Good morning, ladies and gentlemen, and thank you for waiting. At this time, we would like to welcome everyone to Edenor's Third Quarter 2019 Results Conference Call. We would like to inform you that this event is being recorded, and all participants will be in listen-only mode during the presentation. After the company's remarks are completed, there will be a question-and-answer session. At that time, further instructions will be given. [Operator Instructions].Before proceeding, let me mention that forward-looking statements are based on the beliefs and assumptions of Edenor's management and on information currently available to the company. They involve risks, uncertainties and assumptions because they relate to future events and, therefore, depend on circumstances that may or may not occur in the future. Investors should understand that general economic conditions, industry conditions, and other operating factors could also affect the future results of Edenor and could cause results to differ materially from those expressed in such forward-looking statements.Now, I'll turn the conference over to Mr. Leandro Montero, CFO of Edenor. Mr. Montero, you may begin your conference.

Thank you very much. Good morning, everyone, and thanks for joining our third quarter 2019 earnings conference call. First, we will focus on the main events that recently took place and then briefly review the results of the quarter. As you know, you can always call the members of our team for more details on the results of the period or any doubts you might have.First, on September 19 this year, a tariff scheme’s maintenance agreement was executed with the Federal Government, which provides keeping in effect tariff schemes effective as of August 1, 2019 for all tariff categories, therefore, postponing to January 1, 2020 the 19% increase for the application of own distribution costs adjustment corresponding to the first semester of 2019.This means that the increased seasonal prices of energy applicable for lesser users will be passed through to tariffs from January 1, 2020 as well. The difference accumulated in the five-month period until the year end between the distribution costs and seasonal prices effectively apply and those that should have been considered in adjusted tariff scheme will be recoverable on an updated basis in seven monthly and consecutive installments payable as from January 2020.Under this agreement, the company commitment to keep service quality levels and meet the quality parameters stipulated in the Concession Agreement. Meanwhile, the payment of penalties was postponed until March 1, 2020 at their original values plus the applicable updates at the time of payment.Furthermore, on October 22, Resolution No. 38 was issued by the Secretariat of Renewable Resources and Electricity Market providing for the continued application of Power Capacity and Energy Reference Prices in the wholesale electric market established in Resolution No. 14 dated April 2019. This implies that the prices applicable since August 2019 will remain unchanged for the November 2019 to April…

Thank you. The floor is now open for questions. [Operator Instructions]. Our first question comes from Frank McGann with Bank of America.

Thank you. And I apologize if perhaps you discussed it, because I had a phone problem. But in terms of your – the losses have gone up. I was just wondering what you’re seeing in terms of the speed of payment of bills by consumers either industrial, commercial or residential that has changed or deteriorated? And similarly just in terms of the overall – your ability to pay for generation as generation prices have continued to rise and overall conditions have deteriorated. I’m just wondering if you saw any risk there.

Sorry. Frank, can you repeat the second part of your question? I couldn’t catch it.

Just in terms of – I know in different times in the past, it’s been difficult with tariffs that have not necessarily kept pace with inflation and other factors to make the full payment for generation prices to purchase generation. I was just wondering if you have had any difficulties in that regard so far or looking forward if you saw that as a risk.

Okay. So going to the first question you made regarding energy losses, the first thing to say is that when we see the energy losses or when we are analyzing the energy losses in terms of percentages, we estimate that the main part or the big amount of energy losses generated in the residential – by the residential users. So when the whole demand, especially the demand related to large users, industrial and commercial users decreased a lot as it happened this year in comparison to the year before.In terms of percentages, energy losses increased because the quantity of Gigawatt remains almost the same – not exactly the same but almost the same, but it should be supported by lower total demand. That’s why usually we have an increase in the figure measured in percentages. But we see an increase in the energy losses, measured in terms of Gigawatt hour as well. That’s because we think especially the theft in the residential demand. So we are making a lot of efforts in order to fight against those thefts, but it’s quite a difficult time.To go into the second part of the question about the possibilities not to pay for the electricity we buy to the market, if the Concession Agreement or the concession contract is applied in full, even with delay, we should be able to pay our energy bill. Of course, as I mentioned in this call, in hours we should have had applied a 19% increase which was deferred until January 1, 2020. So we think that this increase should be applied in January and another increase of 27% -- estimate is 27% should be applied in February regarding the second semester inflation of 2019.So if this adjustment is applied, for sure, we have no problem with our cash in order to comply with all of our payment. Of course, if the tariff is frozen and taking into account that we have a 55 estimated inflation from 2019, it’s impossible to afford our cost – CapEx if the tariff is frozen. And because of this level of inflation, it will be – the problem will come up very soon.

Okay. Thank you very much, very helpful.

You’re welcome.

As we have no further questions, this concludes the question-and-answer session. At this time, I would like to turn the floor back to Mr. Montero for any closing remarks.

Thank you very much for joining this conference call. Have a nice day. Bye.

Thank you. This concludes today’s presentation. You may disconnect your line at this time and have a nice day.