Question-and-Answer Session
Operator
(Operator Instructions). Our first question comes from the line of Matt Duncan with Stephens. Please proceed.
Matt Duncan – Stephens Inc
Good morning, gentlemen.
Bill George
Good morning, Matt.
Matt Duncan – Stephens Inc
A couple of things. Let, let’s start with a little bit more difficult topic and then we’ll move on to happier stuffs. Let’s start with Atlas here real quick. You talked a little bit about the, this charge you’ve taken. You know kind of what the basis for the accruals are, and you know sort of what the philosophy behind taking all the charge now was? And, and do you feel like you’ve captured you know, all of the, the potential back charges in these accruals so that you won’t you know, you won’t have to do this again in 2008?
Bill George
Well you know, we’ve signed our name that we ha–, that we feel like these are the right numbers. Obviously you haven’t seen accruals like these in prior quarters. We’re, we are far closer to the end of these jobs. People live in virtually all of these buildings today. We do feel like we’re much, much closer to knowing what it is we need to do. You know the, the nature of these accruals, some of are back charges that have been asserted, some of are the back charges that we think potentially may be asserted. The standard is pretty high to, to go ahead and take losses for, for that kind of a consideration and so obviously we’ve had to do a lot of work to prepare for this, but we do, we feel like it is the right number, and as Tom said, we feel like Atlas, we’re right you know. What we’re saying is we believe Atlas will, will certainly, at least break even next year.
Matt Duncan – Stephens Inc
Okay. Fair enough. Do you have in front of you what Atlas revenues were in the fourth quarter of ?07 versus the fourth quarter of ?06?
Bill George
They were 19.9 million in the fourth quarter of ’07. I don’t remember what they were in ?06, but they were 163 million for all of ?06.
Bill Murdy
They were probably 40 million.
Bill George
And yeah, they were quite close to 40 million at the end of last year. They were 95.9 million for this year, so you have about a $70 million reduction in annual revenues. And then for, you know the coming year, we, we expect that the continuing operations of Atlas will be about 70 million. We will have a little bit more revenue from the, from the geographies that we’re closing down, so that will add to that a little bit.
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