Question-and-Answer Session
Operator
Our first question is from Mike Schneider - Robert W. Baird.
Mike Schneider - Robert W. Baird
First we can start with fueling. Can you give us an update on any orders you may have already secured in Korea, Spain, the UK, or some of these other emerging markets for your fueling systems?
Gregg Sengstack
As Scott commented, the equipment requirements in Europe are fundamentally different than the equipment requirements in United States due to nozzle design and local preference and certification requirements, so we have limited sales in Western Europe. We are seeing interest in Korea, although with the current uncertainty that’s going on in the world economic markets, Korea has been particularly hard hit so we are not sure how that’s going to develop at this time.
Mike Schneider - Robert W. Baird
Are there any proposals with timelines associated with them right now that you’re aware of in any of these emerging countries?
Gregg Sengstack
Certainly in China there is a big opportunity over the next couple of years in both the Shanghai area and the Guangzhou, Shenzhen area. Those are mandates that were put in place several years ago, much like with the Beijing with the Olympics. In Shanghai and Guangzhou areas you have both the Asian Games and the World Expo are coming up here in the next year or so, so that’s going to be a big opportunity for us.
Korea does have a deadline out. I believe it is two years from now. That will be an opportunity, it’s just question specifically about orders right now in hand.
With respect to India, now that price of oil has come down, we would expect India to come back online, although there’s nothing formal at this point in India. We do see pockets in other areas of the world where there’s interest in trying out systems on a test basis.
Mike Schneider - Robert W. Baird
Gregg, have you seen any impact in California from the financial mess we’re in, either on the ability of station owners to get credit to retrofit the stations and as well, marketing margins for the station owners have plummeted as well. I am just curious if this has had an impact on the rollout.
Gregg Sengstack
I’d make two observations. One is that relative to the overall revenue of a station, the amount of money we’re talking about here in the upgrade is in the tens of thousands of dollars, less than $100,000 and it can be financed over a period of years, I know there are several finance companies that are pursuing that business actively. I cannot comment about the current or last few weeks in that regard.
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