Question-and-Answer Session
Thank you. [Operator Instructions]. Our first question comes from Amit Daryanani from RBC Capital Markets. Please proceed with your question.
Amit Daryanani - RBC Capital Markets
Thanks a lot, good morning guys.
Dominic J. Pileggi - Chairman and Chief Executive Officer
Good morning, how are you?
Amit Daryanani - RBC Capital Markets
Good. Just had a question? looking at all the cash infusion we're getting from Leviton and the sale of the PVC business. Could you just maybe talk about, what's the priorities in terms of cash usage, is it lowering debt, looking for international acquisitions or stepping up and doing a buyback, I guess?
Dominic J. Pileggi - Chairman and Chief Executive Officer
Well, Amit, we're pretty proud of our ability to generate cash and having such a strong balance sheet. If you look at our recent past, you could see we have a history of returning excess cash to our shareholders; more recently, in the form of stock buyback, which we do have an authorization to purchase shares and certainly would consider that option. But I think our history of returning that cash to the shareholders in some form, I think is pretty good. And Amit, you also kind of made? you made the comment about maybe acquisitions in overseas. And quite frankly, right now, it's, with the way the currency is, that's pretty expensive. And we really haven't seen anything there that excites us currently.
Amit Daryanani - RBC Capital Markets
Fair enough. And then just on the acquisition, I mean, you guys have done a fairly good job in integrating these deals so far. It looks like the operating margins of the acquired business are around 11.9% or so. Could you just give a sense of how much room is there to continue to expand these margins beyond the $20 million, of cost savings you're going to get from the warehouse integration?
Dominic J. Pileggi - Chairman and Chief Executive Officer
A couple of comments around there. I mean, one obviously, we are somewhat volume-sensitive. I mean, we've shown in the past, if we do get more volume, we can drop it to quite substantially and disproportionately. But I think also here more recently in this year, we've shown very well too that, we can still put up very decent results, even if you don't have improvements, significant improvements, in volume. The one thing the acquisitions do give us is a lot more things to work on. I mean, we? with having them in there, we think we're going to see further improvements in the profitability on those acquisitions as time goes on, including the second half of the year. We're pretty excited about the opportunities that we see, we've highlighted as far as synergistic opportunities. And quite frankly, we're optimistically we may actually be able to find a few more as time goes on. So if you look at it, we're pretty positive about where we're at right now and being able to still show some more, further margin expansion.
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