Question-and-Answer Session
Operator
(Operator instructions) Our first question will come from the line of Nigel Coe with Deutsche Bank. Your line is open.
Nigel Coe – Deutsche Bank
You mentioned in both the press release and also in your comments, Carl, that you got confidence that the Crane orders will continue to pick up next quarter and 1Q (inaudible). Just want to clarify, you expect the net orders to improve from current levels and what gives you confidence to look at two quarters ahead?
Carl Laurino
Well, obviously the activity that we see is a part of that. It’s strength in the emerging markets and some of the end markets that we are selling into. We made the comment about the traditional construction markets, but there are certainly other areas that are supporting some of the order activity that we are seeing right now. But I think that’s probably something that Glen might want to comment –
Glen Tellock
Nigel, I think the other thing that you look at is in a period like this, as you go through the downturn, our seasonality becomes a little more pronounced during these periods. So, what’s going to happen is typically you are seeing people that they are looking out into 2010 right now and you’ll start to see what their order patterns are typically in the fourth quarter and the first quarter of next year. And that just goes with a lot of conversations with customers as we do our planning for 2010 and along with the – trying to collaborate with the customers and find out what they have going on.
I think the other thing is if you look at the engineering and construction firms that we talk to on a regular basis, and they look out to what they have in their backlogs, you can see some of their backlogs are picking up. It’s a matter when they start some of these projects
Nigel Coe
Okay. Great. And can you just talk about Crane CARE, just update us on what percentage of revenues that is right now and how that’s trending?
Carl Laurino
It’s about a mid-teen percentage, Nigel. It is more resilient than the whole goods part of the business in this environment.
Nigel Coe
Okay. Would you expect that to be stable into 2010?
Carl Laurino
We would expect so.
Nigel Coe
Yes, Okay. And then just, could you just maybe flush out the structural cost savings that you realized in 3Q and how you expect that to be in 4Q and maybe into 2010?
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