Greg LangGood morning, before we get started with the formal part of the meeting, I wanted to spend a few minutes to give you a brief update on our business. I will begin with our financial performance in 2011. Past year, revenues increased about 3% to $654 million which is growth faster than the industry of about 0.5% or less than 0.5%. We generated $143 million in non-GAAP operating income last year representing 22% of our total revenues, and EPS of $0.60 lower year-on-year. And the year started very strong, but it actually finished at a decelerating pace. It appears that many of our customers over bought after the tsunami in Japan, due to supply related concerns and wanting to secure their supply. We also saw an industry wide slow down interior spending, a situation that has not much improved even now. I am pleased to report that over the past 5 years the PMC’s revenues have increased 46% outpacing the industry by over two and a half times in our non-GAAP diluted EPS has more than doubled. Last week, we announced our first quarter of 2012 earnings reporting $13 million of non-GAAP operating income on revenues of $132 million, and providing an outlook of improved revenues in the range of $136 million to $144 million which is a growth of about 3 to 9% in the second quarter of this year. The start of 2012 has been quite slow given the inventory burn-off in the slow carrier spending that I just mentioned, but we are encouraged by our conversations with customers and a few carriers who are upbeat about second half spending, although we don’t yet see it in our books. In March 2012, we announced board had authorized an additional $275 million share re-purchase program in addition to our previously announced $40 million, an increase in the total authorization of $350 million. The $350 million represents approximately only 18% of total shares outstanding at the current stock price. Last week we announced entering into now accelerated share buy back agreement with Goldman Sachs to re-purchase at an aggregate of $160 million of PMC’s common stock. The share re-purchases emphasize our ongoing commitment to enhance the shareholder value as well as our confidence in PMC’s long term financial outlook and growth prospects. Going forward I believe there are three fundamental drivers of growth for PMC. First the digitization of everything, whether it is TV, movies, medical images, scientific data, prints media of all sorts. We’ll continue to drive an explosion of sports and network bandwidth requirements across networks. Secondly, the rapid growth of proliferation of internet capable mobile devices like smartphones and tablets will put increasing pressure on mobile networks and aggregation networks globally.
And finally, growing demand for cloud computing services such as backup, video streaming, applications of the service etc., we expect demand for high speed access to and from those data centers around the world to continue to grow. PMC is investing heavily in the technology that will enable our customers to deliver significant increases in storage and network capability required by these traffic growth drivers. Put simply, PMC is enabling the next generation in storage, optical and mobile networks that provide new levels of performance for smartphone services, video streaming and cloud computing. No other company is better positioned to deliver the infrastructure behind exciting new applications.In 2011, I’m pleased to report that we further enhanced our corporate governance. In August 2011, we appointed John Judge, Chairman of the Board, our first non-executive chairman and appointed our two newest members, who are board of directors, was Mike Klayko and Dr. Richard Nottenburg . With the addition of these two new independent members, the board is gaining access to view perspectives and extensive experience in communication and subordinate networks, which are extremely valuable to the company. Read the rest of this transcript for free on seekingalpha.com