Good morning and welcome to the Edgewell Personal Care Third Quarter Fiscal 2018 Earnings Call. All participants will be in listen-only mode. After today's presentation, there will be an opportunity to ask questions. Please note this event is being recorded. I would now like to turn the conference over to Chris Gough, VP of Investor Relations. Please go ahead.

Thanks, Chad. Good morning, everyone, and thank you for joining us for Edgewell's third quarter fiscal 2018 earnings conference call. With me this morning are David Hatfield, our President, Chief Executive Officer and Chairman of the Board; and Rod Little, our Chief Financial Officer. David will kick-off the call then hand it over to Rod to discuss quarterly results and the outlook discussion, followed by Q&A. This call is being recorded and will be available for replay via our website, www.edgewell.com. During the call, we may make statements about our expectations for future plans and performance. This might include future sales, earnings, advertising and promotional spending, product launches, savings and costs related to restructurings, changes to our working capital metrics, currency fluctuations, commodity costs, category value, future plans for return of capital to shareholders and more. Any such statements are forward-looking statements, which reflect our current views with respect to future events. These statements are based on assumptions that are subject to various risks and uncertainties, including those described under the caption Risk Factors in our annual report on Form 10-K for the year-ended September 30, 2017, as amended and supplemented in our quarterly reports for Form 10-Q for the quarters ended December 31, 2017, March 31, 2018 and June 30, 2018. These risks may cause our actual results to be materially different from those expressed or implied by our forward-looking statements. We do not assume any obligation to update or revise any of these forward-looking statements to reflect new events or circumstances. During this call, we will refer to certain non-GAAP financial measures. These non-GAAP measures are not prepared in accordance with Generally Accepted Accounting Principles. A reconciliation of the non-GAAP financial measures in a most directly comparable GAAP measures are shown in our press release issued earlier today, which is available in the Investor Relations section of our website. Management believes these non-GAAP measures provide investors valuable information on the underlying trends of our business. With that, I'd like to turn the call over to David.

Thank you, Chris, and good morning, everyone. In a moment, I'll have Rod take you through our detailed financial results, outlook and the Project Fuel. But first, I'd like to make a few comments on each of these topics. To summarize the quarter, we continue to make strategic investments against our key growth initiatives and we've made important progress on Project Fuel, our enterprise-wide initiative to transform the company's business and the cost structure. With the challenging environment as a backdrop, the fiscal third quarter played out largely as expected. Our financial results were impacted by the trade inventory reductions in Japan as we discussed last quarter, which are almost behind us. As well as the expected non-repeat of promotional sales to U.S. club customer. They were also affected by the ongoing competitive intensity in the U.S. Wet Shave. Going forward, the razors and the blades category continues to go through an unprecedented change. And with a recent competitive launch in the Men's Systems in the brick-and-mortar, that competitive environment is intensifying. Based on our results this quarter and the initiatives we have underway, we're maintaining our previously announced full-year outlook for adjusted earnings per share and the free cash flow. However, we've adjusted our net sales outlook to reflect the additional competitive pressures we see in the U.S. Wet Shave. Although, these pressures present some near-term headwinds, we believe that in a category with more consumer segmentation and more product in a pricing tiers, we're well positioned over the longer term. We have a full portfolio of products ranging from premium to value, a strong geographic mix, superior manufacturing capabilities, and an ability to deliver compelling innovation across all the product segments. We are confident in our ability to continue developing and commercializing great products across all the pricing…

Thank you, David, and good morning, everyone. Let me turn to some of the key third quarter business performance metrics. Reported net sales in the quarter were $621 million, a decrease of 2.7% or 4.9% on an organic basis. Organic net sales exclude the benefit from the Jack Black acquisition, the impact from the Playtex gloves divestiture, and the translational benefit from currency. Organic net sales in North America declined 4%, while international markets decreased 7%, primarily driven by the impact of trade inventory reductions in Japan, which was in line with expectations. I'll discuss the segments and the drivers of sales performance in more detail in a moment. Gross margin was 48.8%, 170 basis points lower than the prior year. Excluding Jack Black integration cost, gross margin was down 150 basis points. 90 basis points of the decline was driven by higher cost reflecting increased input cost and lower volumes. 80 basis points to the decline was due to favorable volume mix, primarily in Wet Shave as the Japan inventory reduction and club store declines disproportionately impacted Hydro, which has higher than average margins. Pricing was neutral as the impact of Sun Care returns, and higher promotional spend in Sun Care was offset by improved pricing in Other segments. A&P expense as a percent of net sales was 17%, down 90 basis points compared to the prior year. The decline was driven by $4.7 million of saving in non-working spend generated by our Zero-Based Spending initiative, a shift in timing of support for Hydro as we gear up for a re-launch of that brand, planned to lower support for Fem Care and a focus on eliminating low ROI spending. Our intent beginning in fiscal 2019 is to increase A&P, as a percent of net sales in an absolute terms,…

Thank you. We will now begin the question-and-answer session. The first question will come from Jason English with Goldman Sachs. Please go ahead. Cody Ross - Goldman Sachs & Co. LLC: Good morning, everyone. This is actually Cody Ross on for Jason this morning. Thank you for taking my question. Just wanted to talk about your A&P spending. Can you discuss your strategy with A&P spending in the context of a competitive environment that we're in? Do you feel like you're investing enough behind the brands? And how did your overall level of A&P spending fair in Q3 compared to your expectations heading into the quarter? Thanks.

Yeah. Thank you. We're brand builders at heart and going forward, in fiscal 2019, we're committed to raising the overall level of A&P spend to drive brands in our business. But we're equally committed to spending in a disciplined fashion where we see the best ROI. For Q3, sequentially, A&P increased over 30% to about 17% of net sales, but it was below year ago, that decline, 40% or so, it was due to ZBS cuts in non-working A&P. Some of the decline was due to variable costs related to the lower spend. And then part of it was timing, where we push back Hydro U.S. spend. This push back reflects the fact that we have a new agency, a new digital first creative campaign and a marketing re-launch behind the brand coming in a couple of months. The spend that we had planned in the quarter wasn't consistent with the new directions, so we made the – it's painful, but prudent decision to push it off. So, net-net, we're committed to increase in A&P in the fiscal 2019 fueled by Project Fuel. Cody Ross - Goldman Sachs & Co. LLC: Great.

Thank you. Operator, next question, please?

Certainly. That comes from Ali Dibadj with Bernstein. Please go ahead. Ali Dibadj - Sanford C. Bernstein & Co. LLC: Hi, guys. So, just to follow-up on that and a couple of other ones. One is, so do you still think this kind of 14% to 15% of sales run rate on A&P is right number or is that coming down? And then the two other ones, a little bit more longer term. One is that, look, you guys described that the categories have been tough. They clearly have been. It's not just you. It's for the whole sector. But I'm struggling to see why that will change, particularly in the context of your longer-term targets still being the kind of 2% to 3% growth range that's clearly not happening right now. What is it that you see that makes you think you can get back there or even kind of improve from where we are now? And then other one, Rod, is for you, specifically. You've been there now since I think it was March or April maybe, so for a few months. And often, with a new CEO – sorry, new CFO, not to put the cart before the horse, but new CFO, there's a new openness to bigger kind of structural changes at accompany portfolio rationalization, M&A, outsourcing, other things. Can you talk a little bit about your views, your fresh views looking at this company? And why do you think there is real big structural potential for change here? So, thanks for those three.

Yeah. Do you want to tackle the last first, Rod?

Yeah. So, Ali, good morning. Thanks for the question. We'll take in reverse order. When I come in and look at the company fresh, as you know, I have a background that's in the space from a competitive standpoint, and so I have, I guess, a couple of decades to look back on and compare and contrast both big and small companies in my experience base. And when I come in and see is a really solid brand portfolio with great products and great technologies pretty much across the board. We're in tough categories at the moment, right? And I get tough times, make you focus more. And I think before I came in, in March, the team had done a good job of looking forward and being real around where the categories were, where they were heading, what the pricing environment looked like, and overlaying consumer demand trends with just the changes around consumption, if you will, around facial hair, the more relaxed culture leading to less shaving occasions. And at that point, put in place what has become now Project Fuel, which is effectively taking down the absolute cost structure in the company, by a significant amount to almost 10% on a gross basis, if you take our $225 million target, not only to put some additional investment back into the business, which could come into the form of over time price, trade, A&P, G&A capabilities around building out, the e-comm capabilities we've talked. All of those elements are largely in place. What was missing was the ability to go do that and fund that, which is what Project Fuel is. So, structurally within Project Fuel, we're going to get smaller in terms of an overall footprint that's going to be a structural change. We're going to look…

Yeah. So, building on Rod's comments, what we see now particularly in the Wet Shave category is a category that's been disruptive and it's going from what was a pretty unique category within CPG to a more normal one where there's consumer segmentation and the pricing tiers. And we think that as the ripples of that disruption received, what we're going to find is a more normal category, one where the microeconomics don't really reward pricing. You don't make more money getting bigger. And I think that will lead to a more normal category. And then finally to your first question about A&P, we're in the middle of looking at our plans bottom up now, so I don't have an exact answer, but I'd say that the 14% to 15% generally is in the right ballpark. Ali Dibadj - Sanford C. Bernstein & Co. LLC: Okay. Thanks a lot.

Thank you, Ali. Operator, next question, please?

Yes. The next question we have from Nik Modi with RBC. Please go ahead.

Hey. Good morning. This is Russ Miller on for Nik. Two questions from us. First, just want to understand if today's guidance update includes the potential launch of Harry's into additional retailers, particularly in the drug channel. And second, if you could share any additional perspective on Intuition f.a.b. launch. How is the launch trending versus your internal expectations? What has the consumer feedback been? And any details you could share on trial and repeat metrics would be helpful. Thank you.

The guidance that we've provided so far is mainly Q4. And so any rollout really wouldn't impact the quarter or not significantly in any way. And in terms of f.a.b., we're pleased and so are our customers with its performance. It's the number one Women's System launch in the units and in users in 2018. We feel conversion has been at category norms, which is good, but a bit below our expectations and our bases modeling, may be reflecting a consumer learning curve. However, trial and consumption continue to build throughout the quarter and through July week-after-week. So we're optimistic. We continue to support it aggressively and have robust plans and the trade support through Q4.

And Russ, just to confirm on the Harry's rollout, our guidance does reflect any impact from how we see their plans unfolding in Q4, that's covered.

Thank you.

Thank you, Russ. Operator, next question, please?

Yes. And that will be from Bill Chappell with SunTrust. Please go ahead.

Thanks. Good morning. Could you help me a little bit more on just the whole ASR private label efforts in the U.S. I mean I think I understand what's going on, on kind of the online and the impact there, but maybe what we've seen in stores that some of the mass customers seem to be scaling back from what you've done in past years in terms of brand equivalent or interchangeable blades and it seems, I don't think we've heard you talk much about the whole flex launch that was a year ago either. So, anything you could kind of help us to understand and kind of what's going on in private label? Is that just a shift to focus more online or am I just missing something?

Thank you, Bill. PBG continues to grow both in the U.S. in the quarter and around the world year-to-date. What we've seen with the Harry's launch is a little bit of a scale back in the share of shelf for PBG after a really good run over the last couple of years. I think that will remain over the near-term, but I expect over the medium term, with innovation and the Smart category management for that to come back. In the meantime, we've actually gained more distribution and the emphasis with the customers in the non-measured segments such that we've actually made that up and we're actually growing for the quarter and the year.

Yeah. And Bill, this is Rod. David has made an important point here on the measured versus non-measured. The measured looks negative, right? And you're seeing that as the impact at Harry's, that David was talking about. We also have the disconnect in Europe as well, where we are getting new distribution, for example, in dollar store, dollar channel, all the legal in the non-German markets where they're not included. And so what that looks on a reported basis, negative when you put the measured in to David's point, not only are we up in absolute, but the share decline you're seeing goes away. So, we're comfortable with that business.

Okay. Thank you, Bill. Operator, next question, please?

The next question will be from Faiza Alwy with Deutsche Bank. Please go ahead.

Thank you. Good morning. So, I was hoping to get more detail around Project Fuel. Perhaps, if you could give us some specifics around what actions are contemplated now that you've done more work on this. So, maybe expand on your comment around footprint changes. Is there a plan to optimize or close sort of manufacturing, distribution facilities or corporate offices? And maybe, if you could bucket the various components of where the savings are coming from? And then, secondly, what is the expected phasing of when you'll begin to achieve these savings? And then just lastly, it sounds like the vast majority of those savings will need to be reinvested to keep pace with the competition. And does the category change? Is that correct or do you foresee Project Fuel changes flowing through directly to margins? Thanks.

Yeah. Good morning, Faiza. Thank you for the question. You're not going to love my answer, but we're not prepared to give additional specifics, much beyond what we had talked about last time. That doesn't mean we're not moving forward and pressing it forward. We expect to give a little more perspective on timing and details on where it's coming from bottom up at the Barclays Conference here at the beginning of September. And then fiscal 2019 impact will have fully laid out when we give guidance in the next quarterly call. That said, we're still comfortable with the $225 million number. Where it's coming from? Two-thirds of it roughly is coming out of costs of goods with the balance across G&A, A&P. We have a good line of sight to what that is. We do expect some footprint changes in our global operating network. We're not prepared to disclose or announce that at this point, but yes to that, generically. And we're being very aggressive on that number as you might imagine. And nothing's changed in our mind around where that savings goes. There's a portion of it to offset normal inflation input costs. Everybody is talking about the impact commodities are having on the business and the escalation there. We have that in our line of sight when we've built the plan. So definitely, we want to insure ourselves and not rely on pricing in a difficult pricing environment. We've also thought about making sure we have the right level of trade support in A&P behind our brands. And as David said earlier, we're going to increase our A&P support and spend behind the brands to drive growth, which we think we can do. And then there is going to be a balanced approach to also dropping a portion to the bottom line. And so some of that today is unknown, right? As you go over time, but we'll bring that into focus next quarter around fiscal 2019 and what those drivers will be.

Okay. If I may just ask a follow-up, Rod, if you could elaborate a bit on your comment regarding just investing in A&P and sort of where you're seeing the highest to return, like you mentioned that a few times that you're focusing on areas where you have the best ROI. So, maybe what are going to be some of your investment priorities as it relates to 2019, and maybe longer term as you think about the reinvestment from Project Fuel?

David talked about a long list of things that are going well for us and where we see growth. International Suns (45:18) continues to be up double digits year-on-year. We think there's a lot of runway there to accelerate and fuel that. The whole e-commerce effort, were up 33% year-to-date, e-comm, we think there's a lot of runway there. Bulldog, Jack Black expansion, China is a priority market we've talked about. All of those are heading in the right direction and we think warrant more investment to accelerate progress. And importantly, as David mentioned in Wet Shave, we are re-launching our Hydro business in October as we start the new fiscal year. (45:58) a new agency in to help us create the story and fill up the future. The look and feel of the advertising will be very different. We have great products in the lineup with Hydro Sense. It's worth talking about it. And so, as we look at that business, we're going to be looking to put incremental A&P support against that business as well.

Great. Thank you.

Thank you, Faiza. Operator, next question, please?

And that will be from Steve Strycula with UBS. Please go ahead.

Hi and good morning. Two-part question. Wanted to dig a little bit deeper into the Wet Shave category. And Rod, what you specifically with the fresh set of eyes are observing as the state of the category? If we take a step back for a moment, it appears that volumes are negative. More brands are entering the category and private labels rising. So, how are retailers view of managing that category evolving in your opinion? And how do you think about managing profitability around that moving target as the category assortment evolves? Thanks.

Yeah. So, good morning, Steve. Thank you for picking up coverage, and a good question. First for context, for us, on Wet Shave, specifically in the U.S. market, because it consumes almost all we talk about. But yet, it's a relatively small part of our overall business. For example, Men's Systems in North America inclusive of Canada, at this point is less than 5% of our total net sales. When you put in systems and disposables branded, it's less than 10%. And then when you put in private label, which we've talked about, it's 15% of our total sales corporately. And within that, if you break it down, so first of all, our overall company exposure is not as great to U.S. Men's and the competitiveness that we're seeing there right now. Frankly that is, the U.S. Men's segment is the most competitive. I think the natural reaction as you have demographic shifts and changes where people shave less often or less frequently and new entrants, it becomes a massively negative situation. And we've held our pricing to this point. We've tried to be very competitive on our promotional spend and very sharp on that front. Others have not, and so that's been a negative on the category. And as the new entrants come in, they're doing a great job on the marketing front and in presenting themselves as a real option. So, we stay very focused on value, very focused on bringing value to our customers with the joint business planning efforts, specifically and ultimately on to the end consumer. So, I think what you've seen happened is the investments required to compete in the category has gone up. We've made those investments at this point, we'll continue to do so. And we'll stay very sharp in all the fundamentals and make sure we don't have a disconnect that puts us at a disadvantage. Again, fuel allows us to do that, and then over time, I think we remain very confident that our technology, our products, our brands are superior to some of the entrants coming into the category, and over time, we think that plays out and when we put the right marketing message against our own products.

And I'd only add, this is David, that with our full portfolio, we're actually positioned well to help manage the categories with our customers all the way from private label to the middle-tier disposables all the way to premium systems.

Okay. Great. I have a quick follow-up.

Thanks, Steve. Okay. Go ahead, Steve.

A quick question on Japan. You mentioned that one of the key – there's two key wholesalers in that marketplace the way the market is structured. One of them already reduced their days outstanding of inventory. I'm wondering is the other company, a wholesaler in the marketplace at a comparable day levels of inventory already? Is that an overhang, or did the second one just play catch up to the one who has already leanest? Thanks.

Yeah. Within Japan, we're almost done with the process. In another customer, there might be four days or five days left, but that'll be worked down over time, and this isn't really a significant factor. So, we're pleased with the team in Japan. And I think they've managed it well. So, we think that we're pretty much through the overall inventory take-out process.

And end market performance in Japan continues to be strong.

Yeah.

Okay. Thank you, Steve. Operator, next question, please?

That will be from Olivia Tong with Bank of America Merrill Lynch. Please go ahead.

Great. Thanks. Wanted to talk a little bit – would love a little bit more color on why you consider a lot of the issues impacting you right now is transitory. You mentioned that a couple of times you referenced lost shelf space in club, Sun Care returns because of bad weather, and things like that. And while I obviously assume you don't go into a year, trying to predict the weather in the summer, but you just seem like things that are just part of running the business. You gain some shelf space, you lose some. If you sell sunblock, you're exposed to the ups and downs of weather. So, how does your planning around marketing, merchandising, and innovation get impacted, because my concern is that you consider these things transitory, and if you do that, are you prepared enough going into the season to impact change? Thank you.

Thank you. I'll comment and may hand it over to Rod for any other. But the top three impacts that we really do think are one-offs or else will not be repeated next year. First of all, Japan, that we've mentioned it is about $15 million. Secondly, the non-repeat of the year-ago promotional waves in the club customer, well, we know that that's not going to impact us next year. And then third, the exit in our Sun Care private label business, well, that's gone zero, so we know that that won't impact us. And those are pretty out of the ordinary size-wise. And that's the bulk of the impact that we're talking about.

Olivia, I would just add, but I think the – maybe what's behind the question is the – I guess, the ongoing thing, what could be going forward, is there's always going to be some level of customer disruption and that distribution change, and we don't do that as one time, right. That's going to continue over time. And we're certain that we're going to have some disruption next year that we can't see now, but if you think about the club change in full distribution basically in and out for a full-year and that comes out, the club distribution, I think is at a low point and the rest I think just becomes normal course. And so, that's the piece we are planning for as we look at it going forward.

Okay. Thank you, Olivia. Operator, next question, please?

The next question is from Bonnie Herzog with Wells Fargo.

Hi. It's actually Joe Lachky on for Bonnie. I was hoping you guys could talk a little bit about the Hydro re-launch, how you're positioning the brand, does it result in a change in price points. And maybe, if you could explain a level of innovation coming to support the launch. And then, also describe your price points and positioning for the new Bulldog razors that you mentioned. And then secondarily, and kind of along the same lines, it sounds like you're stepping up your focus on direct-to-consumer, and is that really a focus for you guys to drive revenue growth at this point or is it still mainly a learning function at this point? Thanks.

Okay. Great. Thanks. Thanks, Joe. On the Hydro launch, I'm not really prepared to go into too much depth today in the earnings call. That wouldn't do justice. We're going to talk a little bit more about it at the Barclays Conference coming up, and we'll share more details there. In terms Bulldog, it's a middle-tier price point within the context of a drug. It's a neat razor and it fits the need there very well. Finally, DTC, we actually do view it primarily as a learning tool. And we don't do it particularly as a revenue driver. But, we do think of it as a key catalyst within our overall digital marketing plan, and I think that we're going to learn a great deal about our consumers, how to personalize, and that learning, and the insights that we get from that. We can plow back into all of our digital marketing work.

And we are being responsive, Joe, to – if we see things working online and being flexible with our A&P support...

Right.

...and jumping in where we see good things working. And as we talked about last time, we're building an underlying infrastructure that will support multiple brand DTC sites off of the same infrastructure. And so that's – the only thing you'll see us bring more online in more geographies with the ability to do that. And over time with the right A&P support. We'd hope it would become a sales driver. We're just not going to commit to that in a short run given the size.

Right. Hey, and just one more thing, Joe. On your Hydro question, you asked about innovation. And I thought I'd make the point that Hydro Sense, which we just launched just a few months ago, is a terrific product. It gets great feedback, and that will really be the main platform – product platform underneath the marketing re-launch. So I wanted to call that out.

Okay. Thank you, Joe. Operator, next question, please?

Yep. The question will be from Kevin Grundy with Jefferies. Please proceed.

Hi. Thanks. Good morning, everyone. First, a housekeeping question as it pertains to Barclays. Should we expect the new long-term algorithm? Rod, I think you spoke to guiding for fiscal 2019. Are you guys going to also put a new top line algorithm and earnings algorithm? Once upon a time, it was 2% to 3%. 50 basis points of margin improvement, high-single-digit EPS growth. Just want to know, if we should expect a new outlook there as you're sort of pulling together the last pieces around Project Fuel? Also, is there a possible discussion around some portfolio decisions? We've talked about down the call, you seem to leave the door open last call around Fem Care and Infant Care. So, just any sort of guidance there in terms of what we should expect should be helpful? And then last one, just to return to Wet Shave, can you talk a little about some of the factors that you see driving some of the less dire trends, I think you talked about down 3.2% in razors and blades, sort of less bad, I guess, than we've seen, talk about some of the factors there? And then just broadly, and sorry for all the questions, I know you don't want to speak to Hydro re-launch specifically, but maybe you can just talk about some of the key areas that you're thinking sort of need to reestablish the proverbial right-to-win, and how you want to differentiate against, Procter, which has clearly shown its resolve over many years to win in this category? Harry's has obviously had a lot of success now in mass channels. So, just talk about maybe the key areas that you feel you sort of need to differentiate to reestablish some momentum with Schick. So, thanks for all that.

Okay. Great. First of all on these Barclays questions, we're in planning now and I see us in a position to talk about the medium-term algorithm in our earnings call after Q4. So, at Barclays, I think we're going to focus mainly on our growth initiatives and on Hydro and on Project Fuel. And in terms of the portfolio, that's an – we always look at that, and I don't have any speculation about, any news on that front. In terms of your Wet Shave question, the trends tend to be getting just a little better, because primarily there's the same volume component. But price mix is less bad, as we anniversary the list price cuts that Gillette did over a year ago. Promotional levels remain very, very high, and in fact, might be getting a little worse. But nonetheless, price mix is tending to get just a little better. Finally, the Hydro marketing re-launch, we're going to be looking at the positioning and tone. And I'll leave it there. But we're also looking at packaging and our overall price value equation. So, we're looking at almost all the levers within the marketing mix.

Thank you, guys.

Thank you, Kevin.

Good luck.

Thanks, Kevin. Operator, next question, please?

The next question is from Lauren Lieberman with Barclays. Please go ahead.

Thanks. Good morning. At the risk of front-running our conference, I'll ask a question. I was just curious about Fem Care, it was actually a bit better in the quarter than I might have expected. It was not a huge business, but given last quarter, you did mention that there were further shelf space launches. I just was curious if you picked up any shelf space as some of your products – some product areas may be performed better than expectations; because again, I would have expected to be a bit weaker, given the incremental share losses. Thanks.

Yes. Yeah, thank you. The quarter did come in a little better than expectations, and it was really driven – wasn't really driven by share of shelf, but it did reflect really good performance on our liners business. And that reflects the innovation we drove for the quarter behind the Stayfree Ultra-Thin all-in-one liners. It was a product upgrade across the whole line, and it was supported by 100% digital with hyper-targeting and 360 marketing. We were pleased by the launch. Liners were up by 7% for the quarter with double-digit POS growth in several key customers across mass, drug and food.

Great. Thank you.

Yeah. I would add that we're not out of the woods yet on a sales front. So, one quarter doesn't make a trend, but my hats off to the Fem team. It's a new dedicated business unit, and I think that we are seeing some of the fruits of that focus.

Thank you, Lauren. Operator, next question, please?

The next question comes from Jonathan Feeney with Consumer Edge Research. Please go ahead.

Good morning, and thank you so much. I just have one question for Rod. It's a little bit of a follow-up to a couple of questions have been asked, but just kind of a state. I would like to know where you are versus where you'd like to be as far as total consumer execution capabilities. We've heard a lot of CPG companies talk about needed investments around capabilities. And the problem with these things, there's really no near-term return. I know you've talked about, you've given us some your dollar figures, but that's what you're going to invest. But just as far as taking your seat, do you see all the data you need to see at the consumer side to understand what's going on? You haven't been in the seat for a while, you're talking with your retailer partners. Where are we in that journey to being at the point where you have all the capabilities you need to make all the best possible decisions or – that are practical for Edgewell going forward? Thank you.

Good morning, Jon. And thank you for the question. We have very good and robust data and access to everything you would expect that we have. I think there's no holes in terms of what we see and what we know what's happening with the consumer. We have account teams out in the markets dedicated with the customers just like you would expect, where I think we have an opportunity and what we are focused on with Project Fuel is around the organization structure and having information in the right hands with the decision makers very quickly. So, for example, there's something happening at a specific customer, there could be an early trend or a red flag somewhere else or something that's working well. We need to have the forum for that to flow very quickly back up to the marketing teams and share and reapply across all the right teams. And we're creating those pipes now with Project Fuel, frankly by eliminating layers and making those connections a little more direct. Is that helpful?

Oh, it is helpful. So, where would you say you stand with that? Would you be done with that process by the end of next year or I mean is it – or is that – it's just – are you just talking about continuous ongoing stuff you'd be doing at any business?

There's always a continuum to improvement whereas you go forward that's part of what we do. The big change, I think you'll see specific within North America will be in place as we start into the new fiscal year. So, we're talking – we talk about the Project Fuel execution really kicking off this month, that's happening this month. We're making organization structural changes between now and the end of September to have that in place. Again, once that's in place, we'll have to learn the new ways of working. But we have a highly motivated group of leaders who want that change and are actually helping drive it.

Thank you very much.

Thanks so much, Jonathan. Operator, next question, please?

As there are no other callers in the question queue, this concludes our question-and-answer session. I would like to turn the conference back over to David Hatfield for any closing remarks.

Thank you. In closing, our management team and organization are executing with urgency in a purpose against Project Fuel, driving transformation to improve our agility, deliver cost savings targets and generate funds for reinvestment against our growth initiatives. I'm confident that, by doing so, we'll deliver an enhanced value to all Edgewell shareholders. Thank you all for your time and your interest into Edgewell. Have a good day.

And thank you, sir. The conference has now concluded. Thanks for attending today's presentation. You may now disconnect.