In North America, there is a shift to demand-pull manufacturing, which is driving us to more supply chain engagements with customers as opposed to traditional transaction-based distribution.

Bill has exhibited strong leadership over teams in North America, Europe and Asia and has contributed to the Avnet Technology Solutions team's success throughout his tenure.

High-volume manufacturing has shifted to other regions so there is a greater focus on smaller accounts in North America than in the past. When we talk about expanding, we mean paying more attention to customers who have less than $100,000 a year in purchases from us.

We are seeing now is more spending by corporations on capital equipment which includes electronics equipment.

We use to call on a customer and engineering was in one part of the building, purchasing in another and manufacturing in another. With one visit we could talk to all of them.

Helping customers get the right devices designed in and right products designed in time to meet their market windows is a rising priority.

Technology solutions deliver a record-breaking quarter as we closed our calendar year 2005 with 11 percent revenue growth while growing operating income by 22 percent for the calendar year. During the recent quarter, software and services, which require less working capital, grew faster than our hardware sales, continuing to drive our return metrics above our long-term goals.