Good day, ladies and gentlemen, and welcome to the Third Quarter 2013 Lantronix Earnings Conference Call. My name is Keith, and I'll be your operator for today. At this time all participants are in a listen-only mode, later on we will conduct a question-and-answer session (Operator Instructions). As a reminder today’s conference is being recorded for replay purposes. And with that, I would now like to turn the conference over to Ms. E.E. Wang. Please go ahead.

Thank you, Keith. Good afternoon everyone, and thank you for joining Lantronix's third quarter fiscal 2013 conference call. Joining us on the call today are Kurt Busch, Lantronix’s Chief Executive Officer; and Jeremy Whitaker, Lantronix’s Chief Financial Officer. A live and archived webcast of today’s call will be available on the company’s website at www.lantronix.com. In addition, a phone replay will be available starting at 7 p.m. Eastern, 4 p.m. Pacific today through May 9, by dialing 888-286-8010 or for international callers 617-801-6888 and entering passcode 39420444. During this call, management may make forward-looking statements which involve risks and uncertainties that could cause Lantronix’s results to differ materially from management’s current expectation. We encourage you to review the cautionary statements and risk factors contained in the earnings release which was furnished with SEC today and is available on our website and then the company’s SEC filings such as its 10-K and 10-Q. Lantronix undertakes no obligation to revise or update publically any forward-looking statements to reflect future events or circumstances. Also please note that during this call, the company will discuss some non-GAAP financial measures, today’s earnings release which is posted in the Investor Relations section of our website at www.lantronix.com describe the difference between our non-GAAP and GAAP reporting the present the reconciliation for the non-GAAP financial measures that we use. I would now like to introduce Kurt Busch President and CEO of Lantronix.

Thank you E.E., and thank you to everyone joining us this afternoon. During the March quarter, we continue to make progress in our fiscal 2013 plan. Our results included the following continued execution on new product development, which included, the release to production of the xSenso controller, the second addition to our new analog sensor product family and at our largest trade show presence the Embedded World in Nuremberg, Germany announced the xPico Wi-Fi, a highly anticipated and well-received second edition to our newest embedded product family. I would like to add that I am very encouraged by the initial response to this product. On the marketing and sales front, we continue to expand our reach by growing Lantronix’s distribution and sales channels worldwide. Despite macro conditions that continue to affect our industry, I am pleased to report that Lantronix continue to achieve growth in new product revenues. The cumulative effect of our actions has resulted in a 5% year-to-date revenue growth and significantly improved financial and operational performance. I believe strongly that our strategy will lead us to greater success and enhance value for our shareholders. Before I go into more detail on our progress, I would like to turn the call over the Jeremy to go over our financial highlights for the third quarter ended March 31, 2013, Jeremy.

Thank you, Kurt. Please refer to the financial information in the Investor Relations section of our website for additional details that will supplement my financial commentary. Now, I'd like to take a few minutes to go over the highlights of our results for the third quarter of fiscal 2013. Net revenue for the third quarter of fiscal 2013 was $12.2 million, relatively flat with both the third quarter of fiscal 2012 and the second quarter of fiscal 2013. We believe that our sequential results for the fiscal were affected by the continuing economic situation in Europe, as well as the timing of project rollouts and OEM production schedules which can create quarterly fluctuations in our sales, our fiscal year-to-date results have been positive with 5% growth in net revenue and we remain optimistic on the long-term market outlook for our new products, sequentially, net revenue from embedded products increased 14% and we experienced growth in each of our reported geographic regions, compared to the year ago fiscal quarter, net revenue from embedded products was flat. Net revenue from our external products decreased by 19% and 12% as compared to the second quarter of fiscal 2013 and the third quarter of fiscal 2012 respectively, this was primarily due to a slowdown in project rollouts in the U.S. sequentially net revenue from management products decreased by 3%, primarily due to decline in console server sales. Following the December quarter, we also experienced some decrease in xPrintServer sales as post holiday demand for the home edition declined. However this was offset by growth in sales of our higher end version of the xPrintServer, the office edition, compared to the year ago fiscal quarter, net revenue from management products was up approximately 14%, primarily due to an increase in xPrintServer and SLC sales. Net…

Thank you, Jeremy. As I stated at the beginning of this call, we continue to make progress in the key elements of our 2013 plans, we executed on our product development plan with a target of one new product launch per quarter. During the March quarter we met our target with a production release of the xSenso Controller, the newest edition of our new analog sensor product family designed specifically for use in rugged and harsh environments, the xSenso Controller’s analog and relay outputs provide the ability to take action by controlling industrial processes and equipment based on sensor readings and predefined thresholds to solve real-time problems. In addition, we announced the xPico Wi-Fi, a wireless version of our newest embedded product family. The xPico Wi-Fi is a low power embedded wireless solutions provides both client and access point functionality as well as advanced security features in a module approximately the size of a quarter, the combination of the xPico Wi-Fi size is state-of-the-art security and management features, make this solution ideally suited for machine-to-machine environment. As stated on our last call, the launch of new products and platforms is critical to our business and our long-term vision to become the preferred leader in delivering secure, feature-rich and simple to deploy M2M solutions. Over the next few quarters, we expect to launch new products that will further enhance our offerings in the wireless device networking and mobile printing markets. In addition, we planned to introduce next-generation versions of some existing Lantronix solutions that are directed at expanding both the market applications for our technology to new potential customers and increasing the strength of our relationships with existing customers. During the quarter, we continue to invest in advertising and marketing to enhance awareness and expand sales of our new and existing…

Yes sir. (Operator Instructions). Your first question comes from the line of Krishna Shankar of Roth Capital. Please go ahead. Krishna Shankar – Roth Capital Partners, LLC.: Yes, Kurt and Jeremy congratulations on the new product momentum, and can you give us a sense for how these new products such as xPico Wi-Fi in extent so what kind of demand trends you are seeing there, and what the potential slope for revenues for those two new product lines could be?

So, Krishna, our three main new areas that we’re expanding in are the mobile printing solutions such as the xPrintServer, the wireless solutions such as our PremierWave XC Cellular solutions as well as the xPico Wi-Fi embedded solution and then the analog device servers such as xSenso and the xSenso controller. And we talked a lot about the xPrintServer it’s going quite well for us, on the wireless side both the PremierWave-XC Cellular products and the xPico Wi-Fi wireless products are very much really in the Lantronix warehouse, these are products that are continuing basically expanding the type of products that we had and the xPico Wi-Fi, the response has been very, very good I mean this is an embedded product, much like a chip and obviously takes, whatever year and a half to two years to ramp, but the initial response that I have seen has been very, very good in the company. In fact the response I’ve heard from our sales guys is one of the best early responses that we’ve seen, I also like to state the xPico Wi-Fi is probably the most significant development we’ve done in the last year and a half, this is a new platform for us the new OS as well as a new processor and we planned to build a lot of derivatives from this platform, so it’s quite a significant development for Lantronix. On the sensor side this is really a new area for us and I think this is a wildcard in our whole new development, we sell a lot of industrial automation parts today, but the sensor part is the new part for that, we are starting to see some initial traction and we expect that to continue probably over the next year Krishna Shankar – Roth Capital Partners, LLC.: Thank you. And then on the distribution channel initiative, how’s that coming along both with Arrow and with Ingram Europe, and when do you expect to see some of the fruits of that distribution channel efforts in terms of revenues in those regions?

Sure, as you know in Europe we sell primarily our embedded products today and we recently signed an agreement with Ingram Micro to be selling both our external box products as well as our IT and our device management product, we are starting to see initial traction from that now, as it really turned into revenue at this point, but we are seeing a lot of interest and we’ve received some of our first orders on the APAC region the agreement with Arrow is primarily on the embedded side and again embedded takes a year-and-a-half to two years before we start seeing revenue, but we’re starting to see interest there in the APAC region. Krishna Shankar – Roth Capital Partners, LLC.: Great, thank you.

Yeah, thank you, Krishna.

(Operator Instructions) It looks like we have no other questions. I’ll go and turn the call back over to Kurt Busch for any closing remarks.

Thank you, operator, I'd like to thank you all for your participation on our call today. We look forward to updating you on our progress, achievements and actions when we report our fourth quarter and year end results for fiscal 2013 in late August.

Ladies and gentlemen, that will conclude today's conference. Thank you very much for joining us and you may now disconnect. Have a great day everyone.