Good morning. My name is Blair and I will be your conference operator today. At this time, I would like to welcome everyone to the Ampco-Pittsburgh Corporate Third Quarter 2015 Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question-and-answer session. [Operator Instructions] Thank you. Masha Trainor, Vice President, General Counsel and Corporate Secretary, may begin the conference.

Good morning everyone and welcome to our third quarter earnings call. With me today are John Stanik our Chief Executive Officer; Dee Ann Johnson, Chief Financial Officer and Treasurer; Rhodes Hoover, President and Chief Administrative Officer and Kerri Kenney, President of the Air and Liquid Systems Corporation. Before we begin, I need to make the following reminder regarding forward-looking information. Statements or comments made on this call may be forward-looking and may include financial projections or other statements of the Corporation's plans, objectives, expectations, or intention. The Corporation's actual results may differ significantly from those projected or suggested in any forward-looking statement due to a variety of factors including those discussed in the Corporation's most recently filed Form 10-K. We do not undertake any obligation to update or otherwise release publicly any revision to our forward-looking statements. I will now turn this call over to our Chief Financial Officer, Dee Ann Johnson.

Thank you, Masha. Good morning everyone. Sales for the third quarter of 2015 were $58 million versus $65 million for the third quarter of 2014, a decrease of $7 million or 10.8%. The decrease is primarily attributable to our Forged and Cast Engineered Products Group. Gross profit as a percentage of net sales was 16.2% for the third quarter of 2015 versus 18.6% for the third quarter of 2014. The decrease is due to lower production levels resulting in an under absorption of fixed costs and lower margins. Selling and administrative expenses were $8.7 million for the third quarter of 2015 in comparison to $9 million for the third quarter of 2014, a decrease of roughly $300,000 or 3%. Other expense fluctuated primarily as a result of changes in foreign exchange gains and losses and lower cost associated with operations previously discontinued. While insignificant for the current year quarter, these combined costs approximated $400,000 for the prior year quarter. As of September 30, 2015 our estimated annual effective income tax rate is expected to approximate 40.1% compared to 31.6% for 2014. The increase is primarily due to favorable adjustments indentified with filing our tax returns. In summary, the Corporation incurred a net loss for the quarter of approximately $1.5 million or $0.14 per common share versus a net loss of $343,000 or $0.03 per common share for the third quarter of 2014. From a segment perspective, sales for our Forged and Cast Engineered Products segment decreased approximately $6.1 million or roughly 14% for the third quarter of 2015 compared to the third quarter of 2014. The decrease is primarily attributable to a lower volume of traditional roll shipments offset by a slight increase of other forging products. An operating loss was incurred for the quarter due to the lower volume…

Thank you Dee Ann. Good morning. The third quarter was difficult for Ampco-Pittsburgh. Financial results were in line with the expectations that I communicated to you during our second quarter call. Revenue for UES or the Forged and Cast Engineered Products segment did not reach the level required to generate positive income despite the partial benefit derived from our cost reduction programs. Orders from our two primary markets the steel industry and fracking industry continued to be week in Q2 and at the end of Q1. July was particularly disappointing resulting in a $1.2 million or $0.12 per share loss. There were two expense items that also contributed to the third quarter's loss. Acquisition related due diligence costs and an inventory write-down. These two charges resulted in a $0.05 per share loss in the quarter. So if one does the math, the financial performance for August and September was positive despite the low sales. As has been the case all year long, our Air and Liquid Processing Segments performed well and even exceeded our expectations for the third quarter by a small margin. To review, the majority of the revenue for our Forged and Cast Engineered Products occurs three or more months after receipt of an order. Orders from steel manufactures were very light beginning in March and continuing through part of July. Also, we tried to hold price but this proved difficult to do and as you can see our margins deteriorated by approximately 300 basis points from Q2. Similarly, orders for equipment that we began providing to the fracking industry dropped off significantly in Q2 as oil prices fell resulting in lower demand for our products. Since improvement or recovery in both of these industries is not expected for months. More restructuring must be completed in order for…

Well hopefully, next call will have more reason to talk. I expect our Air and Liquid Processing segment to continue to perform well. With respect to UES or our Forged and Cast Engineered Product segment, it's going to be a difficult time extending into 2016. But we expect to stabilize the performance of this segment. We will make many changes and many improvements. However, since we do not project any substantial market improvements in our two key market steel and fracking for many months, I believe our major performance turnaround for the Corporation may not be immediate but it will occur at least as soon as our markets do and hopefully sooner. All of the ingredients are in place or they will be within weeks. Much has been done in the last 10 months and I continue to be truly excited about our Corporation's future. Thank you.

This concludes today's conference call. You may now disconnect.