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#As our new administration takes hold, and as we look at what the implications are, in general we're very pleased with the pro-business stance being taken.
In particular for us, <UNK> what stands to be a benefit is tax reform, as well as the regulatory side in terms of reform there.
Early stages, relative to where it will all pan out, in general we are a net exporter.
From our perspective, we are also global.
We're watching very carefully, and excited about the possibilities of what lies ahead in that arena.
Yes, Pete.
When we acquired the business, it was below the traditional margins that we had acquired with the prior businesses.
As such, we clearly see the opportunity for synergies, as well as the roll-out of the Barnes Enterprise System into that business, with a view to driving the same type of ---+ our goal will be to get it to the same level of performance as the other businesses.
No, margin-wise we believe we have the ability to make those improvements and drive those synergies.
What is unique about the business or different to the other businesses is that there is a programmatic side of packaging that allows for the molds to be released in large orders, and then to ship on a controlled basis.
An aspect of being lumpier from a sales perspective, but not significant in the total scheme of industrial.
Relevant to your question on the salesforce, the team has been extremely focused in terms of driving new accounts as it pertains to the capabilities that we acquired through the CRPs.
As you recall, there were three programs: the CFM56, the CF34, and the CF6.
Relative to the performance as we modeled it, I would say they were slightly below our expectations.
But recall that these are 25- to 30-year programs.
The team has been making nice progress, and we'll continue to drive for additional customers directly to the airlines, as you highlighted.
As you also recall, we have added new leadership over the course of 2016, and the new President of Aerospace has taken a special focus on this particular program, as well with a view to accelerating the rate of which we win those new orders.
Not in any discussions relative to any at this point.
We're continuously in discussions around potential opportunities with all the OEs, but none that are active in the share performance of the CRP, as we've announced previously.
Thank you.
Good morning.
No, <UNK>, that's reflected in our guidance.
Yes, no, we're consistent with that thought as we're four or five months now into the integration of the business, and that's still our internal measure.
Yes, as I highlighted in my prepared remarks, orders in the fourth quarter were softer than we had expected, but we've seen that rebound into January.
But overall for Maenner, Maenner continues to do a wonderful job, and meets or exceed our expectations.
They have put a tremendous amount of effort into the expansion of our Atlanta, Georgia, facility throughout the year 2016.
Now we will look, as I mentioned earlier, to leverage that also into the arena with FOBOHA, with a view to having it act as a service center for North America, in terms of the cube technology that's already in the install base, if you'd like.
By contrast on the Asian side, I would say that we have made progress on a relatively slower basis as it pertains to expansion of Maenner.
But now again, with the new operations that we acquired through the FOBOHA acquisition, we're looking to leverage it going into 2017 for both Maenner and FOBOHA as we embark upon expanding our capabilities there, in particular, hot runner capability as it pertains to Maenner within Asia.
I didn't catch the question.
Can you ---+.
Can you repeat that, yes please.
China orders, automobile.
Yes is the short answer.
We saw a nice pick-up in the second half of 2016 in China, particularly driven by transportation markets.
Two of our businesses benefited from that, with Synventive and it's as a result of model changes, saw a nice pick-up in its business, with Synventive having a very strong finish to the year, particularly in China.
As we think about that strength, we have seen it roll over into 2017 at the start of the year.
Again, these businesses are short cycle, so what it means for the fourth quarter of 2017, remains to be seen.
But again, the outlook for light-vehicle production remains positive for China for 2017.
Sorry, <UNK>, it might be on our side.
We apologize to everyone on the call.
Sure.
As you mentioned, industrial ---+ one thing overall, we're pleased with 120-basis-point improvement when we look at the adjusted operating margin performance out of industrial year over year.
As you recall, fourth quarter of 2015 we did announce some restructuring charges, as well as some consolidation of a few facilities that drove performance ---+ most of that productivity performance for industrial.
We saw all of that plus some, that allowed for about 120-basis-point improvement.
We went into the year thinking about $7 million in total.
In overall productivity, we're actually well into the teens, mid-teens, in terms of their productivity improvements.
That helped 2016.
As we look to 2017, we're going to continue on the margin expansion side through productivity.
You see our overall guidance of 16% to 17%.
On the industrial side, we don't anticipate as large a margin expansion year over year in industrial, mainly because the investments and the integration that's going on with FOBOHA; but still to be in the healthy mid-teens.
Then most of our margin lift actually does give us more confidence on that potentially moving to 17% will be on the aerospace side.
As we work through the OEM transition and continued growth, of our after-market business, both in MRO and RSPs.
Relative to the spare parts, 2016 represented probably one of the most steady levels of sales quarter to quarter that we've seen in some time.
Again, the primary driver behind the spare parts volume has been the CFM56.
To that end, the demographics of that fleet remain excellent in terms of the install base.
In fact, the engine was produced last year at even a new record level in terms of production.
A large portion of the install base, which is over 20,000 engines, a percentage of them still have to come in for their first engine overhaul.
In general, we continue to be very optimistic as it pertains to that particular engine, and the outlook for it as it continues ---+ it's expected to peak in terms of engine overhauls in the mid-2020s.
Great, thank you.
