Question-and-Answer Session
Operator
(Operator instructions) Your first question comes from Sterling Auty – J.P. Morgan.
Sterling Auty – J.P. Morgan
In terms of in the quarter, the DPG results, can you give us a little bit of color there in terms of, are you seeing, is the financial services, is it telecom, is it geographic expansion? What drove the good results in DPG?
Tod Nielsen
There was a couple of existing customers that were expanding their OEM distribution agreements, so they were sort of onetime deals. It wasn’t new account wins or we’re not changing our view on that business long term as much as continuing to maintain it for cash and take care of our top customers and OEMs.
Sterling Auty – J.P. Morgan
Can you give us some description in terms of the results within ALM geographically? Because you talked about the greater than anticipated disruption, was that more in Europe than the US? How do you feel about the go to market in the remaining ALM geographically?
Tod Nielsen
We don’t break out ALM geographically. But what I can tell you is that we actually have continued to see progress in terms of Europe as a percentage of total. So we’re now about international about 50% of our total revenues. Domestic is about 50% of our total revenues. The concentrations of DPG and IDE have been more focused internationally than ALM. ALM is more concentrated in terms of the Americas.
Erik Prusch
The only other thing I’d add to that is we’re seeing some definitely encouraging signs around Silk in Germany and you know across Europe as far as some opportunities in that front.
Sterling Auty – J.P. Morgan
What was the FX benefit to revenue and hit to expenses?
Erik Prusch
We had some slight FX gains during the course of the quarter, nothing particularly material that hit our other income and expense line item in total. And we continued to see some benefit through CTA relative to the balance sheet.
Sterling Auty – J.P. Morgan
As you look at the transaction for CodeGear, should it be accretive or dilutive to 2008?
Erik Prusch
It should be accretive to 2008 given that not only have the results, we generated $2.9 million in Q1, but from a transactional standpoint of being able to monetize the asset, I think the bigger question for us is obviously it’s dilutive in terms of Q3, Q4 because we’re losing that operating income.
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