Don Hatcher - Director of Investor Relations Daniel Poneman - President & Chief Executive Officer Steve Greene - SVP, Chief Financial Officer & Treasurer John Dorrian - Controller & Chief Accounting Officer

Greetings and welcome to the Centrus Energy Corp Third 2016 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Mr. Don Hatcher, Director of Investor Relations. Please go ahead

Thank you, Kevin. Good morning and thank you for joining us. Today’s call will cover the third quarter results for 2016, which ended September 30th. Here today for the call are Dan Poneman, President and Chief Executive Officer; Steve Greene, Senior Vice President, Chief Financial Officer and Treasurer; and John Dorrian, Controller and Chief Accounting Officer. Before turning the call over to Dan, I’d like to welcome all our callers, as well as those listening to our webcast. This conference call follows our earnings news release issued yesterday afternoon. We expect to file our quarterly report on Form 10-Q later today. All of our news releases and SEC filings, including our 10-K, 10-Qs, and 8-Ks are available on our Web site. A replay of this call also will be available later this morning on Centrus’ website. I’d like to remind everyone that certain of the information that we may discuss on this call today may be considered forward-looking information that involves risk and uncertainty, including assumptions about the future performance of Centrus. Our actual results may differ materially from those in our forward-looking statements. Additional information concerning factors that could cause actual results to materially differ from those in our forward-looking statements is contained in our filings with the SEC, including our Annual Report on Form 10-K and quarterly reports on Form 10-Q. Finally, the forward-looking information provided today is time-sensitive and is accurate only as of today, November 10, 2016, unless otherwise noted. This call is the property of Centrus Energy. Any redistribution, retransmission, or rebroadcast of this call in any form without the expressed written consent of Centrus is strictly prohibited. I’ll now turn the call over to Dan Poneman.

Thank you, Don. And thank you all for joining us. In a minute I will turn things over to our CFO Steve Greene, who can walk through the numbers in greater detail. But let me hit a few of the high point and office and contact. For the bottom line upfront, we are on track to achieve our revenue guidance for the year in the range $275 million to $300 million. Our revenues from sales of nuclear fuel are mostly locked in as part of large multiyear contracts with major utilities around the world. The timing of those deliveries vary throughout the year with lower revenues when we have fewer deliveries that’s why if you look at our quarterly results over the year, you will notice that our revenues tend to very significantly from quarter-to-quarter. In the third quarter of 2016, we did not have a large number of deliveries, our revenue in the LEU business was $14.1 million with an additional $7.3 million in revenue from our contract with Oak Ridge National Laboratory. Based on the timing of customer orders, we expect that approximately 40% of our annual revenues will come in the fourth quarter and that we will meet our revenue guidance for the year. This is similar to what we saw last year when approximately 40% of revenues also came in the fourth quarter. In the third quarter of 2015, our LEU revenue was $8.8 million because we did not have very many deliveries. The variation between the third quarter and fourth quarter reflected the timing of our customer orders, and we met our annual guidance. We’re also on track to achieve our cash guidance for the year with a balance of $200 million to $250 million at the end of the year subject to a number…

Thank you, Dan. And good morning everyone. As Dan mentioned, we have a light sales volume in the third quarter due to the timing of customer orders this year, but we expect two deliveries for the full year to be comparable to last year, and a large amount of our deliveries will be made in the fourth quarter. We recorded a net loss of $41.3 million for the quarter and $58.8 million for the nine months period. Both of which are improvements from the comparable periods in 2015. We generated total revenue of $21.4 million for the quarter. This is down 7.8 million from 2015 due to lower revenues for our contract with Oak Ridge National Laboratory. Revenue in our fuel business for the quarter was up 5.3 million year-over-year to 14.1 million despite the small delivery volume. For the nine months, overall revenue was $174.8 million which is down 33% from 2015, primarily driven by lower contract services revenue and lower uranium sales for the period. We continue to affirm our revenue guidance for 2016 of total revenue between $275 million and $300 million. Cost of sales were down $30.1 million quarter-over-quarter, but the result in 2015 included a $21.6 million charge for pension re-measurement. Cost of sales for the nine months period was down $117.9 million, cost to sales in the three and nine months period this year also included a valuation adjustment for our uranium inventory. For the three months, our gross loss was $2.1 million an improvement of $22.3 million compared to 2015 also reflecting the pension re-measurement charge last year. For the nine month period we recorded a gross profit of 19.2 million, an improvement 32.4 million from a gross loss of 13.2 million in the nine months period. Our effort to demobilized our centrifuge…

Thanks Steve. Let me just say in closing that we feel good about the progress that we’re making. We’re working to reduce our cost, expand our basis supply and win new sales. We are committed to being the world’s most diversified supplier and taking advantage of lower market prices to offer affordable nuclear fuel to our customer. With long-term sales and supply agreements through at least 2026, and a proven track record of reliable on time deliveries we have a strong base to build on for the future. We are on track to meet our revenue guidance for the year, and to grow our business in the years ahead. Now with that, we’d be happy to take your questions. Thanks

Okay. It will conclude our today. And we thank everyone for your participation and support. And have a good day.

Thank you. That does conclude today’s teleconference. You may disconnect your line at this time. And have a wonderful day. We thank you for your participation today.