Good morning. My name is Nelson and I will be your conference operator today. At this time I would like to welcome everyone to Perrigo’s second quarter 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 period. (Operator Instructions) It is now my pleasure to turn the floor over to your host, Art Shannon, Vice President of Investor Relations. Sir, you may begin your conference.

Thank you very much, Nelson. Welcome to Perrigo’s second quarter 2008 earnings conference call. I hope you all had a chance to review our press release which we issued earlier this morning. A copy of the press release is available on our website at www.perrigo.com. Before we proceed with the call I’d like to remind everyone that the Safe Harbor language contained in today’s press release also pertains to this conference call. Certain statements in this call are forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 as amended and our subject to the Safe Harbor created thereby. Please see the cautionary notes regarding forward-looking statements on page 1 of the company’s form 10-K for the year ended June 30, 2007. I would now like to turn the call over to Perrigo’s Chairman and CEO, Joe Papa.

Thank you, Art, and welcome everyone to Perrigo’s fiscal 2008 second quarter earnings conference call. Joining me today on the earnings conference call is Judy Brown, Executive Vice President and Chief Financial Officer. For our agenda today, first I will provide a brief perspective and discuss a few highlights from the quarter. Next Judy will walk through the detailed financials and talk about our outlook for the year, and then I will discuss our opportunities for Omeprazole, Cetirizine, and provide an update on our OTC business. This will be followed with an opportunity for questions and answers. So let’s get started. Once again, all our segments performed very well on high revenue volumes. We had record sales with double digit sales growth in each of our business segments, plus record operating income up 85% from last year on a 390 basis point improvement in gross margins. These improvements along with the continued focus on working capital generated $67 million in cash flow from operations up $43 million from last year. Judy will discuss our new cash flow expectations for the year shortly. This is another very strong request [inaudible] as a result of ongoing quality problems at an OTC competitor this quarter. This keeps us on track to meet our previously stated target of $90 million to $100 million in annual sales as our team continues to meet our customer needs. Perrigo is also gaining market share in the vitamin business. As we’ve told you repeatedly since our competitor’s [coffee] problems began, we are looking at these sales as part of our business and working very hard to keep these sales in the future no matter who is in the marketplace. Many of you have asked us about the cough/cold season. While the overall cough/cold market is down 4% from…

Thank you, Joe. I am delighted to have this opportunity to share our second quarter results with you this morning. The financials really do speak for themselves. The team is continued to focus on realizing significant revenue growth while at the same time executing against operational improvement objectives and investing in future growth. As we continue to be optimistic about prospects for the balance of the year, we’re updating our earnings guidance for the full year as well. I’ll walk you through those assumptions in a few minutes after explaining our second quarter and year to date results in a bit more detail. Consolidated second quarter sales were an all-time record for Perrigo at $435 million, an increase of $65 million or 17% from last year characterized by double digit sales growth in each of our operating segments. Consolidated gross profit of $130 million was an increase of $34 million from last year, while gross margin was 29.9% of sales, up 390 basis points when compared with last year’s 26%. Consolidated second quarter net income benefited from the strong volume and was $34 million compared with reported second quarter net income of $21 million last year which included costs for a product recall of approximately $3 million after tax. The second quarter of last year also included a small restructuring charge for the closing of two consumer healthcare manufacturing facilities. After tax this charge was $417,000 or less than $0.01 per share. Second quarter diluted earnings were $0.36 this year compared with $0.23 last year and included expense of $0.03 per share for the product recall. Now to provide some color to the results I just outlined, Ill take you through a review and discussion of our business segments beginning with consumer health care. Consumer health care sales increased $44…

Thanks, Judy. Now that Judy has given you all the details of our second quarter and our outlook for earnings and cash flow, I’d like to talk about executing on our plan. This quarter is another example of the company executing our plan. When I joined Perrigo 16 months ago I stressed the importance of executing on our five priorities of quality, customer service, new products, low cost structure, and people development. The first and foremost priority for us is quality. Our team is focused on meeting quality goals while continuing to challenge our cost structure. We are achieving our financial results while increasing our quality expenditures for quality prevention and appraisal by approximately 10%. This focus on helping us to reduce our overall total cost of quality. Quality will always be an important priority for us at Perrigo as we have seen in the market a company cannot afford to cut corners in quality. Our second goal is about customer service, executing good customer service is essential to our sustained growth. We have approved our customer service levels since the middle of last year but we realize we still have room for improvement and are maintaining our vigilance in this area. Our third priority is about executing our new product launches and building our pipeline. Cetirizine was launched during January, ahead of the launch of the national brand. We have an excellent cost position and expect to have more than 80% market share for store brand cetirizine despite numerous other competitive approvals. We have customized marketing programs with on shelf displays, print ads, pharmacy introduction kits, on shelf signage, and more. We believe no other store brand marketer can offer these value added programs to the retailers which is why we expect to have more than 80% of the…

Thank you. (Operator Instructions) Please hold while we poll for questions. Our first question comes from Daniel Rizzo of Sidoti and Company. Daniel Rizzo - Sidoti & Co.: Good morning guys. I think you said that your cough/cold sales were up 11% despite weakness in the market? Is that strictly market share gain from minor health?

Yes, the answer to the question, I’ll go back specifically to what I said. That the overall cough/cold market is down 4% from last year. That’s including both store brand and national brand. I am delighted to share that our Perrigo store brand cough/cold is up 11% predominantly reflecting some of the gains we had in the Leiner pick up from their quality issues, but also just some incremental new product that we’ve added to the portfolio. So really two areas, the Leiner pick up for products like loratadine as well as the new product introductions that we have, also including some of the gains on pseudoephedrine and phenylephrine have really been the three primary areas. Daniel Rizzo - Sidoti & Co.: Okay, and Judy may have said this, but do you expect Leiner health to be shut down for the rest of your fiscal year?

Our updated guidance reflects our assumption that we will service those customers throughout they year, yes. Daniel Rizzo - Sidoti & Co.: Okay. Thanks guys.

Thank you. Our next question is coming from coming from Randall Stanicky at Goldman Sachs.

Thanks very much for the questions. I just have a couple. The first is a follow up. Judy, can you just be more specific, what did you have in guidance with respect to Leiner before and now? Is it the $90 million to $100 million, is that the total, the way we should be thinking about it?

That would be a reasonable assumption, yes. That was the assumption we had given at the beginning of the year of the magnitude of the space. We said our original guidance assumed presence in that space for half a year and we’re now assuming we’re there for the full year.

Great. So just to be clear there, the guidance increase today doesn’t include a change in that assumption?

The guidance today includes our new assumption that we’re present for the full year, the full $90 million to $100 million. Our earlier guidance had only reflected a portion of the year.

If I can add to Judy’s comment, when we originally acquired the business, as Judy mentioned, we picked up $90 million to $100 million in annual sales. What we could not guarantee at that time was the duration of how long we would hold onto that business, and given the fact that in the current environment it appears that our competitor will be out for a longer time period, we have now, as Judy mentioned, increased the probability or certainty that we would keep that business for the full year.

Got it and is it possible to quantify that or to be proportional to the run rate that we’ve been talking about which I think has been roughly $20 million.

It’s a little bit more than $20 million but yes. In some quarters a little bit higher just reflecting the fact that there’s some cough/cold influence in some of the business.

Got it and then just two more quick questions. Judy, obviously, great job on getting the tax rate down. Can you talk about the sustainability of that? It sounds like that is an ongoing run rate. As we think about fiscal ’09, not asking obviously for guidance, but is there a way or an opportunity to further decrease that or is that the new way to think about the more sustainable tax rate for Perrigo going forward?

As we talked about in September at our analyst day, obviously the focus of the tax team is continually finding and implementing tax planning measures so that is their modus operandi. Their entire focus is also driven on looking at the global product portfolio so at the time of our September meeting, I reflected the belief of the tax department given the knowledge of our overall long term product portfolio that the tax rate would be coming down from above 25%, between 25% to 30% zone, down to mid-20s and eventually getting down to 20% to 25%. As you can see, with this year’s forecast and earnings guidance, we’re at that ballpark already for this year and if I look to the future, obviously the specific rate to your comment, hard to give guidance for next year, given that we don’t have a full year top line forecast out yet for ’09, but we will look at the product mix and with tax planning measures in place, we believe that the mid 20s is still a reasonable assumption as a starting point for your modeling and obviously as we know more about the product mix, we will then be revising and being much more specific in the exact percentages for an ’09 run rate, but certainly we’re not in a place where we’re going back to the old days of 30 plus percentage points on taxes. Again, being more specific in ’09, but I refer you back to the September information that we presented in New York.

That’s helpful. And just Joe, a last question, just a more theoretical question, and I think Judy, you mentioned the more aggressive stance in terms of buy back going forward. I’m just curious as to why, with rates decreasing, obviously equity valuations lower than they were a few months ago, what are you seeing? Are you not seeing opportunities from the acquisition front that you would have thought or as it just an internal change in view of capital uses?

Let me add to one comment that Judy made on tax before I get into your second question here on the buy back. Relative to the tax team, they have done just an outstanding job in accelerating some of the programs we had in mind but they were just able to move through them much quicker. Obviously some other activities and new products have occurred. The team is just working really well in executing our plan and just getting things done faster, so much credit to Judy and the entire tax team and what they’ve done with the tax efforts so far this year. On the question of extending the buy back, we looked at our utilization of cash and capital and obviously we’re generating significant amount of cash as exemplified by this particular quarter. We still are looking at the future as to where we go. We think we’ve got a very solid organic growth in our business and therefore we’re generating significant cash, we’re looking at what we can do with that cash, at the same time, we are continuing to look at acquisitions such as the Galpharm acquisition where it’s a nice tuck in, allows us to improve our position in Western Europe, but at this point we feel there is an opportunity to [light] some of the cash in buy backs and we’re going to do that while we still continue to look at acquisition opportunities, but we don’t feel we need to do any acquisitions if we don’t have good, solid organic growth.

Great. Thanks for the call.

There appear to be no further questions at this time.

Thank you everyone for your interest and your questions. I know Judy provided an excellent review. I think you answered most of the questions that possibly could exist so thank you everyone for the interest in Perrigo. Have a great day. Operator Thank you. This does conclude today’s’ Perrigo second quarter earnings conference call. You may now disconnect and have a wonderful day.