Question-and-Answer Session
Operator
(Operator instructions) Your first question comes from the line of Ned Borland with Next Generation Equity Research. Please proceed.
Ned Borland – Next Generation Equity Research
Good morning. First a housekeeping question on litigation expense, can you break that out for us in the quarter?
Stephanie Kushner
In this quarter?
Ned Borland – Next Generation Equity Research
Yes.
Stephanie Kushner
For this quarter, it was I think $1.8 million.
Ned Borland – Next Generation Equity Research
Okay, and are you still expecting – you were at about $7 million for year-to-date through the second quarter, so is it fair to assume that you are going to trend higher than the $8 million to $10 million range that you projected last quarter?
Stephanie Kushner
No, we are still looking at about $10 million for the full year net of the insurance recovery.
Ned Borland – Next Generation Equity Research
Okay. Then on the police lightbar sales, I remember there was a strike last quarter that got resolved, did you see any benefit from that resolution in your lightbar business?
Stephanie Kushner
We did see an increase in the power deliveries in the third quarter but frankly it was not enough to move the needle in terms of our orders, which was a disappointment.
Ned Borland – Next Generation Equity Research
Then on raw materials, we have seen a slide in quite a few commodities here, can you give us a sense of when we are going to start to see the benefit from some of these softer raw material prices?
Jim Goodwin
We are renegotiating contracts with key suppliers and expect to see some improvement in raw material cost over the next couple of quarters.
Stephanie Kushner
One of the mitigating factors is that as the prices were going up, we were being protected with some of our contracts. So, as a result of that, we experienced a little bit of lag in recording the benefit. Having said that, in the third quarter, the raw material impact for us was only $900,000 which was a pretty good number and certainly a less meaningful impact than – it does not come anywhere near the type of impacts we had during the last commodity escalation cycle.
Ned Borland – Next Generation Equity Research
You were able to raise prices in the quarter, right?
Stephanie Kushner
Yes, that’s right. We raised prices between 2% and 6% really on all of our product lines and those price increases went in anywhere between June and I think July, August of this year.
- To read the full transcript on Seeking Alpha, click here »
