Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Tim Quillin – Stephens, Inc.
Tim Quillin – Stephens, Inc.
Could you go over the backlog by segment?
Michael Porcelain
We finished Q1 2009 with $219 million of backlog, $67.5 million in the Telecom segment, and $69.6 million in the Mobile Data Com segment and $82 million in the RF Microwave Amplifier segment.
Tim Quillin – Stephens, Inc.
Is there anything you can tell us about the Radyne revenue contribution in the quarter? I think maybe your original full year expectation was $140 to $145 million should we divide that by four and $35 to $36 million in first quarter is about right?
Michael Porcelain
What we’d kind of guide you to is on an overall basis the Radyne revenue was sort of in line with our expectations. Back then we had better sales of the Radyne modems as I mentioned offset by declines in the Tiernan video and core product lines. On a quarterly basis going forward we don’t think its meaningful to start looking at the Radyne modem sales as a benchmark if you will as Fred had mentioned we’ve combined our sales forces in our satellite earth station business. Whether or not folks buy a Comtech EF Data Modem or Radyne branded modem to us it’s going to be not meaningful.
Tim Quillin – Stephens, Inc.
Can you remind us how big Tiernan is or what the contribution there is?
Michael Porcelain
When we had purchased Radyne we were sort of estimating anywhere between $15 to $20 million of revenue for that product line.
Tim Quillin – Stephens, Inc.
It’s going to be lower than that though?
Michael Porcelain
We think for fiscal 2009 it’s not going to increase from the Q1 levels and it’s a good chance given the economy and the impact in their customers end markets sales will be lower.
Tim Quillin – Stephens, Inc.
In the 10-Q you said regarding the satellite earth station business that it may be hard to achieve the levels that you had in the first quarter. You discussed it with some caution this morning but is it just that you’re assuming that the global macro economic situation eventually will impact it or are you seeing something particular in that business that gives you reason for pause.
Michael Porcelain
When we gave our guidance back in September we made an assessment of where the market was going to be for the year. At that time we didn’t see any weakness in our satellite earth station business and sort of assumed that consistent with our prior year we have some seasonality quarter to quarter. Q1 we kind of knew was going to be a little strong and as normally our Q4 is higher than the Q2 and Q3.
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