Question-and-Answer Session
Operator
(Operator Instructions)Your first question comes from Analyst for Arnold Ursaner - CJS Securities.
Analyst for Arnold Ursaner - CJS Securities
My first question relates to the better-than-expected success in TomTom. Does that have any effect on your outlook for the full size of the contract?
Todd R. Peters
When we said better-than-expected, it actually came in faster. We’ve announced our win with TomTom in late 2007 and we talked about the challenge in 2008 was how quickly could we bring it on. So, what that’s done is it’s actually come online faster, quoted by the year-over-year growth of 690%, 62% sequentially. We think there’s additional growth with TomTom down the road and they’re a great customer. And they’re in a great market segment. It’s really shine to brilliance on their retail side. You’re reading the same reports that I am. Though, we’re happy to have them as a customer.
Analyst for Arnold Ursaner - CJS Securities
Okay, and also related to Logistics, if you take out AT&T and TomTom, the rest of the segment was down about $5 million year-over-year. Can you comment on that?
Todd R. Peters
Yes. That’s if you think about our commentary and what we’ll discuss a little bit in our Q&A, but we talked about there is a one-time automotive electronics upgrade program that had a lot of strength through 2007 that effectively ended in the Q1 of 2008, and that really accounts for the difference. And then we also talked about we have a Nokia test and repair program that terminated in June 2007.
Analyst for Arnold Ursaner - CJS Securities
And then shifting to Drivetrain, Ford and Chrysler announced today that they’re going to do major cutbacks on their recent programs. Is that going to affect you in any way?
Todd R. Peters
Well, in our commentary, we said we see general market softness and one of the things you see is what vehicles being sold by Ford and Chrysler to the market. There’s a marginal impact if you think about what vehicle’s being sold. There’s a lot of opportunities on terms of the vehicle part. So, we’ve been seeing some of the softness that’s already kind of going through the numbers. I think when we started the year, I don’t think anyone expected the automotive new vehicle sales to be where they’re at. So, that impacts our opportunities set in the short-term. It will to be determined but we think we’ve got the softness built in for 2008. But that’s just a momentary thing. If you look at our transmission platforms that we’re on, we announced in late ?05 and in ?06 that we won both the front wheel and rear wheel drive 6-speed transmission platforms. So, you have to look at more than just vehicle build. You have to look at the transmission platforms and going forward with the rush to fuel economy, the production plans have changed and because the 6-speed is more fuel efficient, we feel that they’re going to guard our bigger share of whatever number of vehicles that Ford sells. So, we think that’ll have upward pressure even in a down market in terms of the number of transmissions that are out there that we’ll be able to service going forward.
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