Good day, ladies and gentlemen, and welcome to the Anixter International Second Quarter 2013 Earnings Conference Call. As a reminder, today's conference is being recorded. At this time, it is my pleasure to turn today's conference over to Lisa Meers for opening comments and remarks. Please begin when ready, Ms. Meers.

Okay, thank you, Andrea. Good morning, everybody, and thank you for joining us today for Anixter's Second Quarter 2013 Earnings Conference Call. Today, I'm joined by Bob Eck, President and CEO; and Ted Dosch, EVP and CFO, to discuss our second quarter financial results. After the remarks, we'll open up the line to take your questions. Before we begin, I want to remind everyone that we will be making forward-looking statements in this presentation, which are subject to a number of factors that could cause Anixter's actual results to differ materially from what is indicated here. We do not undertake to update these statements and refer you to our SEC filings for more information. In conjunction with today's earnings announcement, please find a supplemental slide deck that can be accessed on the Investor Relations portion of our website at www.anixter.com/investor that will further detail the quarter. Today's earnings announcement includes both GAAP and non-GAAP financial results, the reconciliation of which is further detailed in both our earnings release and in the aforementioned slides posted on our website. In addition, I'd also like to remind all of you that we will be hosting our Investor Day in New York on Thursday, August 8. Please contact me if you're interested in attending and did not receive an invitation. Now I will turn the call over to Bob.

Good morning, and thank you for joining us for a review of our second quarter 2013 operating and financial results. Today, I will offer my perspective on our business in the current operating environment, update you on each of our reporting segments and discuss why we believe we are well positioned to grow and gain share in each of our end markets. Then I will turn the call to Ted to detail our financial performance and frame how we are looking at the rest of 2013, after which we will both take your questions. Our second quarter earnings showed a 9% increase to $1.39 per diluted share and 4% growth in net income from continuing operations while improving our strong cash flow from operations to $112 million on a year-to-date basis. Continuation of the challenging economic environment resulted in relatively soft demand in some areas of our business, which was consistent with our expectations when the quarter began. However, over the course of the quarter, in our key North America Enterprise Cabling and Security Solutions business and Europe region in general, we experienced improving though slow growth in the business. The 0.2% year-over-year increase in reported sales would have been an increase of about 1%, excluding the negative impact of the conclusion of a large Security Solutions contract that we commented on last quarter. Overall, Security sales remained strong with record second quarter sales of over $270 million. Organic sales growth, which excludes the impact of acquisitions, foreign exchange, lower copper pricing, decreased by 0.6% in the quarter. In spite of the continued weak economy in the Europe region, we achieved positive organic sales growth in that region. We achieved record second quarter sales of $531 million in our Wire & Cable segment, including record sales in that segment for…

Thanks, Bob, and good morning, everyone. All of my comments this morning pertain only to our results from continuing operations. As Bob discussed, we reported total second quarter sales of $1.6 billion, a 0.2% increase compared to a year ago. After adjusting for the positive impact of the Jorvex acquisition and the dilutive impact of foreign exchange and lower copper prices, organic sales growth decreased by 0.6%. The reported sales would have been up approximately 1% after adjusting for the conclusion of a large Security contract in the fourth quarter of last year. Moving down the income statement, we reported operating income of $86 million, which was a 5% decline; net income of $46 million, a 4% increase; and diluted earnings per share of $1.39 or a 9% increase. We estimate that the negative earnings impact of the previously mentioned Security contract was $0.02 to $0.03 per diluted share. In addition, we estimate that the negative earnings impact from lower average copper prices was $0.03 to $0.04 per diluted share. Excluding these 2 items, our year-over-year operating income would have been nearly flat and diluted earnings per share would have been approximately $1.45 or a 13% improvement. Both this year and last year had 64 billing days in the second quarter. Our second quarter operating expenses of $270 million increased by $2.3 million or 0.9% versus the year-ago quarter. As a percent of sales, operating expenses were 17.1%, up 10 basis points versus a year ago. Excluding the acquisition and currency-related impacts, expenses were down approximately 1%, in line with the change in organic sales. We are on track to deliver the estimated $20 million of operating expense savings from our previously announced restructuring and pension plan changes. These actions have resulted in approximately $5 million of savings per quarter…

[Operator Instructions] We'll go first to David Manthey with Robert W. Baird. David J. Manthey - Robert W. Baird & Co. Incorporated, Research Division: First off, I was wondering -- you touched on this a little bit when you talked about the outlook, but I think in this type of environment, where the growth outlook is uncertain as it is, could you talk about your company-specific initiatives that will help you drive stronger growth? I know you talked about the cost side of the equation. And maybe included in that, can you give us an update on your growth initiatives? You touched on expanding products in the Emerging Markets, in-building wireless, industrial automation just as a starting point. And then second, is your mid-single-digit growth estimate for the back half predicated on market improvement, or is that just sort of business-as-usual in the environment we have today?

Dave, this is Bob. I'll start the answer. The mid-single-digit growth in the back half does expect some market improvement. In other words, we think the markets are trending up. It's not purely us taking share. I think it would be challenging to take -- to generate mid-single-digit growth surely off share gain in very difficult markets. So we do expect some lift in the markets. And we think we're seeing, as I indicated in my comments, some of those signs. Going back to your first question, the growth initiatives are -- we called most of them out, but I'll start with ECS, multi-tenant data centers, which we've talked about a couple of times. And that's simply looking at a subset of the data center market where there is more investment today. And it's sort of -- you read a lot about cloud services, hosting. What it does is just create a flexible way for companies to build out data centers at lower cost. And we think those hosting companies, the multi-tenant data center companies, are a good target for us. So that's clearly an initiative. In-building wireless, we've talked about continuing to be an initiative. As Ted commented, we had a little bit of a drag in operating expense because we continue to focus on recruiting people to serve that market. We think it has some unique requirements and some unique skills are required. So we've added people with experience in that market to our organization. Security continues to be a focus for us, as well. And I think all of the trends that we've seen in security in the past continue to hold up, potentially at more subdued rates than you saw over the past few years, but we think that holds up as well. Shifting to Wire…

Dave, I have listed some strategic initiatives that drove some of the incremental expense year-over-year that were not onetime. And I referred to the investments in -- like our additional people for ICC, IBW, as well as Wire & Cable in Emerging Markets and our digital marketing strategy. Those I referred to as all strategic investments, not onetime. I did also comment that we did have a onetime large increase in our U.S. medical benefit in the quarter. So that was about 1/3 of that $4 million number I called out. Now the rest would not be considered onetime. We also had, on the expense side, we also had a postretirement benefit adjustment in our Latin America business that was onetime as well, which amounted to about $0.75 million. The second part of your question relative to shipping days, as I said, Q2, we just finished with 64 both this year and last year. Q3 will be the same year-over-year, 63 each. Q4 would be 66 days this year versus the 62 of last year. So again, as I commented in my script, because of the timing of our fiscal year end, we'd actually have 14 weeks in our Q4 versus the 13 weeks of last year.

And I think maybe just to add a little color to that, one of the cautions we provide in the years where this comes up is that we do pick up an extra week of expense, but we don't necessarily pick up a full week of sales. We pick up incremental sales but not -- because it's in the holiday season, we don't really pick up a full week.

Our next question comes from Matt McCall with BB&T Capital Markets. Matthew Schon McCall - BB&T Capital Markets, Research Division: So just going through some of the components, you talked about the cost savings, the pension savings. You quantified the interest expense expectations and then your tax rate lower year-over-year. So if I add those up, that's about $0.77 roughly on a year-over-year basis. So what I want to talk about, I guess, is some of the offsets. A few things you mentioned, and I'm really looking more broadly at the year, but you talked about mix. You talked about the elimination of the contract on a year-over-year basis, copper, FX are going to hurt. And then the investment spend. Could you go through those 4 and kind of give us an idea what the offsetting impact to earnings could be this year?

First, Matt, we can take some of the discussion off-line, but I'm not sure how you came up with the $0.77 for starters on that. That sounds on the high side for those items. So we can go through the math in more detail later. As far as the increased amounts, first, from an FX standpoint, even though the FX was lower, total cost was lower than last year in the quarter, obviously, it was higher than Q1. And that's a function of the volatility in FX in many of our larger markets, Brazil being one as an example, where the cost was higher than Q1. FX, obviously, is extremely hard to predict. But I would suggest, just for modeling purposes, if you assumed Q2 run rate for Q3 and Q4 would be reasonable for that. From a copper standpoint, I think as we explained last quarter, I think it's still a reasonable estimate for you to use that a $0.10 swing in copper amounts to about a $3 million impact on the revenue line. And then relative to that, that translates into about $650,000 of operating margins or somewhere between $0.01 and $0.015 per share. So as we said, in this quarter 2, $0.29 swing in copper is how we guided to that approximately $8.8 million of revenue. Sitting here today, if copper doesn't change and it's sitting here at $3.19 today, we would have a 30-plus cent loss year-over-year in the back half because Q3 was still about $3.52 last year. So I think using that approximate amount of impact of copper again in Q3 and Q4 would be reasonable if you assume copper just stays where it is right now. I think you had one other item you asked me to... Matthew Schon McCall - BB&T Capital Markets, Research Division: Well, yes, the other is you talked about the elimination of contract. I think you said that, that was $0.02 hit in the quarter. And then the other was investment spend. I think you broke that out and I was just...

The contract, I would say, you could use a similar amount for Q3 and slightly less than that for Q4 because that contract really phased out last year in November. On the investment spend, again, if you look at this Q2 OpEx run rate and back off somewhere between $1.5 million approximately of what we would consider more onetime OpEx, that would be kind of a reasonable run rate for kind of core spend adjusted by volume as we grow the volume in Q3 and Q4. Matthew Schon McCall - BB&T Capital Markets, Research Division: Okay. And then you talked about an improvement in the operating contribution margin and you talked, I think, about high single digits in the past. Is that still a good range to use on that low-single-digit organic growth assumption for the year?

Well, if you just look at the back half, because obviously, we were flat on the revenue through the first half, but if you look at the back half, we drive at mid-single-digit revenue growth, call it around 5%, then yes, we should drive high-single-digit operating profit leverage for the back half.

We'll hear next from Shawn Harrison with Longbow Research.

I have a couple of clarifications. Just, I guess, first on the $20 million of restructuring savings. What is the net amount you expect at the end of that after making, I guess, the investments here in the second quarter in some of these businesses?

Well, Shawn, 2 completely separate actions. Let me explain it in 2 parts. The 20...

I guess maybe -- sorry to cut you off, Ted, but there was an expectation of $20 million of synergies. You're making these investments. So I'm just trying to figure out, if we add the 2 up, 12 months from now, what would be the net benefit to the P&L?

I would think the net delta would be in the $8 million to $9 million range. If you net it off, approximately $3 million, $2.5 million to $3 million per quarter of these incremental strategic investments that I've mentioned, ICC, in-building wireless, Wire & Cable expansion into Emerging Markets and digital marketing.

Okay. Will you have incremental investments maybe on the second quarter, or was this kind of a step-up to a new level?

No, I don't think we would have incremental to this run rate in subsequent quarters.

Okay. And then just as a few follow-ups. Maybe, I guess, we can just talk a little bit on Brazil, what you're seeing. Any delays in spending patterns or issues either because of currency or because of the protest? And then also, just the extra week at the end of this year, does that replicate in 2014, or is that just kind of a every-few-year event?

Shawn, first, on the extra week, that happens every few years, so don't expect in your model for that to occur again in 2014. It won't. So on Brazil, first, the protests aren't having an effect on the business one way or the other. We saw some delays in spending that started in the second half of last year and that was really, I would say, largely recessionary in nature. Brazil did have an economic slowdown that definitely impacted capital investment. So I would say nothing unique about that. We are seeing the spending coming back. We're seeing projects being released in Brazil currently. So we do expect Brazil to rebound. That's part of what we have factored into our growth outlook for the second half of the year. We do think the Emerging Markets are going to rebound in Brazil as part of that.

Okay. And then just to finalize, I guess, my questions. With the debt-to-cap now close to the bottom end of the target, how low would you let that fall before you would add some incremental leverage?

There's a couple of moving parts in that. We really don't want to predict out when we would do something about the leverage in the organization. But basically, if you're thinking about shareholder-friendly actions, we do have a limitation in one of our covenants, that we didn't cap the limitation but came close to it with some of the actions we took last year. That basket gets rebuilt out of net earnings, so as net earnings get rebuilt, we have flexibility to do shareholder-friendly actions. We'll look again at how do we feel about the outlook for the business? Does that suggest that more leverage is prudent? What's in the M&A funnel and how close are things to maturity in the M&A funnel? And do we want to use cash for that? If the answer to both of those is comfortable with more leverage and we don't have anything for M&A, then obviously, we'll, as we have in the past, look at shareholder-friendly actions.

And I guess to that point, how is the M&A funnel?

It's always active. And things always take longer to come to a close than you would like them to. But we do have an active funnel of opportunities across our end markets and across our geographies.

Our next question will come from Steven Fox with Cross Research.

Couple of questions. First of all, just getting back to the expense line, I think I'm still a little bit confused. I guess if I look at your expense dollars, operating expense dollars in Q2 of $270 million, it's up about $30 million quarter-over-quarter. How much of that would you say is sort of investment-related for future sales, putting all the sales people in place, et cetera? And then I think I understand the forward-looking aspect of what you're saying about OpEx, but what are the chances that you could make more investments on the sales force that would show up in the OpEx line later in the year? And then I have a follow-up.

Steve, first off, the single biggest driver of that increased OpEx year-over-year was cost associated with -- or expense in the Jorvex business that we acquired. So that was probably 35%, 40% of that increase. Separate from that, and I commented before, probably something in the range of $2.5 million to $3 million is what we would call out as being more specific to these various strategic growth initiatives. Other cost increases are more inflationary-related or more of the onetime nature, like I mentioned, probably another $1.5 million or so related to the 2 items I called out that are more onetime.

Okay. But the investments you made are now parts of your cost base. So you're still guiding for something $270 million less a couple million dollars going forward, with volume help maybe raising now. I'm just trying to get a -- make sure I have the correct base going forward.

Correct. Correct, you said that correctly.

Okay, good. And then just on the business trends, going back to the Enterprise side of the business, I guess you talked about the momentum recovery. I guess, Bob, maybe if you could talk a little bit about the likelihood of how it continues. I mean, if you look -- in your experience with looking at cycles once you do start to recover off the bottom, what's the usual reaction from your customer base and how it could be different this time both better or worse?

Steve, I'll speculate as well as anyone can on what's going to be different this time. Normally, when we come off, we experience a little more strength coming off the bottom. And we actually saw that in 2011, when we started coming off the bottom from the 2009 recession. Each time is different. We saw a slower recovery coming off the 2001-2002 recession in the Enterprise business. It took us a couple of years, actually, to ramp up and accelerate in ECS. So I am certainly not looking for a hockey-stick type of recovery or growth, pickup beginning in the second quarter. But based on what we're seeing broadly across our geographies and vertical markets, if you want to think of it that way, we're seeing lots of projects activity, projects being awarded and coming into our backlog. So I see this as not a hockey stick, a more modest pickup. I think some of our initiatives will help us in that respect. We'll pick up some business we might not otherwise have picked up. But I think it's going to be kind of tempered. So I think that will be consistent with that mid-single-digit back half growth we're looking for as well.

And just a quick follow-up on that relative to market share gains. Are you implying that maybe there's a chance this time for more share gains off the bottom because you were investing more heavily over the last year or so and it's been a longer downturn? I'm just trying to figure out how to interpret that last comment.

Yes, I think if we look across the company more broadly than just Enterprise, the investments clearly are targeted in share gains, but share gains in some of these new initiatives, right? So you have people investing in multi-tenant data centers and in-building wireless, so we -- there's spend that exists in those markets that we should get share gain in. And in-building wireless is a growing market in itself. When we look at ICC, where we're making investments in people, that also is a market where largely, there will be some growth in the market and we'll also pick up share gain. When you look at kind of mid-teens growth in that for the first half of the year in ICC, there's clearly some market lift and a lot of market share gain in what's a new market for us, that we're a new entrant in a big market.

Our next question comes from Ryan Merkel with William Blair. Ryan Merkel - William Blair & Company L.L.C., Research Division: I want to start with the margin. I think last quarter, you said you expected higher operating margins for the year. And I was wondering, is this still the outlook?

I'm not sure exactly which comment you're referencing previously. But yes, we would anticipate that we would drive higher margins in the back half of this year, with flat to potentially slightly up gross margin but much better operating expense leverage on the higher revenue base. Ryan Merkel - William Blair & Company L.L.C., Research Division: Yes. Last quarter, I asked a question, a clarifying question based on some of the numbers you gave on incremental margins and implied that margins, you thought, would be up year-over-year for the year. And I think you said that, that wasn't the outlook. So I guess now I get it that we're expecting incremental margins to be better in the second half, and I'm just wondering if that comment about higher margins for the year is still intact.

Yes. So with being slightly below last year through the first half, we deliver mid-single-digit revenue growth, it should result in margins at or slightly above last year at the operating margin level. Ryan Merkel - William Blair & Company L.L.C., Research Division: Okay, okay. And then I think, Bob, if I heard you right, the one additional week that we get this year, that's actually a bit of incremental margin headwind to the math, correct?

Yes, it is, because we pick up a week of expense and a little bit less than a week of revenue. Ryan Merkel - William Blair & Company L.L.C., Research Division: Right, okay. And then I'm sensing some pretty good confidence from you guys about the second half pickup and you gave a lot of good reasons, including trends and quoting activity. Is there any other factors you can point to, possibly customer feedback or industry forecast, that can add to that confidence?

Yes, one I'll comment on, Ryan, that we mentioned last quarter and still appears to be very much the case, is within the OEM supply business, with our fastener business. Remember, that's the part of our business, the one segment that declined the most in the back half. It was down double-digit kind of percentage levels in Q3 and Q4 last year primarily due to a significant reduction in heavy truck production levels. And manufacturers in that segment are projecting, as recently as this morning, with one of the heavy truck manufacturers releasing their numbers, projecting full year production levels to be slightly up year-over-year, which, at this point, would indicate a very significant increase in production levels in the back half. That's what we're -- that's consistent with the forecast data that we're receiving from that customer vertical. So because that is such a significant part of our OEM fastener business, that will certainly help to show some nice improvement in that segment in particular.

And I think if you throw onto that the ABI, the non-res construction growth tends to lag ABI on, like, a 9- to 12-month period. And the ABI has been up and has been in positive territory consistently for a number of months now, so that would also suggest that we ought to see some lift in non-res construction that part of the year. And the other metric that drifts around up there are things like freight miles in trucking. And freight miles in trucking in the U.S. are up year-over-year. So that will also indicate some lift in the economy. So I think there's some general macro indicators like that, that are a little more positive than they've been in prior periods. Ryan Merkel - William Blair & Company L.L.C., Research Division: Great, that was very helpful. And then my last question is, what do you think is driving the decrease in large project business? And then also comment, is that broad-based across geographies, that comment? Because I think in the prepared remarks, you mentioned that Western Canada is still pretty good, so it kind of implies the weakness, then, is really U.S.-based, or maybe Emerging Markets.

I think what I specifically was referring to was Wire & Cable in the U.S. And we did have less project activity in Wire & Cable in the U.S. But we do expect to see some rebound in that as we go through the year. Ryan Merkel - William Blair & Company L.L.C., Research Division: And is that just based on the bookings and backlog?

Exactly.

Next, we'll hear from Noelle Dilts with Stifel. Noelle C. Dilts - Stifel, Nicolaus & Co., Inc., Research Division: Most of my questions have been answered. And I think you've touched on this a bit, but I just wanted to get your thoughts on -- you talked about in the Wire & Cable business that you saw some delayed purchases in the quarter, with customers expecting lower copper prices. So with copper having stabilized here in the past few weeks, do you think that maybe some deferred demand will start to come out in the third quarter?

Yes, it should. We've kind of been through this cycle before, where you get a steep drop in copper. If the drop stops and copper stabilizes, people would have the flexibility to hold off making orders again to make the orders because they kind of get the sense that there's not another big leg down in copper to try to take advantage of. So that should help.

Our next question comes from Brent Rakers with Wunderlich Securities.

I want to start -- maybe I have a number of clarification questions. On the investment spending, was that something that contributed at that $2 million, $2.5 million drag effect level in the first quarter as well that just wasn't talked about, or has this really been initiated starting in Q2?

Some of the spend was there in Q1, but it ramped up a little bit in Q2.

Brent, I can add a little color to that. Normally, we make some decisions in our budget timeline, where we're going to add incremental investment to growth initiatives -- or investment initiatives of any kind, including rebuilding internal infrastructure, whatever it might be. And particularly, if they relate to hiring people or retaining subcontractors to do work for us, for example, expertise in Web development of some kind, going from making a decision that says, yes, let's go ahead with this at the time the budget gets approved by the board, to then finally bringing people onboard or signing subcontracts creates a lag effect. So there would have been a little bit of the impact in expense in the first quarter but a full quarter expense in the second quarter.

Okay, great. And then just to remind me, I believe you talked about a $0.03 to $0.04 drag in the quarter from copper. I just want to clarify, is that related to gross margin percentage impact, or is that just the lost revenue impact there?

That's the lost revenue and margin flow-through associated with that. I didn't quantify in that what we would consider the more onetime kind of gross margin percentage impact because that is temporary.

Okay. Was there a temporary detrimental impact in the quarter?

Yes.

Yes. And we would expect that to recover, as well, as we move forward.

Okay. And I'm sorry, just to clarify, was that the $0.03 to $0.04, or was the $0.03 to $0.04 related to the lower revenue and gross margin dollars?

$0.03 to $0.04 was related to the $8.8 million of lower revenue as we've estimated the ongoing impact of the copper pricing. Kind of what Bob described as more the onetime impact as we get our inventory cost more in line with the market price of copper would have been additive to that in the quarter.

Any sense for what kind of range we're talking about for that impact, Ted?

Well, we estimated it was between 10 to 20 basis points on Wire & Cable business, so it was probably another couple of cents.

Okay, great. And then just to clarify on the extra week this year, is that -- when you're giving an outlook for the second half of mid-single-digit revenue growth, is that on a daily basis, or is that benefiting from that extra week?

That is benefiting -- in Q4, that is partially benefiting from an extra week. But remember, as Bob described, not the equivalent of a full week of sales, considering the time of the holidays.

Should we think of it, then, as kind of a low-single-digit daily kind of outlook and then mid-single digit when adjusted for the additional 4 days?

No, I think that's overly complicated. I think -- just think of it as a mid-single digit all-in because the real effect when you get to the earnings numbers, you're going to have an extra week of expense and less than an extra week of sales added together. So I think look at it as a bit of an expense lift from the extra week. And I wouldn't try to psych out in any level of detail how many days that extra week we're actually going to get billings and what those billings are going to look like. We believe we'll have something in the mid-single-digit range growth in the half.

Okay. And then just last question. Any comment about Jorvex? The revenues, on a sequential basis, at least, looks like they dropped about 20%, yet the SG&A accelerated sequentially. Any comment about the Jorvex, maybe seasonality or thoughts going forward there?

Actually, we think there's been a little bit of a slowdown in 2 things in Peru. One is new mining projects have slowed a bit. By the way, don't read into that long-term that they've stopped because that is not the case. But there was a slowdown in mining projects in Peru in the short term. And also, government infrastructure projects which Jorvex also participates in slowed down quite a bit this year. So we think that turns around as well.

And is there any onetime factor in that SG&A down there for jumping up despite this lower sales?

No.

No.

Our final question today is going to come from Hamzah Mazari with Crédit Suisse. Hamzah Mazari - Crédit Suisse AG, Research Division: The first question is just on your second half improvement, which you gave some color on. Maybe if you could touch on what you're baking in, in terms of Wire & Cable recovering? And any large projects you expect to hit in the back half?

Hamzah, we don't call out specific projects we expect to hit in the back half. But I will tell you that we do have some project wins that are already on the books, that orders are sitting on manufacturers and actually, in some cases, shipments are already being made. So we do have some of that pickup sort of baked in. Hamzah Mazari - Crédit Suisse AG, Research Division: Okay, great. And just last follow-up. Maybe if you could talk about how we should think about balancing M&A with organic growth initiative spend. How are you thinking about that balance over the next 12 to 18 months?

So Hamzah, one of the things we said in the past is we don't, specifically, in our internal plans, target a certain amount of revenue growth to come from M&A. The reason we don't do that is that we think that creates an unnatural pressure to do M&A that may not be the right transaction. We've been pretty focused on doing M&A where the business model doesn't have to be identical to ours but has to have some similarity to ours. We're trying to move away from doing some of the smaller transactions that we've done. We think they're expensive to get done, don't yield as much benefit. So when you put some strategic framework around what you want to do in M&A, I think if you said we're going to make sure that we drive x amount of revenue growth off M&A, you create pressure to do transactions that might not be the right transactions. And we've also said we have pretty significant discipline around valuation. So I think the way all those things play in is we do plan for organic growth initiatives. We keep an active funnel of M&A and we're a little more, I guess, I'd say, opportunistic. We keep borrowing capacity available. And I also absolutely have the personal belief that if we find a good transaction, we can get a good transaction financed. So we're not trying not to do M&A. We're trying to do M&A, but we're going to do the right kind of transactions for us. And we will continue to fund organic growth. I think to say we're going to do one or the other would be a mistake. But organic growth, you actually can plan to put all the investments in place, the timing of the investments and specific targets. So it just works a little bit differently than M&A.

We do have a follow-up question from Noelle Dilts with Stifel. Noelle C. Dilts - Stifel, Nicolaus & Co., Inc., Research Division: I just wanted to go back to a couple of questions. You talked about your beliefs that the government infrastructure slowdown in Peru and the mining slowdown in Peru is temporary. So I guess, what are your thoughts surrounding the timing of that recovery? And then more broadly, could you just talk about -- we've heard about mining slowdowns in Canada. You said Canada is still relatively strong. Could you just talk about, generally, how much of an impact you've seen from the mining slowdown on a global basis?

Okay. So we had a big project in Eastern Canada last year that was not repeated that was mining-related, but we don't see the mining business going away in Canada. We continue to participate in mining projects across the country. In Peru, I think I did make the comment that we expect a recovery in mining. We actually are engaged in specific projects right now in Peru that are in the process of being awarded. Some parts of the projects have already been awarded and we've been a beneficiary of that. So we do see that bouncing back. I don't want to put a stake on the ground on the governmental spending because I haven't personally dug into that in Peru and be confident that I can give you sort of turnaround time. I will make the other comment in the other market that there's been a lot of discussion about mining slowing down in Australia. We are a very small market share player in Wire & Cable and mining in Australia, so we don't view that as being sort of a gating factor for us in our Asia-Pac Wire & Cable initiative. Okay. Well, with that, I'm going to conclude for today. So with the leading positions that we have in large, diverse and highly fragmented markets, we believe our differentiated platform sets us up well to drive top line growth and margin expansion. Companies are under pressure to take costs out of their supply chain, minimize inventory on hand and manage complex projects, all while operating with an increasingly global footprint. Our value proposition is based largely on 3 capabilities, which, together, take risk and cost out of our customers' business. First, our global capabilities, consistent operational discipline, quality and ability to work face to face with customers across multiple geographies and transact business in local currency and local language; next, our technical value add, which entails providing product recommendation, developing solutions for specific applications and managing quality control; and finally, our supply chain solutions, which help customers manage their cost, reduce headcount, reduce working capital and take risk out of their business. We believe we have attractive growth opportunities that we can capitalize on through our current business model strategies. Finally, in the end, it comes down to people. I have confidence that we have the right team in place to drive our strategies as they have done through the past year of very challenging market conditions. Thank you for joining us this morning.

And with that, once again, ladies and gentlemen, that does conclude today's call. Thank you for your participation and have a great day.