FLR
#Okay, on the ---+ this is <UNK>.
On the first question of government margins, the Afghanistan work was higher-margin business.
That got converted to a fixed-rate basis several quarters back.
That reduced some of the fluctuation that had occurred over time in that business.
The other thing is it creates some fluctuation in that business, as there's always a set of issues to be resolved with respect to regulatory matters on the government side.
We've been very successful with respect to those, but those create blips in time that we have to talk about from quarter to quarter periodically.
From a going-forward basis then, yes the margin rates right now I think over the near term are going to be lower than what they had been on average historically, because the Afghanistan work has come out.
Then it varies a lot based upon the mix and whether or not we have joint ventures, whether we're sharing the profit, whether it's all flowing through for us or not.
It ends up being a little bit complex to dive into.
I'd just say generally we expect them to be at the kind of level you're seeing in that 2% to 3% range here over the near term, and then we'll see after that as so many new projects come in and others mature.
The construction work as we expand that effort could produce higher margins going forward.
Was there a second part of that I need to answer.
Well, obviously the three biggest things we've got are the big ethylene complexes.
Two of them are well under way on the construction side, and one of them is really just starting.
Those are big long projects.
When you think about the revenue flow, really the big revenue hasn't started to flow.
We're finishing PDH at Dow.
We're starting with the crackered layer.
CP Chem is well under way.
Sacyr is just starting.
We've got ---+ those are three very large projects that are really in the early stages of the revenue burn, and obviously the profitability that goes with that.
CP Chem has been converted to lump sum, so it has a little bit of a back-end loading in terms of profitability, just because it's a lump-sum project.
I think that when you look at those projects, and you say that next wave I mentioned before that will probably start to occur in terms of feed work next year, you can see we've got a long journey ahead of us relative to those projects, and the earnings power of those over the longer term.
Embedded in those projects are also some derivative programs that are there.
PDH ---+ there's several of those kind of projects that we're pursuing.
But it's a pretty robust list of petrochemicals that we're pursuing.
Again, we're either doing the feed on some of them, or in a pretty good position to take those projects.
I'd say ---+ I don't know that exactly, but I think the petrochemical side is about 20% ---+ right around 20%.
Well we're in the normal ---+ like I mentioned, on two of the gas-fired power plants, we're really only going to the field now.
You're in the early stages of those projects, but you'll start to see them grow over the next few quarters.
Clearly, they're lump-sum projects, as well.
You'll see a little back-end loading in terms of drop in profit to the bottom line on those.
Thank you.
No, we're still on ---+ if I understand your question right ---+ we're still on the path to complete the $1-billion share repurchase program that we announced the fourth quarter of last year.
There's about $300 million left on that to be executed over the third and fourth quarter.
That's correct.
Well, the big oil and gas stuff in Australia is out of backlog.
The stuff we're working on in Canada is all refining and upgrading stuff.
It's not a real significant piece of backlog, but it's not at risk.
I think you read that incorrectly.
Specifically, there's nothing in there relative to Canada or Australia that would impact that.
I'm afraid you misread that.
Well I think buying backlog is a bad business.
I think that what we're going to focus on is the same sort of capital deployment strategy that we've communicated before.
I think that with the markets the way they are, there probably are some opportunities we're going to look at in terms of adding to the capabilities we've already mentioned in terms of construction, fabrication, and supply chain.
We'll be looking at some things as we go forward, but without a really good eye towards that, we're going to continue to provide a robust dividend to our shareholders, and we're going to continue to buy back shares as cash is available to us ---+ excess cash is available to us.
Bottom line is no change.
Yes.
Well, I'd prefer not to talk about those.
I will say that we stay pretty close to Exxon Mobil and their capital, and they've got I think some robust plans ahead of them that we'll participate in.
As I said in a previous answer, I think there's the next wave of petrochemical facilities.
I think we'll participate in most of those, as well, in some form or fashion.
We're not giving guidance on earnings on 2016.
It's even harder to talk about timing of cash flows on work that might be won in the future.
But generally speaking, we don't see any big shifts occurring in relationship of working capital for revenue, which is what I've been saying for a few quarters, and I think is still true.
Thank you, operator.
Also, thank you to all the participants for being with us today.
As I said, while I'm pleased with what our oil and gas group has done from a performance standpoint, I'm disappointed in the current end market realities of the non-oil and gas markets that we serve.
The challenges these groups are experiencing, especially mining and metals as an example, is a reflection of the commodity pricing, and the related capital spending in those markets.
In prior calls, we mentioned the actions that we took last year to strengthen our competitiveness.
I'm really pleased with that, because this includes reducing our overhead, refining the business model we provide to our customers, providing a much more capital-efficient solution for our customers, and strengthening our cash discipline throughout the Company.
We've made those changes proactively last year, and I think they positioned us extremely well for future growth.
With that, I greatly appreciate your interest in our Company, and your confidence that you show in Fluor.
Thank you very much, and good day.
