Good morning and welcome to SunOpta's First Quarter 2015 Earnings Conference Call. By now, everyone should have access to the earnings press release that was issued after the close of business yesterday. The release is available on the Investor Relations' page of SunOpta's website at www.sunopta.com. This call is being webcast and its transcription will be available on the company's website. As a reminder, please note that the prepared remarks, which will follow, contain forward-looking statements, and management may make additional forward-looking statements in response to your question. These statements do not guarantee future performance and, therefore, undue reliance should not be placed upon them. We refer you to all risk factors contained in SunOpta's press release issued yesterday, the company's Annual Report filed on Form 10-K, and other filings with the Securities and Exchange Commission for more detailed discussions of the factors that could cause actual results to differ materially from those projections in any forward-looking statements. Finally, we would like to remind listeners that the company may refer to certain non-GAAP financial measures during the teleconference. A reconciliation of these non-GAAP financial measures was included in the company's press release issued yesterday. Also, please note that unless otherwise stated, all figures discussed today are in U.S. dollars and are occasionally rounded to the nearest million. And now, I would like to turn the conference call over to SunOpta's CEO, Steve Bromley. Steven R. Bromley - Chief Executive Officer & Director: Thank you. Good morning, everyone. On the call with me today are Rob McKeracher, our Vice President and Chief Financial Officer; and Rik Jacobs, our President and Chief Operating Officer. This morning, I will provide you with a brief overview of our first quarter 2015 financial and operational results. Rob will then discuss our financial results in more…

Our first question comes from the line of Scott Van Winkle with Canaccord Genuity. Your line is now open.

Hi. Thanks. Good quarter, guys. Steven R. Bromley - Chief Executive Officer & Director: Thanks, Scott. Good morning.

Good to see the improvement from Q4. I have a few questions. First, how significant is the incremental capacity coming in Modesto relative to what you're doing there now or relative maybe to the size of Allentown so we can think about when Allentown comes on later this year? Steven R. Bromley - Chief Executive Officer & Director: Sure. I'll let Rik handle that. Hendrik Jacobs - President & Chief Operating Officer: Yeah. I mean – so, we got – we commissioned our third processor. So now, we have three processors in Modesto. By comparison, we will have one processor now in Allentown. And with that third processor, we also installed two new filling lines. So, what that third processor does is it basically allows us to keep more lines running at the same time. So, in comparison, Allentown will start with one processor and one filling line. The second filling line likely to be added Q2 2016. So, compare that to the 10 lines we got going in Modesto versus the one line in Allentown, Modesto will obviously be more significant. Although, the line we are installing in Allentown is a high-speed line.

Okay. And then, can you expand a little bit on the juice facility? Good to see that up and running. Hendrik Jacobs - President & Chief Operating Officer: Yeah. The juice facility is indeed up and running. We received an incredibly high SQS score of 96%, so that's fantastic. So now, we – obviously, we need SQS certification in order to win customers back into the facility. The first customer coming in is obviously Citrusource with a lot of their products that are currently being packed elsewhere. We will also start doing extraction on behalf of Citrusource that they will be selling to their customers. And that's – both of those activities are starting June 1 basically.

And visibility on external customers – incremental external customers? Hendrik Jacobs - President & Chief Operating Officer: There is good visibility on that. But we need – now that we have SQS, we need to go through their internal audit process, which will take probably a couple of months, I would say.

Okay. And then, on the Global Ingredients business, is there kind of an easy way to quantify what the margin benefit would have been from commodity pricing? Or – obviously, it impacted revenue. I'm wondering commodity pricing, how it flowed through to the EBIT line for the Global Ingredients business? Steven R. Bromley - Chief Executive Officer & Director: I think if you look at net-net commodities, we all know that soy and corn are way down. But some of the internationally-sourced organic raw materials are up. So, the commodity line actually kind of is a net even, I would say. As we alluded to, they did benefit from a margin transfer, internal transfer from Consumer Products into raw materials of about $1 million incremental in the quarter versus last year. So, I don't think that the commodity pricing net-net has had a significant – would you want to add anything, Rob? Robert McKeracher - Chief Financial Officer & Vice President: Yeah, no. Scott, I mean, it's the more significant thing that's gone on the quarter certainly the foreign exchange top line for that business, the European piece of it. The commodity price... Steven R. Bromley - Chief Executive Officer & Director: That was about, what, $10 million... Robert McKeracher - Chief Financial Officer & Vice President: It's about $10 million versus the same quarter last year, depressing, if you will, the top line.

Yeah. Great. And I was thinking like gross margin percent. I mean, I know with lower commodity prices on soy and corn, you should be picking up maybe a little margin percent trying to hold margin dollars flat. Did you lose a little bit of margin percent on higher-priced ingredients coming from Europe or maybe from currency? Robert McKeracher - Chief Financial Officer & Vice President: Yeah. I mean – yeah. Certainly, you'll get expansion as prices are coming down on a percentage basis and the other way around as prices increase, but net-net, in Global Ingredients, I wouldn't suggest that's anything worth calling out this quarter. Steven R. Bromley - Chief Executive Officer & Director: The only thing I would add is that if you look at some of our most profitable raw materials, domestic raw materials are the ones that we actually ship to Asia. We did have, I think, Rob called it out, what was it, Rob, $350,000 margin impact from not being able to ship that in the first quarter. Robert McKeracher - Chief Financial Officer & Vice President: Yeah. It was actually about $450,000 and literally, it's just getting our... Steven R. Bromley - Chief Executive Officer & Director: Can't get the cans. Robert McKeracher - Chief Financial Officer & Vice President: Our containers are stuck at the ports and can't get over to Asia on a scheduled time line.

Great. Thanks. And then, one last kind of general question. I mean, you're playing in the supply chain for almost every channel of distribution and a large volume of customers in this kind of natural healthy food space. Some of the retailers and even some of the brands have talked about a little weakness intra-quarter in the natural organic space. Do you have any commentary you could talk about, maybe about how it's playing by channel? Obviously, you don't want to talk about any customers, but how it will play by channel or maybe you saw a little bit of weakness towards the end of the quarter in the natural organic channel? Hendrik Jacobs - President & Chief Operating Officer: Yeah. I think, I mean, to start with, we are kind of, as Steve always called it, channel agnostic because we do trade in all the channels. I think club continues to be strong. Having said that, we did have some impacts specifically in the club channel from some of our customers changing their promotional calendar from Q1 into Q2 or Q3. So, that was a little bit of a drag for us in the club channel. I think grocery, as a whole, is doing very, very well. And indeed, I do see, as more and more of the traditional grocers are basically picking up natural and organic, that does put pressure on the natural and organic channel.

Great. Thank you very much. Steven R. Bromley - Chief Executive Officer & Director: Thanks, Scott.

Our next question comes from the line of Tim Tiberio with Miller Tabak. Your line is now open. Tim Tiberio - Miller Tabak + Co. LLC: Good morning. Thanks for taking my question. Steven R. Bromley - Chief Executive Officer & Director: No problem, Tim. Tim Tiberio - Miller Tabak + Co. LLC: My first question is, I guess, focused on Global Ingredients. Excluding the FX impact in Europe, can you just talk to us about which categories that you're seeing the most robust growth in the international category? Steven R. Bromley - Chief Executive Officer & Director: There's a bunch. Rik, take that one, please. Hendrik Jacobs - President & Chief Operating Officer: Yeah. I think the most significant one is – there's really two categories, it's fruits and vegetables. And that's because we have very, very deep supply chains all over the world, so we are able to source where a lot of people are not. Quite honestly, we – as we pointed out earlier, these are the higher costs, and some of that had to be passed on quicker to our Consumer Products customers. The other category that is on fire, quite frankly, is feed, feed in Europe, as well as feed in the United States, and that is because more and more demand for organic chicken, organic eggs, organic meat, you name it. So, I would point to those two – overall, we've done very well in all categories. Those will be the two that I will point to as the outliers to the upside. Steven R. Bromley - Chief Executive Officer & Director: And then lots of really growing categories like coconuts and stuff that's growing, but those are the big ones for sure. Tim Tiberio - Miller Tabak + Co. LLC: That's very helpful.…

Next question comes from the line of Bob Gibson with Octagon Capital. Your line is now open.

Good morning, everybody. Steven R. Bromley - Chief Executive Officer & Director: Hey, Bob. How are you?

I'm good. You've done a fantastic job of reducing your corporate expenses year-over-year and quarter-over-quarter. Can I get a little color on how you did that? Steven R. Bromley - Chief Executive Officer & Director: Sure. We won't take credit for everything. The Canadian dollar declining certainly was part of it. But... Robert McKeracher - Chief Financial Officer & Vice President: Yeah. I think, Bob, what you see there, it's really a combination of two things. And then, by the way, our overall SG&A load really isn't that dramatically different year-over-year, which certainly helped as both the euro and the Canadian dollar weakened relative to the U.S. that was of a benefit, but... Steven R. Bromley - Chief Executive Officer & Director: That's just the SG&A line, but we get the opposite benefit, of course – not benefit, because the euro earning don't convert as well. Robert McKeracher - Chief Financial Officer & Vice President: Exactly, exactly. So from strictly a corporate perspective, what you really see there is a distribution of overhead charges into the segments. I wouldn't want to lead you to believe that corporate expenses overall are down, certainly something that we're managing. And we are ahead of last year mainly on foreign exchange. And overall, you'll see SG&A isn't that dramatically different.

Okay. So does that mean you guys are going to start paying yourself in U.S. dollars? Steven R. Bromley - Chief Executive Officer & Director: No. Hendrik Jacobs - President & Chief Operating Officer: We wish. Steven R. Bromley - Chief Executive Officer & Director: Great idea, but the answer is no. Thank you.

Okay. And then, secondly, can you give me a dollar amount for the FX impact on the top line? Robert McKeracher - Chief Financial Officer & Vice President: Yeah. Overall, it's just under $12 million and about $10 million of that's in SunOpta Foods.

Thank you so much, guys. Steven R. Bromley - Chief Executive Officer & Director: Okay. Thanks, Bob.

Our next question comes from the line of Chris Krueger with Lake Street Capital. Your line is now open.

Hi. Good morning. Steven R. Bromley - Chief Executive Officer & Director: Hi, Chris.

Hi. Just a couple of questions. On your aseptic beverage efforts, I know that WhiteWave Silk brand has recently launched the Cashewmilk, and I think it's been off to a pretty good start. Can you talk about whether or not you're getting into like a cashew -into that segment or if your Sunflower Milk has made any progress or any other kind of unique potential products that could you give you an edge? Hendrik Jacobs - President & Chief Operating Officer: Yeah. If you look at the non-dairy category as a whole, they are continuing to take share from the dairy category, right? The dairy category is declining. Non-dairy is growing. Non-dairy, if I get the numbers correct, it's about I think 9% of the total dairy right now. So obviously, it will go with what (34:43) started by soy and by rice, the next big mover was almonds. I think almonds growth is slowing somewhat. So everybody is now looking into what's the next big thing out there. Some people are betting on cashew, other people are betting on oat. Personally, I think oat has some really good legs because it's got a nice profile with good proteins and all of that. As you know, we don't really have our own brands. So as a result, we are packing whatever our customers want us to pack, and that does include a little bit of cashew already as well.

Okay. Then next question, the California drought, which has been pretty significant. Are you guys impacted by that at all, whether it be sourcing almonds or the water you use for your facilities? Hendrik Jacobs - President & Chief Operating Officer: Well, look, obviously sustainability is a core part of our DNA, so we've already been working on a lot of water conservation areas even before this decision became more public. None of our facilities at present are impacted by it. In other words, we have not gotten any edicts from any water district that we need to reduce or anything like that. And when it comes to the almonds, specifically, we all see the pictures of farmers ripping out trees. I do expect that there will be less of an almond crop this year than there was last year.

All right. Thanks. That's all I got. Steven R. Bromley - Chief Executive Officer & Director: Thanks, Chris.

Our next question comes from the line of Mitch Pinheiro with Imperial Capital. Your line is now open.

Yeah. Hi. Good morning, all. Steven R. Bromley - Chief Executive Officer & Director: Hey. Hey, Mitch. How are you?

Hey. So a couple of questions here. So, for Rob, if we add back some of the discrete items you called out on the Consumer Products side, the $7 million decline, you'll get somewhere maybe an operating margin in that segment of 7% to 8%. Relative to your goals, the longer term targets, and I know I guess, Steve, you talked about your three drivers and things like that in terms of margins, can you get there? Can you get the 7% to 8% to 11% to 13% strictly on like sort of leverage, cost management? I mean, is there anything else that needs to be done? And then, I guess also, how would you weight the sort of leverage, cost management and, say, product mix as far as pushing you higher to your targets? Steven R. Bromley - Chief Executive Officer & Director: Yeah. So, Mitch, the way I'd sort of simply try and lay that out is to take a look at the overall business. And when you add back the $1.2 million that Rob referred to in additional costs, it leaves us around 4%. And if you look further into businesses that are in transition and, for example San Bernardino, while we have those costs, we're not getting a lot of earnings out of that yet, it's just starting, we'd be at about 4.5% if those things were normalized. So there's a 3.5% gap that needs to be closed to get us to 8%. And when you go through our detailed plans and assimilate all the activities across those platforms, about half of the lift, so half of the 3.5% comes from volume gains, product mix, the results of our innovation, it's really top line driven. The other half comes from cost and leverage, and about two-thirds…

Okay. That's helpful. I appreciate that color. What about getting back sort of your – you talk -- you had a 5% decline, I guess, in domestic ingredients. You cited sunflower and the LA port issue. What would that have been, ex sort of these one-time items, in the quarter? Steven R. Bromley - Chief Executive Officer & Director: So the decline of 5%, if we didn't have port delays and that sort of thing?

Yeah. Yeah. Robert McKeracher - Chief Financial Officer & Vice President: The port delays are about $3 million. So, that would have left – most of that – in domestic side, if you will, Global Ingredients more or less on par with last year. I think the main thing to take away here is that, it's not – I don't look at this as sort of an indication market. A lot of the decline that you see in Global – the domestic part of Global Ingredients is on purpose. In other words, we've rationalized certain lines, certain facilities. We're not doing certain varieties of seeds that were low margin before and that's why you see while revenues are down, gross profit is up. So, it's more of a strategic shift there than something, I think that we normalize to say what the growth could have been. This is where we kind of expected it to be.

Okay. And then, what products globally are you seeing tightness in, sourcing tightness? Hendrik Jacobs - President & Chief Operating Officer: I think as – we are seeing tightness everywhere. There is obviously a reason why our internationally sourced raw materials are growing 48%. The reason, I think is, is because we have the supply chain, while others don't, right? I don't think for one moment that those categories are growing for 48%. We have grown 48% and that's a result of the tightness in the market and all the years of knowledge and investment that we've done in all these projects in – whether you talk Latin America, whether you talk Asia or whether you talk Africa or Eastern Europe and Turkey. Steven R. Bromley - Chief Executive Officer & Director: And we're continuing to – to Rik's point, we're continuing to add resources and capabilities to continue to grow to meet needs. It's one of our core strengths and something that we feel we're very good at.

Is there any particular tightness in North America in any particular... Hendrik Jacobs - President & Chief Operating Officer: I mean, if you look at the California drought, we talked a little bit about almonds. I think there's a concern on the peaches in California as well. You can name some of the other fruits that are all coming out of California, especially those that use a lot of water. So, there are some concerns there. But again, let's take strawberry, as an example. I mean – so, if you're going to have tightness in California, we've got sources in Morocco where they happen to plant exactly the same varieties as they do in Serbia, as they do in Turkey. So, we have other sources where we can get our strawberries from. Maybe not at the same cost, but we can get them, where others can't anymore.

Great. Okay. That's all I had. Thank you very much. Steven R. Bromley - Chief Executive Officer & Director: Take care, Mitch.

Our next question comes from the line of Christine Healy with Scotiabank. Your line is now open.

Thanks, good morning. Steven R. Bromley - Chief Executive Officer & Director: Good morning, Christine.

I guess, I just want a little bit more clarity on Global Ingredients and the products that you rationalized there. Was it largely on the sunflower side, like just sourcing sunflower seeds, or was there also anything on the soybean side? Steven R. Bromley - Chief Executive Officer & Director: No. It's primarily sunflower-driven and a little bit in soy. But the major product, Christine, was on sunflower. And you'll recall that last year, we disposed of a couple of operations in the Midwest that were growing varieties – that we were processing varieties of sunflower seeds that you'll recall we had yield issues with and – anyways, we just decided that the risk of some of those varieties and those growing region was of course the reward. So, we sold the facilities and exited those lines. There's been some rationalization in soy, but the largest part would be sunflower-driven.

Okay, that's helpful. And then, I guess for annual revenue impact, is it fairly small or is it something that we should keep in mind? Is there a number that you can approximate for us? Steven R. Bromley - Chief Executive Officer & Director: Annually, it'd be about $10 million.

Okay, $10 million. Okay, that's helpful. And then, on the San Bernardino upgrade, so we saw some more costs here in Q1, but I just wanted to confirm that's the end of the costs, right? Q1 is the last of the upgrade costs? Steven R. Bromley - Chief Executive Officer & Director: I'm going to let Rik comment on that. It's the last of the heavy expansion related costs. Now it has to ramp up. It's not going to – we're not going to go from zero to 100 miles and hour. Hendrik Jacobs - President & Chief Operating Officer: It's the end of the cost and hopefully on our way to profitability there, because recognize that from an operating income perspective, we are still burning cash over there. But well, we're still negative margin, but – and that will solve itself as we fill that facility up now.

Okay, Rik. How do you expect to see utilization ramp up over the next few quarters? Hendrik Jacobs - President & Chief Operating Officer: Well, if you just look at the organic orange juice that we sell and the organic orange juice that Citrusource sells, and also some of the conventional orange juice that Citrusource sells, that pretty much fills up the bottling side of it. And then, when you talk about the extraction side of it, some of that we're going to start selling inside of our Global Ingredients platform in bulk tankers to customer that needs that on the West Coast.

Okay. Hendrik Jacobs - President & Chief Operating Officer: And some of that extraction, obviously, we're going to utilize for our own bottling. So, that's how we're going to take care of that.

Okay. So, you expect to see pretty healthy utilization by the end of this year? Hendrik Jacobs - President & Chief Operating Officer: Yes. Steven R. Bromley - Chief Executive Officer & Director: Yes.

Okay, okay, I just wanted to clarify that. Okay. And then, Steve, Opta Minerals, your favorite thing to talk about, some pretty weak results here this quarter. And I read through the release this morning. It seems like they are pretty – they are in a state where they're kind of hunkering down. They are prioritizing and reducing costs and simplifying the business and trying to improve their cash flow. So I guess, I'm just wondering from your perspective, does this change at all your strategic process and your potential sale of your stake. Steven R. Bromley - Chief Executive Officer & Director: Well, look, it doesn't change our view on exiting that business at the right time. So, there is no change. Look, it had certainly caused some twists and turns in the process if it's ongoing given the results and what it does to potential buyers and those sorts of things. But we remain committed.

Okay. Thanks very much. Steven R. Bromley - Chief Executive Officer & Director: Thanks a lot, Christine.

I'm showing no further questions from the phone lines at this time. I'd like to turn the call back to Steve Bromley for closing remarks. Steven R. Bromley - Chief Executive Officer & Director: Well, great. Thanks very much. I'd like to thank everyone for joining the call today. We really appreciate your time and we look forward to speaking to everyone in the near future. So, thanks very much, and have a great day.

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