Ladies and gentlemen, thank you for standing by and welcome to the Second Quarter 2016 Earnings Conference Call. [Operator Instructions] I would now like to turn the conference over to Mr. Peter Henrici. Please go ahead, sir.

Thank you, Paula. Good morning and welcome to Vishay Intertechnology's second quarter 2016 conference call. With me today are Dr. Gerald Paul, Vishay's President and Chief Executive Officer; and Lori Lipcaman, our Executive Vice President and Chief Financial Officer. As usual we will start today's call with the CFO, who will review our second quarter financial results. Dr. Gerald Paul will then give an overview of our business and discuss operational performance as well as segment results in more detail. Finally, we'll reserve time for questions and answers. This call is being webcast from the Investor Relations section of our website at ir.vishay.com. The replay for this call will be publicly available for approximately 30 days. You should be aware that in today's conference call we will be making certain forward-looking statements that discuss future events and performance. These statements are subject to risks and uncertainties that could cause actual results to differ from the forward-looking statements. For discussions of factors that could cause results to differ, please see today's press release and Vishay's Form 10-K and Form 10-Q filings with the Securities and Exchange Commission. In addition, during this call we may refer to adjusted or other financial measures that are not prepared according to generally accepting accounting principles. We use non-GAAP measures because we believe that providing full information about the operating performance of our businesses, and should be considered by investors in conjunction with GAAP measures that we also provide. This morning we filed a Form 8-K that outlines the various variables that impact the diluted earnings per share computation. On the investor relations sections of our website you find a presentation of the Q2 2016 financial information containing some of the operational metrics that the call will be discussing. Now, I turn the discussion over to Chief Financial Officer Lori Lipcaman.

Thank you, Peter. Good morning everyone. I am sure that most of you have had a chance to review our earnings press release. I will focus on some highlights and key metrics. Vishay reported revenues for Q2 of 590 million. GAAP EPS for the quarter was $0.22. Adjusted EPS was $0.23 for the quarter. The second quarter includes a gain on early extinguishment of debt of 1 million and restructuring charges totaling 4.5 million. During the second quarter we repurchased approximately 500,000 shares of our common stock for approximately $6.1 million, pursuant to the 100 million share repurchase program announced in May. Since quarter end, we have purchased another approximately 300,000 shares of common stock pursuant to this program. As previously announced, we repurchased the remaining exchangeable notes in a privately negotiated transaction for approximately 11.4 million. The notes repurchased had been exchangeable for approximately 0.8 million shares of common stock and had been reported on our balance sheet and long term debt for the amount of approximately $12.4 million. In quarter two Vishay paid cash dividends to stockholders in the amount of $9.2 million. During the second quarter, we repatriated approximately $46 million of cash to divest as planned. The proceeds were primarily used to pay down our revolving credit facility balance. Revenues in the quarter were 590 million, up by 3.4% from previous quarter and down by 0.1% compared to prior year. Gross margin was 24.8%. Operating margin was 8.4%. Adjusted operating margin was 9.1%. EBITDA was 91 million or 15.4%. Adjusted EBITDA was 94 million or 16.0%. Reconciling versus prior quarter, adjusted operating income quarter two, 2016 compared to adjusted operating income for prior quarter, based on 19 million higher sales or 15 million excluding exchange rate impacts. Adjusted operating income increased by 7 million to 54…

Thank you, Lori, and good morning, everybody. In the second quarter, Vishay operated in overall friendly economic environment. The results continued to improve very much in line with expectations. This year achieved a gross margin of 25% of sales, adjusted operating margin of 9% of sales, adjusted earnings per share of $0.23 per share and GAAP earnings per share of $0.22 per share. Despite substantial cash payments for our own announced restructuring plans, we will continue to generate free cash on a good level. Let me comment on the economic environment. Generally, markets in the second quarter remained fairly friendly, with substantial variations between geographies and market segments. The trends of the first quarter to a large degree remained unchanged. Like in recent quarters, a weak euro supports European manufacturers, driving mainly the industrial and the automotive sectors. Asian markets continue to recover from a weak second half of 2015. The Americas continue to show flat results. The energy sector remains weak, but other sectors, in particular automotive, compensate. Worldwide distribution kept its confidence in Europe improving POS, up by 2.5%; and orders; up by 3%. Some regional detail on the POS of our distributors: the Americas were down by 5% quarter over quarter; Asia up by 7%; and Europe up by 3%, which in fact, if you include currency effects, which led vis a vis prior quarter. Inventory turns of distributors remained at reasonable levels: 3.3 turns, no change vis a vis the first quarter. Some regional details, also for inventory turns. The Americas 2.2 after 2.3 in the first quarter; Asia 4.2 after 4.2; Europe 3.8, unchanged to 3.8 in the prior quarter. Automotive shows continued growth in all regions with fairly strong sales of vehicles and ongoing expansion of electronic content. Electric vehicles technologies is gaining speed,…

Thank you, Dr. Paul. We will now open the call to questions. Paula, please take the first question.

Your first question comes from Harlan Sur of JPMorgan.

Your next question comes from Ruplu Bhattacharya of Bank of America Merrill Lynch.

Your next question comes from Jim Suva of Citi.

Your next question comes from Matt Sheerin of Stifel.

Your next question will come from Shawn Harrison of Longbow Research.

This concludes the question and answer session of today's conference. I will now turn the floor back over to management for any additional or closing remarks.

Thank you, Paula. Thank you for your interest in Vishay Intertechnology. I will turn the call back to you Paula.