Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from John Murphy - Merrill Lynch.
John Murphy - Merrill Lynch
On your cost cutting efforts your closing $50 to $60 million up for the full year. I’m just wondering as we look at the results in the first quarter how much of that was achieved in the first quarter? Did you get to sort of this 100% run rate in realization or is there more coming in the next few quarters?
Jerry W. Nix
We did not achieve 25% of $15 million in the first quarter. We did achieve a little of it. We’re probably between $5 and $10 million cost reduction. It would have been more of that had we not had the offset with the severance pay and also we had the hit for the retirement plan charge of $3 million so it did reflect in the first quarter as much as it will going forward.
John Murphy - Merrill Lynch
And then when we look at the cash conservation in the first quarter on CapEx and very low level of share buybacks, I mean is that just you taking a conservative stance and should we expect that, you know, to continue going through the course of the year? Or, you know, will we see CapEx ramp up and really what would a maintenance CapEx level be as we look at the business going forward?
Jerry W. Nix
Our CapEx for the year we’re still thinking it’ll be in the $60 to $75 million range going forward. And so far that’s going to be in technology and has some improvement and some upgrade in utility equipment and so forth. In the current climate we’re not building new facilities and to answer your question yes we are conserving cash and that’s the reason for not buying the shares but we have some potential acquisitions that we’re looking at, and we wouldn’t be interested in going out and borrowing any money to make those acquisitions in this climate. So that’s the reason for the conservation of the cash.
John Murphy - Merrill Lynch
So it’s more to keep dry powder as opposed to a real concern that there’s a need to husband cash right now?
Jerry W. Nix
Absolutely.
John Murphy - Merrill Lynch
In the fourth quarter there were certainly some conflicting data points in the, you know, decline in your Automotive revenue in the fourth quarter continued in the first quarter and there was some concern toward the end of last year that there might be some market share losses in the Automotive business, you know, given some of your competitors printed up positive comps in the fourth quarter. You know, the market indicators, we’d have to believe that, you know, that the after market was actually down in aggregate in the fourth quarter and certainly down in the first quarter. So your numbers seem to jive with what we’re seeing, but there is that conflicting data out there. I mean, can you see anything going on in your market share shifts? And I know you guys specifically mentioned some weakness in your fleet business. Is there anything going on in the market that you can tell or is it just general market weakness that you’re experiencing?
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