John A. Fees

We''ve analyzed these pretty hard and we put and what we think is reasonable contingencies, we put into our estimates rates on the pipeline that we have been accomplishing in actual conditions. We''ve taken the current weather circumstances into consideration. And we have looked at whatever cost escalations we had in the region and made sure that those were fully reflected in our estimates going forward.

But that doesn''t say that things can’t go wrong and there is always a possibility on construction projects when you are working out in the weather and other events come up and other things occur. But right now, we feel that we have taken a reasonable approach to capture what we think it’s going to take to complete these projects with representative contingencies based upon the risks that we feel we face.

Michael S. Taff

And I think it''s fair to point that while many people are focused on a potential downside risk that there are upside opportunities available. Both what John mentioned with regard to the claims that we can potentially assert with customers as well as to the extent our productivity turns out to be better than our current forecast that would provide upside as well.

Marty Malloy - Johnson Rice

Okay. And on page 13 of your 10-Q, you talk about $110 million worth of LDs you''re potentially liable for. Can you explain why you haven''t recognized, I mean you don''t think you have to?

Michael S. Taff

Yes, Marty this is Mike. Good question and we really obviously looked at that very hard both internally and with our independent auditors and the audit committee of the Board of Directors and ultimately, we came to the conclusion that we didn''t feel - based on the current discussions we were having with our customers that those LDs would be probable at this time.

Additionally, we haven''t reached the trigger date on those, although we feel we know that we will reach those trigger dates if we do not get the contract amendments. At this point, we don''t feel that it is probable. We''ve had very good dialog with both of the customers primarily on the two of the projects over in the Middle East and then feel that those contracts will be...contract dates will be extended to allow us to complete the projects on time, based on those amended dates.

John A. Fees

One element here as well is that some of the onshore type of activities that these projects tie into are further behind schedule and where these complications put us in terms of our delivery to the customers. So, we''re very focused on meeting the needs of the customers and trying to meet those with some margin so that there is really no impact upon his ability to be able to move the materials and process the gas in this particular circumstance. So we feel that if we can stay ahead of where everything else is, and we''re quite ahead on many of these circumstances; that also helps mitigate our thinking relative to these LDs.

Marty Malloy - Johnson Rice

Do you expect the amendments related to these LDs to be done this quarter?

John A. Fees

Yes, we would. We expect...hope by the end of the fourth quarter that those would be complete.

Marty Malloy - Johnson Rice

Thank you.

Operator

And your next question comes from the line of Jamie Cook of Credit Suisse. Please proceed.