Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Sam Darkatsh - Raymond James.
Sam Darkatsh - Raymond James
Talk about, John, what Q2 results were versus your own internal expectations. You talked about them quite a bit in terms of a year-on-year change, but versus what you had originally expected back in October, November or so, what were the primary variances?
John S. Shiely
I would say they were very consistent with what we expected. Our hope was to break even in the second quarter and as you understand, that is obviously an achievement over last year’s quarter because of the offsetting, positive impact of the preferred stock redemption and the snow thrower recall.
So what we achieved was pretty close to our expectations.
Sam Darkatsh - Raymond James
The fire at the leased warehouse, was there a P&L impact in the quarter from that fire?
John S. Shiely
No.
James E. Brenn
There was a $250,000 deductible that we booked but basically that would be it.
Sam Darkatsh - Raymond James
It looks like the payables were stretched. Was that by design or was that a timing issue?
James E. Brenn
It was a timing issue. Our quarter ends different than the other quarters end so basically everyone else was paid off by the end of the calendar month and ours were, we held just a little bit at the end.
Sam Darkatsh - Raymond James
I was looking at it on a year-on-year basis as opposed to sequentially. Was there a change in payment policy on a year-on-year basis?
James E. Brenn
A little bit of one. Our receivables run around 60 days, our payables have a tendency to run in the kind of 35 day, 40 day period. So we are trying to stretch those out a little bit.
Sam Darkatsh - Raymond James
Year-to-date Engine production and shipments, do you have those figures? In terms of numbers.
James E. Brenn
From a production of view, we have probably produced about 50% of what we believe is the demand for the full year. So we are now looking at full-year demand, probably shipments in the 10.2 million unit range. But I would tell you that we have built about half of that by this time. We have only shipped about a third of it.
Sam Darkatsh - Raymond James
So you have produced about 5.0 million units.
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