ITGR
#As it applies to our cardiac rhythm management customers, we've obviously seen a substantial reduction in the first half, but it levelized in the second quarter.
Our projections would be is that we would see that stability into the second half of the year.
I don't portend to be able to predict the cardiac rhythm management market seasonality right now, given the level of changes and also obviously that one of our significant customers is going to be going through an acquisition event.
So we're being very cautious with what our plans are in this area given those realities so that we don't overstep and get ahead of ourselves.
So it's just a very unusual period of time for those clinical market acquisitions in these transitions stages and large platforms launching, so we're just going to plan conservatively and call it flat.
Yes, <UNK>.
Yes, we can.
We do think that the free cash flow will still be taking out the impact of the Nuvectra transaction, the free cash flow will still be in the range of $120 million to $150 million.
Well, I think for cardiac rhythm management is we have very closely engaged all the customers to get a much deeper understanding.
We traditionally have billed to [Con-bons] for customer polls, and it is somewhat opaque to us to understand their inventory positions of components, finished goods, and purchase sales projections.
But due to the fact that we missed on multiple occasions predicting what that demand is, out of necessity it had to engage in much more deeper conversation with our customers to plan appropriately, apply more aggressive risk factors, so that we don't keep underestimating and trying to put ourselves in a position of having to achieve something that is beyond our customer's requirements.
The second factor ends up being, with only six months left of the year a fairly sizable portion of the remainder of the year has already been triggered from a purchasing standpoint.
We have much better visibility for the balance of the year.
So, as you know there is with one of our significant customers is a company going through an acquisition event here is we're being very cautious.
We are conservative, so that we don't overestimate their demands during a period of time which is going to be a big change for them as a Company.
So going into 2017, we have a lot more analysis to do to look at the long-term trends.
We have a very good idea of what programs we are qualified in, so we understand the long-term revenue drivers.
But it's very hard to understand the timing of those program launches, which can be frustrating in providing revenue guidance, because are very dependent on our customer's FDA and CE mark approval milestones to be able to generate revenue out of them.
So for the rest of 2016 we've got pretty good visibility and we're being conservative.
But for 2017 we're really not prepared to really talk to it yet until we get a lot more analysis done.
I think we would expect to see that, given the abilities the combined organizations together.
And also the current product portfolio that is launching through our current customer.
But is ---+ we're going to wait until the demand pulls through and shows our actual results before we get bullish on it.
Yes, thank you.
I'd like to remind everyone that you can access the audio and the slide visuals on our website at Integer.
net, and they will be accessible for the next 30 days.
As always, thank you for your continued support and interest in Integer.
Thank you.
