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LSI Industries Inc. F3Q08 (Qtr End 3/31/08) Earnings Call Transcript

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2008-05-04 20:41:06.0

Tags: LSI Industries Inc.

Question-and-Answer Session

Bob Ready

I hope we haven't lost her – I hope we haven't lost the hold, do we? Operator, still on the line?

Operator

Yes, sir. Our first question comes from Mr. Glen Wortman. One moment.

Bob Ready

Okay. What – is this a new group or something? We cannot hear the question being presented. If Glen is still on the line. I'll be darned.

David McCauley

Ron, Dave McCauley, here. Just Canton is still on the line. Fred, are you on the line?

Jonathan Labbee

That’s me and Jonathan Labbee online.

Bob Ready

I don't know what is going on here.

Jonathan Labbee

I think the other side, the audience is not on line.

Bob Ready

I'll check. If you folks can hear me, bear with me as the gal that's handling the moderator, is she on line, can you hear me?

Operator

Yes, I can hear you.

Bob Ready

Something is not working. We're not getting these questions through to us, please.

Operator

Okay. Yes. The lines are – his line is open, but for some reason it's not coming through. Hold one moment as we fix this problem for you.

Bob Ready

Thank you.

Jim Ricchiuti Needham & Co.

Hello.

Bob Ready

Yes. Go ahead.

Jim Ricchiuti Needham & Co.

Bob, it's Jim Ricchiuti, for some reason I got in.

Bob Ready

I tell you what, guys. I apologize for this. I don't know what is going on. I guess it's Murphy's law. When it rains, it pours, right?

Jim Ricchiuti Needham & Co.

Well, what? Until some other folks join in, I have a few questions.

Bob Ready

You go right ahead, please.

Jim Ricchiuti Needham & Co.

Terrific. David this is one for you. Just given the slow pickup that you are seeing with some – on the large project business in the graphic, how much of that do you think might be due to the economy or is it just some other issues that may be weighing on this? Is this the normal lumpiness of this business?

David McCauley

Second part that you say, the normal lumpiness, yes, it is. We pulled some figures the other day since the Graphics Solutions Plus group was established five years ago. We’ve grown 61% in revenue, that's 10% average per year, but we’ve had those up and down years, which is the lumpiness you just talked about, and certainly this economy is not helping the situation, but we’ve been there before, and this is the third time in the last five years we experienced this dip, and we expect to come out of this.

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