Rich Tobin

Okay, good morning or good afternoon everybody. I’ll make some opening comments and then I’ll hand it over to Camillo to go through the party of the presentation and then he will hand it back to me at the end and that we can start with the Q&A.

So thankfully overall it was a good quarter with satisfactory market performance in terms of market share and product introductions which I think that we talked about. At the end of last year that this year was going to be a critical year in terms of our ability to launch products, because it’s a pretty heavy schedule for us and so far so good. So we have successfully executed through the second quarter on product launches and through that has had good product availability in the marketplace, which has been reflected in our earnings and market share.

Good performance on gross margin that Camillo will get into in the presentation with satisfactory price realization and improved year-over-year industrial performance. And, at the end of the presentation we will discuss some of the headwinds or areas of concern that are out there, largely some weakening in the global economy in certain areas. We will have some comment on the drought in the North America, and what we believe that the impact will be there. And, then as you can see from the translation effect in Q2 on our financial results, where we’ve got some additional information in the main body of the presentation in terms of FX.

So with that, I’ll hand it over to Camillo and he’ll take us through the main body of the financial presentation.

Camillo Rossotto

Thanks, Rich. I’ll start on slide 4, which lays out the highlights for the quarter. As you seen from or report earlier today, net sales were up 3%, 9% of constant currency based and I’ll get back to the currency in a couple of slides down the body of the presentation up to $5 billion, of which $4 billion were essentially agricultural equipment sales, up 5%, 11% in constant currency and the construction equipment that 20% of our sales in the quarter was down 3% on a reported basis plus 4% constant currency. As Rich mentioned, gross margin was up, we closed that 1% in terms of gross margin in the quarter, that’s 80 basis points better than last year on the back of volumes and pricing, offset partially by higher production cost as we will see in a second.

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