The number one business priority this year, as in 2006, is business-process improvement.

a marginal improvement for Brazil, but a mortal blow for us.

Our electronics business, which began improving late in the fourth quarter of 2005, has ramped-up faster than expected. Improvement in telecom has been the most significant contributor, but all major end markets are showing positive trends, with particular strength in North American distribution. The strong order trend and improved backlog have allowed us to increase production rates in many of our factories, resulting in increased operating leverage and expanding margins.

The robust hopes for capital spending aren't yet realized, but there's clearly an improvement. IBM's business is sound. They're focusing on profitability.

We are looking to be in a mode of constant improvement, and it isn't going to be one person; it's going to be a cultural change.

I think it was. You could see improvement. We scored some runs and pitching was on the plus side. For the older guys, it probably didn't mean to much, but for the younger guys, it was good for us.