Good day, ladies and gentlemen, and welcome to the Scholastic Q2 FY 2013 Conference Call. [Operator Instructions] As a reminder, today's conference call is being recorded. I'd now like to turn the conference over to your host, Mr. Gil Dickoff, Senior Vice President, Treasury and Investor Relations. Please go ahead.

Thank you so much, operator, and good morning, everyone. Before we begin, I would like to point out that the slides of this presentation are available for simultaneous viewing on our Investor Relations website at investor.scholastic.com. I would also like to note that this presentation contains certain forward-looking statements which are subject to various risks and uncertainties, including the condition of the children's book and educational materials markets and acceptance of the company's products in those markets, and other risks and factors identified from time to time in the company's filings with the Securities and Exchange Commission. Actual results could differ materially from those currently anticipated. Our comments today include references to certain non-GAAP financial measures as defined in Regulation G. The reconciliation of these non-GAAP financial measures with the relevant GAAP financial information and other information required by Regulation G is provided in the company's earnings release, which is posted on the Investor Relations website at investor.scholastic.com. Now I'd like to introduce Dick Robinson, the Chairman, CEO and President of Scholastic, to begin our presentation.

Thank you, Gil, and good morning, everybody. Thank you for joining our fiscal 2013 second quarter analyst and investor conference call. For this morning's prepared comments, I'm joined by Maureen O'Connell, CFO and CAO. Our members of the management team will also be available to answer your questions later on the call. And today, I will cover our Q2 performance and key developments during the quarter, and I will then update you on our continuing development of digital reading and learning products for use in school and at home. We had a tremendous year in fiscal 2012 with the phenomenal success of The Hunger Games trilogy and impressive sales of READ 180 Next Generation, and we knew that we would have a challenging year in fiscal 2013 given the timing of our planned product launches and tough comparisons for The Hunger Games. And indeed, 2013 has been a challenging year, and those challenges were exacerbated by external forces as well. On November 20, 2012, we updated our outlook as a result of deferred decision-making affecting sales of our higher-margin educational technology products as school districts focus their spending on professional development training for the new Common Core Standards, as well as lower-than-anticipated sales in the Children's Book Publishing and Distribution segment. Our second quarter results were in line with the revised fiscal year 2013 outlook that we announced in November. Importantly, our operating performance did reflect the sales uplift in several of our businesses in November. To align our cost base with our revised fiscal 2013 outlook, we have immediately begun to implement cost savings actions, which include our decision not to pay management bonuses for this fiscal year. These cost reduction actions, which Maureen will address shortly, will result in savings in the range of $20 million to $30…

Well, thank you, Maureen. Before we open up the call to your questions, I would like to address the news of the Sandy Hook school shootings last Friday morning. This was a school where we have 15 teachers using our magazines, book clubs and other scholastic materials, including one of the teachers who died protecting her children. Through our materials, including our websites, which are used by 1.5 million teachers weekly, we have sadly had considerable experience in helping students, families and teachers understand and deal with tragic events. These events remind us that our teachers and our schools are the greatest support that children and families can have at all times, but especially in times of tragedy and that we must not let this event cause us to fortify our schools or board up our classrooms in fear. Instead, we must ensure that our schools and our teachers can continue to provide families with optimism and hope, coupled with practical ideas for ensuring that our schools remain safe places for learning. We ask our officials to take measures to protect schools and children against school shootings while providing mental health resources and other support our schools must have. As always, Scholastic is proud to provide the ideas and suggestions to help teachers give hope and direction, especially in these most difficult moments, and to continue to make schools a place that is dedicated to the highest and best hopes of society. Our hearts go out to the families who lost their dear first-grade children, and we mourn and honor the 6 educators who gave their lives to protect students, showing the heroism which is emblematic of the teaching profession at its finest. I will now moderate the question-and-answer period. And in addition to Maureen and Gil, I am joined this morning by Ellie Berger, President of Trade; Margery Mayer, President of Scholastic Education; Judy Newman, President of Book Clubs and e-commerce, as well as other members of our executive team. And operator, we are ready to open the call for questions.

[Operator Instructions] Our first question comes from Drew Crum of Stifel, Nicolaus. Andrew E. Crum - Stifel, Nicolaus & Co., Inc., Research Division: Want to start with the education publishing business. Dick or Margery, could you comment on your expectations for timing of implementation on Common Core and the delay or deferment that you experienced in the current quarter, the second quarter? Is that what you view as a onetime item? Or is that possible we continue to see that in front of Common Core implementation? And then, the second question as it relates to ed publishing is it sounds like you're anticipating the System 44 Next Gen product to launch sometime at the end or near the end of fiscal '13. Could we see a bump in revenues for ed tech products in your May quarter?

Yes, the answer to your last question is yes. We do expect a bump in May of 2013, which is the last month of our fiscal year. Drew, I'll ask Margery to address the Common Core State Standards. Of course, those standards affect our entire company and all the things that we do. But they're -- particularly, the delay in purchasing of product has definitely connected to the thought that schools are putting into adapting to the Common Core State Standards, and Margery can address that question for you.

Drew, it's Margery. Anyway, so Common Core, it's interesting how pervasive Common Core is in the 46 states that have adopted it. And we're seeing schools really spending some time and thought on thinking about how are they actually going to make this happen, and that's why a lot of it is going into professional development right now. And all of our professional development teams, our literacy team, our leadership team and our math team are doing a lot of Common Core work. We see Common Core as coming in phases, and we think we're, right now, in Phase 1, which is a readiness and learning phase. And we believe that schools and districts are going to emerge from that rapidly and start thinking about, "Okay, what are the materials that actually we're going to have to use in order to make this happen?" So I think we're extremely optimistic about what Common Core is going to mean for kids and also for Scholastic. All of our new products are strongly aligned to Common Core. We've added some Common Core stretch lessons to READ 180, which we're getting a great reaction to. So I think we have a terrific team of people working on how to make sure our materials support Common Core. I think you know that there's a lot of concern about the new assessments that are going to be out in 2014 and what are -- and the thought that we're going to -- the way they're going to be more rigorous and more kids are going to be -- appear to be having difficulty, and we think that's going to be really, sadly but truly, good for our business. Andrew E. Crum - Stifel, Nicolaus & Co., Inc., Research Division: Okay. Just shifting gears to Clubs. If you take out the impact from the hurricane, maybe for Judy or Dick, can you talk about what you would attribute the weakness -- the underlying weakness in the business to? I think you mentioned lower revenues per order. Any additional color you can provide there and what you can do to fix that business from a top line perspective, at least?

Sure, let me -- I'll ask Judy to address that, but let me just give you a thought here, Drew. As teachers use our e-commerce more effectively, and almost 85% of them are using it now, there seems to be a trend toward many greater orders but they're smaller orders. And we're analyzing that, and we're putting in promotion ideas that will help the teachers expand the revenue per order. That's a key part of the situation. There's a tremendous amount of engagement from our 800,000 teacher customers. They're ordering more, more frequently, but we're -- the issue seems to be, are they ordering differently and ordering lower-priced product because they're able to search more through our system? And how can we return them to ordering more broadly from all their classes and engage more kids and parents in the process. There's also some very good support for the PCOOL, that is the PARENT COOL, where parents are ordering through credit cards right to the teacher, and that's -- the people who are doing that are buying more and buying more frequently. So there are several trends going on there, and we're trying to piece them together. Judy can enhance that with her comments.

Drew, we are seeing, as Dick said, a huge adoption of our COOL system by teachers. About 85% of our 800,000 teachers are actively ordering on COOL. And so what we're experiencing in all this huge surge of orders is the parents sort of starting to move onto PARENT COOL under the teacher's direction. And when -- as Dick said, when the parents are online ordering, we're seeing higher revenue, more units, more engagement, more frequency. And so we're all about sort of transitioning some of those "paper parents," if you will, onto PCOOL. And when we do see that dynamic, we see a lot of more larger orders rather than just smaller orders, which we see more with the paper people. So we're very optimistic as we move these people to online. And of course, we are also offering e-books through the club channels, and we're starting to see great adoption among parents and teachers there. So we see a great future as people move online into digital to this tried-and-true marketing channel where there is so much activity amongst so many classrooms Andrew E. Crum - Stifel, Nicolaus & Co., Inc., Research Division: Great. Last question from me, just with respect to The Hunger Games, you mentioned the paperback for Catching Fire next year, along with the theatrical release. As I think about, historically, what Harry Potter sales did in conjunction with theatrical release, is that a fair way to think about book sales for Hunger Games going forward? I think you guys would generally get about $10 million to $15 million in the quarter that coincided with the theatrical release around Harry Potter. Is that how you're thinking about Hunger Games sales for fiscal 2014? Or maybe you can provide some color there.

Before we turn to Ellie, Maureen has some comments she would like to make on this point, Drew. Maureen E. O’Connell: Yes. I'd say we are expecting a sales increase with the movie release. We were disappointed with the video release that we did not see the lift that we had anticipated. So we're not expecting as much as we would have expected with The Hunger Games release, but we will have assumed lift for that.

Ellie, you want to further comment?

Yes. No, I think that the strong -- the sales actually, right now, are very strong on the core books. We -- as Maureen said, we didn't see the lift we had hoped for against the DVD, but we're seeing tremendous sales right now on the box set. And as we go towards the movie, we expect to working closely with Lionsgate in making sure the book's out in front of the section and selling strongly.

[Operator Instructions]

Well, thank you all for supporting our conference call. We have a strong cost-cutting program, with some signs of pickup in our revenues. We believe we will enter -- we'll finish our fiscal year as promised. And we thank you for your support and wish you a very, very happy holiday season.

Ladies and gentlemen, this does conclude today's conference. You may all disconnect, and have a wonderful day.