賓士域 (BC) 2019 Q4 法說會逐字稿

Good morning, and welcome to Brunswick Corporation's Fourth Quarter and Full Year 2019 Earnings Conference Call. (Operator Instructions) Today's meeting will be recorded. If you have any objections, you may disconnect at this time.

早安，歡迎參加 Brunswick Corporation 2019 年第四季暨全年財報電話會議。（接線員指示）今天的會議將會錄音。如您有任何異議，請於此時中斷連線。

I would now like to introduce Al Marchetti, Senior Director, Investor Relations.

現在我想介紹投資人關係資深總監 Al Marchetti。

Good morning, and thank you for joining us. On the call this morning are Dave Foulkes, Brunswick's CEO; Bill Metzger, CFO; and Ryan Gwillim, Vice President, Finance and Treasurer.

早安，感謝各位加入我們今天的電話會議。今天早上的與會者包括 Brunswick 執行長 Dave Foulkes；財務長 Bill Metzger；以及財務副總裁兼財務主管 Ryan Gwillim。

Before we begin with our prepared remarks, I would like to remind everyone that during this call, our comments will include certain forward-looking statements about future results. Please keep in mind that our actual results could differ materially from these expectations. For the details on the factors to consider, please refer to our recent SEC filings and today's press release. All of these documents are available on our website at brunswick.com.

在開始我們事先準備的發言之前，我想提醒各位，本次電話會議中的評論將包含若干關於未來結果的前瞻性陳述。請注意，我們的實際結果可能與這些預期存在重大差異。有關需考量因素的詳細資訊，請參閱我們近期向 SEC 提交的文件以及今天的新聞稿。上述文件皆可於我們的網站 brunswick.com 取得。

During our presentation, we will be referring to certain non-GAAP financial information. Reconciliations of GAAP to non-GAAP financial measures are provided in the appendix to this presentation and the reconciliation sections of the consolidated financial statements accompanying today's results.

在簡報過程中，我們將引用若干非 GAAP 財務資訊。GAAP 與非 GAAP 財務衡量指標之調節表，已提供於本簡報附錄，以及隨今日結果一併提供之合併財務報表中的調節章節。

As a reminder, on June 27, 2019, Brunswick completed the sale of its Fitness business. Starting with the second quarter of 2019, the historical and future results of this business are now reported as discontinued operations. Therefore, for all periods presented in this release, all figures and outlook statements incorporate this change and reflect continuing operations only, unless otherwise noted.

提醒各位，Brunswick 已於 2019 年 6 月 27 日完成出售其健身（Fitness）事業。自 2019 年第二季起，該事業的歷史與未來結果均改列為停業單位（discontinued operations）。因此，本新聞稿所呈列之所有期間的所有數字與展望陳述，除另有註明外，均已納入此變更並僅反映持續營業（continuing operations）。

I would now like to turn the call over to Dave.

現在我把電話交給 Dave。

Thanks, Al, and good morning, everybody. 2019 was a very successful year for Brunswick and our shareholders. We delivered record earnings for the 10th consecutive year, substantially grew margins, made significant additions to our product portfolio, manufacturing capacity and technology platforms, completed meaningful cost reduction actions and have emerged as the world's premier recreational marine company.

謝謝你，Al，各位早安。2019 年對 Brunswick 及我們的股東而言是非常成功的一年。我們連續第 10 年創下創紀錄的獲利，大幅提升利潤率，對產品組合、製造產能與技術平台進行了重要擴充，完成具實質意義的成本削減行動，並已躍升為全球首屈一指的休閒海事公司。

Our solid fourth quarter performance reflects the continued successful execution of our marine strategy and reinforces the tremendous confidence we have in the future growth opportunities within each of our businesses. The more favorable retail trends in the U.S. persisted in the quarter and together with planned lower wholesale shipment activity, resulted in us achieving our stated goals of lower field inventory than 2018 and relatively flat pipelines on a weeks-on-hand basis.

我們第四季的穩健表現，反映出我們持續成功執行海事策略，也進一步強化我們對各項業務未來成長機會的高度信心。美國較為有利的零售趨勢在本季持續，加上計畫性的較低批發出貨活動，使我們達成既定目標：相較 2018 年降低通路庫存，並以「以週數計的在手量（weeks-on-hand）」衡量，使管道庫存維持相對持平。

Aside from our updated estimates on tariffs, our views on our 2020 financial goals have not changed, and I have a high degree of confidence that we will execute our strategy and deliver strong shareholder returns in 2020. We started the year off an exciting fashion with a spectacular debut at CES and new product launches at early boat shows, and I look forward to leading Brunswick through further successes in our first full year as an integrated marine powerhouse.

除我們對關稅的最新估計外，我們對 2020 年財務目標的看法並未改變；我對我們在 2020 年執行策略並為股東帶來強勁報酬具有高度信心。我們以令人振奮的方式展開新的一年，在 CES 有精彩亮相，並在年初的船展推出新產品；我也期待在我們作為整合型海事強權的第一個完整年度，帶領 Brunswick 取得更多成功。

I'll now provide some highlights on our segments and the overall marine market. The Marine Engine segment had tremendous success in 2019, again, posting record earnings and significant margin increases. This was in the face of approximately $25 million of headwinds from unfavorable changes in foreign currency rates and tariffs, partially mitigated by a full year of solid performance by power products.

接下來我將提供各事業部門以及整體海事市場的一些重點。海事引擎（Marine Engine）事業部在 2019 年取得巨大成功，再度創下創紀錄的獲利並顯著提升利潤率。即便面臨約 2,500 萬美元的不利因素（包括外匯匯率與關稅的不利變動），仍在動力產品（power products）全年穩健表現的部分抵銷下達成上述成果。

Demand for higher horsepower outboard engines remains particularly strong, especially in the 175- to 300-horsepower categories introduced in 2018,and the 400- and 500-horsepower engines released in 2019. During the fourth quarter, we brought online additional capacity, allowing us to manufacture significantly more of these engines in 2020 with dealers and international channels already seeing some of the benefits in the fourth quarter.

對高馬力舷外引擎的需求仍特別強勁，尤其是 2018 年推出的 175 至 300 匹馬力級距，以及 2019 年發布的 400 與 500 匹馬力引擎。在第四季期間，我們新增產能上線，使我們在 2020 年能夠生產顯著更多此類引擎；經銷商與國際通路在第四季已開始看到部分效益。

We also continue to expand our outboard engine presence in saltwater markets. Our industry-leading engine lineup was on full display at the Fort Lauderdale boat show, where we, again, had a leading engine share, and we plan to continue our success at Miami in 2 weeks.

我們也持續擴大舷外引擎在海水市場的布局。在勞德岱堡船展上，我們業界領先的引擎產品線完整亮相，我們再次取得領先的引擎市占；並計畫在兩週後的邁阿密船展延續成功。

Finally, in December, we announced the formation of the Advanced Systems Group, which is comprised of the Power Products brands and the Attwood group of businesses, which include Attwood, Whale, Garelick and MotorGuide. Power Products continues to perform in line with our expectations and is accretive to the overall growth and margins of the Parts and Accessories portfolio. Brett Dibkey, who joined us at the start of the year from Whirlpool, will be leading ASG and brings a great combination of talent and relevant experience to deliver future growth in these outstanding businesses.

最後，在 12 月，我們宣布成立先進系統事業群（Advanced Systems Group, ASG），其由動力產品（Power Products）品牌與 Attwood 事業群所組成；Attwood 事業群包含 Attwood、Whale、Garelick 與 MotorGuide。動力產品的表現持續符合我們的預期，並對零件與配件（Parts and Accessories）產品組合的整體成長與利潤率具有增益作用。Brett Dibkey 於年初自 Whirlpool 加入我們，將領導 ASG；他結合了優秀才能與相關經驗，可望推動這些卓越業務的未來成長。

In the Boat segment, revenue and earnings in 2019 were lower as anticipated, but we are primed for sizable improvement in 2020 due to our new products, focus on operating efficiency and wholesale volume improvements enabled by the lowering of pipeline inventories in 2019 to appropriate levels.

在船艇（Boat）事業部方面，2019 年營收與獲利如預期較低；但由於新產品推出、對營運效率的聚焦，以及 2019 年將管道庫存降至適當水位後所帶動的批發量改善，我們已為 2020 年的顯著提升做好準備。

Our premium boat brands, including Boston Whaler, Sea Ray and Lund, all performed strongly at retail in their key product categories. Sea Ray also had strong wholesale sales growth with larger, higher content product driving the improved sales. As we discussed on recent calls, Boston Whaler continues to have very strong retail momentum as we exit 2019. However, wholesale sales in the second half of the year faced challenging comparisons versus 2018. In 2019, the business has been leaning pipelines in advance of new product introductions in 2020 compared to strong pipeline increases in 2018 due to the introduction of new rail models. As we enter 2020 with a substantial offering of new products, we anticipate a very strong retail and wholesale performance from this brand in the upcoming year.

我們的高端船艇品牌，包括 Boston Whaler、Sea Ray 與 Lund，在其主要產品類別的零售端皆表現強勁。Sea Ray 的批發銷售成長亦相當強勁，較大型、配備內容更高的產品帶動了銷售改善。如同我們在近期電話會議中所討論，Boston Whaler 在 2019 年結束之際仍維持非常強勁的零售動能。然而，下半年批發銷售相較 2018 年面臨較具挑戰性的比較基期。2019 年，該業務在 2020 年新產品導入前先行精實管道庫存；相較之下，2018 年因推出新款 rail 型號而使管道庫存大幅增加。隨著我們在 2020 年推出大量新產品，我們預期該品牌在來年將展現非常強勁的零售與批發表現。

The Boat business continues to focus on product leadership and expanding operating margins. The cost reduction and organizational initiatives that we undertook in the back half of 2019 are already driving efficiencies and allowing us to fully leverage our scale and drive operational excellence. Sharing knowledge, engineering capabilities and best practices across brands is enhancing our product and technology development and design excellence while lowering related costs and accelerating time to market.

船艇業務持續聚焦於產品領導力與擴大營業利潤率。我們在 2019 年下半年推動的成本削減與組織調整措施，已開始帶動效率提升，使我們能充分發揮規模優勢並推動卓越營運。跨品牌分享知識、工程能力與最佳實務，正在提升我們的產品與技術開發及設計卓越性，同時降低相關成本並加速上市時程。

Lastly, Freedom Boat Club celebrated the opening of its 200th franchise location early in the quarter, on its way to a current total of 210 locations and continues to perform as anticipated. Freedom was also named as a top 500 Franchise with the top spot in the miscellaneous recreational business category by Entrepreneur magazine, which is a further testament to the substantial opportunities associated with this business.

最後，Freedom Boat Club 在本季初慶祝其第 200 個加盟據點開幕，目前總據點數已達 210 個，且持續如預期般表現。Freedom 亦獲《Entrepreneur》雜誌評選為前 500 大加盟品牌，並在「其他休閒業務」類別中名列第一，進一步印證此業務所具備的龐大機會。

Next, I would like to review the year-to-date sales performance of our segments by region on a constant currency basis, excluding acquisitions. In the U.S., total revenues were down 4% while international sales in total were up 4%. International sales for the Engine segment increased by 6% with gains in all regions except Canada. The Engine segment performance relates mostly to increased demand for 175- to 300-horsepower engines.

接下來，我想以固定匯率（constant currency）基礎、並排除併購影響，檢視我們各事業部門依地區劃分的年初至今銷售表現。在美國，總營收下降 4%，而國際銷售整體上升 4%。引擎事業部的國際銷售成長 6%，除加拿大外各地區皆有成長。引擎事業部的表現主要與 175 至 300 匹馬力引擎需求增加有關。

Boat segment international sales were down 4%. As expected, European sales continue to be lower due to slower market condition and the supply constraint caused by the transition from a contract manufacturing relationship that we noted at the beginning of the year. This capacity is anticipated to be fully recovered as we exit 2020 as a result of production expansion efforts at our manufacturing facility in Portugal with minimal investment.

船艇事業部的國際銷售下滑4%。如預期，歐洲銷售因市場狀況放緩而持續走低，且受到我們在年初提及、由合約製造關係轉換所造成的供應限制影響。隨著我們在葡萄牙製造廠以最小投資推動產能擴充，預期在2020年結束前可完全恢復該產能。

Finally, Canadian Boat revenue remained flat versus prior year.

最後，加拿大船艇營收與去年同期持平。

This table provides some color on the performance of the U.S. marine retail market. In the fourth quarter, which comprises only 10% of the total sales for the year, retail trends continue to be slightly ahead of our expectations. For the second half of 2019, retail sales of outboard boats were up 3%,while the main powerboat segments were up 1%. Outboard engine sales were up 1% for the year. SSI data for the main powerboat segments was down 4% for the year. NMMA outboard engine unit registrations are up slightly year-to-date with outboards, 150 horsepower and above, up 9% for the year. These results reflect the softness experienced in value pontoon and aluminum fish categories in the first half of the year and strength in premium offerings, which is generating dollar growth that is outpacing unit performance.

此表提供一些關於美國海事零售市場表現的補充說明。第四季僅占全年總銷售的10%，零售趨勢仍略優於我們的預期。2019年下半年，舷外機船（outboard boats）零售銷售成長3%，而主要動力船（powerboat）各分項成長1%。全年舷外機引擎銷售成長1%。SSI對主要動力船分項的數據顯示全年下滑4%。NMMA舷外機引擎單位註冊量年初至今小幅上升，其中150匹馬力以上的舷外機全年成長9%。這些結果反映出上半年在入門價位浮筒船（pontoon）與鋁製釣魚船類別的疲弱，以及高端產品的強勁表現；後者帶動的金額成長速度超過單位數表現。

We remain confident in the retail market environment as we move into 2020. Dealer sentiment is positive with well-positioned pipeline inventories and strong early season dealership traffic. We believe that retail unit growth for both U.S. and global markets will be flat to slightly positive in 2020 with outperformance of premium offerings, again, benefiting dollar growth.

展望進入2020年，我們對零售市場環境仍具信心。經銷商情緒正向，通路庫存水位配置良好，且旺季初期的經銷商店面來客量強勁。我們認為2020年美國與全球市場的零售銷量成長將持平至小幅正成長，而高端產品的優於市場表現將再次有利於金額成長。

2019 was also a very significant year for capital strategy actions. As anticipated, we completed the remainder of our $400 million share repurchase commitment in the quarter, which, together with the purchase of Freedom Boat Club in May, fully deploys the proceeds from the Fitness sale. In addition, we completed the exit of our defined benefit pension plans, retired $300 million of near-term debt through the retirement of our 2021 notes and refinancing of acquisition-related debt, raised dividends and invested over $350 million in growth-related R&D and capital expenditures.

2019年在資本策略行動方面同樣是非常重要的一年。如預期，我們在本季完成剩餘的4億美元庫藏股回購承諾；加上5月收購Freedom Boat Club，已將健身事業出售所得全數運用完畢。此外，我們完成退出確定給付型退休金計畫，透過提前償還2021年到期票據及再融資與收購相關的債務，償還了3億美元的短期到期債務，提高股利，並在成長相關的研發與資本支出上投資超過3.5億美元。

Our year-end balance sheet position and cash flow generation capabilities continue to afford us the opportunity to deploy capital in a variety of ways depending on market conditions, including for acquisitions, capacity enhancements, debt reduction or further share repurchases. Bill will speak more on our specific plans for 2020 during his outlook section later on this call.

我們年末的資產負債表狀況與現金流創造能力，持續讓我們得以視市場狀況以多種方式配置資本，包括用於併購、產能提升、降低負債或進一步回購股份。Bill稍後在本次電話會議的展望部分，將更進一步說明我們2020年的具體計畫。

I'll now turn the call over to Bill for additional comments on our financial performance.

接下來我把電話會議交給Bill，請他就我們的財務表現提供更多評論。

Thanks, Dave. For the full year, net sales were up 1% versus 2018 with acquisitions providing 4 points of growth. Operating earnings on an as-adjusted basis increased by 6% with solid margin expansion of 50 basis points. We finished the year with an adjusted EPS of $4.33 per share, which exceeded our most recent guidance. This reflected a more favorable tax rate and strong execution by our businesses, particularly Mercury. As anticipated, fourth quarter sales were down 4% with slight decreases in operating earnings and margin. Our operating deleverage reflects the timing of some tariff-related activity in 2018, which I will address in upcoming comments.

謝謝，Dave。就全年而言，淨銷售額較2018年成長1%，其中併購貢獻4個百分點的成長。以調整後基礎計算的營業利益成長6%，並有50個基點的穩健毛利率/利潤率擴張。我們以每股4.33美元的調整後EPS結束本年度，優於我們最近一次的指引。這反映了較有利的稅率以及各事業部門的強勁執行力，尤其是Mercury。如預期，第四季銷售下滑4%，營業利益與利潤率小幅下降。我們的營運槓桿反向（operating deleverage）反映2018年部分關稅相關活動的時點影響，我將在接下來的評論中說明。

In the Marine Engine segment, revenue was relatively consistent with Q4 of 2018 as continued robust demand for higher horsepower outboard engines, especially in dealer and international sales channels, and gains in P&A sales led by solid growth at Power Products were offset by anticipated softness in outboard engines, 150 horsepower and below, in sterndrive engines. For the full year, Mercury sales were up 3% with Power Products contributing 5% of growth.

在船用引擎（Marine Engine）事業部，營收與2018年第四季大致一致；持續強勁的高馬力舷外機需求（尤其在經銷商與國際銷售通路）、以及由Power Products穩健成長帶動的P&A銷售提升，抵銷了如預期在150匹馬力及以下舷外機與艉驅引擎（sterndrive engines）方面的疲弱。就全年而言，Mercury銷售成長3%，其中Power Products貢獻5%的成長。

Mercury's adjusted operating margins and operating earnings were also slightly lower in the quarter as comparisons between years were unfavorably influenced by the impact of a tariff exemption received in December 2018. For the full year, adjusted operating margins increased by a substantial 100 basis points, outpacing our expectations. This performance included contributions from Power Products, improving sales mix and operating efficiency gains, which exceeded the impact of tariffs and unfavorable changes in foreign exchange rates.

Mercury在本季的調整後營業利潤率與營業利益也略為下降，主因年度比較受到2018年12月取得的關稅豁免影響而不利。就全年而言，調整後營業利潤率大幅提升100個基點，優於我們的預期。此表現包含Power Products的貢獻、銷售組合改善與營運效率提升，其效益超過關稅影響與外匯匯率不利變動。

In the Boat segment, adjusted revenues were lower by 15% in the fourth quarter as we completed our planned pipeline rebalancing efforts. For the full year, sales were lower by 6% versus 2018 but were in line with our revised expectations from July. By category in the quarter, aluminum freshwater sales were down primarily due to planned reductions in value pontoons and aluminum fish products; recreational fiberglass remained essentially flat; and saltwater fishing performance was lower but in line with our expectations due to the wholesale and pipeline dynamics Dave described earlier. Wholesale units sold in the fourth quarter were down 21% versus Q4 2018 with a 13% decrease for the full year. Average selling prices increased, reflecting a more favorable mix and expanded content on boats.

在船艇（Boat）事業部，第四季調整後營收下降15%，因我們完成既定的通路庫存再平衡計畫。就全年而言，銷售較2018年下降6%，但符合我們7月修正後的預期。以本季各品類來看：鋁製淡水船銷售下滑，主要因計畫性降低入門價位浮筒船與鋁製釣魚產品；休閒玻璃纖維船基本持平；鹹水釣魚船表現較弱，但符合我們的預期，原因在於Dave先前所述的批發與通路動態。第四季批發出貨台數較2018年第四季下降21%，全年下降13%。平均售價上升，反映較有利的產品組合以及船艇內容配置增加。

Margins for the fourth quarter and full year decreased versus prior year periods due to several factors, including pressure from the impact of lower volume and production rates, plant inefficiencies due in part to new product integrations, higher retail discounts in previous quarters required a lower pipelines during the second half of the year, the impact of these factors exceeding benefits from cost reduction and operation excellence initiatives, which will also contribute to margin growth in future years.

第四季與全年利潤率較去年同期下降，原因包括多項因素：較低銷量與生產率帶來的壓力、部分因新產品整合導致的工廠效率不彰、前幾季為在下半年降低通路庫存而需要提供較高的零售折扣；上述因素的負面影響超過成本降低與營運卓越（operation excellence）計畫所帶來的效益，而這些計畫也將在未來年度促進利潤率成長。

Pipelines are well positioned as we start the year and enter the boat show season. Dealer pipelines ended the year with 36.6 weeks of boats on hand measured on a trailing 12-month basis, which is essentially in line with year-end 2018 levels. However, on a unit basis, field inventory is down 7% versus the end of 2018. In 2020, our plan assumes that pipelines will decrease slightly.

在年初並進入船展季之際，通路庫存水位配置良好。以過去12個月為基礎衡量，經銷商通路庫存於年末為36.6週的現貨船艇量，基本與2018年年末水準一致。然而，以台數計算，外部庫存（field inventory）較2018年年末下降7%。在2020年，我們的計畫假設通路庫存將小幅下降。

Our fourth quarter continuing operations GAAP results also reflect the impact of certain items that are excluded from our as-adjusted results. In operating earnings, these include restructuring, exit, impairment and other charges in the quarter, totaling $3.8 million primarily related to our previously announced structural cost reductions taken across the enterprise. In addition, we incurred $7.5 million of purchase accounting amortization in connection with the Power Products and Freedom Boat Club acquisitions. Finally, we recorded $4.9 million of charges related to the legacy's sport yacht and yacht products.

我們第四季持續營運的GAAP結果亦反映若干在調整後結果中排除的項目影響。在營業利益方面，包含本季重整、退出、減損及其他費用合計380萬美元，主要與我們先前宣布、在全公司推動的結構性成本削減相關。此外，因Power Products與Freedom Boat Club收購案，我們認列了750萬美元的購買會計攤銷費用。最後，我們就Legacy的運動遊艇與遊艇產品認列了490萬美元的費用。

Moving to 2020 and guidance for the year. We anticipate diluted EPS as adjusted of between $5.10 and $5.40 per share, taking into account our view of the market, our cost reduction efforts in '19 as well as some of the more recent tariff developments, which I discuss on the next slide. We believe that the 4 main EPS drivers that we have discussed on our last few calls, namely, the impact from successful execution of our capital strategy, additional 175-plus horsepower outboard engine capacity, normal P&A seasonal demand and our diligent management of pipeline inventory levels, each remain intact and support our view on EPS.

接著談2020年與全年指引。我們預期調整後稀釋EPS介於每股5.10至5.40美元，已納入我們對市場的看法、2019年的成本削減努力，以及近期部分關稅發展（我將在下一張投影片說明）。我們認為在過去幾次電話會議中討論的4項主要EPS驅動因素——亦即成功執行資本策略所帶來的影響、額外的175匹馬力以上舷外機產能、正常的P&A季節性需求，以及我們對通路庫存水位的嚴謹管理——仍然完好並支持我們對EPS的看法。

Our plan contemplates revenue growth of between 6% and 8%, operating margin improvements of between 40 and 60 basis points, continuing the favorable margin trends from recent years. Operating expenses should decrease as a percentage of sales due in part to the full year impact of the cost measures taken in 2019. We are also projecting low double-digit percent growth in operating earnings and free cash flow in excess of 3 dollars and -- $325 million.

我們的計畫預期營收成長介於6%至8%之間，營業利益率改善介於40至60個基點之間，延續近年來有利的毛利率趨勢。由於2019年所採取的成本措施在全年發揮影響，營業費用占銷售額的比重應會下降。我們也預估營業利益與自由現金流將呈現低雙位數百分比成長，自由現金流將超過每股3美元，且——達到3.25億美元。

First quarter revenue growth of low single digits will under-index to the full year expectations. This is due mostly to the timing of wholesale shipments in 2019 and the significant reductions in the second half of the year. EPS in the first quarter will increase by high single-digit percent versus Q1 2019 mostly due to benefits from 2019 share repurchases.

第一季營收成長的低個位數將低於全年預期。這主要是因為2019年批發出貨時點，以及下半年出貨大幅減少所致。第一季每股盈餘（EPS）將較2019年第一季以高個位數百分比成長，主要來自2019年庫藏股回購的效益。

Moving to tariffs. We anticipate a net impact to 2020 pretax earnings of between $30 million and $35 million or $10 million to $15 million incremental to the 2019 impact. The incremental impact is due solely to our Wave 1 exemption on the 40- to 60-horsepower engines not being extended into 2020. As you likely know, very few exemptions were extended. We are highly disappointed in this outcome and would note that our non-U. S. engine competitors import cost is not affected by these tariffs, despite utilizing the very same Chinese supply chain for engine components.

接著談關稅。我們預期2020年稅前盈餘的淨影響介於3,000萬至3,500萬美元之間，或較2019年的影響增加1,000萬至1,500萬美元。此一增量影響完全是因為我們針對40至60馬力引擎的第一波（Wave 1）豁免未延長至2020年。如各位可能知道的，獲延長的豁免非常少。我們對此結果深感失望，並要指出，我們的非美國引擎競爭對手的進口成本不受這些關稅影響，儘管他們同樣使用相同的中國引擎零組件供應鏈。

Otherwise, there are no changes to our tariff assumptions. We're anticipating Wave 1 through 3 tariffs staying at the 25% rate and that any Wave 4 tariffs will not have any material impact on our businesses. We're not assuming any additional tariff exemptions being granted, although we do have several Wave 3 exemptions still under review by the USTR, which could total up to $5 million of -- in relief if fully granted.

除此之外，我們的關稅假設沒有變動。我們預期第一至第三波（Wave 1至3）關稅將維持25%的稅率，且任何第四波（Wave 4）關稅不會對我們的業務造成重大影響。我們未假設會再獲得任何額外的關稅豁免，儘管我們仍有數項第三波（Wave 3）豁免正由美國貿易代表署（USTR）審查中，若全數獲准，合計最多可帶來約500萬美元的——減免。

On the Boat side, the impact of retaliatory tariffs on boat exports to the EU remains unchanged and incorporated into our plan. We continue to proactively take actions to minimize the impact of tariffs on our businesses, which are included in our estimates, and we're evaluating alternative manufacturing and supply chain strategies to further mitigate the impacts.

在船艇（Boat）業務方面，對出口至歐盟的船艇所遭受報復性關稅的影響維持不變，並已納入我們的計畫。我們持續主動採取行動以將關稅對業務的影響降至最低，相關作為已反映在我們的估計中；同時我們也在評估替代製造與供應鏈策略，以進一步緩解影響。

I will conclude with an update on certain items that will impact our P&L and cash flow for 2020. We're anticipating free cash flow for the year in excess of $325 million and our free cash flow conversion will approach 80%. We expect to use between $30 million and $50 million of cash for working capital for the year and incur between $120 million and $130 million of depreciation and amortization. Our effective tax rate is estimated to be between 21% and 22% for the year, and the cash tax rate is anticipated to be in the low to mid-teens percent range. Finally, including the impact of the $400 million of share repurchases completed in '19, along with planned repurchases in 2020, our average shares outstanding for 2020 will be approximately 79.5 million shares.

最後，我將就若干將影響我們2020年損益表（P&L）與現金流的項目提供更新。我們預期全年自由現金流將超過3.25億美元，自由現金流轉換率將接近80%。我們預期全年將使用3,000萬至5,000萬美元現金投入營運資金，並提列1.2億至1.3億美元的折舊與攤銷。我們估計全年有效稅率介於21%至22%之間，現金稅率預期落在低至中十位數百分比區間。最後，包含2019年完成的4億美元庫藏股回購影響，以及2020年規劃的回購，我們2020年的加權平均流通在外股數約為7,950萬股。

We will execute our balanced capital strategy in 2020, leveraging our strong free cash flow generation. We plan to retire approximately $100 million of our long term -- of our term loan obligations and expect to lower our debt-to-EBITDA ratio to less than 1.5x on a gross basis by the end of the year. Our net interest expense is estimated to be about $65 million for the year. We anticipate spending between 20 -- $200 million and $220 million on capital expenditures throughout the year, including investments in new product in our Engine, P&A and premium Boat businesses, cost reduction and automation projects and additional capacity in our Propulsion business. Finally, we plan to return to a systematic approach to share repurchases, and our plan includes $100 million of repurchases in 2020 spread relatively evenly across the year.

我們將在2020年執行均衡的資本策略，善用我們強勁的自由現金流創造能力。我們計畫償還約1億美元的長期——定期貸款（term loan）債務，並預期在年底前將總負債對EBITDA比率（以總額基礎）降至1.5倍以下。我們估計全年淨利息費用約為6,500萬美元。我們預期全年資本支出介於——2億至2.2億美元之間，包括在引擎（Engine）、零件與配件（P&A）及高端船艇（premium Boat）業務的新產品投資、降成本與自動化專案，以及推進（Propulsion）業務的額外產能。最後，我們計畫回到系統性的庫藏股回購方式，並在2020年規劃回購1億美元，全年相對平均地執行。

I'll now turn the call back to Dave to continue our outlook comments.

接下來我把電話交回給Dave，繼續我們對前景的評論。

Thanks, Bill. I'd like to provide some commentary on our new segment reporting, which we signaled on our third quarter call. During 2019, Brunswick implemented a series of strategic and organizational initiatives to sharpen the focus of the company on the recreational marine market and adjacent opportunities. Starting in 2020, the company's strategies are now focused on 4 business pillars: Propulsion, Parts and Accessories, Boats and Business Acceleration.

謝謝，Bill。我想就我們新的分部揭露方式提供一些說明，我們已在第三季電話會議中預告。在2019年期間，Brunswick推動一系列策略與組織性措施，以更聚焦公司於休閒海事市場及其相鄰機會。自2020年起，公司策略聚焦於四大業務支柱：推進（Propulsion）、零件與配件（Parts and Accessories）、船艇（Boats）以及業務加速（Business Acceleration）。

As a result, the existing Marine Engine segment will now be broken into 2 segments beginning in the first quarter of 2020: the Propulsion segment, which will contain both outboard and sterndrive engine businesses, along with controls and rigging products, which are closely associated with our Propulsion businesses; and the P&A segment, which will contain all of the P&A categories, including engine parts and consumables, electrical products, boat parts and systems and our distribution business. Concurrent with this change, the company has also decided to change its measurement of segment profit and loss due to a decision to streamline internal and external reporting practices related to Marine Engine sold from the Propulsion segment to the Boat segment. This change in presentation, which is not the result of a change in business practice, more closely follows current market dynamics and provides improved comparability with other boat companies.

因此，既有的海事引擎（Marine Engine）分部自2020年第一季起將拆分為兩個分部：推進（Propulsion）分部，將包含舷外機與艉內外機（sterndrive）引擎業務，以及與推進業務密切相關的控制與裝配（controls and rigging）產品；以及P&A分部，將包含所有P&A類別，包括引擎零件與耗材、電氣產品、船艇零件與系統，以及我們的通路配送業務。配合此一變更，公司也決定調整分部損益衡量方式，原因是公司決定精簡與推進分部向船艇分部銷售海事引擎相關的內外部報導作業。此一呈現方式的變更並非源自商業實務的改變，而是更貼近目前市場動態，並提升與其他船艇公司的可比性。

Consistent with past practice, we have provided select historical information reflecting this new reporting structure in today's Form 8-K. We believe that these changes will allow investors to more clearly evaluate the performance and value of each business, especially the aftermarket-focused P&A business, which contributes nearly half of the earnings of the corporation.

依循過往作法，我們已在今日提交的Form 8-K中提供反映此新揭露架構的部分歷史資訊。我們相信，這些變更將使投資人能更清楚評估各業務的表現與價值，特別是以售後市場為主的P&A業務，其貢獻了公司近一半的獲利。

Moving to our outlook by segment under the new structure. 2020 is setting up to be a fantastic year for all of our businesses. For our Propulsion segment, we anticipate net sales growth for the first -- for the year of between 6% to 8% with operating margins that are flat to up slightly versus 2019. We expect earnings growth, even with currency headwinds and the significant incremental tariff impact that Bill discussed earlier.

接著在新架構下，按分部說明我們的前景展望。2020年對我們所有業務而言，正朝著非常出色的一年發展。就推進（Propulsion）分部而言，我們預期全年淨銷售成長介於6%至8%之間，營業利益率相較2019年持平至小幅上升。即使面臨匯率逆風，以及Bill先前提到的顯著關稅增量影響，我們仍預期獲利成長。

Our top priority for this segment continues to be satisfying outboard engine demand and expanding market share, especially in the greater-than-175 horsepower categories enabled by the added production capacity now online for higher horsepower engines. We also anticipate additional margin benefits as we satisfy greater levels of demand in the dealer, repower and international channels. We remain focused on developing new platforms and technology for our engines and related control systems and are investing in a robust new product pipeline to enable top line and earnings growth into the future.

本分部的首要任務仍是滿足舷外機需求並擴大市占，特別是在175馬力以上的級距，這得益於目前已上線的高馬力引擎新增產能。隨著我們在經銷商、換裝（repower）與國際通路滿足更高水準的需求，我們也預期可獲得額外的利潤率效益。我們仍專注於開發引擎與相關控制系統的新平台與技術，並投資於強健的新產品管線，以支撐未來的營收與獲利成長。

Finally, we remain committed to delivering improved technology and performance in our sterndrive and inboard lineup of engines. Although a much smaller component of our business versus a decade ago, these products serve a loyal customer base, and it remains our goal to retain our market leadership position in this category.

最後，我們仍致力於在我們的艉驅與舷內引擎產品線中，提供更優化的技術與性能。儘管相較於十年前，這些產品在我們業務中的占比小得多，但它們服務著一群忠誠的客戶群；我們的目標仍是維持在此類別中的市場領導地位。

Turning to our Parts and Accessories segment. We anticipate organic net sales growth of between 4% and 6% accompanied by solid margin improvement. As a reminder, operating margins in this segment were just shy of 20% in 2019 with more than 75% of segment revenues derived from the aftermarket. If you include the controls and rigging business, which is now part of the Propulsion segment, operating margins were in the low 20% range, consistent with what we've articulated in the past. We will continue to concentrate our M&A efforts in this area as we have the ability to build out our technology stack and fill white space product areas through acquisitions. Potential bolt-on deals in this area are generally in the $20 million to $50 million range, which could be funded from free cash flow.

接著談我們的零件與配件（Parts and Accessories，P&A）部門。我們預期有機淨銷售成長介於4%至6%，並伴隨穩健的毛利率改善。提醒一下，該部門2019年的營業利益率接近20%，且超過75%的部門營收來自售後市場。若將目前已納入推進（Propulsion）部門的控制與配線（controls and rigging）業務一併計入，營業利益率落在20%出頭的區間，與我們過去所闡述的一致。我們將持續把併購（M&A）重點放在此領域，因為我們有能力透過收購擴充技術堆疊，並補足產品空白領域。此領域潛在的補強型（bolt-on）交易通常在2,000萬至5,000萬美元之間，可由自由現金流支應。

The growth of Power Products, which is now part of the Advanced Systems Group as I discussed earlier, continues to outpace the rest of our P&A business and should benefit from more normal aftermarket demand and improved OEM outlook in 2020, along with new products and other business opportunities. Our Attwood group, which is the other portion of ASG, also plans to leverage new products and a streamlined operating model to increase margins and earnings this year. We're very excited and confident in the outlook and growth opportunities for this business under Brett's leadership.

如我先前所提到，Power Products 的成長（目前已納入先進系統事業群 Advanced Systems Group，ASG）持續超越我們其餘的P&A業務，並應可受惠於2020年較為正常化的售後需求與改善的OEM展望，以及新產品與其他商機。我們的 Attwood 團隊（ASG的另一部分）也計畫運用新產品與精簡的營運模式，在今年提升利潤率與獲利。在Brett的領導下，我們對此業務的展望與成長機會感到非常振奮且充滿信心。

Finally, our Boat business is keenly focused on improving operational performance and completing significant product launches and integrations in 2020, the combination of which should lead to top line growth of between 6% and 8% and strong improvement in operating earnings and margins. Including the change in the reporting segments I discussed earlier, we anticipate exiting 2021 with double-digit margins in this segment. In Miami in a few weeks, we will give further information on how we can reach even more aggressive margin targets by the end of our new 3-year plan.

最後，我們的船艇（Boat）業務將高度聚焦於提升營運績效，並在2020年完成重要的新產品上市與整合；兩者結合應可帶動營收成長介於6%至8%，並使營業利益與利潤率顯著改善。包含我先前提到的報導部門調整，我們預期在2021年結束時，該部門的利潤率可達到兩位數。幾週後在邁阿密，我們將提供更多資訊，說明如何在新三年計畫結束前達成更具企圖心的利潤率目標。

Our efforts in the back half of 2019 to manage pipeline inventory levels put us in a favorable position entering this year with 2020 wholesale sales expected to be -- to more closely match retail sales for the year, resulting in top line growth versus 2019. Additionally, our structural cost reductions as well as the strategic actions within this segment that I referenced earlier in the call will both provide benefits to our margin expansion plans in 2020 and beyond.

我們在2019年下半年為管理通路庫存水位所做的努力，使我們在今年初處於有利位置；預期2020年的批發銷售將——更貼近全年零售銷售，因而帶來相較2019年的營收成長。此外，我們的結構性成本削減，以及我在本次電話會議稍早提到的該部門策略性行動，將共同為我們在2020年及之後的利潤率擴張計畫帶來助益。

We will continue to expand Freedom Boat Club and execute against its strategic growth strategy. We anticipate adding another 30 locations in 2020 and capitalizing on our synergy opportunities. Notably, the Freedom fleet conversion to Brunswick Boats and Mercury engines is ahead of plan, and we anticipate strong sales into the franchisee base in 2020.

我們將持續擴張 Freedom Boat Club，並落實其策略性成長計畫。我們預期在2020年再新增30個據點，並把握協同效益機會。值得注意的是，Freedom 船隊轉換為 Brunswick Boats 與 Mercury 引擎的進度超前計畫，我們預期2020年對加盟主體系的銷售將表現強勁。

Lastly, as shown in Fort Lauderdale with the launch of the Boston Whaler 315 and 405 Conquest models at CES, where we debuted the Sea Ray SLX-R 400e, and in New York with the Whaler 280 Vantage launch, our aggressive new product cadence is generating additional higher margin sales and capturing market share. Although the integration of these new products will likely result in a slight operational headwind during the first half of the year, these new products leverage technology capabilities from across our integrated marine platform that enable users to more easily enjoy their day on the water.

最後，如同在勞德岱堡（Fort Lauderdale）於CES推出 Boston Whaler 315 與 405 Conquest 機型、並首度亮相 Sea Ray SLX-R 400e，以及在紐約推出 Whaler 280 Vantage，我們積極的新產品推出節奏正帶來更多高毛利銷售並取得市占。雖然這些新產品的整合在上半年可能會造成些微的營運逆風，但它們運用我們整合式海事平台（integrated marine platform）跨領域的技術能力，讓使用者能更輕鬆享受水上時光。

Finally, as many of you know, Brunswick exhibited for the first time at the Consumer Electronics Show in 2020, showcasing our technology on a global stage. We not only launched the new Sea Ray SLX-R 400e with our unique Fathom power management system, but our team created a concept helm that illustrated what the future of boating could look like. The exhibit was awarded an A+ grade, and we engaged with more than 40 potential partners that are interested in collaborating with us in areas such as artificial intelligence, sensors, autonomy and more. The traffic in our exhibit far exceeded our expectations, and we counted anywhere between 30 and 60 people per minute taking pictures in our exhibit, 8 hours a day for 4 days. We also garnered national media attention and still have more stories in the queue. CES 2020 was so successful that we have already signed up for CES 2021. In case you're wondering, yes, we sold the boats on display, it will be delivered after the Miami boat show. Two people said that they wanted that exact boat, and we have taken orders for several more just like it.

最後，許多人都知道，Brunswick 在2020年首次參加消費性電子展（CES），在全球舞台展示我們的技術。我們不僅推出搭載獨特 Fathom 電力管理系統的全新 Sea Ray SLX-R 400e，我們的團隊也打造了一個概念駕駛台（concept helm），呈現未來船艇可能的樣貌。該展出獲得A+評等，我們也與超過40家潛在合作夥伴交流，他們有意在人工智慧、感測器、自主化等領域與我們合作。我們展區的人潮遠超預期；我們統計每分鐘約有30到60人拍照，連續4天、每天8小時。我們也獲得全國性媒體關注，且仍有更多報導在排程中。CES 2020 的成功程度，使我們已經報名參加 CES 2021。如果你在想，是的，我們把展示的船賣掉了，將在邁阿密船展後交付。有兩位客戶表示想要那一艘一模一樣的船，我們也已接到數筆更多類似船款的訂單。

In closing, we had record earnings in 2019 and are proud of what we accomplished as a company, but our focus has now turned to 2020 and beyond. We will introduce an updated 2020 to 2022 strategic plan at our Investor Day in Miami on Tuesday, February 11 and hope you will join us for this event.

總結來說，我們在2019年創下獲利新高，並為公司所達成的成果感到自豪，但我們的焦點已轉向2020年及未來。我們將於2月11日（週二）在邁阿密的投資人日（Investor Day）發布更新版的2020至2022策略計畫，並希望各位能共襄盛舉。

2020 is our first full year of operations as an integrated marine enterprise. We have the best recreational marine brands in the world, the most capable workforce and a streamlined strategy that has positioned us for success in any economic environment. We plan on executing against our strategic plan and delivering shareholder returns consistent with our long-term goals. We're confident that you will see that innovation and inspiration on water isn't just a phase, but it's the purpose that separates us from all other companies in our space and drives us to deliver the best on-water experiences for our customers, which in turn will create and sustain lasting value for all our stakeholders.

2020年是我們作為整合式海事企業（integrated marine enterprise）完整營運的第一年。我們擁有全球最優秀的休閒海事品牌、最有能力的團隊，以及精簡的策略，使我們在任何經濟環境下都具備成功的定位。我們計畫落實策略計畫，並提供與長期目標一致的股東報酬。我們有信心你們會看到，「水上創新與啟發」不只是一時的潮流，而是使我們有別於同業的使命，並驅動我們為客戶提供最佳的水上體驗，進而為所有利害關係人創造並維持長期價值。

I'll now open the line for questions.

我現在開放提問。

(Operator Instructions) And our first question comes from James Hardiman with Wedbush.

(接線員指示) 我們的第一個問題來自 Wedbush 的 James Hardiman。

It was a strong finish to the year, so I figure I'd start with a nitpick here. So inventory 3 months ago, you said you thought they'd be flat to down in terms of weeks on hand. It seems like the retail environment was, if anything, better than expected. They finished up just a hair. What's the difference there?

今年收尾很強勁，所以我想先從一個小挑剔開始。三個月前談到庫存時，你們說你們認為以可供週數（weeks on hand）來看會持平到下降。看起來零售環境若有的話，是比預期更好。但最後庫存只小幅上升了一點。這中間的差異是什麼？

And then as I think about competitive inventory levels, I think -- certainly, the checks that we've done would suggest that you guys have been a lot more aggressive maybe than some of your peers. Is there any concern that, that could create sort of a heightened competitive environment here in 2020?

另外，當我思考同業的庫存水位時，我認為——我們做的一些查核顯示，你們可能比某些同業更積極。你們是否擔心這可能在2020年造成某種更激烈的競爭環境？

James, and thanks for joining us. Yes, I think it's not possible for us to manage inventories down to the nearest 0.1. But I would tell you, given the start to the retail season in 2020, I'm pleased that we finished slightly on the upside versus slightly on the downside because I think that we have a potential risk of -- it's more of a risk of it's not having enough than there is of having too much right now. So I think we managed very diligently. We managed units down very well. Managing exactly to the 10ths of a week is probably -- is not something we can do. But I think to all intents and purposes, we finished as we planned, and I have no problem with that very slight kind of half a week.

James，謝謝你加入我們。是的，我想我們不可能把庫存管理到最接近0.1那麼精準。但我會告訴你，考量2020年零售旺季的開局，我反而很高興我們最後是略高於預期，而不是略低於預期，因為我認為目前「不夠」的風險——比「太多」的風險更大。所以我認為我們管理得非常謹慎。我們把單位數量（units）降得很好。要精準管理到週數的小數點一位——大概不是我們能做到的事。但我認為就各方面而言，我們的結果符合計畫，對於那種非常輕微、約半週的差異，我沒有問題。

I think what we've seen more broadly across our competitors is good behavior. I think some started a little later than we did coming down. So I don't see, broadly across the industry, that excess inventory of competitors is going to be a hurdle for us going into the year.

我認為，從更廣泛的角度來看，我們在競爭對手那邊看到的是良好的行為表現。我認為有些競爭對手開始下調的時間比我們晚一些。因此，我不認為就整個產業而言，競爭對手的過剩庫存會在我們進入今年時成為我們的障礙。

Okay. And should I interpret the first answer as you feel a little bit better about where demand is likely to go than maybe you did 3 months ago?

好的。那我是否可以把你第一個回答解讀為：相較於3個月前，你對需求可能走向的看法感覺稍微更樂觀一些？

Yes. You should interpret it that way. I think early season dealer traffic has been good, boat shows have been good and dealer sentiment is positive. So I would say that the season is off to a good start for us. And yes, so that's a good interpretation. I'm glad we are where we are.

是的。你可以這樣解讀。我認為季初經銷商來客量表現不錯，船展也很成功，而且經銷商情緒是正面的。所以我會說，對我們而言，這一季開局良好。是的，所以這樣解讀是對的。我很高興我們目前所處的位置。

Got it. And then I think you essentially answered this. But the incremental tariff on the 40- to 60-horsepower outboards, that request actually got denied. Or have you just not gotten any approval yet? I guess I'm asking, is there any chance that, that could come back? It sounds like the answer to that question is no. Is that the way to think about it?

了解。接著我想你其實已經回答了這個問題。但針對40到60匹馬力舷外機的額外關稅，那個申請其實被否決了嗎？還是你們只是尚未取得任何核准？我想問的是，那件事還有可能再回來嗎？聽起來這個問題的答案是否定的。可以這樣理解嗎？

Yes. So I think the process, as it turns out, is different every time. And when we first were granted the exemption, the U.S. was speaking with companies individually. This time, of this, I think, several hundred extension requests, only a handful were granted. And the message that we got was that, that was it. So I don't know if we actually finally got a company communication, but the message that we have is that no further exemptions are on the table.

是的。所以我認為，事實證明這個流程每次都不一樣。而當我們第一次獲得豁免時，美國是逐一與各家公司個別溝通。這一次，在我想是數百件延長申請中，只有少數幾件獲准。我們收到的訊息是，到此為止了。所以我不確定我們是否最終收到正式的公司層級通知，但我們掌握到的訊息是：不會再有任何進一步的豁免。

And our next question comes from Craig Kennison with Baird.

下一個問題來自Baird的Craig Kennison。

And congratulations on a big year last year. Bill, I had a question on gross margin. Is there any way you can frame gross margin for both Propulsion and the P&A segment? I know you're not going to give me a precise number, but any light you can shed there would help us build our models.

也恭喜去年有個很亮眼的一年。Bill，我有一個關於毛利率的問題。你能否就推進（Propulsion）以及P&A部門的毛利率提供一些框架性的說明？我知道你不會給我精確數字，但任何你能提供的資訊都能幫助我們建立模型。

Craig, we really don't get to that level of specificity in anything that we report externally. I think we do talk generally about kind of how things may index above or below the boat companies, where I think we've been pretty clear with people, under-indexed overall to company gross margins. The Propulsion business is more in line, maybe a bit more favorable that -- to company margins. And then the P&A business, the new P&A segment would over-index to overall company margins.

Craig，我們在對外揭露的內容中，確實不會細到那種程度。我想我們一般會談到大致上相對於船艇公司的毛利率是高於或低於的情況；我們也一直很清楚地告訴大家，我們整體而言相對於公司毛利率是偏低（under-index）。推進業務與公司整體毛利率更一致，可能還稍微更有利一些。而P&A業務，也就是新的P&A部門，則會高於（over-index）公司整體毛利率。

Okay. And then Dave, a question for you. I mean there have been just so many changes here, including changes in the Boat Group, and I'm just trying to maybe wrap my head around it. But you've made changes to the Aluminum Boat Group and then the Technology Center. I'm wondering if you can provide an anecdote or 2 that'll help illustrate what those changes have created from a product standpoint.

好的。接著Dave，我有個問題想請教你。這裡有非常多變動，包括船艇事業群的變動，我只是想試著把整體脈絡理清楚。你們對鋁製船艇事業群以及技術中心都做了調整。我想知道你能否提供一兩個例子，幫助說明這些變動在產品面帶來了什麼成果。

Yes. Craig, and thank you for joining us, too. Yes, I think the way to think about this is that we are continuing to build strong brands, but it's brand focused as opposed to individual businesses. So we see a lot of benefits in consolidating some of the kind of back-end operations, if you like, of the closely related businesses to leverage scale and increase the expertise available to all of our brands.

可以。Craig，也謝謝你加入我們。是的，我認為可以這樣理解：我們持續打造強勢品牌，但重點是以品牌為核心，而不是以單一事業為核心。因此，我們看到把一些彼此高度相關的業務在某些後端作業（如果你願意這麼說）加以整合，能帶來很多好處，包含運用規模效益，並提升所有品牌可取得的專業能力。

So the Aluminum Boat Group, which is Lund, Lowe, Crestliner, Harris, a lot of commonality around operations, a lot of need to enhance the digital marketing, which is not necessarily possible on individual brand basis but is very possible on a collective basis. So -- and then on the value fiberglass side, we formed a venture group to achieve something similar. So this is really about making sure we have strong brands, but we leverage our scale and bring to bear the highest possible of level of expertise through leverage kind of back-end operations, if you like.

所以鋁製船艇事業群包含Lund、Lowe、Crestliner、Harris，在營運上有很多共通性，也有很大的需求要強化數位行銷；這在單一品牌層級未必做得到，但在整體整合的層級就非常可行。另外在平價玻璃纖維那一端，我們成立了一個venture group來達成類似的目標。所以這主要是確保我們擁有強勢品牌，同時運用我們的規模，透過槓桿化後端作業（如果你願意這麼說）來導入最高水準的專業能力。

So the 2 brands that we have not done that fully on yet are -- or don't intend to do are Sea Ray and Whaler. They have very strong kind of individual operations.

因此，目前我們尚未完全採用這種做法、或不打算完全採用這種做法的兩個品牌是Sea Ray和Whaler。它們各自都有非常強的獨立營運體系。

But we have put together the fiberglass tech center, which is serving both of those brands. And you will see, possibly already seen, but certainly will see over the next year, the rate at which that tech center can push out new products for both of those brands and others is extremely high. And we have 160 engineers and technicians in that group now. That is more horsepower than any other company can bring to bear in that kind of product line. So think about it as maintaining strong brands, leveraging infrastructure, improving capability and -- but sharing best practices.

但我們已經建立了玻璃纖維技術中心，為這兩個品牌提供服務。你可能已經看到，或至少在未來一年一定會看到，該技術中心為這兩個品牌及其他品牌推出新產品的速度非常快。目前該團隊有160位工程師與技術人員。在這類產品線上，這樣的研發能量（horsepower）是其他任何公司都無法比擬的。所以可以把它想成：維持強勢品牌、槓桿化基礎設施、提升能力，同時分享最佳實務。

And our next question comes from Michael Swartz with SunTrust.

下一個問題來自SunTrust的Michael Swartz。

David, I just wanted to talk about your commentary around the -- your retail expectations for 2020. I think you've said flat to low single-digit growth. Just, I guess, a point of clarification. Is that global growth or U.S. growth? And then how to think about the cadence of retail through 2020?

David，我想談談你對2020年零售展望的評論。我記得你說是持平到低個位數成長。我想做個釐清。那是全球成長，還是美國成長？另外，該如何看待2020年零售的節奏（cadence）？

Yes. It's a global view. So I think, typically, the U.S. over-indexes. Probably U.S. will -- Europe will probably under-index a bit, but it's broadly global.

是的。那是全球的觀點。所以我認為通常美國會相對更強（over-index）。歐洲可能會相對弱一些（under-index），但整體而言是全球性的。

In terms of cadence, I guess, versus last year, we were, at this point in the year, still anticipating a stronger first half to the year than we actually achieved. So we were still building wholesale, and the retail activity obviously didn't emerge quite as we expected it to. So I think this year will be a much more balanced year. We go in with lower pipelines. So I think we'll better match wholesale and retail throughout the year this year. Obviously, we'll still be building inventory in the first part of the year to serve the demand of the peak season, but I expect just an overall more balanced wholesale and retail across all quarters.

就節奏而言，我想相較於去年，我們在今年這個時間點，當時仍預期上半年會比實際達成的更強。所以我們仍在增加批發出貨，而零售活動顯然沒有如我們預期般出現。因此我認為今年會是一個更均衡的一年。我們在較低的通路庫存水位（pipelines）下進入新年度。所以我認為今年我們能在全年更好地讓批發與零售相匹配。當然，我們在年初仍會為了旺季需求而建立庫存，但我預期整體而言，各季度的批發與零售會更為均衡。

I think, Michael, the only thing I'd add to that is that I think we're kind of expecting or anticipating more normal seasonality, and 2019 probably didn't have -- exhibit kind of normal seasonality. It was a bit more back-end loaded than front-end loaded. On the retail side, wholesale was exactly the opposite, more front-end loaded than back-end loaded. So I think as you look at wholesale comparisons, '19 to '20, the comps get to be a little bit more challenging in the first half, back half obviously much more favorable. On the retail side, the performance in the back half of the year was a little bit more -- or the front half of '19, a bit more challenged. We'd expect maybe the comps to be a little bit more favorable in the first half of the year.

我想，Michael，我唯一要補充的是，我們某種程度上預期或正在預期更正常的季節性，而2019年可能並沒有——呈現出那種正常的季節性。它比較偏向後段出貨多於前段。在零售端，批發端則完全相反，前段出貨多於後段。所以我認為，當你看批發端的比較，'19對'20，上半年同店比較會變得稍微更具挑戰性，而下半年顯然會更有利。在零售端，年後半的表現稍微更——或者說'19的前半，稍微更具挑戰。我們可能預期上半年的同店比較會稍微更有利一些。

Okay. Great. That's very helpful. And then just maybe -- I think you've given us the total tariff impact you expect for 2020 and then the incremental versus '19. I guess how much of that increase was due solely to not getting the exemptions on the smaller horsepower engines? If I go back to '18, I think the number was some kind of in the high teens millions as far as that impact. Is that still the way to think about it from just that piece?

好的。很好。這非常有幫助。接著可能——我想你們已經給了我們你們預期2020年的關稅總影響，以及相較於'19的增量。我想問的是，那個增加當中有多少純粹是因為小馬力引擎沒有拿到豁免？如果我回到'18，我記得那個數字大概是影響在一千多萬美元、接近兩千萬美元的區間。就那一塊來看，現在仍然可以這樣理解嗎？

No. Mike, this is Ryan. The way to think of it is $10 million to $15 million incremental for the year, and it is all related to the 40- to 60-horsepower exemption not being renewed. There's a little difference in volume. There's a little bit of difference in how many engines we had on the way over here and inventory position. So it's within a margin of error. But $10 million to 15 million is the best way to think of it.

不是。Mike，我是Ryan。比較好的理解方式是全年增量約1,000萬到1,500萬美元，而且全部都與40到60馬力的豁免未獲續期有關。其中有一點點是量的差異。也有一點差異在於我們有多少引擎正在運送途中，以及庫存部位。所以都在誤差範圍內。但用1,000萬到1,500萬美元來理解是最合適的。

Okay. Great. Great. And then, David, I think in your closing comments, you had mentioned on the Boat group, you think you can get the margins back to double digits by 2021. I guess that caught me a little off guard. So maybe -- and I'm sure we'll get more color in Miami. But maybe give us a sense of some of the larger levers you can pull getting there because I think the guidance for this year implies 8.5%, so -- 8.5%-plus. So that seems like a pretty big jump.

好的。很好。很好。接著，David，我想你在結語裡提到，在船艇事業群方面，你認為到2021年可以把毛利率拉回到兩位數。我想這讓我有點意外。所以也許——我確定我們在邁阿密會聽到更多細節。但能否先讓我們了解一下，你們要達成那個目標有哪些比較大的槓桿可以拉動？因為我想今年的指引大概意味著8.5%，也就是——8.5%以上。所以看起來是相當大的跳升。

Yes. So I think we've articulated the kind of things that we're doing in the Boat group around a couple of areas. One is, as I referenced with Craig earlier, we have significantly leaned out the Boat Group organization, including the management structure. So SG&A levels will be significantly lower, especially as we get into this year and beyond, and we see a full year effect of the actions that we took in the back half of 2019. And then we have a lot going on operational excellence and supply chain management that we will reap significant benefits from in this year and next year as well. And that is -- those are progressive benefits that will build over time, if you like. We also have some additional capacity in place that allows us to build more of that higher-content, larger boat product that is helpful to margins for us. And of course, in the -- just in the last 3 months, Boston Whaler, which was leaning out its pipelines ahead of product introductions, has already introduced 3 brand-new models. And that is just the start for Whaler, and there's more to come from our other brands as well. So I think a lot of efficiency in operating model, SG&A, in our plants and our supply chain and then some very nice new product coming through as well.

是的。所以我想我們已經闡述過，我們在船艇事業群正在做的事情主要圍繞幾個面向。第一個是，如同我先前跟Craig提到的，我們已大幅精簡船艇事業群的組織，包括管理架構。因此SG&A水準將顯著降低，尤其是進入今年及之後，我們會看到2019年下半年所採取行動的全年效益。另外，我們在營運卓越與供應鏈管理方面也有很多工作在進行，這些將在今年與明年帶來顯著效益。而且——如果你願意這麼看，這些是會隨時間逐步累積的效益。我們也已配置一些額外產能，使我們能生產更多高配置、較大型的船艇產品，這對我們的利潤率有幫助。當然，在過去3個月裡，Boston Whaler在新品推出前一直在精簡其管線，現在已經推出了3款全新機型。這只是Whaler的開始，我們其他品牌也還會有更多新品推出。所以我認為，營運模式、SG&A、我們工廠與供應鏈的效率提升，再加上一些非常不錯的新產品陸續推出，將共同帶動改善。

And our next question comes from Steve Zaccone with JPMorgan.

下一個問題來自JPMorgan的Steve Zaccone。

David, first question was just on the marine industry, following up on the first question today. Where do we stand on the health of channel inventories when you segment value versus premium or maybe saltwater markets versus freshwater markets? All markets pretty are stable? Or are there some areas where maybe inventory is still a little bit high?

David，第一個問題是關於船舶產業，延續今天的第一個問題。當你把通路庫存按價值型對高端型，或是海水市場對淡水市場來分段時，目前通路庫存的健康狀況如何？各市場都相當穩定嗎？還是有些領域的庫存可能仍然偏高一些？

I think that -- I think we've done a pretty good job of bringing inventory down in all segments, and I think I mentioned on the last call that what we've been trying to achieve is not just an aggregate number. It is a by-segment number as far as we possibly can, making sure that our inventories are in line with anticipated needs for 2020. I would say that the sell-through of premium products at the back half of 2019 in retail was probably a little higher than we anticipated. And in some earnings calls earlier, you probably heard a little bit more about that. But -- so I would say that we are below average on premium product, particularly Whaler, but really, we're not in bad shape anywhere.

我認為——我覺得我們在所有分項把庫存降下來這件事做得相當不錯，而且我想我在上一次電話會議提到，我們想達成的不只是總量的數字。而是盡可能做到按分項的數字，確保我們的庫存與對2020年的預期需求一致。我會說，2019年下半年在零售端，高端產品的終端銷售（sell-through）可能比我們預期的稍微高一些。而在之前的一些財報電話會議中，你可能也聽到更多相關內容。但是——所以我會說，我們在高端產品上（特別是Whaler）庫存低於平均水準，但整體而言，我們沒有任何地方處於不佳狀態。

Great. And then just the second question was just talking through the top line expectations for the Boat segment through the year. Any help around thinking about performance by specific category?

很好。第二個問題是，想請你們談談船艇部門全年營收（top line）預期的走勢。能否協助我們思考按特定品類來看，表現會如何？

And then one clarification within that segment. How much revenue should we be expecting from the Business Acceleration division? Just trying to figure out what the organic growth rate is for the Boat segment versus the guided 6% to 8%.

另外在該部門內有一個釐清問題。我們應該預期Business Acceleration事業部會貢獻多少營收？我只是想釐清船艇部門的有機成長率，相對於指引的6%到8%到底是多少。

Okay. So Bill, do you want to answer the last one?

好的。那Bill，你要回答最後那個問題嗎？

Right. I think it's going to be pretty similar to what it was this year, which is a couple of points.

好的。我認為會跟今年非常相近，也就是大概幾個百分點。

Yes. That's exactly right, a couple of points, full year for Freedom.

是的。完全正確，Freedom全年大概是幾個百分點。

Revenue acceleration for the Boat group by segment, I think Whaler will be particularly strong for us. But our other premium brands, we're anticipating good years for as well. So we're expecting everybody to contribute here. We -- the realignment of wholesale and retail, given our -- the wholesale was so far behind retail in the back of 2019, I think, allows a lot of options for -- a lot of possibilities across our brands. But I would say the premium brands, again, will be particularly strong.

就船艇事業群按分項的營收加速而言，我認為Whaler對我們會特別強勁。但我們其他高端品牌，我們也預期會有不錯的一年。所以我們預期每個品牌都會在這裡做出貢獻。我們——批發與零售的重新對齊，考量到我們——2019年下半年批發端遠落後於零售端，我認為這讓我們在各品牌上有很多選項——很多可能性。但我會說，高端品牌同樣會特別強勁。

And our next question comes from Tim Conder with Wells Fargo.

我們的下一個問題來自富國銀行（Wells Fargo）的 Tim Conder。

Congrats on wrapping a strong year. Just a couple here, if I may. The Freedom Boat Club, how -- you commented that the adoption of Brunswick products is maybe trending a little bit ahead of your expectations, and I think you said also 210 locations or franchises by the end of 2020 from the current 200. So what do you have built into that 6% to 8% growth that -- due to the conversion or a picking up of Brunswick products by those locations?

恭喜你們以強勁表現結束這一年。如果可以的話，我這裡有幾個問題。關於 Freedom Boat Club，你提到 Brunswick 產品的採用情況可能略微超出你們的預期；我記得你也說到 2020 年底將從目前的 200 個據點提升到 210 個據點或加盟點。那麼，在你們所說的 6% 到 8% 成長之中，有多少是因為這些據點轉換、或是更積極採用 Brunswick 產品所帶來的？

So yes, Tim. So we just achieved 210 locations. We're expecting probably another 30 this year. So we'll be up in the 230, 240 range by the end of the year. Yes, the conversion rates, we've been very, very pleased, engaging with our franchisees on the very compelling product and service offerings that we can provide and the uptake of both our Boat products and our Engine products has been very, very strong. So that's really good.

是的，Tim。我們剛剛達到 210 個據點。我們預期今年可能還會再增加約 30 個。所以到年底大概會在 230 到 240 個的區間。是的，轉換率方面我們非常、非常滿意；我們與加盟主就我們能提供的極具吸引力的產品與服務方案進行了深入合作，而我們的船艇產品與引擎產品的採用成長都非常、非常強勁。所以這真的很不錯。

As we mentioned earlier, the fleet size of Freedom is roughly in the 2,500 range. It turns over every kind of 2 to 3 years. So you can expect roughly 800 new boats into the franchise every year, and we're expecting to become a significant portion of that. The rate that we'll accelerate, we'll be accelerating more strongly in probably '20 back half of this year and 2021, but we'll make good progress already in 2020. I'm not going to give you an exact number here, but we'll make strong progress in penetrating that 800 this year, both on the Boat side and more on the Engine side.

如同我們先前提到的，Freedom 的船隊規模大約在 2,500 艘左右。大約每 2 到 3 年會汰換一次。因此你可以預期每年大約有 800 艘新船加入加盟體系，而我們預期會在其中占據相當重要的比重。我們加速的幅度，可能會在今年下半年（'20 的後半段）以及 2021 年更為明顯，但我們在 2020 年就會取得不錯的進展。我不會在這裡給你一個精確數字，但今年在滲透這 800 艘的進度上，我們會有強勁表現，船艇端與引擎端（尤其是引擎端）都會如此。

Okay. Okay. No. Helpful, David. And then gentlemen, how would you frame -- I mean you narrowed your -- the range to your guidance kept your midpoint the same, despite the incremental tariffs being folded in there. But how would you frame, at this point, the upside/downside scenarios? Let's just say if the marine industry globally is down $5 or plus $5 versus you're kind of saying globally flat to maybe slightly up. What if we hit that down $5, plus $5? Or is that $5.10, $5.40 still achievable? Or would we fall outside of that range under the down $5, plus $5 scenario?

好的。好的。不。很有幫助，David。接著，各位先生，你們會如何界定——我的意思是，你們在把增量關稅納入之後，縮小了指引區間，但中位數維持不變。那麼就目前而言，你們會如何描述上行／下行的情境？假設全球船舶產業相較你們所說的「全球持平到小幅成長」，出現 -5 或 +5 的差異。如果真的落在 -5、+5 呢？那 $5.10、$5.40 仍然可達成嗎？或者在 -5、+5 的情境下，你們會落在該區間之外？

Yes. So yes, Tim, so we -- as we set our guidance, we go through a list of risks in ops for the year, and we make an assessment. And I think what we have in place here is a very balanced assessment that includes considerations of potential downside and potential upsides to the market and various other factors. So I would say that we -- our guidance is robust, and we've considered various scenarios, obviously not extreme scenarios, but certainly plausible scenarios on the up and downside.

是的。所以是的，Tim，我們在制定指引時，會針對年度的風險與機會逐項檢視並做出評估。我認為我們目前的指引是一個非常均衡的評估，已納入對市場潛在下行與潛在上行，以及其他各種因素的考量。因此我會說，我們的指引具有韌性；我們也考慮了各種情境，當然不是極端情境，但確實是上行與下行都合理可發生的情境。

I think it kind of depends, Tim, of what other things accompany a market adjustment and how much of our portfolio is adjusted. I think we consider some of the opportunities on the premium boat side, high horsepower engines and things like that, not to be potentially as variable as overall market might be. If the 5% market difference in kind of the value end similar to what we experienced this year, our ability to manage the cost structure and things like that, I think, is pretty reasonable, and you could stay within that $5.10 area in that sort of scenario but -- with things like currency and tariffs and other parts of the market start to get influence and gets to be a little bit more difficult. But I think in general, when we've set a bottom end of the guidance range, we generally have tried to understand what sort of things do we need to compensate for, and we feel pretty comfortable that we've got a pretty balanced view of that, given what we know today.

我想這有點取決於，Tim，市場調整同時伴隨哪些其他因素，以及我們的產品組合有多少會受到調整。我們認為在高端船艇、高馬力引擎等領域的一些機會，未必會像整體市場那樣具有同等程度的波動性。如果是市場在價值端出現 5% 的差異、類似我們今年所經歷的情況，我認為我們在成本結構管理等方面的能力相當不錯，在那種情境下你仍可能維持在約 $5.10 的水準；但——若再加上匯率、關稅以及市場其他部分開始產生影響，就會變得更具挑戰。但總體而言，當我們設定指引區間的下緣時，我們通常會試著理解需要用哪些因素來抵消衝擊；以我們今天所掌握的資訊來看，我們對於這個相當均衡的觀點感到很有信心。

So one of the -- remember -- Tim, remember also that when we went back to the dollar that took you from the $4.25 midpoint to the $5.25 midpoint, about $0.40 of that was capital strategy, which is relatively already completed due to the share repurchases last year. So there's a little bit more certainty on that piece because it relies on actions that have already been taken.

另外還有一點——記得——Tim，也請記得，當我們把每股盈餘中位數從 $4.25 拉到 $5.25 時，其中約 $0.40 來自資本策略，而這部分因為去年已進行股票回購，基本上已相對完成。所以那一塊的確定性更高一些，因為它依賴的是已經採取的行動。

Our next question comes from Eric Wold with B. Riley.

我們的下一個問題來自 B. Riley 的 Eric Wold。

A couple of questions. I guess one follow-up on the last one around the guidance for 2020. So obviously, you kept the midpoint of the range unchanged with the incremental tariffs being in there. I guess, what was the main factor that -- or factors that allows you to kind of absorb that incremental 10 to 15 because obviously now you're giving some better outlook on the sales side. Is the sales growth a little bit more robust than you would've thought, given what you've done to the pipeline, et cetera? Or kind of maybe what were the factors that are going to kept that -- and will keep that unchanged?

我有幾個問題。我想先追問上一題、關於 2020 年指引。很明顯，你們在把增量關稅納入後，仍維持區間中位數不變。我想問，主要因素——或因素有哪些——讓你們能夠吸收那額外的 10 到 15（的影響），因為你們現在顯然也對銷售端給出了更好的展望。銷售成長是否比你們原先預期更強勁一些，考量到你們對通路管線等所做的調整？或者，哪些因素讓你們能夠讓中位數維持不變、並將持續維持不變？

Well, I think certainly there was the unexpected tariff headwind. But if you think about the back half of the year, a lot of things are going very positively and providing a tailwind.

嗯，我認為確實有一個意料之外的關稅逆風。但如果你看今年下半年，很多事情進展非常正面，並帶來順風。

I think when we talked to the analyst investment community about the manufacturing expansions that we were doing on Mercury and the extent of them, there was some nervousness about that. But in fact, they went without a hitch. So we added that additional capacity with no issues. We saw retail tick up in the back half of the year, which was positive for us. When we started to get that manufacturing capacity in place, we also started to see clearly the margin benefits in Mercury from being able to serve the -- some of the higher-margin customers. So that is a validation of part of our strategy. And then our launch of the new boat products has also gone flawlessly, and the reception has been absolutely wonderful.

我想當我們向分析師與投資界談到我們在 Mercury 進行的製造擴產以及其規模時，市場曾有些緊張。但事實上，整個過程非常順利。因此我們在沒有任何問題的情況下增加了額外產能。我們看到下半年零售端略有回升，這對我們是正面的。當我們開始把製造產能到位後，也開始清楚看到 Mercury 的毛利效益，因為我們能服務一些毛利較高的客戶。所以這也驗證了我們策略的一部分。此外，我們新船型產品的上市也進行得非常順利，市場反應非常好。

So we saw this unexpected headwind. But overall, if you think about what I've just described, plus a pretty decent start to the year this year, I think we're in pretty good shape to offset that.

所以我們確實遇到這個意料之外的逆風。但整體而言，若把我剛描述的這些因素，再加上今年年初相當不錯的開局一起看，我認為我們有相當好的條件去抵消那個影響。

Perfect. And then just the follow-up on the Engine capacity. You obviously noted in the CapEx plan for this year possibly additional expansion. Kind of what was added in the fourth quarter around Engines? Is that fully in place? Does it need to kind of ramp a little bit in 2020? Or what else could you add this year?

很好。接著追問一下引擎產能。你們在今年的資本支出（CapEx）計畫中提到，可能會有額外擴產。第四季在引擎方面新增了哪些內容？那部分是否已完全到位？2020 年是否還需要再爬坡提升？或者今年還可能再增加哪些項目？

No. It's fully executed. It was fully executed in the back half of 2019. So we're able to take full advantage as we enter 2020 and as we have entered 2020. Certainly, there's -- Mercury is always looking at making its operations more efficient, and if we need to add more capacity, we certainly will. But I think we are in very good shape as we enter the season to service all of our customers right now and to go after the Conquest opportunities that have really been in reach, but we couldn't quite get to them because of capacity. So I think the whole Mercury team is very, very excited about having that capacity behind it, to go after those additional opportunities.

不。已經完全執行完畢。在2019年下半年就已全面執行完成。因此，當我們進入2020年以及目前已進入2020年時，我們能夠充分受益。當然，Mercury 一直在尋求讓營運更有效率的方法；如果我們需要增加更多產能，我們當然也會這麼做。但我認為，當我們進入旺季時，我們目前的狀態非常好，能夠服務所有客戶，並且把握那些一直在觸手可及、但因產能限制而未能完全切入的 Conquest（搶奪市占）機會。所以我想整個 Mercury 團隊都非常、非常興奮，因為有了這些產能作為後盾，能去追求那些額外的機會。

And our next question comes from Gerrick Johnson with BMO Capital.

下一個問題來自 BMO Capital 的 Gerrick Johnson。

Bill, on the new segment reporting, the reallocation of operating profit to Boats from Engines. Can you talk a little bit more specifically about that, what is actually causing that?

Bill，關於新的分部揭露，把營業利益從引擎（Engines）重新分配到船艇（Boats）。你能更具體談談這件事嗎？到底是什麼原因造成的？

Yes. Gerrick, thanks for the question. We -- the process that we're following here, we've decided to make an adjustment to measure of segment profitability. I'd say what we're doing now is very consistent with kind of an ex-internal reporting methodology that we've followed for quite a while or had in place for quite a while, that we think better reflects market dynamics and comparability to external comps.

是的。Gerrick，謝謝你的問題。我們——就我們目前採用的流程而言，我們決定對分部獲利衡量方式做出調整。我會說，我們現在的作法與我們長期以來一直採用、或已建立一段時間的某種內部報導方法非常一致；我們認為這能更好反映市場動態，並提升與外部同業可比性。

I think it's important to note that it's not the result of a change in business practice. I think if you look at what's implied on your company sales, that amount is unchanged. We have had a kind of a parallel methodology internally that we've used externally that kind of reflects business practices that date back to over a decade ago. We are -- which maintain consistency with historical practices. But as we sit here today, we've made a decision to streamline and follow kind of what I would consider to be more current and relevant kind of economics between the Boat and -- or between the Engine and Boat segment. And the new segment change was an ideal time to do that.

我認為重要的是要指出，這並不是因為商業作法改變所導致的結果。如果你看公司銷售所隱含的內容，那個金額並沒有改變。我們在內部一直有一套平行的方法論，也在對外使用，反映的是可追溯到十多年前的商業作法。我們——這些作法維持了與歷史慣例的一致性。但就今天而言，我們已決定精簡作法，並採用我認為在引擎與船艇分部之間更符合當前、更具相關性的經濟關係。而新的分部變更正好是進行這項調整的理想時點。

Okay. I don't think I still understand, but we can take that off-line later.

好的。我想我還是不太理解，不過我們之後可以私下再討論。

Moving on, on your realignment actions announced last year in June and July. You said you get about $50 million in annual run rate savings. Are you still expecting that $50 million? And is all of that being realized in 2020? And how do we face towards that through the year?

接著，關於你們去年6月和7月宣布的組織調整行動。你們說每年可節省約5,000萬美元的年度化（run rate）成本。你們仍然預期是5,000萬美元嗎？而且這些節省是否會在2020年全部實現？我們在一年當中應該如何看待其實現進度？

Yes. So the structural actions that we took in 2019, we expect the full benefit of in 2020. You'll note, I think, that we noted operating expenses down as a percent of sales this year versus last year. That is despite the fact that we have a full year of Freedom Boat Club expenses, despite the fact that we have put a full variable compensation provision back in and despite inflation. So yes, the structural cost reductions of $50 million are firmly holding.

是的。我們在2019年採取的結構性措施，我們預期在2020年能取得完整效益。你會注意到，我想我們提到今年的營業費用占銷售比率相較去年下降。這是在我們仍然承擔一整年的 Freedom Boat Club 費用、也把完整的變動薪酬提列重新納入、並且面對通膨的情況下達成的。所以是的，5,000萬美元的結構性成本削減確實穩健維持。

Thank you. At this time, we would like to turn the call back to Dave for some concluding remarks.

謝謝。此刻，我們想把電話交回給 Dave，請他做一些結語。

Well, thank you very, very much for joining us today. We are very pleased about 2019, not only for the financial results but also because it was a transformational year for us. We're delighted with the way that the company is operating. We're delighted with the foundation that we put in place, both physically, through product and technology and capacity, but also via our capital strategy.

非常、非常感謝各位今天加入我們。我們對2019年感到非常滿意，不僅是財務成果，也因為那是我們的轉型之年。我們對公司目前的營運方式感到很高興。我們也很高興我們所建立的基礎——不論是實體面，透過產品、技術與產能，或是透過我們的資本策略。

So I enter 2020 with tremendous expectations for our business. We are built to win right now and it's going to be a very exciting year for us. I cannot wait to share our 2020 to 2022 3-year strategy with you guys in Miami. I think you will be just as excited as we are. So I can't wait to see you in 2 weeks' time.

因此，我帶著對我們業務的高度期待進入2020年。我們現在已具備致勝條件，這將會是非常令人振奮的一年。我迫不及待想在邁阿密與各位分享我們2020到2022年的三年策略。我想你們會和我們一樣興奮。所以我等不及在兩週後見到各位。

Ladies and gentlemen, this concludes today's conference call. Thank you for participating. You may now disconnect. Everyone, have a great day.

各位女士、先生，今天的電話會議到此結束。感謝各位參與。您現在可以掛線。祝各位有美好的一天。