Question-and-Answer Session
Unidentified Audience Member
[Inaudible question]
John Jordan
I don't have it for the last five years, but in the last year it was a little over $2 million of the 17%. I don't have the organic growth over the last five years, but I can certainly provide it for you.
Unidentified Audience Member
[Inaudible question]
John Jordan
We estimate that we have about 65% of the cleaning market and -
Unidentified Audience Member
What percent?
John Jordan
65%.
Unidentified Audience Member
[Inaudible question]
John Jordan
I'm sorry. We estimate that our share of the cleaning market is somewhere in the order of 65%. Most of the rest of that market is done by the OEMs themselves with in-house production, which we also consider our target as well.
Unidentified Audience Member
[Inaudible question]
John Jordan
There isn't a trend, but there's an ongoing interface between us and we work at the most productive, efficient, cost-efficient solution. So obviously we're always working with the OEMs to try to impress them that we can do that inhouse sourced equipment better and cheaper.
Unidentified Audience Member
[Inaudible question]
John Jordan
The industry in the developed markets - I'm sorry.
The question was since our global growth was in the order of 2% to 3% and our growth in sales was about 1%, why was our growth in sales less than global growth. And the answer is the industry is not growing consistently with GDP. In the developed markets, the industry is flat and maybe even a little down. So our organic growth of a couple of million dollars was actually a really good accomplishment in the context of the market where we operate.
Unidentified Audience Member
[Inaudible question]
John Jordan
Yes. The question was that our two acquisitions were rather large and how we can improve in combination with them their profitability.
One of the acquisitions, Oxy-Dry, was $18 million, and the Hildebrand acquisition was something less than $5.
Unidentified Audience Member
[Inaudible question]
John Jordan
The Hildebrand, Hildebrand acquisition, which we did in April '07, which is web cleaning technology. It was something less than $5 million.
The Oxy-Dry acquisition was large for us, not only in the context of the cost of it but the effort required to integrate it, and it took us the better part of a year to get it well integrated. One of our objectives when we bought Oxy-Dry was to improve their margins to the level of legacy Baldwin margins, and I think our assurance was that we would have that achieved by the end of 2008. We've made substantial progress toward getting their margins up to the level of legacy Baldwin margins, and Oxy-Dry has been accretive for the better part of this year and is actually substantially accretive now.
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