Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Shannon O’Callaghan - Barclays Capital.
Shannon O’Callaghan - Barclays Capital
Can you just give a little more feel on the 4Q guide? I mean you typically, from an earnings standpoint, wouldn’t have that kind of a sequential drop. Is there anything else driving your caution around sequential trends or seasonality this year versus other years?
Bob Livingston
This is Bob. I think you’ve touched on the two key points. We are expecting some normal seasonality in the fourth quarter. Actually if you extend our revenue guidance, I think you’d come to the math that we are looking for revenue to be down about $90 million?
Brad Cerepak
About $90 million, Shannon.
Bob Livingston
In the fourth quarter and Shannon, the lion’s share of that is within our Federation businesses, Hill PHOENIX and SWEP, and that is normal seasonality. We have seen an improvement during the third quarter from the low levels of the first half, but I would just tell you we remain a bit cautious.
Shannon O’Callaghan - Barclays Capital
I mean from a margin standpoint, really strong execution this quarter. Anything in those numbers you saw a nice bounce back in fluid, obviously a big move in Engineered Systems. Anything in there that you don’t see sustaining itself, that you’re taking back out? Are material costs going to come up and hit you a little more in 4Q or anything like that?
Bob Livingston
No, Shannon, I don’t think there’s anything in particular. Again, it gets back to really our volume. If I was to do the puts and takes with you, volume price and mix is about somewhere around $0.10 to $0.14, somewhere in that range, with price being pretty small, maybe a penny to a penny and a half.
Our restructuring, most of our restructuring benefits started coming through in third quarter, and that’s why you’re seeing good margin expansion. There’s a little bit into the fourth, but not much and then we have some deal related expenses and other costs. So that’s basically the puts and takes for the fourth quarter.
Shannon O’Callaghan - Barclays Capital
What are you baking in for the semi business in 4Q sequentially?
Bob Livingston
I don’t have the hard numbers in front of me with the fourth quarter forecast for the electronic assembly, but we are expecting it to be down seasonally and it’s normal.
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