Wendy Wilson - Senior Director IR and Corporate Communications Bill Clancy - Chief Financial Officer

Good morning, and welcome to the Vishay Precision Group’s First Quarter 2013 Earnings Conference Call. All participants will be in listen-only mode. (Operator Instructions) I would now like to turn the conference over to Wendy Wilson. Please go ahead.

Thank you, operator. Good morning, everyone. Welcome to VPG’s fiscal 2013 first quarter earnings conference call. An audio recording will be made of the conference call today including any questions or comments that participants may contribute. By now, you all should have received the first quarter earnings press release and we hope you will take time to read through it as it does contain important information. The audio recording will be available on the Internet for a limited time and can be accessed from the VPG website. The content of this conference call is owned by Vishay Precision Group and is protected by U.S. Copyright Law and International Law. You may not make any recordings or other copies of this conference call and you may not reproduce, distribute, adapt, transmit, display or perform the contents of this conference call in whole and or in part without the written permission of VPG. Today’s remarks are governed by the Safe Harbor provisions of the 1995 Private Securities Litigation Reform Act. Actual results may turn out significantly better or worse than indicated by any forward-looking statements that we may make today. For a more complete discussion of the risks associated with the operations of Vishay Precision Group, please refer to our SEC filings, especially the Form 10-K for the year ended December 31, 2012 and our other recent SEC filings. I would like to also add that our CEO, Ziv Shoshani has laryngitis today and will not be able to speak. So, Bill Clancy, our CFO will be giving the presentation this morning. Bill would you like to start?

Yes, thanks Wendy. Good morning, everyone, and thank you for joining us on our call today. I like to start by reviewing some first quarter highlights and then summarize on the financials. Overall, I’d say we had a good quarter. Sales increased 12.6% sequentially and 2.9% over the first quarter of 2012. And we reported a year-over-year and sequential improvement in the gross margins and operating margins a benefit of acquiring the Kelk business which has higher margins than ours. Excluding the Kelk business our consolidated book-to-bill has grown to 1.04 and market demand continues to improve in all segments. Based on these factors we are providing second quarter guidance of $60 million to $65 million. For a brief review of the financial results let’s start at the top. For the first quarter we reported revenues of $57.5 million, a 2.9% increase compared to $55.8 million for the prior year period. The consolidated gross margin for the first quarter increased to 36.9% compared to 33.8% for the first quarter of 2012 due primarily to the impact of two months of Kelk’s results in the first quarter and improved gross margin in our Force Sensors segment. Selling, general and administrative expenses for the quarter were $17.8 million or 31% of revenues compared to $16.5 million or 29.6% for last year’s first quarter. The increase of $1.3 million from the prior year is primarily due to the inclusion of two months of Kelk’s results of $1.7 million offset by $200,000 on a loss on sale of fixed assets which occurred in the first quarter of 2012 and $200,000 of savings in travel. In March of 2013, we record a restructuring cost of $400,000. This is comprised of downsizing cost in our subsidiary in Japan. This is a rare event in Japan for…

Thank you, Bill. Thank you everyone for calling in today. Because Ziv is unable to talk we are going to hold questions for our call today and if you do have any questions, please feel free to contact me and we will take care of them. Thanks again for dialing in and we hope to have you on the call next quarter.

Thank you very much. The conference is now concluded. Thank you for attending today’s presentation. You may disconnect.