Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Mike Walkley with Piper Jaffray. Please go ahead with your question.
Mike Walkley - Piper Jaffray
Great, thank you. I just wanted to ask a question on the margins on the ACCG business. You talked about potential consolidation helping your business to open the opportunity for new customers and maybe to scale their to improve margins, but on the flip side we’ve seen some pricing pressure hitting margins and some of the OEMs like Nokia, Siemens and Ericsson. So could you talk me about the pricing environment and then also some opportunities to gain share with new customers?
Brian Garrett
Mike, Brian Garrett here. I’ll say year-to-date, I think we’re very pleased with the pricing environment. We have seen very, very modest reductions in pricing, certainly in the quarter and on a year-to-date basis. I’d say very modest on a year-over-year basis. So we’re pleased certainly in North America in the western world.
Asia is always going to remain a very competitive space for us and particularly as it would relate to base station antennas and more specifically within ACCG, within the cable space. I think we have technologies that longer term are going to address that competitive environment in Asia. Specifically, what I’m speaking to is our deployment for a smooth wall aluminum solution for the tower space in Asia.
Mike Walkley - Piper Jaffray
Okay, great. Thank you. Do you see any opportunities with the carrier consolidation? Is there opening opportunities for maybe some new OEM relationships for you?
Frank Drendel
Mike, the OEMs already are very strong relationships for us. Some of the consolidating OEMs that you mentioned are OEMs that we have both large and very close relationships with. The result, particularly some of the activities in North America, I think we largely view that as zero sum gain, where business that may have been on a direct basis, longer term may be moving over to the OEMs that we have well established relationships with.
Frank Drendel
Mike thanks. Operator, we’ll take the next question.
Operator
Your next question comes from George Notter with Jefferies; please go ahead with your question.
George Notter – Jefferies
Thanks very much. I wanted to ask about gross margins. Obviously a big step up sequentially in gross margins, even though the top line I think was worse than folks were expecting. Can you help us kind of pars that improvement out? Was a lot of that driven by commodities? Was it driven by the cost reductions associated with manufacturing integration on the Andrew deal?
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