AXE
#Thanks, <UNK>.
It would be accretive on an ROIC basis.
As I mentioned, it's somewhat dilutive at the operating profit line.
So the cadence on RFPs is probably about the same in the NSS business, as it has been for a while.
And we would suggest that's a good cadence, and the fact that it's the same as positive, it's not getting worse.
In the EES business, we're seeing improved cadence in North America and in EMEA.
And then in the UPS business, we're seeing improved cadence in RFPs, having a lot to do with the stepped-up sales efforts.
And I'm not sure what I caught what you were getting at with the second part of your question.
Yes, perfect, thank you.
That helps.
So yes, actually there's business we're pursuing, particularly the EES business that we would not have participated in the past.
And yes, we've talked before about how we had this kind of bar bell business, when we were focused on wire and cable.
We got a lot of day to day business, because we had inventory.
We've got large projects, where you could break the wire and cable out of the electrical package, because we had expertise in supply chain and product technology that would enable us to win those.
But we were missing the middle of the market, which, we described the middle kind of very generically, but it's the biggest chunk of the available market.
Since acquiring Power Solutions and adding the electrical products, and I'll define those kind of roughly as switch gear, transformers and lighting is kind of the biggest categories, you would identify since adding those products, we've seen significant improvement in our ability to participate in that mid market.
And frankly, if we didn't have those products in our mix, we'd have much more worse performance in EES this year.
Because we've been able to participate in what I would call less true industrial and more commercial construction kind of projects, the large-scale projects, the power part of data centers, for example, that we would not have participated in a meaningful way in the past.
So we're definitely seeing an incremental improvement in our business already from having completed that, and we've seen very good alignment from the core lighting, and then the switch gear and transformer suppliers who are new to us.
We had one of those suppliers actually terminate our agreement.
It was something that we were not surprised by, frankly anticipated.
And for us, it was a net positive, which may sound weird except for that they took our territory so to speak, gave it to a competing regional wholesaler.
That regional wholesaler had to drop one of their core lines to get that business, which we then were able to pick up, and build a broader relationship with a supplier that's much more strategic to us.
So there have been some puts and takes, certainly as we've gone through the past 12 months.
Some of which we expected to some degree, some of which we didn't.
But the end result is that we are absolutely participating in business, we would not have participated in, had we not done the acquisition.
It will be lighter than that, because of the holiday.
It is just the difference in the way that the holidays fall this year versus last year, which in all reality may only need half a day kind of equivalent of billing.
So yes, it'd probably closer to the $20 million range or so.
Correct.
On a per day basis, yes, on a per day basis, correct.
Yes, I think, <UNK>, what we thought we were going to experience when we came out of Q2, was acceleration that actually didn't happen.
So if you remember, you asked us a question in the Q2 call about our trend in the quarter, because many industrial distributors had declining trends in the quarter, and we commented that ours was actually an improving trend, particularly in our OEM and industrial businesses as we went through the quarter.
So it was kind of in April, May, June, each month better than the other, on a per day basis.
What happened when we got into July is, we actually saw softening across a number of our businesses in July, an uptick in August that was modest, and then improvement in September that was more significant.
And that ramp in September, coupled with the pipeline, coupled with backlog, is what gives us the feeling that we'll have the kind of outlook that we have.
We had a little bit of softness in the networks business in July, not in the utility business, but the NSS business stayed pretty consistent through the quarter.
Thanks.
So with that, we'll conclude our call.
Thanks for all your questions and listening for today's call.
If you have additional questions, please do not hesitate to reach out to <UNK> or <UNK>.
And as always thank you, for your interest in Anixter.
