ZBRA
#Good morning.
I think our goal is to pay down $300 million of debt.
We are confident in our ability to do that.
Again we expect some improvement from our EBITDA margin expansion and just regular business growth.
We also know that we have improvements in our working capital which should drive at least $75 million of additional cash flow from what we had last year.
We will have $90 million to $100 million less integration spent from 2015.
We also have our CapEx that is not related to integration down by about $30 million.
I think <UNK> mentioned the fact that we had some spending in Illinois to bring the facilities together for the two companies.
We also expect to reduce our cash levels by about $50 million.
So when you put it all together, we are very confident in reducing our debt by $300 million in 2016 and $350 million in 2017.
Again, to get our leverage below three times debt to EBITDA.
There are no Windows 10 mobile products on the market at the moment.
But I will put it in context maybe of what is more going on from an OS migration perspective.
Today, virtually all our customers or certainly most our customers are well aware of the need to migrate to newer, more modern operating systems.
Android has been the primary beneficiary of this so far.
We were early investing in android and saw that as a great opportunity for us.
Microsoft is planning on coming out with Microsoft Windows 10 later on this year and there will be some customers who believe that are very loyal to Microsoft and would like to have Microsoft 10.
We have some Microsoft 8 products today but which we would upgrade to 10 and then come up with some more products later on in the year and we want to be, basically operating system agnostic when we talk to our customers.
We don't want them to feel that we are only supporting one operating system.
We want to be able to go in and have a conversation with them about their unique situations and be able to offer the right type of solutions for them.
Maybe, Joe, you have some.
What I would say is first we should recognize that still the majority of our revenues today come from Windows based operating systems.
The transition to Android is happening very fast as Windows 10 Mobile ---+ the mobile version of Windows 10 had not been released for a very long time.
With that now happening we do see some customers and it is very specific to the needs of individual customers.
Logistics is a vertical where we see a bit more of it than others, express a need and a desire, in fact, to be on a Windows 10 mobile platform.
And as such we are developing those devices and we will see that they will occupy a significant portion of the market.
Hi, <UNK>.
I think that the strength of the printing business is really driven I think by a number of different factors.
Ultimately, I will bring it back to, I think we have just executed well on our overall print strategy over many years.
We have gained a lot of shares, so this upgrade or refresh cycles but we also gained a lot of share.
I think according to VDC we have gained about a percent of market share per year for the last several years.
And I would attribute that to us having a very compelling and competitive product lineup.
Some of the new things we had talked about like [Linkquest] is one that unifies the look and feel and the user interfaces and how you interact with the printer across our entire portfolio.
Some things are very difficult to replicate for smaller suppliers.
I think the way we engage with the Channel also gives us some benefits with the scale that we have there and how we can provide very compelling value propositions to our Channels and our end users.
So I would say it's not really one thing that is driving the strength in the printing business.
It is really a number of different things.
Joe might have some more comments.
Yes.
I would say we have seen a market share expansion in the printing business and I would attribute at least a part of that, a significant part of that, to the Better Together to the ability to operate and cross sell between them.
I'll give you a generic example of that.
The strongest vertical for the Enterprise business was ---+ and is retail, right, in which we have mobile computers and scanners which we deploy and there are applications such as when you change the pricing at the retail level, where you would like to not only scan and understand the pricing on an item in the store as it is, but change the label immediately.
This plays right into our technology of mobile printing which goes very well with that scanning capability that we already have on the retail floor.
So we have seen an expansion of solutions like this where we are able to put the two technologies together to a solution to solve a problem like price mark downs and changes.
Thank you all for your questions.
Have a great day.
