KMT
#Yes, so I'll pick up the aerospace.
I think in aerospace we actually made one particular customer that we decided to let go.
We decided that the margins weren't attractive enough and that's impacting our topline in aerospace, certainly.
I think overall in Europe, we have ---+ I think we're holding our own.
I'm happy with our industrial business overall.
I think we are holding share or may be even slightly getting share in Europe.
So I feel pretty comfortable there.
I think we will continue to be challenged.
I think Europe, the market in general, I don't see anything on the horizon.
I would say it is getting better.
So we're going to have to continue to do all the things we do even better to earn our new business as we had down the road here.
More cars ---+ definitely better.
But I think ---+ I don't see it ---+ I certainly don't see it in Q4.
We continue a very disciplined approach and will be keeping you updated as we make progress.
But nothing to report right now.
Yes, <UNK>.
We'll be in a much better position to comment on that in July.
I think, to be frank, on that particular question, we'll especially be watching this quarter.
So I'll defer that question til July.
Yes, <UNK>.
From an inventory perspective, and I won't put numbers around quantifying the amount of inventory reduction because we do have a lot of moving parts, but I will say we are focused on not just with [unfinished] goods inventory, which will impact the margins, but also from a raw materials perspective, some inventory restrictions there in Q4.
And I would think similar margin impacts in the quarter for Q4 as we experienced in Q3.
So roughly 50 basis point is in Q3.
Well, I think what I said was that we're going to continue to focus on the high end of the market.
We continue to focus on customers who really value the expertise and the solutions that we provide.
And in that end of the market, quite frankly, demand is high and we find opportunities.
Thanks.
Good morning, Sam.
Yes, we're going to have similar to what we said on phase 2.
Phase 3 will be a mix of administrative reductions.
And I want to emphasize that this is a structured program where we are changing processes.
We brought in an outside consultant to help us through this change process.
And so it's structured and disciplined with milestones.
And so that is certainly a significant portion of what we're going to go through with phase 3.
The second key driver here will be continued footprint restructuring.
So it will be a mix similar to phase 2.
Yes, Sam.
This is <UNK>.
I'll put it this way, the ending balance of goodwill on the infrastructure segment of $112 million is lower than the goodwill that we added through the Tungsten Materials acquisition.
So you can read into it that way.
Morning, <UNK>.
Yes, <UNK>.
That isn't usually something that I think we ever shared that kind of detail on our product line.
I can tell you that the one thing we have shared is that we ---+ the portion of the business that we are looking at divesting, we certainly ---+ that's well below the average profitability that we have in the business.
So it will be a net improvement going forward.
Yes.
But, look, we are very competitive in many markets.
And there's a range that we've never talked about what that ranges is and where.
Yes, that would be something that we would cover as we divest.
So we will give you some indication as we head down that path.
As you can imagine, it just depends on the pieces, right.
Thank you.
I think first, <UNK>, it depends on where in the world.
So certainly in some areas in emerging markets you can get a multiple on industrial growth.
But in areas ---+ infrastructure certainly not.
And certainly in, I would call it the mature markets, where we have ---+ where you have continuous productivity gains, you're probably not going to see the kind of factors ---+ those kind of factors.
Because people get more and more productivity out of the tools that the use.
So I just don't see that.
Can you rephrase that, <UNK>.
I'm not sure I understood question.
Okay.
So first of all, we certainly see opportunities for improvement.
And I mentioned in my last call, and certainly we mentioned this several times, it's one of our top three priorities.
We're just not quite yet in a position where we can lay out what is the endpoint.
Our goal is to lay that out with our strategic plan when we lay that out at the end of the year.
I will say, though, it's tied to these ---+ the portfolio realignment.
We need to get that behind us in order to be clear on what our working capital goals will be.
So first step is portfolio realignment and we'll be in a better positioned to talk about what's possible.
Thank you, <UNK>.
