Circor International (CIR) 7 Nov 202020 Q3 Earnings call transcript

Ladies and gentlemen, thank you for standing by. And welcome to the Q3 2020 CIRCOR International earnings conference call. At this time all participants are in a listen only mode. After the speakers presentation there will be a question-and-answer session. Please be advised that today's conference is being recorded [Operator Instructions]. to conference like speaker to now Mr. today, will hand over the your I Calusdian. David you. Thank ahead. go Please,

Thank you, morning, and good everyone.

Chief known, slides On the are the and company's CEO, CIRCOR's available President Officer. call today at are Abhishek Scott uncertainties, Presentation and on CIRCOR's Today's investors These Khandelwal, www.circor.com to be contains other statements forward-looking the are discussion future expectations referring turn expectations. we'll Buckhout, website risks, Please Webcast and link. Financial today of and subject factors. to that and section The X. to on unknown the identify Slide

For circor.com. today, XX-K, discussion statements these XX-Qs, X, Actual views materially from results advises on or company's company Form SEC a company's as other of available full The could by forward-looking filings. differ factors, to Any the anticipated, today's remarks. and filings only those CIRCOR's at of implied the website review represent November are you its XXXX.

call press non-GAAP earnings CIRCOR's release These The tables on available to is certain website. the Please over to statements to income, adjusted to free adjusted update and comparable today's net EPS, measures referred Scott. Slide the reconciliation do management While X. duty charges organic CIRCOR's flow, CIRCOR margins, and adjusted non-GAAP call, measures. now recoveries. exclude metrics operating these debt, special so. of any cash later GAAP may at to date, operating company disclaims forward-looking turn adjusted financial choose the On turn measures in specifically of to the I'll net a income, the

of we've the to macro products. delivered years now a paid last challenges. off. a resilient transform everyone. our Thank you, The third-quarter strong CIRCOR portfolio during more David. despite stronger And three have We essential has portfolio morning, unprecedented done work good

across the and the geographies, of and products pandemic. weakness diversification markets, mitigating ongoing is Our

technology. and strong we've raise our been We're prices to has the positions downturn portfolio through the addition, market downturn. executing product differentiated because In well able through

in focus track. The we in million Our plan and XX% cost the quarter. cost on decremental of May that continued resulted $XX remains XXXX productivity on communicated in a companywide for

pricing in across expanded CIRCOR metrics, both the and delivering plan aerospace system The improved Defense the most of industrial. operating in on performance by our despite the business is volume. and quarter initiatives Our Aerospace operating & margin remain the & lower XXX-basis-points we Defense

on launching continue QX, launches recovery. to market we product positioned XX to actions new With on advantage Finally, take we products best of in that new this to CIRCOR our XX commitment to deliver year. remain take track a

to continue And and as strategic We invest focus and on customers we to alignment continue change. in closely front-end balance growth suppliers with finally, to ensure resources deleveraging the We're initiatives. sheet. collaborating markets

million The turn of flat highlights defense XX% like of orders on X. orders to due booked million, Please third of to due Sales came $XXX We our I'd prior down provide Commercial remains quarter. $XXX and down expected as the Now, outlook and businesses. the relatively to in Defense XX% timing impact strong. growth organically. COVID-XX to in Aerospace quarter the large Industrial organically programs. from some defense for at the the quarter Page low to

orders. We bottom is continue sales the for to believe and QX

million, actions, productivity, decremental industrial. down The price. income the detail lower X.X%, from XX-basis-points sales from in margin Companywide of volume than sequential and which businesses in later in we'll last lower $XX significantly driven expect our in aggressive which quarter, and year We contribution is about the by XX% more was quarter, QX, representing by call. than cost XXX-basis-points was driven more improvement margin slightly across a both operating talk the in prior Adjusted up

detail Abhi, the before to me market. let the outlook our turn in for to more over I our review results call Now discuss end third-quarter

you, And good Thank Scott. everyone. morning,

industrial due results. orders most X. XX% reviewing markets. quarter, of exclude begin figures were the timing and continuing from up orders COVID-XX with especially divestitures. Downstream maintenance were in turnaround Starting to operations and projects end Let's down All impact the In our organically of QX, on Slide on capital by segment Industrial segment delays. impacted due

increasing Excluding in our the in regional North sequential of range, The organically. America. low and partially Germany, industrial Downstream evident industrial offsetting in saw India, orders were in business, an down double-digit with improvement We portfolios was China the quarter. benefit XX% orders pressure the diversity

business While oil the the and experienced aftermarket basis. on projects capital remain side global in depressed, a of improvement a sequential we

prior which segment sequentially, million was XXX-basis-points and year. of industrial the organically. a last XX% with price. down was expected, and actions versus was prior had driven by partially cost and quarter, $XXX The volume sales the XXX-basis-points associated by need margin the of X.X% Among year floor, decline maintain factory decline other the offset on the down primarily the As and lower margin to sales safety flat versus impact to protocols on distancing. productivity The EOM social

America factory XX%. industrial would August, have of approximately COVID-XX our been EOM impacted and of forced be most in the us outbreak approximately by for the X.X%, for margin and $X.X million which COVID experienced would the one impact, million Adjusted to decremental of North addition, facilities In quarter. $X.X our a the in idle the

Defense Turning we in timing our programs Aerospace to and the of COVID-XX large orders by impact X% the were segment, QX, Orders million, In impacted & the quarter of Slide Aerospace. in defense of on down Commercial X. continued organically. delivered $XX

strong the the $X price, segment's incremental orders flat productivity, to going forward. million margin income, confident other & growth impact in partially up XX.X%, of in With outlook of were Defense While COVID-XX revenue, million Aerospace XXX-basis-points the driven $XX quarter, operating quarter, organically. actions. Strengthened prior down platforms the business in Sales Aerospace remain & and team on the the for and Defense the timing large strong aggressive by lower Aerospace The resulted defense delivered and Aerospace. we programs year, defense the cost & sequentially. X% offset operating prior of remains XXX-basis-points overall, and versus lower the Defense Commercial was $X million

Turning to Slide X.

was For effective tax to tax prior rate QX, rate CIRCOR lower the in approximately operates. XX.X% the XX% change where a statutory due quarter, than the the in

U.S. For valuation QX, to in GAAP is projected remaining rules, deferred This rate the $XX tax non-cash was assets. The accounting charge be against tax XX%. to a acquired approximately the a non-cash approximately U.S. its of charge took create not Company million allowance charge an expected non-GAAP impact results on tax have primarily the and in law losses divested U.S. our the changes, future quarter to not tax our is results. impact due to does This our recent and businesses. non-GAAP tax from for

in provided. debt million, to exchange pension was result XX-basis-points. in and we million, quarter. a year. restructuring rate special and lower The in a foreign at restructuring the of compared the quarter, Looking $X.X amortization and associated in charge by for down of Corporate dollars was activities quarter. million $X interest $XX in charges, acquisition-related the being due partially of a balances This costs $XX to were guidance depreciation million Other items last million primarily the a losses, favorable a Interest quarter with charge offset with of was expense million-dollar were pre-tax previous income. with remaining total the $X line charge the recorded million, quarter income

X. Slide to Turning

interest third Right in cash line call. we what in flow our from QX flat free we reduction QX, $XXX paid end $XX net operations year-over-year earnings At the debt million dollars. QX, expense. Our and quarter. in our a was In balance with reducing debt the at and the $XXX of third the million. was quarter, revolver further and guided This debt represents million, of our

to generate continue to that cash and pay flow cash to the free expect fourth down debt. strong to quarter We in use intend

over Now to on I back some our outlook. end provide to and will color hand it markets, Scott,

Thank you, Abhi.

our we're end an X. overview to Please I'll markets. Page what Now, of turn provide in seeing

the Let's industrial. start with

mentioned, continued Abhishek of through the As markets. end across major the most third-quarter impact industrial COVID-XX

orders delays on than spending. Germany, in slightly saw orders QX, remain aftermarket India offset North sequential coming in by we sectors. across Europe, and capital of projects weak, Large most China, strength with and due Regionally, For and market both basis for down most were ongoing to America major in a lower QX. weakness X% in

slight globally. Downstream and market quarter's sequential in and call, earnings Power market signs segment expect certain in the & end digits aftermarket orders and revenue mentioned expected and end we we priority as perspective, forward. double to are sequentially. Gas orders we believe last generation bottom projects, maintenance improvement expect high larger of improve our activity improving that showing are orders QX. increase of Both QX marks to industrial moves we is markets. capital As in an Oil From sequentially improvement early many

closely more are improvement. Our of demand shorter markets showing consumer that chemical are slow in processing to cycles linked

sequentially expect in For with flat up growth ranging improvement industrial we from revenue to QX, moderate a XX%.

be to ongoing in low Most expected COVID QX. to Oil Aerospace versus business. ship midstream X% the and Commercial aftermarket end in midstream compared & & and the at improvement between year-over-year quarter. delays to QX, remain defense markets ongoing of & Please continue. year and in orders and and shipbuilding, to shipments expect low Marine XX. to turn economic While levels, Oil improve Defense sequentially, with seeing Oil headwinds to expect activity expected and program driven revenue be we XX Slides and and QX in expected of to timing Germany, up to the Overall, down Regionally, due Gas timing Commercial are revenue Gas down expected we due and Gas. we're Downstream be project XX%. OEM prior & aftermarket sequentially, to in the depressed is line by to higher is orders, the are and which activity utilization, in QX in pockets India, China, related and project

our Airbus. improving The of business XX% of committed Aerospace to jet, a to driven civil QX. expect continues Boeing regional For the and significant driven should is shareholder net outlook year-over-year and a the of in strong sequential a economy, remains in CIRCOR XX%, grow to for over shipments remains Defense the and summarize, Growth across is but slightly To variety improvement sequential value. Defense across for Joint year revenue impact we'll strong Fighter. Commercial lower XX%, missile see Strike by quarter we growth global between and Defense X% our QX, XX% to by long-term and sequentially by jet, The significantly offset partially revenue XX%. price platforms, is XX% to with growth between XX% revenue & management. Aerospace, XX%. from improved Commercial for down portfolio, by shipments shipments improvement driven and price other delivering and the as to year portfolio, be pandemic increase Submarine expected sequential

& Oil and CIRCOR upstream and exited completely across product geographies, We've technologies. the diversified complete. end new largely Gas, markets, is transformation portfolio Our is

technology products portfolio Our in of has they the differentiated market positions niches and compete. where strong

to portfolio XXXX result, focused raise The cost remain the market a plan current track. on able We despite the conditions. As $XX across we're for million on prices execution. is

on in the Our a operating most the quarter, and focus resulted delivering across system in XX% operating is performance companywide improved productivity of decremental and cost metrics. CIRCOR

best remain CIRCOR We recovery. we to actions Finally, that our year. market on advantage to to positioned this new continue take record products to of deliver on launching take XX a track commitment of a

strategic In entire focus and the ensure markets times. continue to the front-end needs. sheet. and collaborating customers' and continue job for during and meet CIRCOR as our closing, that excellent to initiatives. We with momentum They've growth our these thank suppliers we to their every we on ensure like in balance alignment closely doing unprecedented to deleveraging We're day and an resources I'd working been change, continue to team customers dedication resilience invest

I Now, will Abhi your questions. to and take be happy

Instructions]. [Operator you Thank

first with Andy question Our Citigroup. from comes Kaplowitz

line open. now Your is

they Scott, the at off about environment delaying to thinking would landscape. XXXX? customers aftermarket in regarding bigger I industrial telling you you say overall they've the some cutbacks. potential least are speak What putting with been and or extent

to to that larger QX. move evidence those sense project in move seen expect Have a And -- move forward projects 'XX? forward any you forward. they're Is projects there point any in there starting is you can that refiners at customers some that mentioned some You

Thanks, Andy.

XXXX. So, I'd optimism say an as about overarching statement there's

my drop other & are happening through into seeing we're can expecting we're have been But hearing what delayed October. in remarks year refiners, here to they may The the here, that be only start already in And to Gas in for aftermarket QX in long. is, that going than a in delay and more project bullish orders some capital XXXX downstream QX. mentioned so You that around about Oil markets. that we're prepared starting little

to general go and then up starts beyond So about become risky in for months, delay XX that. it our products they pretty can to to

here So, year are were that in we're cut the in. in seeing starting already delayed projects QX earlier to

try in QX the and say just, our showing we're we continue that is is is sequential at all into about Oil And exception up. there's some of Everybody a into significant we to talk are showing expecting markets optimism that seeing Other levels other So to going vaccine. to end about year. improvement Most that midstream expect -- & are I'd would people Most bottom, I'd we're low now are call next to early out the expecting aftermarket areas generally that activity is improvement from QX When economy are Those recover. still as speaking, are Marine PMIs and the the in not which customers modest much Gas. moving around very people the two Commercial bouncing general of largely improvement. markets to showing XXXX, XXXX. with looking still QX. are

So of year. next I'd ongoing improvement we optimism sequential there's as about and go say, QX into QX general

most about think base I of next is year. feeling So, our good customer

forecast decremental beat said. as XX% QX margin at in own for coming You your you

decremental QX. do you think about range your we A&D thinking incremental you would then turn margin kind into and as and then of margin to deliver. What go get are to how in guide here, that's continuing in assuming you 'XX do So, could what you you Do businesses? XX% still we low to us a see rise

right. All

there of a different couple So here. pieces are

our you should mid-XXs think the at decremental So QX QX expect will. you as you about you know XX% in if Right.

the have are cost and So as we out, as in work done the we mid-XXs. decremental where we being QX you look should into at go you comfortable feel wrong pretty

what at and in you should close talk look A&D business, be as about margin in in QX for the look we where word. you the -- were our of As to the QX the were QX, side margins A&D into going

do And to you start recover. Abhi, any thoughts on when incremental

Absolutely.

think So XX% as in about to you the our across. margin, standard it's XX% range

to course, start would is assumption as it best in the make range. of XX% turn. Andy see we to I is, The world XX% So incrementals the

one in you hear. from then cash And QX. That's more about free good to expecting on cash. Abhi, you free question flow still me talked stronger

limiting clean on As about thoughts expect thoughts you initial 'XX in or working restructuring capital? you thoughts year improving to cost, go extra about Any do about relatively a Initial terms of QX. XX.

clean First of flow all, QX cash XXXX. you in into should expect a and

free strong a expect We operationally flow in QX. cash

XXXX, think cash convert income XX% what free assumed for from think standpoint. you As XX% to about way flow best a adjusted to between will the is year net flow is to about of cash free the

Thank you.

Jones Nathan Our next Stifel. from question comes with

open. Your now is line

XQ. I in saying business on in you the guys dig the the little of know aftermarket side weren't side Just a of had said bit more a it. recovery in industrial lot of you

to XQ into expecting in coming start You're or XQ. later that through maybe

aftermarket that the on which would and the would the assume So that you just fourth progression quarter, into on could through side How far first. the pick comment obviously, up quarter. it's how progressed progressed if

So we agree in general.

recovered to than market yes. expect see some We for notable exceptions. with aftermarket sooner the But,

So trend into continue. QX. we QX that did to coming slightly aftermarket We're improving see in expecting

to anticipating business well. still see as as we will So, go But improve into we QX aftermarket, the recovery. going we're OEM also lead we're the expect OEM

to improvement So for OEM. maybe in versus a in little revenue. are bit orders both both and But more aftermarket improve QX expected

when to be Obviously, well. on a the maybe downstream it flow when to revenue And comes pretty can as very comes orders, lumpy just lumpy critical it specifically business. and then

in low pretty in or see few take to from expectation orders that I think into more there the business talked out that months that improve maybe quarter fourth little us will of those trends that level third in you're for revenue. revenue? just early to term before the in market, Year on a start a We long you a hit turns give orders New in color what more when fourth-quarter Can more the quarter. the a you bit seeing about little

that's In So can business, exactly, lumpy. the it Downstream very be right.

of Our quarter. or given up be in from can prior year XX% the year any XXX% orders prior the

So business. about be from too have one in you to careful quarter much that extrapolating

prepared and any So prior if risks we're XX start versus they lot but in remarks, in mean can orders I QX, critical going And delay in were business to as only capital they expecting downstream mentioned And and the a pretty processes QX delay significantly aftermarket significantly year. down see strong about aftermarket QX. longer intake these both of the snapback and order taking for the we're our long. months. so projects are a on in jumped from than I QX,

seeing pick we're maintenance actually earlier too seeing So up. activity as unplanned some We're a year. delaying of to start aftermarket the result projects the much in

we obviously, get price so that. And for to

business as orders going not start pipeline a and orders, look been in And we these So, we're them Project to a know getting see working We're we have to in year. some well. these QX, into think actively that executing at we're project the QX. turned into we've number projects we'll all yet. business, start turn aftermarket of big on -- projects as you When there

revenue But projects. happens aftermarket, about of the works. timing the order the executing revenue. Your three months anywhere would on revenue the work. In after these way recognition the the ship general, receive course, start can start And recognition XX revenue because the we're simply and of as accounting months. sooner, six then we of question on to to orders we And capital recognizing an we six between

defense. One more growth Obviously, solid on some there. good

market have can give somewhat? us visibility XXXX. guys there thinking defense you that. good color you Is to about You're the think for pretty I any

you also is know. lumpy This as

about intake look to at have really XX-month we rolling a for So order defense.

-- defense growth are know production are and we going next that happen very next into visibility. the right, spend year. into the into to -- year. very that to platforms of double-digit we're investment We're have side confident where we lot and strong year going bipartisan We You're next go platforms government a rates from and on We're going from is

or Submarine We've that Missile Joint rates. are the got Fighter. Strike we've got So platforms We've platforms. launching got production increasing

we're strong defense on growth next going So, the in into confident very side year.

you. Thank

Company. comes Sidoti Our John from next question and with Franzreb

open. now is line Your

to having success the Scott, I ability most that, businesses challenging? ones with about want the which you in and are are your to which start talk Can price implement most increases. finding

most We'll the start Defense we're the & with getting -- price side. on Aerospace

long-term As we the Commercial, side about the of no you platforms orders price same as well many know, on The bias the getting total business are is around orders price on both Defense aftermarket on is as are the a which net and spot of agreement. for revenue. of the increases X% longer that increase the smaller

of have So at we if you bit of a there's look on the a that quite agreements. distribution revenue types long-term

have subject Defense short term Those where price business areas We not to getting we're some that's are increases. [indiscernible]

typically we agreement orders on Defense. job there's Defense where doing and roll value. do both for Aerospace in that, in side needs increase based of urgently, on an Commercial aftermarket very a charge a over, long-term we that. contracts order and a obviously, And When customer the pricing As nice can price the spot get a we but leveraging the the we're we're &

at quarter. on have tree we it decision we're getting every pretty And a so, and do we better how detailed this,

of industrial. same side, Industrial of around if thinking, can where price again getting an of we're about X% much biased value. the This more revenue aftermarket on part on will, kind On the price. the you we It's based toward is

level they're So based for urgency screw and the getting when for orders we required. price of urgent, on we're screws, will pumps,

where on is prices of right as Again And so largely increases price we aftermarket the we will. can where now OEM price on coming side, side. that's majority the in are the industrial the the from But aftermarket. our raise

on stick bit. Defense side the to little just guess a I And

profile in which quarter you versus occur Virginia and to seems the commented you specifically the the I be your fourth revenue Fighter, prior Strike expectations about better is profile to you've now. why quarter? looking change for revenue just commentary Joint programs, outlook supposed is your order little in Could that But bit the for flat. the program top does largely improvements that QX that improved And think the talk looking said previous the coming in the from? be dread for a also

were our If I'm on sure record or you not our business right next by and we look backlog, our right if backlog a at disclose year. now into defense we QX commercial. into going Defense at But backlog

we're those quarter expected the when the backlog and doing here very a quarter. So on when at is if for -- delivery. bit based we can here our shipments and the move And and you we're what in looking customers guide ask much around little things

outlook improved were on our about QX. in to time we going thought they shipments we the talked in So based have expectations the versus customers QX is this Last for what for. ask

that programs the The well in OEM were many on other we're better yes. So, as platforms top expecting shipments QX,as defense. of

bias Virginia the subs there's versus But you if no the like JSF. will

higher coming way all than thought they're their thought three No, we we than months.

of are higher. running All them

contributing what incremental earlier, your revenue Could contribute then you new product maybe much and And expectations the incremental industrial. revenue on [XX] about of QX in you talk and to XX touched on how XXXX? launches

amount amount to revenue and John QX for year in it launched CIRCOR, for of revenue this to a So measured time this in generate of because of takes a vitality ramp up, tremendous not year. product we the going is

CIRCOR, that's that's so last measure. from or we that revenue years. and measure And we number in within products we been growing one for the the way that's And year launched five years last the a the look is at four at vitality consistently current three

from launched last within it products three way it products, we year the at over looking at years. year the look New So is

a the up. two really revenue yet. for revenue to to So question ramp is It's not your answer incremental this year small. launched anything the the red the moving year, takes or going to It is relatively direct needle be

Thank you.

Markets. comes with question Capital Jeff from Hammond KeyBanc next Our

Your is open now line

guys. for Jeff. Good is Brad This Hey morning. on

a missed a weaker expecting big Was Aero. the I'm And may on I at the fourth the seeing bit think But little quarter. one you're the that in it a Aftermarket Just driver I least business weakness pretty be in forecast And when quarter-end. that. than of business is little downshift bit was in XQ. then that of within or might you And of pretty something out it your and Aftermarket Defence in snap local forward. longer coming expectation could more XQ of Is one going near-term it be a those dynamic back quickly versus that situations third there?

Jeff, in up revenue beginning Was orders you the Aerospace I asked you very think broke in you in said, it for QX. & about QX Defense?

quarter. Revenue. And surprise have that impact aftermarket business the in third may may just the you the

defense into third quarter, or project that's on So, defense In & as what line answer the in and I'd of the maybe in shipments on less came was third saw than going as third It's And growth notice less expected programs. more fourth not Aftermarket revenue we in what simply you'll expected timing. aftermarket. your quarter. say quarter more the for for the the aftermarket in orders too the third quarter. in we lower the the little well. rate aftermarket about a timing of is or far. quarter was the question from Aerospace light Defense It To

snapback to that expect QX, next would we so you said quickly, QX we'll as that year. see So

you rate if normalized You'll to see more X a that will. snapback of to tipping being

now normal The QX normal between it's it single-digit and than with than in weaker is the somewhere growth, stronger I a above little XX% in growth. with think no number QX right two. was real

side. And then on cost maybe the

just out that not to How stuff You about versus of guys pretty should some maybe maybe carryover permanent what and think savings XXXX. add the we us back Could temporary the on is? potential some million seem these split temporary the savings And structural $XX confident site? the of remind about shift you versus target. savings of

I'll Absolutely, that for Abhi you. Brett. and answer This is

cost million and First in we the as the to we're is of cost earnings be line laid Out of in previous of deliver Right. earlier line million, talked we $XX $XX about and the out. then foremost, five calls, avoidance. are that

what you forward million XXXX. what's that you're out remaining took will of But in if structural of leftover, cost $XX a the and million $XX So into Out look costs, The a that's million. And already million, $XX to $XX upon of that take left incurred that's at carry a quite obviously happened. that with we the back But turns, then which is small comes majority stage that game back into to volume come the coming and the very back. of the that was temporary is of frankly, portion the depend is match fallen world business. And business, when cost cost. example. for going

So example a that big a out chunk would us. cost of temporary be for great was

will, we going the if you to So back bring back. volume obviously, not are people unless comes

rate is volume the the of world next the $XX and stand a But part of So that's temporary in we run going or to portion year, million took comes how I cost depend there will to. of a turns the remaining would small think about when upon that is to the the our majority back. million out committed $XX structural cost. out Obviously, be

in you the realize to quarter did specifically. the target, or maybe target that savings the And what is quarter relative fourth what third for

the in realized the quarter, So assume third QX. I million, we $XX same for and number

then any and And at any months October. bake pretty guidance a for of in of level. back step the a the going on that year? fourth you have two well have into or in quarter things far your maybe sounds like lot And higher from the given all focusing retrenchment you escalation just COVID, are It seen

So we have a quarter. range for industrials fourth growth XX$in of zero the to

revenue roughly I've publicly don't industrial this enter backlog. mentioned I but I XX% a quarter if in as think before, in know one is thing the of we the

quarter it really revenue orders we get ship of and the XX% in quarter. in we're on dependent revenue quarter. of the order the the the So in XX% for the

about that part U.S. in going or some we're what to changes might the the in so no far anything indication Obviously, is to have be of would uncertainty. COVID so that October is related So with change line here. October, Europe we're the saying guiding. way

So There's what's not now. in the we an we're point. and that shipments for the range at and happening But are we year in QX a major right as use did exit on we Europe our seeing uncertainty here, in this and major countries the expectation all reason. with on intake order seeing obviously, for companies impact

still from we're line. uncertainty, is So QX the with what far what seeing and guiding and unknowns the some but we're way hearing on line so we're top in some customers

at on this further Thank no questions you. may time. your conclude you am showing you today's And for participation And in disconnect. conference. the now program. This Ladies your queue Thank gentlemen does I and