LECO
#That's a great question and it's one that, when we talk about our automation business here at Lincoln, our value proposition is all centered around the welding and the cutting that, at the end of the day, you have a multitude of other participants in the market you might be able to provide some competencies relative to doing automated-like systems, whether those are material handling systems or welding systems or other systems.
But at the end of the day, the OEM that has fabrication as a key competency is looking towards Lincoln Electric to drive that solution.
And that value proposition for us is just that.
We believe we bring a level of competency and expertise on welding and cutting that cannot be matched by the other competitors in the marketplace.
And that's really a driver for us as we continue to grow this business in the broad global markets.
No.
We already have an existing welding tech center and school in Cleveland.
This is a replacement and an expansion to improve our capabilities and our opportunities to demonstrate the solutions that we can drive into the market as well as a greater capacity to demonstrate those welding capabilities.
The increased expense will be relatively modest.
Right.
I would put it less than that, actually.
It's under $400 million.
No, it's not a noticeable piece of our sales.
That question was related to whether some of these new technologies in some of these closely adjacent markets are yet material for the business.
And we have some very unique technology there that we are working with a multitude of companies with, but it's not material to our business, nor do I expect it to be a material portion of our business near term, although I do believe our ability to show the competency and the technology and to advance it could create opportunities for us as we move forward.
No, I don't think that, looking at the performance in the fourth quarter, that we would be able to cite that kind of phenomenon.
We did have some very nice wins in the regions that we talked about.
We've been talking about an improvement in our commercial channel in retail in North America that has been very successful.
Because it was some larger orders and was fairly broadly achieved, I wouldn't cite any particular, if you will, flushing phenomenon at the end of the year.
My view at this point is that I'm not sure that equipment will sustain these kind of double-digit improvements.
My view, at this point in time, albeit early in the year, is they will probably migrate a little more towards each other, that consumables will likely improve a bit and equipment should back off a bit, because we did have a very, very strong fourth quarter on the equipment side.
And I think it's a little too early to argue that that's a sustainable trend.
Thank you, Candace, and thanks, everyone, for joining us on the call today, and your continued interest in Lincoln Electric.
We very much look forward to discussing the outcome of our first quarter and the progression of our strategic programs in the future.
Again, thank you very much and good day.
