With respect to any non-GAAP financial measures used during the call today, the accompanying information required by SEC Reg G, relating to those measures can be found in our earnings press release and in the supplemental slide presentation, again, that’s in the Investor section of the Colfax website.As a reminder the comments from the last call, it is important to note that while we are able to report pro forma sales including Howden and ESAB for 2011, we do not have pro forma adjusted operating income, adjusted net income or adjusted net income per share available for 2011. As such we are not able to make comparison of results other than sales on a pro forma basis. Finally, the strengthening of the U.S. dollar had a material impact on this quarter’s result, relative to the assumptions in our previous guidance this resulted in approximately $15 million less in sales, and $0.01 per share less than adjusted ESP. And now I’d like to turn it over to Steve. Steve Simms Good morning everyone. Today we are going to cover three topics. Our second quarter results, thoughts on the most recent economic trends and how they are impacting our business, and finally our updated earnings guidance for 2012. I’ll handle the first two and Scott will provide more detail on the financials and the updated 2012 guidance, and then we will open it up for Q&A. As we announced in our press release this morning, we are pleased with our second quarter results given the current economic environment. Our longer cycle business continues to perform well with sales in gas and fluid handling segment up 8% from the pro forma 2011 quarter. Our fabrication technology segment also turned in a solid performance with sales in line with expectations and margins improving as anticipated. As Scott mentioned, results in both segments were negatively impacted by the strengthening of the U.S. dollar against most currencies. We continue to progress as planned on our current cost initiatives and our backlog remains solid at $1.4 billion in sales.
Now for a look at the specific results. Adjusted EPS for the 2012 quarter were $0.35 per share 21% higher than the $0.29 per share reported for the 2011 second quarter. Other than adjusted EPS, there is very little comparable between 2012 and 2011 due t the size of the acquired ESAB and Howden businesses.Net sales for the 2012 second quarter were 1.50 billion an increase of 9.5% organically compared to the 1.20 billion pro forma sales for 2011 second quarter. Turning now to our business segment. For gas and fluid handling, net sales for the second quarter were 497 million which represents an increase of 13% organically compared to 461 million pro forma revenue in last second quarter. With respect to our end markets please refer to the slide for a specific growth rates. As you [read] that data you will note that currency had a negative 7% drag on sales and a negative 6% decrease in orders for the period of 2011 second quarter. In reviewing end markets for the gas and fluid handling segment, I’ll begin by focusing on our largest sector power generation where our main products include axial and centrifugal fan, lubrication pump and rotary heat exchanges. For the 2012 second quarter, sales increased 15% organically, sales were particularly strong in China and South Africa and as mentioned in our last comment or promised in the last quarter growth in China benefited from compliance with aggressive environmental regulations and a series of maintenance projects has provided growth in South Africa. Read the rest of this transcript for free on seekingalpha.com