Good morning, and welcome to the Wiley's Second Quarter Earnings Call. As a reminder, this conference is being recorded. At this time, I would like to introduce Wiley's Director of Investor Relations, Mr. Brian Campbell. Please go ahead, sir.

Thank you. Hello, everyone, and thank you for participating in our call today. Before introducing Steve Smith, President and Chief Executive Officer, I'd like to remind you that this call is being recorded and may include forward-looking statements. You should not rely on such statements, as actual results may differ materially and are subject to factors that are discussed in detail in the company's 10-K and 10-Q filings with the SEC. The company does not undertake any obligation to update or revise forward-looking statements to reflect subsequent events or circumstances. For those who prefer to listen to the call over the phone but would like to still view the slides, we recommend clicking on the gears icon located on the lower portion of the left-hand side window and selecting Live Phone. This will eliminate any delays you may experience in viewing the slide transitions, as well as remove any potential background noise should you ask a question on the call. A copy of this presentation will be available on our Investor Relations page at the conclusion of the call. Thank you. I would now like to turn the call over to Steve.

Good morning. In addition to Brian, I'm joined by John Kritzmacher, Wiley's Chief Financial Officer. We are pleased with our results for the quarter and through the first 6 months of the year. As we stated back in June, fiscal year 2014 is a transitional year for us, with the implementation of our comprehensive restructuring program and the integration of recent acquisitions. For the first 6 months, we have made significant progress towards our full year guidance and are on course to achieve our restructuring savings objectives for fiscal year 2015. While we're only halfway through the year, Wiley's base business is performing solidly, our recent acquisitions continue to meet expectations and we are on track to achieve our short-term and long-term goals. Adjusted revenue growth for the second quarter was solid, driven by continued growth in general subscriptions and open access revenue, contributions from Online Program Management in Education and Online Training and Assessment in Professional Development. Digital book growth across all 3 segments also contributed to results. There were timing benefits, primarily due to the impact of Hurricane Sandy, which closed our New Jersey shipping facilities, delaying $4 million worth of print book revenue into the third quarter last year. This had a favorable impact on prior comparisons in our Education and Professional Development segments. Adjusted earnings per share, or EPS, growth of 11% in the quarter was strong due to revenue performance, restructuring and other cost savings, lower taxes and lower distribution costs offsetting an increase in technology expense related to investments in our transformation and higher incentive accruals on the expectation of full year performance, in line with our plan for this year. Our restructuring program continued to progress as expected. Through the first 6 months of this year, we have realized $10 million of restructuring…

[Operator Instructions] We'll take our first question from Drew Crum with Stifel. Andrew E. Crum - Stifel, Nicolaus & Co., Inc., Research Division: So Steve, based on the first half performance, the annual guidance that you're reiterating this morning would imply some declines in the second half. And I wonder if you guys could just kind of walk us through the puts and takes as you see it in the second half of the fiscal year.

Sure, Drew. So I'll begin with a couple of comments, and I'll let John take over with some more of the detail. One of the big drivers of the change in the second half of the year will be around incentive compensation, which was a major expense in the second half of last year. And as we said at the beginning of the year, although we will have restructuring savings building in the second half of the year, those are largely compensating for the increase in incentive costs on a year-to-year basis. It's also important to note that a lot of the revenue growth that we have seen in the first half comes from the newly acquired businesses, particularly from Deltak and ELS, and they of course don't contribute positively to EPS growth in this fiscal year, given that both of those acquisitions remained dilutive. I'll let John build out on that a little bit.

Sure, Steve. Thanks. Drew, so let me just expand on a little bit. So in line with what we've said previously, we continue to expect across the back half of the year that we're going to see low single-digit revenue growth across the business, including the acquisitions. And as Steve noted, the acquisitions don't contribute to the bottom line. Noteworthy around revenue performance on the back half of the year, we'd just reiterate the impact of Sandy, which benefited the third quarter in the year ago, as well as in the comparables for this year, earlier ordering out of the Australia schools than we have seen in prior years. So some impact on revenue in the year-over-year comparison there. And then in broad terms around impact on profitability, we will see further savings from restructuring as that continues to ramp a bit. Those savings from restructuring largely will be offset by higher incentive accruals. And going back to what we've said previously about the accrued incentives, we should expect to see on the back half of the year that those accruals are about $20 million higher than what we saw in the prior year. The incremental margin that we'll earn from revenue growth on the back half of the year will be offset by modestly higher spending on technology. And we'll see some other discrete expense impacts on the back half of the year, including the partial winding down of long-term occupancy incentive that we have been recording annually for several years in our third quarter. So there's a bit of an impact from that item on expense in the third quarter. Andrew E. Crum - Stifel, Nicolaus & Co., Inc., Research Division: Okay, very helpful, guys. And Steve, in your prepared remarks, you mentioned the calendar '14 journal subscription renewals tracking to expectation. Can you expound upon that a little bit and give us a range of growth that you're expecting or what you're seeing early on?

Yes. As you know, Drew, it is really very early at the end of our second quarter. And so we're in the peak season now in terms of bringing business in, but there are always timing swings that make it a little difficult to get a read on exactly where we are. But overall, the licenses that we have already closed, the new business that has been completed shows signs of overall subscription growth. That is pretty consistent with prior year experience, and we're expecting overall 2014 to be fairly consistent. But do remember that 2013 included the benefit also of some large society wins, larger than usual for us, particularly the American Geophysical Union that brought significant revenues -- new revenues to 2013. So it may not be quite at the level that it has been in 2013 net of society. But net of society renewals, the overall subscription growth should be about the same. So we're in the same ballpark. Andrew E. Crum - Stifel, Nicolaus & Co., Inc., Research Division: Okay. And last question for me, guys. The tax deposit, $10 million year-to-date, should we expect additional tax deposits in the back half of the year or anything else going forward beyond fiscal '14?

So we're continuing to make our tax payments now on the premise that we will pay without the stepped-up basis in Germany that is the subject of our dispute. So we are caught up in terms of retroactive tax deposits and we are now making payments at the higher rate until the dispute is resolved. So there are no catch-up payments any further. We just continue to now pay at the higher rate.

[Operator Instructions] We'll take our next question from Dan Moore.

This is actually Arnie Ursaner, backing up Dan Moore today. Just as a follow-up to the last question, could you remind us what tax rate is embedded in your EPS guidance for the year?

So we're anticipating an effective tax rate in the range of 27% to 28% for the year. In the second quarter, we were a little bit lower than that. We had 1 discrete item that was a reversal of a reserve for contingent items that cleared. But you should expect that we'll have an effective tax rate that's in that 27% to 28% sort of range.

Okay. And then my second question is the EPS and margin impact, obviously Deltak is a high-growth area. You're in the development stage. Perhaps -- and you're incurring a lot of start-up expenses. Can you remind us what the total of that might be for EPS impact this year? And equally, if not more importantly, what level or number of clients can you leverage the investment you've made in that, turning it to a more positive contributor in the upcoming year?

So we've said previously that we expect Deltak in terms of the flow-through to bottom line all-in, including interest expense, will be dilutive to earnings for the year by approximately $0.10 a share. We're continuing down that track. The actual performance in terms of delivery to the bottom line, as we continue to accumulate partners, of course, depends on mix and the pace at which we continue to invest and acquiring new partners and new programs. It is our expectation that the contribution to earnings will significantly improve going into fiscal '15. And that's about as much as we're providing right now. We're continuing to look at the opportunity to establish a share position there, and that requires continued investment. We'll give you an update on how we are thinking about profitability for Deltak in '15 as we make our way into '15 guidance.

[Operator Instructions] It appears we have no further questions in queue at this time. I'd like to turn the conference back over to Mr. Steve Smith. I do apologize, we do have a couple more questions that came into queue. And we'll take our first question from John Helmer with Caldwell Securities.

About 2 years ago, I visited Ellis and asked him a question that had been prompted to me by an individual who had presided over the transfer of profit in the music publishing business. He said, "Find out if Wiley is writing its own code." And he says that if they're serious about going digital, they will be writing their own codes. That was the first question I asked Ellis. I came back and told this guy, "Yes, they write their own code but they're doing it in Russia." And you made reference to a project that's been shut down, have to do with some kind of a strategic change. Is there any connection there?

No, none at all. So the -- this is Steve, John. The team in Russia are the developers for -- they've been the development team behind WileyPLUS, our very successful integrated online learning platform for the Education segment. That's a customer-facing technology that continues to power growth and is helping transform our Education business. The impairment of a system that we referred to in the release and in my remarks is actually a transactional system that supports our journals business and it's an internal transactional system. And this was being developed. It's actually an external system, but we've taken a change of direction. Recognizing a change in technology strategy, we need a more integrated infrastructural system. So those 2 things don't connect at all.

We'll take our next question from Ian Whittaker with Liberum.

Just a very quick one. I think you mentioned that if you just took out Deltak, the Education revenues would be flat, I think, for the first 6 months. Can you just say -- could you benefit from the timing of the Australian deal or Australian education? Could you just say what are the -- just for the pure U.S. higher education side x Deltak?

Yes. In the first half of the year, the Australian numbers are really tiny. So they wouldn't move the needle on that. You can take the comment about flat referring to the higher ed business excluding Australia.

We currently have no further questions in queue. Mr. Smith?

I think we set a new record for the beat of the call and the number of questions. But hopefully that reflects the quality of the materials and the information we provided. So thank you for participating in the call. We look forward to talking to you again at the end of our third quarter. Thank you.

This does conclude today's conference. We thank you for your participation.