PCAR
#Good morning, <UNK>.
Directionally.
Boy, I'd say it's fairly comparable if you look at the all-in external margins.
It's pretty comparable.
So we have the benefit of having manufacturing operations in the UK.
The only OEM to have that.
So we have a partial offset to our revenues that we earn out of the UK.
So the impact as we see it for 2016 is relatively insignificant.
And assuming the currency stays at its current level, then the OEMs will make pricing adjustments to achieve a reasonable margin on their businesses in the UK over time.
So we don't see it as being a major factor in our margins over time.
So it's about 25% of our revenues for DAF.
Sure.
So again, I don't know what you're comparing ---+ if you're comparing back to 2014 to now, clearly currency has had a sizable impact on the revenue side, but also on the cost side.
And the cost side has gone down over that period of time because of the excellent factory efficiencies that we've gained with our new products, the performance of those products in the field, the material cost savings, the benefits of commodities, and just ongoing working with our suppliers to incorporate new materials, new technology into the products to achieve better operating efficiency and cost levels.
So the MX engine penetration is beneficial to that as well.
So all those things are the elements that are driving that enhancement over that period of time.
To a year ago.
I'd say very little on currency.
That would be most of the other difference.
I think a lot of that is mix, because the European units have a slightly lower average sales price than North American units.
Good morning.
Truck connectivity is just something that everybody has to have in today's market.
And we're into phase one of a probably 20-phase era [laughter] of enhancing that on an ongoing basis.
And we evaluate our suppliers and capabilities of who can provide that and so we'll continue to work with our partners and provide the best solution that we think is available in the marketplace for them to get the best result operating their truck.
I think that's ---+ we have suppliers that ---+ I guess I would add ---+ the connectivity piece is ---+ call it common technology.
What's most important is what we do with the data and how we interpret that data in a way that makes our trucks perform better in the marketplace, helps our dealers support customers and that's all homegrown.
So the connectivity piece is pretty common technology.
Thank you.
It's just reflective of what the retail activity is at our dealer locations.
Our team continues to have great products and services for our dealers to help them gain share but I think the overall market is a little softer than what we had anticipated previously.
Absolutely.
That's correct.
We'd like to thank everyone for their excellent questions and thank you, operator.
