Peerless Manufacturing Co. F4Q08 (Qtr End 06/30/08) Earnings Call Transcript

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2008-09-09 12:02:18.0

Tags: Peerless Manufacturing Co.

Question-and-Answer Session

Operator

[Technical Difficulty] and that is pretty consistent Nitram's backlog when we acquired them.

Unidentified Analyst

Okay.

Peter Burlage

As far as the international breakdown, I do not think we have an itemization of the, what portion of that international versus what is domestic on the backlog, but the international sales has been strong. We recently announced those two major sales in, out of the UK office for Separation/Filtration equipment into the Middle East. So, that market has continued to grow at a pace that is similar to what we have been seeing here in North America.

Unidentified Analyst

Okay.

Hank Schopfer

International, domestic revenues were 57%, domestic last year 43%, international which is a same as it was the year before.

Unidentified Analyst

Okay. Do you expect that mix to be changing going forward? Is international growing more rapidly for you folks or you just doing a lot of business domestically as well?

Hank Schopfer

I do not see that that makes change in that much. If you look at each segment, it is changed in a little bit within that. In other words, our environmental business, its growth is predominantly here in North America with the addition of gas power generation projects that are going on.

Our Separation/Filtration is probably seeing a higher rate of growth outside of North America, but the two offset one another and we have been seeing continued movement of both the international and domestic movement just changes a little bit between different product segments.

Unidentified Analyst

Okay. Could you talk a little bit about the LNG market and which are opportunities there? So it becoming, I do not know what percentage of your revenue is counterpart by that particular segment, but that seems to be have a little higher growth rate and I just wanted to have your thoughts on that?

Peter Burlage

If you look at just liquid fractions and the vaporization processes their separation equipment used in both of those. We also, obviously, the transportation of the natural gas to those LNG facilities especially in the Middle East, is a big part of our business in that region.

In the United States, it provides an opportunity for us at the vaporization of the new equipment, which is installed there, depending on the region. For example, the coal point region out on in (inaudible) East Cost, last year when they expanded that facility not only did we get separation equipment there, but we also installed SCR systems on their heat unit set, we are vaporizing the ammonia, the LNG is came off.

 

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