Since the announcement of the transaction in mid-December, teams have been hard at work. Good morning. And as we model out over three, four, kind of five years, we can drift that capex back down. And so our largest opportunity sits within inventory, which is where a lot of our efforts are targeted around improving inventory productivity through SKU rationalization, through reorder point examination, through demand, better demand planning. I mean a piece of that was the favorable mix that we're seeing, so Tyvek is toward the high end of our segment margins when you compare it across the different businesses in S&C. Yes. Good morning. We're also seeing reductions in costs associated with capital projects as we pull back on our capital and lower spending across the Company. But it's a great question. DD earnings call for the period ending September 30, 2020. It just so happened that we hit a period between probiotics, Kapton, Tyvek where we were very constrained on capacity and it just so happens they happen to be three of our most capital-intense businesses. But 18% growth, I just don't see that, Jeff, holding at those kind of rates. In March, we indicated that we would be doubling the incremental cost actions that we plan to deliver in 2020 from approximately $90 million to $180 million. Taking these actions will provide significant working capital improvement through inventory reductions over the course of the year and will translate into near-term earnings headwinds and fixed costs that would otherwise be absorbed in inventory will now flow directly to earnings. And as you know, on this deal, there really is no antitrust issues. Edited earnings call transcripts of DuPont de Nemours Inc (DD) stock. Yes. While it is still impossible to predict timing, our markets will eventually stabilize and return to growth and we will be well positioned for the recovery. DuPont (DD) saw strong demand in semiconductors, smartphones, water, Tyvek protective garments and health & wellness in Q3. With this deleveraging payment, we will have no long-term debt maturities until the end of 2023. October 1, 2019 March 25, 2020. Yes, PJ. Yes. Scott Davis -- Melius Research -- Analyst. So once we get past that, those two large improvement opportunities, they're going to be a couple of years until we're complete with those. Thank you for taking my question. Additionally, markets like oil and gas, aerospace, commercial construction and other key industrial segments continue to see significant weakness. However, weakness in aerospace, automotive, oil and gas and industrial markets continued, leading to a decline in the Safety business overall. With the receipt of a special cash payment from the N&B and IFF deal, we remain committed to paying down our debt by $5 billion. You're giving yourself a lot of flexibility between a spin-off and split-off here. We estimate our year-over-year decremental margins for the third quarter to be in line with the second quarter at around 45% on an as-reported basis, again impacted by costs associated with idled facilities as well as the absence of prior year gains in our E&I and Non-Core segments. Great. Our polymer sales outperformed auto builds, which we believe has led to some inventory build in the channel, which we expect to result in a more muted recovery in the back half versus expectations for auto builds. So that sounds like it really is just maintenance versus a major overhaul, which completely makes sense. Or is that an opportunity for you guys? We will continue to stay focused on execution and remain confident that we will emerge from this crisis an even stronger company. I mean, Ed, how do you think about how you become more capital-efficient kind of longer term? So we know that's coming at the beginning of next year. We have set it up where we are actually doing different shifts. The teams are energized and all the critical milestones remain on track for a first quarter 2021 closing. So there's two things going on. I'm just trying to kind of parse out how negative you're kind of being here on this market. Got it. The proceeds of this three-year bond offering will be used to satisfy the debt maturities that become due in November of this year. We plan to maintain our competitive level of R&D spend of approximately $900 million in 2020, which will help to ensure that we are well positioned for growth once markets recover. Our decremental margin was approximately 45% in the quarter, at the low end of our expected range, driven primarily by even greater cost savings than we had anticipated. Christopher Parkinson -- Credit Suisse -- Analyst. So we're going to be just a phenomenal position from that standpoint. One of key indicators that we look at in China is the vehicle alert index. And remember, we will still have $2.3 billion of excess cash left over from that $7.3 billion that we will have available to us. A lot of companies are calling out like gargantuan temporary cost savings. We'll make that decision as we get later into the fall. Please go ahead. Our third area of focus has been bolstering our already strong balance sheet by enhancing our liquidity position and implementing plans to generate and preserve cash. So fortunately, we have the flexibility that whenever we do see the demand recover, that we can be pretty agile and take those assets back up in two to three weeks. IFF has four or five products that sell into that industry. Just two for me. Likewise, 8% organic top line growth in our E&I segment was a solid result. Earlier this week, IFF filed its definitive proxy related to the IFF shareholder approval of the transaction. The newly issued bonds have a stated maturity of 2023, but includes a provision that accelerates the maturity when we close the IFF transaction. US travel industry needs some stimulus to drive growth. Thanks, Leland, and good morning, everyone, and thank you for joining us. But it's just a consistent industry. We have a manageable debt load and we are in a position to maintain a strong balance sheet, both now and post the N&B/IFF transaction. So things that were in our plans, there is about another give or take $80 million to $100 million that won't get spent that was baked into the plan. But we're totally focused on getting that done. Specific to T&I, approximately $10 billion of goodwill and intangibles were recorded in 2017, equating to more than 75% of the overall carrying value of the segment. So how do you sort of see that price mix development into the middle part of the year? Our Tyvek team is working tirelessly to get our protective garments in the hands of healthcare and other front-line workers, including in many instances donations of these garments. So we're looking and shifting the focus toward COGS. And by the way, I was the CEO through the '08, '09 and Jeff, you know this. As you know, the automotive markets account for about 15% of our sales. Our focus on cash generation not only ensures we have a strong balance sheet, but positions us well to act on our commitment of returning excess capital to shareholders when we and the Board feel it is appropriate to do so. Yes. So I think it's across-the-board. Is the timing, the timing we said it would be? Year to date, our base tax rate is approximately 22.5%, and we continue to anticipate our full-year base tax rate in the range of 21% to 23%. Login Signup. On top of that, we have about another $80 million to $100 million of what I would call, opportunities that are T&E reduction, external contractors spend at our facilities, and we've eliminated the merit increases, we freezed hiring. Yes, if I can just quickly comment on the Tyvek line 8 that we had to pause due to some regulations in Luxembourg where the construction is taking place. We're not looking at something big structural right now. So we've given a number in the past of about 1.5 times that we would look to exceed auto builds just driven by the extra material content that we have as we see ramp toward lightweighting as well as electric vehicles. So we have an early shift that goes to about noon and then we have a second shift that goes in for the whole afternoon into the evening. Thank you. Benzinga. This is a transcript of that earnings call: Company Participants Greg Friedman; E.I. So, as you know, we upped our structural cost savings in the last month or so from $90 million to $180 million. Yeah, I certainly haven't thought about it in weeks yet. DuPont Electronics Sales Lift Adjusted Profit Ahead of Estimates . I know it's tough to do M&A right now. IFF and DuPont also named the Executive Committee of a future combined company, which will include key DuPont N&B senior leaders. These areas of strength were more than offset by the absence of a $50 million prior year gains resulting in an operating EBITDA decline of 12%. And do you see any impact on the R&D productivity from that challenge? Would that be done by the end of Q3? So we've got new capacity coming online even though we delayed the start up of the new line because of the regulations going on in Luxembourg. We did a scenario where what if revenue was down 30% for at least one year. Because of these swift actions, we are on solid footing, and are well prepared to handle the uncertain times ahead. That's one of the key ones is global clean water. So I think we, as a combo, we proved success rolling out the new company. So pricing in T&I in Q1 was down 4%. With nearly 15% of our sales connected to the automotive industry, this is the largest area of exposure for us, particularly within our Transportation & Industrial segment. We will also provide comments on the first quarter results, overall market dynamics in April, as well as our current assumptions for the next few months. Before turning it over to Lori, I'd like to make a few comments on diversity, equality and inclusion. January 30, 2020 09:00 AM ET. And so we had mentioned that our probiotics were up about 30%. It is important to note that the bulk of the savings we have identified are targeted at reducing functional G&A cost, thus maintaining our investment in sales and R&D. And then if we are being conservative in the market recovering a little bit more quickly than expected, then we will participate in that upside. 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