Greetings, and welcome to the Centrus Energy Second Quarter 2020 Earnings Call. [Operator Instructions] As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Dan Leistikow. Please go ahead, sir.

Good morning. Thank you for joining us. Today's call will cover the results for the second quarter 2020 ended June 30. Here today for the call are Dan Poneman, President and Chief Executive Officer; Philip Strawbridge, Senior Vice President, Chief Financial Officer, Chief Administrative Officer and Treasurer; and John Dorrian, Controller and Chief Accounting Officer. Before turning the call over to Dan Poneman, I'd like to welcome all of our callers as well as those listening to our webcast. This conference call follows our earnings news release issued yesterday. We expect to file our quarterly report on Form 10-Q later today. All of our news releases and SEC filings, including our 10-K, 10-Qs and 8-Ks are available on our website. A replay of this call will also be available later this morning on the Centrus website. I'd like to remind everyone that certain of the information we may discuss on this call today may be considered forward-looking information that involves risk and uncertainty, including assumptions about the future performance of Centrus. Our actual results may differ materially from those in our forward-looking statements. Additional information concerning factors that could cause actual results to materially differ from those in our forward-looking statements is contained in our filings with the SEC, including our annual report on Form 10-K and quarterly reports on Form 10-Q. Finally, the forward-looking information provided today is time sensitive and is accurate only as of today, August 5, 2020, unless otherwise noted. This call is the property of Centrus Energy, any transcription, redistribution, retransmission or rebroadcast of the call in any form without the expressed written consent of Centrus is strictly prohibited. Thank you for your participation, and I will now turn the call over to Dan Poneman.

Thank you, Dan, and thank you to everyone on the call today. As we discussed on our last call, even as the COVID-19 pandemic has strained the broader economy, Centrus is fortunate that the vast majority of our revenue is tied to stable long-term contracts with large entities like electrical utilities and the U.S. government. We have not had any interruptions in our nuclear fuel deliveries to our customers in the United States and around the world, and we expect that we'll continue making those deliveries as planned in the months and years ahead. The health and safety of our employees is our highest priority. So we are taking all necessary steps to protect them, including through extensive telework wherever possible. A portion of our workforce at our secure facilities in Tennessee and Ohio are unable to telework. So we have implemented temperature checks, strict social distancing measures, mask requirements when in close proximity and increased deep cleaning to protect those employees. We also recognize that expanded telework requires us to take additional measures to protect against potential vulnerabilities in our systems and communications, and we have done that. This was another strong quarter for Centrus, not only in the bottom line results, but also in terms of the progress we are making in executing our strategic plan to grow and diversify our business. Centrus reported $75.7 million in total revenue and net income of $33.7 million for the second quarter. That strong result was primarily driven by a settlement of a claim we made in a customer's bankruptcy proceeding. It's a significant improvement over the second quarter of 2019 when we saw a net loss of $15.6 million. As always, however, I do want to caution that our revenues and results tend to vary considerably from quarter-to-quarter. Our long-term…

Thank you, Dan, and good morning to everyone on the call. As Dan mentioned, for the second quarter of 2020, we had total revenue of $75.7 million, including $63.4 million from the LEU segment. The LEU segment revenue includes $32.4 million collected from claims filed with bankruptcy court. Excluding those proceeds, revenue from LEU segment increased by $26.2 million in the second quarter compared to the same quarter last year. That variation reflects the dynamic, Dan discussed a moment ago. Prices and volumes can vary significantly from quarter-to-quarter depending upon how our customers choose to time their annual purchase commitments over the course of the year. Cost of sales for the LEU segment increased to $11.2 million in the second quarter of 2020 compared to the same period in 2019. Our Technical Solutions segment revenue and cost of sales increased by $4.3 million and $5.8 million, respectively, compared to the same quarter in 2019. This reflects the mix of Technical solutions work performed in each of the periods, including more performed under the HALEU contract discussed above in the current period. Now I'd like to talk about our SG&A costs. This quarter, our total SG&A was up compared to the same quarter last year. However that was primarily driven by a $2 million write-off of capitalized cost that had accrued over the past several quarters associated with their capital structure. In addition, we incurred about $800,000 of stock-based incentive compensation expense related to the significant increase in our stock price. We also incurred $1.2 million in the 6-month year-to-date pursuing the settlement that we talked about that we secured in the bankruptcy court. We will continue to look at opportunities to reduce our SG&A costs as we have over the last several years. As far as cash, we ended the second quarter of 2020 with a consolidated cash balance of $119.3 million. Because operating results and cash flows vary from quarter-to-quarter, results for this or any other quarter are not necessarily indicative of the results that may be expected for the year. As we have indicated, when we filed our 10-K, we, like many other companies, are not providing annual earnings guidance. Now I'll turn that back over to Dan.

Thanks, Philip. Before we close, I would like to highlight some other interesting developments in nuclear energy. In addition to Project Pele, which I mentioned earlier, the U.S. Department of Energy is now taking applications for the Advanced Reactor Demonstration Program. And plans to fund the deployment of 2 first of a kind advanced reactors in the next 5 to 7 years, laying the groundwork for the potential commercialization of those reactor designs. This program reflects the strong commitment of the Department of Energy and a bipartisan coalition [ in its numbers ] to the future of the advanced nuclear industry. And the belief that America can and should lead the transition to the next-generation of reactors. Many of these new designs will require HALEU, and Centrus is proud to be on the vanguard of that effort. This is a pivotal moment for America's nuclear future. Our energy security, national security and climate objectives can all be powerfully advanced by the successful deployment of advanced generation nuclear reactors. All of us at Centrus are excited to be part of this moment and to this great venture that holds so much promise for our generation and for those that follow. Operator, we'd be happy to entertain any questions at this time. Thank you.

[Operator Instructions] Sir, it would appear that we have no questions in the conference call. I would now like to turn the floor back to Dan Leistikow to conclude comments.

Thank you. Since there are no questions at this time, this will conclude Centrus' Second Quarter 2020 investor call. I want to extend a thank you to our listeners, and we look forward to speaking with you again next quarter.

Thank you very much. Ladies and gentlemen, this concludes today's conference. Thank you for your participation. You may now disconnect your lines at this time.