Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from the line of George Sutton - Craig-Hallum Capital.
Analyst for George Sutton - Craig-Hallum Capital
This is DJ calling for George Sutton. Could you give an update on your wireless program?
Norman Stout
Hi, DJ. We would be happy to, Philippe, on the wireless program.
Philippe Tartavull
Yes, so regarding mobile devices and mobile business, we have seen an increase of activity during the fourth quarter where volume of sales activity had increased. We have now some device, 35 in North America and new device, the M4230 are also now starting to enter the different channel in Europe which is clearly a focus on the Company for 2009.
Analyst for George Sutton - Craig-Hallum Capital
You started the manufacturing in the Brazil so how we should look at it, how it will affect margins going forward?
Philippe Tartavull
First of all, we start this business in Q2, a little bit in Q1 and Q2. The reason we have decided to do local manufacturing in Brazil is to avoid all the taxation. So, we entered Brazil with a pricing that not the best on the planet but very reasonable.
Norman Stout
And I would add, DJ, with our 4205 product that was our low cost product that we introduced earlier this year and are late 2008 some other countries.
Analyst for George Sutton - Craig-Hallum Capital
Could you provide an update on the e-Healthcare project in the Germany?
Philippe Tartavull
Yes, as you know the device has been certified. We start selling the device during the last quarter. It remains governmental project which mean we need to be careful in terms of volume but I was in Germany last week and all indication are that they are pushing for the program according to plan with maybe one or two months delayed but the movement is there. The total market expectation, and I repeat it is just an expectation is about 800,000 devices and we are just at the start of the program this year.
Norman Stout
Holly, next question?
Operator
Your next question comes from the line of Robert Dodd - Morgan, Keegan & Company, Inc.
Robert Dodd - Morgan, Keegan & Company, Inc.
A couple of financial kind of picky ones. If we look at your manufacturing period costs, you have done a decent job expanding the industrial gross margin but just excluding the $4 million in obsolescence in Q4, it still looks like manufacturing period cost went from about 7 in Q3 to little over 8 in Q4. So, they looked to be basically moving the long way for you to be getting towards a 35% consolidated gross margin. I mean, what can you do to control those costs as you go through 2009 especially when you are going to be adding another supply chain relationship with the Brazilian manufacturing facility?
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