Question-and-Answer Session
Operator
Your first question comes from Andy Kaplowitz – Barclays Capital.
Andy Kaplowitz – Barclays Capital
John, can you talk about maybe an additional look at fleet utilization in 2010? I mean you talked about how it would be down a little bit in 4Q but how much more bookings do we need to have over the next couple of quarters to get a good level of utilization next year?
John A. Fees
Andy, it’s a combination of factors there. We have certain things in our backlog that is going to drive fleet utilization and the real question is what we call the drive by work and the opportunistic things that happen during the year. For example, if you took a look back at this year, the DV50 in the Gulf of Mexico and the amount of bookings we had walking in to the year, you would not have expected that vessel to be very heavily utilized and that vessel just remains busy in the Gulf.
So, I think that’s really the variable here. Based upon the spending trends and things that we see, I think there’s a little bit of a question in my mind as we look in to the year next year but don’t have a major concern at this point keeping utilization at a reasonable level.
Andy Kaplowitz – Barclays Capital
If I could shift gears and talk about power, obviously we understand your commentary and I think the expectations around power have been relatively low but do you think the business has sort of – is it in the process of troughing here in 3Q. Do you see signs that parts and service can better versus seasonality as we go over the next two quarters?
Michael S. Taff
You know Andy I would say if we would be in a situation where we call this troughing I wouldn’t expect a spike. I’m expecting a little bit more of a gradual return then a massive run up over the next couple of quarters so I expect it to sort of climb out of this level beyond the next two quarters but not really a big run up.
I think one of the things that’s kind of interesting, if you take a look at the bids outstanding that we have in that area I think you see a different mix there than you would have seen maybe a year or two ago. I mean, we have a reasonable amount of biomass work that we have bid, we have got some waste energy in our bids outstanding, you know we have a reasonable amount of nuclear probably one of the highest level of nuclear bids for nuclear service and replacement components as we’ve tried to emphasize that particular segment.
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