Allison Transmission Holdings, Inc.

Good morning, ladies and gentlemen. Thank you for standing by. Welcome to Allison Transmission's second quarter 2020 earnings conference call. My name is Jessie and I will be your conference call operator today. At this time, all participants are in a listen-only mode. After the prepared remarks, the management team from Allison Transmission will conduct a question and answer session and conference call participants will be given instructions at that time. As a reminder, this conference call is being recorded. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. I would now like to turn the conference call over to Mr. Ray Posadas, the company's managing director of investor relations. Please go ahead, sir.

Thank you, Jessie. Good morning, and thank you for joining us for our second quarter 2020 earnings conference call. With me this morning are Dave Graziosi, our president and chief executive officer, and Fred Boley, our senior vice president, chief financial officer, and treasurer. As a reminder, this conference call, webcast, and this morning's presentation are available on the investor relations section of our website, allisontransmission.com. A replay of this call will be available through August 12th. As noted on slide two of the presentation, many of our remarks today contain forward-looking statements based on current expectations. These forward-looking statements are subject to known and unknown risks, including those set forth in our second quarter 2020 earnings press release, our annual report on Form 10-K for the year ended December 31st, 2019, and our quarterly report on Form 10-Q for the quarter ended March 31st, 2020. Uncertainties related to the COVID-19 pandemic and related responses by governments, customers, and suppliers, and other factors as well as general economic conditions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions or estimates prove incorrect, actual results may vary materially from those that we expressed today. In addition, as noted on slide three of the presentation, some of our remarks today contain non-GAAP financial measures as defined by the SEC. You can find a reconciliation of the non-GAAP financial measures to the most comparable GAAP measures attached to an appendix to the presentation and to our second quarter 2020 earnings press release. Today's call is set to end at 8.45 a.m. Eastern Time. In order to maximize participation opportunities on the call, we'll take one question from each analyst. please turn to slide four of the presentation for the call agenda. During today's call, Dave Graziosi will provide you with a brief operational update. Fred Boley will then review our second quarter results and financial performance and provide an update on Allison's liquidity and full year 2020 capital spending plan. Finally, Dave will conclude the prepared remarks prior to commencing the Q&A. Now I'll turn the call over to Dave Graziosi.

Thank you, Ray. Good morning and thank you for joining us. I would like to start by thanking all of Allison's employees, customers, and suppliers for their continued dedication and resilience during this unprecedented time. As the pandemic continues to disrupt populations and economies around the world, the health and wellbeing of Allison's extended family remains our top priority, and we will take the actions necessary to ensure the safety of our people and our communities. Our second quarter results reflect the pandemic's significant impact on global supply chains and customer demand. Despite these ongoing disruptions, all of Allison's global facilities are currently producing transmissions and components, and the majority of our manufacturing operations have run continuously throughout 2020. To date, we have achieved uninterrupted delivery of our products and continue to generate earnings and positive cash flow. As a result of our longstanding commitment to prudent balance sheet management, Ample liquidity, profitable operations, and fully funded defined benefit pension plans, Allison is well capitalized and positioned to realize future growth opportunities that may emerge from the current environment. We also remain focused on aligning our operations, programs, and spending with current end markets conditions while maintaining the flexibility to respond quickly and appropriately as these conditions evolve. Unfortunately, A weaker global outlook has led to a number of restructuring initiatives, including reductions of both our hourly and salaried workforce and the ongoing reassessment of the timing and cadence of various capital investment, commercial, and product development initiatives. As I've said in the past, these are difficult decisions that significantly impact our employees, their families, and our communities, and we do not take them without due consideration. Finally, the pandemic continues to create a substantial amount of uncertainty. Though customer demand and supply chains steadily improved throughout the second quarter, as global shutdowns were gradually eased and economies began to reopen, a considerable amount of uncertainty remains as we've entered the second half of 2020. Numerous events and factors that may occur over the coming months could have meaningful consequences on global demand and supply chains. The current highly uncertain environment warrants a prudent approach as we manage the second half of 2020. Nevertheless, the disciplined pursuit of our strategic priorities and our commitment to improving the way the world works will persevere as we look ahead to 2021 and beyond. Thank you. I'll now turn the call over to Fred.