Operator: Good day, ladies and gentlemen, and welcome to the Q4 2012 TransDigm Incorporated Earnings Conference Call. My name is Charlene, and I will be your operator for today. At this time, all participants are in a listen-only mode. We will conduct a question-and-answer session towards the end of the conference. As a reminder, this call is being recorded for replay purposes.
I would like to turn the call over to Liza Sabol. Please proceed.
Liza Sabol - IR: Thank you. I would like to thank all of you that have called in today, and welcome you to TransDigm's fiscal 2012 fourth quarter earnings conference call. With me on the call this morning are TransDigm's Chairman and Chief Executive Officer, Nick Howley; President and Chief Operating Officer, Ray Laubenthal; and our Executive Vice President and Chief Financial Officer, Greg Rufus.
A replay of today's broadcast will be available for the next two weeks. Replay information is contained in this morning's press release on our website at transdigm.com. It should be also noted that our Form 10-K will be filed tomorrow and also will be found on our website.
Before we begin, the Company would like to remind you that statements made during this call, which are not historical in facts, are forward-looking statements. For further information about important factors that could cause actual results to differ materially from those expressed or implied in the forward-looking statements, please refer to the Company's latest filings with the Securities and Exchange Commission. These filings are available through the Investors section of our website or through the Securities and Exchange Commission's website at SEC.gov.
The Company would also like to advise you that during the course of the call we will be referring to EBITDA, specifically EBITDA as Defined, adjusted net income and adjusted earnings per share, all of which are non-GAAP financial measures. Please see the tables and related footnotes in the earnings release for a presentation of the most directly comparable GAAP measures and a reconciliation of EBITDA and EBITDA as defined, adjusted net income, and adjusted earnings per share to those measures.
With that, let me now turn the call over to Nick.
W. Nicholas Howley - CEO and Chairman: Good morning and thanks again to everyone for calling in to hear about our company. Today I'll start off with comments as always about our consistent strategy, then an overview of a busy fiscal year 2012, financial performance and market summary for 2012 and then our initial guidance and then Ray and Greg will speak a little; fair amount to cover here today.
To restate, we believe our business model is unique in the industry, both in its consistency and its ability to sustain and create intrinsic shareholder value through all phases of the cycle. To summarize some of the reasons why we believe this and I believe these are shown on Page 4 of the slides.
About 90% of our sales were generated by proprietary products and around three quarters of our sales come from products which we believe we are the sole source provider. Excluding a small ground transportation business, about 57% of our revenues and a much higher percent of our EBITDA comes from aftermarket sales. Aftermarket revenues over a cycles have historically produced a higher gross margin and have been more stable than OEM sales. Because of our uniquely high EBITDA margins, typically in the 48% to 50% of revenue and relatively low capital expenditures typically 2% or less than revenue, TransDigm year-in and year-out generated strong free cash flow.