Question-and-Answer Session
Operator
Thank you sir, we will now being the question and answer session. As a reminder, if you have a question, please press the star, followed by the one on your touchtone phone. If you would like to withdraw your question, press the star followed by the two. If you’re using speaker equipment, you will need to lift the handset before making your selection. Our first question comes from Jason Maynard with Credit Suisse, please go ahead.
Jason Maynard – Credit Suisse
Good afternoon guys and congratulations. You guys are selling into some retailers that are doing well and others that aren’t doing so great, I’m curious as to get your perspective on what you’re seeing at least from your dealings with some of these customers around the macroeconomic impact that’s going on and some of the concern about consumer spending because clearly you’re winning some of these deals with some folks that are having some trouble and I’m curious as to what’s the dynamic and the conversation like with those customers?
Daniel Fishback
Hey Jason it’s Daniel. I’ll take that question. From our perspective and the industry’s perspective, there’s many segments of retail. If you look at our customer base today, some 60% of our retail customers arefast moving consumer goods, FMCG, that’s grocery and mass merchants. In many cases, that segment of retail, historically, has been counter-cyclical in nature. Disposable dollars by consumers are spent at the grocery store not at restaurants which tend to compete again for those mass merchant and I think Wal-mart has exciting news today on their business.
Certainly, as you being to look at areas of apparel and the like, from my purview, those segments tend to be more hit and I think thenews reflects that, we don’t sell to those markets so, we don’t have a lot of insight into that. Inthe consumer electronics area, much has been published this week which we all read at the CES conference in Vegas, I mean the tone of the comments are dramatically different between a Target a Best Buy and a Circuit City, so clearly we see the biggest and strongest and most agile retailers taking an opportunity to make investments and understanding the consumer better for a competitive advantage, both in expanding and contracting markets.
So, retails big and segmented, we focus the majority of our efforts in FMCG and our customers arethe biggest and the most stable and can really look at I believe from my perspective look atthe ebbs and flows inthe economy as opportunities for market share gains.
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