Just trying to reconcile, the $0.60 moving to kind of the $0.80 to $0.90 or whatever it is in the fourth quarter? Emerson Electric (EMR) Q2 Earnings Beat Estimates. This is a transcript of that earnings call: Company Participants Craig Rossman; Emerson Electric Company; Investor Relations Anything -- in this whole onshoring dynamic, anything in your own supply chain, your own sourcing that you're looking at and saying, 'Gosh, this has gotten too long and as much as we manufacture locally, we're having to cross a few too much -- few too many borders to get components or other kind of subassemblies,' looking less at your customers and kind of more yourself as the purchaser. GAAP earnings per share were $0.84, up 11 percent versus prior year. We use the word best cost. The next question comes from Robert McCarthy from Stephens. So, that was a big issue. He's got a lot more play time with that. So, if we have someone come sick in the facility, we can test him or her, find out if they are really sick. That's less than -- that's down less than 10%. But we've done a lot of work here, thinking about what our investors would like to know about what's going on inside Emerson and what we see day-to-day, which clearly is fluid, but we as a team are working very quickly to react to this. We have to continue to work on our aftermarket business. And again, I don't want to get into too much policy discussion, but one thing that's been meddlesome for everyone, bureaucracy and policy aside, has been some of the shortages around testing. Like Lal did, I want to start by recognizing the team out there. We are now modeling what we think is going to be the '21, '22, '23 from both our internal standpoint as we see more and more inputs every day coming in from the customers, every day coming in from around the world. And virtual meetings are taking place across the region and we have significant digital transformation wins as well. Three large projects remain in the funnel. Did we have to help them? Are you hiding some place? Credit spreads gapped out pretty significantly at the beginning of this crisis. And then, again, coming out to China and certainly, again, for us, the summer cycle in the US with air conditioning is going to be quite important. And frankly, we've done a lot of work to give away a lot of these things initially, particularly N95 and KN95 masks, which are basically the Chinese standard of the N95 masks. Please go ahead. Thank you. Well, I'll give you an example of Southern Europe, which is interesting. So, the key is, Steve, I think we'll still have savings coming into the first half of next year, but ones we will have to offset in the first half of the year will be things like the salary cuts because we will institute that. They have a new plant coming up in Arizona. Please go ahead. Bob, why don't you answer first? Restructuring actions totaled $29 million across the platform, which brought the total to $112 million for the first half of the year. Good morning and thank you and welcome everyone to Emerson's Second Quarter 2020 earnings conference call. The team has identified an additional $53 million of restructuring, bringing the total for 2020 to $230 million and driving annualized savings of $314 million. But right now, the trend line is dropping quite rapidly. Emerson Radio has generated $0.00 earnings per share over the last year. We are not relying on large orders through this challenging cycle, but we are significantly more dependent on day-to-day small orders that have become an increasingly important element to our business. So, we have to continue to diversify. And that's what we're leaning on very hard here in 2020 as we accelerate the second half restructuring. Understand that maybe upstream CapEx is definitely a laggard that Lal had called out, but maybe any other color across the two platforms of the slope of end market trajectory? And as I look at what's going on right now, and we're in this pandemic war, we basically look at the situations of what -- we're evaluating everything, what we really need. Please turn to slide 14 which bridges our updated 2020 adjusted EPS guidance. Obviously, China doesn't have the production element of our marketplace. You all have to rip my tongue out to ever give this much information. I guarantee you, the majority of that will be KOB3 aftermarket business to keep the facility safe and running and producing. Our cargo solutions business, that device that you see keeps the temperature tracking and it also transmits cellular, so it can transmit the conditions in a shipment. They are investing in terminals because they're storing oil, but typically we're down to basically 20% driven by this oil/gas fluctuation. Focusing on 2020 specifically, we committed to spend $177 million of restructuring. I don't know how they're going to recover here for a while. And so, what we're going through right now is -- the first wave we, obviously, hit was the China wave. So, anyway, we really appreciate all the detail. It takes a team effort and we've divided and conquered and formed task force and worked this on a day-to-day, face-to-face basis, and I want to make sure that everyone's recognized for that. This has significantly improved in the past month as we've seen our China business starting to come back in a stronger way. Robert McCarthy -- Stephens Inc. -- Analyst. But the big issue is when we went into that one, we were growing very strongly and then the bottom fell out. And to help you bridge between the February meeting and what we see today as a business, we had approximately $135 million that we booked out of the funnel since February. And then, conversely, how much concern do you have about being a big industrial player in China if we do have more call for nationalism over the next couple of years? Today, 80% of our -- we have non-oil and gas end markets. But then I think you just... Just one quick one. The third quarter is clearly our most challenging quarter with deleverage rates in the 44% range for us. Emerson Electric (EMR) came out with quarterly earnings of $0.89 per share, beating the Zacks Consensus Estimate of … We have very strong indications of what we've seen before and what we see today. I think you're going to see, starting in the first half of next year, some companies look at bringing some facilities back in the United States. Please turn to slide 15, which lays out our third quarter 2020 guidance. Are you bunkered? But this is going to be a very slow recovery. We also have the right to extend it under the current terms. Around 84% of the Commercial Residential Solutions employees are still going to work every day at the site because that's what we need to do to produce and ship our product. I know we have some China conversation coming up, which may be important in thinking through how things play out over the next few quarters. And then, what will happen to us as we go into '21, we're starting to have to add the balance sheet as we start growing the company again sometime in late 2001. We have well developed connected solutions that enable customers to take people out of the process. So, Dave, just -- I guess, my first question, when you think about that 14% number, organic decline in the third quarter, can you just talk about April specifically? So, I would say, structurally, costs will be lower as we come out of this, and that will be a good thing. So, I think they're looking long-term gas opportunity still as a dynamic they want to continue to fund. For us, Southern Europe is Italy, France, Spain and Portugal. Of course, if next year changes, we still have other levers to pull. So, we've got to keep working down. As you can imagine, we are fighting a global pandemic war. But for the people out there, before I go into it, I want to make another comment. People know me quite well. But most importantly, as I look at this liquidity, the financial structure, the ability to finance this company in the times like this are very, very crucial and Frank and his team have done an outstanding job with that. So, he'll probably have another $80 million for the whole year next year. So, I don't want to prejudge the recommendations you're making there. Rejected three times, but they couldn't keep me out. To this plan, we've added 300 additional salaried actions. Asia orders dropped 14%, driven by China, which dropped over 25%. It's frustrating. That's an LNG job. So, built into the plan, just to kind of reset, we spent $112 million in the first half. Yeah. I want things to stabilize, but we're going to look at things, like how did our supply network do from a financial crisis standpoint? Yeah. One of the things we've done over the years, as you well know, is we've continued to diversify the company. He's getting food right now. But it's not going to just be the US. They are working from home. So, typically, when I think about the two segments, the downstream refining and the upstream oil and gas, I believe they have different economic cycles. And he'll get dollar-for-dollar savings over pretty quickly on that. No, that's very sobering. If we're going to go back, assuming -- I'm hearing more and more words. I appreciate it. Over the weekend, you and I were talking a lot. On a year-over-year basis, the … Well, thank God you don't make $100,000. Again, despite the fact that the second quarter changed significantly in the last weeks. Okay, fair. Or are there any other geographies that are hanging in there better than China? So, that percentage will continue to drop. The guys around the world did a great job, but now earnings are dropping and we're looking at a much tougher cash flow in the second half. As you saw the close, both at Lal's business and Bob's business, if you think about what we did versus our guidance, our sales dropped, in the second quarter, $340 million. It started dropping. And then, I'm going to use the financial crisis as a reference because there's not really any direct reference to what's happening right now, but the closest thing, I think we see is probably the financial crisis. The business is projected to be up 40% in 2020 to $188 million. So, we're in very, very good shape if there should be a market disruption. It wasn't that one throat to choke here. On the right, you can see from an update. You mean, lunch or -- lunch or breakfast. The OCE, the senior executives and all of the world area people that have been engaged and are working this on the daily issues. Automation Solutions underlying sales finished down 8% for the quarter as sharp declines in oil and gas more than offset some growth in life sciences and food and beverage. I think I like my hand better in St. Louis. We made the decision as OCE on March 10 when I came back from a conference in New York when I was presenting at the JP Morgan as the only CEO who showed up. As the coronavirus began to make its way around the world, we saw challenges to our operational capability imposed by governments as they implemented various forms of stay home, shelter in place and lockdown orders. Whereas in this cycle, it really happened in a quarter. Moving to slide 4 with the results of the quarter. You could have the virus for several days before your temperature starts moving. 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