Good day, ladies and gentlemen and welcome to the Eastman Kodak Q2 Earnings Conference Call. At this time, all participants are in a listen-only mode. Later we will conduct a question-and-answer session and instructions will be given at that time. [Operator Instructions] As a reminder, this conference maybe recorded. I would now like to introduce your host for today’s conference, Mr. Dave Bullwinkle. Sir, you may begin.

Thanks, Earl. Good afternoon. My name is Dave Bullwinkle, Director, Global Financial Planning and Analysis and Investor Relations for Kodak. Welcome to the second quarter 2015 Kodak earnings call. At 4:00 p.m. this afternoon, Kodak filed its quarterly report on Form 10-Q and issued its release on financial results for the second quarter of 2015. You may access the presentation and webcast for today’s call on our Investor Center at investor.kodak.com. During today’s call, we will be making certain forward-looking statements as defined by the United States Private Securities Act of 1995. These forward-looking statements are subject to a number of uncertainties or risk factors, which are clearly described in the company’s 10-K and which are qualified by the Safe Harbor provisions in our filings. We advise listeners to read these important cautionary statements in their entirety as any forward-looking statement needs to be evaluated in light of these important risk factors or uncertainties. In addition, the release just issued and the presentation provided contains certain measures that are deemed non-GAAP measures. Reconciliations to the most direct comparable GAAP measures have been provided with the release and within the presentation on our website in our Investor Center at investor.kodak.com. Speakers on today’s call will be Jeff Clarke, Chief Executive Officer of Kodak and John McMullen, Chief Financial Officer of Kodak. Jeff will provide some opening remarks, his perspectives on the quarterly financial performance, and an update on the outlook for the company. Then John will take you through a cost reduction update, additional details of our second quarter results and cash flow results and outlook before we open it up to questions. I will now turn this over to Kodak’s CEO, Jeff Clarke.

Thanks, Dave. Welcome, everyone and thank you for joining the Q2 investor call for Kodak. I will start by giving you an overview of the quarter and our outlook for the rest of the year. John McMullen will follow with more details and then of course we welcome your questions. Before we look at Q2, I want to address something I am sure is on your minds. We are well aware the stock has traded down since the beginning of the year. We obviously do not manage for stock price. However, we are doing the right things to create shareholder value. We are building the foundation for a profitable future for Kodak by reengineering the organization, reducing the cost structure and investing in key growth opportunities. We have improved transparency with the divisional structure. We are executing well and we are ahead of our internal plans for the first half and are maintaining the guidance we gave you for 2015. We expect this will help build investor confidence, which over time should also translate into increased value for our shareholders. We have scheduled an Investor and Analyst Meeting in October to better enable you to understand the company and provide an expanded form for your questions. John will cover this further in his remarks. Now, on to Q2 performance, first, let me say I am pleased with our Q2 results. We met our expectations for the quarter and came in ahead of our internal plans for the first half of 2015. Go to Slide 5, please. On Slide 5, revenues for Q2 2015 totaled $458 million for the quarter, a 13% decrease in the same period in 2014. More than half of this reduction reflects the impact of foreign exchange. On a constant currency basis, revenues in Q2 2015 declined…

Thanks Jeff and good afternoon. Today, the company filed its Form 10-Q for the quarter ended June 30, 2015, with the SEC. I recommend that you read this filing in its entirety. As Jeff’s noted in his opening remarks, we are pleased with our second quarter results and the overall first half performance for the company. I will now provide a little more detail on several areas of our second quarter performance. As we reported in our earnings release, the net loss for the quarter on a GAAP basis was $23 million compared to a net loss of $62 million in Q2 of 2014, an improvement of $39 million, which reflects the continued progress we are making with the company’s overall financial performance. This information is taken directly from the company’s consolidated statement of operations in the 10-Q. We are pleased with the year-over-year improvement. Next, let me provide an update on our cost reduction programs. As we shared with you on our May call, we expect greater than $100 million in operational SG&A and R&D cost reductions for the full year 2015. As you can see on Slide 10, we have made significant progress in the first and second quarters towards this objective. Based on actions taken through the end of the second quarter, the reduction in operational SG&A and R&D was $35 million year-over-year. On a year-to-date basis, operational SG&A and R&D have declined $70 million year-over-year. And finally, on a run rate basis, the reductions made and actions taken year-to-date would yield a full year savings of approximately $95 million with no further actions. As you can see, we have made great progress in achieving our goal of greater than $100 million in operating expense cost reductions, with two quarters of our fiscal year remaining. Key drivers…

Thank you, John. In summary, I am pleased with the second quarter performance. Kodak’s business is nonlinear and heavily weighted to the second half of the year. We are ahead of our internal plans and well-positioned to meet the 2015 guidance we have provided to in March, revenues of $1.8 million to $2 million and operational EBITDA of $100 million to $120 million. Looking forward, we continue to be on track for meeting our goal of operational EBITDA of $175 million for 2016. We will now be happy to take your questions. Dave?

Thank you, Jeff. Earl, we are now ready to open the Q&A session. Please remind callers of the instructions for asking questions.

Okay, thank you. [Operator Instructions] Our first question comes from Shannon Cross from Cross Research. Your question please.

Thank you very much. I have a couple of questions. The first is on PROSPER, I am curious as to what you are seeing in the pipeline, you said you are confident in the 25 this year. Where are they going? How many are involved? And just any more color you can give us on what you are seeing in terms of the end demand for PROSPER?

Sure, Shannon. So, first of all, the 25 that you referred to is our goal for the year. We believe we will meet that. It is – those are just the presses for the OEM and the commercial presence. The rest of the PROSPER business is of course the imprinting systems are printheads that go into hybrid systems and we are well on track to a very strong year on that as well. As I mentioned, we have over 1,000 in-plates today and then the service and consumables part of the PROSPER business. But in terms of the presses, again, in context in the first four years of this program, we sold 39 presses. So, I am very pleased that in the last six months, we sold 10. For the remaining ‘15, we have [indiscernible] of well over 35 machines as a [indiscernible] pipeline. And it’s really a matter now of those executing on those from a sales perspective over the second half of the year. As you might expect, most of those – most of the remaining ‘15 will be more in the fourth quarter timeframe, but we are off to a very good start this year. In terms of application, the vast majority of these are into traditional print markets. The Bobst machines that we have, have been recognized within the 10 and there is a possibility of one or two more OEMs in that ‘15 number. But think of it though pretty much, 13 of those being traditional commercial presses. In terms of application, primary applications continue to be distributed newspaper, printing for direct mail and traditional commercial inkjet printing for books and pamphlets, etcetera, so kind of down the middle for commercial printing.

Great. And then John, maybe you want to talk a little bit about the cash flow expectations for second half in terms of living a positive cash flow? And what are the key drivers? I mean, clearly, EBITDA improvement, but there is something that we should look for on working capital or what are you looking for there? Thanks.

Yes, sure, Shannon. Thanks. So, I think as we move into the third quarter, first of all, I just want to reiterate that where we are from a cash point of you through the first half is very consistent with the way we planned the ramp of cash throughout the quarters of the year. So, we are on track vis-à-vis our plans for the first half. As we move into the third quarter, we will begin to approach positive cash flow from operations, I would rule out our possibility to get there from a cash flow from operations point of view, but we will also, in the third quarter, have what will be probably our largest outflow from a non-operating point of view in terms of reorganization and legacy items that we identified in the overall cash outlook for 2015. So, once we get that behind us, along with the operational EBITDA ramp that we have in the second half and working capital improvements that we are driving through the organization this year and through the first half of the second half and also at some level, a declining outflow from a restructuring point of view in terms of restructuring dollars going out versus where we have been maybe over the last 12 months. These are the things that turn us back to positive cash flow and put us in a position to begin to generate cash by the end of the year and going forward.

Yes. Just to give you a sense also, I mean, to drill on that working capital, I mean, our inventories ended at a net inventory balance about $380 million and that build really is in support of the sequential growth into the third quarter and a sequential growth into the second half of the fourth quarter, traditional seasonal drive there. And also the building of the 15 machines for PROSPER, the continued growth in the packaging space. So, I think if you look at the balance sheet, you will see that we are building inventory, which uses cash and that we should recognize that in a normal seasonal fashion in the second half of the year. And just to put a number on what John talked about, this one-time which was always in our plan, but this one-time organization element for really to finalize a split of our China Alaris business is about $12 million to $15 million, right, John?

That’s correct.

And so that’s expected, but that will be cash used in the third quarter based on current timing.

Great, thank you very much.

Thank you.

Thank you. Our next question comes from Gary Ribe from MACRO Consulting. Your question please.

Yes, hi. Thanks guys for taking my question. I guess, I will start, you guys had announced some price increases in graphics, I was just wondering if that was plates and that sort of thing and what drove that was that aluminum or something else?

Yes. So we continue to face significant pricing pressure in the plates business. The price pressure this year is about 3.5% down. So overall, when you look at our mix of our business, we are down about 3.5% on plates. When you would just out the SONORA mix, because we priced SONORA higher, because it delivers more for the customer, we have about 4% headwind on pricing. So net-net, graphics plates are down 4% at a level the customer receives them. Any of the price increases that you have seen are on particular flavors of plates, because there were a lot of plates in different periods in their life cycle. And at certain times, it makes sense to increase prices to try and encourage customers to move to newer technologies and different competitive pressures in different segments against our major competitors. So in general, the overall pricing is down, 3% to 4% is consistent with prior years. This is the kind of the year-on-year improvement that we pass on to the customer, which we offset by strong manufacturing efficiencies, etcetera.

Okay, great and I appreciate that. And I guess just a follow-up question, unrelated, I don’t know if you guys are thinking about refinancing or – some of the debt, do you guys view the market as open to you, are you waiting to show a little bit more progress in your plan, do you guys have any color on that?

Of course, I think we have shown a pretty good progress in our plan. We are ahead of our plans on apples-to-apples basis, significant improvements year-on-year. And so we are very pleased with our execution relative to our plan. We will be opportunistic around the capital structure and that’s really the appropriate thing to say.

Its okay, I think that’s it for me. Thanks.

Thank you.

Thank you. [Operator Instructions] Our next question comes from Amer Tiwana from CRT Capital.

Good evening. On the first question I have is around your strategic businesses, if you could just go through the PROSPER business and the packaging business and just in terms of your competitive landscape similar to what you talked about in your plates business, can you talk about pricing and can you talk about how the competitive landscape is, is it similar to what you saw at the start of the year or has it changed?

Sure. So let’s go piece by piece, let’s start with SONORA. So we really view the growth of the company coming today out of our SONORA business within our plates business, our FLEXCEL NX plates business within our packaging business and our PROSPER business within our Inkjet business. On top of that, Micro 3D printing will be a significant opportunity for us in the coming years. So we really have four core growth engines within Kodak. So let’s take them one at a time. So on SONORA, again 66% growth continued significant differentiation in the marketplace. We have – we charge a pricing premium to our plates and our competitor plates because of the robustness of the product and because of the product’s cost savings to the printer when they can eliminate chemicals, labor, energy, etcetera. So with a very strong ROI sales and it allows us to charge a premium for Sonora. We continue to pass that premium into the marketplace. We will be selective in areas, where we think we can unseat a competitor. And we might bring that SONORA price down in that case. But for the most part, we will price on SONORA because it is a significant ROI head-to-head versus the competition and even against our existing installed base of plates. So that’s one where we don’t mind impingement against our base business because we move into a system that has very high renewal rates and significant differentiation, so very pleased with SONORA. As we mentioned, there are some new products. We haven’t been able in the past to participate in the Japanese market, which is well-suited for SONORA. And with the XJ version, this opens up a significant market for us. And on the top of it, we can take that XJ version and…

Sure. In terms of your page growth for PROSPER, can you talk about what it was. And secondly, in terms of your heads – what is sort of the growth that you expect there?

Yes. So you saw a little over 50 heads sold this quarter – on a base coming into the quarter, about 9.50. So when you are getting that kind of growth, it shows that we are on track to a similar or better number than the 200 range that we did last year. And so when these head go in, they go in at a nice gross margin, very profitable gross margin. There is annuities, the replacement of the hedge over time, it’s in the components of the head as they get refurbished. And then there is obviously ink that we jet through the heads. So we are very pleased with that portion of the business because every element of that portion of the business is profitable from the get-go. Obviously, as we talked about before at the PROSPER systems, we will often take a lot selling a system with an ROI in the next couple of years based on the closed system that has ink and a service of these investigating systems also coming from Kodak. So that part of the business is doing well.

Understood. If I can ask one more follow-up question, in terms of – I know you have said that you will talk about this at your Analyst or Investor Day, but just broad brush strokes, if we think about your – take the midpoint of your EBITDA this year at 1.10 and the sort of expectation for next year is 1.75, can you give us some sort of a bridge, not precise numbers, but maybe buckets of where that incremental improvement is going to come from, whether it’s – what percentage of cost saves and what percentage is coming from the growth businesses. And lastly, what’s the sort of impact from the businesses that are slowing down. So if you could help us there, I think that will greatly be appreciated.

Okay. Again, we are not giving guidance into 2016, so I will keep this at high-level remarks. Some of the things we have said in the past is as you go through our detailed disclosures, we share with you the contribution before core corporate cost breach of our divisions and then the corporate costs, the infrastructure cost of the company. And we have had a very good progress driving that cost down from a little over $120 million in 2014 to what will be somewhere between, somewhere under 100, around 98ish million in 2015. We expect that number to go down another 20 million roughly. And so from a cost perspective, we will continue to find opportunities to drive additional efficiencies at our company and another 20% out of the overhead structure of the company is in the cards for us based on both the momentum we have now and plans in programming that we are doing around reengineering our operations for simplicity and finding the right level of corporate structure with our divisions. So that’s one. The next point is that we expect, going into next year, we say each of our business is to improve. The PSD business will improve, because it will have additional SONORA mix, aluminum prices will be less of a headwind and perhaps a tailwind for us if they stay at the levels we are at now, continued progress on our NexPress business. So, we think we can see a nice improvement in the PSD business. The biggest – one of the biggest shifts will be obviously in our inkjet business. Because PROSPER as we guide – as we shared with you this year, we expect PROSPER to come in roughly, PROSPER and diversified business, our EISD business, to come in roughly breakeven before corporate costs. And that’s a material move. In fact, if you look year-over-year this quarter, the biggest improvement we had of $9 million year-over-year for the quarter was in the EISD business. And as PROSPER continues to grow and those placements continue to print, both for the OEM and for the new presses, we see that business moving into solid profitability. And then the packaging business continues to have strong momentum as does – and we expect at some point soon start getting contribution from the Micro 3D Printing. So, that’s as much detail as we are going to give on that and obviously we look forward to talking more to you on October.

Sure, I appreciate the answer. One just housekeeping question, I see that $7 million from the IP business, but you said it was R&D, if I heard it correctly, what is it for? And is that recurring, non-recurring, how should we think about that?

Yes. So, when we took last quarter – when we took all the analysts or all the people in the call through the divisional structure, we shared with you that we have an intellectual property division. And that division last year, for example, had $70 million of realized intellectual property revenues. We had about a little over $30 million of research and development that offset that for kind of a net roughly of about $40 million. We are running at a run-rate of about $7 million to $7.5 million a quarter of corporate research and development. And that supports – and that is recurring and that is in this line. And so every quarter, you will see that and then will be offset in certain quarters should we have intellectual property licenses, etcetera, or sales of those technologies and so forth. And that goes for our current research labs, but it’s also applied significantly in areas like Micro 3D Printing, extensions of Micro 3D Printing, work around developing new inks, around developing new toners, and around some of the core research that we will share with you in October that we believe will drive growth of the next two to five years.

Thank you very much. I really appreciate it.

You’re welcome.

Thank you. Our next question comes from Peter Rabover from Artko Capital. Your question please.

Hey, guys. Thanks for taking my call. I appreciate it. Could you guys maybe talk a little bit about your building, I guess the business park and how you view that as part of the company and I guess the occupancy costs? I think I saw an article that said it had a 125 megawatt power plant in there as well? I guess a color on that will be great. Thanks.

Yes, sure. This is John. So, we are really excited about the park. There is a real opportunity for us to grow our tenancy in the park. It’s a great fit for the types of opportunities that certainly Rochester would like to bring in to the state. You are talking about a 1,250-acre technology park. You are talking about 16 million square feet of space. Jeff mentioned the pure miles of rail and road race. But I think we have the building structures. We have the tools. We have our Kodak Research Lab resident there. All the things that you would want to provide the opportunity for the kind of businesses that we see coming into the park, clean energy, clean battery type businesses, biotech, things that will be great opportunities going forward for the park. So, as you know, we have taken a very different position over the last three to six months. We are running this business as a division. We are running it as P&L. You will note that on the results that we have provided in the second quarter that we are showing operational EBITDA profit for the park. We have a great pipeline of tenant opportunities coming forward. We have a great support structure in the local community that the government has been very helpful for the park for many years. So, we have a lot of people behind us for the future success of the park. So, it’s an asset of the company and we see a lot of opportunity going forward for it. And we are going to run it like a business.

Okay. I mean, I saw the 60 million square feet of what’s the occupancy now?

Yes. So, Kodak operates about 4 million of those square feet, primarily in our vast film, synthetic chemicals, toner manufacturing, ink manufacturing businesses. There is also a series of recovery businesses, solvent recoveries, etcetera, that Kodak runs. So, that’s about $4 million of the $16 million. The 58 other companies that operate within the park use a little bit of – a pretty much similar amount, about $4 million and then there is about $8 million – 8 million square feet of space. Some of these retrofit, some can be moved into today. Lot of leasehold improvements would be provided by investors and/or government agencies, but we, this week have signed – finalized a 200,000 square foot lease. We – I talked about the opportunities of Oakridge. You may have seen if you follow New York state politics or science politics that there is a photonics center that has been awarded to Rochester, and certainly, there will be many opportunities for either spin-off companies or part of the photonics infrastructure such as the labs and clean rooms and so forth to be in Eastman Business Park. Those details are still being finalized. So, we are very excited about the upside of this park. It has effectively been under-managed. A lot of the people who are working on the park, when the company went into the organization, many of the people on the park were left or terminated and the park was for sale from a long time. And as such, there wasn’t as much effort on rebuilding the park into a profitable entity. And if you ever want to sell it, it would be much easier to do if it’s showing up lot of cash. So, we are pleased with the park and thank you for the questions.

Okay. Maybe can you – I just wanted to follow-up, did I touch that, right that there was 125 megawatt power plant on the parks?

So, there is a company called RED that prior to bankruptcy order and bankruptcy, I wasn’t here at the time. There was a partnership formed with them and the assets of the power plants along to a third-party entity called RED. And there is lots of details, you can look them up on the website, it’s kind of co-op model. Kodak is an existing user of that power. The tenants will be the second largest user. And that is a separate entity from Kodak from an ownership perspective. There is some variable accounting associated with it, but it’s de minimis for the operational things that we talk about.

Okay. I just want to make sure you guys don’t own a 125 power megaplant that we don’t know about?

No.

Okay. Can I just follow-up with one more question on the pension? So – just wait, do you want me to go back to the park? Is there – what do you guys see that as part of your capital structure, is it potential to maybe refinance your debt level, mortgage the park at lower interest rates, any thoughts around that, I mean I know maybe bigger…?

Right now, the park is a significant set of assets. Most of those assets have been – are well under their replacement cost or well under their initial cost. And the plan for park is to get it operate profitable to fill it up, to realize that there are significant economies of scale in the park that accrued to all of our businesses there and our tenant businesses. So right now, we have got an utilization issue. We are still throwing off positive EBITDA, as you can see, because of some of the important reengineering cost actions we have taken, as well as new tenants. So I wouldn’t expect until we get the park more attractive to an outside party that we will be able to refinance off it.

Okay, that’s fine. I appreciate all the color on this. And so I guess my follow-up will be on pension, so I saw a reduction, I assume that has to do with the severance, letting go of headcount and maybe you guys can comment on what is – you guys are planning on doing anything with that. And then a housekeeping question on what the current asset value is versus the 10-K, if you can provide that, it’s not a big deal?

Yes. So we have small outflows from the U.S. pension plan in terms of severance. They were not material in the last one to two quarters. So I am not exactly sure of what numbers you are looking at. But maybe I can come at it from a little bit of a different angle for you. In terms of – when you look at the U.S. pension plan from the funded status, we are well into the mid to high-90s depending on when you look at this in terms of funded status. So from a pension plan point of view, we are in excellent shape. The disbursements that we noted and you may see on the slides in the deck that we went through in the scripts, you see a small amount related to pension funding, that’s primarily due to requirements we have from an international pension point of view, because the U.S. pension plan is not a cash used for us and hasn’t been a long time.

Right, okay. Like I said, I was just going to ask what the – if you can provide the asset value today versus the 10-K time, if that’s possible?

We will do that.

Okay, great. Thank you so much. I appreciate your time.

Thank you.

Thank you. Our next question comes from [indiscernible] from HSH Private Equity. Your question please.

Yes. My question has been answered already. Thank you. Probably I ask question has got the business park, I appreciate it. And congratulations on the continuing improvement on the earnings, congratulations.

Thank you very much.

Thank you. Our next question comes from John Korver from Bennett Management, your question please.

Congratulations on the quarter. I hear the growth in the four segments that you highlighted, I am a little concerned and I would like you to comment about the fall off that’s embedded in your projections in Consumer and Film, the inkjet and the film business, how does that shape in the second half of the year versus the first half. And when you talk about doing better than your internal projections in the first half, are you – is some of that in this segment?

Yes. So consumer inkjet is – I will remind you, works it’s not all the colors are properly – fully up to speed on the history of it. So Kodak had a very large investment placing inkjet printers, consumer inkjet printers and then realize that, that business was not going to be profitable in the model of selling consumer inkjet printers at a loss and making it up on the cartridges. So the company today is in a very lucrative position of having very high margin inkjet cartridges to sell into a base, but without having the cost of selling new printers out in the marketplace. So on the roughly $40 million of first half consumer inkjet revenue, the operational EBITDA, that is quite high, well over 50%. And so the challenge of that business, while we certainly love the operational EBITDA, the challenge of it is that business is declining about 40% a year and we will continue to do so. And it may even have a stair step decline because at some point, while the product is available on Amazon and they will carry it, I think as long as there is the last printer out there, certain retail stores may not will have want to devote their shelf space to it. At some point when the business goes down to the next level. So this business is going to decline, it will actually decline to zero. But in the first of the year, it was significant contribution. But as you see on the segment information, let’s go back to the slide and so you can see the year-over-year on it. It’s quite a decline on a year-over-year basis and that is the same as we have had for some period here. And so that business, the volumes…

Okay. The other question I had was you touched briefly on the Micro 3D and that’s really a segment for 2016, but you are continuing to explore both silver and copper solutions in this technology, is there – can Kodak afford to do both?

We can. And one of the reasons is that most of the investment is stock. The equipment has been bought to manufacture these. The technology, after many years of investment, the technology is effectively paid for. There is – there are some manufacturing yield improvement activities and modest investments to continue to try and evaluate engineer and cost drives manufacturing down. But the significant capital expenditures are pretty much behind us and the technology works. The other reason why it’s important is, copper as you guys know, it’s a lot less expensive than silver. And so we believe that copper will have a unique opportunity for low-cost applications. Today, we are getting higher transmission levels, higher resolution and a result of that, better battery life for devices using the silver technology. But the trade off is you pay a little bit for that, still attractive versus the technical – the incumbent ITO in the [indiscernible] side. But silver today has the high transmission levels. We are – on the copper, we have lower transmission levels, in other words, it doesn’t work as well on mobile devices, because the batteries discharge faster. And that’s why at this stage, we are focusing on the very large markets of all-in-one computer screens, things that are plugged in kiosks, industrial and automotive. So, those are the applications for copper. And by Q1 of next year, we expect to get transmission levels where we could enter the tablet market with copper solution, and that is a significant technological advancement. So, we believe both technologies address different markets at this time and will address them for a long time. The investments are made. And now it’s really around business development, a little bit of continued engineering and tracking in our sales pipeline out there to execute.

Alright, thank you.

Thank you.

Thanks. I think we have time for one more question from the next caller.

Okay, thank you. Our last question comes from Craig Carlozzi from Bulwark. Your question please.

Hi, thank you for squeezing me in. So, when I hear about the various parts of your business and congratulations on the performance and thank you for reiterating guidance. Although when I compare that to your liquidity and what your stock price has done, really, in the last kind of 20 trading days, are there any covenants in your debt agreements that prohibit you from buying back stock? And if not, have you considered a buyback program to some extent?

Yes. So, the answer is yes, we do have restrictions around share repurchase in our covenant structures today.

Okay. And in the term loan or the revolver, both or...

In both.

Yes, okay. Okay, great. Thank you very much.

You are welcome.

Thank you. I appreciate everyone’s time today. We look forward to seeing you in October at the Analyst Meeting. We are excited about the second half of the year. We are confident around what we are doing. We are pleased with our execution and look forward to seeing you in October. Thank you very much, everyone.

Thank you.

Thank you. Ladies and gentlemen, thank you for your participation in today’s conference. This concludes the program. You may now disconnect. Everyone have a wonderful day.