will likely impact the ability to increase capacity in the space."}, {"path": "tedlium_27004.wav", "duration": 7.38, "text": "costs could be inflationary again here going forward. We know for a fact that our largest cost, the driver wages will be,"}, {"path": "tedlium_27005.wav", "duration": 7.38, "text": "both in cost and revenue synergies. Our intention with providing synergy targets in April"}, {"path": "tedlium_27006.wav", "duration": 7.38, "text": "We've made a lot of progress in a very short time, which has required placing a lot of bets"}, {"path": "tedlium_27007.wav", "duration": 7.38, "text": "where you lose virulence. And why we keep saying we're looking at the feasibility to make a decision,"}, {"path": "tedlium_27008.wav", "duration": 7.38, "text": "Before I go into the segment details, let me quickly review 2 of the adjusting items for the fourth quarter."}, {"path": "tedlium_27009.wav", "duration": 7.38, "text": "dealerships that are under pressure, hence our desire to improve the strength of the balance sheet should we be able to take advantage of"}, {"path": "tedlium_27010.wav", "duration": 7.38, "text": "are examples of new recurring revenue opportunities that we have identified and pursued in the Content Services market segment."}, {"path": "tedlium_27011.wav", "duration": 7.38, "text": "These results in retail pharmacy are offset by strong positive consecutive quarter growth in specialty pharmacy,"}, {"path": "tedlium_27012.wav", "duration": 7.38, "text": "I'm happy to report that in November, we signed a letter of intent with ShareCor, the Louisiana Hospital Association,"}, {"path": "tedlium_27013.wav", "duration": 7.38, "text": "our marketing message is compelling and our operating teams are ready for the peak shopping weeks of the year."}, {"path": "tedlium_27014.wav", "duration": 7.38, "text": "or measures calculated and presented in accordance with GAAP. With that, let me now turn the call over to David for his opening remarks."}, {"path": "tedlium_27015.wav", "duration": 7.38, "text": "which was offset by our improved gross profit margin, effective expense management and lower tax rate."}, {"path": "tedlium_27016.wav", "duration": 7.38, "text": "And you've got a fairly robust real estate business. And all of that is putting pressure on construction resources, which makes"}, {"path": "tedlium_27017.wav", "duration": 7.38, "text": "look at growth opportunities. And so I'm wondering if there's any thought about any change in the structure"}, {"path": "tedlium_27018.wav", "duration": 7.38, "text": "entering this year and over the course of the year than we were in 2017. We feel very confident in that."}, {"path": "tedlium_27019.wav", "duration": 7.38, "text": "Our consistently strong revenue growth reflects the broad-based demand for our real estate capital solutions."}, {"path": "tedlium_27020.wav", "duration": 7.38, "text": "Average minute is, in fact, the way we report television right now. But it'll probably also need to include a reach"}, {"path": "tedlium_27021.wav", "duration": 7.38, "text": "a lot more pressure sort of across the board. So I'm just curious, are you seeing any of these issues that have been reported by others in terms of"}, {"path": "tedlium_27022.wav", "duration": 7.38, "text": "Changes to the methodology included using a higher discount rate to determine the value of future cash flows."}, {"path": "tedlium_27023.wav", "duration": 7.38, "text": "On January 25, the Partnership announced its fourth quarter cash distribution"}, {"path": "tedlium_27024.wav", "duration": 7.38, "text": "and expand our margins by improving our execution, especially in the area of delivery."}, {"path": "tedlium_27025.wav", "duration": 7.38, "text": "Given the recent news on the economic front, we expect to see profitable growth in this portfolio during this third quarter."}, {"path": "tedlium_27026.wav", "duration": 7.38, "text": "as well as its ability to act as a throughput equalizer for our guests relative to the competition."}, {"path": "tedlium_27027.wav", "duration": 7.38, "text": "was that a step-up in capacity that came on and you're now constrained going into the following quarters so there's"}, {"path": "tedlium_27028.wav", "duration": 7.38, "text": "what you think the opportunities will be there, whether it's just kind of one product at a time and sort of modest incremental or if you think that there's"}, {"path": "tedlium_27029.wav", "duration": 7.38, "text": "In closing, we believe we are expanding the Mistras brand, and we are very optimistic about its future."}, {"path": "tedlium_27030.wav", "duration": 7.38, "text": "However, if you can make it more interesting, you can make it slightly more thrilling."}, {"path": "tedlium_27031.wav", "duration": 7.38, "text": "kind of refresh our memory on some of the international segments in terms of a percentage of your international wholesale business?"}, {"path": "tedlium_27032.wav", "duration": 7.38, "text": "I recognize you're trying to wade through all that. My observations would be that"}, {"path": "tedlium_27033.wav", "duration": 7.38, "text": "And of course, when we take into account what we announced a possible consolidation. If consolidation will take place,"}, {"path": "tedlium_27034.wav", "duration": 7.38, "text": "which is our highest ever ending unit count and revenues from our installed base were at record levels."}, {"path": "tedlium_27035.wav", "duration": 7.38, "text": "Importantly, we've already begun to execute on a number of our plans, underlying initiatives and priorities."}, {"path": "tedlium_27036.wav", "duration": 7.38, "text": "rationality, and we are now benefiting from this model. But I would also like to highlight that we have"}, {"path": "tedlium_27037.wav", "duration": 7.38, "text": "as we've gone through this year, we've seen you revise your expectations related to"}, {"path": "tedlium_27038.wav", "duration": 7.38, "text": "until after they've occurred and only if they materially impact our assumptions from the base case."}, {"path": "tedlium_27039.wav", "duration": 7.38, "text": "So if we look at net debt, the group continues to have a strong cash position"}, {"path": "tedlium_27040.wav", "duration": 7.38, "text": "Our expectation is prices could rise again in August before stabilizing and then declining somewhat in the fourth quarter."}, {"path": "tedlium_27041.wav", "duration": 7.38, "text": "No. I mean, I said last year, I thought we were experiencing an anomaly in Europe. We had"}, {"path": "tedlium_27042.wav", "duration": 7.38, "text": "market. And that'll give us a lot more information, but that is a huge opportunity for the future for which we will discuss tomorrow."}, {"path": "tedlium_27043.wav", "duration": 7.38, "text": "giving them more product choices than ever before and leveraging trends in food and nutrition to help them attract new customers."}, {"path": "tedlium_27044.wav", "duration": 7.38, "text": "transaction to go through their usual process -- processes, their own analyses"}, {"path": "tedlium_27045.wav", "duration": 7.38, "text": "which is less than the run rate in the prior 2 quarters as a result of lower straight-line rent adjustments in the second quarter."}, {"path": "tedlium_27046.wav", "duration": 7.38, "text": "So that's revenue that is available to them if we deliver. If you miss your deadline, those customers have just lost out"}, {"path": "tedlium_27047.wav", "duration": 7.38, "text": "I think it's a second quarter in a row where the recurring streams kind of performed a little better. So perhaps marc you want to expand on what your thoughts there?"}, {"path": "tedlium_27048.wav", "duration": 7.38, "text": "more than 3x faster than the average semiconductor content in cars."}, {"path": "tedlium_27049.wav", "duration": 7.38, "text": "and that would be over 100 years of remaining resources relative to the current U.S. natural gas demand."}, {"path": "tedlium_27050.wav", "duration": 7.38, "text": "This is exactly the kind of deal we want to do with companies that have midstream business assets embedded in a larger organization."}, {"path": "tedlium_27051.wav", "duration": 7.38, "text": "The authorization allows, but does not require the company to repurchase its shares at its discretion."}, {"path": "tedlium_27052.wav", "duration": 7.38, "text": "How should we think about, again, the different segments of -- that you have in terms of"}, {"path": "tedlium_27053.wav", "duration": 7.38, "text": "On balance, we anticipate that U.S. reform could be favorable to our book tax rate by anywhere from 1 to 5 percentage points,"}, {"path": "tedlium_27054.wav", "duration": 7.38, "text": "As noted in our earnings release, we have posted supplemental financial information on the IR portion of our website."}, {"path": "tedlium_27055.wav", "duration": 7.38, "text": "ZEE will continue to offer quality entertainment to audiences, both home and abroad, across various consumption platforms."}, {"path": "tedlium_27056.wav", "duration": 7.38, "text": "Unless stated otherwise, financial and operational metric comparisons are to the prior year period and relate to continuing operations."}, {"path": "tedlium_27057.wav", "duration": 7.38, "text": "So we -- all these changes that we're making are giving us a leg up against a lot of people."}, {"path": "tedlium_27058.wav", "duration": 7.38, "text": "We continue to evaluate the appropriate structure for the re-domestication and plan to have an update on next quarter's call."}, {"path": "tedlium_27059.wav", "duration": 7.38, "text": "We talked in previous quarters about being able to use the technology of BOSS on things like termite billing."}, {"path": "tedlium_27060.wav", "duration": 7.38, "text": "Have a great rest of the day. This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_27061.wav", "duration": 7.38, "text": "looked at how many wells per quarter. I just know that the well count in the first quarter is low relative to the rest of the"}, {"path": "tedlium_27062.wav", "duration": 7.38, "text": "The level of documentation we're getting now from the sellers is spectacular, and it's very different than we've gotten in the past"}, {"path": "tedlium_27063.wav", "duration": 7.38, "text": "As I noted on our last call, we have been analyzing our cost structure to help better align our resources with the growth areas of our business."}, {"path": "tedlium_27064.wav", "duration": 7.38, "text": "We have a positive growth in residential consumer with a positive margin product group."}, {"path": "tedlium_27065.wav", "duration": 7.38, "text": "Is there going to be a quick -- if the second half develops the way you think, is it fair to think about that mix as"}, {"path": "tedlium_27066.wav", "duration": 7.38, "text": "That is why it is important to focus on average balances and longer-term trends in both the loan portfolio"}, {"path": "tedlium_27067.wav", "duration": 7.38, "text": "The most significant advantage we clearly have is the lack of an extensive and expensive branch network."}, {"path": "tedlium_27068.wav", "duration": 7.38, "text": "earnings, which is really a normal course kind of event. So you would tend to see this year being the year that you have"}, {"path": "tedlium_27069.wav", "duration": 7.38, "text": "goes on the account of the elections which are coming up in India. You might be aware of the fact that there is -- the federal"}, {"path": "tedlium_27070.wav", "duration": 7.38, "text": "And so those data will come a bit later. We know from Phase I that there was always a good relationship or"}, {"path": "tedlium_27071.wav", "duration": 7.38, "text": "and operations had to implement staffing plan alternatives in case the hurricane disrupted regular scheduled shift changes."}, {"path": "tedlium_27072.wav", "duration": 7.38, "text": "Good morning, and thank you for holding. Welcome to the Conn's Inc. conference call to discuss earnings for the fiscal quarter ended"}, {"path": "tedlium_27073.wav", "duration": 7.38, "text": "Okay. And how far do you think it is for you to send a movie over there"}, {"path": "tedlium_27074.wav", "duration": 7.38, "text": "Due to the strong momentum in our business, we elected to increase spend in areas where we expect to generate superior levels of return."}, {"path": "tedlium_27075.wav", "duration": 7.38, "text": "This conference call also contains time-sensitive information that is accurate only as of the date of this live broadcast,"}, {"path": "tedlium_27076.wav", "duration": 7.38, "text": "try to get it down a few more days to get at 60 or a couple days below that. And we are"}, {"path": "tedlium_27077.wav", "duration": 7.38, "text": "the fact that Insulation prices are still so far below where nominal prices were a decade ago is a real problem for our business,"}, {"path": "tedlium_27078.wav", "duration": 7.38, "text": "enterprises. So we will make sure that we will do the right thing, and we will also do difficult things if necessary."}, {"path": "tedlium_27079.wav", "duration": 7.38, "text": "That is one step in the change. We are out working and developing all the plans to implement"}, {"path": "tedlium_27080.wav", "duration": 7.38, "text": "Well, it's so asinine, because it not only will make their scraper perform better,"}, {"path": "tedlium_27081.wav", "duration": 7.38, "text": "and the situation is that you take that -- you take it by just"}, {"path": "tedlium_27082.wav", "duration": 7.38, "text": "We are working diligently with our tax advisers to refine this calculation in accordance with the regulations as they are released."}, {"path": "tedlium_27083.wav", "duration": 7.38, "text": "I would like to also note that all of our maintenance downtimes for the quarter were scheduled. As"}, {"path": "tedlium_27084.wav", "duration": 7.38, "text": "of retail that we operate in. And I guess my overall comment would be and I'll certainly look at these guys, but everything that I've seen, I"}, {"path": "tedlium_27085.wav", "duration": 7.38, "text": "And importantly, we continue to invest in future capabilities like digital and own brands, et cetera."}, {"path": "tedlium_27086.wav", "duration": 7.38, "text": "and that is roughly a 1 to 2 percentage point growth over where it was on a full year basis last year."}, {"path": "tedlium_27087.wav", "duration": 7.38, "text": "But what is your opinion in this case? I mean, do you think that this is a good move or should not be?"}, {"path": "tedlium_27088.wav", "duration": 7.38, "text": "The Walmart Canada order is a good example of how long it can take for these purchase orders to materialize."}, {"path": "tedlium_27089.wav", "duration": 7.38, "text": "To give you a flavor of the kind of things that we have been doing, I will mention a couple that I feel very strongly about."}, {"path": "tedlium_27090.wav", "duration": 7.38, "text": "by about 2%. Other key assumptions for Q1 include a moderate increase in expenses"}, {"path": "tedlium_27091.wav", "duration": 7.38, "text": "but we don't expect to do anything meekly here that is going to reflect"}, {"path": "tedlium_27092.wav", "duration": 7.38, "text": "We fully expect our investments to drive future revenue growth and contribute to positive operating leverage over the medium term."}, {"path": "tedlium_27093.wav", "duration": 7.38, "text": "The Hawaii economy continues to perform well, providing a supportive backdrop for our operations."}, {"path": "tedlium_27094.wav", "duration": 7.38, "text": "rather than diminishing as you get to larger cohorts, is actually improving because we're getting those larger cohorts through"}, {"path": "tedlium_27095.wav", "duration": 7.38, "text": "This decline was unrelated to the transition to managed payments, which had no material impact on our results."}, {"path": "tedlium_27096.wav", "duration": 7.38, "text": "use to rapidly pay down debt and help return the combined company to its current capital structure on a pro forma basis."}, {"path": "tedlium_27097.wav", "duration": 7.38, "text": "So this business, as long as they continue to drive corporate relationships, we'll absolutely invest in it. And then it's up to"}, {"path": "tedlium_27098.wav", "duration": 7.38, "text": "And finally, growing invested capital with disciplined investment, returning any surplus to our shareholders."}, {"path": "tedlium_27099.wav", "duration": 7.38, "text": "guess, the easy way to describe the quarter is sort of business as usual. As everyone knows, over the last couple of years, we decided to slow down"}, {"path": "tedlium_27100.wav", "duration": 7.38, "text": "This speaks to our ability to offer best-in-class products and to a sales team that's increasing its productivity."}, {"path": "tedlium_27101.wav", "duration": 7.38, "text": "We believe that providing a great customer experience and great service all across the country will generate above-market performance,"}, {"path": "tedlium_27102.wav", "duration": 7.38, "text": "And at the appropriate time, we'll make the decision on whether or not we would like to partner them or continue operating them as fully owned assets within"}, {"path": "tedlium_27103.wav", "duration": 7.38, "text": "We will continue to measure the results of these tests to ensure long-term benefits for customers and the company alike."}, {"path": "tedlium_27104.wav", "duration": 7.38, "text": "But we really think about our share repurchase program in terms of our total capital management strategy and address that on a quarterly basis."}, {"path": "tedlium_27105.wav", "duration": 7.38, "text": "primarily reflecting increases in information technology spending as well as higher facilities, professional services and travel expenses."}, {"path": "tedlium_27106.wav", "duration": 7.38, "text": "Finally, the biggest contributor to our margin improvement this half was from overheads, which I've already discussed a bit."}, {"path": "tedlium_27107.wav", "duration": 7.38, "text": "We're tapping into the interest in prestige scotch with our rare scotch malts and cask offerings."}, {"path": "tedlium_27108.wav", "duration": 7.38, "text": "Understanding the details of this process will allow the client companies to mitigate formation damage and permeability impairment."}, {"path": "tedlium_27109.wav", "duration": 7.38, "text": "I'm not an advocate of it in its current form because the process of removing, manipulating"}, {"path": "tedlium_27110.wav", "duration": 7.38, "text": "We expect to finalize our plans over the remainder of 2018. As always, investor feedback on these issues is welcome."}, {"path": "tedlium_27111.wav", "duration": 7.38, "text": "again, that would assume a static portfolio. So not continuing to launch products, which we, of course, hope to bring in and secure"}, {"path": "tedlium_27112.wav", "duration": 7.38, "text": "as well as taking new accounts on the differences in the European market. But probably a little early for us to be trying to comment"}, {"path": "tedlium_27113.wav", "duration": 7.38, "text": "I would say the enthusiasm, the energy, the excitement, the media coverage we certainly have had so far from the opening,"}, {"path": "tedlium_27114.wav", "duration": 7.38, "text": "This is consistent with management's view and our focus on the things that we've discussed in the past few quarters,"}, {"path": "tedlium_27115.wav", "duration": 7.38, "text": "Now for Q1 of '19, we expect to be in the low end of this range. Now we're going to have the normal impact of winter,"}, {"path": "tedlium_27116.wav", "duration": 7.38, "text": "has already added a leasing area of around 7,000 square meters and has already inaugurated some of their first stores."}, {"path": "tedlium_27117.wav", "duration": 7.38, "text": "including our entirely new Church Management capabilities that we built natively using our SKY platform."}, {"path": "tedlium_27118.wav", "duration": 7.38, "text": "We often speak of the value of keeping our whole loan sales channels open and active, even when securitization markets are particularly favorable."}, {"path": "tedlium_27119.wav", "duration": 7.38, "text": "So we have -- we do have the ability to play capital when we find true value that are strategically right down our fairway"}, {"path": "tedlium_27120.wav", "duration": 7.38, "text": "That's opportunity to get in front of key players from our customers that will see"}, {"path": "tedlium_27121.wav", "duration": 7.38, "text": "The country has traditionally been the biggest market for Bladex. Although in terms of relative portfolio weight,"}, {"path": "tedlium_27122.wav", "duration": 7.38, "text": "Our legal team is actively preparing for trial, and we remain committed to vigorously pursuing our rights."}, {"path": "tedlium_27123.wav", "duration": 7.38, "text": "you can tell by our spreads that when it comes to renewals that our renewals are in line with where we expected them to be."}, {"path": "tedlium_27124.wav", "duration": 7.38, "text": "customers in the distribution channels that we have known and done business with for long periods of time, but now have"}, {"path": "tedlium_27125.wav", "duration": 7.38, "text": "Despite the late spring and some dry conditions, most of our customers are experiencing favorable planting conditions in May. It"}, {"path": "tedlium_27126.wav", "duration": 7.38, "text": "These are the types of investment decisions that are easy to make, with expected clear and strong payback."}, {"path": "tedlium_27127.wav", "duration": 7.38, "text": "that we would take, for the classes that we want, we would take all the business if it fits our underwriting. So we feel good where the pricing is."}, {"path": "tedlium_27128.wav", "duration": 7.38, "text": "due to solid operating performance, lower interest expense and strong performance in our coffee joint ventures."}, {"path": "tedlium_27129.wav", "duration": 7.38, "text": "Shifting to volume. We expect core volume to be relatively flat consistent with recent trends."}, {"path": "tedlium_27130.wav", "duration": 7.38, "text": "to ensure that we live in a world where we don't just sell the science, but we ensure that patients actually get access to it."}, {"path": "tedlium_27131.wav", "duration": 7.38, "text": "Third, our leadership spends a lot of time in the field with our sales team."}, {"path": "tedlium_27132.wav", "duration": 7.38, "text": "And I think the other part that's going on here is flows and client activity matter, right. I think in my"}, {"path": "tedlium_27133.wav", "duration": 7.38, "text": "Finally, we saw a significant step-up in processing fees with the addition of CRD for the first time in our fourth quarter financials."}, {"path": "tedlium_27134.wav", "duration": 7.38, "text": "that could be an opportunity, but there's nothing that we've looked at so far that"}, {"path": "tedlium_27135.wav", "duration": 7.38, "text": "list that we have with our customers and also the investments we made in certain parts of our business,"}, {"path": "tedlium_27136.wav", "duration": 7.38, "text": "As a result, direct comparisons of per share amount between years may not be that useful to investors."}, {"path": "tedlium_27137.wav", "duration": 7.38, "text": "and a little bit of ripple effect from the government shutdown that occurred on some of our core customers who did government work."}, {"path": "tedlium_27138.wav", "duration": 7.38, "text": "I don't know if it's really directly impacting us per se with the constraints on the crude side."}, {"path": "tedlium_27139.wav", "duration": 7.38, "text": "see a through the cycle return that reflects the regulatory environment and that type of risk."}, {"path": "tedlium_27140.wav", "duration": 7.38, "text": "We have to have good cultural fits. But we have some discussions going on now that I think we feel"}, {"path": "tedlium_27141.wav", "duration": 7.38, "text": "Michel will review the items that drove the reduction in operating expenses for both the year and the quarter."}, {"path": "tedlium_27142.wav", "duration": 7.38, "text": "We are seeing strong tenant demand for our buildings, declining vacancy and rising rents across the majority of these markets."}, {"path": "tedlium_27143.wav", "duration": 7.38, "text": "the folks that make the decisions to go with our service sometimes they're slowing in making the decisions,"}, {"path": "tedlium_27144.wav", "duration": 7.38, "text": "We obviously have operated in the past in most every major basin and so I don't think we're limited"}, {"path": "tedlium_27145.wav", "duration": 7.38, "text": "Thanks, Kathryn, and good morning everyone. We achieved our key operating objectives and had a great fourth quarter."}, {"path": "tedlium_27146.wav", "duration": 7.38, "text": "as I think everybody knows, we don't speculate on potential acquisitions or other activity of the kind,"}, {"path": "tedlium_27147.wav", "duration": 7.38, "text": "This offering will be built by evolving our brand voice, our products, our marketing and our shopping experience."}, {"path": "tedlium_27148.wav", "duration": 7.38, "text": "And we provided additional incentives and resources to those regions, which could drive incremental growth well into our future."}, {"path": "tedlium_27149.wav", "duration": 7.38, "text": "Our advertising business changed profoundly over the past year as we migrated the sale of our Snap Ads to an automated auction."}, {"path": "tedlium_27150.wav", "duration": 7.38, "text": "give us some color on what's driving that? And then you also said that engagement in the older cohorts and"}, {"path": "tedlium_27151.wav", "duration": 7.38, "text": "as the full face amount in excess of the carrying amount of the surplus notes is already adjusted."}, {"path": "tedlium_27152.wav", "duration": 7.38, "text": "Last quarter, with the assistance of the transformation office, we finalized plans for a voluntary early retirement program."}, {"path": "tedlium_27153.wav", "duration": 7.38, "text": "and therefore, no assurance can be given that they will be purchased according to the currently contemplated terms."}, {"path": "tedlium_27154.wav", "duration": 7.38, "text": "changing expectations and instilling rigor and discipline across every task and function in the organization."}, {"path": "tedlium_27155.wav", "duration": 7.38, "text": "We are working hard in a number of areas to improve our performance. But given the current size and complexity of this program,"}, {"path": "tedlium_27156.wav", "duration": 7.38, "text": "That concludes our prepared remarks. Thank you for your attention. And at this time, we would like to open the call up to questions."}, {"path": "tedlium_27157.wav", "duration": 7.38, "text": "Arc signaled a few different scenarios for the future of the Portland Terminal lease, including continuing with the lease as is"}, {"path": "tedlium_27158.wav", "duration": 7.38, "text": "opened up a -- I think we talked about this at some point in the past, that in February, we opened up a new facility in Palo Alto"}, {"path": "tedlium_27159.wav", "duration": 7.38, "text": "where that is for contribution from EMS now and outlook from that if you expect from all the movement in products"}, {"path": "tedlium_27160.wav", "duration": 7.3799375, "text": "information about our mix or market share. Therefore, I'm not going to elaborate further"}, {"path": "tedlium_27161.wav", "duration": 7.3500625, "text": "can we see the impact of those initiatives? Is that something that we'll begin to see in Q2 or is that going to take a little bit longer to play out?"}, {"path": "tedlium_27162.wav", "duration": 7.3500625, "text": "And to the extent that we are more optimistic about the economy collectively"}, {"path": "tedlium_27163.wav", "duration": 7.3500625, "text": "that, overview of our businesses let me turn the call over to Adam for a discussion of our recent financial performance. Adam?"}, {"path": "tedlium_27164.wav", "duration": 7.35, "text": "mobile devices than in the first half of the year but still highly attractive."}, {"path": "tedlium_27165.wav", "duration": 7.35, "text": "We expect to file a new application shortly and receive a decision from the court in the coming weeks."}, {"path": "tedlium_27166.wav", "duration": 7.35, "text": "Our operations teams have done an excellent job executing on our customer base, growth and retention initiatives."}, {"path": "tedlium_27167.wav", "duration": 7.35, "text": "Based on our experience in primates and prior human clinical studies, we believe this represents near-complete suppression of the liver production"}, {"path": "tedlium_27168.wav", "duration": 7.35, "text": "until sometime in September anyway. So we're going to kind of be working between both offices for a little while."}, {"path": "tedlium_27169.wav", "duration": 7.35, "text": "We are also sponsoring several educational courses and are looking forward to a busy and productive meeting."}, {"path": "tedlium_27170.wav", "duration": 7.35, "text": "where we're going as a business and thinking through the deployment services and speaking to the CAF part first."}, {"path": "tedlium_27171.wav", "duration": 7.35, "text": "We also believe our current balance sheet positions us to have the flexibility to continue to invest in future growth opportunities."}, {"path": "tedlium_27172.wav", "duration": 7.35, "text": "Before I move on, I'd like to thank the team for their hard work and dedication throughout this challenging process."}, {"path": "tedlium_27173.wav", "duration": 7.35, "text": "So it's -- we have a number of prospects in the pipeline. Some have"}, {"path": "tedlium_27174.wav", "duration": 7.35, "text": "Okay. And then my second question is with the change in the tax rate."}, {"path": "tedlium_27175.wav", "duration": 7.35, "text": "banks. I think, when we look forward, part of our strategy is to also opening other capital markets,"}, {"path": "tedlium_27176.wav", "duration": 7.35, "text": "Silver prices are also better. In this case it is 3% up"}, {"path": "tedlium_27177.wav", "duration": 7.35, "text": "I'm going to turn the call over to Rick to take you through our third quarter's earnings results. And then you'll be hearing from myself,"}, {"path": "tedlium_27178.wav", "duration": 7.35, "text": "And what percentage of sales, maybe in the last 2 or 3 years, those channels might have represented?"}, {"path": "tedlium_27179.wav", "duration": 7.35, "text": "Adjustments in the fourth quarter included noncash charges for the payout of pension benefits"}, {"path": "tedlium_27180.wav", "duration": 7.35, "text": "Gaming service revenue was lower mainly due to our exit of certain interactive operation."}, {"path": "tedlium_27181.wav", "duration": 7.35, "text": "stressed sort of scenario or sort of an outlook. Is there anything you can provide or give us some sort of ideas as to what"}, {"path": "tedlium_27182.wav", "duration": 7.35, "text": "We recognize that there is a tremendous amount of work to do, but we made great strides"}, {"path": "tedlium_27183.wav", "duration": 7.35, "text": "we did not see any notable improvements, as the economic climate for small businesses remains sluggish."}, {"path": "tedlium_27184.wav", "duration": 7.35, "text": "and enable us to do something very novel within each stage by setting perforations across 2 different stress profiles,"}, {"path": "tedlium_27185.wav", "duration": 7.35, "text": "Yes. We believe that the inspection spend should be really where the damage is. And there's ways to use this new"}, {"path": "tedlium_27186.wav", "duration": 7.35, "text": "Some of the factors that could cause actual results to differ are discussed in the company's most recent Annual Report on Form 10-K"}, {"path": "tedlium_27187.wav", "duration": 7.35, "text": "in the vicinity or in the estate, if you will, of a public hospital by still"}, {"path": "tedlium_27188.wav", "duration": 7.35, "text": "These commercials, as well as ones for women's sandals and our sport division, supported our many key lifestyle initiatives."}, {"path": "tedlium_27189.wav", "duration": 7.35, "text": "but probably, they will take as long as they did last time, and that means that implementation needs to be done"}, {"path": "tedlium_27190.wav", "duration": 7.35, "text": "and some moderating of the other nonfuel categories as we lap higher growth from fourth quarter of last year."}, {"path": "tedlium_27191.wav", "duration": 7.35, "text": "and it's been necessary to conduct one of the largest and fastest restructures of a continuing operation in the group's history."}, {"path": "tedlium_27192.wav", "duration": 7.35, "text": "This has not been an easy period for them and I am proud of how they've fully embraced the new Endo culture and priorities."}, {"path": "tedlium_27193.wav", "duration": 7.35, "text": "As in previous years, the biggest contributor to this margin improvement continues to be category mix management,"}, {"path": "tedlium_27194.wav", "duration": 7.35, "text": "Our exposure to industry segments that have been a concern for many are comparatively low, and the asset quality is good."}, {"path": "tedlium_27195.wav", "duration": 7.35, "text": "as you -- as the market figures out how to get more OCC back from the homes,"}, {"path": "tedlium_27196.wav", "duration": 7.35, "text": "Looking beyond the immediate stimulative effects of the recovery process, the island's long-term prospects"}, {"path": "tedlium_27197.wav", "duration": 7.35, "text": "would be to really focus a lot of our hiring efforts in the metro markets that I mentioned earlier,"}, {"path": "tedlium_27198.wav", "duration": 7.35, "text": "One of my measures of a great partner is doing business with a person who does what they said they would do, and William has done exactly that."}, {"path": "tedlium_27199.wav", "duration": 7.35, "text": "Now there are a couple of certain items that I should mention, and then I'll give you some details on our full year outlook."}, {"path": "tedlium_27200.wav", "duration": 7.35, "text": "And then -- so we can make adjustments as we understand what the market value. So if they -- if the dividends are"}, {"path": "tedlium_27201.wav", "duration": 7.35, "text": "So I just wonder if you have seen that large driver demand will rebound in the first quarter next year"}, {"path": "tedlium_27202.wav", "duration": 7.35, "text": "We are already actively committing investment in making related masterplan aligned leasing decisions to that effect."}, {"path": "tedlium_27203.wav", "duration": 7.35, "text": "So when we looked at client satisfaction, when we looked at our channel checks, when we looked at how people were actually using the application,"}, {"path": "tedlium_27204.wav", "duration": 7.35, "text": "And how that fair value compares to your cost basis? Is that representative of what's left in the portfolio?"}, {"path": "tedlium_27205.wav", "duration": 7.35, "text": "We, therefore, continue to target an increase in full year operating income."}, {"path": "tedlium_27206.wav", "duration": 7.35, "text": "I'm pleased that we are able to complete these reactivations while maintaining or improving our high level of execution."}, {"path": "tedlium_27207.wav", "duration": 7.35, "text": "The way it goes is, once we hit stabilization,"}, {"path": "tedlium_27208.wav", "duration": 7.35, "text": "We're not immune to this. However, we do believe we see a much broader opportunity set than our competitors and as a result,"}, {"path": "tedlium_27209.wav", "duration": 7.35, "text": "supported by the fair value increase in our investment in Alcami, which was driven by the company's strong performance."}, {"path": "tedlium_27210.wav", "duration": 7.35, "text": "With respect to seasonality -- but let me put it -- back on the cash piece, let me remind you that"}, {"path": "tedlium_27211.wav", "duration": 7.35, "text": "If you take out freight and you look at the commodity side, we've reached sort of place where we feel like"}, {"path": "tedlium_27212.wav", "duration": 7.35, "text": "things that all of our research has shown people like that. And they have a high use of that and a high redemption rate."}, {"path": "tedlium_27213.wav", "duration": 7.35, "text": "comes to mind, but what about -- or can you talk about the availability of slots? Was that"}, {"path": "tedlium_27214.wav", "duration": 7.35, "text": "So we developed stopping rules for our Phase II trial and further, we find them in the first part of the trial."}, {"path": "tedlium_27215.wav", "duration": 7.35, "text": "And so we feel very good about that. And then just one other point I would put on China is the work that we're doing on digital"}, {"path": "tedlium_27216.wav", "duration": 7.35, "text": "But I think the most encouraging thing is we are literally at the table with all 10 of the major payers right now,"}, {"path": "tedlium_27217.wav", "duration": 7.35, "text": "We expect other channels to launch on this platform in 2019. In the coming quarters,"}, {"path": "tedlium_27218.wav", "duration": 7.35, "text": "and we're in key discussions. Rick has actually spent a lot of time in Europe and might be able to add a little more color on that."}, {"path": "tedlium_27219.wav", "duration": 7.35, "text": "However, given the continued change in the commercial real estate landscape as well as specific limitations on certain of our remaining properties,"}, {"path": "tedlium_27220.wav", "duration": 7.35, "text": "last year due to lower ZALVISO shipments to Grunenthal, as they continue to work down the inventories purchased"}, {"path": "tedlium_27221.wav", "duration": 7.35, "text": "I won't answer the question in the way you're asking it as in a specific breakout because that's a competitive issue."}, {"path": "tedlium_27222.wav", "duration": 7.35, "text": "It's been proven time and again that new models are highly sought after with very strong demand."}, {"path": "tedlium_27223.wav", "duration": 7.35, "text": "A full listing of these risks is posted on our website. As a result of these risks, actual results may differ materially."}, {"path": "tedlium_27224.wav", "duration": 7.35, "text": "It is a tough time to be in the power business, but our efforts have helped mitigate these downside risks"}, {"path": "tedlium_27225.wav", "duration": 7.35, "text": "probably a little bit too high because it was earning -- and I say Argentina, I should be saying Southern Cone because it's the group of countries there."}, {"path": "tedlium_27226.wav", "duration": 7.35, "text": "have our efforts really focused on the discovery phase and have our partners do development."}, {"path": "tedlium_27227.wav", "duration": 7.35, "text": "In addition, we were negatively impacted by outages at our site in Ohio, which negatively impacted the site for 7 days,"}, {"path": "tedlium_27228.wav", "duration": 7.35, "text": "and showing off what we can do and trying to secure additional clients."}, {"path": "tedlium_27229.wav", "duration": 7.35, "text": "These contracts are the tangible sign of our capability to successfully operate in the region."}, {"path": "tedlium_27230.wav", "duration": 7.35, "text": "Look, it's tough out there and there's definitely no easy path in these difficult markets to change things around easily."}, {"path": "tedlium_27231.wav", "duration": 7.35, "text": "We continue to be aware of the concerns around liquidity and cash flow as we fight through these down markets and we're very mindful"}, {"path": "tedlium_27232.wav", "duration": 7.35, "text": "with very strong margin expansion in our developed markets and more growth coming from our emerging markets."}, {"path": "tedlium_27233.wav", "duration": 7.35, "text": "you will find videos that compare the performance of our QRT ultra products to comparable TAD ultra products."}, {"path": "tedlium_27234.wav", "duration": 7.35, "text": "We are also currently evaluating several potential acquisitions that could be a good fit for our company."}, {"path": "tedlium_27235.wav", "duration": 7.35, "text": "into the first lien credit facility, thereby, meaningfully reducing our weighted average interest rate."}, {"path": "tedlium_27236.wav", "duration": 7.35, "text": "As we mentioned last quarter, we do expect our return on assets to moderate from the particularly strong levels currently,"}, {"path": "tedlium_27237.wav", "duration": 7.35, "text": "where you stand in that process, have those been moving forward? Are they kind of stuck in the slow testing and validation"}, {"path": "tedlium_27238.wav", "duration": 7.35, "text": "Now let me move to the progress we are making to further diversify and strengthen our offering of aesthetics solutions."}, {"path": "tedlium_27239.wav", "duration": 7.35, "text": "Our goal is to position STRATA as a business partner, one that can help practices and physicians be successful."}, {"path": "tedlium_27240.wav", "duration": 7.35, "text": "We're very excited to continue our steady progress towards this goal. With that, I'll turn the call over to Carolyn."}, {"path": "tedlium_27241.wav", "duration": 7.35, "text": "The offer from MTY represents an opportunity for shareholders to accelerate that growth."}, {"path": "tedlium_27242.wav", "duration": 7.35, "text": "and making sure we take the opportunity to maintain our margins because that's where the focus is and we think we have enough levers"}, {"path": "tedlium_27243.wav", "duration": 7.35, "text": "As you've seen, the ratios are basically flat in Central America, and in Colombia, we still did have a bit more deterioration"}, {"path": "tedlium_27244.wav", "duration": 7.35, "text": "if I'm buying out the phone versus taking an installment plan, is the revenue any different to you?"}, {"path": "tedlium_27245.wav", "duration": 7.35, "text": "But there will be data available and of course, we would like to be able to talk about it."}, {"path": "tedlium_27246.wav", "duration": 7.35, "text": "that explored a wide range of doses across different patient populations because dose response is not necessarily the same"}, {"path": "tedlium_27247.wav", "duration": 7.35, "text": "And we said we would be reviewing our footprint, and we also said that we would not wait for the strategic plan"}, {"path": "tedlium_27248.wav", "duration": 7.35, "text": "These filings identify important risk factors that could cause actual results to differ materially"}, {"path": "tedlium_27249.wav", "duration": 7.35, "text": "And we're going to be watching them like hawks to make sure that they stay on there. And our marketing teams, the other part of our marketing teams"}, {"path": "tedlium_27250.wav", "duration": 7.35, "text": "We have strengthened our partnership and processes with key vendors to provide consistent and reliable products"}, {"path": "tedlium_27251.wav", "duration": 7.35, "text": "All right. So you're saying that 50% of the rail rate increase you were able to cover with your own pricing initiatives."}, {"path": "tedlium_27252.wav", "duration": 7.35, "text": "potentially it's a more complicated business plan that it is, but when we took a look at this and the way we assessed it,"}, {"path": "tedlium_27253.wav", "duration": 7.35, "text": "overall, I think that the team is working pretty hard, and we have a few opportunities that"}, {"path": "tedlium_27254.wav", "duration": 7.35, "text": "reducing the time and cost for well completion and stimulation programs, owing to a lesser and lower stage count."}, {"path": "tedlium_27255.wav", "duration": 7.35, "text": "Moving on to our outlook for the remainder of the year, given our year-to-date performance and forecast expectations,"}, {"path": "tedlium_27256.wav", "duration": 7.35, "text": "For factors that could cause such differences, please refer to our regulatory filings with the Securities and Exchange Commission,"}, {"path": "tedlium_27257.wav", "duration": 7.35, "text": "and work very similarly. So all I can say is that we have a number of different series that we're working on."}, {"path": "tedlium_27258.wav", "duration": 7.35, "text": "We're going to meet or beat pro forma stabilization on that. So I think we've been well cadenced on how we've balanced"}, {"path": "tedlium_27259.wav", "duration": 7.35, "text": "our company will always be focused on improving the employee experience, which is a core part of how we drive our financial results."}, {"path": "tedlium_27260.wav", "duration": 7.35, "text": "We have successfully executed the restructuring actions that we outlined last quarter, and we will see the benefit in our fourth quarter."}, {"path": "tedlium_27261.wav", "duration": 7.35, "text": "The new law is very complex and as the details are further clarified, we may see additional adjustments in future quarters."}, {"path": "tedlium_27262.wav", "duration": 7.35, "text": "And for anybody who would like to ask questions about how I got these numbers or whatever, well, please feel free to"}, {"path": "tedlium_27263.wav", "duration": 7.35, "text": "it is sensible. It's not that easy to transport, and the unit value is"}, {"path": "tedlium_27264.wav", "duration": 7.35, "text": "The prior application proposed a transaction that would have involved the sale of the company's academic-related assets,"}, {"path": "tedlium_27265.wav", "duration": 7.35, "text": "but is expected to be comparable to other shared service arrangements currently in place in the higher education marketplace,"}, {"path": "tedlium_27266.wav", "duration": 7.35, "text": "Often those patients then are also discharged to home health. And let's just assume that at that point"}, {"path": "tedlium_27267.wav", "duration": 7.35, "text": "So it's about making sure that we're comfortable that we're going to continue to generate,"}, {"path": "tedlium_27268.wav", "duration": 7.35, "text": "depending on what we see as -- on how we want to manage our cash, and we'll obviously do that as we go forward."}, {"path": "tedlium_27269.wav", "duration": 7.35, "text": "This is primarily a result of additional anticipated pharmacy sales for our PBM and Part D products."}, {"path": "tedlium_27270.wav", "duration": 7.35, "text": "But we believe there are also great organic growth opportunities to create value, which we will pursue with vigor."}, {"path": "tedlium_27271.wav", "duration": 7.35, "text": "These financial results directly contributed to further strengthening of an already strong balance sheet."}, {"path": "tedlium_27272.wav", "duration": 7.35, "text": "but to get on with demonstrating to investors that we're able to sustainably grow profits into the future."}, {"path": "tedlium_27273.wav", "duration": 7.35, "text": "These cash inflows were used to fund ongoing investments across all of our verticals and reduce our debt."}, {"path": "tedlium_27274.wav", "duration": 7.35, "text": "continues to be challenging, and it's mixed but we believe manageable from an economic standpoint."}, {"path": "tedlium_27275.wav", "duration": 7.35, "text": "it's more difficult to roll it out in smaller companies because it requires"}, {"path": "tedlium_27276.wav", "duration": 7.35, "text": "depend on our sub-acquiring business more than anything else. Therefore, we are very optimistic."}, {"path": "tedlium_27277.wav", "duration": 7.35, "text": "a period that has allowed for the growth and development of the team and the positioning of the business."}, {"path": "tedlium_27278.wav", "duration": 7.35, "text": "Real happy with the performance of Travel Network in the first and second quarter to date. On the Solutions side, again,"}, {"path": "tedlium_27279.wav", "duration": 7.35, "text": "Please be advised that actual results could differ materially from those stated or implied by our forward-looking statements"}, {"path": "tedlium_27280.wav", "duration": 7.35, "text": "As we've previously mentioned, although we do not plan on growing our consolidated truck count above the 2015 fourth quarter levels,"}, {"path": "tedlium_27281.wav", "duration": 7.35, "text": "How much margin expansion is contemplated at Intermodal? What are the biggest risks to expanding margins?"}, {"path": "tedlium_27282.wav", "duration": 7.35, "text": "Turning to Slide 15. Even though we don't believe this market will be a reality, we are acting as if it will."}, {"path": "tedlium_27283.wav", "duration": 7.35, "text": "So to summarize. We ended the third quarter with a solid core performance. We have strong momentum heading towards the end of the year."}, {"path": "tedlium_27284.wav", "duration": 7.35, "text": "and Adam Logal, Chief Financial Officer, will provide an overview of the company's financial performance during the quarter."}, {"path": "tedlium_27285.wav", "duration": 7.35, "text": "solve themselves for us. So other than that, we really didn't see a lot of impact in any other piece of the business."}, {"path": "tedlium_27286.wav", "duration": 7.35, "text": "I'd like to focus the balance of my remarks on our outlook for 2017 and capital deployment priorities."}, {"path": "tedlium_27287.wav", "duration": 7.35, "text": "when I look at the impact it can have on your returns, your ROEs, it can make a big difference. So just your thoughts there."}, {"path": "tedlium_27288.wav", "duration": 7.35, "text": "actively pursuing at the level we are now. But we think it's a huge opportunity for the company. And"}, {"path": "tedlium_27289.wav", "duration": 7.35, "text": "here with Orenitram, which is the third reason we believe that there will be many thousands of additional treprostinil patients."}, {"path": "tedlium_27290.wav", "duration": 7.35, "text": "As regards to the third brand, we continuously look at the market as well as opportunities"}, {"path": "tedlium_27291.wav", "duration": 7.35, "text": "This year, we are focused on the integration of MPI and the continued execution of our strategy."}, {"path": "tedlium_27292.wav", "duration": 7.35, "text": "And we will increase the development focus on extending the technology differentiation for private networks,"}, {"path": "tedlium_27293.wav", "duration": 7.35, "text": "and finally provide further support to several marketing initiatives for our Butler assets, including enhanced credit support."}, {"path": "tedlium_27294.wav", "duration": 7.35, "text": "We made substantial progress on our cost-saving activities during the quarter as we completed the consolidation of 41 banking centers"}, {"path": "tedlium_27295.wav", "duration": 7.35, "text": "And they're -- and we've driven more than 1 million miles on these on the road. So we know that they're safer."}, {"path": "tedlium_27296.wav", "duration": 7.35, "text": "Volume growth, lower dray costs and improved mix and lane balance partially offset the decline."}, {"path": "tedlium_27297.wav", "duration": 7.35, "text": "or advancing new products and services through our integrated plan and care delivery operations in Brazil."}, {"path": "tedlium_27298.wav", "duration": 7.35, "text": "a timing thing, probably a little bit. And then also this what we have been now discussing for a couple of months."}, {"path": "tedlium_27299.wav", "duration": 7.35, "text": "On the global client franchise, we've, over the last few years, invested in increased client proximity."}, {"path": "tedlium_27300.wav", "duration": 7.35, "text": "Before I get into more detail, I will review revenue performance by product group."}, {"path": "tedlium_27301.wav", "duration": 7.35, "text": "The answer is obviously, we'll look at all of those. But as I said earlier in my comments, as we continue to the delever, I think it opens up"}, {"path": "tedlium_27302.wav", "duration": 7.35, "text": "It continued to be a positive contributor right up the end of the Iron Hill deposit mine life,"}, {"path": "tedlium_27303.wav", "duration": 7.35, "text": "are intuitive, easy to use and that we build in solutions, so that people don't have to seek out"}, {"path": "tedlium_27304.wav", "duration": 7.35, "text": "Therefore, it's critical as we move forward that we continue to be true to The Tile Shop way of doing business."}, {"path": "tedlium_27305.wav", "duration": 7.35, "text": "But more -- I think more importantly, as the volumes through Singapore increase, which we expect them to,"}, {"path": "tedlium_27306.wav", "duration": 7.35, "text": "And we also will continue to renew the existing contracts and strengthen the relationship with our retailers."}, {"path": "tedlium_27307.wav", "duration": 7.35, "text": "and restructuring and spin expenses and charges related to the devaluation of our previously held Venezuela business from the prior year results."}, {"path": "tedlium_27308.wav", "duration": 7.3499375, "text": "of what you think the business climate might be in the next 4 years and if you think it'd be helpful for ECIG. On"}, {"path": "tedlium_27309.wav", "duration": 7.3499375, "text": "versus kind of some of the other options are really off-target effects of different drugs. This is a very"}, {"path": "tedlium_27310.wav", "duration": 7.3499375, "text": "While overall market volumes are soft, there are plenty of opportunities for new sources of growth."}, {"path": "tedlium_27311.wav", "duration": 7.3499375, "text": "We expect the acquisition of Orlaco to drive additional opportunities and growth for our Electronics segment."}, {"path": "tedlium_27312.wav", "duration": 7.3200625, "text": "You should expect us to be focused on assets consistent with our strategic goals of balance sheet strength, improving operations"}, {"path": "tedlium_27313.wav", "duration": 7.32, "text": "Then, on top of this, in order to reach our guided range, you have to produce a certain number in cash flow."}, {"path": "tedlium_27314.wav", "duration": 7.32, "text": "we just really want to try to demonstrate what piece of our business is lending versus business services. So"}, {"path": "tedlium_27315.wav", "duration": 7.32, "text": "our earnings would improve, our leverage would trend back toward our more historical range and our coverage would improve."}, {"path": "tedlium_27316.wav", "duration": 7.32, "text": "These covenants are tested at the travel level first and then at group, only if they have reached at the travel level."}, {"path": "tedlium_27317.wav", "duration": 7.32, "text": "Growth in the Middle East continues to be a key focus, as we seek to expand our presence in the region."}, {"path": "tedlium_27318.wav", "duration": 7.32, "text": "our newly opened Mexico city office and Mexican trading entities."}, {"path": "tedlium_27319.wav", "duration": 7.32, "text": "from their data centers to their subscribers across the entire access infrastructure."}, {"path": "tedlium_27320.wav", "duration": 7.32, "text": "And I'm wondering what does this mean as we go forward. Is this, the Q4, kind of the right mix to think"}, {"path": "tedlium_27321.wav", "duration": 7.32, "text": "pursue growth. So in earnest in fiscal 2019, the future vision of Yahoo is something we would like to achieve and realized."}, {"path": "tedlium_27322.wav", "duration": 7.32, "text": "it's cyclical during the month. And so to the extent that the funds come in, it reduces our need"}, {"path": "tedlium_27323.wav", "duration": 7.32, "text": "I know there's also a supply side issue as well, but I just wonder if you could talk more about the demand side because"}, {"path": "tedlium_27324.wav", "duration": 7.32, "text": "give us confidence that a selected look at pricing can be successful is one,"}, {"path": "tedlium_27325.wav", "duration": 7.32, "text": "and the ambition of what the contribution of innovation is going to be is a key element."}, {"path": "tedlium_27326.wav", "duration": 7.32, "text": "I'm still a little unclear on what the newly approved projects are. So can you give a little more detail on what that"}, {"path": "tedlium_27327.wav", "duration": 7.32, "text": "picture question on the margin contraction that we've seen this year. It seems that seeing the branded business that you have,"}, {"path": "tedlium_27328.wav", "duration": 7.32, "text": "the landing on a particular day and the day of the week and the timing around Christmas does"}, {"path": "tedlium_27329.wav", "duration": 7.32, "text": "is the right thing to do in the midterm as well as the fastest way to gain scale and to become profitable."}, {"path": "tedlium_27330.wav", "duration": 7.32, "text": "significant plans that are embedded in that expense guidance we've already given, and I don't think that"}, {"path": "tedlium_27331.wav", "duration": 7.32, "text": "We've assigned additional personnel to assist our customers in this process and expect to work through the backlog over the balance of the year."}, {"path": "tedlium_27332.wav", "duration": 7.32, "text": "And of course, this is then impacting us that we have an under-absorption. And on top of that, we also have some"}, {"path": "tedlium_27333.wav", "duration": 7.32, "text": "playing its role. And when that happens you begin to see the pressure on margins actually"}, {"path": "tedlium_27334.wav", "duration": 7.32, "text": "and our experienced management team is well qualified to manage our businesses effectively."}, {"path": "tedlium_27335.wav", "duration": 7.32, "text": "They've been forcing people to come to the hospital or the clinic to get the experimental medicine. So I think it'll be a very interesting study,"}, {"path": "tedlium_27336.wav", "duration": 7.32, "text": "research centers and others. So that's one thing. The second thing is that we are highly focused on service."}, {"path": "tedlium_27337.wav", "duration": 7.32, "text": "laboratory information systems and the consolidation of our 2 Southern California facilities."}, {"path": "tedlium_27338.wav", "duration": 7.32, "text": "Before we get into those details, I want to give you a quick update on a few items that have transpired over the last month."}, {"path": "tedlium_27339.wav", "duration": 7.32, "text": "This also explains why, whenever we stood back and really looked critically at our otherwise very long life portfolio"}, {"path": "tedlium_27340.wav", "duration": 7.32, "text": "if we have an open slot in Baudette, this gives us the opportunity to advance several at one time"}, {"path": "tedlium_27341.wav", "duration": 7.32, "text": "regarding the assistance to caregivers, for instance, short stays to"}, {"path": "tedlium_27342.wav", "duration": 7.32, "text": "These very strong results are driven by a number of factors, including, one, our success in attracting new customers,"}, {"path": "tedlium_27343.wav", "duration": 7.32, "text": "is not permitted without written authorization from the company. As a reminder, today's call is being recorded."}, {"path": "tedlium_27344.wav", "duration": 7.32, "text": "a little bit of reduction on revenue, at least in the second half of the year."}, {"path": "tedlium_27345.wav", "duration": 7.32, "text": "to sit down and discuss what are the other options, because a lot of the capital that was going to come in was going to be for us to"}, {"path": "tedlium_27346.wav", "duration": 7.32, "text": "We also continued to return capital to shareholders, buying back approximately 2 million shares in the third quarter."}, {"path": "tedlium_27347.wav", "duration": 7.32, "text": "to the best of our knowledge, we believe at this point in time that we have not been noticed from any Paragraph IV filers, so it think it's probably maybe the best way to"}, {"path": "tedlium_27348.wav", "duration": 7.32, "text": "The revised plan reflects a lower estimated fair value for certain reporting units and intangible assets."}, {"path": "tedlium_27349.wav", "duration": 7.32, "text": "We'll focus our efforts and resources behind XIAFLEX and its approved indications and in pursuing an indication"}, {"path": "tedlium_27350.wav", "duration": 7.32, "text": "We had also positive performances in ICT revenues and particularly in wholesale this quarter."}, {"path": "tedlium_27351.wav", "duration": 7.32, "text": "This quarter, we saw robust instrument placements around the world with exceptional strength in our Hyperion Imaging System."}, {"path": "tedlium_27352.wav", "duration": 7.32, "text": "Revenues held up reasonably well against the backdrop of negative interest rates, although results did benefit from some one-offs."}, {"path": "tedlium_27353.wav", "duration": 7.32, "text": "In NCOU, we continue to liquidate positions even though the environment was not always conducive to doing so."}, {"path": "tedlium_27354.wav", "duration": 7.32, "text": "we understand the unique training needs of different segments and intend to curate specific content offerings"}, {"path": "tedlium_27355.wav", "duration": 7.32, "text": "And with the current rates that will flip in the second half to approximately the same magnitude,"}, {"path": "tedlium_27356.wav", "duration": 7.32, "text": "what sort of offering from companies would I get at the moment? Because it seems that most listed players are pulling back, given the"}, {"path": "tedlium_27357.wav", "duration": 7.32, "text": "With the success of Summer Jam in New York last month, are there any plans to expand it to a series of concerts?"}, {"path": "tedlium_27358.wav", "duration": 7.32, "text": "Our strategies require investment of capital and personnel development, which is why we have been focused on our cash management."}, {"path": "tedlium_27359.wav", "duration": 7.32, "text": "lower transactional volume in the International segment and lower compliance volume in U.S. Capital Markets."}, {"path": "tedlium_27360.wav", "duration": 7.32, "text": "as well as cost reduction initiatives, partially offset by increased investments in our technology function."}, {"path": "tedlium_27361.wav", "duration": 7.32, "text": "So we continue to see strong demand for existing and expansion capacity on our gas assets, and we believe we're well positioned"}, {"path": "tedlium_27362.wav", "duration": 7.32, "text": "We delivered excellent fourth quarter results highlighted by strong operating margins across all segments,"}, {"path": "tedlium_27363.wav", "duration": 7.32, "text": "stepped out of the business. One of them, Winset, and immediately we saw an increase in broker activity."}, {"path": "tedlium_27364.wav", "duration": 7.32, "text": "We continue to analyze on a constant basis what's going to happen with prices"}, {"path": "tedlium_27365.wav", "duration": 7.32, "text": "the most recent wave of claims pertain to deaths"}, {"path": "tedlium_27366.wav", "duration": 7.32, "text": "We continue to see a tremendous amount of opportunity for our technology and are pursuing all avenues of growth."}, {"path": "tedlium_27367.wav", "duration": 7.32, "text": "The number of certified CyberArk engineers is also growing and already helping with implementations and ongoing service delivery."}, {"path": "tedlium_27368.wav", "duration": 7.32, "text": "contractors or owners or developers may or may not have started and met the safe harbor under the tax rules."}, {"path": "tedlium_27369.wav", "duration": 7.32, "text": "The gas utility subsector within midstream is a customer group that has recognized the benefits of integrated supply."}, {"path": "tedlium_27370.wav", "duration": 7.32, "text": "With that, I'll turn it over to Richard. Thank you, Paul. Based upon the progress and momentum of our strategic initiatives"}, {"path": "tedlium_27371.wav", "duration": 7.32, "text": "this entire period and I would say for many, many years, as you know, we have been and continue to be very strong in Canada."}, {"path": "tedlium_27372.wav", "duration": 7.32, "text": "Previously, these banners were a small part of a large company, which was focused on a completely different sector retail."}, {"path": "tedlium_27373.wav", "duration": 7.32, "text": "we don't think it would be a problem to finance that or bring partners in to do a large acquisition."}, {"path": "tedlium_27374.wav", "duration": 7.32, "text": "Our plan kicked off in January but, it took months to get the right agents in place to ensure solid coverage in each region."}, {"path": "tedlium_27375.wav", "duration": 7.32, "text": "wanting to return. The only thing preventing them from doing so is that rule. So I think it's quite interesting that it's actually"}, {"path": "tedlium_27376.wav", "duration": 7.32, "text": "that said, I don't think there's anything else within the software space that we would want to or be likely to do."}, {"path": "tedlium_27377.wav", "duration": 7.32, "text": "We -- where we have good performance, track records and can deliver investment innovation to meet those demands,"}, {"path": "tedlium_27378.wav", "duration": 7.32, "text": "coupled with great targets and then the talents to run those businesses. And then I'll drop down to the last bullet point where I talk about"}, {"path": "tedlium_27379.wav", "duration": 7.32, "text": "a kind of a slow ramp up to that 1,500 tonnes a day as we get into those stopes. We kind of want to open up"}, {"path": "tedlium_27380.wav", "duration": 7.32, "text": "so we have to launch those brands, too. So we are just making sure that any guidance we provide to you"}, {"path": "tedlium_27381.wav", "duration": 7.32, "text": "that occurred in the quarter given the strong earnings performance that we're showing thus far in the year."}, {"path": "tedlium_27382.wav", "duration": 7.32, "text": "We enter 2018 from a position of strength, with the opportunity to drive sustainable growth and value to our shareholders."}, {"path": "tedlium_27383.wav", "duration": 7.32, "text": "investment activity in our business, visibility into our business model and results, the reduction of"}, {"path": "tedlium_27384.wav", "duration": 7.32, "text": "and cash included in the entities sold. We also had a reduction in cash required for settlement activities and clearing deposits."}, {"path": "tedlium_27385.wav", "duration": 7.32, "text": "to do some of that activity in other segments? Yes, Jim, so the bulk of it -- the bulk of it is from the acquisitions, but there are a few other areas"}, {"path": "tedlium_27386.wav", "duration": 7.32, "text": "but B2B commerce as well. And I don't think anybody can really touch the tremendous success we've had since"}, {"path": "tedlium_27387.wav", "duration": 7.32, "text": "of what's the physical amount of oil in the ground. And we expect them to continue to"}, {"path": "tedlium_27388.wav", "duration": 7.32, "text": "In parallel, we're growing and choosing what proteins to target, in what applications and markets,"}, {"path": "tedlium_27389.wav", "duration": 7.32, "text": "But with the second half moving in, the application product sales are getting back."}, {"path": "tedlium_27390.wav", "duration": 7.32, "text": "Step one was the development of a company-wide emphasis on streamlining our business and organization."}, {"path": "tedlium_27391.wav", "duration": 7.32, "text": "Back in 2015, we indicated that we were going to be targeting much more substantial returns on capital that could"}, {"path": "tedlium_27392.wav", "duration": 7.32, "text": "on Slide 15. Our Pennsylvania Regulated segment earnings for the third quarter were flat compared with a year ago."}, {"path": "tedlium_27393.wav", "duration": 7.32, "text": "We're not prepared to talk about what the commercialization organization is going to look like and the timing of the build."}, {"path": "tedlium_27394.wav", "duration": 7.32, "text": "So it means that it is my intention to move ahead with the real estate master plans of Madrid and Barcelona for many reasons."}, {"path": "tedlium_27395.wav", "duration": 7.32, "text": "any sizable amount of that revenue recognized in the fourth quarter?"}, {"path": "tedlium_27396.wav", "duration": 7.32, "text": "These increased discounts were partially offset by continued progress on our sourcing initiatives, which drove down product cost."}, {"path": "tedlium_27397.wav", "duration": 7.32, "text": "but even more so for Vonage because our solutions are built from a common One Vonage platform,"}, {"path": "tedlium_27398.wav", "duration": 7.32, "text": "during the fourth quarter, which positions us so that we'll not need to access the equity markets until well"}, {"path": "tedlium_27399.wav", "duration": 7.32, "text": "Suite product, a refreshed casino and new dining and entertainment options are especially important to give these guests more opportunities"}, {"path": "tedlium_27400.wav", "duration": 7.32, "text": "and provides additional time and flexibility to continue exploring and executing our strategic alternative process."}, {"path": "tedlium_27401.wav", "duration": 7.32, "text": "The calculation of this tax is quite complex and the measurement dates and requirements subject to further IRS guidance."}, {"path": "tedlium_27402.wav", "duration": 7.32, "text": "what's the right strategic direction for the group to create value, but it's not"}, {"path": "tedlium_27403.wav", "duration": 7.32, "text": "but also some higher demand from our customers and, of course, integrating Bournemouth Water into it. So revenues have grown strongly."}, {"path": "tedlium_27404.wav", "duration": 7.32, "text": "From a strategic standpoint, we did note the preference to build liquidity during Q1 given the uncertainty around the ultimate"}, {"path": "tedlium_27405.wav", "duration": 7.32, "text": "Based on our analysis of our sales funnel activity and the number of institutions that are in the later stages of the sales cycle,"}, {"path": "tedlium_27406.wav", "duration": 7.32, "text": "And finally, our financial leverage and total leverage ratios were within our targets as of the end of the third quarter."}, {"path": "tedlium_27407.wav", "duration": 7.32, "text": "We mentioned that we were a little late responding with rate, and that it would take a few quarters before rate actions would impact results."}, {"path": "tedlium_27408.wav", "duration": 7.32, "text": "for the seller, because it is technical assets and resources that our customers can use,"}, {"path": "tedlium_27409.wav", "duration": 7.32, "text": "and may ultimately drive increased demand for new equipment, as stronger carriers attempt to recover lost productivity."}, {"path": "tedlium_27410.wav", "duration": 7.32, "text": "The primary drivers of the increase of the full year impact of the 25 basis point spread increase with our term loan credit facility,"}, {"path": "tedlium_27411.wav", "duration": 7.32, "text": "This record level of free cash flow was a direct result of our efforts to bring working capital levels down in line with demand."}, {"path": "tedlium_27412.wav", "duration": 7.32, "text": "it's interesting because we get a pretty good look at the book of business that is our national accounts. And"}, {"path": "tedlium_27413.wav", "duration": 7.32, "text": "and we do see a little bit of increase in technology. We are moving things into the cloud, which we can no longer"}, {"path": "tedlium_27414.wav", "duration": 7.32, "text": "rapid growth marketplaces, we tend to be a preferred provider to connect those small businesses to those platforms."}, {"path": "tedlium_27415.wav", "duration": 7.32, "text": "is there anything you can say about the profitability of the business of the segment here? Is that in the black right now with this run rate?"}, {"path": "tedlium_27416.wav", "duration": 7.32, "text": "With respect to our guidance for fiscal '16, we -- and assuming the economy continues to hold,"}, {"path": "tedlium_27417.wav", "duration": 7.32, "text": "and we promised that we would increase our focus on the business in order to deliver consistent quarterly results."}, {"path": "tedlium_27418.wav", "duration": 7.32, "text": "We have a few communities now that we have one car garages available that keep the price point affordable."}, {"path": "tedlium_27419.wav", "duration": 7.32, "text": "preliminary evidence also suggested a correlation between biomarker data and stable disease or better in 7 of these patients,"}, {"path": "tedlium_27420.wav", "duration": 7.32, "text": "But there were probably a few that didn't have anything significant before, but most of them are either converting off of somebody else's"}, {"path": "tedlium_27421.wav", "duration": 7.32, "text": "There are currently limited treatment options for this disease, and if approved, IMBRUVICA would be the first and the only therapy"}, {"path": "tedlium_27422.wav", "duration": 7.32, "text": "forum. But I do think holding control of that study and sponsorship of the study should put us in a position to be"}, {"path": "tedlium_27423.wav", "duration": 7.32, "text": "and I think we spent a great part of this year building that compliance team and those capabilities."}, {"path": "tedlium_27424.wav", "duration": 7.32, "text": "and with aiming to become a company that develops personnel with the highest level of management expertise."}, {"path": "tedlium_27425.wav", "duration": 7.32, "text": "increasing power generation demand and the expansion of the gas-driven industrial complex."}, {"path": "tedlium_27426.wav", "duration": 7.32, "text": "And many of the ones that choose not to renew with us decide to consolidate their spending with others who are broader."}, {"path": "tedlium_27427.wav", "duration": 7.32, "text": "that we have the team in place. And I think given the performance of the business at the end of last year, we're having a senior team in place"}, {"path": "tedlium_27428.wav", "duration": 7.32, "text": "in relation to international enterprises. Now we know a lot more."}, {"path": "tedlium_27429.wav", "duration": 7.32, "text": "more than we should. I mean, so it's a lot of moving parts in there, Tim. I don't want to get too specific for you. But I'll just simply say that you should expect that we"}, {"path": "tedlium_27430.wav", "duration": 7.32, "text": "get the appropriate return we felt because there're a lot of established players in those areas, as everybody knows."}, {"path": "tedlium_27431.wav", "duration": 7.32, "text": "Having said that, we covered it by giving as much clarity as we could"}, {"path": "tedlium_27432.wav", "duration": 7.32, "text": "and of course, all of our sales presentations emphasize that. And it seems that customers increasingly realize that,"}, {"path": "tedlium_27433.wav", "duration": 7.32, "text": "simplification of the tax reporting process for our investors and we believe a significant expansion of our investor base."}, {"path": "tedlium_27434.wav", "duration": 7.32, "text": "Well first of all, we have units that we haven't been able to"}, {"path": "tedlium_27435.wav", "duration": 7.32, "text": "the stage 3 pressure is going to diminish over the course of the next few quarters. And depending on asset growth,"}, {"path": "tedlium_27436.wav", "duration": 7.32, "text": "And so we focused on grinding through the lengthy and protracted restructuring process of the existing problem exposures in large companies,"}, {"path": "tedlium_27437.wav", "duration": 7.32, "text": "The midpoint of this range implies an organic revenue increase of 7% compared to the same quarter last fiscal year."}, {"path": "tedlium_27438.wav", "duration": 7.32, "text": "As a reminder, our quarterly volumes always have some level of uncertainty, given the size of our shipments and our delivery schedule."}, {"path": "tedlium_27439.wav", "duration": 7.32, "text": "In spite of the headwinds on volume, we carefully managed our costs and minimized the use of cash for operations in the quarter."}, {"path": "tedlium_27440.wav", "duration": 7.32, "text": "The significantly low cost of ownership and ability to handle wide variations of materials"}, {"path": "tedlium_27441.wav", "duration": 7.32, "text": "We're also pleased to report the integration of our recent acquisitions continued essentially on track in the quarter."}, {"path": "tedlium_27442.wav", "duration": 7.32, "text": "as decorative and electronic content continue to grow and we continue to penetrate the Eastern European market."}, {"path": "tedlium_27443.wav", "duration": 7.32, "text": "The year before was a very difficult period. So the factors pushing down"}, {"path": "tedlium_27444.wav", "duration": 7.32, "text": "However, before everyone throws in the towel, we firmly believe that our previously discussed growth initiatives,"}, {"path": "tedlium_27445.wav", "duration": 7.32, "text": "Okay. The other part of your release that caught my attention is the decline in working capital needs and the"}, {"path": "tedlium_27446.wav", "duration": 7.32, "text": "We do see continued good growth rates in medical and from an inorganic perspective we'd like to see that"}, {"path": "tedlium_27447.wav", "duration": 7.32, "text": "So with all the reforms and meetings and whatever have you"}, {"path": "tedlium_27448.wav", "duration": 7.32, "text": "Yes. This is yet to be determined, and it will depend on a variety of different factors. But based on the current trends, we think it builds"}, {"path": "tedlium_27449.wav", "duration": 7.32, "text": "We have some good wins in the quarter in the digital space. You can find all of those details in the press release."}, {"path": "tedlium_27450.wav", "duration": 7.32, "text": "So let's get right to the key points. In spite of aggregates shipments in the quarter being hit hard by rough weather"}, {"path": "tedlium_27451.wav", "duration": 7.32, "text": "Now I'll close with a few comments regarding our recent financing activity and our current financial position."}, {"path": "tedlium_27452.wav", "duration": 7.32, "text": "and we consistently recover these diamonds and they are often of high value and high quality."}, {"path": "tedlium_27453.wav", "duration": 7.32, "text": "yes, plus also the remainder of the roaming effects that we see from our customers being abroad."}, {"path": "tedlium_27454.wav", "duration": 7.32, "text": "since our last increase in January is more limited than the inflationary pressures might suggest."}, {"path": "tedlium_27455.wav", "duration": 7.32, "text": "which is both our direct foreign exchange trading"}, {"path": "tedlium_27456.wav", "duration": 7.32, "text": "understand what market levels you're kind of assuming? I see that in the footnote, you talked about 5% growth from December levels."}, {"path": "tedlium_27457.wav", "duration": 7.32, "text": "These and other forward-looking statements involve assumptions, risks and uncertainties that could cause actual results to differ materially from those statements."}, {"path": "tedlium_27458.wav", "duration": 7.32, "text": "new Menasha acquisition kind of up and running. I think that you shouldn't expect that same lift"}, {"path": "tedlium_27459.wav", "duration": 7.32, "text": "And I would say that's indicative of people willing to make that investment. I haven't seen a lot of what I would call"}, {"path": "tedlium_27460.wav", "duration": 7.32, "text": "Within Safety-Kleen, we remain optimistic about our ability to continue to effectively manage the spread"}, {"path": "tedlium_27461.wav", "duration": 7.32, "text": "and in the appendix of today's presentation. And now I'd like to turn the call over to our CEO, Alan McKim. Alan? Thanks, Michael."}, {"path": "tedlium_27462.wav", "duration": 7.32, "text": "as to what might happen in the future. Statements that are forward-looking can be identified by the use of the words such as believe,"}, {"path": "tedlium_27463.wav", "duration": 7.32, "text": "for the first half of the year and same as for the consolidated guidance, the full year -- the"}, {"path": "tedlium_27464.wav", "duration": 7.32, "text": "all of that's part of our efforts that we've been undertaking for several years to drive towards a value-based health care system."}, {"path": "tedlium_27465.wav", "duration": 7.32, "text": "drive that down as a percentage of total spend over the last several years, so making nice progress there. And the reality is"}, {"path": "tedlium_27466.wav", "duration": 7.32, "text": "I mean, in our conversations with the folks at YouTube, they could not be more clear that they want the affiliates."}, {"path": "tedlium_27467.wav", "duration": 7.32, "text": "So turning to our financial highlights for last year. I'm pleased to report strong performance."}, {"path": "tedlium_27468.wav", "duration": 7.32, "text": "right on the center of the target in terms of great functionality in that product as we've discussed on other calls earlier in the year."}, {"path": "tedlium_27469.wav", "duration": 7.32, "text": "a lot of attention from the user community. And there is less and less player in town"}, {"path": "tedlium_27470.wav", "duration": 7.32, "text": "This partnership is unprecedented in scope and scale for First Nations, Suncor and the industry."}, {"path": "tedlium_27471.wav", "duration": 7.32, "text": "So how many people are -- have a business development role for this initiative?"}, {"path": "tedlium_27472.wav", "duration": 7.32, "text": "And we have a track record of innovation from this technology platform that is well established for -- over decades."}, {"path": "tedlium_27473.wav", "duration": 7.32, "text": "With respect to operating expenses, we are planning for continued gains in team productivity and modest hiring."}, {"path": "tedlium_27474.wav", "duration": 7.32, "text": "You will find an explanation of the changes in the Financial Outlook and Additional Material sections of our Investor Day presentation."}, {"path": "tedlium_27475.wav", "duration": 7.32, "text": "We can develop and begin preselling new products in a matter of hours and can ship from our factories in as little as 70 days."}, {"path": "tedlium_27476.wav", "duration": 7.32, "text": "Actual results may differ materially from those indicated by these forward-looking statements as a result of various important factors,"}, {"path": "tedlium_27477.wav", "duration": 7.32, "text": "The building new is fine, the demolition is fine, but refurbishment, you know what that's like, it's like peeling an onion or renovating a house."}, {"path": "tedlium_27478.wav", "duration": 7.32, "text": "The project capital extends over a 6-year period. This is intentional to optimize the cash flow."}, {"path": "tedlium_27479.wav", "duration": 7.32, "text": "We are laser-focused on driving growth as our top priority and are improving our execution to do so."}, {"path": "tedlium_27480.wav", "duration": 7.32, "text": "In addition, services revenue decreased due to the completion of a project with one of our largest customers."}, {"path": "tedlium_27481.wav", "duration": 7.32, "text": "We would get a shot of sales cycle. So that's a goal we certainly have, but we haven't seen evidence of that yet, but"}, {"path": "tedlium_27482.wav", "duration": 7.32, "text": "what I think we can say is that with the demand levels that exist, which we still think are generally healthy,"}, {"path": "tedlium_27483.wav", "duration": 7.32, "text": "And so that's pushed out anticipated revenues from the first half of the year to the second half"}, {"path": "tedlium_27484.wav", "duration": 7.32, "text": "I would like to remind everyone that forward-looking statements for the respected company's business, financial condition and results of its operations"}, {"path": "tedlium_27485.wav", "duration": 7.32, "text": "And when you consider the regulatory strategy, is that -- is"}, {"path": "tedlium_27486.wav", "duration": 7.32, "text": "It feels like at some point on the gross yield side, it's going higher, but the rebate side is keeping up pace. To some extent"}, {"path": "tedlium_27487.wav", "duration": 7.3199375, "text": "is that nobody expected the Chinese government to come out and say that Chinese ladies could now have 2 babies."}, {"path": "tedlium_27488.wav", "duration": 7.3199375, "text": "Now I'll turn the call over to Dave Russo to review our results, and then I'll provide some additional thoughts and concluding remarks."}, {"path": "tedlium_27489.wav", "duration": 7.3199375, "text": "Unlike last year, we did not limit shipment to Trinidad to any great degree and had good sales results in December."}, {"path": "tedlium_27490.wav", "duration": 7.3199375, "text": "We remain confident that we can soon demonstrate the value and therapeutic potential of our platform technologies for the years to come."}, {"path": "tedlium_27491.wav", "duration": 7.2900625, "text": "We see opportunities for oxygen and hydrogen plants around the world in this category."}, {"path": "tedlium_27492.wav", "duration": 7.29, "text": "I think we'll continue to see some of that as we go -- as Robert mentioned in his comments, as we go into second quarter. And so some of that is"}, {"path": "tedlium_27493.wav", "duration": 7.29, "text": "with a strong experienced and effective sales team, a robust and unique product portfolio and product pipeline."}, {"path": "tedlium_27494.wav", "duration": 7.29, "text": "so we have to see what they think and whether they might engage into broader consultation on this matter. So"}, {"path": "tedlium_27495.wav", "duration": 7.29, "text": "which positions us to maintain this long-term relationship through a resolution with mutually beneficial results."}, {"path": "tedlium_27496.wav", "duration": 7.29, "text": "These improvements reflect the power of our technology investment in the platform as well as the impact of our strategic marketing partnership."}, {"path": "tedlium_27497.wav", "duration": 7.29, "text": "In other words, we will continue to export at a great price with Roche in the meanwhile."}, {"path": "tedlium_27498.wav", "duration": 7.29, "text": "And in the Gulf Coast, earnings were slightly lower than the second quarter due to increased costs related to planned maintenance activity."}, {"path": "tedlium_27499.wav", "duration": 7.29, "text": "those have been consistently kind of going down over the past several years. So that business always fights erosion domestically,"}, {"path": "tedlium_27500.wav", "duration": 7.29, "text": "And that's really what I was referencing is that inside the packaging industry there's a lot of change going on from consolidation,"}, {"path": "tedlium_27501.wav", "duration": 7.29, "text": "Once completed, this allows us to serve our customers in a more efficient and faster way."}, {"path": "tedlium_27502.wav", "duration": 7.29, "text": "I've said repeatedly that I expect that KEYTRUDA, by virtue of the spectrum of its activity, will prove to be foundational in future cancer care."}, {"path": "tedlium_27503.wav", "duration": 7.29, "text": "For a more complete discussion of the certain risks and uncertainties affecting Investors Bancorp, please see the sections entitled"}, {"path": "tedlium_27504.wav", "duration": 7.29, "text": "for their claims. So that was the genesis behind the original claims amount per case."}, {"path": "tedlium_27505.wav", "duration": 7.29, "text": "This was primarily due to increased volumes in the Permian from the ramp-ups of the Orla and Panther processing plants,"}, {"path": "tedlium_27506.wav", "duration": 7.29, "text": "and we do not have any covenants on our note and our financing, which will"}, {"path": "tedlium_27507.wav", "duration": 7.29, "text": "These positive factors led to improved sales growth with both our commercial and retail customers."}, {"path": "tedlium_27508.wav", "duration": 7.29, "text": "This focus and effort produced 6 consecutive quarters of FIFO gross profit margin improvement"}, {"path": "tedlium_27509.wav", "duration": 7.29, "text": "The remainder includes capital expenditures, loan advances, equity investments and contract investment."}, {"path": "tedlium_27510.wav", "duration": 7.29, "text": "An important area of focus for us in the year ahead will be to successfully integrate our recent acquisitions."}, {"path": "tedlium_27511.wav", "duration": 7.29, "text": "were there any specific client types that were stronger? Any specific types that were weaker?"}, {"path": "tedlium_27512.wav", "duration": 7.29, "text": "We continue to see a weak demand in the March quarter, and we have"}, {"path": "tedlium_27513.wav", "duration": 7.29, "text": "Factors that could cause actual results to differ materially are discussed in the company's most recent filings with the SEC."}, {"path": "tedlium_27514.wav", "duration": 7.29, "text": "A description of such risk factors can be found in our earnings release and in our reports filed with the Securities and Exchange Commission,"}, {"path": "tedlium_27515.wav", "duration": 7.29, "text": "Therefore ITC is currently reviewing the order and considering its options including rehearing and appeal."}, {"path": "tedlium_27516.wav", "duration": 7.29, "text": "obviously, the third one and an important one that we are reporting to since a couple of months"}, {"path": "tedlium_27517.wav", "duration": 7.29, "text": "our customers will experience the -- we call it the portalization of our product line. And"}, {"path": "tedlium_27518.wav", "duration": 7.29, "text": "very much in keeping with that new plan, with that expectation. And we will continue to work"}, {"path": "tedlium_27519.wav", "duration": 7.29, "text": "We respect that, we respect totally. And I think with this new process that they have in place with the government,"}, {"path": "tedlium_27520.wav", "duration": 7.29, "text": "The financial performance of our GlobalShop trade show in the design and construction sector was below expectations despite being well supported"}, {"path": "tedlium_27521.wav", "duration": 7.29, "text": "and we have been successful defending our ratings by aggressively managing our cost structure and by generating solid free cash flow through the downturn."}, {"path": "tedlium_27522.wav", "duration": 7.29, "text": "the cash flow expectations for the balance of the year. What you think your revenue number would be"}, {"path": "tedlium_27523.wav", "duration": 7.29, "text": "Such statements are based on management's assumptions and beliefs, taking into account information that is currently available."}, {"path": "tedlium_27524.wav", "duration": 7.29, "text": "And because of the reduction in force, most of the reps actually now have a larger territory"}, {"path": "tedlium_27525.wav", "duration": 7.29, "text": "good. The growing lower than the inflation"}, {"path": "tedlium_27526.wav", "duration": 7.29, "text": "Given our portfolio continues to shift to growth around shipping, the seasonality of our business has shifted even more to the fourth quarter,"}, {"path": "tedlium_27527.wav", "duration": 7.29, "text": "The increase was largely due to contributions from the Newark Airport Terminal 1 project and the technology project in California"}, {"path": "tedlium_27528.wav", "duration": 7.29, "text": "Now, I'd like to address regional sand mine development as it relates to the demand for Northern White."}, {"path": "tedlium_27529.wav", "duration": 7.29, "text": "scale and nature and deliverable in shorter time scales enabling us to operate in an agile manner"}, {"path": "tedlium_27530.wav", "duration": 7.29, "text": "using divestment proceeds to reduce debt and position the organization to deliver sustainable and focused growth."}, {"path": "tedlium_27531.wav", "duration": 7.29, "text": "We continue to promote sales through both channels as we expand our China business."}, {"path": "tedlium_27532.wav", "duration": 7.29, "text": "This slide summarizes our thinking on profit growth and capital allocation."}, {"path": "tedlium_27533.wav", "duration": 7.29, "text": "as I said in my remarks, they operate virtual bookstores and hybrid bookstores. This will give us"}, {"path": "tedlium_27534.wav", "duration": 7.29, "text": "I would now like to turn the conference over to Rachel Reiff, Corporate Communications for Aratana. Please go ahead."}, {"path": "tedlium_27535.wav", "duration": 7.29, "text": "and we know what's going on with rate base and then where is demand going. And so we're right in the process now of looking"}, {"path": "tedlium_27536.wav", "duration": 7.29, "text": "leaving no stone unturned in our quest to reduce the cost and increase the efficiency of our entire operation."}, {"path": "tedlium_27537.wav", "duration": 7.29, "text": "As such, this gives us an extra degree of confidence in our ability to show solid growth this year."}, {"path": "tedlium_27538.wav", "duration": 7.29, "text": "Okay. I saw that working capital decreased quite a bit in this segment."}, {"path": "tedlium_27539.wav", "duration": 7.29, "text": "It's not like CapEx. It's not like losses. That can be recovered and put back in the bank, and that obviously is our plan."}, {"path": "tedlium_27540.wav", "duration": 7.29, "text": "per BOE, and the premium reserves we've been adding are beginning to make a significant difference in our bottom line results."}, {"path": "tedlium_27541.wav", "duration": 7.29, "text": "And I just want to thank you for joining us this morning, and thank you for the confidence you have placed in us with your investment. Thank you."}, {"path": "tedlium_27542.wav", "duration": 7.29, "text": "we are seeing promotional price points that are consistent between ourselves and our competitors"}, {"path": "tedlium_27543.wav", "duration": 7.29, "text": "Our consulting partners will be able to deliver these services on their paper, which is their preference."}, {"path": "tedlium_27544.wav", "duration": 7.29, "text": "to provide our clients with a Netflix-like experience serving up some of the best content available."}, {"path": "tedlium_27545.wav", "duration": 7.29, "text": "probably are not skills that you have today. And so training becomes incredibly important in that world."}, {"path": "tedlium_27546.wav", "duration": 7.29, "text": "Specifically if you look at groups like our strategic sales team or the large enterprise sales group,"}, {"path": "tedlium_27547.wav", "duration": 7.29, "text": "we feel we get the network benefits to all of our other resorts and that's something that we look at it in every acquisition."}, {"path": "tedlium_27548.wav", "duration": 7.29, "text": "I have now 3 slides on Digital, just to unpack that in a little bit more detail than we did in the half year."}, {"path": "tedlium_27549.wav", "duration": 7.29, "text": "and as we continue along here. What we do know is that, that this is a significant cost to the hospital."}, {"path": "tedlium_27550.wav", "duration": 7.29, "text": "and as we leverage our marketing messages through in-outlet activation using our activation army."}, {"path": "tedlium_27551.wav", "duration": 7.29, "text": "We have put a link to the video at the end of this presentation. Take time to watch it. It's an awesome story."}, {"path": "tedlium_27552.wav", "duration": 7.29, "text": "This, combined with broad access, has led to continued strong growth in the prescription volume and sales."}, {"path": "tedlium_27553.wav", "duration": 7.29, "text": "So it's just a very, very different business today, Paul, and I know I'm not answering your direct question because I know you're not expecting me to."}, {"path": "tedlium_27554.wav", "duration": 7.29, "text": "to do everything we can to prevent these sort of fatalities or, let's say, serious injuries."}, {"path": "tedlium_27555.wav", "duration": 7.29, "text": "driven primarily by factory automation products in the areas of interface, signal chain and power management."}, {"path": "tedlium_27556.wav", "duration": 7.29, "text": "Sustainable growth will not come just because we wish for it. We will need to reinvest in the business."}, {"path": "tedlium_27557.wav", "duration": 7.29, "text": "because of fluctuation in the secondary markets, but I need to say that for industrial and"}, {"path": "tedlium_27558.wav", "duration": 7.29, "text": "and we're off to a good start this year with one significant order set for delivery in the first half already booked."}, {"path": "tedlium_27559.wav", "duration": 7.29, "text": "including taking on additional debt to repurchase specific shares, we hit the pause button."}, {"path": "tedlium_27560.wav", "duration": 7.29, "text": "broader weakness in our Avionics business and intensified level of pressure on our diversified industrial markets"}, {"path": "tedlium_27561.wav", "duration": 7.29, "text": "we believe we can improve revenues from casino guests at the Strat and across our entire portfolio of gaming assets."}, {"path": "tedlium_27562.wav", "duration": 7.29, "text": "This is not in the books right now. This is not in the asset held for sale. This is something that will probably be there"}, {"path": "tedlium_27563.wav", "duration": 7.29, "text": "designed to tap into Brisbane's enormous dog appreciation community and let our four-legged friends be the main attraction."}, {"path": "tedlium_27564.wav", "duration": 7.29, "text": "And of course, that's what we're trying to do this time as well. So I wouldn't expect you to just extrapolate forward. That is where we are now."}, {"path": "tedlium_27565.wav", "duration": 7.29, "text": "as well as a particulate reduction strategy plan. And so between that information"}, {"path": "tedlium_27566.wav", "duration": 7.29, "text": "So it will be in areas that expand our reach and deepen our expertise"}, {"path": "tedlium_27567.wav", "duration": 7.29, "text": "so I guess the question is at what scale would an acquisition or does an acquisition become difficult to integrate with the current sales force?"}, {"path": "tedlium_27568.wav", "duration": 7.29, "text": "As a reminder, our former contract manufacturer has failed to fulfill a supply obligations"}, {"path": "tedlium_27569.wav", "duration": 7.29, "text": "The good news is that we have an improved infrastructure to leverage a higher demand environment without additional investment and"}, {"path": "tedlium_27570.wav", "duration": 7.29, "text": "fair assumption to assume we might see upticks the same in the first 2 pickups of the Bank of Canada."}, {"path": "tedlium_27571.wav", "duration": 7.29, "text": "Or is there just been a case where there hasn't been acquisition opportunities that have come up and you're happy to keep your powder dry?"}, {"path": "tedlium_27572.wav", "duration": 7.29, "text": "We expect that the ratio of second half to first half copper production in particular"}, {"path": "tedlium_27573.wav", "duration": 7.29, "text": "is to high grade the opportunity set in terms of getting into the existing well stock and really trying to optimize"}, {"path": "tedlium_27574.wav", "duration": 7.29, "text": "What do we expect to see in the second half? A continuation of unit revenue up in the second half for Qantas."}, {"path": "tedlium_27575.wav", "duration": 7.29, "text": "But remember, in the change the bank, it runs the whole gamut from platforms and controls"}, {"path": "tedlium_27576.wav", "duration": 7.29, "text": "the probable extension of the OPEC agreement until 2019 and a possible Iranian supply shock counteract those forces."}, {"path": "tedlium_27577.wav", "duration": 7.29, "text": "We continue to expect mid-single-digit operational sales growth for the full year internationally"}, {"path": "tedlium_27578.wav", "duration": 7.29, "text": "whether it's marginally less attractive at higher interest rates, I think there's a case can be made for that."}, {"path": "tedlium_27579.wav", "duration": 7.29, "text": "This has been a continuing trend and is the result of the actions we've taken, given the low oil price environment."}, {"path": "tedlium_27580.wav", "duration": 7.29, "text": "by investing in our core Industrial Gases business. But as I have always said,"}, {"path": "tedlium_27581.wav", "duration": 7.29, "text": "Yes, Paul. It's a good question. And some of this has been a function of debt has gone up on a consolidated"}, {"path": "tedlium_27582.wav", "duration": 7.29, "text": "In the first quarter, strong operating fundamentals were the largest contributor to our revenue and adjusted EBITDA performance."}, {"path": "tedlium_27583.wav", "duration": 7.29, "text": "I think you'll always see that as a part of our lineup. A couple of things that I will mention is, as far as the time line, first,"}, {"path": "tedlium_27584.wav", "duration": 7.29, "text": "This reflects our intention to implement a plan that doesn't depend on resource prices increasing."}, {"path": "tedlium_27585.wav", "duration": 7.29, "text": "the full year? I mean, do you see anything in your markets currently that would support that lower end on the organic"}, {"path": "tedlium_27586.wav", "duration": 7.29, "text": "And I think that's the right answer. I think that changes the equation a whole lot more than anything we've heard. So"}, {"path": "tedlium_27587.wav", "duration": 7.29, "text": "In order to get a complete picture of daily OpEx, we feel that it is most appropriate to add a daily dry docking reserve,"}, {"path": "tedlium_27588.wav", "duration": 7.29, "text": "the sterling performance of our consumer credit businesses and from even stronger growth in our transactional and servicing business lines,"}, {"path": "tedlium_27589.wav", "duration": 7.29, "text": "we have -- we gain a better understanding of our value proposition,"}, {"path": "tedlium_27590.wav", "duration": 7.29, "text": "During the past several years, demand for new space has remained strong despite higher rents."}, {"path": "tedlium_27591.wav", "duration": 7.29, "text": "I continue to be impressed with the excitement of our associates in presentation of our stores"}, {"path": "tedlium_27592.wav", "duration": 7.29, "text": "get colder? What are your other merchandising opportunity and how does your inventory look in these categories?"}, {"path": "tedlium_27593.wav", "duration": 7.29, "text": "And if they're not happy, they tell people about it. So we're in a good place right now that we're increasing."}, {"path": "tedlium_27594.wav", "duration": 7.29, "text": "Our goal is to position our teammates as expert advisers, who can properly educate our customers about their vehicle needs"}, {"path": "tedlium_27595.wav", "duration": 7.29, "text": "Social selling is an accelerator for our business, and we continue to see encouraging progress in markets like"}, {"path": "tedlium_27596.wav", "duration": 7.29, "text": "So the whole trading up phenomena is still intact. It is not that we can say this is dead."}, {"path": "tedlium_27597.wav", "duration": 7.29, "text": "This is larger than previously anticipated, owing to 2 provisions within the proposed rule."}, {"path": "tedlium_27598.wav", "duration": 7.29, "text": "And as noted, this does not assume any market share gains in markets where we have a cost advantage."}, {"path": "tedlium_27599.wav", "duration": 7.29, "text": "Please refer to our most recent Form 10-K and other SEC filings for more information on those risks."}, {"path": "tedlium_27600.wav", "duration": 7.29, "text": "The joint venture is utilizing nonrecourse debt to help finance the acquisition of the associated servicing advances."}, {"path": "tedlium_27601.wav", "duration": 7.29, "text": "We think if you're going to increase the value of the distillers proteins, you should increase it to the soybean -- high-protein soybean meal"}, {"path": "tedlium_27602.wav", "duration": 7.29, "text": "We've garnered the interest for multiple memory manufacturers and have started expanding our customer engagements."}, {"path": "tedlium_27603.wav", "duration": 7.29, "text": "This certainly supports our long-term position that this could turn out to be an extended cycle of strong demand for our industry,"}, {"path": "tedlium_27604.wav", "duration": 7.29, "text": "that's about where it's at. We don't expect to see any impact from the additional capacity"}, {"path": "tedlium_27605.wav", "duration": 7.29, "text": "So it's fairly an isolated exposure that we're really worried about. And we believe that to the extent we know and we can foresee over the"}, {"path": "tedlium_27606.wav", "duration": 7.29, "text": "Okay. So you're committed to the 20 even if Amazon may not want 17 more?"}, {"path": "tedlium_27607.wav", "duration": 7.29, "text": "Sure, Michael. The project I just talked about is a good example of that. And the way I would think about this is"}, {"path": "tedlium_27608.wav", "duration": 7.29, "text": "Total CSS international sales were flat in the second quarter compared to the prior year."}, {"path": "tedlium_27609.wav", "duration": 7.29, "text": "It is possible to run the FCC unit in a modified mode, while the other refinery units are repaired."}, {"path": "tedlium_27610.wav", "duration": 7.29, "text": "And we're pursuing the compensation for the 0-carbon attributes of our plants, as we've done in New York."}, {"path": "tedlium_27611.wav", "duration": 7.29, "text": "These plants will need to close, and like we've done with certain of our fossil plants and our planned nuclear retirements."}, {"path": "tedlium_27612.wav", "duration": 7.29, "text": "Ladder has been very measured in its dividend policy, with a focus on maintaining cash dividends at levels that will be funded by core earnings,"}, {"path": "tedlium_27613.wav", "duration": 7.29, "text": "And the third example that I want to use is for a major alternative equipment provider in Europe."}, {"path": "tedlium_27614.wav", "duration": 7.29, "text": "In fact, looking behind the quarter's reported numbers, I'm very encouraged by what I see."}, {"path": "tedlium_27615.wav", "duration": 7.29, "text": "maturation of the stores that we built or acquired last year and the absence of the conversion costs we incurred last year."}, {"path": "tedlium_27616.wav", "duration": 7.29, "text": "I just think that's a big driver in the market. And as far as the overall cost in the design and what"}, {"path": "tedlium_27617.wav", "duration": 7.29, "text": "The first quarter level is typically higher because of the normal quarterly gating of fringe-related costs,"}, {"path": "tedlium_27618.wav", "duration": 7.29, "text": "But we also push roadside digitization, especially since we have been able to beta test right locations,"}, {"path": "tedlium_27619.wav", "duration": 7.29, "text": "and Davenport had done extremely well during the entire cycle. So there was a little bit of uplift from that as well."}, {"path": "tedlium_27620.wav", "duration": 7.29, "text": "in a prudent manner that permits us to achieve greater economies of scale, higher returns for our shareholders and a more conservative balance sheet."}, {"path": "tedlium_27621.wav", "duration": 7.29, "text": "Our indirect labor expense ran high due to challenges involved with the off-spec steel we initially tried to process"}, {"path": "tedlium_27622.wav", "duration": 7.29, "text": "And we are looking at the possibility of a solution outside of the best interest contract exemption"}, {"path": "tedlium_27623.wav", "duration": 7.29, "text": "We stick to this promise and of course, as I said before, regenerating capital"}, {"path": "tedlium_27624.wav", "duration": 7.29, "text": "will be moderated from past practices, since the channel is being more highly served by core producers."}, {"path": "tedlium_27625.wav", "duration": 7.29, "text": "We continue to review our portfolio. This includes the process to divest our merchant ethylene capacity and some other product lines."}, {"path": "tedlium_27626.wav", "duration": 7.29, "text": "The survey revealed many strengths, and we earned our best scores in areas that require high employee participation."}, {"path": "tedlium_27627.wav", "duration": 7.29, "text": "whether those opportunities would require new builds and what your appetite is to build more rigs and put them in those markets at this point?"}, {"path": "tedlium_27628.wav", "duration": 7.29, "text": "We will truly offer good, better and best products with an emphasis on the higher-end product offerings."}, {"path": "tedlium_27629.wav", "duration": 7.29, "text": "especially when you think about near term and when we're in this mode of thinking meeting to meeting in terms of where interest rates might go,"}, {"path": "tedlium_27630.wav", "duration": 7.29, "text": "was helpful. We had other extensions that we highlighted there of new business in different parts of the country for existing customers."}, {"path": "tedlium_27631.wav", "duration": 7.29, "text": "So early second quarter. I think Derek made that in the comments is when we expect to complete enrollment, and then we'll read out the trial"}, {"path": "tedlium_27632.wav", "duration": 7.29, "text": "The strong organic growth reflects improved markets, the introduction of new products and the company's channel initiatives."}, {"path": "tedlium_27633.wav", "duration": 7.29, "text": "We are forecasting strong organic growth and margin expansion in all of our reporting regions."}, {"path": "tedlium_27634.wav", "duration": 7.2899375, "text": "that's actually caused problems because you try to drive to hire a specific number of people and that's not necessarily the quality people that you get and want."}, {"path": "tedlium_27635.wav", "duration": 7.26, "text": "mostly related to the increase in dermatology product revenue and higher sales to our new animal healthcare partner."}, {"path": "tedlium_27636.wav", "duration": 7.26, "text": "If we continue to do the development right, there could be a significant higher"}, {"path": "tedlium_27637.wav", "duration": 7.26, "text": "large companies where there actually is a somewhat active secondary market and then you have everything else."}, {"path": "tedlium_27638.wav", "duration": 7.26, "text": "This was the second time we assisted a company in helping to solve for a capital structure problem that existed on a balance sheet."}, {"path": "tedlium_27639.wav", "duration": 7.26, "text": "and factored into the purchase price, and some of which was caused by adverse weather conditions in Peru during the spring."}, {"path": "tedlium_27640.wav", "duration": 7.26, "text": "The outcome is mathematical and objective and mirrors what is within the accounting standards."}, {"path": "tedlium_27641.wav", "duration": 7.26, "text": "we're going to move with lightning speed on this. We expect to capture some significant revenue in EBITDA in Q4 from the vascular business."}, {"path": "tedlium_27642.wav", "duration": 7.26, "text": "Please note that today's call contains forward-looking statements within the meaning of the applicable Canadian securities legislation."}, {"path": "tedlium_27643.wav", "duration": 7.26, "text": "Quite frankly, thus far, we are not seeing really any large impacts on our ability to"}, {"path": "tedlium_27644.wav", "duration": 7.26, "text": "If for a second we assume there is an instant collection,"}, {"path": "tedlium_27645.wav", "duration": 7.26, "text": "Before we begin, I want to direct your attention to Slide 3, which discusses our use of forward-looking statement"}, {"path": "tedlium_27646.wav", "duration": 7.26, "text": "and all the numbers I will be discussing excludes their contributions, both historically as well as the current quarter."}, {"path": "tedlium_27647.wav", "duration": 7.26, "text": "obviously, generating a lot of capital internally, you're going to be generating a lot more with the latest tax cut."}, {"path": "tedlium_27648.wav", "duration": 7.26, "text": "through. There's some upside with the licensing deals you've talked about but presumably, some additional investments on things like technology and other areas."}, {"path": "tedlium_27649.wav", "duration": 7.26, "text": "Finally, I want to thank all of our team members who deliver service excellence every day to our customers across the world."}, {"path": "tedlium_27650.wav", "duration": 7.26, "text": "This forecast was also developed in the context of capital constraints and the uncertain macro environment we face."}, {"path": "tedlium_27651.wav", "duration": 7.26, "text": "As we continue to acquire the assets outlined in our guidance, our coverage ratio will improve significantly."}, {"path": "tedlium_27652.wav", "duration": 7.26, "text": "We can't speak for all indices, because each of the indices have their own rules and will make their own determination of what's included."}, {"path": "tedlium_27653.wav", "duration": 7.26, "text": "Our deployment also reflects the growth and breadth of our global platform, particularly within direct lending."}, {"path": "tedlium_27654.wav", "duration": 7.26, "text": "presentation highlights consolidated and segmented results and I'll be referring to this presentation during my comments."}, {"path": "tedlium_27655.wav", "duration": 7.26, "text": "As we've mentioned in the past, our integration plan for Latchways includes continued expansion of their base business."}, {"path": "tedlium_27656.wav", "duration": 7.26, "text": "When you have the right people, you can then do the right things with the right method"}, {"path": "tedlium_27657.wav", "duration": 7.26, "text": "at least in the food and beverage industry, it's very difficult to do this venture capital investment."}, {"path": "tedlium_27658.wav", "duration": 7.26, "text": "providing us with a large and diverse group of lenders willing to work with us at rates below conventional financing."}, {"path": "tedlium_27659.wav", "duration": 7.26, "text": "as well as skills and technical training according to benchmarks compiled by the Technology Services Industry Association."}, {"path": "tedlium_27660.wav", "duration": 7.26, "text": "sitting here watching and listening to the good news and the potential and all rest of it. Can you give us some"}, {"path": "tedlium_27661.wav", "duration": 7.26, "text": "Later on today's call, I will provide you with an overview of how we are benefiting from one of our more recent deals."}, {"path": "tedlium_27662.wav", "duration": 7.26, "text": "penetration within the hubs at varying levels, depending on how long we've had them online."}, {"path": "tedlium_27663.wav", "duration": 7.26, "text": "deregulation efforts underway across pretty much every province as it relates to"}, {"path": "tedlium_27664.wav", "duration": 7.26, "text": "I wanted to see if I have something right here. It seems like this quarter versus last quarter, it seems to me like"}, {"path": "tedlium_27665.wav", "duration": 7.26, "text": "Expense increases were primarily driven by higher programming fees and investments in Premion, including the new data management platform."}, {"path": "tedlium_27666.wav", "duration": 7.26, "text": "in how people are thinking about cash flow and putting it to work? And do you think that's on the come? Just trying to think through"}, {"path": "tedlium_27667.wav", "duration": 7.26, "text": "Our ability to deleverage at this pace is a key attribute of TriMas. Additionally,"}, {"path": "tedlium_27668.wav", "duration": 7.26, "text": "Turning to Japan. We enjoyed our best inflows both before and after distributions"}, {"path": "tedlium_27669.wav", "duration": 7.26, "text": "Here are some of our more important financial highlights for the second quarter as compared to the prior year same quarter."}, {"path": "tedlium_27670.wav", "duration": 7.26, "text": "So can you help us just to understand? Because your margins tend to be quite hard to predict"}, {"path": "tedlium_27671.wav", "duration": 7.26, "text": "as we continue to build our company's businesses and execute upon our successful strategies now in place."}, {"path": "tedlium_27672.wav", "duration": 7.26, "text": "We will be providing more detail in that regard at our upcoming Investor Day presentation in New York next month."}, {"path": "tedlium_27673.wav", "duration": 7.26, "text": "Within Capital Markets, we're assuming a flattish to modest increase in the second half of the year compared to last year."}, {"path": "tedlium_27674.wav", "duration": 7.26, "text": "and remain investment-grade, watch our CapEx closely and continue within those parameters to grow our dividend."}, {"path": "tedlium_27675.wav", "duration": 7.26, "text": "which is probably prudent in this current market environment, but you also mentioned no need for equity until the second half of next year."}, {"path": "tedlium_27676.wav", "duration": 7.26, "text": "where we get near-term, if not immediate, benefits and returns that are exceptional. I'll show you a bit more in a moment."}, {"path": "tedlium_27677.wav", "duration": 7.26, "text": "because we may have to just borrow it all right back again in a very short time period if we do not get an extension."}, {"path": "tedlium_27678.wav", "duration": 7.26, "text": "Thanks, Jamie. We continue to make great progress into the future with our evolving organization and solutions."}, {"path": "tedlium_27679.wav", "duration": 7.26, "text": "While empowering organizations with more efficiency and speed, the DevOps process is also dramatically expanding the attack surface."}, {"path": "tedlium_27680.wav", "duration": 7.26, "text": "Our net earnings for the quarter and for the full year were impacted by a few items that we don't see recurring in the future."}, {"path": "tedlium_27681.wav", "duration": 7.26, "text": "Appetite is very important in terms of the variable by which a pet owner assesses the health status of their pet,"}, {"path": "tedlium_27682.wav", "duration": 7.26, "text": "project might be something -- sometimes you might have to put a solar competent, sometimes it might be an increased R value,"}, {"path": "tedlium_27683.wav", "duration": 7.26, "text": "could there be some stress on some of those cash flow coverages, and we feel good about how our underwriting was done at the time, but"}, {"path": "tedlium_27684.wav", "duration": 7.26, "text": "review of your options is complete and the board is presented with a recommendation one way or the other?"}, {"path": "tedlium_27685.wav", "duration": 7.26, "text": "We could have not -- we could not have put up the first quarter results that we did without our team members staying focused on serving our customers."}, {"path": "tedlium_27686.wav", "duration": 7.26, "text": "that we can continue to do. I'll answer the Japan question, and operator, this will be our last question after that answer."}, {"path": "tedlium_27687.wav", "duration": 7.26, "text": "to continue to pursue good quality pest control and wildlife companies like Northwest as we move forward."}, {"path": "tedlium_27688.wav", "duration": 7.26, "text": "feel like I ask you this every quarter, but back on the balance sheet, as it relates to your cash pile,"}, {"path": "tedlium_27689.wav", "duration": 7.26, "text": "So that has the potential for us to keep us sort of where we are even if there's a decline."}, {"path": "tedlium_27690.wav", "duration": 7.26, "text": "and not growth for growth's sake. Our strong growth is an expression of generating strong returns first."}, {"path": "tedlium_27691.wav", "duration": 7.26, "text": "that part of the world. And in spite of that, the fact that they put up those kinds of results I think is extraordinary."}, {"path": "tedlium_27692.wav", "duration": 7.26, "text": "Regarding our renewed focus on recurring revenue, we are taking multiple actions to drive growth."}, {"path": "tedlium_27693.wav", "duration": 7.26, "text": "We are focused on multiple fronts to secure additional liquidity options and improve the capital structure of the company."}, {"path": "tedlium_27694.wav", "duration": 7.26, "text": "these things, we believe give us an advantage of helping to build better repeat visitation to our resorts"}, {"path": "tedlium_27695.wav", "duration": 7.26, "text": "but also has a ripple effect on everyone around them, including their children, families and employers."}, {"path": "tedlium_27696.wav", "duration": 7.26, "text": "the BlueLinx team closely monitors inventory levels to minimize the impact of a rapid deflationary environment"}, {"path": "tedlium_27697.wav", "duration": 7.26, "text": "I mean, that is difficult to say what a normal trough would be and how long it would take. It depends on the"}, {"path": "tedlium_27698.wav", "duration": 7.26, "text": "So it just happened that a lot of them happened in the quarter. And in terms of new store openings."}, {"path": "tedlium_27699.wav", "duration": 7.26, "text": "So the oversupply may not occur next year. It may postpone to a later time."}, {"path": "tedlium_27700.wav", "duration": 7.26, "text": "which, in turn, should improve conversion and enable us to spend more on traffic to our sites."}, {"path": "tedlium_27701.wav", "duration": 7.26, "text": "that the securities that we're buying today actually have a higher yield than the securities that are coming off. And so over time,"}, {"path": "tedlium_27702.wav", "duration": 7.26, "text": "content you get from these new Chinese suppliers? Is it only going to be Chinese? Is it going to be"}, {"path": "tedlium_27703.wav", "duration": 7.26, "text": "The other part of this is making sure we have the right people in place to accomplish this and we do."}, {"path": "tedlium_27704.wav", "duration": 7.26, "text": "some availability to some low-cost capacity that is now back inside our supply chain. So the next tranche of growth that we see"}, {"path": "tedlium_27705.wav", "duration": 7.26, "text": "Thank you. Since there are no additional questions, this concludes our call. Again, thank you for taking time to participate."}, {"path": "tedlium_27706.wav", "duration": 7.26, "text": "a number of quarters before, along with the industry, in terms of being an area of recruiting pressure and just interested in an update there."}, {"path": "tedlium_27707.wav", "duration": 7.26, "text": "from reductions in readmissions and 40 basis points from certain lower acuity admissions such as births."}, {"path": "tedlium_27708.wav", "duration": 7.26, "text": "be comfortable that transferring shares does not expose them to sanctions. And this is what we have in the deal that we got"}, {"path": "tedlium_27709.wav", "duration": 7.26, "text": "to ensure that the actual average revenue per passenger you achieve one particular year"}, {"path": "tedlium_27710.wav", "duration": 7.26, "text": "And the last question on the K factor, if we could have an update on the size of the deviation of"}, {"path": "tedlium_27711.wav", "duration": 7.26, "text": "during the start of this conference call. So what has changed since then about the view on the company?"}, {"path": "tedlium_27712.wav", "duration": 7.26, "text": "And customers want to interact with businesses through the customers' preferred mode of communication,"}, {"path": "tedlium_27713.wav", "duration": 7.26, "text": "as well as the acquisition by Tesoro Logistics of the Los Angeles Refinery storage and handling assets"}, {"path": "tedlium_27714.wav", "duration": 7.26, "text": "We have reduced spending in other areas in order to fund these investments and achieve a net overall reduction in our spending."}, {"path": "tedlium_27715.wav", "duration": 7.26, "text": "On the top line, as we made these investments, we've seen improvement in our volume trends, revenue growth"}, {"path": "tedlium_27716.wav", "duration": 7.26, "text": "We're constantly working to overcome technological barriers in order to create real breakthrough in the manufacturing."}, {"path": "tedlium_27717.wav", "duration": 7.26, "text": "As we had hoped to show when we undertook Part C, we believe the durability of effect on dizziness and blood pressure"}, {"path": "tedlium_27718.wav", "duration": 7.26, "text": "just made recently to move into the next phase on shared service centers which is really around feasibility,"}, {"path": "tedlium_27719.wav", "duration": 7.26, "text": "This was primarily driven by additional revenue from Bhushan Steel, improved deliveries in India"}, {"path": "tedlium_27720.wav", "duration": 7.26, "text": "Our revenue is not yet where we want it to be, and our liquidity has been tighter than we had anticipated."}, {"path": "tedlium_27721.wav", "duration": 7.26, "text": "pointed than maybe what you would have seen at comparable periods in the past. So we generally feel"}, {"path": "tedlium_27722.wav", "duration": 7.26, "text": "was less than the weighted average cost of maturing broker deposits despite the impact of the price disruption early in the quarter."}, {"path": "tedlium_27723.wav", "duration": 7.26, "text": "needle movers, but I think it's just the sense of attention to the -- to every expense that's going through the system."}, {"path": "tedlium_27724.wav", "duration": 7.26, "text": "which we believe is highly differentiated and positioned to emerge as a leading bioscaffold solution to replace traditional surgical match."}, {"path": "tedlium_27725.wav", "duration": 7.26, "text": "that are going on in that space. In terms of what we're aiming to do if you think about it,"}, {"path": "tedlium_27726.wav", "duration": 7.26, "text": "as we realized higher overall average sales prices and the benefit of managing our overall construction costs."}, {"path": "tedlium_27727.wav", "duration": 7.26, "text": "and represent major progress to achieve our goal to significantly delever and strengthen our balance sheet,"}, {"path": "tedlium_27728.wav", "duration": 7.26, "text": "The sequential quarterly decrease primarily reflects reduced intermediary marketing support payments and lower distribution and service fees"}, {"path": "tedlium_27729.wav", "duration": 7.26, "text": "then what does -- what will Advance include when it is closed? So that's when I said in the balance of the year,"}, {"path": "tedlium_27730.wav", "duration": 7.26, "text": "being impinged. In fact, the World Nuclear Association shows that over the coming decades,"}, {"path": "tedlium_27731.wav", "duration": 7.26, "text": "Recent trends suggest that interest is increasing in the whiskey category, which is largely scotch right now."}, {"path": "tedlium_27732.wav", "duration": 7.26, "text": "This number of closures is a slight acceleration compared to the rate of 6 closures we've had in the previous years."}, {"path": "tedlium_27733.wav", "duration": 7.26, "text": "The team has been extremely successful in driving down costs as previously mentioned, while improving performance of our asset."}, {"path": "tedlium_27734.wav", "duration": 7.26, "text": "Prior to its sale, Health eCareers results for October and November were in line with the same period last year."}, {"path": "tedlium_27735.wav", "duration": 7.26, "text": "And on the software and services side, that's probably the primary reason why you see the bottom end come up as we see greater visibility into the projects,"}, {"path": "tedlium_27736.wav", "duration": 7.26, "text": "on the credit card side. The front book, we've been taking on slightly more risk"}, {"path": "tedlium_27737.wav", "duration": 7.26, "text": "And we have high hopes for it in the future once commodity prices kind of return more towards historical norms."}, {"path": "tedlium_27738.wav", "duration": 7.26, "text": "Although this approach has been very encouraging in the treatment of liquid tumors, such as leukemia,"}, {"path": "tedlium_27739.wav", "duration": 7.26, "text": "We began the further diversification of our revenue base with the Proterra supply agreement and the Navistar joint development agreement."}, {"path": "tedlium_27740.wav", "duration": 7.26, "text": "The higher percentage of patients requiring therapy visits had a favorable impact on Q2 pricing."}, {"path": "tedlium_27741.wav", "duration": 7.26, "text": "And so we recognize that we've got to get those price gaps more in line with where they need to compete and the brands they compete with."}, {"path": "tedlium_27742.wav", "duration": 7.26, "text": "First and foremost, we remain the premier power generation company in the country and have the operating results to prove it."}, {"path": "tedlium_27743.wav", "duration": 7.26, "text": "because competitors who may be more dependent on oil and gas, will try and shift into other products"}, {"path": "tedlium_27744.wav", "duration": 7.26, "text": "I know everybody gets hung up on mix, and thinking that if the mix is shifted more to an indirect channel where you're going to get a lot higher margins."}, {"path": "tedlium_27745.wav", "duration": 7.26, "text": "On the other hand, we did have some offsetting effects primarily coming from seasonality at the end of the year."}, {"path": "tedlium_27746.wav", "duration": 7.26, "text": "And there had been a range of hurdles to get through, some difficult but appropriate negotiations with government to"}, {"path": "tedlium_27747.wav", "duration": 7.26, "text": "Before we begin, I'd like to remind you that many of the statements made during this call may be considered forward-looking statements."}, {"path": "tedlium_27748.wav", "duration": 7.26, "text": "The projections and statements in this presentation speak only as of the date of this presentation."}, {"path": "tedlium_27749.wav", "duration": 7.26, "text": "are just 2 examples of investments that are continuing to build and transform our advantage platform."}, {"path": "tedlium_27750.wav", "duration": 7.26, "text": "I would say that we're proceeding sort of to our expectations as far as the timing perspective."}, {"path": "tedlium_27751.wav", "duration": 7.26, "text": "underground study that was concluded in the fourth quarter of last year, which was the preliminary economic assessment"}, {"path": "tedlium_27752.wav", "duration": 7.26, "text": "The first is the change in mining contractor due to ongoing issues with equipment availability and waste mining production."}, {"path": "tedlium_27753.wav", "duration": 7.26, "text": "Is there any real impact in the way you're thinking about your dividend policy that's being impacted by how volatile this pension"}, {"path": "tedlium_27754.wav", "duration": 7.26, "text": "Three, the board is very involved in this. We've worked with them on our new performance management and accountability system."}, {"path": "tedlium_27755.wav", "duration": 7.26, "text": "I see. And was there a similar thing in the third and fourth quarter also when you had the store closures?"}, {"path": "tedlium_27756.wav", "duration": 7.26, "text": "We believe International will turn positive in the third quarter and showed continued positive momentum in the fourth quarter."}, {"path": "tedlium_27757.wav", "duration": 7.26, "text": "it requires a close collaboration between FedEx and our customers"}, {"path": "tedlium_27758.wav", "duration": 7.26, "text": "We expect to close these loans during the third and fourth quarters of this year and we'll use the proceeds to repay maturing debt."}, {"path": "tedlium_27759.wav", "duration": 7.26, "text": "And the most positive response that we got of all them were people whose patients were on a once-a-day Exelon Patch."}, {"path": "tedlium_27760.wav", "duration": 7.26, "text": "One is that, look, we did see softer conditions in February that continued into March."}, {"path": "tedlium_27761.wav", "duration": 7.26, "text": "We are also tightening by raising the lower end of our adjusted operating income and adjusted EBITDA guidance."}, {"path": "tedlium_27762.wav", "duration": 7.26, "text": "think that we struck the right balance doing so. Given that the middle market selling season is concentrated in the first half of the year,"}, {"path": "tedlium_27763.wav", "duration": 7.26, "text": "While we expect volume to improve sequentially, we are lowering our expectations for lubricant gallon and revenue growth."}, {"path": "tedlium_27764.wav", "duration": 7.26, "text": "that was around first quarter last year that just doesn't exist this year as they've completely changed their marketing strategy."}, {"path": "tedlium_27765.wav", "duration": 7.26, "text": "And separately, I should add that, given the different nature of the Property business, it will remain within Other activities."}, {"path": "tedlium_27766.wav", "duration": 7.26, "text": "And we -- what we're doing is trying to be diligent and making sure that when we need to have access to that capital"}, {"path": "tedlium_27767.wav", "duration": 7.26, "text": "I will now turn it back over to Steve for any additional comments. Thanks, Doug."}, {"path": "tedlium_27768.wav", "duration": 7.26, "text": "are -- like, are they -- and do they have the ability or the discretion to put through price increases"}, {"path": "tedlium_27769.wav", "duration": 7.26, "text": "which we feel better about now going into the new year. But all the other stuff is just noise. And I think the real important thing is"}, {"path": "tedlium_27770.wav", "duration": 7.26, "text": "During the quarter, we continued to execute on our strategy and again delivered strong results."}, {"path": "tedlium_27771.wav", "duration": 7.26, "text": "such that they will shut down their own airport handling facility and move their volume across to us."}, {"path": "tedlium_27772.wav", "duration": 7.26, "text": "of our annual report on Form 10-K and as updated by our quarterly reports on Form 10-Q."}, {"path": "tedlium_27773.wav", "duration": 7.26, "text": "The second objective was to provide clinicians with data that may help them make treatment decisions for their patients."}, {"path": "tedlium_27774.wav", "duration": 7.26, "text": "to come through in normal cash flows certainly during the year. I think the real issue that we spoke about is"}, {"path": "tedlium_27775.wav", "duration": 7.2599375, "text": "Certainly, we are cognizant of the macroeconomic data points that have created global economic growth concerns."}, {"path": "tedlium_27776.wav", "duration": 7.2599375, "text": "Even more interesting it is that all geographies and both ES and CMS have contributed."}, {"path": "tedlium_27777.wav", "duration": 7.2599375, "text": "On the other side with the IL-12, the rates were in there is that we know for some cancers you don't know the targets."}, {"path": "tedlium_27778.wav", "duration": 7.2599375, "text": "Our general product assembly, rigid packaging and nonwoven product lines led the growth in the current quarter."}, {"path": "tedlium_27779.wav", "duration": 7.2599375, "text": "Station swaps don't really seem to make any sense for us. We're very, very happy with the stations that we have and the portfolio that we've built."}, {"path": "tedlium_27780.wav", "duration": 7.23, "text": "due to a decline of settlement activity and the consequence of the equity market environment."}, {"path": "tedlium_27781.wav", "duration": 7.23, "text": "Now inevitably with that, there's a transformation of the business and you have to do things differently, and"}, {"path": "tedlium_27782.wav", "duration": 7.23, "text": "of the company's financial results between periods and provides for greater transparency of key measures used to evaluate the company's performance."}, {"path": "tedlium_27783.wav", "duration": 7.23, "text": "we didn't lead with as much credit as perhaps we wish we had now as an organization. And"}, {"path": "tedlium_27784.wav", "duration": 7.23, "text": "I think, things will be largely prepared for in this first half of the year. Now"}, {"path": "tedlium_27785.wav", "duration": 7.23, "text": "Signing supplier deals like United Airlines and extending exclusivity and capacity with other of our key providers"}, {"path": "tedlium_27786.wav", "duration": 7.23, "text": "And we look forward to talking to you again at the end of the third quarter. And operator, that concludes my remarks."}, {"path": "tedlium_27787.wav", "duration": 7.23, "text": "We have a lot of brands that resonate with consumers and e-commerce, and I feel good about how we're driving it across the entire portfolio."}, {"path": "tedlium_27788.wav", "duration": 7.23, "text": "to respond to competitors and make sure that we send signals that"}, {"path": "tedlium_27789.wav", "duration": 7.23, "text": "as well as to how we will address the tax rate, which is still too high to further improve our earnings per share."}, {"path": "tedlium_27790.wav", "duration": 7.23, "text": "make sure that we have adequate sample size for a study of this nature, we do very extensive powering modeling"}, {"path": "tedlium_27791.wav", "duration": 7.23, "text": "that would not be a good thing. But if you have good drugs that satisfy an unmet medical need,"}, {"path": "tedlium_27792.wav", "duration": 7.23, "text": "be eventually refinanced with a combination of takeouts, including syndicated loans and emission of bond."}, {"path": "tedlium_27793.wav", "duration": 7.23, "text": "selective rather than aggregate. And I think it's probably the way that we will continue to approach that."}, {"path": "tedlium_27794.wav", "duration": 7.23, "text": "to marry up as much burner tip access as possible with the production both on the east end and the west end."}, {"path": "tedlium_27795.wav", "duration": 7.23, "text": "the right circumstance depending on what the market does or doesn't give us, it's not like the cash is going to disappear, it could be twice that"}, {"path": "tedlium_27796.wav", "duration": 7.23, "text": "of increased profits, we get a share because in Asia Pacific, there's no owner's priority. So from that perspective,"}, {"path": "tedlium_27797.wav", "duration": 7.23, "text": "you should expect us, I would say, to be a top 3 participant in this industry overall."}, {"path": "tedlium_27798.wav", "duration": 7.23, "text": "that security is essentially rooted in -- again, in the middle box, in a very robust product. And that product pivots around"}, {"path": "tedlium_27799.wav", "duration": 7.23, "text": "and so many different choices, and they're coming at you every day. With the potential for the new payment rail to be out there,"}, {"path": "tedlium_27800.wav", "duration": 7.23, "text": "I think I agree with Mark. This feels a lot more like a normal result, because we don't have that segment in particular"}, {"path": "tedlium_27801.wav", "duration": 7.23, "text": "both relate to the structural changes in the supply chain in the Branded Consumer Goods operations."}, {"path": "tedlium_27802.wav", "duration": 7.23, "text": "So we think that backdrop is probably is as favorable as it's ever been."}, {"path": "tedlium_27803.wav", "duration": 7.23, "text": "that's where there's a lot more incremental business opportunity for us. And so it'll play out differently in those different parts of our business,"}, {"path": "tedlium_27804.wav", "duration": 7.23, "text": "before you can start to incorporate that into either the analytics or some sort of your measurement products?"}, {"path": "tedlium_27805.wav", "duration": 7.23, "text": "Thank you ladies and gentlemen, this concludes today's conference. Thank you for participating. You may now disconnect."}, {"path": "tedlium_27806.wav", "duration": 7.23, "text": "In terms of macro trends, we believe the opportunity for the partnership is as great today as it's ever been."}, {"path": "tedlium_27807.wav", "duration": 7.23, "text": "there are 2 ways that you can get results from a digital strategy. On the one hand, you should generate more revenues"}, {"path": "tedlium_27808.wav", "duration": 7.23, "text": "But I'll tell you, one of our focus is, as we alluded to in our comments, was -- is around how we"}, {"path": "tedlium_27809.wav", "duration": 7.23, "text": "This is a key metric that reflects the growth in our enterprise business, which is the majority of our overall revenue mix."}, {"path": "tedlium_27810.wav", "duration": 7.23, "text": "we had a very good order book at the start of this year and order intake was also at the very high level in the first half year"}, {"path": "tedlium_27811.wav", "duration": 7.23, "text": "and addressing vulnerable customers, which are important areas for Ofgem, and they did this for the seventh straight year."}, {"path": "tedlium_27812.wav", "duration": 7.23, "text": "it just underscored how bad both energy as well as mining got during the year."}, {"path": "tedlium_27813.wav", "duration": 7.23, "text": "we believe will result in greater patron acceptance and deliver the greatest value to our casino customers."}, {"path": "tedlium_27814.wav", "duration": 7.23, "text": "Could you just remind us what kind of opportunities you got from the Augusta deal? I mean, there is a fair amount of wealth in Augusta,"}, {"path": "tedlium_27815.wav", "duration": 7.23, "text": "Now out of the total expenses, I think those that were further reduced,"}, {"path": "tedlium_27816.wav", "duration": 7.23, "text": "Hopefully, throughout the course of this call today as you listen to our full year 2018 results and recent corporate updates,"}, {"path": "tedlium_27817.wav", "duration": 7.23, "text": "for the remainder of the year. And we stick to our guidance that we'll be, cost-wise, more or less flat for the"}, {"path": "tedlium_27818.wav", "duration": 7.23, "text": "While our sales and marketing expenses have become an unfortunate anomaly over recent years,"}, {"path": "tedlium_27819.wav", "duration": 7.23, "text": "from a broad range of companies because it requires new types of computing at the edge and in the cloud,"}, {"path": "tedlium_27820.wav", "duration": 7.23, "text": "Okay. And then for Transportation there, you folks have been looking for a real acceleration in terms of back-office investment"}, {"path": "tedlium_27821.wav", "duration": 7.23, "text": "Of course, our ultimate goal is to achieve net inflows in all 4 of these segments simultaneously."}, {"path": "tedlium_27822.wav", "duration": 7.23, "text": "maybe even in the first or second quarter next year. We'll talk more about it tomorrow and give you a little bit more visibility, but clearly,"}, {"path": "tedlium_27823.wav", "duration": 7.23, "text": "The wind power industry set new records across the world last year according to the Global Wind Energy Council."}, {"path": "tedlium_27824.wav", "duration": 7.23, "text": "We also had good progress on the NED market path. We went out with a customized offering for the electric load in New England."}, {"path": "tedlium_27825.wav", "duration": 7.23, "text": "We remain excited about our future and look forward to communicating our continued progress in the quarters and years to come."}, {"path": "tedlium_27826.wav", "duration": 7.23, "text": "be thinking a little bit differently about that asset at this point in time. It's something that we want to see proceed. But"}, {"path": "tedlium_27827.wav", "duration": 7.23, "text": "We also put in place a more experienced sales and service team for both our retail and institutional clients."}, {"path": "tedlium_27828.wav", "duration": 7.23, "text": "We are then able to build and collect revenue associated with this usage. As we continue to provision telephone numbers"}, {"path": "tedlium_27829.wav", "duration": 7.23, "text": "And I'm not talking about the existing ones. I'm talking about what visibility you might have with respect to new mines emerging this year?"}, {"path": "tedlium_27830.wav", "duration": 7.23, "text": "the discontinued U.K. line of credit product, and the impact of the exchange rate for the British pound following the Brexit vote."}, {"path": "tedlium_27831.wav", "duration": 7.23, "text": "We believe that the long-term success of ENTYCE will be driven by veterinarians become increasingly comfortable with its use."}, {"path": "tedlium_27832.wav", "duration": 7.23, "text": "and we're working hard to make sure it does happen. And then maybe I'll use that opportunity to switch to talk about cats."}, {"path": "tedlium_27833.wav", "duration": 7.23, "text": "as our incumbency often enables us to support the additional capital needs of our best borrowers as they seek to grow."}, {"path": "tedlium_27834.wav", "duration": 7.23, "text": "We investigated this and haven't seen any loss of clients as the majority of the decrease is due to normal client activity."}, {"path": "tedlium_27835.wav", "duration": 7.23, "text": "including our people like me enhancement, which utilizes machine learning to provide occupation-specific advice"}, {"path": "tedlium_27836.wav", "duration": 7.23, "text": "We actually outperformed the data and we looked at the stat survey information about a half hour prior to the call."}, {"path": "tedlium_27837.wav", "duration": 7.23, "text": "and really pleased with the progress we've made. And it's largely been due to a shift into more and more digital strategies."}, {"path": "tedlium_27838.wav", "duration": 7.23, "text": "management time to look for those opportunity. We know where they are. But then they come up"}, {"path": "tedlium_27839.wav", "duration": 7.23, "text": "that have different rates of performance in any given period of time, whether we're looking at a particular year or a particular quarter."}, {"path": "tedlium_27840.wav", "duration": 7.23, "text": "and later the recorded video will be posted on DOCOMO's website -- IR website."}, {"path": "tedlium_27841.wav", "duration": 7.23, "text": "at the close of business on March 8. I'll now turn it over to Kevin, who will provide some additional insights on our results."}, {"path": "tedlium_27842.wav", "duration": 7.23, "text": "We believe that these sales trends and activities, combined with continued cost reductions and strategic pricing actions,"}, {"path": "tedlium_27843.wav", "duration": 7.23, "text": "back on, we need to continue to work and it's going to be a process to get them where it could be fully back on to where they were before the settlement."}, {"path": "tedlium_27844.wav", "duration": 7.23, "text": "Many states are choosing to manage this important process, and MAXIMUS has played an integral role for supporting these efforts."}, {"path": "tedlium_27845.wav", "duration": 7.23, "text": "Moreover, the ongoing and increasing desire of automakers to elevate the driving experience"}, {"path": "tedlium_27846.wav", "duration": 7.23, "text": "that has been published, and we continue to be optimistic that the softness we're experiencing in the market today"}, {"path": "tedlium_27847.wav", "duration": 7.23, "text": "We experienced general stability in construction and land development and term commercial real estate loans."}, {"path": "tedlium_27848.wav", "duration": 7.23, "text": "France continues to look for opportunities to ramp higher margin peripherals, services and solutions around the sales of its core products"}, {"path": "tedlium_27849.wav", "duration": 7.23, "text": "The potential of deregulation is also encouraging and could provide a significant opportunity for our financial services business."}, {"path": "tedlium_27850.wav", "duration": 7.23, "text": "Our business plan is low risk and we are confident in our ability to execute the plan and deliver on our commitments."}, {"path": "tedlium_27851.wav", "duration": 7.23, "text": "announced, but that is very well demonstrated by the number of FSRUs which have been decided since the beginning of"}, {"path": "tedlium_27852.wav", "duration": 7.23, "text": "in higher utilization of contract labor, most predominantly on the nursing side in the nursing areas"}, {"path": "tedlium_27853.wav", "duration": 7.23, "text": "think it has to do with the market waiting for us to put a number on the impact"}, {"path": "tedlium_27854.wav", "duration": 7.23, "text": "Also as I'm sure many of you are aware, the retail industry as a whole has been challenging so far this year."}, {"path": "tedlium_27855.wav", "duration": 7.23, "text": "It has been the honor of a lifetime to serve as Chairman and CEO of this great company."}, {"path": "tedlium_27856.wav", "duration": 7.23, "text": "Our Asia Pacific business delivered solid results while some of our markets in the Middle East continue to be challenged."}, {"path": "tedlium_27857.wav", "duration": 7.23, "text": "if you go back and look at the guidance that we provided relative to the margins,"}, {"path": "tedlium_27858.wav", "duration": 7.23, "text": "and we like that area and you'll hear more about that in terms of acquisitive growth later."}, {"path": "tedlium_27859.wav", "duration": 7.23, "text": "an important enabler, but it's the symptoms that are critically important. In fact, above a certain blood pressure improvement,"}, {"path": "tedlium_27860.wav", "duration": 7.23, "text": "an efficient cost base in both clean and waste. So we were efficient and at the frontier of efficiency for waste as well."}, {"path": "tedlium_27861.wav", "duration": 7.23, "text": "and whether you expect the performance to be different in the downturn whether that be better, worse or the same?"}, {"path": "tedlium_27862.wav", "duration": 7.23, "text": "and that's why I have to say we give exit to some of the deposits because of this aggressive"}, {"path": "tedlium_27863.wav", "duration": 7.23, "text": "I'd also like to call your attention to the customary disclosures in our press release regarding forward-looking information."}, {"path": "tedlium_27864.wav", "duration": 7.23, "text": "to be cautious, I would say that for 2017, I don't think anybody expects any of these segments to"}, {"path": "tedlium_27865.wav", "duration": 7.23, "text": "In addition, the Insourcing Solutions business reported growth in the fourth quarter as a result of new contracts."}, {"path": "tedlium_27866.wav", "duration": 7.23, "text": "Our USA TODAY NETWORK is an ideal partner to help expand this brand."}, {"path": "tedlium_27867.wav", "duration": 7.23, "text": "over the next few years. So I don't expect to have to put capital into the TRS businesses."}, {"path": "tedlium_27868.wav", "duration": 7.23, "text": "which are not only supporting retail tenant performance, but also performance of our industrial tenants."}, {"path": "tedlium_27869.wav", "duration": 7.23, "text": "Put simply, this is growing and extending the base. Whilst our focus on marketing and innovation,"}, {"path": "tedlium_27870.wav", "duration": 7.23, "text": "Also under Marie-Line, Pizza Delight returned to have another positive Q4, with Same Restaurant Sales"}, {"path": "tedlium_27871.wav", "duration": 7.23, "text": "and that kind of set in motion some of the challenges at On Time. So"}, {"path": "tedlium_27872.wav", "duration": 7.23, "text": "so if we look at it, I think there's things that you're seeing, or Marianne, that you see, inside the company that probably dispel"}, {"path": "tedlium_27873.wav", "duration": 7.23, "text": "In the past, we have never been a reference in this area, and we are gaining important customer in the last"}, {"path": "tedlium_27874.wav", "duration": 7.23, "text": "on operationally doing a great job or trying to do a great job of being responsive to customers and"}, {"path": "tedlium_27875.wav", "duration": 7.23, "text": "This is great for patients, but it also means that it has taken many of us in this space more time to enroll studies."}, {"path": "tedlium_27876.wav", "duration": 7.23, "text": "offering business customers to freedom and flexibility of the latest cloud-based virtual PBX technology."}, {"path": "tedlium_27877.wav", "duration": 7.23, "text": "disconnected perhaps from that rate. So who knows where this goes in the future? I think, for now, that's the way it is set up."}, {"path": "tedlium_27878.wav", "duration": 7.23, "text": "It's really the strength of this brand and the clinical efficacy and safety of this brand that has driven its performance."}, {"path": "tedlium_27879.wav", "duration": 7.23, "text": "and that largely was in bank loans and that was largely institutional. So I hope that gives you a little flavor."}, {"path": "tedlium_27880.wav", "duration": 7.23, "text": "should we think of the ACA compliance offering as having been a significant part of bookings and something that"}, {"path": "tedlium_27881.wav", "duration": 7.23, "text": "Brazil and Colombia, for the most part, different economies who have different issues in them. So in"}, {"path": "tedlium_27882.wav", "duration": 7.23, "text": "demonstrates that we are a stronger company as a result of the changes made over the past few years."}, {"path": "tedlium_27883.wav", "duration": 7.23, "text": "Information regarding these factors is contained in yesterday's press release and with the company's other filings with the SEC."}, {"path": "tedlium_27884.wav", "duration": 7.23, "text": "The only other things that I'd point out, a large number of abstracts from our EP group looking at some of the newer"}, {"path": "tedlium_27885.wav", "duration": 7.23, "text": "So this concludes the third quarter presentation and we're now ready to take your questions. Thank"}, {"path": "tedlium_27886.wav", "duration": 7.23, "text": "pockets of deflation, overall, things are stabilized and we don't expect much impact this year going into next year."}, {"path": "tedlium_27887.wav", "duration": 7.23, "text": "The only shift, I'd say, from the trends we've been seeing is really in Russia where it stabilized a bit."}, {"path": "tedlium_27888.wav", "duration": 7.23, "text": "where we might go from here. But could you envision a scenario that could actually benefit your covered lives coming out of the new administration?"}, {"path": "tedlium_27889.wav", "duration": 7.23, "text": "on the top line. So I was wondering you've got some moving parts there in terms of Anthem"}, {"path": "tedlium_27890.wav", "duration": 7.23, "text": "are benefited by the fact that the primary basins we serve are short pipeline capacity that we've discussed."}, {"path": "tedlium_27891.wav", "duration": 7.23, "text": "The team has been busy responding to those inquiries. That being said, you know, there is still some cloudiness in the market."}, {"path": "tedlium_27892.wav", "duration": 7.23, "text": "and still qualify with some room for growth, not infinite growth, but some room for growth in those strategies relative"}, {"path": "tedlium_27893.wav", "duration": 7.23, "text": "primarily driven by higher rebates on our Ellington sponsored CLOs. We ended the quarter with diluted book value per share"}, {"path": "tedlium_27894.wav", "duration": 7.23, "text": "And what we're doing here is really no different than what I've done in some of my past experiences in former companies,"}, {"path": "tedlium_27895.wav", "duration": 7.23, "text": "on the business model and the future ahead, but there is still a ghost looming around"}, {"path": "tedlium_27896.wav", "duration": 7.23, "text": "of 2017. Now unfortunately, we have not yet been able to obtain the needed regulatory approval from the Russian authorities. So"}, {"path": "tedlium_27897.wav", "duration": 7.23, "text": "our SKY business intelligence reporting capability, our payment services for credit card transaction processing"}, {"path": "tedlium_27898.wav", "duration": 7.23, "text": "with TGLT that they were supposed to build and give us some apartments at -- in the other cases"}, {"path": "tedlium_27899.wav", "duration": 7.23, "text": "But I don't know what the e-com for the total category is, if it's around 5%, but can you just"}, {"path": "tedlium_27900.wav", "duration": 7.23, "text": "The decrease is primarily due to lower discretionary benefits and the impact of higher revenue in the current quarter."}, {"path": "tedlium_27901.wav", "duration": 7.23, "text": "The main factor was the increase in the outflow due to the acquisition of PPE. As"}, {"path": "tedlium_27902.wav", "duration": 7.23, "text": "And then Trump, because of his unique ability to generate, not just free advertising,"}, {"path": "tedlium_27903.wav", "duration": 7.23, "text": "We think that's important because it broadens our customer base. It allows us to give to customers what it is they need."}, {"path": "tedlium_27904.wav", "duration": 7.23, "text": "And the other question on that was with 1 million tonnes of production, do you produce about 1 million tonnes of carbon or just over?"}, {"path": "tedlium_27905.wav", "duration": 7.23, "text": "Also Elementum continues to successfully expand its customer relationships and rapidly grow revenue."}, {"path": "tedlium_27906.wav", "duration": 7.23, "text": "We continue to improve and expand our design capabilities and reference platforms, for new products and markets,"}, {"path": "tedlium_27907.wav", "duration": 7.23, "text": "Yes, Matt, this is Greg. That's going to largely be within that segment product line"}, {"path": "tedlium_27908.wav", "duration": 7.23, "text": "you mentioned mining you expect to rebound in fourth quarter on easier comps, but you also mentioned benefit from new sales"}, {"path": "tedlium_27909.wav", "duration": 7.23, "text": "to stabilize the production and keep it flat and continue to improve the efficiency by bringing on"}, {"path": "tedlium_27910.wav", "duration": 7.23, "text": "Certainly, it's been very fragmented. So for us to look at expanding our content"}, {"path": "tedlium_27911.wav", "duration": 7.23, "text": "At the current cheap stock price, additional share repurchase may be the most viable option on that front."}, {"path": "tedlium_27912.wav", "duration": 7.23, "text": "due to the nature of the assets in the acquired portfolio, the returns on this segment can be lumpy and we certainly see that this quarter."}, {"path": "tedlium_27913.wav", "duration": 7.23, "text": "I would also like to relate today to some recent developments in the immuno-oncology landscape."}, {"path": "tedlium_27914.wav", "duration": 7.23, "text": "All of this, of course, based on the current visibility and the FX rates that we have at the moment."}, {"path": "tedlium_27915.wav", "duration": 7.23, "text": "Key producers in the area are benefiting from successful delineation work resulting in an expanding resource base."}, {"path": "tedlium_27916.wav", "duration": 7.23, "text": "These forward-looking statements are based on current expectations, and the company assumes no obligation to update these statements."}, {"path": "tedlium_27917.wav", "duration": 7.23, "text": "and second, costs related to our productivity initiatives focused on process improvements and data analytics."}, {"path": "tedlium_27918.wav", "duration": 7.23, "text": "And second, in most cases we've actually gathered more business as part of the pricing discussion."}, {"path": "tedlium_27919.wav", "duration": 7.23, "text": "So right now, we're sticking to the time frame, but I would emphasize that we're highly confident in achieving"}, {"path": "tedlium_27920.wav", "duration": 7.23, "text": "The increase is mainly due to the additional debt incurred in the first quarter. We expect quarterly net interest expense"}, {"path": "tedlium_27921.wav", "duration": 7.23, "text": "But they are still going through transition, so we expect that to be another several quarters before their"}, {"path": "tedlium_27922.wav", "duration": 7.23, "text": "from NIC only because this was a really unusual year in terms of the flu season. Historically,"}, {"path": "tedlium_27923.wav", "duration": 7.23, "text": "We've improved our capabilities to service customers on a broader range of services."}, {"path": "tedlium_27924.wav", "duration": 7.23, "text": "thus far, we haven't seen anything that has really negatively impacted us from a financial perspective"}, {"path": "tedlium_27925.wav", "duration": 7.23, "text": "And we expect to have the necessary technology and procedural fixes in place by the end of this year."}, {"path": "tedlium_27926.wav", "duration": 7.23, "text": "This morning, I will cover our operational highlights, including the progress of our active development projects."}, {"path": "tedlium_27927.wav", "duration": 7.23, "text": "the customer experience in the store in a way that is consistent with this message of building trust with our customers"}, {"path": "tedlium_27928.wav", "duration": 7.23, "text": "I think the important point is, is that we are showing up and winning based on our value proposition."}, {"path": "tedlium_27929.wav", "duration": 7.23, "text": "intrinsic growth opportunity in addition to a lot of other opportunities throughout the portfolio."}, {"path": "tedlium_27930.wav", "duration": 7.23, "text": "I cannot go into the exact details, but I don't object what you"}, {"path": "tedlium_27931.wav", "duration": 7.23, "text": "Yes, it's a little bit like -- it's actually a little slower"}, {"path": "tedlium_27932.wav", "duration": 7.23, "text": "We'll go back to the phone. We have the next 3 questions from the phone."}, {"path": "tedlium_27933.wav", "duration": 7.23, "text": "and that was also internally discovered and promptly remediated. The board hired a forensic auditor"}, {"path": "tedlium_27934.wav", "duration": 7.23, "text": "Additionally, we believe that the redesign has also made our application simpler and easier to use, especially for older users."}, {"path": "tedlium_27935.wav", "duration": 7.23, "text": "the new folks, to some of their new customers and so on, so we have an orderly hand-off and transition of some of those customer relationships."}, {"path": "tedlium_27936.wav", "duration": 7.23, "text": "made after careful and thorough deliberation, and we will keep you informed over the course of this progress."}, {"path": "tedlium_27937.wav", "duration": 7.23, "text": "This is primarily due to higher sales volumes, which offset the currency and inflationary pressures."}, {"path": "tedlium_27938.wav", "duration": 7.23, "text": "The financial information contained in the market update presentation has not been reviewed or reported on by the company's external auditors."}, {"path": "tedlium_27939.wav", "duration": 7.23, "text": "because we're still using the old finishing line, which is sort of our restricting factor."}, {"path": "tedlium_27940.wav", "duration": 7.23, "text": "Adjusted for conversion and gas prices, underlying credit and debit growth rates have been stable all year."}, {"path": "tedlium_27941.wav", "duration": 7.23, "text": "Once completed, a new facility will form the hub we need to continue to expand our U.S. business,"}, {"path": "tedlium_27942.wav", "duration": 7.23, "text": "the right metrics were in place, the right incentives were in place so that we could make sure that we execute on the commitments we made for the year."}, {"path": "tedlium_27943.wav", "duration": 7.23, "text": "I have worked with him as part of the CONSOL Energy team, and he brings a wealth of capital markets and coal industry experience."}, {"path": "tedlium_27944.wav", "duration": 7.2000625, "text": "pretty much what we gave you, Mark, in terms of how we look at the periods is about the extent of what we can say."}, {"path": "tedlium_27945.wav", "duration": 7.2000625, "text": "actuality is when you're going to see people get even more aggressive on what I'll call bigger, more complex projects."}, {"path": "tedlium_27946.wav", "duration": 7.2, "text": "we are studying those. We'll circle back with our shareholders when the time is right on what we plan to do with the cash. But"}, {"path": "tedlium_27947.wav", "duration": 7.2, "text": "that. But I would say that we have done all the things we said we would do at the half year."}, {"path": "tedlium_27948.wav", "duration": 7.2, "text": "of the settlement rate in the second half of the year, and that was very welcome to us."}, {"path": "tedlium_27949.wav", "duration": 7.2, "text": "Got it. And so presumably then, that means that companies have to requalify lines in these new countries."}, {"path": "tedlium_27950.wav", "duration": 7.2, "text": "A recent report from the Hydrogen Council profiled the development stage of many of these FCEV applications."}, {"path": "tedlium_27951.wav", "duration": 7.2, "text": "Yes. If we look at -- if we think about a module as a -- for an individual slot,"}, {"path": "tedlium_27952.wav", "duration": 7.2, "text": "while we simultaneously plan for commercialization of our first medication."}, {"path": "tedlium_27953.wav", "duration": 7.2, "text": "Today we're going to show you that we are starting to deliver the customer growth, which is so important to the long-term future"}, {"path": "tedlium_27954.wav", "duration": 7.2, "text": "I don't know that you're going to see any appreciable shift in mix for a period of time. It may be up a little bit or down a little bit in any given quarter,"}, {"path": "tedlium_27955.wav", "duration": 7.2, "text": "As we move through the balance of 2017, we are extremely pleased to have such a sound financial foundation,"}, {"path": "tedlium_27956.wav", "duration": 7.2, "text": "The retooling of our management team has been the catalyst for many of the improvements that we are beginning to see."}, {"path": "tedlium_27957.wav", "duration": 7.2, "text": "given the current cash position and operating cash flow, it seems you can afford to pay higher dividends."}, {"path": "tedlium_27958.wav", "duration": 7.2, "text": "in France as well as restructuring charges associated with some plant consolidation opportunities."}, {"path": "tedlium_27959.wav", "duration": 7.2, "text": "even where you don't necessarily have the indication. And the good news is at the time of the first-line launch,"}, {"path": "tedlium_27960.wav", "duration": 7.2, "text": "And based on these findings, we now believe we're at the stage where we want to enter the clinic"}, {"path": "tedlium_27961.wav", "duration": 7.2, "text": "We are nearing capacity in the Midland Basin, and we'll need Rebel 2 as soon as possible to meet growing producer demand in the region."}, {"path": "tedlium_27962.wav", "duration": 7.2, "text": "in the growth in the rent. The one thing I would add about Brazil, we've been saying it for a long time,"}, {"path": "tedlium_27963.wav", "duration": 7.2, "text": "I'll now turn the call over to Michael Schrum, our Chief Financial Officer, to talk more about our financial results."}, {"path": "tedlium_27964.wav", "duration": 7.2, "text": "that involve risk and uncertainties that could cause actual results to differ materially from those in these forward-looking statements."}, {"path": "tedlium_27965.wav", "duration": 7.2, "text": "as I tried to explain in that potential migration scenario, those will all be entering that program anew,"}, {"path": "tedlium_27966.wav", "duration": 7.2, "text": "and be fully complete by the end of Q1 2019. In addition to this initial"}, {"path": "tedlium_27967.wav", "duration": 7.2, "text": "I think more interestingly is our revenue by type. One of the things that we talked about very early days"}, {"path": "tedlium_27968.wav", "duration": 7.2, "text": "history has been there are always some who benefit from the new definition of the currency and some who, at least in the short run,"}, {"path": "tedlium_27969.wav", "duration": 7.2, "text": "hanging out there for a material change in kind of the environment that they're in until we actually see it."}, {"path": "tedlium_27970.wav", "duration": 7.2, "text": "pursuing expansion opportunities at existing ports and looking for additional acquisition opportunities."}, {"path": "tedlium_27971.wav", "duration": 7.2, "text": "However, we were able to more than make up for this amount with growth from enterprise networking"}, {"path": "tedlium_27972.wav", "duration": 7.2, "text": "In addition, we separated our underground gas storage activities into a"}, {"path": "tedlium_27973.wav", "duration": 7.2, "text": "but please do not take what we did in this quarter and use it as a run rate moving forward because of that investment cycle."}, {"path": "tedlium_27974.wav", "duration": 7.2, "text": "This is really a remarkable product. This is a cell line that actually allows a recapitulation of the patient's own skin,"}, {"path": "tedlium_27975.wav", "duration": 7.2, "text": "you would be account by account, and one of the things that we think is a strength of the INOMAX offering"}, {"path": "tedlium_27976.wav", "duration": 7.2, "text": "can be found in the tables contained in yesterday's press release and in our related current report on Form 8-K."}, {"path": "tedlium_27977.wav", "duration": 7.2, "text": "The same concept can apply to our group. If we interconnect within our group, great things can be expected."}, {"path": "tedlium_27978.wav", "duration": 7.2, "text": "you may want to start a fire. Ultimately, it comes down to your pacing."}, {"path": "tedlium_27979.wav", "duration": 7.2, "text": "What happens is as those prices stabilize, now we we've built all those increases into our bids without affecting our win rate,"}, {"path": "tedlium_27980.wav", "duration": 7.2, "text": "which is more efficient allocation of resources. And we expect a contribution"}, {"path": "tedlium_27981.wav", "duration": 7.2, "text": "despite a not very helpful environment, also continued steady fundamentals and trends."}, {"path": "tedlium_27982.wav", "duration": 7.2, "text": "As we look forward to the year ahead, we are anticipating record volume and EBITDA in Aerospace."}, {"path": "tedlium_27983.wav", "duration": 7.2, "text": "I'm pleased with the ability of our business leaders to react to the macro events that impacted our operations,"}, {"path": "tedlium_27984.wav", "duration": 7.2, "text": "These strong financial results were driven by areas of record-setting growth across our entire business."}, {"path": "tedlium_27985.wav", "duration": 7.2, "text": "were offset by improved drug retail pharmacy margins and better shrink compared to prior year."}, {"path": "tedlium_27986.wav", "duration": 7.2, "text": "Our customers remain our priority during this time and our teams are working hard to ensure that we are meeting their needs."}, {"path": "tedlium_27987.wav", "duration": 7.2, "text": "with updated financial information has also been posted to the Investors section of our company website."}, {"path": "tedlium_27988.wav", "duration": 7.2, "text": "produce with the resources we have available. As you've probably also seen when you had a look at our"}, {"path": "tedlium_27989.wav", "duration": 7.2, "text": "In addition to managing the supply chain, we will also be able to adapt to shifts in international demand patterns."}, {"path": "tedlium_27990.wav", "duration": 7.2, "text": "Let me provide you an update on the milestones we achieved since we last spoke 90 days ago."}, {"path": "tedlium_27991.wav", "duration": 7.2, "text": "Our debt level did increase as we funded the higher levels of working capital, primarily the increase in receivables,"}, {"path": "tedlium_27992.wav", "duration": 7.2, "text": "or because you have a high depreciation of leases, it'll be a balance sheet item"}, {"path": "tedlium_27993.wav", "duration": 7.2, "text": "However, the segment is well positioned for new student enrollment growth in its online platforms."}, {"path": "tedlium_27994.wav", "duration": 7.2, "text": "we can say with certainty is that we'll only ramp up spending when there's a firm commercial solution"}, {"path": "tedlium_27995.wav", "duration": 7.2, "text": "from the store managers of those new stores in terms of their experiences and the strength of their trading in our communities."}, {"path": "tedlium_27996.wav", "duration": 7.2, "text": "for both phases of the recent DIF transaction, with the one back in November and the one we just did in the second quarter."}, {"path": "tedlium_27997.wav", "duration": 7.2, "text": "Finally, we expect our returns to trend upwards once the acquisitions make a full year contribution."}, {"path": "tedlium_27998.wav", "duration": 7.2, "text": "Looking ahead for the remainder of the year, our pipelines are strong and our outlook remains positive."}, {"path": "tedlium_27999.wav", "duration": 7.2, "text": "We are making some good inroads there, as I mentioned by our finished goods coming down. What you will also see just to make a note here,"}, {"path": "tedlium_28000.wav", "duration": 7.2, "text": "there are 2. I think it becomes -- it's very different in terms of what we're willing to accept in terms of payback"}, {"path": "tedlium_28001.wav", "duration": 7.2, "text": "The decline in total orders was largely expected and should recover as the agency channel grows."}, {"path": "tedlium_28002.wav", "duration": 7.2, "text": "As usual, these numbers do not reflect our plans to close or relocate about 10 older stores."}, {"path": "tedlium_28003.wav", "duration": 7.2, "text": "mostly because of our merger with American Chartered in the middle of the third quarter."}, {"path": "tedlium_28004.wav", "duration": 7.2, "text": "I looked at the operating earnings in the quarter as well, and here's what I see when I looked at the core performance for the bank."}, {"path": "tedlium_28005.wav", "duration": 7.2, "text": "and that will be a great market to serve. The one caution you've heard us say several times is that, it's more than reimbursement."}, {"path": "tedlium_28006.wav", "duration": 7.2, "text": "the number of tons also declined in the first quarter compared to"}, {"path": "tedlium_28007.wav", "duration": 7.2, "text": "It's also important to note that we're still in -- at the initial stages of this multiyear growth opportunity."}, {"path": "tedlium_28008.wav", "duration": 7.2, "text": "In general, and given our customer credit terms, the fluctuations in our accounts receivable balances"}, {"path": "tedlium_28009.wav", "duration": 7.2, "text": "with both of these acquisitions, we picked up nice liquidity and it allows us to continue to be disciplined pricers on the deposit side."}, {"path": "tedlium_28010.wav", "duration": 7.2, "text": "But for the remaining quarters of '17, I would expect it to revert back"}, {"path": "tedlium_28011.wav", "duration": 7.2, "text": "We are gaining share in laundry, but ice cream suffered in the fourth quarter in Brazil from both the economy and the poor summer."}, {"path": "tedlium_28012.wav", "duration": 7.2, "text": "benefiting from the work we've done to strengthen our lower-tier brand propositions to capture some of the down-trading as it happens."}, {"path": "tedlium_28013.wav", "duration": 7.2, "text": "And we have continuously had more satisfied clients than the average of our peers in our home markets."}, {"path": "tedlium_28014.wav", "duration": 7.2, "text": "Volumes in the mortgage origination market have increased in reaction to lower rates."}, {"path": "tedlium_28015.wav", "duration": 7.2, "text": "This quarter, the question du jour appears to be about our fourth quarter production guidance coming in a little lower than our previous guidance."}, {"path": "tedlium_28016.wav", "duration": 7.2, "text": "These declines were largely driven by the channel mix mentioned earlier and the expected decrease in branded product sales."}, {"path": "tedlium_28017.wav", "duration": 7.2, "text": "as well as the addition of engineering talent we added earlier in the year, to support newly awarded programs"}, {"path": "tedlium_28018.wav", "duration": 7.2, "text": "So I think that's worthwhile noting. But let me see if I can address your question"}, {"path": "tedlium_28019.wav", "duration": 7.2, "text": "Overall, domestic weather was slightly favorable for the quarter and flat year-to-date compared to the same periods last year."}, {"path": "tedlium_28020.wav", "duration": 7.2, "text": "related to market diversification and target market expansion, which we embarked on a few years ago."}, {"path": "tedlium_28021.wav", "duration": 7.2, "text": "the number of electric vehicles on the roads. So that's really helped us a lot in terms of"}, {"path": "tedlium_28022.wav", "duration": 7.2, "text": "Our loan officers are doing a great job in a very competitive environment without sacrificing our credit discipline."}, {"path": "tedlium_28023.wav", "duration": 7.2, "text": "Yes, we're going to keep pushing, and we're certainly available at the company should you have any additional questions following the earnings call."}, {"path": "tedlium_28024.wav", "duration": 7.2, "text": "related both to, one, investment timing as the majority of our new investments took place late in the quarter in December,"}, {"path": "tedlium_28025.wav", "duration": 7.2, "text": "agencies and business lines into the partnership over the balance of the year. There's one and then there's 2 more that will occur."}, {"path": "tedlium_28026.wav", "duration": 7.2, "text": "many of them have been eliminated, because of the good regulatory environment. So we encourage regulation. We encourage"}, {"path": "tedlium_28027.wav", "duration": 7.2, "text": "I think that that's one situation. But given that you guys are doing transactions in the stock at this price,"}, {"path": "tedlium_28028.wav", "duration": 7.2, "text": "And this seems like there's some real innovation coming about here in how to move"}, {"path": "tedlium_28029.wav", "duration": 7.2, "text": "We set a goal to get a capitalization that would give us the capability to"}, {"path": "tedlium_28030.wav", "duration": 7.2, "text": "I have to say our teams on the vessel and onshore support have overcome with dedication and persistence."}, {"path": "tedlium_28031.wav", "duration": 7.2, "text": "our critical growth and transformation investments while also deploying more capital to shareholders."}, {"path": "tedlium_28032.wav", "duration": 7.2, "text": "which uses and consumes the rubber. So once automotive moves down,"}, {"path": "tedlium_28033.wav", "duration": 7.2, "text": "best practices and key features for our customers to be able to launch a site very quickly or to extend their own site,"}, {"path": "tedlium_28034.wav", "duration": 7.2, "text": "on the overall consumer landscape. I'd also say that virtually all of the pricing actions we have taken"}, {"path": "tedlium_28035.wav", "duration": 7.2, "text": "I think we've got a very clear strategic intent, which is really at a headline level,"}, {"path": "tedlium_28036.wav", "duration": 7.2, "text": "growth in loans under long-term standby purchase commitments and the addition of a new floating rate AgVantage facility."}, {"path": "tedlium_28037.wav", "duration": 7.2, "text": "We also expect though to see the investment in some of those markets continue some of the packaging markets."}, {"path": "tedlium_28038.wav", "duration": 7.2, "text": "we are seeing an impact of mobile demand weakness and have received more conservative forecasts from much of our customer base."}, {"path": "tedlium_28039.wav", "duration": 7.2, "text": "So they are making a decision on where they want to be for the rest of their lives,"}, {"path": "tedlium_28040.wav", "duration": 7.2, "text": "If you think about our value proposition, Mark, and it is to kind of take the complexity out of it, and you think about the market we focus on,"}, {"path": "tedlium_28041.wav", "duration": 7.2, "text": "And I'm speaking mostly in those comments in the van segment of our business."}, {"path": "tedlium_28042.wav", "duration": 7.2, "text": "And we haven't really pressure-tested all these new initiatives in a return to the normal or even beyond normal"}, {"path": "tedlium_28043.wav", "duration": 7.2, "text": "This was the fifth consecutive quarter of organic growth at or above 6% for the company on a combined basis,"}, {"path": "tedlium_28044.wav", "duration": 7.2, "text": "And as I've noted before, marketing is far more than advertising. And our brand must be infused with all that we say and do."}, {"path": "tedlium_28045.wav", "duration": 7.2, "text": "The team is relentlessly driven to innovate and acutely focused on meeting the ever-evolving needs of our clients."}, {"path": "tedlium_28046.wav", "duration": 7.2, "text": "we did much better on the profit side of that. So that equation, I think, it's better for us to be"}, {"path": "tedlium_28047.wav", "duration": 7.2, "text": "payments instruments is mainly attributable to the fluctuation of the corporation's common share market price."}, {"path": "tedlium_28048.wav", "duration": 7.2, "text": "In addition, a little over half of the total impacted borrowers are constrained by their total debt service ratio alone."}, {"path": "tedlium_28049.wav", "duration": 7.2, "text": "have a vested interest in broader acceptance of nuclear power and getting that kind of commitment from them"}, {"path": "tedlium_28050.wav", "duration": 7.2, "text": "Johnnie Walker continued to tell in-culture stories of personal progress across the world."}, {"path": "tedlium_28051.wav", "duration": 7.2, "text": "going to have to tap the brakes or deal with the lower commodity prices that they are able to get given the takeaway challenges."}, {"path": "tedlium_28052.wav", "duration": 7.2, "text": "not in our backlog. It is in our pipeline of"}, {"path": "tedlium_28053.wav", "duration": 7.2, "text": "However, as our results indicate, we also have serious issues that must get fixed."}, {"path": "tedlium_28054.wav", "duration": 7.2, "text": "It is clear that we have tremendous enthusiasm and support, as we further validate and derisk our clinical platforms,"}, {"path": "tedlium_28055.wav", "duration": 7.2, "text": "Nexus presents surgeons with a powerful tool to remove hard and soft tissue with greater control, accuracy and efficiency."}, {"path": "tedlium_28056.wav", "duration": 7.2, "text": "Let me now walk all of you through some of our third quarter highlights and provide my perspective on how we see the balance of the year."}, {"path": "tedlium_28057.wav", "duration": 7.2, "text": "Now I would like to go into the presentation, and first,"}, {"path": "tedlium_28058.wav", "duration": 7.2, "text": "are big parts of the cost cars. So what are you seeing there? How do you protect margins in that? And then throw in the"}, {"path": "tedlium_28059.wav", "duration": 7.2, "text": "and also where the technology and the performance that we bring, bring value to our customers. So I think we need to have that as a basis for the discussions."}, {"path": "tedlium_28060.wav", "duration": 7.2, "text": "the cattle feeding industry has consolidated. You saw the acquisition earlier in the year, the big one of the largest"}, {"path": "tedlium_28061.wav", "duration": 7.2, "text": "We are now seeing others in the market bring down inventory levels, and we are hopeful that more stable currencies"}, {"path": "tedlium_28062.wav", "duration": 7.2, "text": "We have been getting a lot of questions from investors on both our capital structure and covenants. The next 2 slides address these subjects."}, {"path": "tedlium_28063.wav", "duration": 7.2, "text": "with a much higher leverage, not only from a covenant point of view but from an operating flexibility point of view."}, {"path": "tedlium_28064.wav", "duration": 7.2, "text": "which was focused only on price and not on added value. For example, through integrated services or quality."}, {"path": "tedlium_28065.wav", "duration": 7.2, "text": "We continue to be very excited about our pipeline of productivity and growth projects that are contributing to our expanding margins."}, {"path": "tedlium_28066.wav", "duration": 7.2, "text": "But with -- even with all the best of planning and dialogue, there's going to be"}, {"path": "tedlium_28067.wav", "duration": 7.2, "text": "I think the benefit we have here is the alignment with CAT and Finning, we are fighting tooth and nail to make sure we"}, {"path": "tedlium_28068.wav", "duration": 7.2, "text": "Our team in South America has been managing through this downturn exceptionally well, and we expect they will continue to do so."}, {"path": "tedlium_28069.wav", "duration": 7.2, "text": "In order to deliver operational efficiencies, the network's business is also moving to a national functional structure"}, {"path": "tedlium_28070.wav", "duration": 7.2, "text": "but we've made changes to pricing and to the underwriting. We increased our analytics and have made progress in this product line."}, {"path": "tedlium_28071.wav", "duration": 7.2, "text": "The progress of the OneStim business over the past year is married by the success of new contract awards. For example,"}, {"path": "tedlium_28072.wav", "duration": 7.2, "text": "To the extent that LIBOR continues to increase, we anticipate benefiting from higher interest rates in future quarters"}, {"path": "tedlium_28073.wav", "duration": 7.2, "text": "So that I view as kind of a natural. That's -- this is actually where we wanted to end up, to be candid."}, {"path": "tedlium_28074.wav", "duration": 7.2, "text": "wanted to retain a large ownership stake on our own, and we were able to complete that during the quarter,"}, {"path": "tedlium_28075.wav", "duration": 7.2, "text": "systemic administration to transduce the tissues affected by the disease and express the proteins in those issues,"}, {"path": "tedlium_28076.wav", "duration": 7.2, "text": "impacted by negative sales development in China and by the pending divestment of the business in Brazil."}, {"path": "tedlium_28077.wav", "duration": 7.2, "text": "Longer term, we will pursue strategic opportunities, expanding across commodities and across the value chain,"}, {"path": "tedlium_28078.wav", "duration": 7.2, "text": "And what we will see as well then is -- so I don't know. If I had a guess, I guess what we would spend"}, {"path": "tedlium_28079.wav", "duration": 7.2, "text": "And we believe that going forward, the overall prominence of goods as they move around the world and"}, {"path": "tedlium_28080.wav", "duration": 7.2, "text": "maybe some of your target leverage levels that you think about, especially in the context of your macro outlook? And maybe"}, {"path": "tedlium_28081.wav", "duration": 7.2, "text": "it. It's more about the coaching for those big companies, which are already our clients, or many of them,"}, {"path": "tedlium_28082.wav", "duration": 7.2, "text": "of new wins and the growth of existing business in the segments of beverages and dairy."}, {"path": "tedlium_28083.wav", "duration": 7.2, "text": "Moving to Slide 19. In closing, I want to reiterate that we are proud of our first quarter."}, {"path": "tedlium_28084.wav", "duration": 7.2, "text": "And this is not something the board will compromise on in any way, so materiality is not an issue."}, {"path": "tedlium_28085.wav", "duration": 7.2, "text": "that improvement was felt pretty much across all the provinces, so it's a fairly consistent improvement across all the provinces."}, {"path": "tedlium_28086.wav", "duration": 7.2, "text": "third, we target upscale, fashion conscious consumers by providing outstanding service"}, {"path": "tedlium_28087.wav", "duration": 7.2, "text": "Beginning in December, we eliminated virtually all advertised promotional and pricing activity."}, {"path": "tedlium_28088.wav", "duration": 7.2, "text": "at the top end and the low end and where we've had the engine challenges."}, {"path": "tedlium_28089.wav", "duration": 7.2, "text": "or any change in events, conditions or circumstances based on which any such statements are made. I"}, {"path": "tedlium_28090.wav", "duration": 7.2, "text": "These improvements to both the top and bottom line also reflected the achievement of certain synergies related to the successful integration"}, {"path": "tedlium_28091.wav", "duration": 7.2, "text": "Great. Thank you, Ware. I want to touch on just a couple of nonfinancial highlights for the quarter before we turn it over for questions."}, {"path": "tedlium_28092.wav", "duration": 7.2, "text": "tank manufacturers and wind and transmission towers, demand for this quarter remained fairly steady"}, {"path": "tedlium_28093.wav", "duration": 7.2, "text": "and there will be a little less amortization expense going forward. Pretax should pick up a bit because of these closures."}, {"path": "tedlium_28094.wav", "duration": 7.2, "text": "and fire and security products, led by increased demand for special hazards and fire detection equipment."}, {"path": "tedlium_28095.wav", "duration": 7.2, "text": "what we believe is needed to provide benefit in patients with Huntington's disease, based on our extensive preclinical data."}, {"path": "tedlium_28096.wav", "duration": 7.2, "text": "which was evident by the improvement of our safety metrics that were already some of the best in industry."}, {"path": "tedlium_28097.wav", "duration": 7.1999375, "text": "Things will improve over time. Can you tell us more"}, {"path": "tedlium_28098.wav", "duration": 7.1999375, "text": "Great work by the legal and deal teams on both sides and incredible professionalism and courtesy shown from both governments."}, {"path": "tedlium_28099.wav", "duration": 7.17, "text": "We never closed below the price break, and we obviously have traded up very nicely"}, {"path": "tedlium_28100.wav", "duration": 7.17, "text": "We said our approach to integration would be from the perspective of best of both. And we have been true to this ideal."}, {"path": "tedlium_28101.wav", "duration": 7.17, "text": "The multiple-dose portion of the study is a little more complicated because we have cohorts that are open to all comers,"}, {"path": "tedlium_28102.wav", "duration": 7.17, "text": "For those members that already have an account, they already have shared with us all the information that we need and just like they have an account with their bank,"}, {"path": "tedlium_28103.wav", "duration": 7.17, "text": "So there's a natural way in which cross-selling into other products happens as users discover in a digital way new products and features."}, {"path": "tedlium_28104.wav", "duration": 7.17, "text": "to maximize the value of each of their customers, to service these customers more broadly with a significant range of personalized products."}, {"path": "tedlium_28105.wav", "duration": 7.17, "text": "covering the procedure. But keep in mind that underneath the national payers, there are many subpayers that we need to work with."}, {"path": "tedlium_28106.wav", "duration": 7.17, "text": "I believe we're the only company that has actually generated any clinical data supporting that concept."}, {"path": "tedlium_28107.wav", "duration": 7.17, "text": "Notwithstanding the impressive success of our La Prairie products with the Chinese consumer"}, {"path": "tedlium_28108.wav", "duration": 7.17, "text": "The message here is that there will be a lot of financial discipline from this company, and we have a guidance here from the"}, {"path": "tedlium_28109.wav", "duration": 7.17, "text": "Starting with Slide 3, while many of you are familiar with Butterfield, I'd like to provide an overview of the bank"}, {"path": "tedlium_28110.wav", "duration": 7.17, "text": "reassess some of the decisions that we've made along the way. So I think"}, {"path": "tedlium_28111.wav", "duration": 7.17, "text": "for the LDR, but can you tell us about your target going forward with the change? Thank you very much"}, {"path": "tedlium_28112.wav", "duration": 7.17, "text": "And if you're in the data and information business, mobility and mobile responsiveness is key for your product format and product presentation."}, {"path": "tedlium_28113.wav", "duration": 7.17, "text": "I also want to understand if you guys, with regard to your discussions with frac service providers,"}, {"path": "tedlium_28114.wav", "duration": 7.17, "text": "we're running the company and with the board as prudently as possible. So it's not like we haven't been thinking about things, but"}, {"path": "tedlium_28115.wav", "duration": 7.17, "text": "is absolutely on fire. So that business has been growing strong double digits for a number of years, continues to outpace the market."}, {"path": "tedlium_28116.wav", "duration": 7.17, "text": "We expect unbilled deferred revenue to increase meaningfully next quarter with seasonally strong enterprise transactions."}, {"path": "tedlium_28117.wav", "duration": 7.17, "text": "We would hope that within the next 12 to 18 months or so, we will come to a conclusion, and"}, {"path": "tedlium_28118.wav", "duration": 7.17, "text": "improved international profitability and expense initiatives within Solutions will drive the increase."}, {"path": "tedlium_28119.wav", "duration": 7.17, "text": "The challenge in the earnings is we also have in there the rotation that's going on with the legacy retailers that are in runoff,"}, {"path": "tedlium_28120.wav", "duration": 7.17, "text": "we expect revenue and earnings to be down at Specialty Property, as lender-placed continues to normalize."}, {"path": "tedlium_28121.wav", "duration": 7.17, "text": "that a diversified end market focus is the most appropriate way to balance growth and risk opportunities for our business."}, {"path": "tedlium_28122.wav", "duration": 7.17, "text": "With our emphasis on disciplined pricing and profitability, our win rates have declined modestly as anticipated."}, {"path": "tedlium_28123.wav", "duration": 7.17, "text": "And so one of the things that I think is important that people appreciate is, as we're going into a new year,"}, {"path": "tedlium_28124.wav", "duration": 7.17, "text": "Clearly, it would be more appealing when it's accretive, but at the same time, managing to more of a constant outstanding"}, {"path": "tedlium_28125.wav", "duration": 7.17, "text": "for the second fiscal quarter, with solid contributions from a broad number of our franchises."}, {"path": "tedlium_28126.wav", "duration": 7.17, "text": "that's the quarter. Now I'll step back and talk about a few accomplishments during the year, which will deliver our long-term benefits."}, {"path": "tedlium_28127.wav", "duration": 7.17, "text": "You may now think someone is extremely qualified, but this person may have a big attitude problem."}, {"path": "tedlium_28128.wav", "duration": 7.17, "text": "We are in final negotiations to complete the Bayou divestiture and expect to complete the transaction by mid- to late August."}, {"path": "tedlium_28129.wav", "duration": 7.17, "text": "And I think also China Mobile is, of course, trying to take advantage of that situation to get"}, {"path": "tedlium_28130.wav", "duration": 7.17, "text": "We very much want to lever our platform more fully than we have in the past."}, {"path": "tedlium_28131.wav", "duration": 7.17, "text": "how do I say this, once somebody's in ReposiTrak, they can more easily adopt the pieces that we've created"}, {"path": "tedlium_28132.wav", "duration": 7.17, "text": "I know that when we chat a year from now that we'll all be pleased looking back at how '17 turned out."}, {"path": "tedlium_28133.wav", "duration": 7.17, "text": "So could you elaborate more on that? And what could we expect in the future in terms of additional"}, {"path": "tedlium_28134.wav", "duration": 7.17, "text": "We are honored to be a part of the exciting Philadelphia research community and we look forward to fostering collaboration"}, {"path": "tedlium_28135.wav", "duration": 7.17, "text": "And we further strengthened our partnership with the post office by agreeing a new supply agreement"}, {"path": "tedlium_28136.wav", "duration": 7.17, "text": "Third, our market leadership and global footprint affords us additional economies of scale in procurement, manufacturing and marketing."}, {"path": "tedlium_28137.wav", "duration": 7.17, "text": "The collective efforts of this team have led us to being named as a finalist in the life science industry awards category"}, {"path": "tedlium_28138.wav", "duration": 7.17, "text": "by our consumers, and we decided to"}, {"path": "tedlium_28139.wav", "duration": 7.17, "text": "E-com continued, and I'll get back to it in a second, but of course, it is vital that we maintain a very high growth rate"}, {"path": "tedlium_28140.wav", "duration": 7.17, "text": "This offering gives our distributors increased flexibility to sell the products individually to those consumers who are price sensitive"}, {"path": "tedlium_28141.wav", "duration": 7.17, "text": "and I think that's the way you should look at it. And it's going to take some investment actually for '18. But"}, {"path": "tedlium_28142.wav", "duration": 7.17, "text": "That can always change fairly quickly from environmental issues, planned turnarounds, things of that nature"}, {"path": "tedlium_28143.wav", "duration": 7.17, "text": "tailoring and finessing the product to its catchment audience and curating the overall proposition,"}, {"path": "tedlium_28144.wav", "duration": 7.17, "text": "I think you highlighted that the drug monitoring testing and the vitamin D should come back once you work with the payers,"}, {"path": "tedlium_28145.wav", "duration": 7.17, "text": "As we have seen historically, the cumulative adjustment moves towards zero as the hedges are ultimately realized during the fiscal year."}, {"path": "tedlium_28146.wav", "duration": 7.17, "text": "on the road. In the meantime, everybody's going to pay more for their auto coverage, and we will figure this out. It's a short tail line."}, {"path": "tedlium_28147.wav", "duration": 7.17, "text": "the regulatory regime that we're under would have actually created a safer, better credit profile for a lot of our lenders."}, {"path": "tedlium_28148.wav", "duration": 7.17, "text": "and this should be particularly noticeable in the first quarter, as that 9 basis point recovery we had this quarter will be gone."}, {"path": "tedlium_28149.wav", "duration": 7.17, "text": "mix of business maybe should be shifting more to the international side. How should we think about that?"}, {"path": "tedlium_28150.wav", "duration": 7.17, "text": "but rather the result of increased investments to really expand fast. We're trying to dramatically increase our footprint."}, {"path": "tedlium_28151.wav", "duration": 7.17, "text": "As shown on Slide 11, we are excited about our new seed and crop protection product pipeline,"}, {"path": "tedlium_28152.wav", "duration": 7.17, "text": "We've already entered into agreements with multiple content providers to create compelling subscription offerings."}, {"path": "tedlium_28153.wav", "duration": 7.17, "text": "to their new and existing learning deals, which we believe will drive incremental annual recurring revenue."}, {"path": "tedlium_28154.wav", "duration": 7.17, "text": "Those life limitations have not all been alleviated yet. And so I think there will be"}, {"path": "tedlium_28155.wav", "duration": 7.17, "text": "but we are not stressing out about it or we are not forcing it. If we don't find anything"}, {"path": "tedlium_28156.wav", "duration": 7.17, "text": "and this is also a very good basis for very strong cash generation in the group."}, {"path": "tedlium_28157.wav", "duration": 7.17, "text": "think about years 2 and 3, I know you talked about a lower revenue trajectory. Can you be a little more specific perhaps about"}, {"path": "tedlium_28158.wav", "duration": 7.17, "text": "who would make the decision to go forward with the TwinShape duct and when they would make the decision. And about all we know is"}, {"path": "tedlium_28159.wav", "duration": 7.17, "text": "when we have our fourth quarter earnings call in February. So we look forward to sharing some insights with you on that."}, {"path": "tedlium_28160.wav", "duration": 7.17, "text": "we can go anywhere with the platforms provided a customer wants to go drive business success."}, {"path": "tedlium_28161.wav", "duration": 7.17, "text": "S.J. will review business highlights and provide color on the operating environment. Silvia will then review the company's key financial results."}, {"path": "tedlium_28162.wav", "duration": 7.17, "text": "And so we start with if we're going to do something in terms of inorganic growth, don't screw it up."}, {"path": "tedlium_28163.wav", "duration": 7.17, "text": "in the first quarter of 2019. In addition, we are in various stages of negotiations"}, {"path": "tedlium_28164.wav", "duration": 7.17, "text": "for the quarter to show up and it has this quarter, where each of our hospitals are in the overall results."}, {"path": "tedlium_28165.wav", "duration": 7.17, "text": "Our Destination Network segment had a very good quarter. On a currency neutral basis and excluding acquisitions,"}, {"path": "tedlium_28166.wav", "duration": 7.17, "text": "So that should be kept in mind. But the fact that the second quarter growth"}, {"path": "tedlium_28167.wav", "duration": 7.17, "text": "Because of how we have built and shaped our business over the years, we are now able to provide these labs with the ability to provide"}, {"path": "tedlium_28168.wav", "duration": 7.17, "text": "The underlying thesis of a sustainable recovery in the shipping market from the third quarter of this year, however, remains intact."}, {"path": "tedlium_28169.wav", "duration": 7.17, "text": "As in the second quarter, divisional performances are reported in line with the new organizational structure."}, {"path": "tedlium_28170.wav", "duration": 7.17, "text": "Mark will then review our first quarter financial results in more detail. After that, we'll be happy to take your questions."}, {"path": "tedlium_28171.wav", "duration": 7.17, "text": "I'll share some examples of those -- of this progress in a few minutes. But starting with the results on the top line."}, {"path": "tedlium_28172.wav", "duration": 7.17, "text": "Also, we expect our quarterly sales to follow a similar trajectory as in prior years."}, {"path": "tedlium_28173.wav", "duration": 7.17, "text": "in areas that would be like military applications, aircraft applications, space applications."}, {"path": "tedlium_28174.wav", "duration": 7.17, "text": "In closing, I'm very pleased with the financial results driven by our execution for the second quarter."}, {"path": "tedlium_28175.wav", "duration": 7.17, "text": "We used the amounts that we received from our cinema and real estate business,"}, {"path": "tedlium_28176.wav", "duration": 7.17, "text": "the large part of this is about nurturing also our engineering and operational excellence."}, {"path": "tedlium_28177.wav", "duration": 7.17, "text": "And we feel like we have the ear of the engineer and the heart of the engineers. So new people coming onboard"}, {"path": "tedlium_28178.wav", "duration": 7.17, "text": "As we indicated during our fourth quarter earnings call, although buyer traffic is typically slower during the winter months,"}, {"path": "tedlium_28179.wav", "duration": 7.17, "text": "With building activities slower to materialize, prices stabilized and then eroded slightly toward the end of the quarter."}, {"path": "tedlium_28180.wav", "duration": 7.17, "text": "Based on fervent discussions by academic and government bodies on the need to define what constitutes an opioid-sparing claim,"}, {"path": "tedlium_28181.wav", "duration": 7.17, "text": "And I hope you all sign up for your Nedbank Private Wealth app when you go out, because, remember, we want to get those revenue levels up. Thank you."}, {"path": "tedlium_28182.wav", "duration": 7.17, "text": "focus on containing expense growth. Excluding the currency impact, expense growth was well maintained"}, {"path": "tedlium_28183.wav", "duration": 7.17, "text": "call, was similar to what I think as well, that it pushes it up into a reasonable range but higher than"}, {"path": "tedlium_28184.wav", "duration": 7.17, "text": "creating value for all of our partners and customers across the entire payments ecosystem."}, {"path": "tedlium_28185.wav", "duration": 7.17, "text": "has been disciplined and relentless on execution and the result has been an incredible success."}, {"path": "tedlium_28186.wav", "duration": 7.17, "text": "increase is largely driven by a timing difference between our recent June debt issuance and the redemption of our TRUP securities."}, {"path": "tedlium_28187.wav", "duration": 7.17, "text": "it means additional trucks, trailers will have to be moved on roads and across water."}, {"path": "tedlium_28188.wav", "duration": 7.17, "text": "Looking ahead, our entire organization is motivated and focused on achieving our objectives on behalf of our customers and shareholders."}, {"path": "tedlium_28189.wav", "duration": 7.17, "text": "fast because it is more today about keeping the current structure, but putting more transparency on the government"}, {"path": "tedlium_28190.wav", "duration": 7.17, "text": "With that, I'm going to turn it over to Rusty to go through our financial highlights. Additionally,"}, {"path": "tedlium_28191.wav", "duration": 7.17, "text": "Keep in mind, we talked about before these restructuring activities. Part of that was ensuring that we had the right"}, {"path": "tedlium_28192.wav", "duration": 7.17, "text": "Thank you for participating in today's conference. This does conclude the program. You may all disconnect. Everyone, have a great day."}, {"path": "tedlium_28193.wav", "duration": 7.17, "text": "as we get closer to finishing those -- some of those off, we'll -- we're going to try to be a little bit more"}, {"path": "tedlium_28194.wav", "duration": 7.17, "text": "That covers the highlights for the quarter, and I'll now turn the call over to Rui to talk about our financial results in a little more detail."}, {"path": "tedlium_28195.wav", "duration": 7.17, "text": "With most distributors, we ship in bulk, and they distribute to the end users so we don't have complete visibility on their reach."}, {"path": "tedlium_28196.wav", "duration": 7.17, "text": "Over half of the fourth quarter's investments were sourced on a proprietary basis versus through traditional dealer channels."}, {"path": "tedlium_28197.wav", "duration": 7.17, "text": "Growth was driven primarily by strong demand for our nasal spray systems for allergy treatments."}, {"path": "tedlium_28198.wav", "duration": 7.17, "text": "particularly on a constant dollar basis, both relative to our competitors and the macro environment as a whole."}, {"path": "tedlium_28199.wav", "duration": 7.17, "text": "while we normally would have shown a declining level of personnel expenses driven by simplification."}, {"path": "tedlium_28200.wav", "duration": 7.17, "text": "Now we're starting to see greater entrepreneurial activity in our businesses in all of our categories."}, {"path": "tedlium_28201.wav", "duration": 7.17, "text": "We appreciate your faith, trust and patience as we continue to pursue these objectives."}, {"path": "tedlium_28202.wav", "duration": 7.17, "text": "and with our peers. Reconciliations of non-GAAP measures to the nearest corresponding GAAP measure"}, {"path": "tedlium_28203.wav", "duration": 7.17, "text": "and labor programs. All of the things that are important to the manufacturers will just continue to be important, and we just"}, {"path": "tedlium_28204.wav", "duration": 7.17, "text": "Before we go into the details of the business units, let me give you an overview on the performance"}, {"path": "tedlium_28205.wav", "duration": 7.17, "text": "S.J. will review business highlights and provide color on the operating environment. Silvia will then review the company's key financial results."}, {"path": "tedlium_28206.wav", "duration": 7.17, "text": "As you can see on Slide 8, we continued to drive growth based on strong fundamentals tied to the strength of our brands."}, {"path": "tedlium_28207.wav", "duration": 7.17, "text": "This consideration package consists of new COFINA bonds and cash paid by COFINA under the COFINA plan."}, {"path": "tedlium_28208.wav", "duration": 7.17, "text": "And that is because we added people earlier in the year and they became productive as the year went by."}, {"path": "tedlium_28209.wav", "duration": 7.17, "text": "And then as we think about leverage, we really think about our current investment grade rating as incredibly important to us"}, {"path": "tedlium_28210.wav", "duration": 7.17, "text": "And one of the bigger challenges that we have, as you can appreciate, is in our large project businesses. And so in businesses like"}, {"path": "tedlium_28211.wav", "duration": 7.17, "text": "Approval by the commission would resolve the rate case, including the revenue requirement issue for Four Corners and rate case expenses."}, {"path": "tedlium_28212.wav", "duration": 7.17, "text": "earlier in the year or next year, we may be in the same position where that doesn't come until much later in the year."}, {"path": "tedlium_28213.wav", "duration": 7.17, "text": "is primarily due to the recognition of a tax refund, partially offset by the expiration of certain tax holidays."}, {"path": "tedlium_28214.wav", "duration": 7.17, "text": "for determining where we are and what the right approach for your company should be from a cyclical perspective?"}, {"path": "tedlium_28215.wav", "duration": 7.17, "text": "rate hike has deteriorated. So can you walk us through maybe how we should think about"}, {"path": "tedlium_28216.wav", "duration": 7.17, "text": "So you're not able to see into the future of the correction which basically have to do with stabilizing the subscriber base"}, {"path": "tedlium_28217.wav", "duration": 7.17, "text": "We don't have any clients complaining about inability to fund programs."}, {"path": "tedlium_28218.wav", "duration": 7.17, "text": "also a function of getting the word out, probably a function of clients talking with one another about the quality of the work that we're doing."}, {"path": "tedlium_28219.wav", "duration": 7.17, "text": "and we consider our internal controls over financial reporting to be effective as of our fiscal 2016 year-end."}, {"path": "tedlium_28220.wav", "duration": 7.17, "text": "We met with the FDA in August to review the pilot study data and discuss our next steps."}, {"path": "tedlium_28221.wav", "duration": 7.17, "text": "of our guidance by about 40 basis points on the base business on the top line. That was"}, {"path": "tedlium_28222.wav", "duration": 7.17, "text": "Additional allowances contributed 80 basis points of performance, in line with the prior year."}, {"path": "tedlium_28223.wav", "duration": 7.17, "text": "And on the margin profile, are they very comparable from when you look at Ventev on the retail commercial or there is a differentiation?"}, {"path": "tedlium_28224.wav", "duration": 7.17, "text": "As our financial results and liquidity position improves as a result of anticipated increased onstream rates,"}, {"path": "tedlium_28225.wav", "duration": 7.17, "text": "what we're interested in, either because of their geography or structure. And it wouldn't be a good cultural fit."}, {"path": "tedlium_28226.wav", "duration": 7.17, "text": "January was the weakest month of the quarter. Political revenues were under 1% of our quarterly sales."}, {"path": "tedlium_28227.wav", "duration": 7.17, "text": "Last quarter, I shared our vision with you, which includes being our customers' most collaborative and innovative partner."}, {"path": "tedlium_28228.wav", "duration": 7.17, "text": "and they are experienced in helping our customers decide on the latest and best designs for their home improvement projects."}, {"path": "tedlium_28229.wav", "duration": 7.17, "text": "We have provided additional disclosure related to broadcast expirations in our quarterly supplemental package."}, {"path": "tedlium_28230.wav", "duration": 7.17, "text": "We will address the OTT substitution market in the coming weeks with a new innovative product for the marketplace which the Street will hear about"}, {"path": "tedlium_28231.wav", "duration": 7.17, "text": "due to weakness in underlying premiums and profit-sharing programs on certain contracts as well as rate competition."}, {"path": "tedlium_28232.wav", "duration": 7.17, "text": "revenue growth was driven by an average price increase of approximately 9% for the year on marginally lower volumes."}, {"path": "tedlium_28233.wav", "duration": 7.17, "text": "And also seeing whether we can get more suppliers credit that will obviously reduce the total working capital that we need to put in place."}, {"path": "tedlium_28234.wav", "duration": 7.17, "text": "This primarily reflects quicker progress on achieving some of the benefits from the restructuring initiatives"}, {"path": "tedlium_28235.wav", "duration": 7.17, "text": "We have identified gaps in operations of the business that we're starting to experience"}, {"path": "tedlium_28236.wav", "duration": 7.17, "text": "the other assets are not operating at a level that's approximate, that's -- looks like it's going to exceed their threshold,"}, {"path": "tedlium_28237.wav", "duration": 7.17, "text": "to be a real focus of ours and something that, given the importance of the"}, {"path": "tedlium_28238.wav", "duration": 7.17, "text": "and so candidates have been identified and we're working through that process now. So"}, {"path": "tedlium_28239.wav", "duration": 7.17, "text": "So let's move to Slide 11 and get into the details with the look at the performance of buildings on a consolidated basis."}, {"path": "tedlium_28240.wav", "duration": 7.1699375, "text": "A failure to execute the 40-megawatt supply agreement in 4 years results in the warrants going away."}, {"path": "tedlium_28241.wav", "duration": 7.1400625, "text": "I'm also pleased to report that we are fully operational at our new regional distribution center in Houston."}, {"path": "tedlium_28242.wav", "duration": 7.14, "text": "Obviously, we have relationships with other pretreaters, where we need to go in with someone to provide a total solution."}, {"path": "tedlium_28243.wav", "duration": 7.14, "text": "The Industrial Wood Coatings transaction is a perfect example of when we would look to use leverage in a value-creating transaction,"}, {"path": "tedlium_28244.wav", "duration": 7.14, "text": "in the mid of the year and then we will make decisions how to use these proceeds."}, {"path": "tedlium_28245.wav", "duration": 7.14, "text": "That's because this is income that basically has been upstreamed from our portfolio companies where we are taxed."}, {"path": "tedlium_28246.wav", "duration": 7.14, "text": "We believe this demonstrates the improved model we have been working on to expand margins"}, {"path": "tedlium_28247.wav", "duration": 7.14, "text": "with expectations in the first half of 2016, as confirmed by the group's back-testing activities."}, {"path": "tedlium_28248.wav", "duration": 7.14, "text": "However, as we launch new products, we believe we'll be able to drive a higher average revenue per member in the long term."}, {"path": "tedlium_28249.wav", "duration": 7.14, "text": "So going back to your question, because of the PayPay online implementation,"}, {"path": "tedlium_28250.wav", "duration": 7.14, "text": "help us to understand how these reserves are going to work in a rising interest rate environment, how are you going to keep"}, {"path": "tedlium_28251.wav", "duration": 7.14, "text": "We expect to continue to roll that product out onto shelves sometime in the beginning of the second quarter, in that second quarter timeframe."}, {"path": "tedlium_28252.wav", "duration": 7.14, "text": "you now have all these different substrates under one roof, it was a good transition kind of into this next topic. Have you seen"}, {"path": "tedlium_28253.wav", "duration": 7.14, "text": "we are ready to go for them as long as we know that we have prudent assumptions in our business plans."}, {"path": "tedlium_28254.wav", "duration": 7.14, "text": "from Cadiz, Ohio to Defiance, Ohio, the majority of which we are receiving full negotiated rates on."}, {"path": "tedlium_28255.wav", "duration": 7.14, "text": "The first quarter of 2016 continued to be the type of challenging environment we've been preparing for"}, {"path": "tedlium_28256.wav", "duration": 7.14, "text": "The pending acquisition of Hatteras is an extension of the capital allocation themes we have highlighted on our past earnings calls."}, {"path": "tedlium_28257.wav", "duration": 7.14, "text": "The yield that we're getting right now, it's not going to get much better. And generally the amount of molybdenum will fall."}, {"path": "tedlium_28258.wav", "duration": 7.14, "text": "reduce the revenue swings that have historically categorized our business as projects start and projects finish."}, {"path": "tedlium_28259.wav", "duration": 7.14, "text": "There've been no changes to our forecast since our previous announcement. Our forecast for revenue"}, {"path": "tedlium_28260.wav", "duration": 7.14, "text": "are a large and important customer segment for us, and the positive sales trend with these accounts is significant."}, {"path": "tedlium_28261.wav", "duration": 7.14, "text": "These are the types of things that the board reviews. It's just a little unfortunate that this one became a public matter."}, {"path": "tedlium_28262.wav", "duration": 7.14, "text": "But in terms of partners, there is not a single partner that is important for our sales development in"}, {"path": "tedlium_28263.wav", "duration": 7.14, "text": "If we would have waited a couple of days more, we would have seen here a positive figure."}, {"path": "tedlium_28264.wav", "duration": 7.14, "text": "I would like to take this opportunity to thank all our employees for their efforts over the past year."}, {"path": "tedlium_28265.wav", "duration": 7.14, "text": "is your relationship with your authors. One of the great strengths of this business is cost of goods sold relative to the return."}, {"path": "tedlium_28266.wav", "duration": 7.14, "text": "have more than a me-too offer out there and that we learn more deeply from our customers around the loyalty space."}, {"path": "tedlium_28267.wav", "duration": 7.14, "text": "Thanks, Doug. Before we open it up for questions, I would like to briefly touch on a few financial highlights from the quarter."}, {"path": "tedlium_28268.wav", "duration": 7.14, "text": "where we can both come out in a better position by negotiating the work upfront, being very open, transparent"}, {"path": "tedlium_28269.wav", "duration": 7.14, "text": "I do want to spend a moment reviewing the procedural steps and time line related to us making a corporate tax election."}, {"path": "tedlium_28270.wav", "duration": 7.14, "text": "So we're making this change, first and foremost, to simplify our tax structure to expand our eligible investor universe."}, {"path": "tedlium_28271.wav", "duration": 7.14, "text": "So an exciting deal and we think it's the right thing to do for this program to partner at this stage."}, {"path": "tedlium_28272.wav", "duration": 7.14, "text": "And I guess on Nexium, can you comment whether or not you have included an additional competitor in your guidance for this year for that product?"}, {"path": "tedlium_28273.wav", "duration": 7.14, "text": "The delays, which we believe have now been resolved, were associated with the customer's implementation of a new payment system."}, {"path": "tedlium_28274.wav", "duration": 7.14, "text": "This is not meant to be a shelf program, but rather one we believe we can execute within a reasonable period of time."}, {"path": "tedlium_28275.wav", "duration": 7.14, "text": "the strong unit economics of our enterprise business, which is a constantly increasing proportion of our total revenue,"}, {"path": "tedlium_28276.wav", "duration": 7.14, "text": "I would say internally, in terms of all our execution on our projects, we're on track. There's no issues."}, {"path": "tedlium_28277.wav", "duration": 7.14, "text": "They in turn allowed us to penetrate the Vancouver market at a time when we were almost"}, {"path": "tedlium_28278.wav", "duration": 7.14, "text": "Important risk factors that could cause actual results to differ from those contained in the forward-looking statements"}, {"path": "tedlium_28279.wav", "duration": 7.14, "text": "achieving the highest overall marks in their respective categories and regions based on customer surveys."}, {"path": "tedlium_28280.wav", "duration": 7.14, "text": "While the Oklahoma and non-Oklahoma footprint both experienced meaningful growth in the period,"}, {"path": "tedlium_28281.wav", "duration": 7.14, "text": "and the number of customers who are actually shopping at one of your stores increases in a meaningful way,"}, {"path": "tedlium_28282.wav", "duration": 7.14, "text": "finding concepts how to cycle that in a faster way because they come very fast, normally have a very good insight,"}, {"path": "tedlium_28283.wav", "duration": 7.14, "text": "whereas most markets have an equal number of diagnosed untreated patients as patients who are diagnosed and treated."}, {"path": "tedlium_28284.wav", "duration": 7.14, "text": "to put them into products that provide a better return from them than just a passive deposit account."}, {"path": "tedlium_28285.wav", "duration": 7.14, "text": "increasingly want us to be facing them from locations within the Eurozone, if that proves to be the case,"}, {"path": "tedlium_28286.wav", "duration": 7.14, "text": "We looked at selling that business, but quite frankly, we determined that we would get more by just"}, {"path": "tedlium_28287.wav", "duration": 7.14, "text": "With the acquisition offsetting the volume decline, I think the volume decline that we've experienced is one of timing,"}, {"path": "tedlium_28288.wav", "duration": 7.14, "text": "this culture and training all the way through the restaurant while Scott partners with her to take from"}, {"path": "tedlium_28289.wav", "duration": 7.14, "text": "Our focus on these products more than compensated for the decline in pure traditional business."}, {"path": "tedlium_28290.wav", "duration": 7.14, "text": "And I think maybe the most significant change enabling the conversation has been"}, {"path": "tedlium_28291.wav", "duration": 7.14, "text": "It's -- we suffer a little bit of not being as vocal about our successes as we should be."}, {"path": "tedlium_28292.wav", "duration": 7.14, "text": "While our management team has been very mindful of its operating performance, we are also focused on improvements to the balance sheet."}, {"path": "tedlium_28293.wav", "duration": 7.14, "text": "And that presumably, this will help with further payments on the surplus notes going forward."}, {"path": "tedlium_28294.wav", "duration": 7.14, "text": "and its ability to deliver sustainable, profitable growth over both the near and long term."}, {"path": "tedlium_28295.wav", "duration": 7.14, "text": "And that's also documented by the performance on ground. As I said before, we have tripled the"}, {"path": "tedlium_28296.wav", "duration": 7.14, "text": "So that is the part, the most important part of Argentina of the many different in Argentina compared with the previous"}, {"path": "tedlium_28297.wav", "duration": 7.14, "text": "amortization and was not in default in any movement. So we don't believe they don't have covenants, they don't have any argument"}, {"path": "tedlium_28298.wav", "duration": 7.14, "text": "So it is really quite an interesting time of enormous growth and opportunities"}, {"path": "tedlium_28299.wav", "duration": 7.14, "text": "That's part of that we have recognized that the market is getting more towards"}, {"path": "tedlium_28300.wav", "duration": 7.14, "text": "And we've got a lot of that going on, and it's very simple to apply. You are all welcome to try. We're looking for people in the South"}, {"path": "tedlium_28301.wav", "duration": 7.14, "text": "I'm just wondering if you're just starting with the new partner, potential new partners, are we looking at another"}, {"path": "tedlium_28302.wav", "duration": 7.14, "text": "not all of our brands are impacted equally relative to the speed at which we're recovering supply."}, {"path": "tedlium_28303.wav", "duration": 7.14, "text": "To that end, we have a higher mix of our new community pipeline weighted towards these 2 buyers segments."}, {"path": "tedlium_28304.wav", "duration": 7.14, "text": "Our clients are now more engaged in the process and our tax pros are providing more value-added expertise,"}, {"path": "tedlium_28305.wav", "duration": 7.14, "text": "from year to year and period to period. And so all of that has to be taken into account."}, {"path": "tedlium_28306.wav", "duration": 7.14, "text": "staying disciplined on expenses to create operating leverage and deploying capital to drive growth and shareholder returns."}, {"path": "tedlium_28307.wav", "duration": 7.14, "text": "In addition, we continue to believe that getting regulatory approval for grid modernization infrastructure in Texas"}, {"path": "tedlium_28308.wav", "duration": 7.14, "text": "you saw some increased promotional activity that is much more reflective of timing at a few of our bigger customers"}, {"path": "tedlium_28309.wav", "duration": 7.14, "text": "This is one thing. The other thing is probably more interesting or should be more interesting."}, {"path": "tedlium_28310.wav", "duration": 7.14, "text": "As a result and overall, the pipeline is stronger and better qualified than it ever has been before."}, {"path": "tedlium_28311.wav", "duration": 7.14, "text": "Importantly, percentage growth from the Chicago area was nearly double the growth from our other destination markets"}, {"path": "tedlium_28312.wav", "duration": 7.14, "text": "This new integration is allowing customers to reduce costs in their manufacturing operations while increasing production rates."}, {"path": "tedlium_28313.wav", "duration": 7.14, "text": "where it is for the type of product which are paid all by the reimbursement."}, {"path": "tedlium_28314.wav", "duration": 7.14, "text": "the people who are fitting the hearing aids are mainly focused on the technology, don't have to worry about commercial terms."}, {"path": "tedlium_28315.wav", "duration": 7.14, "text": "And I have to say I couldn't be happier with our leadership team and, indeed, the entire team we're assembling here."}, {"path": "tedlium_28316.wav", "duration": 7.14, "text": "as state tax revenues have fallen short, which is causing the legislature to make cuts to various parts of the state budget."}, {"path": "tedlium_28317.wav", "duration": 7.14, "text": "First of all, what we've talked about is 1 point of system sales. And just to roll forward system sales, the last time we talked about it was in our"}, {"path": "tedlium_28318.wav", "duration": 7.14, "text": "In Q3, we continued to show strong growth across the Nordic region both organic and acquired."}, {"path": "tedlium_28319.wav", "duration": 7.14, "text": "With the new disclosures and now 6 months behind us in terms of how well we feel about"}, {"path": "tedlium_28320.wav", "duration": 7.14, "text": "We will expect to maintain at least that level of growth through 2017, but we will assess that when we get there."}, {"path": "tedlium_28321.wav", "duration": 7.14, "text": "But we expect to overcome these headwinds with continued growth in specialty ingredients and good cost management."}, {"path": "tedlium_28322.wav", "duration": 7.14, "text": "Litigation expenses consists solely of expenses associated with the Alnylam litigation."}, {"path": "tedlium_28323.wav", "duration": 7.14, "text": "The ups and downs sometime relate to the temporary use of consulting resources and from some nonoperating costs."}, {"path": "tedlium_28324.wav", "duration": 7.14, "text": "In the first quarter of 2017 as compared to the same quarter of the prior year and as a percentage of total revenue,"}, {"path": "tedlium_28325.wav", "duration": 7.14, "text": "We look forward to continuing to execute on our strategic initiatives and driving value for our shareholders."}, {"path": "tedlium_28326.wav", "duration": 7.14, "text": "grew very fast. And now we are investing in Lanvin because we think that Lanvin has"}, {"path": "tedlium_28327.wav", "duration": 7.14, "text": "I don't know the number offhand. I can tell you that the demand is good, very good. So"}, {"path": "tedlium_28328.wav", "duration": 7.14, "text": "increased volume came from, the municipal lending side of that would be on the lower end of a normalized yield,"}, {"path": "tedlium_28329.wav", "duration": 7.14, "text": "I would like to remind the participants that the presentation does include forward-looking statements,"}, {"path": "tedlium_28330.wav", "duration": 7.14, "text": "that have happened. So there are many markets where we pay above minimum wage. There are some that we pay at minimum wage. These are generally the higher"}, {"path": "tedlium_28331.wav", "duration": 7.14, "text": "Most importantly, we delivered these results without incurring any severe injuries or accidents during the quarter."}, {"path": "tedlium_28332.wav", "duration": 7.14, "text": "with the introduction of the new customer bag notification tool, which went live in July of this summer."}, {"path": "tedlium_28333.wav", "duration": 7.14, "text": "Is there a concern at all that will change any of the demand trends as we go through the year?"}, {"path": "tedlium_28334.wav", "duration": 7.14, "text": "We have set up innovation centers across the world to serve as innovation showcases which will help us initiate conversations with customers"}, {"path": "tedlium_28335.wav", "duration": 7.14, "text": "In a moment, I'll dive into our business results. But first, let me set the stage with some brief comments on the housing market."}, {"path": "tedlium_28336.wav", "duration": 7.14, "text": "We have noted additions to our management ranks to augment our scientific expertise and operational capabilities,"}, {"path": "tedlium_28337.wav", "duration": 7.14, "text": "and we have begun to shift workstreams to the facility. We continue to actively market the facility"}, {"path": "tedlium_28338.wav", "duration": 7.14, "text": "In addition, we continue to initiate new and expand existing strategic relationships with our clients."}, {"path": "tedlium_28339.wav", "duration": 7.14, "text": "Some examples of these initiatives have been highlighted to the right -- sorry, to the left -- against each of these themes."}, {"path": "tedlium_28340.wav", "duration": 7.14, "text": "Can we go and see if there's anything on the Web or the phones? There aren't any questions on the Webcast or on the phones, Mike."}, {"path": "tedlium_28341.wav", "duration": 7.14, "text": "So what we did was extract the portions of those strategies that made sense, embedded them in the customer book,"}, {"path": "tedlium_28342.wav", "duration": 7.14, "text": "company to allocate us at our normal market share. The calls they would get from our competitors would be"}, {"path": "tedlium_28343.wav", "duration": 7.14, "text": "marketing expenses and other things. And how you see that trending going forward?"}, {"path": "tedlium_28344.wav", "duration": 7.14, "text": "Social media buzz around this launch has been incredible and sales have been growing at a fast pace."}, {"path": "tedlium_28345.wav", "duration": 7.14, "text": "and constantly review our cash requirements in areas to invest in, in order to improve our shareholder return."}, {"path": "tedlium_28346.wav", "duration": 7.14, "text": "Notably, as we have discussed for some time, we have remained disciplined as we continue to see rich valuations in the marketplace"}, {"path": "tedlium_28347.wav", "duration": 7.14, "text": "Now turning to Slide 11, you can see an overview of this quarter's performance in terms of earnings per share."}, {"path": "tedlium_28348.wav", "duration": 7.14, "text": "has created a vibrant business that is delivering consistent growth and share gains."}, {"path": "tedlium_28349.wav", "duration": 7.14, "text": "it could have been some smaller parts of some packages that we could have been interested in. But"}, {"path": "tedlium_28350.wav", "duration": 7.14, "text": "So we are making good progress on our key initiatives, but we still have opportunities to enhance what we're already doing."}, {"path": "tedlium_28351.wav", "duration": 7.14, "text": "I believe this has to do with bad press and all the things that"}, {"path": "tedlium_28352.wav", "duration": 7.14, "text": "on the actions you're taking now in terms of benefit for '17 and later?"}, {"path": "tedlium_28353.wav", "duration": 7.14, "text": "conversion of a significant new client, as well as the growth associated with our wealth management platform business."}, {"path": "tedlium_28354.wav", "duration": 7.14, "text": "I think we've been pretty consistent in admitting this and in saying that the situation is such"}, {"path": "tedlium_28355.wav", "duration": 7.14, "text": "We believe this includes a good balance of returning cash to shareholders while still investing in the future growth of our company."}, {"path": "tedlium_28356.wav", "duration": 7.14, "text": "Our successful conversion record and domain expertise is unmatched in our industry, something we take great pride in."}, {"path": "tedlium_28357.wav", "duration": 7.14, "text": "Income continues to be supported by record levels of employment, whilst pressure on consumers"}, {"path": "tedlium_28358.wav", "duration": 7.14, "text": "Significant factors that could cause results to differ from those anticipated are described in our earnings release and our filings with the SEC."}, {"path": "tedlium_28359.wav", "duration": 7.14, "text": "and it is decidedly unglamorous. And I think the most important thing to do in order to drive that business is to"}, {"path": "tedlium_28360.wav", "duration": 7.14, "text": "For Crisco, a decline was anticipated, reflecting loss distribution at a key retailer in the club channel."}, {"path": "tedlium_28361.wav", "duration": 7.14, "text": "as the company hasn't done anything wrong and actually have been a victim of fraud."}, {"path": "tedlium_28362.wav", "duration": 7.14, "text": "examples of things in our road map that are competing for resources and just kind of prioritization. So"}, {"path": "tedlium_28363.wav", "duration": 7.14, "text": "As noted, the normal seasonality of Part D will result in lower reported segment profit in the first half of the year"}, {"path": "tedlium_28364.wav", "duration": 7.14, "text": "all of the customers in the market have seen what happened at San'an. So"}, {"path": "tedlium_28365.wav", "duration": 7.14, "text": "if you allow me to use this well-used analogy. So I think it is a testament to the agility of our people"}, {"path": "tedlium_28366.wav", "duration": 7.14, "text": "but conversion has been lower. So our customers are taking more time to make their decision as their confidence levels remain a bit lower."}, {"path": "tedlium_28367.wav", "duration": 7.14, "text": "This was taken from a public information source. It's a summary of"}, {"path": "tedlium_28368.wav", "duration": 7.14, "text": "We continue to expect low- to mid-single-digit growth for this franchise in the second half of the year."}, {"path": "tedlium_28369.wav", "duration": 7.14, "text": "contracts on your existing book of business, which frees up more dollars for investments? I understand you expect"}, {"path": "tedlium_28370.wav", "duration": 7.14, "text": "and -- of mining operators who I think can better predict going forward. We haven't seen any recovery"}, {"path": "tedlium_28371.wav", "duration": 7.14, "text": "I think one of the larger themes at the Paris Air Show was that defense spending actually looks better"}, {"path": "tedlium_28372.wav", "duration": 7.14, "text": "company like Compugen. Which I think, and I think that this is the reason that they are engaged with the company,"}, {"path": "tedlium_28373.wav", "duration": 7.14, "text": "Brazil is also contracting economically. In particular, orders from our customers in white goods"}, {"path": "tedlium_28374.wav", "duration": 7.14, "text": "key leading indicator for shipments for the balance of this year and beyond have strengthened in important ways."}, {"path": "tedlium_28375.wav", "duration": 7.14, "text": "Moreover, as part of its financial strategy, the company seeks to amplify the options available for funding sources."}, {"path": "tedlium_28376.wav", "duration": 7.14, "text": "We're pleased to also be able to provide an update on our proposed strategic partnership with Oaktree Capital Management."}, {"path": "tedlium_28377.wav", "duration": 7.14, "text": "Our promotion strategy was effective through the holiday season, a period where most retailers were aggressively discounting."}, {"path": "tedlium_28378.wav", "duration": 7.14, "text": "I think we've been patient and thoughtful, and we will continue to be that. But if we find something that we feel is"}, {"path": "tedlium_28379.wav", "duration": 7.14, "text": "ahead of a transition to a new distribution facility. As part of our ongoing efficiency initiatives,"}, {"path": "tedlium_28380.wav", "duration": 7.14, "text": "We shared with you that this was to be a long-term journey to field growth and profits for West."}, {"path": "tedlium_28381.wav", "duration": 7.14, "text": "in the fourth quarter of '18. And this initiative of liability management continues underway."}, {"path": "tedlium_28382.wav", "duration": 7.14, "text": "This shows me that we are on track to reach cash flow breakeven and GAAP income this year."}, {"path": "tedlium_28383.wav", "duration": 7.14, "text": "And last but not least, as you know, we've invested also substantially in the last couple of years and will continue to do so"}, {"path": "tedlium_28384.wav", "duration": 7.14, "text": "Moving forward, there are 2 ways how we're going to be engaging with the client, either on an advisory basis."}, {"path": "tedlium_28385.wav", "duration": 7.14, "text": "So is it that they're going somewhere else? Because they've got to supply product to"}, {"path": "tedlium_28386.wav", "duration": 7.14, "text": "We remain committed to using the proceeds to eliminate our total debt once the transaction is completed."}, {"path": "tedlium_28387.wav", "duration": 7.14, "text": "We are learning a lot while operating our automated advertising platform, and we are constantly improving the way we sell and serve advertising."}, {"path": "tedlium_28388.wav", "duration": 7.14, "text": "quarters that has a big impact on margin. There are impacts on -- from"}, {"path": "tedlium_28389.wav", "duration": 7.14, "text": "had a significantly greater likelihood of disability improvement than those who initiated treatment later in the course of their disease."}, {"path": "tedlium_28390.wav", "duration": 7.14, "text": "some that will be more and more interesting. And we won't hesitate to continue to commit capital"}, {"path": "tedlium_28391.wav", "duration": 7.14, "text": "As Bob discussed, our sales associate turnover continued to improve for the third straight year."}, {"path": "tedlium_28392.wav", "duration": 7.14, "text": "This may be a surprise to some of you because the pattern has been that the interim dividend has remained flat while the full year dividend has increased,"}, {"path": "tedlium_28393.wav", "duration": 7.14, "text": "Can you share or provide some more color about the success you're seeing here in the maturation of these dealerships,"}, {"path": "tedlium_28394.wav", "duration": 7.14, "text": "when I was younger, I used to think you could put these restructuring programs in place and not lose any revenue in the short run."}, {"path": "tedlium_28395.wav", "duration": 7.14, "text": "and a little apology for a delay in the release of those results this morning which was due to"}, {"path": "tedlium_28396.wav", "duration": 7.14, "text": "I also want to point out that even though current forwards are below their year-to-date highs, Vistra was able to hedge"}, {"path": "tedlium_28397.wav", "duration": 7.14, "text": "We actually have an idea which I don't want to front run right now, because we're trying to work this with a group of people that we think"}, {"path": "tedlium_28398.wav", "duration": 7.14, "text": "I think if folks are holding out for that, I believe that has an extremely low chance of success"}, {"path": "tedlium_28399.wav", "duration": 7.14, "text": "Also available on our website are a copy of today's investor presentation, our 10-Q and the related earnings release."}, {"path": "tedlium_28400.wav", "duration": 7.14, "text": "During Q1, we realized revenues from our previously announced win of a mobile carrier in the Middle East."}, {"path": "tedlium_28401.wav", "duration": 7.14, "text": "and then whatever we have left available into the export market. But like we've said over time,"}, {"path": "tedlium_28402.wav", "duration": 7.14, "text": "Thank you, Denise, and thanks to all of you for joining us today to review the financial results of ImmuCell Corporation"}, {"path": "tedlium_28403.wav", "duration": 7.1399375, "text": "with expanding gross and operating margins, strong earnings growth and multiple drivers for incremental revenues"}, {"path": "tedlium_28404.wav", "duration": 7.1100625, "text": "organic business other than to continue to reflect the lower cooler sales to this customer."}, {"path": "tedlium_28405.wav", "duration": 7.1100625, "text": "of Australia and in New Zealand, but we do remain cautious about trying to predict the market in the short run."}, {"path": "tedlium_28406.wav", "duration": 7.1100625, "text": "So overall, the hydration portfolio is strong. And our goal is to make sure as a repertoire category,"}, {"path": "tedlium_28407.wav", "duration": 7.1100625, "text": "to zero-equivalent emission with no commercial constraints on supply or technological readiness."}, {"path": "tedlium_28408.wav", "duration": 7.11, "text": "And my last question is related to the strategic review which I understand can only take place after"}, {"path": "tedlium_28409.wav", "duration": 7.11, "text": "In addition to these various organizational changes that entered into effect this year,"}, {"path": "tedlium_28410.wav", "duration": 7.11, "text": "Then at the end of May, we completed enrollment and dosing of the entire SAD portion of the study in healthy volunteers."}, {"path": "tedlium_28411.wav", "duration": 7.11, "text": "Profits and underwriting were again significant, supported by ongoing reserve releases from our excellent claims management"}, {"path": "tedlium_28412.wav", "duration": 7.11, "text": "These statements involve a number of risks and uncertainties that could cause actual results to differ materially."}, {"path": "tedlium_28413.wav", "duration": 7.11, "text": "For a description of the risks associated with Mogo's business, please refer to the company's filings for the third quarter,"}, {"path": "tedlium_28414.wav", "duration": 7.11, "text": "Similarly, in Europe, the dollar value of sales there have declined with the decline in the value of the euro."}, {"path": "tedlium_28415.wav", "duration": 7.11, "text": "I'll come back to this concept of higher usage in a minute when I talk about our network acquisition costs and our related buying strategy."}, {"path": "tedlium_28416.wav", "duration": 7.11, "text": "and that's why we're going to have a financial intermediate holding company as I mentioned earlier in my presentation."}, {"path": "tedlium_28417.wav", "duration": 7.11, "text": "We like managing to reach the number, so we will make adjustments so that we could reach our numbers."}, {"path": "tedlium_28418.wav", "duration": 7.11, "text": "Look for more about this in the future quarters as we experiment with new opportunities along with our distribution partners."}, {"path": "tedlium_28419.wav", "duration": 7.11, "text": "really on track to deliver on the promises we made 2 years ago. We are doing"}, {"path": "tedlium_28420.wav", "duration": 7.11, "text": "We continue to perform well in quarter 4, with growth above the selected segment."}, {"path": "tedlium_28421.wav", "duration": 7.11, "text": "delivering higher revenues and functional currency and leveraging a reduced fixed cost base from their transformation initiatives."}, {"path": "tedlium_28422.wav", "duration": 7.11, "text": "We've been seeing improved quoting activity and order flows though order sizes have been much smaller."}, {"path": "tedlium_28423.wav", "duration": 7.11, "text": "It is important to note that technology expenses have grown much faster than non-technology expenses"}, {"path": "tedlium_28424.wav", "duration": 7.11, "text": "and when you just look at the overall math of the company, I think we've got very good line of sight to being able to"}, {"path": "tedlium_28425.wav", "duration": 7.11, "text": "We anticipate regional demand for composite solutions will continue, which is why we're building a fiberglass plant in Saudi Arabia,"}, {"path": "tedlium_28426.wav", "duration": 7.11, "text": "What are the critical steps? And specifically with CST, how do you see the entire integration playing out?"}, {"path": "tedlium_28427.wav", "duration": 7.11, "text": "This is just one of the many things we do today with Google, who has grown to be one of our largest Watch clients."}, {"path": "tedlium_28428.wav", "duration": 7.11, "text": "our ability, one, for it to be attractive to certain sellers, especially by the tax nature of it."}, {"path": "tedlium_28429.wav", "duration": 7.11, "text": "A discussion of risks and uncertainties is included in our Form 10-Q and other SEC filings."}, {"path": "tedlium_28430.wav", "duration": 7.11, "text": "so please refer to the press releases for the associated risk of such statements. I would now like to"}, {"path": "tedlium_28431.wav", "duration": 7.11, "text": "clearly, I think all of us have been pleasantly surprised by just how stronger markets have been even in the last 6 months. And even as we look at,"}, {"path": "tedlium_28432.wav", "duration": 7.11, "text": "incredibly well. So that's going to be our next step from an investment in our food quality. As we said on the call, we still expect"}, {"path": "tedlium_28433.wav", "duration": 7.11, "text": "So that your questions can be included, we request that you call in to the telephone number given in the press release from last night."}, {"path": "tedlium_28434.wav", "duration": 7.11, "text": "We will provide updates in the coming months as we work through these processes as well as our assessment for our remaining international footprint."}, {"path": "tedlium_28435.wav", "duration": 7.11, "text": "industry trends, company initiatives and other future events. You are cautioned that such statements are simply predictions,"}, {"path": "tedlium_28436.wav", "duration": 7.11, "text": "We disagree with this draft decision for a few reasons. It creates new uncertainty in the market."}, {"path": "tedlium_28437.wav", "duration": 7.11, "text": "I think there are 2 things. And we've experienced this before"}, {"path": "tedlium_28438.wav", "duration": 7.11, "text": "but we're certainly going to share with you in the next few seconds some goals that we have for this year."}, {"path": "tedlium_28439.wav", "duration": 7.11, "text": "We are ready and we have already begun to meet these challenges and are very excited about our future."}, {"path": "tedlium_28440.wav", "duration": 7.11, "text": "in our next slide, we talk about net income. We see here"}, {"path": "tedlium_28441.wav", "duration": 7.11, "text": "Information on these risks and uncertainties and other information affecting our business and operating results"}, {"path": "tedlium_28442.wav", "duration": 7.11, "text": "And I think just with the most recent advertising, we made a little pivot towards reminding people"}, {"path": "tedlium_28443.wav", "duration": 7.11, "text": "The second is content. We're seeing a really big content opportunity. We rolled out"}, {"path": "tedlium_28444.wav", "duration": 7.11, "text": "near-term items that were impacting that. Could you just go through what exactly that was and maybe how much of an impact that had?"}, {"path": "tedlium_28445.wav", "duration": 7.11, "text": "that's a second example. And then we'll see what happens on the negotiated discounts, that's still in front of us. But what I would say about"}, {"path": "tedlium_28446.wav", "duration": 7.11, "text": "It is very good for the patients, it's very good for the society and it will be -- it's certainly part of the future."}, {"path": "tedlium_28447.wav", "duration": 7.11, "text": "I think this is the point where I hand over to Kimmo to say a few words about"}, {"path": "tedlium_28448.wav", "duration": 7.11, "text": "We believe we're highly complementary not competitive and our research tells us this across all of our venues."}, {"path": "tedlium_28449.wav", "duration": 7.11, "text": "we want to be poised to take advantage of opportunities in the future. I assure you this decision was not made lightly"}, {"path": "tedlium_28450.wav", "duration": 7.11, "text": "So when we place the order with the supplier -- when we place an order with the customer and the supplier, we know what the margin is."}, {"path": "tedlium_28451.wav", "duration": 7.11, "text": "how does an individual asset integrate into the platform but how does an individual asset,"}, {"path": "tedlium_28452.wav", "duration": 7.11, "text": "not only to an increase in NYMEX pricing but also the improvement in regional basis differentials during the quarter,"}, {"path": "tedlium_28453.wav", "duration": 7.11, "text": "These capacity issues have been subsequently resolved in -- during October production."}, {"path": "tedlium_28454.wav", "duration": 7.11, "text": "equivalent per day quarter-over-quarter is primarily attributable to the decreased activity in the Pinedale field."}, {"path": "tedlium_28455.wav", "duration": 7.11, "text": "or are you facing more pushback from customers at this stage of the cycle than you would typically see?"}, {"path": "tedlium_28456.wav", "duration": 7.11, "text": "primarily reflects the impact of changes in service mix between our transaction and annuity businesses."}, {"path": "tedlium_28457.wav", "duration": 7.11, "text": "drives operational efficiency and provides a competitive advantage with virtual customers."}, {"path": "tedlium_28458.wav", "duration": 7.11, "text": "we could look at adding a little bit of leverage onto the balance sheet. We have none currently."}, {"path": "tedlium_28459.wav", "duration": 7.11, "text": "We're investing time and resources to control and acquire land positions that fit within our operating strategies."}, {"path": "tedlium_28460.wav", "duration": 7.11, "text": "your balance of foreign cash as a percent of total cash, how does that come into the consideration?"}, {"path": "tedlium_28461.wav", "duration": 7.11, "text": "this stuff, I think we should get out sort of necessarily thinking about it in those terms. There are events"}, {"path": "tedlium_28462.wav", "duration": 7.11, "text": "So -- and obviously, we experienced a very volatile interest rate market"}, {"path": "tedlium_28463.wav", "duration": 7.11, "text": "The systems that are not subject to the quota really are those in military hospitals in Hong Kong."}, {"path": "tedlium_28464.wav", "duration": 7.11, "text": "And this concludes today's conference. And as a reminder, a replay for this conference will be available for 7 days"}, {"path": "tedlium_28465.wav", "duration": 7.11, "text": "about 70% of our outflows from SIPP on Wrap, for instance, goes back to the customer in terms of regular income"}, {"path": "tedlium_28466.wav", "duration": 7.11, "text": "our marketing group continues to do an outstanding job creating demand and is the key reason for our strong organic growth."}, {"path": "tedlium_28467.wav", "duration": 7.11, "text": "I don't think many analysts have allocated much value to our financial investments and ability to generate value out of that."}, {"path": "tedlium_28468.wav", "duration": 7.11, "text": "already work closely with LinkedIn in a number of different areas. We are looking at ways to deepen that relationship."}, {"path": "tedlium_28469.wav", "duration": 7.11, "text": "And the plan is for that to resolve itself for the most part in the current quarter."}, {"path": "tedlium_28470.wav", "duration": 7.11, "text": "At the same time, our current trends confirm that we are on track to hit full productivity by the end of the summer."}, {"path": "tedlium_28471.wav", "duration": 7.11, "text": "so that was the first they could file. And we get notified a little bit after that, and they always file as soon as they can."}, {"path": "tedlium_28472.wav", "duration": 7.11, "text": "the fact that people are remaining on therapy, and we're building up a very strong safety database as a consequence of that. So"}, {"path": "tedlium_28473.wav", "duration": 7.11, "text": "Interruption incentive schemes include customer interruptions and customer minutes lost."}, {"path": "tedlium_28474.wav", "duration": 7.11, "text": "As shown at the top of this slide, we have earned an A credit rating through our years of cumulative favorable performance."}, {"path": "tedlium_28475.wav", "duration": 7.11, "text": "We have been active in building that investment capacity through the recent expansion of line of credit,"}, {"path": "tedlium_28476.wav", "duration": 7.11, "text": "As with the Alexion collaboration, most of this will be recognized as revenue over the next 3 years."}, {"path": "tedlium_28477.wav", "duration": 7.11, "text": "Another reason we're seeing these higher loan amounts is due to the direct mail for large loans,"}, {"path": "tedlium_28478.wav", "duration": 7.11, "text": "and collected a significant portion of the anticipated surplus of outstanding accounts receivable"}, {"path": "tedlium_28479.wav", "duration": 7.11, "text": "At the end of 2018, there was impact from volatility in the capital markets."}, {"path": "tedlium_28480.wav", "duration": 7.11, "text": "for additional information concerning factors that could cause actual results to differ from the information discussed this morning."}, {"path": "tedlium_28481.wav", "duration": 7.11, "text": "delivering higher resolution at extremely fast acquisition speeds for demanding vision applications."}, {"path": "tedlium_28482.wav", "duration": 7.11, "text": "One would be what we define in emerging markets where there is government intervention or government construction"}, {"path": "tedlium_28483.wav", "duration": 7.11, "text": "with the exiting position of Europe. I think they are well positioned from a margin and a profitability perspective now"}, {"path": "tedlium_28484.wav", "duration": 7.11, "text": "So it's not just one individual piece, but it's the collection of those pieces that make this very attractive."}, {"path": "tedlium_28485.wav", "duration": 7.11, "text": "Both the pension supplement accounting charge and the bonuses are reflected in those results on"}, {"path": "tedlium_28486.wav", "duration": 7.11, "text": "This underscores the importance of the initiative we have underway to transform our front-end patient and physician experience."}, {"path": "tedlium_28487.wav", "duration": 7.11, "text": "a few things going on that are moving us in the right direction. And I think if you look at"}, {"path": "tedlium_28488.wav", "duration": 7.11, "text": "The ratio of our total operating expenses, excluding interest expense as a percentage of our average total assets,"}, {"path": "tedlium_28489.wav", "duration": 7.11, "text": "I'll now briefly touch on some fundamental trends in our businesses, starting with our domestic businesses."}, {"path": "tedlium_28490.wav", "duration": 7.11, "text": "Thank you for taking the time to listen in on our fiscal 2017 results conference call."}, {"path": "tedlium_28491.wav", "duration": 7.11, "text": "realistically expect it to be as strong as it was the first quarter? I'd love that. I'm not sure the team would love me to say that. But"}, {"path": "tedlium_28492.wav", "duration": 7.11, "text": "would you be willing to increase the leverage on your balance sheet and to what levels?"}, {"path": "tedlium_28493.wav", "duration": 7.11, "text": "Looking forward, we continue to proactively monitor all accounts as well as developments within the residential housing sector."}, {"path": "tedlium_28494.wav", "duration": 7.11, "text": "partners to solve thousands of engineering challenges and yield many scientific discoveries."}, {"path": "tedlium_28495.wav", "duration": 7.11, "text": "very much beneficial coming in the first quarter. And we also had improved operating performance coming into the first quarter."}, {"path": "tedlium_28496.wav", "duration": 7.11, "text": "so that we can lower our leverage to less than 3x EBITDA within 18 months of the close."}, {"path": "tedlium_28497.wav", "duration": 7.11, "text": "And not to peek too far into the future, but one of our distinctive advantages is our personal relationships in this marketplace."}, {"path": "tedlium_28498.wav", "duration": 7.11, "text": "We are targeting more than 300 million active accounts on our platform"}, {"path": "tedlium_28499.wav", "duration": 7.11, "text": "This concludes today's conference call. Thank you for your participation. You may now disconnect."}, {"path": "tedlium_28500.wav", "duration": 7.11, "text": "the guidance that we gave in our Capital Markets Day forecast. And again, that's one of the reasons that"}, {"path": "tedlium_28501.wav", "duration": 7.11, "text": "All of our businesses are going to have to add value for shareholders. Our focus is"}, {"path": "tedlium_28502.wav", "duration": 7.11, "text": "a market question in that is there something different about the structure, weather it's distribution"}, {"path": "tedlium_28503.wav", "duration": 7.11, "text": "Generally, these results reflect a trend of increasing premiums earned, which has largely offset higher losses in claims."}, {"path": "tedlium_28504.wav", "duration": 7.11, "text": "Our Language Solutions business derived its revenue primarily from the financial, life sciences and legal industries."}, {"path": "tedlium_28505.wav", "duration": 7.11, "text": "but around the world. And our results are very strong. And again, while it's difficult to speculate about a label this early"}, {"path": "tedlium_28506.wav", "duration": 7.11, "text": "Words of expression reflecting optimism, satisfaction with current prospects as well as words such as believe, intend,"}, {"path": "tedlium_28507.wav", "duration": 7.11, "text": "We are not obliged to buy -- to make everything we sell, and we will find alternative solutions for our customers."}, {"path": "tedlium_28508.wav", "duration": 7.11, "text": "good weather and additional local vacation days during the summer period."}, {"path": "tedlium_28509.wav", "duration": 7.11, "text": "which is more than offsetting the upside in the first quarter. Is that a fair way to think about the guidance? It looks pretty straightforward. I just wanted to confirm that."}, {"path": "tedlium_28510.wav", "duration": 7.11, "text": "And I would add that we do have the ability to flex up our container order if market conditions improve."}, {"path": "tedlium_28511.wav", "duration": 7.11, "text": "around our hotels in New York, we've actually continued to have growth, both in room nights as well as in rates."}, {"path": "tedlium_28512.wav", "duration": 7.11, "text": "I think what I will say to you is that I -- my remarks that I made earlier that I do expect there to be"}, {"path": "tedlium_28513.wav", "duration": 7.11, "text": "which are expected to offset the margin dilution from the handful of recovery projects ramping up through the year-end."}, {"path": "tedlium_28514.wav", "duration": 7.11, "text": "Finally, I think it's important to spend some time discussing the upcoming infrastructure opportunities at Construction Materials."}, {"path": "tedlium_28515.wav", "duration": 7.11, "text": "so there certainly is that potential that we would move right into a registration trial. But let's wait and see the data."}, {"path": "tedlium_28516.wav", "duration": 7.11, "text": "The cash effect of this charge and the existing reserve will be incurred over the next 15-plus years."}, {"path": "tedlium_28517.wav", "duration": 7.11, "text": "Our Phase I study for pediatrics is enrolling and the randomized controlled trial is planned for the second half of this year."}, {"path": "tedlium_28518.wav", "duration": 7.11, "text": "is that starting to swing your way to put up those types of sequential leverage numbers?"}, {"path": "tedlium_28519.wav", "duration": 7.11, "text": "overall earnings as a percent of sales will continue to be flat to slightly up even though it's on the lower sales."}, {"path": "tedlium_28520.wav", "duration": 7.11, "text": "for the last several quarters due in part to very strong Rx sales that have been double digit for the last several quarters."}, {"path": "tedlium_28521.wav", "duration": 7.11, "text": "margin growth through improved pricing, operational efficiency and supply chain optimization."}, {"path": "tedlium_28522.wav", "duration": 7.11, "text": "The other thing that's not really thrown here yet is a full impact of Green Hills, which will come through in the second half in the development line."}, {"path": "tedlium_28523.wav", "duration": 7.11, "text": "We are encouraged by these developments and applaud politicians moving in the right direction on this issue."}, {"path": "tedlium_28524.wav", "duration": 7.11, "text": "Second question would be whether you could comment on the impact of supply chain disruptions"}, {"path": "tedlium_28525.wav", "duration": 7.11, "text": "We just think that market is deep enough. It's deep enough for a project, particularly, one that delivers rich LNG, at a time where"}, {"path": "tedlium_28526.wav", "duration": 7.11, "text": "The first risk was the sales force in the CSS segment and the integration and our significant"}, {"path": "tedlium_28527.wav", "duration": 7.11, "text": "And just overall equipment revenues as well came in a little bit lower. So I think some of those adjustments."}, {"path": "tedlium_28528.wav", "duration": 7.11, "text": "market, we really have not seen any material improvement when you think about the business around the world. A little bit of"}, {"path": "tedlium_28529.wav", "duration": 7.11, "text": "As I mentioned previously, we believe the current price of our stock is significantly undervalued."}, {"path": "tedlium_28530.wav", "duration": 7.11, "text": "We are excited about E3 and expect to hear major news on virtual reality as well as potential new consoles."}, {"path": "tedlium_28531.wav", "duration": 7.11, "text": "but are you seeing some of this weakness kind of translate into other freighter assets? I'm wondering if you could give us some color here, maybe"}, {"path": "tedlium_28532.wav", "duration": 7.11, "text": "lease revenue and then you had asset sales. And we do expect a fair bit of selling also here in the fourth quarter."}, {"path": "tedlium_28533.wav", "duration": 7.11, "text": "I think it's a whole conversation of something that we've been at and working on for a number of years that built a relationship with the consumer,"}, {"path": "tedlium_28534.wav", "duration": 7.11, "text": "the people that just don't want to live next door to a 2-story with a bunch of kids. And those buyers are out there."}, {"path": "tedlium_28535.wav", "duration": 7.11, "text": "for our pricing, so to -- in other words, to make it a little less variable than it's been in the past."}, {"path": "tedlium_28536.wav", "duration": 7.11, "text": "Because of the work that's been done, and frankly because of the way we're going to manage the business going forward, we will capture more scale benefits."}, {"path": "tedlium_28537.wav", "duration": 7.11, "text": "So the way I look at this year, next year is we're going to basically use up about 40 DUCs in our inventory"}, {"path": "tedlium_28538.wav", "duration": 7.11, "text": "But not only cars -- as you can see in the slide, we also received orders for a new electric loader"}, {"path": "tedlium_28539.wav", "duration": 7.11, "text": "China and that influences not only our log export demand, but also our demand from"}, {"path": "tedlium_28540.wav", "duration": 7.11, "text": "I am proud to be part of the American Midstream team, and I commend everyone here for their outstanding operating performance and safety record."}, {"path": "tedlium_28541.wav", "duration": 7.11, "text": "retail banners to make sure we have a strong assortment that's priced right, aggressive promo with an eye that's making sure that it's profitable."}, {"path": "tedlium_28542.wav", "duration": 7.11, "text": "I also think we did a better job of managing our working capital within the balance sheet, and that's just a maturing business getting better at what it does. So"}, {"path": "tedlium_28543.wav", "duration": 7.11, "text": "And this does conclude today's call. Thank you, everyone, for your participation. You may disconnect at any time and have a great day."}, {"path": "tedlium_28544.wav", "duration": 7.11, "text": "This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_28545.wav", "duration": 7.11, "text": "And more importantly, we continue to make important investments into our business to set us up for the future."}, {"path": "tedlium_28546.wav", "duration": 7.11, "text": "This was the result of weaker traffic during the quarter due in part to a shift in our promotional strategy."}, {"path": "tedlium_28547.wav", "duration": 7.11, "text": "In addition to the press release distributed last evening, a quarterly supplemental package with further detail on our results"}, {"path": "tedlium_28548.wav", "duration": 7.11, "text": "from one of our minority interest investment and marked to market foreign exchange gains on currency hedges."}, {"path": "tedlium_28549.wav", "duration": 7.11, "text": "in terms of is it more balanced towards -- shifting towards oncology? Are you still thinking about expanding in the addiction space?"}, {"path": "tedlium_28550.wav", "duration": 7.11, "text": "they have a very high likelihood of doubling over the next 3 years or so. And so as we wrap up,"}, {"path": "tedlium_28551.wav", "duration": 7.11, "text": "Thanks, Bill, and good morning, everyone. Let me begin by indicating that our strong first quarter numbers"}, {"path": "tedlium_28552.wav", "duration": 7.11, "text": "we look forward to speaking to you again on our second quarter call in early August. Thank you, and have a great day."}, {"path": "tedlium_28553.wav", "duration": 7.11, "text": "both of which are a reflection of our continued commitment to our core value of supporting the communities in which we live and work."}, {"path": "tedlium_28554.wav", "duration": 7.11, "text": "Demand for semiconductor plate has been strong and is expected to remain steady for the balance of the year."}, {"path": "tedlium_28555.wav", "duration": 7.11, "text": "rough feel for 2016 CapEx at this point, and any commentary you can make on working capital as well"}, {"path": "tedlium_28556.wav", "duration": 7.1099375, "text": "Similar to the third quarter, we completed several new investments in the fourth quarter that continued to change the complexion of our balance sheet."}, {"path": "tedlium_28557.wav", "duration": 7.08, "text": "there may be untoward consequences biologically because as I alluded to in my remarks,"}, {"path": "tedlium_28558.wav", "duration": 7.08, "text": "We've been diving into our focus on efficiency and expense control. That process is going to bear some great fruit as we look"}, {"path": "tedlium_28559.wav", "duration": 7.08, "text": "I think there were -- well, I don't think -- I know that there were operators in Europe -- smaller operators in Europe"}, {"path": "tedlium_28560.wav", "duration": 7.08, "text": "and we look forward to continuing to report on our progress on future calls. With that said, Dean and I will be happy to take your questions."}, {"path": "tedlium_28561.wav", "duration": 7.08, "text": "we -- with the disclosure of the North and South meeting halls, we will undertake the renovation of our JW Marriott."}, {"path": "tedlium_28562.wav", "duration": 7.08, "text": "And in my view, our teams did extremely well to nevertheless return slightly positive"}, {"path": "tedlium_28563.wav", "duration": 7.08, "text": "except for some extreme events which we would not expect to happen every year or even every other year."}, {"path": "tedlium_28564.wav", "duration": 7.08, "text": "For us, this provides revenue opportunities by offering new services to customers."}, {"path": "tedlium_28565.wav", "duration": 7.08, "text": "With these significant improvements to our digital ordering experience, we are now in a position to promote digital ordering more aggressively."}, {"path": "tedlium_28566.wav", "duration": 7.08, "text": "has a lot to do with the level of rates. What we saw in Q1 was a very sharp rally"}, {"path": "tedlium_28567.wav", "duration": 7.08, "text": "The purpose of the loan was to assist in financing our capital expenditures requirements for our international operations."}, {"path": "tedlium_28568.wav", "duration": 7.08, "text": "But now there are so many facilities. You can do so much more to them because you have new technologies."}, {"path": "tedlium_28569.wav", "duration": 7.08, "text": "This request does not impact either the cash available to the company for use or our leverage levels."}, {"path": "tedlium_28570.wav", "duration": 7.08, "text": "During the third quarter, we continued to actively manage our portfolio, taking advantage of opportunities to sell properties."}, {"path": "tedlium_28571.wav", "duration": 7.08, "text": "that included the addition of new dealers and the release of several product enhancements. Sales execution was solid"}, {"path": "tedlium_28572.wav", "duration": 7.08, "text": "Another impact of the Cures Act is not in the traditional home infusion marketplace,"}, {"path": "tedlium_28573.wav", "duration": 7.08, "text": "which is now live in more than 25 countries with more than 7 million downloads. So"}, {"path": "tedlium_28574.wav", "duration": 7.08, "text": "But is the improvement at this point largely just going to come from medical management initiatives? And if that is the case,"}, {"path": "tedlium_28575.wav", "duration": 7.08, "text": "and as Matt described in some detail, the fact that we're seeing customers and significant major customers"}, {"path": "tedlium_28576.wav", "duration": 7.08, "text": "but not very attractive given that it would only likely attract more of the types of issues we experienced in Alberta."}, {"path": "tedlium_28577.wav", "duration": 7.08, "text": "and focus on downside protection during the frothy credit markets of the recent few years."}, {"path": "tedlium_28578.wav", "duration": 7.08, "text": "the performance of beverage products. With better margin, better profitability, you have greater resources."}, {"path": "tedlium_28579.wav", "duration": 7.08, "text": "as significant a discount on our product as it sells. So I think it's a matter of both"}, {"path": "tedlium_28580.wav", "duration": 7.08, "text": "We take great pride in being a leader in the weight loss industry and in our mission based focus to help people achieve healthy outcomes."}, {"path": "tedlium_28581.wav", "duration": 7.08, "text": "acquisitions and development programs, and that excludes the additional mortgage funding on these new properties."}, {"path": "tedlium_28582.wav", "duration": 7.08, "text": "which included minimizing regulatory lag and achieving the allowed returns set by each regulatory jurisdiction,"}, {"path": "tedlium_28583.wav", "duration": 7.08, "text": "that are currently sort of scheduled. I think we've been telling investment community, guiding them"}, {"path": "tedlium_28584.wav", "duration": 7.08, "text": "other than for the increases to that estimate that will result from the acquisitions we complete during the remainder of the year."}, {"path": "tedlium_28585.wav", "duration": 7.08, "text": "and place gun barrel straight wellbores more precisely and accurately sets the stage for compelling business opportunities within the segment."}, {"path": "tedlium_28586.wav", "duration": 7.08, "text": "I think the style of the kinds of acquisitions that we've been making through the downturn has evolved a bit."}, {"path": "tedlium_28587.wav", "duration": 7.08, "text": "and similar to the first quarter as decreases in industry production builds are expected to continue in the second quarter."}, {"path": "tedlium_28588.wav", "duration": 7.08, "text": "And these investments are started to show very positive trends. As we successfully continue to execute on our plans,"}, {"path": "tedlium_28589.wav", "duration": 7.08, "text": "So we are evaluating that option to finish up the transmission line, getting some additional power. And"}, {"path": "tedlium_28590.wav", "duration": 7.08, "text": "partially offset by advisory fees and integration costs from earlier transactions and funding of the TEGNA Foundation."}, {"path": "tedlium_28591.wav", "duration": 7.08, "text": "Now moving to Premion, a great TEGNA success story of innovation and organic growth."}, {"path": "tedlium_28592.wav", "duration": 7.08, "text": "unfortunately, I can't really get into the details of our discussions and negotiations with"}, {"path": "tedlium_28593.wav", "duration": 7.08, "text": "So some of those expenses really started with the deeming regs as we got clarity on some of that regulation."}, {"path": "tedlium_28594.wav", "duration": 7.08, "text": "I should find a percent, I don't know, but nearly all customers either agree to have a limited number of gig per month and then"}, {"path": "tedlium_28595.wav", "duration": 7.08, "text": "is there any change in the competitive environment over the past 3 months, which I think we can safely assume means the mobile"}, {"path": "tedlium_28596.wav", "duration": 7.08, "text": "to both sustain a long-term dividend while continuing to reinvest in the growth of the business to achieve our strategic goals."}, {"path": "tedlium_28597.wav", "duration": 7.08, "text": "that has 40 qualified bidders, which is a much broader investor base than either of the past 2 years."}, {"path": "tedlium_28598.wav", "duration": 7.08, "text": "We continue to anticipate bookings ramp in the second half of this fiscal year, and I look forward to updating you on our progress."}, {"path": "tedlium_28599.wav", "duration": 7.08, "text": "Most of what we're talking about does not cost us any money. So it's not as though we're pressured to"}, {"path": "tedlium_28600.wav", "duration": 7.08, "text": "The first one from the previous question. Do you have an idea of what the effective tax rate would be for this year?"}, {"path": "tedlium_28601.wav", "duration": 7.08, "text": "of our power purchase agreement model. We look forward to his strong contribution to the company as we move forward."}, {"path": "tedlium_28602.wav", "duration": 7.08, "text": "on this team. So I just don't want there to be a sense out there in the investment community or anywhere else"}, {"path": "tedlium_28603.wav", "duration": 7.08, "text": "including deliver operational excellence by meeting our 2016 operating and financial performance target."}, {"path": "tedlium_28604.wav", "duration": 7.08, "text": "And as you can see from the chart on the right, North Carolina production has increased significantly due to the CommunityOne acquisition."}, {"path": "tedlium_28605.wav", "duration": 7.08, "text": "in terms of not just cost of operating the business but also maybe a more friendly"}, {"path": "tedlium_28606.wav", "duration": 7.08, "text": "replacing a portion of those lower-margin products with more attractive papers, including tipping papers"}, {"path": "tedlium_28607.wav", "duration": 7.08, "text": "I think the Enel GP definition of challenging was in front of an acceleration that we have"}, {"path": "tedlium_28608.wav", "duration": 7.08, "text": "expense question, it seems like your cash efficiency really wasn't impaired much"}, {"path": "tedlium_28609.wav", "duration": 7.08, "text": "and we will not let you down. We're very bullish on the future, and we're glad you're a part of it. So thank you, and talk to you again soon."}, {"path": "tedlium_28610.wav", "duration": 7.08, "text": "this year to be from hybrids released in the past 3 years, enabling a favorable mix."}, {"path": "tedlium_28611.wav", "duration": 7.08, "text": "Additionally, to help with the discussion, we have provided a presentation with supplemental information that should be reviewed in conjunction with the earnings release."}, {"path": "tedlium_28612.wav", "duration": 7.08, "text": "In fact, it was our strongest year since 2005, a meaningful achievement when considering the fact that there were"}, {"path": "tedlium_28613.wav", "duration": 7.08, "text": "currency fluctuations and the previously disclosed customer acceleration of orders that occurred in the second quarter."}, {"path": "tedlium_28614.wav", "duration": 7.08, "text": "And it's not uncommon to -- as these programs, especially those that are more novel in nature as Fit for Work is,"}, {"path": "tedlium_28615.wav", "duration": 7.08, "text": "and we'll expand that market by capturing some of these patients that don't have an external ventricular drain already placed."}, {"path": "tedlium_28616.wav", "duration": 7.08, "text": "been slightly lower volumes versus last year at the Ericsson contract, which I also think is in effect from"}, {"path": "tedlium_28617.wav", "duration": 7.08, "text": "in the Data Center cooling market and the build and the construction of data centers around the world."}, {"path": "tedlium_28618.wav", "duration": 7.08, "text": "comes from an overall project in manufacturing of increasing utilization of assets."}, {"path": "tedlium_28619.wav", "duration": 7.08, "text": "if the trial would be able to recruit could not be recruited right now because they still haven't"}, {"path": "tedlium_28620.wav", "duration": 7.08, "text": "The strength in our balance sheet provides sufficient capital to support our clinical goals for our PH,"}, {"path": "tedlium_28621.wav", "duration": 7.08, "text": "Also, during the quarter, other operating expenses were impacted by an increase in professional fees."}, {"path": "tedlium_28622.wav", "duration": 7.08, "text": "Over the past few days, we have been able to restore power to a number of areas at our site, but portions still remain without power."}, {"path": "tedlium_28623.wav", "duration": 7.08, "text": "No. I think that what was helpful was when you started to bracket the size of contracts that those customers could give."}, {"path": "tedlium_28624.wav", "duration": 7.08, "text": "and we are addressing this worst performance with the launch of new catalogs for next year in Brazil."}, {"path": "tedlium_28625.wav", "duration": 7.08, "text": "And what we've done there is that we've been able to use our low-cost productions that of pricing,"}, {"path": "tedlium_28626.wav", "duration": 7.08, "text": "while also returning significant cash to our shareholders. Since we began this journey 3 years ago"}, {"path": "tedlium_28627.wav", "duration": 7.08, "text": "Given the recent volatility in the stock, I would like to make some comments regarding the transaction process."}, {"path": "tedlium_28628.wav", "duration": 7.08, "text": "the negative impacts that we've seen so far. And we're going to continue to manage that and keep a close eye on"}, {"path": "tedlium_28629.wav", "duration": 7.08, "text": "The nice thing to say, the good thing to say is that there's plenty of opportunities out there. There is a"}, {"path": "tedlium_28630.wav", "duration": 7.08, "text": "and origination volumes were maintained at levels consistent with our strategic growth objectives and established risk appetite."}, {"path": "tedlium_28631.wav", "duration": 7.08, "text": "So I think where we've entered a new phase in the relationship is where we're able to marry"}, {"path": "tedlium_28632.wav", "duration": 7.08, "text": "you almost hope that when you have days that you don't have big orders because it's really in our benefit to have."}, {"path": "tedlium_28633.wav", "duration": 7.08, "text": "As we said at the time, this quality property currently has tenants in 94% of the available space."}, {"path": "tedlium_28634.wav", "duration": 7.08, "text": "Before we begin, I'd like to remind you that various remarks that we make on this call that are not historical, including those about"}, {"path": "tedlium_28635.wav", "duration": 7.08, "text": "In terms of the overall capital position, we provided a snapshot in the prepared materials which Joe will review."}, {"path": "tedlium_28636.wav", "duration": 7.08, "text": "or evaluating option strategies, using our technical analysis tools, all from the palm of their hand."}, {"path": "tedlium_28637.wav", "duration": 7.08, "text": "In the third quarter, we completed our experience update as part of our comprehensive and consistent unlocking process."}, {"path": "tedlium_28638.wav", "duration": 7.08, "text": "Comparing the operating cash flows for this half, versus the same period last year, the first thing to highlight"}, {"path": "tedlium_28639.wav", "duration": 7.08, "text": "do banks have room to actually lower deposit cost if the rate curve stays this way for a prolonged period of time?"}, {"path": "tedlium_28640.wav", "duration": 7.08, "text": "because we're very early in determining what it is that we want to do here, and once we know that, I promise you we'll be quite clear on what we think the implications are."}, {"path": "tedlium_28641.wav", "duration": 7.08, "text": "a significant part of the patient population, both within a category and across multiple categories."}, {"path": "tedlium_28642.wav", "duration": 7.08, "text": "and positioned the company in several areas for the success we continue to have today."}, {"path": "tedlium_28643.wav", "duration": 7.08, "text": "It is a great thing for the long-term, but short-term this has taken its toll on our ability to grow."}, {"path": "tedlium_28644.wav", "duration": 7.08, "text": "that have not been as successful as hoped. What gives you confidence in that channel?"}, {"path": "tedlium_28645.wav", "duration": 7.08, "text": "our best quarterly performance in over a year. Germany's top line result was primarily driven by growth in our subscriber base,"}, {"path": "tedlium_28646.wav", "duration": 7.08, "text": "For more information on our forward-looking statements and the risks, uncertainties and other factors to which they are subject,"}, {"path": "tedlium_28647.wav", "duration": 7.08, "text": "Sure. I gave you one little bit of an example just now when I talked about our prospect deck, and that was one of"}, {"path": "tedlium_28648.wav", "duration": 7.08, "text": "impact now, but a much greater impact as we significantly take those down in the last half of the year. And then"}, {"path": "tedlium_28649.wav", "duration": 7.08, "text": "My team and I are focused on accelerating our path to these opportunities and I look forward to sharing more about our strategy in the months ahead."}, {"path": "tedlium_28650.wav", "duration": 7.08, "text": "how we're spending our money and where we are, those things are all contributing to a really, really nice run for this business."}, {"path": "tedlium_28651.wav", "duration": 7.08, "text": "We expect this highly innovative facial cleansing and treatment device to be a key contributor to our business."}, {"path": "tedlium_28652.wav", "duration": 7.08, "text": "Our investments in innovation are starting to pay off and are critical to future top line growth."}, {"path": "tedlium_28653.wav", "duration": 7.08, "text": "The verdict will be given to all in this case in February of next year,"}, {"path": "tedlium_28654.wav", "duration": 7.08, "text": "be more integrated into our card product. As you can see here, card users will be able to more easily tap into this product,"}, {"path": "tedlium_28655.wav", "duration": 7.08, "text": "We've had a number of customers come back and indicate that they will be needing additional equipment"}, {"path": "tedlium_28656.wav", "duration": 7.08, "text": "At this point, we would expect that there will continue to be attempts made to increase twin trailer length to 33 foot,"}, {"path": "tedlium_28657.wav", "duration": 7.08, "text": "where we believe our customer shops. And so we're kind of evaluating that now"}, {"path": "tedlium_28658.wav", "duration": 7.08, "text": "sales. Our focus there outside of that summer jazz campaign is to roll out new contract choice"}, {"path": "tedlium_28659.wav", "duration": 7.08, "text": "fiscal '19 and beyond has a chance to grow at a pretty accelerated rate based on the CAGRs that you've talked about in the past."}, {"path": "tedlium_28660.wav", "duration": 7.08, "text": "need to maintain the metrics around, and we feel confident that we can continue to do that."}, {"path": "tedlium_28661.wav", "duration": 7.08, "text": "Pest and Equipment Care were quite strong and expect to remain strong. Energy stabilized."}, {"path": "tedlium_28662.wav", "duration": 7.08, "text": "And so if customers are going to push for shorter billing terms, they're going to end up paying for it with less discount."}, {"path": "tedlium_28663.wav", "duration": 7.08, "text": "on the ground. Do I need to bring in a product specialist? Do I need to bring in a vertical specialist? Do I need to bring in the Inspire team?"}, {"path": "tedlium_28664.wav", "duration": 7.08, "text": "We have taken a number of steps to address these issues and expect to have them resolved before year-end."}, {"path": "tedlium_28665.wav", "duration": 7.08, "text": "But what we've said is that we really haven't seen it. It didn't show up certainly in our order book in the first half of the year."}, {"path": "tedlium_28666.wav", "duration": 7.08, "text": "Thanks, Kelly. Today, I'll begin with a brief review of financial highlights from the fourth quarter,"}, {"path": "tedlium_28667.wav", "duration": 7.08, "text": "The surplus and its resilience will remain the focus of our group capital reporting."}, {"path": "tedlium_28668.wav", "duration": 7.08, "text": "Now let's move to our performance for the 5 operating segments, starting with Zone Americas."}, {"path": "tedlium_28669.wav", "duration": 7.08, "text": "relatively low awareness overall, and I think we should expect to see strong category growth and strong"}, {"path": "tedlium_28670.wav", "duration": 7.08, "text": "on our margin in the second half of the year. Moving now to customer lending."}, {"path": "tedlium_28671.wav", "duration": 7.08, "text": "Turning to our performance in the quarter. Sales growth was slightly above the bottom end of our guidance range."}, {"path": "tedlium_28672.wav", "duration": 7.08, "text": "And therefore, the assets will be also transacted at fair value. So we do not expect any hit from this transaction."}, {"path": "tedlium_28673.wav", "duration": 7.08, "text": "So we're not going to go into the minutia of each particular product and how many thousands of patients are in each particular product."}, {"path": "tedlium_28674.wav", "duration": 7.08, "text": "We do anticipate pricing of our services to continue at current rates despite localized improvements to utilization,"}, {"path": "tedlium_28675.wav", "duration": 7.08, "text": "for further analysis using our data with NPI-C and as well as some of the other tools that we use in our study."}, {"path": "tedlium_28676.wav", "duration": 7.08, "text": "I'd like to provide you with details on the first quarter segment performance, beginning with the RMS segment."}, {"path": "tedlium_28677.wav", "duration": 7.08, "text": "But it's worked flawlessly this year. And the operational excellence that we've experienced at the operating company level"}, {"path": "tedlium_28678.wav", "duration": 7.08, "text": "any of the 2 businesses to bear any extra losses. Give me another month or 2 and I will clarify everything for you, because"}, {"path": "tedlium_28679.wav", "duration": 7.08, "text": "to evaluate the company's performance and improve the comparability of results between reporting periods."}, {"path": "tedlium_28680.wav", "duration": 7.08, "text": "to spend a little more money on the front end to do some test sampling I think is a prudent thing to do."}, {"path": "tedlium_28681.wav", "duration": 7.08, "text": "among these activities are actually evaluation of business model in certain countries,"}, {"path": "tedlium_28682.wav", "duration": 7.08, "text": "And the operating working capital was pretty good during the quarter."}, {"path": "tedlium_28683.wav", "duration": 7.08, "text": "Longer term, I'm excited of our growth opportunities and expect new products, new applications"}, {"path": "tedlium_28684.wav", "duration": 7.08, "text": "So let me start with a few comments on credit. We do provide a comprehensive set of credit and performance data monthly on our website."}, {"path": "tedlium_28685.wav", "duration": 7.08, "text": "and also to 10 subsidiary offices demonstrating lean expanding beyond operations."}, {"path": "tedlium_28686.wav", "duration": 7.08, "text": "looks to be a bit of an understatement for Fluid Systems. The starting point looks a bit thin."}, {"path": "tedlium_28687.wav", "duration": 7.08, "text": "However, a full recovery will take time, and we are not prepared to forecast our financial results at this time."}, {"path": "tedlium_28688.wav", "duration": 7.08, "text": "we expect comparable store traffic and sales will likely continue to be somewhat volatile in the near term."}, {"path": "tedlium_28689.wav", "duration": 7.08, "text": "Thanks, Kirk. Before we turn the call over for questions, I'd like to comment on my interim status."}, {"path": "tedlium_28690.wav", "duration": 7.08, "text": "we'll give -- we won't give them out ourselves. It wouldn't be appropriate, but we -- as I said, we do sometimes,"}, {"path": "tedlium_28691.wav", "duration": 7.08, "text": "Still in the early stages, and we will continue to upgrade the platform as we progress and build it out."}, {"path": "tedlium_28692.wav", "duration": 7.08, "text": "But the indexes are certainly looked at in terms of the value of the product."}, {"path": "tedlium_28693.wav", "duration": 7.0799375, "text": "E-Systems accounts for 40% of the backlog as we continue to increase market share"}, {"path": "tedlium_28694.wav", "duration": 7.0500625, "text": "In our diagnosis of the business, I've been deeply embedded with our global teams who create the customer offering."}, {"path": "tedlium_28695.wav", "duration": 7.05, "text": "that all of our noncore markets were to generate cash to support the growth of the derm market."}, {"path": "tedlium_28696.wav", "duration": 7.05, "text": "These data points lead us to conclude that having committed liquidity is a competitive advantage in today's market."}, {"path": "tedlium_28697.wav", "duration": 7.05, "text": "issues at specific companies and their need to dispose of assets versus an overarching"}, {"path": "tedlium_28698.wav", "duration": 7.05, "text": "and then obviously in terms of operations going forward as well. But we'll give much more guidance around that going forward once we"}, {"path": "tedlium_28699.wav", "duration": 7.05, "text": "The results today provide confidence in the potential to commercialize the material gas resource in the region."}, {"path": "tedlium_28700.wav", "duration": 7.05, "text": "Our performance this quarter reflects our continuing progress in advancing our priority products and programs."}, {"path": "tedlium_28701.wav", "duration": 7.05, "text": "last year and this year we don't think that there's a difference in the overall situation because the regulations remain the same. And"}, {"path": "tedlium_28702.wav", "duration": 7.05, "text": "for all amounts that you could be offered. But on the other hand, wouldn't it be a significant advantage for a company your size"}, {"path": "tedlium_28703.wav", "duration": 7.05, "text": "We asked this question to your other competitors as well. I would like to understand what KT's position is with respect"}, {"path": "tedlium_28704.wav", "duration": 7.05, "text": "Part of the decrease relates to additional technicians that we added for our expansion efforts."}, {"path": "tedlium_28705.wav", "duration": 7.05, "text": "We are encouraged by our growing sale of UFS controller to Micron in the second quarter."}, {"path": "tedlium_28706.wav", "duration": 7.05, "text": "for the same period last year, primarily due to the placing of the Bakken Pipeline, Delaware Basin extension,"}, {"path": "tedlium_28707.wav", "duration": 7.05, "text": "please look at the bottom table. These are the exchange rates on which our forecast is predicated."}, {"path": "tedlium_28708.wav", "duration": 7.05, "text": "we can make a difference and there is economic sense in participating in that."}, {"path": "tedlium_28709.wav", "duration": 7.05, "text": "It's hard for us to know exactly what percentage it's fueling."}, {"path": "tedlium_28710.wav", "duration": 7.05, "text": "we certainly set targets for each of our sectors to improve retention rates."}, {"path": "tedlium_28711.wav", "duration": 7.05, "text": "we also see a lot of very good sales initiatives throughout the company."}, {"path": "tedlium_28712.wav", "duration": 7.05, "text": "This is partly the consequence of a material decrease in risk-weighted assets for the Colombian financial system."}, {"path": "tedlium_28713.wav", "duration": 7.05, "text": "is a broader volume with multiple customers as we go through the year and next year?"}, {"path": "tedlium_28714.wav", "duration": 7.05, "text": "specific customers. We do that because we have all the IP and hardware needed."}, {"path": "tedlium_28715.wav", "duration": 7.05, "text": "Customers have been supportive by conserving gas consumption. We continue to closely monitor Enbridge's progress."}, {"path": "tedlium_28716.wav", "duration": 7.05, "text": "as a gift in this market, but we see very strongly that our efficiency focus"}, {"path": "tedlium_28717.wav", "duration": 7.05, "text": "Today, we'll cover some of the highlights from the period and some key milestones you can look forward to in coming months."}, {"path": "tedlium_28718.wav", "duration": 7.05, "text": "The other piece of that purchase transportation line is really some additional solutions that we are providing to our customers."}, {"path": "tedlium_28719.wav", "duration": 7.05, "text": "Our assumption in terms when we made the guidance was for flat pricing over last year's level."}, {"path": "tedlium_28720.wav", "duration": 7.05, "text": "and continued focus on improving agricultural yields for growing population and shrinking arable land base,"}, {"path": "tedlium_28721.wav", "duration": 7.05, "text": "So it becomes a hurdle for you when it comes to launching new businesses and new products."}, {"path": "tedlium_28722.wav", "duration": 7.05, "text": "We're really focused on making sure that the innovation pipeline that came with Body Plus gets executed really well"}, {"path": "tedlium_28723.wav", "duration": 7.05, "text": "we had on hand. Focused also there to do the projects in the right way. That looks very promising and very good,"}, {"path": "tedlium_28724.wav", "duration": 7.05, "text": "We expect the rate of organic sales to improve as the year progresses and comps get a bit easier."}, {"path": "tedlium_28725.wav", "duration": 7.05, "text": "we're reducing the prices to see if we can draw the customer back in and we're having a reasonable degree of success."}, {"path": "tedlium_28726.wav", "duration": 7.05, "text": "In the margins -- in the marketing spending area, we are making good progress on generating efficiencies as well"}, {"path": "tedlium_28727.wav", "duration": 7.05, "text": "paint in Home Depot or specifically PPG brands versus Behr?"}, {"path": "tedlium_28728.wav", "duration": 7.05, "text": "and that we will continue to invest in to make the customer experience as convenient as possible, allowing us to continue to grow digital sales."}, {"path": "tedlium_28729.wav", "duration": 7.05, "text": "proving our commitment with profitable growth and the strength of our unique business model."}, {"path": "tedlium_28730.wav", "duration": 7.05, "text": "which we now know didn't add incremental value to our business and negatively impacted our rate of growth."}, {"path": "tedlium_28731.wav", "duration": 7.05, "text": "Because we already help employees in virtually every industry and geography to realize their potential,"}, {"path": "tedlium_28732.wav", "duration": 7.05, "text": "Finally, this presentation may contain information with respect to the investment performance of certain of our funds and strategies."}, {"path": "tedlium_28733.wav", "duration": 7.05, "text": "Regional growth in the quarter was also driven in part by certain factors not expected to continue in Vietnam and Malaysia."}, {"path": "tedlium_28734.wav", "duration": 7.05, "text": "While also leveraging our strong maintenance expertise programs to extend the expected lives of our current fleet."}, {"path": "tedlium_28735.wav", "duration": 7.05, "text": "more than double last year's result mainly due to the overall improvement in the performance of various mechanical projects."}, {"path": "tedlium_28736.wav", "duration": 7.05, "text": "right. I think the biggest problem is whether or not you can tuck that efficiently and effectively long-term"}, {"path": "tedlium_28737.wav", "duration": 7.05, "text": "We will be thoughtful about these sales and expect to execute them as we find capital redeployment opportunities that meet our objectives."}, {"path": "tedlium_28738.wav", "duration": 7.05, "text": "So my long answer is, I think some of the growth and some of the wins that we've had would be built into that normal rate"}, {"path": "tedlium_28739.wav", "duration": 7.05, "text": "It has been an exceptionally busy and exciting time for Dicerna with a number of extremely important milestone achievements."}, {"path": "tedlium_28740.wav", "duration": 7.05, "text": "Good morning. My name is Josh, and I will be your conference operator today."}, {"path": "tedlium_28741.wav", "duration": 7.05, "text": "Taken together, we expect the benefit of these items will build as we progress through the remainder of the year."}, {"path": "tedlium_28742.wav", "duration": 7.05, "text": "And the APEX-XC from a technical standpoint is a very good solution for his particular needs."}, {"path": "tedlium_28743.wav", "duration": 7.05, "text": "am so bold to say that we're well prepared for that, and we have a profitability that would enable us"}, {"path": "tedlium_28744.wav", "duration": 7.05, "text": "establish the milestones getting to that range? Or are we likely to see that"}, {"path": "tedlium_28745.wav", "duration": 7.05, "text": "I -- look at us and think it's similar. I think a city of our size becomes attractive because suddenly you've got"}, {"path": "tedlium_28746.wav", "duration": 7.05, "text": "some of these projects go forward. When you talk to your clients, how are you helping them"}, {"path": "tedlium_28747.wav", "duration": 7.05, "text": "the market? Can you give us some color as to what we should expect that to be?"}, {"path": "tedlium_28748.wav", "duration": 7.05, "text": "Thank you for joining us this morning. That concludes our conference call. A replay of the call will be available for a limited time on our website later today."}, {"path": "tedlium_28749.wav", "duration": 7.05, "text": "interest rates move and, all of a sudden, volumes go back up. So what we do have is a refinement in our"}, {"path": "tedlium_28750.wav", "duration": 7.05, "text": "That's what really determines though the profitability in any given period"}, {"path": "tedlium_28751.wav", "duration": 7.05, "text": "We don't want to set that expectation, but we don't see any trend that anybody should be alarmed about"}, {"path": "tedlium_28752.wav", "duration": 7.05, "text": "Let me start by saying that this has been a strong area of focus for quite some time."}, {"path": "tedlium_28753.wav", "duration": 7.05, "text": "We are delighted to have them and all their employees as part of the Rollins group of leading pest control brands."}, {"path": "tedlium_28754.wav", "duration": 7.05, "text": "is resulting in expansion in our loan yields and net interest margins as prime and LIBOR increase."}, {"path": "tedlium_28755.wav", "duration": 7.05, "text": "that we've been very proficient in using in Peru and it takes some time to really understand how to use this equipment"}, {"path": "tedlium_28756.wav", "duration": 7.05, "text": "We are excited about the opportunities we see to leverage our unique model and help support our advisers."}, {"path": "tedlium_28757.wav", "duration": 7.05, "text": "In addition, we expect to benefit from some of our product enhancements, which are scheduled to hit the floors in our fall deliveries."}, {"path": "tedlium_28758.wav", "duration": 7.05, "text": "National brands were up low single digits for the year, with particular strength in Nike,"}, {"path": "tedlium_28759.wav", "duration": 7.05, "text": "which was driven by the consistent high quality of loan portfolio and by the moderate loan growth in the second quarter,"}, {"path": "tedlium_28760.wav", "duration": 7.05, "text": "And clearly, you have seen, we have a long track record of being very focused"}, {"path": "tedlium_28761.wav", "duration": 7.05, "text": "Within industrial and multimarket, we are witnessing general softness across a range of power management and interface solutions."}, {"path": "tedlium_28762.wav", "duration": 7.05, "text": "They may not be updated in the future. These statements are subject to risks and uncertainties as described in the company's SEC filings."}, {"path": "tedlium_28763.wav", "duration": 7.05, "text": "for every single geography -- every single OEM in all the geographies that I mentioned in the prepared remarks."}, {"path": "tedlium_28764.wav", "duration": 7.05, "text": "Our September quarter Automotive business was modestly down, but slightly better than our expectations."}, {"path": "tedlium_28765.wav", "duration": 7.05, "text": "if it becomes a significant increase. But that'll be a function of how our competitors behave,"}, {"path": "tedlium_28766.wav", "duration": 7.05, "text": "The majority of patients achieved normalization or near normalization of urinary oxalate levels,"}, {"path": "tedlium_28767.wav", "duration": 7.05, "text": "As you can see, the actions we're taking to improve performance are delivering results."}, {"path": "tedlium_28768.wav", "duration": 7.05, "text": "we hope the industries and the cities can be better integrated."}, {"path": "tedlium_28769.wav", "duration": 7.05, "text": "Because we have internally developed capabilities ranging from innovation to platform development to manufacture,"}, {"path": "tedlium_28770.wav", "duration": 7.05, "text": "due to increases in the average balance of our customers as well as higher charge-off of finance charges and late fees."}, {"path": "tedlium_28771.wav", "duration": 7.05, "text": "we're pretty far along in that. And especially as we continue to invest in the One V platform,"}, {"path": "tedlium_28772.wav", "duration": 7.05, "text": "Sales were up across the board in all products and regions, with particular strength in China and Korea."}, {"path": "tedlium_28773.wav", "duration": 7.05, "text": "You got India demonetization. You've got some of the weakness we saw and trade stock dynamics playing out of the Middle East"}, {"path": "tedlium_28774.wav", "duration": 7.05, "text": "Our Gum business continue to grow and take share, and Milk and Chocolate performed in line with our expectations."}, {"path": "tedlium_28775.wav", "duration": 7.05, "text": "we see that to be very, very achievable. The only sensitivity to that is"}, {"path": "tedlium_28776.wav", "duration": 7.05, "text": "implementing store improvements, adding new retail locations and increasing our focus on our branded retail network."}, {"path": "tedlium_28777.wav", "duration": 7.05, "text": "We will present the details of this plan to the market later this year. In the same guidance,"}, {"path": "tedlium_28778.wav", "duration": 7.05, "text": "now ranking ninth on the Future 40 Responsible Leaders in Canada list, the highest ranking for an oil and gas company,"}, {"path": "tedlium_28779.wav", "duration": 7.05, "text": "and continuing to eliminate less profitable SKUs. As a result of these initiatives,"}, {"path": "tedlium_28780.wav", "duration": 7.05, "text": "Is it fair to say that you had some that's opening later in the fourth quarter, that's kind of what it sounds"}, {"path": "tedlium_28781.wav", "duration": 7.05, "text": "There are a few key observations that influence our decision to pursue a broader modular strategy."}, {"path": "tedlium_28782.wav", "duration": 7.05, "text": "and their passengers and then we make some direct sales to tourists that are in Alaska during the summer season."}, {"path": "tedlium_28783.wav", "duration": 7.05, "text": "That contract is set to expire at the end of September this year. The bids have been submitted."}, {"path": "tedlium_28784.wav", "duration": 7.05, "text": "For example, to serve some portions of this market, we are developing technologies such as MEMS and other game-changer solutions"}, {"path": "tedlium_28785.wav", "duration": 7.05, "text": "beyond that, I don't want to get ahead of ourselves and call any such"}, {"path": "tedlium_28786.wav", "duration": 7.05, "text": "When including the expected impact from the WIL acquisition, the revenue growth rate on a constant currency basis"}, {"path": "tedlium_28787.wav", "duration": 7.05, "text": "In addition, management will make forward-looking statements that are based on our current expectations, forecasts and assumptions"}, {"path": "tedlium_28788.wav", "duration": 7.05, "text": "We do have some noise in there from quarter-to-quarter. Always I think the fourth quarter is a little bit higher than the rest of the year."}, {"path": "tedlium_28789.wav", "duration": 7.05, "text": "we've got 2 factories in China that have a capacity problem because of China Tower."}, {"path": "tedlium_28790.wav", "duration": 7.05, "text": "to install the new equipment. So it is putting pressure on all of us. We're having to forestall some of the growth"}, {"path": "tedlium_28791.wav", "duration": 7.05, "text": "a bit more in our capabilities to digitally enable all that advice with online goal tracking"}, {"path": "tedlium_28792.wav", "duration": 7.05, "text": "with the bulk of this coming from retail channel and business line."}, {"path": "tedlium_28793.wav", "duration": 7.05, "text": "and it's because there's a dependency upon the MYC for maintenance of the signaling pathways and viability."}, {"path": "tedlium_28794.wav", "duration": 7.05, "text": "Participants in the Herbalife scheme, the distributors obtained their monetary benefits primarily from recruitment rather than the sale of goods and services"}, {"path": "tedlium_28795.wav", "duration": 7.05, "text": "an insurance company through before they recognize okay, there's quite a bit of interest and we're getting patient demand."}, {"path": "tedlium_28796.wav", "duration": 7.05, "text": "The first quarter tax rate benefited from the adoption of new accounting rules for the treatment of taxes on equity compensation."}, {"path": "tedlium_28797.wav", "duration": 7.05, "text": "All told, it was a strong quarter. And I believe it is a testament to our diverse product offering and recurring revenue base."}, {"path": "tedlium_28798.wav", "duration": 7.05, "text": "in SYNERGY manufacturing equipment due to higher volumes as well as campus consolidation and plant network optimization activities."}, {"path": "tedlium_28799.wav", "duration": 7.05, "text": "particularly through investments aimed at growth in businesses where we can proactively leverage our strengths."}, {"path": "tedlium_28800.wav", "duration": 7.05, "text": "After the great recession, Manhattan was one of the few markets to attract construction financing due to its demand fundamentals."}, {"path": "tedlium_28801.wav", "duration": 7.05, "text": "Core is helping the client understand how the CO2 injection will affect the chemical and physical properties of the reservoir fluid"}, {"path": "tedlium_28802.wav", "duration": 7.05, "text": "and the customers will have an option or are having an option"}, {"path": "tedlium_28803.wav", "duration": 7.05, "text": "our total equivalent volumes came in above the midpoint of our guidance range."}, {"path": "tedlium_28804.wav", "duration": 7.05, "text": "We have some price increases already in effect and are in the midst of negotiations with additional customers."}, {"path": "tedlium_28805.wav", "duration": 7.05, "text": "and all the way processing through. So we are excited to see the improvements. I mean, it's fairly dramatic when you think about"}, {"path": "tedlium_28806.wav", "duration": 7.05, "text": "Gross margin was impacted by unfavorable cost variances associated with lower production."}, {"path": "tedlium_28807.wav", "duration": 7.05, "text": "With the second element that's important, we continue with the recent growth of the real estate business for Ripley Corp."}, {"path": "tedlium_28808.wav", "duration": 7.05, "text": "In the countries, we're pushing both growth on services and efficiency"}, {"path": "tedlium_28809.wav", "duration": 7.05, "text": "So in terms of profit, that was a big contributor."}, {"path": "tedlium_28810.wav", "duration": 7.05, "text": "along with the strong potential presented by the new product offerings already developed or in development within the group."}, {"path": "tedlium_28811.wav", "duration": 7.05, "text": "We believe this business offers significant growth potential, and this consolidation will support these efforts."}, {"path": "tedlium_28812.wav", "duration": 7.05, "text": "Now that's appealing to customers who want absolute certainty. So they'll know the day they move in, what the dollar amount will be when they move out."}, {"path": "tedlium_28813.wav", "duration": 7.05, "text": "These highlights underscore the magnitude of the transformation we've made as a company in a short period of time."}, {"path": "tedlium_28814.wav", "duration": 7.05, "text": "you always think it can happen faster than it otherwise takes, but the reality is I think we're always thinking long term."}, {"path": "tedlium_28815.wav", "duration": 7.05, "text": "from the company's French and Italian subsidiaries, resulting from the large project orders that were booked in the prior fiscal year."}, {"path": "tedlium_28816.wav", "duration": 7.05, "text": "Once again, thank you very much for taking your time to attend this conference call, and good afternoon to everyone. Bye"}, {"path": "tedlium_28817.wav", "duration": 7.05, "text": "How are you guys thinking about that potential threat to your business and your ability to extract pricing?"}, {"path": "tedlium_28818.wav", "duration": 7.05, "text": "For opening remarks and introductions, I will turn the conference over to Lisa Budtke. Lisa, please go ahead."}, {"path": "tedlium_28819.wav", "duration": 7.05, "text": "We fully expect to get this approved again sometime probably in the middle of this year. It is our hope"}, {"path": "tedlium_28820.wav", "duration": 7.05, "text": "which was very exciting for us to be able to create that much innovation in a short period of time."}, {"path": "tedlium_28821.wav", "duration": 7.05, "text": "is an exceptionally strong technical and capable sales force, but the driver has been about"}, {"path": "tedlium_28822.wav", "duration": 7.05, "text": "where there was a competitive bidding situation and we lost typically for price that are all being looked at again."}, {"path": "tedlium_28823.wav", "duration": 7.05, "text": "you see the results of our focus on postpaid mobile, something that I have been mentioning a few times already in the last few calls."}, {"path": "tedlium_28824.wav", "duration": 7.05, "text": "has been taken out so that the best practices can be shared and put into a separate company."}, {"path": "tedlium_28825.wav", "duration": 7.05, "text": "Forward-looking statements involve a number of risks and uncertainties and TESSCO's results may differ materially from those discussed today."}, {"path": "tedlium_28826.wav", "duration": 7.05, "text": "Now in the Middle East, we already have a business. And we expect"}, {"path": "tedlium_28827.wav", "duration": 7.05, "text": "we commissioned a qualitative and quantitative primary market research study with over 200 surgeons"}, {"path": "tedlium_28828.wav", "duration": 7.05, "text": "Through existing partners alone, CDTi's technology has the potential to be deployed in 2 million vehicles per year."}, {"path": "tedlium_28829.wav", "duration": 7.05, "text": "some of the milestones that we have to achieve between now and FID are really starting to come into view."}, {"path": "tedlium_28830.wav", "duration": 7.05, "text": "Our third priority is driving enhanced competitiveness and growth through cost reduction and innovation."}, {"path": "tedlium_28831.wav", "duration": 7.05, "text": "I mentioned some of the early benefits already. The fact that in the first few weeks we migrated the entire subscriber base"}, {"path": "tedlium_28832.wav", "duration": 7.05, "text": "So we're pleased with where we were in the quarter, thought we had the right balance, and obviously a tremendous leverage from a financial perspective,"}, {"path": "tedlium_28833.wav", "duration": 7.05, "text": "and the momentum continues to be very strong as RV manufacturers and dealers add capacity where necessary to meet growing demand."}, {"path": "tedlium_28834.wav", "duration": 7.05, "text": "Used vehicle results for the quarter were up modestly year-over-year. I'll discuss those results separately in a few minutes."}, {"path": "tedlium_28835.wav", "duration": 7.05, "text": "Today's discussion will contain forward-looking statements, which are based on assumptions we believe to be reasonable only as of today's date."}, {"path": "tedlium_28836.wav", "duration": 7.05, "text": "we were making some progress with respect to raws from a pricing standpoint."}, {"path": "tedlium_28837.wav", "duration": 7.05, "text": "euro. Didn't see as much of that as we would have liked in the fourth quarter"}, {"path": "tedlium_28838.wav", "duration": 7.05, "text": "And then, that kind of segues into the second part of your question, which is the export part of the question."}, {"path": "tedlium_28839.wav", "duration": 7.02, "text": "It's also important to note that the company actually noted that the second trial has"}, {"path": "tedlium_28840.wav", "duration": 7.02, "text": "To our employees who work so hard to achieve our goals, I'd like to personally thank you, again, for your efforts and commitment."}, {"path": "tedlium_28841.wav", "duration": 7.02, "text": "And as a reminder, we also had the anticipated decline in Germany's revenues due to the difficult comp with the year ago."}, {"path": "tedlium_28842.wav", "duration": 7.02, "text": "It's a real example of how we are driving customer engagement and ensuring that we remain clearly differentiated"}, {"path": "tedlium_28843.wav", "duration": 7.02, "text": "we'll do whatever it takes, whenever the right time is to create that value. We've always said we would be open"}, {"path": "tedlium_28844.wav", "duration": 7.02, "text": "As we mentioned, we've seen a significant increase in new member sign-ups, and there's no question the big driver has been this new product and user experience."}, {"path": "tedlium_28845.wav", "duration": 7.02, "text": "The strong freight market provided noncontract revenue opportunities throughout the quarter and into January."}, {"path": "tedlium_28846.wav", "duration": 7.02, "text": "the breadth of capabilities that we bring to bear when we're investing is the most important aspect of making a decision."}, {"path": "tedlium_28847.wav", "duration": 7.02, "text": "We are clearly in a scenario under which the interest rate we grew by"}, {"path": "tedlium_28848.wav", "duration": 7.02, "text": "and make the payment of the remaining 90% and the deal is closed out."}, {"path": "tedlium_28849.wav", "duration": 7.02, "text": "that was really caused by lower sales of corrugating medium and lower volume in our reels business."}, {"path": "tedlium_28850.wav", "duration": 7.02, "text": "and for the first time in 2 years, we are hopeful we won't see a significant winter weather impact to our operations."}, {"path": "tedlium_28851.wav", "duration": 7.02, "text": "Bristol-Myers for Opdivo and our diagnostic tests are actually very similar in terms of their results and"}, {"path": "tedlium_28852.wav", "duration": 7.02, "text": "it will come back and will pick up, but we see a couple movements with some major customers"}, {"path": "tedlium_28853.wav", "duration": 7.02, "text": "Consequently, the future of skincare is one of personalization of products and services."}, {"path": "tedlium_28854.wav", "duration": 7.02, "text": "So is that the way you look forward? Or you do not exclude that it could be more sizable? So if you could kind of"}, {"path": "tedlium_28855.wav", "duration": 7.02, "text": "We encourage you to read the forward-looking statements disclaimer in our earnings release in addition to our quarterly and annual filings."}, {"path": "tedlium_28856.wav", "duration": 7.02, "text": "For each new BEACON application, it's necessary for us to map our database to the database in the customer system."}, {"path": "tedlium_28857.wav", "duration": 7.02, "text": "and on top benefited from the one-off gain from the sale of the mentioned building"}, {"path": "tedlium_28858.wav", "duration": 7.02, "text": "Our focus will remain not just on what but on how. That's what scalable behavior change is."}, {"path": "tedlium_28859.wav", "duration": 7.02, "text": "Please refer to our earnings release issued earlier today for a reconciliation of our non-GAAP adjustments."}, {"path": "tedlium_28860.wav", "duration": 7.02, "text": "We are moving slowly to becoming more of a digital and data business, and that capability is something we will build over time."}, {"path": "tedlium_28861.wav", "duration": 7.02, "text": "This business is now firmly organized around market verticals, both in terms of sales and editorial."}, {"path": "tedlium_28862.wav", "duration": 7.02, "text": "But again a lot of what we're doing now. And I just think the investors have been missing this a bit, and we haven't been as clear."}, {"path": "tedlium_28863.wav", "duration": 7.02, "text": "by the end of the year and you'll start to see that -- the benefits of that flow through. And one of the key reasons why we're doing that is not just"}, {"path": "tedlium_28864.wav", "duration": 7.02, "text": "what they're able to do to bring even more power to our mission to connect Watch data with Buy data."}, {"path": "tedlium_28865.wav", "duration": 7.02, "text": "we can work on getting scalability and operating leverage that we already believe we will be able to get."}, {"path": "tedlium_28866.wav", "duration": 7.02, "text": "which excludes any anticipated dilution related to the planned acquisition of NOVADAQ Technologies."}, {"path": "tedlium_28867.wav", "duration": 7.02, "text": "As we also discussed on the last call and for the following reasons, we believe the shortfall may be temporary"}, {"path": "tedlium_28868.wav", "duration": 7.02, "text": "In the wireless communication segment, for example, new rooftop and tower tenant sites continue to grow"}, {"path": "tedlium_28869.wav", "duration": 7.02, "text": "So while there's a part of our income that was previously flow-through, and clearly, the"}, {"path": "tedlium_28870.wav", "duration": 7.02, "text": "partially offset by more favorable margins, favorable foreign exchange movements and lower operating expenses."}, {"path": "tedlium_28871.wav", "duration": 7.02, "text": "a pause in the sales activity as a result of the proposed mergers."}, {"path": "tedlium_28872.wav", "duration": 7.02, "text": "It's not necessarily that we would do it, but we would -- we're considering it. And I think it's also important to say that"}, {"path": "tedlium_28873.wav", "duration": 7.02, "text": "Our easy to follow, convenient, proven program clearly resonate as an effective way to lose weight and improve your health."}, {"path": "tedlium_28874.wav", "duration": 7.02, "text": "from our existing hotel clients, in part because of the ease of use of our new digital booking tool."}, {"path": "tedlium_28875.wav", "duration": 7.02, "text": "regularly is around the sustainability of your positioning within that market,"}, {"path": "tedlium_28876.wav", "duration": 7.02, "text": "While our primary yardstick is financial performance, we are encouraged by the underlying trends reflected in unit growth."}, {"path": "tedlium_28877.wav", "duration": 7.02, "text": "helped by the ongoing improvement in passenger numbers, but also by our initiatives to drive profitable sales."}, {"path": "tedlium_28878.wav", "duration": 7.02, "text": "and that's true across lots of things that we sell in Wellbore Technologies. It was also true in Rig Technologies when"}, {"path": "tedlium_28879.wav", "duration": 7.02, "text": "As highlighted in the press release, momentum continues to build for our eVolve services with several new jobs secured during the quarter."}, {"path": "tedlium_28880.wav", "duration": 7.02, "text": "which we need to think through while thinking about the future? And finally, just"}, {"path": "tedlium_28881.wav", "duration": 7.02, "text": "product marketing and field marketing, having led teams at Stack Overflow, Microsoft"}, {"path": "tedlium_28882.wav", "duration": 7.02, "text": "The U.S. enterprise business has always been a rock for us. The exception was the first half"}, {"path": "tedlium_28883.wav", "duration": 7.02, "text": "Do I want to get ahead of something? And it's not technology -- what we would normally call a technology company."}, {"path": "tedlium_28884.wav", "duration": 7.02, "text": "in order to have the state power to be comfortable that we watch statistical significance when we take a look."}, {"path": "tedlium_28885.wav", "duration": 7.02, "text": "I think we have a very clinical type of analyzing things, and we have been able to anticipate to demand."}, {"path": "tedlium_28886.wav", "duration": 7.02, "text": "in the video on your website, you mention that you want to generate profits in every business line and market in which you operate."}, {"path": "tedlium_28887.wav", "duration": 7.02, "text": "in the quarter. Were there a couple of larger leases that you could flag out of this big volume?"}, {"path": "tedlium_28888.wav", "duration": 7.02, "text": "All projections are subject to risks and uncertainties, and actual results may differ materially."}, {"path": "tedlium_28889.wav", "duration": 7.02, "text": "as we build these new projects, they will lead to additional opportunities just as the Tennessee system"}, {"path": "tedlium_28890.wav", "duration": 7.02, "text": "to the wellhead. So we view right now is kind of a wait and see. We think that lot of people have rushed in there"}, {"path": "tedlium_28891.wav", "duration": 7.02, "text": "Of particular note regarding our internal pipeline, during the third quarter and subsequent period"}, {"path": "tedlium_28892.wav", "duration": 7.02, "text": "whether those are organically developed, whether they are partner solutions or whether we acquire them as we did in this case."}, {"path": "tedlium_28893.wav", "duration": 7.02, "text": "Finally, I'll discuss the launch of our new commercial programs, which we are now introducing to our existing and prospective clients."}, {"path": "tedlium_28894.wav", "duration": 7.02, "text": "slightly down compared to the first quarter of '15 on a constant currency basis, primarily due to the decline in AG sales."}, {"path": "tedlium_28895.wav", "duration": 7.02, "text": "has a lot of complexities to it. And as you change over the pool -- pools of loans you've done the accounting for,"}, {"path": "tedlium_28896.wav", "duration": 7.02, "text": "for quality issues. So they wanted to get some assurance on that. They've also asked us to look at their entire supply chain risk management."}, {"path": "tedlium_28897.wav", "duration": 7.02, "text": "Yes, that is the bottom line. But I'll also repeat what I said in the script. There's obviously something going on with distraction,"}, {"path": "tedlium_28898.wav", "duration": 7.02, "text": "of securing additional acquisition, development and construction loans without increasing our overall leverage."}, {"path": "tedlium_28899.wav", "duration": 7.02, "text": "Our team across our entire footprint continues to look for and challenge, but from a pricing"}, {"path": "tedlium_28900.wav", "duration": 7.02, "text": "To give you some perspective, our previous channel addressed about 13% of the industrial and commercial lighting market."}, {"path": "tedlium_28901.wav", "duration": 7.02, "text": "We continue to pursue our strategy to diversify and grow the business through a disciplined acquisition program."}, {"path": "tedlium_28902.wav", "duration": 7.02, "text": "factor in all the talk about what's going to happen from a tax perspective at this point in time. Obviously, you know that. But"}, {"path": "tedlium_28903.wav", "duration": 7.02, "text": "And so we did see a number of customers in Europe trade out their Sis for X product"}, {"path": "tedlium_28904.wav", "duration": 7.02, "text": "These statements are subject to a variety of risks and uncertainties that could cause actual results to differ materially from expectations."}, {"path": "tedlium_28905.wav", "duration": 7.02, "text": "into cash. I think the area we probably will need to see some investment is probably in the platforms to"}, {"path": "tedlium_28906.wav", "duration": 7.02, "text": "The Community Solar facility at the Montana plant is the first large-scale solar facility to be owned and operated by the company."}, {"path": "tedlium_28907.wav", "duration": 7.02, "text": "We have an obligation to serve. And therefore, it's imperative that we work together with our communities as they continue to expand."}, {"path": "tedlium_28908.wav", "duration": 7.02, "text": "I make the extension here under current accounting because next year, we will have"}, {"path": "tedlium_28909.wav", "duration": 7.02, "text": "Thank you, JT, and thank all of you for joining the call this morning. It is great to be back on the ITG team."}, {"path": "tedlium_28910.wav", "duration": 7.02, "text": "but more importantly, the ability to better position that business with an asset that they own."}, {"path": "tedlium_28911.wav", "duration": 7.02, "text": "from every system and bring all of that data to wherever your customers are on every device. And so"}, {"path": "tedlium_28912.wav", "duration": 7.02, "text": "I also would like to extend a warm welcome to those of you who are following today's conference online."}, {"path": "tedlium_28913.wav", "duration": 7.02, "text": "and are subject to a number of uncertainties, risks and other factors which may cause the actual results, performance or achievements"}, {"path": "tedlium_28914.wav", "duration": 7.02, "text": "how that's unfolding? What the timing has been? And if you're seeing any response that you can discern?"}, {"path": "tedlium_28915.wav", "duration": 7.02, "text": "To support this, in the last 3 years, we've put new leaders in over half of our top management positions."}, {"path": "tedlium_28916.wav", "duration": 7.02, "text": "The majority of these patients are dissatisfied with currently available treatment options, primarily OTC laxatives, and"}, {"path": "tedlium_28917.wav", "duration": 7.02, "text": "is set to become a significant contributor to the business. So these things are now becoming"}, {"path": "tedlium_28918.wav", "duration": 7.02, "text": "over the last 5 consecutive December quarters. So it's not surprising that this quarter saw modest growth."}, {"path": "tedlium_28919.wav", "duration": 7.02, "text": "via expansion into other industries that also utilize the same class of employees."}, {"path": "tedlium_28920.wav", "duration": 7.02, "text": "We will drive for a consistent manufacturing look and feel to quickly assimilate good ideas across the network."}, {"path": "tedlium_28921.wav", "duration": 7.02, "text": "Needless to say, promoting the deployment of fuel-efficient aircraft will help control fuel cost increases."}, {"path": "tedlium_28922.wav", "duration": 7.02, "text": "While confidentiality agreements bar us from disclosing details of these transactions prior to closing,"}, {"path": "tedlium_28923.wav", "duration": 7.02, "text": "and we expect to continue to extract additional benefit from these investments as we further enhance our production processes."}, {"path": "tedlium_28924.wav", "duration": 7.02, "text": "and possible opportunities with potential partners and collaborators, and guidance regarding cash usage."}, {"path": "tedlium_28925.wav", "duration": 7.02, "text": "We remain, as always, focused on delivering transformative RNAi-based therapies to key patient populations"}, {"path": "tedlium_28926.wav", "duration": 7.02, "text": "In our Synodex business, we're focused on turning patient medical information into useful digital data."}, {"path": "tedlium_28927.wav", "duration": 7.02, "text": "And we started doing it, because we thought we could learn more by understanding how our consumer is"}, {"path": "tedlium_28928.wav", "duration": 7.02, "text": "which became effective October 3. At this stage, it's too early to evaluate the rule's ultimate impact."}, {"path": "tedlium_28929.wav", "duration": 7.02, "text": "so -- I don't know if that answers your question, but we continue to feel good about the underlying consumption performance of the portfolio."}, {"path": "tedlium_28930.wav", "duration": 7.02, "text": "You obviously grown strongly in that market. How you think that market is developing? If there is any risk"}, {"path": "tedlium_28931.wav", "duration": 7.02, "text": "A great combination and we would suggest compelling investment proposition by any measure."}, {"path": "tedlium_28932.wav", "duration": 7.02, "text": "to maximize their netbacks. In other words, our projects provide real value to producers."}, {"path": "tedlium_28933.wav", "duration": 7.02, "text": "how much of the general purpose 3D scanning market is going to be available to us. And it's really too early for us to"}, {"path": "tedlium_28934.wav", "duration": 7.02, "text": "customer cancellations and production bottlenecks leading to lower margins than expected."}, {"path": "tedlium_28935.wav", "duration": 7.02, "text": "value packaging or perhaps slowing the pace of new products or the pursuits of these white space opportunities you mentioned?"}, {"path": "tedlium_28936.wav", "duration": 7.02, "text": "During that Investor Day, we laid out some themes that are important to us. We talked about how we are"}, {"path": "tedlium_28937.wav", "duration": 7.02, "text": "The Martha brand has incredible reach and engagement online and across its media platform."}, {"path": "tedlium_28938.wav", "duration": 7.02, "text": "as well as broader industry sales pressures, including the continued impact of the Department of Labor Fiduciary Rules."}, {"path": "tedlium_28939.wav", "duration": 7.02, "text": "Walmart spent 5 months testing our batteries at room temperature and also in cold warehouses."}, {"path": "tedlium_28940.wav", "duration": 7.02, "text": "We define free cash flow as cash from operations less capital expenditures and excluding special items."}, {"path": "tedlium_28941.wav", "duration": 7.02, "text": "Since the beginning of the second quarter and shortly after we expanded operations in the Americas region,"}, {"path": "tedlium_28942.wav", "duration": 7.02, "text": "from the time we take an order until the time we build it by doing that. And that's a major benefit to us. It"}, {"path": "tedlium_28943.wav", "duration": 7.02, "text": "at the Chinese ports tick up a bit, and that certainly happened. But in terms of the China demand,"}, {"path": "tedlium_28944.wav", "duration": 7.02, "text": "Beginning with the period post spin from the company's former parent and in conjunction with the execution of new agreements,"}, {"path": "tedlium_28945.wav", "duration": 7.02, "text": "I mean, we are seeing increases in certain things related to corporate expenses as we continue to absorb the lease costs here,"}, {"path": "tedlium_28946.wav", "duration": 7.02, "text": "some of the movement here actually was never anticipated when we put this together and I think it speaks to"}, {"path": "tedlium_28947.wav", "duration": 7.02, "text": "So the denominator in fourth quarter growth percent is a little stronger than it had been in the other quarters. That's all."}, {"path": "tedlium_28948.wav", "duration": 7.02, "text": "detailed engineering, with a plan to be at 90% level of detailed engineering or better before the end of the year"}, {"path": "tedlium_28949.wav", "duration": 7.02, "text": "A. I've more to speak about on the coming quarters, but at first glance, if you look at the REIT side of our business as the growth area,"}, {"path": "tedlium_28950.wav", "duration": 7.02, "text": "with record revenue and net new actives, and we are well positioned to continue that growth."}, {"path": "tedlium_28951.wav", "duration": 7.02, "text": "There's an indie games opportunity that we see that Game Trust is just a part of it."}, {"path": "tedlium_28952.wav", "duration": 7.02, "text": "This is all growth and opportunities that won't be lost to shareholders under the MTY combination."}, {"path": "tedlium_28953.wav", "duration": 7.02, "text": "Is there any increased sense of urgency to pursue any of these kind of paths?"}, {"path": "tedlium_28954.wav", "duration": 7.02, "text": "we are raising our Q4 outlook versus what was implied in the annual expectations provided on our last earnings call."}, {"path": "tedlium_28955.wav", "duration": 7.02, "text": "where the timing of order approvals, particularly by government entities, can be difficult to predict."}, {"path": "tedlium_28956.wav", "duration": 7.02, "text": "That said, it has very restricted expression in healthy tissues making it a promising target for antibody-mediated therapy."}, {"path": "tedlium_28957.wav", "duration": 7.02, "text": "which have been shown to correlate with greater magnitude of treatment effect from checkpoint inhibitors in other clinical studies."}, {"path": "tedlium_28958.wav", "duration": 7.02, "text": "potentially as soon as the end of the year. In addition, given the scope of the combination approaches we want to explore,"}, {"path": "tedlium_28959.wav", "duration": 7.02, "text": "because now that physician has seen the entire process all the way through. And as Tim mentioned in his prepared comments,"}, {"path": "tedlium_28960.wav", "duration": 7.02, "text": "in those markets. And they're using price in many cases to try to get early access into the marketplace"}, {"path": "tedlium_28961.wav", "duration": 7.02, "text": "and the need to make existing reactors significantly more competitive with other sources of energy."}, {"path": "tedlium_28962.wav", "duration": 7.02, "text": "And then we had to kind of start to rebuild the assortment and rebuild operations in the field."}, {"path": "tedlium_28963.wav", "duration": 7.02, "text": "I don't think it changes much in the things that we do day in, day out, but I do think"}, {"path": "tedlium_28964.wav", "duration": 7.02, "text": "We believe that there are potential commercial as well as capital market benefits from size."}, {"path": "tedlium_28965.wav", "duration": 7.02, "text": "serving the immediate needs of their customers while, at the same time, minimizing the risk associated with any change to these systems."}, {"path": "tedlium_28966.wav", "duration": 7.02, "text": "It's not just the management of formulary, it is also the management of individual patient choice as we see these new products come out."}, {"path": "tedlium_28967.wav", "duration": 7.02, "text": "Looking forward, based upon our existing production and delivery schedules, we expect to generate modest"}, {"path": "tedlium_28968.wav", "duration": 7.02, "text": "But we've also changed our strategy so much in the past few years and this is where we see ourselves going forward,"}, {"path": "tedlium_28969.wav", "duration": 7.02, "text": "We do think that the new rules of ECB may represent an opportunity for Compass because"}, {"path": "tedlium_28970.wav", "duration": 7.02, "text": "We encourage you to review the company's annual and quarterly public filings on SEDAR or on the company's website."}, {"path": "tedlium_28971.wav", "duration": 7.02, "text": "marking our best quarter ever for products revenue and our fifth consecutive quarter of record product revenue."}, {"path": "tedlium_28972.wav", "duration": 7.02, "text": "to be able to bring our platform and frameworks to the next level. So on an average, one can -- it's reasonable to assume"}, {"path": "tedlium_28973.wav", "duration": 7.02, "text": "in our launch plans, and we remain confident in our ability to grow Nature's Recipe in this space."}, {"path": "tedlium_28974.wav", "duration": 7.02, "text": "Okay. And going back to the strengths that you guys are seeing in Brazil and Latin America,"}, {"path": "tedlium_28975.wav", "duration": 7.02, "text": "Our guidance numbers imply flat to slightly down ag sales for our products on a global basis"}, {"path": "tedlium_28976.wav", "duration": 7.02, "text": "This decrease was primarily driven by lower sales in the process systems business unit within Diversified Products."}, {"path": "tedlium_28977.wav", "duration": 7.02, "text": "Our progress towards operational excellence throughout the year was highlighted by the transformation of our Canadian business."}, {"path": "tedlium_28978.wav", "duration": 7.02, "text": "This was an opportunistic addition based on attractive contracting terms. We expect to average about 12 rigs"}, {"path": "tedlium_28979.wav", "duration": 7.02, "text": "We launched comfort bowls. And we're also optimizing our trade promotion. So overall, what we are seeing is that the brand is healthier"}, {"path": "tedlium_28980.wav", "duration": 7.02, "text": "customers and I'd say some of the areas around deregulation will be helpful as well"}, {"path": "tedlium_28981.wav", "duration": 7.02, "text": "Yes, I'd say it's principally that there are some technologies they just turned off because of their cash"}, {"path": "tedlium_28982.wav", "duration": 7.02, "text": "but we're still in the early innings of enterprise transformation and a lot of opportunity remains."}, {"path": "tedlium_28983.wav", "duration": 7.02, "text": "how should we think about the fees you're paying or the percentages for sales and commissions"}, {"path": "tedlium_28984.wav", "duration": 7.02, "text": "Please note that today's call is being recorded and is also being broadcast live over the Internet on the Sabre corporate website."}, {"path": "tedlium_28985.wav", "duration": 7.02, "text": "obviously, we've been putting on those forward contracts into a falling oil price market. So that will be"}, {"path": "tedlium_28986.wav", "duration": 7.02, "text": "We are continuing to work on improving reliability, improving all of our performance levels"}, {"path": "tedlium_28987.wav", "duration": 7.02, "text": "As Chris mentioned, in August, the New Jersey Board of Public Utilities approved the settlement authorizing Atlantic City Electric"}, {"path": "tedlium_28988.wav", "duration": 7.02, "text": "And on top of that, I would like to remind you that this presentation contains forward-looking statements,"}, {"path": "tedlium_28989.wav", "duration": 7.02, "text": "And so we do feel like we were able to incorporate feedback and gain support from both regions as we design the program. So"}, {"path": "tedlium_28990.wav", "duration": 7.02, "text": "We undertook further work to enable customer accounts to capture customer usage data as part of our personalization work."}, {"path": "tedlium_28991.wav", "duration": 7.02, "text": "When we've had those kind of things, you do get more first quarter business on your open footwear than you would normally get."}, {"path": "tedlium_28992.wav", "duration": 7.02, "text": "The potential here extends beyond just Devon and also to the many other operators with assets in the region."}, {"path": "tedlium_28993.wav", "duration": 7.02, "text": "I would say that each is a little different when you think about those MVCs on how to project those forward."}, {"path": "tedlium_28994.wav", "duration": 7.02, "text": "to quarter. And that's why we guide around 20, and we can see some quarterly volatility due to some of those other factors that you mentioned."}, {"path": "tedlium_28995.wav", "duration": 7.02, "text": "The comments around where gas prices are going if they go up, absent discipline by the industry"}, {"path": "tedlium_28996.wav", "duration": 7.02, "text": "This fragile economic environment increases the potential of the tightening-easing cycle by the Fed similar"}, {"path": "tedlium_28997.wav", "duration": 7.02, "text": "here in the fourth quarter to ground the Classics. And in order to"}, {"path": "tedlium_28998.wav", "duration": 7.02, "text": "like wellness and fitness services, food and beverage and other entertainment options."}, {"path": "tedlium_28999.wav", "duration": 7.02, "text": "This success we are experiencing in our public carrier market is evidence that we are beginning to win more business."}, {"path": "tedlium_29000.wav", "duration": 7.02, "text": "with additional talent, new facilities to service the wide diversity of our clients."}, {"path": "tedlium_29001.wav", "duration": 7.02, "text": "it's an efficient business. So it's one that has nice operating margins that's highly consistent with the rest of the business,"}, {"path": "tedlium_29002.wav", "duration": 7.02, "text": "We continue to focus on delivering top-tier performance and expect continued growth in Speedway earnings as we drive"}, {"path": "tedlium_29003.wav", "duration": 7.02, "text": "Attractive global feedstock availability and margins are driving resurgence in the Middle East and Europe."}, {"path": "tedlium_29004.wav", "duration": 7.02, "text": "we are confident our recent service initiatives will help drive continued improvements across our entire portfolio."}, {"path": "tedlium_29005.wav", "duration": 7.02, "text": "That can be taken into various categories that can remain very profitable."}, {"path": "tedlium_29006.wav", "duration": 7.02, "text": "competitors who, I would say, are more focused on growing rental and more focused on rental as really being the core"}, {"path": "tedlium_29007.wav", "duration": 7.02, "text": "We are executing our strategic initiatives in line with our plans and delivering against our financial and operating targets."}, {"path": "tedlium_29008.wav", "duration": 7.02, "text": "which Chris can allude to. If we can actually get that to work, absolutely right, you can convert Mponeng into a Sunrise"}, {"path": "tedlium_29009.wav", "duration": 7.02, "text": "Now in prior calls, we have defined what an unattractive price would be from a range,"}, {"path": "tedlium_29010.wav", "duration": 7.02, "text": "having the right people onboard, who want to go a new way and want to succeed. And that takes time. And we are"}, {"path": "tedlium_29011.wav", "duration": 7.02, "text": "So overall from an equity standpoint, there'll be considerable difference in our equity base compared to the prior year."}, {"path": "tedlium_29012.wav", "duration": 7.02, "text": "We really are just emphasizing looking for specialty deals that add technology or"}, {"path": "tedlium_29013.wav", "duration": 7.02, "text": "We've managed our debt structure efficiency -- efficiently and made incremental investments to drive performance."}, {"path": "tedlium_29014.wav", "duration": 7.02, "text": "and ocean freight arrivals were delayed into the Port of Houston for products enroute to our Oklahoma distribution facility."}, {"path": "tedlium_29015.wav", "duration": 7.0199375, "text": "in difficult times, it's hard to adjust the level that we would like given that revenues could"}, {"path": "tedlium_29016.wav", "duration": 6.99, "text": "But what I will emphasize is that part of the synergy for cloud computing"}, {"path": "tedlium_29017.wav", "duration": 6.99, "text": "And as mentioned already, we continue to see increases in the raw material prices,"}, {"path": "tedlium_29018.wav", "duration": 6.99, "text": "blast cell count type increases and everything in the Phase 2 has already been reported"}, {"path": "tedlium_29019.wav", "duration": 6.99, "text": "The cash flow will allow us to invest and pay dividends even though the markets are difficult."}, {"path": "tedlium_29020.wav", "duration": 6.99, "text": "in the Oil Liquids business in all regions and in the LNG business."}, {"path": "tedlium_29021.wav", "duration": 6.99, "text": "But even more importantly, knowing what drives your score can help you make smarter financial decisions and not only improve your score but also your financial health."}, {"path": "tedlium_29022.wav", "duration": 6.99, "text": "During your second question regarding other items, as a matter of fact,"}, {"path": "tedlium_29023.wav", "duration": 6.99, "text": "mobile business as far as either a percentage or a revenue amount"}, {"path": "tedlium_29024.wav", "duration": 6.99, "text": "We are enhancing our enablement programs and growing technical sales teams to elevate our positioning among prospective customers."}, {"path": "tedlium_29025.wav", "duration": 6.99, "text": "As I mentioned a little bit earlier, we do expect to come off a little bit in the fourth quarter in that segment"}, {"path": "tedlium_29026.wav", "duration": 6.99, "text": "as we invested in growth through both competitive pricing and capabilities in digital and commercial teams."}, {"path": "tedlium_29027.wav", "duration": 6.99, "text": "But it is quite regrettable that this measure is solely focusing or targeting against the telecom companies."}, {"path": "tedlium_29028.wav", "duration": 6.99, "text": "and progress within our corporate alliance partnerships has led to an increase in student enrollments in these areas."}, {"path": "tedlium_29029.wav", "duration": 6.99, "text": "entry criteria, which opens up another sizable portion of the population of HAE patients."}, {"path": "tedlium_29030.wav", "duration": 6.99, "text": "impact of slowing global growth and increasing leverage has also affected monetary policy."}, {"path": "tedlium_29031.wav", "duration": 6.99, "text": "related investments would decline somewhat and the tax rate would go up a little bit. Is that"}, {"path": "tedlium_29032.wav", "duration": 6.99, "text": "We continue to be encouraged by the progress we're making to execute against this clear and focused strategy."}, {"path": "tedlium_29033.wav", "duration": 6.99, "text": "already looks pretty fast? Or is there an element of pricing consideration in there as well when you think about prevention versus treatment? All"}, {"path": "tedlium_29034.wav", "duration": 6.99, "text": "Taking all of this into account, what would you say the pro forma EBITDA is of the network now?"}, {"path": "tedlium_29035.wav", "duration": 6.99, "text": "So I don't think we look at any one of those as significantly large but they typically screen pretty high"}, {"path": "tedlium_29036.wav", "duration": 6.99, "text": "At the same time, we believe ongoing cash flow generation from Solutions and Specialty Property"}, {"path": "tedlium_29037.wav", "duration": 6.99, "text": "Now I'll move over to a summary of the consolidated performance for the quarter. On a comparable basis,"}, {"path": "tedlium_29038.wav", "duration": 6.99, "text": "this deal we did with MetLife, and there's a significant pipeline behind that. These are really important"}, {"path": "tedlium_29039.wav", "duration": 6.99, "text": "the commodity environment was becoming more favorable. So we did end up on the lower end of the range that we discussed at the last call."}, {"path": "tedlium_29040.wav", "duration": 6.99, "text": "Additional information will be available when we file our Form 10-Q with the Securities and Exchange Commission."}, {"path": "tedlium_29041.wav", "duration": 6.99, "text": "between all of our sites and can see the flow of materials. As you know, we've got a highly integrated structure where"}, {"path": "tedlium_29042.wav", "duration": 6.99, "text": "We are working closely with Aquilo Partners to identify and evaluate potential product development candidates."}, {"path": "tedlium_29043.wav", "duration": 6.99, "text": "So thank you very much indeed for listening to our presentation, and we look forward to taking your questions."}, {"path": "tedlium_29044.wav", "duration": 6.99, "text": "As you might expect, lower vendor incentives had a significant impact on our fourth quarter results."}, {"path": "tedlium_29045.wav", "duration": 6.99, "text": "Right. And does that represent a certain share of what you see out there? Or is that just a"}, {"path": "tedlium_29046.wav", "duration": 6.99, "text": "and I think that's the justification that our model at the moment is very robust. A lot of people said where are the high comps and this and that."}, {"path": "tedlium_29047.wav", "duration": 6.99, "text": "for a number of reasons that we fully explained in our press release and in our Form 10-Q to be filed later today."}, {"path": "tedlium_29048.wav", "duration": 6.99, "text": "any substantial costs in connection with the 3 organization. This is more"}, {"path": "tedlium_29049.wav", "duration": 6.99, "text": "Market dynamics and our introduction of new Delta premium connections set this business up for a stronger second half of 2018 and"}, {"path": "tedlium_29050.wav", "duration": 6.99, "text": "but not trying to do all the same -- not trying to feed everyone from the same spoon, from the same facility, if you will."}, {"path": "tedlium_29051.wav", "duration": 6.99, "text": "Instead, as we move through this transition, we believe the best metrics to gauge the progress of our business"}, {"path": "tedlium_29052.wav", "duration": 6.99, "text": "and we are pleased with the rapid pace of execution against our strategic plan. As always,"}, {"path": "tedlium_29053.wav", "duration": 6.99, "text": "From a retail perspective, redemptions have been improving since the fourth quarter of last year on the back of improving performance."}, {"path": "tedlium_29054.wav", "duration": 6.99, "text": "and track records of consistent outperformance will be among the relatively small number of big winners."}, {"path": "tedlium_29055.wav", "duration": 6.99, "text": "of the good guy and, so to say, the addition of the costs. But it's actually quite a significant shift"}, {"path": "tedlium_29056.wav", "duration": 6.99, "text": "And we're not aware of what they do internally in every case, but we would expect them on the reinsurance"}, {"path": "tedlium_29057.wav", "duration": 6.99, "text": "such as the complete overhaul of supply chain management systems"}, {"path": "tedlium_29058.wav", "duration": 6.99, "text": "and our state political process engagement were 2 incremental"}, {"path": "tedlium_29059.wav", "duration": 6.99, "text": "Now let's take a look at our operating company's performance where I'll discuss adjusted results, where applicable."}, {"path": "tedlium_29060.wav", "duration": 6.99, "text": "power kind of power modules where we work with external partners."}, {"path": "tedlium_29061.wav", "duration": 6.99, "text": "We had strong financial results. We will give you specifics later in the call."}, {"path": "tedlium_29062.wav", "duration": 6.99, "text": "Though with the exception of a minority of headline project, the majority of these initiatives are generally smaller in"}, {"path": "tedlium_29063.wav", "duration": 6.99, "text": "the general outlook is very positive from an economic standpoint and from a commercial real estate"}, {"path": "tedlium_29064.wav", "duration": 6.99, "text": "some capacity to look for opportunities in the market if they arise and obviously at the right value."}, {"path": "tedlium_29065.wav", "duration": 6.99, "text": "We are steadily pursuing this core strategy for our existing product domains."}, {"path": "tedlium_29066.wav", "duration": 6.99, "text": "It will have the pixel density that's needed. It's designed for the optics that this company is"}, {"path": "tedlium_29067.wav", "duration": 6.99, "text": "the things that are necessary, which include hiring back salespeople, building out the appropriate product structure"}, {"path": "tedlium_29068.wav", "duration": 6.99, "text": "Asset servicing results were helped by the strong markets and new business, particularly in collateral management."}, {"path": "tedlium_29069.wav", "duration": 6.99, "text": "as our loans and securities reprice. Additionally, we expect to continue to harvest cost savings from our recent merger integrations."}, {"path": "tedlium_29070.wav", "duration": 6.99, "text": "As far as additional clinical work, we actually don't have to perform additional clinical trials. So that's"}, {"path": "tedlium_29071.wav", "duration": 6.99, "text": "we have plenty of liquidity to repay this maturity without needing to access the term debt market."}, {"path": "tedlium_29072.wav", "duration": 6.99, "text": "and they all rank high in that strategy, you start to capture them through one of your webs."}, {"path": "tedlium_29073.wav", "duration": 6.99, "text": "we've had nice pipeline contribution and then closings from those pipelines in every other market"}, {"path": "tedlium_29074.wav", "duration": 6.99, "text": "right away in the pulp agglomeration. It has about an 8-hour retention time, and we get those kind of extraction rates."}, {"path": "tedlium_29075.wav", "duration": 6.99, "text": "While we have more work to do, we are very pleased with the progress we made on each of these fronts in the first quarter."}, {"path": "tedlium_29076.wav", "duration": 6.99, "text": "Fourth, we believe we have further margin improvements available through our automation process"}, {"path": "tedlium_29077.wav", "duration": 6.99, "text": "requested by existing clients as compared to services related to new Q4 client wins."}, {"path": "tedlium_29078.wav", "duration": 6.99, "text": "and agility across the company in the same way we've accomplished it in our product and inventory initiatives."}, {"path": "tedlium_29079.wav", "duration": 6.99, "text": "it's good to see growth in usage of the fleet, and you see a significant growth"}, {"path": "tedlium_29080.wav", "duration": 6.99, "text": "I think after 5 years of leadership for the cochlear implant business being -- sitting here in Switzerland,"}, {"path": "tedlium_29081.wav", "duration": 6.99, "text": "relatively old stock loans where, as I said, we have undertaken all necessary steps to recover."}, {"path": "tedlium_29082.wav", "duration": 6.99, "text": "We believe the results will be better economies of scale, greater consistency across brands"}, {"path": "tedlium_29083.wav", "duration": 6.99, "text": "to really take advantage of our very powerful retail model going forward."}, {"path": "tedlium_29084.wav", "duration": 6.99, "text": "This is a delicate issue. I can say yes, we will or no, we won't"}, {"path": "tedlium_29085.wav", "duration": 6.99, "text": "To date, no child in the study who has had a finding of anything other than absent"}, {"path": "tedlium_29086.wav", "duration": 6.99, "text": "So we are the only ones in the industry to have this, and we're probably years away from anybody else in the industry."}, {"path": "tedlium_29087.wav", "duration": 6.99, "text": "And so with that in mind, I think how I would see it is"}, {"path": "tedlium_29088.wav", "duration": 6.99, "text": "So can you just kind of update us on where you stand with your Boeing and Airbus contracts and how you're approaching that going forward?"}, {"path": "tedlium_29089.wav", "duration": 6.99, "text": "in '15, and got margins back to kind of that mid-teens level, which is where we've historically guided the business. As a matter of fact,"}, {"path": "tedlium_29090.wav", "duration": 6.99, "text": "we're lining our pockets with inexpensive stock because we know that there's going to be something really, really positive."}, {"path": "tedlium_29091.wav", "duration": 6.99, "text": "and used the proceeds to make a capital contribution to Essent Re to support the ongoing growth of our Bermuda business."}, {"path": "tedlium_29092.wav", "duration": 6.99, "text": "Thank you. Thanks to all of our investors for joining today. Thank you once again for your past and future support of the company."}, {"path": "tedlium_29093.wav", "duration": 6.99, "text": "We're pleased to report another record quarter results, driven by strength in both our business segments."}, {"path": "tedlium_29094.wav", "duration": 6.99, "text": "that the company may not be able to fully offset the result -- the effect on earnings, considering the short transition period."}, {"path": "tedlium_29095.wav", "duration": 6.99, "text": "of trying to capture those opportunities, it's just going to take time. So I think the bottom line answer is that"}, {"path": "tedlium_29096.wav", "duration": 6.99, "text": "life is good. And if life was a little bit better, they would capture more sales and be able to go leverage the cost that we have there."}, {"path": "tedlium_29097.wav", "duration": 6.99, "text": "So a bit too early to really see whether it's all according to plan or whether it is 1 or 2 weeks longer, as it sometime"}, {"path": "tedlium_29098.wav", "duration": 6.99, "text": "So please be advised to review our reconciliation and related disclosures in our release at the end of our slides."}, {"path": "tedlium_29099.wav", "duration": 6.99, "text": "and strength relative to comparable basis weight TAD kitchen towel products while maintaining standards for feel."}, {"path": "tedlium_29100.wav", "duration": 6.99, "text": "moving along very nicely in the background as well. And then rest of the world, not a large part of the business"}, {"path": "tedlium_29101.wav", "duration": 6.99, "text": "In July, we signed a contract with the successor to Parkside to complete the remaining concrete superstructure work"}, {"path": "tedlium_29102.wav", "duration": 6.99, "text": "That really reflects the fact that we've got a very efficient financing structure in place."}, {"path": "tedlium_29103.wav", "duration": 6.99, "text": "either the second quarter revenue or the first half revenue, however you prefer to characterize it. And then"}, {"path": "tedlium_29104.wav", "duration": 6.99, "text": "The only thing I would add is based on the commodity groupings that make up the bulk of the material cost for the products that we produce,"}, {"path": "tedlium_29105.wav", "duration": 6.99, "text": "I think one of the really interesting things here is that a lot of the things that we've been working on in the residential standby market"}, {"path": "tedlium_29106.wav", "duration": 6.99, "text": "having a bigger impact on certain national accounts where they have bigger footprint in those areas of the country"}, {"path": "tedlium_29107.wav", "duration": 6.99, "text": "Over the last several weeks, however, we have seen log takeaway increase and return to more normalized levels."}, {"path": "tedlium_29108.wav", "duration": 6.99, "text": "This investment is particularly important now when the number of biologic drugs in development is increasing."}, {"path": "tedlium_29109.wav", "duration": 6.99, "text": "Their tenacity revealed the existence of these high-contaminant labs in almost every state."}, {"path": "tedlium_29110.wav", "duration": 6.99, "text": "My comparisons to fourth quarter 2017 amounts have been adjusted to exclude the impact of the settlement."}, {"path": "tedlium_29111.wav", "duration": 6.99, "text": "And what essentially will happen is, the income tax expense will only relate to the TRS side of the business"}, {"path": "tedlium_29112.wav", "duration": 6.99, "text": "From the operations and trading perspective, the legacy get go and night systems were essentially unaware of each other."}, {"path": "tedlium_29113.wav", "duration": 6.99, "text": "On a strategic note, we have long looked for ways to effectively enter the rapidly growing market of Latin America,"}, {"path": "tedlium_29114.wav", "duration": 6.99, "text": "And then there are a lesser percentage of that, that do that on an ongoing annual basis."}, {"path": "tedlium_29115.wav", "duration": 6.99, "text": "So with that, I was going to switch back to Dave to talk about our outlook for the balance of the year."}, {"path": "tedlium_29116.wav", "duration": 6.99, "text": "This is at the bottom of the target range, set to minimize the cost of capital for the group."}, {"path": "tedlium_29117.wav", "duration": 6.99, "text": "What they chose to do was negotiate a settlement with the harshest findings that the FTC has ever had against a pyramid scheme,"}, {"path": "tedlium_29118.wav", "duration": 6.99, "text": "The key elements of that include a limitation on compensation paid to distributors. So"}, {"path": "tedlium_29119.wav", "duration": 6.99, "text": "That reporting unit is impacted by lower print volumes. And we would expect to see that to continue,"}, {"path": "tedlium_29120.wav", "duration": 6.99, "text": "This concludes my review of the financial and operational results. Next, I'll cover a few outlook items."}, {"path": "tedlium_29121.wav", "duration": 6.99, "text": "And we could see margins move around during the course of the year as we look at different types of mix."}, {"path": "tedlium_29122.wav", "duration": 6.99, "text": "those opportunities, as we begin to commit to those opportunities, you can bet we will help you understand them."}, {"path": "tedlium_29123.wav", "duration": 6.99, "text": "I think there is also a lot of other productivity-type initiatives that"}, {"path": "tedlium_29124.wav", "duration": 6.99, "text": "I'm just curious, how does the Greenhill's mandate differ from that of your prior advisor?"}, {"path": "tedlium_29125.wav", "duration": 6.99, "text": "These patients have a very high mortality rate, and can have significant morbidity as a result of renal damage."}, {"path": "tedlium_29126.wav", "duration": 6.99, "text": "our initial wells down there. And once we see what the GOR trends are across our position, we'll be able to"}, {"path": "tedlium_29127.wav", "duration": 6.99, "text": "We continue to be pleased with the strength of our balance sheet and our ability to generate the cash we need to expand our global footprint."}, {"path": "tedlium_29128.wav", "duration": 6.99, "text": "Gross margin realized in the period and over the remaining term of the contract will be impacted by the changes"}, {"path": "tedlium_29129.wav", "duration": 6.99, "text": "flipping over a plan, correct? So we are generally not being asked to build smaller blades or generally always larger blades."}, {"path": "tedlium_29130.wav", "duration": 6.99, "text": "To see such a strong growth in this area on top of the strong growth we saw last year, is particularly heartening"}, {"path": "tedlium_29131.wav", "duration": 6.99, "text": "And I think it's going to be somewhat hit and miss across that territory. I think the upside"}, {"path": "tedlium_29132.wav", "duration": 6.99, "text": "More importantly, the term structure of the market is allowing those who have space to earn above-average returns on that space."}, {"path": "tedlium_29133.wav", "duration": 6.99, "text": "is we'll have the debt cleared to have it not be interrupted as we go into summer driving"}, {"path": "tedlium_29134.wav", "duration": 6.99, "text": "Finally, we are building our capabilities to manage populations with intellectual and developmental disabilities."}, {"path": "tedlium_29135.wav", "duration": 6.99, "text": "On Page 5, we have laid out some of my initial observations, priorities and outlook for the"}, {"path": "tedlium_29136.wav", "duration": 6.99, "text": "that it can't last, obviously, too much longer, but I think we need to be prepared for a couple of quarters"}, {"path": "tedlium_29137.wav", "duration": 6.99, "text": "going to these markets through disciplined restocking. They've been the 2 markets that have benefited the most"}, {"path": "tedlium_29138.wav", "duration": 6.99, "text": "We're trying very hard to get adoption rate quicker. We're doing all kinds of training, seminars."}, {"path": "tedlium_29139.wav", "duration": 6.99, "text": "I would conclude our standard presentation with this"}, {"path": "tedlium_29140.wav", "duration": 6.99, "text": "can you imagine to transport a container for the cost of a taxi ride? It's absolutely unrealistic."}, {"path": "tedlium_29141.wav", "duration": 6.99, "text": "Government policy in the key importing countries is prioritizing gas over coal and nuclear fuels."}, {"path": "tedlium_29142.wav", "duration": 6.99, "text": "But at this point in time, I think this is the right way to think about the numbers. And again, our approach has been to be"}, {"path": "tedlium_29143.wav", "duration": 6.99, "text": "have you seen increased volumes related to their large acquisition? And if not, do you still expect to in a meaningful way?"}, {"path": "tedlium_29144.wav", "duration": 6.99, "text": "or for this year, we do not anticipate any significant change"}, {"path": "tedlium_29145.wav", "duration": 6.99, "text": "underlying resource that is a tailwind for our business that you have not seen"}, {"path": "tedlium_29146.wav", "duration": 6.99, "text": "to provide larger and more comprehensive capital solutions to our borrowers than TCPC could pursue on its own."}, {"path": "tedlium_29147.wav", "duration": 6.99, "text": "that catalog will have my competitors' products in it. It will allow me to sit on top or around"}, {"path": "tedlium_29148.wav", "duration": 6.99, "text": "On a combined basis, our sales and margin development contributed to a constant currency increase"}, {"path": "tedlium_29149.wav", "duration": 6.99, "text": "In any case, as we look at the large leasing companies, there's a lot of change, and we intend to pursue opportunities that will enhance shareholder's value."}, {"path": "tedlium_29150.wav", "duration": 6.99, "text": "Across both civilian and defense agencies, we see significant opportunity for a wide spectrum of our service offerings,"}, {"path": "tedlium_29151.wav", "duration": 6.99, "text": "Second, our network of producers and customers is second to none, in each of these basins and markets."}, {"path": "tedlium_29152.wav", "duration": 6.99, "text": "We view this as a very positive development and believe that it validates the financial strength we continue to prioritize mainly."}, {"path": "tedlium_29153.wav", "duration": 6.99, "text": "I don't think we've been through all of it in the agency space, which is kind of just a little more than half of sec lending."}, {"path": "tedlium_29154.wav", "duration": 6.99, "text": "So all of these products are not products that are swapping in and out of our existing patient base."}, {"path": "tedlium_29155.wav", "duration": 6.99, "text": "We are confident that we have the processes, controls and key employees in place to remain in compliance as we move forward."}, {"path": "tedlium_29156.wav", "duration": 6.99, "text": "lots of opportunities we have put a few of the foundation pieces in place with IT, but"}, {"path": "tedlium_29157.wav", "duration": 6.99, "text": "And then, we'll replace our tractors when they're 5 years old and purchase tractors to support our growth in key markets where it makes sense."}, {"path": "tedlium_29158.wav", "duration": 6.99, "text": "But in addition to that, we're going to have a fuel price decline next year. So it's set up very well."}, {"path": "tedlium_29159.wav", "duration": 6.99, "text": "to affect the model change in Brazil from a distributor to a licensee. Excluding this change,"}, {"path": "tedlium_29160.wav", "duration": 6.99, "text": "We are also expanding local production capabilities throughout the region to reduce cost and to shorten lead times."}, {"path": "tedlium_29161.wav", "duration": 6.99, "text": "So, principally the facility is ready to go and it's really just about adding direct labor at this point."}, {"path": "tedlium_29162.wav", "duration": 6.99, "text": "we would ask you to refrain from asking questions regarding these issues or regarding the company's restated carve-out financials"}, {"path": "tedlium_29163.wav", "duration": 6.99, "text": "We are driving strong organic revenue growth, growing brands and audiences, improving sales execution,"}, {"path": "tedlium_29164.wav", "duration": 6.99, "text": "So really, we agreed to sell our share to that joint venture. I think it's a good outcome for both parties because"}, {"path": "tedlium_29165.wav", "duration": 6.99, "text": "Adjusted income from continuing operations exclude several items from GAAP income from continuing operations."}, {"path": "tedlium_29166.wav", "duration": 6.99, "text": "Forward-looking statements include statements that are not historical in nature and include information concerning our future results or plans."}, {"path": "tedlium_29167.wav", "duration": 6.99, "text": "Part of that was incorporated within the restructuring charge activities, and some of it was just"}, {"path": "tedlium_29168.wav", "duration": 6.99, "text": "part number mix that we're supplying and customer mix inside those major product lines. And I really didn't"}, {"path": "tedlium_29169.wav", "duration": 6.99, "text": "We've also recently focused a lot of time and energy on our installation and setting material product assortment."}, {"path": "tedlium_29170.wav", "duration": 6.99, "text": "participated in the feasibility studies and was instrumental in the negotiations with the government."}, {"path": "tedlium_29171.wav", "duration": 6.99, "text": "This is very important not only in the short run, but we are generally able to retain the customer for the long run."}, {"path": "tedlium_29172.wav", "duration": 6.99, "text": "We have continued to extend our geographic reach and expand our program management and network planning services."}, {"path": "tedlium_29173.wav", "duration": 6.99, "text": "which continues to offset much of the impact on our profitability from the weak pricing environment."}, {"path": "tedlium_29174.wav", "duration": 6.99, "text": "they're providing the best possible consumer value propositions and the best possible consumer experiences. So to the degree that"}, {"path": "tedlium_29175.wav", "duration": 6.9899375, "text": "The pace of the recovery in our industry accelerated in the fourth quarter and has remained strong through January."}, {"path": "tedlium_29176.wav", "duration": 6.96, "text": "Margins are product related. So you have to look at potential, improving"}, {"path": "tedlium_29177.wav", "duration": 6.96, "text": "Thank you. Ladies and gentlemen, this concludes today's conference. Thank you for participating, and you may now disconnect."}, {"path": "tedlium_29178.wav", "duration": 6.96, "text": "Both rebounded a bit on in the fourth quarter, a bit stronger performance in the Middle East and in Africa"}, {"path": "tedlium_29179.wav", "duration": 6.96, "text": "Continuing strong cash generation and the resulting deleveraging has given the board confidence"}, {"path": "tedlium_29180.wav", "duration": 6.96, "text": "We then leverage our Postmedia partnership to get our brand out in front of millions of Canadians at a scale that perhaps only the big banks can match."}, {"path": "tedlium_29181.wav", "duration": 6.96, "text": "Let me see if I can help you understand some moving pieces under that. We are definitely improving"}, {"path": "tedlium_29182.wav", "duration": 6.96, "text": "By now, you're probably sick of hearing me say that the size of our network has more than tripled from just 1 year ago,"}, {"path": "tedlium_29183.wav", "duration": 6.96, "text": "We achieved a number of important objectives over the last 12 months. I would like to highlight 2 in particular."}, {"path": "tedlium_29184.wav", "duration": 6.96, "text": "drug treatment facilities as well as licensed law enforcement. Currently, about half of our MedSafes are deployed"}, {"path": "tedlium_29185.wav", "duration": 6.96, "text": "And whether it be media or for commerce, we will strive for further growth."}, {"path": "tedlium_29186.wav", "duration": 6.96, "text": "Your insights, advice and constructive criticism have always been a great help to me and the board."}, {"path": "tedlium_29187.wav", "duration": 6.96, "text": "maybe you could comment on how that experience so far shapes your view on the potential for biosimilars for Merck from an offensive standpoint."}, {"path": "tedlium_29188.wav", "duration": 6.96, "text": "Now for our company, in terms of the batteries, it belongs to LG Chem. We're not going to"}, {"path": "tedlium_29189.wav", "duration": 6.96, "text": "I will refrain from any references to the past because I don't think that's, in this case,"}, {"path": "tedlium_29190.wav", "duration": 6.96, "text": "levels of activity, performance, goals or achievements or any other future events or development."}, {"path": "tedlium_29191.wav", "duration": 6.96, "text": "for example, maybe some insurance companies are going to be difficult to deal with? They're"}, {"path": "tedlium_29192.wav", "duration": 6.96, "text": "that we have to adhere to and they have to here to. But I think our progress is good, and so I don't see a change in"}, {"path": "tedlium_29193.wav", "duration": 6.96, "text": "are the net result of a mature Content Services business with approximately 30% project base revenues"}, {"path": "tedlium_29194.wav", "duration": 6.96, "text": "The focus is on continuing to improve flow of goods, delivery models, transportation, and handling cost."}, {"path": "tedlium_29195.wav", "duration": 6.96, "text": "Similar to Lloyd's, our International Specialty segment continues to experience challenging market conditions."}, {"path": "tedlium_29196.wav", "duration": 6.96, "text": "That speed, insight and level of transparency is unparalleled in our industry."}, {"path": "tedlium_29197.wav", "duration": 6.96, "text": "This excludes dilution from the NOVADAQ acquisition that Glenn will cover in his section."}, {"path": "tedlium_29198.wav", "duration": 6.96, "text": "Exactly. But you're still going to keep the kind of leverage -- or what is the target leverage range that you want to kind of see flexing around?"}, {"path": "tedlium_29199.wav", "duration": 6.96, "text": "And then in terms of the royalty rate, we've said previously that we expect"}, {"path": "tedlium_29200.wav", "duration": 6.96, "text": "And we haven't given exact guidance on this, but you could imagine that this is at least an order of a log"}, {"path": "tedlium_29201.wav", "duration": 6.96, "text": "When it comes to stamp prices, we're more or less in the middle of what we see"}, {"path": "tedlium_29202.wav", "duration": 6.96, "text": "new business that we've won, things have even improved for us when we did this deal originally with Sinotruk. So there are"}, {"path": "tedlium_29203.wav", "duration": 6.96, "text": "So far, the response that we're getting from people that we've shown this to has been very high."}, {"path": "tedlium_29204.wav", "duration": 6.96, "text": "And I'm proud to say in spite of the fact that we have added, as you know, last year, thousands more connections"}, {"path": "tedlium_29205.wav", "duration": 6.96, "text": "I would not expect more than the 90 basis points in the second half. If you look back"}, {"path": "tedlium_29206.wav", "duration": 6.96, "text": "and complexity rationalization program in the beginning of the year and this is a long-term program for us. So it was not a"}, {"path": "tedlium_29207.wav", "duration": 6.96, "text": "Just trying to get a sense of one-offs that we should anticipate in the first combined year of the show early next year."}, {"path": "tedlium_29208.wav", "duration": 6.96, "text": "First, by definition to receive a Breakthrough Therapy Designation, there must be preliminary clinical evidence"}, {"path": "tedlium_29209.wav", "duration": 6.96, "text": "and that we are cautiously optimistic about the future. Even if we were coming against a strong comparison base,"}, {"path": "tedlium_29210.wav", "duration": 6.96, "text": "With that, I'm not at all trying to indicate that there no longer is an issue. We all know that we need to work through litigation."}, {"path": "tedlium_29211.wav", "duration": 6.96, "text": "I believe it is important to focus on results over activity, to hold people accountable and to be stewards of our business."}, {"path": "tedlium_29212.wav", "duration": 6.96, "text": "And I'm consistent in my belief of strong fundamentals for Zinc and expect Zinc prices will remain strong in the near future."}, {"path": "tedlium_29213.wav", "duration": 6.96, "text": "mainly due to the negative impact of a change in revenue associated with sales volume and model mix."}, {"path": "tedlium_29214.wav", "duration": 6.96, "text": "with past practice. Having said that, as we do more of these strategic account deals,"}, {"path": "tedlium_29215.wav", "duration": 6.96, "text": "have you seen any surprises one way or the other? Do you think it's starting to get reflected"}, {"path": "tedlium_29216.wav", "duration": 6.96, "text": "We estimate these sites represent more than 1,600 patients who would be potentially eligible"}, {"path": "tedlium_29217.wav", "duration": 6.96, "text": "We look forward to continuing our discussions with the agency to finalize the protocol and initiating the trial later this year."}, {"path": "tedlium_29218.wav", "duration": 6.96, "text": "compared to the prior year period. The increase was primarily driven by the favorable impact of retail price increases"}, {"path": "tedlium_29219.wav", "duration": 6.96, "text": "The operations and manufacturing teams did a tremendous job completing the projects on time and on cost."}, {"path": "tedlium_29220.wav", "duration": 6.96, "text": "schedule and the current schedule. So you can see in the upper part of the graph that we eliminated most"}, {"path": "tedlium_29221.wav", "duration": 6.96, "text": "Ladies and gentlemen, thank you for standing by,"}, {"path": "tedlium_29222.wav", "duration": 6.96, "text": "for us, is very, very crucial because it is a new wave"}, {"path": "tedlium_29223.wav", "duration": 6.96, "text": "Both projects are a part of the major works that New York City Transit continues to undertake"}, {"path": "tedlium_29224.wav", "duration": 6.96, "text": "As it is, there are 30 well locations that have been identified to form part of that asset development plan,"}, {"path": "tedlium_29225.wav", "duration": 6.96, "text": "a challenge in terms of the commercial terms, but the development is ready to go, both from an oil and gas perspective."}, {"path": "tedlium_29226.wav", "duration": 6.96, "text": "Business is difficult to say because it all depends on the full relationship that you have. But on the consumer advertised price,"}, {"path": "tedlium_29227.wav", "duration": 6.96, "text": "increase, but we are capturing a significant portion of that increase every time it happens."}, {"path": "tedlium_29228.wav", "duration": 6.96, "text": "until that happens. And then to the extent that does happen and then there'll be a return of capital,"}, {"path": "tedlium_29229.wav", "duration": 6.96, "text": "and the generation of royalty income on energy assets held in our proprietary investments."}, {"path": "tedlium_29230.wav", "duration": 6.96, "text": "the resurgence of economic growth and some of the regulatory environment is driving logistics inflation specific to this market."}, {"path": "tedlium_29231.wav", "duration": 6.96, "text": "There's clearly much work to be done, but I like the progress that has been made and look forward to the team driving toward continued traction."}, {"path": "tedlium_29232.wav", "duration": 6.96, "text": "key things that need to happen in the next 2 quarters of '16 to keep you on track for your '17 plan?"}, {"path": "tedlium_29233.wav", "duration": 6.96, "text": "Right. And I think I recall at some earlier time that the company had discussed owning,"}, {"path": "tedlium_29234.wav", "duration": 6.96, "text": "I could have added less the project. So as Jim mentioned in his remarks and my comment,"}, {"path": "tedlium_29235.wav", "duration": 6.96, "text": "and may not be based on historical information. The forward-looking statements are based on management's current expectations and beliefs."}, {"path": "tedlium_29236.wav", "duration": 6.96, "text": "so the comparison is somewhat difficult. Nevertheless, Leasing was strong in both years. One other thing to consider,"}, {"path": "tedlium_29237.wav", "duration": 6.96, "text": "minimally invasive surgery department to kind of an essential part of the portfolio. And as that happens, I think more and more"}, {"path": "tedlium_29238.wav", "duration": 6.96, "text": "So we have goals that we're going to set in the next couple of months about what those costings can be but they're going to really be a byproduct of"}, {"path": "tedlium_29239.wav", "duration": 6.96, "text": "even with the mortgage business being slightly down. But when you get to the absolute levels of pipeline,"}, {"path": "tedlium_29240.wav", "duration": 6.96, "text": "And again, we see the evidence that sustainability is increasingly a long-term driver of growth."}, {"path": "tedlium_29241.wav", "duration": 6.96, "text": "We're going to accelerate capital investments to add manufacturing capacity and make our operations more efficient."}, {"path": "tedlium_29242.wav", "duration": 6.96, "text": "to have a lot of emails contacts these days, but this is almost like a bit of a surprise."}, {"path": "tedlium_29243.wav", "duration": 6.96, "text": "and together we are defining our new culture that will build upon and blend our strong heritages."}, {"path": "tedlium_29244.wav", "duration": 6.96, "text": "the cadence of tailwinds that your business has from the ramp of recent product launches and"}, {"path": "tedlium_29245.wav", "duration": 6.96, "text": "Most of this increase is due to spending for our fifth e-commerce fulfillment center, which is scheduled to open next year."}, {"path": "tedlium_29246.wav", "duration": 6.96, "text": "On Power Systems, again, growth across both of its core revenue streams of OE and services"}, {"path": "tedlium_29247.wav", "duration": 6.96, "text": "Our capital ratios remain well in excess of both regulatory measures and internal policy levels,"}, {"path": "tedlium_29248.wav", "duration": 6.96, "text": "It was classified as a serious adverse event and was successfully treated. As a result and as expected"}, {"path": "tedlium_29249.wav", "duration": 6.96, "text": "as our first product launch into that existing enzyme market is moving very nicely toward commercialization."}, {"path": "tedlium_29250.wav", "duration": 6.96, "text": "Activity in our industrial business is being driven by a number of new product developments we are working on."}, {"path": "tedlium_29251.wav", "duration": 6.96, "text": "And diluted shares may fluctuate due to both share repurchases and the dilutive effect from the outstanding warrants."}, {"path": "tedlium_29252.wav", "duration": 6.96, "text": "In summary, we delivered strong earnings per share and maintained profitability in a volatile environment."}, {"path": "tedlium_29253.wav", "duration": 6.96, "text": "I will tell you going -- thinking about last fourth quarter and go 2 years ago and 3 years ago,"}, {"path": "tedlium_29254.wav", "duration": 6.96, "text": "Any investment required to comply with the Clean Power Plan would be incremental to our current CapEx plan."}, {"path": "tedlium_29255.wav", "duration": 6.96, "text": "while maintaining the conservative character of our investment program to the fullest extent possible."}, {"path": "tedlium_29256.wav", "duration": 6.96, "text": "These in silico tools amount largely to educated guesswork based on assumptions"}, {"path": "tedlium_29257.wav", "duration": 6.96, "text": "but it intuitively makes sense that they should complement each other because it has been shown"}, {"path": "tedlium_29258.wav", "duration": 6.96, "text": "tried to answer a similar question before by saying, with the improved identification"}, {"path": "tedlium_29259.wav", "duration": 6.96, "text": "It is also estimated that over 70% of women will develop the Candida infection during their reproductive lifetimes."}, {"path": "tedlium_29260.wav", "duration": 6.96, "text": "changing reporting relationships or not being able to rely as much on in-person conversations to execute responsibilities."}, {"path": "tedlium_29261.wav", "duration": 6.96, "text": "I think one thing that really caught me is a big positive is that they're back to being able to export some equipment offshore."}, {"path": "tedlium_29262.wav", "duration": 6.96, "text": "That's why the recovery is coming slowly and not immediately visible in the profitability."}, {"path": "tedlium_29263.wav", "duration": 6.96, "text": "Once that's established with the color solutions portfolio, not only will we be backward integrated"}, {"path": "tedlium_29264.wav", "duration": 6.96, "text": "We are pleased that Sinopharm remains strongly supportive of our relationship and our business."}, {"path": "tedlium_29265.wav", "duration": 6.96, "text": "Most of this interaction tends to be the source of confusion and dissatisfaction for the patient."}, {"path": "tedlium_29266.wav", "duration": 6.96, "text": "Here, you can see the results of our strong underwriting discipline as there are only 3 loans delinquent greater than 90 days"}, {"path": "tedlium_29267.wav", "duration": 6.96, "text": "But the real benefit of having a platform like hydrogel is that it has so many potential applications."}, {"path": "tedlium_29268.wav", "duration": 6.96, "text": "you can adjust, if needed, if you're not going to see maybe some of the fee or the loan growth targets there that you've laid out?"}, {"path": "tedlium_29269.wav", "duration": 6.96, "text": "Link Square in Shanghai also managed to deliver extraordinary growth in a competitive market"}, {"path": "tedlium_29270.wav", "duration": 6.96, "text": "for decades and decades and decades. And I think, this is why"}, {"path": "tedlium_29271.wav", "duration": 6.96, "text": "The conference is now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_29272.wav", "duration": 6.96, "text": "and a large part of that was just some promotional activity that didn't play out the way that we thought we would."}, {"path": "tedlium_29273.wav", "duration": 6.96, "text": "so that the revenue that we have foregone in selective origination is more than compensated for in credit losses."}, {"path": "tedlium_29274.wav", "duration": 6.96, "text": "These record results are inclusive of some isolated challenges we encountered with On Time Express,"}, {"path": "tedlium_29275.wav", "duration": 6.96, "text": "Today's release and conference call both contain non-GAAP financial measures that exclude the impact of certain business events."}, {"path": "tedlium_29276.wav", "duration": 6.96, "text": "Our billing system conversion in the Northeast Division is also well underway, with expected completion later this year."}, {"path": "tedlium_29277.wav", "duration": 6.96, "text": "and is poised to fuel growth over the long term. And we're off to an exceptional start this year"}, {"path": "tedlium_29278.wav", "duration": 6.96, "text": "that momentum. But is there anything else in there in terms of mix, whether it be"}, {"path": "tedlium_29279.wav", "duration": 6.96, "text": "in the second quarter and the third quarter and will into the fourth quarter of really balancing the health of our assortment."}, {"path": "tedlium_29280.wav", "duration": 6.96, "text": "and that we did not believe that stock market trading liquidity would be enhanced by dual listing."}, {"path": "tedlium_29281.wav", "duration": 6.96, "text": "These increases were partially offset by a 4% decline in loads from durable goods customers."}, {"path": "tedlium_29282.wav", "duration": 6.96, "text": "This comes from more and more people being exposed to the C Series' in-service performance,"}, {"path": "tedlium_29283.wav", "duration": 6.96, "text": "Our customers spend more and more time in our app to check balances, make transfers, pay bills, apply for products,"}, {"path": "tedlium_29284.wav", "duration": 6.96, "text": "Another requirement for the submission is to have safety and efficacy data"}, {"path": "tedlium_29285.wav", "duration": 6.96, "text": "In some respects, the hardest work is behind us, but now we've got to come in and make it all work."}, {"path": "tedlium_29286.wav", "duration": 6.96, "text": "no occupancy headwind or tailwind, I think that's probably a good guide long term in terms of how to think about top line."}, {"path": "tedlium_29287.wav", "duration": 6.96, "text": "And as we have always indicated, we'll have a substantial haulage cost to the fringe of our served market."}, {"path": "tedlium_29288.wav", "duration": 6.96, "text": "While foreign exchange rates are less favorable than in 2015, they remain very advantageous."}, {"path": "tedlium_29289.wav", "duration": 6.96, "text": "and be able to actually activate marketing decisions and marketing plans based upon"}, {"path": "tedlium_29290.wav", "duration": 6.96, "text": "If the market does not give you the appropriate value"}, {"path": "tedlium_29291.wav", "duration": 6.96, "text": "lines of our financial statement, starting with the operating income on the rental segment."}, {"path": "tedlium_29292.wav", "duration": 6.96, "text": "The fact that green was declining was probably coffee was probably a good space to play in during that period of time."}, {"path": "tedlium_29293.wav", "duration": 6.96, "text": "into our other New Orleans manufacturing plants by the end of the calendar year."}, {"path": "tedlium_29294.wav", "duration": 6.96, "text": "For Pillsbury, persistent competitive activity and soft category performance continued to impact top line trends."}, {"path": "tedlium_29295.wav", "duration": 6.96, "text": "what happened during the first day was that the name ban was lifted on the 7 individuals"}, {"path": "tedlium_29296.wav", "duration": 6.96, "text": "a -- entering these new markets has been part of that plan. The truth is, is we are very small in every market that we're in."}, {"path": "tedlium_29297.wav", "duration": 6.96, "text": "For a no-fee card including a credit card, that is higher than any other card in Canada for no fees,"}, {"path": "tedlium_29298.wav", "duration": 6.96, "text": "Wafer thinning for fan out packaging requires both high selectivity and a fast etch rate."}, {"path": "tedlium_29299.wav", "duration": 6.96, "text": "and on the previous call, we are slightly more optimistic about these emerging markets moving forward in aggregate."}, {"path": "tedlium_29300.wav", "duration": 6.96, "text": "and I think the industry is stretched to be able to do those, and an excessive amount of overtime"}, {"path": "tedlium_29301.wav", "duration": 6.96, "text": "many years ago in the North Sea, for us, in Norway and then spread across the company and served as the foundation"}, {"path": "tedlium_29302.wav", "duration": 6.96, "text": "And what we've done is because of the increasing volumes and interests in quality and additional"}, {"path": "tedlium_29303.wav", "duration": 6.96, "text": "Our expanded and comprehensive portfolios will provide us with additional opportunities for enterprise contracts."}, {"path": "tedlium_29304.wav", "duration": 6.96, "text": "Important to remember that our first quarter is historically a seasonally low quarter for absorption."}, {"path": "tedlium_29305.wav", "duration": 6.96, "text": "and we began the relaunch of Stride late in the quarter, which should improve shares in the months ahead."}, {"path": "tedlium_29306.wav", "duration": 6.96, "text": "So this is based on our analysis of what could occur from the potential legislation."}, {"path": "tedlium_29307.wav", "duration": 6.96, "text": "with the commercial activity of Bankinter continues growing. The negative impact"}, {"path": "tedlium_29308.wav", "duration": 6.96, "text": "And before I go through those different offerings, I want to go back a step and remind you how we even get here."}, {"path": "tedlium_29309.wav", "duration": 6.96, "text": "The operating expenses of the group have reduced through continued strong cost management."}, {"path": "tedlium_29310.wav", "duration": 6.96, "text": "had any refinements in terms of your thinking on promotional programs. As I recall about a year ago, you had some very"}, {"path": "tedlium_29311.wav", "duration": 6.96, "text": "and utilize that pad drilling. So areas where we have water infrastructure in place, areas where pads have maybe not been reclaimed,"}, {"path": "tedlium_29312.wav", "duration": 6.96, "text": "We control at the end of the day, the agency and the client relationship directly, and we control the inventory."}, {"path": "tedlium_29313.wav", "duration": 6.96, "text": "We have many opportunities to drive efficiencies in the business, and we have the right leadership team in place to leverage operating discipline built by Modine"}, {"path": "tedlium_29314.wav", "duration": 6.96, "text": "We continue to see a high level of global activity relating to electric vehicle in the automotive specialty truck and bus markets."}, {"path": "tedlium_29315.wav", "duration": 6.96, "text": "Data from other countries and our own experience indicate social investments reduce health care costs,"}, {"path": "tedlium_29316.wav", "duration": 6.96, "text": "So it is -- it led to him not spending and it led to Clinton not thinking she needed to spend."}, {"path": "tedlium_29317.wav", "duration": 6.96, "text": "I know that customer relationships tend to be very sticky in the industry. And I was just wondering if"}, {"path": "tedlium_29318.wav", "duration": 6.96, "text": "But again, when you dig into the leases that we're signing, the redevelopments that they're setting up,"}, {"path": "tedlium_29319.wav", "duration": 6.96, "text": "on the work that we're doing currently with the local communities and the authorities in Peru"}, {"path": "tedlium_29320.wav", "duration": 6.96, "text": "challenge, and we have a number of great projects going forward here, developing new applications that'll help in the long term."}, {"path": "tedlium_29321.wav", "duration": 6.96, "text": "The nature of the relationship that could be maintained between the entities is certainly an important part that we want to understand what the bookends are. So we'll"}, {"path": "tedlium_29322.wav", "duration": 6.96, "text": "and we are hopeful that we will resolve a meaningful amount of these change orders and claims by the end of the year"}, {"path": "tedlium_29323.wav", "duration": 6.96, "text": "You touched on this to some degree on the prepared remarks around the Pixel, but how are the conversations going now?"}, {"path": "tedlium_29324.wav", "duration": 6.96, "text": "and were down slightly by approximately 1% for the same period, primarily as a result of continued weakness in the Canadian dollar."}, {"path": "tedlium_29325.wav", "duration": 6.96, "text": "not that it's easy to price the risk, but I don't think the premium for a commercial loan or the risk that goes along with a commercial loan"}, {"path": "tedlium_29326.wav", "duration": 6.96, "text": "This is in contrast to what we know about long-term olanzapine use where weight gain may continue for many months and years."}, {"path": "tedlium_29327.wav", "duration": 6.96, "text": "In addition, base prices have dropped by a few discount points due to a heavy influx of import products."}, {"path": "tedlium_29328.wav", "duration": 6.96, "text": "in the secular shift away from cash and checks to electronic payments?"}, {"path": "tedlium_29329.wav", "duration": 6.96, "text": "I encourage you to review these reports for the full details, but I will touch on 5 highlights here."}, {"path": "tedlium_29330.wav", "duration": 6.9300625, "text": "And the best is to be prepared for that and especially situations in downturns,"}, {"path": "tedlium_29331.wav", "duration": 6.93, "text": "will be positive but not material, mainly in our DECISION division."}, {"path": "tedlium_29332.wav", "duration": 6.93, "text": "These 2 trials are now proceeding in parallel and actively enrolling patients."}, {"path": "tedlium_29333.wav", "duration": 6.93, "text": "higher hedged fuel prices and marketing on both of the new ships will restrict the profit growth"}, {"path": "tedlium_29334.wav", "duration": 6.93, "text": "the message is just that we're looking to be maybe more flexible in terms of the way in which we construct the insurer arrangements. And"}, {"path": "tedlium_29335.wav", "duration": 6.93, "text": "general and administrative expenses, partially offset by an increase in salaries and benefits."}, {"path": "tedlium_29336.wav", "duration": 6.93, "text": "pretty clearly, deployment services is not a big part of international, but the attached services are."}, {"path": "tedlium_29337.wav", "duration": 6.93, "text": "meaningful improvement in the contractual market. And what I would remind you of is that we saw negative rates"}, {"path": "tedlium_29338.wav", "duration": 6.93, "text": "Therefore, there may be a limited comparability of future CapEx to historical CapEx results as it relates to Swift."}, {"path": "tedlium_29339.wav", "duration": 6.93, "text": "I -- we didn't drop was much to the bottom line this fourth quarter as we normally would have liked to have."}, {"path": "tedlium_29340.wav", "duration": 6.93, "text": "So I shared this with you in the previous results meeting as well. But going forward,"}, {"path": "tedlium_29341.wav", "duration": 6.93, "text": "that I'm fully reassured quite yet. And the reason I say that is I regard volatility adjuster,"}, {"path": "tedlium_29342.wav", "duration": 6.93, "text": "And as for your question on the duration, I do not think it would be that long."}, {"path": "tedlium_29343.wav", "duration": 6.93, "text": "you can see that after nine months, we have basically doubled the customer base and we still have"}, {"path": "tedlium_29344.wav", "duration": 6.93, "text": "over the last 10 weeks is the quality of the design capability that we have within the company."}, {"path": "tedlium_29345.wav", "duration": 6.93, "text": "with the balance of the decline being attributable to the higher pension cost and the impact of translation,"}, {"path": "tedlium_29346.wav", "duration": 6.93, "text": "Looking forward, we will remain focused on executing on our launches and driving the performance of our strongest brands"}, {"path": "tedlium_29347.wav", "duration": 6.93, "text": "And so now we would like to take questions that we have received online."}, {"path": "tedlium_29348.wav", "duration": 6.93, "text": "to amalgamate that information. And you compare it against the original amount of revenue that was recorded."}, {"path": "tedlium_29349.wav", "duration": 6.93, "text": "I think you will agree that represents a significant increase in value for our business and for shareholders."}, {"path": "tedlium_29350.wav", "duration": 6.93, "text": "Our international contracts are relatively new and are mostly for specialized drilling,"}, {"path": "tedlium_29351.wav", "duration": 6.93, "text": "Half of the increase was really an adjustment that reduced fourth quarter costs."}, {"path": "tedlium_29352.wav", "duration": 6.93, "text": "Ladies and gentlemen, thank you for your participation in today's conference. This concludes the program, and you may now disconnect. Everyone"}, {"path": "tedlium_29353.wav", "duration": 6.93, "text": "These encouraging signs of new activity leads us to believe that the bottom of this down turn is behind us."}, {"path": "tedlium_29354.wav", "duration": 6.93, "text": "This starts to demonstrate the progress on our objective to improve the group's revenue performance through the period of the Growth Acceleration Plan."}, {"path": "tedlium_29355.wav", "duration": 6.93, "text": "new NOVOS control system across all these rigs. We have a fantastic capability in terms of being machine automation"}, {"path": "tedlium_29356.wav", "duration": 6.93, "text": "Our teams are focused on delivering productivity, while we continue to invest in expanding coverage and launching new products."}, {"path": "tedlium_29357.wav", "duration": 6.93, "text": "with the State of California that we've been selected to build and it will come out in task orders."}, {"path": "tedlium_29358.wav", "duration": 6.93, "text": "With that, let's discuss our outlook and some additional assumptions that guide our view."}, {"path": "tedlium_29359.wav", "duration": 6.93, "text": "As another example, we continue to see a compelling opportunity in the insurance sector for customized solutions."}, {"path": "tedlium_29360.wav", "duration": 6.93, "text": "Also thanks to the differentiation in the offer we are building and the coverage of the different needs,"}, {"path": "tedlium_29361.wav", "duration": 6.93, "text": "For the first half of 2018, we have increased gross and operating margins by over 200 basis points"}, {"path": "tedlium_29362.wav", "duration": 6.93, "text": "acquisition or integration costs would be excluded from that number?"}, {"path": "tedlium_29363.wav", "duration": 6.93, "text": "as we believe that it is very important that the rating agencies, the investors and the community of research analysts"}, {"path": "tedlium_29364.wav", "duration": 6.93, "text": "the Asian Exploration and also the renovated Pad Thai? It seems like particularly on the Asian Exploration, it's more"}, {"path": "tedlium_29365.wav", "duration": 6.93, "text": "You will notice that U.S. tax reform did not have a net impact on earnings per common share during the quarter."}, {"path": "tedlium_29366.wav", "duration": 6.93, "text": "of the drug benefit that it's on and the amount of money that's spent over the course of time"}, {"path": "tedlium_29367.wav", "duration": 6.93, "text": "However, time and again, we have reiterated that we are not dependent on any single market to drive our future growth."}, {"path": "tedlium_29368.wav", "duration": 6.93, "text": "When everybody spends all the effort on developing new products,"}, {"path": "tedlium_29369.wav", "duration": 6.93, "text": "And on a personal note, I couldn't be more excited about the opportunities that lie ahead for our company."}, {"path": "tedlium_29370.wav", "duration": 6.93, "text": "No. The lawyer's going to say did you supervise to see that the contract that you had in place"}, {"path": "tedlium_29371.wav", "duration": 6.93, "text": "I want to make sure that I heard correctly. You're talking about some of the new product introductions that you have out there,"}, {"path": "tedlium_29372.wav", "duration": 6.93, "text": "Was distribution up? I'd say probably the one that I'm a little bit more cautious on -- 2 of them would be"}, {"path": "tedlium_29373.wav", "duration": 6.93, "text": "I think at the moment, we do not have any indication for further acceleration."}, {"path": "tedlium_29374.wav", "duration": 6.93, "text": "This was primarily due to the positive impact from the introduction of brand new and fully remodeled automobiles,"}, {"path": "tedlium_29375.wav", "duration": 6.93, "text": "In conjunction with these commission plan changes and in furtherance of our focus on recurring revenue,"}, {"path": "tedlium_29376.wav", "duration": 6.93, "text": "Because we had already established a ecosystem of partners over the last few years"}, {"path": "tedlium_29377.wav", "duration": 6.93, "text": "We provided you with a sensitivity analysis so you can see the magnitude of the benefit with stock price fluctuations."}, {"path": "tedlium_29378.wav", "duration": 6.93, "text": "Our innovation efforts are targeted at the ongoing transformation of the construction, agriculture and transportation industries,"}, {"path": "tedlium_29379.wav", "duration": 6.93, "text": "our team across the globe continues to identify new opportunities to add value to our existing customers"}, {"path": "tedlium_29380.wav", "duration": 6.93, "text": "as well as the impact of stranded costs. We are tracking to our plan to reduce our home office expenses."}, {"path": "tedlium_29381.wav", "duration": 6.93, "text": "benefiting from expansions in Houston and Edmonton that we brought online and from additions to our Jones Act tanker fleet."}, {"path": "tedlium_29382.wav", "duration": 6.93, "text": "was to be repaid from upfront and first year payments from new partnering agreements over the next 4 years."}, {"path": "tedlium_29383.wav", "duration": 6.93, "text": "But together, that team are working on how we make sure we've got absolutely the right people. We"}, {"path": "tedlium_29384.wav", "duration": 6.93, "text": "Our conversations had historically been weighted down by a complex business model that read more like a Chinese menu."}, {"path": "tedlium_29385.wav", "duration": 6.93, "text": "Capital investment is going to play an important role in Morinaga's future growth."}, {"path": "tedlium_29386.wav", "duration": 6.93, "text": "And as you can see, none of the major competing products has a particularly high market share."}, {"path": "tedlium_29387.wav", "duration": 6.93, "text": "the result of this quarter has been burdened with a provision, which in our opinion, should"}, {"path": "tedlium_29388.wav", "duration": 6.93, "text": "we've been able to improve our results. Even though we have had"}, {"path": "tedlium_29389.wav", "duration": 6.93, "text": "After factoring in the first 3 weeks of February that contributed to the Spring Rush,"}, {"path": "tedlium_29390.wav", "duration": 6.93, "text": "Weather and the impact it has on heating demand will continue to be the biggest driver of our retail propane segment."}, {"path": "tedlium_29391.wav", "duration": 6.93, "text": "and over half of our end market exposure is related to industrial applications."}, {"path": "tedlium_29392.wav", "duration": 6.93, "text": "However, we expect oil and gas revenue will decline in the second half of the year, albeit at a slower rate than in the first half."}, {"path": "tedlium_29393.wav", "duration": 6.93, "text": "to help drive growth momentum in areas with the strongest profitability, and we feel good about our new business mix."}, {"path": "tedlium_29394.wav", "duration": 6.93, "text": "We are typically able to bring real value to our clients in a matter of weeks and sometimes days"}, {"path": "tedlium_29395.wav", "duration": 6.93, "text": "This impacted several key metrics very positively, including merchandise margin for the fourth quarter,"}, {"path": "tedlium_29396.wav", "duration": 6.93, "text": "use, so that we can automate some of these inspections that are costing us a lot of time and effort"}, {"path": "tedlium_29397.wav", "duration": 6.93, "text": "if you take the organic and the bolt-on, which is normally the growth rate we would have reported historically"}, {"path": "tedlium_29398.wav", "duration": 6.93, "text": "Despite the revenue decline, we experienced sequential improvement in our trading activity relative to overall market-wide trading"}, {"path": "tedlium_29399.wav", "duration": 6.93, "text": "This body of work will be critical to guiding our future investments, both organic and inorganic."}, {"path": "tedlium_29400.wav", "duration": 6.93, "text": "So we feel very good about this maturity curve and the fact that it hasn't really shifted"}, {"path": "tedlium_29401.wav", "duration": 6.93, "text": "As such, we expect manageable credit costs, while much of the provision for credit losses will cover the incremental loan growth."}, {"path": "tedlium_29402.wav", "duration": 6.93, "text": "we've got about -- if I remember right, 40% of our loans kind of in the near term are impacted by the change in rate."}, {"path": "tedlium_29403.wav", "duration": 6.93, "text": "Although, Gauteng bakeries recorded volume and profit growth, competition in the coastal regions intensified,"}, {"path": "tedlium_29404.wav", "duration": 6.93, "text": "That model has generated engagement 8x higher than average depending on the specific device used"}, {"path": "tedlium_29405.wav", "duration": 6.93, "text": "represent a continuation as we've messaged throughout this segment of customers, sort of in that middle"}, {"path": "tedlium_29406.wav", "duration": 6.93, "text": "We will also be building a sales function that has focused roles, including sales operation and inside sales functions."}, {"path": "tedlium_29407.wav", "duration": 6.93, "text": "We sought to make decisions that would balance our existing revenue while also planning for the future state of our operating model."}, {"path": "tedlium_29408.wav", "duration": 6.93, "text": "we see a similar development where Europe and Asia has been strong, America"}, {"path": "tedlium_29409.wav", "duration": 6.93, "text": "we have achieved the level of market penetration we need to build a profitable and self-sustaining business."}, {"path": "tedlium_29410.wav", "duration": 6.93, "text": "Our momentum continues on a positive trajectory, and we continue to prepare for the future."}, {"path": "tedlium_29411.wav", "duration": 6.93, "text": "business that those products might generate as being something where you've identified a need"}, {"path": "tedlium_29412.wav", "duration": 6.93, "text": "N for nausea that we launched during the most recent quarter that continues to do well and is very successful"}, {"path": "tedlium_29413.wav", "duration": 6.93, "text": "please review the reports and documents filed from time to time by Bridgeline Digital with the Securities and Exchange Commission."}, {"path": "tedlium_29414.wav", "duration": 6.93, "text": "So that's where the optionality clearly exists when you get in the outer years of this plan, assuming we execute and deliver"}, {"path": "tedlium_29415.wav", "duration": 6.93, "text": "a large asset retirement obligation associated with your Germany acquisition. So I was just wondering if you'd give me a sense of"}, {"path": "tedlium_29416.wav", "duration": 6.93, "text": "And so now you've got the same amount of liquor stores competing for less business with less people,"}, {"path": "tedlium_29417.wav", "duration": 6.93, "text": "we have experienced increased end-market pressures in certain parts of our defense and adjacent markets."}, {"path": "tedlium_29418.wav", "duration": 6.93, "text": "as well as large-scale gathering systems previously located within our central operating area."}, {"path": "tedlium_29419.wav", "duration": 6.93, "text": "for the parties which with -- with which we had discussions. We were attractive on many fronts."}, {"path": "tedlium_29420.wav", "duration": 6.93, "text": "and then equally at the midpoint of our prior communications. Again, I would stress on a contracted basis, not assuming"}, {"path": "tedlium_29421.wav", "duration": 6.93, "text": "We also provide firefighting and other utility services in Alaska, which tend to be much more active in the warmer months."}, {"path": "tedlium_29422.wav", "duration": 6.93, "text": "At the present time, we are continuing to work with MSHA to develop a plan that will allow for extraction of the longwall equipment from the current panel,"}, {"path": "tedlium_29423.wav", "duration": 6.93, "text": "which we believe is the lowest underground cost per ton across any portfolio in the Eastern United States."}, {"path": "tedlium_29424.wav", "duration": 6.93, "text": "Based on the feedback we receive at that FDA meeting as well as data from additional manufacturing runs,"}, {"path": "tedlium_29425.wav", "duration": 6.93, "text": "As we have expanded our commercial footprint in our expanding our penetration beyond the initial contract win,"}, {"path": "tedlium_29426.wav", "duration": 6.93, "text": "So the capacity of that factory probably is"}, {"path": "tedlium_29427.wav", "duration": 6.93, "text": "So we're quite confident that we made a very good decision in bringing that inside."}, {"path": "tedlium_29428.wav", "duration": 6.93, "text": "it is extremely broad-based because it is transformative at the industry level and practically, a"}, {"path": "tedlium_29429.wav", "duration": 6.93, "text": "Organic growth is expected to be driven by improving trends in our RMS and Discovery businesses,"}, {"path": "tedlium_29430.wav", "duration": 6.93, "text": "half of the space that we originally finished, so I suppose"}, {"path": "tedlium_29431.wav", "duration": 6.93, "text": "During this conference call, we may refer to adjusted EBITDA, adjusted earnings per share and free cash flow."}, {"path": "tedlium_29432.wav", "duration": 6.93, "text": "when you have a firm that has its fixed cost base under control and I think we"}, {"path": "tedlium_29433.wav", "duration": 6.93, "text": "Our results for Q3 are in the press release. And as you can see this quarter in particular was a bit messy"}, {"path": "tedlium_29434.wav", "duration": 6.93, "text": "Yes, it's a great question, I think the thing that's most striking about the results which I was very excited about was"}, {"path": "tedlium_29435.wav", "duration": 6.93, "text": "I also think that E3, for those of you that will go to E3, you'll see some excitement around some of the games that we have that will help to"}, {"path": "tedlium_29436.wav", "duration": 6.93, "text": "I want to thank everyone for taking your time to attend the call today. Have a great day."}, {"path": "tedlium_29437.wav", "duration": 6.93, "text": "These MSOs have recently increased their spending on Alpha's power systems and services as part of their network upgrades"}, {"path": "tedlium_29438.wav", "duration": 6.93, "text": "Higher volume and pricing only partially offset the impact of higher lead costs on the margin percentage."}, {"path": "tedlium_29439.wav", "duration": 6.93, "text": "not very good data in terms of market share outside of funds. But on an overall basis, we feel like"}, {"path": "tedlium_29440.wav", "duration": 6.93, "text": "I will begin by providing a simple explanation of 3 external factors that we are facing."}, {"path": "tedlium_29441.wav", "duration": 6.93, "text": "the growth in our revenues. So again, we do see progression as we leverage on those revenues going forward."}, {"path": "tedlium_29442.wav", "duration": 6.93, "text": "There is a competitive advantage, in our opinion. We do believe, and it's certainly not surprising that the entire world"}, {"path": "tedlium_29443.wav", "duration": 6.93, "text": "was kind of -- from your changes in terms of your approach to kind of to loss given default there was a"}, {"path": "tedlium_29444.wav", "duration": 6.93, "text": "in past years. I've been heavily focused on it since I got here. So every day, we're looking at how we"}, {"path": "tedlium_29445.wav", "duration": 6.93, "text": "obviously helping to understand sort of what's going to happen and how that range is going to be narrowed is something that we have signed on, and I'll let Eric take that."}, {"path": "tedlium_29446.wav", "duration": 6.93, "text": "That said, when taken together, assessing the likelihood that the customers will act on their needs remains in question."}, {"path": "tedlium_29447.wav", "duration": 6.93, "text": "In 2018, we plan to invest aggressively in driving strong performance of our key products,"}, {"path": "tedlium_29448.wav", "duration": 6.93, "text": "driving increases in all of our key lines of business, bolstered by the investments we have made in new summer activities."}, {"path": "tedlium_29449.wav", "duration": 6.93, "text": "clearly that, that run up to the holiday and that softness right after the holiday correlate pretty closely to the weather we saw."}, {"path": "tedlium_29450.wav", "duration": 6.93, "text": "and I would like to take a moment to thank our teammates across the organization for their hard work and dedication to our customers."}, {"path": "tedlium_29451.wav", "duration": 6.93, "text": "in the first quarter, anything specific -- I know it's early in the year and it's a small quarter, but"}, {"path": "tedlium_29452.wav", "duration": 6.93, "text": "This growth in market share is consistent with the trend we have witnessed for several years and is, in part,"}, {"path": "tedlium_29453.wav", "duration": 6.93, "text": "And I think that relationship, that collaboration has been a key to the success that we've been able to achieve."}, {"path": "tedlium_29454.wav", "duration": 6.93, "text": "our solutions takes into account the new rate levels in the market and the tight capacity"}, {"path": "tedlium_29455.wav", "duration": 6.93, "text": "and our local indigenous populations and corporations that are so critical for our success."}, {"path": "tedlium_29456.wav", "duration": 6.93, "text": "In addition to driving results in our Legacy Conagra Brands business, we completed the acquisition of Pinnacle Foods."}, {"path": "tedlium_29457.wav", "duration": 6.93, "text": "And there's absolutely no incentive, by the way, for our reps today to bring in multiple years in advance from a customer."}, {"path": "tedlium_29458.wav", "duration": 6.93, "text": "How should we think about what are the things that you would be applying very uniquely based on your eBay and"}, {"path": "tedlium_29459.wav", "duration": 6.93, "text": "This is not to imply that they are not recurring, as the vast majority of these revenue streams are stable, recurring and growing."}, {"path": "tedlium_29460.wav", "duration": 6.93, "text": "In the south of the country, we have made further market share gains with additional awards of IDS contracts."}, {"path": "tedlium_29461.wav", "duration": 6.93, "text": "And through that entire process, we got tremendous support not only from legislators, politicians"}, {"path": "tedlium_29462.wav", "duration": 6.93, "text": "look at their outlooks and look at their leverage statistics and focus their efforts on generating cash."}, {"path": "tedlium_29463.wav", "duration": 6.93, "text": "We've tried to design our comp plans to have our sales team meet the customer whatever they want to buy from us."}, {"path": "tedlium_29464.wav", "duration": 6.93, "text": "where we were clear in saying that we thought it was good for the Danish society"}, {"path": "tedlium_29465.wav", "duration": 6.93, "text": "So I do believe, Liana, that the RemoPro product delivered through our Unity system"}, {"path": "tedlium_29466.wav", "duration": 6.93, "text": "The sale of this fleet equipment is part of our approach to managing and optimizing the size and mix of our rental fleet,"}, {"path": "tedlium_29467.wav", "duration": 6.93, "text": "The meeting was very productive, and we were pleased with the high level of engagement and diligence of the FDA staff."}, {"path": "tedlium_29468.wav", "duration": 6.93, "text": "We see more opportunity and potential in the decade ahead than even the one we have just completed."}, {"path": "tedlium_29469.wav", "duration": 6.93, "text": "And we will look different again 5 years from now as we continue to evolve at an accelerated pace."}, {"path": "tedlium_29470.wav", "duration": 6.93, "text": "We operate in highly competitive markets, and we intend to differentiate our properties, primarily in the basis of community design,"}, {"path": "tedlium_29471.wav", "duration": 6.93, "text": "We ran our first promotion at these more aggressive, promoted price points and saw a noticeable improvement in January."}, {"path": "tedlium_29472.wav", "duration": 6.93, "text": "Well, again as we said, we're generally optimistic for the whole year. I think national is"}, {"path": "tedlium_29473.wav", "duration": 6.93, "text": "Some broadcasters are -- might start a little earlier than us, and so they can finish up"}, {"path": "tedlium_29474.wav", "duration": 6.93, "text": "Well, I think that's what we're doing in this culling exercise, where it's not so much a segment"}, {"path": "tedlium_29475.wav", "duration": 6.93, "text": "you could probably take that off the transmission system so that it would enable that sort of tension people have about long distances to be removed."}, {"path": "tedlium_29476.wav", "duration": 6.93, "text": "conference do you think? Or would you expect it to be sustained at a higher level in coming quarters?"}, {"path": "tedlium_29477.wav", "duration": 6.93, "text": "to basically say, yes, I can move to software, which affects the top line, but we think"}, {"path": "tedlium_29478.wav", "duration": 6.93, "text": "let's meet in February, when we do the full-year review of what we will have achieved"}, {"path": "tedlium_29479.wav", "duration": 6.93, "text": "It's not that we're not investing on the Swiss platform, but we started with the front application. You may have seen in '16 we rolled out"}, {"path": "tedlium_29480.wav", "duration": 6.93, "text": "All of those things are starting to deliver now. So in terms of what is sustainable, I would say"}, {"path": "tedlium_29481.wav", "duration": 6.93, "text": "We believe that capability-led deals and carve-outs are likely the most interesting acquisition opportunities for Mercury."}, {"path": "tedlium_29482.wav", "duration": 6.93, "text": "I think the approach we took of creating the strategic data platform, which links the multiple disparate systems we have in the interim basis,"}, {"path": "tedlium_29483.wav", "duration": 6.93, "text": "So there's been a huge focused effort on integrating instruments, in particular, with the RFS business that utilizes a lot of them."}, {"path": "tedlium_29484.wav", "duration": 6.93, "text": "Let's take a closer look at our execution in 2018 and our 2019 focus within each of these pillars."}, {"path": "tedlium_29485.wav", "duration": 6.93, "text": "how much total acceptance we get in the marketplace because we've put some pretty aggressive price increases out there."}, {"path": "tedlium_29486.wav", "duration": 6.93, "text": "And the retail benefits from those same locational and upgrading tenant"}, {"path": "tedlium_29487.wav", "duration": 6.93, "text": "on rate resets and floating-rate payments, as well as our higher other income that was driven by a pickup in equity income"}, {"path": "tedlium_29488.wav", "duration": 6.93, "text": "we did see and continue to see our large claim activity continuing to come down."}, {"path": "tedlium_29489.wav", "duration": 6.93, "text": "and investing in systems and tools that we believe will help us to improve our inventory turns over time."}, {"path": "tedlium_29490.wav", "duration": 6.93, "text": "we've looked at a lot of books, and we just haven't found something that we feel comfortable with. And"}, {"path": "tedlium_29491.wav", "duration": 6.93, "text": "We will begin the call with brief opening remarks from Dave, Garrett and Blake, and then, be ready to take your questions."}, {"path": "tedlium_29492.wav", "duration": 6.93, "text": "a stronger position in. We are working on interesting acquisition, including in countries where we have no operation"}, {"path": "tedlium_29493.wav", "duration": 6.93, "text": "period of time to get through over 100 client contracts has just taken longer than we"}, {"path": "tedlium_29494.wav", "duration": 6.93, "text": "we can -- and also we have products by the way, new products that are being launched outside our current"}, {"path": "tedlium_29495.wav", "duration": 6.93, "text": "Both SimonsVoss and AXA performed well in the quarter and are delivering on the expected results."}, {"path": "tedlium_29496.wav", "duration": 6.93, "text": "We expect to start shipping for the first of the 1,100 homes in the fourth quarter"}, {"path": "tedlium_29497.wav", "duration": 6.9000625, "text": "It is important to note that the implementation of this change is not going to happen overnight."}, {"path": "tedlium_29498.wav", "duration": 6.9000625, "text": "You would also think that, given how this is all playing out and not really working out very well for anyone,"}, {"path": "tedlium_29499.wav", "duration": 6.9, "text": "As a reminder, all accepted ASH abstracts will be announced and available online this coming Thursday."}, {"path": "tedlium_29500.wav", "duration": 6.9, "text": "So we would look at the current sort of comparative therapies and the other MDS drugs that are out there"}, {"path": "tedlium_29501.wav", "duration": 6.9, "text": "The decrease in revenue in petroleum additives in the quarterly comparison was mainly driven by lower volumes and price"}, {"path": "tedlium_29502.wav", "duration": 6.9, "text": "and we are currently in discussions with Goldman to increase the size of that facility as well as to reduce our interest rates. I"}, {"path": "tedlium_29503.wav", "duration": 6.9, "text": "okay, what is the situation and how do I optimize my remaining dollars to get the best economic recovery"}, {"path": "tedlium_29504.wav", "duration": 6.9, "text": "some being written about them throttling back production in some regions for environmental and seasonal reasons,"}, {"path": "tedlium_29505.wav", "duration": 6.9, "text": "to Mercer's proprietary investment manager research, opening up a new distribution outlet for Mercer."}, {"path": "tedlium_29506.wav", "duration": 6.9, "text": "stuff is printed up, we're ready to go and we're very excited to get out there and actually start talking to some restaurant operators."}, {"path": "tedlium_29507.wav", "duration": 6.9, "text": "specially given the backdrop of consumers looking for more convenient digital solutions, we think Mogo is really well positioned to take advantage of that."}, {"path": "tedlium_29508.wav", "duration": 6.9, "text": "Currencies were again a burden for us in the third quarter, but to a lesser extent than in the previous quarters."}, {"path": "tedlium_29509.wav", "duration": 6.9, "text": "Now finally, with respect to realizations. While volatility can make for more difficult execution,"}, {"path": "tedlium_29510.wav", "duration": 6.9, "text": "impacted by that. They know what their costs are. They know where they can save costs. They know what their customers want"}, {"path": "tedlium_29511.wav", "duration": 6.9, "text": "is the smart connection technology that allows them to do that. So we're very excited about that move. Keith is very excited about that move."}, {"path": "tedlium_29512.wav", "duration": 6.9, "text": "Our equity portfolio benefited from those market trends mentioned earlier. And also driving returns"}, {"path": "tedlium_29513.wav", "duration": 6.9, "text": "some additional color across all the metrics and that's one of them. I think we also provided more color around some of the balance sheet items."}, {"path": "tedlium_29514.wav", "duration": 6.9, "text": "So what I did was go through in further detail"}, {"path": "tedlium_29515.wav", "duration": 6.9, "text": "These marketing initiatives combined with the ongoing improvements in the customer experience and improved digital ordering channels"}, {"path": "tedlium_29516.wav", "duration": 6.9, "text": "The effects of numerous macroeconomic challenges and structural market factors, which have contributed"}, {"path": "tedlium_29517.wav", "duration": 6.9, "text": "and counting on the improved revenue drivers and to be much more back on target"}, {"path": "tedlium_29518.wav", "duration": 6.9, "text": "which is cigalites, but drops off as the consumer moves through what we call the product continuum."}, {"path": "tedlium_29519.wav", "duration": 6.9, "text": "And the money that we were spending in Global E-Commerce that gave us very little return will be able to realigned to"}, {"path": "tedlium_29520.wav", "duration": 6.9, "text": "And looking at quality of production rather than just -- production for the sake of production."}, {"path": "tedlium_29521.wav", "duration": 6.9, "text": "So if we see demand increasing as we hope that we will, that breakeven number may move a little bit"}, {"path": "tedlium_29522.wav", "duration": 6.9, "text": "There have been no changes to the forecast for either Ubiquitous Solutions or Device Solutions."}, {"path": "tedlium_29523.wav", "duration": 6.9, "text": "mentioned this in his remarks, we continue to be encouraged by the opportunities we have in the"}, {"path": "tedlium_29524.wav", "duration": 6.9, "text": "has not been paid, leading to that adjustment of the capitalized part of the earn-out."}, {"path": "tedlium_29525.wav", "duration": 6.9, "text": "We were able to leverage that growing technical expertise, financial capabilities and our track record"}, {"path": "tedlium_29526.wav", "duration": 6.9, "text": "on various products along with production capacity discipline and price increases in raw materials."}, {"path": "tedlium_29527.wav", "duration": 6.9, "text": "Our focus on core deposits has paid off, with deposit growth exceeding loan growth."}, {"path": "tedlium_29528.wav", "duration": 6.9, "text": "as there appears to be an insatiable demand for additional motors and tools as scarcity builds despite a plateauing rig count."}, {"path": "tedlium_29529.wav", "duration": 6.9, "text": "part of the market that's not contracted. We still haven't collected on our July"}, {"path": "tedlium_29530.wav", "duration": 6.9, "text": "We just kind of see how we can work down the pressure pumping costs, but I can tell you that today"}, {"path": "tedlium_29531.wav", "duration": 6.9, "text": "So adidas is moving forward. Let me now give you a strategic update on where the company is."}, {"path": "tedlium_29532.wav", "duration": 6.9, "text": "drop off because they don't pay their premiums, and you've got people who are qualifying through the special enrollment period."}, {"path": "tedlium_29533.wav", "duration": 6.9, "text": "We believe that eventual and slow hikes might begin at some point during the first or second quarter of next year."}, {"path": "tedlium_29534.wav", "duration": 6.9, "text": "As far as the final adoption of this decree, after an 18-month period of adjustment, which starts now"}, {"path": "tedlium_29535.wav", "duration": 6.9, "text": "partly it's a result of our efforts to focus on profitability that growth of our commercial loan portfolio continued to be sluggish."}, {"path": "tedlium_29536.wav", "duration": 6.9, "text": "That is what this organization was built on, and that is what everyone here strives for each and every day. With that, I'll turn it over to Steve."}, {"path": "tedlium_29537.wav", "duration": 6.9, "text": "And is that a requirement that you see to accomplish in '17 to position yourself for that '18 growth?"}, {"path": "tedlium_29538.wav", "duration": 6.9, "text": "Do you anticipate it staying at the relative same strength that you saw in the first half?"}, {"path": "tedlium_29539.wav", "duration": 6.9, "text": "For these reasons, we encourage you to evaluate gross profit on an annual or trailing 12-month basis."}, {"path": "tedlium_29540.wav", "duration": 6.9, "text": "competitors and warding off competitors? As for behavior of vendors,"}, {"path": "tedlium_29541.wav", "duration": 6.9, "text": "money in that range. So we have 2 things that we need to weigh."}, {"path": "tedlium_29542.wav", "duration": 6.9, "text": "Okay. So just to clarify, those are basically the same doors that you had talked about previously."}, {"path": "tedlium_29543.wav", "duration": 6.9, "text": "Good morning, my name is Mike, and I will be your conference operator today."}, {"path": "tedlium_29544.wav", "duration": 6.9, "text": "but it's our ability to find new sources of other income that can grow to that. But there's nothing"}, {"path": "tedlium_29545.wav", "duration": 6.9, "text": "we still strive for certainty and stability for all stakeholders in a declining market, and that means that"}, {"path": "tedlium_29546.wav", "duration": 6.9, "text": "testing the idea out in the field and showing it off at trade shows and what have you,"}, {"path": "tedlium_29547.wav", "duration": 6.9, "text": "way better than expectation, obviously not all of them, but that gives us hope that we can get there."}, {"path": "tedlium_29548.wav", "duration": 6.9, "text": "for which settlement is not able to be reached or that are in excess of the maximum claim amounts under our master settlement agreements."}, {"path": "tedlium_29549.wav", "duration": 6.9, "text": "down the line. We would just have to always consider that, and I think you would expect that from us as normal course. So"}, {"path": "tedlium_29550.wav", "duration": 6.9, "text": "how long do you think it would take for you to expand those margins to average levels?"}, {"path": "tedlium_29551.wav", "duration": 6.9, "text": "All products suffered from lower client activity and lower market volumes, including the knock-on impact"}, {"path": "tedlium_29552.wav", "duration": 6.9, "text": "And then can you possibly quantify the savings potential from these actions even if it's on kind of a broad basis?"}, {"path": "tedlium_29553.wav", "duration": 6.9, "text": "and also implement our sales in the Alarms and technology now that there's no any limitation to the import of those devices."}, {"path": "tedlium_29554.wav", "duration": 6.9, "text": "This can be attributed to the high order backlog in Germany and Poland and the extremely good weather in this region."}, {"path": "tedlium_29555.wav", "duration": 6.9, "text": "And we see a very bright future ahead. We're expanding engagements with current and new customers"}, {"path": "tedlium_29556.wav", "duration": 6.9, "text": "from an improved pricing and channel mix were more than offset by the severe negative currency effects."}, {"path": "tedlium_29557.wav", "duration": 6.9, "text": "Thank you, Michelle. Thank you for joining the call this afternoon to discuss the company's third quarter financial results."}, {"path": "tedlium_29558.wav", "duration": 6.9, "text": "burden. But beyond that, I think there is no reason to expect any differences. We are pressing ahead"}, {"path": "tedlium_29559.wav", "duration": 6.9, "text": "Or is there some form of equity assumed when that deal closes? And just more broadly as it relates to equity,"}, {"path": "tedlium_29560.wav", "duration": 6.9, "text": "accept some of the interest that we've been receiving out of our Miami office from the Caribbean and Central and South America."}, {"path": "tedlium_29561.wav", "duration": 6.9, "text": "and ignition systems at leading Japanese and European customers."}, {"path": "tedlium_29562.wav", "duration": 6.9, "text": "and there's a few million dollars separating their final offer with our final demand,"}, {"path": "tedlium_29563.wav", "duration": 6.9, "text": "and then turn the call over to Mays to finish out the deck. Thereafter, we'll the happy to entertain your questions."}, {"path": "tedlium_29564.wav", "duration": 6.9, "text": "And we expect to submit regulatory filings for our undisclosed rare disease program to initiate clinical trials in the first half"}, {"path": "tedlium_29565.wav", "duration": 6.9, "text": "Remember, this growth is both revenue and adjusted EBITDA and this is all organic."}, {"path": "tedlium_29566.wav", "duration": 6.9, "text": "Consistent with this new vision, we look for Funding Stream and Franchise to continue to gain traction in the quarters and years ahead."}, {"path": "tedlium_29567.wav", "duration": 6.9, "text": "I think we've seen over the last 12 months a pickup of"}, {"path": "tedlium_29568.wav", "duration": 6.9, "text": "we've got to work through that with our partner and see if we can come to an agreement over what the value is."}, {"path": "tedlium_29569.wav", "duration": 6.9, "text": "U.S. insolvency continues to have good flow available, and we're hopeful we can keep up the pace of volume."}, {"path": "tedlium_29570.wav", "duration": 6.9, "text": "But when you have the consumer shifting to smaller brands but doesn't stick with the smaller brands and comes back to the big brands,"}, {"path": "tedlium_29571.wav", "duration": 6.9, "text": "and we hope that we can gain a lot from synergies also from Basefarm acquisition because they have a very good"}, {"path": "tedlium_29572.wav", "duration": 6.9, "text": "We believe this will strengthen our partner ecosystem and encourage even more referral business to us."}, {"path": "tedlium_29573.wav", "duration": 6.9, "text": "The increase in the gross profit rate for the first quarter of 2017 reflected a favorable channel mix shift"}, {"path": "tedlium_29574.wav", "duration": 6.9, "text": "I'd like to say thanks to Antonio for being a great business partner, to Meg Whitman for giving me this opportunity,"}, {"path": "tedlium_29575.wav", "duration": 6.9, "text": "So what's encouraging about the slide, if you look at the Big 3 opcos, SA, Nigeria and Iran,"}, {"path": "tedlium_29576.wav", "duration": 6.9, "text": "is that you do see that reported results lower than the constant currency growth rates"}, {"path": "tedlium_29577.wav", "duration": 6.9, "text": "Above all, the management team is working hard every day to deliver long-term shareholder value."}, {"path": "tedlium_29578.wav", "duration": 6.9, "text": "which is expected to provide additional distribution -- distributable cash flow growth in the fourth quarter."}, {"path": "tedlium_29579.wav", "duration": 6.9, "text": "The negative impact of these items was partially offset by a change in our assumptions pertaining to California populations."}, {"path": "tedlium_29580.wav", "duration": 6.9, "text": "We continue to execute our acquisition strategy to build out a nationwide residential and community reentry facility network."}, {"path": "tedlium_29581.wav", "duration": 6.9, "text": "Our credit results continue to demonstrate better operating performance and favorable credit trends."}, {"path": "tedlium_29582.wav", "duration": 6.9, "text": "when we talk about volatility in the communications space, even outside of the top account,"}, {"path": "tedlium_29583.wav", "duration": 6.9, "text": "Is it order patterns? Or are you seeing certain types of customers that are typically good leading indicators?"}, {"path": "tedlium_29584.wav", "duration": 6.9, "text": "concept does travel very, very well outside of Continental Europe. So we'll continue to update you as we do expand,"}, {"path": "tedlium_29585.wav", "duration": 6.9, "text": "I asked because some of your peers seems to be growing nicely like you guys, and then you have other that seem to be"}, {"path": "tedlium_29586.wav", "duration": 6.9, "text": "as good as that was when we acquired it, there was a lot of work that we had to do to improve it."}, {"path": "tedlium_29587.wav", "duration": 6.9, "text": "And then we were on pace with what our expectation was for the quarter for the rest of the quarter basically."}, {"path": "tedlium_29588.wav", "duration": 6.9, "text": "This is providing us with feedback, giving confidence to us that our strategic approach is on the right track."}, {"path": "tedlium_29589.wav", "duration": 6.9, "text": "No, our primary supply of Canadian crude goes into the Pacific Northwest refineries, and"}, {"path": "tedlium_29590.wav", "duration": 6.9, "text": "in the last 6 years, and they're pricing very attractively into the West Coast. So it is the"}, {"path": "tedlium_29591.wav", "duration": 6.9, "text": "and beyond, we don't have -- we don't see any of that timing impact moving from the first quarter to the second quarter."}, {"path": "tedlium_29592.wav", "duration": 6.9, "text": "seems like you guys have your fair share of the operating upset in the California market or the West Coast market."}, {"path": "tedlium_29593.wav", "duration": 6.9, "text": "The people are happy. So those are all things that contribute to that aspect."}, {"path": "tedlium_29594.wav", "duration": 6.9, "text": "And we also did an exclusive range of products around the Star Wars film launch towards the back end of last year."}, {"path": "tedlium_29595.wav", "duration": 6.9, "text": "our guys are working day and night to reduce cost, be more efficient on the maintenance, on the fuel,"}, {"path": "tedlium_29596.wav", "duration": 6.9, "text": "we talked last on the third quarter conference call, you guys had suggested we'd see a bump-up in expenses in the fourth quarter and then maybe comes down"}, {"path": "tedlium_29597.wav", "duration": 6.9, "text": "what type of capabilities would make more sense to buy rather than build and how far along you are with identifying the targets?"}, {"path": "tedlium_29598.wav", "duration": 6.9, "text": "when we're working through an end-to-end offering that has full control or has partial control,"}, {"path": "tedlium_29599.wav", "duration": 6.9, "text": "But then there is a very thin order book after that. So unless we see a dramatic decrease in ship ordering,"}, {"path": "tedlium_29600.wav", "duration": 6.9, "text": "Bottom line results for the quarter were disappointing due to catastrophe losses, which were broadly experienced in the industry."}, {"path": "tedlium_29601.wav", "duration": 6.9, "text": "We used our over 1 million square feet of distribution capacity and deep partner relationships"}, {"path": "tedlium_29602.wav", "duration": 6.9, "text": "We also continue to be very proactive with cost management and have been -- have had solid execution at the factory level."}, {"path": "tedlium_29603.wav", "duration": 6.9, "text": "where we probably should be if we were to take into consideration our historical perspective on a lack of outages,"}, {"path": "tedlium_29604.wav", "duration": 6.9, "text": "We expect that trend to be something that emerges around the globe as natural gas becomes the de facto fuel"}, {"path": "tedlium_29605.wav", "duration": 6.9, "text": "In fact, the current baseline level of demand for these products is still much higher relative to the prior baseline period of lower outages,"}, {"path": "tedlium_29606.wav", "duration": 6.9, "text": "a lesser extent, the organic decline is also attributed to our expectation of lower sales with certain national account customers,"}, {"path": "tedlium_29607.wav", "duration": 6.9, "text": "And then, obviously, last time, we talked about other ways that we would see pushing that forward, and that would be"}, {"path": "tedlium_29608.wav", "duration": 6.9, "text": "Whilst an increase in near miss hazards might be seen as a negative, our view is that an increase is a positive,"}, {"path": "tedlium_29609.wav", "duration": 6.9, "text": "organization and start thinking about how we're going to think about ourselves in the future,"}, {"path": "tedlium_29610.wav", "duration": 6.9, "text": "it's only to push forward. We love what they do and we want them to do it more and we want it to move faster."}, {"path": "tedlium_29611.wav", "duration": 6.9, "text": "These measures should not be considered in isolation or as a substitute for our financial results"}, {"path": "tedlium_29612.wav", "duration": 6.9, "text": "and so that's changing kind of the composition of how holiday builds. I wouldn't say there's anything that I see out there"}, {"path": "tedlium_29613.wav", "duration": 6.9, "text": "But the good part is that surrounding that, we're also seeing the other parts of smart home grow nicely within the category."}, {"path": "tedlium_29614.wav", "duration": 6.9, "text": "That said, given the complexities of these projects and the overall situation in South Africa,"}, {"path": "tedlium_29615.wav", "duration": 6.9, "text": "would have an impact on what's been in your book of business in recent past?"}, {"path": "tedlium_29616.wav", "duration": 6.9, "text": "The company's quarterly results showed the second consecutive quarter of sequential improvements in the business."}, {"path": "tedlium_29617.wav", "duration": 6.9, "text": "You have to designate at the time you buy the product, whether it's personal consumption product or whether it's a product that you intend to resell."}, {"path": "tedlium_29618.wav", "duration": 6.9, "text": "We are seeing strong results with our premium core brands growing double digit in the past few years."}, {"path": "tedlium_29619.wav", "duration": 6.9, "text": "These are great complements to our team and will support sustainable growth of Lumber Liquidators in the future."}, {"path": "tedlium_29620.wav", "duration": 6.9, "text": "we expect to be able to overcome both of those with -- through new customers, organic growth, et cetera."}, {"path": "tedlium_29621.wav", "duration": 6.9, "text": "So our group has to do some restructuring at the same time. It's easy to talk about it,"}, {"path": "tedlium_29622.wav", "duration": 6.9, "text": "Though early, we remain encouraged by both our and other operators' results in the Northwest STACK."}, {"path": "tedlium_29623.wav", "duration": 6.9, "text": "totally clear to all and also the strategy that we set the company upon was the right choice."}, {"path": "tedlium_29624.wav", "duration": 6.9, "text": "This enables us to assist the consumer throughout the sales process from design to installation."}, {"path": "tedlium_29625.wav", "duration": 6.9, "text": "all the while ensuring that our brand remains coveted and desirable as we grow globally."}, {"path": "tedlium_29626.wav", "duration": 6.9, "text": "we're going to have -- what are you going to do with 200 million to 300 million bushels of extra beans every single month except to push out storage"}, {"path": "tedlium_29627.wav", "duration": 6.9, "text": "With this acquisition, we are purchasing the existing cattle in inventory, which will provide us the opportunity to ensure"}, {"path": "tedlium_29628.wav", "duration": 6.9, "text": "Today, we're guided by one simple mission at Mogo. We want to make it easier for consumers to get in control of their financial health."}, {"path": "tedlium_29629.wav", "duration": 6.9, "text": "If I have an account with Mogo and they offer double the rate, why would I keep it with my bank? Both are savings accounts with the same protection."}, {"path": "tedlium_29630.wav", "duration": 6.9, "text": "to all these smaller players because the sales force can't effectively do so. So as we're selected as one of the very few players"}, {"path": "tedlium_29631.wav", "duration": 6.9, "text": "The level of reinvestments stepped up progressively through the year in both brand and marketing investment and in pricing."}, {"path": "tedlium_29632.wav", "duration": 6.9, "text": "So performance guarantee for each plant such tests"}, {"path": "tedlium_29633.wav", "duration": 6.9, "text": "recurring income in a sustainable way because we're very committed to our credit ratings and making sure"}, {"path": "tedlium_29634.wav", "duration": 6.9, "text": "with the remainder due to issues which we expect to reverse in due course given the strong fundamentals in the sector."}, {"path": "tedlium_29635.wav", "duration": 6.9, "text": "We have commented in previous calls that there is a divergent path of growth in the region."}, {"path": "tedlium_29636.wav", "duration": 6.9, "text": "stay because we all know that also the competitors are entering into our home markets."}, {"path": "tedlium_29637.wav", "duration": 6.9, "text": "These tend to be different call points and relatively different in terms of business case justification."}, {"path": "tedlium_29638.wav", "duration": 6.9, "text": "Our strong financial results so far this year combined with continuing high oil prices"}, {"path": "tedlium_29639.wav", "duration": 6.9, "text": "increases in all regions of the world. And we're also seeing increases really in both mobile"}, {"path": "tedlium_29640.wav", "duration": 6.9, "text": "When capacity is constrained, shippers are willing to pay a premium to relocate trucks to ensure their freight gets covered."}, {"path": "tedlium_29641.wav", "duration": 6.9, "text": "At this time, I would personally like to thank our dedicated men and women who worked to keep the lights on during extreme weather conditions."}, {"path": "tedlium_29642.wav", "duration": 6.9, "text": "and just kind of how things are progressing there on their understanding of you guys underearning by so much"}, {"path": "tedlium_29643.wav", "duration": 6.9, "text": "So it did draw more on the revolver. To your point that there was more funds put in."}, {"path": "tedlium_29644.wav", "duration": 6.9, "text": "I want to mention relative to the performance of the OEM side of the business in Aerospace,"}, {"path": "tedlium_29645.wav", "duration": 6.9, "text": "particularly some local governments, just kind of waiting and holding back on some starts wondering if the rules are going to change."}, {"path": "tedlium_29646.wav", "duration": 6.9, "text": "the benefits of unifying our operating platform and additional opportunities for efficiency. As a result,"}, {"path": "tedlium_29647.wav", "duration": 6.9, "text": "Hey David, this is Steve. So let me kind of just walk you through in the Delaware basin where your"}, {"path": "tedlium_29648.wav", "duration": 6.9, "text": "growth plus required transformation investment. The regulatory effects on OIBDA are slightly lower,"}, {"path": "tedlium_29649.wav", "duration": 6.9, "text": "All of these are critical to our long-term success, and I am confident in our ability to deliver."}, {"path": "tedlium_29650.wav", "duration": 6.9, "text": "And those same assumptions, at least on our part, have been applied, and I assume on everybody else's part."}, {"path": "tedlium_29651.wav", "duration": 6.9, "text": "and then importantly, focus the bulk of my comments outlining what we are going to do differently going forward."}, {"path": "tedlium_29652.wav", "duration": 6.9, "text": "Yes. John, I think that's the right way that I look at it is everything that's not Ohio and"}, {"path": "tedlium_29653.wav", "duration": 6.9, "text": "give us a sense of the underlying picture of margin both in the half and looking forward,"}, {"path": "tedlium_29654.wav", "duration": 6.9, "text": "through the third quarter. And then as we get into the back half of the fourth quarter it starts to level back off. So"}, {"path": "tedlium_29655.wav", "duration": 6.9, "text": "As part of the program, TESSCO will also support Verizon's general contractors with similar programs."}, {"path": "tedlium_29656.wav", "duration": 6.9, "text": "we're opportunistic in take advantage of the liquidity that we found for these assets. And the second thing"}, {"path": "tedlium_29657.wav", "duration": 6.9, "text": "But if it does swing, that's a positive for our sector after years of regulatory expansion."}, {"path": "tedlium_29658.wav", "duration": 6.9, "text": "And obviously, we're taking the capital out of the business as we do it. So that's really 2 wins that we've been executing on, on the infrastructure side."}, {"path": "tedlium_29659.wav", "duration": 6.9, "text": "investments for customer relationship management and content management capabilities."}, {"path": "tedlium_29660.wav", "duration": 6.9, "text": "Before we start with a few prepared remarks, I'd like to remind everybody that today's presentation will include statements about"}, {"path": "tedlium_29661.wav", "duration": 6.9, "text": "It tends to be that -- versus the second half of the year, the first half cash flow is weaker and in a"}, {"path": "tedlium_29662.wav", "duration": 6.9, "text": "And then secondly, we've been learning a lot about the power and potential of eSports, and I'm curious if you can talk a little bit about how you see that"}, {"path": "tedlium_29663.wav", "duration": 6.9, "text": "I guess that's a question I get a lot from investors because the online players are out there talking about how they're taking share."}, {"path": "tedlium_29664.wav", "duration": 6.9, "text": "European economy is -- has been frankly better than we thought. As you know, where"}, {"path": "tedlium_29665.wav", "duration": 6.9, "text": "and the possibility of changing international trade policies, but we are optimistic about the future."}, {"path": "tedlium_29666.wav", "duration": 6.9, "text": "So I'm feeling really good working with the sales team and how we're going about deploying the resources we're putting into place,"}, {"path": "tedlium_29667.wav", "duration": 6.8999375, "text": "And finally, we continue to make excellent progress in our manufacturing operations and BLA-readiness initiatives."}, {"path": "tedlium_29668.wav", "duration": 6.87, "text": "should try to prepare yourself better for real technology changes. So that's a combination."}, {"path": "tedlium_29669.wav", "duration": 6.87, "text": "the way people communicate and work with each other so you can bring out a better, stronger business,"}, {"path": "tedlium_29670.wav", "duration": 6.87, "text": "Today's call will provide an update on our overall core performance for the second quarter of our fiscal 2017 and"}, {"path": "tedlium_29671.wav", "duration": 6.87, "text": "this is a recurring subject every day."}, {"path": "tedlium_29672.wav", "duration": 6.87, "text": "reconciliation from GAAP to adjusted results is provided in the press release and supplemental slides posted on our website."}, {"path": "tedlium_29673.wav", "duration": 6.87, "text": "it's going to take time because the users that participate in the campaign"}, {"path": "tedlium_29674.wav", "duration": 6.87, "text": "there will be more users who deposit money or have a balance with Yahoo. And we would like to offer"}, {"path": "tedlium_29675.wav", "duration": 6.87, "text": "grow within that market to shift to solid state drive where we have a leadership position."}, {"path": "tedlium_29676.wav", "duration": 6.87, "text": "month or 2, but you commented on your corrugated medium business obviously slowing and"}, {"path": "tedlium_29677.wav", "duration": 6.87, "text": "Is it really the right time to go and spend cash when you've got so much organic opportunity?"}, {"path": "tedlium_29678.wav", "duration": 6.87, "text": "For housing finance to kind of get through some of these regulatory issues, financial markets have to evolve"}, {"path": "tedlium_29679.wav", "duration": 6.87, "text": "and when we're talking about other metals like nickel, our results are"}, {"path": "tedlium_29680.wav", "duration": 6.87, "text": "In addition to onetime losses due to unprofitable projects and a legal dispute in Europe,"}, {"path": "tedlium_29681.wav", "duration": 6.87, "text": "there will be different number of people who apply and they may not"}, {"path": "tedlium_29682.wav", "duration": 6.87, "text": "At the same time, local market and submarket trends are vital to contextualizing and applying comparable sales results"}, {"path": "tedlium_29683.wav", "duration": 6.87, "text": "a lot of what is going on in the construction space. You've got, both in Florida and"}, {"path": "tedlium_29684.wav", "duration": 6.87, "text": "was how did we begin to shift the mix of predictability and future visibility on the revenues. And"}, {"path": "tedlium_29685.wav", "duration": 6.87, "text": "went back a number of times and looked at pricing for all of our Marketplace products"}, {"path": "tedlium_29686.wav", "duration": 6.87, "text": "because the materials really can't play a part of our construction because we've shut that part down. It's our equipment coming to a halt."}, {"path": "tedlium_29687.wav", "duration": 6.87, "text": "than we have historically on the revenue side because of the fact that this stuff is shorter duration. We literally"}, {"path": "tedlium_29688.wav", "duration": 6.87, "text": "And this has been driven by the core difference between cash distributions and dividends that Mike McFerran will explain in a minute."}, {"path": "tedlium_29689.wav", "duration": 6.87, "text": "but to have your accountants process all that for you and file extensions to do your personal tax returns."}, {"path": "tedlium_29690.wav", "duration": 6.87, "text": "we continue to explore and investigate opportunities"}, {"path": "tedlium_29691.wav", "duration": 6.87, "text": "efforts for now have not yielded an improvement in sales because, obviously, this"}, {"path": "tedlium_29692.wav", "duration": 6.87, "text": "and much more job certainty for the people working in that market."}, {"path": "tedlium_29693.wav", "duration": 6.87, "text": "is unrelenting. They all want to be located in downtown Toronto or near downtown Toronto."}, {"path": "tedlium_29694.wav", "duration": 6.87, "text": "above consumer inflation annually, which again has been very well received by payers"}, {"path": "tedlium_29695.wav", "duration": 6.87, "text": "I'll come on to the details of that in the international a bit shortly. But first, let's have a look at channel performance."}, {"path": "tedlium_29696.wav", "duration": 6.87, "text": "Some of the figures are difficult to understand because they are not constant currency adjusted, okay?"}, {"path": "tedlium_29697.wav", "duration": 6.87, "text": "who are moving their expensive legacy phone service to the cloud. We will continue"}, {"path": "tedlium_29698.wav", "duration": 6.87, "text": "are useful to investors to compare our results across several periods and to better understand our operating results."}, {"path": "tedlium_29699.wav", "duration": 6.87, "text": "The goal is to continually cultivate the depth of the relationships with these clients."}, {"path": "tedlium_29700.wav", "duration": 6.87, "text": "as compared to 2012, and the best indication of Applied's resilience is our services business."}, {"path": "tedlium_29701.wav", "duration": 6.87, "text": "American Snuff reported another good quarter with volume growth of over 2% and net pricing realization"}, {"path": "tedlium_29702.wav", "duration": 6.87, "text": "The Commerce Cloud is a catalyst for our transformation and modernization leveraged across the company."}, {"path": "tedlium_29703.wav", "duration": 6.87, "text": "Any forward-looking statements speak only of the date of this call, and the company undertakes no obligations to"}, {"path": "tedlium_29704.wav", "duration": 6.87, "text": "where do you see your operating rates in base epoxies at this point, Craig? And"}, {"path": "tedlium_29705.wav", "duration": 6.87, "text": "The strong margin performance in Q2 has set us up nicely to absorb wage increases and promotions,"}, {"path": "tedlium_29706.wav", "duration": 6.87, "text": "Speaking of those wellsite solutions, we're seeing increased interest in our solutions across all basins."}, {"path": "tedlium_29707.wav", "duration": 6.87, "text": "The success we're seeing from our pilot projects in terms of footfall growth and improving occupier demand"}, {"path": "tedlium_29708.wav", "duration": 6.87, "text": "We continue to retain a stable market position, market share."}, {"path": "tedlium_29709.wav", "duration": 6.87, "text": "and I guess, the ones that you think probably have the largest share to lose."}, {"path": "tedlium_29710.wav", "duration": 6.87, "text": "tens of millions of surgeries in dogs every year, of which we think several million are painful."}, {"path": "tedlium_29711.wav", "duration": 6.87, "text": "We expect this program to be very successful in helping many millennial educators get a head start"}, {"path": "tedlium_29712.wav", "duration": 6.87, "text": "The channel delivered a weekly average of 12 shows among the top 50 shows during the quarter,"}, {"path": "tedlium_29713.wav", "duration": 6.87, "text": "So first of all, we're staying very focused on the primary product lines that we have, which is our high bay line. It's been"}, {"path": "tedlium_29714.wav", "duration": 6.87, "text": "The negative impact from these corporate tax rate changes was anticipated and is unique to our fiscal third quarter"}, {"path": "tedlium_29715.wav", "duration": 6.87, "text": "We have not allocated any of it to our dealership business so that everybody can see it eyes wide open."}, {"path": "tedlium_29716.wav", "duration": 6.87, "text": "We did this potentially in a few areas and in -- for a few different wells and in different areas."}, {"path": "tedlium_29717.wav", "duration": 6.87, "text": "In all cases, our model is one of consistent investment to protect and build our brand equities."}, {"path": "tedlium_29718.wav", "duration": 6.87, "text": "Well, thank you, Andrew. And as we're still in January, may I wish you a happy New Year to you and your loved ones."}, {"path": "tedlium_29719.wav", "duration": 6.87, "text": "And we have also the change in fair value of assets which are mostly mutual funds, which are not"}, {"path": "tedlium_29720.wav", "duration": 6.87, "text": "what many of our customers would call all the features they are looking for in a hearing aid."}, {"path": "tedlium_29721.wav", "duration": 6.87, "text": "Good afternoon, and welcome to the Second Quarter 2016 Earnings Discussion for PennyMac Mortgage Investment Trust."}, {"path": "tedlium_29722.wav", "duration": 6.87, "text": "And then basically, as an aggregator is in or goes into a market,"}, {"path": "tedlium_29723.wav", "duration": 6.87, "text": "And we had a cost miss estimate really mainly by our guys in what we thought it would cost."}, {"path": "tedlium_29724.wav", "duration": 6.87, "text": "with slightly increased quoting activity. Orders in the Energy Group are good for products targeted at infrastructure customers."}, {"path": "tedlium_29725.wav", "duration": 6.87, "text": "because it requires deeply ingraining this as part of our normal culture and behaviors."}, {"path": "tedlium_29726.wav", "duration": 6.87, "text": "We are also advancing with investments in human resources, which is supporting quality and services."}, {"path": "tedlium_29727.wav", "duration": 6.87, "text": "Thank you, everybody, and thank you for your interest in Century Casinos and your participation in the call. For"}, {"path": "tedlium_29728.wav", "duration": 6.87, "text": "to some extent and maybe to a great extent the new market tax credit award that is scheduled to roll off."}, {"path": "tedlium_29729.wav", "duration": 6.87, "text": "was relatively close to 0. So anytime you saw any growth at all, and you could load hot assets, you could get"}, {"path": "tedlium_29730.wav", "duration": 6.87, "text": "does that vary if you can show normalization in the majority of patients? Or do you think"}, {"path": "tedlium_29731.wav", "duration": 6.87, "text": "We continue to differentiate our organization based on our results in quality and patient safety."}, {"path": "tedlium_29732.wav", "duration": 6.87, "text": "these are the strategies that have and will continue to drive shareholder value."}, {"path": "tedlium_29733.wav", "duration": 6.87, "text": "industrial operation and investment strategy. So now you want to directly face up to the capital markets,"}, {"path": "tedlium_29734.wav", "duration": 6.87, "text": "when we can expect this to result in some sort of decrease in distribution and customer care costs?"}, {"path": "tedlium_29735.wav", "duration": 6.87, "text": "concerns, and believe we need a sufficient amount of time to make a detailed analysis of the feedback received."}, {"path": "tedlium_29736.wav", "duration": 6.87, "text": "I guess, 5 or 6 weeks in Gettington? And just give us a sort of"}, {"path": "tedlium_29737.wav", "duration": 6.87, "text": "I think it's quite clear which markets I'm referring to and that the question then is just"}, {"path": "tedlium_29738.wav", "duration": 6.87, "text": "improve our market position, expand our global reach and generate shareholder value."}, {"path": "tedlium_29739.wav", "duration": 6.87, "text": "Materials Analysis drop through was held back as they incurred additional merger activity related costs"}, {"path": "tedlium_29740.wav", "duration": 6.87, "text": "Along with our partner, Regeneron, we also continue to make good progress on the development of a sustained-release formulation of"}, {"path": "tedlium_29741.wav", "duration": 6.87, "text": "So yes, there is a slight softness in the market now, so -- but we will be pretty much"}, {"path": "tedlium_29742.wav", "duration": 6.87, "text": "this is a new area to them to sell an all-in, usually they sell the forklift and then you go out, you buy the battery."}, {"path": "tedlium_29743.wav", "duration": 6.87, "text": "As we said before, we individually adjudicate each loan and focus on good-quality borrowers in this segment."}, {"path": "tedlium_29744.wav", "duration": 6.87, "text": "negative, but we don't see it as significantly negative to that business. And really, it's because of the"}, {"path": "tedlium_29745.wav", "duration": 6.87, "text": "We believe this growth is evidence to the penetration opportunity that exists for home standby generators and emergency backup power in general."}, {"path": "tedlium_29746.wav", "duration": 6.87, "text": "changed a little bit. But from the West Coast, we haven't seen the demand really fall off. Now maybe what you're referring to is"}, {"path": "tedlium_29747.wav", "duration": 6.87, "text": "We advanced efforts to improve mine development productivity and reduce external expenditures. If we compare"}, {"path": "tedlium_29748.wav", "duration": 6.87, "text": "They do, however, achieve operational benefits in technology and supply chain by being part of the same division."}, {"path": "tedlium_29749.wav", "duration": 6.87, "text": "the way that the titles lined up benefited the international markets as well. Mike talked about"}, {"path": "tedlium_29750.wav", "duration": 6.87, "text": "And we have also approved some additional optimization work which is siphon string pools, coil tubing activities"}, {"path": "tedlium_29751.wav", "duration": 6.87, "text": "gone. So as we were not informed as of yet of the details of the exact measures,"}, {"path": "tedlium_29752.wav", "duration": 6.87, "text": "that the importance for both part of continued free flowing trade is so important that they will find a solution."}, {"path": "tedlium_29753.wav", "duration": 6.87, "text": "So far, all of these migrations and new installations have been successful and our program continues to progress well."}, {"path": "tedlium_29754.wav", "duration": 6.87, "text": "We also achieved margin expansion in both segments through operational efficiencies gained in the period."}, {"path": "tedlium_29755.wav", "duration": 6.87, "text": "The bigger revenues from the Master Service Agreement with TIM related to the sites"}, {"path": "tedlium_29756.wav", "duration": 6.87, "text": "particular comments regarding the company's future plans and expected performance are forward-looking statements."}, {"path": "tedlium_29757.wav", "duration": 6.87, "text": "with some recovery factors increasing from an average of about 9% into the low and mid-teens."}, {"path": "tedlium_29758.wav", "duration": 6.87, "text": "We are excited about moving forward with the purchase option as this expansion will increase the company's renewable portfolio"}, {"path": "tedlium_29759.wav", "duration": 6.87, "text": "we rotated a portion of our lower yielding assets into higher yielding strategies. We continue to focus on sectors"}, {"path": "tedlium_29760.wav", "duration": 6.87, "text": "some amount of time now. If you had sort of unfettered or unlimited supply, Bruce,"}, {"path": "tedlium_29761.wav", "duration": 6.87, "text": "Thank you again for joining us today. We really appreciate it, and we will be participating"}, {"path": "tedlium_29762.wav", "duration": 6.87, "text": "our total potential contract value and announced a new manufacturing hub in Matamoros, Mexico."}, {"path": "tedlium_29763.wav", "duration": 6.87, "text": "And then lastly, Cortland has also improved in profitability. We had made some major restructuring actions"}, {"path": "tedlium_29764.wav", "duration": 6.87, "text": "which means that every single transaction, one can take a look and see whether it is profitable interchange or not,"}, {"path": "tedlium_29765.wav", "duration": 6.87, "text": "and at this stage, most likely starting within the card -- card experience, and that includes things like"}, {"path": "tedlium_29766.wav", "duration": 6.87, "text": "In my following discussion of results, we've restated prior results to reflect this change."}, {"path": "tedlium_29767.wav", "duration": 6.87, "text": "it -- we're not really expecting a big macro improvement here to deliver what we need to deliver. It's really more just kind of"}, {"path": "tedlium_29768.wav", "duration": 6.87, "text": "While we don't provide quarterly guidance, please keep in mind that last year, spring product deliveries"}, {"path": "tedlium_29769.wav", "duration": 6.87, "text": "about the transactions we do in the country to keep the credit quality of our portfolio pristine."}, {"path": "tedlium_29770.wav", "duration": 6.87, "text": "This is the same slide as the one used during the MTBP meeting in May this year."}, {"path": "tedlium_29771.wav", "duration": 6.87, "text": "Selling, general and administrative costs were higher, but declined as a percentage of sales on the additional volumes."}, {"path": "tedlium_29772.wav", "duration": 6.87, "text": "The proposed integrated 3-train expansion avoids unnecessary and costly duplication of infrastructure."}, {"path": "tedlium_29773.wav", "duration": 6.87, "text": "Restructuring costs associated with our margin enhancement initiatives are largely behind us at this point."}, {"path": "tedlium_29774.wav", "duration": 6.87, "text": "The second is as -- over the past few years, we have kept investing in some of these new higher"}, {"path": "tedlium_29775.wav", "duration": 6.87, "text": "We will continue to focus on driving industry-leading top line growth and profitability,"}, {"path": "tedlium_29776.wav", "duration": 6.87, "text": "that's created the issue for us. But what I would -- the way I think about it is largely a timing issue."}, {"path": "tedlium_29777.wav", "duration": 6.87, "text": "These 2 items are closely tied as it is difficult to improve the utilization of your fleet if your freight basket isn't full."}, {"path": "tedlium_29778.wav", "duration": 6.87, "text": "As we enter our second year as a public company, we look to build on our first year of success and continue to execute on our business plan."}, {"path": "tedlium_29779.wav", "duration": 6.87, "text": "And we're also assuming a federal tax rate of 35%, so wherever that may end up."}, {"path": "tedlium_29780.wav", "duration": 6.87, "text": "We're currently on very different paths but expect clarity this quarter in New York and also Illinois."}, {"path": "tedlium_29781.wav", "duration": 6.87, "text": "equity market or equity issuance via ATM or other means once you've achieved that target leverage?"}, {"path": "tedlium_29782.wav", "duration": 6.87, "text": "reflecting the strength of our focus to expand margins and improve cash generation across the company."}, {"path": "tedlium_29783.wav", "duration": 6.87, "text": "Importantly, with the completion of our recent financing, we are well positioned to deliver on many value-inflection milestones,"}, {"path": "tedlium_29784.wav", "duration": 6.87, "text": "which have been both surprising and frustrating, and thus we're disappointed that we do not have incremental new data to share with you today."}, {"path": "tedlium_29785.wav", "duration": 6.87, "text": "So that's something that we have been looking at. We have been working with partners, as Richie has said, and we are actively moving towards implementation."}, {"path": "tedlium_29786.wav", "duration": 6.87, "text": "We will then open the call up to your questions, after which, Dr. Frost will close the call with some final remarks."}, {"path": "tedlium_29787.wav", "duration": 6.87, "text": "And historically, when costs go up, we are able to at least recover those costs in the way of pricing."}, {"path": "tedlium_29788.wav", "duration": 6.87, "text": "Our strong earnings and profitability demonstrate the emerging potential for the combined company."}, {"path": "tedlium_29789.wav", "duration": 6.87, "text": "We did not have a similar benefit this year. Excluding these settlements, we would have seen an increase in gross profit."}, {"path": "tedlium_29790.wav", "duration": 6.87, "text": "So there's certainly going to be a lot more stations and groups offered for sale."}, {"path": "tedlium_29791.wav", "duration": 6.87, "text": "ad networks, and we're pleased to be working with them. There are a number of others also conducting their own studies."}, {"path": "tedlium_29792.wav", "duration": 6.87, "text": "In the government market, sales were down double digits and gross profit was down single digits from a year ago."}, {"path": "tedlium_29793.wav", "duration": 6.87, "text": "Starting on Slide 6, our Term Life segment experienced strong growth compared with the fourth quarter a year ago."}, {"path": "tedlium_29794.wav", "duration": 6.87, "text": "Now moving forward, we continue to believe that Julius Baer through its superior business model, can continue to attract"}, {"path": "tedlium_29795.wav", "duration": 6.87, "text": "So is it fair to say a little bit early at this point to have necessarily like a targeted split or anything"}, {"path": "tedlium_29796.wav", "duration": 6.87, "text": "increase in those pressures in any significant way. There is incremental capacity being brought on always in these kind of products,"}, {"path": "tedlium_29797.wav", "duration": 6.87, "text": "We are pleased that the clinical trial design has been completed and the principal investigators have been chosen."}, {"path": "tedlium_29798.wav", "duration": 6.87, "text": "and a more complete selection and be able to put it together better than the others."}, {"path": "tedlium_29799.wav", "duration": 6.87, "text": "we will also see more capacity expansion, and that will also improve our overall revenues."}, {"path": "tedlium_29800.wav", "duration": 6.87, "text": "This agreement was concluded on the 16th of November last year. It is anticipated that about 3,000 employees"}, {"path": "tedlium_29801.wav", "duration": 6.87, "text": "We have got the best execution team, which has actually delivered a project rather than actually going out into the market"}, {"path": "tedlium_29802.wav", "duration": 6.87, "text": "in additional strategic growth opportunities. As always, we will be disciplined in the pursuit"}, {"path": "tedlium_29803.wav", "duration": 6.87, "text": "substantially better part of the cost reduction opportunities that we were planning have been realized"}, {"path": "tedlium_29804.wav", "duration": 6.87, "text": "contracts that we closed last year were larger expansions on existing accounts."}, {"path": "tedlium_29805.wav", "duration": 6.87, "text": "The only reason I say it's difficult to classify between cost of sales and other OpEx is"}, {"path": "tedlium_29806.wav", "duration": 6.87, "text": "A. This was a very positive year for us. I feel that our business continues to be headed in the right direction."}, {"path": "tedlium_29807.wav", "duration": 6.8699375, "text": "First, I like thank our global team for their outstanding work, not just in the fourth quarter, but for the whole year,"}, {"path": "tedlium_29808.wav", "duration": 6.8400625, "text": "And the positive movement in working capital is actually due to changes in the written to earned position."}, {"path": "tedlium_29809.wav", "duration": 6.8400625, "text": "And whilst a financing solution may take some more time, including potentially introducing new equity partners,"}, {"path": "tedlium_29810.wav", "duration": 6.8400625, "text": "More broadly, the balance of the platform continues to deliver solid results."}, {"path": "tedlium_29811.wav", "duration": 6.84, "text": "And we took you through how cash is moving around the group and how we allocate that capital. We also said at that time"}, {"path": "tedlium_29812.wav", "duration": 6.84, "text": "Turning to Slide 14, let me first start with a summary of our financial highlights from the quarter."}, {"path": "tedlium_29813.wav", "duration": 6.84, "text": "I do think that there are companies who would be very proud"}, {"path": "tedlium_29814.wav", "duration": 6.84, "text": "Although face in total is, I believe, also half of the Indian market."}, {"path": "tedlium_29815.wav", "duration": 6.84, "text": "and initiatives discussed above. First, we continue to roll out additional courses under our intellipath format,"}, {"path": "tedlium_29816.wav", "duration": 6.84, "text": "This new program is designed to award those leaders who are delivering the best customer experience on a sustainable basis."}, {"path": "tedlium_29817.wav", "duration": 6.84, "text": "The work and expertise of our risk management team are emphatically highlighted during quarters like the one we just experienced."}, {"path": "tedlium_29818.wav", "duration": 6.84, "text": "requirements to follow the primary endpoint of the study. The second is to make sure that they are actually having attacks."}, {"path": "tedlium_29819.wav", "duration": 6.84, "text": "And it's this good advice that we baked into our new 4.0 release. On the MediaMiser front, thanks to"}, {"path": "tedlium_29820.wav", "duration": 6.84, "text": "Both revenue and operating profit forecasts have been reduced for network products."}, {"path": "tedlium_29821.wav", "duration": 6.84, "text": "And I just like to know if you could talk about that a little bit more if you really are seeing that trend?"}, {"path": "tedlium_29822.wav", "duration": 6.84, "text": "in the first quarter of next year. But yes, that's a lot of what has to happen between now and then is clients implementing"}, {"path": "tedlium_29823.wav", "duration": 6.84, "text": "you mentioned the interesting Ford example and how this was at least driven in part by generous design."}, {"path": "tedlium_29824.wav", "duration": 6.84, "text": "We really expect that ramp-up in earnings to happen in the second half of the year, so the full year earnings will be up."}, {"path": "tedlium_29825.wav", "duration": 6.84, "text": "and you are debating whether it will be the wise thing to do because you don't want them to lose"}, {"path": "tedlium_29826.wav", "duration": 6.84, "text": "Last quarter, I said that to achieve our operating margin model, we needed to manage our operating"}, {"path": "tedlium_29827.wav", "duration": 6.84, "text": "and only tear off what is needed, where the repairs need to be made. And it's just a faster, smarter way to get the data,"}, {"path": "tedlium_29828.wav", "duration": 6.84, "text": "You cannot sell summer drinks in winter. That's not healthy."}, {"path": "tedlium_29829.wav", "duration": 6.84, "text": "No other market has seen this level of competition develop and a lot of it has to do with the retail market design."}, {"path": "tedlium_29830.wav", "duration": 6.84, "text": "of the factors that could cause actual results to differ materially from those projections in any forward-looking statements."}, {"path": "tedlium_29831.wav", "duration": 6.84, "text": "And so thank you everyone for your participation. You may now disconnect."}, {"path": "tedlium_29832.wav", "duration": 6.84, "text": "I'd also note that we use both GAAP and non-GAAP measures and we refer you to our reconciliation of these measures"}, {"path": "tedlium_29833.wav", "duration": 6.84, "text": "there are people in the business that just don't want to talk to the press or do anything that looks like a press release."}, {"path": "tedlium_29834.wav", "duration": 6.84, "text": "as well as deferred revenue related to upfront payments from early licensing agreements."}, {"path": "tedlium_29835.wav", "duration": 6.84, "text": "owners -- it's kind of like insurance, they've kind of built their businesses and they may be looking to sell because they want to exit, and so"}, {"path": "tedlium_29836.wav", "duration": 6.84, "text": "I would just like to thank all of you for participating in this call. Thank you, and have a very good day."}, {"path": "tedlium_29837.wav", "duration": 6.84, "text": "We'll begin with distribution, which is predominantly made up of sales of aftermarket parts"}, {"path": "tedlium_29838.wav", "duration": 6.84, "text": "Is that infrastructure-related business always been lumpy for you? Or is it unusually lumpy recently?"}, {"path": "tedlium_29839.wav", "duration": 6.84, "text": "the first things we look at are where we have shared customers. And many of the shared customers are coming to us with"}, {"path": "tedlium_29840.wav", "duration": 6.84, "text": "We must be profitable every quarter, and we are actively seeking improvements every day to deliver on that goal."}, {"path": "tedlium_29841.wav", "duration": 6.84, "text": "is an unrealistic pipe dream, with the substance in the pipe being legal only in Colorado and Washington state."}, {"path": "tedlium_29842.wav", "duration": 6.84, "text": "Insufficient pipeline takeaway capacity continues in the Permian as a result of that aggressive spend."}, {"path": "tedlium_29843.wav", "duration": 6.84, "text": "So independent of anything we're working on in terms of automation or process improvement, you're going to just see time in the seat is going to help these folks both"}, {"path": "tedlium_29844.wav", "duration": 6.84, "text": "These factors are outlined in the news release as well as with documents filed by the company with the Securities and Exchange Commission."}, {"path": "tedlium_29845.wav", "duration": 6.84, "text": "but to actually get early warning systems on how they can affect the outcomes of the reporting,"}, {"path": "tedlium_29846.wav", "duration": 6.84, "text": "We need to remind you that this presentation is available by audio cast and that you can also follow it"}, {"path": "tedlium_29847.wav", "duration": 6.84, "text": "During the quarter, we reduced that liability, given the current estimate of the earn-out based on recent and expected performance"}, {"path": "tedlium_29848.wav", "duration": 6.84, "text": "I would say and I think this is a -- as we've been thinking about Investor Day, one of the"}, {"path": "tedlium_29849.wav", "duration": 6.84, "text": "section of the website. Ares Capital Corporation's earnings release and 10-Q are also available on the company's website."}, {"path": "tedlium_29850.wav", "duration": 6.84, "text": "And lastly, we completed initial customer qualifications for our new specialty filtration paper,"}, {"path": "tedlium_29851.wav", "duration": 6.84, "text": "Use and satisfaction with our stapling and energy products has been rising as gen 4 products have increased in the installed base."}, {"path": "tedlium_29852.wav", "duration": 6.84, "text": "is going on throughout our business. It touches a number of departments. It's not just customer care"}, {"path": "tedlium_29853.wav", "duration": 6.84, "text": "I think the analogy with George is similar to the journey Michael and the merchants have been on."}, {"path": "tedlium_29854.wav", "duration": 6.84, "text": "as far as we can see, but we have to get through this and continue to do the right thing for the long term."}, {"path": "tedlium_29855.wav", "duration": 6.84, "text": "The repair and remodel sector also saw improvement, driven by the overall health of the economy and housing market."}, {"path": "tedlium_29856.wav", "duration": 6.84, "text": "reserves have been placed on our borrowing capacity and we have seen accelerated terms and prepayment requirements from certain vendors."}, {"path": "tedlium_29857.wav", "duration": 6.84, "text": "we must not get or misconclude from international equals for sale."}, {"path": "tedlium_29858.wav", "duration": 6.84, "text": "convince customers to come back or buy more from us. And that's what we're seeing right now. We're seeing some improvement"}, {"path": "tedlium_29859.wav", "duration": 6.84, "text": "while deploying additional resources to focus on opportunities and markets where we are under penetrated."}, {"path": "tedlium_29860.wav", "duration": 6.84, "text": "Some of that I think is taking share. Some of that has been a decent spend in the municipal space."}, {"path": "tedlium_29861.wav", "duration": 6.84, "text": "REX American Resources assumes no obligation to publicly update or revise any forward-looking statements."}, {"path": "tedlium_29862.wav", "duration": 6.84, "text": "Here we saw a dynamic where the growth in our retail business, more specifically in the Post Bank,"}, {"path": "tedlium_29863.wav", "duration": 6.84, "text": "to bring together the entire customer experience. And we see that. I mean, insurance is a great example of an industry where"}, {"path": "tedlium_29864.wav", "duration": 6.84, "text": "which is why we're giving ourselves perhaps a little bit longer runway to drop the assets down."}, {"path": "tedlium_29865.wav", "duration": 6.84, "text": "I would like to address one more question. In the future,"}, {"path": "tedlium_29866.wav", "duration": 6.84, "text": "of the 3 GSA properties, I think it woke up lot of folks that own these assets or brokers that sell these assets."}, {"path": "tedlium_29867.wav", "duration": 6.84, "text": "we're very bullish about building a true business development function in the company"}, {"path": "tedlium_29868.wav", "duration": 6.84, "text": "Innovative companies are making strategic decisions to outsource a defined portion of their talent needs."}, {"path": "tedlium_29869.wav", "duration": 6.84, "text": "We will grow the asset base, and our percentage increase in investment income has been good."}, {"path": "tedlium_29870.wav", "duration": 6.84, "text": "will most likely struggle to achieve anything greater than these market conditions will allow."}, {"path": "tedlium_29871.wav", "duration": 6.84, "text": "This information can be found in our other filings with the SEC when available."}, {"path": "tedlium_29872.wav", "duration": 6.84, "text": "would suggest should come at some point in this cycle. So we continue to go out there and fight for every order and believe that we can"}, {"path": "tedlium_29873.wav", "duration": 6.84, "text": "Revenue growth for the Staffing Services segment were mixed for the quarter."}, {"path": "tedlium_29874.wav", "duration": 6.84, "text": "of the dividends that would have gone to Renova, we keep them in-house, we don't have to segregate them on any special account of any type,"}, {"path": "tedlium_29875.wav", "duration": 6.84, "text": "Yes, we have to be careful with that. What I would tell you is that price increase was successful, but I can't be more specific"}, {"path": "tedlium_29876.wav", "duration": 6.84, "text": "On the bottom line, by pricing to recover input cost inflation, we've protected profitability"}, {"path": "tedlium_29877.wav", "duration": 6.84, "text": "in New York on November 16. More details to follow. If you have any additional questions in the meantime,"}, {"path": "tedlium_29878.wav", "duration": 6.84, "text": "with the second quarter reports that retailers are doing well. And it's not just the online business, it's also"}, {"path": "tedlium_29879.wav", "duration": 6.84, "text": "This increases our ability to deliver additional silicon germanium wafers to customers to some extent starting in the second quarter"}, {"path": "tedlium_29880.wav", "duration": 6.84, "text": "kind of listening to your commentary, should I think of this as now you have more time"}, {"path": "tedlium_29881.wav", "duration": 6.84, "text": "We're very pleased with the third quarter consolidated results as we delivered operating income and net income, which are comparable"}, {"path": "tedlium_29882.wav", "duration": 6.84, "text": "hesitant to call out a double-digit growth. What's really changed for you during the quarter to see this kind of momentum?"}, {"path": "tedlium_29883.wav", "duration": 6.84, "text": "Having a lower cost structure so that we can continue to run profitably even at lower product pricing."}, {"path": "tedlium_29884.wav", "duration": 6.84, "text": "This is because we continue to identify new projects and generate larger savings on planned initiatives."}, {"path": "tedlium_29885.wav", "duration": 6.84, "text": "We are investing in our Microbial Solutions business to improve our manufacturing efficiency"}, {"path": "tedlium_29886.wav", "duration": 6.84, "text": "That represents our highest annual spot revenue growth rate since separation."}, {"path": "tedlium_29887.wav", "duration": 6.84, "text": "expanding channels of distribution and developing dedicated sections in GameStop stores in several markets."}, {"path": "tedlium_29888.wav", "duration": 6.84, "text": "their ability to take care of their customers and we've picked up some traditional business as well."}, {"path": "tedlium_29889.wav", "duration": 6.84, "text": "Ladies and gentlemen, that does conclude today's conference call. We thank you for your participation and ask that you please disconnect your lines."}, {"path": "tedlium_29890.wav", "duration": 6.84, "text": "at our Capital Markets Day. And that's allowed us to reduce significantly the net debt position"}, {"path": "tedlium_29891.wav", "duration": 6.84, "text": "We continue to see ways to improve profitability, although we do not believe it will be a smooth path."}, {"path": "tedlium_29892.wav", "duration": 6.84, "text": "above what we've seen with these other ADCs. So we're hoping that we can have a much better"}, {"path": "tedlium_29893.wav", "duration": 6.84, "text": "metric for our customers and that too helps them as they kind of position themselves to make sure that they can"}, {"path": "tedlium_29894.wav", "duration": 6.84, "text": "Please refer to the forward-looking statement disclosure on Page 2 of the slides and in today's earnings release."}, {"path": "tedlium_29895.wav", "duration": 6.84, "text": "So again we are very happy. And as you know, this is the first year still relatively small in terms of our overall"}, {"path": "tedlium_29896.wav", "duration": 6.84, "text": "We continue to see promising early returns from our increased marketing investment and customer acquisition programs."}, {"path": "tedlium_29897.wav", "duration": 6.84, "text": "And I would like to say that we're through it, but we are still churning over the assortment, which gives rise to some of it. So if we're"}, {"path": "tedlium_29898.wav", "duration": 6.84, "text": "The market's also looking at higher exports to Mexico and lower net imports from Canada,"}, {"path": "tedlium_29899.wav", "duration": 6.84, "text": "managing our balance sheet to provide appropriate financial flexibility and returning capital to shareholders."}, {"path": "tedlium_29900.wav", "duration": 6.84, "text": "is one of the ways we're creating a better career management experience for professionals while delivering qualified candidates to customers."}, {"path": "tedlium_29901.wav", "duration": 6.84, "text": "which has a direct impact in terms of cost reduction and margin improvement for us and is real money, so we don't have to pay our MNO partner."}, {"path": "tedlium_29902.wav", "duration": 6.84, "text": "Should one or more of these risks or uncertainties materialize should any of our assumptions prove incorrect,"}, {"path": "tedlium_29903.wav", "duration": 6.84, "text": "We can also continue our other operations and research and development programs at a reduced spending level."}, {"path": "tedlium_29904.wav", "duration": 6.84, "text": "So thank you very much for joining us this afternoon. And on behalf of the entire management team,"}, {"path": "tedlium_29905.wav", "duration": 6.84, "text": "and also bear in mind that we have recognized somewhat fewer units to consumers this year,"}, {"path": "tedlium_29906.wav", "duration": 6.84, "text": "As we've modeled out the fourth quarter, we also anticipate potentially a little benefit in the tax area"}, {"path": "tedlium_29907.wav", "duration": 6.84, "text": "Thanks, Mike. As David mentioned, the work we have done this year, both in terms of lowering leverage through asset sales"}, {"path": "tedlium_29908.wav", "duration": 6.84, "text": "very much align the executives with that of the performance of shareholders. I mean,"}, {"path": "tedlium_29909.wav", "duration": 6.84, "text": "capabilities here, which is unique in this whole space. We will leverage our payments core platform,"}, {"path": "tedlium_29910.wav", "duration": 6.84, "text": "is that more on adding new customers with the payments module? Or is this"}, {"path": "tedlium_29911.wav", "duration": 6.84, "text": "from a much more volatile ethanol business than what we see in our ability to manage risk in cattle."}, {"path": "tedlium_29912.wav", "duration": 6.84, "text": "in the rate of our LIBOR-based credit facility. We had a negligible amount of CapEx during the quarter."}, {"path": "tedlium_29913.wav", "duration": 6.84, "text": "we think we have a tremendous opportunity from a share gain and market penetration perspective going forward"}, {"path": "tedlium_29914.wav", "duration": 6.84, "text": "Now we're much more focused, which we think will allow us to stay in stock on bestsellers, chase the winners."}, {"path": "tedlium_29915.wav", "duration": 6.84, "text": "the most important thing we can do is to get the test away and do as much as we can"}, {"path": "tedlium_29916.wav", "duration": 6.84, "text": "I have no issue at all with environmental and other approvals being run on projects on a case-by-case basis."}, {"path": "tedlium_29917.wav", "duration": 6.84, "text": "second quarter. And so the second half now is about a stable organization that's well-trained,"}, {"path": "tedlium_29918.wav", "duration": 6.84, "text": "I won't call it conservative, but realistic on when this unit will really start up. So we've taken all that volume out."}, {"path": "tedlium_29919.wav", "duration": 6.84, "text": "Actual results may differ materially from those projected or implied due to a variety of factors."}, {"path": "tedlium_29920.wav", "duration": 6.84, "text": "in a little different framework than you pointed out. I think the consolidation will come between"}, {"path": "tedlium_29921.wav", "duration": 6.84, "text": "Our team is quite excited to be working on the technology and is already working on the initial prototypes and test methods."}, {"path": "tedlium_29922.wav", "duration": 6.84, "text": "So thank you for that final question. I would now like to summarize the 3 most important points we have discussed this morning."}, {"path": "tedlium_29923.wav", "duration": 6.84, "text": "So if you would summarize it that way. So is the risk on the upside or the downside?"}, {"path": "tedlium_29924.wav", "duration": 6.84, "text": "And also, as far as material, we actually found an alternate source for one of our chemical materials that"}, {"path": "tedlium_29925.wav", "duration": 6.84, "text": "performance, obviously, that's something that has to lead to the bottom line and has to lead to the cash flow."}, {"path": "tedlium_29926.wav", "duration": 6.84, "text": "In California, we are also a major supplier to massive projects like the new Rams stadium,"}, {"path": "tedlium_29927.wav", "duration": 6.84, "text": "One characterized by strength in public demand joining the continuing recovery in private demand."}, {"path": "tedlium_29928.wav", "duration": 6.84, "text": "And so we're starting to see that growth and we know that they're trying to accelerate the funding."}, {"path": "tedlium_29929.wav", "duration": 6.84, "text": "And when you look at appraised values, most appraised values look at a continued redeployment"}, {"path": "tedlium_29930.wav", "duration": 6.84, "text": "This strong and consistent cash flow provides the opportunity to position our company for future growth."}, {"path": "tedlium_29931.wav", "duration": 6.84, "text": "drive them up somewhat because that would be part of how we deploy the balance sheet in a positive way."}, {"path": "tedlium_29932.wav", "duration": 6.84, "text": "This includes social housing projects, first phase of multiple phase condominium projects,"}, {"path": "tedlium_29933.wav", "duration": 6.84, "text": "So -- I mean, the Q3 is always a little bit of a high watermark for our margins."}, {"path": "tedlium_29934.wav", "duration": 6.84, "text": "Also, the addition of our national EVLT business manager has shown positive early results,"}, {"path": "tedlium_29935.wav", "duration": 6.84, "text": "Can you elaborate a little bit more on that? How are you actively sort of trying to loosen up properties that you would like to own?"}, {"path": "tedlium_29936.wav", "duration": 6.84, "text": "The progress in our proprietary programs has attracted strong support from leading health care investors."}, {"path": "tedlium_29937.wav", "duration": 6.84, "text": "We believe there will be more to come as more and more companies and people realize the city's advantages and opportunities."}, {"path": "tedlium_29938.wav", "duration": 6.84, "text": "I have a quick question on the current pace of the business. I know you guys provided some color"}, {"path": "tedlium_29939.wav", "duration": 6.84, "text": "how much of the price increases that you've announced are so far being realized?"}, {"path": "tedlium_29940.wav", "duration": 6.84, "text": "As you may remember so during the past couple of quarters, it has been the other way around, so that parts has been growing"}, {"path": "tedlium_29941.wav", "duration": 6.84, "text": "Now talking about EBITDA evolution. I want to confirm the behavior"}, {"path": "tedlium_29942.wav", "duration": 6.84, "text": "It's really to build the platform business of the future because we believe that"}, {"path": "tedlium_29943.wav", "duration": 6.84, "text": "and we'll set that cash aside to be used for that particular job. And that's really the way it should be done"}, {"path": "tedlium_29944.wav", "duration": 6.84, "text": "By revealing the areas that need improvement, we know where to focus and take action, which is exactly what we are doing."}, {"path": "tedlium_29945.wav", "duration": 6.84, "text": "This means developing and refining solutions that solve a wide variety of business objectives."}, {"path": "tedlium_29946.wav", "duration": 6.84, "text": "You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date they are made."}, {"path": "tedlium_29947.wav", "duration": 6.84, "text": "But we are pleased to see multiple Continental European bank sale processes ongoing."}, {"path": "tedlium_29948.wav", "duration": 6.84, "text": "lower than that, we're going to achieve very healthy and significant positive"}, {"path": "tedlium_29949.wav", "duration": 6.84, "text": "overall for the company, the direction we're in and the results we're seeing, where we're making the investments to set us up for the future."}, {"path": "tedlium_29950.wav", "duration": 6.84, "text": "To put this into context more than 3 weeks' worth of total inventory was drawn down from the distribution channel during the quarter."}, {"path": "tedlium_29951.wav", "duration": 6.84, "text": "the issues that went wrong in the past in terms of actually the level model, the community model, addressing all of that,"}, {"path": "tedlium_29952.wav", "duration": 6.84, "text": "And then the other thing that we're hearing from builders that they're in the process of pivoting from"}, {"path": "tedlium_29953.wav", "duration": 6.84, "text": "up to 21 million bales as compared to 14 million bales of last year, and we also believe that we will"}, {"path": "tedlium_29954.wav", "duration": 6.84, "text": "in the Satellite Systems division. Next, I'll cover several aspects of the first quarter results"}, {"path": "tedlium_29955.wav", "duration": 6.84, "text": "becoming more stable? Sure. Well, Brexit is clearly driving a lot of the political"}, {"path": "tedlium_29956.wav", "duration": 6.8100625, "text": "Jeff will read Doug's prepared remarks and then we will open the call up to questions. Jeff, would you"}, {"path": "tedlium_29957.wav", "duration": 6.8100625, "text": "Last year the focus has been on having our interior designers qualify for Live Chat."}, {"path": "tedlium_29958.wav", "duration": 6.81, "text": "of being a leader in the pricing environment as raw material costs have been increasing so dramatically."}, {"path": "tedlium_29959.wav", "duration": 6.81, "text": "negotiation up and running, which was very, very noisy and much louder than the one you currently do see in the Netherlands,"}, {"path": "tedlium_29960.wav", "duration": 6.81, "text": "have been starved of capital or they have not had a very thorough investment program for a number of years."}, {"path": "tedlium_29961.wav", "duration": 6.81, "text": "We will have taken out as much cost as we possibly can, and we will be operating it"}, {"path": "tedlium_29962.wav", "duration": 6.81, "text": "This is another example of an initiative of innovative scope that simply would not have been possible a year ago."}, {"path": "tedlium_29963.wav", "duration": 6.81, "text": "Is it fair to say that your debt repayments will only be dictated by"}, {"path": "tedlium_29964.wav", "duration": 6.81, "text": "It will get to that point in the next couple of years, but we're more focused on the asset utilization"}, {"path": "tedlium_29965.wav", "duration": 6.81, "text": "Items worth noting in the year were the negative effects of the hurricanes and flooding during the quarter"}, {"path": "tedlium_29966.wav", "duration": 6.81, "text": "and restrained capacity growth. And there are reasons to believe that both of those"}, {"path": "tedlium_29967.wav", "duration": 6.81, "text": "as well as net new also presents an opportunity for us to be able to grow the revenue"}, {"path": "tedlium_29968.wav", "duration": 6.81, "text": "Patricia would tell you that is a key element in our value proposition and a reason behind the health of our sales pipeline."}, {"path": "tedlium_29969.wav", "duration": 6.81, "text": "We believe that the stock has been impacted by sector cloud that is not relevant to our business."}, {"path": "tedlium_29970.wav", "duration": 6.81, "text": "it does -- it has been a response on the price side to demand really across the world."}, {"path": "tedlium_29971.wav", "duration": 6.81, "text": "modernize their software development. We will continue to drive customer expansions as well as grow share by winning new customers. With"}, {"path": "tedlium_29972.wav", "duration": 6.81, "text": "And then, ultimately, I believe it's going to come down to the market share that you're able to achieve"}, {"path": "tedlium_29973.wav", "duration": 6.81, "text": "While the overall trends have been fairly consistent over the last few quarters, the mix of activity has changed somewhat."}, {"path": "tedlium_29974.wav", "duration": 6.81, "text": "And doing that groundwork is an urgent matter from the company's perspective, hence, we do have some concerns."}, {"path": "tedlium_29975.wav", "duration": 6.81, "text": "While sales have been soft on the front store side, I am confident in the plans we are implementing to reverse these trends."}, {"path": "tedlium_29976.wav", "duration": 6.81, "text": "These methods will allow us to extend our pharmacy offerings deeper into our communities and store footprint."}, {"path": "tedlium_29977.wav", "duration": 6.81, "text": "And also, the same in Switzerland, and what the rate of declines were in Switzerland than Germany. From"}, {"path": "tedlium_29978.wav", "duration": 6.81, "text": "Then I was a bit surprised to see still a loss"}, {"path": "tedlium_29979.wav", "duration": 6.81, "text": "And what we are appreciating is our customers asking or embracing"}, {"path": "tedlium_29980.wav", "duration": 6.81, "text": "REX American Resources assumes no obligation to publicly update or revise any forward-looking statements."}, {"path": "tedlium_29981.wav", "duration": 6.81, "text": "we think that's possible because you just look at the pipeline and look at the years in which we signed the deals,"}, {"path": "tedlium_29982.wav", "duration": 6.81, "text": "So this is -- I think many business owners have concluded that this is a time to be investing in the business."}, {"path": "tedlium_29983.wav", "duration": 6.81, "text": "which are closest to professional activities and professional accreditation, and that's an area both in Books and Journals"}, {"path": "tedlium_29984.wav", "duration": 6.81, "text": "wherever our customer designate, we can make the system in any country they want."}, {"path": "tedlium_29985.wav", "duration": 6.81, "text": "We believe we are well on track to deliver on the financial targets that we set out in"}, {"path": "tedlium_29986.wav", "duration": 6.81, "text": "when we've had the opportunity to look at not only what other mining companies have done over almost a decade, in fact,"}, {"path": "tedlium_29987.wav", "duration": 6.81, "text": "Our clients can, and in fact many already do, transact on each of the individual measures already available."}, {"path": "tedlium_29988.wav", "duration": 6.81, "text": "Before we begin, I would like to remind you that the discussions during this conference call will include forward-looking statements."}, {"path": "tedlium_29989.wav", "duration": 6.81, "text": "Northern California has a housing crisis. It's a very acute housing crisis. So"}, {"path": "tedlium_29990.wav", "duration": 6.81, "text": "to take our business to even greater heights. With that, here is some color on each of our markets."}, {"path": "tedlium_29991.wav", "duration": 6.81, "text": "Our performance in Denver has been similar to what the industry has seen, and our media campaign"}, {"path": "tedlium_29992.wav", "duration": 6.81, "text": "we are also investing in our fleet by on-boarding a significant amount of revenue equipment this year."}, {"path": "tedlium_29993.wav", "duration": 6.81, "text": "with a plan to begin manufacturing of finished dosage form registration batches of Cortrophin Gel"}, {"path": "tedlium_29994.wav", "duration": 6.81, "text": "So clearly, the market has changed, the ratio requirement has changed, but in those 2 buildings we can accommodate"}, {"path": "tedlium_29995.wav", "duration": 6.81, "text": "and getting all the regulatory approvals that are necessary. So I don't think we have any more color that we can provide other than we did at the last conference call."}, {"path": "tedlium_29996.wav", "duration": 6.81, "text": "mostly so that we could get some patterns -- sales patterns and some experience of doing that, understanding what customers were looking for, et cetera."}, {"path": "tedlium_29997.wav", "duration": 6.81, "text": "We are very excited about the prospects for XIAFLEX and recognize it to be a very valuable asset."}, {"path": "tedlium_29998.wav", "duration": 6.81, "text": "strategy here. With this consolidated market, we feel like it's going to be kind of a regular part of our business."}, {"path": "tedlium_29999.wav", "duration": 6.81, "text": "candidate data gives us competitive advantage in recruiting. And so I think we can each help the other"}, {"path": "tedlium_30000.wav", "duration": 6.81, "text": "which enables a greater and more strict selection of the projects for which bids are to be made."}, {"path": "tedlium_30001.wav", "duration": 6.81, "text": "This decision gives companies the right to reclaim the tax amounts paid before."}, {"path": "tedlium_30002.wav", "duration": 6.81, "text": "this quarter versus last year, is that we put on a couple of salesmen who were not yet covering their nuts,"}, {"path": "tedlium_30003.wav", "duration": 6.81, "text": "which is what they did, because they have a strong capability. We did not do that in France. We just terminated, and that's"}, {"path": "tedlium_30004.wav", "duration": 6.81, "text": "We anticipate our effective income tax rate to be in the 16% to 17% range."}, {"path": "tedlium_30005.wav", "duration": 6.81, "text": "And while a change could impact our cost of rewards going forward, it's important to remember exactly what we buy."}, {"path": "tedlium_30006.wav", "duration": 6.81, "text": "The slides, as we normally present them, are available as you can see. And of course, we're happy to answer questions on any of them."}, {"path": "tedlium_30007.wav", "duration": 6.81, "text": "So there's not a magic number that we have in mind to come back in. It's really going to be more driven by"}, {"path": "tedlium_30008.wav", "duration": 6.81, "text": "and our intention, based on current conditions, is not to redeem these debentures as they become redeemable in August of this year,"}, {"path": "tedlium_30009.wav", "duration": 6.81, "text": "where we continue to experience strong end market demand for our personal safety solutions."}, {"path": "tedlium_30010.wav", "duration": 6.81, "text": "Actual results and performance may differ from those included in the forward-looking statements as a result of factors"}, {"path": "tedlium_30011.wav", "duration": 6.81, "text": "pretty strong in the reels and we had a good quarter in the reels this past quarter. And we anticipate that"}, {"path": "tedlium_30012.wav", "duration": 6.81, "text": "Our profit this year was strongly"}, {"path": "tedlium_30013.wav", "duration": 6.81, "text": "and we're looking for that to continue moving forward. I should mention one other thing and that is the technology."}, {"path": "tedlium_30014.wav", "duration": 6.81, "text": "We've been able to get this business operating very quickly by leveraging our existing analytics tools and expertise,"}, {"path": "tedlium_30015.wav", "duration": 6.81, "text": "In our history, we've never had that kind of an impact in a quarter and we expect to recover quickly."}, {"path": "tedlium_30016.wav", "duration": 6.81, "text": "compared to 2015 and a slight decline in commercial and industrial deliveries."}, {"path": "tedlium_30017.wav", "duration": 6.81, "text": "Our infrastructure group benefited from increased commercial construction and infrastructure spending."}, {"path": "tedlium_30018.wav", "duration": 6.81, "text": "would subsequently require additional capital investment for facility upgrades and expansions."}, {"path": "tedlium_30019.wav", "duration": 6.81, "text": "in our warehouses as we've had issues with rail. But we're beginning to see that clean out over the last week or so."}, {"path": "tedlium_30020.wav", "duration": 6.81, "text": "I would expect all areas of our expense lines to participate in the profit improvement project."}, {"path": "tedlium_30021.wav", "duration": 6.81, "text": "marking over 15 consecutive years of positive daily average comparable store sales growth."}, {"path": "tedlium_30022.wav", "duration": 6.81, "text": "We've also continued to receive many questions related to specific performance indicators under the HAAS contract."}, {"path": "tedlium_30023.wav", "duration": 6.81, "text": "While we've made great progress, our team understands that it is still early in our transformation."}, {"path": "tedlium_30024.wav", "duration": 6.81, "text": "than other companies because we've taken a consistent artificial intelligence platform, Einstein,"}, {"path": "tedlium_30025.wav", "duration": 6.81, "text": "which is being reported as discontinued operations following the dissolution of the AutoMD subsidiary."}, {"path": "tedlium_30026.wav", "duration": 6.81, "text": "And I know we've talked in the past about how you had unique ways to keep your content cost down."}, {"path": "tedlium_30027.wav", "duration": 6.81, "text": "We grew with a number of clients in the technology, retail, health care and financial services industries in the quarter."}, {"path": "tedlium_30028.wav", "duration": 6.81, "text": "Of course, these transactions are subject to customary closing conditions and thus, not guaranteed to close."}, {"path": "tedlium_30029.wav", "duration": 6.81, "text": "And so the management transition continues there. But we're actually making great strides. We're really pleased to see that"}, {"path": "tedlium_30030.wav", "duration": 6.81, "text": "At this stage of the lodging cycle, we believe that it is prudent to build dry powder."}, {"path": "tedlium_30031.wav", "duration": 6.81, "text": "on that restructuring. And that runs everything from dealing with vendors and vendor contracts and"}, {"path": "tedlium_30032.wav", "duration": 6.81, "text": "or your expectations are now relative to at the end of the last quarter for the balance of the year."}, {"path": "tedlium_30033.wav", "duration": 6.81, "text": "by areas of strength, such as California and Florida. Comps should get easier in the second half of the year."}, {"path": "tedlium_30034.wav", "duration": 6.81, "text": "and that's just a bit less than 50%, almost as much as the weather."}, {"path": "tedlium_30035.wav", "duration": 6.81, "text": "We are committed to doing everything it takes to make our company successful. We will make the tough decisions."}, {"path": "tedlium_30036.wav", "duration": 6.81, "text": "you hear us talk a lot about our integrated business model, which we believe allows us to"}, {"path": "tedlium_30037.wav", "duration": 6.81, "text": "Before getting into a more detailed review of the quarter, I'd like to spend a minute describing the recast"}, {"path": "tedlium_30038.wav", "duration": 6.81, "text": "Turning now to our results by region. While pricing was the main driver of our revenue growth,"}, {"path": "tedlium_30039.wav", "duration": 6.81, "text": "And at the time, I talked about an accelerating mix within sneaker brands and Activewear and men's wear."}, {"path": "tedlium_30040.wav", "duration": 6.81, "text": "important products for the patients and promote the high standard products."}, {"path": "tedlium_30041.wav", "duration": 6.81, "text": "We continue to focus on our 6 core brands that represent 80% of our business"}, {"path": "tedlium_30042.wav", "duration": 6.81, "text": "of mix that we were talking about really dealt with doing"}, {"path": "tedlium_30043.wav", "duration": 6.81, "text": "After the markets closed yesterday, we issued our press release and published our earnings presentation and financial supplement."}, {"path": "tedlium_30044.wav", "duration": 6.81, "text": "Well, if you're just talking about Connected Campus, I'd say there's still lots of opportunities out there"}, {"path": "tedlium_30045.wav", "duration": 6.81, "text": "We don't necessarily see that translating into any material impact from a manufacturer's perspective at this time."}, {"path": "tedlium_30046.wav", "duration": 6.81, "text": "further in being toe-to-toe with them in terms of our scale and our ability to compete more globally with those guys."}, {"path": "tedlium_30047.wav", "duration": 6.81, "text": "the opportunity to move from places that they're already using brachial plexus block to other scenarios where they may not be."}, {"path": "tedlium_30048.wav", "duration": 6.81, "text": "on the Brio Gold division? We think that this is one of the most undervalued group of assets in this company,"}, {"path": "tedlium_30049.wav", "duration": 6.81, "text": "You also have a summary of our statements of financial position on the following slide."}, {"path": "tedlium_30050.wav", "duration": 6.81, "text": "which could drive additional value-creation above and beyond the growth we are targeting in our core EBITDA model."}, {"path": "tedlium_30051.wav", "duration": 6.81, "text": "versus where we were just a couple of months ago. And we do feel better that we have accounted for everything we know of."}, {"path": "tedlium_30052.wav", "duration": 6.81, "text": "The second quarter also saw the deployment of Hosted Voice service across nearly 40% of our markets,"}, {"path": "tedlium_30053.wav", "duration": 6.81, "text": "As Rick said we had another quarter of outstanding performance delivering strong top and bottom line growth."}, {"path": "tedlium_30054.wav", "duration": 6.81, "text": "once they figured out that they have a large corporate initiative to support responsible investing and that these were"}, {"path": "tedlium_30055.wav", "duration": 6.81, "text": "Turning now to our renewable fuel business. We continue to see increased interest and demand for our renewable fuel offering."}, {"path": "tedlium_30056.wav", "duration": 6.81, "text": "with the fact that our price increases are sticking and enabling us to offset fully the raw materials."}, {"path": "tedlium_30057.wav", "duration": 6.81, "text": "hold a significant amount of our debt and have historically provided capital in support of our efforts."}, {"path": "tedlium_30058.wav", "duration": 6.81, "text": "It's really difficult for -- and our end-use customers in China to understand how much inventory"}, {"path": "tedlium_30059.wav", "duration": 6.81, "text": "as well as the co-funding arrangement are mutually exclusive or is there possibility that one could happen without the other?"}, {"path": "tedlium_30060.wav", "duration": 6.81, "text": "In addition, our rates for transportation are much more competitive than rail and less expensive or comparable"}, {"path": "tedlium_30061.wav", "duration": 6.81, "text": "where we looked at their 8,000 diabetes patients and 4,000 of those patients were not on an ACE or an ARB despite being at the age where they should be."}, {"path": "tedlium_30062.wav", "duration": 6.81, "text": "against Par Pharmaceutical Inc. In connection with the settlement, Par was granted the right to sell a limited volume"}, {"path": "tedlium_30063.wav", "duration": 6.81, "text": "Utilities are applying it to grow their businesses and to meet aggressive CO2 emission reduction goals"}, {"path": "tedlium_30064.wav", "duration": 6.81, "text": "We have also analyzed the new bundle model and believe the downside risk of these 2 are modest."}, {"path": "tedlium_30065.wav", "duration": 6.81, "text": "Please note that based on the timing of certain working capital changes and maintenance capital expenditures,"}, {"path": "tedlium_30066.wav", "duration": 6.81, "text": "And when you say significant, what exactly does that mean, just kind of a broad range of expectations?"}, {"path": "tedlium_30067.wav", "duration": 6.81, "text": "in the services business in the last 3 years. So it's part of the strategic plan of the company. So"}, {"path": "tedlium_30068.wav", "duration": 6.81, "text": "And third has been to maintain a strong balance sheet to fund our high organic growth."}, {"path": "tedlium_30069.wav", "duration": 6.81, "text": "all of these major projects of OMS are now being delivered. So how do you"}, {"path": "tedlium_30070.wav", "duration": 6.81, "text": "I was under the impression that those with better-than-average fuel efficiency actually slightly benefited from higher fuel prices."}, {"path": "tedlium_30071.wav", "duration": 6.81, "text": "during the construction of that project. So as we look at other opportunities in Maine,"}, {"path": "tedlium_30072.wav", "duration": 6.81, "text": "in which we see a lot of activity in the economy overall and we intend to continue to be active."}, {"path": "tedlium_30073.wav", "duration": 6.81, "text": "focusing too hard on pushing one way or the other. Whereas a lot of my competitors, they'll pay double in Subscription or"}, {"path": "tedlium_30074.wav", "duration": 6.81, "text": "And of course, it'd partly driven by what competitors decide to do. And of course it could be that they're more interested"}, {"path": "tedlium_30075.wav", "duration": 6.81, "text": "Phoenix is active in industry discussions with regards to the future of our entire industry,"}, {"path": "tedlium_30076.wav", "duration": 6.81, "text": "And I wonder what the breakdown or the content is? What is that, that is contributing to that growth, if you could explain that?"}, {"path": "tedlium_30077.wav", "duration": 6.81, "text": "Thank you, operator, and thank you all for taking time to listen to this call today."}, {"path": "tedlium_30078.wav", "duration": 6.81, "text": "Because in truth, while we have an ability to take some stepwise and step function reductions in the expenses"}, {"path": "tedlium_30079.wav", "duration": 6.81, "text": "We see a number of companies that are in a position that's a lot less favorable than the position we're in."}, {"path": "tedlium_30080.wav", "duration": 6.81, "text": "Slide 9 shows our results compared with the outlook we provided on our second quarter call in July."}, {"path": "tedlium_30081.wav", "duration": 6.81, "text": "Growth accelerated in our research models business in China in the first quarter as we anticipated."}, {"path": "tedlium_30082.wav", "duration": 6.81, "text": "We'll do a going forward to the extent we have these adjustments, we'll make sure we highlight them"}, {"path": "tedlium_30083.wav", "duration": 6.81, "text": "and some of them are punitive and we build that into our rates upfront."}, {"path": "tedlium_30084.wav", "duration": 6.81, "text": "It also provides sophisticated yet simple and distinctive information about quality,"}, {"path": "tedlium_30085.wav", "duration": 6.81, "text": "and several large new projects either in the planning stage or having recently been announced."}, {"path": "tedlium_30086.wav", "duration": 6.81, "text": "The filing process itself went smoothly with constructive engagement with our regulators and key stakeholders throughout."}, {"path": "tedlium_30087.wav", "duration": 6.81, "text": "and external options to identify opportunities for additional shareholder value creation."}, {"path": "tedlium_30088.wav", "duration": 6.81, "text": "in some Asian ports, some Baltic Sea ports as well as in the East Coast of Latin America."}, {"path": "tedlium_30089.wav", "duration": 6.81, "text": "traditional rates were probably moving up, particularly with the electronic logs, and it is hard to find drivers these days. So"}, {"path": "tedlium_30090.wav", "duration": 6.81, "text": "which is slightly below our previous expectations as we are experiencing some short-term challenges in acetate flake"}, {"path": "tedlium_30091.wav", "duration": 6.81, "text": "A few examples of these areas include inventory management, global procurement and logistics and production engineering."}, {"path": "tedlium_30092.wav", "duration": 6.81, "text": "Speaking on behalf of the board and management, while we are continuing to evaluate all possible alternatives,"}, {"path": "tedlium_30093.wav", "duration": 6.81, "text": "but down sequentially 11% to lower -- due to lower activity with several current accounts."}, {"path": "tedlium_30094.wav", "duration": 6.81, "text": "including those risk factors discussed in the company's most recent form 10-K filed in May."}, {"path": "tedlium_30095.wav", "duration": 6.81, "text": "In the meantime, our current contract was extended earlier this week through the end of May."}, {"path": "tedlium_30096.wav", "duration": 6.81, "text": "So but it's really a shift into potentially new lines of business that a client has."}, {"path": "tedlium_30097.wav", "duration": 6.81, "text": "So we're looking for ways to shrink it. What we are seeing is that when we are dealing with some of these"}, {"path": "tedlium_30098.wav", "duration": 6.81, "text": "Our planned investment is part of a global strategy to open up our ecosystem and support a broad range of new partners"}, {"path": "tedlium_30099.wav", "duration": 6.81, "text": "due to the improved performance of the business, partially offset by lower legal and litigation fees."}, {"path": "tedlium_30100.wav", "duration": 6.81, "text": "but I'm encouraged. I'm extremely encouraged by the progress we're making and what we can expect here going forward."}, {"path": "tedlium_30101.wav", "duration": 6.81, "text": "And then there's some timing of working capital that I put in the equation as well, and then we do pay our"}, {"path": "tedlium_30102.wav", "duration": 6.81, "text": "These were partially offset by improved productivity compared to the same period last year."}, {"path": "tedlium_30103.wav", "duration": 6.81, "text": "along with proximity beacons and human interface devices. This is where the volume is today."}, {"path": "tedlium_30104.wav", "duration": 6.7800625, "text": "So right now, I do not anticipate any further grow -- I mean"}, {"path": "tedlium_30105.wav", "duration": 6.78, "text": "Then the second bucket is supply chain, further improving the Asian supply chain."}, {"path": "tedlium_30106.wav", "duration": 6.78, "text": "This is our best quarter ever. Eurex was the main driver for the result in the first quarter."}, {"path": "tedlium_30107.wav", "duration": 6.78, "text": "it's going to be interesting to see what happens with the rates, but I guess we will get into an environment"}, {"path": "tedlium_30108.wav", "duration": 6.78, "text": "Despite the inevitable issues that the travel industry always faces, we've continued to make good progress."}, {"path": "tedlium_30109.wav", "duration": 6.78, "text": "company wasn't doing as well as it could have been and had some negative income quarters and then it got paid off so."}, {"path": "tedlium_30110.wav", "duration": 6.78, "text": "We bought some additional proportional reinsurance to mitigate the impact of that and allow us to continue"}, {"path": "tedlium_30111.wav", "duration": 6.78, "text": "Claims ratio also improved by a point, reflecting that relatively benign claims environment."}, {"path": "tedlium_30112.wav", "duration": 6.78, "text": "Well, I could tell you our preferred solution was the solution we had before. For years we had a partner that was simply a takeout partner."}, {"path": "tedlium_30113.wav", "duration": 6.78, "text": "when people have a chance to look at the data, that represents a real sea change in the way people treat lung cancer."}, {"path": "tedlium_30114.wav", "duration": 6.78, "text": "Fluid Handling is performing modestly better than expected. As we have discussed previously,"}, {"path": "tedlium_30115.wav", "duration": 6.78, "text": "which are and will be critical to be able to significantly engage with the consumer."}, {"path": "tedlium_30116.wav", "duration": 6.78, "text": "as our revenues also build from our asset sensitivity, normal seasonality and our good organic growth,"}, {"path": "tedlium_30117.wav", "duration": 6.78, "text": "We are spending more to accelerate the growth of our project pipeline and our operating asset portfolio."}, {"path": "tedlium_30118.wav", "duration": 6.78, "text": "So with clarity looming now on DOL regulations and also continued consolidation expected given the scale comments,"}, {"path": "tedlium_30119.wav", "duration": 6.78, "text": "one of the challenges with newer products is the period for getting it up and running"}, {"path": "tedlium_30120.wav", "duration": 6.78, "text": "And we haven't talked very much about Tangerine's credit card, but its balances are up 31% for the whole year. So"}, {"path": "tedlium_30121.wav", "duration": 6.78, "text": "We generally don't take on transactional risk, so this slide focuses strictly on the translation impact for reporting purposes."}, {"path": "tedlium_30122.wav", "duration": 6.78, "text": "individuals will have liquidity events down the road as opposed to near term. So if they come to us with"}, {"path": "tedlium_30123.wav", "duration": 6.78, "text": "We continue to have a disciplined approach to our pricing strategy, and we believe that we have adequately priced"}, {"path": "tedlium_30124.wav", "duration": 6.78, "text": "Notwithstanding these challenges, we have achieved some important objectives that position the company for recovery and growth."}, {"path": "tedlium_30125.wav", "duration": 6.78, "text": "We have reduced our general and administrative expenses by reducing the size of our staff in all locations"}, {"path": "tedlium_30126.wav", "duration": 6.78, "text": "Despite lower premiums, we expect our expense ratio for these risk-based products"}, {"path": "tedlium_30127.wav", "duration": 6.78, "text": "and allowing customers more choice and control over what speeds and data plans they want."}, {"path": "tedlium_30128.wav", "duration": 6.78, "text": "the chart at the back of our press release some of those activities that still have to occur."}, {"path": "tedlium_30129.wav", "duration": 6.78, "text": "The main instrument I guess that we'll be using is the restructuring,"}, {"path": "tedlium_30130.wav", "duration": 6.78, "text": "as well as bringing back former customers that are starting the program. If you look next at what's kind of driving"}, {"path": "tedlium_30131.wav", "duration": 6.78, "text": "are in the approval process for development in the city of Toronto, which are now under review."}, {"path": "tedlium_30132.wav", "duration": 6.78, "text": "In coming weeks, we will determine targeted tenors, currencies and amounts to optimize this acquisition requirement."}, {"path": "tedlium_30133.wav", "duration": 6.78, "text": "Good, good because it sounds like with all the potential business you guys are talking about,"}, {"path": "tedlium_30134.wav", "duration": 6.78, "text": "We have provided slides for this presentation and our earnings release issued this morning on the Investors section of our website."}, {"path": "tedlium_30135.wav", "duration": 6.78, "text": "That will require us to make an estimate of what we think the pension deficit requirements will be,"}, {"path": "tedlium_30136.wav", "duration": 6.78, "text": "So we are looking all across Canada at places where we can increase the footprint in urban markets."}, {"path": "tedlium_30137.wav", "duration": 6.78, "text": "we restructured our manufacturing network, including the divestiture of our Charlotte manufacturing facility."}, {"path": "tedlium_30138.wav", "duration": 6.78, "text": "and we have to react very fast to these things. We cannot let that go. I mean the reaction time has to be very quick"}, {"path": "tedlium_30139.wav", "duration": 6.78, "text": "to lift and all the rest of it. So we are quite happy with skin care, umbrella brand and also"}, {"path": "tedlium_30140.wav", "duration": 6.78, "text": "We also launched 2 new shows in the period, an East Coast Active Collective event"}, {"path": "tedlium_30141.wav", "duration": 6.78, "text": "as well as our strength in patient advocacy, our corporate citizenship and our other support services."}, {"path": "tedlium_30142.wav", "duration": 6.78, "text": "Oil and gas have started to pick up for us. So we do have reason for optimism that this expansion"}, {"path": "tedlium_30143.wav", "duration": 6.78, "text": "Our Corporate Finance business is heavily impacting the quarter by paralyzed markets in our strongest markets in Europe."}, {"path": "tedlium_30144.wav", "duration": 6.78, "text": "We believe our third quarter results demonstrate our positive momentum toward this goal."}, {"path": "tedlium_30145.wav", "duration": 6.78, "text": "I guess, in terms of thinking about modeling, it would be helpful to know how you're thinking about that"}, {"path": "tedlium_30146.wav", "duration": 6.78, "text": "As this guidance indicates, we remain committed to balancing growth with increasing profitability"}, {"path": "tedlium_30147.wav", "duration": 6.78, "text": "in the regulation for the dispatch of energy for constraints,"}, {"path": "tedlium_30148.wav", "duration": 6.78, "text": "Let me now discuss the performance of each of our business segments this quarter. Within the Commerce Services group,"}, {"path": "tedlium_30149.wav", "duration": 6.78, "text": "We plan to use the proceeds from the sale to invest back into the business and for general corporate purposes."}, {"path": "tedlium_30150.wav", "duration": 6.78, "text": "Thank you, sir. This does conclude today's presentation. You may disconnect your lines at this time and have a nice day."}, {"path": "tedlium_30151.wav", "duration": 6.78, "text": "that make for the profits. So we're just very optimistic about"}, {"path": "tedlium_30152.wav", "duration": 6.78, "text": "As always, we provided a full reconciliation of these puts and takes in the appendix to the presentation."}, {"path": "tedlium_30153.wav", "duration": 6.78, "text": "But we decided not to go ahead with it at this quarter. It's constantly reviewed."}, {"path": "tedlium_30154.wav", "duration": 6.78, "text": "period of time where the machine is running continuously, we don't want to change products. I mean, that's the smartest thing to do."}, {"path": "tedlium_30155.wav", "duration": 6.78, "text": "The synergies come largely from the textbook inventory optimization and procurement savings."}, {"path": "tedlium_30156.wav", "duration": 6.78, "text": "At the same time, in certain critical areas, we have added talent from outside the organization that I think will help"}, {"path": "tedlium_30157.wav", "duration": 6.78, "text": "partially offset by higher wholesale volumes related to rebalancing of the power supply portfolio."}, {"path": "tedlium_30158.wav", "duration": 6.78, "text": "We still intend to return substantial capital to our shareholders this year, subject to approval through the CCAR process,"}, {"path": "tedlium_30159.wav", "duration": 6.78, "text": "Since we had the opportunity to discuss this transaction on our first quarter call, I won't go into great detail on this"}, {"path": "tedlium_30160.wav", "duration": 6.78, "text": "validates our assertion that we're well ahead of the industry in terms of transitioning to LED lighting."}, {"path": "tedlium_30161.wav", "duration": 6.78, "text": "First, as you can see, we are a bit short on revenue in the first quarter, but we grew our backlog significantly."}, {"path": "tedlium_30162.wav", "duration": 6.78, "text": "In a moment, I'll discuss this in more detail but want to call it out as a prime reason why Orion had a slow start to the year."}, {"path": "tedlium_30163.wav", "duration": 6.78, "text": "engineering and operations groups, while allowing us to better serve our clients in a way that addresses their unique needs,"}, {"path": "tedlium_30164.wav", "duration": 6.78, "text": "Did it or didn't it have an impact on the quarter? And would you expect it to have any impact going forward?"}, {"path": "tedlium_30165.wav", "duration": 6.78, "text": "provide further diversification and access to the growing Retail market."}, {"path": "tedlium_30166.wav", "duration": 6.78, "text": "We collected more cash than ever before in Europe Core and made a number of operational improvements."}, {"path": "tedlium_30167.wav", "duration": 6.78, "text": "and other financial and operating results, business strategy and plans as well as other opportunities"}, {"path": "tedlium_30168.wav", "duration": 6.78, "text": "Every story I heard from our facility administrators and staff fills me with great pride"}, {"path": "tedlium_30169.wav", "duration": 6.78, "text": "We are ready for the challenge and excited to start a new chapter for Westport Fuel Systems."}, {"path": "tedlium_30170.wav", "duration": 6.78, "text": "core luxury and prestige. This will enable us to tailor investment by brand and segment."}, {"path": "tedlium_30171.wav", "duration": 6.78, "text": "we've also done some price adjustments for what we saw coming. So the combination of those things I think"}, {"path": "tedlium_30172.wav", "duration": 6.78, "text": "We are attempting to navigate this minefield with our usual caution and conservatism,"}, {"path": "tedlium_30173.wav", "duration": 6.78, "text": "I remain confident that we are on track to continue to deliver long-term value for our shareholders."}, {"path": "tedlium_30174.wav", "duration": 6.78, "text": "In addition, we continue to move our product mix into alignment with the industry average."}, {"path": "tedlium_30175.wav", "duration": 6.78, "text": "the impact of an anticipated income tax settlement, as well as any potential impairment costs."}, {"path": "tedlium_30176.wav", "duration": 6.78, "text": "But at the same time, with lighter deal flow, we still were seeing at least some interesting opportunities to consider."}, {"path": "tedlium_30177.wav", "duration": 6.78, "text": "As a percentage of revenues, consolidated salary, wages and benefit costs increased by 50 basis points"}, {"path": "tedlium_30178.wav", "duration": 6.78, "text": "There are several drivers that impacted our results in the quarter, and I will cover them in more detail starting with volume."}, {"path": "tedlium_30179.wav", "duration": 6.78, "text": "Our forward-looking statements speak only as of the date they are made, and we have no obligation to update such statements in the future."}, {"path": "tedlium_30180.wav", "duration": 6.78, "text": "compared to 57 basis points for the second quarter and 55 basis points for the third quarter a year ago."}, {"path": "tedlium_30181.wav", "duration": 6.78, "text": "worried again by a potential for one drug going off patent?"}, {"path": "tedlium_30182.wav", "duration": 6.78, "text": "that category group is now working through the rate and the pace at which they can accomplish"}, {"path": "tedlium_30183.wav", "duration": 6.78, "text": "or the best way to serve your customers. And so we made the decision to go for the win"}, {"path": "tedlium_30184.wav", "duration": 6.78, "text": "And so it's not going to be -- that was not normal operation, so that rate wouldn't be sustainable."}, {"path": "tedlium_30185.wav", "duration": 6.78, "text": "Used equipment is starting to move, if it's good. The equipment that"}, {"path": "tedlium_30186.wav", "duration": 6.78, "text": "And on the last call, you may recall that we said that we positioned ourselves with our strategy"}, {"path": "tedlium_30187.wav", "duration": 6.78, "text": "In short, like many smart companies, we're selectively investing through the downturn in emerging markets"}, {"path": "tedlium_30188.wav", "duration": 6.78, "text": "and the proposed current transaction should further enhance our position in the global coffee category."}, {"path": "tedlium_30189.wav", "duration": 6.78, "text": "happens. Nevertheless, I would say that will probably slightly impact our Q2 for Care Chemicals. But no reason to"}, {"path": "tedlium_30190.wav", "duration": 6.78, "text": "this year and next year, is there anything that we should be made aware of?"}, {"path": "tedlium_30191.wav", "duration": 6.78, "text": "and we'll drive engagement with Triangle loyalty and the credit card. These are just a few of the initiatives we got in the pipeline."}, {"path": "tedlium_30192.wav", "duration": 6.78, "text": "out by putting our capital position or our debt position more in line with where we want it to be on a permanent basis."}, {"path": "tedlium_30193.wav", "duration": 6.78, "text": "I look forward to reporting to investors and analysts on the growth of our new products and other initiatives in our upcoming calls."}, {"path": "tedlium_30194.wav", "duration": 6.78, "text": "such as industrial, IoT, smart mobile devices and the connected car."}, {"path": "tedlium_30195.wav", "duration": 6.78, "text": "for home standby generators, along with some expected continuing benefit from an overall favorable environment for residential investments."}, {"path": "tedlium_30196.wav", "duration": 6.78, "text": "But again, it's a big part of our OpEx program being black at the bottom and are focused on having the right cost structure."}, {"path": "tedlium_30197.wav", "duration": 6.78, "text": "Both transaction take rate and total take rate benefited from revenue related to our hedge gains."}, {"path": "tedlium_30198.wav", "duration": 6.78, "text": "Some of the places that we are in, the markets that we are in are probably the wrong spot."}, {"path": "tedlium_30199.wav", "duration": 6.78, "text": "So we might start with the room and then go to the phones. So in the room,"}, {"path": "tedlium_30200.wav", "duration": 6.78, "text": "both of which reflect continued organic growth in our core Las Vegas business as well as our Native American management business."}, {"path": "tedlium_30201.wav", "duration": 6.78, "text": "This was due to the fact that a major new phone did not start selling until November, which is the first month of our fourth quarter."}, {"path": "tedlium_30202.wav", "duration": 6.78, "text": "We would emphasize that these patients are checkpoint failures, so we're working in a population who have a very real unmet need"}, {"path": "tedlium_30203.wav", "duration": 6.78, "text": "that are kind of making this growth ramp more gradual than you initially thought?"}, {"path": "tedlium_30204.wav", "duration": 6.78, "text": "far more competitive to our foreign competitors, which make up a significant part of our peer competitive"}, {"path": "tedlium_30205.wav", "duration": 6.78, "text": "will be modest. Let's take a look at our financial position."}, {"path": "tedlium_30206.wav", "duration": 6.78, "text": "This change was the result of higher net income on cash flow from operations, offset by fluctuations in working capital."}, {"path": "tedlium_30207.wav", "duration": 6.78, "text": "with a midpoint which is a substantial increase of 9% over the previous year."}, {"path": "tedlium_30208.wav", "duration": 6.78, "text": "quick point on your second question. I'll turn it over to Andre for the first and Linda for the second question. But"}, {"path": "tedlium_30209.wav", "duration": 6.78, "text": "In all, we believe that improving the style and quality of our product has positively impacted our performance,"}, {"path": "tedlium_30210.wav", "duration": 6.78, "text": "We also made a key strategic decision impacting the course for Vancive, our medical technology business,"}, {"path": "tedlium_30211.wav", "duration": 6.78, "text": "but we have stabilized that operation to the point where our raising cost there, meaning the cost to raise"}, {"path": "tedlium_30212.wav", "duration": 6.78, "text": "And one of the exciting things is that we're -- an additional exciting thing is that"}, {"path": "tedlium_30213.wav", "duration": 6.78, "text": "to be something that they want, and we see a very strong opportunity to work with partners in retail"}, {"path": "tedlium_30214.wav", "duration": 6.78, "text": "In that context, we're very pleased in our performance thus far during the selling and renewal season. While it is still early,"}, {"path": "tedlium_30215.wav", "duration": 6.78, "text": "whether there are particular opportunities that -- I mean, I think it was roughly a year ago you started to talk about train length opportunity in Canadian grain."}, {"path": "tedlium_30216.wav", "duration": 6.78, "text": "as well as more exploration activity, providing solid growth opportunities for our business in the coming year."}, {"path": "tedlium_30217.wav", "duration": 6.78, "text": "All projections are subject to risks and uncertainties and actual results may differ materially."}, {"path": "tedlium_30218.wav", "duration": 6.78, "text": "On top of what's working now, we'll be introducing MogoWealth with multiple investment products a new cash-back feature of our card program,"}, {"path": "tedlium_30219.wav", "duration": 6.78, "text": "It's not going to happen during the depths of the downturn, but I think it is there in the future."}, {"path": "tedlium_30220.wav", "duration": 6.78, "text": "Now all these are clear examples that the new Connected 4 Growth organization with the Country Category Business Teams"}, {"path": "tedlium_30221.wav", "duration": 6.78, "text": "Firstly, a more nimble organization, including the introduction of the new Country Category Business Teams."}, {"path": "tedlium_30222.wav", "duration": 6.78, "text": "Last year in the fourth quarter, losses included some special factors."}, {"path": "tedlium_30223.wav", "duration": 6.78, "text": "Slide 14 emphasizes once again how the strength of our brands is allowing us to capture growth the right way."}, {"path": "tedlium_30224.wav", "duration": 6.78, "text": "the growth that might be expected for the business in FY '18 because we don't have a number of"}, {"path": "tedlium_30225.wav", "duration": 6.78, "text": "some key activities in the coming years that are important considerations as we work to maintain the momentum"}, {"path": "tedlium_30226.wav", "duration": 6.78, "text": "powerful. So we're growing top line, but we're also able to improve margin at lesser levels of growth. If you see where I'm coming from."}, {"path": "tedlium_30227.wav", "duration": 6.78, "text": "we should expect to see increased spending behind them as we move forward over the next few quarters?"}, {"path": "tedlium_30228.wav", "duration": 6.78, "text": "so far this year have been flat, but there have been others that have come within the range of our targeted range."}, {"path": "tedlium_30229.wav", "duration": 6.78, "text": "Connecticut in 2015. And you actually pick those up the following year when you file the returns for those years."}, {"path": "tedlium_30230.wav", "duration": 6.78, "text": "If you guys are able to maintain or if rates do maintain the current levels, how do you guys think about using that incremental free cash flow"}, {"path": "tedlium_30231.wav", "duration": 6.78, "text": "and we see this as a benefit as a potential cancer treatment in different solid tumor indications."}, {"path": "tedlium_30232.wav", "duration": 6.78, "text": "We don't have a recycling division. So as we've talked about this in the past with you, we use"}, {"path": "tedlium_30233.wav", "duration": 6.78, "text": "as I talked about in July, I took over as CEO in April. Until in July, we had done a lot of work to"}, {"path": "tedlium_30234.wav", "duration": 6.78, "text": "which should result in a significant decrease in the stripping ratio and an increase in free cash flow."}, {"path": "tedlium_30235.wav", "duration": 6.78, "text": "Having said that, we continue to be very encouraged by the client activity that we see."}, {"path": "tedlium_30236.wav", "duration": 6.78, "text": "Four of the 5 subsegments posted organic growth, and all 5 saw increased volume over the prior year quarter."}, {"path": "tedlium_30237.wav", "duration": 6.78, "text": "Today's conference is being recorded. At this time, I would like to turn the conference over to Glenn Wiener. Please go ahead, sir."}, {"path": "tedlium_30238.wav", "duration": 6.78, "text": "Core property operating expenses were less than expected in the quarter. Savings in utility expenses,"}, {"path": "tedlium_30239.wav", "duration": 6.78, "text": "There are many other examples of how we are employing these competencies enterprise-wide for the people we are privileged to serve,"}, {"path": "tedlium_30240.wav", "duration": 6.78, "text": "in spite of what you said about the retail shopping centers, I'm getting mixed signals about the health of shopping centers."}, {"path": "tedlium_30241.wav", "duration": 6.78, "text": "in the expectation of a normal quarter. So we don't get a lot of warning that it's going to be a rainy month."}, {"path": "tedlium_30242.wav", "duration": 6.78, "text": "Yes, I think -- well, let me start with New York as well, I think there's a number of tests that we have on"}, {"path": "tedlium_30243.wav", "duration": 6.78, "text": "to serve attractive end markets as a global provider of highly engineered advanced materials."}, {"path": "tedlium_30244.wav", "duration": 6.78, "text": "what you're seeing on the inflation side for raw materials and other inputs."}, {"path": "tedlium_30245.wav", "duration": 6.78, "text": "I think the landscape of our focus is"}, {"path": "tedlium_30246.wav", "duration": 6.78, "text": "The information discussed on today's call may include forward-looking statements regarding the company's results and prospects,"}, {"path": "tedlium_30247.wav", "duration": 6.78, "text": "I'm very pleased to report that we continued our strong performance in 2018 with another record quarter for the company."}, {"path": "tedlium_30248.wav", "duration": 6.78, "text": "We continue our discussions with potential buyers and still expect this process will take the greater part of this year to resolve itself."}, {"path": "tedlium_30249.wav", "duration": 6.78, "text": "Removing friction from the way people use Snapchat and view snaps will help us continue to grow our community over the coming year."}, {"path": "tedlium_30250.wav", "duration": 6.78, "text": "recognize the variety of presentations in different body regions, the variety of patient types at risk"}, {"path": "tedlium_30251.wav", "duration": 6.78, "text": "come a long, long ways and that, that actually works very well in many of these homes."}, {"path": "tedlium_30252.wav", "duration": 6.78, "text": "it shows that we've become a lot more productive, Siew Khee. So I think those are the kinds of things which are important to me"}, {"path": "tedlium_30253.wav", "duration": 6.78, "text": "decided to get out of the business, you'd have more of their trucks in the market, but that is -- we certainly haven't seen it yet."}, {"path": "tedlium_30254.wav", "duration": 6.78, "text": "growing the rental fleet into '18? Or would you just hold it at these levels and try and benefit from the utilization and the pricing in the market?"}, {"path": "tedlium_30255.wav", "duration": 6.78, "text": "We've obviously been very sensitive to the need to minimize job losses throughout that process."}, {"path": "tedlium_30256.wav", "duration": 6.78, "text": "And obviously, by holding these loans, we build a bigger asset base and generate significant future earnings."}, {"path": "tedlium_30257.wav", "duration": 6.78, "text": "Headed into the height of the current construction season, we continue to make progress in our financial performance."}, {"path": "tedlium_30258.wav", "duration": 6.78, "text": "demonstrating continued progress in extending our value proposition to clients through advanced analytics,"}, {"path": "tedlium_30259.wav", "duration": 6.78, "text": "Core to the growth we are seeing is the strong sales momentum, which it has been building steadily,"}, {"path": "tedlium_30260.wav", "duration": 6.78, "text": "These services are being provided across the country in more than a dozen Metropolitan areas to several customers."}, {"path": "tedlium_30261.wav", "duration": 6.78, "text": "some of that business as spot business, what we call transactional business, that would be a customer calling in"}, {"path": "tedlium_30262.wav", "duration": 6.78, "text": "To allow us to continue to opportunistically repurchase shares, when they are undervalued and we have available cash,"}, {"path": "tedlium_30263.wav", "duration": 6.78, "text": "We ask that you review today's press release and read through the forward-looking cautionary informational statements that we've included there."}, {"path": "tedlium_30264.wav", "duration": 6.7799375, "text": "So in the nonlife side, we can say that all of the segments and all of the products"}, {"path": "tedlium_30265.wav", "duration": 6.7799375, "text": "which are subject to uncertainties, risks and changes in circumstances that are difficult to predict."}, {"path": "tedlium_30266.wav", "duration": 6.7500625, "text": "And fourth, we are focused on expanding our initial successes in the enterprise marketplace."}, {"path": "tedlium_30267.wav", "duration": 6.75, "text": "the mean duration of therapy for those who were responders was approximately 19 months."}, {"path": "tedlium_30268.wav", "duration": 6.75, "text": "that it is excluded from the consolidated income statement this year as well as last year."}, {"path": "tedlium_30269.wav", "duration": 6.75, "text": "But I wonder if you could give us some color as to what you've done to improve the margins so much and whether you see any further upside."}, {"path": "tedlium_30270.wav", "duration": 6.75, "text": "As a reminder, this is calculated on average capital employed each and every month."}, {"path": "tedlium_30271.wav", "duration": 6.75, "text": "As Dan mentioned, we expect to close in the spring and would then be in a position to update our guidance."}, {"path": "tedlium_30272.wav", "duration": 6.75, "text": "and he brings to the position as President a strong reputation for growing and executing on our business plan."}, {"path": "tedlium_30273.wav", "duration": 6.75, "text": "Our board has approved the construction of a new mining workshop and office complex."}, {"path": "tedlium_30274.wav", "duration": 6.75, "text": "That doesn't change any of the day to day operations at Beazley. And then, finally, I'm sure you'll be pleased to hear we will be"}, {"path": "tedlium_30275.wav", "duration": 6.75, "text": "Regionally, the Atlantic Basin and West Coast had lower earnings than last quarter, primarily due to lower market cracks."}, {"path": "tedlium_30276.wav", "duration": 6.75, "text": "our strategic focus on targeting communications and IT services in one contract."}, {"path": "tedlium_30277.wav", "duration": 6.75, "text": "I was just wondering if after the HTS acquisition goes through,"}, {"path": "tedlium_30278.wav", "duration": 6.75, "text": "An individual, as you know, was hired in the late May, June period, and the first task was for South Africa."}, {"path": "tedlium_30279.wav", "duration": 6.75, "text": "from the introduction of guaranteed future value products, which will only be available through dealerships."}, {"path": "tedlium_30280.wav", "duration": 6.75, "text": "accurate cost information, in particular related to our Colorado production facility."}, {"path": "tedlium_30281.wav", "duration": 6.75, "text": "in order to grow the business and to capitalize on all of these organic growth opportunities that we see. And so"}, {"path": "tedlium_30282.wav", "duration": 6.75, "text": "An important action that we have taken during the quarter is that we have started to work with"}, {"path": "tedlium_30283.wav", "duration": 6.75, "text": "This could include the sale of a portion of the business. This could include a major acquisition. It could include a lot of things."}, {"path": "tedlium_30284.wav", "duration": 6.75, "text": "we are bringing sophistication to our reimbursement strategies, which will yield results in the coming quarters."}, {"path": "tedlium_30285.wav", "duration": 6.75, "text": "The speed of change with which our business is evolving and the complexity with which we operate continues to rise."}, {"path": "tedlium_30286.wav", "duration": 6.75, "text": "Our strong cash flow generation has enabled us to grow both organically and through acquisitions,"}, {"path": "tedlium_30287.wav", "duration": 6.75, "text": "We expect this initial Phase 2 project to begin to come online by the end of this year"}, {"path": "tedlium_30288.wav", "duration": 6.75, "text": "that we are pursuing and expect to be able to discuss further on our next call."}, {"path": "tedlium_30289.wav", "duration": 6.75, "text": "but the mechanisms do offer some value. And there's some values where we've been able to integrate our components and"}, {"path": "tedlium_30290.wav", "duration": 6.75, "text": "but again, I think we continue to make progress. Having said that, the technology that we're deploying across"}, {"path": "tedlium_30291.wav", "duration": 6.75, "text": "Our direct paid business had another solid year by focusing on the recurring business opportunities,"}, {"path": "tedlium_30292.wav", "duration": 6.75, "text": "partially offset by a 7 basis points decrease in the average base management fee percentage."}, {"path": "tedlium_30293.wav", "duration": 6.75, "text": "The strength in ARR was a result of accelerating growth in all geographic regions and across all product families."}, {"path": "tedlium_30294.wav", "duration": 6.75, "text": "that are going to be very, very strong. We see a lot of growth out of Phoenix. It's really just timing differences."}, {"path": "tedlium_30295.wav", "duration": 6.75, "text": "with lower pyramid skills, so that allows you a much"}, {"path": "tedlium_30296.wav", "duration": 6.75, "text": "in the coming months, we will continue to work with the primary investigators and the FDA to clarify a potential path forward."}, {"path": "tedlium_30297.wav", "duration": 6.75, "text": "Patients, their families and our patient group partners should know that we remain deeply committed to this work."}, {"path": "tedlium_30298.wav", "duration": 6.75, "text": "Overall, the fundamentals and key drivers of MSA's business are starting to point in the right direction."}, {"path": "tedlium_30299.wav", "duration": 6.75, "text": "I wanted to specifically check if there were any specific one-offs in the third quarter"}, {"path": "tedlium_30300.wav", "duration": 6.75, "text": "we are confident in continuing margin expansion in our Services segment for the remainder of 2018 over the prior year"}, {"path": "tedlium_30301.wav", "duration": 6.75, "text": "they could help us also gather further data that could have further label-enhancing opportunities for us."}, {"path": "tedlium_30302.wav", "duration": 6.75, "text": "and we have seen a significant increase in the number of short stays over the summer."}, {"path": "tedlium_30303.wav", "duration": 6.75, "text": "This year, the growth in revenue per customer and reactivations enabled our ability to profitably increase reach"}, {"path": "tedlium_30304.wav", "duration": 6.75, "text": "people who are dieting on their own and using books and things like that. So we think the audience is very big."}, {"path": "tedlium_30305.wav", "duration": 6.75, "text": "work very closely with those Avaya VARs that are leaning in and are having the most success"}, {"path": "tedlium_30306.wav", "duration": 6.75, "text": "So we've converted a little into money, but I'm -- there are just other things we should be doing first."}, {"path": "tedlium_30307.wav", "duration": 6.75, "text": "Excluding these impacts in both quarters, operating expenses would have been up approximately 7%. The"}, {"path": "tedlium_30308.wav", "duration": 6.75, "text": "And we're just hearing about this now in the fourth quarter, which -- I mean, the rest of the companies in the universe have seen"}, {"path": "tedlium_30309.wav", "duration": 6.75, "text": "and we expect that to have all of our late process development for gene therapy manufacturing"}, {"path": "tedlium_30310.wav", "duration": 6.75, "text": "We're pleased to report that we achieved solid progress in the third quarter across a number of key initiatives and metrics."}, {"path": "tedlium_30311.wav", "duration": 6.75, "text": "However, the time lines are not in the bank's hands but are largely determined by the regulators and authorities."}, {"path": "tedlium_30312.wav", "duration": 6.75, "text": "I think it is fair enough that the customer must understand that we cannot take loss-making project just to keep him"}, {"path": "tedlium_30313.wav", "duration": 6.75, "text": "Organizational changes to our sales force in New York that were implemented earlier this year are beginning to bear fruit."}, {"path": "tedlium_30314.wav", "duration": 6.75, "text": "In addition, most of the Charter investment security book was sold at close and remained uninvested at"}, {"path": "tedlium_30315.wav", "duration": 6.75, "text": "In that, we've made some big investments to reduce the exposure on the safety front. And that's really, frankly, our biggest"}, {"path": "tedlium_30316.wav", "duration": 6.75, "text": "What a privilege it is to be part of a team with so many professionals getting better at what they do every day. We are so"}, {"path": "tedlium_30317.wav", "duration": 6.75, "text": "As they think about how they're going to do their quality and their inspection and those types of things."}, {"path": "tedlium_30318.wav", "duration": 6.75, "text": "in these patient populations. As the only company developing a therapeutic intended to treat all forms of PH,"}, {"path": "tedlium_30319.wav", "duration": 6.75, "text": "If you take a look at the underproduction in NAFTA that we were front-loading the underproduction this year"}, {"path": "tedlium_30320.wav", "duration": 6.75, "text": "and your comments are correct that we certainly see a strong -- the trend continuing strongly in this next quarter."}, {"path": "tedlium_30321.wav", "duration": 6.75, "text": "markets as we run from a commercial perspective, which is the Lancaster market, what we call the Delaware Valley division as well as the Lehigh Valley."}, {"path": "tedlium_30322.wav", "duration": 6.75, "text": "I will now transition to provide updates on our development programs and therapeutic pipeline."}, {"path": "tedlium_30323.wav", "duration": 6.75, "text": "As I mentioned, the net impact of U.S. tax legislation on our renewable energy investments was offset in the tax line."}, {"path": "tedlium_30324.wav", "duration": 6.75, "text": "As a result, we continue to successfully grow our annuity business despite the challenging interest rate environment."}, {"path": "tedlium_30325.wav", "duration": 6.75, "text": "We'll keep you updated as appropriate as we address our capital structure. Before I pass the call to Dustin,"}, {"path": "tedlium_30326.wav", "duration": 6.75, "text": "The increase resulted primarily from the higher product development testing and professional -- testing cost and professional fees."}, {"path": "tedlium_30327.wav", "duration": 6.75, "text": "the practices that are strong usually stay strong for quite a period of time and that, I think, fits very well."}, {"path": "tedlium_30328.wav", "duration": 6.75, "text": "we shouldn't forget our leading advisor platforms and our promising strategic partnership with Phoenix"}, {"path": "tedlium_30329.wav", "duration": 6.75, "text": "to see what the best option is from a financing standpoint. But again, we'll keep options open for us"}, {"path": "tedlium_30330.wav", "duration": 6.75, "text": "One key explanation is the ability we have shown over time to reprice assets."}, {"path": "tedlium_30331.wav", "duration": 6.75, "text": "rolling the whole budget together for '16 yet. But as we think about the various moving parts, it sounds like we should see some"}, {"path": "tedlium_30332.wav", "duration": 6.75, "text": "And also reflected limited industry capacity related to the strong demand for new mortgage loans."}, {"path": "tedlium_30333.wav", "duration": 6.75, "text": "The bottom table provides information related to the current balance of our CRT investments."}, {"path": "tedlium_30334.wav", "duration": 6.75, "text": "we've done a tremendous amount of work on the engineering front and with the services team to automate and to build tools"}, {"path": "tedlium_30335.wav", "duration": 6.75, "text": "the revenue and operating income will not be at the level initially anticipated."}, {"path": "tedlium_30336.wav", "duration": 6.75, "text": "the works we believe they need to be done because they are really in our hands to decide."}, {"path": "tedlium_30337.wav", "duration": 6.75, "text": "And then the volume of chicken has gone up because of -- with launch of"}, {"path": "tedlium_30338.wav", "duration": 6.75, "text": "Got it. And in terms of where CoreCivic shares are trading now compared to levels"}, {"path": "tedlium_30339.wav", "duration": 6.75, "text": "We certainly expect it to be there. You see it in previous heartburn studies. But this is a very specific population"}, {"path": "tedlium_30340.wav", "duration": 6.75, "text": "reporting every month. So I don't have the information right in my hands for the channel growth"}, {"path": "tedlium_30341.wav", "duration": 6.75, "text": "We have multiple state patrol field trials going on currently, and we expect accelerating momentum in this important market segment"}, {"path": "tedlium_30342.wav", "duration": 6.75, "text": "Instead of having individually managing manufacturing, research or development,"}, {"path": "tedlium_30343.wav", "duration": 6.75, "text": "that are flowing through their volume projections as we kind of have the season right up on us."}, {"path": "tedlium_30344.wav", "duration": 6.75, "text": "As we mentioned earlier, we will progress this initiative in stages and report on results accordingly."}, {"path": "tedlium_30345.wav", "duration": 6.75, "text": "That's a pretty remarkable statement, and that's a brand promise that we want to make in all of our clients."}, {"path": "tedlium_30346.wav", "duration": 6.75, "text": "and it is in Services. So it's in those 3 areas where we have the main investments in the Air Treatment business."}, {"path": "tedlium_30347.wav", "duration": 6.75, "text": "the stock compensation accounting pronouncement that we talked about, does create fluctuation."}, {"path": "tedlium_30348.wav", "duration": 6.75, "text": "But depending on the outcome of consideration in Washington of everything that's going on,"}, {"path": "tedlium_30349.wav", "duration": 6.75, "text": "In terms of other markets and other things, we've recently put a new account manager"}, {"path": "tedlium_30350.wav", "duration": 6.75, "text": "And plus to that, the new dividend policy, as we said, which is a continuation of the previous one as we believe,"}, {"path": "tedlium_30351.wav", "duration": 6.75, "text": "We saw continued strong performance across our portfolio during the first quarter. During the first quarter,"}, {"path": "tedlium_30352.wav", "duration": 6.75, "text": "we actually feel pretty good that we're going to be able to reduce our supply chain costs"}, {"path": "tedlium_30353.wav", "duration": 6.75, "text": "it strengthens the underlying health of our business as a contributor to our margin improvement."}, {"path": "tedlium_30354.wav", "duration": 6.75, "text": "noted that given the increase local authority austerity that despite"}, {"path": "tedlium_30355.wav", "duration": 6.75, "text": "Is business development part of the strategy potentially to bring in new technologies, but"}, {"path": "tedlium_30356.wav", "duration": 6.75, "text": "to support exceptional client experiences and acquisitions to expand our future growth opportunities."}, {"path": "tedlium_30357.wav", "duration": 6.75, "text": "Strong earnings growth primarily reflects 8% growth of total revenue and a lower provision for credit losses."}, {"path": "tedlium_30358.wav", "duration": 6.75, "text": "The one immutable truth in all this, this is just a cycle, and usually, there's a catalyst to make the cycle occur, in this case, it was oil and gas."}, {"path": "tedlium_30359.wav", "duration": 6.75, "text": "This comes despite several days of downtime at one of our Oregon lumber mills due to severe snow and wind."}, {"path": "tedlium_30360.wav", "duration": 6.75, "text": "And I think we've done the right things in terms of how we had planned reductions at the beginning of the year,"}, {"path": "tedlium_30361.wav", "duration": 6.75, "text": "And that may help you understand what we're trying to achieve. So just to give you an example of within the finance department,"}, {"path": "tedlium_30362.wav", "duration": 6.75, "text": "engagement scores. So it's obviously higher than the numbers"}, {"path": "tedlium_30363.wav", "duration": 6.75, "text": "We bought, from First Data, we've been dealing with those guys for several months and we were lucky enough to buy their"}, {"path": "tedlium_30364.wav", "duration": 6.75, "text": "It was very important for us to have a good second quarter. I think you'll recall from the first quarter,"}, {"path": "tedlium_30365.wav", "duration": 6.75, "text": "can you split that between just what you're seeing on the Consumer side versus the Wholesale corporate side in terms of"}, {"path": "tedlium_30366.wav", "duration": 6.75, "text": "work in making sure that the products that we sell now on the shelves are truly safe"}, {"path": "tedlium_30367.wav", "duration": 6.75, "text": "based on the number of devices that people have in their homes that are connected."}, {"path": "tedlium_30368.wav", "duration": 6.75, "text": "we've rolled out well and the customers are adopting the product and they're enjoying their interaction with the product in Canada."}, {"path": "tedlium_30369.wav", "duration": 6.75, "text": "and you can see much bigger peaks on those -- like those large promotional periods like Thanksgiving week or like Christmas week"}, {"path": "tedlium_30370.wav", "duration": 6.75, "text": "opportunities on the market. And we're just being very realistic about our power generation business."}, {"path": "tedlium_30371.wav", "duration": 6.75, "text": "changes in overall business mix in the segment and the impact of the stronger U.S. dollar contributed to margin decline."}, {"path": "tedlium_30372.wav", "duration": 6.75, "text": "It's just that for reasons outside of our control and unfortunately outside of our ability to forecast,"}, {"path": "tedlium_30373.wav", "duration": 6.75, "text": "I'm going to keep my remarks focused on the most important takeaways from what we feel was a strong first quarter."}, {"path": "tedlium_30374.wav", "duration": 6.75, "text": "the whole map looking more stable and more balanced than what we historically have seen."}, {"path": "tedlium_30375.wav", "duration": 6.75, "text": "was sold just a few days after the call, but it was included in the 10-Q, so that did happen in the fourth quarter."}, {"path": "tedlium_30376.wav", "duration": 6.75, "text": "because we've been slightly loosening our underwriting very, very gradually over the last couple of years."}, {"path": "tedlium_30377.wav", "duration": 6.75, "text": "You will be hearing more about this in the coming quarters as we begin implementing some of those initiatives here in the fourth quarter."}, {"path": "tedlium_30378.wav", "duration": 6.75, "text": "everything we see and expect for the rest of the year should be in line with previous years."}, {"path": "tedlium_30379.wav", "duration": 6.75, "text": "associated with that kind of blade longer and more costly?"}, {"path": "tedlium_30380.wav", "duration": 6.75, "text": "and the other one is back office, where the tellers take the checks and then they scan them all in a batch at the back of the"}, {"path": "tedlium_30381.wav", "duration": 6.75, "text": "Now let's go into the different markets. I start with Europe."}, {"path": "tedlium_30382.wav", "duration": 6.75, "text": "The decline was driven largely by marks in our securities book and overall underperformance of mortgages."}, {"path": "tedlium_30383.wav", "duration": 6.75, "text": "and seasonality and timing of care results and customer settlements across our businesses."}, {"path": "tedlium_30384.wav", "duration": 6.75, "text": "LED prices decline even though it appears to me the decline rate compared to a year ago is somewhat less."}, {"path": "tedlium_30385.wav", "duration": 6.75, "text": "We continue to grow with our international partners and see significant opportunity for growth in these markets."}, {"path": "tedlium_30386.wav", "duration": 6.75, "text": "But we got a couple of guys to agree to that. That helps reduce inventory. It's much more efficient for us."}, {"path": "tedlium_30387.wav", "duration": 6.75, "text": "What we have is a gas price crisis. This was the natural economic outcome of insufficient supply"}, {"path": "tedlium_30388.wav", "duration": 6.75, "text": "We are also investing in renewable and power generation to contribute to Australia's cleaner energy future."}, {"path": "tedlium_30389.wav", "duration": 6.75, "text": "It's not a case that we are strategically impaired because we're missing something."}, {"path": "tedlium_30390.wav", "duration": 6.75, "text": "we had a decline in Europe largely attributable to weaker orders in the Middle East."}, {"path": "tedlium_30391.wav", "duration": 6.75, "text": "We've had some frustrating and, frankly, embarrassing trends over the past couple of years in our insurance and claim line."}, {"path": "tedlium_30392.wav", "duration": 6.75, "text": "I'm not going to give you our business proposition. But, again, we see it as a very attractive"}, {"path": "tedlium_30393.wav", "duration": 6.75, "text": "By leveraging a formidable Power Brand like Milka in a sizable category white space,"}, {"path": "tedlium_30394.wav", "duration": 6.75, "text": "and expect continued strong performance in the second half despite the macro backdrop, especially in the emerging markets."}, {"path": "tedlium_30395.wav", "duration": 6.75, "text": "making sure that we have adequate coverage of our cost is critically important. As the market leader, we typically are"}, {"path": "tedlium_30396.wav", "duration": 6.75, "text": "sources of fiber? Does it take more investment in the mill system"}, {"path": "tedlium_30397.wav", "duration": 6.75, "text": "service and cup and plate. And so like any other opportunity that would present itself, we look at it"}, {"path": "tedlium_30398.wav", "duration": 6.75, "text": "The good news from a capacity standpoint is that we believe that the current operation"}, {"path": "tedlium_30399.wav", "duration": 6.75, "text": "We introduced some new terms at that day, so if you weren't there, I will give you a primer on our new vernacular."}, {"path": "tedlium_30400.wav", "duration": 6.75, "text": "make the estimates necessary to recognize product revenues will be in the second half of next year."}, {"path": "tedlium_30401.wav", "duration": 6.75, "text": "In summary, EnLink is in the right places, operating with the right partners and executing with excellence."}, {"path": "tedlium_30402.wav", "duration": 6.75, "text": "and we will give you then more color on the expected effects for the outer years in the next years."}, {"path": "tedlium_30403.wav", "duration": 6.75, "text": "On the slide, you can see an example of a typical gas network installation"}, {"path": "tedlium_30404.wav", "duration": 6.75, "text": "In a nutshell, we do what we say regarding the implementation of our strategy."}, {"path": "tedlium_30405.wav", "duration": 6.75, "text": "We are over halfway through our 100 days of marketing campaign and are pleased with the results."}, {"path": "tedlium_30406.wav", "duration": 6.75, "text": "But can you give us maybe a summary picture here across the disposal areas for where we are today,"}, {"path": "tedlium_30407.wav", "duration": 6.75, "text": "you need to make sure that you're using it effectively. And I think that we are going down that path properly."}, {"path": "tedlium_30408.wav", "duration": 6.75, "text": "This is meaningful and is being driven by fleet modernization and other fuel savings initiatives."}, {"path": "tedlium_30409.wav", "duration": 6.75, "text": "creating large mixed-use projects. We're not taking centers down completely. We're not changing drastically"}, {"path": "tedlium_30410.wav", "duration": 6.75, "text": "slightly lower than the list price of other Brazilian players? Thank you. And I would like to start"}, {"path": "tedlium_30411.wav", "duration": 6.75, "text": "and ongoing information. And so if we operate outside of BICE, then we don't expect it to be impacted by those."}, {"path": "tedlium_30412.wav", "duration": 6.75, "text": "As we disclosed earlier this month, our third quarter results were notably below our expectations entering the quarter."}, {"path": "tedlium_30413.wav", "duration": 6.75, "text": "We continue to be very encouraged by the attractive investment opportunities that are available to us."}, {"path": "tedlium_30414.wav", "duration": 6.75, "text": "specifically related to the accelerated amortization of capitalized debt issuance costs."}, {"path": "tedlium_30415.wav", "duration": 6.75, "text": "and all. And I think we'll have a much more stabilized contract capital position as we get to kind of"}, {"path": "tedlium_30416.wav", "duration": 6.75, "text": "This program serves as the fact basis for a continued programmatic expansion of our field services organization."}, {"path": "tedlium_30417.wav", "duration": 6.75, "text": "our board and our entire senior executive team to strive for increasing the gender diversity in our workplace."}, {"path": "tedlium_30418.wav", "duration": 6.75, "text": "to negotiate and deliver the best deal for our shareholders. And"}, {"path": "tedlium_30419.wav", "duration": 6.75, "text": "But as I said in the quarter, what we've seen is -- we know the driver market is tight,"}, {"path": "tedlium_30420.wav", "duration": 6.75, "text": "We were able to hold our prices on hot mix asphalt for the year while volumes were relatively flat."}, {"path": "tedlium_30421.wav", "duration": 6.75, "text": "Beyond recovery audit, we are combining this data with advanced analytics algorithms and SaaS solutions"}, {"path": "tedlium_30422.wav", "duration": 6.75, "text": "and is lower this year due to the successful recovery of several previously recorded bad debts."}, {"path": "tedlium_30423.wav", "duration": 6.75, "text": "Thank you, Dave, and good morning. Please bear with me for a few moments while I repeat our important preamble"}, {"path": "tedlium_30424.wav", "duration": 6.75, "text": "and Disney and Live Chat by our designers should result in increased online sales."}, {"path": "tedlium_30425.wav", "duration": 6.7200625, "text": "a little bit lower than the midpoint. But as we look at what transpired during the quarter, there are 2 things that stand out"}, {"path": "tedlium_30426.wav", "duration": 6.72, "text": "Combining revenues from mobile advertising and subscriptions revenues"}, {"path": "tedlium_30427.wav", "duration": 6.72, "text": "Forward-looking statements relate to future events or our future financial performance. We generally identify"}, {"path": "tedlium_30428.wav", "duration": 6.72, "text": "options for paid search advertising have been introduced once again. So for paid search advertising,"}, {"path": "tedlium_30429.wav", "duration": 6.72, "text": "and grow it organically, which I think we've done a very good job of over the last decade."}, {"path": "tedlium_30430.wav", "duration": 6.72, "text": "which can be found in the earnings release and supplemental tables. With that, let me hand it over to Rob."}, {"path": "tedlium_30431.wav", "duration": 6.72, "text": "The first quarter was not as good as the second quarter in terms of"}, {"path": "tedlium_30432.wav", "duration": 6.72, "text": "We believe this is one of the reasons residential sales were up only 3.5% in the second quarter."}, {"path": "tedlium_30433.wav", "duration": 6.72, "text": "and together, we are working on developing and executing sophisticated strategies within retail and specialty"}, {"path": "tedlium_30434.wav", "duration": 6.72, "text": "locations where we have an opportunity to even add stores to our existing network. And"}, {"path": "tedlium_30435.wav", "duration": 6.72, "text": "it looks favorable, and I think we actually talked about that in our opening remarks."}, {"path": "tedlium_30436.wav", "duration": 6.72, "text": "These cautionary statements and reconciliations apply to all references made to these metrics on this call today."}, {"path": "tedlium_30437.wav", "duration": 6.72, "text": "We see that actually as bottoming out and therefore we are not dramatically concerned about"}, {"path": "tedlium_30438.wav", "duration": 6.72, "text": "with significant and surprising demand strength in Argentina, Brazil and Costa Rica."}, {"path": "tedlium_30439.wav", "duration": 6.72, "text": "the advent of these emerging trends that are coming out in quotes and now"}, {"path": "tedlium_30440.wav", "duration": 6.72, "text": "you would actually like to spend a little bit more or where you have some more projects in mind that you could invest in?"}, {"path": "tedlium_30441.wav", "duration": 6.72, "text": "Potential rates are strong. You've lapped a lot of headwinds, yet you're firing at the lower end of the framework. So"}, {"path": "tedlium_30442.wav", "duration": 6.72, "text": "And why is that? As we bring these in, integrate the acquisitions or the pieces together,"}, {"path": "tedlium_30443.wav", "duration": 6.72, "text": "strengthens our presence in the Baton Rouge and Lafayette, Louisiana markets as well as strengthening our food offer in the area,"}, {"path": "tedlium_30444.wav", "duration": 6.72, "text": "The booms and lights are also doing extremely well with our communications business. And sports medicine, which is obviously a smaller business,"}, {"path": "tedlium_30445.wav", "duration": 6.72, "text": "And I'm very optimistic that this will become a very interesting business field."}, {"path": "tedlium_30446.wav", "duration": 6.72, "text": "it is becoming clearer that as much as half of all Chinese imports could face a 25% tariff."}, {"path": "tedlium_30447.wav", "duration": 6.72, "text": "to help us understand changing consumer behavior around consumption patterns and pricing."}, {"path": "tedlium_30448.wav", "duration": 6.72, "text": "On the slides on Slide 2, you'll see that certain comments we make on the call will be forward-looking."}, {"path": "tedlium_30449.wav", "duration": 6.72, "text": "in discussions with the FDA and we'll very soon be able to finalize"}, {"path": "tedlium_30450.wav", "duration": 6.72, "text": "We probably wouldn't be looking to specifically"}, {"path": "tedlium_30451.wav", "duration": 6.72, "text": "what are the expenses of the connections? And are you expensing it or capitalizing it?"}, {"path": "tedlium_30452.wav", "duration": 6.72, "text": "driven primarily by volatility within several significant customers. While third quarter revenue is disappointing,"}, {"path": "tedlium_30453.wav", "duration": 6.72, "text": "competition because of the fact that market is so strongly declining. And what we do see"}, {"path": "tedlium_30454.wav", "duration": 6.72, "text": "While we are deeply saddened by Robert's passing and he will be sorely missed, we are very fortunate to have Phil,"}, {"path": "tedlium_30455.wav", "duration": 6.72, "text": "Shannon. The fourth quarter is always a little bit of an outlier simply because we don't know what customers will do"}, {"path": "tedlium_30456.wav", "duration": 6.72, "text": "This was a result of the sales mix in the quarter and the normal cyclicality of fewer production days in the fourth quarter."}, {"path": "tedlium_30457.wav", "duration": 6.72, "text": "give you any expectations about expenses dilution. But"}, {"path": "tedlium_30458.wav", "duration": 6.72, "text": "just wondering if you can share any lessons learned and what goes into your decision to discontinue the show going forward."}, {"path": "tedlium_30459.wav", "duration": 6.72, "text": "I think more of what you're seeing here is that of the tail end of the thing that we talked about in the last call,"}, {"path": "tedlium_30460.wav", "duration": 6.72, "text": "and in close collaboration with Dr. Wilson's team to advance these programs as quickly as possible."}, {"path": "tedlium_30461.wav", "duration": 6.72, "text": "and drive the overall net profitability of the category by improving the efficiency of our Books' operating model"}, {"path": "tedlium_30462.wav", "duration": 6.72, "text": "And that's been important for us to test that and it's important for the airport to realize that. When we say"}, {"path": "tedlium_30463.wav", "duration": 6.72, "text": "Our Fiber Glass operation could be the poster child for the crosscurrents we have been talking about over the past several quarters."}, {"path": "tedlium_30464.wav", "duration": 6.72, "text": "with bananas reaching their lowest selling price in 10 years in Europe during the second quarter."}, {"path": "tedlium_30465.wav", "duration": 6.72, "text": "in the services revenue line item would likely flow through to the bottom line on a dollar-for-dollar basis."}, {"path": "tedlium_30466.wav", "duration": 6.72, "text": "We generated value by reaching key milestones that demonstrated sparsentan could represent a significant advancement"}, {"path": "tedlium_30467.wav", "duration": 6.72, "text": "and have -- and many of which are also facing driver shortages and we see that in the"}, {"path": "tedlium_30468.wav", "duration": 6.72, "text": "But as the back half of the year goes, we're planning on that kind of moderating to mid- to high single digits."}, {"path": "tedlium_30469.wav", "duration": 6.72, "text": "I need to inform you that some of the material that we will be discussing today constitutes forward-looking information"}, {"path": "tedlium_30470.wav", "duration": 6.72, "text": "For providers, this means a higher revenue yield at a lower cost and improved days in AR."}, {"path": "tedlium_30471.wav", "duration": 6.72, "text": "and excitement in our business. As always, we are committed to building a long-term value for our fellow owners."}, {"path": "tedlium_30472.wav", "duration": 6.72, "text": "Last year -- we saw little bit of fall off in volume in late December even though it was a relatively strong market. So"}, {"path": "tedlium_30473.wav", "duration": 6.72, "text": "But we believe, and we know that there are multiple other deals to be done that fit the strategy in our investment criteria, so"}, {"path": "tedlium_30474.wav", "duration": 6.72, "text": "time and energy that we devote to the program. We have articulated a strategy where"}, {"path": "tedlium_30475.wav", "duration": 6.72, "text": "I think I would share with you with some general views,"}, {"path": "tedlium_30476.wav", "duration": 6.72, "text": "are continuing to improve and interest rates remain where they are. So our expectation"}, {"path": "tedlium_30477.wav", "duration": 6.72, "text": "Despite these positive contributions, first half results fell short of plan"}, {"path": "tedlium_30478.wav", "duration": 6.72, "text": "media purchasing, marketing costs. These are areas"}, {"path": "tedlium_30479.wav", "duration": 6.72, "text": "This formula may of course be revised as usage patterns change going forward."}, {"path": "tedlium_30480.wav", "duration": 6.72, "text": "thanks mainly to the high level of activity in the Czech Republic for both water and waste businesses."}, {"path": "tedlium_30481.wav", "duration": 6.72, "text": "The leveraging of these positions will require the reinforcement of our commercial teams in the field,"}, {"path": "tedlium_30482.wav", "duration": 6.72, "text": "That would be the first date to come online. I believe South Carolina would be the second now that we are licensed there."}, {"path": "tedlium_30483.wav", "duration": 6.72, "text": "The growth has been across each basin in which we operate, and we continue to expect growth throughout the remainder of this year"}, {"path": "tedlium_30484.wav", "duration": 6.72, "text": "thoughts there? And then the new funds that would be using outside capital,"}, {"path": "tedlium_30485.wav", "duration": 6.72, "text": "And we do see that type of behavior, they're definitely viewing this therapeutic as part of"}, {"path": "tedlium_30486.wav", "duration": 6.72, "text": "So I think the only thing that we can say is our"}, {"path": "tedlium_30487.wav", "duration": 6.72, "text": "Now I will turn the call over to Rich for a more detailed review of our financial performance and business outlook."}, {"path": "tedlium_30488.wav", "duration": 6.72, "text": "resulting from the IRS settlement and is reflective of permanent cash tax savings as well."}, {"path": "tedlium_30489.wav", "duration": 6.72, "text": "So we're just delivering it without getting paid for it, now we intend to get paid for it. The second piece of the puzzle"}, {"path": "tedlium_30490.wav", "duration": 6.72, "text": "As anticipated, our wholesale sales during the quarter were impacted primarily by the elimination of our summer delivery."}, {"path": "tedlium_30491.wav", "duration": 6.72, "text": "We will also be further upgrading our customer database, our call center technology and remodeling the Pines Lodge at Beaver Creek."}, {"path": "tedlium_30492.wav", "duration": 6.72, "text": "Additionally, our favorable credit quality continued with low charge-offs and problem loans"}, {"path": "tedlium_30493.wav", "duration": 6.72, "text": "We were satisfied with our average cost of funds of 96 basis points for the second quarter."}, {"path": "tedlium_30494.wav", "duration": 6.72, "text": "Yes. I mean, just to give you some financial context around that. I mean, less than 5% of our total cost of sales envelope"}, {"path": "tedlium_30495.wav", "duration": 6.72, "text": "In our evaluation of the earnings potential for PMT and determining"}, {"path": "tedlium_30496.wav", "duration": 6.72, "text": "Unlike last quarter, when we were able to provide a full update due to the timing of the Public Accounts Committee hearing"}, {"path": "tedlium_30497.wav", "duration": 6.72, "text": "I think it is important to note, if you take the acquisitions that we've done and the small divestitures that we've done,"}, {"path": "tedlium_30498.wav", "duration": 6.72, "text": "Second, we are scaling up liquid on lips, the most tangible way of recruiting consumers"}, {"path": "tedlium_30499.wav", "duration": 6.72, "text": "It's also pleasing to note that the strong global demand for SA vine fruit continues,"}, {"path": "tedlium_30500.wav", "duration": 6.72, "text": "during the quarter and more with sub-suppliers. Moving on to Finland finally,"}, {"path": "tedlium_30501.wav", "duration": 6.72, "text": "We are among the highest-ranked providers with these clients, and we remain focused on delivering carefully crafted solutions"}, {"path": "tedlium_30502.wav", "duration": 6.72, "text": "We won business with more than 2 dozen clients, including several important new logos."}, {"path": "tedlium_30503.wav", "duration": 6.72, "text": "plans. Great. And then can you just give some color with regards to the change in the incentive comp"}, {"path": "tedlium_30504.wav", "duration": 6.72, "text": "These statements involve risks and uncertainties that could cause actual results to differ materially from expectations."}, {"path": "tedlium_30505.wav", "duration": 6.72, "text": "We have a few core messages that we want to make sure come across relating to the second quarter."}, {"path": "tedlium_30506.wav", "duration": 6.72, "text": "In addition to our strong Q2 financial results, and establishing a reinsurance agreement,"}, {"path": "tedlium_30507.wav", "duration": 6.72, "text": "So last year at this time, we obviously benefited from some good trends in that regard."}, {"path": "tedlium_30508.wav", "duration": 6.72, "text": "This is especially true in the diagnostics field, where little to no vertical integration has occurred."}, {"path": "tedlium_30509.wav", "duration": 6.72, "text": "In addition, we have changed our practice for the search, construction and installation of sites"}, {"path": "tedlium_30510.wav", "duration": 6.72, "text": "our views for this year are that the production in the areas remain stable."}, {"path": "tedlium_30511.wav", "duration": 6.72, "text": "These were partially offset by a decrease in other revenues, which is principally lower mineral rights royalty revenue."}, {"path": "tedlium_30512.wav", "duration": 6.72, "text": "we have a great product development team. We've added to that recently to build that team up even stronger."}, {"path": "tedlium_30513.wav", "duration": 6.72, "text": "I mentioned our desire to continue pushing ahead with our accelerated integration and other operational efforts."}, {"path": "tedlium_30514.wav", "duration": 6.72, "text": "which saves a lot of energy and time for multi-firing applications for controlled devices"}, {"path": "tedlium_30515.wav", "duration": 6.72, "text": "We're excited about the progress we're making and even more excited about where our network will be in a very short time."}, {"path": "tedlium_30516.wav", "duration": 6.72, "text": "More to the broader topic of integration. We've done quite a bit of work"}, {"path": "tedlium_30517.wav", "duration": 6.72, "text": "one of the things that's given us conviction on this modular offering as we think about competing"}, {"path": "tedlium_30518.wav", "duration": 6.72, "text": "for our products. So on the margin, those things will play out over a longer period of time, in response to your question."}, {"path": "tedlium_30519.wav", "duration": 6.72, "text": "of the offering and the number of places where we can help people migrate to the"}, {"path": "tedlium_30520.wav", "duration": 6.72, "text": "I don't think you're going to see the rail and transportation issues have near the effect this year that they did last year."}, {"path": "tedlium_30521.wav", "duration": 6.72, "text": "We harvest hogs to provide a supply of raw materials for our value-added products."}, {"path": "tedlium_30522.wav", "duration": 6.72, "text": "If that's even close to being true, then you can understand why we would be investing heavily in ambulatory care"}, {"path": "tedlium_30523.wav", "duration": 6.72, "text": "We also note an increased interest in examining the market data and technological cost among industry participants."}, {"path": "tedlium_30524.wav", "duration": 6.72, "text": "where they're looking, most importantly, for post trade transparency, where did you send my order and why did you send it there,"}, {"path": "tedlium_30525.wav", "duration": 6.72, "text": "We have quickly become the leader in collectibles, and we continue to expand our offerings at a fast pace."}, {"path": "tedlium_30526.wav", "duration": 6.72, "text": "Well, you should think about it in terms of the iPhone and other products that can drive the traffic"}, {"path": "tedlium_30527.wav", "duration": 6.72, "text": "Pricing is comparable with the year ago period, and we're seeing our order book go out to the middle of next year."}, {"path": "tedlium_30528.wav", "duration": 6.72, "text": "As we have often stated, we calibrate our capital allocation strategy on a risk-adjusted returns basis"}, {"path": "tedlium_30529.wav", "duration": 6.72, "text": "The new accounting guidance adopted in the first quarter requires these net excess tax benefits to be recognized in earnings."}, {"path": "tedlium_30530.wav", "duration": 6.72, "text": "but from a margin perspective, this put us just slightly ahead of diesel and power cost increases."}, {"path": "tedlium_30531.wav", "duration": 6.72, "text": "Yes. So you're right, we've seen a number of weeks over 2 million barrels a day of exports."}, {"path": "tedlium_30532.wav", "duration": 6.72, "text": "and will get greater benefits from our investments in net revenue management and marketing catalyst capabilities."}, {"path": "tedlium_30533.wav", "duration": 6.72, "text": "These savings have been partially invested to fund our scotch and reserve brand focus."}, {"path": "tedlium_30534.wav", "duration": 6.72, "text": "and are included as an exhibit to our current report on Form 8-K furnished with the SEC earlier today."}, {"path": "tedlium_30535.wav", "duration": 6.72, "text": "Can you quantify how much the currency benefit may have been for the year or for the quarter"}, {"path": "tedlium_30536.wav", "duration": 6.72, "text": "Here are the key numbers for the first quarter. There are several one-time costs that I will explain."}, {"path": "tedlium_30537.wav", "duration": 6.72, "text": "Improving cash flows for the balance of the year are expected to come from seasonally stronger patterns at BT"}, {"path": "tedlium_30538.wav", "duration": 6.72, "text": "will have very good performance, and we hope to achieve new breakthroughs."}, {"path": "tedlium_30539.wav", "duration": 6.72, "text": "However, we are delivering on the Ziggo synergy plan, which we expect to have a favorable impact on OCF performance"}, {"path": "tedlium_30540.wav", "duration": 6.72, "text": "Despite the current pause seen in the marketplace we remain heavily involved with our customers."}, {"path": "tedlium_30541.wav", "duration": 6.72, "text": "While it is unfortunate we are in this situation, we believe our legal case is strong."}, {"path": "tedlium_30542.wav", "duration": 6.72, "text": "This was offset by the positive impact of sales mix and some underlying pricing increases."}, {"path": "tedlium_30543.wav", "duration": 6.72, "text": "This is a good example of type -- of the type of product lines acquisitions we intend to make within the tool space."}, {"path": "tedlium_30544.wav", "duration": 6.72, "text": "we expect to refresh the appearance of approximately 70 stores in our southern markets in the first quarter"}, {"path": "tedlium_30545.wav", "duration": 6.72, "text": "Mega Airless represented approximately 9% of the sales growth in the Beauty market."}, {"path": "tedlium_30546.wav", "duration": 6.72, "text": "The graphic on the left illustrates exactly how Noble and Champion further our broader effort of getting closer to our customer."}, {"path": "tedlium_30547.wav", "duration": 6.72, "text": "We did have such a period, but compared to then, now different shape"}, {"path": "tedlium_30548.wav", "duration": 6.72, "text": "and Six Sigma initiatives, and they're doing a great job. So its throughout the business and that's why we have the confidence with the momentum that we saw"}, {"path": "tedlium_30549.wav", "duration": 6.72, "text": "heavy blanket over everyone's thoughts. And so they simply haven't made"}, {"path": "tedlium_30550.wav", "duration": 6.72, "text": "Central America is doing very, very well. You know that Central American countries are growing above the average of Latin America."}, {"path": "tedlium_30551.wav", "duration": 6.72, "text": "On the other hand, there are some risk factors there as well, such as"}, {"path": "tedlium_30552.wav", "duration": 6.72, "text": "move these clients up in terms of their annual spend, the one thing we don't control is the timing but"}, {"path": "tedlium_30553.wav", "duration": 6.72, "text": "We just want to make sure we've got a lot of them growing at the same time so that we don't become too heavily exposed or concentrated."}, {"path": "tedlium_30554.wav", "duration": 6.72, "text": "portion of business transformation. But the kind of transformation that we're involved in, our platform is one piece,"}, {"path": "tedlium_30555.wav", "duration": 6.72, "text": "But it is going to change the dynamic from an expense ratio standpoint in the sense that it is more expensive business to acquire."}, {"path": "tedlium_30556.wav", "duration": 6.72, "text": "You had a new product approved in that business. You had 10% growth, which is the best growth I've seen in"}, {"path": "tedlium_30557.wav", "duration": 6.72, "text": "And also I noticed a little spike in servicing expenses. So if you could just kind of let me highlight that, that would be great."}, {"path": "tedlium_30558.wav", "duration": 6.72, "text": "What is your real capacity for the state itself to adequately meet"}, {"path": "tedlium_30559.wav", "duration": 6.72, "text": "We are making significant investments and major improvements to our core platforms which underpin these propositions."}, {"path": "tedlium_30560.wav", "duration": 6.72, "text": "increase requirements for the Marine Corps and also for foreign military sales, that's certainly good for us."}, {"path": "tedlium_30561.wav", "duration": 6.72, "text": "the third quarter results further demonstrate that our progress towards transformation is on track."}, {"path": "tedlium_30562.wav", "duration": 6.72, "text": "They will also market a portion of our Warriors North gas, and an improved differential to our current Dom South pricing"}, {"path": "tedlium_30563.wav", "duration": 6.72, "text": "and are pleased with the continued level of interest in the asset since our first equity placing in May."}, {"path": "tedlium_30564.wav", "duration": 6.72, "text": "And we continue, in my view, especially with the Warning Letters being lifted, have a stronger story for the future than we've ever had. But"}, {"path": "tedlium_30565.wav", "duration": 6.72, "text": "Certain matters discussed during this conference may contain forward-looking statements in the meanings of the federal securities laws."}, {"path": "tedlium_30566.wav", "duration": 6.72, "text": "mismatch of timing, wherein the commercial paper had been raised, and the money had not yet flowed to government of India,"}, {"path": "tedlium_30567.wav", "duration": 6.72, "text": "your philosophy around stability of benefits and how you think"}, {"path": "tedlium_30568.wav", "duration": 6.72, "text": "what, if any, thoughts do you have about possibly doing a tender offer for a piece of the shares?"}, {"path": "tedlium_30569.wav", "duration": 6.72, "text": "We encourage investors to review these reconciliations in connection with the comments we make this morning."}, {"path": "tedlium_30570.wav", "duration": 6.72, "text": "So through much more detailed asset management processes by looking at specific components like towers,"}, {"path": "tedlium_30571.wav", "duration": 6.72, "text": "But other than that, I don't think there was too much that you could derive from the day other than"}, {"path": "tedlium_30572.wav", "duration": 6.72, "text": "We are generating strong cash flow, while cautiously investing in those areas of our business"}, {"path": "tedlium_30573.wav", "duration": 6.72, "text": "so there, actually, the business environment has not necessarily been that bad from the container handling volume point of view. So"}, {"path": "tedlium_30574.wav", "duration": 6.72, "text": "they will be convinced there is no better solution on the market, and in most cases, they will save a"}, {"path": "tedlium_30575.wav", "duration": 6.72, "text": "There is no doubts today that the production system of the world are going to change"}, {"path": "tedlium_30576.wav", "duration": 6.72, "text": "then of course, we would have to go back to the market. But there is no such a target on the market."}, {"path": "tedlium_30577.wav", "duration": 6.72, "text": "This higher interest expense is serviceable but represents future opportunities for savings."}, {"path": "tedlium_30578.wav", "duration": 6.72, "text": "The shop is located on an island in the middle of the Neches River, which rose about 20 feet above normal,"}, {"path": "tedlium_30579.wav", "duration": 6.72, "text": "and our team has been hard at work educating and helping change ingrained behaviors formed over many years."}, {"path": "tedlium_30580.wav", "duration": 6.72, "text": "and from the successful execution of certain transformation initiatives that we outlined during our Investor Day."}, {"path": "tedlium_30581.wav", "duration": 6.72, "text": "So I -- what I was trying to make a point is that I think we've got a couple of good"}, {"path": "tedlium_30582.wav", "duration": 6.72, "text": "However, we can go by our own experience. And I think as we have explained in the past,"}, {"path": "tedlium_30583.wav", "duration": 6.72, "text": "are being taken and were improved every day in giving them the right support and marketing"}, {"path": "tedlium_30584.wav", "duration": 6.72, "text": "India represents a large opportunity, and we provided some thoughts during Investor Day on how we're approaching the market."}, {"path": "tedlium_30585.wav", "duration": 6.72, "text": "As noted on the slide, we now reflect the impact of recent acquisitions and divestitures in the current numbers."}, {"path": "tedlium_30586.wav", "duration": 6.7199375, "text": "Overall volume decreased 15% due to lower yields from our sourcing areas in Costa Rica."}, {"path": "tedlium_30587.wav", "duration": 6.7199375, "text": "In the difficult political and economic environment that we've spoken about, it's important"}, {"path": "tedlium_30588.wav", "duration": 6.6900625, "text": "And this is really, I believe, a continuation of the process improvements that they've put in place"}, {"path": "tedlium_30589.wav", "duration": 6.69, "text": "than what the market composite was, but we did see a nice turn in that business there that we hope"}, {"path": "tedlium_30590.wav", "duration": 6.69, "text": "The ADVOCATE trial itself is big news for our company and more importantly for the patients."}, {"path": "tedlium_30591.wav", "duration": 6.69, "text": "could you remind us if we -- as we've gone into past recessions, is there a lag? Like how should we think about"}, {"path": "tedlium_30592.wav", "duration": 6.69, "text": "This means that Noble will remain well positioned in the front end of the cost curve over the long term."}, {"path": "tedlium_30593.wav", "duration": 6.69, "text": "we have other product areas that likewise represent new revenue streams for our telecom business."}, {"path": "tedlium_30594.wav", "duration": 6.69, "text": "We will refer to certain non-GAAP financial measures during today's call. These measures should not be considered in isolation from"}, {"path": "tedlium_30595.wav", "duration": 6.69, "text": "But before moving on to our network operations, I want to say a few words about our current sales efforts"}, {"path": "tedlium_30596.wav", "duration": 6.69, "text": "I guess, the volatility that there has been in the past, are you now at a level which you see as sort of"}, {"path": "tedlium_30597.wav", "duration": 6.69, "text": "The question was that in 2020, there is some talk about China getting rid of its subsidiaries"}, {"path": "tedlium_30598.wav", "duration": 6.69, "text": "We are not targeting only generating antibodies as most of the competition."}, {"path": "tedlium_30599.wav", "duration": 6.69, "text": "we kept our general and admin expenses under control for both Consumer and for the group overall."}, {"path": "tedlium_30600.wav", "duration": 6.69, "text": "maybe some of your competitors would have a tough time getting access to labor with their new plant"}, {"path": "tedlium_30601.wav", "duration": 6.69, "text": "We expect that severe conditions will continue until 5G begins rolling out in earnest,"}, {"path": "tedlium_30602.wav", "duration": 6.69, "text": "Next, in the top table is our full year financial forecast."}, {"path": "tedlium_30603.wav", "duration": 6.69, "text": "We remain confident in the growth potential we see for our European operations over the longer term."}, {"path": "tedlium_30604.wav", "duration": 6.69, "text": "some of the more profitable jobs and some of the more specific scope that you're chasing?"}, {"path": "tedlium_30605.wav", "duration": 6.69, "text": "so I'm not going to repeat all the numbers. Instead, we are going to focus on the analysis of the factors that influenced results."}, {"path": "tedlium_30606.wav", "duration": 6.69, "text": "Our proved performance is apparent in our sequential quarterly growth, renewal rates and the other metrics I have discussed."}, {"path": "tedlium_30607.wav", "duration": 6.69, "text": "One more example. One of the largest commercial real estate is the brokerage of assets."}, {"path": "tedlium_30608.wav", "duration": 6.69, "text": "Looking ahead, we expect gains on mortgage loans to continue to rise as we have added production capacity"}, {"path": "tedlium_30609.wav", "duration": 6.69, "text": "We've always said that our appetite will be governed by our assessment of risk, our assessment of reward."}, {"path": "tedlium_30610.wav", "duration": 6.69, "text": "This acquisition represents a strategic expansion and diversification"}, {"path": "tedlium_30611.wav", "duration": 6.69, "text": "And we also see Chinese manufacturers entering the market more intensely."}, {"path": "tedlium_30612.wav", "duration": 6.69, "text": "We're also working on integrating our planning and breaking down the silos as manufacturing has done"}, {"path": "tedlium_30613.wav", "duration": 6.69, "text": "There are, as you point out, a lot of best practices that are available. We've got a whole laundry list of"}, {"path": "tedlium_30614.wav", "duration": 6.69, "text": "and improvement of California's transportation system, providing improved safety and quality of life across the state."}, {"path": "tedlium_30615.wav", "duration": 6.69, "text": "Regarding the movement on deal days, the country volatility adjustment is really jiggling around"}, {"path": "tedlium_30616.wav", "duration": 6.69, "text": "But it goes beyond that. Syndicate of investors are constantly worried about a downturn in the market."}, {"path": "tedlium_30617.wav", "duration": 6.69, "text": "Now, during the first quarter, we also extended our capabilities with Amazon Web Services"}, {"path": "tedlium_30618.wav", "duration": 6.69, "text": "how long it will take. But we are trying our best to expedite and"}, {"path": "tedlium_30619.wav", "duration": 6.69, "text": "And so it's a very good aggregation. So we pretty much cover in our merchant silicon,"}, {"path": "tedlium_30620.wav", "duration": 6.69, "text": "Okay. Can you talk to the staffing that you have now in professional services?"}, {"path": "tedlium_30621.wav", "duration": 6.69, "text": "We believe that we can come up with a scheme that will bring the best value for the company"}, {"path": "tedlium_30622.wav", "duration": 6.69, "text": "for us, we look at this as a significant return considering we paid,"}, {"path": "tedlium_30623.wav", "duration": 6.69, "text": "These reports are available on the company's website in the Investors section and on the SEC's website."}, {"path": "tedlium_30624.wav", "duration": 6.69, "text": "This was affected by the weather. Also, we had the equipment modification to"}, {"path": "tedlium_30625.wav", "duration": 6.69, "text": "at this time, we have no further questions in the queue. I'll turn it back over to management for any additional or closing remarks."}, {"path": "tedlium_30626.wav", "duration": 6.69, "text": "And that's what you see forecasted here in the gray bar on the left side."}, {"path": "tedlium_30627.wav", "duration": 6.69, "text": "And we put the finishing touches on the modernization project at our Ohio Falls hydroelectric facility,"}, {"path": "tedlium_30628.wav", "duration": 6.69, "text": "With higher revenue growth rate, as we've always told you, profitability will scale substantially."}, {"path": "tedlium_30629.wav", "duration": 6.69, "text": "in payments. So like a lot of the fueling guys are trying to do mobile things or have your car, turn the pump on. And so,"}, {"path": "tedlium_30630.wav", "duration": 6.69, "text": "and the same conditions pilots are paid here in sterling or even in France in euros,"}, {"path": "tedlium_30631.wav", "duration": 6.69, "text": "having tracked the company for a while know that a lot of that business is driven by the containerboard business, which I thought would have been"}, {"path": "tedlium_30632.wav", "duration": 6.69, "text": "And as a large local media company, we are uniquely positioned to serve this growing trend."}, {"path": "tedlium_30633.wav", "duration": 6.69, "text": "In prior quarters, we have shared with you our ongoing refinement of the Healthcare strategy."}, {"path": "tedlium_30634.wav", "duration": 6.69, "text": "To do that, let me first take a step back and set the stage for our interaction with the Food and Drug Administration."}, {"path": "tedlium_30635.wav", "duration": 6.69, "text": "We have a substantial amount of inventory available to meet this demand, and our international expansion efforts should continue"}, {"path": "tedlium_30636.wav", "duration": 6.69, "text": "And we are very excited about this portfolio and our commitment to returning value to our shareholders."}, {"path": "tedlium_30637.wav", "duration": 6.69, "text": "This quarter's comparison was also partially impacted by a large Location Intelligence deal we closed last year."}, {"path": "tedlium_30638.wav", "duration": 6.69, "text": "These statements are not guarantees of future performance, and therefore, undue reliance should not be placed upon them."}, {"path": "tedlium_30639.wav", "duration": 6.69, "text": "to fund our growth expenditures. We believe our investors value the latter, so we have been working within that framework."}, {"path": "tedlium_30640.wav", "duration": 6.69, "text": "right? And that's very competitive what -- with what other, if you will, correspondent banks are paying for"}, {"path": "tedlium_30641.wav", "duration": 6.69, "text": "So that's the only time we've ever found express, and then it was marginal. And"}, {"path": "tedlium_30642.wav", "duration": 6.69, "text": "in terms of deal size, I'm not really going to put a number on that. I mean, we would"}, {"path": "tedlium_30643.wav", "duration": 6.69, "text": "we need to complete what we have on our plate first to make sure that we have the capacity to take on the next. And that's the really the question we're trying to evaluate"}, {"path": "tedlium_30644.wav", "duration": 6.69, "text": "I'd like to remind everyone again of the impact that the 2 merger closings in January"}, {"path": "tedlium_30645.wav", "duration": 6.69, "text": "all for one flat rate and at a fraction of the cost of standard phone and VoIP providers."}, {"path": "tedlium_30646.wav", "duration": 6.69, "text": "we had clearly been overshooting internally on the targets. So our new targets"}, {"path": "tedlium_30647.wav", "duration": 6.69, "text": "And those 2 facts really help inform how we look going forward at stores."}, {"path": "tedlium_30648.wav", "duration": 6.69, "text": "as far as this set of issues is concerned then, I think, we have a very good handle on it."}, {"path": "tedlium_30649.wav", "duration": 6.69, "text": "I wish them the best of luck. And I can tell you that they're working as hard as they possibly can to make Myers a better company."}, {"path": "tedlium_30650.wav", "duration": 6.69, "text": "Even as we focus on new growth areas, we continue to deliver solid performance across each of our business segments."}, {"path": "tedlium_30651.wav", "duration": 6.69, "text": "we know exactly what we are after. And what I think is important is to look at it from a different angle."}, {"path": "tedlium_30652.wav", "duration": 6.69, "text": "Now additionally, through the business review, we're going to be taking a look at everything. We're going to take a look at expenses."}, {"path": "tedlium_30653.wav", "duration": 6.69, "text": "I will now give you more details regarding the financial results before taking your questions."}, {"path": "tedlium_30654.wav", "duration": 6.69, "text": "as you move to the table on the right, there on the chart, you also see the most significant movement year-on-year was the lower"}, {"path": "tedlium_30655.wav", "duration": 6.69, "text": "really new standards and requirements for Medicaid long-term services and supports. And Rich spoke to a number of those."}, {"path": "tedlium_30656.wav", "duration": 6.69, "text": "multiple regulatory climates because they exist across international borders that they can accomplish that with our platform."}, {"path": "tedlium_30657.wav", "duration": 6.69, "text": "and meet with the facility management staff to ensure all appropriate resources were available to the facility and staff."}, {"path": "tedlium_30658.wav", "duration": 6.69, "text": "Two, we have learned from our 19-year experience and developed a very strong brand"}, {"path": "tedlium_30659.wav", "duration": 6.69, "text": "all provided as a service on a single billing support and financing relationship."}, {"path": "tedlium_30660.wav", "duration": 6.69, "text": "Fleet trials are currently underway with several agencies, and we have already received notice we've been awarded several contracts."}, {"path": "tedlium_30661.wav", "duration": 6.69, "text": "recommending approval, which marks our second developed product to achieve this regulatory milestone"}, {"path": "tedlium_30662.wav", "duration": 6.69, "text": "Carl, I've never done this before, but I'm actually going to go back in the queue and ask you to come back to me later on."}, {"path": "tedlium_30663.wav", "duration": 6.69, "text": "Since we have our biggest quarters in front of us, it's our intention to build on the results of the December quarter."}, {"path": "tedlium_30664.wav", "duration": 6.69, "text": "to the antigens in the vaccine is the first crucial step to proving the concept for the vaccine."}, {"path": "tedlium_30665.wav", "duration": 6.69, "text": "leave much headroom for improvement in both immunological and clinical responses."}, {"path": "tedlium_30666.wav", "duration": 6.69, "text": "Our approach to value creation that we talked about also in February when we met,"}, {"path": "tedlium_30667.wav", "duration": 6.69, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_30668.wav", "duration": 6.69, "text": "We brought on a Capital Planning Manager to build out our DFAST capabilities"}, {"path": "tedlium_30669.wav", "duration": 6.69, "text": "But we're also quite confident that the businesses are performing at high levels and that we can produce very good returns for our shareholders,"}, {"path": "tedlium_30670.wav", "duration": 6.69, "text": "should we -- I appreciate what you're trying to do here is show the margin improvement, but I guess how long"}, {"path": "tedlium_30671.wav", "duration": 6.69, "text": "Our business is built on the premise of making it easier for our customers to grow their businesses."}, {"path": "tedlium_30672.wav", "duration": 6.69, "text": "The Southwest in Texas it's more probably a little bit more story of recovering from some dropoff from energy."}, {"path": "tedlium_30673.wav", "duration": 6.69, "text": "before taking into account any other cost and expenses associated with the offering of these services."}, {"path": "tedlium_30674.wav", "duration": 6.69, "text": "So in summary, our underlying performance in the first half came in largely as expected,"}, {"path": "tedlium_30675.wav", "duration": 6.69, "text": "We are fully committed to this task which we believe will result in substantial value creation for our shareholders."}, {"path": "tedlium_30676.wav", "duration": 6.69, "text": "So I just -- I see that kind of stuff and say that's going to start flowing through. So to say that we switched gears on that,"}, {"path": "tedlium_30677.wav", "duration": 6.69, "text": "that there is a space for us as a trusted adviser and a trusted player in the data insights"}, {"path": "tedlium_30678.wav", "duration": 6.69, "text": "was reflective of changing provincial pricing arrangements led by the Zhejiang province."}, {"path": "tedlium_30679.wav", "duration": 6.69, "text": "We expect to conclude deployment activities at the Indiana and Florida ABMs by early 2018. The"}, {"path": "tedlium_30680.wav", "duration": 6.69, "text": "although the business did experience some higher costs on utilities, repairs and tooling maintenance."}, {"path": "tedlium_30681.wav", "duration": 6.69, "text": "a lot of the projects in In-Line Instrumentation which are process related and also on the mining side,"}, {"path": "tedlium_30682.wav", "duration": 6.69, "text": "In response to this accident, each of the Norwegian and U.K. Civil Aviation Authorities"}, {"path": "tedlium_30683.wav", "duration": 6.69, "text": "And owning a significant fleet of vessels also means that we will have to continuously renew and diversify the fleet."}, {"path": "tedlium_30684.wav", "duration": 6.69, "text": "and part of this reflects the quality of talent that we are"}, {"path": "tedlium_30685.wav", "duration": 6.69, "text": "that we have at Holt and call it a day. But we also see if we can make some significant investments in capital and development."}, {"path": "tedlium_30686.wav", "duration": 6.69, "text": "While these products continued to be adversely impacted by reduced spending in oil and gas exploration,"}, {"path": "tedlium_30687.wav", "duration": 6.69, "text": "Please remember to refer to the forward-looking statements disclosure on Page 7 of the company's earnings press release."}, {"path": "tedlium_30688.wav", "duration": 6.69, "text": "when adjusting for the negative impact of foreign exchange and gains from limited partnership investments."}, {"path": "tedlium_30689.wav", "duration": 6.69, "text": "But this is a project that's been in the works for a number of months, and the team has just done a terrific job of"}, {"path": "tedlium_30690.wav", "duration": 6.69, "text": "And finally, our small Southeast Asian business grew EBIT with growth in Vietnam a key driver."}, {"path": "tedlium_30691.wav", "duration": 6.69, "text": "Each year, we update our expense tables to incorporate an additional year of information."}, {"path": "tedlium_30692.wav", "duration": 6.69, "text": "I think on the D side, it's much more -- there has been some construction supported by"}, {"path": "tedlium_30693.wav", "duration": 6.69, "text": "last few quarters. We have emphasized consistency right from the beginning of this year."}, {"path": "tedlium_30694.wav", "duration": 6.69, "text": "To sum up the economy, the majority of key economic indicators have shown signs of improvement for several years,"}, {"path": "tedlium_30695.wav", "duration": 6.69, "text": "if we think about the pattern that we've seen in recent years, is it still"}, {"path": "tedlium_30696.wav", "duration": 6.69, "text": "Now before I hand the call back over to Kevin, I want to take a moment to recognize him."}, {"path": "tedlium_30697.wav", "duration": 6.69, "text": "The proposed framework, much of which we support, represents a fairly material departure from the current model."}, {"path": "tedlium_30698.wav", "duration": 6.69, "text": "This gives me the confidence that we are on track to deliver our medium-term guidance"}, {"path": "tedlium_30699.wav", "duration": 6.69, "text": "just reflecting increased testing to tune and refine the program, which the team is doing a great job on. Increasingly,"}, {"path": "tedlium_30700.wav", "duration": 6.69, "text": "But we're really focused on kind of the reputational things that we believe are important to our consumers"}, {"path": "tedlium_30701.wav", "duration": 6.69, "text": "There are even cases where we are entrusted with their whole businesses."}, {"path": "tedlium_30702.wav", "duration": 6.69, "text": "we're working on. And again, we're pretty -- we're disciplined about how we do it. So we feel good about the pipeline and"}, {"path": "tedlium_30703.wav", "duration": 6.69, "text": "and fee opportunities that make it a great contributor to our focus on economic profitability."}, {"path": "tedlium_30704.wav", "duration": 6.69, "text": "I am going to start by covering the highlights of the quarter and the transformative changes we've executed during the past year,"}, {"path": "tedlium_30705.wav", "duration": 6.69, "text": "And that helps to add value. So when you look at Telstra, when you look at MTN, when you look at some of the others,"}, {"path": "tedlium_30706.wav", "duration": 6.69, "text": "increasing capacity in Taiwan that would support the growth of some of the customers in China?"}, {"path": "tedlium_30707.wav", "duration": 6.69, "text": "The company assumes no obligation to update or supplement any statements that become untrue because of subsequent events."}, {"path": "tedlium_30708.wav", "duration": 6.69, "text": "Sure. I mean, it's always -- as you can imagine, you'd love to at one level think everybody loves you and would never leave you."}, {"path": "tedlium_30709.wav", "duration": 6.69, "text": "We continue to expect other revenue and other income to decline by approximately 15 basis points"}, {"path": "tedlium_30710.wav", "duration": 6.69, "text": "over the last several years because it wasn't very quality service. We've now created an ability, working with"}, {"path": "tedlium_30711.wav", "duration": 6.69, "text": "I'll now turn it over to Tim to take us through our results for the quarter and then I'll come back to discuss a look forward."}, {"path": "tedlium_30712.wav", "duration": 6.69, "text": "This is partly driven by direct or indirect regulation, like in the case of the requirement"}, {"path": "tedlium_30713.wav", "duration": 6.69, "text": "planning to prepare for the ongoing renewables and how important CCGTs are to backstop that."}, {"path": "tedlium_30714.wav", "duration": 6.69, "text": "that were last year that I would say maybe their natural growth rate over the last few years has been low single digit,"}, {"path": "tedlium_30715.wav", "duration": 6.69, "text": "And I think that's a good thing, just like it's a good thing to be a responsible taxpayer or to"}, {"path": "tedlium_30716.wav", "duration": 6.69, "text": "Given the market environment and our outlook, we are in the process of taking further actions to adjust our business."}, {"path": "tedlium_30717.wav", "duration": 6.69, "text": "based on the positive reaction we received to the new collection. I am confident that we are on the right path."}, {"path": "tedlium_30718.wav", "duration": 6.69, "text": "they are capable of performance. And they're capable of performance depending upon whether or not the enterprise"}, {"path": "tedlium_30719.wav", "duration": 6.69, "text": "But people are kind of excited about the opportunity there and what can happen with the direct sales force."}, {"path": "tedlium_30720.wav", "duration": 6.69, "text": "moving processes for the first time tend to do so on an FTE basis that allows us to provide"}, {"path": "tedlium_30721.wav", "duration": 6.69, "text": "volume in the continuing product seems to be growing less than the end market growth rates of pharma and coatings and"}, {"path": "tedlium_30722.wav", "duration": 6.69, "text": "Since these assumptions are based on current expectations and involve assumptions that are difficult,"}, {"path": "tedlium_30723.wav", "duration": 6.69, "text": "and just not go back in. But recognizing the amount of investment, we're going to have to make that sometimes gets difficult."}, {"path": "tedlium_30724.wav", "duration": 6.69, "text": "We did get some very good regulatory relief and stability going forward,"}, {"path": "tedlium_30725.wav", "duration": 6.69, "text": "And then next year, we will essentially assess and monitor how all that's working. And from that,"}, {"path": "tedlium_30726.wav", "duration": 6.69, "text": "which is also up over third quarter last year, of course as a result of better operational"}, {"path": "tedlium_30727.wav", "duration": 6.69, "text": "because we were so concerned about the amount of stock we were willing to sell and the price at which we were willing to sell it."}, {"path": "tedlium_30728.wav", "duration": 6.69, "text": "The results have been very positive, and to illustrate the benefits, let me share a few comparisons with you."}, {"path": "tedlium_30729.wav", "duration": 6.69, "text": "We believe we are well positioned to not only deliver the new reporting but to drive improvement in this key area."}, {"path": "tedlium_30730.wav", "duration": 6.69, "text": "for those that exit. I think in terms of exit charges, so I think I'll refer to the fact that"}, {"path": "tedlium_30731.wav", "duration": 6.69, "text": "But when you look at the current market and you look at fuel prices where they are and see how"}, {"path": "tedlium_30732.wav", "duration": 6.69, "text": "We successfully rebranded the company and still maintained our ties to our heritage."}, {"path": "tedlium_30733.wav", "duration": 6.69, "text": "We often point out that there are quarterly swings in many line items and try to look at numbers on a full year basis."}, {"path": "tedlium_30734.wav", "duration": 6.69, "text": "let me give you some sense of those. Some of them are simply that"}, {"path": "tedlium_30735.wav", "duration": 6.69, "text": "Proved developed reserve additions, positive performance revisions and the improvement in commodity prices"}, {"path": "tedlium_30736.wav", "duration": 6.69, "text": "Cable is working there and so is mobile. Three, our home business continues to perform exceptionally well."}, {"path": "tedlium_30737.wav", "duration": 6.69, "text": "We resolved the XIFAXAN IP litigation and expect to preserve market exclusivity for our top product"}, {"path": "tedlium_30738.wav", "duration": 6.69, "text": "Many of you know this product has been a core bedrock of our portfolio over the past 9 years. However,"}, {"path": "tedlium_30739.wav", "duration": 6.69, "text": "We're pleased to report strong growth and performance across our businesses on behalf of those we serve."}, {"path": "tedlium_30740.wav", "duration": 6.69, "text": "In addition, private label continued to grow market share, particularly in the lower value conventional segment."}, {"path": "tedlium_30741.wav", "duration": 6.69, "text": "In this presentation and in our remarks, we will be discussing our results on an adjusted basis, unless otherwise noted."}, {"path": "tedlium_30742.wav", "duration": 6.69, "text": "that fit perfectly with the portfolio of top ranked television stations that Gray makes so special."}, {"path": "tedlium_30743.wav", "duration": 6.69, "text": "Our businesses have continued to perform well, generating savings for customers and delivering value for our shareholders."}, {"path": "tedlium_30744.wav", "duration": 6.69, "text": "of our project backlog. Historically, our commercial focus has allowed us to maintain"}, {"path": "tedlium_30745.wav", "duration": 6.69, "text": "The improved labor productivity wasn't sufficient to offset a 70 basis point increase in material costs,"}, {"path": "tedlium_30746.wav", "duration": 6.69, "text": "if that will be accurate. But today, it looks like the trough. And so we see clear acceleration of"}, {"path": "tedlium_30747.wav", "duration": 6.69, "text": "Okay. And you guys made a pretty big change to the existing customer rate increase program last year"}, {"path": "tedlium_30748.wav", "duration": 6.69, "text": "And is a portion of that business already in the unbilled receivables or that would"}, {"path": "tedlium_30749.wav", "duration": 6.69, "text": "at a low cost will be rewarded in the future, and we intend to continue to deliver top quartile results,"}, {"path": "tedlium_30750.wav", "duration": 6.6899375, "text": "The change took place as of January 1, and I'm pleased to say that it has gone extremely well."}, {"path": "tedlium_30751.wav", "duration": 6.6600625, "text": "or impact us as far as actually cash tax payments are concerned, but effectively that will be offset by growth in rate base."}, {"path": "tedlium_30752.wav", "duration": 6.66, "text": "This method of recognition tends to be driven by the product load-ins to the wholesalers which can be lumpy."}, {"path": "tedlium_30753.wav", "duration": 6.66, "text": "that come to the operator with that. And now what that means though is that when you double your completion activity,"}, {"path": "tedlium_30754.wav", "duration": 6.66, "text": "we expect this growth to continue into Q2 and then perform in the low single digits for the balance of the year."}, {"path": "tedlium_30755.wav", "duration": 6.66, "text": "premium and effectively compete in the luxury price points while driving upper-upscale margin performance."}, {"path": "tedlium_30756.wav", "duration": 6.66, "text": "I think the focus is going to be on asset management and being really careful and making sure we hit our numbers"}, {"path": "tedlium_30757.wav", "duration": 6.66, "text": "The increase in revenues stems mainly from higher fabrication levels throughout the corporation's operational units."}, {"path": "tedlium_30758.wav", "duration": 6.66, "text": "the performance of our shares that you are aware"}, {"path": "tedlium_30759.wav", "duration": 6.66, "text": "Our international commercial strategy for keratoconus is built on the foundation of working closely"}, {"path": "tedlium_30760.wav", "duration": 6.66, "text": "have not changed materially to the negative or the positive. I'd say that they are in very much healthy ranges."}, {"path": "tedlium_30761.wav", "duration": 6.66, "text": "The global LP community ranging from sovereign wealth funds to retirement systems, to high net worth investors"}, {"path": "tedlium_30762.wav", "duration": 6.66, "text": "it is. They know how important it is to save money on their data costs. What they haven't seen"}, {"path": "tedlium_30763.wav", "duration": 6.66, "text": "But in the beginning of the call, I think, one of you mentioned that you thought that the price of the stock was"}, {"path": "tedlium_30764.wav", "duration": 6.66, "text": "is to reorganize working with the contractor, the work fronts, put additional resources from the owners as well as CPChem on that"}, {"path": "tedlium_30765.wav", "duration": 6.66, "text": "I'd like to share 2 of our notable customer stories with you to underscore the business outcomes customers are experiencing on the platform."}, {"path": "tedlium_30766.wav", "duration": 6.66, "text": "published a preliminary report demonstrating meaningful responses in patients with castration-resistant prostate cancer"}, {"path": "tedlium_30767.wav", "duration": 6.66, "text": "However, we will continue to highlight what makes Crane special and differentiates us as an organization."}, {"path": "tedlium_30768.wav", "duration": 6.66, "text": "starting titer prior to the annual booster, which is the green. And here you can see that we see a boost effect,"}, {"path": "tedlium_30769.wav", "duration": 6.66, "text": "now enjoy the Hamburg experiences and already now visiting the fish market on Sunday morning,"}, {"path": "tedlium_30770.wav", "duration": 6.66, "text": "on how we will be deploying our capital in line with the strategic priorities which Stefan just presented."}, {"path": "tedlium_30771.wav", "duration": 6.66, "text": "on both of those and we feel good about what that means for meeting our objectives for the second quarter."}, {"path": "tedlium_30772.wav", "duration": 6.66, "text": "and announced major savings programs and staff reductions. This will have an impact"}, {"path": "tedlium_30773.wav", "duration": 6.66, "text": "With various new growth and development projects, we have entered the next cycle in our evolution."}, {"path": "tedlium_30774.wav", "duration": 6.66, "text": "Ladies and gentlemen, thank you for participating in today's conference. This does conclude the program, and you may all disconnect."}, {"path": "tedlium_30775.wav", "duration": 6.66, "text": "it. The future of measurement is a hybrid approach, putting the 2 together, having the best of both worlds."}, {"path": "tedlium_30776.wav", "duration": 6.66, "text": "In addition, new contracts with large hospital groups are also helping to drive growth."}, {"path": "tedlium_30777.wav", "duration": 6.66, "text": "This quarter has given us added confidence that we are making use of the right tools and getting the right results."}, {"path": "tedlium_30778.wav", "duration": 6.66, "text": "Now before we go into Marburg, just one general comment. For me"}, {"path": "tedlium_30779.wav", "duration": 6.66, "text": "Both revenue and profit growth were driven by solid execution on a diverse portfolio of work."}, {"path": "tedlium_30780.wav", "duration": 6.66, "text": "Let's take that money and do it targeted in particular cities where the take rate is"}, {"path": "tedlium_30781.wav", "duration": 6.66, "text": "We generated higher earnings, declared higher dividends and continued on our transformation path."}, {"path": "tedlium_30782.wav", "duration": 6.66, "text": "We also signed a contract for workforce housing and operational support services for 3 camps"}, {"path": "tedlium_30783.wav", "duration": 6.66, "text": "Given our concentration on our regulated businesses and our focus on transmission and distribution,"}, {"path": "tedlium_30784.wav", "duration": 6.66, "text": "The sentiment is not shared by your board or management for the following reasons."}, {"path": "tedlium_30785.wav", "duration": 6.66, "text": "Earlier, you said that you are trying to create a qualitative change in the food industry."}, {"path": "tedlium_30786.wav", "duration": 6.66, "text": "We should take advantage of this improvement in Germany in the future."}, {"path": "tedlium_30787.wav", "duration": 6.66, "text": "is that the economics on this would not be achievable with just a wholesale product."}, {"path": "tedlium_30788.wav", "duration": 6.66, "text": "much of which are by way of infill on vacant land we already own."}, {"path": "tedlium_30789.wav", "duration": 6.66, "text": "There's 5 issues I'd like to raise for you to take into consideration from this call. First,"}, {"path": "tedlium_30790.wav", "duration": 6.66, "text": "Okay, okay. And did I hear it correctly that you already dosed the second high-dose"}, {"path": "tedlium_30791.wav", "duration": 6.66, "text": "the improvement in the underlying profitability of your franchisees? And as you do these valuations on a quarterly basis,"}, {"path": "tedlium_30792.wav", "duration": 6.66, "text": "All right. And then on the guidance, what kind of organic growth rate are you guys expecting in the second half of the year?"}, {"path": "tedlium_30793.wav", "duration": 6.66, "text": "devastating disease, and a disease that only really manifest in children because no one ever lives into adulthood."}, {"path": "tedlium_30794.wav", "duration": 6.66, "text": "as well as proof of concept for our Fabry and Pompe gene therapy programs."}, {"path": "tedlium_30795.wav", "duration": 6.66, "text": "in the Nordic segment and in the German segment. France has a calendar effect of roughly 1 day in that quarter."}, {"path": "tedlium_30796.wav", "duration": 6.66, "text": "The performance reflects that there was no big publishing trend to match last year's strong spoof humor books."}, {"path": "tedlium_30797.wav", "duration": 6.66, "text": "In addition, there is a longer lag time with sales to recognizing revenue."}, {"path": "tedlium_30798.wav", "duration": 6.66, "text": "The consolidated results are a continuation of our performance from the fourth quarter of our last fiscal year."}, {"path": "tedlium_30799.wav", "duration": 6.66, "text": "So now the company are looking for the best way to refinance in the market."}, {"path": "tedlium_30800.wav", "duration": 6.66, "text": "we expect revenue to increase approximately 3% to 4% compared to the prior year"}, {"path": "tedlium_30801.wav", "duration": 6.66, "text": "comment on their reaction, but I think everybody would focus on the same thing. There's 3 years left to run"}, {"path": "tedlium_30802.wav", "duration": 6.66, "text": "In both diseases, it is understood that it's the overproduction of glyoxylate from a different"}, {"path": "tedlium_30803.wav", "duration": 6.66, "text": "So that deflated our operating cash flow in the first half as well."}, {"path": "tedlium_30804.wav", "duration": 6.66, "text": "the outstanding caliber of our people and their ability to win new business and support the needs of our clients."}, {"path": "tedlium_30805.wav", "duration": 6.66, "text": "there is no specific set of talks we would be involved in right now."}, {"path": "tedlium_30806.wav", "duration": 6.66, "text": "It is a commitment that we make as an organization. As a matter of fact, the new mission that we created,"}, {"path": "tedlium_30807.wav", "duration": 6.66, "text": "Thank you again for participating in today's conference call. You may now disconnect."}, {"path": "tedlium_30808.wav", "duration": 6.66, "text": "The approved tax agreement also included a provision to extend our revenue sharing and earnings support mechanism"}, {"path": "tedlium_30809.wav", "duration": 6.66, "text": "In the second quarter, we delivered on this commitment with improvements in nearly all of our end markets becoming more evident."}, {"path": "tedlium_30810.wav", "duration": 6.66, "text": "clearly, third quarter will be our best quarter of the year. And as we said, we expect every quarter to be up over last year."}, {"path": "tedlium_30811.wav", "duration": 6.66, "text": "we are doing more strategic deals than we have done in recent quarters through our enterprise account sales group."}, {"path": "tedlium_30812.wav", "duration": 6.66, "text": "For the full year, our underlying revenue growth was in the high single digit,"}, {"path": "tedlium_30813.wav", "duration": 6.66, "text": "And in both cases, we're really trying to understand more about the kind of clients that we attract"}, {"path": "tedlium_30814.wav", "duration": 6.66, "text": "As we begin, I would like to remind participants that this conference call may contain certain forward-looking statements."}, {"path": "tedlium_30815.wav", "duration": 6.66, "text": "to increase our service capacity and to make sure that we have the best trained technicians in the industry."}, {"path": "tedlium_30816.wav", "duration": 6.66, "text": "I'm not -- I don't have great predictions of those 3 items each quarter, just"}, {"path": "tedlium_30817.wav", "duration": 6.66, "text": "Maybe if you could just talk about where we should be looking for potential reserve resource increases at the end of the year?"}, {"path": "tedlium_30818.wav", "duration": 6.66, "text": "will be between 3% to 5%, but it will be skewed towards the second half this time, much like it was"}, {"path": "tedlium_30819.wav", "duration": 6.66, "text": "and their businesses they sell into every day. So we think that, that could be a real game changer if it happens."}, {"path": "tedlium_30820.wav", "duration": 6.66, "text": "was it maintenance or downtime that caused it? Or are there other inflationary pressures we should be aware of?"}, {"path": "tedlium_30821.wav", "duration": 6.66, "text": "I think both changes were done for good reasons and will help us,"}, {"path": "tedlium_30822.wav", "duration": 6.66, "text": "for the same period in 2015. The decrease in net loss per share in the most recent quarter"}, {"path": "tedlium_30823.wav", "duration": 6.66, "text": "meaning we are the landlord of the properties operated by third-party tenants under our CoreCivic Properties portfolio."}, {"path": "tedlium_30824.wav", "duration": 6.66, "text": "But until we begin to realize the results from these initiatives, we will continue to manage expenses"}, {"path": "tedlium_30825.wav", "duration": 6.66, "text": "on the factors that can cause actual results to differ materially from those projected in any forward-looking statement."}, {"path": "tedlium_30826.wav", "duration": 6.66, "text": "Please let me share with you how we see foreign exchange impacting our fiscal '17 results."}, {"path": "tedlium_30827.wav", "duration": 6.66, "text": "And so it is just a myriad of different things, depending on the vertical market,"}, {"path": "tedlium_30828.wav", "duration": 6.66, "text": "Factors that could cause actual results and trends to differ materially are set forth in today's letter to stockholders"}, {"path": "tedlium_30829.wav", "duration": 6.66, "text": "and withdrawal of a few meaningful competitors, all point to premium growth in this area."}, {"path": "tedlium_30830.wav", "duration": 6.66, "text": "we all are in line with our own estimates when it comes to Industrial and order intake,"}, {"path": "tedlium_30831.wav", "duration": 6.66, "text": "customers that we supply private label to that we are eager to continue because it adds value for both parties."}, {"path": "tedlium_30832.wav", "duration": 6.66, "text": "Including this fiscal year, we are projecting achieving a new record high for a third consecutive year."}, {"path": "tedlium_30833.wav", "duration": 6.66, "text": "come down from the 30% or so we had in the previous years probably slowly."}, {"path": "tedlium_30834.wav", "duration": 6.66, "text": "fourth quarter, it seemed like most of the guidance increase for this year reflected"}, {"path": "tedlium_30835.wav", "duration": 6.66, "text": "More specific to our fourth quarter outlook as well, we expect our fourth quarter results will reflect"}, {"path": "tedlium_30836.wav", "duration": 6.66, "text": "And new owners typically don't. And so the default experience is not materially"}, {"path": "tedlium_30837.wav", "duration": 6.66, "text": "type of stuff going into the future. And we need to focus on deepening our relationships with those"}, {"path": "tedlium_30838.wav", "duration": 6.66, "text": "you just watch the TV and it's happening now in Europe. You can't have"}, {"path": "tedlium_30839.wav", "duration": 6.66, "text": "our conventional gas drilling program in the Netherlands and our light oil development projects in France, to name a few."}, {"path": "tedlium_30840.wav", "duration": 6.66, "text": "We continue to work closely with our partner on new customer acquisition and marketing efforts."}, {"path": "tedlium_30841.wav", "duration": 6.66, "text": "expect to see a wider age demographic and a broader definition of activity beyond just competition."}, {"path": "tedlium_30842.wav", "duration": 6.66, "text": "As a reminder, I would like to reiterate that we expect our breast product sales to remain steady in similar to 2016 levels"}, {"path": "tedlium_30843.wav", "duration": 6.66, "text": "Second, a key component of our turnaround involves reinvigorating our culture and improving our execution capabilities."}, {"path": "tedlium_30844.wav", "duration": 6.66, "text": "We no longer have any convertible debentures outstanding. And we are a company that generates a significant amount of cash flow,"}, {"path": "tedlium_30845.wav", "duration": 6.66, "text": "I would say the more normal level. And by the end of the quarter, we're back to what would be historic"}, {"path": "tedlium_30846.wav", "duration": 6.66, "text": "you. That concludes our comments. The operator will take your questions now."}, {"path": "tedlium_30847.wav", "duration": 6.66, "text": "The balance of the increase was a result of higher fourth quarter advertising, technology and donation expenses."}, {"path": "tedlium_30848.wav", "duration": 6.66, "text": "and supporting absolutely our key customers, be it our retail partners or our trade painters,"}, {"path": "tedlium_30849.wav", "duration": 6.66, "text": "While our Q1 results exceeded our plan, Red Dead Redemption 2 moving out of our fiscal year"}, {"path": "tedlium_30850.wav", "duration": 6.66, "text": "we will miss the dedication and leadership he's brought our company, and we congratulate Nick on his retirement and wish him well."}, {"path": "tedlium_30851.wav", "duration": 6.66, "text": "We'll continue to bring clinical sites online and expect 4 to 5 other sites to be initiated during November,"}, {"path": "tedlium_30852.wav", "duration": 6.66, "text": "Ladies and gentlemen, thank you for your participation. This does conclude our call for today. You may now disconnect."}, {"path": "tedlium_30853.wav", "duration": 6.66, "text": "A link to our live webcast and the slides for today's discussion are also posted on our website."}, {"path": "tedlium_30854.wav", "duration": 6.66, "text": "So what we're looking for in TRINITY is something that really changes that picture, something that shows response rates that are"}, {"path": "tedlium_30855.wav", "duration": 6.66, "text": "to start. They usually use other funding sources and so forth. So I don't think a big impact there. I think mid-size businesses"}, {"path": "tedlium_30856.wav", "duration": 6.66, "text": "Yes, Blake. It is a little bit low and it's -- it really reflects the mix effect of"}, {"path": "tedlium_30857.wav", "duration": 6.66, "text": "As previously mentioned, we've reduced our drilling to preserve capital resources and liquidity in the near term."}, {"path": "tedlium_30858.wav", "duration": 6.66, "text": "So are you saying then that the best estimate for us is to look at"}, {"path": "tedlium_30859.wav", "duration": 6.66, "text": "the need for a separate REMS would have been the exact same answers if you had asked about the previous settlements we reached"}, {"path": "tedlium_30860.wav", "duration": 6.66, "text": "In summary, strong leasing activity in our operating portfolio and continued focus on"}, {"path": "tedlium_30861.wav", "duration": 6.66, "text": "During this tenure, we've executed against a number of strategic initiatives to better ourselves as a company and as a brand."}, {"path": "tedlium_30862.wav", "duration": 6.66, "text": "x percent of sales or replacement cost, what is your thought as far as expected valuation ranges on deals?"}, {"path": "tedlium_30863.wav", "duration": 6.66, "text": "Statements made throughout this presentation are based on current estimates of future events and speak only as of today."}, {"path": "tedlium_30864.wav", "duration": 6.66, "text": "proposed rule is in the comment stage, and we do not know if these incremental changes will be sustained."}, {"path": "tedlium_30865.wav", "duration": 6.66, "text": "the price of oil will always go up but it will go down. This is what's going to happen. But I think our underlying trend of results is really"}, {"path": "tedlium_30866.wav", "duration": 6.66, "text": "What it does mean, though, is we have a very viable option, given the maturity of this SKY"}, {"path": "tedlium_30867.wav", "duration": 6.66, "text": "And it allows us to more effectively utilize an asset"}, {"path": "tedlium_30868.wav", "duration": 6.66, "text": "was an encouraging pickup in volume in the fourth quarter, reflecting the benefits of Connected 4 Growth."}, {"path": "tedlium_30869.wav", "duration": 6.66, "text": "from Spain and imported it into Dundee in the northeast of England. So that gives us a lot of more flexibility going forward."}, {"path": "tedlium_30870.wav", "duration": 6.66, "text": "So as unhappy as I am about any instability in the world anywhere, as a global citizen,"}, {"path": "tedlium_30871.wav", "duration": 6.66, "text": "analysis of takeaway capacity in projects that are announced. What I will tell you is"}, {"path": "tedlium_30872.wav", "duration": 6.66, "text": "The top half of the sales team, that is the top 40 sales professionals, generated revenue"}, {"path": "tedlium_30873.wav", "duration": 6.66, "text": "by any means, a theme for next year. We're going to have to continue to do what we do in pricing, continue to do what we do on mix,"}, {"path": "tedlium_30874.wav", "duration": 6.66, "text": "So it would be slightly more exaggerated. It would be more exaggerated in the Berkeley Point side of that equation."}, {"path": "tedlium_30875.wav", "duration": 6.66, "text": "The losses as they are today were in a way expected but not acceptable."}, {"path": "tedlium_30876.wav", "duration": 6.66, "text": "The meeting will certainly cover CMC. It's our intention to cover all aspects of the program. And"}, {"path": "tedlium_30877.wav", "duration": 6.66, "text": "this is an area where it's harder than it used to be in the past to roll forward price increases."}, {"path": "tedlium_30878.wav", "duration": 6.66, "text": "And so if the market offers good opportunities, as we saw in -- from time to time during the course of this year, we'll continue to do that."}, {"path": "tedlium_30879.wav", "duration": 6.66, "text": "Inevitably, this referendum result is having some impact on consumer confidence and on investment decisions."}, {"path": "tedlium_30880.wav", "duration": 6.66, "text": "impose a high threshold for revenue recognition, particularly for a company that is launching its first commercial product."}, {"path": "tedlium_30881.wav", "duration": 6.66, "text": "And with that, I'll turn it over to Ken to give you a little bit more detail around our financial review."}, {"path": "tedlium_30882.wav", "duration": 6.66, "text": "Fortunately, the benefits that we continue to realize from our cost down progress were able to offset the headwinds from this product"}, {"path": "tedlium_30883.wav", "duration": 6.66, "text": "I think the opposite of the case. When I look at the integrations work that"}, {"path": "tedlium_30884.wav", "duration": 6.66, "text": "They can also redirect shipments to hold at a FedEx Office or a FedEx Onsite location for pickup."}, {"path": "tedlium_30885.wav", "duration": 6.66, "text": "This has allowed us to start stability testing, which is the rate-limiting step for our planned submission."}, {"path": "tedlium_30886.wav", "duration": 6.66, "text": "pricing improvements and a mix of higher value waste streams into our disposal network."}, {"path": "tedlium_30887.wav", "duration": 6.66, "text": "being the largest in both of our markets that we've got the ability"}, {"path": "tedlium_30888.wav", "duration": 6.66, "text": "it's informing our capital recycling decisions, right? It's part of why that will always be part of our plan."}, {"path": "tedlium_30889.wav", "duration": 6.66, "text": "which reflects the fact that even on a smaller portfolio, we've leased more space,"}, {"path": "tedlium_30890.wav", "duration": 6.66, "text": "as you -- as the Telecom business continues to burn it a little bit?"}, {"path": "tedlium_30891.wav", "duration": 6.66, "text": "it. In terms of EPS, it was also a good quarter"}, {"path": "tedlium_30892.wav", "duration": 6.66, "text": "Having said that, I think my brother actually asked all my questions, but I would like some color on"}, {"path": "tedlium_30893.wav", "duration": 6.66, "text": "at a price that's not advantageous to you. So if they were shut down for maintenance"}, {"path": "tedlium_30894.wav", "duration": 6.66, "text": "I think that's where we're going to be, but I don't think we've gone out and given you a number of guidance in terms of percentage points"}, {"path": "tedlium_30895.wav", "duration": 6.66, "text": "I think we are well positioned as evidenced by the overall growth rate that we've seen in that market compared to the growth rate of downstream in Asia."}, {"path": "tedlium_30896.wav", "duration": 6.66, "text": "Our focus on online to off-line measurement throughout the year helped us capitalize on the holiday season."}, {"path": "tedlium_30897.wav", "duration": 6.66, "text": "better than the other from achieving turn rates. I think that what we know is that"}, {"path": "tedlium_30898.wav", "duration": 6.66, "text": "The discussion of each segment will provide more detail on the largest drivers that led to a decline in the consolidated results."}, {"path": "tedlium_30899.wav", "duration": 6.66, "text": "we're on the formulary now as of this week. But each individual hospitals and each individual business is going to then have to go through the paperwork"}, {"path": "tedlium_30900.wav", "duration": 6.66, "text": "as they face financial challenges and see our services as a ready source of cost savings."}, {"path": "tedlium_30901.wav", "duration": 6.66, "text": "which is expected to reduce both volume and profitability of our energy businesses."}, {"path": "tedlium_30902.wav", "duration": 6.6599375, "text": "change it, and we can't order up a new one. We have to work within it. And this investment"}, {"path": "tedlium_30903.wav", "duration": 6.63, "text": "I think we've done the right thing to get us through '17. I am"}, {"path": "tedlium_30904.wav", "duration": 6.63, "text": "as some of our competitors who are much more experienced in this area,"}, {"path": "tedlium_30905.wav", "duration": 6.63, "text": "but is also driving an increase in compensation, a trend we expect to continue throughout the year."}, {"path": "tedlium_30906.wav", "duration": 6.63, "text": "is a hereditary disorder with progressive muscle weakness and its major pathology"}, {"path": "tedlium_30907.wav", "duration": 6.63, "text": "And has employee retention been an issue and the ability to keep the workforce focused on critical programs?"}, {"path": "tedlium_30908.wav", "duration": 6.63, "text": "as we have worked through a number of issues, including the completion of the independent Audit Committee investigation,"}, {"path": "tedlium_30909.wav", "duration": 6.63, "text": "But every time we think about things, we think about it in relation to what it allows us to do strategically."}, {"path": "tedlium_30910.wav", "duration": 6.63, "text": "Would that be a separate filing per se? Or is it possible that, that could be"}, {"path": "tedlium_30911.wav", "duration": 6.63, "text": "The campaign will focus on taste and great ingredients in a way that clearly differentiates Chipotle from the competition."}, {"path": "tedlium_30912.wav", "duration": 6.63, "text": "Now talk about crazy. I think that is a world record of not making any sense."}, {"path": "tedlium_30913.wav", "duration": 6.63, "text": "will continue to stay flat. As I said, the reduction recently in last quarter"}, {"path": "tedlium_30914.wav", "duration": 6.63, "text": "we see that the demand is increasing as well in South America right now based on price of copper"}, {"path": "tedlium_30915.wav", "duration": 6.63, "text": "The strong cash generation has enabled us to further improve our balance sheet,"}, {"path": "tedlium_30916.wav", "duration": 6.63, "text": "although we do expect this to be greater than 1% again in the second quarter, which is similar to the first quarter."}, {"path": "tedlium_30917.wav", "duration": 6.63, "text": "So we appreciate your continuing support of Reis. And thank you, and have a good day."}, {"path": "tedlium_30918.wav", "duration": 6.63, "text": "for the most part, the focus now is on generating revenue. And as you can see,"}, {"path": "tedlium_30919.wav", "duration": 6.63, "text": "So the market actually comes down 14%, but if you look at the purchase market, it goes up."}, {"path": "tedlium_30920.wav", "duration": 6.63, "text": "So what this lets us do is print on that film that is turned into the bags for the food or medical products, wherever they might be."}, {"path": "tedlium_30921.wav", "duration": 6.63, "text": "We continue to work with local providers in innovative ways to supplement our contracted provider network."}, {"path": "tedlium_30922.wav", "duration": 6.63, "text": "and I will come to that in more detail if you flip the page, please."}, {"path": "tedlium_30923.wav", "duration": 6.63, "text": "And also, can you update us on any modifications we've seen here in corporate governance? I may have missed that point."}, {"path": "tedlium_30924.wav", "duration": 6.63, "text": "due primarily to the support of marketing initiatives, increased labor expense and the filling of vacant positions in the field."}, {"path": "tedlium_30925.wav", "duration": 6.63, "text": "when a larger agency was having some system difficulties and halted funding and paying awards."}, {"path": "tedlium_30926.wav", "duration": 6.63, "text": "while we had very positive peak volume coming from Indonesia and the Taiwan."}, {"path": "tedlium_30927.wav", "duration": 6.63, "text": "the modernization of the chemistry as well as the bridge or comparators to"}, {"path": "tedlium_30928.wav", "duration": 6.63, "text": "The decrease was driven primarily by lower sales to our Alternative Carrier, wireless and cable TV customers."}, {"path": "tedlium_30929.wav", "duration": 6.63, "text": "Actually, many small players thrive in this kind of cities."}, {"path": "tedlium_30930.wav", "duration": 6.63, "text": "more efficient local organizations and local synergies. As you can see on this slide,"}, {"path": "tedlium_30931.wav", "duration": 6.63, "text": "driven by a cyclical upswing? Or are these businesses really stronger than you expected a couple of years ago?"}, {"path": "tedlium_30932.wav", "duration": 6.63, "text": "was not quite easy for me to get your first question. Could you maybe repeat the point?"}, {"path": "tedlium_30933.wav", "duration": 6.63, "text": "we have to continue to refresh. The premiums are called that for a reason and they get a premium price."}, {"path": "tedlium_30934.wav", "duration": 6.63, "text": "With that now, I would like to turn the call back to Sam, who'll provide more detail on our financial performance"}, {"path": "tedlium_30935.wav", "duration": 6.63, "text": "So I think there's certainly some opportunity to see some enhanced growth on the consumer side."}, {"path": "tedlium_30936.wav", "duration": 6.63, "text": "a large part of that was also due to the growth of Losango, who"}, {"path": "tedlium_30937.wav", "duration": 6.63, "text": "Significant improvement in selling costs, and this is because of new contracts being agreed"}, {"path": "tedlium_30938.wav", "duration": 6.63, "text": "But that takes some time, which is why we've been reiterating the point that this is in all likelihood"}, {"path": "tedlium_30939.wav", "duration": 6.63, "text": "You may also visit the company's website at freshdelmonte.com for a copy of today's release,"}, {"path": "tedlium_30940.wav", "duration": 6.63, "text": "Before I move away from subscriber trends, I want to reiterate a statement that I've made many times based on the data and trends we're seeing."}, {"path": "tedlium_30941.wav", "duration": 6.63, "text": "So I think the potential for additional work force"}, {"path": "tedlium_30942.wav", "duration": 6.63, "text": "This year's record shipments will further expand our services opportunity next year."}, {"path": "tedlium_30943.wav", "duration": 6.63, "text": "And we are also continuing with geographical expansion, and you might recall potentially that we"}, {"path": "tedlium_30944.wav", "duration": 6.63, "text": "We continue to make progress against our strategic initiatives and move forward in our transformation."}, {"path": "tedlium_30945.wav", "duration": 6.63, "text": "from what we had when we originally rolled out the assumptions around the consolidation transaction such that"}, {"path": "tedlium_30946.wav", "duration": 6.63, "text": "Please note that our conference call today will contain references to financial measures such as funds from operations,"}, {"path": "tedlium_30947.wav", "duration": 6.63, "text": "medallion portfolio due to the sale. So in our core commercial businesses, the corporate banking business"}, {"path": "tedlium_30948.wav", "duration": 6.63, "text": "We're strengthening the foundations of this business by shoring up its major brands"}, {"path": "tedlium_30949.wav", "duration": 6.63, "text": "Meanwhile, in Europe, we have begun test marketing in England and other countries."}, {"path": "tedlium_30950.wav", "duration": 6.63, "text": "And I was wondering, if you can look at your loan book and look at great opportunities that you have at independent third parties,"}, {"path": "tedlium_30951.wav", "duration": 6.63, "text": "that we will be bringing that traffic on. Some of it was during the second quarter, but the rest of it during the third quarter."}, {"path": "tedlium_30952.wav", "duration": 6.63, "text": "What -- did that have any impact on your -- or what impact did it have on your revenue per requisition, if any?"}, {"path": "tedlium_30953.wav", "duration": 6.63, "text": "Recruiting, hiring and training the people for rigs and pressure pumping spreads is a large undertaking."}, {"path": "tedlium_30954.wav", "duration": 6.63, "text": "allowing us to optimize our textbook sourcing, purchasing and liquidation process."}, {"path": "tedlium_30955.wav", "duration": 6.63, "text": "If we got to launch the new products where we have product gaps as we've talked about in the past and get those into full launch, that needs to happen."}, {"path": "tedlium_30956.wav", "duration": 6.63, "text": "particularly at a time where there is not significant excess capacity in the industry."}, {"path": "tedlium_30957.wav", "duration": 6.63, "text": "I will now turn the call back to Dustin, for some additional color on our markets, our benchmark homebuilding brand,"}, {"path": "tedlium_30958.wav", "duration": 6.63, "text": "have added some personnel to help fulfill some of the more recent demand that we've had"}, {"path": "tedlium_30959.wav", "duration": 6.63, "text": "I think, the difference would be we knew that there was the potential for some weakness in the market. We could see what was happening to everybody else"}, {"path": "tedlium_30960.wav", "duration": 6.63, "text": "I feel like we actually performed very well on the hedging side and overall effectiveness"}, {"path": "tedlium_30961.wav", "duration": 6.63, "text": "Investments to deepen our regional capabilities and to develop new technologies and services were important in the past year."}, {"path": "tedlium_30962.wav", "duration": 6.63, "text": "Before we begin, I'd like to inform you that comments mentioned on today's call may be deemed to contain forward-looking statements."}, {"path": "tedlium_30963.wav", "duration": 6.63, "text": "In short, the overall market environment remains favorable and the onus is on us to execute."}, {"path": "tedlium_30964.wav", "duration": 6.63, "text": "The third quarter saw the largest volume of Cornerstone HR wins in the company's history,"}, {"path": "tedlium_30965.wav", "duration": 6.63, "text": "Yes, I wouldn't think of it as reorganizing the sales force. I would more think of it as adding,"}, {"path": "tedlium_30966.wav", "duration": 6.63, "text": "while I think that, that advertising is a model that will continue to be successful and digital advertising well,"}, {"path": "tedlium_30967.wav", "duration": 6.63, "text": "And we had previously spent most of our time looking at competitors. But now,"}, {"path": "tedlium_30968.wav", "duration": 6.63, "text": "Most of the money -- all the money will get spent this quarter, but they may come in late December, even potentially into early January."}, {"path": "tedlium_30969.wav", "duration": 6.63, "text": "going to -- and others in New York Fries by the end of the year, I think all banners will be"}, {"path": "tedlium_30970.wav", "duration": 6.63, "text": "Through October and the first week of November, we have continued to see increased occupancy levels from ICE."}, {"path": "tedlium_30971.wav", "duration": 6.63, "text": "The bottom line is that we continue to gain share in virtually every market where we do business domestically and around the world"}, {"path": "tedlium_30972.wav", "duration": 6.63, "text": "outcome of an event, timing and performance to differ materially from those expressed or implied by such statement."}, {"path": "tedlium_30973.wav", "duration": 6.63, "text": "Reflected in the lower left is the change in the mix of earning assets. As a result of this mix shift,"}, {"path": "tedlium_30974.wav", "duration": 6.63, "text": "With the continued focus on investment in the brand against the backdrop of strong LINZESS revenue growth,"}, {"path": "tedlium_30975.wav", "duration": 6.63, "text": "So Yara is -- they're sort of in conversations with the government, and we expect that to be"}, {"path": "tedlium_30976.wav", "duration": 6.63, "text": "of 2016. So now let's take a look at the performance of each of our business units."}, {"path": "tedlium_30977.wav", "duration": 6.63, "text": "So major growth and the base case organic growth of the corporation in the energy business."}, {"path": "tedlium_30978.wav", "duration": 6.63, "text": "But you also know that our strategy is we want to do the same with other substrates right? So that is more"}, {"path": "tedlium_30979.wav", "duration": 6.63, "text": "Rate is not an issue. Market rate is not an issue. Right now, the issue that we're working on is cost,"}, {"path": "tedlium_30980.wav", "duration": 6.63, "text": "Before we begin the substance of the call, I'll start by stating that in accordance to the safe harbor provision"}, {"path": "tedlium_30981.wav", "duration": 6.63, "text": "which was completed during the third quarter, and year-over-year impact of new destinations across the Pacific."}, {"path": "tedlium_30982.wav", "duration": 6.63, "text": "and hope that such a meeting can occur early in 2018, ideally in the January time frame."}, {"path": "tedlium_30983.wav", "duration": 6.63, "text": "to the stores. But then the constant shift to online is an ongoing conversation."}, {"path": "tedlium_30984.wav", "duration": 6.63, "text": "Turning to Slide 15. International Insurance sales on a constant basis"}, {"path": "tedlium_30985.wav", "duration": 6.63, "text": "The most -- with the final order that we received in the second quarter on the previous tracker periods,"}, {"path": "tedlium_30986.wav", "duration": 6.63, "text": "The last few months have been a frustrating time for our shareholders, as we see our valuation go down."}, {"path": "tedlium_30987.wav", "duration": 6.63, "text": "we end up protecting ourselves and alleviating any of the fluctuation that can occur"}, {"path": "tedlium_30988.wav", "duration": 6.63, "text": "as we took a proactive approach to resolve positions within our small portfolio of loans to oil and gas producers."}, {"path": "tedlium_30989.wav", "duration": 6.63, "text": "And we believe we will quickly complete a transaction without any financing conditions."}, {"path": "tedlium_30990.wav", "duration": 6.63, "text": "they see their ability to move patients to the outpatient marketplace based on patient"}, {"path": "tedlium_30991.wav", "duration": 6.63, "text": "The key drivers of the improvement were higher interest rates, a higher average margin balance and better investment yields."}, {"path": "tedlium_30992.wav", "duration": 6.63, "text": "I do appreciate all the detail you guys gave on some of the differentiated tools that you've been rolling out. And so I'm just trying to think about,"}, {"path": "tedlium_30993.wav", "duration": 6.63, "text": "So free cash flow was a very important part of our performance for the second quarter."}, {"path": "tedlium_30994.wav", "duration": 6.63, "text": "We appreciate you joining us for today's call, and we look forward to speaking to you again next quarter."}, {"path": "tedlium_30995.wav", "duration": 6.63, "text": "What is also true is that the inflationary environment is clearly not behind us."}, {"path": "tedlium_30996.wav", "duration": 6.63, "text": "research and development goals of Array and its collaborators and future financial performance of Array."}, {"path": "tedlium_30997.wav", "duration": 6.63, "text": "Finally, our value enhancement initiatives continue to be on track and give us confidence that the margin contraction will rebound."}, {"path": "tedlium_30998.wav", "duration": 6.63, "text": "observed a higher pacemaker rate and one would expect that this trial having been completed"}, {"path": "tedlium_30999.wav", "duration": 6.63, "text": "as you're exiting the third quarter, now to the fourth quarter relative to earlier in the third quarter period?"}, {"path": "tedlium_31000.wav", "duration": 6.63, "text": "These efficiencies have supported our increased marketing and development without unduly impairing our margins."}, {"path": "tedlium_31001.wav", "duration": 6.63, "text": "fair margin. It goes back to our whole investment thesis in Central Europe, which is"}, {"path": "tedlium_31002.wav", "duration": 6.63, "text": "when we see a material move in the international rig count level,"}, {"path": "tedlium_31003.wav", "duration": 6.63, "text": "a change in the way that Chart does business in one or any of the segments?"}, {"path": "tedlium_31004.wav", "duration": 6.63, "text": "During the quarter, we executed several master service agreements with large midstream and petrochemical companies."}, {"path": "tedlium_31005.wav", "duration": 6.63, "text": "On Page 15, we recapped return on average equity and capitalization trends."}, {"path": "tedlium_31006.wav", "duration": 6.63, "text": "in this environment. So we are working on development of some of those products"}, {"path": "tedlium_31007.wav", "duration": 6.63, "text": "And then just with respect to '19, I don't think we're in position to talk about specifics on"}, {"path": "tedlium_31008.wav", "duration": 6.63, "text": "we will continue to be more aggressive in returning capital to our shareholders while continuing to reinvest in our business."}, {"path": "tedlium_31009.wav", "duration": 6.63, "text": "I will now turn the call back to Ken to go into more detail on our operations during the quarter."}, {"path": "tedlium_31010.wav", "duration": 6.63, "text": "We believe we are well positioned as we begin the final quarter of the year."}, {"path": "tedlium_31011.wav", "duration": 6.63, "text": "This base of recurring payment processing revenue provides stable ongoing revenue from which to grow the business."}, {"path": "tedlium_31012.wav", "duration": 6.63, "text": "While electric sales in the first quarter were below expectations, we expect sales to improve in the second half of the year,"}, {"path": "tedlium_31013.wav", "duration": 6.63, "text": "We see demand for chocolate increasing with higher income per capita in those areas."}, {"path": "tedlium_31014.wav", "duration": 6.63, "text": "The company assumes no obligation to update any projections or forward-looking statements except as required by law."}, {"path": "tedlium_31015.wav", "duration": 6.63, "text": "But enough to sort of demonstrate some of the things that we're doing that are out of the box compared to the"}, {"path": "tedlium_31016.wav", "duration": 6.63, "text": "I don't know, a few months ago? Is there something that's obvious that would have changed in those markets in June?"}, {"path": "tedlium_31017.wav", "duration": 6.63, "text": "do what we believe is going to be a strong year. We're off to a good start. We look forward to seeing all of you in New York in May,"}, {"path": "tedlium_31018.wav", "duration": 6.63, "text": "Living Proof and Hourglass are both growing at double digits and will begin to contribute to underlying sales growth"}, {"path": "tedlium_31019.wav", "duration": 6.63, "text": "I'm particularly pleased with the progress we are making executing our strategy."}, {"path": "tedlium_31020.wav", "duration": 6.63, "text": "If you'll turn to Slide 9, I'll cover some operational highlights from the rest of the portfolio."}, {"path": "tedlium_31021.wav", "duration": 6.63, "text": "Importantly, we continue to see years of runway in frozen and expect the space to benefit"}, {"path": "tedlium_31022.wav", "duration": 6.63, "text": "That's a very good question, Diego. We have no restrictions"}, {"path": "tedlium_31023.wav", "duration": 6.63, "text": "excluding the incremental inventory associated with our AGRAM acquisition in Germany."}, {"path": "tedlium_31024.wav", "duration": 6.63, "text": "before we are able to really get to the point where we're offsetting the inflation that we're seeing."}, {"path": "tedlium_31025.wav", "duration": 6.63, "text": "continuing to deliver more gold than the reserve model suggested."}, {"path": "tedlium_31026.wav", "duration": 6.63, "text": "we continue to believe very strongly that Maine holds great promise"}, {"path": "tedlium_31027.wav", "duration": 6.63, "text": "band? Is that what we should be thinking about in terms of what your forecast include with the state utilities?"}, {"path": "tedlium_31028.wav", "duration": 6.63, "text": "But we reflect all of our biases in the price expectations, and I think that speaks for itself."}, {"path": "tedlium_31029.wav", "duration": 6.63, "text": "After accounting for all fees, rebates and other discounts, the net sales price that we expect to recognize"}, {"path": "tedlium_31030.wav", "duration": 6.63, "text": "In summary, we are confident in our strategic direction and are staying focused on building a flywheel business"}, {"path": "tedlium_31031.wav", "duration": 6.63, "text": "I think everyone is filling up nicely. I think there's enough work to go around. I think we're"}, {"path": "tedlium_31032.wav", "duration": 6.63, "text": "I will also cover a few components of our revenue and segment profits that were not in our earnings release yesterday."}, {"path": "tedlium_31033.wav", "duration": 6.63, "text": "We continue to focus on addressing our performance challenges at certain CIS locations and on driving operational improvements."}, {"path": "tedlium_31034.wav", "duration": 6.63, "text": "they are not guarantees of future performance and a variety of factors could cause actual results to differ materially."}, {"path": "tedlium_31035.wav", "duration": 6.63, "text": "our merchandising plan and becoming more aggressive, particularly when we look at conventional promoted price points"}, {"path": "tedlium_31036.wav", "duration": 6.63, "text": "that will be more heavily weighted to the first half because most of that FX change took place in the second half of last year."}, {"path": "tedlium_31037.wav", "duration": 6.63, "text": "We will continue to take a long-term approach to capital allocation, focusing on strong capital projects"}, {"path": "tedlium_31038.wav", "duration": 6.63, "text": "to really selling the most differentiated, the most sophisticated of products, which, as you could imagine,"}, {"path": "tedlium_31039.wav", "duration": 6.63, "text": "Over the past few years, we've leveraged our relationships with the primes as well as our sales strategies,"}, {"path": "tedlium_31040.wav", "duration": 6.63, "text": "This is in line with the guidance we provided in February of a flat to 2% decline on a reported basis."}, {"path": "tedlium_31041.wav", "duration": 6.63, "text": "A copy of the earnings disclosure is available on their website and includes cautionary language about forward-looking statements,"}, {"path": "tedlium_31042.wav", "duration": 6.63, "text": "The other thing I would say is that if you've been watching the Canadian heavy closely,"}, {"path": "tedlium_31043.wav", "duration": 6.63, "text": "it might not be -- have a big impact. But we certainly expect it to have a big impact in our ability to continue"}, {"path": "tedlium_31044.wav", "duration": 6.63, "text": "implying higher expenditure with planting and tilling, on top of investments in health, safety and environment."}, {"path": "tedlium_31045.wav", "duration": 6.63, "text": "there needs to be a recomposition. Now the growth in business, I still believe,"}, {"path": "tedlium_31046.wav", "duration": 6.63, "text": "We borrowed on our revolver to pay the dividend and anticipate repayment of those funds from fourth quarter cash receipts."}, {"path": "tedlium_31047.wav", "duration": 6.63, "text": "We remain excited about the future of our company and the value proposition we bring to investors."}, {"path": "tedlium_31048.wav", "duration": 6.63, "text": "But certainly, as we've gotten questions about what do we think about the targets we have out there for the Platinum Vision,"}, {"path": "tedlium_31049.wav", "duration": 6.63, "text": "some of our specialty consulting areas on the core accounting side. And we're also seeing"}, {"path": "tedlium_31050.wav", "duration": 6.63, "text": "This paragraph emphasizes the major uncertainties and risks in the forward-looking statements we will make this morning."}, {"path": "tedlium_31051.wav", "duration": 6.63, "text": "cost of goods that we have, we're making sure that our pricing actions are not only in line but"}, {"path": "tedlium_31052.wav", "duration": 6.6299375, "text": "Hopefully, you've had an opportunity to review our press release and the related slide presentation released last night."}, {"path": "tedlium_31053.wav", "duration": 6.6000625, "text": "In particular, we are putting considerable effort into the development of human resources,"}, {"path": "tedlium_31054.wav", "duration": 6.6, "text": "that means we don't believe in our private portfolio. I don't believe in -- we don't believe that continuing doing what we were doing"}, {"path": "tedlium_31055.wav", "duration": 6.6, "text": "The elimination of a drop in the water rate in the back half of the term of the water supply agreement."}, {"path": "tedlium_31056.wav", "duration": 6.6, "text": "Adopting the new standard will not have a material effect on our financial results for the year."}, {"path": "tedlium_31057.wav", "duration": 6.6, "text": "Dan has had 2 successful years leading the IR team and will soon be transitioning to a new role."}, {"path": "tedlium_31058.wav", "duration": 6.6, "text": "earlier in the year, although the average didn't move all that much and capital levels do remain strong so"}, {"path": "tedlium_31059.wav", "duration": 6.6, "text": "And while cruise will have more operational days in the current 2019 financial year,"}, {"path": "tedlium_31060.wav", "duration": 6.6, "text": "I'd like to take some time to explain how those efforts align with current areas of secular industry growth."}, {"path": "tedlium_31061.wav", "duration": 6.6, "text": "that we have to focus that the CPT code is paid so that they adopt. So"}, {"path": "tedlium_31062.wav", "duration": 6.6, "text": "your own ability to produce film and the potential down the road to have greater film"}, {"path": "tedlium_31063.wav", "duration": 6.6, "text": "And in fact, there is nothing new to be added here. All the factors have contributed,"}, {"path": "tedlium_31064.wav", "duration": 6.6, "text": "the opportunity for us to capture the growth is the driving opportunity."}, {"path": "tedlium_31065.wav", "duration": 6.6, "text": "But yes, if this is something that could have been done better, certainly, it could have been done more conservatively. It could have been more planned."}, {"path": "tedlium_31066.wav", "duration": 6.6, "text": "Now I will turn it back to Phil for some final comments. Thanks, Brent."}, {"path": "tedlium_31067.wav", "duration": 6.6, "text": "from those described or implied in those forward-looking statements. These statements are based on currently available information"}, {"path": "tedlium_31068.wav", "duration": 6.6, "text": "All of this would not have been possible without our hard-working and dedicated employees."}, {"path": "tedlium_31069.wav", "duration": 6.6, "text": "Yes. Ole, I know you know a lot of drilling contractors and you know they're very good at tapping the brakes"}, {"path": "tedlium_31070.wav", "duration": 6.6, "text": "One particular pipe service has grown through the past several decades to become a tremendous NOV franchise."}, {"path": "tedlium_31071.wav", "duration": 6.6, "text": "more than offsetting continued challenges in offshore market and other international land markets that remain stagnant."}, {"path": "tedlium_31072.wav", "duration": 6.6, "text": "As we look at the fourth quarter numbers, we can see the impact of several different events."}, {"path": "tedlium_31073.wav", "duration": 6.6, "text": "Now let me take these in order. First, we told you the progress in Puerto Rico would take time,"}, {"path": "tedlium_31074.wav", "duration": 6.6, "text": "That being said, while our variable cost model allows us to take action to reduce costs,"}, {"path": "tedlium_31075.wav", "duration": 6.6, "text": "One of our associates took first place in the challenge, and 6 of the 9 finalists came from Cable ONE."}, {"path": "tedlium_31076.wav", "duration": 6.6, "text": "additional and continuing opportunities in business development to enhance our pipeline"}, {"path": "tedlium_31077.wav", "duration": 6.6, "text": "I wonder if you could elaborate on why this increase is occurring?"}, {"path": "tedlium_31078.wav", "duration": 6.6, "text": "I think those things are reasons why we need to be very cautious when we enter those -- if we enter those markets,"}, {"path": "tedlium_31079.wav", "duration": 6.6, "text": "of the overall power pricing environment in ERCOT is that low power prices are being driven by lower heat rates,"}, {"path": "tedlium_31080.wav", "duration": 6.6, "text": "This ongoing success in our enterprise business continues to be driven by 6 key factors."}, {"path": "tedlium_31081.wav", "duration": 6.6, "text": "to work together with Sandd people to further detail out our implementation plan."}, {"path": "tedlium_31082.wav", "duration": 6.6, "text": "Our utilities remained among the very best for customer satisfaction in the regions we serve."}, {"path": "tedlium_31083.wav", "duration": 6.6, "text": "As a result of the acceleration in the fourth quarter, we ended the year with over 10,000 supplier connections,"}, {"path": "tedlium_31084.wav", "duration": 6.6, "text": "Today, we announced an additional effort to achieve further cash interest savings on our term loan."}, {"path": "tedlium_31085.wav", "duration": 6.6, "text": "and probably a large portion of some of the challenges that, that business saw in the third quarter."}, {"path": "tedlium_31086.wav", "duration": 6.6, "text": "both of which more than offset the cost of ramping up our operations and the wage inflation that is taking place across the industry."}, {"path": "tedlium_31087.wav", "duration": 6.6, "text": "And listening to what you said, it sounds like a bit of a hope strategy that you can reprice and everybody else stumbles a bit."}, {"path": "tedlium_31088.wav", "duration": 6.6, "text": "will continue with a supplementary explanation on specific points of this period's results."}, {"path": "tedlium_31089.wav", "duration": 6.6, "text": "One example of this is our newly formed Specialty Products segment, which we'll discuss later."}, {"path": "tedlium_31090.wav", "duration": 6.6, "text": "it's a seasonally slow quarter for us in Florida. And we had some cases where, in this quarter,"}, {"path": "tedlium_31091.wav", "duration": 6.6, "text": "primarily driven by the addition of Newgistics, which was not in our results last year and accounts for 6 points of the drop."}, {"path": "tedlium_31092.wav", "duration": 6.6, "text": "quite halfway into our drilling program. We had very good results, and we don't see the need to finish that program"}, {"path": "tedlium_31093.wav", "duration": 6.6, "text": "help us realize our strategy of applying our GalXC technology across the fields of rare diseases,"}, {"path": "tedlium_31094.wav", "duration": 6.6, "text": "Can I just follow on that -- for your mobile campaign. Most of the cost is sunk or fixed."}, {"path": "tedlium_31095.wav", "duration": 6.6, "text": "We're a company that's shown that we can put money into the market to acquire something and generate value after that."}, {"path": "tedlium_31096.wav", "duration": 6.6, "text": "they have requirements to make sure that these things really do work. They don't have a lot of resources to"}, {"path": "tedlium_31097.wav", "duration": 6.6, "text": "good news for the water French business. It means that a lot of people"}, {"path": "tedlium_31098.wav", "duration": 6.6, "text": "In September, we gave guidance for our business outlook for the balance of the fiscal year."}, {"path": "tedlium_31099.wav", "duration": 6.6, "text": "which has a higher cost of reinsurance, and conversely, a lower loss ratio than personal residential business."}, {"path": "tedlium_31100.wav", "duration": 6.6, "text": "Based on the midpoint of this guidance, we would expect to achieve our 11th consecutive year of earnings growth."}, {"path": "tedlium_31101.wav", "duration": 6.6, "text": "the weather and supply situation in the New England area, which is"}, {"path": "tedlium_31102.wav", "duration": 6.6, "text": "and preparing for the trial in June on Phase 1 of the case around whether the termination was proper."}, {"path": "tedlium_31103.wav", "duration": 6.6, "text": "we're cautiously optimistic that this is going to be better than it has been and we'll see how it turns out, but"}, {"path": "tedlium_31104.wav", "duration": 6.6, "text": "At the end of the quarter, nonaccruals as a percentage of the total portfolio at cost"}, {"path": "tedlium_31105.wav", "duration": 6.6, "text": "On that note, I'd like to turn the call over to Bill to discuss our financial results during the quarter."}, {"path": "tedlium_31106.wav", "duration": 6.6, "text": "continued drag in the first and second quarter and then be somewhat neutral later in the year."}, {"path": "tedlium_31107.wav", "duration": 6.6, "text": "Additionally, robust water and gas gathering infrastructure is driving down operating costs."}, {"path": "tedlium_31108.wav", "duration": 6.6, "text": "As for the VLCCs, we expect earnings on these vessels to be significantly stronger in the fourth quarter."}, {"path": "tedlium_31109.wav", "duration": 6.6, "text": "or entering into consideration when the -- we have an opportunity"}, {"path": "tedlium_31110.wav", "duration": 6.6, "text": "But as you've heard me say at least a few times before, our financial results really don't tell our story very well just yet."}, {"path": "tedlium_31111.wav", "duration": 6.6, "text": "while maintaining the resources necessary to support our ongoing liquidity needs."}, {"path": "tedlium_31112.wav", "duration": 6.6, "text": "At EagleBank, we focus on average balances because they are really what impact revenue over that period."}, {"path": "tedlium_31113.wav", "duration": 6.6, "text": "The new Medicaid regulations further strengthen the importance of independence in these programs."}, {"path": "tedlium_31114.wav", "duration": 6.6, "text": "We also feel good about our continued progress with our strategic priority to reduce the company's leverage."}, {"path": "tedlium_31115.wav", "duration": 6.6, "text": "but it will not be a lot. It is a structural change that is supposed to last."}, {"path": "tedlium_31116.wav", "duration": 6.6, "text": "markets by region? Do you prioritize certain banners ? And how much of the process do you own versus the franchisees?"}, {"path": "tedlium_31117.wav", "duration": 6.6, "text": "and following the trend we experienced late in the second quarter through the third quarter and so far into the fourth quarter."}, {"path": "tedlium_31118.wav", "duration": 6.6, "text": "Guinness' momentum continues. The brand is growing in Africa and in Great Britain and Ireland,"}, {"path": "tedlium_31119.wav", "duration": 6.6, "text": "or making life easier with easy cocktail recipes or enticing bar recommendations."}, {"path": "tedlium_31120.wav", "duration": 6.6, "text": "when you look at 2018, you're looking at the absence of ConExpo. You're looking at the absence of this accounting issue"}, {"path": "tedlium_31121.wav", "duration": 6.6, "text": "launches of the product for maybe consumers that haven't seen it. So it's not an easy task,"}, {"path": "tedlium_31122.wav", "duration": 6.6, "text": "a more stable development when it comes to order intake overall."}, {"path": "tedlium_31123.wav", "duration": 6.6, "text": "We will aim for increased revenues and income by taking advantage of the strengths of the low-cost structure"}, {"path": "tedlium_31124.wav", "duration": 6.6, "text": "We expect this capacity to be available in 2017 and help us meet the needs of our customers in a growing market."}, {"path": "tedlium_31125.wav", "duration": 6.6, "text": "and work with our collaborative partners, we have also made some key additions to our board and leadership team."}, {"path": "tedlium_31126.wav", "duration": 6.6, "text": "These investments were consistent with our strategy of focusing on companies that have positive long-term outlooks,"}, {"path": "tedlium_31127.wav", "duration": 6.6, "text": "systems that we're rolling out in Hotel Group are going to have some really positive impacts. And those aren't felt immediately,"}, {"path": "tedlium_31128.wav", "duration": 6.6, "text": "As you all know, the entire global economy appears to be slowing. More specifically to us,"}, {"path": "tedlium_31129.wav", "duration": 6.6, "text": "We're working on the images of our stations and see good increases on"}, {"path": "tedlium_31130.wav", "duration": 6.6, "text": "And all this happened while reducing operating expenses to maintain our commitment to fiscal responsibility."}, {"path": "tedlium_31131.wav", "duration": 6.6, "text": "we can provide FirstNet quality services on our existing LTE network"}, {"path": "tedlium_31132.wav", "duration": 6.6, "text": "we're looking forward to trying to get that space completely subleased so that we can stop that"}, {"path": "tedlium_31133.wav", "duration": 6.6, "text": "For the full year, we are on track to generate positive adjusted EBITDA at the high end of our guidance range."}, {"path": "tedlium_31134.wav", "duration": 6.6, "text": "all the customers. We have experienced some headwinds in terms of increased raw material"}, {"path": "tedlium_31135.wav", "duration": 6.6, "text": "was pretty strongly positive. I guess how you are thinking a kind of a normalized level moving into the second half, and what was the biggest"}, {"path": "tedlium_31136.wav", "duration": 6.6, "text": "We'll be meeting with investors in the coming months. And we look forward to updating you on our progress"}, {"path": "tedlium_31137.wav", "duration": 6.6, "text": "I think we can all agree that the opportunity in our existing customer base is already quite substantial."}, {"path": "tedlium_31138.wav", "duration": 6.6, "text": "for our repayments. And on the contrary, of all those discussions, I am glad to mention that"}, {"path": "tedlium_31139.wav", "duration": 6.6, "text": "which further translates to an indicator of success on our path forward."}, {"path": "tedlium_31140.wav", "duration": 6.6, "text": "We generated very strong levels of gross profit and operating income as well as gross and operating margins."}, {"path": "tedlium_31141.wav", "duration": 6.6, "text": "The total number of Venmo users who have made a monetizable transaction"}, {"path": "tedlium_31142.wav", "duration": 6.6, "text": "Good morning, my name is Leandra, and I will be your conference operator today."}, {"path": "tedlium_31143.wav", "duration": 6.6, "text": "going very quickly and very rapidly. They are expanding the amount of linear footage in the stores"}, {"path": "tedlium_31144.wav", "duration": 6.6, "text": "There is much in flight and much to be excited about surrounding this new channel, which I'll cover in a bit."}, {"path": "tedlium_31145.wav", "duration": 6.6, "text": "the patient count up as high as possible, as responsibly as possible, so that we know when you run your models,"}, {"path": "tedlium_31146.wav", "duration": 6.6, "text": "instead buying back shares versus retaining capital to keep your powder dry for future investments, knowing that"}, {"path": "tedlium_31147.wav", "duration": 6.6, "text": "things become normalized again. That's a cycle that we visit every year. And if you look at our trends over the last"}, {"path": "tedlium_31148.wav", "duration": 6.6, "text": "to drive sales productivity and profitability growth for many years into the future."}, {"path": "tedlium_31149.wav", "duration": 6.6, "text": "and particularly as we think about turning cold tumors hot and potentially combining such therapy with"}, {"path": "tedlium_31150.wav", "duration": 6.6, "text": "positive surprise but as well all other markets were doing well. Now"}, {"path": "tedlium_31151.wav", "duration": 6.6, "text": "here in some really high potential, unique opportunities, I think it really talks to"}, {"path": "tedlium_31152.wav", "duration": 6.6, "text": "and some of the stability we've been able to add over the past few quarters. Despite the fact, we"}, {"path": "tedlium_31153.wav", "duration": 6.6, "text": "how comfortable are you -- or I guess how much have you been able to vet of the company? And"}, {"path": "tedlium_31154.wav", "duration": 6.6, "text": "We think that this level is both competitive in this environment and, indeed, sustainable in the long term."}, {"path": "tedlium_31155.wav", "duration": 6.6, "text": "You're going to have to exclude some of the severance that's associated today with that,"}, {"path": "tedlium_31156.wav", "duration": 6.6, "text": "and the broadening of our customer reach into the middle ring markets through the ramp-up of our medium density initiative."}, {"path": "tedlium_31157.wav", "duration": 6.6, "text": "so sand really hasn't been a big issue for us. I was looking at some data the other day comparing"}, {"path": "tedlium_31158.wav", "duration": 6.6, "text": "the trends of the first quarter continued in all traffic regions with no major changes."}, {"path": "tedlium_31159.wav", "duration": 6.6, "text": "A strong increase and ongoing increase in consumer demand for sure has its effect on airfreight."}, {"path": "tedlium_31160.wav", "duration": 6.6, "text": "and very achievable before normal levels of downtime are taken into consideration."}, {"path": "tedlium_31161.wav", "duration": 6.6, "text": "This impact was partially offset by an increase in price mix before retailer marketing investments"}, {"path": "tedlium_31162.wav", "duration": 6.6, "text": "that we sell into. And I think more than anything, what we need is we need predictability. And I think"}, {"path": "tedlium_31163.wav", "duration": 6.6, "text": "because it does have an economic value. And it does often translate into a monetized value that"}, {"path": "tedlium_31164.wav", "duration": 6.6, "text": "This change of mix is contributing to the gradual reduction in the total cost of retail deposits."}, {"path": "tedlium_31165.wav", "duration": 6.6, "text": "the services drop. We were not able to adjust their spend quick enough to keep the margin,"}, {"path": "tedlium_31166.wav", "duration": 6.6, "text": "we provide a great market channel for that technology to all of our licensees. And"}, {"path": "tedlium_31167.wav", "duration": 6.6, "text": "many of which already have a presence in these markets and have the opportunity to drive success more quickly."}, {"path": "tedlium_31168.wav", "duration": 6.6, "text": "and a collection of content that grows and evolves all the time. This remains healthy and robust."}, {"path": "tedlium_31169.wav", "duration": 6.6, "text": "we have not yet had clarity that would say that the right solution is to connect the basins."}, {"path": "tedlium_31170.wav", "duration": 6.6, "text": "The foreign exchange benefit for the year creates a meaningful headwind to the DSA operating margin"}, {"path": "tedlium_31171.wav", "duration": 6.6, "text": "as we continue to see demand from both large biologics and emerging biologic customers."}, {"path": "tedlium_31172.wav", "duration": 6.6, "text": "On today's call, I will discuss our third quarter results, including an update on our business segments and strategic initiatives."}, {"path": "tedlium_31173.wav", "duration": 6.6, "text": "Where do you see this administration going with rules and regulations regarding the Color group"}, {"path": "tedlium_31174.wav", "duration": 6.6, "text": "As I emphasized during the presentation, our objective in this transaction was to show"}, {"path": "tedlium_31175.wav", "duration": 6.6, "text": "This was our second transaction with Sanchez Energy this year and our first acquisition of gathering and processing assets."}, {"path": "tedlium_31176.wav", "duration": 6.6, "text": "most notably as a result of the high foreign currency losses in Argentina."}, {"path": "tedlium_31177.wav", "duration": 6.6, "text": "Those notes, those expensive notes, became callable a few months ago in December, but at a premium."}, {"path": "tedlium_31178.wav", "duration": 6.6, "text": "further diversify our portfolio at this moment in time. I think the valuations are way too high in the market"}, {"path": "tedlium_31179.wav", "duration": 6.6, "text": "I will take it from there and make you some comments on our financial performance and highlight some impacts for you to be aware of."}, {"path": "tedlium_31180.wav", "duration": 6.6, "text": "Additionally, we are planning for the transition of the creative tools business to the programmatic platform,"}, {"path": "tedlium_31181.wav", "duration": 6.6, "text": "When we looked at our turnover, we realized that we would be replacing almost half of our sales force each year."}, {"path": "tedlium_31182.wav", "duration": 6.6, "text": "I would like to turn the conference back over to Mr. Lloyd McAdams for any closing remarks."}, {"path": "tedlium_31183.wav", "duration": 6.6, "text": "I think that level will be adjustable in terms of loss ratio."}, {"path": "tedlium_31184.wav", "duration": 6.6, "text": "is functioning well given what we've seen in terms of volatility in the capital markets. So"}, {"path": "tedlium_31185.wav", "duration": 6.6, "text": "Our investments this year and those of the Air Force will cover"}, {"path": "tedlium_31186.wav", "duration": 6.6, "text": "Second is that we have been, we have gone through the transformation continuously of many of these retail"}, {"path": "tedlium_31187.wav", "duration": 6.5999375, "text": "So our plan is to propose a dividend policy to our shareholders. We've announced that intention this morning,"}, {"path": "tedlium_31188.wav", "duration": 6.57, "text": "According to the National Institute of Statistics, the National Consumer Price Index"}, {"path": "tedlium_31189.wav", "duration": 6.57, "text": "This remains an area where the advantage of Saga's customer knowledge is very clearly evidenced."}, {"path": "tedlium_31190.wav", "duration": 6.57, "text": "We do believe that we will see good opportunities to improve our yields"}, {"path": "tedlium_31191.wav", "duration": 6.57, "text": "the sales force and the Pivotal team that's going out to their customers and sort of advising them between the sort of"}, {"path": "tedlium_31192.wav", "duration": 6.57, "text": "players and the Japanese players are not really actively able to sell there. So it's being regulated"}, {"path": "tedlium_31193.wav", "duration": 6.57, "text": "over the last year, and we believe this is a main driver of productivity."}, {"path": "tedlium_31194.wav", "duration": 6.57, "text": "However, we are of the view that the combined regulations between these types of entities,"}, {"path": "tedlium_31195.wav", "duration": 6.57, "text": "will you guys use some kind of legal recourse to try to"}, {"path": "tedlium_31196.wav", "duration": 6.57, "text": "We finished the year with 3 consecutive months of improvements in each of our 3 internal customer satisfaction scores."}, {"path": "tedlium_31197.wav", "duration": 6.57, "text": "we are seeing at least from an economic standpoint on top of possible tax reform"}, {"path": "tedlium_31198.wav", "duration": 6.57, "text": "but we do expect our leverage to increase somewhat as we onboard the relatively higher levered Hatteras portfolio."}, {"path": "tedlium_31199.wav", "duration": 6.57, "text": "Total Work Number records are now approaching 90 million. And I think as you know from your experience with the company,"}, {"path": "tedlium_31200.wav", "duration": 6.57, "text": "Said we can't use the Forbes stuff anymore. We used it last year. We could say that we were in that year, but"}, {"path": "tedlium_31201.wav", "duration": 6.57, "text": "appetite to participate in that changed at all to your"}, {"path": "tedlium_31202.wav", "duration": 6.57, "text": "thus generating significant cost savings that will be used to fund this project."}, {"path": "tedlium_31203.wav", "duration": 6.57, "text": "were those which had attracted few assets and were not central to our sales efforts at this time."}, {"path": "tedlium_31204.wav", "duration": 6.57, "text": "That concludes our presentation for today. We'll now answer questions we received earlier in the day from our analysts."}, {"path": "tedlium_31205.wav", "duration": 6.57, "text": "their own preview of the data. So in other words, they'll get to see data for whatever they asked us to measure."}, {"path": "tedlium_31206.wav", "duration": 6.57, "text": "prudent way. I think it will be misleading to say that the missed opportunity that you can pick up because"}, {"path": "tedlium_31207.wav", "duration": 6.57, "text": "while their design folks could get design on large capital projects underway and completed. So"}, {"path": "tedlium_31208.wav", "duration": 6.57, "text": "and profitable growth, which leads me then to the rationale for the change in our corporate tax status election."}, {"path": "tedlium_31209.wav", "duration": 6.57, "text": "The question is going to be in any of these scenarios is, what's the total capital budget they put towards the build?"}, {"path": "tedlium_31210.wav", "duration": 6.57, "text": "I mean, I think the important thing here is that we are investing in these offerings, and"}, {"path": "tedlium_31211.wav", "duration": 6.57, "text": "rather than by product type, can you talk about customer types? Are you seeing any change in the customer behavior"}, {"path": "tedlium_31212.wav", "duration": 6.57, "text": "as a result of obtaining the license to run reinsurance activities at the holding level,"}, {"path": "tedlium_31213.wav", "duration": 6.57, "text": "As we indicated on the February earnings call, we saw strong order trends in the first several weeks of the year,"}, {"path": "tedlium_31214.wav", "duration": 6.57, "text": "improved balance sheet and reduced interest expense, we feel good about our future."}, {"path": "tedlium_31215.wav", "duration": 6.57, "text": "so I think that's a major consideration. I think someone may be able to develop a product and"}, {"path": "tedlium_31216.wav", "duration": 6.57, "text": "there's less pressure and probably the time to implement anything out of EPA has moved out in time."}, {"path": "tedlium_31217.wav", "duration": 6.57, "text": "The fourth quarter in general tends to be much more predictable. It's kind of our lowest quarter of the season."}, {"path": "tedlium_31218.wav", "duration": 6.57, "text": "and our brand is better known, it's going to take time to find the replacement channels that can do the same sorts of volumes."}, {"path": "tedlium_31219.wav", "duration": 6.57, "text": "Going back against one of the reasons that we are very excited about this market is"}, {"path": "tedlium_31220.wav", "duration": 6.57, "text": "because they're taking more room nights with us. We think because of that tool, when we study the users of the booking tool"}, {"path": "tedlium_31221.wav", "duration": 6.57, "text": "we are now experiencing some revenue generation synergies from the combination of these 2 businesses."}, {"path": "tedlium_31222.wav", "duration": 6.57, "text": "that are showing some very promising results. It takes time for them to scale up to the right level."}, {"path": "tedlium_31223.wav", "duration": 6.57, "text": "Now speaking about net debt. Here, we have a significant decrease"}, {"path": "tedlium_31224.wav", "duration": 6.57, "text": "our objective is to have nominal and percentage reductions in expenses."}, {"path": "tedlium_31225.wav", "duration": 6.57, "text": "they haven't been able to post such high growth as you were able to do it. And"}, {"path": "tedlium_31226.wav", "duration": 6.57, "text": "based on our core value that our medicines must be fairly priced and broadly accessible."}, {"path": "tedlium_31227.wav", "duration": 6.57, "text": "plans for newbuilds over there? When do you see those orders going to come through? Are you building up for that or is this"}, {"path": "tedlium_31228.wav", "duration": 6.57, "text": "half of the year. We're going to continue to struggle with volumes in automotive. I don't see any improvement in that."}, {"path": "tedlium_31229.wav", "duration": 6.57, "text": "such as large mergers and acquisitions, that can cause our annual dollar retention to fluctuate."}, {"path": "tedlium_31230.wav", "duration": 6.57, "text": "Rob, I'll turn it over to you to continue with further detail relative to the financial results."}, {"path": "tedlium_31231.wav", "duration": 6.57, "text": "Thank you for taking the time to join us today and for your ongoing interest in Star Group."}, {"path": "tedlium_31232.wav", "duration": 6.57, "text": "On today's call, Rob Butler, Vice President of Finance, will begin by reviewing our fourth quarter results."}, {"path": "tedlium_31233.wav", "duration": 6.57, "text": "Before I talk about our future, I'd like to review a few of the highlights included in our first quarter press release."}, {"path": "tedlium_31234.wav", "duration": 6.57, "text": "Customers have been increasingly requesting longer-term leases to give them more certainty, and the extended portfolio duration"}, {"path": "tedlium_31235.wav", "duration": 6.57, "text": "So we expect an improved performance in Q4 versus the previous quarter as a result of the holiday season."}, {"path": "tedlium_31236.wav", "duration": 6.57, "text": "we will continue to be disciplined around not spending if the appropriate returns are not available."}, {"path": "tedlium_31237.wav", "duration": 6.57, "text": "it's very difficult because we can't earn money on cost we don't spend."}, {"path": "tedlium_31238.wav", "duration": 6.57, "text": "to take a reduction in what we believe we're entitled to, to close them out and collect"}, {"path": "tedlium_31239.wav", "duration": 6.57, "text": "and a disciplined capital program, leverage should ultimately come down to much more reasonable levels."}, {"path": "tedlium_31240.wav", "duration": 6.57, "text": "That brings me to return to shareholders, the last slide in my presentation."}, {"path": "tedlium_31241.wav", "duration": 6.57, "text": "coming in daily now, and it would be about where I would expect it to be. So"}, {"path": "tedlium_31242.wav", "duration": 6.57, "text": "would you look to address that sooner rather than later once the markets return as I think you've"}, {"path": "tedlium_31243.wav", "duration": 6.57, "text": "that this product should be within that band. And from our point of view,"}, {"path": "tedlium_31244.wav", "duration": 6.57, "text": "As I told you before, the first milestone of the integration are very encouraging"}, {"path": "tedlium_31245.wav", "duration": 6.57, "text": "so I'd like to provide a recap of the overall deal with SPI to put this into context."}, {"path": "tedlium_31246.wav", "duration": 6.57, "text": "Our operating expenses continue to come in under prior year numbers."}, {"path": "tedlium_31247.wav", "duration": 6.57, "text": "there's work to be done in certain brands. But we feel confident given where we already are"}, {"path": "tedlium_31248.wav", "duration": 6.57, "text": "And that's the very thing that we're concentrating on. As a matter of fact, we defined the turnaround in this organization"}, {"path": "tedlium_31249.wav", "duration": 6.57, "text": "done for the client and is up for renewal? I just want to make sure that's incremental when I think about it."}, {"path": "tedlium_31250.wav", "duration": 6.57, "text": "The year-over-year increase also reflects the favorable impact of a weaker U.S. dollar principally against the British pound."}, {"path": "tedlium_31251.wav", "duration": 6.57, "text": "to provide a better client interface and analytics, including mobile capabilities."}, {"path": "tedlium_31252.wav", "duration": 6.57, "text": "the underlying trend is more than you thought it was going to be going into the quarter. So"}, {"path": "tedlium_31253.wav", "duration": 6.57, "text": "Now this is admittedly a small number, but we hope to see continued improvement from these products going forward."}, {"path": "tedlium_31254.wav", "duration": 6.57, "text": "We believe this weakness is temporary, and the leadership team in that business has seen similar cycles in the past."}, {"path": "tedlium_31255.wav", "duration": 6.57, "text": "as well as the recognition of project improvements associated with a couple of projects nearing completion."}, {"path": "tedlium_31256.wav", "duration": 6.57, "text": "cards and capital markets and international banking service fees all contributed to that growth."}, {"path": "tedlium_31257.wav", "duration": 6.57, "text": "Consistent well performance combined with sustained low well cost and operational costs contributed to the Eagle Ford achieving"}, {"path": "tedlium_31258.wav", "duration": 6.57, "text": "The outperformance of these new wells allowed our Trinidad division to produce 15 million cubic feet"}, {"path": "tedlium_31259.wav", "duration": 6.57, "text": "So I agree, and our Indian organization is obviously very close, agrees that we will see a certain"}, {"path": "tedlium_31260.wav", "duration": 6.57, "text": "I think internationally, when we find a very good bottler and we believe that they can run the business better than us,"}, {"path": "tedlium_31261.wav", "duration": 6.57, "text": "But then overall, when we look at the sequence of the following years, never forget"}, {"path": "tedlium_31262.wav", "duration": 6.57, "text": "In relation to working capital, the businesses continue to drive towards best-in-class."}, {"path": "tedlium_31263.wav", "duration": 6.57, "text": "in the second half and can you give us some feeling for how that net capitalization number is going to be evolving, given it's"}, {"path": "tedlium_31264.wav", "duration": 6.57, "text": "Our second quarter bookings reflect healthy market conditions across all regions and product groups."}, {"path": "tedlium_31265.wav", "duration": 6.57, "text": "and the core product, are becoming more and more blurred. So that's why we have chosen to no longer represent that."}, {"path": "tedlium_31266.wav", "duration": 6.57, "text": "We need to continue the journey of optimizing postpaid and the next battlefield for us is South Africa's enterprise."}, {"path": "tedlium_31267.wav", "duration": 6.57, "text": "how they engage with outlets and brands and how we build the best incubator for new brands."}, {"path": "tedlium_31268.wav", "duration": 6.57, "text": "We encourage you to review the disclaimer in the press release or the slide deck dealing with forward-looking information,"}, {"path": "tedlium_31269.wav", "duration": 6.57, "text": "low ordering and potentially further consolidation may sow the seeds of recovery in the medium term."}, {"path": "tedlium_31270.wav", "duration": 6.57, "text": "we will grow same-store sales 5% to 10% and that we will have leverage in line with the last few years."}, {"path": "tedlium_31271.wav", "duration": 6.57, "text": "in the regions of the world where you have available UAN, it is a very effective and efficient fertilizer."}, {"path": "tedlium_31272.wav", "duration": 6.57, "text": "With that, now I'll turn the call over to Bruce for a summary of our financial performance."}, {"path": "tedlium_31273.wav", "duration": 6.57, "text": "We continue to believe that any such action would not have a material impact on our business."}, {"path": "tedlium_31274.wav", "duration": 6.57, "text": "And we want to make sure that we're comfortably within the bumpers of what is investment grade."}, {"path": "tedlium_31275.wav", "duration": 6.57, "text": "But boy, the -- it's not serial production, and so they've got a big long list of things that they are"}, {"path": "tedlium_31276.wav", "duration": 6.57, "text": "This increase was driven primarily by our recent acquisitions and a reduction in pension income."}, {"path": "tedlium_31277.wav", "duration": 6.57, "text": "And so it impacted service EBITDA margins."}, {"path": "tedlium_31278.wav", "duration": 6.57, "text": "Some of that reduction, though, on the wet side has been offset by new drilling in the dry Utica, and"}, {"path": "tedlium_31279.wav", "duration": 6.57, "text": "and capture the market opportunity ahead of us. We look forward to updating you on our progress in the future."}, {"path": "tedlium_31280.wav", "duration": 6.57, "text": "We called it out separately because we didn't think it would repeat. But lo and behold, it did repeat in the first half of this year. Very late in the first half,"}, {"path": "tedlium_31281.wav", "duration": 6.57, "text": "you guys are trying to find reasons not to disclose and not really looking at some of the benefits, so what do you think there?"}, {"path": "tedlium_31282.wav", "duration": 6.57, "text": "We are also confident that our marketing efforts have continued to expand and strengthen our relationships within the lower middle market,"}, {"path": "tedlium_31283.wav", "duration": 6.57, "text": "bring your designation to a vote? Can you talk a little bit about how that process might work?"}, {"path": "tedlium_31284.wav", "duration": 6.57, "text": "And we achieved those good set of earnings despite"}, {"path": "tedlium_31285.wav", "duration": 6.57, "text": "So the focus will be on that. So all this will -- and as you get higher volumes, you will also have"}, {"path": "tedlium_31286.wav", "duration": 6.57, "text": "Margins were down sequentially in line with previous guidance as our Lafayette campus had a production down week in July"}, {"path": "tedlium_31287.wav", "duration": 6.57, "text": "as compared to the first half of the year, as our mix continues a bit more skewed to some of the lower margin products."}, {"path": "tedlium_31288.wav", "duration": 6.57, "text": "At our Western Timberland operations, we expect second quarter harvest volumes will be comparable to the first quarter."}, {"path": "tedlium_31289.wav", "duration": 6.57, "text": "These favorable signs are balanced however by continued constraints around labor and lot availability."}, {"path": "tedlium_31290.wav", "duration": 6.57, "text": "I want to welcome Jim to his first quarterly conference call and say that we are already benefiting from his extensive REIT experience."}, {"path": "tedlium_31291.wav", "duration": 6.57, "text": "to all the best places to sell, giving them the opportunity to reach more buyers and drive greater sales."}, {"path": "tedlium_31292.wav", "duration": 6.57, "text": "We processed just shy of 10 billion transactions in the year."}, {"path": "tedlium_31293.wav", "duration": 6.57, "text": "is supportive of the amount of operating cash flow we expect for the full year."}, {"path": "tedlium_31294.wav", "duration": 6.57, "text": "So while the healthy volunteer study and some of the additional safety studies it requires have moved our IND filing"}, {"path": "tedlium_31295.wav", "duration": 6.57, "text": "The overall performance of each geography is roughly in line with what is to be expected given their economic context."}, {"path": "tedlium_31296.wav", "duration": 6.57, "text": "than we had even a few months ago. But first let me talk about some of the progress we made during the quarter."}, {"path": "tedlium_31297.wav", "duration": 6.57, "text": "As noted last quarter, we do still see projects slipping to the right driven by labor shortages in the market."}, {"path": "tedlium_31298.wav", "duration": 6.57, "text": "into the equity, which then becomes capital available. So it's not an immediate offset to capital required."}, {"path": "tedlium_31299.wav", "duration": 6.57, "text": "that tends to pull down the average fee rate in the fixed income category."}, {"path": "tedlium_31300.wav", "duration": 6.57, "text": "I would like to thank our people around the world for staying focused on our goals, notably safety,"}, {"path": "tedlium_31301.wav", "duration": 6.57, "text": "Okay. Great. Why don't we go to the next live question?"}, {"path": "tedlium_31302.wav", "duration": 6.57, "text": "that's going to be ready for commercial deployment. There are a lot of different tests and experiments and simulations"}, {"path": "tedlium_31303.wav", "duration": 6.57, "text": "it's also important to work with productivity and have a stable production and increased productivity. And we measure that"}, {"path": "tedlium_31304.wav", "duration": 6.57, "text": "If we look back at the more than 60 years since Mitsubishi Corporation was founded,"}, {"path": "tedlium_31305.wav", "duration": 6.57, "text": "Please note that some of these movements are driven by the geographical mix."}, {"path": "tedlium_31306.wav", "duration": 6.57, "text": "And so that's one way that we're trying to be smart about, how we can"}, {"path": "tedlium_31307.wav", "duration": 6.57, "text": "That is going to be the engine of growth for us in the B2B space. So we have to invest in products. We have to invest in people."}, {"path": "tedlium_31308.wav", "duration": 6.57, "text": "I think we learned a lot last -- this year, in the first half of the year about our"}, {"path": "tedlium_31309.wav", "duration": 6.57, "text": "This business line will grow significantly throughout the year as we enrich and expand our product and service offering."}, {"path": "tedlium_31310.wav", "duration": 6.57, "text": "And it is on a quick delivery cycle, is very much desired by these customers."}, {"path": "tedlium_31311.wav", "duration": 6.57, "text": "than some of the more mature markets, which means the new growth opportunities need to be served. So if we're going to build"}, {"path": "tedlium_31312.wav", "duration": 6.57, "text": "In the meantime, I'd like to share a few thoughts on our results for the second quarter and progress on several key initiatives."}, {"path": "tedlium_31313.wav", "duration": 6.57, "text": "pretty well cleaned up. We're punching it out now and be commissioned next month. So we'll be in good shape there for showings."}, {"path": "tedlium_31314.wav", "duration": 6.57, "text": "and we look forward to benefit next summer from the new Mountain coasters and canopy tours at both Vail and Heavenly."}, {"path": "tedlium_31315.wav", "duration": 6.57, "text": "Turning to our merchandise category growth drivers. We remain pleased with our home performance."}, {"path": "tedlium_31316.wav", "duration": 6.57, "text": "revenue trajectory for 2019? Does that clearance base represent a hurdle you need to jump over?"}, {"path": "tedlium_31317.wav", "duration": 6.57, "text": "And we believe that with servicing our accounts better, doing our marketing and messaging better"}, {"path": "tedlium_31318.wav", "duration": 6.57, "text": "And we announced that to our field the night before so that they could prepare and let their customers know."}, {"path": "tedlium_31319.wav", "duration": 6.57, "text": "So the way we look at it, Dylan, is that in the later stage"}, {"path": "tedlium_31320.wav", "duration": 6.57, "text": "if you think about private label, David, they tend to be almost always our short"}, {"path": "tedlium_31321.wav", "duration": 6.57, "text": "and we aim to become one of the leaders in the low molecular weight heparin field worldwide."}, {"path": "tedlium_31322.wav", "duration": 6.57, "text": "from the oil cargo that was sold with crude oil inventory that had been built up from prior periods."}, {"path": "tedlium_31323.wav", "duration": 6.57, "text": "We lapped the effect of these transactions by the end of Q2. Second,"}, {"path": "tedlium_31324.wav", "duration": 6.57, "text": "We are confident in our ability to satisfy -- to fully satisfy these notes at maturity."}, {"path": "tedlium_31325.wav", "duration": 6.57, "text": "We're restructuring our businesses to improve competitiveness and returning cash to shareholders."}, {"path": "tedlium_31326.wav", "duration": 6.57, "text": "and to Russia and the Middle East, in particular, where activity is strongest and where we can secure the best returns."}, {"path": "tedlium_31327.wav", "duration": 6.57, "text": "I'd expect that to repeat again in the third quarter and then ramp down in the fourth quarter"}, {"path": "tedlium_31328.wav", "duration": 6.57, "text": "as well as the ability of our customers to fully catch up on work deferred from the first half."}, {"path": "tedlium_31329.wav", "duration": 6.57, "text": "We have outlined specific goals, are on track to meet or exceed these goals,"}, {"path": "tedlium_31330.wav", "duration": 6.57, "text": "And then finally, could you just quantify for us the management fee you expect to receive"}, {"path": "tedlium_31331.wav", "duration": 6.57, "text": "Is there anything that you'd entertain pruning at this point or are we too premature to think that way?"}, {"path": "tedlium_31332.wav", "duration": 6.57, "text": "we would certainly comment on it as soon as we could in a call or other open environment."}, {"path": "tedlium_31333.wav", "duration": 6.57, "text": "So it's put a lot of pressure on the company, still we're really happy with the accomplishments we've done."}, {"path": "tedlium_31334.wav", "duration": 6.57, "text": "The second quarter was also highlighted by margin expansion, stable credit quality and strong capital levels."}, {"path": "tedlium_31335.wav", "duration": 6.57, "text": "as we capitalized on continued strong market conditions and increased export demand from China."}, {"path": "tedlium_31336.wav", "duration": 6.57, "text": "A recent positive development was the decision to suspend the medical device tax for 2 years."}, {"path": "tedlium_31337.wav", "duration": 6.57, "text": "On Slide 7, we talk a bit about the company's financial performance."}, {"path": "tedlium_31338.wav", "duration": 6.57, "text": "But in general, I think that's an important piece to the future. Perhaps it's not as linked to our Flavors group"}, {"path": "tedlium_31339.wav", "duration": 6.57, "text": "I am pleased with the progress that we've made in Asia Pacific, and we see a very bright future in these markets."}, {"path": "tedlium_31340.wav", "duration": 6.57, "text": "We want to continue to demonstrate that the company can operate at these types of levels"}, {"path": "tedlium_31341.wav", "duration": 6.57, "text": "which will allow us to better understand customer behavior and the impact of distributed technologies on the network."}, {"path": "tedlium_31342.wav", "duration": 6.57, "text": "will deliver benefits to the company longer term. And as a result of that, if we get the lift"}, {"path": "tedlium_31343.wav", "duration": 6.57, "text": "to anybody third party is not allowed based on the business combination agreement."}, {"path": "tedlium_31344.wav", "duration": 6.57, "text": "The question is whether we should wait for an update of the strategic plan"}, {"path": "tedlium_31345.wav", "duration": 6.57, "text": "We expect inventories will return to targeted turn levels over the next several quarters."}, {"path": "tedlium_31346.wav", "duration": 6.57, "text": "We'll have some seasonal swings in the first quarter in particular, where we have a lot of expenses related to"}, {"path": "tedlium_31347.wav", "duration": 6.57, "text": "the volumes in July down 2%. Wondering how that would compare to the overall market. Just trying to get an assessment of"}, {"path": "tedlium_31348.wav", "duration": 6.57, "text": "the application set with the pipeline having a gas, right? And they're very clear about these sites having kind of a 2-tier strategy"}, {"path": "tedlium_31349.wav", "duration": 6.57, "text": "our financial highlights deck and SGI's audited statutory basis financial statements."}, {"path": "tedlium_31350.wav", "duration": 6.57, "text": "And maybe just talk about that point a little bit. We see that the fifth wheel shipments have been perking up as of late."}, {"path": "tedlium_31351.wav", "duration": 6.57, "text": "It required a number of process improvements and difficult choices throughout the year."}, {"path": "tedlium_31352.wav", "duration": 6.57, "text": "our business needs and capital structure. We do not have any further information to provide on the dividend rate at this time."}, {"path": "tedlium_31353.wav", "duration": 6.57, "text": "We're pleased with the fleet growth we're seeing in our SelectCare full service and preventative product lines."}, {"path": "tedlium_31354.wav", "duration": 6.57, "text": "This is an example of the type of innovative study designed to provide useful information to clinicians"}, {"path": "tedlium_31355.wav", "duration": 6.57, "text": "based on how aggressive you've been really this whole year on the share buyback and how the board has"}, {"path": "tedlium_31356.wav", "duration": 6.57, "text": "On the synergy front, we expect to exceed the cost reduction and the revenue enhancement targets for this year and the coming years."}, {"path": "tedlium_31357.wav", "duration": 6.57, "text": "Before we begin with prepared remarks, we submit for the record the following safe harbor statement."}, {"path": "tedlium_31358.wav", "duration": 6.5699375, "text": "and we'd rather be 2 weeks late than 2 weeks early on that recovery because it's so hard to predict."}, {"path": "tedlium_31359.wav", "duration": 6.5400625, "text": "Now due to that risk, Spectrum Brands encourages you to review the risk factors and cautionary statements"}, {"path": "tedlium_31360.wav", "duration": 6.5400625, "text": "definitive agreements between the company and new GCU have not been signed and key terms remain subject to analysis,"}, {"path": "tedlium_31361.wav", "duration": 6.54, "text": "lot of the public events that the cities will do for their particular city whether it's"}, {"path": "tedlium_31362.wav", "duration": 6.54, "text": "We have a deep bench of talent throughout our firm and take succession planning seriously."}, {"path": "tedlium_31363.wav", "duration": 6.54, "text": "initially in order to fully appreciate the value that could be provided to the marketplace"}, {"path": "tedlium_31364.wav", "duration": 6.54, "text": "and clearly with no repeat of Monarch coming hopefully in the current year compared to last year."}, {"path": "tedlium_31365.wav", "duration": 6.54, "text": "Less than 5% of our multifamily book is in Texas, with most of these properties located in Dallas or Austin."}, {"path": "tedlium_31366.wav", "duration": 6.54, "text": "And the sales and marketing team are aggressively speaking with customers in terms of putting those vessels back to work."}, {"path": "tedlium_31367.wav", "duration": 6.54, "text": "the appropriate benchmark for capital requirements is to think of capital requirements growing with premium."}, {"path": "tedlium_31368.wav", "duration": 6.54, "text": "Orders for projects grew in the third quarter, but at a slower pace than during the first half of this year."}, {"path": "tedlium_31369.wav", "duration": 6.54, "text": "But the product is designed to offer benefits to customers when"}, {"path": "tedlium_31370.wav", "duration": 6.54, "text": "Now, going into 2018, I think we're hopeful that the transaction pace will pick up and that the"}, {"path": "tedlium_31371.wav", "duration": 6.54, "text": "So all the tax credits that we have now are going to be applied in the future, and you're just talking about prospective loss of tax credit."}, {"path": "tedlium_31372.wav", "duration": 6.54, "text": "Well thank you, operator, and thank you everyone for participating. We look forward to speaking with you again next quarter."}, {"path": "tedlium_31373.wav", "duration": 6.54, "text": "is there a new truck required for this which is -- which will conform to these"}, {"path": "tedlium_31374.wav", "duration": 6.54, "text": "As you can see, pharmacy is the growth engine of our business. Just as important,"}, {"path": "tedlium_31375.wav", "duration": 6.54, "text": "while still offering a strong value proposition for the patients and customers in the markets we serve."}, {"path": "tedlium_31376.wav", "duration": 6.54, "text": "and the power plants and industrial customers are looking at a connection with REX that allows them to access both the"}, {"path": "tedlium_31377.wav", "duration": 6.54, "text": "with a lot of growth. If I look at mortgage revenue as a percentage of total revenue,"}, {"path": "tedlium_31378.wav", "duration": 6.54, "text": "The loyalty space obviously, particularly around redemptions, but it could be around point earning as well"}, {"path": "tedlium_31379.wav", "duration": 6.54, "text": "ranging from destination tours and day trips, like shark cage diving in South Africa"}, {"path": "tedlium_31380.wav", "duration": 6.54, "text": "due to the difficulty in reliably projecting this expense as it is impacted by volatility and price per stock"}, {"path": "tedlium_31381.wav", "duration": 6.54, "text": "And we think that this fund being a little bit smaller, a little bit more nimble, we'll have the ability to be able to invest in that."}, {"path": "tedlium_31382.wav", "duration": 6.54, "text": "I don't have an update on the timing for publication of the DAWN data. I think you really have to look at all of those factors,"}, {"path": "tedlium_31383.wav", "duration": 6.54, "text": "I would say the answer is going to be both medical management and re-contracting,"}, {"path": "tedlium_31384.wav", "duration": 6.54, "text": "an announcement about the realignment of the group management structure and the appointment of"}, {"path": "tedlium_31385.wav", "duration": 6.54, "text": "If you turn to the next slide, you will see how we have performed over the past 2 years through very different crude price environments."}, {"path": "tedlium_31386.wav", "duration": 6.54, "text": "despite the decrease of the market"}, {"path": "tedlium_31387.wav", "duration": 6.54, "text": "All of these transactions are described in recent news releases, and Brian will speak more to them later."}, {"path": "tedlium_31388.wav", "duration": 6.54, "text": "We are also integrating FDA feedback into our approach and timing"}, {"path": "tedlium_31389.wav", "duration": 6.54, "text": "If you make a comparison or contrast the total amount of virus"}, {"path": "tedlium_31390.wav", "duration": 6.54, "text": "including 10 key markets. We believe that as we continue to open stores and build our wholesale base,"}, {"path": "tedlium_31391.wav", "duration": 6.54, "text": "and when those life events happen, it's a chance for people to reconsider all their choices, not just electricity. So"}, {"path": "tedlium_31392.wav", "duration": 6.54, "text": "To what extent is this kind of a sneak peek or is this really kind of separate and distinct from your other efforts here?"}, {"path": "tedlium_31393.wav", "duration": 6.54, "text": "that in a market that is so rapidly declining, it also has a very negative effect."}, {"path": "tedlium_31394.wav", "duration": 6.54, "text": "I'll now turn the call over to Danny to take you through an update on our corporate level activities and financial results. Danny?"}, {"path": "tedlium_31395.wav", "duration": 6.54, "text": "would be a great opportunity for UQM and potentially lead to additional business in the region."}, {"path": "tedlium_31396.wav", "duration": 6.54, "text": "I have admired Chipotle for many years, and I'm excited to have the opportunity to lead the future direction of this incredible company."}, {"path": "tedlium_31397.wav", "duration": 6.54, "text": "ways to secure land and commercial property"}, {"path": "tedlium_31398.wav", "duration": 6.54, "text": "And we saw a major transition there as we moved from"}, {"path": "tedlium_31399.wav", "duration": 6.54, "text": "integrate and take advantage of those. I think it's really more a matter of leveraging"}, {"path": "tedlium_31400.wav", "duration": 6.54, "text": "the complexities of certain process changes, especially given the industry that we're in,"}, {"path": "tedlium_31401.wav", "duration": 6.54, "text": "what we can reflect in our guide is what gets communicated from our customer base."}, {"path": "tedlium_31402.wav", "duration": 6.54, "text": "Future technology inflections are more capital-intensive, and we have a pipeline of new capabilities that create"}, {"path": "tedlium_31403.wav", "duration": 6.54, "text": "I'm not sure we're 2-0, but we are showing our ability to close the gap with our public competitors like never before."}, {"path": "tedlium_31404.wav", "duration": 6.54, "text": "We did ramp the new partners in the fourth quarter and have just begun seeing the impact of those efforts in the last 3 weeks."}, {"path": "tedlium_31405.wav", "duration": 6.54, "text": "as just being we got to pick some point in time and this could"}, {"path": "tedlium_31406.wav", "duration": 6.54, "text": "and what we think we can do on the property side. But the overall goal is to grow a high-quality pool of cash flow"}, {"path": "tedlium_31407.wav", "duration": 6.54, "text": "Actual results may differ materially, and we do not undertake any duty to update any forward-looking statements."}, {"path": "tedlium_31408.wav", "duration": 6.54, "text": "Next question is, how much of the SAC cost is still left on your balance sheet?"}, {"path": "tedlium_31409.wav", "duration": 6.54, "text": "obviously be -- your stance is that it has to also apply to your previous as well"}, {"path": "tedlium_31410.wav", "duration": 6.54, "text": "It's been a little bit choppy. I mean, I think that you've seen the commentary from some other competitors which,"}, {"path": "tedlium_31411.wav", "duration": 6.54, "text": "I can tell you, we're looking at a couple of things right now, where we just wanted to keep dry powder at the company level."}, {"path": "tedlium_31412.wav", "duration": 6.54, "text": "provide to other platforms. I think a lot of the positives that Marlin has and then obviously, Marlin gets the benefit of"}, {"path": "tedlium_31413.wav", "duration": 6.54, "text": "the wobble of reactivation cost become more relevant, understand you've taken care of rigs and all that, but"}, {"path": "tedlium_31414.wav", "duration": 6.54, "text": "and the evolution toward digital solutions that provide analytics and successful outcomes."}, {"path": "tedlium_31415.wav", "duration": 6.54, "text": "we have learned that the number of large load requests can be an indicator of the potential for economic growth."}, {"path": "tedlium_31416.wav", "duration": 6.54, "text": "in that category. And we are not currently running regulatory studies in other surgery indications, but"}, {"path": "tedlium_31417.wav", "duration": 6.54, "text": "This combined business will improve our positioning in the marketplace with our clients and the consulting community."}, {"path": "tedlium_31418.wav", "duration": 6.54, "text": "which was largely a factor of onetime cost associated with the company's acquisition in transition of the Resultz business"}, {"path": "tedlium_31419.wav", "duration": 6.54, "text": "on the books that could eventually rotate out of the portfolio. What was the average yield on those assets?"}, {"path": "tedlium_31420.wav", "duration": 6.54, "text": "to make certain that was the case, we took a pretty hard look at changes in American Chartered loan balances,"}, {"path": "tedlium_31421.wav", "duration": 6.54, "text": "and in particular, increase the contribution of our fee businesses relative to our interest margin businesses."}, {"path": "tedlium_31422.wav", "duration": 6.54, "text": "including good progress in our molecular imaging program as well as improvements to our endoscopes and image processing algorithms."}, {"path": "tedlium_31423.wav", "duration": 6.54, "text": "they are bifurcated. When you go to a Gander Outdoors location, it is the same exact concept."}, {"path": "tedlium_31424.wav", "duration": 6.54, "text": "in those stores. And it did tell us something, that if we can be more efficient and more selective"}, {"path": "tedlium_31425.wav", "duration": 6.54, "text": "we do enjoy normal rebate programs and aging assistance because of the sheer volume."}, {"path": "tedlium_31426.wav", "duration": 6.54, "text": "Look, I can't speak to what's happening with other dealers. I know that our inventory is in great shape."}, {"path": "tedlium_31427.wav", "duration": 6.54, "text": "just to make sure it was performing well before we started putting it in a real deep stack."}, {"path": "tedlium_31428.wav", "duration": 6.54, "text": "we have made this business now more global. And we have very rapidly, compared to our competitors in food,"}, {"path": "tedlium_31429.wav", "duration": 6.54, "text": "conference call last quarter, we spent a lot of time talking about what happens over quarter and then"}, {"path": "tedlium_31430.wav", "duration": 6.54, "text": "they have already also in their results the impact of the installation services for the Rieter machines business,"}, {"path": "tedlium_31431.wav", "duration": 6.54, "text": "The new contract has an initial term of 2 years and is renewable for additional periods by mutual agreement."}, {"path": "tedlium_31432.wav", "duration": 6.54, "text": "Adverse exchange, the impact of disposals and a higher tax rate had an adverse impact."}, {"path": "tedlium_31433.wav", "duration": 6.54, "text": "in the same way as a traditional spirit, in a cocktail, with a mixer or on the rocks."}, {"path": "tedlium_31434.wav", "duration": 6.54, "text": "but it sure does help when we've been successfully carrying the product for a bunch of years now."}, {"path": "tedlium_31435.wav", "duration": 6.54, "text": "as over half of it is from the combination of the Island Marine acquisition completed January last year,"}, {"path": "tedlium_31436.wav", "duration": 6.54, "text": "and some selective rate increases in both workers' compensation and commercial auto."}, {"path": "tedlium_31437.wav", "duration": 6.54, "text": "Now I'll turn the call over to Shelby to provide some details on our financial and operating results. Shelby?"}, {"path": "tedlium_31438.wav", "duration": 6.54, "text": "As you are all aware, discussions regarding health care reform continue."}, {"path": "tedlium_31439.wav", "duration": 6.54, "text": "We do this by helping them adjust their workforce needs to their business strategies."}, {"path": "tedlium_31440.wav", "duration": 6.54, "text": "the possibility of growing the associated services, the creation of communities among our customers,"}, {"path": "tedlium_31441.wav", "duration": 6.54, "text": "Over the last decade, we took a number of bold actions to create today's Mondelez International."}, {"path": "tedlium_31442.wav", "duration": 6.54, "text": "If you look at last year when we talked about meeting at this time, we were starting see a bit of a slowdown in Egypt"}, {"path": "tedlium_31443.wav", "duration": 6.54, "text": "Cadbury Dairy Milk was up high single digits, and Bubbly is off to a strong start."}, {"path": "tedlium_31444.wav", "duration": 6.54, "text": "Notwithstanding that, you'd heard me say a year ago we wanted to sequence things in a way that was very deliberate."}, {"path": "tedlium_31445.wav", "duration": 6.54, "text": "any online competition or any significant online competition at this moment in your markets?"}, {"path": "tedlium_31446.wav", "duration": 6.54, "text": "That decision is generally easier and not as complicated to navigate. So I think"}, {"path": "tedlium_31447.wav", "duration": 6.54, "text": "In that regard, we continue to realize the synergy from the Murray Energy transaction that took place in the second quarter."}, {"path": "tedlium_31448.wav", "duration": 6.54, "text": "mean this is the right way to grow this business is frankly getting more customers because once we get the customers in,"}, {"path": "tedlium_31449.wav", "duration": 6.54, "text": "and leveraged the strength of our business model to deliver excellent top line growth and strong profitability."}, {"path": "tedlium_31450.wav", "duration": 6.54, "text": "Many of the fleets were hurt significantly during the downturn as many of us were"}, {"path": "tedlium_31451.wav", "duration": 6.54, "text": "So we see it -- we've had some very interesting discussions, some just in the last 24 hours"}, {"path": "tedlium_31452.wav", "duration": 6.54, "text": "or as we execute our capital allocation strategy, you will find a time when it becomes important to take a position in us."}, {"path": "tedlium_31453.wav", "duration": 6.54, "text": "for this project -- for this product. And we see very, very strong demand for the games that are launched."}, {"path": "tedlium_31454.wav", "duration": 6.54, "text": "metrics will continue to improve and were dampened a little bit by some of the things going on with On Time,"}, {"path": "tedlium_31455.wav", "duration": 6.54, "text": "Within corporate services, the momentum of new business wins shows no signs of slowing."}, {"path": "tedlium_31456.wav", "duration": 6.54, "text": "Importantly, without the need to dose patients with lower dose levels that are likely subtherapeutic. A"}, {"path": "tedlium_31457.wav", "duration": 6.54, "text": "one event but not really in the context of the length of the -- of what people might have thought over the time of the contract. So"}, {"path": "tedlium_31458.wav", "duration": 6.54, "text": "First, the government was required to again release another set of private documents in the litigation."}, {"path": "tedlium_31459.wav", "duration": 6.54, "text": "the data collected will be several times greater than any other accuracy study completed today."}, {"path": "tedlium_31460.wav", "duration": 6.54, "text": "Retirement services revenue growth was offset by pricing impacts in the respective prior-year period."}, {"path": "tedlium_31461.wav", "duration": 6.54, "text": "as we mitigated the impact of inflation and GST with a combination of positive mix,"}, {"path": "tedlium_31462.wav", "duration": 6.54, "text": "And as far as the growth that we're seeing in the more differentiated segments of the market,"}, {"path": "tedlium_31463.wav", "duration": 6.54, "text": "In addition, our regulatory activity continues to contribute to both earnings growth at this business."}, {"path": "tedlium_31464.wav", "duration": 6.54, "text": "We also retain the ability to repurchase our own shares opportunistically when we believe they represent an attractive value."}, {"path": "tedlium_31465.wav", "duration": 6.54, "text": "I can't see any large Swedish or for that sake, Scandinavian developer who"}, {"path": "tedlium_31466.wav", "duration": 6.54, "text": "So we haven't seen very many pressure issues or significant increases in line pressure where we're operating."}, {"path": "tedlium_31467.wav", "duration": 6.54, "text": "but by implementing these projects below expected cost, we've been able to further drive the growth in incremental margin."}, {"path": "tedlium_31468.wav", "duration": 6.54, "text": "We continue to make great progress in our current strategic priorities. So let me share a few highlights from the quarter."}, {"path": "tedlium_31469.wav", "duration": 6.54, "text": "All projections are subject to risks and uncertainties, and actual results may differ materially."}, {"path": "tedlium_31470.wav", "duration": 6.54, "text": "and summarize our new product launches. We acquired a specialized tool company called Equalizer in the corner"}, {"path": "tedlium_31471.wav", "duration": 6.54, "text": "and we are the only post-acute provider that will have all of its patients on an electronic medical record system"}, {"path": "tedlium_31472.wav", "duration": 6.54, "text": "We're looking at a possible new line in one of our other sites at the moment and having discussions internally"}, {"path": "tedlium_31473.wav", "duration": 6.54, "text": "framework. And that allows us to keep on scaling up. And that gives us an opportunity also"}, {"path": "tedlium_31474.wav", "duration": 6.54, "text": "as well as other innovative initiatives that we will comment on with"}, {"path": "tedlium_31475.wav", "duration": 6.54, "text": "Aside from this expansion, we include terraces, entertainment areas and restaurants."}, {"path": "tedlium_31476.wav", "duration": 6.54, "text": "the point that -- on your first question with Mike would be on the productivity. One of the other things that we've seen has been very positive is"}, {"path": "tedlium_31477.wav", "duration": 6.54, "text": "And we still believe that using Green Plains Partners as a growth vehicle in downstream"}, {"path": "tedlium_31478.wav", "duration": 6.54, "text": "or growth in production, which means others are either not able to ramp up quite as much as they thought or"}, {"path": "tedlium_31479.wav", "duration": 6.54, "text": "And finally, we are confident in delivering on our 3 key financial priorities"}, {"path": "tedlium_31480.wav", "duration": 6.54, "text": "The company undertakes no obligation to update these statements except as required by law."}, {"path": "tedlium_31481.wav", "duration": 6.54, "text": "Educational institutions are placing a greater focus on safety than ever before."}, {"path": "tedlium_31482.wav", "duration": 6.54, "text": "We just concluded the 90-day operational phase of the 2 train lenders test in July,"}, {"path": "tedlium_31483.wav", "duration": 6.54, "text": "Typically, a well will pressure up and unload significant water volumes, accompanied by increased oil and gas rates."}, {"path": "tedlium_31484.wav", "duration": 6.54, "text": "because customers are asking that. But we've been hearing that same thing for the last 5 years, quite frankly."}, {"path": "tedlium_31485.wav", "duration": 6.54, "text": "My 4 priorities since taking over as the CEO in April of this year have been the following."}, {"path": "tedlium_31486.wav", "duration": 6.54, "text": "We expect to introduce our second-generation MTO catalyst, before the end of this year."}, {"path": "tedlium_31487.wav", "duration": 6.54, "text": "look at new business in Q1. It was a record in U.S. Retail, it was a record worldwide. By the way, that's a record on top of a record. It was"}, {"path": "tedlium_31488.wav", "duration": 6.54, "text": "are not seeing that or if you're perhaps gaining some share from peers? What's sort of your assessment more in the core part of the business?"}, {"path": "tedlium_31489.wav", "duration": 6.54, "text": "And by the way, you see that in risk solutions, and you see that in HR solutions, both. So these investments we've been making over time,"}, {"path": "tedlium_31490.wav", "duration": 6.54, "text": "This decrease was partially offset by an increase in International equipment revenue."}, {"path": "tedlium_31491.wav", "duration": 6.54, "text": "driven by improved recent operating results and execution of certain tax planning opportunities."}, {"path": "tedlium_31492.wav", "duration": 6.54, "text": "to be able to basically drive that technology across the market in one fell swoop through the standards process. So"}, {"path": "tedlium_31493.wav", "duration": 6.54, "text": "I'm happy to say that the team continues to execute very well on capturing both"}, {"path": "tedlium_31494.wav", "duration": 6.54, "text": "We intend to transition certain laboratory operations to the new site at a measured pace,"}, {"path": "tedlium_31495.wav", "duration": 6.54, "text": "There are many factors that can influence the company's future results that are beyond the ability of the company to control or predict."}, {"path": "tedlium_31496.wav", "duration": 6.54, "text": "Included in our total company results this quarter was our expansion into Mexico."}, {"path": "tedlium_31497.wav", "duration": 6.54, "text": "So we would assume that they have conveyed the message that you've said, but we're obviously not"}, {"path": "tedlium_31498.wav", "duration": 6.54, "text": "seems much improved as we begun a new year with the potential for big changes in regulations,"}, {"path": "tedlium_31499.wav", "duration": 6.54, "text": "And with respect to what happened in the quarter, I would say the issues with steel were"}, {"path": "tedlium_31500.wav", "duration": 6.54, "text": "and we are in a position to do it, because what is happening"}, {"path": "tedlium_31501.wav", "duration": 6.54, "text": "Now this business also helps our aftermarket sales support business because"}, {"path": "tedlium_31502.wav", "duration": 6.54, "text": "Approximately 50% of the operating systems will be handed over to the owner by the end of this year."}, {"path": "tedlium_31503.wav", "duration": 6.54, "text": "We also have an inefficient cost structure and an organization that's not nimble enough in the marketplace."}, {"path": "tedlium_31504.wav", "duration": 6.54, "text": "So when it comes to being more balanced in making sure that the inventory we plan and buy,"}, {"path": "tedlium_31505.wav", "duration": 6.54, "text": "Before telling you about our plans, I think it'd be useful for you to understand the depth of the management team at The Tile Shop."}, {"path": "tedlium_31506.wav", "duration": 6.54, "text": "Many of these forward-looking statements can be identified by the use of words such as may,"}, {"path": "tedlium_31507.wav", "duration": 6.54, "text": "is more efficient. So as a result of that, we do think that the second half will present a better picture than the first half of the year."}, {"path": "tedlium_31508.wav", "duration": 6.54, "text": "But this is not a consequence of any change in business model or any change in product mix or the business mix."}, {"path": "tedlium_31509.wav", "duration": 6.54, "text": "Okay. And then in the past, I think you've kind of pointed to Vitality Index as kind of a measure"}, {"path": "tedlium_31510.wav", "duration": 6.54, "text": "mute that benefit. So I guess as I stand here today and think about the raws and the increase we see"}, {"path": "tedlium_31511.wav", "duration": 6.54, "text": "We are working on increasing capacities in many of them and moving product to more efficient sites"}, {"path": "tedlium_31512.wav", "duration": 6.54, "text": "So Passport had no impact on the retail backlog. It had basically more at the wholesale level."}, {"path": "tedlium_31513.wav", "duration": 6.5399375, "text": "Organic growth for the year was a robust 7% compared to the prior year. This is outstanding growth"}, {"path": "tedlium_31514.wav", "duration": 6.5399375, "text": "where we continue to see a V-shaped recovery in the construction machinery market in China."}, {"path": "tedlium_31515.wav", "duration": 6.51, "text": "impressive quarter. So some of my questions have been asked, but I wondered if you could tell us a little bit about"}, {"path": "tedlium_31516.wav", "duration": 6.51, "text": "which are recognized as revenue, when shipped to them. This is a common way of recognizing revenue."}, {"path": "tedlium_31517.wav", "duration": 6.51, "text": "to somewhat replace at least some percentage of that protein and then add on"}, {"path": "tedlium_31518.wav", "duration": 6.51, "text": "what you're basically investing in is a company that has done a very good job historically in growing its"}, {"path": "tedlium_31519.wav", "duration": 6.51, "text": "And we have been engaged by a large European bank to support its digital transformation."}, {"path": "tedlium_31520.wav", "duration": 6.51, "text": "First thing I wanted to do is address the news from yesterday about our termination of our merger agreement with Entegra Bank."}, {"path": "tedlium_31521.wav", "duration": 6.51, "text": "and the ongoing impact of the rate reduction on our number portability services imposed by the regulators in India."}, {"path": "tedlium_31522.wav", "duration": 6.51, "text": "found out or received any notification on the settlement that's related to the dispute related to the construction"}, {"path": "tedlium_31523.wav", "duration": 6.51, "text": "of the expansion in this region. We have recently completed the merging of our gas"}, {"path": "tedlium_31524.wav", "duration": 6.51, "text": "is much more of a shift towards the fronthaul, mid-haul, backhaul optical transport network"}, {"path": "tedlium_31525.wav", "duration": 6.51, "text": "the steps of this procedure in other applications that they are using. The"}, {"path": "tedlium_31526.wav", "duration": 6.51, "text": "For example, focusing on fully exited transactions in Corporate Private Equity over the past year,"}, {"path": "tedlium_31527.wav", "duration": 6.51, "text": "This concludes today's conference. Thank you for your participation. You may now disconnect."}, {"path": "tedlium_31528.wav", "duration": 6.51, "text": "As we projected, our third quarter revenues again grew over the same period of last year."}, {"path": "tedlium_31529.wav", "duration": 6.51, "text": "So how is that accounted for in this outlook? Please let me know as much as possible"}, {"path": "tedlium_31530.wav", "duration": 6.51, "text": "Altogether, we delivered growth both nominally and excluding exchange on the top and bottom line."}, {"path": "tedlium_31531.wav", "duration": 6.51, "text": "We've also provided a table in our press release to help you understand the sales results in the quarter for the business units and products."}, {"path": "tedlium_31532.wav", "duration": 6.51, "text": "And I would say that mobilizing the organization behind the right priorities"}, {"path": "tedlium_31533.wav", "duration": 6.51, "text": "Many factors could cause actual results to differ materially from those expressed or implied by the forward-looking statements."}, {"path": "tedlium_31534.wav", "duration": 6.51, "text": "as I mentioned, is we see a lot of the independent guys going to leave"}, {"path": "tedlium_31535.wav", "duration": 6.51, "text": "The second is the impact of unprofitable projects, both inside and outside Japan."}, {"path": "tedlium_31536.wav", "duration": 6.51, "text": "Most of them trade in a very narrow range, even given the different kind of economic conditions we've been through."}, {"path": "tedlium_31537.wav", "duration": 6.51, "text": "or Advanced Metering Analytics was much smaller, and so it was much easier for us to get through them."}, {"path": "tedlium_31538.wav", "duration": 6.51, "text": "That was -- again, the majority of that we had some other slight leverage in some of the fixed cost components"}, {"path": "tedlium_31539.wav", "duration": 6.51, "text": "We have always believed existed for the Five Below concept. We're on track to deliver"}, {"path": "tedlium_31540.wav", "duration": 6.51, "text": "will be seen in our indirect distribution costs and expect that to be around"}, {"path": "tedlium_31541.wav", "duration": 6.51, "text": "and that the popularity in demand for passive products is here to stay as a part of clients' portfolio."}, {"path": "tedlium_31542.wav", "duration": 6.51, "text": "We expect simultaneous publication of FOURIER in a leading medical journal with supplementary materials."}, {"path": "tedlium_31543.wav", "duration": 6.51, "text": "For more information relating to the risks and uncertainties involved in our forward-looking statements and the company generally,"}, {"path": "tedlium_31544.wav", "duration": 6.51, "text": "In terms of construction delays and the like in other parts of the world,"}, {"path": "tedlium_31545.wav", "duration": 6.51, "text": "the overall business, but we don't have any major issues in respect to what some of our competitors are dealing with."}, {"path": "tedlium_31546.wav", "duration": 6.51, "text": "And we felt good about the fundamental sustainability of where we were in academic."}, {"path": "tedlium_31547.wav", "duration": 6.51, "text": "during the study on exactly the timing of the treatments in relation to"}, {"path": "tedlium_31548.wav", "duration": 6.51, "text": "how that plays out over the next quarters and into the coming years as we think about it going forward would be very helpful. Thank"}, {"path": "tedlium_31549.wav", "duration": 6.51, "text": "So to wrap up, we are very pleased with our execution in the third quarter. We have a lot of momentum in both of our segments,"}, {"path": "tedlium_31550.wav", "duration": 6.51, "text": "So we're going to make disciplined choices between inorganic and organic execution over the next 5 years in"}, {"path": "tedlium_31551.wav", "duration": 6.51, "text": "Revenue growth was driven by healthy external demand related to stepped-up external sales efforts"}, {"path": "tedlium_31552.wav", "duration": 6.51, "text": "We believe this operating philosophy enables us to consistently generate above-average sales paces"}, {"path": "tedlium_31553.wav", "duration": 6.51, "text": "And we believe that this project will migrate into a"}, {"path": "tedlium_31554.wav", "duration": 6.51, "text": "Now the spot side of that business is very positive for us. It fills empty lanes, it does the right things in our network"}, {"path": "tedlium_31555.wav", "duration": 6.51, "text": "You can find this information in the quarterly results section which is located under the Financial Information header."}, {"path": "tedlium_31556.wav", "duration": 6.51, "text": "which enables us to better understand how our employees"}, {"path": "tedlium_31557.wav", "duration": 6.51, "text": "We're open to that. We don't think this is the right time to buy retail because of where wholesale prices are"}, {"path": "tedlium_31558.wav", "duration": 6.51, "text": "compares to the others in development? But where you see yourselves in terms of timing,"}, {"path": "tedlium_31559.wav", "duration": 6.51, "text": "These statements are subject to substantial risks and uncertainties that could adversely affects Five9's future results"}, {"path": "tedlium_31560.wav", "duration": 6.51, "text": "So you wouldn't have seen any kind of volume compression as we shape that business. So"}, {"path": "tedlium_31561.wav", "duration": 6.51, "text": "in the second quarter. Obviously, there was a lot of confusion in the marketplace."}, {"path": "tedlium_31562.wav", "duration": 6.51, "text": "does that suggest that the adverse result is going to be"}, {"path": "tedlium_31563.wav", "duration": 6.51, "text": "So on the equipment side, we still see the business in automotive progressing."}, {"path": "tedlium_31564.wav", "duration": 6.51, "text": "Magnitude seem a little off, so I'm assuming there's some timing variants there, but wouldn't mind understanding how that works out."}, {"path": "tedlium_31565.wav", "duration": 6.51, "text": "the consumables part of our business because of repricing is very stable in terms of margin"}, {"path": "tedlium_31566.wav", "duration": 6.51, "text": "the point I made this morning was that I think everyone needs to continue to focus on adapting to"}, {"path": "tedlium_31567.wav", "duration": 6.51, "text": "changes in law or regulations and other factors, many of which are beyond the control of the company."}, {"path": "tedlium_31568.wav", "duration": 6.51, "text": "All in all, by the end of the first quarter, we could be well on our way to meeting our growth targets for the year."}, {"path": "tedlium_31569.wav", "duration": 6.51, "text": "systems and platforms within each of our businesses in order for them to operate more efficiently."}, {"path": "tedlium_31570.wav", "duration": 6.51, "text": "The decline in print-based revenue was only partially offset by growth in our content management services."}, {"path": "tedlium_31571.wav", "duration": 6.51, "text": "almost a request from talking to shareholders and the analysts around what is the flexible cost nature of the business."}, {"path": "tedlium_31572.wav", "duration": 6.51, "text": "Pricing is more dictated by value than it is -- at least in Europe,"}, {"path": "tedlium_31573.wav", "duration": 6.51, "text": "and the detail of the final plan will be contained in the exploitation plan or development plan,"}, {"path": "tedlium_31574.wav", "duration": 6.51, "text": "we expect full year ROE to improve as the business better leverages its fixed costs"}, {"path": "tedlium_31575.wav", "duration": 6.51, "text": "A special committee of our board, which was comprised solely of independent and disinterested directors,"}, {"path": "tedlium_31576.wav", "duration": 6.51, "text": "So while I'm not going to give you the precise phasing Q3 to Q4, I would just remind you to look back at revenue seasonality of"}, {"path": "tedlium_31577.wav", "duration": 6.51, "text": "So my feeling is, as we're coming into a year from now, those 3 things will be happening."}, {"path": "tedlium_31578.wav", "duration": 6.51, "text": "They've begun to implement a channel strategy that provides risk because there's change in the channel strategy that is needed,"}, {"path": "tedlium_31579.wav", "duration": 6.51, "text": "Now that we are approximately 1 year into the launch, we believe the inventory in the sales channel has stabilized."}, {"path": "tedlium_31580.wav", "duration": 6.51, "text": "in the energy design standards for all newly constructed homes. This code update became effective"}, {"path": "tedlium_31581.wav", "duration": 6.51, "text": "The third transaction that's still out there was Icon. I've talked about them for a minute. I was in Houston"}, {"path": "tedlium_31582.wav", "duration": 6.51, "text": "Going forward, we expect to continue this sustained improvement by focusing on the following priorities."}, {"path": "tedlium_31583.wav", "duration": 6.51, "text": "We believe that our receivable portfolio is of high quality and that DSO will trend down in the second quarter."}, {"path": "tedlium_31584.wav", "duration": 6.51, "text": "Our strategy has always been, that the way to extract more is to provide more services"}, {"path": "tedlium_31585.wav", "duration": 6.51, "text": "And a lot of our operations are squarely, squarely focused in on this opportunity."}, {"path": "tedlium_31586.wav", "duration": 6.51, "text": "I'm pleased to announce that we finalized certain agreements with the Air Force to construct a large-scale solar facility at Holloman Air Force Base."}, {"path": "tedlium_31587.wav", "duration": 6.51, "text": "gives us a new revenue opportunity to add to the overall mix. And then we're constantly"}, {"path": "tedlium_31588.wav", "duration": 6.51, "text": "regardless the provisions above 90 days as a percentage of revenues, and"}, {"path": "tedlium_31589.wav", "duration": 6.51, "text": "given the strength of the economy and the strength of the economy and markets in our particular resorts,"}, {"path": "tedlium_31590.wav", "duration": 6.51, "text": "And we have been losing. So there's one currently in Tampa that we're trying to"}, {"path": "tedlium_31591.wav", "duration": 6.51, "text": "positive, and we could stop for efficacy."}, {"path": "tedlium_31592.wav", "duration": 6.51, "text": "Okay. And then I know manufacturers are working right now to raise prices. So what are you seeing in terms of"}, {"path": "tedlium_31593.wav", "duration": 6.51, "text": "throughout the workers' compensation insurance experience from quoting through claim sampling."}, {"path": "tedlium_31594.wav", "duration": 6.51, "text": "However, as we signaled last quarter, Q1 performance was broadly in line with our strategy"}, {"path": "tedlium_31595.wav", "duration": 6.51, "text": "I think what we're seeing in other regions was, however, it wasn't"}, {"path": "tedlium_31596.wav", "duration": 6.51, "text": "The conference is now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_31597.wav", "duration": 6.51, "text": "Our Corporate Trust team had a strong quarter, enjoying its best new business month ever in December."}, {"path": "tedlium_31598.wav", "duration": 6.51, "text": "And with that, let me turn the call over to Jack. Thank you, Doug."}, {"path": "tedlium_31599.wav", "duration": 6.51, "text": "So we are marketing, we want to sell that as one piece as well as we want to sell the forward flow."}, {"path": "tedlium_31600.wav", "duration": 6.51, "text": "Revenue with our largest customer was down versus prior year but met our expectation for the quarter."}, {"path": "tedlium_31601.wav", "duration": 6.51, "text": "results benefited from an increase in property management fees and higher consumer finance revenues."}, {"path": "tedlium_31602.wav", "duration": 6.51, "text": "and the continued reduction in churn. We estimate that in 2018, the number of gross additions to the market"}, {"path": "tedlium_31603.wav", "duration": 6.51, "text": "and local manufacturing capabilities to support deposition and planarization products."}, {"path": "tedlium_31604.wav", "duration": 6.51, "text": "as we continue to adjust our spending levels to match the market dynamics in countries like Brazil and Argentina."}, {"path": "tedlium_31605.wav", "duration": 6.51, "text": "Excluding the impact of the malware incident and the India goods and services tax,"}, {"path": "tedlium_31606.wav", "duration": 6.51, "text": "We put a great deal of thought and realistic analysis into developing guidance that we feel is achievable"}, {"path": "tedlium_31607.wav", "duration": 6.51, "text": "Every time we execute a project, when we finish it, we have to replace it with something else somewhere."}, {"path": "tedlium_31608.wav", "duration": 6.51, "text": "which Stands for Something Good and proves its strength with every new market and every new country in which we open."}, {"path": "tedlium_31609.wav", "duration": 6.51, "text": "Consequently, we feel we're in a good position to meaningfully ramp up our commercial efforts."}, {"path": "tedlium_31610.wav", "duration": 6.51, "text": "In terms of total new business volume for 2015, we realized strong performance across most of our products and lines of business."}, {"path": "tedlium_31611.wav", "duration": 6.51, "text": "but we are evaluating other growth initiatives particularly the automotive sector. So this could come up if the"}, {"path": "tedlium_31612.wav", "duration": 6.51, "text": "This is where the true advantage of allogeneic CAR-T cell manufacturing process kicks in"}, {"path": "tedlium_31613.wav", "duration": 6.51, "text": "And so that business is not a meaningful percentage of our harvest in the South right now,"}, {"path": "tedlium_31614.wav", "duration": 6.51, "text": "for anomalies, positive and negative. In this case, it was a positive event. So we adjusted out the tax recovery"}, {"path": "tedlium_31615.wav", "duration": 6.51, "text": "unless there is much, much stronger political policy certainty, which will create"}, {"path": "tedlium_31616.wav", "duration": 6.51, "text": "We're expanding our merchant and financial institution partnerships throughout the country's ecosystem,"}, {"path": "tedlium_31617.wav", "duration": 6.51, "text": "probably in Asia that will make the cells that we require to the EnerSys specifications."}, {"path": "tedlium_31618.wav", "duration": 6.51, "text": "and a still highly competitive environment. Let's look at the details of these results."}, {"path": "tedlium_31619.wav", "duration": 6.51, "text": "from the way that distributors now describe the business opportunity to prospective participants."}, {"path": "tedlium_31620.wav", "duration": 6.51, "text": "Our business partners indicate that in general the Southeast was softer than the rest of the country during the third quarter."}, {"path": "tedlium_31621.wav", "duration": 6.51, "text": "So the interest in Jack Henry solutions, the spending environment today is definitely very strong."}, {"path": "tedlium_31622.wav", "duration": 6.51, "text": "at our office. The recent meeting, the last one was at the headquarters of one of the utilities."}, {"path": "tedlium_31623.wav", "duration": 6.51, "text": "that is an area that we're going to be expanding into one way or the other"}, {"path": "tedlium_31624.wav", "duration": 6.51, "text": "Please turn to Page 5 of the materials. As I mentioned in the beginning,"}, {"path": "tedlium_31625.wav", "duration": 6.51, "text": "driving growth as well as driving productivity to be able to hit our margin target that we've laid out."}, {"path": "tedlium_31626.wav", "duration": 6.51, "text": "I think, as Bryan talked about at the beginning, we don't have high hopes for a lot of rate increases, though we do expect"}, {"path": "tedlium_31627.wav", "duration": 6.51, "text": "We have sent our teams to different markets"}, {"path": "tedlium_31628.wav", "duration": 6.51, "text": "Please turn to Slide 7 for details on the attribution of earnings between our Credit and Agency strategies."}, {"path": "tedlium_31629.wav", "duration": 6.51, "text": "Part of it is how do you explore new indications. We talked about 3 new indications we're exploring"}, {"path": "tedlium_31630.wav", "duration": 6.51, "text": "And we expect the growth of these markets will continue to drive the outsourcing trend we've seen over the last 10 years."}, {"path": "tedlium_31631.wav", "duration": 6.51, "text": "So we terminated that buying activity. The other thing that occurred is"}, {"path": "tedlium_31632.wav", "duration": 6.51, "text": "do hesitate to make too much of a call. All the other ones that we've made the call on are well above that collar,"}, {"path": "tedlium_31633.wav", "duration": 6.51, "text": "This decrease is primarily related to a decrease in debt outstanding under our revolving credit facility,"}, {"path": "tedlium_31634.wav", "duration": 6.51, "text": "Additionally, we are seeing improvement in the business jet and rotorcraft markets while global uncertainty"}, {"path": "tedlium_31635.wav", "duration": 6.51, "text": "I will continue to emphasize that the organization has done a remarkable job"}, {"path": "tedlium_31636.wav", "duration": 6.51, "text": "Unlike newer vintage mortgage servicing rights, where returns are more dependent upon voluntary prepayment speeds,"}, {"path": "tedlium_31637.wav", "duration": 6.51, "text": "That's helpful. And then when you look at the ethanol market in your release, you highlighted that"}, {"path": "tedlium_31638.wav", "duration": 6.51, "text": "If you have additional questions after today's call, please contact me. I will now turn the call over"}, {"path": "tedlium_31639.wav", "duration": 6.51, "text": "and these areas has hypergrowth in them,"}, {"path": "tedlium_31640.wav", "duration": 6.51, "text": "but also updating you various ongoing initiatives and addressing some key questions we have been receiving lately."}, {"path": "tedlium_31641.wav", "duration": 6.51, "text": "We think that is a start of an improvement, and we think that positions us well as a good sign for the period ahead."}, {"path": "tedlium_31642.wav", "duration": 6.51, "text": "fees can still increase. I'm just wondering from which angle you will"}, {"path": "tedlium_31643.wav", "duration": 6.51, "text": "That piece is related to -- because with the purchase of Omni,"}, {"path": "tedlium_31644.wav", "duration": 6.51, "text": "We expect the court to rule on the motions before the end of the year but cannot predict the timing of the rulings."}, {"path": "tedlium_31645.wav", "duration": 6.51, "text": "The investment in this research today will likely add to growth in future years."}, {"path": "tedlium_31646.wav", "duration": 6.51, "text": "our hybrid model, which again incorporates both enclosed and open air provides us with a distinct advantage."}, {"path": "tedlium_31647.wav", "duration": 6.51, "text": "business, but the 7, which also included Swisher, I would say is artificially low"}, {"path": "tedlium_31648.wav", "duration": 6.51, "text": "The first is that our customers absolutely love our products and they love our platform"}, {"path": "tedlium_31649.wav", "duration": 6.51, "text": "or 67% improvement in adjusted pretax results on a consolidated basis"}, {"path": "tedlium_31650.wav", "duration": 6.51, "text": "and the supplemental information that I just referred to. Both can be found in the Investors section of the Sutherland website."}, {"path": "tedlium_31651.wav", "duration": 6.51, "text": "Since the plants were down, we decided to take the opportunity to accelerate the timing to carry out"}, {"path": "tedlium_31652.wav", "duration": 6.51, "text": "This change should make it easier for readers of our financial statements to understand the cost of running our organization."}, {"path": "tedlium_31653.wav", "duration": 6.51, "text": "proven by the strong throughput volumes we handle and the amount of pipeline and storage we own and operate."}, {"path": "tedlium_31654.wav", "duration": 6.51, "text": "and hotel projects for which we have an executed letter of intent but are awaiting final business and development permits."}, {"path": "tedlium_31655.wav", "duration": 6.51, "text": "When you look at the DUC count and you looked at the rig count and you look at what's going on in the macro,"}, {"path": "tedlium_31656.wav", "duration": 6.51, "text": "Internationally, we are not anticipating growth, and we are taking what we believe is a conservative approach in our outlook."}, {"path": "tedlium_31657.wav", "duration": 6.51, "text": "including statements relating to projections of earnings and revenue, business drivers, the timing and capabilities of new products,"}, {"path": "tedlium_31658.wav", "duration": 6.51, "text": "their cost of the people in transition is not"}, {"path": "tedlium_31659.wav", "duration": 6.51, "text": "We anticipate a strong fourth quarter based on a number of significant prospects, either under contract or in active negotiation."}, {"path": "tedlium_31660.wav", "duration": 6.51, "text": "And interestingly, we put one of our best people in the company to run our Fluid Management specialty organization."}, {"path": "tedlium_31661.wav", "duration": 6.51, "text": "to ramp through the first half of the year? Is it pretty steady through the first half of the year? More"}, {"path": "tedlium_31662.wav", "duration": 6.51, "text": "one step in part of a broader effort by OptumRx and UnitedHealthcare to continue to"}, {"path": "tedlium_31663.wav", "duration": 6.51, "text": "Kevin will address this accomplishment in his remarks later this afternoon. Fourth,"}, {"path": "tedlium_31664.wav", "duration": 6.51, "text": "Some of these products have already hit the shelves and others will take several years to make the conversion to natural colors."}, {"path": "tedlium_31665.wav", "duration": 6.51, "text": "our engagement with our vendor partners, and then the expense management piece. If we do a good job,"}, {"path": "tedlium_31666.wav", "duration": 6.51, "text": "We have all the pieces in place to really appreciate -- to really accelerate"}, {"path": "tedlium_31667.wav", "duration": 6.51, "text": "what are -- what's the platform that they have available. They start opening accounts. They get the documentation,"}, {"path": "tedlium_31668.wav", "duration": 6.51, "text": "we were putting new systems into the Corporation, which went all the way into the businesses but"}, {"path": "tedlium_31669.wav", "duration": 6.51, "text": "Why pursue those rather than just continue to build out that DuraFit product line?"}, {"path": "tedlium_31670.wav", "duration": 6.51, "text": "we really view the capital structures independently and think the consolidated metrics become less useful. But that becomes very important"}, {"path": "tedlium_31671.wav", "duration": 6.51, "text": "We expect to continue to realize the benefit of these capital investments as we progress through the remainder of the year."}, {"path": "tedlium_31672.wav", "duration": 6.51, "text": "From a capital structure and allocation perspective, we recently completed a public offering of our common stock,"}, {"path": "tedlium_31673.wav", "duration": 6.51, "text": "The market has backed up as yields across all asset sectors"}, {"path": "tedlium_31674.wav", "duration": 6.51, "text": "The higher average selling prices resulted from modest chemical price inflation for certain of our products"}, {"path": "tedlium_31675.wav", "duration": 6.51, "text": "clearly, it has to do with the skill set, the new people that we're hiring. I mean, we still have a lot of"}, {"path": "tedlium_31676.wav", "duration": 6.51, "text": "when there's been consolidation in the industry. And I think there's a couple factors."}, {"path": "tedlium_31677.wav", "duration": 6.51, "text": "Looking at the full year expectations this year, we continue to project total revenue growth"}, {"path": "tedlium_31678.wav", "duration": 6.51, "text": "I would like to add to the Greg's comments about how proud we are of our operational execution during the quarter."}, {"path": "tedlium_31679.wav", "duration": 6.51, "text": "at week 12 with respect to the weekly mean of the daily worst itching intensity score"}, {"path": "tedlium_31680.wav", "duration": 6.5099375, "text": "The primary variables affecting our NAV this quarter were the positive effects of our March equity offering"}, {"path": "tedlium_31681.wav", "duration": 6.5099375, "text": "investors in our platform and the ones we've had dialogue with are primarily concerned with dividend safety"}, {"path": "tedlium_31682.wav", "duration": 6.48, "text": "or may not be successful or sufficient to meet regulatory standards or receive the regulatory clearance or approvals,"}, {"path": "tedlium_31683.wav", "duration": 6.48, "text": "Bob has really cleaned up our balance sheet with this infusion of cash and we have"}, {"path": "tedlium_31684.wav", "duration": 6.48, "text": "where patients experienced robust mean increases in total and contractile muscle volume"}, {"path": "tedlium_31685.wav", "duration": 6.48, "text": "as people are looking to capitalize on something that could be nicely profitable over the next couple of years?"}, {"path": "tedlium_31686.wav", "duration": 6.48, "text": "So we will now turn it over to you to take questions. If I could ask you to ask for the mike,"}, {"path": "tedlium_31687.wav", "duration": 6.48, "text": "as well as the impact of curtailing certain businesses that weren't generating required minimum returns."}, {"path": "tedlium_31688.wav", "duration": 6.48, "text": "to begin contributing to revenue growth in calendar 2018 and for many years to come."}, {"path": "tedlium_31689.wav", "duration": 6.48, "text": "The change in methodology mostly affected how we recognize revenue associated with upticks for Executive Search contracts"}, {"path": "tedlium_31690.wav", "duration": 6.48, "text": "to kind of keep the beast moving every day. But on the same token,"}, {"path": "tedlium_31691.wav", "duration": 6.48, "text": "people who want to use integrated circuit technology -- complex integrated circuit technology going forward."}, {"path": "tedlium_31692.wav", "duration": 6.48, "text": "Yes, I think we've actually processed the last bit of ore that was scheduled to go through the mill this week."}, {"path": "tedlium_31693.wav", "duration": 6.48, "text": "will be updated on a semiannual basis, starting in June of this year."}, {"path": "tedlium_31694.wav", "duration": 6.48, "text": "be much more conservative on the projections and as we do quarter-to-quarter. But the"}, {"path": "tedlium_31695.wav", "duration": 6.48, "text": "I can still remember in late 1998, asking Johnny what his real expectations were for the new bank."}, {"path": "tedlium_31696.wav", "duration": 6.48, "text": "through the second half of last year than we would have ideally liked by virtue of the fact that the market slowed."}, {"path": "tedlium_31697.wav", "duration": 6.48, "text": "And the other thing I would point out is, this process is an ongoing and fluid process. And so the screening would be"}, {"path": "tedlium_31698.wav", "duration": 6.48, "text": "and increasing engagement with tools like Connect, our social media platform embedded in our app."}, {"path": "tedlium_31699.wav", "duration": 6.48, "text": "is look at our underlying costs of that and look at the pieces that actually"}, {"path": "tedlium_31700.wav", "duration": 6.48, "text": "The increased usage of aluminum in automotive has been the primary driver behind our growth activities."}, {"path": "tedlium_31701.wav", "duration": 6.48, "text": "because when we add up the credit card, the FX, the RevPAR and the units, it almost seems to point to something in the teens."}, {"path": "tedlium_31702.wav", "duration": 6.48, "text": "but as this evolves, as I mentioned and you picked up and remembered well from the January 6 call, is"}, {"path": "tedlium_31703.wav", "duration": 6.48, "text": "in the commercial space to be able to move into the professional high-production digital label printing market."}, {"path": "tedlium_31704.wav", "duration": 6.48, "text": "what we saw in the -- what we reported in the quarter isn't terribly different from previous third quarters."}, {"path": "tedlium_31705.wav", "duration": 6.48, "text": "and so more of the viewing that we're already measuring can be included in the so-called currency ratings."}, {"path": "tedlium_31706.wav", "duration": 6.48, "text": "almost always take steps, especially with the digital parts of our portfolio, and Digital Content Ratings is no exception"}, {"path": "tedlium_31707.wav", "duration": 6.48, "text": "Our pipeline is already improving and we anticipate improving revenue as the year progresses."}, {"path": "tedlium_31708.wav", "duration": 6.48, "text": "and 5, the amortization of the beneficial conversion feature related to the preferred stock that is required by GAAP accounting."}, {"path": "tedlium_31709.wav", "duration": 6.48, "text": "planned functionality in a single platform. That platform is now starting to get adoption in some of our largest customers,"}, {"path": "tedlium_31710.wav", "duration": 6.48, "text": "Please let us know if you'd like to catch up when we're in your city. With that, thank you all for joining us today. I will now open it up"}, {"path": "tedlium_31711.wav", "duration": 6.48, "text": "So that's part of the reason. But we still feel very good about the growth and momentum in those businesses."}, {"path": "tedlium_31712.wav", "duration": 6.48, "text": "as internal and external sales were delayed due to ongoing wet weather in the West."}, {"path": "tedlium_31713.wav", "duration": 6.48, "text": "And so as you know, regulators are conservative people, they like to stick to the guidance."}, {"path": "tedlium_31714.wav", "duration": 6.48, "text": "based on our history, we cannot rely only on indirect business."}, {"path": "tedlium_31715.wav", "duration": 6.48, "text": "of products that are innovative and demonstrate value to the health care system."}, {"path": "tedlium_31716.wav", "duration": 6.48, "text": "Some of that was spillover from items that we did not take delivery of from the fourth quarter. So"}, {"path": "tedlium_31717.wav", "duration": 6.48, "text": "And as you've just heard, this is Claudia's last quarterly call, and I'd like to add my acknowledgment and thanks"}, {"path": "tedlium_31718.wav", "duration": 6.48, "text": "We are excited about the strong earnings outlook for the second half of the year and look forward to providing additional updates in the next quarter."}, {"path": "tedlium_31719.wav", "duration": 6.48, "text": "and we'll offer Sandd postal deliverers a job against PostNL terms"}, {"path": "tedlium_31720.wav", "duration": 6.48, "text": "Given we are years away from settling our tariffs or setting them for the electric distribution sector"}, {"path": "tedlium_31721.wav", "duration": 6.48, "text": "In addition and for the second straight year, PPL Electric posted its best year ever for safety."}, {"path": "tedlium_31722.wav", "duration": 6.48, "text": "Can you just sort of like give us a little bit more color on what's driving that? Was it all sort of the incremental growth from the online booking tool?"}, {"path": "tedlium_31723.wav", "duration": 6.48, "text": "And we don't know at this point how many stores are actually capable of achieving that kind of incremental performance."}, {"path": "tedlium_31724.wav", "duration": 6.48, "text": "significantly extend the maturity profile, achieve more favorable terms and increase the revolver commitments."}, {"path": "tedlium_31725.wav", "duration": 6.48, "text": "The industry there is experiencing a shortage of qualified staff, of construction material"}, {"path": "tedlium_31726.wav", "duration": 6.48, "text": "as I said on the call, we do believe that we can hold our NIM going forward for a couple of reasons. One is just"}, {"path": "tedlium_31727.wav", "duration": 6.48, "text": "during our last call, with the exception of a recent downward revision to our foundry outlook."}, {"path": "tedlium_31728.wav", "duration": 6.48, "text": "well, whether we're talking about Viewpoint or e-Builder, but across all the businesses we have in the construction technology space,"}, {"path": "tedlium_31729.wav", "duration": 6.48, "text": "taking on the role of -- wanting to develop this market in a more serious way. Still, I will say"}, {"path": "tedlium_31730.wav", "duration": 6.48, "text": "Collectively, these facilities will provide Lakeland with the capability to nearly double existing manufacturing capacity"}, {"path": "tedlium_31731.wav", "duration": 6.48, "text": "Any significant variation from these key assumptions could cause our EBITDA to fall outside of the range provided."}, {"path": "tedlium_31732.wav", "duration": 6.48, "text": "So Detsky Mir is a very strong brand which attract people. The second thing is"}, {"path": "tedlium_31733.wav", "duration": 6.48, "text": "while expanding our GalXC technology platform into new disease areas and targets of interest."}, {"path": "tedlium_31734.wav", "duration": 6.48, "text": "and he has brought a lot of organization skill to the business already, having only been with us a few months."}, {"path": "tedlium_31735.wav", "duration": 6.48, "text": "And then when the technology is completely rewritten onto the one platform that you want?"}, {"path": "tedlium_31736.wav", "duration": 6.48, "text": "We are currently in the process of negotiating terms and conditions, and we expect to have the new facility in place soon."}, {"path": "tedlium_31737.wav", "duration": 6.48, "text": "Well, what we have done here is we've made a concerted effort to say that within a"}, {"path": "tedlium_31738.wav", "duration": 6.48, "text": "I would also like to remind everyone that we believe the net impact on Aratana from this transfer is minor,"}, {"path": "tedlium_31739.wav", "duration": 6.48, "text": "be repeated in the next period as it was done in this quarter."}, {"path": "tedlium_31740.wav", "duration": 6.48, "text": "Are these similar in size to what you recently announced? Any color on that would be helpful."}, {"path": "tedlium_31741.wav", "duration": 6.48, "text": "Today, we're a diversified global asset manager that covers all major markets and sectors."}, {"path": "tedlium_31742.wav", "duration": 6.48, "text": "We have a variety of different kinds of assets in that,"}, {"path": "tedlium_31743.wav", "duration": 6.48, "text": "and maybe you saw it while you were there, we did see some areas of dilution that crept in on us,"}, {"path": "tedlium_31744.wav", "duration": 6.48, "text": "the areas that we bought these in were areas that we specifically had a lot of data"}, {"path": "tedlium_31745.wav", "duration": 6.48, "text": "if I look at the mortgage book, isn't the main driver of the margin expansion in mortgages just"}, {"path": "tedlium_31746.wav", "duration": 6.48, "text": "As this is my last earnings call, I do have a few additional comments that I'd like to make."}, {"path": "tedlium_31747.wav", "duration": 6.48, "text": "Net loss on investments for the second quarter included valuation losses on distressed mortgage loans"}, {"path": "tedlium_31748.wav", "duration": 6.48, "text": "And what I mean by that is, if the customer is using a different payment"}, {"path": "tedlium_31749.wav", "duration": 6.48, "text": "to ensure that citizens are able to seamlessly access critical government programs and services."}, {"path": "tedlium_31750.wav", "duration": 6.48, "text": "all the stakeholders understand that we understand the market and that we're going to address the market being there. So"}, {"path": "tedlium_31751.wav", "duration": 6.48, "text": "So, Aditya, it's very difficult to say that. As I said earlier that it depends upon what contracts you win and how do you execute them,"}, {"path": "tedlium_31752.wav", "duration": 6.48, "text": "Before we proceed with our presentation, please kindly read the disclaimer"}, {"path": "tedlium_31753.wav", "duration": 6.48, "text": "I believe this consistent approach to growth, productivity and cash will drive better value creation,"}, {"path": "tedlium_31754.wav", "duration": 6.48, "text": "highlighting our ability to prudently manage credit risk as we open new stores."}, {"path": "tedlium_31755.wav", "duration": 6.48, "text": "This is where our ecosystem of devices, software and users, now powered by AI, will be a game changer."}, {"path": "tedlium_31756.wav", "duration": 6.48, "text": "in other areas in order to strengthen our product offering to these types of customers."}, {"path": "tedlium_31757.wav", "duration": 6.48, "text": "For anyone who has not had the chance to review our results, we issued a press release after the close of trading today,"}, {"path": "tedlium_31758.wav", "duration": 6.48, "text": "Well, we think we can be a strong regional player. And we're going to a regional show next month in April"}, {"path": "tedlium_31759.wav", "duration": 6.48, "text": "Obviously, we have a very large customer in that space, and we have other large customers as well that have the potential"}, {"path": "tedlium_31760.wav", "duration": 6.48, "text": "mobile crushing and also the different parts of crushing? How those are performing relative to when you took over?"}, {"path": "tedlium_31761.wav", "duration": 6.48, "text": "The one -- and I'll just share with you the way that we look at it and -- is that"}, {"path": "tedlium_31762.wav", "duration": 6.48, "text": "So the simple point, Rob, is don't forget that we are growing essentially in line with our categories"}, {"path": "tedlium_31763.wav", "duration": 6.48, "text": "Russia grew high teens for the year, driven by strong growth across all categories"}, {"path": "tedlium_31764.wav", "duration": 6.48, "text": "the sale development was slightly negative year-on-year in a still challenging market."}, {"path": "tedlium_31765.wav", "duration": 6.48, "text": "so much of your business now seems to be more project-oriented? And"}, {"path": "tedlium_31766.wav", "duration": 6.48, "text": "as our Grayling mill returned to full production following a press replacement that was completed in late October."}, {"path": "tedlium_31767.wav", "duration": 6.48, "text": "And The Commercial Appeal in Memphis won first place in explanatory reporting for daily newspapers"}, {"path": "tedlium_31768.wav", "duration": 6.48, "text": "And so I think we have every reason to believe that when you marry that with the D code that we will see"}, {"path": "tedlium_31769.wav", "duration": 6.48, "text": "All financial references on this call will be on a non-GAAP continuing operations basis, unless otherwise indicated."}, {"path": "tedlium_31770.wav", "duration": 6.48, "text": "Our omnichannel ecosystem is a strategic weapon as it drives much stronger customer engagement."}, {"path": "tedlium_31771.wav", "duration": 6.48, "text": "some of your findings from preclinical studies that give you confidence that 253 has a safe therapeutic window."}, {"path": "tedlium_31772.wav", "duration": 6.48, "text": "It was one thing when we met with regulars in other jurisdictions where a short seller was making allegations about the company."}, {"path": "tedlium_31773.wav", "duration": 6.48, "text": "We have available capacity within Q2 and we could have chosen to produce those orders."}, {"path": "tedlium_31774.wav", "duration": 6.48, "text": "it's -- it was just a really good quarter. It was a nice mix of the 3 buckets of"}, {"path": "tedlium_31775.wav", "duration": 6.48, "text": "methodology that we go through. Whenever we have a need for a solution that our customers are looking for,"}, {"path": "tedlium_31776.wav", "duration": 6.48, "text": "The fluctuations in our working capital between periods were primarily related to the timing of collections from clients"}, {"path": "tedlium_31777.wav", "duration": 6.48, "text": "the LNG business continues to be down towards the bottom. And so we don't see a lot of change in either one of those."}, {"path": "tedlium_31778.wav", "duration": 6.48, "text": "in delivering another strong quarter of results in safety and financial performance."}, {"path": "tedlium_31779.wav", "duration": 6.48, "text": "I would like to stress that the fact that we are cautious"}, {"path": "tedlium_31780.wav", "duration": 6.48, "text": "we don't seem to have those same issues in our tolerability profile. So from both"}, {"path": "tedlium_31781.wav", "duration": 6.48, "text": "Before handing the call over to Pam for a walk-through of the financials, I'll provide an operational update."}, {"path": "tedlium_31782.wav", "duration": 6.48, "text": "wasn't beyond the wit of man to assume at some point they are going to put those bundles together, and we have done the same thing with great success."}, {"path": "tedlium_31783.wav", "duration": 6.48, "text": "and this is an important point, this is not just a cost-cutting exercise. And I think we've seen or you are likely to see"}, {"path": "tedlium_31784.wav", "duration": 6.48, "text": "We expect these and other investments such as CombiPlex and our ImmunoGen collaboration to drive further value over time."}, {"path": "tedlium_31785.wav", "duration": 6.48, "text": "cost savings and modestly higher capacity utilization in the fourth quarter."}, {"path": "tedlium_31786.wav", "duration": 6.48, "text": "But I think the most impactful for us has been the number of people being driven to that"}, {"path": "tedlium_31787.wav", "duration": 6.48, "text": "while the other one is still moving ahead on track, and we hope to close that bit in the March-April time frame."}, {"path": "tedlium_31788.wav", "duration": 6.48, "text": "Wouldn't you think that with the strides you're making and given that cardiac and stroke are so closely related"}, {"path": "tedlium_31789.wav", "duration": 6.48, "text": "to be as secure as they should. So we need to look at that, all of us,"}, {"path": "tedlium_31790.wav", "duration": 6.48, "text": "So we got impacted by that. That's actually back online, so it will not have as big of impact in the third."}, {"path": "tedlium_31791.wav", "duration": 6.48, "text": "that they need to have a little bit more courage, Europe included, to start to drive through these structural reforms."}, {"path": "tedlium_31792.wav", "duration": 6.48, "text": "Before I discuss Wabash National specific expectations for the first quarter"}, {"path": "tedlium_31793.wav", "duration": 6.48, "text": "is offsetting these factors? And could you also just talk about what's driving the range in the guidance?"}, {"path": "tedlium_31794.wav", "duration": 6.48, "text": "If you turn to Slide 5, I'll review the quarter financials in more detail."}, {"path": "tedlium_31795.wav", "duration": 6.48, "text": "So I would say there are some variances by market, but some of it is caused by us and where we're buying homes and adding more volume to our portfolio."}, {"path": "tedlium_31796.wav", "duration": 6.48, "text": "that will be paid to Tricon, and that will offset some of this early stage incremental overhead. So"}, {"path": "tedlium_31797.wav", "duration": 6.48, "text": "With respect to private label in frozen over time, here's how I think about that."}, {"path": "tedlium_31798.wav", "duration": 6.48, "text": "One was getting energy ready for what we'll call stabilization and kind of upturn, and I think"}, {"path": "tedlium_31799.wav", "duration": 6.48, "text": "or employees and internal and external workforce, I should say. We have actually substituted"}, {"path": "tedlium_31800.wav", "duration": 6.48, "text": "in our projections along with the improvements we'll see in our cost model. So that gives us confidence there's"}, {"path": "tedlium_31801.wav", "duration": 6.48, "text": "in taking the necessary steps to ensure our businesses adjust to fluctuations in demand."}, {"path": "tedlium_31802.wav", "duration": 6.48, "text": "Looking beyond our strong financial results, we believe the company is well positioned for continued success."}, {"path": "tedlium_31803.wav", "duration": 6.48, "text": "So we see that we have these continued capital opportunities and feel great about that. But overall,"}, {"path": "tedlium_31804.wav", "duration": 6.48, "text": "Our catering-only revenues from the provision of catering and housekeeping services without associated bed rentals"}, {"path": "tedlium_31805.wav", "duration": 6.48, "text": "We believe this is a firm indication that by combining our Discovery and Safety Assessment businesses"}, {"path": "tedlium_31806.wav", "duration": 6.48, "text": "These statements are based on management's beliefs and assumptions, current expectations, estimates and forecasts."}, {"path": "tedlium_31807.wav", "duration": 6.48, "text": "and the approval of an RF device in Japan, which will provide a very positive boost to the end of the year."}, {"path": "tedlium_31808.wav", "duration": 6.48, "text": "some repair procedures, and that will be another area of analysis for us going forward"}, {"path": "tedlium_31809.wav", "duration": 6.48, "text": "We also hired a gentleman who was with Graystone Consulting, and acted as a very high level PM"}, {"path": "tedlium_31810.wav", "duration": 6.48, "text": "And we are continuously looking for ways to bolster our programming and grow our audiences and deepen their engagement."}, {"path": "tedlium_31811.wav", "duration": 6.48, "text": "much more specific guidance at our Investor Day on June 7. It's -- we think it's really important"}, {"path": "tedlium_31812.wav", "duration": 6.48, "text": "We look forward to keeping you updated as we execute our strategy during the balance of 2017 and beyond."}, {"path": "tedlium_31813.wav", "duration": 6.48, "text": "All transactions are subject to market and other conditions as well as requisite approvals."}, {"path": "tedlium_31814.wav", "duration": 6.48, "text": "and I guess new construction perhaps in the balance at the moment in the larger projects. But as you see those opportunities, I think,"}, {"path": "tedlium_31815.wav", "duration": 6.48, "text": "prior to getting the full final solution set. A few of these key elements that we deem priority"}, {"path": "tedlium_31816.wav", "duration": 6.48, "text": "that shows the metal price going back to 2016. And you can see it's been steadily increasing"}, {"path": "tedlium_31817.wav", "duration": 6.48, "text": "could have their holdings redeemed for Class A shares, which are listed and traded on the NYSE. As"}, {"path": "tedlium_31818.wav", "duration": 6.48, "text": "so that they may be leased to larger, better credit tenants at higher rents."}, {"path": "tedlium_31819.wav", "duration": 6.48, "text": "it has not been as robust as we've seen in 2015, but it's been fairly steady."}, {"path": "tedlium_31820.wav", "duration": 6.48, "text": "kind of, the transition or the progress there, and what the opportunity is with this account longer term?"}, {"path": "tedlium_31821.wav", "duration": 6.48, "text": "Having said that, in light of the company's efforts over the years, in terms of the new business like the battery business"}, {"path": "tedlium_31822.wav", "duration": 6.48, "text": "Excluding the adverse effect of the South African taxes, the normalized tax rate for the group"}, {"path": "tedlium_31823.wav", "duration": 6.48, "text": "the limitations of certain industry and market data included in the presentation and the use of non-GAAP financial measures."}, {"path": "tedlium_31824.wav", "duration": 6.48, "text": "And so we are positioned to be able to gain share and continue to accelerate our positioning"}, {"path": "tedlium_31825.wav", "duration": 6.48, "text": "while excluding the aforementioned revaluation gain and transaction fees and expenses."}, {"path": "tedlium_31826.wav", "duration": 6.48, "text": "merchandising, manufacturing and technology, was also a major focus of the convention."}, {"path": "tedlium_31827.wav", "duration": 6.4799375, "text": "Partially offsetting these gains was a realized loss related to the restructuring of a middle market investment."}, {"path": "tedlium_31828.wav", "duration": 6.4500625, "text": "No one should assume that these forward-looking statements remain valid later in the quarter or later in the year."}, {"path": "tedlium_31829.wav", "duration": 6.4500625, "text": "The document may be found on the company's website under Investor Center as well as on the SEC website."}, {"path": "tedlium_31830.wav", "duration": 6.4500625, "text": "I am sure that we made the right decision and that we are choosing the right leader for the company."}, {"path": "tedlium_31831.wav", "duration": 6.45, "text": "in all these different business lines. We acquire clients more cost effectively than our competitors"}, {"path": "tedlium_31832.wav", "duration": 6.45, "text": "As you see from this quarter's results, however, we are back on track and clearly moving in the right direction."}, {"path": "tedlium_31833.wav", "duration": 6.45, "text": "We are currently constructing a new latex balloon production machine at our facility in Mexico,"}, {"path": "tedlium_31834.wav", "duration": 6.45, "text": "Actual improvements will be realized in improved adjusted operating income."}, {"path": "tedlium_31835.wav", "duration": 6.45, "text": "If we think about Q4, we saw particularly strong consumption and sales in the core lip care"}, {"path": "tedlium_31836.wav", "duration": 6.45, "text": "is in the process of being migrated to a virtual private cloud environment utilizing cloud data services."}, {"path": "tedlium_31837.wav", "duration": 6.45, "text": "maybe one question for Brian. Just on the fees that were in the service charges, kind of the exit fees, Brian, how much was"}, {"path": "tedlium_31838.wav", "duration": 6.45, "text": "week was the first phase, which is a parkade and some renovations to the interior. We've got other phases to go."}, {"path": "tedlium_31839.wav", "duration": 6.45, "text": "So let me answer very specifically and then maybe Dominic wants to talk more generally about the"}, {"path": "tedlium_31840.wav", "duration": 6.45, "text": "It has been proven time and again that an engaged workforce delivers better results."}, {"path": "tedlium_31841.wav", "duration": 6.45, "text": "Not every company can claim it deeply impacts the lives of millions. We can."}, {"path": "tedlium_31842.wav", "duration": 6.45, "text": "which just means that the monitoring dimension, the risk management dimension, the appraisal dimension"}, {"path": "tedlium_31843.wav", "duration": 6.45, "text": "We also had higher system sales in the quarter related to the opening of the Wynn Macau."}, {"path": "tedlium_31844.wav", "duration": 6.45, "text": "I will now hand the call over to Jim, to comment further on our operations and market conditions."}, {"path": "tedlium_31845.wav", "duration": 6.45, "text": "which is a primary mechanism for transporting and delivering refined products"}, {"path": "tedlium_31846.wav", "duration": 6.45, "text": "the hard work to reduce our costs and to improve margins as we go forward."}, {"path": "tedlium_31847.wav", "duration": 6.45, "text": "I think -- I don't -- I wouldn't expect huge differences in what we're doing, but I think we're looking forward to"}, {"path": "tedlium_31848.wav", "duration": 6.45, "text": "We will provide weldments and precision machining capabilities to the Korean equipment suppliers"}, {"path": "tedlium_31849.wav", "duration": 6.45, "text": "actually there will be -- we really can't predict right know if there will be"}, {"path": "tedlium_31850.wav", "duration": 6.45, "text": "The seasonal sequential decline in our wireless segment was less than expected"}, {"path": "tedlium_31851.wav", "duration": 6.45, "text": "Our acquisition pipeline is very active and provides avenues for both healthy diversification and growth."}, {"path": "tedlium_31852.wav", "duration": 6.45, "text": "I will conclude with an update on our guidance, reaffirming our previously established outlook."}, {"path": "tedlium_31853.wav", "duration": 6.45, "text": "Thank you, again, for your interest and support. And we look forward to updating you on our progress soon."}, {"path": "tedlium_31854.wav", "duration": 6.45, "text": "when there will be a decision of ACM and when the decision will not change from what we see"}, {"path": "tedlium_31855.wav", "duration": 6.45, "text": "The second important announcement of Jay's speech was Meritor identifying Peterbilt"}, {"path": "tedlium_31856.wav", "duration": 6.45, "text": "I'm not sure I can give you a much more specific answer than that. We're looking every day and finding those opportunities. We will make some headway this coming year on"}, {"path": "tedlium_31857.wav", "duration": 6.45, "text": "This is providing us with a strong foundation from which we can generate consistent growth."}, {"path": "tedlium_31858.wav", "duration": 6.45, "text": "the matrix management of expenses is working quite well."}, {"path": "tedlium_31859.wav", "duration": 6.45, "text": "I would now like to ask Rob to discuss the summary financial results for the third quarter."}, {"path": "tedlium_31860.wav", "duration": 6.45, "text": "And the ultimate impact on our in-service date is ultimately going to depend on the final conditions that we receive in May."}, {"path": "tedlium_31861.wav", "duration": 6.45, "text": "there is no question that we're going to have to start settling and collecting that cash,"}, {"path": "tedlium_31862.wav", "duration": 6.45, "text": "We have a relentless focus on reducing costs and improving efficiency across the business."}, {"path": "tedlium_31863.wav", "duration": 6.45, "text": "due to a variety of factors. We refer you to Marlin's recent filings with the SEC for more detailed discussions"}, {"path": "tedlium_31864.wav", "duration": 6.45, "text": "and so this is something that's really just a trace element, has a limited impact on"}, {"path": "tedlium_31865.wav", "duration": 6.45, "text": "Market awareness continues to build and Privileged Account Security is often among the top priorities in enterprise security."}, {"path": "tedlium_31866.wav", "duration": 6.45, "text": "With the acquisition of Conjur, we have significantly expanded our offering with advanced security and management capabilities,"}, {"path": "tedlium_31867.wav", "duration": 6.45, "text": "For the full year, we grew in all of our major commercial regions and grew in all of our major end markets as well."}, {"path": "tedlium_31868.wav", "duration": 6.45, "text": "When we acquired that company, we quickly identified the talent that exists in that group that"}, {"path": "tedlium_31869.wav", "duration": 6.45, "text": "if the right things come along. Are we at the right point in the cycle for you to be making acquisitions? And are there things available?"}, {"path": "tedlium_31870.wav", "duration": 6.45, "text": "to store layouts, vendor matrix and improving the overall customer experience."}, {"path": "tedlium_31871.wav", "duration": 6.45, "text": "The other area I'd highlight there is that saks.com remains one of the most exciting Internet sites that I've seen"}, {"path": "tedlium_31872.wav", "duration": 6.45, "text": "expect to grow our pretax income, you should see the effective tax rate trend downwards."}, {"path": "tedlium_31873.wav", "duration": 6.45, "text": "In addition, today's press release and supplementary financial data tables have been posted to our website."}, {"path": "tedlium_31874.wav", "duration": 6.45, "text": "The return on investments for areas A and B is definitely in the high"}, {"path": "tedlium_31875.wav", "duration": 6.45, "text": "the rest of the business is broadly in neutral flows, which is"}, {"path": "tedlium_31876.wav", "duration": 6.45, "text": "I think it's early on because remember, we didn't actually implement the change until November. So"}, {"path": "tedlium_31877.wav", "duration": 6.45, "text": "The program will extend beyond this as we take it to further countries and deeper into our supply chain."}, {"path": "tedlium_31878.wav", "duration": 6.45, "text": "That business is doing very, very well for us. And the tea business is actually also consistently improving."}, {"path": "tedlium_31879.wav", "duration": 6.45, "text": "We want more people to be directly linked to the results in the marketplace and being held accountable for that."}, {"path": "tedlium_31880.wav", "duration": 6.45, "text": "with an average maturity of bonds longer than 7 years."}, {"path": "tedlium_31881.wav", "duration": 6.45, "text": "We're pleased to be in a position to commence a regular dividend, which I believe underscores the confidence"}, {"path": "tedlium_31882.wav", "duration": 6.45, "text": "The program is not mandated by law and also requires a referral from a general practitioner."}, {"path": "tedlium_31883.wav", "duration": 6.45, "text": "The financial impact from the HAAS contract modifications had an immediate pickup"}, {"path": "tedlium_31884.wav", "duration": 6.45, "text": "So we're pleased with the improvements that we've seen in productivity as more of our employees have graduated and become accredited."}, {"path": "tedlium_31885.wav", "duration": 6.45, "text": "and was appointed CFO for the group in February this year."}, {"path": "tedlium_31886.wav", "duration": 6.45, "text": "in the state prison system that has been developed because of inmate population growth over the last year."}, {"path": "tedlium_31887.wav", "duration": 6.45, "text": "The transfer price from Japan is determined through APA, advance pricing arrangement"}, {"path": "tedlium_31888.wav", "duration": 6.45, "text": "if you just do a fourth quarter to fourth quarter comparison, I can't give you a better"}, {"path": "tedlium_31889.wav", "duration": 6.45, "text": "or do you envision them having a positive effect on your end markets going forward, either the consolidation of the industries"}, {"path": "tedlium_31890.wav", "duration": 6.45, "text": "is going. Tanja will start with an extensive review of our talent function as geographically deployed."}, {"path": "tedlium_31891.wav", "duration": 6.45, "text": "The increase for 2015 is primarily driven by the lower depreciation expense from the asset life extension."}, {"path": "tedlium_31892.wav", "duration": 6.45, "text": "We will continue to monitor the business environment and costs closely while investing for future growth."}, {"path": "tedlium_31893.wav", "duration": 6.45, "text": "We will maximize the use of Haneda and Narita as we aim to complete our dual hub model."}, {"path": "tedlium_31894.wav", "duration": 6.45, "text": "So it's become a major part of our business. And when people think of Industrial, you think of all these kind of small"}, {"path": "tedlium_31895.wav", "duration": 6.45, "text": "Well, I'll start off and then see if Jack wants to add anything. But when we think about the use of cash,"}, {"path": "tedlium_31896.wav", "duration": 6.45, "text": "for share-based awards for accounting and tax purposes are recognized upon vesting or settlement"}, {"path": "tedlium_31897.wav", "duration": 6.45, "text": "over the long term. There are number of strategic benefits which results from this transition."}, {"path": "tedlium_31898.wav", "duration": 6.45, "text": "that would have probably had an impact on how our yields were for gasoline."}, {"path": "tedlium_31899.wav", "duration": 6.45, "text": "I would first like to refer to the advisory regarding forward-looking statements contained in today's news release."}, {"path": "tedlium_31900.wav", "duration": 6.45, "text": "This sales level was slightly lower than plan, but the product mix was somewhat stronger,"}, {"path": "tedlium_31901.wav", "duration": 6.45, "text": "Another very important key aspect is yields."}, {"path": "tedlium_31902.wav", "duration": 6.45, "text": "or how the business will perform as we look forward to next year, extent this sort of volatility continues?"}, {"path": "tedlium_31903.wav", "duration": 6.45, "text": "does it mean that you'll have to eventually sell them off? And if yes, then have you already started the process?"}, {"path": "tedlium_31904.wav", "duration": 6.45, "text": "and general rental markets as a result of lower capital spending caused by the substantial decline in energy prices."}, {"path": "tedlium_31905.wav", "duration": 6.45, "text": "We have an idea of the type of -- where we want to be in terms of our digital audience."}, {"path": "tedlium_31906.wav", "duration": 6.45, "text": "Last month, new research was published representing the most current analysis of national trends in opioid prescribing."}, {"path": "tedlium_31907.wav", "duration": 6.45, "text": "In the case of Brio Gold, we took a strategic decision to focus on improving the quality of operations."}, {"path": "tedlium_31908.wav", "duration": 6.45, "text": "increasing levels of competition, and heightening innovation levels, as well as consumers and businesses"}, {"path": "tedlium_31909.wav", "duration": 6.45, "text": "All of which has driven a significant increase in sales and profits versus prior year for these stores."}, {"path": "tedlium_31910.wav", "duration": 6.45, "text": "If franchisees don't make money in a franchise restaurant business, no one wins."}, {"path": "tedlium_31911.wav", "duration": 6.45, "text": "have known our organic growth has been relatively anemic. We've been trying to bring some focus to that,"}, {"path": "tedlium_31912.wav", "duration": 6.45, "text": "Given our second half earnings and cash flow expectation, the group has surplus capital."}, {"path": "tedlium_31913.wav", "duration": 6.45, "text": "Okay. Can you expand a little bit on what programs or products are driving that strength?"}, {"path": "tedlium_31914.wav", "duration": 6.45, "text": "Thank you, Kevin. We are sincerely grateful for all that you've done since joining the Cable ONE family."}, {"path": "tedlium_31915.wav", "duration": 6.45, "text": "primarily to fund general and administrative expenses and for research and development."}, {"path": "tedlium_31916.wav", "duration": 6.45, "text": "We are even more consumer-centric using data and insights to inform our actions."}, {"path": "tedlium_31917.wav", "duration": 6.45, "text": "Our value enhancement programs will begin to show through as they have in Matrix the past few quarters."}, {"path": "tedlium_31918.wav", "duration": 6.45, "text": "Concerning online, we are working on developing an even more fluid and immersive way of experience"}, {"path": "tedlium_31919.wav", "duration": 6.45, "text": "I think the intention is to keep it indefinitely as indefinitely is used"}, {"path": "tedlium_31920.wav", "duration": 6.45, "text": "change in your thought about where that segment's margin can go over the long term?"}, {"path": "tedlium_31921.wav", "duration": 6.45, "text": "and the success of other -- of our strategic initiatives. And on Slide 7, you're going to see that we've been doing just that"}, {"path": "tedlium_31922.wav", "duration": 6.45, "text": "since we're now sort of experts, given our Belgian acquisition. For the record, we do not see a seismic shift"}, {"path": "tedlium_31923.wav", "duration": 6.45, "text": "Thank you. This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_31924.wav", "duration": 6.45, "text": "But one of the major issues I believe is still"}, {"path": "tedlium_31925.wav", "duration": 6.45, "text": "I think we certainly lost out on a significant amount of cases during the quarter because we were literally"}, {"path": "tedlium_31926.wav", "duration": 6.45, "text": "My comments this morning will refer to the slides that are available through the Investors section of our website."}, {"path": "tedlium_31927.wav", "duration": 6.45, "text": "the infrastructure for all of that and get the right folks onboard. There's quite a bit of work to do. We had to do work on the product itself."}, {"path": "tedlium_31928.wav", "duration": 6.45, "text": "Additional information on these investments and their impact to our financial statements is included in our Redwood Review."}, {"path": "tedlium_31929.wav", "duration": 6.45, "text": "and enables us to go to market with a full range of aerodynamic solutions for our customers."}, {"path": "tedlium_31930.wav", "duration": 6.45, "text": "Discussions of these non-GAAP measures and reconciliations of them to their most comparable GAAP measures"}, {"path": "tedlium_31931.wav", "duration": 6.45, "text": "Likewise, a very competitive situation in another Gray market that previously has seen its share of competitive races"}, {"path": "tedlium_31932.wav", "duration": 6.45, "text": "sort of towards the end of last year, and that really just supported our plans to move forward in these 2 indications."}, {"path": "tedlium_31933.wav", "duration": 6.45, "text": "We continue to add features to ensure we're staying at the forefront of school safety."}, {"path": "tedlium_31934.wav", "duration": 6.45, "text": "an increase in underlying EBIT will be offset by increased depreciation and interest costs."}, {"path": "tedlium_31935.wav", "duration": 6.45, "text": "This means that the countries where we are anticipating a possible growth in our portfolio"}, {"path": "tedlium_31936.wav", "duration": 6.45, "text": "it seems that it's going the right direction. So eventually, there might be some opportunities in Argentina"}, {"path": "tedlium_31937.wav", "duration": 6.45, "text": "The company opened a both in recent CEATEC and attracted a great attention."}, {"path": "tedlium_31938.wav", "duration": 6.45, "text": "In 2019, we're relatively confident that we'll be able to get back to our targets,"}, {"path": "tedlium_31939.wav", "duration": 6.45, "text": "I think we would expect pragmatic solutions and strong support from"}, {"path": "tedlium_31940.wav", "duration": 6.45, "text": "And so the extension from that final leg, and there's a couple of different routes that we would be looking at,"}, {"path": "tedlium_31941.wav", "duration": 6.45, "text": "its internalization process, setting up subsidiaries in the main European countries,"}, {"path": "tedlium_31942.wav", "duration": 6.45, "text": "lie in those agreements? And when, I guess, when will you be at a point to"}, {"path": "tedlium_31943.wav", "duration": 6.45, "text": "Thank you, Brian. On behalf of the management of Twin Disc, we are extremely pleased that you have taken the time"}, {"path": "tedlium_31944.wav", "duration": 6.45, "text": "At the end of December, we concluded the transaction with Weatherford, not as a joint venture"}, {"path": "tedlium_31945.wav", "duration": 6.45, "text": "a significant advantage in being able to do both? I think we'd like to have both,"}, {"path": "tedlium_31946.wav", "duration": 6.45, "text": "groundbreaking shift in the way we're doing business or the discussions. There's no question"}, {"path": "tedlium_31947.wav", "duration": 6.45, "text": "to go through that and ongoing weakness in its primary operating unit,"}, {"path": "tedlium_31948.wav", "duration": 6.45, "text": "But it's still a important tracker to see the attractiveness of our radio platform."}, {"path": "tedlium_31949.wav", "duration": 6.45, "text": "and it states that we could do some very exciting things for the future. And it makes a quite an exciting place to be."}, {"path": "tedlium_31950.wav", "duration": 6.45, "text": "Finally, we have continuously sought feedback from all of our shareholders."}, {"path": "tedlium_31951.wav", "duration": 6.45, "text": "amongst other studies to be conducted during this fiscal year. That program is currently underway"}, {"path": "tedlium_31952.wav", "duration": 6.45, "text": "that you already know then that our dividend will increase next year due to the fact that it also"}, {"path": "tedlium_31953.wav", "duration": 6.45, "text": "We've got others that may be getting closer to that potential. We're going to keep trying to work to improve it, and we do believe that"}, {"path": "tedlium_31954.wav", "duration": 6.45, "text": "is also normally weaker than the first because of the holiday period in August"}, {"path": "tedlium_31955.wav", "duration": 6.45, "text": "stream CBS content even if it's not local? Or am I totally cut off from that?"}, {"path": "tedlium_31956.wav", "duration": 6.45, "text": "of this call on our website. We also will post an updated investor deck to the website in the next few days."}, {"path": "tedlium_31957.wav", "duration": 6.45, "text": "Systematically and generically, we do a review of our position in portfolios, but"}, {"path": "tedlium_31958.wav", "duration": 6.45, "text": "including some very significant partners on-boarded, that have large sales forces on The Street."}, {"path": "tedlium_31959.wav", "duration": 6.45, "text": "The time factor meaning ramping up. I mean, from the moment that you have signed up the new advisory agreement"}, {"path": "tedlium_31960.wav", "duration": 6.45, "text": "is that it's built our confidence along with evidence from this new TAM"}, {"path": "tedlium_31961.wav", "duration": 6.45, "text": "Right. So we do have price discipline. You're absolutely correct. And we have lost"}, {"path": "tedlium_31962.wav", "duration": 6.45, "text": "Okay. Well, thank you all very much for listening. We look forward to speaking to you again next quarter."}, {"path": "tedlium_31963.wav", "duration": 6.45, "text": "With that introduction, I will turn it over to Bob to discuss our financial results in more detail Thank you, Jon."}, {"path": "tedlium_31964.wav", "duration": 6.45, "text": "The automotive catalyst market is currently concentrated with a small handful of global manufacturers."}, {"path": "tedlium_31965.wav", "duration": 6.45, "text": "the water circulating around the facility for cooling water may be not be as critical to them as"}, {"path": "tedlium_31966.wav", "duration": 6.45, "text": "and fully appreciate the multitude of negative impacts TD can have on the quality of people's lives."}, {"path": "tedlium_31967.wav", "duration": 6.45, "text": "We have always considered this a learning launch and have gained quite a bit of insight about the TD market during the first year."}, {"path": "tedlium_31968.wav", "duration": 6.45, "text": "there were still -- in relation to the size of the business, there were few enough left that even though we lost some at the end,"}, {"path": "tedlium_31969.wav", "duration": 6.45, "text": "I think the cost savings from the merger cost savings"}, {"path": "tedlium_31970.wav", "duration": 6.45, "text": "and it distracted from our new business efforts. But I don't think revenue dissynergies were anything that really added to that."}, {"path": "tedlium_31971.wav", "duration": 6.45, "text": "with production, costs and capital all meeting or beating our market guidance"}, {"path": "tedlium_31972.wav", "duration": 6.45, "text": "Given our significant inventory reductions during the year, we would like to point out that our tons based churn rate"}, {"path": "tedlium_31973.wav", "duration": 6.45, "text": "from the many programs and investments we've been making in Collectors Universe to promote our brands around the world. The"}, {"path": "tedlium_31974.wav", "duration": 6.45, "text": "Asia Pacific orders increased 9%, driven by strong growth in China,"}, {"path": "tedlium_31975.wav", "duration": 6.4499375, "text": "Going forward, we expect our net interest income will represent an increasing portion"}, {"path": "tedlium_31976.wav", "duration": 6.4200625, "text": "and cost management levers at MacDermid that we began to exercise in the second half of the year."}, {"path": "tedlium_31977.wav", "duration": 6.4200625, "text": "really early, you're not going to be -- you're going to be having a lower yield until you achieve that higher level. So there is"}, {"path": "tedlium_31978.wav", "duration": 6.42, "text": "We're also slightly trimming our outlook for sales to our process industry end markets to reflect weaker OEM order trends"}, {"path": "tedlium_31979.wav", "duration": 6.42, "text": "that we signed about five years ago, started the deployment over the past few years"}, {"path": "tedlium_31980.wav", "duration": 6.42, "text": "Some may be a little tighter depending on competition, some may be a little further depending on competition"}, {"path": "tedlium_31981.wav", "duration": 6.42, "text": "One. The urgency of enterprises to digitally transform their business operations"}, {"path": "tedlium_31982.wav", "duration": 6.42, "text": "Clearly, ongoing uncertainty about Brexit and the political instability that brings on is unhelpful."}, {"path": "tedlium_31983.wav", "duration": 6.42, "text": "It's largely dependent on the number of brands and markets that we have active, but"}, {"path": "tedlium_31984.wav", "duration": 6.42, "text": "do you want and expect the business to have over the medium or long term? I'll"}, {"path": "tedlium_31985.wav", "duration": 6.42, "text": "activity is influencing a higher level of refinancings. But in terms of our ability to predict"}, {"path": "tedlium_31986.wav", "duration": 6.42, "text": "I hope that I have tackled all of your questions on currency and Argentina."}, {"path": "tedlium_31987.wav", "duration": 6.42, "text": "These are e-commerce. We've talked about this in the past. I mentioned Asia in the last call as well,"}, {"path": "tedlium_31988.wav", "duration": 6.42, "text": "And we expect that to continue as well alongside the continued growth of the breach response products"}, {"path": "tedlium_31989.wav", "duration": 6.42, "text": "most of your peers. So can you just talk generally about OpEx and sort of how you think about what you could cut and what you can't? Well,"}, {"path": "tedlium_31990.wav", "duration": 6.42, "text": "Overall, we're pleased with the progress we're making in the digital space in terms of development of digital products,"}, {"path": "tedlium_31991.wav", "duration": 6.42, "text": "improving operating margins through an increased focus on manufacturing productivity, and reducing our fixed cost,"}, {"path": "tedlium_31992.wav", "duration": 6.42, "text": "Second, we continue to be pressured by rising commodity costs and ongoing inflation."}, {"path": "tedlium_31993.wav", "duration": 6.42, "text": "that being something you'll contemplate at some point. What will you look at to think about doing that?"}, {"path": "tedlium_31994.wav", "duration": 6.42, "text": "but with the tax changes and the SALT provision, do you expect that to decelerate at all next year?"}, {"path": "tedlium_31995.wav", "duration": 6.42, "text": "Very briefly, leases need to be capitalized and then amortized over the length of the leases."}, {"path": "tedlium_31996.wav", "duration": 6.42, "text": "and making sure we've got the infrastructure systems and people processes to support that."}, {"path": "tedlium_31997.wav", "duration": 6.42, "text": "each of these salespeople in the different regions to face-off in a very disciplined way against both"}, {"path": "tedlium_31998.wav", "duration": 6.42, "text": "for almost the entire period you were in a situation with surplus"}, {"path": "tedlium_31999.wav", "duration": 6.42, "text": "Great. And if I can just follow up my earlier question"}, {"path": "tedlium_32000.wav", "duration": 6.42, "text": "And certainly, as we looked at what we saw happen during the early part of 2018, that has continued."}, {"path": "tedlium_32001.wav", "duration": 6.42, "text": "There was no material impact from mergers and acquisition activity on any of our financial results in the quarter."}, {"path": "tedlium_32002.wav", "duration": 6.42, "text": "despite being based in Houston with nearly 100 facilities on the Gulf Coast area that was affected by the storm."}, {"path": "tedlium_32003.wav", "duration": 6.42, "text": "Note that we want to be cautious given the extremely competitive landscape"}, {"path": "tedlium_32004.wav", "duration": 6.42, "text": "she got contacted by her clinic and now she's going back to this letter that was proof that we need a contract."}, {"path": "tedlium_32005.wav", "duration": 6.42, "text": "Obviously, there's not a big revenue generation associated with that. We're now in full commercial launch, so we feel"}, {"path": "tedlium_32006.wav", "duration": 6.42, "text": "And we are evaluating further indications to take into clinical programs that will give us additional first mover advantages"}, {"path": "tedlium_32007.wav", "duration": 6.42, "text": "We'll stay in touch with her, and I'm sure she will, in many ways, stay close to the company in the years to come."}, {"path": "tedlium_32008.wav", "duration": 6.42, "text": "high single-digit with positive demand spread across all major European countries."}, {"path": "tedlium_32009.wav", "duration": 6.42, "text": "In fact, what we want to do when the yields are very high,"}, {"path": "tedlium_32010.wav", "duration": 6.42, "text": "We see that start-up costs has been part of the equation in the first half of the year"}, {"path": "tedlium_32011.wav", "duration": 6.42, "text": "but come in and see it because it's something we're very proud of and continue to work on as we take that cultural approach"}, {"path": "tedlium_32012.wav", "duration": 6.42, "text": "coming in the right direction in terms of improvements, not all over the place, but in some places."}, {"path": "tedlium_32013.wav", "duration": 6.42, "text": "And Protective Solutions had a difficult quarter due to deleveraging associated with the lower volume,"}, {"path": "tedlium_32014.wav", "duration": 6.42, "text": "And we now have a new opportunity both with Cornerstone HR and with content."}, {"path": "tedlium_32015.wav", "duration": 6.42, "text": "We continue to believe our shares are undervalued by any measure and represent a very attractive investment opportunity."}, {"path": "tedlium_32016.wav", "duration": 6.42, "text": "given our target capital, which is pretty high. I cannot say more at this stage"}, {"path": "tedlium_32017.wav", "duration": 6.42, "text": "and describe how we're evolving our strategy to take full advantage of the tremendous opportunities ahead."}, {"path": "tedlium_32018.wav", "duration": 6.42, "text": "and that includes Atlanta as well as Orlando, Tampa and Jacksonville. So we're not done investing."}, {"path": "tedlium_32019.wav", "duration": 6.42, "text": "Having opened an office in Japan, we are building momentum in that region and are focused on driving additional revenue."}, {"path": "tedlium_32020.wav", "duration": 6.42, "text": "We're currently in discussions with potential customers and expect to begin generating revenue by the end of the year."}, {"path": "tedlium_32021.wav", "duration": 6.42, "text": "But I think we are likely to undershoot a bit revenues on the sales side of our business,"}, {"path": "tedlium_32022.wav", "duration": 6.42, "text": "we came to know the SDL management team quite well and are very pleased with how the transaction concluded."}, {"path": "tedlium_32023.wav", "duration": 6.42, "text": "does that improve the profitability of the vessel meaningfully for the 2018 time frame?"}, {"path": "tedlium_32024.wav", "duration": 6.42, "text": "sell the shares. Remember that we don't have the control of the shares. We only have the economical benefit"}, {"path": "tedlium_32025.wav", "duration": 6.42, "text": "lower financial results of more cost, that the main explanation here is"}, {"path": "tedlium_32026.wav", "duration": 6.42, "text": "because we think the pricing is there to support it. And we try to be conservative in that pricing and"}, {"path": "tedlium_32027.wav", "duration": 6.42, "text": "adding to our project opportunities but also making better use of the existing capacity that we have."}, {"path": "tedlium_32028.wav", "duration": 6.42, "text": "on maximizing risk-adjusted returns in newer, higher quality and larger apartment communities"}, {"path": "tedlium_32029.wav", "duration": 6.42, "text": "The remainder of the decrease was due to geographic mix and timing differences of when space came online."}, {"path": "tedlium_32030.wav", "duration": 6.42, "text": "Price increases that are designed to overcome the inflationary headwinds related to material, labor and distribution costs"}, {"path": "tedlium_32031.wav", "duration": 6.42, "text": "With low volumes in France and in Spain compared to last year, and low inflations, no surprise."}, {"path": "tedlium_32032.wav", "duration": 6.42, "text": "which reflected adverse weather as well as the macro challenges impacting auto loss trends."}, {"path": "tedlium_32033.wav", "duration": 6.42, "text": "We believe we are on the right path and the strength of our Benchmark Homebuilding brand is reaching new heights."}, {"path": "tedlium_32034.wav", "duration": 6.42, "text": "Was there anything unusual? I know, you guys said there wasn't really anything out of the ordinary, but what sort of drove that increase in the quarter?"}, {"path": "tedlium_32035.wav", "duration": 6.42, "text": "And what we find is the work generally pushes out, and that's a little bit of what we're seeing in the marketplace today."}, {"path": "tedlium_32036.wav", "duration": 6.42, "text": "Is there any opportunity to transfer some of the Reed or now Centennial equipment"}, {"path": "tedlium_32037.wav", "duration": 6.42, "text": "And we don't believe that any of them are in any dire inventory position where they have to have a fire sale."}, {"path": "tedlium_32038.wav", "duration": 6.42, "text": "as we remain committed to operate the consumer business to maximize profits and free cash flow."}, {"path": "tedlium_32039.wav", "duration": 6.42, "text": "Our second quarter financial performance was highlighted by strong EBITDA and operating cash flow in our consumer business,"}, {"path": "tedlium_32040.wav", "duration": 6.42, "text": "struggle with that as well in the markets that we are currently dealing with, besides what I mentioned to you"}, {"path": "tedlium_32041.wav", "duration": 6.42, "text": "Looking ahead to the next few years, net financing costs are expected to reflect an interest rate on net debt"}, {"path": "tedlium_32042.wav", "duration": 6.42, "text": "Staggering the Texas and New Mexico rate case filings will help us maximize the efficiency of our internal resources."}, {"path": "tedlium_32043.wav", "duration": 6.42, "text": "With that, I'll turn the call over to Jim to provide an overview of the results for Agriculture."}, {"path": "tedlium_32044.wav", "duration": 6.42, "text": "The second impact is on margins. Irrespective of our go-forward services strategy"}, {"path": "tedlium_32045.wav", "duration": 6.42, "text": "with the remainder split between store strategies and base capital, primarily in omnichannel investment."}, {"path": "tedlium_32046.wav", "duration": 6.42, "text": "Now I'd like to turn the call over to Michael to talk further about our results. Thanks, Rob, and good morning, everyone."}, {"path": "tedlium_32047.wav", "duration": 6.42, "text": "And the second opportunity, which I have touched on also during the course of the morning, is the opportunity for enterprise and wholesale."}, {"path": "tedlium_32048.wav", "duration": 6.42, "text": "real mature operations. And I do think the nature of these programs is such that, in some form,"}, {"path": "tedlium_32049.wav", "duration": 6.42, "text": "And we started seeing quite a few wells just to the north of us, where"}, {"path": "tedlium_32050.wav", "duration": 6.42, "text": "As we shared previously, the store payback of the new stores is within a year"}, {"path": "tedlium_32051.wav", "duration": 6.42, "text": "And we can do this by continuing to add the most relevant, new SKUs to our product assortment."}, {"path": "tedlium_32052.wav", "duration": 6.42, "text": "business there, would we actually see a margin lift in the second half from that or are some of"}, {"path": "tedlium_32053.wav", "duration": 6.42, "text": "The investment portfolio has now grown to the appropriate size relative to the size of our balance sheet."}, {"path": "tedlium_32054.wav", "duration": 6.42, "text": "We spent the last 2 years really revamping our whole structure, going much more with a direct sales force"}, {"path": "tedlium_32055.wav", "duration": 6.42, "text": "This will be spurred by a higher level of innovation, driving branded growth in the second half of the year."}, {"path": "tedlium_32056.wav", "duration": 6.42, "text": "and Southern Cone. And we expect foreign exchange headwinds to persist in Southern Cone."}, {"path": "tedlium_32057.wav", "duration": 6.42, "text": "primarily as a result of growth in equivalent admission volumes, higher reimbursement rates from commercial payers"}, {"path": "tedlium_32058.wav", "duration": 6.42, "text": "to have the expense leverage to continue to improve, as the expense ratio goes down and then as the book seasons,"}, {"path": "tedlium_32059.wav", "duration": 6.42, "text": "that the bank was able to design and offer suitable and attractive financial services to MTS current customers."}, {"path": "tedlium_32060.wav", "duration": 6.42, "text": "What is significant is that the approval was granted just 3 months after its submission."}, {"path": "tedlium_32061.wav", "duration": 6.42, "text": "Instead, I'll discuss what was different in the first quarter versus our expectations."}, {"path": "tedlium_32062.wav", "duration": 6.42, "text": "As John said, we made good progress in advancing the projects under the Project Uplift umbrella."}, {"path": "tedlium_32063.wav", "duration": 6.42, "text": "quite well. We added a new tissue and paper machine last year and we have increased also our"}, {"path": "tedlium_32064.wav", "duration": 6.42, "text": "So I wouldn't say it's fully back to normal yet, but I think we're probably through the toughest pieces of it."}, {"path": "tedlium_32065.wav", "duration": 6.42, "text": "We are in a position to lead the research and elemental technology using NOMA and high frequency."}, {"path": "tedlium_32066.wav", "duration": 6.42, "text": "Average sales realizations for our Chinese export logs are expected to be lower than the first quarter."}, {"path": "tedlium_32067.wav", "duration": 6.42, "text": "Going forward, we may seek partners to develop the market units at this project."}, {"path": "tedlium_32068.wav", "duration": 6.42, "text": "Before I do that, I want to summarize what we have accomplished in the 3 months since this transaction has been closed."}, {"path": "tedlium_32069.wav", "duration": 6.42, "text": "Our CTO sees tremendous opportunities to drive up performance and drive down costs"}, {"path": "tedlium_32070.wav", "duration": 6.42, "text": "This award is a direct result of the hard work, dedication and commitment of our associates."}, {"path": "tedlium_32071.wav", "duration": 6.42, "text": "over longer time periods than they usually are. I know one of your competitors went out trumpeting one them specifically"}, {"path": "tedlium_32072.wav", "duration": 6.42, "text": "Just for your information, in May, we plan to file an 8-K with the SEC"}, {"path": "tedlium_32073.wav", "duration": 6.42, "text": "we have improved the profitability yet another quarter, and we have a strong financial position."}, {"path": "tedlium_32074.wav", "duration": 6.42, "text": "But our goal is to continue to drive growth in the business at that 4% to 5% range over the"}, {"path": "tedlium_32075.wav", "duration": 6.42, "text": "Our financial results improved from last quarter and from the corresponding quarter of last year."}, {"path": "tedlium_32076.wav", "duration": 6.42, "text": "Now let me spend a few minutes on the impact of Tax Reform. As mentioned earlier, the result of this quarter"}, {"path": "tedlium_32077.wav", "duration": 6.42, "text": "As we wrap up, I'm pleased report that the season is off to a strong start with all of our resorts open."}, {"path": "tedlium_32078.wav", "duration": 6.42, "text": "gives us confidence that we can reach 1,000 stores over the long term."}, {"path": "tedlium_32079.wav", "duration": 6.42, "text": "The first one, if you look at Europe, then if you look at the whole political situations, the elections,"}, {"path": "tedlium_32080.wav", "duration": 6.42, "text": "And this is really talking about some of the largest projects that we have. There might be some smaller ones that"}, {"path": "tedlium_32081.wav", "duration": 6.42, "text": "But the main theme continued to be sourcing and structuring our own investments that others cannot easily access."}, {"path": "tedlium_32082.wav", "duration": 6.42, "text": "we recommend a topside adjustment to our modeling tips in the appendix to incorporate this transaction."}, {"path": "tedlium_32083.wav", "duration": 6.42, "text": "We also remain squarely focused on executing across our margin drivers to fuel growth."}, {"path": "tedlium_32084.wav", "duration": 6.42, "text": "It offers us greater scale with customers and increases our health and wellness credentials. Two,"}, {"path": "tedlium_32085.wav", "duration": 6.42, "text": "able to use our technology to produce a full range of resins, from basic homopolymers to"}, {"path": "tedlium_32086.wav", "duration": 6.42, "text": "and insured values. But that's just one aspect of Aon. Another aspect is our ability to grow outside of traditional core"}, {"path": "tedlium_32087.wav", "duration": 6.42, "text": "and are working earnestly towards figuring out things that they're doing in and around their own business models"}, {"path": "tedlium_32088.wav", "duration": 6.42, "text": "When fuel prices increase, the opposite is true, and we actually have a negative impact associated with this structural lag."}, {"path": "tedlium_32089.wav", "duration": 6.42, "text": "We delivered significant margin expansion, while continuing to invest behind our Power Brands."}, {"path": "tedlium_32090.wav", "duration": 6.42, "text": "Thank you, operator. But then we can close down this call, looking at the financial calendar"}, {"path": "tedlium_32091.wav", "duration": 6.42, "text": "But obviously, there have been a number of headwinds that have prevented those policies from being fully realized"}, {"path": "tedlium_32092.wav", "duration": 6.42, "text": "Could you help us understand the delta between what our industry relationships are telling us"}, {"path": "tedlium_32093.wav", "duration": 6.42, "text": "even for the parts of the company that may not be with us going forward."}, {"path": "tedlium_32094.wav", "duration": 6.42, "text": "We effectively talk about 3 parts of that program. We talk about reviewing or reducing the liabilities,"}, {"path": "tedlium_32095.wav", "duration": 6.42, "text": "we booked a net reversal which had a positive effect on the financial results."}, {"path": "tedlium_32096.wav", "duration": 6.42, "text": "Occupancy costs were down as a result of continued progress in optimizing our global footprint."}, {"path": "tedlium_32097.wav", "duration": 6.42, "text": "And then how your overall strategy with the overall Charles River business is kind of focusing on China?"}, {"path": "tedlium_32098.wav", "duration": 6.42, "text": "We're making great strides operationally, and we expect the device tax relief to identify additional areas to invest."}, {"path": "tedlium_32099.wav", "duration": 6.42, "text": "we believe we have great processes in place. We expect that our continued focus on"}, {"path": "tedlium_32100.wav", "duration": 6.42, "text": "The stability and growth in our occupancy is a testament to our quality real estate locations and amenity offerings."}, {"path": "tedlium_32101.wav", "duration": 6.42, "text": "They are not yet moving the needle on our growth rate, but they will as they move to implementation."}, {"path": "tedlium_32102.wav", "duration": 6.42, "text": "I will be talking from our quarterly slide deck, so please follow along. Some of my comments today will be familiar to some of you."}, {"path": "tedlium_32103.wav", "duration": 6.42, "text": "We have announced a restructuring program designed to create better alignment and to reduce overall costs."}, {"path": "tedlium_32104.wav", "duration": 6.42, "text": "So that means that the way we look at the market, Egypt"}, {"path": "tedlium_32105.wav", "duration": 6.42, "text": "and believe that there will be no additional proceedings relating to these matters brought against the company."}, {"path": "tedlium_32106.wav", "duration": 6.42, "text": "At Luxfer, we strongly believe that our best days are still ahead of us."}, {"path": "tedlium_32107.wav", "duration": 6.42, "text": "being a levelized or uniformed commission structure across all products to include mutual funds and variable annuities."}, {"path": "tedlium_32108.wav", "duration": 6.42, "text": "Have you realized any seasonality in sales?"}, {"path": "tedlium_32109.wav", "duration": 6.42, "text": "But I believe we can talk about that, for sure in the third quarter, and possibly next quarter."}, {"path": "tedlium_32110.wav", "duration": 6.42, "text": "the baseline level of sales are for those? What percentage of respiratory? And then how many"}, {"path": "tedlium_32111.wav", "duration": 6.42, "text": "contact the client and advise him on what to do. This has been now rolled out for the Swiss platform."}, {"path": "tedlium_32112.wav", "duration": 6.42, "text": "funds on behalf of our clients in a discretionary manner. And we will be doing that"}, {"path": "tedlium_32113.wav", "duration": 6.42, "text": "with labor and factory cost a small gain, but offset by material costs and growth in overheads."}, {"path": "tedlium_32114.wav", "duration": 6.42, "text": "In relation to our footprint optimization and our ongoing commitment to improve our cyclical resilience,"}, {"path": "tedlium_32115.wav", "duration": 6.42, "text": "I'd like to share details on one realization. Earlier this month,"}, {"path": "tedlium_32116.wav", "duration": 6.42, "text": "which was primarily driven by a noncash, nondebt interest item related to purchase accounting."}, {"path": "tedlium_32117.wav", "duration": 6.42, "text": "we are maintaining our sales volume and adjusted EBITDA outlook provided at the end of the first quarter."}, {"path": "tedlium_32118.wav", "duration": 6.42, "text": "It's truly a great accomplishment by the entire team to achieve these results so quickly."}, {"path": "tedlium_32119.wav", "duration": 6.39, "text": "This includes both alignment of operating investment with capital allocation discipline and measured return"}, {"path": "tedlium_32120.wav", "duration": 6.39, "text": "And so we'll get a little bit of helping wind from those 2 smaller acquisitions."}, {"path": "tedlium_32121.wav", "duration": 6.39, "text": "the back half of this year to maybe get to the point where you had national distribution on that. So just wanted to see if there have been any movements?"}, {"path": "tedlium_32122.wav", "duration": 6.39, "text": "We will execute on the remaining capital raising initiatives, and we will rationalize costs further."}, {"path": "tedlium_32123.wav", "duration": 6.39, "text": "We're beginning to work with innovative emerging companies at the cusp of rapid growth and market disruption."}, {"path": "tedlium_32124.wav", "duration": 6.39, "text": "Glasses and contact lenses can be used for a time to address the side effects of the disease."}, {"path": "tedlium_32125.wav", "duration": 6.39, "text": "our new team that we put in place has been able to launch a new fund. Fundraising is progressing well there"}, {"path": "tedlium_32126.wav", "duration": 6.39, "text": "grow our portfolio, to hit our targets that we've laid out there for folks. And I feel comfortable we've got that"}, {"path": "tedlium_32127.wav", "duration": 6.39, "text": "In closing, we will continue to drive top line growth and operating leverage across the company."}, {"path": "tedlium_32128.wav", "duration": 6.39, "text": "we love to see, but the leverage rates on the distribution business are much different than the traditional manufacturing"}, {"path": "tedlium_32129.wav", "duration": 6.39, "text": "Please turn to the top of the next page, Slide 13, cash flows."}, {"path": "tedlium_32130.wav", "duration": 6.39, "text": "We have seen this trend moderate as players have become more attuned to the lower payout."}, {"path": "tedlium_32131.wav", "duration": 6.39, "text": "In addition to historical facts or statements of current conditions, today's conference call contains forward-looking statements"}, {"path": "tedlium_32132.wav", "duration": 6.39, "text": "We could not be more pleased with the strong operational performance by our managers in the field."}, {"path": "tedlium_32133.wav", "duration": 6.39, "text": "be focused more on the mechanisms and the latch systems within the rear seats, which we have a leadership position."}, {"path": "tedlium_32134.wav", "duration": 6.39, "text": "our clients who are -- those media content owners for them to understand the size of the audiences that they're"}, {"path": "tedlium_32135.wav", "duration": 6.39, "text": "I'll comment on that in a moment. But first, I'll walk you through the phases we're going through to get there."}, {"path": "tedlium_32136.wav", "duration": 6.39, "text": "Billing is a challenge for our industry and we needed to make changes in the former Clarient billing process,"}, {"path": "tedlium_32137.wav", "duration": 6.39, "text": "Our sales representatives are doing an excellent job building out the respective pipelines of growth opportunities"}, {"path": "tedlium_32138.wav", "duration": 6.39, "text": "part of the -- their requirements would come out of inventory before they would place new orders."}, {"path": "tedlium_32139.wav", "duration": 6.39, "text": "And the only reason that we have stopped for now is there are now active conversations"}, {"path": "tedlium_32140.wav", "duration": 6.39, "text": "what's been better than expected? Since you got into the weeds there and what's been more challenging"}, {"path": "tedlium_32141.wav", "duration": 6.39, "text": "Got it. And then in terms of the -- with the new"}, {"path": "tedlium_32142.wav", "duration": 6.39, "text": "These PoPs run on the public cloud avoiding the cost of establishing data centers as we enter new countries."}, {"path": "tedlium_32143.wav", "duration": 6.39, "text": "We believe that margins should return to their historical levels for the remainder of the year."}, {"path": "tedlium_32144.wav", "duration": 6.39, "text": "across the entire gaming ecosystem, is an extremely high priority on our product road map."}, {"path": "tedlium_32145.wav", "duration": 6.39, "text": "kind of brand awareness opportunity where people would travel from all over the country or the world,"}, {"path": "tedlium_32146.wav", "duration": 6.39, "text": "Actual results may differ materially from those implied or included in these forward-looking statements."}, {"path": "tedlium_32147.wav", "duration": 6.39, "text": "all of our segments as strategic components of our overall portfolio, and it's something that"}, {"path": "tedlium_32148.wav", "duration": 6.39, "text": "mainly impacted by the timing of national holidays. This will then"}, {"path": "tedlium_32149.wav", "duration": 6.39, "text": "The initiative illustrated what the passion and zeal of a truly committed team could accomplish."}, {"path": "tedlium_32150.wav", "duration": 6.39, "text": "mainly the cancellation of unprofitable contracts in France from the assistance business."}, {"path": "tedlium_32151.wav", "duration": 6.39, "text": "to significantly increase learning rates. Before I turn the call over to Dan, I'll quickly summarize."}, {"path": "tedlium_32152.wav", "duration": 6.39, "text": "given the size of what the Federal government is to our particular business, I'm very unconcerned about it."}, {"path": "tedlium_32153.wav", "duration": 6.39, "text": "strip out the mix impacts of industry premiumization. And how do you expect that change going forward?"}, {"path": "tedlium_32154.wav", "duration": 6.39, "text": "We acquired this land some time ago with the intention of doing the development. We didn't -- we were not"}, {"path": "tedlium_32155.wav", "duration": 6.39, "text": "the full year favorable revenue impact from currency is expected to be approximately 60 basis points"}, {"path": "tedlium_32156.wav", "duration": 6.39, "text": "we continue to increase new project engagements with many heavyweight customers worldwide."}, {"path": "tedlium_32157.wav", "duration": 6.39, "text": "particularly in the Permian, will still need to be satisfied primarily by Northern White sand."}, {"path": "tedlium_32158.wav", "duration": 6.39, "text": "And we've seen significant improvement and impact on our business in a positive manner."}, {"path": "tedlium_32159.wav", "duration": 6.39, "text": "But frankly, a significant portion of that is still being driven by inflation and higher lane rates."}, {"path": "tedlium_32160.wav", "duration": 6.39, "text": "closing process. That was the only debt that they had with seasonal working capital lines"}, {"path": "tedlium_32161.wav", "duration": 6.39, "text": "while we keep strong discipline and even more selectivity on capital allocation."}, {"path": "tedlium_32162.wav", "duration": 6.39, "text": "Additional reliability and resilience investments may be discussed in future calls."}, {"path": "tedlium_32163.wav", "duration": 6.39, "text": "if there was a distracted trigger in that claim file. We're obviously seeing an increase with that."}, {"path": "tedlium_32164.wav", "duration": 6.39, "text": "As we executed work over the course of the first quarter, we worked down that advanced billing position."}, {"path": "tedlium_32165.wav", "duration": 6.39, "text": "When we talk to our customers, it had been something that they've been able to extend with low energy prices. But"}, {"path": "tedlium_32166.wav", "duration": 6.39, "text": "doesn't have an impact from a disproportionate share of tariffs, not only to Americans who face cancer, but"}, {"path": "tedlium_32167.wav", "duration": 6.39, "text": "I urge you to keep focused on mortgage annual profit expectations to avoid being deceived that"}, {"path": "tedlium_32168.wav", "duration": 6.39, "text": "in the higher ranking of any organic or paid search in the categories that we dominate."}, {"path": "tedlium_32169.wav", "duration": 6.39, "text": "It's also really pleasing to see that the strategic relationship with Phoenix is already working well."}, {"path": "tedlium_32170.wav", "duration": 6.39, "text": "continuing to grow the mosquito service offering and possible geographic expansion."}, {"path": "tedlium_32171.wav", "duration": 6.39, "text": "In a number of countries, we faced disruptive increases in the cost of the materials that we use to make our products."}, {"path": "tedlium_32172.wav", "duration": 6.39, "text": "recent minimum wage legislation? And also with tighter labor markets,"}, {"path": "tedlium_32173.wav", "duration": 6.39, "text": "As Andrew said at the very beginning, we are starting with the questions in the room,"}, {"path": "tedlium_32174.wav", "duration": 6.39, "text": "in the center for allocating the capital and also for allocating the investment means,"}, {"path": "tedlium_32175.wav", "duration": 6.39, "text": "Well, most -- what I always ask people is, what was the price of oil 10 years ago?"}, {"path": "tedlium_32176.wav", "duration": 6.39, "text": "And many patients may require periodic retreatment as deposits come back."}, {"path": "tedlium_32177.wav", "duration": 6.39, "text": "are being well received in our continued discussions with potential commercial partners,"}, {"path": "tedlium_32178.wav", "duration": 6.39, "text": "rising environment versus the last time we experienced Fed tightening, where the beginning of the trend lines"}, {"path": "tedlium_32179.wav", "duration": 6.39, "text": "The last metric, the ratio of lifetime value of a customer to the customer acquisition cost in the third quarter,"}, {"path": "tedlium_32180.wav", "duration": 6.39, "text": "thank you for being here today despite your busy schedule to listen to our financial briefing."}, {"path": "tedlium_32181.wav", "duration": 6.39, "text": "And when we think about a partner, obviously we are going to be interested in someone that is really going to have propensity and focus"}, {"path": "tedlium_32182.wav", "duration": 6.39, "text": "Having said that, when you look at the margin separation,"}, {"path": "tedlium_32183.wav", "duration": 6.39, "text": "The actual numbers are misleading as a result of Easter falling in the first 5 weeks last year but not this year."}, {"path": "tedlium_32184.wav", "duration": 6.39, "text": "in this area, and we're quite optimistic about the opportunities in China."}, {"path": "tedlium_32185.wav", "duration": 6.39, "text": "So that is really at the heart of the way we manage our business."}, {"path": "tedlium_32186.wav", "duration": 6.39, "text": "by partnering with our various group companies to utilize customer data and create new value."}, {"path": "tedlium_32187.wav", "duration": 6.39, "text": "I don't have a number on the ARPU increase of that, but all those packages would be"}, {"path": "tedlium_32188.wav", "duration": 6.39, "text": "and talk about our results for the third quarter, I want to address the impact of Hurricane Michael on our plant in Panama City."}, {"path": "tedlium_32189.wav", "duration": 6.39, "text": "We introduced and refined the group's presentation sales format for new and existing owners,"}, {"path": "tedlium_32190.wav", "duration": 6.39, "text": "Our outlook assumes currency rates to be consistent with the end of July levels."}, {"path": "tedlium_32191.wav", "duration": 6.39, "text": "Chocolate continued to be strong as we executed our plans, and the overall market conditions remained good."}, {"path": "tedlium_32192.wav", "duration": 6.39, "text": "Other than that, I think our unplanned downtime, the way that we look at it is"}, {"path": "tedlium_32193.wav", "duration": 6.39, "text": "We see continued improvement in Germany despite the fact that, that was one of the areas that we chose"}, {"path": "tedlium_32194.wav", "duration": 6.39, "text": "that we contracted and we're in the process of deploying that as we commented on, and that helps us"}, {"path": "tedlium_32195.wav", "duration": 6.39, "text": "by allowing them to be classified as additional current maturities of long-term debt? Dev?"}, {"path": "tedlium_32196.wav", "duration": 6.39, "text": "how much effort we're putting on this and how much acceleration our intention is"}, {"path": "tedlium_32197.wav", "duration": 6.39, "text": "These include adding clinical sites and increasing enrollment in the ongoing Phase II clinical trial,"}, {"path": "tedlium_32198.wav", "duration": 6.39, "text": "All key categories for the brand domestically continue to perform well, especially the kids line."}, {"path": "tedlium_32199.wav", "duration": 6.39, "text": "improve our balance sheet and maintain a disciplined approach when it comes to our expenses."}, {"path": "tedlium_32200.wav", "duration": 6.39, "text": "And finally, I want to make a couple of observations on key topics of interest."}, {"path": "tedlium_32201.wav", "duration": 6.39, "text": "Increase was primarily the result of higher cost in our Pulp business"}, {"path": "tedlium_32202.wav", "duration": 6.39, "text": "for the full year. Please turn to Slide 12 labeled Balance Sheet and Cash Flow."}, {"path": "tedlium_32203.wav", "duration": 6.39, "text": "But we're very much focused on PCB, very much focused on the mainstream of the market."}, {"path": "tedlium_32204.wav", "duration": 6.39, "text": "This is resulting in a deferral of new equipment spending and playing a major role in the decline in the overall demand from mobile equipment."}, {"path": "tedlium_32205.wav", "duration": 6.39, "text": "But I don't think, at this point, we're really anticipating a meaningful increase in freight"}, {"path": "tedlium_32206.wav", "duration": 6.39, "text": "This concludes today's conference. Thank you for your participation. You may now disconnect."}, {"path": "tedlium_32207.wav", "duration": 6.39, "text": "we were going to back those that back us, and that's really the strategy we put in place."}, {"path": "tedlium_32208.wav", "duration": 6.39, "text": "But it would be fair to think that you would have capacity that you could utilize here to"}, {"path": "tedlium_32209.wav", "duration": 6.39, "text": "fell on the weekend this year, was that a meaningful impact in terms of"}, {"path": "tedlium_32210.wav", "duration": 6.39, "text": "Good morning. My name is Natalia, and I will be your conference operator today."}, {"path": "tedlium_32211.wav", "duration": 6.39, "text": "And what we're seeing is increased demand for outsourcing, and we see their growth"}, {"path": "tedlium_32212.wav", "duration": 6.39, "text": "Before we get started, I wanted to remind you that some statements made today are or may be considered forward-looking statements"}, {"path": "tedlium_32213.wav", "duration": 6.39, "text": "Others will realize that they did need it and there'll be another kind of surge in sales I think in '16. So"}, {"path": "tedlium_32214.wav", "duration": 6.39, "text": "We also anticipate higher operations expense due to stronger sales, that I just mentioned,"}, {"path": "tedlium_32215.wav", "duration": 6.39, "text": "So when it comes to future developments, we're going to limit hog production,"}, {"path": "tedlium_32216.wav", "duration": 6.39, "text": "we have lowered the level of debt and increased the level of return for our shareholders."}, {"path": "tedlium_32217.wav", "duration": 6.39, "text": "In that month, when we have spring break, the consumption level"}, {"path": "tedlium_32218.wav", "duration": 6.39, "text": "the orders require that a final environmental impact statement for these pipelines be completed prior"}, {"path": "tedlium_32219.wav", "duration": 6.39, "text": "Two questions , if I can. Firstly, can you explain some of the current dynamics you're seeing in Medicare Part D."}, {"path": "tedlium_32220.wav", "duration": 6.39, "text": "how do you balance kind of a few factors related to"}, {"path": "tedlium_32221.wav", "duration": 6.39, "text": "as a result of increased costs related to maintenance of our water and sewer systems and legal and regulatory fees."}, {"path": "tedlium_32222.wav", "duration": 6.39, "text": "right now strong and getting stronger. And we are really focused on winning with the winners"}, {"path": "tedlium_32223.wav", "duration": 6.39, "text": "So I think that is all in place, but at the end of the day in combination with"}, {"path": "tedlium_32224.wav", "duration": 6.39, "text": "A substantial portion of this rebate stems from the increase in specialty drug utilization"}, {"path": "tedlium_32225.wav", "duration": 6.39, "text": "that this platform is a game changer. No one has done this, and I don't believe can,"}, {"path": "tedlium_32226.wav", "duration": 6.39, "text": "and we will earn a margin on that, which is why we said we believe it will be accretive immediately and going forward. So"}, {"path": "tedlium_32227.wav", "duration": 6.39, "text": "That having been said, we are focused on rationalizing the business and have already taken significant steps in that regard."}, {"path": "tedlium_32228.wav", "duration": 6.39, "text": "that basically what's implicit in the guide then for the year here for"}, {"path": "tedlium_32229.wav", "duration": 6.39, "text": "and to identify partners who most closely share our vision for these opportunities given the long IP life"}, {"path": "tedlium_32230.wav", "duration": 6.39, "text": "we trade and you want us to be fighters and we will continue to do what we're doing."}, {"path": "tedlium_32231.wav", "duration": 6.39, "text": "Slide 12 provides an overview of our cash flows from operating activities"}, {"path": "tedlium_32232.wav", "duration": 6.39, "text": "A meaningful percentage of this investment is directly tied to strong sales activity in Travel Network"}, {"path": "tedlium_32233.wav", "duration": 6.39, "text": "To start with, in 2015, I'll admit that there were several areas where we felt we fell short."}, {"path": "tedlium_32234.wav", "duration": 6.39, "text": "where they're looking to green up their portfolios, respond to their customer and stakeholder concerns about carbon."}, {"path": "tedlium_32235.wav", "duration": 6.39, "text": "mostly in Connecticut. Although we are also working up in the Plattsburgh area of New York in terms of growth."}, {"path": "tedlium_32236.wav", "duration": 6.39, "text": "It may vary up or down slightly, but usually, our history says that's the range you should think about."}, {"path": "tedlium_32237.wav", "duration": 6.39, "text": "you give us some sort of idea as to sort of how close you are to"}, {"path": "tedlium_32238.wav", "duration": 6.39, "text": "We continue to have dominant share in this category and capture significant share at launch of new titles."}, {"path": "tedlium_32239.wav", "duration": 6.39, "text": "where we continue to focus our efforts on the network deployment in order to improve capability"}, {"path": "tedlium_32240.wav", "duration": 6.39, "text": "A recently published review of published randomized clinical trials concluded that nutritional vitamin D"}, {"path": "tedlium_32241.wav", "duration": 6.39, "text": "We have to bring it into the device. And if we talk device, we talk Gerresheimer. So"}, {"path": "tedlium_32242.wav", "duration": 6.39, "text": "to the many thousands of patients that we physicians and others believe"}, {"path": "tedlium_32243.wav", "duration": 6.39, "text": "the future opportunities there. But we're really not going to comment on anything specifically at this point about the future product."}, {"path": "tedlium_32244.wav", "duration": 6.39, "text": "with us about where exactly you see growth in electronics coming back? So this is my first question."}, {"path": "tedlium_32245.wav", "duration": 6.39, "text": "On the OUS side, we continue to work with our distributor partners through the impact of last year's currency fluctuation."}, {"path": "tedlium_32246.wav", "duration": 6.39, "text": "that's where the opportunity that we saw and just taking it from kind of a"}, {"path": "tedlium_32247.wav", "duration": 6.39, "text": "Our Lantana Place project is a mixed-use development project in Southwest Austin."}, {"path": "tedlium_32248.wav", "duration": 6.39, "text": "I'm going to ask, broadly speaking, when do you think the carriers will see a pickup in their spending?"}, {"path": "tedlium_32249.wav", "duration": 6.39, "text": "or actually, we should not call it an offer, we should call it just a nonbinding proposal"}, {"path": "tedlium_32250.wav", "duration": 6.39, "text": "Swiss private banking sector and in other places of the world. We believe that the consolidation will continue."}, {"path": "tedlium_32251.wav", "duration": 6.39, "text": "As you would expect, we'll remain disciplined and patient sellers as we move through the process."}, {"path": "tedlium_32252.wav", "duration": 6.39, "text": "I think it will give us more opportunity to combine some of the stuff that we do in store ops. But it's,"}, {"path": "tedlium_32253.wav", "duration": 6.39, "text": "For these initiatives, our 2019 focus will be to continue and build upon our strong progress to date."}, {"path": "tedlium_32254.wav", "duration": 6.39, "text": "The business closure and disposals have already generated cash well in excess of the costs incurred."}, {"path": "tedlium_32255.wav", "duration": 6.39, "text": "are looking for Pixel to really understand how we are driving growth. And I think that's one big area that we continue to invest."}, {"path": "tedlium_32256.wav", "duration": 6.39, "text": "For example, our voluntary early retirement program will be a key contributor this year"}, {"path": "tedlium_32257.wav", "duration": 6.39, "text": "and reduction in other overhead cost due to our focus on maintaining a lower and more efficient cost structure."}, {"path": "tedlium_32258.wav", "duration": 6.39, "text": "and I think it will always exist. And I think that customer that needs help in creating"}, {"path": "tedlium_32259.wav", "duration": 6.39, "text": "In closing, we are proud of our team's hard work over the past year and we thank them for their efforts."}, {"path": "tedlium_32260.wav", "duration": 6.39, "text": "However, the difference in terms of the benefits coming from the subsidies does exist. So that would be one factor."}, {"path": "tedlium_32261.wav", "duration": 6.39, "text": "that really are very akin to research and development at this point, which is"}, {"path": "tedlium_32262.wav", "duration": 6.39, "text": "who can provide expanded capabilities and scale for implementation of SeaChange solutions."}, {"path": "tedlium_32263.wav", "duration": 6.39, "text": "year. Steve, I'll take the first part of the question, then I'll turn it over to Brian on the cash management office."}, {"path": "tedlium_32264.wav", "duration": 6.39, "text": "with inspirations from many places in the world. Uptown, as the name implies, is more formal"}, {"path": "tedlium_32265.wav", "duration": 6.3899375, "text": "Against the background of this result, I would like to reiterate our guidance."}, {"path": "tedlium_32266.wav", "duration": 6.36, "text": "We've got a great team in Saga and I believe we have a very strong plan for the future."}, {"path": "tedlium_32267.wav", "duration": 6.36, "text": "Accordingly, Q4 will be the strongest quarter of the year for us with no property renovation disruption."}, {"path": "tedlium_32268.wav", "duration": 6.36, "text": "around -- we estimated if prior years are similar to this year, which they seem"}, {"path": "tedlium_32269.wav", "duration": 6.36, "text": "What we are doing is we are constructing a new machine"}, {"path": "tedlium_32270.wav", "duration": 6.36, "text": "that still a part of our overall digital initiatives that we are undertaking for the group"}, {"path": "tedlium_32271.wav", "duration": 6.36, "text": "not getting a lot of loads that had been priced in a place where we thought they needed to be, given"}, {"path": "tedlium_32272.wav", "duration": 6.36, "text": "While we are in the early stages, the team is making great progress in improving CPD margins."}, {"path": "tedlium_32273.wav", "duration": 6.36, "text": "Also, engineering became more specific as it relates to the equipment as we move through the last year of the project."}, {"path": "tedlium_32274.wav", "duration": 6.36, "text": "criteria that was determined by the technology, and were automatically added to the footprint."}, {"path": "tedlium_32275.wav", "duration": 6.36, "text": "Well, from my standpoint, I don't think we need to get much smaller. We always have"}, {"path": "tedlium_32276.wav", "duration": 6.36, "text": "It's filled with phenomenally talented people, and that these people are the foundation of our company."}, {"path": "tedlium_32277.wav", "duration": 6.36, "text": "In terms of your battery business, just to continue where you left on in the third quarter,"}, {"path": "tedlium_32278.wav", "duration": 6.36, "text": "So as a result of that, we do think that our earnings going forward will continue to be -- maintain a very healthy level."}, {"path": "tedlium_32279.wav", "duration": 6.36, "text": "It seems to me that you're gaining additional market share now"}, {"path": "tedlium_32280.wav", "duration": 6.36, "text": "may differ materially from those projected due to the impact of these factors and others beyond its control."}, {"path": "tedlium_32281.wav", "duration": 6.36, "text": "I just wanted to ask how you would describe that pipeline in those terms today."}, {"path": "tedlium_32282.wav", "duration": 6.36, "text": "in production rates and as those balances pull up relative to what pays down,"}, {"path": "tedlium_32283.wav", "duration": 6.36, "text": "been awarded is in Dubai, and that will be more of a second half"}, {"path": "tedlium_32284.wav", "duration": 6.36, "text": "We are believing that, that the decrease we've seen over the last several years,"}, {"path": "tedlium_32285.wav", "duration": 6.36, "text": "part of that might not be recurring, that we might not be able to sustain that level in the quarters to come. Is that correct?"}, {"path": "tedlium_32286.wav", "duration": 6.36, "text": "So we'll talk more about our vision, applying our purpose and our goals and bold moves shortly"}, {"path": "tedlium_32287.wav", "duration": 6.36, "text": "I think you saw in our marketing, a lot of diversity within the marketing of real members, including"}, {"path": "tedlium_32288.wav", "duration": 6.36, "text": "And we are even starting to add a fourth shift in certain facilities until we're able to catch up with the recent pickup in demand."}, {"path": "tedlium_32289.wav", "duration": 6.36, "text": "We continue to be pleased with our results in Europe and Canada with our Transatlantic Operating Model."}, {"path": "tedlium_32290.wav", "duration": 6.36, "text": "give us -- talk a little bit more about Yeezy and reassure us that"}, {"path": "tedlium_32291.wav", "duration": 6.36, "text": "Our operated pipelines benefited from strong utilization at our refineries. In addition,"}, {"path": "tedlium_32292.wav", "duration": 6.36, "text": "Overall, we are pleased with the strong first quarter performance of our housing and lifestyle businesses."}, {"path": "tedlium_32293.wav", "duration": 6.36, "text": "the houses that are in default or in REO-type status, if you think about our field services. So we are not"}, {"path": "tedlium_32294.wav", "duration": 6.36, "text": "and I think it's because, as I have said, the relationships between"}, {"path": "tedlium_32295.wav", "duration": 6.36, "text": "and as a result, we are investing in it. We started to invest in the first quarter."}, {"path": "tedlium_32296.wav", "duration": 6.36, "text": "And we will continue to invest in this area during the course of 2016, which Dave will outline later on."}, {"path": "tedlium_32297.wav", "duration": 6.36, "text": "We will continue to educate the public on our quality ingredients and real cooking."}, {"path": "tedlium_32298.wav", "duration": 6.36, "text": "The funding strategy also supports improving our credit metrics over the 5 year plans,"}, {"path": "tedlium_32299.wav", "duration": 6.36, "text": "And where we really saw the opportunity to increase guidance significantly this morning"}, {"path": "tedlium_32300.wav", "duration": 6.36, "text": "a complicated ultra-rare neurodegenerative disease that typically presents in childhood and is ultimately fatal."}, {"path": "tedlium_32301.wav", "duration": 6.36, "text": "So we need to have internal criteria by which to judge things. Take our milk tea for example."}, {"path": "tedlium_32302.wav", "duration": 6.36, "text": "They have better stamina than new products. However,"}, {"path": "tedlium_32303.wav", "duration": 6.36, "text": "We have a passionate group of employees that take great pride in helping people achieve what are often life changing goals."}, {"path": "tedlium_32304.wav", "duration": 6.36, "text": "we've moved up market and we're doing larger deals. And again, those deployment cycles are going to be a little bit longer. But"}, {"path": "tedlium_32305.wav", "duration": 6.36, "text": "I hope this has been a useful and comprehensive update for you."}, {"path": "tedlium_32306.wav", "duration": 6.36, "text": "yes, as we've announced the vast majority of our sales recently have been in China."}, {"path": "tedlium_32307.wav", "duration": 6.36, "text": "As we take a step back and look at our total businesses, your question was specifically on the branded side."}, {"path": "tedlium_32308.wav", "duration": 6.36, "text": "We also expect this year to complete enrollment in the pivotal study, which we're calling the PROPEL study,"}, {"path": "tedlium_32309.wav", "duration": 6.36, "text": "develop our ranges and evolve our formats to best meet changing customer needs."}, {"path": "tedlium_32310.wav", "duration": 6.36, "text": "We've also had a good start to our second half, so we're confident in the outcome for the full year."}, {"path": "tedlium_32311.wav", "duration": 6.36, "text": "We remain confident in our ability to maintain roughly these revenue levels in the current markets."}, {"path": "tedlium_32312.wav", "duration": 6.36, "text": "and affluent client segment as well as the high quality of our distribution networks."}, {"path": "tedlium_32313.wav", "duration": 6.36, "text": "Our capital position was robust at the beginning of the year and ended the year at even stronger levels,"}, {"path": "tedlium_32314.wav", "duration": 6.36, "text": "The fourth execution element is a proactive effort to transition our business models."}, {"path": "tedlium_32315.wav", "duration": 6.36, "text": "This will offer us the chance to sell into the consumer side of the business with our present and future distribution channels,"}, {"path": "tedlium_32316.wav", "duration": 6.36, "text": "road map is really unclear once they get out beyond 5 years about how much of their IT kit"}, {"path": "tedlium_32317.wav", "duration": 6.36, "text": "but they're necessary to support the company's strategy and to continue to take advantage of the growing shipping market."}, {"path": "tedlium_32318.wav", "duration": 6.36, "text": "guided volumes are below where your contracted or correct me if I'm thinking about that incorrectly?"}, {"path": "tedlium_32319.wav", "duration": 6.36, "text": "and everybody is. But that's really, at the end of the day, net neutral in terms of profitability."}, {"path": "tedlium_32320.wav", "duration": 6.36, "text": "As for ARPM, it has continued to exhibit stability and even grew modestly this quarter"}, {"path": "tedlium_32321.wav", "duration": 6.36, "text": "And that's why we're seeing diminished impact from"}, {"path": "tedlium_32322.wav", "duration": 6.36, "text": "Domestically, we have continued to deliver displays for the low rate initial production phase"}, {"path": "tedlium_32323.wav", "duration": 6.36, "text": "ultimately translate into an initial sense of how many incremental peak megawatts you might be looking at here?"}, {"path": "tedlium_32324.wav", "duration": 6.36, "text": "We hope with the federal announcement and the solid Q1 performance, we can put most of these issues behind us."}, {"path": "tedlium_32325.wav", "duration": 6.36, "text": "That concludes our prepared remarks for today, and we'd be happy to answer any of your questions."}, {"path": "tedlium_32326.wav", "duration": 6.36, "text": "as a result of that. And then just -- additionally, with the press reporting that FINRA is thinking about maybe ending"}, {"path": "tedlium_32327.wav", "duration": 6.36, "text": "So of course, when we send email invitations out, half the customers aren't getting them because they don't have email addresses. So"}, {"path": "tedlium_32328.wav", "duration": 6.36, "text": "but this was a very dedicated and clear decision to focus ourselves"}, {"path": "tedlium_32329.wav", "duration": 6.36, "text": "A quick recap on the 4 growth drivers we shared at the strategy discussion."}, {"path": "tedlium_32330.wav", "duration": 6.36, "text": "range of between 20% and 15%. So that means, of course, that we intend to bring the group CapEx intensity down"}, {"path": "tedlium_32331.wav", "duration": 6.36, "text": "for the full detail of our financial performance. I'll focus on key highlights today so we can get to your questions."}, {"path": "tedlium_32332.wav", "duration": 6.36, "text": "for people with disabilities and also focusing also on improving productivity and in-work salary progression."}, {"path": "tedlium_32333.wav", "duration": 6.36, "text": "will be sufficient to fund our operations through full data readout, which we anticipate"}, {"path": "tedlium_32334.wav", "duration": 6.36, "text": "This team has begun to train all of our approximately 400 sales associates on a contemporary"}, {"path": "tedlium_32335.wav", "duration": 6.36, "text": "available to fund growth initiatives, specifically restaurant acquisitions and new unit construction."}, {"path": "tedlium_32336.wav", "duration": 6.36, "text": "but we're working on it, our -- the teams have been spending a lot of time back and forth in understanding how"}, {"path": "tedlium_32337.wav", "duration": 6.36, "text": "and lower use of commercial paper given the full year impact of receipt of the disposal proceeds."}, {"path": "tedlium_32338.wav", "duration": 6.36, "text": "There are still a few variables around exchange in fiscal '17 which could affect this forecast,"}, {"path": "tedlium_32339.wav", "duration": 6.36, "text": "And once we've completed that research, we will look at the value chain and how best to service the local market"}, {"path": "tedlium_32340.wav", "duration": 6.36, "text": "as evidenced by the Tubi, Roku and XUMO agreements I also discussed."}, {"path": "tedlium_32341.wav", "duration": 6.36, "text": "in 2016. For the year, our international sales increased in each of our groups."}, {"path": "tedlium_32342.wav", "duration": 6.36, "text": "And I guess is there anything that's falling out of this year"}, {"path": "tedlium_32343.wav", "duration": 6.36, "text": "But we're doing it all inside of the model. Where we think we're making an investment,"}, {"path": "tedlium_32344.wav", "duration": 6.36, "text": "and our differentiated approach will result in the continued expansion of our share of the market."}, {"path": "tedlium_32345.wav", "duration": 6.36, "text": "This currency trend is broadly predicted to continue and may produce additional headwinds in the future."}, {"path": "tedlium_32346.wav", "duration": 6.36, "text": "Tom will talk more about this later on. I'm also very pleased on the work that has been done on the balance sheet,"}, {"path": "tedlium_32347.wav", "duration": 6.36, "text": "and as factored into our original full year guidance, hotel revenues were challenged during the quarter."}, {"path": "tedlium_32348.wav", "duration": 6.36, "text": "The potential for cancer vaccines is that because they should be safe and because they should be effective,"}, {"path": "tedlium_32349.wav", "duration": 6.36, "text": "from the prior quarter as we -- as continued cost savings offset the impact of our annual salary adjustments."}, {"path": "tedlium_32350.wav", "duration": 6.36, "text": "part of this team for a long time, so that's something to think about."}, {"path": "tedlium_32351.wav", "duration": 6.36, "text": "And they know us over time. And we have a track record of valuing people and technology. And so"}, {"path": "tedlium_32352.wav", "duration": 6.36, "text": "We start dosing in Q2, and if you just run the clock and allow us to see some of the"}, {"path": "tedlium_32353.wav", "duration": 6.36, "text": "and then lay the 2 lines of the revenue trends over one another. And they look almost like identical."}, {"path": "tedlium_32354.wav", "duration": 6.36, "text": "or can articulate the question. But to the extent that there's a loan out there, what happens to that loan,"}, {"path": "tedlium_32355.wav", "duration": 6.36, "text": "cost, and then we can do the business well. Then we can see further opportunities,"}, {"path": "tedlium_32356.wav", "duration": 6.36, "text": "We're not going to do anything that dumps the shares on the market in a disorganized manner anytime soon."}, {"path": "tedlium_32357.wav", "duration": 6.36, "text": "We've made excellent progress in adding to our portfolio of New York State Department of Health-approved tests."}, {"path": "tedlium_32358.wav", "duration": 6.36, "text": "And later this quarter, Vonage Business Cloud will add contact center functionality"}, {"path": "tedlium_32359.wav", "duration": 6.36, "text": "We expect our diverse portfolio to allow us to deliver this revised guidance."}, {"path": "tedlium_32360.wav", "duration": 6.36, "text": "run the business to capture the maximum value that we can from the way that we"}, {"path": "tedlium_32361.wav", "duration": 6.36, "text": "We'd like to remind you that all or some of the statements made on this conference call will be forward looking."}, {"path": "tedlium_32362.wav", "duration": 6.36, "text": "Our strategy aims to deliver a combination of consistent per share growth and meaningful income to our shareholders."}, {"path": "tedlium_32363.wav", "duration": 6.36, "text": "I'll now turn it over to Mark for a more detailed review of the financial results in the quarter. Mark?"}, {"path": "tedlium_32364.wav", "duration": 6.36, "text": "were just not able to enter some of the equipment makers because physically, the slot is quite narrow."}, {"path": "tedlium_32365.wav", "duration": 6.36, "text": "In our strategic sourcing program, which continues to be a bright spot with schedules and savings on track,"}, {"path": "tedlium_32366.wav", "duration": 6.36, "text": "And as we mentioned, each of our platforms has a certain type of an acquisition strategy."}, {"path": "tedlium_32367.wav", "duration": 6.36, "text": "and we will continue to make further targeted strategic investments in the second half"}, {"path": "tedlium_32368.wav", "duration": 6.36, "text": "Good morning, and welcome to the American Airlines Group Third Quarter 2017 Earnings Call."}, {"path": "tedlium_32369.wav", "duration": 6.36, "text": "in terms of being able to create a case that shows that American jobs are at stake"}, {"path": "tedlium_32370.wav", "duration": 6.36, "text": "And also what is your view on potential additional hikes towards April for hardwood in Asia?"}, {"path": "tedlium_32371.wav", "duration": 6.36, "text": "in the -- by the fourth quarter of this year, and then we have an ability to continue to grow out"}, {"path": "tedlium_32372.wav", "duration": 6.36, "text": "that was the driver behind the unit. If you think about that group and"}, {"path": "tedlium_32373.wav", "duration": 6.36, "text": "still remain nicely profitable and traditionally look to invest that cash flow into new equipment"}, {"path": "tedlium_32374.wav", "duration": 6.36, "text": "So it was a -- we were pretty pleased with the performance of that business. It's actually a great business. It's run really well"}, {"path": "tedlium_32375.wav", "duration": 6.36, "text": "One other thing that I mentioned in my remarks that should be emphasized"}, {"path": "tedlium_32376.wav", "duration": 6.36, "text": "information materials for that -- materials and they can vote electronically at the meeting or of course via phone."}, {"path": "tedlium_32377.wav", "duration": 6.36, "text": "Banking and wealth management revenues increased sharply from last quarter and up"}, {"path": "tedlium_32378.wav", "duration": 6.36, "text": "And what we've said is they have to have a 2-month life expectancy to get on to these levels."}, {"path": "tedlium_32379.wav", "duration": 6.36, "text": "that will increase our ability to compete effectively and grow over the near and long term."}, {"path": "tedlium_32380.wav", "duration": 6.36, "text": "And by the end of August, we will have been through some part of our operations in every single one of our plants."}, {"path": "tedlium_32381.wav", "duration": 6.36, "text": "see where that's a positive for us going forward. If you look at -- if you take the long-term view of Jack Henry, that's a really good"}, {"path": "tedlium_32382.wav", "duration": 6.36, "text": "As we begin the second half of our fiscal year, we continue to be optimistic about the strength of our technology solutions,"}, {"path": "tedlium_32383.wav", "duration": 6.36, "text": "We plan to present full data from both of these studies at a medical meeting later this year."}, {"path": "tedlium_32384.wav", "duration": 6.36, "text": "On marketing, I've already discussed the benefits we're seeing through continued improvement in efficiency."}, {"path": "tedlium_32385.wav", "duration": 6.36, "text": "and we have like dozens of projects that are like in the sales pipeline."}, {"path": "tedlium_32386.wav", "duration": 6.36, "text": "Should we be successful in these attempts, we hope to file the same regulatory strategy,"}, {"path": "tedlium_32387.wav", "duration": 6.36, "text": "That said, we still expect that the Credit strategy will continue to be by far the main driver of EFC's earnings."}, {"path": "tedlium_32388.wav", "duration": 6.36, "text": "and we will be entitled to receive meaningful royalties on that sales by Par over the AG sales period."}, {"path": "tedlium_32389.wav", "duration": 6.36, "text": "it's one of those things where you get a number of claims coming in,"}, {"path": "tedlium_32390.wav", "duration": 6.36, "text": "This effort has been led by the development of technology tools that make interactions more seamless for our dealers."}, {"path": "tedlium_32391.wav", "duration": 6.36, "text": "which is perfect for the point-of-care technology. And as you can see on the diagram,"}, {"path": "tedlium_32392.wav", "duration": 6.36, "text": "all of which gives these guidelines significant credibility within the physician community."}, {"path": "tedlium_32393.wav", "duration": 6.36, "text": "In South America, reduced mining activity impacted our product support revenues in the fourth quarter."}, {"path": "tedlium_32394.wav", "duration": 6.36, "text": "some of our lower spending on both the CapEx and OpEx side is not just"}, {"path": "tedlium_32395.wav", "duration": 6.36, "text": "which included acquisition costs and also amortization in respect of acquired intangibles."}, {"path": "tedlium_32396.wav", "duration": 6.36, "text": "Let me come to another very successful business unit,"}, {"path": "tedlium_32397.wav", "duration": 6.36, "text": "We will return these iconic brands to the desired level of performance and we will do it convincingly."}, {"path": "tedlium_32398.wav", "duration": 6.36, "text": "their model or you guys as a competitor or anything like that?"}, {"path": "tedlium_32399.wav", "duration": 6.36, "text": "you help me understand where you had the sales execution issue? Was it"}, {"path": "tedlium_32400.wav", "duration": 6.36, "text": "which muted our ability to improve rate per load, resulting to our desired levels."}, {"path": "tedlium_32401.wav", "duration": 6.36, "text": "when you think about the financial institutions to start with that added liquidity in this marketplace in years past,"}, {"path": "tedlium_32402.wav", "duration": 6.36, "text": "working for us in a slightly different structure, but one that we still thought was economically appropriate"}, {"path": "tedlium_32403.wav", "duration": 6.36, "text": "We see a overall challenging performance for the company, of course,"}, {"path": "tedlium_32404.wav", "duration": 6.36, "text": "I think what we're seeing -- relative to the quarter, I wouldn't read anything into that in terms of the overall"}, {"path": "tedlium_32405.wav", "duration": 6.36, "text": "And what we need to do and what we are in the process of doing is essentially to"}, {"path": "tedlium_32406.wav", "duration": 6.36, "text": "we have reached the end of the question-and-answer session. And I would like to turn the call back to Brian Harris for closing remarks."}, {"path": "tedlium_32407.wav", "duration": 6.36, "text": "As a result of the steady and methodical reallocation of capital to balance sheet loans and real estate investments"}, {"path": "tedlium_32408.wav", "duration": 6.36, "text": "And we are unanimous in our commitment to analyze all aspects of our strategy"}, {"path": "tedlium_32409.wav", "duration": 6.36, "text": "we are in the region, we are in the continent. And that's something that will pay off in the future as well."}, {"path": "tedlium_32410.wav", "duration": 6.36, "text": "So we strongly believe that our transformation case will drive up our revenues,"}, {"path": "tedlium_32411.wav", "duration": 6.36, "text": "Coming back to the bigger picture, and let me be very clear, our business fundamentals are solid"}, {"path": "tedlium_32412.wav", "duration": 6.36, "text": "the negative impact. So that is the impact we are expecting in the long run."}, {"path": "tedlium_32413.wav", "duration": 6.36, "text": "That said, we're pleased with where we are in the process, and we'll not sacrifice the productivity of our investments"}, {"path": "tedlium_32414.wav", "duration": 6.36, "text": "But I wouldn't point to the crude haulers, specifically and say they're a bigger culprit or a bigger part of the problem."}, {"path": "tedlium_32415.wav", "duration": 6.36, "text": "So these past 6 to 8 weeks is really the first opportunity they've had in a long time to focus on nothing but the business."}, {"path": "tedlium_32416.wav", "duration": 6.36, "text": "I think the work we've done over the last several years is really culminating with this singular focus vehicular business unit"}, {"path": "tedlium_32417.wav", "duration": 6.36, "text": "Looking ahead, we remain strongly focused on commercializing our available in-orbit satellite capacity,"}, {"path": "tedlium_32418.wav", "duration": 6.36, "text": "and our financial position remains robust, with good operating cash flows and a strong balance sheet."}, {"path": "tedlium_32419.wav", "duration": 6.36, "text": "The growth was most significant in Western Europe, which was also responsible for the decline in downstream."}, {"path": "tedlium_32420.wav", "duration": 6.36, "text": "Now looking at our cost drivers. We're excited to continue to see our economic model gaining traction."}, {"path": "tedlium_32421.wav", "duration": 6.36, "text": "we may see some small recovery of the fuel consumption. Let's be clear here. We're talking about low single digits."}, {"path": "tedlium_32422.wav", "duration": 6.36, "text": "We announced the continuation of our fibre rollout with an announcement in the first quarter of a plan to build out"}, {"path": "tedlium_32423.wav", "duration": 6.36, "text": "We completed the consolidation of 1 of our 2 remaining legacy platforms"}, {"path": "tedlium_32424.wav", "duration": 6.36, "text": "and we do think that there would be a wide variety of financial instruments that we will be able to leverage."}, {"path": "tedlium_32425.wav", "duration": 6.36, "text": "We also need to better capture and market the value that we offer our customers and supplier partners."}, {"path": "tedlium_32426.wav", "duration": 6.36, "text": "as part of the key takeaways, I would say we have significantly improved financial and operating performance."}, {"path": "tedlium_32427.wav", "duration": 6.36, "text": "Both price increases announced this year have held and the product is in tight supply."}, {"path": "tedlium_32428.wav", "duration": 6.36, "text": "any areas or any concerns that we might have had about our ability to achieve"}, {"path": "tedlium_32429.wav", "duration": 6.36, "text": "and I am working closely with the newly established cash management office as well as our external advisers."}, {"path": "tedlium_32430.wav", "duration": 6.36, "text": "as well as contributions from the recent acquisitions which were accretive to the region's margins."}, {"path": "tedlium_32431.wav", "duration": 6.3599375, "text": "We see -- we consider it a fairly normal inventory channel level in our consumer channels."}, {"path": "tedlium_32432.wav", "duration": 6.33, "text": "Within Technology Solutions, we worked on over 30 programs in the year, many of which Randy mentioned earlier."}, {"path": "tedlium_32433.wav", "duration": 6.33, "text": "in our well results and with all of the changes in the designs that we've been making relative to our completion style."}, {"path": "tedlium_32434.wav", "duration": 6.33, "text": "because we're talking about maintenance on a higher production base compared to what was discussed on the Q4 call or there was something else?"}, {"path": "tedlium_32435.wav", "duration": 6.33, "text": "I'll begin with some third quarter highlights and then provide more detail on revenue, costs and cash flow."}, {"path": "tedlium_32436.wav", "duration": 6.33, "text": "The stock is up more than 30% from our last call. We believe that's a good indication that our strategy is working."}, {"path": "tedlium_32437.wav", "duration": 6.33, "text": "It's a series of regulated grids that change slowly across the times,"}, {"path": "tedlium_32438.wav", "duration": 6.33, "text": "All the more reason we continue finding ways to continuously improve efficiency"}, {"path": "tedlium_32439.wav", "duration": 6.33, "text": "Reconciliation of GAAP to non-GAAP measures is included in our earnings press release and available on our website."}, {"path": "tedlium_32440.wav", "duration": 6.33, "text": "as these innovations are customer segment and network technology agnostic."}, {"path": "tedlium_32441.wav", "duration": 6.33, "text": "While this growth was modest, it's good to have 2 in a row, and 3 in a row makes a trend."}, {"path": "tedlium_32442.wav", "duration": 6.33, "text": "So it just reflects the early developments of the international markets, Nick. So the first"}, {"path": "tedlium_32443.wav", "duration": 6.33, "text": "handles a free handset as a part of the subscription, as a credit facility."}, {"path": "tedlium_32444.wav", "duration": 6.33, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_32445.wav", "duration": 6.33, "text": "We've always been very active, although we have not always been very communicative about it."}, {"path": "tedlium_32446.wav", "duration": 6.33, "text": "We also took a holistic top-down view of the entire fleet to determine where we compete"}, {"path": "tedlium_32447.wav", "duration": 6.33, "text": "I would say that it is either the top or the second performing module in terms of new"}, {"path": "tedlium_32448.wav", "duration": 6.33, "text": "really, that people are having to almost remind themselves of what it means and why it's important."}, {"path": "tedlium_32449.wav", "duration": 6.33, "text": "they move deeper through the adoption phase and it probably becomes more -- if they're a big media conglomerate, becomes more a part of their"}, {"path": "tedlium_32450.wav", "duration": 6.33, "text": "expected performance versus the performance was predominantly driven by that customer."}, {"path": "tedlium_32451.wav", "duration": 6.33, "text": "our customers revenue growth and the growth of just about every supplier in the WFE market."}, {"path": "tedlium_32452.wav", "duration": 6.33, "text": "with the answer. We believe we have a very good chance of being able to buy back our stock. We started this a little bit ago."}, {"path": "tedlium_32453.wav", "duration": 6.33, "text": "We had some lower interest charges, but we had some effects of the"}, {"path": "tedlium_32454.wav", "duration": 6.33, "text": "And when you see a company like Ashok, one of the largest commercial vehicle manufacturers in the world,"}, {"path": "tedlium_32455.wav", "duration": 6.33, "text": "There are functional prototypes today. They run across the dynos. They have -- they're"}, {"path": "tedlium_32456.wav", "duration": 6.33, "text": "We're expanding our ReposiTrak offering. What we mean by that is that there's a number of other,"}, {"path": "tedlium_32457.wav", "duration": 6.33, "text": "The Corporate Payments category continued to perform well and was up 28% organically during the quarter."}, {"path": "tedlium_32458.wav", "duration": 6.33, "text": "This was compounded by an already difficult comparison with 4 fewer operating days"}, {"path": "tedlium_32459.wav", "duration": 6.33, "text": "we believe that the potential for achieving this range significantly exceeds any downside risks."}, {"path": "tedlium_32460.wav", "duration": 6.33, "text": "And as in air, the underlying performance in rail was consistent across most of the country."}, {"path": "tedlium_32461.wav", "duration": 6.33, "text": "They are pushing the boundaries in both clinical and fundamental research to tackle major global health problems,"}, {"path": "tedlium_32462.wav", "duration": 6.33, "text": "I have an interesting story to tell about how this partnership came to fruition that shows the power of these meetings on new technologies."}, {"path": "tedlium_32463.wav", "duration": 6.33, "text": "In addition, we had -- I think it's really strong launch of content, and that content is powering better utilization of systems."}, {"path": "tedlium_32464.wav", "duration": 6.33, "text": "This amount also includes the funding of 2 new European data centers in Paris and Frankfurt."}, {"path": "tedlium_32465.wav", "duration": 6.33, "text": "We will keep most of these projects and convert as much as we can into recurring revenue streams."}, {"path": "tedlium_32466.wav", "duration": 6.33, "text": "for the businesses that are in specialty products are in -- predominantly in the South"}, {"path": "tedlium_32467.wav", "duration": 6.33, "text": "and we still believe it's going to take a long time for their technology to mature"}, {"path": "tedlium_32468.wav", "duration": 6.33, "text": "We expect display to remain a powerful growth driver for the company over the long term."}, {"path": "tedlium_32469.wav", "duration": 6.33, "text": "response to this change and pleased with the management team's skill in navigating what could have been a tough issue."}, {"path": "tedlium_32470.wav", "duration": 6.33, "text": "But addressing your -- first part of your question about what percentage of salaries, wages and benefits. I mean, we don't break that out."}, {"path": "tedlium_32471.wav", "duration": 6.33, "text": "In addition to these great results, let me provide you with a few more details in our bookings numbers."}, {"path": "tedlium_32472.wav", "duration": 6.33, "text": "Yes, and we're sitting on almost 400 acres of land inventory for future development."}, {"path": "tedlium_32473.wav", "duration": 6.33, "text": "where we will provide a corporate update and take a more in-depth look at our lead pipeline programs,"}, {"path": "tedlium_32474.wav", "duration": 6.33, "text": "but I would expect that to change now that we're coming in with something differentiated from the past."}, {"path": "tedlium_32475.wav", "duration": 6.33, "text": "in terms of the regional splits, we'd agree with, in terms of Germany being slightly down, France"}, {"path": "tedlium_32476.wav", "duration": 6.33, "text": "Think there was some impact in the first quarter from the weather and the flu. Just what were some of the trends you were seeing in the second quarter there?"}, {"path": "tedlium_32477.wav", "duration": 6.33, "text": "So real estate, our property seems to be a quite promising area."}, {"path": "tedlium_32478.wav", "duration": 6.33, "text": "what we should do in terms of investment and who is going to invest."}, {"path": "tedlium_32479.wav", "duration": 6.33, "text": "All of our customers have room to grow to protect more of their infrastructure or roll out additional products."}, {"path": "tedlium_32480.wav", "duration": 6.33, "text": "than the quarterly average, and so prices were declining from April through the end of June,"}, {"path": "tedlium_32481.wav", "duration": 6.33, "text": "of new capabilities and size and scale of our organization, we can compete as a prime instead of going at it for a sub. So"}, {"path": "tedlium_32482.wav", "duration": 6.33, "text": "And so I think they deferred a lot of turnaround activity trying to get production back up."}, {"path": "tedlium_32483.wav", "duration": 6.33, "text": "And then also part of our business that works very well is that we also have the option"}, {"path": "tedlium_32484.wav", "duration": 6.33, "text": "certain portfolio companies. We are presenting that expense through this line item."}, {"path": "tedlium_32485.wav", "duration": 6.33, "text": "good water-related acquisitions that we find. We still have good acquisition candidates. I would add that"}, {"path": "tedlium_32486.wav", "duration": 6.33, "text": "our technology and our marketing to drive business growth to deliver the best consumer experience and the best value to our partners."}, {"path": "tedlium_32487.wav", "duration": 6.33, "text": "but we feel good that we made significant progress over the last couple of years with changing our client trajectory."}, {"path": "tedlium_32488.wav", "duration": 6.33, "text": "There is a subset of that location that has products and services,"}, {"path": "tedlium_32489.wav", "duration": 6.33, "text": "we start to test whether or not we truly have enough supply in Western Canada to satisfy the demand."}, {"path": "tedlium_32490.wav", "duration": 6.33, "text": "to improve retention and to capture new opportunities across our very diverse offering."}, {"path": "tedlium_32491.wav", "duration": 6.33, "text": "We believe our strategy positions us well to serve and support our advisers, drive profitable growth"}, {"path": "tedlium_32492.wav", "duration": 6.33, "text": "on our investment, on the quality of the networks, on the quality of the service, on the quality of the customer experience."}, {"path": "tedlium_32493.wav", "duration": 6.33, "text": "and our Solutions business contributing a greater share of our overall revenues, which will drive higher margins."}, {"path": "tedlium_32494.wav", "duration": 6.33, "text": "Just a little comment, I am listening to your story with a very complex feeling"}, {"path": "tedlium_32495.wav", "duration": 6.33, "text": "and we're executing according to plan. But in spite of everything that is happening"}, {"path": "tedlium_32496.wav", "duration": 6.33, "text": "benefits in the second half. But it could also be that we"}, {"path": "tedlium_32497.wav", "duration": 6.33, "text": "This balance is broken down into the amounts we expect to recognize as revenue in the next 12 months or current"}, {"path": "tedlium_32498.wav", "duration": 6.33, "text": "the key messages. We already told you in late January"}, {"path": "tedlium_32499.wav", "duration": 6.33, "text": "Additional information concerning factors that could cause actual results to materially differ from those in the forward-looking statements"}, {"path": "tedlium_32500.wav", "duration": 6.33, "text": "For new contracts to be awarded, ICE will likely have to issue a formal request for proposal,"}, {"path": "tedlium_32501.wav", "duration": 6.33, "text": "without significant disruption. Before we close, I want to make a few key points."}, {"path": "tedlium_32502.wav", "duration": 6.33, "text": "The increase in noncontrolling interest was largely driven by the increased profit in United Spirits."}, {"path": "tedlium_32503.wav", "duration": 6.33, "text": "available to the company's 24 million user base has an expansion into live sports programming."}, {"path": "tedlium_32504.wav", "duration": 6.33, "text": "The increase in international revenues resulted from an increase in export projects."}, {"path": "tedlium_32505.wav", "duration": 6.33, "text": "new record premiums every quarter, a trend we believe will continue for the foreseeable future."}, {"path": "tedlium_32506.wav", "duration": 6.33, "text": "we look forward to many years of increasing profits and higher returns to shareholders."}, {"path": "tedlium_32507.wav", "duration": 6.33, "text": "Could you give us a sense of perhaps the economics behind an account and maybe how"}, {"path": "tedlium_32508.wav", "duration": 6.33, "text": "And this does conclude today's program. Thanks for your participation. You may now disconnect. Have a great day."}, {"path": "tedlium_32509.wav", "duration": 6.33, "text": "felt -- we felt it was important to mention to you that what we lost in March, we recovered in April."}, {"path": "tedlium_32510.wav", "duration": 6.33, "text": "that we would also give too much information out to our competitors on that."}, {"path": "tedlium_32511.wav", "duration": 6.33, "text": "And we hope to achieve final acceptance with our customer in the coming days."}, {"path": "tedlium_32512.wav", "duration": 6.33, "text": "We expect this to be a key growth driver in the second half and into next year."}, {"path": "tedlium_32513.wav", "duration": 6.33, "text": "particularly with gasoline that puts our exposure to RINs different"}, {"path": "tedlium_32514.wav", "duration": 6.33, "text": "need to import gasoline in that environment. So we'll go through this transition"}, {"path": "tedlium_32515.wav", "duration": 6.33, "text": "for each of those platforms and how we're going to develop and expand the strategy. And again, as you see with"}, {"path": "tedlium_32516.wav", "duration": 6.33, "text": "This channel is currently a relatively small contributor to our total revenue mix"}, {"path": "tedlium_32517.wav", "duration": 6.33, "text": "This generates a working capital deficit, which is a real positive for the company."}, {"path": "tedlium_32518.wav", "duration": 6.33, "text": "And we're also seeking to streamline the board structure, and we are in constructive dialogue with Ofwat as"}, {"path": "tedlium_32519.wav", "duration": 6.33, "text": "We entered the second half of this year with an active and robust sales pipeline of approximately 400 prospects"}, {"path": "tedlium_32520.wav", "duration": 6.33, "text": "But even more importantly is the external conditions. It was very interesting what happened in the security market."}, {"path": "tedlium_32521.wav", "duration": 6.33, "text": "But in addition, we also see future product applications within the markets served by our Commercial Trailer Products segment."}, {"path": "tedlium_32522.wav", "duration": 6.33, "text": "with Q1 and some other projects we've been working on to final run that through our numbers and"}, {"path": "tedlium_32523.wav", "duration": 6.33, "text": "not only because of currency improvements quarter-over-quarter but as a result of significant operational improvements."}, {"path": "tedlium_32524.wav", "duration": 6.33, "text": "that was slightly lower than what we had indicated in the press release at the end of the quarter."}, {"path": "tedlium_32525.wav", "duration": 6.33, "text": "The next slide shows segment operating profit and other income and expense items compared to last year."}, {"path": "tedlium_32526.wav", "duration": 6.33, "text": "Volume continued to increase across all clinical areas, including reproductive health in the first quarter."}, {"path": "tedlium_32527.wav", "duration": 6.33, "text": "And while many share with us the excitement of what genomic medicine can do for individuals and broader health care alike,"}, {"path": "tedlium_32528.wav", "duration": 6.33, "text": "as well as PayPal, Venmo and PayPal Credit payment options for existing and new merchants."}, {"path": "tedlium_32529.wav", "duration": 6.33, "text": "Instant Transfer revenues continue to increase. And as a result,"}, {"path": "tedlium_32530.wav", "duration": 6.33, "text": "Confidence in the group's ability to continue to generate strong net free cash flow"}, {"path": "tedlium_32531.wav", "duration": 6.33, "text": "You see the DLTs, you have to expand out to 6 and just your time frame just gets extended so much."}, {"path": "tedlium_32532.wav", "duration": 6.33, "text": "I think that's a good proxy. I think, but the one thing to remember is that any increase in price reduces"}, {"path": "tedlium_32533.wav", "duration": 6.33, "text": "if for some reason, we cannot find enough good projects,"}, {"path": "tedlium_32534.wav", "duration": 6.33, "text": "including a grant of royalty-based rights to use existing intellectual property"}, {"path": "tedlium_32535.wav", "duration": 6.33, "text": "demonstrate clinical utility that supports our earlier expectations."}, {"path": "tedlium_32536.wav", "duration": 6.33, "text": "Scale does not in and of itself create an investable security."}, {"path": "tedlium_32537.wav", "duration": 6.33, "text": "Both tools bridge a gap that has long existed in recruiting with pay expectations being out of line with market trends."}, {"path": "tedlium_32538.wav", "duration": 6.33, "text": "I just want further breakdown, so that I can understand better changes to the company structure."}, {"path": "tedlium_32539.wav", "duration": 6.33, "text": "and we'll continue to invest in new transactional and servicing business lines to build out our ecosystem."}, {"path": "tedlium_32540.wav", "duration": 6.33, "text": "Our mission is to keep our clients ahead of constantly evolving marketplace trends."}, {"path": "tedlium_32541.wav", "duration": 6.33, "text": "This financial mindset fuels our business model of alignment and our commitment to client and patient care."}, {"path": "tedlium_32542.wav", "duration": 6.33, "text": "supplying the type of product that we believe the market would be willing to buy"}, {"path": "tedlium_32543.wav", "duration": 6.33, "text": "anything sort of unusual in the 3Q mix"}, {"path": "tedlium_32544.wav", "duration": 6.33, "text": "Yet, it's not just our premium running products that's checking. Pursuit and Assert both had strong showings as well."}, {"path": "tedlium_32545.wav", "duration": 6.33, "text": "without any plans for big product launches. So while the LumiSpa launch is in the first half of the year,"}, {"path": "tedlium_32546.wav", "duration": 6.33, "text": "The opening of this new hospital will depend on when we receive the final CON."}, {"path": "tedlium_32547.wav", "duration": 6.33, "text": "Other than standard legal fees, there were no fees or other expenses related to this placement."}, {"path": "tedlium_32548.wav", "duration": 6.33, "text": "The previous is reflected in a stable trend and it is found in the lower levels of the previous years."}, {"path": "tedlium_32549.wav", "duration": 6.33, "text": "At this time, I would like to turn the floor back to Mr. Alejandro Elsztain for any closing remarks."}, {"path": "tedlium_32550.wav", "duration": 6.33, "text": "Thank you. This concludes today's presentation. You may disconnect your line at this time, and have a nice day."}, {"path": "tedlium_32551.wav", "duration": 6.33, "text": "We plan to partner with others to bring in the best investment products and options to our members. We currently are looking at Robo product,"}, {"path": "tedlium_32552.wav", "duration": 6.33, "text": "whatever the outcome is. And part of that has been our desire already for many years, nothing new,"}, {"path": "tedlium_32553.wav", "duration": 6.33, "text": "which we use to enhance value for shareholders by repurchasing stock and paying down debt."}, {"path": "tedlium_32554.wav", "duration": 6.33, "text": "you can drill too fast in these unconventional plays. And we like to make sure that we"}, {"path": "tedlium_32555.wav", "duration": 6.33, "text": "the levels of decrease are greater than that. So I think you can draw your own"}, {"path": "tedlium_32556.wav", "duration": 6.33, "text": "But at the end of the day, I think we've been reasonably conservative about how we're approaching the resources"}, {"path": "tedlium_32557.wav", "duration": 6.33, "text": "to the midpoint of the revenue range, consistent with April guidance in prior years."}, {"path": "tedlium_32558.wav", "duration": 6.33, "text": "It's also important to remember that the move towards technology enablement and automation"}, {"path": "tedlium_32559.wav", "duration": 6.33, "text": "And we also aren't predicting a fourth quarter in the range that you cited either. It's going to be"}, {"path": "tedlium_32560.wav", "duration": 6.33, "text": "of a billion dollars in revenues and has profits that are wildly higher"}, {"path": "tedlium_32561.wav", "duration": 6.33, "text": "It's worth spending a few moments on the new government in Tanzania."}, {"path": "tedlium_32562.wav", "duration": 6.33, "text": "But we also see the stability in projects, the stability in product road maps"}, {"path": "tedlium_32563.wav", "duration": 6.33, "text": "That is kind of within the range that is to be expected with that type of volume effect."}, {"path": "tedlium_32564.wav", "duration": 6.33, "text": "Our buy-to-let book is well seasoned, with 9 out of 10 of those mortgages"}, {"path": "tedlium_32565.wav", "duration": 6.33, "text": "In turn, the solutions we deliver provide us with unique insights to better target and recruit talent with key skills."}, {"path": "tedlium_32566.wav", "duration": 6.33, "text": "But really the question is where do our particular customers want their residue gas?"}, {"path": "tedlium_32567.wav", "duration": 6.33, "text": "And I would also say on, with respect to sales effectiveness, we are seeing success in the pilot,"}, {"path": "tedlium_32568.wav", "duration": 6.33, "text": "They are now fully integrated into our clinical drug development group over in Research Triangle Park."}, {"path": "tedlium_32569.wav", "duration": 6.33, "text": "This is a timing issue, which doesn't affect the overall profitability of the individual studies."}, {"path": "tedlium_32570.wav", "duration": 6.33, "text": "couple of the remarks that were made, and then we have a list of questions that came in"}, {"path": "tedlium_32571.wav", "duration": 6.33, "text": "We are constantly improving our capital structure,"}, {"path": "tedlium_32572.wav", "duration": 6.33, "text": "The conforming of these definitions with our peers did not have a material impact on our prior period disclosure."}, {"path": "tedlium_32573.wav", "duration": 6.33, "text": "At this point in time, I would say that the bigger broadcast groups, and I would include us in that,"}, {"path": "tedlium_32574.wav", "duration": 6.33, "text": "Only starting with the gasification plan because it will be in the second part of the year when we'll start to see a"}, {"path": "tedlium_32575.wav", "duration": 6.33, "text": "Gross margin continues to be an important measure that we're monitoring to ensure commercial and product effectiveness."}, {"path": "tedlium_32576.wav", "duration": 6.33, "text": "I'll come back also later on to that. You will see the architecture of it and the different building blocks."}, {"path": "tedlium_32577.wav", "duration": 6.33, "text": "that have direct interest to the productivity, to the revenues that they generate,"}, {"path": "tedlium_32578.wav", "duration": 6.33, "text": "Based on the strength of our performance year-to-date as well as our updated forecast for the fourth quarter,"}, {"path": "tedlium_32579.wav", "duration": 6.33, "text": "to in parallel identify these clinical sites in the relevant geographies to conduct this clinical trial."}, {"path": "tedlium_32580.wav", "duration": 6.33, "text": "expect more activity this year. And one of our limiting factors will be availability,"}, {"path": "tedlium_32581.wav", "duration": 6.33, "text": "we'll continue to add field resources while driving the comprehensive lifetime management of our installed base"}, {"path": "tedlium_32582.wav", "duration": 6.33, "text": "And the closest thing we can look at there is the individual project funnels that make up our sales forecast."}, {"path": "tedlium_32583.wav", "duration": 6.33, "text": "This decline was due to rising contained metal costs as well as the increase in freight costs that Jack mentioned,"}, {"path": "tedlium_32584.wav", "duration": 6.33, "text": "And then with respect to some of the parter opportunities, we would expect those to have a shorter sales cycle as well."}, {"path": "tedlium_32585.wav", "duration": 6.33, "text": "compared with 85 days a year ago. With our seasonal billing and collection cycle,"}, {"path": "tedlium_32586.wav", "duration": 6.33, "text": "We look forward to 2016 as an opportunity to build on our prior results."}, {"path": "tedlium_32587.wav", "duration": 6.3, "text": "We are pleased to see the progress we made in the first quarter, mainly in profitability."}, {"path": "tedlium_32588.wav", "duration": 6.3, "text": "that we sometimes use this in the competitive landscape. This new and strong buying power that we have"}, {"path": "tedlium_32589.wav", "duration": 6.3, "text": "Half of the C3G patients will be on the empirically derived standard of care,"}, {"path": "tedlium_32590.wav", "duration": 6.3, "text": "mobile messaging that allows enterprises to engage with consumers from a single platform."}, {"path": "tedlium_32591.wav", "duration": 6.3, "text": "reinforces our belief that we can be a powerful partner in RNAi. In addition, we believe that our continued progress"}, {"path": "tedlium_32592.wav", "duration": 6.3, "text": "We do not expect the group's overall leverage ratio to go above 3x and"}, {"path": "tedlium_32593.wav", "duration": 6.3, "text": "in the transaction. One thing I'd emphasize is we actually retained the design companies, the design team"}, {"path": "tedlium_32594.wav", "duration": 6.3, "text": "We don't have to wait for small cell base stations for demand to materialize."}, {"path": "tedlium_32595.wav", "duration": 6.3, "text": "and it connects directly with your bank and, most importantly, makes it easy for you to control spending in a cool and engaging way."}, {"path": "tedlium_32596.wav", "duration": 6.3, "text": "Then Linda will conclude our prepared remarks with an overview of the business environment,"}, {"path": "tedlium_32597.wav", "duration": 6.3, "text": "right, when you get a corporate deal that is governed out of"}, {"path": "tedlium_32598.wav", "duration": 6.3, "text": "no material misstatements or fraudulent activities with the finances."}, {"path": "tedlium_32599.wav", "duration": 6.3, "text": "We talked about this years ago in terms of controlling the costs. Could you just remind us or update us on"}, {"path": "tedlium_32600.wav", "duration": 6.3, "text": "and we expect to see continued growth in these very large accounts as they seek to modernize the applications that run their businesses."}, {"path": "tedlium_32601.wav", "duration": 6.3, "text": "So that would be the place where I would say we were soft in the quarter on the aftermarket side."}, {"path": "tedlium_32602.wav", "duration": 6.3, "text": "after 6 years of board responsibility for the Near East and the Americas regions."}, {"path": "tedlium_32603.wav", "duration": 6.3, "text": "and we even saw growth despite the Escondida slow down, so you can see some trucks going back to work and, I think, we"}, {"path": "tedlium_32604.wav", "duration": 6.3, "text": "We simply took a prudent approach here to take any future conversations with our auditors off the table."}, {"path": "tedlium_32605.wav", "duration": 6.3, "text": "As you can see, the amount invested into our business to improve the portfolios quality are quite important."}, {"path": "tedlium_32606.wav", "duration": 6.3, "text": "And then on the banking side, we've consistently increased our banking fees and transaction fees,"}, {"path": "tedlium_32607.wav", "duration": 6.3, "text": "commentary. So if I caught you correctly, you guys remarked that about half of the"}, {"path": "tedlium_32608.wav", "duration": 6.3, "text": "We expect to continue to see some benefit in the third quarter but to a lesser extent than in the previous quarters."}, {"path": "tedlium_32609.wav", "duration": 6.3, "text": "and we enjoy payback periods on our new store investment of under 1 year."}, {"path": "tedlium_32610.wav", "duration": 6.3, "text": "But in our future, being part of our community won't just mean attending a weekly meeting or posting on Connect."}, {"path": "tedlium_32611.wav", "duration": 6.3, "text": "and 1 month of results from the Powder River gathering system that was acquired in early June."}, {"path": "tedlium_32612.wav", "duration": 6.3, "text": "I'm also pleased to announce that we're in the process of expanding our aerospace presence"}, {"path": "tedlium_32613.wav", "duration": 6.3, "text": "it back to the operator, Brenda, to open up the lines for questions and answers."}, {"path": "tedlium_32614.wav", "duration": 6.3, "text": "there is a very strong predictability. A lot of our fraud and security offers work the same way."}, {"path": "tedlium_32615.wav", "duration": 6.3, "text": "The reduced drug reimbursement of the Cures Act has made it less profitable"}, {"path": "tedlium_32616.wav", "duration": 6.3, "text": "due to progress within Branded Consumer Goods and good contribution from Orkla Investments,"}, {"path": "tedlium_32617.wav", "duration": 6.3, "text": "No single company provides the breadth of capabilities as Nielsen does, and it is a catalyst for our growth."}, {"path": "tedlium_32618.wav", "duration": 6.3, "text": "pull back in the second tier markets and they tend to focus more on the discretionary spend in those markets."}, {"path": "tedlium_32619.wav", "duration": 6.3, "text": "that we call on, and we have commercial sales execution that's been built up over decades."}, {"path": "tedlium_32620.wav", "duration": 6.3, "text": "some of our other life operations in American Income and Liberty National, as well as"}, {"path": "tedlium_32621.wav", "duration": 6.3, "text": "are going to be a more important driver. But in the long term, as you head out 3 to 5 years,"}, {"path": "tedlium_32622.wav", "duration": 6.3, "text": "And we have demanded, and obviously this needs to be seen, but we have demanded that the new operator"}, {"path": "tedlium_32623.wav", "duration": 6.3, "text": "These products are used across a broad spectrum of industries, including medical imaging,"}, {"path": "tedlium_32624.wav", "duration": 6.3, "text": "frequent communication, not specifically on that topic, but on all the opportunities we have"}, {"path": "tedlium_32625.wav", "duration": 6.3, "text": "related to the uplift of the building in Sherman, Texas and the delivery of capital equipments for that site."}, {"path": "tedlium_32626.wav", "duration": 6.3, "text": "The variations in supply revenue are a result of the timing of orders placed by our partners"}, {"path": "tedlium_32627.wav", "duration": 6.3, "text": "to drive value creation for our stockholders while addressing the unmet needs of patients."}, {"path": "tedlium_32628.wav", "duration": 6.3, "text": "June was also the strongest month in the second quarter for our newly expanded European distribution center."}, {"path": "tedlium_32629.wav", "duration": 6.3, "text": "because there's a lifetime amount of transfusion that's tolerated. If you start later, you stay alive longer."}, {"path": "tedlium_32630.wav", "duration": 6.3, "text": "It is not possible for Allied to grow in those markets"}, {"path": "tedlium_32631.wav", "duration": 6.3, "text": "potential investors. Could we not assume that even today there are those"}, {"path": "tedlium_32632.wav", "duration": 6.3, "text": "I'd say we're pretty comfortable at 8 because it doesn't require really a lot of delta sequentially in what we're doing."}, {"path": "tedlium_32633.wav", "duration": 6.3, "text": "During the quarter, we saw the grocery market shift from an inflationary environment to a deflationary one."}, {"path": "tedlium_32634.wav", "duration": 6.3, "text": "And so I think what you're going to see on the retail front is just continued ability to"}, {"path": "tedlium_32635.wav", "duration": 6.3, "text": "product that we should probably talk about. I mean there has been a lot of product in the channel for a while."}, {"path": "tedlium_32636.wav", "duration": 6.3, "text": "we are not seeing fewer participants in the bicycling space. So we don't think it's a"}, {"path": "tedlium_32637.wav", "duration": 6.3, "text": "including various financial assistance, mechanisms for qualifying persons to help ensure"}, {"path": "tedlium_32638.wav", "duration": 6.3, "text": "allocating their promotional spend any differently and whether that might be affecting the display business?"}, {"path": "tedlium_32639.wav", "duration": 6.3, "text": "I think some of your customers are making some progress on the technology front. I think one of your NAND customers"}, {"path": "tedlium_32640.wav", "duration": 6.3, "text": "and slightly higher than we have estimated. Reducing this investment remains an integral part of our business plan."}, {"path": "tedlium_32641.wav", "duration": 6.3, "text": "In summary, our solid execution in Q2, along with continued investment in the business,"}, {"path": "tedlium_32642.wav", "duration": 6.3, "text": "My colleagues and I would now be happy to answer your questions. Thank you."}, {"path": "tedlium_32643.wav", "duration": 6.3, "text": "In addition, the continuing pipeline of major work I discussed previously"}, {"path": "tedlium_32644.wav", "duration": 6.3, "text": "to show, among other things, how this liquidity is supported by our future production."}, {"path": "tedlium_32645.wav", "duration": 6.3, "text": "or 2. But we kind of felt the pain with the hiring and the startups into the third quarter."}, {"path": "tedlium_32646.wav", "duration": 6.3, "text": "We have carried out various campaigns to sustain brand growth."}, {"path": "tedlium_32647.wav", "duration": 6.3, "text": "You may recall in December, we announced the sale of our Identity Management business."}, {"path": "tedlium_32648.wav", "duration": 6.3, "text": "The market environment for our products and services continues to be positive, driven by"}, {"path": "tedlium_32649.wav", "duration": 6.3, "text": "We also have a lot of exciting new projects in the queue and look forward to converting them into income production."}, {"path": "tedlium_32650.wav", "duration": 6.3, "text": "So I put it another way is we think we've whacked the heck out of refined products. We've"}, {"path": "tedlium_32651.wav", "duration": 6.3, "text": "maybe you can talk a little bit to that. I know part of it is obviously going to be second half, but"}, {"path": "tedlium_32652.wav", "duration": 6.3, "text": "Market prices for resin were up more than 5% during the quarter compared to last year,"}, {"path": "tedlium_32653.wav", "duration": 6.3, "text": "So we hope to revert with that once we have finalized the long-term arrangement."}, {"path": "tedlium_32654.wav", "duration": 6.3, "text": "I think we like the position we're in, right. We've got more liquidity and lower leverage because our earnings have grown so much,"}, {"path": "tedlium_32655.wav", "duration": 6.3, "text": "but we think that the long-term impact of the requirement still remains to be seen."}, {"path": "tedlium_32656.wav", "duration": 6.3, "text": "By the way, this is exactly the way we at Orange"}, {"path": "tedlium_32657.wav", "duration": 6.3, "text": "that explains, we are very satisfied because we both reached volume and value"}, {"path": "tedlium_32658.wav", "duration": 6.3, "text": "We believe that these modest cosmetic enhancements can make a big difference to customer's overall experience."}, {"path": "tedlium_32659.wav", "duration": 6.3, "text": "And we have taken a very clear and disciplined approach to it,"}, {"path": "tedlium_32660.wav", "duration": 6.3, "text": "not a high penetration rate, but a very significant value prop for our customers."}, {"path": "tedlium_32661.wav", "duration": 6.3, "text": "and offers conflict-free assessment services to assist them in determining the most appropriate placement"}, {"path": "tedlium_32662.wav", "duration": 6.3, "text": "We're very proud of our solid second quarter and first half results and the strength we see for the remainder of the year."}, {"path": "tedlium_32663.wav", "duration": 6.3, "text": "That built the reserve business to the scale it has today built off a single business model."}, {"path": "tedlium_32664.wav", "duration": 6.3, "text": "where we are today, we're trading at less than 6x revenue multiples. So I think there's a lot of opportunity for"}, {"path": "tedlium_32665.wav", "duration": 6.3, "text": "However, the traction gained on beverages in some of our key markets has mitigated this to a large extent."}, {"path": "tedlium_32666.wav", "duration": 6.3, "text": "talking in right now December 31. So the facility will start to move up."}, {"path": "tedlium_32667.wav", "duration": 6.3, "text": "Looking ahead, we seek to drive consistent improvement in performance on an annual basis."}, {"path": "tedlium_32668.wav", "duration": 6.3, "text": "The next area of focus is to write selective classes of workers' compensation insurance."}, {"path": "tedlium_32669.wav", "duration": 6.3, "text": "Business growth was led by Solgar, No 7, Joint Comfort product as well as new innovation,"}, {"path": "tedlium_32670.wav", "duration": 6.3, "text": "We flagged 6 months ago that there would be identified headwinds from contractual increases in input costs."}, {"path": "tedlium_32671.wav", "duration": 6.3, "text": "We'll utilize our alliances with partner airlines to maintain our advantage as a market leader."}, {"path": "tedlium_32672.wav", "duration": 6.3, "text": "Please turn to Page 15. This slide shows our financial platform."}, {"path": "tedlium_32673.wav", "duration": 6.3, "text": "We also see that we are able to keep our position in the valuable customer segment."}, {"path": "tedlium_32674.wav", "duration": 6.3, "text": "And we think we're returning back to an industry that looks more similar to what we would have seen in the '80s and the '90s than what"}, {"path": "tedlium_32675.wav", "duration": 6.3, "text": "In Roofing, we anticipate modest market growth, primarily driven by growth in new construction markets."}, {"path": "tedlium_32676.wav", "duration": 6.3, "text": "If you go back to when we had the call last quarter, and we did announce it had gone up. It's been fairly stable since then"}, {"path": "tedlium_32677.wav", "duration": 6.3, "text": "is important to us to bring those hospitals into the system well."}, {"path": "tedlium_32678.wav", "duration": 6.3, "text": "Now you mentioned kind of mysteriously last time about how you thought you could have,"}, {"path": "tedlium_32679.wav", "duration": 6.3, "text": "then that's where we would be, and that's what we're going to do in the future."}, {"path": "tedlium_32680.wav", "duration": 6.3, "text": "associated with defaults that were in the portfolio at the end of the year. And in addition, as we settle claims, we have"}, {"path": "tedlium_32681.wav", "duration": 6.3, "text": "Second, as you know, we've been highly focused on improving the trends in our credit portfolio. This doesn't change,"}, {"path": "tedlium_32682.wav", "duration": 6.3, "text": "We have revised our segment reporting to reflect our organizational structure post the integration of Orchard."}, {"path": "tedlium_32683.wav", "duration": 6.3, "text": "Recent new product offerings will also help. Our strong sales activity"}, {"path": "tedlium_32684.wav", "duration": 6.3, "text": "We're continuing to work on the remaining regulatory approvals for this critical piece of natural gas infrastructure."}, {"path": "tedlium_32685.wav", "duration": 6.3, "text": "So to keep it apart is maybe a little bit of a mathematical exercise."}, {"path": "tedlium_32686.wav", "duration": 6.3, "text": "and ultimately using technology to build upon the spirit of hospitality that is core to our company."}, {"path": "tedlium_32687.wav", "duration": 6.3, "text": "We'll have a better sense of timing for each of these New Zealand projects in the next quarter."}, {"path": "tedlium_32688.wav", "duration": 6.3, "text": "With these anticipated cost savings and based on our current plans and forecasted expenses,"}, {"path": "tedlium_32689.wav", "duration": 6.3, "text": "This difference was mainly driven by a positive impact from product derivatives, which I will discuss shortly."}, {"path": "tedlium_32690.wav", "duration": 6.3, "text": "the benefit to the margins and reserves on a after-tax basis will well exceed any detriment that occurs"}, {"path": "tedlium_32691.wav", "duration": 6.3, "text": "which enabled us to originate loans with attractive yields without sacrificing credit quality."}, {"path": "tedlium_32692.wav", "duration": 6.3, "text": "Free cash flow for the quarter, which we calculate as operating cash flow plus the net change in our flooring agreement"}, {"path": "tedlium_32693.wav", "duration": 6.3, "text": "as a service. Remember, as a service revenues are netted down for accounting purposes."}, {"path": "tedlium_32694.wav", "duration": 6.3, "text": "That could potentially include adding some leverage to the balance sheet. I think we're going to do that in a very"}, {"path": "tedlium_32695.wav", "duration": 6.3, "text": "This partly reflects the fact that broker deposit pricing was relatively low prior to the market turbulence."}, {"path": "tedlium_32696.wav", "duration": 6.3, "text": "There's probably going to be a little bit more inventory in the system this year until we catch up from a demand perspective."}, {"path": "tedlium_32697.wav", "duration": 6.3, "text": "in the quarter by comparison to the comparable quarter. But if we look at the page to follow,"}, {"path": "tedlium_32698.wav", "duration": 6.3, "text": "in order to grow NOI. In redevelopment and development for hold,"}, {"path": "tedlium_32699.wav", "duration": 6.3, "text": "From an economic standpoint, we are seeing fairly healthy conditions across our existing footprint."}, {"path": "tedlium_32700.wav", "duration": 6.3, "text": "complete access to their employees, and we are quite frankly limited in our ability to"}, {"path": "tedlium_32701.wav", "duration": 6.3, "text": "The hotel expansion phase of the resort, which was announced earlier this year, is anticipated to be completed"}, {"path": "tedlium_32702.wav", "duration": 6.3, "text": "further risks remain and we will keep you updated as we execute the remaining scope of the work."}, {"path": "tedlium_32703.wav", "duration": 6.3, "text": "I will review a few highlights, then I'll hand it over to Kevin for a full recap of our financial performance."}, {"path": "tedlium_32704.wav", "duration": 6.3, "text": "to prioritizing our investment needs and identifying new market opportunities, we are taking a thoughtful,"}, {"path": "tedlium_32705.wav", "duration": 6.3, "text": "We've also made significant progress in our first 5 months toward operating on a standalone basis"}, {"path": "tedlium_32706.wav", "duration": 6.3, "text": "strong group trends also allowed us to better yield transient rates to drive overall profitability."}, {"path": "tedlium_32707.wav", "duration": 6.3, "text": "buying someone else's asset management business and inheriting their culture and inheriting their people. So we want to do it very carefully."}, {"path": "tedlium_32708.wav", "duration": 6.3, "text": "was clearly incremental debt. So it would be nice to be able to take care of that over the next"}, {"path": "tedlium_32709.wav", "duration": 6.3, "text": "We now have the task of balancing these investments against top line growth such that we return the company to profitability."}, {"path": "tedlium_32710.wav", "duration": 6.3, "text": "It's our goal to be able to source product from anywhere in the world that we need to source it,"}, {"path": "tedlium_32711.wav", "duration": 6.3, "text": "In this quarter, we executed 5 new contracts through Regence Blue Cross"}, {"path": "tedlium_32712.wav", "duration": 6.3, "text": "and a negative currency impact of 4 percentage points is now expected."}, {"path": "tedlium_32713.wav", "duration": 6.3, "text": "mix shift towards the shorter ended towards the trade finance business transactions. And actually, this has been quite"}, {"path": "tedlium_32714.wav", "duration": 6.3, "text": "or maybe it's just the Street being too pessimistic looking for a slowdown, but any additional color that would be helpful?"}, {"path": "tedlium_32715.wav", "duration": 6.3, "text": "there's no question that we're thinking big and we're looking out there into the market and seeing what's available and what's possible."}, {"path": "tedlium_32716.wav", "duration": 6.3, "text": "I plan to continue to serve on our board, and I look forward to contributing to our future success."}, {"path": "tedlium_32717.wav", "duration": 6.3, "text": "until we would get to later part of the year as some of these start to ramp up,"}, {"path": "tedlium_32718.wav", "duration": 6.3, "text": "that we're talking about and lot of velocity improvements in the factories and it's not just here"}, {"path": "tedlium_32719.wav", "duration": 6.3, "text": "again, as you said, we get -- where the dollars were available, we got our fair share or more of the political,"}, {"path": "tedlium_32720.wav", "duration": 6.3, "text": "In Russia, there are some investment projects in progress in the areas of natural gas and chemical."}, {"path": "tedlium_32721.wav", "duration": 6.3, "text": "with the right type of engineering on the existing products, the higher margins on the new products."}, {"path": "tedlium_32722.wav", "duration": 6.3, "text": "Despite the lower sales volumes, we were able to generate operating expense leverage in the quarter,"}, {"path": "tedlium_32723.wav", "duration": 6.3, "text": "Is there any reason why quarterly earnings as a percent of total would vary significantly from historical averages?"}, {"path": "tedlium_32724.wav", "duration": 6.3, "text": "people on the Scientific Board, and the three resumes of the Strategic Advisors who have"}, {"path": "tedlium_32725.wav", "duration": 6.3, "text": "On our color block charts highlighted operating performance and customer satisfaction for the utilities,"}, {"path": "tedlium_32726.wav", "duration": 6.3, "text": "Regarding operating profits, the continued effect of the extremely high gaming taxes on lower volume,"}, {"path": "tedlium_32727.wav", "duration": 6.3, "text": "Welcome to the Vulcan Materials Company Second Quarter Earnings Call. My name is Lynette, and I will be your conference coordinator today."}, {"path": "tedlium_32728.wav", "duration": 6.3, "text": "I would add one thing on -- this is not the market, but our operating folks in California have done"}, {"path": "tedlium_32729.wav", "duration": 6.3, "text": "questions in the queue at this time, I'd like to turn the call back over to Mr. Constantinople for any additional or closing remarks."}, {"path": "tedlium_32730.wav", "duration": 6.3, "text": "almost all of these patients fail quickly or fail eventually. So"}, {"path": "tedlium_32731.wav", "duration": 6.3, "text": "We have completed our final integration project as the consolidation of our network is now finalized."}, {"path": "tedlium_32732.wav", "duration": 6.3, "text": "We think and we are cautious that we may peak out at these levels."}, {"path": "tedlium_32733.wav", "duration": 6.3, "text": "numbers we see very much as a waypoint in the broader Keller"}, {"path": "tedlium_32734.wav", "duration": 6.3, "text": "So is that because you haven't raised your deposit costs enough or could you explain that a bit more?"}, {"path": "tedlium_32735.wav", "duration": 6.3, "text": "and by the end of that period, overcome our depreciation burden to attain positive GAAP earnings."}, {"path": "tedlium_32736.wav", "duration": 6.3, "text": "Not necessarily as fast as I would like but as fast as we reasonably can identify and recruit A ballplayers."}, {"path": "tedlium_32737.wav", "duration": 6.3, "text": "As shown on Slide 7, loan and deposit mix were relatively unchanged post merger."}, {"path": "tedlium_32738.wav", "duration": 6.3, "text": "the quality of the acquisitions that we've been able to do over the last few years."}, {"path": "tedlium_32739.wav", "duration": 6.3, "text": "second quarter's doing better than the first. And we're seeing the beat rate of the business improve. But when you annualize it"}, {"path": "tedlium_32740.wav", "duration": 6.3, "text": "The properties we owned prior to the beginning of the quarter performed slightly better than our expectations during the quarter."}, {"path": "tedlium_32741.wav", "duration": 6.3, "text": "age and the ability to undertake the rehabilitation required of all cartilage repair procedures."}, {"path": "tedlium_32742.wav", "duration": 6.3, "text": "So I think there are areas that we would combine behind the scenes."}, {"path": "tedlium_32743.wav", "duration": 6.3, "text": "So you can expect to see us adopt the same type of approach at FGL that you would have seen"}, {"path": "tedlium_32744.wav", "duration": 6.3, "text": "for the Refining business drops somewhat as well as those obligations move to"}, {"path": "tedlium_32745.wav", "duration": 6.3, "text": "clearly demonstrate the substantial and growing value the partnership represents to the total enterprise."}, {"path": "tedlium_32746.wav", "duration": 6.3, "text": "The majority of our revenue is generated through brand advertising, which seasonally peaks in the fourth quarter."}, {"path": "tedlium_32747.wav", "duration": 6.3, "text": "The press release mentioned that the possible alternatives include, among other things,"}, {"path": "tedlium_32748.wav", "duration": 6.3, "text": "Important factors could cause actual results to differ, possibly materially, from those indicated in these statements."}, {"path": "tedlium_32749.wav", "duration": 6.3, "text": "have been allowed to either atrophy or become more like a typical retailer."}, {"path": "tedlium_32750.wav", "duration": 6.3, "text": "last year we saw some changes in reimbursement in California with the state Medicaid opening up"}, {"path": "tedlium_32751.wav", "duration": 6.3, "text": "And this is a market that we really haven't had any -- we've got a few hundred cartons in the VA so far for ARISTADA. So"}, {"path": "tedlium_32752.wav", "duration": 6.3, "text": "I think it's a little too early to give more color about where we're going to end up ultimately with those ranges."}, {"path": "tedlium_32753.wav", "duration": 6.3, "text": "So that's all about getting through our process, and that -- I would guess that's what that looks like. In terms of"}, {"path": "tedlium_32754.wav", "duration": 6.3, "text": "We leveraged strong operating performance by continuing to focus on minimizing overhead costs."}, {"path": "tedlium_32755.wav", "duration": 6.3, "text": "We began pursuing our specialty product strategy after our merger with Ainsworth to bring"}, {"path": "tedlium_32756.wav", "duration": 6.3, "text": "The total backlog calculation reflects solid performance as we booked new work and renewed existing work."}, {"path": "tedlium_32757.wav", "duration": 6.3, "text": "and now that Pennsylvania business is our highest growth utility option and opportunity. So"}, {"path": "tedlium_32758.wav", "duration": 6.2700625, "text": "But the working capital requirement related to those contracts are the normal working capital"}, {"path": "tedlium_32759.wav", "duration": 6.27, "text": "I think we also want to maintain, though, plenty of liquidity for these type of opportunistic"}, {"path": "tedlium_32760.wav", "duration": 6.27, "text": "what we're focused on right now is where we can physically grow the barrels, and we have very solid results"}, {"path": "tedlium_32761.wav", "duration": 6.27, "text": "That includes a strong performance from travel, a strong performance from underwriting,"}, {"path": "tedlium_32762.wav", "duration": 6.27, "text": "the kind of percentage increases just getting wafers allocated from suppliers like TowerJazz and so on,"}, {"path": "tedlium_32763.wav", "duration": 6.27, "text": "Reflecting the payment of bonus in the first quarter, cash paid for the restructuring as well as our acquisition in Denmark,"}, {"path": "tedlium_32764.wav", "duration": 6.27, "text": "The shift away from CDs to transaction accounts further reduced our funding cost and improved our interest rate profile."}, {"path": "tedlium_32765.wav", "duration": 6.27, "text": "But I think that it's probably just best to stick with that guidance in the 3.80% to 4% range for that"}, {"path": "tedlium_32766.wav", "duration": 6.27, "text": "senior first lien across both lower middle market and middle market, there are times where"}, {"path": "tedlium_32767.wav", "duration": 6.27, "text": "the investment business is the most important thing we do and we are keenly aware of a lot of the risks around this. And like I said,"}, {"path": "tedlium_32768.wav", "duration": 6.27, "text": "prior to the end of fiscal 2019. Moving on to capital allocation."}, {"path": "tedlium_32769.wav", "duration": 6.27, "text": "It's like search and shopping, a long tail user experience we believe is important as well."}, {"path": "tedlium_32770.wav", "duration": 6.27, "text": "As a result of that approach, our customers typically have much higher patch compliance rates"}, {"path": "tedlium_32771.wav", "duration": 6.27, "text": "Thanks, Karen, and good morning to everyone. I would like to share some highlights from the second quarter"}, {"path": "tedlium_32772.wav", "duration": 6.27, "text": "Thank you for standing by. This is the conference operator."}, {"path": "tedlium_32773.wav", "duration": 6.27, "text": "On the whole, we are off to a solid start and our focus is on advancing our strategic priorities."}, {"path": "tedlium_32774.wav", "duration": 6.27, "text": "We believe that the elevated maturity way of approaching and the increased regulation on other market participants"}, {"path": "tedlium_32775.wav", "duration": 6.27, "text": "representing the smaller electronic cigarette company groups"}, {"path": "tedlium_32776.wav", "duration": 6.27, "text": "I will make a few remarks on our overall performance and then cover the highlights across our businesses."}, {"path": "tedlium_32777.wav", "duration": 6.27, "text": "we expect to see additional growth in our Australasian Automotive business in the quarters ahead."}, {"path": "tedlium_32778.wav", "duration": 6.27, "text": "As is customary, this guidance excludes the benefit of any future acquisitions."}, {"path": "tedlium_32779.wav", "duration": 6.27, "text": "Operating expenses were up mainly because we are investing in more growth initiatives."}, {"path": "tedlium_32780.wav", "duration": 6.27, "text": "but the team believes that our throughput capabilities are much stronger than they were a year ago."}, {"path": "tedlium_32781.wav", "duration": 6.27, "text": "from just the sale of technology as a driver of revenue and profit,"}, {"path": "tedlium_32782.wav", "duration": 6.27, "text": "Before we begin, I'd like to remind you that this conference call contains forward-looking statements with respect to the future"}, {"path": "tedlium_32783.wav", "duration": 6.27, "text": "As Gareth said, it's quite an interesting junction point for us that we find ourselves at the half year, where this is the biggest profit contributor."}, {"path": "tedlium_32784.wav", "duration": 6.27, "text": "as expected in the quarter and within the framework in the quarter, again ex the"}, {"path": "tedlium_32785.wav", "duration": 6.27, "text": "to address those and make certain that we optimize the opportunity in those countries instead of just letting it go."}, {"path": "tedlium_32786.wav", "duration": 6.27, "text": "Additionally, we will be able to leverage our global reach to accelerate adoption of PlanGrid solutions."}, {"path": "tedlium_32787.wav", "duration": 6.27, "text": "growth was, in fact, due to our core business as opposed to our acquisitions. And I did that because,"}, {"path": "tedlium_32788.wav", "duration": 6.27, "text": "Also the companies would like to point out that this call will include forward-looking statements,"}, {"path": "tedlium_32789.wav", "duration": 6.27, "text": "Could you outline what are the key swing factors that cause you to put out that"}, {"path": "tedlium_32790.wav", "duration": 6.27, "text": "And then you should keep in mind that there are some additional multi-client investments expected from sales of existing surveys"}, {"path": "tedlium_32791.wav", "duration": 6.27, "text": "Can you comment on the timing? Is it something where you started it toward the end of the quarter and you're going to be doing more? Or"}, {"path": "tedlium_32792.wav", "duration": 6.27, "text": "and encouraging us to be very aggressive moving forward, no one's sure what to think about"}, {"path": "tedlium_32793.wav", "duration": 6.27, "text": "So the contribution from all of this will move into fiscal '18, but it ought to give us another"}, {"path": "tedlium_32794.wav", "duration": 6.27, "text": "in the downtown core of Toronto is that we can do a lot more with less space"}, {"path": "tedlium_32795.wav", "duration": 6.27, "text": "from what we've done in the past, and you would expect that would have some reaction from the sales force,"}, {"path": "tedlium_32796.wav", "duration": 6.27, "text": "Our semiconductor systems group delivered revenue that was slightly above the midpoint of our expectations."}, {"path": "tedlium_32797.wav", "duration": 6.27, "text": "that just you being opportunistic as in not extending a bunch of leases that have been up for renewal"}, {"path": "tedlium_32798.wav", "duration": 6.27, "text": "There is more freight than trucks right now and more spot pressure on the logistics business than we've seen in a long time."}, {"path": "tedlium_32799.wav", "duration": 6.27, "text": "is important to emphasize that our own manufacturing around the world and maintaining a high standard of quality"}, {"path": "tedlium_32800.wav", "duration": 6.27, "text": "expected future developments and other factors it believes are appropriate under circumstances."}, {"path": "tedlium_32801.wav", "duration": 6.27, "text": "which included a large heavy equipment fleet located at the Fording River coal mine, the mobilization of equipment"}, {"path": "tedlium_32802.wav", "duration": 6.27, "text": "The potential reinsurance transaction remains subject to continued negotiation of material terms"}, {"path": "tedlium_32803.wav", "duration": 6.27, "text": "and while our full-year guidance implies an acceleration to that trend, as we have stated previously,"}, {"path": "tedlium_32804.wav", "duration": 6.27, "text": "We also -- we've done an excellent job with the customer, and they're trying to shop around they can't find that product anywhere else,"}, {"path": "tedlium_32805.wav", "duration": 6.27, "text": "And so you should expect that we'll continue to see mix being an important part of our average unit price improvement"}, {"path": "tedlium_32806.wav", "duration": 6.27, "text": "on the financial side, I wonder if you could tell us what your expected"}, {"path": "tedlium_32807.wav", "duration": 6.27, "text": "we can say that we had a very strong record-breaking quarter in which we had"}, {"path": "tedlium_32808.wav", "duration": 6.27, "text": "wondering, which technology you're displacing and why you think that's happening?"}, {"path": "tedlium_32809.wav", "duration": 6.27, "text": "This is expected to result in substantial future cash tax benefits."}, {"path": "tedlium_32810.wav", "duration": 6.27, "text": "We now have the complete solutions that our schools are demanding."}, {"path": "tedlium_32811.wav", "duration": 6.27, "text": "and net metering programs being eliminated or reduced at the state level."}, {"path": "tedlium_32812.wav", "duration": 6.27, "text": "And then at that point, we'll assess the market to see whether it makes sense to sell 1 or both of them."}, {"path": "tedlium_32813.wav", "duration": 6.27, "text": "Our voluntary personal lines policies increased by almost 4,000 policies during the quarter."}, {"path": "tedlium_32814.wav", "duration": 6.27, "text": "Appetite is a very important variable by which a pet owner assesses the health status of their pet,"}, {"path": "tedlium_32815.wav", "duration": 6.27, "text": "Outside of the challenging weather patterns, we continue to see an elevated level of auto collision frequency"}, {"path": "tedlium_32816.wav", "duration": 6.27, "text": "we had lots to sell over the last couple of years, which is one of the reasons that we purchased American Capital."}, {"path": "tedlium_32817.wav", "duration": 6.27, "text": "Effectively, this means we were able to redirect a large number of small ESCO partners to distribution,"}, {"path": "tedlium_32818.wav", "duration": 6.27, "text": "there's a lot of new technology evolving. So I think if you look backwards and think about desktop, that's a"}, {"path": "tedlium_32819.wav", "duration": 6.27, "text": "However, the international and commercial markets in which Hamilton Beach participates are expected to grow moderately."}, {"path": "tedlium_32820.wav", "duration": 6.27, "text": "change to be discussed, and we don't have a plan to retire massively"}, {"path": "tedlium_32821.wav", "duration": 6.27, "text": "In 2017, we set our sights on drilling longer laterals and larger well packages."}, {"path": "tedlium_32822.wav", "duration": 6.27, "text": "right now today fairly easily. So we kind of capture the ones that give us the best opportunity."}, {"path": "tedlium_32823.wav", "duration": 6.27, "text": "how we move forward in our efficiency ratio is really"}, {"path": "tedlium_32824.wav", "duration": 6.27, "text": "Well, thank you very much for joining our call, and we look forward to talking to you next quarter."}, {"path": "tedlium_32825.wav", "duration": 6.27, "text": "and net commodity inflation to contribute to relatively better performance in the second half."}, {"path": "tedlium_32826.wav", "duration": 6.27, "text": "but the underlying demand from ordinary companies is still quite low in Sweden."}, {"path": "tedlium_32827.wav", "duration": 6.27, "text": "rebates with distributor partners that are annually based with stair steps up as"}, {"path": "tedlium_32828.wav", "duration": 6.27, "text": "results. So I think Myers is a small company and it's a company that has a long-range growth"}, {"path": "tedlium_32829.wav", "duration": 6.27, "text": "and uncertainties. Actual results could differ materially from those described in the forward-looking statements"}, {"path": "tedlium_32830.wav", "duration": 6.27, "text": "where we have really focused on fewer countries to really fuel the growth there."}, {"path": "tedlium_32831.wav", "duration": 6.27, "text": "and companies that serve the advertising industry exclusively, honestly,"}, {"path": "tedlium_32832.wav", "duration": 6.27, "text": "our guidance does not include any impact from potential acquisitions that we might complete during the fourth quarter."}, {"path": "tedlium_32833.wav", "duration": 6.27, "text": "between our manufacturing operations in Ingolstadt and the manufacturing operations in Usti because what happened"}, {"path": "tedlium_32834.wav", "duration": 6.27, "text": "to maximize operating efficiencies, which was finally completed at the end of October, took longer than expected."}, {"path": "tedlium_32835.wav", "duration": 6.27, "text": "that comes from legacy systems revenue or conversely comes from new platform product revenue?"}, {"path": "tedlium_32836.wav", "duration": 6.27, "text": "This model ensures that our project execution solves our clients' problems with practical insights"}, {"path": "tedlium_32837.wav", "duration": 6.27, "text": "Before introducing Kate, I would like to remind you that we may make forward-looking statements during this call."}, {"path": "tedlium_32838.wav", "duration": 6.27, "text": "and fourth, the evolution of our incentive compensation plans to prioritize growth as fundamental,"}, {"path": "tedlium_32839.wav", "duration": 6.27, "text": "All earnings per share metrics discussed in this call are on a diluted share basis for continuing operations."}, {"path": "tedlium_32840.wav", "duration": 6.27, "text": "We expect our EMEA region to have higher net sales compared to the prior year,"}, {"path": "tedlium_32841.wav", "duration": 6.27, "text": "That brings my section of the presentation to a close. So now I will turn the time back over to Ilene."}, {"path": "tedlium_32842.wav", "duration": 6.27, "text": "You can only do that -- we have discussion with physician panels and ask them the question, so"}, {"path": "tedlium_32843.wav", "duration": 6.27, "text": "Although we moved up some in our own promotional spend in our fourth quarter, we remain far less than competition."}, {"path": "tedlium_32844.wav", "duration": 6.27, "text": "We would expect to see some increase in marketing spend in the fourth quarter."}, {"path": "tedlium_32845.wav", "duration": 6.27, "text": "to accelerate the maturity of those branches that we've opened over the last couple of years."}, {"path": "tedlium_32846.wav", "duration": 6.27, "text": "Therefore, the first question is a relative question. You need to revamp"}, {"path": "tedlium_32847.wav", "duration": 6.27, "text": "The K factor is that factor that will correct any deviation"}, {"path": "tedlium_32848.wav", "duration": 6.27, "text": "keep the project going. And we are also in discussions with other potential partners"}, {"path": "tedlium_32849.wav", "duration": 6.27, "text": "a bigger concentration of the marketing efforts around that restage and launch."}, {"path": "tedlium_32850.wav", "duration": 6.27, "text": "increased time in the permitting process. We do not see anything in that permitting process"}, {"path": "tedlium_32851.wav", "duration": 6.27, "text": "Latin America, namely Brazil, is down significantly to prior year for reasons I will discuss a little later."}, {"path": "tedlium_32852.wav", "duration": 6.27, "text": "And I figure, it'll probably be another 4 or 5 days before they"}, {"path": "tedlium_32853.wav", "duration": 6.27, "text": "particularly as we've gotten through the legacy DSL conversions, which has really been absorbing us for the last few years."}, {"path": "tedlium_32854.wav", "duration": 6.27, "text": "Revenue from the expanded business in Wisconsin should start to flow through in the fourth quarter."}, {"path": "tedlium_32855.wav", "duration": 6.27, "text": "normalized levels. But in the meantime, the top line and the end market demand of that business is looking good."}, {"path": "tedlium_32856.wav", "duration": 6.27, "text": "some of the implications of the thoughts reflected in the Treasury report on insurance."}, {"path": "tedlium_32857.wav", "duration": 6.27, "text": "heavily in additional professionals to provide that service to the end markets."}, {"path": "tedlium_32858.wav", "duration": 6.27, "text": "I would expect for the back half of the year, Matt, that to kind of return to normal growth."}, {"path": "tedlium_32859.wav", "duration": 6.27, "text": "Our tank trailer business continues to see reasonably stable demand in the food, dairy, beverage markets,"}, {"path": "tedlium_32860.wav", "duration": 6.27, "text": "I would also like to thank our employees for maintaining our focus on growth and profitability."}, {"path": "tedlium_32861.wav", "duration": 6.27, "text": "We've got to generate business flows on top of that to seal the strategic case."}, {"path": "tedlium_32862.wav", "duration": 6.27, "text": "Alpha provides business continuity and connectivity solutions in the cable broadband networks,"}, {"path": "tedlium_32863.wav", "duration": 6.27, "text": "It's been subject to discretion. We have the ability to put a program in place."}, {"path": "tedlium_32864.wav", "duration": 6.27, "text": "share repurchase. We're going to do that because we're going to continue to focus on generating cash"}, {"path": "tedlium_32865.wav", "duration": 6.27, "text": "The revenue strength there was only able to partially recover these higher costs."}, {"path": "tedlium_32866.wav", "duration": 6.27, "text": "In our Power segment, our transformer business remained on track for an improving full year performance."}, {"path": "tedlium_32867.wav", "duration": 6.27, "text": "to allow for the increase patient numbers and other indications and will pursue the lung indication separately."}, {"path": "tedlium_32868.wav", "duration": 6.27, "text": "We are encouraged by this momentum as we enter our main selling season right now."}, {"path": "tedlium_32869.wav", "duration": 6.27, "text": "we feel really good about it. But it is a long-term bet for us and not something that we expect on any given quarter"}, {"path": "tedlium_32870.wav", "duration": 6.27, "text": "Correlating billings growth and customers helps put in context why we believe in our marketing efforts."}, {"path": "tedlium_32871.wav", "duration": 6.27, "text": "a significant improvement from last year. Finally, CapEx remains much lower than previous years."}, {"path": "tedlium_32872.wav", "duration": 6.27, "text": "We believe we are on track to reenter the European market and submit our U.S. PMA in the fourth quarter of this year."}, {"path": "tedlium_32873.wav", "duration": 6.27, "text": "across product categories speaks to the importance of being very relevant in what you show to your customers."}, {"path": "tedlium_32874.wav", "duration": 6.27, "text": "but we saw a pretty significant decline in activity in September as volatility abated. The"}, {"path": "tedlium_32875.wav", "duration": 6.27, "text": "as well as invest in strategic hires to build out our skills and capabilities throughout the organization."}, {"path": "tedlium_32876.wav", "duration": 6.27, "text": "still the right trajectory for it to slowly ramp up to about 50 basis points by the fourth quarter or so?"}, {"path": "tedlium_32877.wav", "duration": 6.27, "text": "under a program which we initiated to bring inventories down from elevated levels."}, {"path": "tedlium_32878.wav", "duration": 6.27, "text": "And as a result of this, we have been looking at what are the real strategic option"}, {"path": "tedlium_32879.wav", "duration": 6.27, "text": "And I think we're seeing that as pointed out by the Brent crude"}, {"path": "tedlium_32880.wav", "duration": 6.27, "text": "It's very similar to the GOR in the Windsor area. If you look at the 2 charts that we supplied,"}, {"path": "tedlium_32881.wav", "duration": 6.27, "text": "for the OEMs to consider a make versus buy strategy, that's where a lot of the outsourcing growth"}, {"path": "tedlium_32882.wav", "duration": 6.27, "text": "benefits of Trex versus wood are resonating with both trade and consumers."}, {"path": "tedlium_32883.wav", "duration": 6.27, "text": "These services are being provided across the country in dozens of metropolitan areas to a number of customers."}, {"path": "tedlium_32884.wav", "duration": 6.27, "text": "In doing our tax rate, it is worth noting that our equity income is shown net of tax in the financials."}, {"path": "tedlium_32885.wav", "duration": 6.27, "text": "And when you combine the 2 solutions together and also offer payments, which we first talked to you about,"}, {"path": "tedlium_32886.wav", "duration": 6.27, "text": "or the content management system to be able to create a merchant's own store."}, {"path": "tedlium_32887.wav", "duration": 6.27, "text": "so we will see some of that in the second half. But obviously, a big portion of that would have been planned in our guide."}, {"path": "tedlium_32888.wav", "duration": 6.27, "text": "like reporting and e-mailing and user experience are already there. They don't need to be built."}, {"path": "tedlium_32889.wav", "duration": 6.27, "text": "And we've looked at Congers. What we've been able to do instead of building a full new facility, we'll be doing a"}, {"path": "tedlium_32890.wav", "duration": 6.27, "text": "But I also want to tell you that we don't live by these 90-day cycles, and you really need to get off that."}, {"path": "tedlium_32891.wav", "duration": 6.27, "text": "The increase in comparable store sales was driven mainly by an increase in the number of transactions."}, {"path": "tedlium_32892.wav", "duration": 6.27, "text": "A number of conditions around land bought this and in recent years under options"}, {"path": "tedlium_32893.wav", "duration": 6.27, "text": "Moving to the middle column. Our second quarter financial results were also notable."}, {"path": "tedlium_32894.wav", "duration": 6.27, "text": "Lufthansa passengers has also benefited strongly from a disciplined capacity approach"}, {"path": "tedlium_32895.wav", "duration": 6.27, "text": "provide earthquake relief. In terms of infrastructure rebuilds and in terms of public health,"}, {"path": "tedlium_32896.wav", "duration": 6.27, "text": "quite significantly this year in additional water handling facilities, which will allow us"}, {"path": "tedlium_32897.wav", "duration": 6.27, "text": "You will remain unnamed only because of the risk of inadvertently missing someone."}, {"path": "tedlium_32898.wav", "duration": 6.27, "text": "Our growth was also driven by solid performance from our FENICS, fully electronic business."}, {"path": "tedlium_32899.wav", "duration": 6.27, "text": "Other factors that are anticipated to negatively impact earnings include a higher effective tax rate,"}, {"path": "tedlium_32900.wav", "duration": 6.27, "text": "And I'd like to remind that we have 50% of our land that we need to develop."}, {"path": "tedlium_32901.wav", "duration": 6.27, "text": "and to discuss their possible involvement as investigators in a future trial."}, {"path": "tedlium_32902.wav", "duration": 6.27, "text": "and we expect more of the same dynamic to play out on traffic and software and hardware growth."}, {"path": "tedlium_32903.wav", "duration": 6.27, "text": "Products will be marketed through a logistics partner and select national and regional distributors."}, {"path": "tedlium_32904.wav", "duration": 6.27, "text": "While we never get in to see what our clients -- sorry, what our competitors are doing and"}, {"path": "tedlium_32905.wav", "duration": 6.27, "text": "and the ancillary rental equipment that I mentioned earlier for those large workover packages."}, {"path": "tedlium_32906.wav", "duration": 6.27, "text": "Our national as well as our regional sales force contributed to our growth in this segment."}, {"path": "tedlium_32907.wav", "duration": 6.27, "text": "I would also like to remind everyone that comments made this morning, including responses to your questions,"}, {"path": "tedlium_32908.wav", "duration": 6.27, "text": "I have enjoyed getting to know the management team and have been very impressed with the strength of the finance organization."}, {"path": "tedlium_32909.wav", "duration": 6.27, "text": "there's not anything in particular that's driving in an accelerated amount of growth."}, {"path": "tedlium_32910.wav", "duration": 6.27, "text": "But the idea is to begin now and proceed at the most rapid pace you can?"}, {"path": "tedlium_32911.wav", "duration": 6.27, "text": "Overall, we made significant progress on our strategic priorities that we laid out for the year,"}, {"path": "tedlium_32912.wav", "duration": 6.27, "text": "There remains some uncertainty about what that will turn into next year because while I think tow destocking will be over,"}, {"path": "tedlium_32913.wav", "duration": 6.27, "text": "And while I know you don't give guidance, wondering how you feel about the level of consensus out there"}, {"path": "tedlium_32914.wav", "duration": 6.27, "text": "in the near term, is to really minimize any disruption to our launch trajectory."}, {"path": "tedlium_32915.wav", "duration": 6.27, "text": "tactical plans in order to be ready for an increased competition while we speak."}, {"path": "tedlium_32916.wav", "duration": 6.27, "text": "We saw strong performance across all of our businesses this quarter, which, we believe, serves as further validation"}, {"path": "tedlium_32917.wav", "duration": 6.27, "text": "We still see European nonperforming loan pools as an important part of the opportunity set,"}, {"path": "tedlium_32918.wav", "duration": 6.27, "text": "With that, I'll now turn the call over to Jay. Thank you, Andrea, and good morning to everyone."}, {"path": "tedlium_32919.wav", "duration": 6.27, "text": "And then again, once we get to know how to run up there, which so far has been fantastic,"}, {"path": "tedlium_32920.wav", "duration": 6.27, "text": "a spend that's going to be like an ARISTADA, like a VIVITROL, more or less? Just give us a sense of just"}, {"path": "tedlium_32921.wav", "duration": 6.27, "text": "Yes. So a couple of things. One, I think the volatility and higher prices actually make it"}, {"path": "tedlium_32922.wav", "duration": 6.27, "text": "Or is the market just kind of competitive and that makes that sort of contract evolution and negotiation challenging?"}, {"path": "tedlium_32923.wav", "duration": 6.27, "text": "China remains one of the fastest growth regions, although pricing remains competitive,"}, {"path": "tedlium_32924.wav", "duration": 6.27, "text": "Without currency impact, we would also have posted a significant improvement on net margin."}, {"path": "tedlium_32925.wav", "duration": 6.27, "text": "At the same time, we were also making floor samples on our new Passport collection."}, {"path": "tedlium_32926.wav", "duration": 6.24, "text": "if you put those aside, we are looking for some very significant growth in the rest of the business just to get"}, {"path": "tedlium_32927.wav", "duration": 6.24, "text": "and how we are now expanding the footprint of avacopan into dermatological disease."}, {"path": "tedlium_32928.wav", "duration": 6.24, "text": "representing another year of significant reinvestment in building our business through acquisitions."}, {"path": "tedlium_32929.wav", "duration": 6.24, "text": "that is better equipped to compete in Canada and around the globe today than we were a year ago."}, {"path": "tedlium_32930.wav", "duration": 6.24, "text": "I'll now turn it over to Greg to review the financials. Thanks, Dave."}, {"path": "tedlium_32931.wav", "duration": 6.24, "text": "a year, especially during the second semester. And for this, we will"}, {"path": "tedlium_32932.wav", "duration": 6.24, "text": "both in the CPT code payment for the procedure and the drug"}, {"path": "tedlium_32933.wav", "duration": 6.24, "text": "And indeed, we saw some substantial hardware placements in Q2, which I called out."}, {"path": "tedlium_32934.wav", "duration": 6.24, "text": "Performance on the platform remains consistently strong with fund appreciation of 4% in the quarter."}, {"path": "tedlium_32935.wav", "duration": 6.24, "text": "We will continue to prudently invest in networks to improve our coverage and lower our cost of service delivery."}, {"path": "tedlium_32936.wav", "duration": 6.24, "text": "I've been very, very transparent about us looking at things"}, {"path": "tedlium_32937.wav", "duration": 6.24, "text": "we expect no big difference, but we don't give a specific"}, {"path": "tedlium_32938.wav", "duration": 6.24, "text": "We will continue to build on the strong fundamentals by making significant investments in our network."}, {"path": "tedlium_32939.wav", "duration": 6.24, "text": "I think we feel very confident that we can continue to deliver healthy cost savings well into the future."}, {"path": "tedlium_32940.wav", "duration": 6.24, "text": "These statements are based on assumptions made by and information currently available to Career Education"}, {"path": "tedlium_32941.wav", "duration": 6.24, "text": "later this year to further strengthen our balance sheet. I'll now turn the time back to Mauk for questions."}, {"path": "tedlium_32942.wav", "duration": 6.24, "text": "In Chile, we are seeing a modest improvement in product support activity across the various market segments."}, {"path": "tedlium_32943.wav", "duration": 6.24, "text": "And one of the things we saw on the Hatteras deal and what it demonstrated was that even a liquid portfolio of"}, {"path": "tedlium_32944.wav", "duration": 6.24, "text": "those types of variables. And based on these factors, we rank-ordered the countries by size of the opportunity."}, {"path": "tedlium_32945.wav", "duration": 6.24, "text": "But to date, we don't have any knowledge of anything of that sort. I think for us, the real exciting part is the offensive"}, {"path": "tedlium_32946.wav", "duration": 6.24, "text": "Turning to Slide 9. We continue to make good progress with expenses."}, {"path": "tedlium_32947.wav", "duration": 6.24, "text": "Our second bold move, integrate and unify inside and out."}, {"path": "tedlium_32948.wav", "duration": 6.24, "text": "for multiple years. But yes, we're very, very bullish on the fact that the expansion that we made"}, {"path": "tedlium_32949.wav", "duration": 6.24, "text": "seen an article basically discussing a similar product on premise"}, {"path": "tedlium_32950.wav", "duration": 6.24, "text": "To the extent we do generate excess cash, we plan to reduce the amount outstanding against our credit facility."}, {"path": "tedlium_32951.wav", "duration": 6.24, "text": "This affords us the opportunity as we spread the brand to raise brand awareness through high-profile retail sites"}, {"path": "tedlium_32952.wav", "duration": 6.24, "text": "And I'm happy to see signs of improvement in the weight management categories"}, {"path": "tedlium_32953.wav", "duration": 6.24, "text": "the outlook for the Medical division is very strong, not only for the remainder of this year but for the future."}, {"path": "tedlium_32954.wav", "duration": 6.24, "text": "And then my last question, you mentioned the first foray into TV. I'm wondering"}, {"path": "tedlium_32955.wav", "duration": 6.24, "text": "may cause the company's actual performance to be materially different from the performance indicated or implied by such statements."}, {"path": "tedlium_32956.wav", "duration": 6.24, "text": "These royalty streams originate from assets acquired in the BioSante transaction"}, {"path": "tedlium_32957.wav", "duration": 6.24, "text": "and are anticipating the automation portion of the expansion to be completed by the end of this year."}, {"path": "tedlium_32958.wav", "duration": 6.24, "text": "for patients. And in dialysis, it's very much the case that"}, {"path": "tedlium_32959.wav", "duration": 6.24, "text": "Our forward-looking statements should not be regarded as representation by us that any of our plans will be achieved."}, {"path": "tedlium_32960.wav", "duration": 6.24, "text": "are that those will continue to moderate as we finish off the"}, {"path": "tedlium_32961.wav", "duration": 6.24, "text": "Catering is approximately 1% of sales and remains a large untapped opportunity on which we have increased our focus."}, {"path": "tedlium_32962.wav", "duration": 6.24, "text": "the part of the business which are on workmen compensation. And our"}, {"path": "tedlium_32963.wav", "duration": 6.24, "text": "lending lines, and it would not be inconceivable for us to make a small acquisition"}, {"path": "tedlium_32964.wav", "duration": 6.24, "text": "opportunities out there, they make substantially more money creating those new"}, {"path": "tedlium_32965.wav", "duration": 6.24, "text": "And once again, we can talk about the broader portfolio strategy on Camel in November as well. But"}, {"path": "tedlium_32966.wav", "duration": 6.24, "text": "R.J. Reynolds' strong margin improvement in the quarter was largely driven by the net pricing,"}, {"path": "tedlium_32967.wav", "duration": 6.24, "text": "there are more renewals, there's a larger pool of big deals and certainly an easier compare."}, {"path": "tedlium_32968.wav", "duration": 6.24, "text": "These results reinforce my confidence in our strategy, in the community shopping center model"}, {"path": "tedlium_32969.wav", "duration": 6.24, "text": "multiple formats in which one could do that collaboration. It doesn't have to be an out-license."}, {"path": "tedlium_32970.wav", "duration": 6.24, "text": "that amount? Sorry, if we have assets that we've already impaired or"}, {"path": "tedlium_32971.wav", "duration": 6.24, "text": "the difference in the value of agency servicing versus non-agency servicing is dramatic."}, {"path": "tedlium_32972.wav", "duration": 6.24, "text": "So the deployments do not happen simultaneously, but tend to follow a sequential pattern."}, {"path": "tedlium_32973.wav", "duration": 6.24, "text": "Also, contrary to our expectation for local consumer behavior, Indonesian consumers"}, {"path": "tedlium_32974.wav", "duration": 6.24, "text": "looks like we've turned the corner here in the precious metal market that you've taken out one of your"}, {"path": "tedlium_32975.wav", "duration": 6.24, "text": "But we expect that the financial impact from reduced yields will be more than offset by efficiencies from scale,"}, {"path": "tedlium_32976.wav", "duration": 6.24, "text": "Expenses relating to nonrecurring and strategic initiatives tempered EPS slightly in the third quarter."}, {"path": "tedlium_32977.wav", "duration": 6.24, "text": "and 2 are locations that choose to go with a virtual bookstore instead of a physical store."}, {"path": "tedlium_32978.wav", "duration": 6.24, "text": "as well as contracts as well as assets to provide that capacity resource."}, {"path": "tedlium_32979.wav", "duration": 6.24, "text": "the new lower corporate tax rate provides positive earnings per share and cash flow benefits."}, {"path": "tedlium_32980.wav", "duration": 6.24, "text": "are interested in selling our product into distribution. It gives us even a broader reach into these"}, {"path": "tedlium_32981.wav", "duration": 6.24, "text": "Anything in place in your mind, specifically on the expense side that -- where you can drive that lower? Or is that more"}, {"path": "tedlium_32982.wav", "duration": 6.24, "text": "I think the outlook today continues to be like that. We have a extremely strong pipeline of projects,"}, {"path": "tedlium_32983.wav", "duration": 6.24, "text": "The Curry well is solidly in the oil window as opposed to many SCOOP STACK wells"}, {"path": "tedlium_32984.wav", "duration": 6.24, "text": "like to give a couple of highlights before I move into the individual segment results."}, {"path": "tedlium_32985.wav", "duration": 6.24, "text": "Good morning. My name is Emily, and I will be your conference operator today."}, {"path": "tedlium_32986.wav", "duration": 6.24, "text": "Further information concerning these risks and uncertainties and other factors is set forth in the company's"}, {"path": "tedlium_32987.wav", "duration": 6.24, "text": "In September, we initiated a marketing campaign focused on our expanded private brand offerings."}, {"path": "tedlium_32988.wav", "duration": 6.24, "text": "On your second question about owned funds, I just wanted to make 2 remarks."}, {"path": "tedlium_32989.wav", "duration": 6.24, "text": "an exception with the VA where if you bring a significant product, you can actually enter"}, {"path": "tedlium_32990.wav", "duration": 6.24, "text": "Our focus on driving resolutions through modifications results in positive outcomes for both the homeowner"}, {"path": "tedlium_32991.wav", "duration": 6.24, "text": "but we need to show that we make something of it across the markets. And that's, I think, a big focus. And it's also why you see us"}, {"path": "tedlium_32992.wav", "duration": 6.24, "text": "And now what I'll do is I'll turn it over to Andy for the financial review. Thank you, Brian."}, {"path": "tedlium_32993.wav", "duration": 6.24, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_32994.wav", "duration": 6.24, "text": "and we have personally invested our own money into Westport Fuel Systems."}, {"path": "tedlium_32995.wav", "duration": 6.24, "text": "could put some downward pressure in that market is you do pull replacements forward"}, {"path": "tedlium_32996.wav", "duration": 6.24, "text": "Well, there's always going to be the clinical and safety profile that's important in this particular market and"}, {"path": "tedlium_32997.wav", "duration": 6.24, "text": "And is -- are you implementing any kind of protocols in terms of allowing the physicians to"}, {"path": "tedlium_32998.wav", "duration": 6.24, "text": "I want to begin by noting that our 20th anniversary as a company happens this month."}, {"path": "tedlium_32999.wav", "duration": 6.24, "text": "and one of them being the fact that the trading opportunities are not there"}, {"path": "tedlium_33000.wav", "duration": 6.24, "text": "partially offset by ramps in a variety of other platforms and customers."}, {"path": "tedlium_33001.wav", "duration": 6.24, "text": "and should provide expanding margins as we execute the actions mentioned here today."}, {"path": "tedlium_33002.wav", "duration": 6.24, "text": "Once our products are designed in, they tend to stay in for the life of the node, which may last many years."}, {"path": "tedlium_33003.wav", "duration": 6.24, "text": "an industry such as those which is incredibly constrained from a headcount, from a capability engineering"}, {"path": "tedlium_33004.wav", "duration": 6.24, "text": "Thank you all again for participating in the call today. For those of you keeping track of our progress,"}, {"path": "tedlium_33005.wav", "duration": 6.24, "text": "Broad-based contributions from my colleagues have led to strong results during the past several years."}, {"path": "tedlium_33006.wav", "duration": 6.24, "text": "are in the final stages at this time? And have you seen any variation?"}, {"path": "tedlium_33007.wav", "duration": 6.24, "text": "And we actually believe that the world will continue to be kind of a hybrid solution"}, {"path": "tedlium_33008.wav", "duration": 6.24, "text": "The one thing I would say about the securitization is there are certain fixed costs associated with it, so there's probably a"}, {"path": "tedlium_33009.wav", "duration": 6.24, "text": "which have always relied on external resources, are investing in their pipelines."}, {"path": "tedlium_33010.wav", "duration": 6.24, "text": "Since the video player is fixed to the top of the screen, as the user scrolls through the page,"}, {"path": "tedlium_33011.wav", "duration": 6.24, "text": "and just as importantly, with the recategorization of mineral resources back to mineral reserves, which we think will be"}, {"path": "tedlium_33012.wav", "duration": 6.24, "text": "Now beyond the progress in commercial real estate, we monetized a few Land Operations assets during the quarter"}, {"path": "tedlium_33013.wav", "duration": 6.24, "text": "So there are lots of conversations going on right now. I am extremely pleased with sort of the early days results"}, {"path": "tedlium_33014.wav", "duration": 6.24, "text": "What we continue to do is be very much focused on the strategic growth of our business"}, {"path": "tedlium_33015.wav", "duration": 6.24, "text": "and was asked various questions about the headlines from The Wall Street Journal"}, {"path": "tedlium_33016.wav", "duration": 6.24, "text": "to receive any sort of compensation or to recruit others to participate in the business."}, {"path": "tedlium_33017.wav", "duration": 6.24, "text": "towards our first year goal of securing 100 million covered lives by the end of this year."}, {"path": "tedlium_33018.wav", "duration": 6.24, "text": "The Russian beer market has benefited from the World Cup, and exceptional weather over this period."}, {"path": "tedlium_33019.wav", "duration": 6.24, "text": "that we originally discussed in Q3. We will continue to monitor and report on our progress."}, {"path": "tedlium_33020.wav", "duration": 6.24, "text": "as opposed to just offering the scholarships, which would seem more in keeping with kind of a philosophy of"}, {"path": "tedlium_33021.wav", "duration": 6.24, "text": "this -- what we have said since the beginning of this year is that if we get rid of the"}, {"path": "tedlium_33022.wav", "duration": 6.24, "text": "your performance and if we look at the performance of one of your main distributor in France, it seems that,"}, {"path": "tedlium_33023.wav", "duration": 6.24, "text": "We're simplifying our go-to market strategy on the basis of customer behaviors and needs."}, {"path": "tedlium_33024.wav", "duration": 6.24, "text": "Our focus remains on growing each of our business lines through directed selling efforts,"}, {"path": "tedlium_33025.wav", "duration": 6.24, "text": "Others we measure include new professionals using the sites, unique applicants and new clients."}, {"path": "tedlium_33026.wav", "duration": 6.24, "text": "Then more intense growth is expected in the fourth quarter as all business segments contribute."}, {"path": "tedlium_33027.wav", "duration": 6.24, "text": "And your second question is about cash flow. In the first half,"}, {"path": "tedlium_33028.wav", "duration": 6.24, "text": "just like the acquisition in Poland? And it was just mentioned"}, {"path": "tedlium_33029.wav", "duration": 6.24, "text": "Haven't seen much movement in terms of a pricing on acquisitions as a result."}, {"path": "tedlium_33030.wav", "duration": 6.24, "text": "It is important to note that the total amount of revenue recognized under the company's long-term supply agreements"}, {"path": "tedlium_33031.wav", "duration": 6.24, "text": "execution of our manufacturing cost improvement initiatives and increased capacity utilization."}, {"path": "tedlium_33032.wav", "duration": 6.24, "text": "and our Recovery apparel, which features bioceramic technology that uses your body heat to promote muscle restoration."}, {"path": "tedlium_33033.wav", "duration": 6.24, "text": "And how much would be driven by actual new customers? Do you have any color there?"}, {"path": "tedlium_33034.wav", "duration": 6.24, "text": "to build on the strength in our tire category and capitalize on additional margin expansion opportunities."}, {"path": "tedlium_33035.wav", "duration": 6.24, "text": "So I think there are still plenty of opportunities for us to book"}, {"path": "tedlium_33036.wav", "duration": 6.24, "text": "as the corporation continues disciplined execution of its investment plans."}, {"path": "tedlium_33037.wav", "duration": 6.24, "text": "And services, going backwards, is actually been forced by the fact that we're fully in the cloud,"}, {"path": "tedlium_33038.wav", "duration": 6.24, "text": "The corn crop is in good shape. We believe there could be an upward revision to the yield per acre in the coming weeks."}, {"path": "tedlium_33039.wav", "duration": 6.24, "text": "In general for us with Brexit, and I think this is true for most of the companies that I've had a chance to talk to,"}, {"path": "tedlium_33040.wav", "duration": 6.24, "text": "That includes the review of our legal structure, and we expect to have further news on this shortly."}, {"path": "tedlium_33041.wav", "duration": 6.24, "text": "including changes in fair value of contingent consideration"}, {"path": "tedlium_33042.wav", "duration": 6.24, "text": "The Gas Market Reform Group is also implementing the earlier decision by the COAG Energy Council"}, {"path": "tedlium_33043.wav", "duration": 6.24, "text": "I heard a lot from customers asking us to play a more proactive role in ensuring that local,"}, {"path": "tedlium_33044.wav", "duration": 6.24, "text": "in the coming weeks once the evaluation and any potential testing operations are complete."}, {"path": "tedlium_33045.wav", "duration": 6.24, "text": "We are confident that slipped deals were not competitive losses. We just didn't convert the deals within the quarter."}, {"path": "tedlium_33046.wav", "duration": 6.24, "text": "We are seeing improved incident rates with this equipment compared to the equipment that it has replaced."}, {"path": "tedlium_33047.wav", "duration": 6.24, "text": "As a result, we did not lose share. However, we did not gain share at our desired rate of growth."}, {"path": "tedlium_33048.wav", "duration": 6.24, "text": "we see that as a plus for us. Just because we have such low leverage and very little debt at the holding company"}, {"path": "tedlium_33049.wav", "duration": 6.24, "text": "It is because of the fact that this business is exposed to very, very large and few"}, {"path": "tedlium_33050.wav", "duration": 6.24, "text": "I do. I think I'll just say that we're likely to -- just like we're being a"}, {"path": "tedlium_33051.wav", "duration": 6.24, "text": "The squeeze we're doing is looking at our hand after July, seeing where we are."}, {"path": "tedlium_33052.wav", "duration": 6.24, "text": "So that's part of what we just need to do because of the nature of how this business has evolved"}, {"path": "tedlium_33053.wav", "duration": 6.24, "text": "Good day, ladies and gentlemen, and welcome to Corium International's Conference Call for its Fourth"}, {"path": "tedlium_33054.wav", "duration": 6.24, "text": "And soon we will offer consumers highly advanced, simplified individual health records."}, {"path": "tedlium_33055.wav", "duration": 6.24, "text": "I will hand over to Scott, who will take you through the Q4 financials in more detail now."}, {"path": "tedlium_33056.wav", "duration": 6.24, "text": "which is in line with where we ended on a full year basis, with the most difficult comparisons in the second half of the year."}, {"path": "tedlium_33057.wav", "duration": 6.24, "text": "Given the first quarter results and the improved outlook for the remainder of the year,"}, {"path": "tedlium_33058.wav", "duration": 6.24, "text": "And the conditions of these projects are now very different to the ones found 5 years ago,"}, {"path": "tedlium_33059.wav", "duration": 6.24, "text": "this means things have higher volatilities than desired."}, {"path": "tedlium_33060.wav", "duration": 6.24, "text": "Okay. And in the delays -- now I also saw though that your"}, {"path": "tedlium_33061.wav", "duration": 6.24, "text": "clarify what the benefit is? Is that savings that will drop straight through to EBITDA? Or is that in sales"}, {"path": "tedlium_33062.wav", "duration": 6.24, "text": "which provide for the full abatement of country property taxes for each phase's first 10 years of operations."}, {"path": "tedlium_33063.wav", "duration": 6.24, "text": "the prompt return of capital to shareholders. We continue to review a potential utilization"}, {"path": "tedlium_33064.wav", "duration": 6.24, "text": "saves the company a significant amount of interest and further simplifies our capital structure."}, {"path": "tedlium_33065.wav", "duration": 6.24, "text": "To reverse this policy and its negative implications, we eliminated all advertised"}, {"path": "tedlium_33066.wav", "duration": 6.24, "text": "We again achieved strong spreads for Manhattan office properties as we were able to sign new leases"}, {"path": "tedlium_33067.wav", "duration": 6.24, "text": "and our other cargo activities around the region are all joint ventures and associates, so they are not included."}, {"path": "tedlium_33068.wav", "duration": 6.24, "text": "whose coupon rates adjust to market interest rates within the next 12 months and annually thereafter."}, {"path": "tedlium_33069.wav", "duration": 6.24, "text": "have you seen periods where that causes them to do less rental activity?"}, {"path": "tedlium_33070.wav", "duration": 6.24, "text": "that compared to an abnormally low level of sales in the prior year first quarter."}, {"path": "tedlium_33071.wav", "duration": 6.24, "text": "We are upgrading our capabilities through training and have open positions we need to fill."}, {"path": "tedlium_33072.wav", "duration": 6.24, "text": "This was another excellent quarter for Norbord, in fact, one of our best ever."}, {"path": "tedlium_33073.wav", "duration": 6.24, "text": "our fifth consecutive quarter of revenue and adjusted EBITDA organic growth."}, {"path": "tedlium_33074.wav", "duration": 6.24, "text": "came in at versus where we were guiding was basically the items we called out in our earnings release."}, {"path": "tedlium_33075.wav", "duration": 6.24, "text": "With the redemption of the convertible notes in the second half of last year, as expected,"}, {"path": "tedlium_33076.wav", "duration": 6.24, "text": "Ladies and gentlemen, the conference has concluded. Thank you for attending today's presentation. You may now"}, {"path": "tedlium_33077.wav", "duration": 6.2399375, "text": "not only no dividend paid for the fourth quarter, but really no mention of strategy for 2019 other than saying"}, {"path": "tedlium_33078.wav", "duration": 6.21, "text": "A key element of this initiative is the implementation of an automated frame line for the Buildings business."}, {"path": "tedlium_33079.wav", "duration": 6.21, "text": "And so we actually -- I don't think we've really done much at all on the"}, {"path": "tedlium_33080.wav", "duration": 6.21, "text": "next year. If you think back to our Q2 results, we did announce at that point that"}, {"path": "tedlium_33081.wav", "duration": 6.21, "text": "on the -- how things are going? What your expectations are on the first issues in this site?"}, {"path": "tedlium_33082.wav", "duration": 6.21, "text": "We haven't yet managed to get it to a profitable position, but that is our goal."}, {"path": "tedlium_33083.wav", "duration": 6.21, "text": "We could get 500 of the small customers, but they won't make up the revenue that one big customer could"}, {"path": "tedlium_33084.wav", "duration": 6.21, "text": "Internally, that's what we've talked about, that's what we're focused on. We've got groups working on identifying projects"}, {"path": "tedlium_33085.wav", "duration": 6.21, "text": "to see those data relatively soon. We'll finish the first of those sets of studies"}, {"path": "tedlium_33086.wav", "duration": 6.21, "text": "But have you seen any data so far that could also have tied into this decision?"}, {"path": "tedlium_33087.wav", "duration": 6.21, "text": "yes. Absolutely. You are correct there as well. So I think that the upshot here really is that"}, {"path": "tedlium_33088.wav", "duration": 6.21, "text": "Please turn the page of the presentation materials in front of you."}, {"path": "tedlium_33089.wav", "duration": 6.21, "text": "So nevertheless, even though raw materials, we are at the moment pushing to price increases."}, {"path": "tedlium_33090.wav", "duration": 6.21, "text": "at the beginning of the year. So it's really some very small areas of our business."}, {"path": "tedlium_33091.wav", "duration": 6.21, "text": "with overall lower demand levels and pricing volatility, resulting in a sales decline"}, {"path": "tedlium_33092.wav", "duration": 6.21, "text": "But it's something that's tough for folks on my side to really quantify. So if we think about"}, {"path": "tedlium_33093.wav", "duration": 6.21, "text": "and adding an annual recurring revenue perspective."}, {"path": "tedlium_33094.wav", "duration": 6.21, "text": "The difference relates primarily to investment this year in new products and growth initiatives."}, {"path": "tedlium_33095.wav", "duration": 6.21, "text": "The months to come will be dedicated to evaluating the business and planning the integration process, which will start upon closing."}, {"path": "tedlium_33096.wav", "duration": 6.21, "text": "time because we have to make the case to do exactly what you're saying."}, {"path": "tedlium_33097.wav", "duration": 6.21, "text": "our Kids Meal has really strengthened the value with probably one of the most price-sensitive"}, {"path": "tedlium_33098.wav", "duration": 6.21, "text": "in shareholders meeting on August 23. We also"}, {"path": "tedlium_33099.wav", "duration": 6.21, "text": "you have to think, it has everything to do with the weather and the climate."}, {"path": "tedlium_33100.wav", "duration": 6.21, "text": "services and a day accommodation center as well."}, {"path": "tedlium_33101.wav", "duration": 6.21, "text": "a proposition based on trust, innovative products, and our commitment to putting the customer first,"}, {"path": "tedlium_33102.wav", "duration": 6.21, "text": "And we anticipate being ready by the end of this quarter to take GMP products for our customers."}, {"path": "tedlium_33103.wav", "duration": 6.21, "text": "without the type of dose increases observed in ESAs and without any I.V. iron."}, {"path": "tedlium_33104.wav", "duration": 6.21, "text": "When do you think we might hear about other indications that you may"}, {"path": "tedlium_33105.wav", "duration": 6.21, "text": "global offering. And this really is centered around the voice PoPs that we've now scattered around"}, {"path": "tedlium_33106.wav", "duration": 6.21, "text": "as I mentioned earlier, which allows them to power their numerous contact centers around the world."}, {"path": "tedlium_33107.wav", "duration": 6.21, "text": "Over the past 5 years, we've been expanding and strengthening our platform"}, {"path": "tedlium_33108.wav", "duration": 6.21, "text": "we'll see how it plays out. But before the end of the year, we anticipate that coming back in line with kind"}, {"path": "tedlium_33109.wav", "duration": 6.21, "text": "This vision has been the focus of our employees and has led to our current operating strength."}, {"path": "tedlium_33110.wav", "duration": 6.21, "text": "Going forward, sterile injectables will continue as one of Par's areas of strategic focus."}, {"path": "tedlium_33111.wav", "duration": 6.21, "text": "This change in the estimated implied fair value led to the majority of the impairment charges recorded in the fourth quarter."}, {"path": "tedlium_33112.wav", "duration": 6.21, "text": "And then in the second half of the year, I think certainly we can expect that we'll have a stable business,"}, {"path": "tedlium_33113.wav", "duration": 6.21, "text": "Finally, we saw some notable publications recently that point at deepening market potential."}, {"path": "tedlium_33114.wav", "duration": 6.21, "text": "In a year, we have moved from discussions on the capabilities of our technologies at the first user group meeting"}, {"path": "tedlium_33115.wav", "duration": 6.21, "text": "we have been plowing almost all of the profits back in the business to go get market share because"}, {"path": "tedlium_33116.wav", "duration": 6.21, "text": "Now I would like to talk about our progress toward executing our strategic plan."}, {"path": "tedlium_33117.wav", "duration": 6.21, "text": "Jack joins us from Highmark, where he was Senior Vice President of Technology Operations."}, {"path": "tedlium_33118.wav", "duration": 6.21, "text": "the most noteworthy category in recent years is automotive applications."}, {"path": "tedlium_33119.wav", "duration": 6.21, "text": "I believe we are well positioned to offer investors an attractive mix of growth"}, {"path": "tedlium_33120.wav", "duration": 6.21, "text": "willing to take a historically low unlevered return, but"}, {"path": "tedlium_33121.wav", "duration": 6.21, "text": "the way we're set up now, we were going in a different direction a couple of years ago. And so that's the primary reason."}, {"path": "tedlium_33122.wav", "duration": 6.21, "text": "And we plan to build a solid business foundation that will support future growth."}, {"path": "tedlium_33123.wav", "duration": 6.21, "text": "middle to higher end of that range earlier in the year and kind of middle to lower end of that range later in the year."}, {"path": "tedlium_33124.wav", "duration": 6.21, "text": "And veterinarians are very frustrated with their currently available treatment options in dogs"}, {"path": "tedlium_33125.wav", "duration": 6.21, "text": "As a result of the new tax law, we recorded a provisional tax benefit"}, {"path": "tedlium_33126.wav", "duration": 6.21, "text": "And what does this look like going forward as far as the character of the pipeline"}, {"path": "tedlium_33127.wav", "duration": 6.21, "text": "This exceptional demand was a result of stronger market activity and traction with our new product offerings."}, {"path": "tedlium_33128.wav", "duration": 6.21, "text": "We are purchasing land at a measured pace as we stick to our strict underwriting standards."}, {"path": "tedlium_33129.wav", "duration": 6.21, "text": "of our cost management disciplines and the potential for additional operating leverage going forward."}, {"path": "tedlium_33130.wav", "duration": 6.21, "text": "would any issue in terms of Ag portfolio would just be how long"}, {"path": "tedlium_33131.wav", "duration": 6.21, "text": "and we wanted to give PRA a potential opportunity to benefit from any reduction in rates. So"}, {"path": "tedlium_33132.wav", "duration": 6.21, "text": "In addition, we will seek to tell more brand stories and look for other ways to further engage our consumers."}, {"path": "tedlium_33133.wav", "duration": 6.21, "text": "I would assume that what you have seen now will continue going forward. Again,"}, {"path": "tedlium_33134.wav", "duration": 6.21, "text": "this is mainly driven by drilling down onto each entity into each line of business"}, {"path": "tedlium_33135.wav", "duration": 6.21, "text": "in order to show that ATLAS is really allowing us to select the key targets in the setting."}, {"path": "tedlium_33136.wav", "duration": 6.21, "text": "And in doing that, we have the chance to pick up more business and get higher hurdle rates."}, {"path": "tedlium_33137.wav", "duration": 6.21, "text": "as our average daily population of offenders from California actually increased by about 100 offenders"}, {"path": "tedlium_33138.wav", "duration": 6.21, "text": "This followed a decline in the first half when Ciroc was impacted by the move to the replenishment model."}, {"path": "tedlium_33139.wav", "duration": 6.21, "text": "the OEMs can't produce an equivalent number of trucks to offset that."}, {"path": "tedlium_33140.wav", "duration": 6.21, "text": "made it difficult for our clients to really pin down and predict what their volumes would look like. It's coming in slower."}, {"path": "tedlium_33141.wav", "duration": 6.21, "text": "The initiatives are key elements of our strategic plan and priorities for our focus in the near term."}, {"path": "tedlium_33142.wav", "duration": 6.21, "text": "We will continue to focus on business improvement initiatives that improve profitability and drive shareholder value."}, {"path": "tedlium_33143.wav", "duration": 6.21, "text": "And this does not even get into"}, {"path": "tedlium_33144.wav", "duration": 6.21, "text": "does that help accelerate growth in that segment for you guys?"}, {"path": "tedlium_33145.wav", "duration": 6.21, "text": "I suggest you at least make it available to shareholders that have been"}, {"path": "tedlium_33146.wav", "duration": 6.21, "text": "hospitals are making decisions that being a part of something bigger"}, {"path": "tedlium_33147.wav", "duration": 6.21, "text": "And at the Hotel Group, we expect RevPAR in the oil regions to remain challenged."}, {"path": "tedlium_33148.wav", "duration": 6.21, "text": "also in terms of new technology, new proposition which"}, {"path": "tedlium_33149.wav", "duration": 6.21, "text": "We have seen a pretty good rebound in volumes as things have thawed and several rigs have returned to the area."}, {"path": "tedlium_33150.wav", "duration": 6.21, "text": "than what we are currently working with. But we think we have a pretty good handle on the basic elements."}, {"path": "tedlium_33151.wav", "duration": 6.21, "text": "encapsulated in this intent to build integrated commercial infrastructure to manage revenue."}, {"path": "tedlium_33152.wav", "duration": 6.21, "text": "as a result, the initial rates are a little bit less than, let's say, our"}, {"path": "tedlium_33153.wav", "duration": 6.21, "text": "We strongly believe in the superior potential of the CAR-T programs of our partners,"}, {"path": "tedlium_33154.wav", "duration": 6.21, "text": "we will prepare our resubmission dossier, which we anticipate being able to submit in the first half"}, {"path": "tedlium_33155.wav", "duration": 6.21, "text": "please see the section titled Forward-Looking Statements and Non-GAAP Measures of our earnings press release, which can be found on our website"}, {"path": "tedlium_33156.wav", "duration": 6.21, "text": "Recognize that we typically repatriate from Japan in the second half of the year, so you see a concentration of that coming"}, {"path": "tedlium_33157.wav", "duration": 6.21, "text": "In the last week of May, we have 2 excellent opportunities to share the Probuphine story."}, {"path": "tedlium_33158.wav", "duration": 6.21, "text": "continues to enjoy high traction from the market, with multiple customers designing products to this platform."}, {"path": "tedlium_33159.wav", "duration": 6.21, "text": "The significant decline in outages also led to a further reduction in shipments of home standby generators for the year."}, {"path": "tedlium_33160.wav", "duration": 6.21, "text": "In 2018, we harvested a greater proportion of our annual volume during the first quarter."}, {"path": "tedlium_33161.wav", "duration": 6.21, "text": "Yes. And what I would say on the pricing is a big piece of that was -- well, that was primarily mix."}, {"path": "tedlium_33162.wav", "duration": 6.21, "text": "We haven't seen a change in competitive activity. Still very strong."}, {"path": "tedlium_33163.wav", "duration": 6.21, "text": "And the second question just relating to the really low credit loss ratio, is this"}, {"path": "tedlium_33164.wav", "duration": 6.21, "text": "Alaska, which is shown in the pink dot just below Hawaii, is very similar to us in these regards."}, {"path": "tedlium_33165.wav", "duration": 6.21, "text": "This differs from the reported number because of the first 20 days of July before the transaction closed."}, {"path": "tedlium_33166.wav", "duration": 6.21, "text": "And then this business actually goes to market essentially solely through dealers."}, {"path": "tedlium_33167.wav", "duration": 6.21, "text": "As we discussed in March, we had a tax benefit in Q1 from the planning work we did last year."}, {"path": "tedlium_33168.wav", "duration": 6.21, "text": "Collectibles remains a high-growth area for our company, and we're spending a lot of time in this area."}, {"path": "tedlium_33169.wav", "duration": 6.21, "text": "The pride has been restored with the Mikes franchisees, thanks to Marie-Line and her team."}, {"path": "tedlium_33170.wav", "duration": 6.21, "text": "And so what we don't want to do is stick our necks out with the rest of the folks and have a problem."}, {"path": "tedlium_33171.wav", "duration": 6.21, "text": "due to a number of risks and uncertainties. And the company undertakes no obligation to update or revise these statements."}, {"path": "tedlium_33172.wav", "duration": 6.21, "text": "and in line with our expectations. We continue to see good growth despite the entry of new competitors"}, {"path": "tedlium_33173.wav", "duration": 6.21, "text": "The key to reducing lung cancer deaths is to find the cancer early when it is more treatable."}, {"path": "tedlium_33174.wav", "duration": 6.21, "text": "And we expect to do that and we expect to have enough cash on hand to get through"}, {"path": "tedlium_33175.wav", "duration": 6.21, "text": "I would say, without thinking of what other people at other"}, {"path": "tedlium_33176.wav", "duration": 6.21, "text": "I can say with confidence now that our objective response rate exceeds that of"}, {"path": "tedlium_33177.wav", "duration": 6.21, "text": "We are now focused on our GalNAc conjugated subcutaneously delivered RNAi agent"}, {"path": "tedlium_33178.wav", "duration": 6.21, "text": "The conversation very quickly moves back to that, because that's where these plans really need to focus and the other stuff is noise."}, {"path": "tedlium_33179.wav", "duration": 6.21, "text": "in quarter 4, but there are new units that will be handed over. There will always be a movement here and some"}, {"path": "tedlium_33180.wav", "duration": 6.21, "text": "and very alert to the potential threats represented by the greater emphasis on protectionism"}, {"path": "tedlium_33181.wav", "duration": 6.21, "text": "in line with the ZIP Code we've been experiencing over the past few years. As you know,"}, {"path": "tedlium_33182.wav", "duration": 6.21, "text": "Before we start, I wanted to introduce a new member of the board of management,"}, {"path": "tedlium_33183.wav", "duration": 6.21, "text": "but we're really proud of the progress that this team has made, how far we've come and I think the opportunities that we have"}, {"path": "tedlium_33184.wav", "duration": 6.21, "text": "And when I think about '19 and going forward, I really look forward to the ability to explain to people and communicate them"}, {"path": "tedlium_33185.wav", "duration": 6.21, "text": "But trying to develop programs to give them the tools to be"}, {"path": "tedlium_33186.wav", "duration": 6.21, "text": "Ryan detailed other initiatives that are all meant to accelerate customer growth,"}, {"path": "tedlium_33187.wav", "duration": 6.21, "text": "We then as well will be able to reinvest into the market and reinvest means"}, {"path": "tedlium_33188.wav", "duration": 6.21, "text": "about the possibility of that. And I think, utilizing the expertise of this line in India"}, {"path": "tedlium_33189.wav", "duration": 6.21, "text": "people that are focused on their mission or their church, and they also have to run the operation."}, {"path": "tedlium_33190.wav", "duration": 6.21, "text": "But you bought Wesson, which I think a lot of people like because they think it makes sense given what you have,"}, {"path": "tedlium_33191.wav", "duration": 6.21, "text": "and we will most probably know the size of that during this quarter."}, {"path": "tedlium_33192.wav", "duration": 6.21, "text": "From a product perspective, our goal to design an experience makes it easy for consumers to begin investing in building wealth over the long term."}, {"path": "tedlium_33193.wav", "duration": 6.21, "text": "So going forward, I don't see -- we're not expecting a major deterioration in the margin profile."}, {"path": "tedlium_33194.wav", "duration": 6.21, "text": "As a result of pricing actions to customers, reduction in prices from suppliers"}, {"path": "tedlium_33195.wav", "duration": 6.21, "text": "I'm pleased with our progress and I remain excited by our future opportunities."}, {"path": "tedlium_33196.wav", "duration": 6.21, "text": "more forensic on their future view of future market rents and have written those down. So you have a cumulative effect of"}, {"path": "tedlium_33197.wav", "duration": 6.21, "text": "We're not focused enough on markets where we can really make a difference, so we need to focus on growth markets."}, {"path": "tedlium_33198.wav", "duration": 6.21, "text": "or it can lead to a better diagnosis and a quicker intervention to save a patient."}, {"path": "tedlium_33199.wav", "duration": 6.21, "text": "difference. And so we're quite confident that business continues to run well."}, {"path": "tedlium_33200.wav", "duration": 6.21, "text": "And they intend to be largely private clouds because they think they had the scale and capability to do that."}, {"path": "tedlium_33201.wav", "duration": 6.21, "text": "Thanks, Tom. Let me start with the summary of where we are to date and then provide the detail and our reiteration of guidance."}, {"path": "tedlium_33202.wav", "duration": 6.21, "text": "Core organic volume in our global paperboard packaging business was slightly positive in the second quarter."}, {"path": "tedlium_33203.wav", "duration": 6.21, "text": "explanation about the decrease was really part of a large"}, {"path": "tedlium_33204.wav", "duration": 6.21, "text": "Now to Georgia. For those of you close to the industry, you know Georgia is a strong market."}, {"path": "tedlium_33205.wav", "duration": 6.21, "text": "little bit more than that. And for the ones that we've done it, we've extended term and gotten more business."}, {"path": "tedlium_33206.wav", "duration": 6.21, "text": "a bulk of our capital in the first half because we have this DUC inventory I really want to get on production."}, {"path": "tedlium_33207.wav", "duration": 6.21, "text": "As we touched on at the end of Q1, we are pleased to have been awarded a contract in Canada's Arctic regions."}, {"path": "tedlium_33208.wav", "duration": 6.21, "text": "To support this future growth, we intend to continue to invest in China."}, {"path": "tedlium_33209.wav", "duration": 6.21, "text": "and we knew that the rent cut was going to get them to the coverage they were looking for, but we felt like"}, {"path": "tedlium_33210.wav", "duration": 6.21, "text": "and unabsorbed overhead, especially in our recently completed Dublin manufacturing facility."}, {"path": "tedlium_33211.wav", "duration": 6.21, "text": "And if there's any risk in the forecast, it's around we're expecting some clearances over in Asia on some technology that"}, {"path": "tedlium_33212.wav", "duration": 6.21, "text": "We expect that we will eventually reach a license agreement, whether it's through negotiations or through"}, {"path": "tedlium_33213.wav", "duration": 6.21, "text": "Any references to non-GAAP financials are reconciled in the appendix of the presentation."}, {"path": "tedlium_33214.wav", "duration": 6.21, "text": "to ensure that we're spending the right money at the right time, to ensure that we have a very"}, {"path": "tedlium_33215.wav", "duration": 6.21, "text": "Retail, as a result of seasonal factors, experienced"}, {"path": "tedlium_33216.wav", "duration": 6.21, "text": "that result from sales and our losses. And so part of the acceleration in Employer Services"}, {"path": "tedlium_33217.wav", "duration": 6.21, "text": "Much of this product works also very well with accessorizing with stone."}, {"path": "tedlium_33218.wav", "duration": 6.21, "text": "investment for the company to buy back our shares. We still have a significant amount left to do,"}, {"path": "tedlium_33219.wav", "duration": 6.21, "text": "This performance was largely driven by higher average selling prices, higher volumes in Canada,"}, {"path": "tedlium_33220.wav", "duration": 6.21, "text": "is being able to fully ramp at Inverness on what happens in the"}, {"path": "tedlium_33221.wav", "duration": 6.21, "text": "Our cash generation was greatly enhanced by our efforts to drive down inventory levels during the year"}, {"path": "tedlium_33222.wav", "duration": 6.21, "text": "We started to reduce expenses and inventory at our businesses that focus on the energy market"}, {"path": "tedlium_33223.wav", "duration": 6.1800625, "text": "Is there a way to quantify what kind of a drag that is at this point?"}, {"path": "tedlium_33224.wav", "duration": 6.18, "text": "specifically benefited from those changes, not from the volume"}, {"path": "tedlium_33225.wav", "duration": 6.18, "text": "and we are planning to give you an update on this number versus second quarter results."}, {"path": "tedlium_33226.wav", "duration": 6.18, "text": "I'd like to highlight some of the transactions from the past year. In Mercer,"}, {"path": "tedlium_33227.wav", "duration": 6.18, "text": "We also want to take the opportunity to step out our plan for the future of the business."}, {"path": "tedlium_33228.wav", "duration": 6.18, "text": "So you're expecting growth? Are there any parameters that you can put around that?"}, {"path": "tedlium_33229.wav", "duration": 6.18, "text": "When we bring the full power of our people and services from both Search and Consulting to our clients,"}, {"path": "tedlium_33230.wav", "duration": 6.18, "text": "In the short term, we expect our average revenue per member to decrease because our member growth will outpace the revenue growth."}, {"path": "tedlium_33231.wav", "duration": 6.18, "text": "It's important to remember that almost every single one of these members have bank accounts and now have added Mogo to their financial wallet."}, {"path": "tedlium_33232.wav", "duration": 6.18, "text": "but we may end up losing them if they are going to ask for a price, which is lower than my variable cost."}, {"path": "tedlium_33233.wav", "duration": 6.18, "text": "Although, they will certainly make good contributions in the medium and long-term."}, {"path": "tedlium_33234.wav", "duration": 6.18, "text": "possibilities to change that will be evaluated when they would arise."}, {"path": "tedlium_33235.wav", "duration": 6.18, "text": "All right. And can you talk about the level of or"}, {"path": "tedlium_33236.wav", "duration": 6.18, "text": "trying to introduce electronic meters. But if you look carefully at what they're offering, they may have only 1 size."}, {"path": "tedlium_33237.wav", "duration": 6.18, "text": "starting the year and we continue to expect some recovery to gradually start towards the end of the year."}, {"path": "tedlium_33238.wav", "duration": 6.18, "text": "just south and east of Platteville. That's going to be a very lucrative deal"}, {"path": "tedlium_33239.wav", "duration": 6.18, "text": "This resulted in a slight decline in reported net income from the prior quarter."}, {"path": "tedlium_33240.wav", "duration": 6.18, "text": "when I first got into the business. So if you look at drilling a generation ago, it tended to be vertical."}, {"path": "tedlium_33241.wav", "duration": 6.18, "text": "We believe our growth in this segment continues to outpace global activity levels for 3 primary reasons."}, {"path": "tedlium_33242.wav", "duration": 6.18, "text": "and lower interest payments, partially offset by higher tax and employee medical payments."}, {"path": "tedlium_33243.wav", "duration": 6.18, "text": "Holiday has a especially strong presence in the growing Twin Cities metropolitan area."}, {"path": "tedlium_33244.wav", "duration": 6.18, "text": "And if we have a surgeon that's really interested and a champion in the hospital that gets behind the surgeon,"}, {"path": "tedlium_33245.wav", "duration": 6.18, "text": "On the medical management front, we have also selected a new software platform to manage pharmacy and medical care."}, {"path": "tedlium_33246.wav", "duration": 6.18, "text": "on the board. So there is potentially a lot of organic growth that can come out of those acquisitions."}, {"path": "tedlium_33247.wav", "duration": 6.18, "text": "We will follow that introduction later this month with the launch of 2 new salad offerings,"}, {"path": "tedlium_33248.wav", "duration": 6.18, "text": "Will we see that in the future? Okay. Regarding your first question,"}, {"path": "tedlium_33249.wav", "duration": 6.18, "text": "In the past, the subsidiaries within the group were run separately."}, {"path": "tedlium_33250.wav", "duration": 6.18, "text": "I consider it imperative that Allied penetrate Vancouver more fully"}, {"path": "tedlium_33251.wav", "duration": 6.18, "text": "because it is hard for me to imagine if we go out in our time machine 1 year from today,"}, {"path": "tedlium_33252.wav", "duration": 6.18, "text": "The lower margin primarily resulted from the negative leverage of lighter sales volume."}, {"path": "tedlium_33253.wav", "duration": 6.18, "text": "Our Games segment continues to build upon the operational achievements we realized"}, {"path": "tedlium_33254.wav", "duration": 6.18, "text": "along with the combined talent, I think there are certainly opportunities in Augusta to expand it."}, {"path": "tedlium_33255.wav", "duration": 6.18, "text": "Our ASD Winter show, which is included in our Q1 financials, was flat in revenues,"}, {"path": "tedlium_33256.wav", "duration": 6.18, "text": "I'm also going to ask Jeff to read our safe harbor statement. After that, I will give some"}, {"path": "tedlium_33257.wav", "duration": 6.18, "text": "The common message from participants was that the ecosystem needs to work together in new ways"}, {"path": "tedlium_33258.wav", "duration": 6.18, "text": "we have lots of different levers that we can pull, and we've got them all going in the right direction right now. But"}, {"path": "tedlium_33259.wav", "duration": 6.18, "text": "which is extremely strong and higher than we have seen for many years."}, {"path": "tedlium_33260.wav", "duration": 6.18, "text": "Martin Ferron, Chairman and CEO, will then provide his comments on our outlook and strategy."}, {"path": "tedlium_33261.wav", "duration": 6.18, "text": "Sure. I think the only thing are the general things that we already said, which is what we're fundamentally trying to manage to,"}, {"path": "tedlium_33262.wav", "duration": 6.18, "text": "As a reminder, the projected margins on our new awards from last year"}, {"path": "tedlium_33263.wav", "duration": 6.18, "text": "the uncertainty of continued success in technological innovations as well as other operational market challenges"}, {"path": "tedlium_33264.wav", "duration": 6.18, "text": "Many factors will influence the timing and size of any buyback purchase including these."}, {"path": "tedlium_33265.wav", "duration": 6.18, "text": "dominated completely by fractures. There's no residual matrix contribution into the"}, {"path": "tedlium_33266.wav", "duration": 6.18, "text": "With competitors introducing products with various functions and target audiences,"}, {"path": "tedlium_33267.wav", "duration": 6.18, "text": "and to continue to invest and to increase the level of investment in this activity."}, {"path": "tedlium_33268.wav", "duration": 6.18, "text": "First, the companies agreed to a supply agreement for 40 megawatts of energy storage projects"}, {"path": "tedlium_33269.wav", "duration": 6.18, "text": "Our corporate-wide focus on enhancing the customer experience continues to strengthen our core business."}, {"path": "tedlium_33270.wav", "duration": 6.18, "text": "We expect this adjustment to move back towards zero through the year based on the timing of the inventory hedges in place."}, {"path": "tedlium_33271.wav", "duration": 6.18, "text": "It really just depends on when we get to the next significant resource"}, {"path": "tedlium_33272.wav", "duration": 6.18, "text": "Two, developing new strategic relationships and capitalizing on our existing relationships."}, {"path": "tedlium_33273.wav", "duration": 6.18, "text": "especially Phoenix and others to bring new solutions and strategies into that place."}, {"path": "tedlium_33274.wav", "duration": 6.18, "text": "trust, talent attraction as an important contributor to cost savings"}, {"path": "tedlium_33275.wav", "duration": 6.18, "text": "is it more likely that you will try to increase the dividend at that point when you feel comfortable with your"}, {"path": "tedlium_33276.wav", "duration": 6.18, "text": "I do agree with you that the primary constraint right now is what I hear when talking to builders is labor."}, {"path": "tedlium_33277.wav", "duration": 6.18, "text": "In closing, we are pleased to be experiencing positive momentum from Burger King's promotional offerings,"}, {"path": "tedlium_33278.wav", "duration": 6.18, "text": "And we're going to prioritize achieving appropriate value for those assets over speed of execution."}, {"path": "tedlium_33279.wav", "duration": 6.18, "text": "The team is acutely aware that we cannot and will not remain stagnant."}, {"path": "tedlium_33280.wav", "duration": 6.18, "text": "much has changed in the past year. With the sale of our industrial business earlier this year,"}, {"path": "tedlium_33281.wav", "duration": 6.18, "text": "change our pricing approach in order to maintain the very trustworthy"}, {"path": "tedlium_33282.wav", "duration": 6.18, "text": "But let me highlight why neoantigen selection is so crucial to vaccine's success"}, {"path": "tedlium_33283.wav", "duration": 6.18, "text": "Moving on to our third program, our wholly owned, undisclosed rare disease program."}, {"path": "tedlium_33284.wav", "duration": 6.18, "text": "so I'm talking about what the inflation rate is year-over-year, in our bill rates and the inflation rate,"}, {"path": "tedlium_33285.wav", "duration": 6.18, "text": "The strength of these relationships and our value proposition is at the core of our strategy."}, {"path": "tedlium_33286.wav", "duration": 6.18, "text": "we want to work with you and we want to be your partner. And if you don't, we probably don't want work with you. And we don't care how much MI"}, {"path": "tedlium_33287.wav", "duration": 6.18, "text": "a part of the total financial expenses line in the coming"}, {"path": "tedlium_33288.wav", "duration": 6.18, "text": "During the second quarter, we will reclassify the derivative liability into equity."}, {"path": "tedlium_33289.wav", "duration": 6.18, "text": "We thank you for attending today's presentation. You may now disconnect your lines."}, {"path": "tedlium_33290.wav", "duration": 6.18, "text": "and we hope to have the pilot program underway before the end of this year."}, {"path": "tedlium_33291.wav", "duration": 6.18, "text": "already that work has been done in terms of how are we going to price that value prop"}, {"path": "tedlium_33292.wav", "duration": 6.18, "text": "transaction gain in the second half that we're anticipating for those hedge contracts that we've already taken out."}, {"path": "tedlium_33293.wav", "duration": 6.18, "text": "Once again, we appreciate you listening to the call and wish you a good evening, good day."}, {"path": "tedlium_33294.wav", "duration": 6.18, "text": "but especially during our commercialization of the product, to make sure that things are kept well under control."}, {"path": "tedlium_33295.wav", "duration": 6.18, "text": "fund our organic and strategic growth initiatives and return capital to shareholders as appropriate."}, {"path": "tedlium_33296.wav", "duration": 6.18, "text": "A description of these metrics, along with our reconciliation to GAAP can be found in this morning's press release."}, {"path": "tedlium_33297.wav", "duration": 6.18, "text": "for information concerning the risk factors that could affect the company. With that, I will now turn the call over to Dave Stack."}, {"path": "tedlium_33298.wav", "duration": 6.18, "text": "Our team is focused on disciplined execution against our priorities and moving our business forward."}, {"path": "tedlium_33299.wav", "duration": 6.18, "text": "Reducing our leverage is one of our capital allocation priorities."}, {"path": "tedlium_33300.wav", "duration": 6.18, "text": "another strong result, while continuing to invest for our customers and in our people."}, {"path": "tedlium_33301.wav", "duration": 6.18, "text": "first and foremost there is a normalization of the pricing levels on the Channel versus the North Sea."}, {"path": "tedlium_33302.wav", "duration": 6.18, "text": "in 3 or 4 categories. One that would be consistent with things that we've done in the past"}, {"path": "tedlium_33303.wav", "duration": 6.18, "text": "Important risk factors that could cause actual results to differ materially from those reflected in the forward-looking statements"}, {"path": "tedlium_33304.wav", "duration": 6.18, "text": "In other words, we want to introduce a kind of natural ownership approach."}, {"path": "tedlium_33305.wav", "duration": 6.18, "text": "Please bear in mind that for regulatory reasons, we are not allowed to give certain information."}, {"path": "tedlium_33306.wav", "duration": 6.18, "text": "With that, I will turn it over to John to review the Q2 financial results."}, {"path": "tedlium_33307.wav", "duration": 6.18, "text": "To conclude, we are delivering on our plan. We are seeing clear progress in our margins,"}, {"path": "tedlium_33308.wav", "duration": 6.18, "text": "And with that guidance, we'll turn the call over to Larry for an operational review."}, {"path": "tedlium_33309.wav", "duration": 6.18, "text": "influences on the pipeline between the 2. I think your initial question, Vikram, was about"}, {"path": "tedlium_33310.wav", "duration": 6.18, "text": "After providing more detailed updates on key commercial, legal, regulatory and development activities"}, {"path": "tedlium_33311.wav", "duration": 6.18, "text": "For information on factors that could cause actual results to differ materially from these forward-looking statements,"}, {"path": "tedlium_33312.wav", "duration": 6.18, "text": "do these require sort of upfront investments and headcount or otherwise for you to get to"}, {"path": "tedlium_33313.wav", "duration": 6.18, "text": "And as we bring out those negotiations, we want to be able to keep potentially"}, {"path": "tedlium_33314.wav", "duration": 6.18, "text": "it's useless. It doesn't do you any good with respect to activating those actual customers. For example,"}, {"path": "tedlium_33315.wav", "duration": 6.18, "text": "due to the weakness in the Permian that began with the production takeaway constraints in the middle of the year."}, {"path": "tedlium_33316.wav", "duration": 6.18, "text": "Because you look at your vegetable oil business today, the volume has declined dramatically."}, {"path": "tedlium_33317.wav", "duration": 6.18, "text": "While we're demonstrating early success in monetizing our current member base, we still have a huge opportunity ahead of us."}, {"path": "tedlium_33318.wav", "duration": 6.18, "text": "which clearly can blow in high wind conditions but also can show up for some very low capacity factors like it did"}, {"path": "tedlium_33319.wav", "duration": 6.18, "text": "but was impacted by different phasing in personnel expenses compared to last year."}, {"path": "tedlium_33320.wav", "duration": 6.18, "text": "but of course, products will be made, and therefore for those products,"}, {"path": "tedlium_33321.wav", "duration": 6.18, "text": "either the sales or the prescriptions for the 2 products individually for the fourth quarter?"}, {"path": "tedlium_33322.wav", "duration": 6.18, "text": "In Malaysia, Malikai continues to deliver strong performance from the initial wells."}, {"path": "tedlium_33323.wav", "duration": 6.18, "text": "And with that, I'll now turn the call back to our operator for questions."}, {"path": "tedlium_33324.wav", "duration": 6.18, "text": "Obviously, that accretion translated to an absolute EPS number in our models."}, {"path": "tedlium_33325.wav", "duration": 6.18, "text": "it's sort of a situation that if you don't have to sell right now, most people aren't in the mood to sell."}, {"path": "tedlium_33326.wav", "duration": 6.18, "text": "I could not be more excited about leading ServiceNow into our next phase of growth."}, {"path": "tedlium_33327.wav", "duration": 6.18, "text": "to match the startup of the increased water handling capacity project in the fourth quarter."}, {"path": "tedlium_33328.wav", "duration": 6.18, "text": "a very significant change in internal processes. So you have to"}, {"path": "tedlium_33329.wav", "duration": 6.18, "text": "Some details regarding the ability to recover certain past pension and benefit costs remain unresolved."}, {"path": "tedlium_33330.wav", "duration": 6.18, "text": "see what you think of this question. But if the margin upside is as good as laid out"}, {"path": "tedlium_33331.wav", "duration": 6.18, "text": "Maybe last but not least, what is not mentioned here, we have had"}, {"path": "tedlium_33332.wav", "duration": 6.18, "text": "with a very resilient pattern despite the negative impact from the ultra low rates environment."}, {"path": "tedlium_33333.wav", "duration": 6.18, "text": "Now a quick summary of the financial indicators -- the main financial indicators."}, {"path": "tedlium_33334.wav", "duration": 6.18, "text": "But it's also important to remember that the aggregate level of demand hasn't dropped. It's been about steady. It just hasn't grown."}, {"path": "tedlium_33335.wav", "duration": 6.18, "text": "part of this is kind of where you are in the stack, which actually I think encourages us to continue to pivot and"}, {"path": "tedlium_33336.wav", "duration": 6.18, "text": "a large facility that should not only allow us to support that marketplace"}, {"path": "tedlium_33337.wav", "duration": 6.18, "text": "think it was helpful that you said that you guys anticipate the availability on the credit facility"}, {"path": "tedlium_33338.wav", "duration": 6.18, "text": "we don't get that because the odds of all banners being spoken odd at the same time are"}, {"path": "tedlium_33339.wav", "duration": 6.18, "text": "a lot of the delta is really going to be driven by what happens with the small woodlot owners."}, {"path": "tedlium_33340.wav", "duration": 6.18, "text": "assessing what our expectations are for FFO, what our obligations are in terms of"}, {"path": "tedlium_33341.wav", "duration": 6.18, "text": "We are supportive of any effort to reform antiquated regulatory rules that no longer serve the public interest."}, {"path": "tedlium_33342.wav", "duration": 6.18, "text": "The move to become a domestic issuer will also improve transparency,"}, {"path": "tedlium_33343.wav", "duration": 6.18, "text": "And then also the wise use of incentives and events on top of it. I think what you see is,"}, {"path": "tedlium_33344.wav", "duration": 6.18, "text": "But it's generally a case of, if they have the appropriate licenses, we've got the product set"}, {"path": "tedlium_33345.wav", "duration": 6.18, "text": "that are better qualified and have better qualified leads. We made"}, {"path": "tedlium_33346.wav", "duration": 6.18, "text": "Based on this outlook, we expect to generate positive cash flow from operations for the full year."}, {"path": "tedlium_33347.wav", "duration": 6.18, "text": "scenario is an increase of margin on the back of increased possibly"}, {"path": "tedlium_33348.wav", "duration": 6.18, "text": "Moving on to our funding and liquidity. We were very active in the debt markets in the fourth quarter."}, {"path": "tedlium_33349.wav", "duration": 6.18, "text": "that is absolutely true and the proof of thesis that, that is the case is the fact"}, {"path": "tedlium_33350.wav", "duration": 6.18, "text": "As it has been the case for since we've spun the company, we are always looking at what the liquidity position of the company is."}, {"path": "tedlium_33351.wav", "duration": 6.18, "text": "At the same time, we will continue our strong focus on the many other areas that we scored well."}, {"path": "tedlium_33352.wav", "duration": 6.18, "text": "do what I would call traditional -- make traditional acquisitions. So we're not looking, for example, for the next"}, {"path": "tedlium_33353.wav", "duration": 6.18, "text": "or other similar terms or variations on those terms or the negative of those terms."}, {"path": "tedlium_33354.wav", "duration": 6.18, "text": "For 2017 annual dividend in light of record high operating profit following the previous year,"}, {"path": "tedlium_33355.wav", "duration": 6.18, "text": "There are signs our initiatives are taking hold, and we're very encouraged by our performance."}, {"path": "tedlium_33356.wav", "duration": 6.18, "text": "we're working on all of those things at a really brisk pace. I think the biggest thing that we can do"}, {"path": "tedlium_33357.wav", "duration": 6.1799375, "text": "Increases were also announced on plate and long products which represents our largest product exposure,"}, {"path": "tedlium_33358.wav", "duration": 6.1799375, "text": "This is one of our largest opportunities to increase overall profitability."}, {"path": "tedlium_33359.wav", "duration": 6.1500625, "text": "to provide our external stakeholders a better understanding of our business and the country."}, {"path": "tedlium_33360.wav", "duration": 6.1500625, "text": "If not, we look forward to speaking with you next when we report our fourth quarter results in March."}, {"path": "tedlium_33361.wav", "duration": 6.15, "text": "and then take questions. I would like to remind you that some of the comments made during this call"}, {"path": "tedlium_33362.wav", "duration": 6.15, "text": "last year specifically related to the completion of that joint venture TS program."}, {"path": "tedlium_33363.wav", "duration": 6.15, "text": "Bruce will give specific details in a moment about where we are in each study, but I want to talk briefly about our strategy,"}, {"path": "tedlium_33364.wav", "duration": 6.15, "text": "Please turn to Slide 14. We also want to tell you about our new corporate headquarters."}, {"path": "tedlium_33365.wav", "duration": 6.15, "text": "we feel it's a prudent decision to keep our full year guidance at the levels that we outlined in February."}, {"path": "tedlium_33366.wav", "duration": 6.15, "text": "which was still ongoing in the year ago quarter but subsequently completed this year,"}, {"path": "tedlium_33367.wav", "duration": 6.15, "text": "Secondly, due to the strong OLED growth that we have experienced in the third quarter of"}, {"path": "tedlium_33368.wav", "duration": 6.15, "text": "Through our leadership position in the ultimate user unused medication management,"}, {"path": "tedlium_33369.wav", "duration": 6.15, "text": "And then my second question is from the perspective of your shareholders."}, {"path": "tedlium_33370.wav", "duration": 6.15, "text": "As you say, innovation is a key element for the company since forever."}, {"path": "tedlium_33371.wav", "duration": 6.15, "text": "Having said that, we now see that the rates are going down and things are quite difficult from our perspective."}, {"path": "tedlium_33372.wav", "duration": 6.15, "text": "This concludes today's conference call, you may now disconnect."}, {"path": "tedlium_33373.wav", "duration": 6.15, "text": "the usage of equal parts for different models help to reduce complexity and to save money,"}, {"path": "tedlium_33374.wav", "duration": 6.15, "text": "And this is why we are investing on Fetekro because we believe that there is"}, {"path": "tedlium_33375.wav", "duration": 6.15, "text": "but also how the integration of activity and mindset will more holistically support our members."}, {"path": "tedlium_33376.wav", "duration": 6.15, "text": "the 800 million a day that was anticipated on the power up project."}, {"path": "tedlium_33377.wav", "duration": 6.15, "text": "The market is still an attractive market and -- where we intend to be"}, {"path": "tedlium_33378.wav", "duration": 6.15, "text": "There may be much less -- many more permits that are required in some markets."}, {"path": "tedlium_33379.wav", "duration": 6.15, "text": "while RevPAR at our luxury hotels in Hawaii benefited from renovations and greater air lift"}, {"path": "tedlium_33380.wav", "duration": 6.15, "text": "Consistent with prior years, we expect our margin expansion will be weighted towards the second half"}, {"path": "tedlium_33381.wav", "duration": 6.15, "text": "And we still have to perform all the quality measures and report those to the state."}, {"path": "tedlium_33382.wav", "duration": 6.15, "text": "Second, we are making solid progress in executing our incremental revenue growth drivers."}, {"path": "tedlium_33383.wav", "duration": 6.15, "text": "we have a lot of new communities opening in the second half and really into the first half of next year"}, {"path": "tedlium_33384.wav", "duration": 6.15, "text": "From a team standpoint, I am very pleased that we continue to hire and promote top talent,"}, {"path": "tedlium_33385.wav", "duration": 6.15, "text": "sort of tangible transition will be when we emerge out of the safety run-in"}, {"path": "tedlium_33386.wav", "duration": 6.15, "text": "Let's start with a few highlights, and then we'll take a closer look at the quarterly performance drivers."}, {"path": "tedlium_33387.wav", "duration": 6.15, "text": "on event-free survival, a clinically relevant decrease in the need for pulmonary and nutritional support"}, {"path": "tedlium_33388.wav", "duration": 6.15, "text": "what's sort of the backdrop out there of some of the excess product, of some of the liquidations and so forth."}, {"path": "tedlium_33389.wav", "duration": 6.15, "text": "which is being impacted by both the political environment and an excess of sale priced product."}, {"path": "tedlium_33390.wav", "duration": 6.15, "text": "That's their decision, their board's decision. But what I think it did change potentially"}, {"path": "tedlium_33391.wav", "duration": 6.15, "text": "Second, our modern micro-services platform for large to very large enterprises,"}, {"path": "tedlium_33392.wav", "duration": 6.15, "text": "so that as these volumes pick up we're in a great position to take advantage of it. So that's something that's"}, {"path": "tedlium_33393.wav", "duration": 6.15, "text": "might be treated versus the way it appears at least at the outset transmission and gas are being treated."}, {"path": "tedlium_33394.wav", "duration": 6.15, "text": "This is because we believe this gives a more accurate view of the underlying performance of our company."}, {"path": "tedlium_33395.wav", "duration": 6.15, "text": "not you, but the industry too heavy in one end market, and therefore too susceptible to any kind of"}, {"path": "tedlium_33396.wav", "duration": 6.15, "text": "the salability of some of the usable ancillary spaces we haven't used in the past,"}, {"path": "tedlium_33397.wav", "duration": 6.15, "text": "and increasingly, landlords are looking for a customer offer that meets their healthy eating requirements."}, {"path": "tedlium_33398.wav", "duration": 6.15, "text": "While we made progress in Q4, our working capital levels have remained frustratingly high through this downturn"}, {"path": "tedlium_33399.wav", "duration": 6.15, "text": "Importantly, all major subregions were higher. As we discussed in the past,"}, {"path": "tedlium_33400.wav", "duration": 6.15, "text": "These are just 2 examples out of many, demonstrating how our technologies are leading the way to new insights within tissue,"}, {"path": "tedlium_33401.wav", "duration": 6.15, "text": "and how that compared to the cost side of the equation."}, {"path": "tedlium_33402.wav", "duration": 6.15, "text": "This concludes today's conference. You may disconnect your lines at this time. Thank you for your participation."}, {"path": "tedlium_33403.wav", "duration": 6.15, "text": "Secondly, most of our clients already have a dedicated budget for learning content."}, {"path": "tedlium_33404.wav", "duration": 6.15, "text": "As the industry moves to 96 layers and above, can you give us a little bit of an update"}, {"path": "tedlium_33405.wav", "duration": 6.15, "text": "This communication does not constitute an offer to sell or the solicitation of an offer to buy these securities."}, {"path": "tedlium_33406.wav", "duration": 6.15, "text": "and that the prior episodes of consistently inconsistent performance are a thing of the past."}, {"path": "tedlium_33407.wav", "duration": 6.15, "text": "We continue to expect our revenue mix to evolve by drawing on our domain expertise,"}, {"path": "tedlium_33408.wav", "duration": 6.15, "text": "we have reached the end of our question-and-answer session. I would like to turn the call back over to management for closing remarks."}, {"path": "tedlium_33409.wav", "duration": 6.15, "text": "On top of our unique offerings of technology solutions for advanced features"}, {"path": "tedlium_33410.wav", "duration": 6.15, "text": "due to the increase in our average stock price during the third quarter as well as higher health insurance costs."}, {"path": "tedlium_33411.wav", "duration": 6.15, "text": "And so this is one of the areas where we're actively looking for the"}, {"path": "tedlium_33412.wav", "duration": 6.15, "text": "And really the major issue for us now, especially in Middle East, is to be selective"}, {"path": "tedlium_33413.wav", "duration": 6.15, "text": "Finally, our Supply Response on Demand capability continues to gain recognition"}, {"path": "tedlium_33414.wav", "duration": 6.15, "text": "Yes. So the only restriction on distribution is that we cannot increase the distribution"}, {"path": "tedlium_33415.wav", "duration": 6.15, "text": "Even though we don't report these wins in backlog, we will benefit from the profitability of this work."}, {"path": "tedlium_33416.wav", "duration": 6.15, "text": "Midstream continues to be our largest sector, fueled by the development of the prolific shale plays"}, {"path": "tedlium_33417.wav", "duration": 6.15, "text": "and a desire for increased spending, which will drive future growth and demand for critical road safety products."}, {"path": "tedlium_33418.wav", "duration": 6.15, "text": "So in summary, I think we're really pleased with our performance and the results across the business for the first half of the year."}, {"path": "tedlium_33419.wav", "duration": 6.15, "text": "Calvin will review procedure trends and Marshall, our progress in Japan in greater detail later in the call."}, {"path": "tedlium_33420.wav", "duration": 6.15, "text": "What we don't want to do is give any color around the rest of the industry."}, {"path": "tedlium_33421.wav", "duration": 6.15, "text": "considering the volatility that we've had over the last few years, we're really ready for any kind of outcome."}, {"path": "tedlium_33422.wav", "duration": 6.15, "text": "the strength of the merger as you've seen by the diversity of the flows has been around"}, {"path": "tedlium_33423.wav", "duration": 6.15, "text": "We also think this will further strengthen the appeal of the independent channel and our model."}, {"path": "tedlium_33424.wav", "duration": 6.15, "text": "No other material items affected the capital ratio in this quarter."}, {"path": "tedlium_33425.wav", "duration": 6.15, "text": "Let me provide you with a brief overview of our current product channel inventory levels"}, {"path": "tedlium_33426.wav", "duration": 6.15, "text": "among all the countries. And second, lower expenses and that's mostly in Japan."}, {"path": "tedlium_33427.wav", "duration": 6.15, "text": "And I was very pleased to see that after we have realized that purchase,"}, {"path": "tedlium_33428.wav", "duration": 6.15, "text": "And that's why you see these large deals. They really represent the customer's endorsement and trust of us"}, {"path": "tedlium_33429.wav", "duration": 6.15, "text": "I kindly ask the participants here in the room to wait for the microphone, to mention your name"}, {"path": "tedlium_33430.wav", "duration": 6.15, "text": "and make sure that you're not going away from that, and that you continue to work at that."}, {"path": "tedlium_33431.wav", "duration": 6.15, "text": "Therefore, we are now projecting consistent populations from California through the end of the year."}, {"path": "tedlium_33432.wav", "duration": 6.15, "text": "a backlog basis where we have major, major contracts. However, we do have one with Best Buy right now, which we did"}, {"path": "tedlium_33433.wav", "duration": 6.15, "text": "and not only outgrow the categories that we compete in, but also continue to outpace private label."}, {"path": "tedlium_33434.wav", "duration": 6.15, "text": "allowing us to deliver new value proposition to our clients."}, {"path": "tedlium_33435.wav", "duration": 6.15, "text": "We continue to feel very strongly that snacking categories will grow faster than the rest of food,"}, {"path": "tedlium_33436.wav", "duration": 6.15, "text": "And I just -- I can't go into this year thinking that we're going to see that kind of kick up again."}, {"path": "tedlium_33437.wav", "duration": 6.15, "text": "market to market. But certainly, as we think about some of our infrastructure investments, I'll give you the"}, {"path": "tedlium_33438.wav", "duration": 6.15, "text": "These statements are subject to risks and uncertainties that may cause actual results to differ from those forecasted."}, {"path": "tedlium_33439.wav", "duration": 6.15, "text": "that's the prudent thing for them to do. Now, will there be a time where they change their buying patterns?"}, {"path": "tedlium_33440.wav", "duration": 6.15, "text": "We believe that we are progressing that plan with MSHA and hope to gain plan approval by mid-November."}, {"path": "tedlium_33441.wav", "duration": 6.15, "text": "Thanks, Derek. Good morning to everyone, and thanks for joining us. Before I begin"}, {"path": "tedlium_33442.wav", "duration": 6.15, "text": "The broad range of retail placement for Gaiam speaks to the versatility of the brand."}, {"path": "tedlium_33443.wav", "duration": 6.15, "text": "while we did not incur the onetime separation cost we were expecting below the segment income line."}, {"path": "tedlium_33444.wav", "duration": 6.15, "text": "We want to make certain that we can provide kind of the best"}, {"path": "tedlium_33445.wav", "duration": 6.15, "text": "So a heartfelt welcome to Federico as he joins the Titan board."}, {"path": "tedlium_33446.wav", "duration": 6.15, "text": "and then for just additional capacity growth to do the activities we've been talking about in China."}, {"path": "tedlium_33447.wav", "duration": 6.15, "text": "strong relationship with Dell prior to the introduction of that program, so I don't know that"}, {"path": "tedlium_33448.wav", "duration": 6.15, "text": "create rewarding careers for employees and provide value to our shareholders."}, {"path": "tedlium_33449.wav", "duration": 6.15, "text": "Retail outlook also is difficult to comment. Let me tell you this that"}, {"path": "tedlium_33450.wav", "duration": 6.15, "text": "To support these growth opportunities, both today and in the future, we are investing in our processes"}, {"path": "tedlium_33451.wav", "duration": 6.15, "text": "because it was only a few years ago, we had 10% share of the new housing market. So we're not just going to chase share for share's sake,"}, {"path": "tedlium_33452.wav", "duration": 6.15, "text": "is the person that's running that restaurant. And I think they see that."}, {"path": "tedlium_33453.wav", "duration": 6.15, "text": "We'll present the exact data at the ESMO meeting coming up in a few months."}, {"path": "tedlium_33454.wav", "duration": 6.15, "text": "this is a great place for us to invest our capital into this patient access program."}, {"path": "tedlium_33455.wav", "duration": 6.15, "text": "would become a significant customer for Fiserv. So it's not a smart thing for you to"}, {"path": "tedlium_33456.wav", "duration": 6.15, "text": "Third, going the other way and partially offsetting these incremental costs"}, {"path": "tedlium_33457.wav", "duration": 6.15, "text": "This is a nice business that -- there's a number of -- there's a few businesses that do this, but nobody"}, {"path": "tedlium_33458.wav", "duration": 6.15, "text": "From an industry perspective, the pressure for companies to become more sustainable continues to grow."}, {"path": "tedlium_33459.wav", "duration": 6.15, "text": "we will stay disciplined and return the cash to our shareholders."}, {"path": "tedlium_33460.wav", "duration": 6.15, "text": "whether it can lift returns by another means?"}, {"path": "tedlium_33461.wav", "duration": 6.15, "text": "these unprecedented results, we are exploring potential fast-to-patient opportunities with regulators"}, {"path": "tedlium_33462.wav", "duration": 6.15, "text": "associates, focused on trends and styles as well as making sure"}, {"path": "tedlium_33463.wav", "duration": 6.15, "text": "These comments constitute forward-looking statements within the meaning of the Securities and Exchange Act."}, {"path": "tedlium_33464.wav", "duration": 6.15, "text": "and enable them to scale up or down quickly based on consumer reaction to new product offerings."}, {"path": "tedlium_33465.wav", "duration": 6.15, "text": "I can tell you with certainty that our payment terms have not shifted or changed."}, {"path": "tedlium_33466.wav", "duration": 6.15, "text": "be very positive about Sandpiper. I mentioned earlier in the call how"}, {"path": "tedlium_33467.wav", "duration": 6.15, "text": "We were largely unaffected in October, because we didn't have a lot of exposure to tight spread commoditized sectors."}, {"path": "tedlium_33468.wav", "duration": 6.15, "text": "they are subject to a number of conditions that sometime are not met entirely. So"}, {"path": "tedlium_33469.wav", "duration": 6.15, "text": "and we're encouraged with the results, which demonstrates that our shortage initiatives are working."}, {"path": "tedlium_33470.wav", "duration": 6.15, "text": "happened? Looks like he may have declined to ask a question."}, {"path": "tedlium_33471.wav", "duration": 6.15, "text": "Having said that, we've really been encouraged by the way the business has trended throughout the year,"}, {"path": "tedlium_33472.wav", "duration": 6.15, "text": "And I'd start off on the mining side with Coral, which was unique in its own right because of"}, {"path": "tedlium_33473.wav", "duration": 6.15, "text": "In addition, we are introducing larger canisters on a promotional basis."}, {"path": "tedlium_33474.wav", "duration": 6.15, "text": "So I think that's a good place for us to wrap up, and that's a good topic that I'm sure we'll be talking more about"}, {"path": "tedlium_33475.wav", "duration": 6.15, "text": "Earlier this week, we also entered into an agreement for the sale of our Panhandle assets."}, {"path": "tedlium_33476.wav", "duration": 6.15, "text": "The supplemental data on our website provides additional segment financial detail."}, {"path": "tedlium_33477.wav", "duration": 6.15, "text": "And if that is the case, does that extend into the second half of the year, or are there changes afoot there?"}, {"path": "tedlium_33478.wav", "duration": 6.15, "text": "really getting ready to attack that market with a tremendous amount of enthusiasm. And I think"}, {"path": "tedlium_33479.wav", "duration": 6.15, "text": "become a user later on? Is there any way to sort of quantify the impact of those events?"}, {"path": "tedlium_33480.wav", "duration": 6.15, "text": "I would say we're not counting on it that fundamentally what we're working to do is"}, {"path": "tedlium_33481.wav", "duration": 6.15, "text": "And we're taking our new Subscription ACV, or annual contract value,"}, {"path": "tedlium_33482.wav", "duration": 6.15, "text": "And we don't want to jump into the market and compete head-to-head. That's not our value proposition."}, {"path": "tedlium_33483.wav", "duration": 6.15, "text": "rain 15 days out of a month or 14 days out of a month and is spread out,"}, {"path": "tedlium_33484.wav", "duration": 6.15, "text": "At Famous Footwear, we expect the success we have had with casual athletic product to continue."}, {"path": "tedlium_33485.wav", "duration": 6.15, "text": "we would expect this allocation to continue to weight heavier to the SCOOP over time."}, {"path": "tedlium_33486.wav", "duration": 6.15, "text": "And what we're seeing is the laggards are -- continue to be Eastern Europe and Russia."}, {"path": "tedlium_33487.wav", "duration": 6.15, "text": "We've got a lot of opportunities ahead of us, and I look forward to reporting on our progress throughout the year."}, {"path": "tedlium_33488.wav", "duration": 6.15, "text": "and in America because that's where we see the bulk of the growth."}, {"path": "tedlium_33489.wav", "duration": 6.15, "text": "At the same time, we raised the bar on our already industry-leading quality metrics"}, {"path": "tedlium_33490.wav", "duration": 6.15, "text": "Any capital acceleration for FedEx would primarily be for replacement of equipment and technology."}, {"path": "tedlium_33491.wav", "duration": 6.15, "text": "pushing more on trying to reduce the growth in product costs? Or should we expect"}, {"path": "tedlium_33492.wav", "duration": 6.15, "text": "nurse coaches, everything is designed to get people to the best care providers"}, {"path": "tedlium_33493.wav", "duration": 6.15, "text": "That restlessness fuels the pace and intensity with which we are moving this enterprise forward on our mission."}, {"path": "tedlium_33494.wav", "duration": 6.15, "text": "that we want to prudently grow the company over time while still"}, {"path": "tedlium_33495.wav", "duration": 6.15, "text": "excluding redevelopment assets where we might not be renewing people because we're completing something bigger"}, {"path": "tedlium_33496.wav", "duration": 6.15, "text": "And the trading companies were holding on to their volumes"}, {"path": "tedlium_33497.wav", "duration": 6.15, "text": "or circumstances that may arise after today's date except as required by applicable law."}, {"path": "tedlium_33498.wav", "duration": 6.15, "text": "you have encouraged us to maintain that discipline and to even make sure we've got cash"}, {"path": "tedlium_33499.wav", "duration": 6.15, "text": "The performance of this product category was mixed as strong sales in Europe"}, {"path": "tedlium_33500.wav", "duration": 6.15, "text": "which resulted in that charge. I think for IPL, given that we've achieved first fire,"}, {"path": "tedlium_33501.wav", "duration": 6.15, "text": "based on the investments that we made last year, just from the equipment that we installed."}, {"path": "tedlium_33502.wav", "duration": 6.15, "text": "A transcript and replay of this call will be available on our website later today. Thank you all for listening."}, {"path": "tedlium_33503.wav", "duration": 6.15, "text": "teens and -- which means we had really an overall"}, {"path": "tedlium_33504.wav", "duration": 6.15, "text": "partially due to the delta volume with the business win we had for Delta Airlines there,"}, {"path": "tedlium_33505.wav", "duration": 6.15, "text": "is under threat from some of the other airports going direct in and out of China."}, {"path": "tedlium_33506.wav", "duration": 6.15, "text": "And so combining now four carrier -- combining four different spectrums together,"}, {"path": "tedlium_33507.wav", "duration": 6.15, "text": "Integration expenses and restructuring costs will continue to be adjusted from our GAAP measures."}, {"path": "tedlium_33508.wav", "duration": 6.15, "text": "So the plan, going forward, is that dependent upon how the situation and the financial markets change"}, {"path": "tedlium_33509.wav", "duration": 6.15, "text": "We're continuing to improve our position for growth based on our leading market position,"}, {"path": "tedlium_33510.wav", "duration": 6.15, "text": "And after paying out most of our cash on our Q2 balance sheet as dividends"}, {"path": "tedlium_33511.wav", "duration": 6.15, "text": "We are proud of our quick reaction to the significant decline in sales volumes to the energy market."}, {"path": "tedlium_33512.wav", "duration": 6.15, "text": "Management will provide a brief overview of the quarter and then open the call up to your questions."}, {"path": "tedlium_33513.wav", "duration": 6.15, "text": "This success is driven by the strength of our business strategy, which leverages numerous sources of revenue"}, {"path": "tedlium_33514.wav", "duration": 6.15, "text": "We discussed main areas of focus to help us increase sales and profitability."}, {"path": "tedlium_33515.wav", "duration": 6.1499375, "text": "generating earnings and cash flow well in excess of what we need to meet our capital requirements"}, {"path": "tedlium_33516.wav", "duration": 6.1200625, "text": "due mainly to a greater proportion of lower-margin maintenance services with longer completion times."}, {"path": "tedlium_33517.wav", "duration": 6.12, "text": "And we think that we are involved in a number of interesting applications to benefit"}, {"path": "tedlium_33518.wav", "duration": 6.12, "text": "Why now? Firstly, we've replaced the majority of our IT systems."}, {"path": "tedlium_33519.wav", "duration": 6.12, "text": "Our business model remains highly cash generative and of increasing quality."}, {"path": "tedlium_33520.wav", "duration": 6.12, "text": "and our strategic supply chain partners to scale production output over the coming quarters."}, {"path": "tedlium_33521.wav", "duration": 6.12, "text": "But with over 25 million Canadians with a credit score and very few of them tracking it, there's a clear opportunity in front of us."}, {"path": "tedlium_33522.wav", "duration": 6.12, "text": "As we continue to invest in our commercialization activities and in our clinical and research pipeline,"}, {"path": "tedlium_33523.wav", "duration": 6.12, "text": "but anyway. So I think the Board considered the options and thought that, that was the right level."}, {"path": "tedlium_33524.wav", "duration": 6.12, "text": "Over the coming weeks and months, I will be delving deeper into our product portfolio, financial structure"}, {"path": "tedlium_33525.wav", "duration": 6.12, "text": "putting through price increases against those commodity cost raises in that segment in particular is nominal. If"}, {"path": "tedlium_33526.wav", "duration": 6.12, "text": "A lot of things going on around this business. So we are seeing more cattle available"}, {"path": "tedlium_33527.wav", "duration": 6.12, "text": "we obviously want to maintain our business. We want to make sure, if the rules change,"}, {"path": "tedlium_33528.wav", "duration": 6.12, "text": "late in the quarter. Now I will turn the call back over to Michael Collins for closing remarks."}, {"path": "tedlium_33529.wav", "duration": 6.12, "text": "several months for us to figure out. But right now, if we look at where we are today, we have a pretty"}, {"path": "tedlium_33530.wav", "duration": 6.12, "text": "a couple of months and a quarter going forward with higher inventory levels as an effect of this."}, {"path": "tedlium_33531.wav", "duration": 6.12, "text": "The path ahead has never been clear, and our commitment to this journey never greater."}, {"path": "tedlium_33532.wav", "duration": 6.12, "text": "now, I want to talk about how we are going to achieve our growth objectives over the next 3 to 5 years."}, {"path": "tedlium_33533.wav", "duration": 6.12, "text": "Going forward, we will be tailoring this approach to address other stores. Second,"}, {"path": "tedlium_33534.wav", "duration": 6.12, "text": "And at the same time, delivered a very strong result in terms of both"}, {"path": "tedlium_33535.wav", "duration": 6.12, "text": "I'll begin with aerospace, which continues to be a very strong end market for Reliance."}, {"path": "tedlium_33536.wav", "duration": 6.12, "text": "and increasing the mix of marketing solutions and other services revenues."}, {"path": "tedlium_33537.wav", "duration": 6.12, "text": "more in innovation and less in maintenance of buildings and old equipment."}, {"path": "tedlium_33538.wav", "duration": 6.12, "text": "Yes. Okay. And so when I look at the low pricing relative to others"}, {"path": "tedlium_33539.wav", "duration": 6.12, "text": "pretty insulated from market gyrations, based on the longevity of the capital,"}, {"path": "tedlium_33540.wav", "duration": 6.12, "text": "where they're bringing some kind of a capability or perspective to us that we don't have."}, {"path": "tedlium_33541.wav", "duration": 6.12, "text": "and say it will fall evenly across all technology fields. So"}, {"path": "tedlium_33542.wav", "duration": 6.12, "text": "Additionally, today's remarks will include a discussion of certain financial measures that are not presented in conformity with U.S."}, {"path": "tedlium_33543.wav", "duration": 6.12, "text": "in the number 5 recovery boiler. Unit manufacturing costs were consistent with the previous quarter."}, {"path": "tedlium_33544.wav", "duration": 6.12, "text": "To adapt to these industry trends, I will add 2 more core businesses."}, {"path": "tedlium_33545.wav", "duration": 6.12, "text": "This was due mainly to the solid rent increases we are achieving across the portfolio"}, {"path": "tedlium_33546.wav", "duration": 6.12, "text": "thank you all for joining this call today. We're looking forward to reporting data"}, {"path": "tedlium_33547.wav", "duration": 6.12, "text": "And that is that we can create a reliable, accessible and affordable postal service for the future"}, {"path": "tedlium_33548.wav", "duration": 6.12, "text": "slow approach to integrating acquisitions, and why we do that is because you got to preserve the customer relationships"}, {"path": "tedlium_33549.wav", "duration": 6.12, "text": "has a lower total cost of ownership and is a little more durable for land operations and"}, {"path": "tedlium_33550.wav", "duration": 6.12, "text": "Operating income for other regions, which include South America, the Near and Middle East,"}, {"path": "tedlium_33551.wav", "duration": 6.12, "text": "Next, we would like to review power product group unit sales for the second quarter."}, {"path": "tedlium_33552.wav", "duration": 6.12, "text": "Today, I'll review our progress in the quarter that gives us further confidence that our growth strategy is on track"}, {"path": "tedlium_33553.wav", "duration": 6.12, "text": "Each revenue type continues to grow double digits, reflecting strength across the entire business."}, {"path": "tedlium_33554.wav", "duration": 6.12, "text": "Page 11 of the earnings presentation displays net flows by investment vehicle."}, {"path": "tedlium_33555.wav", "duration": 6.12, "text": "of the company and the value prop associated with that identity in the eyes of our employees,"}, {"path": "tedlium_33556.wav", "duration": 6.12, "text": "Second, the transition to the new Ascension agreement is starting to contribute to the top line."}, {"path": "tedlium_33557.wav", "duration": 6.12, "text": "We are very happy with our current development progress in this area."}, {"path": "tedlium_33558.wav", "duration": 6.12, "text": "and as such leads to lower overall reported cost of sales during these quarters."}, {"path": "tedlium_33559.wav", "duration": 6.12, "text": "As far as the 2 voluntary departure plans are concerned, please note that in"}, {"path": "tedlium_33560.wav", "duration": 6.12, "text": "to get our people together. We've removed 3 million square feet of space and brought our people together."}, {"path": "tedlium_33561.wav", "duration": 6.12, "text": "as well as gas integrity projects being undertaken by gas utilities across the country."}, {"path": "tedlium_33562.wav", "duration": 6.12, "text": "and strong performance fees for the quarter. We were clearly beneficiaries from the strong equity markets,"}, {"path": "tedlium_33563.wav", "duration": 6.12, "text": "Our ability to repeatedly go above and beyond for our customers is a key differentiator for us."}, {"path": "tedlium_33564.wav", "duration": 6.12, "text": "we brought in some wrong product and I would say that the weighting of the categories of the businesses that we had"}, {"path": "tedlium_33565.wav", "duration": 6.12, "text": "opportunities, competitors and interest is being generated. And we want to make sure that"}, {"path": "tedlium_33566.wav", "duration": 6.12, "text": "where do we see differentiated clinical value by procedure given what we can bring and"}, {"path": "tedlium_33567.wav", "duration": 6.12, "text": "hundreds of billions left in that market to transfer yet, so we're well away from reaching that point."}, {"path": "tedlium_33568.wav", "duration": 6.12, "text": "and mosquito and bed bug services in each of the 5 states in which they operate."}, {"path": "tedlium_33569.wav", "duration": 6.12, "text": "As cost increases are put through, there's often a reduction in promotional activity for a period of time."}, {"path": "tedlium_33570.wav", "duration": 6.12, "text": "and given they're early adopters, they wanted to kind of go out to their customer base on a -- quite a gentle basis"}, {"path": "tedlium_33571.wav", "duration": 6.12, "text": "This concludes my comments regarding our first quarter financial performance. We will now take your questions."}, {"path": "tedlium_33572.wav", "duration": 6.12, "text": "pretty much comparable with quarter 1. So we did not see any impact there"}, {"path": "tedlium_33573.wav", "duration": 6.12, "text": "what are the constraints for the group to lift the payout ratio to the top end of the range or, indeed,"}, {"path": "tedlium_33574.wav", "duration": 6.12, "text": "are -- which smooths the performance making that in the end"}, {"path": "tedlium_33575.wav", "duration": 6.12, "text": "description of exactly what adjustments were made to the real numbers,"}, {"path": "tedlium_33576.wav", "duration": 6.12, "text": "in. This has an impact on Southeast Asia, which is the second region of the world which is important to us"}, {"path": "tedlium_33577.wav", "duration": 6.12, "text": "And I would note, for everyone on the call, that we have never sold a share in any of our daughter companies."}, {"path": "tedlium_33578.wav", "duration": 6.12, "text": "We have been aggressively engaging in various customers and branded"}, {"path": "tedlium_33579.wav", "duration": 6.12, "text": "But we've really come to appreciate here in the last 12 months, there is a lot of old, antiquated facilities out there"}, {"path": "tedlium_33580.wav", "duration": 6.12, "text": "we have a few points of emphasis in fiscal '17. Growing our scotch business."}, {"path": "tedlium_33581.wav", "duration": 6.12, "text": "I will take you through some of the initiatives that have been delivered to date."}, {"path": "tedlium_33582.wav", "duration": 6.12, "text": "have, kind of changed strategy through the year thus far in terms of grouping up. I mean,"}, {"path": "tedlium_33583.wav", "duration": 6.12, "text": "And what we've seen in New York for example is that the pricing power has decreased as it gets closer to the day of arrival."}, {"path": "tedlium_33584.wav", "duration": 6.12, "text": "please refer to the company's earnings release and reports filed with the Securities and Exchange Commission,"}, {"path": "tedlium_33585.wav", "duration": 6.12, "text": "Our press release also includes non-GAAP financial measures that may be discussed during today's call."}, {"path": "tedlium_33586.wav", "duration": 6.12, "text": "With that, I'd like to look forward and take a moment to discuss our 2016 financial guidance,"}, {"path": "tedlium_33587.wav", "duration": 6.12, "text": "And at the end of the day, the more that we're able to execute our business model and being able to provide"}, {"path": "tedlium_33588.wav", "duration": 6.12, "text": "The third quarter brought more than its fair share of weather and operational challenges, and our team delivered."}, {"path": "tedlium_33589.wav", "duration": 6.12, "text": "of upside in our ability to do that. What we expect -- what you should expect from us over time is an airline"}, {"path": "tedlium_33590.wav", "duration": 6.12, "text": "Like most BDCs, we've operated as a regulated investment company, or RIC, for tax purposes"}, {"path": "tedlium_33591.wav", "duration": 6.12, "text": "across the country. So, it was more in line with that than it was hunting for additional partners."}, {"path": "tedlium_33592.wav", "duration": 6.12, "text": "Motivation for customers to push out projects and commitments shows no signs of stopping by the end of the year."}, {"path": "tedlium_33593.wav", "duration": 6.12, "text": "although it's not a necessity under IFRS. So unlike some of our peers,"}, {"path": "tedlium_33594.wav", "duration": 6.12, "text": "as I tell my staff, one quarter does not a trend make, and there remains a fair amount of uncertainty both"}, {"path": "tedlium_33595.wav", "duration": 6.12, "text": "Looking ahead to our full year financial guidance. In addition to increasing our EXPAREL sales guidance,"}, {"path": "tedlium_33596.wav", "duration": 6.12, "text": "So I can't tell you that it's -- that we can get a full grasp on exactly what the issue is"}, {"path": "tedlium_33597.wav", "duration": 6.12, "text": "thereby reducing the H1 loss to be a smaller loss by the time we get to year-end."}, {"path": "tedlium_33598.wav", "duration": 6.12, "text": "and expect continued strong demand for Precision Device products across most end markets."}, {"path": "tedlium_33599.wav", "duration": 6.12, "text": "This quarter, we demonstrated the impact of rapidly increasing volumes on our cost of goods sold."}, {"path": "tedlium_33600.wav", "duration": 6.12, "text": "to continue to be a headwind in Q1. We expect non-GAAP earnings per share"}, {"path": "tedlium_33601.wav", "duration": 6.12, "text": "We presell most of our Switch hardware before it hits our warehouse through our Web in Store process"}, {"path": "tedlium_33602.wav", "duration": 6.12, "text": "of our first quarter numbers and at the upper end of our Capital Markets Day guidance. And"}, {"path": "tedlium_33603.wav", "duration": 6.12, "text": "The previous guidance also excluded the purchase of the stake in Alliance Aviation,"}, {"path": "tedlium_33604.wav", "duration": 6.12, "text": "Throughout our other businesses we continue to see considerable earnings growth opportunities over the coming years,"}, {"path": "tedlium_33605.wav", "duration": 6.12, "text": "We also continue to make progress in our Leadership Development Grant or LDG program."}, {"path": "tedlium_33606.wav", "duration": 6.12, "text": "at a ratio of 1-for-7, effective as of the opening of trading"}, {"path": "tedlium_33607.wav", "duration": 6.12, "text": "we will continue to evaluate our cost structure very closely and take the appropriate actions."}, {"path": "tedlium_33608.wav", "duration": 6.12, "text": "And United Airlines has suspended flights to New Delhi due to such unhealthy air."}, {"path": "tedlium_33609.wav", "duration": 6.12, "text": "in the quarter, I would have liked to have rather seen that at the midpoint, and it ended up a tick above the high end of the range."}, {"path": "tedlium_33610.wav", "duration": 6.12, "text": "and the only thing that is affecting commercial revenue is the mix of international passengers?"}, {"path": "tedlium_33611.wav", "duration": 6.12, "text": "what we can expect it to see is what we're seeing during the third quarter."}, {"path": "tedlium_33612.wav", "duration": 6.12, "text": "I believe this will take some time. So probably, for the first quarter next year,"}, {"path": "tedlium_33613.wav", "duration": 6.12, "text": "has been fully deployed in an organic way, adding new antennas to our existing towers."}, {"path": "tedlium_33614.wav", "duration": 6.12, "text": "It seems to me that China is still -- was down in the reported quarter"}, {"path": "tedlium_33615.wav", "duration": 6.12, "text": "What I can notice here is there are two possible positive impacts for us."}, {"path": "tedlium_33616.wav", "duration": 6.12, "text": "There are some data points I can share with you starting with wage pressure in the stores."}, {"path": "tedlium_33617.wav", "duration": 6.12, "text": "to make sure that as many cells as possible can actually survive the trip to the clinic and be infused to the patient"}, {"path": "tedlium_33618.wav", "duration": 6.12, "text": "So in summary, we are well down the path of transforming our company"}, {"path": "tedlium_33619.wav", "duration": 6.12, "text": "and they offer hundreds of thousands of square meters of development potential, which we plan to realize."}, {"path": "tedlium_33620.wav", "duration": 6.12, "text": "Firstly, we saw some significant negative media coverage of the sector around June last year"}, {"path": "tedlium_33621.wav", "duration": 6.12, "text": "which benefited from the pantry stocking behavior that typically takes place around a major storm."}, {"path": "tedlium_33622.wav", "duration": 6.12, "text": "That concludes my formal remarks, and I will now turn the call back to Claude for some brief closing remarks."}, {"path": "tedlium_33623.wav", "duration": 6.12, "text": "And then more broadly on the construction side, after the warning, maybe a month after the warning,"}, {"path": "tedlium_33624.wav", "duration": 6.12, "text": "in the roles, but they were still learning their products. We filled the rest of those roles in the second -- in the first"}, {"path": "tedlium_33625.wav", "duration": 6.12, "text": "the levels of 2018 should be the levels to be expected looking forward?"}, {"path": "tedlium_33626.wav", "duration": 6.12, "text": "And in the Pacific, we saw continued strength in New Zealand, while Australia showed modest growth."}, {"path": "tedlium_33627.wav", "duration": 6.12, "text": "Thank you. And ladies and gentlemen, that concludes today's conference call. We thank you for your participation."}, {"path": "tedlium_33628.wav", "duration": 6.12, "text": "Revenues in the quarter were down 1%, with organic sales flat"}, {"path": "tedlium_33629.wav", "duration": 6.12, "text": "and we expect that into next year based on the number of programs that they're currently in negotiations on."}, {"path": "tedlium_33630.wav", "duration": 6.12, "text": "total revenue and a slightly decreasing situation license, so our market was matured."}, {"path": "tedlium_33631.wav", "duration": 6.12, "text": "the small sizes which is given out in the market to test the product, he's very happy with the product"}, {"path": "tedlium_33632.wav", "duration": 6.12, "text": "Okay. In terms of like percent of your cost base, do you have an idea of like how much is euro, how much is yen?"}, {"path": "tedlium_33633.wav", "duration": 6.12, "text": "Before going on, we would like to let you know that any statements made during this conference call"}, {"path": "tedlium_33634.wav", "duration": 6.12, "text": "that our capacity is increasing,"}, {"path": "tedlium_33635.wav", "duration": 6.12, "text": "for the longer-term trend. I think it's too early to draw a strong conclusion as to"}, {"path": "tedlium_33636.wav", "duration": 6.12, "text": "In a manufacturing process with a global supply chain, not everything is going to go as planned."}, {"path": "tedlium_33637.wav", "duration": 6.12, "text": "Good morning. My name is Crystal, and I will be your conference operator today."}, {"path": "tedlium_33638.wav", "duration": 6.12, "text": "And so, you won't always see recruits in licenses grow in exactly the same percent in any one quarter."}, {"path": "tedlium_33639.wav", "duration": 6.12, "text": "offer my best wishes to Rob. Rob, I've really enjoyed working with you and appreciate all your help over the years."}, {"path": "tedlium_33640.wav", "duration": 6.12, "text": "to be the seasonally lowest revenue quarter, and then to build up in each successive quarter."}, {"path": "tedlium_33641.wav", "duration": 6.12, "text": "We along with many public companies have chosen not to go back and restate our prior year financial statements or its impact."}, {"path": "tedlium_33642.wav", "duration": 6.12, "text": "Now for the guidance. As a result of credit tightening across the board,"}, {"path": "tedlium_33643.wav", "duration": 6.12, "text": "Please be advised that actual results could differ materially from those stated or implied by our forward-looking statements"}, {"path": "tedlium_33644.wav", "duration": 6.12, "text": "And we're investing in our owned brands. And that kind of awareness of the"}, {"path": "tedlium_33645.wav", "duration": 6.12, "text": "improving our strategic market management, improving our product and category segmentation and positioning"}, {"path": "tedlium_33646.wav", "duration": 6.12, "text": "Therefore, we expect our average selling prices and overall ticket to increase."}, {"path": "tedlium_33647.wav", "duration": 6.12, "text": "is important to note that given the cash consideration of the assets is dollar-based,"}, {"path": "tedlium_33648.wav", "duration": 6.12, "text": "operational excellence and mine optimization and price can extend the life considerably"}, {"path": "tedlium_33649.wav", "duration": 6.12, "text": "and spent several weeks realigning our sales force and transitioning customer accounts."}, {"path": "tedlium_33650.wav", "duration": 6.12, "text": "primarily due to effective cost control throughout the company, including reductions in workforce"}, {"path": "tedlium_33651.wav", "duration": 6.12, "text": "but it's always good to go out on top. I've known a lot of you for as"}, {"path": "tedlium_33652.wav", "duration": 6.12, "text": "its annual reports on Form 10-K and its current reports on Form 8-K."}, {"path": "tedlium_33653.wav", "duration": 6.1199375, "text": "and support that plan with a capital infusion and new strategic partnerships."}, {"path": "tedlium_33654.wav", "duration": 6.0900625, "text": "of what occurs when you see rapid price increases like this. We've seen similar events in the past."}, {"path": "tedlium_33655.wav", "duration": 6.0900625, "text": "Key to franchisee profitability is actually putting more guests through our restaurants."}, {"path": "tedlium_33656.wav", "duration": 6.09, "text": "and the board and the entire NCI team are excited about the potential this project holds for us."}, {"path": "tedlium_33657.wav", "duration": 6.09, "text": "First of all, we think this is a fair price for the assets which we discussed at length"}, {"path": "tedlium_33658.wav", "duration": 6.09, "text": "Earnings for both first quarter periods include the impact of valuing interest rate swap at fair value."}, {"path": "tedlium_33659.wav", "duration": 6.09, "text": "in terms of intermodal as this market continues to"}, {"path": "tedlium_33660.wav", "duration": 6.09, "text": "Despite these challenging conditions, we are pleased with our investment performance, specifically,"}, {"path": "tedlium_33661.wav", "duration": 6.09, "text": "showing them the value of moving to SmartConnect and showing them again"}, {"path": "tedlium_33662.wav", "duration": 6.09, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_33663.wav", "duration": 6.09, "text": "And they will be seen in -- the revenues will be seen in the second half of this year."}, {"path": "tedlium_33664.wav", "duration": 6.09, "text": "particularly in the club channel, which more than offset the decline on our base business."}, {"path": "tedlium_33665.wav", "duration": 6.09, "text": "in achieving both our growth and profit targets in a sustainable way."}, {"path": "tedlium_33666.wav", "duration": 6.09, "text": "We have also made changes to our fleet composition and are now focused more on Caterpillar products."}, {"path": "tedlium_33667.wav", "duration": 6.09, "text": "As our fintech and online lending customers look to expand lending to near and subprime customers"}, {"path": "tedlium_33668.wav", "duration": 6.09, "text": "but even though is very significant improvement from where we stand now."}, {"path": "tedlium_33669.wav", "duration": 6.09, "text": "Before we start, let me mention the tragic fatality we had at South Deep today."}, {"path": "tedlium_33670.wav", "duration": 6.09, "text": "Of course, many of you will be interested in the net sales performance of Asset Strategy,"}, {"path": "tedlium_33671.wav", "duration": 6.09, "text": "I don't know how you can look at it any other way, that we are positioning ourselves for"}, {"path": "tedlium_33672.wav", "duration": 6.09, "text": "And ladies and gentlemen, that concludes today's conference call. We thank you for your participation."}, {"path": "tedlium_33673.wav", "duration": 6.09, "text": "execute against significant volumes as well as expenses related to closing and servicing costs."}, {"path": "tedlium_33674.wav", "duration": 6.09, "text": "and providing the commitment to service and quality that is not typical in this space."}, {"path": "tedlium_33675.wav", "duration": 6.09, "text": "and of our life insurance operations in Jamaica, and Trinidad and Tobago."}, {"path": "tedlium_33676.wav", "duration": 6.09, "text": "the ability to receive and deliver segregated batches at these rates,"}, {"path": "tedlium_33677.wav", "duration": 6.09, "text": "And again, that leads you to some changes and some investments in what you need to have"}, {"path": "tedlium_33678.wav", "duration": 6.09, "text": "with a focus on the customer and on realizing the synergies that will deliver sustainable shareholder value."}, {"path": "tedlium_33679.wav", "duration": 6.09, "text": "I think what you'll see is about half of that growth will come from new business, and"}, {"path": "tedlium_33680.wav", "duration": 6.09, "text": "is can you successfully run a study with medicine administered by the patient and collect the data you need"}, {"path": "tedlium_33681.wav", "duration": 6.09, "text": "to keep up with increasing fragmentation of viewing in the marketplace, but it's also to better enable us"}, {"path": "tedlium_33682.wav", "duration": 6.09, "text": "So there have been no changes to our legal structure or corporate governance."}, {"path": "tedlium_33683.wav", "duration": 6.09, "text": "And we believe that will make it more attractive to potential sellers of businesses we may want to buy."}, {"path": "tedlium_33684.wav", "duration": 6.09, "text": "much less send them to inventory at the OEM and wait to be integrated. So"}, {"path": "tedlium_33685.wav", "duration": 6.09, "text": "where we also try to go for further growth, where, of course, mainly the"}, {"path": "tedlium_33686.wav", "duration": 6.09, "text": "Thank you for your time today. We appreciate your support and your interest in Erie."}, {"path": "tedlium_33687.wav", "duration": 6.09, "text": "for businesses and we have improved our performance compared to last year because last year,"}, {"path": "tedlium_33688.wav", "duration": 6.09, "text": "forced outages. But more important to me is, you can start to create safety issues."}, {"path": "tedlium_33689.wav", "duration": 6.09, "text": "The primary endpoint is the proportion of patients who achieve transfusion independence."}, {"path": "tedlium_33690.wav", "duration": 6.09, "text": "We are also encouraged by the growing pipeline from our recently added Avaya channel partners."}, {"path": "tedlium_33691.wav", "duration": 6.09, "text": "That will cause some delay in the implementation of those cost savings. In the end,"}, {"path": "tedlium_33692.wav", "duration": 6.09, "text": "it. And we're always looking for ways to increase the -- mostly the return on capital we put into the business."}, {"path": "tedlium_33693.wav", "duration": 6.09, "text": "In October, we mentioned the trial that we're doing in our Holborn and Redding stores"}, {"path": "tedlium_33694.wav", "duration": 6.09, "text": "Both the prepared commentary and discussion during this call may contain forward-looking statements"}, {"path": "tedlium_33695.wav", "duration": 6.09, "text": "First, please look at the gray bars, which indicate underlying operating cash flows."}, {"path": "tedlium_33696.wav", "duration": 6.09, "text": "We'd look at that as a use of capital, depending on where we are with other uses of cash for transactions at the time."}, {"path": "tedlium_33697.wav", "duration": 6.09, "text": "might have edged out a bit. We're not. We think we have the leading restructuring group on the Street."}, {"path": "tedlium_33698.wav", "duration": 6.09, "text": "with costly and time-consuming correlations making our accurate data available earlier"}, {"path": "tedlium_33699.wav", "duration": 6.09, "text": "Are there any areas that are causing some concerns in the business or things that we may"}, {"path": "tedlium_33700.wav", "duration": 6.09, "text": "and continued earnings growth as well as operating cash."}, {"path": "tedlium_33701.wav", "duration": 6.09, "text": "Our own terminals will be able to market directly to companies looking to source their sand needs locally."}, {"path": "tedlium_33702.wav", "duration": 6.09, "text": "relative to the strip. But that's just where the market has been for the most part. And so we just try to stay"}, {"path": "tedlium_33703.wav", "duration": 6.09, "text": "while also delivering the most reliable call experience every time."}, {"path": "tedlium_33704.wav", "duration": 6.09, "text": "so that all of the erosion that you would expect post the patent expiry has happened?"}, {"path": "tedlium_33705.wav", "duration": 6.09, "text": "even if it impacts our ability to get that modest expansion we've been talking about in 2019 for margin."}, {"path": "tedlium_33706.wav", "duration": 6.09, "text": "And then, just kind of more broadly in terms of organic growth in Florida,"}, {"path": "tedlium_33707.wav", "duration": 6.09, "text": "down earlier in the week or the weekend. So that means less gasoline produced."}, {"path": "tedlium_33708.wav", "duration": 6.09, "text": "Certain of the infrastructure practices, some of that's reactive work, but there's a fair amount of that"}, {"path": "tedlium_33709.wav", "duration": 6.09, "text": "In both cases, the first couple of quarters were marked by little new business but normal client attrition."}, {"path": "tedlium_33710.wav", "duration": 6.09, "text": "And as we look at the tax rates even most recently, there's no change from our perspective. We really can't"}, {"path": "tedlium_33711.wav", "duration": 6.09, "text": "We've got a bunch of plants that we could deep cut, but looks like Swanson is next up on the list."}, {"path": "tedlium_33712.wav", "duration": 6.09, "text": "the segregated mandates don't tend to work on lead tables, they tend to work relative to benchmark."}, {"path": "tedlium_33713.wav", "duration": 6.09, "text": "Their revenue and customer base will significantly increase our market share in the South East."}, {"path": "tedlium_33714.wav", "duration": 6.09, "text": "We've been reading all the reports that you guys have written to understand the real strategy behind"}, {"path": "tedlium_33715.wav", "duration": 6.09, "text": "enabling us to streamline costs and mitigate our operational impact in the communities we serve."}, {"path": "tedlium_33716.wav", "duration": 6.09, "text": "We will also use a portion of this investment to retire our existing convertible debt."}, {"path": "tedlium_33717.wav", "duration": 6.09, "text": "to be with us for a very long time. And these are the financial targets. As I mentioned earlier,"}, {"path": "tedlium_33718.wav", "duration": 6.09, "text": "as we continue to focus on delivering for our customers and partners and driving significant shareholder value."}, {"path": "tedlium_33719.wav", "duration": 6.09, "text": "are subject to a series of risks and uncertainties that may cause actual results to differ materially from those statements."}, {"path": "tedlium_33720.wav", "duration": 6.09, "text": "there may come a point where we say okay, it's so strong, what are we going to do with the extra amount of money. But"}, {"path": "tedlium_33721.wav", "duration": 6.09, "text": "Let me focus my Health Segment commentary today on our HAAS contract,"}, {"path": "tedlium_33722.wav", "duration": 6.09, "text": "our own data from the NEWTON study showed that those patients that receive the current standard of care,"}, {"path": "tedlium_33723.wav", "duration": 6.09, "text": "We worked with ICE to adjust the contract to make the unused capacity available to other partners."}, {"path": "tedlium_33724.wav", "duration": 6.09, "text": "We continue to believe our private label business uniquely positions us in the marketplace,"}, {"path": "tedlium_33725.wav", "duration": 6.09, "text": "Well, the only thing significant to add is that they have completed their process,"}, {"path": "tedlium_33726.wav", "duration": 6.09, "text": "We continue to invest in the business for strategic growth and value creation in the quarter."}, {"path": "tedlium_33727.wav", "duration": 6.09, "text": "but we see a very good opportunity to just have another nice contributor"}, {"path": "tedlium_33728.wav", "duration": 6.09, "text": "In essence, capital allocation for these purposes will not be subject to any financial metric."}, {"path": "tedlium_33729.wav", "duration": 6.09, "text": "specialty products that were close to being commercialized. I'm wondering"}, {"path": "tedlium_33730.wav", "duration": 6.09, "text": "We have completed dosing for both healthy volunteers and patients with PH type 1 and"}, {"path": "tedlium_33731.wav", "duration": 6.09, "text": "making sales. There's the problem. If you do the sales, you won't have a problem."}, {"path": "tedlium_33732.wav", "duration": 6.09, "text": "It is also an opportunity from our national strategy."}, {"path": "tedlium_33733.wav", "duration": 6.09, "text": "wondering, if you could take us back to your initial discussions with Gibson to acquire the business and"}, {"path": "tedlium_33734.wav", "duration": 6.09, "text": "mean someone has to pay those costs to get it from the producing area to the refinery. And it's just how those"}, {"path": "tedlium_33735.wav", "duration": 6.09, "text": "kind of using the Vetri model away from a lot of the competitive intensity"}, {"path": "tedlium_33736.wav", "duration": 6.09, "text": "We're continuing to prioritize our spending to generate the best overall returns."}, {"path": "tedlium_33737.wav", "duration": 6.09, "text": "They're very active. They've already gotten a number of contracts done in over 40 states."}, {"path": "tedlium_33738.wav", "duration": 6.09, "text": "The offsetting factor is that the contracts tend to be shorter term in nature than our end-to-end offerings."}, {"path": "tedlium_33739.wav", "duration": 6.09, "text": "so that we can go to, in particular, the automotive clients and make sure that we're serving them"}, {"path": "tedlium_33740.wav", "duration": 6.09, "text": "companies understood the risk and we needed to talk about a lot of operational efficiencies around it."}, {"path": "tedlium_33741.wav", "duration": 6.09, "text": "taking that opportunity to the next level after having made some of these investments and kind of getting things kind of in place"}, {"path": "tedlium_33742.wav", "duration": 6.09, "text": "No, that's what I'm talking about. So there's growth from the fourth quarter -- just on that calculation,"}, {"path": "tedlium_33743.wav", "duration": 6.09, "text": "the associated parts and maintenance revenue and a few targeted domestic system sales."}, {"path": "tedlium_33744.wav", "duration": 6.09, "text": "Targeted growth of business and personal deposits raised through our branches remains a key focus."}, {"path": "tedlium_33745.wav", "duration": 6.09, "text": "required to address the challenges of the convergence of technology and applications,"}, {"path": "tedlium_33746.wav", "duration": 6.09, "text": "still a lot of runway when it comes to net new actives. And I believe"}, {"path": "tedlium_33747.wav", "duration": 6.09, "text": "You've talked about the Auto and Home business and the improvement needed there to maybe pursue something?"}, {"path": "tedlium_33748.wav", "duration": 6.09, "text": "The fundamentals of the coalition business remain strong with positive momentum."}, {"path": "tedlium_33749.wav", "duration": 6.09, "text": "or is it due to the excipients. So typically, we would expect it will take about 2 weeks in total"}, {"path": "tedlium_33750.wav", "duration": 6.09, "text": "but also because in Colombia, we took a more conservative approach to underwriting certain opportunities."}, {"path": "tedlium_33751.wav", "duration": 6.09, "text": "We're proud the institution offers a program that creates so much value for its students."}, {"path": "tedlium_33752.wav", "duration": 6.09, "text": "And in particular, is there a mix shift within the floating rate bucket driving that to come down so much?"}, {"path": "tedlium_33753.wav", "duration": 6.09, "text": "which was higher than our guidance of 70 basis points as a result of over-performance of the pathology business."}, {"path": "tedlium_33754.wav", "duration": 6.09, "text": "It is tough out there, but our teams in the field and in our offices are creating a lot of value."}, {"path": "tedlium_33755.wav", "duration": 6.09, "text": "That's very important. But equally important in my opinion is the high quality of our net investment income."}, {"path": "tedlium_33756.wav", "duration": 6.09, "text": "the idea is that we need to be pushing the entire tool product line through those locations."}, {"path": "tedlium_33757.wav", "duration": 6.09, "text": "but we understand that our heads are down. We still have a lot of work to do, and we're going to keep making this incremental progress that hopefully"}, {"path": "tedlium_33758.wav", "duration": 6.09, "text": "And we've got a couple of other RFPs with some smaller financial institutions that we're currently working on as well."}, {"path": "tedlium_33759.wav", "duration": 6.09, "text": "We have partnered with a customer analytics firm to provide market segmentation and demographic data"}, {"path": "tedlium_33760.wav", "duration": 6.09, "text": "we have an interest that we give that excess liquidity back to the shareholders."}, {"path": "tedlium_33761.wav", "duration": 6.09, "text": "and so but we do have extra capacity now to get a transaction done, and we will continue to search for transactions, as we do every day."}, {"path": "tedlium_33762.wav", "duration": 6.09, "text": "The barriers to entry are very low. Anyone could put a brand on vegetable oil, call it premium."}, {"path": "tedlium_33763.wav", "duration": 6.09, "text": "in the business, and we are going to be looking at ways -- even though we will have growth,"}, {"path": "tedlium_33764.wav", "duration": 6.09, "text": "We're continuing to invest to expand our technology leadership into adjacent markets,"}, {"path": "tedlium_33765.wav", "duration": 6.09, "text": "to go faster by making more use of third-party manufacturing where it makes sense."}, {"path": "tedlium_33766.wav", "duration": 6.09, "text": "Thank you very much indeed for joining us for this conference call out of your busy schedules."}, {"path": "tedlium_33767.wav", "duration": 6.09, "text": "and other cost actions, have resulted in that business being able to continue to deliver"}, {"path": "tedlium_33768.wav", "duration": 6.09, "text": "and affordable communities that attract owner occupiers, and this is the most resilient part of the market."}, {"path": "tedlium_33769.wav", "duration": 6.09, "text": "is that we have made some decisions to pull low ROI programs, which"}, {"path": "tedlium_33770.wav", "duration": 6.09, "text": "explain why you think you're doing so much better than competitors and where you think you're taking subscribers from?"}, {"path": "tedlium_33771.wav", "duration": 6.09, "text": "We don't think this is by any means set up for a V recovery. I'm talking about the overall energy market."}, {"path": "tedlium_33772.wav", "duration": 6.09, "text": "I think, when rates first tick up, they think they're going to go back down. There seems to be some acceptance in that."}, {"path": "tedlium_33773.wav", "duration": 6.09, "text": "the comments made during this conference call in the Risk Factors section of the accompanying presentations"}, {"path": "tedlium_33774.wav", "duration": 6.09, "text": "highly productive and we look forward to continuing to work together with their excellent team."}, {"path": "tedlium_33775.wav", "duration": 6.09, "text": "and we are taking corrective actions and should get these numbers back to first quartile shortly."}, {"path": "tedlium_33776.wav", "duration": 6.09, "text": "we now forecast full year sales to decline low single digits for the reasons just cited."}, {"path": "tedlium_33777.wav", "duration": 6.09, "text": "in the later part of Q2. And finally, we finish with the Other Businesses,"}, {"path": "tedlium_33778.wav", "duration": 6.09, "text": "let me level set first as far as where we're at, then I'll walk you through sort of how you can see the rest of the year. But"}, {"path": "tedlium_33779.wav", "duration": 6.09, "text": "With a continuing resolution, the only way that you're able to start a new program is under an urgent operational need,"}, {"path": "tedlium_33780.wav", "duration": 6.09, "text": "but with continued volatility which will keep investor flows muted and transactional activity light."}, {"path": "tedlium_33781.wav", "duration": 6.09, "text": "and get those wells producing here. Most of that spend is going to be in the first part of the year."}, {"path": "tedlium_33782.wav", "duration": 6.09, "text": "I think there there is a good chance to maintain a good rate of growth."}, {"path": "tedlium_33783.wav", "duration": 6.09, "text": "with strong order books and innovations do contribute to margin increases,"}, {"path": "tedlium_33784.wav", "duration": 6.09, "text": "but they don't sell it like to national campaigns for a campaign for 2 or 3 weeks."}, {"path": "tedlium_33785.wav", "duration": 6.09, "text": "they wake up in the morning and they have certain -- negative mix is a certain range of"}, {"path": "tedlium_33786.wav", "duration": 6.09, "text": "I've mentioned earlier that we secured a significant order for battery plate cooling with an existing customer in Europe."}, {"path": "tedlium_33787.wav", "duration": 6.09, "text": "we feel we are in the position to work out at the same pace we are doing in the first 2 years."}, {"path": "tedlium_33788.wav", "duration": 6.09, "text": "What we're doing right now is making those changes without trying to go in and"}, {"path": "tedlium_33789.wav", "duration": 6.09, "text": "not only to develop some new aroma chemicals, but to also emphasize the fragrance compound portion of the business"}, {"path": "tedlium_33790.wav", "duration": 6.09, "text": "Steve will now provide you with additional details on the fourth quarter and full year financial results."}, {"path": "tedlium_33791.wav", "duration": 6.09, "text": "that would be a threat to us in the way that perhaps that concern might have risen."}, {"path": "tedlium_33792.wav", "duration": 6.09, "text": "I think a lot of improvement have been done there, but we still need to train the channel properly. And"}, {"path": "tedlium_33793.wav", "duration": 6.09, "text": "clients need us to guide them through these markets. We need to understand how the new"}, {"path": "tedlium_33794.wav", "duration": 6.09, "text": "some details on what kind of interest expenses you're using, and what kind of maintenance capital spending?"}, {"path": "tedlium_33795.wav", "duration": 6.09, "text": "With this, I would like to conclude my part of the presentation and hand back to Gilles."}, {"path": "tedlium_33796.wav", "duration": 6.09, "text": "We've had many sessions with those 2 teams coming together, having joint new product development efforts"}, {"path": "tedlium_33797.wav", "duration": 6.09, "text": "I think that the reception that we've seen in the marketplace, the momentum and the growth"}, {"path": "tedlium_33798.wav", "duration": 6.09, "text": "This new antibody is aimed at lowering tau and slowing progressive diseases, such as Alzheimer's disease"}, {"path": "tedlium_33799.wav", "duration": 6.09, "text": "severe winter weather, at least not in those parts of the continent where most of the people live."}, {"path": "tedlium_33800.wav", "duration": 6.09, "text": "We are also in contract negotiations with several more, which will add to our base of business"}, {"path": "tedlium_33801.wav", "duration": 6.09, "text": "For the remainder of 2016, we look forward to continuing to execute on higher production and delivery rates"}, {"path": "tedlium_33802.wav", "duration": 6.09, "text": "that all was done at the beginning of the year. So we wanted to be positioned so we could hit the ground running,"}, {"path": "tedlium_33803.wav", "duration": 6.0899375, "text": "We have come a long way in 4 quarters, but there is still more work to be done."}, {"path": "tedlium_33804.wav", "duration": 6.0600625, "text": "And also looking at each of those in turn, you can see that both divisions are also well diversified within themselves."}, {"path": "tedlium_33805.wav", "duration": 6.0600625, "text": "and while we had a good start to the year, we have not made significant changes to our full year expectations."}, {"path": "tedlium_33806.wav", "duration": 6.0600625, "text": "The top line growth was fueled by rate increases and strong renewals, yet moderated by control new business."}, {"path": "tedlium_33807.wav", "duration": 6.0600625, "text": "The purchase program is the most recent example of ArcLight's significant and ongoing support of American Midstream,"}, {"path": "tedlium_33808.wav", "duration": 6.06, "text": "Tom will provide more details on the financial results in his section."}, {"path": "tedlium_33809.wav", "duration": 6.06, "text": "We could see a slightly higher -- well, actually much higher inflation in"}, {"path": "tedlium_33810.wav", "duration": 6.06, "text": "that it would be reimbursed and there would be limited sort of challenges in relation to access to"}, {"path": "tedlium_33811.wav", "duration": 6.06, "text": "and some of the answers in response to your questions by management may contain forward-looking statement."}, {"path": "tedlium_33812.wav", "duration": 6.06, "text": "it's accelerating. So as we go through the year that probably -- number will accelerate."}, {"path": "tedlium_33813.wav", "duration": 6.06, "text": "that was surprising to us about how much demand came in and our ability to continue to push rates."}, {"path": "tedlium_33814.wav", "duration": 6.06, "text": "particularly institutional verticals where activity appears to be much earlier in a cyclical recovery."}, {"path": "tedlium_33815.wav", "duration": 6.06, "text": "In the third quarter, we announced a new partnership with Mavenir to bring to market a rich,"}, {"path": "tedlium_33816.wav", "duration": 6.06, "text": "Our strong credit discipline and low loan-to-values have resulted in consistently low credit losses and servicing costs."}, {"path": "tedlium_33817.wav", "duration": 6.06, "text": "Triangle Capital Corporation issued a press release yesterday with details of the company's quarterly financial and operating results. A"}, {"path": "tedlium_33818.wav", "duration": 6.06, "text": "We may need to review the dividend when we have clearer prospect."}, {"path": "tedlium_33819.wav", "duration": 6.06, "text": "In both, we could confirm the persistent reduction of the number of bleeds"}, {"path": "tedlium_33820.wav", "duration": 6.06, "text": "This is the last time for me to make presentations on performance."}, {"path": "tedlium_33821.wav", "duration": 6.06, "text": "There was no notable change in other financial income."}, {"path": "tedlium_33822.wav", "duration": 6.06, "text": "But we believe that we do have the design capability."}, {"path": "tedlium_33823.wav", "duration": 6.06, "text": "strong financial performance and the Lattice acquisition ready for financial close today."}, {"path": "tedlium_33824.wav", "duration": 6.06, "text": "based on a strong reception from consumers and customers."}, {"path": "tedlium_33825.wav", "duration": 6.06, "text": "but it's very tightly linked to our corporate functions and very tightly linked to our business units."}, {"path": "tedlium_33826.wav", "duration": 6.06, "text": "it's a good point. And we do a pretty good visibility and what I would tell you is"}, {"path": "tedlium_33827.wav", "duration": 6.06, "text": "for the company, on new equipment side. Now that is going to get better as we go through the year. I think we said"}, {"path": "tedlium_33828.wav", "duration": 6.06, "text": "a rate which outpaces the growth of the global economy by more than 3x over the same period."}, {"path": "tedlium_33829.wav", "duration": 6.06, "text": "Of course, we are also try to increase commissions by developing different business lines,"}, {"path": "tedlium_33830.wav", "duration": 6.06, "text": "they have driven our success to date, and will enable our success going forward."}, {"path": "tedlium_33831.wav", "duration": 6.06, "text": "geography and life stage. So you will see that continue in our marketing"}, {"path": "tedlium_33832.wav", "duration": 6.06, "text": "The way we show up consistently across the globe is an essential part of how we move forward."}, {"path": "tedlium_33833.wav", "duration": 6.06, "text": "and we will do nothing but encourage their participation in design. But we're not waiting for them."}, {"path": "tedlium_33834.wav", "duration": 6.06, "text": "that may cause actual results to differ from management's projections, forecasts, estimates and expectations."}, {"path": "tedlium_33835.wav", "duration": 6.06, "text": "This decrease is attributable to a decrease in earnings from our share of the BOSTCO facility,"}, {"path": "tedlium_33836.wav", "duration": 6.06, "text": "There has been and will be other changes to improve our presence"}, {"path": "tedlium_33837.wav", "duration": 6.06, "text": "after accounting for corporate costs. We anticipate we will have positive operating income in the fourth quarter."}, {"path": "tedlium_33838.wav", "duration": 6.06, "text": "those are the kinds of things that will go into our board's decision about"}, {"path": "tedlium_33839.wav", "duration": 6.06, "text": "Let me update you on the status of our remaining tax benefit related to the support payment we made in connection"}, {"path": "tedlium_33840.wav", "duration": 6.06, "text": "We have created the right plan, focused on the most important objectives"}, {"path": "tedlium_33841.wav", "duration": 6.06, "text": "but it is a -- what's important about it is that you aren't just doing"}, {"path": "tedlium_33842.wav", "duration": 6.06, "text": "Over the next year or so, we plan to deliver a steady cadence of clinical data across key indications"}, {"path": "tedlium_33843.wav", "duration": 6.06, "text": "I say we've been watching because we've been in this market for a long time,"}, {"path": "tedlium_33844.wav", "duration": 6.06, "text": "and provide clear contrasts of the mechanism of action for each of these agents."}, {"path": "tedlium_33845.wav", "duration": 6.06, "text": "Canadian Natural is in a great position and is now more robust and sustainable,"}, {"path": "tedlium_33846.wav", "duration": 6.06, "text": "for processing controlled substances. And we think that there are significant"}, {"path": "tedlium_33847.wav", "duration": 6.06, "text": "And the CapEx pattern for '17 is going to be also a mild one."}, {"path": "tedlium_33848.wav", "duration": 6.06, "text": "I hope that you had a chance to review the press release that was issued earlier this morning via Business Wire."}, {"path": "tedlium_33849.wav", "duration": 6.06, "text": "The technology now enable solutions that were not necessarily possible 5 years ago. It is attracting"}, {"path": "tedlium_33850.wav", "duration": 6.06, "text": "While we're talking about geographies, let me add a little color to Steve's comments on trade and tariffs related to China."}, {"path": "tedlium_33851.wav", "duration": 6.06, "text": "create new, I'll call it, new, new solutions based on integrating the data that we have available from what's in the portfolio."}, {"path": "tedlium_33852.wav", "duration": 6.06, "text": "This higher end line is part of our strategy to appeal to the more discerning wellness consumer."}, {"path": "tedlium_33853.wav", "duration": 6.06, "text": "the distribution channels. Another good benefit with this for us is that"}, {"path": "tedlium_33854.wav", "duration": 6.06, "text": "From an adoption standpoint, I'm assuming it's fair to say that"}, {"path": "tedlium_33855.wav", "duration": 6.06, "text": "I think, are the supply and demand. As I said in my color comments, I think that's really going to dictate"}, {"path": "tedlium_33856.wav", "duration": 6.06, "text": "And then the final thing I would say, and I think we have to emphasize this more and more in our dialogue with the capital markets"}, {"path": "tedlium_33857.wav", "duration": 6.06, "text": "to drive improved financial performance as we are beginning to see this play through in our financial results."}, {"path": "tedlium_33858.wav", "duration": 6.06, "text": "And if -- to be a fitter for those, even though you're self-employed, you have to now come in and be tested."}, {"path": "tedlium_33859.wav", "duration": 6.06, "text": "Ladies and gentlemen, we would like to welcome you very warmly"}, {"path": "tedlium_33860.wav", "duration": 6.06, "text": "There is nothing out there at the present time that would be a whole team lift-out."}, {"path": "tedlium_33861.wav", "duration": 6.06, "text": "In an environment business, activity is accelerating, which is contributing to an improved growth outlook."}, {"path": "tedlium_33862.wav", "duration": 6.06, "text": "Great. Thank you operator, and thanks in particular for your assist on the technical issues earlier in the call."}, {"path": "tedlium_33863.wav", "duration": 6.06, "text": "we think it's a drug that we want to do some work on to figure out where it could go."}, {"path": "tedlium_33864.wav", "duration": 6.06, "text": "The mix between our transmission and gathering customers and gas utility customers"}, {"path": "tedlium_33865.wav", "duration": 6.06, "text": "we might favor the international transaction. Simply because it's a nice opportunity to use our international cash."}, {"path": "tedlium_33866.wav", "duration": 6.06, "text": "We expect cash flow before financing activities to be positive this year but substantially lower than last year."}, {"path": "tedlium_33867.wav", "duration": 6.06, "text": "what we observe is that while this is on the very, very long term"}, {"path": "tedlium_33868.wav", "duration": 6.06, "text": "have it picked up by the regulator. I expect another year at least before we see that coming."}, {"path": "tedlium_33869.wav", "duration": 6.06, "text": "At the heart of Connected 4 Growth is the organizational and core process changes"}, {"path": "tedlium_33870.wav", "duration": 6.06, "text": "The other important factor that will drive our revenue growth is end customer adoption."}, {"path": "tedlium_33871.wav", "duration": 6.06, "text": "We will continue to focus on this market segment and trust in our long term growth trend."}, {"path": "tedlium_33872.wav", "duration": 6.06, "text": "looking at those inventories right now, they're still low as compared to historically what they have been."}, {"path": "tedlium_33873.wav", "duration": 6.06, "text": "big things we're focusing on here is building the total subscriber base, which is driving the voice story"}, {"path": "tedlium_33874.wav", "duration": 6.06, "text": "that's just not a big number right now. But you go into the year with just wage inflation"}, {"path": "tedlium_33875.wav", "duration": 6.06, "text": "really translate for the franchisees making a lot more money, even when you have"}, {"path": "tedlium_33876.wav", "duration": 6.06, "text": "report on the complete TV set in terms of its progress and development."}, {"path": "tedlium_33877.wav", "duration": 6.06, "text": "How are you addressing the value equation to the customer who is not the My Starbucks Rewards customer?"}, {"path": "tedlium_33878.wav", "duration": 6.06, "text": "We believe this will transform the quality and effectiveness of brand building to drive growth."}, {"path": "tedlium_33879.wav", "duration": 6.06, "text": "And now moving to Slide 18 and our outlook. We are maintaining an outlook"}, {"path": "tedlium_33880.wav", "duration": 6.06, "text": "This growth rate significantly exceeded our internal expectations, and we're really proud of these results."}, {"path": "tedlium_33881.wav", "duration": 6.06, "text": "They are constantly looking, but the attention will shift to Japan more."}, {"path": "tedlium_33882.wav", "duration": 6.06, "text": "large site in the Gothenburg area and the traditional rebalancing of the contract"}, {"path": "tedlium_33883.wav", "duration": 6.06, "text": "And we are excited to have the opportunity to deploy our success team to help."}, {"path": "tedlium_33884.wav", "duration": 6.06, "text": "Underlying manufacturing efficiencies continued to improve in the quarter as our EBITDA margin improved"}, {"path": "tedlium_33885.wav", "duration": 6.06, "text": "We've always known it was there. We've known that we were doing the right things to get it to come true. But"}, {"path": "tedlium_33886.wav", "duration": 6.06, "text": "any size acquisition, continue to return money to our shareholders on a regular basis"}, {"path": "tedlium_33887.wav", "duration": 6.06, "text": "as opposed to shifting economics more towards the tail of attractive royalty streams?"}, {"path": "tedlium_33888.wav", "duration": 6.06, "text": "to ensure we continue to consistently grow the top and bottom lines and ultimately create"}, {"path": "tedlium_33889.wav", "duration": 6.06, "text": "Well -- and I'm not -- look, I think you guys are doing a great job and you're trying your best."}, {"path": "tedlium_33890.wav", "duration": 6.06, "text": "So all of that was contained in the last week and essentially most of it was contained in the first 3 days of the week."}, {"path": "tedlium_33891.wav", "duration": 6.06, "text": "I don't think it's driven by a size component. It's actually driven by the"}, {"path": "tedlium_33892.wav", "duration": 6.06, "text": "These improvements and others drove meaningful increases in customer satisfaction."}, {"path": "tedlium_33893.wav", "duration": 6.06, "text": "We believe we can create significant value for our customers and our shareholders."}, {"path": "tedlium_33894.wav", "duration": 6.06, "text": "With that, I will now be pleased to take your questions. Thank you very much for"}, {"path": "tedlium_33895.wav", "duration": 6.06, "text": "Despite the continued commodity downturn, we believe we are now in a stronger position than we have ever been before"}, {"path": "tedlium_33896.wav", "duration": 6.06, "text": "there was kind of no heads up of that when you reported November 19. So"}, {"path": "tedlium_33897.wav", "duration": 6.06, "text": "early in April versus what was going on at the beginning of the quarter?"}, {"path": "tedlium_33898.wav", "duration": 6.06, "text": "to invent social media, but when we recognize something can help our business, we fold in pretty quick."}, {"path": "tedlium_33899.wav", "duration": 6.06, "text": "that reflects both the opportunities and challenges in the evolving China pharmaceuticals market."}, {"path": "tedlium_33900.wav", "duration": 6.06, "text": "And we'll actually start to see some restructuring benefits in Industrial Controls in particular,"}, {"path": "tedlium_33901.wav", "duration": 6.06, "text": "we believe we're well positioned for future growth. And with that, I'd like to open the floor"}, {"path": "tedlium_33902.wav", "duration": 6.06, "text": "It's been done in the past by other BDCs. We didn't want to do that. So we kind of felt painted into a corner."}, {"path": "tedlium_33903.wav", "duration": 6.06, "text": "We also have several equity investments in C corporations which have contributed to our dividend income."}, {"path": "tedlium_33904.wav", "duration": 6.06, "text": "And then do you have -- is the amortization requirement lower than it was on the previous"}, {"path": "tedlium_33905.wav", "duration": 6.06, "text": "We're particularly excited about the opportunity that exists for the brand in the beauty space."}, {"path": "tedlium_33906.wav", "duration": 6.06, "text": "a warehouse full of inventory across all the categories just sitting there I mean"}, {"path": "tedlium_33907.wav", "duration": 6.06, "text": "relief that tax reform is here and excitement about a more favorable investment"}, {"path": "tedlium_33908.wav", "duration": 6.06, "text": "Our ongoing strategy work continues to emphasize the vast opportunities in our pharmaceutical business,"}, {"path": "tedlium_33909.wav", "duration": 6.06, "text": "The first few products resulting from this accelerated effort are already in the market"}, {"path": "tedlium_33910.wav", "duration": 6.06, "text": "where we think we will be able to effectively compete in managing our own operations."}, {"path": "tedlium_33911.wav", "duration": 6.06, "text": "price realization in both developed and emerging markets and commodity deflation"}, {"path": "tedlium_33912.wav", "duration": 6.06, "text": "One Touch seller sign-up significantly reduces the friction of signing up to sell in a new marketplace"}, {"path": "tedlium_33913.wav", "duration": 6.06, "text": "going from weighted average interest rate of 2.7% at the end of the second quarter"}, {"path": "tedlium_33914.wav", "duration": 6.06, "text": "with the new pipeline, with the implementations that we just had, that's extremely valuable to us."}, {"path": "tedlium_33915.wav", "duration": 6.06, "text": "During the third quarter we gained considerably more insight into what it's going to take to complete this project."}, {"path": "tedlium_33916.wav", "duration": 6.06, "text": "were you assuming in terms of people who were not going to buy a home at all then that were"}, {"path": "tedlium_33917.wav", "duration": 6.06, "text": "so what we try to do is only bring back that cash that is needed to cover our"}, {"path": "tedlium_33918.wav", "duration": 6.06, "text": "Before we take your questions, I would like to make a few comments about our outlook."}, {"path": "tedlium_33919.wav", "duration": 6.06, "text": "And so I think that there's kind of multiple decision points that we go through when we're thinking about"}, {"path": "tedlium_33920.wav", "duration": 6.06, "text": "but not only by the carryover impact of the selling price increase of 2018, but also"}, {"path": "tedlium_33921.wav", "duration": 6.06, "text": "fully bake as it relates to what I told you what happened in the month of November. So"}, {"path": "tedlium_33922.wav", "duration": 6.06, "text": "and lot of strategic work that we've already started on, we do see great growth potential in areas such as Medicare Advantage,"}, {"path": "tedlium_33923.wav", "duration": 6.06, "text": "All such factors should be considered in evaluating any forward-looking statements that may be made."}, {"path": "tedlium_33924.wav", "duration": 6.06, "text": "because we don't operate in China. We don't have a license to operate in China, but there are a number of those customers that we have saved"}, {"path": "tedlium_33925.wav", "duration": 6.06, "text": "And we have like -- we believe that we have a very good, solid"}, {"path": "tedlium_33926.wav", "duration": 6.06, "text": "And there will be some startup costs. But we'll try to do the best we can in terms of identifying those for you and then giving you a sense"}, {"path": "tedlium_33927.wav", "duration": 6.06, "text": "as kind of comparable to your thinking in terms of your 2019 guidance"}, {"path": "tedlium_33928.wav", "duration": 6.06, "text": "These laboratory programs employ specialized analytical devices that are proprietary to Core Lab."}, {"path": "tedlium_33929.wav", "duration": 6.06, "text": "I'll begin the call with some brief comments and then Ken will review the financial results for the quarter."}, {"path": "tedlium_33930.wav", "duration": 6.06, "text": "principle requirements, this change does not reflect our commitment"}, {"path": "tedlium_33931.wav", "duration": 6.06, "text": "either with their mobile in our packs where we offer more data or"}, {"path": "tedlium_33932.wav", "duration": 6.06, "text": "and increased personnel costs from filling global positions to support our growth and diversification strategy."}, {"path": "tedlium_33933.wav", "duration": 6.06, "text": "We will continue to invest in these segments of our customers and"}, {"path": "tedlium_33934.wav", "duration": 6.06, "text": "probably be the lead in the industry among the top 10 or 15 banks"}, {"path": "tedlium_33935.wav", "duration": 6.06, "text": "Salaries and benefits and other real estate expenses account for most of the change in each period."}, {"path": "tedlium_33936.wav", "duration": 6.06, "text": "Please refer to the detailed note in the company's press release regarding forward-looking statements."}, {"path": "tedlium_33937.wav", "duration": 6.06, "text": "incentive comp reversals either in the third or the fourth quarter last year that we should keep in mind"}, {"path": "tedlium_33938.wav", "duration": 6.06, "text": "then take that product in our trip plan and make it transparent to our customers"}, {"path": "tedlium_33939.wav", "duration": 6.06, "text": "We're seeing an increasing pipeline and the deal flow for the company as a result of this focus."}, {"path": "tedlium_33940.wav", "duration": 6.06, "text": "We've been looking to expand our sales channel for payment processing beyond our traditional financial institutions."}, {"path": "tedlium_33941.wav", "duration": 6.06, "text": "Similarly, we continue to believe we are well positioned to achieve our diluted earnings per share guidance"}, {"path": "tedlium_33942.wav", "duration": 6.06, "text": "just given -- actually, let me ask this guidance one first. Matt, did you go over how much of the"}, {"path": "tedlium_33943.wav", "duration": 6.06, "text": "then you can have a soft profiting on the merchant. So anything that happens in the physical store"}, {"path": "tedlium_33944.wav", "duration": 6.06, "text": "Whatever earnings are gained through this will be given to the institution."}, {"path": "tedlium_33945.wav", "duration": 6.06, "text": "by owning the supply that goes into at least a piece of that terminal, and then using our"}, {"path": "tedlium_33946.wav", "duration": 6.06, "text": "may include forward-looking statements regarding the company's financial and operating performance."}, {"path": "tedlium_33947.wav", "duration": 6.06, "text": "ads in market, marketing on the card. We actually haven't focused on marketing the card really at all over the last few quarters."}, {"path": "tedlium_33948.wav", "duration": 6.06, "text": "This facility leads to provide needed floor space to support the expanding product line"}, {"path": "tedlium_33949.wav", "duration": 6.06, "text": "really driven by better uptime and some better well performance. We were plus 10,000 in Malaysia."}, {"path": "tedlium_33950.wav", "duration": 6.06, "text": "And we'll continue to use the tools within the Nordson Business System to drive operating improvement across the enterprise."}, {"path": "tedlium_33951.wav", "duration": 6.06, "text": "Before we start, I want to remind you that certain statements made in this conference call may be considered forward looking."}, {"path": "tedlium_33952.wav", "duration": 6.06, "text": "that they expect the pipeline to be repaired and operating as normal by the end of August."}, {"path": "tedlium_33953.wav", "duration": 6.06, "text": "And that was all possible because of our team, with the support of our shareholders, and"}, {"path": "tedlium_33954.wav", "duration": 6.06, "text": "This call contains statements that may constitute forward-looking statements, which are based on information currently available."}, {"path": "tedlium_33955.wav", "duration": 6.06, "text": "You can see our reliability numbers reflect the investment that's been made,"}, {"path": "tedlium_33956.wav", "duration": 6.06, "text": "A number of factors were in play, including mixed performance across our varied end markets"}, {"path": "tedlium_33957.wav", "duration": 6.06, "text": "we and our customers, entering next year with strong and healthy backlogs and strong and healthy outlook."}, {"path": "tedlium_33958.wav", "duration": 6.06, "text": "as well as the increase in fat. This study is also expected"}, {"path": "tedlium_33959.wav", "duration": 6.06, "text": "And so the question that we have to answer is where do our particular producers"}, {"path": "tedlium_33960.wav", "duration": 6.06, "text": "and the progress in network and services as well as customer demand for the new portfolio."}, {"path": "tedlium_33961.wav", "duration": 6.06, "text": "is it driven more by the larger guys who are trying to reactivate a lot of older tired equipment?"}, {"path": "tedlium_33962.wav", "duration": 6.06, "text": "and a cost structure twice as high as we had so. Now there is some pain involved in doing these things. But"}, {"path": "tedlium_33963.wav", "duration": 6.06, "text": "We achieved another important second quarter milestone with the completion of the"}, {"path": "tedlium_33964.wav", "duration": 6.06, "text": "on the acquisition underwriting just to kind of see how things shake out and how things change? Or is it kind of"}, {"path": "tedlium_33965.wav", "duration": 6.06, "text": "and other culling activities which will be largely completed by the end of the year."}, {"path": "tedlium_33966.wav", "duration": 6.06, "text": "that you would really rely on for a significant part of your business within the Color group."}, {"path": "tedlium_33967.wav", "duration": 6.06, "text": "you have some nice exposure. It's probably one of the smaller items within the"}, {"path": "tedlium_33968.wav", "duration": 6.06, "text": "I will now turn the call back to Vic to further discuss the current business environment. Thanks, Nancy."}, {"path": "tedlium_33969.wav", "duration": 6.06, "text": "possibly doing something which is not the optimal solution after the few"}, {"path": "tedlium_33970.wav", "duration": 6.06, "text": "there is a lot of publication and a lot of communication on those topics,"}, {"path": "tedlium_33971.wav", "duration": 6.06, "text": "has been introduced for the Swiss platform. And the vast majority of clients booked in Switzerland now"}, {"path": "tedlium_33972.wav", "duration": 6.06, "text": "In summary, the outside engineering studies and review affirmed our internal assessments."}, {"path": "tedlium_33973.wav", "duration": 6.06, "text": "you did mention that in some parts of AP, where you are present, you are kind of going a little slow, because it's cash economy."}, {"path": "tedlium_33974.wav", "duration": 6.06, "text": "We're on track with our target to receive late fourth quarter regulatory clearances for each product,"}, {"path": "tedlium_33975.wav", "duration": 6.06, "text": "Our performance benefited from continued improvements in our infrastructure and sales spend"}, {"path": "tedlium_33976.wav", "duration": 6.06, "text": "who continue to be an integral part of our efforts to drive change and ensure our successful transformation."}, {"path": "tedlium_33977.wav", "duration": 6.06, "text": "That is what we're experiencing at this time, and we can't say with certainty when our new initiative will gain traction."}, {"path": "tedlium_33978.wav", "duration": 6.06, "text": "and expand our operations into targeted regional territories, all of which will ultimately drive shareholder value."}, {"path": "tedlium_33979.wav", "duration": 6.06, "text": "by the safe harbor for forward-looking statements provided by the Private Securities Litigation Reform Act"}, {"path": "tedlium_33980.wav", "duration": 6.06, "text": "error rate providers would be referred to the RACs, which I don't believe we've had any referrals to date."}, {"path": "tedlium_33981.wav", "duration": 6.06, "text": "at 7%. Flat-rolled pricing has been under pressure for over a year now with"}, {"path": "tedlium_33982.wav", "duration": 6.06, "text": "This may seem like a silly question, but I'm kind of wondering what you think is"}, {"path": "tedlium_33983.wav", "duration": 6.06, "text": "giving them the flexibility and seamless experience that they expect and hope for when shopping online."}, {"path": "tedlium_33984.wav", "duration": 6.06, "text": "As George mentioned, the focus on improving cash flow is our company's top priority,"}, {"path": "tedlium_33985.wav", "duration": 6.06, "text": "of First Defense and any competing products out there, which seems very low."}, {"path": "tedlium_33986.wav", "duration": 6.0599375, "text": "down at WVO, as well as to a degree the opening of the new sales offices. Some of our sales offices"}, {"path": "tedlium_33987.wav", "duration": 6.0300625, "text": "working to help bring TMX much closer to our clients and enable us to build a better understanding of their needs."}, {"path": "tedlium_33988.wav", "duration": 6.0300625, "text": "In 3 months, we more than tripled the number of advertisers spending in our auction."}, {"path": "tedlium_33989.wav", "duration": 6.03, "text": "Thank you, Jim. I'll first discuss a review of the"}, {"path": "tedlium_33990.wav", "duration": 6.03, "text": "I think there's a lot of opportunity for that. I personally see some upside to our conservative guidance."}, {"path": "tedlium_33991.wav", "duration": 6.03, "text": "how orders get processed under Milestone C, which was a first time for going through that process for us."}, {"path": "tedlium_33992.wav", "duration": 6.03, "text": "We partnered with Special Situations Fund, a fund that we have a high degree of respect for."}, {"path": "tedlium_33993.wav", "duration": 6.03, "text": "So all of these large companies and I've mentioned by the way, those four companies in the session"}, {"path": "tedlium_33994.wav", "duration": 6.03, "text": "and then trade them on later on into cruise ships and so on. You can't do that if you miss sell"}, {"path": "tedlium_33995.wav", "duration": 6.03, "text": "And with that, I will turn the call over to Steven for some comments on our financial and operational results."}, {"path": "tedlium_33996.wav", "duration": 6.03, "text": "helps offset the elevated price environment. Let me walk you through a few recent transactions."}, {"path": "tedlium_33997.wav", "duration": 6.03, "text": "No, we do look at them together, Paul. And I think you're right on there in terms of your initial"}, {"path": "tedlium_33998.wav", "duration": 6.03, "text": "Or is it more really based that you think there's a much bigger opportunity for the group,"}, {"path": "tedlium_33999.wav", "duration": 6.03, "text": "by both executing our plan to approval and successfully competing in the marketplace."}, {"path": "tedlium_34000.wav", "duration": 6.03, "text": "We are spending a lot of time trying to figure out which assets are on the one hand"}, {"path": "tedlium_34001.wav", "duration": 6.03, "text": "Hatteras shareholders are urged to read these documents, as they may be amended from time to time,"}, {"path": "tedlium_34002.wav", "duration": 6.03, "text": "We fell behind. We didn't have new products. We didn't have the contacts to develop those new products,"}, {"path": "tedlium_34003.wav", "duration": 6.03, "text": "Those programs are obviously designed for remaining in place for a couple of years' time."}, {"path": "tedlium_34004.wav", "duration": 6.03, "text": "meaningful size for us and they've performed consistent with our modeling and"}, {"path": "tedlium_34005.wav", "duration": 6.03, "text": "We see this strength and consistency in new store performance"}, {"path": "tedlium_34006.wav", "duration": 6.03, "text": "He was instrumental in both creating and realizing the vision for Five Below,"}, {"path": "tedlium_34007.wav", "duration": 6.03, "text": "Given our recent announcements of strategic acquisitions, organic growth projects and other"}, {"path": "tedlium_34008.wav", "duration": 6.03, "text": "carbon market came down a little bit, but you're not seeing that as any kind of real change in trend?"}, {"path": "tedlium_34009.wav", "duration": 6.03, "text": "And from that perspective, we look forward to lots of folks signing up and using the card. But"}, {"path": "tedlium_34010.wav", "duration": 6.03, "text": "and review our key revenue growth area, marketing solutions and other services."}, {"path": "tedlium_34011.wav", "duration": 6.03, "text": "So as we continue to grow the parts of our portfolio that have better margin"}, {"path": "tedlium_34012.wav", "duration": 6.03, "text": "So the impact of the Cures Act was an immediate reimbursement cut"}, {"path": "tedlium_34013.wav", "duration": 6.03, "text": "are able to participate in the diagnostic process and be relevant to their"}, {"path": "tedlium_34014.wav", "duration": 6.03, "text": "We currently plan to maintain our capital at the level necessary to retain our current ratings."}, {"path": "tedlium_34015.wav", "duration": 6.03, "text": "is going to offset anything happening in Marketplace. So that's really where you should look for it."}, {"path": "tedlium_34016.wav", "duration": 6.03, "text": "our mega carry readiness have yet again proven to be right."}, {"path": "tedlium_34017.wav", "duration": 6.03, "text": "Yes, Scott. I feel really good about our liquidity position at the end of first quarter. If you think about where we were at the end of the year,"}, {"path": "tedlium_34018.wav", "duration": 6.03, "text": "In the midterm, we expect to leverage additional tech transfer resources"}, {"path": "tedlium_34019.wav", "duration": 6.03, "text": "In the past few years, it has been more difficult for existing products to achieve growth."}, {"path": "tedlium_34020.wav", "duration": 6.03, "text": "Owning generation assets is a necessity for a retail electricity provider of our size"}, {"path": "tedlium_34021.wav", "duration": 6.03, "text": "Intel notes that over 50% of the people who want to lose weight are looking for food that has low sugar."}, {"path": "tedlium_34022.wav", "duration": 6.03, "text": "has been the upward trend of guideline increases in our British Columbia and Ontario markets."}, {"path": "tedlium_34023.wav", "duration": 6.03, "text": "After a competitive process involving other cloud vendors, Five9 was selected for multiple reasons,"}, {"path": "tedlium_34024.wav", "duration": 6.03, "text": "into one network. So this is not a transaction where you value"}, {"path": "tedlium_34025.wav", "duration": 6.03, "text": "frankly, from when we started to actually get things done and usable. Now what we have"}, {"path": "tedlium_34026.wav", "duration": 6.03, "text": "and get ahead of the curve and dominate that market in the coming years. Now"}, {"path": "tedlium_34027.wav", "duration": 6.03, "text": "What we do need to do for them is go through those databases, though, and link up"}, {"path": "tedlium_34028.wav", "duration": 6.03, "text": "lots of annuitants are very difficult to be placed in the market because I mentioned"}, {"path": "tedlium_34029.wav", "duration": 6.03, "text": "new partners added to that side for this season."}, {"path": "tedlium_34030.wav", "duration": 6.03, "text": "with the deployment capability, we've expanded over the past quarter, that gives us a lot of confidence"}, {"path": "tedlium_34031.wav", "duration": 6.03, "text": "very convenient for people because they could get their order"}, {"path": "tedlium_34032.wav", "duration": 6.03, "text": "that it's an interesting phenomenon facing the civil works industry today,"}, {"path": "tedlium_34033.wav", "duration": 6.03, "text": "we are no longer seeking a risk-sharing collaborator to develop this product candidate prior to clinical entry."}, {"path": "tedlium_34034.wav", "duration": 6.03, "text": "One of the things that we tried to stress, and maybe I didn't do it well enough, is that"}, {"path": "tedlium_34035.wav", "duration": 6.03, "text": "This slide compares our Frozen Desserts business with the overall market."}, {"path": "tedlium_34036.wav", "duration": 6.03, "text": "I'm wondering if you could give us some idea of where rates would actually need to go"}, {"path": "tedlium_34037.wav", "duration": 6.03, "text": "with a broad selection of affordable course materials and operate as the official"}, {"path": "tedlium_34038.wav", "duration": 6.03, "text": "I would also say that given the fact that we have the ADITC extension,"}, {"path": "tedlium_34039.wav", "duration": 6.03, "text": "will put us in a favorable position once our additional capacity comes online."}, {"path": "tedlium_34040.wav", "duration": 6.03, "text": "Excluding this favorable tax benefit, our effective tax rate was a bit artificially high"}, {"path": "tedlium_34041.wav", "duration": 6.03, "text": "something -- if you're starting from the midpoint of the range, something higher than the midpoint of the range. But when"}, {"path": "tedlium_34042.wav", "duration": 6.03, "text": "The company undertakes no duty to update any forward-looking statements that are made during the course of this call."}, {"path": "tedlium_34043.wav", "duration": 6.03, "text": "And at the end of the day, our teams are compensated for their performance on a transaction."}, {"path": "tedlium_34044.wav", "duration": 6.03, "text": "to reward and recognize their dedication and contribution to making our business better and stronger."}, {"path": "tedlium_34045.wav", "duration": 6.03, "text": "At one point, we had 5 segments and it was very difficult to focus on what we needed to do."}, {"path": "tedlium_34046.wav", "duration": 6.03, "text": "the energy sale gain and a tax charge, both of which were realized at the very end of the fourth quarter."}, {"path": "tedlium_34047.wav", "duration": 6.03, "text": "are you seeing some of those potential Enterprise CRM customers look at NXT instead?"}, {"path": "tedlium_34048.wav", "duration": 6.03, "text": "that don't have a unique advantage today that really need some kind of relative competitive scale."}, {"path": "tedlium_34049.wav", "duration": 6.03, "text": "To close, we delivered a strong first quarter. It positioned us well for another year of durable growth."}, {"path": "tedlium_34050.wav", "duration": 6.03, "text": "So while the price points are lower than premium core scotch, the margins are still favorable."}, {"path": "tedlium_34051.wav", "duration": 6.03, "text": "Operating profit was marginally down as a result of planned investment in price to restore lost market share."}, {"path": "tedlium_34052.wav", "duration": 6.03, "text": "Although, Thai and Indian origin price dynamics is expected to impact category mix,"}, {"path": "tedlium_34053.wav", "duration": 6.03, "text": "into the business via our library and digital acquisition efforts."}, {"path": "tedlium_34054.wav", "duration": 6.03, "text": "be able to ensure 0 harm. We have a responsibility to our people"}, {"path": "tedlium_34055.wav", "duration": 6.03, "text": "Our outlook assumes that the current business transient trends continue for the balance of the year."}, {"path": "tedlium_34056.wav", "duration": 6.03, "text": "I'm going to provide some general perspective on the business as a whole and our reporting segments as to the third quarter."}, {"path": "tedlium_34057.wav", "duration": 6.03, "text": "to increase customers and increase the penetration of those customers, I think that's what we're seeing"}, {"path": "tedlium_34058.wav", "duration": 6.03, "text": "Or because that's lower than this year's originations, would you expect that to be on maybe the lower end of that range?"}, {"path": "tedlium_34059.wav", "duration": 6.03, "text": "an extensive discussion on this, on the different bills that will be passed through Congress."}, {"path": "tedlium_34060.wav", "duration": 6.03, "text": "the fact that with respect to the organizational restructuring that you still have the merchandising piece"}, {"path": "tedlium_34061.wav", "duration": 6.03, "text": "in a way that we mentioned to you that we selected customers we wanted to grow with. And by using"}, {"path": "tedlium_34062.wav", "duration": 6.03, "text": "You should not consider the presentation of this additional information in isolation or as a substitute for"}, {"path": "tedlium_34063.wav", "duration": 6.03, "text": "So to launch this process, we'll be asking our board to increase our second quarter regular dividend payout rate"}, {"path": "tedlium_34064.wav", "duration": 6.03, "text": "all of which are difficult or impossible to predict and may of which are beyond the company's control."}, {"path": "tedlium_34065.wav", "duration": 6.03, "text": "The revenue impact varies based on where we are in the term of each particular contract."}, {"path": "tedlium_34066.wav", "duration": 6.03, "text": "have a lot of initiatives going on there all at once. And the market's certainly not helping you out. But"}, {"path": "tedlium_34067.wav", "duration": 6.03, "text": "And three, our relationships with our plastic surgeon customers remain as strong as ever"}, {"path": "tedlium_34068.wav", "duration": 6.03, "text": "my reaction to the reception that we received in San Diego"}, {"path": "tedlium_34069.wav", "duration": 6.03, "text": "The company also produces a line of manual and electric material handling equipment marketed under the Lifter brand."}, {"path": "tedlium_34070.wav", "duration": 6.03, "text": "constant year-over-year, and we were hoping to see a little bit more of an increase, but I think the reality is setting in that"}, {"path": "tedlium_34071.wav", "duration": 6.03, "text": "Also as a reminder, our dividend is largely based on the performance of our managed operations."}, {"path": "tedlium_34072.wav", "duration": 6.03, "text": "and automating and streamlining many aspects of our production processes, billings and other functions."}, {"path": "tedlium_34073.wav", "duration": 6.03, "text": "explain the regulatory approvals that are required under the arrangement agreement?"}, {"path": "tedlium_34074.wav", "duration": 6.03, "text": "We've chosen to acquire additional land to provide flexibility for future expansion."}, {"path": "tedlium_34075.wav", "duration": 6.03, "text": "early on in the year, even though it's a smaller part of the volume of the market and a tiny part of price."}, {"path": "tedlium_34076.wav", "duration": 6.03, "text": "We hope our investor presentation on our website and that call answered any questions that you have"}, {"path": "tedlium_34077.wav", "duration": 6.03, "text": "credit quality is the primary reason we believe that we have such a unique value proposition."}, {"path": "tedlium_34078.wav", "duration": 6.03, "text": "This was on top of a long list of innovations we have already introduced in previous years."}, {"path": "tedlium_34079.wav", "duration": 6.03, "text": "many of the customers pay up. And that's not the case when it used to be when they get seriously delinquent in the past."}, {"path": "tedlium_34080.wav", "duration": 6.03, "text": "investors looking for ways to diversify their duration and exposure, to reduce their duration exposure"}, {"path": "tedlium_34081.wav", "duration": 6.03, "text": "feel those 2 teams are working together, and that may have an impact on where you see us source from in the future. But"}, {"path": "tedlium_34082.wav", "duration": 6.03, "text": "We are taking share in this important segment of the market, leveraging the full breadth of our solutions,"}, {"path": "tedlium_34083.wav", "duration": 6.03, "text": "And we're going to continue to be disciplined and patient about our capital allocation. Thank you."}, {"path": "tedlium_34084.wav", "duration": 6.03, "text": "along with that from GE Capital and feel very good about the prospects of that business as we look into"}, {"path": "tedlium_34085.wav", "duration": 6.03, "text": "Our emphasis on improving economic profitability as an organization is proving"}, {"path": "tedlium_34086.wav", "duration": 6.03, "text": "which was driven largely by the continued conversion of new customer accounts onto our cloud solutions."}, {"path": "tedlium_34087.wav", "duration": 6.03, "text": "We will continue to acquire and expand our footprint."}, {"path": "tedlium_34088.wav", "duration": 6.03, "text": "the channel mix you have for the individual products, and that will evolve over time."}, {"path": "tedlium_34089.wav", "duration": 6.03, "text": "And we believe Knife River operations in California are well positioned to benefit from this bill."}, {"path": "tedlium_34090.wav", "duration": 6.03, "text": "to service Anthem's patients or our commitment to renew the contract at the end of the term."}, {"path": "tedlium_34091.wav", "duration": 6.03, "text": "As Eric noted, our financial results are strong, and we have a great foundation upon which to build."}, {"path": "tedlium_34092.wav", "duration": 6.03, "text": "The conference is now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_34093.wav", "duration": 6.03, "text": "In the first 9 months of 2017, we have nearly achieved those results and anticipate"}, {"path": "tedlium_34094.wav", "duration": 6.03, "text": "from an entrepreneurial work at your home. So we're able to keep our"}, {"path": "tedlium_34095.wav", "duration": 6.03, "text": "rewarding them faster and building and strengthening future sales leadership."}, {"path": "tedlium_34096.wav", "duration": 6.03, "text": "let's say, confident as well that we found a way that we can grow in the future"}, {"path": "tedlium_34097.wav", "duration": 6.03, "text": "to achieve or evoke whatever therapeutic response they're after. So I think over the next several quarters"}, {"path": "tedlium_34098.wav", "duration": 6.03, "text": "And when those are live, because they're in SKY, there is no integration work to do"}, {"path": "tedlium_34099.wav", "duration": 6.03, "text": "Before we begin the conference, let me give you some reminders. In the briefing, future projections"}, {"path": "tedlium_34100.wav", "duration": 6.03, "text": "On a non-GAAP adjusted basis, after adjusting for expenses related to the impairment of intangibles"}, {"path": "tedlium_34101.wav", "duration": 6.03, "text": "And of course, we are responding to the tense market situation by constantly adjusting"}, {"path": "tedlium_34102.wav", "duration": 6.03, "text": "operating margins at some point. Is that the way to characterize what's about to happen? Or is it"}, {"path": "tedlium_34103.wav", "duration": 6.03, "text": "This negatively impacted capital sales and device installations early in the year."}, {"path": "tedlium_34104.wav", "duration": 6.03, "text": "Higher costs in these plants have offset our productivity gains and impacted or margins."}, {"path": "tedlium_34105.wav", "duration": 6.03, "text": "So we want to make sure that we have sort of price-competitive that we've got equipment on hand going into the"}, {"path": "tedlium_34106.wav", "duration": 6.03, "text": "what meets the FERC definition of maintenance, and then everything else goes into other, except for fuel."}, {"path": "tedlium_34107.wav", "duration": 6.03, "text": "have created a foundation to a successful turnaround of Digital Services."}, {"path": "tedlium_34108.wav", "duration": 6.03, "text": "there, we always wanted to maximize our ownership stake without providing more capital actually"}, {"path": "tedlium_34109.wav", "duration": 6.03, "text": "Do you think it has to be a part of like an executive action or is this a part of a larger infrastructure bill?"}, {"path": "tedlium_34110.wav", "duration": 6.03, "text": "All of our categories continue to post positive organic revenue growth."}, {"path": "tedlium_34111.wav", "duration": 6.03, "text": "Third, we look for acquisitions to be accretive by their second full year with us"}, {"path": "tedlium_34112.wav", "duration": 6.03, "text": "A transcript of this conference call will be added to our Website and the IR app within the next"}, {"path": "tedlium_34113.wav", "duration": 6.03, "text": "As we indicated earlier in the call, we are extraordinarily focused on managing expenses in this challenging revenue environment."}, {"path": "tedlium_34114.wav", "duration": 6.03, "text": "Of course, our future burn rate will be dependent on whether we partner the D5 technology"}, {"path": "tedlium_34115.wav", "duration": 6.03, "text": "and we are now seeing the kind of activity levels we have been hoping for since the first of the year."}, {"path": "tedlium_34116.wav", "duration": 6.03, "text": "But on the other end of the spectrum, to some degree, is Europe. Now Europe is"}, {"path": "tedlium_34117.wav", "duration": 6.03, "text": "some of the opportunities that are coming together. We needed to build out more of our"}, {"path": "tedlium_34118.wav", "duration": 6.03, "text": "The key elements of our transformation plan are simplifying our company,"}, {"path": "tedlium_34119.wav", "duration": 6.03, "text": "West Coast of Africa and Indonesia, to name a few of them."}, {"path": "tedlium_34120.wav", "duration": 6.03, "text": "I think, not just our industry, but everybody in the country has seen a deterioration of rail services"}, {"path": "tedlium_34121.wav", "duration": 6.03, "text": "and our efforts to expand distribution are working well, particularly in Asia."}, {"path": "tedlium_34122.wav", "duration": 6.03, "text": "And that's been a disappointment in the second quarter, and we certainly revised our outlook for the rest of the"}, {"path": "tedlium_34123.wav", "duration": 6.03, "text": "the way that the quarter unfolded. And so certainly, this was part of what"}, {"path": "tedlium_34124.wav", "duration": 6.03, "text": "I never whine to just enjoy a good thing, I will remind you that this growth comes at a price"}, {"path": "tedlium_34125.wav", "duration": 6.03, "text": "Should we assume that is a reasonable quarter as a baseline?"}, {"path": "tedlium_34126.wav", "duration": 6.03, "text": "we've included new information that we felt would be useful to the users of our financial statements,"}, {"path": "tedlium_34127.wav", "duration": 6.03, "text": "to leverage our leadership in multiple sclerosis, to capture broad opportunities in neuroscience."}, {"path": "tedlium_34128.wav", "duration": 6.03, "text": "acceleration of the effort which bodes well for competitiveness. It just happened to be that we had to fix this"}, {"path": "tedlium_34129.wav", "duration": 6.03, "text": "Both rental demand and utilization trends have been positive for the first few weeks of October."}, {"path": "tedlium_34130.wav", "duration": 6.03, "text": "And so when you talk about the accounts being fixed or at least the new one,"}, {"path": "tedlium_34131.wav", "duration": 6.03, "text": "And how many deals are you working on at the moment? So we have"}, {"path": "tedlium_34132.wav", "duration": 6.03, "text": "Our expectation is that over time we will generate a higher level of revenues in China"}, {"path": "tedlium_34133.wav", "duration": 6.03, "text": "Over the years, we have continued to incur losses in transitioning the retail network."}, {"path": "tedlium_34134.wav", "duration": 6.0299375, "text": "love working with Five Below, love the opportunity to really grow their business as our business is growing."}, {"path": "tedlium_34135.wav", "duration": 6.0299375, "text": "leading to a 20 basis point improvement in our operating margin during the fourth quarter."}, {"path": "tedlium_34136.wav", "duration": 6.0, "text": "and we've got the distribution and we have the right advertising, we should be able to do that with"}, {"path": "tedlium_34137.wav", "duration": 6.0, "text": "in order to enable investors to better understand and assess our continuing core operating results."}, {"path": "tedlium_34138.wav", "duration": 6.0, "text": "And if you could give any sort of update on what you've seen there if that is possible to measure."}, {"path": "tedlium_34139.wav", "duration": 6.0, "text": "who will take you through our upcoming priorities, along with our business and funding plans going forward."}, {"path": "tedlium_34140.wav", "duration": 6.0, "text": "We will continue on Will's side of the world to grow our Energy Coal franchise,"}, {"path": "tedlium_34141.wav", "duration": 6.0, "text": "the thing that's materially different from before the downturn a couple of years ago, and now is"}, {"path": "tedlium_34142.wav", "duration": 6.0, "text": "where Huawei before internalized a lot of the production of TOSAs and transceivers and things,"}, {"path": "tedlium_34143.wav", "duration": 6.0, "text": "I want to again thank our employees around the globe for their hard work this quarter."}, {"path": "tedlium_34144.wav", "duration": 6.0, "text": "as we presented last year, when we started last year, there was no J code"}, {"path": "tedlium_34145.wav", "duration": 6.0, "text": "So they are linear in the way they are done, so you shouldn't read anything into that."}, {"path": "tedlium_34146.wav", "duration": 6.0, "text": "That completes my review for the quarter. And I'll now turn it back over to Jack for some additional comments."}, {"path": "tedlium_34147.wav", "duration": 6.0, "text": "are kind of in and around some of those. I think that what we see though is the opportunity internationally,"}, {"path": "tedlium_34148.wav", "duration": 6.0, "text": "And we wanted to also work with our customers to minimize the burden"}, {"path": "tedlium_34149.wav", "duration": 6.0, "text": "We've been expanding our presence and drive both markets and brand penetration."}, {"path": "tedlium_34150.wav", "duration": 6.0, "text": "This plant meets a critical need for additional processing capacity and is currently running near capacity."}, {"path": "tedlium_34151.wav", "duration": 6.0, "text": "Either the overall valuation or execution of something more strategic in nature"}, {"path": "tedlium_34152.wav", "duration": 6.0, "text": "protecting the resources and technology resources around NPI was critical to us"}, {"path": "tedlium_34153.wav", "duration": 6.0, "text": "I said how do you know we're not going to get it again. I said that they liked us last year, they'll love us this year."}, {"path": "tedlium_34154.wav", "duration": 6.0, "text": "What do you think drove that increase? That's my first question."}, {"path": "tedlium_34155.wav", "duration": 6.0, "text": "funding directly some of the energy efficiency measures, actually it slowed down the process"}, {"path": "tedlium_34156.wav", "duration": 6.0, "text": "And all the initiatives I've talked about on every call have been setting us up to have a great December."}, {"path": "tedlium_34157.wav", "duration": 6.0, "text": "to accelerate growth that are still being consumed by buyers of active"}, {"path": "tedlium_34158.wav", "duration": 6.0, "text": "We have completed our first round of investments now in Belgrade. We were down there last week -- 2 weeks ago"}, {"path": "tedlium_34159.wav", "duration": 6.0, "text": "and he can also answer, but I will answer on his behalf. So regarding the normalized level of their"}, {"path": "tedlium_34160.wav", "duration": 6.0, "text": "having history, are important and the reason that they're important are a couple fold. One is"}, {"path": "tedlium_34161.wav", "duration": 6.0, "text": "A portion of revenue associated with new and expansion unit shipment was deferred"}, {"path": "tedlium_34162.wav", "duration": 6.0, "text": "Interest expense declined versus prior year due to the impact of our recent refinancing."}, {"path": "tedlium_34163.wav", "duration": 6.0, "text": "then the key is volume. If you have the volume, then you can offer more lower cost."}, {"path": "tedlium_34164.wav", "duration": 6.0, "text": "there is an opportunity for NOV Tuboscope to inspect the pipe to assure its new owner that it is fit for purpose."}, {"path": "tedlium_34165.wav", "duration": 6.0, "text": "Operating cash flow grew for the eighth straight year,"}, {"path": "tedlium_34166.wav", "duration": 6.0, "text": "Our teams have been working very hard, and I'm incredibly proud of them and the work that they're doing."}, {"path": "tedlium_34167.wav", "duration": 6.0, "text": "It is now my pleasure to turn the conference over to your host, Mr. Doug VanOort. Please begin."}, {"path": "tedlium_34168.wav", "duration": 6.0, "text": "The remaining net assets reflected on the balance sheet related to discontinued operations"}, {"path": "tedlium_34169.wav", "duration": 6.0, "text": "conservatism in guidance right now? Or did some of the cost improvements in Ohio and Texas"}, {"path": "tedlium_34170.wav", "duration": 6.0, "text": "right around where we expected it to. The new news, which I covered"}, {"path": "tedlium_34171.wav", "duration": 6.0, "text": "We continue to forecast"}, {"path": "tedlium_34172.wav", "duration": 6.0, "text": "this year, the Dynasil management took a look at the time that we've invested"}, {"path": "tedlium_34173.wav", "duration": 6.0, "text": "What essentially happened in the Contract Research business in 2016 was"}, {"path": "tedlium_34174.wav", "duration": 6.0, "text": "but that was set up for the early 2020s, knowing that we've got a number of products to launch in the next"}, {"path": "tedlium_34175.wav", "duration": 6.0, "text": "Most of it's equipment. There are a few property sales in there, but those are the minority of that. Most of that is"}, {"path": "tedlium_34176.wav", "duration": 6.0, "text": "that will provide us an opportunity to further increase our generic product revenues."}, {"path": "tedlium_34177.wav", "duration": 6.0, "text": "it's simply a matter of time for things to come into place. Also, like I said,"}, {"path": "tedlium_34178.wav", "duration": 6.0, "text": "the additional capacity measures are taken to absorb the daily swings in volume."}, {"path": "tedlium_34179.wav", "duration": 6.0, "text": "provide our gaming customers with tremendous operational and cash efficiency."}, {"path": "tedlium_34180.wav", "duration": 6.0, "text": "We are fortunate that our large OEM customers in the Ag market are performing well."}, {"path": "tedlium_34181.wav", "duration": 6.0, "text": "Consumer sliding profitability upwards which then is reflected also on the"}, {"path": "tedlium_34182.wav", "duration": 6.0, "text": "spot cases here and there of having to take some pricing actions. But the broad"}, {"path": "tedlium_34183.wav", "duration": 6.0, "text": "Otherwise, the year-to-date changes were either anticipated in our original forecast"}, {"path": "tedlium_34184.wav", "duration": 6.0, "text": "and we think that opportunity is going to continue to grow. It"}, {"path": "tedlium_34185.wav", "duration": 6.0, "text": "Today's results reflect another solid quarter and a strong finish to the year."}, {"path": "tedlium_34186.wav", "duration": 6.0, "text": "with the goal to drive incremental sales for our distributors and provide a healthier option for their customers."}, {"path": "tedlium_34187.wav", "duration": 6.0, "text": "everyone is pulling in the same direction. And as we do so, I expect our best days are ahead."}, {"path": "tedlium_34188.wav", "duration": 6.0, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_34189.wav", "duration": 6.0, "text": "On an organic basis, after adjusting for the impact of the new revenue recognition standard,"}, {"path": "tedlium_34190.wav", "duration": 6.0, "text": "and looking forward, give us confidence in our ability to effectively scale the business."}, {"path": "tedlium_34191.wav", "duration": 6.0, "text": "getting involved in the efficiency of truck movements because we think that's the real big important part of this."}, {"path": "tedlium_34192.wav", "duration": 6.0, "text": "At the end, net-net, it ends up being a relatively stable kind of flat environment."}, {"path": "tedlium_34193.wav", "duration": 6.0, "text": "and we are evaluating the Woodford and other formations in this emerging Arkoma STACK play."}, {"path": "tedlium_34194.wav", "duration": 6.0, "text": "And just wanted to get a sense for with the added capital generation power,"}, {"path": "tedlium_34195.wav", "duration": 6.0, "text": "which is a brand-new information is that we have just signed an agreement"}, {"path": "tedlium_34196.wav", "duration": 6.0, "text": "This is due to the higher upfront marketing expenses and provision for loan losses in such a scenario."}, {"path": "tedlium_34197.wav", "duration": 6.0, "text": "Today's discussion of organic growth represents the year-on-year change for the entire company on a constant currency basis."}, {"path": "tedlium_34198.wav", "duration": 6.0, "text": "With strength in our more moderate Department Store Group, we performed extremely well given market conditions,"}, {"path": "tedlium_34199.wav", "duration": 6.0, "text": "we will start seeing or hearing or having questions coming back and forth on those applications."}, {"path": "tedlium_34200.wav", "duration": 6.0, "text": "new things that we can bring to the benefit of the shareholders at Ares Capital Corporation,"}, {"path": "tedlium_34201.wav", "duration": 6.0, "text": "When you think of increasing internal leverage, is that going to go into its own"}, {"path": "tedlium_34202.wav", "duration": 6.0, "text": "Before we leave retail, I'll provide a brief update on industry regulation."}, {"path": "tedlium_34203.wav", "duration": 6.0, "text": "Sales of road safety products in U.S. increased modestly during the quarter over the same period last year."}, {"path": "tedlium_34204.wav", "duration": 6.0, "text": "that, we haven't been hit by that because our energy switching is not dependent on one-off events like"}, {"path": "tedlium_34205.wav", "duration": 6.0, "text": "So our former American Chartered bankers were doing the right thing in helping their clients through the integration."}, {"path": "tedlium_34206.wav", "duration": 6.0, "text": "and we did come out strong early season with great promotions."}, {"path": "tedlium_34207.wav", "duration": 6.0, "text": "In Q2, we've continued to demonstrate our ability to efficiently operate"}, {"path": "tedlium_34208.wav", "duration": 6.0, "text": "We think that if we would have to do this without our own"}, {"path": "tedlium_34209.wav", "duration": 6.0, "text": "and the margin normalization in Spain related to the increase in power purchase costs"}, {"path": "tedlium_34210.wav", "duration": 6.0, "text": "if you get below that level, that leaves you some room to start addressing the dividend?"}, {"path": "tedlium_34211.wav", "duration": 6.0, "text": "We have refined our business model to reduce management layers and accelerate decision making,"}, {"path": "tedlium_34212.wav", "duration": 6.0, "text": "We were also better able to flow in our spring transitional goods. As a result,"}, {"path": "tedlium_34213.wav", "duration": 6.0, "text": "The first of our 5 strategies is what we call integrated and open solutions in the cloud."}, {"path": "tedlium_34214.wav", "duration": 6.0, "text": "and these incredible results are because of our relentless focus on customer success."}, {"path": "tedlium_34215.wav", "duration": 6.0, "text": "Yet your guidance for next year really hasn't changed that much and almost implied like a"}, {"path": "tedlium_34216.wav", "duration": 6.0, "text": "what do you see on the market following the launch of the Alliance offer"}, {"path": "tedlium_34217.wav", "duration": 6.0, "text": "And then, we're starting to make investments in things like data"}, {"path": "tedlium_34218.wav", "duration": 6.0, "text": "and we currently have a pending application for new market tax credits."}, {"path": "tedlium_34219.wav", "duration": 6.0, "text": "This is the annual meeting of the nation's pathologists scheduled for September in Las Vegas."}, {"path": "tedlium_34220.wav", "duration": 6.0, "text": "interested in looking of what is going to be the announcement, which will come out"}, {"path": "tedlium_34221.wav", "duration": 6.0, "text": "really enjoys that, having the extra product portfolio. And the same is true with"}, {"path": "tedlium_34222.wav", "duration": 6.0, "text": "Over the past few years, we've laid out our vision to be the best snacking company in the world."}, {"path": "tedlium_34223.wav", "duration": 6.0, "text": "and we expect to reach more than 500 markets by the end of the year."}, {"path": "tedlium_34224.wav", "duration": 6.0, "text": "To better understand these risk factors, please refer to the documents that SciClone filed"}, {"path": "tedlium_34225.wav", "duration": 6.0, "text": "Well, there's a couple of things that I would say there. One is that in most of the countries we operate in,"}, {"path": "tedlium_34226.wav", "duration": 6.0, "text": "differentiated and compelling capability and drive that into the market with passion."}, {"path": "tedlium_34227.wav", "duration": 6.0, "text": "The team continues to execute a strategy with financial discipline. We expect"}, {"path": "tedlium_34228.wav", "duration": 6.0, "text": "But I believe we are in a strong position to capitalize on our Lithium Ion battery technology,"}, {"path": "tedlium_34229.wav", "duration": 6.0, "text": "and as a company, that you're not overly leverage by any single movement within the market."}, {"path": "tedlium_34230.wav", "duration": 6.0, "text": "both representing historically strong numbers, but down from projections just a couple months ago."}, {"path": "tedlium_34231.wav", "duration": 6.0, "text": "There can be no assurant that our -- assurance that our beliefs or expectations will be achieved."}, {"path": "tedlium_34232.wav", "duration": 6.0, "text": "In addition, our new MUSCLE MILK bars have been well received in the marketplace."}, {"path": "tedlium_34233.wav", "duration": 6.0, "text": "Symphony Health for a long time kind of correlated with EXPAREL and then"}, {"path": "tedlium_34234.wav", "duration": 6.0, "text": "prospecting. So I think for us, this is all about leverage now, and we see a very distinct"}, {"path": "tedlium_34235.wav", "duration": 6.0, "text": "result from our managed operations and solid organic capital generation"}, {"path": "tedlium_34236.wav", "duration": 6.0, "text": "So if we look at what that means in terms of our operating cash flow numbers."}, {"path": "tedlium_34237.wav", "duration": 6.0, "text": "both our peak frequency and capacity share in markets like the Sydney market. So"}, {"path": "tedlium_34238.wav", "duration": 6.0, "text": "things are moving slowly. One of the things we thought would be that a lot of the folks that haven't done things the right way"}, {"path": "tedlium_34239.wav", "duration": 6.0, "text": "introduction of the low sulphur that implementation we have seen and also the"}, {"path": "tedlium_34240.wav", "duration": 6.0, "text": "then obviously it's going to get pushed out from there. So in all honesty, until we have some experience,"}, {"path": "tedlium_34241.wav", "duration": 6.0, "text": "yes, I mean, our associates and our managers have done an extremely good job in the first half"}, {"path": "tedlium_34242.wav", "duration": 6.0, "text": "We have a long-term agreement in place today with First Data that includes pricing and service level agreements and so on."}, {"path": "tedlium_34243.wav", "duration": 6.0, "text": "we feel good about our volume growth that we had. You see the headline looking at overall Americas."}, {"path": "tedlium_34244.wav", "duration": 6.0, "text": "While I'm proud of Diageo's track record in this area, there is more we can do."}, {"path": "tedlium_34245.wav", "duration": 6.0, "text": "Before we move on to questions, I want to thank our employees for their commitment to Groupon and for embracing our strategy."}, {"path": "tedlium_34246.wav", "duration": 6.0, "text": "And also, just touch on the issue of this year's seaweed outbreak in the region."}, {"path": "tedlium_34247.wav", "duration": 6.0, "text": "So okay, I will stop here and conclude by saying we feel very good about where we are."}, {"path": "tedlium_34248.wav", "duration": 6.0, "text": "I think it serves as confirmation around our capital requirements, what we said about that for both the"}, {"path": "tedlium_34249.wav", "duration": 6.0, "text": "Kevin will begin with the legal disclaimer, and then I will summarize the operating results for each of the operating units."}, {"path": "tedlium_34250.wav", "duration": 6.0, "text": "competitive bankruptcy at the end of last year, and you mentioned some of the attrition in China this year. If we have another year"}, {"path": "tedlium_34251.wav", "duration": 6.0, "text": "Well, thanks again for joining us today. We wish all of the Happy Thanksgiving"}, {"path": "tedlium_34252.wav", "duration": 6.0, "text": "I think provides a huge opportunity for us. OTT is clearly"}, {"path": "tedlium_34253.wav", "duration": 6.0, "text": "don't exist with a lot of the local suppliers. And that's why the market is"}, {"path": "tedlium_34254.wav", "duration": 6.0, "text": "and we like what we've got and we'll continue to look for ways to"}, {"path": "tedlium_34255.wav", "duration": 6.0, "text": "How does it work with each other? And what is the additional benefit that you get because of this framework?"}, {"path": "tedlium_34256.wav", "duration": 6.0, "text": "the way I'm reading it, that certainly has played a role. And as soon as you"}, {"path": "tedlium_34257.wav", "duration": 6.0, "text": "We now cover approximately 11 point million lives in our medical pharmacy program."}, {"path": "tedlium_34258.wav", "duration": 6.0, "text": "These attributes are ideal for memory applications, which require faster performance"}, {"path": "tedlium_34259.wav", "duration": 6.0, "text": "Maybe just walk through some of the biggest moving parts in terms of that step-up, please?"}, {"path": "tedlium_34260.wav", "duration": 6.0, "text": "opportunity with it, and with that comes more opportunity. So we feel good about the opportunities in front of us,"}, {"path": "tedlium_34261.wav", "duration": 6.0, "text": "So we have built into our plan some disruption"}, {"path": "tedlium_34262.wav", "duration": 6.0, "text": "We begin this call by reviewing our results for the third quarter and our guidance for the fourth quarter."}, {"path": "tedlium_34263.wav", "duration": 6.0, "text": "As a result, we have continued to maintain a very strong balance sheet and are pleased to reward our shareholders"}, {"path": "tedlium_34264.wav", "duration": 6.0, "text": "The second one was the question to see if this domestic traffic"}, {"path": "tedlium_34265.wav", "duration": 6.0, "text": "During today's call, we will make certain forward-looking statements as defined by the Federal Security laws."}, {"path": "tedlium_34266.wav", "duration": 6.0, "text": "in line with the segment profitability we see? Just general color in the China business would be nice. Well,"}, {"path": "tedlium_34267.wav", "duration": 6.0, "text": "And we have an intercompany money pool that allows us to move money around to where it's needed."}, {"path": "tedlium_34268.wav", "duration": 6.0, "text": "as a result of the increase in LIBOR. If you look at our"}, {"path": "tedlium_34269.wav", "duration": 6.0, "text": "The next step that we're going to do is just in a couple of weeks, doing the same thing,"}, {"path": "tedlium_34270.wav", "duration": 6.0, "text": "is covered under the safe harbor provisions of the Private Securities Litigation Reform Act."}, {"path": "tedlium_34271.wav", "duration": 6.0, "text": "that doesn't mean that the shareholders will decide to distribute the entire balance of the reserve."}, {"path": "tedlium_34272.wav", "duration": 6.0, "text": "My thanks goes to our highly effective team, who threw themselves into the massive challenge"}, {"path": "tedlium_34273.wav", "duration": 6.0, "text": "it's been only half a month, so I can't say anything definitively."}, {"path": "tedlium_34274.wav", "duration": 6.0, "text": "even fairly right on what the penetration rate can or should be,"}, {"path": "tedlium_34275.wav", "duration": 6.0, "text": "In addition, we expect to discuss certain financial measures and information that are non-GAAP financial measures"}, {"path": "tedlium_34276.wav", "duration": 6.0, "text": "is going to be also dependent on our ability to execute new contracts. And we have a number of opportunities that we're pursuing"}, {"path": "tedlium_34277.wav", "duration": 6.0, "text": "I think what happens is what happens to the competition for the deposits in the banking system."}, {"path": "tedlium_34278.wav", "duration": 6.0, "text": "We anticipate the full company revenue for Q2 is likely to be 7% to 11% higher"}, {"path": "tedlium_34279.wav", "duration": 6.0, "text": "in the second quarter from the good start 2016. One of the key reasons"}, {"path": "tedlium_34280.wav", "duration": 6.0, "text": "In line with the previous quarter, the depreciation and amortization expenses"}, {"path": "tedlium_34281.wav", "duration": 6.0, "text": "much of that deferred volume back to market at a much stronger pricing. So we're happy to"}, {"path": "tedlium_34282.wav", "duration": 6.0, "text": "and most recently by a health technology assessment report published by NICE"}, {"path": "tedlium_34283.wav", "duration": 6.0, "text": "based on the pilot results, even with a smaller set of subjects"}, {"path": "tedlium_34284.wav", "duration": 6.0, "text": "We believe these investments will give us a strategic advantage and support our customer needs."}, {"path": "tedlium_34285.wav", "duration": 6.0, "text": "by the holiday shift and resulting closures of branches on Christmas Eve and New Year's Eve."}, {"path": "tedlium_34286.wav", "duration": 6.0, "text": "that as we shrink the size of the group, we actually shrink the size of the organization accordingly."}, {"path": "tedlium_34287.wav", "duration": 6.0, "text": "there is a moderate optimism in the domestic market."}, {"path": "tedlium_34288.wav", "duration": 6.0, "text": "it's not significant, but nonetheless, it's visible -- how that might or might not be"}, {"path": "tedlium_34289.wav", "duration": 6.0, "text": "in other cases similar to that, you see that you have to have -- we adopted"}, {"path": "tedlium_34290.wav", "duration": 6.0, "text": "and have completed changes in our sales management structure, which I fully expect"}, {"path": "tedlium_34291.wav", "duration": 6.0, "text": "which is somewhat impacted by the continuing suspension of drilling in Mid-Continent during the sales process."}, {"path": "tedlium_34292.wav", "duration": 6.0, "text": "that the prices we'll get for this will allow us to essentially pay off all the existing lenders"}, {"path": "tedlium_34293.wav", "duration": 6.0, "text": "but our early observations support the thesis behind the new architecture and the many growth opportunities that it provides."}, {"path": "tedlium_34294.wav", "duration": 6.0, "text": "Second, we are very pleased with the favorable outcome of the IPR proceeding"}, {"path": "tedlium_34295.wav", "duration": 6.0, "text": "to have a direct and meaningful impact on the performance of the roughly 13 stores that each of them oversee."}, {"path": "tedlium_34296.wav", "duration": 6.0, "text": "We look forward to bringing our team together and the efficiencies of our new office."}, {"path": "tedlium_34297.wav", "duration": 6.0, "text": "We are definitely interested in pushing the edge of the scientific frontier in addiction"}, {"path": "tedlium_34298.wav", "duration": 6.0, "text": "and have direct discussions. But that's probably later this year, early '19 before we engage in that."}, {"path": "tedlium_34299.wav", "duration": 6.0, "text": "Yes. So we don't have -- so I just want to make sure I understand the question. So"}, {"path": "tedlium_34300.wav", "duration": 6.0, "text": "engaging with customers and prospects in regional channel partners from Asia, Latin America and Europe,"}, {"path": "tedlium_34301.wav", "duration": 5.9700625, "text": "you have told us that there will be an increase,"}, {"path": "tedlium_34302.wav", "duration": 5.9700625, "text": "it's a combination of all those variables that has underpinned that result."}, {"path": "tedlium_34303.wav", "duration": 5.97, "text": "to break that down and give you a sense, we tend to go off of"}, {"path": "tedlium_34304.wav", "duration": 5.97, "text": "Outside of hematology, we continue to make strong progress in the neuromuscular and pulmonary programs."}, {"path": "tedlium_34305.wav", "duration": 5.97, "text": "this is an interesting program that we have an ability and expertise in."}, {"path": "tedlium_34306.wav", "duration": 5.97, "text": "categorized as unusual, nonrecurring and outside of the"}, {"path": "tedlium_34307.wav", "duration": 5.97, "text": "Finally, we will aim to line how we report the market with the way we run the business."}, {"path": "tedlium_34308.wav", "duration": 5.97, "text": "you think about the incremental cost of funds for Triangle as we"}, {"path": "tedlium_34309.wav", "duration": 5.97, "text": "We also recently added a meaningful piece of new business, which begins this sailing season."}, {"path": "tedlium_34310.wav", "duration": 5.97, "text": "renewable energy and our social commitments, some of these highlights you can see on the chart."}, {"path": "tedlium_34311.wav", "duration": 5.97, "text": "led by our field leaders. Our teams are more aligned than ever on the priorities for 2017, and"}, {"path": "tedlium_34312.wav", "duration": 5.97, "text": "as you have displaced residents and you have responders"}, {"path": "tedlium_34313.wav", "duration": 5.97, "text": "has impacted all the channels in the organization. But I'll talk to that before I close."}, {"path": "tedlium_34314.wav", "duration": 5.97, "text": "Good afternoon. My name is Christina, and I will be your conference operator today."}, {"path": "tedlium_34315.wav", "duration": 5.97, "text": "Due to quiet period restrictions, we will not be able to comment on the secondary offering on today's call."}, {"path": "tedlium_34316.wav", "duration": 5.97, "text": "This is due to a reduction in the forecast for Services outside Japan."}, {"path": "tedlium_34317.wav", "duration": 5.97, "text": "As always, we look forward to updating you on our progress when we report again."}, {"path": "tedlium_34318.wav", "duration": 5.97, "text": "on one hand, the increase of the capacity of our German facilities and"}, {"path": "tedlium_34319.wav", "duration": 5.97, "text": "This mindset will be critical to our future success. I will now turn it over to Tom."}, {"path": "tedlium_34320.wav", "duration": 5.97, "text": "New cobranded credit cards from Chase and Amex should enrich guest loyalty even further."}, {"path": "tedlium_34321.wav", "duration": 5.97, "text": "Our strategy of building a company that brings to market oral drugs for rare diseases is coming together."}, {"path": "tedlium_34322.wav", "duration": 5.97, "text": "Our discipline as well as the realization of our additional synergies allowed us to keep"}, {"path": "tedlium_34323.wav", "duration": 5.97, "text": "For the second quarter in a row, I want to begin by congratulating and thanking our associates."}, {"path": "tedlium_34324.wav", "duration": 5.97, "text": "So yes, I'm excited about the prospects of the company, and I believe that"}, {"path": "tedlium_34325.wav", "duration": 5.97, "text": "We are confident that we have turned the corner in this segment and that we are on the right path."}, {"path": "tedlium_34326.wav", "duration": 5.97, "text": "In the remaining time that we have, we may entertain one last question."}, {"path": "tedlium_34327.wav", "duration": 5.97, "text": "So we should see the effective tax rate coming down starting next financial year."}, {"path": "tedlium_34328.wav", "duration": 5.97, "text": "And we also expect to be able to convert the sub,"}, {"path": "tedlium_34329.wav", "duration": 5.97, "text": "How do we weigh that -- how should we weight that in terms of assuming"}, {"path": "tedlium_34330.wav", "duration": 5.97, "text": "those people that already have our products and know the reliability of our products."}, {"path": "tedlium_34331.wav", "duration": 5.97, "text": "we refer to our financial results. Here, we still see"}, {"path": "tedlium_34332.wav", "duration": 5.97, "text": "We've won 7 units in total, and we expect them all to open later this year."}, {"path": "tedlium_34333.wav", "duration": 5.97, "text": "Let me start by thanking our team for delivering first half results, which met the midpoint of our guidance"}, {"path": "tedlium_34334.wav", "duration": 5.97, "text": "in my earlier comments and we'll go into much further detail on our special call,"}, {"path": "tedlium_34335.wav", "duration": 5.97, "text": "In contrast, the situation on the market in Poland is becoming bleaker."}, {"path": "tedlium_34336.wav", "duration": 5.97, "text": "The other thing they have asked us to do and which DUET did not do for us"}, {"path": "tedlium_34337.wav", "duration": 5.97, "text": "operations that we are looking for but we analyze everything"}, {"path": "tedlium_34338.wav", "duration": 5.97, "text": "Also I want to elaborate on a few of the details of our revenue for the first quarter."}, {"path": "tedlium_34339.wav", "duration": 5.97, "text": "another buyer might try to step in with a better offer? Or Zenium might try to ask for a higher price, given its performance?"}, {"path": "tedlium_34340.wav", "duration": 5.97, "text": "pricing and volume improvement in the more specialty applications. Obviously, there's a positive impact"}, {"path": "tedlium_34341.wav", "duration": 5.97, "text": "their distribution strategies and their customer interactions by investing significantly"}, {"path": "tedlium_34342.wav", "duration": 5.97, "text": "The direct commodity exposure accounts for a significant portion of our coverage variance."}, {"path": "tedlium_34343.wav", "duration": 5.97, "text": "we could really defer the equity issuance on an ongoing basis beyond that, we're picking this point in time"}, {"path": "tedlium_34344.wav", "duration": 5.97, "text": "I'm very comfortable with where we are with respect to our implementation time line. We will start"}, {"path": "tedlium_34345.wav", "duration": 5.97, "text": "In fact, we've gone in some places, in many cases, we're able to actually do upgrades overnight instead of over a weekend"}, {"path": "tedlium_34346.wav", "duration": 5.97, "text": "We are now launching the integrated solution selling programs we've been developing over the past several quarters."}, {"path": "tedlium_34347.wav", "duration": 5.97, "text": "for executing against our business plan and for continuing to deliver strong results."}, {"path": "tedlium_34348.wav", "duration": 5.97, "text": "Next, let's look at sales and income by business segment."}, {"path": "tedlium_34349.wav", "duration": 5.97, "text": "great. Credit performance has been really good. Unit economics continue to improve. So"}, {"path": "tedlium_34350.wav", "duration": 5.97, "text": "This continues to place us on the conservative end of our industry with regard to balance sheet leverage."}, {"path": "tedlium_34351.wav", "duration": 5.97, "text": "And last question is with respect to investment"}, {"path": "tedlium_34352.wav", "duration": 5.97, "text": "And while inflationary pressure masks some of the cost improvements we have made within our operations,"}, {"path": "tedlium_34353.wav", "duration": 5.97, "text": "And as I mentioned, we're now adding the internal audit group to her responsibilities."}, {"path": "tedlium_34354.wav", "duration": 5.97, "text": "and the risk factors that could cause actual results to differ. Thank you, Eddie."}, {"path": "tedlium_34355.wav", "duration": 5.97, "text": "I'm trying to marry that dynamic with the other comment that you made"}, {"path": "tedlium_34356.wav", "duration": 5.97, "text": "Continue to be a lot of acres planted going forward. So we think that"}, {"path": "tedlium_34357.wav", "duration": 5.97, "text": "as well as the availability of the Marvel."}, {"path": "tedlium_34358.wav", "duration": 5.97, "text": "So that helps us not lose people. We have intensified our recruiting efforts"}, {"path": "tedlium_34359.wav", "duration": 5.97, "text": "we believe we're well positioned to continue to pursue our mission to help cure cancer."}, {"path": "tedlium_34360.wav", "duration": 5.97, "text": "The strategy of the company is to own top-tier assets and to develop top-tier inventory."}, {"path": "tedlium_34361.wav", "duration": 5.97, "text": "As of the beginning of August, all aspects of Proposition 57 were in effect."}, {"path": "tedlium_34362.wav", "duration": 5.97, "text": "Now before I turn the call over to Dave, I'd like to briefly discuss last week's announcement"}, {"path": "tedlium_34363.wav", "duration": 5.97, "text": "And that's balancing then the experience we create in our stores around the third place around community."}, {"path": "tedlium_34364.wav", "duration": 5.97, "text": "through sampling. It anchors Johnnie Walker in a long mixed serve for the summer."}, {"path": "tedlium_34365.wav", "duration": 5.97, "text": "the first wireless sensor to alert Axon cameras when a firearm is removed from an officer's holster."}, {"path": "tedlium_34366.wav", "duration": 5.97, "text": "As a reminder, these collaboration revenues do not have a significant impact on our cash flows"}, {"path": "tedlium_34367.wav", "duration": 5.97, "text": "Not interested in being the third vendor in a box RFP. But there are a couple that"}, {"path": "tedlium_34368.wav", "duration": 5.97, "text": "primarily due to a reduced project backlog at the beginning of the current fiscal year."}, {"path": "tedlium_34369.wav", "duration": 5.97, "text": "Now as we look forward, what I would probably say is that the price"}, {"path": "tedlium_34370.wav", "duration": 5.97, "text": "With that, we would now be happy to answer any questions that you might have."}, {"path": "tedlium_34371.wav", "duration": 5.97, "text": "Our guidance for the second quarter is up from the same quarter a year ago in a challenging environment."}, {"path": "tedlium_34372.wav", "duration": 5.97, "text": "that we did not extend by mutual agreement at the end of 2015. Second,"}, {"path": "tedlium_34373.wav", "duration": 5.97, "text": "Regarding DCR-HBVS, we continue to dose healthy volunteers"}, {"path": "tedlium_34374.wav", "duration": 5.97, "text": "probably as good as our current bank credit line."}, {"path": "tedlium_34375.wav", "duration": 5.97, "text": "how that number -- what the sort of factors around that percentage going up"}, {"path": "tedlium_34376.wav", "duration": 5.97, "text": "The order book was strong, as our paper continues to be well received by the market."}, {"path": "tedlium_34377.wav", "duration": 5.97, "text": "The lab revenue increase reflects its growing focus on higher-margin molecular testing services."}, {"path": "tedlium_34378.wav", "duration": 5.97, "text": "some sort of guidance, be that as revenue or EBITDA, with respect to any or all of your"}, {"path": "tedlium_34379.wav", "duration": 5.97, "text": "That's one piece of the go-to-market. The other piece looks more like traditional"}, {"path": "tedlium_34380.wav", "duration": 5.97, "text": "We just bought the propane division of that and the acquisition is our fourth tuck-in"}, {"path": "tedlium_34381.wav", "duration": 5.97, "text": "In terms of combination, the data that was presented was actually supporting"}, {"path": "tedlium_34382.wav", "duration": 5.97, "text": "continue to focus on maintaining the integrity of our assets. That is absolutely"}, {"path": "tedlium_34383.wav", "duration": 5.97, "text": "the competency of blending Nubiola products with our products and creating"}, {"path": "tedlium_34384.wav", "duration": 5.97, "text": "is something that I think we're getting better at and we've got some better processes in place to do that proactively"}, {"path": "tedlium_34385.wav", "duration": 5.97, "text": "in this challenging environment, we're being a lot more prudent in terms of those kinds of investments."}, {"path": "tedlium_34386.wav", "duration": 5.97, "text": "While that was gratifying and confirmed our own assumptions about our business,"}, {"path": "tedlium_34387.wav", "duration": 5.97, "text": "physician business that we're absorbing with our current capabilities and organic"}, {"path": "tedlium_34388.wav", "duration": 5.97, "text": "on certain assets to reflect our greater costs of funding those assets. So"}, {"path": "tedlium_34389.wav", "duration": 5.97, "text": "will give that much of activity or tumor melting at the end? We have to know exactly"}, {"path": "tedlium_34390.wav", "duration": 5.97, "text": "just go back to the regular monthly dividends, not have specials. And"}, {"path": "tedlium_34391.wav", "duration": 5.97, "text": "Retirement had a solid quarter, reporting good earnings and net flows."}, {"path": "tedlium_34392.wav", "duration": 5.97, "text": "However, we do not expect to be able to maintain this elevated level as a baseline in the future."}, {"path": "tedlium_34393.wav", "duration": 5.97, "text": "we believe we have a solid foundation and the available capital to grow our investment income."}, {"path": "tedlium_34394.wav", "duration": 5.97, "text": "the North Sea and the Barents Sea seems to have a pickup"}, {"path": "tedlium_34395.wav", "duration": 5.97, "text": "Related to the Pramac acquisition, recall we are acquiring a majority ownership position in that company."}, {"path": "tedlium_34396.wav", "duration": 5.97, "text": "For oriented strand board, second quarter to date realizations are comparable to the first quarter average,"}, {"path": "tedlium_34397.wav", "duration": 5.97, "text": "I have a question on Jennie-O. And I was just wondering if you could give us a sense of"}, {"path": "tedlium_34398.wav", "duration": 5.97, "text": "This study is approaching full enrollment with top line results expected near the end of this year."}, {"path": "tedlium_34399.wav", "duration": 5.97, "text": "This is our usual slide of the key drivers of shareholder value creation."}, {"path": "tedlium_34400.wav", "duration": 5.97, "text": "we obviously tried to recoup as much as that as possible through pricing actions in the local market."}, {"path": "tedlium_34401.wav", "duration": 5.97, "text": "we certainly will look to do acquisitions as exchanges"}, {"path": "tedlium_34402.wav", "duration": 5.97, "text": "So I'm going to ask Mike Pizzi to take the first part of your question, but I will hit the second part of your question first."}, {"path": "tedlium_34403.wav", "duration": 5.97, "text": "The new Singapore first lounge is set to open towards the end of 2019. And"}, {"path": "tedlium_34404.wav", "duration": 5.97, "text": "driven by a combination of both our strong Las Vegas results and growth in our Native American management fees."}, {"path": "tedlium_34405.wav", "duration": 5.97, "text": "and will support a higher growth rate in this region in comparison to the first half."}, {"path": "tedlium_34406.wav", "duration": 5.97, "text": "Our first quarter earnings reflect improved realized margins and positive inventory impacts."}, {"path": "tedlium_34407.wav", "duration": 5.97, "text": "We've made good progress in each of the 5 work streams, and you can see it in our results."}, {"path": "tedlium_34408.wav", "duration": 5.97, "text": "this is another strong set of results. Let me take you through the numbers in more detail."}, {"path": "tedlium_34409.wav", "duration": 5.97, "text": "and have expanded the Guinness portfolio with beers from The Brewers Project."}, {"path": "tedlium_34410.wav", "duration": 5.97, "text": "benefiting from the new media campaign and increased investment in sampling activities."}, {"path": "tedlium_34411.wav", "duration": 5.97, "text": "Mobile remains our focus with nearly 60% of transactions completed on our mobile platforms."}, {"path": "tedlium_34412.wav", "duration": 5.97, "text": "At the same time, we focused on our training efforts this past quarter to ensure that we had our associates"}, {"path": "tedlium_34413.wav", "duration": 5.97, "text": "from the Canadian government and also from our customers, including Delta."}, {"path": "tedlium_34414.wav", "duration": 5.97, "text": "Remember, these systems are at the heart of billing for and collecting an operator's cash flows."}, {"path": "tedlium_34415.wav", "duration": 5.97, "text": "much like MTN South Africa is having us do for them with both their wholesale and residential businesses."}, {"path": "tedlium_34416.wav", "duration": 5.97, "text": "what the credit of those parties are, how well contracted it is, and get comfortable that the overall"}, {"path": "tedlium_34417.wav", "duration": 5.97, "text": "and so we're going to be in a really good shape. Our -- but I would say that our development plans"}, {"path": "tedlium_34418.wav", "duration": 5.97, "text": "we have increased some specific reserves to reflect the reality of the ongoing negotiations."}, {"path": "tedlium_34419.wav", "duration": 5.97, "text": "Early-season conditions in Colorado have been outstanding with great skiing conditions over the Thanksgiving holiday."}, {"path": "tedlium_34420.wav", "duration": 5.97, "text": "in that light. All right. Because I assume that's kind of your game plan. I mean, your stock"}, {"path": "tedlium_34421.wav", "duration": 5.97, "text": "that much better at Grand Canyon Education to which you're able to continue to"}, {"path": "tedlium_34422.wav", "duration": 5.97, "text": "We expect our online campus to grow between 6% and 7% on an annual basis."}, {"path": "tedlium_34423.wav", "duration": 5.97, "text": "Longer term, we remain on track on our cost savings initiatives,"}, {"path": "tedlium_34424.wav", "duration": 5.97, "text": "Regarding our cash use in the quarter, you can see that our total cash flow from operations and investing activities,"}, {"path": "tedlium_34425.wav", "duration": 5.97, "text": "On a constant exchange rate basis, our Africa, India and Middle East businesses"}, {"path": "tedlium_34426.wav", "duration": 5.97, "text": "of our current rights offering on diluted EPS, there is no change to the guidance we presented."}, {"path": "tedlium_34427.wav", "duration": 5.97, "text": "and growth in that market on the back of increased interstate migration, which has doubled"}, {"path": "tedlium_34428.wav", "duration": 5.97, "text": "Growth at the service companies only partly compensated for these declines."}, {"path": "tedlium_34429.wav", "duration": 5.97, "text": "watch out, we will continue to prove you wrong with operational aggressiveness and financial prudence."}, {"path": "tedlium_34430.wav", "duration": 5.97, "text": "new customers. And we just think over time, that's going to become a bigger and bigger piece of our business as our installed base gets bigger."}, {"path": "tedlium_34431.wav", "duration": 5.97, "text": "So that's basically it. The performance of the team has been very good."}, {"path": "tedlium_34432.wav", "duration": 5.97, "text": "and then that will dissipate as the year goes on. We do not view this as a lasting impact."}, {"path": "tedlium_34433.wav", "duration": 5.97, "text": "We continually evaluate strategic options for this business to unlock shareholder value."}, {"path": "tedlium_34434.wav", "duration": 5.97, "text": "I just want to go over a couple of numbers. Comparing fourth quarter of last year,"}, {"path": "tedlium_34435.wav", "duration": 5.97, "text": "I think as we showed in the one chart that if you have the"}, {"path": "tedlium_34436.wav", "duration": 5.97, "text": "or at least not including the Gas Storage business. We're reviewing what we're going to do with that at this point."}, {"path": "tedlium_34437.wav", "duration": 5.97, "text": "The charge relates to the amortization of an intangible asset and other balance sheet adjustments."}, {"path": "tedlium_34438.wav", "duration": 5.97, "text": "This increase in sustainable cash flow enhances our ability to return capital to our shareholders through dividends."}, {"path": "tedlium_34439.wav", "duration": 5.97, "text": "there is a lot of newness in some of the trends and sell-throughs and products that we're seeing right now"}, {"path": "tedlium_34440.wav", "duration": 5.97, "text": "We continue to have the best end-to-end solutions that deliver the most secure"}, {"path": "tedlium_34441.wav", "duration": 5.97, "text": "Well, we'll end what may be the shortest conference call in history. Thank you very much."}, {"path": "tedlium_34442.wav", "duration": 5.97, "text": "just ask a question, what does an ideal target for you guys look like"}, {"path": "tedlium_34443.wav", "duration": 5.97, "text": "This net leverage ratio when adjusted for the closing of the January station acquisitions"}, {"path": "tedlium_34444.wav", "duration": 5.97, "text": "I would rather say that the fixed costs of the company had actually been"}, {"path": "tedlium_34445.wav", "duration": 5.97, "text": "with list prices that are slightly higher than others."}, {"path": "tedlium_34446.wav", "duration": 5.97, "text": "Can you talk about some of the regions? Is that really chasing some of the higher-growth regions like China? Or is that broad based?"}, {"path": "tedlium_34447.wav", "duration": 5.97, "text": "which are used as an extender filler in paint and plastics applications."}, {"path": "tedlium_34448.wav", "duration": 5.97, "text": "However, in accordance with GAAP, Mercury Intelligence Systems isn't -- is reflected in our statement of cash flows"}, {"path": "tedlium_34449.wav", "duration": 5.97, "text": "We do not undertake to update any of these statements in light of new information or future events."}, {"path": "tedlium_34450.wav", "duration": 5.97, "text": "The sales pipeline in the stand-alone Dedicated segment has significantly grown"}, {"path": "tedlium_34451.wav", "duration": 5.97, "text": "results that exceeded our expectations for the quarter primarily as a result of higher realized prices,"}, {"path": "tedlium_34452.wav", "duration": 5.97, "text": "may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act"}, {"path": "tedlium_34453.wav", "duration": 5.97, "text": "The third quarter results reflect favorably on our off-season productivity of our staff."}, {"path": "tedlium_34454.wav", "duration": 5.97, "text": "in their volumes this year. So we benefited from that. And then certainly the"}, {"path": "tedlium_34455.wav", "duration": 5.97, "text": "Finally, the company's capital deployment program started the year on fast pace,"}, {"path": "tedlium_34456.wav", "duration": 5.9699375, "text": "is that no one has given the customers a fantastic option."}, {"path": "tedlium_34457.wav", "duration": 5.9699375, "text": "explore that with our component suppliers of major components for those types of products."}, {"path": "tedlium_34458.wav", "duration": 5.9699375, "text": "This measure removes the effect of discontinued products and the shutting of less accretive products throughout the year."}, {"path": "tedlium_34459.wav", "duration": 5.9400625, "text": "the best type of buildings in the right locations with the right type of tenants"}, {"path": "tedlium_34460.wav", "duration": 5.9400625, "text": "insurance products cover how and where our business is moving."}, {"path": "tedlium_34461.wav", "duration": 5.94, "text": "Before we turn the call back to the operator to take any questions you may have, I'll make a few final comments on our outlook."}, {"path": "tedlium_34462.wav", "duration": 5.94, "text": "we probably had more of an impact in 2017. But we do still have products"}, {"path": "tedlium_34463.wav", "duration": 5.94, "text": "our customers do retro synthesis. And this is allowing many of our customers to come in and"}, {"path": "tedlium_34464.wav", "duration": 5.94, "text": "I think a lot of people were concerned that we seem to have taken prices up while the rest of the competition did not."}, {"path": "tedlium_34465.wav", "duration": 5.94, "text": "who are ultimately responsible for the solid fourth quarter results."}, {"path": "tedlium_34466.wav", "duration": 5.94, "text": "We do appreciate your participation, and you may now disconnect. Everyone, have a wonderful day."}, {"path": "tedlium_34467.wav", "duration": 5.94, "text": "The slow start was due to high inventory levels at certain of our customers' location."}, {"path": "tedlium_34468.wav", "duration": 5.94, "text": "We don't expect any inventory level revision this time,"}, {"path": "tedlium_34469.wav", "duration": 5.94, "text": "And they also signed up for additional services such as broadband and cloud,"}, {"path": "tedlium_34470.wav", "duration": 5.94, "text": "and therefore, recorded negligible sales from the country in the second quarter of this year."}, {"path": "tedlium_34471.wav", "duration": 5.94, "text": "we use the expression, adaptive learning platform, others refer to it in different ways. But it really does"}, {"path": "tedlium_34472.wav", "duration": 5.94, "text": "refined product and NGL inventories associated with the legacy SXL business"}, {"path": "tedlium_34473.wav", "duration": 5.94, "text": "I think -- we started the quarter not looking at that strong of a book."}, {"path": "tedlium_34474.wav", "duration": 5.94, "text": "additional information on what's going on with Rich Media in terms of e-books?"}, {"path": "tedlium_34475.wav", "duration": 5.94, "text": "Outside Japan, the effect of the weaker yen contributed to increased revenue."}, {"path": "tedlium_34476.wav", "duration": 5.94, "text": "Last summer, we formed a new joint venture with Alibaba to improve service and sales for Chinese guests."}, {"path": "tedlium_34477.wav", "duration": 5.94, "text": "I will now provide some specific comments on the outlook for each of our business lines."}, {"path": "tedlium_34478.wav", "duration": 5.94, "text": "doesn't leave us with the same sort of exposure that historically was the case when you look to the portfolio."}, {"path": "tedlium_34479.wav", "duration": 5.94, "text": "of acquisitions during that period as well as dispositions and capital markets activities."}, {"path": "tedlium_34480.wav", "duration": 5.94, "text": "companies. I think it's within the capability of the land drilling contractors"}, {"path": "tedlium_34481.wav", "duration": 5.94, "text": "continues to pay big dividends , and I think sets an impressive standard for our future activities."}, {"path": "tedlium_34482.wav", "duration": 5.94, "text": "We already have a lot of set-top box data in hand, we use it every day to drive our analytics business."}, {"path": "tedlium_34483.wav", "duration": 5.94, "text": "We expect to see additional gains when the lab information systems and lab facilities"}, {"path": "tedlium_34484.wav", "duration": 5.94, "text": "who have been in a tougher spot? And do you expect to keep that share as they get back on their feet? Yes, thank you"}, {"path": "tedlium_34485.wav", "duration": 5.94, "text": "These opportunities include further energy network modernization investments across the group"}, {"path": "tedlium_34486.wav", "duration": 5.94, "text": "expanded options, the new tools and services designed to help them succeed every step of the way."}, {"path": "tedlium_34487.wav", "duration": 5.94, "text": "We continued fueling our leadership engine and expanded training and leadership development programs,"}, {"path": "tedlium_34488.wav", "duration": 5.94, "text": "And so from the perspective of being down in the quarter, we don't read too much into that. Again, I go back to"}, {"path": "tedlium_34489.wav", "duration": 5.94, "text": "parts of our business. The remainder being the effects we talked about with Summer Market, New York Now"}, {"path": "tedlium_34490.wav", "duration": 5.94, "text": "it's spent changing from one patient to the other. So is this change time"}, {"path": "tedlium_34491.wav", "duration": 5.94, "text": "You can see an example of one of these refits in our store in the Trafford Centre on the screen."}, {"path": "tedlium_34492.wav", "duration": 5.94, "text": "that this is being employed to fix. It's a broad, a pretty wide number"}, {"path": "tedlium_34493.wav", "duration": 5.94, "text": "changes to our corporate governance structure and our proposed strategic plan to strengthen our business."}, {"path": "tedlium_34494.wav", "duration": 5.94, "text": "we see a scarcity of resources and their unnatural limits for the size of the output, which you can't"}, {"path": "tedlium_34495.wav", "duration": 5.94, "text": "and assembly of dispensers and caps for the food and beverage and health, beauty and home care end markets."}, {"path": "tedlium_34496.wav", "duration": 5.94, "text": "Also impacting net income was higher depreciation and amortization of expense."}, {"path": "tedlium_34497.wav", "duration": 5.94, "text": "And we believe that's the likely ultimate outcome. Relative to Applied,"}, {"path": "tedlium_34498.wav", "duration": 5.94, "text": "Turning to the balance sheet. Gary talked about the many initiatives we're driving to accelerate innovation."}, {"path": "tedlium_34499.wav", "duration": 5.94, "text": "Although these activities have been incremental and generally fall below the materiality radar screen,"}, {"path": "tedlium_34500.wav", "duration": 5.94, "text": "Our preferred markets would be the metro markets that we're currently in, so Orlando, Tampa"}, {"path": "tedlium_34501.wav", "duration": 5.94, "text": "These expenses were not included in our guidance for the quarter and are not included in our future guidance."}, {"path": "tedlium_34502.wav", "duration": 5.94, "text": "higher than others in the market who already have a defined network this year."}, {"path": "tedlium_34503.wav", "duration": 5.94, "text": "the ladies who are doing the sewing. It takes about 6 months for them to get up to standard,"}, {"path": "tedlium_34504.wav", "duration": 5.94, "text": "Good morning. My name is James, and I'll be your conference operator today. At this time, I'd like to welcome everyone"}, {"path": "tedlium_34505.wav", "duration": 5.94, "text": "All the leasing success we have had would not be possible without the efforts of our construction team."}, {"path": "tedlium_34506.wav", "duration": 5.94, "text": "Last year, the market provided strong support for the utilization of our 2 vessels."}, {"path": "tedlium_34507.wav", "duration": 5.94, "text": "idea of getting lease certificates also in other buildings in our portfolio."}, {"path": "tedlium_34508.wav", "duration": 5.94, "text": "As I've said the last 2 quarters, changes in revenues is not a good predictor of our performance."}, {"path": "tedlium_34509.wav", "duration": 5.94, "text": "we may be with the platforms and not just one, multiple platforms,"}, {"path": "tedlium_34510.wav", "duration": 5.94, "text": "for your attention and now I am available for any questions you may have."}, {"path": "tedlium_34511.wav", "duration": 5.94, "text": "bring it up to speed and qualify it. So we look for that more later in the year."}, {"path": "tedlium_34512.wav", "duration": 5.94, "text": "to both the commercial customers as well as the Defense Ministry of India."}, {"path": "tedlium_34513.wav", "duration": 5.94, "text": "and 70 years of history and understanding this segment. So getting our hands around that"}, {"path": "tedlium_34514.wav", "duration": 5.94, "text": "These tools are a logical extension of our core Recovery Audit Services,"}, {"path": "tedlium_34515.wav", "duration": 5.94, "text": "It will probably even be a little bit weighted to the front part of the year as some of it ramps up."}, {"path": "tedlium_34516.wav", "duration": 5.94, "text": "We're trying to make a committed effort to being really competitively priced from a fee standpoint"}, {"path": "tedlium_34517.wav", "duration": 5.94, "text": "new store openings and other matters that are based on the company's current forecast of aspects of its future business."}, {"path": "tedlium_34518.wav", "duration": 5.94, "text": "And so we've done a lot of work around even existing centers to optimize our layout."}, {"path": "tedlium_34519.wav", "duration": 5.94, "text": "In Personal Care, our priorities are to grow the core whilst building the premium segment."}, {"path": "tedlium_34520.wav", "duration": 5.94, "text": "before, I think it was to Warren, what I mentioned in terms of managing our portfolio"}, {"path": "tedlium_34521.wav", "duration": 5.94, "text": "If we see the growth in more panel-like products, that would"}, {"path": "tedlium_34522.wav", "duration": 5.94, "text": "people will always talk to you at AXA about a focus in Health,"}, {"path": "tedlium_34523.wav", "duration": 5.94, "text": "Today, I'd like to introduce myself and speak briefly about my plans for the next few months."}, {"path": "tedlium_34524.wav", "duration": 5.94, "text": "So I think it's not really a major trend going through it. I think some of it I've touched on."}, {"path": "tedlium_34525.wav", "duration": 5.94, "text": "of the local currency weaknesses that are embedded in the translation to group earnings."}, {"path": "tedlium_34526.wav", "duration": 5.94, "text": "I would lump them largely into 4 categories. One is the area of beneficiary support services"}, {"path": "tedlium_34527.wav", "duration": 5.94, "text": "To say that you're going to have this fully anonymized relationship with your customer"}, {"path": "tedlium_34528.wav", "duration": 5.94, "text": "only as of today and should not be relied upon as representing our views as of any subsequent date."}, {"path": "tedlium_34529.wav", "duration": 5.94, "text": "In parallel, we are driving operating efficiencies and cost reductions."}, {"path": "tedlium_34530.wav", "duration": 5.94, "text": "I wish to confirm that all major product categories performed and improved on the prior year."}, {"path": "tedlium_34531.wav", "duration": 5.94, "text": "This reduction is simply due to a higher sustaining capital spend"}, {"path": "tedlium_34532.wav", "duration": 5.94, "text": "The graph at the bottom shows transitions in operating income and operating margin."}, {"path": "tedlium_34533.wav", "duration": 5.94, "text": "in patients with no existing evidence of disease but high risk of relapse."}, {"path": "tedlium_34534.wav", "duration": 5.94, "text": "relative cost advantage of manufacturing all the world's glass in China and shipping it all over the world."}, {"path": "tedlium_34535.wav", "duration": 5.94, "text": "is at that point in time and in comparison with the carrying value of the assets on the books in that comparison."}, {"path": "tedlium_34536.wav", "duration": 5.94, "text": "As Steve mentioned, we continue to be disciplined in our underwriting cost and credit line assignments,"}, {"path": "tedlium_34537.wav", "duration": 5.94, "text": "Let me illustrate the power of our strategy with the following examples."}, {"path": "tedlium_34538.wav", "duration": 5.94, "text": "And these initiatives are driving results. In the fourth quarter,"}, {"path": "tedlium_34539.wav", "duration": 5.94, "text": "The semiconductor industry is transforming many industries and the world we live in."}, {"path": "tedlium_34540.wav", "duration": 5.94, "text": "We're also planning to invest an additional NF3 capacity in Asia."}, {"path": "tedlium_34541.wav", "duration": 5.94, "text": "quantify right now as to whether it's hundreds of millions of dollars or tens of millions of dollars"}, {"path": "tedlium_34542.wav", "duration": 5.94, "text": "We refer you to our public filings in the press release we issued this morning for a summary of such factors."}, {"path": "tedlium_34543.wav", "duration": 5.94, "text": "to close this and move and continue operations without disruption."}, {"path": "tedlium_34544.wav", "duration": 5.94, "text": "It is a mature industry. And these companies are driven by efficiency considerations."}, {"path": "tedlium_34545.wav", "duration": 5.94, "text": "is the platform qualifications that were truly organic developments"}, {"path": "tedlium_34546.wav", "duration": 5.94, "text": "as well as an increase in allocated capital. Taking a look at our divisional performance,"}, {"path": "tedlium_34547.wav", "duration": 5.94, "text": "patient group and the disease area that we've been operating in. And so I'm afraid, right now, there's no one clean kind of"}, {"path": "tedlium_34548.wav", "duration": 5.94, "text": "I give a ton of credit to Bill and his team for creating those experiences"}, {"path": "tedlium_34549.wav", "duration": 5.94, "text": "as well as a new financial reporting system and a new HR or human resources system."}, {"path": "tedlium_34550.wav", "duration": 5.94, "text": "In terms of the project itself, there are many benefits for our market-leading Paints business."}, {"path": "tedlium_34551.wav", "duration": 5.94, "text": "It's clear that the increase of the ARPU is also coming from the fact that we are increasing -- we are starting to increase"}, {"path": "tedlium_34552.wav", "duration": 5.94, "text": "Do you expect the momentum generally to continue? And then will the service offering be meaningful enough next year"}, {"path": "tedlium_34553.wav", "duration": 5.94, "text": "And then once the sections are ready, then we'll start more houses than we normally would, and closings will catch up."}, {"path": "tedlium_34554.wav", "duration": 5.94, "text": "dump the product that they're required to purchase and then collect royalties from Herbalife, and that's how they make their living."}, {"path": "tedlium_34555.wav", "duration": 5.94, "text": "Return on invested capital improvement was primarily driven by operating profit growth."}, {"path": "tedlium_34556.wav", "duration": 5.94, "text": "And then across generations or across models, if we can have some kind of common platform,"}, {"path": "tedlium_34557.wav", "duration": 5.94, "text": "in a positioning that stays around the home. It's important for us to give"}, {"path": "tedlium_34558.wav", "duration": 5.94, "text": "that comment. So how do you define the cost base when you make that comment?"}, {"path": "tedlium_34559.wav", "duration": 5.94, "text": "margin enhancement, and operational improvements across all our lines of business."}, {"path": "tedlium_34560.wav", "duration": 5.94, "text": "the kind of the recovery, which continues in kind of government spending from the last several years"}, {"path": "tedlium_34561.wav", "duration": 5.94, "text": "maybe a question for Randy. I'm trying to understand some of the movement in the"}, {"path": "tedlium_34562.wav", "duration": 5.94, "text": "We also have a very big opportunity, in my opinion, on material cost."}, {"path": "tedlium_34563.wav", "duration": 5.94, "text": "the number of patients who receive therapy because we know doctors tell us today"}, {"path": "tedlium_34564.wav", "duration": 5.94, "text": "It's a protracted process on all of these, as we've witnessed in the past."}, {"path": "tedlium_34565.wav", "duration": 5.94, "text": "Trying to get a better sense for what normal incrementals will look like going forward."}, {"path": "tedlium_34566.wav", "duration": 5.94, "text": "Some of that was a little bit better promotional cadence and running less promotions, et cetera, and still being able to drive through."}, {"path": "tedlium_34567.wav", "duration": 5.94, "text": "So we were at the bottom of the rung. I'm telling you, the very bottom of the rung. So we've got plenty of room to grow,"}, {"path": "tedlium_34568.wav", "duration": 5.94, "text": "The third quarter had 89 selling days compared to 90 in the prior year period."}, {"path": "tedlium_34569.wav", "duration": 5.94, "text": "as well as on our website and will be repeated by the operator at the end of the call."}, {"path": "tedlium_34570.wav", "duration": 5.94, "text": "We think we can gain share in markets where we don't have a cost advantage today"}, {"path": "tedlium_34571.wav", "duration": 5.94, "text": "that's coming to fruition. So productivity in general has been a massive focus of ours."}, {"path": "tedlium_34572.wav", "duration": 5.94, "text": "Again, we believe these are necessary investments that were made across the corporate centers in the businesses"}, {"path": "tedlium_34573.wav", "duration": 5.94, "text": "All areas of the business contributed to achieving the financial records, which Dick previously mentioned."}, {"path": "tedlium_34574.wav", "duration": 5.94, "text": "Next page shows how we are expanding the OpEx project."}, {"path": "tedlium_34575.wav", "duration": 5.94, "text": "In view of the globally difficult environment, the first half year was"}, {"path": "tedlium_34576.wav", "duration": 5.94, "text": "and we're going to be investing a lot of time and efforts making sure that we deliver"}, {"path": "tedlium_34577.wav", "duration": 5.94, "text": "we don't have a clear crystal ball on which projects are going ahead. Now, outside of the electronics"}, {"path": "tedlium_34578.wav", "duration": 5.94, "text": "pretty conservative or pragmatic about how we think about what the growth expectations can be"}, {"path": "tedlium_34579.wav", "duration": 5.94, "text": "and to generate growth by taking advantage of the productivity opportunities I just described"}, {"path": "tedlium_34580.wav", "duration": 5.94, "text": "Given that we installed roughly the same number of devices in Q4 as we sold,"}, {"path": "tedlium_34581.wav", "duration": 5.94, "text": "You are assuming then going forward that that pipeline will continue to be operational?"}, {"path": "tedlium_34582.wav", "duration": 5.94, "text": "Maybe a little bit of color on how those markets are doing or how they performed in the quarter."}, {"path": "tedlium_34583.wav", "duration": 5.94, "text": "This is exemplified by the efforts of our employees who worked to restore power during a recent windstorm that hit our region."}, {"path": "tedlium_34584.wav", "duration": 5.94, "text": "The excellent reliability we provided to our customers over a hot summer reinforces"}, {"path": "tedlium_34585.wav", "duration": 5.94, "text": "have my numbers in terms of the quarter and the sequential aspect of the quarter more so than the months within."}, {"path": "tedlium_34586.wav", "duration": 5.94, "text": "Well, yes, I want to correct that. I don't think we take a little more credit risk. I think we take a little more liquidity risk"}, {"path": "tedlium_34587.wav", "duration": 5.94, "text": "demonstrating the important role dividends have played as part of our capital allocation strategy."}, {"path": "tedlium_34588.wav", "duration": 5.94, "text": "In contrast, our sales are centered on older aircraft, where investor demand has been particularly strong."}, {"path": "tedlium_34589.wav", "duration": 5.94, "text": "We find it interesting to remark that we observe -- when we observe the quarterly performance of service revenues"}, {"path": "tedlium_34590.wav", "duration": 5.94, "text": "I will tell you the net margins on them, which we are heavily focused on as a company right now are very strong."}, {"path": "tedlium_34591.wav", "duration": 5.94, "text": "I'm really happy to share with everybody that as we have gone through the full data set, it is even better"}, {"path": "tedlium_34592.wav", "duration": 5.94, "text": "then do some of the part valuation of our company and when you do that you got to believe like I do,"}, {"path": "tedlium_34593.wav", "duration": 5.94, "text": "Furthermore, many programs are progressing into our Safety Assessment business."}, {"path": "tedlium_34594.wav", "duration": 5.94, "text": "We issued our fourth quarter results this morning. Excluding the effects of special items from both periods,"}, {"path": "tedlium_34595.wav", "duration": 5.94, "text": "supported by growth in our core offerings at the branches, including direct lube sales."}, {"path": "tedlium_34596.wav", "duration": 5.94, "text": "we've noted that the environment has been fairly stable. The"}, {"path": "tedlium_34597.wav", "duration": 5.94, "text": "Our community and state care managers and community health workers evaluate, prioritize"}, {"path": "tedlium_34598.wav", "duration": 5.94, "text": "This is something that has been"}, {"path": "tedlium_34599.wav", "duration": 5.94, "text": "Scott will provide you with more detail of the performance later on in the call."}, {"path": "tedlium_34600.wav", "duration": 5.94, "text": "try to continue the current one and continue along the same tracks in immediate years"}, {"path": "tedlium_34601.wav", "duration": 5.94, "text": "In 2017, the level of capital deployment may be modestly lower due to several factors,"}, {"path": "tedlium_34602.wav", "duration": 5.94, "text": "We have never considered a transformational deal in the North Sea. Period."}, {"path": "tedlium_34603.wav", "duration": 5.94, "text": "Looking forward, I'd address our aspirations in each aspect of the customer experience separately."}, {"path": "tedlium_34604.wav", "duration": 5.94, "text": "Good day, and welcome to the Anworth Mortgage"}, {"path": "tedlium_34605.wav", "duration": 5.94, "text": "All the other categories in noninterest expense are in line with prior quarters and our expectations."}, {"path": "tedlium_34606.wav", "duration": 5.94, "text": "And as you undertake your rationalization of the portfolio of assets that you own, there"}, {"path": "tedlium_34607.wav", "duration": 5.94, "text": "of setting the pace and tone in how they could address these various current assets,"}, {"path": "tedlium_34608.wav", "duration": 5.94, "text": "We're particularly excited about their strong positions in wire and cable and textile applications."}, {"path": "tedlium_34609.wav", "duration": 5.94, "text": "Between Labor Day and December, we plan to access debt markets to refinance maturing debt"}, {"path": "tedlium_34610.wav", "duration": 5.94, "text": "our best cash flow quarter. And so there is a little bit of,"}, {"path": "tedlium_34611.wav", "duration": 5.94, "text": "Passport was still in the relaxed category as strong elements of a global attitude"}, {"path": "tedlium_34612.wav", "duration": 5.9100625, "text": "although there is potential for scrap to decline, we believe increased customer demand and fewer imports"}, {"path": "tedlium_34613.wav", "duration": 5.91, "text": "We like that because it's very similar to our business model that we run for other segments in Industrial."}, {"path": "tedlium_34614.wav", "duration": 5.91, "text": "for which we had received prepayments in an earlier period, in which we had discussed earlier in the year."}, {"path": "tedlium_34615.wav", "duration": 5.91, "text": "As you see in the Statement of Cash Flows, which appears on Page 19 of our press release schedules,"}, {"path": "tedlium_34616.wav", "duration": 5.91, "text": "and the opportunity in the next couple of years really seems to be driving that utilization up as you talked about."}, {"path": "tedlium_34617.wav", "duration": 5.91, "text": "there additional questions that are being discussed but into the microphone so we will not be able to interpret?"}, {"path": "tedlium_34618.wav", "duration": 5.91, "text": "global product to imagine that we would have the capability to launch and market that ourselves."}, {"path": "tedlium_34619.wav", "duration": 5.91, "text": "in turnover and how you think that may be influencing your execution at the store level?"}, {"path": "tedlium_34620.wav", "duration": 5.91, "text": "The increase was a result of higher sales of both residential and commercial meters and related technologies."}, {"path": "tedlium_34621.wav", "duration": 5.91, "text": "even though the slowdown in Massachusetts is not going to hurt as much as some other people that they have all their"}, {"path": "tedlium_34622.wav", "duration": 5.91, "text": "to realize more operating leverage later in the year as we hold our expense growth below our revenue growth."}, {"path": "tedlium_34623.wav", "duration": 5.91, "text": "and we are excited to be able to support our aerospace customers on a more global basis."}, {"path": "tedlium_34624.wav", "duration": 5.91, "text": "to say that we're going to be sustainable at 30% is probably a little bit of a reach,"}, {"path": "tedlium_34625.wav", "duration": 5.91, "text": "To capitalize on these trends, we've continued to scale our business development team."}, {"path": "tedlium_34626.wav", "duration": 5.91, "text": "and largely because we see the opportunity for incremental market share there going forward."}, {"path": "tedlium_34627.wav", "duration": 5.91, "text": "And we are very, very conscious of the fact that we have"}, {"path": "tedlium_34628.wav", "duration": 5.91, "text": "we can conclude that the underlying performance is well above the guidance indicated"}, {"path": "tedlium_34629.wav", "duration": 5.91, "text": "we believe that it would likely be in the form of a branded device as opposed to a substitutable generic."}, {"path": "tedlium_34630.wav", "duration": 5.91, "text": "But the government funding cycle in Europe has been really challenging, and it's creating a whole lot of uncertainty"}, {"path": "tedlium_34631.wav", "duration": 5.91, "text": "This instrument synthetically fixes the interest rate we pay on this portion of our debt structure"}, {"path": "tedlium_34632.wav", "duration": 5.91, "text": "Forward-looking statements are protected by the safe harbor contained in the Private Securities Litigation Reform Act"}, {"path": "tedlium_34633.wav", "duration": 5.91, "text": "we branded or we're in the process of branding gasoline offerings at 17 locations."}, {"path": "tedlium_34634.wav", "duration": 5.91, "text": "In addition, we continue to see ongoing disruption in the upgrading of the network."}, {"path": "tedlium_34635.wav", "duration": 5.91, "text": "And then in the second half of next year, I expect that we'll start to see a more normalized"}, {"path": "tedlium_34636.wav", "duration": 5.91, "text": "we will make forward-looking statements about events and circumstances that have not yet occurred,"}, {"path": "tedlium_34637.wav", "duration": 5.91, "text": "This quarter, there were robust instrument placements across translational research and cancer centers,"}, {"path": "tedlium_34638.wav", "duration": 5.91, "text": "that our system of papering and then subcontracting services imposed upon them."}, {"path": "tedlium_34639.wav", "duration": 5.91, "text": "There are 4 aspects that make the training content market interesting for Cornerstone."}, {"path": "tedlium_34640.wav", "duration": 5.91, "text": "Our results serve as proof of our unmatched offering and high demand from advertisers."}, {"path": "tedlium_34641.wav", "duration": 5.91, "text": "Good morning, and welcome to the Star Group Fourth Quarter Earnings Conference Call."}, {"path": "tedlium_34642.wav", "duration": 5.91, "text": "reflects that the net number of people who left the island from September 2017 to"}, {"path": "tedlium_34643.wav", "duration": 5.91, "text": "and the really -- the long term -- the difficulty of it is hiring and training"}, {"path": "tedlium_34644.wav", "duration": 5.91, "text": "We've also spent the last year really focusing on marketing"}, {"path": "tedlium_34645.wav", "duration": 5.91, "text": "We have certain assumptions in here given the difficulties that we've had in the past."}, {"path": "tedlium_34646.wav", "duration": 5.91, "text": "for the shareholders that if we are approved to keep the control of this company"}, {"path": "tedlium_34647.wav", "duration": 5.91, "text": "Before turning to the segments and the project backlog, there's an issue I'll try to address up front."}, {"path": "tedlium_34648.wav", "duration": 5.91, "text": "on forward-looking statements and use of non-GAAP financial measures set forth at the end of our earnings release"}, {"path": "tedlium_34649.wav", "duration": 5.91, "text": "that they would like us to perform. So obviously, those are very positive."}, {"path": "tedlium_34650.wav", "duration": 5.91, "text": "be likely to release some sort of a guide on CECL implications?"}, {"path": "tedlium_34651.wav", "duration": 5.91, "text": "All this leads to smaller deployments scattered across a larger number of locations."}, {"path": "tedlium_34652.wav", "duration": 5.91, "text": "and appointed us to provide full logistics supply auditing services across this new operations."}, {"path": "tedlium_34653.wav", "duration": 5.91, "text": "We've always been partners with the publishers and"}, {"path": "tedlium_34654.wav", "duration": 5.91, "text": "telecommunications and hosting, transportation and travel and global government more than doubled."}, {"path": "tedlium_34655.wav", "duration": 5.91, "text": "and we decided not to do that. So we slowed down new customer marketing,"}, {"path": "tedlium_34656.wav", "duration": 5.91, "text": "sort of your fundamental growth rate there, absent the recession years?"}, {"path": "tedlium_34657.wav", "duration": 5.91, "text": "And then you add on top of that the private sector money that's coming into the market"}, {"path": "tedlium_34658.wav", "duration": 5.91, "text": "And we saw a continued stable credit quality metrics in nearly every area reported."}, {"path": "tedlium_34659.wav", "duration": 5.91, "text": "all that value proposition that it will continue to be a solid product for us. And"}, {"path": "tedlium_34660.wav", "duration": 5.91, "text": "the new active to their risk budgets. And of course, a focus on investment outcomes"}, {"path": "tedlium_34661.wav", "duration": 5.91, "text": "we also instituted a comprehensive review of investment performance."}, {"path": "tedlium_34662.wav", "duration": 5.91, "text": "Surviving a downturn is always challenging. But it also creates many opportunities for improvement."}, {"path": "tedlium_34663.wav", "duration": 5.91, "text": "In fact, Nielsen estimates that the rural market over October, November and December was down"}, {"path": "tedlium_34664.wav", "duration": 5.91, "text": "The extent the durability of our business, while strengthening cash returns to our owners,"}, {"path": "tedlium_34665.wav", "duration": 5.91, "text": "Finally, I'd like to announce that we plan to attend several upcoming investor conferences this quarter"}, {"path": "tedlium_34666.wav", "duration": 5.91, "text": "And we have really implemented what we set, a clear and decisive"}, {"path": "tedlium_34667.wav", "duration": 5.91, "text": "Thinking back, we have 6 countries where we are very strong in Health,"}, {"path": "tedlium_34668.wav", "duration": 5.91, "text": "Thank you very much for your attention. And we will now go over to your questions."}, {"path": "tedlium_34669.wav", "duration": 5.91, "text": "Just wanted to be careful with regard to the momentum in the independents that had its impact on the top line,"}, {"path": "tedlium_34670.wav", "duration": 5.91, "text": "On Page 14, you can see the breakdown of the revenue. You can see that"}, {"path": "tedlium_34671.wav", "duration": 5.91, "text": "Furthermore, our hedging approach does not attempt to fully offset the impact"}, {"path": "tedlium_34672.wav", "duration": 5.91, "text": "and can build and defend a price premium over time. So it's a very core part of what we're trying to do in the strategy."}, {"path": "tedlium_34673.wav", "duration": 5.91, "text": "it's more over on the side of, they have a really solid platform to go to,"}, {"path": "tedlium_34674.wav", "duration": 5.91, "text": "And we think that'll play out over some time while demand continues to grow."}, {"path": "tedlium_34675.wav", "duration": 5.91, "text": "And so you'd expect to see across them really improvements in working capital over time,"}, {"path": "tedlium_34676.wav", "duration": 5.91, "text": "on that side of it. So just to let you know, kind of think about the full picture of the year is the view that we're taking."}, {"path": "tedlium_34677.wav", "duration": 5.91, "text": "and our response to Hurricane Irma in September that affected portions of Florida and Georgia."}, {"path": "tedlium_34678.wav", "duration": 5.91, "text": "This brings us to Slide 10, where you can see that scrapping activity is, indeed, on the rise."}, {"path": "tedlium_34679.wav", "duration": 5.91, "text": "I would note that we will continue to invest in sales and other business initiatives going forward,"}, {"path": "tedlium_34680.wav", "duration": 5.91, "text": "At the bottom of this slide, we show transitions in unit costs based on this policy."}, {"path": "tedlium_34681.wav", "duration": 5.91, "text": "This concludes my presentation. Thank you for your attention."}, {"path": "tedlium_34682.wav", "duration": 5.91, "text": "Thank you all who have taken the time to participate on today's conference call."}, {"path": "tedlium_34683.wav", "duration": 5.91, "text": "So there was going to come a point in time where it made more sense for us to have our capacity available to us"}, {"path": "tedlium_34684.wav", "duration": 5.91, "text": "related to a decrease in prepayment fees, partially offset by an increase in origination fee."}, {"path": "tedlium_34685.wav", "duration": 5.91, "text": "on your comment about the impact of the tax law change. I think in your prepared remarks you said,"}, {"path": "tedlium_34686.wav", "duration": 5.91, "text": "And if we cut much more, then we cut into the real meat that we need to go forward"}, {"path": "tedlium_34687.wav", "duration": 5.91, "text": "Before we begin, I would like to note that we have provided a slide presentation to help guide our discussion."}, {"path": "tedlium_34688.wav", "duration": 5.91, "text": "During tonight's call, we may use a non-GAAP financial measure if we believe it is useful to investors"}, {"path": "tedlium_34689.wav", "duration": 5.91, "text": "behind why that claim for medical necessity was necessary. All that"}, {"path": "tedlium_34690.wav", "duration": 5.91, "text": "Thanks Andy, and thanks to everyone for joining us on the call this morning to discuss our company's first quarter results."}, {"path": "tedlium_34691.wav", "duration": 5.91, "text": "and they're very receptive in trying to help us get through with the bureaucrats to get these things done."}, {"path": "tedlium_34692.wav", "duration": 5.91, "text": "And as we said in the quarter, we saw the shale business for us and now I'm talking about demand to us"}, {"path": "tedlium_34693.wav", "duration": 5.91, "text": "We should have some insight into which pathway is most feasible in coming months."}, {"path": "tedlium_34694.wav", "duration": 5.91, "text": "but we would note that there is probably a H1 or we expect there to be a H1 weighting in the financial performance,"}, {"path": "tedlium_34695.wav", "duration": 5.91, "text": "are you going to be homogenizing the returns as well? And"}, {"path": "tedlium_34696.wav", "duration": 5.91, "text": "our investment in credit risk and our investment in collections and those activities is"}, {"path": "tedlium_34697.wav", "duration": 5.91, "text": "in the West, which is the much bigger piece from an earnings perspective, we haven't really seen"}, {"path": "tedlium_34698.wav", "duration": 5.91, "text": "We expect to draw on our revolving credit facility to fund the cash portion of the special distribution."}, {"path": "tedlium_34699.wav", "duration": 5.91, "text": "We are winding down the operations of Neonet, and we are stopping the bleeding in Europe and Asia."}, {"path": "tedlium_34700.wav", "duration": 5.91, "text": "And if I think about our position in there just to go one level down, we've obviously got the Dulux brand."}, {"path": "tedlium_34701.wav", "duration": 5.91, "text": "now extending to nearly all parts of the restaurant franchisor business."}, {"path": "tedlium_34702.wav", "duration": 5.91, "text": "For example, the hedges that we have for lead, and we traditionally will"}, {"path": "tedlium_34703.wav", "duration": 5.91, "text": "In addition, the group retains a significant pool of unencumbered aircraft."}, {"path": "tedlium_34704.wav", "duration": 5.91, "text": "But that doesn't mean we are not working to improve the speed of our 4G network."}, {"path": "tedlium_34705.wav", "duration": 5.91, "text": "from a revenue perspective, in whatever way we sell the phone, the revenue profile is similar."}, {"path": "tedlium_34706.wav", "duration": 5.91, "text": "unexpected. We even talked about bringing in some of our inventory a little earlier so we could support some of these earlier"}, {"path": "tedlium_34707.wav", "duration": 5.91, "text": "a share that you've decided on of things that have happened already?"}, {"path": "tedlium_34708.wav", "duration": 5.91, "text": "In our rail end markets, we are seeing a continuation of growth as we capture some market share."}, {"path": "tedlium_34709.wav", "duration": 5.91, "text": "We're already seeing delighted business customers subscribing at a brisk pace."}, {"path": "tedlium_34710.wav", "duration": 5.91, "text": "It is definitely a differentiated solution. So when you think about price, it's not like we're trying to line up"}, {"path": "tedlium_34711.wav", "duration": 5.91, "text": "In closing, these continue to be good times at Eaton Vance. Our business has strong current momentum"}, {"path": "tedlium_34712.wav", "duration": 5.91, "text": "Yes, so all other things being equal, I mean, we should end up seeing total services revenue"}, {"path": "tedlium_34713.wav", "duration": 5.91, "text": "throughout this year. And I imagine a big slug of those in the back end of this year. So we'll begin to ramp up."}, {"path": "tedlium_34714.wav", "duration": 5.91, "text": "With major capital spending now complete and contributions from the new petrochemicals project,"}, {"path": "tedlium_34715.wav", "duration": 5.91, "text": "have you been able to grow, have you been able to combine distributors, is there a bit of overlap there? What's happening around that?"}, {"path": "tedlium_34716.wav", "duration": 5.91, "text": "When it comes to business management, instead of business investment,"}, {"path": "tedlium_34717.wav", "duration": 5.91, "text": "Turning to legal matters for a moment. Last year, the company received from the Attorney General of the Commonwealth of Massachusetts,"}, {"path": "tedlium_34718.wav", "duration": 5.91, "text": "Specifically, organizational restructuring and other actions associated with the new strategy,"}, {"path": "tedlium_34719.wav", "duration": 5.91, "text": "by increasing our penetration into the growing financial planning and retirement markets."}, {"path": "tedlium_34720.wav", "duration": 5.91, "text": "We are extremely optimistic of the performance and growth aspects of the Serbian division."}, {"path": "tedlium_34721.wav", "duration": 5.91, "text": "for the fabric supplier and the cut-and-sew company to be one and the same."}, {"path": "tedlium_34722.wav", "duration": 5.91, "text": "and that's where much of our effort is currently engaged in the immunovirology space."}, {"path": "tedlium_34723.wav", "duration": 5.91, "text": "We will not be aggressive where it doesn't make sense, where we see other ways to achieve a similar result"}, {"path": "tedlium_34724.wav", "duration": 5.91, "text": "I think that sums it up. And to the extent this mix shift has run its course"}, {"path": "tedlium_34725.wav", "duration": 5.91, "text": "policy like this is relatively new and recent. We haven't had this conversation in a while."}, {"path": "tedlium_34726.wav", "duration": 5.91, "text": "Finally, we expect to continue to achieve meaningful operating leverage in the periods ahead,"}, {"path": "tedlium_34727.wav", "duration": 5.91, "text": "As reflected in our outlook, we expect occupancy to improve by year-end."}, {"path": "tedlium_34728.wav", "duration": 5.91, "text": "While still in the early innings, we are very excited about the results we have seen at our pilot stores."}, {"path": "tedlium_34729.wav", "duration": 5.91, "text": "allude to provisioning being particularly strong in the second quarter and"}, {"path": "tedlium_34730.wav", "duration": 5.91, "text": "completely be offset by the cost measures that we are implementing."}, {"path": "tedlium_34731.wav", "duration": 5.91, "text": "it's always difficult to build energy infrastructure. So just any insights you can have in that regard."}, {"path": "tedlium_34732.wav", "duration": 5.91, "text": "Well, I want to thank everybody for joining us on our first conference call. And I'd also like"}, {"path": "tedlium_34733.wav", "duration": 5.91, "text": "We continued to maintain competitive brand levels of marketing and brand spend."}, {"path": "tedlium_34734.wav", "duration": 5.91, "text": "Moving to operations. We continued to run well during the quarter."}, {"path": "tedlium_34735.wav", "duration": 5.91, "text": "we launch our OMS Lite, I don't know whether this will be the name,"}, {"path": "tedlium_34736.wav", "duration": 5.91, "text": "The gain relating to the sale of our recruitment process outsourcing business was recorded in other income."}, {"path": "tedlium_34737.wav", "duration": 5.91, "text": "This decrease was primarily due to a decrease in the level of interest-bearing inventory"}, {"path": "tedlium_34738.wav", "duration": 5.91, "text": "military defense but there was also a little bit of weakness in commercial deliveries as well in the first half of the year."}, {"path": "tedlium_34739.wav", "duration": 5.91, "text": "Our new business to go -- our new business in total -- or the business we're going to create in total"}, {"path": "tedlium_34740.wav", "duration": 5.91, "text": "And they will try in their own interest to employ those structures in the private market."}, {"path": "tedlium_34741.wav", "duration": 5.91, "text": "and we even see that to gradually increase over the next 5 years."}, {"path": "tedlium_34742.wav", "duration": 5.91, "text": "our Q2 result showed a continuation of our solid business development"}, {"path": "tedlium_34743.wav", "duration": 5.91, "text": "The supplementary information includes current and historical supporting data on our homebuilding return on inventory,"}, {"path": "tedlium_34744.wav", "duration": 5.91, "text": "Less obvious is the ephemeral benefit of rebasing the accruals for the gross to net items."}, {"path": "tedlium_34745.wav", "duration": 5.91, "text": "a gross number that you're thinking about for the year or a rate or something that we can use?"}, {"path": "tedlium_34746.wav", "duration": 5.91, "text": "I don't want to give you guidance and an expectation until I can deliver. And let's let those results kind of form our view in the future."}, {"path": "tedlium_34747.wav", "duration": 5.91, "text": "spectrum to more expensive homes at this point in the cycle? Or is that remaining relatively flat still?"}, {"path": "tedlium_34748.wav", "duration": 5.91, "text": "size of the decline, given the levels that they've already been at and as we consider the more"}, {"path": "tedlium_34749.wav", "duration": 5.91, "text": "we're going to have to figure out the right structure. I think that is possible Eric."}, {"path": "tedlium_34750.wav", "duration": 5.91, "text": "You saw our first move here with the closure in Austria."}, {"path": "tedlium_34751.wav", "duration": 5.91, "text": "and our residential construction market estimate is for flat to low single-digit growth."}, {"path": "tedlium_34752.wav", "duration": 5.91, "text": "I would say that as you've heard from other broadcasters, there is a very strong"}, {"path": "tedlium_34753.wav", "duration": 5.91, "text": "but it was always part of our expectation for the rest of the year."}, {"path": "tedlium_34754.wav", "duration": 5.91, "text": "The upside for us will be when some of these big initiatives start to land."}, {"path": "tedlium_34755.wav", "duration": 5.91, "text": "Our engineering team continues to deliver great new enhancements and capabilities to our platform."}, {"path": "tedlium_34756.wav", "duration": 5.91, "text": "to gain a deeper understanding of the surgeons' assessment of the overall cartilage repair market"}, {"path": "tedlium_34757.wav", "duration": 5.91, "text": "you think you can get that expansion beyond the early retirement"}, {"path": "tedlium_34758.wav", "duration": 5.91, "text": "But then when we start to look at the WSE growth for the third quarter relative to the other quarters this year, it seems like it slowed down a little bit."}, {"path": "tedlium_34759.wav", "duration": 5.91, "text": "test the product, get comfortable with it and then convert away from one of their current partners."}, {"path": "tedlium_34760.wav", "duration": 5.91, "text": "even as we reinvest into the business and see outside cost pressures creeping in."}, {"path": "tedlium_34761.wav", "duration": 5.91, "text": "Well, the one thing I'd just offer as a quick passing comment on that is that"}, {"path": "tedlium_34762.wav", "duration": 5.91, "text": "After 3 quarters here at Visa, I'm quite pleased with our business progress and our high level of execution."}, {"path": "tedlium_34763.wav", "duration": 5.91, "text": "as well as all domains, including insulation and service."}, {"path": "tedlium_34764.wav", "duration": 5.91, "text": "Strong organic growth reflects strong market performance driven by our new product and channel initiatives."}, {"path": "tedlium_34765.wav", "duration": 5.9099375, "text": "Those REITs that did get involved in jumbo originations have by now largely exited the sector."}, {"path": "tedlium_34766.wav", "duration": 5.88, "text": "such as Xingyun and super VIP service,"}, {"path": "tedlium_34767.wav", "duration": 5.88, "text": "The question for us and the question for shareholders is what kind of fund do you want us to run."}, {"path": "tedlium_34768.wav", "duration": 5.88, "text": "in our history as a company where we are better positioned either strategically,"}, {"path": "tedlium_34769.wav", "duration": 5.88, "text": "based on operational excellence and a single-minded focus on the consumer."}, {"path": "tedlium_34770.wav", "duration": 5.88, "text": "I'm wondering if you can contextualize this observation and say if what you're seeing is anecdotal from a few patients,"}, {"path": "tedlium_34771.wav", "duration": 5.88, "text": "when do you think you hit kind of a full penetration in a sense on that activity? Is there"}, {"path": "tedlium_34772.wav", "duration": 5.88, "text": "We believe these additional hiring requirements will have a short-term impact on our driver count,"}, {"path": "tedlium_34773.wav", "duration": 5.88, "text": "So we have been working the teams on a set of requirements that"}, {"path": "tedlium_34774.wav", "duration": 5.88, "text": "is a real asset, complementing our strong knowledge of skincare in Europe"}, {"path": "tedlium_34775.wav", "duration": 5.88, "text": "original revenue was recorded, and how we adjusted it there in the fourth quarter."}, {"path": "tedlium_34776.wav", "duration": 5.88, "text": "This service work includes component rebuilds and new equipment preparation."}, {"path": "tedlium_34777.wav", "duration": 5.88, "text": "our business continues to perform well. We are moving forward with the strategic alternative process"}, {"path": "tedlium_34778.wav", "duration": 5.88, "text": "we have a U.S. entity and we got global operating subsidiaries, right?"}, {"path": "tedlium_34779.wav", "duration": 5.88, "text": "Got it. And the other question I just had was regard to flow instrumentation, I mean,"}, {"path": "tedlium_34780.wav", "duration": 5.88, "text": "Fourth quarter also contained adjustments for expenses related to our ongoing efforts"}, {"path": "tedlium_34781.wav", "duration": 5.88, "text": "However, we are optimistic that we will return to notable growth next year."}, {"path": "tedlium_34782.wav", "duration": 5.88, "text": "you could give me a little more detail -- give us a little more detail on"}, {"path": "tedlium_34783.wav", "duration": 5.88, "text": "it could be elevated for another quarter or two, but that,"}, {"path": "tedlium_34784.wav", "duration": 5.88, "text": "It's not an attractive model to the customers, so we absolutely see the pendulum swinging towards"}, {"path": "tedlium_34785.wav", "duration": 5.88, "text": "and there was meaningful contributions from each of the regions."}, {"path": "tedlium_34786.wav", "duration": 5.88, "text": "and connection with one of the largest, fast and growing demographics in the nation."}, {"path": "tedlium_34787.wav", "duration": 5.88, "text": "You have to have the good spec, you get the right ingredients, and you can sell them to"}, {"path": "tedlium_34788.wav", "duration": 5.88, "text": "the appreciation of consumers. And of course, each category is different."}, {"path": "tedlium_34789.wav", "duration": 5.88, "text": "continues to contribute to our ability to maximize revenues in all of our markets."}, {"path": "tedlium_34790.wav", "duration": 5.88, "text": "which was issued in December, does not apply to the electricity distribution network operators,"}, {"path": "tedlium_34791.wav", "duration": 5.88, "text": "And we think there will likely be some level of carryover budget for multiyear 8, so we're not expecting to see"}, {"path": "tedlium_34792.wav", "duration": 5.88, "text": "a change that is here to stay. Maybe we will see some changes here and there in terms of"}, {"path": "tedlium_34793.wav", "duration": 5.88, "text": "even making changes in their capital structure. And there is another"}, {"path": "tedlium_34794.wav", "duration": 5.88, "text": "now, some companies are trying to"}, {"path": "tedlium_34795.wav", "duration": 5.88, "text": "and that the back half of the year comps will be much easier"}, {"path": "tedlium_34796.wav", "duration": 5.88, "text": "Two important advances were made through our imaging mass cytometry user group meetings."}, {"path": "tedlium_34797.wav", "duration": 5.88, "text": "Nothing major. So we're not that far down the line in that process, Brian."}, {"path": "tedlium_34798.wav", "duration": 5.88, "text": "And the good news is I believe the combination of the brand visibility,"}, {"path": "tedlium_34799.wav", "duration": 5.88, "text": "With developments such as these, we are adjusting our outlook also regarding"}, {"path": "tedlium_34800.wav", "duration": 5.88, "text": "This plus was attributable especially to a large project in South America."}, {"path": "tedlium_34801.wav", "duration": 5.88, "text": "The real estate development business should continue to make very positive earnings contributions"}, {"path": "tedlium_34802.wav", "duration": 5.88, "text": "of more than 5%. This exceeded the cost savings projections I provided last quarter"}, {"path": "tedlium_34803.wav", "duration": 5.88, "text": "We intend to build on that momentum and update you on our progress in April. Thank you."}, {"path": "tedlium_34804.wav", "duration": 5.88, "text": "Our robust international supply chain will enable us to flex and mitigate the effects."}, {"path": "tedlium_34805.wav", "duration": 5.88, "text": "and we plan to see the cost savings materialize in the second quarter of next year."}, {"path": "tedlium_34806.wav", "duration": 5.88, "text": "This quarter, we started testing a small volume point value change in a few products, some of our bars"}, {"path": "tedlium_34807.wav", "duration": 5.88, "text": "It's been a busy 3 months since our strategy presentation, and I'm very pleased to be here today"}, {"path": "tedlium_34808.wav", "duration": 5.88, "text": "lumpy borrowings rolling off at higher rates? Is that going to be a focus this year at all?"}, {"path": "tedlium_34809.wav", "duration": 5.88, "text": "Much more around training and that whole team working together in each area."}, {"path": "tedlium_34810.wav", "duration": 5.88, "text": "We continue to have an active divestment program with multiple work streams running in parallel."}, {"path": "tedlium_34811.wav", "duration": 5.88, "text": "The innovation in food is obvious to everyone no matter where you are in the world, and it is good for us."}, {"path": "tedlium_34812.wav", "duration": 5.88, "text": "We have a few Professional Lab Services agreements we expect to close in the second half."}, {"path": "tedlium_34813.wav", "duration": 5.88, "text": "as well as the reversal of a portion of the earn-out accrual associated with our acquisition of The Business Backer."}, {"path": "tedlium_34814.wav", "duration": 5.88, "text": "from licensing and collaboration revenue from the agreement with Elanco, inventory valuation adjustment"}, {"path": "tedlium_34815.wav", "duration": 5.88, "text": "These are some of the variables that we will be watching and discussing with you over the coming quarters."}, {"path": "tedlium_34816.wav", "duration": 5.88, "text": "which was offset by the tax benefit from remeasurement of associated tax-deferred liabilities."}, {"path": "tedlium_34817.wav", "duration": 5.88, "text": "all integrated with and driven from the core recovery audit data we know so well."}, {"path": "tedlium_34818.wav", "duration": 5.88, "text": "Having said that, we think there's probably a secular decline going on with regard to NSF fees,"}, {"path": "tedlium_34819.wav", "duration": 5.88, "text": "As Jeff detailed, the positive mix shift was due to a combination of factors,"}, {"path": "tedlium_34820.wav", "duration": 5.88, "text": "I think you would expect to see a marginal decline in high street branches."}, {"path": "tedlium_34821.wav", "duration": 5.88, "text": "To conclude, we are very confident that the successful execution of the strategy and the flexibility"}, {"path": "tedlium_34822.wav", "duration": 5.88, "text": "once again, if there is no consolidation in the short term in France, at least,"}, {"path": "tedlium_34823.wav", "duration": 5.88, "text": "Siding or Engineered Wood would be something that we're interested in pursuing."}, {"path": "tedlium_34824.wav", "duration": 5.88, "text": "Thanks, Alex, and thank you to everyone for joining us today. We have a lot of news to share."}, {"path": "tedlium_34825.wav", "duration": 5.88, "text": "that does not affect your confidence in the ability of the group"}, {"path": "tedlium_34826.wav", "duration": 5.88, "text": "Last year, in November, on the 14 of November, we have announced that we have changed our organization"}, {"path": "tedlium_34827.wav", "duration": 5.88, "text": "And finally, if that is all executed, we regard ourselves as well positioned for the long term. We'll have"}, {"path": "tedlium_34828.wav", "duration": 5.88, "text": "What kind of returns can we generate out of the business? What kind of a long cycle investment do we need?"}, {"path": "tedlium_34829.wav", "duration": 5.88, "text": "while minimizing the reliance on funding from the Central Bank of Russia and other sources."}, {"path": "tedlium_34830.wav", "duration": 5.88, "text": "Ivan will talk more about our outlook for U.S. spirits in fiscal '17 later."}, {"path": "tedlium_34831.wav", "duration": 5.88, "text": "a year ago at this time, how those are performing versus the store model"}, {"path": "tedlium_34832.wav", "duration": 5.88, "text": "All 3 are critical, and we now have achieved a uniquely powerful combination of these 3 elements."}, {"path": "tedlium_34833.wav", "duration": 5.88, "text": "Each of them will be able to stand on their own from a profitability perspective. Now in terms of how we end up"}, {"path": "tedlium_34834.wav", "duration": 5.88, "text": "The differences between active and placebo groups were statistically significant."}, {"path": "tedlium_34835.wav", "duration": 5.88, "text": "Then we'll open the call for your questions. Now I'll turn the call over to Andrea."}, {"path": "tedlium_34836.wav", "duration": 5.88, "text": "I'll have some closing comments after Glenn provides more detail on the financial results. Glenn?"}, {"path": "tedlium_34837.wav", "duration": 5.88, "text": "But I would say that certainly, every region is rich with opportunities."}, {"path": "tedlium_34838.wav", "duration": 5.88, "text": "So I look at place like Brazil when I see some of that happening"}, {"path": "tedlium_34839.wav", "duration": 5.88, "text": "Ladies and gentlemen, that does conclude your conference. Thank you for your participation. You may now disconnect."}, {"path": "tedlium_34840.wav", "duration": 5.88, "text": "as well as 1 additional month of the Providence Health System that we acquired effective"}, {"path": "tedlium_34841.wav", "duration": 5.88, "text": "The campaign is designed to drive direct bookings by promoting our richest consumer offer ever."}, {"path": "tedlium_34842.wav", "duration": 5.88, "text": "sort of the scope of what those opportunities might be like and how you're approaching"}, {"path": "tedlium_34843.wav", "duration": 5.88, "text": "Our spreads have firmed and are growing in dollar terms, and our credit quality remains very strong."}, {"path": "tedlium_34844.wav", "duration": 5.88, "text": "not surprisingly given some of the macro trends there on oil prices and also what's happening"}, {"path": "tedlium_34845.wav", "duration": 5.88, "text": "Our increased total investment income and the continued leverage of our efficient operating structure"}, {"path": "tedlium_34846.wav", "duration": 5.88, "text": "Thank you, Mark. I'm going to provide a brief update on key balance sheet items and financial measures,"}, {"path": "tedlium_34847.wav", "duration": 5.88, "text": "During the fourth quarter, the company recognized a loss on a piece of property acquired from legacy United in the merger"}, {"path": "tedlium_34848.wav", "duration": 5.88, "text": "things like agriculture coming back, the crop spray business and some of the other businesses there."}, {"path": "tedlium_34849.wav", "duration": 5.88, "text": "And in terms of the proposed JV, have you already started working on who"}, {"path": "tedlium_34850.wav", "duration": 5.88, "text": "Process design kits were released, and we are closely working with selected early adopters on products,"}, {"path": "tedlium_34851.wav", "duration": 5.88, "text": "the math that I just gave, the arithmetic I just gave, you'd see that the fourth quarter of '18 is"}, {"path": "tedlium_34852.wav", "duration": 5.88, "text": "and anticipated supply needs for a more comprehensive and aggressive launch"}, {"path": "tedlium_34853.wav", "duration": 5.88, "text": "While it is still too early to put any firm numbers around 2017 trailer projections"}, {"path": "tedlium_34854.wav", "duration": 5.88, "text": "Are you on track, and are you going to reach those targets, your internal targets,"}, {"path": "tedlium_34855.wav", "duration": 5.88, "text": "Our sustainability measures around waste generation and water consumption are in good shape."}, {"path": "tedlium_34856.wav", "duration": 5.88, "text": "As you know, on October 30th, we announced our agreement to acquire the Alpha Technologies Group."}, {"path": "tedlium_34857.wav", "duration": 5.88, "text": "Last evening, we posted slides on our website that we will be referencing during the call this morning."}, {"path": "tedlium_34858.wav", "duration": 5.88, "text": "With that, let me turn it over to Chris to walk us through operating results in more detail."}, {"path": "tedlium_34859.wav", "duration": 5.88, "text": "After that, Chris will speak more granularly about our operating performance for the quarter."}, {"path": "tedlium_34860.wav", "duration": 5.88, "text": "Thank you for the way analysts and the press have followed the great evolution of TIM."}, {"path": "tedlium_34861.wav", "duration": 5.88, "text": "Now I'll move into a brief update on initiatives in our segments."}, {"path": "tedlium_34862.wav", "duration": 5.88, "text": "Also, we have one claim in Australia in which there was no significant development."}, {"path": "tedlium_34863.wav", "duration": 5.88, "text": "This slowing trend may be somewhat exacerbated by the recently announced mortgage rule changes."}, {"path": "tedlium_34864.wav", "duration": 5.88, "text": "This decrease was largely due to an increase in the discount rate used to value the obligations."}, {"path": "tedlium_34865.wav", "duration": 5.88, "text": "that gives us enough confidence for us to pursue an asset. We've looked at a number of different things,"}, {"path": "tedlium_34866.wav", "duration": 5.88, "text": "to become activated and seek treatment when there weren't previous alternatives"}, {"path": "tedlium_34867.wav", "duration": 5.88, "text": "Later this year, we are also expecting additional data readouts from Phase II studies"}, {"path": "tedlium_34868.wav", "duration": 5.88, "text": "we thought it was a reasonable price for the prospects of the business. It is fairly rare, I would say that. Yes."}, {"path": "tedlium_34869.wav", "duration": 5.88, "text": "situation around the world, and that is the reason for our cautious approach."}, {"path": "tedlium_34870.wav", "duration": 5.88, "text": "The second takeaway is that we pursue the development of the group."}, {"path": "tedlium_34871.wav", "duration": 5.88, "text": "And I don't know if you've gone through the budgeting process, but it's a question that's coming up fairly frequently now. And"}, {"path": "tedlium_34872.wav", "duration": 5.88, "text": "As we said previously, we expect to recognize revenue for this product in the second half of this year."}, {"path": "tedlium_34873.wav", "duration": 5.88, "text": "This was driven by a favorable product mix and by our transformation plan."}, {"path": "tedlium_34874.wav", "duration": 5.88, "text": "higher than we anticipated earlier, mostly for the reason of the high growth of the gross loan portfolio."}, {"path": "tedlium_34875.wav", "duration": 5.88, "text": "our expectations for next year would be a continued development compared to what we have seen"}, {"path": "tedlium_34876.wav", "duration": 5.88, "text": "So I think one of our focuses will certainly be shortening those lead times."}, {"path": "tedlium_34877.wav", "duration": 5.88, "text": "Given the importance of these guidelines, we believe these recommendations provide further validation of our data"}, {"path": "tedlium_34878.wav", "duration": 5.88, "text": "and mostly it will be due to factors without our -- outside our control."}, {"path": "tedlium_34879.wav", "duration": 5.88, "text": "adding to the seasonal slowdown in business activity that we usually see during this"}, {"path": "tedlium_34880.wav", "duration": 5.88, "text": "At the same time, we've made HAY products more widely available throughout our Design Within Reach retail studios."}, {"path": "tedlium_34881.wav", "duration": 5.88, "text": "material science company that has a fairly nice growing med piece."}, {"path": "tedlium_34882.wav", "duration": 5.88, "text": "I'll now make a few comments on guidance before turning the call back to the operator for questions."}, {"path": "tedlium_34883.wav", "duration": 5.88, "text": "Right. And that is what we are planning"}, {"path": "tedlium_34884.wav", "duration": 5.88, "text": "We believe it is important to present our results in this way as the finance -- adjusted financial measures"}, {"path": "tedlium_34885.wav", "duration": 5.88, "text": "The company does not expect to execute any definitive agreements until the HLC process has concluded."}, {"path": "tedlium_34886.wav", "duration": 5.88, "text": "but we don't know specifically when they'll line up. We'll need to add resources in advance of those becoming live,"}, {"path": "tedlium_34887.wav", "duration": 5.88, "text": "a lot of people kind of question, well, why are you guys making such a big investment in an"}, {"path": "tedlium_34888.wav", "duration": 5.88, "text": "Bob, when you mentioned kind of whenever you start to see slowness or different elements in your business and you start to see"}, {"path": "tedlium_34889.wav", "duration": 5.88, "text": "of the services for the installed base. So there is an opportunity there for us."}, {"path": "tedlium_34890.wav", "duration": 5.88, "text": "Core revenue for the sensing technologies platform decreased low single digits in the quarter."}, {"path": "tedlium_34891.wav", "duration": 5.88, "text": "And also, our aim here is clear. We want to further extend our leading position"}, {"path": "tedlium_34892.wav", "duration": 5.88, "text": "occupancy turnover and rent growth for all of our renewals and we're going to continue to do that. As Gary mentioned,"}, {"path": "tedlium_34893.wav", "duration": 5.88, "text": "analyzed the test results and provided that information to the market."}, {"path": "tedlium_34894.wav", "duration": 5.88, "text": "And is this a situation where they can only do that for so long, and then we'd expect to see the usage rebound?"}, {"path": "tedlium_34895.wav", "duration": 5.88, "text": "on your questions on Guatiquia and Quifa, I'm going to hand over in a second"}, {"path": "tedlium_34896.wav", "duration": 5.88, "text": "Perhaps that is why I struggle to accept the public market's view of our current value."}, {"path": "tedlium_34897.wav", "duration": 5.88, "text": "The presentation is directly below the webcast information in the middle of the page."}, {"path": "tedlium_34898.wav", "duration": 5.88, "text": "And it has performed very well in the hands of key opinion leaders going through very tough lesions."}, {"path": "tedlium_34899.wav", "duration": 5.88, "text": "looking at growth is to put our foot on the best exploration ground in Africa."}, {"path": "tedlium_34900.wav", "duration": 5.88, "text": "Is there a thought to going back to issuing '17 guidance or annual guidance"}, {"path": "tedlium_34901.wav", "duration": 5.88, "text": "And on the other side, we look for acquisitions that principally give us a scope,"}, {"path": "tedlium_34902.wav", "duration": 5.88, "text": "The acquisition of Atrium Innovations provided additional growth in the second quarter,"}, {"path": "tedlium_34903.wav", "duration": 5.88, "text": "mainly explained by the expected recoveries in income tax related to the payments that we mentioned before."}, {"path": "tedlium_34904.wav", "duration": 5.88, "text": "is the continued investment of shareholders capital is required and then getting returns."}, {"path": "tedlium_34905.wav", "duration": 5.88, "text": "We continue to work with payers to secure favorable reimbursement and are making incremental progress."}, {"path": "tedlium_34906.wav", "duration": 5.88, "text": "lots of great flats out there right now. So when we look at some of the trends,"}, {"path": "tedlium_34907.wav", "duration": 5.88, "text": "having entry into that basin and seeing success. And we see a lot insight"}, {"path": "tedlium_34908.wav", "duration": 5.88, "text": "So I think it's just a good opportunity to remind everyone of what we've been telling you for a couple of quarters now"}, {"path": "tedlium_34909.wav", "duration": 5.88, "text": "or typically the market leader in mobile. So we have a massive market income already in market."}, {"path": "tedlium_34910.wav", "duration": 5.88, "text": "Or is it a bigger problem with the new startups just trying to undercut to build a business? Can you distinguish"}, {"path": "tedlium_34911.wav", "duration": 5.88, "text": "that we will continue to pursue the merger of equals with Terex Corporation."}, {"path": "tedlium_34912.wav", "duration": 5.88, "text": "Your comment is a fair comment, it's a balancing act between"}, {"path": "tedlium_34913.wav", "duration": 5.88, "text": "I think that's where our statement of being well in the range is justified."}, {"path": "tedlium_34914.wav", "duration": 5.88, "text": "that level of productivity? Or is that roughly what we should think about in terms of what you can do going forward?"}, {"path": "tedlium_34915.wav", "duration": 5.88, "text": "And that is also one of the benefits of this investment. Now"}, {"path": "tedlium_34916.wav", "duration": 5.88, "text": "and that it will now look ahead with plans to begin resettlement which will allow construction of the project."}, {"path": "tedlium_34917.wav", "duration": 5.88, "text": "So quite a few in the IFRS business, for example. So as you would expect, we keep a very good"}, {"path": "tedlium_34918.wav", "duration": 5.88, "text": "I have a question about some of the data that was presented at AAN. And"}, {"path": "tedlium_34919.wav", "duration": 5.88, "text": "forms of risks to take. And I think that the clients are becoming"}, {"path": "tedlium_34920.wav", "duration": 5.88, "text": "Without going too far, I might say we're more happy with our competitive position in the first quarter,"}, {"path": "tedlium_34921.wav", "duration": 5.88, "text": "There was an immaterial impact to our first quarter revenues due to the timing of our latest acquisition of Medallion Plastics,"}, {"path": "tedlium_34922.wav", "duration": 5.88, "text": "Lower lease spending was offset by higher planned investments to refresh the rental fleet."}, {"path": "tedlium_34923.wav", "duration": 5.88, "text": "While new funding and initiatives to improve access to treatment continued to be rolled out across the country."}, {"path": "tedlium_34924.wav", "duration": 5.88, "text": "Finally, we may refer to certain non-GAAP measures during the call, and our earnings release and investor presentation"}, {"path": "tedlium_34925.wav", "duration": 5.88, "text": "Reliance is very well-positioned to further grow our participation in this area."}, {"path": "tedlium_34926.wav", "duration": 5.88, "text": "in order to participate in the China domestic market as a bankcard clearing institution."}, {"path": "tedlium_34927.wav", "duration": 5.88, "text": "This healthy growth is the result of the business development activity in the markets we serve abroad."}, {"path": "tedlium_34928.wav", "duration": 5.85, "text": "I will now turn the call over to Mark to comment on our second quarter financial results and third quarter guidance."}, {"path": "tedlium_34929.wav", "duration": 5.85, "text": "That's not clear yet. So those customers, which are testing these technologies,"}, {"path": "tedlium_34930.wav", "duration": 5.85, "text": "do not offer better growth in future cycles."}, {"path": "tedlium_34931.wav", "duration": 5.85, "text": "The group has seen improvements in claims frequency over the last year."}, {"path": "tedlium_34932.wav", "duration": 5.85, "text": "Also want to point out that increased mining activity and rebound in China"}, {"path": "tedlium_34933.wav", "duration": 5.85, "text": "the pace of change in your businesses and the markets you serve has accelerated or is accelerating."}, {"path": "tedlium_34934.wav", "duration": 5.85, "text": "capacity is also much higher. So there will be a lot of cost savings and spend savings"}, {"path": "tedlium_34935.wav", "duration": 5.85, "text": "The decline was driven by higher marketing expenses and higher direct costs in business."}, {"path": "tedlium_34936.wav", "duration": 5.85, "text": "and we are seeing increased uptake and utilization of our HPV vaccine around the world."}, {"path": "tedlium_34937.wav", "duration": 5.85, "text": "which we've evaluated not to be useful to evaluate vaccine efficacy."}, {"path": "tedlium_34938.wav", "duration": 5.85, "text": "and it's been relatively stable. Certainly, there's a lot of talk about German discounters and"}, {"path": "tedlium_34939.wav", "duration": 5.85, "text": "defining precisely the individual contribution and the opportunity."}, {"path": "tedlium_34940.wav", "duration": 5.85, "text": "Good morning from my side as well, and thank you all for joining us here today."}, {"path": "tedlium_34941.wav", "duration": 5.85, "text": "And we are further expanding, planning this year Bangladesh and Myanmar."}, {"path": "tedlium_34942.wav", "duration": 5.85, "text": "Overall, our progress on our key priorities provides me with confidence in the year ahead."}, {"path": "tedlium_34943.wav", "duration": 5.85, "text": "In that calculation, we include the expense on nonrecurring security and technology transformation"}, {"path": "tedlium_34944.wav", "duration": 5.85, "text": "We are improving our overall compensation and benefits programs for our employees."}, {"path": "tedlium_34945.wav", "duration": 5.85, "text": "really a very positive development in terms of assets and deposit growing"}, {"path": "tedlium_34946.wav", "duration": 5.85, "text": "So if you add that all up, where is the group shaping for the end of the year?"}, {"path": "tedlium_34947.wav", "duration": 5.85, "text": "In fulfillment, we expect to continue our lean direct and indirect spend reductions,"}, {"path": "tedlium_34948.wav", "duration": 5.85, "text": "while undertaking curtailed activity, we really made that activity count"}, {"path": "tedlium_34949.wav", "duration": 5.85, "text": "if that income were to be reversed, then a reversing deferred tax benefit would be recorded."}, {"path": "tedlium_34950.wav", "duration": 5.85, "text": "If you start out at a small percentage, even if you're doubling every year and"}, {"path": "tedlium_34951.wav", "duration": 5.85, "text": "we're considering that most of the growth will come from that data in the"}, {"path": "tedlium_34952.wav", "duration": 5.85, "text": "In the past, you may be scared by such a story, and you spend more,"}, {"path": "tedlium_34953.wav", "duration": 5.85, "text": "I'd like to have your opinion about the"}, {"path": "tedlium_34954.wav", "duration": 5.85, "text": "The increased uncertainty around Avaya's future is causing more and more enterprises to look at alternatives."}, {"path": "tedlium_34955.wav", "duration": 5.85, "text": "into internal turnover to use this fiber in our own cable manufacturing"}, {"path": "tedlium_34956.wav", "duration": 5.85, "text": "And with the vacancy where it's at some of them have sort of come up against constraints and even taken up space in"}, {"path": "tedlium_34957.wav", "duration": 5.85, "text": "that allows us to train all individuals on a real culture of taking care of each other."}, {"path": "tedlium_34958.wav", "duration": 5.85, "text": "and operational synergies as well, as we integrate the facility in the Czech Republic"}, {"path": "tedlium_34959.wav", "duration": 5.85, "text": "any overall softness? Or is that just because those -- you're looking at those events as if they were flat?"}, {"path": "tedlium_34960.wav", "duration": 5.85, "text": "have declined to a more normalized level"}, {"path": "tedlium_34961.wav", "duration": 5.85, "text": "in improving and enhancing both diagnosis, but have also of course addressing misdiagnosis. And"}, {"path": "tedlium_34962.wav", "duration": 5.85, "text": "So turning now to look at profit from trading operations in a bit more detail."}, {"path": "tedlium_34963.wav", "duration": 5.85, "text": "This also explains the growth of the noncurrent financial liabilities."}, {"path": "tedlium_34964.wav", "duration": 5.85, "text": "Let me continue with more details on the premium and fee income development."}, {"path": "tedlium_34965.wav", "duration": 5.85, "text": "Looking at the individual months and excluding our stations in Los Angeles and Terre Haute,"}, {"path": "tedlium_34966.wav", "duration": 5.85, "text": "The decrease in tax expense was a result of higher operating income"}, {"path": "tedlium_34967.wav", "duration": 5.85, "text": "We have an excellent brand name, leading technology and reputation in the automotive industry."}, {"path": "tedlium_34968.wav", "duration": 5.85, "text": "We are in the midst of selecting an exchange and plan to relist after launching our new brand."}, {"path": "tedlium_34969.wav", "duration": 5.85, "text": "Based on current exchange rates and the positive currency impact realized year-to-date,"}, {"path": "tedlium_34970.wav", "duration": 5.85, "text": "and it's created a situation where we can access alternative forms of capital at a lower,"}, {"path": "tedlium_34971.wav", "duration": 5.85, "text": "as we've highlighted in the past, we continue to have one of the lowest leveraged balance sheets in the industry."}, {"path": "tedlium_34972.wav", "duration": 5.85, "text": "I think they're all going to have to change their comp plans. I think there's a possibility"}, {"path": "tedlium_34973.wav", "duration": 5.85, "text": "we feel that the economy is doing very well. We don't see any cracks in any part of our business"}, {"path": "tedlium_34974.wav", "duration": 5.85, "text": "but underlying constant currency results are more reflective of the actual growth trends."}, {"path": "tedlium_34975.wav", "duration": 5.85, "text": "And while we're continuing that at a healthy pace of over 100 basis points"}, {"path": "tedlium_34976.wav", "duration": 5.85, "text": "As we discussed during last quarter's conference call, on 2 of the 5 projects,"}, {"path": "tedlium_34977.wav", "duration": 5.85, "text": "the resources are attained, and we're going to move this thing forward. So again, I don't want to comment on anything specifically."}, {"path": "tedlium_34978.wav", "duration": 5.85, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_34979.wav", "duration": 5.85, "text": "On a per share basis, this represents an increase of 4% over the first quarter of this year"}, {"path": "tedlium_34980.wav", "duration": 5.85, "text": "We're seeing a number of promising opportunities and continue to add targets to our pipeline."}, {"path": "tedlium_34981.wav", "duration": 5.85, "text": "wouldn't be able to comment unless such time we had a client who wanted us to comment on that."}, {"path": "tedlium_34982.wav", "duration": 5.85, "text": "any indication as to what momentum is in terms of flows during the first half of the year? Campbell?"}, {"path": "tedlium_34983.wav", "duration": 5.85, "text": "We are also collecting at record levels through the legal channel because of operational enhancements we've made."}, {"path": "tedlium_34984.wav", "duration": 5.85, "text": "on Q3, we may have gotten our balance a little bit off. And we're course correcting that balance. So"}, {"path": "tedlium_34985.wav", "duration": 5.85, "text": "Growth was driven by insecticides, including the return of Vydate volumes."}, {"path": "tedlium_34986.wav", "duration": 5.85, "text": "and expanded our federal footprint with the addition of the Defense Acquisition University,"}, {"path": "tedlium_34987.wav", "duration": 5.85, "text": "We are in the early stages of evaluating opportunities and we will keep you updated as they unfold."}, {"path": "tedlium_34988.wav", "duration": 5.85, "text": "We are also continuing our relentless focus on the productivity of capital employed in our business."}, {"path": "tedlium_34989.wav", "duration": 5.85, "text": "And my second question is just a point of confirmation. So as you recover the profit,"}, {"path": "tedlium_34990.wav", "duration": 5.85, "text": "anniversary the program, you have to make it more enticing to the customer that's been with you"}, {"path": "tedlium_34991.wav", "duration": 5.85, "text": "Everywhere else, where we are not strong yet, there is a growth focus on Health."}, {"path": "tedlium_34992.wav", "duration": 5.85, "text": "All of the KPIs that we have published this year are either"}, {"path": "tedlium_34993.wav", "duration": 5.85, "text": "Moving to dividends. The board has declared, as Rob mentioned earlier,"}, {"path": "tedlium_34994.wav", "duration": 5.85, "text": "in the form of new work versus the form of rebid. And I think as I might have mentioned on my call notes,"}, {"path": "tedlium_34995.wav", "duration": 5.85, "text": "The one thing we do say about our cash burn is that we anticipate our cash"}, {"path": "tedlium_34996.wav", "duration": 5.85, "text": "and you've got this movement from call it the lab space into more of a commercial application."}, {"path": "tedlium_34997.wav", "duration": 5.85, "text": "with potential infusion reactions. So from our early data, we were able to define the"}, {"path": "tedlium_34998.wav", "duration": 5.85, "text": "Although we continue to pursue a number of attractive investment opportunities, specifically in the reentry space"}, {"path": "tedlium_34999.wav", "duration": 5.85, "text": "Excluding this impact, we continue to expect CAP operating margin to be moderately higher year-over-year."}, {"path": "tedlium_35000.wav", "duration": 5.85, "text": "you talked about you've got content in so many different moving pieces and so many different areas."}, {"path": "tedlium_35001.wav", "duration": 5.85, "text": "With our existing Axon capabilities, we have been able to reduce the time it takes to redact 1 hour of video"}, {"path": "tedlium_35002.wav", "duration": 5.85, "text": "The company ranked highest among large Electric Utilities in the Eastern United States."}, {"path": "tedlium_35003.wav", "duration": 5.85, "text": "Just given some of the implied diversification, either in terms of customer or product sales mix within"}, {"path": "tedlium_35004.wav", "duration": 5.85, "text": "is reasonably good and there's good Roofing activity, which typically supports a little bit more stable pricing. And as a result,"}, {"path": "tedlium_35005.wav", "duration": 5.85, "text": "kind of had a double effect on the negative for us, needless to say, because of this Rhine River effect"}, {"path": "tedlium_35006.wav", "duration": 5.85, "text": "So this is a constant effort on our part. And we survey our customers."}, {"path": "tedlium_35007.wav", "duration": 5.85, "text": "To be very clear, this is all behind us. We resumed normal operations globally. We're going full speed."}, {"path": "tedlium_35008.wav", "duration": 5.85, "text": "I think if you look at the cash being generated from"}, {"path": "tedlium_35009.wav", "duration": 5.85, "text": "how we allocate capital to the growth of TLLP that creates the most value, whether it be through"}, {"path": "tedlium_35010.wav", "duration": 5.85, "text": "These increases were partially offset by increased gains on the conveyances of mineral interests."}, {"path": "tedlium_35011.wav", "duration": 5.85, "text": "I wonder also about narrow bodies, if anything positive is going on there or if that's flat also."}, {"path": "tedlium_35012.wav", "duration": 5.85, "text": "during the late holiday season in the fourth quarter and continuing into the first quarter."}, {"path": "tedlium_35013.wav", "duration": 5.85, "text": "whether we can maybe assume it's going to continue for the rest of the year, or whether this is kind of a transitory effect."}, {"path": "tedlium_35014.wav", "duration": 5.85, "text": "But I do expect we'll continue to look at things on a regular basis as we've been doing even here in April."}, {"path": "tedlium_35015.wav", "duration": 5.85, "text": "going through H1, both of these will flip, once our investment program has been completed."}, {"path": "tedlium_35016.wav", "duration": 5.85, "text": "okay, and they're doing well. But I just -- I don't want to be ahead of the game,"}, {"path": "tedlium_35017.wav", "duration": 5.85, "text": "I really have very few. I appreciate everyone's interest in listening to the progress of First Merchants."}, {"path": "tedlium_35018.wav", "duration": 5.85, "text": "value we see in that scheduling process and that underlying scheduling technology."}, {"path": "tedlium_35019.wav", "duration": 5.85, "text": "Given the runup in the markets and the benefit we're seeing from our assumption updates, we see this as a good opportunity to revisit"}, {"path": "tedlium_35020.wav", "duration": 5.85, "text": "the tax reform and the impacts on the margin and then the first quarter also has a lower day count,"}, {"path": "tedlium_35021.wav", "duration": 5.85, "text": "As part of our introductory launch, we have conducted extensive sales force training"}, {"path": "tedlium_35022.wav", "duration": 5.85, "text": "This is an ideal first product for them to have since it does so many different things. So"}, {"path": "tedlium_35023.wav", "duration": 5.85, "text": "In general, we require larger down payments on more expensive homes to manage our exposures."}, {"path": "tedlium_35024.wav", "duration": 5.85, "text": "product has to compete against. And so those things all play together to come up ultimately with what"}, {"path": "tedlium_35025.wav", "duration": 5.85, "text": "One can only talk about the spectacular improvements to these operations."}, {"path": "tedlium_35026.wav", "duration": 5.85, "text": "and we've also seen an acceleration of early repayments, particularly in certain sectors."}, {"path": "tedlium_35027.wav", "duration": 5.85, "text": "so things are moving forward very much according to plan that we laid out at Investor Day."}, {"path": "tedlium_35028.wav", "duration": 5.85, "text": "And as we look at how this business gets incorporated into our"}, {"path": "tedlium_35029.wav", "duration": 5.85, "text": "a pickup in order activity in the International business. And I'm"}, {"path": "tedlium_35030.wav", "duration": 5.85, "text": "at Cedar Bayou, which is one of the largest and most energy-efficient crackers in the world."}, {"path": "tedlium_35031.wav", "duration": 5.85, "text": "Let me share with you why we have confidence that our plans on the core brands are working."}, {"path": "tedlium_35032.wav", "duration": 5.85, "text": "Based on this, we aim at rebalancing the resource and non-resource businesses."}, {"path": "tedlium_35033.wav", "duration": 5.85, "text": "For profit, some upside, Avionics and Solutions"}, {"path": "tedlium_35034.wav", "duration": 5.85, "text": "Most important though for this presentation, I think is that we continue to deliver on our strategy,"}, {"path": "tedlium_35035.wav", "duration": 5.85, "text": "But I -- predicting where the values will fall out on the value chain is always hard."}, {"path": "tedlium_35036.wav", "duration": 5.85, "text": "after considering the current situation and our future objectives, we must"}, {"path": "tedlium_35037.wav", "duration": 5.85, "text": "We will also enhance business scale in Europe through acquiring new capacity."}, {"path": "tedlium_35038.wav", "duration": 5.85, "text": "and that has a lot to do with, again, just a lot more meat and a lot more hogs"}, {"path": "tedlium_35039.wav", "duration": 5.85, "text": "Our Engineering division continues to do very well. Revenues and gross profit"}, {"path": "tedlium_35040.wav", "duration": 5.85, "text": "our Canadian business is really doing a great job and continues to grow clients as well"}, {"path": "tedlium_35041.wav", "duration": 5.85, "text": "Together, these improvements will dramatically improve the guest experience this season and for years to come."}, {"path": "tedlium_35042.wav", "duration": 5.85, "text": "by designing and developing product to support our customers ahead of the technology curve."}, {"path": "tedlium_35043.wav", "duration": 5.85, "text": "We feel that we have the right level of inventory. We have the right plans in place."}, {"path": "tedlium_35044.wav", "duration": 5.85, "text": "we all survived them. All governments have again a ruling"}, {"path": "tedlium_35045.wav", "duration": 5.85, "text": "The room and board payments of ground students continue to drive up the annual revenue per student number."}, {"path": "tedlium_35046.wav", "duration": 5.85, "text": "I'd now like to talk more about our indirect sales channel of domestic and international distributors."}, {"path": "tedlium_35047.wav", "duration": 5.85, "text": "We remain committed to our shareholders, as demonstrated by our reliable and growing dividend."}, {"path": "tedlium_35048.wav", "duration": 5.85, "text": "broadening your search for what kind of assets you would have partners invest in? Or can you give any"}, {"path": "tedlium_35049.wav", "duration": 5.85, "text": "The chart below shows the third quarter performance for our California merchant combined cycle fleet."}, {"path": "tedlium_35050.wav", "duration": 5.85, "text": "The composites business is also realizing nice growth in its mobile solutions product line"}, {"path": "tedlium_35051.wav", "duration": 5.85, "text": "on 7 of those 8 pads, we've seen production uplift in those parent wells."}, {"path": "tedlium_35052.wav", "duration": 5.85, "text": "This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_35053.wav", "duration": 5.85, "text": "Our net pension and OPEB liability on our balance sheet decreased"}, {"path": "tedlium_35054.wav", "duration": 5.85, "text": "our customers in getting energy to their customers and operations across the country."}, {"path": "tedlium_35055.wav", "duration": 5.85, "text": "But then on the capital side, we think that it is just seasonality that will pull us back a little bit and then start"}, {"path": "tedlium_35056.wav", "duration": 5.85, "text": "we think there's more upside than downside in the event that the administration"}, {"path": "tedlium_35057.wav", "duration": 5.85, "text": "and how big is that margin potential over time. And then lastly, I just note that this builds on"}, {"path": "tedlium_35058.wav", "duration": 5.85, "text": "If they change something then yes, the commissions will decide how fast the tax benefits do get"}, {"path": "tedlium_35059.wav", "duration": 5.85, "text": "Therefore, it has been determined that the current collaboration will focus solely"}, {"path": "tedlium_35060.wav", "duration": 5.85, "text": "We are optimizing the fleet. All of this brings us back to the value proposition."}, {"path": "tedlium_35061.wav", "duration": 5.85, "text": "This, combined with the significant investments we have made in internal process and analytical development,"}, {"path": "tedlium_35062.wav", "duration": 5.85, "text": "We remain on track with our long-term pricing and margin improvement expectations."}, {"path": "tedlium_35063.wav", "duration": 5.85, "text": "Our prior infrastructure would have been harder to change and also more expensive."}, {"path": "tedlium_35064.wav", "duration": 5.85, "text": "We are actively managing operating expenses and demonstrating significant operating leverage."}, {"path": "tedlium_35065.wav", "duration": 5.85, "text": "I know we're hearing from a lot of folks, it's just a struggle to find good people and at the right price. And"}, {"path": "tedlium_35066.wav", "duration": 5.85, "text": "the relevance of the project in -- 6 weeks ago at one of the"}, {"path": "tedlium_35067.wav", "duration": 5.85, "text": "And then you've got the -- both the South Korean market as well as the India market"}, {"path": "tedlium_35068.wav", "duration": 5.85, "text": "and are providing information on these activities in connection with the Twirla review process."}, {"path": "tedlium_35069.wav", "duration": 5.85, "text": "The team achieved this while maintaining a 0 pay average per gallon."}, {"path": "tedlium_35070.wav", "duration": 5.85, "text": "From our perspective, we've started our stakeholder engagement to make sure that we're feeding into that strategy document in a timely fashion."}, {"path": "tedlium_35071.wav", "duration": 5.85, "text": "to hire an outside psychometrician, a third party to evaluate this process. Now"}, {"path": "tedlium_35072.wav", "duration": 5.85, "text": "On Thursday last week, I was named to the newly created role of Executive Chairman."}, {"path": "tedlium_35073.wav", "duration": 5.85, "text": "so if you imagine we have this layer of all these disparate systems, different platforms and all our businesses,"}, {"path": "tedlium_35074.wav", "duration": 5.85, "text": "So it should be a good idea to come to Humana. Okay,"}, {"path": "tedlium_35075.wav", "duration": 5.85, "text": "and well equipped to compete in an increasingly crowded market."}, {"path": "tedlium_35076.wav", "duration": 5.85, "text": "we are happy to see a continued overall improvement in our client satisfaction scores this quarter."}, {"path": "tedlium_35077.wav", "duration": 5.85, "text": "The quarter saw a very successful implementation of the new TRID regulations in all our regions."}, {"path": "tedlium_35078.wav", "duration": 5.85, "text": "The decrease reflects lower used vehicle pricing, partially offset by higher volumes."}, {"path": "tedlium_35079.wav", "duration": 5.85, "text": "in our top-tier retail business, in addition to low cost of debt from a very strong balance sheet."}, {"path": "tedlium_35080.wav", "duration": 5.85, "text": "honestly, it was kind of a nice surprise coming out of the fourth quarter and hopefully continues to be"}, {"path": "tedlium_35081.wav", "duration": 5.85, "text": "We anticipate raw material costs could further increase in the first quarter"}, {"path": "tedlium_35082.wav", "duration": 5.85, "text": "add a little bit more color as to how we should think about the cost challenge as it relates to"}, {"path": "tedlium_35083.wav", "duration": 5.85, "text": "As I discussed on our last investor call, the company has embarked on several"}, {"path": "tedlium_35084.wav", "duration": 5.85, "text": "which is in line with normal seasonal patterns and consistent with our plan and expectations."}, {"path": "tedlium_35085.wav", "duration": 5.85, "text": "that we're deploying our resources where we can accelerate and we can ultimately get the returns"}, {"path": "tedlium_35086.wav", "duration": 5.8499375, "text": "in the first part of the quarter and we're encouraged by that."}, {"path": "tedlium_35087.wav", "duration": 5.8200625, "text": "The EBIT more than doubled as did the income tax level, which left a net income"}, {"path": "tedlium_35088.wav", "duration": 5.8200625, "text": "And so -- and part of that is, we've also built databases and"}, {"path": "tedlium_35089.wav", "duration": 5.8200625, "text": "and we expect to close the first transactions either late this quarter or early in the fourth quarter."}, {"path": "tedlium_35090.wav", "duration": 5.82, "text": "there are definitely more companies for sale than in the first half of a cycle."}, {"path": "tedlium_35091.wav", "duration": 5.82, "text": "which had caused considerable increases in trading volume in the FX market."}, {"path": "tedlium_35092.wav", "duration": 5.82, "text": "And so that's something that we will need to address and will need to improve upon,"}, {"path": "tedlium_35093.wav", "duration": 5.82, "text": "a substantially higher quality of earnings, more diversified earnings."}, {"path": "tedlium_35094.wav", "duration": 5.82, "text": "and senior investments across both lower middle market and middle market companies."}, {"path": "tedlium_35095.wav", "duration": 5.82, "text": "and I don't see Swift probably ever having as big a"}, {"path": "tedlium_35096.wav", "duration": 5.82, "text": "So am I thinking about the commercial impact of that publication,"}, {"path": "tedlium_35097.wav", "duration": 5.82, "text": "the backlog in our Aerospace business tends to be impacted quite a bit from timing."}, {"path": "tedlium_35098.wav", "duration": 5.82, "text": "These 3 pillars are also the areas in which external growth opportunities"}, {"path": "tedlium_35099.wav", "duration": 5.82, "text": "So I guess my question is, in the context of you talking about white space and acquisitions,"}, {"path": "tedlium_35100.wav", "duration": 5.82, "text": "had, then this puts the whole thing into a relation which is understandable."}, {"path": "tedlium_35101.wav", "duration": 5.82, "text": "That's why it's so crucial to elevate the quality of the customer service in all of our restaurants."}, {"path": "tedlium_35102.wav", "duration": 5.82, "text": "that we made clear on the last call the strategic review process is well advanced."}, {"path": "tedlium_35103.wav", "duration": 5.82, "text": "And so what happens is the cream in the milk is much more valuable than it was a year or so ago."}, {"path": "tedlium_35104.wav", "duration": 5.82, "text": "looking at various ways of reporting this business separately for a long time."}, {"path": "tedlium_35105.wav", "duration": 5.82, "text": "than we did because of the customer base that we call on."}, {"path": "tedlium_35106.wav", "duration": 5.82, "text": "Previously, Ray was instrumental in establishing a turnaround strategy for E-Systems,"}, {"path": "tedlium_35107.wav", "duration": 5.82, "text": "Thank you to everyone for attending today. This will conclude today's call, and you may now disconnect."}, {"path": "tedlium_35108.wav", "duration": 5.82, "text": "so that we can once again quickly delever back to our targeted leverage range."}, {"path": "tedlium_35109.wav", "duration": 5.82, "text": "Our TrojanLabel team is excited that we now have a way to enter into this dynamic market."}, {"path": "tedlium_35110.wav", "duration": 5.82, "text": "which I talked about earlier today, and I referred to in the last few calls."}, {"path": "tedlium_35111.wav", "duration": 5.82, "text": "with a single test menu and a uniform service offering by the fourth quarter."}, {"path": "tedlium_35112.wav", "duration": 5.82, "text": "But I would say that, for the most part, they are all performing as expected."}, {"path": "tedlium_35113.wav", "duration": 5.82, "text": "Can you talk about what do you expect the relative growth rate between your gas panels and chemical delivery products"}, {"path": "tedlium_35114.wav", "duration": 5.82, "text": "We will stay within our strategic strengths of fluid dynamics in the semiconductor market space,"}, {"path": "tedlium_35115.wav", "duration": 5.82, "text": "to decide what works best for each one of -- for their individual accounts."}, {"path": "tedlium_35116.wav", "duration": 5.82, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_35117.wav", "duration": 5.82, "text": "and what we do is if something looks like the acquisition cost per order"}, {"path": "tedlium_35118.wav", "duration": 5.82, "text": "it is always a little bit choppy, especially when you're talking about large projects,"}, {"path": "tedlium_35119.wav", "duration": 5.82, "text": "longer-term kind of perspective on how you're thinking about your raw material chain? Because"}, {"path": "tedlium_35120.wav", "duration": 5.82, "text": "Both were one-off the events compensating for the continued pressure from the low interest rate environment,"}, {"path": "tedlium_35121.wav", "duration": 5.82, "text": "We did fail to come through the CCAR process for our small trust bank successfully,"}, {"path": "tedlium_35122.wav", "duration": 5.82, "text": "but the fact that we already have the second make-line physically there in all our restaurants"}, {"path": "tedlium_35123.wav", "duration": 5.82, "text": "done at that speed and then we can innovate on that foundation or that platform."}, {"path": "tedlium_35124.wav", "duration": 5.82, "text": "This market environment led to a group revenue"}, {"path": "tedlium_35125.wav", "duration": 5.82, "text": "A brand new Acura model named the CDX was launched in China in July."}, {"path": "tedlium_35126.wav", "duration": 5.82, "text": "They were no issues related to safety that came up in the meeting."}, {"path": "tedlium_35127.wav", "duration": 5.82, "text": "I'm just wondering what you're seeing in apparel, which has obviously been a more difficult category for everyone globally."}, {"path": "tedlium_35128.wav", "duration": 5.82, "text": "which pay fees in excess of our firm average and 1 less day in the quarter."}, {"path": "tedlium_35129.wav", "duration": 5.82, "text": "We appreciate you taking the time to pay attention to our business on which we continue to make improvements."}, {"path": "tedlium_35130.wav", "duration": 5.82, "text": "Let me now make a few points on the third quarter before handing it over to Stan."}, {"path": "tedlium_35131.wav", "duration": 5.82, "text": "However, we're going to do the best we can here to give you an estimate of the range of that impact,"}, {"path": "tedlium_35132.wav", "duration": 5.82, "text": "and we have successfully established a reputation as one of the very best in this space."}, {"path": "tedlium_35133.wav", "duration": 5.82, "text": "the impact of the step down in third quarter of this year and in third quarter of next year,"}, {"path": "tedlium_35134.wav", "duration": 5.82, "text": "in terms of costs despite the fact that"}, {"path": "tedlium_35135.wav", "duration": 5.82, "text": "its privileged users, providing us with meaningful expansion opportunity over the coming quarters and years."}, {"path": "tedlium_35136.wav", "duration": 5.82, "text": "and we've been, as we've previously stated, making changes within the dental organization to senior management."}, {"path": "tedlium_35137.wav", "duration": 5.82, "text": "In U.K., we continue to demonstrate our ability to grow a profitable business"}, {"path": "tedlium_35138.wav", "duration": 5.82, "text": "policies versus wind versus other, and then the average premiums in each of those buckets?"}, {"path": "tedlium_35139.wav", "duration": 5.82, "text": "While our Depositary Receipts revenue was lower due to volumes and the timing of corporate actions,"}, {"path": "tedlium_35140.wav", "duration": 5.82, "text": "We would expect to be in a position to provide more commentary around our growth opportunities then as well."}, {"path": "tedlium_35141.wav", "duration": 5.82, "text": "I think the key thing if you look at it against the comparators, I think the previous year was particularly strong,"}, {"path": "tedlium_35142.wav", "duration": 5.82, "text": "hopefully that provides a lot of insight to everyone on the phone because like I said, I"}, {"path": "tedlium_35143.wav", "duration": 5.82, "text": "In terms of the current fleet composition, is there any particular segment that you'd like to continue to enhance"}, {"path": "tedlium_35144.wav", "duration": 5.82, "text": "and the balance was the result of solid performance in EMEA and favorable currency."}, {"path": "tedlium_35145.wav", "duration": 5.82, "text": "It has shares on all our key engine programs, particularly the newer engine programs"}, {"path": "tedlium_35146.wav", "duration": 5.82, "text": "We look carefully at repricing risk in our loan portfolio and the securities portfolio."}, {"path": "tedlium_35147.wav", "duration": 5.82, "text": "November this year, which will bring some more international points within range."}, {"path": "tedlium_35148.wav", "duration": 5.82, "text": "So -- and you mentioned something about not being in the market for distressed assets."}, {"path": "tedlium_35149.wav", "duration": 5.82, "text": "However, we expect to leverage these investments as we lap initial cost and grow sales."}, {"path": "tedlium_35150.wav", "duration": 5.82, "text": "Robert will discuss the details of the higher incentive revenues in his prepared remarks."}, {"path": "tedlium_35151.wav", "duration": 5.82, "text": "and the ships are therefore in the further phase of their construction."}, {"path": "tedlium_35152.wav", "duration": 5.82, "text": "I'm pleased to share with you that we now have made further improvements, making sure we can double"}, {"path": "tedlium_35153.wav", "duration": 5.82, "text": "As is the case each year, we said that we would continue to make progress toward our goal of creating an injury-free workplace."}, {"path": "tedlium_35154.wav", "duration": 5.82, "text": "fund organic growth through customer acquisition and technology innovation"}, {"path": "tedlium_35155.wav", "duration": 5.82, "text": "that will increase the supply of natural gas to the New York City area by about 400 million a day."}, {"path": "tedlium_35156.wav", "duration": 5.82, "text": "But obviously, the bank will be significantly more profitable as a result of tax reform"}, {"path": "tedlium_35157.wav", "duration": 5.82, "text": "because it's really there starting in the fourth quarter here that we'll start to see the opportunity"}, {"path": "tedlium_35158.wav", "duration": 5.82, "text": "we think that the rest of the country will probably have a good performance during the calendar year."}, {"path": "tedlium_35159.wav", "duration": 5.82, "text": "We view this as an opportunity to begin relationships and deepen them over time."}, {"path": "tedlium_35160.wav", "duration": 5.82, "text": "You can see the key metrics in terms of where the actual results have landed for the first 6 months."}, {"path": "tedlium_35161.wav", "duration": 5.82, "text": "in this time. Because of high prices in China, which there's a difference of about"}, {"path": "tedlium_35162.wav", "duration": 5.82, "text": "I think the investments we've been making to, if you will, put these capabilities"}, {"path": "tedlium_35163.wav", "duration": 5.82, "text": "income and margins were down only modestly as the segment delivered on better internal execution."}, {"path": "tedlium_35164.wav", "duration": 5.82, "text": "and secondly, providing superior cost effectiveness due to a very low mask count,"}, {"path": "tedlium_35165.wav", "duration": 5.82, "text": "The majority of the advertising reductions came from the Jennie-O Turkey Store segment."}, {"path": "tedlium_35166.wav", "duration": 5.82, "text": "Accordingly, in the quarter, we ramped our spend in several key strategic investment areas"}, {"path": "tedlium_35167.wav", "duration": 5.82, "text": "Our expectation is that the second half of the year will be significantly stronger than the first"}, {"path": "tedlium_35168.wav", "duration": 5.82, "text": "This is a market Stanley is very familiar with and I cannot think of a better person qualified"}, {"path": "tedlium_35169.wav", "duration": 5.82, "text": "As you may know, we do not register an inflow until there is activity in the account."}, {"path": "tedlium_35170.wav", "duration": 5.82, "text": "we feel comfortable with where we are in that position, so I have no assumption on using excess capital at all."}, {"path": "tedlium_35171.wav", "duration": 5.82, "text": "but also being aware of the time when you will enter this narrative in the clinic,"}, {"path": "tedlium_35172.wav", "duration": 5.82, "text": "probably more research, which will probably help the pharmacists better counsel on them."}, {"path": "tedlium_35173.wav", "duration": 5.82, "text": "As expected, our home, appliance and personal care business started slowly."}, {"path": "tedlium_35174.wav", "duration": 5.82, "text": "is the recurring-revenue type of agreement. So you don't see a revenue pop in the quarter. You see that come"}, {"path": "tedlium_35175.wav", "duration": 5.82, "text": "did not achieve their primary endpoints, and therefore, we won't be moving forward with these indications."}, {"path": "tedlium_35176.wav", "duration": 5.82, "text": "because this doesn't only work one way. One of the beauties of derivatives is"}, {"path": "tedlium_35177.wav", "duration": 5.82, "text": "the nature of our business is that fee rates go down within mandates as they grow out to scale,"}, {"path": "tedlium_35178.wav", "duration": 5.82, "text": "Now to begin a review of our business segment results, I'll turn the call over to Corning."}, {"path": "tedlium_35179.wav", "duration": 5.82, "text": "certain key elements of intellectual property that they bring to the table"}, {"path": "tedlium_35180.wav", "duration": 5.82, "text": "We have 2 main priorities when we look into operation, the most important one is within safety."}, {"path": "tedlium_35181.wav", "duration": 5.82, "text": "We took decisive action in the first quarter on things we can control, including our balance sheet,"}, {"path": "tedlium_35182.wav", "duration": 5.82, "text": "We've hired a lot of talented bankers across all of our businesses and see great opportunities."}, {"path": "tedlium_35183.wav", "duration": 5.82, "text": "What about the acquisition of the asset in Poland? What was the consideration?"}, {"path": "tedlium_35184.wav", "duration": 5.82, "text": "for the many trucks that we got across the gas and the liquid systems, we're looking at that and looking to"}, {"path": "tedlium_35185.wav", "duration": 5.82, "text": "We are currently evaluating our refinancing options and expect to provide updates on future calls."}, {"path": "tedlium_35186.wav", "duration": 5.82, "text": "And to the best of my knowledge, it's dependent on"}, {"path": "tedlium_35187.wav", "duration": 5.82, "text": "I would now like to provide an overview of the comparable store sales trends we experienced during the quarter."}, {"path": "tedlium_35188.wav", "duration": 5.82, "text": "Tires are an important part of Monro's business, given that they represent half of our sales,"}, {"path": "tedlium_35189.wav", "duration": 5.82, "text": "Once integrated, this acquisition will more than double Calpine's existing retail load nationally."}, {"path": "tedlium_35190.wav", "duration": 5.82, "text": "At the same time, there remains a high level of uncertainty in many countries."}, {"path": "tedlium_35191.wav", "duration": 5.82, "text": "The ASP change was attributed to customer and product mix, including a smaller percentage"}, {"path": "tedlium_35192.wav", "duration": 5.82, "text": "We're managing in a prudent way and we're confident about our ability to continue to achieve earnings growth"}, {"path": "tedlium_35193.wav", "duration": 5.82, "text": "So it's a good time for us, and we expect things to ramp up at an accelerated pace."}, {"path": "tedlium_35194.wav", "duration": 5.82, "text": "we are focusing more on short-term trade finance, we do not expect a major negative"}, {"path": "tedlium_35195.wav", "duration": 5.82, "text": "I would also like to remind everyone that all figures are being quoted in U.S. dollars, unless otherwise stated."}, {"path": "tedlium_35196.wav", "duration": 5.82, "text": "These include the full effect of changes in the fair market value of warrants we issued to Amazon"}, {"path": "tedlium_35197.wav", "duration": 5.82, "text": "Looking ahead, we will not take our foot off the gas in the Legacy Conagra business."}, {"path": "tedlium_35198.wav", "duration": 5.82, "text": "and will deliver new revenues in FY '19 and beyond as these projects are commissioned."}, {"path": "tedlium_35199.wav", "duration": 5.82, "text": "And we probability weigh what we think is going to happen and the time frame we think it's going to happen in. And"}, {"path": "tedlium_35200.wav", "duration": 5.82, "text": "Well, since earlier this year, we've had a change"}, {"path": "tedlium_35201.wav", "duration": 5.82, "text": "We have reduced our annual operating expenses from fiscal 2014 to"}, {"path": "tedlium_35202.wav", "duration": 5.82, "text": "that? And do you have any plans for how much you will own?"}, {"path": "tedlium_35203.wav", "duration": 5.82, "text": "So we have significant capital investments and growth opportunities and a commitment to increase the dividend now."}, {"path": "tedlium_35204.wav", "duration": 5.82, "text": "I think this is a reasonably balanced estimate actually from what we see from customers."}, {"path": "tedlium_35205.wav", "duration": 5.82, "text": "Adjusted operating margins are anticipated to remain in the mid- to high teens"}, {"path": "tedlium_35206.wav", "duration": 5.82, "text": "And the other one was, we are struggling to maintain the skills"}, {"path": "tedlium_35207.wav", "duration": 5.82, "text": "The second positive influence on the margin will be with the reduction in our cost of money. The CoCo is a very obvious example,"}, {"path": "tedlium_35208.wav", "duration": 5.82, "text": "your assessment is correct. Strategic investment that is made"}, {"path": "tedlium_35209.wav", "duration": 5.82, "text": "So we will build more homes passed and add more home subscriber than initially targeted for this year."}, {"path": "tedlium_35210.wav", "duration": 5.82, "text": "net interest expense in the first quarter was essentially unchanged on a sequential basis."}, {"path": "tedlium_35211.wav", "duration": 5.82, "text": "Our hunters have gone from just a handful a few years back"}, {"path": "tedlium_35212.wav", "duration": 5.82, "text": "We expect these cost pressures to ease as we go through the remainder of the year."}, {"path": "tedlium_35213.wav", "duration": 5.82, "text": "nowadays. So that's not our threshold. Our threshold is, can we return"}, {"path": "tedlium_35214.wav", "duration": 5.82, "text": "We also believe the Catarina transaction provides a solid foundation for next year's business activity."}, {"path": "tedlium_35215.wav", "duration": 5.82, "text": "over the last 3, 4 years, there have been a lot of global commencing factories which have shut down,"}, {"path": "tedlium_35216.wav", "duration": 5.82, "text": "the owned brands, are they now at a level in terms of penetration where you're getting a margin benefit from"}, {"path": "tedlium_35217.wav", "duration": 5.82, "text": "not trying to dismiss your point, but not much I can do about it now because it's just too much good news."}, {"path": "tedlium_35218.wav", "duration": 5.82, "text": "But so much of the cash and earnings contribution comes from the renewal commissions."}, {"path": "tedlium_35219.wav", "duration": 5.82, "text": "Let me comment on each of these factors and what we are doing to improve our performance."}, {"path": "tedlium_35220.wav", "duration": 5.82, "text": "We continue to seek new opportunities in the aviation business outside of Singapore"}, {"path": "tedlium_35221.wav", "duration": 5.82, "text": "and as well capitalize on the commercial and industrial synergies in selected regions to support the growth of our company."}, {"path": "tedlium_35222.wav", "duration": 5.82, "text": "I will begin with the overall earnings results starting with sales and operating profit."}, {"path": "tedlium_35223.wav", "duration": 5.82, "text": "We are seeing steady progress with digital payments despite the recent remonetization of cash."}, {"path": "tedlium_35224.wav", "duration": 5.82, "text": "Fiscal 2017 turned out to be a pivotal year for us in terms of realizing gains"}, {"path": "tedlium_35225.wav", "duration": 5.82, "text": "Acquisition, retention and training of talent is a major focus."}, {"path": "tedlium_35226.wav", "duration": 5.7900625, "text": "So now we are down to the final machinations of the deal, which we expect to close within the next couple of weeks."}, {"path": "tedlium_35227.wav", "duration": 5.79, "text": "and it's at the right price, and I emphasize, it's at the right price, fair value or even higher,"}, {"path": "tedlium_35228.wav", "duration": 5.79, "text": "of cash that's restricted or trapped in countries. When you think about the point to trigger"}, {"path": "tedlium_35229.wav", "duration": 5.79, "text": "I'd like to caution all participants that today's call may contain statements related to our business"}, {"path": "tedlium_35230.wav", "duration": 5.79, "text": "Looking ahead, we anticipate refinancing 2 commercial mortgages as part of a transaction"}, {"path": "tedlium_35231.wav", "duration": 5.79, "text": "And we continued executing the restructuring that was announced in early January."}, {"path": "tedlium_35232.wav", "duration": 5.79, "text": "In this slide, we have presented a picture of where we sit today and the revenue potential as we increase our product."}, {"path": "tedlium_35233.wav", "duration": 5.79, "text": "These much-improved results are reflected in our financials in a number of different ways."}, {"path": "tedlium_35234.wav", "duration": 5.79, "text": "a decent top line upgrade driven primarily by the temporary benefits in China for liquid crystals."}, {"path": "tedlium_35235.wav", "duration": 5.79, "text": "whereby there's a huge opportunity focusing on growing segments"}, {"path": "tedlium_35236.wav", "duration": 5.79, "text": "the original virulence and if we've overcome the issue of growing it in Vero cells"}, {"path": "tedlium_35237.wav", "duration": 5.79, "text": "flight to quality market, we would have seen more price stability, tighter spreads"}, {"path": "tedlium_35238.wav", "duration": 5.79, "text": "I know you mentioned that the -- that one large credit was energy-related. Are there any other energy"}, {"path": "tedlium_35239.wav", "duration": 5.79, "text": "that we took on October 15. So in the third quarter, we have 30 days"}, {"path": "tedlium_35240.wav", "duration": 5.79, "text": "driving consistent and sustainable sales growth and improving our operating results."}, {"path": "tedlium_35241.wav", "duration": 5.79, "text": "We are very encouraged by this award and the associated support."}, {"path": "tedlium_35242.wav", "duration": 5.79, "text": "I do not want to say that they don't care about numbers. They do, but it's not just the number on the scale."}, {"path": "tedlium_35243.wav", "duration": 5.79, "text": "announced some time ago and is now commissioned and moving a lot of water."}, {"path": "tedlium_35244.wav", "duration": 5.79, "text": "Well, I think that we've certainly got the fairway"}, {"path": "tedlium_35245.wav", "duration": 5.79, "text": "The decrease between years related mainly to the 3 noncash charges I've just discussed."}, {"path": "tedlium_35246.wav", "duration": 5.79, "text": "to prior year, as modest rate declines were more than offset by new business opportunities."}, {"path": "tedlium_35247.wav", "duration": 5.79, "text": "done everything we can from a science perspective"}, {"path": "tedlium_35248.wav", "duration": 5.79, "text": "or the Washington Capital Stanley Cup champion to make dedicated products for a given event"}, {"path": "tedlium_35249.wav", "duration": 5.79, "text": "Puerto Rico will begin to improve but slowly and towards the end of the year."}, {"path": "tedlium_35250.wav", "duration": 5.79, "text": "by tightly integrating our computing, storage and virtualization resources."}, {"path": "tedlium_35251.wav", "duration": 5.79, "text": "And so the plan that we put in place are to get us at that point"}, {"path": "tedlium_35252.wav", "duration": 5.79, "text": "Bear in mind that this is something that we started to evaluate well before tax reform seemed imminent."}, {"path": "tedlium_35253.wav", "duration": 5.79, "text": "in terms of revenue per quarter, we're not going to break out the growth rates by quarter, either."}, {"path": "tedlium_35254.wav", "duration": 5.79, "text": "a company committed to providing our communities with connectivity that enriches their world."}, {"path": "tedlium_35255.wav", "duration": 5.79, "text": "We have been looking to multiple files in the past and"}, {"path": "tedlium_35256.wav", "duration": 5.79, "text": "overall and hopefully put ourselves in a position to have multiple -- potential alternatives"}, {"path": "tedlium_35257.wav", "duration": 5.79, "text": "and second half prior year comparables that were positively impacted by the improving market."}, {"path": "tedlium_35258.wav", "duration": 5.79, "text": "So far, I haven't delivered anything yet in Taiwan, but I will try my best"}, {"path": "tedlium_35259.wav", "duration": 5.79, "text": "intensifying our actions in terms of development CapEx. It might add"}, {"path": "tedlium_35260.wav", "duration": 5.79, "text": "But we're certainly watching them and certainly continue to develop to be more competitive, even within those price points."}, {"path": "tedlium_35261.wav", "duration": 5.79, "text": "and the milestones you guys are tracking to figure out whether that makes sense?"}, {"path": "tedlium_35262.wav", "duration": 5.79, "text": "The most important development start is King Toronto, which Hugh will discuss shortly."}, {"path": "tedlium_35263.wav", "duration": 5.79, "text": "quite a lot and we've been maintaining that reduction steady since the end of last year."}, {"path": "tedlium_35264.wav", "duration": 5.79, "text": "and position us for our longer-term success and move us toward our greater vision."}, {"path": "tedlium_35265.wav", "duration": 5.79, "text": "And like all of our other shops in Spain, we will run Madrid directly ourselves."}, {"path": "tedlium_35266.wav", "duration": 5.79, "text": "potential IPO, your optionality around that and what you think"}, {"path": "tedlium_35267.wav", "duration": 5.79, "text": "I talk to our customers regularly and make certain that our team is on the right track."}, {"path": "tedlium_35268.wav", "duration": 5.79, "text": "Understandably, the Department of Labor's fiduciary rule has triggered a number of questions from investors."}, {"path": "tedlium_35269.wav", "duration": 5.79, "text": "And I've really got 2 choices that we're thinking about. One is we squeeze it in before the end of the year."}, {"path": "tedlium_35270.wav", "duration": 5.79, "text": "And then just looking further ahead. I know you said you'll elaborate more, but maybe just give us"}, {"path": "tedlium_35271.wav", "duration": 5.79, "text": "Over the course of the year, we've also accelerated returns to our shareholders."}, {"path": "tedlium_35272.wav", "duration": 5.79, "text": "partners closely with our operations team to drive operational and financial excellence."}, {"path": "tedlium_35273.wav", "duration": 5.79, "text": "other tissues. We have not been doing work internally in the neuro space,"}, {"path": "tedlium_35274.wav", "duration": 5.79, "text": "If for some reason it doesn't sell, then we will just clear that stock, we've given them no volume commitment."}, {"path": "tedlium_35275.wav", "duration": 5.79, "text": "and as you know over the last 3 years Fleetwood has been substantially restructured."}, {"path": "tedlium_35276.wav", "duration": 5.79, "text": "when you're growing rapidly, it will take cash to be able to grow it,"}, {"path": "tedlium_35277.wav", "duration": 5.79, "text": "As we continued our conversations with hospital systems CEOs from around the country,"}, {"path": "tedlium_35278.wav", "duration": 5.79, "text": "It did look really crowded for a while with a lot of money flowing in and not always smart money."}, {"path": "tedlium_35279.wav", "duration": 5.79, "text": "to allow educators to begin their customer journey with us through their desired channel"}, {"path": "tedlium_35280.wav", "duration": 5.79, "text": "including better traction on presales and using price to carefully manage pace."}, {"path": "tedlium_35281.wav", "duration": 5.79, "text": "material changes in any certain regions or just any color there would be great?"}, {"path": "tedlium_35282.wav", "duration": 5.79, "text": "We believe that magicJack for Business represents another new organic revenue stream"}, {"path": "tedlium_35283.wav", "duration": 5.79, "text": "in previous years there had been a point where you had gotten to a certain level,"}, {"path": "tedlium_35284.wav", "duration": 5.79, "text": "we look forward to having some things to share with you probably as we move into the net fiscal year. So"}, {"path": "tedlium_35285.wav", "duration": 5.79, "text": "the power of premium has placed us among the low-cost producers in the global oil market."}, {"path": "tedlium_35286.wav", "duration": 5.79, "text": "continues to increase in its appeal, and so we've invested last year in both"}, {"path": "tedlium_35287.wav", "duration": 5.79, "text": "While OSB continues to be the largest revenue contributor on a consolidated basis"}, {"path": "tedlium_35288.wav", "duration": 5.79, "text": "technology group, really focused around beyond the investment horizon of our businesses,"}, {"path": "tedlium_35289.wav", "duration": 5.79, "text": "is there a scenario next quarter or the coming quarters where"}, {"path": "tedlium_35290.wav", "duration": 5.79, "text": "This knowledge of the market has been a key factor in our successful underwriting over the years"}, {"path": "tedlium_35291.wav", "duration": 5.79, "text": "with distressed whole loans decreasing over time and CRT investments increasing."}, {"path": "tedlium_35292.wav", "duration": 5.79, "text": "just to show the progress on the modernization of the entire portfolio and the speed"}, {"path": "tedlium_35293.wav", "duration": 5.79, "text": "Now I will speak to segment results, starting with Health Services."}, {"path": "tedlium_35294.wav", "duration": 5.79, "text": "one of the big strategic issues that we have on the table this year."}, {"path": "tedlium_35295.wav", "duration": 5.79, "text": "I was under the impression that body cameras would obsolete the need for in-car cameras."}, {"path": "tedlium_35296.wav", "duration": 5.79, "text": "As a reminder, we began recognition of service revenue in the month following the shipment of the camera."}, {"path": "tedlium_35297.wav", "duration": 5.79, "text": "Well, Frank, that's a reference to the fact that we did see strong volumes with that client in the quarter,"}, {"path": "tedlium_35298.wav", "duration": 5.79, "text": "and getting the project over the goal line for final design and implementation. So"}, {"path": "tedlium_35299.wav", "duration": 5.79, "text": "from restriking existing hedges, which as you know, we've been successfully doing throughout the year."}, {"path": "tedlium_35300.wav", "duration": 5.79, "text": "continuously trying to drive down our cost structure to have the lowest possible cost structure. So I think"}, {"path": "tedlium_35301.wav", "duration": 5.79, "text": "So if the markets go where we think the markets go and with our position in the marketplace,"}, {"path": "tedlium_35302.wav", "duration": 5.79, "text": "The decrease primarily reflects reductions in litigation costs"}, {"path": "tedlium_35303.wav", "duration": 5.79, "text": "Looking ahead, there are a number of important inflection points on the horizon."}, {"path": "tedlium_35304.wav", "duration": 5.79, "text": "And so we won't pursue anything that doesn't meet our internal ROA targets. So"}, {"path": "tedlium_35305.wav", "duration": 5.79, "text": "And David's right, the plan -- we have put plans in place to mitigate that trend,"}, {"path": "tedlium_35306.wav", "duration": 5.79, "text": "Now let me turn the call over to Tom for the details on the quarter's results. Thanks, Steve, and good morning, everyone."}, {"path": "tedlium_35307.wav", "duration": 5.79, "text": "In the future, we will continue"}, {"path": "tedlium_35308.wav", "duration": 5.79, "text": "to improve our service efficiency and operation capability. At the same time,"}, {"path": "tedlium_35309.wav", "duration": 5.79, "text": "country political risk is certainly a factor in these projects."}, {"path": "tedlium_35310.wav", "duration": 5.79, "text": "that is useful to understand the consumption trends that our customers have."}, {"path": "tedlium_35311.wav", "duration": 5.79, "text": "Below the line, while we expect a lower share count to provide a modest benefit,"}, {"path": "tedlium_35312.wav", "duration": 5.79, "text": "Overall, we expect the drivers of our margin expansion to be similar to last year."}, {"path": "tedlium_35313.wav", "duration": 5.79, "text": "This is entirely consistent with the operating efficiency and the cost of operating that we saw"}, {"path": "tedlium_35314.wav", "duration": 5.79, "text": "Okay. And is this like a couple of year process to do all that stuff and"}, {"path": "tedlium_35315.wav", "duration": 5.79, "text": "even exceeded the very strong comparable base of the previous year."}, {"path": "tedlium_35316.wav", "duration": 5.79, "text": "one of the reasons we wanted to do the deal was because we were already working with them and partnering with them"}, {"path": "tedlium_35317.wav", "duration": 5.79, "text": "from buying back equity. So that clearly was a factor entering into our decisions."}, {"path": "tedlium_35318.wav", "duration": 5.79, "text": "Earlier this afternoon, we issued a press release providing an update on the company's product development programs"}, {"path": "tedlium_35319.wav", "duration": 5.79, "text": "with the way that we are investing, the way that we are scrutinizing it, the places that we"}, {"path": "tedlium_35320.wav", "duration": 5.79, "text": "we hold at that level such that we can sustain it through a level of cyclical stress."}, {"path": "tedlium_35321.wav", "duration": 5.79, "text": "The conference has now concluded. Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_35322.wav", "duration": 5.79, "text": "contributing to a doubling of our total silicon germanium capacity at the end of the first phase qualification"}, {"path": "tedlium_35323.wav", "duration": 5.79, "text": "Our guidance regarding capital allocation assumes continuation of our share repurchase program"}, {"path": "tedlium_35324.wav", "duration": 5.79, "text": "All of these market trends point to customer needs that can be well served by Waters' core technologies"}, {"path": "tedlium_35325.wav", "duration": 5.79, "text": "We also made further progress during the year in building out and expanding our capabilities for larger industrial generators,"}, {"path": "tedlium_35326.wav", "duration": 5.79, "text": "Our key priority is to convert the investments into revenue growth"}, {"path": "tedlium_35327.wav", "duration": 5.79, "text": "with 6% organic growth and record operating margin levels that expanded 70 basis points"}, {"path": "tedlium_35328.wav", "duration": 5.79, "text": "we are confident in our ability to offset these headwinds through new sources of growth,"}, {"path": "tedlium_35329.wav", "duration": 5.79, "text": "And I will also say, my expectation for Alpha in the first"}, {"path": "tedlium_35330.wav", "duration": 5.79, "text": "I think they're not done yet. We -- I would expect,"}, {"path": "tedlium_35331.wav", "duration": 5.79, "text": "There have been a lot of discussions about the challenges of the South Africa projects in previous quarters."}, {"path": "tedlium_35332.wav", "duration": 5.79, "text": "We are on a journey to excellence, and we have defined excellence on operational terms across the business."}, {"path": "tedlium_35333.wav", "duration": 5.79, "text": "Third, we will continue to aggressively pursue the transactional activity within the global capital markets."}, {"path": "tedlium_35334.wav", "duration": 5.79, "text": "We remain focused on driving further improvement as we move forward."}, {"path": "tedlium_35335.wav", "duration": 5.79, "text": "We will now raise the goal to collect 50 million pledges."}, {"path": "tedlium_35336.wav", "duration": 5.79, "text": "These are the things that will help us further scale our marketplace and capitalize on the vast opportunity in local,"}, {"path": "tedlium_35337.wav", "duration": 5.79, "text": "We believe in the power of our value enhancement programs enabling our businesses to reach their full potential."}, {"path": "tedlium_35338.wav", "duration": 5.79, "text": "The company is devoted to cutting costs to remain competitive. We will leave no stone unturned."}, {"path": "tedlium_35339.wav", "duration": 5.79, "text": "specifies or prescribes more how to recognize revenue. It doesn't change our revenues very much."}, {"path": "tedlium_35340.wav", "duration": 5.79, "text": "the dynamics between volume and pricing and kind of"}, {"path": "tedlium_35341.wav", "duration": 5.79, "text": "any color on where you think the controlled substance designation will shake out?"}, {"path": "tedlium_35342.wav", "duration": 5.79, "text": "that we have uploaded to our website together with the earnings release and which is being webcast as we speak."}, {"path": "tedlium_35343.wav", "duration": 5.79, "text": "And Mark, I think that concludes the call from our side."}, {"path": "tedlium_35344.wav", "duration": 5.79, "text": "An integrated asset team is in place to manage these newly acquired properties."}, {"path": "tedlium_35345.wav", "duration": 5.79, "text": "This in part reflected our ability to put the proceeds from our July equity offering to work accretively. We"}, {"path": "tedlium_35346.wav", "duration": 5.79, "text": "to make sure that these people understand that they deliver value to customers"}, {"path": "tedlium_35347.wav", "duration": 5.79, "text": "We look forward to sharing more detail about our progress when we're together at our investor conference in May."}, {"path": "tedlium_35348.wav", "duration": 5.79, "text": "they actually pull better and testing by with some pilot units"}, {"path": "tedlium_35349.wav", "duration": 5.79, "text": "which is also accompanied by an increase in frac fluid, so the wells take a little longer to clean up."}, {"path": "tedlium_35350.wav", "duration": 5.79, "text": "We take steps to mitigate that, and we started doing that even with the hybrids by loading"}, {"path": "tedlium_35351.wav", "duration": 5.79, "text": "So using this royalty income, the partnership paid administrative expenses"}, {"path": "tedlium_35352.wav", "duration": 5.79, "text": "was a business -- one of the businesses that was beginning to show challenges. But as you can see in your own charts,"}, {"path": "tedlium_35353.wav", "duration": 5.79, "text": "and that was a business that we always intended to divest even when we bought it."}, {"path": "tedlium_35354.wav", "duration": 5.79, "text": "I know the fundamental challenge or issue we're trying to address, which is how do you help an enterprise"}, {"path": "tedlium_35355.wav", "duration": 5.79, "text": "And while ServiceNow has done a nice start with our Service Portal, there's ample opportunity"}, {"path": "tedlium_35356.wav", "duration": 5.79, "text": "In both many of our businesses, I'd say, more than anything are really tied to industrial production."}, {"path": "tedlium_35357.wav", "duration": 5.79, "text": "So the underlying price moves pretty closely with spot,"}, {"path": "tedlium_35358.wav", "duration": 5.79, "text": "Right. If you think about our plastic molding solutions as we refer to it now,"}, {"path": "tedlium_35359.wav", "duration": 5.79, "text": "So in any event, I think it was maybe a little bit of distraction for some DOTs early in the year. I think we felt that"}, {"path": "tedlium_35360.wav", "duration": 5.79, "text": "where we saw the results and how those play through into CCAR so we had a good understanding of the kind of the"}, {"path": "tedlium_35361.wav", "duration": 5.79, "text": "on revenue as I get that and then real commitments on the expenses"}, {"path": "tedlium_35362.wav", "duration": 5.79, "text": "we'll maintain our pretty conservative position to be fully hedged as we move our program forward."}, {"path": "tedlium_35363.wav", "duration": 5.79, "text": "enabling the combined entity to provide an enhanced level of service to our clients."}, {"path": "tedlium_35364.wav", "duration": 5.79, "text": "and we continue to identify areas for further efficiency gains and cost reductions."}, {"path": "tedlium_35365.wav", "duration": 5.79, "text": "and extended competitive advantage. So it's going to be a pretty simple story going forward."}, {"path": "tedlium_35366.wav", "duration": 5.79, "text": "On last year's fourth quarter earnings call, we shared that dry conditions in California"}, {"path": "tedlium_35367.wav", "duration": 5.79, "text": "on the capital that we're putting to work. And importantly, I think we're also creating a lot of"}, {"path": "tedlium_35368.wav", "duration": 5.79, "text": "And now if we take a look at Konecranes as a stand-alone company, so what we have been doing is that we have"}, {"path": "tedlium_35369.wav", "duration": 5.79, "text": "And then obviously, the second criteria is the quality, and what we've seen is that not everything that is big is beautiful."}, {"path": "tedlium_35370.wav", "duration": 5.79, "text": "Thank you to the entire Surmodics team for your hard work and outstanding results."}, {"path": "tedlium_35371.wav", "duration": 5.79, "text": "They're chasing the sales line, and they know that we're going to be there for them in the event that they take too much risk. So"}, {"path": "tedlium_35372.wav", "duration": 5.79, "text": "to unapproved change orders, which has been a focal point for many investors in recent quarters."}, {"path": "tedlium_35373.wav", "duration": 5.79, "text": "Fast-forward through several acquisitions and extensive management and operational improvements"}, {"path": "tedlium_35374.wav", "duration": 5.79, "text": "Yes. Salvator, I'll just point you to our track record with the Alabama rebuild."}, {"path": "tedlium_35375.wav", "duration": 5.79, "text": "right now, there's no expectation of any change in ownership among that group"}, {"path": "tedlium_35376.wav", "duration": 5.79, "text": "We are making good progress in resetting our commercial terms for key clients post removal of rebates. We"}, {"path": "tedlium_35377.wav", "duration": 5.79, "text": "You referenced pricing in '18 and sort of not being terribly different from where it was in the first quarter."}, {"path": "tedlium_35378.wav", "duration": 5.79, "text": "The investment to increase our First Defense liquid processing capacity"}, {"path": "tedlium_35379.wav", "duration": 5.76, "text": "On the other hand, we are ready to support that business with steel grades, which will make a difference in the future"}, {"path": "tedlium_35380.wav", "duration": 5.76, "text": "primarily temporary production personnel, once we saw that market conditions were weakening."}, {"path": "tedlium_35381.wav", "duration": 5.76, "text": "for 5 engines to power buses in Palm Desert, and those engines were shipped last year."}, {"path": "tedlium_35382.wav", "duration": 5.76, "text": "I think there's going to be a lot of conversation about cost-out execution"}, {"path": "tedlium_35383.wav", "duration": 5.76, "text": "our oil rate is growing, our EBITDA is growing, LOE is continuing to work lower"}, {"path": "tedlium_35384.wav", "duration": 5.76, "text": "public Internet. And as a result, it's very, very attractive to some of the"}, {"path": "tedlium_35385.wav", "duration": 5.76, "text": "As I mentioned, the studies are moving forward rapidly, so we should have robust datasets at that time."}, {"path": "tedlium_35386.wav", "duration": 5.76, "text": "And we've also done some work on revisiting our menu psychology, making sure the menus are laid out in the optimum way."}, {"path": "tedlium_35387.wav", "duration": 5.76, "text": "As part of our new office project, we will implement a major accounting technology upgrade."}, {"path": "tedlium_35388.wav", "duration": 5.76, "text": "New accounting rules will require publicly traded companies to capitalize leases on their balance sheet as debt."}, {"path": "tedlium_35389.wav", "duration": 5.76, "text": "This new path requires that we make important choices in terms of our talent across the company,"}, {"path": "tedlium_35390.wav", "duration": 5.76, "text": "So what you're seeing is the tail of those deals being closed off"}, {"path": "tedlium_35391.wav", "duration": 5.76, "text": "give us confidence, we continue to face a challenging driver environment."}, {"path": "tedlium_35392.wav", "duration": 5.76, "text": "interactions with our customers on the bids, there seems to be"}, {"path": "tedlium_35393.wav", "duration": 5.76, "text": "things that are somewhat difficult to avoid to keep a project on track and on time."}, {"path": "tedlium_35394.wav", "duration": 5.76, "text": "although continuous growth is expected on quantity basis."}, {"path": "tedlium_35395.wav", "duration": 5.76, "text": "I don't know that it ever goes from maintenance -- from build to maintenance,"}, {"path": "tedlium_35396.wav", "duration": 5.76, "text": "and the embedded operating system that we deliver as part of PCF is preconfigured to those standards."}, {"path": "tedlium_35397.wav", "duration": 5.76, "text": "lower end of the quality spectrum and whether that be tertiary or secondary market or just a poorer asset,"}, {"path": "tedlium_35398.wav", "duration": 5.76, "text": "of over-a-period-of-time averaging so that you can show comfort to the reader that your reserve is in line."}, {"path": "tedlium_35399.wav", "duration": 5.76, "text": "At the bottom of the page is Slide 10, System Platforms."}, {"path": "tedlium_35400.wav", "duration": 5.76, "text": "mostly on the back of the goodwill from the BackWerk acquisition, which is now"}, {"path": "tedlium_35401.wav", "duration": 5.76, "text": "And if you think that you are going to need to increase provisions to this clients in the future."}, {"path": "tedlium_35402.wav", "duration": 5.76, "text": "Yes. We're currently trying to figure out a way to do a 9-day week."}, {"path": "tedlium_35403.wav", "duration": 5.76, "text": "we may build for a specified contracted amount of term contracts"}, {"path": "tedlium_35404.wav", "duration": 5.76, "text": "which could cause future results to differ materially from those expressed in or implied by our comments."}, {"path": "tedlium_35405.wav", "duration": 5.76, "text": "in framework for all the reasons that we've talked about previously, and I would expect us to be"}, {"path": "tedlium_35406.wav", "duration": 5.76, "text": "with respect to digital and what that means to their ability to market to consumers. And a lot of"}, {"path": "tedlium_35407.wav", "duration": 5.76, "text": "as to the type of what's in the bid, what's not in the bid. And what we really want to do"}, {"path": "tedlium_35408.wav", "duration": 5.76, "text": "but believe that meaningful opportunities still lie ahead of us. Over the last 5 years,"}, {"path": "tedlium_35409.wav", "duration": 5.76, "text": "offering business customers the freedom and flexibility of the latest cloud-based virtual PBX technology."}, {"path": "tedlium_35410.wav", "duration": 5.76, "text": "In today's market, we must be able to create value outside of just the purchase multiples in these acquisitions."}, {"path": "tedlium_35411.wav", "duration": 5.76, "text": "So at this point, I'd like to hand over to Onno to start the talk of the prepared remarks."}, {"path": "tedlium_35412.wav", "duration": 5.76, "text": "I'm wondering if you can kind of highlight how you think about redevelopment of existing building versus"}, {"path": "tedlium_35413.wav", "duration": 5.76, "text": "Now I'd like to spend a couple of minutes revisiting some of the key aspects of our business."}, {"path": "tedlium_35414.wav", "duration": 5.76, "text": "Our cash taxes are relatively stable. So I don't see any major headwinds in there."}, {"path": "tedlium_35415.wav", "duration": 5.76, "text": "address existing customers with those new products, and hope to be able to sell into"}, {"path": "tedlium_35416.wav", "duration": 5.76, "text": "on higher organic sales, favorable mix and the lower effective tax rate."}, {"path": "tedlium_35417.wav", "duration": 5.76, "text": "but also what was considered to be some economically driven pickup in Western Europe as well."}, {"path": "tedlium_35418.wav", "duration": 5.76, "text": "to what our audience share of viewing is compared to what our share of subscriber revenues are,"}, {"path": "tedlium_35419.wav", "duration": 5.76, "text": "In Australia and New Zealand, we introduced our first ever Formula 1 Select product."}, {"path": "tedlium_35420.wav", "duration": 5.76, "text": "And I believe that was my last slide. Thank you very much."}, {"path": "tedlium_35421.wav", "duration": 5.76, "text": "for those companies. And yet, there just seems to be this disconnect between"}, {"path": "tedlium_35422.wav", "duration": 5.76, "text": "This tool increases efficiency, reduces costs and substantially improves the client experience."}, {"path": "tedlium_35423.wav", "duration": 5.76, "text": "but nevertheless because of -- we try to maintain the"}, {"path": "tedlium_35424.wav", "duration": 5.76, "text": "I believe an interesting package of technologies that are around"}, {"path": "tedlium_35425.wav", "duration": 5.76, "text": "It's probably our best -- not probably, it's our best sponsor in the entire portfolio."}, {"path": "tedlium_35426.wav", "duration": 5.76, "text": "Private equity and institutional capital have entered the single-family rental market over the past several years,"}, {"path": "tedlium_35427.wav", "duration": 5.76, "text": "Well, I think it was just timing. A lot of this stuff came on right at the end of the quarter,"}, {"path": "tedlium_35428.wav", "duration": 5.76, "text": "On the cost front, one concern has been the rising price of milk ingredients."}, {"path": "tedlium_35429.wav", "duration": 5.76, "text": "I think our volume of testing is not related in the Product sector, which is the majority of our earnings,"}, {"path": "tedlium_35430.wav", "duration": 5.76, "text": "which is a modest lowering of the bottom end of the range and a tightening of the entire range."}, {"path": "tedlium_35431.wav", "duration": 5.76, "text": "they were able to find that higher wage rate in a relatively quick time given the market conditions that"}, {"path": "tedlium_35432.wav", "duration": 5.76, "text": "what percentage of your capital markets business is in office versus other property types?"}, {"path": "tedlium_35433.wav", "duration": 5.76, "text": "maybe it is related to the NIM contraction. And if we will see"}, {"path": "tedlium_35434.wav", "duration": 5.76, "text": "which is the measurement of our investment properties,"}, {"path": "tedlium_35435.wav", "duration": 5.76, "text": "along with a superior service and system support."}, {"path": "tedlium_35436.wav", "duration": 5.76, "text": "on the origination front. And I appreciate all the color, and I recall how"}, {"path": "tedlium_35437.wav", "duration": 5.76, "text": "Our initial objective is to assess the clinic, detail the therapeutic and take an order."}, {"path": "tedlium_35438.wav", "duration": 5.76, "text": "This is what we mean when we talk about our real estate providing us financial flexibility."}, {"path": "tedlium_35439.wav", "duration": 5.76, "text": "The increase in insurance commission revenue compared to the second quarter of last year was driven primarily"}, {"path": "tedlium_35440.wav", "duration": 5.76, "text": "Our sales mix was strong during the quarter, with several factors driving our performance."}, {"path": "tedlium_35441.wav", "duration": 5.76, "text": "estimates of what we think will happen in the next year. We look at them"}, {"path": "tedlium_35442.wav", "duration": 5.76, "text": "And the third one would, obviously, be continuing to deploy our financial assistance or transition assistance"}, {"path": "tedlium_35443.wav", "duration": 5.76, "text": "And so we think we can meet the target of supply of gas by"}, {"path": "tedlium_35444.wav", "duration": 5.76, "text": "And we expect the fourth quarter to have the largest year-on-year core tax rate benefit."}, {"path": "tedlium_35445.wav", "duration": 5.76, "text": "I'll give you one example that we have made public as well together with the European Space Agency. We are providing a very"}, {"path": "tedlium_35446.wav", "duration": 5.76, "text": "We're also starting to see better results in our private brands as our speed initiatives take hold."}, {"path": "tedlium_35447.wav", "duration": 5.76, "text": "smart home devices that are connected to the Internet and new consumer wireless devices."}, {"path": "tedlium_35448.wav", "duration": 5.76, "text": "Cash flows from PMT's existing investment portfolio remain strong,"}, {"path": "tedlium_35449.wav", "duration": 5.76, "text": "what was your previous revenue expectation for the HAAS contract for"}, {"path": "tedlium_35450.wav", "duration": 5.76, "text": "basically a function of capacity. I mean, there's a hell of a lot of capacity on that sector."}, {"path": "tedlium_35451.wav", "duration": 5.76, "text": "that we have reached out to, and we have opportunities under our right of first refusal."}, {"path": "tedlium_35452.wav", "duration": 5.76, "text": "Thank you very much. That's a tough one because it depends on a couple of things."}, {"path": "tedlium_35453.wav", "duration": 5.76, "text": "products that we run on different types of equipment that we can run more efficiently,"}, {"path": "tedlium_35454.wav", "duration": 5.76, "text": "increased from the prior quarter and year-ago quarter due to the larger contribution to the charitable foundation."}, {"path": "tedlium_35455.wav", "duration": 5.76, "text": "Together, we see these offerings more than doubling the potential value of each customer seat."}, {"path": "tedlium_35456.wav", "duration": 5.76, "text": "Okay. It just seems a little more severe than in previous years, the sequential"}, {"path": "tedlium_35457.wav", "duration": 5.76, "text": "Specifically, we received a CHMP positive opinion"}, {"path": "tedlium_35458.wav", "duration": 5.76, "text": "I mean, if you're trying to kind of highlight the shift in the business, I mean, that would be a great way to do it, certainly."}, {"path": "tedlium_35459.wav", "duration": 5.76, "text": "particularly from a lumber perspective and the question comes back as how much of that can you get back in the market through pricing?"}, {"path": "tedlium_35460.wav", "duration": 5.76, "text": "in the past, we had marketed to a range of customers using FICO as a proxy"}, {"path": "tedlium_35461.wav", "duration": 5.76, "text": "The telecom cost reduction resulted from a negotiated credit with the vendor."}, {"path": "tedlium_35462.wav", "duration": 5.76, "text": "as well as the benefit of the reversal of a previously established tax reserve."}, {"path": "tedlium_35463.wav", "duration": 5.76, "text": "in the whole world. In Fosun Fashion"}, {"path": "tedlium_35464.wav", "duration": 5.76, "text": "and it's not a sales tool or anything, but we make every"}, {"path": "tedlium_35465.wav", "duration": 5.76, "text": "market is higher price. So on the margin side,"}, {"path": "tedlium_35466.wav", "duration": 5.76, "text": "We saw strong construction activity and good demand for our rental equipment throughout our network of branches,"}, {"path": "tedlium_35467.wav", "duration": 5.76, "text": "So that concludes my prepared remarks. Now I would like to pass it over to the operator so we can address your questions."}, {"path": "tedlium_35468.wav", "duration": 5.76, "text": "And it also shows the investment agility that our model allows us. The"}, {"path": "tedlium_35469.wav", "duration": 5.76, "text": "We intend to focus on our cost strategies to grow our commercial business,"}, {"path": "tedlium_35470.wav", "duration": 5.76, "text": "These 2 events should continue to enhance our real estate revenues going forward."}, {"path": "tedlium_35471.wav", "duration": 5.76, "text": "to enhance operations and reduce expenses surrounding the delayed DEXTENZA launch,"}, {"path": "tedlium_35472.wav", "duration": 5.76, "text": "The other main issue is we've been hoping that MRO would recover throughout this year,"}, {"path": "tedlium_35473.wav", "duration": 5.76, "text": "After a good second quarter, we did see overall Infrastructure sales decline modestly in the third quarter."}, {"path": "tedlium_35474.wav", "duration": 5.76, "text": "We ended the year with a strong cash position and no debt, having repaid"}, {"path": "tedlium_35475.wav", "duration": 5.76, "text": "In our more traditional trailer space, we continue to believe that molded structural composite technology"}, {"path": "tedlium_35476.wav", "duration": 5.76, "text": "We continue to support our solid operating performance with a very strong capital position."}, {"path": "tedlium_35477.wav", "duration": 5.76, "text": "Forestry spending in the South is expected to increase, which is typical coming into the spring."}, {"path": "tedlium_35478.wav", "duration": 5.76, "text": "in being that way, as we do. I think there are a lot of similarities in the companies"}, {"path": "tedlium_35479.wav", "duration": 5.76, "text": "a lot of what's being done between the 2 organizations is being driven by"}, {"path": "tedlium_35480.wav", "duration": 5.76, "text": "These headcount reductions have not and will not adversely impact revenue."}, {"path": "tedlium_35481.wav", "duration": 5.76, "text": "that's ultimately what helps us continue to win in that space."}, {"path": "tedlium_35482.wav", "duration": 5.76, "text": "the profitability of a pure retail franchise away from the larger institutional books."}, {"path": "tedlium_35483.wav", "duration": 5.76, "text": "in order to identify a dose that would be expected to deliver a therapeutic exposure level"}, {"path": "tedlium_35484.wav", "duration": 5.76, "text": "Recruiting rather than retail sales is the natural focus of successful participants in defendant's business opportunity."}, {"path": "tedlium_35485.wav", "duration": 5.76, "text": "a strategy which we believe is serving both Cable ONE customers and our shareholders well."}, {"path": "tedlium_35486.wav", "duration": 5.76, "text": "forcing them to buy further out in the suburbs or target more affordable property types such as condos."}, {"path": "tedlium_35487.wav", "duration": 5.76, "text": "We appreciate the open and constructive dialogue we have had with our shareholders."}, {"path": "tedlium_35488.wav", "duration": 5.76, "text": "cycle has at least a couple more years, if not more. But one of the things that I would note"}, {"path": "tedlium_35489.wav", "duration": 5.76, "text": "And in addition to that, there is a possibility that some assets will come"}, {"path": "tedlium_35490.wav", "duration": 5.76, "text": "and that they are not currently planning to hold an advisory committee meeting as part of their review process."}, {"path": "tedlium_35491.wav", "duration": 5.76, "text": "with the best product knowledge, sales expertise and tools to enhance the customer experience."}, {"path": "tedlium_35492.wav", "duration": 5.76, "text": "This has enhanced our ability to source product, and I believe we'll continue to improve."}, {"path": "tedlium_35493.wav", "duration": 5.76, "text": "And then on the effective tax rate"}, {"path": "tedlium_35494.wav", "duration": 5.76, "text": "In terms of market presence, a bigger fleet can provide more flexibility."}, {"path": "tedlium_35495.wav", "duration": 5.76, "text": "and we see a clear path to the upper half of our EBIT guidance."}, {"path": "tedlium_35496.wav", "duration": 5.76, "text": "tied to foreign currency movements such that our EPS guidance remains unchanged for the year."}, {"path": "tedlium_35497.wav", "duration": 5.76, "text": "to competing pipelines. We also offer much greater market flexibility than our competitors."}, {"path": "tedlium_35498.wav", "duration": 5.76, "text": "Our dynamic hedging strategies, along with a commitment to maintaining moderate leverage and a strong balance sheet,"}, {"path": "tedlium_35499.wav", "duration": 5.76, "text": "with rising rents and steady demand from existing customers and new prospects."}, {"path": "tedlium_35500.wav", "duration": 5.76, "text": "Have you already leveraged the acquired team to promote the new product and what have you done"}, {"path": "tedlium_35501.wav", "duration": 5.76, "text": "As always, our guidance does not assume any future acquisitions or greenfield store openings."}, {"path": "tedlium_35502.wav", "duration": 5.76, "text": "isn't really going to have a dramatic effect. I think the bigger question is what have we seen since then."}, {"path": "tedlium_35503.wav", "duration": 5.76, "text": "which is more representative of the earnings of each business on a stand-alone basis."}, {"path": "tedlium_35504.wav", "duration": 5.76, "text": "Now as I did last quarter, I plan to spend some time going over the numbers themselves"}, {"path": "tedlium_35505.wav", "duration": 5.76, "text": "Revenues in business continued to be impacted by rationalization in traditional fixed services"}, {"path": "tedlium_35506.wav", "duration": 5.76, "text": "As a result, we continue to be very competitive in our media share of voice."}, {"path": "tedlium_35507.wav", "duration": 5.76, "text": "slow down a fair bit from an order entry perspective and so we're factored in sort of our historical"}, {"path": "tedlium_35508.wav", "duration": 5.76, "text": "We value the firm based on free cash flow and allocate capital to maximize free cash flow returns."}, {"path": "tedlium_35509.wav", "duration": 5.76, "text": "which delayed construction activity and therefore the use of many of our product offerings."}, {"path": "tedlium_35510.wav", "duration": 5.76, "text": "peg the right point of how do you offset that with a combination of cost out"}, {"path": "tedlium_35511.wav", "duration": 5.76, "text": "Another highlight that I'd like to mention is the construction of Montana Unit 4. It remains on schedule,"}, {"path": "tedlium_35512.wav", "duration": 5.76, "text": "in land development drilling work for both PEMEX and a number of local operators due to the absence"}, {"path": "tedlium_35513.wav", "duration": 5.76, "text": "Well the fourth quarter results were impacted by several things, slightly lower gaming volumes,"}, {"path": "tedlium_35514.wav", "duration": 5.76, "text": "in terms of outlook, look, we maintain our outlook for the year"}, {"path": "tedlium_35515.wav", "duration": 5.76, "text": "The first half of this year has been another profitable period for Bank of Ireland."}, {"path": "tedlium_35516.wav", "duration": 5.76, "text": "And you might view that as our investment into client loyalty"}, {"path": "tedlium_35517.wav", "duration": 5.76, "text": "During the last several months, we won multiple new mandates for both contingent staffing and direct hire programs"}, {"path": "tedlium_35518.wav", "duration": 5.76, "text": "If I look at the distribution of free cash flow this year, it's kind of second half weighted because we're spending"}, {"path": "tedlium_35519.wav", "duration": 5.76, "text": "assumes sequential expansion of our operating margin in the Manufacturing and DSA segments."}, {"path": "tedlium_35520.wav", "duration": 5.76, "text": "and a lot of the product that we're seeing on the Senior Housing side is not stabilized product."}, {"path": "tedlium_35521.wav", "duration": 5.76, "text": "In addition, with improving domestic activity, software sales should benefit in the second quarter."}, {"path": "tedlium_35522.wav", "duration": 5.76, "text": "The quarter was highlighted by strong earnings, margin expansion and improved efficiency"}, {"path": "tedlium_35523.wav", "duration": 5.76, "text": "so a couple of things. Obviously, we've continued to be active and will continue to be in the supply chain,"}, {"path": "tedlium_35524.wav", "duration": 5.76, "text": "The profit growth and higher margins over the last few quarters are very encouraging signs."}, {"path": "tedlium_35525.wav", "duration": 5.76, "text": "Project execution, of course, we are fully focused on delivering on the projects that we have"}, {"path": "tedlium_35526.wav", "duration": 5.76, "text": "optimal outcome is for those. And that sort of plays into the first question you had about do we term out"}, {"path": "tedlium_35527.wav", "duration": 5.76, "text": "I'd note is that we dealt with a lot of the bottom of the portfolio,"}, {"path": "tedlium_35528.wav", "duration": 5.76, "text": "I don't want to say concentrated nature of the securities license reps, but it's a relatively"}, {"path": "tedlium_35529.wav", "duration": 5.76, "text": "which offset some weakness in Latin America and Central and Eastern Europe."}, {"path": "tedlium_35530.wav", "duration": 5.76, "text": "And lastly, the additional contribution margin that we'll pick up from 13 additional production days."}, {"path": "tedlium_35531.wav", "duration": 5.76, "text": "and also available by telephone at the replay number noted on our release."}, {"path": "tedlium_35532.wav", "duration": 5.76, "text": "And most recently, we took a big step in helping brands with augmented reality."}, {"path": "tedlium_35533.wav", "duration": 5.76, "text": "and I think that is very important because I think we have still a lot of work to do to educate the market"}, {"path": "tedlium_35534.wav", "duration": 5.76, "text": "So this is what we see. This is very early days. The label is in line with what we did assume."}, {"path": "tedlium_35535.wav", "duration": 5.76, "text": "We have always been proud of the fact that being a sales associate at The Tile Shop is not like other retail jobs."}, {"path": "tedlium_35536.wav", "duration": 5.76, "text": "Flights handled again includes Hong Kong and Singapore"}, {"path": "tedlium_35537.wav", "duration": 5.76, "text": "looking forward to the future and the opportunities that are in front of us. So we expect these things"}, {"path": "tedlium_35538.wav", "duration": 5.76, "text": "for the fourth quarter holiday selling season and the additional revenue from the delayed third quarter shipments."}, {"path": "tedlium_35539.wav", "duration": 5.76, "text": "The second question that I would like to ask you is that if you look at your second quarter overall"}, {"path": "tedlium_35540.wav", "duration": 5.76, "text": "Our platforms are well ahead of what's there now. And I think we could make a difference."}, {"path": "tedlium_35541.wav", "duration": 5.76, "text": "So it's been too high. Some of the actions we've taken are really"}, {"path": "tedlium_35542.wav", "duration": 5.76, "text": "if not, will most of the cost to come out be in the COGS line?"}, {"path": "tedlium_35543.wav", "duration": 5.7599375, "text": "We set ourselves the objective based on the remittance ratio, that is quite high,"}, {"path": "tedlium_35544.wav", "duration": 5.7599375, "text": "Our safety and operating performance continue to be strong."}, {"path": "tedlium_35545.wav", "duration": 5.7599375, "text": "We're off to a strong start on our initiative to increase sales capacity."}, {"path": "tedlium_35546.wav", "duration": 5.7300625, "text": "and making it very easy for consumers to shop either online or in a store."}, {"path": "tedlium_35547.wav", "duration": 5.7300625, "text": "In our banking with enterprises, we continue to focus in all products and services"}, {"path": "tedlium_35548.wav", "duration": 5.73, "text": "I would like to turn the conference back over to Darcey Matthews for closing comments."}, {"path": "tedlium_35549.wav", "duration": 5.73, "text": "at least on that order of magnitude to develop the same amount of reserves. So if we peek back to"}, {"path": "tedlium_35550.wav", "duration": 5.73, "text": "But in no way are we satisfied. There's still more work to do and we are dedicated to making this happen."}, {"path": "tedlium_35551.wav", "duration": 5.73, "text": "we're pretty comfortable where we're getting to now and in the knowledge of the ore body. Now"}, {"path": "tedlium_35552.wav", "duration": 5.73, "text": "At the conclusion of our report, there will be an opportunity for you to ask any questions you may have."}, {"path": "tedlium_35553.wav", "duration": 5.73, "text": "is the -- would you say the legal environment is more challenging today than maybe 2, 3 years ago?"}, {"path": "tedlium_35554.wav", "duration": 5.73, "text": "Including the market value of our equity investment in Ashford Inc., we ended the quarter with net working capital"}, {"path": "tedlium_35555.wav", "duration": 5.73, "text": "We continue to look at ideas to monetize those assets, but one of the"}, {"path": "tedlium_35556.wav", "duration": 5.73, "text": "And because of this, what do you see are prebuying and where you see the scrappage will come"}, {"path": "tedlium_35557.wav", "duration": 5.73, "text": "But I would like to highlight our performance as for"}, {"path": "tedlium_35558.wav", "duration": 5.73, "text": "Investments such as these do not mean that our strategy has changed."}, {"path": "tedlium_35559.wav", "duration": 5.73, "text": "and we are going to take a hard look at our manufacturing strategy"}, {"path": "tedlium_35560.wav", "duration": 5.73, "text": "closing and funding in the last few days of the third quarter in our private equity"}, {"path": "tedlium_35561.wav", "duration": 5.73, "text": "There is no impact on the business other than that. The business stays the same."}, {"path": "tedlium_35562.wav", "duration": 5.73, "text": "share some of the thinking and rationale that's going on here. But you probably got an asset that"}, {"path": "tedlium_35563.wav", "duration": 5.73, "text": "This is after significant interest and cash tax payments in the third quarter."}, {"path": "tedlium_35564.wav", "duration": 5.73, "text": "Our commitment to growing our system business was also on display,"}, {"path": "tedlium_35565.wav", "duration": 5.73, "text": "Overall, demand in the aerospace market continues to be solid, especially for aluminum plate,"}, {"path": "tedlium_35566.wav", "duration": 5.73, "text": "And the value of the program really is about both points-earning and where can I use those points."}, {"path": "tedlium_35567.wav", "duration": 5.73, "text": "Over time, you should expect to see this business grow and grow as a contributor to the group."}, {"path": "tedlium_35568.wav", "duration": 5.73, "text": "Note that the current year included 6 months of Medicare competitive bidding price reduction"}, {"path": "tedlium_35569.wav", "duration": 5.73, "text": "We have also doubled our business in painting tools through the acquisition of Harris"}, {"path": "tedlium_35570.wav", "duration": 5.73, "text": "This is purely an accounting effect, and we don't expect a meaningful impact in future years."}, {"path": "tedlium_35571.wav", "duration": 5.73, "text": "lower channel discount on AutoCAD LP and an increase for multiuser subscriptions."}, {"path": "tedlium_35572.wav", "duration": 5.73, "text": "Turning to the fourth quarter, we're very pleased with our operating and financial results."}, {"path": "tedlium_35573.wav", "duration": 5.73, "text": "That rolls off in the third quarter of 2019, and so there will be a step function change"}, {"path": "tedlium_35574.wav", "duration": 5.73, "text": "This is reflective of our continued focus on developing and enhancing our business services product set."}, {"path": "tedlium_35575.wav", "duration": 5.73, "text": "Well, thanks everyone for being on the call. We will talk to everyone next quarter."}, {"path": "tedlium_35576.wav", "duration": 5.73, "text": "And that was -- in addition to the marketplace issue that we were dealing with,"}, {"path": "tedlium_35577.wav", "duration": 5.73, "text": "Second question is actually the other side of the same coin."}, {"path": "tedlium_35578.wav", "duration": 5.73, "text": "all in all this year, we would be at a similar level of last year, with slightly up as we have increased"}, {"path": "tedlium_35579.wav", "duration": 5.73, "text": "and to that point how does this relate to your funding requirements for your development"}, {"path": "tedlium_35580.wav", "duration": 5.73, "text": "I think the holistic approach that we bring from both a financial planning and investing"}, {"path": "tedlium_35581.wav", "duration": 5.73, "text": "And our target for working capital remains to be single digit within the next 18 months."}, {"path": "tedlium_35582.wav", "duration": 5.73, "text": "but they do provide a more sustainable financial outcome for these stores going forward."}, {"path": "tedlium_35583.wav", "duration": 5.73, "text": "we haven't changed that one, but we need to explain. This is above the"}, {"path": "tedlium_35584.wav", "duration": 5.73, "text": "With all of their oil and gas flowing through a flexible pipe, there's a lot riding on the performance of this technology."}, {"path": "tedlium_35585.wav", "duration": 5.73, "text": "If I could start with the Clear Lam. Can you give us a sense as to"}, {"path": "tedlium_35586.wav", "duration": 5.73, "text": "In light of the continued stable order situation at Deutsche Telekom and the volume of new orders,"}, {"path": "tedlium_35587.wav", "duration": 5.73, "text": "but it would be premature to have any -- there is no correlation to the distribution structure in the first"}, {"path": "tedlium_35588.wav", "duration": 5.73, "text": "an operating working capital in line with or just above last year."}, {"path": "tedlium_35589.wav", "duration": 5.73, "text": "the factors described in our historical filings with the New York State Department of Financial Services"}, {"path": "tedlium_35590.wav", "duration": 5.73, "text": "Turning to our second quarter segment results, starting with Medical and Healthcare."}, {"path": "tedlium_35591.wav", "duration": 5.73, "text": "you will see that revenues are down significantly versus the corresponding period last year."}, {"path": "tedlium_35592.wav", "duration": 5.73, "text": "Meanwhile, as I think most of us know, Mexico's gas production continues to decline."}, {"path": "tedlium_35593.wav", "duration": 5.73, "text": "where do you see the spending going? And what areas of your business would most likely have the opportunity to benefit from this?"}, {"path": "tedlium_35594.wav", "duration": 5.73, "text": "In addition, we completed implementation of our revenue management system in July,"}, {"path": "tedlium_35595.wav", "duration": 5.73, "text": "we now have something that we can identify the population that needs the most help."}, {"path": "tedlium_35596.wav", "duration": 5.73, "text": "today, we can say that this provision"}, {"path": "tedlium_35597.wav", "duration": 5.73, "text": "Finally, the transaction will deliver compelling financial benefits,"}, {"path": "tedlium_35598.wav", "duration": 5.73, "text": "motivated and dedicated. They have a deep understanding of their customers"}, {"path": "tedlium_35599.wav", "duration": 5.73, "text": "how you -- the flexibility of having that spend depending on what type of volume the market gives you."}, {"path": "tedlium_35600.wav", "duration": 5.73, "text": "In addition, we've updated our auto frequency and severity loss estimates for the fourth quarter"}, {"path": "tedlium_35601.wav", "duration": 5.73, "text": "Our focus is on building advocacy and loyalty for the Benchmark Communities brand."}, {"path": "tedlium_35602.wav", "duration": 5.73, "text": "per your question, by the various specific environmental regulations and deadlines"}, {"path": "tedlium_35603.wav", "duration": 5.73, "text": "it's wildly different in terms of what we can expect. And I think historical"}, {"path": "tedlium_35604.wav", "duration": 5.73, "text": "We don't want to be in a model where we have this race to the bottom where we can go out and buy business."}, {"path": "tedlium_35605.wav", "duration": 5.73, "text": "as you know, we made a deliberate decision to retain as part of the"}, {"path": "tedlium_35606.wav", "duration": 5.73, "text": "And I have to say that in spite of all the disruption caused, our customers"}, {"path": "tedlium_35607.wav", "duration": 5.73, "text": "the first one we call the value strategy, this is mostly about the kind of people that are in this room."}, {"path": "tedlium_35608.wav", "duration": 5.73, "text": "Thanks for your continued interest, and now I will turn the call over to Rich."}, {"path": "tedlium_35609.wav", "duration": 5.73, "text": "is this a function of higher production? Or are there other factors in play?"}, {"path": "tedlium_35610.wav", "duration": 5.73, "text": "For details about these risks, please see the earnings release that accompanies this call"}, {"path": "tedlium_35611.wav", "duration": 5.73, "text": "and also establishes the validity of these Codexis patents for purposes of the case."}, {"path": "tedlium_35612.wav", "duration": 5.73, "text": "the need for lighter weight components and quieter interiors is becoming increasingly important."}, {"path": "tedlium_35613.wav", "duration": 5.73, "text": "should be sustainably higher than a lot of the other sort of similar size peers? Because a lot of the banks"}, {"path": "tedlium_35614.wav", "duration": 5.73, "text": "So we are certainly looking -- one of these that -- I think if you look at"}, {"path": "tedlium_35615.wav", "duration": 5.73, "text": "We also need to ensure we have a scalable platform to support where the business"}, {"path": "tedlium_35616.wav", "duration": 5.73, "text": "The proceeds will be used to repay the -- most of the outstanding balance on our line of credit"}, {"path": "tedlium_35617.wav", "duration": 5.73, "text": "We expect another year of earnings growth, as our business should continue to benefit from growth in new construction,"}, {"path": "tedlium_35618.wav", "duration": 5.73, "text": "We believe the RPO market has tremendous potential on a worldwide scale,"}, {"path": "tedlium_35619.wav", "duration": 5.73, "text": "So it's really just kind of a recycling program for those people who have kind of reached their term."}, {"path": "tedlium_35620.wav", "duration": 5.73, "text": "technology and innovation. Global technology development"}, {"path": "tedlium_35621.wav", "duration": 5.73, "text": "as well as to provide you with our operational and commercial update."}, {"path": "tedlium_35622.wav", "duration": 5.73, "text": "Probably what was expected to be a formal outcome by mid of next year"}, {"path": "tedlium_35623.wav", "duration": 5.73, "text": "we need to be able to create value or we just won't pursue those opportunities. So"}, {"path": "tedlium_35624.wav", "duration": 5.73, "text": "When we cycle out of this tough farmer environment,"}, {"path": "tedlium_35625.wav", "duration": 5.73, "text": "in the fourth quarter. Much of the investment that we made would have hit the market"}, {"path": "tedlium_35626.wav", "duration": 5.73, "text": "We'll talk more about our strong cash flow generation at the upcoming CAGNY conference."}, {"path": "tedlium_35627.wav", "duration": 5.73, "text": "So I was just trying to understand that if we remove the raw material cost and even on lower sales,"}, {"path": "tedlium_35628.wav", "duration": 5.73, "text": "for what it takes in areas you're competitive into bringing new money in the door as far as rate goes."}, {"path": "tedlium_35629.wav", "duration": 5.73, "text": "By paying close attention to changes in economic environment,"}, {"path": "tedlium_35630.wav", "duration": 5.73, "text": "So these are all cash and equivalent, ready"}, {"path": "tedlium_35631.wav", "duration": 5.73, "text": "for a patent covering methods and use claims for treating opioid use disorder"}, {"path": "tedlium_35632.wav", "duration": 5.73, "text": "Good morning, everyone. It's a pleasure to be with you today and to report our first quarter results."}, {"path": "tedlium_35633.wav", "duration": 5.73, "text": "as we've seen the Q3 results over the last couple of weeks, most of the banks have had"}, {"path": "tedlium_35634.wav", "duration": 5.73, "text": "You can find more information about risks, uncertainties and other factors that could affect our results"}, {"path": "tedlium_35635.wav", "duration": 5.73, "text": "just give us a little more color, if you don't mind, on the breakdown of that. How much of that is Venmo? And then"}, {"path": "tedlium_35636.wav", "duration": 5.73, "text": "at each rate. I think that's exactly what we've done in terms of the value that we've created"}, {"path": "tedlium_35637.wav", "duration": 5.73, "text": "give us some color and context for that statement and what kind of things you're thinking about there?"}, {"path": "tedlium_35638.wav", "duration": 5.73, "text": "The work we're doing in the smart home space is a great example of how we are expanding what we sell."}, {"path": "tedlium_35639.wav", "duration": 5.73, "text": "Additionally, we also intend to grow these platforms through bolt-on acquisitions."}, {"path": "tedlium_35640.wav", "duration": 5.73, "text": "And there are some people out there who think this could be the best drug to treat psoriasis."}, {"path": "tedlium_35641.wav", "duration": 5.73, "text": "with materially increased financial strength and flexibility to drive our long-term growth ambitions."}, {"path": "tedlium_35642.wav", "duration": 5.73, "text": "To address this, as you know, we made some trial modifications to patient entry criteria"}, {"path": "tedlium_35643.wav", "duration": 5.73, "text": "We don't have a whole lot of customers live with that yet because there's still a lot of development work going on in the partnership."}, {"path": "tedlium_35644.wav", "duration": 5.73, "text": "Even as we support strong business growth, we maintained significant financial flexibility."}, {"path": "tedlium_35645.wav", "duration": 5.73, "text": "Is there any further room to cut that even more?"}, {"path": "tedlium_35646.wav", "duration": 5.73, "text": "gasoline supply and that it might make it somewhat of a zero-sum game. And so"}, {"path": "tedlium_35647.wav", "duration": 5.73, "text": "The increased guidance reflects interest expense associated with our first quarter issuance of debt."}, {"path": "tedlium_35648.wav", "duration": 5.73, "text": "We've covered a lot of ground, yet we remain in the early days across all 4 of our strategic initiatives."}, {"path": "tedlium_35649.wav", "duration": 5.73, "text": "This was actually somewhat compensated by higher volumes in Tibnor and in Ruukki Construction."}, {"path": "tedlium_35650.wav", "duration": 5.73, "text": "Natural gas revenue was impacted by a 40% decrease in AECO during the quarter."}, {"path": "tedlium_35651.wav", "duration": 5.73, "text": "These decreases were partially offset by continued strength in our Life Sciences product lines."}, {"path": "tedlium_35652.wav", "duration": 5.73, "text": "those 2, which were a result of acquisitions, not a result of losing a client per se."}, {"path": "tedlium_35653.wav", "duration": 5.73, "text": "the revenue from new lines will be meaningfully more than that of our earlier expectations."}, {"path": "tedlium_35654.wav", "duration": 5.73, "text": "As you know, actual events and results can differ materially from these forward-looking statements."}, {"path": "tedlium_35655.wav", "duration": 5.73, "text": "nice improvement versus underwriting models across the board in that cohort. We feel very good about it."}, {"path": "tedlium_35656.wav", "duration": 5.73, "text": "that are working for us and people know that and it's very important that we keep them here."}, {"path": "tedlium_35657.wav", "duration": 5.73, "text": "Just to be clear, in terms of sort of the lower end on the revenue side,"}, {"path": "tedlium_35658.wav", "duration": 5.73, "text": "It's a little harder to buy cattle in the beginning of the years that are going to get marketed in the half of the year"}, {"path": "tedlium_35659.wav", "duration": 5.73, "text": "as the ultimate measure of financial health is your net worth and key to increasing that is saving and investing over the long term."}, {"path": "tedlium_35660.wav", "duration": 5.73, "text": "Our first quarter MLR in Florida was approximately 90% on a reported basis."}, {"path": "tedlium_35661.wav", "duration": 5.73, "text": "With the relocation complete and the new offerings up and running and available to the marketplace,"}, {"path": "tedlium_35662.wav", "duration": 5.73, "text": "and the subsequent recovery of inventory in each of the third and fourth quarters"}, {"path": "tedlium_35663.wav", "duration": 5.73, "text": "from television to other areas but an absence of money being spent."}, {"path": "tedlium_35664.wav", "duration": 5.73, "text": "During the second quarter, we completed the expansion of our OTT commercial channel."}, {"path": "tedlium_35665.wav", "duration": 5.73, "text": "Despite these changes, it is important to remember that at the end of the day,"}, {"path": "tedlium_35666.wav", "duration": 5.73, "text": "in this quarter, we saw some significant growth from the Philippines, driven a lot"}, {"path": "tedlium_35667.wav", "duration": 5.73, "text": "And so to the extent that the pound becomes weaker because of this, it actually benefits us."}, {"path": "tedlium_35668.wav", "duration": 5.73, "text": "But also Scott, just keep in mind that once we're through this major waste-stripping campaign"}, {"path": "tedlium_35669.wav", "duration": 5.73, "text": "And is a straight equity offering on the table as one of those possibilities?"}, {"path": "tedlium_35670.wav", "duration": 5.73, "text": "Our balanced capital approach is centered on being flexible, opportunistic and disciplined."}, {"path": "tedlium_35671.wav", "duration": 5.73, "text": "in good times actually, more operating leverage than we have in the past. Okay."}, {"path": "tedlium_35672.wav", "duration": 5.73, "text": "and further vendor management savings, and the continued tackling of our real estate footprint."}, {"path": "tedlium_35673.wav", "duration": 5.73, "text": "As you see on the left side of this page, we delivered on this commitment, but we know we need to do more."}, {"path": "tedlium_35674.wav", "duration": 5.73, "text": "Additionally, we are focused on addressing inefficiencies across our entire expense base"}, {"path": "tedlium_35675.wav", "duration": 5.73, "text": "At this time, I'd like to turn back to Mr. Kolstad for any closing remarks."}, {"path": "tedlium_35676.wav", "duration": 5.73, "text": "recovered well from some of these avalanches, which have been"}, {"path": "tedlium_35677.wav", "duration": 5.73, "text": "and on top of that, the fact that the media coverage he got was not because he was a"}, {"path": "tedlium_35678.wav", "duration": 5.73, "text": "We have just eliminated some of the older new product that we were working on."}, {"path": "tedlium_35679.wav", "duration": 5.73, "text": "And you just look at that. And you look at what do you think is the right decision for the partnership"}, {"path": "tedlium_35680.wav", "duration": 5.73, "text": "It's the time of closure, which is not yet fully established"}, {"path": "tedlium_35681.wav", "duration": 5.73, "text": "just the increase in relationship managers? Or is it the type of money you're attracting?"}, {"path": "tedlium_35682.wav", "duration": 5.73, "text": "These earnings does not reflect any significant benefit from the cost reduction program"}, {"path": "tedlium_35683.wav", "duration": 5.73, "text": "section. Where do you see the gaps? Where do you think you're a bit underweight? Where would you like to"}, {"path": "tedlium_35684.wav", "duration": 5.73, "text": "And we're seeing customers really moving towards doing that. So we're not seeing, I think, a hesitation on the part of"}, {"path": "tedlium_35685.wav", "duration": 5.73, "text": "by the vast number of patients needing new medicines and the dearth of companies innovating in this area."}, {"path": "tedlium_35686.wav", "duration": 5.73, "text": "any sort of uptake in ARISTADA on the heels of the ALPINE study results for this year?"}, {"path": "tedlium_35687.wav", "duration": 5.73, "text": "On -- one advantage of having the existing plant is that the metallurgy and"}, {"path": "tedlium_35688.wav", "duration": 5.73, "text": "the remaining amount of the purchase price is then recorded as goodwill."}, {"path": "tedlium_35689.wav", "duration": 5.7000625, "text": "However, we continue to be mindful of the situation and are carefully managing our exposure"}, {"path": "tedlium_35690.wav", "duration": 5.7000625, "text": "at any high level. So eventually they need to start to buy. But we call it"}, {"path": "tedlium_35691.wav", "duration": 5.7, "text": "We delivered on important customer fuel trials and business development activities,"}, {"path": "tedlium_35692.wav", "duration": 5.7, "text": "picking up the best ones that make the most sense for our shareholders and that"}, {"path": "tedlium_35693.wav", "duration": 5.7, "text": "Hyper-convergent technologies and the changes that are going to occur in the IT world"}, {"path": "tedlium_35694.wav", "duration": 5.7, "text": "and came despite the restructuring charges at Marsh and Mercer during the year."}, {"path": "tedlium_35695.wav", "duration": 5.7, "text": "and I think the capital growth program is increasingly becoming the engine room and driver of growth that it should be."}, {"path": "tedlium_35696.wav", "duration": 5.7, "text": "as you can see from the WWW graphs,"}, {"path": "tedlium_35697.wav", "duration": 5.7, "text": "For example, we see through our ARCH program"}, {"path": "tedlium_35698.wav", "duration": 5.7, "text": "you think this is something that you're going to continue to work with and you think it gets a little bit better?"}, {"path": "tedlium_35699.wav", "duration": 5.7, "text": "Notwithstanding, this is an extremely important step in our recovery."}, {"path": "tedlium_35700.wav", "duration": 5.7, "text": "on Syndicate and reinsurance business that is offsetting strong growth in Europe and Latin America."}, {"path": "tedlium_35701.wav", "duration": 5.7, "text": "Just to be clear, we don't run our business based on the existence of a pricing cycle."}, {"path": "tedlium_35702.wav", "duration": 5.7, "text": "This means that revenues can only be recognized when classified as highly probable,"}, {"path": "tedlium_35703.wav", "duration": 5.7, "text": "Management believes that providing insights on these measures enable investors to better understand"}, {"path": "tedlium_35704.wav", "duration": 5.7, "text": "could you quantify how much of your implicit guide for December is already accounted for"}, {"path": "tedlium_35705.wav", "duration": 5.7, "text": "whether that number's still in play in your mind or whether that's changed since the last time you commented?"}, {"path": "tedlium_35706.wav", "duration": 5.7, "text": "and have brought in a lot of competitive product, just need some attendance and attention,"}, {"path": "tedlium_35707.wav", "duration": 5.7, "text": "I know some of my colleagues in the market might suggest that there is"}, {"path": "tedlium_35708.wav", "duration": 5.7, "text": "This outcome does not reflect our view on the outlook and current performance of that business."}, {"path": "tedlium_35709.wav", "duration": 5.7, "text": "in the current year. And in turn, that's actually going to be beneficial for us."}, {"path": "tedlium_35710.wav", "duration": 5.7, "text": "So the plan is that these expenses we more than offset"}, {"path": "tedlium_35711.wav", "duration": 5.7, "text": "But even though people are thinking in a healthier way, they aren't getting healthier."}, {"path": "tedlium_35712.wav", "duration": 5.7, "text": "This represents an important use case for our data and integrated offering,"}, {"path": "tedlium_35713.wav", "duration": 5.7, "text": "particularly on the asset side of the balance sheet. And we are focused on"}, {"path": "tedlium_35714.wav", "duration": 5.7, "text": "patients who see predominantly a GI attack and how you would"}, {"path": "tedlium_35715.wav", "duration": 5.7, "text": "accelerate in terms of higher level of orders and larger orders in that part of the world."}, {"path": "tedlium_35716.wav", "duration": 5.7, "text": "By delivering excellent service, we expect to maintain this rapport with our customers."}, {"path": "tedlium_35717.wav", "duration": 5.7, "text": "we believe that the financial impact to our business would be minimal for a variety of reasons."}, {"path": "tedlium_35718.wav", "duration": 5.7, "text": "around the strategic rationale and the synergy potential of this merger"}, {"path": "tedlium_35719.wav", "duration": 5.7, "text": "improve our gas selling activities through an active commercial policy"}, {"path": "tedlium_35720.wav", "duration": 5.7, "text": "Personnel costs for the first 9 months of 2018 were impacted by additional bonuses"}, {"path": "tedlium_35721.wav", "duration": 5.7, "text": "I would tell you that we still have the bias to the upside, as we did in the first and second quarter."}, {"path": "tedlium_35722.wav", "duration": 5.7, "text": "We are confident that we will continue to execute at that high level as we have demonstrated consistently."}, {"path": "tedlium_35723.wav", "duration": 5.7, "text": "and do not represent the core areas of focus for Endo. Accordingly,"}, {"path": "tedlium_35724.wav", "duration": 5.7, "text": "whether you believe that now there is"}, {"path": "tedlium_35725.wav", "duration": 5.7, "text": "Also, could you please elaborate on the fee structure of the company"}, {"path": "tedlium_35726.wav", "duration": 5.7, "text": "And let me close with the normal health warning to pay particular attention to the cautionary statements"}, {"path": "tedlium_35727.wav", "duration": 5.7, "text": "Please turn to the next slide for information on Honda's second quarter sales."}, {"path": "tedlium_35728.wav", "duration": 5.7, "text": "to stay competitive in your industry, your career and your job."}, {"path": "tedlium_35729.wav", "duration": 5.7, "text": "tanker fleet that is taking scrubbers closely. Have you done any work around"}, {"path": "tedlium_35730.wav", "duration": 5.7, "text": "characterize us as being in the early innings of really getting after the"}, {"path": "tedlium_35731.wav", "duration": 5.7, "text": "Given this, our current view for the full year is that cigarette volumes will be down"}, {"path": "tedlium_35732.wav", "duration": 5.7, "text": "And I think that's probably the best indicator on actually where the industry is."}, {"path": "tedlium_35733.wav", "duration": 5.7, "text": "driven by a combination of improved market activity and market share gains."}, {"path": "tedlium_35734.wav", "duration": 5.7, "text": "This will allow us to build our global filing platform on a single data warehouse"}, {"path": "tedlium_35735.wav", "duration": 5.7, "text": "and we typically have a slowdown in our mining activities in the winter months in Oakdale, Wisconsin"}, {"path": "tedlium_35736.wav", "duration": 5.7, "text": "The revolving line of credit piece of our credit facility still has a variable interest rate,"}, {"path": "tedlium_35737.wav", "duration": 5.7, "text": "more junior members of the team a cost of living wage increase in the year."}, {"path": "tedlium_35738.wav", "duration": 5.7, "text": "due to a combination of increased benefits from our supply chain centers of expertise"}, {"path": "tedlium_35739.wav", "duration": 5.7, "text": "I'd like to share with you the progress we have made in each of these areas since our last call."}, {"path": "tedlium_35740.wav", "duration": 5.7, "text": "A complete replay will be available from the end of the day for a period of 12 months on the company's website"}, {"path": "tedlium_35741.wav", "duration": 5.7, "text": "This guidance is fully qualified by the forward-looking statements contained in yesterday's press release"}, {"path": "tedlium_35742.wav", "duration": 5.7, "text": "have they been coming back a tiny bit? And what is the mood in Europe that you're seeing?"}, {"path": "tedlium_35743.wav", "duration": 5.7, "text": "our joint venture with Simon Property Group. This transaction provided a significant portion"}, {"path": "tedlium_35744.wav", "duration": 5.7, "text": "very, very hard to put specifics around that. When it comes to product development spend,"}, {"path": "tedlium_35745.wav", "duration": 5.7, "text": "We therefore anticipate that our production of physician samples will return in the second half of the year."}, {"path": "tedlium_35746.wav", "duration": 5.7, "text": "That concludes our prepared comments. We will now open the call to your questions."}, {"path": "tedlium_35747.wav", "duration": 5.7, "text": "is maybe less volatile, we might have a decision on that, but not in this"}, {"path": "tedlium_35748.wav", "duration": 5.7, "text": "related to higher commodity prices during production and increased royalties."}, {"path": "tedlium_35749.wav", "duration": 5.7, "text": "We expect to complete the sale by the end of the year subject to customary closing conditions."}, {"path": "tedlium_35750.wav", "duration": 5.7, "text": "Now before I turn over the call to Tim, let me address the other news we announced today."}, {"path": "tedlium_35751.wav", "duration": 5.7, "text": "which is really the reason why we've seen so many customers recommit to us over the years, is because"}, {"path": "tedlium_35752.wav", "duration": 5.7, "text": "multiple public clouds because many of our customers are now using multiple public clouds"}, {"path": "tedlium_35753.wav", "duration": 5.7, "text": "put it on the market. So we'd like to have the buildings substantially leased with some term."}, {"path": "tedlium_35754.wav", "duration": 5.7, "text": "will come from an anticipated major new deal that we expect to announce in the near future."}, {"path": "tedlium_35755.wav", "duration": 5.7, "text": "We demonstrated the strength of our execution, and we finished the year with momentum."}, {"path": "tedlium_35756.wav", "duration": 5.7, "text": "These study designs will be presented at ASCO this year."}, {"path": "tedlium_35757.wav", "duration": 5.7, "text": "and we've seen a couple of competitors do some things that were a little off market."}, {"path": "tedlium_35758.wav", "duration": 5.7, "text": "is primarily driven by the increase in the incentive revenues that we now expect to earn"}, {"path": "tedlium_35759.wav", "duration": 5.7, "text": "that deliver both competitive returns to shareowners and significant benefits to customers."}, {"path": "tedlium_35760.wav", "duration": 5.7, "text": "Before providing our outlook, I'll ask Sean to provide more details on our first quarter results"}, {"path": "tedlium_35761.wav", "duration": 5.7, "text": "And I was also wondering if you can just give us a little bit more granularity in terms of"}, {"path": "tedlium_35762.wav", "duration": 5.7, "text": "The 410 basis point improvement in operating margin over the same quarter last year"}, {"path": "tedlium_35763.wav", "duration": 5.7, "text": "second only to the day we wrote our first mortgage insurance policy just 3 years ago."}, {"path": "tedlium_35764.wav", "duration": 5.7, "text": "and part of a protocol that these patients can go into a multi-dose study."}, {"path": "tedlium_35765.wav", "duration": 5.7, "text": "What are your guys' thoughts on as far as shareholders? Have you done the math on"}, {"path": "tedlium_35766.wav", "duration": 5.7, "text": "opportunities, and we expect to put on a good show. We'll tell you all what's"}, {"path": "tedlium_35767.wav", "duration": 5.7, "text": "but it's really a waste of money. You would perform so much better. So the big problem"}, {"path": "tedlium_35768.wav", "duration": 5.7, "text": "the cost to produce gives us that advantage without causing profit disruption"}, {"path": "tedlium_35769.wav", "duration": 5.7, "text": "If the questions on direct marketing expansion, i.e., the operating costs,"}, {"path": "tedlium_35770.wav", "duration": 5.7, "text": "Just moving on to look at that capital investment in a little bit more detail on the next slide."}, {"path": "tedlium_35771.wav", "duration": 5.7, "text": "And we do think for a relatively inexpensive investment, we can get a fair amount of interest"}, {"path": "tedlium_35772.wav", "duration": 5.7, "text": "similar to historic numbers, they do underscore the balance that we see in our business right now. So"}, {"path": "tedlium_35773.wav", "duration": 5.7, "text": "And right now, there are absolutely no conclusions as to"}, {"path": "tedlium_35774.wav", "duration": 5.7, "text": "This belief is based on a number of factors that continue to be positive trailer demand drivers."}, {"path": "tedlium_35775.wav", "duration": 5.7, "text": "which positions Microbial Solutions as the only provider that can offer a unique"}, {"path": "tedlium_35776.wav", "duration": 5.7, "text": "providing Tribune's shareholders with immediate liquidity at a significant premium"}, {"path": "tedlium_35777.wav", "duration": 5.7, "text": "that tells us that they are short and they are looking for alternatives and we put programs in place."}, {"path": "tedlium_35778.wav", "duration": 5.7, "text": "And although we recognize that there is more to be done, we continue to lead in transformation,"}, {"path": "tedlium_35779.wav", "duration": 5.7, "text": "the construction loan in which we are a participant. So we feel very good about that investment."}, {"path": "tedlium_35780.wav", "duration": 5.7, "text": "ultimately making the digital economy more accessible for consumers and merchants around the world."}, {"path": "tedlium_35781.wav", "duration": 5.7, "text": "together with the supply chain projects. I'll then conclude with comments on our strategy and outlook."}, {"path": "tedlium_35782.wav", "duration": 5.7, "text": "Our actual results may differ materially from the forward-looking statements for a number of reasons."}, {"path": "tedlium_35783.wav", "duration": 5.7, "text": "custom options grouping, to deliver greater control and visibility to complex strategies,"}, {"path": "tedlium_35784.wav", "duration": 5.7, "text": "and we will continue to do that. We think that will be appropriate for us to continue to build out rather than"}, {"path": "tedlium_35785.wav", "duration": 5.7, "text": "both of which are not incorporated into our current reserve methodology."}, {"path": "tedlium_35786.wav", "duration": 5.7, "text": "has now kind of stabilized versus what it was like, again, in the past 5 years?"}, {"path": "tedlium_35787.wav", "duration": 5.7, "text": "Sure. Well, just for Bridgepoint, I mean, we really haven't gone out there and offered"}, {"path": "tedlium_35788.wav", "duration": 5.7, "text": "We will continue to add additional sites in new countries in the coming months to support enrollment."}, {"path": "tedlium_35789.wav", "duration": 5.7, "text": "these other regions? If there's any more color you can give us on those things that might be helpful."}, {"path": "tedlium_35790.wav", "duration": 5.7, "text": "Are there any timing issues around when flows came in and out or strange nuances you would point out?"}, {"path": "tedlium_35791.wav", "duration": 5.7, "text": "Thanks for your attention, and I'm going to hand it over to Greg for a little bit more on taxes, cash flow and the balance sheet."}, {"path": "tedlium_35792.wav", "duration": 5.7, "text": "But we do have experience in these fields"}, {"path": "tedlium_35793.wav", "duration": 5.7, "text": "like your ability to drive your coater at higher line speeds and also your ability to"}, {"path": "tedlium_35794.wav", "duration": 5.7, "text": "on my part, maybe it was a mistake that we got pinned down to a range of numbers."}, {"path": "tedlium_35795.wav", "duration": 5.7, "text": "although I have learned over time to"}, {"path": "tedlium_35796.wav", "duration": 5.7, "text": "And we will continue to work very hard to create access for their products at fair prices"}, {"path": "tedlium_35797.wav", "duration": 5.7, "text": "at this point, we would anticipate you'd have to go through a competitive RFP to do that."}, {"path": "tedlium_35798.wav", "duration": 5.7, "text": "and as customers increasingly require their maintenance providers to be of substantial scale."}, {"path": "tedlium_35799.wav", "duration": 5.7, "text": "and achieve scale by offering it at a very exciting price to customers,"}, {"path": "tedlium_35800.wav", "duration": 5.7, "text": "to have that become a smaller part of the total revenue. Happened a little bit faster than planned, which we're fine with."}, {"path": "tedlium_35801.wav", "duration": 5.7, "text": "And so I think continuing with a strong gasoline demand numbers at least keeps the market"}, {"path": "tedlium_35802.wav", "duration": 5.7, "text": "which are similar to the one they run in their data centers, just because people are not"}, {"path": "tedlium_35803.wav", "duration": 5.7, "text": "I believe we have a great portfolio of global businesses and strong commercial leadership."}, {"path": "tedlium_35804.wav", "duration": 5.7, "text": "We believe this data is representative of our entire operations."}, {"path": "tedlium_35805.wav", "duration": 5.7, "text": "But just because you're successful in any given window doesn't mean that, that brand is entitled for that success"}, {"path": "tedlium_35806.wav", "duration": 5.7, "text": "Turning to the breakdown of operations, Slide 7. You can observe that"}, {"path": "tedlium_35807.wav", "duration": 5.7, "text": "The implication of recurring revenue growth exceeding capital sales growth"}, {"path": "tedlium_35808.wav", "duration": 5.7, "text": "I think, last time we spoke in connection with first quarter earnings, we talked about the fixed income markets being constructive."}, {"path": "tedlium_35809.wav", "duration": 5.7, "text": "as well as the areas like Affinity and health and benefits as well as in net new areas we're investing in beyond that."}, {"path": "tedlium_35810.wav", "duration": 5.7, "text": "And assuming all the stars aligned and everything went perfect with this acquisition, we"}, {"path": "tedlium_35811.wav", "duration": 5.7, "text": "When I sort of tried to do the implicit math for the margin then in the fourth quarter,"}, {"path": "tedlium_35812.wav", "duration": 5.7, "text": "Do they have a material economic risk or incentive"}, {"path": "tedlium_35813.wav", "duration": 5.7, "text": "We believe we are uniquely qualified for continued success for several reasons. First,"}, {"path": "tedlium_35814.wav", "duration": 5.7, "text": "And we are able to offset those with some other situations, whereby, a function of getting"}, {"path": "tedlium_35815.wav", "duration": 5.7, "text": "precision. We're really just articulating that we continue to believe that through new product development"}, {"path": "tedlium_35816.wav", "duration": 5.7, "text": "transactions that can be more of an opportunity."}, {"path": "tedlium_35817.wav", "duration": 5.7, "text": "Operational synergies will include planned efficiencies due to balancing product mix."}, {"path": "tedlium_35818.wav", "duration": 5.7, "text": "John said it best, when it comes to costs, the biggest impact was weather. And it was impact for the volume of weather"}, {"path": "tedlium_35819.wav", "duration": 5.7, "text": "kind of increases we showed this quarter obviously would be tough for any business to sustain."}, {"path": "tedlium_35820.wav", "duration": 5.7, "text": "The final effect has been an expansion of margins of approximately 30 basis points."}, {"path": "tedlium_35821.wav", "duration": 5.7, "text": "is our ability to decommission. Though I would suspect that a lot of what we have"}, {"path": "tedlium_35822.wav", "duration": 5.7, "text": "provide a great service, provide a cost competitive service and to do what we say we're going to do."}, {"path": "tedlium_35823.wav", "duration": 5.7, "text": "Our next step is to take Riptide to a 200 million a day plant."}, {"path": "tedlium_35824.wav", "duration": 5.7, "text": "as well as continuing to have robust interruptible volumes mowing through our system."}, {"path": "tedlium_35825.wav", "duration": 5.7, "text": "When we look at our smaller Generics customers, which is over half of the market unit sales,"}, {"path": "tedlium_35826.wav", "duration": 5.7, "text": "We've really worked hard to maintain the compliance and"}, {"path": "tedlium_35827.wav", "duration": 5.7, "text": "It is important to note that our earnings level is a reflection of our risk posture."}, {"path": "tedlium_35828.wav", "duration": 5.7, "text": "bring anything new in terms of price competition to the category because those price points"}, {"path": "tedlium_35829.wav", "duration": 5.7, "text": "what some would describe as a lot of challenges in the market. And so it's the culmination of"}, {"path": "tedlium_35830.wav", "duration": 5.7, "text": "During the second quarter call, we discussed the fact that we are in the arbitration process with Sony,"}, {"path": "tedlium_35831.wav", "duration": 5.7, "text": "cautious and clear about the alternatives that we have in the Italian market."}, {"path": "tedlium_35832.wav", "duration": 5.7, "text": "And this step creates a lot of value to all shareholders."}, {"path": "tedlium_35833.wav", "duration": 5.7, "text": "Or do you intend to have the spot price in practice"}, {"path": "tedlium_35834.wav", "duration": 5.7, "text": "Doug and I are working closely with the new sales team and I am convinced"}, {"path": "tedlium_35835.wav", "duration": 5.7, "text": "The European community is showing signs of recovery, with rising"}, {"path": "tedlium_35836.wav", "duration": 5.7, "text": "So maybe now we take the last question, one more question?"}, {"path": "tedlium_35837.wav", "duration": 5.7, "text": "that may help to explain some of the views that I'm stating right now as well."}, {"path": "tedlium_35838.wav", "duration": 5.7, "text": "Any such forward-looking statements are intended to be covered by the safe harbor provisions"}, {"path": "tedlium_35839.wav", "duration": 5.7, "text": "those. Do you have any particular contingency plans around improving flexibility in the"}, {"path": "tedlium_35840.wav", "duration": 5.7, "text": "unwrap a few of those questions. So typically in the application set that we're playing in, in particular in the Far East,"}, {"path": "tedlium_35841.wav", "duration": 5.7, "text": "Last year, we talked a lot about our investments in Android and the importance of improving our Android application."}, {"path": "tedlium_35842.wav", "duration": 5.7, "text": "The other area is that we will continue to remain really focused to buying ad on Snapchat, absolutely easy."}, {"path": "tedlium_35843.wav", "duration": 5.7, "text": "we now do have the advantage that we didn't have before of not having to"}, {"path": "tedlium_35844.wav", "duration": 5.7, "text": "the idea was to strengthen the brand positioning in the lubricants market in Brazil and abroad."}, {"path": "tedlium_35845.wav", "duration": 5.7, "text": "will help us to get through these challenging times"}, {"path": "tedlium_35846.wav", "duration": 5.7, "text": "environment in the transactional used vehicle sales and rental business -- businesses."}, {"path": "tedlium_35847.wav", "duration": 5.7, "text": "but I also think a better mix is helping to drive that forward longer term. So at"}, {"path": "tedlium_35848.wav", "duration": 5.7, "text": "so that in and of itself throws off cash from working capital reduction. So"}, {"path": "tedlium_35849.wav", "duration": 5.7, "text": "last quarter. And we thought this would be a useful reference point for you as we talk through our segment results."}, {"path": "tedlium_35850.wav", "duration": 5.6700625, "text": "Our anchor shipper is Anadarko, and Western Gas has an option to buy into this project."}, {"path": "tedlium_35851.wav", "duration": 5.6700625, "text": "weakening in the last month or actually where you thought it would be, roughly?"}, {"path": "tedlium_35852.wav", "duration": 5.67, "text": "the inclusion criteria of COMMAND, and those are patients with EPO levels"}, {"path": "tedlium_35853.wav", "duration": 5.67, "text": "In addition, customers are always improving"}, {"path": "tedlium_35854.wav", "duration": 5.67, "text": "to that proposition. Fourthly, to invest to update"}, {"path": "tedlium_35855.wav", "duration": 5.67, "text": "and this is arguably the first GaN supply chain that can actually operate with the same"}, {"path": "tedlium_35856.wav", "duration": 5.67, "text": "But we have a target to get those costs -- our first stop"}, {"path": "tedlium_35857.wav", "duration": 5.67, "text": "Right. Thank you very much, everybody. If you have anything else which you'd like to"}, {"path": "tedlium_35858.wav", "duration": 5.67, "text": "that leverages new technologies in order to reduce time to market and create competitive advantages."}, {"path": "tedlium_35859.wav", "duration": 5.67, "text": "of Q1, this product will be kind of fully rolled out to -- available to all of our members"}, {"path": "tedlium_35860.wav", "duration": 5.67, "text": "Before Greg discusses financials, let me spend a few minutes of our strategic and operational progress."}, {"path": "tedlium_35861.wav", "duration": 5.67, "text": "dividend recaps would be another category that we often and obviously track. So"}, {"path": "tedlium_35862.wav", "duration": 5.67, "text": "with the additional capacity finding its way into"}, {"path": "tedlium_35863.wav", "duration": 5.67, "text": "I mean, is that just again something that we should think about in terms of"}, {"path": "tedlium_35864.wav", "duration": 5.67, "text": "wholesale client continued to do its business on our network in the Netherlands,"}, {"path": "tedlium_35865.wav", "duration": 5.67, "text": "On Slide 9, we've laid out the investment portfolio composition for the quarter."}, {"path": "tedlium_35866.wav", "duration": 5.67, "text": "Secondly, our ambition to outperform each area in which"}, {"path": "tedlium_35867.wav", "duration": 5.67, "text": "optimistic as well as we will continue with the implementation of our strategy towards our vision."}, {"path": "tedlium_35868.wav", "duration": 5.67, "text": "and start working with them to be much more proactive in converting those over to VIP shops."}, {"path": "tedlium_35869.wav", "duration": 5.67, "text": "Under which, we will be maintaining data repositories for provider of information to insurance companies."}, {"path": "tedlium_35870.wav", "duration": 5.67, "text": "I would like to offer additional information about profits outside Japan."}, {"path": "tedlium_35871.wav", "duration": 5.67, "text": "We will continue to invest in these growth opportunities where and when appropriate."}, {"path": "tedlium_35872.wav", "duration": 5.67, "text": "Today's call may also involve forward-looking statements regarding the company and its businesses."}, {"path": "tedlium_35873.wav", "duration": 5.67, "text": "to ensure that we continue to serve customers and continue to support"}, {"path": "tedlium_35874.wav", "duration": 5.67, "text": "I now go to the slide implementation of sCORE."}, {"path": "tedlium_35875.wav", "duration": 5.67, "text": "That's why the launch of our new purpose and our Impact Manifesto is a big step."}, {"path": "tedlium_35876.wav", "duration": 5.67, "text": "More people are engaging with Weight Watchers, sharing their experiences and inspiring others."}, {"path": "tedlium_35877.wav", "duration": 5.67, "text": "as they get to use the product and understand where it has highest utility."}, {"path": "tedlium_35878.wav", "duration": 5.67, "text": "These statements are subject to numerous risks and uncertainties as described in our SEC filings,"}, {"path": "tedlium_35879.wav", "duration": 5.67, "text": "but we still have fairly good visibility to those separate results for the first quarter."}, {"path": "tedlium_35880.wav", "duration": 5.67, "text": "In previous quarters, we had seen a higher trend in policy obligations,"}, {"path": "tedlium_35881.wav", "duration": 5.67, "text": "Also, our new margin forecast for the year represents nearly 17 points of improvement over last year."}, {"path": "tedlium_35882.wav", "duration": 5.67, "text": "One of the challenges with alternative managers has been inconsistent distributions."}, {"path": "tedlium_35883.wav", "duration": 5.67, "text": "in that, and there is no guarantee how long this will take. But the"}, {"path": "tedlium_35884.wav", "duration": 5.67, "text": "for 26 consecutive years and we're very proud of our track record of annual dividend increases."}, {"path": "tedlium_35885.wav", "duration": 5.67, "text": "a customer we dearly value. I prefer not to give you any more details other than that."}, {"path": "tedlium_35886.wav", "duration": 5.67, "text": "And once you're in the Presentations section, go to the"}, {"path": "tedlium_35887.wav", "duration": 5.67, "text": "which will enable us to efficiently fund the remainder of our equity commitment."}, {"path": "tedlium_35888.wav", "duration": 5.67, "text": "And could you again remind us of specific impacts you expect at the Telkomsel level"}, {"path": "tedlium_35889.wav", "duration": 5.67, "text": "Our acquisition of WellSpring is an important building block towards the continued"}, {"path": "tedlium_35890.wav", "duration": 5.67, "text": "We are likewise pleased with the first half 2018 results from our International segment,"}, {"path": "tedlium_35891.wav", "duration": 5.67, "text": "helpful in their consideration of granting a conditional approval pathway for us."}, {"path": "tedlium_35892.wav", "duration": 5.67, "text": "What we can do now is gradual improvement. It's not as exciting as you think."}, {"path": "tedlium_35893.wav", "duration": 5.67, "text": "but we also need to work with local hospital networks. So how did we go about this? Well,"}, {"path": "tedlium_35894.wav", "duration": 5.67, "text": "but it's a kind of headache for ourselves to get to that performance."}, {"path": "tedlium_35895.wav", "duration": 5.67, "text": "getting their first vehicle up and running to be able to demonstrate to various customers."}, {"path": "tedlium_35896.wav", "duration": 5.67, "text": "It seems that you guys have pretty strong momentum with new partner signings in the non-tolls part."}, {"path": "tedlium_35897.wav", "duration": 5.67, "text": "Looking ahead, we continue to remain confident in both our strategy and financial plan."}, {"path": "tedlium_35898.wav", "duration": 5.67, "text": "and that may be different from non-GAAP financial measures used by other companies."}, {"path": "tedlium_35899.wav", "duration": 5.67, "text": "But since those loans were really originated over there, we just felt like we needed to reserve more at"}, {"path": "tedlium_35900.wav", "duration": 5.67, "text": "Accordingly, we will shift our financial metric disclosure to focus on recurring revenue."}, {"path": "tedlium_35901.wav", "duration": 5.67, "text": "Three things really happened. So number one, some of our partners became competitors."}, {"path": "tedlium_35902.wav", "duration": 5.67, "text": "in Czechia. In Hungary, the challenge in the coming months and years"}, {"path": "tedlium_35903.wav", "duration": 5.67, "text": "There is also a very successful minority stake in"}, {"path": "tedlium_35904.wav", "duration": 5.67, "text": "have them interact for years with all their -- with people around the globe."}, {"path": "tedlium_35905.wav", "duration": 5.67, "text": "We had a lot of the growth in China, which is probably our highest margin part of that business."}, {"path": "tedlium_35906.wav", "duration": 5.67, "text": "So that's what we're working on right now is making sure that we derive the order rates in the flow business"}, {"path": "tedlium_35907.wav", "duration": 5.67, "text": "When combined with operating expense management, this enabled us to expand our operating margins."}, {"path": "tedlium_35908.wav", "duration": 5.67, "text": "I think it's something that the model was likely missing earlier."}, {"path": "tedlium_35909.wav", "duration": 5.67, "text": "Is there a consideration that maybe you still need to think again about how much you buy?"}, {"path": "tedlium_35910.wav", "duration": 5.67, "text": "The changes that we have made are not easy and there are many more positive changes coming."}, {"path": "tedlium_35911.wav", "duration": 5.67, "text": "On a full year basis, we expect the impact of the new revenue standard to have no impact."}, {"path": "tedlium_35912.wav", "duration": 5.67, "text": "As it is, it's my opinion that the market has at least put in a bottom."}, {"path": "tedlium_35913.wav", "duration": 5.67, "text": "I think, importantly, given my first results presentation was in the half year last year, and we had a window cleaning rig"}, {"path": "tedlium_35914.wav", "duration": 5.67, "text": "Thanks, Mays. Needless to say, we are pleased with how well we are executing on our strategy."}, {"path": "tedlium_35915.wav", "duration": 5.67, "text": "So in all instances, we have had the money for that goods before we've paid our suppliers."}, {"path": "tedlium_35916.wav", "duration": 5.67, "text": "I'll then review some highlights from the quarter and provide an update on our platform as a service strategy."}, {"path": "tedlium_35917.wav", "duration": 5.67, "text": "we have decided to dissolve our local joint venture in Indonesia."}, {"path": "tedlium_35918.wav", "duration": 5.67, "text": "that we weren't happy with last year, but that we think will grow this year."}, {"path": "tedlium_35919.wav", "duration": 5.67, "text": "This new APEX-XC is expected to be delivered in the second half of this year."}, {"path": "tedlium_35920.wav", "duration": 5.67, "text": "a new -- I have made a new split of the international"}, {"path": "tedlium_35921.wav", "duration": 5.67, "text": "and who are actively looking for investment opportunities into this new type of asset."}, {"path": "tedlium_35922.wav", "duration": 5.67, "text": "Except for -- except as otherwise required by the federal securities law,"}, {"path": "tedlium_35923.wav", "duration": 5.67, "text": "the lieutenant governor has also been in that administration for quite some time also."}, {"path": "tedlium_35924.wav", "duration": 5.67, "text": "So it's very much part of the investments that we're making in what we've talked to you about,"}, {"path": "tedlium_35925.wav", "duration": 5.67, "text": "In this particular instance, when we look at the return on capital for this strategy,"}, {"path": "tedlium_35926.wav", "duration": 5.67, "text": "There will be a replay of the call, which will begin 1 hour after the call and run for 1 week."}, {"path": "tedlium_35927.wav", "duration": 5.67, "text": "Our overheads increased by 40 basis points. Now there are 2 reasons for this."}, {"path": "tedlium_35928.wav", "duration": 5.67, "text": "The Prestige that we are now adding to it is a good example of that. So we keep these categories fresh."}, {"path": "tedlium_35929.wav", "duration": 5.67, "text": "So we are very focused on CapEx, very much focused on CapEx. But please"}, {"path": "tedlium_35930.wav", "duration": 5.67, "text": "or the revenue share. But beyond that, if you think about it from an operating perspective,"}, {"path": "tedlium_35931.wav", "duration": 5.67, "text": "window price. And we felt like it was good to highlight. We've been talking for a number of years about how"}, {"path": "tedlium_35932.wav", "duration": 5.67, "text": "The second thing is about the demographic opportunity in the markets. We cover"}, {"path": "tedlium_35933.wav", "duration": 5.67, "text": "And this was despite the weaker macro and tough FX environment in key markets"}, {"path": "tedlium_35934.wav", "duration": 5.67, "text": "We are maintaining our revenue guidance and still expect to be in the range"}, {"path": "tedlium_35935.wav", "duration": 5.67, "text": "The same can be said for our entrance into the long-term services and supports market,"}, {"path": "tedlium_35936.wav", "duration": 5.67, "text": "things may be out of balance a little bit in the short term, but with that pace of demand growth,"}, {"path": "tedlium_35937.wav", "duration": 5.67, "text": "So on Page 7, let's review some of our highlights before we get into the more detailed review of our results."}, {"path": "tedlium_35938.wav", "duration": 5.67, "text": "The solid first quarter was supported by favorable weather conditions and strong selling"}, {"path": "tedlium_35939.wav", "duration": 5.67, "text": "The improvements are primarily related to System Sales increasing faster than Central overhead cost,"}, {"path": "tedlium_35940.wav", "duration": 5.67, "text": "And so we prefer to wait until Q3 in order to understand"}, {"path": "tedlium_35941.wav", "duration": 5.67, "text": "and this has been exacerbated by the competition for the SA vine crop."}, {"path": "tedlium_35942.wav", "duration": 5.67, "text": "for the 2 vessels previously coming off charter at the end of next year."}, {"path": "tedlium_35943.wav", "duration": 5.67, "text": "It's probably a little back to the question you just asked before. I think when you take a sales team in,"}, {"path": "tedlium_35944.wav", "duration": 5.67, "text": "which makes this year our best first quarter in our over 20-year history. The"}, {"path": "tedlium_35945.wav", "duration": 5.67, "text": "You can see the issues on safety of having to put all of these"}, {"path": "tedlium_35946.wav", "duration": 5.67, "text": "Then we'll enhance shareholder returns in order to meet the expectations of our investors."}, {"path": "tedlium_35947.wav", "duration": 5.67, "text": "However, shareholders' equity increased due to building up of the profit during the period,"}, {"path": "tedlium_35948.wav", "duration": 5.67, "text": "And do you feel like the brand's greater push for direct bookings is having any"}, {"path": "tedlium_35949.wav", "duration": 5.67, "text": "over the course of the last 3 or 4 years. When an industry is going through a very challenged time,"}, {"path": "tedlium_35950.wav", "duration": 5.67, "text": "In addition, Alexion has the right to exercise options for additional payments"}, {"path": "tedlium_35951.wav", "duration": 5.67, "text": "on task and replaced our former account manager. She's making good progress,"}, {"path": "tedlium_35952.wav", "duration": 5.67, "text": "Got it. And then when you think about '19, and granted I"}, {"path": "tedlium_35953.wav", "duration": 5.67, "text": "Is this something that we should consider could be"}, {"path": "tedlium_35954.wav", "duration": 5.67, "text": "to investing in capital projects that add value"}, {"path": "tedlium_35955.wav", "duration": 5.67, "text": "we were facing the fifth lot that was expected to be"}, {"path": "tedlium_35956.wav", "duration": 5.67, "text": "how much of it now is going to seeding sort of white space opportunities"}, {"path": "tedlium_35957.wav", "duration": 5.67, "text": "And now let's move on and discuss some of the project and operational developments for the first quarter."}, {"path": "tedlium_35958.wav", "duration": 5.67, "text": "and you can go buy them off the shelf and then Google do things like that and others will."}, {"path": "tedlium_35959.wav", "duration": 5.67, "text": "So no matter how you look at December, it's still the best comp you've had in years."}, {"path": "tedlium_35960.wav", "duration": 5.67, "text": "In addition to Central Maine, we also had a few other modular service wins in the quarter."}, {"path": "tedlium_35961.wav", "duration": 5.67, "text": "And that has led to that whole thinking around solutions, around service provision."}, {"path": "tedlium_35962.wav", "duration": 5.67, "text": "Today's coal markets emphasize the importance of low cost production and market discipline."}, {"path": "tedlium_35963.wav", "duration": 5.67, "text": "and we think we have the product at a stage where these partnerships can be quite attractive for us"}, {"path": "tedlium_35964.wav", "duration": 5.67, "text": "most of our customers are having better demand, they're putting paper prices up"}, {"path": "tedlium_35965.wav", "duration": 5.67, "text": "When you look at the cost of deposits in our business banking, commercial banking,"}, {"path": "tedlium_35966.wav", "duration": 5.67, "text": "we have a problem with that. I think we're confident that we have enough equity in the domestic market, and we have"}, {"path": "tedlium_35967.wav", "duration": 5.67, "text": "gain more than our fair share of the market opportunity that sits there. And so"}, {"path": "tedlium_35968.wav", "duration": 5.67, "text": "another year or 2 to adopt that before -- the other banks are moving to it more quickly."}, {"path": "tedlium_35969.wav", "duration": 5.67, "text": "I will now turn it over to Russell to discuss some financial items and our second quarter outlook."}, {"path": "tedlium_35970.wav", "duration": 5.67, "text": "And clearly, that could be accelerated by others in the industry doing the same."}, {"path": "tedlium_35971.wav", "duration": 5.67, "text": "Another key highlight from our partnership network is our innovative -- is our innovation"}, {"path": "tedlium_35972.wav", "duration": 5.67, "text": "and once again, retail and business banking continued to expand their return on equity."}, {"path": "tedlium_35973.wav", "duration": 5.67, "text": "the plans to improve this and more aggressively expand sales points."}, {"path": "tedlium_35974.wav", "duration": 5.67, "text": "I will just say that not all the corporate stores are run profitably."}, {"path": "tedlium_35975.wav", "duration": 5.67, "text": "so far we haven't really felt much there. I would say what impacted us a little bit more up in Canada,"}, {"path": "tedlium_35976.wav", "duration": 5.67, "text": "in your footprint for broadband was probably a bit lower because of demographics."}, {"path": "tedlium_35977.wav", "duration": 5.67, "text": "On an organic basis, excluding the unfavorable impact of changes in foreign exchange rates,"}, {"path": "tedlium_35978.wav", "duration": 5.67, "text": "the profile really is not significantly different"}, {"path": "tedlium_35979.wav", "duration": 5.67, "text": "of all nuclear plants built today or under construction adjusted for inflation."}, {"path": "tedlium_35980.wav", "duration": 5.67, "text": "Pricing continues to be muted with net sales being driven by volume and mix."}, {"path": "tedlium_35981.wav", "duration": 5.67, "text": "about the performance of the triplet. Of course, there's a lot of evidence of what the control arm"}, {"path": "tedlium_35982.wav", "duration": 5.67, "text": "that over half of future development cost could be offset by contributions from our partners."}, {"path": "tedlium_35983.wav", "duration": 5.67, "text": "In addition, we aim to shift from investing in businesses to managing them"}, {"path": "tedlium_35984.wav", "duration": 5.67, "text": "thereby proactively creating value by making use of our management skills."}, {"path": "tedlium_35985.wav", "duration": 5.67, "text": "Ladies and gentlemen, good afternoon. First of all, let me introduce our"}, {"path": "tedlium_35986.wav", "duration": 5.67, "text": "We undertake no obligation to publicly update or revise any forward-looking statements"}, {"path": "tedlium_35987.wav", "duration": 5.67, "text": "High quality H qualified MH assets continue to command best financing terms."}, {"path": "tedlium_35988.wav", "duration": 5.67, "text": "I'm very pleased that these results are very supportive of"}, {"path": "tedlium_35989.wav", "duration": 5.67, "text": "in the last quarter of the year. This is a very strong trend that we've had for many years."}, {"path": "tedlium_35990.wav", "duration": 5.67, "text": "with the reduction driven by careful management of cash operating costs and working capital."}, {"path": "tedlium_35991.wav", "duration": 5.67, "text": "I want to reiterate that all of our work at MD Anderson is already paid for"}, {"path": "tedlium_35992.wav", "duration": 5.67, "text": "and that's the most important thing that you can have because if they're happy, they tell people about it."}, {"path": "tedlium_35993.wav", "duration": 5.67, "text": "This was partially offset by the impact of sales mix from the Free Service Tire acquisition."}, {"path": "tedlium_35994.wav", "duration": 5.67, "text": "Given our size and scale, we're using this as an opportunity to kind of reassess our product assortment"}, {"path": "tedlium_35995.wav", "duration": 5.67, "text": "Social selling is transforming our industry, and we are working to be a global leader in this space."}, {"path": "tedlium_35996.wav", "duration": 5.67, "text": "They are all exposed to a growing"}, {"path": "tedlium_35997.wav", "duration": 5.67, "text": "And I think what we have done over the past couple of years now, at least, is to establish, I think,"}, {"path": "tedlium_35998.wav", "duration": 5.67, "text": "Tax is also an area where we are continuing to dedicate significant attention and resources."}, {"path": "tedlium_35999.wav", "duration": 5.67, "text": "And this burst out much better than the expected year."}, {"path": "tedlium_36000.wav", "duration": 5.67, "text": "Maintaining a strong balance sheet and dividends remains at the top of our priorities."}, {"path": "tedlium_36001.wav", "duration": 5.67, "text": "all at once. It's easier for them. They're running a big job, they want us to take it all at once."}, {"path": "tedlium_36002.wav", "duration": 5.67, "text": "The business enjoyed a firm trend on other areas as well."}, {"path": "tedlium_36003.wav", "duration": 5.67, "text": "So if there is no new surprises in the market for whatever reason,"}, {"path": "tedlium_36004.wav", "duration": 5.67, "text": "kind of the first half of Pinnacle. Having said that, that forecast reflects"}, {"path": "tedlium_36005.wav", "duration": 5.67, "text": "And this weakness accounts for the vast majority of Pinnacle's current challenges."}, {"path": "tedlium_36006.wav", "duration": 5.67, "text": "And I think that some of that just comes from the very effect that you're talking about."}, {"path": "tedlium_36007.wav", "duration": 5.67, "text": "In certain situations, a better decision means better clinical outcome."}, {"path": "tedlium_36008.wav", "duration": 5.67, "text": "And so as a consequence, we divested it. We thought we'd be able to divest that a lot quicker than we did."}, {"path": "tedlium_36009.wav", "duration": 5.67, "text": "Before we begin, I would like to remind you that during this call, we will make forward-looking statements."}, {"path": "tedlium_36010.wav", "duration": 5.67, "text": "Our investments in our utilities are needed to improve the customer experience and create value for customers."}, {"path": "tedlium_36011.wav", "duration": 5.67, "text": "Right now, the administration is gathering suggestions on what needs to be done to speed this up,"}, {"path": "tedlium_36012.wav", "duration": 5.67, "text": "And then secondly, on VR. It seems like it would be the case. This is probably obvious that gamers would"}, {"path": "tedlium_36013.wav", "duration": 5.67, "text": "We're strengthening our corporate governance processes, including the appointment of new independent directors,"}, {"path": "tedlium_36014.wav", "duration": 5.67, "text": "and after 24 months, the customers don't have to pay any more"}, {"path": "tedlium_36015.wav", "duration": 5.67, "text": "in the glass business was not just capacity utilization but an improvement of product quality."}, {"path": "tedlium_36016.wav", "duration": 5.67, "text": "really benefit from the ability to get a better sense of perspective on how to interpret that."}, {"path": "tedlium_36017.wav", "duration": 5.67, "text": "There are 4 unique features to Remodulin as it is today"}, {"path": "tedlium_36018.wav", "duration": 5.67, "text": "Our app continues to have new features to make it easier for customers"}, {"path": "tedlium_36019.wav", "duration": 5.67, "text": "We have done so by focusing on portfolio expansion, scientific expertise,"}, {"path": "tedlium_36020.wav", "duration": 5.67, "text": "in line with what we expected. We did expect them to take a lot of product, go through regression testing and then"}, {"path": "tedlium_36021.wav", "duration": 5.67, "text": "This is critical because it is allowing us to have more flexibility take on business that we could not"}, {"path": "tedlium_36022.wav", "duration": 5.67, "text": "due to the lack of compression, and would not expect that until probably the first week"}, {"path": "tedlium_36023.wav", "duration": 5.67, "text": "Our presence has never been stronger during peak than it is today."}, {"path": "tedlium_36024.wav", "duration": 5.67, "text": "We've tracked and closed tens of millions of gaps in care in the last year alone"}, {"path": "tedlium_36025.wav", "duration": 5.67, "text": "We're also launching within our research business expansion into both payer market"}, {"path": "tedlium_36026.wav", "duration": 5.67, "text": "I'd like to turn the conference back to your speaker for any additional or closing remarks."}, {"path": "tedlium_36027.wav", "duration": 5.67, "text": "Our GAAP numbers also improved and would have been even better except for"}, {"path": "tedlium_36028.wav", "duration": 5.67, "text": "But as we expand our portfolio of clinically complex products, we want to make sure the Europeans are"}, {"path": "tedlium_36029.wav", "duration": 5.67, "text": "And as -- not only are we doing it within the banners through consumer brands,"}, {"path": "tedlium_36030.wav", "duration": 5.67, "text": "Overall, we generated significant momentum over the course of the year."}, {"path": "tedlium_36031.wav", "duration": 5.67, "text": "In a while, they'll be taking you through our second quarter performance and outlook in the near term."}, {"path": "tedlium_36032.wav", "duration": 5.67, "text": "there are -- is a lot of standardization of the lines or commonalities between the lines"}, {"path": "tedlium_36033.wav", "duration": 5.67, "text": "type of vehicles being sold, but we really haven't finalized all that yet. But generally, it's a flat environment probably."}, {"path": "tedlium_36034.wav", "duration": 5.67, "text": "These new programs will be a bigger and better assortment of Funko products to create a more compelling"}, {"path": "tedlium_36035.wav", "duration": 5.67, "text": "But that works well when you look at annual averages, less well when you look at"}, {"path": "tedlium_36036.wav", "duration": 5.67, "text": "Outside of the energy market, demand for stainless steel products has continued to be good"}, {"path": "tedlium_36037.wav", "duration": 5.67, "text": "and through price reductions, with the remainder contributing to increased competitiveness and to the bottom line."}, {"path": "tedlium_36038.wav", "duration": 5.67, "text": "we believe that KORSUVA has the potential to address pruritus across a range of medical conditions"}, {"path": "tedlium_36039.wav", "duration": 5.67, "text": "significant or incremental pricing pressure that's compared to what you've seen in the past."}, {"path": "tedlium_36040.wav", "duration": 5.67, "text": "We're in the process of ramping up. We would like to have the next 6 months"}, {"path": "tedlium_36041.wav", "duration": 5.67, "text": "Okay, so just to put words around that, the incrementals might keep pace with"}, {"path": "tedlium_36042.wav", "duration": 5.6699375, "text": "litigation charges in the second half of the year."}, {"path": "tedlium_36043.wav", "duration": 5.6699375, "text": "There will be more work to come. With that, I'll turn it over to Jeff for some comments on the financials."}, {"path": "tedlium_36044.wav", "duration": 5.6699375, "text": "In addition to a solid fourth quarter at Famous, we also wrapped up a great year,"}, {"path": "tedlium_36045.wav", "duration": 5.64, "text": "So just first a few comments on the quarter."}, {"path": "tedlium_36046.wav", "duration": 5.64, "text": "Does that -- can that break 60% by the end of the year, or is that going to take a little bit longer to get there?"}, {"path": "tedlium_36047.wav", "duration": 5.64, "text": "because you've created a pressure sink at that parent well and you end up retreating the same rock. So"}, {"path": "tedlium_36048.wav", "duration": 5.64, "text": "So in the first instance, the balance sheet would remain unchanged because it reflects those contributions."}, {"path": "tedlium_36049.wav", "duration": 5.64, "text": "This new technology will automatically connect our accounting, POS and banking systems."}, {"path": "tedlium_36050.wav", "duration": 5.64, "text": "by the improving freight environment, cost controls and synergies we have begun to implement."}, {"path": "tedlium_36051.wav", "duration": 5.64, "text": "David will review the company's business performance operations and growth strategies while Diana will review the financials."}, {"path": "tedlium_36052.wav", "duration": 5.64, "text": "We don't have any particular updates. That is all for me."}, {"path": "tedlium_36053.wav", "duration": 5.64, "text": "the performance of the company relative to some of the markets it served. And as you can see, a lot of the"}, {"path": "tedlium_36054.wav", "duration": 5.64, "text": "to connect new customers were related to increased order intake."}, {"path": "tedlium_36055.wav", "duration": 5.64, "text": "But this is also a question of market availability because with the higher copper prices,"}, {"path": "tedlium_36056.wav", "duration": 5.64, "text": "We're also working aggressively to continue to attract and convert more new and lapsed customers."}, {"path": "tedlium_36057.wav", "duration": 5.64, "text": "as we look at it. But you're exactly right. We have taken a lot of steps to do everything we can to"}, {"path": "tedlium_36058.wav", "duration": 5.64, "text": "I always say that whenever we have"}, {"path": "tedlium_36059.wav", "duration": 5.64, "text": "The interest on our bond is scheduled to be paid in the first quarter and third quarter of each year."}, {"path": "tedlium_36060.wav", "duration": 5.64, "text": "with customers responding positively to the newness they have seen in our stores this year."}, {"path": "tedlium_36061.wav", "duration": 5.64, "text": "in the second half. We will continue on with our efforts to"}, {"path": "tedlium_36062.wav", "duration": 5.64, "text": "And we think by having that loyalty program and that breadth of choice, we drive"}, {"path": "tedlium_36063.wav", "duration": 5.64, "text": "our Collins terminal is strategically located for the bulk storage market"}, {"path": "tedlium_36064.wav", "duration": 5.64, "text": "But if you did the same -- if you asked the same question last year, which I think is your second question,"}, {"path": "tedlium_36065.wav", "duration": 5.64, "text": "the comprehensive testing that we've developed. That takes a lot of time, it takes a lot of effort."}, {"path": "tedlium_36066.wav", "duration": 5.64, "text": "So far for looking backwards, now let's look at the numbers"}, {"path": "tedlium_36067.wav", "duration": 5.64, "text": "Is it as simple as that? Or do you have other moving pieces we should keep in mind?"}, {"path": "tedlium_36068.wav", "duration": 5.64, "text": "of advancement beyond what we believe might be the Praxair device."}, {"path": "tedlium_36069.wav", "duration": 5.64, "text": "resources to the Sherman plant and just going to let that one run as it is?"}, {"path": "tedlium_36070.wav", "duration": 5.64, "text": "over the life of the SCBA, which is obviously a key value proposition for us."}, {"path": "tedlium_36071.wav", "duration": 5.64, "text": "that our second half revenue comparable could decline year-on-year. However,"}, {"path": "tedlium_36072.wav", "duration": 5.64, "text": "And we have a growing network of franchise SKECHERS stores in countries where we handle the distribution of our product."}, {"path": "tedlium_36073.wav", "duration": 5.64, "text": "So any changes that are in process there have already been baked into your"}, {"path": "tedlium_36074.wav", "duration": 5.64, "text": "But because of the reason that we want to give you some insight in our financials,"}, {"path": "tedlium_36075.wav", "duration": 5.64, "text": "So do we hold back growth a little bit when labor market becomes even more tight?"}, {"path": "tedlium_36076.wav", "duration": 5.64, "text": "Thank you, Ron. Good morning everyone and welcome to our conference call."}, {"path": "tedlium_36077.wav", "duration": 5.64, "text": "it's a very high retail base. But as we grow as a company, the real key is going to be starting to bring"}, {"path": "tedlium_36078.wav", "duration": 5.64, "text": "certainly don't believe at this point that the majority of it would go away."}, {"path": "tedlium_36079.wav", "duration": 5.64, "text": "Last year, we introduced our ATM services into Canada."}, {"path": "tedlium_36080.wav", "duration": 5.64, "text": "Second, we plan to launch new shows each year, primarily in our existing sectors."}, {"path": "tedlium_36081.wav", "duration": 5.64, "text": "How would you characterize them versus your own expectations? And you mentioned 3 things as far as"}, {"path": "tedlium_36082.wav", "duration": 5.64, "text": "This reflects again strict cost discipline in a pretty weak revenue environment."}, {"path": "tedlium_36083.wav", "duration": 5.64, "text": "and I'm not going to specify that anymore, in relation to some antitrust matters where"}, {"path": "tedlium_36084.wav", "duration": 5.64, "text": "kindly like to refer people to, rather than us speculating on what ECB, EBA are going to do."}, {"path": "tedlium_36085.wav", "duration": 5.64, "text": "even though the second quarter of the year always suffers from a low seasonal impact."}, {"path": "tedlium_36086.wav", "duration": 5.64, "text": "for our salespeople are now entirely based on growing recurring revenue."}, {"path": "tedlium_36087.wav", "duration": 5.64, "text": "and expect to maintain at that relative level to feed revenue growth and operating leverage."}, {"path": "tedlium_36088.wav", "duration": 5.64, "text": "With that said, it is important to note that we are seeing healthy pipeline growth in our business,"}, {"path": "tedlium_36089.wav", "duration": 5.64, "text": "As usual, I will provide an overview of the company's insurance operations,"}, {"path": "tedlium_36090.wav", "duration": 5.64, "text": "We're going to provide opening statements on the status of operations and then our financial results."}, {"path": "tedlium_36091.wav", "duration": 5.64, "text": "Therefore, the investment is intended to address a part of this large and growing market."}, {"path": "tedlium_36092.wav", "duration": 5.64, "text": "In addition, there have been press reports of lawmakers mentioning the possibility of finding a way"}, {"path": "tedlium_36093.wav", "duration": 5.64, "text": "This was a tremendous quarter, especially for the sales organization as the company set numerous leasing records."}, {"path": "tedlium_36094.wav", "duration": 5.64, "text": "In turn, this means more documents uploaded to Venue per transaction."}, {"path": "tedlium_36095.wav", "duration": 5.64, "text": "which leads to more cost being absorbed and capitalized into inventory during these times periods,"}, {"path": "tedlium_36096.wav", "duration": 5.64, "text": "the pathway to getting back toward maybe those normalized"}, {"path": "tedlium_36097.wav", "duration": 5.64, "text": "will look like. So we expect to come out of this meeting"}, {"path": "tedlium_36098.wav", "duration": 5.64, "text": "As we have integrated employees on to the platform and increased the company's overall productivity,"}, {"path": "tedlium_36099.wav", "duration": 5.64, "text": "We are fully cooperating with the request and will provide updates as soon as we are able."}, {"path": "tedlium_36100.wav", "duration": 5.64, "text": "and execute on our channel inventory destocking in Agricultural Equipment segment."}, {"path": "tedlium_36101.wav", "duration": 5.64, "text": "Again, not that we don't have a great team already, but we're adding additional capabilities that I think will only help."}, {"path": "tedlium_36102.wav", "duration": 5.64, "text": "which is part of a broad-based effort to improve the efficiency and effectiveness across the company."}, {"path": "tedlium_36103.wav", "duration": 5.64, "text": "and third, the core underlying franchise performance excluding these 2 items."}, {"path": "tedlium_36104.wav", "duration": 5.64, "text": "Identifying the right partner, allowing them to complete an appropriate market assessment and diligence review,"}, {"path": "tedlium_36105.wav", "duration": 5.64, "text": "We also made good progress on several strategic initiatives during the year."}, {"path": "tedlium_36106.wav", "duration": 5.64, "text": "And I guess, what is the structure of these partnerships? Is it possible to,"}, {"path": "tedlium_36107.wav", "duration": 5.64, "text": "Brazil is probably is a practical matter coming along more slowly than we would have hoped."}, {"path": "tedlium_36108.wav", "duration": 5.64, "text": "it's a contact sport, it's spending time with clients and talking about those opportunities."}, {"path": "tedlium_36109.wav", "duration": 5.64, "text": "And then, as you think about the Delaware Basin, with our transportation capacity that we have,"}, {"path": "tedlium_36110.wav", "duration": 5.64, "text": "So you will see some additional production coming in later on the long-term guidance."}, {"path": "tedlium_36111.wav", "duration": 5.64, "text": "because a large number of your potential sources of new talent"}, {"path": "tedlium_36112.wav", "duration": 5.64, "text": "First, the increase in commodity costs is likely to be higher in the first half of the year."}, {"path": "tedlium_36113.wav", "duration": 5.64, "text": "which will allow us to make incremental investments to further fortify our business."}, {"path": "tedlium_36114.wav", "duration": 5.64, "text": "Sure. And just by the way, Robin, as you were asking the question, I looked up our metrics. So"}, {"path": "tedlium_36115.wav", "duration": 5.64, "text": "Why do you feel it's not the right thing to replace the talent more broadly?"}, {"path": "tedlium_36116.wav", "duration": 5.64, "text": "and we believe that we have achieved a stabilized level of operations."}, {"path": "tedlium_36117.wav", "duration": 5.64, "text": "for the first 6 months, I think that in many aspects of our industry, we've been going through a crisis of trust"}, {"path": "tedlium_36118.wav", "duration": 5.64, "text": "And you can see that gas will increase while oil and coal should decrease."}, {"path": "tedlium_36119.wav", "duration": 5.64, "text": "highlight that we did say that the working capital will go down and come back up"}, {"path": "tedlium_36120.wav", "duration": 5.64, "text": "Well, opportunistic share repurchases are clearly at the top of that list"}, {"path": "tedlium_36121.wav", "duration": 5.64, "text": "but you need the productive immune response, which the virus"}, {"path": "tedlium_36122.wav", "duration": 5.64, "text": "Because we have global industrial operation and industrial"}, {"path": "tedlium_36123.wav", "duration": 5.64, "text": "Well, we have a structure in place that we validated with OFAC that they"}, {"path": "tedlium_36124.wav", "duration": 5.64, "text": "Okay. So I mean, would you expect them to go back up from here or."}, {"path": "tedlium_36125.wav", "duration": 5.64, "text": "Well, if you look what is embedded and what"}, {"path": "tedlium_36126.wav", "duration": 5.64, "text": "Is there any metrics or any things that we should be looking for in order to kind of"}, {"path": "tedlium_36127.wav", "duration": 5.64, "text": "as you would do in the spring and summer and fall months."}, {"path": "tedlium_36128.wav", "duration": 5.64, "text": "generation of clinical programs, which represent the insight and innovation at the heart of our company."}, {"path": "tedlium_36129.wav", "duration": 5.64, "text": "Looking across our businesses, I'll mention a few highlights of results compared to a year ago."}, {"path": "tedlium_36130.wav", "duration": 5.64, "text": "One of the clear highlights of Q4 is our net new active number."}, {"path": "tedlium_36131.wav", "duration": 5.64, "text": "And I guess, are some of the promotions centered around getting back to that type of growth rate?"}, {"path": "tedlium_36132.wav", "duration": 5.64, "text": "do a determination of coverage. They would get the notification that they're not covered."}, {"path": "tedlium_36133.wav", "duration": 5.64, "text": "start accelerating up to double digits, you'd have really have a period of -- a multiyear period of"}, {"path": "tedlium_36134.wav", "duration": 5.64, "text": "I'd say we have made great progress in this area and the outage that we took this last quarter in Europe,"}, {"path": "tedlium_36135.wav", "duration": 5.64, "text": "We are not just enamored with spending money to become bigger."}, {"path": "tedlium_36136.wav", "duration": 5.64, "text": "Now please turn to Slide 13 for a review of our Gases Americas results."}, {"path": "tedlium_36137.wav", "duration": 5.64, "text": "They're on the ground talking to customers, looking for new opportunities,"}, {"path": "tedlium_36138.wav", "duration": 5.64, "text": "The overall development trend is quite stable."}, {"path": "tedlium_36139.wav", "duration": 5.64, "text": "All growth rates and revenue and expense projections represent midpoints in our guidance range."}, {"path": "tedlium_36140.wav", "duration": 5.64, "text": "these CMOs are literally audited by"}, {"path": "tedlium_36141.wav", "duration": 5.64, "text": "client specifics. We only did in this instance because that was such a large impact from"}, {"path": "tedlium_36142.wav", "duration": 5.64, "text": "we are raising our full year 2017 crude oil production guidance"}, {"path": "tedlium_36143.wav", "duration": 5.64, "text": "a wonderful holiday season. So have a great day and be well. Thank you."}, {"path": "tedlium_36144.wav", "duration": 5.64, "text": "or breakeven on the kits. And so if somebody signs up to sell and all they do is read the books and"}, {"path": "tedlium_36145.wav", "duration": 5.64, "text": "that has very, very good knowledge of the market and is running"}, {"path": "tedlium_36146.wav", "duration": 5.64, "text": "hardware there that didn't fit the lines at Rock Cut. So what will be"}, {"path": "tedlium_36147.wav", "duration": 5.64, "text": "we are encouraged by the fact that the response to our updated report was very positive,"}, {"path": "tedlium_36148.wav", "duration": 5.64, "text": "So if you had to take a view that other than what we have"}, {"path": "tedlium_36149.wav", "duration": 5.64, "text": "therefore, the real results can differ from those signaled."}, {"path": "tedlium_36150.wav", "duration": 5.64, "text": "Our sales account executives now lead with a total solution selling strategy by vertical,"}, {"path": "tedlium_36151.wav", "duration": 5.64, "text": "and has really taken the market a bit out of whack this year and out of balance. And so"}, {"path": "tedlium_36152.wav", "duration": 5.64, "text": "In terms of farmer marketing, this is very interesting because we are"}, {"path": "tedlium_36153.wav", "duration": 5.64, "text": "by utilizing the same number of manufacturing line shifts and staffing levels."}, {"path": "tedlium_36154.wav", "duration": 5.64, "text": "So it's those types of assets that have lower total return profiles into the future."}, {"path": "tedlium_36155.wav", "duration": 5.64, "text": "with most of the improvement coming from lower depreciation and lower exploration expenses."}, {"path": "tedlium_36156.wav", "duration": 5.64, "text": "And obviously, the signing of gas agreements is the trigger for progressing that further."}, {"path": "tedlium_36157.wav", "duration": 5.64, "text": "and are spending more than what we originally anticipated is largely in our Electrical Products segment."}, {"path": "tedlium_36158.wav", "duration": 5.64, "text": "Moving now to an update on our pipeline program, I will focus today"}, {"path": "tedlium_36159.wav", "duration": 5.64, "text": "which offers an increased potential for monotherapy and combination treatment."}, {"path": "tedlium_36160.wav", "duration": 5.64, "text": "to differ materially from results and events contemplated by such forward-looking statements."}, {"path": "tedlium_36161.wav", "duration": 5.64, "text": "So which regions do you see at that high end of the volume range and which regions do you expect to lag?"}, {"path": "tedlium_36162.wav", "duration": 5.64, "text": "First, I would say it would have been higher. So you had -- you did have weather impacts"}, {"path": "tedlium_36163.wav", "duration": 5.64, "text": "but when we look at the quarterly performance, we can see that there is a consolidated trend"}, {"path": "tedlium_36164.wav", "duration": 5.64, "text": "Okay. And then just a little bigger picture. I know you've talked a bit about"}, {"path": "tedlium_36165.wav", "duration": 5.64, "text": "And I think the Woodford and the Sycamore, both have quite a bit of running room in our footprint."}, {"path": "tedlium_36166.wav", "duration": 5.64, "text": "Our commitment to capital discipline and the shift to funding our future activities within cash flow"}, {"path": "tedlium_36167.wav", "duration": 5.64, "text": "of the values and behaviors we live to every day across our company."}, {"path": "tedlium_36168.wav", "duration": 5.64, "text": "is of tremendous value, and we intend to maintain our position with our key accounts."}, {"path": "tedlium_36169.wav", "duration": 5.64, "text": "earnings release and supplement can also be accessed in the Investors section of our website."}, {"path": "tedlium_36170.wav", "duration": 5.64, "text": "And this is actually our first client in the Finnish market, something that we think is significant because,"}, {"path": "tedlium_36171.wav", "duration": 5.64, "text": "is strong, and I think the strategy they put in place at the outset of the year"}, {"path": "tedlium_36172.wav", "duration": 5.64, "text": "more moderating sales in manufacturing in particular"}, {"path": "tedlium_36173.wav", "duration": 5.64, "text": "how you feel about the pace of volume and the mix"}, {"path": "tedlium_36174.wav", "duration": 5.64, "text": "beliefs of the company's management and rely on information currently available."}, {"path": "tedlium_36175.wav", "duration": 5.64, "text": "How does that work? How does such a small charge generate such a large cost savings?"}, {"path": "tedlium_36176.wav", "duration": 5.64, "text": "The company's return on invested capital has increased steadily over the last 5 years."}, {"path": "tedlium_36177.wav", "duration": 5.64, "text": "It can be. If you're only in product sales, probably not."}, {"path": "tedlium_36178.wav", "duration": 5.64, "text": "over the next 6 to 8 quarters. And so for us from an execution standpoint,"}, {"path": "tedlium_36179.wav", "duration": 5.64, "text": "on the front end, where the exam continues to be marked as we review the quality of questions"}, {"path": "tedlium_36180.wav", "duration": 5.64, "text": "sort of the Gulf pricing that I track and generally historically that's been sort of mixed."}, {"path": "tedlium_36181.wav", "duration": 5.64, "text": "are they now co-located in your headquarters? Or are they still where their previous location was?"}, {"path": "tedlium_36182.wav", "duration": 5.64, "text": "The strong financial performance gives us the confidence that we are on the right business trajectory."}, {"path": "tedlium_36183.wav", "duration": 5.64, "text": "This evolution has resulted in increased vehicle intelligence and driver efficiency and safety."}, {"path": "tedlium_36184.wav", "duration": 5.64, "text": "and what the credit and underwriting looks like. We have and will remain cautious"}, {"path": "tedlium_36185.wav", "duration": 5.64, "text": "which will also be an integrated project with heater supply and storage included."}, {"path": "tedlium_36186.wav", "duration": 5.64, "text": "But we'll continue to get additional capacity benefits as we"}, {"path": "tedlium_36187.wav", "duration": 5.64, "text": "not just for '19, but I think it's the way we think about the business, which is to have kind of,"}, {"path": "tedlium_36188.wav", "duration": 5.64, "text": "When we look at what impacted our performance and we try to trace it,"}, {"path": "tedlium_36189.wav", "duration": 5.64, "text": "We are very well situated to be able to take advantage of that. We've got available capacity"}, {"path": "tedlium_36190.wav", "duration": 5.64, "text": "our expectation is that the ongoing tax rate will continue to be"}, {"path": "tedlium_36191.wav", "duration": 5.64, "text": "to see if there's any type of irrational build. But I think it's a combination of those 2 factors."}, {"path": "tedlium_36192.wav", "duration": 5.64, "text": "We haven't yet put it in full use, but that is a matter of days or weeks."}, {"path": "tedlium_36193.wav", "duration": 5.64, "text": "So we think that's one of the reasons we believe as a company we're still in the early innings,"}, {"path": "tedlium_36194.wav", "duration": 5.64, "text": "as a result of the developments occurring after today's call, except as required by law."}, {"path": "tedlium_36195.wav", "duration": 5.64, "text": "I would now like to turn the conference over to Lori Novickis, Director of Corporate Relations. Please go ahead."}, {"path": "tedlium_36196.wav", "duration": 5.64, "text": "China is one of the world's fastest growing payments markets and is leading the way in payments innovation."}, {"path": "tedlium_36197.wav", "duration": 5.64, "text": "because for semiconductor, the capacity and funding"}, {"path": "tedlium_36198.wav", "duration": 5.64, "text": "I guess can you share what you've learned so far and what has been selling better through that site?"}, {"path": "tedlium_36199.wav", "duration": 5.6399375, "text": "margin during the first quarter primarily due to higher deposit costs."}, {"path": "tedlium_36200.wav", "duration": 5.6399375, "text": "where existing rental levels allow us to profitably transition to this different use."}, {"path": "tedlium_36201.wav", "duration": 5.6399375, "text": "Although we have not seen much of it, we still expect some increase in portfolio impairments in the second half."}, {"path": "tedlium_36202.wav", "duration": 5.6399375, "text": "Well, when we roll out a product, we roll that product out in all markets. So we're not"}, {"path": "tedlium_36203.wav", "duration": 5.6100625, "text": "has been no balance sheet deployment in over 10 years. And of course, this is the second"}, {"path": "tedlium_36204.wav", "duration": 5.61, "text": "getting the wood business and then excited to talk to you a little bit more about it once we close."}, {"path": "tedlium_36205.wav", "duration": 5.61, "text": "the higher margins are in other applications,"}, {"path": "tedlium_36206.wav", "duration": 5.61, "text": "We opened up 3 new properties in London in the back half"}, {"path": "tedlium_36207.wav", "duration": 5.61, "text": "faster growth, especially through digital transformation, that continues to be the reason"}, {"path": "tedlium_36208.wav", "duration": 5.61, "text": "It would be -- not anything of any significance."}, {"path": "tedlium_36209.wav", "duration": 5.61, "text": "I would remind you that we also amended our senior credit agreement in July."}, {"path": "tedlium_36210.wav", "duration": 5.61, "text": "and second, the transition of realized performance revenues from one generation of funds to the next."}, {"path": "tedlium_36211.wav", "duration": 5.61, "text": "we expect to report material weaknesses in our internal controls over financial reporting"}, {"path": "tedlium_36212.wav", "duration": 5.61, "text": "And the second question is coming under the Brazilian discussions again"}, {"path": "tedlium_36213.wav", "duration": 5.61, "text": "improvements in the product. You can go to the website and see some of the things that are going on with it."}, {"path": "tedlium_36214.wav", "duration": 5.61, "text": "But for the time being, we're pretty confident that we'll move pending the IPT results,"}, {"path": "tedlium_36215.wav", "duration": 5.61, "text": "Can you give us any help with where you think that will end up at the end of the year?"}, {"path": "tedlium_36216.wav", "duration": 5.61, "text": "and factors underlying this outlook and other expectations discussed on today's call."}, {"path": "tedlium_36217.wav", "duration": 5.61, "text": "in accessing the dead capital markets to both improve our liquidity and lower our cost of capital."}, {"path": "tedlium_36218.wav", "duration": 5.61, "text": "Analyses can be conducted when needed during this period to support regulatory submissions."}, {"path": "tedlium_36219.wav", "duration": 5.61, "text": "We believe that both the fundamental and technical landscape in residential credit will remain favorable,"}, {"path": "tedlium_36220.wav", "duration": 5.61, "text": "I've not talked much about these. I haven't put out a whole bunch of press releases, and you'll hear a whole bunch of things in the next"}, {"path": "tedlium_36221.wav", "duration": 5.61, "text": "They're always not sure of an investor-owned utility's motive in wanting to do something together."}, {"path": "tedlium_36222.wav", "duration": 5.61, "text": "with varying population densities, age and income demographics."}, {"path": "tedlium_36223.wav", "duration": 5.61, "text": "So very difficult to give you a good idea about what the number will be next quarter."}, {"path": "tedlium_36224.wav", "duration": 5.61, "text": "The key focus as discussed on the last several calls has been our advisory programs"}, {"path": "tedlium_36225.wav", "duration": 5.61, "text": "if you could box it in of, do you still have AUM in those channels?"}, {"path": "tedlium_36226.wav", "duration": 5.61, "text": "We're also creating a third MAP program, which we'll call MAP Direct,"}, {"path": "tedlium_36227.wav", "duration": 5.61, "text": "that the bulk of the increased CapEx that is basically that"}, {"path": "tedlium_36228.wav", "duration": 5.61, "text": "And we therefore see the CASA journey continuing to be pretty robust and strong"}, {"path": "tedlium_36229.wav", "duration": 5.61, "text": "just to be a little clearer, you're assuming it's coming on. And"}, {"path": "tedlium_36230.wav", "duration": 5.61, "text": "notwithstanding that you still have history here. History lets you be in the queue so that you know that you can"}, {"path": "tedlium_36231.wav", "duration": 5.61, "text": "We are largely doing this by increasing our retirement savings match of associate contributions"}, {"path": "tedlium_36232.wav", "duration": 5.61, "text": "these are always hard because it depends on what happens with which currency. But just most broadly,"}, {"path": "tedlium_36233.wav", "duration": 5.61, "text": "pulling 2 big companies like this together and 2 sales forces and the uncertainty that comes from that,"}, {"path": "tedlium_36234.wav", "duration": 5.61, "text": "retail space to have a very strong service and experiential component to the business."}, {"path": "tedlium_36235.wav", "duration": 5.61, "text": "In this segment, our home infusion customers become a type of"}, {"path": "tedlium_36236.wav", "duration": 5.61, "text": "At the state and local levels, funding trends are improving. And now we are increasingly optimistic"}, {"path": "tedlium_36237.wav", "duration": 5.61, "text": "and that's the extent of it. There's no exaggerated impact due to inventory corrections"}, {"path": "tedlium_36238.wav", "duration": 5.61, "text": "Thank you for the question. We don't"}, {"path": "tedlium_36239.wav", "duration": 5.61, "text": "and can be found in the Investors section under the heading Events and Presentations."}, {"path": "tedlium_36240.wav", "duration": 5.61, "text": "will position the company to build upon this momentum through the balance of the year."}, {"path": "tedlium_36241.wav", "duration": 5.61, "text": "Are you also realizing some benefits from the restructuring? And can you update us on"}, {"path": "tedlium_36242.wav", "duration": 5.61, "text": "The first half is -- your question was asking"}, {"path": "tedlium_36243.wav", "duration": 5.61, "text": "leading to the financial consequences we've seen before, and that's the reason why we've"}, {"path": "tedlium_36244.wav", "duration": 5.61, "text": "it also can assist them in capturing more data about their patrons' spending habits."}, {"path": "tedlium_36245.wav", "duration": 5.61, "text": "either through an alliance or through setting up a different model to service them internally"}, {"path": "tedlium_36246.wav", "duration": 5.61, "text": "So could you maybe speak to what's changed in the market over the last year that's allowing for these improved win rates?"}, {"path": "tedlium_36247.wav", "duration": 5.61, "text": "company that did not -- was not able to use international tax systems to defer tax"}, {"path": "tedlium_36248.wav", "duration": 5.61, "text": "we have also invested significantly by adding capacity for future growth."}, {"path": "tedlium_36249.wav", "duration": 5.61, "text": "there's tremendous value in accelerating that whole process, going from materials"}, {"path": "tedlium_36250.wav", "duration": 5.61, "text": "beginning with the decision to terminate all of our property reinsurance programs,"}, {"path": "tedlium_36251.wav", "duration": 5.61, "text": "approximately 0 currency impact that was included in our previous guidance estimate."}, {"path": "tedlium_36252.wav", "duration": 5.61, "text": "And I think you mentioned it before, but just to get a little bit more color on it."}, {"path": "tedlium_36253.wav", "duration": 5.61, "text": "Net proceeds after expected taxes and transaction-related payments"}, {"path": "tedlium_36254.wav", "duration": 5.61, "text": "and to have some cash for new acquisitions."}, {"path": "tedlium_36255.wav", "duration": 5.61, "text": "The operating income reduction in the quarter was primarily driven by lower revenue."}, {"path": "tedlium_36256.wav", "duration": 5.61, "text": "The range of capital spend in the fourth quarter will be dependent on timing of completing projects at Oakdale and Van Hook"}, {"path": "tedlium_36257.wav", "duration": 5.61, "text": "also provide us with greater insight into the requirements of our key shopper groups."}, {"path": "tedlium_36258.wav", "duration": 5.61, "text": "And their customers who are on 3G are going to have a worse experience. So"}, {"path": "tedlium_36259.wav", "duration": 5.61, "text": "What NextGen offers our clients today compared to 2 years ago is worlds apart."}, {"path": "tedlium_36260.wav", "duration": 5.61, "text": "And so yes, we would hope that as they put their network nodes in some of these other countries"}, {"path": "tedlium_36261.wav", "duration": 5.61, "text": "The new agreement does not contain changes to the material terms such as pricing terms, renewal rights,"}, {"path": "tedlium_36262.wav", "duration": 5.61, "text": "And finally, transfer of operatorship is likely to complete by year-end,"}, {"path": "tedlium_36263.wav", "duration": 5.61, "text": "including solid contributions from our new Franchise and Transportation origination platforms."}, {"path": "tedlium_36264.wav", "duration": 5.61, "text": "So we're in a competitive market. Price is very important, but we're getting better"}, {"path": "tedlium_36265.wav", "duration": 5.61, "text": "And in many cases, veterinarians and even pet owners approach us with heartwarming stories"}, {"path": "tedlium_36266.wav", "duration": 5.61, "text": "Increased midstream sales were fueled by several large transmission projects,"}, {"path": "tedlium_36267.wav", "duration": 5.61, "text": "both internally in terms of the things that we spoke about, the efficiencies in the back office and the trading"}, {"path": "tedlium_36268.wav", "duration": 5.61, "text": "than the industry from an auto perspective, and I am confident that when you do the sum of the tapes"}, {"path": "tedlium_36269.wav", "duration": 5.61, "text": "This transaction was in line with our strategy to diversify our product portfolio and revenue streams."}, {"path": "tedlium_36270.wav", "duration": 5.61, "text": "corruption allegations and things that were going on was basically funding getting tied up and money,"}, {"path": "tedlium_36271.wav", "duration": 5.61, "text": "That's the tops of the trees type comments. And now if you want me to get into the specifics,"}, {"path": "tedlium_36272.wav", "duration": 5.61, "text": "and we feel like that we've provided the details and tables necessary to understand our performance."}, {"path": "tedlium_36273.wav", "duration": 5.61, "text": "continued growth in urology in Europe and Japan and multispecialty growth in Korea and China."}, {"path": "tedlium_36274.wav", "duration": 5.61, "text": "is where we have taken action to implement a saving, but it hasn't actually begun"}, {"path": "tedlium_36275.wav", "duration": 5.61, "text": "is it more of a kind of do smaller deals and kind of creep up"}, {"path": "tedlium_36276.wav", "duration": 5.61, "text": "Currency is not expected to impact the first half guidance."}, {"path": "tedlium_36277.wav", "duration": 5.61, "text": "But because of the nature of that service line, we do not expect it to impact the bottom line"}, {"path": "tedlium_36278.wav", "duration": 5.61, "text": "And we may lose 1 or 2 and replace them, so we don't really see that there's a lot of"}, {"path": "tedlium_36279.wav", "duration": 5.61, "text": "where most of our competitors can only generate a single OTT revenue stream."}, {"path": "tedlium_36280.wav", "duration": 5.61, "text": "safely assume that you expect that business, that segment, I should say, to grow"}, {"path": "tedlium_36281.wav", "duration": 5.61, "text": "For many, Windstream represents one of the most challenging hands to play."}, {"path": "tedlium_36282.wav", "duration": 5.61, "text": "profitable growth for the group. That is a very key element in our discussions."}, {"path": "tedlium_36283.wav", "duration": 5.61, "text": "my question would be, your technology and its efficiency and speed"}, {"path": "tedlium_36284.wav", "duration": 5.61, "text": "So next year in South America, we can see that as a growth driver for"}, {"path": "tedlium_36285.wav", "duration": 5.61, "text": "It's more just about an inflection of it not being as high as it used to be. So it's"}, {"path": "tedlium_36286.wav", "duration": 5.61, "text": "these are products that aren't even fully defined by the prospective customers."}, {"path": "tedlium_36287.wav", "duration": 5.61, "text": "If everybody had been sitting around doing nothing last week, which certainly wasn't the case, because we were"}, {"path": "tedlium_36288.wav", "duration": 5.61, "text": "The remaining 7 topside models and jacket are planned to be removed"}, {"path": "tedlium_36289.wav", "duration": 5.61, "text": "you'll probably get a little tick up again in margins. Then what happens is, as it starts to go up,"}, {"path": "tedlium_36290.wav", "duration": 5.61, "text": "the lower-end customers that don't use all the high products, but they like a nice mid-cut."}, {"path": "tedlium_36291.wav", "duration": 5.61, "text": "We also told you that if we didn't do it, you should have lowered your revenues in the future because"}, {"path": "tedlium_36292.wav", "duration": 5.61, "text": "We believe that this transition will make our dividend policy easier to understand and follow,"}, {"path": "tedlium_36293.wav", "duration": 5.61, "text": "Growth in demand came largely out of China, which accounted for all of the growth in the market"}, {"path": "tedlium_36294.wav", "duration": 5.61, "text": "And the reason for that is all the things Greg just articulated. I mean in addition to"}, {"path": "tedlium_36295.wav", "duration": 5.61, "text": "As you know, Titan received a Notice of Allowance from the European Patent Office"}, {"path": "tedlium_36296.wav", "duration": 5.61, "text": "should be given to us is 50% of the capacity of the factory."}, {"path": "tedlium_36297.wav", "duration": 5.61, "text": "As we have stated, we will seek to balance growth, operating leverage and investment in the business."}, {"path": "tedlium_36298.wav", "duration": 5.61, "text": "I think Dime has given itself a great opportunity not to have to get back into that game if we choose not to this year."}, {"path": "tedlium_36299.wav", "duration": 5.61, "text": "Yes. So let me just start off with a few comments on cash flow and then I'll move to the dividend."}, {"path": "tedlium_36300.wav", "duration": 5.61, "text": "This charge for early extinguishment of debt is included in our results as a special item."}, {"path": "tedlium_36301.wav", "duration": 5.61, "text": "we continue to keep pace through innovative product developments and external investments."}, {"path": "tedlium_36302.wav", "duration": 5.61, "text": "So many of the big payers would tell you that they believe that they pay for EXPAREL today."}, {"path": "tedlium_36303.wav", "duration": 5.61, "text": "when you can get the cost in line, it's going to displace its predecessor."}, {"path": "tedlium_36304.wav", "duration": 5.61, "text": "Without this additional stock build, our metrics would have been at least in line with the prior year."}, {"path": "tedlium_36305.wav", "duration": 5.61, "text": "is to make sure that we run those operations with the highest productivity."}, {"path": "tedlium_36306.wav", "duration": 5.61, "text": "being very interested in how this management team and prior management teams, for that matter,"}, {"path": "tedlium_36307.wav", "duration": 5.61, "text": "And over the coming months, our marketing team will bolster our renewed investing vigor."}, {"path": "tedlium_36308.wav", "duration": 5.61, "text": "For the year, the share of our home closings on -- in our divisions outside of Texas"}, {"path": "tedlium_36309.wav", "duration": 5.61, "text": "We continue to evaluate the marketplace dynamics and adjust our strategies as needed."}, {"path": "tedlium_36310.wav", "duration": 5.61, "text": "As we did our market research and talk to physicians about this opportunity they said, hey, if there was a program like that,"}, {"path": "tedlium_36311.wav", "duration": 5.61, "text": "as we prepare for full scale deployment of our fuel designs in Asia and around the world."}, {"path": "tedlium_36312.wav", "duration": 5.61, "text": "As far as the sponsorship and Bristol, we'll continue to work with them to put the data out in the right"}, {"path": "tedlium_36313.wav", "duration": 5.61, "text": "Let me also touch on a few financial aspects outside of the execution on our key priorities."}, {"path": "tedlium_36314.wav", "duration": 5.61, "text": "The Air Force recently experienced delays in processing military tuition assistance"}, {"path": "tedlium_36315.wav", "duration": 5.61, "text": "We've continued to be diligent in managing our balance sheet while maintaining financial flexibility."}, {"path": "tedlium_36316.wav", "duration": 5.61, "text": "Simply put, our clients are working with us to create the future of pharmacy."}, {"path": "tedlium_36317.wav", "duration": 5.61, "text": "Our operational efficiencies continue to improve. During the second quarter alone,"}, {"path": "tedlium_36318.wav", "duration": 5.61, "text": "some likely or known moves as you think about rolling from the fourth quarter"}, {"path": "tedlium_36319.wav", "duration": 5.61, "text": "Secondly, Energy is now stabilized and should see easier comparisons as we move forward."}, {"path": "tedlium_36320.wav", "duration": 5.61, "text": "Those are the things that we see lessening going forward"}, {"path": "tedlium_36321.wav", "duration": 5.61, "text": "when you've been in a down trod for a while, you got to build it back up, and it just the nature of the beast."}, {"path": "tedlium_36322.wav", "duration": 5.61, "text": "So a bit earlier in the second half of the year, yet no change to how we see the full year playing out."}, {"path": "tedlium_36323.wav", "duration": 5.61, "text": "starting with the sales force, merchandising, going on with logistics"}, {"path": "tedlium_36324.wav", "duration": 5.61, "text": "the bar could be higher for comparative purposes and that shareholders may be better served if it were."}, {"path": "tedlium_36325.wav", "duration": 5.61, "text": "As I have said previously, we will keep alert to opportunities around the globe,"}, {"path": "tedlium_36326.wav", "duration": 5.61, "text": "our plan here is that we're going to make one final attempt and approach over the coming weeks."}, {"path": "tedlium_36327.wav", "duration": 5.61, "text": "and so we're starting to sell some of our analytics services and some of the other high-value training and other services"}, {"path": "tedlium_36328.wav", "duration": 5.61, "text": "As Chris described, we will continue to manage the business in anticipation of increased overall competition"}, {"path": "tedlium_36329.wav", "duration": 5.61, "text": "These are subscriptions for business -- for employees and customers that we work with."}, {"path": "tedlium_36330.wav", "duration": 5.61, "text": "On the next slide, we provide a little more background on the Noble acquisition."}, {"path": "tedlium_36331.wav", "duration": 5.61, "text": "wholly owned by Rosemore Inc., and we were an early mover into the Delaware Basin."}, {"path": "tedlium_36332.wav", "duration": 5.61, "text": "Further evidence of the superior execution achieved during the first -- during fourth quarter,"}, {"path": "tedlium_36333.wav", "duration": 5.61, "text": "to try and build a more -- a better foundation and more profitable brand in the future. And so"}, {"path": "tedlium_36334.wav", "duration": 5.61, "text": "you can see that the increased number of settlements from our strong"}, {"path": "tedlium_36335.wav", "duration": 5.61, "text": "Now let me turn it over to Al to review the quarter's operations in more detail."}, {"path": "tedlium_36336.wav", "duration": 5.61, "text": "business focus, not only on oil, but moving into gas, and that has alleviated a lot of the problems for them."}, {"path": "tedlium_36337.wav", "duration": 5.61, "text": "largely due to the 10 additional aircraft we leased and improved results from our airlines."}, {"path": "tedlium_36338.wav", "duration": 5.61, "text": "Yes, it was our decision, based on -- we took a look at our initial plans"}, {"path": "tedlium_36339.wav", "duration": 5.61, "text": "more commodity price inflation in our businesses than we originally anticipated,"}, {"path": "tedlium_36340.wav", "duration": 5.61, "text": "while also improving current safety and driver retention and other initiatives."}, {"path": "tedlium_36341.wav", "duration": 5.61, "text": "we maintain our design basis but look at everything possible we can to be more efficient."}, {"path": "tedlium_36342.wav", "duration": 5.61, "text": "in terms of exactly when we're going to be shipping to the job."}, {"path": "tedlium_36343.wav", "duration": 5.61, "text": "is return capital to our common equity holders, right. We're quite conscious of the"}, {"path": "tedlium_36344.wav", "duration": 5.61, "text": "As to what are the various vectors on which we can improve quality, you referred to some of them,"}, {"path": "tedlium_36345.wav", "duration": 5.61, "text": "we have confirmed the rights we have under our existing license agreement to the extended"}, {"path": "tedlium_36346.wav", "duration": 5.61, "text": "Combining these midstream interruptions and the earlier delays of our Vaughn and Baird pads,"}, {"path": "tedlium_36347.wav", "duration": 5.61, "text": "automation at that site. So there are lots of things that needs to start to work together."}, {"path": "tedlium_36348.wav", "duration": 5.61, "text": "what kind of number do you think would be in a broad sense"}, {"path": "tedlium_36349.wav", "duration": 5.61, "text": "Gray accumulated a tremendous amount of political through the course of the year,"}, {"path": "tedlium_36350.wav", "duration": 5.61, "text": "basically aren't going to sell it in markets where they don't have linear network."}, {"path": "tedlium_36351.wav", "duration": 5.61, "text": "large volumes of LNG available at competitive prices."}, {"path": "tedlium_36352.wav", "duration": 5.61, "text": "and we hope to be able to make the FID on the infrastructure shortly."}, {"path": "tedlium_36353.wav", "duration": 5.61, "text": "As you may recall, we had been working hard to improve utilization of our assets."}, {"path": "tedlium_36354.wav", "duration": 5.61, "text": "From our perspective, these items hide the fact that the underlying performance of the group has been solid."}, {"path": "tedlium_36355.wav", "duration": 5.61, "text": "Beginning last year, we have worked to make it easier for investors"}, {"path": "tedlium_36356.wav", "duration": 5.61, "text": "I think if that factor was not there, there'll still be lots of puts and takes."}, {"path": "tedlium_36357.wav", "duration": 5.61, "text": "And generally, what we look for when we talk about the experienced relationship manager"}, {"path": "tedlium_36358.wav", "duration": 5.61, "text": "on key business outcome metrics and to plan cross-functionally all the way through"}, {"path": "tedlium_36359.wav", "duration": 5.61, "text": "When looking at kind of a possible Speedway separation, do you view"}, {"path": "tedlium_36360.wav", "duration": 5.61, "text": "back in over the next couple of quarters. Is there any way you can quantify or give us a range of"}, {"path": "tedlium_36361.wav", "duration": 5.61, "text": "if the market gets more interesting here, I think we still feel very comfortable with the product that we're offering."}, {"path": "tedlium_36362.wav", "duration": 5.61, "text": "And I guess that's different by market, but I think that's been a benefit to all carriers in Canada. Is"}, {"path": "tedlium_36363.wav", "duration": 5.61, "text": "A quick look at the table that's before you shows that all of our key metrics are moving in the right direction,"}, {"path": "tedlium_36364.wav", "duration": 5.61, "text": "and I'm happy to report we've covered good ground in fulfilling these obligations."}, {"path": "tedlium_36365.wav", "duration": 5.61, "text": "There could be significant settlement negotiations with providers in"}, {"path": "tedlium_36366.wav", "duration": 5.61, "text": "All of these elements are critical in enabling us to return the company to profitability"}, {"path": "tedlium_36367.wav", "duration": 5.61, "text": "Can you size that at all in terms of revenue dollar?"}, {"path": "tedlium_36368.wav", "duration": 5.61, "text": "It's a little bit early, but I think we're going in the right direction. In fact, we just"}, {"path": "tedlium_36369.wav", "duration": 5.6099375, "text": "and speak to the opportunity we have to continue to deepen our penetration of season passes"}, {"path": "tedlium_36370.wav", "duration": 5.5800625, "text": "Actually, the people working in the kiosks weren't really impressed with having a new"}, {"path": "tedlium_36371.wav", "duration": 5.5800625, "text": "that goes up and down and the industrial municipality environments are strong on the drilling side."}, {"path": "tedlium_36372.wav", "duration": 5.5800625, "text": "Our effective tax rate for federal and state income taxes for the fourth quarter"}, {"path": "tedlium_36373.wav", "duration": 5.5800625, "text": "and we are well into that process of getting there."}, {"path": "tedlium_36374.wav", "duration": 5.58, "text": "And the bigger pictures are typically discussed more in"}, {"path": "tedlium_36375.wav", "duration": 5.58, "text": "This guidance includes all businesses acquired to date. The majority of these"}, {"path": "tedlium_36376.wav", "duration": 5.58, "text": "I just think that it also underpins it. When we come to the CapEx situation,"}, {"path": "tedlium_36377.wav", "duration": 5.58, "text": "okay, but that's going to come in at a portfolio company and would wind up"}, {"path": "tedlium_36378.wav", "duration": 5.58, "text": "going forward and some of the opportunities that it presents"}, {"path": "tedlium_36379.wav", "duration": 5.58, "text": "Once again, thank you for your interest in Calix, and thank you for joining us today. Goodbye for now."}, {"path": "tedlium_36380.wav", "duration": 5.58, "text": "During the coming quarters as we invest the committed capital which has been entrusted to us,"}, {"path": "tedlium_36381.wav", "duration": 5.58, "text": "Yes, so these are measures that we would consider if we see that"}, {"path": "tedlium_36382.wav", "duration": 5.58, "text": "and we are tracking towards a meaningfully higher level of FRE by year-end."}, {"path": "tedlium_36383.wav", "duration": 5.58, "text": "by providing a convenient method for residences to properly dispose of unused medications,"}, {"path": "tedlium_36384.wav", "duration": 5.58, "text": "and the infrastructure in place to drive growth in all these markets, and we're ready to meet the challenges ahead."}, {"path": "tedlium_36385.wav", "duration": 5.58, "text": "it be a possibility concerning FMI business?"}, {"path": "tedlium_36386.wav", "duration": 5.58, "text": "in 2017, a straight line going forward, but we are confident that we will"}, {"path": "tedlium_36387.wav", "duration": 5.58, "text": "so how should we think about the stake going forward? Are you just planning to dribble it out onto the market? Or"}, {"path": "tedlium_36388.wav", "duration": 5.58, "text": "And that is a very positive result that we see here,"}, {"path": "tedlium_36389.wav", "duration": 5.58, "text": "please see the documents we file from time to time with the Securities and Exchange Commission."}, {"path": "tedlium_36390.wav", "duration": 5.58, "text": "But having said that, it was a relatively small test. So these were 3 markets,"}, {"path": "tedlium_36391.wav", "duration": 5.58, "text": "So as a result of that, while we have still I think outperformed the peer group"}, {"path": "tedlium_36392.wav", "duration": 5.58, "text": "While we continue to project a modest improvement in our product support revenues from last year,"}, {"path": "tedlium_36393.wav", "duration": 5.58, "text": "for fixed asset impairments related to the upcoming relocation of the corporate headquarters,"}, {"path": "tedlium_36394.wav", "duration": 5.58, "text": "With the improvement in performance, we saw an increase in the number of funds receiving an overall ranking"}, {"path": "tedlium_36395.wav", "duration": 5.58, "text": "We have no reason to believe it will not, and we believe it just still be firmly in the queue."}, {"path": "tedlium_36396.wav", "duration": 5.58, "text": "get an update, make sure that we're on track here. What we should expect in terms of progress,"}, {"path": "tedlium_36397.wav", "duration": 5.58, "text": "nice explanation why it dropped in terms of bringing in new"}, {"path": "tedlium_36398.wav", "duration": 5.58, "text": "Metal pricing continues to trend higher for almost all of the products we sell."}, {"path": "tedlium_36399.wav", "duration": 5.58, "text": "today. Are you running ahead of where you were this time last year?"}, {"path": "tedlium_36400.wav", "duration": 5.58, "text": "At this time, I would like to turn the call over to Mr. David Calusdian from the company's Investor"}, {"path": "tedlium_36401.wav", "duration": 5.58, "text": "So far, we've had very strong client retention and very positive feedback from clients."}, {"path": "tedlium_36402.wav", "duration": 5.58, "text": "what that is in a little bit more detail? And how should we think about that? Is that just a function of"}, {"path": "tedlium_36403.wav", "duration": 5.58, "text": "familiar and very experienced with the overall European market, they are the"}, {"path": "tedlium_36404.wav", "duration": 5.58, "text": "until cash proceeds from the sale of Employee Benefits are received at the holding company."}, {"path": "tedlium_36405.wav", "duration": 5.58, "text": "We highlight the distinction between current and deferred taxes, since we find this to be important."}, {"path": "tedlium_36406.wav", "duration": 5.58, "text": "Our sales team is excited to have the new product to sell, and we are seeing an increase in take rates."}, {"path": "tedlium_36407.wav", "duration": 5.58, "text": "Along with new sites and maturing markets, we have also begun our remodel program."}, {"path": "tedlium_36408.wav", "duration": 5.58, "text": "We also recently announced the delivery of our first aileron and flap assemblies"}, {"path": "tedlium_36409.wav", "duration": 5.58, "text": "all with an eye toward creating the strongest possible ongoing value to our customers."}, {"path": "tedlium_36410.wav", "duration": 5.58, "text": "refurbishing and compliance with the new regulations in Germany"}, {"path": "tedlium_36411.wav", "duration": 5.58, "text": "But just you shipped less, because they want to see how it actually plays out,"}, {"path": "tedlium_36412.wav", "duration": 5.58, "text": "As America strives to become healthier, the first step for many is to embark on a weight loss journey."}, {"path": "tedlium_36413.wav", "duration": 5.58, "text": "These tools also provide additional data that we use to improve the overall customer experience."}, {"path": "tedlium_36414.wav", "duration": 5.58, "text": "compared to a net usage during the same period last year, despite lower reported net income."}, {"path": "tedlium_36415.wav", "duration": 5.58, "text": "We continue to see strong sales growth from several new and existing customers."}, {"path": "tedlium_36416.wav", "duration": 5.58, "text": "I would say excluding brands that we own,"}, {"path": "tedlium_36417.wav", "duration": 5.58, "text": "We continue to move forward with our other restructuring efforts outside of Germany,"}, {"path": "tedlium_36418.wav", "duration": 5.58, "text": "and proof that all the profitability measures implemented in the region have become structural,"}, {"path": "tedlium_36419.wav", "duration": 5.58, "text": "driven by growth in most of our major end markets and regions."}, {"path": "tedlium_36420.wav", "duration": 5.58, "text": "to ensure we fully involve and leverage the resources of the broader nephrology community."}, {"path": "tedlium_36421.wav", "duration": 5.58, "text": "but they also felt that they would like to see a longer observation period than the 8 weeks,"}, {"path": "tedlium_36422.wav", "duration": 5.58, "text": "So kind of taking your last point first. I continue to think that a comment we made very early in last year about"}, {"path": "tedlium_36423.wav", "duration": 5.58, "text": "with the intention of building stronger customer loyalty and sustainable market share gains."}, {"path": "tedlium_36424.wav", "duration": 5.58, "text": "Because of this platform, we are able to start to pull in new apps to our clients."}, {"path": "tedlium_36425.wav", "duration": 5.58, "text": "but don't take our word from that, here is some direct feedback from a number of newly secured"}, {"path": "tedlium_36426.wav", "duration": 5.58, "text": "We're doing all the things necessary to deliver a great result to our clients on top of our technology"}, {"path": "tedlium_36427.wav", "duration": 5.58, "text": "so that we know that this -- what we put into you data center is sticky. We know we want them to be contiguous."}, {"path": "tedlium_36428.wav", "duration": 5.58, "text": "which I think actually serves us very well. And even those customers that are"}, {"path": "tedlium_36429.wav", "duration": 5.58, "text": "We continue to experience the positive momentum in our Europe business that began last quarter."}, {"path": "tedlium_36430.wav", "duration": 5.58, "text": "talk about what we need to do to potentially serve them in a broader way."}, {"path": "tedlium_36431.wav", "duration": 5.58, "text": "June and fully coming in effect in the middle of July."}, {"path": "tedlium_36432.wav", "duration": 5.58, "text": "and to successfully integrate and operate assets in businesses that are built or acquired."}, {"path": "tedlium_36433.wav", "duration": 5.58, "text": "or we're buying our stock back. Those are all investment decisions, and we look at what all of those things"}, {"path": "tedlium_36434.wav", "duration": 5.58, "text": "we haven't told you what we think revenue growth will exactly be"}, {"path": "tedlium_36435.wav", "duration": 5.58, "text": "As a result, we would not be required to have our independent orders complete their report"}, {"path": "tedlium_36436.wav", "duration": 5.58, "text": "So that gave us an opportunity to take advantage of that. We have"}, {"path": "tedlium_36437.wav", "duration": 5.58, "text": "as a result of the withdrawal of troops from Afghanistan in the fourth quarter"}, {"path": "tedlium_36438.wav", "duration": 5.58, "text": "so the shift in the early season is typically greater, and then moderates in the second half."}, {"path": "tedlium_36439.wav", "duration": 5.58, "text": "and that rate change is going to mean that we're paying"}, {"path": "tedlium_36440.wav", "duration": 5.58, "text": "in this market because what has definitely changed is that the consumers"}, {"path": "tedlium_36441.wav", "duration": 5.58, "text": "that would allow us to execute quickly as opportunities arise to garner share."}, {"path": "tedlium_36442.wav", "duration": 5.58, "text": "as strategic opportunities come up. So I would note that this is the seasonal low"}, {"path": "tedlium_36443.wav", "duration": 5.58, "text": "They're becoming unique in the space in K-12, where our historic competitors"}, {"path": "tedlium_36444.wav", "duration": 5.58, "text": "we haven't historically seen from clients that maybe haven't even historically outsourced this function."}, {"path": "tedlium_36445.wav", "duration": 5.58, "text": "but we do want to always think about positioning our product portfolio as we go forward."}, {"path": "tedlium_36446.wav", "duration": 5.58, "text": "the new wave of digital transformation is all about the customer. Everything starts and begins"}, {"path": "tedlium_36447.wav", "duration": 5.58, "text": "A reconciliation to comparable GAAP measures is available with our earnings release."}, {"path": "tedlium_36448.wav", "duration": 5.58, "text": "These documents can be accessed on our website selectabio.com. In particular,"}, {"path": "tedlium_36449.wav", "duration": 5.58, "text": "very excited by all of our new hires and look forward to working with them over the years ahead."}, {"path": "tedlium_36450.wav", "duration": 5.58, "text": "And over the next 5 years, I am confident this will unlock greater growth."}, {"path": "tedlium_36451.wav", "duration": 5.58, "text": "from each deal. The deals that we've already closed and then a dozen or so deals that we have in the"}, {"path": "tedlium_36452.wav", "duration": 5.58, "text": "from vendors and lowered the cost of its direct mail campaigns."}, {"path": "tedlium_36453.wav", "duration": 5.58, "text": "Okay. So does that mean then that from your perspective, the run rate margin"}, {"path": "tedlium_36454.wav", "duration": 5.58, "text": "We intend to leverage the improved operating performance"}, {"path": "tedlium_36455.wav", "duration": 5.58, "text": "The goal of this innovative program is to ensure a simple, safe and secure exit path"}, {"path": "tedlium_36456.wav", "duration": 5.58, "text": "we can optimize that. But more importantly, the fact that we are having opportunities"}, {"path": "tedlium_36457.wav", "duration": 5.58, "text": "For details of the fourth quarter and 2015, I'm going to hand the microphone over to my partner,"}, {"path": "tedlium_36458.wav", "duration": 5.58, "text": "sustainable alliances that generate value for the company and for the OTT players"}, {"path": "tedlium_36459.wav", "duration": 5.58, "text": "We're on pace to do that. We haven't said they're going to be in BC. We haven't said where they're going to be in the West,"}, {"path": "tedlium_36460.wav", "duration": 5.58, "text": "deep value creating inventory of growth and modernization investments."}, {"path": "tedlium_36461.wav", "duration": 5.58, "text": "and you didn't seem to have any capacity issues. What sort of capacity do you have? Because"}, {"path": "tedlium_36462.wav", "duration": 5.58, "text": "So that's a nice plus for us, but pretty flat overall. We will have"}, {"path": "tedlium_36463.wav", "duration": 5.58, "text": "Looking ahead, we do not expect conditions to improve in Brazil in the near term"}, {"path": "tedlium_36464.wav", "duration": 5.58, "text": "focused on something that's not at the whims of oil prices in terms of development."}, {"path": "tedlium_36465.wav", "duration": 5.58, "text": "We will also continue to open new taverns when and where we have an opportunity to generate strong returns"}, {"path": "tedlium_36466.wav", "duration": 5.58, "text": "slightly better terms on the chain stores, which I think should improve margins and be a positive,"}, {"path": "tedlium_36467.wav", "duration": 5.58, "text": "We received a few questions looking for clarification about this acquisition."}, {"path": "tedlium_36468.wav", "duration": 5.58, "text": "As part of this acquisition of the remaining shares in the Body Corporate,"}, {"path": "tedlium_36469.wav", "duration": 5.58, "text": "but interestingly and quite excitingly, we are now ready to push out on our energy reservoirs."}, {"path": "tedlium_36470.wav", "duration": 5.58, "text": "please feel free to contact us. Thank you, and have a good evening, everyone."}, {"path": "tedlium_36471.wav", "duration": 5.58, "text": "give us the ability, still we need the volume and we need the density but also to be more"}, {"path": "tedlium_36472.wav", "duration": 5.58, "text": "at what our business struggled with back in the last downturn."}, {"path": "tedlium_36473.wav", "duration": 5.58, "text": "early stages, it's not going to be of the same scale that we would see in our van or tank businesses,"}, {"path": "tedlium_36474.wav", "duration": 5.58, "text": "Okay. And as we kind of work towards that 3-year time horizon, in terms of"}, {"path": "tedlium_36475.wav", "duration": 5.58, "text": "and it's an organization that we have respected for an awfully long time."}, {"path": "tedlium_36476.wav", "duration": 5.58, "text": "the opportunity to use the drug in that kind of a way, then we see it move pretty rapidly"}, {"path": "tedlium_36477.wav", "duration": 5.58, "text": "and overall developing market performance in a more than challenging and volatile environment."}, {"path": "tedlium_36478.wav", "duration": 5.58, "text": "And then my second question is largely on exome. Could you give you -- give us a sense of the mix there?"}, {"path": "tedlium_36479.wav", "duration": 5.58, "text": "as has been true for others who have gotten into the exome game,"}, {"path": "tedlium_36480.wav", "duration": 5.58, "text": "which adds another essential avenue of access to capital markets in building out our new capital structure."}, {"path": "tedlium_36481.wav", "duration": 5.58, "text": "all the operator are losing market share"}, {"path": "tedlium_36482.wav", "duration": 5.58, "text": "and so that's why, okay, we will make sure before we make the move"}, {"path": "tedlium_36483.wav", "duration": 5.58, "text": "We also promoted the new role of the pharmacist linked with travel health."}, {"path": "tedlium_36484.wav", "duration": 5.58, "text": "They don't install anything, they don't support anything. They never talk to a Jack Henry customer. The model was"}, {"path": "tedlium_36485.wav", "duration": 5.58, "text": "Based on these data, we expect a regulatory decision in the second half of the year."}, {"path": "tedlium_36486.wav", "duration": 5.58, "text": "But we also need to ensure we don't make the process more complicated than it needs to be."}, {"path": "tedlium_36487.wav", "duration": 5.58, "text": "Note, this comparison is to restated segment margins due to changes in our constant currency reporting."}, {"path": "tedlium_36488.wav", "duration": 5.58, "text": "initially expected. But we do not really have exact figures to share with you at this point in time."}, {"path": "tedlium_36489.wav", "duration": 5.58, "text": "We will also keep on improving the efficiency of our marketing investment"}, {"path": "tedlium_36490.wav", "duration": 5.58, "text": "Thank you for your time this morning. I'd like to turn the call back over to Hal, and we look forward to your questions."}, {"path": "tedlium_36491.wav", "duration": 5.58, "text": "of the new gasoline spec, which has driven increased butane blending demand"}, {"path": "tedlium_36492.wav", "duration": 5.58, "text": "which provides flexibility to capitalize on new growth opportunities,"}, {"path": "tedlium_36493.wav", "duration": 5.58, "text": "going forward and if anything, we could see it reverse."}, {"path": "tedlium_36494.wav", "duration": 5.58, "text": "small but they're -- which aren't huge, but they are mighty in terms of it and they don't create any scripts for all practical purposes"}, {"path": "tedlium_36495.wav", "duration": 5.58, "text": "Our strategy of investing across a diversified mix of assets based on favorable risk-reward,"}, {"path": "tedlium_36496.wav", "duration": 5.58, "text": "Okay. And is it something we could see this year? Or probably wouldn't be until next year"}, {"path": "tedlium_36497.wav", "duration": 5.58, "text": "In addition to the well-accepted relationship between dietary sodium and high blood pressure,"}, {"path": "tedlium_36498.wav", "duration": 5.58, "text": "and profitable growth over the long term. And with that, I'll hand it over to Dave to talk through the financials."}, {"path": "tedlium_36499.wav", "duration": 5.58, "text": "real estate and related intangibles to a newly formed nonprofit corporation,"}, {"path": "tedlium_36500.wav", "duration": 5.58, "text": "This, in turn, has impacted admission and episode growth in these markets."}, {"path": "tedlium_36501.wav", "duration": 5.58, "text": "And so we certainly are digesting that and spending a considerable amount of time to make sure we do that right,"}, {"path": "tedlium_36502.wav", "duration": 5.58, "text": "This is an important metric for us. Now let's move to business."}, {"path": "tedlium_36503.wav", "duration": 5.58, "text": "The quarterly trend improvement is partly related to phasing in project benefits."}, {"path": "tedlium_36504.wav", "duration": 5.58, "text": "and we've seen impact from that on the chemical side demand"}, {"path": "tedlium_36505.wav", "duration": 5.58, "text": "With regards to our derisking activities, in addition to the reinsurance transaction discussed earlier,"}, {"path": "tedlium_36506.wav", "duration": 5.58, "text": "We are impressed with that attention that the Europeans are paying to our technology."}, {"path": "tedlium_36507.wav", "duration": 5.58, "text": "it's imperative that we practice art, science and a heck a lot of common sense."}, {"path": "tedlium_36508.wav", "duration": 5.58, "text": "continued progress. You saw it and you've seen this grow in each of the last number of years. But if you think about"}, {"path": "tedlium_36509.wav", "duration": 5.58, "text": "Thank you. Good morning, and thank you, everyone, for taking the time out to join us this morning"}, {"path": "tedlium_36510.wav", "duration": 5.58, "text": "The second quarter was more back-end loaded than usual, causing us to bump above the normal range."}, {"path": "tedlium_36511.wav", "duration": 5.58, "text": "And I think it may be premature for us to speculate on what kind of disruption"}, {"path": "tedlium_36512.wav", "duration": 5.58, "text": "absorb more capacity, so the entire infrastructure in the factory is ready to"}, {"path": "tedlium_36513.wav", "duration": 5.58, "text": "Let me now provide more detail on the key operational trends we experienced during the second quarter."}, {"path": "tedlium_36514.wav", "duration": 5.58, "text": "creating a new business and wanted to launch a full brand and a full business in less than 4 months,"}, {"path": "tedlium_36515.wav", "duration": 5.58, "text": "our offerings and we're working with the customer with the offering. So we're putting some"}, {"path": "tedlium_36516.wav", "duration": 5.58, "text": "I will now pass you to Jim, who will take you through our financial results in greater detail."}, {"path": "tedlium_36517.wav", "duration": 5.58, "text": "obviously, no final decisions made yet, but any sort of new concepts being considered?"}, {"path": "tedlium_36518.wav", "duration": 5.58, "text": "I don't think it's a surprise at this point. The worst pricing, what I'm curious about is"}, {"path": "tedlium_36519.wav", "duration": 5.58, "text": "At the same time, we continued to reinvest in our business for future growth."}, {"path": "tedlium_36520.wav", "duration": 5.58, "text": "but we are quite convinced that it's possible to compensate"}, {"path": "tedlium_36521.wav", "duration": 5.58, "text": "what you saw there in that level of activity and then the full year guidance? Like was it contemplated"}, {"path": "tedlium_36522.wav", "duration": 5.58, "text": "We are already seeing benefits of greater focus and discipline in this area."}, {"path": "tedlium_36523.wav", "duration": 5.58, "text": "Sales of Canadian retail mutual funds were modestly lower, even on a Canadian dollar basis."}, {"path": "tedlium_36524.wav", "duration": 5.58, "text": "that should be more in line with its asset and investment appetite."}, {"path": "tedlium_36525.wav", "duration": 5.58, "text": "will provide a good base for copper prices to hold"}, {"path": "tedlium_36526.wav", "duration": 5.58, "text": "And so we see lots of opportunity. But we're not getting to the point where we're being careless and,"}, {"path": "tedlium_36527.wav", "duration": 5.58, "text": "improvement in the earnings per share and our strong cash flow position."}, {"path": "tedlium_36528.wav", "duration": 5.58, "text": "Positive demographics, strong retail trends and demands in the leisure and recreational lifestyle markets"}, {"path": "tedlium_36529.wav", "duration": 5.58, "text": "It is you that drive our business every day, and we are fortunate to have such a passionate group of supporters."}, {"path": "tedlium_36530.wav", "duration": 5.58, "text": "I don't want to throw out a specific number at this point in time."}, {"path": "tedlium_36531.wav", "duration": 5.58, "text": "will be sufficient to fund our operating expenses and capital expenditure requirements"}, {"path": "tedlium_36532.wav", "duration": 5.58, "text": "as well as the revenue being stronger than we had thought at the beginning of the year. So"}, {"path": "tedlium_36533.wav", "duration": 5.58, "text": "and our ability to take advantage of incremental opportunities, we are well positioned."}, {"path": "tedlium_36534.wav", "duration": 5.58, "text": "so on an assumption of a flat volume for some of our main businesses,"}, {"path": "tedlium_36535.wav", "duration": 5.58, "text": "I have stated before that today you'd better be a disrupter or you will be disrupted."}, {"path": "tedlium_36536.wav", "duration": 5.5500625, "text": "we have not had a chance on our quarterly calls to talk very much about our oncology"}, {"path": "tedlium_36537.wav", "duration": 5.55, "text": "We'll just have to see how the pace of the work is going. The demand is high, as you can see."}, {"path": "tedlium_36538.wav", "duration": 5.55, "text": "As mentioned on previous calls, there was a significant impact from Zika, which is more than we expected."}, {"path": "tedlium_36539.wav", "duration": 5.55, "text": "Actually, we are well positioned to win new contracts in the coming months."}, {"path": "tedlium_36540.wav", "duration": 5.55, "text": "But for the most part, that decline relates to the decline in the value of the peso against the dollar."}, {"path": "tedlium_36541.wav", "duration": 5.55, "text": "We look forward to continuing to report on the progress that we are making in achieving these objectives."}, {"path": "tedlium_36542.wav", "duration": 5.55, "text": "and it has to meet certain requirements for us. We're not going to just go do a deal to go do a deal."}, {"path": "tedlium_36543.wav", "duration": 5.55, "text": "and is consistent with our overall objective of sustainable and responsible growth."}, {"path": "tedlium_36544.wav", "duration": 5.55, "text": "and the prior period amounts have been adjusted for those amounts previously reported."}, {"path": "tedlium_36545.wav", "duration": 5.55, "text": "when we converted to dollars in Mexico due to the depreciation of the Mexican"}, {"path": "tedlium_36546.wav", "duration": 5.55, "text": "history will tell us that fourth quarter will be good. So the insurance company will end up with a good year. So"}, {"path": "tedlium_36547.wav", "duration": 5.55, "text": "Thank you for attending today's presentation. You may now disconnect."}, {"path": "tedlium_36548.wav", "duration": 5.55, "text": "all while maintaining a conservative distribution coverage ratio"}, {"path": "tedlium_36549.wav", "duration": 5.55, "text": "that's the kind of I think growth rate you should expect as we think about 2018 going forward."}, {"path": "tedlium_36550.wav", "duration": 5.55, "text": "who potentially we can provide additional technologies and products and equipment to, to let them expand"}, {"path": "tedlium_36551.wav", "duration": 5.55, "text": "drive hard and make enough progress where they can at least have that clear framework in place. So"}, {"path": "tedlium_36552.wav", "duration": 5.55, "text": "Is that all pretty much addressed? And can we be confident that there won't be something like this"}, {"path": "tedlium_36553.wav", "duration": 5.55, "text": "are those baked into kind of the overall rate adjustment that you may have already gotten?"}, {"path": "tedlium_36554.wav", "duration": 5.55, "text": "These efforts, along with steady contributions from vehicle protection and pre-need,"}, {"path": "tedlium_36555.wav", "duration": 5.55, "text": "So we're now aggregating some of our software costs where we can lower"}, {"path": "tedlium_36556.wav", "duration": 5.55, "text": "but based on what we now know of how Corficolombiana should perform,"}, {"path": "tedlium_36557.wav", "duration": 5.55, "text": "denial of any requirement to provide compensation,"}, {"path": "tedlium_36558.wav", "duration": 5.55, "text": "earlier, you talked about more precise spending of"}, {"path": "tedlium_36559.wav", "duration": 5.55, "text": "When you cannot grasp the language, you cannot"}, {"path": "tedlium_36560.wav", "duration": 5.55, "text": "Our second quarter results were in line with our expectations and our full year remain"}, {"path": "tedlium_36561.wav", "duration": 5.55, "text": "Perhaps, the key phrase for last quarter and last year was inflection point."}, {"path": "tedlium_36562.wav", "duration": 5.55, "text": "where we continue to see benefits and continue to be able to raise prices"}, {"path": "tedlium_36563.wav", "duration": 5.55, "text": "due to the difficult economic and political situation in many markets in the world."}, {"path": "tedlium_36564.wav", "duration": 5.55, "text": "you guys are becoming a pretty big restaurant operator"}, {"path": "tedlium_36565.wav", "duration": 5.55, "text": "We have weathered a great deal together and your talent and perseverance and grit have got us to a better place."}, {"path": "tedlium_36566.wav", "duration": 5.55, "text": "As it relates to sort of cash flow freed up from that endeavor,"}, {"path": "tedlium_36567.wav", "duration": 5.55, "text": "And we don't want to give any guidance here on the sizing of any of"}, {"path": "tedlium_36568.wav", "duration": 5.55, "text": "but do you think there's going to be a big step-up in expenses related to that? And then"}, {"path": "tedlium_36569.wav", "duration": 5.55, "text": "of any product reform that we implement"}, {"path": "tedlium_36570.wav", "duration": 5.55, "text": "that might be a speculation that you can get price increases after you've taken the contract."}, {"path": "tedlium_36571.wav", "duration": 5.55, "text": "just to put some more context around Jason, your concern about us not"}, {"path": "tedlium_36572.wav", "duration": 5.55, "text": "right now. And as I think I mentioned before, and we checked the map again this morning,"}, {"path": "tedlium_36573.wav", "duration": 5.55, "text": "it's easy to kind of get overly enamored with equipment sales and all those kinds of things."}, {"path": "tedlium_36574.wav", "duration": 5.55, "text": "Please refer to the detailed note in the company's earnings release regarding forward-looking statements."}, {"path": "tedlium_36575.wav", "duration": 5.55, "text": "We've not yet moved this project into the backlog pending some further progress on additional commitments,"}, {"path": "tedlium_36576.wav", "duration": 5.55, "text": "Even after what will be rather significant investments"}, {"path": "tedlium_36577.wav", "duration": 5.55, "text": "This liability was recorded in the second quarter at discounted present value."}, {"path": "tedlium_36578.wav", "duration": 5.55, "text": "So while the capital structure of our Indonesian business has changed,"}, {"path": "tedlium_36579.wav", "duration": 5.55, "text": "fair to say that it's still sort of in that incubation stage? Or maybe you can give us an update there?"}, {"path": "tedlium_36580.wav", "duration": 5.55, "text": "as well as some of the elevated non-recurring costs associated with the ramping up of the traffic."}, {"path": "tedlium_36581.wav", "duration": 5.55, "text": "Our commercial team has already begun proactively reaching out to physician customers"}, {"path": "tedlium_36582.wav", "duration": 5.55, "text": "Risks and uncertainties that may affect Quest Diagnostics future results include, but are not limited to,"}, {"path": "tedlium_36583.wav", "duration": 5.55, "text": "Thank you for your participation and have a wonderful day. You may all disconnect."}, {"path": "tedlium_36584.wav", "duration": 5.55, "text": "Now let me turn the call over to Penni to provide some more detail on the financials and the balance sheet."}, {"path": "tedlium_36585.wav", "duration": 5.55, "text": "to sort of get moving, that when these locations are fully mature,"}, {"path": "tedlium_36586.wav", "duration": 5.55, "text": "from government regulation and taxes that are driving up the cost of our business."}, {"path": "tedlium_36587.wav", "duration": 5.55, "text": "growing inventory when everybody thought we didn't have any land to grow it off of."}, {"path": "tedlium_36588.wav", "duration": 5.55, "text": "As the tenure of our collectors continues to increase, it will have a direct and positive impact"}, {"path": "tedlium_36589.wav", "duration": 5.55, "text": "we would think of that as cash that should be returned to our shareholders in some form."}, {"path": "tedlium_36590.wav", "duration": 5.55, "text": "the premier corporate learning university for the defense acquisition workforce."}, {"path": "tedlium_36591.wav", "duration": 5.55, "text": "offering and sort of what you're seeing around the entire pad?"}, {"path": "tedlium_36592.wav", "duration": 5.55, "text": "in the underlying metrics that personalization is the path we should be on"}, {"path": "tedlium_36593.wav", "duration": 5.55, "text": "We did experience a modest decline in total international visitation compared to the prior year."}, {"path": "tedlium_36594.wav", "duration": 5.55, "text": "The third one is, many of you might say, well, on the revenue side you have been flat,"}, {"path": "tedlium_36595.wav", "duration": 5.55, "text": "With regard to the store opening and what we expect from those,"}, {"path": "tedlium_36596.wav", "duration": 5.55, "text": "but also driving for continued improvements of the commercial execution."}, {"path": "tedlium_36597.wav", "duration": 5.55, "text": "much more of a requirement to ensure that there's a single point of entry, for example, for choice counseling, that"}, {"path": "tedlium_36598.wav", "duration": 5.55, "text": "over multiple economic cycles and governmental administrations that will span the 10-year term of the notes."}, {"path": "tedlium_36599.wav", "duration": 5.55, "text": "And then lastly, I will tell you, we're seeing strong performance of our new stores that we just talked about"}, {"path": "tedlium_36600.wav", "duration": 5.55, "text": "It hasn't really affected the marketplace, per se, one way or another,"}, {"path": "tedlium_36601.wav", "duration": 5.55, "text": "Year-to-date, direct operating expenses are also lower compared to last year"}, {"path": "tedlium_36602.wav", "duration": 5.55, "text": "enabling us to focus our efforts and capital on strengthening the company for the long term."}, {"path": "tedlium_36603.wav", "duration": 5.55, "text": "Yes, I would echo that. I would also say that one of the reasons"}, {"path": "tedlium_36604.wav", "duration": 5.55, "text": "believing that we were saying something about our capital spending when we talked about the higher maintenance expenditure,"}, {"path": "tedlium_36605.wav", "duration": 5.55, "text": "We're kind of excited because we started up some of our new specialty capacity around the world that allows us to ship"}, {"path": "tedlium_36606.wav", "duration": 5.55, "text": "and it's all about value for them and value creation for us."}, {"path": "tedlium_36607.wav", "duration": 5.55, "text": "better uses of cash earlier on. And so those are the priorities, how I think about it. Jack, I know that"}, {"path": "tedlium_36608.wav", "duration": 5.55, "text": "they've been cutting back, and so that's been dampening the sales trend to a certain degree."}, {"path": "tedlium_36609.wav", "duration": 5.55, "text": "we continued to make more investment in scientific innovation."}, {"path": "tedlium_36610.wav", "duration": 5.55, "text": "The diesel cracks have been relatively weak until recently, and they have actually started"}, {"path": "tedlium_36611.wav", "duration": 5.55, "text": "and greatly enhance this operation's adoption of the Esterline operating system."}, {"path": "tedlium_36612.wav", "duration": 5.55, "text": "With that, I'd like to turn the call back to Peter for an additional comment."}, {"path": "tedlium_36613.wav", "duration": 5.55, "text": "We remain very confident in our ability to execute our transformation agenda"}, {"path": "tedlium_36614.wav", "duration": 5.55, "text": "set of initiatives that are going to get us there. We have increasing confidence and we're going to execute things that are in front of us."}, {"path": "tedlium_36615.wav", "duration": 5.55, "text": "But when you have these fully contracted pipelines like Transco, Northwest and Gulfstream, you"}, {"path": "tedlium_36616.wav", "duration": 5.55, "text": "On the back of stronger sales and efficiency gains in all business areas,"}, {"path": "tedlium_36617.wav", "duration": 5.55, "text": "I would characterize the backlog as being similar as we have in the past with the exception of the"}, {"path": "tedlium_36618.wav", "duration": 5.55, "text": "that tends to run at lower margins than the recurring revenue than the service side. So"}, {"path": "tedlium_36619.wav", "duration": 5.55, "text": "And the quarter included a reimbursement of our legal fees as the prevailing party in that matter."}, {"path": "tedlium_36620.wav", "duration": 5.55, "text": "The increase was primarily driven by a greater contribution from policy charges and fee income,"}, {"path": "tedlium_36621.wav", "duration": 5.55, "text": "that Probuphine has an important role to play in combating the epidemic of opioid addiction,"}, {"path": "tedlium_36622.wav", "duration": 5.55, "text": "or any changes in events, conditions or circumstances on which any such statement is based,"}, {"path": "tedlium_36623.wav", "duration": 5.55, "text": "I'd like to give you some crisp, perfect answer, but the truth be known, each quarter feels different,"}, {"path": "tedlium_36624.wav", "duration": 5.55, "text": "I want to emphasize that we will, however, continue to remain selective in these efforts"}, {"path": "tedlium_36625.wav", "duration": 5.55, "text": "The average price of detached homes softened within parts of the GTA during the third quarter."}, {"path": "tedlium_36626.wav", "duration": 5.55, "text": "that is included in our tax return, resulting in a very low cash tax rate in the current year."}, {"path": "tedlium_36627.wav", "duration": 5.55, "text": "that are coming under increasing financial strain in the context of our weakening economy."}, {"path": "tedlium_36628.wav", "duration": 5.55, "text": "Just wondered if you could kind of give us a little bit more granular lay of the land on how you think"}, {"path": "tedlium_36629.wav", "duration": 5.55, "text": "The footprint of the factory is approximately the size of 2 very large Bunnings stores."}, {"path": "tedlium_36630.wav", "duration": 5.55, "text": "what I would expect the market clearing multiples to be in the larger transactions."}, {"path": "tedlium_36631.wav", "duration": 5.55, "text": "which gives me confidence in our ability to realize our vision of improving patients' lives."}, {"path": "tedlium_36632.wav", "duration": 5.55, "text": "and our newest release of our Crown Royal Noble Collection in the second half."}, {"path": "tedlium_36633.wav", "duration": 5.55, "text": "we haven't been in the strongest negotiating position as it relates to acquiring product."}, {"path": "tedlium_36634.wav", "duration": 5.55, "text": "So this is a new level of efficacy which is why we are already now planning"}, {"path": "tedlium_36635.wav", "duration": 5.55, "text": "Quality control and comparability testing of the engineering and clinical batches are ongoing."}, {"path": "tedlium_36636.wav", "duration": 5.55, "text": "Although we're in the early stages, I'm encouraged with the progress we're making."}, {"path": "tedlium_36637.wav", "duration": 5.55, "text": "cost reductions and the learning curves, and that's how you'd get to the top end of that range."}, {"path": "tedlium_36638.wav", "duration": 5.55, "text": "We will also invest in additional faculty, primarily in the College of Engineering and Technology."}, {"path": "tedlium_36639.wav", "duration": 5.55, "text": "We manage the quality of the online student body by keeping the percent of graduate students"}, {"path": "tedlium_36640.wav", "duration": 5.55, "text": "if we could, this is a ton of information and all of it is very high quality and very helpful."}, {"path": "tedlium_36641.wav", "duration": 5.55, "text": "Okay. And just a quick follow-up. On the seating, it sounds like you still have"}, {"path": "tedlium_36642.wav", "duration": 5.55, "text": "to get some benefit of increased scale, which I think gives us an opportunity to go north of that number."}, {"path": "tedlium_36643.wav", "duration": 5.55, "text": "So I think looking at our quantity growth is really the true way to measure our success."}, {"path": "tedlium_36644.wav", "duration": 5.55, "text": "which increasingly center around premiumization, snacking"}, {"path": "tedlium_36645.wav", "duration": 5.55, "text": "and we believe it will become a real alternative to a credit card, especially alongside the new cash-back program."}, {"path": "tedlium_36646.wav", "duration": 5.55, "text": "And I look forward to updating you on our progress on our future earnings calls"}, {"path": "tedlium_36647.wav", "duration": 5.55, "text": "At these levels, the percentage modeling for taxes does not really work."}, {"path": "tedlium_36648.wav", "duration": 5.55, "text": "maintenance shutdown factor is"}, {"path": "tedlium_36649.wav", "duration": 5.55, "text": "to do other things like share repurchase that will reward shareholders"}, {"path": "tedlium_36650.wav", "duration": 5.55, "text": "and decreasing our leverage, in addition to being overall good stewards of the company's capital"}, {"path": "tedlium_36651.wav", "duration": 5.55, "text": "This repurposed production space has been retooled to support future production"}, {"path": "tedlium_36652.wav", "duration": 5.55, "text": "In summary, we are seeing strong growth in the fee revenues and expect this trend to continue going forward."}, {"path": "tedlium_36653.wav", "duration": 5.55, "text": "observations about the environment around Cancun in terms of"}, {"path": "tedlium_36654.wav", "duration": 5.55, "text": "how we do in terms of keeping our people, developing our people and promoting our people,"}, {"path": "tedlium_36655.wav", "duration": 5.55, "text": "our operating expenses when industry conditions recover and revenues increase."}, {"path": "tedlium_36656.wav", "duration": 5.55, "text": "We do expect better results from program in the future. We have a new leadership for this segment."}, {"path": "tedlium_36657.wav", "duration": 5.55, "text": "We believe MobileIron Access is the only solution in the market that solves the cloud app security challenge"}, {"path": "tedlium_36658.wav", "duration": 5.55, "text": "it is very tough to see how you would have any realistic balance sheet risk at this point."}, {"path": "tedlium_36659.wav", "duration": 5.55, "text": "and profitability to the additional carrying and processing costs of the backlog equipment."}, {"path": "tedlium_36660.wav", "duration": 5.55, "text": "To be honest, I feel this negativity has been way overblown."}, {"path": "tedlium_36661.wav", "duration": 5.55, "text": "to put them on advantaged assets through the work we're doing and supply chain reinvention. And so"}, {"path": "tedlium_36662.wav", "duration": 5.55, "text": "it's -- nothing's really changed in terms of what we're doing. The activity and the initiative is on track."}, {"path": "tedlium_36663.wav", "duration": 5.55, "text": "We're also assuming we have normal wind according to some of the historical averages"}, {"path": "tedlium_36664.wav", "duration": 5.55, "text": "For clarity, we have shown the value generated from management actions separately."}, {"path": "tedlium_36665.wav", "duration": 5.55, "text": "That said -- even if it's small at the beginning, if you see it being able to grow rapidly, that will be"}, {"path": "tedlium_36666.wav", "duration": 5.55, "text": "very healthy livers. But there's more data from our work, and this trial in particular,"}, {"path": "tedlium_36667.wav", "duration": 5.55, "text": "is to make sure that people are able to experience that. And that's what we've seen. As people experience this"}, {"path": "tedlium_36668.wav", "duration": 5.55, "text": "And we expect to complete our relationship with them"}, {"path": "tedlium_36669.wav", "duration": 5.55, "text": "not because you are intending to do anything wrong, but because"}, {"path": "tedlium_36670.wav", "duration": 5.55, "text": "Unfortunately, these positive results could not offset the negative impact"}, {"path": "tedlium_36671.wav", "duration": 5.55, "text": "So we're actually tracking fairly close to our internal expectations so far through the quarter."}, {"path": "tedlium_36672.wav", "duration": 5.55, "text": "exactly how the test is run, what the timing is of the various market factors and so forth. But"}, {"path": "tedlium_36673.wav", "duration": 5.55, "text": "our sales do get hit in the first day, first week with all the activity."}, {"path": "tedlium_36674.wav", "duration": 5.55, "text": "To summarize, all 4 of our segments grew organically for the first time in the third quarter."}, {"path": "tedlium_36675.wav", "duration": 5.55, "text": "Excluding the impact related to the noncash deferred tax asset recognition,"}, {"path": "tedlium_36676.wav", "duration": 5.55, "text": "but have put a lot of emphasis on them in the last couple of years as the oilfield demand weakened."}, {"path": "tedlium_36677.wav", "duration": 5.55, "text": "We have been focused on converting existing renters to owners and are pleased with the trend we are seeing."}, {"path": "tedlium_36678.wav", "duration": 5.55, "text": "and similar expressions identify forward-looking statements that are inherently subject to risks"}, {"path": "tedlium_36679.wav", "duration": 5.55, "text": "the risk that some of these initiatives that you've outlined, specifically the promotional activity, doesn't"}, {"path": "tedlium_36680.wav", "duration": 5.55, "text": "We expect that disposition volume will be lower, and the use of proceeds from such activity"}, {"path": "tedlium_36681.wav", "duration": 5.55, "text": "We are still expecting services to grow. We have certain"}, {"path": "tedlium_36682.wav", "duration": 5.55, "text": "A lot of that was on working capital in terms of the swing in cash flow."}, {"path": "tedlium_36683.wav", "duration": 5.55, "text": "Just wondering if you have seen that and what your outlook is on that going forward."}, {"path": "tedlium_36684.wav", "duration": 5.55, "text": "The market offered us significantly more than we expected because"}, {"path": "tedlium_36685.wav", "duration": 5.55, "text": "Should we expect any sort of cost, I guess, related to the credit card news?"}, {"path": "tedlium_36686.wav", "duration": 5.55, "text": "and a more disciplined and programmatic approach bringing additional functions into our development efforts."}, {"path": "tedlium_36687.wav", "duration": 5.55, "text": "This demonstrates that our platform can deliver value and efficiency at scale for our advertisers."}, {"path": "tedlium_36688.wav", "duration": 5.55, "text": "Moving on to the remainder of our outlook. We expect"}, {"path": "tedlium_36689.wav", "duration": 5.55, "text": "But we did enter into a partnership with one of the large suppliers"}, {"path": "tedlium_36690.wav", "duration": 5.55, "text": "And we are unique in having the license as a private"}, {"path": "tedlium_36691.wav", "duration": 5.55, "text": "throughout the portfolio that were vacant and available for lease-up"}, {"path": "tedlium_36692.wav", "duration": 5.55, "text": "early benefits. And of course the other side from our perspective is to bring to Manitoba"}, {"path": "tedlium_36693.wav", "duration": 5.55, "text": "put the majority of that capital to work or over what time frame would be your hope or expectation?"}, {"path": "tedlium_36694.wav", "duration": 5.55, "text": "In the quarter, commercial rental revenue was unchanged from the prior year,"}, {"path": "tedlium_36695.wav", "duration": 5.55, "text": "And then on the working capital in terms of the progress, is progress"}, {"path": "tedlium_36696.wav", "duration": 5.55, "text": "including progress on our product road map, status of our revenue pipeline"}, {"path": "tedlium_36697.wav", "duration": 5.55, "text": "In addition, emerging wireless technologies are driving significant wireline deployments."}, {"path": "tedlium_36698.wav", "duration": 5.55, "text": "and we are just getting started launching stronger marketing in conjunction with Amazon."}, {"path": "tedlium_36699.wav", "duration": 5.5499375, "text": "I will now turn the call over to Steve to discuss our financial results in greater detail."}, {"path": "tedlium_36700.wav", "duration": 5.52, "text": "and the Information business segment has been renamed Data Services."}, {"path": "tedlium_36701.wav", "duration": 5.52, "text": "getting our paper mills to make high quality lightweight paper that we use"}, {"path": "tedlium_36702.wav", "duration": 5.52, "text": "continue to believe our shares represent a compelling value at current levels,"}, {"path": "tedlium_36703.wav", "duration": 5.52, "text": "as a marker between now and the end of the year. We may be making adjustments to that."}, {"path": "tedlium_36704.wav", "duration": 5.52, "text": "to seamlessly match risk and capital in the small commercial and consumer segment."}, {"path": "tedlium_36705.wav", "duration": 5.52, "text": "is that our bonus arrangements are driven off of earnings."}, {"path": "tedlium_36706.wav", "duration": 5.52, "text": "Yes, we keep our eyes open for those kind of deals, but I can tell you, we're looking for the"}, {"path": "tedlium_36707.wav", "duration": 5.52, "text": "that I think are going to distort that number as far as just being a pure"}, {"path": "tedlium_36708.wav", "duration": 5.52, "text": "who needs complex IC design to solve their challenges."}, {"path": "tedlium_36709.wav", "duration": 5.52, "text": "resources around. We've had to adapt to that with the new org structure. So"}, {"path": "tedlium_36710.wav", "duration": 5.52, "text": "of which we may get some funding on that we are looking at"}, {"path": "tedlium_36711.wav", "duration": 5.52, "text": "where we've gone from half the number of subjects in the booster compared to"}, {"path": "tedlium_36712.wav", "duration": 5.52, "text": "as well as some residual expenses associated with the closed schools."}, {"path": "tedlium_36713.wav", "duration": 5.52, "text": "I will tell you that what we're seeing is some aspirational prices being asked"}, {"path": "tedlium_36714.wav", "duration": 5.52, "text": "we will be extending its mandate to include other digital services and solutions as well."}, {"path": "tedlium_36715.wav", "duration": 5.52, "text": "Deposit specials or money market specials or something in order to bring in"}, {"path": "tedlium_36716.wav", "duration": 5.52, "text": "The third point I'd like to make is that pipe failure in the oilfield is a serious matter."}, {"path": "tedlium_36717.wav", "duration": 5.52, "text": "Almost all trends were positive in the quarter and each incremental positive movement, however small,"}, {"path": "tedlium_36718.wav", "duration": 5.52, "text": "We do believe there will be a flattening of fuel demand over"}, {"path": "tedlium_36719.wav", "duration": 5.52, "text": "and we're finding through best practices as our teams get together"}, {"path": "tedlium_36720.wav", "duration": 5.52, "text": "This is still a main regulatory pushback for organic growth."}, {"path": "tedlium_36721.wav", "duration": 5.52, "text": "And it's really interesting to watch when these markets get healthy,"}, {"path": "tedlium_36722.wav", "duration": 5.52, "text": "As described in the supplemental income provided in our operating results disclosure,"}, {"path": "tedlium_36723.wav", "duration": 5.52, "text": "they could -- they won't have to necessarily go to fiber. They could continue to deploy"}, {"path": "tedlium_36724.wav", "duration": 5.52, "text": "As most of you know, we do not manufacture any of our products in China."}, {"path": "tedlium_36725.wav", "duration": 5.52, "text": "and it is not the best argument for reducing our cost of risk, but when you're not growing"}, {"path": "tedlium_36726.wav", "duration": 5.52, "text": "And that's why I believe our opportunities are expanding moving forward."}, {"path": "tedlium_36727.wav", "duration": 5.52, "text": "Thus we are able to keep most of our expiring customers unless they outgrow the portfolio."}, {"path": "tedlium_36728.wav", "duration": 5.52, "text": "combined with the fact that we got the royalty agreement, sort of, out with the operator this year"}, {"path": "tedlium_36729.wav", "duration": 5.52, "text": "realize that this transaction closed yesterday. And so from a guidance perspective,"}, {"path": "tedlium_36730.wav", "duration": 5.52, "text": "In addition, revenues of our contract manufacturing services"}, {"path": "tedlium_36731.wav", "duration": 5.52, "text": "It is remarkable for all patients to reach this key time point of 20 months"}, {"path": "tedlium_36732.wav", "duration": 5.52, "text": "We are dedicated to that process and continue to make significant investments in that regard."}, {"path": "tedlium_36733.wav", "duration": 5.52, "text": "And then also coming back to vision and security system, despite the fact that you have carved out some business,"}, {"path": "tedlium_36734.wav", "duration": 5.52, "text": "to confirm that conclusion because of all the items that Bill talked about before. So"}, {"path": "tedlium_36735.wav", "duration": 5.52, "text": "So in this particularly disease category, that's rather significant when you look at the fact that"}, {"path": "tedlium_36736.wav", "duration": 5.52, "text": "You know the -- we have a very, very broad window within our"}, {"path": "tedlium_36737.wav", "duration": 5.52, "text": "In addition, we expect to discuss certain financial measures and information that are non-GAAP measures"}, {"path": "tedlium_36738.wav", "duration": 5.52, "text": "I just wanted to understand if you expect the competitive"}, {"path": "tedlium_36739.wav", "duration": 5.52, "text": "So in summary, we're very pleased with the progress that we're making on our efficiency initiative"}, {"path": "tedlium_36740.wav", "duration": 5.52, "text": "companies as they continue to place automation within their operations. So"}, {"path": "tedlium_36741.wav", "duration": 5.52, "text": "Let's turn now to a discussion of our revenue performance in our geographic regions."}, {"path": "tedlium_36742.wav", "duration": 5.52, "text": "all of our investments in broadcast assets have provided nearly immediate value to shareholders."}, {"path": "tedlium_36743.wav", "duration": 5.52, "text": "It's comparable to the project which we currently already have in Colombia."}, {"path": "tedlium_36744.wav", "duration": 5.52, "text": "send us an e-mail and we will be delighted to respond if time permits."}, {"path": "tedlium_36745.wav", "duration": 5.52, "text": "for our shareholders. We're looking forward to seeing many of you tomorrow. Now I'll turn it over to John."}, {"path": "tedlium_36746.wav", "duration": 5.52, "text": "Or we're spending money on that? Or we're not looking or paying attention to this? So there's a lot of opportunity."}, {"path": "tedlium_36747.wav", "duration": 5.52, "text": "There's no way to avoid this. The only way that you could avoid it would be if you chose to take more risk,"}, {"path": "tedlium_36748.wav", "duration": 5.52, "text": "the biggest single element is we need to make a very substantial reduction."}, {"path": "tedlium_36749.wav", "duration": 5.52, "text": "When you can comfortably pursue material growth opportunities"}, {"path": "tedlium_36750.wav", "duration": 5.52, "text": "we have today initiated a material and sustainable dividend policy."}, {"path": "tedlium_36751.wav", "duration": 5.52, "text": "As you aware, we focus on local value being highly relevant, having a quality offer"}, {"path": "tedlium_36752.wav", "duration": 5.52, "text": "We do continue to press just as aggressively as we've been pressing for the last couple of years on costs."}, {"path": "tedlium_36753.wav", "duration": 5.52, "text": "That's really enabled us to work very closely with them on developing new product."}, {"path": "tedlium_36754.wav", "duration": 5.52, "text": "For the remainder of 2018, we expect to participate only in vertical wells"}, {"path": "tedlium_36755.wav", "duration": 5.52, "text": "We'll take a closer look at each product segment's results later on."}, {"path": "tedlium_36756.wav", "duration": 5.52, "text": "And with all of these new employees, we also ramped up our training efforts at the same time."}, {"path": "tedlium_36757.wav", "duration": 5.52, "text": "has demonstrated anything like the brightness we have in full color with high-pixel density."}, {"path": "tedlium_36758.wav", "duration": 5.52, "text": "If you exclude the PPA impact to get an economic view on our profitability,"}, {"path": "tedlium_36759.wav", "duration": 5.52, "text": "And we additionally filed applications in Georgia, Alabama and Mississippi."}, {"path": "tedlium_36760.wav", "duration": 5.52, "text": "And so as we begin that process, we'll be looking at all aspects of"}, {"path": "tedlium_36761.wav", "duration": 5.52, "text": "And that's probably the best way to think about it as we enter the more inflationary environment."}, {"path": "tedlium_36762.wav", "duration": 5.52, "text": "I will discuss the early experience with ENTYCE in more detail in a few moments."}, {"path": "tedlium_36763.wav", "duration": 5.52, "text": "We are pleased with these accomplishments and the continued expansion of our benchmark homebuilding brand."}, {"path": "tedlium_36764.wav", "duration": 5.52, "text": "working the inventory down and how should we think about margins in the back half of the year?"}, {"path": "tedlium_36765.wav", "duration": 5.52, "text": "if you've had any learning now in going through this where you're really"}, {"path": "tedlium_36766.wav", "duration": 5.52, "text": "I think it also should make it more predictable for you guys to figure out the model,"}, {"path": "tedlium_36767.wav", "duration": 5.52, "text": "a big part of our -- a component of our collections in Europe and now it's becoming so."}, {"path": "tedlium_36768.wav", "duration": 5.52, "text": "And we're seeing the benefit from localization in a big way"}, {"path": "tedlium_36769.wav", "duration": 5.52, "text": "But on its own way, that's good news because it demonstrates the progress that we're making on the restructuring."}, {"path": "tedlium_36770.wav", "duration": 5.52, "text": "These forward-looking statements speak as of today, and you should not rely upon them as representing our views in the future."}, {"path": "tedlium_36771.wav", "duration": 5.52, "text": "speaking the language of the customer, having a global scale and painting a vision for the future."}, {"path": "tedlium_36772.wav", "duration": 5.52, "text": "the cold beverages that we're driving around afternoon made, I think we're feeling good about that. And let me"}, {"path": "tedlium_36773.wav", "duration": 5.52, "text": "return on assets and return on tangible common equity. Return on assets"}, {"path": "tedlium_36774.wav", "duration": 5.52, "text": "the securities yield bouncing back higher. Could you walk through that again and some of the reasons why you're starting to see"}, {"path": "tedlium_36775.wav", "duration": 5.52, "text": "from revenue recognition change based on the sell into the channel?"}, {"path": "tedlium_36776.wav", "duration": 5.52, "text": "for Orica. Nothing is more important than safety, and that is why it's so regrettable"}, {"path": "tedlium_36777.wav", "duration": 5.52, "text": "and now the second quarter is the opposite phenomenon. So plate was high first quarter,"}, {"path": "tedlium_36778.wav", "duration": 5.52, "text": "So 1 is our ecosystem. And N means"}, {"path": "tedlium_36779.wav", "duration": 5.52, "text": "the jetty and related facilities for refined products."}, {"path": "tedlium_36780.wav", "duration": 5.52, "text": "I don't think that is going to be something holding back. I think it's more going to be related to"}, {"path": "tedlium_36781.wav", "duration": 5.52, "text": "Healthcare reform and minimum wage continue to be hot topics in the industry today."}, {"path": "tedlium_36782.wav", "duration": 5.52, "text": "it came out really, really weak and I think that's from the standpoint"}, {"path": "tedlium_36783.wav", "duration": 5.52, "text": "was driven by robust demand for new 3D inspection systems and sensors."}, {"path": "tedlium_36784.wav", "duration": 5.52, "text": "amendments to their contracted position that's resulting in this margin pressure?"}, {"path": "tedlium_36785.wav", "duration": 5.52, "text": "with a recognition that we have to be able to make changes"}, {"path": "tedlium_36786.wav", "duration": 5.52, "text": "In closing, I would like to express my sincere thanks to our shareholders and supporters"}, {"path": "tedlium_36787.wav", "duration": 5.52, "text": "and it's very obvious that Allergan is making a significant commitment"}, {"path": "tedlium_36788.wav", "duration": 5.52, "text": "In short, these events did not meaningfully disrupt our operations or affect our margins."}, {"path": "tedlium_36789.wav", "duration": 5.52, "text": "the best quarterly organic net new active number in PayPal's history."}, {"path": "tedlium_36790.wav", "duration": 5.52, "text": "Let me also apologize for the delay in our press release crossing the wire this afternoon."}, {"path": "tedlium_36791.wav", "duration": 5.52, "text": "a good way to think about the full year or should we think about being maybe above that range?"}, {"path": "tedlium_36792.wav", "duration": 5.52, "text": "We note that this guidance raise is inclusive of the impact of some of the tariffs"}, {"path": "tedlium_36793.wav", "duration": 5.52, "text": "That continues the trend that we've seen now for a number of years with the Qantas Group"}, {"path": "tedlium_36794.wav", "duration": 5.52, "text": "ball sports seasons. So maybe you could just talk a little bit about some of these"}, {"path": "tedlium_36795.wav", "duration": 5.52, "text": "What we see is customers -- our customers do not want to expand their manufacturing footprint."}, {"path": "tedlium_36796.wav", "duration": 5.52, "text": "but I don't see us having an issue with hanging in the 2% range"}, {"path": "tedlium_36797.wav", "duration": 5.52, "text": "wanted to see if you could give a little bit more color in terms of the relative"}, {"path": "tedlium_36798.wav", "duration": 5.52, "text": "in our revenue mix to one that's more recurring in nature and, therefore, more predictable over the long run."}, {"path": "tedlium_36799.wav", "duration": 5.52, "text": "We do not expect this filing to provide any new material information for investors."}, {"path": "tedlium_36800.wav", "duration": 5.52, "text": "I am very proud to be a member of this winning team."}, {"path": "tedlium_36801.wav", "duration": 5.52, "text": "is in a relatively low earnings quarter, it has a slightly bigger impact."}, {"path": "tedlium_36802.wav", "duration": 5.52, "text": "with somewhat a softer approach in terms of the look and feel of our marketing campaigns."}, {"path": "tedlium_36803.wav", "duration": 5.52, "text": "This is, of course, very important and something that we're going to continue really drive going forward."}, {"path": "tedlium_36804.wav", "duration": 5.52, "text": "and relatively less when the share price is higher. Now looking at the segments."}, {"path": "tedlium_36805.wav", "duration": 5.52, "text": "But we are also confident in being able to grow share with not only the existing customers"}, {"path": "tedlium_36806.wav", "duration": 5.52, "text": "We expect to announce significant improvements to the performance specifications"}, {"path": "tedlium_36807.wav", "duration": 5.52, "text": "we need to make our offerings more convenient."}, {"path": "tedlium_36808.wav", "duration": 5.52, "text": "amount of money and capacity in time to develop. But either way, we don't see anything"}, {"path": "tedlium_36809.wav", "duration": 5.52, "text": "Extensive proprietary studies and joint industry projects have shown great promise"}, {"path": "tedlium_36810.wav", "duration": 5.52, "text": "These loans can be repaid without penalty a few months in advance of maturity later in the year."}, {"path": "tedlium_36811.wav", "duration": 5.52, "text": "Growth at all levels. This is precisely the position we're working to put ourselves in,"}, {"path": "tedlium_36812.wav", "duration": 5.52, "text": "That concludes our prepared remarks. So with that, I'll turn it back to the operator for your questions."}, {"path": "tedlium_36813.wav", "duration": 5.52, "text": "During today's call, representatives of the company will make a number of statements that are forward-looking,"}, {"path": "tedlium_36814.wav", "duration": 5.52, "text": "yes. I mean, it's never a good idea to force investors to"}, {"path": "tedlium_36815.wav", "duration": 5.52, "text": "We probably have 2 or 3 other ones that we think will be involved in RFPs sometime between"}, {"path": "tedlium_36816.wav", "duration": 5.52, "text": "will then be put on audio and video in the Internet."}, {"path": "tedlium_36817.wav", "duration": 5.52, "text": "Okay. And just maybe a last one on Aerospace."}, {"path": "tedlium_36818.wav", "duration": 5.52, "text": "assumed neutral on essentially a 0 change in working capital requirements."}, {"path": "tedlium_36819.wav", "duration": 5.52, "text": "In the government fee for service market, we implemented a new state preferred drug list program."}, {"path": "tedlium_36820.wav", "duration": 5.52, "text": "coming back to your question concerning internationalization,"}, {"path": "tedlium_36821.wav", "duration": 5.52, "text": "It's important to note that while we have a strong order book, there are pockets of weakness in the economy,"}, {"path": "tedlium_36822.wav", "duration": 5.52, "text": "strong and systematic efforts and good work in Brazil."}, {"path": "tedlium_36823.wav", "duration": 5.52, "text": "First, as you saw in the release, we posted record levels of revenue and broadcast cash flow"}, {"path": "tedlium_36824.wav", "duration": 5.52, "text": "Basic strategy was also presented when we announced a mid-term plan."}, {"path": "tedlium_36825.wav", "duration": 5.52, "text": "And I think it opens up for very interesting potential additional income ideas."}, {"path": "tedlium_36826.wav", "duration": 5.52, "text": "Is there any way you can quantify what that might be or give us a range or anything like"}, {"path": "tedlium_36827.wav", "duration": 5.52, "text": "second half bumps along the way or do you think you really started to get your footing here?"}, {"path": "tedlium_36828.wav", "duration": 5.52, "text": "In other words, if demand for capacity is expected to remain sluggish and pricing improvement is muted,"}, {"path": "tedlium_36829.wav", "duration": 5.52, "text": "Then on fuel, can you repeat specifically what your question is?"}, {"path": "tedlium_36830.wav", "duration": 5.52, "text": "Let me now provide some color on regional performance for both revenue and margins."}, {"path": "tedlium_36831.wav", "duration": 5.52, "text": "So without getting into specific details on where we might be cutting trade spend or"}, {"path": "tedlium_36832.wav", "duration": 5.52, "text": "and potential of Compugen. Since this is one of the pillars"}, {"path": "tedlium_36833.wav", "duration": 5.52, "text": "because of the allocation of our operation companies instead of the holding."}, {"path": "tedlium_36834.wav", "duration": 5.52, "text": "And so we did not buy into that space. It's overpriced significantly."}, {"path": "tedlium_36835.wav", "duration": 5.52, "text": "which was delayed slightly in the first quarter and has now begun shipping."}, {"path": "tedlium_36836.wav", "duration": 5.52, "text": "one is development fee and the second one is a management fee"}, {"path": "tedlium_36837.wav", "duration": 5.52, "text": "We've also had the benefit of adding"}, {"path": "tedlium_36838.wav", "duration": 5.52, "text": "will be gradually widening as we continue to improve our profitability."}, {"path": "tedlium_36839.wav", "duration": 5.52, "text": "And we will keep building and operating best-in-class infrastructure in the best places in the country."}, {"path": "tedlium_36840.wav", "duration": 5.52, "text": "And then also while we're at it, the timing and ramping of the one but not yet funded pipeline"}, {"path": "tedlium_36841.wav", "duration": 5.52, "text": "have occurred and started in earnest with a combination of"}, {"path": "tedlium_36842.wav", "duration": 5.52, "text": "in terms of looking at the -- how well a company is doing in terms of revenue"}, {"path": "tedlium_36843.wav", "duration": 5.52, "text": "the driver behind that were these factors that I saw and it was particularly in February,"}, {"path": "tedlium_36844.wav", "duration": 5.52, "text": "I would like to turn the conference back over to John Chironna for any closing remarks."}, {"path": "tedlium_36845.wav", "duration": 5.52, "text": "Well, you know how important Las Vegas is to Southwest. And"}, {"path": "tedlium_36846.wav", "duration": 5.52, "text": "As an organization, our purpose is to bring energy to life. So what does this mean?"}, {"path": "tedlium_36847.wav", "duration": 5.52, "text": "Thanks, Vic. And I'd like to take this opportunity to say how excited I am to be joining Immersion."}, {"path": "tedlium_36848.wav", "duration": 5.52, "text": "We already have the strategy practically in place. And our process of"}, {"path": "tedlium_36849.wav", "duration": 5.52, "text": "It's difficult to see all the evidence of that just yet,"}, {"path": "tedlium_36850.wav", "duration": 5.52, "text": "the productivity of the front office. And we have last year substantially enlarged"}, {"path": "tedlium_36851.wav", "duration": 5.52, "text": "Gross profit decreased slightly as a percentage of adjusted net sales, primarily from"}, {"path": "tedlium_36852.wav", "duration": 5.52, "text": "pretty rapidly right now, and I would imagine you'll be talking to your investors in the coming weeks and months."}, {"path": "tedlium_36853.wav", "duration": 5.52, "text": "Now I will turn the call over to Gary Heminger for opening remarks and highlights. Gary?"}, {"path": "tedlium_36854.wav", "duration": 5.52, "text": "Whilst water and industrial grew in line with the division as a whole, power declined."}, {"path": "tedlium_36855.wav", "duration": 5.52, "text": "I believe we had lost our way on many of these factors over the last year or so and are"}, {"path": "tedlium_36856.wav", "duration": 5.52, "text": "that shows the accretiveness of that transaction of 5% to 10%. But beyond that can't give you any"}, {"path": "tedlium_36857.wav", "duration": 5.52, "text": "as the net decline in fair value more than offset the core earnings for the quarter."}, {"path": "tedlium_36858.wav", "duration": 5.52, "text": "Based on industry data for the months of January and February and our company estimates for the month of March,"}, {"path": "tedlium_36859.wav", "duration": 5.52, "text": "advantage of the current environment. But overall, we are seeing a more challenging environment, which I think will"}, {"path": "tedlium_36860.wav", "duration": 5.52, "text": "and the value is really difficult for us to get our hands on."}, {"path": "tedlium_36861.wav", "duration": 5.52, "text": "So is there a bit of this project selectivity playbook that you're running?"}, {"path": "tedlium_36862.wav", "duration": 5.52, "text": "in -- for price this year for the business where it's relevant? I think it's probably"}, {"path": "tedlium_36863.wav", "duration": 5.5199375, "text": "beyond what we're willing to pay because they have other reasons to try to get bigger via that route."}, {"path": "tedlium_36864.wav", "duration": 5.4900625, "text": "current active pipeline and work on the current portfolio"}, {"path": "tedlium_36865.wav", "duration": 5.49, "text": "And the emergence of white box transceivers promises to fill that void."}, {"path": "tedlium_36866.wav", "duration": 5.49, "text": "it's just one of those that has a little more leakage to it than I would like to do, so that's why we call it kind of"}, {"path": "tedlium_36867.wav", "duration": 5.49, "text": "The automation also frees up more time for our compliance staff to focus on more complex tasks."}, {"path": "tedlium_36868.wav", "duration": 5.49, "text": "Based on this initial strong demand, we expect great things in the immediate future."}, {"path": "tedlium_36869.wav", "duration": 5.49, "text": "As those equity proceeds are invested and as we move to utilize at least a portion"}, {"path": "tedlium_36870.wav", "duration": 5.49, "text": "some investments are needed, and I've talked about these in the past. Just to outline a few of them."}, {"path": "tedlium_36871.wav", "duration": 5.49, "text": "clinically meaningful reduction in the number of bleeds."}, {"path": "tedlium_36872.wav", "duration": 5.49, "text": "Isn't -- in reality, isn't the reason you're doing that because you need the cash to pay the hybrid?"}, {"path": "tedlium_36873.wav", "duration": 5.49, "text": "although we expect CapEx to be some tens of millions lower again."}, {"path": "tedlium_36874.wav", "duration": 5.49, "text": "of the booster vaccine at Week 0. And these are the data that we've previously reported."}, {"path": "tedlium_36875.wav", "duration": 5.49, "text": "who had a weak immune response, for those who were lower than the median"}, {"path": "tedlium_36876.wav", "duration": 5.49, "text": "If you just look at the core business back on the topic of green shoots,"}, {"path": "tedlium_36877.wav", "duration": 5.49, "text": "key indicators are you waiting for that might suggest that pricing pressures are finally lifting?"}, {"path": "tedlium_36878.wav", "duration": 5.49, "text": "that the evolution of the core operating income was very sustainable"}, {"path": "tedlium_36879.wav", "duration": 5.49, "text": "I would like to make a few comments on operating profit at the bottom."}, {"path": "tedlium_36880.wav", "duration": 5.49, "text": "Thank you, Sandra, and thanks to all of you for taking the time to participate on our call today."}, {"path": "tedlium_36881.wav", "duration": 5.49, "text": "so that had an impact. So all of those things kind of pull together to make a perfect storm."}, {"path": "tedlium_36882.wav", "duration": 5.49, "text": "So the engagement is extremely high globally."}, {"path": "tedlium_36883.wav", "duration": 5.49, "text": "Connect is such a powerful platform, and we have seen the positive impact on retention."}, {"path": "tedlium_36884.wav", "duration": 5.49, "text": "Third quarter is typically a stronger quarter, and it's pretty consistent with what it was last year."}, {"path": "tedlium_36885.wav", "duration": 5.49, "text": "We also announced key leadership and organizational changes. Alan White and I"}, {"path": "tedlium_36886.wav", "duration": 5.49, "text": "any impact on the market from the new supply out of Big River Steel at this point?"}, {"path": "tedlium_36887.wav", "duration": 5.49, "text": "And despite the product challenges that we have had with Physio-Control and Sage,"}, {"path": "tedlium_36888.wav", "duration": 5.49, "text": "We expect working capital to improve in the coming quarters"}, {"path": "tedlium_36889.wav", "duration": 5.49, "text": "or you start reducing that from your net interest income line"}, {"path": "tedlium_36890.wav", "duration": 5.49, "text": "some of the tax laws and some of the other things going on, and some of depreciation and"}, {"path": "tedlium_36891.wav", "duration": 5.49, "text": "our overall fall protection backlog was about 40% higher at the end of the first quarter"}, {"path": "tedlium_36892.wav", "duration": 5.49, "text": "These statements are not guarantees of our future performance, financial condition or results"}, {"path": "tedlium_36893.wav", "duration": 5.49, "text": "a home appliance company we invested in underwent restructuring,"}, {"path": "tedlium_36894.wav", "duration": 5.49, "text": "foreign players cannot dominate."}, {"path": "tedlium_36895.wav", "duration": 5.49, "text": "Here's just a few of the specifics to give you a feel for where our confidence is coming from."}, {"path": "tedlium_36896.wav", "duration": 5.49, "text": "Second, we expect to grow in our traditional customer groups and we will move beyond them."}, {"path": "tedlium_36897.wav", "duration": 5.49, "text": "I would say that we are pleasantly surprised at the cultural"}, {"path": "tedlium_36898.wav", "duration": 5.49, "text": "I have a question about your segmented reporting. So you have the Jamieson Brands"}, {"path": "tedlium_36899.wav", "duration": 5.49, "text": "that we will be doing shortly. This will lead to discussions with"}, {"path": "tedlium_36900.wav", "duration": 5.49, "text": "a big trough model we have today to an equal flow model,"}, {"path": "tedlium_36901.wav", "duration": 5.49, "text": "While it's not clear how incentives will be structured for electric distribution networks at this time,"}, {"path": "tedlium_36902.wav", "duration": 5.49, "text": "We have implemented the provisions of the accounting standard under the modified retrospective method. The"}, {"path": "tedlium_36903.wav", "duration": 5.49, "text": "in the fourth quarter of last year. Our first phase was back during the big recession,"}, {"path": "tedlium_36904.wav", "duration": 5.49, "text": "stemming from actions we are taking to shape the business for our long-term success."}, {"path": "tedlium_36905.wav", "duration": 5.49, "text": "Advisory business, where we have seen some bigger transactions"}, {"path": "tedlium_36906.wav", "duration": 5.49, "text": "cost development for the remainder of the year are on the one hand,"}, {"path": "tedlium_36907.wav", "duration": 5.49, "text": "And having deeper integrations, better access to that"}, {"path": "tedlium_36908.wav", "duration": 5.49, "text": "Behind the scenes, somebody could be thinking that way, but we don't see it as a dominant factor."}, {"path": "tedlium_36909.wav", "duration": 5.49, "text": "As many of you know, this definition was derived in conjunction with the NEPTUNE Consortium"}, {"path": "tedlium_36910.wav", "duration": 5.49, "text": "While we are proud of the significant progress we have made in our margins in the past several quarters,"}, {"path": "tedlium_36911.wav", "duration": 5.49, "text": "In the left, we can see the international activity. Main building in the international"}, {"path": "tedlium_36912.wav", "duration": 5.49, "text": "and the statistics regarding the portfolio. With that, let me turn the call over to Mays."}, {"path": "tedlium_36913.wav", "duration": 5.49, "text": "We believe we've made great progress on the strategy that we've implemented."}, {"path": "tedlium_36914.wav", "duration": 5.49, "text": "And so you should have the ability to identify where the specific credit risks are."}, {"path": "tedlium_36915.wav", "duration": 5.49, "text": "a lot of variable costs associated with the termination portion of it."}, {"path": "tedlium_36916.wav", "duration": 5.49, "text": "But really, when you get into managing the business and understanding how that eventually yields margins,"}, {"path": "tedlium_36917.wav", "duration": 5.49, "text": "So I think we put on something like 300 loans in the third quarter"}, {"path": "tedlium_36918.wav", "duration": 5.49, "text": "throughout the whole year. We're not seeing price compression in the core channel. So it really came from the new channels."}, {"path": "tedlium_36919.wav", "duration": 5.49, "text": "The other effect is I think you see that we have actually run down our commercial paper,"}, {"path": "tedlium_36920.wav", "duration": 5.49, "text": "wind generation for the remainder of the year based on 5 years of historic levels"}, {"path": "tedlium_36921.wav", "duration": 5.49, "text": "and will be the same thing there, which is preclude them from being a part of the arbitration"}, {"path": "tedlium_36922.wav", "duration": 5.49, "text": "And gas utilities should continue with their modernization and integrity projects."}, {"path": "tedlium_36923.wav", "duration": 5.49, "text": "I'm happy to say that in the third quarter, we made progress in all 3 areas."}, {"path": "tedlium_36924.wav", "duration": 5.49, "text": "Airlines throughout the world are experiencing growing demand and reporting strong profits."}, {"path": "tedlium_36925.wav", "duration": 5.49, "text": "but we understand that the Ministry is going to"}, {"path": "tedlium_36926.wav", "duration": 5.49, "text": "limited number of depository institutions in the Chicago marketplace"}, {"path": "tedlium_36927.wav", "duration": 5.49, "text": "I need to remind you that certain comments made during this call may constitute forward-looking statements"}, {"path": "tedlium_36928.wav", "duration": 5.49, "text": "So we're very careful. Everything we do in the company is driven by"}, {"path": "tedlium_36929.wav", "duration": 5.49, "text": "away from a very complex regional and line of business organization"}, {"path": "tedlium_36930.wav", "duration": 5.49, "text": "And with that, I'll turn the discussion back over to Stan for some closing remarks."}, {"path": "tedlium_36931.wav", "duration": 5.49, "text": "accelerate that with our amazing distribution team and all the deep customer relationships we've had"}, {"path": "tedlium_36932.wav", "duration": 5.49, "text": "are attracted to having Teekay own and operate their infrastructure assets"}, {"path": "tedlium_36933.wav", "duration": 5.49, "text": "just a matter of getting vehicles there that can use the LNG infrastructure that's already in place."}, {"path": "tedlium_36934.wav", "duration": 5.49, "text": "Expanding our product categories is another component of our retail growth strategy."}, {"path": "tedlium_36935.wav", "duration": 5.49, "text": "the embedded supply chain benefits and sustained investment in the Spekko brand will support"}, {"path": "tedlium_36936.wav", "duration": 5.49, "text": "However, Hanjin's travails may also serve as a useful wake-up call for the industry"}, {"path": "tedlium_36937.wav", "duration": 5.49, "text": "outstanding customer and vendor relationships and excellent customer service."}, {"path": "tedlium_36938.wav", "duration": 5.49, "text": "On point one, many cancers have a high mutational burden,"}, {"path": "tedlium_36939.wav", "duration": 5.49, "text": "As noted in the Form 10-K, we have taken a number of steps to alleviate our liquidity situation,"}, {"path": "tedlium_36940.wav", "duration": 5.49, "text": "although we are still confident they may soon turn into awards."}, {"path": "tedlium_36941.wav", "duration": 5.49, "text": "As you well know, the sector is going through a severe crisis,"}, {"path": "tedlium_36942.wav", "duration": 5.49, "text": "once we go to the market. We believe that this is going to be an event that's probably going to"}, {"path": "tedlium_36943.wav", "duration": 5.49, "text": "we settled some claims in Q1 of this year that relates to the past"}, {"path": "tedlium_36944.wav", "duration": 5.49, "text": "an attractive proposition over current standard of care based on the market research we've completed."}, {"path": "tedlium_36945.wav", "duration": 5.49, "text": "this category. And I think the reason I mention all that is if you take that blueprint"}, {"path": "tedlium_36946.wav", "duration": 5.49, "text": "is sort of an achievable aspiration given the areas of the business where you want to continue to invest?"}, {"path": "tedlium_36947.wav", "duration": 5.49, "text": "Factors that could cause actual results to differ materially from management's current expectations"}, {"path": "tedlium_36948.wav", "duration": 5.49, "text": "These statements are not guarantees of our future performance, financial condition or results"}, {"path": "tedlium_36949.wav", "duration": 5.49, "text": "as well as with new opportunities for integrating multiple dies into a single die"}, {"path": "tedlium_36950.wav", "duration": 5.49, "text": "in order to accomplish that, we're going to need to improve across all of our businesses within claims."}, {"path": "tedlium_36951.wav", "duration": 5.49, "text": "since we believe a significant portion of our customers are below target utilization levels."}, {"path": "tedlium_36952.wav", "duration": 5.49, "text": "to mitigate the continued impact of competitive factors on net interest margin over the near term."}, {"path": "tedlium_36953.wav", "duration": 5.49, "text": "The power outage severity environment remained very low during the quarter, but was consistent with our previous guidance."}, {"path": "tedlium_36954.wav", "duration": 5.49, "text": "we believe that pharma will continue to fund them aggressively. We think that they have"}, {"path": "tedlium_36955.wav", "duration": 5.49, "text": "These declines were partially offset by positive revenue trends in Gannett's digital products,"}, {"path": "tedlium_36956.wav", "duration": 5.49, "text": "Just with the throughput, can you see that going up to the 60,000 tons"}, {"path": "tedlium_36957.wav", "duration": 5.49, "text": "even though for these clients we may choose to remain their primary, in fact,"}, {"path": "tedlium_36958.wav", "duration": 5.49, "text": "Recent actuarial valuation reviews have resulted in a reserve release,"}, {"path": "tedlium_36959.wav", "duration": 5.49, "text": "Distribution for this product is building with trials now in place at a growing number of Bunnings stores."}, {"path": "tedlium_36960.wav", "duration": 5.49, "text": "I am very pleased to report that we returned to growth this quarter."}, {"path": "tedlium_36961.wav", "duration": 5.49, "text": "licensed merchandise and accessories to all major retailers across the region."}, {"path": "tedlium_36962.wav", "duration": 5.49, "text": "This is especially impressive since Mikes renovated 7 restaurants during the quarter."}, {"path": "tedlium_36963.wav", "duration": 5.49, "text": "may -- which might be spent in the second half of this year and which were not spent"}, {"path": "tedlium_36964.wav", "duration": 5.49, "text": "Now if we look at the full year fiscal '19 outlook and you can turn to Slide 8 for that."}, {"path": "tedlium_36965.wav", "duration": 5.49, "text": "At some future time, it might be the time to do that. So I just wanted to"}, {"path": "tedlium_36966.wav", "duration": 5.49, "text": "The first one is the fact of increasing geopolitical risks."}, {"path": "tedlium_36967.wav", "duration": 5.49, "text": "is the tax rate you are expecting for this financial year -- for the final year of the medium-term"}, {"path": "tedlium_36968.wav", "duration": 5.49, "text": "relative performance or is this actually a tangible driver of your Asian sales?"}, {"path": "tedlium_36969.wav", "duration": 5.49, "text": "We have a significant amount of above market rates and unused commitments back if restructured,"}, {"path": "tedlium_36970.wav", "duration": 5.49, "text": "offset some of the cost of that as customers are changing their behavior. So"}, {"path": "tedlium_36971.wav", "duration": 5.49, "text": "while committing to further net cost reductions at the same time,"}, {"path": "tedlium_36972.wav", "duration": 5.49, "text": "Like what should we think about in terms of the additional interest ENB would have in that project?"}, {"path": "tedlium_36973.wav", "duration": 5.49, "text": "to finish up some of the smaller items and tankage and some other things on our Eastern Access project"}, {"path": "tedlium_36974.wav", "duration": 5.49, "text": "that then informs a strategy that cuts across our entire organization. And so while"}, {"path": "tedlium_36975.wav", "duration": 5.49, "text": "we are running our business debt-free and with a considerable cash position,"}, {"path": "tedlium_36976.wav", "duration": 5.49, "text": "will be lowered to a range of 17% to 19% based on our current business profile."}, {"path": "tedlium_36977.wav", "duration": 5.49, "text": "we can say that the number and quality of third-party inbound inquiries and discussions"}, {"path": "tedlium_36978.wav", "duration": 5.49, "text": "or discoveries, and the acreage capture that we've been able to pick up"}, {"path": "tedlium_36979.wav", "duration": 5.49, "text": "Each of these services are offered on the cloud. In other words,"}, {"path": "tedlium_36980.wav", "duration": 5.49, "text": "significant lead, if you will, because of the existing components that are deployed,"}, {"path": "tedlium_36981.wav", "duration": 5.49, "text": "and Kirk serves as the President of Brand Solutions at Google."}, {"path": "tedlium_36982.wav", "duration": 5.49, "text": "So we are going to be taking a look at it across where our growth targets are,"}, {"path": "tedlium_36983.wav", "duration": 5.49, "text": "I will go into more detail on my initial observations later in the call."}, {"path": "tedlium_36984.wav", "duration": 5.49, "text": "which is generally consistent with the 3-year-out figures we typically present on this call each year."}, {"path": "tedlium_36985.wav", "duration": 5.49, "text": "Our priority now will be to reinvest to further savings behind improved volume growth."}, {"path": "tedlium_36986.wav", "duration": 5.49, "text": "the first quarter is consistently the weakest quarter performance of the year."}, {"path": "tedlium_36987.wav", "duration": 5.49, "text": "we just want to make sure that it's in environments and we're surrounded by"}, {"path": "tedlium_36988.wav", "duration": 5.49, "text": "So there are some risks though none of them have materialized yet."}, {"path": "tedlium_36989.wav", "duration": 5.49, "text": "diligence process and preclose. But then you're saying"}, {"path": "tedlium_36990.wav", "duration": 5.49, "text": "As far as the sort of charges, I think we're largely beyond the charges. As far as the benefits,"}, {"path": "tedlium_36991.wav", "duration": 5.49, "text": "and the continued expansion of our installed base and higher device utilization."}, {"path": "tedlium_36992.wav", "duration": 5.49, "text": "The strength of our platform provides customers with a full range of service options"}, {"path": "tedlium_36993.wav", "duration": 5.49, "text": "Last but not least, we also here are communicating on"}, {"path": "tedlium_36994.wav", "duration": 5.49, "text": "taking all comers, and perhaps stratifying for presence or absence"}, {"path": "tedlium_36995.wav", "duration": 5.49, "text": "And so far, our approach has been more to create a good place to stay versus"}, {"path": "tedlium_36996.wav", "duration": 5.49, "text": "We have completed our review of Media, and I'll come back to that later"}, {"path": "tedlium_36997.wav", "duration": 5.49, "text": "integration or data flows can be registered as services in the catalog."}, {"path": "tedlium_36998.wav", "duration": 5.49, "text": "In addition, Phoenix Life continues to execute value-added"}, {"path": "tedlium_36999.wav", "duration": 5.49, "text": "and their people are very professional and very good. So we're"}, {"path": "tedlium_37000.wav", "duration": 5.49, "text": "We've been focusing on locking in new leases earlier on to take advantage of the good terms currently available."}, {"path": "tedlium_37001.wav", "duration": 5.49, "text": "expense that we need to keep in mind with AIS? Or are we all done with that next quarter?"}, {"path": "tedlium_37002.wav", "duration": 5.49, "text": "under our expectations, and I think you're right in terms of the kind of gap"}, {"path": "tedlium_37003.wav", "duration": 5.49, "text": "whereas both market and counterparty risk benefited from lower volatility in the financial markets."}, {"path": "tedlium_37004.wav", "duration": 5.49, "text": "And so we have seen, as we've gone back for half a decade, a decade or more,"}, {"path": "tedlium_37005.wav", "duration": 5.49, "text": "And so we clearly do that to protect what I see as the downside."}, {"path": "tedlium_37006.wav", "duration": 5.49, "text": "basically made whole for many lower purchase price we get because"}, {"path": "tedlium_37007.wav", "duration": 5.49, "text": "an example of which you see on the right side of the slide."}, {"path": "tedlium_37008.wav", "duration": 5.49, "text": "In addition, we have identified new opportunities to improve our integrated business capabilities"}, {"path": "tedlium_37009.wav", "duration": 5.49, "text": "to move forward in some of these initiatives that we're talking about today or we're talking about right now"}, {"path": "tedlium_37010.wav", "duration": 5.49, "text": "So we're being more aggressive there and delivering our value proposition."}, {"path": "tedlium_37011.wav", "duration": 5.49, "text": "and provide a personalized experience for each subscribers and leverage"}, {"path": "tedlium_37012.wav", "duration": 5.49, "text": "Selling cheap at early days has been a bad habit of the industry for numerous years."}, {"path": "tedlium_37013.wav", "duration": 5.49, "text": "And I'm just wondering, assuming there is no global recession in the next few years,"}, {"path": "tedlium_37014.wav", "duration": 5.49, "text": "Similarly, we are adjusting our gross and operating margin ranges up 50 basis points,"}, {"path": "tedlium_37015.wav", "duration": 5.49, "text": "be further catalyst to generate meaningful customer account and receivables growth."}, {"path": "tedlium_37016.wav", "duration": 5.49, "text": "For July, we hope to provide you with clarity on our priorities and plan."}, {"path": "tedlium_37017.wav", "duration": 5.49, "text": "continues to attract brokers and prospective tenants."}, {"path": "tedlium_37018.wav", "duration": 5.49, "text": "will be a game changer for our company going forward. Turning to Media,"}, {"path": "tedlium_37019.wav", "duration": 5.49, "text": "coincidence on timing than anything else that some of the bigger deals have happened when they have."}, {"path": "tedlium_37020.wav", "duration": 5.49, "text": "So I think we're going to take care of our customers and the growth opportunities,"}, {"path": "tedlium_37021.wav", "duration": 5.49, "text": "can you guys give us a sense, do you have the numbers available of"}, {"path": "tedlium_37022.wav", "duration": 5.49, "text": "Brian will provide more color by segment in just a few minutes."}, {"path": "tedlium_37023.wav", "duration": 5.49, "text": "And what does demand look like and what is the profile of patients being treated,"}, {"path": "tedlium_37024.wav", "duration": 5.49, "text": "all products available to reduce the scours incidence on the farm."}, {"path": "tedlium_37025.wav", "duration": 5.49, "text": "Our focus on marketing to expand our reach to more consumers."}, {"path": "tedlium_37026.wav", "duration": 5.4600625, "text": "Last week, we announced our support of the DEA's National Drug Take Back"}, {"path": "tedlium_37027.wav", "duration": 5.46, "text": "This concludes today's teleconference. You may disconnect your lines at this time, and have a great day."}, {"path": "tedlium_37028.wav", "duration": 5.46, "text": "Okay. And then as far as what you're going to be adding to their bags some of these"}, {"path": "tedlium_37029.wav", "duration": 5.46, "text": "And just by the nature of their business, the numbers of"}, {"path": "tedlium_37030.wav", "duration": 5.46, "text": "And so I'm kind of back to more of a normal mid-cycle in my own thinking in terms of that."}, {"path": "tedlium_37031.wav", "duration": 5.46, "text": "I realize that there's a lot of negativity around manufacturing,"}, {"path": "tedlium_37032.wav", "duration": 5.46, "text": "Now I'll turn it over to Steve to provide more details on our fiscal '17 performance"}, {"path": "tedlium_37033.wav", "duration": 5.46, "text": "you have quite a bit of an aggressive plan to hire additional headcount. And from"}, {"path": "tedlium_37034.wav", "duration": 5.46, "text": "which will be referred to as cash balances for the remainder of today's discussion."}, {"path": "tedlium_37035.wav", "duration": 5.46, "text": "Refined products transportation volumes on our wholly-owned and joint venture pipelines"}, {"path": "tedlium_37036.wav", "duration": 5.46, "text": "What has changed since early this year is the general sentiment of the market"}, {"path": "tedlium_37037.wav", "duration": 5.46, "text": "and will allow us to attract and retain higher caliber managers in the future."}, {"path": "tedlium_37038.wav", "duration": 5.46, "text": "Our sales and marketing campaigns around our enhanced capabilities have just begun,"}, {"path": "tedlium_37039.wav", "duration": 5.46, "text": "how do we build our platforms in each of those verticals to give us more scale benefits"}, {"path": "tedlium_37040.wav", "duration": 5.46, "text": "with where we are. And certainly, as you think about the base growth and our ability to effectively"}, {"path": "tedlium_37041.wav", "duration": 5.46, "text": "while continuing to improve profitability and operating cash flow."}, {"path": "tedlium_37042.wav", "duration": 5.46, "text": "all with a focus on improving our margin and creating a more customer-centric environment."}, {"path": "tedlium_37043.wav", "duration": 5.46, "text": "Our new combined sales team is performing even better than we expected."}, {"path": "tedlium_37044.wav", "duration": 5.46, "text": "in the teams that we have out there. So these are very good businesses. We're very pleased to have acquired them."}, {"path": "tedlium_37045.wav", "duration": 5.46, "text": "We have adopted a dividend policy effective March 1 that we believe achieves the following."}, {"path": "tedlium_37046.wav", "duration": 5.46, "text": "Our expectations haven't changed. We still have a lot of work that we're doing with them."}, {"path": "tedlium_37047.wav", "duration": 5.46, "text": "Looking at the land and land development bucket on the balance sheet,"}, {"path": "tedlium_37048.wav", "duration": 5.46, "text": "Finally, I'd like to thank all of our team members for a job well done this quarter."}, {"path": "tedlium_37049.wav", "duration": 5.46, "text": "As for the life cycle of beverage products,"}, {"path": "tedlium_37050.wav", "duration": 5.46, "text": "Looking ahead, we continue to evaluate strategies to grow in the Netherlands."}, {"path": "tedlium_37051.wav", "duration": 5.46, "text": "So there's still confidence and lots of confidence in this strategy announced"}, {"path": "tedlium_37052.wav", "duration": 5.46, "text": "Distributions sales are expected to be down slightly for the year, given current market conditions."}, {"path": "tedlium_37053.wav", "duration": 5.46, "text": "we will be reporting non-GAAP adjusted revenue and related measures for the prior-year periods."}, {"path": "tedlium_37054.wav", "duration": 5.46, "text": "But has that changed at all to include maybe Atlanta or something like that?"}, {"path": "tedlium_37055.wav", "duration": 5.46, "text": "I mean today, you have an advantage that not all competitors have."}, {"path": "tedlium_37056.wav", "duration": 5.46, "text": "on the excellent e-commerce performance of the company."}, {"path": "tedlium_37057.wav", "duration": 5.46, "text": "I think that the large part of that decline"}, {"path": "tedlium_37058.wav", "duration": 5.46, "text": "Market penetration of our technology at least in the hands of one consortia member, if not more"}, {"path": "tedlium_37059.wav", "duration": 5.46, "text": "priority one. From more specifics at the integration level, think about it at a"}, {"path": "tedlium_37060.wav", "duration": 5.46, "text": "And the fact of the matter is an owner today is fortunate if he gets 2 bids"}, {"path": "tedlium_37061.wav", "duration": 5.46, "text": "We need to constantly question our business model and how we operate."}, {"path": "tedlium_37062.wav", "duration": 5.46, "text": "The increase in net loss attributable to common stockholders for the 9 month period"}, {"path": "tedlium_37063.wav", "duration": 5.46, "text": "and walk them through the new strategic direction of our company."}, {"path": "tedlium_37064.wav", "duration": 5.46, "text": "So that is a natural buffer and one of the strengths of having the brands positioned"}, {"path": "tedlium_37065.wav", "duration": 5.46, "text": "in terms of the power projects that you referenced, are those"}, {"path": "tedlium_37066.wav", "duration": 5.46, "text": "Order activity accelerated into the fourth quarter in the West and Southeast."}, {"path": "tedlium_37067.wav", "duration": 5.46, "text": "So if diesel is a big component of that"}, {"path": "tedlium_37068.wav", "duration": 5.46, "text": "We have begun to see the contribution from the launch of our new magicJack Connect app."}, {"path": "tedlium_37069.wav", "duration": 5.46, "text": "acquired NPH, stayed disciplined on expenses to drive operating leverage"}, {"path": "tedlium_37070.wav", "duration": 5.46, "text": "The 2 challenges that we have, if I may say, which are not surprising, I think any business"}, {"path": "tedlium_37071.wav", "duration": 5.46, "text": "Those end customers that have signed up and responded have responded positively,"}, {"path": "tedlium_37072.wav", "duration": 5.46, "text": "This season highlighted the importance and success of our increasingly sophisticated marketing efforts."}, {"path": "tedlium_37073.wav", "duration": 5.46, "text": "So please, if you correct that in your notes. It's still a good ASP increase,"}, {"path": "tedlium_37074.wav", "duration": 5.46, "text": "to shift over time, as we redeploy capital into these new strategies."}, {"path": "tedlium_37075.wav", "duration": 5.46, "text": "and we also had professional fees coming through to support the delivery of the IGNITE program."}, {"path": "tedlium_37076.wav", "duration": 5.46, "text": "We continue to see favorable trends as demonstrated by the strength of our pipeline,"}, {"path": "tedlium_37077.wav", "duration": 5.46, "text": "So the way to look at this from a clean perspective on the operating power of the business in the quarter"}, {"path": "tedlium_37078.wav", "duration": 5.46, "text": "you should have a good contractor on whom the banks can bank for completing the project."}, {"path": "tedlium_37079.wav", "duration": 5.46, "text": "Good morning. My name is Sharon, and I will be your conference operator today."}, {"path": "tedlium_37080.wav", "duration": 5.46, "text": "So I take it that these expenditures come out of the advertising funds?"}, {"path": "tedlium_37081.wav", "duration": 5.46, "text": "which amendments reduced our midterm exposure to the spot market"}, {"path": "tedlium_37082.wav", "duration": 5.46, "text": "after the date of this conference call. Now I'd like to turn the call over to Steve."}, {"path": "tedlium_37083.wav", "duration": 5.46, "text": "stay at about the same level, which you can keep competing for the same amount of revenue contribution?"}, {"path": "tedlium_37084.wav", "duration": 5.46, "text": "and providing solid returns to build capital and reward shareholders."}, {"path": "tedlium_37085.wav", "duration": 5.46, "text": "We continue our focus on all executable activities of the business."}, {"path": "tedlium_37086.wav", "duration": 5.46, "text": "services are not affected by that. Our own staff costs are not affected by that."}, {"path": "tedlium_37087.wav", "duration": 5.46, "text": "We expect margins to improve over time as our investments drive revenue growth."}, {"path": "tedlium_37088.wav", "duration": 5.46, "text": "With that, I will turn the call back over to Guillermo for closing remarks."}, {"path": "tedlium_37089.wav", "duration": 5.46, "text": "to the domestic growth rate from all of the currency"}, {"path": "tedlium_37090.wav", "duration": 5.46, "text": "These results demonstrate the value of our highly integrated business model,"}, {"path": "tedlium_37091.wav", "duration": 5.46, "text": "Thank you for your time today. Let me hand you back to Graham before we take questions."}, {"path": "tedlium_37092.wav", "duration": 5.46, "text": "foreign exchange headwinds? Should we be looking at sort of more like low single digits and potentially even"}, {"path": "tedlium_37093.wav", "duration": 5.46, "text": "your home as well as we possibly can. How to get a frozen shake to your home"}, {"path": "tedlium_37094.wav", "duration": 5.46, "text": "However, the integration between the acute and physician environments is often weak."}, {"path": "tedlium_37095.wav", "duration": 5.46, "text": "The sales cycle for a modular solution is much shorter than for end-to-end."}, {"path": "tedlium_37096.wav", "duration": 5.46, "text": "As a management team, we've been in the memory business for a very long time and we understand it well."}, {"path": "tedlium_37097.wav", "duration": 5.46, "text": "These patients started from a lower than normal baseline systolic blood pressure."}, {"path": "tedlium_37098.wav", "duration": 5.46, "text": "but we'll also be really rigorous in ensuring that these are patients who are able to report those symptoms with accuracy."}, {"path": "tedlium_37099.wav", "duration": 5.46, "text": "I'll provide the usual walks and commentary on the sales operating profit and operating cash"}, {"path": "tedlium_37100.wav", "duration": 5.46, "text": "On disclosure of certain details, so what is the dialogue happening on that front?"}, {"path": "tedlium_37101.wav", "duration": 5.46, "text": "a very big difference than the RF SOI, but on the margin side, it's a very big difference."}, {"path": "tedlium_37102.wav", "duration": 5.46, "text": "really need our capabilities and technology to enable their own business goals."}, {"path": "tedlium_37103.wav", "duration": 5.46, "text": "The claims issues I just described add some pressure and will take a few quarters to resolve."}, {"path": "tedlium_37104.wav", "duration": 5.46, "text": "Cloud security was a major contributor to overall security spend,"}, {"path": "tedlium_37105.wav", "duration": 5.46, "text": "In summary, we're very pleased with the company's overall strong performance for the third quarter."}, {"path": "tedlium_37106.wav", "duration": 5.46, "text": "There isn't a clear rule of thumb."}, {"path": "tedlium_37107.wav", "duration": 5.46, "text": "And then what kind of profitability levels are we thinking about relative to the current portfolio?"}, {"path": "tedlium_37108.wav", "duration": 5.46, "text": "as we get into the back half of the year, early part of next year, we'll provide more guidance on that."}, {"path": "tedlium_37109.wav", "duration": 5.46, "text": "The RMS operating margin is expected to be relatively flat"}, {"path": "tedlium_37110.wav", "duration": 5.46, "text": "produce some continuity to the mineralization in this area it will"}, {"path": "tedlium_37111.wav", "duration": 5.46, "text": "We continue to evaluate and advance planning also for other new projects to add to this list."}, {"path": "tedlium_37112.wav", "duration": 5.46, "text": "Masters and based on import statistics, we make our best view around all those sort of things. So"}, {"path": "tedlium_37113.wav", "duration": 5.46, "text": "I will also point out that for the year-over-year comparisons that we will provide,"}, {"path": "tedlium_37114.wav", "duration": 5.46, "text": "Final slide for me, this just sets the movement in our share price relative"}, {"path": "tedlium_37115.wav", "duration": 5.46, "text": "But look, I would say if there's anything that changed from the last time we spoke till now,"}, {"path": "tedlium_37116.wav", "duration": 5.46, "text": "brings to them, and have also communicated opportunities to further expand our relationships."}, {"path": "tedlium_37117.wav", "duration": 5.46, "text": "partially offset by increased EBITDA. Moving now to exchange."}, {"path": "tedlium_37118.wav", "duration": 5.46, "text": "As you have heard us say, we are focused on improving our operations as they stand today."}, {"path": "tedlium_37119.wav", "duration": 5.46, "text": "We plan to continue to do everything within our power to return value to our stakeholders."}, {"path": "tedlium_37120.wav", "duration": 5.46, "text": "how far you have come and when we can start to see the positive impacts from these investments?"}, {"path": "tedlium_37121.wav", "duration": 5.46, "text": "We have successfully delivered against a number of key initiatives,"}, {"path": "tedlium_37122.wav", "duration": 5.46, "text": "which will push the total business line into small minus for this year."}, {"path": "tedlium_37123.wav", "duration": 5.46, "text": "Also, operationally, we had a very safe and successful second quarter."}, {"path": "tedlium_37124.wav", "duration": 5.46, "text": "this year and sort of this one-time noncash charge that we had for the onerous lease,"}, {"path": "tedlium_37125.wav", "duration": 5.46, "text": "Our Production Enhancement segment is expected to experience continued growth"}, {"path": "tedlium_37126.wav", "duration": 5.46, "text": "and employing new Core Lab technologies like our Digital Rock Characterization services,"}, {"path": "tedlium_37127.wav", "duration": 5.46, "text": "A, where we've seen over the last 6 months or so a bunch of interesting assets trade in specialty space,"}, {"path": "tedlium_37128.wav", "duration": 5.46, "text": "And since January 1, how many of them have actually rolled back to being commercial patients?"}, {"path": "tedlium_37129.wav", "duration": 5.46, "text": "I found it appropriate to open with a few comments describing how I had spent my first 100 days in the role."}, {"path": "tedlium_37130.wav", "duration": 5.46, "text": "And then on the Hydratight distribution, this is something that Jeff and I are pretty passionate about. Because"}, {"path": "tedlium_37131.wav", "duration": 5.46, "text": "In summary, this was a good quarter for our teams and a great basis for the balance of the year."}, {"path": "tedlium_37132.wav", "duration": 5.46, "text": "And on the other side, Roger is running a very good diversified Industrial business."}, {"path": "tedlium_37133.wav", "duration": 5.46, "text": "But we see significant growth there. We really have not commented on what kind of penetration we feel that we can have there,"}, {"path": "tedlium_37134.wav", "duration": 5.46, "text": "personally like having the optionality that we have with that business."}, {"path": "tedlium_37135.wav", "duration": 5.46, "text": "The global economy started the year with modest growth."}, {"path": "tedlium_37136.wav", "duration": 5.46, "text": "The next slide provides additional detail on sources and uses of cash."}, {"path": "tedlium_37137.wav", "duration": 5.46, "text": "And -- but obviously, he's trying to win Pennsylvania as well, and I think that -- so we have to deal with that."}, {"path": "tedlium_37138.wav", "duration": 5.46, "text": "but it's a little difficult to get people with the skills."}, {"path": "tedlium_37139.wav", "duration": 5.46, "text": "We have a robust pipeline of Commercial Behavioral Health, advanced imaging,"}, {"path": "tedlium_37140.wav", "duration": 5.46, "text": "and we don't intend to keep filling this vital role without receiving commensurate compensation."}, {"path": "tedlium_37141.wav", "duration": 5.46, "text": "we have yet to fully realize the benefits given many of the reductions occurred in the fourth quarter."}, {"path": "tedlium_37142.wav", "duration": 5.46, "text": "So in summary, we've delivered the expected group profitability."}, {"path": "tedlium_37143.wav", "duration": 5.46, "text": "and we have made investments to position the company for future success."}, {"path": "tedlium_37144.wav", "duration": 5.46, "text": "for the first phases of that infrastructure and it's moving forward to be built."}, {"path": "tedlium_37145.wav", "duration": 5.46, "text": "You may disconnect your lines at this time. Thank you for your participation."}, {"path": "tedlium_37146.wav", "duration": 5.46, "text": "a risk to revenues that might not come because other customers decide to do"}, {"path": "tedlium_37147.wav", "duration": 5.46, "text": "total segment that we haven't seen in some time starting here in the second half of the year."}, {"path": "tedlium_37148.wav", "duration": 5.46, "text": "just because oil was down. I mean, we were driving margin when oil was up"}, {"path": "tedlium_37149.wav", "duration": 5.46, "text": "much longer than we anticipated and some other things because that's where that business is going to run out of."}, {"path": "tedlium_37150.wav", "duration": 5.46, "text": "all with the aim of preserving or expanding current operating margins."}, {"path": "tedlium_37151.wav", "duration": 5.46, "text": "In order to protect this valuable contribution of revenue and employment for the state, it's our hope"}, {"path": "tedlium_37152.wav", "duration": 5.46, "text": "As you can see from the regulatory effects that we have seen in Q4, you can see"}, {"path": "tedlium_37153.wav", "duration": 5.46, "text": "We had a strong year capped by record quarterly shipments of our self-lube bearings."}, {"path": "tedlium_37154.wav", "duration": 5.46, "text": "any comments you might be able to offer on how April is feeling right now?"}, {"path": "tedlium_37155.wav", "duration": 5.46, "text": "Before I start though, I'd like to first share some of the assumptions underlying our current views."}, {"path": "tedlium_37156.wav", "duration": 5.46, "text": "we believe we need to manage the company with this"}, {"path": "tedlium_37157.wav", "duration": 5.46, "text": "Before I finish, I wanted to share with you an important update."}, {"path": "tedlium_37158.wav", "duration": 5.46, "text": "we do compete against all of the players that are in the microwave business,"}, {"path": "tedlium_37159.wav", "duration": 5.46, "text": "but what we're going to ask in return is we don't take any risk on selling assets. We're going to be"}, {"path": "tedlium_37160.wav", "duration": 5.46, "text": "I think where we're at today is as we think about what's going to differentiate us further"}, {"path": "tedlium_37161.wav", "duration": 5.46, "text": "We expect yield and volume growth at all of our transportation segments will support"}, {"path": "tedlium_37162.wav", "duration": 5.46, "text": "In Medicaid we continue to expect strong revenue growth in 2018. And"}, {"path": "tedlium_37163.wav", "duration": 5.46, "text": "We want to help as many of our patients as possible to be treated by these doctors."}, {"path": "tedlium_37164.wav", "duration": 5.46, "text": "If you look at the picture on the left side,"}, {"path": "tedlium_37165.wav", "duration": 5.46, "text": "they can be in the low teens. We've had a couple in the high single digits. It's kind of across the board."}, {"path": "tedlium_37166.wav", "duration": 5.46, "text": "In addition to strong financial performance, we also experienced very positive distribution results."}, {"path": "tedlium_37167.wav", "duration": 5.46, "text": "Now the challenges have been mitigated in terms of resizing the business."}, {"path": "tedlium_37168.wav", "duration": 5.46, "text": "During the third quarter, we continue to advance on the required preconstruction activities,"}, {"path": "tedlium_37169.wav", "duration": 5.46, "text": "Our bookings and revenue are coming from a broader set of key programs than in the past."}, {"path": "tedlium_37170.wav", "duration": 5.46, "text": "In addition, our underlying business engines are not running at full speed."}, {"path": "tedlium_37171.wav", "duration": 5.46, "text": "in the second half of 2017. With that, I will turn the call back over to Matthew."}, {"path": "tedlium_37172.wav", "duration": 5.46, "text": "And apart from new capital sources, we continue to benefit from reinvestments on the platform."}, {"path": "tedlium_37173.wav", "duration": 5.46, "text": "And not only does that bring a significant amount of definition"}, {"path": "tedlium_37174.wav", "duration": 5.46, "text": "we have not included such receipts in our cash estimates for the year."}, {"path": "tedlium_37175.wav", "duration": 5.46, "text": "So there is still a way to go, but it's unlocking and progressing week after week."}, {"path": "tedlium_37176.wav", "duration": 5.46, "text": "through an appeal process or medical necessity request."}, {"path": "tedlium_37177.wav", "duration": 5.46, "text": "out of strategic credit, and more interest on the part of clients as well."}, {"path": "tedlium_37178.wav", "duration": 5.46, "text": "and the loss of simultaneous substitution advertising rights for the Super Bowl."}, {"path": "tedlium_37179.wav", "duration": 5.46, "text": "as this solution takes hold. I am looking for increased margins on these products"}, {"path": "tedlium_37180.wav", "duration": 5.46, "text": "and the second factor is the appropriateness of the various accounting treatment that is being done."}, {"path": "tedlium_37181.wav", "duration": 5.46, "text": "I will now turn the call over to Russell to take you through the first quarter financial highlights in more detail."}, {"path": "tedlium_37182.wav", "duration": 5.46, "text": "of 2018 to prove this out, so please stay tuned for further updates on this topic."}, {"path": "tedlium_37183.wav", "duration": 5.46, "text": "We will keep you apprised of these potential future benefits as they are identified."}, {"path": "tedlium_37184.wav", "duration": 5.46, "text": "Thank you, ladies and gentlemen. This does conclude today's teleconference. You may disconnect your lines at this time,"}, {"path": "tedlium_37185.wav", "duration": 5.46, "text": "and the contribution of the efficiency program"}, {"path": "tedlium_37186.wav", "duration": 5.46, "text": "ensuring we are allocating resources in areas where we can generate the highest returns"}, {"path": "tedlium_37187.wav", "duration": 5.46, "text": "In today's environment, supply chains are incredibly flexible."}, {"path": "tedlium_37188.wav", "duration": 5.46, "text": "You can see here that, as the second quarter ramped up, we started picking up operating leverage."}, {"path": "tedlium_37189.wav", "duration": 5.4300625, "text": "The assets added to the already attractive characteristics of our existing portfolio"}, {"path": "tedlium_37190.wav", "duration": 5.43, "text": "Overall, we continue to see a favorable global business climate driving stable demand for our products"}, {"path": "tedlium_37191.wav", "duration": 5.43, "text": "and set up pretty much from scratch new plants in Eastern Europe."}, {"path": "tedlium_37192.wav", "duration": 5.43, "text": "I would say that overall, the patient populations in the ADVOCATE trial"}, {"path": "tedlium_37193.wav", "duration": 5.43, "text": "This doesn't mean we wouldn't do so at this time, but again, there would have to be a compelling reason to do so."}, {"path": "tedlium_37194.wav", "duration": 5.43, "text": "all while offering their subscribers a sensational experience."}, {"path": "tedlium_37195.wav", "duration": 5.43, "text": "the documents to manage the buildings, they can use it. That is for the built space."}, {"path": "tedlium_37196.wav", "duration": 5.43, "text": "But of course, the overall magnitude is much less pronounced than you see in Healthcare."}, {"path": "tedlium_37197.wav", "duration": 5.43, "text": "the fact that there are some large pharma and emerging biotechs also getting into the area. So"}, {"path": "tedlium_37198.wav", "duration": 5.43, "text": "and returns for our fund investors have been very good, even by our historical standards."}, {"path": "tedlium_37199.wav", "duration": 5.43, "text": "Now as you may expect, the whales are characterized by longer sales cycles and complex deal structures"}, {"path": "tedlium_37200.wav", "duration": 5.43, "text": "and it's the area where Marvell has the greatest expertise."}, {"path": "tedlium_37201.wav", "duration": 5.43, "text": "There's a lot more workload potential in all of those customers. Some of them are"}, {"path": "tedlium_37202.wav", "duration": 5.43, "text": "as we go through the year. As I think about biosimilars in the future, I think"}, {"path": "tedlium_37203.wav", "duration": 5.43, "text": "either more hiring or a little more investment and be more back-end-weighted in the year?"}, {"path": "tedlium_37204.wav", "duration": 5.43, "text": "and how many apartments we have that fall into these guidelines,"}, {"path": "tedlium_37205.wav", "duration": 5.43, "text": "to around half of the expected market growth over the next years."}, {"path": "tedlium_37206.wav", "duration": 5.43, "text": "of course, will also put some additional"}, {"path": "tedlium_37207.wav", "duration": 5.43, "text": "last year as well? And because you are reporting it for the first time. So I'm just trying to understand whether"}, {"path": "tedlium_37208.wav", "duration": 5.43, "text": "through the increase of financing expenses due to the revaluation of losses of hedging instruments."}, {"path": "tedlium_37209.wav", "duration": 5.43, "text": "In addition, as depicted in our investor presentation we filed as well,"}, {"path": "tedlium_37210.wav", "duration": 5.43, "text": "We're excited about our future and the opportunities ahead. With that, let me turn it over to John."}, {"path": "tedlium_37211.wav", "duration": 5.43, "text": "In addition to the fact that we spent a large amount on data centers in the previous year,"}, {"path": "tedlium_37212.wav", "duration": 5.43, "text": "and we'll continue to strengthen our infrastructure and risk management."}, {"path": "tedlium_37213.wav", "duration": 5.43, "text": "the cessation of our operations in Spain, the reversal of certain tax reserves,"}, {"path": "tedlium_37214.wav", "duration": 5.43, "text": "one of the biggest competitive advantages that all lenders, for example, are trying to get"}, {"path": "tedlium_37215.wav", "duration": 5.43, "text": "yes, so I think we will watch the first few set of transactions,"}, {"path": "tedlium_37216.wav", "duration": 5.43, "text": "due to its market diversity and due to its supply diversity."}, {"path": "tedlium_37217.wav", "duration": 5.43, "text": "Ladies and gentlemen, thank you for standing by,"}, {"path": "tedlium_37218.wav", "duration": 5.43, "text": "this is a prelude to a big event that we're going to have"}, {"path": "tedlium_37219.wav", "duration": 5.43, "text": "have anything to do with that. Most of what we do in energy is in the completion end"}, {"path": "tedlium_37220.wav", "duration": 5.43, "text": "are not contributing much in fees, in part because they are"}, {"path": "tedlium_37221.wav", "duration": 5.43, "text": "for our business as usual. Their work inspires me. Thanks for all you do."}, {"path": "tedlium_37222.wav", "duration": 5.43, "text": "rather than in the Investing Activities section, as in the past."}, {"path": "tedlium_37223.wav", "duration": 5.43, "text": "that has a dilutive impact in our earnings right now because we continue to invest in it,"}, {"path": "tedlium_37224.wav", "duration": 5.43, "text": "decided to capitalize on that. We did a very large integrated campaign that was"}, {"path": "tedlium_37225.wav", "duration": 5.43, "text": "We will continue to pursue these diversification opportunities going forward."}, {"path": "tedlium_37226.wav", "duration": 5.43, "text": "Keep in mind customers are quite aware that competition may be coming,"}, {"path": "tedlium_37227.wav", "duration": 5.43, "text": "though we continue to see rental rates resetting when leasing and renewing."}, {"path": "tedlium_37228.wav", "duration": 5.43, "text": "due in part to the beneficial impact of our 2017 acquisitions."}, {"path": "tedlium_37229.wav", "duration": 5.43, "text": "So when it comes to newborn screening, there has been a lot of work done, both at the federal level and state level"}, {"path": "tedlium_37230.wav", "duration": 5.43, "text": "with the demonstrated ability to scale to big project opportunities when they are presented to us."}, {"path": "tedlium_37231.wav", "duration": 5.43, "text": "In line with our commitment to allocate capital effectively and in the best interest of our shareholders,"}, {"path": "tedlium_37232.wav", "duration": 5.43, "text": "We're always mindful of our total leverage and we'll continue to be diligent"}, {"path": "tedlium_37233.wav", "duration": 5.43, "text": "So even some of the big-name guys have found that they need what we do."}, {"path": "tedlium_37234.wav", "duration": 5.43, "text": "As we add suppliers as hubs, they might only have 30 suppliers."}, {"path": "tedlium_37235.wav", "duration": 5.43, "text": "And the Parts and Accessories businesses have been restructured into a much leaner organization."}, {"path": "tedlium_37236.wav", "duration": 5.43, "text": "all of our marketing and pricing strategies and"}, {"path": "tedlium_37237.wav", "duration": 5.43, "text": "So you had an inversion from companies that were bringing us business"}, {"path": "tedlium_37238.wav", "duration": 5.43, "text": "Currency headwinds have worsened since the guidance provided a quarter ago"}, {"path": "tedlium_37239.wav", "duration": 5.43, "text": "a good estimate. And what was the second part of your question?"}, {"path": "tedlium_37240.wav", "duration": 5.43, "text": "and the wind doesn't blow all the time. But some people have apparently neglected that understanding."}, {"path": "tedlium_37241.wav", "duration": 5.43, "text": "We are participating down the credit stack with our mezzanine and preferred equity."}, {"path": "tedlium_37242.wav", "duration": 5.43, "text": "we have not experienced any other meaningful impact from Brexit on our business."}, {"path": "tedlium_37243.wav", "duration": 5.43, "text": "Meanwhile, we do continue to search for additional compelling opportunities"}, {"path": "tedlium_37244.wav", "duration": 5.43, "text": "And so if we invoke our dividend policy,"}, {"path": "tedlium_37245.wav", "duration": 5.43, "text": "We have invested a lot those recent years. We are happy now"}, {"path": "tedlium_37246.wav", "duration": 5.43, "text": "Please also take note of the safe harbor paragraph that appears at the end of the press release"}, {"path": "tedlium_37247.wav", "duration": 5.43, "text": "And in the second quarter, the S.E.T. business was pressured a little more than the large joints"}, {"path": "tedlium_37248.wav", "duration": 5.43, "text": "A portion of the proceeds from that bond were used for the early redemption in April"}, {"path": "tedlium_37249.wav", "duration": 5.43, "text": "which is a key objective of how we decide to participate."}, {"path": "tedlium_37250.wav", "duration": 5.43, "text": "Our discussion of financial results excludes the impact of acquisition and integration-related expenses,"}, {"path": "tedlium_37251.wav", "duration": 5.43, "text": "allowing us to tightly manage our sales and marketing spend in light of this demand."}, {"path": "tedlium_37252.wav", "duration": 5.43, "text": "Having said that, I think we -- the way we are thinking about this is"}, {"path": "tedlium_37253.wav", "duration": 5.43, "text": "which would have driven more Q4 business had we been in better shape in those businesses."}, {"path": "tedlium_37254.wav", "duration": 5.43, "text": "who benefit from either their marketing, software or data relationships with us."}, {"path": "tedlium_37255.wav", "duration": 5.43, "text": "use certainly in the first few quarters is to hold the hands of their clients"}, {"path": "tedlium_37256.wav", "duration": 5.43, "text": "We continue to see significant premium inventory potential in the Powder River Basin."}, {"path": "tedlium_37257.wav", "duration": 5.43, "text": "really make sure that we grow carefully by selecting high-quality customers"}, {"path": "tedlium_37258.wav", "duration": 5.43, "text": "pretty much exclusively going to be making OSB this year in the Siding segment."}, {"path": "tedlium_37259.wav", "duration": 5.43, "text": "of the company in the free market through its commercialization companies."}, {"path": "tedlium_37260.wav", "duration": 5.43, "text": "the hit we took in Q1 comparatively to the prior year really equated to"}, {"path": "tedlium_37261.wav", "duration": 5.43, "text": "at the same time as we make meaningful progress against our commitments to deliver sustainable growth at scale."}, {"path": "tedlium_37262.wav", "duration": 5.43, "text": "This outlook assumes the impact from the change in the tax law on municipal loans and securities,"}, {"path": "tedlium_37263.wav", "duration": 5.43, "text": "We have a very granular deposit base, with a very high ratio of small balance accounts"}, {"path": "tedlium_37264.wav", "duration": 5.43, "text": "here currently? The main piece in that is the new equipment that was flowing through for us"}, {"path": "tedlium_37265.wav", "duration": 5.43, "text": "business model and our ability to sell and grow that. And I see that"}, {"path": "tedlium_37266.wav", "duration": 5.43, "text": "whether as a result of new information, future events or otherwise, except as required by law."}, {"path": "tedlium_37267.wav", "duration": 5.43, "text": "much less impact on the manufacturing, and we've had some commercial wins"}, {"path": "tedlium_37268.wav", "duration": 5.43, "text": "Following their remarks, we will open the line for questions. With that, I'm pleased to turn the call over to Mark."}, {"path": "tedlium_37269.wav", "duration": 5.43, "text": "threatening a growing adverse impact in the future at the current growth rate."}, {"path": "tedlium_37270.wav", "duration": 5.43, "text": "reflecting improved pricing and the continued benefits of lower contained metal costs."}, {"path": "tedlium_37271.wav", "duration": 5.43, "text": "given the uncertainty we see in the global economy today and the volatility of some of the markets."}, {"path": "tedlium_37272.wav", "duration": 5.43, "text": "But part of being back to normal is to take the time to introduce our new CFO, who"}, {"path": "tedlium_37273.wav", "duration": 5.43, "text": "and what we saw last week is that international bank was not willing to transfer the shares,"}, {"path": "tedlium_37274.wav", "duration": 5.43, "text": "Please note that the call is being recorded and will be available for replay from the company's Investor website"}, {"path": "tedlium_37275.wav", "duration": 5.43, "text": "they have an understanding that you guys are a competent group of people and"}, {"path": "tedlium_37276.wav", "duration": 5.43, "text": "like cloud computing, artificial intelligence, Internet of Things and virtual reality"}, {"path": "tedlium_37277.wav", "duration": 5.43, "text": "I think in the press release, that you could do 24 tires a day"}, {"path": "tedlium_37278.wav", "duration": 5.43, "text": "Jeff and I will then be available to answer your questions at the conclusion of our remarks."}, {"path": "tedlium_37279.wav", "duration": 5.43, "text": "that we're beta testing right now and expect to roll out soon."}, {"path": "tedlium_37280.wav", "duration": 5.43, "text": "Probably, we may close the quarter with no loan growth because of the appreciation of the currency."}, {"path": "tedlium_37281.wav", "duration": 5.43, "text": "potential approaches that can be meaningful, and so we're looking at both."}, {"path": "tedlium_37282.wav", "duration": 5.43, "text": "I hope that answered your question, but we can talk about this for some time."}, {"path": "tedlium_37283.wav", "duration": 5.43, "text": "kind of the economy, what happens with some of the policies"}, {"path": "tedlium_37284.wav", "duration": 5.43, "text": "We can certainly operate effectively in that environment."}, {"path": "tedlium_37285.wav", "duration": 5.43, "text": "when you look, you kind of have to peal the covers back, and we're not going to give too much detail on the call here. But"}, {"path": "tedlium_37286.wav", "duration": 5.43, "text": "Before we get started with the results of the quarter, I need to reference the safe harbor statement."}, {"path": "tedlium_37287.wav", "duration": 5.43, "text": "The core SFS principles require agility to respond when business conditions change,"}, {"path": "tedlium_37288.wav", "duration": 5.43, "text": "Management will be referring to non-GAAP financial measures during our call today."}, {"path": "tedlium_37289.wav", "duration": 5.43, "text": "and we've gotten comfort around what that looks like throughout the quarters"}, {"path": "tedlium_37290.wav", "duration": 5.43, "text": "you have to look at everything that is going on around your business."}, {"path": "tedlium_37291.wav", "duration": 5.43, "text": "for enclosures for electronics. Alpha does more. Alpha does more than we do."}, {"path": "tedlium_37292.wav", "duration": 5.43, "text": "Central America will expand faster than Colombia due to its more robust economic performance,"}, {"path": "tedlium_37293.wav", "duration": 5.43, "text": "The call will be available online for approximately 45 days following today."}, {"path": "tedlium_37294.wav", "duration": 5.43, "text": "In the first quarter, we continued to demonstrate our commitment to returning capital to investors."}, {"path": "tedlium_37295.wav", "duration": 5.43, "text": "Our confidence in the growth potential of our active strategies was born out in the second quarter."}, {"path": "tedlium_37296.wav", "duration": 5.43, "text": "was a nice acquisition. But I would say, as I've been saying now for a number of months, and finally, we have some"}, {"path": "tedlium_37297.wav", "duration": 5.43, "text": "As you know, Air Products has a significant amount of cash,"}, {"path": "tedlium_37298.wav", "duration": 5.43, "text": "Slide 5 compares first quarter and fourth quarter adjusted earnings by segment."}, {"path": "tedlium_37299.wav", "duration": 5.43, "text": "technically evaluating the fuel prior to being willing to make the commitment to us."}, {"path": "tedlium_37300.wav", "duration": 5.43, "text": "As a consequence, we are pleased to see that the margin is progressing"}, {"path": "tedlium_37301.wav", "duration": 5.43, "text": "and for how long we're going to have that small investment drag on the profitability."}, {"path": "tedlium_37302.wav", "duration": 5.43, "text": "the case for all companies for their local business."}, {"path": "tedlium_37303.wav", "duration": 5.43, "text": "a significant component of which is making sure that we have an appropriate cost structure."}, {"path": "tedlium_37304.wav", "duration": 5.43, "text": "at the very beginning. And I think the organization's responded very nicely and all of those"}, {"path": "tedlium_37305.wav", "duration": 5.43, "text": "quarter. Because the Chinese New Year"}, {"path": "tedlium_37306.wav", "duration": 5.43, "text": "The group's solid results were achieved in the environment when the average"}, {"path": "tedlium_37307.wav", "duration": 5.43, "text": "break out what percentage of your EMS sales are driven by that market in particular."}, {"path": "tedlium_37308.wav", "duration": 5.43, "text": "is the fact that it actually begins with segmentation. So we feel that"}, {"path": "tedlium_37309.wav", "duration": 5.43, "text": "just curious then what's the rationale behind that, you don't go ahead on your own"}, {"path": "tedlium_37310.wav", "duration": 5.43, "text": "at a processing value level, so the company earns"}, {"path": "tedlium_37311.wav", "duration": 5.43, "text": "Excluding stock compensation expense and changes in fair value of contingent liabilities,"}, {"path": "tedlium_37312.wav", "duration": 5.43, "text": "during the current period as compared to the same period a year ago."}, {"path": "tedlium_37313.wav", "duration": 5.43, "text": "However, it is apparent that volumes have already started to decline"}, {"path": "tedlium_37314.wav", "duration": 5.43, "text": "As a result, we completed the year with strong growth in adjusted revenues and earnings,"}, {"path": "tedlium_37315.wav", "duration": 5.43, "text": "And on top of it, we're seeing our business deliver very disappointing results. So"}, {"path": "tedlium_37316.wav", "duration": 5.43, "text": "We do want to time that investment with demand in the region."}, {"path": "tedlium_37317.wav", "duration": 5.43, "text": "And so the way we think about it, it's a little bit more of a continuum"}, {"path": "tedlium_37318.wav", "duration": 5.43, "text": "In this context, let me briefly comment on our corporate strategy."}, {"path": "tedlium_37319.wav", "duration": 5.43, "text": "through its deep operational focus that is based upon bringing together the best of the company's capabilities"}, {"path": "tedlium_37320.wav", "duration": 5.43, "text": "Okay. And just sort of thinking a little bit further here because"}, {"path": "tedlium_37321.wav", "duration": 5.43, "text": "why you're seeking the delay and how long you think this will take to resolve?"}, {"path": "tedlium_37322.wav", "duration": 5.43, "text": "And that does not necessarily reflect what a fair market value of the asset is today."}, {"path": "tedlium_37323.wav", "duration": 5.43, "text": "very engaged conversation. To the extent that we can drive some amount of volume growth,"}, {"path": "tedlium_37324.wav", "duration": 5.43, "text": "different types of technology that are allowing us to have a little bit better value add."}, {"path": "tedlium_37325.wav", "duration": 5.43, "text": "and we can look ahead here over the next few quarters and see what's happening and it really looks like it's peaking out"}, {"path": "tedlium_37326.wav", "duration": 5.43, "text": "So we have a number of questions now on"}, {"path": "tedlium_37327.wav", "duration": 5.43, "text": "We've identified a number of candidates that represent substantial market opportunities"}, {"path": "tedlium_37328.wav", "duration": 5.43, "text": "we're not sure how that's going to impact the markets. But I can tell you that"}, {"path": "tedlium_37329.wav", "duration": 5.43, "text": "to improve the efficiency of our company"}, {"path": "tedlium_37330.wav", "duration": 5.43, "text": "updating you again when we release our first quarter results. Thank you."}, {"path": "tedlium_37331.wav", "duration": 5.43, "text": "But I don't know. I mean, the truth is we're just very focused on"}, {"path": "tedlium_37332.wav", "duration": 5.43, "text": "As we look to the future, we will continue to execute initiatives to grow distribution capabilities,"}, {"path": "tedlium_37333.wav", "duration": 5.43, "text": "challenges on basically maintaining the productivity levels that we've seen recently"}, {"path": "tedlium_37334.wav", "duration": 5.43, "text": "And so that's the visibility that we have comfort with at this point, and so that's why we shared those thoughts."}, {"path": "tedlium_37335.wav", "duration": 5.43, "text": "where we want our actions to speak louder than our words."}, {"path": "tedlium_37336.wav", "duration": 5.43, "text": "there's so much focus on the weight data by necessity and"}, {"path": "tedlium_37337.wav", "duration": 5.43, "text": "of growth, opportunities that we project will satisfy our return threshold."}, {"path": "tedlium_37338.wav", "duration": 5.43, "text": "including a weakening Chinese market and high inventory levels throughout the supply chain."}, {"path": "tedlium_37339.wav", "duration": 5.43, "text": "and the continued product investments is what ultimately contributed to that. So we got strong"}, {"path": "tedlium_37340.wav", "duration": 5.43, "text": "With that, I will turn it over to Brian to discuss the performance within the segments."}, {"path": "tedlium_37341.wav", "duration": 5.43, "text": "This is, of course, the first earnings release for the new holding company."}, {"path": "tedlium_37342.wav", "duration": 5.4299375, "text": "This will allow us to continue deploying cash to organic growth opportunities and strategic acquisitions."}, {"path": "tedlium_37343.wav", "duration": 5.4000625, "text": "and for each of our segments to be within their respective annual ranges."}, {"path": "tedlium_37344.wav", "duration": 5.4, "text": "And I think the way to think about that trial is"}, {"path": "tedlium_37345.wav", "duration": 5.4, "text": "I'm excited to be presenting the first set of results following our recent acquisitions."}, {"path": "tedlium_37346.wav", "duration": 5.4, "text": "The costs roughly the same. The benefit is the same. The impact the next year is the same,"}, {"path": "tedlium_37347.wav", "duration": 5.4, "text": "over the course of the last year -- and obviously, this has been going on for a number of years, but"}, {"path": "tedlium_37348.wav", "duration": 5.4, "text": "as a result of implementing new electronic medical record systems."}, {"path": "tedlium_37349.wav", "duration": 5.4, "text": "Now I finish with different views on our specific"}, {"path": "tedlium_37350.wav", "duration": 5.4, "text": "produced the entire quarter and we saw an increase of 6% production over the previous quarter."}, {"path": "tedlium_37351.wav", "duration": 5.4, "text": "We need to become fast and simple in order to capture the opportunities"}, {"path": "tedlium_37352.wav", "duration": 5.4, "text": "the pipeline also this year is very rich to fuel the growth."}, {"path": "tedlium_37353.wav", "duration": 5.4, "text": "and has the complete focus of the entire leadership team. This is not a technology project."}, {"path": "tedlium_37354.wav", "duration": 5.4, "text": "and the action has been very, very vivid and moving forward."}, {"path": "tedlium_37355.wav", "duration": 5.4, "text": "In addition to the effect of lower revenue from mobile phone base stations in Japan,"}, {"path": "tedlium_37356.wav", "duration": 5.4, "text": "And they don't like the idea of working off of somebody else's system."}, {"path": "tedlium_37357.wav", "duration": 5.4, "text": "But we are seeing this thing bottoming out now, and we believe we're going to be able to drive some growth"}, {"path": "tedlium_37358.wav", "duration": 5.4, "text": "and this is something that we actually expected from the past because the duration"}, {"path": "tedlium_37359.wav", "duration": 5.4, "text": "in the sweet spot for enhancing our capabilities in those areas. And as I mentioned,"}, {"path": "tedlium_37360.wav", "duration": 5.4, "text": "there's a couple of other things I might point you to, One was"}, {"path": "tedlium_37361.wav", "duration": 5.4, "text": "And I'd like to congratulate our newest class of service stars that we honored last month."}, {"path": "tedlium_37362.wav", "duration": 5.4, "text": "And now that we're sort of during the budgeting cycle for pretty much all companies in the industry,"}, {"path": "tedlium_37363.wav", "duration": 5.4, "text": "There are several key factors that contribute to our full year outlook, including"}, {"path": "tedlium_37364.wav", "duration": 5.4, "text": "product offering and any color you can add around that, and then if I can, add a couple of others."}, {"path": "tedlium_37365.wav", "duration": 5.4, "text": "Now in terms of the manufacturing integration, I think one of the things you're probably aware of"}, {"path": "tedlium_37366.wav", "duration": 5.4, "text": "That's going to take place over the course of the rest of the year, I think."}, {"path": "tedlium_37367.wav", "duration": 5.4, "text": "And then typically, we're able to get a little bit more amendment revenue on top of that."}, {"path": "tedlium_37368.wav", "duration": 5.4, "text": "very nice bidding months for the State of California. I don't see it slowing down at all"}, {"path": "tedlium_37369.wav", "duration": 5.4, "text": "This morning, we also announced that we've submitted an election to the IRS to be treated as a corporation"}, {"path": "tedlium_37370.wav", "duration": 5.4, "text": "And as I mentioned previously, this equates to total revenue being up"}, {"path": "tedlium_37371.wav", "duration": 5.4, "text": "or will crystallize as we get into the second half of the year, is making us feel very comfortable"}, {"path": "tedlium_37372.wav", "duration": 5.4, "text": "And again, the comparison gets significantly easier as you go through the balance of the quarter."}, {"path": "tedlium_37373.wav", "duration": 5.4, "text": "Let me remind you of these priorities and update you on some of the advances we've made."}, {"path": "tedlium_37374.wav", "duration": 5.4, "text": "sector globally, and we want to be prepared for that. So this is very much"}, {"path": "tedlium_37375.wav", "duration": 5.4, "text": "Earlier, we talked about changing the pace of shipments."}, {"path": "tedlium_37376.wav", "duration": 5.4, "text": "has leveraged the increase in consumer and patient interest in the branded anti-obesity category"}, {"path": "tedlium_37377.wav", "duration": 5.4, "text": "This concludes today's conference. Thank you for your participation. You may disconnect your lines at this time."}, {"path": "tedlium_37378.wav", "duration": 5.4, "text": "And I think what gives the regulators and the lawmakers comfort is that it's working."}, {"path": "tedlium_37379.wav", "duration": 5.4, "text": "Our focus on bringing therapies to patients who do not have adequate treatment options"}, {"path": "tedlium_37380.wav", "duration": 5.4, "text": "The last well in the program is currently being drilled and will be on production this quarter."}, {"path": "tedlium_37381.wav", "duration": 5.4, "text": "But I think you stated on a previous call that there's many, many ways to get into China."}, {"path": "tedlium_37382.wav", "duration": 5.4, "text": "doing and how we've been recognized as a quality producer over there?"}, {"path": "tedlium_37383.wav", "duration": 5.4, "text": "is contained in our earnings press release issued prior to today's call."}, {"path": "tedlium_37384.wav", "duration": 5.4, "text": "I didn't hear the last part of the question, Chris. Can you ask it one more time, please?"}, {"path": "tedlium_37385.wav", "duration": 5.4, "text": "And we continue to drive very good results from our cost savings initiatives."}, {"path": "tedlium_37386.wav", "duration": 5.4, "text": "irrespective of the kind of market that we're in because there are, I think, good opportunities to enhance what we do"}, {"path": "tedlium_37387.wav", "duration": 5.4, "text": "have caused market prices on resource commodities to further decrease since the beginning of this year."}, {"path": "tedlium_37388.wav", "duration": 5.4, "text": "remains at the lower end of Western European peers."}, {"path": "tedlium_37389.wav", "duration": 5.4, "text": "no incremental desire to get something done quick before rates go up too much more?"}, {"path": "tedlium_37390.wav", "duration": 5.4, "text": "So heading into our end of Phase II meeting with the agency in late January,"}, {"path": "tedlium_37391.wav", "duration": 5.4, "text": "As a reminder, our current guidance excludes any future spending from this program."}, {"path": "tedlium_37392.wav", "duration": 5.4, "text": "And completed the last tasks of many open projects, especially in Europe."}, {"path": "tedlium_37393.wav", "duration": 5.4, "text": "At which point, we expect to start seeing a meaningful contribution to our top line."}, {"path": "tedlium_37394.wav", "duration": 5.4, "text": "I remind you that none of these communities is a part of our same-store portfolio, and"}, {"path": "tedlium_37395.wav", "duration": 5.4, "text": "reflecting increased activities associated with our DCR-PHXC program"}, {"path": "tedlium_37396.wav", "duration": 5.4, "text": "These slides serve as a reference point for some of what Willy and Steve will touch on this morning."}, {"path": "tedlium_37397.wav", "duration": 5.4, "text": "In advance of this, especially with a lot of the traffic that we were during the second quarter,"}, {"path": "tedlium_37398.wav", "duration": 5.4, "text": "in that bank distorts a little bit"}, {"path": "tedlium_37399.wav", "duration": 5.4, "text": "the crude group is working closely with our water team to provide multiple services to producers."}, {"path": "tedlium_37400.wav", "duration": 5.4, "text": "We plan to continue to reinvest in the business for growth as our top priority."}, {"path": "tedlium_37401.wav", "duration": 5.4, "text": "it feels like sharing that portion with our employees"}, {"path": "tedlium_37402.wav", "duration": 5.4, "text": "but we're very much willing to rethink it if circumstances warrant it."}, {"path": "tedlium_37403.wav", "duration": 5.4, "text": "Looking ahead, we're feeling very positive about how Capital Bank is positioned."}, {"path": "tedlium_37404.wav", "duration": 5.4, "text": "we are interested in getting more partners to engage more and buy more products"}, {"path": "tedlium_37405.wav", "duration": 5.4, "text": "Thank you, and welcome all to Ship Financial International and our Third Quarter Conference Call."}, {"path": "tedlium_37406.wav", "duration": 5.4, "text": "So it's still a mechanized approach, but it's directed towards more narrow vein mining."}, {"path": "tedlium_37407.wav", "duration": 5.4, "text": "Expected increases in compensation expenses due to higher collector staffing levels"}, {"path": "tedlium_37408.wav", "duration": 5.4, "text": "and we don't give any guidance specifically how we expect that to"}, {"path": "tedlium_37409.wav", "duration": 5.4, "text": "focused on content not software, and then we quickly learned that the clients were"}, {"path": "tedlium_37410.wav", "duration": 5.4, "text": "Marketing has to be more personalized. So it can't just be a blanket offer."}, {"path": "tedlium_37411.wav", "duration": 5.4, "text": "As soon as we have the save the date, we will send it to all of you, okay?"}, {"path": "tedlium_37412.wav", "duration": 5.4, "text": "and hampers the development of numerous promising new medicines and novel modalities."}, {"path": "tedlium_37413.wav", "duration": 5.4, "text": "that we're placing in these markets of Middle America and in the south. So"}, {"path": "tedlium_37414.wav", "duration": 5.4, "text": "Together with Allergan, we intend to vigorously protect the linaclotide franchise"}, {"path": "tedlium_37415.wav", "duration": 5.4, "text": "We went through an organization change in April."}, {"path": "tedlium_37416.wav", "duration": 5.4, "text": "as an increased level of off-hire from regulatory dry-docking during the quarter"}, {"path": "tedlium_37417.wav", "duration": 5.4, "text": "The prepared comments management will cover here are the same as those covered on the earlier call."}, {"path": "tedlium_37418.wav", "duration": 5.4, "text": "compelling clinical profile and because through our"}, {"path": "tedlium_37419.wav", "duration": 5.4, "text": "from the law? And then the second question on the dynamics of the free cash flow."}, {"path": "tedlium_37420.wav", "duration": 5.4, "text": "Did you get any color from them in terms of receiving"}, {"path": "tedlium_37421.wav", "duration": 5.4, "text": "The financial results we have delivered are roughly 1 year ahead of schedule."}, {"path": "tedlium_37422.wav", "duration": 5.4, "text": "That's a bracket of something that I was looking for."}, {"path": "tedlium_37423.wav", "duration": 5.4, "text": "We also saw some softness in the foundry demand during the quarter."}, {"path": "tedlium_37424.wav", "duration": 5.4, "text": "This will deliver additional benefits to our cost base"}, {"path": "tedlium_37425.wav", "duration": 5.4, "text": "So it's really good to have John in this role, not because the tire plants need help building better tires or"}, {"path": "tedlium_37426.wav", "duration": 5.4, "text": "Our consumer segment was particularly challenging this quarter and I'll talk about that here shortly."}, {"path": "tedlium_37427.wav", "duration": 5.4, "text": "A lot of them have applied for permits and are being turned down by their cities and municipalities. And"}, {"path": "tedlium_37428.wav", "duration": 5.4, "text": "contracts that you're getting and therefore building the backlog and revenue,"}, {"path": "tedlium_37429.wav", "duration": 5.4, "text": "We believe these dynamics provide a substantial market opportunity for our modular solutions."}, {"path": "tedlium_37430.wav", "duration": 5.4, "text": "Certain information discussed on this call, including information related to portfolio companies,"}, {"path": "tedlium_37431.wav", "duration": 5.4, "text": "So I would say that the fourth quarter was especially"}, {"path": "tedlium_37432.wav", "duration": 5.4, "text": "and we will continue to keep you updated as we move forward."}, {"path": "tedlium_37433.wav", "duration": 5.4, "text": "So at a minimum, we expect to be at the midpoint toward that high end for the year."}, {"path": "tedlium_37434.wav", "duration": 5.4, "text": "in our line of sight and not predicting as we move forward where it could go."}, {"path": "tedlium_37435.wav", "duration": 5.4, "text": "You can get a whole lot of special effects that we've now got doors with insulation. You can get the Dulux Color"}, {"path": "tedlium_37436.wav", "duration": 5.4, "text": "and converted a total of 11 restaurants to the Grand Saladier program."}, {"path": "tedlium_37437.wav", "duration": 5.4, "text": "we need to be successful outside the province. That's not new, I've been saying that for"}, {"path": "tedlium_37438.wav", "duration": 5.4, "text": "In addition, past results are not necessarily an indication of future performance."}, {"path": "tedlium_37439.wav", "duration": 5.4, "text": "momentum we have in all our businesses and customer retention and traction and expansion strategies."}, {"path": "tedlium_37440.wav", "duration": 5.4, "text": "but it may not. And it really depends on the circumstance at the time. And it might different if it's 1 year from now"}, {"path": "tedlium_37441.wav", "duration": 5.4, "text": "the point that I made earlier about the number of customers that we now have live on the new platform."}, {"path": "tedlium_37442.wav", "duration": 5.4, "text": "that will evaluate the risk profile of the opportunity and then bring it to underwriting."}, {"path": "tedlium_37443.wav", "duration": 5.4, "text": "voice of the customer as to what are their needs and desires and how can that fuel"}, {"path": "tedlium_37444.wav", "duration": 5.4, "text": "Actual results may differ materially from those expressed or implied in our forward-looking statements."}, {"path": "tedlium_37445.wav", "duration": 5.4, "text": "to try and get that cost performance better than what's shown there."}, {"path": "tedlium_37446.wav", "duration": 5.4, "text": "Page 15 of our supplemental package shows aggregate revenues generated by our Thousand Trails properties."}, {"path": "tedlium_37447.wav", "duration": 5.4, "text": "As we see new challenges emerge in the market, Ellington Financial's focus remains the same."}, {"path": "tedlium_37448.wav", "duration": 5.4, "text": "market gives you a sense for the potential of the molecule longer term"}, {"path": "tedlium_37449.wav", "duration": 5.4, "text": "the negative trend observed in the last quarters of reduction in the balances of our portfolio."}, {"path": "tedlium_37450.wav", "duration": 5.4, "text": "create a picture. But you're right, we don't have a perfect window into the international guests."}, {"path": "tedlium_37451.wav", "duration": 5.4, "text": "In addition, we're pleased to report the following accomplishments."}, {"path": "tedlium_37452.wav", "duration": 5.4, "text": "really better than industry growth, and that's primarily because we think that there's advantage to"}, {"path": "tedlium_37453.wav", "duration": 5.4, "text": "result for us as well, which are driving nice bookings productivity also."}, {"path": "tedlium_37454.wav", "duration": 5.4, "text": "This call is being webcast live and will be available on our website and on telephone taped replay."}, {"path": "tedlium_37455.wav", "duration": 5.4, "text": "against competing projects. I think you're aware we have a number of factors we think that"}, {"path": "tedlium_37456.wav", "duration": 5.4, "text": "new product can be in place by September? Or is this really a much deeper"}, {"path": "tedlium_37457.wav", "duration": 5.4, "text": "While it is possible that we will have some catalyst sales to this customer next year,"}, {"path": "tedlium_37458.wav", "duration": 5.4, "text": "and so we had to put more money into working capital in this second quarter. So"}, {"path": "tedlium_37459.wav", "duration": 5.4, "text": "This is driven by the increased relative size of our businesses in Russia and the North Sea,"}, {"path": "tedlium_37460.wav", "duration": 5.4, "text": "and has quickly been established as a revolutionary treatment to cancer patients"}, {"path": "tedlium_37461.wav", "duration": 5.4, "text": "Can you help me and tell me where you think the 10 year is going to be in that period of time?"}, {"path": "tedlium_37462.wav", "duration": 5.4, "text": "We had to have it, so we're rolling that out in Q1 and announcing that here"}, {"path": "tedlium_37463.wav", "duration": 5.4, "text": "it will actually be the positive income -- impact rather than negative impact"}, {"path": "tedlium_37464.wav", "duration": 5.4, "text": "on its operational and financial achievements of the last 3 integration years."}, {"path": "tedlium_37465.wav", "duration": 5.4, "text": "and the better for the shareholder over the long run. So that's really the answer on why now."}, {"path": "tedlium_37466.wav", "duration": 5.4, "text": "Actual results may differ materially from those statements due to a variety of important factors"}, {"path": "tedlium_37467.wav", "duration": 5.4, "text": "We believe that the success of our strategy and value that we provide to clients"}, {"path": "tedlium_37468.wav", "duration": 5.4, "text": "much better about going down the path with this particular buyer rather than the previous buyer."}, {"path": "tedlium_37469.wav", "duration": 5.4, "text": "and quite frankly the level of progress we have made transforming the company in such a short period of time."}, {"path": "tedlium_37470.wav", "duration": 5.4, "text": "so we have a strong emphasis on that. It's too small a percentage of our business and we need to grow"}, {"path": "tedlium_37471.wav", "duration": 5.4, "text": "to the benefit of all consumers and payers across the spectrum of health care."}, {"path": "tedlium_37472.wav", "duration": 5.4, "text": "Despite the increased competition, Austin continues to be a great opportunity for us."}, {"path": "tedlium_37473.wav", "duration": 5.4, "text": "as we run line hauls between Atlanta and several other smaller markets in the Southeast,"}, {"path": "tedlium_37474.wav", "duration": 5.4, "text": "I think one of the big questions on people's mind is how long can we keep this up?"}, {"path": "tedlium_37475.wav", "duration": 5.4, "text": "broadcast company. In particular, Gray posted its highest ever totals"}, {"path": "tedlium_37476.wav", "duration": 5.4, "text": "There is a lot of needs in electromagnetic simulation"}, {"path": "tedlium_37477.wav", "duration": 5.4, "text": "our new investment approach. So if I look at our total assets under management,"}, {"path": "tedlium_37478.wav", "duration": 5.4, "text": "introducing new and innovative categories, incorporating digital experiences"}, {"path": "tedlium_37479.wav", "duration": 5.4, "text": "flowing over the island and causing severe erosion to roadways, foundations"}, {"path": "tedlium_37480.wav", "duration": 5.4, "text": "Okay. And can you tell us the proportion of scripts that are coming from Medicare?"}, {"path": "tedlium_37481.wav", "duration": 5.4, "text": "We come out well ahead of the national averages for both public and private providers."}, {"path": "tedlium_37482.wav", "duration": 5.4, "text": "Our efforts to delever the company by reducing the amount of debt outstanding"}, {"path": "tedlium_37483.wav", "duration": 5.4, "text": "We also need technology to support and manage their relationships with The Tile Shop in a seamless way,"}, {"path": "tedlium_37484.wav", "duration": 5.4, "text": "I believe we are galvanized around a plan that will return the company to higher growth and profitability."}, {"path": "tedlium_37485.wav", "duration": 5.4, "text": "in this year. We -- I really don't want to give a lot of color around details like that."}, {"path": "tedlium_37486.wav", "duration": 5.37, "text": "Likewise, broader Commercial Vehicle demand appear supportive overall in recent months."}, {"path": "tedlium_37487.wav", "duration": 5.37, "text": "We are well positioned to win more business with these programs."}, {"path": "tedlium_37488.wav", "duration": 5.37, "text": "And how do we make the business -- continue to make it better?"}, {"path": "tedlium_37489.wav", "duration": 5.37, "text": "And for certain elements of membership in one of the schemes,"}, {"path": "tedlium_37490.wav", "duration": 5.37, "text": "In summary, we expect our various Optical, GaN and FEM products"}, {"path": "tedlium_37491.wav", "duration": 5.37, "text": "and cannot be compensated by the good performance we continue to expect for the 3 other"}, {"path": "tedlium_37492.wav", "duration": 5.37, "text": "What is also important is to see that we have shifted"}, {"path": "tedlium_37493.wav", "duration": 5.37, "text": "we can call it maybe a niche position in a specific market"}, {"path": "tedlium_37494.wav", "duration": 5.37, "text": "Let me touch on this latter point. When we look at the current market today for"}, {"path": "tedlium_37495.wav", "duration": 5.37, "text": "I will then provide a review of Crombie's financial position as well as our first quarter operating results."}, {"path": "tedlium_37496.wav", "duration": 5.37, "text": "In addition, we are excited for the opportunity to expand our industrial footprint"}, {"path": "tedlium_37497.wav", "duration": 5.37, "text": "Some of the factors that influence margin, we talked a little bit about the investment"}, {"path": "tedlium_37498.wav", "duration": 5.37, "text": "and the cameras come out only when they are used."}, {"path": "tedlium_37499.wav", "duration": 5.37, "text": "We also implemented a small price increase at the start of this year."}, {"path": "tedlium_37500.wav", "duration": 5.37, "text": "Does it really make the most sense to be putting all this debt towards"}, {"path": "tedlium_37501.wav", "duration": 5.37, "text": "increasing the size of that panel as this year has gone along. By the end of the year, we will have, in fact,"}, {"path": "tedlium_37502.wav", "duration": 5.37, "text": "primarily due to higher than originally expected claims related to policies issued"}, {"path": "tedlium_37503.wav", "duration": 5.37, "text": "with expected cash flows. We have also substantially reduced our cost structure"}, {"path": "tedlium_37504.wav", "duration": 5.37, "text": "In the event a second field in the Hawler license area is discovered as declared commercial"}, {"path": "tedlium_37505.wav", "duration": 5.37, "text": "how much of that do you think is really aimed at the transportation market"}, {"path": "tedlium_37506.wav", "duration": 5.37, "text": "Before we acquired these companies, they each basically served one customer."}, {"path": "tedlium_37507.wav", "duration": 5.37, "text": "And finally, the other rationale from Aval was that it did not want to use"}, {"path": "tedlium_37508.wav", "duration": 5.37, "text": "The underlying performance continues to be strong. And"}, {"path": "tedlium_37509.wav", "duration": 5.37, "text": "And despite the ongoing market dynamics that challenge specialty products across the sector,"}, {"path": "tedlium_37510.wav", "duration": 5.37, "text": "You need to give resources to the new product."}, {"path": "tedlium_37511.wav", "duration": 5.37, "text": "When you need to rely on interpreters for everything,"}, {"path": "tedlium_37512.wav", "duration": 5.37, "text": "The annual effective tax rate is significantly lower than our previous guidance,"}, {"path": "tedlium_37513.wav", "duration": 5.37, "text": "in Europe, so half of the countries in Europe are above"}, {"path": "tedlium_37514.wav", "duration": 5.37, "text": "Secondly, we have a lot of specific programs to hire enough people."}, {"path": "tedlium_37515.wav", "duration": 5.37, "text": "a lot of the people who have approached us are very interested"}, {"path": "tedlium_37516.wav", "duration": 5.37, "text": "I was wondering how many employees have you hired? And"}, {"path": "tedlium_37517.wav", "duration": 5.37, "text": "other ways to execute on their business plan, we have not given up on them. But"}, {"path": "tedlium_37518.wav", "duration": 5.37, "text": "of helping people cope with all of this kind of stuff. Here's another example."}, {"path": "tedlium_37519.wav", "duration": 5.37, "text": "and the growth of approximately 100 trial units also set another record at the end of the first quarter."}, {"path": "tedlium_37520.wav", "duration": 5.37, "text": "The quarter was also positively impacted by a reduction in income tax expense,"}, {"path": "tedlium_37521.wav", "duration": 5.37, "text": "We continue to see our revenue base diversify broadly across our business segments."}, {"path": "tedlium_37522.wav", "duration": 5.37, "text": "that are driving us toward our vision, beginning with our commercial organization on this call."}, {"path": "tedlium_37523.wav", "duration": 5.37, "text": "We continue to see the cash generative nature of the High Street and Travel businesses as one of the"}, {"path": "tedlium_37524.wav", "duration": 5.37, "text": "And we expect all of the units to be open ahead of the summer peak."}, {"path": "tedlium_37525.wav", "duration": 5.37, "text": "sometimes we have bigger installations, which makes the number go down,"}, {"path": "tedlium_37526.wav", "duration": 5.37, "text": "to match our capacity to demand on the automotive side of that business."}, {"path": "tedlium_37527.wav", "duration": 5.37, "text": "and we delivered once again on our promise to be a defensive dividend stock."}, {"path": "tedlium_37528.wav", "duration": 5.37, "text": "So with that, I'd like to turn the call back over to Mr. Peter Salkowski for closing remarks."}, {"path": "tedlium_37529.wav", "duration": 5.37, "text": "Now, I'd like to address the current downward trend we're seeing in the marketplace."}, {"path": "tedlium_37530.wav", "duration": 5.37, "text": "and that puts an occupancy rate now at -- ahead of where it was prior to"}, {"path": "tedlium_37531.wav", "duration": 5.37, "text": "captures the flavor of the project that we set out in the Evaluation Report."}, {"path": "tedlium_37532.wav", "duration": 5.37, "text": "your fleet in terms of putting rigs back to work, do you expect we'll see"}, {"path": "tedlium_37533.wav", "duration": 5.37, "text": "These ratios should improve every quarter after the first quarter throughout the year."}, {"path": "tedlium_37534.wav", "duration": 5.37, "text": "We also expect that every quarter will have an increase over the prior year same quarter."}, {"path": "tedlium_37535.wav", "duration": 5.37, "text": "Thank you all for attending this morning, and we look forward to talking to you"}, {"path": "tedlium_37536.wav", "duration": 5.37, "text": "We are focused on creating a simple operating environment for our advisers. To do that,"}, {"path": "tedlium_37537.wav", "duration": 5.37, "text": "We see the impact of this particularly in categories like skin cleansing and laundry."}, {"path": "tedlium_37538.wav", "duration": 5.37, "text": "would say that a lot of the contribution probably came from"}, {"path": "tedlium_37539.wav", "duration": 5.37, "text": "and developing new relationships through centers of influence in our community."}, {"path": "tedlium_37540.wav", "duration": 5.37, "text": "So I would say from here around the market share,"}, {"path": "tedlium_37541.wav", "duration": 5.37, "text": "frankly, haven't done a great job in managing and driving that"}, {"path": "tedlium_37542.wav", "duration": 5.37, "text": "maybe subcontracting is going to levels which are not comfortable, that is what I was just trying to clarify."}, {"path": "tedlium_37543.wav", "duration": 5.37, "text": "With the anticipated sale of the remaining 6 offshore and shipping assets,"}, {"path": "tedlium_37544.wav", "duration": 5.37, "text": "Our concrete plants are built on the Energy Group, and quoting activity is very good for our plants."}, {"path": "tedlium_37545.wav", "duration": 5.37, "text": "Those increases were offset by decreases in South America and in Africa."}, {"path": "tedlium_37546.wav", "duration": 5.37, "text": "as we move down the path of obtaining approval for our product candidates."}, {"path": "tedlium_37547.wav", "duration": 5.37, "text": "Recent choppy business transient trends continued during the first quarter,"}, {"path": "tedlium_37548.wav", "duration": 5.37, "text": "does have an impact on determinations that"}, {"path": "tedlium_37549.wav", "duration": 5.37, "text": "we will build a platform of global working partners."}, {"path": "tedlium_37550.wav", "duration": 5.37, "text": "So that's about our safety of our debts."}, {"path": "tedlium_37551.wav", "duration": 5.37, "text": "These consultations with investors are ongoing. We are aware of investors"}, {"path": "tedlium_37552.wav", "duration": 5.37, "text": "does a title need to be done on the underlying properties or not because they're just basically buying the corporate equity?"}, {"path": "tedlium_37553.wav", "duration": 5.37, "text": "projects that strengthen our position in Korea and China."}, {"path": "tedlium_37554.wav", "duration": 5.37, "text": "In Q1, top line performance of the business was in line with our expectation,"}, {"path": "tedlium_37555.wav", "duration": 5.37, "text": "All these factors have caused us to reassess our financial outlook for the year."}, {"path": "tedlium_37556.wav", "duration": 5.37, "text": "First, this morning, we announced the appointment of Gary Long as our Chief Commercial Officer."}, {"path": "tedlium_37557.wav", "duration": 5.37, "text": "on the floating rate loans but get a better quality credit."}, {"path": "tedlium_37558.wav", "duration": 5.37, "text": "So how much do you think that is? Is that a few million? I mean, just could you give us a little bit of a range on that?"}, {"path": "tedlium_37559.wav", "duration": 5.37, "text": "in restructuring and other costs associated with the company's recent initiative"}, {"path": "tedlium_37560.wav", "duration": 5.37, "text": "And we now open up the floor for any questions. And I would like to extend"}, {"path": "tedlium_37561.wav", "duration": 5.37, "text": "As we disclosed on our last call, we submitted our PMA Supplement"}, {"path": "tedlium_37562.wav", "duration": 5.37, "text": "but I have a high degree of confidence that we can achieve it in that time period."}, {"path": "tedlium_37563.wav", "duration": 5.37, "text": "The second driver of our results was our broad product and solutions suite."}, {"path": "tedlium_37564.wav", "duration": 5.37, "text": "enabling us to be better partners and support our local clients."}, {"path": "tedlium_37565.wav", "duration": 5.37, "text": "has resulted in many successful restructures and subsequent positive re-writings."}, {"path": "tedlium_37566.wav", "duration": 5.37, "text": "we are already well placed on costs. This will step change things further."}, {"path": "tedlium_37567.wav", "duration": 5.37, "text": "It's really not the biggest strategy there, but we are actively in discussions with a lot of our"}, {"path": "tedlium_37568.wav", "duration": 5.37, "text": "As we look into the entirety of the second half"}, {"path": "tedlium_37569.wav", "duration": 5.37, "text": "Like many other companies, we made decisions to support our employees, our customers"}, {"path": "tedlium_37570.wav", "duration": 5.37, "text": "due to our strategic decision to bring in more inventory early, ahead of the holiday quarter."}, {"path": "tedlium_37571.wav", "duration": 5.37, "text": "And how much of a headwind could that loss be to your capacity utilization?"}, {"path": "tedlium_37572.wav", "duration": 5.37, "text": "And the shipments were lower than compared to a year ago. And that's not because of"}, {"path": "tedlium_37573.wav", "duration": 5.37, "text": "we've altered the company's structure in response to the changes in the world at large."}, {"path": "tedlium_37574.wav", "duration": 5.37, "text": "technology or digital platform with branch"}, {"path": "tedlium_37575.wav", "duration": 5.37, "text": "Let's start with the portfolio and market performance and then return to capital allocation."}, {"path": "tedlium_37576.wav", "duration": 5.37, "text": "Thank you, and then I will just see if there are any questions still here in the room,"}, {"path": "tedlium_37577.wav", "duration": 5.37, "text": "I'd say that ratio is probably pretty close for the wells that we've turned online so far this year."}, {"path": "tedlium_37578.wav", "duration": 5.37, "text": "the ability for us to deliver on time and really being able to just get those metrics in order."}, {"path": "tedlium_37579.wav", "duration": 5.37, "text": "going to take me off the personal guarantee, which I don't really mind because it's on this building,"}, {"path": "tedlium_37580.wav", "duration": 5.37, "text": "More details on the specifics for each of our business lines are included in the Redwood Review."}, {"path": "tedlium_37581.wav", "duration": 5.37, "text": "an area of housing that we believe offers accretable and scalable returns to our shareholders."}, {"path": "tedlium_37582.wav", "duration": 5.37, "text": "I will also discuss the acquisition in the context of our broader capital allocation outlook"}, {"path": "tedlium_37583.wav", "duration": 5.37, "text": "and we expect our exit rate for the year to jump to around 10,000 BOEs per day."}, {"path": "tedlium_37584.wav", "duration": 5.37, "text": "My comments earlier about customers already coming back to us,"}, {"path": "tedlium_37585.wav", "duration": 5.37, "text": "in Anchorage. And if you look at the total experience that we have there"}, {"path": "tedlium_37586.wav", "duration": 5.37, "text": "We are leaving our segment revenue growth assumptions constant for Agriculture,"}, {"path": "tedlium_37587.wav", "duration": 5.37, "text": "we look at the earnings per share for the quarter were actually flat,"}, {"path": "tedlium_37588.wav", "duration": 5.37, "text": "Subsequently, Chinese steel mills continuing to enjoy high margins."}, {"path": "tedlium_37589.wav", "duration": 5.37, "text": "and we report today a shareholder capital coverage ratio"}, {"path": "tedlium_37590.wav", "duration": 5.37, "text": "and supports Lucara's reputation as an industry leader in the adoption of new technology."}, {"path": "tedlium_37591.wav", "duration": 5.37, "text": "coming out yesterday and calling down slightly the growth in the economy somewhat"}, {"path": "tedlium_37592.wav", "duration": 5.37, "text": "We don't expect any more outflows at this stage otherwise we would have"}, {"path": "tedlium_37593.wav", "duration": 5.37, "text": "I do want to note, based on some questions that have been raised by investors over the past few months,"}, {"path": "tedlium_37594.wav", "duration": 5.37, "text": "thanks to new products like the COOL-FIT range launched end of last year"}, {"path": "tedlium_37595.wav", "duration": 5.37, "text": "Only questions submitted by e-mail will be discussed on the call today."}, {"path": "tedlium_37596.wav", "duration": 5.37, "text": "in the second quarter of this year and then the life sciences market in Q4. So"}, {"path": "tedlium_37597.wav", "duration": 5.37, "text": "we probably should be able to cover around half of that."}, {"path": "tedlium_37598.wav", "duration": 5.37, "text": "office in Italy as it relates to demand coming out of Europe and the Middle East?"}, {"path": "tedlium_37599.wav", "duration": 5.37, "text": "new market environment, which again will present plenty of opportunities."}, {"path": "tedlium_37600.wav", "duration": 5.37, "text": "I'd say for the most part, expect business as there is, as she goes."}, {"path": "tedlium_37601.wav", "duration": 5.37, "text": "Net cash used for financing primarily reflects regularly scheduled debt payments in our insurance"}, {"path": "tedlium_37602.wav", "duration": 5.37, "text": "which sometimes we order in larger quantities than normal to save costs."}, {"path": "tedlium_37603.wav", "duration": 5.37, "text": "I would say, though, Frank, that the good news about this is that we're seeing the prices stabilize,"}, {"path": "tedlium_37604.wav", "duration": 5.37, "text": "supported by our continued improvement in our Employer Services retention."}, {"path": "tedlium_37605.wav", "duration": 5.37, "text": "increment of the acquired MTS assets that related mainly to customer relationships"}, {"path": "tedlium_37606.wav", "duration": 5.37, "text": "What we are about to present is yet to be audited by an independent auditor,"}, {"path": "tedlium_37607.wav", "duration": 5.37, "text": "We see potential for VIVITROL to become an increasingly utilized treatment option for patients."}, {"path": "tedlium_37608.wav", "duration": 5.37, "text": "Both test Alkermes' medicines alongside efficacious standards of care."}, {"path": "tedlium_37609.wav", "duration": 5.37, "text": "Secondly, in terms of the grades which are there, which have been proven, and which can actually be developed,"}, {"path": "tedlium_37610.wav", "duration": 5.37, "text": "Highlights at this point in the year include the following. First,"}, {"path": "tedlium_37611.wav", "duration": 5.37, "text": "I know you said 75% to 80% is the goal for the end of the year, but just looking for a mark for today."}, {"path": "tedlium_37612.wav", "duration": 5.3699375, "text": "the next round of share buybacks, which sort of feels like it could come as soon as the second half this year,"}, {"path": "tedlium_37613.wav", "duration": 5.3699375, "text": "we want to ensure that we, kind of, really execute something whatever we do appropriately"}, {"path": "tedlium_37614.wav", "duration": 5.34, "text": "So is that an indication that in that particular market,"}, {"path": "tedlium_37615.wav", "duration": 5.34, "text": "that the money market and the secured money market in particular"}, {"path": "tedlium_37616.wav", "duration": 5.34, "text": "And if we look at what is going to drive the synergies afterwards."}, {"path": "tedlium_37617.wav", "duration": 5.34, "text": "with respect to 504 loans. The junior debt is taken out"}, {"path": "tedlium_37618.wav", "duration": 5.34, "text": "And we also said that our view was over long stretches of time,"}, {"path": "tedlium_37619.wav", "duration": 5.34, "text": "And we're doing a much better job of planning these together with our customers,"}, {"path": "tedlium_37620.wav", "duration": 5.34, "text": "If you add that into your services, then you can figure out how you get to a mix."}, {"path": "tedlium_37621.wav", "duration": 5.34, "text": "that book of business and expect that you will be pleased"}, {"path": "tedlium_37622.wav", "duration": 5.34, "text": "for actually less money because of the different economics that we have now compared to the past."}, {"path": "tedlium_37623.wav", "duration": 5.34, "text": "are you going to implement measures that users will grow substantially,"}, {"path": "tedlium_37624.wav", "duration": 5.34, "text": "And when the construction of buildings in Yokohama starts,"}, {"path": "tedlium_37625.wav", "duration": 5.34, "text": "Pursue our initiatives, real focused on ensuring levels of service are maintained."}, {"path": "tedlium_37626.wav", "duration": 5.34, "text": "It also helps with innovating our network technologies and service offerings."}, {"path": "tedlium_37627.wav", "duration": 5.34, "text": "it doesn't change how we think of investment decisions, which is really about investing for the long term"}, {"path": "tedlium_37628.wav", "duration": 5.34, "text": "Alex has done a great job on the tech side of bringing on a very strong team of technologists."}, {"path": "tedlium_37629.wav", "duration": 5.34, "text": "But generally we feel well-positioned. And we feel like we actually adapt very quickly once things change. So"}, {"path": "tedlium_37630.wav", "duration": 5.34, "text": "We are working toward concluding the transfer of our mobile phone business during this fiscal year."}, {"path": "tedlium_37631.wav", "duration": 5.34, "text": "We have no designs right now on taking our Industrial business into Europe,"}, {"path": "tedlium_37632.wav", "duration": 5.34, "text": "worry. But as I see it what will happen is that as funding rates go up a bit"}, {"path": "tedlium_37633.wav", "duration": 5.34, "text": "Now let me provide some insights into recent market activities."}, {"path": "tedlium_37634.wav", "duration": 5.34, "text": "where should we see evidence of that? Is it mostly just the RevPAR line? And"}, {"path": "tedlium_37635.wav", "duration": 5.34, "text": "on the margin doing better than it had been in the past, still not where we'd like for it to be from a scale standpoint."}, {"path": "tedlium_37636.wav", "duration": 5.34, "text": "Digital Content Ratings is the latest part of our measurement system moving through this phase."}, {"path": "tedlium_37637.wav", "duration": 5.34, "text": "The other thing that we mentioned in the script was we have"}, {"path": "tedlium_37638.wav", "duration": 5.34, "text": "We will be tackling challenges decisively and I hope that despite what we showed you right here,"}, {"path": "tedlium_37639.wav", "duration": 5.34, "text": "Those are the things that are going into these large portalized detectors. We make"}, {"path": "tedlium_37640.wav", "duration": 5.34, "text": "we believe that there are greater opportunities to expand the business. And"}, {"path": "tedlium_37641.wav", "duration": 5.34, "text": "and having the customer spend the money exactly where it needs to be, even using engineering and"}, {"path": "tedlium_37642.wav", "duration": 5.34, "text": "survey of our staff,"}, {"path": "tedlium_37643.wav", "duration": 5.34, "text": "carries about that there's probably for the year"}, {"path": "tedlium_37644.wav", "duration": 5.34, "text": "We have a very motivated team, very experienced team, we had a fantastic"}, {"path": "tedlium_37645.wav", "duration": 5.34, "text": "or is there a big opportunity to get more process oriented in terms of how you go to market? Just"}, {"path": "tedlium_37646.wav", "duration": 5.34, "text": "whether this is perhaps accelerating some discussions?"}, {"path": "tedlium_37647.wav", "duration": 5.34, "text": "Yes. I want to do this on a real broad basis because we've just started the process."}, {"path": "tedlium_37648.wav", "duration": 5.34, "text": "in government and education as well as we recently moved health care"}, {"path": "tedlium_37649.wav", "duration": 5.34, "text": "and will allow us to continue paying down debt to create additional future flexibility."}, {"path": "tedlium_37650.wav", "duration": 5.34, "text": "very well positioned. In addition, as we've"}, {"path": "tedlium_37651.wav", "duration": 5.34, "text": "We also have sites in process across London, Dublin, Frankfurt and Amsterdam,"}, {"path": "tedlium_37652.wav", "duration": 5.34, "text": "not that informative is that there are many things that we do where we're delivering"}, {"path": "tedlium_37653.wav", "duration": 5.34, "text": "our commitment to driving a lean cost structure will remain the top priority in the present market environment."}, {"path": "tedlium_37654.wav", "duration": 5.34, "text": "the new Ascension contract structure, and we have a high degree of visibility into this."}, {"path": "tedlium_37655.wav", "duration": 5.34, "text": "Let me repeat that, it means not having to sell common equity at all for that period."}, {"path": "tedlium_37656.wav", "duration": 5.34, "text": "is if we reach a point to where it's close to what we want"}, {"path": "tedlium_37657.wav", "duration": 5.34, "text": "This targeted deployment of capital will add contribution margin."}, {"path": "tedlium_37658.wav", "duration": 5.34, "text": "reflects our success at being able to closely match our supply with projected customer demand,"}, {"path": "tedlium_37659.wav", "duration": 5.34, "text": "It might be helpful to look at companies such as a"}, {"path": "tedlium_37660.wav", "duration": 5.34, "text": "within 3M. And that was part of what we also laid out in December"}, {"path": "tedlium_37661.wav", "duration": 5.34, "text": "Okay. So let me take the first part of the question. I'll let Steve take the second part of the question."}, {"path": "tedlium_37662.wav", "duration": 5.34, "text": "on our future calls about our progress and our continued success. Thank you."}, {"path": "tedlium_37663.wav", "duration": 5.34, "text": "While growing backlog is a good thing, especially when it grows as much as it did in the quarter,"}, {"path": "tedlium_37664.wav", "duration": 5.34, "text": "So if we see something coming, we'll be in front of it, not behind it."}, {"path": "tedlium_37665.wav", "duration": 5.34, "text": "as well as the perceived value of da Vinci relative to alternative surgical approaches."}, {"path": "tedlium_37666.wav", "duration": 5.34, "text": "Our plan right now is to open the Atlanta DC in the spring"}, {"path": "tedlium_37667.wav", "duration": 5.34, "text": "Additionally, we will continue investing in our brokerage and advisory platforms"}, {"path": "tedlium_37668.wav", "duration": 5.34, "text": "Speed of implementation is key to ensure that we deliver competitive growth."}, {"path": "tedlium_37669.wav", "duration": 5.34, "text": "In developed markets, the bigger impact generally comes from the retail dynamics."}, {"path": "tedlium_37670.wav", "duration": 5.34, "text": "Fourth, it will allow for a much greater mobility of our international cash going forward."}, {"path": "tedlium_37671.wav", "duration": 5.34, "text": "Our growth in season pass revenue was primarily driven by higher sales to our destination guests,"}, {"path": "tedlium_37672.wav", "duration": 5.34, "text": "An important one to think the year through"}, {"path": "tedlium_37673.wav", "duration": 5.34, "text": "The estimated book value of the shares repurchased during the second quarter"}, {"path": "tedlium_37674.wav", "duration": 5.34, "text": "as well as a need to maintain competitive compensation levels in order to retain staff."}, {"path": "tedlium_37675.wav", "duration": 5.34, "text": "And as you look through the table further, you can see the depreciation of the assets previous previously written up"}, {"path": "tedlium_37676.wav", "duration": 5.34, "text": "from one state, which was responsible for DSOs of 3 days"}, {"path": "tedlium_37677.wav", "duration": 5.34, "text": "On the other hand, what we are seeing is governments shift their emphasis from the classic"}, {"path": "tedlium_37678.wav", "duration": 5.34, "text": "And the ability to have great relationships and great alliances with companies like Amazon or with Google"}, {"path": "tedlium_37679.wav", "duration": 5.34, "text": "So that was already initiated by the previous board."}, {"path": "tedlium_37680.wav", "duration": 5.34, "text": "In terms of overall economic development and market demand,"}, {"path": "tedlium_37681.wav", "duration": 5.34, "text": "We will be even more disciplined in how we measure and evaluate our brand spend."}, {"path": "tedlium_37682.wav", "duration": 5.34, "text": "fastest growing companies among all of the commercial biopharma companies. And if you look at"}, {"path": "tedlium_37683.wav", "duration": 5.34, "text": "are forced to do it because of the hurricane. So you get some pull forward of demand"}, {"path": "tedlium_37684.wav", "duration": 5.34, "text": "At this point, I'll turn the call over to David to summarize our financial results for the second quarter."}, {"path": "tedlium_37685.wav", "duration": 5.34, "text": "Today, we have amended our presentation and reclassified those costs to within operating expenses"}, {"path": "tedlium_37686.wav", "duration": 5.34, "text": "we believe that order intake -- we expect order intake to pick up during the second half"}, {"path": "tedlium_37687.wav", "duration": 5.34, "text": "We are expecting to be making a public disclosure in the fourth quarter."}, {"path": "tedlium_37688.wav", "duration": 5.34, "text": "that there is a difference between how you market and how you attract and how you"}, {"path": "tedlium_37689.wav", "duration": 5.34, "text": "In Fosun, we are making investment in operation in 30 countries"}, {"path": "tedlium_37690.wav", "duration": 5.34, "text": "As the flow of diagnostic products from our research and development group grows more robust,"}, {"path": "tedlium_37691.wav", "duration": 5.34, "text": "On a final note, I would like to mention Superior will be hosting an Investor Day"}, {"path": "tedlium_37692.wav", "duration": 5.34, "text": "in inks and frits and glazes have been under pressure over the past couple of years."}, {"path": "tedlium_37693.wav", "duration": 5.34, "text": "As we ramp up shared services and eliminate these redundant transition costs,"}, {"path": "tedlium_37694.wav", "duration": 5.34, "text": "We've also started the heavy lifting of putting Band 14 on our towers."}, {"path": "tedlium_37695.wav", "duration": 5.34, "text": "some of the technology priorities we've talked about starting with"}, {"path": "tedlium_37696.wav", "duration": 5.34, "text": "these are large projects that we are providing our little piece of equipment into."}, {"path": "tedlium_37697.wav", "duration": 5.34, "text": "And now I'll turn the call over to Chad for a few additional comments. Chad?"}, {"path": "tedlium_37698.wav", "duration": 5.34, "text": "This pace of contracts and installations is going faster than we had originally anticipated."}, {"path": "tedlium_37699.wav", "duration": 5.34, "text": "getting products back on customers' shelves just a few business days after our call in July."}, {"path": "tedlium_37700.wav", "duration": 5.34, "text": "This is one of our most important strategic initiatives in the past few years."}, {"path": "tedlium_37701.wav", "duration": 5.34, "text": "We have also signed a definitive agreement with Usha Martin to acquire their steel business."}, {"path": "tedlium_37702.wav", "duration": 5.34, "text": "you even alluded to you needed to reevaluate -- might need to reevaluate your own"}, {"path": "tedlium_37703.wav", "duration": 5.34, "text": "can you just help us understand your base case for '17? Is that"}, {"path": "tedlium_37704.wav", "duration": 5.34, "text": "on a stand-alone basis as the industry continues to face its challenges."}, {"path": "tedlium_37705.wav", "duration": 5.34, "text": "independent journalism on all platforms to diverse communities."}, {"path": "tedlium_37706.wav", "duration": 5.34, "text": "subject to being permitted by not later than the beginning of next year"}, {"path": "tedlium_37707.wav", "duration": 5.34, "text": "and are enabling us to expand our total available market and grow our business."}, {"path": "tedlium_37708.wav", "duration": 5.34, "text": "and transitioning to the sales of the entertainment products."}, {"path": "tedlium_37709.wav", "duration": 5.34, "text": "this year, next year and maybe over the next 5 years? If you can kind of give us a sense for that."}, {"path": "tedlium_37710.wav", "duration": 5.34, "text": "very strong third quarter and better second half in terms of the margin performance."}, {"path": "tedlium_37711.wav", "duration": 5.34, "text": "If you look back in a couple of years ago in fiscal '14, your script"}, {"path": "tedlium_37712.wav", "duration": 5.34, "text": "as well as repositioning our business towards more profitable market segments."}, {"path": "tedlium_37713.wav", "duration": 5.34, "text": "and the expiration of the company's option to acquire an additional 26% ownership interest"}, {"path": "tedlium_37714.wav", "duration": 5.34, "text": "in China to really slow down. We do expect to see"}, {"path": "tedlium_37715.wav", "duration": 5.34, "text": "gaining market share from existing customers and picking up new relationships."}, {"path": "tedlium_37716.wav", "duration": 5.34, "text": "There has also been a lot of pricing pressure from our model competitors in this soft freight market."}, {"path": "tedlium_37717.wav", "duration": 5.34, "text": "We think that for the whole year, they will be up low single digit."}, {"path": "tedlium_37718.wav", "duration": 5.34, "text": "Because we believe the company is undervalued, we have been aggressively repurchasing shares."}, {"path": "tedlium_37719.wav", "duration": 5.34, "text": "from our major retail partners with regard to the"}, {"path": "tedlium_37720.wav", "duration": 5.34, "text": "We look forward to executing those deals before year-end."}, {"path": "tedlium_37721.wav", "duration": 5.34, "text": "First, we continue to look to drive comparable store sales growth."}, {"path": "tedlium_37722.wav", "duration": 5.34, "text": "Let me touch on that and let my partner pick up the other side of that."}, {"path": "tedlium_37723.wav", "duration": 5.34, "text": "those types of data and analytics into a service."}, {"path": "tedlium_37724.wav", "duration": 5.34, "text": "I would now like to turn the conference back over to Mr. Goldman for any closing remarks."}, {"path": "tedlium_37725.wav", "duration": 5.34, "text": "a strategic move contemplated when we evaluated the Reliant acquisition."}, {"path": "tedlium_37726.wav", "duration": 5.34, "text": "So A.J., it's Doug. I think that you're looking at it the right way in terms of the pricing impact."}, {"path": "tedlium_37727.wav", "duration": 5.34, "text": "as always, you have to be cautious. This number is impacted by the changes of the resin."}, {"path": "tedlium_37728.wav", "duration": 5.34, "text": "Additionally, as we can observe in the graph located in the lower left side of the slide,"}, {"path": "tedlium_37729.wav", "duration": 5.34, "text": "how much of that is recurring? And your view of recurring revenue changing versus"}, {"path": "tedlium_37730.wav", "duration": 5.34, "text": "pursuing investments that drive higher net interest income and overall returns for shareholders."}, {"path": "tedlium_37731.wav", "duration": 5.34, "text": "which were partially offset by the loss of revenues associated with contract termination."}, {"path": "tedlium_37732.wav", "duration": 5.34, "text": "and on top of that, profitability improvement for our customers in order to"}, {"path": "tedlium_37733.wav", "duration": 5.34, "text": "in the end. So we don't have a lot of direct visibility. I'm starting to see the products"}, {"path": "tedlium_37734.wav", "duration": 5.34, "text": "Allow me to give you more background on the strategic initiatives"}, {"path": "tedlium_37735.wav", "duration": 5.34, "text": "For DPG, we need to accelerate our initiatives to grow aluminum tank market share,"}, {"path": "tedlium_37736.wav", "duration": 5.34, "text": "in both our wholesale partners and our own stores. And I think as they"}, {"path": "tedlium_37737.wav", "duration": 5.34, "text": "a real confident feel about where Ireland is heading?"}, {"path": "tedlium_37738.wav", "duration": 5.34, "text": "While today's comments regarding Pinnacle will be preliminary, we will have much more to say about"}, {"path": "tedlium_37739.wav", "duration": 5.34, "text": "This is a significant development for one of Ambac's largest adversely classified credits."}, {"path": "tedlium_37740.wav", "duration": 5.34, "text": "Chris, let me stop there and check to see if that gave you the color you wanted."}, {"path": "tedlium_37741.wav", "duration": 5.34, "text": "relates to Linx Pay. We understand that one of the"}, {"path": "tedlium_37742.wav", "duration": 5.34, "text": "primarily resulting from significant devaluation of the exchange rate in Venezuela."}, {"path": "tedlium_37743.wav", "duration": 5.34, "text": "in those channels as well as the nature of the consumption occasions"}, {"path": "tedlium_37744.wav", "duration": 5.34, "text": "spend a lot of effort and take some additional actions then on working capital to continuously improve."}, {"path": "tedlium_37745.wav", "duration": 5.34, "text": "we will show a small net growth for the first time in the last few years."}, {"path": "tedlium_37746.wav", "duration": 5.34, "text": "In the last quarter, we have introduced a new cost planning function for clients,"}, {"path": "tedlium_37747.wav", "duration": 5.34, "text": "We will continue to focus on delivering value to customers and shareholders alike."}, {"path": "tedlium_37748.wav", "duration": 5.34, "text": "seems a little preliminary until we talk to them. But I can tell you, as I said in the script, that"}, {"path": "tedlium_37749.wav", "duration": 5.34, "text": "with an understanding of how change needs to happen in a way that optimizes value,"}, {"path": "tedlium_37750.wav", "duration": 5.34, "text": "was curious if you could provide some color on what you're kind of thoughts are with respect to capital spending,"}, {"path": "tedlium_37751.wav", "duration": 5.34, "text": "and I think there's been an exaggerated sense of hysteria over that in the market."}, {"path": "tedlium_37752.wav", "duration": 5.34, "text": "And we very consciously took a step back so that we could focus on"}, {"path": "tedlium_37753.wav", "duration": 5.34, "text": "trying to find something to buy where they would have a home close to their grandchildren."}, {"path": "tedlium_37754.wav", "duration": 5.34, "text": "and completed our first offering of common stock held by Mammoth Energy Services."}, {"path": "tedlium_37755.wav", "duration": 5.34, "text": "engaged with attempting to win that work and secure that work this year."}, {"path": "tedlium_37756.wav", "duration": 5.34, "text": "that these numbers we should be able to increase in the coming years."}, {"path": "tedlium_37757.wav", "duration": 5.34, "text": "This has a compoundingly -- a negative effect on margins"}, {"path": "tedlium_37758.wav", "duration": 5.34, "text": "So we were just wondering whether you have actually allocated that to print and publishing"}, {"path": "tedlium_37759.wav", "duration": 5.34, "text": "if you go back to the fiscal second quarter as you looked at sort of the trends within your accounts, Erik, that"}, {"path": "tedlium_37760.wav", "duration": 5.34, "text": "which supports our current international flying as well as future growth opportunity."}, {"path": "tedlium_37761.wav", "duration": 5.34, "text": "A strong focus on internal costs and continued productivity gains"}, {"path": "tedlium_37762.wav", "duration": 5.34, "text": "that our confidence in going into relatively"}, {"path": "tedlium_37763.wav", "duration": 5.34, "text": "Chairman and CEO position, I think the board will"}, {"path": "tedlium_37764.wav", "duration": 5.34, "text": "For the quarter, there are several safety milestones and accomplishments that I want to highlight."}, {"path": "tedlium_37765.wav", "duration": 5.34, "text": "which obviously creates a more favorable environment from a pricing standpoint."}, {"path": "tedlium_37766.wav", "duration": 5.34, "text": "primarily reflecting a modest mix shift towards higher residential construction spending."}, {"path": "tedlium_37767.wav", "duration": 5.34, "text": "Approximately 54% of our industrial revenue base was directly tied to the residential housing market"}, {"path": "tedlium_37768.wav", "duration": 5.34, "text": "Burton will begin with an overview of our third quarter operating and financial performance."}, {"path": "tedlium_37769.wav", "duration": 5.34, "text": "As the release said, fourth quarter at the bank and even the entire year can best be described as solid."}, {"path": "tedlium_37770.wav", "duration": 5.34, "text": "and properties across an expanding base of products, categories and distribution."}, {"path": "tedlium_37771.wav", "duration": 5.34, "text": "However, we do not believe our stock price reflects the favorable attributes of our business."}, {"path": "tedlium_37772.wav", "duration": 5.34, "text": "So I think the person that has done the most"}, {"path": "tedlium_37773.wav", "duration": 5.3399375, "text": "We typically just give the origin, which is one international, one domestic."}, {"path": "tedlium_37774.wav", "duration": 5.31, "text": "it's part of a larger wood business that they had. So you'd have to go back in there and dig that out."}, {"path": "tedlium_37775.wav", "duration": 5.31, "text": "that will provide capital to support the company's domestic and international expansion efforts."}, {"path": "tedlium_37776.wav", "duration": 5.31, "text": "with relapse after the transplant all too tragically common."}, {"path": "tedlium_37777.wav", "duration": 5.31, "text": "with and without the effect of such lines of credit and subscription lines."}, {"path": "tedlium_37778.wav", "duration": 5.31, "text": "These statements involve risks and uncertainties that could cause actual results to differ materially."}, {"path": "tedlium_37779.wav", "duration": 5.31, "text": "surprised about this. So he also tries to pay a little bit more in front."}, {"path": "tedlium_37780.wav", "duration": 5.31, "text": "So it was a lot of work that we did to reduce our expenses"}, {"path": "tedlium_37781.wav", "duration": 5.31, "text": "So have you noticed a higher degree"}, {"path": "tedlium_37782.wav", "duration": 5.31, "text": "a lot of large companies and larger brands"}, {"path": "tedlium_37783.wav", "duration": 5.31, "text": "while giving us the necessary financial and operating confidence to continue investing in our universities."}, {"path": "tedlium_37784.wav", "duration": 5.31, "text": "give any more detail on that? And just the expected that it should be"}, {"path": "tedlium_37785.wav", "duration": 5.31, "text": "While revenues were down we posted a considerable increase in product support."}, {"path": "tedlium_37786.wav", "duration": 5.31, "text": "We are maintaining our dividend and have just renewed our share repurchase program"}, {"path": "tedlium_37787.wav", "duration": 5.31, "text": "starting in the second quarter, the items that I just mentioned should not be in there."}, {"path": "tedlium_37788.wav", "duration": 5.31, "text": "and again, our base case would be 30 and 30 and you can toggle up and down from there."}, {"path": "tedlium_37789.wav", "duration": 5.31, "text": "opportunities we have together to grow this program. And obviously, we'll be talking about"}, {"path": "tedlium_37790.wav", "duration": 5.31, "text": "awareness of what we're doing in addition to the overall brand awareness work that we're doing."}, {"path": "tedlium_37791.wav", "duration": 5.31, "text": "But before I finish, I'd like to show you a selection of our new innovations."}, {"path": "tedlium_37792.wav", "duration": 5.31, "text": "that would -- you would have to foresee the ability to do something in a strategic context as far as that goes."}, {"path": "tedlium_37793.wav", "duration": 5.31, "text": "This is a critical milestone that we established earlier in the year, and we met our goals."}, {"path": "tedlium_37794.wav", "duration": 5.31, "text": "It doesn't sound like litigation is the major driver here. Is there some reason why"}, {"path": "tedlium_37795.wav", "duration": 5.31, "text": "is not too long for our customers and that we're pacing things appropriately. But so far, extremely pleased."}, {"path": "tedlium_37796.wav", "duration": 5.31, "text": "again perhaps in another state that is large enough for you to make a difference?"}, {"path": "tedlium_37797.wav", "duration": 5.31, "text": "earnings. We are happy to be able to put this to rest for a while."}, {"path": "tedlium_37798.wav", "duration": 5.31, "text": "So with these targets, we combine both a financial play"}, {"path": "tedlium_37799.wav", "duration": 5.31, "text": "Our dividend policy reflects our intention to retain net performance fees."}, {"path": "tedlium_37800.wav", "duration": 5.31, "text": "If you turn to the next slide, I wanted to make a few comments about how we are executing on that strategy."}, {"path": "tedlium_37801.wav", "duration": 5.31, "text": "we still would have another big flood or storms or whatever, that would mean"}, {"path": "tedlium_37802.wav", "duration": 5.31, "text": "Thanks for your time. I would like to wish you a very nice day. And for those who still"}, {"path": "tedlium_37803.wav", "duration": 5.31, "text": "And I think what we want to do is step back and evaluate the success or failure of that"}, {"path": "tedlium_37804.wav", "duration": 5.31, "text": "combination is to your business historically. But just wondering if that's still"}, {"path": "tedlium_37805.wav", "duration": 5.31, "text": "As Chairman said, the baseline is already very high."}, {"path": "tedlium_37806.wav", "duration": 5.31, "text": "Take our food and beverage for example. We rely on a lot of agricultural products."}, {"path": "tedlium_37807.wav", "duration": 5.31, "text": "because we see that we are in the -- even in the second half year, limited with our output"}, {"path": "tedlium_37808.wav", "duration": 5.31, "text": "Delivery of the defined plan continues, and our teams remain focused on growing value for our shareholders."}, {"path": "tedlium_37809.wav", "duration": 5.31, "text": "Before that, I would like to remind everyone that certain information discussed"}, {"path": "tedlium_37810.wav", "duration": 5.31, "text": "From an expectation perspective for next year, we're obviously in the middle of the budget"}, {"path": "tedlium_37811.wav", "duration": 5.31, "text": "but also has the potential for some upside if the Port Hedland market were to improve in the future."}, {"path": "tedlium_37812.wav", "duration": 5.31, "text": "Thank you for all your hard work and for your continued dedication to taking care of each other and our customers."}, {"path": "tedlium_37813.wav", "duration": 5.31, "text": "uptick we're seeing in the containerboard market and particularly over in the medium business,"}, {"path": "tedlium_37814.wav", "duration": 5.31, "text": "service projects, particularly in the tech area, that we do for clients."}, {"path": "tedlium_37815.wav", "duration": 5.31, "text": "and we're now seeing the ability to win more often than not in those deals."}, {"path": "tedlium_37816.wav", "duration": 5.31, "text": "So you might want to pull that back a couple of percent, couple of points"}, {"path": "tedlium_37817.wav", "duration": 5.31, "text": "for drivers will help mitigate that and make it not be as big of an issue."}, {"path": "tedlium_37818.wav", "duration": 5.31, "text": "and we are still carrying a high level"}, {"path": "tedlium_37819.wav", "duration": 5.31, "text": "to predict when they might be done. And of course, regarding any large deal, we have to make sure that"}, {"path": "tedlium_37820.wav", "duration": 5.31, "text": "As many of you know, our natural gas operations produce over half of our cash flow,"}, {"path": "tedlium_37821.wav", "duration": 5.31, "text": "As previously announced, we also entered into an agreement with certain lenders"}, {"path": "tedlium_37822.wav", "duration": 5.31, "text": "is sort of kind of where they seem to do that. And so they're just looking for available capacity on our system"}, {"path": "tedlium_37823.wav", "duration": 5.31, "text": "in '17. So if we think about '18, what's a reasonable kind of gross profit"}, {"path": "tedlium_37824.wav", "duration": 5.31, "text": "We're very proud of this accomplishment, and we're excited to build upon that foundation from here."}, {"path": "tedlium_37825.wav", "duration": 5.31, "text": "When you provided the prior guidance at the end of September, did that include the"}, {"path": "tedlium_37826.wav", "duration": 5.31, "text": "This includes the 2 significant actions we took since we last spoke,"}, {"path": "tedlium_37827.wav", "duration": 5.31, "text": "of the things that you're investing in, do you believe some of them will get explicit pricing"}, {"path": "tedlium_37828.wav", "duration": 5.31, "text": "taking advantage of scale and efficiency, and we think that will serve"}, {"path": "tedlium_37829.wav", "duration": 5.31, "text": "driven by our continued focus on innovation and sustained investment."}, {"path": "tedlium_37830.wav", "duration": 5.31, "text": "This is what we have constantly said and explained to the market,"}, {"path": "tedlium_37831.wav", "duration": 5.31, "text": "or online demand picked up in store will all play a factor in this."}, {"path": "tedlium_37832.wav", "duration": 5.31, "text": "A significant portion of these deposits are compensating balances,"}, {"path": "tedlium_37833.wav", "duration": 5.31, "text": "improving pricing and to a lesser extent, passing through elevated DRAM costs."}, {"path": "tedlium_37834.wav", "duration": 5.31, "text": "What would be -- if you sort of flow the numbers through that you provided at the Analyst Day for Next"}, {"path": "tedlium_37835.wav", "duration": 5.31, "text": "necessary steps to recover and once those -- all necessary steps have been exhausted"}, {"path": "tedlium_37836.wav", "duration": 5.31, "text": "Subsequent to the end of the third quarter, we completed the acquisition of"}, {"path": "tedlium_37837.wav", "duration": 5.31, "text": "number of actions have already been instituted, notably, the closure of the Fuel Systems"}, {"path": "tedlium_37838.wav", "duration": 5.31, "text": "We will continue to take appropriate steps needed to align costs and revenues."}, {"path": "tedlium_37839.wav", "duration": 5.31, "text": "and continued investments in product development we are making to drive further growth."}, {"path": "tedlium_37840.wav", "duration": 5.31, "text": "The integration of any acquisition needs to be done"}, {"path": "tedlium_37841.wav", "duration": 5.31, "text": "Are you talking about the OTT revenues? What's your specific question?"}, {"path": "tedlium_37842.wav", "duration": 5.31, "text": "We continue to have strong momentum in the Axon bookings in our target international markets."}, {"path": "tedlium_37843.wav", "duration": 5.31, "text": "the nonclinical section fairly shortly and then to follow that up at some point during the summer"}, {"path": "tedlium_37844.wav", "duration": 5.31, "text": "And I'm looking back into the model and I looked at pricing and volume, and they held up pretty well through the last cycle."}, {"path": "tedlium_37845.wav", "duration": 5.31, "text": "in the second half of the year. And there were some"}, {"path": "tedlium_37846.wav", "duration": 5.31, "text": "Another important news item for regional in the third quarter was the renewal of our credit facility,"}, {"path": "tedlium_37847.wav", "duration": 5.31, "text": "Are you able to provide any more detail as to"}, {"path": "tedlium_37848.wav", "duration": 5.31, "text": "But the problem is that isn't the problem. The problem is we have to start"}, {"path": "tedlium_37849.wav", "duration": 5.31, "text": "And when I start seeing things that are actually getting awarded that are new projects."}, {"path": "tedlium_37850.wav", "duration": 5.31, "text": "And we have some exciting plans in that space over time but still"}, {"path": "tedlium_37851.wav", "duration": 5.31, "text": "and a shift of certain sales operations expense into product development."}, {"path": "tedlium_37852.wav", "duration": 5.31, "text": "Those lines of distinction are blowing for all communication suppliers,"}, {"path": "tedlium_37853.wav", "duration": 5.31, "text": "We certainly have more cash generation than that as we look forward."}, {"path": "tedlium_37854.wav", "duration": 5.31, "text": "We continue to expect to deliver double-digit EPS growth for the full year."}, {"path": "tedlium_37855.wav", "duration": 5.31, "text": "You've got an expectation that margins can further improve in the years thereafter."}, {"path": "tedlium_37856.wav", "duration": 5.31, "text": "as well, there is a short summary document outlining the points of our quarter available on our website."}, {"path": "tedlium_37857.wav", "duration": 5.31, "text": "As you move into the second and subsequent quarters, are we pretty much done with these types of"}, {"path": "tedlium_37858.wav", "duration": 5.31, "text": "announced maybe within the next couple of years? Or is that very hazy longer term?"}, {"path": "tedlium_37859.wav", "duration": 5.31, "text": "And there have been discussions about whether you may be looking to sell or piece out the business and"}, {"path": "tedlium_37860.wav", "duration": 5.31, "text": "This does conclude today's program. Thank you for your participation. You may disconnect at any time."}, {"path": "tedlium_37861.wav", "duration": 5.31, "text": "Now we're going to bring back the focus to reintegrating ourselves, if you will, to our Pentair standards"}, {"path": "tedlium_37862.wav", "duration": 5.31, "text": "By now, the entire portfolio in Hong Kong has adopted this model from October"}, {"path": "tedlium_37863.wav", "duration": 5.31, "text": "We continue to have no direct exposure to the oil and gas or commodity sectors."}, {"path": "tedlium_37864.wav", "duration": 5.31, "text": "We have continued to see strong demand for our breast tissue expander portfolio"}, {"path": "tedlium_37865.wav", "duration": 5.31, "text": "Looking at the chart in the upper right, you can see our insurance groups continue to be well capitalized."}, {"path": "tedlium_37866.wav", "duration": 5.31, "text": "Well, Matt, we did see an increase in what I would call"}, {"path": "tedlium_37867.wav", "duration": 5.31, "text": "as well as our platform, which -- Infrastructure as a Service, which is just like raw compute."}, {"path": "tedlium_37868.wav", "duration": 5.31, "text": "margin improvement is expected to be largely offset by higher corporate costs"}, {"path": "tedlium_37869.wav", "duration": 5.31, "text": "There's a big trade show in Chicago that we're trying to get everything launched for."}, {"path": "tedlium_37870.wav", "duration": 5.31, "text": "Please turn to Slide 5. From a business point of view,"}, {"path": "tedlium_37871.wav", "duration": 5.31, "text": "And we will be at the stay front of that. We will definitely invest to make sure"}, {"path": "tedlium_37872.wav", "duration": 5.31, "text": "My second question was on the contracting cycle we're entering into. Just any more granularity on what"}, {"path": "tedlium_37873.wav", "duration": 5.31, "text": "our market is the existing fleet in the world of hundreds of reactors,"}, {"path": "tedlium_37874.wav", "duration": 5.31, "text": "We are confident in our improving capability to invest in effective marketing activity,"}, {"path": "tedlium_37875.wav", "duration": 5.31, "text": "I'd say that the conversation about possible early paths to patient"}, {"path": "tedlium_37876.wav", "duration": 5.31, "text": "This progress is consistent with the strategy we laid out earlier this year."}, {"path": "tedlium_37877.wav", "duration": 5.31, "text": "are focused on training between customers. There's generally not a day goes by when"}, {"path": "tedlium_37878.wav", "duration": 5.31, "text": "Moving then over to our region. We can see that the picture is"}, {"path": "tedlium_37879.wav", "duration": 5.31, "text": "Yes, so I think -- David, this is Gregg. I think what you ought to be thinking about is maybe"}, {"path": "tedlium_37880.wav", "duration": 5.31, "text": "so really, the combination of the complexity of the billing system"}, {"path": "tedlium_37881.wav", "duration": 5.31, "text": "country makes us well positioned for any infrastructure upside we may see in the future."}, {"path": "tedlium_37882.wav", "duration": 5.31, "text": "talking with retailers and we will grow"}, {"path": "tedlium_37883.wav", "duration": 5.31, "text": "the rationale behind that. And then the Board has decided to propose"}, {"path": "tedlium_37884.wav", "duration": 5.31, "text": "So we could extend our distribution, and that made definitely a big difference."}, {"path": "tedlium_37885.wav", "duration": 5.31, "text": "Your comments around a partner or"}, {"path": "tedlium_37886.wav", "duration": 5.31, "text": "in your mind that you really need some sort of change on the tariff structure in the export market"}, {"path": "tedlium_37887.wav", "duration": 5.31, "text": "We are determining the next several locations where we would deploy technology to increase the value of our products."}, {"path": "tedlium_37888.wav", "duration": 5.31, "text": "capabilities in place to adapt to the changing environment that we find ourselves in."}, {"path": "tedlium_37889.wav", "duration": 5.31, "text": "I have a few comments on our guidance before we open it up to questions."}, {"path": "tedlium_37890.wav", "duration": 5.31, "text": "Our pipeline of healthcare opportunities in support of this strategy is growing steadily."}, {"path": "tedlium_37891.wav", "duration": 5.31, "text": "Return on investment would have been low, if possible at all. On"}, {"path": "tedlium_37892.wav", "duration": 5.31, "text": "in this case to e-commerce, it takes a little bit for companies like ours to adjust to that,"}, {"path": "tedlium_37893.wav", "duration": 5.31, "text": "and achieved the top line objective we have set for ourselves just 2 years ago."}, {"path": "tedlium_37894.wav", "duration": 5.31, "text": "because then we don't have to pay for it until we're absolutely ready to use those materials."}, {"path": "tedlium_37895.wav", "duration": 5.31, "text": "if you see the market take a further step down or capacity fail to come out,"}, {"path": "tedlium_37896.wav", "duration": 5.31, "text": "So what we're focused on is really just maintaining that inventory"}, {"path": "tedlium_37897.wav", "duration": 5.31, "text": "that the tracking solution, given the real strong efficiencies in the energy harvest"}, {"path": "tedlium_37898.wav", "duration": 5.31, "text": "primarily due to the inclusion of the Calhoun operations for the first time."}, {"path": "tedlium_37899.wav", "duration": 5.31, "text": "And we'll continue to play our part in rebuilding with government some of that infrastructure."}, {"path": "tedlium_37900.wav", "duration": 5.31, "text": "For those of you looking for a succinct external summary of our Investor Day event,"}, {"path": "tedlium_37901.wav", "duration": 5.31, "text": "The high activity level had a positive effect on trade income,"}, {"path": "tedlium_37902.wav", "duration": 5.31, "text": "propose we take it as read into the records for the purpose of this conference call."}, {"path": "tedlium_37903.wav", "duration": 5.31, "text": "which will require us to dedicate production capacity to the Air Force in the first part of the year."}, {"path": "tedlium_37904.wav", "duration": 5.31, "text": "This is the initial phase of a multi-phase project with the option for future work."}, {"path": "tedlium_37905.wav", "duration": 5.31, "text": "suggesting that the presence of these synthetic colors was not in the consumers' best interest."}, {"path": "tedlium_37906.wav", "duration": 5.31, "text": "These intangible assets are being recorded within other long-term assets on the balance sheet."}, {"path": "tedlium_37907.wav", "duration": 5.31, "text": "comment on that right now. First, we have to turn this plan into a reality. And probably,"}, {"path": "tedlium_37908.wav", "duration": 5.31, "text": "so we don't necessarily release new phones, we release new capabilities for the phones."}, {"path": "tedlium_37909.wav", "duration": 5.31, "text": "that we have our cost and processes under control."}, {"path": "tedlium_37910.wav", "duration": 5.31, "text": "the natural extracts, this is not just meant to service"}, {"path": "tedlium_37911.wav", "duration": 5.31, "text": "And it consisted of installing a primary crusher at the Toquepala mine pit"}, {"path": "tedlium_37912.wav", "duration": 5.31, "text": "in close collaboration with our customers. We welcome him to this important role."}, {"path": "tedlium_37913.wav", "duration": 5.31, "text": "Meanwhile, primary aluminum prices have been trending steadily higher over the past 2 years."}, {"path": "tedlium_37914.wav", "duration": 5.31, "text": "On our November earnings call, we mentioned that we have heard a range of views"}, {"path": "tedlium_37915.wav", "duration": 5.31, "text": "shift in climate that required a retooling of the Salesforce that had"}, {"path": "tedlium_37916.wav", "duration": 5.31, "text": "you also have an economy that is incredibly strong and has picked up momentum from a GDP standpoint,"}, {"path": "tedlium_37917.wav", "duration": 5.31, "text": "accomplishments still go back to superior judgment."}, {"path": "tedlium_37918.wav", "duration": 5.31, "text": "that we believe will attract excellent candidates and incentivize them to stay with us"}, {"path": "tedlium_37919.wav", "duration": 5.31, "text": "We are now operating just 2 platforms with our SOI platform"}, {"path": "tedlium_37920.wav", "duration": 5.31, "text": "The continued and sustained improvement in symptoms in the stable population is important"}, {"path": "tedlium_37921.wav", "duration": 5.31, "text": "Our financials have been impacted by some significant one-off charges"}, {"path": "tedlium_37922.wav", "duration": 5.31, "text": "We're making progress with our initiatives to optimize our asset footprint"}, {"path": "tedlium_37923.wav", "duration": 5.31, "text": "Our margins and working capital productivity improved in the first quarter."}, {"path": "tedlium_37924.wav", "duration": 5.3099375, "text": "but that gives you at least some context as to how we're thinking about this going forward as well."}, {"path": "tedlium_37925.wav", "duration": 5.3099375, "text": "expect to continue. And then we see actually an acceleration of the revenue performance"}, {"path": "tedlium_37926.wav", "duration": 5.2800625, "text": "as well as the noncash amortization that's burdening that to really show"}, {"path": "tedlium_37927.wav", "duration": 5.28, "text": "The revenue is all from our Celgene partnership and is primarily related"}, {"path": "tedlium_37928.wav", "duration": 5.28, "text": "to already try to understand what's within the art of the possible of finding a development cost of rate of return there"}, {"path": "tedlium_37929.wav", "duration": 5.28, "text": "resulting from distribution elections made by participants in our U.K. plan."}, {"path": "tedlium_37930.wav", "duration": 5.28, "text": "cost of service is because those were also variable costs that came out of the business"}, {"path": "tedlium_37931.wav", "duration": 5.28, "text": "As Cory just reviewed, our financial performance in the third quarter was solid,"}, {"path": "tedlium_37932.wav", "duration": 5.28, "text": "These statements are based on various underlying assumptions and are subject to numerous uncertainties and risks,"}, {"path": "tedlium_37933.wav", "duration": 5.28, "text": "The use of color in architectural and engineering drawings continues to grow."}, {"path": "tedlium_37934.wav", "duration": 5.28, "text": "moved some people there to help a handful of people."}, {"path": "tedlium_37935.wav", "duration": 5.28, "text": "As I talked about on the market trends, we've seen strong demand in the ultra"}, {"path": "tedlium_37936.wav", "duration": 5.28, "text": "These opportunities cover a wide and surprising range of use cases,"}, {"path": "tedlium_37937.wav", "duration": 5.28, "text": "And without PayPay, we cannot track whether that coupon has been used or not."}, {"path": "tedlium_37938.wav", "duration": 5.28, "text": "And we emphasize the most"}, {"path": "tedlium_37939.wav", "duration": 5.28, "text": "as well as total increase in net working capital reducing the cash"}, {"path": "tedlium_37940.wav", "duration": 5.28, "text": "are you seeing particular uptake from? Anything from verticals that you can point out?"}, {"path": "tedlium_37941.wav", "duration": 5.28, "text": "in the first and second quarter, eased a little and MRO strengthened of it."}, {"path": "tedlium_37942.wav", "duration": 5.28, "text": "We had already identified that the migration of heat"}, {"path": "tedlium_37943.wav", "duration": 5.28, "text": "of doing this and doing this well and having the pricing stick in the market. But it's the smallest piece of the"}, {"path": "tedlium_37944.wav", "duration": 5.28, "text": "that there is a good base in order to be able to further accelerate,"}, {"path": "tedlium_37945.wav", "duration": 5.28, "text": "And our data shows that customers become more frequent in restaurants that are delivering a great experience."}, {"path": "tedlium_37946.wav", "duration": 5.28, "text": "model a proportion of subjects whose trough level of drug"}, {"path": "tedlium_37947.wav", "duration": 5.28, "text": "in the level of executive support and the level of executive understanding,"}, {"path": "tedlium_37948.wav", "duration": 5.28, "text": "I now go to the next slide, new store formats being tested."}, {"path": "tedlium_37949.wav", "duration": 5.28, "text": "developed projects that will provide further accretive growth"}, {"path": "tedlium_37950.wav", "duration": 5.28, "text": "As our sponsor continues to acquire significant numbers of assets,"}, {"path": "tedlium_37951.wav", "duration": 5.28, "text": "come out of the first quarter. And really it's a combination of all those events. It doesn't really change"}, {"path": "tedlium_37952.wav", "duration": 5.28, "text": "are not people that we compete with on a day-to-day basis in the Transportation segment"}, {"path": "tedlium_37953.wav", "duration": 5.28, "text": "Strong demand trends also are evidence of growth opportunities for our growing Water segment."}, {"path": "tedlium_37954.wav", "duration": 5.28, "text": "So therefore, you can imagine that we would like to"}, {"path": "tedlium_37955.wav", "duration": 5.28, "text": "we have different content levels from a year ago, substantially, as I pointed out."}, {"path": "tedlium_37956.wav", "duration": 5.28, "text": "therefore, I will keep my segment comments focused on a few key first quarter stats."}, {"path": "tedlium_37957.wav", "duration": 5.28, "text": "can you just speak to how confident you are that you can sustain operating margins in the 40% range?"}, {"path": "tedlium_37958.wav", "duration": 5.28, "text": "And so instead of choosing what product we want to advance next"}, {"path": "tedlium_37959.wav", "duration": 5.28, "text": "and that's what you should expect to see from enterprise subscription revenue growth"}, {"path": "tedlium_37960.wav", "duration": 5.28, "text": "and that means that we have to adjust the organization and that we have to adjust the workforce. So"}, {"path": "tedlium_37961.wav", "duration": 5.28, "text": "I'll give you my view. You may have to qualify it"}, {"path": "tedlium_37962.wav", "duration": 5.28, "text": "Over the last few months, we have conducted a significant subscription cancellation review process,"}, {"path": "tedlium_37963.wav", "duration": 5.28, "text": "Now I'd like to turn it over to Rob to provide you with some additional details. Rob?"}, {"path": "tedlium_37964.wav", "duration": 5.28, "text": "This is partly due to modest changes in show mix and additional compensation costs."}, {"path": "tedlium_37965.wav", "duration": 5.28, "text": "And with the strength of our clinical development in patient advocacy and medical affairs team,"}, {"path": "tedlium_37966.wav", "duration": 5.28, "text": "all diagnoses that could have been treated"}, {"path": "tedlium_37967.wav", "duration": 5.28, "text": "there were definite achievements and some frustrating setbacks."}, {"path": "tedlium_37968.wav", "duration": 5.28, "text": "I would anticipate that we'll have at least a year of drilling,"}, {"path": "tedlium_37969.wav", "duration": 5.28, "text": "In tunneling, on the other hand, new markets are not a focus at this time."}, {"path": "tedlium_37970.wav", "duration": 5.28, "text": "a lot tomorrow. The only other thing I saw that I had a question about was"}, {"path": "tedlium_37971.wav", "duration": 5.28, "text": "And our logistics business has got to gain market share if we are to reach our potential."}, {"path": "tedlium_37972.wav", "duration": 5.28, "text": "The vessel ended the year completing the first well of a 4-well campaign for another client."}, {"path": "tedlium_37973.wav", "duration": 5.28, "text": "And so there's every reasons to stay -- for them to stay connected with the program."}, {"path": "tedlium_37974.wav", "duration": 5.28, "text": "And so what we're saying is that as we go forward,"}, {"path": "tedlium_37975.wav", "duration": 5.28, "text": "by the load and let them be responsible for all the demerger and all that kind of stuff"}, {"path": "tedlium_37976.wav", "duration": 5.28, "text": "depending on what loan growth does and the warehouse does for this quarter, it may go down from where it is."}, {"path": "tedlium_37977.wav", "duration": 5.28, "text": "With that, I'd now like to turn the call back to Doug for closing remarks."}, {"path": "tedlium_37978.wav", "duration": 5.28, "text": "so we truly want our customers to have a really excellent experience,"}, {"path": "tedlium_37979.wav", "duration": 5.28, "text": "Again, they now know our customer very well, so we can work closely with them."}, {"path": "tedlium_37980.wav", "duration": 5.28, "text": "we have built it into the forecast because it seems very real."}, {"path": "tedlium_37981.wav", "duration": 5.28, "text": "with cloud platform providers continuing to expand the distributed European platforms"}, {"path": "tedlium_37982.wav", "duration": 5.28, "text": "we have a good -- they're good relationship bankers just like us, so we feel good about their customers. I think that's helping"}, {"path": "tedlium_37983.wav", "duration": 5.28, "text": "That brings me to our investment in Ivy Hill that we made during this quarter."}, {"path": "tedlium_37984.wav", "duration": 5.28, "text": "often reflect the timing of shipments in the final month of each comparative period."}, {"path": "tedlium_37985.wav", "duration": 5.28, "text": "and the vessels are currently not employed on subcharters. In light of the depressed market,"}, {"path": "tedlium_37986.wav", "duration": 5.28, "text": "one of the factors was we wanted to keep the agglomerated ore kind of on the edges where we would,"}, {"path": "tedlium_37987.wav", "duration": 5.28, "text": "a small software growth rate in keeping with the early days of SaaS businesses"}, {"path": "tedlium_37988.wav", "duration": 5.28, "text": "So a big part of it is that prep as well as the mix effect."}, {"path": "tedlium_37989.wav", "duration": 5.28, "text": "So it's encouraging to see a balance of growth across the group and not just in one particular area."}, {"path": "tedlium_37990.wav", "duration": 5.28, "text": "pricing getting better and getting through launch customer pricing, if that's applicable or how much of that is applicable?"}, {"path": "tedlium_37991.wav", "duration": 5.28, "text": "And we do see fourth quarter as a rebound on the automotive and the emissions issues"}, {"path": "tedlium_37992.wav", "duration": 5.28, "text": "as far as any kind of price increases or price reductions."}, {"path": "tedlium_37993.wav", "duration": 5.28, "text": "We did not repurchase any shares during the second quarter."}, {"path": "tedlium_37994.wav", "duration": 5.28, "text": "This increase is due to the additional borrowings for the St-Hubert and Original Joe's transactions."}, {"path": "tedlium_37995.wav", "duration": 5.28, "text": "the operation results have been enhanced and the financial figures have been upgraded."}, {"path": "tedlium_37996.wav", "duration": 5.28, "text": "Let me take a moment to update you on our 4 key drivers for future growth."}, {"path": "tedlium_37997.wav", "duration": 5.28, "text": "into how they interact with their customers from either a sales or a servicing perspective."}, {"path": "tedlium_37998.wav", "duration": 5.28, "text": "is now on track to become a significant contributor to the business."}, {"path": "tedlium_37999.wav", "duration": 5.28, "text": "We are proud of how these initiatives have played out in our portfolio so far."}, {"path": "tedlium_38000.wav", "duration": 5.28, "text": "showing an individual's immune response to their cancer in the lab."}, {"path": "tedlium_38001.wav", "duration": 5.28, "text": "And so we continue to put together solutions, and texture,"}, {"path": "tedlium_38002.wav", "duration": 5.28, "text": "the majority of our cardiology claims that were accrued"}, {"path": "tedlium_38003.wav", "duration": 5.28, "text": "costs at a production level and to"}, {"path": "tedlium_38004.wav", "duration": 5.28, "text": "So are you seeing some of those local distribution centers really pick up at this point?"}, {"path": "tedlium_38005.wav", "duration": 5.28, "text": "up 25% last year with no indication that growth is slowing yet this year."}, {"path": "tedlium_38006.wav", "duration": 5.28, "text": "in the regions of the world who are calling on larger enterprises who are"}, {"path": "tedlium_38007.wav", "duration": 5.28, "text": "doing all we need to do in terms of streamlining the organization"}, {"path": "tedlium_38008.wav", "duration": 5.28, "text": "We're not concerned, but yes, it is a strong focus of ours to bring working capital down as we go through the year."}, {"path": "tedlium_38009.wav", "duration": 5.28, "text": "Maybe you could just give us a little bit more color about that and what sort of timing we have around that."}, {"path": "tedlium_38010.wav", "duration": 5.28, "text": "for National Fuels also turned the heat up a little bit on this issue as well."}, {"path": "tedlium_38011.wav", "duration": 5.28, "text": "Apart from the increase due to this transaction, our ongoing business performed very well,"}, {"path": "tedlium_38012.wav", "duration": 5.28, "text": "the various revenue cycle touch points from both the patient and provider standpoint."}, {"path": "tedlium_38013.wav", "duration": 5.28, "text": "sort of an ongoing basis. It's not like there's a fixed term or someone uses it for a few months and then"}, {"path": "tedlium_38014.wav", "duration": 5.28, "text": "As current quarter sales were lower due to the elevated level of sales in the first half of this year"}, {"path": "tedlium_38015.wav", "duration": 5.28, "text": "But that's obviously not the point if you're in the game for the long term."}, {"path": "tedlium_38016.wav", "duration": 5.28, "text": "Andy will then go through financial highlights and operating performance of our Hong Kong portfolio."}, {"path": "tedlium_38017.wav", "duration": 5.28, "text": "incorporating our customers' demand and focusing at the most challenging applications."}, {"path": "tedlium_38018.wav", "duration": 5.28, "text": "We expect strong exports of both branded and fresh pork products."}, {"path": "tedlium_38019.wav", "duration": 5.28, "text": "with the aim of gaining transactional market share and lifting returns on equity"}, {"path": "tedlium_38020.wav", "duration": 5.28, "text": "Having more scale is becoming increasingly more important"}, {"path": "tedlium_38021.wav", "duration": 5.28, "text": "The brand today with franchisees excited about their future,"}, {"path": "tedlium_38022.wav", "duration": 5.28, "text": "So it does vary based upon the time of year that they've actually executed those."}, {"path": "tedlium_38023.wav", "duration": 5.28, "text": "a safe quarter with no material incidents to report."}, {"path": "tedlium_38024.wav", "duration": 5.28, "text": "generating in terms of revenues. It doesn't take much to make a difference"}, {"path": "tedlium_38025.wav", "duration": 5.28, "text": "And then I was curious on the new product launches."}, {"path": "tedlium_38026.wav", "duration": 5.28, "text": "We now estimate average shares outstanding at the high end of our previous range."}, {"path": "tedlium_38027.wav", "duration": 5.28, "text": "with the variation since March, mainly on the account of stronger Global deliveries."}, {"path": "tedlium_38028.wav", "duration": 5.28, "text": "With respect to Blue Mountain, we continue to be excited about its future growth prospects."}, {"path": "tedlium_38029.wav", "duration": 5.28, "text": "where the interest rates are higher than in financing in other currencies,"}, {"path": "tedlium_38030.wav", "duration": 5.28, "text": "that have a free rent component and were not included in our original outlook."}, {"path": "tedlium_38031.wav", "duration": 5.28, "text": "as a bank. And so the emphasis at the branches is very much"}, {"path": "tedlium_38032.wav", "duration": 5.28, "text": "We are very excited about the Michigan business acquired, and we think"}, {"path": "tedlium_38033.wav", "duration": 5.28, "text": "Thank you. Hello everyone and thank you for joining us on this morning's call."}, {"path": "tedlium_38034.wav", "duration": 5.28, "text": "Also, please note that we've reduced our assumption for capital rider recovery"}, {"path": "tedlium_38035.wav", "duration": 5.28, "text": "and will deliver improved financial performance and increase shareholder return as we move forward."}, {"path": "tedlium_38036.wav", "duration": 5.28, "text": "digesting the data that has been provided, are just now"}, {"path": "tedlium_38037.wav", "duration": 5.28, "text": "We would like to thank you for your continued support as we advance our strategic priorities."}, {"path": "tedlium_38038.wav", "duration": 5.28, "text": "We're clearly seeing the benefits of prior investments in growth and margin enhancement initiatives,"}, {"path": "tedlium_38039.wav", "duration": 5.28, "text": "where we are right now, we're in the middle of December, a lot of our customers shut down. I'd say it's probably"}, {"path": "tedlium_38040.wav", "duration": 5.28, "text": "Now let me turn the call over to Christian. Thank you, Philippe."}, {"path": "tedlium_38041.wav", "duration": 5.28, "text": "Let's discuss operations, and then I'll turn the call to Tom."}, {"path": "tedlium_38042.wav", "duration": 5.28, "text": "So now I just give the floor to Ney so he can say hello."}, {"path": "tedlium_38043.wav", "duration": 5.28, "text": "The increase in new is a result of seasonal equipment stocking"}, {"path": "tedlium_38044.wav", "duration": 5.28, "text": "Because -- and then you also said you're increasing trade promotion in certain areas."}, {"path": "tedlium_38045.wav", "duration": 5.28, "text": "We're very proud with the success rate of our predicted discovery capabilities,"}, {"path": "tedlium_38046.wav", "duration": 5.28, "text": "If you step back and look at Illinois, and remember, demand is driven by population"}, {"path": "tedlium_38047.wav", "duration": 5.28, "text": "Really just a question of getting the product on the ground in the balance of the year."}, {"path": "tedlium_38048.wav", "duration": 5.28, "text": "The main highlight in the global acquisition team was in marketing."}, {"path": "tedlium_38049.wav", "duration": 5.28, "text": "clarification on all the questions around the options to"}, {"path": "tedlium_38050.wav", "duration": 5.28, "text": "So that means also that we are satisfied with the retail development that we have seen."}, {"path": "tedlium_38051.wav", "duration": 5.28, "text": "and I'd like to walk you through some of those to better understand 2016 and"}, {"path": "tedlium_38052.wav", "duration": 5.28, "text": "So the footfall and the anchor tenant also backed out at the last minute. So very local reasons like this"}, {"path": "tedlium_38053.wav", "duration": 5.28, "text": "I'll cover a few other recent and upcoming launches in more detail later in the call."}, {"path": "tedlium_38054.wav", "duration": 5.28, "text": "We also faced significant weather interruptions and some customer delays to begin the year."}, {"path": "tedlium_38055.wav", "duration": 5.28, "text": "On the deposit side, again, excluding merger and branch divestiture activity,"}, {"path": "tedlium_38056.wav", "duration": 5.28, "text": "The cost structure, everything will remain the same for all the 3 publications."}, {"path": "tedlium_38057.wav", "duration": 5.28, "text": "And this year, we experienced significant storm activity, particularly in Upstate New York."}, {"path": "tedlium_38058.wav", "duration": 5.28, "text": "ensuring our equipment is properly maintained and planning for more frequent outages."}, {"path": "tedlium_38059.wav", "duration": 5.28, "text": "Now to go through some of the macroeconomic indicators."}, {"path": "tedlium_38060.wav", "duration": 5.28, "text": "a lot of user industries. We also focus"}, {"path": "tedlium_38061.wav", "duration": 5.28, "text": "at the beginning of a new phase. We're talking here about"}, {"path": "tedlium_38062.wav", "duration": 5.28, "text": "below 1 million that is not directly connected to a bigger relationship and"}, {"path": "tedlium_38063.wav", "duration": 5.28, "text": "At this time, I would like to go ahead and turn the call over to Dan for opening remarks."}, {"path": "tedlium_38064.wav", "duration": 5.28, "text": "as in the process -- we are in the process of hiring an experienced reliability engineer."}, {"path": "tedlium_38065.wav", "duration": 5.28, "text": "Wondering how this business performs in a rising rate environment, and if there's"}, {"path": "tedlium_38066.wav", "duration": 5.28, "text": "We remain confident in MPLX's compelling value proposition to our investors."}, {"path": "tedlium_38067.wav", "duration": 5.28, "text": "Is this in the both -- the New York market? Or is it more related to the Florida market?"}, {"path": "tedlium_38068.wav", "duration": 5.28, "text": "but we're not there yet. So I don't really -- I have not seen -- I don't think we have seen any"}, {"path": "tedlium_38069.wav", "duration": 5.28, "text": "This led to an approximately 50% increase in construction material operating income"}, {"path": "tedlium_38070.wav", "duration": 5.28, "text": "but the accounting does impact the reported operating expense and the reported"}, {"path": "tedlium_38071.wav", "duration": 5.28, "text": "I will now turn the call over to Karla to review our third quarter financial results."}, {"path": "tedlium_38072.wav", "duration": 5.28, "text": "I am very encouraged on the progress we have made in expanding our services."}, {"path": "tedlium_38073.wav", "duration": 5.2799375, "text": "Can you remind us what else is in here besides trucking cost, and is that primarily what's driving it?"}, {"path": "tedlium_38074.wav", "duration": 5.2500625, "text": "We feel well positioned with the right product entering our seasonally biggest quarters."}, {"path": "tedlium_38075.wav", "duration": 5.25, "text": "along with the impact of a stronger euro on our euro principal debt balances."}, {"path": "tedlium_38076.wav", "duration": 5.25, "text": "reduced the number of cores we're buying. But we've found ways to improve the efficiency of the business."}, {"path": "tedlium_38077.wav", "duration": 5.25, "text": "At the meeting of the American Society of Nephrology last month,"}, {"path": "tedlium_38078.wav", "duration": 5.25, "text": "we do want to be selective. We want to pick the best credits that we have."}, {"path": "tedlium_38079.wav", "duration": 5.25, "text": "what you don't need to do and what you can do to continue to optimize and improve those dollars spent. Matter of fact, that's"}, {"path": "tedlium_38080.wav", "duration": 5.25, "text": "rationalizing of our London office, and further closure of satellite offices."}, {"path": "tedlium_38081.wav", "duration": 5.25, "text": "Now let me take you through the details of our fourth quarter guidance."}, {"path": "tedlium_38082.wav", "duration": 5.25, "text": "we are continuing to see synchronized growth kind of around the globe."}, {"path": "tedlium_38083.wav", "duration": 5.25, "text": "This compares to national brands that were down 60 basis points over the same period."}, {"path": "tedlium_38084.wav", "duration": 5.25, "text": "they believe we're here for the long term as well. And I think Matt will have"}, {"path": "tedlium_38085.wav", "duration": 5.25, "text": "and thousands more employed in credit lending positions across other businesses."}, {"path": "tedlium_38086.wav", "duration": 5.25, "text": "and an increased emphasis on both retail pharmacy and specialty pharmacy growth."}, {"path": "tedlium_38087.wav", "duration": 5.25, "text": "so they can spend as much time as possible, inspiring and coaching our members."}, {"path": "tedlium_38088.wav", "duration": 5.25, "text": "within the app, not just only on Connect but with the entire member journey."}, {"path": "tedlium_38089.wav", "duration": 5.25, "text": "Maximizing gross profit margin has always been a priority at Reliance,"}, {"path": "tedlium_38090.wav", "duration": 5.25, "text": "the acquisition of the West Coast stuff really pushed those debt levels up to what"}, {"path": "tedlium_38091.wav", "duration": 5.25, "text": "mark in a year, tripling the frequency of coiled tubing unit overhauls."}, {"path": "tedlium_38092.wav", "duration": 5.25, "text": "We saw continued stability in our core check and product businesses"}, {"path": "tedlium_38093.wav", "duration": 5.25, "text": "in relation to the bad debt? Or what was the initial comment there?"}, {"path": "tedlium_38094.wav", "duration": 5.25, "text": "with respect to reinvesting in their businesses and looking at the real estate market as well."}, {"path": "tedlium_38095.wav", "duration": 5.25, "text": "I wanted to talk a little bit about earnings progression. So"}, {"path": "tedlium_38096.wav", "duration": 5.25, "text": "Restoring coverage on the distribution will depend on the timing of acquisitions"}, {"path": "tedlium_38097.wav", "duration": 5.25, "text": "The decision ended solar net metering in TEP's service territory."}, {"path": "tedlium_38098.wav", "duration": 5.25, "text": "We mitigated most of these issues and succeeded to"}, {"path": "tedlium_38099.wav", "duration": 5.25, "text": "In fact, to help our customers appreciate and see the potential of this new technology,"}, {"path": "tedlium_38100.wav", "duration": 5.25, "text": "Turning now to some of the developments we see unfolding in the fiber industry."}, {"path": "tedlium_38101.wav", "duration": 5.25, "text": "Our distributor sales were impacted by Latin America and Central Eastern Europe transitioning"}, {"path": "tedlium_38102.wav", "duration": 5.25, "text": "and we'll look at that. We'll continue to look at brands and how we fill out"}, {"path": "tedlium_38103.wav", "duration": 5.25, "text": "we're able to charge such high margins, because these intermediates are very complex."}, {"path": "tedlium_38104.wav", "duration": 5.25, "text": "In summary, we continue to see a lot of momentum in the market."}, {"path": "tedlium_38105.wav", "duration": 5.25, "text": "So that's on the high end of the peer group. So we'd like to work that down"}, {"path": "tedlium_38106.wav", "duration": 5.25, "text": "both in our stores and across our distribution and supply chain network."}, {"path": "tedlium_38107.wav", "duration": 5.25, "text": "This development is also attributable to Austria and Hungary."}, {"path": "tedlium_38108.wav", "duration": 5.25, "text": "does that reflect the moderation based on some of the lapping effects that were mentioned earlier?"}, {"path": "tedlium_38109.wav", "duration": 5.25, "text": "most importantly is the sports nutrition category"}, {"path": "tedlium_38110.wav", "duration": 5.25, "text": "and as a discontinued operation within the consolidated statements of operations."}, {"path": "tedlium_38111.wav", "duration": 5.25, "text": "And the construction will be paid -- and the remaining -- the rest of the price"}, {"path": "tedlium_38112.wav", "duration": 5.25, "text": "without commenting directly on the -- on your specific question, I think I'd say"}, {"path": "tedlium_38113.wav", "duration": 5.25, "text": "We will not proceed at the current equity levels, and so the licenses offer up"}, {"path": "tedlium_38114.wav", "duration": 5.25, "text": "to a large degree, is one that's well directed towards the operator on their expectations of"}, {"path": "tedlium_38115.wav", "duration": 5.25, "text": "I would like to make another point here that our portfolio is"}, {"path": "tedlium_38116.wav", "duration": 5.25, "text": "that patients follow in PH. And being able to eliminate that"}, {"path": "tedlium_38117.wav", "duration": 5.25, "text": "web team, who would now be able to be much more nimble and do a number of things."}, {"path": "tedlium_38118.wav", "duration": 5.25, "text": "extensive competitive advantage and we have declined to participate."}, {"path": "tedlium_38119.wav", "duration": 5.25, "text": "I think when we came up with that target,"}, {"path": "tedlium_38120.wav", "duration": 5.25, "text": "around the globe. That would be a unique capability that we can offer, and we think that should"}, {"path": "tedlium_38121.wav", "duration": 5.25, "text": "And it's not only our trend, but it's the industry trend. And when you go look back several quarters,"}, {"path": "tedlium_38122.wav", "duration": 5.25, "text": "Our expectations are that our conversion rates will improve as will our customer experience."}, {"path": "tedlium_38123.wav", "duration": 5.25, "text": "the goal to get your debt cost lower, yet you're talking about increasing leverage"}, {"path": "tedlium_38124.wav", "duration": 5.25, "text": "are able to selectively invest in what we believe are more attractive situations"}, {"path": "tedlium_38125.wav", "duration": 5.25, "text": "and when we look at other financial institutions that invest in these types of"}, {"path": "tedlium_38126.wav", "duration": 5.25, "text": "answered at this point. But I was just curious if you had any updates on the newer ABL business in Toronto?"}, {"path": "tedlium_38127.wav", "duration": 5.25, "text": "Alright, that's helpful. And then, one last question in regard to Review and Go."}, {"path": "tedlium_38128.wav", "duration": 5.25, "text": "We certainly are spending time looking at ways that we could expand that business"}, {"path": "tedlium_38129.wav", "duration": 5.25, "text": "We have long admired Northwest, their management team and accomplishments,"}, {"path": "tedlium_38130.wav", "duration": 5.25, "text": "executing with excellence and capitalizing on market consolidation opportunities."}, {"path": "tedlium_38131.wav", "duration": 5.25, "text": "We would like to continue to work on customer return measures improvement to curb churns going forward."}, {"path": "tedlium_38132.wav", "duration": 5.25, "text": "down very well inside the business, and we're making good progress on that."}, {"path": "tedlium_38133.wav", "duration": 5.25, "text": "so was our acceleration of the time line to be able to start human trials."}, {"path": "tedlium_38134.wav", "duration": 5.25, "text": "we don't have a direct engagement with customer yet,"}, {"path": "tedlium_38135.wav", "duration": 5.25, "text": "We expect Ironwood to deliver continued strong top-line growth"}, {"path": "tedlium_38136.wav", "duration": 5.25, "text": "and two, suggested modifications to the directions for use."}, {"path": "tedlium_38137.wav", "duration": 5.25, "text": "and give you enough sort of breadcrumbs to get after this."}, {"path": "tedlium_38138.wav", "duration": 5.25, "text": "are trained and educated to follow the money."}, {"path": "tedlium_38139.wav", "duration": 5.25, "text": "This followed a clean sheet exercise that highlighted the ammonia cost being more competitive"}, {"path": "tedlium_38140.wav", "duration": 5.25, "text": "We are grateful to our employees for all of their efforts in making this possible."}, {"path": "tedlium_38141.wav", "duration": 5.25, "text": "for the different products. A lot of the branches, even though we've trained all the branches already"}, {"path": "tedlium_38142.wav", "duration": 5.25, "text": "These increases were partially offset by productivity improvements in certain of our markets."}, {"path": "tedlium_38143.wav", "duration": 5.25, "text": "are not only from China. Some are from Japan and France."}, {"path": "tedlium_38144.wav", "duration": 5.25, "text": "which are also available on our website. Now, let me turn the call over to Mark."}, {"path": "tedlium_38145.wav", "duration": 5.25, "text": "Capacity increases are required for the industry to grow."}, {"path": "tedlium_38146.wav", "duration": 5.25, "text": "We would expect that to rebound fairly quickly here in the next quarter."}, {"path": "tedlium_38147.wav", "duration": 5.25, "text": "We are making the difficult decisions necessary to turn around our business in the West."}, {"path": "tedlium_38148.wav", "duration": 5.25, "text": "under probably any measure for a while before we'd actually have to pay"}, {"path": "tedlium_38149.wav", "duration": 5.25, "text": "that they're solid in the fourth quarter and might slip out."}, {"path": "tedlium_38150.wav", "duration": 5.25, "text": "and the value prop behind that. Now, as we said always in the past, it's hard for us"}, {"path": "tedlium_38151.wav", "duration": 5.25, "text": "What are those costs for? And I guess kind of, have you got any idea"}, {"path": "tedlium_38152.wav", "duration": 5.25, "text": "So we try to strip out the effect of Uplift in the first half. We'll continue to do that for the year."}, {"path": "tedlium_38153.wav", "duration": 5.25, "text": "not least because, as we know, on the water side of the business, revenues tend to be weighted"}, {"path": "tedlium_38154.wav", "duration": 5.25, "text": "but is it mattering a little bit less? And if you could talk a little bit about what might be changing there, that will be great."}, {"path": "tedlium_38155.wav", "duration": 5.25, "text": "as we think about that partnership, I'm guessing it would be -- we'd be expecting kind of"}, {"path": "tedlium_38156.wav", "duration": 5.25, "text": "to build out the business process that will allow United to be responsive to this market segment."}, {"path": "tedlium_38157.wav", "duration": 5.25, "text": "In December, we opened a new office in Dallas as the home of the Altium cyber pod."}, {"path": "tedlium_38158.wav", "duration": 5.25, "text": "and a greater breadth of applications optimized with our particular strengths in chemistry,"}, {"path": "tedlium_38159.wav", "duration": 5.25, "text": "followed by the typical manufacturing ramp up leading to subsequent supply chain optimization."}, {"path": "tedlium_38160.wav", "duration": 5.25, "text": "We've implemented several placement programs to meet customer needs and volumes."}, {"path": "tedlium_38161.wav", "duration": 5.25, "text": "And there are papers out there that are written by economists that suggest"}, {"path": "tedlium_38162.wav", "duration": 5.25, "text": "net new active accounts and engagement across our platform."}, {"path": "tedlium_38163.wav", "duration": 5.25, "text": "you'll start to see them have a little bit of a revenue contraction as those lower lead costs"}, {"path": "tedlium_38164.wav", "duration": 5.25, "text": "The protocol requires only 1 patient at each of the 2 lowest dose levels,"}, {"path": "tedlium_38165.wav", "duration": 5.25, "text": "Many of these decisions came at a cost, but they were definitely the right thing to do."}, {"path": "tedlium_38166.wav", "duration": 5.25, "text": "to execute these projects and reduce risk going forward"}, {"path": "tedlium_38167.wav", "duration": 5.25, "text": "growing at a decent rate and as profitable as you are?"}, {"path": "tedlium_38168.wav", "duration": 5.25, "text": "Not only is it we're selling more of a complete bundle, but also the clients"}, {"path": "tedlium_38169.wav", "duration": 5.25, "text": "Even if it's not been proven to be viable?"}, {"path": "tedlium_38170.wav", "duration": 5.25, "text": "And can continue to provide low carbon and reliable electricity."}, {"path": "tedlium_38171.wav", "duration": 5.25, "text": "really focused on the execution and selling installation in the stores."}, {"path": "tedlium_38172.wav", "duration": 5.25, "text": "just as you've known us to do over time. We'll look selectively and very carefully"}, {"path": "tedlium_38173.wav", "duration": 5.25, "text": "and the tremendous efficiency in our manufacturing and organizational infrastructure."}, {"path": "tedlium_38174.wav", "duration": 5.25, "text": "but -- because I don't know how that revenue is going to flow into those quarters yet. It's very hard for us"}, {"path": "tedlium_38175.wav", "duration": 5.25, "text": "with the new technology, we are shipping so much faster and more efficiently."}, {"path": "tedlium_38176.wav", "duration": 5.25, "text": "Although the partnership believes that the expectations reflected in such forward-looking statements are reasonable,"}, {"path": "tedlium_38177.wav", "duration": 5.25, "text": "Actual results may differ materially from those suggested by our comments today."}, {"path": "tedlium_38178.wav", "duration": 5.25, "text": "We ended the quarter with strong leverage ratios and have ample room under our financial covenant."}, {"path": "tedlium_38179.wav", "duration": 5.25, "text": "and then replicating that as you continue to expand"}, {"path": "tedlium_38180.wav", "duration": 5.25, "text": "When you look at the competitive landscape today, most of the consumer's financial wallet is with the big banks."}, {"path": "tedlium_38181.wav", "duration": 5.25, "text": "The total number of fixed mobile additions this quarter was in line with last quarter."}, {"path": "tedlium_38182.wav", "duration": 5.25, "text": "but there was no change in the main trends compared with the first quarter."}, {"path": "tedlium_38183.wav", "duration": 5.25, "text": "and we have the strength and flexibility to support our business over the long term."}, {"path": "tedlium_38184.wav", "duration": 5.25, "text": "Asia results were also down on lower current crop sales and delayed shipment timing."}, {"path": "tedlium_38185.wav", "duration": 5.25, "text": "And that directly had an impact on the conversion rate, which rebounded"}, {"path": "tedlium_38186.wav", "duration": 5.25, "text": "Oil Search has seen a very positive response from Northeast Asian buyers in particular."}, {"path": "tedlium_38187.wav", "duration": 5.25, "text": "as we sit right now and we'll progress it as a matter of urgency over the coming weeks."}, {"path": "tedlium_38188.wav", "duration": 5.25, "text": "with pluses and negatives across the customer base and within any given customer across"}, {"path": "tedlium_38189.wav", "duration": 5.25, "text": "for serving our customers at the highest level and for continuing to optimize our business."}, {"path": "tedlium_38190.wav", "duration": 5.25, "text": "per year, they could all happen at the same time or not."}, {"path": "tedlium_38191.wav", "duration": 5.25, "text": "now looking at the adjusted earnings. With all those adjustments,"}, {"path": "tedlium_38192.wav", "duration": 5.25, "text": "primarily in 14 investments, most of which were senior secured loans."}, {"path": "tedlium_38193.wav", "duration": 5.25, "text": "So we're independent vendors. So we're able to play with all the different"}, {"path": "tedlium_38194.wav", "duration": 5.25, "text": "And also if you can give a little more color on your comments about the age limits that you're seeing and"}, {"path": "tedlium_38195.wav", "duration": 5.25, "text": "That's not the case right now. Now if you're asking me to kind of hypothesize about looking out"}, {"path": "tedlium_38196.wav", "duration": 5.25, "text": "and the market increasingly focused on shareholder returns and free cash flow generation,"}, {"path": "tedlium_38197.wav", "duration": 5.25, "text": "In addition, references will be made during this call to non-GAAP financial results."}, {"path": "tedlium_38198.wav", "duration": 5.25, "text": "and recently received sales for a large infrastructure project as mentioned in our press release."}, {"path": "tedlium_38199.wav", "duration": 5.25, "text": "and the established recruitment and training processes really start to scale now."}, {"path": "tedlium_38200.wav", "duration": 5.25, "text": "The second quarter was the last full quarter of Morpheus impact year-over-year."}, {"path": "tedlium_38201.wav", "duration": 5.25, "text": "year. Shouldn't the company be thinking about cash deployment"}, {"path": "tedlium_38202.wav", "duration": 5.25, "text": "And so we continue to think -- we don't have any specific target for it."}, {"path": "tedlium_38203.wav", "duration": 5.25, "text": "I think the Trump campaign is a unique and special"}, {"path": "tedlium_38204.wav", "duration": 5.25, "text": "In partnership with Teads, a global outstream video advertising network,"}, {"path": "tedlium_38205.wav", "duration": 5.25, "text": "So before opening up the call to questions, a few final comments from me."}, {"path": "tedlium_38206.wav", "duration": 5.25, "text": "whereas then in the industrial cranes and crane components business units,"}, {"path": "tedlium_38207.wav", "duration": 5.25, "text": "I understand some of the things that you've discussed regarding"}, {"path": "tedlium_38208.wav", "duration": 5.25, "text": "countries and languages. So we've been focusing on that and trying to simplify the offering"}, {"path": "tedlium_38209.wav", "duration": 5.25, "text": "having some extra costs in connection with the acquisition of SCALES."}, {"path": "tedlium_38210.wav", "duration": 5.25, "text": "So we continue to monitor market developments. But simply put, it's all good"}, {"path": "tedlium_38211.wav", "duration": 5.25, "text": "I'm not going to set through in too much detail on the cash flow that I have"}, {"path": "tedlium_38212.wav", "duration": 5.25, "text": "and we will leverage our brand vision into a much stronger consumer offering."}, {"path": "tedlium_38213.wav", "duration": 5.25, "text": "by the institution that we referenced. And"}, {"path": "tedlium_38214.wav", "duration": 5.25, "text": "We've spent a lot of time working on the productivity of our promo planning, which you've heard a lot about."}, {"path": "tedlium_38215.wav", "duration": 5.25, "text": "At the conclusion of the company's presentation, we will open the call for questions."}, {"path": "tedlium_38216.wav", "duration": 5.25, "text": "So those do represent a good portion of the backlog as well. So"}, {"path": "tedlium_38217.wav", "duration": 5.25, "text": "delayed replacement in rentals. So just curious how we should be thinking about next year."}, {"path": "tedlium_38218.wav", "duration": 5.25, "text": "Turning to expenses. Overall, our expenses for the first quarter were in line with expectations."}, {"path": "tedlium_38219.wav", "duration": 5.25, "text": "and we're excited to help address the unmet needs of veterans struggling with schizophrenia."}, {"path": "tedlium_38220.wav", "duration": 5.25, "text": "Those projects all stayed well on track and within our budgeted projections."}, {"path": "tedlium_38221.wav", "duration": 5.25, "text": "to offer favorable finance or payment terms"}, {"path": "tedlium_38222.wav", "duration": 5.25, "text": "based on the plan implementation schedule for new business signed in the latter half of last year."}, {"path": "tedlium_38223.wav", "duration": 5.25, "text": "and shifted some of our professional services capacity to third parties."}, {"path": "tedlium_38224.wav", "duration": 5.25, "text": "We expect to reinvest some of the additional contribution from this revenue growth"}, {"path": "tedlium_38225.wav", "duration": 5.25, "text": "To sum up the quarter, I'm extremely proud of our performance."}, {"path": "tedlium_38226.wav", "duration": 5.2200625, "text": "takes place under the current EC framework, and the last time"}, {"path": "tedlium_38227.wav", "duration": 5.2200625, "text": "In China, there is a saying, fit the appetite to the dishes."}, {"path": "tedlium_38228.wav", "duration": 5.2200625, "text": "that this number will also increase over the next months."}, {"path": "tedlium_38229.wav", "duration": 5.22, "text": "As you can see, with this growth, we're also steadily widening the aperture over time"}, {"path": "tedlium_38230.wav", "duration": 5.22, "text": "we're choosing to adopt a broadly more cautious outlook for the second half of our fiscal year."}, {"path": "tedlium_38231.wav", "duration": 5.22, "text": "is to take a base that has been declining gently over several years and tip into gentle growth."}, {"path": "tedlium_38232.wav", "duration": 5.22, "text": "where we increased occupancy slightly, but we saw a continued pressure on rate."}, {"path": "tedlium_38233.wav", "duration": 5.22, "text": "than we tend to be at Knight, and we don't really have any plans to"}, {"path": "tedlium_38234.wav", "duration": 5.22, "text": "Now last quarter, you may recall I talked about Elo, the largest credit card in Brazil,"}, {"path": "tedlium_38235.wav", "duration": 5.22, "text": "due to the rate revisions that we did and"}, {"path": "tedlium_38236.wav", "duration": 5.22, "text": "It's got a different type of recess membrane and it's going to bring some new packaging ideas that"}, {"path": "tedlium_38237.wav", "duration": 5.22, "text": "Based on our performance year-to-date, taking into account current market conditions"}, {"path": "tedlium_38238.wav", "duration": 5.22, "text": "And for the existing orders that we received prior to this"}, {"path": "tedlium_38239.wav", "duration": 5.22, "text": "We always said that 1 quarter in this business is not really important."}, {"path": "tedlium_38240.wav", "duration": 5.22, "text": "had fallen behind over the last year. The brand holds a very high share"}, {"path": "tedlium_38241.wav", "duration": 5.22, "text": "is actually part of the basis on which the bonus is"}, {"path": "tedlium_38242.wav", "duration": 5.22, "text": "as well as good working capital management by the end of the year."}, {"path": "tedlium_38243.wav", "duration": 5.22, "text": "We operate for the long-term, so we look at -- don't look at daily fluctuations and"}, {"path": "tedlium_38244.wav", "duration": 5.22, "text": "creating sustainable, expandable and profitable customer relationships."}, {"path": "tedlium_38245.wav", "duration": 5.22, "text": "Further moderations in the funds net outflows is evident in January."}, {"path": "tedlium_38246.wav", "duration": 5.22, "text": "infer any effect size from the information that Amgen have yet published"}, {"path": "tedlium_38247.wav", "duration": 5.22, "text": "We are in a rising interest rate environment, which is positive for margins."}, {"path": "tedlium_38248.wav", "duration": 5.22, "text": "Yet our industry-leading technology has driven much of the recent growth we've seen in this business."}, {"path": "tedlium_38249.wav", "duration": 5.22, "text": "the sheer quality and energy and commitment of the Saudi workforce there."}, {"path": "tedlium_38250.wav", "duration": 5.22, "text": "complementing and enhancing the value of the other. They'll work as a system together"}, {"path": "tedlium_38251.wav", "duration": 5.22, "text": "We are -- continue to invest in a disciplined way through this latest cycle."}, {"path": "tedlium_38252.wav", "duration": 5.22, "text": "We will be able to scale the respective supply over time, but it will have this impact,"}, {"path": "tedlium_38253.wav", "duration": 5.22, "text": "We intend to grow the dividend in line with the growth of our fee-related earnings."}, {"path": "tedlium_38254.wav", "duration": 5.22, "text": "with a shrinking component in open-ended funds in traded liquid assets."}, {"path": "tedlium_38255.wav", "duration": 5.22, "text": "I was very proud of our associates who expressed the desire to help those recently impacted,"}, {"path": "tedlium_38256.wav", "duration": 5.22, "text": "expanded its presence globally and set the stage for continued growth going forward."}, {"path": "tedlium_38257.wav", "duration": 5.22, "text": "we have known that the first half of this year would have more year-over-year earnings pressure,"}, {"path": "tedlium_38258.wav", "duration": 5.22, "text": "we see attractive opportunities to expand clinical development activity in the near term."}, {"path": "tedlium_38259.wav", "duration": 5.22, "text": "maintaining a strong financial foundation, and engaging and developing our people."}, {"path": "tedlium_38260.wav", "duration": 5.22, "text": "In that consultation document, the proposed returns for gas and transmission"}, {"path": "tedlium_38261.wav", "duration": 5.22, "text": "I'll use that as a base in explaining the year-over-year drivers for comparability purposes."}, {"path": "tedlium_38262.wav", "duration": 5.22, "text": "Does that reinforce your confidence? And how should we think about the contribution to the growth?"}, {"path": "tedlium_38263.wav", "duration": 5.22, "text": "an increase of more than 50% that is largely due to the impact of our acquisitions."}, {"path": "tedlium_38264.wav", "duration": 5.22, "text": "kind of superior on the service and quality, delivery to our customers and try to"}, {"path": "tedlium_38265.wav", "duration": 5.22, "text": "This excludes the impact of consolidating franchisees during the quarter."}, {"path": "tedlium_38266.wav", "duration": 5.22, "text": "We are also even more confident now with our pathway to drive Galafold sales"}, {"path": "tedlium_38267.wav", "duration": 5.22, "text": "environment as far as we see in our legacy business in Europe has"}, {"path": "tedlium_38268.wav", "duration": 5.22, "text": "seems like your store business is growing at or better than the market."}, {"path": "tedlium_38269.wav", "duration": 5.22, "text": "We are forever indebted to the people who made Cornerstone what it is today."}, {"path": "tedlium_38270.wav", "duration": 5.22, "text": "I'll now turn the call back over to Tom for his closing remarks. Thanks, Bruce."}, {"path": "tedlium_38271.wav", "duration": 5.22, "text": "in that case you move like a commodity, we manage in that case margin. And"}, {"path": "tedlium_38272.wav", "duration": 5.22, "text": "But we had also"}, {"path": "tedlium_38273.wav", "duration": 5.22, "text": "but now that we've got a couple of years of history behind us, we've targeted them"}, {"path": "tedlium_38274.wav", "duration": 5.22, "text": "The volatile investment market had a huge impact on the result for this quarter."}, {"path": "tedlium_38275.wav", "duration": 5.22, "text": "So any such transaction would be contemplated only if it created value"}, {"path": "tedlium_38276.wav", "duration": 5.22, "text": "If we look at the mobile market share of this quarter, it seems to have"}, {"path": "tedlium_38277.wav", "duration": 5.22, "text": "which gets offset by some of the content management that we're doing in that space."}, {"path": "tedlium_38278.wav", "duration": 5.22, "text": "in more and more automotive and industrial applications."}, {"path": "tedlium_38279.wav", "duration": 5.22, "text": "production, in much the same way as we've been doing again at Peshkabir for the last 18 months."}, {"path": "tedlium_38280.wav", "duration": 5.22, "text": "what origination volumes are, where our producers are in their annual splits et cetera, et cetera."}, {"path": "tedlium_38281.wav", "duration": 5.22, "text": "So that's probably going to take the balance of the year. But I mean, we took"}, {"path": "tedlium_38282.wav", "duration": 5.22, "text": "primarily due to lower sales in the first quarter."}, {"path": "tedlium_38283.wav", "duration": 5.22, "text": "A complete summary of the amendment was included in our 8-K filing in early June"}, {"path": "tedlium_38284.wav", "duration": 5.22, "text": "the price of fuel and general economic conditions."}, {"path": "tedlium_38285.wav", "duration": 5.22, "text": "is it fair to say that if the year breaks the way you think it will, you should do better than that?"}, {"path": "tedlium_38286.wav", "duration": 5.22, "text": "We're also building out in our tri-party operations an automated rules engine so that"}, {"path": "tedlium_38287.wav", "duration": 5.22, "text": "certainly from our own statements, from the comps we've heard from a number of our"}, {"path": "tedlium_38288.wav", "duration": 5.22, "text": "want to make sure that we've got the capability to deliver the best cancer treatment"}, {"path": "tedlium_38289.wav", "duration": 5.22, "text": "products, product categories that could be significant sales drivers between"}, {"path": "tedlium_38290.wav", "duration": 5.22, "text": "and full revenue price points that are consistent between ourselves and our competitors."}, {"path": "tedlium_38291.wav", "duration": 5.22, "text": "Another is an ERP vendor, a vendor to some of our existing ARC customers."}, {"path": "tedlium_38292.wav", "duration": 5.22, "text": "And then two, can you give us a sense as to what -- it has been about a year since"}, {"path": "tedlium_38293.wav", "duration": 5.22, "text": "And then my final question was just on the operating variances within the AFR, because"}, {"path": "tedlium_38294.wav", "duration": 5.22, "text": "including the transition periods we have with the current leaders there."}, {"path": "tedlium_38295.wav", "duration": 5.22, "text": "Correspondent Production should continue to generate significant income,"}, {"path": "tedlium_38296.wav", "duration": 5.22, "text": "Then you can really make a lot of progress in implementing and executing the strategy."}, {"path": "tedlium_38297.wav", "duration": 5.22, "text": "in the investment community had interpreted our revision as a cut."}, {"path": "tedlium_38298.wav", "duration": 5.22, "text": "and the fact that the rule really does emphasize the importance of choice counseling for beneficiaries,"}, {"path": "tedlium_38299.wav", "duration": 5.22, "text": "study and also begin our cisternal study in order to really drive"}, {"path": "tedlium_38300.wav", "duration": 5.22, "text": "if there was anything in terms of a price impact in there as well?"}, {"path": "tedlium_38301.wav", "duration": 5.22, "text": "when you think about it, what we did is,"}, {"path": "tedlium_38302.wav", "duration": 5.22, "text": "for subordinate and voting common shares and multiple voting shares outstanding."}, {"path": "tedlium_38303.wav", "duration": 5.22, "text": "Gains will continue to come from driving efficiency in every aspect of the business"}, {"path": "tedlium_38304.wav", "duration": 5.22, "text": "the increase in our domestic productivity -- the domestic production activity deduction"}, {"path": "tedlium_38305.wav", "duration": 5.22, "text": "Infrastructure backlog was down mainly due to not having a large pellet plant on order."}, {"path": "tedlium_38306.wav", "duration": 5.22, "text": "we do expect some uptick on the net one. That's what we've guided to."}, {"path": "tedlium_38307.wav", "duration": 5.22, "text": "we can't say anything until there's something to talk about specifically, but"}, {"path": "tedlium_38308.wav", "duration": 5.22, "text": "We have also posted a PDF version of the slide presentation for this call."}, {"path": "tedlium_38309.wav", "duration": 5.22, "text": "Next, I will provide you with an opportunity to ask questions."}, {"path": "tedlium_38310.wav", "duration": 5.22, "text": "When you think about the California plants and the changes in that market,"}, {"path": "tedlium_38311.wav", "duration": 5.22, "text": "On Slide 5, we can start with a review of the Polymer segment financial results."}, {"path": "tedlium_38312.wav", "duration": 5.22, "text": "It will expand our digital capabilities to further improve our personalization."}, {"path": "tedlium_38313.wav", "duration": 5.22, "text": "Great. And does that usually close in one big chunk or like a series of different closings over time?"}, {"path": "tedlium_38314.wav", "duration": 5.22, "text": "and we are currently in the beginning of executing on it"}, {"path": "tedlium_38315.wav", "duration": 5.22, "text": "And with our new Vetri model, we're targeting the higher-end customers"}, {"path": "tedlium_38316.wav", "duration": 5.22, "text": "as a result of their strategic actions to better position the company for long-term success."}, {"path": "tedlium_38317.wav", "duration": 5.22, "text": "Equally, I'm delighted with the velocity in all aspects of our business,"}, {"path": "tedlium_38318.wav", "duration": 5.22, "text": "along with acquisitions during the past year allowed us to grow revenue just slightly"}, {"path": "tedlium_38319.wav", "duration": 5.22, "text": "So as -- this year, the long end came down when the short end came up,"}, {"path": "tedlium_38320.wav", "duration": 5.22, "text": "as we can now provide a complete integrated steering solution to our customers."}, {"path": "tedlium_38321.wav", "duration": 5.22, "text": "we like that balance. We really think it's a good thing for the brand and for our national expansion."}, {"path": "tedlium_38322.wav", "duration": 5.22, "text": "We believe that our initial efforts in this regard are helping drive our performance."}, {"path": "tedlium_38323.wav", "duration": 5.22, "text": "The thing that gets lost sometimes in translation is we train people to do things the Main Street way."}, {"path": "tedlium_38324.wav", "duration": 5.22, "text": "On the capital resources front, our liquidity and overall capitalization remained strong."}, {"path": "tedlium_38325.wav", "duration": 5.22, "text": "using all the available data we have from the first trial, from the completers of the first trial."}, {"path": "tedlium_38326.wav", "duration": 5.22, "text": "Martha is also currently a guest judge on Chopped."}, {"path": "tedlium_38327.wav", "duration": 5.22, "text": "we have flexibility to ensure that we take advantage of optimal market conditions."}, {"path": "tedlium_38328.wav", "duration": 5.22, "text": "So -- and the third one that I mentioned was that"}, {"path": "tedlium_38329.wav", "duration": 5.22, "text": "we have plenty of tools and levers that we can pull ultimately to make sure that we're continuing"}, {"path": "tedlium_38330.wav", "duration": 5.22, "text": "for instance, and really want to engage with us on that and it leads to something else. So"}, {"path": "tedlium_38331.wav", "duration": 5.22, "text": "overseas and the implementation of surgical pricing actions domestically,"}, {"path": "tedlium_38332.wav", "duration": 5.22, "text": "that? And then maybe what are the steps you plan to maybe turn around that?"}, {"path": "tedlium_38333.wav", "duration": 5.22, "text": "making a good point in that there certainly is an offsetting"}, {"path": "tedlium_38334.wav", "duration": 5.22, "text": "and will be able to work with all the efficiency needed."}, {"path": "tedlium_38335.wav", "duration": 5.22, "text": "on a journey towards delivering profit growth at twice the rate of revenue growth."}, {"path": "tedlium_38336.wav", "duration": 5.22, "text": "Turning to guidance. Looking forward to the remainder of the year,"}, {"path": "tedlium_38337.wav", "duration": 5.22, "text": "of conversion from natural grass field to artificial turf"}, {"path": "tedlium_38338.wav", "duration": 5.22, "text": "to their expertise in introducing our product in this important geography."}, {"path": "tedlium_38339.wav", "duration": 5.22, "text": "With the drilling and with our work on the base that includes"}, {"path": "tedlium_38340.wav", "duration": 5.22, "text": "we believe the ability to make an investment of this size,"}, {"path": "tedlium_38341.wav", "duration": 5.22, "text": "We expect to have around 3 million customers using this service by the year-end."}, {"path": "tedlium_38342.wav", "duration": 5.22, "text": "And then Larry will go over Core's 2 operating segments, detailing our progress"}, {"path": "tedlium_38343.wav", "duration": 5.22, "text": "which tends to focus your attention on looking at those businesses."}, {"path": "tedlium_38344.wav", "duration": 5.22, "text": "when will these be paid out and will they, in fact, be paid out at all?"}, {"path": "tedlium_38345.wav", "duration": 5.22, "text": "what are you personally most proud of? And what are you looking forward to in terms of continuing to kind of"}, {"path": "tedlium_38346.wav", "duration": 5.22, "text": "But we're looking forward to painting a picture for you guys when you get here"}, {"path": "tedlium_38347.wav", "duration": 5.22, "text": "I had a couple of questions for you. First of all, could you tell me"}, {"path": "tedlium_38348.wav", "duration": 5.22, "text": "There is nothing you can do. It smells a little bit there for"}, {"path": "tedlium_38349.wav", "duration": 5.22, "text": "part of the university and obviously the public company has a publicly"}, {"path": "tedlium_38350.wav", "duration": 5.22, "text": "We continue to evidence the strong cash flow generating capacity of our business"}, {"path": "tedlium_38351.wav", "duration": 5.22, "text": "I mean, that is exactly what we're doing. We want the exploration folks to know that,"}, {"path": "tedlium_38352.wav", "duration": 5.22, "text": "is inclusive of our new Church Management solution investment, which is being developed internally."}, {"path": "tedlium_38353.wav", "duration": 5.22, "text": "And I think what's happened is our customers -- and again, I think everything has to be put in perspective."}, {"path": "tedlium_38354.wav", "duration": 5.22, "text": "And as we make further progress on our network, fraud, waste and abuse and care management initiatives,"}, {"path": "tedlium_38355.wav", "duration": 5.22, "text": "your level of prices in Latin America or in Brazil specifically"}, {"path": "tedlium_38356.wav", "duration": 5.22, "text": "After separation, refining, it is transported either through the pipeline"}, {"path": "tedlium_38357.wav", "duration": 5.22, "text": "it's not a big issue either way because we have very small cash balance, and we don't really have"}, {"path": "tedlium_38358.wav", "duration": 5.22, "text": "that will be a good cultural fit for us that we can easily digest. So"}, {"path": "tedlium_38359.wav", "duration": 5.22, "text": "the piece of the business in that segment had a 7%, I guess, negative"}, {"path": "tedlium_38360.wav", "duration": 5.22, "text": "people paying down on overall ticket value instead of suspending trips?"}, {"path": "tedlium_38361.wav", "duration": 5.22, "text": "getting to the point where we generate cash at the operating level on a full year basis as well."}, {"path": "tedlium_38362.wav", "duration": 5.22, "text": "And so the other thing we mentioned already but we are exploring strategic options"}, {"path": "tedlium_38363.wav", "duration": 5.22, "text": "to total cap ratio, we've got room to absorb some of that without jeopardizing"}, {"path": "tedlium_38364.wav", "duration": 5.22, "text": "that we were able to finally close in the third quarter."}, {"path": "tedlium_38365.wav", "duration": 5.22, "text": "We have historically followed a process of"}, {"path": "tedlium_38366.wav", "duration": 5.22, "text": "we feel like, by doing so, we're helping our new competitors more than we"}, {"path": "tedlium_38367.wav", "duration": 5.22, "text": "the Tennessee DOT is trying to accelerate that spending, but it always takes a little time."}, {"path": "tedlium_38368.wav", "duration": 5.22, "text": "people who didn't know this was an opportunity, customers who didn't know they could actually"}, {"path": "tedlium_38369.wav", "duration": 5.22, "text": "we are implementing a number of initiatives to expand au Economic Zone."}, {"path": "tedlium_38370.wav", "duration": 5.22, "text": "The first airframe manufactured in Jacksonville arrived in Bloomfield in the fourth quarter,"}, {"path": "tedlium_38371.wav", "duration": 5.22, "text": "manner. So the expenses for CRD will ramp during the year"}, {"path": "tedlium_38372.wav", "duration": 5.22, "text": "Turning to Slide 8. This is a snapshot of our Innovation and Technology pipeline."}, {"path": "tedlium_38373.wav", "duration": 5.22, "text": "And we are rapidly building the Infrastructure to support those efforts in a cost effective and prudent manner."}, {"path": "tedlium_38374.wav", "duration": 5.22, "text": "In terms of color on that, I would say it was no one thing,"}, {"path": "tedlium_38375.wav", "duration": 5.22, "text": "facility lookup and full price transparency directly to the consumer"}, {"path": "tedlium_38376.wav", "duration": 5.22, "text": "Productivity enhancements also contributed to the operating leverage experienced in the segment"}, {"path": "tedlium_38377.wav", "duration": 5.22, "text": "Our improved performance led to significantly higher returns on invested capital"}, {"path": "tedlium_38378.wav", "duration": 5.22, "text": "service providers are still moving cautiously in terms of commercial traffic and actual spending."}, {"path": "tedlium_38379.wav", "duration": 5.22, "text": "emission control systems and then the technology and advanced materials components of the revenue?"}, {"path": "tedlium_38380.wav", "duration": 5.22, "text": "event that the order intake doesn't pick up as early as you hope?"}, {"path": "tedlium_38381.wav", "duration": 5.22, "text": "Before discussing our outlook, I'll turn to Dan for additional color on the first quarter. Dan?"}, {"path": "tedlium_38382.wav", "duration": 5.22, "text": "And by delivering this vertical product and technology strategy,"}, {"path": "tedlium_38383.wav", "duration": 5.22, "text": "including those related to the company's outlook, are based on management's current expectations,"}, {"path": "tedlium_38384.wav", "duration": 5.22, "text": "generally the subject of discussion, which is, what are we seeing in the market, what are we seeing from our clients,"}, {"path": "tedlium_38385.wav", "duration": 5.22, "text": "so far this year, and I think that's likely to continue in the second quarter,"}, {"path": "tedlium_38386.wav", "duration": 5.2199375, "text": "But they've kind of sat in their own little silos and"}, {"path": "tedlium_38387.wav", "duration": 5.19, "text": "and we continue to look at possibly monetizing the mobile traffic."}, {"path": "tedlium_38388.wav", "duration": 5.19, "text": "And after the call, a replay will be available for you."}, {"path": "tedlium_38389.wav", "duration": 5.19, "text": "open up new territories in terms of new utility geographies that we serve."}, {"path": "tedlium_38390.wav", "duration": 5.19, "text": "and then utilize one of the other projects that we're working on to continue to deploy capital for the long term."}, {"path": "tedlium_38391.wav", "duration": 5.19, "text": "Therefore, the company claims the safe harbor protection and forward-looking statements contained in the Private"}, {"path": "tedlium_38392.wav", "duration": 5.19, "text": "from a standpoint of not only providing hardware, but also software."}, {"path": "tedlium_38393.wav", "duration": 5.19, "text": "We continue to see high single-digit local currency growth in our European credit operations."}, {"path": "tedlium_38394.wav", "duration": 5.19, "text": "related to employee share-based payments through the income statement."}, {"path": "tedlium_38395.wav", "duration": 5.19, "text": "Moving to the income statement, I'll start by talking you through the results by division."}, {"path": "tedlium_38396.wav", "duration": 5.19, "text": "We have implementation programs in progress with a growing number of major media players."}, {"path": "tedlium_38397.wav", "duration": 5.19, "text": "A lot of young people own a lot of options in something that could be very valuable."}, {"path": "tedlium_38398.wav", "duration": 5.19, "text": "as well as the Total Hip Application, and is supporting the growth we are seeing in both franchises."}, {"path": "tedlium_38399.wav", "duration": 5.19, "text": "and the resulting network would continue to use many of the acquired sites."}, {"path": "tedlium_38400.wav", "duration": 5.19, "text": "but I would love to hear your thoughts about the medium and the long-term, how do you think that"}, {"path": "tedlium_38401.wav", "duration": 5.19, "text": "we're getting a good outcome to accelerate some of our objectives there."}, {"path": "tedlium_38402.wav", "duration": 5.19, "text": "but up sequentially from the second quarter, and we posted positive operating income."}, {"path": "tedlium_38403.wav", "duration": 5.19, "text": "In summary, we are pleased with the first half results from our Services segment."}, {"path": "tedlium_38404.wav", "duration": 5.19, "text": "So what I would say is that my team is working diligently with"}, {"path": "tedlium_38405.wav", "duration": 5.19, "text": "It's very difficult to change that. You have to start with infants."}, {"path": "tedlium_38406.wav", "duration": 5.19, "text": "as people move from, just like in the rest of the world, as they move onto mobile, and"}, {"path": "tedlium_38407.wav", "duration": 5.19, "text": "for quite some time, as I mentioned earlier. But what we see as well right now is that"}, {"path": "tedlium_38408.wav", "duration": 5.19, "text": "But it basically means that if the clients decides to"}, {"path": "tedlium_38409.wav", "duration": 5.19, "text": "we've always indicated that we'd see an increase in working capital requirements."}, {"path": "tedlium_38410.wav", "duration": 5.19, "text": "fairly good at recovering what those costs might be on the paper side of the business."}, {"path": "tedlium_38411.wav", "duration": 5.19, "text": "And on top of that, of course, we have another very important factor which is the language problem."}, {"path": "tedlium_38412.wav", "duration": 5.19, "text": "Our Healthcare team evaluated many financing opportunities during the quarter,"}, {"path": "tedlium_38413.wav", "duration": 5.19, "text": "expanding our ETF platform and new product launches as well as new technology."}, {"path": "tedlium_38414.wav", "duration": 5.19, "text": "was partially mitigated by the high interest rate environment in Brazil."}, {"path": "tedlium_38415.wav", "duration": 5.19, "text": "In the current environment, with many adult smokers trading up into premium brands,"}, {"path": "tedlium_38416.wav", "duration": 5.19, "text": "to be a reliable future stream with partners that have significant reach."}, {"path": "tedlium_38417.wav", "duration": 5.19, "text": "We are beginning to see results such as the acceleration of the Red Lake development."}, {"path": "tedlium_38418.wav", "duration": 5.19, "text": "We also continue to expand our long-standing presence in emerging markets"}, {"path": "tedlium_38419.wav", "duration": 5.19, "text": "And are you going to break that out for us at some point?"}, {"path": "tedlium_38420.wav", "duration": 5.19, "text": "Is that probably the operational changes you made that maybe allowed you to buy a little bit more?"}, {"path": "tedlium_38421.wav", "duration": 5.19, "text": "I also want to provide an update on our overall asset expectations for NPH. When"}, {"path": "tedlium_38422.wav", "duration": 5.19, "text": "and uncertainties that may cause actual results to differ materially."}, {"path": "tedlium_38423.wav", "duration": 5.19, "text": "we will refranchise the business. And that's what we did in Jordan. That's what we did in Thailand."}, {"path": "tedlium_38424.wav", "duration": 5.19, "text": "What I can tell you is that today, we have the best possible offer"}, {"path": "tedlium_38425.wav", "duration": 5.19, "text": "some of the Northern European cereal crops were a little bit slower, and I think you'll"}, {"path": "tedlium_38426.wav", "duration": 5.19, "text": "There will be potentially an increase in capital requirements"}, {"path": "tedlium_38427.wav", "duration": 5.19, "text": "Please note that non-GAAP financial measures should not be considered in isolation from,"}, {"path": "tedlium_38428.wav", "duration": 5.19, "text": "Let me just take a minute and talk about divestitures as a general topic."}, {"path": "tedlium_38429.wav", "duration": 5.19, "text": "We are very excited and pleased with our team's solid progress in this new arena."}, {"path": "tedlium_38430.wav", "duration": 5.19, "text": "independents operating at scale that's actually acquiring and releasing these films. So"}, {"path": "tedlium_38431.wav", "duration": 5.19, "text": "What's most important is to maximize sales"}, {"path": "tedlium_38432.wav", "duration": 5.19, "text": "along with our ability to earn incentive revenues are 2 very strong reasons"}, {"path": "tedlium_38433.wav", "duration": 5.19, "text": "So if we would -- therefore we thought really keeping them"}, {"path": "tedlium_38434.wav", "duration": 5.19, "text": "repeat those successes. And it's something that's doable"}, {"path": "tedlium_38435.wav", "duration": 5.19, "text": "Should we read that it could be down sequentially in the second quarter versus the first quarter?"}, {"path": "tedlium_38436.wav", "duration": 5.19, "text": "and potentially worsen, which will weigh on category and revenue growth."}, {"path": "tedlium_38437.wav", "duration": 5.19, "text": "We'll continue to look for ways to unlock the value of those properties for investors"}, {"path": "tedlium_38438.wav", "duration": 5.19, "text": "okay? So it's not like these are customers we didn't know before."}, {"path": "tedlium_38439.wav", "duration": 5.19, "text": "Actual results may differ materially from those expressed from these forward-looking statements."}, {"path": "tedlium_38440.wav", "duration": 5.19, "text": "And two, most of our focus on this is frankly going to be on the implications to product and wanting to ensure that"}, {"path": "tedlium_38441.wav", "duration": 5.19, "text": "on the average cost of our investment. This is consistent with the prior quarter."}, {"path": "tedlium_38442.wav", "duration": 5.19, "text": "These Materials Handling and logistics focused companies are massive"}, {"path": "tedlium_38443.wav", "duration": 5.19, "text": "In particular, we will provide guidance regarding possible future income statement results"}, {"path": "tedlium_38444.wav", "duration": 5.19, "text": "but our expectation at this point is one of caution with those particular customers."}, {"path": "tedlium_38445.wav", "duration": 5.19, "text": "what are the categories that you are looking for to moderate more fully then"}, {"path": "tedlium_38446.wav", "duration": 5.19, "text": "The share gains in the quarter have been broad, with almost all markets showing a positive performance."}, {"path": "tedlium_38447.wav", "duration": 5.19, "text": "while being agile to changing market conditions to ensure we meet our customers' needs."}, {"path": "tedlium_38448.wav", "duration": 5.19, "text": "we provide certain information and database on traffic flow in and out of the stores,"}, {"path": "tedlium_38449.wav", "duration": 5.19, "text": "cancer test growth in the reproductive health segment, but I think that's just more of a matter of the"}, {"path": "tedlium_38450.wav", "duration": 5.19, "text": "In addition, we closed on an additional 4 properties shortly after the quarter closed"}, {"path": "tedlium_38451.wav", "duration": 5.19, "text": "so you get some of that impact. Also, when we sold the catering business,"}, {"path": "tedlium_38452.wav", "duration": 5.19, "text": "We observed strong margins in the quarter as our GAAP operating margin"}, {"path": "tedlium_38453.wav", "duration": 5.19, "text": "but we do have a very clear understanding of our own program, our own data"}, {"path": "tedlium_38454.wav", "duration": 5.19, "text": "if it tucks right in, whether we can expect it to be sort of in line with the company average."}, {"path": "tedlium_38455.wav", "duration": 5.19, "text": "to discuss our results in detail. Then I will come back"}, {"path": "tedlium_38456.wav", "duration": 5.19, "text": "Let me share with you what we're doing in each, starting with scotch."}, {"path": "tedlium_38457.wav", "duration": 5.19, "text": "the negative impact of the currency devaluation of last year"}, {"path": "tedlium_38458.wav", "duration": 5.19, "text": "I would say, maybe slightly longer lead times than average on the market,"}, {"path": "tedlium_38459.wav", "duration": 5.19, "text": "how loaded is the cost base when you make that comment? So does that include investment costs,"}, {"path": "tedlium_38460.wav", "duration": 5.19, "text": "So it all depends on how we choose to -- what we choose to do with our customer offering"}, {"path": "tedlium_38461.wav", "duration": 5.19, "text": "You've heard from several of our peers already, it's definitely choppy out there."}, {"path": "tedlium_38462.wav", "duration": 5.19, "text": "your primary competitor at the global level saw a decent demand in the quarter."}, {"path": "tedlium_38463.wav", "duration": 5.19, "text": "Much like how one of the world's leading family entertainment and media enterprises is doing"}, {"path": "tedlium_38464.wav", "duration": 5.19, "text": "similar to where it was before the accelerated program. And then"}, {"path": "tedlium_38465.wav", "duration": 5.19, "text": "For the portion we singled out in artificial insemination,"}, {"path": "tedlium_38466.wav", "duration": 5.19, "text": "Matt will talk about those in greater detail later on the call."}, {"path": "tedlium_38467.wav", "duration": 5.19, "text": "Having just completed business to many of our locations,"}, {"path": "tedlium_38468.wav", "duration": 5.19, "text": "this transaction would trigger an obligation to repay all amounts outstanding on our credit facility,"}, {"path": "tedlium_38469.wav", "duration": 5.19, "text": "for new GCU to enter into a shared services agreement with the company."}, {"path": "tedlium_38470.wav", "duration": 5.19, "text": "Now clearly, when you bring on the number of new hospitals that we did last year with Reliant,"}, {"path": "tedlium_38471.wav", "duration": 5.19, "text": "as we benefited from tax credits in relation to pretax operating results."}, {"path": "tedlium_38472.wav", "duration": 5.19, "text": "with our own brands which will be identified and differentiated. As well as, as"}, {"path": "tedlium_38473.wav", "duration": 5.19, "text": "But the stronger market still has remained one of the weaker spots while everything else has been"}, {"path": "tedlium_38474.wav", "duration": 5.19, "text": "and authentic brands that support a cause or higher purpose."}, {"path": "tedlium_38475.wav", "duration": 5.19, "text": "As noted in our press release, we expect our earnings per share for the third quarter,"}, {"path": "tedlium_38476.wav", "duration": 5.19, "text": "seems like just phenomenally strong performance, given all the other stuff we've seen in ag."}, {"path": "tedlium_38477.wav", "duration": 5.19, "text": "You are talking about completion bond."}, {"path": "tedlium_38478.wav", "duration": 5.19, "text": "what is the -- could you elaborate on the profit"}, {"path": "tedlium_38479.wav", "duration": 5.19, "text": "Good morning. My name is Lindsey, and I will be your conference operator today."}, {"path": "tedlium_38480.wav", "duration": 5.19, "text": "any of that to actually happen or are we just going to see more related party transactions?"}, {"path": "tedlium_38481.wav", "duration": 5.19, "text": "I think that if we can execute, I think certainly LUNA will definitely start to produce"}, {"path": "tedlium_38482.wav", "duration": 5.19, "text": "business automation, mobility and robotic process automation"}, {"path": "tedlium_38483.wav", "duration": 5.19, "text": "These benefits were partially offset by the quarterly impact"}, {"path": "tedlium_38484.wav", "duration": 5.19, "text": "These new capabilities will help drive the next slate of growth, and we expect we'll extend the record"}, {"path": "tedlium_38485.wav", "duration": 5.19, "text": "it is certainly something that we continue to watch and our distributor partners continue to watch. And"}, {"path": "tedlium_38486.wav", "duration": 5.19, "text": "this is our current thinking and really, just to kind of answer your question, we think it will be higher."}, {"path": "tedlium_38487.wav", "duration": 5.19, "text": "Foolproof is doing very well to win and position us differently"}, {"path": "tedlium_38488.wav", "duration": 5.19, "text": "and continually going to focus on ways to streamline the operations"}, {"path": "tedlium_38489.wav", "duration": 5.19, "text": "I felt like the price estimate had credibility and deserved further discussion."}, {"path": "tedlium_38490.wav", "duration": 5.19, "text": "what products are available. They're wanting to understand what games are available with those products."}, {"path": "tedlium_38491.wav", "duration": 5.19, "text": "But it sounds like maybe the disruption from that has been greater than what you expected."}, {"path": "tedlium_38492.wav", "duration": 5.19, "text": "that there shouldn't be a surprise coming out of that because we have done here a good job"}, {"path": "tedlium_38493.wav", "duration": 5.19, "text": "Additionally, our realized prices continue to be supported by our hedge position,"}, {"path": "tedlium_38494.wav", "duration": 5.19, "text": "And pleasingly, given we are investing in growth, the cost of doing business percentage"}, {"path": "tedlium_38495.wav", "duration": 5.19, "text": "But to the first part of your question, the benefits of having new homes"}, {"path": "tedlium_38496.wav", "duration": 5.19, "text": "I'll now turn from the top line to our pricing actions."}, {"path": "tedlium_38497.wav", "duration": 5.19, "text": "So we do have some principles in which we are making our decisions. And I hope this helps you"}, {"path": "tedlium_38498.wav", "duration": 5.19, "text": "broken it down on product portfolio basis for us, and we see a significant improvement opportunity there"}, {"path": "tedlium_38499.wav", "duration": 5.19, "text": "The information that we are discussing today reflects our expectations as of today and are subject to change."}, {"path": "tedlium_38500.wav", "duration": 5.19, "text": "As we continue to manage through the retirement of these aircraft,"}, {"path": "tedlium_38501.wav", "duration": 5.19, "text": "but there's nothing that is going to be announced in the next 2 weeks, that's for sure."}, {"path": "tedlium_38502.wav", "duration": 5.19, "text": "A general meeting to approve the necessary resolutions will take place tomorrow."}, {"path": "tedlium_38503.wav", "duration": 5.19, "text": "It's more like how much of the content that's out there we really want to have. So"}, {"path": "tedlium_38504.wav", "duration": 5.19, "text": "So just trying to understand outside of Tamil Nadu, what are the challenges to growth?"}, {"path": "tedlium_38505.wav", "duration": 5.19, "text": "to increase our investment to capture greater market share as a platform."}, {"path": "tedlium_38506.wav", "duration": 5.19, "text": "and there's still lots of productivity opportunity ahead of us. And I know Greg and team"}, {"path": "tedlium_38507.wav", "duration": 5.19, "text": "and expect to finalize our selection of the successful bidder by late November."}, {"path": "tedlium_38508.wav", "duration": 5.19, "text": "We also recently began field work on the Total ethylene plant in Port Arthur, Texas,"}, {"path": "tedlium_38509.wav", "duration": 5.19, "text": "Reduction of operating expenses on a run-rate basis continues to be a focus"}, {"path": "tedlium_38510.wav", "duration": 5.19, "text": "basically getting good terms on cash and getting good terms on profitability."}, {"path": "tedlium_38511.wav", "duration": 5.19, "text": "I'm curious if you can maybe put a little more revenue color on that? Should we be thinking of the magnitude of"}, {"path": "tedlium_38512.wav", "duration": 5.19, "text": "This investment took the form of facilities, people and services,"}, {"path": "tedlium_38513.wav", "duration": 5.19, "text": "summarize, we continue to execute on the 2 core components of our business strategy."}, {"path": "tedlium_38514.wav", "duration": 5.1899375, "text": "A normal life to them is an effective and convenient prophylactic therapy."}, {"path": "tedlium_38515.wav", "duration": 5.1899375, "text": "And finally, we enable you to find and form inspired communities."}, {"path": "tedlium_38516.wav", "duration": 5.16, "text": "Our second step is that all hands at Oculus will be focused on breaking even."}, {"path": "tedlium_38517.wav", "duration": 5.16, "text": "Good afternoon, and thank you for joining us for our first quarter earnings call."}, {"path": "tedlium_38518.wav", "duration": 5.16, "text": "In institutions that create the government guaranteed bonds tend to sell them"}, {"path": "tedlium_38519.wav", "duration": 5.16, "text": "in the markets you're in or sort of what you're looking at as you move through this year."}, {"path": "tedlium_38520.wav", "duration": 5.16, "text": "If the entire lateral is not landed directly or is not all communicating"}, {"path": "tedlium_38521.wav", "duration": 5.16, "text": "rather than something that we are more concerned by."}, {"path": "tedlium_38522.wav", "duration": 5.16, "text": "These statements represent management's current expectations and are inherently uncertain,"}, {"path": "tedlium_38523.wav", "duration": 5.16, "text": "something that we're assessing right now. It is still too early"}, {"path": "tedlium_38524.wav", "duration": 5.16, "text": "healthiness of the pipeline, meaning the quality of the opportunities we see"}, {"path": "tedlium_38525.wav", "duration": 5.16, "text": "somewhat semantics on how we're starting up the machine. We're really taking a very"}, {"path": "tedlium_38526.wav", "duration": 5.16, "text": "Our Consumer Products business continues to bring us a mix of opportunities and challenges."}, {"path": "tedlium_38527.wav", "duration": 5.16, "text": "And we also have the first full year of operation of our new media team."}, {"path": "tedlium_38528.wav", "duration": 5.16, "text": "increased regulation around privacy in 2016. It does take a couple of years for"}, {"path": "tedlium_38529.wav", "duration": 5.16, "text": "For additional discussion of these risks and uncertainties and other factors,"}, {"path": "tedlium_38530.wav", "duration": 5.16, "text": "a brave person right now that would want to sit there guessing the markets for the next few months."}, {"path": "tedlium_38531.wav", "duration": 5.16, "text": "We meet these challenges with an elevated speed according to our REinvent program."}, {"path": "tedlium_38532.wav", "duration": 5.16, "text": "for a full discussion of the company's risk factors. I will now turn the call over to Michael Collins."}, {"path": "tedlium_38533.wav", "duration": 5.16, "text": "The bank continues to maintain a highly liquid and conservative balance sheet."}, {"path": "tedlium_38534.wav", "duration": 5.16, "text": "We are launching new platforms to improve merchandising operations on a weekly basis."}, {"path": "tedlium_38535.wav", "duration": 5.16, "text": "Next, we help you build powerful habits rooted in science."}, {"path": "tedlium_38536.wav", "duration": 5.16, "text": "and the excess liquidity that results in a temporary drag on our interest earning asset yield."}, {"path": "tedlium_38537.wav", "duration": 5.16, "text": "is it just optimism or are you actually seeing improved business conditions?"}, {"path": "tedlium_38538.wav", "duration": 5.16, "text": "in strengthening the balance sheet since the company went public 4 years ago."}, {"path": "tedlium_38539.wav", "duration": 5.16, "text": "We also benefited from favorable currency exchange rates in Brazil in the third quarter."}, {"path": "tedlium_38540.wav", "duration": 5.16, "text": "income is going to come in the second half. So I think we're being pretty consistent on that."}, {"path": "tedlium_38541.wav", "duration": 5.16, "text": "so that everything that we get today is value creation. It's not a revenue driver,"}, {"path": "tedlium_38542.wav", "duration": 5.16, "text": "and revenue by geographic region to the Investors section of our website."}, {"path": "tedlium_38543.wav", "duration": 5.16, "text": "put the margin under pressure going forward? Or is it fair to assume that these margins levels"}, {"path": "tedlium_38544.wav", "duration": 5.16, "text": "At the end of the third quarter, the pipeline emerging from our Partnered Discovery activities"}, {"path": "tedlium_38545.wav", "duration": 5.16, "text": "We will post the most relevant questions and answers in the For Investors section of our website."}, {"path": "tedlium_38546.wav", "duration": 5.16, "text": "and your losses will be covered by other people. Then, of course,"}, {"path": "tedlium_38547.wav", "duration": 5.16, "text": "And we are also expecting -- this is very important and I will come back to it,"}, {"path": "tedlium_38548.wav", "duration": 5.16, "text": "in keeping with our company's commitment to what we call positive care,"}, {"path": "tedlium_38549.wav", "duration": 5.16, "text": "as opposed to looking at some of the smaller savings opportunities that will come later."}, {"path": "tedlium_38550.wav", "duration": 5.16, "text": "The format for today's call will include remarks from FibroGen's management team"}, {"path": "tedlium_38551.wav", "duration": 5.16, "text": "And then on a reactive basis, either by means of just the normal course calls that we get"}, {"path": "tedlium_38552.wav", "duration": 5.16, "text": "In the past, we have not considered license agreements as part of our development plan."}, {"path": "tedlium_38553.wav", "duration": 5.16, "text": "our collective belief in the combination of wellness driven by nutrition"}, {"path": "tedlium_38554.wav", "duration": 5.16, "text": "flavored milk and ice cream reported solid sales growth and market share gains."}, {"path": "tedlium_38555.wav", "duration": 5.16, "text": "individually with just the Outdoor Retailer brand. And so we're going to have to work through some"}, {"path": "tedlium_38556.wav", "duration": 5.16, "text": "trying to bring back sales among existing customers at some points and finding new customers at some points."}, {"path": "tedlium_38557.wav", "duration": 5.16, "text": "We have also spent a great deal of time assessing structural aspects of our organization."}, {"path": "tedlium_38558.wav", "duration": 5.16, "text": "Our internal measures of success are, therefore, focused on progress and market penetration,"}, {"path": "tedlium_38559.wav", "duration": 5.16, "text": "In the last year, if you include Harbor and Sunshine, we've increased fee income"}, {"path": "tedlium_38560.wav", "duration": 5.16, "text": "It's aligned with the expectation, but nevertheless, a little bit higher than we have seen"}, {"path": "tedlium_38561.wav", "duration": 5.16, "text": "to make sure that we invest it very, very well and that we get the returns."}, {"path": "tedlium_38562.wav", "duration": 5.16, "text": "This will require a level of systemization, which we have been diligently working through."}, {"path": "tedlium_38563.wav", "duration": 5.16, "text": "is doing equity between now and the end of the year, would you consider that opportunistic?"}, {"path": "tedlium_38564.wav", "duration": 5.16, "text": "and refinance in the market. I think that will be the main source"}, {"path": "tedlium_38565.wav", "duration": 5.16, "text": "This means getting to a debt balance that is suitable for our core growth assets,"}, {"path": "tedlium_38566.wav", "duration": 5.16, "text": "and they will expand as the customers migrate and we're, again, constantly focused on"}, {"path": "tedlium_38567.wav", "duration": 5.16, "text": "The decrease was primarily due to lower average loan balances on the year."}, {"path": "tedlium_38568.wav", "duration": 5.16, "text": "cleaning up to make sure that in case something happens in the future, you're covered. And"}, {"path": "tedlium_38569.wav", "duration": 5.16, "text": "particularly in our Industrial and Electronics and Energy businesses."}, {"path": "tedlium_38570.wav", "duration": 5.16, "text": "And finally is be prepared to ramp this up as quickly as possible."}, {"path": "tedlium_38571.wav", "duration": 5.16, "text": "And do you know whether you have received a priority review?"}, {"path": "tedlium_38572.wav", "duration": 5.16, "text": "As a reminder, we have decided to increase the expected return of Compass"}, {"path": "tedlium_38573.wav", "duration": 5.16, "text": "We have a lot of customers which are in the"}, {"path": "tedlium_38574.wav", "duration": 5.16, "text": "This increase in gross profit dollars was primarily related to the inclusion of HBC Europe"}, {"path": "tedlium_38575.wav", "duration": 5.16, "text": "Additional details on our share repurchases are available on the study database."}, {"path": "tedlium_38576.wav", "duration": 5.16, "text": "In the second quarter, all of our business lines experienced good growth"}, {"path": "tedlium_38577.wav", "duration": 5.16, "text": "And while we certainly talk about comp and look at it, a lot of our"}, {"path": "tedlium_38578.wav", "duration": 5.16, "text": "We also have some zones of high zinc and I think I've mentioned in previous quarters,"}, {"path": "tedlium_38579.wav", "duration": 5.16, "text": "So we plan to stay in the protocol and we hope to see other members stay in as well."}, {"path": "tedlium_38580.wav", "duration": 5.16, "text": "Looking forward, if today's exchange rates were to remain unchanged for the rest of"}, {"path": "tedlium_38581.wav", "duration": 5.16, "text": "and I know you know this, is to see an acceleration of"}, {"path": "tedlium_38582.wav", "duration": 5.16, "text": "This is important work and will lay the foundation for our future ag company."}, {"path": "tedlium_38583.wav", "duration": 5.16, "text": "This is only done if the first 2 options don't provide a better solution."}, {"path": "tedlium_38584.wav", "duration": 5.16, "text": "have been lower than both the client and vendors anticipated."}, {"path": "tedlium_38585.wav", "duration": 5.16, "text": "And we launched Cannon Blast to compete successfully in the shot occasion."}, {"path": "tedlium_38586.wav", "duration": 5.16, "text": "And these are also the physicians who are most likely to move quickly."}, {"path": "tedlium_38587.wav", "duration": 5.16, "text": "As we increase new store investment, control sales of new locations,"}, {"path": "tedlium_38588.wav", "duration": 5.16, "text": "and wiser perspective at a faster pace with a flatter learning curve."}, {"path": "tedlium_38589.wav", "duration": 5.16, "text": "as we continue to strengthen and modernize our Pennsylvania delivery network."}, {"path": "tedlium_38590.wav", "duration": 5.16, "text": "And the results of these actions are starting to pay results."}, {"path": "tedlium_38591.wav", "duration": 5.16, "text": "And at this time, that's the priority for us as opposed to"}, {"path": "tedlium_38592.wav", "duration": 5.16, "text": "We expect this increase to be driven primarily by operating gains."}, {"path": "tedlium_38593.wav", "duration": 5.16, "text": "We do not undertake any obligation to update these statements after the date of this call."}, {"path": "tedlium_38594.wav", "duration": 5.16, "text": "And obviously those end markets we believe"}, {"path": "tedlium_38595.wav", "duration": 5.16, "text": "The transformation of the team has been truly additive, and the quality of the people we've been able to attract and retain"}, {"path": "tedlium_38596.wav", "duration": 5.16, "text": "These favorable unlockings were mainly driven by the performance of equities in our customer accounts"}, {"path": "tedlium_38597.wav", "duration": 5.16, "text": "and divested business results and other items outside of adjusted operating income"}, {"path": "tedlium_38598.wav", "duration": 5.16, "text": "And to our knowledge, pulp prices in Asia for March"}, {"path": "tedlium_38599.wav", "duration": 5.16, "text": "below what we've been planning in the year and again reflecting"}, {"path": "tedlium_38600.wav", "duration": 5.16, "text": "the result of which should be margin expansion from all 3 segments next year."}, {"path": "tedlium_38601.wav", "duration": 5.16, "text": "as you have heard from Marc and Kate, we remain confident"}, {"path": "tedlium_38602.wav", "duration": 5.16, "text": "However, it is important to note that this segment is still solidly profitable"}, {"path": "tedlium_38603.wav", "duration": 5.16, "text": "We expect belly prices to be above last year as the industry continues to experience"}, {"path": "tedlium_38604.wav", "duration": 5.16, "text": "your capacity to do another small bank deal? Or maybe another larger deal?"}, {"path": "tedlium_38605.wav", "duration": 5.16, "text": "So -- but if something were to come along that was a product extension or was something that"}, {"path": "tedlium_38606.wav", "duration": 5.16, "text": "the situation will certainly get resolved, but we do feel that there is sort of a positive"}, {"path": "tedlium_38607.wav", "duration": 5.16, "text": "would tell you that the opioid use in this population is relatively high,"}, {"path": "tedlium_38608.wav", "duration": 5.16, "text": "This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_38609.wav", "duration": 5.16, "text": "Human Resources are what matters most to our company."}, {"path": "tedlium_38610.wav", "duration": 5.16, "text": "These and other attributes have helped AMU to become a leader in serving military and veteran communities."}, {"path": "tedlium_38611.wav", "duration": 5.16, "text": "when you would expect those volumes to inflect or be positive."}, {"path": "tedlium_38612.wav", "duration": 5.16, "text": "You're including the share repurchase activity done to date in that number."}, {"path": "tedlium_38613.wav", "duration": 5.16, "text": "I can confirm we will have continuity on the key drivers on the plan,"}, {"path": "tedlium_38614.wav", "duration": 5.16, "text": "class. And that is also one of the reason why it's taking a little bit of time."}, {"path": "tedlium_38615.wav", "duration": 5.16, "text": "Our mobile offers give us great flexibility and leverage to grow and retain customers."}, {"path": "tedlium_38616.wav", "duration": 5.16, "text": "As it relates to the kind of relationship we need to have, I think we have the kind of relationships with"}, {"path": "tedlium_38617.wav", "duration": 5.16, "text": "which contributes to the finished product that is sold in stores."}, {"path": "tedlium_38618.wav", "duration": 5.16, "text": "take a little bit more risk so that you can grow volumes faster? Thanks."}, {"path": "tedlium_38619.wav", "duration": 5.16, "text": "We'll also study the potential for supplying materials for purposes other than concrete."}, {"path": "tedlium_38620.wav", "duration": 5.16, "text": "you really begin to see the cadence build, and our partnership with Stephen is one that we're learning how to do this."}, {"path": "tedlium_38621.wav", "duration": 5.16, "text": "we need to be able to attract and retain the talent necessary to expand and manage the business."}, {"path": "tedlium_38622.wav", "duration": 5.16, "text": "We expect all these product innovations to support customer growth moving forward."}, {"path": "tedlium_38623.wav", "duration": 5.16, "text": "but it is the journey for most of our customers"}, {"path": "tedlium_38624.wav", "duration": 5.16, "text": "which were partially offset by other net favorable working capital changes."}, {"path": "tedlium_38625.wav", "duration": 5.16, "text": "the capacity may move, but we would like to see utilization pick up,"}, {"path": "tedlium_38626.wav", "duration": 5.16, "text": "everyone's reading. We're certainly looking through a lot of the other peer company filings to get a read on that,"}, {"path": "tedlium_38627.wav", "duration": 5.16, "text": "This is not unexpected from our standpoint and has been built into the guidance."}, {"path": "tedlium_38628.wav", "duration": 5.16, "text": "rather than a failure of execution by our stations."}, {"path": "tedlium_38629.wav", "duration": 5.16, "text": "We're doing very well in a difficult region, but we know how to do it."}, {"path": "tedlium_38630.wav", "duration": 5.16, "text": "is reflective in many different examples. And you're starting to see that evidence itself"}, {"path": "tedlium_38631.wav", "duration": 5.16, "text": "That may have ticked up somewhat, right, with the competition for feedstock out there."}, {"path": "tedlium_38632.wav", "duration": 5.16, "text": "Please keep in mind that these forward-looking statements are subject to known and unknown"}, {"path": "tedlium_38633.wav", "duration": 5.16, "text": "where the audio recording of the webcast will also be archived for future reference."}, {"path": "tedlium_38634.wav", "duration": 5.16, "text": "I guess, post the changes and broken down into the individual assets?"}, {"path": "tedlium_38635.wav", "duration": 5.16, "text": "I did not. Okay. And would you tell us what platform it was on?"}, {"path": "tedlium_38636.wav", "duration": 5.16, "text": "that we continue to enhance our value proposition in the mobile business in Argentina."}, {"path": "tedlium_38637.wav", "duration": 5.16, "text": "We think that gives certainty for the customer and gives us certainty as well."}, {"path": "tedlium_38638.wav", "duration": 5.16, "text": "exactly. That -- and that's why we called out a couple of things continuing into the first quarter."}, {"path": "tedlium_38639.wav", "duration": 5.16, "text": "Do you need to start thinking about it more in the second half of this year?"}, {"path": "tedlium_38640.wav", "duration": 5.16, "text": "and I cannot calculate right away. But"}, {"path": "tedlium_38641.wav", "duration": 5.16, "text": "If you look into our first quarter, the short version of the message is"}, {"path": "tedlium_38642.wav", "duration": 5.16, "text": "was 34% as we secured more contracts and executed at a better level."}, {"path": "tedlium_38643.wav", "duration": 5.16, "text": "opportunities or challenges does this present to West?"}, {"path": "tedlium_38644.wav", "duration": 5.16, "text": "driven in large part by very strong performance in Credit trading and Macro,"}, {"path": "tedlium_38645.wav", "duration": 5.16, "text": "It makes for a very uncertain environment to predict the policy given the"}, {"path": "tedlium_38646.wav", "duration": 5.16, "text": "a stronger presence in South America and Brazil."}, {"path": "tedlium_38647.wav", "duration": 5.16, "text": "who also improved the outlook from negative to stable."}, {"path": "tedlium_38648.wav", "duration": 5.16, "text": "Lower yarn volume was due to trade issues impacting our customers."}, {"path": "tedlium_38649.wav", "duration": 5.16, "text": "So with that, I will turn it over to the operator to take your questions."}, {"path": "tedlium_38650.wav", "duration": 5.16, "text": "So I think from a weather standpoint, we gave you the number of bad weather days"}, {"path": "tedlium_38651.wav", "duration": 5.16, "text": "How are you dealing with the current scenario?"}, {"path": "tedlium_38652.wav", "duration": 5.16, "text": "There's plenty of scope for optimization and life extension during that period."}, {"path": "tedlium_38653.wav", "duration": 5.1599375, "text": "These changes have some impact on our income statements and our cash flows."}, {"path": "tedlium_38654.wav", "duration": 5.1300625, "text": "Can we get some color on the flow of revenues in the upcoming quarters? I think you mentioned the first quarter"}, {"path": "tedlium_38655.wav", "duration": 5.13, "text": "how much more do you think you have in terms of capacity of your existing staff?"}, {"path": "tedlium_38656.wav", "duration": 5.13, "text": "comment on your revenue growth"}, {"path": "tedlium_38657.wav", "duration": 5.13, "text": "discuss them historically and then obviously being sure that we think"}, {"path": "tedlium_38658.wav", "duration": 5.13, "text": "No, I think that we'll be able to do the drill and do what we need to do."}, {"path": "tedlium_38659.wav", "duration": 5.13, "text": "Our restaurant teams and field leaders are quickly embracing this new focus with enthusiasm."}, {"path": "tedlium_38660.wav", "duration": 5.13, "text": "The share of international revenues has increased"}, {"path": "tedlium_38661.wav", "duration": 5.13, "text": "compared to the adjusted EBIT and caused particularly by lower interest costs."}, {"path": "tedlium_38662.wav", "duration": 5.13, "text": "usually on an annual basis starting January 1, but we've continued to move up. And as our"}, {"path": "tedlium_38663.wav", "duration": 5.13, "text": "So as long as all that operational activity continues in such a good way, I don't think there are any"}, {"path": "tedlium_38664.wav", "duration": 5.13, "text": "have lifted our gross profit margin expectations to a new level."}, {"path": "tedlium_38665.wav", "duration": 5.13, "text": "then the margin should come up to a double."}, {"path": "tedlium_38666.wav", "duration": 5.13, "text": "Moving on to capital management. Our philosophy is not changed."}, {"path": "tedlium_38667.wav", "duration": 5.13, "text": "But that's the amount of gain that we would expect to see out of that portfolio"}, {"path": "tedlium_38668.wav", "duration": 5.13, "text": "foreign currency impact and the impact of the accounting change for stock compensation."}, {"path": "tedlium_38669.wav", "duration": 5.13, "text": "are able to compare in a better way our capital levels to the ones of our international peers."}, {"path": "tedlium_38670.wav", "duration": 5.13, "text": "But many companies themselves kind of move in the goalposts in terms of thinking about their cushions for"}, {"path": "tedlium_38671.wav", "duration": 5.13, "text": "as well as storage and transmission opportunities in Arizona."}, {"path": "tedlium_38672.wav", "duration": 5.13, "text": "Thank you very much for your questions."}, {"path": "tedlium_38673.wav", "duration": 5.13, "text": "In addition to the funding, all Xcede notes have been converted to equity,"}, {"path": "tedlium_38674.wav", "duration": 5.13, "text": "The effects of this devaluation are continuing into our current year."}, {"path": "tedlium_38675.wav", "duration": 5.13, "text": "we have very little vacancy in our Seattle parks, and options are limited in the market."}, {"path": "tedlium_38676.wav", "duration": 5.13, "text": "We will post the presentation on our website for information purposes in the coming days."}, {"path": "tedlium_38677.wav", "duration": 5.13, "text": "We continue to seek opportunities from new and recurring customers,"}, {"path": "tedlium_38678.wav", "duration": 5.13, "text": "and welcome to the AveXis conference call to discuss third quarter financial and operating results"}, {"path": "tedlium_38679.wav", "duration": 5.13, "text": "wherein the profitability parameters have again shown a remarkable improvement."}, {"path": "tedlium_38680.wav", "duration": 5.13, "text": "This leads to a strengthening balance sheet while increasing liquidity and flexibility moving forward."}, {"path": "tedlium_38681.wav", "duration": 5.13, "text": "So we don't foreclose small markets if we see some unique opportunities or"}, {"path": "tedlium_38682.wav", "duration": 5.13, "text": "building the company to grow everything good in the company 10% a year through a cycle."}, {"path": "tedlium_38683.wav", "duration": 5.13, "text": "This increased activity in the quarter more than offset a reduction compared to the previous year"}, {"path": "tedlium_38684.wav", "duration": 5.13, "text": "We are optimistic that a refinancing will occur and, if it does,"}, {"path": "tedlium_38685.wav", "duration": 5.13, "text": "it seems like -- I didn't calc the high end of the guide, but it's probably like"}, {"path": "tedlium_38686.wav", "duration": 5.13, "text": "especially in the Permian have yet to be fully evaluated by the market."}, {"path": "tedlium_38687.wav", "duration": 5.13, "text": "But at the same time, we remain optimistic and the business continues with its momentum."}, {"path": "tedlium_38688.wav", "duration": 5.13, "text": "You should not consider the presentation of this additional information in isolation"}, {"path": "tedlium_38689.wav", "duration": 5.13, "text": "What JCR allows us to do is to focus on providing that type of capital to the rest of the market,"}, {"path": "tedlium_38690.wav", "duration": 5.13, "text": "Organic volume and utilization was neutral to margins in the quarter,"}, {"path": "tedlium_38691.wav", "duration": 5.13, "text": "was primarily due to our decision to invest in the customer"}, {"path": "tedlium_38692.wav", "duration": 5.13, "text": "And the intention would be to refinance it."}, {"path": "tedlium_38693.wav", "duration": 5.13, "text": "My last one's really around the shape of the yield curve. Obviously the 5 and 10 years backed up quite a bit,"}, {"path": "tedlium_38694.wav", "duration": 5.13, "text": "This operation is important for different reasons that you will certainly appreciate."}, {"path": "tedlium_38695.wav", "duration": 5.13, "text": "This system is intended to be the beginning of a broader collaboration."}, {"path": "tedlium_38696.wav", "duration": 5.13, "text": "So we shouldn't have these problems that we had this summer."}, {"path": "tedlium_38697.wav", "duration": 5.13, "text": "continuously on execution to drive the project margins. And you can tell from"}, {"path": "tedlium_38698.wav", "duration": 5.13, "text": "maybe which banners you might be seeing some of the impact and that might be causing the downward revision? And"}, {"path": "tedlium_38699.wav", "duration": 5.13, "text": "We help guide educators through a federal student loan forgiveness and repayment programs"}, {"path": "tedlium_38700.wav", "duration": 5.13, "text": "This does conclude the call. You may now disconnect. Everyone, have a wonderful day."}, {"path": "tedlium_38701.wav", "duration": 5.13, "text": "So we still see some of those unique opportunities in the marketplace. They're still there."}, {"path": "tedlium_38702.wav", "duration": 5.13, "text": "I think this is an incredible achievement especially in the Chicago marketplace."}, {"path": "tedlium_38703.wav", "duration": 5.13, "text": "We expect this item to be in nearly full distribution by the middle of the summer."}, {"path": "tedlium_38704.wav", "duration": 5.13, "text": "we did actually mine overall probably a higher gold grade than what we fed through the plant"}, {"path": "tedlium_38705.wav", "duration": 5.13, "text": "With that, thank you everybody for being on this call and have a good day."}, {"path": "tedlium_38706.wav", "duration": 5.13, "text": "leveraging on the synergistic platforms that we are using together. There is one cloud"}, {"path": "tedlium_38707.wav", "duration": 5.13, "text": "and our value approach is illustrated also in Spain as in France"}, {"path": "tedlium_38708.wav", "duration": 5.13, "text": "assist customers easier to look at things in the store and online."}, {"path": "tedlium_38709.wav", "duration": 5.13, "text": "And I don't think -- I think all of us are pretty occupied with"}, {"path": "tedlium_38710.wav", "duration": 5.13, "text": "and continued to message our clear differentiation from the competition."}, {"path": "tedlium_38711.wav", "duration": 5.13, "text": "in terms of the low hanging fruit, how far does that actually get you?"}, {"path": "tedlium_38712.wav", "duration": 5.13, "text": "Yes. Yes, and I don't think it's a fact that it's a shift to"}, {"path": "tedlium_38713.wav", "duration": 5.13, "text": "of laws throughout Europe. Now it may be necessary to have some state-by"}, {"path": "tedlium_38714.wav", "duration": 5.13, "text": "the lowering of dose levels to reduce the ultimate cost to administer to patients"}, {"path": "tedlium_38715.wav", "duration": 5.13, "text": "largely driven by increased demand and a slight increase in rates."}, {"path": "tedlium_38716.wav", "duration": 5.13, "text": "established an exchangeable bond based on the VEON shares."}, {"path": "tedlium_38717.wav", "duration": 5.13, "text": "So if the Navy chooses not to"}, {"path": "tedlium_38718.wav", "duration": 5.13, "text": "Let me briefly recap each of the new portfolio company investments."}, {"path": "tedlium_38719.wav", "duration": 5.13, "text": "Turning to Page 7. You'll see the things we're focusing on in response to these challenges."}, {"path": "tedlium_38720.wav", "duration": 5.13, "text": "that is we consider business a single segment"}, {"path": "tedlium_38721.wav", "duration": 5.13, "text": "and also taken into consideration the fact that the cost are currently decreasing"}, {"path": "tedlium_38722.wav", "duration": 5.13, "text": "how many of our units in the market that we are actually servicing and overhauling in the market,"}, {"path": "tedlium_38723.wav", "duration": 5.13, "text": "think about exiting some of those businesses at a favorable point in the cycle?"}, {"path": "tedlium_38724.wav", "duration": 5.13, "text": "The impact of these incidents masked solid results in a number of areas."}, {"path": "tedlium_38725.wav", "duration": 5.13, "text": "successful growth that we had in our branded retail network on a year-over-year basis."}, {"path": "tedlium_38726.wav", "duration": 5.13, "text": "So as you can see, we made good progress on many fronts this year."}, {"path": "tedlium_38727.wav", "duration": 5.13, "text": "Okay. That sounds good. And then the other question I had was"}, {"path": "tedlium_38728.wav", "duration": 5.13, "text": "We're increasing our focus more actively on partnership for new product development activities"}, {"path": "tedlium_38729.wav", "duration": 5.13, "text": "you might come up with a number that might be different than what we're coming up with. But,"}, {"path": "tedlium_38730.wav", "duration": 5.13, "text": "into ZTE that have an impact sit among our customer base."}, {"path": "tedlium_38731.wav", "duration": 5.13, "text": "improving ventilation and other working conditions and supporting future underground exploration."}, {"path": "tedlium_38732.wav", "duration": 5.13, "text": "The complexity associated with the development of 5G and its prototypes"}, {"path": "tedlium_38733.wav", "duration": 5.13, "text": "are as important as the investments we make to expand and enhance our portfolio."}, {"path": "tedlium_38734.wav", "duration": 5.13, "text": "And oil prices have declined from the peaks we saw late last year."}, {"path": "tedlium_38735.wav", "duration": 5.13, "text": "we used cash this part of the year across all of our businesses, as we're investing in inventory for"}, {"path": "tedlium_38736.wav", "duration": 5.13, "text": "I'd like to focus for a minute on one of Nick's last comments regarding our cash generation."}, {"path": "tedlium_38737.wav", "duration": 5.13, "text": "I don't think we've ever mentioned it on one of these calls, but we were partnering with them for years on their CashEdge solution."}, {"path": "tedlium_38738.wav", "duration": 5.13, "text": "prudent move for them to try to do something like what you're suggesting. But"}, {"path": "tedlium_38739.wav", "duration": 5.13, "text": "And that the evidence, while reasonable from a preclinical and early clinical"}, {"path": "tedlium_38740.wav", "duration": 5.13, "text": "Operating margins were higher than expected at the time of the AGM trading statement,"}, {"path": "tedlium_38741.wav", "duration": 5.13, "text": "so we don't put ourselves in a position where we have a large amount of obsolete inventory"}, {"path": "tedlium_38742.wav", "duration": 5.13, "text": "The credit facility provides flexibility for royalty acquisitions which meet our criteria."}, {"path": "tedlium_38743.wav", "duration": 5.13, "text": "With volumes increasing and as we experience step changes to production curve"}, {"path": "tedlium_38744.wav", "duration": 5.13, "text": "I think we can triple the profits there on that sort of nominal basis or regular basis."}, {"path": "tedlium_38745.wav", "duration": 5.13, "text": "we have made targeted investments in both public and private cloud solutions."}, {"path": "tedlium_38746.wav", "duration": 5.13, "text": "situations are of the customers in terms of timing and so forth. So it's a little hard to really pin down"}, {"path": "tedlium_38747.wav", "duration": 5.13, "text": "Strong operational performance in our core liquids pipelines business is the key reason."}, {"path": "tedlium_38748.wav", "duration": 5.13, "text": "for us. You are right to point out other parts of the machine would have more of an impact."}, {"path": "tedlium_38749.wav", "duration": 5.13, "text": "the flip side of that is we hear from most of our customers, is they are also in the work for talent and space."}, {"path": "tedlium_38750.wav", "duration": 5.13, "text": "The quarter included meaningful progress in our Buckhead portfolio."}, {"path": "tedlium_38751.wav", "duration": 5.13, "text": "kind of the low and high ends of the range. So to be honest, I'd say, last quarter,"}, {"path": "tedlium_38752.wav", "duration": 5.13, "text": "So they have to hit certain free cash flow numbers historically"}, {"path": "tedlium_38753.wav", "duration": 5.13, "text": "which was expected due to the upcoming commercial launch of our new platform, Nexus."}, {"path": "tedlium_38754.wav", "duration": 5.13, "text": "So I would say, this past quarter, they were slanted a little bit more towards"}, {"path": "tedlium_38755.wav", "duration": 5.13, "text": "do those syndications and the securitizations and are involved in that market, they will tell you that"}, {"path": "tedlium_38756.wav", "duration": 5.13, "text": "really a very nice picture on the free cash flow side. So that has been the main driver"}, {"path": "tedlium_38757.wav", "duration": 5.13, "text": "on a consolidated basis, overall the numbers are up."}, {"path": "tedlium_38758.wav", "duration": 5.13, "text": "And that's the big driver in addition to that lack of"}, {"path": "tedlium_38759.wav", "duration": 5.13, "text": "Several slides in the appendix give more granularity on all the guidance updates."}, {"path": "tedlium_38760.wav", "duration": 5.13, "text": "And I think, where we are it's quite clearly that the growth is coming through the south"}, {"path": "tedlium_38761.wav", "duration": 5.13, "text": "Orders and sales were up, thanks to firm results of the control segment."}, {"path": "tedlium_38762.wav", "duration": 5.13, "text": "logistics special lists this morning as well."}, {"path": "tedlium_38763.wav", "duration": 5.13, "text": "through higher production, improving efficiency and reducing costs."}, {"path": "tedlium_38764.wav", "duration": 5.13, "text": "There are areas that are outside that as we continue to evolve and develop. By the way, that's in HR Solutions"}, {"path": "tedlium_38765.wav", "duration": 5.13, "text": "primarily attributable to the inventory investment we made during the quarter,"}, {"path": "tedlium_38766.wav", "duration": 5.13, "text": "pretty broadly across the company. The places where we've accelerated our investment"}, {"path": "tedlium_38767.wav", "duration": 5.13, "text": "Finally, Constellation really hit a sweet spot in the third quarter."}, {"path": "tedlium_38768.wav", "duration": 5.13, "text": "whether we would deploy it over time. For a long time, we've responded no."}, {"path": "tedlium_38769.wav", "duration": 5.13, "text": "and this coverage of manufacturers positions us strategically in relation to some new product launches,"}, {"path": "tedlium_38770.wav", "duration": 5.13, "text": "This was largely due to weather and its impact on project timing."}, {"path": "tedlium_38771.wav", "duration": 5.13, "text": "And then in the meantime, on the stores that are coming up, we have a"}, {"path": "tedlium_38772.wav", "duration": 5.13, "text": "Bell is very encouraged by the reception of the aircraft"}, {"path": "tedlium_38773.wav", "duration": 5.13, "text": "were relatively consistent with the same period of last year, although on a bit of a different job mix."}, {"path": "tedlium_38774.wav", "duration": 5.13, "text": "Our plans that we have built for this year that we've rolled out and that we shared with you on the last call"}, {"path": "tedlium_38775.wav", "duration": 5.13, "text": "Finally, before I turn the call over to Jeff, I wanted to revisit our priorities."}, {"path": "tedlium_38776.wav", "duration": 5.13, "text": "On the next page, we have the net interest margin progression."}, {"path": "tedlium_38777.wav", "duration": 5.13, "text": "to get people to really understand what we have and what we offer at the property level."}, {"path": "tedlium_38778.wav", "duration": 5.13, "text": "without the impact of a central bank or a government sponsored enterprise"}, {"path": "tedlium_38779.wav", "duration": 5.13, "text": "that could cause actual results to differ materially from those projected by us."}, {"path": "tedlium_38780.wav", "duration": 5.13, "text": "Well, I think you know that Apple keeps things very close to their chest"}, {"path": "tedlium_38781.wav", "duration": 5.13, "text": "We are working hard and we are improving and"}, {"path": "tedlium_38782.wav", "duration": 5.13, "text": "If you are asking about the cost of this process, if I understood well of your question,"}, {"path": "tedlium_38783.wav", "duration": 5.13, "text": "So we were dedicated in the past years"}, {"path": "tedlium_38784.wav", "duration": 5.13, "text": "So understanding the relationship is small from an economic impact."}, {"path": "tedlium_38785.wav", "duration": 5.13, "text": "Good morning, everyone, and thank you for joining us to discuss our first quarter."}, {"path": "tedlium_38786.wav", "duration": 5.13, "text": "comes together as well as the more recent changes that you've made in the management team,"}, {"path": "tedlium_38787.wav", "duration": 5.13, "text": "is it something that's going to take time to develop relationships with these new accounts"}, {"path": "tedlium_38788.wav", "duration": 5.13, "text": "As a reminder, although both gas costs and tariffs to the customers were reduced,"}, {"path": "tedlium_38789.wav", "duration": 5.13, "text": "In addition, it is the extreme talent, dedication, strength and abilities of our team members"}, {"path": "tedlium_38790.wav", "duration": 5.13, "text": "The reason for that is because in the first half of the year, we did do some capital raising activities"}, {"path": "tedlium_38791.wav", "duration": 5.13, "text": "We are preparing a new drug application and plan to submit the file later this year."}, {"path": "tedlium_38792.wav", "duration": 5.1299375, "text": "We are supporting several larger scale projects with engineering designs and cost estimates."}, {"path": "tedlium_38793.wav", "duration": 5.1000625, "text": "we believe this will be a measure that will contribute to the increase."}, {"path": "tedlium_38794.wav", "duration": 5.1, "text": "So that gives us the flexibility to do,"}, {"path": "tedlium_38795.wav", "duration": 5.1, "text": "the one situation we're looking at is sort of the unique area of lending"}, {"path": "tedlium_38796.wav", "duration": 5.1, "text": "With that, let me turn it over to Mark for a more detailed review of our results."}, {"path": "tedlium_38797.wav", "duration": 5.1, "text": "Going forward, our customers and partners can expect Syniverse to be more bold,"}, {"path": "tedlium_38798.wav", "duration": 5.1, "text": "trustee to start using CPI to index pensions for those people."}, {"path": "tedlium_38799.wav", "duration": 5.1, "text": "are you looking for within your next couple acquisitions?"}, {"path": "tedlium_38800.wav", "duration": 5.1, "text": "We will continue to slowly expand this business in Southern California and other strong markets."}, {"path": "tedlium_38801.wav", "duration": 5.1, "text": "For the online application"}, {"path": "tedlium_38802.wav", "duration": 5.1, "text": "And the commerce ads, how much that is being accounted for?"}, {"path": "tedlium_38803.wav", "duration": 5.1, "text": "And I didn't say that the current price is low,"}, {"path": "tedlium_38804.wav", "duration": 5.1, "text": "the company is going to continue to invest in the semiconductor business"}, {"path": "tedlium_38805.wav", "duration": 5.1, "text": "Have had -- made tremendous progress with the customer. We've done some further test marketing,"}, {"path": "tedlium_38806.wav", "duration": 5.1, "text": "fiber already, there is no real push from the government to"}, {"path": "tedlium_38807.wav", "duration": 5.1, "text": "We are a stronger bank today than when we completed the second step 5 years ago."}, {"path": "tedlium_38808.wav", "duration": 5.1, "text": "These factors were partially offset by about 1 point of unfavorable mix."}, {"path": "tedlium_38809.wav", "duration": 5.1, "text": "We continue to see strong returns on our demand-creation investments,"}, {"path": "tedlium_38810.wav", "duration": 5.1, "text": "it might only lead to worsening the challenges and miss the opportunities."}, {"path": "tedlium_38811.wav", "duration": 5.1, "text": "like it happened so we'll -- our guys will have to be staying closer to our dealers and with"}, {"path": "tedlium_38812.wav", "duration": 5.1, "text": "also on our performance, especially at the beginning of this year."}, {"path": "tedlium_38813.wav", "duration": 5.1, "text": "the combination of some surprises on costs"}, {"path": "tedlium_38814.wav", "duration": 5.1, "text": "necessary so that East West Bank would always be"}, {"path": "tedlium_38815.wav", "duration": 5.1, "text": "The provision for income taxes as a percentage of earnings before taxes"}, {"path": "tedlium_38816.wav", "duration": 5.1, "text": "If something doesn't fulfill our purpose, we shouldn't be doing it. And third,"}, {"path": "tedlium_38817.wav", "duration": 5.1, "text": "a lot of different things around scale and increased competitiveness and"}, {"path": "tedlium_38818.wav", "duration": 5.1, "text": "the combination has the potential to offer patients something that could change their lives."}, {"path": "tedlium_38819.wav", "duration": 5.1, "text": "now a closely geosteered well that lands in the sweet spot in the formations"}, {"path": "tedlium_38820.wav", "duration": 5.1, "text": "yet another example of how we help our customers lower their marginal cost per barrel."}, {"path": "tedlium_38821.wav", "duration": 5.1, "text": "value of returns in these new contracts as we just start working smaller and smaller down the list,"}, {"path": "tedlium_38822.wav", "duration": 5.1, "text": "on behalf of the whole NeoGenomics team, I want to thank you for your time, joining us this morning"}, {"path": "tedlium_38823.wav", "duration": 5.1, "text": "highlighting strong execution as well as adoption and expansion of EBA contracts."}, {"path": "tedlium_38824.wav", "duration": 5.1, "text": "We will continue to emphasize bidding discipline and the critical earnings leverage it creates."}, {"path": "tedlium_38825.wav", "duration": 5.1, "text": "for definitions and reconciliations of the measures to the most directly comparable GAAP measures."}, {"path": "tedlium_38826.wav", "duration": 5.1, "text": "Actual events and results can differ materially from any forward-looking statements."}, {"path": "tedlium_38827.wav", "duration": 5.1, "text": "The fire service is a very, very demanding environment. And so"}, {"path": "tedlium_38828.wav", "duration": 5.1, "text": "importance of a drug that can break a"}, {"path": "tedlium_38829.wav", "duration": 5.1, "text": "where we have invested in major capital projects."}, {"path": "tedlium_38830.wav", "duration": 5.1, "text": "Because is any part of it linked to the -- linked to crude or something?"}, {"path": "tedlium_38831.wav", "duration": 5.1, "text": "the right sizing of overheads to match market demand and multiple leadership changes."}, {"path": "tedlium_38832.wav", "duration": 5.1, "text": "elements of the restructuring plan, it looks like you still maintained the kind of"}, {"path": "tedlium_38833.wav", "duration": 5.1, "text": "requirements. And of course, with that additional volume, we can optimize"}, {"path": "tedlium_38834.wav", "duration": 5.1, "text": "an improvement in cost savings compared to the first part of the year."}, {"path": "tedlium_38835.wav", "duration": 5.1, "text": "And what happens is, every week, a guy has to march around,"}, {"path": "tedlium_38836.wav", "duration": 5.1, "text": "And on top of all of that, we have several new suites of applications that we'll be bringing to market."}, {"path": "tedlium_38837.wav", "duration": 5.1, "text": "taking a very targeted and disciplined approach to making these investments is"}, {"path": "tedlium_38838.wav", "duration": 5.1, "text": "as far as how you're going to approach the market based on the recent downturn. Or is it"}, {"path": "tedlium_38839.wav", "duration": 5.1, "text": "The combination of good revenue development and cost discipline were the core"}, {"path": "tedlium_38840.wav", "duration": 5.1, "text": "right? And I think that wholesale rate continues to be undervalued relative"}, {"path": "tedlium_38841.wav", "duration": 5.1, "text": "strongly diversified business will allow us also to keep a"}, {"path": "tedlium_38842.wav", "duration": 5.1, "text": "reflecting the quality of our programs and solid student outcomes."}, {"path": "tedlium_38843.wav", "duration": 5.1, "text": "We believe we're making the right moves to position ourselves well for the long-haul."}, {"path": "tedlium_38844.wav", "duration": 5.1, "text": "Other companies may calculate such a leverage metric differently."}, {"path": "tedlium_38845.wav", "duration": 5.1, "text": "would result in normalization of oxalate levels in all patients treated."}, {"path": "tedlium_38846.wav", "duration": 5.1, "text": "The agreement contemplates collaboration on more than 10 targets in total."}, {"path": "tedlium_38847.wav", "duration": 5.1, "text": "we would take advantage of those opportunities if, again, they made economic sense"}, {"path": "tedlium_38848.wav", "duration": 5.1, "text": "We are seeing generally positive macro environments throughout our regions"}, {"path": "tedlium_38849.wav", "duration": 5.1, "text": "All this is a starting point with a caveat that our customers' plans can change quickly"}, {"path": "tedlium_38850.wav", "duration": 5.1, "text": "so we can accelerate our transformation into a diversified industrial company."}, {"path": "tedlium_38851.wav", "duration": 5.1, "text": "As a reminder, Broadsmart is among the very few highly profitable,"}, {"path": "tedlium_38852.wav", "duration": 5.1, "text": "addition of the Nova system expansion work to be done."}, {"path": "tedlium_38853.wav", "duration": 5.1, "text": "sort of like historical discipline the way we think about it?"}, {"path": "tedlium_38854.wav", "duration": 5.1, "text": "to move that to the premium segment out of home. And that has really done very well for us."}, {"path": "tedlium_38855.wav", "duration": 5.1, "text": "and we do not undertake to update any forward-looking statement that may be made from time to time"}, {"path": "tedlium_38856.wav", "duration": 5.1, "text": "and we've announced also the successful closing of a big contract,"}, {"path": "tedlium_38857.wav", "duration": 5.1, "text": "what is going on strategically in the industry"}, {"path": "tedlium_38858.wav", "duration": 5.1, "text": "Our credit area was the only area to leverage our expenses versus last year."}, {"path": "tedlium_38859.wav", "duration": 5.1, "text": "The first one is, you have seen that we have published excellent results."}, {"path": "tedlium_38860.wav", "duration": 5.1, "text": "On the next slide, we provide details about our free cash flow and our capital returns to shareholders"}, {"path": "tedlium_38861.wav", "duration": 5.1, "text": "and subject to any corporate activity, which may necessitate alternative uses of capital."}, {"path": "tedlium_38862.wav", "duration": 5.1, "text": "the ability to have that deep engagement like I just mentioned, the level of intelligence"}, {"path": "tedlium_38863.wav", "duration": 5.1, "text": "intelligence. We saw that recently with an AI demonstration from our industry"}, {"path": "tedlium_38864.wav", "duration": 5.1, "text": "This work has led us to begin planning with NCI for a potential combination"}, {"path": "tedlium_38865.wav", "duration": 5.1, "text": "And we don't do it in just one location. We'll probably do it in 4 before we'll draw a conclusion,"}, {"path": "tedlium_38866.wav", "duration": 5.1, "text": "providing more detail on that as we move through the rest of this year."}, {"path": "tedlium_38867.wav", "duration": 5.1, "text": "that enables previously unachievable performance attributes quickly."}, {"path": "tedlium_38868.wav", "duration": 5.1, "text": "little bit different than what you said. We have developed our first enzyme"}, {"path": "tedlium_38869.wav", "duration": 5.1, "text": "Reference to the company's website does not constitute the corporation of any of the information."}, {"path": "tedlium_38870.wav", "duration": 5.1, "text": "We continue to actively monitor both our partners and overall insurance performance."}, {"path": "tedlium_38871.wav", "duration": 5.1, "text": "and are optimistic related to expanded opportunities in this space."}, {"path": "tedlium_38872.wav", "duration": 5.1, "text": "And of course, we are trying to work with them in order to see"}, {"path": "tedlium_38873.wav", "duration": 5.1, "text": "particularly with COF. We are also encouraged"}, {"path": "tedlium_38874.wav", "duration": 5.1, "text": "It has to be something that's complementary to this core business that we have."}, {"path": "tedlium_38875.wav", "duration": 5.1, "text": "Yes. Well I would say, when you think about the fixed cost spreading over"}, {"path": "tedlium_38876.wav", "duration": 5.1, "text": "The reconciliation of these measures to GAAP is provided in the tables to the press release."}, {"path": "tedlium_38877.wav", "duration": 5.1, "text": "insist on value investment. So through investment we can"}, {"path": "tedlium_38878.wav", "duration": 5.1, "text": "in the second quarter, but we have great confidence as we look to the back half of the year,"}, {"path": "tedlium_38879.wav", "duration": 5.1, "text": "positioning us to thrill our customers and take customers from our competition."}, {"path": "tedlium_38880.wav", "duration": 5.1, "text": "And that's what we're doing. That's the new part for us, right there."}, {"path": "tedlium_38881.wav", "duration": 5.1, "text": "magnitude of change in dizziness comes from a baseline that was significant to begin with."}, {"path": "tedlium_38882.wav", "duration": 5.1, "text": "opportunities do you foresee for the platform itself?"}, {"path": "tedlium_38883.wav", "duration": 5.1, "text": "between 8 and 10 years of data exclusivity from the date of approval."}, {"path": "tedlium_38884.wav", "duration": 5.1, "text": "There was a focus that we had in the first half really around new logo development"}, {"path": "tedlium_38885.wav", "duration": 5.1, "text": "there is this idea of tax reform out there, which may or may not make our"}, {"path": "tedlium_38886.wav", "duration": 5.1, "text": "We are also closely monitoring the potential impact of the wildfires on our business."}, {"path": "tedlium_38887.wav", "duration": 5.1, "text": "that we will have pilot programs with those folks going mimicking the Aetna experience here."}, {"path": "tedlium_38888.wav", "duration": 5.1, "text": "Good progress has been made on our target operating model initiatives,"}, {"path": "tedlium_38889.wav", "duration": 5.1, "text": "to end customers on a single purchase order with literally one throat to choke."}, {"path": "tedlium_38890.wav", "duration": 5.1, "text": "Our adjusted effective income tax rate of 19% for the second quarter"}, {"path": "tedlium_38891.wav", "duration": 5.1, "text": "is we do a significant amount of contract manufacturing purchases"}, {"path": "tedlium_38892.wav", "duration": 5.1, "text": "Our pipeline, which I'll touch on in a minute -- in a moment, which remains full,"}, {"path": "tedlium_38893.wav", "duration": 5.1, "text": "as we moved into the second quarter in Canada and we did also see the differential"}, {"path": "tedlium_38894.wav", "duration": 5.1, "text": "look to test extension of those reservoirs on the western flank of the field. And"}, {"path": "tedlium_38895.wav", "duration": 5.1, "text": "In the case of other sectors, a better domestic outlook should grow investments levels as well."}, {"path": "tedlium_38896.wav", "duration": 5.1, "text": "and we anticipate that, that cash flow is sustainable over the long term."}, {"path": "tedlium_38897.wav", "duration": 5.1, "text": "the market potential and the timing of specific"}, {"path": "tedlium_38898.wav", "duration": 5.1, "text": "Performance fees, which are excluded from the calculation of our average management fee rates,"}, {"path": "tedlium_38899.wav", "duration": 5.1, "text": "I am very pleased to say that his idea carries on."}, {"path": "tedlium_38900.wav", "duration": 5.1, "text": "the most profitable industrial gas company in the world"}, {"path": "tedlium_38901.wav", "duration": 5.1, "text": "our understanding of the market dynamics when that second entrant came in is that there was really no"}, {"path": "tedlium_38902.wav", "duration": 5.1, "text": "and the sensitivity to the forecast for this fiscal year"}, {"path": "tedlium_38903.wav", "duration": 5.1, "text": "And for all of our senior leaders in our business, some of them are going to do well beyond that."}, {"path": "tedlium_38904.wav", "duration": 5.1, "text": "Our Courtyard in Los Angeles West Side continues to deliver impressive results."}, {"path": "tedlium_38905.wav", "duration": 5.1, "text": "made a big leap forward in the meat business."}, {"path": "tedlium_38906.wav", "duration": 5.1, "text": "So in our expectation of free capital generation over the plan period,"}, {"path": "tedlium_38907.wav", "duration": 5.1, "text": "of an acquisition, while maintaining continuity of our normal business activities."}, {"path": "tedlium_38908.wav", "duration": 5.1, "text": "the physician activity engaged in switching patients from one product to the other."}, {"path": "tedlium_38909.wav", "duration": 5.1, "text": "Before I turn the call back to Steve, I'd also like to highlight our disclosure in the 10-K"}, {"path": "tedlium_38910.wav", "duration": 5.1, "text": "related to the timing and amount of revenue recognized for products in the production process."}, {"path": "tedlium_38911.wav", "duration": 5.1, "text": "and refining our trade strategies in order to drive profitable growth."}, {"path": "tedlium_38912.wav", "duration": 5.1, "text": "open it back up assuming this customer may have been waiting this year to see how the weather played out?"}, {"path": "tedlium_38913.wav", "duration": 5.1, "text": "And related to that, do you think you'll capture any market share from sort of ski resorts in the Northeast which"}, {"path": "tedlium_38914.wav", "duration": 5.1, "text": "The Midwest and Southeast underperformed the company average."}, {"path": "tedlium_38915.wav", "duration": 5.1, "text": "I think we've learned a number of lessons in the last year. It certainly does take longer"}, {"path": "tedlium_38916.wav", "duration": 5.1, "text": "to better serve our customers with a simplified in-store selling process."}, {"path": "tedlium_38917.wav", "duration": 5.1, "text": "So when we look into '18, we definitely will go back."}, {"path": "tedlium_38918.wav", "duration": 5.1, "text": "And the estimated enrollment of that again is somewhere around 1,000 patients or so."}, {"path": "tedlium_38919.wav", "duration": 5.1, "text": "and we have several potential outliers that greatly exceed this annual revenue range."}, {"path": "tedlium_38920.wav", "duration": 5.1, "text": "We view this as a path to sustainable and profitable growth for our shareholders."}, {"path": "tedlium_38921.wav", "duration": 5.1, "text": "that the net financial cost increased significantly, and this is mainly"}, {"path": "tedlium_38922.wav", "duration": 5.1, "text": "had a strong year, driven by continued robust growth in private market sales"}, {"path": "tedlium_38923.wav", "duration": 5.1, "text": "This builds on the investments we've made in the last few years in new capabilities in digital,"}, {"path": "tedlium_38924.wav", "duration": 5.1, "text": "This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_38925.wav", "duration": 5.1, "text": "But it's not our strategy to use the tax asset just for the sake of using it. The aim is"}, {"path": "tedlium_38926.wav", "duration": 5.1, "text": "patients into the hospital system. And they buy into the whole story beyond sort of"}, {"path": "tedlium_38927.wav", "duration": 5.1, "text": "there's also that component of the business that shifts to technology and automation"}, {"path": "tedlium_38928.wav", "duration": 5.1, "text": "where we segmented our sales force between commercial and enterprise, but we further segmented it"}, {"path": "tedlium_38929.wav", "duration": 5.1, "text": "The cost of serving these residential customers will be addressed in a future proceeding."}, {"path": "tedlium_38930.wav", "duration": 5.1, "text": "to be something worth paying attention to in the next decade, and we are going to position ourselves to make sure"}, {"path": "tedlium_38931.wav", "duration": 5.1, "text": "looking to be as focused on that core part of our business as we could."}, {"path": "tedlium_38932.wav", "duration": 5.1, "text": "Turning to Slide 15. With all the major economies around the world growing,"}, {"path": "tedlium_38933.wav", "duration": 5.1, "text": "when you're -- I think if you're looking at it the way you were just looking at it on a per-ton basis."}, {"path": "tedlium_38934.wav", "duration": 5.1, "text": "and took it all the way to a business that was doing hundreds of millions of dollars"}, {"path": "tedlium_38935.wav", "duration": 5.1, "text": "as you know, those come in, in large chunks. We've been working down the last"}, {"path": "tedlium_38936.wav", "duration": 5.1, "text": "We raised our full year adjusted EBITDA guidance range for the third time this year."}, {"path": "tedlium_38937.wav", "duration": 5.1, "text": "This strategy reflects our view of global risk and return opportunities."}, {"path": "tedlium_38938.wav", "duration": 5.1, "text": "And for our part, we believe this is a very solid project. It's a good"}, {"path": "tedlium_38939.wav", "duration": 5.1, "text": "I have a question about"}, {"path": "tedlium_38940.wav", "duration": 5.1, "text": "In line with that, I think you've seen over the last 2 years, we've started"}, {"path": "tedlium_38941.wav", "duration": 5.1, "text": "Garrett was unaware of that action prior to Honeywell's disclosure in its 10-Q."}, {"path": "tedlium_38942.wav", "duration": 5.1, "text": "I think this is where we are coming from and this is -- will be -- always be"}, {"path": "tedlium_38943.wav", "duration": 5.1, "text": "We believe the nitrogen industry will further consolidate over time."}, {"path": "tedlium_38944.wav", "duration": 5.1, "text": "The need for technology combined with demanding existing customers and manufacturing capacity"}, {"path": "tedlium_38945.wav", "duration": 5.1, "text": "as I said, big opportunity, right, to take those learnings and take them on the road, right, and apply them"}, {"path": "tedlium_38946.wav", "duration": 5.1, "text": "area that they would have picked up, say, in the last 6 or 9 months to be in charge of all"}, {"path": "tedlium_38947.wav", "duration": 5.1, "text": "the value of those customers. We want to make sure that we're reaching them with the right frequency"}, {"path": "tedlium_38948.wav", "duration": 5.1, "text": "be difference makers for our clients and to our growth rates, but that also fit"}, {"path": "tedlium_38949.wav", "duration": 5.1, "text": "We've got accounting ability that I never had in the past."}, {"path": "tedlium_38950.wav", "duration": 5.1, "text": "And the impacts of these updates are far off with respect to our business."}, {"path": "tedlium_38951.wav", "duration": 5.1, "text": "we've been looking at the distribution channel that is increasingly more"}, {"path": "tedlium_38952.wav", "duration": 5.1, "text": "to include additional expenses related to a cost savings program."}, {"path": "tedlium_38953.wav", "duration": 5.1, "text": "because our view still based on all the lead indicators that we have seen is"}, {"path": "tedlium_38954.wav", "duration": 5.1, "text": "is the primary rationale for these migration decisions."}, {"path": "tedlium_38955.wav", "duration": 5.1, "text": "capacity to support the increased automotive activity in that area."}, {"path": "tedlium_38956.wav", "duration": 5.1, "text": "The main highlights of our convention last week included"}, {"path": "tedlium_38957.wav", "duration": 5.0999375, "text": "derive what kind of spending we need to support those businesses"}, {"path": "tedlium_38958.wav", "duration": 5.0999375, "text": "due to the fact that there were -- there was a lax in the approval of the"}, {"path": "tedlium_38959.wav", "duration": 5.0700625, "text": "last quarter of the year ended December have generally been the strongest."}, {"path": "tedlium_38960.wav", "duration": 5.07, "text": "Our mobility effort is anchored around 2 broad fronts."}, {"path": "tedlium_38961.wav", "duration": 5.07, "text": "And the other comment I would add is that in the second quarter of last year,"}, {"path": "tedlium_38962.wav", "duration": 5.07, "text": "will be based on growth in our net assets rather than further reductions in our expenses."}, {"path": "tedlium_38963.wav", "duration": 5.07, "text": "Finally, on the next page, you'll see our public company performance since we started."}, {"path": "tedlium_38964.wav", "duration": 5.07, "text": "in that particular area that you've brought on recently are probably among the highest"}, {"path": "tedlium_38965.wav", "duration": 5.07, "text": "and hopefully to help you better understand this debt profile going forwards."}, {"path": "tedlium_38966.wav", "duration": 5.07, "text": "Following the completion of a strategic review, we announced the realignment of the organization,"}, {"path": "tedlium_38967.wav", "duration": 5.07, "text": "to step back and look at our relationships and confirm"}, {"path": "tedlium_38968.wav", "duration": 5.07, "text": "All I can say is that the company has been doing well."}, {"path": "tedlium_38969.wav", "duration": 5.07, "text": "Well, I don't have the number with me right now. So we will look into the matter and get back to you later."}, {"path": "tedlium_38970.wav", "duration": 5.07, "text": "in the coming year for these segments."}, {"path": "tedlium_38971.wav", "duration": 5.07, "text": "as much as the urgency on the part to act on"}, {"path": "tedlium_38972.wav", "duration": 5.07, "text": "Sure. Let me rephrase the question. Do you think this is a change"}, {"path": "tedlium_38973.wav", "duration": 5.07, "text": "and execute firmly against its objective of sustainable and responsible growth."}, {"path": "tedlium_38974.wav", "duration": 5.07, "text": "that we should have coordinated with our used business to maximize residuals."}, {"path": "tedlium_38975.wav", "duration": 5.07, "text": "would you guys assume if you had a similar amount of loan growth or a similar pace of loan growth"}, {"path": "tedlium_38976.wav", "duration": 5.07, "text": "Thank you for joining Fred's to review the company's financial and operating results for the third quarter"}, {"path": "tedlium_38977.wav", "duration": 5.07, "text": "the liquidity situation is not as plush as it was"}, {"path": "tedlium_38978.wav", "duration": 5.07, "text": "And all these investment products at this stage"}, {"path": "tedlium_38979.wav", "duration": 5.07, "text": "Is there any real -- when can we start to see that"}, {"path": "tedlium_38980.wav", "duration": 5.07, "text": "the reduction to our pretax income from our lower sales levels."}, {"path": "tedlium_38981.wav", "duration": 5.07, "text": "Given our scale, we are excited to think about what we can accomplish once integration is complete."}, {"path": "tedlium_38982.wav", "duration": 5.07, "text": "the positive commentary and everything but Sports growing. So I guess, I'm just wondering is there any more"}, {"path": "tedlium_38983.wav", "duration": 5.07, "text": "That's it for our prepared remarks. We'll now open it up for your questions."}, {"path": "tedlium_38984.wav", "duration": 5.07, "text": "While we expect our Ohio and Texas health plans will continue to perform well,"}, {"path": "tedlium_38985.wav", "duration": 5.07, "text": "show improvement in Colorado and consistently throughout the rest of the year."}, {"path": "tedlium_38986.wav", "duration": 5.07, "text": "stock compensation and legal expense related to the insurance recovery program."}, {"path": "tedlium_38987.wav", "duration": 5.07, "text": "we feel particularly good about the floating rate structure of our portfolio."}, {"path": "tedlium_38988.wav", "duration": 5.07, "text": "or are getting better at it, certainly, in a lot of places. So I think it's where it's supposed to be."}, {"path": "tedlium_38989.wav", "duration": 5.07, "text": "Okay. So would it be fair to say that Q4 would be the heaviest"}, {"path": "tedlium_38990.wav", "duration": 5.07, "text": "between now and the point of sale, which we expect that run rate of losses"}, {"path": "tedlium_38991.wav", "duration": 5.07, "text": "This is an important proof point for the effectiveness of our Managed Exit initiative."}, {"path": "tedlium_38992.wav", "duration": 5.07, "text": "So I know that there's a bunch of bids that were sitting in a backlog, were kind of stuck,"}, {"path": "tedlium_38993.wav", "duration": 5.07, "text": "sounds like you're not necessarily including it yet? And just if you can remind us the building blocks"}, {"path": "tedlium_38994.wav", "duration": 5.07, "text": "Thank you for your participation. You may now disconnect your lines at this time."}, {"path": "tedlium_38995.wav", "duration": 5.07, "text": "are you seeing any opportunities there for bringing new people on board?"}, {"path": "tedlium_38996.wav", "duration": 5.07, "text": "the members of the association were benefited. And they are now"}, {"path": "tedlium_38997.wav", "duration": 5.07, "text": "We're excited to have begun to see the results of these efforts in the first half of the year."}, {"path": "tedlium_38998.wav", "duration": 5.07, "text": "every projection we've done, it shows that, that should be enough to get"}, {"path": "tedlium_38999.wav", "duration": 5.07, "text": "facility by constructing more. This is one of the big investments that we have"}, {"path": "tedlium_39000.wav", "duration": 5.07, "text": "teach them how you want them to approach clients, teach them your culture,"}, {"path": "tedlium_39001.wav", "duration": 5.07, "text": "So I guess here's the comments that I would make on the NAND market."}, {"path": "tedlium_39002.wav", "duration": 5.07, "text": "or the guidance in variable rate technologies today. That would be a real opportunity"}, {"path": "tedlium_39003.wav", "duration": 5.07, "text": "and enabled us to regard the map as part of a unique and differentiated solution."}, {"path": "tedlium_39004.wav", "duration": 5.07, "text": "as to how fast an economy will come back. But I was just down there a few weeks ago,"}, {"path": "tedlium_39005.wav", "duration": 5.07, "text": "we had an improvement in our performance with our client metrics"}, {"path": "tedlium_39006.wav", "duration": 5.07, "text": "I think as we've talked about and others have talked about in the market for some time now,"}, {"path": "tedlium_39007.wav", "duration": 5.07, "text": "was a Friday going into the Fourth of July weekend, and a lot of folks just got out of town"}, {"path": "tedlium_39008.wav", "duration": 5.07, "text": "Well, ladies and gentlemen, thank you for participating in today's conference."}, {"path": "tedlium_39009.wav", "duration": 5.07, "text": "changing the conversation around doors and making the door category more relevant."}, {"path": "tedlium_39010.wav", "duration": 5.07, "text": "we are and who we are going to continue to be. One of the primary principles talks about"}, {"path": "tedlium_39011.wav", "duration": 5.07, "text": "even if actual results or future expectations change materially."}, {"path": "tedlium_39012.wav", "duration": 5.07, "text": "we will not be stuck with the length that we had last year."}, {"path": "tedlium_39013.wav", "duration": 5.07, "text": "as well as modest increases to general inflation in the latter portion of the year."}, {"path": "tedlium_39014.wav", "duration": 5.07, "text": "Finally, trends in our power and civil construction markets are turning the corner."}, {"path": "tedlium_39015.wav", "duration": 5.07, "text": "That concludes my updates on the individual therapeutics and therapeutic candidates."}, {"path": "tedlium_39016.wav", "duration": 5.07, "text": "And we expect this to increase given the fourth quarter impacts of Hurricane Matthew."}, {"path": "tedlium_39017.wav", "duration": 5.07, "text": "and a 16% increase in the average selling price versus the prior year."}, {"path": "tedlium_39018.wav", "duration": 5.07, "text": "in line with how we had estimated and evaluated."}, {"path": "tedlium_39019.wav", "duration": 5.07, "text": "a little conservative here because we don't have great clarity on what the rest of the year will be."}, {"path": "tedlium_39020.wav", "duration": 5.07, "text": "the macro front, have you seen anything on the proactive side that's changed as far as like the demand environment?"}, {"path": "tedlium_39021.wav", "duration": 5.07, "text": "Wells are drilled year round, then completed mostly during the summer."}, {"path": "tedlium_39022.wav", "duration": 5.07, "text": "filling techniques and marking techniques to improve on that."}, {"path": "tedlium_39023.wav", "duration": 5.07, "text": "although the full effect of some of these examples will be seen"}, {"path": "tedlium_39024.wav", "duration": 5.07, "text": "because of our full portfolio and long presence, we see strong market share gains"}, {"path": "tedlium_39025.wav", "duration": 5.07, "text": "We both work in the recruiting space. We both now work in the learning space,"}, {"path": "tedlium_39026.wav", "duration": 5.07, "text": "which should enable us to stabilize our business and position us for longer-term growth."}, {"path": "tedlium_39027.wav", "duration": 5.07, "text": "in so many different areas of our company whether it was wage, changes or bonuses to"}, {"path": "tedlium_39028.wav", "duration": 5.07, "text": "And in that space, we see the opportunity to bring what we call edge computing"}, {"path": "tedlium_39029.wav", "duration": 5.07, "text": "We are terribly busy building out what we have set out to build."}, {"path": "tedlium_39030.wav", "duration": 5.07, "text": "We have elevated our commitment through enhanced communication, time and resources."}, {"path": "tedlium_39031.wav", "duration": 5.07, "text": "Everybody waits for the decisions, for the outcome of the trade war."}, {"path": "tedlium_39032.wav", "duration": 5.07, "text": "working against their list of improved drug manufacturing process targets."}, {"path": "tedlium_39033.wav", "duration": 5.07, "text": "Thank you. And I'll now turn the call over to Scott. Scott?"}, {"path": "tedlium_39034.wav", "duration": 5.07, "text": "So we're very pleased with where we are on that front, but we've got to get"}, {"path": "tedlium_39035.wav", "duration": 5.07, "text": "There are a variety of reasons for this. So let me elaborate."}, {"path": "tedlium_39036.wav", "duration": 5.07, "text": "has some negative effect. And in addition, I would say, we have"}, {"path": "tedlium_39037.wav", "duration": 5.07, "text": "And how much cash do you need to keep overseas on an operational level? And if we see some"}, {"path": "tedlium_39038.wav", "duration": 5.07, "text": "Our teams have begun to renew our existing U.S. and international service center capabilities"}, {"path": "tedlium_39039.wav", "duration": 5.07, "text": "And we do expect our deposit and investment growth to continue to grow at"}, {"path": "tedlium_39040.wav", "duration": 5.07, "text": "Before we begin, I'd like to refer you to the first 2 slides of our presentation"}, {"path": "tedlium_39041.wav", "duration": 5.07, "text": "We expect this impact will be partially offset by incremental pricing."}, {"path": "tedlium_39042.wav", "duration": 5.07, "text": "And again, we were pleased that our bank group expressed their confidence in the company and the management team"}, {"path": "tedlium_39043.wav", "duration": 5.07, "text": "on an average basis not to have a meaningful impact from the tax law changes."}, {"path": "tedlium_39044.wav", "duration": 5.07, "text": "But you should know that any approval that is granted by New York state"}, {"path": "tedlium_39045.wav", "duration": 5.07, "text": "We did see a 60 basis point improvement in credit operating cost during the quarter"}, {"path": "tedlium_39046.wav", "duration": 5.07, "text": "Sure. I mean, we want to be a supportive sponsor as we can be"}, {"path": "tedlium_39047.wav", "duration": 5.07, "text": "in new applications and new product releases moving forward."}, {"path": "tedlium_39048.wav", "duration": 5.07, "text": "Our Montana operations benefited from our ongoing investments in new game product"}, {"path": "tedlium_39049.wav", "duration": 5.07, "text": "However, I want to provide some basic information as we best understand it."}, {"path": "tedlium_39050.wav", "duration": 5.07, "text": "but we certainly will be bringing that material -- those data to future scientific meetings."}, {"path": "tedlium_39051.wav", "duration": 5.07, "text": "and then we will establish the maintenance regimes to give us reliable 25-year income"}, {"path": "tedlium_39052.wav", "duration": 5.07, "text": "The majority of adverse events reported by the investigators have been mild to moderate"}, {"path": "tedlium_39053.wav", "duration": 5.07, "text": "Project orientation makes that a little bit harder or otherwise."}, {"path": "tedlium_39054.wav", "duration": 5.07, "text": "that the new capacity is now installed and we are beginning to utilize it."}, {"path": "tedlium_39055.wav", "duration": 5.07, "text": "We do not plan to update predictions regarding possible future income statement results,"}, {"path": "tedlium_39056.wav", "duration": 5.07, "text": "is a return to normal for what has traditionally been expected for this time of year,"}, {"path": "tedlium_39057.wav", "duration": 5.07, "text": "General commercial activity represents the largest segment of Canada's economy,"}, {"path": "tedlium_39058.wav", "duration": 5.07, "text": "a little bit of margin compression, higher expenses but a lower tax rate,"}, {"path": "tedlium_39059.wav", "duration": 5.07, "text": "in many of these scenarios, the profit margins are quite thin."}, {"path": "tedlium_39060.wav", "duration": 5.07, "text": "gives us flexibility to adapt to changing economic, tax and trade conditions,"}, {"path": "tedlium_39061.wav", "duration": 5.07, "text": "That's not something that we ever intend to use as a profit leader for us who's trying to drive"}, {"path": "tedlium_39062.wav", "duration": 5.07, "text": "Second, while we continue to operate in a difficult external environment,"}, {"path": "tedlium_39063.wav", "duration": 5.07, "text": "And with that, let me turn the call back over to Julie for just some final words."}, {"path": "tedlium_39064.wav", "duration": 5.07, "text": "As a reminder, this Parametric offering applies financial futures and other derivative instruments"}, {"path": "tedlium_39065.wav", "duration": 5.07, "text": "other than the funding piece of it that we think they do exceptionally well."}, {"path": "tedlium_39066.wav", "duration": 5.07, "text": "Bob, we call it raw materials but it is all power."}, {"path": "tedlium_39067.wav", "duration": 5.07, "text": "I think there's a lot of talk on the crude side. And when you look at"}, {"path": "tedlium_39068.wav", "duration": 5.07, "text": "to drive our strong growth and profitability in a seasonally strong quarter for the industry."}, {"path": "tedlium_39069.wav", "duration": 5.07, "text": "and it's a tremendous amount of information not only related to comparability"}, {"path": "tedlium_39070.wav", "duration": 5.07, "text": "While medical professionals are the driving force behind successful outcomes,"}, {"path": "tedlium_39071.wav", "duration": 5.07, "text": "This is because they can be directly influenced by the management team."}, {"path": "tedlium_39072.wav", "duration": 5.07, "text": "contingency into our expectations to make sure that we're not overpromising anything. So"}, {"path": "tedlium_39073.wav", "duration": 5.07, "text": "So this year, there's only going to be a partial benefit. And the reason we say we'll have a better rate"}, {"path": "tedlium_39074.wav", "duration": 5.07, "text": "But there are signs of improvements underway. So film type"}, {"path": "tedlium_39075.wav", "duration": 5.07, "text": "As the capital projects start following that, you'll get a little bit more efficiency,"}, {"path": "tedlium_39076.wav", "duration": 5.07, "text": "All in all, while our products are in different stages of adoption,"}, {"path": "tedlium_39077.wav", "duration": 5.07, "text": "and EBIT and EBITDA to be in the lower half of their respective ranges."}, {"path": "tedlium_39078.wav", "duration": 5.07, "text": "We completed and integrated 10 acquisitions, which broadened our diversified platform."}, {"path": "tedlium_39079.wav", "duration": 5.07, "text": "in the fourth quarter to help with seasonal surge needs of some of our Dedicated accounts."}, {"path": "tedlium_39080.wav", "duration": 5.07, "text": "in accident frequency and severity and our commitment to continue safety improvements,"}, {"path": "tedlium_39081.wav", "duration": 5.07, "text": "We thank our team for their ongoing efforts and our shareholders for your continued confidence in our company."}, {"path": "tedlium_39082.wav", "duration": 5.07, "text": "that becomes our revenue when it's reported to us in the first quarter of the following year."}, {"path": "tedlium_39083.wav", "duration": 5.07, "text": "during an oral presentation at the annual meeting of the World Muscle Society in Mendoza, Argentina."}, {"path": "tedlium_39084.wav", "duration": 5.07, "text": "The number of common shares to be issued at the end of every 6-month interest period"}, {"path": "tedlium_39085.wav", "duration": 5.07, "text": "or that were thwarted by planning approvals that we were not able to achieve."}, {"path": "tedlium_39086.wav", "duration": 5.07, "text": "of reconfiguring his organization to be much more effective"}, {"path": "tedlium_39087.wav", "duration": 5.07, "text": "None of our forecast reflect any potential changes from tax reform."}, {"path": "tedlium_39088.wav", "duration": 5.07, "text": "those figures as an indication of the passing rent on those properties"}, {"path": "tedlium_39089.wav", "duration": 5.07, "text": "some of the new reorganizations and I think that would really impact really all of the business."}, {"path": "tedlium_39090.wav", "duration": 5.07, "text": "similar to our entire portfolio. I mean, when you think about our portfolio as an asset,"}, {"path": "tedlium_39091.wav", "duration": 5.07, "text": "I think next year will be much better than this year. And"}, {"path": "tedlium_39092.wav", "duration": 5.07, "text": "the measures to improve the fixed costs are more important then in priority."}, {"path": "tedlium_39093.wav", "duration": 5.07, "text": "earlier in 2015. We actually got authority from our board to"}, {"path": "tedlium_39094.wav", "duration": 5.07, "text": "while those legacy products move closer to the end of their respective life cycles."}, {"path": "tedlium_39095.wav", "duration": 5.07, "text": "we going to decline further compared to the lower comparison base last year"}, {"path": "tedlium_39096.wav", "duration": 5.07, "text": "I would like to turn the conference back over to management for any additional or closing comments."}, {"path": "tedlium_39097.wav", "duration": 5.07, "text": "and actual results may differ materially from those contemplated by these forward-looking statements."}, {"path": "tedlium_39098.wav", "duration": 5.07, "text": "This increase was offset by several unfavorable impacts during the quarter."}, {"path": "tedlium_39099.wav", "duration": 5.07, "text": "Before we begin, I'd like to refer you to the first 2 slides of our presentation"}, {"path": "tedlium_39100.wav", "duration": 5.07, "text": "Last year, we discussed the market environment that drove our sales margins to a level"}, {"path": "tedlium_39101.wav", "duration": 5.07, "text": "the training initiatives that we have. So to answer that, right now"}, {"path": "tedlium_39102.wav", "duration": 5.07, "text": "as swap rates decreased more than other asset yields during the third quarter."}, {"path": "tedlium_39103.wav", "duration": 5.07, "text": "that's always been a little spotty and I think you need to look at a broader trend than a single quarter"}, {"path": "tedlium_39104.wav", "duration": 5.07, "text": "I think we're very comfortable with our -- with the portfolio of services that we provide."}, {"path": "tedlium_39105.wav", "duration": 5.07, "text": "and we are also expanding our service offerings related to the federal Medicare programs."}, {"path": "tedlium_39106.wav", "duration": 5.07, "text": "we should be able to get a bit of a bump in that gross profit margin,"}, {"path": "tedlium_39107.wav", "duration": 5.07, "text": "extremely focused on. We started off knowing that the first quarter was going to be the most difficult,"}, {"path": "tedlium_39108.wav", "duration": 5.07, "text": "in some cases. So you can see in some of the"}, {"path": "tedlium_39109.wav", "duration": 5.07, "text": "Before taking into account the realization of the lower effective tax rate,"}, {"path": "tedlium_39110.wav", "duration": 5.0699375, "text": "story there is how do we get these horizontal wells landed and completed"}, {"path": "tedlium_39111.wav", "duration": 5.0699375, "text": "there's been no change in terms of our direct customers for the brand business."}, {"path": "tedlium_39112.wav", "duration": 5.0400625, "text": "The city gets multiple benefits from this project. The new lights"}, {"path": "tedlium_39113.wav", "duration": 5.04, "text": "Let me first comment on cloud computing business,"}, {"path": "tedlium_39114.wav", "duration": 5.04, "text": "China Refinish market actually last year was flat overall as the new insurance"}, {"path": "tedlium_39115.wav", "duration": 5.04, "text": "As a reminder, we believe that our existing cash, cash equivalents, and investments"}, {"path": "tedlium_39116.wav", "duration": 5.04, "text": "How much of that do you actually need to run the business on an ongoing basis? And I"}, {"path": "tedlium_39117.wav", "duration": 5.04, "text": "This is normal when we transfer volumes from one platform on to another."}, {"path": "tedlium_39118.wav", "duration": 5.04, "text": "I would use more we were over the last few years which has been pretty consistent"}, {"path": "tedlium_39119.wav", "duration": 5.04, "text": "that will allow us to move to a higher level of production"}, {"path": "tedlium_39120.wav", "duration": 5.04, "text": "some of the performance we've had in the current year in our uninvested estates."}, {"path": "tedlium_39121.wav", "duration": 5.04, "text": "The market's peak impact from Porter Ranch was January through April, thus"}, {"path": "tedlium_39122.wav", "duration": 5.04, "text": "credit facilities to absorb these financing requirements."}, {"path": "tedlium_39123.wav", "duration": 5.04, "text": "So we're making better choices about where we go and where we do not go,"}, {"path": "tedlium_39124.wav", "duration": 5.04, "text": "Indeed, since then, we have seen a recovery of the Brazilian real"}, {"path": "tedlium_39125.wav", "duration": 5.04, "text": "While the teamwork we are witnessing and the opportunities ahead of us"}, {"path": "tedlium_39126.wav", "duration": 5.04, "text": "Kew and I are keenly focused on growing our fee-related earnings."}, {"path": "tedlium_39127.wav", "duration": 5.04, "text": "so that we could generate more revenue with video ads throughout the year."}, {"path": "tedlium_39128.wav", "duration": 5.04, "text": "we have the service piece and the monetization piece. The base"}, {"path": "tedlium_39129.wav", "duration": 5.04, "text": "Operating expenses is expected to increase slightly"}, {"path": "tedlium_39130.wav", "duration": 5.04, "text": "for that products and that part of the market I would anticipate we would"}, {"path": "tedlium_39131.wav", "duration": 5.04, "text": "with the application representing an enormous improvement over the first quarter average,"}, {"path": "tedlium_39132.wav", "duration": 5.04, "text": "drive unexpected loss emergence at an industry level."}, {"path": "tedlium_39133.wav", "duration": 5.04, "text": "So we are encouraged by the traction we're seeing in the broader"}, {"path": "tedlium_39134.wav", "duration": 5.04, "text": "no explanation is needed. For those who don't, none will do."}, {"path": "tedlium_39135.wav", "duration": 5.04, "text": "I would say that it doesn't really make a material difference,"}, {"path": "tedlium_39136.wav", "duration": 5.04, "text": "we find it harder and harder to identify banks out there"}, {"path": "tedlium_39137.wav", "duration": 5.04, "text": "and MAP Navigator thereafter when it becomes available."}, {"path": "tedlium_39138.wav", "duration": 5.04, "text": "Now I'd like to also mention some disclosure enhancements that we telegraphed last quarter."}, {"path": "tedlium_39139.wav", "duration": 5.04, "text": "are your expectation for putting this program into the CST location?"}, {"path": "tedlium_39140.wav", "duration": 5.04, "text": "We continue to deliver strong free cash flow, which remains our key focus,"}, {"path": "tedlium_39141.wav", "duration": 5.04, "text": "we encourage you to read the partnerships earnings release and documents on file with the SEC."}, {"path": "tedlium_39142.wav", "duration": 5.04, "text": "financial constraint within the alternative space because of the structure."}, {"path": "tedlium_39143.wav", "duration": 5.04, "text": "The quarter also demonstrated a significant accretive growth"}, {"path": "tedlium_39144.wav", "duration": 5.04, "text": "And that project should hopefully be validated by the end of this fiscal year."}, {"path": "tedlium_39145.wav", "duration": 5.04, "text": "and I just don't see that the story is being told. You're talking to us, and"}, {"path": "tedlium_39146.wav", "duration": 5.04, "text": "It should be a solid year for the petroleum additives segment and the company as we"}, {"path": "tedlium_39147.wav", "duration": 5.04, "text": "Customers responded well to our lower prices and we continue to grow the top line."}, {"path": "tedlium_39148.wav", "duration": 5.04, "text": "The group produced a good performance in the 6 months period to the end of February."}, {"path": "tedlium_39149.wav", "duration": 5.04, "text": "as we work through the fourth quarter and into the first half of next year."}, {"path": "tedlium_39150.wav", "duration": 5.04, "text": "The differences between GAAP and base earnings are summarized on this slide."}, {"path": "tedlium_39151.wav", "duration": 5.04, "text": "We have discussed at length the reasons why we are exiting the services delivery business,"}, {"path": "tedlium_39152.wav", "duration": 5.04, "text": "of whether it's by geographic region or industrial versus consumer,"}, {"path": "tedlium_39153.wav", "duration": 5.04, "text": "Bill brings a well-proven ability to lead successful research and development organizations"}, {"path": "tedlium_39154.wav", "duration": 5.04, "text": "which indicates the market attractiveness of the capabilities in this business."}, {"path": "tedlium_39155.wav", "duration": 5.04, "text": "These 2 measures are primarily how we internally measure our financial performance."}, {"path": "tedlium_39156.wav", "duration": 5.04, "text": "On a full year basis, we'd expect margins to be"}, {"path": "tedlium_39157.wav", "duration": 5.04, "text": "and they have compact footprints compared to the rest of the proppant storage industry."}, {"path": "tedlium_39158.wav", "duration": 5.04, "text": "in particular to better match our cost structure with current activity levels."}, {"path": "tedlium_39159.wav", "duration": 5.04, "text": "of paydowns we were anticipating by the end of June that just didn't occur."}, {"path": "tedlium_39160.wav", "duration": 5.04, "text": "So there is no magic to it. It really was just those 2 things."}, {"path": "tedlium_39161.wav", "duration": 5.04, "text": "We actually had a great bookings quarter just this last quarter. And so"}, {"path": "tedlium_39162.wav", "duration": 5.04, "text": "we tried to increase sales of candies to the younger generation."}, {"path": "tedlium_39163.wav", "duration": 5.04, "text": "consistent with the projections we have provided during the last few quarterly calls."}, {"path": "tedlium_39164.wav", "duration": 5.04, "text": "to reduce laboratory spend and bring down the cost of care."}, {"path": "tedlium_39165.wav", "duration": 5.04, "text": "On our first quarter call, I changed my perspective to a more balanced view of risk and opportunity."}, {"path": "tedlium_39166.wav", "duration": 5.04, "text": "This concludes today's conference call. You may now disconnect."}, {"path": "tedlium_39167.wav", "duration": 5.04, "text": "With that, I'll now turn the call over to John Scribante. John?"}, {"path": "tedlium_39168.wav", "duration": 5.04, "text": "Average in-store inventories were down slightly versus last year."}, {"path": "tedlium_39169.wav", "duration": 5.04, "text": "We anticipate the project will be completed in the fourth quarter of this year or early next year."}, {"path": "tedlium_39170.wav", "duration": 5.04, "text": "information about what has happened so far during the year, so they have a quite"}, {"path": "tedlium_39171.wav", "duration": 5.04, "text": "along with the improvement of the customer mix"}, {"path": "tedlium_39172.wav", "duration": 5.04, "text": "as well as increased activity in the distribution channel in the Americas."}, {"path": "tedlium_39173.wav", "duration": 5.04, "text": "is pretty consistent to what we heard in market research when we evaluated the compound."}, {"path": "tedlium_39174.wav", "duration": 5.04, "text": "so a lot of geographical restructuring going on in that contract."}, {"path": "tedlium_39175.wav", "duration": 5.04, "text": "and believe that our asset management platform is among the best in the industry."}, {"path": "tedlium_39176.wav", "duration": 5.04, "text": "premiums are you getting to your regular rate?"}, {"path": "tedlium_39177.wav", "duration": 5.04, "text": "And as we mentioned last quarter, we continued to optimize our network."}, {"path": "tedlium_39178.wav", "duration": 5.04, "text": "had some in it. But it really got more dramatically pronounced in the third and fourth quarter."}, {"path": "tedlium_39179.wav", "duration": 5.04, "text": "This increase was driven by a rebound in orders from oil and gas upstream, which were"}, {"path": "tedlium_39180.wav", "duration": 5.04, "text": "is also growing consistently with our expectations."}, {"path": "tedlium_39181.wav", "duration": 5.04, "text": "We have all of the homes that we are planning to occupy this year"}, {"path": "tedlium_39182.wav", "duration": 5.04, "text": "Our Europe business continues to demonstrate solid operating performance,"}, {"path": "tedlium_39183.wav", "duration": 5.04, "text": "you're in a high tax area. Did you hear what Illinois was trying to pass?"}, {"path": "tedlium_39184.wav", "duration": 5.04, "text": "We'll update you on its impact to our financials after the closing."}, {"path": "tedlium_39185.wav", "duration": 5.04, "text": "in the power generation market. So we think very positive things in terms of"}, {"path": "tedlium_39186.wav", "duration": 5.04, "text": "We have instead served customers largely in response to inbound requests."}, {"path": "tedlium_39187.wav", "duration": 5.04, "text": "and will report detailed results from the full study at a future scientific meeting."}, {"path": "tedlium_39188.wav", "duration": 5.04, "text": "And with that, I will turn it over to the operator and we will open up the call"}, {"path": "tedlium_39189.wav", "duration": 5.04, "text": "Derek will then walk us through the details on the quarter, provide some additional information on our guidance"}, {"path": "tedlium_39190.wav", "duration": 5.04, "text": "Because I think you guys have been focused on this for at least the last year. And"}, {"path": "tedlium_39191.wav", "duration": 5.04, "text": "There are indications that market sentiment may be gradually improving in the segment,"}, {"path": "tedlium_39192.wav", "duration": 5.04, "text": "As Patrick has said many times, we are going to ramp our way up"}, {"path": "tedlium_39193.wav", "duration": 5.04, "text": "As the problems become less defined, the design tools must be more flexible"}, {"path": "tedlium_39194.wav", "duration": 5.04, "text": "The comment period with respect to the draft advisory ended on October 21, and"}, {"path": "tedlium_39195.wav", "duration": 5.04, "text": "to be that big of a benefit. But they certainly are all positive for the overall business environment."}, {"path": "tedlium_39196.wav", "duration": 5.04, "text": "Thank you very much for your attendance and questions, and I wish you a good day."}, {"path": "tedlium_39197.wav", "duration": 5.04, "text": "to make sure that the people will really focus on this very good opportunity."}, {"path": "tedlium_39198.wav", "duration": 5.04, "text": "but I think it's more than the vertical integration. It's our geographic diversification as well."}, {"path": "tedlium_39199.wav", "duration": 5.04, "text": "specifically, things have not been looking so well."}, {"path": "tedlium_39200.wav", "duration": 5.04, "text": "and superior and sustainable returns for our shareholders."}, {"path": "tedlium_39201.wav", "duration": 5.04, "text": "We do anticipate some quarterly fluctuations in our growth rates during the year."}, {"path": "tedlium_39202.wav", "duration": 5.04, "text": "Thank you all very much for joining us. We look forward to updating you on our next earnings call."}, {"path": "tedlium_39203.wav", "duration": 5.04, "text": "Blue Mountain has an excellent existing footprint and attractive growth prospects."}, {"path": "tedlium_39204.wav", "duration": 5.04, "text": "especially once we get to the point of releasing the acreage and showing everybody where it is. But"}, {"path": "tedlium_39205.wav", "duration": 5.04, "text": "Fourth, New product development remains a priority."}, {"path": "tedlium_39206.wav", "duration": 5.04, "text": "is provided in the tables included with our press release and in our quarterly report on Form 10-Q filed this morning"}, {"path": "tedlium_39207.wav", "duration": 5.04, "text": "This probably represents the closest potential new resource that might be developed."}, {"path": "tedlium_39208.wav", "duration": 5.04, "text": "and then, we've got to go live and then we start to see revenue hit. So"}, {"path": "tedlium_39209.wav", "duration": 5.04, "text": "We are also maintaining our commitment to returning capital to shareholders through our dividend program"}, {"path": "tedlium_39210.wav", "duration": 5.04, "text": "With that, I'll hand the call over to Matt for some comments on our balance sheet and guidance."}, {"path": "tedlium_39211.wav", "duration": 5.04, "text": "This is a line that is very important for the city of Lima"}, {"path": "tedlium_39212.wav", "duration": 5.04, "text": "Finally, we managed our receivables very well"}, {"path": "tedlium_39213.wav", "duration": 5.04, "text": "or as LNG after cooling and compression process."}, {"path": "tedlium_39214.wav", "duration": 5.04, "text": "of additional projects as applicable. With that, I'll turn the call over to Al."}, {"path": "tedlium_39215.wav", "duration": 5.04, "text": "increase in adjusted cash flow used for operating activities"}, {"path": "tedlium_39216.wav", "duration": 5.04, "text": "It's also a confirmation of the criticality of our systems, our services"}, {"path": "tedlium_39217.wav", "duration": 5.04, "text": "Has KPMG completed its work on your reserves?"}, {"path": "tedlium_39218.wav", "duration": 5.04, "text": "Let me spend a moment providing a few highlights by category."}, {"path": "tedlium_39219.wav", "duration": 5.04, "text": "We are actively working with partners on implementation, and we are going to manage this transition"}, {"path": "tedlium_39220.wav", "duration": 5.04, "text": "We are confident that we will continue to benefit as that market grows."}, {"path": "tedlium_39221.wav", "duration": 5.04, "text": "It's now our definition so everybody can work with that. And that's the reason why I also said in our speech"}, {"path": "tedlium_39222.wav", "duration": 5.04, "text": "We've got an operational focus and a leader in that division today"}, {"path": "tedlium_39223.wav", "duration": 5.04, "text": "the causes of disease and successfully discover new drug candidates."}, {"path": "tedlium_39224.wav", "duration": 5.04, "text": "as well as a meaningful increase in deferred revenue during the September quarter."}, {"path": "tedlium_39225.wav", "duration": 5.04, "text": "So what is -- what gives you so much more confidence this time than many other times?"}, {"path": "tedlium_39226.wav", "duration": 5.04, "text": "Okay, great. And then last one. Obviously saw some nice sequential growth in the"}, {"path": "tedlium_39227.wav", "duration": 5.04, "text": "As we execute on these priorities, we will build a more resilient and profitable business."}, {"path": "tedlium_39228.wav", "duration": 5.04, "text": "We believe our second quarter UAN prices will be much higher."}, {"path": "tedlium_39229.wav", "duration": 5.04, "text": "And if I could, Alex, the margins you're seeing from the businesses are the kind of margins you would expect"}, {"path": "tedlium_39230.wav", "duration": 5.04, "text": "We remain intently focused on improving our project execution and risk management,"}, {"path": "tedlium_39231.wav", "duration": 5.04, "text": "But I'll be very mindful that our inventory program didn't even kick off until the end of November."}, {"path": "tedlium_39232.wav", "duration": 5.04, "text": "the north star really has been add to the front of house and leverage the back of the house as much as we can."}, {"path": "tedlium_39233.wav", "duration": 5.04, "text": "Regarding payer coverage, we are very pleased with the access we have seen thus far."}, {"path": "tedlium_39234.wav", "duration": 5.04, "text": "hybrid combination contract coming out in the market where municipalities"}, {"path": "tedlium_39235.wav", "duration": 5.04, "text": "I strongly believe that this will serve our shareholders very well in the future."}, {"path": "tedlium_39236.wav", "duration": 5.04, "text": "So what we're doing is we're basically reinvesting some of those"}, {"path": "tedlium_39237.wav", "duration": 5.04, "text": "We have provided a reconciliation of these measures to the most directly comparable GAAP measures"}, {"path": "tedlium_39238.wav", "duration": 5.04, "text": "calculated on our September 30 inventory levels and year-to-date shipment levels"}, {"path": "tedlium_39239.wav", "duration": 5.04, "text": "about 5 are expected to be addressable by our product line."}, {"path": "tedlium_39240.wav", "duration": 5.04, "text": "with an effective interest rate of essentially 0% for a term of 3 years."}, {"path": "tedlium_39241.wav", "duration": 5.04, "text": "For today's event, I will be going over a few key accounting treatments"}, {"path": "tedlium_39242.wav", "duration": 5.0100625, "text": "We are comparing result on a sequential basis in some places of our presentation today."}, {"path": "tedlium_39243.wav", "duration": 5.01, "text": "a sense of what can change so dramatically in the space of 3 months"}, {"path": "tedlium_39244.wav", "duration": 5.01, "text": "opportunities. We have a large number of discussions in process."}, {"path": "tedlium_39245.wav", "duration": 5.01, "text": "It has been my utmost honor to share this time with you"}, {"path": "tedlium_39246.wav", "duration": 5.01, "text": "historically or traditionally have invested in the multi-family space who are"}, {"path": "tedlium_39247.wav", "duration": 5.01, "text": "by opening the enrollment to a less frequent attack rate,"}, {"path": "tedlium_39248.wav", "duration": 5.01, "text": "And I think we're basically, hopefully getting through that, whereby we will be,"}, {"path": "tedlium_39249.wav", "duration": 5.01, "text": "and 8 basis points of average loans for the full year"}, {"path": "tedlium_39250.wav", "duration": 5.01, "text": "obviously we're going to carefully evaluate any opportunities that come our way, but"}, {"path": "tedlium_39251.wav", "duration": 5.01, "text": "and fraud, security and risk management and operational services"}, {"path": "tedlium_39252.wav", "duration": 5.01, "text": "Yes, I'll start by saying that we believe our scale and focus in the space"}, {"path": "tedlium_39253.wav", "duration": 5.01, "text": "this quarter, we are prioritizing investment to make sure that the waiting list"}, {"path": "tedlium_39254.wav", "duration": 5.01, "text": "On the bottom of the page, we present other operating income. Other operating for the quarter"}, {"path": "tedlium_39255.wav", "duration": 5.01, "text": "I would like to provide a few modeling assumptions for the second half of the year. As a reminder,"}, {"path": "tedlium_39256.wav", "duration": 5.01, "text": "I will now turn the call over to him to give third quarter financial updates. Phil?"}, {"path": "tedlium_39257.wav", "duration": 5.01, "text": "Although the top line hasn't grown significantly, the bottom line has grown massively."}, {"path": "tedlium_39258.wav", "duration": 5.01, "text": "what we expect that the amount of dose"}, {"path": "tedlium_39259.wav", "duration": 5.01, "text": "and partly, of course, only during peak seasons like additional storage"}, {"path": "tedlium_39260.wav", "duration": 5.01, "text": "So the good news is, I think, The Home Depot team"}, {"path": "tedlium_39261.wav", "duration": 5.01, "text": "First, we announced an exciting partnership with Visiopharm at the recent user group meeting,"}, {"path": "tedlium_39262.wav", "duration": 5.01, "text": "Please turn to Slide 9 for information on the dividend."}, {"path": "tedlium_39263.wav", "duration": 5.01, "text": "and we believe we're back to normal. So I would not say"}, {"path": "tedlium_39264.wav", "duration": 5.01, "text": "Important factors that could cause actual results to differ materially from the company's expectations"}, {"path": "tedlium_39265.wav", "duration": 5.01, "text": "and this is mainly driven by Spain."}, {"path": "tedlium_39266.wav", "duration": 5.01, "text": "In terms of international manufacturing capacity, we have already sprung into action."}, {"path": "tedlium_39267.wav", "duration": 5.01, "text": "So we would really be looking in other countries that have a lot of cash,"}, {"path": "tedlium_39268.wav", "duration": 5.01, "text": "And since we have not observed that yet in the trial while we do observe,"}, {"path": "tedlium_39269.wav", "duration": 5.01, "text": "So this process has its own pace,"}, {"path": "tedlium_39270.wav", "duration": 5.01, "text": "After a merger of equals, the organization was using both CyberArk and the competitive product."}, {"path": "tedlium_39271.wav", "duration": 5.01, "text": "Our business plan continues to produce strong financial results for our shareholders."}, {"path": "tedlium_39272.wav", "duration": 5.01, "text": "you're sort of kind of a little bit stuck in no man's land with the unsecured strategy from the standpoint of"}, {"path": "tedlium_39273.wav", "duration": 5.01, "text": "along with the new data that was generated in Russia"}, {"path": "tedlium_39274.wav", "duration": 5.01, "text": "The increase compared with the third quarter reflects increased variable compensation."}, {"path": "tedlium_39275.wav", "duration": 5.01, "text": "And so we've given you the range that we think will"}, {"path": "tedlium_39276.wav", "duration": 5.01, "text": "And second is, the good news is the portfolio works. Any which way you look at it,"}, {"path": "tedlium_39277.wav", "duration": 5.01, "text": "And we continue to execute on our capital deployment strategy to maintain a strong balance sheet,"}, {"path": "tedlium_39278.wav", "duration": 5.01, "text": "While inflationary pressures typically result in higher margins in the short term,"}, {"path": "tedlium_39279.wav", "duration": 5.01, "text": "As a result of this new policy, we announced earlier the approval of a capital plan,"}, {"path": "tedlium_39280.wav", "duration": 5.01, "text": "We expect oil and gas loans to stabilize or possibly increase somewhat."}, {"path": "tedlium_39281.wav", "duration": 5.01, "text": "Prior to dosing, scamp scores are not"}, {"path": "tedlium_39282.wav", "duration": 5.01, "text": "We finalized our acquisition of the Dr. Organic brand in December."}, {"path": "tedlium_39283.wav", "duration": 5.01, "text": "So there's all kinds of things in discussions and negotiations we're having"}, {"path": "tedlium_39284.wav", "duration": 5.01, "text": "Our many accomplishments since then confirm that we're making solid progress"}, {"path": "tedlium_39285.wav", "duration": 5.01, "text": "recently was Morris, which was a good deal for them and a good deal for us,"}, {"path": "tedlium_39286.wav", "duration": 5.01, "text": "What I can tell you at this point is that, similar to our strategy around PH,"}, {"path": "tedlium_39287.wav", "duration": 5.01, "text": "is the opportunity to have more flexible packaging formats available,"}, {"path": "tedlium_39288.wav", "duration": 5.01, "text": "We continue to evaluate our assumptions on commercial OE in general."}, {"path": "tedlium_39289.wav", "duration": 5.01, "text": "cautious in terms of sizing the prize within the broader snacking space,"}, {"path": "tedlium_39290.wav", "duration": 5.01, "text": "The solid cash flow allowed us to maintain a healthy financial position."}, {"path": "tedlium_39291.wav", "duration": 5.01, "text": "and we would expect no disruption to our shareholder distribution plans."}, {"path": "tedlium_39292.wav", "duration": 5.01, "text": "and more about -- excuse me -- how we're going to bring the categories to life. So"}, {"path": "tedlium_39293.wav", "duration": 5.01, "text": "So on behalf of our entire management team, I would like to thank you for your support and interest in Waters."}, {"path": "tedlium_39294.wav", "duration": 5.01, "text": "Realization plans for impaired loans are monitored closely by a specialized team."}, {"path": "tedlium_39295.wav", "duration": 5.01, "text": "As far as regular runoff out of the portfolio, we've seen it fall to the"}, {"path": "tedlium_39296.wav", "duration": 5.01, "text": "So I think we need to stop thinking about it from that perspective."}, {"path": "tedlium_39297.wav", "duration": 5.01, "text": "the pullback in oil prices, but also some of the early guidance issued by"}, {"path": "tedlium_39298.wav", "duration": 5.01, "text": "Growth in these expenses was affected by both the lapping of the held-for-sale accounting changes,"}, {"path": "tedlium_39299.wav", "duration": 5.01, "text": "There are literally dozens of trading integration products underway across the firm"}, {"path": "tedlium_39300.wav", "duration": 5.01, "text": "there's been activity going on, so we try and strip that out as much as we can."}, {"path": "tedlium_39301.wav", "duration": 5.01, "text": "how much did it change the guidance you presented today versus what it would've been if it were still in the year?"}, {"path": "tedlium_39302.wav", "duration": 5.01, "text": "So that's a key component, I think, for your modeling"}, {"path": "tedlium_39303.wav", "duration": 5.01, "text": "There are business opportunity participants, and that's what you would think of as the current"}, {"path": "tedlium_39304.wav", "duration": 5.01, "text": "continuing on the group theme. You mentioned that you are taking some market share."}, {"path": "tedlium_39305.wav", "duration": 5.01, "text": "We continue to see solid growth in our 3 focus areas."}, {"path": "tedlium_39306.wav", "duration": 5.01, "text": "These new customer on-boardings and aggressive organic growth plan"}, {"path": "tedlium_39307.wav", "duration": 5.01, "text": "So we feel that we have multiple options in front of us"}, {"path": "tedlium_39308.wav", "duration": 5.01, "text": "And thirdly, we have innovative management"}, {"path": "tedlium_39309.wav", "duration": 5.01, "text": "But we remain comfortable given the quality of our underlying cable cash flow stream,"}, {"path": "tedlium_39310.wav", "duration": 5.01, "text": "in a really rational way, but that doesn't mean that we can't -- we shouldn't work with the physicians"}, {"path": "tedlium_39311.wav", "duration": 5.01, "text": "Now I would like to turn the call over to Matt to address our third quarter financial results."}, {"path": "tedlium_39312.wav", "duration": 5.01, "text": "This whole company is in the hands of the Wallonia regions."}, {"path": "tedlium_39313.wav", "duration": 5.01, "text": "in a couple of the businesses. We shut down some of the unperforming businesses,"}, {"path": "tedlium_39314.wav", "duration": 5.01, "text": "And we will continue to execute on our capital deployment strategy to maintain a strong balance sheet,"}, {"path": "tedlium_39315.wav", "duration": 5.01, "text": "Time frame, we will have -- first of all, we have a lot of customers"}, {"path": "tedlium_39316.wav", "duration": 5.01, "text": "are now hard at work doing the same with our subsequent equity raised in January."}, {"path": "tedlium_39317.wav", "duration": 5.01, "text": "Segment profit is equal to net revenues less the sum of cost of care,"}, {"path": "tedlium_39318.wav", "duration": 5.01, "text": "was to speed up our growth, and I already alluded to how we're going to do that."}, {"path": "tedlium_39319.wav", "duration": 5.01, "text": "pricing methodologies, cost of service and average prices paid by current shippers."}, {"path": "tedlium_39320.wav", "duration": 5.01, "text": "As you know, we sold one business to NASDAQ and we sold another business to The New York Stock Exchange."}, {"path": "tedlium_39321.wav", "duration": 5.01, "text": "And we do experience in this segment as well some commodity price pressures."}, {"path": "tedlium_39322.wav", "duration": 5.01, "text": "As a reminder, last year's third quarter adjusted income from continuing operations"}, {"path": "tedlium_39323.wav", "duration": 5.01, "text": "These risks and uncertainties include those set forth in our earnings release published this morning"}, {"path": "tedlium_39324.wav", "duration": 5.01, "text": "What this means is we have the right partners. And third,"}, {"path": "tedlium_39325.wav", "duration": 5.01, "text": "Could you talk a little bit about the drivers and how sustainable"}, {"path": "tedlium_39326.wav", "duration": 5.01, "text": "That is not to say that we haven't seen a decrease in the 24-hour packages"}, {"path": "tedlium_39327.wav", "duration": 5.01, "text": "when we look at -- if you're building off of the base from the fourth quarter,"}, {"path": "tedlium_39328.wav", "duration": 5.01, "text": "and we had forecast a little bit more growth originally at the beginning of the year."}, {"path": "tedlium_39329.wav", "duration": 5.01, "text": "Most of the time it's a question of when the seller is willing to part with their asset,"}, {"path": "tedlium_39330.wav", "duration": 5.01, "text": "And while we've had no difficulty replacing"}, {"path": "tedlium_39331.wav", "duration": 5.01, "text": "we made some moves to capture some of the metal on April."}, {"path": "tedlium_39332.wav", "duration": 5.01, "text": "We plan to update our annual financial guidance on the second quarter earnings call."}, {"path": "tedlium_39333.wav", "duration": 5.01, "text": "But this is really a new opportunity for us in the VA but it is going to take some time because"}, {"path": "tedlium_39334.wav", "duration": 5.01, "text": "we see dividend really as a way of instilling capital discipline into the business,"}, {"path": "tedlium_39335.wav", "duration": 5.01, "text": "We've ignited positive momentum now and intend to capitalize on that."}, {"path": "tedlium_39336.wav", "duration": 5.01, "text": "So you did ask earlier if we"}, {"path": "tedlium_39337.wav", "duration": 5.01, "text": "into marketing other than some of the things I mentioned in my comments about"}, {"path": "tedlium_39338.wav", "duration": 5.01, "text": "contracting with some outside resources that can help us make sure that"}, {"path": "tedlium_39339.wav", "duration": 5.01, "text": "later this year. And we have a number of options available"}, {"path": "tedlium_39340.wav", "duration": 5.0099375, "text": "has sort of put a little bit of sand in the gears in the near short term"}]