Hello, and welcome to BD's Fourth Fiscal Quarter 2008 Earnings Call. At the request of BD, today's call is being recorded. It will be available for replay through Wednesday, November 12th on the Investors page of the bd.com website or by phone at 800-642-1687 for domestic calls, and area code 706-645-9291 for international calls, using conference ID 67742305. I would like to inform all parties that your lines have been placed in a listen-only mode until the question-and-answer segment. Beginning today's call is Ms. Patricia Spinella, Director of Investor Relations. Ms. Spinella, you may begin.

Thank you. Good morning, everyone, and thank you for joining us to review our fourth fiscal quarter results. During today's call, we will make some forward-looking statements. And it's possible that actual results could differ from our expectations. Factors that could cause such differences appear in our fourth quarter press release and in the MD&A sections of our recent SEC filings. We will also discuss some non-GAAP financial measures with respect to our performance. A reconciliation to GAAP measures can be found in our press release and the related financial schedule. A copy of the release which includes the financial schedule is posted on the bd.com website. Joining us this morning are Ed Ludwig, Chairman, President and Chief Executive Officer, John Considine, Vice Chairman and Chief Financial Officer, and BD Executive Vice President, Gary Cohen, Vince Forlenza, and Bill Kozy. I will now turn the call over to John.

Thanks, Pat, and good morning to everyone. I'd assume you all have our earnings release and the attachments we send out this morning. We would like to devote as much time as we can to questions, so my opening comments will be brief. Broadly speaking, there were four topics we're going to address in these comments. The first three will be covered by myself and the fourth by Ed. First we'll review our diluted earnings per share from continuing operations for the fourth quarter in 12 months. Second will describe the key drivers of our revenue and earnings growth. Third, we'll review our earnings guidance for 2009 and fourth, Ed will elaborate on this morning's organizational announcements and then review our overall strategy. Now starting with our earnings the fourth quarter of 2008, we reported diluted EPS was $1.13 increasing by 15% over diluted EPS of $0.98 for the fourth quarter 2007. For our full year 2008, I suggest you turn the table one in the press release, as you can see, reported diluted EPS from continuing operations for 2008 were 446. For fiscal year 2007, we began with reported 2007 diluted EPS of 336 and added back the income process R&D charges are $0.48 for TriPath and class owe. That give us an adjusted diluted EPS of 384 comparing to 446 to the 384 gives us an adjusted EPS of 16% up. Moving to our growth drivers, revenues increased by 11% for the quarter which included approximately 5 percentage points of favorable foreign exchange due primarily to the euro. Our revenue for the full year increased 13% also being favorably impacted by about 6% of foreign currency translation. In our medical segment, fourth quarter revenues grew about 10% led by sales of pre salable drugs delivery devices and continued…

Thanks very much John and good morning everyone. Before turning to the discussion of our strategy, I've like to say how pleased I am with the organizational changes we also announce this morning. As you may recall last March, our CFO John that we just heard from was promoted to Vice Chairmen of BD's Board. At that time, we indicated that he plan to retire in 2010. And to provide for a seamless transition of the CFO role, we soon began a search for our new CFO and I am very please to announce that search has successfully culminated in naming Mr. David Elgins, as our new Executive Vice President and CFO effective December 1st. David joins us from Astra Zeneca where he most recently served as CFO of their $13 billion North American Pharmaceuticals business. David's financial and healthcare experience will serve us well as we continued to drive for excellence and financial performance and discipline. I'm also looking forward to continuing to work with John Considine as he focuses he's considerable skills on strategic initiatives and our drive toward achieving world-class capabilities in BD's integrated supply chain and IT and successfully implementing our global enterprise resource planning upgrade. The other major announcement concerning our organizational strengthening is the promotion of Vince Forlenza to the position of President of our company. It has been my honor to work closely with Vince for the past 25 years in numerous capacities within BD. He has experienced in all three business segments, including living in Europe or working in the medical segment between 1986 and 1990. More recently, he led our biosciences and diagnostic segments both of which have been growing very nicely. Since his prior experience managing our technology and planning capacities will further provide a good foundation for his expanded…

The floor is now open for questions. [Operator Instructions]. Our first question is coming from John Wood with Banc of America Securities.

Thanks a lot. John can debt and excess capital averages historical rates in this environment.

Yes, we have no issues with the accessing capital. We... our CC kind of balance is at around $200 million at any one-time. And I would say that we've been on the shorter end of the probably out through 90 days and not up to the 364 day kind of limits. But no issues with accessing capital at all. And by the way, as you'll see on our balance sheet, we have $1 billion to cash on our balance sheet at the end of the year. We have no maturities of any long-term debt at all and our long-term debts at about 800 and we have about 200 of short-term debt but that stays, it's booked to short-term but it basically stays there.

Okay, great. With the valuation, the equity valuation about 15% below historical levels now, I mean why not get more aggressive on the buybacks, if your capital rates are constant given the lower valuation here?

Well, obviously we consider that, like any other guidance. There is a potential for change here. We obviously agree with you in terms of under valued nature of this stock and we'll be silent on everyone else's. But we certainly have the capacity to do that, but we will consider it as we move along. But right now, this where our preliminary guidance would stand.

Okay. One quick follow-up is... I mean the cash dividend policy I know you've increased in November pretty much every year for the recent past, is there any potential that your dividend policy changes as you evaluate the different tax policy or the potential changes in tax policy on cash dividends? Thank you.

Well I mean what you're saying is correct. We have followed a pattern... that our Board has followed a pattern of taking the change in earnings per share the trailing change and increasing in the dividend along with that. So in plain English our earnings are up 15% at least for the last five or so years, our dividend is going up an equal amount. I would say right now, there's no contemplated change. We'll have to see what changes in the tax law may transpire if any and whether or not we would... how we would... might be act to those. But in terms of our total cash flow while around $300 million is not a small amount that's certainly not anything that at all concerns us, we feel very strong about that dividend and we've had an increase in that dividend over 30 years now, so its certainly part of our net income.

Okay. Thanks a lot for the comments.

Our next question comes from the line of David Roman from Morgan Stanley.

Good morning, everyone. Just wanted to get an update on maybe some of the operational side of the business, maybe we could get update on Genome and TriPath.

All right, I'll ask Vince Forlenza to do that?

Sure. From the standpoint of sales for Virginia and we finished about $42 million for the year. In terms of where we are from a product standpoint, let's start with the assays first, seal is already submitted. We've had the first round of questions. So is that or so I think we're making good progress on those assays, on the staff SR, we've gone through a round of questions and there was a request for additional data. So that one is moving ahead but has taken longer than we thought. From the instrument standpoint, we did show the new instrument at amp and was very well received. Just want to be clear that there is multiple steps here, the new chemistry and the thermo cycler moving away from the instrument that contract is up. We have plenty of thermo cyclers to get us through on transition phase. We're looking at Q1 for the new chemistry and thermo cycler kind of the end of the... the end of our fiscal year timeframe for launching that system first in Europe and then in the United States couple months after that. And then the automation, the multiplex automation that we showed is about a year after that. So that's the situation on genome from market standpoint of course California has passing legislation on MRSA requiring screening of selected patient populations. So we think that's going to be an opportunity. The new Jaco guidelines have now moved beyond just hand washing and requiring a complete program on infection control for HAI, so that includes both seat to seal and MRSA. So we think that's going to be an opportunity as well. Moving over to TriPath, starting with the status on the FocalPoint GS. We expect approval eminently and our expectation is based on what…

Okay, great. And just one follow-up for maybe John. On the July conference call, you talked about guidance sort of in the 7% to 9% range; I know that it wasn't official guidance for 2009. Can you talk about what change that's related to the 6% to 8% constant currency number versus 7% to 9% for next year?

Let me take a shot at that. This is Ed. This is the... what we have been saying in investor meetings over a fairly long interval of time is that we expect that on a trajectory basis and we look at this sort of a three year intervals, we'd be able to do about a 7% to 9% top-line and about 10% to 12% bottom line, all things being equal FX-neutral on a performance basis. Okay? So lets freeze frame that. And so then let's assess 2009 in light of that guidance. On the top line if you look on an exchange neutral basis, we're expecting 7% both the diagnostic and biosciences segments of the business were actually doing at or a little bit better than that. The medical segment were guiding at about 6% which is a little below the corporate average and that is because as we have also been discussing the pharmaceuticals systems component of the medical segment is... it tends to be cyclical as a function of new drug launches et cetera and we have been saying that '09 for that part of the business will be in the low end of the range, by that I mean sort of the mid to low single-digit growth as opposed to the teams sort of growth that it has experienced in the past, and this year in fact was high single-digit. So we also expect that pharma systems will recover with new drug launches that we anticipate in 2010. So if you evaluate the 7% exchange neutral guidance for next year's revenue, it's in that 7% to 9% range it would be higher but for the performance in pharma systems. So if you look at the bottom line, our guidance of 6 to 8 to 10, 8 to 10 is the all in number and as John pointed out, that does include about 3 to 4 of FX headwind and so if you look at that on an exchange neutral basis its in that 10 to 12 envelop that we've describing on a performance basis. And that's basically a function of about a 60 plus basis point improvement in gross profit, about an 80 basis point improvement in SG&A. And about 50 basis point investment in R&D which all adds up to about a 90 to 100 basis point improvement in operating margin. So within that three year plus trajectory we're well within the envelop on a bottom line basis and will sample that envelop on the top line basis and that's primarily a function of some trends going on in pharma systems.

Okay. That's extremely helpful. Thank you very much.

Your next question comes from the line of Mike Weinstein from JP Morgan.

Thank you. Thanks for taking the questions. Let me do maybe three quick ones here. I want to understand the guidance on the operating margins, 100 basis points that you're forecasting. How much of that would right now come from the FX that you have in place, how much of that shows up in operating margin versus the other income lines, so how much that 100 basis points, that hedges versus the rest of the business, you have to extract. Two, you didn't mention John the R&D tax credit, which I would think would have helped your tax rate for 2009 but it doesn't appears that regarding that ways to clarify. And then lastly, the bigger picture question, I'm sure all very interested in hearing, what you're seeing in your different businesses in terms of the impact of the credit crunch in the economy and maybe you could talk about your different customers, the hospitals, the labs, the whole life sciences world which you're seeing that be great?

Let me start with the end and I will ask for a show hand in the room that you can't see if there is any elaboration, but as of now and it's still very soon... it is still very soon to extrapolate but as of now we're not seeing any disruptive or troublesome trends in our primary demand factors. The spending and research continues the pace, we are checking hospital census, hospital behaviors on the fundamental basis. That does not seem to be any unusual trends there. On the lab basis, again we have not seen any unusual trends and I'm not hearing any of my colleagues saying that they want to elaborate on it. So the bottom line is... we are highly vigilant of what's going on at the primary user level. If we were in the cosmetic surgery business, I think we'd be in a world of hurt right now, because anything that has to do with elective, out of pocket discretionary are fine, but we're not in that business. We're in sort of the basic healthcare business and so far we have not seen anything extraordinary in our primary demand. But as I said, we're continuing to monitor this. We are also continuing to monitor as importantly the health of our supplier base. We deal with large companies and small companies who provide us with goods and services. We've had a few examples of some difficulties which we had covered, we've managed to sustain the supplies, of nothing that we are alarmed about but we're looking both upstream to the customers and downstream at the suppliers and I will let John talk about the impact of the other two parts of your question.

Yes, on the tax rate, you're right. We do have the benefit in there which would be about 30 basis points for the R&D credit. However, we have some mix issues that kind of eat that up and one is obviously as I have said, we have the hedge gain which while it takes care of our foreign currency it exists here in the U.S. and we pay U.S. taxes on that. So it would be subject to the 35% rate plus the state tax impact and that's basically what does that. With energy... so if that answer's your question on tax side within GT kind of the... we have a net pickup on FX of about 20 basis points probably in our guidance as I think Ed said, yes we continue to get good product mix and productivity in the 50s basis point area there. We get a little bit on FX and then there is a bunch of things that offset one another. So it's in there and add about that amount.

Okay, let me just clarify, it's on that R&D tax credit, there won't be in the fiscal first quarter, you won't have to catch up for FY '07 or will you?

A little catch up, yes.

Okay. So would that first quarter tax rate be lower than the balance of the year, your assumption?

Yes.

Okay. And then just one last question and I will let someone to jump in here. The one business that you're forecasting in organic acceleration in FY '09, its diagnostic business was up roughly appropriately 5% organic, in '08 you're saying guided in 7% for '09 we would love some color on your thoughts there.

I'll ask Vince to elaborate on that.

Actually the growth rate in diagnostics is pretty consistent year-on-year. Elaborating a little bit we are expecting TriPath to be about 130 to 133 in terms of total sales. GeneOhm is... we're going to guide to 62 or 65 and of course where we find those estimates. Just one heads up when you compare '07 to '08 you had TriPath in to for three quarters of year in '07 and not in '08. So if you pull TriPath out and you normalize for that. Diagnostics grew 7.4 on a performance basis.

In '08, 7.4 in '08 and we were talking seven this year. So we Re very pretty much concerned.

Okay.Thank you guys.

Okay good.

Your next question comes from the line of Kristen Stewart with Credit Suisse.

Hi, thanks for taking the call. I just wanted to ask a question on the CapEx guidance, I think you'd mentioned $650 million, you've been running for the past couple of years at a little bit higher rate of CapEx spending. Just wondering if you could break it down in more detail and when should we expect CapEx might returned to a more normalized level.

Well, the CapEx has been, as I said last year, it was about 600 million. This is going... yes, the good news is that it's going to a productive capacity expansions. We are expanding capacity in our pharma systems business. We are finishing up plants for bio-nutrient manufacturing in Miami. We have expanded the productive capacity of genome and Canada and are they're now getting in R&D facility there. And I think in general across the board we've just opened this year, a new facility for antibody production in Puerto Ricoh and so this just a general again the business running at about over 7 billion with annual depreciation in the 400 plus range, so 600 maybe a little bit high into the range, I don't think its going to come down dramatically but that's basically spending at a replacement rate so if its goes down to 500 in the future years I think that might be something we look forward to, but right now these are highly disciplined decision process that we use to allocate capital and its going for good productive capacity so.

And then just touching again on the resin issue regarding the gross margin. You said you're aren't seeing an impact as a lower flowing through to resin prices. When do you think you might starts seeing that and I guess if you could just walk through again of what makes up the 40 to 60 basis point movement in FX that... I'm sorry in gross margins say you expect for '09? [Multiple Speaker]

So these oil as a rough proxy and I always say that because if you kind of plot oil against kind of our top five resins, there is obviously some correlation but anyone one resin might not necessarily correlate inline with that movement. When you've looked at... if you look at '08. We had a cost of about $230 million and that equated to oil being on average about a 110 lets say. And if you look at that, just start with that as I would say freeze frame that as we built our inventories in the fourth quarter of 2008, actually the reference price on oil would have been closer to 118. And so we... that is what will run to our P&L this first quarter of 2009. After that, we've cleared out that higher cost and there has been some movement of all be it not down to the 70 level. And frankly when we kind of feather in where we see it right now, we're conservatively around using $90 oil for the three quarters and not withstanding the 70s out there. That will go to about... equate to that 110 oil on average for the... I'm sorry $100 oil for the whole year. Now if it were to revert back to $70, you might remember that we said that every $10 in oil probably gives us in $70ish million or something like that. So over 7 to 9... over two quarters that would probably impact us and you're probably talking $10 to $12 million. So we don't expect a lot of extra benefit on this. If oil still stays itself around $70 in future years well then we'll see a little bit more. But that's really the answer there. And in terms of how that kind of fits into our '09 guidance, again productivity is going to give us and product mix about 50 basis points, we're going to get about 20 basis points as I said from net FX. We'll get a little bit from pricing, probably 20 basis points and then the offset is about 30 basis points and as Ed said we have a number of projects which we've talked about over the last couple of years where there is certain period across that have to be taken in that capitalizes this part of the project. These range from our medical business where we are instituting in 2009 as we said this project to generate more efficient and lower cost projects, products to the plans that we're putting in other parts of the world to certain line that are going in within medical and we could add more detail for that debt. That is what Rick represents the last amount.

Okay, great. Thanks so much.

Our next question comes form the line of Bruce Crane with Leerink Swann.

Hi good morning.

Good morning, Bruce.

Just some clarification for me if I could, Vince, so the GeneOhm number in the quarter were somewhere around $15 million. Is that right?

So, GeneOhm in the quarter on a reported basis was 12.5.

12.5, Okay. My math must be wrong. Didn't you say $42 million for the year?

Yes.

I got 7, 10 and 10 for the first 3 quarters, but might be wrong.

I don't have it quarterly build that, hold on a second see if we can find that for you. But it's definitely was 42.1 for the year.

Okay but while you're looking for that? So this quarter, I'm sorry was twelve was that you said?

Yes.

And then maybe our got to do in that. Could you par with the TriPath number also for the quarter? Yes, I'm prepared to pick on someone else if you want a little more time.

Just hold one a second here. So we've got 8.8, 10.4 for 10.3.12.5 42.1. Okay.

Okay. Got it.

And then TriPath for the quarter.

Yes.

TriPath for the quarter was 31.7. And just wanted to let you know that, we have changed the reporting on TriPath, so that the international sales are now reported in international of course when we bought the company, all of the sales were reported in the U.S. and as I said on a go forward basis we're looking at $130 to $133 million next year.

Okay. And you guys still thinking, you might have an HPB level on December, is that kind of moving around?

In December, it's hard to say, it's somewhere around that timeframe.

I guess some maybe there.

Yes.

And then sorry to be so detail oriented here, but John can you run through just the safety numbers again? And what I am after is for the quarter by medical and Diag, U.S.?

Actually Gary, Bruce has the detail write in front of him.

All right, so you want global, do you U.S., you want international, how do you want it?

U.S. or O U.S. and then by the two pieces medical and Diag.

Okay. So U.S. Medical fourth quarter $142.6 million, U.S Diagnostics fourth quarter $118.4 million, International Medical fourth quarter for $49.2 million, International Diagnostics $94.1 million which totals up to Medical Global $191.2 million, Diagnostics Global $212.5 million.

Fantastic. And then can you guys comment at all, I know John you talked, I think it was John talking about the expected growth rates in safety going forward and obviously there is skew towards U.S., but can you comment at all on a FX-neutral basis, whether or not you get the same margin impact from $1 of U.S. safety sales as you do from the U.S.?

It's pretty similar. The difference being O U.S. diagnostic safety has pretty significant component of plastic lead collection tubes which are closer in margin and characteristics to glass tubes perhaps slightly better. We are as the transition on the needle side, whether its diagnostics or medical from a conventional device to safety engineered device, typically brings with a boost in margins and we're g that internationally as well as in the U.S. its little bit difference in the product mix, there is few devices that were designed for example, specifically around European procedures which vary in product types somewhat from the U.S. based procedures. So on the whole we're getting a margin boost internationally that is a keen to what we've got for obtaining domestically.

Okay. Thank you.

Our next question comes from the line of Sara Michelmore from Cowen and Company.

Good for taking the question. I think we discussed it briefly but just in terms of the pharma systems from the dynamics they're going forward. What specifically is going on in terms of... it sounds like you're heading into a little bit of transition period particular in U.S., what exactly is going on there and when should we think about you exiting that period? Does it in the current fiscal '09 or do you have to wait till fiscal 2010?

Well'09 is going to a life relative to past experience. As I said it's all in on performance basis in sort of the low single-digit, I'll let Gary elaborate on some of the particulars.

Yes the... we had spoken over the last several calls to ensure everyone would anticipate that, at the end of '08 and as through '09, the U.S. pharma systems business would show reversal of the extraordinary growth that is been obtaining over for last several years. It was well characterized reasons, some of which are customer related such as the circumstances around e-bill, and some of which you could say is tiny related and that involves the delay in timings for approvals of generic or molecular weight heparins. And then there's a few other factors that are not related to our position in this business but more or so external factors with our customers. We do anticipate and we have previous visibility in this business that that will turn back the other way in 2010. You can expect negative sales growth in 2009 in the U.S. for pharma systems but continuing good growth outside of the U.S. which is the largest component for that business. On the whole, as I said that'll bring overall performance foreign exchange mutual growth to mid, low to mid single-digits. We have beat internationals obviously driving positive in that but being affected my exchange rates. And as we said, we're expecting not to turn back the other way in 2010. The overall characteristics of the business are very healthy and Ed mentioned is well we're in the midst of building a new plans. So that's a good sign of our confidence in the future growth for that business.

And just as a follow up Gary I know that you mentioned that there in this current upcoming fiscal year there are some opportunities for cost manufacturing reductions and a medical products business. Could you just give us an update in terms of what those specific plans and opportunities are there?

I will give you a general... some general response to that. First product improvement is a constant driver in these businesses, as the basis of competition as well. And that is both the combination of ongoing productivity improvements that comes from the efficiency of our plans plus, I would characterize as problematic for project base. Then we are in the midst of planning project based improvements that are rolled out over series of years and that will further improve our overall cost position. Which will benefit both gross margins and also this is the general competitive position, globally, but that... the details on that will follow as we progress, but something that will rollout over several years.

And lastly Gary just an update on Nexiva and the product rollout there. Thanks.

We're getting really good growth from Nexiva. We were very pleased with the results in 2008, for expecting continued strong growth in 2009, that was messed somewhat by characteristic and some of the other safety devices as we described the past call, there is one category of access system, needleless IV access systems that had been declining and that offset some of the Nexiva growth but we had about 15% growth rate in Nexiva in the fourth quarter and we are expecting very strong growth in 2009, so its going pretty much according to how we would have expected it.

Alright, thank you.

Our next question comes from the line of Eric Christelow [ph] from Thomas Weisel Partners.

Good morning, Ashley for taking my question. Just filling in for Peter Lawson here. I was wondering on the interest income and the other income lines, its looks like the interest income was a little lower than usual, what was going on in the quarter? And also what was going into the other income line?

Let me just figure out those numbers. These are about the quarter.

Yes, the quarter please.

Well our interest income in the fourth quarter was about $7 million and the interest expense was $9 million. In terms of other things, we have a deferred compensation program and which is... its based on a program that where we go out and we buy investments within an insurance rapport without getting too complicated here, customer life insurance and there are investments in there. So when somebody differs salary or bonus, they invest in one of these things... we actually so that we're not at risk with the liability. So in situations where the investments go down, our liability goes down and we'll end up taking a benefit if you will on the liability side and we put... the other side of the entry unfortunately because of the accounting goes on the interest income side and I think in the fourth quarter, we we're looking at about a net of deferred comp of about 13 net of whether other interest type charges of 6, so there's another 7 in there. There is really no major change on that mind. It just has to have... it has to do with the interplay mainly on deferred comp between SG&A which is where it's been booked and here on the interest income line.

Okay, great thanks. And I guess on... with the market, just the durations that have happened, any update or any insight into how that might affect your pension obligations?

Well, we're locked in for pension cost this year, really no big difference between last year. We were fortunate; we put $75 million into the pension just before the end of the year and $75 million just after it. We put that into really a cash investment account just obviously looking at not the tea leaves but the trees blowing around. So we didn't invest that so we didn't take any hit on that of our pensions, we are... without that we're typical 65, 35 kind of equities versus fixed income. We probably lost a couple $100 million bucks on the equity side that won't get us outside of the quarter from accounting standpoint. So that'll be going to loss column and be amortized over year. So that will happen in the following year in 2009, and it be just I don't what the discount rate will look like then, but for 2010... for 2009 we'll be just about where we were in 2008 in terms of our pension expense, the assets will go down but certainly on an average not nearly as much as others might have since we were lucky enough to put that money into cash.

Okay. Thank you.

Our next question comes from the line of Jeffrey Frelick with Lazard Capital.

Thanks, good morning everyone. Bill, could you give us a breakout of how much your growth by the end-user segment, meaning, clinical versus research?

Jeff, I don't have that level of detail. You are talking specifically just about the cancer platform, I can't comment on growth on the clinical-based instruments if that's helpful. I mean if you look at our developing world activity, particularly looking at the caliber as well as the fact count. We had strong double-digit growth in both those platforms in a quarter and wrapped up the year, again with strong double-digit growth on those. We can't tell you what your course is a mix instrument close to what the clinical and the research science is about half and half on both side can't tell equally strong for both the quarter in the year with strong double-digit growth little north of 27%.

Okay, great thanks Bill. And then just quick question for Gary just a follow-up on Nexiva. What was the full year '08 sales growth?

It doubled this you, just curious for the full year. 60%.

60%.

Okay. Thank you very much.

And I understand we have one more question to go operator.

Our last question comes from the line of James Baker from New Berger Berman [ph].

Gentlemen I just wanted ask a question about the first three quarters had a combined $17 million of inventory write-offs that affected gross margin if I could your EPS with that $0.05 a share. So A, were there any such write-offs in the fourth quarter and B, did your guidance for 2009, sort of incorporated a similar level of write-offs, or you're assuming that level drops to a lower level if possibly zero?

I think the answer is no and no. We... as a matter of accounting principally, you can't anticipate something that hasn't happened yet. And so in the future we have not anticipated any asset impairments on inventory. We look at that on a regular basis and so that, the '09 guidance and we're looking at the fourth quarter seriously, there might have been any nits and nets in there very small. But there was a modest amount in the fourth quarter and nothing in the future.

Thank you.

Okay, thank you all for joining us. Again, it's a pleasure to welcome David Elgins to our team and to congratulate Vince on his new role and Gary and Bill on their new roles. And we look forward to serving our investors and our customers with this new team in the future and in spite of the challenges, we continue to find extraordinary opportunities in this space. And we're going to keep driving and look forward to talking with all of you in the future. So we're going to sign off. Thank you.

Thank you. This does conclude today's teleconference. Please disconnect your lines at this time and have a wonderful day. .