Fluor Corporation (NYSE:FLR) Q2 2019 Earnings Conference Call - Final Transcript

Aug 01, 2019 • 05:30 pm ET


Fluor Corporation (NYSE:FLR) Q2 2019 Earnings Conference Call - Final Transcript


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Good day and welcome to Fluor Corporation's Second Quarter 2019 Earnings Call. Today's call is being recorded. [Operator Instructions] A replay of today's conference call will be available at approximately 8:30 p.m. Eastern Time today, accessible on Fluor's website at investor.fluor.com. The web replay will be available for 30 days. A telephone replay will also be available through 7:30 p.m. Eastern Time on August 8 through a registration link, also available on Fluor's website at investor.fluor.com.

At this time, for opening remarks, I would like to turn the call over to Jason Landkamer, Director of Investor Relations. Please go ahead, Mr. Landkamer.

Jason Landkamer

Thank you, operator. Welcome to Fluor's Second Quarter 2019 Conference Call. With us today are Alan Boeckmann, Fluor's Executive Chairman; Carlos Hernandez, Fluor's Chief Executive Officer; and Mike Steuert, Fluor's Chief Financial Officer. Our earnings announcement was released this afternoon. We have posted a slide presentation on our website, which we will reference while making prepared remarks.

Before getting started, I'd like to refer you to our safe harbor note regarding forward-looking statements, which is summarized on slide two. During today's call and slide presentation, we'll be making forward-looking statements, which reflect our current analysis of existing trends and information. There is an inherent risk that actual results and experience could differ materially. You can find a discussion of our risk factors, which could potentially contribute to such differences in the company's Form 10-Q filed earlier today and our 10-K filed on February 21. During this call, we may discuss certain non-GAAP financial measures. Reconciliations of historical non-GAAP amounts to the comparable GAAP measures are reflected in our earnings release and posted in the Investor Relations section of our website at investor.fluor.com.

Now I'll turn the call over to Alan Boeckmann, Fluor's Executive Chairman. Alan?

Alan Boeckmann

Thank you, Jason, and good afternoon to all of you. Let me start by saying that I am extremely disappointed in the company's results for this quarter, and I'm also very aware that we owe you a complete explanation of the issues and our path forward. Carlos, Mike and I are committed to doing just that. As a result of my 36-year prior career with Fluor, I have a very deep loyalty to this company and its people. And it was that loyalty that drove me to accept the position of Executive Chairman and also because I felt that I could team with Carlos to successfully address our issues.

In my previous tenure as CEO, I hope that I earned a reputation for strong execution and transparent communications. So it's with that in mind, that I begin this discussion. If you would please turn to slide three. On the 1st of May, the Board of Directors appointed me as Executive Chairman and Carlos as Chief Executive Officer. They then commissioned us to effect a complete review of the business. The first and major part of our review was to meet and talk with the business group leaders regarding their project teams, clients, suppliers and