Question-and-Answer Session
Thank you. And our first question does come from Ross Seymore.
Ross Seymore - Deutsche Bank Securities
Thanks guys and good morning. I just had a question on the APG group. It looks like you talk about taking inventory down there. Can you just talk about how much inventory is left to be taken down there? When you expect that business to start growing again? And how you reconcile with taking inventory down there, but overall channel inventory is actually increasing?
Mark S. Thompson - President and Chief Executive Officer
Okay Ross, Mark here. So, a couple of things; First, the place where we took inventory down was specifically in the power conversion business. And we are largely complete with that activity, although of course, we will subject our channel inventory processes to continuous improvement and if we have the opportunity to reduce, we will. But there are many moving parts in the company, and so we often... if you look there is... often you will see, for example in computing, computing inventories will typically rise around this time of the year, because demand tends to be greatest in the second half of the year and softest in the first half, and we do somewhat use channel inventory to smooth our factory loadings. So there is a lot of moving parts in this. But in terms of power conversion, the current inventory levels are approximately on target.
Ross Seymore - Deutsche Bank Securities
And I guess as a follow-up and inventory as a whole, do you expect... were you a little surprised that channel inventory built in the quarter and do you expect to have to burn it off in the first quarter?
Mark S. Thompson - President and Chief Executive Officer
We weren't surprised that it built in the quarter. Again we highlighted the potential for that depending on what resales did towards the end of December, which is always one of the hardest periods to call. So channel resales during that time were in the bottom half of our range of expectations, and that resulted in some channel build. But again it was within our predicted range. So that was not... it was not a surprise.
Ross Seymore - Deutsche Bank Securities
Okay. Thank you.
Operator
[Operator Instructions]. And we will now go to Mr. Craig Ellis, for our next question.
Craig Ellis - Citigroup Smith Barney
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