Welcome to the West Pharmaceutical Services Fourth Quarter and Full-Year 2011 Conference Call. [Operator Instructions] This call is being recorded on behalf of West and is copyrighted material. It cannot be recorded or rebroadcast without the company's express permission. [Operator Instructions] And now I’d like to turn today’s meeting over to Mr. John Woolford from Westwicke Partners. Sir, you may begin.

Thank you, Operator. Good morning everyone and welcome to West’s fourth quarter and full-year 2011 results conference call. We issued our financial results this morning and the release has been posted in the Investor Section on the company's website located at www.westpharma.com. If you have not received a copy of this announcement, please call Westwicke Partners at 443-213-0500 and a copy will be sent to you immediately. Posted on the Company’s website is a slide presentation that management will refer to in their remarks today. The presentation is in pdf format. Should you require a link to a free download of software that will enable users to view the presentation is also available on the website. I remind you that statements made by management on this call and in the presentation will contain forward-looking statements within the meaning of U.S. federal securities law and that are based on management’s beliefs and assumptions, current expectations, estimates and forecasts. Statements that are not historical facts, including statements that are preceded by, followed by, or that includes words such as estimate, expect, intend, believe, plan, anticipate, and other words and terms of similar meaning are forward-looking statements. West’s estimated or anticipated future results, product performance or other non-historical facts are forward-looking and reflect our current perspective on existing trends and information. Many of the factors that will determine the Company’s future results are beyond the ability of the Company to control or predict. These statements are subject to known or unknown risks or uncertainties and therefore actual results could differ materially from past results and those expressed or implied in any forward-looking statement. You should bear this in mind as you consider forward-looking statements. For a non-exclusive list of factors which could cause actual results to differ from expectations please refer to today’s press release. Investors are also advised to consult any further disclosures the Company makes on related subjects in the Company’s 10-K, 10-Q, and 8-K reports. Except as required by applicable securities laws the Company undertakes no obligation to publicly update forward-looking statements whether as a result of new information, future events, or otherwise. In addition, during today’s call, management may make reference to non-GAAP financial measures including adjusted operating profit and adjusted diluted EPS. These measures and their component parts have no standardized meaning prescribed by U.S. GAAP, and therefore may not be comparable to, and should not be viewed as a substitute for U.S. GAAP operating income and diluted EPS. Reconciliations of the non-GAAP financial measures to the most comparable financial results prepared in conformity to GAAP are provided in materials accompanying this morning’s earnings release. At this time, I would like to turn the call over to Don Morel, West's Chairman and CEO. Don?

Thank you very much John, and good morning everyone. Welcome to this morning's call to review West’s fourth quarter and full-year results for 2011. Joining me today are Bill Federici, our Chief Financial Officer; and Mike Anderson, our Treasurer and primary investor relations contact. Bill and I will refer to slides throughout our prepared remarks this morning which can be found on our website. The content of those slides is covered both in this morning's release and our commentary. The fourth quarter results are summarized on slide 3. And I'll begin with the highlights shown on slide 4. We finished the year on a very strong note with revenues increasing 6.8% to $295.4 million on a consolidated basis, even with the unfavorable effects of currency. Revenue growth was driven primarily by gains in the Packaging Systems segment, which grew 8.6%, with strong demand in Europe for our high value products such as Westar and Envision, which rose over 12%. Our gross margin improved 0.7 percentage points compared with the fourth quarter of 2010. The improvement in gross margin was driven in large part by improved operating results in our contract packaging operations within the Delivery Systems division. Although helped by an improved sales mix and pricing actions to offset escalating raw material cost, the gross margin in the Packaging Systems segment declined slightly. Our consolidated adjusted operating margin improved substantially by 2.4 percentage points resulting in adjusted diluted earnings per share of $0.59, an improvement of 40% versus the comparable period in 2010. For the full year, revenues totaled $1.19 billion representing overall sales growth of 5.2% excluding currency impacts, and adjusted diluted earnings per share increased approximately 11% to $2.33 per share versus $2.10 for the prior year. In the Packaging Systems segment, growth was strongest in Europe, South…

Thank you, Don, and good morning everyone. We issued our fourth quarter results this morning, reporting net income of $18.9 million or $0.54 per diluted share versus the $0.18 per diluted share we reported in the fourth quarter of 2010. Our fourth quarter results are summarized on slide 3 of the accompanying PowerPoint presentation and in the release. As explained in the release, results in both periods included restructuring charges, adjustments to our liabilities for the continuing consideration from recent acquisitions and discrete tax items. Excluding the effect of these items in both periods and a Q4 2011 separation benefit cost, fourth quarter 2011 earnings were $0.59 per diluted share versus the $0.42 we earned in Q4 2010, a net increase of 40%. Turning to sales, slide 6 shows the components of our consolidated sales increase. Consolidated fourth quarter sales were $295.4 million, an increase of 7.2% over fourth quarter 2010 sales, excluding exchange effects. Packaging systems sales increased 9.1% over same quarter 2010 sales, excluding favorable exchange effects. Sales price increases in packaging systems contributed approximately 3.6 percentage points of the increase. Favorable sales mix and volume accounted for the remainder of the increase. Geographically, we were again strongest in Europe and Asia. North America sales grew modestly during the quarter as compared to the prior year quarter due to customer regulatory issues that limited customer production levels and thus demand for our products. For the packaging systems segment as a whole, sales growth in our high value products, specifically Envision and Westar process packaging components more than offset the customer-specific sales issues. High value product sales increased 12% versus the prior year quarter. Delivery systems sales increased by approximately 2% over sales in the prior year quarter excluding exchange. High demand for various contract manufactured healthcare devices drove…

Thanks very much, Bill. This concludes our prepared remarks for this morning and we'd now be pleased to answer any questions you might have. Operator?

[Operator Instructions] Your first question comes from the line of Arnie Ursaner with CJS Securities.

My first question relates to the guidance you provided, which increased a little bit from what you had given in November from 4% to 6% or 4% to 7%. At the time in November, I think you had talked about price being 2%. When you think about the 4% to 7% now, how much is mix and how much of it is price?

The price is just a little bit higher than that Arnie, somewhere in the -- approaching 2.5%, not quite there. And mix is also expected to be favorable as well.

Okay. And the new production lines that you highlighted in your prepared remarks, can you just remind me what they're going to be used for?

They’re actually contract manufacturing lines for 2 products that we expect our customers to receive approval. One should be in the second quarter and one should be late in the third.

And will the customer help in the funding of these facilities, or you hopefully have contracts where they'll take the output from these?

A little bit of both. I mean, it's a mix depending on a specific customer, but there are cost offsets through the tooling and some of the assembly equipment. It's customer-specific.

Okay, my final question is on your backlog which continues to be a very positive surprise, very strong. Last year when you were talking at this time, you were highlighting that your customer orders were shrinking in terms of when they would give them to you, the size. It became much more just-in-time, and you’ve been running very strong backlogs all year. Can you give us a little more color about what is behind the backlog growth? Is there a lengthening of the delivery schedules? Are people willing to give you more of the order upfront? What's changing there?

I think there is a whole host of factors. Part of it is timing, so we've got a number of large med device customers whose fiscal year ends September 30. So clearly what they were doing was managing down inventories in our third quarter, and what we received was several large bonus orders into the backlog to begin their new fiscal year, which started October 1. But we’ve also seen general demand increasing in areas like diabetes, which we think is very positive, as well as some of the exports that we do out of Europe into the North Africa and Middle Eastern and Eastern European countries, so, strong growth there. A little bit of it is an extension of lead times. When our factories get to the point where we’re running them now, which is kind of that mid-80s utilization level, you will see lead times extend a little bit. So it's so far manageable.

[Operator Instructions] With no further questions, I'd like to turn the call over back to Mr. Don Morel for any closing remarks.

Thank you very much for your time this morning. And this concludes our call for today. If you have any further questions please do not hesitate to call Mike, Bill or myself. Thank you very much.

Thank you for your participation in today's conference. This concludes the presentation. You may now disconnect. Great day.