Question-and-Answer Session
Operator
(Operator Instructions) We’ll go first to Myles Walton with Oppenheimer & Company.
Myles Walton - Oppenheimer & Co
Questions for Glenn; on the cash flow guidance is that increase primarily off the advances from the nuclear orders in the quarter given there are no other adjustments in the guidance.
Glenn Tynan
Partially and partially due to working capital improvement anticipated.
Myles Walton - Oppenheimer & Co
Okay, and Marty you mentioned some of the progress you’re making on the RCP not just the manufacturing side, but that the quality test could you give us some flavor for the calendar in terms of major milestones, risk reduction, getting kind of your feet through that process the first time by which time you’d feel more comfortable with the outlook, not only your manufacturing ability, but you’re pricing and such?
Martin Benante
Well, Myles as you know we’re building our new building which we will include our test rigs. Right now we are building the first pump. We anticipate that the test rigs will be ready first quarter of next year and we’ll start our qualification testing. So, I think by the middle of next year we’ll have a better understanding of where we are as far as the program as a whole.
Myles Walton - Oppenheimer & Co
Okay that’s helpful, and then with respect to the other equipment, I think the other major piece is the control rod drive mechanisms that you’re looking to compete on the $81,000 and there’s also ancillary products that you’d selling into any of the power plants. Can you give us some perspective on the lead times that are involved on those two products that you sell?
Martin Benante
The lead time for our control rod drive mechanisms and which would also be at EMV and the release values which would be at a target rough. The request for quotes we should start seeing them somewhere in the 2009 timeframe for an award either in late 2009 or early 2010 and that will happen and you’ll start to see as 2010 goes on, we will see more and more request for quotes on some of the other hardware that we have.
Myles Walton - Oppenheimer & Co
Those initial RFP, RFQ’s in ’09 are for the China and then it just would maybe take into 2010 for those looking to build in the U.S.; is that the right way to think about it?
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