Welcome to the Luxfer Group third quarter conference call. We will first hear from Luxfer Chief Executive, Brian Purves, who will provide a market overview for the quarter; followed by Group Financial Director, Andy Beaden, who will review the financial performance for the quarter and year-to-date. Brian will then return to sum up and offer an outlook. After that, Brian and Andy will take your questions. To make sure that as many questioners as possible get a chance to speak in the time allotted, we request that you initially ask only one question. After you have heard the answer, we will give you the opportunity for a follow-up question. If you would like to ask additional questions, our operators will place you back in line. We thank you for your cooperation. We now turn the call over to Brian Purves.

Thank you. Good afternoon, ladies and gentlemen, and welcome to the Luxfer conference call on the third quarter of 2013. I will take you through the summary results and the market situation, Andy Beaden will go through the detail of the financials, and after a statement on the outlook we will take your questions. During the quarter, our European operations which have been struggling all year, and cooler July and August with low production due to the dearth of orders. We did however see an uplift in September, and in the quarter with a better order book, and that gives us some confidence that European businesses will show some improvement in the fourth quarter. Although our overall revenue is up on the prior year, mainly due to our strong performance from our North American business units, the growth is within the cylinder business and the operating margins here remain rather lower than in the specialty materials businesses. The weaker mix is the main reason that the group’s trading profit is 2.3 million lower than in quarter three last year. Despite the lower operating profit, with the benefit of the work that we have been doing to reduce the marginal tax rate, adjusted EPS of $0.35 was close to the consensus forecast for the quarter. In looking at the [IFRS profit] since the prior year, it is important to remember that there is between 2 million and 3 million per annum of incremental cost being incurred as a direct consequence of our listing last October, so which is one-off expenditure such as the costs of implementing of Sarbanes Oxley. Looking at the slide covering sales revenue movement, Slides 5 and 6, these track from the 2012 third quarter result, at the top of the schedule, through to the 2013 result at…

Thank you, Brian, and welcome everyone to the call. Brian covered the divisional sales analysis. And my first slide, Slide 9, shows how that consolidates the group revenue changes for Q3. Total revenue was $119.9 million for Q3, with net revenue of $118.3 million and the rare earth chemical surcharge was down to only $1.6 million. The group's underlying revenue was up 8% or $8.8 million, excluding the surcharge reduction of $3.7 million and adjusting for FX translation a positive $0.3 million. Turning to the trading profit results on Slide 10, Brian talked through the factors affecting the revenue and sales changes in the quarter, in line with the sales changes as cylinders profits were higher, up 5%, to $4.2 million, and Elektron’s were lower down 20% to $9.8 million. Trading margin in gas cylinders was 6.5%, which was lower than prior year. This was despite small added value composite cylinders being sold, and was due to several other factors, being negative FX transaction differences of $0.3 million, and lower utilization of European cylinder plants due to demand weakness in that region in the start of the quarter. Elektron’s margin at 17.6% was lower than in Q3 2012 due mainly to the weaker sales mix, and also low utilization issues in the zirconium UK facility. As I explained in Q2, we have one more European magnesium recycling business of lower grade alloys, and so volumes and revenues were much stronger for that plant. But this is a low margin business when compared to zirconium chemicals and magnesium sheet and powder, where demand was much weaker. For Q3 2013, group trading profit was therefore $14 million versus $16.3 million for Q3 2012. Trading profit was particularly weak during the summer months, though demand in Europe did improve later in the quarter.…

Thanks Andy. In summary then, quarter three, started weakly in Europe, and while September was better, the overall quarter was at the bottom end of our expectations on operating profit. As indicated, we are currently experiencing reduced volumes on certain Elektron product streams and generally our European focused business units are suffering from weak demand. While cylinders is overall showing strong revenue growth, the net impact of the mix change on group profitability is currently negative. We did however deliver the expected result on EPS. Looking at the balance of 2013, we’re assuming only a modest improvement in European demand during the remaining weeks of 2013. Accordingly, while we do expect Q4 to show an improvement over Q3, and indeed are targeting it to March Q4 last year, we see little opportunity to move away from the bottom end of our forecast range on trading profit. It is pleasing however that the work that we have been doing to improve our marginal tax rates is paying off, and so we’re more optimistic that our EPS figure will be at least mid-range. Extended weakness in European automotive demand and the deeper than expected US military cuts mean that the Elektron division will end the year well down on 2012, although the gap is narrowing. We remain confident that the cylinder division will show strong revenue and profit growth over the year. With a good uplift in operating margin to above 7%, despite the hopefully temporary weakness in European demand for aluminum specialty gas cylinders. For 2014 we are cautiously optimistic with an expectation of continued strong growth in cylinders driven again by CNG and breathing air cylinder and at least some recovery in Elektron progressively through the year. Despite approving some hefty capacity improvements in 2013, we expect to undershoot our capital expenditure forecast for this year, but the carryover expenditure will mean that our 2014 capital spend is likely to remain above $25 million. Our main focus remains on delivering medium to long-term potential for the business driven largely by our strategic projects, and there is no change to our positive view on those. Thank you and we will now take your questions.

(Operator instructions) Your first question comes from the line of Luke Folta of Jefferies.

Good morning gentlemen.

Hi, Luke. Good morning.

The first question I have, when I was reading through the release, I -- and there was a comment in there about increasing expenditures on the cylinder expansion, and I wanted to just understand was there something incremental that you are doing from what we had -- you already announced last quarter, or you are just referring to the way it flows through over the next couple of quarters? I think it was a $7 million figure you talked about spending over the next six months?

Yes. It is not incremental Luke. It is just -- it is just in trade at the moment, and capacity increases on the alternative fuel side, we got some benefit early in the third quarter, but the rest doesn’t come on-stream until during quarter one next year. So we are still spending money on that. Now on the SCBA side, the additional capacity takes a bit longer to get in, and won’t have that available until the middle of next year. So there is nothing incremental. It is just referring back to the fact they are approved and they are currently in process.

Okay. And then also in the release there was a comment about some pricing pressure you noted in the quarter, although it was unclear on which products you were talking about and then, I guess, in addition to that can you just talk about what you are expecting in terms of Elektron division pricing into next year. It seems like that has been weak most of the year, but now it is -- we might be starting to pick up some steam and end the year stronger, is there an opportunity for improvement in that side?

Well, we certainly -- we haven’t completed our budgeting process for 2014 yet, but we’re certainly targeting an improvement in Elektron in 2014. I think at this point in time with quite a few things still floating around, our expectation is that that will be a relatively modest improvement until we see just what degree of recovery there will be in the European markets in particular. But on the pricing pressure front, we are seeing a lot of pricing pressure around the group, both on the cylinder side and on the Elektron side. The comment refers specifically to the zirconium side of the business, where we have encountered quite a degree of aggressiveness from [Indiscernible] on pricing. Not to say that we have conceded very much, but it is a drag on obviously rebuilding the volumes if the customers are quite aggressive on price. So going forward into 2014, we’re still being a little bit circumspect about how quickly we recover the volume that we have lost over the past two or three years.

Okay. And if I could, just one quick further one, there was some expectation that there could be a [chem cat] order by the end of the year, could you just give us an update on what is happening there on those projects?

That work continues. We are still in advanced discussions. Of course we are a supplier -- material supplier to the catalyst manufacturer, who is then supplying the -- we believe is petrochemical application on the petrochemical applications new plant. So it is quite a lot of things floating around there, but our customer tells us that they have built this contract into their budget for next year, and we’re still hopeful that we will get some good news on that around about the end of this year. The supply of material will not commence until the earliest towards the back end of 2014, and that is one of the things which is still floating around in terms of expectations for the Elektron division next year. So we’re pretty confident about it, but the timing is still floating around a little bit.

Okay. Thank you.

(Operator instructions) The next question comes from the line of Philip Gibbs of KeyBanc Capital.

Good morning guys.

Hi Phil.

Hi Phil.

I had a question largely just on the guidance. In your previous report you had discussed the second half being better from a trading profit perspective than the first half, that appears that it is not going to happen at this point largely because of the pressured cylinders business, just really curious about what happened, and maybe relative to that prior view?

Certainly [Indiscernible] where we are today from a quarterly goal then it is the European cylinder business, and particularly the aluminum business, which is worse than we had talked it would be. July and August in those businesses was pretty poor. August is never a good month because France shuts down for August, but the UK plant had a very poor July and August, and so the delta between where we thought we would be and where we actually are is actually the European cylinder business. So it doesn’t affect our view that cylinders will show very good growth in both revenue and profit this year. It is just not going to be quite as good as we had talked it would be.

Okay. It seems like your CapEx for this year is going to be a bit -- a bit lower, just two question to that, what are you targeting now for a full year rate, I believe before we were looking for something around 25 million, and which projects in particular are moving into ’14? Thanks.

We are only talking about the tune of a couple of million dollars thereabouts. I think our forecast for the company was a little higher than 25.

It was about 30 million, I think Phil. Of course we have invested via the JV, so in the quarter, we actually invested nearly $10 million. Obviously only $6 million, $6.2 million directly in our own plants, and indirectly we were investing in the JV for the gas transportation module business. So when you bring that in as well, we are still going to be up over $25 million plus level of investments across the whole business, but it could be -- and we’re still targeting around, you know, low to mid 20s, maybe for the main businesses. But it won’t be at the 30 million for the Luxfer businesses anymore. It will certainly be between 20 and 25.

With the [Indiscernible] slippage into next year, and the fact that quite a bit of the [Indiscernible] improvement expenditure in cylinders is going to fall into 2014. Where otherwise our expectation might have been the 24 -- it would have been below $25 million. It is now likely above $25 million.

Thank you.

At this time there are no further questions. I will now turn the call to Brian Purves for any additional or closing remarks.

Well, if there is nobody else in the queue, I will just thank everyone for participating, and we look forward speaking to you again early next year.

A recording of this conference call will be available for replay in about few hours, and will remain accessible until the next quarterly report is released. To hear the recording call (800) 585-8367 in the US, 0 (800) 917-2646 in the UK, or press 1-404-537-3406 in other countries. Enter conference ID code 795-89156 when prompted. This information will also be available on the Luxfer Group website at www.luxfer.com. Thanks for participating in today’s conference call. You may now disconnect.