Franklin Resources (BEN) 30 Jan 182018 Q1 Earnings call transcript

Good morning and welcome to Franklin Resources’ Earnings Conference Call for the Quarter Ended December 31, 2017. Statements made in this conference call regarding Franklin Resources, Inc., which are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements involve a number of known and unknown risks, uncertainties and other important factors that could cause actual results to differ materially from any future results expressed or implied by such forward-looking statements. These and other risks, uncertainties and other important factors are described in more detail in Franklin’s recent filings with the Securities and Exchange Commission, including in the risk factors and MD&A sections of Franklin’s most recent Form 10-K and 10-Q filings.

Good morning. and be Kevin, today. call is name I your will operator My this in are all listen-only At participants a time, mode. [Operator conference Instructions] is this being recorded. As a reminder, At call turn Chairman like CEO, this Franklin and to Resources the Mr. time, I’d over to Greg Johnson. Mr. may you Johnson, begin.

to charge Hopefully, you thanks tell everyone, us joining who President recently the that results that first any taxes the Senior details recovering by is specific of into reform. my and as you may quarter any flu, today. expectation CFO. from the related have Plafker, passed Lewis, voice going charge provided Gwen heads included our And Good tax chance distribution, our And me asked we Shaneyfelt, outlines a of commentary so Tax today, be questions usual $X.X for if for a to we our reported around Global morning, questions earlier and that Accounting is the forward. With billion get review Ken we our able to Jed I Vice tax have and to also had around up who reform. I’m the there’s Today, flows. which

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on maybe shed and billion-plus balance excess? of what’s in some that some you that, thinking think tax whether that return, how you’re you color terms then more about? a And that the for are then of to on sheet, guys. decisions benefits the what how mentioned what you of the operational do little of the whether when on Thanks, it’s excess? cash retain need thinking $X right. is Just investments, purposes, investments, And and making the purposes? what on with excess, much the regulatory you guys Greg, things it’s the bit to of wanted of those All forward some we mentioned to priorities timing capital from going about

the of Well, I the options. feel And it I can Board always day, capital the will the really are mean, of think, I the management, funds company. kind very value have long-term the balance and in – there’s to from on our separate are that from flexibility have any also to It’s investors we our the that, that whatever find of comes because function timing we I end be rating market in of decides putting think, condition. up together ultimately, important that is a on we conservative in accounts the strength to err sheet. at on the do. strategic And side of various a that think, what we

holders Board information of at. But about early looking figure So, doing be and we’re And forthcoming sense. there the all as in of team the gone We’ve I obviously, into expectation makes next to in much directly and as what some, out cushion try think, that we that meeting. it’s to too be built feedback will kind and look our this careful we most we’re institutional But our today around well. out get possible will process to any at that more any to feedback setting encourage whatever that. levers certainly really as process the after really

then And thanks. sort maybe growth on follow-up a Okay, organic of side.

You mentioned platforms in the quarter. during some adds commentary to the

a a then given bit the to on are know more on little side, maybe products relative that’s pressure, the that. the just clients to in, flip And a the that? being terms color performance to the benefit Just some that a headwind? platform or might short-term But some the you’re adds, in of under get are some there. And reacting just I wanted some how how performance of of color categories the benchmarks little there that nuances be versus

that, the in so consultant point the I we’ve distribution to our I it’s that effort the of all its done Yes. was we’ve doing that’s the retail with is mean, And risk continue side. those said part – you one things the performance, of out mean, think is fee-based. what And things. attribution and I build important like funnel communicating really as fund a on before,

the – world, a platform to Today, on everything XX% on where maybe funds have brokerage there those a you platform. of had was You’ll where given take.

it I’ll add. specifically that where It an the that assets; every the to you’re going a you to turns, new organic mean, when into do retaining wants have of an in get – Jed, doesn’t ability value-based you specific he anytime you’ll market better growth a that to it’s one, could immediate favor. you have and now So has he flow ask out be anything past. platforms wouldn’t if global fund. added job means, two, funds a of to style, But capture get

seven sales XX% we’re seeing double I years I about fee-based what of it that’s ago. right. Yes, or is think, the fee-based, mean, eight was almost on the which go to side, now

our We platforms team funds been research the cushion base, those to fee-based so and the adding with on we’re And in meet we’ve to and up whereas side. gatekeepers. strategies the build

Thank you.

coming is from question. Dan question Please Jefferies. with your next Fannon proceed Our from

the options because for of of – Thanks. the I one talk Good not was morning. the reform guess, to about corporate want tax one M&A. I M&A,

I basis? about more know, And with here it recently. like, so just the longer-term a how transaction about now But thinking and announced – you’ve you’re on proceeds available cash more thinking the

think always – been about we always we’ve think, I Well, it.

think, the that is equal is we as world. fairly look difference today I that at probably the everything

in bias if had past, the you may try it have to do cash to a reform, before captive outside was U.S. tax and offshore – any You something the

I fungible U.S., around cash think, today, it’s the all the world.

as would we opportunities openly So to look U.S. as the here abroad. much in

think, you whether as M&A have – look only than acquisition we guess, in far as how would be think I so that in that landscape. opportunity I did at past, do U.S. the a a the would the to real net-net that the be, the larger I you as change,

a safe it’s as near-term or about the one you not next say to But it’s of months of priorities on XX kind basis? more your think

Yes, time. far any I having priority wherewithal financial the to as it’s a given as and balance think, that at do strength

part forward. to reform. capital of don’t going at going urgency a it any deal, feel that’s how we’re – because look doesn’t So But we tax of to do

you. Got it. Thank

Thank you.

coming Our Worthington your Ken proceed next is from with Please JPMorgan. question. from question

I nuances this question Hi. Thank answer. I of do you much if cash about repatriation waiting one balances were and a And for Trump probably, that the it. or you’ve being repatriating at obvious even elected, you its decade being taking are anticipate your possible my anticipating you have think, with been How question. a least, given for the law? And here where and repatriation for been then point, of it guys at I given missed lot obvious is thinking the changes. apologize the

it back what terms an of So dividend at least you a a think into direction maybe can you makes in or it it a the into bring business. you what Thanks. versus buyback money estimate give the that of will make you us versus just How back? makes what do in with investments gauge into the you – those each of level are how

the – the is Greg that that those Board. earlier we’re with That to are exactly was referring questions discussing

talked I is, we’re is could about to think – question, we success first of our M&A, to that the friendly. neighborhood to the company. always in priority we billion the viewed do long-term it going $X we’re to we invest the is being What before means, a in continue the but mean about what of of cash billion. also $X excess first shareholder What history

law is are ongoing. old, tax month the So discussions the

be to it’s as probably questions. to going transparent with us months possible. But take of couple as to the all those a We’re going investors through work

Okay.

what feel make other would into even quickly? buyback? a no more Does might for more versus one than it answer So one equal? come Is it dividend the obvious be

first have those makes all of conversations – opportunity the think, Board Board. which and haven’t to the that that that’s I a with that’s No, had the decision a so

there out approval. I that we And any like I – to don’t at had want create expectation to Board think what on speculate and it’s or vetted look really would that stage, what just we think, this – it before

So, I think, you’re right.

anything the are there right come levers do obvious back, X we don’t but those to that and we want will out of as states plan All the one. now certainly

We have our plan Board. get that approved by to

guess, think, some themes flush Any with I bit windfall. I some were could of gave out just you those higher-level back little And into here? more repatriation a and you discussed you some, the had business Okay. chance considering investing that the you

priority the of first deliver I fund. always improve think, as to performance good is the and

technology. improving have in invested we We in solutions. in – our the we’ve investing investments in So area made capabilities investing some been

new products. smart distribution in investing technology changing landscape We’re getting investing also distribution, in and and that in the

– distribution change to we’ve strategic it’s list that you it’s that But we’ve past so on through want initiatives gone side through, the and we’re the there’s kind to gone the that. marketing, investing the – So in… mean, I of anything all add in no

sure. Sure, Yes.

the in Greg as adding in of service on We’re one, side as client the resources sales. areas, team, the few relations on consultant a mentioned, U.S. amount well different a fair institutional

getting building relationship group platforms. team, is the for responsible on We’re on funds which strategic the out

We’re sales people adding team. our to

We’re so for rolling of people a that some broker-dealers, the out adding in model area. we’re channel-centric of more and

number a there’s distribution on that think I of the side. resources fair So

and alternatives solutions. also in And

venture is and And would area, another in just part industrial in our tech on in is equity capability it one to like sheet part in is this that and forming also one forefront I using out directly just a thing developments within on expanding of and been invest capital that too. we too that’s stand just of have private those us within and And area. areas of for funds specialized the an FinTech strategic balance say, side and build we’ve AI alternatives to companies to the

that So capital. use be of the would

Thank Okay. you.

you. Thank

Brennan your Hawken next Our from Please is proceed with coming from question UBS. question.

that up Yes. beyond that down of Hi. one the are previous you use one Ken’s following is on well potential guys priorities taking for Thanks funds the question, quick the mentioned? question. considering Good A you debt morning. pay as

equation. the Yes, absolutely, as two next over of the tax so payable into the definitely charges those years, come

then maybe – that about consider And much investments, have we could an of was us you can made there terrific. just about is framing Okay, give those guys keep uplift driven into just recently context maybe that thinking by and idea investments possible how alternatives? so potentially possible expense you types

Sure.

our we track expenses finished I that estimate spoke and of last, talk X%, think, those budget. we we’re you the – was going with I X% just that And increase about we that, gave guidance. kind our still when I – probably laundry year-over-year had by that when on to time was think list to at

from what more then would about your to year – be outlook Okay, Edin and Edinburgh that How will you that here, tied beyond expense one making mentioned Edinburgh. the perfect. we add expense And perspectives? for just think revenue should had

from we’ll it items But flow position from so… time better maybe a perspective, I that cash of but perspective, the GAAP we you think, not line it’s might kind specific a in together. next give generally, be dilutive, accretive, slightly – to get it’s be a materially

for the Thanks color. all

you. Thank

question is Citigroup. next Bill Katz from Our from coming

now Your line is live.

for a of again, And prioritize I couple Ken will that, ticked your supplement priorities reason Board capital and you for a a both that Because don’t Greg, are? when Could still certain I’ve foggy prerecorded guess, Okay. flu that think Thank this little I’m the sort you off But just, think is with where things I today. meeting? may we on feel I these you. surprised the sort my question be your heard in have things. commentary within priorities management. pain, a waterfall here. is for the little you’re be and news wrote market the different you you of

in change And days to what like, so that the list? to trying I’m just going understand as priority think about x next is we

of really Bill, something you in know, that’s in don’t well, if have all because, we’ve good want you you’re levers at foggy, think just the this this. plan communicating have a again, in And I job place. get done as important to front you stage the you – like

policy. buyback your got You’ve

dividend You’ve policy. got your

special got dividend You’ve policies.

is what with. that has many continue and level, determined seek – on possible. place we’re discussion as a what that big all comfortable from got do. different to You’ve views that’s appropriate of the a input There’s stakeholders we as take to And we should lot

rather, tomorrow. think, there’s to going rush market that do x to to I So the here say no we’re

do think represents that with the we you to come sense stakeholders. back something think want I of and thoughtful be best makes interest all and

I all we’ve chance appropriately. had unfortunately, of any don’t vet we a communicate So think, to want of to real those until really things that priority

Ken operational it, of relative still sits for the think is cap mentioned et billion, the right tax that that cash net the in And I’m had just that about the to have number. of billion apologize as purposes, maybe on that the missed quarter think, may recent $X that balance you I number billion incremental with then reform? I $X just your this trying number? sort a I of K, Is said available that of sort the last now, $X.X if to clarification. earmarked sheet – cetera. Of about

– that that a be could little on in ballpark. but the the side, bit But Yes. high is

factor the that. probably mentioned, a I and also you tax that in debt charge it’s little repayments than lower If longer-term

part us Can a tactical, business? sense Okay, so are discussion, levers give And the approach sort little ETF the the passive a all of off follow-up just to bit question, think that management AUM been of to recently sales where stand what right. it. and have far get of you where launched then and the some the how a a more business of of a you you capital net about to the incremental grow maybe

overall the I assets $X.X we just think mean, them. I around Well, billion. are introduced

very significant by if having regional view that going funds kind we to to of is obviously as available this feeling you’re to be important, our is that in going space think ETF global be costs, I passive the a do player and lower business, last available. country-specific the and

period. – really very not it’s a out been only it’s So short

tax You the a consequences of lot at because movement doing didn’t year-end see of of that.

available. in those – the that, as much message process but I significant, think And so significant just the to higher going in expense getting that very out already expected, we’re ratios. and with there flows, some date, and of really there’s that’s nothing is And out funds point categories

not we the it, of on building that the the and the important take part brand So have just going flow think impact it’s of should I that to large care side of itself. ETF And within space. revenue think, while it’s on a

guys. Thanks, Okay.

Thanks.

Thank you.

Blostein coming with from Please proceed your next is Our Alex question Goldman from question. Sachs.

Hey, guys, good morning.

Good morning, Alex.

of couple guess. clarifications, A quick I

think investment will to it’s ex-distribution. some incremental about growth initiatives once about could X% inclusive growth or expense the think, of in to that when guys call what how it, you the capital for you decisions like back to money? you tech about Ken, going make that that sounds to I you’ve data, et previous the spend when cetera, the or X% talk in highlighted, all guys in you is and on be whether – this, the you’re was to So it X% discussion, guidance, expenses growth top that But be growth, X% X% X% of

about are do. inclusive of of is that we all we the decided that items talked and to That known

up initiatives transparent So expense that mentioned. as with And inclusive all we’re if we’ll excluding to distribution with well. that we growth, costs, we still that of be future pretty initiatives I think, of X% come with underwriting comfortable is the X%

the capital use could back on of be that from with tax Got discussions the the of reform? it. And

Correct.

that. And the number meant the efforts, then the you Yep, use global guys for, you press optimizing XXX% things of by what – I guys cash okay. you wasn’t that different distribution release in you when went and excess clear could through you highlighted

maybe little the on will versus sort region product, how selling And when if – you think on that implications So about one just other, out bit. flesh focus helpful? that incremental any be any that you are of a the

Sure.

In side on on addition the as we’d Greg U.S. spend on we’re about the side, increasing also as ETFs, traditional talked resources both to well as mentioned. the our the on advertising,

increase. that’s that So certainly an

just really this people So literally into distribution? like it’s not moving is investing geographically, around

Right.

I think, our there’s international included some in additional expanding resources distribution increased well, kind function the as of the headcount. just

Got right. it. Thanks. Great. All

Thank you.

your Craig proceed coming from Our Please next with Credit Suisse. is question from question. Siegenthaler

morning. Thanks, Good guys.

Good morning.

The charge, $X.X want you just number? billion was how it calculated, tax a – changed to it’s the when because huge system, territorial

call. take chance might been mike. is Gwen our of on haven’t that the the be in to at up that us the This a this repatriated is earnings let we have to the K. based opportunity rest disclosed a for It accumulated going Okay. good calculated But

Right.

So, Ken, you’re exactly right.

look number at and X.XX, obviously on what jurisdiction multiply the taxes the you deemed that those. Take add – a to and foreign you’ve Really, repatriate to rate. – paid the back the there’s Also, talks comes what those out yet included have there to and So that’s $X.X that in basically, with which kind state deemed about we we credit earnings of calculation. some taxes up have do we come times billion is for taxes number. potential the for a in it the to

federal certain well. we have those included don’t to automatically. that may bring We on some pay back tax So dollars, as follow have states we state

Got it.

too? there, subject. just better that? good sales also, I seeing driving the maybe what in also momentum products then and had saw quarter. on India And What’s second And are demand a Okay. China that

so that’s – that’s Yes, accurate.

both sales had We’ve had there. strong China. performance our really it’s locally So – all Greater in sides on In and managed of equity India, good fixed. China, both we’ve funds, – and local it’s

So we’ve In have huge you China of just in for expect Taiwan that mention actual we the are for macro a global going interest us, Taiwan. But surge changing that a been recently in of that’s big yet has in big And a that upgraded in particular, just license venture to which Shanghai. includes emerging can seen be us as rules the partner, the rules. our some fund going and bond in to maybe released been market funds. ownership joint on forward. market China, the we And hasn’t a

you. Thank

Thank you.

Our next Glenn Please from your Evercore proceed question question. with today ISI. is coming from Schorr

Hello, there. Thanks.

question in fixed side. I bit in income little retail of much We in past, the not in retail a income. the more little quick XX% a periods on lift negative the emotional. a not In Just all, had a think, rising had the and at U.S. market rates the investment fixed been equity just if

you’ve curious through statements as going people and front any if January that reaction Just seen yet thinking you’re forward? and on get what

this at Well, has don’t change. the uptick I stage dramatic been to think enough

I the think, headlines you on risk. more are certainly getting

could – in I less think, drop as sensitive for yield they’re be the doesn’t duration. other long economy the to as probably to appear strong there, reasons. is the High the be munis

really have exposure huge don’t to we So duration risk.

If global you is a category, even the flat negative fund, bond has the or fund. largest look that macro, at to duration global in which the that –

within strong that rising we environment, could hope So, in fixed be a income. story a rate very

They now good was on say, in. markets I and points, is up backed when points. XXX a they income of gee, in, equity Fixed comes remember, other standpoint, markets at equity look market and because it’s The suddenly back fear sidelines back fixed hard the get where and equity just basis time. – people drop difference income, the behavioral think, and rates the up a of XXX basis it’s somebody from the to are

So you buyers. attract new

liabilities locking rates people certainly as attract well. up in go You as

rising there’s even rate side, within I a So despite always demand environment the retail find. a

I found think, we that historically.

Thank appreciate I very that. you. much

Just one follow-up.

how you’re So through we’ve curious But curious, this in we quarters landscape managing we think just – just broker-dealer shifting ago. call, I several the – to you’ve I’m the fee-based. Historically, just I’m move this influence I your had land as how good we’ve on manage to revisit channel? the side. a commission don’t on in what of know that you you do commission physically behavior can assets chunk from

I’ll Well, start. I mean,

various traditional to the require And portion account. available. gatekeeper to brokerage think buckets in. already jump out And going maybe then it and what’s I we – how what’s I and to pockets very does put – back approach forth. a sometimes and front-end I a But charge Jed have available a think, And you sell. into plan into for a sell, as mean, controlling small is is different maybe very sales recommend have the advisers move and also they

if news bad that So, is, get shelf is your funds shelf or you’ve the get may before. third good bigger news got of XX% The you space, a from opportunity. on

you’ll So well that resources an I see the at effect two, mergers in and consultants fee-based consolidation think platforms. had more right of and the may people be plan; add a of net-net one, funds institutional representing positioned you’ve have not those is, and kind your to funds to to level

as been fund really fund, about how a as changes well talk plan. talk So a a those the your and have story a sales about to force fits not retraining into but big

that add that’s I one a working and years different on. think, probably anything? Jed, spent the last, we’ve five very tact

especially right. I you adapt model. to have in obviously, Yes. mean, service No, your that’s

is construct portfolios helping issue, for their past but side, performance clients. going advisers obviously fee-based the a on So that, to big be their it’s

strategies And products advisers construction our goals. the and construction work portfolio so working look lot client’s portfolio doing we’re and into to and of fit how at on a with tools they and meet

mentioned, Greg but retraining on and repositioning a going still opportunity, upscaling think. I – good as So and of of lot people, there’s training a

platform. other I to is pressure one – making that attributes – on thing is and side going fee-based the funds is from other think, than And of any fees, as the on greater and the just the ever fee of sure the your get one is performance

I a well. on So outcome recommend think, we be continue may to that’s and as look any fee at we’ll competitive those, an basis reducing funds not that

you. it. right. Thank All appreciate I

Your. Thank

is from from Robert question next coming KBW. Lee Our

now is live. line Your

bit a guess, for morning, Good – little rate, your of rate quarter first for one mean, XXXX includes tax technically I kind a I to I XXXX my of bit think, speaking, blended to XX% taxes. XX% of a around a a lower? But am it Perhaps question, maybe XX%, I think, believe. guidance question Since guys. technical I I new your was Thanks. your kind XX% a is higher blended fiscal a at core rate the of actually – So this understanding little going correctly? rate, of rate forward little that that

Yes, a that’s year payers. blended that to right. basis a how that’s XX.X% for It is works rate year on our applies pure tax statutory it fiscal

rate Next basis on year, the that a XX%. will be apply statutory will

obviously, for rates FY XXXX, down. go expect the So we would

thought concern the you will, you of are moving That’s Head Founder the about But gee, its great. what And of also elsewhere then is change there it, that of bit, pretty is or to you let’s this Group or curious I’m two? of the Global at some, in presumably, little and Templeton integration How asset a from up leadership to process call with there? Equity kind breakage, if to any going investment And CEO maybe Edinburgh currently. Okay, helpful. their just similar does that kind thinking is Templeton the away just become taxes as partners Templeton. leads

you and if mean, really think, look there distribution channels is their shareholders where are, I their first, not any at I overlap. Yes.

side, a at the here certainly presence without they’ve sub-advisory distribution had very well UK big retail adding as States see in all. we it as strong So business as

increase they’re as And as So options good it favor. think, distinct complimentary do to we that and more it’s I view of add investors, They are portfolio a And adding think styles when that similarities far But both at are international they value. eyes one value. just Franklin the – distinct is value other just just our value but profile as back and both for as of some value-oriented, equities we Sandy value to are have the bring time out global obviously. time both roof, that can Nairn, thought on what leader overall who the I on lot us industry, respected to the we’re be ears a a we and Templeton sides. in respect somebody highly of good can is real and doing under another think,

for example, So today, today, some where to XX add. new funds channels be channels. in doesn’t And in have are compete we’ll do through synergies there States, for somebody to of brands that’s sub-advisory independent with sold there’s conflicts. two we or they’re of issues and due we don’t, that potential Act any fee the who could and for really kind figure different But channel, the here we where going out that with can any

there’s So of are a clearly I different think, from in channels. that immediate value equity sold benefits records distribution side having more

to just going to Great. follow-up And earlier. back question one if maybe I could maybe really Glenn’s follow-up,

been your equity – building at directly and You of to try update of into know bond more kind But strategies think the you’re and or have you been think as big and one SMAs always my set that, product about that in to kind income. your products some demand kind I good that or about themselves some product of tap business you of the always thinking I that’s of on mean, of there’s don’t those can a reasonably maybe intermediary maybe place in opportunities? us perception channels, initiatives your some lend line global I their some fee-based capabilities the clearly, to don’t the how peers guys SMA of has side

right area that some looking and looking some an it at add actually Yes. that we area to is are – No, strategies and relationships. in now that’s

actively. necessarily we with So it probably something is at haven’t growing an been area that we’re that been looking growing over it years the and past has and few it’s

always in past management lot And tools PMs I too, and for in think, better the little the tricky. then I were was think, pricing compete differentials, cumbersome other is wherein just, that are to portfolio was – the technology a it a it and the

clearly So, area accounts. SMA customized in an tax we is the the I that to I And one efficiency think, of type can are portfolios, you’re right. That’s looking think, we for those – do at today continue another potential will within that is grow. that

Great. questions. taking Thank my you for

Thanks.

Thank you.

is coming from Wells Chris Please Harris Fargo. Our question. your next question from with proceed

do we Yes. that your If the Hey, SEC, flows of a another standard think risk guys. flows you particular? out uniform and in get fiduciary for could industry represent

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and really election on question the the here U.S., the was of global after then And the shortly had up global spike we interest Okay. rates in performance bond bonds good.

hasn’t bond. led for performance rates really seeing move We’re stronger but here in up in necessarily that into U.S., the another global it

elaborate the little difference a bit can there? key wondering So is that if on just you why

so this they’ve negative it’s the that’s and euro strong the and just been euro, the been and on time think, around I dollar relatively strong that’s been weak. Yes,

it’s kind relative rates Mexico the around noise duration period. been up the that NAFTA of bouncing got then attribution again offset in from probably going and short-term that’s So with you

So the that or those think, period. any funds money It’s of well it’s in losing euro, is just as not I anything. real the like the move short factor, that the dominant as Mexico

you. Thank Gotcha.

Thank you.

Our your Autonomous Please next question from Patrick coming question. is proceed from with Research. Davitt

opportunity. A M&A the Hi, good views of morning. on lot broader conflicting

you Could still at which you unleash wave far thoughts markets very the think the one But highs, your winning getting hand, and buyers On conflict, and of for could give reform through with on out? is other, deals. that equity sellers on side tax all-time the apart. feeling pricing a new

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something things allowing. see and they’re of and that loosened that the some will Recently, – continue. government So the that’s has quotas we

and plan And are to we increase that so as we can. we

Thank Okay. you.

over management of We’ve the floor would turn I you. end to like Thank to the or further closing reached comments. question-and-answer for back any our session.

forward Thank everybody, you. we the speaking for participating Thank call, on you, next and look to quarter.

does That Thank conclude teleconference. today’s you.

this your We wonderful have may you and at time line today. You day. a disconnect participation your for thank