Welcome to the CPI Card Group Second Quarter 2018 Earnings Conference Call. At this time, all participants will be in listen-only mode. [Operator Instructions]. Please note this event is being recorded. I would now like to turn the conference over to William Maina. Investor Relations please go ahead.

Thank you Kate and good afternoon everyone. Welcome to the CPI Card Group second quarter 2018 earnings conference call. Participating on today's call from CPI Card Group are Scott Scheirman, President and Chief Executive Officer and John Lowe, Chief Financial Officer. Before we begin, I would like to remind everyone that this call may contain forward-looking statements as they are defined under the Private Securities Litigation Reform Act of 1995. Please refer to the disclosures at the end of the Company's earnings press release for information about forward-looking statements that may be made or discussed on this call. The earnings press release is posted on CPI's website. Please note there is also a presentation that accompanies this conference call and is also accessible in the IR section of our website. Please review the information along with our filings with the SEC and on SEDAR for a disclosure of factors that may impact subjects discussed on this call. All forward-looking statements made today reflect our current expectations only and we undertake no obligation to update any statements to reflect the events that occur after this call. Also during the course of today's call, the company will be discussing one or more non-GAAP financial measures, including EBITDA, adjusted EBITDA, adjusted EBITDA margin, adjusted net income and loss, adjusted diluted earnings and loss per share, and free cash flow, all reported on a continuing operations basis. Please see the earnings press release on CPI's website for all the disclosures required by the SEC, including reconciliations of the most comparable GAAP measures. Please note that this call will conclude after our prepared remarks. And now I'd like to turn the call over to Scott Scheirman, President and Chief Executive Officer. Scott?

Thanks Will and good afternoon everyone. Thank you for joining us on our second quarter 2018 conference call. Before we begin, I'd like to formally introduce and welcome John Lowe, who joined CPI as our new CFO about eight weeks ago. John joins us from SquareTwo Financial Corporation, a Denver-based financial services company, where he served as Chief Financial Officer. During his eight year tenure at SquareTwo, John helped to nearly double the size of the company before it was acquired in June 2017. We couldn't be more excited to have John as part of the CPI team, and he has already started to make a positive impact during his brief time with us. As you probably read in our press release this morning, we have announced the sale of our U.K. business to SEA Equity. We believe the sale of our U.K. business will strategically enable us to sharpen our focus on executing our key priorities across our core customers, markets and businesses, including secure cards, personalization, instant issuance and prepaid. In summary, we believe this transaction will benefit both organizations, better enabling CPI and the U.K. business to excel in their respective core markets. I'd like to take this opportunity to thank our U.K. colleagues and wish them all well. Now turning to the second quarter. We delivered solid second quarter 2018 results, with operating performance in line with our expectations. A summary of these results can be found on Slide 4 of the presentation. And as a reminder, all of the figures presented reflect our U.K. Limited segment accounted for the discontinued operation as required under U.S. GAAP. We generated revenue of $61.5 million, up 12% year-over-year. We delivered revenue growth across both our U.S. Debit and Credit and Prepaid Debit segments. Prepaid Debit growth in the…

Thanks, Scott, and good morning, everyone. Before taking you through the quarter, I'd first like to say how excited I am to join CPI Card Group. I've been here for nearly two months, and my time with the company has served to further solidify the reasons why I decided to join the CPI team. From a business perspective, I was very attracted to CPI's strong position in our market space, its talented and dedicated team and history as an innovator in the industry. In my short tenure at CPI, I have been excited to learn that our management team is very focused on serving our customers, improving business performance and making investments to put CPI on a path of financial improvement and growth. This is a direct credit to the organizational culture that Scott has instilled into CPI and the hard work of the entire organization. Looking ahead, my focus will be finding areas where we, as a company, can drive even greater value to our customers and continue to improve our performance. To that end, I'm excited to partner with Scott and the rest of the team to build on our leadership position in the market and further our company's long-term vision for growth and innovation. Before I discuss our financial results for the quarter, I'd like to share some more on the sale of our UK business, which closed on August 3. The UK business is in a challenging market and had an operating loss of US$2.8 million for the six months ended June 30. We sold the UK business for US$4.5 million and will receive approximately $0.3 million in cash proceeds after paying off the UK business's debt and other liabilities. In addition, the structure of the sale created a future tax benefit to CPI of approximately…

Thanks, John. In summary, we are pleased with our second quarter results and are on track with our business plan through the first half of 2018. The execution of our key priorities is driving solid progress in terms of new business wins as well as business process improvements and an unwavering focus on serving our customers well. While we still have a lot to do, I am pleased with all that we have accomplished so far and want to thank our entire CPI organization for their dedication and tireless efforts towards our goals. We look forward to sharing our continued progress with you. Operator, you may now end the call.