Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Joe Hovorka - Raymond James Company.
Joe Hovorka - Raymond James Company
The higher retail incentives you cited on the cost of good clients, can you quantify how much that reduce gross margin by?
Jim Landers
Do you have another question; I will get back to you.
Joe Hovorka - Raymond James Company
The other one is on the repurchase agreement and SG&A. I’m assuming that’s from dealer bankruptcies, can you confirm that and then quantify either how much inventory was repurchased or how much the impacted SG&A, how many dealers you lost. All those things if you could?
Jim Landers
Joe this is Jim. You are right about the dealer repurchases, as you know we are notified by the floor plan lenders. They tell us about repurchases that are coming their way due to dealer insolvencies. So that’s right, we may not have the numbers that you’re asking about right our at our finger tips at the moment.
Ben Palmer
It was probably three to five basis points on margin line in the fourth quarter.
Joe Hovorka - Raymond James Company
For the incentives or --?
Ben Palmer
For the incentive, on the repurchased in SG&A is litter over half million dollar, where it was the cost that we incurred because if the repurchases.
Joe Hovorka - Raymond James Company
Okay, is that the total cost of the inventory or that’s just --?
Ben Palmer
That’s the P&L impact, that’s the SG&A impact. We’ve not actually received those boats, a lot of that is in anticipation of that happened.
Joe Hovorka - Raymond James Company
Okay and do you know, what your liability is at the end of the year under each purchase agreements?
Ben Palmer
At year end -- it gets a little bit complicated, but unsatisfied or ?uncommitted? is just under $3 million additional.
Joe Hovorka - Raymond James Company
Okay and what was that last year, at the end of year? Do you have that in front of you? If not I could just put it out.
Ben Palmer
I don’t have it in front me, but it was probably four to five maybe.
Joe Hovorka - Raymond James Company
Okay and then just last question. The comment regarding the availability of floor plan for your dealers. Can you give more color on that? Has one of your major lenders put out, how are people finding liquidity?
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