Good day everyone. Welcome to the Roper Industries Fourth Quarter Year End Financial Results Conference Call. This call is being recorded. At this time for opening remarks and introduction, I would like to turn the call over to Mr. John Humphrey, Chief Financial Officer. Please go ahead Mr. Humphrey.

Thank you Sophia and thank you all for joining us this morning, as we discuss the results of our 2007 financial performance. Joining me this morning is Brian Jellison, Chairman and CEO, and Paul Soni, Vice President and Controller. Yesterday afternoon, we issued a press release announcing our fourth quarter and full year financial results. In addition, we issued a press release announcing the acquisition of the CBORD Group. The financial release also includes telephonic replay information for today's call. We prepared slides to accompany today's call which are available through the webcast and are also available on our website at www.roperind.com. Now, if you please turn to slide two; you will once again see our Safe Harbor statement. I want to remind you that today's call will include forward-looking statements, which are subject to risks and uncertainties as described on this page. Additional information about specific risks are included in our SEC filings. I would encourage you to listen to today's call in the context of that information. And now, if you'll please turn to slide three, I will turn the call over to Brian Jellison, Chairman, President and Chief Executive Officer. After his prepared remarks, we will take questions from the participants. Brian?

Thank you, John and good morning everyone. The first slide, just is a summary of what we will go through today, our fourth quarter highlights and then our full year results and during the quarter results, we will look at individual segment performance. We'll introduce you to the of the CBORD acquisition, why we think it's particularly successful one for us and then we will talk a little bit about our 2008 guidance and cover some information around sort of historical perspective. We've gotten a lot of questions over the last three or four months about what kind of performance would one expect out of Roper if there is this economic downturn and how can we look at 2001 and 2002 and coming out of that timeframe relative to looking at what we could be entering in 2008 and I think that perspective maybe helpful for everybody. And then, we'll sort of summarize what we said and get into Q&A. So with that, we could take a look at the first slide, which is how the enterprise performed in the fourth quarter. Here you see sales, orders, EBITDA operating cash flow, operating profit, net earnings and diluted earnings per share all reached the highest level of any quarter in the history of the company. We had internal growth of 14% on the sales side with about 3 points of foreign exchange and total growth including prior year acquisitions was up 20%. We ended the year with a record backlog, $532 million, which gives us continuing strong performance, which we are going to detail in a second, around book-to-bill ratios. You may've noticed in the first quarter on a nominal quarterly order rate, it was not a double-digit number, but that's really very misleading as you'll see. Operating cash flow was…

Okay. thank you Brain. On the next slide talking about the CBORD group, just kind of what it does it's the leading supplier for integrated card systems, security solutions and food and nutrition management software, serving the markets to buy that Brian talked, their expensive software capabilities across the enterprise, very high degree of recurring revenue which I will talk about on in our future slide. And the experience leadership team really demonstrates the type of commitment and passion that we are all so share. It does have a 30 year history with long established customer relationships and offers multiple growth opportunities not only among itself but also with the application of other activities and technologies that we have inside the radio frequency. Providing channel access into those markets for TransCore and Inovonics and it will be able to help CBORD grow even faster on a global basis. You go to the next slide; talking a little about the university and college markets. There is some very good growth drivers here, in terms of increasing demand to be able to utilize this one card in the wallet idea, for all of the students and type of the members. To be able to utilize that now only for transaction services but also for other integrated campus wise solutions that's electronic access for getting into buildings or chemical labs or other recreation building facilities. So that single card will be able to migrate not only from food service and buying whatever the student might be on campus, but also allowing them access into the areas that are authorized for. There is growing discretionary spending both on campus and off campus use and CBORD has the unique ability to be able to take this close loop network with inside the university and be…

Okay, thank you John. So we go past 2008 guidance slide. First, with below our historical perspective about trying to answer questions people had about so, you know I read people talking about how Roper will perform in 2007 to '08 based on what is, what it might have done in 2000 and 2001 and I just want to clarify few things about the company we are today, you know, the vast majority of our business is coming from secondary growth in water and RFID, in security and software applications, recurring revenue business models that really off set much of the risk to the economic downturns. In 2001 and 02, Roper had 10% of its total sales coming from Russia and those were at extremely high levels of profit contribution. Today that is a totally de minimis activity. Second big contributor was semi-conductor capital spending around water resist pumping technology, as people building out the industry and you have also the automobile motion photography business which was primarily domestic market, neither of those who material in any way to the enterprise. Our asset velocity in 2002 was 18.9% of sales. Today our asset velocity is 10% of sales. That freeze up a lot of case and also equally importantly, they are not going to have inventory risk not going to have any kind of adjusts that occur in situations where you had been operating in a different kind of a business system and we really transform the company during these periods back in 2001, ISO is a holding company you know, at more into little more of an operating company is we created a it segment strategy and then it went into the market driven industrial. We are proud that the things we bought today is truly a diversified growth…

Cynthia are you there? Question And Answer

Are you ready for questions, sir.

Yes, we are.

Very good. [Operator Instructions]. We will take our first question from Christopher Glenn with Oppenheimer. Please go ahead. Christopher Glynn - Oppenheimer & Co.: Thank you, just want to follow up on the international team, little bit. I think three things that's stuck to me over the prior year you had the Middle East project in the tolling and recent press release on electronic equal registration Bermuda and today you mentioned the first international deal with AMR I believe, so that mean what kind of signals with those on traction and streak credentials per really showing those, those pieces a little bit that's how international?

Well. we didn't really say anything about America we talked about Neptune business and water meters. Christopher Glynn - Oppenheimer & Co.: Okay.

And that's not automated meter reading, we are actually talking about installing water meters in residential mode and it may made well include AMR technology associated with it. But its not necessarily being met with the AMR technology one its own. It's an integrated kind of a business. I think that when you are taking business more into global venue and takes a time to build scale and what we do is we have the ability to get people in front of the right individuals. We have the ability to add scale increasing to what anybody is going to do and its always is easier for somebody with a $5 or $6 billion market capitalization to come in and talk to foreign country about what there is smaller entity is going to be able to do to sustain itself. It can do usually do better job on working on letters of credit and sophisticated contracts and local service. So, the growth in our international business was strong in the year prior, if you excluded those growths, you still have very substantial growth across the board and in our businesses we have wonderful international based operation businesses that continue to grow nicely. I think that our growth focuses a core competency throughout all the businesses we have and the various its going to point to pop-up in an area you don't know. We are focused on all of markets that we can get access to with a right kind of product mix. It so happens that you had a very strong international performance last year. And because we don't tend to detail where everything is going everywhere, we probably have under educate people on the strength of our capabilities internationally. That's why I wanted to cover it in the summary today and read it in the K when it's released, but it that... probably deserve the conversation we created. Christopher Glynn - Oppenheimer & Co.: Andwhat are you seeing in terms of the market ability of electronic vehicle registration in the U.S.?

Well we think its time has come but we are a provider I think its going to have an exceptionally slow growth execution process there is a lot of forces aligned against it we work hard to try to demonstrate how valuable it can become but there is no application in the U.S. today for electronic vehicular registration in the context we are doing in some other parts of the world. Christopher Glynn - Oppenheimer & Co.: Great, thanks very much.

Welcome.

We'll take our next question from Michael Schneider with Robert W. Baird, please go ahead.

Good morning guys and congratulation on a great quarter in year again.

Thank you Mike.

Maybe we can focus on Neptune for a minute and stick with this international theme but... it was my understanding the reason they had not gone overseas was principally because of differences in code specifications and measuring our measurement units etcetera, can you describe and I guess what's going on in the product design or adoption it really what is the market size or can you address the global market or is it only English speaking and English measurement countries.

The market globally have hasn't changed I mean you are right. If you look at Europe oil pressures are different they are lot more submetring plus individual residential, things like that this is a an application that we have been looking at for a while so there are pockets of opportunity where you have situations that are existing technology is exportable and we have been able to be successful recently in three of those but we haven't redesigned the product this is our existing product and our existing data capture capability getting applied to markets that I think people fortunately for us weren't focused on didn't realize we were there and after they matured a little bit it will probably talk a little bit more about it and why they were, today you couldn't say that we think Neptune is constrained internationally by markets that have different water pressures in different sizes and configurations but fortunately there are pockets of opportunity and we tend to be pretty good figuring out where they are and seeing what we can do in them and this is one in an emerging country that happens to have very solid desire for world class infrastructure and so we kind of participated in that strategy for them.

Okay and then as far the domestic market goes have you done any sensitivity analysis to Neptune disclosure as states begin run budget deficits now and just wonder 39 deficits right now what is impact is on just core meter spending and I guess what are the most recent trends?

Well that the only place that we really stated the country that's that had measurable flow back in the state of Florida, there is some unique things going on down here but we have looked that at more than a 25 year trend of different economic down turns, Neptune never had our...a flat or negative number the worst case preferred three times in the last 25 years and it had 3% of revenue growth so you know they feel confident that they going to have another record year in 2008 they will get benefited from some of these international stuff, they probably as not a year they can grow at 10% if things continue down but I would better against them, that any body can do as they can.

We will take our next question from Jeffrey T. Sprague with Citigroup Investors Research. Please go ahead.

Hi good morning everyone?

Hi good morning Jeff.

Can we quick really a little bit more on CBORD certainly looks were unique from our return stand point while it does I guess part parcel is that kind of out side kind of that window EBITDA multiples you use to talk about just on some rough map based on what they said?

No its pretty high margins business Jeff. We are just not get too specific about that and then and it is something we have been working on for months and it has you know, some unusual synergies for us with existing businesses, so it is it certainly at the high end as any multiple we have ever paid but its...its well worth it because of the cash it generates and the growth it has.

You just to be clear do you own it as if Wednesday or you?

Yes. We closed Wednesday... we close Wednesday when we issued two press releases, that was just so I mean so closed, literally we paid the cash on Wednesday it, So it is a Roper business effective today and it will generate you know we tend to look at first year EBITDA performance it because, trailing multiples and adjusted EBITDA are properly lot of difficulties particularly when you are working with, with our friends in private equity. This is a business its going to generate over 35 million as EBITDA in 2009 and its going to grow nicely. And you know, that when you look at the fact we're picking up to $23 million tax benefit against the $367 million purchase price, we will have a cruise over time, I still going to come you know a fairly nice pay so it fits within our you know is not paying over 10 times next years number.

We will take our next question from Wendy Kaplan with Wachovia. Please go ahead.

Thank you, good morning.

Hi, good morning.

And I guess, CBORD is the most important question to be asking this morning and we seem to be a little live on details, is there a reason for that?

Well, it closed Wednesday and you know, we are riding welcome to Roper letters and the press release side what details would.

So, I guess in terms of, it sounds from your comments so it's about a 100 and 120 million in revenue, is that right?

I think it will do that kind of stuff over the next 12 months it's current run rate is around 8 to 10 million.

Okay. And the competitive environment in terms of market position or shares?

It is a strong when most people think about CBORD they look at another publicly traded company called Blackford. They resemble BBB and Blackford you can get some sense about how people feel about the multiples of that enterprise and what is worth, they are in all line of other educational aspect that CBORD's not in and CBORD are much more focused so they really are they would see each other occasionally on campus, but I think they, you know, we don't know Blackford well. I think they have their own unique business model what we see when CBORD is an opportunity to invest in the business from a growth perspective and to look at global markets and moving out on a variety of sweeter products they have to offer and by getting access to our engineering capabilities that exists in radio frequency and some unique things we're going to do with antibiotics as well sensor technology and CBORD's existing marketing plans and capability.

We will take our next question from Alexander Blanton with Ingalls & Snyder. Please go ahead. Alexander Blanton - Ingalls & Snyder: Thank you. By the way as before I said, operator is cutting people off, not allowing them to have a dialogue receive.

Yes. I think Alex its two questions at a time and then I know that for back for the follow up. Alexander Blanton - Ingalls & Snyder: I went to the CBORD's website last night. It's very, very interesting and I recommend to look at it. On that site there is a press release in January 10, 2008, a new computerized campus exit into the CBORD and the itself is stale black. So that gives you the idea [indiscernible].for quite of few years, if that is the case that you have been talking with the people and thinking about this company and could you just give us a little background on that and lets move into business very, very well?

Yes, it is a...you've certainly, you wouldn't be wrong about that. I do believe that CBORD had some relationships there. They have relationships with other people. Yes, I do know that company well because of that people that I know and you know everybody has always spoken highly at CBORD. I think that this is sort of what we do, we look at private equity, we look at things that private equity earns, we have kind of wish list around the assets but we I think eventually would become available, you know, we broke, whether they might be available. In this particular case I could tell you we had advisors work with us like Hal Rich, and Niels Nielson and they were close to the private equity people and were well aware that they were considering doing something. They had probably different ideas always these things are so attracted but would have been an easy IPRO wide range of things that I could do to private equity people to own them are very sophisticated folks and we got the wonderful door opening opportunity as a result of that and one thing led to another and today we are proud owners of what we think, we think it's a great company. Alexander Blanton - Ingalls & Snyder: But I wonder if you had kept in contact with these people?

No I didn't, I do know people who did but no I didn't have any prior relationship with CBORD. Alexander Blanton - Ingalls & Snyder: And the second question is on fourth quarter orders, you said a lot about full year orders but not too much about the fourth quarter. I think it because of comparison sir or other difficulties that you mentioned in some cases?

Well orders is not bad, there were up I believe 6% or something. They have pulled down a little bit because we can't really adjust for the red like thing, but the book to bill is really strong and as long as the book to bill is with the true... the way things go, you know, we are satisfied and so we wanted to talk about the book to bill ratio at the enterprise level so people would kind of get a sense of what is there because we had an anomaly there in the fourth quarter of '06 and we thought it needed to be exposed I think some people saw that comment around it this morning but we are not seeing any kind of major fall off in order flow in the company. So, frankly as we went through the planning process and we just had our strategic plan and kind of offsite with the board in January and as a different segment, leaders making their presentations and I think people felt strongly about our idea and I think that's reflected in the guidance we established for 08. Alexander Blanton - Ingalls & Snyder: Thank you.

Welcome.

We will take our next question from Matt Summerville with KeyBanc Capital. Please go ahead.

Good morning, just couple of questions CBORD, Brian, how much of CBORD business would you say is hardware versus subscription versus software?

Well the subscriptions review and the service related to are more over half the business, the hardware raised would be the least portion of the activity. CBORD acquired a Diebold's Access Control business for these kind of applications and haven't owned it very long and they are really improving that business at a very fast pace. So, may be a third.

Okay and then you have any sort of market breakdown for CBORD in terms of how much this colleges, universities versus healthcare versus some of the other markets you highlighted in the press release and then the same thought domestic versus international sales there?

A very little international sales, I do have some in those countries that we mentioned in the separated dedicated CBORD press release, which you can see on our website. But the opportunities internationally, when we were discussing this with the board you know, it's our international folks on board. We have already started a process to look at some dialogue outside the country for these applications, that's where myself and others are well aware of opportunities, better if there. I think that the college, university piece, just in the swag as probably you know 60% to 2/3rd with healthcare being kind of being 1/3rd.

Okay, great and just back to Neptune, how much of their business in '08 based on your order flow you are seeing international, would you anticipate the non-US?

That we take Neptune you ask, I'm sorry.

Based on the order flow you seen outside the U.S?

Well, what we have is a ... we have strong sales in the Canada, we have strong sales in the Mexico and now we have a unique relatively a meaningful sale into another continent that is in its early phases was significant shipments in Q1 what will happen to see that build up goes and how quickly these people can kind of simulate the meters regarding going country and do training and help the installation get going side, I don't know it's not going to be enormous, but it certainly not to offset what we might have thought was a little bit more risk in 08 now we think we have put.

Andthen just one quick question on TransCore and then I will wrap up. Outside of the opportunity in middle east and I apologize if you already hit on this but can you talk about what you are seeing internationally in that business and what other opportunities you see on the horizon there?

It is the unique business in terms of it having public interest and the people not allowing us to comment on what we are doing where but I can tell you because of the extreme visibility of the application that's in place now and the rate which it's growing that we have a record level of inputs and other countries in the region and in the area and so we are certainly active with a lot of dialogue. I do think that it takes months, if not a year to get anything to happen as those things are on hold, but I know people are surprised about the speed with which we have executed this and the effectiveness of what we have done in a very harsh terrain. So it can only help where we are going.

Great thanks a lot Brian.

We will take our next question from Dean Dray with Goldman Sachs, please go ahead.

Thank you. Good morning, Brian I would like to hear some of the additional assumptions baked into your 08 guidance if you could, should you think its true why internal grow of assumptions for 2008 and maybe how you expect the US versus international script, would be an and how about a contribution from pricing. How is pricing looked in 07 and we do you think about 08?

Well, I think if you look at pricing, we showed the chart with a gross margin for the last 3 years which has been hovering between 50.0 and 50.4 so, we are not seeing difficulty in pricing we do certainly some bid work, all the time but prizing pressure hasn't been unduly harsh. I think that, we find it consistently we think we have a growth of 1.5 to 2 times in GDP but if you have a notebook economy, you are simply going to through in mid single digits at 6% or more and totally even if there isn't any growth in the economy, we have gone through a period like that to be able to say what that growth really will look like. I think that you do have a certainly all of our businesses that are focused on America and Asia are going to continue to do well, we don't have a lot of exposure in Russia because of historical activity there and we don't have a lot of exposure in India because the kind of products we have generally are not... adoption rate there is relatively modest. So, if you think about four percent [ph] area for us going to be more in south America, Asia and China and those markets continue to be robust.

And what specifically is the internal growth assumption for 08?

Don't have a one we are not providing any revenue guidance, we are worried about our cash flow and our EBITDA and we are lot simply worried on debts because everybody is interested. We just make it about cash on cash returns of getting that assets, think down and lets continue to do transaction with our shareholders frankly and that's all we going to do.

Sure, and then, second question related to the pipeline and NM&A, I recall back in November, you talked about three potential deals coming down to the wire, sounds like CBORD is one of them, about the other two and what does the pipeline run?

Well pipelines are still very good, I mean we ... we've been dancing around because of our CBORD being in our view the most attractive thing that you could do and needing to get it done and making sure we ... that we maintain our flexibility. We have winded the worlds depositing CBORD, we are not fully interest seeing any longer then we have a wind up we are continuing to have conversations about that's interesting. But the opportunities and the number of downfalls we've had in ... frankly from the beginning of the year, it is pretty solid and we have opened a dialogue on a lot of different things but will be opportunistic in terms of what we do, we don't have a budget around what we are going to achieve, I think you know, we spent $474 million in the last 12 months and we got a run rate always to able to do $400 million or $500 million over in '08 12 months period and our strategy we need to keep the balance sheet of labor that in a way that is friendly to shareholders that keeps us investing great.

Great. Thank you.

We will take our next question from Scott Graham with Bear Stearns. Please go ahead. Scott Graham - Bear Stearns & Co.: Good Morning, Very nice quarter.

Thank you. Scott Graham - Bear Stearns & Co.: I just wanted to maybe look at the book to bill little bit differently. If you don't mind I understanding off course that you have tough comparison and book to bill is not the perfect way to look at you guys, but when we expect the RF business because its obviously got its own unique dynamics the rise in orders versus the rise in sales this quarter well there is a pretty big discrepancy there, and really the rise almost if you wanted to call that a sort of percentage book to bill was a the rise in orders was only about 60% of the rise in sales and again recognizing that have, have tough order comp on some of the other business. I am just wondering if you not giving in organic growth assumption for 2008, may be shed some light on the book to bill may be from that perspective and why you feel you know comfortable with you know the guidance that you have given because its don't look like Brian that the businesses particularly scientific and industrial with those businesses underlying water trends have, have the pre notably slow then last couple of quarters?

Well I think Scott this John. I think we talked a little bit about what's going on inside scientific and industrial imaging and particularly the impact from the touchscreen and the fact hedge funding is that historically low levels in that US which does effect come on a secondary bases some of the in market demand for some of the higher and camera applications that we have there that it is one those areas inside the imaging where we have not add in control of the end user demand as we are across the other parts of the enterprise. And then as you, as you going to feel the union I mean obviously if you fill the back part you will obviously see some anomaly inside there industrial technology is the other area where because of the occasional projects that will happen inside Neptune, you will also get some anomalies and with in lower private list out every single one of them on the book to bill, chart that we provided, but as we look at it and as we need continued to work with the business, they drive down there cycle times, increase there recovering revenue. We would look this year situation with there book to bill is always at one because they are getting the order on Monday and they are shift in order on Tuesday, and so we are...we are continuing to move towards that direction, but we do have some projects that we will occasionally make that a lumpy apart from different parts of business.

I know, I think you are missing the full year versus one quarter and you are also missing the fact that we have Redlake Motion business we contributed others, which is not adjusted to more in base. So you are getting on a flat basis that you look you don't have apples and apples. Scott Graham - Bear Stearns & Co.: I agree, I agree with that, absolutely I am still, I think that the discrepancy is more than that however, never less if in fact there is something that occurs in the first half of this year that may be reduces you know the volume that the in take pace of orders, Brain what do you have ready right now in terms of cost reductions that make sure that the guidance staying put?

You know, its got a, I know you are interested in cost reduction we are interested in motivation and we are interested in land market growth, we are interested in custom service, we are not a traditional manufacturing company, we are not a machinery company. We are not a company that has heavy assets, we are a company that you can see as $30 million of depreciation and $about 30 million of CapEx as it doesn't match the profile been able to business did you cover and you know, I suggest that you want to really come down and have a meaning which John and myself will be glad to do it, but this is a business that's going to be driven by continuous improvement and growth. We don't have a business to run a cut to the bone, because we had a short fall in inventory management from a distribution. Scott Graham - Bear Stearns & Co.: Fair enough, as I said Brain, at the top congratulation on a good quarter.

Thanks.

We will take our next question from Michael Schneider with Robert W. Baird & Co. Please go ahead.

Hey guys, maybe we can just visit one quick time but the freight matching business is 2007 close in 2008 unfolds here, what is the benefit or I guess the hit now of the freight matching business growing within the best versus the tag business. It is clear the trucking industry is slow, as I understand that's actually good for the business. So could you give us an update and kind of how the year end trend finished and then what the benefit here will be of margins and growth in 2008 and that growth?

Well, what happens there it is kind of two folded in a way you are framing it correctly that, if you think about subscribers, if people are staying in the job it use to be that they would be shift out cyclically get into home building and what's happen in an home building drivers will stand more on line, so you don't have maybe as much attrition as you would normally have in terms of subscription fees. We also improved the offering we have which we charged more for certain types of things that people can get from the 360 Program. So, the average subscription is not lower than it was before so that's helpful. We haven't really seen, you know, major fall out, we have been able to sustain and I think because of the coverage we have that kind of equal coverage on the internet for posting loads and reading the data at point...moment we don't have a floor, we are not really seeing if they grow up, we did have some growth in the fourth quarter in Canada so, we are not envisioning that being much of the drag on a weak performance.

Okay then sticking with margins in that segment as you look back in 07 can you give us a sense what the international project having fully shift at least on the initial installation. Does that mean that the tag mix rose in 2008 again to the benefit of margins?

Well, frankly it did better in '07 and we expect it because the customers adopted the tag in a higher rate I believe and perhaps people thought they would in country. So we more follow on tag orders in '07 than we expected, I think the margins in '08 will be at least as good as the margins were in 07, because we will be behind the initial install which has the lowest margin than anything. So, we are feeling pretty good we had good deal or multiple protocol reader adoption and that's going to roll into 2008 we believe so, that will help us as well. So I don't see margin deterioration in the segment I think anything we would see some expansion of margins.

That will end our question-and-answer session for this call. We now return back to John Humphrey for any closing remarks.

Okay. Thank you Cynthia and thank you all for joining us today, and I know a few of you maybe had some follow up questions that we were not able to get to. And we will work on the process to make sure that we allow a few more of those, sorry, about anyone who got cut-off. And I will be available this afternoon to handle any of the follow-up questions you might have. Thanks everyone and we look forward to talking to you in about another nine weeks.

Ladies and gentlemen this will conclude Roper Industries fourth quarter year financial results conference call. We thank you for your participation and you may disconnect at this time.